Northern District of Texas
Press releases recorded for this federal judicial district.
Last Defendant Sentenced in Dallas-based Methamphetamine Distribution ConspiracyRead the Press Release
DALLAS — The last of 16 defendants charged and convicted in a methamphetamine distribution conspiracy that operated in the Dallas area has been sentenced, announced U.S. Attorney John Parker of the Northern District of Texas.
Tommy Rodriguez, 36, of Dallas, was sentenced by Chief U.S. District Judge Barbara M.G. Lynn yesterday to serve 180 months in federal prison, following his guilty plea to one count of conspiracy to distribute a controlled substance.
“There is a high cost to choosing drug trafficking as an occupation,” said U.S. Attorney Parker. “The combined efforts of this office and our law enforcement partners will keep it that way.”
Other defendants charged and convicted in the case have been sentenced as follows:
Eduardo Zavala-Ruiz, aka “Gold Coins,” “Primo,” “Lalo,” “Lalin,” 240 months
Zachary Whiteside, aka “Sharkey,” “Shark,” “Zach,” 214 ½ months
Jose Mario Chavez-Bravo, aka “Rafael Lua-Maguna,” “Mickey,” 200 months
Nicole Leedy, aka “Nicky,” 188 months
Christopher Michael Eller, aka “Chris,” 135 months
Rafael Hurtado, aka “Rafi,” “Ralphie,” 135 months
Kyle Travis Kamp, 135 months
Manuel Eguia, aka “Twenty,” 108 months
Frank Allen Lonero, aka “Frankie,” 90 months
Richard Islas, aka “Gordo,” 87 months
Rene San-Miguel, 63 months
Monica Maldonado-Pena, 51 months
Albert Lee Longoria, 48 months
Francisco Millan-Madrid, 48 months
Kirstin Perviance, 48 months
Karla Julissa Jimenez, 21 months
One defendant remains a fugitive.
According to documents filed in the case, in 2014, the above-listed defendants conspired together and with others to distribute and possess with the intent to distribute methamphetamine and cocaine in the Dallas area.
The North Texas High Intensity Drug Trafficking Area (HIDTA) task force investigated the case. Assistant U.S. Attorney Phelesa Guy prosecuted.
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Heroin Dealer Admits to Federal Charges in Connection to the Overdose Death of a Farmers Branch WomanRead the Press Release
DALLAS — Nancy Pineda, 28, of Farmers Branch, Texas, appeared in federal court, this week, before U.S. Magistrate Judge Irma Carrillo Ramirez and pleaded guilty to her role in selling the heroin that caused a young woman’s overdose death at a McDonald’s restaurant in Farmers Branch in June 2016, announced U.S. Attorney John Parker of the Northern District of Texas.
Pineda pleaded guilty to one count of conspiracy to possess with the intent to distribute a controlled substance. Pineda has been in custody since the time of her arrest in October 2016. Sentencing is scheduled for January 11, 2018.
Three other men, charged in the same case, also appeared this week before U.S. Magistrate Judge Ramirez and U.S. Magistrate Judge Stickney and pleaded guilty to their roles in the trafficking of illegal narcotics. Rogelio Bernal, 20, and Steven Gomez, 19, both of Dallas, Texas, and Zakariah Michael Wolf, 29, of Greenville, Texas, each pleaded guilty to one count of conspiracy to possess with the intent to distribute a controlled substance. They will remain in custody pending sentencing, which is also set for January 11, 2018.
The defendants face a maximum penalty of not more than 20 years in prison and a fine up to $1,000,000.
According to the factual resume filed in Pineda’s case, in June 2016 Pineda sold user quantities of heroin out of a vehicle in the Dallas area. Specifically, on June 8, 2016, Pineda travelled by car to a restaurant in Dallas to sell $20 worth of heroin to co-defendant Anthony Jaramillo. Jaramillo then delivered the heroin to an individual identified as M.H. On that same day, M.H. died at a McDonalds restaurant in Farmers Branch, Texas, after injecting the heroin she purchased from Jaramillo.
According to factual resumes filed in the case, beginning in 2016 until March 9, 2017, Bernal, and Gomez conspired to distribute illegal narcotics to customers in the Dallas area, as well as others who would travel from other cities to obtain drugs from them, including Wolf. Wolf would purchase heroin from Bernal or Gomez, then distribute that heroin and other illegal narcotics in the Greenville, TX, area.
A search warrant executed on March 9, 2017 at the residence of Bernal and Gomez revealed a number of weapons, 490 grams crack cocaine, and 2,036 grams of methamphetamine.
The Farmers Branch Police Department, Greenville Police Department, and the Drug Enforcement Administration investigated the case with assistance from the Grand Prairie Police Department and Dallas Police Department. Deputy Criminal Chief Assistant U.S. Attorney Rick Calvert and Assistant U.S. Attorney Myria Boehm are prosecuting.
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Federal Jury Convicts Man of Theft of Government Funds and Identity TheftRead the Press Release
DALLAS — Following a three-day trial before U.S. District Judge Jane J. Boyle, a federal jury convicted Jeffrey Sila, 32, a citizen of Nairobi, Kenya, yesterday on two counts of theft of public funds and one count of aggravated identity theft, announced U.S. Attorney John R. Parker of the Northern District of Texas.
Sila is to be sentenced by U.S. District Judge Jane J. Boyle on January 11, 2018. The maximum statutory penalty for the identity theft count is a mandatory term of two years in prison and a $250,000 fine. The maximum statutory penalty for the theft of public funds counts are a maximum statutory penalty of ten years in prison and a $250,000 fine. Sila has been in custody since the time of his arrest in September 2016.
The government presented evidence at trial that Sila illegally obtained a $76,592.86 United States Treasury check payable to an individual identified as C.S. that had been issued on a federal income tax return filed electronically from Kenya. On August 9, 2016, Sila delivered the treasury check to an Internal Revenue Service (IRS) Criminal Investigation (CI) undercover agent in exchange for $48,000. Sila was arrested on September 11, 2016, at Los Angeles airport as he attempted to board a flight to Nairobi, Kenya. Sila was also convicted of the theft of another treasury refund check that had been issued on an electronically filed return filed in 2012.
The case was investigated by IRS-CI. Assistant U.S. Attorneys Christopher Stokes and Sid Mody are prosecuting.
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Dallas Man Convicted of Drug and Firearms ChargesRead the Press Release
DALLAS — Ronee Damien Williams, 25, of Dallas, Texas was convicted by a federal jury yesterday of multiple firearm and drug offenses following a three-day trial before U.S. District Judge David C. Godbey, announced U.S. Attorney John Parker of the Northern District of Texas.
Williams was convicted on one count of felon in possession of a firearm, one count of possession with intent to distribute a controlled substance and one count of possession of a firearm in furtherance of a drug trafficking crime. He faces a penalty of not more than ten years in prison and a $250,000 fine for the felon in possession charge and not less than five years and not more than forty years in prison and a $5,000,000 fine for the drug and firearm possession charges. He has been in custody since the time of his arrest in March 2016. Sentencing is scheduled for January 8, 2018.
Co-defendant Jordan Jamichael Mims pleaded guilty in April 2017 to the same charges and was sentenced by Judge Godbey to a total of 120 months in prison.
The government presented evidence that Williams had previously been convicted of a crime punishable by imprisonment for a term exceeding one year. On September 18, 2015, Dallas Police executed a search warrant on a house where Williams and others were selling cocaine, PCP, and marijuana. At the time the search warrant was executed, Williams was inside the house that had multiple firearms, more than 28 grams of cocaine and a large amount of PCP.
The ATF and Dallas Police investigated. The case is being prosecuted by Assistant U.S. Attorneys John Boyle and Shane Read.
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Garland Tax Preparer Pleads Guilty to Preparing False Tax ReturnsRead the Press Release
DALLAS — Mike Cano of Wylie, Texas, appeared in federal court this morning before U.S. Magistrate Judge Paul D. Stickney and pleaded guilty to one count of aiding and assisting in the preparation of false individual income tax returns, announced U.S. Attorney John Parker of the Northern District of Texas.
Sentencing is set for January 10, 2018, before Chief U.S. District Judge Barbara M.G. Lynn. Cano faces a statutory maximum penalty of three years in federal prison and a $100,000 fine. He may also be ordered to pay restitution.
On September 21, 2016, Cano and co-defendants Jimmy Luis Briseno, Rene N. Barrera, Sr. and Christopher Lee DeLeon were charged with conspiracy to defraud the IRS and other charges related to the filing of false tax returns. According to the factual resume filed in the case, from January 2011 through March 2012, Cano worked as a tax return preparer for Briseno at Tax Genius offices in Garland, Texas. In his plea papers, Cano admitted that DeLeon, Briseno, Barrera and Cano all routinely prepared and caused to be electronically filed with the IRS individual income tax returns that contained one or more of the following falsely inflated or fictitious items: false Forms Schedule C; false and fabricated Education Credits, and false items used to inflate and maximize the Earned Income Tax Credit (EITC) on the tax return. Cano also stated that Briseno trained Cano and others how to file false tax returns in 2011 and 2012. During this period, Cano and his co-defendants caused false and fraudulent information and documents to be submitted to the IRS with the intent to fraudulently cause the IRS to pay refunds based on this false tax information.
Cano caused the filing of seven false tax returns resulting in a tax loss of $31,367 due to false refunds claimed.
IRS Criminal Investigation is investigating the case. Assistant U.S. Attorney David Jarvis is in charge of the prosecution.
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Methamphetamine Distributor Sentenced to 20 Years in Federal PrisonRead the Press Release
DALLAS — This morning, U.S. District Judge David C. Godbey sentenced Raul Garibay, 25, of Grand Prairie, Texas, to 240 months in federal prison, following his guilty plea in March 2017 to one count of conspiracy to possess with intent to distribute and to distribute a schedule II controlled substance, announced U.S. Attorney John Parker of the Northern District of Texas.
Co-defendants Alfonso Mercado-Cruz, 32, Gerardo Galvan, 28, and Fernando Mora-Martinez, 43, also pleaded guilty to their role in the conspiracy. Judge Godbey sentenced Mora-Martinez to 66 months in prison and Galvan to 70 months in prison. Mercado-Cruz is scheduled to be sentenced on October 2, 2017.
According to plea documents filed in Garibay’s case, from January l, 2016 through May 19, 2016, Garibay, along with Galvan, Mercado-Cruz and Mora-Martinez conspired to possess with intent to distribute 50 grams or more of methamphetamine. The defendants used a trailer house, equipped with only a stove, in Grand Prairie, Texas, to cook and prepare methamphetamine for distribution.
A search of the trailer house revealed approximately 4 kilograms of methamphetamine in liquid, powder, and crystal form in various stages of processing.
The Drug Enforcement Administration, Lewisville Police Department, Grand Prairie Police Department, and the Dallas Police Department investigated the case.
Assistant U.S. Attorney George Leal is in charge of the prosecution.
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Desoto Man Sentenced for His Role in a “Foreclosure Rescue Scheme”Read the Press Release
DALLAS — Bruce Kevin Hawkins, 52, of Desoto, Texas, was sentenced this morning before U.S. District Judge David C. Godbey to serve 41 months in prison and pay $219,109 in restitution for his role in a foreclosure rescue scheme that exploited vulnerable homeowners facing foreclosure, announced U.S. Attorney John Parker of the Northern District of Texas.
Hawkins pleaded guilty in June 2017 to one count of mail fraud. He has been in custody since the time of his arrest in January 2017.
A federal grand jury in Dallas returned an indictment in December 2016 charging Hawkins and three others with felony offenses stemming from a “foreclosure rescue scheme” they ran from approximately February 2012 through January 2013. Richard Bruce Stevens, 51, of San Antonio, Texas, and Christina Renee Caveny, 37, of Dallas, also pleaded guilty and will be sentenced later this year. Mark Demetri Stein, 36, of Carrollton, Texas, is awaiting trial.
According to documents filed in the case, Stein operated Real Estate Solutions, Stevens used Texas Real Estate Services, and Hawkins formed ERealty Mortgage Group, LLC, as foreclosure rescue companies. The conspirators used third parties to contact homeowners and offer them an opportunity to get out of their present home loans and receive a new home loan with a reduced interest payment and reduced monthly payment. Hawkins and other conspirators falsely represented to homeowners that they had “investors” standing by who were ready to quickly purchase the homeowner’s present loan from the lender holding the current mortgage. They also falsely represented that they would use investors to purchase the homeowner’s loan from the original lender at a greatly reduced price through a “short sale” process.
Furthermore, Hawkins and other conspirators falsely represented to the homeowners that the homeowners had the legal authority to transfer their homeowner’s deed to the defendants.
As part of the scheme, the conspirators fraudulently required homeowners to start making all future loan payments to them based on fraudulent so-called “loans,” and they also told homeowners to ignore late payment notices sent by lenders. As part of the scheme, the conspirators conducted a fraudulent “closing” for each homeowner where they caused the homeowner to pay them a large down payment on the new “loan,” and they also had the homeowner sign fraudulent documents, such as a promissory note, deed of trust, special warranty deed, and/or a so-called “land trust.”
Further, according to plea documents, the conspirators falsely represented to homeowners that the conspirators could “sell” their property back to the homeowner with a new loan, when the conspirators well knew they did not legally own the property. The conspirators also told homeowners to ignore notices of nonpayment from their present lender as they continued to unlawfully collect monthly so called “mortgage payments” from homeowners. In fact, conspirators instructed several homeowners to file for bankruptcy but to not follow up with the bankruptcy process as an additional means to delay foreclosure and conceal the conspirators’ criminal conduct. Conspirators concealed that all down payment and monthly mortgage payments fraudulently collected from homeowners was spent for their own personal benefit.
The defendants recruited at least 70 distressed and vulnerable homeowners who were facing the imminent threat of foreclosure on their homes and fraudulently collected a total of at least $242,000 from them.
This case is one of several felony prosecutions of bankruptcy-related crimes prosecuted since May 2013 as a result of the Bankruptcy Fraud Initiative in the Northern District of Texas. As part of that initiative, 23 defendants have been convicted and 2 defendants are pending trial.
The Dallas FBI investigated the case. Assistant U.S. Attorney David Jarvis prosecuted.
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Leuders Man Sentenced to 87 Months in Federal Prison for Child Pornography OffenseRead the Press Release
LUBBOCK, Texas — Steven Michael Turnbow, 33, of Leuders, Texas, was sentenced today by U.S. District Judge Reed C. O’Connor to serve a total of 87 months in federal prison and an eight-year term of supervised release, following his guilty plea to receipt of child pornography, announced U.S. Attorney John Parker of the Northern District of Texas.
Turnbow has been in custody since his arrest in March 2017. He pleaded guilty in May 2017 to one count of receipt of visual depictions of minors engaging in sexually explicit conduct.
According to the factual resume filed in the case, between 2015 through July 30, 2016, Turnbow received, by way of the Internet, several images and videos which depict minors engaged in sexually explicit conduct. Turnbow used the Wi-Fi signal from his neighbor’s house to access the Internet. When he saw that his neighbors’ residence was being searched by law enforcement, he removed the computer hard drive from his desktop computer, which he had been using to search for, and download, images and videos of minors engaged in sexually explicit conduct, and threw it in a river near his residence.
These cases were brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Shackelford County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Steven M. Sucsy prosecuted the case.
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Allen Tax Preparer Pleads GuiltyRead the Press Release
DALLAS — Christopher Lee DeLeon of Allen, Texas, who was one of several tax preparers at Tax Genius in Garland, Texas, appeared in federal court this morning before U.S. Magistrate Judge Paul D. Stickney and pleaded guilty to one count of aiding and assisting in the preparation of a fraudulent tax return, announced U.S. Attorney John Parker of the Northern District of Texas.
Sentencing is set for January 10, 2018, before Chief U.S. District Judge Barbara M.G. Lynn. DeLeon faces a statutory maximum penalty of three years in federal prison and a $100,000 fine. He may also be ordered to pay restitution.
On September 21, 2016, DeLeon and co-defendants Jimmy Luis Briseno, Rene N. Barrera, Sr. and Mike Cano were charged with conspiracy to defraud the IRS and other charges related to the filing of false tax returns. According to the factual resume filed in the case, from January 2011 through February 2012, DeLeon worked as a tax return preparer with Briseno, Barrera, and Cano at Tax Genius offices in Richardson and Garland, Texas. In his plea papers, DeLeon admitted that DeLeon, Briseno, Barrera and Cano all routinely prepared and caused to be electronically filed with the IRS individual income tax returns that contained one or more of the following falsely inflated or fictitious items: false Forms Schedule C; false and fabricated Education Credits, and false items used to inflate and maximize the Earned Income Tax Credit (EITC) on the tax return. DeLeon also stated that co-defendants Briseno and Barrera trained DeLeon in how to file false tax returns in 2011 and 2012. During this period, DeLeon and his co-defendants caused false and fraudulent information and documents to be submitted to the IRS with the intent to fraudulently cause the IRS to pay refunds based on this false tax information.
DeLeon caused the filing of eight false tax returns resulting in a tax loss of $60,618 due to false refunds claimed.
IRS Criminal Investigation is investigating the case. Assistant U.S. Attorney David Jarvis is in charge of the prosecution.
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Former Finance Manager at Trophy Nissan Pleads Guilty in Connection with Owning and Running Brothels in Dallas, TexasRead the Press Release
DALLAS — Jeffrey Wittman, 52, and his company JBJ Services, LLC (“JBJ”), appeared in federal court yesterday morning before U.S. Magistrate Judge Irma Carrillo Ramirez and pleaded guilty to charges related to the ownership and operation of at least two businesses that were fronts for illegal brothels in Dallas, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, Wittman and JBJ pleaded guilty to one count of conspiracy to violate the Travel Act. Wittman faces a maximum penalty of not more than 5 years in federal prison and a $250,000 fine. Wittman has agreed to forfeit the building that was used to run one of the brothels and has agreed to pay a money judgment of not less than $200,000. JBJ faces a maximum penalty of a fine not to exceed $500,000 and has agreed to pay a money judgment of not less than $200,000. Wittman has been in custody since the time of his arrest in March 2017. A sentencing hearing has been set for January 10, 2018.
Chongok Ellsworth, 62, is scheduled to plead guilty to the conspiracy. Wittman’s wife, Chin Young Song, 50, and Puna Kim, 54, are awaiting trial.
According to documents filed in the case, during the time period from at least January 2014 through February 2017, Wittman, along with others, owned and/or operated brothels in the North Texas area. Specifically, Wittman and his coconspirators managed, promoted, and facilitated brothels called “Sakura” and “The Palace.” Wittman, who until his arrest in this case was working as a finance manager at Trophy Nissan, created JBJ with Song, to facilitate the operation of these businesses. Wittman and JBJ entered into several contracts that facilitated the prostitution business enterprise and maintained a bank account from which the illegal businesses operated. Wittman and his codefendants used the Internet, ATM machines, and phones to facilitate the brothels’ operations. Several online advertisements for Sakura and The Palace were posted during the course of the conspiracy, many of which contained photos of scantily clad women and advertised phone numbers of each of the businesses. In addition, both The Palace and Sakura leased space for ATMs to operate inside both businesses to further facilitate the brothels.
The Federal Bureau of Investigation, with the assistance of the Dallas Police Department, investigated the case. Assistant U.S. Attorneys Jamie L. Hoxie and Joseph A. Magliolo are in charge of the prosecution.
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Garland Woman Admits Role in Health Care Fraud ConspiracyRead the Press Release
DALLAS, Texas — Latecia P. Hill, 51, of Garland, Texas, pleaded guilty today, before U.S. Magistrate Judge Paul D. Stickney, to one count of conspiracy to commit health care fraud stemming from a scheme to defraud Medicare through the submission of false claims for hearing related services. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
Hill faces a maximum penalty not to exceed 5 years in federal prison, a $250,000 fine, and may be ordered to pay restitution. Hill will remain on bond pending sentencing.
Latecia Hill’s mother, Pearle L. Madere, 72, pleaded guilty to her role in the conspiracy last month and is awaiting sentencing. Harlan R. Hill, 53, Latecia Hill’s husband, is awaiting trial.
According to documents filed in the case, Harlan Hill owned and operated Total Senior Ear Care (TSEC); Latecia Hill served as its administrator; and Pearle Madere ran day-to-day operations. TSEC, whose offices were located in Dallas, provided hearing-related services to Medicare beneficiaries living in nursing homes. TSEC physicians and medical assistants would go to a facility and would routinely see as many as 100 patients in a day, often spending less than 5 minutes with each patient. These contracted physicians and medical assistants would do a complete “sweep” of the facility and see every patient available, regardless of the need for hearing-related services. Many of the patients were unresponsive and had no way to communicate whether they wanted the service or not. These hearing services were then fraudulently billed to Medicare for reimbursement. This fraudulent business, created by Harlan and Latecia Hill and Pearle Madere caused Medicare to pay TSEC more than $5.1 million for services never rendered or necessary.
The FBI, the U.S. Department of Health and Human Services – Office of Inspector General, and the Texas Attorney General’s Medicaid Fraud Control Unit investigated this case as part of the Medicare Fraud Strike. Assistant U.S. Attorney Katherine Pfeifle is prosecuting.
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Austin Man Admits to Child Pornography Charges Involving Two Minor Victims, One a Three-Year-Old ChildRead the Press Release
DALLAS, Texas — Javier Giovanni Araujo, 34, of Austin, Texas, appeared this morning before U.S. Magistrate Judge Paul D. Stickney and pleaded guilty to one count of conspiracy to produce child pornography and one count of transportation of child pornography, announced John Parker, United States Attorney for the Northern District of Texas.
Araujo faces a statutory penalty of not less than 15 years and not more than 30 years in federal prison, a $250,000 fine and a lifetime of supervised release for the conspiracy count and a statutory penalty of not less than 5 years and not more than 20 years in federal prison, a $250,000 fine, and a lifetime of supervised release for the transportation count. Araujo has been in custody since his arrest in December 2016. A sentencing hearing has been set for January 10, 2018.
Co-defendant Garrett Alexander Mack, 29, of Dallas, Texas, also pleaded guilty to his role in the conspiracy and is scheduled to be sentenced on November 29, 2017.
According to documents filed in the case, from September 26, 2016 through October 7, 2016, Araujo and Mack discussed sexually abusing children and exchanged photos and videos of child pornography. Araujo agreed with Mack to produce child pornography involving a three-year-old child to which Araujo had access. Araujo coerced the child into engaging in sexually explicit conduct and produced photos and videos of the conduct.
Araujo also coerced another minor child to engage in sexually explicit conduct with him, which he recorded and transmitted the video to Mack.
The matter was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation, the Dallas Police Department, and the Austin Police Department investigated. Assistant U.S. Attorney Jamie L. Hoxie is in charge of the prosecution.
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Twenty Charged in Drug Distribution ConspiracyRead the Press Release
DALLAS — A total of twenty individuals are now in custody following a law enforcement operation this week led by special agents of the Drug Enforcement Administration (DEA). Seventeen of the twenty charged were in the United States illegally at the time the offenses occurred. John Parker, U.S. Attorney for the Northern District of Texas announced today.
Seventeen of the twenty individuals are charged with conspiracy drug trafficking charges outlined in a criminal indictment returned in August 2017, and partially unsealed today. The other three individuals are charged in criminal complaints returned last week and this week in Dallas. One complaint remains partially sealed. One defendant charged in the indictment is in state custody on an unrelated state charges and has yet to make his appearance on the indictment. Four other defendants have not been arrested.
The defendants have made their initial appearances before U.S. Magistrate Judge Paul D. Stickney. Three defendants have detention hearings pending, but Magistrate Judge Stickney ordered that the remaining defendants be detained without bond pending resolution of the criminal case. Those arrested include:
Juliana Millan, aka “Julie,” “Julie Lopez,” 33
Horacio Romero Alpizar, aka “Old Man,” 57
Erick Arellano, aka “Gordo,” “Gorras,” 23
Joel Sanchez Bravo, aka “Um9449,” 42
Marko Cardenas, aka “Um3821,” 29
Rigoberto Flores-Gomez, aka “Zapatito,” 33
Francisco Garcia, aka “Cacheton,” 49
Claudia Garcia-Camacho, 22
Juan Manuel Iturve, 36
Mayra Lira, 27
Noe Lopez-Martinez, 22
Brandon Lutrick, 41
Armando Martinez-Martinez, 26
Gabriela Morales, 30
Gerardo Ortiz, 27
Martin Santana, 34
Jose Guadalupe Valentin, aka “Chemo,” “Um6475,” 38
Ricardo Valle, aka “Um 6025,” 33
Rufino Santamaria-Varona, 23
Franuel Teran-Rojo, 21
“Disrupting drug trafficking organizations like this one is a critical part of our mission,” said U.S. Attorney Parker. “But we can’t do it alone and that’s why our law enforcement partnerships are essential.”
“Today is one of many examples how law enforcement agencies and the prosecutors unite to make our communities a safer place,” said Special Agent in Charge Clyde E. Shelley, Jr. of the Drug Enforcement Administration. “We will continue to eliminate these threats to our citizens.”
This poly-drug organization distributed substantial quantities of methamphetamine and cocaine in Dallas, Texas, and other areas of the United States. During yesterday’s operation, law enforcement officers and agents seized approximately 26 kilograms of methamphetamine, three kilograms of heroin, four kilograms of cocaine, 22 handguns, three rifles, one silencer, 22 vehicles, one non-operational methamphetamine conversion laboratory, and approximately $300,000.
A federal criminal indictment is a written statement of the essential facts of the offense charged. A defendant is entitled to the presumption of innocence until proven guilty. The drug trafficking charges carry a mandatory minimum of 10 years’ imprisonment and a maximum of life, and a fine of 10,000,000.
A criminal complaint is a written statement of the essential facts of the offense charged and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The government has 30 days to present the matter to a grand jury for indictment.
Besides the DEA, other participating agencies include the United States Marshals Service, Homeland Security Investigations, Immigration and Customs Enforcement, United States Secret Service, Bureau of Alcohol Tobacco and Firearms, Dallas Police Department, Farmer’s Branch Police Department, Garland Police Department, Rockwall Police Department, Waxahachie Police Department, Plano Police Department, Collin County Sheriff’s Office, DeSoto Police Department, McKinney Police Department, Mesquite Police Department, Denton County Sheriff’s Office, Tulsa Police Department, Fort Worth Police Department, Rowlett Police Department, and the Texas Child Protection Services.
Assistant U.S. Attorney Suzanna Etessam is prosecuting.
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Nicaraguan Woman Sentenced to 33 Months in Federal Prison for Her Role in Conspiracy Involving Fraudulent Bank CardsRead the Press Release
DALLAS — Ivania Ortiz, also known as “Ivania Reyes” and “Lisset Oz,” 32, originally from Nicaragua, was sentenced this morning by U.S. District Judge Sidney A. Fitzwater to 33 months in federal prison for her role in a conspiracy involving fraudulent purchases in North Texas using counterfeit bank cards, announced U.S. Attorney John Parker of the Northern District of Texas.
Ortiz pleaded guilty in March 2017 to one count of conspiracy to commit access device fraud. She has been in custody since the time of her arrest in July 2016. Judge Fitzwater also ordered Ortiz to pay $408,596.46 in restitution, joint and severally with her codefendants.
A federal grand jury returned a 20-count indictment in August 2016 charging Ortiz along with Elvis Johanny Ortiz Reyes, Jesus Aldana Gutierrez, Roberto Carlos Puebla Saavedra, Yaser Moreno, also known as “Adrian Perez,” Yokasta Garcia, also known as “Kathy Garcia,” and Norge Mayea, for their roles in the scheme.
According to documents filed in the case, from at least August 2014 through July 2016, Ortiz and others obtained lists of credit and debit card numbers belonging to other individuals online. Ortiz and her coconspirators used the card information to create counterfeit bank cards using devices to encode the cards with the fraudulently obtained account information. The defendants went to various retail stores and purchased prepaid gift cards and shopping cards with the counterfeit cards. The defendants then took those purchased prepaid gift cards and shopping cards to other stores and purchased items, including other gift cards, to further launder the illegally obtained money.
The scheme was discovered after an investigator from JPMorgan Chase observed a large volume of fraudulent transactions being made with unauthorized JPMorgan Chase debit card numbers at Walmart stores in the Dallas-Fort Worth metroplex area. JPMorgan Chase’s investigator worked with Walmart investigators to collect surveillance footage and conduct surveillance of the defendants engaging in the fraudulent transactions. As a part of the judgment, Ortiz was ordered to pay over $360,000 to JPMorgan Chase.
The case was investigated by the U.S. Secret Service and the Plano Police Department. Assistant U.S. Attorneys Jamie L. Hoxie and Shane Read prosecuted.
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Lubbock Man Sentenced in Fentanyl Distribution ConspiracyRead the Press Release
LUBBOCK, Texas — Brian Landon Brown, 32, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 240 months in federal prison for his role in a fentanyl distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Brown pleaded guilty in June 2017 to one count of conspiracy to distribute and possess with intent to distribute furanyl fentanyl. He has been in custody since his arrest in May 2017.
“Fentanyl and its analogues are extremely potent synthetic opioids that can be 30 to 40 times stronger than heroin and up to 100 times more powerful than morphine,” said U.S. Attorney Parker. “As sadly proved to be the case here, it is also extremely deadly and failure to stop those who sell it is simply not an option.”
According to plea documents filed in the case, in the Summer of 2016, the Drug Enforcement Administration (DEA) and the Lubbock Police Department began receiving information about a large-scale drug ring distributing Fentanyl and Fentanyl analogues in the Lubbock area. Law enforcement learned that Brown was one of the largest distributors for the group, selling up to 10 grams of Furanyl Fentanyl per day.
On October 6, 2016, at 2:30 p.m. Brown met a 26-year-old male and sold Furanyl Fentanyl to that individual. Around 4:15 - 4:30 a.m. on October 7, 2016, that same individual was discovered unconscious at his residence. At approximately 5:05 a.m. that same day, the individual was pronounced dead. The Lubbock County Medical Examiner (LCME) did an autopsy and determined that the cause of death was drug toxicity from Furanyl Fentanyl. An investigation into the cause of death led law enforcement to Brown, who when confronted by law enforcement, admitted to selling Furanyl Fentanyl to the 26-year-old male the night of his death.
On October 17, 2016, Brown was arrested in Lubbock, Texas, on an unrelated arrest warrant. At the time of his arrest, Brown possessed a vial of .291 net grams of Furanyl Fentanyl. Brown admitted that he typically sold several grams of Furanyl Fentanyl per day.
Besides analgesia, Fentanyl produces a variety of pharmacological effects, including alteration in mood, euphoria, drowsiness, respiratory depression, suppression of cough reflex, constriction of pupils, and impaired gastrointestinal mobility. Fentanyl is a Schedule II controlled substance.
Furanyl Fentanyl is a controlled substance analogue that has a chemical structure substantially similar to Fentanyl, a Schedule II controlled substance under the Controlled Substances Act, and has a stimulant, depressant, or hallucinogenic effect on the central nervous system that is substantially similar to or greater than the stimulant, depressant, or hallucinogenic effect on the central nervous system of Fentanyl, a Schedule II controlled substance. A lethal dose of furanyl fentanyl is the equivalent of a single grain of salt.
The case was investigated by the Drug Enforcement Administration and the Lubbock Police Department. Assistant U.S. Attorneys Jeffrey Haag and Russell Lorfing prosecuted.
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La Familia Michoacán Drug Cartel Leader Pleads Guilty to Drug Distribution and Money Laundering ChargesRead the Press Release
DALLAS — Arnoldo Rueda-Medina, aka “La Minsa,” 47, appeared before U.S. Magistrate Judge Irma C. Ramirez today and pleaded guilty to federal offenses in connection with his leadership roles in the “La Familia Michoacán” Mexican drug cartel, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, Rueda-Medina pleaded guilty to one count of conspiracy to possess with the intent to distribute a Schedule II controlled substance and one count of conspiracy to launder monetary instruments. He faces a statutory sentence of not less than 10 years and up to life in federal prison and up to a $4 million fine on the drug conspiracy count. The money laundering conspiracy count has a maximum statutory sentence of 20 years in federal prison and a fine of not more than $500,000 or twice the value of the property involved in the transaction, whichever is greater. Rueda-Medina will remain in custody pending sentencing.
“The cartel leadership in Mexico is not immune from our reach,” said U.S. Attorney Parker. “It may take time, but we’ll take whatever time is necessary to bring justice to those who export their drug-related misery and death to our north Texas communities.”
“High ranking Cartel figures operating in the North Texas area will not be tolerated,” said the DEA Dallas Field Division’s Special Agent in Charge Clyde E. Shelley, Jr. “The DEA and The US Attorney’s Office are working around the clock to combat the loss of life due to Medina and the continuing threat posed to our communities by the remnants of the La Familia Michoacán.”
On February 25, 2010, the U.S. Department of the Treasury sanctioned Rueda-Medina under the Foreign Narcotics Kingpin Designation Act (Kingpin Act) for his involvement in drug trafficking. The Kingpin Act blocks all property and interests in property, subject to U.S. jurisdiction, owned or controlled by significant foreign narcotics traffickers, as identified by the President. The act also prohibits U.S. citizens and companies from doing any kind of business activity with Rueda-Medina, and it virtually froze all of his assets in the United States. Rueda-Medina was arrested in Michoacán, Mexico on July 11, 2009, and was extradited to the United States on January 27, 2017.
According to plea documents, from September 2007 through October 21, 2009, Rueda-Medina held a leadership position within the La Familia Michoacán (LFM), a Mexican drug cartel and organized crime syndicate based in the Mexican state of Michoacán. LFM was responsible for trafficking thousands of kilograms of methamphetamine into the United States through border checkpoints near Laredo, Texas and Tijuana, Mexico and delivered to stash locations in the Northern District of Texas and elsewhere.
LFM used a sophisticated network of individuals in Mexico and the United States, according to plea documents, to distribute the methamphetamine in the Dallas-Fort Worth area and to collect proceeds from the methamphetamine sales. The drug proceeds that were collected were delivered to cartel members or associates in Mexico either by way of bulk cash smuggling in vehicles utilized by LFM couriers or through money remitters such as Western Union.
The case was investigated by the Drug Enforcement Administration, the Dallas Police Department and the Garland Police Department; the U.S. Marshals Service, U.S. Customs and Border Protection and U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) provided special assistance. Department of Justice’s Office of International Affairs also provided assistance in bringing the defendant to the United States to face charges. The Government of Mexico also provided assistance in the investigation and in securing the extradition of Rueda-Medina to the United States.
This case is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
Deputy Criminal Chief Assistant U.S. Attorney Rick Calvert and Assistant U.S. Attorney George Leal are in charge of the prosecution.
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Dallas Woman and Others Sentenced on Drug Trafficking ChargesRead the Press Release
DALLAS — Nineteen defendants who were convicted on federal felony offenses stemming from their roles in a drug distribution conspiracy have been sentenced, announced John Parker, U.S. Attorney for the Northern District of Texas.
Rebecca Grimes, 32, of Dallas, was sentenced yesterday by Chief U.S. District Judge Barbara M.G. Lynn to 108 months in federal prison. Others were previously sentenced as follows:
Josue Tijerina, aka “J,” 31, of Dallas – 240 months
Joshua Diaz, 28, of Dallas -240 months
Guadalupe Segovia, aka “Sleepy,” 44, of Mesquite – 240 months
Tina Connolly, aka “Tina Connolly,” 56, of Dallas – 240 months
Christina Bruffy, aka “Christine Bruffy,” 48, of Mesquite – 188 monthsEdgar Fallad-Martinez, aka “Edgar Fallas-Martinez,” 29, of Dallas – 168 months
Stephanie Laza, 45, of Mesquite – 135 months
Stephanie Hernandez, aka “Stephanie Kinney,” 28, of Dallas – 120 monthsTiffany Gundermann, 27, of Waco – 87 months
Leo Najera-Padilla, 30, of Dallas – 87 months
Oralia Acosta, aka “Oralia Morris,” 52, of Dallas – 84 months
Shelby Wiggins, 25 of Greenville – 72 months
Michael Ramos, 21, of Mesquite – 72 months
Luan Vo, 41, of Irving – 54 monthsDeborah Uribe, aka “Deberah Uribe,” 46, of Kaufman – 48 months
Carson Baker, 24, of Mesquite – 48 months
Katy Anderson, aka “Kay Scott,” 36, of Garland – 33 months
Earvin Gibson, 46, of Dallas – 24 months“Drug dealers like these bring nothing but misery to the communities they plague,” said U.S. Attorney Parker. “With the help of our law enforcement partners, we will bring them down.”
The investigation into this drug trafficking organization, which operated out of the Pleasant Grove, Seagoville and Balch Springs areas of the DFW metroplex, began in early January 2016. During the investigation, law enforcement has seized more than 6700 grams of methamphetamine, approximately 13.2 kilograms of methamphetamine oil, 62 grams of marijuana, 2.5 grams of heroin, and 20 ml of gamma hydroxybutyrate (GHB), as well as 12 firearms and $12,379 in cash.
The Department of Public Safety and the Dallas Police Department investigated. Assistant U.S. Attorney Andrew Wirmani prosecuted.
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Eight Members of the Jalisco New Generation Cartel Charged in Large Scale Methamphetamine Drug Trafficking OrganizationRead the Press Release
DALLAS — Eight members or associates of the Jalisco New Generation Cartel have been charged in a federal indictment, unsealed today, with felony offenses stemming from their role in a large scale methamphetamine drug trafficking organization that operated in the Dallas and Desoto areas, announced U.S. Attorney John Parker of the Northern District of Texas.
Six of the defendants had been charged in a federal complaint filed earlier this month. All eight defendants, listed below, are charged with one count of conspiracy to possess with intent to distribute a controlled substance and at least one count of possession with intent to distribute a controlled substance. The defendants will remain in custody pending further court proceedings.
Marco Antonio Gonzalez, 31,
Ricardo Mendez-Negrete, aka “Jose Negrete,” 42
Jose Trinidad Medina Tapia, aka “Alex Aviles,” 31,
Miguel Carrillo-Ayala, aka “Tomas Rodriguez,” 38
Alma Zoraida Borrayo-Villasenor, 32,
Javier Guizar-Hernandez, aka “Jorge Hernandez,” 28,
Hector Garcia-Gomez, 36
Ivan Gonzalez, 22
Borrayo-Villasenor, Carrillo-Ayala, Tapia, Guizar-Hernandez are all citizens of Mexico and were in the United States illegally when the offenses charged occurred.
“Drug trafficking networks like this one are responsible for fueling north Texas’ largest drug threats, including methamphetamine and heroin,” said U.S. Attorney Parker. “Working with our local and federal law enforcement partners to dismantle them and bring them to justice, as we did here, is a top priority for this office.”
According to the indictment, in August 2016 through August 31, 2017, the defendants were involved in the trafficking of thousands of kilograms of methamphetamine. The defendants utilized multiple locations in residential neighborhoods in Dallas and Desoto to serve as laboratories for the recrystallization of methamphetamine. An automotive business was also utilized to store large quantities of narcotics and proceeds of drug sales were used to purchase vehicles in an effort to disguise the source of those funds.
Law enforcement executed search warrants on August 31, 2017 and seized approximately 750 kilograms of methamphetamine in both finished and liquid form, which was valued at $5 - $7 million, approximately 2 kilograms of cocaine and 6 kilograms of heroin.
An indictment is an accusation by a grand jury and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, statutory penalties range up to life in federal prison.
The Drug Enforcement Administration investigated the case with assistance from the Ellis County Sheriff's Office, Garland Police Department, Waxahachie Police Department, Dallas Police Department, Internal Revenue Service, and Texas Comptroller’s Office.
Assistant U.S. Attorney P.J. Meitl is prosecuting.
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Doctor Convicted of $50 Million Medicare Fraud Scheme Sentenced to 200 Months in Federal PrisonRead the Press Release
DALLAS – Noble U. Ezukanma, 57, of Fort Worth, Texas, was sentenced today by U.S. District Judge Jane Boyle to 200 months in federal prison and ordered to pay $34,003,151.24 in restitution for his role in an over $50 million Medicare fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.
Ezukanma was convicted, following a five-day trial, in March 2017 of one count of conspiracy to commit health care fraud and six counts of health care fraud. He was taken into custody following the verdict.
“This is the kind of flagrant fraud that drives up health care costs to consumers everywhere,” said U.S. Attorney Parker. “In return, this office will do everything we can to drive up the costs to those who choose to engage in health care fraud as a profession.”
Co-defendants Oliva A. Padilla, 57, and Ben P. Gaines, 55, have pleaded guilty to their role in the scheme and are awaiting sentencing. The following co-defendants have also pleaded guilty and were previously sentenced:
Myrna S. Parcon, a/k/a “Merna Parcon,” 62, 120 months and $51,497,930.87 in restitution Ransome N. Etindi, 57, 30 months and $18,309,171.21 in restitution
Lita S. Dejesus, 70, 24 months and $4,193,655.78 in restitution
According to evidence presented at trial, Ezukanma, Parcon, and Dejesus owned/operated US Physician Home Visits (USPHV), a/k/a “Healthcare Liaison Professionals, Inc.” located on Viceroy Drive in Dallas. Parcon was the owner/manager and Ezukanma was a licensed medical doctor who had an ownership interest in USPHV. Both Ezukanma and Etindi provided their Medicare number to the company to use to submit Medicare claims. Dejesus served in various roles at USPHV, including office manager.
Gaines formed A Good Homehealth (A Good), a/k/a “Be Good Healthcare, Inc.,” which was located in the same office as USPHV. Parcon, who owned and operated A Good, purchased the company through a “straw” buyer; both Gaines and Parcon concealed Parcon’s ownership.
Parcon and Padilla formed Essence Home Health (Essence), a/k/a “Primary Angel, Inc.,” located on Midway Road in Addison, Texas.
While the three companies appeared to be set up as three separate entities, the companies worked as one; the same employees often worked for all three companies and were often paid by all three companies.
According to evidence presented at trial, from January 1, 2009 to approximately June 9, 2013, Ezukanma and Etindi certified 94% of the Medicare beneficiaries receiving home health services from A Good, and 65% of the Medicare beneficiaries receiving home health services from Essence. Had Medicare known of the true ownership and improper relationship between the three companies, Medicare would not have allowed these companies to enroll in the program and bill for services.
USPHV submitted billing primarily under Dr. Ezukanma’s Medicare provider number, regardless of who actually performed the service. They billed at an alarming rate, generally billing for only the most comprehensive physician exam, and always adding a prolonged service code. USPHV submitted claims to Medicare for physician visits of 90 minutes or more, when most visits took only 15 to 20 minutes. Most all of USPHV patients came from home health companies soliciting certifications and recertifications for home health. More than 97% of USPHV Medicare patients received home health care, whether they needed it or not. The false certifications caused Medicare to pay more than $40 million for fraudulent home health services.
The case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General, the FBI, the and the Texas Attorney General’s Medicaid Fraud Control Unit and were brought as part of the Medicare Fraud Strike.
Assistant U.S. Attorneys Katherine Pfeifle and Douglas Brasher prosecuted.
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Amarillo Woman Sentenced to 210 Months in Federal Prison for Role in Counterfeit Check SchemeRead the Press Release
AMARILLO, Texas — Michelle Renee Whitman, aka “Michelle Renee Weaver” and “Raven,” 46, of Amarillo, Texas, was sentenced today for printing counterfeit checks that were used at various stores and banks, announced John Parker, U.S. Attorney for the Northern District of Texas.
Whitman, was sentenced by U.S. District Judge Sidney A. Fitzwater to serve a total of 210 months in federal prison. Whitman pleaded guilty in June 2017 to two counts of uttering and possessing counterfeited securities of an organization. In addition, Judge Fitzwater ordered that Whitman pay $9,746.71 in restitution. She has been in custody since her arrest in April 2017.
According to plea documents filed, from September 24, 2014 through May 28, 2016, Whitman received account information for various entities and individuals that was obtained from vehicle burglaries or mail theft and used that information to create counterfeit checks using a check writing program. Whitman would also create false temporary identification cards for individuals cashing the counterfeit checks.
The Amarillo Police Department and United States Secret Service investigated the case. Assistant U.S. Attorney Anna Bell prosecuted.
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Dallas County Community Action Committee, Inc. Vice President Admits to Scheming Homeowners Seeking Mortgage Loan and Foreclosure Prevention AssistanceRead the Press Release
DALLAS — Francisco Javier Gonzalez, a/k/a “Javier Gonzalez,” 45, of Duncanville, Texas, appeared today before U.S. District Sam A. Lindsay and pleaded guilty to one count of mail fraud, announced U.S. Attorney John Parker of the Northern District of Texas.
Gonzalez faces a maximum statutory penalty of 20 years and a $250,000 fine. Restitution could also be ordered. He has been in custody since the time of his arrest in October 2016.
According to documents filed in the case, the DCCAC was a non-profit entity, accredited by HUD between October 1990 and mid- February 2016, to provide housing counseling. It was created in 1965 by the Dallas Commissioners Court to support the efforts of the Johnson administration to combat poverty. Gonzalez served as DCCAC’s Vice President and one of the directors. Gonzalez also leased space in the DCCAC offices for another entity, known as Residential Counseling FJ LLC.
According to the charging documents filed in the case, between 2009 through 2016 Gonzalez through his work at DCCAC, defrauded homeowners under the guise that he was assisting them with mortgage assistance. Gonzalez specifically sought out victims who were facing financial difficulty and who had contacted the DCCAC seeking mortgage loan and foreclosure prevention assistance. He also identified victims facing such financial distress by subscribing to the Foreclosure Listing Service, a/k/a Roddy List, which offers listings of foreclosure and pre-foreclosure homes, by county, through a review of public records. Once identified, Gonzalez would meet with these victims in the DCCAC offices and in the victims’ homes. He would explain a plan to reduce the victim’s mortgage payment and to prevent foreclosure; the plan often included a loan modification application. These applications often contained information that had been falsified by Gonzalez and were otherwise incomplete.
According to plea documents, on February 28, 2013, Gonzalez prepared and submitted a false and fraudulent Real Estate Settlement Procedures Act (RESPA) application to a bank in an effort to delay foreclosure and extract additional funds from victims. As a result of Gonzalez’s scheme to defraud homeowners, the Department of Housing and Urban Development and certain banks suffered a loss of $611,740.55.
HUD Office of Inspector General, FHFA Office of Inspector General, and the USPIS investigated the case. Assistant U.S. Attorney P.J. Meitl is in charge of the prosecution.
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Lubbock Man Sentenced to 151 Months in Federal Prison for Drug OffenseRead the Press Release
LUBBOCK, Texas — Dewitt Donnell Bailey, 33, was sentenced on Friday, September 8, 2017, by Senior U.S. District Judge Sam R. Cummings to a 151 months in federal prison following his guilty plea in May 2017 to one count of possession with intent to distribute 28 grams or more of cocaine base, announced U.S. Attorney John Parker of the Northern District of Texas.
Charlene Denise Davis, 47, Bailey’s half-sister, pleaded guilty in May 2017 to one count of possession with intent to distribute cocaine. Judge Cummings previously sentenced Davis to 41 months in federal prison. She is ordered to surrender to the Bureau of Prisons on October 6, 2017. Bailey has been in custody since the time of his arrest in March 2017.
According to documents filed in the case, on March 15, 2017—following an investigation that spanned several months—law enforcement executed three search warrants in Lubbock, Texas related to individuals involved in the distribution of cocaine and cocaine base. Bailey had access to, and control of, all three residences. Davis was a resident at one of the locations. Searches of the three residences revealed a total of approximately $10,000 in cash, approximately 160 grams of suspected cocaine base, and several digital scales.
The U.S. Immigrations and Customs (ICE) Homeland Security Investigations (HSI), Drug Enforcement Administration (DEA), and the Lubbock County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Sean Long prosecuted.
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Garland Couple Indicted on Tax Fraud ChargesRead the Press Release
DALLAS — A federal grand jury in Dallas returned an indictment last week, charging Garland, Texas, residents, Tammy Boulyaphonh, aka “Tammy Doan” and “Tuyet Thi Doan” and Khamlor Boulyaphonh, with one count of conspiracy to defraud the United States and four counts of false statements on income tax returns, announced John Parker, U.S. Attorney for the Northern District of Texas.
Special Agents with Internal Revenue Service (IRS) Criminal Investigation (CI) and the Federal Bureau of Investigation arrested Tammy Boulyaphonh, 49, and Khamlor Boulyaphonh, 48, on those charges, and they made their initial appearance in federal court this week.
According to the indictment, which was unsealed today, the defendants owned, operated, and controlled a chiropractic business that purported to provide medical care principally to patients injured in motor vehicle accidents. The chiropractic business operated under various corporate names, including Garland Rehab Center, LLC, Chiro Care LLC, and K Spinal Rehab Center LLC (collectively, “K-Spinal”). The majority of K-Spinal’s income came from payments received from insurance companies and payments received from attorneys who had received insurance claim settlement payments on behalf of K-Spinal’s patients. In addition to the chiropractic business, Khamlor owned, operated, and controlled K and B Custom Builders (KB), a home remolding and painting business from approximately 2005 to 2009.
The indictment alleges, for tax years 2010 through 2013, the defendants did not provide all of the 1099s they received from insurance companies and did not provide records concerning payments received from attorneys in connection with their patients’ insurance claims settlements to their tax preparer. Tammy diverted significant amounts of payments made by attorneys to her personal bank account and failed to report them as income of K-Spinal.
The indictment further alleges, for each tax year, the defendants falsely inflated the amount of K-Spinal’s business expenses, claiming, for example, to have paid several thousands of dollars to KB each year for remodeling K-Spinal’s offices.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. The conspiracy count, upon conviction, carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Each of the false statement counts carry a maximum statutory penalty of three years in federal prison and a $100,000 fine. Restitution may also be ordered.
Internal Revenue Service Criminal Investigation and the FBI are investigating. Assistant U.S. Attorney Douglas Brasher is in charge of the prosecution.
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Colombian Man Sentenced for Escaping from Federal CustodyRead the Press Release
LUBBOCK, Texas — Juan Carlos Marin-Cardona, 47, a citizen and national of Colombia, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 30 months in federal prison, which he will serve consecutively to the 70-month prison sentence imposed in 1993, for escaping from federal custody. The announcement was made today by U.S Attorney John Parker of the Northern District of Texas.
Through a diligent investigation by the United States Marshals Service (USMS), deputies located Marin-Cardona living in a foreign county under the name Alexander Rey Marin Cardona. In March 2017, USMS deputies were ultimately able to apprehend Marin-Cardona in Houston, Texas, at the airport. He has been in custody since his arrest.
According to plea documents filed in the case, on January 22, 1993, the United States District Court for the Southern District of Florida sentenced Juan Carlos Marin-Cardona to 70 months imprisonment for the felony offenses of importation of cocaine and possession with intent to distribute cocaine. Marin-Cardona was later transferred to federal custody at the Eden Detention Center in Eden, Texas.
On November 3, 1994, an Eden maintenance officer went to retrieve Marin-Cardona from the front of the institution but Marin-Cardona wasn’t there. The Eden Detention Center initiated a lockdown and emergency headcount. It was confirmed that Marin-Cardona was not in the Eden Detention Center and had left federal custody without permission. Marin-Cardona was placed on escape status.
The United States Marshal Service and the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated the case. Assistant U.S. Attorney Jeffrey Haag prosecuted.
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Federal Grand Jury Indicts Former LegacyTexas Bank Employee for EmbezzlementRead the Press Release
DALLAS — A federal grand jury returned an indictment last week, unsealed today, charging a former LegacyTexas Bank employee with embezzlement. U.S. Attorney John Parker of the Northern District of Texas made today’s announcement.
The two-count indictment charges Susann Nelson, 54, of Greenville, Texas, with one count of bank theft, embezzlement, or misapplication and one count of fraud and false statements in bank entries, reports, and transactions. Nelson surrendered to federal authorities and made her initial appearance in federal court yesterday.
According to the indictment, between 1999 and 2015, Nelson was an employee of LegacyTexas Bank in Richardson, Texas. Starting sometime in 2006 and continuing until 2015, Nelson managed the central vault, where she maintained control over the amount of cash in the LegacyTexas Bank’s vault on a daily basis, including ordering cash from the Federal Reserve Bank and other financial institutions and documenting the receipt of cash into the bank’s books and records.
The indictment alleges, starting in January 2010 and continuing until February 10, 2015, Nelson embezzled cash from cash deposits from the Federal Reserve Bank and made false entries in the books and records of the bank in order to conceal the embezzled cash. Nelson also engaged in a scheme in which successive cash purchases were misapplied to prior cash purchases in order to hide the embezzlement of money.
A federal indictment is an accusation by a grand jury and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, counts carry a maximum statutory penalty of 30 years in federal prison and a $250,000 fine. Restitution may also be ordered.
The Federal Deposit Insurance Corporation Office of Inspector General and Federal Bureau of Investigation are investigating the case. Deputy Criminal Chief Assistant U.S. Attorney J. Nicholas Bunch is in charge of the prosecution.
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Colleyville Businessman Sentenced to 84 Months in Federal Prison for Role in a Ponzi Oil and Gas Fraud SchemeRead the Press Release
FORT WORTH, Texas — James VanBlaricum, 78, of Colleyville, Texas, was sentenced today before Senior U.S. District Judge Terry R. Means to 84 months in federal prison and ordered to pay $32,222,291 in restitution for participating in a Ponzi oil and gas fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.
VanBlaricum, who operated Signal Oil and Gas Company (SOG) and Texas Energy Management, which later became Texas Energy Mutual (TEM), pleaded guilty in February 2017 to one count of mail fraud. He has been in custody since his arrest in mid-August 2016.
According to plea documents, VanBlaricum formed SOG and TEM, ostensibly for the purpose of investing in mineral leases, and oil and gas production and earning a profit from those investments. VanBlaricum ran the fraud scheme from approximately January 2007 to August 2016, from office locations in Grapevine, Texas and Bedford, Texas, as well as from his residence and home office located in Colleyville, Texas, where many of the acts and transactions alleged in the indictment took place. VanBlaricum raised millions of dollars from investors by various means, including selling securities in the form of joint ventures in “programs” offered by SOG and TEM.
VanBlaricum employed sales agents who worked on his behalf to raise money, by selling limited partnership interests in these “programs” offered by SOG and TEM. Both personally and through investors, VanBlaricum deceived investors and potential investors by representing that investors would earn an “assured” rate of return on their initial investment, and they would receive a full refund of their initial investment amount after a defined period of time. He also represented that he intended to use a certain percentage of investors’ money to purchase mineral leases, and oil and gas well projects, when in fact, he intended to spend a substantially smaller percentage on the leases and oil and gas well projects and use a substantial part of investors’ money for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and paying his personal expenses as well as personal expenses for family members, friends, and business associates.
VanBlaricum also represented that he had purchased certain assets, or was in the process of purchasing them, when in fact, he had not purchased the assets and was not in the process of purchasing them. He also represented that the oil and gas well projects were productive and profitable, when in fact, most were “dry holes,” produced oil for a short period of time, or had not been drilled.
When VanBlaricum made promises about the use of investor funds, he failed to state that he had made the same promises to other investors and then used those investors’ funds for purposes they did not authorize or even know about, including paying purported investment returns to other investors, commissions to sales agents, and payment of personal expenses for VanBlaricum and his family, friends, and business associates.
VanBlaricum, according to plea documents, identified himself to investors using a false name. VanBlaricum deposited investors’ funds into, and withdrew and expended investors’ funds, from accounts he controlled in the names of entities he controlled. He caused funds to be transferred to, withdrawn from, and deposited into various accounts to create the appearance of business operations and revenue that he knew did not exist. He also caused “lulling” payments to be paid to investors, ostensibly as returns on investment, when he knew the funds came from other investors rather than from business operations.
VanBlaricum secretly, and without authorization, took and spent money entrusted to him by investors for advertising; vacations and international travel; rent payments; automobile purchases; and payroll and commissions for employees and sales agents.
The U.S. Postal Inspection Service with assistance from U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) investigated, and additional assistance was provided by the Securities and Exchange Commission. Assistant U.S. Attorney Douglas A. Allen prosecuted.
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Arlington Man Sentenced to 180 Months in Federal Prison for the Attempted Enticement of a MinorRead the Press Release
FORT WORTH — Marquis Konrad Streaty, 32, of Arlington, Texas, was sentenced today before U.S. District Judge Reed C. O’Connor to 180 months in federal prison for the attempted enticement of an individual Streaty believed to be a 13-year-old female, announced U.S. Attorney John Parker of the Northern District of Texas.
Streaty was convicted in May 2017, following a three-day jury trial, on one count of enticement of a child. He has been into custody since the trial verdict.
“Anyone who attempts to entice a child to engage in sexual activity commits a serious crime and will face serious consequences,” said U.S. Attorney Parker. “That’s the law and this office will enforce it.”
The government presented evidence at trial that on March 2, 2017, through March 9, 2017, Streaty attempted to persuade, induce, and entice a person who had not attained the age of eighteen years, to engage in sexual activity.
On March 2, 2017, Streaty posted an advertisement to an Internet message board website in a section that is commonly used to solicit sexual activity. Part of the advertisement stated, “Just a VERY, VERY discreet early 30’s attractive black male here just looking for a family with a kinky side.” A law enforcement special agent working in an undercover capacity replied to the message asking if Streaty “had any hangups with age.” The agent also stated “Ive got a stepdaughter who likes to play and might be up for a new friend.” Streaty replied “No I don't have any hung ups on age” and “I am interested.” The agent proceeds to tell Streaty “And she is 13, so I get it if that’s too young for you.” Streaty replied, “I am interested in meeting her and you.”
The undercover agent and Streaty continued to email and eventually begin to communicate via text messages. In these communications they discussed meeting during the purported minor’s spring break from school, what kind of sexually explicit acts would take place and the purported minor’s sexual preferences. In a later communication Streaty and the purported stepfather agreed to meet at a hotel located along Interstate 30 in Fort Worth, Texas. Streaty also agreed to split the cost of the hotel room with the stepfather.
On March 9, 2017 Streaty traveled from his residence in Arlington, Texas, to the hotel in Fort Worth, Texas. Upon Streaty’s arrival at the hotel, Streaty was intercepted by law enforcement and placed under arrest.
U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), with assistance from the Tarrant County Criminal District’s Office, Digital Forensic and Technical Services Division, investigated the case. Assistant U.S. Attorneys Nancy Larson and Megan Fahey prosecuted.
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Six Involved in Large Scale Methamphetamine Trafficking Group ArrestedRead the Press Release
DALLAS — Six individuals have been charged by three separate federal criminal complaints, unsealed today, stemming from their role in selling large quantities of methamphetamine in the Dallas and Desoto areas, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, the complaints charge Marco Gonzalez, 31, Alma Zoraida Borrayo-Villasenor, 32, Tomas Rodriguez, 37, Jose Trinidad Medina Tapia, 31, and Javier Guizar-Hernandez, 28, with possession with intent to distribute a controlled substance. Jose Negrete, 42, is charged with knowingly possess with intent to distribute methamphetamine. The six defendants made their initial appearances in federal court today before U.S. Magistrate Judge Renee Harris Tolivar.
Borrayo-Villasenor, Rodriguez, Tapia, Guizar-Hernandez are all citizens of Mexico and were in the United States illegally when the offenses charged occurred.
According to the affidavits filed with the federal complaints, the defendants were involved in a large-scale methamphetamine trafficking organization that involved the recrystallization and distribution of large quantities of methamphetamine and the distribution of heroin, cocaine and marijuana.
A search warrant executed at a residence in Desoto revealed multiple kilograms of methamphetamine and a significant amount, at lease thirty gallons, of liquid methamphetamine. The residence in Desoto was used as a laboratory for the recrystallization of methamphetamine.
A search warrant executed at a residence in Dallas revealed two pounds of heroin, multiple kilograms of methamphetamine, multiple gallons of liquid methamphetamine and approximately $5,000 in cash. This residence was also used as a laboratory for the recrystallization of methamphetamine.
A federal complaint is a written statement of the essential facts of the offense charged, and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The U.S. Attorney’s office has 30 days to present the matter to a grand jury for indictment. The penalty for the offense charged in the criminal complaints is a maximum penalty of life in federal prison and a $10 million fine.
The Drug Enforcement Administration investigated the case with assistance from the Ellis County Sheriff's Office, Garland Police Department, Waxahachie Police Department, Dallas Police Department, Internal Revenue Service, and Texas Comptroller’s Office.
Assistant U.S. Attorney P.J. Meitl is prosecuting.
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Federal Complaint Charges 28 in Methamphetamine, Heroin and Cocaine Distribution ConspiracyRead the Press Release
FORT WORTH — Twenty-eight defendants in the North Texas area have been charged in a federal criminal complaint, partially unsealed today, with felony offenses stemming from their role in a methamphetamine, cocaine, and heroin conspiracy that operated in the Dallas/Fort Worth area, announced U.S. Attorney John Parker of the Northern District of Texas.
Twenty-five defendants were arrested yesterday in an operation led by the Federal Bureau of Investigation and made appearances in federal court today before U.S. Magistrate Judge Jeffrey L. Cureton. Three defendants are fugitives.
The complaint charges each of the following defendants with one count of conspiracy to possess with the intent to distribute a controlled substance:
Efrain Rangel Arias, aka “Pollo,” 43
Alcadio Caballero De La Torre, aka “Coochi,” 35
Jennifer Louann Cherry, 40
Jose Soto-Silva, aka “Feo,” 30
Luis Soto-Silva, aka “Pecas” and “Tucan,” 29
Fernando Obregon, aka “Pri,” 23
Isidro Molina, aka “Chileno,” 23
Encarnacion Hurtado-Cruz, aka “Pancho,” 55
Alejandro Hernandez, aka “Alejandro Rodriguez,” 19
Juan Martinez-Fiscal, 27
Efrain Sifuentes, 25
Adan Barrientos, 20
Luis Varela, 21
Edgar Graciano, aka “Firulais,” 24
Israel Enriquez, 25
Maelena Rodriguez, aka “China”
Daniel Marentes, 26
Gloria Jaimes, 53
Miguel Robles, 35
Eduardo Grimaldo, aka “Lalo,” 29
Daton Degnide, 30
Mounib Shalash, 38
Gerson Ortiz-Barrera, 21
Richard Moilna, 25
Alexis Hernandez-Escobar, 36
A criminal complaint is a written statement of the essential facts of the offense charged and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The government has 30 days to present the matter to a grand jury for indictment. The maximum statutory penalty for the offenses as charged is 40 years in federal prison and a $5,000,000 fine.
The Federal Bureau of Investigation is conducting the investigation with assistance from DEA, ATF, U.S. Marshals Service, Arlington Police Department, Fort Worth Police Department, Dallas Police Department, Dallas County Sherriff’s Clean Air Task Force, Grand Prairie Police Department, Denton County Sherriff’s Office, Texas Department of Criminal Justice Office of Inspector General, the Texas Department of Public Safety, ICE ERO, and Tarrant County Combined Narcotics Enforcement Team.
Assistant U.S. Attorney Shawn Smith is in charge of the prosecution.
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Former CEO, CIO, and CFO, of the Federal Home Loan Bank of Dallas Indicted for Making False StatementsRead the Press Release
DALLAS – An indictment returned by a federal grand jury in Dallas this week charges three former executives of the Federal Home Loan Bank of Dallas (“FHLB-Dallas”), Terence C. Smith, Nancy B. Parker, and Michael J. Sims, with various charges related to defrauding FHLB-Dallas by seeking reimbursement for personal travel and gifts, announced John Parker, U.S. Attorney for the Northern District of Texas.
The indictment charges Smith, 60, who was the President and Chief Executive Officer of the FHLB-Dallas from 2000 to September 2013; Parker, 64, who was the Chief Information Officer of the FHLB-Dallas from 1999 to November 2013; and Sims, 51, who was the Chief Financial Officer of the FHLB-Dallas from 2005 to May 2014, with one count of conspiring to make false statements to a Federal Home Loan Bank. Smith is also charged with eleven substantive counts of making false statements to the FHLB-Dallas related to travel, Parker is charged with six substantive counts of making false statements, and Sims is charged with three substantive counts of making false statements.
The indictment alleges that starting as early as January 2008 and continuing through November 2013, Smith, Parker, and Sims, submitted or caused to be submitted a series of fraudulent reimbursement requests for travel they identified as business-related but was in fact personal, which caused the bank to pay approximately $780,000. The defendants incurred these expenses in connection with first class airfare, limousine services, concerts, vineyard tours, luxury hotel rooms, lavish meals, and expensive liquor and wine during more than 30 trips they took to Las Vegas, Nevada, Amelia Island, Florida, Coronado, California, San Diego, California, and others locations. In each instance, the defendants falsely stated that purpose of their travel was attending various conferences, planning meetings, strategy meetings, and ops meetings, when in fact they did not attend any conference, or conduct any legitimate planning, strategy, or ops meetings. Despite taking numerous trips that served no legitimate business purpose, the indictment alleges that the defendants further defrauded FHLB-D by requesting payment of more than $450,000 for unused vacation time.
The indictment also charges Parker separately with conspiring to embezzle from FHLB-Dallas in connection with a scheme she executed to have the bank pay for Christmas gifts for Smith. Parker is also charged with three substantive counts of embezzlement related to the Christmas gifts.
The indictment alleges from at least December 2005 and continuing through December 2012, Parker conspired with a former contractor who later became an employee of FHLB-Dallas to submit an inflated contractor invoice, fictitious check requests, and a fictitious purchase order to the bank to acquire Christmas gifts for Smith using the bank’s funds. Parker’s actions caused FHLB-Dallas to pay more than $17,000 for the gifts, which included a wine sommelier computer and video/photography equipment.
FHLB-Dallas is a government sponsored enterprise and part of the Federal Home Loan Bank System. The Federal Home Loan Bank System was created to support mortgage lending and related community investment. The System is currently composed of 11 regional Federal Home Loan Banks and more than 7,300 member financial institutions. FHLB-Dallas is a cooperative association that consists of financial institutions from the five-state district of Arkansas, Louisiana, Mississippi, New Mexico, and Texas that have purchased stock in FHLB-Dallas. Member institutions have access to funding for housing finance, community lending, and asset-liability management. FHLB-Dallas helped its member institutions provide credit and financial services to families, farms, and businesses across its district.
An indictment is merely an allegation and defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. However, if convicted, each count of making a false statement carries a maximum statutory penalty of 30 years in federal prison and a $1 million fine. Each count of conspiracy to make a false statement carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Restitution may also be ordered. The indictment also includes a forfeiture allegation that would require the defendants, upon conviction, to forfeit any property that constitutes or was derived from proceeds traceable to the offense.
The Federal Housing Finance Agency Office of Inspector General led the investigation. Assistant U.S. Attorneys Douglas Brasher and Errin Martin are in charge of the prosecution.
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West Texas Methamphetamine Distributors SentencedRead the Press Release
LUBBOCK — Two defendants were sentenced today by U.S. District Judge Sam R. Cummings for their role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Saul Blanco-Gallegos, 37, of Grand Prairie, and Juan Rodriguez Galindo, aka “Johnny,” 43, of Amarillo, both pleaded guilty to their roles in the conspiracy and were sentenced to 108 months and 130 months in federal prison, respectively.
Last week, Judge Cummings sentenced the following defendants, who all pleaded guilty in April 2017 to their roles in the conspiracy, to the following:
Isaias Perez-Benito, 32, of Amarillo, 210 months
Corina Villalpando, 51, of Plainview, 188 months
Dusty Lee Stowers, 30, of Friona, 108
Mona Lesa Thomas, aka “Lisa,” 52, of Lubbock, 46 months
According to plea documents filed in the case, agents with the Drug Enforcement Administration and Texas Department of Public Safety conducted an investigation into a methamphetamine distribution conspiracy involving suspects in Amarillo, Plainview, Lubbock, and several other cities in the Texas Panhandle.
Through the use of various investigative techniques – including multiple undercover purchases and residential search warrants – agents were ultimately able to seize a total of approximately 10 pounds of methamphetamine, nine firearms, and nearly $20,000 in cash.
The Drug Enforcement Administration, Texas Department of Public Safety, Friona Police Department, and Plainview Police Department investigated the case.
Assistant U.S. Attorney Sean Long prosecuted.
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Nigerian Man Sentenced for Role in “Business Email Compromise” Scheme That Caused $3.7 Million Loss to U.S. CompaniesRead the Press Release
DALLAS — A Nigerian citizen in the U.S. on a student visa was sentenced today before U.S. District Judge Ed Kinkeade to 46 months in federal prison and ordered to pay $615,555.12 in restitution for his role in what has become known as a “Business Email Compromise” (BEC) scheme, announced U.S. Attorney John Parker of the Northern District of Texas.
Amechi Colvis Amuegbunam, 30, of Lagos, Nigeria, pleaded guilty in March 2017 to one count of conspiracy to commit wire fraud. He has been in custody since the time of his arrest in August 2015.
According to plea documents in the case, from November 2013 through August 2015, Amuegbunam and other individuals, sent fraudulent emails to companies in the Northern District of Texas and elsewhere, containing misrepresentations that caused the companies to wire transfer funds as instructed on a pdf document that was attached to the email.
The investigation of this particular scheme began when two companies in the Dallas/Fort Worth area reported to the FBI Dallas office that they had received targeted spear phishing emails. These emails appeared to be a forwarded message, allegedly from a top executive at the company, sent to an employee in the company’s accounting department who had authority to make financial transfers for the company. Although the emails appeared to be coming from a company executive, the messages were actually coming from a false email account fraudulently created to look like a legitimate company email account. A fraudulent domain name was used that contained one small difference from the true company’s email address – such as transposed letters. After complying with the spear-phishing email instructions to transfer funds, the companies became victims of the BEC scheme. The investigation traced the creation of some of the pdfs to Amuegbunam.
According to the factual resume, the scheme involved at least ten victims totaling a loss of approximately $3,700,000.
The FBI investigated and Assistant U.S. Attorney C.S. Heath prosecuted. In May 2017, the FBI issued a Public Service Announcement about the BEC scheme. https://www.ic3.gov/media/2017/170504.aspx
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Mexican Citizen Sentenced for Producing Child PornographyRead the Press Release
DALLAS — Gerson Gonzalez Tovar, 25, who was living in Mesquite, Texas, was sentenced this afternoon before U.S. District Judge Ed Kinkeade after pleading guilty in March 2017 to one count of production of child pornography, announced John Parker, United States Attorney for the Northern District of Texas.
Judge Kinkeade sentenced Tovar to 204 months in federal prison, to be followed by 10 years of supervised release. He has been in custody since his arrest in May 2016.
According to documents filed in the case and facts presented at the sentencing hearing, in 2014 Tovar contacted a 15-year-old girl using Facebook. Tovar knew that the girl was 15 years old. During the victim girl’s summer break in 2014, Tovar drove to her house, convinced her to get into the car he was driving, and engaged in sexually explicit conduct with her. Tovar met with the girl again on April 9, 2015. On this date, Tovar picked up the victim from her school and again engaged in sexually explicit conduct. Tovar, using his phone, filmed the girl engaging in sexually explicit conduct with him and directed the girl to send him child pornography of herself. He messaged the girl asking her how many times she would let him have sex with her when he went to her school.
In addition to the 15-year-old victim, Tovar met with a 13-year-old girl on more than one occasion and attempted to engage in sexually explicit conduct with the 13-year-old.
The matter was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation and the Dallas Police Department investigated. Assistant U.S. Attorney Jamie L. Hoxie was in charge of the prosecution.
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Amarillo Man Convicted on Drug and Firearm Charges Faces Life in Federal PrisonRead the Press Release
AMARILLO — Following a four-day jury trial before U.S. District Judge Sidney A. Fitzwater, a federal jury has convicted Moises Jimenez, 39, on felony drug and firearm offenses, announced U.S. Attorney John Parker of the Northern District of Texas.
Jimenez was convicted yesterday on one count of distribution and possession with intent to distribute cocaine, one count of distribution and possession with intent to distribute 500 grams or more of methamphetamine, and one count of possession of a firearm in furtherance of a drug trafficking crime. Jimenez faces a mandatory sentence of life in federal prison. Sentencing is scheduled for December 4, 2017.
The government presented evidence at trial that on January 20, 2015, the Amarillo Police Department executed a search warrant at Moises Jimenez’s apartment. A search of the apartment yielded one kilogram of methamphetamine, almost 300 grams of cocaine, a Lorcin, .25 caliber pistol, approximately $22,000 in cash, and drug trafficking paraphernalia. During post-arrest interviews with a detective of the Amarillo Police Department, Jimenez admitted to possessing the controlled substances and firearm. He also admitted that he had delivered 50 pounds of methamphetamine less than a week before officers executed the search warrant. A search of Jimenez’s cell phones yielded text messages consistent with drug trafficking. Further, recorded telephone calls made by Jimenez while he was in jail corroborated his involvement in drug trafficking.
The Amarillo Police Department investigated the case with the assistance of the Drug Enforcement Administration. Assistant U.S. Attorneys Russell Lorfing and Sean Long prosecuted the case.
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Former Fort Worth High School Teacher Sentenced on Child Pornography ChargeRead the Press Release
FORT WORTH, Texas — Matthew Anthony Keller, 25, of Watauga, Texas, was sentenced this morning before Senior U.S. District Judge Terry R. Means to 240 months in federal prison on a federal child pornography charge, announced U.S. Attorney John Parker of the Northern District of Texas.
Keller, who, according to police reports, taught at Southwest High School in Fort Worth, Texas, pleaded guilty to one count of production of child pornography in October 2016. He has been in custody since the time of his arrest in July 2016.
“I’m always deeply disturbed by those who produce child pornography, said U.S. Attorney Parker, but it’s particularly appalling when the child is victimized by a teacher, someone in a trusted position.”
According to documents filed in the case, on August 6, 2014, Keller persuaded a minor victim to produce and send a nude, sexually explicit video to him. Keller met the minor victim, who first advised him he was 18-years-old and then later admitted he was 13-years-old, on a website. Two years later, the parents of the then 15-year-old male (MV1) notified a police department in Macomb County, Michigan, that they had discovered a relationship between their son and Keller. The parent advised that Keller was a 24-year-old high school teacher who exchanged nude photos and videos with MV1 for approximately 18 months.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Tarrant County District Attorney’s Office, the Macomb County Sheriff’s Office, and the Eastpointe, Michigan Police Department investigated. Assistant U.S. Attorney A. Saleem prosecuted.
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Carrollton Man Sentenced to 204 Months in Federal Prison on Federal Child Pornography ConvictionRead the Press Release
DALLAS — A 42-year-old illegal alien from Honduras, Elmer Franky Ortiz, who was living in Carrollton, Texas, pleaded guilty in April 2017 to one count of receipt of a visual depiction of a minor engaged in sexually explicit conduct. He was sentenced yesterday by U.S. District Judge Sam A. Lindsay to 204 months in federal prison, announced U.S. Attorney John Parker of the Northern District of Texas.
According to documents filed in the case, the Garland Police Department was alerted that Ortiz had received a video of a minor female between the ages of four and six years old engaging in sexually explicit conduct. An investigation conducted by Garland Police, Carrollton Police, and U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) found that Ortiz possessed 141 videos of child pornography on his home computer and that he had shared some of these videos on the internet with others.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The ICE HSI, Garland Police Department, and Carrollton Police Department investigated. Assistant U.S. Attorney Shane Read prosecuted.
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Aryan Circle Member Sentenced to 20 Years in Federal Prison for the Distribution of MethamphetamineRead the Press Release
FORT WORTH, Texas — Scott Edward Grigsby, aka “Skinny Pup,” 44, of White Settlement, Texas, was sentenced last week by U.S. District Judge John McBryde to 240 months in federal prison for his role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Grigsby pleaded guilty in May 2017 to one count of conspiracy to possess with intent to distribute a controlled substance. Grigsby has been in custody since his arrest in April 2017.
According to documents filed in the case, in 2015 and 2016, Grigsby, a member of the street/prison gang Aryan Circle, received methamphetamine on multiple occasions from various sources of supply in the Fort Worth area. Grigsby then distributed the methamphetamine to others, including officers working in an undercover capacity.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Department of Public Safety investigated. Assistant U.S. Attorney Shawn Smith prosecuted.
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Former Postal Employee Sentenced to 12 Months in Federal Prison for Workers' Compensation FraudRead the Press Release
DALLAS — Andria Victoria Booker, a/k/a Andria Victoria Crosby, 37, most recently from Charlottesville, North Carolina, was sentenced this morning before U.S. District Judge Sidney A. Fitzwater to serve 12 months in federal prison for making false statements to obtain federal employees’ compensation, announced U.S. Attorney John Parker of the Northern District of Texas.
Booker pleaded guilty in January 2017 to one count of false statement or fraud to obtain federal employees ‘compensation and agreed to pay $41,395 in restitution to the U.S. Department of Labor Office of Workers’ Compensation Programs (OWCP). Judge Fitzwater ordered Booker to report to the Bureau of Prisons on October 3, 2017.
“Federal benefits programs are enacted in order to protect government employees should they suffer legitimate work injuries. Unfortunately there are those who choose to take advantage of the system and file fraudulent claims,” said Special Agent in Charge Maximo Eamiguel, of the U.S. Postal Service Office of Inspector General Southern Area Field Office. “The sentence imposed today should be a testament to the USPS-OIG’s determination in investigating these cases and bringing these criminals to justice. Fraud against the Office of Workers’ Compensation Programs and the United States Postal Service will not be tolerated and we will use all resources necessary to complete these investigations.”
According to documents filed in her case, in March 2012, Booker claimed she was injured by a dog bite on her finger through a residential mail slot while she was working for the U.S. Postal Service. OWCP accepted her injury claim and began paying her disability benefits.
As part of the OWCP benefits program, a claimant must annually truthfully complete Form EN-1032 that requires a claimant to report employment, self-employment activities, volunteer activities, or any activities that may affect the claimant’s eligibility for payments. Form EN-1032 encompasses all activities for the 15-month period preceding the date of the claimant’s signature.
According to plea documents filed in her case, Booker admits that she did not immediately report to OWCP her employment or employment activity, and she concealed the fact that she was working when she signed and dated Form EN-1032 in September 2014. Booker admits that she worked as a personal trainer at I.T. Fitness in Grand Prairie, Texas, and elsewhere, including forming her own personal training business while she was receiving disability compensation benefits from the OWCP and had stated she did not work. Booker further admitted that she did not report any of her volunteer activities to the OWCP, as she was required to do, when she regularly volunteered for her son’s football program as team representative.
The case was investigated by the U.S. Postal Service Office of Inspector General. Special Assistant U.S. Attorney Jennifer Bray prosecuted.
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Doctor & Owner of Multiple Home Health Companies Sentenced in a nearly $60 Million Medicare Fraud SchemeRead the Press Release
DALLAS – Myrna S. Parcon, a/k/a “Merna Parcon,” 62, of Dallas and Ransome N. Etindi, 57, of Waxahachie, Texas, were sentenced yesterday by U.S. District Judge Jane Boyle for their role in a nearly $60 million Medicare fraud scheme, announced U.S. Attorney John Parker of the Northern District of Texas.
Parcon and Etindi each pleaded guilty to conspiracy to commit health care fraud. Judge Boyle sentenced Parcon to 120 months in prison and ordered her to pay $51,497,930.87 in restitution. Judge Boyle sentenced Etindi to 30 months in prison and ordered him to pay $18,309.171.21 in restitution. They are scheduled to surrender to the Bureau of Prisons on September 20, 2017.
Co-defendant Noble U. Ezukanma, 57, of Fort Worth, Texas, was convicted, following a five-day trial, in March 2017 of one count of conspiracy to commit health care fraud and six counts of health care fraud and is awaiting sentencing. Co-defendants Oliva A. Padilla, 57, of Garland, Texas and Ben P. Gaines, 55, of Plano, Texas, have pleaded guilty to their role in the scheme and are awaiting sentencing. Lita S. Dejesus, 70, of Allen, Texas, also pleaded guilty and was sentenced to 24 months in federal prison and ordered to pay $4,193,655.78 in restitution.
According to their pleas, Ezukanma, Parcon, and Dejesus owned/operated US Physician Home Visits (USPHV), a/k/a “Healthcare Liaison Professionals, Inc.” located on Viceroy Drive in Dallas. Parcon was the owner/manager and Ezukanma was a licensed medical doctor who had an ownership interest in USPHV. Both Ezukanma and Etindi provided their Medicare number to the company to use to submit Medicare claims. Dejesus served in various roles at USPHV, including overseeing Medicare billing.
Gaines formed A Good Homehealth (A Good), a/k/a “Be Good Healthcare, Inc.,” which was located in the same office as USPHV. Parcon, who owned and operated A Good, purchased the company through a “straw” buyer; both Gaines and Parcon concealed Parcon’s ownership. Parcon and Padilla formed Essence Home Health (Essence), a/k/a “Primary Angel, Inc.,” located on Midway Road in Addison, Texas. While the three companies appeared to be set up as three separate entities, the companies worked as one; the same employees often worked for all three companies and were often paid by all three companies.
According to the factual resumes for each defendant, from January 1, 2009 to approximately June 9, 2013, Ezukanma and Etindi certified 94% of the Medicare beneficiaries receiving home health services from A Good, and 65% of the Medicare beneficiaries receiving home health services from Essence. Had Medicare known of the true ownership and improper relationship between the three companies, Medicare would not have allowed these companies to enroll in the program and bill for services.
USPHV submitted billing under both Dr. Ezukanma’s and Dr. Etindi’s Medicare provider number, regardless of who actually performed the service. They billed at an alarming rate, generally billing for only the most comprehensive physician exam, and always adding a prolonged service code. USPHV submitted claims to Medicare for physician visits of 90 minutes or more, when most visits took only 15 to 20 minutes. Most all of USPHV patients came from home health companies soliciting certifications and recertifications for home health. More than 97% of USPHV Medicare patients received home health care, whether they needed it or not. The false certifications caused Medicare to pay more than $40 million for fraudulent home health services.
The case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General, the FBI, the and the Texas Attorney General’s Medicaid Fraud Control Unit and were brought as part of the Medicare Fraud Strike.
Assistant U.S. Attorney Katherine Pfeifle prosecuted.
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Two Sentenced in Stolen Identity Theft and Money Laundering SchemeRead the Press Release
DALLAS — Latonya Lanette Carson, 43, of Dallas, Texas and Smith Olsola Akin, 34, of Plano, Texas were sentenced this afternoon for their role in a scheme to steal personal identifying information, use it to fraudulently obtain income tax refunds, and then launder those funds, announced U.S. Attorney John Parker of the Northern District of Texas.
Following a four-day trial in October 2016 before Chief U.S. District Judge Barbara M. G. Lynn, a federal jury convicted Carson of one count of conspiracy to commit theft of public funds, access device fraud and wire fraud; three counts of aggravated identity theft; one count of conspiracy to commit money laundering; four counts of money laundering; and four counts of wire fraud. Judge Lynn sentenced Carson to 120 months in federal prison.
Akin pleaded guilty to one count of conspiracy to commit money laundering in May 2016. Judge Lynn sentenced Akin to 135 months in federal prison.
Three additional defendants were charged in the scheme. Segun Edomwonyi, a/k/a “Benny O. Prince,” and Titalayo Idowu Olukoya remain fugitives. Charges were dismissed against Ricardo Garth Solomon.
According to evidence presented at Carson’s trial, beginning in 2013, Carson and Akin, along with other coconspirators, were involved in a scheme in which they filed false tax returns using stolen identities, some of which belonged to incarcerated individuals. The coconspirators converted the tax refunds from debit/Green Dot cards, using shell company bank accounts, into cash and cashier’s checks used to purchase vehicles that they then shipped to Nigeria.
Between May 2013 and May 2014, the defendants and their conspirators paid $1,184,950 from these accounts to purchase used cars from wholesale dealer auctions in Dallas County, and between January 2012 and January 2015, the defendants and their conspirators exported approximately 279 used cars to Nigeria.
The FBI, IRS Criminal Investigation, and U.S Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated. The case was prosecuted by Assistant U.S. Attorneys Christopher Stokes and Camille Sparks.
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Federal Jury Convicts Dallas Man of Child Pornography ChargesRead the Press Release
DALLAS — Following a three-day trial before U.S. District Judge David C. Godbey, a federal jury has convicted Hugh Michael Glenn, 47, of Dallas, Texas, of two child pornography offenses. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
Specifically, this morning, the jury convicted Glenn of one count of transporting and shipping child pornography and one count of accessing with intent to view child pornography. Glenn faces a maximum statutory penalty of 20 years in federal prison for the access count, 40 years in federal prison for the transportation count, and a $250,000 fine. Glenn will remain in custody pending sentencing, which is set for November 20, 2017.
The government presented evidence at trial that on August 1, 2016, Glenn transported child pornography by uploading an image of child pornography using Chatstep. Law enforcement obtained Glenn’s laptop computer, which contained the transported image and over 2,000 other images of child pornography. Glenn confessed to law enforcement that he had gone to chatrooms and viewed child pornography on the Internet.
In 2003, Glenn was convicted in the United States District Court for the Eastern District of Texas for transporting child pornography. In that case, he was sentenced to ninety-seven months of imprisonment.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation and the Dallas Police Department investigated this case. Assistant U.S. Attorneys Camille Sparks and Jamie L. Hoxie are in charge of the prosecution.
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Wichita Falls Man Sentenced to 156 Months in Federal Prison for Charges Involving Promoting ProstitutionRead the Press Release
DALLAS — Joshua William Jackson, 29, was sentenced today by U.S. District Judge Sam A. Lindsay to 156 months in federal prison for promoting prostitution, cyberstalking and firearms offenses, announced U.S. Attorney John Parker of the Northern District of Texas.
Jackson pleaded guilty in January 2017 to one count of use of a facility of interstate commerce in aid of a racketeering enterprise, one count of illegal receipt of a firearm by a person under indictment and one count of cyberstalking. Jackson has been in custody since his arrest in April 2016.
According to plea documents filed in the case, in November 2013 Jackson began promoting V.N., an eighteen-year-old female, in prostitution. Jackson would post commercial sex advertisements on sex-based websites such as Backpage.com, and Jackson would communicate with commercial sex customers. Jackson benefitted financially from V.N.’s commercial sex activities. V.N. continued to engage in commercial sex acts at the direction of Jackson until November of 2015, when she terminated their relationship.
In January of 2016, V.N. moved into her parents’ home. Shortly after she moved in with her family, Jackson began posting commercial sex advertisements on Backpage.com for V.N. He posted such ads between January 22, 2016 and March 27, 2016, without her knowledge or permission. These advertisements contained photos of V.N. as well as V.N.’s parents’ address and Jackson’s cell phone number. Jackson, posing as V.N., communicated with commercial sex customers, and told them to go to her parents’ house where she would engage in commercial sex acts with them. Multiple men went to V.N.’s parents’ house with the intent to have sex with V.N.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the North Texas Trafficking Taskforce investigated. Assistant U.S. Attorney Cara Pierce prosecuted the case.
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Bushland Man Admits to Committing Health Care FraudRead the Press Release
AMARILLO, Texas — Thomas Roy Clark, 52, of Bushland, Texas, pleaded guilty today to one count of health care fraud stemming from a scheme to defraud insurance companies through the submission of improper billing. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
Clark, who remains on bond, faces a maximum statutory penalty of 10 years in federal prison, a $250,000 fine, and may be ordered to pay restitution. Sentencing is scheduled for November 29, 2017, before U.S. District Judge Sidney A. Fitzwater.
According to documents filed in the case, from July 1, 2012 through July 31, 2015, Clark operated Panhandle Chiropractic Clinic (PCC) in Amarillo, Texas, without a license issued by the Texas Board of Chiropractic Examiners. Clark devised a scheme to defraud a health-care benefit program, to obtain money by billing for services properly billable only by a licensed chiropractor, services not rendered and for services rendered in lesser quantities billed.
Clark also billed insurance companies for services under the name of a licensed chiropractor for services allegedly rendered by Clark. Clark would omit his name on PCC’s itemized billing statements, which prevented insurance companies from knowing they were being billed for services provided by a chiropractor without a license. Clark also listed the specific type of procedure or service PCC provided by specifying a Current Procedural Terminology (CPT) code. By using CPT codes, this misrepresented to insurance companies that the procedures being billed were performed by a licensed health care provider in good standing with their state board.
As a result of the scheme Clark fraudulently induced health care providers to issue monetary payments to PCC, resulting in billing and payment for approximately $524,547.89 from 12 insurance companies.
The Federal Bureau of Investigation investigated. Assistant U.S. Attorney Joshua Frausto is prosecuting.
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Tulsa Man Sentenced to 10 Years in Federal Prison for the Enticement of a 13-Year-Old GirlRead the Press Release
FORT WORTH, Texas —Elias Omar Santamaria, 39, of Tulsa, Oklahoma, was sentenced yesterday by U.S. District Judge Reed C. O’Connor to serve a total of 120 months in federal prison and will be deported following his release from prison, announced U.S. Attorney John Parker of the Northern District of Texas.
Santamaria pleaded guilty in April 2017 to one count of enticement of a minor and has been in custody since his arrest in February 2017.
According to the factual resume filed in the case, on March 11, 2016, Santamaria sent a message to a Fort Worth Police Officer acting in an undercover capacity and posing as a 13-year-old girl stating “add me sweetie. I love young girls.” Santamaria continued to have conversations with the officer and on March 17, 2016 Santamaria stated, among other things, that he wanted to engage in sexual intercourse with whom he believed to be a 13-year-old girl. They agreed to meet that same day in Fort Worth, Texas, to engage in sexual intercourse. When Santamaria arrived at the agreed location the Fort Worth Police Department took him into custody. During a search of his vehicle, officers found condoms, a bottle of tequila, and a pair of Nike Air Jordan tennis shoes, which Santamaria had promised to bring.
These cases were brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation and Fort worth Police Department conducted the investigation. Assistant U.S. Attorney Megan Fahey prosecuted the case.
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Stephenville Man Sentenced to 40 Years in Federal Prison for Enticing a Minor Female to Engage in Sexual ActivityRead the Press Release
FORT WORTH, Texas — A Stephenville, Texas, resident, Kristopher Ray Facio, 26, was sentenced this morning by U.S. District Judge Reed C. O’Connor to 480 months in federal prison, following his guilty plea in April 2017 to an information charging one count of attempted coercion and enticement, announced U.S. Attorney John Parker of the Northern District of Texas.
Facio has been in federal custody since his arrest in February 2017.
“Those who think it’s okay to fish the internet for children to victimize with their despicable sexual behavior should be given a very long time to re-think that practice,” said U.S. Attorney Parker. “These heinous crimes are deserving of significant sentences.”
According to documents filed in the case, from November 27, 2016 until December 4, 2016, Facio used the social media application, Instagram, on his cell phone to identify and communicate with a minor female who lived in Arkansas. During their chats, the minor told Facio she was under the age of eighteen. Facio continued to engage in sexually explicit communications. During their communications, Facio asked for sexually explicit images of the minor.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Federal Bureau of Investigation and Erath County Sheriff’s Office investigated the case. Assistant U.S. Attorney A. Saleem was in charge of the prosecution.
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Fort Worth Man Sentenced to 235 Months in Federal Prison for Distributing MethamphetamineRead the Press Release
FORT WORTH — David Piper, Jr., 52, of Fort Worth, Texas, was sentenced today by U.S. District Judge Reed C. O’Connor to 235 months in federal prison for his role in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Piper and co-conspirator Carlos Cortinas, 39, were convicted following a two-day jury trial in March 2017. Both defendants were convicted on one count of conspiracy to possess with intent to distribute methamphetamine. Cortinas is scheduled to be sentenced on September 5, 2017.
Co-conspirator Chadwick Hernandez, 32, pleaded guilty in February 2017 to the same offense and was sentenced to 60 months in federal prison.
The government presented evidence at trial that beginning in March 2015 until January 20, 2016 Piper and Cortinas possessed with the intent to distribute 500 grams or more of methamphetamine. Evidence elicited at trial showed that methamphetamine distributors from Arlington, including Cortinas, transported multiple pounds of methamphetamine to Piper for re-distribution of methamphetamine in Bolivar, Missouri.
DEA Fort Worth investigated with the assistance of DEA’s Springfield and Tulsa offices, Arlington Police Department, Fort Worth Police Department, North Richland Hills Police Department, Oklahoma DPS, and Polk County, Missouri Sheriff’s Office. Assistant U.S. Attorneys Aisha Saleem and Shawn Smith prosecuted.
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Six West Texas Residents Charged with Methamphetamine and Firearm OffensesRead the Press Release
ABILENE, Texas — Following a joint law enforcement operation involving the Federal Bureau of Investigation, the Taylor County Sheriff’s Office, the U.S. Immigrations and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Marshals Service, and the Anson, Texas Police Department, six individuals are now in custody on federal drug distribution charges and more arrests are anticipated, announced U.S. Attorney John Parker of the Northern District of Texas.
Five federal indictments, unsealed last week, charge a total of five individuals with distribution and possession with intent to distribute methamphetamine. The following individuals were charged:
Jamaal Rozell Dunson, 32, of Abilene
Joe Nathan Spafford, 28, of Abilene
Michael James Huettl, 47, of Abilene
Delores Denise Rodriguez, 25, of Abilene
Driessan Scott Russell, 28, of Abilene
Trysten Keun Napper, 33, of Abilene was arrested on a complaint charging him with being a convicted felon in possession of ammunition.
Several defendants made their initial appearance last week in federal court in Abilene before U.S. Magistrate Judge E. Scott Frost. All remain in custody. Several detention hearings will be held later this week.
According to the indictments filed, in March 2017 through June 2017, the defendants intentionally and knowingly distributed and possessed with intent to distribute methamphetamine. Throughout the investigation, substantial amounts of methamphetamine, cash, and firearms were seized from the drug traffickers.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. However, if convicted, the methamphetamine distribution counts carry a mandatory minimum penalty of five years and a maximum statutory penalty of 40 years. The firearm count carries a maximum statutory penalty of 10 years in federal prison, and a $250,000 fine
Assistant United States Attorney Juanita Fielden is in charge of the prosecution.
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In Largest Case Prosecuted in U.S. Focusing on White Supremacist Prison Gang Members, Swift Justice Leads to Conviction of 89 Members/Associates of Aryan Brotherhood of Texas and Aryan CircleRead the Press Release
DALLAS — Prosecutors in the Northern District of Texas have wrapped up what is believed to be the largest prosecution in the nation’s history of individuals connected to violent white supremacist gangs, announced John Parker, U.S. Attorney for the Northern District of Texas.
The 89th and last defendant to be sentenced in the case, Jeramy Weatherall, 29, of Dallas, Texas, was sentenced today by U.S. District Judge Jane J. Boyle to 20 years in federal prison, following his guilty plea in March 2017 to one count of possession of methamphetamine with the intent to distribute.
Out of 91 defendants charged, 89 were convicted, one remains a fugitive and is believed to be in Mexico, and one died before trial began. They received a combined total of 1,070+ years in federal prison. Casey Rose, 36, of Mesquite, Texas, was sentenced to life in federal prison, following his conviction at trial in September 2015 on conspiracy, drug trafficking and firearm charges.
“The Aryan Brotherhood of Texas and the Aryan Circle have essentially been decimated in north Texas,” said U.S. Attorney Parker. “The outstanding collaborative work of the Texas Department of Public Safety and the Dallas Police Department helped ensure that each of the 89 defendants who were arrested have now been convicted and sentenced.”
“Strong law enforcement partnerships and the hard work of all those involved led to a successful investigation and the resulting prosecutions,” said Department of Public Safety Region 1 Commander Jack Webster. “We continue to work with our law enforcement partners to proactively protect the citizens of Texas in an ever-changing threat environment.”
“The Dallas Police Department is proud to have participated in this investigation that resulted in 89 convictions of dangerous gang members who terrorized communities with their criminal activity,” said Interim Dallas Police Chief David Pughes. “It is a great example of the success of local and Federal Law Enforcement working together with the United States Attorney to ensure that the worst career criminals are brought to justice.”
The defendants were members of the Aryan Brotherhood of Texas (“ABT”), the Aryan Circle, the “Irish Mob,” the “Dirty White Boys,” the “White Knights,” and the “Peckerwood” – all of which are violent white supremacist gangs. Each of these gangs are organized crime groups, but in recent years, the white supremacy ideology of each of these groups has taken a backseat to traditional criminal ventures, such as drug-dealing. The defendants in this case included several high-ranking members of these organizations.
Particularly noteworthy is that collectively, the defendants were held accountable for 956 kilograms of methamphetamine, with a conservative street value of just under $10 million, as well as the possession and use of 88 firearms and dangerous weapons.
Combined, the 89 defendants had been previously convicted of 736 crimes. Of the 736 previous convictions, 234 were drug-related offenses; 76 were violent offenses; 36 were gun offenses; 37 were burglaries; seven were sex or child abuse offenses; and one was a murder conviction. Fifteen of the defendants were deemed “career offenders” under the U.S. Sentencing Guidelines. Some defendants had as many as 25 prior convictions. In fact, only six of the 89 had no prior convictions.
The investigation was led by the DPS-CID Gang Unit and the Dallas Police Department Criminal Intelligence Unit with assistance from the Garland Police Department Neighborhood Police Officer Unit, the Collin County Sheriff's Office, the Mesquite, Sherman, Denison and Sulphur Springs Police Departments and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
Assistant U.S. Attorney P. J. Meitl was in charge of the prosecutions.
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Federal Grand Jury Indicts Seattle Man for Causing Damage to the Website of Leagle.comRead the Press Release
DALLAS — A Seattle man has been charged in a federal indictment, returned late yesterday, with one count of knowingly causing the transmission of a command to a protected computer, announced U.S. Attorney John Parker of the Northern District of Texas (NDTX).
Kamyar Jahanrakhshan, aka “Kamyar Jahan Rakhshan,” “Andy or Andrew Rakhshan,” “Andy or Andrew Kamyar,” and “Kamiar or Kamier Rakhshan,” 37, of Seattle, Washington, was arrested late last month in the Western District of Washington (WDWA) on a related federal criminal complaint, filed on July 29, 2016, in the U.S. District Court for the NDTX. He made his initial appearance before a U.S. Magistrate Judge in federal court in the WDWA on July 26, 2017, and was detained. The U.S. Magistrate Judge set Rakhshan’s identity hearing in WDWA on August 14, 2017, after which, Rakhshan should be transported to Dallas to appear in a federal court in the NDTX.
The indictment alleges that between December 30, 2014 and January 25, 2015, Jahanrakhshan knowingly caused the transmission of a program, information, code, and command, and, as a result of such conduct, intentionally caused a denial of service attack on the website Leagle.com without authorization to a protected computer causing a loss of at least $5,000 during a one-year period.
An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, Jahanrakhshan faces the maximum statutory penalty of ten years in federal prison and a $250,000 fine. Restitution may be ordered.
The Federal Bureau of Investigation investigated the case, with assistance from the FBI Dallas cyber squad, Seattle cyber task force, Toronto police department, and the Australian federal police. Assistant U.S. Attorney C.S. Heath is in charge of the prosecution.
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Federal Grand Jury Indicts Five North Texas Men Affiliated with Bloods Street Gang for Several Violent RobberiesRead the Press Release
DALLAS — A federal grand jury in Dallas returned an indictment yesterday charging five violent north Texas men with multiple charges related to violent robberies that occurred in north Texas, announced U.S. Attorney John Parker of the Northern District of Texas.
Each of the below-listed defendants, mostly from Cedar Hill, Texas, is charged with at least one count of interference with commerce by robbery:
Charles Lampkins, aka “K3” and “Kc,” 20
Justin Gilbert, aka “Slim,” 21
Jahad Givens, aka “Had,” 21
Terance Ross Johnson, aka “TJ,” 21
Jaala Dill, 19, of Dallas
The defendants will make their initial appearances in federal court later this week.
According to documents filed in the case, between October 2016 and May 2017, the defendants committed a series of at least seven and up to twenty-one robberies at various motels, hotels, and other commercial establishments throughout the Dallas-Fort Worth metroplex. The robbery crew performed surveillance of victims and targeted locations and utilized firearms to intimidate their victims, often pointing guns at the heads of tellers and cashiers during the robberies.
The robbers often disguised themselves during the robberies by wearing dark clothes, hoodies, and other items meant to conceal their true identity, including a distinguishable fake blue beard connected to a stocking cap.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, each interference with commerce by robbery count in the indictment carries a maximum statutory penalty of 20 years in federal prison and a $250,000 fine. Lampkins is also charged with two counts of using, carrying, brandishing, and discharging a firearm in furtherance of a crime of violence. The firearm count carries a maximum statutory penalty of life in federal prison and a $250,000 fine.
The case is being investigated by the Federal Bureau of Investigations, Plano Police Department, Carrollton Police Department, Addison Police Department, Farmers Branch Police Department, Grand Prairie Police Department, Arlington Police Department, Lewisville Police Department, Sulphur Springs Police Department, Dallas Police Department, and Cedar Hill Police Department. Assistant U.S. Attorney P.J. Meitl in charge of the prosecution.
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