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Newest first across public DOJ and U.S. Attorney press releases.
Monday 4 March 2024
US Attorney Tessa Gorman joins HSI for a roundtable on organized retail crimeRead the Press Release
Seattle- US Attorney Tessa M. Gorman and Homeland Security Investigations (HSI) Special Agent in Charge Robert Hammer hosted an organized retail crime roundtable discussion on Thursday, February 29th. US Attorney Tessa Gorman and HSI Special Agent in Charge Robert Hammer gave opening remarks to retailers to discuss their work in investigating, disrupting, and prosecuting organized retail crime. Representatives from Walmart, Lowe’s, Ulta, Rite-Aid, Walgreens, Safeway, Fred Meyer, and Target were among the attendees at the roundtable.
“We have seen organized retail crime become more and more common in the country, and in Western Washington,” said US Attorney Tessa Gorman. “Retail theft impacts retailers of all sizes and communities across our District. It leads to customers feeling unsafe, puts security guards at risks, and causes significant losses to retailers. I am proud to partner with HSI, local law enforcement, and the retailers in Western Washington to put a stop to organized retail crime.”
“Organized retail crime does not only impact businesses, it undermines the well-being of our communities while threatening the safety and security of everyday people," said Special Agent in Charge Robert Hammer, who oversees HSI operations in the Pacific Northwest. “Those who commit these offenses, regardless of if they are a part of a criminal organization or acting individually, will not be allowed to wreak havoc upon our private sector partners unchecked. This meeting is an important step in what I hope is a continued partnership with businesses throughout the Pacific Northwest to catch and prosecute organized theft groups that are conducting, promoting, and profiting off this dangerous activity.”
In March of 2023, the United States Attorney’s office indicted a pair for a retail theft scheme, in which both defendants plead guilty to wire fraud. According to the plea agreement, they worked collaboratively to steal more than $800,000 of equipment from a large retailer through the retailer’s rental service. They rented the equipment under false identities, and then sold it on secondhand retail sites like OfferUp and Facebook Marketplace. As of Mach 2023, the defendants had rented equipment from over 190 different store locations in 23 states under 150 names. This case was investigated by HSI.
U.S. Attorney’s Office Collects over $18 Million in Civil and Criminal Actions and over $18 Million More in Asset Forfeiture Actions in Fiscal Year 2023Read the Press Release
RALEIGH, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina (USAO-EDNC) collected $18,157,710.06 in criminal and civil actions in Fiscal Year (FY) 2023. Of this amount, $11,126,086.93 was collected in criminal actions and $7,031,623.13 was collected in civil actions.
Additionally, EDNC worked with other U.S. Attorney’s Offices and components of the Department of Justice (DOJ) to collect an additional $72,909.66 in cases pursued jointly by these offices. This amount was collected in criminal actions.
“We are committed to using every tool available to aggressively collect restitution for victims, criminal fines, and recover taxpayer dollars lost to fraud and owed to government agencies,” said U.S. Attorney Michael Easley. “We are proud of the men and women in our office who have worked so hard to ensure justice through their collection efforts which ultimately restore funds to crime victims and support law enforcement.”
The successful collection efforts included the collection of substantial funds from joint and several co-defendants, George Garven, William Davis, and Robert Helms, fully satisfying a criminal restitution judgment awarding $1,850,442.00 to Baker Roofing Company (BRC), the victim of a fraudulent contract billing scheme. Specifically, BRC hired Garven in 2011 to serve as the Vice President and General Manager of its Charlotte, North Carolina, branch office. In 2014, Helms and Davis partnered together to provide roofing subcontracting services to BRC through Davis’s business, R&K Davis Holdings (R&K). Between 2015 and 2020, R&K was used as a vehicle to fraudulently bill BRC for subcontracting work that was never performed. Among other things, Garven obligated BRC to pay R&K by generating fake invoices and subcontracts in R&K’s name. The criminal proceeds were funneled into business bank accounts controlled by Helms and Davis and then disbursed to Garven in various forms, including gift cards and checks. The checks included fraudulent memo lines to make it appear they were related to legitimate business. Garven also directed Helms and Davis to use the embezzled funds to pay contractors to perform work on Garven’s residential properties. In furtherance of the scheme, Garven paid Helms and Davis each approximately $140,000 in cash. EDNC ultimately collected the full restitution amount from the defendants. An earlier press release about the underlying criminal case can be found at https://www.justice.gov/usao-ednc/pr/co-conspirators-sentenced-stealing-over-18-million-fake-billing-scheme.
In another example of successful enforcement, EDNC fully collected on a False Claims Act judgment in excess of $1 million against Jeffrey G. Hedges, related to false healthcare billing practices. Specifically, the government alleged that under Hedges’ control, a medical clinic located in Durham, North Carolina, systematically defrauded the Medicare Program in a variety of ways. But perhaps most egregiously of all, the clinic almost always billed medical services performed by non-physicians under the higher billing rate of the clinic’s nominal owner and medical director, even though she did not actually treat patients and was hardly ever physically present when services were provided. Based on evidence presented by the government, the Court concluded that Hedges and one of his companies violated the False Claims Act with respect to billing under the medical director and ordered them to pay $1,097,975.24 to the United States. After the Court entered judgment against Hedges and his company, the United States demanded payment, but Hedges failed to comply. The government therefore initiated enforced collection, obtained writs of garnishment and execution to liquidate funds and property, and moved for a statutory 10-percent surcharge, which the Court awarded. In the end, Hedges paid the United States a total of $1,207,772.76, which fully satisfied the False Claims Act judgment and the 10-percent surcharge.
The USAO-EDNC along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the USAO-EDNC, working with partner agencies and divisions, collected $18,067,902 in asset forfeiture actions in FY 2023.
The EDNC’s successful forfeiture efforts included the criminal forfeiture of $4,635,346.24 in property derived from or traceable to health care fraud. Tanya Parrish Grant was criminally indicted on June 16, 2021, and charged with defrauding Medicare by submitting false and fraudulent claims for Durable Medical Equipment. After conviction, Grant was ordered to pay a forfeiture money judgment of $6,449,155.09, representing the total gross proceeds that she wrongfully obtained as a result of the fraud. Of this amount, law enforcement agents and financial investigators were able to trace criminally derived funds into real estate, numerous bank accounts, luxury vehicles and other personal property valued at approximately $4.6 million, which the government was able to seize, liquidate, and apply toward the forfeiture money judgment. Earlier press releases about the underlying criminal case can be found at https://www.justice.gov/usao-ednc/pr/ceo-raleigh-healthcare-company-pleads-guilty-multi-million-dollar-healthcare-fraud and https://www.justice.gov/usao-ednc/pr/ceo-raleigh-healthcare-company-sentenced-80-months-prison-multi-million-dollar.
In another example of a successful forfeiture effort in FY 2023, the EDNC civilly forfeited $198,400.47 seized from a bank account containing proceeds of a business-email-compromise scheme, where one or more criminal fraudsters used a spoofed email to fraudulently request that an eastern North Carolina law firm update bank account information for a legitimate real estate closing. Once the victim law firm updated the account information, real estate closing funds were diverted into a fraudulent account which was the subject of the civil forfeiture proceeding. The U.S. Secret Service was notified of the fraud and worked with the USAO-EDNC to freeze, seize, and forfeit the entire balance of the fraudulent account as proceeds traceable to wire fraud.
Forfeited assets deposited into the DOJ Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. The DOJ, for instance, restored $6,389,937 of forfeited assets in FY 2023, which is used to compensate the victims of crimes prosecuted by this office.
U.S. Attorney's Office Announces Participation in Justice Department's Nationwide Election Day ProgramRead the Press Release
KNOXVILLE, Tenn. – The United States Attorney’s Office announced today that Assistant United States Attorney (AUSA) Mac Heavener will lead the efforts of the Office in connection with the Justice Department’s nationwide Election Day Program for the upcoming March 5, 2024, primary election. AUSA Heavener has been appointed to serve as the District Election Officer (DEO) for the Eastern District of Tennessee, and in that capacity is responsible for overseeing the Office’s handling of election day complaints of voting rights concerns, threats of violence to election officials or staff, and election fraud, in consultation with Justice Department Headquarters in Washington.
The Department of Justice has an important role in deterring and combating discrimination and intimidation at the polls, threats of violence directed at election officials and poll workers, and election fraud. The Department will address these violations wherever they occur. The Department’s longstanding Election Day Program furthers these goals and also seeks to ensure public confidence in the electoral process by providing local points of contact within the Department for the public to report possible federal election law violations.
Federal law protects against such crimes as threatening violence against election officials or staff, intimidating or bribing voters, buying, and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from interference, including intimidation, and other acts designed to prevent or discourage people from voting or voting for the candidate of their choice. The Voting Rights Act protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or inability to read or write in English).
In order to respond to complaints of voting rights concerns and election fraud during the upcoming election, and to ensure that such complaints are directed to the appropriate authorities, AUSA Heavener will be on duty in this District while the polls are open. He can be reached by the public at the following telephone numbers: (423) 823-5009 or (423) 218-6652.
In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at (865) 544-0751.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/.
“Ensuring free and fair elections depends in large part on the assistance of the American electorate, stated U.S. Attorney Francis M. Hamilton III. “It is important that those who have specific information about voting rights concerns or election fraud make that information available to the Department of Justice.”
Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
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U.S. Attorney Graves Announces New Affirmative Civil Rights and Environmental Justice Unit in the District of ColumbiaRead the Press Release
WASHINGTON – U.S. Attorney Matthew Graves announced today the formation of an Affirmative Civil Rights and Environmental Justice Unit (the Unit) in the Civil Division of the United States Attorney’s Office of the District of Columbia. The new civil unit will focus on investigating and enforcing federal civil rights and environmental laws within the District, as well as conducting regular community outreach regarding civil rights and environmental justice concerns.
“Protecting civil rights within our district is a high priority for both the Department and our Office,” said U.S. Attorney Graves. “We recognize that communities of color and low-income communities too often feel the greatest effects of environmental contamination and pollution, so we are also committed to addressing those issues as part of this new unit, and we generally want to hear from our fellow community members when they believe their rights have been violated and legal action is needed.”
The unit will work to enforce federal civil rights laws regarding discrimination, housing, disability access, environmental justice, sexual harassment, and other matters. Coordinating the activities of the unit will be Deputy Civil Chiefs John Truong, the division’s Civil Rights Coordinator, and Diana Valdivia, the office’s Environmental Justice Coordinator. The unit will primarily be staffed with three Assistant U.S. Attorneys, Carlos Andino, Christopher Hair, and Sean Tepe. The unit will work closely with the Department of Justice’s Civil Rights Division and Environmental and Natural Resources Division and coordinate its activities with other Justice Department components and local, state, and federal agencies as appropriate.
The creation of the unit is part of the Justice Department’s initiative to confront discrimination through modern, comprehensive methods, prioritize community outreach, and make better use of civil enforcement mechanisms. Advancing environmental justice is also a priority for the Justice Department, which recently created the Office of Environmental Justice within the Environmental and Natural Resources Division with a mandate to engage all Justice Department bureaus, components, and offices in the collective pursuit of environmental justice. These efforts will promote the general welfare and secure the blessings of liberty for all District residents by working to ensure that they live and work in environmentally safe conditions and enjoy their full panoply of civil rights guaranteed by the Constitution and laws of the United States.
The Office’s Civil Division welcomes information from the public regarding possible civil rights violations and concerns related to environmental, health, and climate impacts on individuals and communities in the district. You may submit information or concerns to [email protected], and learn more at https://www.justice.gov/usao-dc/affirmative-civil-rights-and-environmental-justice.
Two-Time Carjacker Who Kidnapped Victims Sentenced to 30 Years in Federal PrisonRead the Press Release
A carjacker who kidnapped two people in an attempt to avoid law enforcement was sentenced Monday to 30 years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Anthony Scott Gordon, 36, was indicted in November 2020 and pleaded guilty in September 2022 to kidnapping, carjacking, and brandishing a firearm in the commission of a crime of violence. He was sentenced Monday by U.S. District Judge Sam A. Lindsay.
In plea papers, Mr. Gordon admitted that on Aug. 6, 2020, he approached a Ford F150 parked off of Highway 20 in Fort Worth. With a gun in each hand, he ran up to the driver’s side door. As he shot one gun towards the street, he pointed the other at the driver, identified in court documents as M.G., and demanded she turn over the vehicle. Fearing for her life, M.G. exited the vehicle and he sped away.
Four days later, Mr. Gordon entered through rear door of a retail store in Richardson, pointed a gun at an employee, identified in court documents as A.J., and demanded her vehicle, which was parked outside. Fearing for her life, A.J. handed over her keys. Mr. Gordon told her he would shoot her if she tried to call the police, then got into the vehicle and drove away.
Mr. Gordon further admitted that in late August, he kidnapped a victim, identified in court documents as M.D., in an attempt to prevent her from disclosing his criminal activity to law enforcement.
Mr. Gordon refused to leave M.D.’s location, struck her in the head with a firearm, and crushed her iPhone in his bare hands, rendering it inoperable. The following day, he dragged her down a flight of stairs and forced her into his car at gunpoint. She screamed for help and attempted to fight back, but he pushed her into the backseat, then began driving her around Dallas, saying they needed to “get out of the state.” M.D. convinced him to park at a Motel 6, where she managed to flee.
Following her escape, the defendant messaged M.D., threatening, “I swear to god ima hurt you bad… I’m tellin u now ima find u I promised I’ll make it long and painful.”
In early September, he kidnapped yet another victim, identified in court documents as K.N., in an attempt to evade arrest.
Shortly after arriving in Fort Worth to conduct a drug transaction, Mr. Gordon spotted police and fled, jumping over multiple residential fences. He came upon K.N.’s house and entered through back door. He grabbed her by the neck, pointed a firearm at her, and led her at gunpoint towards the front of the house, where law enforcement was located. K.N. was able to break free and ran out the front door, where she was met by police.
A subsequent search of Mr. Gordon’s vehicle revealed a Smith & Wesson 40 caliber pistol and a stolen Mossberg 12-guage shotgun.
The Fort Worth Police Department, the Federal Bureau of Investigation’s Dallas Field Office, and the Dallas Police Department conducted the investigation. Assistant U.S. Attorneys Joseph Lo Galbo and Melanie Smith (fmr.) prosecuted the case.
Three Individuals Charged with Conspiracy to Commit Bank FraudRead the Press Release
BIRMINGHAM, Ala. – A federal grand jury indicted three individuals for their role in operating a scheme to defraud Chase Bank, announced U.S. Attorney Prim F. Escalona and U.S. Postal Inspection Service Inspector-in-Charge Scott D. Fix, Houston Division.
A three-count indictment filed in U.S. District Court charges Jon-Christopher Arrington Spencer, also known as “JC Spencer,” also known as “Money Mike,” 22, of Bessemer; Haley Monique Perkins, 21, of Pleasant Grove; and Jeffery Dwaine Moody, Jr., 22, of Birmingham with conspiracy and bank fraud. Spencer also was charged with theft of mail matter.
The indictment alleges that between May 2022 and August 31, 2022, Spencer, Perkins, and Moody conspired together to defraud Chase Bank. To achieve this goal, the defendants obtained three fraudulent checks drawn on three businesses’ banking accounts. These three businesses had deposited checks after hours into the blue depository boxes at the Meadowbrook U.S. Post Office. Those three checks were then stolen from the depository boxes. The fraudulent checks were made payable to Moody and deposited into a Chase Bank account controlled by him. The defendants attempted twice to withdraw money for personal use from this Moody-controlled bank account. The total value of the checks deposited into the bank account and drawn on the accounts belonging to three separate businesses was more than $7,000.
The maximum penalty for conspiracy to commit bank fraud is 30 years in prison. The maximum penalty for theft of mail matter is five years in prison.
The U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Brittney L. Plyler is prosecuting the case.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Standoff with armed felon leads to firearm convictionRead the Press Release
CORPUS CHRISTI, Texas – A 35-year-old Corpus Christi resident has admitted to being a felon in possession of a firearm, announced U.S. Attorney Alamdar S. Hamdani.
Robert Spencer was set to begin trial this week, but has instead opted to enter a guilty plea.
On Aug. 4, 2022, authorities responded to a murder reported to have occurred around the 1800 block of Van Loan Ave. in Corpus Christi. They observed Spencer in the area and appeared to be armed. When authorities approached him, Spencer fled into his nearby home which initiated an hour-long standoff.
During that time, Spencer yelled at law enforcement to leave the area. Authorities also heard two gunshots. He exited his home without a firearm, at which time, they arrested him.
Law enforcement obtained a search warrant for Spencer’s residence and discovered six pipe bombs, four firearms and boxes of ammunition in the attic. He admitted to personally assembling the pipe bombs.
As a convicted felon, he is prohibited from possessing firearms or ammunition per federal law.
Further testing confirmed the pipe bombs to be destructive devices as the law defines. The pipe bombs were not properly registered to Spencer in the National Firearms Registration and Transfer Record.
U.S. District Judge Nelva Gonzales Ramos will impose sentencing June 4. At that time, Spencer faces up to 15 years in federal prison and a possible $250,000 maximum fine.
He will remain in custody pending that hearing.
The Corpus Christi Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorneys Patrick Overman and John Marck are prosecuting the case.
St. Tammany Parish Man Pleads Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that ALSKIIN MILLICAN, age 21, of Madisonville, Louisiana, pled guilty on February 29, 2024, to violating the Federal Controlled Substances Act before United States District Judge Susie Morgan.
MILLICAN pled guilty to Count 1 of the indictment that charged him with conspiracy to distribute and possess with intent to distribute, 40 grams or more of a mixture and substance containing a detectable amount Fentanyl, a Schedule II controlled substance, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 846. MILLICAN also pled guilty to Count 4 of the indictment that charged him with distributing and possessing with the intent to distribute 40 grams or more of a mixture and substance containing a detectable amount of Fentanyl, a Schedule II controlled substance, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B).
According to court documents, MILLICAN sold 1000 fentanyl pills to an undercover agent on September 15, 2023.
For both Counts 1 and 4, MILLICAN faces a mandatory minimum sentence of 5 years and up to 40 years imprisonment, a fine of up to $5,000,000, at least 4 years of supervised release, and a mandatory special assessment fee of $100.00. MILLICAN’s sentencing is set for June 4, 2024.
The case was investigated by Homeland Security Investigations and the St. Tammany Parish Sheriff’s Department. Assistant United States Attorney Lauren Sarver of the Narcotics Unit oversees the prosecution.
Spring Hill Resident Sentenced to Federal Prison for Trafficking Florida Box Turtles, Loggerhead Musk Turtles, and Ornate Diamondback TerrapinsRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Kevin Olbrych (48, Spring Hill) to 15 months in federal prison followed by 3 years of supervised release for Lacey Act trafficking of Florida box turtles, loggerhead musk turtles, and ornate diamondback terrapins. The Court also permanently enjoined Olbrych from possessing, caring for, transporting, selling, transferring, or distributing any animals, and ordered him to pay $7,500 to the Lacey Act Reward Fund. The Lacey Act Reward Fund is a Congressionally authorized fund available to pay for the care, treatment, and rehabilitation of wildlife pending their disposition at the conclusion of civil and criminal matters and to compensate witnesses and cooperators in criminal investigations. Olbrych entered a guilty plea on November 17, 2023.
According to court documents, the Tampa Police Department executed an unrelated search warrant at Olbrych’s residence in 2018. During the search, law enforcement discovered several 300-gallon pools filled with turtles and other containers for the rearing of turtles. In total, Olbrych unlawfully possessed 120 turtles. The animals were not housed properly, and Olbrych did not have proper licensure to possess them. Law enforcement confiscated the turtles and turned them over to an individual qualified to rehabilitate them on behalf of the Florida Fish and Wildlife Conservation Commission.
After the search, the U.S. Fish and Wildlife Service began investigating Olbrych and discovered that for years he had illegally sold turtles to a co-conspirator in Oregon who later sold them to buyers in China. Further investigation revealed that even after law enforcement seized the turtles from Olbrych’s home in 2018, he continued to traffic in turtles through 2021, including the ornate diamondback terrapin depicted below.
"Ensuring wildlife conservation through effective law enforcement, meeting regulatory requirements, and promoting compliance is paramount,” said U.S. Fish and Wildlife Service Special Agent in Charge Douglas Ault. “Our investigation led to another successful conviction in the continuous illegal turtle trade, highlighting the ongoing difficulties in safeguarding vulnerable species. These investigations underscore the vital need for rigorous law enforcement actions to uphold conservation laws and protect biodiversity worldwide.”
This case was investigated by the U.S. Fish and Wildlife Service, with substantial assistance from the Tampa Police Department and the Florida Fish and Wildlife Conservation Commission. It was prosecuted by Assistant United States Attorney Erin Claire Favorit.
Schenectady Man Pleads Guilty to Possessing Methamphetamine with Intent to DistributeRead the Press Release
ALBANY, NEW YORK – Ocyris Morgan, age 36, of Schenectady, New York, pled guilty today to possessing methamphetamine with the intent to distribute it.
United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Morgan admitted that he intended to sell the 21.4 grams of methamphetamine law enforcement seized from his house on June 1, 2023, and when he overheard agents saying they found between one-half and one ounce of methamphetamine, Morgan corrected them, “21.7, to be exact.” Morgan also admitted to receiving $10,130 over the course of 12 instances in which he sold a total of 93 grams of methamphetamine and 50 grams of cocaine base to several customers. He further admitted to possessing a firearm and bullet proof vest.
When sentenced by Chief United States District Judge Brenda K. Sannes, Morgan faces a mandatory prison term of at least 5 years and up to 40 years, a fine of up to $5 million, and a term of supervised release of at least 4 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The FBI’s Capital District Safe Streets Task Force – made up of FBI Special Agents, as well as members of other federal, state and local law enforcement agencies including the Schenectady Police Department – investigated the case. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.
Santa Fe Man Pleads Guilty to Drug Trafficking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Mario Guizar-Anchondo pled guilty in federal court to possession with intent to distribute fentanyl and possessing a firearm in furtherance of a drug trafficking crime. Guizar-Anchondo 21, of Santa Fe, will remain in custody pending sentencing, which has not been scheduled.
A federal grand jury indicted Guizar-Anchondo and his co-defendant, Werni Lopez-Perez, 27, of Santa Fe, on Jan. 11, 2022. According to publicly available court documents, at around 2:30 a.m. on Dec. 30, 2021, an officer from the Santa Fe Police Department conducted a routine traffic patrol on a vehicle driven by Guizar-Anchondo for driving without illuminated taillights. At the time, Lopez-Perez was in the passenger seat. Based on observations made during and after the traffic stop, the officer sealed the truck and the FBI sought and obtained a federal search warrant for the truck.
The truck was searched later that day at the FBI office in Albuquerque. Inside, agents found approximately 32,000 fentanyl pills, 1.7 kilograms of methamphetamine, five firearms, and $5,563 in cash. The investigation also uncovered evidence that both Guizar-Anchondo and Lopez-Perez were using Facebook to advertise and sell fentanyl and methamphetamine.
In his plea agreement, Guizar-Anchondo admitted that he intended to distribute the fentanyl pills to others, and that he possessed the firearms in the truck to protect himself, his drug supplies, and his drug proceeds.
At sentencing, Guizar-Anchondo is facing not less than 5 years and not more than life in prison.
Lopez-Perez remains in custody pending trial which is currently scheduled for April 1, 2024.
The Santa Fe Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Santa Fe Police Department. The United States Attorney’s Office is prosecuting the case.
View the Plea Agreement# # #
San Diego Man is First in Nation to be Charged with Smuggling Potent Greenhouse Gases into the United StatesRead the Press Release
NEWS RELEASE SUMMARY – March 4, 2024
SAN DIEGO – Michael Hart of San Diego was arrested early today and charged with smuggling potent greenhouse gases into the United States from Mexico and then selling them for profit, in violation of regulations intended to curb the use of greenhouse gases and slow climate change. (Video short)
This is the first prosecution in the United States to include charges related to the American Innovation and Manufacturing Act of 2020 (AIM Act). The AIM Act prohibits the importation of hydrofluorocarbons (HFCs), commonly used as refrigerants, without allowances issued by the Environmental Protection Agency (EPA).
“This office is at the forefront of environmental prosecutions, and today is a significant milestone for our country,” said U.S. Attorney Tara McGrath. “This is the first time the Department of Justice is prosecuting someone for illegally importing greenhouse gases, and it will not be the last. We are using every means possible to protect our planet from the harm caused by toxic pollutants, including bringing criminal charges.”
“It is illegal to import certain refrigerants into the United States because of their documented and significantly greater contribution to climate change,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “We are committed to enforcing the AIM Act and other laws that seek to prevent environmental harm.”
“The illegal smuggling of hydrofluorocarbons, a highly potent greenhouse gas, undermines international efforts to combat climate change under the Kigali Amendment to the Montreal Protocol,” said David M. Uhlmann, EPA Assistant Administrator for the Office of Enforcement and Compliance Assurance. “Anyone who seeks to profit from illegal actions that worsen climate change must be held accountable. This arrest highlights the significance of EPA’s climate enforcement initiative and our efforts to prevent refrigerants that are climate super pollutants from illegally entering the United States.”
“This case and subsequent arrest is a great example of multiple agencies collaborating to arrest an individual who allegedly smuggled illegal goods into the U.S. that harm our environment,” said Chad Plantz, special agent in charge for HSI San Diego. “We remain committed to keep these dangerous toxins from depleting our ozone.”
Hart made his first appearance in federal court this afternoon. The defendant was arraigned and entered a not-guilty plea. His next hearing is before U.S. District Judge Jeffrey T. Miller for motion hearing/trial setting on March 25, 2024, at 11 a.m.
According to the EPA, HFCs are potent greenhouse gases that cause climate change and are used in applications such as refrigeration, air-conditioning, building insulation, fire extinguishing systems, and aerosols. The global warming potential (GWP) of an HFC can be hundreds to thousands of times more potent than carbon dioxide. The use of HFCs has been rapidly increasing worldwide due to the global phaseout of ozone-depleting substances (ODS) and increased demand for refrigeration and air conditioning.
The indictment alleges that Hart purchased refrigerants in Mexico and smuggled them into the United States in his vehicle, concealed under a tarp and tools. According to the indictment, Hart posted the refrigerants for sale on OfferUp, Facebook Marketplace and other sites, and sold them for a profit. In addition to greenhouse gases, the indictment alleges Hart imported HCFC 22, an ozone-depleting substance regulated under the Clean Air Act.
The Montreal Protocol on Substances that Deplete the Ozone Layer (“Montreal Protocol”) is a treaty adopted in 1987 and ratified by virtually every country. The Montreal Protocol required the gradual phase out of ozone depleting substances, with different timetables for developed countries like the United States, and developing countries like Mexico. In the United States, the Montreal Protocol was implemented in 1990 by an addition to the Clean Air Act, which covers Stratospheric Ozone Protection. That addition identified HCFC 22 as a regulated ozone depleting substance. Before 2020, EPA regulations that governed ozone-depleting substances made it illegal for anyone to import a regulated ozone-depleting substance in an amount exceeding that individual’s consumption allowance, subject to certain exceptions. On January 1, 2020, consumption allowances for HCFC 22 were eliminated and it became illegal to import HCFC 22 for any purpose other than for use in a process resulting in their transformation or their destruction.
The Kigali Amendment to the Montreal Protocol is another international agreement designed to phase down the production and consumption of greenhouse gases such as HFCs, which are commonly used alternatives to ozone-depleting substances and are already controlled under the Montreal Protocol. The Kigali Amendment seeks to phase down the production and consumption of HFCs by 80 to 85 percent by 2047. The AIM Act authorized the EPA to phase down the production and consumption of HFCs in a stepwise manner. As part of the AIM Act, Congress added an additional list of regulated substances, which include HFC 32, HFC-125, HFC-134, HFC-134a, HFC 143 and HFC 143a. Refrigerants marketed as HFC 404a, 407a, 407c and 410a contain these regulated substances. The listed HFCs are some of the most commonly used HFCs and all are saturated, meaning they have only a single bond between their atoms and therefore have longer atmospheric lifetimes. Beginning on January 1, 2022, EPA regulations prohibit any person from importing bulk regulated HFCs, except by expending, at the time of import, a consumption or application-specific allowance issued by the EPA. No person may sell or distribute, or offer for sale or distribution, any regulated HFC that was imported illegally.
This case is being prosecuted by Assistant U.S. Attorney Melanie K. Pierson and Department of Justice Environmental Crimes Section Senior Trial Attorney Stephen DaPonte.
DEFENDANT Case Number 24cr0383
Michael Hart Age: 58 San Diego, CA
SUMMARY OF CHARGES
Count 1
Conspiracy – Title 18, U.S.C., Section 371
Maximum penalty: Five years in prison and $250,000 fine
Counts 2-6
Importation Contrary to Law – Title 18, U.S.C., Section 545
Maximum penalty: Twenty years in prison and $250,000 fine
Counts 7-13
Sale of Merchandise Imported Contrary to Law – Title 18, U.S.C., Section 545
Maximum penalty: Twenty years in prison and $250,000 fine
Criminal Forfeiture – Title 18, U.S.C., Sections 545 and 982
INVESTIGATING AGENCIES
U.S. Environmental Protection Agency, Criminal Investigation Division;
Homeland Security Investigations
*The charges and allegations contained in an indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty
Sacramento Man Sentenced to 7 Years in Prison for Being a Felon in Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — Shaun Jones, 29, of Sacramento, was sentenced today to seven years in prison for being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in August 2022, Jones and an associate sold a Glock 17, 9 mm gun to an informant working with law enforcement. In September 2023, Jones sold a Glock 17, 9 mm gun with an extended magazine to the same informant. Jones is prohibited from possessing firearms because he has previously been convicted of robbery, drug possession, and attempted burglary.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Emily G. Sauvageau and Justin Lee prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
Richmond Resident Charged with Smuggling Ammunition from United States to BrazilRead the Press Release
OAKLAND - A federal grand jury indicted Edijalma De Souza Ferreira, charging him with smuggling ammunition from the United States to Brazil without an export license, announced United States Attorney Ismail J. Ramsey and Homeland Security Investigations (HSI) Special Agent in Charge Tatum King.
According to the indictment, filed February 27, Ferreira, 46, of Richmond, Calif., smuggled thousands of rounds of ammunition in two container shipments that were exported from the Port of Oakland in 2021. Export of the ammunition was contrary to the Export Control Reform Act and associated regulations. The indictment charges Ferreira with a felony violation of 18 U.S.C. § 554.
Ferreira was arrested on February 29, 2024, and made his initial appearance in federal court in Oakland the same day. He was released on bond and his next appearance is scheduled for March 6, 2024, before U.S. Magistrate Judge Donna M. Ryu for identification of counsel.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Ferreira faces a maximum sentence of ten years of imprisonment, and a fine of $250,000 for the 18 U.S.C. § 554 violation. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Michelle J. Kane is prosecuting the case with the assistance of Kathy Tat. The prosecution is the result of an investigation by HSI with assistance from the U.S. Department of Commerce, the U.S. Customs and Border Protection Container Security Initiative, the HSI Brasilia Attaché Office, and the Customs and Revenue Service of Brazil.
Repeat Offender Sentenced for Possession of Child PornographyRead the Press Release
United States Attorney Susan Lehr announced that Thomas Janes, 29, of Omaha, Nebraska, was sentenced on February 29, 2024, in federal court in Omaha for possessing child pornography. United States District Court Judge Brian C. Buescher sentenced Jane to 120 months’ imprisonment. There is no parole in the federal system. After Janes release from prison, he will begin a 10-year term of supervised release.
Janes was on supervised release following his release from prison for a previous child pornography possession offense when his probation officer developed suspicion Janes was using an unapproved internet connected device. A search was executed at his home and his electronic devices were later forensically searched, revealing Janes was in possession of child pornography.
This case was investigated by the Federal Bureau of Investigation.
Recidivist Pittsburgh Drug Trafficker Pleads Guilty to Large-Scale Cocaine Distribution ChargeRead the Press Release
PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of conspiracy to distribute five kilograms or more of cocaine, United States Attorney Eric G. Olshan announced today.
Kevin Rucker, 53, pleaded guilty to one count before United States District Judge William S. Stickman IV.
In connection with the guilty plea, the Court was advised that Rucker was responsible for distributing large quantities of cocaine in the Pittsburgh area, having distributed between 15 and 50 kilograms of the drug between July 2022 and June 2023. Rucker was previously convicted in 2015 in federal court in Pittsburgh of conspiring to distribute heroin.
Judge Stickman scheduled sentencing for July 2, 2024. As a result of Rucker’s criminal history, the law provides for a maximum total sentence of not less than 15 years and up to life in prison, a fine of up to $10 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the Court ordered that the defendant remain detained.
Assistant United States Attorney Douglas C. Maloney is prosecuting this case on behalf of the government.
The Drug Enforcement Agency, in conjunction with the Pittsburgh Bureau of Police, conducted the investigation that led to the prosecution of Rucker.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Readout of Office for Access to Justice Director Rachel Rossi’s Trip to ArizonaRead the Press Release
Director Rachel Rossi of the Office for Access to Justice (ATJ) traveled to Tempe, Mesa and Phoenix, Arizona, to engage access to justice stakeholders and deliver open plenary remarks at the Access to Justice and Future of Justice Work Conference.
Director Rossi met with the U.S. Attorney Gary Restaino for the District of Arizona, where she discussed and applauded the office’s commitment to pro bono work. Additional meetings included the Federal Public Defender for the District of Arizona and the Director of Public Defense Services of Maricopa County to discuss support for criminal justice, public defense and access to justice.
She also met with the Arizona Access to Justice Commission and the Arizona Bar Foundation to discuss state-level efforts to promote and expand civil legal services and improve Arizonans’ access to civil justice, including the recently convened State Agency Forum on Access to Justice.
Additionally, Director Rossi and ATJ staff met with legal services organizations about the significant challenges they face in providing basic legal needs, particularly in Tribal communities. They met with stakeholders who are part of a collaboration among five legal services organizations that will use non-attorney community justice workers to provide disaster legal services in American Indian and Alaska Native communities. The meeting included leaders and staff from Montana Legal Services, Anishinaabe Legal Services, DNA People’s Legal Services, Oklahoma Legal Services and Alaska Legal Services Corporation.
Following the convening, Director Rossi and ATJ visited two cutting-edge legal services programs run by Innovation for Justice, a legal innovation lab based in Arizona and Utah. As part of the visit, Director Rossi met with representatives from the Housing Stability Legal Advocate Initiative and the Domestic Violence Legal Advocate Initiative. ATJ heard about needs of the community and learned about the programs’ empowerment of community members to provide legal help with housing and domestic violence matters. In the meeting, advocates presented examples of the community-based justice worker nonlawyer program and provided an overview of their legal services design process.
The Access to Justice and Future of Justice Work Conference focused on ways in which trained nonlawyers and community justice workers can play a significant role in advancing access to justice. In her opening plenary remarks, Director Rossi highlighted recent efforts of ATJ to advance bold and creative solutions to civil justice gap, including the 2023 Legal Aid Interagency Roundtable report, Access to Justice in Federal Administrative Proceedings: Nonlawyer Assistance and Other Strategies. She highlighted the report’s compilation of numerous, varied ways in which nonlawyers provide legal representation and advice in federal agency administrative proceedings and how those uses can serve as an example for access to justice efforts throughout the U.S.
Director Rachel Rossi and ATJ staff met with legal services organizations about the significant challenges encountered in providing basic legal needs to the communities. Director Rachel Rossi and ATJ staff met with Innovation for Justice, a legal innovation lab based in Arizona and Utah. Director Rachel Rossi delivers remarks during the Opening Plenary for the Access to Justice and the Future of Justice Work Conference.Raceland Man Sentenced for Violations of the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – JAMYREN RICHARD, age 23, of Raceland, Louisiana, was sentenced on February 29, 2024, after previously pleading guilty to two counts of being a felon in possession of firearm, in violation of Title 18, United States Code, Sections 922(g)(1), and 924(a)(2).
According to court records, on March 26, 2021, RICHARD was a passenger in a vehicle that was pulled over by the Harahan Police Department. During the traffic stop, officers located two loaded firearms inside the vehicle and RICHARD admitted that he possessed both firearms.
On June 15, 2021, RICHARD was observed fleeing from a car that was being pursued by the Lafourche Parish Sheriff’s Office. RICHARD fled while carrying a semiautomatic rifle, entered a female’s home, and hid the rifle under the master bed mattress. RICHARD admitted he possessed three firearms knowing he had a prior felony conviction.
As to both counts of Felon in Possession of a Firearm, RICHARD was sentenced to 77 months imprisonment, 3 years of supervised release upon release from imprisonment, and a $200 mandatory special assessment fee.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Federal Bureau of Investigation, the Harahan Police Department, and the Lafourche Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney Lynn E. Schiffman of the Narcotics Unit.
Queens Man Convicted of Murdering and Dismembering Woman in Fraudulent Scheme to Collect Life Insurance BenefitsRead the Press Release
Today, a federal jury in Brooklyn returned a guilty verdict against Cory Martin on all counts of a superseding indictment charging him with murder-for-hire, murder-for-hire conspiracy, wire fraud conspiracy, aggravated identify theft and fraudulent use of identification relating to a scheme to fraudulently obtain life insurance policies in the name of a woman, murder her and collect the insurance proceeds. The verdict followed a two-week trial before United States District Judge Ann M. Donnelly. When sentenced, Martin faces a mandatory sentence of life imprisonment.
Breon Peace, United States Attorney for the Eastern District of New York, James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Edward A. Caban, Commissioner, New York City Police Department (NYPD), announced the verdict.
“It is fitting that that Martin faces a mandatory sentence to spend the rest of his life in prison for this ghastly, cold-blooded crime that was motivated by greed and executed after extensive planning,” stated United States Attorney Peace. “Martin saw the victim as a moneymaker, trafficking her for commercial sex, then after killing her with his bare hands, tossing out her slaughtered body parts like trash so he could profit from her death. Brandy Odom suffered an unthinkable death at the defendant’s hands, but her life mattered and I hope that this verdict holding the defendant responsible brings some measure of closure to her family.”
“Today’s guilty verdict is a message to anyone who, without fear of being held accountable, commits heinous acts of criminality in New York City,” stated NYPD Commissioner Caban. “The NYPD will continue to collaborate with the FBI and the office of the U.S. Attorney for the Eastern District of New York to conduct meticulous investigations that lead to successful prosecutions, and ultimately deliver justice to victims.”
As proved at trial, Martin resided at a house in Rosedale, Queens, with the then-26-year-old victim, Brandy Odom, and a co-conspirator who were engaged in commercial sex work for the defendant who operated as their pimp. In March and December 2017, Martin and the co-conspirator fraudulently obtained two life insurance policies in Odom’s name. They made premium payments to the life insurance companies by Western Union money orders and by using a debit card in Odom’s name. At trial, Martin’s co-conspirator testified that prior to Odom’s murder, she and the defendant watched “The First 48,” a true-crime TV show about police tactics and they discussed “what not to do, and what things to do to avoid being caught by the police.” The co-conspirator testified that Martin also watched “Dexter,” a TV show about a serial killer who dismembered his victims, because the defendant was “looking for ways to commit the crime when he got rid of Brandy.”
In early April 2018, Martin strangled Odom in her bedroom. Martin and the co-conspirator then purchased cleaning supplies and a vacuum— to clean up the murder scene—at the Green Acres Mall on Long Island. On April 6, 2018, Martin searched Home Depot’s website for a “Dewalt 12-Amp Corded Reciprocating Saw,” described as featuring a “powerful 12 Amp motor designed for heavy-duty applications.” Later that evening, Martin searched YouTube for “how to insert blade for reciprocating saw” and “using reciprocating saw.” The co-conspirator testified that Martin used an electric saw to dismember the victim’s corpse in the bathtub after covering every surface in the bathroom with heavy-duty, black garbage bags to eliminate evidence of the killing.
In the early morning of April 8 and April 9, 2018, Martin disposed of Odom’s body parts in Canarsie Park with the assistance of his co-conspirator. On April 10, 2018, Martin conducted dozens of Internet searches for news articles, including “Search area expands after dismembered body found in Canarsie Park in Brooklyn.” Martin also accessed a Twitter post titled “Person walking dog discovers remains of woman in Brooklyn park.” The following day on April 11, 2018, Martin searched YouTube using the search term “exclusive interview of mother of girl found in park.” After Odom’s murder, at Martin’s direction, his co-conspirator made several unsuccessful attempts to claim benefits under Odom’s life insurance policies.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Tanya Hajjar, Emily Dean and Andy Palacio are in charge of the prosecution, with the assistance of Paralegal Specialist Theodore Rader.
The Defendant:
CORY MARTIN
Age: 36
Rosedale, QueensE.D.N.Y. Docket No. 20-CR-549(S-1) (AMD)
Princeton Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
BLUEFIELD, W.Va. – Kaleb Merritt, 27, of Princeton, was sentenced today to three years in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm.
According to court documents and statements made in court, on October 27, 2022, law enforcement officers arrested Merritt on a Virginia warrant at the Princeton business where he was working. Merritt told the officers that he had a firearm when they asked him if he had any weapons. Officers found a Glock model 43 pistol in Merritt’s pants pocket.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Merritt knew he was prohibited from possessing a firearm because of his prior felony conviction for first-degree arson in Mercer County Circuit Court on June 12, 2015.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the United States Marshals Service and the Cops United Felony Fugitive Enforcement Division (CUFFED) Task Force.
Senior United States District Judge David A. Faber imposed the sentence. Assistant United States Attorney Timothy D. Boggess prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 1:22-cr-206.
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One Princeton Man Pleads Guilty, Another Sentenced to Prison in Federal Drug CaseRead the Press Release
BLUEFIELD, W.Va. – Today, Dailen Isaiah Defoe, 20, of Princeton, pleaded guilty to distribution of fentanyl and Malachi Damonte Cooper, 22, of Princeton, was sentenced to eight years in prison, to be followed by four years of supervised release, for possession with intent to distribute 40 grams or more of fentanyl and 50 grams or more of methamphetamine.
According to court documents and statements made in court, on December 8, 2022, law enforcement officers executed a search warrant at a Bluefield residence where Defoe and Cooper were staying. Officers found 734 grams of methamphetamine, approximately 130 grams of fentanyl, digital scales, a money counter, a Micro Draco 7.62mm semi-automatic pistol, a Glock 9mm pistol loaded with a 30-round magazine, and over $23,000. Defoe and Cooper admitted that they possessed the controlled substances and intended to distribute them.
Defoe further admitted to selling a quantity of fentanyl to a confidential informant in Princeton on August 19, 2021. Defoe also admitted to selling additional quantities of fentanyl to the confidential informant in Princeton on August 23 and August 31, 2021.
On August 31, 2022, law enforcement officers executed a search warrant at a residence where Defoe was staying in Princeton. Officers found approximately 375 grams of methamphetamine, 774 grams of fentanyl, 13 grams of heroin, three semi-automatic handguns, two drum magazines, various other firearm magazines and ammunition, and several thousand dollars. Defoe admitted that he possessed the controlled substances and intended to distribute them.
Defoe is scheduled to be sentenced on June 10, 2024, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Southern Regional Drug and Violent Crime Task Force. The task force consists of members of the West Virginia State Police, the Bluefield Police Department, the Princeton Police Department, the Mercer County Sheriff’s Department, the McDowell County Sheriff’s Department, and the Wyoming County Sheriff’s Department.
Senior United States District Judge David A. Faber presided over the hearings. Assistant United States Attorney Andrew D. Isabell prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 1:23-cr-119.
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New Orleans Man Sentenced for Narcotics and Firearm ViolationsRead the Press Release
NEW ORLEANS, LOUISIANA – TORY DUNCAN (“DUNCAN”), age 29, a resident of New Orleans, was sentenced on February 28, 2024, by U.S. District Judge Jane Triche Milazzo, to 144 months incarceration after previously pleading guilty to Counts 4 and 5 of a superseding indictment. Judge Milazzo also ordered that DUNCAN be placed on supervised release for five years following release from imprisonment and a pay a $100 mandatory special assessment fee.
According to court records, on March 24, 2022, members of the New Orleans Police Department (NOPD) responded to an anonymous tip of a man carrying a firearm in the River Garden neighborhood. Upon arrival at the 1900 block of St. Thomas Street, officers observed DUNCAN who then fled. DUNCAN jumped a fence with a black semi-automatic firearm in hand and ran to a nearby parking lot where he was caught and arrested by police. The officers recovered the firearm, a Glock Model 29, 10-millimeter pistol; $2,029 in U.S. currency; and a vehicle key fob from DUNCAN. The vehicle key fob corresponded to a gray Infiniti sedan in the parking lot where officers initially encountered DUNCAN. After searching the Infiniti, the officers discovered and seized 78.66 grams of fentanyl, 1002 multi-colored pills found to contain methamphetamine, 35 pills of Oxycodone, a digital scale, razor blades, loose plastic bags, and paperwork bearing DUNCAN’s name.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the New Orleans Police Department. This case was prosecuted by Assistant U.S. Attorney Sarah Dawkins of the Violent Crime Unit.
New Orleans Man Sentenced for Mailing Threatening CommunicationRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that on February 29, 2024, SHAUN CHAPMAN (“CHAPMAN”), age 38, was sentenced by the United States District Judge Eldon E. Fallon to forty (40) months imprisonment. CHAPMAN previously pleaded guilty to mailing threatening communications, in violation of Title 18, United States Code, Section 876(c).
According to court documents, CHAPMAN mailed a letter to the Robert Nixon Federal Courthouse in Philadelphia, Pennsylvania that contained threats to the President and Vice-President of the United States, Supreme Court justices, and Department of Justice employees. A U.S. Secret Service investigation revealed that the letter was mailed from the Orleans Justice Center where CHAPMAN was incarcerated on unrelated charges.
U.S. Attorney Evans praised the work of the United States Secret Service in investigating this matter. Assistant U.S. Attorney Gregory M. Kennedy of the Violent Crime Unit handled the prosecution.
Naples Man Sentenced to More Than Six Years for Possessing Child Sexual Abuse Images and VideosRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Gavin Michael Harold (23, Naples) to six years and six months in federal prison for possession of images and videos depicting the sexual abuse of children. Harold was also sentenced to a lifetime of supervised release and ordered to register as a sex offender. Harold had entered a plea of guilty on November 29, 2023.
According to court documents, between December 2022 through January 2023, an FBI Task Force Agent using a peer-to-peer file sharing program connected to Harold’s computer and downloaded files depicting a child engaged in sexually explicit conduct. On March 20, 2023, the FBI executed a search warrant at Harold’s residence in Naples, Florida, and seized Harold’s laptop computer. A subsequent forensic examination of Harold’s laptop computer revealed in excess of 8,500 images and 450 videos depicting the sexual abuse of young children.
On March 20, 2023, during an interview with agents, Harold admitted that he had been downloading child pornography for a while. Harold told the agents that he did not let anyone use his laptop and told agents where he stored his collection on his laptop.
This case was investigated by the Federal Bureau of Investigation, Fort Myers Child Exploitation and Human Trafficking Task Force, which includes the Charlotte County Sheriff’s Office which assisted with this investigation. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Michigan Business Owner Sentenced to Three Years in Prison for Money Laundering and Obstructing the IRSRead the Press Release
A Michigan man was sentenced to three years in prison today for money laundering and obstructing the IRS.
According to court documents and statements made in court, from approximately 2008 through 2017, Matthew D. Adams, of Grosse Point Park, sold illegal narcotics to Individual A. Individual A was the president of Company A. Individual A paid Adams for the illegal narcotics with funds embezzled from Company A. Adams and Individual A agreed to make the payments for illegal narcotics appear like they were payments from Company A to Adams’ company, MDA Property Services, for legitimate work performed by Adams’ business. From 2013 through 2017, Adams was paid more than $10 million by checks from Company A for illegal narcotics he sold to Individual A.
Adams did not report the millions of dollars in income he received from selling illegal narcotics on his 2013 to 2016 income tax returns and failed to file a 2017 income tax return. Adams deposited some of the checks into his personal and business bank accounts, and cashed the remainder, totaling approximately $5.3 million, at a local liquor store. Adams told his tax preparer about the deposits in just one of the bank accounts, which caused the preparer to file returns that did not report all of Adams’ income from his illegal narcotics sales.
In 2017, Adams and MDA came under audit by the IRS. During the audit, Adams lied to the IRS revenue agent multiple times, including by telling the agent that 90% of the money MDA Property Services was paid by Company A was for legitimate work, when the true figure was 3%.
Adams withdrew more than $1 million in cash of his illegal narcotics proceeds from his business bank accounts and used the funds to acquire real estate. He also spent over $1.25 million on personal expenses such as private flights, golfing, jewelry, gambling, court-ordered child support, hotels and to purchase a firearm. Adams purchased vehicles including a Cadillac Escalade, a Hummer and multiple classic cars.
In addition to the term of imprisonment, U.S. District Judge Matthew F. Leitman for the Eastern District of Michigan sentenced Adams to three years of supervised release and ordered him to pay $3,354,973 in restitution to the IRS.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.
IRS Criminal Investigation investigated the case.
Trial Attorneys Sam Bean and Jeffrey McLellan of the Tax Division prosecuted the case.
Man convicted of multimillion-dollar international advance fee schemeRead the Press Release
HOUSTON – A federal jury has convicted an Indiana man for his role in a multimillion-dollar international advance fee scheme orchestrated from Nigeria, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for 45 minutes before convicting Tochukwu Nwosisi, 52, Indianapolis, Indiana, following a six-day trial.
According to court documents and evidence presented at trial, from at least February 2015 to January 2018, Nwosisi participated in an advance fee scheme involving fraudulent offers of investment funding and inheritances to victims around the world. Co-conspirators based in Nigeria induced victims to make large wire payments to bank accounts in the United States on the false belief that payment of the purported advance fees was necessary before the bank would release their funding or inheritance. Nwosisi served as a money launderer who accepted victim funds into his U.S. bank accounts and directed the proceeds to the ringleaders in Nigeria.
The jury heard that victims around the world have lost a combined total of more than $5.6 million.
“Those who enable fraudsters by helping them move and hide money taken from victims are just as responsible for their crimes as the people who run the scam themselves,” said U.S. Attorney Alamdar S. Hamdani. “Nwosisi took nearly $1 million from victims to enrich himself and his co-conspirators. He deserves to face the consequences for his crimes.”
The jury convicted Nwosisi of conspiracy to commit money laundering and concealment money laundering. He will be scheduled for sentencing at a later date. At that time, he faces a maximum penalty of 20 years in prison.
To date, six others have been convicted for their roles in the scheme.
Nwosisi was permitted to remain on bond pending sentencing.
The FBI and Department of State - Office of Inspector General conducted the investigation.
Assistant U.S. Attorney Christian Latham is prosecuting the case along with Trial Attorney Philip Trout of the Criminal Division’s Fraud Section of the Department of Justice.
Justice Department Statements on JetBlue Terminating Acquisition of Spirit AirlinesRead the Press Release
JetBlue Airways Corporation (JetBlue) announced today that it has abandoned its $3.8 billion acquisition of Spirit Airlines Inc. (Spirit). In January, the U.S. District Court for the District of Massachusetts blocked the transaction because it violated “the core principle of antitrust law: to protect the United States’ markets – and its market participants – from anticompetitive harm.”
“Today’s decision by JetBlue is yet another victory for the Justice Department’s work on behalf of American consumers,” said Attorney General Merrick B. Garland. “The Justice Department proved in court that a merger between JetBlue and Spirit would have caused tens of millions of travelers to face higher fares and fewer choices. We will continue to vigorously enforce the nation’s antitrust laws.”
“Our win in court is a victory for U.S. travelers who deserve lower prices and better choices,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “We fought this case to protect consumers who, as the court recognized, ‘otherwise would have no voice.’ I am incredibly proud of the Antitrust Division’s team and our state law enforcement partners’ tireless advocacy.”
The District Court blocked the acquisition after a 17-day trial that began in October 2023. In March 2023, the Justice Department, California, Maryland, Massachusetts, New, Jersey, New York, North Carolina, and the District of Columbia sued to stop the merger under Section 7 of the Clayton Act. The Department alleged that if the acquisition was allowed to proceed, prices would increase on routes where the two airlines currently compete as JetBlue sought to acquire and eliminate its main ultra-low-cost competitor, depriving travelers of choice.
Joseph Daniel White Sentenced to 276 Months for Methamphetamine and Firearms ConvictionsRead the Press Release
GREENEVILLE, Tenn. – On March 4, 2024, Joseph Daniel White, 39, currently of Kingsport, Tennessee, was sentenced to 276 months by the Honorable J. Ronnie Greer, in the United States District Court for the Eastern District of Tennessee at Greeneville.
As part of the plea agreement filed with the court, White agreed to plead guilty to Possession of 50 Grams or More of Methamphetamine with Intent to Distribute, in violation of 21 U.S.C. §§ 841(a)(1) and (b)(1)(A) and Brandishing a Firearm in Furtherance of a Drug Trafficking Offense, in violation of 18 U.S.C. § 924(c)(1)(A)(ii). Following his incarceration, White will be on eight years of supervised release. White forfeited $23,668 in cash, as well as seven firearms and ammunition.
According to the plea agreement and evidence presented at the sentencing hearing, officers with the Bristol Tennessee Police Department responded to The Pinnacle shopping area on December 23, 2021. Upon arrival, officers encountered White, who appeared intoxicated and smelled of marijuana. During a search of White and his vehicle, officers located three bags containing 309 grams of methamphetamine, four loaded firearms, $13,861 in cash, drug paraphernalia, psilocybin mushrooms, and various narcotic pills.
On January 10, 2022, law enforcement received a tip that White, who had outstanding arrest warrants, was at a convenience store in Blountville, TN. When law enforcement went to arrest White, he displayed a firearm. Officers were able to grab the firearm and White was arrested. Officers recovered $9,807 in cash, three firearms, heroin, marijuana, and 352 grams of methamphetamine from the defendant.
U.S. Attorney Francis M. Hamilton III of the Eastern District of Tennessee, and Special Agent in Charge, Marcus Watson of the Bureau of Alcohol, Tobacco, Firearms and Explosives made the announcement.
The criminal indictment was the result of an investigation by the Bristol Tennessee Police Department and the ATF. This investigation was led by ATF Special Agent Jamie Jenkins.
Assistant United States Attorney B. Todd Martin represented the United States.
This case was brought as part of Project Safe Neighborhoods (PSN), a comprehensive national strategy that creates local partnerships with law enforcement agencies to effectively enforce existing gun laws. It provides more options to prosecutors, allowing them to utilize local, state, and federal laws to ensure that criminals who commit gun crimes face tough sentences. PSN gives each federal district the flexibility it needs to focus on individual challenges that a specific community face.
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Joplin Man Charged with Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Joplin, Mo., man has been charged in federal court with receiving and distributing child pornography.
Reagan Elijah Alexa Garcia, also known as Elijah Hicklin, 22, was charged in a criminal complaint filed in the U.S. District Court in Springfield on Thursday, Feb. 29, with one count of receiving and distributing child pornography. Garcia remains in federal custody pending a detention hearing on Tuesday, March 5.
According to an affidavit filed in support of the federal criminal complaint, an FBI task force officer on the FBI’s Child Exploitation Task Force in Washington, D.C., entered a private Kik group known as a place where people meet, discuss, and trade original images and videos of children. On Jan. 13, 2024, a user later identified as Garcia entered the group and engaged the undercover officer in a private chat.
Garcia told the undercover officer that he had pornographic images he produced himself, the affidavit says, including images of a 3-year-old child victim that he sent to the undercover officer. Garcia also sent an image of child pornography to the undercover officer that he claimed was produced by giving the child sleeping pills.
On Feb. 21, 2024, Garcia allegedly sent multiple files of child pornography to the undercover officer. According to the affidavit, a child in one of those images is depicted with various restraint devices. In the text conversation, Garcia told the undercover officer that he had sexually assaulted a female child within the past couple of days.
On Feb. 28, 2024, law enforcement officers executed a search warrant at Garcia’s residence. When an FBI agent began patting down Garcia, he began actively resisting. Garcia refused to put his hands behind his back and was taken to the ground, with his hands and arms underneath him. He repeatedly refused to obey commands to put his arms behind his back. Multiple law enforcement officers assisted to force Garcia’s hands and arms behind his back and place him in handcuffs. Multiple broken pieces of a microSD card, which Garcia later admitted to destroying, were found in the area where the struggle with Garcia occurred.
The FBI is asking for the public’s assistance regarding the ongoing investigation into Garcia. If you have any concerns or information you believe relevant to this investigation, please email [email protected] . Additionally, if you know of someone else who has relevant information, please encourage them to contact the FBI via the link provided. Any information provided is voluntary but would be useful in the federal investigation.
The charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Stephanie Wan. It was investigated by the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Huntington Woman Pleads Guilty to Role in Illegal Gambling BusinessRead the Press Release
HUNTINGTON, W.Va. – Allison Jones, 46, of Huntington, pleaded guilty today to conspiracy to conduct an illegal gambling business.
According to court documents and statements made in court, from September 20, 2020 until October 1, 2022, Jones was the online host for an illegal gambling business. Jones admitted to conducting online games of chance for the illegal gambling business on Facebook Live from her Huntington residence.
Jones further admitted that two primary administrators/organizers owned, directed, managed and controlled the illegal gambling business and that it also had several moderators who supervised the online games and handled any customer problems that arose during the games. Jones was among dozens of hosts who conducted the online games. The other members of the illegal gambling business were customers, online gamblers located throughout the United States who played the online games conducted by the illegal gambling business primarily by purchasing pull tabs from hosts.
Jones paid a monthly fee to the administrators/organizers and agreed to the terms they set in exchange for the right to conduct games in the illegal gambling business. Jones admitted that she typically hosted two to three online games per week and made money as a host by selling pull tabs. Online customers would comment in the online comment section for the illegal gambling business to indicate how much money they were wagering and then transfer money to Jones via an external online payment system. Jones would then pull the tabs while the customers watched on Facebook Live. When a customer won prize money, Jones would send the winnings to the customer via the external online payment system.
Jones received about 25 percent of the net sales of each box of pull tabs as her profit. Each box typically contained 4,000 tabs that Jones typically sold to customers for $1 a tab, earning her $600 to $800 per box. Jones further admitted that she purchased the pull tab games from a Charleston-area business about once per week with her profits from hosting online games.
Jones is scheduled to be sentenced on June 17, 2024, and faces a maximum penalty of five years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Department of Homeland Security-Homeland Security Investigations (HSI) and the Federal Bureau of Investigation (FBI).
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorneys Andrew J. Tessman and Kristin F. Scott are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:24-cr-21.
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Huntington Woman Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Christina Lynn Perkins, also known as “Christina Lynn Jack-Davis,” “Cece,” “Christi Jack,” “Ice Queen,” and “CJ,” 51, of Huntington, pleaded guilty today to distribution of a mixture and substance containing methamphetamine.
According to court documents and statements made in court, on July 24, 2020, Perkins sold approximately 1 ounce of methamphetamine to a confidential informant for $800. The transaction occurred at Perkins’ apartment. Perkins admitted to the transaction and to arranging it with the confidential informant beforehand. Perkins further admitted to arranging for another individual to sell approximately 28 grams of methamphetamine to a confidential informant on July 23, 2020, and to selling approximately 13.71 grams of methamphetamine for $350 to a confidential informant in Huntington on December 3, 2020.
Following the December 3, 2020, transaction, law enforcement officers conducted a traffic stop of the vehicle Perkins was driving. Officers seized approximately 314 grams of methamphetamine, 27 grams of cocaine, 6 grams of fentanyl and digital scales. Perkins admitted that she intended to sell the seized controlled substances in exchange for money.
On December 4, 2020, officers searched a residence in Huntington where Perkins stayed as a guest. Officers seized approximately 123 grams of fentanyl, 449 grams of methamphetamine, 139 grams of cocaine and four firearms. Perkins admitted to possessing the firearms and to intending to sell the seized controlled substances.
Perkins is scheduled to be sentenced on June 17, 2024, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA), the Ona Violent Crime and Drug Task Force West, and the West Virginia State Police.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Stephanie Taylor is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:21-cr-178.
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Huntington Man Sentenced to Prison for Fentanyl CrimeRead the Press Release
HUNTINGTON, W.Va. – Jimmie Lee Holbrook, 43, of Huntington, was sentenced today to three years and one month in prison, to be followed by three years of supervised release, for distribution of fentanyl.
According to court documents and statements made in court, on April 10, 2023, Holbrook sold a quantity of fentanyl to a confidential informant in a vehicle outside of a service station in Huntington.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA) and the Cabell County Sheriff’s Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie Taylor prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-149.
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Huntington Man Pleads Guilty to Federal Gun CrimeRead the Press Release
HUNTINGTON, W.Va. – Stephen Dwayne Jackson, also known as “Stacks,” 38, of Huntington, pleaded guilty today to being a felon in possession of a firearm.
According to court documents and statements made in court, on August 18, 2023, law enforcement officers executed a search warrant at a Donald Avenue residence in Huntington. Officers encountered Jackson and seized a loaded Kel-Tech P-11 9mm pistol inside the residence.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Jackson knew he was prohibited from possessing a firearm because of his prior felony conviction for possession with intent to distribute 28 grams or more of cocaine base in United States District Court for the Southern District of West Virginia on August 22, 2011.
Jackson is scheduled to be sentenced on June 17, 2024, and faces a maximum penalty of 15 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Huntington Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Huntington Violent Crime and Drug Task Force.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorneys Courtney L. Finney and Joseph F. Adams are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-178.
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Harrison County man sentenced for federal income tax violationRead the Press Release
MARSHALL, Texas – A Marshall man has been sentenced for a federal income tax violation in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs.
Boyd Lynn Butcher, 51, pleaded guilty to aiding and assisting in the preparation of false tax returns and was sentenced to 36 months in federal prison by U.S. District Judge Rodney Gilstrap on Feb. 27, 2024. Butcher was also ordered to pay restitution in the amount of $317,252.00.
According to information presented in court, between 2015 and 2017, Butcher operated a tax preparer service under the name Boyd’s Tax Service. During that time, he prepared more than 450 federal tax returns for third parties in exchange for a fee even though he was not authorized by the IRS to prepare tax returns for others. When preparing many of those returns, Butcher created false or fraudulent information to generate unwarranted tax refunds. In total, IRS determined that Butcher caused a tax harm to the IRS of more than $317,252.00. For example, Butcher prepared a 2015 tax return using tax software designed for taxpayers who self-prepare returns. The return did not reflect the fact that Butcher had prepared and filed it on behalf of another individual. The return falsely and fraudulently stated that the taxpayer was entitled under the provisions of federal laws to claim car and truck expenses from a farming business. Butcher admitted that he knew that the statement in the return was false and fraudulent because the taxpayer did not have a farming business. Butcher admitted that he knew the return was false and that he had a duty to prepare returns in a lawful manner.
“Mr. Butcher’s fraudulent actions, which included fabricating deductions that were false and misleading, not only abused the trust of sixteen people who relied on Mr. Butcher’s services, but also undermined the very foundations of our tax and government systems,” said U.S. Attorney Damien M. Diggs. “Butcher effectively stole $300,000 from the American people. We appreciate the hard work of the Internal Revenue Service as we continue to work with our partners to uphold the values of justice and fairness.”
“Boyd Butcher took advantage of those who trusted him to prepare their tax by filing incorrect, misleading, and false information to inflate their returns,” said Christopher J. Altemus Jr., special agent in charge of the IRS Criminal Investigation’s Dallas Field Office. “Mr. Butcher’s actions amount to stealing from the Federal Government and his sentencing holds him accountable for his actions. In addition to the three years he will spend in prison, he must pay restitution of more than $300,000 for the tax harm done to his 16 victims.”
The case was investigated by the Internal Revenue Service-Criminal Investigation and prosecuted by Assistant U.S. Attorney Dustin Farahnak.
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Fremont Business Owner Sentenced in Scheme to Use Foreign Bank Accounts to Avoid Millions of Dollars in Income TaxesRead the Press Release
SAN JOSE – Cuong Chi Quan, also known as “Roger Quan,” was sentenced last week to 10 months in prison for crimes related to a scheme to underreport his income by nearly $4.5 million, announced United States Attorney Ismail J. Ramsey and Kareem Carter, Special Agent in Charge of IRS–Criminal Investigation (IRS-CI)’s Washington D.C. Field Office. The sentence was handed down by the Honorable Edward J. Davila, United States District Judge.
On March 27, 2023, Quan was charged by felony information with one count each of willfully aiding and assisting in the preparation of a false tax return, in violation of 26 U.S.C. § 7206(2), and willfully violating foreign bank account reporting requirements, in violation of 31 U.S.C. §§ 5314 and 5322(a). On April 24, 2023, Quan pleaded guilty to both counts.
Quan, 56, of Milpitas, Calif., owned and managed QXQ, Inc. (“QXQ”), a manufacturer of circuit board test fixtures based in Fremont, Calif. QXQ shipped its products to customers in the United States and abroad. According to his plea agreement, Quan admitted that, since before 2014, QXQ maintained two sets of QuickBooks bookkeeping files. One set of books recorded sales to customers in the United States and all of QXQ’s expenses. The second set of books recorded sales to customers in Asia. Quan directed QXQ’s customers in Asia to wire their payments to QXQ’s bank accounts in New Zealand. The income and expenses of QXQ were reported on Quan’s individual Form 1040 tax returns. Quan admitted that he provided his income tax preparer only with the QuickBooks bookkeeping file that recorded QXQ’s sales to customers in the United States and all of its expenses. Further, Quan acknowledged he knowingly did not provide his income tax return preparer with, or disclose to the tax preparer the existence of, the bookkeeping file that recorded QXQ’s sales to customers in Asia or the statements from his and QXQ’s foreign bank accounts, which included significant interest. Quan agreed his actions omitted over $4 million in 2017 income, causing his 2017 federal income taxes to be underreported by $1,783,339.
The plea agreement contains further details of the scheme. For example, Quan admitted that he had signature authority over at least eleven foreign bank accounts in 2017. One of these accounts held a balance of at least $12,137,288.50 on April 15, 2018. Quan admitted that he knowingly did not report the existence of these accounts as required. Quan also did not report the interest earned in foreign bank accounts to his tax return preparer.
Judge Davila imposed restitution to the Internal Revenue Service of $8,167,733 for underreported federal income tax for the years 2014 through 2018. Judge Davila further imposed a fine of $35,000, and a 3-year term of supervised release.
Assistant U.S. Attorney Colin Sampson is prosecuting the case. The prosecution is the result of an investigation by the IRS-CI International Tax and Financial Crimes (ITFC) group, a team of Special Agents dedicated to investigating international tax crimes.
Franklin Man Charged with Dealing Firearms While on State Pretrial ReleaseRead the Press Release
BOSTON – A former Worcester resident, currently residing in Franklin, has been charged with dealing in firearms without a license and receiving a firearm while under indictment in state court for separate firearm offenses.
Juan Otero, 22, was charged with one count of dealing in firearms without a license and one count of receiving a firearm while under indictment. Otero was ordered detained following an initial appearance in federal court in Worcester on March 1, 2024 before Magistrate Judge David H. Hennessy.
According to the charging documents, between Nov. 27, 2023 and Jan. 23, 2024, Otero sold five firearms on four different occasions. It is alleged that one of the firearms was a Glock pistol with a machinegun conversion device, also known as a “Glock switch,” attached. Otero also allegedly sold large capacity magazines and multiple rounds of ammunition.
In 2022, Otero was indicted in Worcester Superior Court for multiple state crimes, including the unlawful possession of a large capacity weapon, unlawful possession of a loaded firearm, unlawful possession of a large capacity firearm and ammunition and attempted assault and battery.
Otero was on release pending trial on the state court charges at the time of his firearm sales in this matter.
The charges of dealing in firearms without a license and receipt of a firearm while under indictment both provide for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Feld Division; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; and Paul Saucier Interim Police Chief of the Worcester Police Department made the announcement today. Valuable assistance was provided by the Drug Enforcement Administration and the Franklin, Mansfield and Auburn Police Departments. Assistant U.S. Attorney Kaitlin J. Brown of the Worcester Branch Office is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Four New Orleans Men Sentenced for Possessing Cars Stolen from Norfolk Southern Railyard and Federal Drug and Gun OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – DESMOND TAYLOR, age 27, QUINTRELL BROWN, age 20, NICKIE WHITLEY, age 35, and ERIN MURTHIL, age 21, all residents of New Orleans, were sentenced on February 27, 2024 by U.S. District Judge Jay C. Zainey after previously pleading guilty to multiple charges in a 20-count indictment.
TAYLOR was sentenced to 72 months imprisonment, followed by 3 years of supervised release, and a $200 mandatory special assessment fee for his convictions for being a felon in possession of a firearm, in violation Title 18, United States Code, Sections 922(g)(1) and 924(a)(8), and possession of a car stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 659.
BROWN was also sentenced to 72 months imprisonment, followed by 3 years of supervised release, and a $400 mandatory special assessment fee for his convictions for conspiracy to possess cars stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 371; possession of a car stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 659; possession with intent to distribute tapentadol, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C); and possession of a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i).
WHITLEY was sentenced to 84 months imprisonment, followed by 3 years of supervised release, and a $500 mandatory special assessment fee for his convictions for four counts of possessing a car stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 659, and being a felon in possession of a firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8).
MURTHIL was sentenced to 65 months imprisonment, followed by 3 years of supervised release, and a $300 mandatory special assessment fee for his convictions for two counts of possessing a car stolen from the Norfolk Southern Railyard, in violation of Title 18, United States Code, Section 659, and possession of a machinegun, in violation of Title 18, United States Code, Sections 922(o) and 924(a)(2).
According to court documents, TAYLOR possessed a 2023 Ford Explorer Timberline stolen from the Norfolk Southern Railyard and, while inside the stolen vehicle, possessed an American Tactical Model MilSport .223 milli-meter caliber firearm.
BROWN was arrested in the French Quarter on February 11, 2023. When NOPD officers attempted to stop him, he fled and, during the chase, threw a loaded Glock Model 19 handgun into a dumpster. When BROWN was apprehended, he had 60 tapentadol pills and over $2,500 in cash in his pockets. The next month, BROWN was captured on surveillance video occupying the same stolen Ford Explorer Timberline as TAYLOR.
WHITLEY participated in the theft of vehicles from the Norfolk Southern Railyard and was captured on surveillance video in March and April of 2023 driving multiple stolen vehicles, including a Ford F-150 Raptor. WHITLEY was also captured on video possessing a stolen Glock Model 19x handgun.
MURTHIL possessed two vehicles taken from the Norfolk Southern Railyard. He was captured on surveillance video driving a stolen Lincoln Aviator, which had a stolen Louisiana military honors license plate affixed to it. While driving the stolen Aviator, MURTHIL took a photograph holding a Glock Model 17 handgun with a machinegun conversion device and drum magazine attached to it. The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted a function test of the gun and confirmed that it functioned as a machinegun.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Department of Homeland Security, Homeland Security Investigations, the Louisiana State Police, and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorney David Berman of the Violent Crime Unit.
Founder of South Carolina Construction Firm Sentenced for Convictions Related to Kickback Payments, Wire Fraud, and Money LaunderingRead the Press Release
COVINGTON, Ky. – The founder of Berenyi, Inc., headquartered in Charleston, S.C., Antoine “Tony” Berenyi, 63, was sentenced on Friday, by U.S. District Judge David Bunning, to 30 months following his convictions for conspiracy to commit honest services wire fraud, wire fraud, and money laundering.
Berenyi was convicted by a federal jury in July 2023. According to the evidence presented at trial, beginning in late 2017, Berenyi entered into an illegal kickback agreement with Jaymin Vinson, an employee of Nucor Steel Gallatin, to deprive Nucor of both money and Vinson’s honest services as an employee. Berenyi and Vinson agreed that Vinson would help steer a $14,950,000 construction management contract, for a $650 million Nucor mill expansion project, to Berenyi’s company and provide other services on behalf of Berenyi within Nucor. This agreement was in exchange for Berenyi paying Vinson a 15% kickback on the contract and was reached without Nucor’s knowledge or approval. These secret kickback payments continued into 2019, totaling over $452,000 kicked back to Vinson.
In addition to the prison sentence, Berenyi was also ordered to pay a $50,000 fine, $753,625 in restitution, and $396,500 in a money judgement.
Vinson, who has also been convicted, is scheduled to be sentenced on March 14, and he faces up to 20 years in prison.
Under federal law, Berenyi must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for two years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Michael E. Stansbury, Special Agent in Charge, FBI, Louisville Field Office, jointly announced the sentencing.
The investigation was conducted by the FBI. Assistant U.S. Attorneys James Chapman and Kyle Winslow are prosecuting the case on behalf of the United States.
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Former Venezuelan Military Official Pleads Guilty to Money Laundering and Bribery SchemeRead the Press Release
MIAMI – A former Venezuelan National Guard major pleaded guilty today to a money laundering scheme involving bribes to foreign officials and defrauding foreign financial institutions.
According to court documents, Nepmar Jesus Escalona Enriquez, 47, of Fort Lauderdale, Florida, and formerly of Venezuela, participated in an illegal scheme, facilitated by bribery and false pretenses, that involved knowingly submitting fraudulent applications to the Venezuelan currency regulation authority, also known as CADIVI, to deceive Banesco Bank, the Central Bank of Venezuela, and the Venezuelan customs authorities into releasing U.S. dollars to Escalona and his co-conspirators outside of Venezuela. The fraudulent applications were submitted to purportedly finance food imports into Venezuela but in reality, were an artifice to enrich the conspirators. This conduct resulted in the transfer of nearly $1.7 million in U.S. dollars from Banesco Bank into an account controlled by the conspirators.
Escalona further admitted that in at least one instance, the co-conspirators arranged for a series of bribes to be paid to officials in Venezuela to prevent the detection of their fraudulent scheme. Escalona also admitted in another instance to instructing a co-conspirator to wire transfer proceeds of the fraud, as well as funds constituting bribes, to four financial institutions in the United States. The five illicit wire transfers totaled approximately $420,847.
Escalona pleaded guilty to one count of money laundering conspiracy. He is scheduled to be sentenced on May 23 and faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, and Special Agent in Charge Deanne L. Reuter of the Drug Enforcement Administration’s (DEA) Miami Field Division made the announcement.
The DEA’s Miami Field Division is investigating the case.
Assistant U.S. Attorney Andrea Goldbarg for the Southern District of Florida and Trial Attorney Emily Cohen and Deputy Chief Joseph Palazzo of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under Case No. 22-CR-20423.
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Former Venezuelan Military Official Pleads Guilty to Money Laundering and Bribery SchemeRead the Press Release
A former Venezuelan National Guard major pleaded guilty today to a money laundering scheme involving bribes to foreign officials and defrauding foreign financial institutions.
According to court documents, Nepmar Jesus Escalona Enriquez, 47, of Fort Lauderdale, Florida, and formerly of Venezuela, participated in an illegal scheme, facilitated by bribery and false pretenses, that involved knowingly submitting fraudulent applications to the Venezuelan currency regulation authority, also known as CADIVI, to deceive Banesco Bank, the Central Bank of Venezuela, and the Venezuelan customs authorities into releasing U.S. dollars to Escalona and his co-conspirators outside of Venezuela. The fraudulent applications were submitted to purportedly finance food imports into Venezuela but in reality, were an artifice to enrich the conspirators. This conduct resulted in the transfer of nearly $1.7 million in U.S. dollars from Banesco Bank into an account controlled by the conspirators.
Escalona further admitted that in at least one instance, the co-conspirators arranged for a series of bribes to be paid to officials in Venezuela to prevent the detection of their fraudulent scheme. Escalona also admitted in another instance to instructing a co-conspirator to wire transfer proceeds of the fraud, as well as funds constituting bribes, to four financial institutions in the United States. The five illicit wire transfers totaled approximately $420,847.
Escalona pleaded guilty to one count of money laundering conspiracy. He is scheduled to be sentenced on May 23 and faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Markenzy Lapointe for the Southern District of Florida, and Special Agent in Charge Deanne L. Reuter of the Drug Enforcement Administration’s (DEA) Miami Field Division made the announcement.
The DEA’s Miami Field Division is investigating the case.
Trial Attorney Emily Cohen and Deputy Chief Joseph Palazzo of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Andrea Goldbarg for the Southern District of Florida are prosecuting the case.
Former Antelope Valley Doctor Sentenced to More Than 3 Years in Federal Prison for Illegally Issuing Prescriptions During Telehealth SessionsRead the Press Release
LOS ANGELES – A former Antelope Valley physician was sentenced today to 37 months in federal prison for illegally dispensing prescriptions for often-abused controlled substances – including opioid-based medications – during telemedicine sessions with “patients” from across the United States.
Raphael Tomas Malikian, 39, who resides in Llano and Palmdale, was sentenced by United States District Judge Dale S. Fischer, who also ordered him to pay a fine of $20,000.
Malikian pleaded guilty in October 2023 to one count of aiding and abetting the acquisition of a controlled substance by fraud and one count of distribution of oxycodone.
The Medical Board of California suspended Malikian’s medical license in November 2021. His license expired in November 2022.
From at least December 2019 to August 2021, Malikian was a licensed physician in California and, in this role, was authorized by the Drug Enforcement Administration (DEA) to prescribe medication. Malikian also owned and operated Happy Family Medicine, a medical clinic that was advertised as being in a co-working space in the Hollywood, but primarily offered telehealth services via telephone or text message communications.
Malikian issued prescriptions for controlled substances to customers without first obtaining the person’s full medical history, conducting a physical examination, requiring medical testing, or utilizing diagnostic tools. Malikian did not verify his customers’ identities before prescribing controlled substances, and he allowed customers to obtain prescriptions in the names of others.
He also worked with two co-conspirators, who provided Malikian with false names, addresses, dates of birth, and Malikian issued controlled substance prescriptions accordingly, which the co-conspirators then filled and re-sold on the black market.
Many of Malikian’s fraudulent controlled substance prescriptions contained notes on the prescriptions or accompanying documentation that falsely urged pharmacies not to verify such prescriptions because medications were emergently needed and the failure to dispense could be life threatening because of the COVID-19 pandemic.
Malikian issued hundreds of false prescriptions for liquid promethazine with codeine during this period – including to people he knew were fictitious patients and which totaled more than 82 liters – and directed them to be sent to various pharmacies across the nation for co-conspirators to obtain.
From April to July of 2020, Malikian prescribed to a buyer 702 pills of 10 milligrams oxycodone and 240 milliliters of promethazine with codeine. The customer, in fact, was an undercover law enforcement officer. Malikian issued each prescription to this buyer without conducting proper medical evaluations or verifying the buyer’s identity and was performed outside the scope of professional practice and without a legitimate medical purpose.
In addition, from May to July of 2020, Malikian prescribed to a customer – who also was an undercover law enforcement officer – 234 pills of the painkiller Norco, which contained a total of 2,340 milligrams of the opioid hydrocodone, and 180 pills of alprazolam, an anxiety medication sold under the brand name Xanax. Once again, Malikian issued each prescription to this buyer without conducting proper medical evaluations or verifying the buyer’s identity and was performed outside the scope of professional practice and without a legitimate medical purpose.
“Considering the nature and circumstances of these offenses, there is no question that [Malikian’s] criminal conduct is serious and that the scope of [his] diversion scheme was expansive,” prosecutors argued in a sentencing memorandum. “The amount of drugs that [Malikian] prescribed without any medical justification is substantial and contributed to this country’s opioid crisis.”
The DEA investigated this matter. The California Department of Justice, Bureau of Medi-Cal Fraud and Elder Abuse provided substantial assistance.
Assistant United States Attorney Brittney M. Harris of the International Narcotics, Money Laundering, and Racketeering Section prosecuted this case.
Federal Jury Finds Conspirators Guilty of Embezzling Hundreds of Thousands of Dollars from Higher Education InstitutionRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Andrea Mitchell (54, Tampa) and Lester Best (53, Tampa) guilty of conspiring to commit wire fraud and 22 substantive counts of wire fraud. Mitchell was also found guilty of two counts of aggravated identity theft. Mitchell and Best each face a maximum penalty of 20 years in federal prison on each of the conspiracy and fraud counts. Mitchell faces an additional 2-year mandatory consecutive sentence on the aggravated identity theft counts. A sentencing date has not yet been set. Mitchell and Best were indicted in December 2022.
According to testimony and evidence presented at trial, Mitchell served as a financial services manager at a higher education institution in the Middle District of Florida. Mitchell, Best, and their coconspirators used her position to embezzle hundreds of thousands of dollars from the institution. Mitchell stole the identities of current and former students at the higher education institution and then used their student identification numbers to access their student sponsorship accounts. Mitchell identified refunds in these accounts made by the higher education institution to a tuition management business and/or a college savings program on behalf of the students and, thereby, located entries reflecting illusory balances in the students’ sponsorship accounts. Mitchell used the illusory balances to create the appearance of funds to back fraudulent checks. She then caused the higher education institution to issue the checks in the names of multiple coconspirators who had been recruited by Best to negotiate the bogus checks. None of these coconspirators were students at the higher education institution. The coconspirators cashed or deposited the fraudulent checks at various financial institutions and then shared the proceeds. As a result, the higher education institution lost more than $835,000.
This case was investigated by the Tampa Police Department, the Federal Bureau of Investigation, and the United States Secret Service. It is being prosecuted by Assistant United States Attorney Candace Garcia Rich.
Federal Jury Convicts Mescalero Man of Domestic AssaultRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI’s Albuquerque Field Office, announced a federal jury returned a guilty verdict against Theodore Ian Chavez, IV for assault of an intimate partner by strangling. Chavez, 26, of Mescalero, and an enrolled member of the Mescalero Apache Tribe, was detained pending sentencing which has been set for June 12, 2024.
A federal grand jury issued an indictment against Chavez on Nov. 15, 2023. According to evidence presented at trial and other publicly available court records, in the early morning hours of August 6, 2023, Chavez strangled and assaulted his intimate partner, Jane Doe, multiple times, resulting in the loss of consciousness and visible bruises. He also shoved Jane Doe into a door, resulting in bruises and a head injury. After the assault, Jane Doe sought medical attention.
When interviewed by law enforcement officers, Chavez confirmed that he and Jane Doe had been intimate partners for several years. Although he initially denied and downplayed the incident which resulted in the assault, he eventually admitted that he had physically restrained Jane Doe following an argument. Chavez admitted that he likely caused the bruising on Jane Doe’s body, including the bruising on Jane Doe’s neck, while attempting to restrain Jane Doe. Chavez stated he was attempting to restrain Jane Doe with a forearm across the chest, but that his forearm slipped and was on Jane Doe’s throat, impeding her ability to breathe. When asked about the signs of manual strangulation, Chavez conceded that he put his hands on Jane Doe’s throat but denied any intention or occurrence of strangulation.
At sentencing, Chavez faces 10 years in prison.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office investigated this case with the assistance of the Bureau of Indian Affairs. Assistant U.S. Attorneys Joni Stahl and J. Kirk Williams are prosecuting the case.
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Estill County Woman Sentenced to 165 Months for Methamphetamine TraffickingRead the Press Release
LEXINGTON, Ky. – An Irvine, Ky., woman, Ladonna Susan Riddell, 36, was sentenced on Monday, to 165 months in federal prison, by U.S. District Judge Karen Caldwell, for possession with the intent to distribute 50 grams or more of methamphetamine.
According to her plea agreement, on July 29, 2022, law enforcement responded to report of a suspected drug transaction. During the investigation, law enforcement located Riddell, discovered she had an active arrest warrant, and took her into custody. A search of her vehicle uncovered 163.32 grams of methamphetamine, which Riddell admitted she intended to distribute.
Under federal law, Riddell must serve 85 percent of her prison sentence. Upon her release from prison, he will be under the supervision of the U.S. Probation Office for five years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Erek Davodowich, Acting Special Agent in Charge, DEA, Louisville Field Division; and Sheriff Chris Flynn, Estill County Sheriff’s Office, jointly announced the sentence.
The investigation was conducted by the DEA and Estill County Sheriff’s Office. Assistant U.S. Attorneys Ron Walker and Brittany Baker are prosecuting the case on behalf of the United States.
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District Man Sentenced to Five Years in Prison for Kidnapping and Assaulting a MinorRead the Press Release
WASHINGTON – Donte Johnson, 38 years old, of Washington, D.C., was sentenced, in the Superior Court of the District of Columbia on March 1, 2024, to 60 months in prison on one count of kidnapping, announced by U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
According to the evidence, on May 20, 2023, outside of the Deanwood Metro Center located in the 4700 block of Minnesota Ave, Northeast, the female victim (then 17 years of age) was commuting home from work and traveled by train to the metro station where her mother and sisters were going to pick her up in their car. The victim was crossing the street to go to her mother’s car when the defendant came from behind her and wrapped his arm around her neck. The victim attempted to fight the defendant off of her, but he pulled her to the ground and then pressed his body on her. The defendant then tried to pull the victim’s pants down. The victim was not able to break free of the defendant until two eyewitness strangers came to her rescue and were able to pull the defendant off of the victim. Shortly after the incident officers arrived and witnesses identified the defendant, who was still on scene, as the individual who assaulted the victim. He was placed under arrest. On September 26, 2023, the defendant plead guilty to one count of kidnapping, without any caps or other restrictions on the government’s recommendation at sentencing.
The Honorable Marisa J. Demeo sentenced Johnson to 60 months of incarceration, to be followed by five years of supervised release. Johnson will be required to register as a sex offender for 10 years after his released.
In announcing the sentence, U.S. Attorney Graves and Chief Smith commended the work of those who investigated the case from the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Marco Crocetti, who investigated and prosecuted the case.
Detroit Man Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Derek Romel Glaze, also known as “Zeke,” 32, of Detroit, Michigan, pleaded guilty today to distribution of 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
According to court documents and statements made in court, on December 1, 2022, Glaze sold approximately 110 grams of methamphetamine to a confidential informant in a vehicle on the 800 block of Marcum Terrace in Huntington. Glaze admitted to the transaction and to arranging it with the confidential informant beforehand.
Glaze further admitted to selling approximately 11 grams of fentanyl to a confidential informant on November 30, 2022, and approximately 29.5 grams of methamphetamine to a confidential informant on January 17, 2023.
Law enforcement officers arrested Glaze on February 7, 2023. Glaze admitted that he told investigators that he received methamphetamine and fentanyl on consignment and distributed it in the Huntington area. Glaze further admitted that he distributed at least 20 pounds of methamphetamine during the preceding six months.
Glaze is scheduled to be sentenced on June 18, 2024, and faces a mandatory minimum of five years in prison, at least four years of supervised release, and a $5 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the Cabell County Sheriff's Office.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Joseph F. Adams is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-20.
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Derry Woman Pleads Guilty to COVID-19 FraudRead the Press Release
CONCORD – A Derry woman pleaded guilty today in federal court for her role in attempting to fraudulently obtain $2.5 million in COVID-19 pandemic relief funds, U.S. Attorney Jane E. Young announces.
Tammy Dodge, 43, pleaded guilty to bank fraud. U.S. District Court Judge Paul J. Barbadoro scheduled sentencing for June 10, 2024. Dodge’s husband and co-conspirator, David Dodge, pled guilty on February 20, 2024, and is scheduled to be sentenced on May 29, 2024.
The Dodges claimed to own or control multiple businesses in New Hampshire and Massachusetts, including Teacher Tammy (a/k/a Teacher Tammy’s), Optimized Operations, and Business Done Right. In reality, these companies had no operations and served no business purpose.
In total, Tammy Dodge and her husband submitted 30 fraudulent applications for Paycheck Protection Program (PPP) loans from private lenders, Economic Injury Disaster Loans (EIDLs) from the Small Business Administration, and pandemic relief grants from the New Hampshire Governor’s Office for Emergency Relief and Recovery (GOFERR) and the Massachusetts Growth Capital Corporation (MGCC).
Tammy Dodge used fake supporting documents in the applications. For example, on January 25, 2021, she applied for a $35,833 PPP loan for Teacher Tammy. She provided the lender a purported check and February 2020 bank statement for a TD Bank account in the name of Teacher Tammy. However, the account was under the defendant’s own name and did not even exist until June 2020. The defendant also provided fake tax documents.
Overall, because lenders detected most of the fraudulent applications, the Dodges were able to obtain $219,323.34 out of the approximately $2.5 million they sought. They misused some of the fraudulently obtained funds.
The charging statute provides a sentence of no greater than 30 years in prison, 5 years of supervised release, and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The Treasury Inspector General for Tax Administration led the investigation. Assistant U.S. Attorney Alexander S. Chen is prosecuting the case.
During the early part of the coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act included multiple relief provisions to help the millions of Americans and many small businesses adversely affected by the pandemic, including the Paycheck Protection Program (PPP). Private lenders could participate in the PPP. The loans, which were supposed to be used for payroll, were fully guaranteed by the government. If borrowers used the PPP loans for payroll and other approved expenses as intended, they could apply for loan forgiveness. The CARES Act also opened up the Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program. As with PPP loans, EIDL loans were supposed to be used for payroll and other business expenses such as rent and mortgage.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Defendant Posed as a Police Officer to stop the Victims and then Carjacked and Assaulted Victims to Rob the Victims or their EmployersRead the Press Release
Baltimore, Maryland – Davonne Tramont Dorsey, age 30, of Gwynn Oak, Maryland pleaded guilty on March 1, 2024, to carjacking and to using, carrying and possessing a firearm during a crime of violence. Dorsey also admitted that he and other conspirators kidnapped victims and attempted to rob them, using force and threats of force.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge R. Joseph Rothrock of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Richard Worley of the Baltimore Police Department; Chief Robert McCullough of the Baltimore County Police Department; Harford County Sheriff Jeffrey R. Gahler; and Harford County State’s Attorney Alison Healey.
According to his plea agreement, in May and August 2021, Dorsey and other conspirators planned to impersonate police officers to stop vehicles, carjack and abduct victims, and use force and threats of force to steal cash Dorsey and other conspirators posed as police officers, using police vests, badges, and a law enforcement-type light bar, to stop the victims and their vehicles, and brandished firearms and a blow torch during the kidnappings.
As detailed in the plea agreement, on May 15, 2021, driving a Ford Fusion with police-style lights, Dorsey and other members of the conspiracy drove to Edgewood, Maryland to abduct and rob J.H. Dorsey and the others were wearing police-style vests with “police” written on them, masks, and gloves. Around midnight on May 15-16, 2021, J.H. left Edgewood, driving a 2022 Toyota Camry. The members of the conspiracy used the police-style lights to stop J.H’s vehicle. Dorsey and the conspirators, armed with firearms, approached J.H.’s car and identified themselves as police. The conspirators told J.H. that he had an outstanding warrant, and that he was under arrest. The conspirators put J.H. in handcuffs, put duct tape over his eyes and mouth, bound his feet, and put him in the back of their vehicle. J.H. was then driven away in the Ford Fusion with two of the conspirators while two other members of the conspiracy followed in J.H.’s Camry. While JH was in the Ford Fusion, the conspirators demanded $10,000, told J.H. that they knew where he lived and that they would kill his parents if he did not cooperate. One of the conspirators used a blow torch to burn J.H.’s chest multiple times when J.H. did not answer questions. The conspirators took J.H.’s necklace, wallet, phone, and car keys. After more than 5 hours of driving and demanding money, the conspirators released J.H. in Baltimore City at approximately 5:20 a.m.
Further, Dorsey admitted that on August 2, 2021, he and two co-conspirators approached victim A.K. as she left the check cashing business where she worked. The conspirators, wearing police vests and badges, brandished firearms to kidnap victim A.K. and placed her into the rear of one of their vehicles equipped with law enforcement-type lights. The driver was holding a blowtorch with a blue fuel canister, and A.K. observed a bottle of bleach on the floor in the back of the car. After A.K. entered the vehicle, the men bound A.K.’s wrists behind her back with zip-ties and used black duct tape to affix a blindfold over her eyes. One of the men stated to A.K., “We don’t burn sisters.”
According to the plea agreement, while in the vehicle, the men took A.K.’s wallet, phone, and keys, which included the keys to the check cashing business. The men demanded that A.K. provide access to the check cashing business, including demanding the A.K. provide the men with access codes, safe codes, and the amount of money in the safe at the business. The men demanded information from A.K. for nearly 6 hours, then released A.K. in Edmonson Village in Baltimore City at approximately 1:00 a.m. Before they drove away, the men instructed A.K. not to remove her face covering until they had driven away.
Dorsey and the government have agreed that, if the Court accepts the guilty plea, a sentence of 15 years in federal prison is the appropriate disposition of the case. U.S. District Judge Matthew J. Maddox has scheduled sentencing for June 10, 2024, at 10:00 a.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN, an evidence-based program proven to be effective at reducing violent crime, is the centerpiece of the Department of Justice’s violent crime reduction efforts. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Erek L. Barron commended the FBI, the Baltimore Police Department, the Baltimore County Police Department, the Harford County Sheriff’s Office, and the Harford County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorneys Paul E. Budlow and Spencer Todd, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Court Sets Preliminary Hearing for Diego Ibarra at Initial AppearanceRead the Press Release
MACON, Ga. – Diego Ibarra, a Venezuelan citizen charged with possessing a fraudulent green card in Athens, Georgia, on Feb. 23, will have a standard preliminary hearing regarding probable cause and the government’s motion to detain on Thursday, March 7, at 10 a.m., as ordered by a U.S. Magistrate Judge at his initial appearance in federal court this afternoon.
Diego Ibarra, 28, of Venezuela, is charged by criminal complaint with possession of a fraudulent document. If convicted, Ibarra faces a maximum of ten years in prison. Diego Ibarra is the brother of Jose Antonio Ibarra, 26, of Venezuela, who is facing state charges for malice murder, felony murder, aggravated battery, aggravated assault, false imprisonment, kidnapping, hindering a 911 call and concealing the death of another in the homicide of Laken Hope Riley.
The case is being investigated by Homeland Security Investigations (HSI) with critical assistance from FBI, GBI, Athens-Clarke County Police Department, University of Georgia Police Department and Clarke County Sheriff’s Office.
Assistant U.S. Attorney Mike Morrison is prosecuting the case.
A complaint is only an allegation of criminal conduct, and all defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.
Chief Executive Officer of A Las Vegas-Based Company Convicted for Multimillion-Dollar Fraud and Money Laundering SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that MARTIN MIZRAHI, a/k/a “Marty Mizrahi,” was convicted of wire fraud, bank fraud, money laundering, aggravated identity theft, and other offenses for his participation in multiple schemes to defraud banks and credit card companies of almost $8 million and to launder more than $4 million in fraud and illegal narcotics proceeds. The verdict followed a 12-day trial before U.S. District Judge J. Paul Oetken.
U.S. Attorney Damian Williams said: “Martin Mizrahi brazenly used his company as a front to launder millions of dollars in drug and fraud proceeds and to deceive credit card companies into processing additional millions of dollars in sham charges. The jury’s unanimous verdict sends a resounding message that individuals who steal and introduce illicit funds into the U.S. financial system will be held accountable.”
According to the evidence presented in court during the trial:
From at least in or about February 2021 through at least in or about June 2021, MIZRAHI and his co-defendants participated in multiple schemes to defraud banks and credit card companies and to launder narcotics proceeds in addition to the fraud proceeds received.
Beginning in or about February 2021, MIZRAHI began accepting bulk cash narcotics proceeds, which he laundered for individuals associated with a Mexican-based cartel by converting the money into Bitcoin and then sending it to anonymous cryptocurrency wallets provided to him by co-conspirators. In addition, MIZRAHI laundered fraud proceeds sent to his company by wire transfer, which he also converted into cryptocurrency before sending it to anonymous cryptocurrency wallets. Those funds were obtained through, among other things, a business email compromise scheme in which a New York City-based non-profit organization had more than $3 million dollars stolen from it by hackers. Between February and June 2021, MIZRAHI laundered a total of more than $4 million in fraud and narcotics proceeds.
In addition, between April and June 2021, MIZRAHI participated in a credit card fraud scheme in which he ran nearly $8 million in fraudulent credit card charges through his company. Those charges were run on multiple credit cards issued in the names of third parties, some of which had been stolen, and without any legitimate work being done or services being provided. As part of the scheme, MIZRAHI prepared false invoices which he sent to banks and credit card companies to justify the charges.
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MARTIN MIZRAHI, 51, of Las Vegas, Nevada, was convicted of (i) conspiracy to commit wire fraud and bank fraud, which carries a maximum sentence of 30 years in prison; (ii) wire fraud, which carries a maximum sentence of 20 years in prison; (iii) bank fraud, which carries a maximum sentence of 30 years in prison; (iv) conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison; (v) money laundering, which carries a maximum sentence of 20 years in prison; (vi) aggravated identity theft, which carries a mandatory minimum sentence of two years in prison to run consecutively to any other prison terms imposed; and (vii) conspiracy to operate an unlicensed money transmitting business, which carries a maximum sentence of five years in prison.
The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the Federal Bureau of Investigation for its outstanding work on the investigation.
The prosecution of this case is being handled by the Office’s White Plains Division and the Illicit Finance and Money Laundering Unit. Assistant U.S. Attorneys Benjamin Klein and Emily Deininger are in charge of the prosecution, with the assistance of Paralegal Specialists Dean Iannuzzelli and Nerlande Pierre.