Eastern District of Virginia
Press releases recorded for this federal judicial district.
Canadian Sentenced to Five Years for Mail and Wire Fraud ConspiracyRead the Press Release
RICHMOND, Va. – David Solomon, aka David Chityal, 39, of Budapest, Hungary, was sentenced today to 60 months in prison for his role in a conspiracy to commit mail and wire fraud.
Solomon pleaded guilty on Nov. 30, 2015. According to court documents, Solomon admitted that he was incarcerated in a federal correctional facility with an individual identified as Conspirator 1, from approximately September 2009 to March 8, 2010. Conspirator 1 previously was convicted in the Eastern District of Virginia of a $126 million fraud scheme, sentenced to 100 years in prison, and was ordered to pay approximately $128 million in restitution to victims of his fraud. Conspirator 1 previously had conveyed certain assets to his Bankruptcy Estate for this restitution, including approximately $2 million in tax refunds. When Solomon was released from prison and deported to his native Canada, he remained in touch with Conspirator 1, and together they engaged in a scheme to obtain these approximately $2 million in tax refunds so that Conspirator 1 could obtain a particular New York attorney for his criminal appeal. Using this attorney, Solomon and Conspirator 1 changed the Internal Revenue Service (IRS) power of attorney forms so that the tax refund checks would be sent to the New York attorney, not Conspirator 1’s Bankruptcy Estate for his victims. In September 2010, the IRS sent the $2 million tax refund checks to the New York attorney, who in turn sent the checks to an attorney in Canada. The Canadian attorney flew to the federal correctional facility in which Conspirator 1 was incarcerated and Conspirator 1 endorsed the checks. The Canadian attorney then flew with the negotiated checks to the Turks and Caicos Islands to deposit them in a trust account. He was within hours of depositing the checks when the lawyer for Conspirator 1’s Bankruptcy Estate trustee learned what had happened and contacted the Canadian attorney. The tax refunds were returned to the Bankruptcy Estate and paid to Conspirator 1’s fraud victims.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office; Thomas M. Jankowski, Special Agent in Charge of IRS-Criminal Investigation’s (IRS-CI) Washington D.C. Field Office; David Bowers, Acting Inspector in Charge of the Washington Division of the United States Postal Inspection Service (USPIS); and J. Russell George, Treasury Inspector General for Tax Administration (TIGTA), made the announcement after sentencing by U.S. District Judge Robert E. Payne. Assistant U.S. Attorneys Jessica D. Aber and Thomas A. Garnett are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:12cr44.
Virginia Man Sentenced to 87 Months for Attempted Coercion and EnticementRead the Press Release
A Stafford, Virginia, man was sentenced today to 87 months in prison for attempting to coerce an individual to engage in unlawful sexual activity.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Supervisory Special Agent in Charge Darrell K. Gilliard of the Naval Criminal Investigative Service (NCIS) Washington, D.C., Field Office made the announcement.
Ricardo Cordero Torres, 43, pleaded guilty on Oct. 28, 2015, and was sentenced by U.S. District Judge Claude M. Hilton of the Eastern District of Virginia. Torres will be required to register as a sex offender.
According to the plea agreement, in May 2015, Torres, a Defense Security Service employee, responded to a Craigslist ad posted by an undercover agent posing as a 13-year-old girl living on Marine Corps Base Quantico. In June 2015, he communicated with her through online chat and e-mail, discussed sex with her and sent her a sexually explicit picture of himself. On June 18, 2015, they planned to meet at a specific location on base, the defendant left his place of employment and was arrested shortly before arriving at the predetermined location.
NCIS investigated the case. Trial Attorney Lauren Britsch of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Special Assistant U.S. Attorney Angelissa Savino of the Eastern District of Virginia prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Stafford Man Sentenced to 87 Months for Attempted Coercion and EnticementRead the Press Release
ALEXANDRIA, Va. – Ricardo Cordero Torres, 43, of Stafford, was sentenced today to 87 months in prison for attempting to coerce an individual to engage in unlawful sexual activity. Torres was also sentenced to five years of supervised release and ordered to register as a sex offender.
Torres pleaded guilty on Oct. 28, 2015. According to court documents, Torres responded to a Craigslist ad purportedly posted by a 13-year-old girl living on Marine Corps Base Quantico. He began communicating with her through online chat and e-mail. He discussed sex with her and sent her a pornographic picture of himself. They planned to meet at a specific location on base. The defendant left his place of employment and was arrested shortly before arriving at the predetermined location on June 18, 2015.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Darrell K. Gilliard, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Washington, D.C. Field Office, made the announcement after sentencing by U.S. District Judge Claude M. Hilton. Special Assistant U.S. Attorneys Lauren Britsch and Angelissa Savino prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-260.
Nurse at Hampton Veteran's Administration Hospital Convicted of Sexually Assaulting PatientRead the Press Release
NEWPORT NEWS, Va. – Juan M. Lopez, 52, of Virginia Beach, was convicted today by a federal jury on charges of aggravated sexual assault and making a false statement to a federal agent.
Lopez was indicted on July 22, 2015. According to court records and evidence presented during three days of trial, on September 20, 2014, Lopez was a nurse in the emergency department of the Hampton Veteran’s Administration Hospital. The victim, who suffers from PTSD related to a prior military rape and two traumatic brain injuries sought treatment in the emergency room for a leg injury. Lopez was responsible for the victim’s treatment and administered morphine against her wishes. While the victim was under the effect of the morphine, Lopez sexually assaulted the victim multiple times. When questioned by federal agents five days later he lied about the event.
Following the trial Lopez was taken into custody. Lopez faces a maximum penalty of life in prison when sentenced on May 19, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia made the announcement after the verdict was accepted by U.S. District Judge Mark S. Davis. Assistant U.S. Attorney Eric M. Hurt and Jeremy Jehangiri from the Organized Crime and Gang Section of the Justice Department’s Criminal Division prosecuted the case. The case was investigated by the Department of Veteran’s Affairs, Office of Inspector General.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15cr14.
Member of International Child Exploitation Conspiracy Sentenced to 216 Months in PrisonRead the Press Release
A Bronx, New York, man was sentenced to 216 months in prison today for his participation in two websites that were operated for the purpose of coercing and enticing minors as young as eight years old to engage in sexually explicit conduct on web camera.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Section Chief Calvin Shivers of the FBI’s Violent Crimes Against Children Section (VCACS) made the announcement.
Karlo Hitosis, 32, was sentenced by U.S. District Judge T.S. Ellis of the Eastern District of Virginia, who also ordered Hitosis to serve 10 years of supervised release. Last year, Hitosis pleaded guilty to one count of conspiracy to produce child pornography. The investigation, Operation Subterfuge, identified more than 300 minor victims in the United States and an estimated 1,600 minor victims were lured to the websites.
In connection with his guilty plea, Hitosis admitted that members of the conspiracy created false profiles on social networking sites, such as YouTube, posing as young teenagers to lure children to the websites they controlled. Once on the conspirators’ websites, the conspirators showed the children pre-recorded videos of prior minor victims, often engaging in sexually explicit conduct, to make the new victims think that they were chatting with another minor. Using these videos, the conspirators coerced and enticed children to engage in sexually explicit activity on their own web cameras, which the website automatically recorded. Conspirators earned points based on their contribution to the success of website objectives, which allowed them access to the sexually exploitative videos of children. Law enforcement agencies have disabled both websites.
Trial Attorney Lauren Britsch of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Tracy Doherty-McCormick prosecuted the case. CEOS Trial Attorney Ravi Sinha assisted with the prosecution.
VCACS special agents led the investigation with the assistance of the FBI’s Operation Rescue Me and the FBI’s Digital Analysis and Research Center. The South Africa Police Service, Family Violence, Child Protection, and Sexual Offenses, Gauteng; Dutch Police Service Agency, KLPD; Royal Canadian Mounted Police, National Child Exploitation Coordination Centre; and the Australian Federal Police, Child Protection Operations, Sydney were active partners in the investigation. The U.S. Attorney’s Office of the Southern District of New York also contributed to the investigation and the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Member of International Child Exploitation Conspiracy SentencedRead the Press Release
ALEXANDRIA, Va. – Karlo Hitosis, 32, of Bronx, New York, was sentenced today to 18 years in prison for participation in two websites that were operated for the purpose of coercing and enticing minors, as young as eight years old, to engage in sexually explicit conduct on web camera. Hitosis was also sentenced to 10 years of supervised release and ordered to register as a sex offender.
Hitosis pleaded guilty on Oct. 30, 2015. According to court records, members of the conspiracy to which these men belonged created false profiles on social networking sites, such as YouTube, which portrayed themselves as young teenagers. They used these profiles to lure children to the websites they controlled. Once a child was on the websites, conspirators played pre-recorded videos of prior minor victims, often engaging in sexually explicit conduct, to make the new victims think that they were chatting with another minor. Using these videos, conspirators coerced and enticed children to engage in sexually explicit activity on their own web cameras, which the website automatically recorded. Based on their contribution to the success of website objectives, conspirators earned access to additional sexually exploitative videos of children. During the FBI’s investigation, named Operation Subterfuge, an estimated 1,600 minors were lured to the two websites. More than 300 minor victims have been identified by U.S. law enforcement, and an additional 43 victims have been identified in Canada by the Royal Canadian Mounted Police and the National Child Exploitation Coordination Centre. Law enforcement has disabled both websites.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Calvin Shivers, Section Chief, FBI Violent Crimes Against Children Section, made the announcement after sentencing by U.S. District Judge T.S. Ellis III.
Assistant U.S. Attorney Tracy Doherty-McCormick and Trial Attorney Lauren Britsch of the Child Exploitation and Obscenity Section (CEOS) of the U.S. Department of Justice prosecuted the case. Trial Attorney Ravi Sinha of CEOS assisted with the prosecution.
The FBI’s Major Case Coordination Unit (MCCU) led the investigation with the assistance of Operation Rescue Me, and the FBI’s Digital Analysis and Research Center. Other active partners in the investigation include the South Africa Police Service, Family Violence, Child Protection, and Sexual Offenses, Gauteng; Dutch Police Service Agency, KLP; Royal Canadian Mounted Police, National Child Exploitation Coordination Centre; and the Australian Federal Police, Child Protection Operations, Sydney. Also contributing to the investigation and prosecution was the U.S. Attorney’s Office for the Southern District of New York.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-172; 1:15-cr-42.
Jamaican Man Sentenced to 10 Years in Lottery Fraud SchemeRead the Press Release
ALEXANDRIA, Va. – Paul Laing, 31, of Sandy Bay, Jamaica, was sentenced today to 10 years in prison for conspiracy to launder monetary instruments, in connection with his leadership role in an extensive Jamaican lottery fraud scheme. Laing was also ordered to pay $705,500 in forfeiture and restitution to victims of his offense.
Laing pleaded guilty on Oct. 16, 2015. According to a statement of facts filed with his plea agreement, Laing admitted to defrauding numerous elderly victims, including an 85-year-old woman who resided in Great Falls. Laing would contact his victims via phone calls and faxes and falsely inform them that they had won the lottery. He would then tell them that in order to collect their winnings they would need to send money to him and his co-conspirators to pay various alleged taxes and fees. Laing instructed victims to send funds through wire transfers, the US Mail and other means directly to him in Jamaica, or to co-conspirators in the United States. Those co-conspirators would keep a portion of the proceeds and then transfer the remainder to Laing.
Through this scheme, Laing received hundreds of thousands of dollars from his victims, several of whom depleted their life savings to satisfy his repeated demands for payment. Meanwhile, none of the victims ever received the lottery winnings that Laing had promised them.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; Maria L. Kelokates, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Terence S. Opiola, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Newark, made the announcement after sentencing by U.S. District Judge T.S. Ellis, III. Assistant U.S. Attorneys Samantha P. Bateman, Karen Ledbetter Taylor, and Gene Rossi prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:14cr416.
Former DoD Contractor Sentenced in Contracting Kickbacks CaseRead the Press Release
ALEXANDRIA, Va. – Robert W. Gannon, 54, of Bangkok, the former director of operations of a Department of Defense contracting company in Washington, D.C., was sentenced today to 12 months and one day in prison for soliciting and receiving $193,665 in kickback proceeds in return for steering U.S. government subcontracts to a U.K. company. Gannon was also ordered to depart the U.S. immediately following completion of his prison sentence; not return to the U.S. without permission; pay a fine of $193,665; and is prohibited from employment with or work with the U.S. military.
Gannon pleaded guilty on Nov. 4, 2015. According to court documents, Gannon’s job responsibilities included identifying, evaluating and monitoring subcontracts. Gannon admitted that he used his position to arrange with executives of a U.K.-based company that they would make kickback payments to Gannon in return for a series of purchase orders Gannon’s company awarded in August 2009 with a total value of nearly $6 million. Those orders called for the provision of explosive ordinance disposal equipment to U.S. and NATO forces in Afghanistan. In return for his efforts, Gannon admitted that the U.K. company wired funds with a total value of almost $200,000 from bank accounts in the United Kingdom to Gannon’s account in Singapore.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John F. Sopko, Special Inspector General for Afghanistan Reconstruction; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; and Robert Craig, Special Agent in Charge for Defense Criminal Investigative Service Mid-Atlantic Field Office, made the announcement after sentencing by U.S. District Judge James C. Cacheris.
This case was investigated by the Special Inspector General for Afghanistan Reconstruction, the FBI’s Washington Field Office, and the Defense Criminal Investigative Service Mid-Atlantic Field Office. Assistant U.S. Attorney Mark Lytle of the Eastern District of Virginia and Trial Attorney Wade Weems of the Criminal Division’s Fraud Section prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-277.
Two Women Plead Guilty to Defrauding USDA’s Summer Food Service ProgramRead the Press Release
NORFOLK, Va. – Cindy Hall, 41, of Monroe, North Carolina, pleaded guilty today to charges of mail fraud and unlawful monetary transactions. Hall’s mother, Stephanie Almond, 61, of Franklin, pleaded guilty on Jan. 27, 2016, to charges of mail fraud.
According to statements of facts filed with the plea agreements, Cindy Hall ran a non-profit organization known as Send Thee Community Outreach, allegedly to administer the Summer Food Service Program (SFSP), which is a USDA federally-funded program to feed children during the summer when free-lunch programs end at the conclusion of the school year. The Virginia Department of Health (VDH) administers the SFSP in Virginia. In 2012 and 2013, Hall submitted fraudulent claims to VDH for reimbursement, resulting in at least $150,000 in overpayment to Hall. Almond previously ran her own non-profit organization, Neighborhood Pride, which was a SFSP sponsor approximately 2008 to 2011, when she was disqualified by VDH. Almond continued to be involved with the program with Hall, until Hall was told she was disqualified by VDH from receiving funds in 2014.
Hall and Almond were indicted by a federal grand jury on Oct. 8, 2015. Hall and Almond face a maximum penalty of 20 years in prison when sentenced on May 4, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Colonel W. Steven Flaherty, Superintendent of Virginia State Police; June W. Jennings, Inspector General of Virginia; and Phyllis K. Fong, Inspector General for U.S. Department of Agriculture, made the announcement after the plea was accepted by U.S. Magistrate Judge Robert Krask. Assistant U.S. Attorney Elizabeth M. Yusi is prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:15cr132.
Richmond Man Sentenced to 27 Years in Prison for Armed RobberyRead the Press Release
RICHMOND, Va. – Marcus Deante Bennett, 32, of Richmond, was sentenced today to 324 months in prison for robbery and brandishing a firearm.
Bennett pleaded guilty on Aug. 11, 2014. According to court documents, on Jan. 9, 2015, Bennett and another individual robbed a McDonald’s restaurant in Henrico. Bennett, who entered the restaurant armed with a black revolver and wearing a mask, approached the restaurant manager and brandished the firearm, ordering the manager to hand over the money in the safe. Bennett then went to the drive through window cashier and forced the cashier to hand over an additional sum of money. In addition to this crime, Bennett admitted to committing three additional armed robberies. Bennett was also given additional prison time for having violated the terms of his federal supervised release related to a series of armed robberies he participated in 12 years ago.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by Senior U.S. District Judge James R. Spencer. Assistant U.S. Attorney Angela Mastandrea-Miller prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:15cr134.
Norfolk Man Sentenced to 13 Years for 2007 Armed RobberyRead the Press Release
NORFOLK, Va. – Anthony Charles Hunter, 57, of Norfolk, was sentenced today to a total of 156 months in prison for interference with commerce by robbery and brandishing a firearm during and in relation to a crime of violence. Hunter was also ordered to pay $10,396.01 in restitution.
Hunter pleaded guilty on Oct. 28, 2015. According to court documents, Hunter committed approximately 12 commercial armed robberies in Chesapeake, Norfolk, Suffolk and Virginia Beach between Sept. 29, 2007 and Oct. 18, 2007.
On Oct. 15, 2007, Hunter entered the Acredale Center Citgo in Virginia Beach. Hunter paid a clerk employed at the business $3 for gasoline and left the store. Moments later, Hunter re-entered the store and approached the clerk at the front counter. Hunter brandished a firearm at the clerk and ordered her to be quiet. The clerk, who was in the process of counting the store’s proceeds from the previous weekend with the store safe open, activated a silent alarm. Hunter then walked behind the counter. Fearing for her safety, the clerk struck Hunter in the head, whereupon Hunter struck the clerk upon her head with the firearm. Hunter forced the clerk to the floor behind the counter and stood over her. Hunter instructed the clerk to be quiet and struck her again. Hunter collected approximately $8,000 in cash belonging to the business and left the store.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and John S. Adams, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson.
This case was investigated by the FBI’s Norfolk Field Office with the assistance of the Norfolk, Virginia Beach, Suffolk and Chesapeake Police Departments. Assistant U.S. Attorneys Darryl J. Mitchell and Andrew Bosse prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:12-cr-124.
Federal Jury Convicts Former SunTrust Mortgage V.P. and Loan OfficersRead the Press Release
ALEXANDRIA, Va. – Mohsin Raza, 51, along with his wife, Humaira Iqbal, 39, and her two brothers, Farukh Iqbal, 41, and Mohammad Ali Haider, 33, all of Chantilly, were convicted today by a federal jury on charges of conspiracy to commit wire fraud affecting a financial institution and various counts of wire fraud affecting a financial institution.
The defendants were indicted on April 23, 2015. According to court records and evidence at trial, in 2005, Raza, then employed at Bank of America, was hired by SunTrust Mortgage (STM) as a vice president tasked with opening an office in Annandale. Raza hired his wife, another former loan officer from Bank of America, and her brothers, Farukh Iqbal and Haider, to work as loan officers. From 2006 until 2007, they falsified loan applications for borrowers and purchased fake tax documents to support the false loan applications. Sun Trust Mortgage underwriters in Richmond approved the loans based in large part upon the fake documents in the files, and borrowers were given loans to buy homes that they could not afford.
Each defendant convicted yesterday will be sentenced on April 29, 2016, and faces a maximum penalty of 30 years in prison on each of the charges. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; and Laura Wertheimer, Inspector General for the Federal Housing Finance Agency, made the announcement after the verdict was accepted by U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Jack Hanly and Special Assistant U.S. Attorney Joseph A. Capone are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-109.
Las Vegas Man Pleads Guilty to Corporate-Identity Theft SchemeRead the Press Release
ALEXANDRIA, Va. – Myrick Clift Beasley, 56, of Las Vegas, pleaded guilty today to mail fraud charges in connection with a scheme to obtain goods and services on credit using the stolen identities of legitimate, inactive businesses.
In a statement of facts filed with his plea agreement, Beasley admitted that from 2010 through 2015, he assumed the identity of at least 70 legitimate businesses nationwide, and used those stolen identities to obtain, on credit, at least $550,000 in goods and services from various victims. Beasley admitted that, as part of the scheme, he would identify inactive, legitimate businesses that had previously been located in office buildings where virtual office providers were also located. Beasley admitted that we would assume the inactive businesses’ identities by renting virtual office space in the buildings in the names of the legitimate businesses, creating internet domain names and email addresses in the identified businesses’ names, obtaining phone numbers previously identified with the businesses when available, and, at times, supplementing state corporate filings and commercial credit records with fraudulent information designed to further the scheme. Beasley admitted that he concealed his true identity throughout the fraud by using false names and paying for the costs of operating his scheme with prepaid debit cards. Once he would assume a business’s identity, Beasley admitted that he would then order goods and services — particularly, smart phones, computers, and other electronics — from retailers on credit and have the items shipped to the virtual office location, which would then, at his direction, re-ship the items to rented mailboxes elsewhere in the country. Beasley admitted he would then retrieve the items from the rented mailboxes and sell them.
Beasley was indicted by a federal grand jury on Dec. 17, 2015. Beasley faces a maximum penalty of 20 years in prison when sentenced on April 29, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; and Edwin C. Roessler Jr., Chief of the Fairfax County Police Department, made the announcement after the plea was accepted by U.S. District Judge T.S. Ellis, III. Special Assistant U.S. Attorney Christopher R. Fenton and Assistant U.S. Attorney Paul J. Nathanson are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-CR-353.
Maryland Woman Sentenced for Stealing $437,000 from EmployerRead the Press Release
ALEXANDRIA, Va. – Jennifer Xanten, 51, of Frederick, Maryland, was sentenced today to 18 months in prison for mail fraud relating to her stealing more than 550 checks totaling approximately $437,000 out of her employer’s incoming mail. Xanten was also ordered to pay $437,016.01 in restitution.
Xanten pleaded guilty on Oct. 14, 2015. According to court documents, Xanten, an employee of a rehabilitation center in Rockville, Maryland, admitted to stealing the checks out of the center’s incoming mail from February 2014 to July 2015. To effectuate her scheme, Xanten, who was responsible for mailing out the companies’ invoices, would send out invoices to collect payment for services the center performed. One such company who received invoices was located in Chantilly. She would then intercept the incoming check payments and deposit the checks into her personal account without authorization. Xanten, who was responsible for inputting entries into the bookkeeping records, falsified entries related to the stolen checks in order to conceal her scheme.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by U.S. District Judge James C. Cacheris. Assistant U.S. Attorney Jamar K. Walker prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15cr286.
Subway Franchisee and Gas Station Owner Pleads Guilty to Multi-Million Dollar Conspiracy to Defraud the IRSRead the Press Release
ALEXANDRIA, Va. – Obayedul Hoque, 49, of Alexandria, pleaded guilty today to charges of conspiracy to defraud the United States.
In a statement of facts filed with the plea agreement, Hoque owned and operated a gas station in Alexandria called Skyhill Shell and multiple Subway restaurant franchises in Alexandria, Arlington, and Washington, D.C. Hoque admitted that between 2008 and 2014, he and his co-conspirators, who were managers of some of the Subway franchises and the gas station, conspired to defraud the United States for the purpose of obstructing the IRS in the ascertainment and collection of individual and corporate income taxes. Hoque and his co-conspirators did not deposit all of the gas station or the Subway franchises’ gross receipts into the corporate or partnership bank accounts. Instead, Hoque and the managers retained a portion of the gross receipts for their personal benefit and failed to report those funds to the IRS. For the Subway franchises that had no co-conspirator managers, Hoque retained all of the unreported gross receipts for himself.
For the period of 2008 through 2013, point of sales records for the Subway franchises reflected total sales of $20,805,667. However, Hoque and his co-conspirators provided false monthly sales figures to the accounting firm to prepare the Subway entities’ tax returns. As a result, Hoque and his co-conspirators caused false corporate and partnership tax returns to be filed for the Subway franchises, which reported sales of only $14,377,696. Hoque and a co-conspirator also caused false corporate tax returns to be filed on behalf of Skyhill Shell. For some years, some of the entities did not file tax returns with the IRS. Hoque also filed false individual income tax returns with the IRS. Hoque admitted that his conduct caused a tax loss to the IRS of between $1.5 million and $3.5 million.
Hoque faces a maximum penalty of five years in prison and a fine of $250,000 when sentenced on May 13, 2016. As part of his plea agreement, Hoque agreed to pay restitution to the IRS for tax liabilities for the years 2008 through 2013. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Caroline D. Ciraolo, Acting Assistant Attorney General of the Justice Department’s Tax Division, made the announcement after the plea was accepted by U.S. District Judge Liam O’Grady. Assistant U.S. Attorney Uzo Asonye is prosecuting the case along with Assistant Chief Caryn Finley and Trial Attorney Kimberly Shartar of the Tax Division.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-9.
ISIL-Linked Hacker Arrives in United States to Face Terrorism ChargesRead the Press Release
Ardit Ferizi, 20, a citizen of Kosovo, made his initial appearance this afternoon before U.S. Magistrate Judge Ivan D. Davis of the Eastern District of Virginia on charges alleging that he provided material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, and committed computer hacking and identity theft violations in conjunction with the theft and release of personally identifiable information (PII) of U.S. servicemembers and federal employees.
Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Dana J. Boente of the Eastern District of Virginia, Assistant Director in Charge Paul M. Abbate of the FBI’s Washington Field Office and Special Agent in Charge Michelle S. Klimt of the FBI’s Jacksonville, Florida, Division made the announcement.
Ferizi, who was detained by Malaysian authorities on a provisional arrest warrant on behalf of the United States, was charged by criminal complaint on Oct. 6, 2015. The criminal complaint was unsealed on Oct. 15, 2015. Ferizi subsequently waived extradition.
If convicted, Ferizi faces a maximum penalty of 35 years in prison. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
The investigation is being conducted by the FBI’s Washington Field Office and Jacksonville Division. The case is being prosecuted by Special Assistant U.S. Attorney Brandon Van Grack of the Eastern District of Virginia and Trial Attorney Gregory Gonzalez of the National Security Division’s Counterterrorism Section. The Malaysian authorities and the Justice Department’s Office of International Affairs also provided significant assistance.
ISIL-Linked Hacker Arrives in U.S. to Face Terrorism ChargesRead the Press Release
ALEXANDRIA, Va. – Ardit Ferizi, 20, a citizen of Kosovo, made his initial appearance here this afternoon on charges alleging that he provided material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, and committed computer hacking and identity theft violations in conjunction with the theft and release of personally identifiable information (PII) of U.S. service members and federal employees.
Ferizi, who was detained by Malaysian authorities on a U.S. provisional arrest warrant, was charged by criminal complaint on Oct. 6, 2015. The criminal complaint was unsealed on Oct. 15, 2015.
Ferizi’s next court appearance will be on Friday at 2 p.m. at the federal courthouse in Alexandria.
Ferizi faces a maximum penalty of 35 years in prison, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John Carlin, Assistant Attorney General for National Security; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; and Special Agent in Charge Michelle S. Klimt of the FBI’s Jacksonville, Florida, Division, made the announcement after Ferizi’s initial appearance in front of U.S. Magistrate Judge Ivan D. Davis. Special Assistant U.S. Attorney Brandon L. Van Grack and Trial Attorney Gregory R. Gonzalez of the National Security Division’s Counterterrorism Section are prosecuting the case. The investigation is being conducted by the FBI’s Washington Field Office and FBI’s Jacksonville Division.
The U.S. Attorney, Assistant Attorney General, and FBI Assistant Director thanked the Malaysian authorities for their assistance in this matter.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-MJ-515.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Emporia Man Sentenced to 8 Years for Heroin and Gun CrimesRead the Press Release
NORFOLK, Va. – Collie Rashad Sanks, 37, of Emporia, was sentenced today to 96 months in prison for his role in a conspiracy to distribute heroin and his firearms trafficking activities.
Sanks pleaded guilty on Sept. 17, 2015. According to court documents, Sanks was the second highest ranking member of a Bloods street gang known as the Red Stone Rydahs, which operated in Emporia and Franklin. Along with his co-conspirator, Phillip Jerome Murphy, 41, of Franklin, Sanks began distributing significant quantities of heroin in Franklin, Smithfield, and Emporia in approximately 2012. As frequently as twice per month, Sanks and Murphy would travel to New York to purchase bulk quantities of heroin and then travel back to southeastern Virginia to distribute the drug. Both men sold heroin themselves, and also employed other individuals to assist them in their distribution activities. Additionally, court documents revealed that Sanks was heavily involved in firearms trafficking on behalf of the Red Stone Rydahs. On two occasions, he sold a total of eleven firearms – including high caliber rifles, assault rifles, and pump action shotguns – as well as a ballistic vest to an undercover law enforcement officer. During search warrants executed at residences associated with Sanks, law enforcement recovered four different types of ammunition, an AK-47 assault rifle, and three other firearms, in addition to heroin, marijuana, narcotics packaging materials, and gang paraphernalia.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John S. Adam, Special Agent in Charge of the FBI’s Norfolk Field Office; Ricky Pinksaw, Chief of Emporia Police; and Phillip Hardison, Chief of Franklin Police, made the announcement after sentencing by Chief U.S. District Judge Rebecca Beach Smith. Assistant U.S. Attorneys William D. Muhr and V. Kathleen Dougherty prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case . 2:15cr115 (Collie Sanks) and Case No. 2:15cr103 (Phillip Murphy).
Sex Trafficker Who Used Drugs to Control Victims Sentenced to 30 YearsRead the Press Release
ALEXANDRIA, Va. – Robert Everett Bonner, Jr., aka Ace, 34, of Fredericksburg, was sentenced today to 360 months in prison for sex trafficking by force, fraud, and coercion. Bonner was also sentenced to five years of supervised release, ordered to pay $317,750 in restitution to his victims, and ordered to forfeit $400,250.
Bonner pleaded guilty on July 2, 2015. According to court documents, Bonner was a leader of an interstate sex trafficking venture that prostituted over 55 women in at least seven states, and thus is the largest sex trafficking venture ever discovered in the Eastern District of Virginia. Bonner and his co-conspirators recruited victims from Internet websites by calling the victims and promising a better life. For example, he falsely promised various victims that he would permit them to keep a substantial portion of the money that they earned from prostitution.
Bonner specialized in sex trafficking women who had substance abuse issues and he used this to manipulate them. Bonner would sometimes get victims addicted to drugs, such as heroin, and then withhold those drugs until the victims performed commercial sex acts and gave him the proceeds. Bonner often intentionally allowed victims to experience severe symptoms of drug withdrawal as a means of punishing and controlling victims. If the victims balked at his demands, Bonner simply cut off the drug supply, which caused most victims to become compliant.
Bonner’s actions resulted in the death of a 21 year-old victim known as “Laurabeth.” On July 25, 2013, Bonner instructed a co-conspirator to deliver a fentanyl patch to Laurabeth. From this patch, Laurabeth absorbed a lethal dose of Fentanyl. She died in the hotel room from which Bonner was prostituting her.
In addition to using drug addictions to control victims, Bonner also used force and other forms of coercion to maintain control over victims. For example, Bonner often isolated women from their families and from each other to prevent them from leaving and to render them helpless. With his size and demeanor, he also intentionally intimidated victims to ensure that they continued to prostitute and provide their prostitution proceeds to him. On one occasion, Bonner ordered a co-conspirator to beat one victim. He also frequently confiscated victims’ identification documents and victims’ cellular telephones (because they often contained the contact information of victims’ family members who might help them escape). Bonner also had a habit of anally sodomizing victims forcibly as a means of inflicting pain and punishing them.
A co-conspirator, Michael Anthony Randall, also known as “Divine tha Victorious Mack,” previously pleaded guilty and was sentenced to 25 years in prison.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement, Sheriff David P. Decatur of the Stafford County Sheriff’s Office, and Colonel Edwin C. Roessler, Jr., Chief of the Fairfax County Police Department, made the announcement after sentencing by U.S. District Judge Liam O’Grady. Assistant U.S. Attorney Michael J. Frank and Special Assistant U.S. Attorney Kathryn A. Kimball prosecuted the case. The Spotsylvania County Sheriff’s Office, the Henrico County Police, and the Stafford County Commonwealth Attorney’s Office also assisted in the investigation.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:14-CR-425.
Romanian National Pleads Guilty to Conspiracy and Credit Card Skimming CaseRead the Press Release
NEWPORT NEWS, Va. – Paul N. Batinas, 31, of Romania, pleaded guilty today to charges of conspiracy to commit bank and wire fraud and aggravated identity theft.
In a statement of facts filed with the plea agreement, Batinas acknowledged that from June 2014 through his arrest in September 2015, he and several others installed skimming devices and cameras on Navy Federal Credit Union ATMs located throughout the Eastern District of Virginia and elsewhere. Batinas and his co-conspirators used these devices to capture the debit and credit card account numbers and PIN access codes of others, which they later used to make unauthorized withdrawals from the compromised accounts. Batinas and his co-conspirators accessed these accounts by re-encoding the account numbers onto other cards, such as gift cards, and using those cards and the associated PINs at ATMs belonging to other financial institutions. Batinas is responsible for compromising more than 3,700 debit and credit cards from which conspirators withdrew approximately $550,000.
Batinas was indicted by a federal grand jury on Sept. 10, 2015, and faces a maximum penalty of 30 years in prison, as well as a mandatory consecutive two years in prison on the aggravated identity theft charge, when he is sentenced on April 28, 2016. The maximum and minimum statutory sentences are prescribed by Congress and are provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John S. Adams, Special Agent in Charge of the FBI’s Norfolk Office, Douglas Mease, Special Agent in Charge, U.S. Secret Service Richmond Office and George Purefoy, Resident Agent in Charge, U.S. Secret Service Norfolk Office, made the announcement after the plea was accepted by U.S. Magistrate Judge Robert J. Krask. Assistant U.S. Attorneys Brian J. Samuels and Kaitlin C. Gratton are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15cr63.
Former Sailor Sentenced to Prison for Smuggling Heroin Aboard USS Bush That Led to OverdoseRead the Press Release
NORFOLK, Va. – Donald G. McManus, 22, of Wallingford, Connecticut, was sentenced today to 18 months in prison for distribution of heroin aboard the USS George H.W. Bush aircraft carrier that led to the overdose of an active duty sailor. McManus was also sentenced to three years of supervised release.
McManus pleaded guilty on Oct. 14, 2015. According to court documents, Donald McManus was an active duty sailor in the United States Navy assigned to the USS George H.W. Bush aircraft carrier in February 2015. While in a restricted status on-board the USS Bush, Donald McManus had his wife smuggle heroin and syringes aboard the aircraft carrier. The McManus couple sold heroin to another sailor who was later found unresponsive on the floor in the ship’s berthing area. The USS Bush’s medical personnel immediately responded and worked with emergency medical technicians in an attempt to save the sailor’s life. The overdose victim was without a detectable pulse until medical personnel were able to resuscitate the sailor.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; and Timothy R. Quick, Special Agent in Charge of NCIS’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson.
This case was investigated by NCIS’s Norfolk Field Office, and was prosecuted by Special Assistant U.S. Attorneys Alyssa Nichol and John F. Butler, and Assistant U.S. Attorney Andrew C. Bosse.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:15-cr-109.
Federal Grand Jury Indicts Registered Sex Offender on Child Pornography ChargesRead the Press Release
NORFOLK, Va. – Eduardo Bueno, 41, of Portsmouth, was indicted by a federal grand jury today on charges of distribution and possession of child pornography.
According to the indictment and other court documents, law enforcement authorities were alerted when a customer attempted to save images of minors engaging in sexually explicit conduct on their internet cloud account. Homeland Security Investigations and the Portsmouth Police Department identified the user of the account as Eduardo Bueno. Further investigation revealed that Bueno is a registered sex offender, previously having been convicted of child sexual abuse in Massachusetts. Bueno initially was arrested on January 5, 2016, pursuant to a criminal complaint and remains incarcerated pending trial.
Bueno faces a mandatory minimum penalty of 5 years’ imprisonment and a maximum penalty of 20 years in prison on each count if convicted. The minimum and maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Michael Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Norfolk Office, made the announcement after the grand jury returned the indictment. This case was investigated by Homeland Security Investigations with the assistance of the Portsmouth Police Department. Assistant U.S. Attorney Elizabeth M. Yusi is prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-8.
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.
Virginia Man Charged with Anti-Gay Hate Crime for AssaultRead the Press Release
RICHMOND, Va. – James William Hill III, 34, of Chester, was charged today with a federal hate crime under the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act for a May 2015 assault on a victim known as C.T. in the indictment.
According to the indictment, on or about May 22, 2015, Hill did willfully cause bodily injury to C.T by assaulting C.T., including by punching the victim, because of C.T.’s actual and perceived sexual orientation.
Hill faces a maximum penalty of 10 years in prison, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Principal Deputy Assistant Attorney General Vanita Gupta; and Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after the indictment was returned. Assistant U.S. Attorney S. David Schiller, and Trial Attorney Ryan Murguía of the Civil Rights Division’s Criminal Section are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for the defendant’s name.
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.
Virginia Man Charged with Anti-Gay Hate Crime for AssaultRead the Press Release
James William Hill III, 34, of Chester, Virginia, was charged today with a federal hate crime under the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act for a May 2015 assault on a victim known as C.T. in the indictment.
The indictment was announced by Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division, and U.S. Attorney Dana J. Boente of the Eastern District of Virginia.
According to the indictment, on or about May 22, 2015, Hill did willfully cause bodily injury to C.T by assaulting C.T., including by punching the victim, because of C.T.’s actual and perceived sexual orientation.
If convicted, the defendant faces a maximum sentence of 10 years in prison and a $250,000 fine.
An indictment is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the FBI’s Richmond Division. The case is being prosecuted by Assistant U. S. Attorney S. David Schiller of the Eastern District of Virginia and Trial Attorney Ryan Murguía of the Civil Rights Division’s Criminal Section.
Hill Indictment
Woodbridge Men Charged with Terrorism Offenses Related to Attempting to Travel to Syria to Join ISILRead the Press Release
ALEXANDRIA, Va. – Joseph Hassan Farrokh, 28, and Mahmoud Amin Mohamed Elhassan, 25, both of Woodbridge, were charged today for criminal activity relating to Farrokh’s attempt to travel to Syria to join the Islamic State of Iraq and the Levant (ISIL).
Farrokh was arrested yesterday afternoon at the Richmond International Airport as he attempted to board a flight to Chicago, where he intended to board a flight to Amman, Jordan, with an ultimate destination of Syria. Elhassan was arrested yesterday evening in Woodbridge after returning from driving Farrokh to Richmond and being interviewed by FBI agents.
Farrokh, who is a U.S. citizen originally from Pennsylvania, has been charged with attempting to provide material support and resources to a designated foreign terrorist organization. Elhassan, who is a legal permanent U.S. resident originally from Sudan, has been charged with aiding and abetting Farrokh’s attempt to provide material support and resources to a designated foreign terrorist organization.
According to the criminal complaints, since at least Nov. 20, 2015, Farrokh has been engaged in efforts to leave the United States and join ISIL in Syria. Farrokh purchased an airline ticket on Dec. 21, 2015, for flights departing yesterday from Richmond with an ultimate arrival destination of Jordan, and would then travel to Syria.
According to the criminal complaints, Elhassan introduced Farrokh to a person who Elhassan believed maintained connections to individuals engaged in jihad overseas. Elhassan also knew of Farrokh’s plans to travel to Syria to join ISIL, and Elhassan acknowledged to others that Farrokh was falsely telling his family that he intended to travel to Saudi Arabia to study.
According to the criminal complaints, Elhassan picked up Farrokh yesterday morning and drove him to Richmond to a location approximately one mile from the airport. Farrokh then took a cab to the airport, checked in for his flight, cleared security and was arrested as he was approaching his departure gate. After driving Farrokh to Richmond, Elhassan returned to Woodbridge yesterday afternoon and voluntarily consented to an interview by FBI agents. Elhassan acknowledged to the interviewing agents several times that he knew it was illegal to knowingly lie to federal agents, then proceeded to make a number of false statements in response to the agents’ questions. For example, when asked when he had last seen Farrokh, Elhassan told the agents it had been earlier in the day in Woodbridge. Elhassan also stated that Farrokh was going to the Dulles International Airport to fly to California to attend a funeral and would be gone for two weeks.
Farrokh and Elhassan each face a maximum penalty of 20 years in prison, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
The initial appearance for both men is scheduled for Jan. 19, 2016, in front of U.S. Magistrate Judge Theresa C. Buchanan at the federal courthouse in Alexandria.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John Carlin, Assistant Attorney General for National Security; and Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement. The case is being prosecuted by Assistant U.S. Attorneys Gordon D. Kromberg and Dennis Fitzpatrick, along with Trial Attorney D. Andrew Sigler of the Justice Department’s National Security Division’s Counterterrorism Section. This case is being investigated by the FBI’s Joint Terrorism Task Force.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-24 (Farrokh) and 1:16-cr-25 (Elhassan).
The criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Two Virginia Men Charged with Terrorism Offenses Related to Attempted Travel to Syria to Join ISILRead the Press Release
Joseph Hassan Farrokh, 28, and Mahmoud Amin Mohamed Elhassan, 25, both of Woodbridge, Virginia, were charged today for criminal activity relating to Farrokh’s attempt to travel to Syria to join the Islamic State of Iraq and the Levant (ISIL).
The charges were announced by Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Assistant Director in Charge Paul M. Abbate of the FBI’s Washington Field Office.
Farrokh was arrested yesterday afternoon at the Richmond, Virginia, International Airport as he attempted to board a flight to Chicago, where he intended to board a flight to Amman, Jordan, with an ultimate destination of Syria. Elhassan was arrested yesterday evening in Woodbridge after returning from driving Farrokh to Richmond and being interviewed by FBI agents.
Farrokh, who is a U.S. citizen originally from Pennsylvania, has been charged with attempting to provide material support and resources to ISIL, a designated foreign terrorist organization. Elhassan, who is a legal permanent U.S. resident originally from Sudan, has been charged with aiding and abetting Farrokh’s attempt to provide material support and resources to a designated foreign terrorist organization.
According to the criminal complaints, since at least Nov. 20, 2015, Farrokh has been engaged in efforts to leave the United States and join ISIL in Syria. Farrokh met several times with confidential human sources in attempts to work out the details of how and when he could travel to Syria to join ISIL. Farrokh purchased airline tickets on Dec. 21, 2015, for flights departing yesterday from Richmond with an ultimate arrival destination of Jordan. He planned to thereafter travel to Syria to join ISIL. According to the criminal complaints, Elhassan introduced Farrokh to a person who Elhassan believed maintained connections to individuals engaged in jihad overseas, Elhassan knew of Farrokh’s plans to travel to Syria to join ISIL and he acknowledged to others that Farrokh was falsely telling his family that he intended to travel to Saudi Arabia to study.
According to the criminal complaints, Elhassan picked up Farrokh yesterday morning and drove him to Richmond, to a location approximately one mile from the airport. Farrokh subsequently took a cab to the airport, checked in for his flight, cleared security and was arrested. After driving Farrokh to Richmond, Elhassan returned to Woodbridge yesterday afternoon and voluntarily consented to an interview by FBI agents. Elhassan acknowledged to the interviewing agents several times that he knew it was illegal to knowingly lie to federal agents, then proceeded to make a number of false statements in response to the agents’ questions, according to the criminal complaints.
The initial appearance for both defendants is scheduled for Jan. 19, 2016, at the federal courthouse in Alexandria, Virginia.
If convicted, Farrokh and Elhassan each face a maximum penalty of 20 years in prison. The maximum statutory sentence is prescribed by Congress, and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
The case is being investigated by the FBI’s Joint Terrorism Task Force. The case is being prosecuted by Assistant U.S. Attorneys Gordon D. Kromberg and Dennis Fitzpatrick of the Eastern District of Virginia, along with Trial Attorney D. Andrew Sigler of the National Security Division’s Counterterrorism Section.
Farrokh Complaint
Elhassan Complaint
New York Man Pleads Guilty to Rushing Airline Cockpit and Saying “Jihad”Read the Press Release
ALEXANDRIA, Va. – David Patrick Diaz, 36, of Poughkeepsie, New York, pleaded guilty today to the charge of interference with flight crew members and attendants.
At his court appearance today, Diaz admitted to shouting threatening statements as he charged the cockpit of a United Airlines flight shortly after it took off from Dulles International Airport in March 2015. After being tackled by a group of passengers, Diaz said the word, “Jihad,” and he also said that there was something in the belly of the plane. The passengers and flight attendants were able to restrain Diaz until the plane returned safely to Dulles.
Diaz was indicted by a federal grand jury on Nov. 19, 2015. Diaz faces a maximum penalty of 20 years in prison when sentenced on April 1, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after the plea was accepted by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorneys Tyler McGaughey and Jonathan Fahey are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-324.
Leader of D.C. Metro Area Cocaine Conspiracy SentencedRead the Press Release
ALEXANDRIA, Va. – Jorge Enrique Mendez-Limon, 34, of Berwyn Heights, Maryland, was sentenced today to 180 months in prison for leading a multi-state cocaine distribution conspiracy. Mendez-Limon was also ordered to forfeit $540,000.
According to court documents, Mendez-Limon ran an organization that imported multiple kilograms of cocaine from Mexico for distribution to customers primarily located in Maryland and Virginia. Mendez-Limon utilized a stash house in Maryland to store and prepare cocaine, and to store drug proceeds. A handgun with an obliterated serial number was seized from the stash house in June 2015.
Name
Age
Hometown
Sentencing Details
Jorge Enrique Mendez-Limon
34
Berwyn Heights, Maryland
Sentenced to 180 months today.
Roberto Carlos Esparza-Suarez
26
Dale City
Sentenced to 120 months on Dec. 18, 2015.
Marco Valdez-Hernandez
35
Denver, Colorado
Sentenced to 120 months on Dec. 18, 2015.
Lisette Natalie Cordova
24
Dale City
Sentenced to 24 months today.
Jose Komairo Hernandez-Lopez
34
Woodbridge
Sentenced to 14 months on Dec. 11, 2015.
Joaquin Santana Rivera Mejia
37
Unknown
Sentencing scheduled for Feb. 19, 2016.
Laura Shepherd
38
Berwyn Heights, Maryland
Sentenced to 30 months on Jan. 8, 2016.
Alexander Lorenzo
33
Hyattsville, Maryland
Sentencing scheduled for Jan. 22, 2016.
Christopher Flores
36
Gaithersburg, Maryland
Sentencing scheduled for March 4, 2016.
Josue Emmanuel Rivera-Lemus
32
Riverdale, Maryland
Sentencing scheduled for Jan. 22, 2016.
Fredy Armando Pereira
36
Adelphi, Maryland
Sentenced to 48 months on Dec. 4, 2015.
Jeovany Francisco Andrade
29
Rockville, Maryland
Sentenced to 40 months on Dec. 17, 2015.
Luis Manuel Villa Castelan
34
Bronx, New York
Sentenced to 84 months on Dec. 17, 2015.
Juan Delao
41
Triangle
Sentencing scheduled for Feb. 19, 2016.
This case arose out of a year-long investigation led by a task force of federal and local law enforcement officers into connected cocaine distribution networks in Virginia and Maryland. The defendants represent various components in a criminal enterprise responsible for obtaining and distributing cocaine throughout the Washington, D.C. metropolitan area. The defendants include alleged street level dealers with ties to the transnational 18th Street gang. During the course of arrests in June 2015, agents recovered multiple firearms, distribution quantities of cocaine, and over $45,000 in U.S. currency.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Washington, D.C. Field Office; and Stephan M. Hudson, Chief of Prince William County Police, made the announcement after sentencing by U.S. District Judge Gerald Bruce Lee. Special Assistant U.S. Attorneys Jennifer Clarke and Andrea Duvall prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-183.
California Man Pleads Guilty to Conspiring to Violate U.S. Sanctions Against SyriaRead the Press Release
ALEXANDRIA, Va. – Amin al-Baroudi, 50, a Syrian-born naturalized U.S. citizen formerly of Irvine, California, pleaded guilty today to charges of conspiring to export U.S.-origin goods from the United States to Syria in violation of sanctions imposed on Syria by the U.S. government.
In a statement of facts filed with the plea agreement, Baroudi admitted that from at least December 2011 through March 2013, he and his co-conspirators exported U.S. tactical equipment to Syria for the purpose of supplying and arming Ahrar al-Sham and other insurgent groups in Syria whose stated goal is to overthrow the Assad government and install an Islamic state in Syria. Ahrar al-Sham frequently fights alongside Jabhat al-Nusrah, which has been designated by the United States as a Foreign Terrorist Organization and operates as al-Qaeda’s official branch in Syria.
According to court documents, Baroudi and his co-conspirators purchased tens of thousands of dollars of goods from companies and vendors in the United States, consisting largely of tactical equipment such as sniper rifle scopes, night vision rifle scopes, night vision goggles, laser bore sighters, speed loaders, and bullet proof vests. Baroudi and his co-conspirators traveled with the goods aboard commercial flights to Turkey and then transported the goods into Syria or provided them to others for transport. Baroudi made two such trips in February and March of 2013.
Baroudi was indicted by a federal grand jury on April 9, 2015. He faces a maximum penalty of 20 years in prison when sentenced on May 6, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; David Bowdich, Assistant Director in Charge of the FBI’s Los Angeles Field Office; and Douglas Hassebrock, Director of the U.S. Department of Commerce’s Office of Export Enforcement, made the announcement after the plea was accepted by U.S. District Judge Liam O’Grady.
Assistant U.S. Attorney Julia K. Martinez is prosecuting the case. The FBI’s Washington and Los Angeles Field Offices and the U.S. Department of Commerce’s Office of Export Enforcement are investigating the case. The DHS’s Homeland Security Investigations, California Highway Patrol, the Irvine Police Department, the Orange County Sheriff’s Department, and the Regional Computer Forensics Laboratory in Orange County, California, have provided significant assistance.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-102.
California Man Pleads Guilty to Conspiring to Violate U.S. Sanctions Against SyriaRead the Press Release
Amin al-Baroudi, 50, a Syrian-born naturalized U.S. citizen formerly of Irvine, California, pleaded guilty today to charges of conspiring to export U.S.-origin goods from the United States to Syria in violation of sanctions imposed on Syria by the U.S. government. The guilty plea was accepted by U.S. District Judge Liam O’Grady of the Eastern District of Virginia.
The guilty plea was announced by Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Dana J. Boente of the Eastern District of Virginia, Assistant Director in Charge Paul M. Abbate of the FBI’s Washington Field Office, Assistant Director in Charge David Bowdich of the FBI’s Los Angeles Division and Director Douglas Hassebrock of the U.S. Department of Commerce’s Office of Export Enforcement.
In a statement of facts filed with the plea agreement, Baroudi admitted that from at least December 2011 through March 2013, he and his co-conspirators exported U.S. tactical equipment to Syria for the purpose of supplying and arming Ahrar al-Sham and other insurgent groups in Syria whose stated goal is to overthrow the Assad government and install an Islamic state. Ahrar al-Sham frequently fights alongside Jabhat al-Nusrah, which has been designated by the U.S. State Department as a foreign terrorist organization and operates as al-Qaeda’s official branch in Syria.
According to court documents, Baroudi and his co-conspirators purchased tens of thousands of dollars of goods from companies and vendors in the United States, consisting largely of tactical equipment such as sniper rifle scopes, night vision rifle scopes, night vision goggles, laser bore sighters, speed loaders and bullet proof vests. Baroudi and his co-conspirators traveled with the goods aboard commercial flights to Turkey and then transported the goods into Syria or provided them to others for transport. Baroudi made two such trips in February and March of 2013.
Baroudi was indicted by a federal grand jury on April 9, 2015. He faces a maximum sentence of 20 years in prison when sentenced on May 6, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
The case is being investigated by the FBI’s Washington Field Office, FBI’s Los Angeles Division and the U.S. Department of Commerce’s Office of Export Enforcement. Immigration and Customs Enforcement’s Homeland Security Investigations; California Highway Patrol; the Irvine, California, Police Department; the Orange County, California, Sheriff’s Department; and the Regional Computer Forensics Laboratory in Orange County provided significant assistance.
The case is being prosecuted by Assistant U.S. Attorney Julia K. Martinez of the Eastern District of Virginia and Trial Attorneys Christian Ford and Robert Wallace of the National Security Division’s Counterintelligence and Export Control Section.
Baroudi Statement of Facts
Norfolk Man Pleads Guilty to Fraud Minutes Before Trial Was Set to BeginRead the Press Release
NEWPORT NEWS, Va. – Just minutes before jury selection was set to begin, Nader Elnegery, 41, of Norfolk, pleaded guilty today to charges of mail and wire fraud based on a scheme to defraud Canon, U.S.A. (Canon) and other companies of professional cameras and lenses.
In a statement of facts filed with the plea agreement, Elnegery admitted to falsely certifying his eligibility for membership in a program offered by Canon to professional photographers and filmmakers. Specifically, in 2013 and 2014, Elnegery applied for memberships in his own name and in the names of five aliases, falsely claiming to own several items of professional camera equipment that he had rented from a second company, ATS Rentals. Ownership of such equipment is the primary condition of membership in the Canon program. Elnegery then used the Canon memberships to obtain loans of high-end, professional cameras and lenses from Canon. Elnegery failed to return these items, as well as several items he had rented from ATS Rentals, resulting in significant losses to both companies. In March and April 2014, Elnegery sold the majority of these items in eBay auctions, collecting the proceeds from these sales through a PayPal account. Elnegery transferred the majority of the money he earned from these sales to his own checking account. The items not sold were recovered from Elnegery’s home.
Elnegery was indicted by a federal grand jury on July 14, 2015, and the trial was set to begin today. Elnegery faces a maximum penalty of 20 years in prison when he is sentenced on April 28, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Maria Kelokates, Acting Inspector in Charge of the U.S. Postal Inspection Service, Washington Division, made the announcement after the plea was accepted by U.S. District Judge Mark S. Davis. Assistant U.S. Attorneys Kaitlin C. Gratton and Brian J. Samuels are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15c48.
Federal Jury Convicts Ringleader of Bank Fraud and Identity Theft SchemeRead the Press Release
ALEXANDRIA, Va. – Dae Hyuck Ko, aka James Ko, aka Minghua Hong, 59, was convicted yesterday evening by a federal jury on one count of conspiracy to commit bank fraud, 19 counts of bank fraud, and four counts of aggravated identity theft.
Ko was indicted on June 24, 2015, and a superseding indictment was returned on Dec. 22, 2015. According to court records and evidence presented at trial, Ko was the leader and organizer of a sophisticated bank fraud and identity theft scheme that targeted banks and individual victims throughout the nation. The victims, like Ko and the co-conspirators he recruited, were of Korean ethnicity. Ko directed his co-conspirators to open numerous checking accounts, credit accounts, and personal lines of credit using the stolen identities of these victims. Ko then directed the complicated movement of money between these accounts to build up a banking history, which ultimately enabled him to deposit bad checks and cash out those accounts before the checks failed to clear. Ko enforced his control of the conspiracy through violence when necessary, including by having one co-conspirator beaten and sent to the emergency room with a broken nose and fractured eye socket. Three of Ko’s co-conspirators—Jaejoon Song, Jungtaek Kim, and Minho Yang—have previously pleaded guilty in the case and have been sentenced to 66, 40, and 33 months, respectively.
Ko will be sentenced on April 29, 2016, and faces a maximum penalty of 30 years in prison on each of the bank fraud and conspiracy charges, as well as a mandatory consecutive two years in prison on at least one of the aggravated identity theft charges. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Maria Kelokates, Acting Inspector in Charge of the U.S. Postal Inspection Service, Washington Division, made the announcement after the verdict was accepted by U.S. District Judge Liam O’Grady. Assistant U.S. Attorneys Grace L. Hill and Kosta S. Stojilkovic are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-109.
Chesterfield Man Sentenced to 15 Years in Child Pornography CaseRead the Press Release
RICHMOND, Va. – Zebulon Resolve Wendt, 34, of Chesterfield County, a former U.S. Navy sailor and Chesterfield County school bus driver, was sentenced today to 180 months in prison for producing child pornography of a local juvenile whom he had babysat and sexually abused and exploited on numerous occasions. Wendt was also sentenced to a lifetime of supervised release.
Wendt pleaded guilty on Oct. 14, 2015. According to court documents, Canadian law enforcement detected Wendt after he uploaded several images of a juvenile female engaged in sexually explicit conduct from his Chesterfield residence to an Internet website. Federal agents with the U.S. Department of Homeland Security, Homeland Security Investigations (HSI), subsequently executed a search warrant at Wendt’s residence where they recovered several computers, external hard drives, and other computer equipment. A subsequent forensic examination of the seized items revealed thousands of images and videos of a juvenile female engaged in sexually explicit conduct that Wendt himself had taken with a digital camera and saved onto his computer equipment. Evidence showed that he then distributed these images and videos to other individuals over the Internet.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark Herring, Attorney General of Virginia; and Clark E. Settles, Special Agent in Charge for U.S. Immigration and Customs Enforcement’s Homeland Security Investigation (HSI), made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Special Assistant U.S. Attorneys Stacey E. Rohrs and Samuel E. Fishel prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:15-CR-095.
Americans with Disabilities Act Compliance Agreement Announced in Relation to the Crystal City Shops and UndergroundRead the Press Release
ALEXANDRIA, Va. – The U.S. Attorney’s Office for the Eastern District of Virginia announced today a compliance agreement under the Americans with Disabilities Act (ADA) with Vornado/Charles E. Smith related to the Crystal City Shops and City Underground, which is an interior pedestrian concourse located in Arlington County, to improve accessibility to persons with disabilities through the removal of architectural barriers.
“This significant compliance agreement exemplifies our commitment to protect the rights of people with disabilities,” said U.S. Attorney Dana J. Boente. “The corrective measures agreed to will allow people with mobility disabilities and impaired vision to have an improved opportunity to enjoy the Crystal City Shops and Underground.”
The investigation began with a complaint from the public alleging that the Crystal City Shops and Underground violated the ADA by failing to ensure the accessibility of the interior pedestrian concourse which connects underground and grade level retail shops, service establishments, restaurants, theaters, hotels, office buildings, residential buildings and the Crystal City Metro Station. The pedestrian concourse spans from 12th Street South to 23rd Street South in Arlington, and is composed of five sections connected by tunnels. The Crystal City neighborhood is home to a high density of hotel rooms, residences, offices, and multiple federal agencies.
In addition to remedial measures that Vornado/Charles E. Smith took during the course of the investigation, the compliance agreement requires that Vornado/Charles E. Smith make a number of changes to increase accessibility, including:
- Performing alterations to Section D of the Crystal City Shops and Underground to ensure that retail space that is currently accessible only by stairs will be made accessible to individuals with disabilities who use mobility devices.
- Installing ADA compliant handrails in various tunnels that connect multiple sections of the Crystal City Underground.
- Installing a lift at the stairs in front of the Crystal City Marriott lower level lobby entrance in order to provide an accessible route from the accessible plaza level.
- Creating new accessible parking spaces and relocating others.
- Installing signage that will direct the public to accessible entrances and routes of travel.
- Modifying restrooms to have the appropriate accessible features.
- Updating the maps throughout the pedestrian concourse and on its website showing accessible entrances and routes.
This matter was handled by Assistant U.S. Attorney Steven Gordon, who serves as the Civil Rights Enforcement Coordinator for the U.S. Attorney’s Office for the Eastern District of Virginia.
The Department of Justice has a number of publications available to assist entities in complying with the ADA on its web site, including Maintaining Accessible Features in Retail Establishments. For more information on the ADA and to access this publication, visit ADA.gov or call the Justice Department’s toll-free ADA information Line at 800-514-0301 or 800-514-0383 (TDD).
A copy of this press release may be found on the website for the U.S. Attorney's Office for the Eastern District of Virginia.
New York Man Sentenced to 8 Years for Heroin and Cocaine DistributionRead the Press Release
NORFOLK, Va. – Luis Perdomo, 27, of New York, New York, was sentenced today to 96 months in prison for conspiracy to distribute and possess with intent to distribute 5 kilograms or more of cocaine and 1 kilogram or more of heroin.
Perdomo pleaded guilty on Sept. 23, 2015. According to court documents, Perdomo and others obtained kilogram quantities of cocaine and heroin from a source of supply in the New York City area and transported the cocaine and heroin to a stash house in Norfolk prior to its distribution. Proceeds from the drug distributions were then transported back to New York City in various automobiles equipped with secret compartments. A traffic stop in Maryland on March 31, 2015, resulted in a search of Perdomo’s car and the discovery of $280,000 cash in three secret compartments inside the car. Police also found a drug ledger and several phones belonging to Perdomo. One of the phones contained a video recording of Perdomo handling several kilogram sized packages of a white powdery substance. Another video on the same phone contained GPS data for a residence in Norfolk, which police later determined was a stash house. Surveillance in April and May 2015 showed that Perdomo frequented the stash house in Norfolk. GPS tracking devices were put in place on the vehicles at the stash house to track their drive to New York. When police stopped the vehicles, more drugs and secret compartments were discovered.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Washington, D.C. Field Office, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney Darryl Mitchell prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:15-cr-82.
Hampton Man Sentenced to 22 Years in Overdose Resulting in Death CaseRead the Press Release
NEWPORT NEWS, Va. – Benjamin Frank Barrett, Jr., 47, of Hampton, was sentenced today to 264 months in prison, followed by 10 years of supervised release for his participation in a conspiracy to distribute and possession with intent to distribute heroin and fentanyl, as well as distribution of fentanyl which resulted in death.
Barrett pleaded guilty on Oct. 5, 2015. According to court documents, from April 2010 toJune 11, 2015, Barrett was the organizer and leader of a heroin drug trafficking organization that operated in Newport News, Hampton and other nearby cities. In addition to distributing heroin directly to customers, Barrett also utilized “runners,” such as co-conspirators Cecil Edwards and Esstease Bellamy, who sold heroin to users in the community. In June 2014, Barrett sold fentanyl, also known as “China White,” in addition to heroin. Robert Shedd, 49, of Newport News, died on June 12, 2014, of a drug overdose and the fentanyl he ingested was distributed by Barrett.
Bellamy pleaded guilty on Oct. 6, 2015, and will be sentenced on Jan. 14, 2016. Edwards pleaded guilty on July 22, 2015, and was sentenced on Oct. 21, 2015, to 40 months in prison, followed by three years supervised release.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Gregory J. Cherundolo, Assistant Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Richmond Field Division, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson.
This case was investigated by DEA’s Richmond Field Division. Yvonne Garcia and Ivana Nizich from the Organized Crime and Gang Section of the Justice Department’s Criminal Division prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15cr47.
Newport News Men Sentenced for Participation in Scheme to Defraud Hampton Roads Financial InstitutionsRead the Press Release
NEWPORT NEWS, Va. – Preston Frazier, 22, and Keandre Williams, 25, of Newport News, were sentenced today to 64 and 75 months in prison, respectively, for conspiracy to commit bank fraud and aggravated identity theft. They were ordered to pay restitution in the amount of $103,463.11.
Frazier and Williams pleaded guilty on Sept. 28, 2015. According to court documents, beginning in August 2014, Frazier and Williams, along with co-conspirators Shameek Owens, Kendall Anderson, and others, undertook a scheme to defraud financial institutions in Hampton and Newport News, including Wells Fargo, Langley Federal Credit Union, Bayport Credit Union and Navy Federal Credit Union. All four individuals recruited account holders of these financial institutions to provide their debit cards and personal identification numbers (PIN), for a period of time in exchange for monetary payment. Members of the conspiracy would then deposit worthless and stolen checks, and altered money orders into the compromised accounts using various ATM’s located throughout Hampton Roads. Policies of the targeted financial institutions authorized immediate access to funds deposited by check in this manner. Following the deposits, members of the conspiracy would withdraw the maximum allowable amount from the ATM’s during the initial transaction and then conduct additional withdrawals at other ATM’s in order to obtain the maximum daily withdrawal amount. They would also use the compromised debit cards to conduct large purchases at local retailers and later return the items for cash. Frazier and Williams were identified, alone and with others, conducting the fraudulent deposits and withdrawals through video recordings captured by the targeted financial institutions.
Owens pleaded guilty on Oct. 5, 2015, and will be sentenced on Jan. 25, 2016. Anderson pleaded guilty on Oct. 20, 2015, and will be sentenced on Feb. 10, 2016.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, made the announcement after sentencing by U.S. District Judge Mark S. Davis. This investigation was coordinated by the Newport News Financial Crimes Task Force, an interagency partnership between Federal, State and local investigators to investigate and prosecute financial fraud cases in Virginia. The task force is comprised of several agencies, including the United States Postal Inspection Service, the Internal Revenue Service, U.S. State Department, Newport News Police Department, Hampton Police Department and the United States Attorney’s Office. Assistant U.S. Attorneys Kaitlin C. Gratton and Brian J. Samuels prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15cr43.
Richmond Man Sentenced to over Five Years for Role as Getaway Driver of Gas Station RobberyRead the Press Release
RICHMOND, Va. – Wayne Lewis, 30, of Richmond, was sentenced today to 71 months in prison for his role as the getaway driver in a November 2014 robbery of the Woods Edge Exxon located in Chesterfield County.
Lewis plead guilty on October 8, 2015. According to court documents, on Nov. 23, 2014, Lewis drove his accomplice Spencer Harris to the Woods Edge Road Exxon. While Lewis waited in the getaway vehicle, Harris entered the store armed with an antique firearm and demanded money. After a brief struggle over the weapon, Harris obtained approximately $300 and fled the scene. Shortly thereafter, the robber’s vehicle driven by Lewis was located by police and a high speed pursuit ensued. Due to Lewis’s reckless driving and dangerous road conditions, police were forced to cut off the pursuit and the robbers escaped. Based on investigative leads, the robbers were identified and apprehended several weeks later.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Charles E. Smith, 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 Henry E. Hudson. Assistant U.S. Attorney Erik S. Siebert prosecuted the case. The Chesterfield County Police Department assisted in the investigation of this case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:15-cr-144.
Norfolk City Treasurer and Former Vice Mayor and City Councilman Indicted on Public Corruption and Perjury ChargesRead the Press Release
NORFOLK, Va. – Anthony L. Burfoot, 48, of Norfolk, was indicted by a federal grand jury on charges of conspiracy to commit honest services wire fraud, honest services wire fraud, conspiracy to obtain property under color of official right, obtaining property under color of official right, and perjury. Burfoot is a former Vice Mayor of Norfolk and City Councilman.
According to the indictment, from 2005 through in or about Feb. 15, 2011, Burfoot engaged in a scheme to defraud the citizens of Norfolk of their right to the honest services of a Norfolk Councilman, Vice Mayor, and Chief Deputy Treasurer. Specifically, the indictment alleges that over a period of years, Burfoot solicited things of value including money, car payments, and home appliances from individuals with matters before council and, in exchange, promised to perform specific official acts as well as other actions on an as needed basis on their behalf. The indictment provides detailed allegations of Burfoot’s illicit relationships with the managers of Tivest Development company as well as TA, another developer and local restaurant owner. The managers of Tivest paid hundreds of thousands of dollars to Burfoot and, in exchange, Burfoot voted in favor of City ordinances that provided City-owned land to Tivest for nominal cost and additional City funds for infrastructure improvements. At Burfoot’s request, TA paid $25,000 to the mother of two of Burfoot’s children after Burfoot promised to obtain the necessary votes for TA to open a gentlemen’s club on Granby Street in Norfolk. Finally, the indictment alleges that Burfoot committed perjury, in numerous ways, by claiming under oath during a federal trial that he had never accepted nor solicited a thing of value in exchange for performing an official act.
The statutes under which Burfoot was charged carry maximum penalties ranging from 5 to 20 years in prison, if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and John S. Adams, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after the indictment was unsealed. Burfoot is scheduled to appear today for his initial appearance before U.S. Magistrate Judge Douglas E. Miller. Assistant U.S. Attorneys Melissa E. O’Boyle, Uzo E. Asonye, and Katherine Lee Martin are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-6.
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.
Former DoD Contracting Official Sentenced to Prison for BriberyRead the Press Release
ALEXANDRIA, Va. – James Edward Addas, 55, of Stafford, was sentenced today to 30 months in prison for his role in a bribery scheme involving U.S. government contracts in Iraq.
Addas pleaded guilty on Feb. 20, 2015. According to court documents, in August 2004, Addas was a contracting official at the Iraq/Afghanistan Joint Contracting Command in the U.S. Embassy in Baghdad when the owner and CEO of a contracting company based in Jordan offered to pay him a total of $1 million in return for assistance in obtaining U.S. government contracts for major electrical construction projects and related services in Iraq. The contractor made an initial cash payment of $50,000 in a paper sack, which was handed to Addas inside the “Green Zone” of the U.S. Embassy compound. With Addas’s assistance, the contractor’s companies subsequently received at least 15 contracts, with a total value of more than $28 million awarded to the companies. In addition to the initial payment, the contractor later sent funds to Addas via wire transfers that totaled more than $455,000 and paid for other items valued at more than $70,000. Addas did not declare any of this income on his filed federal tax returns.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Leslie R. Caldwell, Assistant Attorney General of the Justice Department’s Criminal Division; Frank Robey, Director of the U.S. Army Criminal Investigation Command’s (CID) Major Procurement Fraud Unit; Robert E. Craig Jr., Special Agent in Charge of the Defense Criminal Investigative Service (DCIS) Mid-Atlantic Field Office; Darrell Gilliard, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Washington D.C. Field Office; and John F. Sopko, Special Inspector General for Afghanistan Reconstruction (SIGAR), made the announcement after sentencing by U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Uzo Asonye and Trial Attorney Wade Weems of the Criminal Division’s Fraud Section prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-33.
Former Contracting Official Sentenced to 30 Months for Bribery in Relation to U.S. Government Contracts in IraqRead the Press Release
A former U.S. Department of Defense contracting official was sentenced today to 30 months in prison for his role in a bribery scheme involving U.S. government contracts in Iraq.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia, Director Frank Robey of the U.S. Army Criminal Investigation Command’s (CID) Major Procurement Fraud Unit, Special Agent in Charge Robert E. Craig Jr. of the Defense Criminal Investigative Service (DCIS) Mid-Atlantic Field Office, Special Agent in Charge Darrell Gilliard of the Naval Criminal Investigative Service (NCIS) Washington, D.C., Field Office and the Special Inspector General for Afghanistan Reconstruction (SIGAR) John F. Sopko made the announcement.
James Edward Addas, 55, of Stafford, Virginia, previously pleaded guilty to charges of bribery and tax evasion. Senior U.S. District Judge Claude M. Hilton of the Eastern District of Virginia handed down Addas’ sentence today.
According to admissions made in the plea agreement, in August 2004, Addas was a contracting official at the Iraq/Afghanistan Joint Contracting Command in the U.S. Embassy in Baghdad when the owner and CEO of a contracting company based in Jordan offered to pay him a total of $1 million in return for assistance in obtaining U.S. government contracts for major electrical construction projects and related services in Iraq. The contractor made an initial cash payment of $50,000 in a paper sack, which was handed to Addas inside the “Green Zone” of the U.S. Embassy compound. With Addas’ assistance, the contractor’s companies subsequently received at least 15 contracts, with a total value of more than $28 million awarded to the companies. In addition to the initial payment, the contractor later sent funds to Addas via wire transfers that totaled more than $455,000 and paid for other items valued at more than $70,000. Addas did not declare any of this income on his filed federal tax returns.
Special Agents of CID, DCIS, NCIS, SIGAR and the Internal Revenue Service investigated the case. Trial Attorney Wade Weems of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Uzo Asonye of the Eastern District of Virginia prosecuted the case.
Federal Jury Convicts Member of International Child Exploitation ConspiracyRead the Press Release
ALEXANDRIA, Va. – Brian K. Hendrix, 42, of Mt. Juliet, Tennessee, was convicted today by a federal jury on child pornography charges relating to his participation in two websites that were operated for the purpose of coercing and enticing minors, as young as eight years old, to engage in sexually explicit conduct on web camera.
An estimated 1,600 minors were lured to the websites. During the investigation, named Operation Subterfuge, the FBI identified more than 300 minor victims in the United States, and the RCMP National Child Exploitation Coordination Centre identified 43 minor victims in Canada.
Hendrix was charged by superseding indictment on July 23, 2015. Eight co-conspirators were charged in the Eastern District of Virginia, while two other co-conspirators were charged in foreign countries.
According to court records and evidence at trial, co-conspirators created false profiles on social networking sites, such as YouTube, that portrayed them as young teenagers. They used these profiles to lure children to the websites they controlled. Once on the conspirators’ websites, the conspirators played pre-recorded videos of prior minor victims, often engaging in sexually explicit conduct, to make the new victims think that they were chatting with another minor. Using these videos, conspirators coerced and enticed children to engage in sexually explicit activity on their own web cameras which the website automatically recorded. Based on their contribution to the success of website objectives, conspirators earned points, which allowed them access to the sexually exploitative videos of children. Law enforcement agencies have disabled both websites.
In addition to Hendrix, the conspirators have been convicted and sentenced as follows:
Name, Age, Hometown
Status
Anthony Evans, 54, Grahamstown, South Africa
Pleaded guilty in South Africa and was sentenced to 10 years in prison on May 29, 2015. An extradition request remains pending.
William J. Morgan, 36, Essex, New York
Pleaded guilty June 26, 2015. Sentenced to 21 years in prison on Sept. 18, 2015.
Milton Smith, Jr., 34, Lorton, Virginia
Pleaded guilty Aug. 14, 2015. Sentencing scheduled for Jan. 22, 2016.
James E. Hancock, 45, Thomasville, Georgia
Pleaded guilty Dec. 29, 2015. Sentencing scheduled for April 1, 2016.
Christopher McNevin, 37, Carlisle, Ohio
Pleaded guilty Aug. 21, 2015. Sentenced to 19 years in prison on Dec. 4, 2015.
Brian K. Hendrix, 42, Mt. Juliet, Tennessee
Convicted by jury on Jan. 8, 2016. Sentencing scheduled for April 8, 2016.
Carl Zwengel, 51, Princeton, Illinois
Pleaded guilty on July 10, 2015. Sentenced to 18 years in prison on Oct. 2, 2015.
Karlo Hitosis, 32, Bronx, New York
Pleaded guilty on October 30, 2015. Sentencing scheduled for Feb. 5, 2016.
Stephen Funk, 35, Milwaukee, Wisconsin
Pleaded guilty on Dec. 18, 2015. Sentencing scheduled for March 25, 2016.
Hendrix faces a mandatory minimum of 15 years in prison and a maximum penalty of 30 years in prison when sentenced on April 8, 2016. The maximum statutory sentence is prescribed by Congress and is provided for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Leslie R. Caldwell, Assistant Attorney General of the Justice Department’s Criminal Division; and Calvin Shivers, Section Chief, FBI Violent Crimes Against Children Section, made the announcement after the verdict was accepted by U.S. District Judge T.S. Ellis. Assistant U.S. Attorney Tracy Doherty-McCormick and Trial Attorney Lauren Britsch with the Child Exploitation and Obscenity Section of the U.S. Department of Justice prosecuted the case. Trial Attorney Ravi Sinha, with the Child Exploitation and Obscenity Section, assisted with the prosecution. The Criminal Division’s Office of International Affairs also provided assistance.
Violent Crimes Against Children Section special agents led the investigation with the assistance of other VCACS special agents, the FBI’s Operation Rescue Me, the Digital Analysis and Research Center, and the Office of Victim Assistance. The South Africa Police Service, Family Violence, Child Protection, and Sexual Offenses, Gauteng; Royal Canadian Mounted Police, National Child Exploitation Coordination Centre; the Dutch Police Service Agency, KLPD, and the Australian Federal Police, Child Protection Operations, Sydney all worked closely with VCACS and were active partners in Operation Subterfuge, a multinational investigation coordinated by members of the FBI’s Violent Crimes Against Children International Task Force. The Royal Canadian Mounted Police, National Child Exploitation Coordination Centre, identified 43 victims as part of the operation. The U.S. Attorney’s Offices and FBI offices in the Middle District of Georgia, Southern District of New York, Northern District of New York, Eastern District of Wisconsin, Middle District of Tennessee, Central District of Illinois and Southern District of Ohio, and the National Center for Missing and Exploited Children also contributed to the investigation and prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-172; 1:15-cr-42.
Federal Jury Convicts Member of International Child Exploitation ConspiracyRead the Press Release
A Mt. Juliet, Tennessee, man was convicted today by a federal jury on child pornography charges relating to his participation in two websites that were operated for the purpose of coercing and enticing minors to engage in sexually explicit conduct on web camera.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Dana J. Boente of the Eastern District of Virginia and Section Chief Calvin Shivers of the FBI’s Violent Crimes Against Children Section (VCACS) made the announcement.
Brain K. Hendrix, 42, was charged by superseding indictment on July 23, 2015. Eight co-conspirators were charged in the Eastern District of Virginia and two co-conspirators have been charged in foreign countries. The investigation, Operation Subterfuge, identified more than 300 minor victims and an estimated 1,600 minors were lured to the websites. U.S. District Judge T.S. Ellis of the Eastern District of Virginia presided over the trial.
According to court records and evidence at trial, co-conspirators created false profiles on social networking sites, such as YouTube, that portrayed them as young teenagers. They used these profiles to lure children to the websites they controlled. Once on the conspirators’ websites, the conspirators played pre-recorded videos of prior minor victims, often engaging in sexually explicit conduct, to make the new victims think that they were chatting with another minor. Using these videos, conspirators coerced and enticed children to engage in sexually explicit activity on their own web cameras which the website automatically recorded. Based on their contribution to the success of website objectives, conspirators earned points, which allowed them access to the sexually exploitative videos of children. Law enforcement agencies have disabled both websites.
In addition to Hendrix, the conspirators have been convicted and sentenced as follows:
Name, Age, Hometown
Status
Anthony Evans, 54, of Grahamstown, South Africa
Pleaded guilty in South Africa and was sentenced to 10 years in prison on May 29, 2015. An extradition request remains pending.
William J. Morgan, 36, of Essex, New York
Pleaded guilty on June 26, 2015. Sentenced to 21 years in prison on Sept. 18, 2015.
Milton Smith Jr., 34, of Lorton, Virginia
Pleaded guilty on Aug. 14, 2015. Sentencing is scheduled for Jan. 22, 2016.
James E. Hancock, 45, of Thomasville, Georgia
Pleaded guilty on Dec. 29, 2015. Sentencing is scheduled for April 1, 2016.
Christopher McNevin, 37, of Carlisle, Ohio
Pleaded guilty on Aug. 21, 2015. Sentenced to 19 years in prison on Dec. 4, 2015
Carl Zwengel, 51, of Princeton, Illinois
Pleaded guilty on July 10, 2015. Sentenced to 18 years in prison on Oct. 2, 2015.
Karlo Hitosis, 32, of Bronx, New York
Pleaded guilty on Oct. 30, 2015. Sentencing is scheduled for Feb. 5, 2016.
Stephen Funk, 35, Milwaukee
Pleaded guilty on Dec. 18, 2015. Sentencing is scheduled for March 25, 2016.
VCACS special agents led the investigation with the assistance of FBI’s Operation Rescue Me, the FBI’s Digital Analysis and Research Center and the Office of Victim Assistance. The South Africa Police Service, Family Violence, Child Protection, and Sexual Offenses, Gauteng; Royal Canadian Mounted Police, National Child Exploitation Coordination Centre; the Dutch Police Service Agency, KLPD, and the Australian Federal Police, Child Protection Operations, Sydney all worked closely with VCACS and were active partners in Operation Subterfuge, a multinational investigation coordinated by members of the FBI’s Violent Crimes Against Children International Task Force. The Royal Canadian Mounted Police, National Child Exploitation Coordination Centre, identified 43 victims as part of the operation. The U.S. Attorney’s Offices and FBI offices in the Middle District of Georgia, Southern District of New York, Northern District of New York, Eastern District of Wisconsin, Middle District of Tennessee, Central District of Illinois and Southern District of Ohio, and the National Center for Missing and Exploited Children also contributed to the investigation and prosecution. Trial Attorney Lauren Britsch of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Tracy Doherty-McCormick prosecuted the case. CEOS Trial Attorney Ravi Sinha assisted with the prosecution. The Criminal Division’s Office of International Affairs also provided assistance.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Richmond Businessman Sentenced for Health Care Fraud ConspiracyRead the Press Release
RICHMOND, Va. – Ronald Tucker, 46, of Lawrenceville, was sentenced today to 37 months in prison for conspiracy to commit health care fraud for submitting false and fraudulent claims for reimbursement to the Virginia Medicaid program. Tucker was also sentenced to three years of supervised release and ordered to pay $442,148 to the Virginia Medicaid Program.
Tucker pleaded guilty on Aug. 26, 2015. According to court documents, Tucker owned and operated Quality Healthcare Inc. (Quality), a Richmond-based Medicaid provider of Intensive In-Home and Mental Health Support services. Intensive In-Home Therapy services, one of the many mental health services offered by Medicaid in Virginia, are designed to assist youth and adolescents who are at risk of being removed from their homes or are being returned to their homes after removal because of significant mental health, behavioral, or emotional issues. Mental Health Support services are designed to enable individuals with significant psychiatric functional limitations to achieve and maintain community stability and independence.
In a statement of facts filed with the plea agreement, Tucker acknowledged that, through Quality, he billed Medicaid for services that were never performed and falsified patient eligibility criteria that was submitted to Medicaid’s prior-authorization service, falsely representing Medicaid recipients’ mental health statuses to qualify them for services they did not need.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; and Adam S. Lee, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by U.S. District Judge James R. Spencer.
The case was investigated by the FBI and the Virginia Attorney General’s Medicaid Fraud Control Unit. This case was prosecuted by Special Assistant U.S. Attorney and Virginia Assistant Attorney General Joseph E.H. Atkinson, and Assistant U.S. Attorney Jessica D. Aber.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:15-cr-150.
Franklin Man Sentenced to 25 Years for Heroin and Gun CrimesRead the Press Release
NORFOLK, Va. – Phillip Jerome Murphy, 41, of Franklin, was sentenced today to 300 months in prison for conspiracy to distribute heroin and possessing a firearm during a drug trafficking crime.
Murphy pleaded guilty on Sept. 23, 2015. According to court documents, Murphy, who is a convicted felon, and a co-conspirator, Collie Sanks, 37, of Emporia, were leaders of a Bloods street gang known as the Red Stone Rydahs, which operated in the Franklin area. Murphy and Sanks began distributing significant quantities of heroin in Franklin, Smithfield, and Emporia in approximately 2012. As frequently as twice per month, Murphy and Sanks would travel to New York to purchase bulk quantities of heroin and then travel back to southeastern Virginia to distribute the drug. Both men sold heroin themselves, and also employed other individuals to assist them in their distribution activities. On several occasions, Murphy completed heroin sales within extremely close proximity to an elementary school that was in session. In addition to numerous undercover heroin purchases from both Murphy and Sanks, search warrants executed at residences associated with each man yielded heroin, cocaine, narcotics packaging materials, and firearms. At one point during the investigation, Murphy sold an assault rifle with a 30-round magazine to an undercover source.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; John S. Adams, Special Agent in Charge of the FBI’s Norfolk Field Office; and Phillip Hardison, Chief of the Franklin Police Department, made the announcement after Murphy’s plea was accepted by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorneys William D. Muhr and V. Kathleen Dougherty are prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 2:15cr103 (Murphy) and 2:15cr115 (Sanks).
Chesapeake Man Sentenced to 11 Years in Child Pornography CaseRead the Press Release
NORFOLK, Va. – Charles Gibbons, 48, of Chesapeake, was sentenced today to 132 months in prison for receipt of child pornography. Gibbons was also sentenced to 20 years of supervised release and fined $35,000.
Gibbons pleaded guilty on Sept. 9, 2015. According to court documents, in May 2014, the Hanover County Sheriff’s Office was conducting an undercover investigation into people using peer to peer file sharing programs to distribute child pornography on the Internet. The investigation led to the residence of Gibbons, after law enforcement downloaded numerous images of child pornography from his computer. Law enforcement executed a search warrant at Gibbons’ residence and seized numerous items of computer media. A subsequent forensic analysis of the computer media revealed that Gibbons had over 6,400 images and 1,000 video files of child pornography.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington; and Col. K.L. Wright, Chief of Chesapeake Police, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney Elizabeth M. Yusi and Trial Attorney Leslie Williams Fisher with the Child Exploitation and Obscenity Section of the Department of Justice prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s 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.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:15cr59.
Professional Condo Association Located in Fairfax County Reaches Agreement to Settle Americans with Disabilities Act ComplaintRead the Press Release
ALEXANDRIA, Va. – The U.S. Attorney’s Office for the Eastern District of Virginia (EDVA) announced today a compliance agreement under the Americans with Disabilities Act (ADA) with the Burke Professional Center Condominium Association (BPCCA) related to an office complex that houses professional offices of health care providers located in Fairfax County. The agreement is to improve accessibility to persons with disabilities through the removal of architectural barriers.
“This settlement exemplifies our unwavering commitment to ensure that individuals with disabilities have access to health care providers,” said Dana J. Boente, U.S. Attorney for EDVA. “The corrective measures agreed to will improve the access to this office complex for individuals with mobility disabilities.”
The investigation into the office complex began with a complaint from the public alleging that BPCCA violated the ADA by failing to ensure the accessibility of an office complex that houses a health care provider due to a variety of architectural barriers. The compliance agreement requires BPCCA to, among other things, create accessible parking spaces, install curb ramps from the parking area to the sidewalk, and install ramps to certain offices suites.
This matter was handled by Assistant U.S. Attorney Steven Gordon, who is the Civil Rights Enforcement Coordinator for EDVA.
This case is a part of the Department of Justice’s Barrier-Free Health Care Initiative, which seeks to enforce the ADA’s prohibition of discrimination against disabled individuals by health care providers, including hospitals. Through the Barrier-Free Health Care Initiative, U.S. Attorneys’ offices across the nation and the Department’s Civil Rights Division target their enforcement efforts on a critical area for individuals with disabilities—access to medical services and facilities. The Barrier-Free Health Care Initiative is a multi-phase initiative that includes effective communication for people who are deaf or have hearing loss, physical access to medical care for people with mobility disabilities, and equal access to treatment for people who have HIV/AIDS.
The Department of Justice has a number of publications available to assist entities in complying with the ADA, including Access to Medical Care for Individuals with Mobility Disabilities. For more information on the ADA and to access these publications, visit 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.
Arlington Nursing Home Agrees Pay $600,000 to Settle False Claim Act ViolationsRead the Press Release
ALEXANDRIA, Va. – Genesis HealthCare LLC, whose headquarters is located in Kennett Square, Pennsylvania, has agreed to pay $600,000 to resolve allegations that it submitted false claims to the federal government in connection with its operation of a skilled nursing facility known as the Potomac Center, located Arlington.
“Nursing home residents rely upon Medicare and Medicaid programs to receive life sustaining, and other essential medical services,” said Dana J. Boente, U.S. Attorney for the Eastern District of Virginia. “It is my hope that nursing homes residents will receive improved care as a result of this settlement.”
The settlement announced today resolves allegations that from Aug. 21, 2008, to Sept. 24, 2008, employees of Potomac/Genesis failed to provide patient care activities as recorded in the resident medical record of a patient and failed to provide certain care activities consistent with standing physician orders. In addition to the monetary settlement, Genesis has agreed to pay for a one-year transition consultant who has been assisting the new operator of the skilled nursing facility to identify risks and opportunities for improvement in providing skilled nursing services to residents at the facility.
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 Office of Inspector General for the U.S. Department of Health and Human Services, the FBI, and the Medicaid Fraud Control Unit of the Virginia Office of Attorney General.
This matter was handled by Assistant U.S. Attorney Steven Gordon. The civil claims settled by this False Claims Act agreement are allegations only; there has been no determination of civil liability.
If you know someone who is the victim of elder abuse, neglect, or exploitation in a nursing home, you can report it to the Virginia Long-Term-Care Ombudsman, (800) 552-3402, the Virginia Office of Licensure and Certification, (800) 955-1819, your local adult protective services office, and/or your local police department.
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.
Leesburg Man Pleads Guilty to Embezzling up to $3.5 MillionRead the Press Release
ALEXANDRIA, Va. – Victor R. DeAnthony, Jr., 47, of Leesburg, pleaded guilty today to wire fraud for embezzling up to $3.5 million from a business based in Herndon.
In a statement of facts filed with the plea agreement, DeAnthony admitted to stealing between $1.5 million and $3.5 million from Insequence, Inc., a systems engineering and integration company headquartered in Herndon, where he served as president until his termination in 2013. From 2004 through 2013, DeAnthony used corporate funds to make personal purchases and paid himself additional salary and bonus without approval. For instance, DeAnthony caused approximately $556,000 to be paid from Insequence’s corporate bank account to his mortgage lender to pay his monthly mortgage. DeAnthony used the embezzled funds to, among other things, purchase real estate, an automobile, personal watercraft, and a recreational vehicle.
According to court records, in order to conceal the fraud DeAnthony made false entries into the company’s accounting software. For example, in January 2012, DeAnthony wire transferred $59,612.83 from Insequence’s bank account to a title company in order to pay for expenses related to the sale of his personal residence in Leesburg. Later, in accounting records, DeAnthony falsely represented the transaction as a corporate “Facilities: Moving Expense.” Moreover, in May 2012, DeAnthony wire transferred $38,241.62 from Insequence to an account belonging to a law firm in South Carolina that assisted DeAnthony with a personal real estate purchase. In order to disguise the payment, DeAnthony falsely identified the payee as a northern Virginia law firm that the company had hired to negotiate a corporate income tax issue.
DeAnthony faces a maximum penalty of 30 years in prison when sentenced on March 10, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after the plea was accepted by U.S. District Judge James C. Cacheris. Assistant U.S. Attorney Uzo Asonye is prosecuting the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-364.
Fredericksburg Man Sentenced for Trafficking over $13 Million in CigarettesRead the Press Release
RICHMOND, Va. – Steven (Yinhau) Chen, 34, of Fredericksburg, was sentenced today to 60 months in prison for conspiring to commit money laundering to promote his cigarette trafficking operation. Chen was also sentenced to a three-year term of supervised release, and forfeited $1.21 million as proceeds of his criminal offense.
Chen was charged by criminal information on Sept. 10, 2015, and pled guilty on Sept. 15. According to court documents, between March 2014 and June 2015, Chen, the owner of several Fredericksburg-area small businesses, purchased at least $13.8 million in cigarettes from area wholesale stores for the express purpose of re-selling those same cigarettes to individuals trafficking the cigarettes for eventual re-sale in, among other northern destinations, Pennsylvania and New Jersey. Chen would subsequently launder the cash proceeds of these cigarettes sales through at least 20 different bank accounts that Chen and others maintained with at least 10 different banks. Chen maintained these bank accounts in the names of both his legitimate businesses and another business entity that existed only to receive and subsequently transfer the cash proceeds of Chen’s cigarette trafficking conspiracy. During the 15 months at issue, at least $12.18 million of cigarette trafficking proceeds flowed into and through Chen’s bank accounts before being repurposed to pay off the credit card bills Chen incurred purchasing bulk cigarettes. The vast majority of Chen’s deposits were made in amounts just under the $10,000 Cash Transaction Report threshold established by Congress. As part of the plea agreement, Chen had agreed to forfeit $1.21 million as proceeds of the offense.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, made the announcement after sentencing by U.S. District Judge Henry E. Hudson. The case was investigated by officers of the Washington – Baltimore HIDTA task force’s Northern Virginia Financial Initiative. Assistant U.S. Attorney Thomas Garnett prosecuted the case.
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. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:15cr153.