Eastern District of Washington
Press releases recorded for this federal judicial district.
Washington Man Sentenced to 168 Months’ Imprisonment for Crime Spree Involving Multiple Shootings and a Robbery in Eastern WashingtonRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Dylen Joseph Swan, age 22 of Inchelium, Washington, has been sentenced for Assault with a Dangerous Weapon in Indian Country and Robbery Affecting Commerce. United States District Court Judge Thomas O. Rice imposed a sentence of 168 months in federal custody to be followed by three years of supervised release. Swan also was ordered to pay $21,515.75 in restitution. In imposing the sentence, Judge Rice noted the seriousness of Swan’s crimes.
According to court documents and information disclosed during the sentencing hearing, Swan orchestrated a three-day crime spree involving a car chase, at least two shootings, and an armed robbery in August 2021. Swan saw his first victim (hereafter Victim 1) outside the Twelve Tribes Casino in Omak, Washington during the early morning hours of August 19, 2021. Swan then drove up to Victim 1, called him over to his vehicle, yelled profanity at him, and shot Victim 1 in the stomach. A passenger inside the car and eyewitnesses reported that Swan shot Victim 1 with a red pistol. Victim 1 was rushed to the hospital, where he needed two full bags of blood transfusions to survive, as well as multiple hours of surgery to repair his shredded intestines and bladder. Doctors were unable to remove the bullet from Victim 1’s stomach, and Victim 1 lives with these injuries to this day.
This was just the beginning of Swan’s criminal activities. The passenger inside Swan’s car (hereafter Victim 2) stated that Swan threatened her at gunpoint, directing Victim 2 to stay with him after the shooting. Specifically, Swan pointed the gun at Victim 2 and demanded that she “go with him or else.” The very next day, Swan drove Victim 2 to the Rosauers Supermarket in downtown Spokane. Swan went inside and grabbed multiple items from the store, including toilet paper and a box of Cinnamon Toast Crunch cereal. When the store manager attempted to confront him, Swan removed the same red pistol he used to shoot Victim 1. Swan then pointed the red pistol at the manager’s head. Fearing for their safety, the manager let Swan leave, all while Swan continued to point the firearm at the manager. After the robbery, Defendant went to a Walmart, bought red spray paint, and spray painted the car he used during his crimes, all in an effort to disguise the car from law enforcement.
The next day, Swan’s crime spree finally came to an end, but not before Swan harmed yet another victim. On August 21, 2021, Swan went to a McDonalds, located near 1625 West 4th Avenue in downtown Spokane. There, Swan pointed the same red pistol at yet another victim (Victim 3). Swan demanded money, and when Victim 3 victim reached for an airsoft gun to try to protect himself, Swan shot Victim 3 in the arm.
When Spokane Police responded to the scene of the shooting, officers spotted Swan’s car speeding away. During the ensuing chase, Swan and other people with him swerved dangerously and raced through controlled intersections, cutting off other cars. During the pursuit, the red pistol Swan used to shoot Victims 1 and 3 was thrown from the car. The red gun, however, was later recovered by Spokane Police. Ultimately, the pursuit ended when Swan’s vehicle crashed into another car next to a Spokane residence.
Swan ultimately was prosecuted in Spokane County Superior Court for the shooting of Victim 3 outside McDonalds. The remaining charges were prosecuted in federal court.
“I’m grateful for our incredible law enforcement team, who devote their lives to protecting our community,” said United States Attorney Vanessa R. Waldref, the chief federal law enforcement officer for the Eastern District of Washington. U.S. Attorney Waldref further stated, “Today’s sentence demonstrates the seriousness of Mr. Swan’s actions and dangerousness he presented on the Colville Indian Reservation as well as in downtown Spokane. He shot two people and robbed a grocery store at gunpoint. Mr. Swan’s dangerous crime spree lasted three days, and the victims will live with the serious physical and emotional toll of these crimes for the rest of their lives.”
The Chairman of the Confederated Tribes of the Colville Reservation, Jarred-Michael Erickson, said, “It is of utmost importance to the Colville Tribes to keep our community safe and secure. Perpetrators who commit heinous acts of violence such as this must be held accountable to the fullest extent of the law. We are proud that our own Colville Tribal Police assisted with this arrest and conviction, led by Colville Police Chief Steve Brown and Detectives Jordan McNulty and David LaBounty, and we greatly appreciate the efforts of our partners in the United States Attorney’s Office for the Eastern District of Washington, the FBI, and the Spokane Police department. We especially commend the work of the prosecutor in the case, Richard Barker, First Assistant U.S. Attorney in the Eastern District of Washington.”
“Over three days, Mr. Swan shot at least two people, resulting in serious injuries, stole items while holding a store manager at gunpoint, damaged a vehicle, and fled law enforcement, endangering multiple drivers,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “As illustrated by his crime spree, Mr. Swan was a danger to the community. I’m grateful for the multiple law enforcement agencies who conducted this comprehensive investigation resulting in today’s sentencing. The result will be a safer community.”
“As we see an increase in violent crimes across our State and City, the Spokane Police Department is grateful for the relationship we have with the U.S. Attorney’s Office,” stated Spokane Police Chief Craig Meidl. “Their efforts helped our community hold a violent offender accountable for his actions. The collaboration between the U.S. Attorney’s Office and the Spokane Police Department strengthens our ability to create the safe and healthy community we all want to live in.”
This case was investigated by the Colville Tribal Police Department, Federal Bureau of Investigation and the Spokane Police Department. The case was prosecuted by Richard R. Barker, the First Assistant U.S. Attorney for the Eastern District of Washington.
2:21-CR-00124-TOR
Second Defendant Sentenced to 18 Months in Prison for Role in Conspiracy to Make a Destructive DeviceRead the Press Release
Richland, Washington – August 31, 2023, United States District Judge Mary K. Dimke sentenced Connor Goodman to 18 months in the custody of the United States Bureau of Prisons, to be followed by a three-year term of court supervision after he is released from federal prison. Goodman was sentenced today after having plead guilty on March 16, 2023, to Conspiracy to Make an Unregistered Destructive Device. In fashioning an appropriate sentence, District Judge Dimke considered the seriousness and dangerousness of Goodman and his co-defendant’s, Daniel Anderson, actions.
Goodman’s plea and sentence stemmed from a several months long investigation into a group of individuals that advocated for the use of violence against perceived government overreach. During the investigation, co-defendant Anderson solicited explosive material from members of the group. In response, Goodman purchased fireworks which were provided to Anderson for the construction of an explosive device. Subsequently, in December 2021, the FBI and other law enforcement agencies executed search warrants at Anderson and Goodman’s residences. Following the search warrant execution at Anderson’s residence, special agents located a small fully constructed destructive device. Also located at Goodman’s residence were multiple firearms, including a sawed-off shotgun.
On March 23, 2023, Anderson plead guilty to Conspiracy to Make an Unregistered Destructive Device. On August 17, 2023, Anderson was sentenced to 12 months and 1 day in prison, followed by three years of court supervision.
“As the U.S. Attorney, I will not tolerate any efforts to threaten or target public servants dedicated to protecting and supporting our community. Mr. Goodman bought materials for the explicit purpose of constructing an explosive device that presented a very real danger. I commend the FBI and their law enforcement partners, who identified this conspiracy and who serve diligently to keep our country and communities safe and strong.”
“Mr. Goodman and his co-conspirator took active steps to further their ideology through violence” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “Fortunately, our Joint Terrorism Task Force was able to disrupt their activities before they could injure or kill anyone with their destructive device. I thank the investigators and partners who work tirelessly on the JTTF, the Eastern District of Washington US Attorney’s Office, and urge the public to remain vigilant for those who would use violence to advance an agenda.”
The case was investigated by the FBI’s Seattle Field Office, Inland Northwest Joint Terrorism Task Force (“INJTTF”). This case was prosecuted by Patrick J. Cashman, Assistant United States Attorney for the Eastern District of Washington.
4:22-CR-06001-MKD-2
Kennewick Man Sentenced to over 9 Years in Federal Prison for Trafficking 21,000 Fentanyl Laced PillsRead the Press Release
Richland, Washington – On August 29, 2023, Chief United States District Judge Stanley A. Bastian sentenced Michael Lee Vantiger, age 43, to 115 months in in federal prison after his guilty plea to possession with intent to distribute 400 grams or more of fentanyl. Vantiger, who is from Kennewick, WA, also will serve 5 years of federal supervision after he is released from custody.
According to information disclosed during court proceedings, Vantiger had been under investigation on multiple occasions, by both the Tri-City Metro Drug Task Force and the Drug Enforcement Administration’s (“DEA”) Resident Office. In February 2020, Vantiger was arrested after a traffic stop where he was attempting to transport approximately 21,000 fentanyl laced pills which were concealed in the trunk of a rental vehicle. At the time, this was one of the largest single seizures of deadly fentanyl laced pills in this district. The items seized are pictured below:
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “Fentanyl is the deadliest drug threat facing this country. Egregious consequences stem from this dangerous poison. The Eastern District of Washington is safer and stronger today as a result of the incredible work of several law enforcement agencies, who came together to seize these drugs and save lives in our community.”
“This case illustrates how determined DEA and our federal, state, and local partners are in stopping those that pedal poisonous fentanyl into our communities. Mr. Vantiger was on our radar a few times, so it is satisfying to apprehend and incarcerate those who act in continual disdain for our communities’ safety and well-being,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division.
This case was investigated by the DEA Tri-Cities Resident Office, the Tri-City Metro Drug Task Force, United States Border Patrol, Richland Police Department, Kennewick Police Department, Pasco Police Department, West Richland Police Department, and the Benton County Sherriff’s Office. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
4:20-CR-06010-SAB
Kennewick Business Owner Agrees to Pay $107,534 to Resolve False Claims Act Liability in Connection with COVID Relief FraudRead the Press Release
Richland, WA – A Kennewick business owner has agreed to pay $107,534 to resolve False Claims Act claims that he misused COVID-19 relief funding to purchase a personal recreational vehicle, announced Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington. This civil settlement is the most recent result announced by the Eastern Washington COVID-19 Fraud Strike Force launched by the U.S. Attorney’s Office last year.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided forgivable loans to eligible small businesses to retain jobs and maintain payroll during the pandemic. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low-interest bridge funding to support businesses endangered by the pandemic.
Since being launched in March 2022, the Eastern Washington COVID Strike Force has charged approximately 20 individuals, obtained ten criminal felony fraud convictions, and recovered millions of dollars in misspent funds, fines, and penalties.
“COVID-19 relief programs quickly ran out of money due to the number of businesses that requested funding, meaning that struggling, deserving small businesses were not able to obtain critically needed funding to keep their businesses afloat during the shutdowns and disruptions caused by the COVID pandemic,” said U.S. Attorney Waldref. “We created the Eastern Washington COVID-19 Fraud Strike Force because it is critical to the strength and safety of our communities that we all work together to combat pandemic-related fraud and bring much-needed accountability to these programs. The Strike Force works to ensure that limited resources are used to protect our local small businesses and the critical jobs and services that they provide for the community.”
In the settlement announced today, Benjamin D. Castilla, the owner of Columbia Basin Netwerks, a Kennewick-based IT services business, admitted that he received PPP and EIDL funding for his business. Castilla admitted that, while he used some of the funding he received for legitimate business purposes, he also used $107,534 to purchase a recreational vehicle (RV) for his personal use. In addition to paying $107,534, Castilla agreed through the settlement to timely repay all of the CARES Act loan funding that he received.
“I’d like to recognize the stellar investigative work done by the Small Business Administration, Office of Inspector General, on this case,” continued U.S. Attorney Waldref. “We will continue to work closely with the Strike Force and with our law enforcement partners to protect our communities and bring accountability for those who take advantage of vital public programs.”
“Those who misuse SBA pandemic funds for personal gain will be held accountable,” said Special Agent in Charge Weston King of SBA’s OIG Western Region. “I want to thank the U.S. Attorney’s Office and our law enforcement partners for their support and dedication to pursuing justice in this case.”
The cases were investigated by the Eastern Washington COVID Fraud Strike Force, and in particular by the Small Business Administration OIG, Western Region. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene prosecuted this case on behalf of the United States.
Repeat Offender Sentenced to 10 Years in Federal PrisonRead the Press Release
Richland, Washington – On August 24, 2023, United States District Judge Mary K. Dimke sentenced Zachary Robert Cordova, age 30, to 10 years in in federal prison after his guilty plea to possession with intent to distribute 50 grams or more of pure methamphetamine. Cordova, who is from Richland, WA, also will serve 5 years of federal supervision after he is released from custody.
According to information disclosed during court proceedings, in January 2022, an investigation was initiated into Cordova, a subject already under court supervision for prior drug distribution, as he was now reportedly engaged in the distribution of deadly fentanyl-laced pills and methamphetamine in the Eastern District of Washington, specifically in the Tri-Cities, Washington area.
In March of 2022, officers attempted to stop and arrest Defendant based upon the drug investigation and active arrest warrants. Cordova did not stop, and instead fled the scene at a high rate of speed, which placed the community at risk. Officers were not permitted to pursue him but were able to locate Cordova at an unrelated residence a short time later where he again attempted to flee. Cordova was apprehended, and law enforcement seized thousands of fentanyl-laced pills, methamphetamine, and several loaded firearms.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “This significant sentence demonstrates the breadth and seriousness of Mr. Cordova’s increasing drug trafficking activities. I’m grateful for our incredible law enforcement team, who devote their lives to protecting our community. I commend our METRO Drug Task Force whose work combatting organized crime and removing illegal drugs and stolen firearms keeps our neighborhoods safe and strengthens our communities.”
“This case demonstrates how DEA as well as our federal, state, and local partners are working together to hold accountable those who distribute poisonous fentanyl into our communities,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division.This case was investigated by the DEA Tri-Cities, the METRO Drug Task Force, United States Border Patrol, Richland Police Department, Kennewick Police Department, Pasco Police Department, and West Richland Police Department. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
4:22-CR-06020-MKD
Lincare Holdings Agrees to Pay $29 Million to Resolve Claims of Overbilling Medicare for Oxygen Equipment in Largest-Ever Health Care Fraud Settlement in Eastern WashingtonRead the Press Release
Spokane, WA – Lincare Holdings, Inc., a Florida-based, wholly-owned subsidiary of German multinational chemical corporation Linde plc, has agreed to pay $29 million and perform extensive corrective actions to resolve allegations that it fraudulently overbilled Medicare and Medicare Advantage Plans for oxygen equipment, announced Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington. The settlement announced today is the largest-ever health care fraud settlement in the Eastern District of Washington.
Lincare provides oxygen equipment to patients with respiratory ailments such as Chronic Obstructive Pulmonary Disease (COPD), including leasing oxygen tanks and home and portable oxygen concentrators to assist patients to breathe while in the home or traveling. Between 2012 and 2023, traditional Medicare (also known as Medicare Part B) reimbursed providers such as Lincare for the lease payments on oxygen equipment, but after three years of monthly lease payments, providers such as Lincare were required to continue to provide the oxygen equipment to the patient, but were not eligible for additional rental payments because Medicare had already reimbursed the provider for the full purchase price of the equipment. Under Medicare Advantage, also known as Medicare Part C, Medicare Beneficiaries may elect to receive their Medicare benefits through a private insurance plan offered by an insurance company, known as a Medicare Advantage Plan or an “MA Plan.” MA Plans are required to provide the same coverage and benefits as traditional Medicare, but they may set their own rules for reimbursement and beneficiary co-pays. Between 2016 and 2023, many Medicare Advantage Plans adopted the same requirement that limited providers like Lincare to three years of rental payments for oxygen equipment. After 3 years of payments, Lincare and other providers were required to continue to provide the equipment for the remainder of its useful life, but were not permitted to charge rental payments to MA Plans, or charge any co-payments to beneficiaries.
In the settlement announced today, Lincare admitted that it improperly billed Medicare, MA Plans, and beneficiaries for oxygen equipment rental payments and co-payments after it had already received 3 years of payments. Lincare admitted that it lacked adequate controls to ensure that MA Plans and beneficiaries were not improperly billed after 3 years of rental payments had already been received. Lincare additionally admitted that for traditional Medicare recipients, it had controls in place to prevent improper billing, but that those controls were not always effective. Finally, Lincare admitted that when Lincare employees raised concerns about Lincare’s billing practices, Lincare officials in its Regional Billing and Collections Office located in Spokane Valley, Washington, and at Lincare’s corporate headquarters in Clearwater, Florida, instructed them that Lincare would continue its billing practices. The settlement announced today resolved claims that Lincare’s conduct violated the False Claims Act.
“One of the most important responsibilities we have is protecting vulnerable members of our community such as the elderly,” said U.S. Attorney Waldref. “Elderly members of our community are among the most likely to be targeted by fraud, false billing scams, and abuse. This is one reason that the U.S. Attorney’s Office, the Department of Justice, and our law enforcement partners, have made combatting elder fraud and abuse a top priority. I am appalled by Lincare’s admitted past practice of putting profits before its obligations to patients and to the Medicare program, and in particular by Lincare’s admitted improper practice of wrongfully collecting co-pays from elderly beneficiaries on fixed incomes and with limited means. That said, I am heartened that, following our investigation, Lincare stepped up, accepted responsibility, and committed to make things right, not only by refunding overpayments received by Medicare, but by identifying and repaying any beneficiaries from which it improperly collected co-payments. I am also encouraged that Lincare has, as part of our settlement, entered into a five-year corporate integrity agreement to take significant corrective actions to ensure this conduct does not recur. As part of those corrective actions, Lincare has agreed to pay for and undertake an independent review of its claims and billing practices. Lincare has also designed and implemented new billing software and other reforms to ensure that Lincare bills appropriately going forward.”
“By billing Medicare Advantage Plans and their beneficiaries beyond the allowed three years, Lincare threatened the integrity of taxpayer-funded health care programs and prevented valuable resources from reaching their intended recipients,” said Steven J. Ryan, Special Agent in Charge at the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “We are hopeful that with the implementation of a Corporate Integrity Agreement, Lincare will invest in controls to ensure that all plans are billed appropriately. HHS-OIG is committed to protecting federal health care programs from fraudulent and wasteful practices at the hands of providers.”
As part of the settlement, Lincare entered into a 5-year Corporate Integrity Agreement with the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). That Agreement requires, among other things, that Lincare implement a robust compliance and reporting program as well as a number of significant billing reforms and practices. Additionally, the Agreement requires that Lincare retain, at its expense, independent experts to review its claims and billing practices to ensure they are appropriate.
Assistant United States Attorney Dan Fruchter stated that “I want to express special appreciation for the exceptional investigative and analytical work performed by HHS-OIG in this case. This was a complex case with novel issues, and this result would not have been possible without the hard work, investigative skill, and subject matter expertise of our partners with HHS-OIG. I also want to recognize the two whistleblowers who came forward and provided vital information, making this result possible. We will continue to work hand-in-glove with courageous whistleblowers, as well as HHS-OIG and our other law enforcement partners, to protect patients and the community from fraud and abuse that targets the elderly.”
According to court documents, the case began in May 2021, when two whistleblowers, former employees in Lincare’s center in Libby, Montana, filed a qui tam complaint under seal in the U.S. District Court for the Eastern District of Washington. When a whistleblower, or “relator,” files a qui tam complaint, the False Claims Act requires the United States to investigate the allegations and elect whether to intervene and take over the action or to decline to intervene and allow the relator to go forward with the litigation on behalf of the United States. The relator is generally able to then share in any recovery. In this case, according to court documents, the United States intervened in the action in July 2023, and subsequently reached this settlement. Pursuant to the settlement agreement, the relator will receive $5,655,000 of the total settlement amount.
The settlement was the result of a joint investigation conducted by the U.S. Attorney’s Office for the Eastern District of Washington and the U.S. Department of Health and Human Services, Office of Inspector General, Seattle Field Office. Assistant United States Attorneys Dan Fruchter, Tyler H.L. Tornabene, and Frieda K. Zimmerman of the Eastern District of Washington handled this matter on behalf of the United States.
Case No: 2:21-cv-151-TOR (E.D. Wash.)
5._lincare_final_fully_executed_settlement_agreement.pdf 6._fully_executed_final_lincare_cia.pdfMexican National Sentenced to 136 Months for Drug Trafficking in the Tri CitiesRead the Press Release
Richland, Washington – On August 23, 2023, Chief United States District Judge Stanley A. Bastian sentenced Amado De La Mora Cardenas, age 35, to over 11 years in in federal prison after his guilty plea to possession with intent to distribute 50 grams or more of pure methamphetamine. De La Mora Cardenas, who is from Colima, Mexico, also will serve 5 years of federal supervision after he is released from custody.
According to information disclosed during court proceedings, in April 2020, an investigation was initiated into an organization suspected to be involved in trafficking methamphetamine into the Eastern District of Washington, specifically in the Tri-Cities, Washington, and Connell, Washington, areas. Multiple subjects were identified within the organization to include Carlos Madrigal-Deniz; Amado De La Mora Cardenas, Rafael Muniz De la Mora; and Pascual Masqueda-Salinas, and others.
In September 2020, De La Mora Cardenas and Co-Defendant Madrigal-Deniz made arrangements for a ten-pound delivery of methamphetamine from Muniz-De La Mora, who brought a four-year-old child to the transaction. The child was wearing a Spider-Man backpack containing approximately 10 pounds of methamphetamine. Co-Defendant Muniz-De La Mora escorted the young child, who is seen wearing the backpack, from one vehicle to another. Co-Defendant Muniz-De La Mora, the child, and De La Mora Cardenas then entered into the second vehicle – a Chevy Cruze. Shortly thereafter, DEA Tri-Cities stopped the Chevy Cruze and recovered the backpack, which was inside the car, next to the child. Inside the Spider-Man Backpack, the DEA recovered 10 pounds of methamphetamine supplied by De La Mora Cardenas and Co-Defendant Muniz-De La Mora. Below are still shots from surveillance video of the transaction. Muniz-De La Mora Cardenas appears in the blue hoodie.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “Drug distribution continues to harm the Tri-Cities and elsewhere. It is particularly troubling that Mr. De La Mora Cardenas participated in a drug transaction where a four-year old child was used to conceal distribution activities” U.S. Attorney Waldref continued: “I commend the collaborative efforts of state, local, and federal law enforcement to identify Mr. De La Mora Cardenas’s drug trafficking activities and to prevent him from further distributing this poison in our community.”
“This incident is another sad example of the depths drug traffickers will go to exploit others, even children, to continue their drug trafficking. The case illustrates to the community the steadfast resolve of DEA and our federal, state, local partners in the Tri-Cities in bringing wrongdoers to justice,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division.
Brigit Clary, Richland Police Department’s Chief of Police, stated “The drug trade does not recognize jurisdictional boundaries when insidiously introducing the most vulnerable of our population to life altering substances; even using children to accomplish their destruction. Law enforcement in the Tri-Cities, together with the US Attorney’s Office, remains committed to working together across local and federal lines to partner in aggressively combatting drug crimes, and keeping our communities safer.”
Chris Guerrero, Kennewick Police Department’s Chief of Police, stated “This impactful sentence is yet another great example of the public safety partnerships that are in operation every single day to keep the Tri-Cities area safe. We appreciate the commitment from our Tri-Cities Metro Drug Task Force, the DEA, US Border Patrol, and the US Attorney’s Office in holding those who are providing illegal narcotics to our communities accountable.”
This case was investigated by the DEA Tri-Cities, the METRO Drug Task Force, United States Border Patrol, Richland Police Department, Kennewick Police Department, Pasco Police Department, and West Richland Police Department. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
4:20-CR-06028-SAB
United States Obtains $607,284 Crop Insurance False Claims Act Judgment Against Klickitat County Farm OwnerRead the Press Release
Yakima, WA – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that the United States had successfully obtained a $607,284 fraud judgment against Rick T. Gray (Gray) and Gray Farms & Cattle Co. LLC (Gray Farms) for submitting false and fraudulent claims for crop insurance for farm businesses owned by Gray in Klickitat County, Washington. The Court determined that Gray and Gray Farms were liable under the False Claims Act for defrauding the federal crop insurance program, and imposed the maximum damages and penalties sought by the United States.
The federal crop insurance program, run by the United States Department of Agriculture (USDA), provides a mechanism through which participating farm owners may obtain monetary subsidies and financial protection against losses to their crops. If a participating farm owner experiences loss due to weather or other factors, the farm owner may submit a claim for indemnity from those losses. Crucial to participation in the program is that the farm owner must disclose all sales of product during a given crop year. In 2015, Gray submitted claims for loss on behalf of his farm businesses and received hundreds of thousands of dollars in indemnity payments.
In September 2021, the United States filed a Complaint pursuant to the False Claims Act, a federal statute that protects the public from fraud against federal programs, alleging that Gray had submitted false crop insurance claims during 2015 by knowingly failing to disclose tens of thousands of bushels of wheat that Gray sold during that crop year, and affirmatively misrepresenting his wheat production and sales for the year. In a judicial order dated August 21, 2023, United States District Judge Thomas O. Rice granted summary judgment on behalf of the United States with respect to the United States’ False Claims Act claims, finding that the undisputed evidence demonstrated that Gray knowingly submitted false claims and made false statements material to payment by knowingly failing to disclose and misrepresenting more than 35,000 bushels of wheat that he sold during crop year 2015, leading to Gray fraudulently receiving $180,428 in indemnity payments to which he was not entitled.
The False Claims Act calls for treble (triple) damages as well as additional penalties for each false claim submitted. Therefore, in addition to finding both Gray and Gray Farms liable, the Court imposed total judgment of $607,284 in treble damages and the maximum possible penalties.
“The Federal Crop Insurance program was created in the wake of staggering losses, poverty, and famine caused by the Dust Bowl,” said United States Attorney Waldref. “It not only protects our farmers and farm workers, but protects our community’s food supply, and helps to keep food affordable. Attempting to cheat the system by claiming losses for crops that in fact were not lost but that the farm owner successfully sold, is simply unconscionable. I’m so grateful for the exceptional investigative and analytical expert work performed by the USDA’s Office of Inspector General and the USDA’s Risk Management Agency, which uncovered this fraud during a thorough investigation, and then continued to support the public’s interest during protracted litigation. This case demonstrates that we will work tirelessly and aggressively with our law enforcement partners to pursue fraud against vital programs and to keep our communities safe and strong.”
USDA Risk Management Agency Administrator Marcia Bunger said, “We will continue to uphold the public’s trust in the crop insurance program by working closely with the Office of Inspector General, the Department of Justice and other government agencies to ensure the successful investigation and prosecution of cases involving crop insurance fraud, waste and abuse. The court’s determination in this case should serve as a strong deterrent to others who may contemplate similar actions.”
The investigation was handled by the USDA Office of Inspector General and the USDA Risk Management Agency, Special Investigations Group, while the civil enforcement action was prosecuted by Assistant United States Attorneys Tyler H.L. Tornabene and Dan Fruchter, and also by former Special Assistant United States Attorney Allie Jensen.
1:21-CV-03126-TOR
Sunnyside Man Sentenced to Ten Years Imprisonment for Selling Drugs Within the Boundaries of the Yakama NationRead the Press Release
Yakima, Washington – On August 22, 2023, United States District Judge Mary K. Dimke sentenced Jesse Robledo, 36, of Sunnyside, Washington, to 10 years in federal prison after his guilty plea to Distribution of Fifty Grams or More of Actual Methamphetamine. Robledo will also begin five years of court supervision after he is released from custody.
According to information disclosed during court proceedings – between May 7, 2021, and July 14, 2021 – on three separate occasions, Robledo, who is not a Native American, entered the Yakama Nation and sold methamphetamine to a confidential informant within the boundaries of the Yakama Nation. At the time of this offense, Robledo already had a lengthy criminal history. He previously had been convicted of bail jumping, residential burglary, first degree identity theft, first degree theft, forgery, second degree unlawful possession of a firearm, and felon in possession of a firearm and ammunition.
United States Attorney Vanessa R. Waldref, the chief federal law enforcement officer for the Eastern District of Washington, commended the efforts of the FBI Task Force in targeting individuals selling drugs within the boundaries of the Yakama Nation. “The United States Attorney’s Office will aggressively prosecute individuals who are selling drugs within the boundaries of the Yakama Nation. When dangerous narcotics enter our communities, we see an increase in violent crime. Holding individuals accountable who are dealing drugs and removing these narcotics from our streets will make all of our neighborhoods and communities safer and stronger.”
United States Attorney Waldref previously had announced in May 2022 that the FBI increased resources to further address violent crime in Yakima County, within the boundaries of the Yakama Nation. The purpose of this FBI Task Force is to disrupt gang activity, weapons trafficking, narcotics distribution, and to eradicate violent crime in Eastern Washington.
Following the sentencing, Yakima County Sheriff Robert Udell stated, “The FBI Task Force once again proved its effectiveness in combating illegal drugs and violent crime in Yakima County. In this case, FBI special agents and local law enforcement removed a career criminal from the Yakama Nation, making a huge impact on the safety of everyone living within the Yakama Nation.”
“Mr. Robledo knew he was distributing these potentially deadly drugs on the Yakama Indian Reservation” said Richard A. Collodi, Special Agent in charge of the FBI’s Seattle field office. “The work of our investigators and partners has resulted in a 10-year prison sentence and is another step in our effort at making the reservation a safer place.”
The case was investigated by the Federal Bureau of Investigation. This case was prosecuted by Assistant United States Attorney Tom Hanlon.
1:22-CR-02052-MKD-1
Department of Justice Announces More than $2.3 Million in Federal Funding for Spokane County and the Spokane Police Department to Improve the Functioning of the Criminal Justice System, Combat Juvenile Delinquency, and Assist Victims of Violent CrimeRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, today announced three Department of Justice grants awarded in the Eastern District of Washington. One grant was awarded to Spokane County and allocates $500,000 to improve the criminal justice system, prevent and combat juvenile delinquency, and assist victims of crime. Spokane City, to include the Police Department, received two grant awards. One for the Spokane Police Department for $1,317,000 and a second to the city for $500,000. Both grants were issued with the intended goal to improve the criminal justice system.
Funding for these grants were awarded through the Byrne Discretionary Community Project Funding/Byrne Discretionary Grants Program. Pursuant to this program, $229,551,000 had been allocated nationally as part of the Consolidated Appropriations Act, which was passed in 2023.
Plans for this grant funding include: (1) acquiring additional aircraft by the Spokane Regional Air Support Unit (SRASU), which is a regional aviation unit dedicated to assisting and improving public safety; (2) improving technology to augment staff, improve outcomes for crime victims, replace antiquated technologies, and increase officer safety; and (3) increasing resources for supporting treatment to effectively address domestic violence.
In announcing these awards, U.S. Attorney Waldref stated, “It is critical that we work together – with our federal, state, and local partners to keep our communities safe and strong. The citizens of Spokane County deserve nothing less.” She continued, “These latest grant awards demonstrate the federal government’s continued commitment to ensuring the justice system is keeping up with technological advances, while maintaining the overall goal of decreasing crime and supporting those who fall victim to it. Right here in Eastern Washington, these funds fall in line with my Office’s Safe Home Safe Community Initiative, which focuses on curbing gun violence by removing firearms unlawfully possessed by individuals with a track record of violent crime and domestic violence – these efforts protect victims, law enforcement, and the entire community.”
Additional information about grants and funding through the U.S. Department of Justice Office of Justice Programs is available at https://www.ojp.gov/.
Department of Justice Announces More than $1 Million in Federal Funding for the Washington State Department of Commerce to Address Sexual AssaultRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, today announced a Department of Justice grant award for the Washington State Department of Commerce. The grant allocates $1,012,474 to address sexual assault. This grant was awarded on August 22, 2023.
Funding for the $1,012,474 grant was awarded by the Office on Violence Against Women, Fiscal Year 2023 Sexual Assault Services Formula Program. The Sexual Assault Services Formula Program (SAS Formula Program) was created by the Violence Against Women and Department of Justice Reauthorization Act of 2005 (VAWA 2005), 34 U.S.C. § 12511. The SAS Formula Program directs grant dollars to states and territories to assist them in supporting rape crisis centers (including governmental rape crisis centers not in territories and tribal governmental programs) and nonprofit, nongovernmental organizations that provide core services, direct intervention, and related assistance to victims of sexual assault, regardless of age. Funds provided through the SAS Formula Program are designed to supplement other funding sources directed at addressing sexual assault on the state and territorial levels. Rape crisis centers and other nonprofit organizations, such as dual programs providing both domestic violence and sexual assault intervention services, play a vital role in assisting sexual assault victims through the healing process, as well as assisting victims through the medical, criminal justice, and other social support systems.
In announcing this award, U.S. Attorney Waldref stated, “It is critical that we work together – with our federal, state, local and tribal law enforcement partners – to address sexual assault in Washington State.” She continued, “This latest grant award demonstrates the federal government’s continued commitment to combatting sexual violence, which disproportionately impacts women and vulnerable populations. I have witnessed the hurt and trauma that sexual assault victims and their families and loved ones endure. This award will fund critical services to assist sexual assault survivors, and support my office’s mission to protect victims of crime, amplify their voices, and to seek justice on behalf of all citizens in Eastern Washington.”
Additional information about grants and funding through the U.S. Department of Justice Office of Justice Programs is available at https://www.ojp.gov. Information regarding the Department of Justice’s Office on Violence against Women is available at https://www.justice.gov/ovw.
Kennewick Man Sentenced to Federal Prison for Conspiring to Obstruct an Official ProceedingRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Mohammed Naji Al-Jibory, age 54, of Kennewick, Washington was sentenced after having pleaded guilty to conspiracy to obstruct an official proceeding. United States District Judge Mary K. Dimke sentenced Al-Jibory to a 10-month term of imprisonment, to be followed by a 3-year term of court supervision after he is released from federal prison.
According to court documents, in February 2019, the Federal Bureau of Investigation (“FBI”) opened an official investigation into allegations that several individuals were involved in a scheme to defraud insurance companies and obtain money and property by staging automobile accidents and filing false and fraudulent claims with insurance companies. The FBI investigation expanded to an investigation by a federal grand jury empaneled in the Eastern District of Washington. In May 2020, the FBI executed warrants to search several residences in Washington and California for evidence of federal crimes.
In September 2020, when interviewed by the FBI, Al-Jibory falsely accused an FBI agent and another individual he and Ali Abed Yaser suspected of being an FBI informant of soliciting approximately a $20,000 bribe from a third person to make the case go away. In doing so, Al-Jibory engaged in misleading conduct toward the FBI agents with the intention of hindering, delaying, and preventing communication about their criminal activities to federal officers and a judge of the United States. Al-Jibory also attempted to corruptly obstruct, influence, and impede a federal grand jury proceeding and a criminal proceeding before a judge and court of the United States.
Vanessa R. Waldref, United States Attorney for the Eastern District of Washington said, “Obstructing official proceedings by falsely accusing a federal agent of bribery will not be tolerated. I commend the efforts of the law enforcement officers who investigated this case.”
This case was investigated by the Federal Bureau of Investigation and the United States Department of Health and Human Services, Office of Inspector General, with the assistance of the National Insurance Crime Bureau. This case is being prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.
4:21-CR-6042-MKD-23
Richland Man Sentenced to 25 Years in Federal Prison for Producing Child PornographyRead the Press Release
Yakima, Washington – On August 14, 2023, U.S. District Judge Mary K. Dimke sentenced Allen Richard Smith, 66, of Richland, Washington, to 25 years in federal prison for producing images of child pornography depicting minor boys in the Philippines. Judge Dimke also ordered Smith to serve the remainder of his life on federal supervision after he is released from prison. Smith pleaded guilty on September 24, 2021. In announcing sentence, Judge Dimke noted, that Smith has shown that with even a cell phone in his hand, he poses a danger to children across the world.
Smith first came to the attention of law enforcement because Facebook reported that he was distributing images of child pornography on Facebook from April 2019 through May 2020. Special Agents with Homeland Security Investigations (“HSI”) and the Richland Police Department sought and obtained search warrants for Smith’s social media accounts, and discovered significant amounts of child pornography that Smith had sent and received. In his accounts, Smith also had numerous ongoing conversations with other adult men in which Smith remotely directed the real-time recording of hands-on sexual abuse of destitute boys in the Philippines who were as young as 8 years old.
Among the computers and digital devices that law enforcement officers seized from Smith’s residence in Richland was a Dell PC, whose hard drive contained a folder named “Allen’s files” and a subfolder Smith named “FB & Twitter Friends from Around the World – Collection of Pics & Vids.” In that file, Smith specifically identified his victims with highly-detailed lists of the boys’ names, ages, and locations. Law enforcement identified numerous victims from around the United States and the rest of the world. For one minor victim in Guatemala, Smith even transferred funds to the child’s mother in exchange for images of child pornography.
In October 2017, Smith traveled to the Philippines in person. The Filipino authorities checked Smith’s records, learned that he was a registered sex offender based on a prior conviction in Benton County Superior Court for two counts of First Degree Child Molestation, and denied him entry.
Law enforcement officers were able to locate and interview several of Smith’s victims, although many more could not be identified with certainty. Several of Smith’s victims described him seeking them out online and offering them money or cell phone minutes in exchange for them performing sex acts on video for Smith. Where it was possible to do so, American law enforcement and diplomatic officers worked with local authorities to remove children from dangerous situations.
“It is serious enough that Defendant – a convicted and registered sex offender – repeatedly traded, collected, and produced crime-scene videos of young boys being sexually abused. But his conduct was even worse: he specifically sought out vulnerable, deeply-impoverished children in foreign countries and offered money in exchange for sexual access. Mr. Smith’s conduct demonstrates a shocking and callous objectification of vulnerable victims,” said U.S. Attorney Vanessa R. Waldref. “This case highlights the importance of vigilance against all forms of child exploitation. Law enforcement learned about Mr. Smith based solely on images that Facebook reported, but the thorough investigation revealed his conduct was even more severe than downloading images from the Internet. It is only because we take child pornography so seriously that authorities were able to apprehend a person who perpetrated repeated hands-on sexual abuse of many vulnerable boys from around the world.”
“Mr. Smith’s conduct demonstrates the lengths to which child abusers go to exploit their victims and share this graphic material across the Internet,” said Special Agent in Charge Robert Hammer, who oversees HSI operations in the Pacific Northwest. “I cannot stress enough to parents how important it is for them to know who their children interact with online, just as much as they know who their children spend time with in real life. Protection of victims is a global priority for HSI, whether they are in Richland and the Tri-Cities or the Philippines and Guatemala. In cases like this, our Project Angel Watch prevents and deters further exploitation of children by alerting authorities to the international travel plans of individuals convicted of sex crimes against children.”
“Cases like this demonstrate how child exploitation cases defy traditional jurisdictions,” said Richland Police Chief Brigit Clary. “We know these offenders leverage technology to feed their destructive lifestyle, but we are committed to using our skills, our technology, and our partnerships to pursue these offenders, even across international borders, to deliver justice for our children.”
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals, who sexually exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
This case was investigated by Homeland Security Investigations, the Southeast Regional ICAC Task Force, and the Richland Police Department. The case was prosecuted by Alison L. Gregoire and David M. Herzog, Assistant U.S. Attorneys for the Eastern District of Washington.
4:20-CR-06033-MKD
Man and Woman Found Guilty of Serious Felony Crimes Which Occurred Within the Boundaries of the Yakama Nation Indian ReservationRead the Press Release
Yakima, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that a jury returned verdicts on August 11, 2023 following the trial of Sundron Larsell Miller (age 37) and Paula Eulojia Cantu-Lopez (age 27), of White Swan, Washington. Miller was found guilty of carjacking, brandishing a firearm during and in relation to a crime of violence, being a felon in possession of a firearm, and assault with intent to commit murder. Cantu Lopez was found guilty of carjacking, brandishing a firearm during and in relation to a crime of violence, and assault resulting in serious bodily injury.
Evidence introduced at trial established that Miller and Cantu-Lopez were romantically involved. On December 28, 2021, the victim was with both Miller and Cantu-Lopez, driving in the area of Fort Simcoe Road on the Yakama Reservation. The victim was driving her pickup, and Miller began assaulting Cantu-Lopez. When the victim tried to intervene, both Miller and Cantu-Lopez turned and assaulted the victim, who is an enrolled member of the Yakama Nation.
During the assault, the victim was pulled out of her own truck, and Miller attempted to shoot the victim with her own rifle, which had been on the backseat of the truck. Miller pointed the rifle at the victim’s face, and the victim saw Miller pull the trigger and heard a “clicking” sound. Fortunately, the rifle was unloaded. After attempting to kill the victim, Miller and Cantu-Lopez beat the victim, threw her in the back of the truck, and transported her to a residence in White Swan. Miller then got into the driver’s seat of the victim’s truck, and while Miller drove away, Cantu-Lopez sat in the back seat and held the victim by her hair. After arriving at a residence, the victim was again beaten by Miller and Cantu-Lopez.
Ultimately, and with an incredible amount of bravery, the victim was able to break away and run for her life. Officers with the Yakama Nation Police Department quickly responded to the scene and collected evidence of the crimes. The Federal Bureau of Investigation also assisted in the investigation.
Chief United States District Judge Stanley A. Bastian presided over the trial, which began on August 7, 2023. Sentencing in this matter is set for November 15, 2023.
“I am incredibly grateful for the courage of victims – many of whom have suffered generations of trauma – who are willing to engage with law enforcement to seek justice,” stated U.S. Attorney Waldref. “The agents, officers, and prosecutors, who investigated and tried this case have dedicated their careers to protecting members of our community. Today’s result would not be possible but for the joint efforts of the Yakama Nation Tribal Police Department, the FBI, the United States Attorney’s Office and the community. By working together, we can continue to build trust and keep our communities safe and strong.”
“The sudden violence displayed in this case is horrifying,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “The subjects assaulted the victim multiple times, took her truck, and attempted to use her own firearm against her. The FBI and our tribal partners are committed to combatting violent crime and holding those responsible accountable.”
This case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Michael Murphy and Christopher Bridger, Assistant U.S. Attorneys for the Eastern District of Washington.
1:22-CR-02041-SAB
Colfax Pharmacy Tick Klock Drug Agrees to Pay $20,000 Penalty and Implement Corrective Actions to Address Improper Dispensing and Recordkeeping PracticesRead the Press Release
Spokane, WA – Tick Klock Drug, a pharmacy in Colfax, Washington, agreed to pay a $20,000 Controlled Substances Act penalty and to institute corrective actions in order to address its failure to comply with the Controlled Substances Act and the Combat Methamphetamine Epidemic Act of 2005 in its pharmacy operations, announced Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington.
To protect the public, the Controlled Substances Act and its implementing regulations place legal responsibilities on medical professionals to ensure that opioid medications and other controlled substances are prescribed, dispensed, and used for medically-appropriate purposes and in a safe manner. The responsibility for the proper prescribing and dispensing of controlled substances is upon the prescribing practitioner, but a corresponding responsibility rests with the pharmacist who fills the prescription to ensure that prescriptions are legitimate, safe, and medically appropriate. Additionally, the Combat Methamphetamine Epidemic Act of 2005 (CMEA) and implementing regulations impose requirements concerning a pharmacy’s sale of pseudoephedrine, which is commonly sold under the brand name Sudafed. Pseudoephedrine is a decongestant that can be used to manufacture methamphetamine, a Schedule II controlled substance and commonly-abused street drug. The CMEA places restrictions on the quantity of pseudoephedrine that can be sold to an individual over a 30-day period, and also requires pharmacies to maintain records, to display warning signs, to obtain a purchaser’s signature and verify the purchaser’s identity, to train employees concerning safe dispensing and sale of pseudoephedrine, and to annually certify compliance with CMEA requirements and regulations.
In the settlement announced today, Tick Klock Drug admitted that, between January and July 2022, it did not always appropriately exercise its corresponding responsibility when dispensing controlled substances. Tick Klock Drug admitted that during that time period, it filled controlled substance prescriptions written by physicians or other medical providers that contained “red flags”, i.e., indicia of fraud, drug-seeking, lack of medical necessity, potential for abuse or health risk, or potential for diversion, without appropriately resolving those red flags prior to dispensing the medications. These red flags included multiple patients for whom Tick Klock Drug filled prescriptions for a potentially dangerous and medically-inappropriate combination of an opioid, a benzodiazepine, and a muscle relaxant known as the “holy trinity”. Tick Klock Drug further admitted that between 2017 and 2022, Tick Klock Drug violated the CMEA by: (1) failing to certify compliance with the CMEA and implementing regulations; (2) failing to prominently display required warning notices in all appropriate locations; and (3) failing to obtain all purchaser signatures for sales of pseudoephedrine, including for sales to Tick Klock Drug employees. Finally, Tick Klock Drug admitted that it did not keep adequate records or appropriately account for the quantities of certain controlled substances.
“Pharmacies have a critical role to play in protecting the public and keeping our communities safe and strong,” said U.S. Attorney Waldref. “Pharmacies serve a vital gatekeeper function in keeping our residents safe and healthy, preventing the diversion of dangerous drugs, and combatting addiction. I’m grateful that Tick Klock Drug accepted responsibility and has entered into a robust agreement with the Drug Enforcement Administration (DEA) to ensure that it complies with its obligations going forward.”
In addition to the $20,000 civil penalty, Tick Klock Drug has entered into a Memorandum of Agreement (MOA) with the DEA. Under the MOA, Tick Klock Drug agreed to resolve all “red flag” prescriptions prior to dispensing any controlled substances. Tick Klock Drug is also required to conduct quarterly physical inventory audits and provide those to the DEA. These audits must be performed by a team that includes a licensed pharmacist. Additionally, Tick Klock Drug is required to provide training for its employees to ensure compliance with the Controlled Substances Act and CMEA going forward, and to document its training efforts. Finally, Tick Klock Drug further agreed to review and update its controlled substance policies and procedures, and that employees may not dispense controlled substances to themselves under any circumstances.
“This resolution would not have been possible without the exceptional investigative work by DEA Seattle Field Division’s Diversion Group, and I am so grateful for our longstanding partnership,” stated U.S. Attorney Waldref. “We will continue to work hand-in-glove with DEA Diversion Group and our law enforcement partners to protect our communities and public health and safety.”
“DEA’s core mission is to protect Americans and we need our partners in the healthcare community to help us by following the rules. When they do not, we hold them accountable, not to punish, but to encourage their cooperation and ensure that they are doing their part to keep people safe,” said David F. Reames, Special Agent in Charge, DEA Seattle Field Division. “We deeply appreciate our partnership with the United States Attorney’s Office in the Eastern District of Washington, without whom this success would not have been possible.”
The settlement was the result of a joint investigation conducted by the U.S. Attorney’s Office for the Eastern District of Washington and DEA’s Seattle Field Division, Diversion Group. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene handled this matter on behalf of the United States.
Memorandum of Agreement-Tick Klock Pharmacy
Settlement Agreement-Tick Klock PharmacyUnited States Attorney Vanessa R. Waldref Hosts Federal & Tribal Regional Summit Focused on Tribal Treaty Rights, Environmental Justice, and Civil RightsRead the Press Release
From July 25-26, 2023, U.S. Attorney Vanessa Waldref–alongside co-hosts from the Justice Department’s Environment and Natural Resources Division (ENRD), the Office of Environmental Justice, and the Office of Tribal Justice – hosted Tribes from across the Northwest Region of the United States at a joint federal and Tribal Summit in Spokane, Washington.
The Summit built on a November 2022 Tribal Listening Session in Washington, DC and a national Federal/Tribal Summit in Columbia, South Carolina in early 2023. The purpose of the submit was to focus on commitment to work with Tribal governments and other federal agencies to find “ways to address and incorporate Tribal concerns into the Department’s enforcement work.” This week’s meeting was the first of three Regional Summits planned for this calendar year.
At the meeting, U.S. Attorney Waldref welcomed representatives of Tribal Nations from Idaho, Washington, and Montana. At the outset of the Summit, U.S. Attorney Waldref acknowledged that the gathering was taking place on the ancestral lands of the Spokane Tribe. The meeting was held in the Spokane Public Library overlooking the Spokane Falls and artwork by Virgil “Smoker” Marchand, a member of the Lakes Band of the Colville Confederated Tribe, who passed away earlier this year. Monica Tonasket, a member of the Spokane Tribal Council gave a land acknowledgement and blessing to the group to kick off the Summit. Numerous Tribal leaders, including from each of the Tribes in the Eastern District of Washington, attended and actively participated in the Summit.
In remarks made during the summit, Assistant Attorney General Todd Kim for ENRD challenged the group to identify new ways to work together to address the substantial challenges that Tribes face in establishing and preserving sustainable homelands. AAG Kim noted the unique government-to-government relationship that the United States has with Tribes, and the Justice Department’s role in upholding and asserting federal reserved water rights claims and other tribal and treaty rights. He then linked Summit goals to three key Administration priorities: respecting Tribal sovereignty and self-governance, furthering environmental justice and combating the climate crisis.
In her remarks, U.S. Attorney Waldref noted the criminal prosecutions that her office has pursued in Indian Country and announced that the Justice Department has selected the Eastern District of Washington to house a federal prosecutor focused on addressing the crisis of Missing and Murdered Indigenous People for the Western Region of the United States. She also conveyed her commitment to environmental justice, reflected in her position as Chair of the Environmental Justice & Environmental Issues Subcommittee that advises Attorney General Merrick Garland. U.S. Attorney Waldref also emphasized that environmental protection is a critical component of public health and safety.
The Summit then included a number of short presentations followed by in-depth discussions around three issues: tribal water rights, challenges Tribes are facing with a rapidly changing climate, and treaty rights related to hunting and gathering of natural resources.
On July 26, 2023, the second day of the summit, Regional Administrator Casey Sixkiller for the Environmental Protection Agency’s Region 10 addressed the group. The Federal Bureau of Investigation then presented on the FBI’s work in Indian County, including emerging trends related to pollution crime, theft of natural resources, and illicit activity tied to extractive industries. Additional presentations provided information on federal grant opportunities, the National Ocean Justice Strategy and grant and investigatory resources at the U.S. Department of Housing and Urban Development.
“It was an honor for the Eastern District of Washington to host the Justice Department’s first regional summit focused on defending and strengthening Tribal homelands, climate adaptation, resilience and environmental justice,” said U.S. Attorney Waldref after the event. “It was humbling to gather together with several Tribal nations at the base of Spokane Falls, where Tribes from across the Columbia Plateau have historically gathered to fish for the Chinook Salmon that once spawned beneath these sacred waterfalls. The Justice Department and our District are fully committed to enforcing laws to achieve environmental justice, working together to combat the climate crisis, and protecting civil rights, all while continuing to recognize and respect Tribal sovereignty.”
U.S. Attorney Waldref leads the Environmental Justice & Environmental Issues Subcommittee for the Attorney General’s Advisory Committee (AGAC). As the leader of the Environmental Justice Subcommittee, U.S. Attorney Waldref plays a key role in advising the AGAC on environmental matters of importance to the Department of Justice and U.S. Attorney’s Offices across the country. U.S. Attorney Waldref has been serving in this role since September 2022.
Spokane Man Sentenced to 20 Years in Prison for Drug Trafficking and Firearms OffensesRead the Press Release
Spokane – On July 25, 2023, U.S. Senior District Judge Rosanna Malouf Peterson sentenced Merced Zamora, 41, of Spokane, Washington, to 240 months in federal prison for Possession with Intent to Distribute 50 Grams of Actual Methamphetamine, Felon in Possession of a Firearm, as well as for Use, Carry, and Possession of a Firearm During and in Relation to a Drug Trafficking Offense. Zamora was previously convicted, on March 1, 2023, following a multi-day jury trial. Senior Judge Peterson also ordered Zamora to serve an additional ten years on federal supervision after he is released from prison.
According to court documents, Zamora, on January 11, 2019, was the driver of a vehicle that was stopped for a traffic violation by a Spokane County Sheriff’s Office Deputy. At the time of the traffic stop, Zamora’s driver’s license was suspended. Following a search of Zamora’s vehicle, two firearms, ammunition, drug paraphernalia, and approximately a half pound of methamphetamine were recovered from inside the car.
Zamora’s trial began on February 27, 2023. After testimony from numerous witnesses, the jury convicted Zamora on March 1, 2023 of all charges.
Following the sentencing, Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, stated, “I am grateful for the dedication of the investigators, agents, and prosecutors, who brought Mr. Zamora to justice. Thanks to their dedication, a dangerous offender, illegal firearms, and deadly drugs have been removed from the Spokane community. We will continue to work with our federal, state, and local partners to keep our neighborhoods and communities safe and strong.”
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 County Sheriff’s Office, the Federal Bureau of Investigation Spokane Regional Safe Streets Task Force, the Spokane Resident Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), and the Drug Enforcement Administration. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
2:20-CR-00160-RMP-1
Spokane Man Sentenced to 18 Years for Production of Child PornographyRead the Press Release
Spokane – On July 20, 2023, U.S. District Judge Thomas O. Rice sentenced Dannie Paul Bowling, 42, of Spokane, Washington, to 216 months in federal prison for Production of Child Pornography. Bowling pleaded guilty on January 18, 2023. Judge Rice ordered Bowling to pay $6,000 in victim-related special assessments and be federally supervised for life after Bowling is released from prison.
According to court documents and proceedings, Bowling was on supervised release in a drug trafficking case when he exploited a 15-year old child by secretly filming her in various stages of undressing. Bowling also paid for nude photographs of minor victim, and used her to produce a video of her engaging in sex acts with Bowling. Bowling told the minor victim that he could sell her images to other people and paid her varying amounts between $80 and $1,000. At times he even had the minor victim hold a sign with the buyer’s name to prove she was real. Hidden surveillance camera footage and images and videos of the minor victim were found on Bowling’s phone, which law enforcement searched pursuant to a federal search warrant. At sentencing, and not withstanding the evidence to the contrary, Bowling denied selling the minor’s images and videos.
After today’s sentencing, United States Attorney Vanessa R. Waldref stated, “Mr. Bowling’s criminal behavior is a stark reminder to parents and communities everywhere to be vigilant in protecting our children.” U.S. Attorney Waldref continued, “I’m grateful for the task forces and seamless law enforcement partnerships in the Eastern District of Washington. These partnerships are absolutely necessary to protect the most vulnerable among us and keep our communities safe and strong.”
“This significant sentence should serve as a warning to those who would harm the children of our communities.” said Special Agent in Charge Robert Hammer, who oversees HSI operations in the Pacific Northwest. “HSI and our partners are dedicated to the protection of those who cannot protect themselves and will ensure those that perpetrate these heinous acts are brought to justice.”
This case was pursued as part of Project Safe Childhood and investigated by the Missing and Exploited Children Task Force (MECTF).
Project Safe Childhood is 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.”
The MECTF is dedicated to protecting the children of Washington State by assisting and investigating missing child and exploitation cases. Washington State Patrol (WSP) MECTF partnered with Homeland Security Investigations (HSI) in Spokane on a Task Force housed at the HSI Spokane office. The Task Force includes Special Agents, Detectives, and Analysts from WSP, HSI, Spokane PD, and representatives from outlying Counties dedicated to serving the children and communities of the region. The MECTF traces its origins to 1999, when the Washington Legislature established a task force on missing and exploited children under the direction of the Chief of the state patrol, RCW 13.60.110.
This case was investigated by Homeland Security Investigations with assistance from U.S. Probation. This case was prosecuted by Ann T. Wick, Assistant United States Attorney for the Eastern District of Washington.
2:22-CR-080-TOR
Accountant Indicted for Embezzling More than $715,000 from Spokane Medical PracticeRead the Press Release
Spokane, Washington – Today, Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced that a grand jury returned an Indictment charging Carol Casilla, age 25, of Spokane, Washington, with forty-six counts of fraud in connection with Casilla’s theft of more than $715,000 from a Spokane medical practice at which she was employed between 2020 and 2023.
Between May 2020 and March 2023, Casilla was employed as an accountant by Spokane Dermatology Clinic (SDC), a dermatological practice located in Spokane. The Indictment alleges that, while employed at SDC, Casilla used her position to fraudulently issue company checks to herself and deposit them into her own personal accounts, and to make electronic funds transfers using company funds toward her personal credit cards. The Indictment alleges that some of the transfers were made to a fictitious company that Casilla created in order to make it appear as though the transfers were for legitimate company expenditures. According to the Indictment, Casilla made hundreds of fraudulent transfers in this manner, stealing more than $715,000 in total.
“Accountants, bookkeepers, and financial professionals have access to funds and sensitive financial information,” said United States Attorney Waldref. “When they abuse that access in order to line their own pockets, they devastate our communities. We will continue to work hand-in-glove with our law enforcement partners and with the community to hold accountable those individuals who abuse their positions of trust.”
The fraud charges carry maximum sentences of up to 30 years in federal prison. This case was investigated by the Federal Bureau of Investigation, Spokane Resident Agency. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene are prosecuting the case on behalf of the United States.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States v. Casilla, Case No: 2-23-CR-00085-TOR
Soap Lake Man Pleads Guilty to Production and Attempted Production of Child Pornography OffenseRead the Press Release
Spokane – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Michael Gene Rice, 48, of Soap Lake, Washington, pleaded guilty to Production and Attempted Production of Child Pornography, in violation of 18 U.S.C. §§ 2251(a), (e). United States District Judge Thomas. O. Rice accepted Rice’s guilty plea and scheduled a sentencing hearing for October 11, 2023, in Spokane, Washington.
According to court documents and proceedings, Rice caused an 11-year old minor in his care to record the minor engaged in sexually explicit conduct on Rice’s phone. The minor disclosed the conduct to law enforcement, and a search warrant was granted for Rice’s iCloud account data. In Rice’s iCloud account, law enforcement observed child pornography videos consistent with the minor’s statements.
Court documents reveal that Rice was previously convicted in 2002 of Rape of a Child in the First Degree, in Grant County, Washington. The victim in that case was also 11 years old.
Sentencing is also pending in Grant County Case No. No. 22-1-00131-13, where Rice was convicted after a jury trial earlier this year of two counts of Dealing in Depictions of a Minor Engaged in Sexually Explicit Conduct and two counts of Possession of Depictions of a Minor Engaged in Sexually Explicit Conduct.
“As a parent, I am chilled by Mr. Rice’s exploitative conduct of a young child,” said United States Attorney Waldref. “My office will continue to take child exploitation seriously, whether online or in-person. Children everywhere deserve to live in a world free from predators.” United States Attorney Waldref continued, “This case, like so many of the cases we prosecute in federal court, involved a joint effort by federal, state and local law enforcement. We are particularly grateful for the Grant County Prosecuting Office’s partnership on this case. When law enforcement is able to partner together – as we did here – we are able to do much to strengthen our communities and keep our citizens, including young children, safe.”
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.”
In addition, this case was investigated by the Missing and Exploited Children Task Force (MECTF), which is dedicated to protecting the children of Washington State by assisting and investigating missing child and exploitation cases. Washington State Patrol (WSP) MECTF partnered with Homeland Security Investigations (HSI) in Spokane on a Task Force housed at the HSI Spokane office. The Task Force includes Special Agents, Detectives, and Analysts from WSP, HSI, Spokane PD, and representatives from outlying Counties dedicated to serving the children and communities of the region. The MECTF traces its origins to 1999, when the Washington Legislature established a task force on missing and exploited children under the direction of the Chief of the state patrol, RCW 13.60.110.
This case was investigated by Homeland Security Investigations and the Grant County Sheriff’s Office. This case was prosecuted by Ann T. Wick, Assistant United States Attorney for the Eastern District of Washington.
2:23-CR-23-TOR
Long-Time Sureno Gang Member Is Sentenced to More Than 20 Years in Federal Prison for Shooting an Undercover Law Enforcement OfficerRead the Press Release
https://youtu.be/W71sanlvZZQ
Spokane, WA – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Randy Coy James Holmes, age 25, of Spokane, Washington, was sentenced today to more than 20 years in federal prison for Assault with a Deadly Weapon on a Federal Law Enforcement Officer in violation of 18 U.S.C. § 111(a)(1), (b) as well as Discharge of a Firearm During a Crime of Violence in violation of 18 U.S.C. § 924(c). The charges stem from Holmes’s attempted robbery of an undercover law enforcement officer in November 2021. United States District Court Judge Thomas O. Rice pronounced sentence.
According to court documents and information disclosed at court proceedings, in early November 2021, a Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”) Confidential Informant reported that Holmes, who is a documented Sureno gang member and uses the alias “Whispers,” was looking to obtain a firearm to conduct future strong-arm robberies. The informant arranged for Holmes to contact an undercover ATF agent so Holmes could purchase a firearm from the agent. ATF intended to sell Holmes an inoperable firearm and then arrest him. The same day, a second ATF confidential informant advised ATF that Holmes contacted a second informant to obtain a firearm.
On November 5, 2021, Holmes agreed to meet the undercover ATF agent at the Motel 6 parking lot in Spokane to purchase the firearm. Holmes had offered to pay the undercover agent approximately one ounce of methamphetamine in exchange for the firearm, instead of U.S. Currency. Holmes arrived at the Motel 6 as planned, driving a Dodge Charger. Holmes’s co-defendants, Vincent Petrushkin and William Huntington Burns, who are also Sureno gang members, were inside the Dodge Charger with Holmes.
Before Holmes’s got out of the car, Burns provided Holmes with a firearm, which later was identified as a 9mm semi-automatic Glock handgun, as so called “protection” for the transaction with the undercover agent. Holmes then exited the Charger and got into the front passenger seat of the undercover ATF agent’s car. During the transaction, the undercover agent expressed concerns to Holmes about conducting the transaction at that location given that Holmes arrived with two additional individuals in his car. The undercover agent then asked to move the transaction to a nearby parking lot, away from the two men in the Dodge Charger.
Holmes then responded that he would “tell the homies” and started to get out of the undercover agent’s car. Holmes, however, stopped short of fully exiting the car. Instead, Holmes re-entered the car, pulled out the 9mm semi-automatic handgun, pointed the gun at the undercover agent’s head, and demanded the firearm the undercover agent was going to sell him. Among other things, Holmes screamed at the undercover agent, while pointing a gun at the agent’s head: “give it to me now… I’m gonna shoot you in the f’ing head ese … I ain’t f’ing playing with you.”
The undercover agent, who was in reasonable apprehension of immediate bodily harm, raised his hands above his head, and advised Holmes that the firearm was in the back of the car. Holmes then fully exited the undercover agent’s vehicle and ran around to the back of the car to obtain the firearm. This interaction between Holmes and the undercover ATF agent inside the car was captured on a video recording device from inside the undercover agent’s vehicle.
After Holmes got out of the car, the undercover agent exited the vehicle and directed Holmes to drop the gun. Rather than drop his firearm, Holmes repeatedly fired the 9mm semi-automatic Glock at the undercover agent, striking the agent multiple times, and causing the agent serious and permanent bodily injury. The undercover agent returned fire, striking Holmes. Audio from the shooting was captured by the video recorder inside the undercover agent’s car.
ATF surveillance agents quickly arrived at the scene and rendered life-saving aid to Holmes before he and the undercover agent were transported to the hospital. At the hospital, emergency room personnel located approximately 1 ounce of methamphetamine in Holmes’s jacket pocket.
At the time of this offense, Holmes was on federal supervised release stemming from a 2019 conviction for being a felon in possession of a firearm, in violation of 18 U.S.C. §§ 922(g)(1), 924(a)(2). Holmes also was on Washington State Department of Corrections community custody supervision from an unrelated state felony conviction.
Codefendants Petrushkin and Burns have both previously pled guilty to federal offenses related to this incident. Additionally, Kenneth Rankin Gazzaway was identified as having purchased the that Glock 9mm semi-automatic handgun firearm from a Federal Firearms Licensee in the Spokane area. The ATF learned Gazzaway was a methamphetamine user, which precluded him from purchasing a firearm. Nonetheless, Gazzawaylied on federal paperwork in order to purchase this and other firearms. During the case, Gazzaway admitted to traded some of the firearms he illegally purchased for drugs. One of those individuals to whom Gazzaway traded firearms was Adam Layton, who is another documented Sureno — i.e., the same criminal street gang as Holmes.
During today’s sentencing hearing, the undercover ATF agent, his wife, and his mother, provided powerful victim impact statements discussing the impact Holmes’s actions had on their family’s life. Excerpts of the undercover agents statements are included as an attachment.
During the sentencing process, Holmes attempted to shift blame for the offense, blaming a multitude of other individuals for his actions. However, Judge Rice was not persuaded, and sentenced Holmes to more than two decades in federal prison.
“This tragic case demonstrates the danger and violence that too frequently occurs when convicted felons possess firearms and engage in illegal drug trafficking,” stated U.S. Attorney Waldref. “I am grateful for the exceptional courage and bravery of law enforcement officers, who put their personal safety at risk to protect our community, and I commend the ATF agents involved for their exceptional professionalism in rendering life-saving aid to Mr. Holmes before he could be treated at a hospital. Our community is stronger as a result of these agents’ tremendous service. My heart goes out to the the undercover ATF agent and his family. They have made tremendous sacrifices to ensure the safety of the community. I commend him for his service and thank all of the brave men and women who led the investigation and prosecution in this case.”
“Thanks to the bravery, quick thinking, and professionalism of this agent and the nearby team, Mr. Holmes survived an incident of his own making and will have the next two decades in prison to consider the consequences of his repeated offenses,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “I commend the law enforcement officers in Washington state and across the country who protect their communities, knowing every day could take a dangerous turn in just a moment and might never be the same for themselves and their families.”
Assistant United States Attorney, Caitlin Baunsgard, who led the United States’ prosecution in this case, stated, “In this case, a multiple-time convicted felon — who was being supervised by two separate courts, and who was living in a halfway house after having been released from federal prison — was looking for a gun to commit home-invasion robberies.” AUSA Baunsgard continued, “In response to this clear threat to the community, the ATF fearlessly, and without hesitation, did their job. These agents stepped up to protect and serve the community. I am so proud to work with this amazing group of professionals.”
This case has been investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Spokane Police Department. This case is being prosecuted by Assistant United States Attorneys Caitlin Baunsgard and Patrick Cashman.
Case No.: 2:21-CR-164-TOR
us_v_holmes_victim_statement.pdfWapato Man Sentenced to 96 Months in Prison for Manslaughter and Aggravated Assault Wapato Man Sentenced to 96 Months in Prison for Manslaughter and Aggravated AssaultRead the Press Release
Yakima, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Brandon Kelly Root, age 47, of Toppenish, Washington was sentenced after pleading guilty to two counts of Involuntary Manslaughter and two counts of Assault Resulting in Serious Bodily Injury. United States District Judge Mary K. Dimke imposed a sentence of 96 months imprisonment to be followed by three years of supervised release.
According to Court documents, on June 11, 2017, at approximately 2:30 a.m., Root was driving on the Yakama Nation in the Eastern District of Washington. At the time, he was under the influence of alcohol and crossed the center line of the roadway. Root’s vehicle struck another car head on. Four individuals were in the other vehicle. Two were killed and the others, one of whom was a minor child, suffered serious bodily injury.
When officers arrived at the scene of the collision, they found Root wedged in the driver’s seat of his car. Officers noted that Root had bloodshot watery eyes, slurred speech, and an odor of intoxicants coming from his person. Root was the only occupant of his vehicle, and an 18-pack of beer was located on the front passenger floorboard. A blood draw, which was conducted at the hospital about four hours after the collision, showed Root’s blood alcohol level as .10 at that time, which is over the legal limit. In an interview with law enforcement, Root admitted to drinking that day at a softball tournament and a bar. Root also claimed that he did not recall the details of the crash.
“As a result of Mr. Root’s dangerous actions, two individuals were killed and countless others will never be the same,” stated U.S. Attorney Waldref. “Our hearts go out to the victims and their loved ones. No sentence will heal the pain caused by Mr. Root’s reckless act of driving while intoxicated. Our communities deserve better, and that is why my office will continue to hold those who engage in criminally reckless actions accountable.”
“This tragedy would have never happened had Mr. Root acted responsibly,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “Instead, his decision to drive while intoxicated caused two people to lose their lives, others to suffer serious injuries, and families and loved ones to face agonizing loss from a preventable collision. We know this sentence will keep our communities safer and dissuade future drunk drivers from getting behind the wheel.”
This case was investigated by the Federal Bureau of Investigation, the Yakama Nation Police Department and the Yakima County Sheriff’s Office. The case was prosecuted by Michael Murphy, Assistant U.S. Attorney for the Eastern District of Washington.
1:22-CR-02063-MKD
Yakima Man Sentenced to 300 Months Imprisonment and Lifetime Supervised Release for Production and Attempted Production of Child Pornography and Possession of Child PornographyRead the Press Release
Yakima, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Miguel Urbina, age 38 of Yakima, Washington was sentenced after pleading guilty to two counts of Production and Attempted Production of Child Pornography and one count of Possession of Child Pornography. United States District Judge Mary K. Dimke imposed a sentence of 300 months imprisonment to be followed by a life term of supervised release. Urbina will also be required to register as a sex offender.
According to Court documents, Urbina and another person produced child pornography in February 2007, by surreptitiously making an audio/video recording with a digital video camera concealed in a woman’s purse that was placed inside a bathroom in the Union Gap Mall. This camera captured explicit images and video of minor children using the bathroom. These images and videos were saved to Urbina’s computer hard drive. Then, between November 2008 and November 2009, Urbina, produced and attempted to produce child pornography with an individual who was under the age of eighteen.
On April 23, 2020, FBI agents executed a federal search warrant on Urbina’s residence in Yakima, Washington and seized a hard drive containing thousands of images of child pornography. The search warrant also recovered the audio/video recording from the device that was placed inside the bathroom at the Union Gap Mall as well as the explicit recordings Urbina made in 2008 and 2009.
“Mr. Urbina’s exploitation of minor children spanned two decades, warranting the strict sentence the Court imposed today,” stated U.S. Attorney Vanessa R. Waldref. “Mr. Urbina surreptitiously recorded unsuspecting children and preserved those materials for his own gratification. Later, he exploited another child, making sexually explicit recordings of that child. I am grateful for the FBI’s intervention and for the incredible efforts of investigators and prosecutors, who devote their careers to keeping children in Eastern Washington safe from those who would prey on the most vulnerable members of our community.”
“As a parent and as a law enforcement officer, I am horrified at Mr. Urbina’s blatant pattern of exploiting and victimizing children,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “His crimes, which dated back for years, included the use of a concealed camera to produce and store thousands of child sexual abuse images. The digital images child predators create are as lasting as the harm they cause, and we continue to fight with the hope that the consequences will deter a future offender.”
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 Federal Bureau of Investigation. The case was prosecuted by Michael Murphy, Assistant U.S. Attorney for the Eastern District of Washington.
1:20-CR-2049-MKD
West Richland Resident Sentenced to 15 Months in Federal Prison for Fraudulently Obtaining $337,267 in COVID-19 Relief FundsRead the Press Release
Richland, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Jimia Rae Cain, age 52, of West Richland, Washington, was sentenced to 15 months in federal prison for fraudulently obtaining $337,267 in COVID-19 relief funds. United States District Judge Mary K. Dimke announced the sentence, the most recent obtained by the COVID-19 Relief Fraud Strike Force Strike Force.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided government-backed funding to small businesses which could be forgiven so long as the proceeds were used for payroll and other eligible expenses. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low interest loans that could be deferred until the conclusion of the pandemic to provide “bridge” funding for small businesses to maintain their operations during shutdowns and other economic circumstances caused by the pandemic. The PPP and EIDL programs have provided billions of dollars in aid, the vast majority of which have not been paid back, including hundreds of millions of dollars disbursed within Eastern Washington.
“COVID-19 relief programs were designed to lift up our community during crisis, and because of the number of people and businesses that requested funding, deserving small businesses were not able to obtain desperately needed funding,” said U.S. Attorney Waldref. “We created the Eastern Washington COVID-19 Fraud Strike Force because combatting pandemic-related fraud and holding those accountable who abused these programs is critical to the strength and safety of our community in Eastern Washington. The Strike Force works to ensure that limited resources are used to protect our local small businesses and the critical jobs and services that they provide for the community.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office (USAO) began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the USAO, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations, U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Department of Homeland Security (DHS) OIG, Internal Revenue Service, Department of Energy OIG, and others.
According to court documents and information disclosed during court proceedings, Cain fraudulently obtained $337,267 in CARES Act funding – a $71,900 EIDL and a $265,267 PPP – in July and August of 2020 in the name of her purported business Americore Construction. According to court documents, Cain used false statements and fictitious tax and payroll documentation in order to obtain the funds. In truth, Americore was not an active business during the relevant time period, did not have any employees, and was not eligible for any federal funding.
In addition to the 15-month prison sentence, Cain was sentenced to 3 years of federal supervision following her release, and is required to repay full restitution of $337,267.
“This sentence demonstrates that falsifying information to gain access to taxpayer dollars will not be overlooked and wrongdoers will be brought to justice,” said SBA OIG’s Western Region Acting Special Agent in Charge Keven Standley. “I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially in this case by SBA OIG and TIGTA” said U.S. Attorney Waldref. “We will continue to work together with our law enforcement partners to vigorously prosecute those who abuse and misuse COVID-19 relief funding, and to strengthen our communities by protecting our small and local businesses.”
This case was investigated by the Eastern District of Washington COVID-19 Fraud Strike Force and by the SBA OIG and TIGTA. Assistant United States Attorneys Dan Fruchter and Tyler Tornabene prosecuted this case on behalf of the United States.
Case No. 4:22-CR-6042-MKD
Elmer City Man Sentenced to 60 Months’ Imprisonment for Drug Trafficking Linked to Overdose on the Colville Indian ReservationRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Andre Pierre Picard, age 67 of Elmer City, Washington, has been sentenced after pleading guilty to Distribution of Heroin and Distribution of Methamphetamine. United States District Court Judge Thomas O. Rice imposed a sentence of sixty months in federal custody to be followed by five years of supervised release.
According to Court documents and information disclosed during the sentencing hearing, on or about April 28, 2020, Piccard sold heroin to a young woman (hereafter “D.S.”) from his home in Elmer City, Washington. The very next day, April 29, 2020, D.S. was found lifeless, and the autopsy results determined the death was caused by a drug overdose.
From April 2022 through December 2022, the Bureau of Indian Affairs Division of Drug Enforcement engaged in several controlled purchases from Picard, ultimately arresting him and linking him to the sale of drugs that appeared to have contributed to D.S.’s overdose.
“I’m grateful for our incredible law enforcement team, who devote their lives to protecting our community,” said United States Attorney Vanessa R. Waldref, the chief federal law enforcement officer for the Eastern District of Washington. She further stated, “Today’s sentence demonstrates the seriousness of Mr. Picard’s drug trafficking activities. While Mr. Picard described himself as a low-level drug dealer, he was dealing in large quantities of illegal drugs given the relative size of the Elmer City community and the Colville Reservation. Ultimately, Mr. Picard’s distribution had devastating consequences. I commend the FBI and Bureau of Indian Affairs for their work to remove illegal drugs from our communities. I am also grateful to the law enforcement team from the Colville Tribe, which worked hand-in-hand with our federal partners to seek justice in this case.”
“Mr. Picard showed a willful disregard for the members of his own community.” Said Gregory L. Austin, Assistant Special Agent in Charge of the FBI’s Seattle field office. “Despite witnessing the devastating effects of these dangerous narcotics, he continued to distribute them to people he knew. The FBI and our partners will continue to fight the plague of illegal drugs on our state’s reservations.”
“The Bureau of Indian Affairs Division of Drug Enforcement is committed to removing dangerous drug dealers in Indian Country, including those that hide in plain sight and continually profit off the pain and tragic loss of their fellow community members, such as Mr. Picard,” stated Deputy Associate Director, Jerin Falcon. “The Bureau of Indian Affairs Division of Drug Enforcement is devoted to continuing to protect our native communities and is thankful for the partnership with the Colville Tribal Police, FBI, DEA and other local law enforcement agencies. “
This case was investigated by the Colville Tribal Police Department, Federal Bureau of Investigation and the Bureau of Indian Affairs, Division of Drug Enforcement. The case was prosecuted by Richard R. Barker and David H. Herzog, Assistant U.S. Attorneys for the Eastern District of Washington.
2:22-CR-00173-TOR
United States Attorney Vanessa R. Waldref Announces Eastern District of Washington’s Participation in Coordinated National Health Care Fraud Enforcement ActionRead the Press Release
Spokane, Washington – United States Attorney Vanessa R. Waldref announced criminal charges against two defendants in connection with millions of dollars in fraud prosecuted in the Eastern District of Washington, as part of the Department of Justice’s 2023 National Health Care Fraud Enforcement Action. The Eastern District of Washington cases charge a physician and pharmacist in connection with separate schemes involving telemarketing fraud and falsifying COVID-19 vaccine information.
“These enforcement actions, including against one of the largest health care fraud schemes ever prosecuted by the Justice Department, represent our intensified efforts to combat fraud and prosecute the individuals who profit from it,” said Attorney General Merrick B. Garland. “The Justice Department will find and bring to justice criminals who seek to defraud Americans and steal from taxpayer-funded programs.”
“Health care fraud harms elderly and vulnerable members of our community, undermines confidence in our health care system, and diverts precious funds from vital government programs,” said United States Attorney Waldref. “It has a corrupting and devastating impact on our community. We will not rest in our pursuit of health care providers who abuse their positions of trust for their own personal benefit. Our office will continue to work hand-in-glove with our law enforcement partners to ensure that these fraudsters are brought to justice.”
The charges announced today by U.S. Attorney Waldref are part of a strategically coordinated, two-week nationwide law enforcement action that resulted in criminal charges against 78 defendants for their alleged participation in health care fraud and opioid abuse schemes that resulted in the submission of over $2.5 billion in alleged false billings. The defendants allegedly defrauded programs entrusted for the care of the elderly and disabled, and, in some cases, used the proceeds of the schemes to purchase luxury items, including exotic automobiles and yachts.
The Eastern District of Washington charges stem from two separate cases. In United States v. David Antonio Becerril, a grand jury indicted a Yakima area physician on sixteen counts of fraud, false statements, and conspiracy in connection with a telemarketing scheme and conspiracy to fraudulently bill Medicare for millions of dollars in medically unnecessary genetic tests and medical equipment. In United States v. Reynolds, an East Wenatchee pharmacist was charged by information with one count of making false statements in connection with health care matters for falsifying COVID-19 vaccination information for Washington state employees.
The Becerril and Reynolds cases are being prosecuted by the U.S. Attorney’s Office for the Eastern District of Washington. The other cases in the National Enforcement Action are being prosecuted by the Department of Justice Criminal Division, Health Care Fraud Unit’s Strike Forces in Brooklyn, Dallas, Detroit, the Gulf Coast, Houston, Los Angeles, Miami, Newark, and Tampa; the Health Care Fraud Unit’s National Rapid Response Strike Force; the U.S. Attorneys’ Offices for the Middle District of Florida, Southern District of Florida, Southern District of Georgia, District of Idaho, Western District of Kentucky, Eastern District of Louisiana, Middle District of Louisiana, District of New Jersey, Eastern District of New York, Southern District of Ohio, District of South Carolina, Southern District of Texas, and Eastern District of Wisconsin; and the State Attorney Generals’ Offices for Indiana, New York, and Pennsylvania, with assistance from the Health Care Fraud Unit’s Data Analytics Team. Descriptions of cases involved in today’s enforcement action are available on the Department’s website at www.justice.gov/criminal-fraud/health-care-fraud-unit/2023-national-hcf-court-documents.
United States v. Becerril is being prosecuted by Special Assistant United States Attorney Allie Jensen and Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene, and was investigated by the U.S. Department of Health and Human Services (HHS) Office of Inspector General (OIG), Seattle Field Office. United States v. Reynolds is being prosecuted by Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene and was investigated by the Federal Bureau of Investigation (FBI), Spokane Resident Office and HHS-OIG.
The Fraud Section uses the Victim Notification System to provide victims with case information and updates related to cases charged by the Fraud Section in the National Enforcement Action. Victims with questions may contact the Fraud Section’s Victim Assistance Unit by calling the Victim Assistance phone line at 1-888-549-3945 or by emailing [email protected]. Victims with questions about the cases charged by the U.S. Attorney’s Office may contact (509) 353-2767. To learn more about victims’ rights, please visit www.justice.gov/criminal-vns/case/united-states-v-steven-diamantstein.
A complaint, information, or indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States v. Becerril, 1:23-CR-02029-SAB
United States v. Reynolds, 2:23-CR-00076-MKD
Justice Department Launches Missing or Murdered Indigenous Persons Regional Outreach ProgramRead the Press Release
Program will place 10 new personnel in Five RegionsWASHINGTON – United States Attorney Vanessa R. Waldref announced today that the Justice Department will be creating a Missing or Murdered Indigenous Persons (MMIP) Regional Outreach Program, which permanently places 10 attorneys and coordinators in five designated regions across the United States to aid in the prevention and response to missing or murdered Indigenous people. The Eastern District of Washington was one of the districts selected for a dedicated attorney, who will assist in this important role.
“This new program mobilizes the Justice Department’s resources to combat the crisis of Missing or Murdered Indigenous Persons, which has shattered the lives of victims, their families, and entire Tribal communities.” said Attorney General Merrick B. Garland. “The Justice Department will continue to accelerate our efforts, in partnership with Tribes, to keep their communities safe and pursue justice for American Indian and Alaska Native families.”
“These new positions represent the Justice Department’s continuing commitment to addressing the MMIP crisis with urgency and all of the tools at our disposal,” said Deputy Attorney General Lisa O. Monaco. “MMIP prosecutors and coordinators will work with partners across jurisdictions and alongside the Tribal communities who have been most devastated by this epidemic.”
U.S. Attorney Waldref stated, “The Tribal nations in the Eastern District of Washington frequently experience violent crime and domestic violence at rates that are higher than many other communities. As a result, parents, families, and even entire communities are mourning the loss of loved ones. The United States Attorney’s Office is committed to working closely with Tribal, federal, and state partners to combat the root causes of this crisis and holding those who perpetrate these crimes accountable.”
The MMIP regional program prioritizes MMIP cases consistent with the Deputy Attorney General’s July 2022 directive to United States Attorneys’ offices promoting public safety in Indian country. The program fulfills the Justice Department’s promise to dedicate new personnel to MMIP consistent with Executive Order 14053, Improving Public Safety and Criminal Justice for Native Americans and Addressing the Crisis of Missing or Murdered Indigenous People, and the Department’s Federal Law Enforcement Strategy to Prevent and respond to Violence Against American Indians and Alaska Natives, Including to Address Missing or Murdered Indigenous Persons issued in July 2022.
The program will dedicate five MMIP Assistant U.S. Attorneys and five MMIP coordinators to provide specialized support to United States Attorneys’ offices to address and combat the issues of MMIP. This support includes assisting in the investigation of unresolved MMIP cases and related crimes, and promoting communication, coordination, and collaboration among federal, Tribal, local, and state law enforcement and non-governmental partners on MMIP issues. The five regions include the Northwest, Southwest, Great Plains, Great Lakes, and Southeast Regions, and MMIP personnel will be located within host United States Attorneys’ offices in the Districts of Alaska, Arizona, Eastern Washington, Minnesota, New Mexico, Northern Oklahoma, Oregon, South Dakota, and Western Michigan. Programmatic support will be provided by the MMIP Regional Outreach Program Coordinator at the Executive Office for United States Attorneys.
“DOJ’s selection of the Eastern District of Washington for a dedicated attorney position demonstrates our District’s commitment to being a leader in addressing the MMIP crisis,” U.S. Attorney Waldref added. “Our office has a significant history of prosecuting homicide cases arising from violent crime on the Yakama Nation, as well as the Colville, Spokane, and Kalispel Reservations. These cases range from violent shootings to cold case murders. I am grateful for the tremendous work of the law enforcement agents and the prosecutors, who work tirelessly to bring justice to the victims of these terrible crimes.”
“The Executive Office for United States Attorneys and the United States Attorney community are committed to preventing and responding to cases of missing or murdered Indigenous people. To that end, we will work together with all relevant federal, Tribal, state and local law enforcement partners to locate missing persons and solve crimes where they have occurred,” said Executive Office for U.S. Attorneys (EOUSA) Director Monty Wilkinson. “This new program will allow the Department to build upon the work done by individual United States Attorneys’ offices and ensure continued support to those offices by coordinating outreach regionally on MMIP matters.
More broadly, this MMIP Program will complement the work of the Justice Department’s National Native American Outreach Services Liaison, who is helping amplify the voice of crime victims in Indian country and their families as they navigate the federal criminal justice system. Further, the MMIP Program will liaise with and enhance the work of the Department’s Tribal Liaisons and Indian Country Assistant United States Attorneys throughout Indian Country, the Native American Issues Coordinator, and the National Indian Country Training Initiative Coordinator to ensure a comprehensive response to MMIP.
Idaho Business Owner Sentenced to Probation for Criminal Clean Air Act Violation Involving Asbestos ContaminationRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Alexander Borys Mischenko, age 76, of Priest River, Idaho, was sentenced to three years of probation and a fine of $12,060 for criminal violation of the Clean Air Act in connection with asbestos contamination at a site in Spokane in 2018. Senior District Judge Rosanna Malouf Peterson announced the sentence.
According to the plea agreement and other information disclosed during court proceedings, in October 2017, Mischenko and his company, Buck Creek Sales, signed a contract to dismantle a legacy industrial building located on Magnesium Road in North Spokane and known as “Building 5.” Mischenko’s contract included funding to commission an asbestos survey to determine whether and to what extent Building 5 contained asbestos.
Asbestos is a naturally-occurring mineral that, due to its insulating and fire-resistant properties, was a commonly-used material in buildings constructed prior to 1980, such as Building 5. Because inhalation of asbestos fibers has been linked to various dangerous lung conditions, including mesothelioma, asbestosis, and lung cancer, asbestos-containing material is regulated by the Environmental Protection Agency (EPA) and, in Spokane County, by the Spokane Regional Clean Air Agency (SRCAA).
According to court documents and information discussed in court, in late 2017, a certified asbestos inspector did perform an asbestos survey of Building 5. The survey showed significant quantities of asbestos-containing material in Building 5, including approximately 2,600 linear feet of asbestos-containing material known as thermal systems insulation (TSI). The survey noted that the asbestos-containing TSI was “friable” (that is, easily crumbled with hand pressure), and, therefore, “will require removal by a licensed asbestos contractor prior to any renovation or demolition activity that would directly impact these materials.” Mischenko was provided a copy of the survey report on or about December 4, 2017.
Subsequent to receiving the survey results, Mischenko, who was not a licensed asbestos contractor, and at least one employee, cut the asbestos-containing TSI off of the pipe and disposed of the pipe. Mischenko then placed the asbestos-containing TSI into 14 unsealed sacks and one open-top wooden crate, and moved the sacks and the crate to a nearby building, where they remained until they were found by inspectors from SRCAA and, later, EPA. Mischenko did not notify SRCAA or EPA prior to engaging in the work, which, due to the work methods employed by Mischenko, released significant quantities of asbestos fibers into the air as well as scattered on the floor of Building 5.
In September 2022, U.S. Attorney Waldref, who previously served as Trial Attorney with DOJ’s Environment and Natural Resources Division and an environmental law professor at Gonzaga University’s School of Law, was selected to lead the Environmental Justice & Environmental Issues Subcommittee for the Attorney General’s Advisory Committee. As the subcommittee chair, U.S. Attorney Waldref plays a key role in leading and coordinating DOJ’s criminal and civil environmental enforcement efforts.
“Environmental Justice is a critical public health priority,” said U.S. Attorney Waldref. “When businesses or individuals cut corners to save money, and fail to take seriously the public health risk posed by dangerous contaminants like asbestos, the entire community is harmed, but the harm falls disproportionately on marginalized and disadvantaged members of our community who are more likely to be affected and less likely to have access to health care and other services.”
“The defendant was responsible for the safe – and legal – removal of material containing asbestos,” said Acting Special Agent in Charge Benjamin Carr of EPA’s criminal enforcement program in Washington. “The defendant has been sentenced for doing just the opposite and put workers and the general public at risk.”
Senior District Judge Peterson sentenced Mischenko to 3 years of federal probation, during which time he will be supervised by the court and is prohibited from engaging in, performing, or supervising any asbestos-related work as well as other salvage work. Judge Peterson also imposed a $12,060 fine to ensure that Mischenko did not financially profit from his misconduct.
“I commend the exceptional work by SRCAA in uncovering this dangerous situation and quickly working to protect our community, as well as the stellar investigative work by EPA’s Criminal Investigation Division,” continued U.S. Attorney Waldref. “We will continue to work with our state and federal law enforcement partners to protect public health and our precious natural resources.”
This case was investigated by EPA’s Criminal Investigation Division. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene and Special Assistant United States Attorney Gwendolyn Russell prosecuted this case on behalf of the United States.
Case No. 2:20-CR-00175-RMP
Yakima Man Sentenced to 40 Months Imprisonment and Ten Years Supervised Release for Abusive Sexual Contact with a Child in Indian CountryRead the Press Release
Yakima, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Raymond Lenard Holt, age 76 of Yakima, Washington has been sentenced after pleading guilty to Abusive Sexual Contact of a Minor occurring on the Yakama Nation. Chief United States District Judge Stanley A. Bastian imposed a sentence of forty months imprisonment to be followed by ten years of supervised release. In addition, Holt will be required to register as a sex offender.
According to Court documents and information disclosed during the sentencing hearing, between March 5, 2013 and March 4, 2015, Holt sexually touched a minor child under the age of twelve. The unlawful contact occurred directly and through the child’s clothing and while the child was participating in an after-school program. Holt had been a volunteer with the after-school program at the time of the offense.
“As a parent, I am chilled by Mr. Holt’s conduct,” stated United States Attorney Vanessa R. Waldref. “It is especially concerning that this offense occurred on a bus that provided transportation to young children for an after-school program. My office takes child exploitation seriously, whether online or in-person. Children deserve to live in a world that is free from those who would exploit them. My office will continue to prioritize those offenses against our community’s youngest and most vulnerable victims.”
“All children deserve to be safe, especially in an educational environment and around adults they are taught to trust. Mr. Holt’s actions demonstrated the opposite and caused irreversible damage to the victims, their families, and the community,” said Richard A. Collodi, Special Agent in Charge of the FBI Seattle field office. “Together with our partners, the FBI is committed to protecting Washington state’s youngest residents by holding child predators accountable for the harm they cause.”
This case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Michael Murphy, Assistant U.S. Attorney for the Eastern District of Washington.
1:22-CR-2060-SAB
Pasco Man Sentenced to 15 Years for Drug TraffickingRead the Press Release
Spokane, Washington – United States District Judge Thomas O. Rice sentenced Tustuji Matu Wakauwn, 43, of Pasco, Washington, to 15 years in federal prison for possession of methamphetamine with intent to distribute and possession of a firearm by a felon. Judge Rice also ordered Wakauwn to serve ten years of supervised release following his release from prison. Wakauwn pleaded guilty to the offenses on June 8, 2022. He has been in federal custody since his arrest on October 7, 2021.
According to information presented at Mirabal’s change of plea and sentencing hearings, on October 7, 2021, members of a DEA task force served a search warrant on a residence located on 10th Avenue in Spokane. Wakauwn arrived at the residence during the execution of the warrant. During a pat-down search, officers located a loaded 9mm handgun in a bag carried by Wakauwn. Wakauwn was prohibited from possessing firearms based on a prior federal conviction for drug trafficking and was still on federal supervision at the time. A later search of his bag revealed that it contained 420 grams of pure methamphetamine along with fentanyl, cocaine, and other evidence of drug trafficking.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, praised the investigative team for their quick work in disarming Wakauwn and interdicting the methamphetamine and other substances that he was preparing to deliver. U.S. Attorney Waldref stated, “Our U.S. Probation Office offers significant rehabilitative services to person while on supervised release and these services play an important role in protecting our communities and in restoring persons convicted of federal crimes to productive roles in society.” She continued, “Because of this, it is especially important to deter the commission of serious crimes by people on federal supervision. The sentence imposed in this case, which is a 15-year mandatory minimum penalty, sends a strong message about the importance of enforcing serious violations of law committed by persons while on supervision.”
This case was investigated by Spokane Resident Office of the DEA, with significant assistance from the DEA Coeur d’Alene Post of Duty and the Idaho State Police. The case was prosecuted by Timothy J. Ohms Assistant United States Attorneys for the Eastern District of Washington.
2:21-CR-00157-TOR
Repeat Domestic Abuser Sentenced to 51 Months in Federal Prison for Firearm OffenseRead the Press Release
Spokane, Washington – Senior United States District Judge Rosanna Malouf Peterson sentenced Frederick Terrell, age 43, of Spokane, Washington, to 51 months in federal prison after Terrell pled guilty on December 6, 2022, to being a Felon in Possession of a Firearm. Terrell will also serve three years of supervised release after his release from confinement.
According to court documents, on April 8, 2022, Terrell visited a shooting range in Spokane, Washington and recorded multiple videos of himself firing a pistol. Terrell then texted to his intimate partner three videos that showed him shooting the pistol. This former intimate partner became concerned for her safety and disclosed the videos to Terrell’s Washington State Department of Corrections Community Corrections Officer. Terrell was prohibited from possessing firearms due to multiple prior felony convictions. Further, Terrell has at least seven prior convictions arising from domestic violence assaults.
United States Attorney Vanessa R. Waldref, who is the Chief Law Enforcement Officer in the Eastern District of Washington, stated, “Unlawful possession of firearms by domestic violence abusers is too often deadly for victims of intimate partner violence, and lethal for law enforcement officers responding to emergency calls.”
This case is the first sentencing to result from the Eastern District of Washington’s Safe Homes, Safe Community initiative in Spokane, which was designed to help communities implement promising practices to protect domestic violence survivors by preventing abusers from having unlawful access to firearms in situations that are already dangerous for survivors.
US Attorney Waldref further emphasized that, “Our district has seen a pattern in our cases, that individuals involved in violent crime also have a history of domestic violence or have grown up in homes plagued by violence. Safe Homes, Safe Community addresses victim safety, law enforcement safety and community safety. By partnering with Federal, State, Local, and Tribal law enforcement, we can make important strides toward keeping firearms out of the hands of domestic abusers and thereby keep our communities and neighborhoods safe and strong.”
“Mr. Terrell knew that he was prohibited from possessing firearms because of his multiple prior felony convictions, but chose to possess a firearm anyway,” said ATF Seattle Special Agent in Charge Jonathan T. McPherson. “And to further his illegal behavior, his recording of himself firing a pistol and sending it to his former intimate partner just exacerbated his actions. Hopefully this sentence will give him the opportunity to reflect on his actions and change his ways.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Spokane Police Department, and the Washington State Department of Corrections. This case was prosecuted by Michael J. Ellis, Assistant United States Attorney for the Eastern District of Washington, and Michael L. Vander Giessen, Special Assistant United States Attorney for the Eastern District of Washington.
2:22-cr-00138-RMP
Othello Man Sentenced to 168 Months in Federal Prison for Firearm Offenses Related to the Homicide of a Four-Year-Old ChildRead the Press Release
Spokane, Washington – Senior United States District Judge William Fremming Nielsen sentenced Felipe Tapia-Perez, age 29, of Othello, Washington, to 168 months in federal prison after Tapia-Perez pled guilty on October 27, 2022, to being an Unlawful Alien in Possession of a Firearm and Possession of a Stolen Firearm. Judge Nielsen ordered that Tapia-Perez’s federal sentence be served concurrently to an 86-month sentence for manslaughter in the first degree imposed by the Adams County, Washington, Superior Court. After his release from confinement, Tapia-Perez will also serve three years of supervised release.
According to court documents, on February 24, 2021, eleven firearms were stolen during a residential burglary in Spokane County, Washington. At least one of the stolen firearms was purchased by Tapia-Perez shortly thereafter. On February 27, 2021, Tapia-Perez was involved in a domestic dispute with his intimate partner in a vehicle parked outside her residence in Othello, Washington. Tapia-Perez was barred from contacting his intimate partner due to a domestic violence protective order. During the argument Tapia-Perez was holding the stolen firearm. As Tapia-Perez’s four-year-old child was waiting outside the front passenger door window, the pistol discharged, and the bullet struck the child in the head. The child was driven to the Othello Community Hospital where the child passed away. Due to his lack of lawful immigration status, Tapia-Perez was prohibited from possessing firearms within the United States.
In announcing today’s sentence, Senior Judge Nielsen expressed the seriousness of this tragic case directly to Tapia-Perez: “You should not have had a firearm. The firearm was loaded. You were in an argument with a woman you are prohibited by a no contact order from being with, but you were with her anyway. You were waiving a firearm around, and it resulted in tragedy. The tragedy could not have been worse.”
After Tapia-Perez was sentenced, United States Attorney Vanessa R. Waldref stated, “Through the Eastern District of Washington’s Safe Homes, Safe Community Initiative, we are hoping to stop another incident like this from occurring.”
“This is a significant sentence and one that is well deserved by Mr. Tapia-Perez,” said ATF Seattle Special Agent in Charge Jonathan T. McPherson. “He knew he shouldn’t have had firearms to begin with, let alone a stolen firearm, but the resulting horrific loss of his child for something so senseless makes this even more than tragic.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Othello Police Department, the Moses Lake Police Department, the Spokane County Sheriff’s Office, and the Washington State Patrol. This case was prosecuted by Michael J. Ellis, Assistant United States Attorney for the Eastern District of Washington.
2:21-cr-00047-WFN
Spokane Man Sentenced to 20 Years in Prison for Producing Child PornographyRead the Press Release
Spokane, WA – Earlier today, Senior United States District Judge Wm. Fremming Nielsen sentenced Jaiden Gyvan Petersen, age 24, of Spokane, Washington, to 240 months in federal prison today for two counts of Production of Child Pornography (240 months on each count to be served concurrently). At the conclusion of his prison term, Petersen will spend the rest of his life on federal supervision. Senior Judge Nielsen ordered restitution to the victims of Petersen’s offenses in the amount of $23,400. Petersen had entered a guilty plea to two counts of Production of Child Pornography on December 8, 2022.
This case stemmed from a CyberTip or a notice to the National Center for Missing and Exploited Children (NCMEC) reporting the online exploitation of children. The FBI received the CyberTip, which originated from Snapchat, indicating child pornography had traveled across Snapchat’s servers from Petersen’s Snapchat account.
Petersen was interviewed by law enforcement and admitted the Snapchat account in question was his. He further admitted he had been receiving and distributing child pornography for years.
Law enforcement obtained a federal search warrant and searched serval of Petersen’s electronic devices. All of these devices were reviewed forensically. During the review, the FBI found at total of over 1,000 child pornography images and 10 child pornography videos. Three images were of a local production victim — i.e., a victim of a separate defendant also prosecuted in the Eastern District of Washington — that were traded directly with Petersen. Other illicit images in Petersen’s possession included urination and child bondage.
During the investigation, the FBI also located child pornography images Petersen had produced himself. Specifically, Petersen produced child pornography with a six-year old child to whom he had access when Petersen was himself was 17-years old. Petersen later distributed these images after he became an adult. Because Petersen produced those images when he was 17 years old, the Spokane County Prosecuting Attorney is prosecuting the case pertaining to this first victim.
As an adult, Petersen produced additional child pornography of two other children. The children were 13 years and 14 years old respectively when the production occurred. The older child was a person Petersen knew personally, and the younger child was a person Petersen met on Xbox Live. Petersen asked both victims to produce very specific images of child pornography and to send these materials to him, often through Snapchat.
At today’s sentencing, Senior Judge Nielsen noted the seriousness of the misconduct and stated, “Your conduct will have an adverse effect psychologically on the lives of your victims.” Judge Nielsen also told Petersen that the victims he selected were young and vulnerable, “so not only were they victims, but their family members are victimized also as a result” of Petersen’s actions.
“This case unfortunately serves as a stark reminder of the need to educate children, even young teenagers, of the dangers that lurk online,” stated U.S. Attorney Waldref. “Our office prioritizes these offenses against our community’s youngest and most vulnerable and will continue to aggressively prosecute those who harm children.”
“For years now, Mr. Petersen has shown a willingness to exploit children.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “Not only did he receive and distribute disturbing images, he produced pornographic images with child victims he knew personally. This case demonstrates the commitment of the FBI and our partners to protect children from people like Mr. Petersen, who seek to harm and exploit them.”
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.”
The federal case was investigated by the Spokane Office of the Federal Bureau of Investigation. This case was prosecuted by Alison L. Gregoire, Assistant United States Attorney for the Eastern District of Washington. Hannah Sterns, Senior Deputy Prosecuting Attorney with the Spokane County Prosecuting Attorney’s Office, will now take custody of Mr. Petersen to complete the prosecution pertaining to the youngest production victim.
2:20-CR-00146-WFN
Coeur d’Alene Physician Indicted for Participating in Telemarketing Medicare Fraud ConspiracyRead the Press Release
Spokane and Yakima, Washington – Today, Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced that a grand jury returned an Indictment charging David Antonio Becerril, M.D., age 67, of Coeur d’Alene, Idaho, and formerly of Selah, Washington, with sixteen counts of conspiracy, fraud, and false statements in connection with Dr. Becerril’s participation in a telemarketing health care fraud scheme.
According to the Indictment returned today, between February 2018 and September 2019, Dr. Becerril, a licensed Washington physician, participated in a scheme and conspiracy to obtain millions of dollars by falsely billing Medicare for medically-unnecessary genetic tests and durable medical equipment, including back, knee, shoulder, and ankle braces. The Indictment alleges that Dr. Becerril signed false and fraudulent orders for genetic tests and braces for elderly Medicare beneficiaries that Dr. Becerril was not treating, and with whom he never spoke or interacted. The Indictment alleges that, instead, telemarketers associated with a company known as Real Time Physicians, LLC (Real Time) contacted the elderly Medicare beneficiaries and obtained their personal information and beneficiary numbers. The Indictment alleges that Dr. Becerril, using an internet portal provided by Real Time, placed false and fraudulent orders for braces and genetic tests for the beneficiaries, signing orders and other documents prepared by Real Time that contained false medical information and made it appear that he was treating the beneficiaries. According to the Indictment, Real Time then sold the orders to genetic testing labs and durable medical equipment companies, who then billed Medicare, sharing the proceeds with Real Time. The Indictment alleges that Real Time paid Dr. Becerril a $20 kickback for each beneficiary for which he placed a Medicare order.
According to the Indictment, Dr. Becerril reviewed these orders for as little as 11 seconds before signing them and falsely attesting to their medical necessity, and never once declined to sign an order. The Indictment alleges that Medicare was billed $4.1 million for fraudulent orders signed by Dr. Becerril, who never once spoke to, treated, or interacted with a patient, and paid out more than $1.5 million before the fraud was uncovered.
In June 2022, the Department of Justice announced that Marc Sporn, 59, of Delray Beach, Florida, the former owner of Real Time and other similar companies, was sentenced to 14 years in federal prison for his role in the conspiracy to fraudulently bill Medicare.
“For far too long, elderly members of our communities have faced abuse, neglect and exploitation,” stated U.S. Attorney Waldref. “Studies show that one in ten elders report experiencing elder mistreatment each year. We take these crimes seriously, and our office is committed to investigating and prosecuting financial fraud scams, especially those that impact elderly members of our community.”
The charges against Becerril carry maximum sentences of up to 20 years in federal prison. Special Assistant United States Attorney Allie S. Jensen and Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene are prosecuting the case on behalf of the United States.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States v. Becerril, 1:23-cr-02029-SAB
United States Attorney Vanessa Waldref Administers the Oath of Office to Three Women Selected to Serve as Federal Prosecutors in Eastern WashingtonRead the Press Release
Spokane and Richland, WA – United States Attorney Vanessa R. Waldref announced today that three women – Laurel J. Holland, Frieda K. Zimmerman, and Allie S. Jensen – were sworn in as federal prosecutors for the United States Attorney’s Office for the Eastern District of Washington. Holland, Zimmerman, and Jensen will represent the United States of America in criminal and civil cases prosecuted in federal court. Holland and Zimmerman will serve as Assistant United States Attorneys (AUSAs), and Jensen will serve as a Special Assistant United States Attorney (SAUSA).
AUSA Holland is the first ever federal prosecutor appointed to serve fulltime in the newly staffed U.S. Attorney’s Office in Richland, Washington. AUSA Zimmerman and SAUSA Jensen will serve out of the main office in Spokane.
After administering the oath of office, U.S. Attorney Vanessa R. Waldref stated, “Today, each of these incredible women affirmed their commitment to execute faithfully their duties to serve and defend the Constitution of the United States. Each brings a wealth of experience, talent, and a strong commitment to public service.” U.S. Attorney Waldref continued,” We know from experience that these three women are exceptional attorneys and prosecutors. They are dedicated to building safer and stronger communities for everyone in Eastern Washington.”
AUSA Holland will serve in the Criminal Division, which handles all manner of federal criminal cases on behalf of the United States. Holland previously served as a Deputy Prosecuting Attorney for Benton County from October 2009 through October 2015 and again from January 2019 through May 2023. In between, Holland served as an Assistant United States Attorney in Yakima, Washington from 2015 through 2018. From April 2022 until now, Holland served as a SAUSA, handling cases in both state and federal court. Throughout her career, Holland has been recognized for her work prosecuting cases involving the exploitation of young children.
AUSA Zimmerman, another member of the Office’s Criminal Division, will handle a variety of cases ranging from narcotics trafficking and illegal firearms possession to fraud and public corruption. Earlier this year, Zimmerman was honored by Attorney General Merrick Garland for her work at the Department of Energy Office of Inspector General. As a SAUSA for DOE, Zimmerman has been recognized as an expert in the areas of white-collar crime, False Claims Act cases, health care fraud, civil rights, and COVID-19 fraud. Prior to her federal service, Zimmerman served as an Assistant Attorney General for the Washington State Office of the Attorney General and worked at a local law firm in Spokane.
SAUSA Jensen will handle white collar fraud for both the Criminal and Civil Divisions of the U.S. Attorney’s Office. She graduated from the Georgetown University Law Center in 2022, and later this year, she will begin a clerkship for the Honorable Zia M. Faruqui, who serves as a United States Magistrate Judge for the United States District Court for the District of Columbia. Prior to law school, Jensen was an elementary school teacher for the District of Columbia Public Schools in Washington D.C.
With today’s announcement, the Tri-Cities now has, for the first time ever, a staffed U.S. Attorney’s Office. U.S. Attorney Waldref stated, “Laurel Holland’s appointment as an Assistant United States Attorney marks a significant milestone for the Eastern District of Washington. When I became the United States Attorney a little more than a year ago, I made a commitment to open a staffed branch office in the Tri-cities, and we have worked tirelessly to make this happen. Today, we officially have fulfilled that promise.” She continued, “Our expansion in the Tri-Cities area is just getting started. We anticipate additional growth in the weeks, months, and years to come.”
U.S. Attorney Vanessa R. Waldref (center) with, from left to right, SAUSA Allie S. Jensen, AUSA Frieda K. Zimmerman, AUSA Laurel J. Holland, and Criminal Chief Alison Gregoire
Armed Drug Dealer Sentenced to Eight Years in Federal PrisonRead the Press Release
Spokane, WA – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Joseph William Baker, age 28, of Airway Heights, Washington, was sentenced to 96 months in federal prison by Senior District Court Judge Wm. Fremming Nielsen. Baker was convicted of Possession with Intent to Distribute 5 Grams of Actual (Pure) Methamphetamine, in violation of 21 U.S.C. § 841(a)(1), (b)(1)(B)(viii), stemming from a traffic stop on November 22, 2021.
According to information disclosed during court proceedings, on November 22, 2021, the Whitman County Sheriff’s Office (“WCSO”) conducted a traffic stop on a vehicle driven by Baker in the Colfax, Washington area. Upon contact with WCSO deputies, Baker appeared extremely nervous and was shaking uncontrollably. He was unable to produce a driver’s license and advised the deputy that his driver’s license was suspended. Baker was asked to get out of his car, and in doing so, the deputy noticed a bag of heroin on the floor of the vehicle. A subsequent search of Baker’s person revealed methamphetamine in his pocket as well as just over $800 in U.S. Currency. Baker admitted the money was from drug sales and that there was a loaded handgun in his car that may have been stolen.
A state search warrant was obtained for Baker’s vehicle, and the WCSO located over 100 fentanyl-laced pills, approximately two ounces of methamphetamine, two ounces of heroin, two working digital scales with drug residue on them, and a loaded Smith & Wesson Bodyguard .380 ACP caliber semi-automatic firearm. A record check on the firearm, and subsequent witness interviews, revealed the firearm was stolen from the Spokane area about a week prior to the traffic stop. After Baker’s federal indictment, he was released to attend drug treatment. After about one week in treatment, Baker left, absconded from supervision, and was a fugitive for close to seven months before being located and rearrested.
During the sentencing hearing, Judge Nielsen noted that drug trafficking is a very serious activity that harms the community. The Court explained that Baker’s activities fed the addictions of others and created additional addicts. Judge Nielsen further noted that Baker engaged in this dangerous conduct notwithstanding multiple prior felony convictions and a history of assaultive behavior. As Judge Nielsen put it, Baker had “thumb[ed] his nose at the system,” by failing to appear for his criminal cases on at least twelve separate occasions.
“I’m grateful for the professionalism and dedication of the federal and state law enforcement team, who work together to keep our communities safe,” stated U.S. Attorney Waldref. “Mr. Baker brought dangerous drugs into our community and possessed stolen firearms that put our neighborhood at risk. Today’s sentence reaffirms our Office’s commitment to prevent violence and holding individuals accountable for their crimes.”
Whitman County Sheriff Brett Myers stated, “I could not be more pleased with the outcome of this case and the cooperation we received from our federal partners. The Whitman County Sheriff’s Office will continue to pursue every avenue we can to keep our communities, streets and neighborhoods safe from those who intend to violate the law and traffic in dangerous and deadly narcotics.” He continued, “The public expects its law enforcement agencies to protect and serve. In order to do that, we must also hold people accountable. Todays’ sentence demonstrates that in Whitman County and Eastern Washington accountability is the rule, not the exception.”
“Mr. Baker received many opportunities to bring his conduct in line with the law, but repeatedly chose not to do so,” said ATF Seattle Special Agent in Charge Jonathan T. McPherson. “Our communities are safer when we remove armed drug dealers from our streets for an extended period of time.”
This case was investigated by the Whitman County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms & Explosives. This case was prosecuted by Assistant United States Attorney Caitlin Baunsgard.
Case No.: 2:22-CR-024-WFN
Spokane Resident Pleads Guilty to Fraudulently Obtaining More than $360,000 in COVID- 19 Relief FundingRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Marisa Beck, age 40, of Spokane, pled guilty to fraudulently obtaining more than $360,000 in COVID-19 relief funding intended for endangered small businesses. United States District Judge Mary K. Dimke accepted Ms. Beck’s guilty plea and set sentencing for September 27, 2023, at 11 a.m., in Spokane. This conviction is the eighth felony conviction announced by the Eastern Washington COVID-19 Fraud Strike Force, which launched in 2022.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided forgivable loans to eligible small businesses to retain jobs and maintain payroll during the pandemic. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low-interest bridge funding for small businesses placed at risk during the pandemic.
“COVID-19 relief programs quickly ran out of money due to the number of businesses that requested funding, meaning that struggling, deserving small businesses were not able to obtain critically needed funding to keep their businesses afloat during the shutdowns and disruptions caused by the COVID pandemic,” said U.S. Attorney Waldref. “We created the Eastern Washington COVID-19 Fraud Strike Force because it is critical to the strength and safety of our communities that we all work together to combat pandemic-related fraud and bring much-needed accountability to these programs. The Strike Force works to ensure that limited resources are used to protect our local small businesses and the critical jobs and services that they provide for the community.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the U.S. Attorney’s Office, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations (HSI), U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Internal Revenue Service, Department of Energy OIG, Department of Homeland Security (DHS) OIG, Department of Labor OIG, Air Force Office of Special Investigations, and others. Cases investigated and prosecuted by the Strike Force have resulted in numerous indictments and convictions, and have recovered millions of dollars in penalties and restitution for the public.
In the plea agreement accepted by the court, and in information disclosed during court proceedings, Ms. Beck admitted to fraudulently obtaining $368,829 in PPP and EIDL funding for three purported businesses: Cyra Solar LLC, Beck N’ Call Landscape, LLC, and Value in People Consulting, LLC. Ms. Beck admitted that these entities were not eligible for CARES Act funding because Beck N’ Call Landscape and Cyra Solar were not active businesses as of February 2020, and because she submitted false and fraudulent payroll, revenue, and other information associated with the three purported businesses in order to fraudulently obtain CARES Act funding.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially in this case by VA OIG,” said U.S. Attorney Waldref. “We will continue to work with our law enforcement partners to strengthen our communities by protecting our small and local businesses.”
The charges to which Beck pled carries a maximum sentence of up to 5 years in federal prison. The cases were investigated by the Eastern Washington COVID Fraud Strike Force, and in particular by the U.S. Department of Veterans Affairs Office of Inspector General, Spokane Resident Office, with investigative assistance and support from the Federal Bureau of Investigation, Spokane Resident Agency, the Small Business Administration Office of Inspector General, Western Regional Office, and the Internal Revenue Service, Criminal Investigative Division, Seattle Field Office. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene are prosecuting this case on behalf of the United States.
Case No. 2:23-cr-00055-MKD
Spokane Man Sentenced to 17 Years for Receipt of Child Pornography While on Federal SupervisionRead the Press Release
Spokane, WA – On May 30, 2023, U.S. Senior District Court Judge Rossana Malouf Peterson sentenced Christopher Gary Carlson, 50, of Spokane, Washington, to 180 months in federal prison for Receipt of Child Pornography, followed by an additional 24 months in prison for violating a previously imposed term of supervised release. Judge Peterson also ordered Carlson to pay $24,000 in restitution to his victims and to a lifetime of federal supervision upon release from prison.
According to information disclosed in court proceedings, this was Carlson’s third time being sentenced for child pornography crimes. His first conviction was in 2007, for which he was ordered to serve 12 months and a day in a state prison. His second child pornography conviction was in 2014, for which Judge Peterson sentenced Carlson to 10 years in prison and a lifetime of supervised release. Undeterred by these prior terms of incarceration, Carlson used a smartphone to download and view child pornography just a month after his recent release from federal prison. The smartphone was discovered in July 2022, when a U.S. Probation Officer conducted a home visit at Carlson’s residence. When the FBI obtained a federal warrant to search the phone, FBI agents located 198 images and 63 videos of child pornography on Carlson’s device.
“Today’s 17-year sentence sends a powerful reminder to Mr. Carlson and others like him: Crimes that exploit the most vulnerable among us cannot, and will not, be tolerated,” stated United States Attorney Vanessa R. Waldref. “Time and again, Mr. Carlson returned to the internet to view and collect depictions of a child’s most horrific experiences. Yet, just as swiftly as Mr. Carlson collected these images and videos depicting this incredible harm, U.S. Probation and the FBI responded, preventing Mr. Carlson from victimizing hundreds if not thousands more minor children.”
United States Attorney Waldref continued, “As a result of the seamless partnership between the FBI and the United States Attorney’s Office, Mr. Carlson was again brought to justice, and our communities are safer and stronger, especially for young children. I’m especially grateful for the incredible work by Assistant United States Attorney Ann Wick. Cases such as this demonstrate AUSA Wick’s relentless dedication to pursuing justice.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation and prosecuted by Ann T. Wick, Assistant United States Attorney for the Eastern District of Washington.
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2:13-CR-135-RMP
United States Attorney’s Office Awarded Several New Prosecutor and Support-Staff Positions, Including Additional Resources to Prosecute Violent Crime in Indian CountryRead the Press Release
Spokane, WA: U.S. Attorney Vanessa R. Waldref, the chief federal law enforcement officer for the Eastern District of Washington, announced today that her office has received authorization and funding from the Department of Justice to hire seven new full-time Assistant United States Attorneys (AUSAs) and two full-time support staff. The new positions – which will be spread throughout the District’s three offices in Spokane, Yakima, and Richland – will be dedicated to combating terrorism, fraud, drug trafficking, and violent crime, including in Indian Country. The U.S. Department of Justice allocated these positions to U.S. Attorney’s Offices throughout the country from funding approved in last year’s federal budget.
“We are excited for these additional resources to further our mission to build safer and stronger communities in Eastern Washington,” U.S. Attorney Waldref said. “In the next month, we will have, for the first time ever, full-time AUSAs serving in our Richland branch office. With the addition of the nine new positions announced today, we will be able to further enhance our efforts to protect neighborhoods, families, and communities in the Tri-Cities, Spokane, Yakima, and throughout our beautiful district.”
U.S. Attorney Waldref continued, “With these new positions, we will have forty AUSAs serving in the Eastern District of Washington. This means that our team – which includes attorneys, critical support positions, administrative officers, victim witness advocates, forfeiture personnel, etc. – will grow to approximately ninety civil servants dedicated to DOJ’s mission to seek justice for all.”
“We’re especially grateful to have additional resources devoted to the important work we do in Indian Country, where we prosecute major crimes arising on the District’s four reservations – the Yakama Nation, the Confederated Tribes of the Colville Reservation, the Spokane Tribe, and the Kalispel Tribe. In fact, one of the AUSA positions is specifically devoted to cases involving Missing and Murdered Indigenous People. We recognize that indigenous communities suffer violence, especially domestic violence, at much higher rates than many other demographics. We are committed to addressing violent crimes in Indian country and elsewhere and holding perpetrators accountable.”
The U.S. Attorney’s Office for the Eastern District of Washington currently has more than thirty AUSAs serving in its Criminal and Civil Divisions in Spokane, Yakima, and Richland. The hiring process for the new positions is already underway and additional listings will be posted in the coming weeks. All of the Office’s openings will be made available at http://www.usajobs.gov.
U.S. Marshals Locate 225 Missing Children in 16 Locations Across the United States During Operation We Will Find YouRead the Press Release
Spokane, WA – Today the United States Attorney’s Office and the U.S. Marshals Service (USMS) announced that the USMS, along with the National Center for Missing and Exploited Children (NCMEC), working with several state and local agencies in 16 federal judicial districts, led a 10-week national operation resulting in the recovery or safe location of 225 endangered missing children.
Operation We Will Find You is one of the first nationwide missing children operations focused specifically on geographical areas with high clusters of critically missing children. In total, the operation resulted in the recovery of 169 children and the safe location of 56 more children. During the operation, the USMS referred 28 cases to law enforcement agencies for further investigation of alleged crimes such as drugs and weapons possession, sex trafficking, and failures to register as a sex offender.
During the operation, 42 children were located outside the city where they went missing, and 10 were found outside of the United States. The youngest child recovered was just 6 months old. While approximately 85 percent of the cases involved endangered runaways, approximately 9 percent involved family abductions. Approximately 40 of the cases involved allegations of reporting sex trafficking.Operation We Will Find You also had a direct impact on the Eastern District of Washington. It total, the operation investigated more than 20 cases arising from our District. These cases involved allegations of endangered missing children, runaways, and children abducted by non-custodial parents. Of these, 16 children were recovered. Additionally, the USMS arrested a Top 15 Most Wanted couple, who fled to Mexico from the Eastern District of Washington with their children. Each of the recovered children was safely reunited with family in Washington State.
“I commend law enforcement for locating so many missing children from our district and across the country,” stated U.S. Attorney Vanessa Waldref. “I am grateful for the leadership of the U.S. Marshals Service and their dedication to apprehending fugitives and reuniting the most vulnerable among us with their families. Our communities are safer and stronger as a result of the great service demonstrated through the joint efforts by the U.S. Marshals and their Federal, State, Local, and Tribal partners.”
United States Marshal Craig Thayer stated, “Reuniting missing children with loved ones and connecting them with appropriate services is a mission in which the United States Marshals Service takes great pride. The specialized skillset that the U.S. Marshals Service provides to our Local, State, and Tribal partners in locating and recovering missing, and oftentimes exploited children, provides these children a second chance for a better childhood by being reunited with their loved ones and connected with other necessary help.”
A number of Federal, State, Local, and Tribal agencies participated with the USMS in “Operation We Will Find You.” These agencies included the Adams County Sheriff’s Office, Bureau of Indian Affairs, Confederated Tribes Bands of Yakama Nation Police Department, Ephrata Police Department, Franklin County Sheriff’s Office, Grant County Sheriff’s Office, Moses Lake Police Department, Othello Police Department, U.S. Border Patrol, Washington Department of Child Youth and Families, Washington Department of Corrections and Yakima Police Department.
Spokane Woman Sentenced to a Year in Federal for Failing to File Federal Income Tax ReturnsRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Rhonda Sue Ackerman, age 54 of Spokane, Washington, was sentenced after having pleaded guilty to two counts of willfully failing to file her 2015 and 2016 federal income tax returns. Senior United States District Judge Rosanna Malouf Peterson sentenced Ackerman to a 12-month term of imprisonment, to be followed by a one-year term of court supervision after she is released from federal prison. Senior Judge Peterson ordered Ackerman’s federal prison term to run consecutive to the to the twelve-month prison term imposed by the Spokane County Superior Court on January 4, 2023, following her first-degree theft conviction in State of Washington v. Rhonda Sue Ackerman (Case No. 21110632-32) for stealing $1,378,541 in public funds between 2007 and 2016, while she worked at Spokane County Department of Risk Management (“SCDRM”). Senior Judge Peterson also ordered Ackerman to pay the IRS $96,363 in restitution.
According to court documents, Ackerman abused her position as a liability claims technician at SCDRM. Between 2014 and 2016, she embezzled $440,315.25 and failed to file federal income tax returns reporting her income. Ackerman used her access to risk management software to enrich herself by creating bogus “vendor” and vendor IDs” for nominees (fake third-party claimants). Shen then created and submitted bogus claims vouchers to Spokane County, delivering the bogus vouchers to the auditor’s office for payment, picking up the vouchers and contacting the nominees to cash the checks for her at local banks. As part of the scheme, Ackerman would pay each nominee between $100 and $600 for cashing the checks and keeping the remaining funds for her own personal use and benefit. While Ackerman deposited some of the ill-gotten proceeds into her bank account, a large portion of the cash Ackerman received was spent gambling. At one local casino, Ackerman withdrew approximately $117,000.
“Ackerman willfully disregarded the tax laws and embezzled county funds for her own personal gain. Our tax system depends on the voluntary compliance of honest taxpayers. People who intentionally fail to file tax returns are subject to prosecution. The sentence imposed in this case sends a strong message: A term of imprisonment is a reality for willfully failing to file federal income tax returns,” said U.S. Attorney Waldref.
“Gamblers often tell themselves, ‘It’s only a problem if I’m losing.’ Today’s sentence is confirmation that Ms. Ackerman has indeed lost,” said Special Agent in Charge Adam Jobes, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Ms. Ackerman embezzled hard-earned taxpayer funds and gambled It away. Not satisfied with that, she chose to deliberately disregard tax laws in order to try to evade paying her fair share. This is not acceptable, and IRS:CI will continue to investigate and bring these criminals to justice.”
This case was investigated by the Internal Revenue Service, Criminal Investigation, with the assistance of the Spokane Police Department. This case is being prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.
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Kennewick Man Sentenced to 151 Months for Drug Trafficking in the Tri Cities:Read the Press Release
Richland, Washington – On May 22, 2023, United States District Judge Mary K. Dimke sentenced Jose Oliva, 37, to over 12 years in federal prison after his guilty plea to possession with intent to distribute fentanyl. Oliva also will serve 5 years of federal supervision after he is released from federal custody.
According to information disclosed in court documents and during court proceedings, the DEA Tri-Cities Resident Office in collaboration with Tri-City Metro Drug Task Force identified Oliva as a supplier and part of a drug trafficking organization operating in the Tri-Cities, WA area. Oliva was brokering pound-level quantities of methamphetamine for the organization, which were routinely distributed in the Eastern District of Washington.
In July of 2022, Oliva had agreed to meet a confidential source to deliver a pound of methamphetamine, as well as fentanyl-laced pills. After confirming Oliva’s presence at the arranged meeting location, agents moved in to make the arrest. Oliva immediately fled on foot while in possession of a loaded firearm and distribution quantities of fentanyl-laced pills, which he attempted to discard while in flight from law enforcement. Oliva did not escape and was placed under arrest thereafter.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “Removing dangerous narcotics from our community is critical to protecting our families and building stronger and safer neighborhoods. I am grateful for the joint efforts of state, local, and federal law enforcement to identify Mr. Oliva’s drug trafficking activities and to prevent him from further distributing this poison in our community. I also commend Assistant United States Attorney Stephanie Van Marter for her leadership of federal drug prosecutions in the Tri-Cities that benefit the public safety of Eastern Washington.”
“We are grateful for working with all of our partners in this investigation, our efforts removed an individual from our communities who distributed deadly narcotics and possessed a dangerous firearm,” said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division. “We will continue in any way we can to keep our communities safe and healthy.”
This case was investigated by the DEA Tri-Cities Resident Office, the Tri-City METRO Drug Task Force, United States Border Patrol, Richland Police Department, Kennewick Police Department, Pasco Police Department, West Richland Police Department, and the Benton County Sherriff’s Office. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
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Yakima Resident Sentenced to 15 Months in Federal Prison for COVID-19 Relief FraudRead the Press Release
Yakima, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Karla Padilla, age 49, of Yakima, Washington, was sentenced to 15 months in federal prison for fraudulently obtaining more than $290,000 in COVID-19 relief funds. United States District Judge Mary K. Dimke announced the sentence, the most recent obtained by the COVID-19 Relief Fraud Strike Force Strike Force.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided government-backed funding to small businesses which could be forgiven so long as the proceeds were used for payroll and other eligible expenses. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low interest loans that could be deferred until the conclusion of the pandemic to provide “bridge” funding for small businesses to maintain their operations during shutdowns and other economic circumstances caused by the pandemic. The PPP and EIDL programs have provided billions of dollars in aid, the vast majority of which have not been paid back, including hundreds of millions of dollars disbursed within Eastern Washington.
“COVID-19 relief programs were designed to lift up our community during crisis, and due to the number of people and businesses that requested funding, some deserving small businesses were not able to obtain funding to keep their businesses in operation,” said U.S. Attorney Waldref. “We created the Eastern Washington COVID-19 Fraud Strike Force because combatting pandemic-related fraud and holding those accountable who abused these programs is critical to the strength and safety of our community in Eastern Washington. The Strike Force works to ensure that limited resources are used to protect our local small businesses and the critical jobs and services that they provide for the community. Today’s sentence represents the most significant period of custody imposed in our district for pandemic-related fraud. I am especially grateful to Special Assistant United States Attorney Frieda K. Zimmerman, as well as Assistant United States Attorneys Dan Fruchter, Tyler Tornabene, and Brian Donovan for their work ensuring fraudsters are held accountable for their crimes.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office (USAO) began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the USAO, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations, U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Department of Homeland Security (DHS) OIG, Internal Revenue Service,
Department of Energy OIG, and others.According to court documents and information disclosed during court proceedings, Padilla fraudulently obtained hundreds of thousands of dollars in PPP and EIDL funding for her purported collectible car business, Queen B Collectibles, and for other purported businesses owned by Padilla. As Padilla admitted during court proceedings and in her plea agreement, Queen B Collectibles was not an active business as of February 2020, and therefore was not eligible for any PPP or EIDL funding. As part of her sentence, Padilla will serve 15 months in federal prison and three years of supervised release. The court also sentenced Padilla to pay restitution of $302,145.40, the amount of loss to the United States as the result of the fraud, and an additional fine of $25,000 dollars. Finally, in an addendum to the plea agreement, Padilla agreed to forfeit the proceeds from the sale of a parcel of real property, as the property was derived from proceeds from the fraud.
“This sentence demonstrates that falsifying information to gain access to taxpayer dollars will not be overlooked and wrongdoers will be brought to justice,” said SBA OIG’s Western Region Special Agent in Charge Weston King. “I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially in this case by SBA OIG, TIGTA, and FBI” said U.S. Attorney Waldref. “We will continue to work together with our law enforcement partners to vigorously prosecute those who abuse and misuse COVID-19 relief funding, and to strengthen our communities by protecting our small and local businesses.”
This case was investigated by the Eastern District of Washington COVID-19 Fraud Strike Force and by the SBA OIG, TIGTA, and FBI. Special Assistant United States Attorney Frieda K. Zimmerman and Assistant United States Attorneys Dan Fruchter, Tyler Tornabene, and Brian M. Donovan prosecuted this case on behalf of the United States.
Case No. 1:22-CR-2059-MKD
Spokane Fentanyl and Methamphetamine Distributor Sentenced to 235 Months in Federal PrisonRead the Press Release
SPOKANE, WASHINGTON – Yesterday, May 17, 2023, U.S. District Judge Thomas O. Rice
sentenced Jerami W. Jones, 43, of Spokane, Washington, to 235 months in federal prison for
possession with intent to distribute methamphetamine and fentanyl and for the illegal possession of
multiple firearms. District Judge Rice also ordered Jones to serve five years on federal supervision
after he is released from prison.According to court documents, law enforcement officers assigned to the Federal Bureau of
Investigation Spokane Regional Safe Streets Task Force obtained a search warrant to search property
connected with Jones. At the time of the search, Jones was serving a term of community custody in
Washington state court. Around this time, Jones’s supervising probation officer made arrangements
to meet with Jones. Upon Jones’s arrival, members of the Safe Streets Task Force detained Jones
and conducted a search of his person and vehicle. While searching Jones’s vehicle, the law
enforcement team located approximately 2,200 fentanyl-laced pills and four ounces of heroin.At the same time as the search of Jones’s person, other law enforcement officers executed a search
warrant of Jones’s residence and separate trailer. There, law enforcement located approximately two
pounds of methamphetamine, 7,000 fentanyl pills, and eight firearms. Three of the firearms had
previously been reported as stolen. Law enforcement officers also recovered more than $21,000 in
U.S. currency.United States Attorney Vanessa R. Waldref, the chief law enforcement officer for the Eastern District
of Washington, stated, “Today’s significant sentence demonstrates the breadth and seriousness of
Mr. Jones’s drug trafficking activities. I’m grateful for our incredible law enforcement team, who
devote their lives to protecting our community. I commend our Safe Streets Task Force whose work
combatting organized crime and removing illegal drugs and stolen firearms strengthens our
communities.”“Traffickers like Mr. Jones bring drugs into our towns and cities with no regard to the damage they
do to the citizens who live there.” said Richard A. Collodi, Special Agent in Charge of the FBI’s
Seattle field office. “These are the same citizens the FBI and our partners are sworn to protect. Mr.
Jones’s nearly twenty-year sentence demonstrates the serious consequences of distributing these
poisons into our communities and the repercussions of his continued criminal activity while serving
on state probation.”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 Spokane Police Department.This case was prosecuted by Patrick J. Cashman and Stephanie Van Marter, Assistant United States Attorneys for the Eastern District of Washington.
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Moses Lake Man Sentenced to 140 Months in Federal Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
Spokane, Washington – On May 17, 2023, U.S. District Judge Thomas O. Rice sentenced Irbin Martinez-Santacruz, 30, of Moses Lake, Washington, to 140 months in federal prison for conspiracy to distribute methamphetamine. District Judge Rice also ordered Martinez-Santacruz to serve five years on federal supervision after he is released from prison.
According to court documents, Martinez-Santacruz, a documented gang member, conspired with other gang members to engage in the distribution of methamphetamine to an undercover agent for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). In April 2020, ATF agents initiated an investigation into the illegal activities of the Lil Valley Lokotes, which is a criminal street gang associated with the Surenos. During the investigation, ATF learned that Martinez-Santacruz’s codefendant, Mario Crittenden, was selling large quantities of methamphetamine, which had been supplied by another member of the Lil Valley Lokotes. The agents also learned that several members of the Lil Valley Lokotes were suspected of participating in shooting incidents in the Moses Lake area. During a year-long investigation, Martinez-Santacruz was identified as one of Crittenden’s co-conspirators. Martinez-Santacruz also distributed methamphetamine to the undercover agent on three occasions in the Moses Lake area.
In imposing yesterday’s sentence, District Judge Rice expressed that this was not a single mistake and highlighted the significant nature and seriousness of the conspiracy as well as Martinez-Santacruz’s significant criminal history and role in the offense. District Judge Rice had previously sentenced Mario Crittenden to 132 months imprisonment following his plea of guilty to conspiracy to distribute methamphetamine. Another co-defendant, Cody Flores, previously was sentenced to 140 months of imprisonment following his plea of guilty to conspiracy to distribute methamphetamine. Five other co-defendants’ cases remain pending.
United States Attorney Vanessa R. Waldref commended the joint efforts of law enforcement for the careful investigation and close-working relationship with the U.S. Attorney’s Office: “As a result of the ATF investigation into the Lil Valley Loketes, which are affiliated with the Surenos, our community is a safer place. This organization was responsible for a number of shooting incidents in and around the Moses Lake area. I’m grateful for the excellent work our federal, state, and local law enforcement partners, as well as that of AUSA Pat Cashman, who worked together to bring Mr. Martinez-Santacruz to justice.”
“Today’s sentence demonstrates that criminal activities like these will not be tolerated,” said ATF Seattle Field Division Special Agent in Charge Jonathan T. McPherson. “When you poison our communities, ATF and our law enforcement partners will be there to stop you.”
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 Agency of the ATF, the FBI Spokane Regional Safe Streets Task Force, Moses Lake Police Department, and Grant County Interagency Narcotics Enforcement Team. This case was prosecuted by Patrick J. Cashman, Assistant United States Attorney for the Eastern District of Washington.
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U.S. Attorney Waldref Recognizes Police Week in Eastern WashingtonRead the Press Release
Spokane, Washington: In honor of National Police Week, Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, recognized the service and sacrifice of federal, state, local, and Tribal law enforcement. This year, the week is observed from May 14 through May 20, 2023.
At the National Peace Officers’ Memorial Service, which was held earlier today at the Nation’s Capital, United States Attorney General Merrick Garland stated, “We pay tribute to the law enforcement officers who sacrificed their lives in service to our country, we also honor the ongoing sacrifices by those they love the most.” The Attorney General continued, “These are individuals who answered the call to serve from a wide variety of backgrounds bringing different perspectives and different experiences to their work. . . . Each made the same promise, to serve and protect their communities. They promised that when a call for help came, they would answer. They promised that when a crisis arose in their community, they would respond. They promised that nothing, no danger, no threat, would stop them from showing up when they were needed the most. Each of the individuals we honor today kept that promise.”
U.S. Attorney Vanessa R. Waldref joined the Attorney General in thanking law enforcement. “Today and throughout this week, we thank our federal, state, local and Tribal law enforcement officers for their unrelenting commitment to protect us all and keep the communities of Eastern Washington safe and strong,” said U.S. Attorney Waldref. “These courageous men and women routinely put their lives on the line for ours, and we are extremely grateful for their sacrifice. We all owe them our deepest gratitude and respect – and not just for this week alone, but each and every day that these brave individuals serve our communities.”
President John F. Kennedy issued the first proclamation in 1962 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. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), 332 law enforcement officers died nationwide in the line of duty in 2022. In the State of Washington, five officers died last year in the line of duty.
In proclaiming May 14 through May 20, 2023, as Police Week, President Biden “call[ed] upon all Americans to observe these events with appropriate ceremonies and activities and salute our Nation’s brave law enforcement officers and remember their peace officer brothers and sisters who have given their last full measure of devotion in the line of duty.” President Biden further “encourage[d] all Americans to display the flag at half-staff from their homes and businesses on that day.”
Additional information and resources regarding this year’s Police Week is available at: https://nleomf.org/memorial/programs/national-police-week-2023/.
Spokane Resident Sentenced to 6 Months for COVID-19 Relief FraudRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Natasha Ann Opsal, 41, of Spokane, Washington, was sentenced to 6 months in federal prison for fraudulently obtaining more than $50,000 in COVID-19 relief funds. United States District Judge Thomas Rice announced the sentence, the most recent obtained by the COVID-19 Relief Fraud Strike Force.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided government-backed funding to small businesses which could be forgiven so long as the proceeds were used for payroll and other eligible expenses. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low interest loans that could be deferred until the conclusion of the pandemic to provide “bridge” funding for small businesses to maintain their operations during shutdowns and other economic circumstances caused by the pandemic. The PPP and EIDL programs have provided billions of dollars in aid, the vast majority of which have not been paid back, including hundreds of millions of dollars disbursed within Eastern Washington.
“COVID-19 relief programs were designed to lift up our community during crisis, and due to the number of people and businesses that requested funding, some deserving small businesses were not able to obtain funding to keep their businesses in operation,” said U.S. Attorney Waldref. “We created the Strike Force to ensure that those who misused COVID-19 relief funding are held accountable and to protect the strength and safety of our vital small business community.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office (USAO) began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the USAO, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations, U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Department of Homeland Security (DHS) OIG, Internal Revenue Service,
Department of Energy OIG, and others.According to court documents and information disclosed during court proceedings, Opsal fraudulently obtained over $50,000 in COVID-19 relief funding through three PPP loans she obtained in the spring of 2021 for a purported car detailing business. In February of 2023, Opsal pled guilty to submitting false and fraudulent claims to the United States, and admitted to making false and fraudulent representations about the purported business in order to obtain COVID-19 funding. As part of the sentence, Opsal will serve 6 months in federal prison and be supervised by the Court for three years following her release, among other conditions, and will be required to maintain employment and to make full restitution of the funds that she fraudulently obtained.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially in this case by SBA OIG, U.S. Secret Service, and DHS OIG” said U.S. Attorney Waldref. “We will continue to work together with our law enforcement partners to vigorously prosecute those who abuse and misuse COVID-19 relief funding, and to strengthen our communities by protecting our small and local businesses.”
DHS Inspector General, Dr. Joseph V. Cuffari, said, “I appreciate the continued partnership between DHS OIG and the Eastern District of Washington’s COVID Fraud Strike
Force. Defrauding the U.S. Government’s programs for personal gain is unconscionable. This sentencing should serve as a deterrent to individuals intent on fleecing our COVID pandemic relief programs.”“Individuals making false statements to fraudulently obtain pandemic funds will face justice,” said SBA OIG’s Western Region Special Agent in Charge Weston King. “Our Office will remain relentless in the pursuit of fraudsters who seek to exploit SBA’s vital economic programs. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and commitment to seeing justice served.”
This case was investigated by the Eastern District of Washington COVID-19 Fraud Strike Force and by the SBA OIG, U.S. Secret Service, and DHS OIG. Special Assistant United States Attorney Frieda K. Zimmerman and Assistant United States Attorney Dan Fruchter prosecuted this case on behalf of the United States.
Case No. 2:22-CR-53-TOR
United States Attorney’s Office Joins in Recognizing Missing or Murdered Indigenous Persons Awareness DayRead the Press Release
Spokane, Washington – U.S. Attorney Vanessa R. Waldref announced today that she will join with Federal, State, Local, and Tribal leaders in recognizing May 5, 2023, as Missing or Murdered Indigenous Persons Awareness Day. In doing so, U.S. Attorney Waldref called on all citizens and residents in Eastern Washington to support Tribal governments and Tribal communities’ efforts to increase awareness of missing or murdered Indigenous People.
The U.S. Attorney’s Office for the Eastern District of Washington fully supports efforts to reduce violence and bring awareness to this important issue. “Recognizing and honoring missing or murdered Indigenous people is a top priority for the Department of Justice, and the U.S. Attorney’s Office for the Eastern District of Washington,” U.S. Attorney Waldref stated. “It remains unacceptable that Native Americans experience some of the highest rates of violence in the country, a situation that is all the more tragic in light of the generations of trauma already suffered by Indigenous people. We will continue the important work of prosecuting those who perpetrate violence on Tribal land and who victimize those who reside on our District’s four Reservations.”
“The Department of Justice and the U.S. Attorney’s Office will continue to address the causes and symptoms of this difficult problem.” U.S. Attorney Waldref added, “During the past several years, the Department has sought the help and input from Tribal leaders and Tribal communities to develop sustainable protocols to help our communities respond when a tribal member is reported missing. The U.S. Attorney’s Office supports these efforts, and we are fully committed to working closely with Tribal leaders, law enforcement partners, and community stakeholders to further implement these initiatives, as we strive to keep Eastern Washington communities safe and strong for everyone.”
“While each case is unique, what all MMIP cases have in common is the hole left in a community when a member goes missing.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “As the principal law enforcement agency charged with investigating violent crimes on our state’s reservations, I want to stress the importance the FBI places on bringing those who target our indigenous populations to justice.”
“The Office of Justice Services, Missing and Murdered Unit is committed to confronting the Missing and Murdered Indigenous Persons crisis head-on. Relying on strong federal, tribal, state and local partnerships, we are more now than ever able to ensure cases are thoroughly investigated so those responsible for these horrific crimes are brought to justice,” said Justin Hooper, BIA Office of Justice Services Regional Agent in Charge, Missing and Murdered Unit.
If you or someone you know has information about a missing or murdered Indigenous person, please contact the FBI Seattle Field Office by calling (206) 622-0460 or by visiting tips.fbi.gov.
United States Secret Service Seizes More Than $290,000 in Elder Fraud ScamRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today the seizure of $290,399.73 by the U.S. Secret Service in an alleged elder fraud scam.
The seizure arises from an alleged online scam which targeted an elderly couple residing in the Wenatchee area. The alleged perpetrator befriended the couple through “WhatsApp” and claimed to be a 35-year old traveling musician. Over the course of two years, the alleged perpetrator persuaded the couple to send more than $20,000. Then, in February 2023, the alleged perpetrator convinced the couple to do a “cash out refinance” of their residence. The alleged perpetrator told the couple the funds would be used to participate in a real estate investment, with a promise of big investment returns.
The alleged perpetrator was able to induce the couple to obtain the cash out refinance mortgage for their residence, transfer the funds to a title company, and attempted to have the funds sent to the alleged perpetrator’s bank account. However, when one of the victims went to a local Wenatchee title company to complete the transaction, the CEO of the title company became suspicious and contacted law enforcement. The U.S. Secret Service subsequently seized the entirety of the funds, $290,399.73, before the alleged perpetrator was able to access the account. The forfeited property will be returned to the victim through a process known as remission. No criminal charges have been filed at this time related to the seizure.
“Financial fraud schemes targeting the elderly are reprehensible. With our increasing use and dependency on technology, fraudsters have found new ways to target and scam unsuspecting Americans,” said U.S. Attorney Vanessa R. Waldref. “The public can be assured that our office is committed to investigating and prosecuting financial fraud scams, especially those that impact the elderly. We will continue to work diligently with our law enforcement partners to vigorously prosecute those who engage in financial fraud, and to strengthen our communities by protecting our elderly and vulnerable citizens.”
“This case represents a significant result in our continuing efforts to combat elder fraud and the victimization of the most vulnerable members of the U.S. public,” said Greg Ligouri, Resident Agent in Charge of the Spokane Office of the U.S. Secret Service. “The U.S. Secret Service is proud to have contributed to this result and will be relentless in protecting American citizens from fraud.”
“I commend the members of the Wenatchee community who took it upon themselves to look out for the elderly and vulnerable and affirmatively reached out law enforcement to protect them from fraud,” said U.S. Attorney Waldref. “I also commend the stellar investigative work and quick intervention by the U.S. Secret Service.”
This case was investigated by the U.S. Secret Service, Spokane Resident Office, and Assistant United States Attorney Brian M. Donovan is prosecuting this case on behalf of the United States.If you or someone you know is age 60 or older and has experienced financial fraud, experienced professionals are standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, can provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available.
More information about the Department’s efforts to help American seniors is available at its Elder Justice Initiative webpage at https://www.justice.gov/elderjustice. For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. The Department of Justice provides information about a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which are available at https://www.ovc.gov.
The allegations set forth herein are merely allegations, and all potential defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Mexican National Sentenced to More than 12 Years for Drug Trafficking in the Tri CitiesRead the Press Release
Richland, Washington – United States District Judge Mary K. Dimke sentenced Jose Mendoza-Ruelas, 38, to 150 months in federal prison after his guilty plea to Conspiracy to Distribute 50 Grams or More of Actual (Pure) Methamphetamine, 400 Grams or More of Fentanyl, and 5 Kilograms or More of Cocaine. Mendoza-Ruelas, who is from Mexico, also will serve 5 years of federal supervision after he is released from federal custody.
According to information disclosed in court documents and proceedings, Mendoza-Ruelas was part of a large drug trafficking organization that involved a legitimate landscaping business used to cover up the organization’s drug trafficking activities. During the course of the investigation, the Drug Enforcement Administration recovered large quantities of methamphetamine, fentanyl, and cash. Mendoza-Ruelas further made statements that the drug trafficking organization would give him 50,000 to 60,000 fentanyl laced pills in addition to large quantities of methamphetamine. Mendoza Ruelas was negotiating a 30 pound methamphetamine delivery when he was taken into custody. Around that time, DEA, in partnership with local law enforcement, executed numerous search warrants to include at the landscaping compound. There, law enforcement recovered over $160,000 in U.S. currency secreted inside a compartment in the wall. Law enforcement also recovered several automatic rifles armed with loaded barrel drums hanging on the wall. This compound was utilized to intake and process large drug shipments for distribution.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “Drug distribution continues to be a scourge in the Tri-Cities and elsewhere.” U.S. Attorney Waldref continued: “I commend the collaborative efforts of state, local, and federal law enforcement to identify Mr. Mendoza-Ruelas’s drug trafficking activities and to prevent him from further distributing this poison in our communities. The Tri-Cities area and Eastern Washington are safer and stronger as a result of today’s sentence.”
Mr. Mendoza-Ruelas will spend a significant amount of time in prison due to the dedication of our state, local and federal partners who continue to work to keep our communities safe, healthy and free of individuals like him,” said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division.
This case was investigated by the DEA Tri-Cities, Border Patrol, the METRO Drug Task Force, Richland Police Department, Kennewick Police Department, Pasco Police Department, and West Richland Police Department. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
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