Eastern District of Washington
Press releases recorded for this federal judicial district.
Drug Trafficker Sentenced to Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Randall Curtis Gross, age 27, of Grand Coulee, Washington, was sentenced today after having pleaded guilty on February 11, 2020, to conspiracy to distribute 500 grams or more of methamphetamine as well as heroin. Senior District Court Judge Wm. Fremming Nielsen sentenced Gross to a 10-year term of imprisonment, to be followed by a 5-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Gross primarily distributed methamphetamine and heroin to individuals residing on the Colville Indian Reservation. Gross was identified as a drug trafficker as a result of an extensive, long-term joint investigation led by the Bureau of Alcohol, Tobacco, Firearms & Explosives (“ATF”) and the U.S. Drug Enforcement Administration (“DEA”) into drug and firearms trafficking in Grant County, Washington, and surrounding areas. During the investigation, law enforcement officers obtained a court-authorized wire-tap and executed search warrants at multiple locations in Eastern Washington. While searching Gross’ trailer near Grand Coulee, Washington, in July 2019, investigators found a fully-loaded assault rifle near a quantity of methamphetamine.
United States Attorney Hyslop said, “Prosecuting those who distribute drugs on Indian Reservations remains a top priority for the United States Attorney’s Office for the Eastern District of Washington. The sentence imposed sends a strong message that drug trafficking will not be tolerated. I commend the relentless work of the federal, state, local and tribal law enforcement officers who investigated this case.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
Today’s enforcement action is part of an Organized Crime Drug Enforcement Task Force (“OCDETF”) investigation. The OCDETF program provides supplemental federal funding to the federal and state agencies involved in the investigation of drug-related crimes. This OCDETF investigation is being conducted by the Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case was investigated by the Spokane District Office of the Drug Enforcement Administration, the Spokane Office of the Bureau of Alcohol, Tobacco, Firearms & Explosives, the Bureau of Indian Affairs, the Moses Lake Police Department, the Grant County Sheriff’s Office, the Ephrata Police Department, the Colville Tribal Police, and the Northwest High Intensity Drug Trafficking Area. This case was prosecuted by Caitlin Baunsgard, an Assistant United States Attorney for the Eastern District of Washington.
In Announcing the Observation of the 15th Annual World Elder Abuse Awareness Day, United States Attorney William D. Hyslop and the Department of Justice Call Upon the Community to Help Stop Elder Abuse and Elder FraudRead the Press Release
Spokane – Today, United States Attorney William D. Hyslop and the Department of Justice announced the observation of the 15th Annual World Elder Abuse Awareness Day. The Department echoes voices around the world condemning elder abuse, neglect and exploitation.
United States Attorney William D. Hyslop stated, “Today is World Elder Abuse Awareness Day. But every day should be a day we all work together to stop elder abuse and elder fraud. These are serious crimes that prey upon our most vulnerable citizens. They should be honored and respected for their years. We cannot allow fraudsters and others to take advantage of them.”
“This is everyone’s responsibility to report elder abuse and elder fraud when you see it. This is everyone’s duty to help protect our senior members of our community. During the COVID-19 pandemic, this is more important than ever,” United States Attorney William D. Hyslop said.
The COVID-19 pandemic has created unprecedented challenges for our country and the world, but among those most severely affected by the threat of the novel virus are our senior citizens. During this time when seniors are most vulnerable and isolated from their families and loved ones by social distancing and quarantine restrictions, bad actors have immediately exploited this international tragedy to prey on the elderly through a whole host of scam and fraud schemes. As the world takes this day to remember the elderly during these uncertain times, the Department of Justice remains relentlessly committed, through its department-wide Elder Justice Initiative, to prevent and prosecute fraud on America’s seniors.
The Department of Justice and the United States Attorneys will aggressively prosecute fraudsters exploiting the COVID-19 pandemic and targeting seniors offering them fake testing kits and fake help obtaining stimulus and Paycheck Protection Program Funds. On this day dedicated to recognizing our seniors, the Department of Justice sends a strong message that we continue the fight to keep seniors safe a top priority.
Over the last year, the United States Attorney’s Office for the Eastern District of Washington obtained convictions in elder fraud and elder abuse related cases brought before the United States District Court, such as the following:
• On September 12, 2019, Michelle Susan Ferrell, age 59, of Spokane Valley, was sentenced on a federal wire fraud conviction to 3 years of imprisonment, 3 years of court supervision, and to pay $99,871 restitution and forfeiture. According to information disclosed during court proceedings (No. 2:19-cr-0029-RHW), Ferrell worked as a bookkeeper for Greater Spokane County Meals on Wheels (Meals on Wheels) between May 2013 and April 2018. Meals on Wheels, which is part of the nationwide Meals on Wheels America organization operating throughout the United States, relies on government funding and private donations to provide over 1,000 meals each day to elderly and disabled residents of Spokane County. While employed at Meals on Wheels, Ferrell used the organization’s funds and bank accounts to pay for unauthorized personal expenses, including mortgage, utility, and property tax payments on her residence, and to electronically transfer funds to herself and her businesses. Ferrell concealed her thefts by making false and misleading accounting entries, creating the appearance that she was paying legitimate operating expenses of the organization. Over five years, Ferrell stole in excess of $99,000 in Meals on Wheels funds. As part of her scheme, Ferrell also defrauded the IRS by withholding Meals on Wheels payroll taxes and not remitting all the taxes to the IRS, failing to file certain quarterly payroll tax returns, and making false accounting entries.
• On July 9, 2019, Nazir Bolajoko Hamza, age 48, of Arlington, Texas, was sentenced on a federal money laundering conviction to 5 years of probation with 30 days of intermittent confinement, $98,000 in restitution, and an $11,000 money judgment. According to information disclosed during court proceedings (No. 2:18-cr-0081-RMP), the case involved a Nigerian e-mail compromise fraud scheme that targeted an elderly Spokane resident who was getting ready to close on the purchase of a house. The elderly victim was deceived by fake wire instructions into wiring what the victim believed was $98,000 for the closing on the house. Hamza was involved in the laundering of the wired funds by removing the funds from the account.
The preceding cases were prosecuted by Dan Fruchter, Tyler H.L. Tornabene and Brian Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Earlier this year, Attorney General Barr declared “Prevention and Disruption of Transnational Elder Fraud” to be an Agency Priority Goal, making it one of the Department’s four top priorities. Major strides have already been made to that end:
• National Elder Fraud Hotline: 833-FRAUD-11
Earlier this year Attorney General Barr launched a National Elder Fraud Hotline. Staffed by experienced case managers who provide personalized support to callers, the hotline serves to assist elders and caretakers who believe they have been a victim of fraud by reporting and providing appropriate services.
• Transnational Elder Fraud Strike Force: Established in June 2019 to combat foreign elder fraud schemes, the Strike Force is composed of the Department’s Consumer Protection Branch and six U.S. Attorneys’ Offices along with FBI special agents, Postal Inspectors, and numerous other law enforcement personnel. Since its inception, prosecutors in Strike Force districts brought cases against more than 140 sweep defendants.
• Annual Elder Justice Sweep: In March of this year, the Attorney General announced the largest coordinated sweep of elder fraud cases in department history. The Department, together with every U.S. Attorney’s office, charged more than 400 defendants, causing over $1 billion in loss through fraud schemes that largely affected seniors.
• Money Mule Initiative: Since October 2018, the Department and its law enforcement partners began a concentrated effort across the country and around the world to disrupt, investigate, and prosecute money mule activity used to facilitate fraud schemes, especially those victimizing senior citizens. In 2019 actions were taken to halt the conduct of more than 600 domestic money mules, exceeding a similar effort against approximately 400 mules in the previous year.
• Holding foreign-based perpetrators and those that flee the United States accountable: Transnational criminal organizations are targeting our elder population in schemes including mass mailing fraud, grandparent scams, romance scams, lottery and sweepstakes scams, IRS and Social Security Administration imposter scams, and technical-support scams.
For more information on enforcement actions, training and resources, research, and victim services, please visit www.justice.gov/elderjustice.
Department of Justice Awards Nearly $400 Million for Law Enforcement Hiring to Advance Community PolicingRead the Press Release
Spokane – The Department of Justice has announced nearly $400 million in grant funding through the Department’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). The Attorney General announced funding awards to 596 law enforcement agencies across the nation, which allows those agencies to hire 2,732 additional full-time law enforcement professionals. The awards announced are inclusive of the $51 million announced in May as part of Operation Relentless Pursuit.
In the Eastern District of Washington, grants were awarded to the following:
- Colfax Police Department, receiving $250,000
- Moses Lake Police Department, receiving $250,000
- Othello Police Department, receiving $125,000
- City of Soap Lake, receiving $250,000
“The Department of Justice is committed to providing the police chiefs and sheriffs of our great nation with needed resources, tools, and support. The funding announced today will bolster their ranks and contribute to expanding community policing efforts nationwide,” said Attorney General William P. Barr. “A law enforcement agency’s most valuable assets are the men and women who put their lives on the line every day in the name of protecting and serving their communities.”
The COPS Hiring Program is a competitive award program intended to reduce crime and advance public safety through community policing by providing direct funding for the hiring of career law enforcement officers. In addition to providing financial support for hiring, CHP provides funding to state, local, and tribal law enforcement to enhance local community policing strategies and tactics. In a changing economic climate, CHP funding helps law enforcement agencies maintain sufficient sworn personnel levels to promote safe communities. Funding through this program had been on hold since the spring of 2018 due to a nationwide injunction that was lifted earlier this year.
CHP applicants were required to identify a specific crime and disorder problem focus area and explain how the funding will be used to implement community policing approaches to that problem focus area. 43 percent of the awards announced today will focus on violent crime, while the remainder of the awards will focus on a variety of issues including school-based policing to fund school resource officer positions, building trust and respect, and opioid education, prevention, and intervention. The COPS Office received nearly 1,100 applications requesting more than 4,000 law enforcement positions.
The complete list of awards can be found here https://cops.usdoj.gov/pdf/2020AwardDocs/chp/Award_List.pdf?utm_medium=email&utm_source=govdelivery
To learn more about CHP, please visit https://cops.usdoj.gov/chp. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
U.S. Attorney William D. Hyslop Issues Statement on Grant County’s HIDTA Designation to Combat Illegal Drug Trafficking and Reduce Supply of Illegal DrugsRead the Press Release
Spokane – William D. Hyslop, U.S. Attorney for the Eastern District of Washington, congratulated Grant County today on being officially designated as a High Intensity Drug Trafficking Area (HIDTA) by the White House’s Office of National Drug Control Policy (ONDCP).
U.S. Attorney Hyslop said, “This is great news for the citizens of Grant County. The Sheriff’s Office has achieved this national designation for law enforcement. It will bring greater information sharing and intelligence within the HIDTA network of law enforcement agencies to attack the ever-present drug problem. It will enable the County to be eligible to apply for greater federal resources to augment the County’s law enforcement efforts. Both of those can lead to taking more criminals off the streets and to a safer and more secure County for the law abiding public.”
“The law enforcement agencies working in Grant County earned this designation through hard work, collaboration and leadership committed to a team approach. The United States Attorney’s Office for the Eastern District of Washington was happy to assist throughout the designation process. HIDTA provides unprecedented national connectivity to access drug threats and trends throughout the country. It will allow access to federal resources to combat drug distribution and increase enforcement efforts. Through HIDTA, we will be able to share information and intelligence so those individuals who are polluting our communities with drugs will be held accountable."
Grant County Sheriff Tom Jones said, “This designation showcases the strength of our investigators, and makes the Interagency Narcotics Enforcement Team (INET) eligible for greater resources to fight drug crimes in Grant County.”
Created by Congress in 1988, the HIDTA task force program, which is under the ONDCP, creates a mechanism for coordination of federal, state, local and tribal resources to combat drug trafficking and reduce the supply of illegal drugs in designated regions of the country.
Mississippi Department of Health Services Agrees to Pay $5 Million to Resolve False Claims Act Liability in Connection with SNAP Quality ControlRead the Press Release
The Mississippi Department of Health Services (MDHS) has agreed to pay the United States $5 million to resolve allegations that it violated the False Claims Act in its administration of the U.S. Department of Agriculture’s (USDA) Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today. Until 2008, SNAP was known as the Food Stamp Program.
“SNAP is an important vehicle for helping families in need,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “This settlement is another example of the Department’s commitment to protecting taxpayer funds and the vital programs that they support.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that MDHS has resolved its liability and cooperated with our investigation,” said U.S. Attorney William D. Hyslop for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent in Charge Bethanne M. Dinkins of the USDA Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the government’s commitment to work across agency lines to protect the integrity of SNAP.”
Under SNAP, USDA provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month, and provided more than $71 billion annually.
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. The USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions.
The USDA reimburses states for a portion of their administrative expenses in administering SNAP, including expenses for providing quality control. It also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that beginning in 2012, MDHS contracted with a consultant known as Julie Osnes Consulting, LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by MDHS, injected bias into MDHS’s quality control process and resulted in MDHS submitting false quality control data and information to USDA, for which it received undeserved performance bonuses for fiscal years 2012 and 2013.
This is the seventh settlement in this matter, and the sixth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, Texas, Louisiana, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $41 million in connection with this investigation.
The settlement was the result of a joint investigation conducted by the USDA-OIG, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP Quality Control processes by the USDA-OIG. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
Mississippi Department of Human Services Agrees to Pay $5 Million to Resolve False Claims Act Liability in Connection with Snap Quality ControlRead the Press Release
The Mississippi Department of Human Services (MDHS) has agreed to pay the United States $5,000,000 to resolve allegations that it violated the False Claims Act in its administration of the U.S. Department of Agriculture’s (USDA) Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today. Until 2008, SNAP was known as the Food Stamp Program.
This is the seventh settlement in this matter, and the sixth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, Texas, Louisiana, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $41 million in connection with this investigation.
“SNAP is an important vehicle for helping families in need,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “This settlement is another example of the Department’s commitment to protecting taxpayer funds and the vital programs that they support.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that MDHS has resolved its liability and cooperated with our investigation,” said William D. Hyslop, U.S. Attorney for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent in Charge Bethanne M. Dinkins of the USDA Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the Government’s commitment to work across agency lines to protect the integrity of SNAP.”
Under SNAP, USDA provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month, and provided more than $71 billion annually.
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. The USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions.
The USDA reimburses states for a portion of their administrative expenses in administering SNAP, including expenses for providing quality control. It also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that beginning in 2012, MDHS contracted with a consultant known as Julie Osnes Consulting, LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by MDHS, injected bias into MDHS’s quality control process and resulted in MDHS submitting false quality control data and information to USDA, for which it received undeserved performance bonuses for fiscal years 2012 and 2013.
The settlement was the result of a joint nationwide investigation conducted by the USDA OIG, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP QC processes by the USDA-OIG. The investigation for the U.S. Attorney’s Office for the Eastern District of Washington was handled by Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
$400,000 Restitution Ordered for Two Minor Victims in Production of Child Pornography CaseRead the Press Release
Spokane – William D. Hyslop United States Attorney for the Eastern District of Washington, announced Dale Gordon Black, age 63, of Kennewick, Washington, who had previously pled guilty to three counts of production of child pornography, has just been ordered to pay $400,000 restitution to two of his victims.
On December 18, 2018, Black pleaded guilty to three counts of Production of Child Pornography. On July 16, 2019, Senior United States District Judge Edward Shea sentenced Black to a 30-year term of imprisonment, to be followed by a lifetime of court supervision after he is released from federal prison. The Court also ordered Black to forfeit $185,900 in cash and his Subaru Legacy, and to pay $19,150 in restitution to other victims and $305,000 in fines, $5,000 of which was imposed under the Justice for Victims of Trafficking Act.
On May 15, 2020, consistent with the stipulation and agreement of the parties, the Court found the two minor victims seeking restitution were entitled to receive restitution for past and future medical services, including physical, psychiatric, or psychological care, and ordered
Black to pay restitution in the amount of $200,000 per victim. The Court ordered Black, consistent with the agreement of the parties, to purchase a structured, guaranteed settlement annuity for each of the two victims seeking restitution, in the amount of $200,000. The Court ordered the structured settlement annuities purchased by Black shall provide monthly payments to the victims to be used for their future medical care.
According to information disclosed during court proceedings, on July 18, 2017, undercover Federal Bureau of Investigation agents downloaded a child pornography video from an Internet Protocol address that was traced to Black's residence using a peer-to-peer file sharing program.
Investigators obtained a search warrant and seized many electronic devices from Black’s residence. A forensic examination of Black’s electronic devices revealed child pornography images that he had produced. The images were of three children Black knew either as neighbors or through his work in a local youth mentoring program. Black produced the images at his house and on overnight trips he took alone with the children.
United States Attorney Hyslop said, “Sexual predation and exploitation of children are heinous crimes. That Dale Black preyed on vulnerable children through his participation in a youth mentorship program make his crimes even more egregious. The children in our community are safer now that Black has been convicted of three serious felony child pornography offenses and removed from society and the ability to hurt others. The restitution imposed reflects the gravity of the harm such terrible actions cause to victims. Victims of child pornography can never be truly compensated for what they suffered and endured. However, the United States Attorney’s Office for the Eastern District of Washington will continue to pursue restitution as an integral part of our efforts to seek justice on behalf of child pornography victims. The sentence imposed in this case, the forfeiture of Black’s assets, and the restitution ordered serves as a stern warning to offenders that you will be held accountable for your actions.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
• Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
• Participation of PSC partners in coordinated national initiatives;
• Increased federal enforcement in child pornography and enticement cases;
• Training of federal, state, and local law enforcement agents; and,
• Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of
Investigation with assistance from the ICAC Task Force, the Richland Police Department and the Kennewick Police Department.
The ICAC Task Force is comprised of the Cities of Richland and Kennewick, Benton County, and the Department of Homeland Security Investigations, Seattle Office. The ICAC Task Force serves the public’s best interest by allowing these agencies to pool resources and knowledge to investigate, prosecute and deter the possession, production, and distribution of child pornography and the utilization of the internet to seek out children as sexual victims.
This case was prosecuted by Brian M. Donovan and Alison L. Gregoire, Assistant United States Attorneys for the Eastern District of Washington.
U.S. Attorney William D. Hyslop Addresses Reports of Fraudulent Unemployment ClaimsRead the Press Release
Spokane – It has been reported that a potentially large number of fraudulent unemployment claims have been filed with and paid by the Washington State Department of Employment Security Department during the COVID-19 pandemic.
United States Attorney William Hyslop stated, “It is deeply troubling to see these reports of fraudulent unemployment claims being filed and allegedly paid by the State Employment Security Department. These are our public tax dollars. These funds are intended for those in need, and not for fraudsters. We are advised the State is attempting to fix vulnerabilities in their system. We encourage ESD to advise the public how to determine whether a fraudulent email address has been posted on their personal employment security file and to provide sufficient fraud reporting hotlines so that the public may report the misuse of their personal identity information when that is determined.”
Hyslop went on to say, “Prosecuting the fraudsters is our job if federal laws have been violated. I want to assure the public that whether it is wire fraud, identity theft, or otherwise, we will endeavor to identify and prosecute the fraudsters who prey upon our citizens. This, and all types of COVID-19 fraud, cannot and will not be tolerated.”
United States Attorney William D. Hyslop Releases Public Service Announcements for National Police WeekRead the Press Release
Spokane, Washington – As part of National Police Week, William D. Hyslop, United States Attorney for the Eastern District of Washington, announced the release of three video public service announcements (“PSA”) honoring the service of our law enforcement officers across the country. And, we particularly honor those who lost their lives in the line of duty in 2019. Each year, during National Police Week we commemorate the courage, duty, and extraordinary character this selfless profession mandates. Sadly, it also marks a time to honor and pay tribute to the 307 men and women whose names were engraved in 2020 on the National Law Enforcement Officers Memorial, 135 of which represent those killed in the line of duty in 2019.
U.S. Attorney Hyslop said, “Few callings are as noble as serving as a law enforcement professional. Law enforcement officers are essential to the strength and prosperity of our communities. There are more than 18,000 law enforcement agencies nationwide, with brave men and women who honorably serve their communities daily. Every day, these courageous men and women place the safety and security of their communities above their own. Their unwavering commitment to serve on the front lines fighting crime and violence deserves our gratitude.”
The video PSAs can be viewed at the following links
Supporting Law Enforcement During Police Week 2020
https://youtu.be/3bHlVOi3NJI
Police Week 2020 – Honoring Law Enforcement for their Service and Selflessness
https://youtu.be/U2vnTUVCvHA
Honoring the Sacrifices of Law Enforcement during Police Week 2020
https://youtu.be/cFG52fcUIZc
If you would like to schedule an interview with U.S. Attorney Hyslop, please contact Debbie Doll, Executive Assistant to the U.S. Attorney, at 509-413-6344.
U.S. Attorney William D. Hyslop Recognizes Law Enforcement’s Service and Sacrifice During National Police WeekRead the Press Release
Spokane – In honor of National Police Week, William D. Hyslop, U.S. Attorney for the Eastern District of Washington, asks all citizens, “When you see a law enforcement officer, thank them for their service. This week, we urge everyone to recognize the service and sacrifice of federal, state, local, and Tribal law enforcement.”
National Police Week will be observed Sunday, May 10 through Saturday, May 16, 2020.
On Wednesday, May 13, 2020, pay tribute to those who have died in the line of duty in 2019 by watching the virtual candlelight vigil sponsored by the National Law Enforcement Officers Memorial Fund. https://www.youtube.com/user/TheNLEOMF
On Friday, May 15, 2020, stop for a moment to remember our fallen officers on Peace Officers Memorial Day.
“There is no more noble profession than serving as a police officer,” said Attorney General William P. Barr. “The men and women who protect our communities each day have not just devoted their lives to public service, they’ve taken an oath to give their lives in order to ensure our safety. And they do so not only in the face of hostility from those who reject our nation’s commitment to the rule of law, but also in the face of evolving adversity – such as an unprecedented global health pandemic. This week, I ask all Americans to join me in saying ‘thank you’ to our nation’s federal, state, local, and tribal law enforcement officers. Their devotion and sacrifice to our peace and security will not be taken for granted.”
U.S. Attorney Hyslop said, “At the United States Attorney’s Office for the Eastern District of Washington, we have the great privilege to work closely on a daily basis with federal, state, local and Tribal law enforcement officers in pursuit of justice. They are prepared at any moment to put their lives at risk for our community’s safety. In 2019, one deputy sheriff was shot and killed in the line of duty in Eastern Washington. One officer death is too many. Nationally, the names of 135 officers killed in the line of duty are being added to the National Law Enforcement Officers Memorial. I ask you to take time this week to remember our fallen law enforcement officers throughout the country, and their families and loved ones who live with their loss.”
In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty.
Each year, during National Police Week, our nation celebrates the contributions of law enforcement from around the country, recognizing their hard work, dedication, loyalty and commitment to keeping our communities safe. This year the COVID-19 pandemic has underscored law enforcement officers’ courage and unwavering devotion to the communities they swore to serve.
Based on data collected and analyzed by the FBI’s Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 89 law enforcement officers died nationwide in the line of duty in 2019, including one officer here in the Eastern District of Washington. Comprehensive data tables about these incidents and brief narratives describing most of the fatal attacks are included in the sections of Law Enforcement Officers Killed and Assaulted, 2019.
The names of the fallen officers who have been added in 2020 to the wall at the National Law Enforcement Memorial will be read on Wednesday, May 13, 2020, during a Virtual Annual Candlelight Vigil. Because public events have been suspended as a result of COVID-19, the vigil will be livestreamed to the public at 8:00 PM (EDT). The online event can be viewed at https://www.youtube.com/user/TheNLEOMF.
Statement of United States Attorney William D. Hyslop on Missing and Murdered American Indians and Alaska Natives DayRead the Press Release
Spokane –William D. Hyslop, United States Attorney for the Eastern District of Washington, joins President Trump, Attorney General Barr, and the Department of Justice in observing Missing and Murdered American Indians and Alaska Natives Awareness Day.
United States Attorney Hyslop said, “Together we remember all the missing and murdered indigenous people (MMIP), and particularly women and children from our Native communities in Washington and across the United States. This is a violent crime problem we have right here in Eastern Washington. The President’s proclamation reaffirms the resolute commitment of federal, state, local and Tribal law enforcement to reduce the high rates of violence against people in Indian Country and our dedication to justice for these victims and their families. Addressing the MMIP issue is a major priority of the Department of Justice and will remain that way as our Tribal partners and we all continue to address this together.”
Proclamation by President Donald Trump: https://www.whitehouse.gov/presidential-actions/missing-murdered-american-indians-alaska-natives-awareness-day-2019/
Statement from Attorney General William P. Barr: https://www.justice.gov/opa/pr/attorney-general-william-p-barrs-statement-missing-and-murdered-american-indians-and-alaska
United States Attorney William D. Hyslop Releases Public Service Announcement Regarding COVID-19 ScamsRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington, has released a Public Service Announcement (“PSA”) providing steps the public can take when they encounter consumer financial fraud scams, illegal hoarding or price gouging during the COVID-19 (coronavirus) pandemic.
“We are aware of instances of consumer fraud violations across the country stemming from the COVID-19 public health emergency,” said U.S. Attorney Hyslop. “While Americans work to protect themselves from the threat of COVID-19, some individuals are actively preying upon our citizens and are trying to profit off of this emergency. We are asking all electronic media to carry this PSA message to help get this important message out to the public.”
The PSA can be viewed at the following link:
https://twitter.com/USAttorneys/status/1252213361636446210
A special HD quality version of the PSA suitable for broadcasting can be obtained by contacting Debbie Doll, Executive Assistant to the U.S. Attorney at (509) 413-6344 or via email at [email protected]
If you (or someone you know) believe you have been the target or victim of COVID-19-related fraud, hoarding or price-gouging, you are strongly encouraged to report it to the National Center for Disaster Fraud (NCDF) Hotline (866.720.5721), or to the NCDF email address ([email protected]). The NCDF is a national coordinating agency within the Department of Justice’s Criminal Division that assists with detection, prevention, investigation, and prosecution of criminal conduct related to the COVID-19 outbreak, and to advocate for the victims of such conduct. The NCDF Hotline is available to receive reports from the public of potential fraud 24 hours a day, seven days a week. Callers will be connected with a live operator or can leave a message detailing their report.
The public may also make such reports to the FBI’s Internet Crime Complaint Center by visiting www.IC3.gov. The FBI has extensive expertise in cybercrime and is monitoring issues relating to phishing attempts and efforts to infect emails, links, and postings with malware.
Complaints can also be emailed to the United States Attorney’s Office at: [email protected]
Fraudsters devise numerous methods for defrauding people, such as creating websites, contacting people by phone and email, and posting disinformation on social media platforms. Examples of some of the scams linked to COVID-19 include:
• Testing scams: Selling fake at-home test kits or going door-to-door performing fake tests for money.
• Treatment scams: Offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
• Provider scams: Contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
• Phishing scams: Posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), or sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
• App scams: Creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
• Investment scams: Offering online promotions, including through social media, claiming products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result.
If you would like to schedule an interview with U.S. Attorney Hyslop, please contact Debbie Doll, Executive Assistant to the U.S. Attorney, at 509-413-6344.
Additional information about COVID-19 Fraud is available at the website for the United States Attorney’s Office for the Eastern District of Washington is http://www.justice.gov/usao-edwa
U.S. Attorney Hyslop Wants You to Report Housing-Related Sexual HarassmentRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that he will use all available federal enforcement tools against those who try to capitalize on the COVID-19 crisis by sexually harassing people in need of housing, and is asking the individuals in the community to report housing-related sexual harassment.
United States Attorney Hyslop said, “The vast majority of landlords in our community have responded to the housing problems created by COVID-19 with care and compassion for their tenants. Those landlords should be commended and thanked. Unfortunately, there are also reports around the country of some landlords taking advantage of the financial hardships of their tenants by demanding sex-for-rent or otherwise sexually exploiting their tenants. This conduct is absolutely abhorrent, illegal under the Fair Housing Act, and has no place in our community. Sexually harassing a tenant is not who we are as a Nation and especially not who we are during this COVID-19 crisis; this cannot be tolerated.”
The Department of Justice, through the United States Attorney’s Office, remains unwavering in its enforcement of the Fair Housing Act. The Fair Housing Act prohibits sexual harassment in housing. Fair Housing Act cases often involve egregious conduct, including allegations that landlords, property managers, or maintenance workers have exposed their genitals to current or prospective tenants, requested sexual favors in exchange for reduced rents, made unrelenting and unwanted sexual advances to tenants, and evicted tenants who resisted the landlord’s sexual overtures.
“If anyone you know has experienced sexual harassment in housing, please contact the Civil Rights Division of the Department of Justice by calling (844) 380-6178 or emailing: [email protected] with a description of sexually harassing behavior. Individuals in Washington can also contact the Department of Housing and Urban Development (HUD) by calling (800) 877-0246 or emailing: [email protected],” Hyslop said.
To arrange an interview with United States Attorney William Hyslop, contact Debra Doll at (509) 413-6344 or email [email protected]
United States Reaches $1.1 Million Settlement for Recovery of 2015 Twisp River Fire Suppression CostsRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that a settlement has been reached with Okanogan County Electric Cooperative, Inc. (“OCEC”) and its insurer, requiring the payment of $1.1 million to the United States in fire suppression costs resulting from the Twisp River Fire that began on August 19, 2015.
According to information in the settlement agreement, the $1.1 million settlement recovers a large portion of the United States Forest Service’s costs incurred in suppressing the wildfire. The United States’ $1.1 million recovery was part of a larger settlement of claims that were brought separately by other plaintiffs, including a U.S. Forest Service (USFS) firefighter and the State of Washington, who sought to recover damages for personal injury and property damage caused by the 2015 Twisp River Fire.
The Twisp River Fire ultimately burned approximately 11,200 acres in north-central Washington and claimed the lives of three USFS firefighters and severely injured another USFS firefighter.
The United States claimed the Twisp River Fire ignited due to contact between a tree branch and OCEC’s electrical distribution line. The United States further claimed OCEC failed to properly maintain a vegetation management plan designed to detect and prevent the tree branch from contacting the distribution line. OCEC denied these allegations.
By its terms and as is standard for settlements of claims, the settlement agreement is not an admission of any wrongful conduct or liability by OCEC, nor is it a concession that the United States’ contentions are not well founded. Rather, it is a resolution of claims disputed by parties.
United States Attorney Hyslop said, “Nothing can undo the losses suffered by our brave fire fighters and others affected by this – as well as other – wildfires that have plagued our communities in recent years. Everyone, including individuals, businesses and power companies, must be vigilant to protect our state and our citizens from the ravages of forest fires. This settlement should send a clear message that the United States is serious about holding accountable those who cause or contribute to wildfires, and will pursue aggressively the recovery of costs incurred by the United States taxpayers in fighting these fires.”
“Firefighting is a brave and selfless act performed by highly-skilled women and men within our Agency,” said Glenn Casamassa, Pacific Northwest Regional Forester. “While this settlement doesn’t bring back the firefighters who lost their lives in this wildfire, recovering the costs of these efforts helps to allow this important work to continue.”
The case was investigated by the USFS and the U.S. Department of Agriculture. The United States’ claim was prosecuted by Joseph P. Derrig, Assistant United States Attorney for the Eastern District of Washington, Civil Division.
United States Attorney William D. Hyslop Announces National Crime Victims’ Rights Week – April 19-25, 2020Read the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announces National Crime Victims’ Rights Week (NCVRW), April 19–25, 2020.
The Department of Justice Office for Victims of Crime official 2020 NCVRW theme is Seek Justice. Ensure Victims’ Rights. Inspire Hope. Although the COVID-19 pandemic has caused events planned throughout the country to be cancelled, including the annual National Crime Victims’ Service Awards Ceremony in Washington, D.C., the United States Attorney’s Office for the Eastern District of Washington seeks to raise awareness about crime victims’ issues and rights and introduce our communities to the important resources and services available. This matters because, according to the most recent National Crime Victimization Survey from the Bureau of Justice Statistics, about 3.3 million Americans age 12 or older were victims of violent crime in 2018. President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week in 1981 to bring greater sensitivity to the needs and rights of victims of crime and it is important that we continue this important annual recognition.
The Office for Victims of Crime (OVC) leads communities throughout the country in their annual observances of NCVRW by promoting victims’ rights and honoring both crime victims and those who advocate on their behalf. This year’s theme—Seek Justice | Ensure Victims’ Rights | Inspire Hope—recognizes the individuals and groups whose advocacy has propelled the victims’ rights movement forward for the past half century, inspiring in victims and their loved ones a feeling of hope for progress, justice, and healing.
U.S. Attorney Hyslop said, “The United States Attorney’s Office for the Eastern District of Washington works every day to secure justice for the victims of crime and to prosecute those who have done them harm. We continue to work closely with our federal, state, local and tribal law enforcement partners to reduce criminal activity in all of our communities, and we seek to reduce the pain that many victims of crime continue to endure.”
OVC and the United States Attorney’s Office for the Eastern District of Washington encourage continued participation in victim-related observances throughout the year.
For additional ideas on how to support victims of crime, visit OVC’s website at www.ovc.gov.
You may also contact the U.S. Attorney’s Office for the Eastern District of Washington’s Victim Witness Program at (509) 353-2767.
U.S. Attorneys William D. Hyslop and Brian T. Moran Announce Nearly $11 Million to Address Covid-19 Pandemic in State of WashingtonRead the Press Release
Spokane/Seattle – William D. Hyslop, United States Attorney for the Eastern District of Washington, and Brian T. Moran, United States Attorney for the Western District of Washington, announced today that the state of Washington received almost $11 million in Department of Justice grants to respond to the public safety challenges posed by the outbreak of COVID-19.
The grants, to the Washington Department of Commerce and the city of Olympia, are available under the Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump. An additional $5.7 million has been allocated for other local jurisdictions in Washington. Those jurisdictions can find out if they are eligible and apply immediately by visiting this website. The Justice Department is moving quickly, awarding grants on a rolling basis and aiming to have funds available for drawdown as soon as possible after receiving applications.
“The Department of Justice is committed to providing significant resources to support our public safety professionals,” said United States Attorney William D. Hyslop. “These vital dollars will go directly to supporting the important work of public health and safety of the community.”
“Our first responders continue to answer the call every single day, to keep our communities safe, while risking exposure to this dangerous virus,” said U.S. Attorney Moran. “The Department of Justice provides this funding with significant flexibility, so that state and local departments can use it in the ways that best benefit their officers and their community.”
“The outbreak of COVID-19 and the public health emergency it created are sobering reminders that even the most routine duties performed by our nation’s public safety officials carry potentially grave risks,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “These funds will provide hard-hit communities with critical resources to help mitigate the impact of this crisis and give added protection to the brave professionals charged with keeping citizens safe.”
The law gives jurisdictions considerable latitude in the use of these funds for dealing with COVID-19. Potential uses include hiring personnel, paying overtime, purchasing protective equipment, distributing resources to hard-hit areas and addressing inmates’ medical needs.
Agencies that were eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for the emergency funding. Local units of government and tribes will receive direct awards separately according to their jurisdictions’ allocations.
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
Louisiana Department of Children and Family Services Agrees to Pay over $3.9 Million to Resolve False Claims Act Liability in Connection with SNAP Quality ControlRead the Press Release
The Louisiana Department of Children and Family Services (DCFS) has agreed to pay the United States $3,984,254 to resolve allegations that it violated the False Claims Act in its administration of the U.S. Department of Agriculture’s (USDA) Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today. Until 2008, SNAP was known as the Food Stamp Program.
“SNAP is an important vehicle for helping families in need,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “This settlement is an example of the department’s commitment to ensuring that taxpayer funds are spent appropriately so that the public can have confidence in the integrity of vital programs like SNAP.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that LDCFS has resolved its liability and cooperated with our investigation,” said U.S. Attorney William D. Hyslop for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent in Charge Bethanne M. Dinkins of the USDA, Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the government’s commitment to work across agency lines to protect the integrity of SNAP.”
Under SNAP, the USDA provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month and provided more than $71 billion annually.
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. The USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions.
The USDA reimburses states for a portion of their administrative expenses in administering SNAP, including expenses for providing quality control. It also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that beginning in 2011, DCFS contracted with a consultant known as Julie Osnes Consulting LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by DCFS, injected bias into DCFS’s quality control process and resulted in DCFS submitting false quality control data and information to USDA, for which it received unentitled performance bonuses for fiscal years 2012 and 2013.
This is the sixth settlement in this matter, and the fifth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, Texas, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $36 million in connection with this investigation.
The settlement was the result of a joint investigation conducted by the USDA-OIG, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP Quality Control processes by the USDA-OIG. The investigation for the U.S. Attorney’s Office for the Eastern District of Washington was handled by Assistant U.S. Attorneys Dan Fruchter and Tyler H.L. Tornabene. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Louisiana Department of Children and Family Services Agrees to Pay over $3.9 Million to Resolve False Claims Act Liability in Connection with Snap Quality ControlRead the Press Release
The Louisiana Department of Children and Family Services (“DCFS”) has agreed to pay the United States $3,984,254 to resolve allegations that it violated the False Claims Act in its administration of the Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today. Until 2008, SNAP was known as the Food Stamp Program.
Under SNAP, the U.S. Department of Agriculture (USDA) provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month, and provided more than $71 billion annually.
“SNAP is an important vehicle for helping families in need,” said Assistant Attorney General Joseph H. Hunt, head of the Justice Department’s Civil Division. “This settlement is an example of the Justice Department’s commitment to ensuring that taxpayer funds are spent appropriately so that the public can have confidence in the integrity of vital programs like SNAP.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that DCFS has resolved its liability and cooperated with our investigation,” said William D. Hyslop, United States Attorney for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions. The USDA reimburses states for a portion of their administrative expenses in administering SNAP, including expenses for providing quality control. The USDA also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that DCFS, beginning in 2011, contracted with a consultant known as Julie Osnes Consulting, LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by DCFS, injected bias into DCFS’s quality control process and resulted in DCFS submitting false quality control data and information to USDA and improperly receiving performance bonuses for fiscal years 2012 and 2013.
This is the sixth settlement in this matter, and the fifth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, Texas, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $36 million in connection with this investigation.
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent in Charge Bethanne M. Dinkins of the USDA Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the Government’s commitment to work across agency lines to protect the integrity of SNAP.”
The settlement was the result of a joint investigation conducted by the USDA OIG, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP QC processes by the USDA-OIG. The investigation for the U.S. Attorney’s Office for the Eastern District of Washington was handled by Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
Do Not Fall Victim to a COVID-19 ScamRead the Press Release
The Internal Revenue Service (IRS) will begin to distribute COVID-19 Economic Impact Payments in a matter of weeks. For most Americans, this will be a direct deposit into your bank account. For the unbanked, elderly or other groups that have traditionally received tax refunds via paper check, they will receive their economic impact payments in this manner as well.
With any good news story from the IRS, comes an opportunity for criminals and scammers to take advantage of the American public.
• Scammers may try to get you to sign over your check to them.
• Scammers may use this as an opportunity to get you to “verify” your filing information in order to receive your money, using your personal information to file false tax returns in an identity theft scheme.
Between these two schemes, everyone receiving an economic impact payment is at risk.
The Internal Revenue Service – Criminal Investigation (IRS-CI) is working tirelessly alongside our civil counterparts and law enforcement partners to identify scams and halt wrongdoers from taking advantage of the American people. “Taxpayers should be extra vigilant for unsolicited phone calls or emails concerning their economic impact payments,” said Justin Campbell, Special Agent in Charge of the Seattle Field Office for IRS-CI. “The IRS will not call or email you about your payment. IRS-Criminal Investigation is stepping up our efforts in coordination with the Department of Justice to aggressively investigate anyone that seeks to defraud our community members during this crisis.”
United States Attorney William D. Hyslop stated, “Everyone should be aware and be on alert against people preying on others with these types of fraudulent schemes. Don’t let someone take advantage of you. Report it when they try. The United States Attorney’s Office for the Eastern District of Washington will work closely with IRS-CI and other federal, state, local and tribal law enforcement partners in investigating and prosecuting COVID-19 fraud schemes.”
Top Line Message from the Internal Revenue Service
The IRS will deposit your economic impact payment into the direct deposit account your previously provide on your tax return (or, in the alternative, send you a paper check). The IRS will not call and ask you to verify your payment details. Do not give out your bank account, debit account, or PayPal account information – even if someone claims it is necessary to get your economic impact payment. Beware of this scam.
If you receive a call, do not engage with scammers or thieves. Just hang up. If you receive texts or emails claiming that you can get your money faster by sending personal information or clicking on links, delete them. Do not click on any links in those emails.
Reports are also swirling about bogus checks. If you receive a “check” in the mail now, it’s fraud – it will take the Treasury Department a few weeks to distribute the payments. If you receive a “check” for an odd amount (especially one with cents), or a check that requires that you verify the check online or by calling a number, it’s fraud.
Beware of Scams and Schemes
IRS-Impersonation Telephone Scams
An aggressive and sophisticated phone scam targeting taxpayers, including recent immigrants, have been making the rounds throughout the country. Callers claim to be employees of the IRS, but are not. Victims are told they owe money to the IRS and it must be paid promptly through a pre-loaded debit card or wire transfer. If the victim refuses to cooperate, they are then threatened with arrest, deportation or suspension of a business or driver’s license. Or, victims may be told they have a refund due to try to trick them into sharing private information.
With COVID-19 scams, they may urge you to pay this fake “debt” with your economic impact check. For those who receive an actual check, they may ask you to endorse it and forward to them for “payment of past debts.”
Remember: Scammer Change Tactics – Variations of the IRS impersonation scam continue year-round and they tend to peak when scammers find prime opportunities to strike – like the new economic impact check being sent.
Surge in Email, Phishing and Malware Schemes
Scam emails are designed to trick taxpayers into thinking these are official communications from the IRS, tax industry professionals or tax software companies. These phishing emails ask taxpayers about a wide range of topics – related to refunds, filing status, ordering transcripts, and verifying PIN information – in order to steal your personal information or file tax returns.
When people click on links from these phishing emails, they are taken to sites designed to imitate an official-looking website, such as IRS.gov. The sites may also carry malware, which can infect people’s computers to steal their files or record their keystrokes. Also be aware of email phishing scams that appear to be from the IRS and include a link to a bogus web site intended to mirror the official IRS web site. These emails contain the direction “you are to update your IRS e-file immediately.” The emails mention USA.gov and IRSgov (without a dot between “IRS” and “gov”). Don’t get scammed. These emails are not from the IRS.
Don’t be a victim! Visit www.irs.gov or www.irs.gov/coronavirus
Department of Justice Makes $850 Million Available to Help Public Safety Agencies Address Covid-19 PandemicRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington announced that the Department of Justice is making $850 million available to help public safety agencies respond to the challenges posed by the outbreak of COVID-19. The Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump, will allow eligible state, local and tribal governments to apply immediately for these critical funds. The department is moving quickly to make awards, with the goal of having funds available for drawdown within days of the award.
U.S. Attorney Hyslop stated, “Our state, local and tribal law enforcement partners are dedicated to keeping our communities safe by making arrests and investigating cases on a daily basis. These public safety funds will enhance their ability during the COVID-19 pandemic to continue performing their important work. I encourage our law enforcement partners to apply for this emergency funding.”
“This is an unprecedented moment in our nation’s history and an especially dangerous one for our front-line law enforcement officers, corrections officials, and public safety professionals,” said Office of Justice Programs Principal Deputy Assistant Attorney General Katharine T. Sullivan. “We are grateful to the Congress for making these resources available and for the show of support this program represents.”
The solicitation, posted by the Bureau of Justice Assistance in the Justice Department’s Office of Justice Programs (OJP), will remain open for at least 60 days and be extended as necessary. OJP will fund successful applicants as a top priority on a rolling basis as applications are received. Funds may be used to hire personnel, pay overtime costs, cover protective equipment and supplies, address correctional inmates’ medical needs and defray expenses related to the distribution of resources to hard-hit areas, among other activities. Grant funds may be applied retroactively to Jan. 20, 2020, subject to federal supplanting rules.
Agencies that were eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for this emergency funding. A complete list of eligible jurisdictions and their allocations can be found at https://bja.ojp.gov/program/fy20-cesf-allocations.
For more information about the Coronavirus Emergency Supplemental Funding program, please visit https://bja.ojp.gov/funding/opportunities/bja-2020-18553. For more information about the Office of Justice Programs, please visit https://www.ojp.gov/.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
United States Attorney William D. Hyslop Announces Efforts to Combat Covid-19 ScamsRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that the United States Department of Justice has established a coordinated, nationwide response to allegations of a wide array of fraudulent and otherwise illegal schemes to exploit the national emergency caused by COVID-19 (the coronavirus).
United States Attorney Hyslop stated, “The U.S. Attorney’s Office, together with its law enforcement partners, is fully operational and is continuing to fulfill its public safety mission, including ferreting out COVID-19 fraud schemes. Essential law enforcement functions including investigations, the preparation and execution of warrants, filing of charges, and case litigation continue. Make no mistake, the Eastern District of Washington’s federal prosecutors and support staff are working with federal, state, local, and tribal law enforcement to safeguard our justice system and protect the safety and security of our nation during this challenging time.”
If you (or someone you know) believe you have been the target or victim of a coronavirus-related scam, you are strongly encouraged to make a report to the National Center for Disaster Fraud (NCDF) Hotline (866.720.5721), or to the NCDF email address ([email protected]). The NCDF is a national coordinating agency within the Department of Justice’s Criminal Division. The NCDF’s mission is to improve and further the detection, prevention, investigation, and prosecution of criminal conduct related to emergencies, such as the COVID-19 outbreak, and to advocate for the victims of such conduct. The NCDF Hotline is available to receive reports from the public of potential fraud 24 hours a day, seven days a week. Callers will be connected with a live operator or can leave a message detailing their report.
In addition, the public may also make such reports to the FBI’s Internet Crime Complaint Center by visiting www.IC3.gov. The FBI is alert to fraudsters attempting to exploit the COVID-19 outbreak. The FBI has extensive expertise in cybercrime and is presently monitoring issues relating to phishing attempts and efforts to infect emails, links, and postings with malware. Crime tips of any kind, including alleged civil rights violations, can be submitted to the FBI by visiting
tips.fbi.gov or by calling the FBI Seattle Field Office, which has a robust presence in Eastern Washington, at 206.622.0460. If you or someone you know is in immediate danger, call 911.
The United States Attorney’s Office for the Eastern District of Washington has appointed a Coronavirus Coordinator to: (a.) serve as the legal counsel on matters relating to the coronavirus in Eastern Washington; (b.) oversee prosecution of coronavirus-related cases; and (c.) support public outreach and awareness activities relating to the coronavirus.
Fraudsters devise numerous methods for defrauding people, such as creating websites, contacting people by phone and email, and posting disinformation on social media platforms. Examples of scams linked to COVID-19 include:
• Testing scams: Scammers are selling fake at-home test kits or going door-to-door performing fake tests for money.
• Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
• Provider scams: Scammers are contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
• Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
• App scams: Scammers are creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
• Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as “research reports,” make predictions of a specific “target price,” and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.
The U.S. Attorney’s Office again urges the public to report coronavirus-related scams and to take precautionary measures to protect themselves from known and emerging scams, such as:
• Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
• Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use “cdc.com” or “cdc.org” instead of “cdc.gov.”
• Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
• Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device.
• Make sure the anti-malware and anti-virus software on your computer is operating and up to date.
• Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
• Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
• Research any charities or crowdfunding sites soliciting donations in connection with COVID-19 before giving. Remember, an organization may not be legitimate even if it uses words like “CDC” or “government” in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website.
• Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.
• Be cautious of “investment opportunities” tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention www.cdc.gov, the World Health Organization www.who.int, and the Washington Department of Health www.doh.wa.gov websites.
United States Attorney William D. Hyslop Addresses Community Safety and Issues Warning Against COVID-19 Fraud Schemes and Other CrimesRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington, addressed the status of the public safety amidst the COVID-19 pandemic.
“We all know that crime does not take a break during a crisis. In fact, we know that crime often tries to take advantage of a crisis. We intend for that not to happen here,” said William D. Hyslop, United States Attorney for the Eastern District of Washington. “No person thinking they can commit a crime should be mistaken. COVID-19 changes nothing for law enforcement. If you commit a crime, law enforcement will be knocking on your door and you will be prosecuted,” Hyslop stated.
“The United States Attorney’s Office for the Eastern District of Washington is open and fully operational. We will continue to work closely with all of our federal, state, local and tribal law enforcement partners to safeguard our justice system and protect the safety and security of our nation during this difficult time,” Hyslop stated.
“I also want it to be very clear that all law enforcement and this office will be vigilant and unwavering in investigating and aggressively prosecuting anyone trying to capitalize on the COVID-19 crisis. We are seeing cases of fraudsters popping up around the nation trying to take advantage of people in this health crisis. Phone scams, supposed sure cures, and increased elder fraud and health care fraud are just a few examples,” Hyslop stated.
United States Attorney Hyslop’s warning follows United States Attorney General William Barr’s directive earlier this week for all United States Attorneys around the country to place a high priority on stopping scam artists trying to take advantage of the coronavirus situation. In a memo to the U.S. Attorneys, Attorney General Barr wrote, “The pandemic is dangerous enough without wrongdoers seeking to profit from public panic and this sort of conduct cannot be tolerated.”
Some common scams being reported around the nation include:
• Individuals and businesses selling fake cures for COVID-19 online;
• Phishing emails sent from entities posing as the World Health Organization (“WHO”) or the Centers for Disease Control and Prevention (“CDC”);
• Malware being inserted onto mobile phones by apps pretending to track the spread of the virus; and
• Increased elder fraud and healthcare fraud.
“The public should remain vigilant during this time. Citizens should not click on computer links from sources they do not know and should be aware when it comes to donations, whether through charities or crowdfunding sites. No one should allow themselves to be rushed by another person into making a donation or decision. If someone wants money in cash, by gift card, or by wiring it, don’t do it,” Hyslop warned.
The United States Attorney’s Office for the Eastern District of Washington is working with the Department of Justice’s Consumer Protection Branch, Fraud Section, and Antitrust Division to coordinate efforts to stop scammers preying on concerned Washington residents. Citizens are asked to report potential scams to the FBI’s Internet Crime Complaint Center (IC3) by visiting www.IC3.gov. Crime tips of any kind can be submitted by visiting tips.fbi.gov. If you or someone you know are in immediate danger, call 911.
Department of Justice Launches a National Nursing Home InitiativeRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington, Attorney General William P. Barr in announcing today the Department of Justice’s National Nursing Home Initiative, which will coordinate and enhance civil and criminal efforts to pursue nursing homes that provide grossly substandard care to their residents.
This initiative is focusing on some of the worst nursing homes around the country and the Department has already initiated investigations into approximately thirty individual nursing facilities in nine states as part of this effort.
“Millions of seniors count on nursing homes to provide them with quality care, and to treat them with dignity and respect when they are most vulnerable,” said Attorney General William P. Barr. “Yet, all too often, we have found nursing home owners or operators who put profits over patients, leading to instances of gross abuse and neglect. This national initiative will bring to justice those owners and operators who have profited at the expense of their residents, and help to ensure residents receive the care to which they are entitled.”
United States Attorney Hyslop said, “The United States Attorney’s Office for the Eastern District of Washington will work closely and tirelessly with our federal, state, local and tribal law enforcement partners to prosecute aggressively those nursing home owners and operators who abandon the long-standing principle to ‘do no harm’ in caring for our senior citizens.”
The department considers a number of factors in identifying the most problematic nursing homes. For example, the department looks for nursing homes that consistently fail to provide adequate nursing staff to care for their residents, fail to adhere to basic protocols of hygiene and infection control, fail to provide their residents with enough food to eat so that they become emaciated and weak, withhold pain medication, or use physical or chemical restraints to restrain or otherwise sedate their residents. These care failures cause residents to suffer in pain and to be exposed to the great indignities. Care failures cause residents to develop pressure sores down to the bone, to lie in their own waste for hours, to starve because they cannot reach the food on their trays and to remain unwashed for weeks at a time. Nursing homes that provide grossly substandard care also force vulnerable elderly residents who cannot leave the facilities to live in filthy and dangerous conditions where there are leaks in the roofs, mold is found growing and rodents found living in residents’ rooms. These are some of the actions and the inactions that the department intends to pursue.
The National Nursing Home Initiative reflects the department’s larger strategy and commitment to protecting our nation’s seniors, coordinated by the department’s Elder Justice Initiative in conjunction with the U.S. Attorneys’ Offices. The Elder Justice Initiative and the U.S. Attorneys’ Offices are essential to the department’s investigative and enforcement efforts against nursing homes and other long-term care entities that deliver grossly substandard care to Medicare and Medicaid beneficiaries. The Initiative and the U.S. Attorneys’ Offices also support the efforts of state and local prosecutors, law enforcement, and other elder justice professionals to combat elder abuse, neglect and financial exploitation, with the development of training, resources, and information. Learn more about the Justice Department’s Elder Justice Initiative at http://www.justice.gov/elderjustice/.
Drug Trafficker Sentenced to 14 Years in Federal Prison Following Seizure of 90 Pounds of MethamphetamineRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Martel Chavez-Mendoza, age 40, a resident of Yakima, Washington, was sentenced after having pleaded guilty on August 21, 2019, to distributing over 500 grams of methamphetamine. United States District Judge Stanley A. Bastian sentenced Chavez-Mendoza to a fourteen-year term of imprisonment, to be followed by a five-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, law enforcement received information that Chavez-Mendoza was selling methamphetamine and using a location near Sunnyside, Washington, to convert the methamphetamine from liquid to crystal form. During its investigation, the United States Drug Enforcement Administration (“DEA”) determined Chavez-Mendoza distributed a kilogram of methamphetamine to another individual. While conducting surveillance, DEA also observed Chavez-Mendoza and another individual purchasing acetone (commonly used to crystallize methamphetamine) and transporting it to a garage near Sunnyside.
As a result, DEA obtained warrants to search Chavez-Mendoza’s residence, vehicle, and another location. Investigators seized ninety pounds (approximately 44 kilograms) of methamphetamine and two pounds of heroin from Chavez-Mendoza’s vehicle. While searching Chavez-Mendoza’s residence, DEA seized firearms, drug ledgers and over $50,000 in U.S. currency. Investigators also found the remnants of a large-scale methamphetamine crystallization operation at a third location.
United States Attorney Hyslop said, “Ninety-pounds of methamphetamine is the largest single drug seizure in Yakima County in years. Taking this much meth off the streets is a great victory. Nonetheless, illegal drugs should be of significant concern to the community as they are to all law enforcement. The United States Attorney’s Office for the Eastern District of Washington commends the law enforcement officers with the DEA and Yakima Police Department who investigated this case. The sentence imposed by the court removes a large-scale drug trafficker from our community and sends a clear message to others who may choose to engage in such criminal activity.”
This case was investigated by the Yakima Resident Office of the U.S. Drug Enforcement Administration and the Yakima Police Department. This case was prosecuted by Benjamin D. Seal, an Assistant United States Attorney for the Eastern District of Washington.
Woman Sentenced to 22 Years in Federal Prison for Conspiracy to Produce Child Pornography and Distribution of Child PornographyRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Katrina Michelle Maradee Adams, age 27, a resident of Walla Walla, Washington was sentenced today after having pleaded guilty on January 29, 2019, to one count of conspiracy to produce child pornography and one count of distribution of child pornography. Senior United States District Judge Wm. Fremming Nielsen sentenced Adams to a 22-year term of imprisonment, to be followed by a lifetime term of court supervision after she is released from federal prison.
According to information disclosed during court proceedings, Adams’ co-conspirator Mikhail Yuriy Ageyev came to law enforcement attention through a series of CyberTips from Twitter and the Microsoft Corporation about suspected child pornography uploaded by Ageyev over the internet. CyberTips are reports to the National Center for Missing and Exploited Children (NCMEC) of illegal actions taken against children. In this case, as in many cases, the CyberTip pertained to child pornography. NCMEC receives the CyberTip and determines which law enforcement group (geographically) is best suited to respond to the tip. After NCMEC’s review is completed, the information in a CyberTip report is made available to that law enforcement group.
In this case, the first CyberTip was received by the Moses Lake Police Department on October 30, 2017. The Moses Lake Police Department quickly conducted additional investigation to include executing search warrants for various online accounts maintained by Ageyev. The CyberTips and search warrants revealed that Ageyev maintained an online presence where he professed an interest in incest and child pornography and where he traded child pornography images with others online.
On November 18, 2017, the Moses Lake Police Department executed search warrants at Ageyev’s residence in Moses Lake. During a subsequent interview at the Moses Lake Police Department, Ageyev admitted to law enforcement that he had child pornography files on his mobile phone. Ageyev also admitted that he exchanged links, images, and videos of child pornography with others using various methods over the internet. Ageyev also admitted that he produced child pornography by using his mobile phone to take sexually explicit video and still images of his girlfriend’s two-year old daughter. Ageyev was taken into custody the same day.
A subsequent forensic examination of Ageyev’s electronic devices, in particular his mobile phone, revealed child pornography images and videos that he had produced. It also revealed child pornography images and videos Ageyev had downloaded from the internet or received directly from other people over the internet.
A review of several of the child pornography videos found on Ageyev’s device demonstrated that Ageyev’s girlfriend, Katrina Michelle Maradee Adams, was also involved in the production of child pornography involving Adams’ two-year old daughter along with Ageyev. Search warrants were then obtained for electronic devices possessed by Adams and various online accounts maintained by Adams. These search warrants revealed discussions between Ageyev and Adams concerning the sexual abuse of Adams’ two-year old daughter which included Ageyev discussing future plans to sexually abuse and impregnate the child. Law enforcement also located video and still images depicting the sexual abuse of the two-year old victim.
On February 21, 2018, a federal Grand Jury in Spokane returned a multi-count indictment against Ageyev and Adams charging conspiracy to produce child pornography, production of child pornography, distribution of child pornography, receipt of child pornography, and possession of child pornography. On January 29, 2019, Adams pleaded guilty to conspiracy to produce child and distribution of child pornography. Ageyev was sentenced on January 28, 2020 to 50 years of imprisonment for conspiracy to produce child pornography, production of child pornography, and possession of child pornography.
United States Attorney Hyslop said, “The victim in this case has had her life forever altered as a result of the actions of her mother both in abusing her and in permitting another to abuse her. The sentence imposed is necessary to protect her and the public. The United States Attorney’s Office for the Eastern District of Washington will remain steadfast in its unwavering commitment to work closely with its federal, state, local and tribal law enforcement partners to prosecute aggressively those individuals who may commit such crimes.”
“This young child was victimized by the very people who should have been protecting her from harm.” said Eben Roberts, acting special agent in charge of Homeland Security Investigations (HSI) Seattle. “Anyone who can prey upon, or allow someone to prey upon, a two year old child represents the worst of the worst in our community. Let this be a warning to those who exploit children, just as in this case, HSI and our partners are committed to seeking, apprehending and bringing you to justice.”.
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This case was investigated by Homeland Security Investigations, the Moses Lake Police Department, and the Southeast Regional Internet Crimes against Children Task Force (ICAC). This case was prosecuted by Alison L. Gregoire and James A. Goeke, Assistant United States Attorneys for the Eastern District of Washington.
City of Richland Police Department and City of Kennewick Police Department Receive over $154,000 Forfeiture Award from U.S. Department of Justice as a Result of Seizure of Assets from Convicted Child Pornography CriminalRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced today and presented the City of Richland Police Department and the City of Kennewick Police Department with $154,668.21 in asset forfeiture equitable sharing funds.
The Richland Police Department is receiving $96,667.63 and the Kennewick Police Department is receiving $58,000.58 to be used for further law enforcement purposes. Richland Police Chief John Bruce accepted the funds on behalf of the Richland Police Department. Kennewick Police Chief Ken Hohenburg accepted the funds on behalf of the Kennewick Police Department. The two law enforcement agencies are members of the Southeast Regional Internet Crimes Against Children (ICAC) Task Force and share the forfeiture funds as a result.
The asset forfeiture funds are the result of the United States’ seizure of assets from Dale Gordon Black of Kennewick, Washington. On December 18, 2018, Black pleaded guilty to three counts of Production of Child Pornography. On July 16, 2019, Senior United States District Judge Edward F. Shea sentenced Black to a 30-year term of imprisonment, to be followed by a lifetime of court supervision after he is released from federal prison. The court ordered Black to forfeit $185,900 in cash and his Subaru Legacy, and to pay $19,150 in restitution and $305,000 in fines, $5,000 of which was imposed under the Justice for Victims of Trafficking Act.
According to information disclosed during court proceedings, on July 18, 2017, undercover Federal Bureau of Investigation agents downloaded a child pornography video from an Internet Protocol address that was traced to Black's residence using a peer-to-peer file sharing program.
Investigators obtained a search warrant and seized many electronic devices from Black’s residence. A forensic examination of Black’s electronic devices revealed child pornography images that he had produced. The images were of three children Black knew either as neighbors or through his work in a local youth mentoring program. Black produced the images at his house and on overnight trips he took alone with the children.
As part of the prosecution of Black, the United States seized, forfeited, and sold Black’s Subaru Legacy because he used it to transport his victims in furtherance of his child pornography production crimes. In addition, the United States forfeited $185,900 in cash from Black, which represented proceeds from the sale of the house where Black produced child pornography images. All of the forfeitures were approved and authorized by the court.
Pursuant to applicable regulations, an 80% share of the forfeiture proceeds from the forfeited cash and sale of Black’s vehicle are being shared with the Richland Police Department and Kennewick Police Department in recognition of their significant contributions to the investigation and prosecution of Dale Gordon Black. The shared asset forfeiture funds will assist these agencies in their further crime-fighting efforts.
The Department of Justice Asset Forfeiture Program is, first and foremost, a law enforcement program. It removes the tools of crime from criminal organizations, deprives wrongdoers of the proceeds of their crimes, recovers property that may be used to compensate victims, and deters crime. The Department of Justice emphasizes these law enforcement purposes with all federal, state, local, and tribal law enforcement agencies.
One of the ancillary benefits of asset forfeiture is sharing federal forfeiture proceeds with cooperating state and local law enforcement agencies through equitable sharing as is occurring here. The Department of Justice Equitable Sharing Program enhances cooperation between federal, state, local, and tribal law enforcement by providing valuable additional resources to those law enforcement agencies.
United States Attorney Hyslop said, “Sexual predation and exploitation of children are heinous crimes. That Dale Black preyed on vulnerable children through his participation in a youth mentorship program make his crimes even more egregious. The children in our community are safer now that Black has been convicted of three serious felony child pornography offenses and removed from society and the ability to hurt others. The sentence imposed in this case, and the forfeiture of Black’s assets, serves as a stern warning to offenders that you will be held accountable for your actions.”
Hyslop further said, “Prosecuting those who would produce pornographic images of vulnerable minors is a high priority of the United States Attorney’s Office for the Eastern District of Washington. The investigation resulting in Black’s conviction exemplifies the positive results that can be achieved when federal, state, local and tribal law enforcement agencies collaborate and work together. I commend the dedicated work of all the law enforcement officers who investigated this case.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
- Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
- Participation of PSC partners in coordinated national initiatives;
- Increased federal enforcement in child pornography and enticement cases;
- Training of federal, state, and local law enforcement agents; and,
- Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The enforcement action resulting in this forfeiture was assisted by the ICAC Task Force. The ICAC Task Force is comprised of the Cities of Richland and Kennewick, Benton County, and the Department of Homeland Security Investigations, Seattle Office. The ICAC Task Force serves the public’s best interest by allowing these agencies to pool resources and knowledge to investigate, prosecute and deter the possession, production, and distribution of child pornography and the utilization of the internet to seek out children as sexual victims.
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation with assistance from the ICAC Task Force, the Richland Police Department and the Kennewick Police Department.
This case was prosecuted by Alison L. Gregoire and Brian M. Donovan, Assistant United States Attorneys for the Eastern District of Washington.
More information regarding the DOJ Equitable Sharing Program can be found here: DOJ Guide to Equitable Sharing.Media Advisory – Federal and Local Law Enforcement Officials to Hold Press Conference to Present $154,000 Forfeiture Award to Richland and Kennewick Police Departments as a Result of Seizure of Assets from a Convicted Child Pornography CriminalRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that there will be a press conference at 2:30 p.m. on Tuesday, February 18, 2020, in the lobby of the U.S. District Courthouse & Federal Building in Richland, Washington, to make a significant asset forfeiture presentation.
WHO:
United States Attorney William D. Hyslop
Richland Police Department, Chief of Police John Bruce
Richland Police Department, Captain Jeff Taylor
Richland Police Department, Detective Sergeant Darryl Judge
Kennewick Police Department, Chief of Police Ken Hohenburg
Assistant United States Attorney Alison L. Gregoire
Assistant United States Attorney Brian M. Donovan
United States Federal Bureau of Investigation Resident-Agent-In-Charge Christian L. Parker
WHERE:
Richland U.S. Courthouse & Federal Building
825 Jadwin Avenue, Lobby
Richland, WA 99352
OPEN PRESS
NOTE: All media representatives must present government-issued photo I.D. (i.e., driver’s license) as well as valid media credentials. Media representatives may begin to arrive at 2:00 p.m. Credentialed media are invited to use camera and audio equipment during the press conference.
Inquiries regarding logistics should be directed to Lisa Dinwoodie, Assistant to George J.C. Jacobs, III, Public Information Officer, United States Attorney’s Office for the Eastern District of Washington, at 509-353-2767.
United States Department of Justice Sues King County over Unlawful and Unconstitutional Restrictions on Use of Boeing FieldRead the Press Release
Spokane – The U.S. Department of Justice today filed suit in federal court against King County asking the Court to invalidate and enjoin a King County policy aimed at banning all immigration related flights at Boeing Field in Seattle. In April 2019, King County announced the executive order designed to ban all deportation flights from the airfield. Because ICE can no longer use Boeing Field, it has had to transport detainees to and from the Yakima airport via bus – a trip of 150 miles.
“King County doesn’t get to pick and choose which federal laws it wants to follow,” said Brian T. Moran, U.S. Attorney for the Western District of Washington. “The federal government transferred Boeing Field to the County in 1948 – and the agreement states that the federal government retains the right to use the field at no cost. King County is violating the law, the U.S. Constitution’s Supremacy clause, and the very agreement it signed to gain ownership of the airport.”
“The vast majority of people being deported from our state have previously committed crimes in this country that lead to their deportation,” said William D. Hyslop, U.S. Attorney for the Eastern District of Washington. “We don’t refuse to send a criminal defendant to another state to face charges – neither should we fail to return illegal aliens to their country of origin if they have committed crimes that make them inadmissible to the United States and a danger to our communities.”
In order to continue the lawful transport of detainees both to and from the Northwest ICE Processing Center, ICE must subject them to a 150-mile bus trip to Yakima, increasing the cost and lengthening the trip for the detainees.
The litigation charges the restrictions placed on Boeing Field and the contractors that service aircraft there with violating the Airline Deregulation Act (ADA), as well as the Supremacy Clause of the Constitution, by obstructing and burdening federal activities.
The litigation in Western Washington was announced today by Attorney General William Barr in a speech to the nation’s Sheriffs. In addition to the Boeing Field litigation, the Department of Justice filed suit in New Jersey seeking to invalidate laws preventing the sharing of information between state and local law enforcement and the Department of Homeland Security.
The litigation is being handled by Michael J. Gerardi, a Trial Attorney with DOJ’s Federal Programs Branch, in consultation with Assistant United States Attorney Kristin B. Johnson with the U.S. Attorney’s Office, Western District of Washington.
Press contact for the U.S. Attorney’s Office for the Western District of Washington is Communications Director Emily Langlie at (206) 553-4110 or [email protected].
Media Advisory – United States Attorney William D. Hyslop Joins United States Attorney from Western Washington to Announce Litigation Regarding Sanctuary PolicyRead the Press Release
Spokane --Monday, February 10, 2020, William D. Hyslop, United States Attorney for the Eastern District of Washington, and Brian T. Moran, United States Attorney for the Western District of Washington, will meet with reporters at the United States Attorney’s Office for the Western District of Washington to discuss new litigation in Western Washington regarding a sanctuary policy.
Copies of the litigation will be available at the press conference.
Who: United States Attorney William D. Hyslop, Eastern District of Washington United States Attorney Brian T. Moran, Western District of Washington
What: Federal litigation regarding sanctuary policies in Washington
When: Monday, February 10, 2020, 2:30 PM
Where: U.S. Attorney’s Office Western District of Washington – 5th Floor, Federal Courthouse – 700 Stewart Street, Seattle, Washington
Reporters who wish to listen in to the conference via phone please call 866-744-2264 Passcode 9189807.
To schedule interviews following the press event, please email: Communications Director Emily Langlie at [email protected] and cc Charlene Koski at [email protected].
Spokane Developer and Preservationist Sentenced to One Year of Home Confinement and Ordered to Pay a $60,000 Fine Plus Restitution and Forfeiture for His Role in Insurance Fraud and Money Laundering SchemeRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced today that Richard Ronald Wells, age 71, of Spokane, Washington and Coeur d’Alene, Idaho, was sentenced after having pleaded guilty on April 30, 2019, to six counts of mail fraud, one count of conspiracy to commit mail and wire fraud, one count of money laundering, and one count of conspiracy to commit money laundering.
Chief United States District Judge Thomas O. Rice sentenced Wells to a 1-year term of home confinement, to be followed by a 3-year term of court supervision, and ordered him to pay a $60,000 fine. Chief Judge Rice also ordered Wells to pay restitution in the amount of $179,876 and forfeiture of $179,876. Wells forfeited this amount and paid it in full to the court registry prior to sentencing.
According to information disclosed during court proceedings, Wells admitted to participating in one staged accident in Liberty Lake, Washington, involving his $59,557 Ram pickup truck being intentionally driven into co-defendant Chris Frangella’s Ford F-150 pickup truck trailering another individual’s 36-foot Baja cigar boat. In an effort to pursue a fraudulent insurance claim, Wells lied to police and the insurance company by claiming he was the driver of the “at fault” vehicle and that it was an accident, when neither were true. The insurance proceeds fraudulently generated from the phony accident totaled $338,266. The scheme enabled Wells to eliminate approximately $80,000 in personal debt (a $20,000 loan borrowed from another individual and $59,557 he owed a credit union on his Ram truck).
Wells’ fraudulent claim also enabled co-conspirator, Sandra Talento, to collect an insurance payout for fictitious personal injuries claimed to occur in the same incident. Talento pleaded guilty on June 6, 2019, to twenty-five felonies in connection with her role in this and other staged accidents. Talento was sentenced on November 7, 2019, to a 5-year and 10-month term of imprisonment, a 3-year term of court supervision, and was ordered to pay restitution in the amount of $2,100,000 and forfeiture of $2,100,000.
According to information disclosed during court proceedings, Wells also laundered proceeds from another staged accident involving other individuals. These proceeds were derived from a September 21, 2016, staged automobile accident in Rescue, California, involving defendants Misael Reyes-Tajimaroa (using the fake identity “Andrew Arceo”), Brittany Jo Harris, Alexander Arceo and others that generated fraudulent insurance settlement payouts totaling approximately $312,838. On February 21, 2017, and February 28, 2017, an insurance company issued a $90,000 check and a $62,500 check as a result of this accident. Wells, and Reyes-Tajimaroa (using the identity “Andrew Arceo”), were listed as co-payees on each check. Both checks were deposited into Wells’ bank account. On March 20, 2017, Wells issued a $20,000 check payable to another individual, and a $15,000 check payable to a bank. A day later, Wells withdrew $100,319.56 via cashier’s check from his bank account which was used to pay off another individual’s mortgage on a property located in Spokane, Washington.
United States Attorney Hyslop, said “Ron Wells’ fraudulent conduct needlessly caused health care providers, emergency personnel and police officers to expend precious resources that otherwise could have been used to assist true victims. He lied to police and an insurance company in furtherance of an insurance fraud scheme and then he laundered criminal proceeds to disguise their illegal origin. Wells committed serious crimes here. In spite of the fact that he was once a respected community leader and developer in our region, he sacrificed that when he cheated, lied and laundered money. The sentence imposed reflects the role Wells played in the scheme and the fact that he benefitted from his fraud at the expense of the insurance system. This case should send a strong message that we will investigate and prosecute those who may seek to line their pockets through fraud and who launder their ill-gotten gains.”
Federal Bureau of Investigation Special Agent in Charge Raymond P. Duda, said "Here is an individual who let greed get in the way of doing the right thing. Now Mr. Wells is learning the real-life consequences of the decisions he made."
“Today Ronald Wells was held accountable for his participation in the staged accident conspiracy that generated more than $5.5 million dollars of fraudulent insurance proceeds and endangered the public. While our heroic first responders were treating conspirators like Wells at the accident scenes they could not respond to legitimate emergency calls,” said IRS-Criminal Investigation Special Agent in Charge Justin Campbell. “IRS-Criminal Investigation is proud to work alongside the FBI and the U.S. Attorney’s Office to bring this conspiracy to justice.”
This investigation was conducted by the Federal Bureau of Investigation, IRS Criminal Investigation, United States Marshals Service, and the United States Attorney’s Office for the Eastern District of Washington, with assistance from the National Insurance Crime Bureau. This case is being prosecuted by George J.C. Jacobs, III and Brian M. Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Washington Man Sentenced to 92 Months in Federal Prison for Possession of a Stolen SilencerRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Joseph W. Aarnes, age 38, of Spokane, Washington, was sentenced today after having pleaded guilty on July 16, 2019, to possession of a stolen firearm. United States District Judge Salvador Mendoza, Jr. sentenced Aarnes to a 92-month term of imprisonment, to be followed by a 3-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, on June 6, 2018, Aarnes was arrested by the Washington State Department of Corrections (DOC). Two days later, a third party notified DOC that there was a firearm “silencer,” also known as a suppressor, among Aarnes’ personal belongings at a residence. After obtaining consent to search the residence, officers seized a Gemtech, model Outback 2d, silencer. Investigators determined the silencer had been reported stolen. Under federal law, a “silencer” is considered a firearm.
William D. Hyslop said, “Possession of a stolen ‘silencer’ presents unnecessary risks to the community. The United States Attorney’s Office for the Eastern District of Washington will continue to prosecute aggressively those individuals who illegally possess firearms and ammunition. I commend the outstanding work of the FBI, ATF, Washington State Department of Corrections, and the Spokane Police Department in investigating this case.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: Federal Bureau of Investigation, Spokane Regional Safe Streets Task Force, the Spokane Regional Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Washington State Department of Corrections, and the Spokane Police Department. For more information about Project Guardian, please see: https://www.justice.gov/ag/project-guardian-memo-2019/download.
This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Man Sentenced to 50 Years in Federal Prison for Conspiracy to Produce Child Pornography, Production and Possession of Child PornographyRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Mikhail Yuriy Ageyev, age 34, a citizen of Ukraine and a resident of Moses Lake, Washington was sentenced today after having pleaded guilty on October 21, 2019 to conspiracy to produce child pornography, production of child pornography, and possession of child pornography. Senior United States District Judge Wm. Fremming Nielsen sentenced Ageyev to a 50-year term of imprisonment, to be followed by a lifetime term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Ageyev came to law enforcement attention through a series of CyberTips from Twitter and the Microsoft Corporation about suspected child pornography uploaded by Ageyev over the internet. CyberTips are reports to the National Center for Missing and Exploited Children (NCMEC) of illegal actions taken against children. In this case, as in many cases, the CyberTip pertained to child pornography. NCMEC receives the CyberTip and determines which law enforcement group (geographically) is best suited to respond to the tip. After NCMEC’s review is completed, the information in a CyberTip report is made available to that law enforcement group.
In this case, the first CyberTip was received by the Moses Lake Police Department on October 30, 2017. The Moses Lake Police Department quickly conducted additional investigation to include executing search warrants for various online accounts maintained by Ageyev. The CyberTips and search warrants revealed that Ageyev maintained an online presence where he professed an interest in incest and child pornography and where he traded child pornography images with others online.
On November 18, 2017, the Moses Lake Police Department executed search warrants at Ageyev’s residence in Moses Lake. During a subsequent interview at the Moses Lake Police Department, Ageyev admitted to law enforcement that he had child pornography files on his mobile phone. Ageyev also admitted that he exchanged links, images, and videos of child pornography with others using various methods over the internet. Ageyev also admitted that he produced child pornography by using his mobile phone to take sexually explicit video and still images of his girlfriend’s two-year old daughter. Ageyev was taken into custody the same day.
A subsequent forensic examination of Ageyev’s electronic devices, in particular his mobile phone, revealed child pornography images and videos that he had produced. It also revealed child pornography images and videos Ageyev had downloaded from the internet or received directly from other people over the internet.
A review of several of the child pornography videos found on Ageyev’s device demonstrated that Ageyev’s girlfriend, Katrina Michelle Maradee Adams, was also involved in the production of child pornography involving Adams’ two-year old daughter along with Ageyev. Search warrants were then obtained for electronic devices possessed by Adams and various online accounts maintained by Adams. These search warrants revealed discussions between Ageyev and Adams concerning the sexual abuse of Adams’ two-year old daughter which included Ageyev discussing future plans to sexually abuse and impregnate the child. Law enforcement also located video and still images depicting the sexual abuse of the two-year old victim.
On February 21, 2018, a federal Grand Jury in Spokane returned a multi-count indictment against Ageyev and Adams charging conspiracy to produce child pornography, production of child pornography, distribution of child pornography, receipt of child pornography, and possession of child pornography. On January 29, 2019, Adams pleaded guilty to conspiracy to produce child and distribution of child pornography. Adams also agreed to testify against Ageyev at trial. Adams is due to be sentenced on February 24, 2020. Ageyev pleaded guilty on October 21, 2019 to conspiracy to produce child pornography, production of child pornography, and possession of child pornography.
At the sentencing hearing, Senior United States District Judge Wm. Fremming Nielsen said that “abusing young children in any way, using any method, is conduct that society as a whole agrees is the worst kind of conduct there is and unfortunately you were involved in it.” The Court also said that the “victim is a two and a half year old little girl whose life is now upside down and will never be the same.”
United States Attorney William D. Hyslop said “Sexual predation and exploitation upon a two-year old child. Producing child pornography. It is difficult to imagine a more heinous situation or more egregious situation. Just as terrible, or more egregious, every time a sexually explicit image is downloaded and viewed, the child who is shown is victimized again. Thank goodness Ageyev has now been convicted of three serious felony child pornography offenses and is now removed from society and the ability to hurt others.”
“This is why the United States Attorney’s Office for the Eastern District of Washington, in collaboration with its federal, state, local and tribal law enforcement partners, uses every resource and tool available to investigate and prosecute aggressively those involved in child exploitation. This Office will continue to do all we can to protect vulnerable child victims of these horrible crimes by seeking lengthy prison sentences, like the one imposed today, for child pornographers.”
“The sentence in this case is representative of how completely reprehensible this defendant’s crimes are,” said Debra Parker, special agent in charge of Homeland Security Investigations (HSI) Seattle. “What the defendant didn’t count on was how equally passionate HSI and our law enforcement partners are about seeking and holding accountable those who wish to harm children.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources." This case was investigated by Homeland Security Investigations, the Moses Lake Police Department, and the Southeast Regional Internet Crimes against Children Task Force (ICAC). This case was prosecuted by Alison L. Gregoire and James A. Goeke, Assistant United States Attorneys for the Eastern District of Washington.
Washington State Couple and Companies Sentenced for Fraud and False Statement in Connection with Renewable Energy Fraud SchemeRead the Press Release
A Richland, Washington couple and their companies, HTG Trucking LLC and Freedom Fuel Inc., were sentenced yesterday in federal court in Richland, Washington for fraud and false statement charges in connection with a renewable energy fraud scheme, announced Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environment and Natural Resources Division and U.S. Attorney for the Eastern District of Washington William D. Hyslop.
Hector Garza Jr., 49, was sentenced to two years in prison to be followed by a three-year term of supervised release. Tammy Garza, 38, was sentenced to four months in prison and one year of supervised release. HTG Trucking LLC and Freedom Fuel Inc. were placed on probation for three years. All of the defendants were ordered to pay restitution to the U.S. Treasury of $284,546 and a $100,000 fine. The defendants had previously pled guilty on June 6, 2019, before the Honorable Salvador Mendoza Jr.
Hector and Tammy Garza and their companies, HTG Trucking and Freedom Fuel, were participants in a conspiracy involving Gen-X Energy Group Inc. (Gen-X), a renewable energy company formerly located in Pasco and Moses Lake, Washington. Between January 2013 and April 2013, Hector Garza and his co-conspirators falsely claimed the production of hundreds of thousands of marketable renewable energy credits, which they then sold for more than $296,000, and filed false claims with the IRS for $284,546 in excise credit refunds. Throughout this period, much of the renewable fuel claimed to be produced at the Gen-X facilities was either not produced or it was re-processed multiple times.
Hector Garza, HTG Trucking and Freedom Fuel pled guilty to conspiring to defraud the United States with respect to the false claims made to the IRS, through the use of the Garzas’ companies, which were used to “round” supposed renewable fuel by driving the same material back and forth between Gen-X’s Moses Lake facility and the Garzas’ businesses in Othello, Washington. This activity enabled the conspirators to generate fraudulent renewable energy credits and tax credits each time the material was “rounded.” Tammy Garza pled guilty to a separate offense of aiding and abetting the use of false statements in connection with the renewable energy credits that were claimed and sold as part of the scheme.
Several conspirators have previously pled guilty and been sentenced in connection with their role in the fraud. In June 2017, Scott Johnson, the former CEO of Gen-X, was sentenced to 97 months in prison in connection with his role in the fraud scheme. In December 2017, Donald Holmes, the former vice president of Gen-X, was sentenced to 78 months of imprisonment. In June 2018, Jin Chul “Jacob” Cha of Tustin, California, was sentenced to 51 months in prison in connection with his role in the fraud.
The case was prosecuted by Assistant U.S. Attorney Dan Fruchter of the Eastern District of Washington; EPA Regional Criminal Enforcement Counsel and Special Assistant U.S. Attorney Karla G. Perrin for the Eastern District of Washington and Senior Trial Attorney Jennifer Leigh Blackwell of the Environment and Natural Resources Division’s Environmental Crimes Section. The IRS-Criminal Investigation and the Environmental Protection Agency’s Criminal Investigation Division investigated the case.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Washington State Couple and Companies Sentenced for Fraud and False Statement in Connection with Renewable Energy Fraud SchemeRead the Press Release
WASHINGTON – A Richland, Washington couple and their companies, HTG Trucking LLC and Freedom Fuel Inc., were sentenced yesterday in federal court in Richland, Washington for fraud and false statement charges in connection with a renewable energy fraud scheme, announced Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division and U.S. Attorney for the Eastern District of Washington William D. Hyslop.
Hector Garza Jr., 49, was sentenced to two years in prison to be followed by a three-year term of supervised release. Tammy Garza, 38, was sentenced to four months in prison and one year of supervised release. All of the defendants were ordered to pay restitution to the U.S. Treasury of $284,546 and a $100,000 fine. HTG Trucking, LLC and Freedom Fuel, Inc. were sentenced to a three-year term of court supervision. The defendants had previously pled guilty on June 6, 2019, before the Honorable Salvador Mendoza Jr.
Hector and Tammy Garza and their companies, HTG Trucking and Freedom Fuel, were participants in a conspiracy involving Gen-X Energy Group Inc. (Gen-X), a renewable energy company formerly located in Pasco and Moses Lake, Washington. Between January 2013 and April 2013, Hector Garza and his co-conspirators falsely claimed the production of hundreds of thousands of marketable renewable energy credits, which they then sold for more than $296,000, and filed false claims with the IRS for $284,546 in excise credit refunds. Throughout this period, much of the renewable fuel claimed to be produced at the Gen-X facilities was either not produced or it was re-processed multiple times.
Hector Garza, HTG Trucking and Freedom Fuel pled guilty to conspiring to defraud the United States with respect to the false claims made to the IRS, through the use of the Garzas’ companies, which were used to “round” supposed renewable fuel by driving the same material back and forth between Gen-X’s Moses Lake facility and the Garzas’ businesses in Othello, Washington. This activity enabled the conspirators to generate fraudulent renewable energy credits and tax credits each time the material was “rounded.” Tammy Garza pled guilty to a separate offense of aiding and abetting the use of false statements in connection with the renewable energy credits that were claimed and sold as part of the scheme.
Defrauding a renewable energy program in order to steal taxpayer funds is simply unconscionable,” said Hyslop. “I especially want to commend the exceptional investigative work by the Environmental Protection Agency and the Internal Revenue Service in uncovering this complex scheme, and to thank them and the Department of Justice’s Environment and Natural Resources Division for their support and hard work throughout this investigation and prosecution. We will continue to work with our law enforcement partners to ensure that individuals and companies that steal taxpayer dollars are held to account.”
"Mr. and Mrs. Garza's actions to defraud the IRS and the EPA were dishonest and harmful to our community. They conspired with others to steal from honest taxpayers and exploit financial incentives aimed at safeguarding our environment," said IRS-Criminal Investigation Special Agent in Charge Justin Campbell. "IRS-Criminal Investigation will continue to prosecute those who defraud the U.S. for personal gain."
“We will not tolerate environmental fraud in the Renewable Fuels Program, or anywhere else.” said EPA Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “This case highlights EPA's resolve in working with partners, nationally, to hold bad actors accountable."
Several conspirators have previously pled guilty and been sentenced in connection with their role in the fraud. In June 2017, Scott Johnson, the former CEO of Gen-X, was sentenced to 97 months in prison in connection with his role in the fraud scheme. In December 2017, Donald Holmes, the former vice president of Gen-X, was sentenced to 78 months of imprisonment. In June 2018, Jin Chul “Jacob” Cha of Tustin, California, was sentenced to 51 months in prison in connection with his role in the fraud.
The case was prosecuted by Assistant U.S. Attorney Dan Fruchter of the Eastern District of Washington; EPA Regional Criminal Enforcement Counsel and Special Assistant U.S. Attorney Karla G. Perrin for the Eastern District of Washington and Senior Trial Attorney Jennifer Leigh Blackwell of the Environment and Natural Resources Division’s Environmental Crimes Section. The IRS-Criminal Investigation and the Environmental Protection Agency’s Criminal Investigation Division investigated the case.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Washington Woman and Nevada Man Sentenced to Federal Prison for Their Role in Insurance Fraud ConspiracyRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Teresa Ann Gonzalez, age 63, of Otis Orchards, Washington, and Michael Adam White, age 40, of Las Vegas, Nevada were sentenced for their respective participation in an insurance fraud scheme involving staged accidents. Chief United States District Judge Thomas O. Rice sentenced Gonzalez to a 10-month term of imprisonment and White to a 14-month term of imprisonment, to be followed by a 3-year term of court supervision after each is released from federal prison. Chief Judge Rice also ordered Gonzalez to pay restitution in the amount of $13,132 and forfeiture of $13,132, and White to pay restitution in the amount of $50,000 and forfeiture of $50,000. Gonzalez pled guilty in June 2019, to one count of mail and wire fraud conspiracy. White pled guilty in June 2019, to one count of mail and wire fraud conspiracy and four counts of mail fraud.
According to information disclosed during court proceedings, Gonzalez was involved in one staged automobile accident in Spokane, Washington that defrauded an insurance company out of $236,324. Gonzalez received approximately $13,132 of the fraud proceeds. White was involved in four staged accidents that defrauded insurance companies out of approximately $1,085,392. White received approximately $50,000 of the fraud proceeds.
United States Attorney Hyslop said, “Staging phony car accidents on our streets poses a significant danger to innocent citizens and results in higher insurance premiums. The United States Attorney’s Office for the Eastern District of Washington, along with our federal, state, local and tribal law enforcement partners, will continue to investigate and prosecute aggressively those individuals who may perpetrate such fraud. I commend the FBI, IRS Criminal Investigation and U.S. Marshals Service for their outstanding work investigating this case.”
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, U.S. Marshals Service and U.S. Attorney’s Office for the Eastern District of Washington Criminal Healthcare Fraud Investigator, with assistance from the National Insurance Crime Bureau. This case was prosecuted by George J.C. Jacobs, III, and Brian Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Washington Man Sentenced to 24 Months in Federal Prison for Assaulting His Girlfriend on the Colville Indian ReservationRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Louis Mark Clark, age 28, of Nespelem, Washington, and an enrolled member of the Confederated Tribes of the Colville Reservation, was sentenced after having pleaded guilty on September 30, 2019, to Crime on Indian Reservation - Assault Resulting in Serious Bodily Injury. United States District Judge Rosanna Malouf Peterson sentenced Clark to a 24-month term of imprisonment, to be followed by a three-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Clark traveled with his then girlfriend, an enrolled member of the Confederated Tribes of the Colville Reservation, to their shared home on the Colville Indian Reservation. There, Clark became upset with his girlfriend and began hitting her in the face with his fists and his knee several times. During the assault, which occurred in the presence of their minor children, Clark knocked out two of the victim’s front teeth. Clark’s girlfriend was able to get away and lock herself in a bathroom, where she called 911, reporting the assault to the authorities. Clark has prior convictions for assault.
United States Attorney Hyslop said, “The sentence imposed by the Court reflects the serious nature of domestic assault. The United States Attorney’s Office for the Eastern District of Washington works closely with federal, state, local and tribal law enforcement agencies to ensure that Native American Women and families are protected from violence such as this.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation and the Tribal Law Enforcement Department of the Confederated Tribes of the Colville Reservation Police. This case was prosecuted by Richard R. Barker, Assistant United States Attorney for the Eastern District of Washington.
Gang Member Sentenced to 108 Months in Federal Prison for Possession of Stolen FirearmsRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Michael Lorenzo Martinez Castoreno, age 35, of Moses Lake, Washington, was sentenced today after having pleaded guilty on July 15, 2019, to possession of stolen firearms. Senior United States District Judge Wm. Fremming Nielsen sentenced Castoreno to a 108-month term of imprisonment, to be followed by a 3-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, on June 5, 2018, Castoreno, a documented criminal street gang member, led police on a high speed chase, stopping only after he crashed into a law enforcement vehicle. Officers arrested Castoreno and found three stolen firearms in his vehicle.
United States Attorney Hyslop said, “The United States Attorney’s Office will prosecute aggressively individuals who unlawfully possess firearms. Such offenses are serious. I commend the Moses Lake Police Department, Grant County Sheriff’s Office, Adams County Sheriff’s Office, U.S. Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives for their commitment to this successful prosecution.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: the Moses Lake Police Department, Grant County Sheriff’s Office, Adams County Sheriff’s Office, U.S. Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. For more information about Project Guardian, please see [: https://www.justice.gov/ag/project-guardian-memo-2019/download].
This case was investigated by the Spokane Resident Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, Moses Lake Police Department, and the Sheriff’s Offices of Grant and Adams Counties. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Two More Defendants Sentenced to Federal Prison for Their Role in Staged Accident SchemeRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Brittany Jo Harris, age 34, of Newport, Washington, and Michele Lee Smith, age 49, of Spokane Valley, Washington were sentenced for their respective participation in an insurance fraud scheme involving staged automobile, boating and stair fall accidents. Chief United States District Judge Thomas O. Rice sentenced Harris to a 13-month term of imprisonment and Smith to a 10-month term of imprisonment, to be followed by a 3-year term of court supervision after each is released from federal prison. Chief Judge Rice also ordered Harris to pay restitution in the amount of $135,000 and forfeiture of $135,000, and Smith to pay restitution in the amount of $76,000 and forfeiture of $76,000. Harris pled guilty in April 2019, to one count of healthcare fraud conspiracy, one count of mail and wire fraud conspiracy and two counts of mail fraud. Smith pled guilty in May 2019, to guilty to one count of mail and wire fraud conspiracy and four counts of mail fraud.
According to information disclosed during court proceedings, Harris was involved in five staged accidents (two automobile, one boating, and two stair fall) that defrauded insurance companies out of $997,202. Harris received approximately $135,000 of the fraud proceeds. Smith was involved in two staged stair fall accidents and one staged automobile accident in a parking lot that defrauded insurance companies out of $472,650. Smith received approximately $76,000 of the fraud proceeds. Harris and Smith played “injured victims” in several phony accidents and received medical treatment for fictitious or intentionally inflicted injuries.
United States Attorney Hyslop said, “Insurance and health care fraud are serious crimes that affect society in the form of higher premiums. Harris and Smith’s fraudulent conduct also needlessly caused health care providers, emergency personnel and police officers to expend precious resources that otherwise could have been usd to assist true victims. The sentence imposed reflects the roles Harris and Smith played in the scheme. The United States Attorney’s Office for the Eastern District of Washington is dedicated to prosecuting aggressively those individuals who may engage in such conduct. I commend the FBI, IRS Criminal Investigation and U.S. Marshals Service for their outstanding work investigating this case.”
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, U.S. Marshals Service and U.S. Attorney’s Office for the Eastern District of Washington Criminal Healthcare Fraud Investigator, with assistance from the National Insurance Crime Bureau. This case was prosecuted by George J.C. Jacobs, III, and Brian Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Former Tribal Police Officer Sentenced to 20 Years in Federal Prison for Attempted Production of Child PornographyRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced Lorenzo Elias Mendez, age 39, a former Yakama Nation police officer, was sentenced after a jury found him guilty of attempted production of child pornography, on August 16, 2019. United States District Judge Salvador Mendoza, Jr. sentenced Mendez to a 20-year term of imprisonment, to be followed by a 20-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, from January to June 2018, Mendez surreptitiously videotaped a minor undressing via a hidden “spy camera.” The images taken from the camera were received via Wi-Fi signal on Mendez’s phone. Mendez then imported the images into other applications where they were edited and saved. Evidence of over 500 such surreptitiously taken images was presented by the United States at trial.
At sentencing Judge Mendoza noted Mendez, a tribal police officer at the time the crime was committed, abused the trust not only of his victim, but of the community as well in committing the crime. Judge Mendoza also noted he had reviewed all information provided by Mendez and at no point had he expressed any empathy toward the victim of his crime. Judge Mendoza told Mendez he hoped he had heard the victim when she told the Court Mendez’s crime would haunt her for the rest of her life.
United States Attorney Hyslop said, “Prosecuting those who would attempt to produce pornographic images of a vulnerable minor is a priority of the United States Attorney’s Office for the Eastern District of Washington. This Office, together with its federal, state, local and Tribal law enforcement partners, is dedicated to prosecuting aggressively these cases and seeking appropriate punishment for child pornography crimes.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This case was investigated by the Yakima Resident Office of the Federal Bureau of Investigation and the Moxee Police Department. This case was prosecuted by Alison L. Gregoire and Thomas J. Hanlon, Assistant United States Attorneys for the Eastern District of Washington.
Texas Health and Human Services Commission Agrees to Pay over $15 Million to Resolve False Claims Act Liability for Deficient Snap Quality ControlRead the Press Release
The Texas Health and Human Services Commission (THHSC) has agreed to pay the United States $15,294,360 to resolve allegations that it violated the False Claims Act in its administration of the Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today.
“SNAP is an important vehicle for helping needy families,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “This settlement is an example of the Department’s commitment to ensuring that taxpayer funds are spent appropriately so that the public can have confidence in the integrity of vital programs like SNAP.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that THHSC has resolved its liability and cooperated with our investigation,” said William D. Hyslop, United States Attorney for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
Until 2008, SNAP was known as the Food Stamp Program. Under SNAP, the U.S. Department of Agriculture (USDA) provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month, and provided more than $71 billion annually.
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions.
USDA reimburses states for a portion of their expenses in administering SNAP, including expenses for providing quality control. The USDA also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that THHSC, beginning in 2009, contracted with Julie Osnes Consulting, LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by THHSC, injected bias into THHSC’s quality control process, and resulted in THHSC submitting false quality control data and information to USDA for which it received performance bonuses for fiscal years 2010, 2013, and 2014 to which it was not entitled.
This is the fifth settlement in this matter, and the fourth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $32 million in connection with its investigation of deficient state SNAP quality control processes.
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent-in-Charge Bethanne M. Dinkins of the USDA Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the Government’s commitment to work across agency lines to protect the integrity of SNAP.”
The settlement was the result of a joint investigation conducted by the USDA Office of Inspector General, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP QC processes by the USDA-OIG. The investigation for the U.S. Attorney’s Office for the Eastern District of Washington was handled by Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
Texas Health and Human Services Commission Agrees to Pay over $15 Million to Resolve False Claims Act Liability for Deficient SNAP Quality ControlRead the Press Release
The Texas Health and Human Services Commission (THHSC) has agreed to pay the United States $15,294,360 to resolve allegations that it violated the False Claims Act in its administration of the Supplemental Nutrition Assistance Program (SNAP), the Department of Justice announced today.
“SNAP is an important program for helping families in need,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “This settlement is an example of the Department of Justice’s commitment to ensuring that taxpayer funds are spent appropriately so that the public can have confidence in the integrity of vital programs like SNAP.”
“Although it is appalling that these actions occurred within a state agency entrusted with assisting vulnerable and needy residents, I am heartened that THHSC has resolved its liability and cooperated with our investigation,” said United States Attorney William D. Hyslop for the Eastern District of Washington. “Together with our partners in the Justice Department’s Civil Division and the USDA, we will continue to investigate and hold accountable those who misuse and wrongfully obtain SNAP funding.”
“We appreciate the commitment and investigative assistance provided by our partners at the Department of Justice’s Civil Division and the U.S. Attorney’s Office throughout this multi-state investigation,” said Special Agent in Charge Bethanne M. Dinkins of the USDA Office of Inspector General (OIG). “We also wish to note the technical assistance provided by our colleagues in the Office of Audit at OIG. During the investigation, conducted by OIG’s Northeast Regional Office, we worked together to address the concerns of employees of multiple states and others who alleged that the integrity of the SNAP quality control process was weakened by third-party consultants. These concerned individuals reported that cases were not being treated in a consistent manner, and that certain advice from consultants resulted in identified errors being diminished rather than used to improve eligibility determinations. The settlements reached to date send a strong message regarding the Government’s commitment to work across agency lines to protect the integrity of SNAP.”
Until 2008, SNAP was known as the Food Stamp Program. Under SNAP, the U.S. Department of Agriculture (USDA) provides eligible low-income individuals and families with financial assistance to buy nutritious food. Since 2010, SNAP has served on average more than 45 million Americans per month, and provided more than $71 billion annually.
Although the federal government funds SNAP benefits, it relies on the states to determine whether applicants are eligible for benefits, to administer those benefits, and to perform quality control to ensure that eligibility decisions are accurate. USDA requires that the states’ quality control processes ensure that benefits are correctly awarded, are free from bias, and accurately report states’ error rates in making eligibility decisions.
USDA reimburses states for a portion of their expenses in administering SNAP, including expenses for providing quality control. The USDA also pays performance bonuses to states that report the lowest and the most improved error rates each year, and can impose monetary sanctions on states with high error rates that do not show improvement.
The settlement resolves allegations that THHSC, beginning in 2009, contracted with Julie Osnes Consulting LLC (Osnes Consulting) to provide advice and recommendations designed to lower its SNAP quality control error rate. The United States alleged that Osnes Consulting’s recommendations, as implemented by THHSC, injected bias into THHSC’s quality control process, and resulted in THHSC submitting false quality control data and information to USDA for which it received performance bonuses for fiscal years 2010, 2013, and 2014 to which it was not entitled.
This is the fifth settlement in this matter, and the fourth settlement with a state agency for manipulating its SNAP quality control findings. The United States has reached previous settlements with state agencies in Virginia, Wisconsin, and Alaska, as well as with Osnes Consulting and its owner, Julie Osnes. Including this settlement, the United States has now recovered over $32 million in connection with its investigation of deficient state SNAP quality control processes.
The settlement was the result of a joint investigation conducted by the USDA Office of Inspector General, the U.S. Attorney’s Office for the Eastern District of Washington, and the Department of Justice’s Civil Division, Commercial Litigation Branch. The investigation arose out of a nationwide audit of SNAP quality control procedures by the USDA-OIG. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.
Foreign National Sentenced to over 13 Months in Federal Prison for Illegally Re-Entering the United States Following Previous DeportationsRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that William Moreno-Moreno, age 24, a citizen of Mexico who had been residing in Grant County, Washington, was sentenced after having pleaded guilty on September 12, 2019, to being an alien illegally in the United States after previously being deported. Senior United States District Judge Wm Fremming Nielsen sentenced Moreno-Moreno to a 13-month and 1-day term of imprisonment, to be followed by a 1-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Moreno-Moreno had three prior removals from the United States. After unlawfully entering the United States a fourth time, Moreno-Moreno was convicted in Grant County of third degree rape of a child and possession of methamphetamine. At the completion of his state sentence, Moreno-Moreno was taken into federal custody.
United States Attorney Hyslop said, “The sentence imposed not only promotes the rule of law, but reflects the consequences for foreign nationals who return illegally to the United States after having been previously deported. Enforcing the immigration laws remains a priority in protecting our communities. The United States Attorney’s Office will continue to direct its resources to aggressively investigate and prosecute these cases.”
This case was investigated by the Spokane Resident Office of the Department of Homeland Security. This case was prosecuted by Timothy J. Ohms, an Assistant United States Attorney for the Eastern District of Washington.
Methamphetamine Trafficker Sentenced to over 11 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Daniel F. Humphrey, age 43, of Spokane, Washington was sentenced after having pleaded guilty on September 3, 2019, to distribution of 50 grams or more of methamphetamine. Chief United States District Judge Thomas O. Rice sentenced Humphrey to a 140-month (11.6 years) term of imprisonment, to be followed by a 5-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Humphrey sold over 200 grams of methamphetamine during a “controlled buy” conducted by members of the Federal Bureau of Investigation (FBI) Spokane Regional Safe Streets Task Force. Investigators also executed a warrant to search Humphrey’s residence and travel trailer, which resulted in the seizure and forfeiture of over $380,000 in U.S. currency.
United States Attorney Hyslop said, “The sentence imposed reflects the serious consequences drug traffickers face for trying to bring illicit drugs into our communities. The United States Attorney’s Office for the Eastern District of Washington and our federal, state, local and tribal law enforcement partners remain vigilant in protecting the community from drug traffickers.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation, Spokane Regional Safe Streets Task Force and Spokane Police Department. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Drug Trafficker Sentenced to over 7 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Robert Dvorak, age 29, of Spokane, Washington, was sentenced after having pleaded guilty on August 21, 2019, to conspiracy to distribute heroin and methamphetamine. United States District Judge Stanley A. Bastian sentenced Dvorak to a 90-month (7.5 years) term of imprisonment, to be followed by a 4-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, in April 2018, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents began investigating Dvorak for suspected drug trafficking. As part of the investigation, ATF executed a warrant to search Dvorak’s residence, seizing two pounds of heroin and twenty grams of methamphetamine.
United States Attorney Hyslop said, “Dvorak has been deservedly punished with prison time for distributing dangerous drugs in our community. The United States Attorney’s Office for the Eastern District of Washington and our law enforcement partners will continue to work vigorously to investigate and prosecute individuals who engage in such conduct.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case was investigated by the Spokane Resident Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Spokane for-Profit College and General Manager to Pay over $120,000 to Resolve False Claims Act Liability in Connection with G.I. BillRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Computer Solutions of Spokane, Inc., doing business as New Horizons Computer Learning Center (New Horizons Spokane), and its General Manager, Spirit Dorris, agreed to pay over $120,000 to resolve their liability in connection with alleged fraud against the Department of Veterans Affairs’ (VA) G.I. Bill program. New Horizons Spokane is a for-profit school located in Spokane Valley, Washington. It is one of over 60 franchises around the country doing business under the New Horizons name.
Under the G.I. Bill, veterans and service members of the United States Armed Forces and their families are eligible for tuition and fee assistance associated with higher education. Under the program, educational institutions such as New Horizons can request reimbursement from the VA for tuition and fee expenses incurred by qualifying veterans and service members and their eligible dependents, provided that the school meets certain eligibility requirements and complies with VA regulations designed to protect the G.I. Bill from overpayment and to ensure that its benefits go only to eligible institutions.
As part of the settlement agreement, New Horizons Spokane and Mr. Dorris admitted that they failed to comply with certain VA requirements, resulting in receiving payments from the VA to which they were not entitled. Specifically, New Horizons Spokane and Mr. Dorris admitted that New Horizons Spokane failed to comply with the “85/15 Rule,” which requires that no more than 85 percent of any course of study be filled with individuals funded by the G.I. Bill. The purpose of the 85/15 Rule is to ensure that the educational institution is offering legitimate courses of interest and value to the general public and not simply offering classes that solely take advantage of VA funding. As part of the settlement agreement, New Horizons Spokane and Mr. Dorris admitted that between 2015 and 2018, New Horizons sought and received reimbursement from the VA in violation of the 85/15 Rule.
Additionally, as part of the settlement agreement, New Horizons Spokane and Mr. Dorris admitted that between 2015 and 2018, New Horizons Spokane failed to comply with the “Last Payer Rule,” which requires that the amount of G.I. Bill reimbursement be reduced by the amount of any discounts, rebates, or other financial incentive provided to veterans. New Horizons Spokane and Mr. Dorris admitted that New Horizons failed to comply with the Last Payer Rule by failing to pass discounts and rebates on to the VA, resulting in overpayment to New Horizons Spokane.
New Horizons Spokane will pay $100,000 to resolve its liability, while General Manager Spirit Dorris will pay $20,950.
Also as part of the settlement agreement, New Horizons Spokane and Mr. Dorris admitted that New Horizons Spokane had received, and acted on, direction from its corporate parent and franchisor, New Horizons Computer Learning Center, Inc., which is headquartered in Conshohocken, Pennsylvania, regarding the 85/15 Rule and the Last Payer Rule.
United States Attorney Hyslop said, “The G.I. Bill is an essential and historic government program that expands opportunity and education to our men and women in uniform who have served and sacrificed on behalf of our Country. The False Claims Act serves as the government’s primary civil remedy to redress false claims for federal funds and property. This case is indicative of the United States Attorney’s Office for the Eastern District of Washington’s continuing commitment to rooting out alleged fraud involving government programs. We will continue to work with our law enforcement partners to ensure that G.I. Bill funds go only to eligible institutions and to hold accountable those who misuse this program.”
“This settlement demonstrates the VA Office of Inspector General’s unwavering commitment to protecting programs intended to assist veterans that have served this nation and rightfully earned their benefits,” said Special Agent in Charge James Wahleithner, VA Office of Inspector General, Criminal Investigations Division.
The investigation was conducted by the VA Office of Inspector General. This case was prosecuted by Dan Fruchter, Vanessa R. Waldref, and Tyler Tornabene, Assistant U.S. Attorneys for the Eastern District of Washington.
Norteno Gang Member Resentenced to 33 Years in Federal Prison for Soliciting Murder for Hire and Drug CrimesRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Gerardo Maderos Loreto, age 34, of Yakima, Washington, was resentenced following conviction after a three-day jury trial in May 2017, for one count of use of the mail to commit murder for hire, one count of use of a telephone to commit murder for hire, one count of conspiracy to possess methamphetamine with intent to distribute, and one count of attempt to possess methamphetamine with intent to distribute. United States District Judge Salvador Mendoza, Jr. resentenced Loreto to a 33-year term of imprisonment, to be followed by 3-years of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Loreto, a Norteno gang member, was serving a state prison sentence for violating a protective order prohibiting contact with his ex-girlfriend. In spite of the protective order and while incarcerated, Loreto mailed a letter attempting to hire another individual to murder his ex-girlfriend in exchange for a pound quantity of methamphetamine.
Loreto’s August 2017, thirty-year sentence was vacated on appeal. While awaiting resentencing, Loreto then unsuccessfully attempted to escape from jail.
United States Attorney Hyslop said, “Loreto callously put a price on another human’s life when he solicited another individual to kill his ex-girlfriend. Thanks to the excellent work of our law enforcement partners, Loreto is now serving a lengthy prison sentence.” This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
The investigation was conducted by the Federal Bureau of Investigation, the Yakima Police Department, Homeland Security Investigations, the Washington Department of Corrections, Yakima County Department of Corrections, and the Washington State Patrol Crime Lab. The case was prosecuted by Benjamin D. Seal, an Assistant United States Attorney for the Eastern District of Washington.
Former Chief Financial Officer Sentenced to 12 Months in Federal Prison for Tax EvasionRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that William Keith Jones, age 59, of Spokane, Washington, was sentenced today after having pleaded guilty on January 23, 2019, to four counts of income tax evasion. Senior United States District Judge Wm Fremming Nielsen sentenced Jones to a 12-month and one day term of imprisonment, to be followed by 3 years of court supervision after he is released from federal prison, and to pay $403,187 in restitution to the IRS and another victim of his conduct.
According to information disclosed during court proceedings, Jones abused his executive position at Fasteners Inc. and his specialized accounting knowledge to fraudulently divert company funds to pay for a variety of his personal expenses, including purchase of a Harley Davidson motorcycle, remodeling work at his residence and college tuition for his children. Jones misused the company’s internal accounting software to falsely code his payment of personal expenses with company funds in a manner that avoided detection by his employer and the IRS.
United States Attorney Hyslop said, “Corporate executives, such as Jones, have a duty to not abuse their position of trust. They cannot divert monies from the corporation for their personal use and benefit and cannot manipulate the corporation’s internal books to conceal their actions. The vast majority of Americans file honest tax returns and pay their fair share of taxes every year. Those who may intentionally conceal their income from the IRS and evade taxes will be prosecuted and risk imprisonment, as reflected by Jones’ sentence. I commend the outstanding work of the IRS Criminal Investigation and the FBI agents who investigated this case.”
“Mr. Jones spent years stealing from Fasteners Inc. by disguising his personal purchases as legitimate business expenses. His concealment efforts were acts taken to intentionally evade his personal income tax obligation,” said IRS-Criminal Investigation Special Agent in Charge Justin Campbell. “IRS-Criminal Investigation will continue to hold accountable executives who abuse their position of power and steal from the community and the U.S. tax system.”
This case was investigated by the Internal Revenue Service - Criminal Investigation and the Federal Bureau of Investigation. This case was prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.
Business Owner Found Guilty of Committing Fraud Regarding Human Clinical Research TrialsRead the Press Release
Richland –William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Sami Anwar, 42, of Richland, WA, was found guilty late Friday of Conspiracy to Commit Wire Fraud, Conspiracy to Commit Mail Fraud, and 45 additional charged crimes including Wire Fraud, Mail Fraud, Obtaining Controlled Substances Through Fraud, and Furnishing False Information to the Drug Enforcement Administration (DEA).
According to the Superseding Indictment on which Sami Anwar was found guilty of all counts, and the evidence presented during the three-week long trial, between 2013 and 2018 Sami Anwar headed a conspiracy to have his companies fraudulently pose as legitimate human clinical research trial sites and provided mountains of false clinical research trial data regarding drug safety and drug efficacy to dozens of drug companies and, through them, the Food and Drug Administration (FDA). The false clinical research data that Sami Anwar injected into the public health system included safety data on dozens of different drugs and medicines designed to treat a wide variety of diseases and conditions including, but not limited to, heart disease, diabetes, asthma, pediatric illnesses, adolescent smoking, cirrhosis, scabies, depression, and opioid addiction to name just a few, according the evidence presented at trial. The evidence at trial indicated that Sami Anwar and his companies received over $5.6 million dollars from the fraud.
According to court documents and the evidence presented at trial, Sami Anwar, who is not a licensed medical doctor, would pose as a doctor and forge the signatures of the doctors he employed. In addition, over a dozen former employees of Sami Anwar testified that he directly instructed them to assist him in committing the fraud including falsifying medical records and data to admit dozens of ineligible research subjects; falsifying research data including electrocardiograms and vital signs, obtaining blood specimens from Sami Anwar’s employees or stealing them from unwitting medical patients of his medical center, disposing of study medications by shooting them down the drain and then falsely recording them as having been properly injected as required, dangerously hoarding opioids intended to be dispensed to study subjects, and fabricating required subject diary entries.
According to the evidence presented at trial and the Superseding Indictment, Sami Anwar not only directed the fraud but engaged in threats, retaliation, and intimidation in order to hide his crimes from drug companies, the FDA, which regulates human clinical trials in the United States, and law enforcement. At trial numerous former employees of Sami Anwar testified that Anwar filed false police reports, made false allegations to the Washington State Department of Health, the FDA, threatened them at their homes, at their places of work, slashed their tires, and stalked them in order to prevent them from cooperating with the authorities.
United States Attorney Hyslop stated, “Every day, Americans rely on the data from clinical research trials to keep us safe from deadly diseases and dangerous side effects. Injecting fraudulent and corrupt data into the system is an egregious breach of the trust and faith we all place in those who perform these vitally important trials.” Hyslop continued, “Based on the evidence presented at trial, and the jury’s unanimous verdict, Mr. Anwar profited from his blatant disregard for patient safety by running his fraudulent enterprise through fear and intimidation. “We will continue to work with our law enforcement partners to ensure that those who continue to abuse this trust and undermine our health care system are brought to justice.”
Two of Sami Anwar’s companies, Zain Research LLC and Mid Columbia Research LLC, were also convicted of participating in the conspiracy.
After the jury delivered their unanimous verdict Senior Judge Edward F. Shea set sentencing for March 11, 2020 at 10:00 a.m. in Richland, WA. Sami Anwar will remain in custody pending sentencing. The maximum term of incarceration for each count of fraud is 20 years in federal prison.
This case was prosecuted by Assistant U.S. Attorneys Dan Fruchter and Tyler Tornabene. The case was investigated by DEA Diversion Investigators Craig Tom and Kevin Tripp. Subject matter expertise was provided by the Food and Drug Administration.
Female Inmate Who Committed Sexual Assault While in Custody on Drug Trafficking and Firearm Charges Sentenced to 20 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Maria Andrea Gonzalez, age 31, of Yakima, Washington, was sentenced following conviction after a jury trial in February 2019, of possession with intent to distribute methamphetamine and heroin, possession of a firearm in furtherance of a drug trafficking crime, and felon in possession of a firearm and ammunition, and after having pleaded guilty in July 2019, to attempted aggravated sexual assault of a female federal inmate. United States District Judge Stanley A. Bastian sentenced Gonzalez to a 20-year term of imprisonment, to be followed by 5 years of court supervision after she is released from federal prison.
According to information disclosed during court proceedings, Yakima Police Department (YPD) detectives arrested Gonzalez on an outstanding warrant. A search incident to arrest revealed that Gonzalez possessed 337 grams of methamphetamine, 135 grams of heroin, a loaded firearm and a large amount of U.S. currency. Gonzalez is a previously convicted felon and is prohibited from possessing firearms and ammunition. During a search incident to a second arrest a few months later by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Gonzalez possessed heroin, methamphetamine and U.S. currency.
While in custody, Gonzalez confronted another inmate at the Yakima County Jail, asking if she possessed drugs. When the inmate denied having any, Gonzalez and three other female inmates sexually assaulted the female inmate while searching for drugs. No drugs were found.
United States Attorney Hyslop said, “Sexual assaults will not be tolerated within any correctional facility in the Eastern District of Washington. This case also should leave no doubt about the United States Attorney’s Office for the Eastern District of Washington’s resolve to prosecute aggressively individuals who illegally possess firearms and distribute narcotics in our community. Federal, state and local law enforcement worked in close partnership investigating this case. Their strong working partnership is reflected by the successful prosecution.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, the Federal Bureau of Investigation, and the Yakima Police Department, with support from the U.S. Marshals Service, Yakima County Department of Corrections, Washington State Patrol, and U.S. Drug Enforcement Administration. This case was prosecuted by Ian L. Garriques, Thomas, J. Hanlon, and Richard C. Burson, Assistant United States Attorneys for the Eastern District of Washington.
Attorney General William P. Barr Launches National Strategy to Address Missing and Murdered Indigenous PersonsRead the Press Release
Spokane, Washington – William D. Hyslop, United States Attorney for the Eastern District of Washington, joined the Department of Justice in announcing the launch of a national strategy to address missing and murdered Native Americans. The Missing and Murdered Indigenous Persons (MMIP) Initiative places MMIP coordinators in 11 U.S. Attorney’s offices including the Eastern District of Washington who will develop protocols for a more coordinated law enforcement response to missing cases. The plan also calls for the deployment of the FBI’s most advanced response capabilities when needed, improved data collection and analysis, and training to support local response efforts.
“American Indian and Alaska Native people suffer from unacceptable and disproportionately high levels of violence, which can have lasting impacts on families and communities. Native American women face particularly high rates of violence, with at least half suffering sexual or intimate-partner violence in their lifetime. Too many of these families have experienced the loss of loved ones who went missing or were murdered,” said Attorney General William P. Barr. “This important initiative will further strengthen the federal, state, and tribal law enforcement response to these continuing problems.”
“The FBI recognizes the violence that tribal communities face and is fully committed to working with our federal, state, local, and tribal law enforcement partners to provide support to those impacted by these crimes,” said FBI Director Christopher Wray. “We are dedicated to delivering justice and to the FBI’s mission to protect all the people we serve. We reaffirm our focus on allocating resources to serve Native American needs.”
United States Attorney Hyslop said, “Ending the violence that disproportionately affects Native American communities is a top priority. The United States Attorney’s Office for the Eastern District of Washington is committed to working collaboratively with federal, state, local and tribal law enforcement to recover the Native American women who have gone missing, and to find justice for those who have been murdered.”
“The Western and Eastern Districts of Washington are joining together to make sure we advance this important mission in all 29 tribal communities in our state,” said U.S. Attorney Brian T. Moran. “The MMIP coordinator will work not only to improve data and information on murdered and missing indigenous people, but to make sure each tribe is connected with important law enforcement services to improve safety in our native communities.”
The strategy has three parts.
Establish MMIP coordinators: The Department of Justice is investing an initial $1.5 million to hire 11 MMIP coordinators in 11 states to serve with all U.S. Attorney’s offices in those states, and others who request assistance. The states are Alaska, Arizona, Montana, Oklahoma, Michigan, Utah, Nevada, Minnesota, Oregon, New Mexico, and Washington state. MMIP coordinators will work closely with federal, tribal, state and local agencies to develop common protocols and procedure for responding to reports of missing or murdered indigenous people. The first MMIP coordinator is already on board in Montana.
Specialized FBI Rapid Deployment Teams: The strategy will bring needed tools and resources to law enforcement. Upon request by a tribal, state, or local law enforcement agency the FBI will provide expert assistance based upon the circumstances of a missing indigenous persons case. FBI resources and personnel which may be activated to assist with cases include: Child Abduction Rapid Deployment (CARD) teams, Cellular Analysis Support Teams, Evidence Response Teams, Cyber Agents for timely analysis of digital evidence/social media, Victim Services Division Response Teams, and others. MMIP coordinators will assist in developing protocols.
Comprehensive Data Analysis: The department will perform in-depth analysis of federally supported databases and analyze data collection practices to identify opportunities to improve missing persons data and share the results of this analysis with our partners in this effort.
More broadly, the MMIP Initiative will involve a coordinated effort by more than 50 U.S. Attorneys on the Attorney General’s Native American Issues Subcommittee (NAIS), the FBI, and the Office of Tribal Justice, with support from the Office of Justice Programs (OJP) and the Office on Violence Against Women (OVW).
Today’s announcement follows the August NAIS meeting in New Mexico and OVW listening session in Michigan, where Missing and Murdered Indigenous Persons and violence against women in Indian country were prevalent topics of discussion by U.S. Attorneys, OVW officials, and tribal representatives.