District of South Carolina
Press releases recorded for this federal judicial district.
Victim Witness Coordinator Honored by Department of Justice at Executive Office for United States Attorneys Director's Awards CeremonyRead the Press Release
Contact Person: Beth Drake (803) 929-3000
Washington – Clarissa Whaley, Victim Witness Coordinator of the U.S. Attorney’s Office in the District of South Carolina was one of 160 recipients recognized by Deputy Attorney General Sally Yates and Executive Office for U.S. Attorneys (EOUSA) Director Monty Wilkinson at the 32nd annual Director’s Awards Ceremony today in Washington D.C.
The District of South Carolina was one of 33 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In her prepared remarks, Deputy Attorney General Yates said, “The achievements being recognized today reflect the breadth of the department’s responsibilities, and some of our most significant challenges. From dismantling dangerous gangs, drug cartels and human trafficking operations to tackling political corruption, white collar crimes, and international terrorism, these awardees have taken on our toughest cases. And the citizens of our country are safer because of their work.”
“We honor the truly talented and dedicated legal and administrative personnel in the 94 U.S. Attorneys’ offices and our law enforcement partners who everyday touch lives in our communities, protect the American people, and work to ensure the fair and impartial administration of justice,” said Director Wilkinson.
Mrs. Whaley has served as the Victim Witness Coordinator for the Florence and Charleston branches of the U.S. Attorney’s Office since 2008. A consummate professional, she is dedicated and creative. Mrs. Whaley relentlessly pursues justice and ensures that victims get the very best in services, as well as prompt and reliable information about their cases.
United States Attorney William N. Nettles stated that Mrs. Whaley’s knowledge, empathy, grace and grit make her an outstanding victim’s advocate, and that she is most deserving of this prestigious recognition.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
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Bowman Men Plead Guilty to Importing "Molly" from ChinaRead the Press Release
Contact Person: Jane Taylor (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Bradley Lewis Felder, 27, and Everette “Rhett” Carter Berry, 28, have entered guilty pleas in federal court in Columbia, admitting to their involvement in a Conspiracy to Possess with Intent to Distribute and to Distribute a Quantity of 3,4-Methylenedioxyethylcathinone Hydrochloride (commonly known as "Molly") and 50 kilograms of more of Marijuana, a violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(C) and 846. United States District Judge Terry L. Wooten of Columbia accepted the guilty pleas and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that, in the summer of 2013, agents from the Drug Enforcement Administration began investigating Bradley FELDER, Rhett BERRY, and others, who were involved in the importation and distribution of both high-grade marijuana and “molly” in and around Richland and Lexington Counties. As the investigation progressed, agents learned that FELDER was importing high-grade marijuana from northern California, and “molly” from an unknown source of supply in China. Agents discovered that FELDER rented various houses and apartments in and around Richland and Lexington Counties for the primary purpose of using the addresses to receive shipments of “molly.” FELDER paid friends, including BERRY, to accept the delivery of the drug packages; sometimes he paid in cash, other times he paid with marijuana.
During the investigation that led to the arrests, agents intercepted approximately 9 packages of molly, each containing kilogram quantities, being shipped to South Carolina from China. Additionally, prior to the arrests, agents seized approximately $150,000 in cash from FELDER. FELDER was arrested on August 31, 2015, in the parking garage of the Gates of Williams Brice apartments. Following FELDER’S arrest, agents seized an additional $1,481.90 cash, a loaded .45 caliber pistol, and two watches valued at approximately $64,000.00 and $46,356.00. Agents also seized several cell phones from FELDER; one of those phones held photographs of huge amounts of money. One picture, taken in FELDER’s apartment a month prior to his arrest, showed money stacked on the kitchen counter. The money had been heat-sealed in plastic, and stacked in large bundles. Another photograph showed a small closet and on the shelves of the closet were large Tupperware-like containers full of cash.
Agents confronted FELDER about the money that was pictured on his phone. On February 2, 2016, FELDER led agents to a location where he had buried a large bag of money on his family’s farm in Bowman, SC. Agents seized the bag which contained $1,768,031 dollars.
Mr. Nettles stated that the maximum penalty these defendants face is imprisonment for 20 years and/or a fine of $1,000,000.
The case was investigated by agents of the Midlands HIDTA Task Force, comprised of agents from South Carolina Law Enforcement Division (SLED), the Kershaw County Sheriff’s Office, the Orangeburg County Sheriff’s Office, Orangeburg Public Safety, the Columbia Police Department, the 5th Circuit Solicitor’s Office, the Richland County Sheriff’s Office and the Lexington County Sheriff’s Office, and with assistance from the United States Postal Service and Homeland Security Investigations. Assistant United States Attorney Jane B. Taylor of the Columbia office is prosecuting the case.
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Indictments Unsealed Charging 36 in Sumter in Cocaine Trafficking ConspiracyRead the Press Release
Contact Person: JD Rowell (803) 929-3000
United States Attorney Bill Nettles advised today that the Columbia Violent Gang Task Force (CVGTF), of which the City of Sumter is a member, arrested several defendants who are charged in 3 separate indictments charging a conspiracy to possess with intent to distribute and to distribute cocaine and crack cocaine in the midlands of South Carolina. All defendants who were arrested today in connection with the unsealing of these indictments will make their initial appearances at the Mathew J. Perry Federal Courthouse in Columbia, South Carolina, tomorrow at 10:00 am before the Honorable Paige J. Gossett, United States Magistrate Judge.
The arrests today mark the next step in the CVGTFs efforts to combat violent crime linked to drug trafficking in the Sumter and Columbia areas of South Carolina.
This investigation began over a year ago when FBI, DEA and City of Sumter Task Force Officers targeted the cocaine sources of supply who were selling cocaine to the defendants referenced above. Agents and Task Force Officers previously conducted arrest operations on June 16, 2015, and October 20, 2015. As of the date of today’s takedown, this investigation has resulted in the seizure of over 9 kilograms of powder cocaine, the seizure of almost $900,000.00, the seizure of 8 firearms that were used in furtherance of drug trafficking, and convictions/guilty pleas of 14 defendants who were previously arrested and prosecuted in connection with this investigation. Agents have learned that this group was directly responsible for the distribution of well over 150 kilograms (wholesale value of $6,000,000.00) of cocaine in Sumter and Richland Counties during the time frame of the conspiracy.
To date, the following defendants have entered guilty pleas to drug trafficking conspiracy charges and/or money laundering offenses:
JUAN PABLO CONTRERAS
a/k/a Juan David Montoya
EDUARDO ESAID CONTRERAS-REYES
MARCO ANTONIO CASTRO
a/k/a “Chino”
JAVIER TOSCANO-SERRANO
PATAR ONEAL MONTGOMERY
a/k/a Patrick Montgomery
a/k/a “Dink”
a/k/a “Dinky”
ANDRE LEWAYNE BROOKS
JIMMY TONY MCDOWELL
a/k/a “Jimmy Fingers”
JERMAINE TERRELL HILTON
a/k/a “Fifty”
MICHAEL ANTONIO FLOYD
a/k/a “Tony”
a/k/a “Tone”
a/k/a “Fat Tony”
RAYSHON JAMAAL FOSTER
a/k/a “Shon”
a/k/a “Terry Brown
DONALD ANTWON DINGLE
a/k/a “Red”
a/k/a “Flash”
COREY EMANUEL WHITE
a/k/a “Chopper”
a/k/a “Choppa”
a/k/a “El Chop”
HAROLD MATTHEW MCFADDEN
BRYANT CHRISTOPHER FORD
This case is yet another example of the fine work being done by Federal, State and local law enforcement agencies working together in South Carolina.
The CVGTF is consists of the following agencies:
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Federal Bureau of Investigation, SAC David A. Thomas, [email protected]
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South Carolina Law Enforcement Division, Chief Mark Keel, [email protected]
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Columbia Police Department, Chief Skip Holbrook [email protected]
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Richland County Sheriff’s Department, Sheriff Leon Lott [email protected]
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Sumter Police Department, Chief Russell Roark [email protected]
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South Carolina Army National Guard Counterdrug Unit, LTC Walter Ginn, [email protected]
The United States Attorney stated that all charges in these indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Statement from Attorney General Loretta E. Lynch on the Case of United States V. Dylann RoofRead the Press Release
Contact Person: Office of Public Affairs (202) 514-2007
Washington – Attorney General Loretta E. Lynch today released the following statement regarding the United States v. Dylann Roof:
“Following the department’s rigorous review process to thoroughly consider all relevant factual and legal issues, I have determined that the Justice Department will seek the death penalty. The nature of the alleged crime and the resulting harm compelled this decision.”
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https://www.justice.gov/opa/pr/attorney-general-loretta-e-lynch-statement-case-dylann-roof
Former Deputy Sentenced in Multiple Fraud SchemesRead the Press Release
Contact Person: T. DeWayne Pearson (803) 929-3000
Columbia, SC - United States Attorney Bill Nettles stated that former Richland County Sheriff’s Deputy Maribel Crespo, age 40, of Columbia, South Carolina, was sentenced to 12 months and one day imprisonment for her role in multiple fraud schemes, including trafficking in counterfeit goods, impersonating a federal agent and tax fraud. According to information presented during her guilty plea, Crespo sold counterfeit luxury goods including fake Michael Kors handbags and Rolex watches over the internet. Additionally, Crespo posed as an officer of the Department of Homeland Security to defraud undocumented aliens by charging them thousands of dollars for counterfeit immigration paperwork. Crespo also entered a guilty plea for preparing fraudulent tax returns for other former Richland County Sheriff’s Deputies by adding false and fictitious information to the returns. Crespo would attach children’s information to the returns so that she could claim them as false dependents in an effort to artificially inflate the amount of the tax returns. The children used were typically citizen children of non-citizen Hispanics in the Columbia area. Crespo would forward a part the tax return to the parents of the dependent, some to herself and the remainder to the tax filer. Based on IRS calculations, Crespo caused over $100,000 in loss to the Treasury based on the fraudulent returns.
Internal Revenue Special Agent in Charge Thomas J. Holloman III said, “IRS, Criminal Investigation takes seriously any attempts to steal taxpayer money through false claims for refunds; and certainly when those false claims are made by someone sworn to uphold the law.” Special Agent in Charge of HSI Atlanta Nick S. Annan said “Criminal counterfeiters are economic parasites who harm legitimate businesses that pay taxes, create jobs and support our national economy. Anyone who thinks counterfeiting is a victimless crime should realize the proceeds of black-market sales are often funneled to support criminal organizations. Further, defrauding the government harms law-abiding citizens everywhere who pay their fair share and as such these cases will continue to be a major investigative priority for ICE Homeland Security Investigations.” The case was investigated by the Department of Homeland Security - Immigration and Customs Enforcement and the Internal Revenue Service and was prosecuted by Assistant United States Attorney T. DeWayne Pearson of the Columbia office.
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Philadelphia Man Sentenced to 37 Months for Credit Card ConspiracyRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Chernoh A. Jalloh, age 28, of Philadelphia, Pennsylvania, was sentenced in federal court in Greenville, for conspiracy to defraud, a violation of Title 18, United States Code, Section 1029(b)(2). United States District Judge Bruce Howe Hendricks of Charleston sentenced Jalloh to 37 months in the Bureau of Prisons and ordered him to pay over $97,000 in restitution.
Evidence presented at the change of plea hearing established that on August 24, 2015, Jalloh’s vehicle was stopped on Interstate 85 for a traffic infraction. Upon approaching the vehicle, law enforcement observed the smell of marijuana emanating from the vehicle and conducted a search.
During the search of the vehicle, officers located more than 90 credit and debit/gift cards secreted in various locations throughout the vehicle. Of these cards, at least twenty-three (23) were embossed with Jalloh’s name. In the vehicle, officers also discovered a laptop computer and a device capable of encoding the magnetic stripe data on credit, debit, and similar magnetic-striped cards.
All of the twenty-three (23) cards embossed with Jalloh’s name were found to be encoded with magnetic stripe data that did not match the number embossed on the cards.
The case was investigated by agents of the Department of Homeland Security, Office of Investigations, and the Greenville County Sheriff’s Office. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Piedmont Man Pleads Guilty to Concealing a FugitiveRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that David Roger Nelson, age 60, of Piedmont, pled guilty yesterday in federal court in Greenville, to harboring a fugitive and conspiracy to steal mail, violations of Title 18, United States Code, Sections 1071 and 371, respectively. United States District Judge Bruce Howe Hendricks, of Charleston accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that although Nelson knew that Emily Keller (who had earlier pled guilty to mail theft) was a federal fugitive who was wanted by the U.S. Marshals, he hid her in various hotel rooms in South Carolina and Georgia, and rented a vehicle that was used to transport her. In addition, Nelson was involved in the stealing of mail and the making of counterfeit checks to support himself and Keller while they were on the run. When captured in Easley, South Carolina, Nelson was found with stolen mail, check stock, and counterfeit checks and identification documents.
Mr. Nettles stated the maximum penalty Nelson can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.
The case was investigated by agents of the United States Postal Inspection Service and the United States Marshals. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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New York Man Pleads Guilty to Credit Card FraudRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Donnell J. Slay, Jr., age 21, of Uniondale, New York, pled guilty yesterday in federal court in Greenville, to conspiracy to commit access device fraud, a violation of Title 18, United States Code, Section 1029. United States District Judge Bruce Howe Hendricks, of Charleston accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that on January 17, 2016, the Gaffney Police Department was summoned to the Gaffney Premium Outlet to investigate reports of fraudulent transactions. The investigation led officers to Slay who had a total of fifty fraudulent credit cards on his person.
Officers located the vehicle driven by Slay and obtained a search warrant. During execution of this warrant, officers located an additional twenty-seven counterfeit credit cards embossed with Slay’s name.
Mr. Nettles stated the maximum penalty Slay can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.
The case was investigated by agents of the Gaffney Police Department and the Department of Homeland Security, Office of Investigations. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Greenwood Woman Pleads Guilty to Money Transmission CrimeRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Linda B. Massey, age 70, of Greenwood, pled guilty yesterday in federal court in Greenville, to operating an illegal money transmission business, a violation of Title 18, United States Code, Section 1960. United States District Judge Bruce Howe Hendricks, of Charleston accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that a co-conspirator, who is currently believed to be residing on the Indian subcontinent, contacted Linda Massey and told her he needed someone in the US to open a bank account, receive payments, and send money to him in India. He told Massey she could keep 10 percent of the funds collected if she transmitted the 90 percent to him. He instructed her on creating a limited liability company known as Prime Technologies. She agreed to work with him.
Operatives from a call center in India then contacted American citizens over the telephone or through a pop-up advertisement appearing on victims’ computers, convinced them that their computers were infected with a virus, and then installed worthless or malicious software on the computers to “fix” the problem. The computer owners paid for these services by sending a check made out to Prime Technologies to an address controlled by Massey. Massey deposited the checks and wired a portion of the monies to India.
Law enforcement estimates that the losses to the victims exceed $500,000.
Mr. Nettles stated the maximum penalty Massey can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.
The case was investigated by agents of the Federal Bureau of Investigation. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Former North Charleston, South Carolina, Police Officer Michael Slager Charged with Federal Civil Rights OffenseRead the Press Release
Contact Person: Public Affairs (202) 514-2007
Washington – Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division, and U. S. Attorney Bill Nettles of the District of South Carolina announced today that a federal grand jury returned a three-count indictment charging former North Charleston, South Carolina, Police Department (NCPD) Officer Michael Slager with federal offenses related to his fatal shooting of Walter Scott on April 4, 2015. The indictment includes charges for a federal civil rights offense, using a firearm during the commission of the civil rights offense and obstruction of justice.
The indictment alleges that Michael Slager, while acting as an NCPD Officer, used excessive force when he shot and killed Walter Scott without legal justification. Slager was also charged with obstruction of justice for making false statements to South Carolina Law Enforcement Division (SLED) investigators with the intent to impede the investigation into the shooting. The indictment alleges that Slager intentionally misled SLED investigators by claiming that Scott was coming toward him with a taser at the time that Slager fired his weapon, when in truth, Scott was running away.
An indictment is merely an allegation, and the defendant is presumed innocent unless and until proven guilty. If convicted, Slager faces a maximum sentence of 1ife in prison for the civil rights violation, as well as a potential $250,000 fine.
The case is being investigated by the FBI’s Columbia Division and SLED. The case is being prosecuted by Assistant U.S. Attorney Eric Klumb of the District of South Carolina and Trial Attorney Jared Fishman of the Civil Rights Division’s Criminal Section.
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Former North Charleston, South Carolina, Police Officer Michael Slager Charged with Federal Civil Rights OffenseRead the Press Release
Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division, and U. S. Attorney Bill Nettles of the District of South Carolina announced today that a federal grand jury returned a three-count indictment charging former North Charleston, South Carolina, Police Department (NCPD) Officer Michael Slager with federal offenses related to his fatal shooting of Walter Scott on April 4, 2015. The indictment includes charges for a federal civil rights offense, using a firearm during the commission of the civil rights offense and obstruction of justice.
The indictment alleges that Michael Slager, while acting as an NCPD Officer, used excessive force when he shot and killed Walter Scott without legal justification. Slager was also charged with obstruction of justice for making false statements to South Carolina Law Enforcement Division (SLED) investigators with the intent to impede the investigation into the shooting. The indictment alleges that Slager intentionally misled SLED investigators by claiming that Scott was coming toward him with a taser at the time that Slager fired his weapon, when in truth, Scott was running away.
An indictment is merely an allegation, and the defendant is presumed innocent unless and until proven guilty. If convicted, Slager faces a maximum sentence of 1ife in prison for the civil rights violation, as well as a potential $250,000 fine.
The case is being investigated by the FBI’s Columbia Division and SLED. The case is being prosecuted by Assistant U.S. Attorney Eric Klumb of the District of South Carolina and Trial Attorney Jared Fishman of the Civil Rights Division’s Criminal Section.
Michael Slager Indictment
Cartel Connected Kidnapper Sentenced to 56 YearsRead the Press Release
Contact Person: JD Rowell (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Ruben Ceja-Rangel, age 59, a Mexican national whose last known residence was Groveland, Florida, was sentenced late yesterday in federal court in Columbia, South Carolina. Ceja-Rangel was convicted October 23, 2015, of 7 charges related to the armed abduction of a St. Mathews man that occurred in July of 2014.
United States District Judge J. Michelle Childs of Columbia, South Carolina, sentenced Ceja-Rangel to a term of imprisonment of 677 months (293 months on kidnapping and related charges, 7 years consecutive on use of a firearm in furtherance of kidnapping and 25 years consecutive on a second use of a firearm in furtherance of kidnapping), followed by a term of 5 years supervised release.
Evidence presented during the trial established that Ruben Ceja-Rangel (age 58) traveled from his home in Groveland, Florida, in early June or July of 2014, for the purpose of conspiring with Luis Castro-Villeda (24) and Juan Fuentes-Morales (age 27) to kidnap the victim from St. Mathews, South Carolina. During the trial evidence was presented that the victim was forcibly taken from his truck in the early morning hours of July 14, 2014 at gunpoint by Ceja-Rangel. Ceja-Rangel and another co-defendant then blindfolded and transported the victim to a residence near Garland, NC, where the victim was held for several hours at gunpoint. The victim testified that at one point, he attempted to escape and Juan Fuentes-Morales struck him and pointed a .25 caliber gun at the victim's head. Evidence presented proved that around 8:00 pm, the victim was moved from Garland to a residence located near Rosoboro, NC on Highway 210.
While held at the second location, the victim was blindfolded and chained to a workout bench, where he was made to lay on the floor from July 9, 2014, until his rescue by the FBI on July 15, 2014. In the early morning hours of July 15, 2014, a compliment of the Charlotte, NC FBI SWAT Team executed a search warrant at the Highway 210 residence near Roseboro. When the SWAT team made entry, they located the victim chained up and blindfolded on the floor. Ruben Ceja-Rangel attempted to run out of the back of the residence but he was quickly detained by FBI Charlotte SWAT operators.
Prior to locating the victim, Operators with the FBI's Hostage Rescue Team (HRT) executed a search warrant at 5363 Old Fayetteville Road, Garland NC. During the execution of this search warrant, Agents located a cellular phone that Juan Fuentes-Morales used during the kidnapping to communicate with individuals in Mexico who were demanding a ransom for the victim's return. Agents also located a .25 caliber pistol that Fuentes-Morales had used to hold the victim during his initial abduction on July 9, 2014.
Evidence presented at trial proved that the victim's father owed a drug debt to members of a Mexican Drug Trafficking organization, or cartel, related to the father's inability to sell over 200 pounds of marijuana. Jurors heard multiple phone calls that were recorded by FBI hostage negotiators, wherein the Mexican drug traffickers threatened to gouge out the victim's eyes and ultimately kill him if the father did not pay the ransom.
Ceja-Rangel was convicted of conspiracy to commit kidnapping, substantive kidnapping, hostage taking, brandishing firearms in furtherance of crimes of violence, lying the FBI, and possession of a firearm by a convicted felon. Evidence at the sentencing hearing also established that Ceja-Rangel was previously convicted of Importation of Marijuana in United States District Court in the Southern District of Texas.
Mr. Nettles stated that “this case is the perfect example of how drug trafficking leads to violent crime and brings the real life violence associated with Mexican Drug Trafficking Organizations to the United States. The continued commitment to the war on drugs is the only way to ensure that Mexican Drug Trafficking Organizations know that the United States Government and the FBI will do whatever it takes to ensure that lives are not lost as a result of drug trafficking and the violence associated with it.”
The case was initiated by the Calhoun County Sheriff’s Department and was investigated by agents of the Federal Bureau of Investigation from the Columbia Field Division and the Charlotte Field Division. Assistant United States Attorney JD Rowell of the Columbia office is prosecuting the case.
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Summerville Man Sentenced to Prison in $45 Million Mortgage Fraud SchemeRead the Press Release
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Scott M. Wickersham, age 36, of Summerville, has been sentenced in federal court in Charleston, South Carolina for Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, a violation of 18 U.S.C. § 1349, and two counts of Willfully Making and Subscribing a False Tax Return, in violation of Title 26, United States Code, Section 7206(1). U.S. District Judge Richard M. Gergel sentenced Wickersham to 36 months in federal prison for the conspiracy count and 30 months on each of the two tax fraud counts, to run concurrently. Judge Gergel also ordered Wickersham to serve five years of supervised release on the conspiracy count and one year of supervised release on each of the two tax fraud counts after he is released from prison, to run concurrently. Wickersham was also ordered to pay restitution in the amount of $23,997,151 on the conspiracy count, and he was further ordered to pay the Internal Revenue Service a total of $256,862 in restitution for the two tax counts.
Evidence presented in court documents and hearings established that Wickersham participated in a mortgage fraud conspiracy that utilized real estate and mortgage businesses operated in Summerville, South Carolina, under the names North American Mortgage Group, LLC; Realty Executives of Coastal Carolina; and New Freedom Enterprises, LLC. The scheme involved more than 70 properties, approximately $45 million of mortgage loans, and a loss of more than $23 million suffered by financial institutions. The properties were located in Charleston, Johns Island, Ladson, Mount Pleasant, Summerville, Edisto Island, St. Helena Island, Garden City, Murrells Inlet, Myrtle Beach, North Myrtle Beach, Lake Keowee, and Tybee Island, Georgia.
Wickersham was a loan officer for North American Mortgage Group, LLC; a real estate agent and part-owner/franchisee of Realty Executives of Coastal Carolina; and a partner in New Freedom Enterprises, LLC. Wickersham and others used straw purchasers and made other false representations on mortgage loan applications to induce financial institutions to provide mortgage loans for the properties in the scheme. The properties later went into foreclosure and sold at a significant loss to the lenders.
In addition to his participation in the mortgage fraud scheme, Wickersham also willfully made and filed false U.S. Individual Income Tax Returns, Forms 1040, for calendar years 2006 and 2007. Both of those returns, which he filed late on January 27, 2009, were materially false because he willfully failed to report income he received from the mortgage fraud scheme. Specifically, on line 22 of the 2006 tax return, he claimed $103,205 of total income when he knew he had at least $965,402 of total income. On line 22 of the 2007 tax return, he claimed $13,383 of total income when he knew he had at least $256,119 of total income. This under reporting resulted in a tax loss of $206,100 for 2006 and $50,762 for 2007, for a total tax loss of $256,862. Each return was verified by a written declaration that it was made under the penalties of perjury.
Two other defendants have been convicted in connection with the mortgage fraud scheme. Steven F. Weiss, 67, of Virginia Beach, Virginia, pleaded guilty to one count of Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, in violation of Title 18, United States Code, Section 371. Weiss, a former loan officer of North American Mortgage Group, LLC, was sentenced in April to 30 months in federal prison. Judge Gergel also ordered Weiss to serve three years of supervised release after he is released from prison and to pay restitution in the amount of $4,961,732. Kelly Martin, 34, of Moncks Corner, pleaded guilty in 2015 to one count of Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, in violation of Title 18, United States Code, Section 371. She is awaiting sentencing.
The case was investigated by agents of the Federal Bureau of Investigation (FBI) and the Internal Revenue Service-Criminal Investigation (IRS-CI). Assistant United States Attorney Dean H. Secor of the Charleston office prosecuted the case.
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Spartanburg Man Guilty in Three Million Dollar Wire FraudRead the Press Release
Contact Person: David Stephens (864) 282-2100
Greenville, South Carolina ---- United States Attorney Bill Nettles announced today that Claus C. Foerster, age 55, formerly of Spartanburg, South Carolina, entered a plea of guilty as charged today to multiple counts of Wire Fraud in violation of Title 18, United States Code, Section 1343. United States District Court Judge Bruce H. Hendricks, sitting in Greenville, accepted the plea of guilty. Judge Hendricks will sentence Foerster after the preparation of a Presentence Report. On each of the five counts of the Indictment, Foerster faces a possible sentence of up to twenty years in prison and a fine of $250,000.00.
At the guilty plea hearing Assistant United States Attorney David C. Stephens advised the court of the following: 1997 through 2014 Mr. Foerster was a financial advisor employed by national investment counseling firms. In approximately 2000 Mr. Foerster began stealing from his clients. He would advise the clients that he had located better investments than their current portfolio. He would then tell them that to get in to these investments they would have to withdraw their funds from his employers’ accounts and transfer them to his account for further investment. Once the funds were in Mr. Foerster’s account he would simply divert them to his own use. By creating bogus account statements and on occasion returning some funds to the clients as “profits” he was able to keep the scheme going for over a decade. By his use of this scam Foerster cheated his clients out of more than three million dollars ($3,000,000.00).
The United States Secret Service investigated the case. Mr. Nettles commended them and AUSA Stephens for their diligence in this investigation and prosecution.
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Greenwood Men Plead Guilty to Mortgage Fraud ConspiracyRead the Press Release
Contact Person: Bill Watkings (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that John D. Harrison, Jr., age 53, Henry A. Dorn, age 63, Kevin Dempsey, age 45, and C. Jody Hazel, age 42, all of Greenwood , pled guilty today in federal court in Greenville, to conspiracy to commit bank fraud, a violation of Title 18, United States Code, Section 1349. United States District Judge Bruce Howe Hendricks, of Charleston accepted the pleas and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that John Harrison was a real estate developer who developed high end residential properties in North Carolina, South Carolina and Georgia. Henry Dorn, Kevin Dempsey and Jody Hazel were accountants for the accounting firm that prepared Harrison’s financial statements and tax returns. Dorn primarily serviced Harrison’s account. Harrison obtained loans from numerous banks and individuals to fund his real estate developments. A review of Harrison’s financial statements that were provided to banks from August 31, 2000 until May 31, 2008, indicated that Harrison significantly understated his total debt—that is, the financial statements contained false information and this false information was material to the lenders and was meant to influence the actions of the lenders. Dorn prepared these financial statements for Harrison. In essence, Dorn kept two sets of books for Harrison: one with false numbers and one with accurate numbers.
Harrison also entered into Accommodation Borrowing Agreements with Dorn, Dempsey and Hazel in which these three men served as straw purchasers for Harrison. The agreements allow for Harrison to sell the property to Dorn, Dempsey and Hazel and continue to develop and sell the properties. The interest payments would be paid by Harrison and the loans would be paid off when Harrison sold the property. The profit or loss would belong to Harrison and Harrison would pay a fee to Dorn, Dempsey or Hazel totaling 3% of the loan amount. The agreements were not disclosed to the banks until after the loans went past due.
In addition to the undisclosed agreements, Dorn, Dempsey and Hazel all understated their debt when applying for their respective real estate loans—that is, the financial statements contained false information. Law enforcement estimates that federally insured banks lost in excess of $10 million in scheme and artifice to defraud.
Mr. Nettles stated the maximum penalty the Defendants can receive is a fine of $1,000,000 and/or imprisonment for 30 years, plus a special assessment of $100.
The case was investigated by agents of the Federal Bureau of Investigation. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Federal Grand Jury IndictmentsRead the Press Release
United States Attorney Bill Nettles stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictments against the following:
Laurens Resident Charged with Theft of Government Funds
Tanesha Williams, age 31, of Laurens, South Carolina, was charged in a single-count indictment with theft of government funds, a violation of Title 18, United States Code, Section 641. The maximum penalty Williams could receive is ten years imprisonment and a fine of $250,000.00. The case was investigated by agents of the Social Security Administration, Office of Inspector General, and is assigned to Assistant United States Attorney David C. Stephens of the Greenville office for prosecution.Greenville Resident Indicted on Possession of Child Pornography
Christopher Taggart, age 55, of Fountain Inn, South Carolina, was charged in a 1-count indictment with Possession of Child Pornography, a violation of Title 18, United States Code, Section 2252A(a)(5)(B). The maximum penalty Taggart could receive is 20 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Postal Inspection Service and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution. This case is being brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, 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 identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.Former Bed Bath & Beyond Assistant Manager Charged with Mail Fraud
Kelvin Abney, age 49, of Simpsonville, South Carolina, was charged in a 2-count indictment with Mail Fraud, a violation of Title 18, United States Code, Section 1341. The maximum penalty Abney could receive is 20 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Postal Inspection Service and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.Director and Employee of Fresh Start Community Development Corporation (FSCDC) Indicted on Conspiracy and Monetary Transactions in Criminally Derived Property
Erick Bradshaw, Sr., age 40, and Augustina Cabral-Rice, age 61, both of Anderson, South Carolina, were charged in a 3-count indictment. Both defendants were charged with Conspiracy, a violation of Title 18, United States Code, Section 371, which carries a maximum penalty of 5 years imprisonment and a maximum fine of $250,000 and with Engaging in Monetary Transactions, a violation of Title 18, United States Code, Section 1957, which carries a maximum penalty of 10 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the Federal Housing Finance Agency, Office of Inspector General; US Postal Inspection Service; Internal Revenue Service, Criminal Investigations; and the Anderson County Sheriff’s Office, and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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DEA's Eleventh Pill Take Back Event Yields Fruitful Results in South Carolina & NationwideRead the Press Release
Contact Person: S/A Chuvalo Truesdell (404) 893-7124
COLUMBIA, SC – South Carolinians participating in the United States Drug Enforcement Administration’s (DEA’s) eleventh National Prescription Drug Take-Back Day Initiative (NTBI) held on Saturday, April 30, 2016, turned in 6,688 pounds of unwanted or expired medications for safe and proper disposal at sites set up throughout the state. This amount highest total collected statewide during the ten previous Take-Back events.
“Daniel R. Salter, the Special Agent in Charge (SAC) of the DEA Atlanta Field Division commented, “DEA’s eleventh Prescription Drug Take-Back campaign was a great success both locally and nationally. While South Carolinians turned in 6,688 pounds of unwanted or expired medications, nationally, 893,498 pounds (447 Tons) of expired and unwanted prescription medications were collected in more than 5,359 sites that were available across the United States. The local amount collected was the third highest total collected out of the ten previous Take-Back events. I would like to thank the multitude of partners (both law enforcement and non-law enforcement) who worked tirelessly to make this event another great success.”
The NTBI addresses a crucial public safety and public health issue. Surveys of opioid drug users show that the majority of them get their drugs free from friends and family, including from the home medicine cabinet. This event was a unique opportunity for Americans to make their homes and medicine cabinets safe from theft and abuse. It also helped raise awareness about the dangers of controlled prescription opioids and allowed these potentially dangerous substances to be properly disposed of in environmentally safe way.
SAC Salter encourages parents, along with their children, to educate themselves about the dangers of legal and illegal drugs by visiting DEA’s interactive websites at www.justhinktwice.com, www.GetSmartAboutDrugs.com and www.dea.gov.
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Armed Career Criminal Sentenced to Fifteen Years for Illegal Gun PossessionRead the Press Release
Contact Person: Nathan Williams (843) 727-4381
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Gerald Jamal Stanley, age 42, of North Charleston, SC, was sentenced to fifteen years in prison for being a felon in possession of a firearm. On August 19, 2014, Stanley pled guilty to illegally possessing a firearm. Stanley was prohibited from possessing the firearm because he had a prior felony conviction. At sentencing, Stanley was found to have three prior violent felonies dating back as far as 1991. Accordingly, under the Armed Career Criminal Act, 18 U.S.C. § 924(e), Stanley was subject to a mandatory sentence of fifteen years imprisonment.
Stanley was sentenced by United States District Court Judge Richard M. Gergel. The conviction is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the City of North Charleston Police Department. Assistant United States Attorney Nathan Williams of the Charleston office prosecuted the case.
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Media Alert: 13th Annual Project Sentry Logo Contest Winners AnnouncedRead the Press Release
Contact Person: D. Josev Brewer (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles announced today the winners of the United States Attorney's Office 13th Annual Project Sentry Logo Contest. The winners are from the following schools:
K-2nd grade division winner: Ean Bane, Ocean Drive Elementary, North Myrtle Beach, SC
3rd-5th grade division winner: Kaden Crawford, Reuben Elementary, Newberry, SC
6th-8th grade division winner: Elias Ryans, Westview Middle School, Greenwood SC
9th-12th grade division winner: Elody Bensch, Waccamaw High School, Pawley’s Island SC
Overall winner: Elias Ryans, Westview Middle School, Greenwood SCThe winners were chosen from one hundred and ten (110) entries from thirteen (13) schools across South Carolina. Each division winner will receive a $50.00 award, with the overall winner receiving an additional $50.00 award. All of the students who participated will receive a Certificate of Appreciation for logo submissions.
The statewide contest provides an opportunity for South Carolina students to express their commitment to non-violence and share how they would prevent gun violence in their school. The contest is intended to focus on deterring juvenile gun violence and ensuring secure school environments. The contest was open to students in all South Carolina schools.
Importantly, the winning entries were selected by "The Insiders," a select group of students from the South Carolina Department of Juvenile Justice, who travel throughout the state, encouraging troubled children and promoting community awareness of the prevalence and consequences of juvenile crime. The U.S. Attorney's Office coordinated with the South Carolina Law Enforcement Officers' Association Foundation (SCLEOA) to provide the cash awards to the winners.
Project Sentry, which is part of the district=s Project Safe Neighborhoods/Project CeaseFire program, is a vital step in strengthening our ability to prevent gun crimes among our young people and to ensure a safe learning atmosphere for our children. For more information on the Project Sentry program and to view this year’s winning submissions (also attached below), as well as winning logos over the years, visit http://www.justice.gov/usao/sc/programs/logowinners.html.
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Mail Thief and Counterfeitter Sentenced to 5 Years in PrisonRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Geoffrey R. Albertson, age 32, of Greenville, was sentenced in federal court in Anderson, for conspiracy to commit fraud, a violation of Title 18, United States Code, Section 371. United States District Judge Timothy M. Cain of Anderson sentenced Albertson to 60 months imprisonment and ordered him to pay over $11,000 in restitution.
Evidence presented at the change of plea hearing established that Albertson and others regularly stole mail from residential boxes, sorted the stolen mail for checks and personal identifying information, created altered or counterfeit checks, and then negotiated the checks throughout the upstate. Most of the fraud was conducted in an effort to obtain funds to purchase methamphetamine. Albertson was captured on multiple bank surveillance cameras when he negotiated the checks.
The case was investigated by agents of United States Postal Inspection Service and the Easley Police Department. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Lancaster County Man Sentenced for Possession of a Firearm and MarijuanaRead the Press Release
Contact Person: William Witherspoon (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Martiquos Javon McIlwain, age 23, of Lancaster County, South Carolina was sentenced yesterday in federal court in Columbia, South Carolina, for possession with the intent to distribute marijuana, a violation of 21 U.S.C. § 841(a)(1) and possession of a firearm in furtherance of a drug trafficking crime, a violation of 18 U.S.C. § 924(c). United States District Judge Joseph F. Anderson, Jr. of Columbia sentenced McIlwain to sixty-four (64) months incarceration followed by five (5) years of supervised release and a special assessment of $200.
Evidence presented at the change of plea hearing established that the Lancaster County Sheriff’s Department received a call for an ongoing burglary. The caller gave the police a description of the burglars. The caller also gave the description of the vehicle they were driving as a white pickup truck with a dealer’s tag. As officers arrived, the owner of the car dealership arrived on the scene and gave the officers the name of the person whom he had allowed to test drive that vehicle earlier that morning. He told the officers that the person had not returned the vehicle nor returned telephone calls.
As the officers searched the area for the vehicle, they saw a black Lexus driven by McIlwain’s co-defendant Reco Cauthen and 3 other persons in the car. Officers were familiar with these individuals and knew they had been mentioned as receivers of stolen items. When the officers began to follow the car, the rear driver’s side door opened and McIlwain jumped out of the car with a book bag and began to run. The officers gave chase on foot. They later caught McIlwain and smelled marijuana coming from the book bag. They opened the book bag and found 88 grams of marijuana in three individually wrapped packages, a mason jar containing approximately 11 grams of marijuana, 3 digital scales, a cellphone and a Taurus Model PT24/7 Pro, 9mm pistol. The firearm had been reported stolen. McIlwain also had 2 grams of marijuana in his pocket. McIlwain was arrested.
The case was investigated by agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives and Lancaster County Sheriff's Department. Assistant United States Attorney William K. Witherspoon of the Columbia office prosecuted the case.
This case was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases.
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Lancaster County Man Pleads Guilty to Possession of a FirearmRead the Press Release
Contact Person: William Witherspoon (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Reco Valarie Cauthen, age 42, of Lancaster County, South Carolina has entered a guilty plea in federal court in Columbia, South Carolina to possession of a firearm by convicted felon, a violation of 18 U.S.C. § 922(g)(1). United States District Judge Joseph F. Anderson, Jr. of Columbia accepted the guilty plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that the Lancaster County Sheriff’s Department received a call for an ongoing burglary. The caller gave the police a description of the burglars. The caller also gave the description of the vehicle they were driving as a white pickup truck with a dealer’s tag. As officers arrived, the owner of the car dealership arrived on the scene and gave the officers the name of the person whom he had allowed to test drive that vehicle earlier that morning. He told the officers that the person had not returned the vehicle nor returned telephone calls.
As the officers searched the area for the vehicle, they saw a black Lexus driven by Reco Cauthen and 3 other persons in the car. Officers were familiar with these individuals and knew they had been mentioned as receivers of stolen items. When the officers began to follow the car, the rear driver’s side door opened and Martiquos Javon McIlwain jumped out of the car with a book bag and began to run. The officers gave chase on foot.
As some officers chased McIlwain on foot, other officers located the black Lexus nearby. Cauthen was driving the car. The officers knew that Cauthen did not have a driver’s license and stopped the car. They found Cauthen and two (2) other persons in the car. Cauthen was asked for his driver’s license and admitted that he did not have one. He was arrested. The car was searched and the officers found a Ruger model P95, 9mm pistol in a closed compartment under the driver’s seat. While this was ongoing, another officer reported that he had seen Cauthen’s car and the white truck used in the burglary at Cauthen’s house earlier in the day. The white truck had been found abandoned near Cauthen’s home. Based upon all of this information, the officers obtained a search warrant for Cauthen’s home. In the house, they found an AMT Government model .45 caliber pistol located in a vent in a bathroom, 34 rounds of 9mm ammunition, six 30 round magazines for an AK-47 type rifle, a Jimenez .380 caliber pistol box and one 7.62x39 caliber round of ammunition. Cauthen is prohibited from possessing a firearm based upon a prior felony conviction.Mr. Nettles stated the maximum penalty Cauthen could receive is life imprisonment and/or a fine of $250,000.
The case was investigated by agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the State Law Enforcement Division, and the Lancaster County Sheriff's Department. Assistant United States Attorney William K. Witherspoon of the Columbia is prosecuting the case.
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Justice Department Reaches Settlement with Columbia, South Carolina, Police Department to Ensure Communication Access for Persons with Hearing DisabilitiesRead the Press Release
Contact person: Office of Public Affairs (202) 514-2007
WASHINGTON – The Justice Department announced today a settlement with the Columbia, South Carolina, Police Department (CPD) to ensure that persons who are deaf or hard of hearing receive sign language interpreters and other services necessary for effective communication when interacting with CPD police officers, whether on the road or at a precinct.
Title II of the Americans with Disabilities Act (ADA) requires public entities such as police officers, firefighters and correctional officers to ensure that their communications with people with hearing disabilities are as effective as their communications with people without disabilities.
CPD, under the leadership of Chief W.H. “Skip” Holbrook, serves the largest city in the state of South Carolina with more than 133,000 residents. After the department completed an investigation that found that CPD was not providing the required services to allow for effective communication with persons who are deaf or hard of hearing, CPD worked cooperatively to reach an agreement to ensure effective communication with individuals with disabilities. Under the settlement agreement, CPD will:
• Provide auxiliary aids and services free of charge, including sign language interpreters, to people who are deaf or hard of hearing, within proscribed time frames;
• Modify handcuffing policies to handcuff deaf individuals in front, safety permitting, to enable the person to communicate using sign language or writing;
• Designate an ADA coordinator for law enforcement;
• Develop and utilize a communication card to communicate with persons who are deaf or hard of hearing during routine interactions in the field;
• Develop a communication assessment form to assess, in consultation with an arrestee, what auxiliary aids or services are necessary, and the timing, duration and frequency with which they will be provided;
• Provide at least one TTY and one videophone at each CPD station and sub-station;
• Conduct annual ADA training for CPD personnel and;
• Adopt and publish grievance procedures providing for prompt and equitable resolution of complaints against CPD alleging any action that would be prohibited by Title II or the agreement.“Our first responders play a critical role in protecting the safety of our communities, and we must ensure they can communicate effectively with all people, including those with hearing disabilities,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “This settlement will ensure that the Columbia Police Department complies with federal law, protects the civil rights of all its residents and more effectively advances public safety.”
The Justice Department has a number of publications available to assist entities to comply with the ADA, including Effective Communication, which provides guidance on the department’s regulations relating to communicating effectively with people who have vision, hearing or speech disabilities. For more information on the ADA and to access these publications, visit www.ada.gov. Those interested in learning more about this settlement or the obligations of public accommodations under the ADA may call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or access its ADA website at www.ada.gov. ADA complaints may be filed by email to [email protected].
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DO NOT REPLY TO THIS MESSAGE. IF YOU HAVE QUESTIONS, PLEASE USE THE CONTACTS IN THE MESSAGE OR CALL THE OFFICE OF PUBLIC AFFAIRS AT 202-514-2007.
Man Pleads Guilty to Lying and Concealment in Connection with the Mother Emanuel AME Church ShootingRead the Press Release
Contact Person: Beth Drake (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles announced today that Joseph Carlton Meek, 21, of Lexington, South Carolina, plead guilty to an Indictment charging him with Misprision of a Felony (in violation of 18 U.S.C. §4) and Making a False Statement (in violation of 18 U.S.C. §1001). Meek entered the guilty plea as a result of his actions following the June 17, 2015, attack on parishioners of the Emanuel African Methodist Episcopal Church in Charleston. Meek faces a maximum of three years on the Misprision count and five years on the False-Statement count. United States District Judge Richard Gergel presided over the hearing and will sentence Meek at a later date.
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This guilty plea is the result of an investigation conducted by the Federal Bureau of Investigation, City of Charleston Police Department, and South Carolina Law Enforcement Division. Assistant United States Attorneys Jay N. Richardson and Nathan Williams are prosecuting the case.Man Pleads Guilty to Lying and Concealment in Connection with the Mother Emanuel AME Church ShootingRead the Press Release
U.S. Attorney Bill Nettles of the District of South Carolina announced today that Joseph Carlton Meek, 21, of Lexington, South Carolina, pleaded guilty to an indictment charging him with misprision of a felony and making a false statement. Meek entered the guilty plea as a result of his actions following the June 17, 2015, attack on parishioners of the Emanuel African Methodist Episcopal Church in Charleston. Meek faces a maximum of three years on the misprision count and five years on the false-statement count. U.S. District Judge Richard Gergel of the District of South Carolina presided over the hearing and will sentence Meek at a later date.
This guilty plea is the result of an investigation conducted by the FBI, Charleston Police Department and South Carolina Law Enforcement Division. Assistant U.S. Attorneys Jay N. Richardson and Nathan Williams of the District of South Carolina are prosecuting the case.
Federal Grand Jury IndictmentsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
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United States Attorney Bill Nettles stated today that a Federal Grand Jury in Florence, South Carolina, returned Indictment(s) against the following:
Man Arrested on Francis Marion University Campus on Counterfeit Charges
Justin Daniels, age 20, of Florence, South Carolina was charged in a 2-count indictment with manufacturing counterfeit $100.00 Federal Reserve Notes, a violation of Title 18, U. S. C. §471 and possessing counterfeit $100.00 Federal Reserve Notes, a violation of Title 18, U. S. C. §472. The maximum penalty Daniels could receive is 20 years imprisonment and a maximum fine of $250,000.00. The case was investigated by agents of the United States Secret Service and is assigned to Assistant United States Attorney A. Bradley Parham of the Florence office for prosecution.
Federal Corrections Officer Indicted on Bribery and Contraband Charges
Angela McLeod, age 44, of Dillon, South Carolina was charged in a 2-count indictment with bribery, a violation of Title 18, U. S. C. §201(b)(2)(C) and bringing contraband into a federal prison, a violation of Title 18, U. S. C. §1791(a)(1). The maximum penalty McLeod could receive is 15 years imprisonment and a maximum fine of $250,000.00. The case was investigated by agents of the Office of Inspector General for the Department of Justice and is assigned to Assistant United States Attorney A. Bradley Parham of the Florence office for prosecution.
Man Indicted for Possession of Child Pornography
Billy Loyd, age 45, of Myrtle Beach, South Carolina was charged in a 1-count indictment with possession of child pornography, a violation of Title 18, U. S. C. §2252A(a)(5)(B). The maximum penalty Loyd could receive is 10 years imprisonment and a maximum fine of $250,000.00. The case was investigated by agents of the Bureau of Immigration and Custom Enforcement and is assigned to Assistant United States Attorney A. Bradley Parham of the Florence office for prosecution.
Man Indicted for Possession of Child Pornography
Daniel Joe Wells, age 68, of Myrtle Beach, South Carolina was charged in a 1-count indictment with possession of child pornography, a violation of Title 18, U. S. C. §2252A(a)(5)(B). The maximum penalty Wells could receive is 10 years imprisonment and a maximum fine of $250,000.00. The case was investigated by agents of the Bureau of Immigration and Custom Enforcement and is assigned to Assistant United States Attorney A. Bradley Parham of the Florence office for prosecution.
The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.Notice of Court ProceedingsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
COLUMBIA, SOUTH CAROLINA – United States Attorney Bill Nettles announced that the court will hold a proceeding at 1:00pm on Friday, April 29, 2016, in the case of United States v. Joseph Meek.
WHEN: Friday, April 29, 2016 at 1:00 p.m. WHERE: J. Waites Waring Federal Courthouse-Annex
85 Broad Street, Courtroom #6, 4th Floor
Charleston, SC 29402#####
Notice of Press ConferenceRead the Press Release
Contact Person: Lt. Curtis Wilson Office (803) 576-1429, Cell (803) 309-1624
COLUMBIA, SOUTH CAROLINA – Assistant Special Agent in Charge Robert Murphy, United States Drug Enforcement Administration, and Sheriff Leon Lott, Richland County Sheriff’s Office, will hold a press conference at 11:00 a.m., Thursday, April 28, 2016 at the Richland County Sheriff’s Office to discuss the 2016 Drug Takeback.
WHEN: Thursday, April 28, 2016 TIME: 11:00 am WHERE: Richland County Sheriff's Office
5623 Two Notch Road, Columbia, SC NOTE: All media should be in place 20 minutes prior to start.####
Federal Court Orders Seizure of 67 Website Domains Involved in Smuggling and Selling Misbranded and Counterfeit Prescription DrugsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles today announced that Special Agents with U.S. Immigration and Customs Enforcement’s (ICE), Homeland Security Investigations have executed seizure orders against 67 domain names of commercial websites engaged in the illegal sale and distribution of counterfeit and prescription drugs. The seized domains are in the custody of the federal government. Visitors to the sites will now find a seizure banner that notifies them that the domain name has been seized by federal authorities for violations of federal laws against smuggling and trademark misuse.
The domain names are subject to forfeiture under federal forfeiture laws that afford individuals who have an interest in the seized domain names a period of time after the “Notice of Seizure” to file a petition with a federal court and additional time after the “Notice of Forfeiture” to contest the forfeiture. If no petitions or claims are filed, the domain names become property of the U.S. government.
Said Nettles: “It’s important for consumers to understand the significant risks involved in purchasing pharmaceutical drugs from these websites. The generic versions of these prescription drugs are not approved by the Food and Drug Administration and cannot be distributed in the United States legally. To be safe and effective, prescription drugs must be taken under the care and supervision of appropriate health care professionals; not purchased off the internet from unknown and unregulated foreign sources.”
The case was investigated by Special Agents with U.S. Immigration and Customs Enforcement’s (ICE), Homeland Security Investigations. Assistant United States Attorney Eric Klumb is assigned to handle the forfeiture.
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DEA South Carolina District Office to Hold 11th Prescription Drug Take-Back Day This SaturdayRead the Press Release
Contact Person: Chuvalo J. Truesdell (404) 893-7124
COLUMBIA, SC. - The Drug Enforcement Administration’s (DEA) South Carolina District Office is partnering with national, state, local, and tribal law enforcement officials, as well as community coalition groups, to hold its 11th state-wide Prescription Drug Take-Back Day on Saturday, April 30, 2016 from 10 a.m. to 2 p.m. local time. This one-day event will make it convenient for the public to rid their homes of potentially dangerous prescription drugs. At the event, South Carolinians will be able to drop off their expired, unused, and unwanted pills at sites across the state free of charge, no questions asked. By doing so, they will help prevent prescription drug abuse and theft. South Carolinians participating in DEA’s last take-back, held on September 26, 2015, yielded 5,230 pounds of unwanted or expired medications for safe and proper disposal at sites set up throughout the state.
The National Prescription Drug Take-Back Day addresses vital public safety and health issues. Many Americans are not aware that medicines that languish in home cabinets are highly susceptible to diversion, misuse, and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs.
Surveys of opioid drug users show that the majority of them get their drugs free from friends and family, including from the home medicine cabinet. This is a unique opportunity for Americans to make their homes and medicine cabinets safe from theft and abuse.
Daniel R. Salter, the Special Agent in Charge of the DEA Atlanta Field Division said, “Drug overdoses are the leading cause of injury-related death in the United States, eclipsing deaths from motor vehicle crashes or firearms. The Prescription Drug Take-Back program will allow Americans to properly and safely dispose of their prescription medication which could otherwise be abused for non-medical purposes. This event is free and anonymous. Simply turn in your unused, unwanted, unneeded medication, no questions asked. This is just one example of how DEA is working hand-in-hand with its law enforcement and community partners in an effort to stem the tide of prescription drug abuse.”
The DEA encourages parents, along with their children, to educate themselves about the dangers of legal and illegal drugs by visiting DEA’s interactive websites at www.justhinktwice.com, www.GetSmartAboutDrugs.com and www.dea.gov.
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Lancaster County Man sentenced to more than 15 years for dealing cocaineRead the Press Release
Contact Person: William K. Witherspoon (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Mitchell Narada Kelly, a/k/a "Duncey", age 36, of Lancaster County, South Carolina was sentenced yesterday in federal court in Columbia, South Carolina, for possession with the intent to distribute and distribution of a quantity of cocaine, a violation of 18 U.S.C. §§ 841(a)(1), 841(b)(1)(C) and 851. United States District Judge Mary Geiger Lewis of Columbia sentenced Kelly to 188 months (15 years and 8 months) in prison, followed by 6 years of supervised release and a special assessment of $100.
Evidence presented at the change of plea hearing established that members of the Lancaster County Sheriff’s Department Narcotics Unit, FBI and ATF developed informants that agreed to make a controlled purchase of cocaine from Kelly. The officers sent the individuals to Kelly’s residence where they purchased cocaine from Kelly on April 9, 2015, June 3, 2015 and June 24, 2015. The cocaine purchased in each controlled buy weighed between one and three ounces. Based upon these controlled buys, the officers obtained a search warrant to search Kelly’s house where they found digital scales, a small amount of cocaine, various types of ammunition and a .40 caliber Ruger model SR40C pistol. During his guilty plea hearing, Kelly admitted to having five (5) prior felony drug convictions before these purchases.
The case was investigated by agents of the Federal Bureau of Investigations, Bureau of Alcohol, Tobacco, Firearms and Explosives and Lancaster County Sheriff's Department. Assistant United States Attorney William K. Witherspoon of the Columbia, South Carolina office prosecuted the case.
This case was a part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases.
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Columbia Man Sentenced for Investor FraudRead the Press Release
Contact Person: Winston Holliday (803)-929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated that ROBERT STUART LEBEN, age 53, of Columbia, South Carolina, was sentenced today in federal court in Columbia, South Carolina, for Conspiracy to Commit Wire Fraud, a violation of 18 U.S.C. § 371, in connection with an investor fraud scheme. United States District Judge Mary Geiger Lewis of Columbia sentenced Leben to 40 months of incarceration. Leben also was ordered to pay over $1.8 million in restitution to the individual victims.
Evidence presented at the change of plea hearing established that between 2008 and 2015, Leben controlled the Structured Finance Group (SFG), which purportedly invested in United States Treasury fixed-income securities called “T-STRIPS” on behalf of his clients. Leben developed a plan to buy discounted T-STRIPS and use the difference between the discounted price and the face value to generate income by trading in commodities. Leben used two third party intermediaries between himself and those giving him money to be invested. Records obtained by the FBI show correspondence from Leben to investors confirming the amount handed over and falsely representing to those individuals that they had active balances in their accounts. However, rather than buy T-STRIPS, Leben diverted the bulk of investor money for his own use, including purchasing a $500,000 house, a backyard pool and landscaping worth $180,000, vacations, surgical procedures, and various financial gifts to his family members. The investigation revealed eleven victims who lost approximately $2.3 million, some of which has been recouped.
The case was investigated by the Federal Bureau of Investigation, with assistance from the South Carolina Attorney General’s Office. Assistant United States Attorneys Winston Holliday and Jim May of the Columbia office prosecuted the case.
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Federal Grand Jury IndictmentsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
United States Attorney Bill Nettles stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictments against the following:
Seven Individuals Indicted for Conspiring to Alter Checks
Cornelius N. Mattress, age 42, of Pendleton, South Carolina; Karissa L. Miller, age 24, of Anderson, South Carolina; Sherry D. Lyons, age 43, of Abbeville, South Carolina; Erica R. Floyd, age 24, of Abbeville, South Carolina; Rosalynn D. Crawford, age 35, of Abbeville, South Carolina; Ruby A. Adams, age 53, of Anderson, South Carolina; and Stacy S. Paul, age 40, of Anderson, South Carolina were charged in a 1-count indictment with conspiracy, a violation of Title 18, United States Code, Section 371. The maximum penalty each defendant could receive is 5 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Postal Inspection Service and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.Greenville Resident Indicted on Child Pornography
Richard Wallace Heald, III, age 25, of Greenville, South Carolina, was charged in a 2-count indictment. Richard Wallace Heald, III, was charged with Possession of Child Pornography, a violation of Title 18, United States Code, Section 2252A(a)(5)(B) and Receiving or Distribution of Child Pornography, a violation of Title 18, United States Code, Section 2252(a)(2). The maximum penalty Heald could receive is 20 years imprisonment and a maximum fine of $250,000. The case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) agents and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution. This case is being brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, 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 identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.Greenwood Man Indicted for Delay of Mail by a Postal Employee
Stephen J. Ritchie, Jr., age 32, of Greenwood, South Carolina, was charged in a single-count Indictment with delay of mail by a postal employee, a violation of Title 18, United States Code, Section 1703. The maximum penalty Ritchie could receive is five years imprisonment and a fine of $250,000.00. The case was investigated by agents of the United States Postal Service, Office of Inspector General, and is assigned to Assistant United States Attorney David C. Stephens of the Greenville office for prosecution.The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Federal Grand Jury IndictmentsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
United States Attorney Bill Nettles stated today that a Federal Grand Jury in Charleston, South Carolina, returned Indictment(s) against the following:
Charleston-based NOAA Employee Charged with Possession of Child Pornography involving Prepubescent Minors
Clayton A. Norfleet, age 53, of West Columbia, was charged in a one-count Indictment with Possession of Child Pornography involving Prepubescent Minors, in violation of Title 18, United States Code, Sections 2252A(a)(5)(B) and 2252A(b)(2). Norfleet could receive a maximum sentence of 20 years imprisonment and a $250,000 fine. The case was investigated by agents of the Department of Commerce-Office of Inspector General (DOC-OIG) and is assigned to Assistant United States Attorney Dean H. Secor of the Charleston office for prosecution.North Charleston Felon Indicted for Illegally Reentering the United States
Fidel Ramos Sanchez, age 39, of North Charleston, was charged in a one-count Indictment with Illegal Reentry of an Alien after being removed subsequent to a conviction for an aggravated felony, in violation of Title 8, United States Code, Sections 1326(a) and 1326(b)(2). The maximum penalty Sanchez could receive is 20 years imprisonment and a $250,000 fine. The case was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) and is assigned to Assistant United States Attorney Dean H. Secor of the Charleston office for prosecution.North Charleston Man Charged with Distribution of Child Pornography and Possession of Child Pornography involving Prepubescent Minors
Derek Wayne Sanson, age 26, of North Charleston, was charged in a two-count Indictment with Distribution of Child Pornography, in violation of Title 18, United States Code, Sections 2252A(a)(2) and 2252A(b)(1), and Possession of Child Pornography involving Prepubescent Minors, in violation of Title 18, United States Code, Sections 2252A(a)(5)(B) and 2252A(b)(2). Sanson could receive a mandatory minimum sentence of 5 years imprisonment and a maximum of 20 years imprisonment and a $250,000 fine for the Distribution of Child Pornography count, and a maximum sentence of 20 years imprisonment and a $250,000 fine for the Possession of Child Pornography involving Prepubescent Minors count. The case was investigated by agents of the Federal Bureau of Investigation (FBI) and is assigned to Assistant United States Attorney Dean H. Secor of the Charleston office for prosecution.The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Hamer Man Sentenced for Assaulting and Robbing Postal CarrierRead the Press Release
Contact Person: Eric Klumb (843) 727-4381
Columbia, South Carolina---- United States Attorney Bill Nettles announced that Hamer resident Cristopher Rakel German, age 25, was sentenced to a two-and-a-half years in prison for assaulting a mail carrier with intent to rob in violation of 18 U.S.C. §2114(a). The sentence was imposed on April 5th by United States District Court Judge R. Bryan Harwell sitting in Florence. On August 16, 2013, German had stopped a mail carrier after the carrier had attempted to deliver a package addressed to a fictitious name at the home of German’s relative. After the carrier refused to give the package to German, he shoved her and grabbed it. The package contained an unknown quantity of marijuana.
The case was investigated by Inspectors of the U.S. Postal Inspection Service. Assistant United States Attorney Eric Klumb prosecuted the case.
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Rock Hill Man Charged with Being a Felon in Possession of a FirearmRead the Press Release
Contact Person: Beth Drake (803) 929-3000
United States Attorney Bill Nettles stated today that a Federal Grand Jury in Columbia, South Carolina, returned an Indictment against the following:
Rock Hill man charged with being a felon in possession of a firearm
Robert Da’Quan Johnson, age 20, of Rock Hill, South Carolina was charged in a one-count indictment stemming from an incident in Rock Hill on March 4, 2016. Johnson was charged with being a felon in possession of a firearm and ammunition, a violation of Title 18, U.S.C. ''922(g)(1), 924(a)(2), and 924(e). The maximum penalty Johnson could receive on the charge is 10 years imprisonment and a maximum fine of $250,000, unless he is determined to be an armed career criminal, and then he would face a mandatory minimum 15 years with a maximum of life imprisonment and a maximum fine of $250,000. Johnson was previously arrested for this charge pursuant to a federal criminal complaint on March 8, 2016. The case was investigated by agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Rock Hill Police Department and is assigned to Assistant United States Attorney Stacey D. Haynes of the Columbia office for prosecution.The United States Attorney stated that all charges in this Indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Former Loan Officer Sentenced to Prison for Role in $45 Million Mortgage Fraud SchemeRead the Press Release
Contact Person: Dean Secor (843) 727-4381
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Steven F. Weiss, age 67, of Virginia Beach, Virginia was sentenced on Wednesday in federal court in Charleston, South Carolina for Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, a violation of 18 U.S.C. § 371. U.S. District Judge Richard M. Gergel sentenced Weiss to 30 months in federal prison. Judge Gergel also ordered Weiss to serve three years of supervised release after he is released from prison (the first twelve months under electronic monitoring) and to pay restitution in the amount of $4,961,732.
Evidence presented at Weiss’ change of plea hearing established that he participated in a mortgage fraud conspiracy that utilized real estate and mortgage businesses operated in Summerville, South Carolina under the names North American Mortgage Group, LLC; Realty Executives of Coastal Carolina; and New Freedom Enterprises, LLC.
The scheme involved more than 70 properties, approximately $45 million of mortgage loans, and a loss of more than $23 million suffered by financial institutions. The properties were located in Charleston, Johns Island, Ladson, Mount Pleasant, Summerville, Edisto Island, St. Helena Island, Garden City, Murrells Inlet, Myrtle Beach, North Myrtle Beach, Lake Keowee, and Tybee Island, Georgia.
Weiss worked as a loan officer for North American Mortgage Group, LLC. He was directly involved with at least 13 of the properties involved in the scheme, and the losses associated with those 13 properties totaled $4,961,732.
Two defendants previously pleaded guilty in connection with the scheme and are awaiting sentencing. Scott M. Wickersham, 36, of Summerville, pleaded guilty to one count of Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, in violation of Title 18, United States Code, Section 1349, and two counts of Willfully Making and Subscribing a False Tax Return, in violation of Title 26, United States Code, Section 7206(1). Kelly Martin, 34, of Moncks Corner pleaded guilty to one count of Conspiracy to Commit Mail Fraud, Wire Fraud, and Bank Fraud, in violation of Title 18, United States Code, Section 371.
Two other defendants were indicted in December in connection with the scheme and their cases are pending.
The case was investigated by agents of the Federal Bureau of Investigation (FBI) and the Internal Revenue Service-Criminal Investigation (IRS-CI). Assistant United States Attorney Dean H. Secor of the Charleston office prosecuted the case.
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“Sovereign Citizens” Sentenced to Prison for Tax FraudRead the Press Release
Contact Person: Jim May (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated that Jefford Henry, Jeffrey Henry, Linda Marie Henry, Makeshia Glover and Bobby McGuire, were sentenced today in federal court in Columbia, South Carolina, for conspiracy to commit wire, mail and bank fraud, a violation of 18 U.S.C. § 1349, wire fraud, a violation of 18 U.S.C. § 1343, mail fraud, a violation of 18 U.S.C. § 1341, and money laundering, a violation of 18 U.S.C. § 1956. United States District Judge Mary Geiger Lewis of Columbia sentenced Jefford Henry to 108 months, Jeffrey Henry to 121 months, Linda Marie Henry to 87 months, Makeshia Glover to 87 months and Bobby McGuire to 46 months.
Evidence presented at the trial established that the defendants are members of the sovereign citizen group, the Moorish Nation. The defendants stole approximate 2 million dollars from the IRS and attempted to steal over 12 million dollars by submitting fraudulent tax returns. Evidence established that once the money was deposited, the defendants shared in the proceeds, buying automobiles and property. The defendants claimed that their belief structure allowed them to steal from the IRS - an argument that the Government refuted and the jury rejected. Because the defendants have continued to file frivolous and nonsensical demands with the court, they were taken into custody immediately after the sentence was pronounced.
The case was investigated by agents of the FBI and IRS CID. Assistant United States Attorneys Jim May and DeWayne Pearson of the Columbia office prosecuted the case.
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Gang Member Pleads Guilty to Stolen Firearm and Ammunition ChargeRead the Press Release
Contact Person: Stacey D. Haynes (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated that Anthony Leroy Doctor, a/k/a “Amp,” age 26, of Columbia, South Carolina plead guilty today in federal court. Doctor plead guilty to being in possession of a stolen firearm and ammunition, in violation of Title 18, United States Code, Sections 922(j) and 924(a)(2). United States District Judge Mary Geiger Lewis of Columbia accepted the plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented in court established that shortly before midnight on June 7, 2015, Doctor and others became involved in a disturbance in the parking lot outside a nightclub located in a strip mall at Broad River Road and Rushmore Road in Columbia. Doctor was armed with a firearm and when confronted by club security, Doctor left the premises and discarded the firearm in some bushes along a parking lot behind a restaurant across from the club. Later, Doctor returned to the bushes and attempted to retrieve the firearm, but was asked to leave the premises by the restaurant security. Doctor continued to return to search the bushes and while Doctor was looking for the firearm in the bushes, a deputy with the Richland County Sheriff’s Department arrived in response to the restaurant’s call about a suspicious person in their parking lot. When asked what he was doing, Doctor, without turning around, replied that he was looking for his gun. Doctor then turned around and noticed that the security guard had been joined by the Richland County deputy. Doctor, who was intoxicated, was placed in investigative detention while deputies searched for the firearm. Deputies called a K-9 to the scene. The K-9 performed an article search and retrieved the firearm from the bushes where Doctor had been searching earlier. Doctor, an admitted gang member, was placed under arrest for state weapon charge and disorderly conduct. The firearm, a Taurus 9mm handgun was loaded with one round of 9mm ammunition, and had previously been stolen in the fall of 2014 from a vehicle in Aiken. The case was referred to federal authorities for prosecution as Doctor, who was on state probation at the time, is prohibited under federal law from possessing firearms and/or ammunition based upon his prior state felony convictions, which include carjacking, assault and battery with intent to kill, strong arm robbery, and possession of a firearm by a person convicted of a violent crime.
Doctor faces a maximum of 10 years imprisonment and/or a fine of $250,000 on the stolen firearm/ammunition charge. Doctor stipulated and agreed to imposition of the maximum 10 years imprisonment sentence as part of his federal plea agreement.
The case was investigated by the Richland County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Lexington Farm Pleads Guilty to Employing Illegal Aliens and Pays a Million Dollar FineRead the Press Release
Contact Person: Jim May (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that HW Group LLC, a Lexington County Farming Operation, has entered a guilty plea to a pattern and practice of employing illegal aliens, a violation of Title 8, United States Code § 1324a, and was sentenced to a one million dollar fine and 4 years of intensive supervision. Senior United States District Judge Joseph F. Anderson, Jr. of Columbia presided over the hearing.
Evidence presented at the hearing established that HW Group is one of several related entities that participate in major farming operations in Lexington County and is better known by a related entity, WP Rawl and Sons. An investigation found that the farm had a pattern and practice of employing illegal aliens in their agriculture business. This employment of illegal aliens was both directly by the farm and by the various subcontractors used. An analysis of company records showed that employees had documentation which was often outdated, counterfeit, or improper. Moreover, some of the subcontractors that were used by the farm had little or no documentation for the workers performing services on HW Group’s land. In total, the investigation found that the farm employed between 300-350 illegal aliens in its farming operations.
The Government and the corporate defendant entered into a plea agreement, whereby the corporation agreed to a one million dollar fine and four years of intensive supervision by the United States Probation Office and the Department of Homeland Security.
The United States Attorney Bill Nettles stated, "This plea and sentencing should serve as a notice to businesses that this District is focused on the demand side enforcement of immigration laws. The law applies to businesses as it does to the individuals.”
The case was investigated by agents of the Homeland Security Investigations. Assistant United States Attorneys Jim May and Jay Richardson of the Columbia office prosecuted the case.
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Spartanburg Woman Pleads Guilty to Treasury Check ConspiracyRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Brandy D. Page, age 38, of Spartanburg, pled guilty today in federal court in Anderson, to conspiracy to pass Treasury checks of the United States bearing falsely made or forged endorsements, a violation of Title 18, United States Code, Section 371. United States District Timothy M. Cain, of Anderson accepted the plea and will impose sentence after he has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that Page obtained Treasury checks by filing false tax returns and from other sources. She then would create a fraudulent power of attorney form giving her authority to cash the check that falsely purported to be executed by the payee listed on the Treasury check. Law enforcement estimates that Page cashed over $200,000 in Treasury checks in this manner before her scheme was discovered.
Law enforcement discovered the scheme in March 2014 when the Greer Police Department received a complaint from a Georgia man that someone had stolen and cashed his Treasury check in the Greer Wal-Mart. The driver’s license number and date of birth written on the check came back to Page. The Internal Revenue Service assisted local authorities and uncovered the breadth of Page’s scheme.
Mr. Nettles stated the maximum penalty Page can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.
The case was investigated by agents of the Greer Police Department and the Internal Revenue Service. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Respironics to Pay $34.8 Million for Allegedly Causing False Claims to Medicare, Medicaid and Tricare Related to the Sale of Masks Designed to Treat Sleep ApneaRead the Press Release
Contact Person: Public Affairs (202) 514-2007
WASHINGTON – Respironics Inc., based in Murrysville, Pennsylvania, has agreed to pay $34.8 million to resolve alleged False Claims Act violations for paying kickbacks in the form of free call center services to durable medical equipment (DME) suppliers that bought its masks for patients with sleep apnea, the Department of Justice announced today.
“The payment of illegal remuneration in any form to induce patient referrals threatens public confidence in the health care system,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “Americans deserve to know that when they are prescribed a device to treat a serious health care problem, the supplier’s judgment has not been compromised by illegal payments from equipment manufacturers.”
The Anti-Kickback Statute prohibits the knowing and willful payment of any remuneration to induce the referral of services or items that are paid for by a federal healthcare program, such as Medicare, Medicaid or TRICARE. Claims submitted to these programs in violation of the Anti-Kickback Statute are also false claims under the False Claims Act.
The United States alleged that Respironics violated the Anti-Kickback Statute and the False Claims Act by providing free services to DME suppliers to induce them to purchase Respironics masks that treat sleep apnea. Respironics allegedly provided DME companies with call center services to meet their patients’ resupply needs at no charge as long as the patients were using masks that Respironics manufactured; otherwise, the DME companies would have to pay a monthly fee based on the number of patients who used masks manufactured by a competitor of Respironics. The government alleged that the conduct began in April 2012 and continued until November 2015.
“This office has made a substantial commitment to combating fraud,” said U.S. Attorney Bill Nettles of the District of South Carolina. “Our commitment has made this district one of the leaders on behalf of whistleblowers. We hope that those who commit fraud will recognize that it is our goal to make the consequences more than just the cost of doing business.”
Respironics will pay roughly $34.14 million to the federal government and roughly $660,000 to various state governments based on their participation in the Medicaid program.
The settlement resolves a lawsuit originally brought by Dr. Gibran Ameer, who has worked for different DME companies, under the qui tam provisions of the False Claims Act. The Act permits private citizens with knowledge of fraud against the government to bring a lawsuit on behalf of the United States and to share in any recovery. Under the civil settlement announced today, Dr. Ameer will receive $5.38 million out of the federal share of the recovery.
“Medical equipment manufacturers that boost profits by providing kickbacks to suppliers will be held accountable for their improper conduct,” said Special Agent in Charge Derrick L. Jackson of the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “We will continue to investigate such business arrangements, which threaten the integrity of federal health care programs.”
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by the Attorney General and the Secretary of Health and Human Services. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $27.4 billion through False Claims Act cases, with more than $17.4 billion of that amount recovered in cases involving fraud against federal health care programs.
This settlement was the result of a coordinated effort by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office of the District of South Carolina, and HHS Office of Counsel to the Inspector General and Office of Investigations and the National Association of Medicaid Fraud Control Units.
The lawsuit is captioned United States et al. ex rel. Dr. Gibran Ameer v. Philips Electronics North America, et al., Case No. 2:14-cv-2077-PMD (D.S.C.). The claims resolved by the settlement are allegations only, and there has been no determination of liability.
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Notice of Court ProceedingsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
COLUMBIA, SOUTH CAROLINA – United States Attorney Bill Nettles stated that United States District Judge Joseph F. Anderson will hold a hearing in the case of United States v. HW Group, Case No. 3:16-po-2.
WHEN: Thursday, March 24, 2016, at 2 pm WHERE: Matthew J. Perry, Jr., Courthouse
901 Richland Street, Courtroom V
Columbia, SC 29201#####
Hilton Head Island Man Sentenced to 108 Months in Prison for Child Pornography OffensesRead the Press Release
Contact Person: Dean H. Secor (843) 727-4381
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that David Christman Berg, Jr., age 55, of Hilton Head Island, South Carolina was sentenced on Tuesday in federal court in Charleston, South Carolina for Possession of Child Pornography, a violation of 18 U.S.C. § 2252A(a)(5)(B). Senior U.S. District Judge Margaret B. Seymour sentenced Berg to 108 months in federal prison. Judge Seymour also ordered Berg to serve a lifetime term of supervised release after he is released from prison.
Evidence presented at the change of plea hearing last June established that in April 2012 an undercover FBI agent was browsing a website known to be used by child pornographers. The agent determined that Berg had posted child pornography images on the website. A search warrant was executed at Berg’s residence in Hilton Head Island on May 14, 2012. Agents seized computers and thumb drives from Berg that contained approximately 14,000 child pornography images and 41 child pornography videos, including child pornography involving prepubescent minors and sadistic and masochistic conduct. Berg was interviewed and admitted that he possessed child pornography.
The case was investigated by agents of the Federal Bureau of Investigation (FBI). Assistant United States Attorney Dean H. Secor of the Charleston office prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Justice Department in May 2006 to combat the growing epidemic of child exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section, 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.
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Members of Mail Theft Conspiracy Operating in Upstate South Carolina Sentenced to PrisonRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Shannon D. Ashworth, age 33, Wendy D, Sisk, age 45, and Danny Buford, age 47, all of Anderson, were sentenced today in federal court in Anderson, for conspiracy to commit fraud, a violation of Title 18, United States Code, Section 371. United States District Judge Timothy M. Cain of Anderson sentenced Ashworth to 60 months imprisonment, Sisk to 24 months imprisonment, and Buford to 18 months imprisonment. Collectively, they were ordered to pay over $40,000 in restitution, and placed on three years of supervised release.
Evidence presented at the change of plea hearing established that the United States Postal Inspection Service, the Anderson County Sheriff’s Office, the Anderson City Police Department, and other local agencies had undertaken a long-term investigation into the theft of mail in and around Anderson County. It was discovered that an organization existed that regularly stole mail from residential boxes, sorted the stolen mail for checks and personal identifying information, created, altered or counterfeited checks, and created false identification documents. Multiple counterfeited and altered checks were passed throughout the upstate. Most of the fraud was conducted in an effort to obtain funds to purchase methamphetamine.
Sisk was a leader of an organization of more than 20 individuals. She served as a clearing house for stolen mail and aided other co-conspirators in creating and cashing counterfeit checks. Ashworth stole mail and cashed multiple counterfeit checks throughout the upstate. He also made counterfeit identification documents. Danny Buford stole mail and also cashed checks for the conspiracy.
The case was investigated by agents of United States Postal Inspection Service, the Anderson County Sheriff’s Office, the Anderson City Police Department, and other local law enforcement agencies. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Greenwood Man Sentenced to 20 Months for Conspiring to Defraud the Department of Veterans AffairsRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Charles B. Harris, age 48, of Ninety-Six, South Carolina, was sentenced in federal court in Anderson, for conspiracy to defraud the United States. United States District Judge Timothy M. Cain of Anderson sentenced Harris to 20 months imprisonment and ordered him to pay over $45,000 in restitution.
Evidence presented at the change of plea hearing established that from 2011-2014, Harris owned and operated the Greenwood Barber College. The school was approved by the VA to teach veterans the skill of barbering. Harris was the certifying official who agreed to accurately monitor and report student attendance and academic progress.
In December 2013, the Department of Veterans Affairs received a complaint that Harris was conspiring with various veterans in stealing Government funds. Agents opened an investigation and interviewed several of Harris’ students. The students told agents that so long as they paid Harris $400 per month, he did not require them to attend class. Harris would falsify documents indicating their attendance and progress so the students could continue to receive VA educational benefits.
On February 6, 2014, agents interviewed Harris at the Greenwood Barber College. Harris admitted to helping veterans sign up for the Veteran Retraining Assistance Program (“VRAP”) and other VA programs offering financial aid for career training. He would then enroll them in the Greenwood Barber College. Harris admitted that he would not require the veterans (whether VRAP or another program) to actually attend classes at the Greenwood Barber College and that he would falsify records documenting the attendance and performance of the veterans. So long as the veterans paid Harris $400 per month, he kept them enrolled in the school. Harris said that he knew what he did was wrong and was he was sorry.
The case was investigated by agents of the Department of Veterans Affairs, Office of the Inspector General. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Columbia Man Sentenced to 15.8 Years Impirsonment for Federal Firearm ChargeRead the Press Release
Contact Person: Stacey Haynes (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Wade Andrew Albright, age 43, of Columbia, South Carolina was sentenced to 188 months (15.8 years) imprisonment today in federal court. In November 2015, Albright plead guilty to being a felon in possession of a firearm and ammunition, a violation of Title 18, United States Code, Sections 922(g)(1), 924(a)(2), and 924(e). Senior United States District Court Judge Margaret B. Seymour determined that Albright was an armed career criminal, subject to enhanced penalties. The imposed term of imprisonment will be followed by 3 years of supervised release.
Evidence presented at the earlier change of plea hearing established that on the early morning hours of November 29, 2013, officers with the Lexington County Narcotics Enforcement Team (“NET”) set up surveillance in order to arrest Albright on outstanding state warrants for distribution of cocaine and crack cocaine. Officers observed Albright drive into the employee parking lot for the plant where he was employed at the time. As officers approached his truck, Albright got back into the truck and fled. Officers observed Albright drive into a neighborhood. Shortly thereafter, officers observed Albright’s truck in the parking lot of an apartment complex in the area, the driver’s door was open and the truck was still running. Other officers then observed Albright along a wood line. After a brief chase, Albright was arrested. A search incident to arrest revealed numerous pill bottles containing individually bagged pills, cocaine, and marijuana both on Albright’s person and in a book bag he discarded while running. Officers also located a located Smith & Wesson .38 caliber revolver and additional rounds of ammunition on Albright. A check of the firearm revealed that it had previously been reported stolen in Richland County.
Albright is prohibited under federal law from possessing firearms and/or ammunition based upon his prior state convictions for burglary 2nd degree (3 separate convictions, each involving a firearm), strong arm robbery (3 separate convictions, each involving a firearm), escape, grand larceny (two separate counts), assault and battery of a high and aggravated nature stemming from an incident in a detention center, assault and battery of high and aggravated nature stemming from an incident in the South Carolina Department of Corrections), and manslaughter (stemming from the stabbing of another inmate in the South Carolina Department of Corrections). Albright is subject to enhanced penalties under 18 U.S.C. ' 924(e) in light of his prior convictions in state court for violent felonies.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Lexington County Narcotics Enforcement Team and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Charleston Man Sentenced for Investment FraudRead the Press Release
Contact Person: Rhett DeHart (843) 727-4381
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Vance White, age 49, was sentenced in federal court in Charleston, South Carolina, for Wire Fraud, a violation of 18 U.S.C. § 1343. Senior United States District Judge Weston Houck sentenced White to 36 months imprisonment and 3 years supervised release. The Court also ordered White to pay $629,000 in restitution to the victims.
Evidence presented at his guilty plea hearing established that Vance White was a mortgage originator in Charleston County, S.C. From May 2010 through March 2015, White devised a scheme to defraud investors. It was part of the scheme to defraud that White falsely represented to investors that he had clients who were attempting to purchase residential properties but who could not qualify for traditional bank loans. White persuaded numerous investors to loan money to these clients. The terms of these fictitious loans were a ten percent annual interest rate with the loans being repaid in full in three years. White falsely represented to the investors that each of these loans was secured by mortgages on residential properties, and he fabricated the loan documentation for each loan to make it appear that the loans were secured by residential properties with sufficient equity.
In reality, the loans promoted by White were completely fictitious. There were no borrowers for the loans, nor any collateral to secure the loans. Instead of providing the loan proceeds to actual borrowers, White stole the loan proceeds for his personal use, and he used a small portion of the loan proceeds to make the fraudulent interest payments to the investors in order to prolong the fraud. During the course of the scheme to defraud, White fraudulently obtained more than $800,000 from ten investors for approximately twenty fictitious loans as described above.
The case was investigated by agents of the Federal Bureau of Investigation (FBI). Assistant United States Attorney Rhett DeHart of the Charleston office prosecuted the case.
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Former Prison Guard Pleads Guilty to Smuggling Drugs into Federal PrisonRead the Press Release
Contact Person: Nick Bianchi (843) 727-4381
Charleston, South Carolina ---- United States Attorney Bill Nettles stated today that Anthony Jermaine Creech, of Blackville, South Carolina, has entered a guilty plea in federal court in Charleston, to providing marijuana to inmates at Estill FCI, a violation of 18 U.S.C. § 1791. United States Magistrate Judge Mary Gordon Baker of Charleston accepted the guilty plea. Sentence will be imposed after a district judge has reviewed the presentence report which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that on January 8, 2015, Creech, while working as a prison guard at Estill FCI, delivered one ounce of marijuana to an inmate at the prison. When confronted by authorities, Creech admitted to smuggling in marijuana and other contraband to inmates in exchange for money, and resigned his position at the prison. Estill FCI is a medium security federal prison in Estill, South Carolina.
Mr. Nettles stated the maximum penalty is imprisonment for 5 years and/or a fine of $250,000.
The case was investigated by agents of the Federal Bureau of Investigation and the Department of Justice Office of the Inspector General. Assistant United States Attorney Nick Bianchi of the Charleston office is prosecuting the case.
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Atlanta Kilogram Cocaine Supplier Sentenced to 100 Months in PrisonRead the Press Release
Contact Person: JD Rowell (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Bryant Christopher Ford of Mableton, Georgia was sentenced today in federal court in Columbia, South Carolina, after having pled guilty to conspiracy to possess with intent to distribute cocaine in violation of federal law. Chief United States District Judge Terry L. Wooten of Columbia sentenced Ford to 100 months incarceration, followed by 3 years supervised release. As part of the sentence, Judge Wooten also ordered that Ford is required to forfeit over $300,000.00 in cash and other assets he purchased or used during the drug trafficking conspiracy.
Evidence presented at the change of plea hearing established that the FBI conducted surveillance on Ford and Harold McFadden from April through June of 2015. On June 16, 2015, Agents followed McFadden to an apartment complex near Augusta, Georgia, where McFadden and Ford met out of view of the surveillance agents. Shortly after Ford and McFadden met, McFadden was stopped by Troopers with the South Carolina Highway Patrol that were working with the FBI. A search of McFadden’s van revealed 5 kilograms of powder cocaine hidden in an aftermarket “trap” compartment behind the dash of the van. Paperwork in the van confirmed that McFadden had purchased the van from Ford several months prior.
On that same day, FBI Agents in the Southern District of Georgia received approval to execute a search warrant at Ford’s home in Mableton, Georgia. The search revealed $304,431.00 in cash (some of which was in heat sealed bags), approximately 28 grams of powder cocaine, an industrial money counting machine, heat sealing equipment and other paraphernalia associated with drug use and/or trafficking.
Facts presented at Ford’s guilty plea and sentencing demonstrated that Ford supplied McFadden with between 40-50 kilograms of powder cocaine and over 600 kilograms of marijuana during the course of their drug dealing activities. In total, Ford agreed to forfeit the money that was seized at his house ($304,431.00), two vehicles, and four Rolex watches. The defendant also agreed to pay a $250,000.00 money judgment.
McFadden was sentenced to 70 months, followed by 3 years of supervised release on January 19, 2016, after having pled guilty to conspiracy to possess with intent to distribute cocaine.
The case was investigated by agents of the Federal Bureau of Investigation and Sumter City Police Department. Assistant United States Attorney JD Rowell of the Columbia office prosecuted the case.
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