Western District of Tennessee
Press releases recorded for this federal judicial district.
More Face Consequences in Teacher Certification Cheating ScamRead the Press Release
Memphis, TN – James Sales, 39, of Memphis, TN, and Corey A. Holmes, 36, of Greenville, MS, were indicted yesterday on charges related to the teacher certification cheating scam in which Clarence Mumford, Sr., 59, of Memphis was the ringleader, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. Holmes and Sales were each charged with conspiracy to commit mail fraud, wire fraud and social security fraud, and Sales was also charged with an individual count of wire fraud and two counts of social security fraud.
Corey Alexander, 38, of Cordova, TN
Mumford, Sr. pled guilty on February 1, 2013 to a conspiracy to violate the laws of the United States, wire fraud, and aggravated identity theft. He was sentenced on May 13, 2013 to seven years in prison. During the guilty plea hearing for Mumford, Sr., it was revealed that numerous individuals paid Mumford to have PRAXIS examinations taken on their behalf. Many were teaching under temporary licenses and needed the examinations passed to retain their jobs. Others were attempting to obtain teaching jobs, or were teachers seeking additional endorsements on their licenses, in subjects such as guidance counseling. Many obtained teaching licenses in Tennessee and Mississippi based on the examinations. Many, however, never obtained licenses. Sometimes Mumford’s test-takers did not show up or did not pass. Test-takers identified during the investigation admitted taking approximately 70 to 90 tests during the course of the scheme, which dated back to 1995. Mumford, Sr. paid test-takers from $200 to $1000 per examination during the course of the conspiracy and charged individuals prices ranging from $1,000 to $6,000 for multiple examinations.
Investigators began to unravel the ring after John Bowen – who has pled guilty and been sentenced – was caught at Arkansas State University taking a test in the morning in one person’s name and in the afternoon in a second person’s name. In addition to Bowen, proctors caught Shantell Shaw and Carlos Shaw – who have also pled guilty and been sentenced – taking morning and afternoon session examinations in multiple names. Educational Testing Services, which created and administered the PRAXIS examinations, investigated and reported the incident to the Tennessee Department of Education, which referred the case to the Tennessee Bureau of Investigation. The United States Secret Service later joined the investigation.
As alleged in the indictment, Sales conspired with Mumford to have three PRAXIS examinations taken on his behalf – in Geography, World and U.S. History and Principles of Learning and Teaching – in April and June of 2009. Test-takers used Sales’ social security number while posing as Sales to take the examinations. Sales later submitted an application to the Memphis City Schools in May 2010, citing the Geography and Principles of Learning and Teaching examinations in his educational testing history.
As alleged in the indictment, Holmes conspired with Mumford to have multiple PRAXIS examinations taken on his behalf – in Pre-Professional Skills: Reading, Writing and Mathematics; and in Physical Education – in April 2008. Holmes also conspired with Mumford to have multiple PRAXIS examinations taken on behalf of another individual – in Pre-Professional Skills: Reading, Writing and Mathematics; and in Elementary Education – between May and November 2008.
In addition to the indictments of Sales and Holmes, Clarence Mumford, Jr., 29, of Memphis, TN, was sentenced today by U.S. District Judge John T. Fowlkes, Jr. to three years of probation including eight months of home confinement and monthly community service for his role in the teacher certification cheating scam. Mumford, Jr. was charged last August with having a PRAXIS examination taken on his behalf in 2008. During Mumford, Jr.’s sentencing hearing and his March 2013 guilty plea hearing, it was revealed that in addition to having an examination taken on his behalf, Mumford, Jr. also took examinations on behalf of a number of other individuals.
U.S. Attorney Stanton also announced today that the United States has entered into diversion agreements and statute of limitations waivers with the following individuals:
Samuel Campbell, 39, of Jackson, MS
Darcel Gardner, 35, of Columbus, MS
Jermaine Johnson, 35, of Bartlett, TN
Rondavius Milam, 38, of Memphis, TN
Jadice Moore, 31, of Port Gibson, MS
Sarah Richard, 55, of Richland, MS
Mario Robinson, 31, of Jackson, MS
Shelvie Rose, 32, of Cordova, TN
Devin Rutherford, 36, of Cordova, TN
Marshay Thornton, 32, of Memphis, TN
Tracey Shaw, 41, of Hales Corners, WI
Kimberly Taylor, 37, of Charleston, MS
Timothy Williams, 43, of Lyon, MS
Cedrick Wilson, 34, of Memphis, TN
Ellix Wilson, 27, of Jackson, TN
The agreements bar these individuals from teaching for five years, regardless of whether they obtain valid teaching certificates based on their own scores, or whether they have already done so. These individuals have also signed five-year statute of limitations waivers so that if they attempt to obtain a teaching job within five years they will be prosecuted. In addition, the agreements require restitution from the individuals who obtained teaching licenses and positions as a result of tests arranged by Clarence Mumford, Sr. Today’s announcements bring the total number of individuals sentenced, indicted or charged to 48.
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This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Memphis Man Sentenced to 27 Years in Prison for Heroin DistributionRead the Press Release
Memphis, TN – Harold McDuffie, 49, of Memphis was sentenced yesterday by Chief U.S. District Judge Jon P. McCalla to 27 years in prison for his role in masterminding a heroin distribution ring, announced U.S. Attorney Edward L. Stanton III.
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According to facts revealed during sentencing, McDuffie was one of the principal organizers of a heroin trafficking organization based in the Hyde Park area of Memphis. After the heroin was brought into the city from Chicago, McDuffie was responsible for identifying and organizing stash houses in the neighborhood where drugs were stored.
Before his indictment in May 2012, McDuffie conspired to distribute and did distribute heroin worth thousands of dollars throughout the area. Testimony during sentencing held McDuffie personally responsible for distributing up to three kilograms of heroin, and the organization for distributing as much as seven kilograms of heroin.
The investigation began as a result of a series of heroin overdose deaths in the Hyde Park area. McDuffie pleaded guilty on November 7, 2012, to one count of conspiracy to distribute heroin and one count of heroin distribution. In addition to the prison sentence, Chief Judge McCalla ordered McDuffie to serve eight years of supervised release. There is no parole in the federal prison system.
This case was investigated by the Drug Enforcement Administration. Assistant United States Attorney Daniel French represented the government.
This case was prosecuted under the authority of the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations, money laundering organizations and related criminal enterprises.
Martin Lewis Sentenced to Life in Prison for His Role in Petties Drug Trafficking OrganizationRead the Press Release
Memphis, TN – Martin Lewis, 35, of Memphis, TN was sentenced today by U.S. District Judge Samuel H. Mays, Jr. to life in prison for his role in the Craig Petties Drug Trafficking Organization (DTO), announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian Chambers. There is no parole in the federal prison system.
On March 23, 2012, Lewis was convicted by a federal jury of racketeering conspiracy, violent crime in aid of racketeering activity, conspiracy to commit murder for hire, and money laundering. Evidence presented at trial showed Lewis was a member of a criminal racketeering enterprise, the Petties DTO, whose members conspired with cocaine traffickers in Mexico, Texas, Mississippi, North Carolina, Georgia, Tennessee, and elsewhere. As part of the conspiracy, cocaine was prepared, packaged and/or stored prior to distribution to buyers in “stash houses.” Lewis and his co-conspirators used these “stash houses” to avoid detection by law enforcement authorities. It was further part of the conspiracy that the defendants and their co-conspirators sorted, counted, packaged, and delivered large amounts of cash derived from the sale of controlled substances in various co-conspirators’ premises in the Western District of Tennessee and elsewhere in order to facilitate continued drug trafficking. It was further part of the conspiracy that the defendant and the co-conspirators did kill other people who were believed to be enemies of the enterprise. Over 30 people have been charged and convicted as part of this investigation.
The evidence at trial specifically showed that Lewis worked with co-defendant Clinton Lewis and others to murder Mario McNeal, who was considered to be a threat to the DTO. Martin Lewis himself went to a Memphis restaurant where he shot and killed McNeal.
“Today’s sentence of life in prison without the possibility of parole will hopefully provide a meaningful measure of comfort to the family of Mario McNeal and others victimized by the ruthless criminal acts of Martin Lewis,” said U.S. Attorney Stanton. “This case is a prime example of our unwavering commitment to hold accountable to the fullest extent of the law those who insist on creating an atmosphere of violence and sustaining fear in our neighborhoods.”
The case was investigated by the Drug Enforcement Administration, the United States Marshals Service, the Memphis Police Department, the Shelby County Sheriff’s Department and the Olive
United States Attorney Edward L. Stanton III
Western District of Tennessee
Branch Police Department. The case is being prosecuted by Assistant United States Attorney David Pritchard on behalf of the government.# # # #
This case was prosecuted under the authority of the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General's drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises.Twenty Two Indicted in Multi-State Prescription Drug RingRead the Press Release
Memphis, TN – Twenty two individuals were charged today in a two-count federal indictment for their alleged roles in an illegal prescription drug distribution ring, announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian K. Chambers.
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The following individuals were charged with one count of conspiracy to possess and distribute oxycodone, a Schedule II narcotic, and one count of conspiracy to possess and distribute hydrocodone mixtures such as “Lortab” and “Lorcet,” a Schedule III controlled substance:
Bradford Kelley, 30, Walls, MS
Byron Kelley, a/k/a “Big B,” 32, Olive Branch, MS
Bryan Kelley, a/k/a “Little B,” 33, Memphis
Beverly Powell, 52, Memphis
Jason Hopkins, a/k/a “J,” 33, Memphis
Bryant Hopkins, 31, Memphis
The following individuals were charged with one count of conspiracy to possess and distribute hydrocodone mixtures such as “Lortab” and “Lorcet,” a Schedule III controlled substance:
Tiffany Jones, a/k/a “TT,” 27, Walls, MS
Gerron Powell, a/k/a “Snap,” 31, Memphis
Joseph Hardrick, 30, Memphis
Jeremy Bowden, a/k/a “Bubba,” 25, Memphis
Randy Moss, 37, Memphis
Mario Reed, a/k/a “Yo,” 29, Memphis
Jerome Bell, a/k/a “Jerome Price,” 36, Memphis
Hollie Hicks, 23, Wynne, AR
Felicia Bryant, 35, address unknown
Chernette Wiggins, 24, Memphis
Paige Hunara, 22, Wynne, AR
Kanneccia Lewis, a/k/a “Klyanna Lewis,” 23, Memphis
Shaniece Young, 24, Memphis
Shana Scott, a/k/a “Re-Re,” 33, Memphis
Shakena Standard, 28, Memphis
Shirley Ewing, 48, Memphis
This case was investigated by the Drug Enforcement Administration Task Force and the Memphis Police Department. Assistant U.S. Attorney Daniel French is representing the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Statement of the U.S. AttorneyRead the Press Release
Memphis, TN – United States Attorney Edward L. Stanton III has released the following statement concerning the shooting in Olive Branch, MS this morning:
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During the execution of a federal search warrant this morning at a residence in Olive Branch, MS, Byron Kelley, a/k/a “Big B,” 32, was fatally wounded after firing upon members of law enforcement. This individual and the residence in question were subjects of a federal drug investigation and prosecution in the Western District of Tennessee. Kelley was under indictment for conspiracy to possess and distribute oxycodone and conspiracy to possess and distribute hydrocodone. The incident is currently under investigation by the Mississippi Bureau of Investigation, and all inquiries regarding the shooting should be referred to the MBI.Memphis Man Sentenced to 198 Months in Prison for Interstate Transportation of A Minor for SexRead the Press Release
Memphis, TN – Calvin James Reid, 49, of Memphis, TN, was sentenced on May 31, 2013, to 198 months in prison following his conviction for taking a minor out-of-state on two occasions to engage in sex, announced United States Attorney Edward L. Stanton III.
On November 15, 2012, Reid was convicted by a federal jury of two counts of transportation of a minor with the intent to engage in criminal sexual activity. According to evidence presented at trial, Reid engaged in an escalating pattern of sexual conduct with a 13-year-old child in late 2011. On two occasions, Reid took the child out-of-state with the intent to engage in sexual intercourse. On November 12, 2011, Reid took the child from Memphis to a hotel in Horn Lake, MS, where he had sexual intercourse with her. In early December 2011, Reid again took the child, this time traveling to Las Vegas, NV, and engaged in sexual activity with the child during the trip.
The child managed to separate herself from Reid while in Las Vegas and called her family in Memphis. Reid remained at large until June 2012, when he returned to Memphis and the FBI was notified of his whereabouts.
“Children are the most precious and vulnerable members of our society. Protecting them from individuals like Reid, who seek to exploit them sexually or otherwise, remains one of this office’s priorities,” said U.S. Attorney Stanton. “Reid’s sentence of more than 16 years in prison sends a clear message that this kind of reprehensible conduct will not be tolerated. We will continue to aggressively pursue and prosecute anyone who would destroy a child’s innocence by violating federal child exploitation laws.”
“The FBI has made it a priority to target and investigate those who violate Federal law while preying on minors,” said A. Todd McCall, Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation. “FBI Memphis is proud of the role that it played in bringing this man to justice, and will continue to work with our law enforcement partners to remove from our streets those whose criminal acts result in the stolen innocence of our children.”
In addition to the prison sentence, Chief U.S. District Judge Jon P. McCalla ordered Reid to serve 12 years of supervised release. There is no parole in the federal system.
This case was investigated by the FBI Memphis Field Office’s Child Exploitation Task Force, assisted by the Las Vegas (Nevada) Metropolitan Police Department. Assistant U.S. Attorneys Deb Ireland and Leetra Harris represented the federal government.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Cedar Grove Man Sentenced to 140 Months in Prison for Being A Felon in Possession of A FirearmRead the Press Release
Jackson, TN – Michael Barrett Roberts, 40, of Cedar Grove, TN, was sentenced today to 140 months in federal prison following his guilty plea to one count of being a felon in possession of a firearm, announced U.S. Attorney Edward L. Stanton III.
As revealed in the indictment and during today’s sentencing hearing, on March 2, 2012 law enforcement officers received information that methamphetamine was being manufactured at Michael Roberts’ home located in Cedar Grove, TN. Roberts’ grandmother was the owner of the house, and she consented to allow law enforcement to search her home.
In the upper part of the house, where Roberts lived, investigators noticed a wall between the bathroom and the bedroom that had loose paneling and missing trim. Hidden inside this wall was a sawed-off Winchester 12 gauge shotgun that had a barrel less than 18 inches long. The overall length of the firearm was less than 26 inches. The serial number on the weapon was obliterated, and the weapon was not registered as required by federal law.
Roberts pleaded guilty on December 6, 2012 to being a felon in possession of a firearm. In addition to the prison sentence, U.S. District Judge J. Daniel Breen ordered Roberts to serve two years of supervised release. There is no parole in the federal system.
This case was investigated by the Carroll County Sheriff’s Department, the 24th Judicial District Drug Task Force, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Special Assistant U.S. Attorney Beth Hall represented the government.Joe Caronna Sentenced to 85 Months for Mail Fraud, Insurance Fraud and Money LaunderingRead the Press Release
Memphis, TN – Joseph G. Caronna, 48, of Cordova, TN, was sentenced today to 85 months in federal prison on four counts related to defrauding clients of his investment and insurance business, announced U.S. Attorney Edward L. Stanton III.
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On February 26, 2013, Caronna pleaded to one count of mail fraud, two counts of insurance fraud and embezzlement, and one count of money laundering. U.S. District Judge S. Thomas Anderson ordered that his federal sentence run consecutive to his state sentence. Caronna is currently in state custody serving a life sentence, following his first-degree murder conviction for his role in the death of his wife, Tina. There is no parole in the federal system.
As outlined in the indictment, beginning in or about 2001 and continuing up to and including May 31, 2009, Caronna systematically embezzled money from insurance customers of his business, Joe Caronna Investments. He had the money diverted to private mail facilities where he obtained mail boxes in the names of his clients. The total loss to the victims was over $500,000.
It was revealed during his plea hearing that Caronna used the proceeds of his crimes to finance the purchase of a collection of sports cars and vehicles, including a 1971 Chevrolet Chevelle, a 1969 Corvette, a 1983 Porsche 911, a 1985 Porsche 930, a 1980 Chevrolet Corvette, a 2006 Hummer, and a 2002 Honda Blue Shadow motorcycle. He agreed to the forfeiture of those vehicles.
“Motivated by unscrupulous greed and deceit, Joe Caronna abused his position of trust to steal hundreds of thousands of hard earned funds from his clients, many of whom were his friends,” said U.S. Attorney Stanton. “Today’s prison sentence imposed by the Court underscores our unwavering commitment to bringing to justice individuals who engage in financial crimes, especially when they prey upon innocent and unsuspecting victims.”
This case was investigated by the United States Postal Inspection Service, the Internal Revenue Service and the Bartlett Police Department. Larry Laurenzi represented the government.Photographer Charged with Possession and Transportation of Child PornographyRead the Press Release
Jackson, TN – Robert Gregory Dempsey a/k/a “Jesse Rockwell,” 48, of Perry County, TN, was indicted Monday by a federal grand jury in Jackson, TN, on one count of possession of child pornography and one count of interstate transportation of child pornography, announced U.S. Attorney Edward L. Stanton III.
Dempsey was the owner and operator of “Rockwell Photography” and used social media and the internet to promote his business throughout western and central Tennessee, including Nashville and the Perry County area.
If convicted on these charges, Dempsey could face up to 20 years in federal prison and fines of up to $250,000 on each count. There is no parole in the federal system.
This case is being investigated by the FBI and the Perry County Sheriff’s Department. Assistant U.S. Attorney Deb Ireland is representing the government.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/ For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab “resources.”# # # #
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.Dyer County Man Sentenced to 300 Months for Enticement of A Minor Through Electronic MeansRead the Press Release
Memphis, TN – United States Attorney Edward L. Stanton III announced that on Monday, May 20, 2013, Chief United States District Judge Jon P. McCalla sentenced Derick Shane Hundley, 30, to 300 months incarceration, followed by lifetime supervised release. There is no parole in the federal system.
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On August 28, 2012, a federal grand jury returned a two-count indictment against Hundley. Count one charged enticement of a minor through electronic means in violation of 18 U.S.C. Section 2422(b). Count two charged possession of child pornography in violation of 18 U.S.C. Section 2252(a)(4)(B).
On January 24, 2013, Hundley pleaded guilty to enticement of a minor through electronic means.
The case was investigated by the Tennessee Bureau of Investigation and the Federal Bureau of Investigation Memphis Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorney Dan Newsom on behalf of the government.Memphis Man Receives over 76 Years in Prison for Carjacking, Assaulting Federal Officers, and Firearms ViolationsRead the Press Release
Memphis, TN – United States Attorney Edward L. Stanton III announced that on Friday, May 17, 2013, United States District Judge Thomas B. Russell sentenced Christopher John Clark, 35, to a total sentence of 919 months, or over 76 years, in prison, followed by five years of supervised release. There is no parole in the federal system.
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On March 18, 2008, a federal grand jury returned a 12 count indictment charging Clark with multiple criminal acts, including carjacking, assault, and firearms violations. On November 8, 2012, after a four-day jury trial, Clark was convicted on all 12 felony counts, including interstate transportation of a stolen motor vehicle, being a fugitive in possession of a firearm, being a previously convicted felon in possession of a firearm, three counts of carjacking, three counts of assaulting federal officers, and three counts of carrying and using a firearm during a crime of violence.
According to evidence presented at trial, in September 2006, Clark fled to Memphis in a stolen BMW to avoid prosecution in Alabama. Once in Memphis, Clark committed multiple armed carjackings, committed a home invasion robbery threatening two people at gunpoint, and repeatedly swerved at officers as he led them on a lengthy high speed chase through the streets of Memphis, driving off from his final carjacking with the victim’s mother in the front seat of the car. The evidence against Clark included video footage of the chase, shot by a news crew in a helicopter, during which Clark assaulted multiple law enforcement officers with a vehicle, carjacked an automobile with a passenger inside, attempted to escape in the automobile, and when surrounded by police, pointed a gun at an officer and then attempted to escape on foot.
The case was investigated by Detective Milton Gonzales with the Memphis Police Department. The case was prosecuted by Assistant United States Attorney Jennifer Lawrence Webber on behalf of the government.
This case was part of the Project Safe Neighborhoods (PSN) initiative, which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.Jackson Man Indicted on Federal Civil Rights Charge Related to Desecration of Religious ParaphernaliaRead the Press Release
Memphis, TN – A federal grand jury in Memphis has returned a one-count indictment charging Justin Shawn Baker, 25, of Jackson, TN, with violating the civil rights of students and faculty of the Margolin Hebrew Academy.
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The indictment alleges that on or about January 12, 2013, Baker defaced a Torah and religious prayer books, which the students and faculty of Memphis’ Margolin Hebrew Academy were using for a worship service conducted at the Doubletree Hotel in Jackson.
“Freedom to practice one’s religion without prejudice is one of the bedrock principles upon which our nation was founded,” said Edward L. Stanton III, United States Attorney for the Western District of Tennessee. “Criminal acts such as those alleged in the indictment represent an attack upon the rights that generations of Americans have fought and died to ensure and protect. Our dedicated civil rights unit will continue to protect and defend the rights of our citizens through vigorous enforcement of federal law.”
“This kind of vandalism strikes at the heart of religious freedom in this country, and it will not be tolerated,” said Roy L. Austin Jr., Deputy Assistant Attorney General for the Civil Rights Division. “Our nation’s civil rights laws protect all denominations, and those who would strike at the right of peaceful citizens to worship will be held accountable.”
This case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Larry Laurenzi and Jonathan Skrmetti of the U.S. Attorney’s Office for the Western District of Tennessee and Trial Attorney Douglas Kern of the Civil Rights Division’s Criminal Section.
The charges and allegations contained in the indictment are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Petties Co-Conspirator Clinton Lewis Sentenced to Life in Federal PrisonRead the Press Release
Memphis, TN – Clinton Lewis, a/k/a “Goldie”, 36, of Memphis, TN was sentenced today by U.S. District Judge Samuel H. Mays, Jr. to life in federal prison for his role in the Craig Petties Drug Trafficking Organization (DTO), announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian Chambers.
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On March 23, 2012, Lewis was convicted of one count of racketeering conspiracy; two counts of violent crime in aid of racketeering activity for his role in the kidnapping of Marcus Turner and the murder of Mario McNeal; one count of conspiracy to commit murder for hire for his role in the murder of Mario McNeal; one count of conspiracy to possess with intent to distribute more than five kilograms of cocaine; and one count of conspiracy to commit money laundering.
Lewis was sentenced to life in prison on all charges, except money laundering, for which he was sentenced to 20 years. All sentences will run concurrently. There is no parole in the federal system.
As outlined in the indictment, Lewis was a member of a criminal racketeering enterprise, the Petties DTO, whose members conspired with cocaine traffickers in Mexico, Texas, Mississippi, North Carolina, Georgia, Tennessee, and elsewhere. As part of the conspiracy, cocaine was prepared, packaged and/or stored, prior to distribution to buyers in “stash houses.” The defendant and the co-conspirators used these “stash houses” to avoid detection by law enforcement authorities. It was further part of the conspiracy that the defendants and their co-conspirators sorted, counted, packaged, and stored large amounts of cash derived from the sale of controlled substances in various co-conspirators’ premises in the Western District of Tennessee. The co-conspirators delivered large amounts of currency derived from the sale of cocaine from the Western District of Tennessee and elsewhere to Texas and Mexico. In order to facilitate continued drug trafficking and in order to prevent others from cooperating with law enforcement authorities, it was further part of the conspiracy that the defendant and the co-conspirators did kill other people. Over thirty people have been charged and convicted as part of this investigation.
The case was investigated by the Drug Enforcement Administration, the United States Marshals Service, the Memphis Police Department, the Shelby County Sheriff’s Department and the Olive Branch Police Department. The case is being prosecuted by Assistant United States Attorney David Pritchard on behalf of the government.Ringleader Sentenced to Seven Years in Teacher Certification Cheating ScamRead the Press Release
Memphis, TN – Clarence Mumford, Sr., 59, of Memphis, was sentenced to 84 months in federal prison and ordered to pay $167,338.84 in restitution after pleading guilty in February 2013 to aggravated identity theft and to conspiring to commit mail fraud, wire fraud, Social Security fraud and identity theft, announced United States Attorney Edward L. Stanton III. Mumford, Sr. was originally charged in July 2012 in a 45-count indictment alleging a conspiracy to violate the laws of the United States, mail fraud, wire fraud, social security fraud, aggravated identity theft and fraud in connection with identification documents. The original indictment was superseded twice, once in August 2012, and a second time in September 2012, ultimately resulting in a 63-count indictment charging Mumford, Sr. and twelve other individuals.
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"At a time when school administrators and teachers -- especially those in West Tennessee -- are working so hard, with fewer resources, to meet the challenge of improving our educational system, it is galling that Mumford thought he could get away with his brazen scheme,” said U.S. Attorney Stanton. “His sentence demonstrates that crimes against the integrity of our schools will not be tolerated. We were proud to work with the United States Secret Service, the Tennessee Bureau of Investigation and the Shelby County District Attorney General’s Office to bring Mumford to justice. Criminals like him have no place in our schools. Our school systems have enough challenges already."
Mumford, Sr. is the ninth defendant sentenced in the case. In April 2013, United States District Judge John T. Fowlkes sentenced John Bowen, 64, of Memphis, Tennessee; Dante Dowers, 41, of Belle Glade, Florida; Valerie Humphrey, 47, of Oakland, Tennessee; Felippia Kellogg, 42, of Memphis; Carlo McClelland, 35, of Meridian, Mississippi; Carlos Shaw, 38, of Memphis; Jeryl Shaw, 40, of Puyallup, Washington and Shantell Shaw, 41, of Memphis (wife of Jeryl Shaw but no relation to Carlos Shaw). All but Dowers, who was sentenced to six months of home confinement, have been sentenced to prison.
In February, during Mumford, Sr.’s guilty plea hearing, it was revealed that numerous individuals paid Mumford, Sr. to arrange for PRAXIS examinations to be taken on their behalf. Many were teaching under temporary licenses and needed the examinations passed to retain their
jobs. Others were attempting to obtain teaching jobs, or were teachers seeking additional endorsements on their licenses, in subjects such as guidance counseling. Twenty-six individuals who had one or more examinations arranged by Mumford were named at the February hearing. Of those, many obtained teaching licenses in Tennessee and Mississippi based on the examinations. Many, however, never obtained licenses. Sometimes Mumford’s test-takers did not show up or did not pass.
Two witnesses who testified today at Mumford’s sentencing hearing stated that they paid Mumford $3,000 and $6,000, respectively, but neither received valid scores after paying Mumford. Both received passing scores for examinations taken by Mumford’s test-takers, but Educational Testing Services (“ETS”) flagged the tests taken on behalf of both witnesses for handwriting irregularities. Mumford told both to get doctors’ notes to explain the handwriting irregularities. One did so, and one refused, but it did not work out for either of them. Nevertheless, Mumford did not repay any of the money they had given him.
Investigators began to unravel the ring after Bowen was caught at Arkansas State University taking a test in the morning in one person’s name and in the afternoon in a second person’s name. Proctors caught Bowen and two others who had taken morning and afternoon sessions in multiple names. ETS, which created and administered the PRAXIS examinations, investigated and reported the incident to the Tennessee Department of Education, which referred the case to the Tennessee Bureau of Investigation. The United States Secret Service later joined the investigation.
Sentencing documents filed in the case reveal that Mumford arranged for at least 100 examinations on behalf of 50 different individuals. Mumford made over $100,000 during the course of the scheme.
This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Eleven Indicted in Jackson Illegal Gambling RingRead the Press Release
Jackson, TN – Eleven individuals were named today in a six-count indictment as part of an illegal gambling ring operating at five locations in Jackson, announced U.S. Attorney Edward L. Stanton III.
According to the indictment unsealed today, the following 11 individuals have been charged with conspiracy for their roles in operating the gambling ring:Eddie C. Estes, 58, Jackson;
The indictment alleges that between April 2011 through August 2012, Estes and Cantrell owned businesses around Jackson that contained hidden rooms where individuals could illegally gamble on electronic slot machines. Estes owned a building located at 107 South Royal Street in Jackson, TN. Lisa and Justin Sanders operated Breakers Billiards, a pool hall and bar at that address, and supervised the illegal gambling activities on site.
Robert Cantrell, Sr. 72, Jackson;
Lisa M. Sanders, 29, Jackson;
Justin L. Sanders, age unknown, Jackson;
Marcus Sturghill, Jr., 57, Jackson;
Gregory A. Case, a/k/a Alan Case, 45, Jackson;
Richard W. Stewart, 64, Jackson;
Isaac L. Taylor, 72, Jackson;
Bambi Seavers, 43, Trenton;
Marjorie Williamson, 43, Jackson;
Oliver Greene III, 55, Jackson.
Cantrell owned a building at 303 Hale Street, Jackson, TN. Taylor operated Larry’s Sports Bar at that address and supervised the illegal gambling activities on site. Estes and Cantrell were partners in illegal gambling enterprises at three other locations. Sturghill supervised operations at 400 Airways Blvd., Jackson, TN; Case, Seavers, and Williamson managed operations at 36 Bond St., Jackson TN; and Stewart supervised operations at 98 Harts Bridge Rd., Jackson, TN.
Greene is alleged to have provided support by utilizing law enforcement contacts to run unauthorized searches of Tennessee Department of Transportation records, providing vehicle registration information, and providing information about tactics and procedures of local law enforcement. If convicted of conspiracy, each faces up to five years in prison and a fine of up to $250,000.
Estes, Cantrell, Lisa Sanders, Sturghill, Case, Stewart, Taylor, Seavers, and Greene were also charged with operating an illegal gambling business and with aiding and abetting the operation of an illegal gambling business. Each faces up to five years in prison and a $250,000 fine for each count.
Greene was additionally charged with three counts of being a felon in possession of a firearm. He is facing up to 10 years in prison and $250,000 in fines for each count.
This case was investigated by the FBI and the Jackson Police Department.# # # #
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.Sovereign Citizen Devitoe Farmer Pleads Guilty to Theft of Government Property in Rental Home ScamRead the Press Release
Memphis, TN – Devitoe Farmer, 46, of Memphis, TN, pleaded guilty yesterday to three counts of theft of government property, announced U.S. Attorney Edward L. Stanton III and Acting Special Agent in Charge Robert Anderson of the U.S. Department of Housing and Urban Development, Office of Inspector General (HUD-OIG).
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“In the Mid-South, we have witnessed first-hand the potential threat posed by those claiming to be sovereign citizens,” said U.S. Attorney Stanton. “Thanks to the hard work of our law enforcement partners, who worked diligently to bring this individual to justice, we are serving notice to anyone who chooses to defy the law for your own selfish gain that, ultimately, you will face serious consequences for your conduct.”
According to an indictment filed on March 21, 2012, and facts of the case revealed during the plea hearing, Farmer took possession of three HUD-owned properties in the city of Memphis during February and April of 2011. His scheme was discovered when employees with a property management firm contracted by HUD to care for the properties discovered that Farmer had filed quit claim deeds to himself with the Shelby County Register of Deeds Office on the properties and placed tenants in them. HUD-contracted real estate agents also noticed that “for sale” signs had been removed from the properties and that locks had been changed.
One of the properties was rented to an individual, who supplied investigators with copies of the lease agreement made with Farmer. Another property was occupied by a relative of Farmer. When asked by Memphis Police Department officers for proof of his ownership of the properties, Farmer presented documents declaring that he was a sovereign citizen.
The combined value of the properties listed in the indictment was $172,000. Farmer will be sentenced by U.S. District Judge S. Thomas Anderson on August 13, 2013, at 1:30 p.m. He faces up to 10 years in prison and fines of up to $250,000 for each count. There is no parole in the federal system.
“Devitoe Farmer’s guilty plea should send a strong message that the United States Department of Housing and Urban Development, Office of Inspector General will aggressively investigate those who fail to exercise integrity in connection with HUD programs,” said Acting Special Agent in Charge Anderson of HUD-OIG.
This case was investigated by HUD-OIG and the Memphis Police Department. Assistant U.S. Attorney Brian K. Coleman represented the government.Osbie Antonio Sea Indicted for Sex Trafficking of A 14-Year Old Girl and Two OthersRead the Press Release
Memphis, TN – Osbie Antonio Sea, a/k/a “Money,” “Hard Money,” and “Mr. Money,” 30, of Memphis, TN was indicted today by a federal grand jury on one count of sex trafficking of a minor and two counts of sex trafficking by force, fraud or coercion, announced U.S. Attorney Edward L. Stanton III.
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According to information alleged in the indictment and in a criminal complaint filed on April 18, 2013, Sea used a variety of means to promote his criminal activities including flyers, Facebook pages and YouTube videos.
One of the individuals he came in contact with was a 14 year-old (identified only as M.S. to protect her identity) from a Memphis suburb. While she was shopping at a K-Mart in the Raleigh area of Memphis, Sea introduced himself to her as “Money,” handed her a flyer, and told M.S. to call him if she wanted to make some money.
A short time later, following an argument with a family member, M.S. ran away from home and called Sea. He first took her to his apartment and later to the Extended Stay America near the intersection of Kirby Parkway and Poplar Avenue. According to M.S., Sea knew she was underage, but she was instructed to tell everyone that she was 18 because “he knew he could get in trouble.”
While at the hotel, Sea instructed her on how to pose for pictures, which were posted on the internet site Backpage on March 1, 2013, the day after she had called him. M.S. stated she had had intercourse with at least two individuals and that Sea had taken all the money.
On April 15, 2013, officers of the Memphis Police Department responded to an incident at Sea’s apartment between Sea and L.C. (the mother of his child and another sex trafficking victim). L.C.’s sister alleged that Sea and L.C argued over a car they had recently purchased. During the argument, Sea struck L.C. with his fist and knocked her on the bed. At that point, he climbed on top of her and began to choke her with his hands. When L.C.’s sister arrived and they attempted to leave, Sea grabbed the couple’s four-month old child and began choking the child by squeezing the child’s throat between his forearm and chest.
He then jumped over the car to attack L.C.’s sister, threatening to “smash her face in and break her jaw.” L.C.’s sister stabbed Sea in the arm, which gave her, L.C., and the child time to get into the car, lock themselves in, and wait for the police to arrive. If convicted, Sea faces a minimum of 15 years in prison, and could receive up to life in prison.
This case was investigated by FBI and the Memphis Police Department. Assistant United States Attorney Jonathon Skrmetti is representing the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Collierville Company American Marsh Pumps, Inc and Sales Vp Michael J. Florio Plead Guilty to A Felony Charge of Making False StatementsRead the Press Release
Memphis, TN – J-Line Pump, Inc., d/b/a American Marsh Pumps, Inc. (AMP), a Tennessee Corporation headquartered in Collierville, and Michael J. Florio, 40, of Collierville, pleaded guilty today to making false statements to a government agency that resulted in more than a half-million dollars in fraudulent sales of water pumps to an Egyptian company, announced U.S. Attorney Edward L. Stanton III.
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“When our government undertakes to provide development programs throughout the world, it must be able to trust its partners,” said U.S. Attorney Stanton. “Government contractors are neither exempt from nor allowed to turn a blind eye to the rules and requirements designed to prevent fraud and malfeasance. Today’s guilty plea should serve notice to those who engage in procurement fraud that there is zero tolerance for such conduct, and ultimately you will be held accountable.”
The charge in the information grew out of an indictment filed December 14, 2011, alleging that AMP conspired with international interests in order to rig the outcome of bidding process for 10 large industrial water pumps intended for an Egyptian company.
This conspiracy violated the regulations established by the United States Agency for International Development (USAID) Commodity Import Program (CIP). One of the provisions required that the pumps be manufactured in the United States, but the pumps sold by AMP and Florio, the Vice President of Sales and Marketing for AMP, were manufactured in China. Other provisions required that the pumps be tested and certified, when in fact, none of the pumps were tested. During the plea hearing, it was revealed that the pumps were eventually sold to the Egyptian government, and proved to be of inferior quality. Six of the pumps were eventually returned to the manufacturer in China.
In pleading to the information, AMP agreed to forfeit $536,750, representing the proceeds obtained as a result of the false statements made. Florio will be sentenced by U.S. District Judge T. Fowlkes, Jr. on May 30, 2013. He could receive up to five years in federal prison.
“I would like to express my thanks for the excellent work of our investigators and our colleagues at the Department of Justice involved with this case,” said USAID Deputy Inspector General Michael Carroll. “Today’s pleas send a strong message to those who would obtain taxpayer funds intended to support USAID programs through fraud. The USAID Office of Inspector General will continue to use all necessary resources of the U.S. government to bring to justice those who wrongfully profit from the American taxpayer.”
This case was investigated by the USAID Office of Inspector General. Assistant United States Attorney Christopher E. Cotten represented the government.Memphis Tax Preparer Sentenced for Conspiracy to File False Tax ReturnsRead the Press Release
Memphis, TN – Terry Roberts, 41, of Memphis, TN, was sentenced April 17, 2013, to 27 months in federal prison, announced Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee.
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On January 15, 2013, Roberts pled guilty to conspiring to file false tax returns. According to information presented in the indictment, Roberts was an employee at the Memphis tax preparation company, Money in Your Hands Tax Service. As an employee at Money in Your Hands Tax Service, Roberts conspired with others to assist in the preparation of false tax returns for clients.
The false returns claimed false tax credits, such as First Time Homebuyers Credit, Earned Income Credit and Education Credit, and reported false income figures, resulting in tax refunds being generated for which the individuals were not entitled. Roberts and the other conspirators would then split the refunds generated by the false tax returns. Roberts and his co-conspirators received approximately $2,000.00 out of each tax refund paid.
In addition to the prison sentence, Chief District Judge Jon P. McCalla ordered Roberts to pay restitution of $100,000 to the Internal Revenue Service (IRS) and to serve three years of supervised release. This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Lawrence J. Laurenzi represented the government.24 Current and Former IRS Employees Indicted for Benefits FraudRead the Press Release
Memphis, TN – United States Attorney Edward L. Stanton III and Shelby County District Attorney General Amy Weirich announced today that 24 current and former employees of the Internal Revenue Service have been charged for crimes relating to fraudulently obtaining more than $250,000 in government benefits.
Thirteen of the current and former IRS employees have been charged federally with making false statements to obtain unemployment insurance payments, food stamps, welfare, and housing vouchers. All thirteen, individually charged in separate indictments, are alleged to have falsely stated that they were unemployed while applying for or recertifying those government benefits.
“According to the allegations in the indictment, while these IRS employees were supposed to be serving the public, they were instead brazenly stealing from law-abiding American taxpayers,” said U.S. Attorney Edward L. Stanton III. “These charges demonstrate our unwavering resolve to work with our law enforcement partners and hold accountable anyone who fraudulently obtains government benefits and violates the public’s trust.”
The 13 IRS employees charged are Angela Allison, 37; Jessica Davis, 35; Serina Gaither, 37; Lillian Hamilton, 36; Teresa Jenkins, 46; Joanne Johnson, 46; Angela Scales, 28; Dorothy Simmons, 35; Mary Weeks, 61; Evonna Yarbrough, 42, all of Memphis; Gale Baker, 54, of Cordova, TN; Shari House, 45, of Jackson, TN; and Talaria Mitchell, 35, of Southhaven, MS. Each has been charged with multiple counts of false statements, in violation of Section 1001 of Title 18 of the United States Code. A conviction under that statute can result in up to five years in prison.
The charges resulted from cooperation between numerous federal and state agencies. In addition to the U.S. Attorney’s Office and the Shelby County District Attorney General’s Office, the investigation involved the U.S. Department of Treasury Inspector General for Tax Administration; the U.S. Department of Labor Office of Inspector General, Office of Labor Racketeering and Fraud Investigations; the U.S. Department of Agriculture Office of Inspector General; the U.S. Department of Housing and Urban Development Office of Inspector General; the United State Marshals Service; the Tennessee Department of Labor and Workforce Development; the Tennessee Department of Human Services; the Shelby County Sheriff’s Office; and the Memphis Housing Authority.
Eleven other former and current IRS employees were charged by the District Attorney General’s Office with theft of property over $1,000, a class D felony.
“The taxes that we pay are supposed to support our nation and assist individuals in need, not free-loaders who are gaming the system,” said District Attorney General Amy Weirich. “Taxpayers can take comfort in knowing that we take these matters seriously and that we will prosecute these individuals to the fullest extent possible.”
The 11 charged by the state are Raya Banks, 47; Clara Cannon, 61; Alma Childers, 64; Cathryn Fair, 50; Robert Graves, 60; Mechell Hampton, 35; Nicole Nickson, 39; Diane Malone, 56; Myra Thompson, 32; Katina Thurman, 39; and Pamela Williams, 47, all of Memphis.
The federal cases are being prosecuted for the United States Attorney’s Office by Assistant United States Attorney Jonathan Skrmetti. The state cases are being prosecuted for the Shelby County District Attorney General’s Office by Kirby May.# # # #
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.Springfield, Missouri Financial Advisor Nadia Cavner Pleads Guilty to Federal Interstate Stalking ChargeRead the Press Release
Memphis, TN – Nadia Cavner, 53, of Springfield, MO, pleaded guilty today to a criminal information charging her with one count of violating the federal interstate stalking statute, announced U.S. Attorney Edward L. Stanton III.
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According to the information, from July 9, 2011, until November 15, 2011, Cavner, and individuals employed by her, traveled from Springfield, MO to Memphis with the intent to injure, harass, or intimidate her daughter’s former boyfriend and his new girlfriend. These actions caused substantial emotional distress to the individuals, their families, and close acquaintances.
As stated in open court, Cavner utilized multiple means to stalk and harass the victims including making and causing others to make harassing and defamatory phone calls; leaving anonymous notes designed to harass and intimidate the victims, having the victims followed during trips; hiring people to disrupt the victims’ relationship; and paying for an associate to temporarily move to Memphis for the purpose of conducting surveillance upon the victims. In addition, Cavner sought to have electronic listening devices installed in the victims’ homes.
Cavner will be sentenced before U.S. District Judge John T. Fowlkes on Thursday, August 1, 2013, at 9:00 a.m. This case was investigated by the FBI. Assistant United States Attorney Brian K. Coleman is prosecuting this case on behalf of the government.Six Indicted on Federal Child Sex Trafficking ChargesRead the Press Release
Memphis, TN – Six individuals have been indicted on federal child sex trafficking charges, announced U.S. Attorney Edward L. Stanton III, United States Attorney for the Western District of Tennessee; Aaron Ford, Special Agent in Charge of the Memphis field office of the Federal Bureau of Investigation; and Toney Armstrong, Director of the Memphis Police Department.
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Those indicted are: Anthony Grandberry, 32, of Memphis; Orreco Lyons, also known as "Pico the Pimp," 32, of Memphis; Keith Gibson, also known as "Greedy" and "Pee-Wee," 43, of Union City, Tennessee; Vivian Briggs, also known as "Fortune" and "Kisses," 28, of Memphis; Tamara Ramsey, 37, of Memphis; and Falisha Edwards, 32, of Memphis.
Grandberry, Lyons, Gibson, Ramsey, and Edwards are charged with conspiracy to commit child sex trafficking. Gibson is also charged with child sex trafficking, as is Briggs. Briggs is additionally charged with use of a facility of interstate commerce to promote child sex trafficking.
The charges allege that on December 29, 2012, Lyons gave a 14-year-old girl to Grandberry as partial payment for Grandberry's assistance in an unrelated matter. Grandberry then paid to post an advertisement for prostitution to Backpage.com. That advertisement featured photographs of the 14-year-old and included Grandberry's phone number. Ramsey and Edwards assisted him in posting that advertisement. The charges further allege that on January 1, 2013, Grandberry and Gibson directed Edwards to change the Backpage.com advertisement to include Gibson's phone number instead of Grandberry's. According to the Superseding Indictment, Gibson paid to post the new advertisement.
Grandberry, Lyons, Gibson, and Briggs face up to life in prison if convicted of all the charges in the indictment. Gibson and Briggs additionally face a mandatory minimum of ten years in prison, up to life, if convicted of the child sex trafficking charge. Ramsey and Edwards face up to five years in prison for the conspiracy charge. Federal law does not allow for parole.
This Superseding Indictment expands on an indictment filed on January 10, 2013, that charged Grandberry and Lyons with conspiracy to commit child sex trafficking. Gibson was previously
indicted on the same child sex trafficking charge in a separate indictment also filed on January 10, 2013. Grandberry, Lyons, and Gibson are being held without bond on those earlier charges. Prior to the federal indictment, Grandberry and Lyons were arrested on related state human trafficking charges brought by the Shelby County District Attorney General's Office.
The case was investigated by the Federal Bureau of Investigation and the Memphis Police Department. Assistant U.S. Attorney Jonathan Skrmetti of the U.S. Attorney's Office's Civil Rights Unit is prosecuting the case.
U.S. Attorney Edward L. Stanton III established the Civil Rights Unit in February 2011 to ensure that every individual in the Western District of Tennessee enjoys the rights and freedoms guaranteed by the Constitution of the United States. The Civil Rights Unit assigns dedicated prosecutors to pursue the full spectrum of federal civil rights crimes, including official misconduct, human trafficking, and hate crimes, as well as law enforcement public corruption cases. Since the formation of the Civil Rights Unit, Memphis has consistently ranked as one of the top U.S. Attorney's Offices in the country for the prosecution of sex trafficking.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Dyersburg Man Pleads Guilty to Felony Firearms Possession Following Robbery, Attempted MurderRead the Press Release
Jackson, TN – Craig Michael Barbee, 39, of Dyersburg, TN pleaded guilty today to one count of being a felon in possession of a firearm, announced U.S. Attorney Edward L. Stanton III.
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According to the indictment and statements made during the plea hearing, on May 18, 2012, Barbee used a .38 Special revolver in an attempt to rob the Dollar General Store in Friendship, TN. He was confronted during the attempted robbery by off-duty Friendship Police Chief Bill Garret. During an attempt to disarm the gunman, Garret was shot in the abdomen. After robbing the business and several patrons, Barbee fled the scene before officers with the Friendship Police Department and Crockett County Sheriff’s Deputies could arrive. Garret has fully recovered from his injuries.
The following day, the Lauderdale County Sheriff’s Department received a tip that Barbee was in or around Halls, TN. Lauderdale County Deputies Steve Jackson and Kurt Kissell observed a man matching Barbee’s description riding a bicycle. When they approached, Barbee resisted arrest. The deputies recovered a firearm from Barbee’s waistband.
“The violent nature of Barbee’s brazen and criminal acts, including his willingness to fire upon a member of law enforcement, underscores the threat that he posed to the community as a whole,” said U.S. Attorney Stanton. “We will remain vigilant in aggressively prosecuting those individuals who violate federal firearm laws and endanger the safety of our citizens.”
Barbee will appear before U.S. District Judge J. Daniel Breen on June 28, 2013, at the Jackson Federal Courthouse for sentencing. He is still facing charges of Attempted First-Degree Murder and Aggravated Robbery in state court.
The case was investigated by the ATF; the Friendship Police Department; the Crockett County Sheriff’s Department; the Lauderdale County Sheriff’s Department; and the Tennessee Bureau of Investigation. Assistant U.S. Attorney Victor L. Ivy represented the government.Shelby County Juvenile Court Psychiatric Counselor Pleads Guilty to $500,000 Health Care Fraud SchemeRead the Press Release
Memphis, TN – Mechell D. Toles, 44, of Collierville, TN, pleaded guilty this morning to a one count Information charging her with health care fraud, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. Toles, a licensed professional counselor who formerly operated offices in Memphis and Collierville, will be sentenced on July 1, 2013 before Chief United States District Judge Jon Phipps McCalla.
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According to the Information and to statements made at the guilty plea hearing this morning, Ms. Toles – who has an undergraduate degree from Purdue University, a masters degree from the University of Mississippi, and a Ph.D. from Walden University – received referrals from the Shelby County Juvenile Court, which was the primary source of her counseling clientele. Hundreds of Ms. Toles’ patients were enrolled in TennCare, Tennessee’s Medicaid program. In western Tennessee, TennCare operates through two managed care organizations: Blue Care, which is associated with Blue Cross Blue Shield; and AmeriChoice, which is associated with United Health Care.
The investigation began after AmeriChoice audited Ms. Toles based on her high volume of counseling services and, upon finding incomplete documentation in her files, provided her with training on proper documentation and billing. The TennCare Office of Integrity referred the audit and inquiry into Ms. Toles’ billing practices to the Tennessee Bureau of Investigation on suspicion that she had engaged in health care fraud.
Investigators obtained billing information from the managed care organizations, reviewed correspondence and documentation from Juvenile Court, interviewed patients, surveilled Ms. Toles, and obtained a search warrant. The investigation revealed numerous occasions for which Ms. Toles billed for more than 24 hours of services in a single day. It also revealed instances in which Ms. Toles billed for counseling sessions on dates before patients had been referred to her and on dozens of dates after she had discharged patients. Ms. Toles’ files were largely devoid of any documentation of services provided, and patient records showed blank sheet after blank sheet for the purported dates of service. Based on billings for which there was no documentation of any services, investigators estimate approximately $500,000 to $600,000 was billed by Ms. Toles and paid by TennCare for which no valid services were actually rendered.
After her offices were searched, Ms. Toles was interviewed and admitted that her patient files were “horrible” and that only one or two were correct. She also admitted that she billed for services on dates when no services were provided. She claimed she was not sure how much money she had obtained, that she wanted to pay it back, that she did not have any particular need for the money – which had been spent – and that she knew at the time it was wrong but that it was just easy to do.
“While serving in a position of trust and being paid to help children in need, Ms. Toles instead helped herself to more than a half-million dollars of taxpayer monies,” said U.S. Attorney Stanton. “By doing so, she brazenly diverted resources from deserving clients and unscrupulously manipulated our nation’s health-care benefits system for her own benefit.”
This investigation is being conducted by the Tennessee Bureau of Investigation. Assistant U.S. Attorney John Fabian represents the government.Bells Man Indicted for Drug Distribution Conspiracy Following Discovery of 15 Ounces of MethRead the Press Release
Jackson, TN – Angel Hernandez, Jr., 29, of Bells, TN, was indicted on March 18, 2013 on two counts of conspiracy to distribute over 50 grams of methamphetamine, announced United States Attorney Edward L. Stanton III.
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Hernandez was taken into custody on March 12, 2013 following the execution of a search warrant on his Humboldt, TN motel room. Investigators discovered approximately 15 ounces of Ice Methamphetamine. A federal criminal complaint was filed in Jackson, TN the following day
A Federal Grand Jury met earlier this week and returned a two-count indictment against Hernandez. During his initial appearance in at the Jackson Federal Courthouse on March 21, 2013, Hernandez was remanded to the custody of the U.S. Marshalls. A detention hearing is scheduled for March 26, 2013.
This case was investigated by the West Tennessee Violent Crime and Drug Task Force, the Drug Enforcement Administration Jackson Task Force, and the Crockett County Sheriff’s Department. Assistant United States Attorney Matt Wilson is representing the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Memphis Man Sentenced to 10 Years for Child Sex Trafficking ConspiracyRead the Press Release
Memphis, TN – Vincent Jones, 26, of Memphis, was sentenced to 120 months in prison today for conspiracy to engage in child sex trafficking and sex trafficking by force, fraud, and coercion by United States District Judge Samuel H. Mays, Jr., announced United States Attorney Edward L. Stanton III and Special Agent in Charge of the Memphis Federal Bureau of Investigation Field Office Aaron T. Ford.
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According to the indictment, in the summer of 2011 Jones and his co-defendant, Kala Bray, lured two Memphis-area juveniles to Houston, TX with promises of a trip to a water park. Bray and Jones plied the teens with drugs including Oxycontin and Xanax and made the juveniles engage in commercial sex acts both in Memphis and Houston. Jones pled guilty to the sex trafficking conspiracy on July 7, 2012.
U.S. District Judge Samuel H. Mays also ordered Jones to serve five years of supervised release following his release from prison. Kala Bray, Jones=s co-defendant, pled guilty to the same conspiracy charge on November 4, 2011, and was sentenced to 14 years in prison on October 11, 2012. Parole is not a possibility in the federal system.
“This office will utilize every available resource to ensure that our children are protected from those who seek to exploit them through the unspeakable act of sex trafficking,” said U.S. Attorney Stanton. “Today’s sentence should send a clear message that we have zero tolerance for any form of sex trafficking, and those who engage in such activity will be aggressively prosecuted and ultimately brought to justice.
“Sex trafficking is not just an international or a national problem, it is also a local problem, and we need to remain alert to this issue and address it vigilantly,” said Aaron T. Ford, Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation. “This sentencing, the result of the coordinated and aggressive efforts from the FBI and our law enforcement partners, demonstrates our intent to put an end to this type of predatory operation and free the victims.”
The case was investigated by the Federal Bureau of Investigation working in conjunction with the Memphis Police Department, the Bartlett Police Department, and the Houston Police Department. FBI Special Agent Michael Saltsman was the lead investigator on the case. Assistant United States Attorney Jonathan Skrmetti from the Civil Rights Unit of the U.S. Attorney=s Office and Trial Attorney Mike Grant from the U.S. Department of Justice Criminal Division=s Child Exploitation and Obscenity Section prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys= Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Cordova Man Sentenced to 12 Years Following $700,000 Income Tax Fraud, Identity Theft SchemeRead the Press Release
Memphis, TN – Jeremy Lasane, 25, of Cordova, TN, was sentenced today to 12 years in prison for stealing government funds through the filing of false income tax returns and identity theft, announced Edward L. Stanton III, United States Attorney for the Western District of Tennessee.
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According to the indictment and information revealed at sentencing, between September 4, 2009 and October 28, 2011, Lasane and other individuals obtained the names, dates of birth, and Social Security numbers of individuals without their knowledge or consent, and thereafter filed taxes claiming refunds using this information. He and others then opened bank accounts and directed the U.S. Department of Treasury tax refunds associated with the false tax returns to be electronically deposited into these accounts.
Lasane paid individuals to obtain the victims’ personal identifiers and used this information to electronically file more than 240 false tax returns. This criminal behavior enabled him to fraudulently obtain over $700,000 during the scheme. The investigation revealed that during his scheme, Lasane spent large sums of money at Tunica casinos and bought several luxury vehicles, including a Maserati and Mercedes-Benz. These vehicles were forfeited to the United States Government.
Chief District Judge Jon P. McCalla ordered Lasane to pay restitution in the amount of $791,616 and further ordered him to serve three years of supervised release. There is no parole in the federal system.
The case was investigated by the United States Secret Service and IRS-Criminal Investigative Division. The case was prosecuted by Assistant United States Attorney Stephen Hall on behalf of the government.Clarence Mumford, Jr. Becomes Twelfth to Plead Guilty in Teacher Test Taking ScandalRead the Press Release
Memphis, TN – Clarence Mumford, Jr., 29, of Memphis, TN, pled guilty today to aiding and abetting identification fraud in connection with the teacher certification cheating scam directed by ringleader Clarence Mumford, Sr., 59, of Memphis, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. This plea, along with previous guilty pleas by Mumford, Sr.,; John Bowen, 64; Felippia Kellogg, 42; Jeryl Shaw, 40; Shantell Shaw, 40; Carlos Shaw, 38; Jacklyn McKinnie, 44; Steve Holmes, 54; all of Memphis; Valerie Humprey, 47, of Oakland, Tennessee; Carlo McClelland, 35, of Meridian, Mississippi; and Dante Dowers, 40, of Belle Glade, Florida; brings to twelve the total number of guilty pleas thus far in Mumford Sr.’s teacher certification cheating scam.
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The original indictment in the case, filed in July 2012, charged Mumford Sr. with orchestrating a scheme that began as early as 1995 to pay test-takers to take teacher certification examinations on behalf of teachers and hopeful teachers. In August, a superceding indictment charged Dowers, and Mumford Jr. And in September, a second superceding indictment charged 10 more individuals, including Samuel Campbell, 39, of Jackson, Mississippi; Darcel Gardner, 35, of Columbus, Mississippi; Holmes; Humphrey; McClelland; McKinnie; Jadice Moore, 30, of Port Gibson, Mississippi; Sarah Richard, 54, of Richland, Mississippi; Jeryl Shaw; and Kimberly Taylor, 36, of Charleston, Mississippi. Cedrick Wilson, 34, of Memphis, Tennessee, was charged in a separate indictment related to the scam in October 2012.
During the guilty plea hearing, Mumford, Jr. admitted that Bowen took a Principles of Learning and Teaching examination on Mumford, Jr.’s behalf in January 2008 at the University of Mississippi and that he subsequently obtained a professional teaching license from the Tennessee Department of Education based, in part, on the examination taken by Bowen. In addition to having this test taken by Bowen, Mumford, Jr. also admitted to taking examinations on behalf of others including Willie Knox, 55; Carlo McClelland; and Cedrick Wilsonn of Memphis, TN.
This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.Former Jackson Attorney Clay Mccormack Indicted for Bank Fraud, Making False StatementsRead the Press Release
Jackson, TN – Clay McCormack, 49, of Jackson, TN, was indicted today by a federal grand jury for his role in a scheme to fraudulently obtain loan proceeds from federally insured mortgage lenders, announced U.S. Attorney Edward L. Stanton III.
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The indictment alleges that as early as October 2007, McCormack entered into a criminal conspiracy with James Lee Bishop, a local real estate investor. Bishop would recruit individuals or limited liability companies to purchase real property for the purpose of investment. While acting as the closing attorney for Teel, McCormack and Maroney, a law firm in Jackson, TN, McCormack would indicate on the HUD-1 reporting documentation that certain lenders were paid off via check as a result of the closing. He would then void those checks, or have others void the checks, within days and reissue the checks to Bishop.
This money was then used by Bishop to provide the funds at closing on behalf of the borrowers; and the paperwork would fraudulently reflect that the funds had actually been provided by the borrowers. McCormack would provide a letter to the new lender indicating that they were in first lien position on the property.
Counts one and two of the indictment allege that McCormack’s scheme defrauded Community Bank, 3200 North Highland Ave, Jackson, TN and FirstSouth Bank, 1862 Hwy. 45 Bypass, Jackson, TN. Counts three and four allege that he created false documentation and submitted it to the banks in furtherance of his crime.
McCormack faces up to 30 years in prison and a one million dollar fine for each of the two bank fraud counts; and up to five years in prison and a $250,000 fine for each of the two counts of making false statements. The government is also seeking a criminal forfeiture money judgment of $3,832,366.88 representing the amount involved in the two bank fraud charges.
This case was investigated by the FBI Memphis, Jackson Resident Agency and by the United States Postal Inspection Service. The case is being prosecuted by Assistant United States Attorney David Henry on behalf of the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
West Tennessee Drug Round-Up Nets 11 on Federal Trafficking ViolationsRead the Press Release
Henderson, Decatur, Benton, and Madison counties following indictments for federal drug trafficking violations, announced U.S. Attorney Edward L. Stanton III.
The indictments were returned by a federal grand jury in Jackson on February 19, 2013, but remained under seal until today’s arrests. Each indictment contained counts alleging violations of the Controlled Substances Act (CSA).
The suspects arrested during the operation were:
• Thomas Arnold, 46, of Benton County
• Jason Blackstock, 30, of Henderson County
• Monica Bruce, 37, of Benton County
• Jerry Evans, 69, of Decatur County
• Peggy Gullett, 46, of Henderson County
• Teresa McCoy, 43, of Decatur County
• James Nolen, 47, of Henderson County
• Billie Pearcy, 68, of Decatur County
• Karen Pepper, 37, of Madison County
• Bruce Rosson, 29, of Decatur County
• Freddy Webb, 51, of Henderson County
A twelfth suspect, Elizabeth Little, 47, of Decatur County, was out of state and is making arrangements to turn herself in to authorities. In addition to the arrests, law enforcement officials seized illicit narcotics, U.S. currency, and drug paraphernalia. At least 10 firearms were also seized, including handguns and long guns.
The charges in the indictments stem from the illegal activity of possessing and distributing methamphetamine. Each of the 12 suspects was charged with unlawfully and knowingly possessing with intent to distribute a mixture and substance containing a detectable amount of methamphetamine, a Schedule II controlled substance. This charge is punishable as follows:No Prior Felony Drug Trafficking Convictions
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o Up to 20 years imprisonment
o A fine of up to $1,000,000
o Up to three years supervised release
Prior Felony Drug Trafficking Convictions
o Up to 30 years imprisonment
o A fine of up to $2,000,000
o Up to six years supervised release
The case was investigated by the Bureau of Alcohol, Tobacco and Firearms; FBI Memphis, Jackson Resident Agency; Tennessee Bureau of Investigation; Tennessee Highway Patrol; Henderson County Sheriff’s Department; Lexington Police Department; and the 24th Judicial District Drug Task Force. The case is being prosecuted by Assistant United States Attorney Matt Wilson on behalf of the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Caronna Pleads Guilty to Mail Fraud, Insurance Fraud, and Money LaunderingRead the Press Release
Memphis, TN – Joseph G. Caronna, 48, of Cordova, TN, pleaded guilty today to four counts related to defrauding clients of his investment and insurance business, announced U.S. Attorney Edward L. Stanton III.
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Caronna pleaded to one count of mail fraud, two counts of insurance fraud and embezzlement, and one count of money laundering. He could receive up to 50 years in prison, a fine of up to one million dollars, three years supervised release, and a special assessment of $400. His sentencing is set for May 28, 2013, before U.S. District Judge S. Thomas Anderson.
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As outlined in the indictment, beginning in or about 2001 and continuing up to and including May 31, 2009, Caronna systematically embezzled money from insurance customers of his business, Joe Caronna Investments. He had the money diverted to private mail facilities where he obtained mail boxes in the names of his clients. The total loss to the victims was approximately $788,144.53.
It was revealed during his plea hearing that Caronna used the proceeds of his crimes to finance the purchase of a collection of sports cars and vehicles, including a 1971 Chevrolet Chevelle, a 1969 Corvette, a 1983 Porsche 911, a 1985 Porsche 930, a 1980 Chevrolet Corvette, a 2006 Hummer, and a 2002 Honda Blue Shadow motorcycle. He agreed to the forfeiture of those vehicles during today’s plea hearing.
“Joe Caronna abused his clients’ trust and stole from them for his own gratification,” said U.S. Attorney Stanton. “Today’s guilty plea demonstrates to his victims that he is being held accountable and that justice will be served.”
This case was investigated by the United States Postal Inspection Service, the Internal Revenue Service and the Bartlett Police Department. Larry Laurenzi represented the government.Steven Ray Cook Sentenced to 360 Months for Running Multi-State Drug Distribution RingRead the Press Release
Memphis, TN – Stephen Ray Cook, 40, of Trenton, TN, was sentenced on Friday, February 15, 2013, to 360 months in federal prison for his role in masterminding a drug distribution ring that operated across the eastern United States, announced U.S. Attorney Edward L. Stanton III.
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Cook was indicted by a federal grand jury on May 18, 2011 and charged with one count of conspiracy to possess with intent to distribute at least 1,000 kilograms of marijuana, and one count of possession with intent to distribute at least 500 grams of methamphetamine. He pleaded guilty to the marijuana conspiracy charge on January 12, 2012. The government agreed to dismiss the methamphetamine count.
It was revealed during his plea hearing and at sentencing that Cook recruited family members and acquaintances to assist him in trafficking marijuana from locations in Mexico to Memphis, Chicago, Atlanta and other cities.
In addition to the prison sentence, U.S. District Judge Samuel H. Mays, Jr. ordered Cook to serve five years of supervised release. There is no parole in the federal prison system.
This case was investigated by the Drug Enforcement Administration, the Bolivar Police Department, and the West Tennessee Drug Task Force. Assistant U.S. Attorney Jerry Kitchen represented the government.Ringleader Pleads Guilty in Multistate Teacher Certification Cheating ScamRead the Press Release
Memphis, TN – Clarence Mumford, Sr., 59, of Memphis, has pled guilty to charges related to the teacher certification cheating scam of which he was the ringleader, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. Mumford was originally charged in July 2012 in a 45-count indictment alleging a conspiracy to violate the laws of the United States, mail fraud, wire fraud, social security fraud, aggravated identity theft and fraud in connection with identification documents. The original indictment was superseded twice, in August 2012 and September 2012, ultimately resulting in a 63-count indictment charging Mumford and twelve other individuals.
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“Today’s guilty plea by the ringleader of this test-taking scam illustrates one of the fundamental lessons we teach our kids: cheaters never win,” said United States Attorney Edward L. Stanton III. “Clarence Mumford cheated both honest teachers who did things the right way and also the parents and children who deserve to have qualified teachers in the classroom – and he did it all for personal gain. Actions such as these undermine our educational system and ultimately strike at the core of our society.” U.S. Attorney Stanton added: “We are proud to have partnered with the U.S. Secret Service, the Tennessee Bureau of Investigation, and the Shelby County District Attorney General’s Office to bring Mumford to justice.”
Mumford’s guilty plea is the ninth in the case. Guilty pleas have been entered previously by John Bowen, Dante Dowers, Valerie Humphrey, Carlo McClelland, Carlos Shaw, Jeryl Shaw, Shantell Shaw, and Felippia Turner-Kellogg.
Mumford pleaded guilty to one count of conspiring to violate the laws of the United States and one count of aggravated identity theft. During the guilty plea hearing, it was revealed that numerous individuals paid Mumford to have teacher certification (PRAXIS) examinations taken on their behalf. Many were teaching under temporary licenses and needed to pass the examinations to retain their jobs. Others were attempting to obtain teaching jobs, or were teachers seeking additional endorsements on their licenses in subjects such as guidance counseling. Twenty-six individuals who had one or more examinations arranged by Mumford were named at the hearing. Of those, many obtained teaching licenses in Tennessee and
Mississippi based on the examinations. Many, however, never obtained licenses. Sometimes Mumford’s test-takers did not show up or did not pass the exams.
It was also revealed at the hearing that test-takers who were identified during the investigation admitted taking approximately 70 to 90 tests during the course of the scheme, which dated back to 1995. Mumford paid test-takers from $200 to $1000 per examination during the course of the conspiracy and charged individuals prices ranging from $1,000 to $6,000 for multiple examinations.
“The U.S. Secret Service is proud to be a partner in this investigation and prosecution,” said Rick Harlow, Special Agent in Charge of the Memphis field office of the United States Secret Service. “Mr. Mumford’s actions attack the integrity of our school systems and undermine the trust of the people. The community impact of this case is significant and long reaching.”
Investigators began to unravel the ring after Bowen was caught at Arkansas State University taking a test in the morning in one person’s name and in the afternoon in a second person’s name. Proctors caught Bowen and two others who had taken morning and afternoon sessions in multiple names. Educational Testing Services, which created and administered the PRAXIS examinations, investigated and reported the incident to the Tennessee Department of Education, which referred the case to the Tennessee Bureau of Investigation. The United States Secret Service later joined the investigation.
“At a time when educators across the state and nation are making sweeping reforms to improve the education system, this case tarnishes those efforts,” said Tennessee Bureau of Investigation Director Mark Gwyn. “We hold the people who work in our schools and we trust with our children in high regard; unfortunately, the teachers, administrators and individuals involved in this case are a black eye on the education system. Cheating on teacher certification examinations sets a very poor example to our children. The Tennessee Bureau of Investigation is grateful that the scheme was exposed, and those responsible, especially Mr. Mumford, are going to have to pay a price.”
“The teacher fraud investigation and convictions exemplify the great results that can happen when state and federal agencies work together. Mumford’s guilty plea encompasses everything we mean when we say our job is to seek justice,” said Amy Weirich, Shelby County District Attorney General.
In addition to Mumford’s guilty plea, U.S. Attorney Stanton also announced that the following individuals, all of whom had tests taken for them during the scheme, have entered into diversion agreements with the government admitting to their involvement:
Debbie Adams, 39, of Lauderdale, MS
Natalie Blackmon, 36, of Jackson, MS
Keiver Campbell, 43, of Greenville, MS
Yanesha Coleman, 32, of Louisville, MS
Lavante Epson, 36, of Greenville, MS
Genette Haggie, 43, of Yazoo City, MS
Jacqueline Hill, 52, of Macon, MS
Frances Jones, 59, of Greenwood, MS
Gregory King, 41, of Columbus, MS
Willie Knox, 55, of Memphis, TN
Maria Lozano, 31, of Cordova, TN
Jerome Martin, 40, of Coldwater, MS
Vic Mosby, 56, of Pine Bluff, AR
Shunica Scott, 38, of Memphis, TN
Forman Thompson, 40, of Carthage, MS
Leonardo Thompson, 39, of Starkville, MS
Taponsa Wells, 41, of Clarksdale, MS
Brian Williams, 32, of Anguilla, MS
The diversion agreements bar these individuals from teaching for five years, regardless of whether they obtain valid teaching certificates based on their own scores, or whether they have already done so. These individuals have also signed five-year statute of limitations waivers, so that if they attempt obtain a teaching job within five years they will be prosecuted. In addition, the agreements require restitution from the individuals who obtained teaching licenses and positions as a result of tests arranged by Clarence Mumford, Sr.
This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.Richard Lee Wade Sentenced to 60 Months for Sending Threatening Letters Through the MailRead the Press Release
Memphis, TN – Richard Lee Wade, 50, of Roanoke, VA, was sentenced today to 60 months in federal prison by U.S. District Judge John T. Fowlkes for sending threatening communications through the mail to a pair of Memphis-area women, announced U.S. Attorney Edward L. Stanton III.
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“Brazen conduct such as Wade’s repeatedly stalking and terrorizing of innocent women and their families will simply not be tolerated,” said U.S. Attorney Stanton. “The sentence imposed today by the court should serve as a clear reminder to individuals who stalk, threaten and intimidate victims as Wade did by using the U.S. Postal Service that they will be prosecuted to the fullest extent of the law and will ultimately suffer the severe consequences of federal imprisonment.”
On May 5, 2012, Wade was indicted on nine counts of sending threatening letters. In these letters, Wade made repeated threats to inflict serious injury upon the women, including torturing and killing them and threatening to have someone else track them down and kill them. In one of the letters, read during his plea hearing, Wade made the threat, “I will not stop until one of us in our grave.”
Wade pleaded guilty to two of the nine counts on November 6, 2012. Following the completion of his prison term, Judge Fowlkes ordered him to serve three years of supervised release. There is no parole in the federal prison system.
This case was investigated by the United States Postal Inspection Service and the Collierville Police Department. Assistant U.S. Attorney Lorraine Craig represented the government.Businessman and Local Minister Sentenced to 55 Month Prison Term in $3.6 Million Tax Evasion CaseRead the Press Release
Jackson, TN – Isaac H. Brooks, Jr. 60, of Jackson, Tennessee, was sentenced today by U.S. District Judge J. Daniel Breen to 55 months in prison, for failing to pay more than $3.6 million in federal income taxes, announced U.S. Attorney Edward L. Stanton.
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On May 23, 2012, Brooks pled guilty to two counts of a 29 count indictment for income tax evasion. According to information presented during the plea hearing, Brooks operated a successful employee leasing business entitled Temp Owned Temporary Services (TOTS) from 2002 until 2008. Brooks also acquired a commercial janitorial service in 2003 entitled Full Line Maintenance. Brooks controlled all financial aspects for both of these companies. During this time, Brooks was also the minister at Antioch Missionary Baptist Church earning approximately $1,000 each month.
“By stealing more than $3.6 million from the United States Government through a pattern of deliberate tax evasion, Brooks traded the respect of his parishioners and employees, and ultimately his freedom, for the allure of easy money,” said U.S. Attorney Stanton. “Today’s verdict demonstrates he made the wrong choice, and should serve as an example for those who occupy positions of trust that are tempted to act in the same manner.”
Evidence from the investigation showed that no Form 941, Employer’s Quarterly Federal Tax Return was filed for the second quarter of 2006 for TOTS. During this quarter, approximately 300 employees were paid wages totaling $786,481.08. The taxes due to the United States for this quarter were approximately $178,019.61. In addition, several of the other quarterly employer returns filed by Brooks were false. Brooks withheld federal income taxes and social security and Medicare benefits from employees’ paychecks but failed to pay all of these amounts over to the government, instead keeping the funds for himself.
“Most taxpayers file accurate tax returns. In fairness to the majority who are honest, the IRS must and will actively pursue those who intentionally violated the tax laws by attempting to evade their true tax liabilities,” stated Christopher Henry, Special Agent in Charge of the IRS-Criminal Investigation Nashville Field Office.
Brooks also admitted that he did not file a 2006 Form 1040, Individual Income Tax Return, even though he had income from TOTS, Full Line Maintenance, and Antioch Missionary Baptist Church. The tax due was calculated to be $197,987.00.
Evidence presented during the plea hearing revealed that during 2006, Brooks incurred gambling losses from 16 different casinos in five different states totaling $644,069.00. Brooks also paid off loans of $814,133.56 and made several large purchases of jewelry, furniture, and apartment rental.Brooks also leased and/or purchases several luxury vehicles in the name of Antioch Missionary Baptist Church, including a Mercedes Benz, a BMW, and a Cadillac Escalade. The furniture and vehicle purchase were without church members knowledge or authorization.
In addition to the term of imprisonment, Breen ordered Brooks to serve three years of supervised release, and ordered to pay restitution of $3,660,905 to the Internal Revenue Service (IRS). There is no parole in the federal prison system.
This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorneys Lawrence J. Laurenzi and Victor Ivy represented the government.Vacha Vaughn Sentenced to 438 Months for Drug ConspiracyRead the Press Release
Memphis, TN – Vacha Vaughn, 36, of Memphis, TN was sentenced today by U.S. District Judge Samuel H. Mays, Jr. to 438 months in prison for his role in the Craig Petties Drug Trafficking Organization (DTO), announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian Chambers.
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On December 19, 2007, Vaughn pleaded guilty to one count of conspiracy to possess with intent to distribute more than five kilograms of cocaine. As outlined in the indictment, Vaughn was a member of a criminal racketeering enterprise, the Petties DTO, whose members conspired with cocaine traffickers in Mexico, Texas, Mississippi, North Carolina, Georgia, Tennessee, and elsewhere. As part of the conspiracy, cocaine was prepared, packaged and/or stored, prior to distribution to buyers in “stash houses.” The defendant and the co-conspirators used these “stash houses” to avoid detection by law enforcement authorities. It was further part of the conspiracy that the defendants and their co-conspirators sorted, counted, packaged, and stored large amounts of cash derived from the sale of controlled substances in various co-conspirators’ premises in the Western District of Tennessee. The co-conspirators delivered large amounts of currency derived from the sale of cocaine from the Western District of Tennessee and elsewhere to Texas and Mexico. In order to facilitate continued drug trafficking and in order to prevent others from cooperating with law enforcement authorities, it was further part of the conspiracy that the defendant and the co-conspirators did kill other people. Over thirty people have been charged and convicted as part of this investigation.
In addition to the prison sentence, Mays also ordered Vaughn to serve five years of supervised release. There is no parole in the federal prison system.
The case was investigated by the Drug Enforcement Administration, the United States Marshals Service, the Memphis Police Department, the Shelby County Sheriff’s Department and the Olive Branch Police Department. The case is being prosecuted by Assistant United States Attorney David Pritchard on behalf of the government.Convicted Pharmacist Sentenced to 188 Months for Illegally Dispensing Prescription DrugsRead the Press Release
Memphis, TN – Larry Egan Boatwright, 57, of Germantown, TN was sentenced to 188 months in prison for illegally distributing narcotics, announced United States Attorney Edward L. Stanton III.
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“Mr. Boatwright abused his position of trust as a licensed pharmacist by illegally providing massive amounts of prescription drugs that were distributed throughout our community,” said U.S. Attorney Stanton. “This successful prosecution and the court’s sentence today should serve as a clear reminder that such conduct will be aggressively prosecuted, and that no one is above the law.”
According to the superseding indictment in the case, Boatwright was a licensed pharmacist working at the Boatwright Drug Company in Millington, Tennessee, and Super Drugs in Savannah, Tennessee at the time the charged crimes were committed. The indictment charged Boatwright with engaging “in a scheme to dispense controlled substances out of these locations to persons without valid prescriptions, including Schedule II and IV substances.” Counts 1, 4 and 7, respectively, charged Boatwright with distributing hydrocodone, a Schedule III controlled substance, oxycodone, a Schedule II controlled substance, and alprazolam, a Schedule IV controlled substance, in violation of Title 21, United States Code, Section 841(a)(1). Each of the three counts charged that Boatwright made the unlawful distributions while “acting outside the scope of professional practice.” Under the federal Controlled Substances Act, controlled substances are drugs that have an accepted medical use and may not be dispensed without a valid prescription from a medical professional. The law identifies controlled substances as drugs that have a potential for abuse which may lead to psychological or physical dependence. In particular, the Controlled Substances Act recognizes that Schedule II controlled substances have “a high potential for abuse.” The Schedule II and III controlled substances charged in this case, hydrocodone and oxycodone, are prescription pain relievers.
At the conclusion of Boatwright’s three-day trial, a federal jury returned a guilty verdict as to all three counts on October 3, 2012. U.S. District Judge Robert H. Cleland sentenced Boatwright to 60 months imprisonment for Count one; 188 months imprisonment for Count four; and 36 months imprisonment for Count seven; all to be served concurrently. There is no parole in the federal system.
In addition to the prison sentence, Boatwright was also fined $5,000 and ordered to serve a total of three years of supervised release.
As a result of his conviction on the three counts, Boatwright is also required to forfeit his interests in property obtained from the proceeds of his crime. This includes more than $33,000 in cash and bank funds, real estate located at 2132 Woodside Drive, Germantown, Tennessee, and a pair of automobiles.
“Americans rely on medical professionals, including pharmacists, to use their training to help patients and to ‘do no harm.’ This individual violated the law and betrayed his responsibilities to his profession, the DEA, and most importantly to the public he pledged to serve,” said DEA Memphis Resident Agent-in-Charge Brian Chambers. “The moment he decided to illegally distribute drugs, he became nothing more than a drug trafficker. DEA is committed to stopping unscrupulous medical professionals like him from harming patients.”
The case was investigated by Sergeant Dennis Brunson of the Millington Police Department, Drug Enforcement Administration (DEA) Task Force Officer George Stauffer of DEA’s Memphis Task Force, and DEA Diversion Investigators Justin Wood, Heather Wehrle and Rhonda Phillips. The case was prosecuted by Assistant United States Attorneys Joe Murphy and Leetra Harris of the United States Attorney’s Office in Memphis.Former Memphis Police Officer Sentenced to 84 Months for Civil Rights Violations, Drug ConspiracyRead the Press Release
Memphis, TN – Melvin Victor Robinson, 32, a former Memphis Police Officer, was sentenced today to 84 months in federal prison following his guilty plea to civil rights violations and attempting to possess 10 kilograms of cocaine with the intent to distribute, announced U.S. Attorney Edward L. Stanton III.
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“This sentence should serve as an unequivocal warning that law enforcement officers who disgrace their badge and violate the public’s trust will ultimately be caught and prosecuted to the fullest extent of the law,” said U.S. Attorney Stanton. “We will continue to hold accountable anyone who engages in such conduct – including those who take an oath to protect and serve.”
In July, Robinson pleaded guilty to one count of attempting to possess a controlled substance with intent to distribute, in violation of Title 21, U.S.C. Section 846; one count of deprivation of rights under color of law, in violation of Title 18, U.S.C. Section 242; and conspiracy against rights, in violation of Title 18, U.S.C. Section 242.
On January 26, 2012, an informant contacted Robinson and contracted the sale and purchase of 10 kilograms of cocaine. According to facts stated in court, Robinson met the informant while he was on duty and in his police car. The informant told Robinson that the cocaine was stored inside a trailer located at a trucking lot in south Memphis. The informant then provided Robinson with the key and location of the trailer. Approximately ten minutes later, Special Agents and Task Force Officers of the FBI saw Robinson get out of his police car and enter the trailer. Robinson later exited the trailer and placed a black duffel bag containing what he believed to be cocaine inside his police car.
Robinson also pleaded guilty to stealing money from Jwan Boddie. On November 14, 2011, Boddie was detained by Robinson during an arrest while Robinson was working as a MPD officer. According to facts stated in court, Robinson and his partner responded to a narcotics call at the Colonial Inn, where they found Boddie in his hotel room. During that search Robinson admitted to stealing $700 and later sharing the money with his partner.
Robinson also pleaded guilty to striking Jeremy Pettis during an arrest in April 2011. According
to facts stated in court, Robinson detained and punched Pettis in the face while he was sitting in his vehicle.
“The criminal behavior of a police officer harms the integrity of all of law enforcement,” said Aaron T. Ford, Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation. “The hard work by the FBI and our law enforcement partners to investigate and prosecute this case stands as a reminder that the majority of law enforcement officers serve and protect their communities honorably.”
“This is proof that the judicial system works,” said Memphis Police Department Director Toney Armstrong. “Regardless of what position you hold you will be held accountable for your actions if you choose to break the law.”
This crime was investigated by the Tarnished Badge Task Force, which is comprised of investigators from the Federal Bureau of Investigation, Memphis Police Department, and Shelby County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Brian K. Coleman on behalf of the government.Demetrious Fields Sentenced to 444 Months for Racketeering, Drug Conspiracy and Money LaunderingRead the Press Release
Memphis, TN – Demetrious Fields, 42, of Memphis, TN was sentenced today by U.S. District Judge Samuel H. Mays, Jr. to 444 months in prison for his role in the Craig Petties Drug Trafficking Organization (DTO), announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian Chambers.
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On October19, 2011, Fields pleaded guilty to one count of RICO conspiracy; one count of conspiracy to possess with intent to distribute more than five kilograms of cocaine, and one count of conspiracy to commit money laundering.
As outlined in the indictment, Fields was a member of a criminal racketeering enterprise, the Petties DTO, whose members conspired with cocaine traffickers in Mexico, Texas, Mississippi, North Carolina, Georgia, Tennessee, and elsewhere. As part of the conspiracy, cocaine was prepared, packaged and/or stored, prior to distribution to buyers in “stash houses.” The defendant and the co-conspirators used these “stash houses” to avoid detection by law enforcement authorities. It was further part of the conspiracy that the defendants and their co-conspirators sorted, counted, packaged, and stored large amounts of cash derived from the sale of controlled substances in various co-conspirators’ premises in the Western District of Tennessee. The co-conspirators delivered large amounts of currency derived from the sale of cocaine from the Western District of Tennessee and elsewhere to Texas and Mexico. In order to facilitate continued drug trafficking and in order to prevent others from cooperating with law enforcement authorities, it was further part of the conspiracy that the defendant and the co-conspirators did kill other people. Over thirty people have been charged and convicted as part of this investigation.
In addition to the prison sentence, Mays also ordered Fields to serve five years of supervised release and ordered him to pay $33,000 in restitution. There is no parole in the federal prison system.
The case was investigated by the Drug Enforcement Administration, the United States Marshals Service, the Memphis Police Department, the Shelby County Sheriff’s Department and the Olive Branch Police Department. The case is being prosecuted by Assistant United States Attorney David Pritchard on behalf of the government.Stephen Scott Convicted by Jury of Illegal Firearms PossessionRead the Press Release
Jackson, TN – Stephen E. Scott, 42, of Big Sandy, TN, was convicted this week of one count of being a felon in possession of a firearm, announced U.S. Attorney Edward L. Stanton III.
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Evidence presented at trial revealed that on April 15, 2010, deputies with the Benton County Sheriff's Department responded to a shots-fired complaint. Officers encountered Scott, who admitted to target shooting a shotgun with a juvenile female, and showed deputies where they had been practicing.
Deputies discovered that Scott had been convicted of five prior felonies, including two convictions for burglary, felony theft, and a felony drug manufacturing conviction, and was prohibited from possessing a firearm. Law enforcement obtained a search warrant and served it the following day. The firearm used the previous day was found at the residence, and Scott was taken into custody.
Following the jury’s conviction Scott now faces up to 10 years imprisonment, a $250,000 fine, and supervised release to follow any term of imprisonment. There is no parole in the federal system. Sentencing is scheduled for May 2, 2013 at 9:30 a.m. before District Judge J. Daniel Breen.
The case was investigated by the Bureau of Alcohol, Tobacco and Firearms, the Tennessee Wildlife Resources Agency, and the Benton County Sheriff’s Department. The case is being prosecuted by Special Assistant United States Attorney Beth Hall and Assistant United States Attorney Matt Wilson on behalf of the government.Drug Distribution Conspiracy Earns Brownsville Man 151 Month Prison SentenceRead the Press Release
Jackson, TN – Mario Seymour, 29, of Brownsville, TN, was sentenced yesterday to 151 months in prison for his role in a conspiracy to distribute crack cocaine, cocaine and marijuana, announced U.S. Attorney Edward L. Stanton III.
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In an October 11, 2012, appearance before U.S. District Judge J. Daniel Breen, Seymour pleaded guilty to one count of conspiracy to possess and distribute more than 280 grams of cocaine base (crack cocaine), five kilograms of cocaine, and marijuana.
In 2011, agents with the Drug Enforcement Administration, Tennessee Bureau of Investigation, and Bolivar Police Department became aware of a drug trafficking organization based out of Brownsville, Tennessee. As stated in court, the investigation revealed that Seymour was a prominent member of the trafficking organization and was engaged in actively distributing and directing others to distribute crack cocaine, cocaine and marijuana. Investigators were able to intercept shipments of crack cocaine and cocaine with the assistance of the Tennessee Highway Patrol.
On January 25, 2012, during the execution of an arrest and search warrant after a criminal complaint was filed, Seymour was found in possession of a handgun, as well as approximately $103,000 in United States currency, believed to be drug related. The currency was administratively forfeited to the investigating agencies to further future narcotics investigations.
In addition to the 151 month prison term, Breen also sentenced Seymour to five years of supervised release. There is no parole in the federal system.
The case was investigated by the Drug Enforcement Administration, the Tennessee Bureau of Investigation, the Tennessee Highway Patrol and the Bolivar Police Department. The case was prosecuted by Assistant United States Attorney Matt Wilson on behalf of the government.Felon Sentenced to 235 Months in Prison for Firearm PossessionRead the Press Release
Janurary 18, 2013Memphis, TN – Keith Keglar, 36, of Memphis, TN was sentenced today to 235 months in prison by U.S. District Judge Samuel H. Mays for being a felon in possession of a firearm, announced U.S. Attorney Edward L. Stanton III.
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Keglar was convicted by a jury on July 11, 2012 of one count of possession of a firearm by a convicted felon. On April 1, 2011, officers with the Memphis Police Department’s Organized Crime Unit observed Kegler riding a red bicycle in the middle of Breedlove Street. A motorist following Kegler sounded their horn as a warning, and he responded by raising his shirt and displaying a .38 caliber RG Industries revolver. Kegler was apprehended by officers behind a nearby vacant home at 1026 Lewis Street. Officers recovered the firearm on the ground in the backyard.
This investigation was conducted by the Memphis Police Department and by the Project Safe Neighborhoods initiative, which is made up of officers from the Memphis Police Department (MPD), the Shelby County Sheriff’s Department (SCSD), and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Assistant U.S. Attorney Jennifer Lawrence Webber and Special Assistant U.S. Attorney Dean DeCandia represented the government.
Rickey Groves Sentenced to More Than 118 Years in Prison for Carjacking, Armed Robbery SpreeRead the Press Release
Memphis, TN – Rickey Groves, a/k/a Rickey Hughes, 29, of Memphis, Tennessee, was sentenced today to 1424 months in federal prison by U.S. District Judge John T. Fowlkes, Jr., announced U.S. Attorney Edward L. Stanton III.
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In April and May of 2008, Groves carjacked at least two individuals and robbed at least four restaurants at gunpoint near Southeast Memphis. The robbery spree included the McDonalds located at 3377 Winchester Road; the McDonalds located at 1755 Getwell Road; the Popeye’s located at 4720 Showcase Boulevard; and The Kettle located at 4139 Winchester Road.
On August 15, 2011, Groves was convicted by a jury of carjacking and possession of a firearm during and in relation to a crime of violence. He was also convicted by a jury on October 30, 2012 of four counts of robbery of a business engaged in interstate commerce and four counts of using a firearm during each robbery. There is no parole in the federal system.
“This sentence is the product of a true collaborative effort between federal and local law enforcement,” said U.S. Attorney Stanton. “Rickey Groves had a criminal history marked by violent acts perpetrated against innocent citizens across Memphis. His conviction under federal statutes which promise no opportunity for parole, coupled with today’s stiff sentence, sends a message to anyone who chooses to use a firearm to commit unlawful acts that you will be brought to justice and be held accountable to the fullest extent of the law.”
The investigation was conducted by the Safe Streets Task Force, specifically by the Memphis Police Department and the FBI. This case was prosecuted by First Assistant U.S. Attorney Michelle Kimbril-Parks.Former Bank of Oakland President Stephen Henry Pleads Guilty to Bank FraudRead the Press Release
Memphis, TN – Stephen Henry, 46, of Memphis, Tennessee, pleaded guilty to one count of Misapplication of Bank Funds in violation of 18 U.S.C. § 656, announced U.S. Attorney Edward L. Stanton III.
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Henry was serving as president and CEO of Oakland Deposit Bank, which was owned by his family. According to information revealed during his plea hearing, Oakland Bank had made numerous loans to Stephen Sims, a local real estate investor. In late 2007, many of these loans were delinquent. In an effort to keep the loans from going into default, Stephen Henry assisted Stephen Sims in using monies from construction loans to pay on unrelated unsecured loans which had become delinquent. In addition, Stephen Henry manipulated the bank’s books and records to allow bank monies to be used to pay on delinquent loans without being credited to a customer’s account.
The scheme eventually led to Sims defaulting on more than $2.4 million dollars in loans from the bank. As a result, Oakland Deposit Bank was forced to go into receivership and was taken over by officials with the Federal Deposit Insurance Corporation (FDIC). The bank was later sold.
For his role in the scheme, Sims pleaded guilty to three counts of bank fraud and was sentenced to 87 months in federal prison in July 2012. He was also ordered to pay more than $2.4 million in restitution.
Henry will appear before U.S. District Judge Samuel Mays on April 26, 2013 for sentencing. He could receive up to 30 years in prison and up to a one million dollar fine.
This case was investigated by the Federal Bureau of Investigation and the FDIC. Executive Assistant U.S. Attorney Larry Laurenzi represented the government.Dante Dowers Becomes Sixth Guilty Plea in Teacher Test Taking ScandalRead the Press Release
Memphis, TN – Dante Dowers, 40, of Belle Glade, FL, pled guilty today to aiding and abetting identification fraud in connection with the teacher certification cheating scam directed by ringleader Clarence Mumford, Sr., 59, of Memphis, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. This plea, along with previous guilty pleas by John Bowen, 63; Felippia Kellogg, 42; Jeryl Shaw, 40; Shantell Shaw, 40; and Carlos Shaw, 37; all of Memphis, brings to six the total number of guilty pleas thus far in Mumford Sr.’s teacher certification cheating scam.
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The original indictment in the case, filed in July 2012, charged Mumford Sr. with orchestrating a scheme that began as early as 1995 to pay test-takers to take teacher certification examinations on behalf of teachers and hopeful teachers. In August, a superceding indictment charged Dante Dowers, 40, of Belle Glade, Florida and Mumford Sr.’s son, Clarence Mumford Jr., 28, of Memphis. And in September, a second superceding indictment charged ten more individuals, including Samuel Campbell, 39, of Jackson, Mississippi; Darcel Gardner, 35, of Columbus, Mississippi; Steve Holmes, 53, of Memphis, Tennessee; Valerie Humphrey, 47, of Oakland, Tennessee; Carlo McClelland, 35, of Meridian, Mississippi; Jacklyn McKinnie, 44, of Memphis, Tennessee; Jadice Moore, 30, of Port Gibson, Mississippi; Sarah Richard, 54, of Richland, Mississippi; Jeryl Shaw, 40, of Memphis, Tennessee; and Kimberly Taylor, 36, of Charleston, Mississippi. Cedrick Wilson, 34, of Memphis, Tennessee, was charged in a separate indictment related to the scam in October 2012.
During the guilty plea hearing, Dowers admitted to meeting with an aspiring teacher in late 2009 and receiving the aspiring teacher’s driver’s license and $3,580 payment, all of which he forwarded to Mumford, Sr. Mumford, Sr. used the driver’s license to create a fake identification with a test-taker’s picture on the aspiring teacher’s driver’s license. In July 2010, John Bowen, a test-taker who previously pled guilty in this case, passed a PRAXIS examination on behalf of the aspiring teacher.
This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.Corey “Coop” Lidell Sentenced to 22 Years in Prison for Role in Cocaine Distribution ConspiracyRead the Press Release
Memphis, TN – Corey Lidell, a/k/a “Coop,” 32, of Cordova, TN, was sentenced to 264 months in prison for his role in a conspiracy to distribute more than seven kilograms of cocaine, announced U.S. Attorney Edward L. Stanton III.
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Lidell was a street-level drug dealer involved with a major drug trafficking ring headed by Enricko Marshall and Christopher Boyland. Lidell was charged along with Marshall, Boyland and 11 others in an 11 count superseding indictment on June 5, 2012. Lidell pleaded guilty to one count of conspiracy to possess with the intent to distribute at least five kilograms of cocaine. Twelve of his thirteen co-conspirators are currently awaiting sentencing, and one is awaiting trial.
U.S. Chief District Judge Jon P. McCalla took into account Lidell’s lengthy criminal history in imposing sentence. He also ordered Lidell to serve five years of supervised release.
This case was investigated by Drug Enforcement Administration (DEA) Task Force Officer John Rada, the Shelby County Sheriff’s Office, and Rod Waller, Special Agent with the DEA. This case was prosecuted for the government by AUSA Jerry Kitchen.Local Attorney Indicted for Bank FraudRead the Press Release
Memphis, TN – Sharon Anderson, 49, of Oakland, Tennessee, has been charged in a one-count indictment charging bank fraud, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. Anderson, an attorney with offices in Cordova, was arrested this morning and is expected to be released this afternoon on bond after an appearance before U.S. Magistrate Judge Diane K. Vescovo.
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According to the indictment, Anderson defrauded First Citizens Bank in connection with a mortgage loan for the purchase of property in Memphis by submitting a fraudulent settlement statement to the bank. At the closing of the sale, Anderson disbursed $65,000 to the seller of the property and $8,950.78 to the buyer of the property. She prepared a settlement statement that she provided to the seller that reflected these disbursements based on a sales price of $97,500, a First Citizens Bank loan of $78,000, and a $31,126.08 “seller second” mortgage from the seller to the buyer.
However, Anderson prepared a different settlement statement for First Citizens Bank. The settlement statement sent to First Citizens Bank fraudulently represented a $96,126.08 disbursement to the seller and represented that the buyer would pay $22,175.30 at the closing. The settlement statement submitted to First Citizens Bank fraudulently indicated that the buyer was investing money to purchase the property when, in fact, he obtained a portion of the loan proceeds as cash out of the closing. The “second seller” mortgage listed on the settlement statement provided to the seller was a fiction to divert funds from the seller to the buyer.
This investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney John Fabian represents the government.Jackson Men Indicted for Illegal Firearm PossessionRead the Press Release
Jackson, TN – Kirby Ross, 20, of Jackson, TN, and Demario Harris, 29, of Jackson, TN, were each indicted by a federal grand jury for firearms related charges, announced U.S. Attorney Edward L. Stanton III.
Ross was indicted on December 17, 2012 for a violation of 18 U.S.C. § 922(j), possession of a stolen firearm. If convicted, he faces up to 10 years in prison and three years supervised release. Harris was indicted on December 17, 2012 for a violation of 18 U.S.C. § 922(k), possession of a firearm with an obliterated serial number. If convicted he faces up to five years in prison and three years supervised release.
On October 5, 2012, Ross and Harris were approached by investigators with the Tennessee Bureau of Investigation and the Jackson Police Department outside a residence in Jackson, Tennessee, on suspicion of drug charges. Ross was found to be in possession of a Glock, Model 22, .40 caliber semi-automatic pistol that had been reported as stolen. Harris was found to be in possession of a Ruger, Model Security Six .357 revolver with an obliterated serial number.
Ross is scheduled for an initial appearance before U.S. District Judge J. Daniel Breen at 2:00 p.m., Friday, January 11, 2013.
The case is being investigated by the Jackson Police Department, the Tennessee Bureau of Investigation, and the Multijurisdictional Violent Crime and Gang Task Force. Assistant U.S. Attorney Vic Ivy is prosecuting the case.
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Memphis, TN – Jeryl Shaw, 40, of Memphis, pled guilty to aiding and abetting the creation of a fraudulent identification document in connection with the teacher certification cheating scam directed by ringleader Clarence Mumford, Sr., 59, of Memphis, announced United States Attorney for the Western District of Tennessee, Edward L. Stanton III. This plea, along with previous guilty pleas by John Bowen, 63; Felippia Kellogg, 42; Shantell Shaw, 40; and Carlos Shaw, 87; of Memphis, brings to five the total number of guilty pleas thus far in Mumford Sr.’s teacher certification cheating scam. Jeryl Shaw is the husband of Shantell Shaw. Neither are related to Carlos Shaw.
The original indictment in the case, filed in July 2012, charged Mumford Sr. with orchestrating a scheme that began as early as 1995 to pay test-takers to take teacher certification examinations on behalf of teachers and hopeful teachers. In August, a superceding indictment charged Dante Dowers, 40, of Belle Glade, Florida and Mumford Sr.’s son, Clarence Mumford Jr., 28, of Memphis. And in September, a second superceding indictment charged ten more individuals, including Samuel Campbell, 39, of Jackson, Mississippi; Darcel Gardner, 35, of Columbus, Mississippi; Steve Holmes, 53, of Memphis, Tennessee; Valerie Humphrey, 47, of Oakland, Tennessee; Carlo McClelland, 35, of Meridian, Mississippi; Jacklyn McKinnie, 44, of Memphis, Tennessee; Jadice Moore, 30, of Port Gibson, Mississippi; Sarah Richard, 54, of Richland, Mississippi; Jeryl Shaw, 40, of Memphis, Tennessee; and Kimberly Taylor, 36, of Charleston, Mississippi. Cedrick Wilson, 34, of Memphis, Tennessee, was charged in a separate indictment related to the scam in October 2012.
In previous guilty plea hearings, Bowen and Kellogg admitted being paid by Mumford to take numerous tests. Bowen admitted that after he met Mumford Sr. during the 1994-1995 school year – when Bowen was a substitute teacher and Mumford Sr. was the assistant principal at Humes Junior High School – he took at least three to four tests per year from 2000 to 2010. Kellogg admitted that after she met Mumford in May 2009, she took a number of tests over a one and a half year period and received approximately $4,000 from Mumford. Carlos Shaw, who was formerly an assistant principal at the Memphis Academy of Science and Engineering and also taught at Carver High School and Booker T. Washington High School, was first approached by Mumford Sr. approximately ten years ago and admitted taking approximately 10 to 15 tests for payments ranging from $200 to $700. Shantell Shaw admitted that she met Mumford at Trezevant High School in 2008 when she was a new teacher and Mumford, Sr. was her mentor, and that she took approximately 12 to 15 tests for total payments of approximately $8,000.
During Bowen’s guilty plea hearing, it was revealed that investigators began to unravel the ring after Bowen was caught in June 2009 at Arkansas State University in Jonesboro taking an afternoon examination in one man’s name after having taking a morning examination in a woman’s name. Other test-takers paid by Mumford Sr. were at the same test location on the same date doing the same thing. ETS investigated and later referred the case to the Tennessee Department of Education, which referred the case to the Tennessee Bureau of Investigation. After the investigation was brought to the United States Attorney's Office in the summer of 2011, the United States Secret Service also joined the investigation. Investigators interviewed dozens of individuals, and obtained bank, phone and testing records to identify participants in the scheme.
During Jeryl Shaw’s guilty plea hearing, Shaw admitted taking approximately three tests in the 2008-2009 time frame and admitted providing his driver’s license to Mumford via his wife, Shantell Shaw. Mumford used Jeryl Shaw’s driver’s license to create fake identification documents that enabled Jeryl Shaw to take tests on behalf of others. Jeryl Shaw has never been a teacher. He has a degree in polymer chemistry.
This investigation is being conducted by the Tennessee Bureau of Investigation and the United States Secret Service. Assistant U.S. Attorney John Fabian and Special Assistant U.S. Attorney Kirby May represent the government.Justice Department Obtains Comprehensive Agreement to Resolve Long Standing Litigation Regarding the Rights of People with Developmental DisabilitiesRead the Press Release
Memphis, TN – Today, the Justice Department announced that it filed in federal court yesterday afternoon a comprehensive agreement that will resolve long running litigation with the state of Tennessee originally concerning conditions of care at the former Arlington Developmental Center (ADC). On Jan. 15, 2013, the U.S. District Court in Memphis, Tenn., will conduct a hearing to determine whether to approve the agreement. Individuals affected by the agreement are invited to attend the hearing and provide comment to the Court.
Over the 20-year course of the litigation, the state has made significant changes in the delivery of services for a class comprised of former ADC residents and many other individuals who were deemed at risk of placement at ADC. Tennessee closed ADC in October 2010. The new agreement reaches many of those in the group deemed at risk of placement in ADC prior to its closure.
The agreement resolves remaining issues in the litigation by expanding community-based services so that the state can serve people with developmental disabilities, including intellectual disabilities, in their own homes, their families’ homes or other integrated community settings. The agreement also will provide class members in nursing homes the choice to receive services in integrated, community-based settings. Over the next year, Tennessee will expand community services by providing home and community-based Medicaid waivers to Medicaid-eligible individuals; seeking new and cost-efficient models of care for class members with behavioral needs; and providing supported employment for class members seeking work. This expansion will provide people the opportunity to transition successfully from nursing and other facilities to community settings that can meet their needs and prevent new people from being unnecessarily institutionalized.
“This agreement will provide remaining class members with developmental disabilities in western Tennessee the opportunity to live successfully in their homes and communities and bring this long-standing litigation to an appropriate end,” said Assistant Attorney General Thomas E. Perez. “I commend Governor Haslam for his leadership on this issue, and we will continue to work with states around the country, as we have with Virginia, Georgia, Delaware, North Carolina, and – today – Tennessee, to ensure that people with disabilities are given the choice to live in community-based settings.”
“This is an example of the state of Tennessee making the choice to do what is not only legally right, but right in the grander sense,” said U.S. Attorney Edward L. Stanton III. “Protecting the civil rights of every citizen is a fundamental duty of our office and this agreement does so while preserving the dignity and improving the quality of life for some of our most vulnerable citizens.”
Upon the state’s successful completion of the agreement, the litigation is expected to come to an end. In 1991, the department released a findings letter pursuant to the Civil Rights for Institutionalized Persons Act (CRIPA) detailing conditions at ADC that violated residents’ constitutional rights. The following year the department brought suit to remedy those conditions. The court joined that suit with a separate suit brought by People First of Tennessee concerning ADC and the rights of people at risk of institutionalization at ADC. People First remains active in the case and also is a party to the agreement.
Civil Rights Division staff Jonathan Smith, chief; Shelley Jackson, deputy chief; and senior trial attorneys Jonas Geissler and Michelle Jones, worked on the case and the agreement.
For more information on the Justice Department’s Civil Rights Division, please visit www.justice.gov/crt. If you have any comments or concerns specific to this matter, please feel free to contact the division at1-877-218-5228.
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