Eastern District of Virginia
Press releases recorded for this federal judicial district.
Caregiver Sentenced to Prison for Defrauding Client of $100KRead the Press Release
NEWPORT NEWS, Va. – A Hayes woman was sentenced today to more than five years in prison for stealing approximately $100,000 from a disabled woman for whom she provided caregiving services.
“The financial and emotional harm these deceitful and illegal acts can cause victims and their family members cannot be overstated,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Denton is a serial fraudster who in this case defrauded and victimized a particularly vulnerable woman who had entrusted Denton with providing care to her and her son, who also suffers from certain disabilities. Denton abused and violated that position of trust and stole nearly $100,000 from the victim. We will continue to work with our federal, state and local law enforcement partners to make sure we are protecting those in our communities who are most vulnerable.”
According to court documents, Amy Denton, 43, worked as a caregiver for a Gloucester woman who suffered from various medical issues and limitations. In early 2015, her client’s mother passed away, leaving her a number of life insurance policies. In her role as caregiver, Denton obtained notices of the policies, but then forged her client’s signature on various forms to request the life insurance funds. Denton caused the victim to complete a Virginia Durable Power of Attorney Form (POA) that gave Denton access and control over her client’s finances. The woman signed this form without knowing the authority it provided Denton over her finances.
“Fraud and betrayal by a trusted caregiver is a shameful crime,” said Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office. “The price of this defendant’s greed is the financial security of the victim and her son. The FBI will continue to hold accountable anyone who preys on the vulnerabilities of others.”
Denton used the POA to open bank accounts and add herself to her client’s existing bank account. In May 2015, Denton fraudulently obtained five life insurance checks in the total amount of approximately $100,000, and then routed these funds through bank accounts she controlled. She used the funds to purchase a vehicle, pay off court costs related to a prior state fraud conviction, and for other travel and entertainment expenses. Once the life insurance proceeds were spent, in November 2015, Denton attempted to obtain an additional $40,000 in assets that were held by a law firm and would have accrued to her client. In May 2016, the victim learned that her bank account lacked sufficient funds to pay various bills, and had a seizure at the bank and additional seizures thereafter that required hospitalization.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, and Darrell W. Warren, Jr., Gloucester County Sheriff, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorney Brian J. Samuels prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-70.
Tangier Oysterman Pleads Guilty to over Harvesting OystersRead the Press Release
NORFOLK, Va. – A Tangier Island man pleaded guilty today to violating the Lacey Act by harvesting oysters from the Chesapeake Bay in excess of Virginia limits and transporting them to Maryland for sale.
“The protection of our environmental harvest is one of the responsibilities shared by the U.S. Attorney’s Office and our law enforcement partners,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “As stewards of the environment, we must endeavor to ensure that everyone adheres to the principle of fair and sustainable use of these natural resources, lest they be destroyed for future generations. Individuals who skirt this responsibility and harvest oysters beyond established limits deplete our resources, degrade our environment, and cheat those honest oystermen who uphold the law. As an avid fisherman myself, I have personally observed baymen and women to be some of the hardest working individuals I have ever met; braving the elements and engaging in dawn to dusk back breaking work to provide for their families. In order to protect their way of life and the resources we all depend on, we must enforce these harvest limits and regulations or we will lose the entire fishery.”
According to court documents, Gregory Wheatley Parks, Jr., 43, was a commercial oysterman operating the F/V Melissa Hope, a fishing vessel out of Tangier Island. Parks harvested oysters out of Virginia waters in the Chesapeake Bay. As a properly licensed oysterman, Parks was aware that Virginia sets strict limits on the number of oyster bushels that an oysterman can harvest per day. Nevertheless, on numerous dates in 2015, Parks collectively harvested at least 38 bushels above the Virginia limit and transported them to Maryland for sale.
“The native American wild oyster population is a keystone species responsible for maintaining the overall health of the Chesapeake Bay ecosystem,” said Jeff Odom, Assistant Special Agent in Charge for the U.S. Fish and Wildlife Service. “This investigation focused on the most egregious of those commercial harvesters attempting to circumvent the law and should serve as notice that the USFWS will be vigilant in protecting our natural resources.”
Court records further state that Parks was required to accurately report to the Virginia Marine Resources Commission (VMRC) the number of oyster bushels he landed. On several instances, Parks filed false reports to the VMRC, underreporting the number of oyster bushels he landed. Parks has a long history of wildlife violations related to oyster harvesting. Dating back to 2008, Parks has been cited on numerous occasions for possession of oysters over the legal limit, taking oysters from polluted grounds, taking oysters out of season, and larceny of oysters from bedded grounds.
Parks pleaded guilty to one violation of the Lacey Act and faces a maximum penalty of five years in prison when sentenced on August 22. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Edward Grace, Acting Assistant Director of Law Enforcement for the U.S. Fish and Wildlife Service, made the announcement after the plea was accepted by Senior U.S. District Judge Henry Coke Morgan, Jr. Assistant U.S. Attorney Joseph L. Kosky and Trial Attorney Laura Steele of the Justice Department’s Environmental Crimes Section prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-14.
Pain Management Clinics Settle Medicare Civil Fraud ClaimsRead the Press Release
RICHMOND, Va. – National Spine and Pain Centers (NSPC), and Physical Medicine Associates (PMA), with pain management clinics in northern Virginia, Glen Allen and Fredericksburg, have agreed to pay approximately $3.3 million to settle civil fraud allegations.
The settlement resolves civil fraud allegations that defendants billed Medicare and other federal healthcare providers for medical services performed by physician assistants and nurse practitioners as if physicians had provided the services, submitted claims for urine drug tests in violation of the Stark Law and/or the Anti-Kickback Statute, and ordered medically unnecessary urine drug tests.
The settlement resolves a lawsuit filed in the U.S. District Court for the Eastern District of Virginia by a former PMA physician assistant under the qui tam, or whistleblower, provisions of the False Claims Act. Under the False Claims Act, private citizens, also known as relators, can bring a suit on behalf of the United States and share in any recovery. Under the False Claims Act, relators are awarded 15 to 25 percent of the proceeds of the settlement amount depending on the extent to which the relator substantially contributed to the recovery.
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia, the Department of Health and Human Services Office of Inspector General, the U.S. Office of Personnel Management Office of the Inspector General, and the Defense Criminal Investigative Service Office of Inspector General.
The matter was investigated by Assistant U.S. Attorney Robert McIntosh. The civil claims settled by this False Claims Act agreement are allegations only; there has been no determination of civil liability.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Man Indicted on Child Sexual Exploitation ChargesRead the Press Release
ALEXANDRIA, Va. – A federal grand jury returned an indictment today charging a Springfield man with attempted coercion and enticement of a minor, and receipt, distribution, possession, and transportation of child pornography.
According to the indictment, between January and February 2019, Monis Irfan, 21, allegedly attempted to persuade and induce a minor under the age of 13 to engage in illegal sexual activity. At the time, he was an instructional assistant and substitute elementary school teacher for Fairfax County Public Schools. The indictment further alleges that in 2018 and 2019, Irfan traded, transported, and possessed child pornography using a cell phone and personal laptop computer.
If convicted of attempted coercion and enticement of a minor, Irfan faces a mandatory minimum of ten years in prison and a maximum of life. If convicted of receipt, distribution, and transportation of child pornography, Irfan faces a mandatory minimum of five years in prison and a maximum of 20 years on each count. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This matter was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, which is composed of FBI agents, along with detectives from the Fairfax County Police, Arlington County Police, Prince William County Police, Loudoun County Sheriff’s Office, Leesburg Police, Alexandria City Police, Washington Metropolitan Police, Fauquier County Sheriff’s Office, George Mason University Police, United States Marshal’s Service, and agents of various Office of Inspector Generals. This matter was brought to the task force by the Fairfax County Police Department.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement. Assistant U.S. Attorney Maya D. Song and Special Assistant U.S. Attorney William G. Clayman are prosecuting the case.
The charges in the indictment are merely allegations, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-120.
U.S. Attorney, DEA and Alexandria Sheriff Support DEA’s National Prescription Drug Take Back DayRead the Press Release
ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger will be joined by DEA Chief of Diversion Control John Martin and Alexandria Sheriff Dana Lawhorne at The Neighborhood Pharmacy in Del Ray on Saturday at 11 a.m. for the DEA’s 17th National Prescription Drug Take Back Day.
“Safely disposing of prescription drugs keeps dangerous narcotics out of the wrong hands and out of our communities,” said Terwilliger. “One source of drug abusers’ narcotics are from friends and family, often from the home medicine cabinet. The good people of Alexandria can help us fight the opioid epidemic by ridding their homes of unwanted and unneeded prescription meds and bringing them to a local collection site like the one here in Del Ray.”
The semiannual event will be held at thousands of collection sites around the country, including here in the Alexandria community of Del Ray at The Neighborhood Pharmacy, 2204 Mount Vernon Avenue. The event is an effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs.
“Saturday’s event will see more law enforcement partners and registered take back sites than any previous DEA event,” said DEA Chief of Diversion Control John Martin. “Our partnerships with federal, state, local and tribal leaders are vital to the success of this important program and we remain committed to providing communities across the United States with safe and convenient drug disposal options.”
Last October, Americans turned in 457 tons (900,000 pounds) of prescription drugs at almost 6,000 sites operated by the DEA and more than 4,800 of its state and local law enforcement partners. Overall, in its 16 previous Take Back events, DEA and its partners have taken in over 11 million pounds—more than 5,400 tons—of pills. The disposal service is free and anonymous, no questions asked. (The DEA cannot accept liquids, needles, or sharps, only pills or patches.)
“We greatly appreciate our dedicated partners who join us in fighting the opioid problem with initiatives like Drug Take Back,” said Lawhorne. “Thanks to business partners like The Neighborhood Pharmacy, law enforcement leaders like U.S. Attorney Terwilliger, and our caring community, we can work together to make Alexandria safer.”
Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. According to the Centers for Disease Control and Prevention, 91 Americans die each day from an opioid overdose. Some painkiller abusers move on to heroin: Four out of five new heroin users started with painkillers.
Flushing medications down the toilet or throwing them in the trash pose potential safety and health hazards. This initiative addresses the public safety and public health issues that surround medications languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
For more information or to locate a collection site near you, go the DEA Prescription Drug Take Back Day web site at www.deatakeback.com where you can search by zip code, city, or state.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Gang Member Sentenced for RICO Conspiracy and Attempted MurdersRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to 35 years in prison for RICO conspiracy and multiple attempted murders on behalf of the Nine Trey Gangsters, a violent Bloods street gang.
According to court documents, Malek Lassiter, aka Leeko, 23, joined other gang members on a mission, ordered by co-defendant Antonio Simmons, to kill high-ranking members of a rival “line” of the Nine Trey Gangsters. When Lassiter and the other men were unable to locate the first two individuals they intended to kill, they went to a house in Portsmouth looking for another gang member they planned to shoot. After being told the man they sought was not at home by the woman who opened the door, one of Lassiter’s co-conspirators shot her six times. The woman’s life was saved by the quick response of local EMTs and officers of the Portsmouth Police Department. Meanwhile, Lassiter and the other gang members who fled the shooting fired their guns again when they saw witnesses in the neighborhood looking out of their windows and doors to see what was happening.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, Angela Greene, Interim Chief of Portsmouth Police, Larry D. Boone, Chief of Norfolk Police, James A. Cervera, Chief of Virginia Beach Police, Col. K.L. Wright, Chief of Chesapeake Police, and Thomas E. Bennett, Chief of Suffolk Police, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis. Assistant U.S. Attorneys Joseph E. DePadilla, Andrew Bosse, and John F. Butler, and Trial Attorney Teresa A. Wallbaum of the Justice Department’s Organized Crime and Gang Section, prosecuted the case.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Billy Club. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-130-5.
GPM Investments Settles ADA Dispute Involving Service AnimalsRead the Press Release
ALEXANDRIA, Va. – GPM Investments, LLC, which is headquartered in Richmond and operates over 1,400 convenience stores in 22 states, including approximately 200 stores in Virginia, has agreed to settle a dispute under the Americans with Disabilities Act (ADA) regarding an allegation of refusal of service to an individual with disabilities accompanied by a service animal.
“People with disabilities who are accompanied by a service animal are entitled to participate in their communities on an equal basis to others, including visiting retail establishments,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “We are pleased that GPM has agreed to take steps to ensure that these individuals are welcome in all of its stores.”
The investigation began with a complaint from the public alleging that a fas mart ® branded convenience store refused service to an individual with disabilities accompanied by a service animal.
Under the settlement agreement, GPM will adopt a service animal non-discrimination policy applicable to all stores that it operates, including fas mart branded stores, train all its employees, display signs in its stores indicating that service animals are welcome, and pay $1,000 in damages to the complainant.
This matter was handled by Assistant U.S. Attorney Steven Gordon, the Civil Rights Enforcement Coordinator for the Eastern District of Virginia.
The ADA prohibits discrimination against people with disabilities by public accommodations, such as convenience stores. Among other things, public accommodations must allow people with disabilities the full and equal enjoyment of their goods, services and facilities. They must make reasonable modifications of their policies, practices and procedures to permit people with disabilities to be accompanied by service animals.
The Department of Justice has a number of publications available to assist entities in complying with the ADA, including Frequently Asked Questions about Service Animals and the ADA. For more information on the ADA and to access these publications, visit http://www.ada.gov or call the Justice Department’s toll-free ADA information Line at 800-514-0301 or 800-514-0383 (TDD). ADA complaints may be filed by email to [email protected].
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Company Agrees to $46 Million Penalty for Falsifying Test ResultsRead the Press Release
ALEXANDRIA, Va. – An Oregon aluminum extrusion manufacturer has agreed to pay $46 million to NASA, the Department of Defense, and others to resolve criminal charges and civil claims relating to a 19-year fraud scheme that included falsifying thousands of certifications for aluminum extrusions provided to hundreds of customers.
“For nearly two decades, SPI and its employees covered up substandard manufacturing processes by brazenly falsifying test results,” said G. Zachary Terwilliger, U.S Attorney for the Eastern District of Virginia. “They then provided the false test results to hundreds of customers across the country, all to increase corporate profits and obtain production-based bonuses. This proposed resolution ensures that the victims of this conduct, including the U.S. military, can replace faulty product put into the supply chain and help recover the costs foisted on taxpayers to investigate this scheme. I want to thank our partners at NASA-OIG, DCIS, and the FBI for their efforts in helping bring much-needed oversight and reform to these companies.”
According to court documents, Hydro Extrusion Portland, Inc., formerly known as Sapa Profiles Inc. (SPI), and its corporate parent, Hydro Extrusion USA, LLC, formerly known as Sapa Extrusions, Inc. (SEI), admitted to providing customers, including U.S. government contractors, with falsified certifications after altering the results of tensile tests designed to ensure the consistency and reliability of aluminum extruded at the companies’ Oregon-based facilities. Tensile testing involves slowly stretching and then ripping apart a sample of the metal using a machine, which then measures the force applied to the sample at each stage of the test.
“For nearly 20 years, Sapa Profiles and Sapa Extrusions falsified critical tests on the aluminum they sold—tests that their customers, including the U.S. government, depended on to ensure the reliability of the aluminum they purchased,” said Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division. “Corporate and personal greed perpetuated this fraud against the government and other private customers, and this resolution holds these companies to account for the harm caused by their scheme.”
According to court documents, SPI has agreed to plead guilty to one count of mail fraud, and SEI has entered into a deferred prosecution agreement (DPA) in connection with a criminal information filed here today charging the company with mail fraud. As part of the plea agreement, SPI has agreed to pay $34.1 million in combined restitution to NASA, the Department of Defense’s Missile Defense Agency (MDA), and commercial customers. SPI has also agreed to forfeit $1.8 million in ill-gotten gains. The plea agreement remains subject to acceptance by the court at a plea hearing currently scheduled for May 13 before U.S. District Judge Liam O’Grady. The DPA with SEI is conditioned on the court’s acceptance and SPI’s satisfaction of the plea agreement’s terms.
“Today’s settlement reflects the Civil Division’s commitment to pursue fraudulent conduct,” said Jody Hunt, Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “The Department will vigorously pursue those who seek to take advantage of American taxpayers and undermine the safety and integrity of critical government programs.”
SPI also agreed to pay $34.6 million as part of a related civil settlement to resolve its liability under the False Claims Act for causing a government contractor to invoice MDA and NASA for aluminum extrusions that did not comply with contract specifications. Government contractors purchased aluminum extrusions for use on rockets for NASA and missiles provided to the MDA. Under the terms of the civil settlement agreement, SPI will satisfy the $34.6 million settlement through credits totaling $23.6 million for its restitution payments as part of the criminal plea agreement, plus additional payments of $6 million to NASA and $5 million to the MDA.
“The results of this investigation are indicative of the law enforcement community’s unwavering commitment to protecting the aerospace supply chain,” said Paul K. Martin, Inspector General of the National Aeronautics and Space Administration (NASA). “I am very proud of the central role the NASA OIG played in unraveling the test falsification scheme.”
According to the companies’ admissions, employees at SPI facilities in the Portland area generally altered the tests in one of two ways. First, from in or about 1996 through in or about 2006, an SPI plant manager led a scheme to make thousands of handwritten alterations to failing test results by changing failing numbers that fell below the minimum required test results to appear to be passing. Those numbers were then typed onto a certification and provided to customers. Second, from in or about 2002 through September 2015, Dennis Balius, the SPI testing lab supervisor, led a scheme to alter tests within SPI’s computerized systems and provide false certifications with the altered results to customers. Balius also instructed employees to violate other testing standards, such as increasing the speed of the testing machines or cutting samples in a manner that did not meet the required specifications. Balius pleaded guilty in July 2017 and was sentenced to three years in prison and ordered to pay over $170,000 in restitution.
“Our partners at NASA and in the military – as well as hundreds of private businesses – put their faith in the integrity of this supplier and the structural integrity of its products,” said Loren ‘Renn’ Cannon, Special Agent in Charge of the FBI’s Portland Field Office. “For almost two decades, this company’s greed violated that trust and put lives at risk. Today’s settlement is an important step to repairing the harm done.”
According to court documents, the SPI employees generally engaged in these practices to conceal the inconsistent quality of aluminum extrusions produced by SPI, avoid the costly scrapping of metal and accompanying production delays, improve SPI’s and SEI’s profits, and receive bonuses that were calculated in part based on a production metric.
“Today’s proposed resolution with SPI exhibits the unending commitment of DCIS and its investigative partners to bring to justice those who seek to defraud the Department of Defense,” said Bryan Denny, Special Agent in Charge for Defense Criminal Investigative Service’s (DCIS) Western Field Office. “Those who purposely disregard requirements imposed to assure the quality of materials provided to our military will be investigated and prosecuted to the fullest extent of the law.”
In addition, the companies admitted that SPI’s customers included U.S. government contractors who in turn provided aluminum extrusions produced by SPI to NASA and the MDA for use in “frangible joints” in rockets provided to NASA and missiles provided to the MDA, respectively. According to court documents, the replacement cost of frangible joints provided to the MDA that included SPI extrusions is approximately $15.3 million, and NASA incurred approximately $9 million in investigative and other costs to determine the impact of SPI extrusions on NASA operations.
As described in the civil settlement agreement, NASA maintains that SPI’s manufacturing processes lacked sufficient controls and produced extrusions unable to pass mechanical properties testing. NASA further maintains that it identified SPI’s out-of-specification extrusions as the cause of two failed rocket launches, which resulted in the loss of important scientific missions. SPI disputes NASA’s positions, and except for those facts admitted to in the DPA and the plea agreement, the claims resolved by the civil settlement are allegations only. There has been no determination of liability. To protect the government supply chain, NASA both suspended SPI from government contracting and proposed SPI for debarment government-wide. The exclusion from government contracting has been effective since September 30, 2015.
A number of significant factors contributed to the Department’s criminal resolution with the companies. Among these, the companies received significant credit for their cooperation with the Department’s investigation and their engagement in extensive remedial measures to address the misconduct, including the termination and severance of employees who were involved, the implementation of state-of-the-art equipment to automate the tensile testing process, company-wide audits at all U.S. tensile labs, increased resources devoted to compliance and revamping internal quality controls and quality audit processes. However, the companies did not receive more significant mitigation credit, either in the penalty or the form of resolution, because the companies did not voluntarily self-disclose the full extent of their misconduct to the Department.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division; Joseph H. Hunt, Assistant Attorney General of the Justice Department’s Civil Division; Paul K. Martin, Inspector General of the National Aeronautics and Space Administration (NASA); Loren ‘Renn’ Cannon, Special Agent in Charge of the FBI’s Portland Field Office, and Bryan Denny, Special Agent in Charge for Defense Criminal Investigative Service’s (DCIS) Western Field Office, made the announcement. Assistant U.S. Attorney Ryan S. Faulconer and Trial Attorneys Emily Scruggs and Laura Connelly of the Criminal Division’s Fraud Section are prosecuting the criminal case. Trial Attorneys Allison Cendali and Greg Pearson of the Civil Division’s Fraud Section handled the civil case.
NASA Launch Services Program provided extensive cooperation and assistance throughout the investigation.
Except for those facts admitted to in the DPA and the plea agreement, the claims resolved by the civil settlement are allegations only, and there has been no determination of liability.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-123 and 124.
Aluminum Extrusion Manufacturer Agrees to Pay over $46 Million for Defrauding Customers, Including the United States, in Connection with Test Result Falsification SchemeRead the Press Release
An Oregon aluminum extrusion manufacturer has agreed to pay $46 million to NASA, the Department of Defense, and others to resolve criminal charges and civil claims relating to a 19-year fraud scheme that included falsifying thousands of certifications for aluminum extrusions provided to hundreds of customers.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Assistant Attorney General Jody Hunt of the Justice Department’s Civil Division, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia, Inspector General Paul K. Martin of the NASA Office of Inspector General, Special Agent in Charge Loren ‘Renn’ Cannon of the FBI’s Portland Field Office and Special Agent in Charge Bryan Denny of the Defense Criminal Investigative Service’s (DCIS) Western Field Office made the announcement.
According to court documents, Hydro Extrusion Portland, Inc., formerly known as Sapa Profiles Inc. (SPI), and its corporate parent, Hydro Extrusion USA, LLC, formerly known as Sapa Extrusions Inc. (SEI), admitted to providing customers, including U.S. government contractors, with falsified certifications after altering the results of tensile tests designed to ensure the consistency and reliability of aluminum extruded at the companies’ Oregon-based facilities. Tensile testing involves slowly stretching and then ripping apart a sample of the metal using a machine, which then measures the force applied to the sample at each stage of the test.
“For nearly 20 years, Sapa Profiles and Sapa Extrusions falsified critical tests on the aluminum they sold — tests that their customers, including the U.S. government, depended on to ensure the reliability of the aluminum they purchased,” said Assistant Attorney General Benczkowski of the Department of Justice’s Criminal Division. “Corporate and personal greed perpetuated this fraud against the government and other private customers, and this resolution holds these companies accountable for the harm caused by their scheme.”
“Today’s settlement reflects the Civil Division’s commitment to pursue fraudulent conduct,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “The Department will vigorously pursue those who seek to take advantage of American taxpayers and undermine the safety and integrity of critical government programs.”
“For nearly two decades, SPI and its employees covered up substandard manufacturing processes by brazenly falsifying test results,” said U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia. “They then provided the false test results to hundreds of customers across the country, all to increase corporate profits and obtain production-based bonuses. This proposed resolution ensures that the victims of this conduct, including the U.S. military, can replace faulty product put into the supply chain and help recover the costs foisted on taxpayers to investigate this scheme. I want to thank our partners at NASA-OIG, DCIS, and the FBI for their efforts in helping bring much-needed oversight and reform to these companies.”
“The results of this investigation are indicative of the law enforcement community’s unwavering commitment to protecting the aerospace supply chain,” said NASA Inspector General Paul K. Martin. “I am very proud of the central role the NASA OIG played in unraveling the test falsification scheme.”
“Our partners at NASA and in the military – as well as hundreds of private businesses – put their faith in the integrity of this supplier and the structural integrity of its products,” said Special Agent in Charge Loren ‘Renn’ Cannon of the FBI’s Portland Field Office. “For almost two decades, this company’s greed violated that trust. Today’s proposed resolution is an important step to repairing the harm done.”
“Today’s proposed resolution with SPI exhibits the unending commitment of DCIS and its investigative partners to bring to justice those who seek to defraud the Department of Defense,” said Special Agent in Charge Bryan Denny of the DCIS Western Field Office. “Those who purposely disregard requirements imposed to assure the quality of materials provided to our military will be investigated and prosecuted to the fullest extent of the law.”
According to court documents, SPI has agreed to plead guilty to one count of mail fraud, and SEI has entered into a deferred prosecution agreement (DPA) in connection with a criminal information filed today charging the company with mail fraud. As part of the plea agreement, SPI has agreed to pay $34.1 million in combined restitution to NASA, the Department of Defense’s Missile Defense Agency (MDA), and commercial customers. SPI has also agreed to forfeit $1.8 million in ill-gotten gains. The plea agreement remains subject to acceptance by the court at a plea hearing currently scheduled for May 13, 2019, before U.S. District Judge Liam O’Grady. The DPA with SEI is conditioned on the court’s acceptance and SPI’s satisfaction of the plea agreement’s terms.
SPI also agreed to pay $34.6 million as part of a related civil settlement to resolve its liability under the False Claims Act for causing a government contractor to invoice MDA and NASA for aluminum extrusions that did not comply with contract specifications. Government contractors purchased aluminum extrusions for use on rockets for NASA and missiles provided to the MDA. Under the terms of the civil settlement agreement, SPI will satisfy the $34.6 million settlement through credits totaling $23.6 million for its restitution payments as part of the criminal plea agreement, plus additional payments of $6 million to NASA and $5 million to the MDA.
According to the companies’ admissions, employees at SPI facilities in the Portland area generally altered the tests in one of two ways. First, from in or about 1996 through in or about 2006, an SPI plant manager led a scheme to make thousands of handwritten alterations to failing test results by changing failing numbers that fell below the minimum required test results to appear to be passing. Those numbers were then typed onto a certification and provided to customers. Second, from in or about 2002 through September 2015, Dennis Balius, the SPI testing lab supervisor, led a scheme to alter tests within SPI’s computerized systems and provide false certifications with the altered results to customers. Balius also instructed employees to violate other testing standards, such as increasing the speed of the testing machines or cutting samples in a manner that did not meet the required specifications. Balius pleaded guilty in July 2017 and was sentenced to three years in prison and ordered to pay over $170,000 in restitution.
According to court documents, the SPI employees generally engaged in these practices to conceal the inconsistent quality of aluminum extrusions produced by SPI, avoid the costly scrapping of metal and accompanying production delays, improve SPI’s and SEI’s profits, and receive bonuses that were calculated in part based on a production metric.
In addition, the companies admitted that SPI’s customers included U.S. government contractors who in turn provided aluminum extrusions produced by SPI to NASA and the MDA for use in “frangible joints” in rockets provided to NASA and missiles provided to the MDA, respectively. According to court documents, the replacement cost of frangible joints provided to the MDA that included SPI extrusions is approximately $15.3 million, and NASA incurred approximately $9 million in investigative and other costs to determine the impact of SPI extrusions on NASA operations.
As described in the civil settlement agreement, NASA maintains that SPI’s manufacturing processes lacked sufficient controls and produced extrusions unable to pass mechanical properties testing. NASA further maintains that it identified SPI’s out-of-specification extrusions as the cause of two failed rocket launches, which resulted in the loss of important scientific missions. SPI disputes NASA’s positions, and except for those facts admitted to in the DPA and the plea agreement, the claims resolved by the civil settlement are allegations only. There has been no determination of liability. To protect the government supply chain, NASA both suspended SPI from government contracting and proposed SPI for debarment government-wide. The exclusion from government contracting has been effective since Sept. 30, 2015.
A number of significant factors contributed to the Department’s criminal resolution with the companies. Among these, the companies received significant credit for their cooperation with the Department’s investigation and their engagement in extensive remedial measures to address the misconduct, including the termination and severance of employees who were involved, the implementation of state-of-the-art equipment to automate the tensile testing process, company-wide audits at all U.S. tensile labs, increased resources devoted to compliance and revamping internal quality controls and quality audit processes. However, the companies did not receive more significant mitigation credit, either in the penalty or the form of resolution, because the companies did not voluntarily self-disclose the full extent of their misconduct to the Department.
This case was investigated by NASA Office of Inspector General, FBI’s Portland Field Office, and DCIS. The NASA Launch Services Program and Office of the General Counsel Acquisition Integrity Program provided extensive cooperation and assistance throughout the investigation.
Trial Attorneys Emily Scruggs and Laura Connelly of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Ryan S. Faulconer are prosecuting the criminal case, with previous assistance from former Trial Attorneys Thomas Hall and Jennifer Ballantyne. Trial Attorneys Allison Cendali and Greg Pearson of the Civil Division’s Fraud Section handled the civil case.
If you believe you are a victim of this offense, please visit https://www.justice.gov/criminal-vns/case/SAPA or call (888) 549-3945.
Illegal Alien Sentenced on Cocaine Trafficking and Firearms ChargesRead the Press Release
ALEXANDRIA, Va. – An illegal alien with a prior felony drug trafficking conviction was sentenced today to more than 12 years in prison for cocaine distribution and firearms charges related to his involvement in a prolific cocaine trafficking network in the mid-Atlantic region of the United States.
“Alvarez is a recidivist armed drug dealer who has illegally entered the United States on multiple occasions,” said U.S. Attorney G. Zachary Terwilliger. “After a conviction for drug trafficking in 2007, in which he was discovered in a hotel room with methamphetamine and a loaded handgun, he was deported back to Mexico. Alvarez illegally returned to the United States sometime later and eventually resumed trafficking controlled substances while armed with a firearm. He clearly has no regard for our nation’s laws and borders and he poses a threat to our public safety.”
According to court documents, Homero Salgado Alvarez, 46, a citizen of Mexico, was previously convicted of drug distribution in 2007, and was subsequently deported to Mexico. He later returned to the United States, where he eventually resumed trafficking in controlled substances. When he came to the attention of law enforcement in late 2017, he was a wholesale cocaine distributor operating in southeastern North Carolina who was regularly trafficking in kilogram quantities of cocaine. The cocaine that Alvarez distributed made its way up from North Carolina to the greater Washington, DC area, including the Eastern District of Virginia.
“Today’s sentencing sends a clear message that criminal enterprises engaged in the illegal acquisition and distribution of narcotics in our communities cannot evade the law,” said Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office. “The FBI will work closely with our partners to continue to aggressively investigate and disrupt significant criminal enterprises.”
Alvarez, who also possessed a firearm for protection while carrying out his drug dealing, used coded language to refer to drugs, including “tires” to refer to quantities of cocaine. This was done to conceal his illegal activities from detection, as Alvarez did, in fact, work at a legitimate business selling used tires. When Alvarez was arrested, law enforcement found a total of 3 kilograms of cocaine hidden in his washing machine and bathroom, along with a .40-caliber Smith & Wesson handgun.
This case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF) Operation Tomb Stone. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Barry M. Barnard, Chief of Prince William County Police, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Katherine E. Rumbaugh prosecuted the case, with significant assistance from Special Assistant U.S. Attorney Gwendelynn Bills.
This investigation was led by FBI Washington Field Office’s Safe Streets/HIDTA Task Force. The Task Force is composed of FBI Agents along with investigators from local police and sheriff’s offices in northern Virginia as well as Immigration and Customs Enforcement (ICE). Significant assistance was provided by the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) Washington Field Division, FBI’s Charlotte Field Office, DEA’s Greensboro Resident Agency, and the Police Departments of Sanford, North Carolina and Fayetteville, North Carolina.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 1:18-cr-380; 1:18-cr-470.
Sham Marriage Arranged in Scheme to Defraud Elderly ManRead the Press Release
NORFOLK, Va. – A Virginia Beach man pleaded guilty today to exploiting an elderly man’s diminished mental capacity to defraud him of nearly $157,000.
“The financial and emotional harm these scams cause elderly victims and their family members can be devastating,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This office will continue to aggressively prosecute crimes involving elder fraud, and we remain committed to working closely with our local and state partners to ensure that those who choose to engage in fraud activity are held accountable and brought to justice.”
According to court documents, John Michael Gatchell, 55, facilitated a marriage between the elderly man and a woman with whom Gatchell had a long-term relationship in order to gain access to the elderly man’s money and property. Gatchell induced the elderly man to make a down payment on a Jaguar that Gatchell and a family member drove for about 10 months before it was repossessed by the lender when the loan went into default.
Gatchell also induced the elderly man to obtain two mortgage loans and then diverted most of the proceeds to the benefit of himself and others. He subsequently induced the elderly man to sell the property that secured the loans and again diverted most of the proceeds to himself and others. Gatchell used these monies that he fraudulently diverted to himself to purchase concert series tickets, pay delinquent bills, and make a security deposit and advance rent payments for a house he leased, among other things.
Gatchell pleaded guilty to mail fraud and faces a maximum penalty of 20 years in prison when sentenced on September 6. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea. Assistant U.S. Attorney Alan M. Salsbury is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-49.
Mother of Felon and Man Sentenced for Obstruction of Justice and Drug TraffickingRead the Press Release
RICHMOND, Va. – A Richmond woman and Chesterfield man were sentenced to one year and four months in prison, respectively, for crimes involving obstruction of justice and drug trafficking.
According to court documents, Regina Gasque, 49, and Trammel Lewis, Jr., 23 were involved in a conspiracy to obstruct justice after they crafted a scheme to deceive law enforcement. In April 2018, Richmond Police Officers performed a traffic stop on a vehicle driven by Keith Gasque, Regina Gasque’s son. Officers discovered two firearms in the vehicle, one of which law enforcement later learned had been illegally purchased for Keith Gasque by Lewis.
While incarcerated, Keith Gasque solicited the help of his mother and Lewis to craft a false story to tell police about Keith Gasque possessing the firearms. Keith Gasque convinced Lewis to tell law enforcement that Lewis had left the firearms in Keith Gasque’s vehicle, and Keith Gasque had no knowledge of the firearms. Law enforcement reviewed recordings of phone calls that Keith Gasque made while in jail, and heard conversations where Keith Gasque told Regina Gasque and Lewis what Lewis should tell law enforcement to support the false story. Gasque agreed to craft and relay similar messages from Keith Gasque to Lewis.
Keith Gasque was previously sentenced to serve more than four and a half years in prison for masterminding the conspiracy.
Regina Gasque also pleaded guilty to, and was sentenced for, aiding and abetting the possession of cocaine with the intent to distribute. In May 2018, the Richmond Police Department executed a search warrant at Keith Gasque’s home in search of additional firearms. Keith Gasque shared that home with Regina Gasque and Christopher Wills, a person Regina Gasque had been in a romantic relationship with for approximately 17 years. The officers discovered in a locked bedroom over 250 grams of cocaine, five firearms, ammunition, and other drug paraphernalia. Regina Gasque admitted that only she and Wills had a key to that bedroom. She ultimately admitted that the drugs and firearms belonged to Wills, and also admitted her intimate knowledge of Wills’s drug trafficking over the past several years and that she had handled the firearms and drugs.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Stephen E. Anthony prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-135.
Cousins Convicted of Armed Robbery Sentenced to PrisonRead the Press Release
RICHMOND, Va. – Two cousins were sentenced today to a combined 24 years in prison for their roles in an armed bank robbery and brandishing a firearm in furtherance of a crime of violence.
According to court records and evidence presented at trial, John Campbell, 45, of Richmond, and Alhakka Campbell, 45 of Knightdale, North Carolina, stormed into a Wells Fargo Bank in Henrico shortly after the bank opened in November 2017. While John Campbell threatened employees with a firearm, Alhakka Campbell vaulted the teller counter, removing approximately $5,197 in cash from teller drawers and stuffing it into a black bag. The cousins then fled the bank in a stolen pickup truck that they later abandoned. When Alhakka Campbell removed the cash, he unknowingly grabbed two GPS tracking devices, which broadcast the location of the stolen currency to law enforcement. Law enforcement immediately responded to the location of the GPS trackers, leading to the arrest of both men, and the recovery of the firearm used by John Campbell during the robbery.
John Campbell was sentenced to 13 years in prison for armed robbery and being a felon in possession of a firearm. Alhakka Campbell was sentenced to more than 11 years in prison for armed robbery.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, and Humberto I. Cardounel, Jr., Chief of Henrico County Police Division, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Michael Gill prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-124.
Armed Illegal Alien Pleads Guilty to Firearm PossessionRead the Press Release
RICHMOND, Va. – An illegal alien residing in Richmond pleaded guilty today to possessing a firearm illegally in the United States.
“Perez-Agustin is in the United States illegally and was caught carrying a firearm,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This criminal activity reflects a blatant disregard for our nation’s laws and represents a threat to public safety. The Department of Justice is committed to prioritizing criminal immigration enforcement, and this case reflects that continuing commitment.”
According to court documents, Manuel Dejesus Perez-Agustin, 39, had previously illegally entered the United States, been removed at taxpayer expense in January 2011, and then illegally reentered the United States again.
“This individual has no regard for our nation’s laws,” said Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. “Not only did he re-enter the country after deportation, he was arrested in possession of a firearm, making him a threat to public safety. We will continue to work with the U.S. Attorney’s Office to keep our communities safe through enforcement of our nation’s immigration laws.”
In this instance, Perez-Agustin was charged with illegal reentry into the United Sates after removal and also illegal possession of a firearm.
Perez-Agustin pleaded guilty to possessing a firearm while being illegally in the United States and faces a maximum penalty of 10 years in prison when sentenced on July 31. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. Assistant U.S. Attorney S. David Schiller is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-26.
Gang Member Sentenced to Prison for Firearm PossessionRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to more than two and a half years in prison for possession of a firearm by convicted felon.
According to court documents, Darren Brown, aka “Diego”, 25, sold a stolen .270 caliber rifle to a confidential informant in January 2016. The firearm was traced to a break-in of a Chesapeake family residence. Additionally, when the FBI arrested Brown in December 2018, he was in possession of Haskell JHP .45 caliber pistol. Brown was a member of the Nine Trey Gangsters, a subset of the United Blood Nation.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorneys John F. Butler and Andrew C. Bosse prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-178.
Man Sentenced for Straw Purchasing Firearms for Convicted FelonRead the Press Release
RICHMOND, Va. – A Chesterfield County man was sentenced today to two and a half years in prison for making false statements when he purchased firearms for a convicted felon.
“Straw purchasers are often literally arming criminals,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This poses a serious threat to public safety and the safety of our law enforcement partners. Simply put, convicted felons have forfeited their Second Amendment right to bear arms, and those who choose to straw purchase firearms for prohibited individuals will be investigated, prosecuted, and may themselves become convicted felons and therefore unable to possess or purchase firearms for themselves or others. We will continue to aggressively pursue these cases, seek to obtain felony convictions, and work with local federally licensed firearms dealers and our partners at the ATF to stop the flow of illegally purchased firearms from hitting the street.”
According to court documents, Jeremy Durand Lewis, 35, purchased seven guns for Abdul Shahid Davis, a convicted felon, at federally licensed firearms dealers in Virginia between July and November 2015. When purchasing these firearms, Lewis falsely stated on forms that he was the actual purchaser of the firearms, when, in fact, he was purchasing them for Davis. Davis then sold those guns to an undercover New York City Police Detective.
“This investigation demonstrates how firearms make it into the hands of convicted felons and onto our streets. Anyone engaged in firearms trafficking should be on notice,” said Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division. “As shown in this case, ATF works with law enforcement partners throughout the nation to keep firearms out of the hands of those who should not have them. If you lie when you buy a firearm, you will be held accountable. ATF is committed to keeping all of our communities safe and will continue to follow these investigations wherever they lead us.”
Six other defendants have received felony convictions and have been sentenced for making false statements in connection with this scheme:
Name, Age
Hometown
Felony Conviction
Sentence
Cherie Elanda Wyatt, 41
Richmond
False Statement to Acquire Firearm
1 year of probation
Kevin Edward Wilson, 29
Powhatan
False Statement to Acquire Firearm
2 years of probation, 180 days of home detention
Denise Michelle Sinkford, 41
Richmond
False Statement to Acquire Firearm
2 years of probation, 180 days of home detention
Shanta Teisha Brown, 29
Richmond
False Statement to Acquire Firearm
2 years of probation, 60 days of home detention
Evelyn Jean Collins-Chandler, 54
Richmond
Conspiracy to Make False Statements to Acquire Firearm
2 years of probation, 60 days of home detention
Ebony Danielle Clarke, 34
Richmond
False Statement to Acquire Firearm
3 years of probation, 210 days of home detention
Three other defendants have pleaded guilty to making false statements on firearm forms and are awaiting sentencing:
Name, Age
Hometown
Convictions
Sentencing Date
Brandon Andrea Powell, 40
Chester
False Statement to Acquire Firearm
May 31
Jeffrey Quinton Toole, 56
Richmond
False Statement to Acquire Firearm
July 15
Yolanda Lisa Stone, 47
Richmond
False Statement to Acquire Firearm
July 29
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after U.S. District Judge M. Hannah Lauck imposed sentence. Assistant U.S. Attorneys Michael C. Moore and Kenneth Simon are prosecuting the cases.
Special assistance in this investigation and prosecution was provided by the New York Police Department and the New York County District Attorney’s Office.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 3:18-37, 56, 77, 86, 110, 120, 138, 154, and 3:19-cr-13.
Herndon Man Pleads Guilty to CyberstalkingRead the Press Release
ALEXANDRIA, Va. – A Herndon man pleaded guilty today to cyberstalking a victim in New York.
According to court documents, Brandon Theresa, 21, engaged in an extensive cyberstalking campaign against a victim from at least May 2015 through December 2018. During that time, he accessed the victim’s online accounts without the victim’s permission and periodically impersonated the victim and the victim’s friends to gain information about the victim’s comings and goings. As part of that conduct, Theresa established U.S. Postal Service Informed Delivery accounts, which provide detailed information about the mail received at a particular address, using the personal information of the victim and the victim’s friends and family member in order to further place the victim under surveillance.
Theresa pleaded guilty to cyberstalking and faces a maximum penalty of five years in prison when sentenced on July 26. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Michael Ray, Inspector in Charge of Analytics/Cyber Division of the U.S. Postal Inspection Service, and Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after Senior U.S. District Judge Claude M. Hilton accepted the plea. Assistant U.S. Attorney Laura Fong is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-118.
Child Sexual Predator Sentenced to 27 Years in PrisonRead the Press Release
NORFOLK, Va. – A Virginia Beach man was sentenced today to 27 years in prison for producing images of child sexual abuse of an 8 year-old victim.
“We must do everything possible to protect our children from dangerous sexual predators like Brown,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Child sexual abuse is a horrific and abhorrent crime. I want to thank our law enforcement partners and prosecutors for ensuring that Brown will now be in a place where he cannot prey on our most vulnerable victims.”
According to court documents and evidence, Leedente Darrell Brown, 32, met dozens of young girls, including an 8-year-old, in real life and online, and had them produce child pornography for him and other horrible sex offenders who were in group chat rooms with Brown. He was identified after a Virginia Beach Police Department officer responded to a Peeping Tom call. Investigators later learned that Brown was attempting to meet the 8-year-old girl to engage in sexual acts. The 8-year-old victim reported that Brown told her not to tell anyone, and if she did, he would kill her.
“Adults that prey on innocent children are despicable,” said Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk. “Brown’s victims will have to cope with the longstanding effects of his abuse for years to come. HSI special agents and our law enforcement partners will continue to investigate sexual predators like Brown to ensure they are prosecuted to the fullest extent of the law.”
Brown has a significant criminal history which includes violence. In 2005, he was convicted of Assault and Battery of an 11 year-old. He was also convicted in March 2013 for Assault and Battery for cutting someone inside the MacArthur mall.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Michael K. Lamonea, Assistant Special Agent in Charge of HSI Norfolk, and James A. Cervera, Chief of Virginia Beach Police made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney Elizabeth M. Yusi prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-42.
Illegal Alien Sentenced for Sexually Exploiting Women in Northern VirginiaRead the Press Release
ALEXANDRIA, Va. – An El Salvadoran man who is in the United States illegally was sentenced today to over two years in prison for running an illegal commercial sex business that catered to the Hispanic community in Northern Virginia.
“Bonilla-Hernandez profited from the sexual exploitation of women who found themselves in difficult and vulnerable places,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The tears, pain, and mental anguish expressed by the victims in this case is heartbreaking. Additionally, this case is yet another example of an individual who is here in the United States illegally and committing serious crimes. Human trafficking and the sexual exploitation of individuals remains a priority of this office and we will continue to investigate and prosecute these serious crimes that inflict mental, emotional, and physical harm on the victims involved.”
According to court documents, over the past three years, Luis Bonilla-Hernandez, 33, and co-conspirator, Eliazar Duran Mota, 23, of Herndon, ran the illegal business out of their homes in Sterling and Herndon. The women who were exploited were Hispanic, spoke little-to-no English, and found themselves struggling financially in the United States. Bonilla-Hernandez and Duran Mota took advantage of the difficult situations the victims had found themselves in and sought to sexually exploit them for financial profit.
Each week, Bonilla-Hernandez and Duran Mota would obtain a woman to work for a week at a time. During interviews with the women they described their bodies being sore and exhausted from the 10 to 20 commercial sex encounters they had per day. They described enduring verbal abuse and threats to their physical safety from the customers. They discussed being required to turn all of their money over to Bonilla-Hernandez and Duran Mota, and continuing to work out of fear that they would not get their portion of the money at the end of the week. After a woman worked for a week, Bonilla-Hernandez and Duran Mota would switch out their “inventory” by obtaining a new woman from Union Station to work throughout Northern Virginia.
When law enforcement executed a search warrant on Bonilla Hernandez’s house, they recovered evidence of the scheme and over $14,000 in cash.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, Michael L. Chapman, Loudoun County Sheriff, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Maureen C. Cain prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-26.
Co-conspirators Sentenced for Roles in Marijuana Trafficking ConspiracyRead the Press Release
ALEXANDRIA, Va. – Two men were each sentenced today to over two years in prison for their respective roles in a large-scale marijuana trafficking conspiracy.
According to court documents, Nikco Van Nguyen, 22, of Falls Church, and Michael Ngo, 29, of Fairfax, acted as marijuana redistributors for Cuong Huynh, the leader of a criminal street gang known as the Asian Dragon Family. Huynh led the Washington, D.C. area marijuana trafficking ring that distributed over 100 kilograms of marijuana over a two-year time period.
Huynh operated at the center of the conspiracy, maintaining multiple wholesale sources of supply for marijuana while also maintaining a distribution network in the Washington, D.C. region. Huynh’s girlfriend, Victoria Nguyen, stored tens of thousands of dollars in cash proceeds at a time from the sale of marijuana and safeguarded those earnings for the next wholesale purchase. Nikco Nguyen and Michael Ngo, who were also members of the Asian Dragon Family, distributed marijuana for Huynh, picked up cash proceeds from customers and re-packaged larger quantities of marijuana into redistribution amounts.
Victoria Nguyen was sentenced to two years in prison on April 5 for her role in the conspiracy. Huynh is scheduled for sentencing on May 3.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Special Assistant U.S. Attorney Lena Munasifi and Assistant U.S. Attorney Dennis M. Fitzpatrick prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-12 and 1:19-cr-17.
WikiLeaks Founder Charged in Computer Hacking ConspiracyRead the Press Release
Julian P. Assange, 47, the founder of WikiLeaks, was arrested today in the United Kingdom pursuant to the U.S./UK Extradition Treaty, in connection with a federal charge of conspiracy to commit computer intrusion for agreeing to break a password to a classified U.S. government computer.
According to court documents unsealed today, the charge relates to Assange’s alleged role in one of the largest compromises of classified information in the history of the United States.
The indictment alleges that in March 2010, Assange engaged in a conspiracy with Chelsea Manning, a former intelligence analyst in the U.S. Army, to assist Manning in cracking a password stored on U.S. Department of Defense computers connected to the Secret Internet Protocol Network (SIPRNet), a U.S. government network used for classified documents and communications. Manning, who had access to the computers in connection with her duties as an intelligence analyst, was using the computers to download classified records to transmit to WikiLeaks. Cracking the password would have allowed Manning to log on to the computers under a username that did not belong to her. Such a deceptive measure would have made it more difficult for investigators to determine the source of the illegal disclosures.
During the conspiracy, Manning and Assange engaged in real-time discussions regarding Manning’s transmission of classified records to Assange. The discussions also reflect Assange actively encouraging Manning to provide more information. During an exchange, Manning told Assange that “after this upload, that’s all I really have got left.” To which Assange replied, “curious eyes never run dry in my experience.”
Assange is charged with conspiracy to commit computer intrusion and is presumed innocent unless and until proven guilty beyond a reasonable doubt. He faces a maximum penalty of five years in prison if convicted. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General for National Security John C. Demers, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia and Assistant Director in Charge Nancy McNamara of the FBI’s Washington Field Office made the announcement after the charges were unsealed. First Assistant U.S. Attorney Tracy Doherty-McCormick, Assistant U.S. Attorneys Kellen S. Dwyer, Thomas W. Traxler and Gordon D. Kromberg, and Trial Attorneys Matthew R. Walczewski and Nicholas O. Hunter of the Justice Department’s National Security Division are prosecuting the case.
The extradition will be handled by the Department of Justice’s Office of International Affairs.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
WikiLeaks Founder Charged in Computer Hacking ConspiracyRead the Press Release
ALEXANDRIA, Va. – Julian P. Assange, 47, the founder of WikiLeaks, was arrested today in the United Kingdom pursuant to the U.S./UK Extradition Treaty, in connection with a federal charge of conspiracy to commit computer intrusion for agreeing to break a password to a classified U.S. government computer.
According to court documents unsealed today, the charge relates to Assange’s alleged role in one of the largest compromises of classified information in the history of the United States.
The indictment alleges that in March 2010, Assange engaged in a conspiracy with Chelsea Manning, a former intelligence analyst in the U.S. Army, to assist Manning in cracking a password stored on U.S. Department of Defense computers connected to the Secret Internet Protocol Network (SIPRNet), a U.S. government network used for classified documents and communications. Manning, who had access to the computers in connection with her duties as an intelligence analyst, was using the computers to download classified records to transmit to WikiLeaks. Cracking the password would have allowed Manning to log on to the computers under a username that did not belong to her. Such a deceptive measure would have made it more difficult for investigators to determine the source of the illegal disclosures.
During the conspiracy, Manning and Assange engaged in real-time discussions regarding Manning’s transmission of classified records to Assange. The discussions also reflect Assange actively encouraging Manning to provide more information. During an exchange, Manning told Assange that “after this upload, that’s all I really have got left.” To which Assange replied, “curious eyes never run dry in my experience.”
Assange is charged with conspiracy to commit computer intrusion and is presumed innocent unless and until proven guilty beyond a reasonable doubt. If convicted, he faces a maximum penalty of five years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, John C. Demers, Assistant Attorney General for National Security, and Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after the charges were unsealed. First Assistant U.S. Attorney Tracy Doherty-McCormick, Assistant U.S. Attorneys Kellen S. Dwyer, Thomas W. Traxler and Gordon D. Kromberg, and Trial Attorneys Matthew R. Walczewski and Nicholas O. Hunter of the Justice Department’s National Security Division are prosecuting the case.
The extradition will be handled by the Department of Justice’s Office of International Affairs.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-111.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Terwilliger Joins ATF’s National Crime Gun Intelligence BoardRead the Press Release
ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger has joined law enforcement leaders from around the country at the ATF’s National Crime Gun Intelligence Governing Board meeting in Huntsville, Alabama. (Click here for tweet and photo)
“It is an honor to join such an accomplished group of law enforcement officials in pursuit of reducing firearms violence,” said Terwilliger. “Already here in the Eastern District we have seen the benefits of the National Integrated Ballistic Information Network, or NIBIN, in helping solve shootings, and more help is on the way with the City of Richmond Police Department scheduled to receive their own NIBIN machine this fall. I believe this will be a game-changer in Richmond. Not only will it help us solve shootings, but it will also offer a deterrent effect in that criminals will know every time they fire a gun during a crime of violence, we will use this technology to assist us in matching the casing, tracking the gun, and hunting down the trigger-puller. The ATF’s leadership on this program and commitment to providing law enforcement officers around the country with the tools they need to solve firearms crimes is beyond impressive. I am thankful for the opportunity to serve on this national board and represent the interests of the Eastern District of Virginia.”
The two-day meeting of law enforcement leaders will include a tour of the National Integrated Ballistic Information Network (NIBIN) National Correlation Training Center and strategic discussions on NIBIN, a high-tech program that automates ballistics evaluations and provides actionable investigative leads in a timely manner. Terwilliger made acquiring NIBIN machines here in the Eastern District a high priority immediately after taking the reigns as U.S. Attorney in May 2018. Law enforcement in the Eastern District currently has access to two NIBIN machines: One in Beltsville, Maryland, that services law enforcement in Northern Virginia; and a machine in Newport News that is shared by the Newport News Police Department and the Hampton Police Department. The City of Richmond Police Department is scheduled to receive its own NIBIN machine this fall.
ATF Deputy Director Thomas E. Brandon said the bureau is pleased Terwilliger accepted an invitation to join the board.
“United States Attorney Terwilliger’s extensive experience in both prosecuting violent firearm offenders and developing Department of Justice policies to combat firearm violence provides essential expertise to the Crime Gun Intelligence Governing Board,” said ATF Deputy Director Thomas E. Brandon. “ATF is fully committed to reducing gun violence in communities across the nation and the Governing Board, which includes police chiefs, forensic lab directors and federal and state prosecutors, is vital to the success of our mission. ATF’s National Integrated Ballistic Information Network helps disrupt the shooting cycle by assisting investigators in identifying firearms involved in more than one crime, often leading to the arrest of active trigger pullers and the firearm traffickers who illegally supply them with guns. NIBIN focuses investigations on our nation’s most violent offenders, enhancing the effectiveness of law enforcement in making our communities safer. We thank United States Attorney Terwilliger for his commitment to public safety the Eastern District of Virginia and our nation, and greatly appreciate his joining the Board.”
Established in 2016, the board uses the collective experience of federal, state, and local experts in the fields of forensics, law enforcement, and criminal law to ensure ATF receives valuable input on national programs related to Crime Gun Intelligence. Members of the 23-member board serve 3-year terms and are eligible for re-appointment. It meets biannually in different cities across the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Man Sentenced to 17 Years in Prison for Bank RobberiesRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to 17 years in prison for aiding and abetting the commission of two armed bank robberies.
According to court documents, Andrew Welton, aka “Manny”, 28, along with two associates, participated in a bank robbery on Dec. 20, 2017. Welton scoped out the BB&T bank on Lakeside Avenue in Henrico, and then provided Amber Fusco with a revolver while Jennifer Bessette wrote the demand note and served as the getaway car driver. Three days later, the trio committed a similar bank robbery, this time involving the Wells Fargo Bank in Richmond. After the robbery, Welton was stopped by law enforcement and part of the proceeds from the robbery were recovered from his vehicle.
Co-defendants Jennifer Bessette and Amber Fusco were previously sentenced to 7 1/2 years and 15 years in prison, respectively.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, Humberto I. Cardounel, Jr., Chief of Henrico County Police Division, and William C. Smith, Interim Chief of Richmond Police, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Angela Mastandrea-Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-163.
Woman Pleads Guilty to Defrauding Non-Profit OrganizationRead the Press Release
NORFOLK, Va. – A Newport News woman pleaded guilty today to her role in a conspiracy to defraud the Patient Advocate Foundation (PAF), a non-profit corporation that provides case management services and financial aid to Americans with chronic, life-threatening, and debilitating illnesses.
According to court documents, Andrea Braxton Wallace, 39, was a PAF employee assigned to work with their Co-Pay Relief Program. The program is designed to help low-income individuals pay for medications and treatments associated with certain diagnosed illnesses, such as Hepatitis C, various cancers, and HIV/AIDS. Eligibility for the program is based upon an individual’s diagnosed illness and annual household income. If approved, a PAF patient is awarded a grant (typically ranging from $12,000 to $25,000 per year) against which they can make claims for reimbursement for medications and treatments attendant to their disease.
The scheme, which was run by a group of PAF employees and several “outsiders”, involved creating fake patient accounts with false diagnoses, then making false claims for reimbursement against the grants that were awarded. Once the reimbursement checks were cut, the co-conspirators would cash them and split the proceeds. Wallace was employed as a Verification Specialist at PAF. She recruited two outsiders to create fake applications, cash checks, and otherwise participate in the scheme. She was the direct cause of about $35,000 in losses to PAF.
Wallace pleaded guilty to conspiracy to commit health care fraud and faces a maximum penalty of 10 years in prison when sentenced on July 11. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea. Assistant U.S. Attorney V. Kathleen Dougherty is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-35.
Third Defendant Pleads Guilty to Role in Pharmacy RobberyRead the Press Release
NEWPORT NEWS, Va. – A Lackey man pleaded guilty today to robbery and brandishing a firearm.
According to court documents, Tysean L. Ransome, 25, along with Derrick Johnson, entered the Glendale Pharmacy in Newport News and robbed two employees of prescription pills at gunpoint. A third defendant, Jonathan Williams, directed Ransome and Johnson to do the robbery.
Co-defendants Johnson and Williams each previously pleaded guilty and are scheduled for sentencing in June and July, respectively.
Ransome pleaded guilty to interference with commerce by robbery and brandishing a firearm in furtherance of a crime of violence. He faces a mandatory minimum of 7 years to life on the firearms charge and a maximum sentence of 20 years in prison on the robbery charge when sentenced on July 15. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, and Steve R. Drew, Chief of Newport News Police, made the announcement after U.S. District Judge Raymond A. Jackson accepted the plea. Managing Assistant U.S. Attorney Howard J. Zlotnick and Assistant U.S. Attorney Lisa R. McKeel are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-6.
Illegal Alien with History of Sexual Battery Guilty of Reentering U.S.Read the Press Release
ALEXANDRIA, Va. – An illegal alien with a criminal history that includes sexually assaulting a minor pleaded guilty today to illegally reentering the United States.
According to court documents, Nelson Aldama Alarcon, 38, was encountered by law enforcement while driving without a license and came up in the system as having failed to register as a sex offender. Alarcon pleaded guilty to sexual battery in February 2000 after sexually assaulting his roommate’s four-year-old child. Alarcon was deported at taxpayer expense in 2004.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director of U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington D.C., made the announcement after U.S. District Judge Anthony J. Trenga accepted the plea. Assistant U.S. Attorney Carina A. Cuellar and Special Assistant U.S. Attorney Patrick Reid are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-78.
Petersburg Inmate Sentenced for Possessing Contraband in PrisonRead the Press Release
RICHMOND, Va. – A Maryland man was sentenced today to 18 months in federal prison for possessing Suboxone, a Schedule III controlled substance, while in federal prison
According to court documents, on July 5, 2018, James Pixley, 29, of Leonardtown, received 35 Suboxone strips, which are available only by prescription, from an individual who was with him in the visiting area of the prison. Shortly after he took possession of the Suboxone, prison officials questioned the visitor who admitted to having brought the Suboxone to Pixley at his request.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, and John I. Dixon III, Chief of Petersburg Police, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Angela Mastandrea-Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-011.
Felon Sentenced to Prison for Firearm and Obstruction of Justice ChargesRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to more than four and a half years in prison for being a felon in possession of a firearm and conspiracy to obstruct justice.
According to court documents, in April 2018, Richmond Police Officers performed a traffic stop on the vehicle of Keith Gasque, 26, for suspicion of illegal tint. During the stop, officers learned that Gasque had a suspended license and asked him to step out of the vehicle while the officers continued to ask him questions. Gasque then agreed to allow the officers to perform a protective sweep of his vehicle, leading to the officers finding a loaded magazine in the center console. When officers attempted to place him in handcuffs, Gasque fled on foot, circled back to vehicle and again fled in the vehicle, nearly striking one of the officers. After officers eventually apprehended Gasque and fully searched the vehicle, they found two loaded firearms in a backpack belonging to Gasque, and learned that the original magazine found in the center console did not fit either of the two firearms. Further investigation led law enforcement to learn that Gasque had recruited others to straw purchase the firearms on his behalf.
After Gasque was charged and detained in the Richmond City Jail, Gasque and his mother, Regina Gasque, agreed to recruit some of Gaque’s friends to falsely take responsibility for having owned the firearms officers found in Gasque’s vehicle. One of those friends, Trammel Lewis, is also one of the individuals who straw purchased one of the found firearms. During phone calls that Gasque made while in jail, Gasque spoke directly with Lewis about the false statements that Gasque wanted Lewis to make to law enforcement, including what Lewis was supposed to convey to a federal Grand Jury. Both Regina Gasque and Lewis are co-defendants in this case, and are scheduled to be sentenced later this month.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Stephen E. Anthony prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of theDistrict Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-135.
Bloods Gang Member Sentenced to Life Plus 50 Years for Multiple MurdersRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to a 5 life sentences plus an additional 50 years in prison for his involvement in a violent crime spree, including four murders, multiple attempted murders, robbery, attempted robbery, and firearms offenses stemming from his involvement in the Nine Trey Gangsters, a street gang affiliated with the United Blood Nation.
According to court documents, Nathaniel Tyree Mitchell, aka “Savage”, 26, was convicted of conspiracy to violate the Racketeer Influenced and Corrupt Organizations Act (RICO), four counts of murder, in violation of the Violent Crimes in Aid of Racketeering Act (VICAR), six counts of VICAR attempted murder, five counts of VICAR assault with a dangerous weapon, and a number of other firearms offenses related to those shootings.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Billy Club. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, Mark R. Herring, Attorney General of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, Angela Greene, Interim Chief of Portsmouth Police, Larry D. Boone, Chief of Norfolk Police, James A. Cervera, Chief of Virginia Beach Police, Col. K.L. Wright, Chief of Chesapeake Police, and Thomas E. Bennett, Chief of Suffolk Police, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis. Assistant U.S. Attorneys Joseph E. DePadilla, Andrew C. Bosse, John F. Butler, and Trial Attorney Teresa A. Wallbaum of the Justice Department’s Organized Crime and Gang Section prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-130-3.
Bloods Gang Member Sentenced to Five Life Sentences Plus 50 Years in Prison for RICO Conspiracy and Multiple MurdersRead the Press Release
A Portsmouth man was sentenced today to five life sentences plus an additional 50 years in prison for his involvement in a violent crime spree, including his commission of four murders, multiple attempted murders, robbery, attempted robbery and firearms offenses stemming from his involvement in the Nine Trey Gangsters, a street gang affiliated with the United Blood Nation.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia, Attorney General of Virginia Mark R. Herring, Special Agent in Charge Martin Culbreath of the FBI’s Norfolk Field Office, Interim Chief of Portsmouth Police Angela Greene, Chief of Norfolk Police Larry D. Boone, Chief of Virginia Beach Police James A. Cervera, Chief of Chesapeake Police Col. K.L. Wright and Chief of Suffolk Police Thomas E. Bennett made the announcement.
According to court documents, Nathaniel Tyree Mitchell, aka Savage, 26, was convicted of conspiracy to violate the Racketeer Influenced and Corrupt Organizations Act (RICO), four counts of murder, in violation of the Violent Crimes in Aid of Racketeering Act (VICAR), six counts of VICAR attempted murder, five counts of VICAR assault with a dangerous weapon and a number of other firearms offenses related to those shootings before Chief U.S. District Judge Mark S. Davis for the Eastern District of Virginia.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Billy Club. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Trial Attorney Teresa A. Wallbaum of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys Joseph E. DePadilla, Andrew C. Bosse and John F. Butler of the Eastern District of Virginia prosecuted the case.
MS-13 Gang Member Sentenced to Prison for Illegal ReentryRead the Press Release
ALEXANDRIA, Va. – A Salvadoran man who has been charged with multiple murders in El Salvador was sentenced today to one year in prison for illegally reentering the United States.
According to court documents, Fily Giovany Amaya-Martinez, 36, a known MS-13 member, was removed at taxpayer expense from the United States to El Salvador in 2003 following a conviction for an aggravated felony in Fairfax County. Amaya-Martinez reentered the United States illegally in 2009 after being charged with multiple murders in El Salvador and lived undetected in northern Virginia until an anti-gang task force discovered his illegal presence in 2018.
“After allegedly committing multiple murders in El Salvador, this violent MS-13 gang member fled El Salvador and illegally crossed our southern border to get back into the United States,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This case is a prime example of our need for strong borders and why this office continues to prioritize criminal immigration cases. My thanks to the dedicated anti-gang task force agents for their outstanding work on this important case, and for removing this dangerous felon from our community.”
“Amaya-Martinez fled justice in his home country and defied the laws of this country when he illegally reentered,” said Lyle Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. “Today’s sentencing answers his defiance. We stand with the U.S. Attorney’s Office in resolute commitment to continue to ensure that our communities are safe from dangerous criminals.”
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after sentencing by U.S. District Judge Liam O’Grady. Special Assistant U.S. Attorney Andrew Dober and Assistant U.S. Attorney Alexander Berrang prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-413.
Former Leader of Honduran Cocaine Trafficking Organization Sentenced to 37 Years in PrisonRead the Press Release
The former leader of a large-scale Honduran drug trafficking organization was sentenced today to 37 years in prison for trafficking thousands of kilograms of cocaine bound for the United States.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia and Special Agent in Charge Jesse R. Fong of the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement.
Noe Montes-Bobadilla, 35, was sentenced by U.S. District Judge Liam O’Grady for the Eastern District of Virginia. According to court documents, Montes-Bobadilla, was the leader of the Montes-Bobadilla drug-trafficking organization, or “Los Montes,” one of the largest drug cartels in Honduras. Los Montes dominated the drug-trafficking activity in the area of Francia, Honduras, in the Department of Colón. At that location and in the neighboring La Mosquitia region, Montes-Bobadilla’s organization and associates received shipments of cocaine sent via boats, clandestine aircraft, and even submarines by Colombian suppliers. Each shipment generally carried hundreds of, if not more than a thousand, kilograms of cocaine. Montes-Bobadilla worked closely with other drug-trafficking organizations, such as Los Valles and Los Cachiros, to import the cocaine in Honduras and transport it north through Central America and Mexico to its ultimate destination, the United States. To protect his cocaine-trafficking operations, Montes-Bobadilla bribed law enforcement officers and officials, and engaged in numerous acts of violence, including murder. Through these efforts, Montes-Bobadilla and his organization distributed thousands of kilograms of cocaine destined for the United States.
“Montes-Bobadilla was a violent leader of one of the largest drug-trafficking organizations in Honduras,” said U.S. Attorney Terwilliger. “The resources and collaborative efforts used to investigate this massive drug trafficking organization is a prime example of the extraordinary investigative capabilities of federal law enforcement and prosecutors here in the Eastern District. My sincere thanks to the DEA and the prosecution team for their outstanding work on this high-impact, international drug trafficking organization - also known as a DTO.”
“This is a prime example of how federal and state agencies can work together to make a major impact on a local, state, national and inter-national scale, said Jesse R. Fong, Special Agent In Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division. “DEA would like to give special thanks to the Virginia State Police for their tireless contribution in bringing Noe Montes-Bobadilla and his organization to justice.”
The case was investigated by the DEA as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Harpoon through DEA’s HIDTA Task Force in Annandale, Virginia. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Assistance in the investigation and prosecution was provided by the Virginia State Police, FBI’s Washington Field Office, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., and the U.S. Attorney’s Offices for the Southern District of New York, the Middle District of Florida, and the Southern District of Florida. Assistance was also provided by the Honduran National Police.
Trial Attorney Anthony T. Aminoff of the Justice Department’s Criminal Division, Narcotic and Dangerous Drug Section and Assistant U.S. Attorneys Thomas W. Traxler and James L. Trump of the Eastern District of Virginia prosecuted the case.
Former Leader of Honduran Cocaine Trafficking Organization SentencedRead the Press Release
ALEXANDRIA, Va. – The former leader of a large-scale Honduran drug trafficking organization was sentenced today to 37 years in prison for trafficking thousands of kilograms of cocaine bound for the United States.
“Montes-Bobadilla was a violent leader of one of the largest drug trafficking organizations in Honduras,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The resources and collaborative efforts used to investigate this massive drug trafficking organization is a prime example of the extraordinary investigative capabilities of federal law enforcement and prosecutors here in the Eastern District. My sincere thanks to the DEA and the prosecution team for their outstanding work on this high-impact, international drug trafficking organization—also known as a DTO.”
According to court documents, Noe Montes-Bobadilla, 35, was the leader of the Montes-Bobadilla drug trafficking organization, or “Los Montes,” one of the largest drug cartels in Honduras. Los Montes dominated the drug trafficking activity in the area of Francia, Honduras, in the Department of Colón. At that location and in the neighboring La Mosquitia region, Montes-Bobadilla’s organization and associates received shipments of cocaine sent via boats, clandestine aircraft, and even submarines by Colombian suppliers. Each shipment generally carried hundreds of, if not more than a thousand, kilograms of cocaine. Montes-Bobadilla worked closely with other drug trafficking organizations, such as Los Valles and Los Cachiros, to import the cocaine in Honduras and transport it north through Central America and Mexico to its ultimate destination, the United States. To protect his cocaine trafficking operations, Montes-Bobadilla bribed law enforcement officers and officials, and engaged in numerous acts of violence, including murder. Through these efforts, Montes-Bobadilla and his organization distributed thousands of kilograms of cocaine destined for the United States.
“This is a prime example of how federal and state agencies can work together to make a major impact on a local, state, national and inter-national scale, said Jesse R. Fong, Special Agent In Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division. “DEA would like to give special thanks to the Virginia State Police for their tireless contribution in bringing Noe Montes-Bobadilla and his organization to justice.”
The case was investigated by the DEA as part of the Organized Crime Drug Enforcement Task Force (OCDETF) Operation Harpoon through DEA’s HIDTA Task Force in Annandale, Virginia. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by U.S. District Judge Liam O’Grady.
Assistance in the investigation and prosecution was provided by the Virginia State Police, FBI’s Washington Field Office, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., and the U.S. Attorney’s Offices for the Southern District of New York, the Middle District of Florida, and the Southern District of Florida. Assistance was also provided by the Honduran National Police. Assistant U.S. Attorneys Thomas W. Traxler and James L. Trump, and Trial Attorney Anthony T. Aminoff of the Justice Department’s Criminal Division, Narcotic and Dangerous Drug Section prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-290.
Former Employee of D.C. School Admits to Transporting Child Pornography Across State Lines and Accessing it over the Dark WebRead the Press Release
A West Virginia man pleaded guilty today to transportation of child pornography, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia and Special Agent in Charge Matthew J. DeSarno of the FBI Washington Field Office’s Criminal Division.
According to court documents, in 2013, Paul Joseph Wilson, 49, lived and worked at a school in Washington, D.C. While living in a dormitory at the school, Wilson downloaded child pornography from the internet and subscribed to child-pornography-specific newsgroup services. Wilson later transported child pornography from D.C. to Virginia. Wilson also admitted to being a member of a child pornography website that operated over the dark web and to using the dark web to access and download images of children being sexually abused. Sentencing has been set for July 12, 2019 before Senior U.S. District Judge T.S. Ellis III.
The case is being investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force. Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Nathaniel Smith III of the Eastern District of Virginia are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Armed Drug Dealer Sentenced for Drug Trafficking and Possessing FirearmsRead the Press Release
NORFOLK, Va. – A Chesapeake man was sentenced today to more than five years in prison for conspiracy to distribute and possess with intent to distribute methamphetamine and possession of firearms by an unlawful user of a controlled substance.
“Youngblood was an armed drug dealer who profited off of the misery of others,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Additionally, this case represents the serious danger that armed drug dealers and armed drug users pose to first responders. In this case, officers found Youngblood unconscious in his bedroom, overdosed on a mixture of cocaine and fentanyl and surrounded by four loaded handguns, $5,000 in cash, ammunition, and other drugs. This situation clearly endangered the safety of those responsible for saving his life. My sincere thanks to the Chesapeake Police, medical first responders and our federal law enforcement partners for their terrific work on this case.”
According to court documents, between December 2016 and November 2017, Marc Louie Youngblood, Jr., 51, received approximately 16 United States Mail parcels containing methamphetamine from California to an auto parts store where he worked in Norfolk. Youngblood sold this methamphetamine in Chesapeake and was also a habitual user of methamphetamine and marijuana during this time.
"Drugs like heroin and methamphetamine destroy lives and communities, and Youngblood not only participated in the furtherance of this destruction, but as a user, nearly lost his own life to these substances,” said Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Norfolk. “Let Youngblood’s case serve as a lesson to others that HSI and its law enforcement partners will continue to crack down on narcotics trafficking in the local area to protect the lives of others."
In November 2017, Chesapeake Police responded to an overdose call at a residence in Chesapeake and found Youngblood unconscious on his bedroom floor. The police observed marijuana, drug paraphernalia and firearms in plain view in Youngblood’s bedroom. After Youngblood was transported to the hospital, CPD obtained a search warrant for his room. The search yielded four loaded handguns, $5,000 in cash, ammunition, 40 grams of marijuana, 23 grams of “ice” (methamphetamine) and several memory card storage discs containing multiple videos depicting Youngblood smoking methamphetamine and using heroin. It was later determined that Youngblood overdosed after injecting a mixture of cocaine and fentanyl, commonly referred to as a “speedball.”
“Postal Inspectors work aggressively to eliminate illegal narcotics from the U.S. Mail. Our strong dedication to these efforts helps us to protect both our employees and the public from this criminal activity,” said Peter R. Rendina, Inspector in Charge, U.S. Postal Inspection Service –Washington Division. “In addition, we maintain excellent relationships with our local, state and federal law enforcement partners and from this, we end up with successful resolutions like we did in this investigation.”
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, Col. K.L. Wright, Chief of Chesapeake Police, and James A. Cervera, Chief of Virginia Beach Police, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis. Assistant U.S. Attorney Darryl Mitchell prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-139-1.
Armed Cocaine Dealer Sentenced to 5 Years in PrisonRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to five years in prison for possession with intent to distribute cocaine and being a felon in possession of a firearm.
“Armed drug traffickers pose serious threats to the safety of law abiding people,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Dowd carried a firearm and dealt drugs from his home in Creighton Court, an area of Richmond long plagued by drug trafficking and one that has the full attention of this office and our law enforcement partners. We are 100 percent committed to doing our part so that all can live in as crime free a neighborhood as possible, and will continue to devote law enforcement resources to similar areas of need around the City of Richmond and across the Eastern District of Virginia.”
According to court documents, Cleveland Dowd, 37, was under surveillance by the Richmond Police Department in the Creighton Court area as part of a narcotics investigation. These observations prompted law enforcement to conduct controlled purchases of crack cocaine from Dowd in his home on April 13 and April 26, 2018. Following those controlled purchases, officers executed a search warrant and found more than 100 grams of powdered cocaine, multiple ounces of marijuana, $40,000 in cash, and a 9mm firearm. Dowd admitted to all of the drugs, cash, and gun, and admitted that he intended to “cook” the powdered cocaine into crack cocaine prior to selling it. Dowd had been previously convicted of possession with intent to distribute marijuana, a felony, and was prohibited from possessing a firearm.
“Dowd’s conviction and lengthy prison time should send a strong message to the violent criminals operating in this district and elsewhere in Virginia,” said Ashan Benedict, Special Agent in Charge of the ATF Washington Field Division. “We will do everything in our power to bring to justice these perpetrators and restore some quality of life to the citizens of the neighborhoods where they operate.”
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Stephen E. Anthony prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:18-cr-106.
State Department Contracting Officer Indicted for Bribery and Procurement FraudRead the Press Release
A 17-count indictment was unsealed today charging Zaldy N. Sabino, a contracting officer with the U.S. Department of State, with conspiracy, bribery, honest services wire fraud, and making false statements.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, Inspector General Steve A. Linick of the U.S. Department of State and Assistant Director in Charge Nancy McNamara of the FBI’s Washington Field Office made the announcement.
According to the indictment, between November 2012 and early 2017, Sabino and the owner of a Turkish construction firm allegedly engaged in a bribery and procurement fraud scheme in which Sabino received at least $239,300 in cash payments from the Turkish owner while Sabino supervised multi-million dollar construction contracts awarded to the Turkish owner’s business partners and while Sabino made over a half million in structured cash deposits into his personal bank accounts. Sabino allegedly concealed his unlawful relationship by, among other things, making false statements on financial disclosure forms and during his background reinvestigation.
The case is being investigated by the Department of State’s Office of Inspector General and the FBI’s Washington Field Office. Trial Attorney Edward P. Sullivan of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Jack Hanly of the Eastern District of Virginia are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Chesapeake Sheriff’s Deputy Pleads Guilty to CorruptionRead the Press Release
NORFOLK, Va. – A Virginia Beach man pleaded guilty today to corruption charges related to his smuggling of drugs and other contraband into the Chesapeake City Jail.
According to court documents, Jenis Leroy Plummer, Jr., 34, used his official position as Chesapeake Sheriff’s Deputy to smuggle heroin, cocaine, cell phones, e-cigarettes and other contraband into the Chesapeake City Jail. In exchange, conspirators gave Plummer over $6,500 in cash. From July 2017 through January 2019, Plummer knowingly and intentionally conspired with an inmate in the Chesapeake City Jail to engage in this scheme. On numerous occasions throughout the conspiracy, Plummer contacted the inmate’s girlfriend and arranged to meet her at various locations in Hampton Roads to pick up the contraband. At these meetings, the inmate’s girlfriend gave Plummer the illicit contraband in blue latex gloves. Plummer then smuggled the contraband into the jail and delivered the items to the inmate.
In exchange for using his official position, numerous individuals connected to the inmate paid Plummer with cash, via CashApp, and via PayPal. On one occasion, law enforcement observed the inmate’s girlfriend drop a black sock containing contraband at an arranged meeting location in a cul-de-sac on Horse Run Drive in Chesapeake. Law enforcement recovered the black sock and replaced the suspected bags of narcotics with two bags of fake narcotics and returned the black sock to its original location. Thereafter, law enforcement observed Plummer travel to the cul-de-sac and retrieve the black sock containing contraband that included the fake narcotics. After being approached by law enforcement, Plummer, and his conspirators, separately admitted their involvement in the conspiracy.
Plummer pleaded guilty to and faces a maximum penalty of 20 years in prison when sentenced on June 17. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after Senior U.S. District Judge Robert G. Doumar accepted the plea. Assistant U.S. Attorneys Melissa E. O’Boyle and Joseph E. Depadilla are prosecuting the case.
The Chesapeake Sheriff’s Office has provided significant assistance and full cooperation during the investigation.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-25.
Two Men Plead Guilty to Heroin Distribution ConspiracyRead the Press Release
ALEXANDRIA, Va. – A West Virginia man and an Alexandria man pleaded guilty today to conspiracy to distribute heroin in and around Northern Virginia.
According to court documents, Rodney Malcolm Livengood, 57, of Martinsburg, and Nicholas George March, 28, of Alexandria, conspired to obtain heroin from sources of supply in Baltimore and bring it back to Sterling for distribution to users. After the narcotics were packaged for individual sale, Livengood and March delivered the heroin to users in Loudoun and Fairfax counties.
Livengood and March each pleaded guilty to conspiracy to distribute 100 grams or more of heroin and distribution of a controlled drug and face a mandatory minimum of five years in prison and a maximum penalty of 60 years in prison when sentenced on June 28. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Mark R. Herring, Attorney General of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Michael L. Chapman, Loudoun County Sheriff, made the announcement after U.S. District Judge Anthony J. Trenga accepted the plea. Special Assistant U.S. Attorney Marc J. Birnbaum is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-96.
Arlington Gym Owner Sentenced to Prison for Drug CrimesRead the Press Release
ALEXANDRIA, Va. – An Arlington man was sentenced today to nearly four years in prison for his role in purchasing 2 kilograms of cocaine from undercover detectives.
According to court documents, Pascal Laporte, 40, intended to purchase 2 kilograms of cocaine from undercover Fairfax County Police detectives who purported themselves as members a drug cartel based in Mexico. For over a year, Laporte expressed to a confidential source his need for a cheaper supplier of cocaine who could provide him with kilogram quantities. Laporte first met the undercover detectives in early August 2018 at a restaurant in Tysons Corner, to discuss pricing per kilogram and the quantity Laporte desired. Laporte told the undercover detectives it would take him a week to sell off 1 kilogram of cocaine.
In the weeks leading up to his arrest, Laporte communicated with the CS his desire to start with the purchase of 2 kilograms of cocaine, and if the arrangement went well, he would then purchase 10 kilograms, and then upwards of 100 kilograms per month. Laporte even traveled to Miami with the intention to find a means to transport the cocaine himself to the Northern Virginia area in an effort to obtain the cheapest price per kilogram. Laporte was arrested in August 2018 as he was inspecting the cocaine that he was to purchase. He brought $45,000 to the meeting, as partial payment for the 2 kilograms.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Special Assistant U.S. Attorney Lena Munasifi prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-368.
Man Sentenced to Prison for $1.8 Million in Real Estate Fraud SchemeRead the Press Release
ALEXANDRIA, Va. – A Culpepper man was sentenced today to nine years in prison for operating a Ponzi scheme that took in approximately $9 million and defrauded over 20 victims of $1.8 million.
According to court documents, from 2014 through 2018, Brian Thomas Sapp, 38, formerly of Alexandria, committed wire fraud and aggravated identity theft in executing the scheme. Sapp preyed on his closest friends and their families, many of whom described Sapp as a “best friend” and “like a brother.” He caused financial hardship to many victims, including those with special needs children.
To execute the scheme, Sapp set up Novus Properties, claiming he had identified distressed single family homes in the District of Columbia, Maryland and Virginia, which he would purchase and then resell to guaranteed buyers. All he needed was investor funds to finance the property flips. On hundreds of occasions, Sapp fabricated a sophisticated set of interlocking purchase, sale, guarantee, and HUD-1 settlement documents to induce victims to part with money. He stole real identities of sellers and buyers and digitally forged their signatures hundreds of times. Sapp bragged that he was “killing it” and “dominating the market.” In reality, he never closed a single deal.
Instead, Sapp used investor money to fund a lavish lifestyle, including golf trips, meals out, and attending wealth-building seminars. Sapp spent $80,000 to purchase and customize a Mercedes van that he outfitted with special rooftop satellite TV antennas and flat screen TVs. Sapp loaded the van with professional grilling equipment, tents, food and beverage service stations, and other amenities so that he could host elaborate tailgating parties at Penn State football games, where he ate and drank with his victims at their expense, unbeknownst to them at the time.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Russell L. Carlberg prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-446.
Convicted Felon Sentenced to Prison for Possessing FirearmsRead the Press Release
ALEXANDRIA, Va. – A Fauquier County man was sentenced today to nearly three and a half years in prison for being a felon in possession of firearms.
According to court documents, Douglas Newton, 57, has several prior felony convictions, including convictions for unauthorized use of a vehicle and grand larceny, third degree homicide, and attempted unlawful wounding and use of a firearm during a felony. In October 2018, special agents with the ATF executed a search warrant at Newton’s residence and recovered three firearms and approximately 390 rounds of ammunition.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Patricia T. Giles prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-422.
Convicted Felon Sentenced to Prison for Possessing FirearmRead the Press Release
ALEXANDRIA, Va. – A Springfield man was sentenced today to nearly six years in prison for being a felon in possession of a firearm.
According to court documents, Sang June Han, 24, unlawfully possessed a loaded Glock pistol, on March 23, 2018, in Springfield. Han unlawfully possessed the firearm while shooting a music video, which was later posted to YouTube showing Han brandishing the pistol. Prior to the YouTube video being posted, Han posted photographs of himself on Instagram brandishing the firearm.
Han had previously been convicted of five felony offenses in Virginia and was on supervised probation at the time of this offense. Han’s 2013 felony conviction for attempted robbery was the result of an armed attempt to rob a drug dealer of drugs and money. According to the victim, Han repeatedly pistol-whipped the victim during the attempted robbery. Han’s 2015 felony conviction for possession of a controlled substance with intent to distribute was the result of a traffic stop during which law enforcement recovered 8.5 ounces of marijuana and a Smith & Wesson pistol from Han’s trunk. Han’s 2016 felony convictions for possession of cocaine and pentylone were the result of a police search of his hotel room during which police recovered 2 ounces of marijuana, 10 bundles of crack cocaine, and multiple bags of Xanax.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Nicholas U. Murphy II prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-384.
El Salvadoran Man Pleads Guilty to Illegal ReentryRead the Press Release
NORFOLK, Va. – An El Salvadoran national pleaded guilty today to illegal reentry after sustaining a felony conviction for aggravated sexual battery of a child less than 13 years old.
According to court documents, Ubaldo Adonay Moran-Arevalo, 37, was determined to be in the United States illegally in 2004 and ordered removed in 2005. He remained in the United States, and in 2008, he was arrested in Virginia Beach for sexually assaulting a child. After being convicted and sentenced, he was removed from the United States, but returned sometime later. Moran-Arevalo came to ICE’s attention several months ago after he was arrested in Virginia Beach for a DWI. He has since been convicted of that charge.
Moran-Arevalo faces a maximum penalty of 20 years in prison when sentenced on August 20. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jeffrey M. Jacoff, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea. Assistant U.S. Attorney William B. Jackson is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-165.
North Carolina Businessman Convicted of Tax and Fraud ChargesRead the Press Release
NEWPORT NEWS, Va. – A federal jury convicted an Asheville man late yesterday on 35 charges of conspiracy, tax fraud related to a fraudulent tax shelter, mail and wire fraud and money laundering.
According to court records and evidence presented at trial, Byron Hale Delavan, 63, engaged in a fraudulent tax and investment fraud scheme from approximately 2011 to 2016 that resulted in losses to victims of over $800,000, and a separate tax loss to the United States of over $400,000.
Delavan offered a fraudulent tax program to various individuals in the Tidewater area and elsewhere whereby individuals paid Delavan between $10,000 and $12,500 in order to obtain fraudulent losses to offset income on their tax returns. In doing so, Delavan purported to deduct business bad debts from non-operational entities he controlled, passing through these losses to client returns as if the clients were actually involved in these entities. Furthermore, Delavan solicited business loans and investments from some of the same and additional clients that he falsely represented would be used for business purposes. Contrary to this, Delavan used such funds for personal use, including the repayment of prior clients and personal expenses, such as private school tuition. Finally, Delavan purported to sell gold to certain clients, but made false representations related to the value or existence of the gold or the purpose of the funds obtained.
Delavan is scheduled to be sentenced on July 9. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), which led the investigation; and Judith W. Jagdmann, Chair of the Virginia State Corporation Commission (SCC), made the announcement after U.S. District Judge Raymond A. Jackson accepted the verdict. Assistant U.S. Attorney Brian J. Samuels is prosecuting the case.
The U.S. Postal Inspection Service provided assistance through the Newport News Financial Crimes Task Force.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:18-cr-23.
Hopewell City Employee Pleads Guilty to Fraud ConspiracyRead the Press Release
RICHMOND, Va. – A Richmond woman pleaded guilty today to her role in a conspiracy to defraud the City of Hopewell of funds intended for at-risk school children, and filing false tax returns.
“As a result of Karriem’s theft of nearly half a million dollars from the City of Hopewell, she deprived at-risk school children of critically needed counseling services,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Entrusted with the responsibility of ensuring those taxpayer funds were spent on improving the lives of at-risk children, Karriem chose instead to devise a complex fraud scheme to line her own pockets. We have a long history of investigating and prosecuting fraud cases here in the Eastern District, and we remain committed to working closely with our local and state partners to ensure that those who choose to engage in fraud activity are held accountable and brought to justice.”
According to court documents, Jamillah Karriem, 45, was employed by the City of Hopewell as the City’s Comprehensive Services Act (CSA) Coordinator. The Commonwealth of Virginia utilizes the CSA to provide state funding for services to high-risk children across the Commonwealth, and provides those state funds to localities, such as Hopewell. As the city’s CSA Coordinator, Karriem was responsible for directing CSA-funded contracts to service providers for at-risk school children in Hopewell.
“Karriem sought to benefit financially by devising a scheme to steal nearly half a million dollars from the City of Hopewell,” said Kelly Jackson, Special Agent in Charge of IRS-CI. “Her scheme ultimately took vital services away from the community, causing further damage to students in need of the support.”
In October 2011, Karriem directed a friend to form a business, A World of Possibilities (WOP), for the ostensible purpose of providing mentoring and counseling services to at-risk students at public schools in Hopewell. Karriem thereafter steered a CSA counseling services contract to WOP, and between November 2011 and June 2015, WOP billed the City of Hopewell for more than $480,000 worth of counseling services purportedly provided to a number of public school students. WOP did not actually provide any services to those students, however, and Karriem and her co-conspirator split the fraudulent proceeds. From 2012 to 2015, Karriem also filed four false tax returns, significantly under-reporting her income each year. Karriem’s total criminal tax loss amounts to at least $133,602.
Karriem pleaded guilty to conspiracy to commit mail fraud and making a false tax return, and faces a maximum penalty of 20 years in prison when sentenced on July 1. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. Assistant U.S. Attorneys Thomas A. Garnett and Kaitlin Cooke are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-58.
Honduran Man Pleads Guilty to Third Illegal EntryRead the Press Release
NORFOLK, Va. – A Honduran man pleaded guilty today to illegally reentering the United States for a third time.
According to court documents, Luis Omar Vallarez-Martinez, 36, first entered the United States illegally in April 2006, by wading across the Rio Grande river. He was apprehended by immigration authorities in Texas and removed back to Honduras. He again illegally entered the country in March 2009, and was again promptly removed. At some point, he illegally entered the United States for a third time. He was found in Norfolk in November 2018, when he was arrested on charges of public intoxication, brandishing a firearm, and reckless handling of a firearm.
Valladarez-Martinez pleaded guilty to reentry by an excluded, deported, and removed alien and faces a maximum penalty of two years in prison when sentenced on July 8. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jeffrey M. Jacoff, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea. Assistant U.S. Attorney V. Kathleen Dougherty is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-12.
Final Defendant in Virginia Beach Fentanyl Ring SentencedRead the Press Release
NORFOLK, Va. – A Virginia Beach man was sentenced today to more than 11 years in prison for his role in a heroin and fentanyl distribution conspiracy that resulted in an overdose death.
According to court documents, Christopher Allen Bardall, 34, sold at least 550 grams of fentanyl, which could translate to approximately 5,500 individual doses. He did so as a part of conspiracy with Michelle Best, whose drugs killed one young woman, K.R., and caused several other non-fatal overdoses. Best was sentenced on March 14 to 30 years in prison.
Bardall was a street dealer who distributed fentanyl, supplied by Best, directly to K.R. Bardall knew the fentanyl he was dealing was strong and that it had resulted in multiple overdoses by clients of his who used it. On Dec. 17, 2017, within hours of K.R.’s coma and death, officers from the Virginia Beach Police Department located Bardall and arrested him after a vehicle and foot pursuit.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and James A. Cervera, Chief of Virginia Beach Police, made the announcement after sentencing by Chief U.S. District Judge Mark S. Davis. Assistant U.S. Attorneys John F. Butler and Andrew C. Bosse prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-147-3.
Opioid crisis demands full-court-pressRead the Press Release
By: G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia
The Virginian-Pilot
When Federal Reserve Chairman Jerome Powell appeared on “60 Minutes” on March 10, he cited the opioid crisis as a threat to our country’s economic strength. He noted that opioid addiction has contributed to the “unusually large number of people in their prime working years who are not in the labor force” in the United States, which now “has a lower labor force participation rate than almost every other advanced country.”
His comments should remind Americans that the opioid epidemic not only destroys lives, but threatens the strength and viability of our nation. In my role as U.S. attorney for the Eastern District of Virginia, I see the alarming dimensions of this crisis daily. I have observed the emergence of a triple threat: 1) increasingly potent opioids dealt at the street level; 2) Chinese sourced fentanyl illicitly pressed into pills and disguised as legitimate prescription drugs; and 3) the diversion of prescription drugs onto the street. Users are at an increased risk because they are either unaware of what they are buying or they are using illicit narcotics with far more power than their bodies can withstand.
All across the Eastern District of Virginia, including here in Hampton Roads, I have made it one of my top priorities to prosecute opioid related cases. I make it known to my law enforcement partners that we do not have quantity threshold requirements for prosecuting fentanyl and heroin distribution cases. Further, any amount of fentanyl or heroin that results in an overdose has my prosecutors’ full attention and will be thoroughly investigated and prosecuted.
To maximize impact, we also have emphasized prosecutions of health care fraud and dirty doctors who betray their oath and add fuel to the opioid fire. We prosecute suppliers whether they are based in Virginia, Mexico, or hiding in the deep crevices of the Dark Web. We are 100 percent committed to attack this threat from every angle because we fully understand the fatal tragedies that unfold every day.
While multiple areas of the country are beginning to benefit from community-wide education and prevention efforts, these approaches must be buttressed by robust enforcement. This will remain true as long as local drug dealers, backed by a worldwide network of suppliers, continue to profit by poisoning our communities. On March 14, one such individual, a wholesale supplier of this poison was sentenced to 30 years in prison for her role in dealing fentanyl that led to multiple overdoses, including one that killed a young Virginia Beach woman. The dealer knew of the death, but instructed one co-conspirator to continue “business as usual.”
More and more, we are seeing dealers who know of the deaths they are causing and who do not hesitate to continue their drug dealing. That fatal combination of callousness and greed cries out for punishment as well as the specific and general deterrence that the federal prosecution affords. Let it be known that when drug dealers such as Michelle Best pursue their greed even in the face of the death they cause, we will pursue them to the fullest extent of the law. The results in this case should be a reminder to those in the community engaged in criminal activity of what they can and should face should they choose to peddle this poison.
While I pledge to you that my office will remain committed to our relentless approach to hold drug dealers accountable, I also recognize the vital importance of partnering with all sectors of the community for an all hands on deck approach. When we look back on this tragic chapter in our country’s history, those communities that will be seen to have led the country out of this dark crisis will have been those promoting a multi-faceted approach.
As a community and as a commonwealth we must remain vigilant in our efforts to combat this crisis and continue to press for robust enforcement, prevention, and treatment. My heartfelt thanks to all the women and men who are currently engaged in this fight, including devastated parents turned advocates, courageous law enforcement officers, treatment professionals, faith leaders, and so many others. We stand with you, and together we will prevail.
https://pilotonline.com/opinion/columnist/guest/article_e53221c0-4aad-11e9-83fa-abf26ab9b794.html