District of Utah
Press releases recorded for this federal judicial district.
Utah PSN Partners Target Those Who “Lie-And-Try” to Purchase A Firearm; Two Federal Firearms Licensees Also ChargedRead the Press Release
SALT LAKE CITY -- Utah Project Safe Neighborhoods partners have a message for those who “lie-and-try” in attempting to purchase a firearm from federal firearms licensees in Utah: If you lie on paperwork you are required to complete to purchase a firearm, you may end up facing a federal prison sentence.
Individuals restricted from possessing a firearm are not the only ones who could end up in federal court. Federal firearms licensees (FFLs), who sell or transfer a firearm to a prohibited person, allow a straw purchaser to buy a gun for someone else, or fail to keep proper records of who they sell firearms to, also face potential criminal prosecution as well.
"Our background check systems are only as good as the information they receive," U.S. Attorney General Jeff Sessions said. "I have ordered our prosecutors to more aggressively charge those who lie to the background check system in order to try to get guns illegally. Under my tenure as Attorney General, we have already increased federal gun prosecutions to a 10-year high and violent crime prosecutions to a 25-year high. We are just getting started. We intend to break these records again, punish more criminals who try to cheat the system, and deter many more from lying to a background check in the first place."
“The Utah Project Safe Neighborhoods initiative fully supports the right of Utahns to own firearms and does not target legitimate firearms owners,” U.S. Attorney John W. Huber said today. “Our first priority is to stop crime before it is committed. Keeping firearms out of the hands of those with felony convictions or other prohibiting factors is a key part of our efforts to make Utah communities safer. A firearm in the hands of a gang member with a felony conviction or someone convicted of a domestic violence offense is a recipe for more violent crime. Those who attempt to circumvent the law by selling guns to prohibited individuals or those who lie to try to buy one are committing federal crimes.”
“ATF partners with the West Valley City and Unified Police departments, as well as federal firearm licensees, to combat lie-and-buy cases,” ATF Special Agent in Charge Debbie Livingston said today. “These partnerships are critical to our success.”
Two indictments returned by a federal grand jury last week targeted federal firearms licensees with violations of federal law related to the sale of firearms.
William Hammond, age 78, of North Salt Lake City, and Kristine Vanorman, age 57, of Woods Cross, Utah, are charged in an indictment with three counts of sale or transfer of a firearm to a prohibited person in relation to transactions occurring at their business. Hammond is charged in the first count of the indictment with selling a firearm to a person the indictment alleges he had reasonable cause to believe was prohibited from possessing a firearm. Vanorman is charged in the second count with selling a firearm to a person having reasonable cause to believe the person was prohibited from possessing a firearm under federal law. Both Hammond and Vanorman are charged in the third count with selling a firearm to a prohibited person. The sales involved straw purchases where an individual was allowed to purchase a firearm for an individual prohibited from possessing a firearm under federal law. Hammond and Vanorman are the responsible parties for the federal firearms license. The maximum potential penalty for each count in the indictment is 10 years in prison.
In a second indictment, Kenneth Gene Yama, age 68, of Moab, is charged with two counts of failure by a federal firearms licensed dealer to keep proper records. The indictment alleges Yama sold firearms at his business to individuals without noting the name, age, and place of residence of the firearms purchaser in records he is required to maintain under federal law. The maximum potential penalty for each count is five years in prison.
Six indictments recently returned by a federal grand jury target individuals with alleged “lie-and-try” efforts to get a firearm. In each case, the indictment alleges the individuals knowingly made a false statement intended to deceive as they were attempting to purchase a firearm from a licensed firearms dealer. Defendants in five of the cases answered no when asked if they were convicted felons. The sixth defendant falsely claimed that he had never been convicted of a misdemeanor crime of domestic violence. The potential maximum penalty for making a false statement during the purchase of a firearm is 10 years in prison.
Defendants charged in the “lie-and-try” attempts are Tyrone Gary Taylor, age 43, of Elko, Nevada; Reginaldo Villicana, age 28, of Magna; Joshua Ian Newell, age 36, of Salt Lake City; Aaron James Stock, age 38, of Cottonwood Heights; Saul Perez, age 32, of Magna; and Michael Dean Brattin, age 27, of Tooele.
To aid federal firearms licensees in complying with federal law designed to keep our communities safe, PSN has produced a limited number of oversized clipboards. When buyers are filling out or signing background check paperwork, the clipboards carry the clear warning to would-be unlawful purchasers and their accomplices that serious penalties are in store for the violation of federal law.
PSN is a program designed to bring together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. U.S. Attorney General Sessions reinvigorated PSN in 2017 as part of the Department of Justice’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, local strategies to reduce violent crime. PSN is based on five key principles: leadership, partnership, targeted and prioritized enforcement, prevention of additional violence, and accountability.
“The heart of PSN is partnership. None of us can combat violent crime on our own. We all have a role to play—federal, state, local, and tribal law enforcement; prosecutors; community members and organizations; victims’ advocates; social service providers; and many others. If we work together, we can have a meaningful impact on our communities,” Huber said today.
So far, 97 PSN firearms cases have been indicted this year in Utah.
Indictment Unsealed Charging Three with Attempts to Blow up, Damage Bank ATM MachinesRead the Press Release
SALT LAKE CITY – A federal indictment unsealed Thursday charges three individuals with attempting to damage or destroy bank ATM machines by means of fire and an explosive during a string of incidents at three Utah credit unions and a bank in January.
Brian Winters, age 32, Christopher Izatt, age 33, and Guillermo Cruz, age 34, all of Salt Lake County, are charged with destruction and attempted destruction of property used in interstate commerce by fire or explosive in the four-count indictment.
Winters is charged in connection with a Jan. 7, 2018, attempt to damage or destroy an ATM machine located at a Goldenwest Credit Union in West Jordan. Izatt and Cruz are charged with attempts to damage or destroy two ATMs – an American First Credit Union ATM in Salt Lake City on Jan. 7, 2018, and a Chartway Federal Credit Union in West Jordan on Jan. 19, 2018. The final count of the indictment charges Winters and Izatt with attempting to damage or destroy a Zions Bank ATM in Draper on Jan. 21, 2018.
Evidence collected at each attempt to damage or destroy an ATM, including surveillance videos at the credit unions, bank, and other locations, helped FBI agents develop suspects in the case.
Defendants in the case have had initial appearances on the charges in the indictment and have entered not guilty pleas. A four-day jury trial has been set for June 25, 2018, before U.S. District Judge Tena Campbell. Winters, Izatt, and Gruz will remain in federal custody pending the outcome of the case.
The potential maximum penalty for each count in the indictment is 20 years with a mandatory minimum of five years.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless or until proven guilty of the charges in court.
FBI special agents are investigating the case. Salt Lake fire investigators and officers with the Unified Police Department, West Jordan, Draper, Salt Lake City, and Sandy police departments also are contributing to the investigation. The U.S. Attorney’s Office in Utah is prosecuting the case.
Keebler Pleads Guilty to Attempted Destruction of Federal Property by Use of an ExplosiveRead the Press Release
SALT LAKE CITY – William Keebler, age 59, of Stockton, Utah, indicted by a federal grand jury in June 2016 in what the charges alleged was an attempt to damage or destroy a federal buildings managed by the U.S. Bureau of Land Management, has pleaded guilty.
Keebler pleaded guilty to a one-count Felony Information filed Thursday morning charging him with attempted destruction of federal property by use of an explosive in U.S. District Judge David Sam’s courtroom Thursday morning. Keebler admitted that between June 20, 2016, and June 22, 2016, he traveled from Tooele County, Utah, to Mount Trumbull in an attempt to damage or destroy a federal facility managed by the BLM. He agreed that he attempted to detonate an explosive in order to damage the BLM structure.
According to a complaint filed in the case, Keebler served as the commander of a citizen militia group called the Patriots Defense Force, headquartered in Stockton, Utah. He was present during the Bunkerville, Nevada, standoff involving the BLM in 2014.
The Utah case followed an extensive investigation by the FBI’s Joint Terrorism Task Force and its partner agencies.
“Thanks to the professionalism and expertise of the FBI and its partner law enforcement agencies, we were able to detect a serious criminal threat and bring a successful prosecution,” U.S. Attorney John W. Huber said today. “We are pleased with the outcome of this priority case,” Huber said.
“Protecting our country and its citizens from terrorist attacks is the FBI’s highest priority. This case illustrates our commitment to dealing with individuals who attempt violent acts against the government and wish to bring harm to the public,” said Eric Barnhart, Special Agent in Charge, FBI Salt Lake City Field Office. “This case is the result of the great work of the FBI’s Joint Terrorism Task Force, which brings together federal, state and local agencies together to keep our communities safe.”
The plea agreement includes a stipulated prison sentence between 12 months and one day, up to 70 months. The sentence is subject to the approval of the court. Sentencing is scheduled for July 9, 2018, at 3 p.m. in Judge Sam’s courtroom.
Huber says federal prosecutors look forward to presenting their sentencing arguments at the hearing and will advocate for a sentence at the high end of the sentencing range included in the plea agreement. Keebler has been in federal custody since his arrest after the court determined he was a danger to the community.
Utah Construction Contractors Reach Civil Settlement in False Claims Act CaseRead the Press Release
SALT LAKE CITY – Big-D Construction Corp. and Creative Times Day School, Inc., have agreed to pay the federal government a combined amount of $1,062,900 and $150,000 respectively to resolve allegations that they violated the terms of a Small Business Administration (SBA) program for small and disadvantaged businesses. Big-D Construction Corp. and Creative Times Day School, Inc. are Utah corporations that have performed construction projects for federal agencies under the terms of various government contracts.
U.S. Attorney for Utah John W. Huber and SBA Acting Inspector General Hannibal “Mike” Ware announced the settlement Monday afternoon. The settlement with Big D was the result of a coordinated effort among the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the District of Utah, the SBA Office of Inspector General, the SBA Office of General Counsel and the U.S. Army Criminal Investigation Commands Major Procurement Fraud Unit.
The United States contends that Big-D, a large construction company, entered into a leasing agreement with Creative Times, a small business participant in the SBA programs, under which Big-D provided personnel who performed or substantially performed the work on the contracts. The United States contends that the leasing agreement was improper and caused Creative Times to fail to meet the SBA’s regulatory requirement that the small businesses perform a certain percentage of the work under the contracts, thereby causing the small businesses to submit false or fraudulent claims for payments to the United States. The settlements involve a number of different government contracts in Kansas, Colorado, New Mexico, and Utah between July 2009 and June 2013.
“These programs exist to help small business, often minority owned, to receive federal contracts. Those who apply for them must be honest and forthright in their dealings with the United States,” U.S. Attorney John W. Huber said today. “In our experience, these cases are on the rise in Utah. We will continue to partner with the Department of Justice and our agency partners to investigate these cases,” Huber said.
“Concealing the true nature of a purported small business contract participation will be met with significant penalties,” said SBA Acting Inspector General Hannibal “Mike” Ware. “SBA OIG will continue to aggressively pursue parties that undermine Americans’ confidence in federal contracting programs designed to assist small businesses. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication in enforcing compliance in SBA’s programs.”
The qui tam complaint was filed in the District of Utah and is captioned United States ex rel, Bart Anderson v. Big D Construction Corp. et al., No. 1:11-cv-00176. The settlement resolved allegations of non-compliance. Neither Big-D nor Creative Times Day School, Inc. admit liability.
District Court Enters Permanent Injunction and Civil Penalty Against Utah-Based TelemarketersRead the Press Release
WASHINGTON – A federal court entered an order against three Utah-based telemarketing companies and their owner, the Department of Justice announced today. That order permanently enjoins them from engaging in deceptive and abusive telemarketing practices. The order also imposes a civil monetary penalty.
The Department filed a complaint in May 2011, alleging that the defendants, Feature Films for Families Inc., Corporations for Character L.C., Family Films of Utah Inc., and Forrest S. Baker III, committed widespread violations of the FTC Act and Telemarketing Sales Rule in various telemarketing campaigns to sell DVDs and movie tickets, and in charitable solicitation call campaigns. The complaint alleged that the defendants: (1) made multiple deceptive claims regarding the use of sales proceeds and charitable donations and the sales purpose of calls; (2) placed millions of calls to phone numbers on the National Do Not Call Registry under the guise of survey and informational calls; (3) ignored consumers’ prior do-not-call requests; (4) transmitted inaccurate caller-identification information; (5) failed to make required oral disclosures; and (6) abandoned calls.
“Unwanted telemarketing calls invade the privacy of American consumers,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “The Department of Justice will continue to work with the Federal Trade Commission to ensure telemarketers adhere to laws designed to protect against abusive and deceptive telemarketing practices.”
On May 25, 2016, following eight days of trial, a jury found the defendants committed more than 117 million knowing violations of the Telemarketing Sales Rule, including 99 million calls to phone numbers on the Do Not Call Registry, and more than four million additional calls in which they made misleading statements to induce DVD sales. The verdict was the first-ever in an action to enforce the Telemarketing Sales Rule and Do Not Call Registry rules.
The stipulated final order, entered by the district court, permanently enjoins the defendants from making material misrepresentations or omissions in the course of marketing entertainment products, services, or recordings, and from violating any provision of the Telemarketing Sales Rule. The stipulated order also imposes a civil penalty judgment of approximately $45.4 million, of which all but $487,735 is conditionally suspended based on the defendants’ inability to pay the entire penalty.
“As this case demonstrates, the FTC is aggressively pursuing law enforcement action against those that violate our nation’s Do Not Call rules, including those that use deception to secure sales or donations,” said Tom Pahl, Acting Director of the FTC’s Bureau of Consumer Protection.
This matter was handled by Trial Attorneys Arturo DeCastro and David A. Frank of the Civil Division’s Consumer Protection Branch, with assistance from Attorney Michael Tankersley of the Federal Trade Commission and the U.S. Attorney’s Office for the District of Utah.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch.
Man Convicted of Hate Crime for Using A Stun Device During A Racially-Motivated Assault of His NeighborRead the Press Release
SALT LAKE CITY – Following a three-day trial, a jury found Mark Porter, 59, a former resident of Draper, guilty late Wednesday afternoon of committing a federal hate crime when he used a stun device during the racially-motivated assault of a neighbor at his apartment complex in Draper, Utah. The jury further found that the defendant used a dangerous weapon – a stun cane. Prior to his arrest in this case, Porter was living in of Lake Havasu City, AZ.
Assistant Attorney General for the Civil Rights Division John Gore, U.S. Attorney for the District of Utah John W. Huber, and Special Agent in Charge for the Salt Lake City Field Office of the FBI Eric Barnhart announced that the defendant was found guilty of the single offense charged in the indictment -- using force and the threat of force to injure, intimidate, and interfere with an African-American man because of his race and because of his occupancy of a nearby apartment in the complex.
Evidence presented at trial showed that the defendant shouted a racial slur at the victim’s 7-year-old son as the boy rode on a scooter in a common area at the apartment complex. After the defendant told the child to “get out of here,” he used the stun cane to injure the victim, knocking the victim to the ground. The defendant then used a racial slur to refer to the victim and his son and told them both to “get out of here.”
Evidence presented at trial also established that, prior to the incident, the defendant had told an employee and maintenance staff at the apartment complex that he did not want to live near any African-Americans. Immediately prior to the incident with the boy and his father, the defendant told another neighbor that he thought that African-Americans needed to be “exterminated.”
“Porter’s violent conduct, motivated by his intolerance of another race, is an egregious crime that will not be tolerated by this Justice Department,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “We will continue to protect the civil rights of all individuals and vigorously prosecute hate crime cases.”
“There is no place in Utah for race-motivated hatred and violence,” said U.S. Attorney John W. Huber. “All families deserve the opportunity to live peaceably in their homes where they may pursue happiness in safe environments. The jury in this case spoke on behalf of our Utah communities and definitively stated that this criminal conduct will not be tolerated.”
Sentencing is set for May 30 before U.S. District Judge Dee Benson. The defendant faces a maximum sentence of 10 years and a fine of $250,000.
Special agents of the FBI investigated the case. The case is being prosecuted by Assistant U.S. Attorney J. Drew Yeates of the Utah U.S. Attorney’s Office and Trial Attorney Rose E. Gibson of the Civil Rights Division’s Criminal Section.
Ward Pleads Guilty to Production of Child Pornography Faces up to 30 Years in Prison with 15-Year Mandatory MinimumRead the Press Release
SALT LAKE CITY – Nathan Clark Ward, age 56, of Bountiful, pleaded guilty to production of child pornography Tuesday afternoon in U.S. District Court, admitting that he used a smart phone to stream several live videos from his home in Bountiful to Robert Francis in Lehi between June 2013 and August 2015.
Ward admitted that in some of the videos he lifted the shirt of a minor and in others pulled down the minor’s pants.
The maximum potential penalty for the conviction is 30 years in prison with a 15-year mandatory minimum sentence. U.S. District Judge Dee Benson, who presided at the hearing, set sentencing in the case for May 31, 2018. Ward remains in federal custody.
A federal grand jury returned an indictment in September 2017 charging Ward with production of child pornography, possession of child pornography, and distribution of child pornography. The case started with a tip reported to the National Center for Missing and Exploited Children (NCMEC) that an individual had uploaded sexually explicit images of children to the internet. Further investigation showed the user was in the Salt Lake City metro area. NCMEC forwarded the case to the Utah Internet Crimes Against Children Task Force for further investigation. The Davis County Sheriff’s Office, an ICAC affiliate agency, subsequently took the lead investigating the case.
The investigation of the Ward case led law enforcement officers to Robert Edwin Francis, age 41, of Lehi, Utah. Francis is serving 144 months in federal prison after pleading guilty to receipt of child pornography. U.S. District Judge Dee Benson imposed the sentence Jan. 22, 2018. Francis was charged with production, receipt, and possession of child pornography in an indictment returned in August 2017. Francis admitted he engaged in sexually explicit conduct involving children via an on-line social network and that he possessed at least 150 but fewer than 300 images of child pornography.
Ward and Francis represent two of 41 child exploitation cases filed by federal prosecutors in Utah during 2017. Several local, state, and federal Utah law enforcement agencies contributed to the case. These prosecutions are part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Special Assistant U.S. Attorney Nathan D. Lyon of the Davis County Attorney’s Office and Assistant U.S. Attorneys Drew Yeates and Andrea Martinez of the U.S. Attorney’s Office in Salt Lake City are prosecuting the cases. Special agents and officers from the Davis County Sheriff’s Office, the U.S. Department of Homeland Security, and the Utah ICAC Task Force are investigating these cases.
Salt Lake City Man Charged with Distribution of Spice, Possession of a Firearm During Drug Trafficking Crimes During Operation Rio Grande Spice Crack Down EffortRead the Press Release
SALT LAKE CITY – A four-count indictment returned by a federal grand jury in Salt Lake City charges James Musa Gama, age 39, of Salt Lake City, with two counts of possession of the synthetic cannabinoid commonly known as “spice” and two counts of possession of a firearm in furtherance of a drug trafficking crime.
U.S. Attorney for Utah John W. Huber and Utah Department of Public Safety Commissioner Keith Squires announced the indictment Monday.
Gama was arrested on as federal complaint filed Mar. 5, 2018. U.S. Magistrate Judge Brooke C. Wells ordered him to remain in custody after finding he constitutes a risk of danger to the community during an initial appearance Wednesday. He is scheduled for an arraignment on the indictment Wednesday at 10:15 a.m.
According to the complaint, Gama came to the attention of agents working with the Operation Rio Grande Drug Task Force during enforcement efforts in the Pioneer Park area in December 2017 and January 2018. The task force was targeting the suspected distribution of the synthetic cannabinoid commonly known as “spice.”
While an agent was working in an undercover capacity in Pioneer Park on Dec. 12, 2017, an unidentified man approached an agent asking what he was looking for. The agent said he was looking for spice. The unidentified man led the agent to Gama, who sold him one jar of spice for $40. Other agents arrested Gama. During a search incident to arrest, agents found five additional jars of spice in Gama’s possession, along with the $40 the agent had given him. The Utah Bureau of Forensic Services later identified the substance in the jars as FUM-AMB, a Schedule 1 synthetic cannabinoid. Agents also found a loaded handgun, previously reported as stolen, in Gama’s waistband.
According to the complaint, Gama told agents he had been selling three or four jars of spice per day. He said he carried the handgun, which he bought for $300, for protection after being robbed and shot a year earlier.
Agents had a second encounter with Gama and two other individuals in Pioneer Park on Jan. 31, 2018, where they bought four jars containing suspected spice. Gama and the two others, identified as R.S. and M.G. in the complaint, were arrested. During a search incident to arrest, agents found another handgun in GAMA’s waistband. Again, the Utah Bureau of Forensic Services identified the substance in the jars as a Schedule 1 synthetic cannabinoid. According to the complaint, Gama told agents he purchased the handgun for protection about a week earlier. Gama also said he had purchased the four jars of spice earlier in the day to sell at Pioneer Park.
The two spice counts in the indictment each carry potential 20-year sentences. The first firearm count carries a minimum mandatory sentence of five years. The second count has a potential 25-year minimum mandatory sentence. Sentences for the firearms counts would run consecutive to any sentence imposed for the spice counts.
Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Agents with Utah Department of Public Safety are investigating the case. Prosecutors in the Utah U.S. Attorney’s Office are prosecuting the case.
Examples of other federal Operation Rio Grande cases:
US v Jose Rodriguez, aka King Kong: A grand jury returned a six-count indictment in December charging Jose Rodriguez, aka King Kong, age 35, of Salt Lake City, with drug and firearms violations. The two incidents that make up the indictment come from investigations done by Salt Lake City police officers working as a part of Operation Rio Grande. Rodriguez is charged with distribution of heroin, distribution of cocaine base, carrying a firearm in relation to a drug trafficking crime and felon in possession of a firearm for the first incident in late September. He also faces distribution of heroin and felon in possession of a firearm in connection with an October incident. Rodriguez, age 35, a Mexican national living in Salt Lake City, faces up to 20 years in federal prison for each of the drug distribution counts and up to 10 years for each of the felon in possession counts. Carrying a firearm during and in relation to a drug trafficking crime has a mandatory five-year sentence, which would run consecutive to any other sentence imposed. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. A five-day jury trial has been set for March 27, 2018, before U.S. District Judge Robert J. Shelby. Rodriguez, who has entered not guilty pleas to the charges, will remain in custody pending the resolution of this case. U.S. Magistrate Judge Paul M. Warner found him to be a danger to the community and a risk of non-appearance at a detention hearing. Salt Lake City police officers are investigating the case.
US v Chris William Espinoza: A trial is scheduled for May 14, 2018, in a case charging Chris William Espinoza, age 50, of Ogden, with possession of heroin with intent to distribute, possession of methamphetamine with intent to distribute, possession of a firearm by a restricted person (felon), and possession of firearms in furtherance of a drug trafficking crime. Agents with the Utah State Bureau of Investigation executed a court-authorized state search warrant at a residence in Ogden in September 2017. Agents found heroin and methamphetamine, along with other drugs and drug trafficking paraphernalia. They also found two semi-automatic handguns. Espinoza is in custody pending resolution of the case. He has entered pleas of not guilty to the charges. The two drug counts each carry potential sentences of 40 years in prison with mandatory-minimum sentences of five years. The potential maximum sentence for possessing a firearm following a felony conviction is 10 years. Possession of a firearm in furtherance of a drug trafficking offense carries a five-year sentence, imposed consecutive to any other sentence. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. Agents of the State Bureau of Investigation are continuing their investigation of the case.
US v Tohi Ryan Ngata, aka Leaaetohi Ryan Ngata, aka Toni Ngata-Latu: Tohi Ryan Ngata, age 33, of Salt Lake City, was charged in a sealed indictment returned by a federal grand jury Feb. 7, 2018. The three-count indictment, unsealed Feb. 23, 2018, charges Ngata with possession of a firearm by a restricted person (felon), possession of heroin with intent to distribute, and carrying a firearm in furtherance of a drug trafficking crime. Ngata, who has entered pleas of not guilty to all counts, is in custody pending resolution of the case. Utah State Bureau of Investigation agents encountered Ngata on Jan. 18, 2018. They tried to stop Ngata, but he fled on a bike. Salt Lake City police officers, assisting the agents, were able to detain him. Agents found a gun in his waistband. They also found drugs, drug paraphernalia and cash. The potential maximum penalties for the counts in the indictment include 10 years for the firearms count and 20 years for the drug charge. There is a potential fine of $1 million. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Leavitt Pleads Guilty to Wire Fraud, Money Laundering in Connection with Affinity Fraud SchemeRead the Press Release
SALT LAKE CITY -- Ronald Wayne Leavitt, age 61, of Stansbury Park, Utah, who targeted friends, members of his church, and some of their relatives in a fraud scheme, pleaded guilty to wire fraud and money laundering in connection with the affinity fraud scheme Wednesday in federal court.
The plea agreement includes a stipulated sentence of 36 months in federal prison, which is subject to the approval and acceptance of the Court. Leavitt agreed that the total loss amount for the fraud was $679,420.55. He returned $160,000 of the money he obtained by fraud to three of the victims. He has agreed to pay $519,420.55 in restitution as a part of the plea agreement. U.S. Magistrate Judge Brooke Wells took the change of plea Wednesday. Sentencing in the case is set for June 4, 2018, before U.S. District Judge David Nuffer.
In a court document filed as a part of the plea agreement, Leavitt acknowledged that he told a variety of lies to friends and neighbors to get them to invest in his schemes. He told some that he owned several limousines while telling others he was the executor of large trust fund and that he owned property worth millions of dollars. He also told some victims he had inherited millions of dollars from his parents. He also told victims that the investment opportunity was limited and, if they were lucky, he could get them a spot in the investment. He told others victims that an investor had pulled out and, although other investors would be upset, he would allow them to invest and make it work.
After gaining their trust, Leavitt admitted he convinced several individuals to invest in one of three different ventures. Leavitt pitched a real estate venture in California, a high-end real estate development venture in Moab called Hidden Mesa, and a sugar substitute start-up company.
According to documents filed as a part of the plea agreement, Leavitt admitted that the real estate venture in California was an investment he fabricated.
The Hidden Mesa real estate development venture was an idea that Leavitt had discussed with an individual who had purchased land in Moab. This individual discussed with Leavitt the possibility of developing the land and talked with Leavitt about seeking investors for the project. However, without this individual’s knowledge, Leavitt used the concept of the venture to pitch the investment opportunity to some of his neighbors and some of their family members, eventually persuading some of them to invest in the venture. He promised them returns as large as 300 percent within 60 to 90 days. Leavitt admitted that once they made an investment in the project, he never provided any of that money to the individual who had purchased the land in Moab.
The sugar substitute start-up company is an actual company that Leavitt’s brother was involved in. Leavitt had talked with his brother and another individual about trying to find investors. As a part of his scheme to defraud, Leavitt admitted he convinced individuals to invest in the company. Once they did, he did not inform the company of their investment or give them the money. Like the other two ventures, Leavitt admitted he kept the funds for himself and spent them.
Leavitt admitted at the plea hearing Wednesday that he spent the majority of the money he took from victims of the fraud schemes rather than investing it in anything.
Special agents of the FBI and members of its Financial Crimes Task Force are investigating the case. An IRS Criminal Investigation agent, assigned to the task force, is also investigating the case. It is being prosecuted by the U.S. Attorney’ Office in Salt Lake City.
Former Utah CEO Sentenced to Prison for Tax EvasionRead the Press Release
SALT LAKE CITY – A former CEO of a Salt Lake City, Utah, company was sentenced Wednesday afternoon to 12 months and 1 day in prison for tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
Peter Nordberg, 62, of Alameda, California, pleaded guilty in September 2017 to tax evasion. According to court documents, Nordberg was the Chief Executive Officer of Max International, a company that produces and markets nutritional supplements directly and through independent associates and distributors. As an employee of Max International, Nordberg earned a salary and commissions equal to a percentage of sales. Nordberg caused Max International to pay his bonus income to a nominee entity he established, and used a bank account in the name of the nominee entity to pay personal expenses. Nordberg concealed the bonus income and nominee entity from his return preparer and filed false tax returns with the Internal Revenue Service (IRS) that underreported his income. Nordberg’s conduct caused a tax loss of approximately $275,000.
In addition to the term of prison imposed, U.S. District Court Judge Dee Benson ordered Nordberg to serve 1 year of supervised release and to pay $354,770 in restitution to the United States Treasury.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Matthew Hoffman and Assistant U.S. Attorney Ruth Hackford-Peer, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Former Utah CEO Sentenced to Prison for Tax EvasionRead the Press Release
A former CEO of a Salt Lake City, Utah, company was sentenced today to 12 months and 1 day in prison for tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
Peter Nordberg, 62, of Alameda, California, pleaded guilty in September 2017 to tax evasion. According to court documents, Nordberg was the Chief Executive Officer of Max International, a company that produces and markets nutritional supplements directly and through independent associates and distributors. As an employee of Max International, Nordberg earned a salary and commissions equal to a percentage of sales. Nordberg caused Max International to pay his bonus income to a nominee entity he established, and used a bank account in the name of the nominee entity to pay personal expenses. Nordberg concealed the bonus income and nominee entity from his return preparer and filed false tax returns with the Internal Revenue Service (IRS) that underreported his income. Nordberg’s conduct caused a tax loss of approximately $275,000.
In addition to the term of prison imposed, U.S. District Court Judge Dee Benson ordered Nordberg to serve 1 year of supervised release and to pay $354,770 in restitution to the United States Treasury.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Matthew Hoffman and Assistant U.S. Attorney Ruth Hackford-Peer, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Utah Resident Pleads Guilty to Devising Scheme to Obtain Construction Contracts Set Aside for Service-Disabled Veteran-Owned BusinessesRead the Press Release
SALT LAKE CITY – A Utah man pleaded guilty to wire fraud and money laundering in federal court Tuesday afternoon for his role in a fraud scheme he devised to obtain government construction contracts set aside for Service-Disabled Veteran-Owned Businesses.
Stanley Raass, age 44, of Lehi, Utah, was charged in a Felony Information filed Jan. 27, 2018. U.S. Magistrate Judge Dustin Pead accepted the guilty pleas to the two charges and set sentencing for May 23, 2018, before U.S. District Judge Tena Campbell. The plea agreement includes a stipulated sentence of 24 months which is subject to the approval of the court. He also agreed to a money judgment of $640,000.
The United States government sets aside contract benefits for qualifying individuals and companies considered Service-Disabled Veteran-Owned Small Businesses (SDVOSB). Eligibility requirements include qualification as a small business, more than 50 percent owned by a service-disabled veteran, and daily operations of the business must be managed and controlled by the service-disabled veteran.
Contractors obtaining a SDVOSB contract must self-certify annually that the contractor meets the requirements of the status-based business classification.
As a part of his plea agreement, Raass admitted that in August 2013 he devised a scheme to obtain a construction contract set aside for Service-Disabled Veteran-Owned Businesses. He falsely certified under oath that the firm that would perform the work on the contract met the requirements of the status-based classification, when in fact, he knew it did not.
According to the Felony Information, Raass owned and operated a construction company called Raass Brothers, Inc. During its existence, the company provided general construction for the federal government on construction contracts. The defendant controlled the daily operations of the business.
Raass formed another company called RWT, LLC in 2009. The business name corresponded to the initials of the defendant’s father-in-law. The defendant listed his father-in-law as the president and 51 percent owner. The defendant listed himself as the vice president and 49 percent owner.
At the time the defendant formed RWT, his father-in-law was a veteran with a 100 percent disability rating from the Department of Veterans Affairs. According to the Felony Information, the veteran was physically incapable of managing RWT. In actuality, Raass controlled the managerial and daily business operations of RWT. The defendant never served in the United States military.
Raass registered the company as an SDVOSB. Between Sept. 19, 2009 and Aug. 26, 2013, Raass, through RWT, obtained 11 contracts set aside for service-disabled veteran-owned small businesses totaling $16,517,912 in payments from the government. On multiple occasions, according to the Felony Information, the defendant certified RWT as meeting the requirements of the contracts, when he knew the business did not meet those requirements.
The defendant’s other business (RBI) primarily performed the work on the contracts, and the defendant instructed employees to withhold information about the veteran from the government, according to the charging document.
The case is being investigated by the Defense Criminal Investigative Service, the U.S. Department of Veterans Affairs Office of Inspector General, the U.S. General Services Administration Office of Inspector General, the FBI, the Naval Criminal Investigative Service, the Small Business Administration Office of Inspector General, the U.S. Army Criminal Investigation Command, and IRS Criminal Investigation.
"Service-disabled veterans are recognized for their sacrifices and are afforded some special consideration when conducting business with the U.S. Government" said Special Agent in Charge Michael Mentavlos, Defense Criminal Investigative Service Southwest Field Office. "The resolution of this case shows that those who fraudulently claim affiliation with service-disabled veterans, for their personal gain, undermine the program, and will be pursued by the Defense Criminal Investigative Service and our partner agencies."
"Fraudsters like Raass who falsely claim set-aside status steal taxpayer dollars meant for service-disabled veteran-owned small businesses. We will continue to work with our law enforcement partners to identify and prosecute such scams," said Carol F. Ochoa, Inspector General for U.S. General Services Administration
"The Service-Disabled Veteran-Owned Small Business procurement program is to help and honor our veterans, not steal from them," said Las Vegas Field Office Special Agent in Charge Tara Sullivan. "Stanley Raass created an elaborate scheme with no purpose other than defrauding the government and other disabled veterans for his own personal gain. IRS Criminal Investigation is proud to assist its other law enforcement partners with our unique skills in following the money."
“Our nation’s veterans are the ultimate victims when individuals scheme to fraudulently obtain access to federal contracting opportunities set-aside for deserving small businesses owned and operated by service-disabled veterans,” said Special Agent in Charge Kari A. Overson, U.S. Small Business Administration, Office of Inspector General.
"Individuals who devise schemes and use businesses to defraud VA of funds will be aggressively pursued by the VA Office of Inspector General, Criminal Investigations Division and held accountable to the full extent of law," said A.E. Pleasant, Special Agent in Charge of the U.S. Department of Veterans Affairs Office of Inspector General.
2017 Year in Review:Read the Press Release
• 144 cases filed involving members/associates of gangs in Utah
• 204 Project Safe Neighborhoods cases filed – the majority targeting felons with guns
• 41 indictments returned in child exploitation cases
• 41 robbery cases indicted, including 29 bank robbery cases
• 300 cases filed charging illegal re-entry into the countrySALT LAKE CITY -- Efforts to capitalize on existing law enforcement partnerships and re-invigorate successful programs already in place to reduce violent crime and make communities safer for everyone are well under way in Utah.
“As the United States Attorney in Utah, I use my position to ensure that the efforts aimed at reducing violent crime in our state are working toward the same goal without duplicating efforts. We are promoting collaboration between federal, state, local and tribal agencies, existing task forces, and other stakeholders to prioritize efforts to reduce violent crime in our neighborhoods,” U.S. Attorney John W. Huber said today.
“We look to identify the offenders who are responsible for violent crime in Utah neighborhoods. The cases we filed last year are representative of those efforts,” Huber said. “My partners and I will build on the momentum we established last year with targeted and prioritized enforcement efforts. Our primary goal is to reverse recent trends and reduce violent crime in Utah, where every resident deserves to live and thrive in a safe neighborhood. The recent spate of violence on the west side of Salt Lake County – likely gang related – brings into focus the urgency of our combined efforts.”
Transitioning into 2018, the U.S. Attorney’s Office is focused on enhancing and expanding Utah Project Safe Neighborhoods, an initiative targeting violations of federal firearms laws, to include other areas of violent crime such as gang activity, drug distribution, organized crime, domestic violence and robberies.
Utah is fortunate to have well-established working relationships between law enforcement agencies at the local, state, and federal levels, Huber said. “Our law enforcement officers and agents in Utah are skilled at helping us identify the most violent offenders in a community.”
Case examples:
Gangs
- Operation Rio Grande case – US v Jose Rodriguez, aka King Kong: A grand jury returned a six-count indictment in December charging Jose Rodriguez, aka King Kong, with drug and firearms violations. The two incidents that make up the indictment come from investigations done by Salt Lake City police officers working as a part of Operation Rio Grande. Rodriguez is charged with distribution of heroin, distribution of cocaine base, carrying a firearm in relation to a drug trafficking crime and felon in possession of a firearm for the first incident in late September. He also faces distribution of heroin and felon in possession of a firearm in connection with an October incident. Rodriguez, age 35, a Mexican national living in Salt Lake City, faces up to 20 years in federal prison for each of the drug distribution counts and up to 10 years for each of the felon in possession counts. Carrying a firearm during and in relation to a drug trafficking offense has a mandatory five-year sentence which would run consecutive to any other sentence imposed. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. A five-day jury trial has been set for March 5, 2018, before U.S. District Judge Robert J. Shelby. Rodriguez, who has entered not guilty pleas to the charges, will remain in custody pending the resolution of this case. U.S. Magistrate Judge Paul M. Warner found him to be a danger to the community and a risk of non-appearance at a detention hearing.
Salt Lake City police officers are investigating the case.
Robberies
- 112-month sentence for serial bank robber: Bret Michael Edmunds, age 41, of Salt Lake City, was charged with seven counts of bank robbery in an indictment returned May 3, 2017. As a part of a plea agreement in October 207, he admitted to a March 28, 2017, robbery of Zions Bank in Draper and an April 3, 2017, robbery of Utah First Credit Union in Provo. In both cases, Edmunds told the teller he had a gun. Edmunds is serving 112 months in federal prison for the convictions. He was ordered to pay $8,977 in restitution to the victim banks.
The FBI’s Violent Crime Task Force, which includes officers from the Salt Lake City Police Department and the Unified Police Department, investigated the case. Local police agencies in Salt Lake and Utah counties also assisted with responses to the robberies.
Firearms
- Criminal career spanning a decade: Jonathan Fernando Chavez, age 31, of Logan, Utah, was sentenced to 77 months in federal prison Nov. 9, 2017, after pleading guilty to possession of a firearm and ammunition following a felony conviction. U.S. District Judge Robert J. Shelby issued the sentence. Chavez was charged with felon in possession of a firearm and associated ammunition and possession of a sawed off shotgun in April 2017. In a sentencing memorandum, a federal prosecutor told the Court that Chavez’ criminal career – which spans more than a decade – includes a drug charges, escape from custody, and aggravated burglary. “The defendant’s criminal history score does not tell everything about his troubling characteristics, particularly his gang affiliation,” the prosecutor told the Court. “An examination of the defendant’s criminal history suggests that the only apparent periods of non-criminality in the life of the defendant occur, for the most part, when he is in custody. The defendant’s criminal history and characteristics are as disturbing as they are diverse,” the prosecutor wrote in the memorandum
The Cache County Sheriff’s Office and special agents of the ATF investigated the case. Utah AP&P also contributed to the case.
- Assault on a federal officer: Jarvis Charlie Cuch, age 28, of Ft. Duchesne, will be sentenced in February after pleading guilty in December to assault on a federal officer and possession of a firearm after a felony conviction in U.S. District Court Monday afternoon. The plea agreement includes a stipulated 12-year sentence, subject to the Court’s approval. As a part of stipulated facts included in the plea agreement, Cuch admitted that on Dec. 18, 2016, Bureau of Indian Affairs (BIA) police officers working in Ft. Duchesne attempted to initiate a traffic stop on a vehicle he was driving. Cuch fled from the BIA officers. As the officers continued their pursuit, Cuch admitted he reached out of the vehicle window and fired two rounds from a .40 caliber semi-automatic pistol, according to the plea agreement. The pursuit went from Ft. Duchesne through Vernal City. Vernal City police officers and Uintah County Sheriff’s Office deputies assisted the BIA in apprehending Cuch after his tires were spiked and his car came to a stop in Vernal. Cuch was on escape status with federal authorities when the crimes occurred. Cuch was charged in an indictment returned by a federal grand jury in March 2017.
Special agents of the FBI investigated the case. Vernal police officers and Uintah County Sheriff’s Office deputies assisted in stopping Cuch’s car and his bringing him into custody.
Child Exploitation
- 27 ½ years in prison, lifetime supervision: Donald Ray Fritcher, age 36, of Salt Lake City, is serving 27 ½ years in federal prison after pleading guilty to distribution of child pornography. He was sentenced in July 2017. Fritcher will be on supervised release for life when he finishes his federal prison sentence. Fritcher admitted that between about July 1, 2015, and April 2016, he shared, through a file sharing program, images and videos of child pornography. These images included depictions of prepubescent and minor children posing in various stages of undress and in sexually explicit poses. He further stipulated that the images also depicted the sexual abuse of minor children. Fritcher had more than 600 images and videos in his possession. Included in the pictures Fritcher took were images of two minor victims. Fritcher, a registered sex offender in Utah, has two previous state convictions for attempted sex abuse of a child. According to the indictment filed in the case, the pictures of the two minors were taken after his convictions in state court.
Federal authorities arrested Fritcher in Utah in May 2016. His arrest followed an investigation conducted by special agents of Homeland Security Investigations in Salt Lake City and Philadelphia working in collaboration with an investigator with the Royal Canadian Mounted Police. The special agents of Homeland Security Investigations in Utah are members of the Utah Internet Crimes Against Children Task Force and the FBI’s Child Exploitation Task Force.
- Second case from Dr. Ward investigation: Robert Edwin Francis, age 41, of Lehi, Utah, will serve 144 months in federal prison after pleading guilty to receipt of child pornography. U.S. District Judge Dee Benson imposed the sentence Jan. 22, 2018. Francis was charged with production, receipt, and possession of child pornography in an indictment returned in August 2017. Francis admitted he engaged in sexually explicit conduct involving children via an on-line social network and that he possessed at least 150 but fewer than 300 images of child pornography.
Special agents from the U.S. Department of Homeland Security, the Davis County Sheriff’s Office, and the Utah ICAC Task Force are investigating these cases.
- Change of plea hearing set in Dr. Ward case: A change of plea hearing for Dr. Nathan Clark Ward has been scheduled for March 5, 2018, at 3 p.m. before U.S. District Judge Dee Benson.
Immigration
- Four deportations – four DUIs: Oscar Antonio Lara-Garcia was charged in September 2017 with illegal re-entry of a previously deported alien. (There are 14 versions of his name – also known as -- on his plea agreement document.) Lara-Garcia has been removed from the United States four times. He has four DUI convictions and two prior possession of controlled substances convictions. Lara-Garcia pleaded guilty to illegally re-entering the country in November 2017. He faces up to 10 years in prison when he is sentenced Feb. 5, 2018.
- Firearms and drug distribution: Mario Roman-Cornello was charged with illegal re-entry, alien in possession of a firearm, possession of an unregistered sawed off shotgun, and possession with intent to distribute more than 100 grams of heroin in September 2017. He was selling heroin and had agreed to facilitate the sale of the sawed off shotgun and possibly other firearms at the time of his arrest. He pleaded guilty in January to possessing a firearm while illegally present in the country and possession of heroin with intent to distribute. Roman-Cornello faces a minimum mandatory five years in prison with a maximum of 40 years when he is sentenced in March.
- Operation Rio Grande case – US v Jose Rodriguez, aka King Kong: A grand jury returned a six-count indictment in December charging Jose Rodriguez, aka King Kong, with drug and firearms violations. The two incidents that make up the indictment come from investigations done by Salt Lake City police officers working as a part of Operation Rio Grande. Rodriguez is charged with distribution of heroin, distribution of cocaine base, carrying a firearm in relation to a drug trafficking crime and felon in possession of a firearm for the first incident in late September. He also faces distribution of heroin and felon in possession of a firearm in connection with an October incident. Rodriguez, age 35, a Mexican national living in Salt Lake City, faces up to 20 years in federal prison for each of the drug distribution counts and up to 10 years for each of the felon in possession counts. Carrying a firearm during and in relation to a drug trafficking offense has a mandatory five-year sentence which would run consecutive to any other sentence imposed. Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court. A five-day jury trial has been set for March 5, 2018, before U.S. District Judge Robert J. Shelby. Rodriguez, who has entered not guilty pleas to the charges, will remain in custody pending the resolution of this case. U.S. Magistrate Judge Paul M. Warner found him to be a danger to the community and a risk of non-appearance at a detention hearing.
Leeds Resident Indicted for Scheme to Defraud the IRS; Charges Allege at Least 60 Fraudulent Tax Returns Were FiledRead the Press Release
SALT LAKE CITY -- A federal grand jury returned a 24-count indictment Wednesday afternoon charging Landon Blake Pilkey, age 33, of Leeds, Utah, with what the indictment alleges was a scheme to defraud the IRS. Money obtained through the alleged fraud scheme was transferred to other co-conspirators in Lebanon and the United Arab Emirates.
Announcing the indictment are Utah U.S. Attorney John W. Huber and Tara Sullivan, IRS-Criminal Investigation Special Agent in Charge of the Las Vegas IRS Field Office.
According to the indictment, the fraud scheme operated from about March 10, 2013, to May 28, 2013. Pilkey and other co-conspirators in the case used the names and personal identifying information of deceased individuals to file and fraudulently obtain federal tax returns. At least 60 fraudulent tax returns were filed as part of the scheme. The fraudulent tax returns resulted in deposits of $58,658, the indictment alleges.
Pilkey facilitated the receipt of money as a part of the scheme. According to the indictment, Pilkey maintained and monitored several bank accounts where fraudulent tax refunds were deposited. The indictment alleges Pilkey transferred money from the accounts to other co-conspirators of the scheme in Lebanon and the United Arab Emirates Pilkey made at least 15 withdrawals from the accounts where the fraudulent tax returns were deposited and wrote four checks to himself from the accounts for which he had no signing authority, the indictment alleges.
The first count of the indictment alleges conspiracy to submit false claims in connection with the attempt to defraud the IRS. The potential maximum penalty for this count is 10 years in prison.
Theft of public money is charged in 19 counts of the indictment reflecting money Pilkey received through the fraudulently filed federal tax returns. The potential maximum penalty for each count of theft of public money is 10 years in prison.
The final four counts of the indictment allege aggravated identity theft. These counts allege Pilkey possessed and used the identification of another person to commit a felony – in this case, theft of government money. Each identity theft count has a potential minimum-mandatory sentence of two years in prison. The sentence would be served consecutive to any other sentence imposed in the case.
Pilkey will be issued a summons to appearance in federal court.
An indictment is not a finding of guilt. Individuals charged in an indictment are presumed innocent unless or until proven guilty in court.
Assistant U.S. Attorney Richard W. Daynes is prosecuting the case. Special agents of IRS Criminal Investigation are investigating the case.
Ute Tribal Member Pleads Guilty to Voluntary Manslaughter on Uintah and Ouray Tribal LandsRead the Press Release
SALT LAKE CITY – Trent Sowsonicut, age 28, of Ft. Duchesne, Utah, pleaded guilty to voluntary manslaughter Monday afternoon in federal court in Salt Lake City. As a part of the plea agreement, Sowsonicut admitted that he killed L.M., an enrolled member of the Ute Indian Tribe, during a quarrel within the boundaries of the Uintah and Ouray Reservation.
Sowsonicut, who is also a tribal member, admitted that on Aug. 13, 2016, he went to L.M.’s residence to confront L.M. He said he brought a loaded shotgun into the residence and shot L.M. in the leg during a quarrel in L.M.’s bedroom. L.M. died as a result of the gunshot. Sowsonicut admitted he acted recklessly and with extreme disregard for human life when he brought the loaded shotgun into L.M,’s bedroom.
First responders arrived at the victim’s residence in Gusher, Utah, about 1:07 a.m. on Aug. 13, 2016, after receiving a 911 call saying that L.M. was a victim of a shooting at the residence. First responders attempted to stabilize the victim and eventually took him to the hospital. Acting on information provided during the investigation, FBI agents and Uintah County Search and Rescue officers found the loaded shotgun in the river beneath the Randlett Bridge.
A federal grand jury indicted Sowsonicut in January 2017 on charges of second degree murder and use and discharge of a firearm during a crime of violence. He entered his guilty plea to a Felony Information filed Friday charging him with voluntary manslaughter.
The plea agreement includes a stipulated sentence of 78 months in federal prison, to be followed by 36 months of supervised release. The sentence is subject to the approval of the court. U.S. District Judge David Sam set sentencing in the case for March 15, 2018, at 2:30 p.m.
Agents and officers with the FBI, the Bureau of Indian Affairs, and the Ute tribal police participated in the investigation of the case. Assistant U.S. Attorneys Stephen L. Nelson and Michael J. Thorpe of the U.S. Attorney’s Office are prosecuting the case.
Midvale Man Indicted on Charges He Conveyed False Threats to Kill, Injure, or Intimidate Individuals; Also Threatened President Trump During Visit to UtahRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned an 11-count indictment Wednesday afternoon charging Travis Luke Dominguez, age 33, of Midvale, Utah, with threats against the President, threats to injure others, and conveying false information.
The South Jordan Police Department and the FBI’s JTTF are investigating the case with substantial assistance from the Unified Police Department (UPD).
The indictment charges five counts of maliciously conveying false information in connection with the defendant’s use of the internet to convey false information concerning alleged attempts to kill, injure, and intimidate individuals at locations in South Jordan, Midvale, and Sandy. A South Jordan movie theater complex, a South Jordan bank, and a Midvale business were targets of the alleged threats in November and December. The indictment charges that in each incident, the defendant knew that the threat he was conveying was false.
Two counts in the indictment charge Dominguez with threats to take the life of President Trump while he was in Utah on Dec. 4, 2017. The indictment also includes a count alleging Dominguez transmitted a communication via internet to the Unified Police Department’s web tip line threatening to injure another. Specifically, the communication included a threat to injure police officers if they tried to stop him from killing the President.
In addition to the threat to injure another associated with the President’s visit, there are three additional counts alleging the defendant used the UPD web tip line to transmit threats to injure another. The indictment alleges that on Dec. 16, Dec. 24, and Sunday (Dec. 31), the defendant transmitted threats to injure individuals at a movie complex in South Jordan. Sunday’s communication included a threat to harm police officers responding to the scene.
The threats generally involved an active shooter situation or the use of explosives.
Following the Sunday threat, Dominguez was observed in the area of the theater. A vehicle stop was executed by South Jordan police officers and he was taken into custody. Each count of the indictment carries a potential penalty of 10 years in federal prison.
An indictment is not a finding of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Assistant U.S. Attorney Mark K. Vincent in the U.S. Attorney’s Office is prosecuting the case.
North Ogden Woman Pleads Guilty to Mail Fraud, Tax Evasion; Admits She Embezzled $843,673 from Her EmployerRead the Press Release
SALT LAKE CITY -- Hailey Keele, age 35, of North Ogden, pleaded guilty to one count of mail fraud and one count of tax evasion in federal court Wednesday afternoon in connection with a $843,673 embezzlement scheme at the business where she worked.
In court documents filed Wednesday, Keele admitted that from July 2006 through about November 2014, the company she worked for gave her access to its online American Express credit card account. She prepared checks drawn on her employer’s bank account to American Express and presented the checks to the company’s business manager for signature. She did this under the pretense the checks would be used to pay the company’s American Express account.
Keele admitted she did not disclose that the company’s American Express account would be fully paid by automatic online payments she set up using her online access. She also did not tell the company that she intended to use the checks to American Express for payments for her personal American Express account. Relying on her representations and omissions, the business manager signed the checks. She admitted she used the funds to pay for personal expenses and sometimes withdrew the funds in the form of cash advances, gift cards, and credit balance refund checks from American Express.
As a part of a plea agreement reached with federal prosecutors, Keele admitted she committed mail fraud in furtherance of the scheme when she contacted American Express in August 2012 to request a credit balance refund check of $36,681.15. She received the check by mail. The tax evasion conviction involves tax returns she filed for tax year 2014. According to the plea agreement, Keele knew that she had obtained significant income through her fraud scheme. However, she did not report or pay taxes on any of the $377,789 in income she obtained in 2014 through the scheme. The total amount of income tax due on the unreported income was $100,300.
U.S. District Judge Dee Benson set sentencing in the case for Feb. 21, 2018, at 2 p.m. The potential maximum penalty for the mail fraud conviction is 20 years in federal prison. The tax evasion count has a potential penalty of five years in prison. She also agreed to forfeit all property acquired or traceable to her criminal conduct, including as money judgment of $843.673.
Special agents of IRS-Criminal Investigation investigated the case. Assistant U.S. Attorneys Carl D. LeSueur and Kevin L. Sundwall of the U.S. Attorney’s Office are prosecuting the case.
Cuch Pleads Guilty to Assault on a Federal Officer and Possession of a Firearm Following a Felony ConvictionRead the Press Release
SALT LAKE CITY -- Jarvis Charlie Cuch, age 28, of Ft. Duchesne, pleaded guilty to assault on a federal officer and possession of a firearm after a felony conviction in U.S. District Court Monday afternoon. The plea agreement includes a stipulated 12-year sentence, subject to the Court’s approval.
As a part of stipulated facts included in the plea agreement, Cuch agreed that on Dec. 18, 2016, Bureau of Indian Affairs (BIA) police officers working in Ft. Duchesne attempted to initiate a traffic stop on a vehicle he was driving. Cuch fled from the BIA officers. As the officers continued their pursuit, Cuch admitted he reached out of the vehicle window and fired two rounds from a .40 caliber semi-automatic pistol, according to the plea agreement.
The pursuit went from Ft. Duchesne through Vernal City. Vernal City police officers and Uintah County Sheriff’s Office deputies assisted the BIA in apprehending Cuch after his tires were spiked and his car came to a stop in Vernal.
He admitted that he forcibly assaulted, resisted, intimidated, and interfered with the BIA officers while they were engaged in the performance of their official duties. He also admitted that in discharging the firearm during the incident, he violated a federal law related to using a firearm during and in relation to a crime of violence.
Cuch, a convicted felon, was prohibited under federal law from possessing a firearm.
The plea agreement also includes a stipulation that Cuch will serve 60 months of supervised release when he finishes his prison sentence. U.S. District Judge Dale A. Kimball set a sentencing hearing for Feb. 20, 2018, at 2:30 p.m.
Cuch was on escape status with federal authorities when the December 2016 incident with the BIA officers occurred. U.S. District Judge Tena Campbell sentenced Cuch to 30 months in federal prison in August 2015 for a firearms violation. The sentence was to be followed by 36 months of supervised release. The U.S. Bureau of Prisons transferred Cuch to a halfway house in Salt Lake City on Aug. 31, 2016, pending his release on Jan. 27, 2017. Cuch was placed on escape status on Sept. 26, 2016, when he left the halfway house without permission.
Special agents of the FBI investigated the case. Assistant U.S. Attorneys Isaac Workman and Michael Thorpe in the U.S. Attorney’s Office prosecuted the case. Federal prosecutors acknowledged the important contributions of Vernal police officers and Uintah County Sheriff’s Office deputies for their assistance in stopping Cuch’s car and assisting with his arrest after his assault on the federal officers.
Settlement Reached in Significant Drug Diversion CaseRead the Press Release
SALT LAKE CITY – In what is believed to be the largest settlement of its kind in Utah involving allegations of drug diversion, Intermountain Healthcare has agreed to pay the United States $1 million to resolve allegations that lax controls enabled a former employee to divert controlled substances for personal use.
U.S. Attorney John W. Huber and U.S. Drug Enforcement Administration (DEA) District Agent in Charge Brian S. Besser announced the settlement Friday morning.
In conjunction with the monetary settlement, IHC has implemented a comprehensive corrective action plan to prevent, identify, and address future diversions. The settlement is not an admission of liability by Intermountain Healthcare.
“Under the law, healthcare networks such as IHC have a responsibility to ensure that controlled substances are used for patient care and are not diverted for non-medical purposes,” Huber said. “Diversion of these drugs feeds addiction, contributes to potential illegal drug sales, and fuels the opioid epidemic that has had a devastating effect on Utah and the rest of the country. We commend IHC for addressing its diversion problem and for taking steps to ameliorate future diversion by IHC personnel,” Huber said.
The settlement relates to civil claims arising from a diversion of controlled substances at a clinic and pharmacy in the Ogden area. Specifically, the United States contends that from September 2007 through March 2015, a diversion of controlled substances occurred at the clinic under DEA registration numbers for a physician and pharmacy.
A DEA investigation found that a former medical assistant of a doctor at the clinic used the physician’s DEA registration number to issue prescriptions to herself and two family members, including prescriptions for Oxycodone, Diazepam, Phentermine and Hydrocodone.
“With the burgeoning opioid epidemic sweeping across the country and the great State of Utah, the DEA takes very seriously its responsibility to ensure the public’s safety in regard
to the proper prescribing and dispensing of highly-addictive controlled substances made available to our communities through the healthcare industry. DEA is committed to investigating any instances involving the unlawful diversion of powerful synthetic opioids with which many Utahan’s woefully begin their cycle of drug addiction,” Besser said today.
The United States contends, for example, that 244 prescriptions of Oxycodone 30 mg tablets (46,616 pills) were issued without a legitimate medical purpose and not in the course of the doctor’s professional practice. Another 151 prescriptions for controlled substances, totaling 11,430 pills, w ere also issued. The pharmacy filled each of the prescriptions, which were picked up by the former medical assistant. The physician and the pharmacy shared equal responsibility for ensuring the proper prescribing and dispensing of the controlled substances, the United States contends.
The Affirmative Civil Enforcement Division in the United States Attorney’s Office handled the civil action.Utah Business Owner Sentenced to Four Years in Prison for Illegally Dealing Firearms and Filing Fraudulent Tax ReturnsRead the Press Release
SALT LAKE CITY – A Salt Lake City, Utah, man was sentenced to four years in prison Thursday for dealing in firearms without a license and filing fraudulent tax returns, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg, of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to documents and evidence presented to the court, Adam Michael Webber reached an agreement with the United States in 2007 that barred him from applying for a federal firearms license or engaging in the business of dealing firearms. Between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence.
Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70-pound silver bar, silver coins, and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from the sale of illegal firearms and his firearm parts business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
In addition to the term of prison imposed, U.S. District Court Judge Dee Benson ordered Webber to serve three years of supervised release. Webber paid $1,817,887.05 in restitution to the Internal Revenue Service prior to sentencing. He was ordered to pay a $100,000 fine. A jury convicted Webber of the tax offenses in September 2016. He later pleaded guilty to the firearms count. He agreed to forfeit more than 300 seized firearms.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber commended special agents of ATF, IRS Criminal Investigation and Homeland Security, who conducted the investigation, and AUSAs Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.Utah Business Owner Sentenced to Four Years in Prison for Illegally Dealing Firearms and Filing Fraudulent Tax ReturnsRead the Press Release
A Salt Lake City, Utah, man was sentenced to 4 years in prison today for dealing in firearms without a license and filing fraudulent tax returns, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg, of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to documents and evidence presented to the court, Adam Michael Webber reached an agreement with the United States in 2007 that barred him from applying for a federal firearms license or engaging in the business of dealing firearms. Between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70 pound silver bar, silver coins, and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from the sale of illegal firearms and his firearm parts business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
In addition to the term of prison imposed, U.S. District Court Judge Dee Benson ordered Webber to serve three years of supervised release. Webber paid $1,817,887.05 in restitution to the Internal Revenue Service prior to sentencing, and he was ordered to pay a $100,000 fine. Webber was convicted by a jury of the tax offenses in September 2016 and later pleaded guilty to the firearms count. He agreed to forfeit more than 300 seized firearms.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber commended special agents of ATF, IRS Criminal Investigation and Homeland Security, who conducted the investigation, and AUSAs Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Attorney General Jeff Sessions Appoints Utah U.S. Attorney John W. Huber to Leadership Position as Member of the Attorney’s General’s Advisory CommitteeRead the Press Release
WASHINGTON, D.C. -- Attorney General Jeff Sessions today announced the appointment of nine new U.S. Attorneys to serve two-year terms on the Attorney General’s Advisory Committee of U.S. Attorneys (AGAC). Utah U.S. Attorney John W. Huber will serve as the Vice Chair of the AGAC.
U.S. Attorney Richard Moore of the Southern District of Alabama will Chair the AGAC.
The AGAC was created in 1973 and reports to the Attorney General through the Deputy Attorney General. The AGAC represents U.S. Attorneys around the country and provides advice and counsel to the Attorney General on matters of policy, procedure, and management impacting the Offices of the U.S. Attorneys.
“I am pleased to announce the first members of the Attorney General’s Advisory Committee under this administration. These U.S. Attorneys will play an important role in carrying out the Department of Justice’s mission to reduce violent crime, combat transnational criminal organizations, secure our southern border, end the devastating opioid crisis, and return to the rule of law,” said Attorney General Sessions.
“I am deeply honored to be asked to serve as an advisor to Attorney General Sessions and Deputy Attorney General Rosenstein. These men are leaders of the highest caliber and are deeply committed to serving our great nation. This appointment will give Utah an important voice in Department of Justice initiatives and priorities,” Huber said today.
Other new appointees include U.S. Attorney for the District of Columbia Jessie K. Liu; U.S. Attorney for the Northern District of Ohio Justin E. Herdman; U.S. Attorney for the Eastern District of North Carolina Robert Higdon; U.S. Attorney for the Northern District of Oklahoma Robert Trent Shores; U.S. Attorney for the Southern District of Indiana Joshua Minkler; U.S. Attorney for the Eastern District of Missouri Jeff Jensen; and Acting U.S. Attorney for the District of Alaska Bryan Schroder.
A brief bio on each nominee is below:
Richard Moore (Chair)
The Senate confirmed Richard Moore’s appointment as United States Attorney for the Southern District of Alabama in September 2017. Prior to this appointment, Mr. Moore served as the Inspector General for the Tennessee Valley Authority. From May 2009 to March 2011, Mr. Moore was the Chairman of the Investigations Committee for the Council of Inspectors General on Integrity and Efficiency. Prior to this position, Mr. Moore served as an Assistant United States Attorney for the Southern District of Alabama from 1985 to 2003. From 1997 to 1998, Mr. Moore was an Atlantic Fellow in Public Policy at Oxford University in England. Mr. Moore received his B.S., summa cum laude, from Spring Hill College and his J.D. from the Samford University Cumberland School of Law.
John W. Huber (Vice Chair)
John Huber has served as the United States Attorney for the District of Utah since 2015, and in August 2017, the Senate again confirmed his appointment. Prior to being United States Attorney, Mr. Huber served as an Assistant United States Attorney for 13 years. Mr. Huber began his prosecutorial career in the Weber County (Utah) Attorney’s Office, and later served as the Chief Prosecutor for West Valley City, Utah, before joining the United States Attorney’s Office in 2002. Mr. Huber received his B.A. from the University of Utah and his J.D. from the University of Utah College of Law.
Justin E. Herdman
The Senate confirmed Justin Herdman’s appointment as United States Attorney for the Northern District of Ohio in August 2017. Prior to this appointment, Mr. Herdman was a partner at Jones Day and an Assistant United States Attorney in Cleveland, Ohio. Mr. Herdman previously served as an Assistant District Attorney in New York City from 2001 to 2005 and as an associate at Vorys, Sater, Seymour and Pease, LLP. He is currently a Judge Advocate General in the United States Air Force Reserve. Mr. Herdman received his B.A. from Ohio University, his Master of Philosophy from the University of Glasgow and his J.D. from Harvard Law School.
Robert Higdon
The Senate confirmed Robert Higdon to be United States Attorney for the Eastern District of North Carolina in October 2017. Prior to this appointment, Mr. Higdon was a partner at the law firm of Williams Mullen. He previously served as an Assistant United States Attorney in both the Western and Eastern Districts of North Carolina. In the Eastern District U.S. Attorney’s Office, Mr. Higdon served as Chief of the Criminal Division for more than 11 years. Mr. Higdon also served as senior trial counsel in the Public Integrity Section of the Department of Justice. He received his B.A., cum laude, from Wake Forest University and his J.D. from Wake Forest University School of Law.
Jeff Jensen
The Senate confirmed Jeff Jensen to be United States Attorney for the Eastern District of Missouri in October 2017. Prior to this appointment, Mr. Jensen was a partner at Husch Blackwell LLP. He served as an Assistant United States Attorney in the Eastern District of Missouri starting in 1999, and was Executive United States Attorney from 2005 to 2009. Prior to joining the U.S. Attorney’s Office, Mr. Jensen was an FBI Special Agent from 1989 to 1999. While working at the FBI, Mr. Jensen attended St. Louis University School of Law at night, graduating magna cum laude. He also received his B.A., cum laude, from Indiana University School of Business.
Jessie K. Liu
The Senate confirmed Jessie Liu to be United States Attorney for the District of Columbia in September 2017. Ms. Liu was previously Deputy General Counsel for the United States Department of the Treasury and a partner at the law firms of Morrison & Foerster LLP and Jenner & Block LLP. In addition, she has served as an Assistant United States Attorney in the District of Columbia and in several senior positions in the United States Department of Justice, including as Deputy Assistant Attorney General in the Civil Rights Division, counsel to the Deputy Attorney General, and deputy chief of staff for the National Security Division. Ms. Liu clerked for then-Chief Judge Carolyn Dineen King of the United States Court of Appeals for the Fifth Circuit. She received her A.B., summa cum laude, from Harvard University and her J.D. from Yale Law School.
Joshua Minkler
The Senate confirmed Joshua Minkler to be United States Attorney for the Southern District of Indiana in October 2017. Since June 2015, Mr. Minkler had served as the interim United States Attorney for the Southern District of Indiana. Prior to that position, he served for 21 years as an Assistant United States Attorney in the Southern District of Indiana. Before he joined the U.S. Attorney’s Office, Mr. Minkler served for five years as an assistant prosecuting attorney in the Office of the Kent County Michigan Prosecuting Attorney. Mr. Minkler received his B.A. from Wabash College, and his J.D. from Indiana University Maurer School of Law.
Bryan Schroder
Bryan Schroder’s nomination to be United States Attorney for the District of Alaska is pending in the Senate. Mr. Schroder is currently the Acting United States Attorney for the District of Alaska, and previously served as the First Assistant United States Attorney and Criminal Chief. Mr. Schroder has served in the U.S. Attorney’s Office for more than 11 years. Mr. Schroder is a retired Captain in the U.S. Coast Guard, having served for 24 years. Mr. Schroder graduated from the U.S. Coast Guard Academy and the University of Washington School of Law.
Robert Trent Shores
The Senate confirmed Robert Trent Shores to be United States Attorney for the Northern District of Oklahoma in September 2017. Prior to this appointment, Mr. Shores was an Assistant United States Attorney in the Northern District of Oklahoma. Mr. Shores previously served as First Assistant Attorney General for the State of Oklahoma and deputy director for the Department of Justice’s Office of Tribal Justice, where he developed initiatives to promote public safety in Indian Country. Mr. Shores received his undergraduate degree from Vanderbilt University and his J.D. from the University of Oklahoma College of Law.
Cocaine, Methamphetamine Trafficker Sentenced to 262 Months in Federal PrisonRead the Press Release
SALT LAKE CITY -- Guillermo Lopez-Casillas, age 37, of Compton, Calif., will serve 262 months in federal prison for possession of methamphetamine and possession of cocaine with intent to distribute. U.S. District Judge Jill N. Parrish imposed the sentence Monday afternoon in U.S. District Court.
A jury deliberated for just a few hours before finding Lopez-Casillas guilty on both counts following a two-day trial in June.
“Drug trafficking organizations regularly travel along Utah roadways to deliver their poison to Utah neighborhoods and points beyond,” observed Utah U.S. Attorney John W. Huber. “The Utah Highway Patrol is one of the top law enforcement agencies in the nation in detecting and interdicting large shipments of narcotics. As partners, we will continue to doggedly pursue those who exploit addictions for profit,” Huber said.
In addition to the UHP, DEA and the Utah State Bureau of Investigations contributed to the investigation of the case.
In August 2015, a Utah Highway Patrol trooper stopped Lopez-Casillas on 1-70 in southern Utah for a traffic violation. The defendant told the trooper he did not have a driver’s license because it had been suspended for a DUI. After speaking with Lopez-Casillas and his juvenile passenger and observing their conduct, the trooper became suspicious that they were involved in criminal activity. Lopez-Casillas gave the trooper permission to search the car. The trooper found 1,009.5 grams of cocaine and 646.7 grams of methamphetamine. Both individuals were arrested.
The sentencing guideline range for the drug convictions was 262 to 327 months. Federal prosecutors argued for a 300-month sentence. In a sentencing memorandum filed with the court, prosecutors said the defendant was trafficking significant quantities of methamphetamine and cocaine. Prosecutors were also concerned that the defendant involved a juvenile in his drug trafficking activities.
Lopez-Casillas has a prominent gang affiliation and a lengthy history of criminal activity, including prior narcotics trafficking offenses, violent crimes, and possession and use firearms.
Judge Parrish ordered Lopez-Casillas to serve five years of supervised release when he completes his federal prison sentence. Among other standard conditions of supervised release, the judge ordered special conditions including prohibiting contact with any member or associate of a street gang or prison gang and prohibited Lopez-Casillas from possessing material which gives evidence of gang involvement or activity. He also cannot receive new tattoos associated with gangs or wear clothing identified with gangs.
The juvenile in the car with Lopez-Casillas was not prosecuted in federal court.
Statement on U.S. v KoerberRead the Press Release
“After a thorough review and careful consideration, we notified the Court today that the United States intends to retry its case against Mr. Koerber. We have asked U.S. District Judge Robert J. Shelby to set a status conference at which time the United States will request a firm date for retrial.
“On October 16, 2017, the Court dismissed the jury in the first trial after they were unable to reach a unanimous verdict. Since that time, a number of jurors have volunteered their perspectives relating to their jury service in this matter. Based upon what we learned from these candid and informative discussions, and based upon the serious crimes alleged and unresolved, the United States will move forward with this case. Immediately following the first trial, there were defense assertions that an overwhelming number of jurors were in favor of acquittal. Based upon the information volunteered to our office, those claims appear to have no merit.
“While we recognize the cost, time, and energy it will take to retry this case, it is the right thing to do. In a case where investors entrusted approximately $100 million to the defendant, of which well over $50 million was redistributed to other investors, a jury should reach a unanimous verdict as to the defendant’s culpability, or lack thereof. For either party and for our broader community, justice demands the finality of a unanimous jury verdict.”
U.S. Attorney John W. Huber
Former Carbon County Emergency Services Director Sentenced to Six Months in Prison after Conviction for Using County Credit Card for Personal UseRead the Press Release
SALT LAKE CITY – Jason Thomas Llewelyn, age 46, of Helper, Utah, who pleaded guilty to one count of misprision of a felony in July, will serve six months in prison. U.S. District Judge David Nuffer imposed the sentence Monday in Salt Lake City.
Llewelyn, who was working as the Carbon County Emergency Services Director at the time of the criminal conduct, admitted in court documents that he used a county credit card to purchase items for his personal use. He had a county credit card to make purchases for various agencies within Carbon County. Llewelyn is also a former Carbon County Deputy Sheriff.
Judge Nuffer also ordered Llewelyn to pay $64,723.03 in restitution to Carbon County. He will also serve 12 months of supervised release after he completes his prison sentence.
“Civil servants are held to high standards of professionalism and integrity, and when they hold to those standards they deserve the public’s trust. When a civil servant violates that trust with criminal intent, the resulting offense is very serious regardless of the dollar amounts involved. A six-month sentence in federal prison fairly reflects the seriousness of the offense in this matter,” U.S. Attorney John W. Huber said today.
In July of 2015, law enforcement officers discovered that Llewelyn had used his county credit card to purchase several parts for boat repairs. Following an initial investigation, a search warrant was executed at his houseboat where officers located items.
The Carbon County Sheriff’s Office and the FBI participated in the investigation of the case.
As a part of a plea agreement reached with federal prosecutors, Llewelyn admitted he took an affirmative step to conceal the crime by making it appear the purchases were for the county when he knew the purchases were for his own personal use. He also admitted knowing Carbon County did not authorize the purchases.
A federal grand jury returned an indictment charging Llewelyn with theft concerning programs receiving federal funds in November 2015. The indictment alleged Llewelyn used county funds to purchase hundreds of items for his houseboat and other personal interests. He pleaded guilty to a Felony Information charging him with misprision of a felony as a part of his plea agreement.
Utah Financial Advisor Pleads Guilty to Tax Evasion, Securities Fraud and Wire FraudRead the Press Release
SALT LAKE CITY – A St. George, Utah, financial advisor pleaded guilty Monday afternoon to his role in selling fraudulent tax-avoidance and investment strategies to his clients, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to documents and information provided to the court, Henry Brock, pleaded guilty to tax evasion, securities fraud and wire fraud. Brock founded a financial services company in 2009 and served as the president from 2009 through 2017. As President, he marketed and sold a fraudulent tax scheme, called “IRA Exit Strategy,” to potential investors. Brock promised investors that he could provide a way for them to avoid paying taxes on IRA withdrawals, which would otherwise be subject to Internal Revenue Service (IRS) penalties and taxes. To implement his scheme, Brock caused his business to issue tax forms to his clients falsely representing that they were investors in his business who incurred losses, which served to offset the clients’ tax liabilities. As a result, Brock caused clients to file fraudulent income tax returns claiming a total of approximately $3.8 million in bogus business losses and resulting in a tax loss of over $1.1 million.
During this period, Brock fraudulently raised more than $10.8 million in investments by making false representations to investors regarding the “IRA Exit Strategy,” the financial condition of his company and other matters. On at least one occasion, Brock also transferred $196,323 of a client’s investment funds and used the money for his own personal and business expenses.
Sentencing is scheduled for March 5, 2018, before U.S. District Court Judge Ted Stewart. Brock faces a statutory maximum sentence of five years in prison for tax evasion, 20 years in prison for securities fraud and 20 years in prison for wire fraud. He also faces a period of supervised release, restitution, and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation and the Utah Division of Securities, who conducted the investigation, and AUSA Trina Higgins and Trial Attorney Matthew Hoffman of the Tax Division, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Utah Financial Advisor Pleads Guilty to Tax Evasion, Securities Fraud and Wire FraudRead the Press Release
A St. George, Utah, financial advisor pleaded guilty today to his role in selling fraudulent tax-avoidance and investment strategies to his clients, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to documents and information provided to the court, Henry Brock, pleaded guilty to tax evasion, securities fraud and wire fraud. Brock founded a financial services company in 2009 and served as the president from 2009 through 2017. As President, he marketed and sold a fraudulent tax scheme, called “IRA Exit Strategy,” to potential investors. Brock promised investors that he could provide a way for them to avoid paying taxes on IRA withdrawals, which would otherwise be subject to Internal Revenue Service (IRS) penalties and taxes. To implement his scheme, Brock caused his business to issue tax forms to his clients falsely representing that they were investors in his business who incurred losses, which served to offset the clients’ tax liabilities. As a result, Brock caused clients to file fraudulent income tax returns claiming a total of approximately $3.8 million in bogus business losses and resulting in a tax loss of over $1.1 million.
During this period, Brock fraudulently raised over $10.8 million in investments by making false representations to investors regarding the “IRA Exit Strategy,” the financial condition of his company and other matters. On at least one occasion, Brock also transferred $196,323 of a client’s investment funds and used the money for his own personal and business expenses.
Sentencing is scheduled for March 5, 2018 before U.S. District Court Judge Ted Stewart. Brock faces a statutory maximum sentence of five years in prison for tax evasion, 20 years in prison for securities fraud and 20 years in prison for wire fraud. He also faces a period of supervised release, restitution, and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation and the Utah Division of Securities, who conducted the investigation, and AUSA Trina Higgins and Trial Attorney Matthew Hoffman of the Tax Division, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Complaint Filed Seeking A Civil Injunction Against Group Calling Itself the Uinta Valley Shoshone TribeRead the Press Release
SALT LAKE CITY -- The U.S. Attorney’s Office in Salt Lake City filed a civil complaint Wednesday morning against a group that calls itself the “Uinta Valley Shoshone Tribe (UVST)” and three of its officers seeking an injunction to stop what the United States believes to be wire fraud.
The law allows the United States to seek a civil injunction to stop wire fraud while it is conducting further investigations. The United States seeks to enjoin the defendants from selling hunting and fishing licenses that purportedly give hunters and anglers the right to hunt and fish on the Uintah and Ouray Reservation. The Ute Tribe is the only tribal entity authorized to issue hunting and fishing licenses within the reservation. The Uinta Valley Shoshone Tribe is not recognized by the United States and has no legal authority over the lands or resources within the Uintah and Ouray Reservation.
Named in the complaint against the UVST are Dora Van, chairwoman; Ramona Harris, director; and Leo LeBaron, wildlife director; and others who are working in active concert with the defendants to issue and use hunting and fishing licenses on Ute Tribal land over which the UVST has no jurisdiction. The Ute Tribe has not delegated any of its authority over fish and wildlife to the defendants in the case.
According to the complaint, in late September 2016, Ute Fish and Wildlife officers and Utah Division of Wildlife Resources officers began receiving information regarding the UVST selling hunting and fishing licenses for their purported members’ use in taking wildlife from Ute Tribal Trust Lands of the Uintah and Ouray Reservation. UVST sells these licenses for $25, the complaint alleges. On the license application form, the defendants list a website and an email address for the UVST, and falsely state that the UVST is “a Federal Corporation d/b/a the ‘Ute Indian Tribe” of the Uinta and Ouray Reservations, Utah.” Some of those who have obtained licenses from UVST have used them to take deer, elk, and fish from the Ute Tribal Lands. The defendants have erected “No Trespass” signs on Ute Tribal Trust Lands and, according to the complaint, informed those who buy licenses that the Ute Tribal Trust Lands actually belong to the UVST and no entity can prevent licensees from hunting or fishing on those lands.
The civil action filed today asks the federal court to declare that the defendants have engaged in wire fraud by selling the licenses, preliminarily and permanently enjoin the defendants from selling or issuing hunting and fishing licenses, declare that the UVST hunting and fishing licenses that have been issued are null and void, preliminarily and permanently enjoin the use of licenses that have been issued, and award any other relief that the Court deems appropriate.
Utah Federal, State and Local Government Officials Join Forces to Educate Investors on How to Avoid FraudRead the Press Release
SALT LAKE CITY -- In a new, collaborative effort, Utah federal, state and local government officials established the Financial Fraud Institute and will hold a multi-agency seminar designed to educate Utah investors and consumers on how to recognize and avoid financial and consumer fraud, announced U.S. Securities and Exchange Commission Regional Director Richard R. Best and U.S. Attorney for the District of Utah John W. Huber.
The free seminar is open to the public and will be held in St. George on Nov 2. Follow us on Twitter at #StopFraudUtah.
Officials from the U.S. Securities and Exchange Commission, U.S. Attorney’s Office, Utah Attorney General’s Office, Financial Industry Regulatory Authority (FINRA), Utah Division of Securities, Utah Division of Consumer Protection, FBI, IRS and the Washington County Attorney’s office will participate in the seminar.
John Huber, United States Attorney for the District of Utah, will be the keynote speaker at the seminar. This is the third in a series of seminars as a part of the Financial Fraud Institute initiative.
The seminar will provide information on key questions to ask before making investment decisions, where to find free and unbiased information, how to spot financial scams, and how to report suspected fraud.
WHO: National and local experts from federal and state law enforcement and financial regulatory agencies
WHAT: Financial Fraud Institute Seminars to educate investors and consumers on how to recognize and avoid fraud
WHEN: November 2, 2017
4:00 p.m. – 7:00 p.m. (
See agenda here )WHERE: The Dixie Center
1835 Convention Center Drive
St. George, UT
Those interested in attending the seminar must register at: www.utfraud.com, or call 801-579-6191. For more information, visit www.utfraud.com.
The seminar is open to the press. Press interested in attending the event should contact Melodie Rydalch of the Utah U.S. Attorney’s Office on 801-243-6475 or [email protected].
Attorney General Jeff Sessions Announces Reinvigoration of Project Safe Neighborhoods Program to Reduce Rising Tide of Violent CrimeRead the Press Release
SALT LAKE CITY – Attorney General Jeff Sessions announced a reinvigoration of Project Safe Neighborhoods Thursday morning, a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. John W. Huber, U.S. Attorney in Utah, joined Attorney General Sessions at a roundtable discussion at the Department of Justice in Washington, D.C., Thursday morning as a part of the PSN announcement.
"According to the FBI, the violent crime rate has risen by nearly 7 percent over the past two years, and the homicide rate has risen by more than 20 percent. We cannot be complacent or hope that this is just an anomaly: we have a duty to take action,” Attorney General Sessions said in a statement today.
“Fortunately, we have a President who understands that and has directed his administration to reduce crime. The Department of Justice today announces the foundation of our plan to reduce crime: prioritizing Project Safe Neighborhoods, a program that has been proven to work.
“Let me be clear – Project Safe Neighborhoods is not just one policy idea among many. This is the centerpiece of our crime reduction strategy,” the Attorney General said.
The Attorney General has issued a memo directing United States Attorneys to implement an enhanced violent crime reduction program that incorporates the lessons learned since Project Safe Neighborhoods launched in 2001. The announcement of a reinvigoration of the PSN program is one of several actions the Department of Justice will be taking to reduce the rising tide of violent crime in the country.
News of a new nationwide commitment to Project Safe Neighborhoods is welcome news at the U.S. Attorney’s Office in Utah. Federal prosecutors in Utah, working together with local, state, and federal law enforcement partners, built a strong PSN program more than 15 years ago and the collaborative effort has continued through the years.
“Project Safe Neighborhoods has been the most effective program for taking on violent crime in Utah for more than 15 years. It is comprehensive and collaborative. The Attorney General is wise to reinvigorate this project,” Huber said. “We will use the Attorney General’s announcement as a springboard to energize and refocus our efforts to keep Utah communities safe.”Local, state, and federal partners involved in the Utah PSN initiative have contributed to the federal indictment of 3,501 armed offenders.
“Project Safe Neighborhoods has been one of the most successful law enforcement initiatives we have seen in Utah,” Utah Department of Public Safety Commissioner Keith Squires said Thursday. “It has been an effective tool in both urban and rural communities of our state as local, state, and federal law enforcement agencies and prosecutors work together to target those violent criminals who disrupt the safety of our communities.”“During my long career in law enforcement, the Utah PSN program and the partnerships it has created made a significant difference in reducing violent crime and saving lives,” Larry Marx, former commander of the Utah PSN Task Force and a long-time police officer in Utah, said Thursday. “PSN provides law enforcement officers with a tool to reduce gun violence by criminals, gang members, and those who commit acts of domestic violence. Using existing federal gun laws, those who use firearms to commit crimes are convicted and sent to jail.”
Recent PSN case examples include:
Jonah Robinson, who was indicted in March 2017 and pleaded guilty to felon in possession of a firearm and possession of child pornography, has agreed to an 80-month prison sentence for sending a Snapchat of himself pointing a gun at four police officer and stating that for “15 snapshots I’ll shoot every last one.” Robinson is associated with the Kearns Town Bloods gang. Sentencing in the case is Nov. 13, 2017, at 2 p.m. before U.S. District Judge David Nuffer.
Jarvis Cuch, who has a previous PSN conviction, was indicted in March 2017 after escaping from a halfway house. The indictment allege he fired shots at BIA officers during an attempted traffic stop. He is charged with felon in possession of a firearm and ammunition, assault on a federal officer, and discharging a firearm during and in relation to a crime of violence.
Utah Chiropractor Sentenced to Prison for Tax Evasion and Obstructing the IRSRead the Press Release
SALT LAKE CITY – A former Orem, Utah, chiropractor, who also owned a health care products business, was sentenced to 33 months in prison for tax evasion and corruptly endeavoring to obstruct the internal revenue laws in U.S. District Court in Salt Lake City Monday afternoon. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah announced the sentence.
Louis Hansen, 65, was convicted following a jury trial in July. According to documents submitted to the court and evidence presented at trial, Hansen attempted to evade the payment of his federal income taxes for the years 2005, 2006, 2007 and 2010. For the years 2005, 2006 and 2010, Hansen filed a tax return reporting that he owed taxes, but did not fully pay the amounts due. Hansen’s 2007 return was audited and additional taxes assessed.
In March 2012, Hansen sent a check to the Internal Revenue Service (IRS) in the amount of $342,699 that was drawn on a closed bank account held in the name of another individual, and claimed that the check paid off his tax debt. Hansen then sent a signed letter to the revenue officer assigned to collect his unpaid taxes, claiming that he had paid the taxes owed. A few months later, Hansen sent 10 additional checks all in the amount of $425,000, to at least six IRS locations, all drawn on another closed account in the name of a different individual, claiming to pay the back taxes due.
In addition to the term of prison imposed, U.S. District Court Judge Clark Waddoups sentenced Hansen to serve three years of supervised release and ordered him to pay restitution to the IRS in the amount of $342,699.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Kevin L. Sundwall and Assistant Chief Andrew Kameros of the Tax Division, who prosecuted the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Utah Chiropractor Sentenced to Prison for Tax Evasion and Obstructing the IRSRead the Press Release
An Orem, Utah former chiropractor, who also owned a health care products business, was sentenced to 33 months in prison for tax evasion and corruptly endeavoring to obstruct the internal revenue laws, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
Louis Hansen, 65, was convicted following a jury trial in July. According to documents submitted to the court and evidence presented at trial, Hansen attempted to evade the payment of his federal income taxes for the years 2005, 2006, 2007 and 2010. For the years 2005, 2006 and 2010, Hansen filed a tax return reporting that he owed taxes, but did not fully pay the amounts due. For 2007, Hansen’s return was audited and additional taxes assessed. In March 2012, Hansen sent a check to the Internal Revenue Service (IRS) in the amount of $342,699 that was drawn on a closed bank account held in the name of another individual, and claimed that the check paid off his tax debt. Hansen then sent a signed letter to the revenue officer assigned to collect his unpaid taxes, claiming that he had paid the taxes owed. A few months later, Hansen sent 10 additional checks all in the amount of $425,000, to at least six IRS locations, all drawn on another closed account in the name of a different individual, claiming to pay the back taxes due.
In addition to the term of prison imposed, U.S. District Court Judge Clark Waddoups sentenced Hansen to serve three years of supervised release and to pay restitution to the IRS in the amount of $342,699.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Kevin L. Sundwall and Assistant Chief Andrew Kameros of the Tax Division, who prosecuted the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Man Charged with Hate Crime for Using Stun Cane During Racially-Motivated Assault of Neighbor in UtahRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned an indictment charging Mark Porter, age 58, a former resident of Draper, Utah, with using force and the threat of force to injure, intimidate, and interfere with an African-American man because of his race after moving in nearby. The indictment, returned by the grand jury Wednesday, was unsealed Friday morning.
Announcing the charges Friday are John Gore, Acting Assistant Attorney General for the Civil Rights Division; John W. Huber, United States Attorney for the District of Utah; and Eric Barnhart, Special Agent in Charge for the Salt Lake City Field Office of the Federal Bureau of Investigation.
The indictment alleges that Mark Porter shouted racial slurs at the victim and his 7-year-old son, and then struck the victim with a stun cane. The indictment further alleges that the stun cane is a dangerous weapon, and that the victim suffered bodily injury.
An indictment is merely an allegation, and the defendant is presumed innocent unless and until proven guilty. If convicted on the civil rights charge, Porter faces a maximum sentence of 10 years in prison and a $250,000 fine. He was arrested on the charge in Arizona and will have an appearance in federal court in Arizona.
The case is being investigated by the FBI’s Salt Lake City Field Office. Assistant U.S. Attorney J. Drew Yeates of the United States Attorney’s Office and Trial Attorney Rose E. Gibson of the Civil Rights Division’s Criminal Section are prosecuting the case.
Former Utah CEO Pleads Guilty to Tax EvasionRead the Press Release
A former CEO of a Salt Lake City, Utah company pleaded guilty yesterday to tax evasion, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to documents filed with the court, Peter Nordberg, 61, of Alameda, California, was the Chief Executive Officer of Max International, a company that produces and markets nutritional supplements directly and through independent associates and distributors. As an employee of Max International, Nordberg earned a salary and commissions equal to a percentage of sales. Nordberg caused Max International to pay his bonus income to a nominee entity he established, and used a bank account in the name of the nominee entity to pay personal expenses. Nordberg concealed the bonus income and nominee entity from his return preparer and filed false tax returns with the Internal Revenue Service (IRS) that underreported his income. He admitted to causing a tax loss of approximately $275,000.
Sentencing is scheduled for Nov. 30 before U.S. District Court Judge Benson. Nordberg faces a statutory maximum sentence of five years in prison. He also faces a period of supervised release, restitution, and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Matthew Hoffman and Assistant U.S. Attorney Ruth Hackford-Peer, who are prosecuting the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Man Charged with Two July Credit Union Robberies; Recently Finished Serving Sentence for Eight Other RobberiesRead the Press Release
SALT LAKE CITY – A federal grand jury returned an indictment Wednesday morning charging Jeremy Van Duren, age 43, of West Jordan, with robberies of two Salt Lake County credit unions in July.
The indictment alleges Van Duren committed a July 17, 2017, robbery of Deseret First Credit Union in Murray and a July 25, 2017, robbery of Chartway Federal Credit Union in West Jordan.
This is Van Duren’s second trip to federal court on bank robbery charges. He was charged with 16 bank robberies in an indictment returned in March 2004. He pleaded guilty to eight of the robberies in June 2004 and was sentenced to 130 months in federal prison in September 2004. He was ordered to pay almost $60,000 in restitution to the banks. His sentence also included 36 months of supervised release at the end of the sentence. (There is no parole in the federal criminal justice system.) He later served an additional 14 months in custody for violations of his supervised release.
Several law enforcement agencies were involved in a coordinated effort to bring Van Duren into custody in connection with the recent credit union robberies, including the Murray and West Jordan Police Departments and the FBI’s Violent Crimes Task Force.
Following the first robbery, detectives with the Murray Police Department were able to use surveillance video from the area to identify a male they believed was involved in the robbery as well as the car they believed was used in the robbery. As law enforcement officers continued the investigation, they developed information they were able to use to arrest Van Duren shortly after the second robbery was committed.
An initial appearance will be scheduled for Van Duren in U.S. District Court. He faces up to 20 years in federal prison for each of the two counts in the indictment. An indictment is not a finding of guilt. Individuals charged in an indictment are presumed innocent unless or until they are proven guilty in court.
Salt Lake City Man Sentenced to 330 Months in Federal Prison for Distribution of Child PornographyRead the Press Release
SALT LAKE CITY – Donald Ray Fritcher, age 36, of Salt Lake City, will spend 330 months in federal prison after pleading guilty to distribution of child pornography. U.S. District Judge Dale A. Kimball, who imposed the sentence, also placed Fritcher on supervised release for life when he finishes his federal prison sentence. There is no parole in the federal criminal justice system.
“Protecting vulnerable victims is one of the highest priorities in my office. In Utah, we cannot, and will not, tolerate the exploitation of children. he significant sentence imposed in this case will help protect children in Utah communities from a dangerous predator,” U.S. Attorney John W. Huber said today.
As a part of a plea agreement reached with federal prosecutors, Fritcher admitted that between about July 1, 2015, and April 2016, he shared, through a file sharing program, images and videos of child pornography. These images included depictions of prepubescent and minor children posing in various stages of undress and in sexually explicit poses. He further stipulated that the images also depicted the sexual abuse of minor children. Fritcher had more than 600 images and videos in his possession. Included in the images were pictures taken by Fritcher of two minor victims.
Fritcher, a registered sex offender in Utah, has two previous state convictions for attempted sex abuse of a child. According to the indictment filed in the case, the pictures of the two minors were taken subsequent to his convictions in state court.
Federal authorities arrested Fritcher in Utah in May 2016. His arrest followed an investigation conducted by special agents of Homeland Security Investigations in Salt Lake City and Philadelphia working in collaboration with an investigator with the Royal Canadian Mounted Police. The Utah agent is a member of the Utah Internet Crimes Against Children Task Force and the FBI’s Child Exploitation Task Force.
"HSI takes very seriously our responsibility to rescue victims of child pornography, including the two victims in this case who no longer have to endure this abuse," said John Eisert, Acting Special Special Agent in Charge of HSI Denver. "Donald Fritcher's prison sentence sends a clear message to criminals like him who abuse our children: we will find you and we will bring you to justice.”
Fritcher was charged with production of child pornography and possession of child pornography in an indictment returned by a federal grand jury in May 2016. He pleaded guilty to a felony information in February 2017 charging his with distribution of child pornography.
Former Carbon County Emergency Services Director Pleads Guilty to Using County Credit Card for Personal UseRead the Press Release
SALT LAKE CITY – A sentencing date has been scheduled for a former Carbon County Deputy Sheriff who admitted during a hearing in federal court Wednesday that he used a county credit card to purchase items for his personal use.
Jason Thomas Llewelyn, age 46, of Helper, Utah, who pleaded guilty to one count of misprision of a felony, will be sentenced Sept. 18, 2017, at 3:30 p.m. by U.S. District Judge David Nuffer. Llewelyn was working as the Carbon County Emergency Services Director at the time of the criminal conduct. He had a county credit card to make purchases for various agencies within Carbon County.
In July of 2015, law enforcement officers discovered that Llewelyn had used his county credit card to purchase several parts for boat repairs. Following an initial investigation, a search warrant was executed at his houseboat where officers located items.
The Carbon County Sheriff’s Office and the FBI participated in the investigation of the case.
As a part of a plea agreement reached with federal prosecutors, Llewelyn admitted he took an affirmative step to conceal the crime by making it appear the purchases were for the county when he knew the purchases were for his own personal use. He also admitted knowing Carbon County did not authorize the purchases.
The plea agreement includes an agreement that Llewelyn will pay $64,723.03 in restitution to Carbon County.
A federal grand jury returned an indictment charging Llewelyn with theft concerning programs receiving federal funds in November 2015. The indictment alleged Llewelyn used county funds to purchase hundreds of items for his houseboat and other personal interests. He pleaded guilty to a Felony Information filed Wednesday as a part of his change of plea hearing.
The potential maximum penalty for the misprision of a felony conviction is up to three years in federal prison and a fine of $250,000. As a part of the plea agreement, federal prosecutors will recommend Llewelyn be sentenced at the low end of the federal sentencing guideline range as determined by the court and that he receive credit for acceptance of responsibility. The sentencing guideline range will be determined as a part of the sentencing hearing in September.
US v Neilson IndictmentRead the Press Release
Neilson IndictmentUtah Chiropractor Convicted of Tax Evasion and Obstructing the IRSRead the Press Release
SALT LAKE CITY – An Orem, Utah former chiropractor, who also owned a health care products business, was convicted of tax evasion and corruptly endeavoring to obstruct the internal revenue laws, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to evidence presented at trial, Louis Hansen, 65, attempted to evade the payment of his federal income taxes for the years 2005, 2006, 2007 and 2010. For the years 2005, 2006 and 2010, Hansen filed a tax return reporting that he owed taxes, but did not fully pay the amounts due. For 2007, Hansen’s return was audited and additional taxes assessed. In March 2012, Hansen sent a check to the Internal Revenue Service (IRS) in the amount of $342,699 that was drawn on a closed bank account held in the name of another individual, and claimed that the check paid off his tax debt. Hansen then sent a signed letter to the revenue officer assigned to collect his unpaid taxes, claiming that he had paid the taxes owed. A few months later, Hansen sent 10 additional checks all in the amount of $425,000, to at least six IRS locations, all drawn on another closed account in the name of a different individual, claiming to pay the back taxes due.
The jury returned the guilty verdicts Tuesday afternoon.
Hansen is scheduled to be sentenced before U.S. District Judge Clark Waddoups at 3 p.m. on Sept. 25, 2017. He faces a statutory maximum sentence of five years in prison for tax evasion and three years in prison for obstructing the IRS. Hansen also faces a period of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Kevin L. Sundwall and Assistant Chief Andrew Kameros of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.Utah Chiropractor Convicted of Tax Evasion and Obstructing the IRSRead the Press Release
An Orem, Utah former chiropractor, who also owned a health care products business, was convicted of tax evasion and corruptly endeavoring to obstruct the internal revenue laws, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.
According to evidence presented at trial, Louis Hansen, 65, attempted to evade the payment of his federal income taxes for the years 2005, 2006, 2007 and 2010. For the years 2005, 2006 and 2010, Hansen filed a tax return reporting that he owed taxes, but did not fully pay the amounts due. For 2007, Hansen’s return was audited and additional taxes assessed. In March 2012, Hansen sent a check to the Internal Revenue Service (IRS) in the amount of $342,699 that was drawn on a closed bank account held in the name of another individual, and claimed that the check paid off his tax debt. Hansen then sent a signed letter to the revenue officer assigned to collect his unpaid taxes, claiming that he had paid the taxes owed. A few months later, Hansen sent 10 additional checks all in the amount of $425,000, to at least six IRS locations, all drawn on another closed account in the name of a different individual, claiming to pay the back taxes due.
Hansen is scheduled to be sentenced before U.S. District Judge Clark Waddoups on Sept 25. He faces a statutory maximum sentence of five years in prison for tax evasion and three years in prison for obstructing the IRS. Hansen also faces a period of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Kevin L. Sundwall and Assistant Chief Andrew Kameros of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Harrison Pleads Guilty to Carjacking, Kidnapping; Crimes Resulted in the Death of another PersonRead the Press Release
SALT LAKE CITY – Dereck James Harrison, age 23, currently incarcerated at the Utah State Prison, pleaded guilty to one count of carjacking and one count of kidnapping in U.S. District Court in Salt Lake City Thursday afternoon. The two crimes resulted in the March 12, 2016, death of an individual identified in charging documents as K.P.R. U.S. District Judge Robert J. Shelby sentenced Harrison to life in federal prison following the convictions.
Harrison, who was charged by Felony Information in June, was arraigned on the charges contained in the Information earlier Thursday afternoon by U.S. Magistrate Judge Brooke C. Wells.
As a part of the plea hearing, Harrison stipulated to facts describing his conduct during the carjacking and kidnapping. He admitted that on May 12, 2016, he and his father, Flint Harrison, took a truck from K.R.R., an employee of the Utah Transit Authority, after violently assaulting the victim. He further admitted that when he and his father took the truck, his father intended to cause serious bodily harm or death to K.P.R. Harrison admitted he aided and abetted his father in the assault.
Harrison admitted that after carjacking the truck, he and his father abducted K.P.R. and transported him across state lines from Salt Lake City to Wyoming, where Harrison admitted that K.P.R. was killed by his father. Harrison again admitted that he aided and abetted his father in killing K.P.R.
Federal prosecutors had concurrent jurisdiction in the case with Salt Lake County, Utah, and Lincoln County, Wyoming. As a part of the plea agreement federal prosecutors reached with Harrison, they agreed to recommend Harrison’s federal sentence run concurrently with the sentence he received in Wyoming and one he is currently serving as a result of a conviction in Utah’s Second Judicial Court in Farmington. Harrison will finish the sentence he is currently serving at the Utah State Prison before being transferred to Wyoming or federal prison.
“The crimes of carjacking and kidnapping committed in this case are very serious federal crimes. The victim, killed during the commission of these crimes, was a resident of Utah. The crimes occurred in Salt Lake County. Although Harrison was prosecuted in Wyoming, it was important to my office and the Salt Lake District Attorney’s Office that Utah’s interests in this case be vindicated. This guilty plea and the mandatory life sentence imposed resolve Utah’s interest. We have done our part to hold Mr. Harrison accountable for his actions in Utah,” U.S. Attorney John W. Huber said today.
“We also had a strong federal interest in the case because it involved the extensive use of federal investigative resources, including resources of the FBI and the U.S. Marshals Service,” Huber said.
Statement by U.S. Attorney John W. Huber on Kate’s Law and the No Sanctuary for Criminals ActRead the Press Release
Today, at the White House press briefing, U.S. Attorney John W. Huber gave the following statement:
“Just last month, a Utah federal judge issued a sentence of life plus 80 years to Roberto Roman, a criminal alien who had been removed from our country three times prior to 2010. Those three deportations, and even time in state prison, were not enough to dissuade Roman from returning to rural Utah where he trafficked methamphetamine to addicted residents.
“In 2010, Millard County Utah's first female deputy sheriff, Josie Greathouse Fox was working with her partners to curtail drug dealing in the wide open spaces of rural Utah. She intercepted Roman on dark, lonely highway in his big Cadillac. Roman is an amoral criminal, and he had no intention of complying with U.S. Law. Without warning or remorse, he gunned down Deputy Fox with an AK-47 style semi-automatic rifle and left her to die in the middle of the road on a frigid January night.
“In 2011, in a different case, another Utah federal judge sentenced three MS-13 gang members to 15 years each for their role in a Mexican cartel marijuana farm in the pristine Dixie National Forest of Southern Utah. These thugs had been recruited to provide operational security for the illegal farm and were in possession of multiple firearms in connection with the drug operation. Although Utah has not suffered violence at the hands of MS-13 like California and states here in the east, we see its influence creeping ever closer. Even still, other transnational gangs (Nortenos and Surenos) and drug trafficking organizations do have an outsized impact on public safety in Utah and the mountain west.
“I am a career prosecutor and I am beginning my third year as a United States Attorney -- which makes me one of the longest tenured US Attorneys presently serving. Both as a line prosecutor and as a lead prosecutor, I have dutifully served under both Democrat and Republican administrations. Utah perennially leads interior districts in criminal alien prosecutions where we charge and convict hundreds of criminal aliens each year (average 300 in 2015, 2016, and projected 2017) who ignore our laws and re-enter our country unlawfully over and over again. To be clear, these are criminals with Rap sheets as long as their arms in many cases: violent criminals, drug traffickers, gang members, domestic violence abusers, child exploiters and human traffickers.
“From my perspective in the presumptively safe mountain enclave of Utah, criminal aliens significantly impact our quality of life by exposing our nation to an unwarranted risk of violent crime. If it’s a problem in Utah (40% of Utah's cases), it’s a problem nation wide. Law enforcement officers and prosecutors need more tools and unfettered coordination to address the challenge.
“This pending legislation -- "Kate's Law" and the "No Sanctuary for Criminals Act" -- advance the ball for law enforcement in keeping our communities safe. The laws, if passed, would give officers and prosecutors more tools to protect the law-abiding public.
“Stiffer penalties for re-entry offenders make sense. The status quo is just not deterring the criminals from returning. (As an example --- Just today, in Salt Lake City, my office initiated one more prosecution in what is projected to be over 300 federal felony cases by year end against criminal aliens. This defendant's record indicates that he has been convicted 4 times for drug trafficking and 2 times for unlawfully re-entering the United States after deportation. Well, he's back in Utah and this year he was arrested once again for drug trafficking). "Kate's Law" enhances our ability to stem the tide of criminals who seem to almost always return to victimize us.
“Removing unnatural impediments between local and federal law enforcement will enable the coordination we need in this country to keep our neighborhoods safe. The priority for public safety overrides so-called sanctuary policies when those two are matched against one another. The "No Sanctuary for Criminals" bill will help law enforcement partners work together for our safety, as we expect them to do. Criminal aliens don't need encouragement to reside in any of our beautiful cities. Rather, these drug trafficker and gang member aliens need handcuffs and removal. Law enforcement professionals are very good at what they do -- we should not impede them from doing their excellent work in keeping us safe.”
Statement on Filing of Federal Carjacking, Kidnapping Charges Against Harrison in UTA CaseRead the Press Release
SALT LAKE CITY -- An Information charging Dereck James Harrison with one count of carjacking and one count of kidnapping was filed late Friday afternoon in U.S. District Court in Salt Lake City.
Count 1 of the indictment alleges Harrison took by force, violence and intimidation, and with intent to cause death or serious bodily harm, a 2013 Ford F150 pickup from a person identified as K.P.R. in the Information. The Information further alleges the May 12, 2016, carjacking resulted in the death of K.P.R.
Count 2 charges Harrison with the May 12, 2016, kidnapping of K.P.R. The indictment alleges Harrison took the victim from Utah to Wyoming and, according to the Information, the kidnapping resulted in the death of K.P.R.
The potential sentence for the charges in the Information is mandatory life in prison. An Information is not a finding of guilt. Individuals charged in an Information are presumed innocent unless proven guilty in court.
The District of Utah has concurrent jurisdiction in this case with Salt Lake County, Utah, and Lincoln County, Wyoming. Although Harrison is being prosecuted in Lincoln County, federal prosecutors believe Utah’s interests in the case have yet to be vindicated.
The victim was a resident of Utah. The crimes alleged in the Information filed Friday occurred in Salt Lake County, Utah. In consultation with the Salt Lake District Attorney’s Office, a decision was made to represent Salt Lake County and the District of Utah’s interests by proceeding with a federal prosecution of Harrison. The FBI and the U.S. Marshals Service have been actively involved in the investigation of this case since the alleged crimes occurred.
Drug Trafficking Organization Faces Indictment for Involvment in Manufacturing Fake Prescriptions Drugs with FentanylRead the Press Release
SALT LAKE CITY – A federal grand jury returned a superseding indictment Wednesday morning charging six individuals in what the indictment alleges is an international drug trafficking organization involved in manufacturing fake prescription drugs made from Fentanyl. Hundreds of thousands of the fake pills were then distributed throughout Utah and the United States to customers who had ordered pills from their dark net online store.
Charged in the indictment are Aaron Michael Shamo, age 27, of Cottonwood Heights, Utah; Drew Wilson Crandall, age 30, of Brisbane, Australia; Alexandrya Marie Tonge, age 25, and Katherine Lauren Ann Bustin, age 26, both of South Jordan; and Mario Anthony Noble, age 28, and Sean Michael Gygi, age 27, both of Midvale.
Announcing today’s indictment are U.S. Attorney John W. Huber, DEA District Agent in Charge Brian S. Besser, Homeland Security Investigations Special Agent in Charge John Eisert, IRS Criminal Investigation Special Agent in Charge Tara Sullivan, FDA Office of Criminal Investigations Special Agent in Charge Spencer E. Morrison, and Jared Bingham, U.S. Postal Inspector and Team Leader for the Salt Lake City Postal Inspection Service.
According to documents filed in federal court, the organization began with Aaron Michael Shamo and Drew Wilson Crandall, but grew to include other co-conspirators. Shamo and Crandall, according to court records, purchased pill presses, dies and stamps to mark pills so the markings would match those of legitimate pharmaceutical drugs, and inert pill ingredients, such as binding agents and colors. Some items were purchased legally and others, such as Fentanyl and Alprazolam, were imported into the United States illegally, including from China. To avoid detection, Shamo and Crandall had many of their supplies shipped to nominees or straw purchasers.
The ingredients were then be pressed into pills that had the appearance of legitimate pharmaceuticals. The fake Oxycodone-type pills and the counterfeit Alprazolam tablets were sold on the dark net at a significant profit. Once sold, Shamo and Crandall used the co-conspirators to package the pills and ship them to customers. According to documents filed in court, the enterprise sold hundreds of thousands of pills in Utah and throughout the United States.
The indictment alleges that Shamo, working in concert with at least five other people, occupied a position of principal administrator, organizer, supervisor and leader of a continuing criminal enterprise, which involved possession with intent to distribute and distribution of more than 12,000 grams of a mixture and substance containing a detectable amount of Fentanyl, a controlled substance. The indictment further alleges that Shamo obtained substantial income and resources through the continuing series of violations. Count 1 of the indictment charges Shamo with knowingly and intentionally engaging in a continuing criminal enterprise.
Counts 2 through 9 and count 12 of the indictment charge various defendants in the case with alleged violations of federal law committed as predicate acts in support of the continuing criminal enterprise. The counts include conspiracy to distribute Fentanyl, conspiracy to distribute Alprazolam, aiding and abetting the importation of a controlled substance, possession of Fentanyl with intent to distribute, manufacture of Alprazolam, and use of the United States mail in furtherance of as drug trafficking offense.
Counts 10 and 11 of the indictment charge Shamo with knowing and intentional adulteration of drugs held for sale. The counts allege Shamo manufactured round blue tablets and offered those tables for sale on the internet as “Oxycodone 30 mg.” Count 10 alleges the tablets were debossed with “A 215” on the bisected side. Count 11 alleges the tablets were manufactured with an “” on one side and a “30” above the bisect on the other side. Such markings mimick the markings of legitimate Oxycodone tablets. Despite those representations, the indictment alleges the defendants did not use Oxycodone at all in the manufacturing process, but instead, substituted Fentanyl, a much more potent synthetic opioid. The indictment alleges the adulteration had a reasonable probability of causing serious adverse health consequences or death to humans.
The final three counts of the indictment allege conspiracy to commit money laundering, money laundering concealment and engaging in monetary transactions in property derived from specified unlawful activities. The indictment also includes a notice seeking criminal forfeiture of currency, automobiles, a pill press, and a variety of pill dies and punches used as a part of the alleged criminal enterprise.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless or until proven guilty in court.
Because of the volume of drugs involved in the case, Shamo faces mandatory life in prison if convicted of Count 1. The potential maximum penalty for Count 2 in the indictment, conspiracy to distribute Fentanyl, is life in prison with a mandatory minimum 10 years and a $10 million fine. The potential penalty for Count 3, conspiracy to distribute Alprazolam, is five years and a fine of $250,000. Count 4 and Count 6, aiding and abetting the importation of a controlled substance (Fentanyl) have potential penalties of 40 years with a mandatory minimum five years and a $5 million fine. The potential penalty for Count 5, aiding and abetting the importation of a controlled substance (Alprazolam) is five years and a fine of $250,000. Counts 7 and 8, possession of Fentanyl with intent to distribute, have potential penalties of life in prison with a mandatory minimum 10 years and a $10 million fine. Count 9, manufacture of Alprazolam, has a potential penalty of five years sand a fine of $250,000. The potential maximum penalty for Count 10 and 11, knowing and intentional adulteration of drugs while held for sale, is up to 20 years and a fine of $1 million. Count 12, use of the U.S. mail in furtherance of a drug trafficking offense, has a potential penalty of four years and a $250,000 fine. Money laundering Counts 13 and 14 have 20-year potential maximum penalties and fines of $250,000. The final count of the indictment, engaging in monetary transactions in property derived from specified unlawful activity, has a potential penalty of 10 years and a fine of $250,000.
Shamo was arrested on a federal complaint filed in November 2016 and remains in custody. Crandall was arrested in Hawaii on a federal complaint earlier this month. A summons will be issued to Tonge, Bustin, Noble and Gygi for initial appearances in federal court.
Assistant U.S. Attorney Vernon Stejskal and Special Assistant U.S. Attorney Michael Gadd are prosecuting the case. Special agents of Homeland Security Investigations, the DEA, IRS Criminal Investigation, FDA Office of Criminal Investigations, and U.S. Postal Inspectors are investigating the case.
Grand Jury Returns Indictment Charging 24 Individuals with Conspiracy to Distribute Methamphetamine; Indictment Follows Joint Investigations Targeting Drugs, GangsRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned a 13-count indictment Wednesday afternoon charging 24 individuals with conspiracy to distribute 500 grams or more of methamphetamine following joint Organized Crime Drug Enforcement Task Force operations conducted by the FBI’s Safe Streets Task Force and the DEA.
U.S. Attorney John W. Huber, DEA District Agent in Charge Brian S. Besser and FBI Special Agent in Charge Eric K. Barnhart announced the indictment Friday morning.
Assisting with the investigations were the Salt Lake City, West Valley City, Sandy, and West Jordan police departments and the Utah Department of Public Safety, who participate as members of the FBI’s Safe Street Task Force; the Unified Police Department and the Metro Gang Unit; the Murray Police Department, the U.S. Marshals, the ATF, and ICE Enforcement and Removal Operations.
The indictment also includes four counts of possession of methamphetamine with intent to distribute, four counts of distribution of methamphetamine, three counts of felon in possession of a firearm, and one count of possession of an unregistered firearm. Law enforcement officers seized 41 pounds of methamphetamine during the investigation and 17 firearms, including 13 firearms and assorted ammunition from one defendant who is prohibited under federal law from possessing a firearm after a felony conviction.Charged in the indictment are Raul Enrique Lizarraga Lopez (aka Maestro), Silvio McKenzie-Gainza, Cesar Gutierrez, Melissa Delgado, Ciro Santamaria-Zepeda, Makasini Lomu (aka Maka), Siosifina Ositamani (aka Fina Halai), Sompheth Thaodara (aka Diamond), Michael Shane Tisdale, David Tyson Madden, Man Tat Le (aka Asian Le), Gary Bronson Dean (aka Gary Dean Bronson), Timote Fangupo (aka Double Barrel), Mario Cerna (aka Havoc), Morgan Harris (aka Ace), Brandon Callaway, Cerina Gutierrez, Jon Martinez (aka Droopy), Greg Montoya, Jake Duran (aka Troublez), Jeremy Najera, Justin Dahlquist, Linda Sosa, and Steven Trujillo. (See the attached sheet for specific information on each defendant.)
Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.
Two complaints were filed in the case prior to the return of this week’s indictment leading to the arrest of 18 of the defendants. Federal arrest warrants have been issued for Delgado, Santamaria-Zepeda, Fangupo, Cerna, Harris, and Najera, but they are not in federal custody at this time. Fangupo is in state custody on unrelated charges. Seventeen of those arrested remain in custody. Sosa has been released on supervised release conditions.
The first complaint, U.S. v McKenzie-Gainza, et al, involves an extensive strategic investigation by the FBI’s Safe Streets Task Force. Over the course of the investigation, agents acquired evidence establishing what the charges allege was a large-scale methamphetamine distribution organization in Salt Lake County. Through court-authorized investigative techniques, agents identified the distributors of multiple-pound quantities of methamphetamine. Agents learned that these distributors had a source of supply in California, and that they were expecting a large delivery of methamphetamine over the weekend of May 12-13, 2017.
The second complaint, U.S. v Calloway, et al, involves of a number of undercover narcotics purchases within a strategic investigation by the DEA and local law enforcement partner agencies. During this long-term investigation, agents purchased approximately 4 ¼ pounds of methamphetamine from several individuals in and around Salt Lake City. Through exhaustive analysis of evidence acquired with court authorization, agents determined the extent of the methamphetamine distribution conspiracy and identified numerous individuals as part of that conspiracy. Subsequently, agents also learned that these individuals were being supplied by the same California narcotics source as those involved in the FBI investigation.
At that point, these two separate efforts merged into one large-scale conspiracy investigation conducted by both the FBI and the DEA and their partners. During the weekend of May 12-15, 2017, agents and law enforcement officers executed a number of federal search warrants resulting in the seizure of 38 pounds of methamphetamine and 17 firearms.
Sentencing Set for Orem Man who Pleaded Guilty to Possession of Firearm Following Felony ConvictionRead the Press Release
SALT LAKE CITY – Deny De La Cruz Rodriguez, age 23, of Orem, who pleaded guilty Thursday to possession of a firearm and ammunition following a felony conviction, will be sentenced July 27, 2017, at 1:30 p.m. by U.S. District Chief Judge David Nuffer.
In a statement filed in court as a part of his plea agreement, De La Cruz Rodriguez admitted that because of a previous felony conviction for attempted robbery in California, he was prohibited under federal law from possessing a firearm.
On Oct. 25, 2016, law enforcement officers in Orem obtained a warrant to search a house where a gun, used in an Oct. 20, 2016 confrontation between two rival gangs at Orem High School, was believed to have been taken. During the confrontation, an individual pulled out a pistol and fired it in the direction of a rival before all parties left the scene, according to a document filed in state court in Utah County. No one was injured. Another individual has been charged in state court in connection with the firing of the gun during the incident.
When officers executed the warrant on the residence, they encountered De La Cruz Rodriguez and another family member. In the bedroom, where De La Cruz Rodriguez was located, officers recovered a loaded pistol between the bed mattress and the box spring. The pistol had been reported as stolen in Millard County. Law enforcement officers also noted several places in the bedroom where Florencia 13 was tagged, along with the defendant’s gang moniker, “Dreamer.” Florencia 13 was one of the gangs involved in the confrontation at Orem High, along with members of Norteños 13.
“No good will come from an armed gang member who is prohibited from lawfully possessing a firearm,” U.S. Attorney John W. Huber said today. “We are seeing increases in the violent crime rate in our state and in other places around the country. Targeting gang members with firearms is an important way to fight back against violent crime and ensure Utah communities remain safe for all of us.”
De La Cruz Rodriguez faces up to 10 years in federal prison for the firearms conviction.
The case is being prosecuted by Assistant U.S. Attorney Isaac C. Workman and Deputy Utah County Attorney Lance E. Bastian, who is designated as a Special Assistant U.S. Attorney. The Orem Police Department, the Utah County Major Crimes Task Force and the special agents of Homeland Security Investigations have been involved in investigating the case.
Roman Sentenced to Life Plus 80 Years in Prison Following Conviction for Killing Local Law Enforcement Officer Engaged in Performance of Official DutiesRead the Press Release
SALT LAKE CITY – Roberto Miramontes Roman, 44, an armed drug dealer who boasted he would kill a law enforcement officer to stay out of jail, will serve life plus 80 years in federal prison for killing a deputy sheriff in Millard County during a traffic stop in 2010 . U.S. District Chief Judge David Nuffer imposed the sentence Thursday morning in Salt Lake City. Roman was in the country illegally. He reentered the country illegally after having been previously convicted of felony drug offenses and deported.
“Deputy Sheriff Fox sacrificed her life trying to keep our country safe, and we must never forget that. I am grateful to the investigators and prosecutors who brought her killer to justice no matter how long it took. This case also demonstrates that we must enforce the rule of law along our southwest border, and confront the scourge of drug trafficking,” said Attorney General Jeff Sessions. “During this National Police Week, and every day of the year, we must continue to stand behind our brave law enforcement officers, who do a dangerous job day in and day out.”
“An illegal-alien drug dealer, who killed a deputy sheriff to avoid prosecution for federal offenses, is a threat to our communities that cannot be overstated,” U.S. Attorney John W. Huber said. “The United States Attorney’s Office will use every resource at our disposal to protect and deliver justice for those who honorably serve as law enforcement officers in our state. These crimes clearly merit the lifetime of imprisonment imposed by Chief Judge Nuffer today, and will ensure this defendant will never again have the opportunity to victimize our communities. Deputy Josie Greathouse Fox faithfully and bravely performed her law enforcement duties. During this National Police Week and always, may we remember her and others like her who have offered the ultimate sacrifice on our behalf.”
“Several organizations worked tirelessly to achieve justice for Deputy Fox. It is immensely satisfying to know that ATF could help put her killer behind bars for the remainder of his life,” said ATF Special Agent in Charge Debora Livingston. “Although today’s sentence cannot possibly fill the hole left by Deputy Josie Fox’s senseless death, I sincerely wish her family, friends, and colleague can find peace and resolution going forward.”
“The sentencing today of Roberto Roman for the murder of Josie Greathouse Fox and related crimes comes at the end of a taxing seven-year journey. Throughout all of these years, our thoughts have never turned from her, her family, or her community. None of us will ever be completely the same,” Millard County Sheriff Robert Dekker said. “First and foremost, we recognize this justice as justice served for Josie. We are extremely grateful to the United States Attorney’s Office and the federal prosecution team that so diligently chose to task themselves with this labor of respect and professionalism. The long-sought closing of this chapter now provides for more peaceful recollections of our time together with Josie. She will never be forgotten.”
Millard County Deputy Sheriff Josie Greathouse Fox stopped Roman on a rural road in Millard County for suspicion of drug trafficking on Jan. 5, 2010. He had just sold methamphetamine and was armed with a handgun and a semi-automatic rifle. To avoid apprehension, Roman shot and killed Deputy Fox. She is the first female law enforcement officer in Utah to be killed in the line of duty.
A federal grand jury returned an 11-count indictment in September 2013 charging Roman with three drug trafficking crimes, intentionally killing a local law enforcement officer to avoid apprehension for a felony drug crime, one count of possession of a firearm in furtherance of a drug trafficking offense, two counts of carrying a firearm during and in relation to a drug trafficking offense, and one count of use, carry and discharge of a firearm during and in relation to a crime of violence. Roman was also charged with possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation.
Prior to trial, Roman elected to plead guilty to possession of firearms by a restricted person, possession of firearms by a person unlawfully in the United States and illegally reentering the country after a previous deportation. A jury found him guilty of the remaining eight counts following a trial earlier this year.
Roman faced a guideline range of life imprisonment for intentionally killing a local law enforcement officer engaged in the performance of her official duties. He also faced consecutive mandatory minimum sentences totaling 80 years for the four charges involving possession of or carrying a firearm in furtherance of a drug trafficking offense and use, carry, and discharge of a firearm during and in relation to a crime of violence. Based on the aggravating circumstances of this case, federal prosecutors recommended Chief Judge Nuffer impose the maximum sentence authorized by law.
Federal prosecutors in the U.S. Attorney’s Office in Salt Lake City prosecuted the case. The case was investigated by the Utah County Sheriff’s Office and special agents of the ATF. The Millard County Sheriff’s Office also contributed to the investigation.
Alleged Bank Robbers Face Federal Indictments; Edmunds Charged with Seven Robberies,Read the Press Release
SALT LAKE CITY – A federal grand jury returned two indictments Wednesday afternoon charging two individuals with recent alleged robberies of banks and credit unions in Salt Lake, Utah, and Davis counties.
Bret Michael Edmunds, age 41, of Salt Lake City is charged with seven counts of bank robbery for a string note-job robberies between February and April in Salt Lake and Utah counties.
The indictment alleges Edmunds committed the following robberies:
Feb. 8, 2017, robbery of Jordan Credit Union in Midvale
Feb. 23, 2017, robbery of Zions Bank in Midvale
Mar. 1, 2017, robbery of Washington Federal Bank in Salt Lake City
Mar. 14, 2017, robbery of US Bank in Salt Lake City
Mar. 28, 2017, robbery of Zions Bank in Draper
April 3, 2017, robbery of Utah First Credit Union in Provo
April 13, 2017, robbery of University Federal Credit Union in HolladayEdmunds faces up to 20 years in federal prison for each robbery count. The case is being
investigated by the FBI’s Violent Crime Task Force, including the FBI, the Unified Police Department and the Salt Lake City Police Department. Other local agencies in Salt Lake and Utah County assisted with initial responses to the bank robberies.Kevin Dean Rasband, age 30, of Layton, Utah, is charged in a four-count indictment with a Feb, 2017, robbery of Goldenwest Credit Union in Kaysville and a March 29, 2017, robbery of Utah First Federal Credit Union in Farmington. Rasband also faces two counts of brandishing a firearm in relation to a crime of violence for allegedly using a firearm during both robberies.
Rasband faces up to 20 years in prison for each robbery count. In addition to the robbery counts, Rasband faces a mandatory-minimum seven years for the first firearm charge and an additional 25 years for the second firearm count for a total of 32 years. A conviction on the gun counts would run consecutive to any sentence imposed for a conviction on the robbery counts. The case is being investigated by the FBI, the Farmington Police Department, and the Kaysville Police Department.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless or until proven guilty beyond a reasonable doubt in a court of law.
Federal arrest warrants will be issued for Edmunds and Rasband. The cases are being prosecuted by the U.S. Attorney’s Office in Utah.
Grand Jury Returns Indictment Charging Woman with Attempt to Commit MurderRead the Press Release
SALT LAKE CITY – A federal grand jury in Salt Lake City returned a two-count indictment Wednesday charging Shawna Marie Chapman, age 30, with attempt to commit murder and assault resulting in serious bodily injury. The indictment was unsealed Friday afternoon following Chapman’s arrest and initial court appearance. Chapman was residing with her husband, a member of the U.S. Armed Forces, at Hill Air Force Base.
United States Attorney for Utah John W. Huber, Acting Assistant Attorney General Kenneth A. Blanco of the Justice Department’s Criminal Division, Special Agent in Charge Eric K. Barnhart of the FBI’s Salt Lake City Field Office, Assistant Director in Charge Andrew Vale of the FBI’s Washington Field Office, and Colonel Shan B. Nuckols of the Air Force Office of Special Investigations, 5th Field Investigations Region, Ramstein Air Base, Germany, announced the indictment Friday.
The indictment alleges that on Feb. 10, 2016, Chapman attempted to murder an 11-month-old child by stabbing her in the abdomen and arm with a knife. The indictment alleges the assault resulted in serious bodily injury to the child. The indictment further alleges that Chapman committed the offense while accompanying a U.S. military service member in Spain. The conduct alleged in the indictment falls within the venue of the United States District Court for the District of Utah since the last known residence for the defendant is Hill Air Force Base, Utah, according to the indictment.
Chapman entered a plea of not guilty to both counts in the indictment at the initial appearance Friday afternoon before U.S. Magistrate Judge Paul M. Warner. Magistrate Warner appointed attorneys from the Federal Public Defenders Office to represent her. A five-day jury trial will begin June 26, 2017, in U.S. District Judge David Sam’s courtroom. Federal prosecutors sought detention for Chapman pending trial. After hearing argument on the issue, Magistrate Warner released Chapman from custody with standard and special conditions of release, including reporting to pretrial services as ordered, maintaining base housing with notification to pretrial services if housing arrangements change, travel restrictions, surrendering her passport, and complying with pretrial services on mental health and other health care issues. Magistrate Warner also put in place conditions for supervised visits the defendant may make with the child, including a requirement that they be supervised by a third-party not related to the defendant. The defendant also cannot stay at the home where the child is living.
Chapman faces up to life in prison if convicted of the charges in the indictment with a mandatory minimum of 10 years.
Indictments are not findings of guilt. Individuals charged in an indictment are presumed innocent unless and until proven guilty beyond a reasonable doubt in court.
The FBI and Air Force Office of Special Investigations are investigating the case. Trial Attorney Christine Duey of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorneys Drew Yeates and Andrea Martinez of the District of Utah are prosecuting the case.
Taylor Pleads Guilty to Contempt of Court after Forging Letter to Avoid Reporting to Federal PrisonRead the Press Release
SALT LAKE CITY – Jason Taylor, age 42, of Highland, Utah, convicted last year of bilking thousands of credit card customers and the banks that issued the credit cards out of hundreds of thousands of dollars, pleaded guilty to contempt of court Tuesday afternoon in U.S. District Court.
Taylor was involved in in two separate fraud schemes timed a little more than a year apart. In the first one, the credit cards of about 90,000 consumers were billed approximately $38 each for diet pills they never ordered. The banks caught onto the second fraud quickly and shut down the account, but not before more than 48,000 customers’ cards were billed approximately $70 each for a non-existent online coaching scheme.
He pleaded guilty to one count of access device fraud and one count of making a false statement to a bank in May of last year.
U.S. District Judge David Sam imposed a sentence of 40 months in federal prison in November and ordered Taylor to serve 60 months of supervised release when he finished his prison sentence. Additionally, Judge Sam ordered him to forfeit almost $600,000 in proceeds from his criminal conduct.
According to Tuesday’s plea agreement on the contempt of court charge, follow Taylor’s sentencing hearing in November he asked to be allowed to report to prison in March 2017. Judge Sam allowed Taylor to remain out of custody over the holidays and ordered him to report to a facility designated by the U.S. Bureau of Prisons on Jan. 27, 2017. Taylor received notification of his prison designation on Jan. 4, 2017.
Taylor admitted that on Jan. 11, 2017, his attorney filed a motion to postpone his reporting date indefinitely to allow for surgeries and a heart condition. The motion from his attorney was followed a day later by a letter purporting to be from a doctor identified in the plea agreement as Dr. R.R. The letter detailed some medical issues and recommended Taylor not be required to report to prison on his designated day of Jan. 27, 2017.
As a part of his plea agreement, Taylor admitted he wrote the letter purporting to be from Dr. R.R., using the doctor’s name, title, phone number, and professional address without his prior knowledge or authorization. He admitted he transferred it by electronic means to his attorney, knowing his attorney would submit it to the court. He admitted he forged and submitted the letter from Dr. R.R. with the purpose and intent of avoiding reporting to prison as ordered.
Taylor was arrested on a violation of supervised release in January and on Jan. 18, 2017, Judge Sam found him in violation of his pretrial release and ordered him held in custody.
U.S. District Judge Dee Benson presided at the change of plea hearing Tuesday and sentenced Taylor to 12 months in federal prison for the contempt of court conviction. The 12-month sentence will be served consecutive to the 40-month sentence Taylor initially received.
“Not only did this defendant misrepresent himself to fraud victims, he perpetrated a lie upon the federal court. His blatant dishonesty cost him one more year in federal prison,” U.S. Attorney John W. Huber said today.
The U.S. Attorney’s Office in Salt Lake City is prosecuting the Taylor case. The case is being investigated by inspectors with the U.S. Postal Inspection Service and special agents of the U.S. Secret Service.