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Friday 16 February 2024
DeKalb, Ill. Man Sentenced to 25 Years in Prison for Sexually Exploiting ChildrenRead the Press Release
ROCKFORD — A DeKalb, Ill. man was sentenced today to 25 years in federal prison for sexually exploiting children.
MARQUESE CANNON was 22 years old in 2022 when he began communicating online with a 12-year-old girl. The conversations began on Snapchat and continued through text messaging and phone calls. During these communications, Cannon enticed the victim into sending him sexually explicit photos and videos of herself. Cannon instructed the girl on what type of sexually explicit conduct should be portrayed in the photos and videos.
In addition to those videos and photos, Cannon also possessed on his phone a collection of hundreds of images of other children engaged in sexually explicit conduct.
Cannon pleaded guilty last year to a federal charge of production of child pornography. U.S. District Court Judge Iain D. Johnston imposed the prison term and ordered that it be followed by a lifetime of court-supervised release. Judge Johnston also ordered Cannon to pay $34,000 in restitution to six victims.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr. Special Agent-in-Charge of the Chicago Field Office of the FBI. The DeKalb, Ill. Police Department provided valuable assistance in the investigation. The government was represented by Assistant U.S. Attorney Jessica S. Maveus.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to https://www.missingkids.org/ or calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Corn Milling Company Officials Sentenced to Federal Prison for Their Role in Deadly Explosion that Killed Five WorkersRead the Press Release
U.S. District Court Judge James D. Peterson for the Western District of Wisconsin today and yesterday sentenced Didion Milling Inc. officials – including a corporate vice president and former food safety, environmental, and operations managers – for their role in a fatal explosion at a mill operated by Didion.
“These defendants put Didion workers in grave danger and five people tragically lost their lives, devastating their families and their community,” said Attorney General Merrick B. Garland. “Companies of all sizes should take note: failure to comply with our country’s workplace safety and environmental laws can cost workers their lives and put individual corporate managers in federal prison.”
On May 31, 2017, at around 10:30 p.m., a fire originated in milling equipment at Didion’s corn mill in Cambria, Wisconsin. The fire led to a series of combustible dust explosions in the facility, killing five workers and seriously injuring others. The explosions also damaged and caused the collapse of multiple mill buildings. An investigation into Didion’s worker and food safety and environmental practices uncovered criminal violations of law attributable to both the company and senior officials.
Grain milling generates grain dust, which must be effectively managed for workplace safety, environmental, and food safety and quality reasons. Mill operators must adhere to rules and requirements intended to minimize hazards. Grain dust is combustible, and mill operators need to maintain workplace safety through cleaning programs that remove dust accumulations from inside a mill. Mill operators must also capture dust before it is emitted into the environment as particulate matter, a kind of air pollutant. Investigations of the explosion at Didion’s Cambria mill uncovered long-standing inadequate safety measures and improper handling of grain dust that Didion and its employees concealed through falsified documents and other obstructive conduct.
In October 2023, the Justice Department secured guilty pleas from the company, Didion, and company officials, as well as convictions against two more Didion officials. Today and yesterday, three defendants were sentenced to prison time for their crimes, and another three were sentenced to probation. Sentencing for an additional defendant is scheduled for March. The company was sentenced last month.
“Workplace and environmental safety are of paramount importance,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “We will continue seeking to enforce regulations designed to prevent workplace disasters, and also to punish deceptive conduct that would undermine the administration of these important federal programs.”
“Didion Milling and its senior managers put corporate profits ahead of worker safety and environmental protection, with tragic consequences,” said Assistant Administrator David M. Uhlmann of the Environmental Protection Agencie’s (EPA) Office of Enforcement and Compliance Assurance. “The sentences imposed this week demonstrate that EPA and its law enforcement partners are committed to seeking justice for victims of environmental crime and their families.”
“The Didion Milling dust explosion was a tragic incident resulting from a notorious industrial hazard. Individuals considering falsifying records are on notice that making false statements and attempting to obstruct our investigation are serious crimes and will be punished as such,” said Acting Secretary of Labor Julie Su. “The court’s sentences hold the company and these individuals accountable and send a clear message that cover-ups related to workplace safety will not be tolerated.”
Didion Vice President of Operations, Derrick Clark, was sentenced to two years in prison, a year of supervised release, and a $5,000 fine. Clark was convicted in October 2023 of conspiring to falsify documents relating to dust cleaning practices in the mill and the operation of air pollution prevention equipment, and making false compliance certifications as Didion’s “responsible official” under the Clean Air Act. He was also convicted for obstructing the Occupational Safety and Health Administration’s (OSHA) investigation of the explosion at the corn mill by making false and misleading statements during a sworn deposition.
Former Environmental Manager Joseph Winch was sentenced to two years in prison, two years of supervised release, and a $10,000 fine for conspiring to falsify Didion’s environmental compliance certifications. Winch pleaded guilty to the conspiracy charge before trial, but the court’s sentencing took into consideration Winch’s effort to obstruct the trial of his co-defendants by committing perjury during his trial testimony.
Former Food Safety Superintendent Shawn Mesner was sentenced to two years in prison and a year of supervised release after being convicted in October 2023 of conspiring to commit fraud and to falsify Didion’s sanitation log. Falsification of the log was part of a scheme to mislead Didion’s customers and auditors about the company’s sanitation practices. The log also related to Didion’s compliance with worker safety protections, including the required cleanup of combustible dust, like fine grain dust, to prevent fires and explosions in grain handling facilities. The log purported to be a record of those dust cleanings. Mesner also provided untruthful testimony to OSHA during a sworn statement after the explosion.
Judge Peterson also sentenced three former Didion shift superintendents – Anthony Hess, Joel Niemeyer and Michael Bright – who were convicted of crimes relating to falsification of Didion’s sanitation log. All three pleaded guilty to felonies before trial and accepted responsibility for their actions. Hess was sentenced to a year of probation and a $5000 fine; Niemeyer was sentenced to a year of probation and a $1000 fine; and Bright was sentenced to a year of probation. A fourth shift superintendent who pleaded guilty to felonies, Nicholas Booker, is scheduled to be sentenced in March.
Didion, the company, pleaded guilty to falsifying its environmental and sanitation logs. Judge Peterson sentenced the company last month to pay $10.25 million in restitution to the victims of the May 2017 explosion and a $1 million fine, as well as to serve five years of probation with special conditions related to oversight of Didion’s operations.
Information on how to file a safety and health complaint about unsafe work conditions can be found at www.osha.gov/workers/file-complaint. Information about how to file a complaint of retaliation for having engaged in workplace safety-related protected activity can be found at the same website.
Information on how to report suspected environmental violations may be found at echo.epa.gov/report-environmental-violations Information on how to file a retaliation compliant based on protected activity under the Clean Air Act can be found at www.osha.gov/sites/default/files/publications/OSHA3784.pdf.
The EPA Criminal Investigation Division investigated the case.
Trial Attorneys Samuel Charles Lord and Joel La Bissonniere and Senior Trial Attorney Richard J. Powers of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case, with logistical and victim services support from the U.S. Attorney’s Office for the Western District of Wisconsin.
Columbus man sentenced to more than 14 years in prison for committing 6 robberiesRead the Press Release
COLUMBUS, Ohio – A Columbus man was sentenced in federal court today to 171 months in prison for committing six robberies in Columbus in September and October 2020.
Ronald Lee Jacobs, 46, was convicted following a jury trial in August 2023 of six counts of robbery and one count of brandishing a firearm during a crime of violence.
At the time of the robberies, Jacobs was under supervision with the State of Ohio after serving a nine-year sentence for aggravated robbery with a firearm specification.
According to court documents and trial testimony in his current case, Jacobs committed at least six recent robberies, including:
- Hampton Inn on South Hamilton Road on Sept. 5, 2020,
- Wing Snob on North High Street on Sept. 12, 2020,
- United Dairy Farmers on North High Street on Sept. 24, 2020,
- Shell Gas Station on South Hamilton Road on Sept. 30, 2020,
- Wing Snob on North High Street on Oct. 8, 2020, and
- Walgreens on East Livingston Avenue on Oct. 12, 2020.
During the robberies, Jacobs typically wore either an inside-out gray sweatshirt or a dark sweatshirt, dark pants and used a blue bandana. Jacobs was employed at a glue factory and, during multiple robberies, had visible glue splatters on his clothing. He called off work for one robbery and left during his shift to commit another one of the robberies.
In jail calls, Jacobs discussed the firearms he used and said he committed the robberies because he was “broke” and needed to pay child support.
“There’s no excuse for committing dangerous crimes,” said U.S. Attorney Kenneth L. Parker. “There are numerous resources available to assist individuals who are returning to our communities from periods of incarceration. In this case, we are grateful that no one was seriously harmed or killed by Jacobs’s actions and his sentence reflects the fact that bad choices often have serious consequences.”
Jacobs was charged by criminal complaint and arrested in November 2020. In March 2021, a federal grand jury returned an indictment against Jacobs and that indictment was superseded in September 2021.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); and Columbus Police Chief Elaine Bryant announced the sentence imposed today by Chief U.S. District Judge Algenon L. Marbley. Assistant United States Attorneys Elizabeth A. Geraghty and S. Courter Shimeall are representing the United States in this case.
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Collegeville Man Sentenced to 97 Months in Prison for Scheme to Sell Fraudulent Canine Cancer Drugs to Pet OwnersRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Jonathan Nyce, 73, of Collegeville, Pennsylvania, was sentenced today to 97 months in prison, three years of supervised release, and a $500 special assessment for carrying out a years-long scheme to defraud pet owners of money by falsely claiming to sell drugs that could cure canine cancer. A federal jury convicted Nyce of wire fraud and the interstate shipment of misbranded animal drugs in December 2022.
In perpetrating the scheme, Nyce created several companies, including “Canine Care,” “ACGT,” and “CAGT,” through which he purported to develop drugs intended to treat cancer in dogs. Beginning in 2012, using various websites for these companies, the defendant marketed these “cancer-curing” medications to desperate pet owners, using the drug names “Tumexal” and “Naturasone.” The websites made numerous false and fraudulent claims regarding the safety and efficacy of these supposed drugs, including that “Tumexal is effective against a wide variety of cancers,” and, “[i]n fact, Tumexal will almost always restore a cancer-stricken dog’s appetite, spirit and energy!” In reality, these drugs were nothing more than a collection of bulk ingredients from various sources, which the defendant blended together himself at a facility on Arcola Road in Collegeville.
Further, through email and telephone conversations, Nyce induced the owners of terminally ill dogs to pay him hundreds or thousands of dollars for these drugs by touting the effectiveness of his products in treating a host of canine cancers. He also told prospective customers that their pets could become part of clinical trials, but in order to do so, they had to pay him large sums of money. Evidence presented at trial showed the defendant sold nearly $1,000,000 worth of drugs to approximately 900 different victims. The defendant’s marketing, sale, and shipment of these drugs violated the Food and Drug Administration’s Food, Drug, and Cosmetic Act because the drugs were not approved by the FDA. The defendant even falsely claimed in promotional materials that his company’s research was “funded in part by the U.S. Food and Drug Administration.”
“In shopping these worthless ‘drugs’ to desperate pet owners, Jonathan Nyce’s actions were both criminal and cruel,” said U.S. Attorney Romero. “He deliberately exploited people’s emotions, their love for their ailing dogs, purely for his own financial gain. Many people consider dogs members of their families, so they’re especially vulnerable to such schemes. For defrauding his victims and thumbing his nose at the FDA, justice demanded that Mr. Nyce be held accountable.”
“The FDA’s animal drug approval process ensures that our pets receive safe and effective products. Ignoring the FDA’s requirements and selling unapproved drugs to vulnerable U.S. consumers will not be tolerated,” said George A. Scavdis, Special Agent in Charge of the FDA Office of Criminal Investigations Metro Washington Field Office. “We will aggressively pursue and bring to justice those criminals who place profits above the health and safety of animal patients.”
The case was investigated by the Food and Drug Administration’s Office of Criminal Investigation with assistance from the Consumer Protection Branch of the Department of Justice and is being prosecuted by Assistant United States Attorney Christopher E. Parisi.
Bridgeport Man Pleads Guilty to Federal Robbery OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that JERMAINE BETHEL, 27, of Bridgeport, pleaded guilty yesterday in Bridgeport federal court to a federal robbery offense.
According to court documents and statements made in court, on April 28, 2023, Bethel and three associates drove to a Bridgeport apartment building where they intended to carry out a robbery at an apartment where they believed they would find drugs and drug proceeds. Bethel, wearing gloves and a surgical mask, and two associates, one of whom carried a crowbar, entered the apartment building. Bethel’s third associate stayed in the vehicle to serve as a getaway driver. After failing to enter the apartment, Bethel and his associates returned to the vehicle, where they were encountered by a law enforcement. Officers searched the vehicle and its occupants and seized two handguns and the crowbar. A search of Bethel’s person revealed 45 small bags containing crack cocaine.
Bethel pleaded guilty to conspiracy to commit Hobbs Act Robbery, an offense that carries a maximum term of imprisonment of 20 years. He is scheduled to be sentenced on May 7 by U.S. District Judge Jeffrey A. Meyer in New Haven.
Bethel has been detained since his arrest on April 28, 2023.
This investigation is being conducted by FBI’s Bridgeport Safe Streets Task Force and the Bridgeport Police Department. The case is being prosecuted by Assistant U.S. Attorneys Ross Weingarten and Karen Peck.
Bread Springs Man Charged with Assault and Federal Firearms OffenseRead 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 Federal Bureau of Investigation’s Albuquerque Field Office, announced that Arthur Chee Pat appeared in federal court on a criminal complaint charging him with assault with a dangerous weapon and using and carrying a firearm during and in relation to a crime of violence. Pat, 68, of Bread Springs, New Mexico, and an enrolled member of the Navajo Nation, will remain on conditions of release pending trial, which has not been scheduled.
According to the criminal complaint, on January 22, 2024, John Doe and three other men were gathered in front of Doe’s residence in Bread Springs. Pat, who lived nearby, heard the four men yelling and went to see the nature of the commotion. Pat returned to his residence to retrieve a firearm and then drove to the location of the yelling. When Pat arrived, he told his son (who was one of the men gathered in Doe’s front yard) to get in Pat’s truck. Pat then brandished a firearm and fired three gunshots in the direction of one man and two more in John Doe’s direction, striking Doe once in the knee. Pat then drove away with his son.
John Doe was transported to Gallup Indian Medical Center and was subsequently transferred to the University of New Mexico Hospital in Albuquerque. Pat was detained by law enforcement at his residence soon after the incident. Officers located the handgun in the back of Pat’s vehicle.
A criminal complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted of the current charges, Pat faces up to life in prison.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Department of Criminal Investigations. Assistant U.S. Attorney Zachary Jones is prosecuting the case.
View the Criminal Complaint# # #
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Boston Man Sentenced to 10 Years in Prison for Distributing MethamphetamineRead the Press Release
BOSTON – A Boston man was sentenced yesterday in federal court in Boston for distributing large quantities of methamphetamine.
Joshua Westbrook, 26, was sentenced by U.S. District Court Judge Angel Kelley to 10 years in prison and five years of supervised release. In April 2023, Westbrook pleaded guilty to one count of distribution and possession with intent to distribute 50 grams or more of methamphetamine.
Westbrook was a methamphetamine dealer who sold large quantities of methamphetamine to others. In November 2021, in Dorchester, Westbrook distributed over 360 grams of pure methamphetamine to a cooperating witness. During the controlled purchase, Westbrook was observed carrying multiple knives, including a machete style knife. Later that month, a package destined for Westbrook was seized which contained over 440 grams of pure methamphetamine. An additional 500 grams of pure methamphetamine, a machete and a billy club were also seized from Westbrook over the course of the investigation.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Commissioner Carol Mici of the Massachusetts Department of Correction made the announcement today. Valuable assistance was provided by the United States Postal Service; Plymouth County and Norfolk County Sheriff’s Offices; Massachusetts State Police; and the Portland (Maine), Watertown, Waltham, Concord, Reading, Peabody and Hudson Police Departments. Assistant U.S. Attorney Alathea Porter of the Criminal Division prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Ashland Man Sentenced on Child Pornography ChargesRead the Press Release
United States Attorney Susan Lehr announced that Conner Chapman, 21, of Ashland, Nebraska, was sentenced February 16, 2024 in federal court in Omaha, Nebraska, for receiving and distributing child pornography. Chief United States District Court Judge Robert F. Rossiter, Jr. sentenced Chapman to 120 months’ imprisonment. There is no parole in the federal system. After Chapman’s release from prison, he will begin a 5-year term of supervised release and register as a sex offender.
In November of 2021, Nebraska’s Internet Crimes Against Children investigation team received a Cypertip from the National Center for Missing and Exploited Children (NCMEC) reporting 5 video files were uploaded by a KIK user that contained child pornography. The IP address used for uploading of the files was identified as belonging to Chapman’s residence.
In September, 2022, a search warrant was executed on Chapman’s residence and a phone belonging to Chapman was seized. Chapman was interviewed and eventually admitted to viewing child pornography online. Chapman’s phone was forensically searched and 216 image files and 7 video files of child pornography were found.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by the Nebraska State Patrol.
*CORRECTED* Former Economy Inn Managers Sentenced for Conspiracy to Distribute Controlled SubstancesRead the Press Release
Gulfport, MS – Two former managers for the Economy Inn in Bay St. Louis were sentenced on February 14, 2024, for their involvement in a conspiracy to possess with intent to distribute a controlled substance.
Pernell Robert Galloway, 54, was sentenced to 131 months in prison and Cassie Louise McKenzie, 42, was sentenced to 115 months in prison.
According to court documents, in 2023, agents began investigating drug activity at the Economy Inn located on US Hwy 90 in Bay St. Louis. Agents received information that Pernell Robert Galloway and Cassie Louise McKenzie were managers at the hotel but also selling drugs from the hotel. Law enforcement began doing controlled purchases of methamphetamine from the duo. On or about June 8, 2023, a search warrant was executed at the Economy Inn where Galloway and McKenzie were located. During the search, agents located an additional 14 grams of what field tested positive for methamphetamine in two separate bags. Agents also located a firearm, digital scales, and additional unused distribution baggies.
Galloway and McKenzie were indicted by a federal grand jury and they subsequently pled guilty to conspiracy to possess with intent to distribute a controlled substance.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Acting Special Agent in Charge Michael J. Arnett of the Drug Enforcement Administration made the announcement.
The case was investigated by the Drug Enforcement Administration and the Hancock County Sheriff’s Office.
Assistant U.S. Attorney Erica Rose prosecuted the case.
*An earlier press release dated February 14, 2024, mistakenly stated the substance at issue was a mixture of methamphetamine and fentanyl. The press release should have only referenced methamphetamine.
Thursday 15 February 2024
Washington Man Sentenced for His Role in South Dakota Fentanyl ConspiracyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Karen E. Schreier has sentenced a Spokane, Washington, man convicted of Conspiracy to Possess a Controlled Substance with Intent to Distribute. The sentencing took place on January 29, 2024.
Jason James Brickner, 44, was sentenced to two years and nine months in federal prison, followed by three years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Jason Brickner and Sonny Evenson were indicted for Conspiracy to Possess a Controlled Substance with Intent to Distribute by a federal grand jury in February of 2023. Brickner pleaded guilty on October 4, 2024. His co-conspirator, Sonny Evenson, 39, also of Spokane, Washington, pleaded guilty to the same charge on December 11, 2023, and is scheduled to be sentenced on February 26, 2024.
On June 13, 2022, Brickner was driving a vehicle in which Evenson was a passenger, when the men were pulled over for a traffic violation on I-90 in South Dakota by a South Dakota Highway Patrol Trooper. Ultimately, the vehicle and Brickner were searched and the Trooper located more than 40 grams of fentanyl.
This case was investigated by the FBI and the South Dakota Highway Patrol. Assistant U.S. Attorney Elizabeth Ebert prosecuted the case.
Brickner was immediately remanded to the custody of the U.S. Marshals Service.
Utah Woman Accused of Assaulting Multiple Federal Officers is IndictedRead the Press Release
SALT LAKE CITY, Utah – A federal grand jury in Salt Lake City, Utah, returned an indictment Feb. 14, 2024, charging a Salt Lake County woman with federal crimes after she allegedly assaulted multiple U.S. Marshals, while resisting arrest.
According to court documents, Melissa Lynn Trotter, 24, of Sandy, Utah, allegedly assaulted multiple federal law enforcement officers on February 7, 2024, during the arrest of a wanted fugitive. That evening, Deputy United States Marshals and Task Force Officers of the District of Utah’s Violent Fugitive Apprehension Strike Team (VFAST) attempted to arrest a fugitive outside a CVS located in West Valley City, Utah. Trotter was in a vehicle with the fugitive when the fugitive exited the vehicle and entered the CVS. When the fugitive returned to the vehicle, officers surrounded it with their vehicles. While blocking the vehicle, officers activated their red and blue flashing emergency law enforcement lights, and some officers exited their vehicles and identified themselves as U.S. Marshals. Despite law enforcements calls to Trotter to turn the vehicle off and drop the keys outside the window, she refused to comply.
As alleged in court documents, Trotter placed the vehicle in reverse and forcibly tried to back out of the parking space. Trotter assaulted two federal officers by ramming the officers’ vehicle as they attempted to block her exit. Trotter then drove over a parking barrier and on the CVS parking lot customer sidewalk as she attempted to escape through a vacant stall. Trotter then rammed head-on into the front passenger side of another federal law enforcement vehicle, that had blocked that parking stall. A third Deputy U.S. Marshal positioned his vehicle to block Trotter from escaping. Subsequently Trotter stopped the vehicle and she and the fugitive were taken into custody.
Trotter is charged with three counts of assault upon a federal officer involving the use of a deadly weapon. Her initial court appearance on the indictment is scheduled for Feb. 16, 2024, at 11:45 a.m. in courtroom 8.4 before a U.S. Magistrate Judge at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
U.S. Attorney, Trina A. Higgins, of the District of Utah made the announcement.
The U.S. Marshals Service is investigating the case.
Assistant United States Attorney Kevin Sundwall of the U.S. Attorney’s Office for the District of Utah is prosecuting the case.
Union County Man Sentenced to 80 Months in Prison for Receiving Child PornographyRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man was sentenced today to 80 months in prison for receiving videos and images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced.
Joshua Cremosnik, 50, of Rahway, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge Julien Xavier Neals to an information charging him with one count of receipt of child pornography. Judge Neals imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From April to August 2021, Cremosnik received videos of child sexual abuse via a publicly available online peer-to-peer (P2P) file-sharing program. Subsequent to a lawful search of his residence, law enforcement officers recovered numerous videos and images of child sexual abuse on Cremosnik’s laptop and electronic storage media. Cremosnik acknowledged using the P2P network to request and receive child pornography materials and stored those materials on his laptop and electronic storage media.
In addition to the prison term, Judge Neals sentenced Cremosnik to five years of supervised release and ordered restitution of $208,694.
U.S. Attorney Sellinger credited the Newark Child Exploitation and Human Trafficking Task force, under the direction of FBI Special Agent in Charge James E. Dennehy, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Farhana C. Melo of the Criminal Division in Newark.
Ukrainian National Extradited to U.S. for Alleged CybercrimesRead the Press Release
AUSTIN, Texas – A Ukrainian national was extradited to the United States from the Netherlands after being indicted for crimes related to fraud, money laundering and aggravated identity theft.
According to court documents, Mark Sokolovsky, 28, conspired to operate the Raccoon Infostealer as a malware-as-a-service or “MaaS.” Individuals who deployed Raccoon Infostealer to steal data from victims leased access to the malware for approximately $200 per month, paid for by cryptocurrency. These individuals used various ruses, such as email phishing, to install the malware onto the computers of unsuspecting victims. Raccoon Infostealer then stole personal data from victim computers, including log-in credentials, financial information, and other personal records. Stolen information was used to commit financial crimes or was sold to others on cybercrime forums.
In March 2022, concurrent with Sokolovsky’s arrest by Dutch authorities, the FBI and law enforcement partners in Italy and the Netherlands dismantled the digital infrastructure supporting the Raccoon Infostealer, taking its then existing version offline.
Sokolovsky is charged with one count of conspiracy to commit fraud and related activity in connection with computers; one count of conspiracy to commit wire fraud; one count of conspiracy to commit money laundering; and one count of aggravated identity theft. He made his initial court appearance Feb. 9, and is being held in custody pending trial.
Through various investigative steps, the FBI has collected data stolen from many computers that cyber criminals infected with Raccoon Infostealer, including more than 50 million unique credentials and forms of identification. The United States does not believe it is in possession of all the data stolen by Raccoon Infostealer and continues to investigate. The FBI has created a website where anyone can input their email address to determine whether it is contained within the U.S. government’s repository of Raccoon Infostealer stolen data: https://raccoon.ic3.gov/home. Victims of the Raccoon Infostealer can find more information at www.justice.gov/usao-wdtx/victim-assistance-raccoon-infostealer.
U.S. Attorney Jaime Esparza for the Western District of Texas, Special Agent in Charge Aaron Tapp for the FBI San Antonio Division, and Special Agent in Charge Paul DelleDonne for The Department of the Army Criminal Investigation Division would also like to thank the Justice Department’s Office of International Affairs and the FBI Legal Attachés in Rome; The Hague, Kyiv, and Warsaw for their critical assistance; and the following foreign partners: Ministry of Justice of Italy; Special Unit for the Protection of Privacy and Technological Fraud of the Italian Guardia di Finanza; Procura della Repubblica di Brescia; the Netherlands Ministry of Justice and Security; Dutch National Police; and Netherlands Public Prosecution Service.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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U.S. Attorney’s Office Collects $2,344,556.85 in Civil and Criminal Actions in Fiscal Year 2023Read the Press Release
CHARLESTON, W.Va. – United States Attorney Will Thompson announced today that the U.S. Attorney’s Office for the Southern District of West Virginia collected $2,344,556.85 in criminal and civil actions in Fiscal Year 2023. Of this amount, $2,231,245.48 was collected in criminal actions and $113,311.37 was collected in civil actions.
“This money is owed from criminal and civil penalties as well as court-ordered restitution and ultimately benefits crime victims and taxpayers,” Thompson said.
The $2,231,245.48 collected in criminal actions includes a $75,000 fine and $280,088 in restitution paid by Christopher Daniels, 54, of Parkersburg, who was also sentenced to one year and one day in prison on December 15, 2022, after pleading guilty to for filing a false federal income tax return. The criminal collections total also includes $382,449.47 in restitution paid by Dhanraj Singh, 63, of Bowie, Maryland, who was also sentenced to two years and three months in prison on December 31, 2022, after pleading guilty to interstate transportation of stolen property. The criminal collections total also includes a $25,000 fine and $175,000 in restitution paid by Michael James Peters, 43, of Concord, North Carolina, who was also sentenced to one year in prison on February 2, 2023, after pleading guilty to making a false statement to a representative of the United States Department of Agriculture. The $175,000 is part of the $1,375,000 in court-ordered restitution owed by Peters.
The U.S. Attorneys’ Offices, along with the U.S. Department of Justice’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. 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.
Finally, the U.S. Attorney’s Office for the Southern District of West Virginia, working with partner agencies and divisions, collected $1,073,483 in asset forfeiture actions in FY 2023. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
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.
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U.S. Attorney Announces $25.5 Million Settlement with Durable Medical Equipment Supplier Lincare Inc. for Fraudulent Billing PracticesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York; Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”); Brian J. Solecki, the Acting Special Agent in Charge of the Northeast Field Office of the U.S. Department of Defense Office of Inspector General, Defense Criminal Investigative Service (“DCIS”); Derek M. Holt, the Special Agent in Charge of the Office of Personnel Management, Office of the Inspector General (“OPM-OIG”); and Michael J. Waters, the Special Agent in Charge of the Eastern Field Office of the Amtrak Office of Inspector General (“Amtrak-OIG”), announced that the United States has settled a civil fraud lawsuit against LINCARE INC., a large durable medical equipment (“DME”) supplier with approximately 700 locations throughout the United States. The settlement resolves claims that LINCARE violated the False Claims Act by fraudulently continuing to bill federal health care programs for the rental of costly non-invasive ventilators (“NIVs”) when patients no longer needed or used the devices. The settlement also resolves claims that LINCARE violated the Anti-Kickback Statute by waiving coinsurance payments to induce certain Medicare and TRICARE beneficiaries to rent NIVs.
Under the settlement, which was approved yesterday by U.S. District Judge Paul G. Gardephe, LINCARE agreed to pay a total sum of $25.5 million, of which $24,228,517.96 will be paid to the United States and the remainder will be paid to various states. As part of the settlement, LINCARE also made factual admissions regarding its conduct. LINCARE admitted that it received reimbursement from federal health care programs for some NIV rental claims that did not comply with all of those programs’ billing rules and guidance. LINCARE also admitted that in some instances, it continued to seek monthly payments when it was aware that patients were not using the devices.
U.S. Attorney Damian Williams said: “When DME suppliers like Lincare knowingly seek federal funds for items that are not medically necessary and not being used, they threaten the sustainability and financial integrity of vital federal health care programs like Medicare and Medicaid. Companies will be held accountable for fraudulent billing practices that prioritize profits over legal obligations.”
HHS-OIG Special Agent in Charge Naomi Gruchacz said: “Individuals and entities that participate in the federal health care system are required to obey the laws meant to preserve the integrity of program funds and the provision of appropriate, quality services to patients. Our agency, working closely with our law enforcement partners, will continue to hold health care providers responsible for receiving improper payments from federal health care programs.”
DCIS Acting Special Agent in Charge Brian J. Solecki said: “This settlement makes clear that firms will pay a price for attempting to defraud the government. We, along with our federal partners, are committed to protecting taxpayers from companies that engage in deceptive practices.”
OPM-OIG Special Agent in Charge Derek M. Holt said: “I applaud the excellent work of our investigators and law enforcement partners on this case. We take all false claims seriously as the integrity of the federal health care programs relies on the submission of medically reasonable and necessary claims.”
Amtrak-OIG Special Agent in Charge Michael J. Waters said: “The favorable outcome in this case is a testament to the professionalism and teamwork displayed by our agents, our fellow investigative agencies, and the U.S. Attorney’s Office. We are very proud of this well-coordinated joint effort.”
As alleged in the Complaint filed in Manhattan federal court:
NIVs are a type of respiratory equipment designed to deliver pressurized air into the lungs of patients with respiratory failure. Patients frequently rent NIVs for regular use in their homes. During the period of January 1, 2013, through February 29, 2020 (the “Relevant Period”), Medicare and other federal health care programs reimbursed DME suppliers like LINCARE as much as $1,400 per month for supplying NIV rentals to patients.
When DME suppliers like LINCARE rent NIVs to federal health care program beneficiaries and seek reimbursement for such rentals, the DME suppliers must ensure that the NIVs continue to be used and that they remain medically reasonable and necessary during the rental period. For example, under Medicare, a DME supplier is required to monitor the extent to which the beneficiary is using the NIV at home and to maintain documentation to support that the device continues to be used and is medically reasonable and necessary. In addition, DME suppliers must discontinue billing federal health care programs when the NIV is no longer being used and is not medically reasonable and necessary.
LINCARE often continued to submit monthly claims for payments to federal health care programs when the NIVs were no longer medically necessary or the beneficiary had stopped using the device. LINCARE frequently did not know, or have documentation to support, that a patient continued to use or need the NIV. LINCARE nonetheless continued to seek monthly payments from federal health care programs for these NIV rentals.
LINCARE’s primary method to monitor patient usage of NIVs was by having their Respiratory Therapists (“RTs”) conduct home visits, during which RTs would evaluate the device’s settings, usage, and need for maintenance. As part of these “vent checks,” RTs were supposed to record the extent to which patients had been using the NIVs and confirm that they were using their devices as directed by their physicians. Under LINCARE’s own policy, home visits were supposed to occur at least every 60 days. However, LINCARE’s RTs frequently failed to comply with this policy; on tens of thousands of occasions during the Relevant Period, LINCARE failed to perform home visits for NIV patients as required by its policy. Further, when RTs did conduct vent checks, they often failed to record whether, and for how many hours, patients had used their NIVs. In some instances, LINCARE continued to seek monthly payments from federal health care programs when it was aware, through home visits and vent checks conducted by its RTs, that beneficiaries had stopped using their devices. LINCARE billed for NIVs in instances when the beneficiary had not used or had very rarely used the device for over a year.
Finally, in violation of the Anti-Kickback Statute, LINCARE’s Regional Vice Presidents waived, either partially or in full, the coinsurance payment due from certain Medicare and TRICARE beneficiaries in an effort to persuade them to rent NIVs from LINCARE instead of another DME supplier. These coinsurance payment waivers were not based on an individualized assessment of the beneficiaries’ financial needs.
As part of the settlement, LINCARE admitted and accepted responsibility for certain conduct alleged by the United States, including the following:
- In violation of LINCARE’s internal protocols, LINCARE’s center clinical staff frequently failed to visit NIV patients every 60 days to confirm that the patients were using their NIVs as directed by their physicians. Some centers lacked sufficient staff to adequately monitor patient progress and confirm that patients were using the devices as directed by their physicians. On many occasions, clinical staff did not perform home visits for NIV patients for several months.
- In addition to conducting patient visits, LINCARE had the ability to remotely monitor certain patients’ NIV usage for certain newer NIV models through online cloud-based platforms. However, LINCARE did not use these systems to confirm that those patients were using the devices as directed.
- LINCARE continued to seek monthly payments from federal health care programs for NIV rentals in many instances when its staff had not verified that patients were still using their NIVs or had not maintained documentation showing that the patient continued to use the devices.
- In some instances, LINCARE continued to seek monthly payments from federal health care programs when it was aware that patients were not using the devices.
- On certain occasions, LINCARE granted coinsurance payment waivers that were not based on the patient’s financial need in order to persuade patients to rent NIVs.
- As a result of the above-referenced conduct, LINCARE received reimbursements from federal health care programs for some NIV rental claims that did not comply with all of those programs’ billing rules and guidance.
In connection with the filing of the lawsuit and settlement, the Government joined a private whistleblower lawsuit that had been filed under seal pursuant to the False Claims Act.
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Mr. Williams thanked the Washington and Texas State Medicaid Fraud Control Units for their extensive collaboration in the investigation and resolution of this case, and also praised the outstanding investigative work of HHS-OIG, DCIS, OPM-OIG, and Amtrak-OIG.
The case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorneys Charles S. Jacob, Ilan Stein, and Amanda Lee are in charge of the case.
Two sent to prison for stealing nearly $3M in IRS refundsRead the Press Release
HOUSTON – Two men have been sentenced for their roles in a scheme to cash stolen tax checks, announced U.S. Attorney Alamdar S. Hamdani.
Benjamin Thomas, 38, Richmond, and Kuljinder Singh Hunjan, 38, Spring Valley, New York, pleaded guilty and Oct. 2 and Feb. 16, 2023, respectively.
U.S. District Chief Judge Randy Crane has now imposed a 90-month-term of imprisonment for Thomas, while Hunjan received 42 months. Both must also serve three years of supervised release following their sentences and were ordered to pay restitution in the amount of $4,483,987.89. In handing down the prison terms, Judge Crane noted they engaged in a complex and sophisticated fraud scheme.
In approximately January 2022, authorities learned of a Houston couple who never received their $2,932,446.84 IRS refund check they were expecting in the mail.
The investigation revealed Hunjan and Whitley Rachelle Carter had used fake IDs with the victims’ names, dates of birth and Social Security numbers to open accounts at Regions Bank on various dates in January 2022
On Jan. 18, 2022, Hunjan and Carter deposited the victims’ refund check into the fraudulent bank account.
Authorities were able to identify Hunjan and Carter from bank surveillance. Hunjan’s fingerprints were also found on the check. The investigation linked Carter to Hunjan and Thomas by phone calls and cash app transactions.
On April 13, 2022, authorities arrested Thomas as he was driving a stolen Lamborghini. At that time, he possessed two debit cards for fraudulently-created accounts that were used to receive the proceeds of the aforementioned refund check. These accounts were opened with stolen identities of others to launder the proceeds of the nearly $3 million check.
Thomas also had an ATM receipt showing a withdrawal of $800 from the Regions bank account that received the check.
Toll records from the cellphone Thomas possessed at the time of his arrest indicate that he contacted Hunjan numerous times during the course of the conspiracy.
Carter, 33, Houston, is set for sentencing May 21. At that time, she faces up to 30 years in federal prison as well as a possible $1 million maximum fine.
Hunjan and Thomas were permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
IRS Criminal Investigation, Treasury Inspector General for Tax Administration, Houston Police Department, FBI and Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Jay Hileman prosecuted the case.
Two Bronx Men Charged with Distributing Narcotics Out of Bronx Residence Connected to Multiple Fatal and Non-Fatal Drug OverdosesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Edward A. Caban, the Commissioner of the New York City Police Department (“NYPD”), announced today the filing of a criminal Complaint in Manhattan federal court charging RUBINSKY PADILLA and LUIS ROSARIO, a/k/a “Gallo,” with conspiracy to distribute narcotics. ROSARIO was arrested yesterday afternoon in the Hunts Point neighborhood of the Bronx. PADILLA is currently at large. ROSARIO will be presented today before U.S. Magistrate Judge Valerie Figueredo.
U.S. Attorney Damian Williams said: “Yesterday afternoon, law enforcement conducted a Court-authorized search of a residence in the Bronx at 755 Coster Street, a home that the defendants have allegedly used for years to sell lethal narcotics. The defendants’ alleged actions have plagued the neighborhood and littered the street with drugs — endangering residents, including children. As alleged, there have been 12 fatal overdoses and 30 non-fatal overdoses within a three-block radius of this residence in the last five years. The most recent suspected fatal overdose was less than a month ago and occurred inside the house. If you or anyone you know has bought drugs from 755 Coster Street, they are considered extremely hazardous, potentially fatal, and should not be ingested under any circumstance.”
NYPD Commissioner Edward A. Caban said: “These charges underscore the gravity of the illegal drug crisis plaguing New York City and our nation. For far too long, the Bronx house from which these two men allegedly distributed their poison was a locus of tragedy that diminished quality of life for everyone in the neighborhood. I commend our NYPD narcotics investigators for their perseverance in shutting down this alleged drug operation, and I thank everyone from the Office of the U.S. Attorney for the Southern District of New York for their partnership in prosecuting this important case.”
According to the allegations in the Complaint charging PADILLA and ROSARIO:[1]
From at least in or about October 2022 through on or about February 15, 2024, a group of narcotics traffickers, including PADILLA, ROSARIO, and others, illegally ran an extensive narcotics distribution operation out of a house located at the street address 755 Coster Street in the Bronx, New York. Over the course of the investigation, the NYPD has established that the group is responsible for the sale of heroin, fentanyl, para-fluorofentanyl (a fentanyl analogue), and cocaine, among other drugs, at the house. Residents in the neighborhood have called 911 on multiple occasions to report continuous narcotics activity and use at the house and drug paraphernalia found outside on the sidewalk. The group continued to operate despite repeated law enforcement actions, including multiple judicially authorized searches of the house from approximately 2015 through 2024. Each search resulted in the seizure of narcotics, including, for example, heroin, fentanyl, cocaine, and cocaine base. PADILLA and ROSARIO were both arrested in April 2023 after one such search of the house resulted in the seizure of a substantial quantity of narcotics, but both continued operating the narcotics distribution operation uninterrupted from the same location.
Between approximately in or about 2018 through 2024, there have been at least 12 fatal overdoses and 30 non-fatal overdoses reported within a three-block radius of the house at 755 Coster Street. Most recently, on or about January 19, 2024, law enforcement responded to a 911 call reporting an unresponsive male in need of medical assistance at the house located at 755 Coster Street and found an individual who appeared to have died hours earlier of an apparent overdose.
On or about February 14, 2024, law enforcement searched 755 Coster Street and found ROSARIO inside. As pictured below, during their search, law enforcement found, among other things, quantities of suspected cocaine base and heroin, as well as narcotics paraphernalia, including materials designed for use in packing narcotics for distribution.
Any member of the public who has overdosed, or has knowledge of anyone who has overdosed, as a result from narcotics purchased at 755 Coster Street should anonymously call 866-874-8900.
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RUBINSKY PADILLA, 48, and LUIS ROSARIO, 67, both of the Bronx, New York, are charged with one count of conspiracy to distribute narcotics, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.
The statutory minimum and maximum sentences are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the NYPD’s Narcotics Bureau Bronx Major Case Unit as well as the Bronx County District Attorney’s Office.
The prosecution of this case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Ashley C. Nicolas and Lisa Daniels are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Turtle Creek Resident Indicted on 20 Counts of Sexually Exploiting MinorsRead the Press Release
PITTSBURGH, Pa. - A resident of Turtle Creek, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges related to the sexual exploitation of minors, United States Attorney Eric G. Olshan announced today.
The 20-count Indictment named Robert Bookshar, 46, as the sole defendant.
According to the Indictment, on multiple occasions from in and around August 2022 until in and around May 2023, Bookshar attempted to and did use, persuade, induce, entice, and coerce two different minors to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct. The Indictment further charges that, on multiple occasions from in and around September 2021 until in and around February 2023, Bookshar attempted to and did receive images and videos of minors engaged in sexually explicit content, and that, on or about June 29, 2023, Bookshar knowingly possessed images and videos depicting the sexual exploitation of minors.
The law provides for a maximum total sentence of not less than 15 years and up to 440 years in prison, a fine of up to $5 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Bookshar is detained pending trial.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Allegheny County Police Department conducted the investigation leading to the Indictment in this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Troy man admits tampering with evidence in grizzly bear killingRead the Press Release
MISSOULA — A Troy man admitted today that he tampered with evidence in the shooting of a grizzly bear on his property in 2020 and discarding of the bear’s GPS collar in the Yaak River, U.S. Attorney Jesse Laslovich said.
The defendant, Othel Lee Pearson, 80, appeared today for arraignment on an amended information charging him with tampering with evidence, a felony, and with failure to report taking of grizzly bear, a misdemeanor. Pearson then pleaded guilty to both charges. Pearson faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release on the evidence tampering charge and a maximum of six months in prison and a $25,000 fine on the failure to report charge.
U.S. District Judge Donald W. Molloy presided at the plea hearing. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. The court set sentencing for June 6. Pearson was released pending further proceedings.
A plea agreement filed in the case calls for the government and defendant to jointly recommend to the court a sentence of three years of probation and an $8,000 fine, which is the restitution amount for illegally killing a grizzly bear under Montana state statute. In exchange for guilty pleas, the United States agrees not to prosecute another individual in connection with the taking of the grizzly bear, and Pearson agrees to cooperate with the United States regarding the skull of a second grizzly bear discovered on National Forest System lands near his property.
As alleged in amended court documents, on Nov. 19, 2020, Pearson shot and killed a sow grizzly bear on his residential property, using a .270 rifle. Pearson cut a GPS collar that had been fitted to the bear and discarded the collar nearby in the Yaak River. Pearson also cut paws, ear tags and an identifying lip tattoo from the bear carcass. Pearson then concealed the bear’s claws and an ear tag in a hollowed-out tree on National Forest System land near his residence. As further alleged, meat from the bear was discovered in Pearson’s freezer inside his home. Pearson attempted to and did tamper with these identifying objects to impair the criminal prosecution for failing to report taking of a grizzly bear. Pearson killed the bear either in self-defense, in defense of others or unlawfully. Pearson did not report the killing of the grizzly bear to the U.S. Fish and Wildlife Service within five days of occurrence.
Assistant U.S. Attorney Randy Tanner is prosecuting the case. The U.S. Fish and Wildlife Service conducted the investigation.
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Three Temple Gang Members Convicted of RICO, Hobbs Act ViolationsRead the Press Release
WACO, Texas – A federal jury in Waco convicted three Temple men on all counts for crimes committed in violation of the Racketeering Influenced Corrupt Organization (RICO) Act and the Hobbs Act.
According to court documents and evidence presented at trial, Atorius Marquis Williams aka Lil Man, 23, Demonta Daniels aka Tado aka Tato, 24, and Trashawn Lamar Alexander aka Mad Max, 29, were members and associates of a criminal organization referred to as Killas With Aggression (KWA), an organization engaged in and affecting interstate and foreign commerce by, among other things, conspiracy to distribute controlled substances and conspiracy to rob persons engaged in the distribution of controlled substances.
Williams, Daniels and Alexander conspired to commit four murders, multiple violent assaults, extortion, drug trafficking and armed robberies in furtherance of the criminal enterprise. Specifically, the indictment alleges four overt acts to include murder—one committed by Williams on Sept. 30, 2017, in Belton; the second, committed by Williams and Alexander on Dec. 10, 2017, in Temple; the third, committed by Williams and Daniels on Jan. 16, 2018, in Temple; and the fourth, committed by Williams, Daniels and Alexander on Jan. 31, 2018, in Temple.
Additionally, the defendants conspired to affect commerce by robbery, committing acts of physical violence and threatening to commit acts of physical violence to steal controlled substances and proceeds from persons engaged in illegal drug distribution. Williams, Daniels and Alexander were also convicted of brandishing a firearm during a crime of violence, namely robbery. Alexander was convicted of discharging a firearm during a crime of violence.
Seven other codefendants in the case have already been sentenced following guilty pleas. Dominic Johnson was sentenced in January 2023 to 70 months in prison for conspiracy to possess with intent to distribute 500 grams or more of cocaine; Desmond Wilkerson was sentenced in September 2023 to 71 months in prison for racketeering conspiracy; James Roy Whitfield Jr was sentenced on February 13 to 102 months in prison for one count of interference with commerce by robbery and one count of aiding and abetting; Jason Mayse was sentenced on February 13 to 40 months for conspiracy to possess with intent to distribute 100 kilograms or more of marijuana; Jyaraciel Whitfield was sentenced in September 2023 to 144 months in prison for one count of interference with commerce by robbery and one count of aiding and abetting; Christopher Meyers was sentenced in August 2022 to 144 months in prison for racketeering conspiracy; and Reginald Williams was sentenced in September 2023 to 96 months in prison for one count of interference with commerce by robbery and one count of aiding and abetting.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The FBI, Temple Police Department, Belton Police Department, Bell County Organized Crime Unit, U.S. Postal Inspection Service, U.S. Marshals Service, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Texas Department of Public Safety (DPS), Cameron Police Department, and Hearne Police Department are investigating the case with valuable assistance from the Killeen Police Department and Bell County Sheriff’s Department.
Assistant U.S. Attorneys Christopher Blanton and Siddharth Dadhich are 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.
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Three Members of Northern California Drug Trafficking Groups Convicted at TrialRead the Press Release
SAN FRANCISCO – A federal jury has convicted three defendants—Luis Torres Garcia, Evan Martinez Diaz, and Timothy Peoples—of multiple drug trafficking offenses following an eight-day trial, announced United States Attorney Ismail J. Ramsey and Drug Enforcement Administration (DEA), San Francisco Field Division, Special Agent in Charge Brian M. Clark. The jury convicted the defendants on all counts, rendering its verdict on February 14, 2024, after deliberating for two hours. The verdict followed a trial before the Hon. Richard Seeborg, Chief U.S. District Judge for the Northern District of California.
The evidence at trial included calls intercepted between April 2018 and February 2019 as part of a federal wiretap investigation into two drug suppliers in the East Bay. The intercepted calls established, among other things, that both suppliers received drugs from sources in Mexico. At trial, the government also presented evidence of several significant drug seizures including: 8.8 pounds of fentanyl and heroin in May 2018, valued at as much as $1.1 million, according to uncontested evidence at trial; 18 pounds of methamphetamine in August 2018; and 20 pounds of methamphetamine and one kilogram of cocaine in February 2019. The evidence at trial also established that law enforcement seized more than $300,000 in drug-related cash over the course of the investigation.
Torres Garcia, 38, of Rio Dell, California, was charged with conspiracy to distribute methamphetamine, in violation of 21 U.S.C. §§ 846 and 841(a)(1) and (b)(1)(A). The evidence at trial showed that Torres Garcia was a Humboldt County drug trafficker, who used the nickname “Guero.” Torres Garcia received methamphetamine shipments on credit from a Fairfield, California-based drug supplier. On August 8, 2018, the Fairfield supplier attempted to send about 18 pounds of methamphetamine—valued at $158,000—to Torres Garcia in Humboldt County. DEA agents and the Sonoma County Sheriff’s Office intercepted the drug courier and seized the drugs during a vehicle stop on Highway 101 near Healdsburg, California. In February 2019, the DEA tracked Torres Garcia to a meeting in Windsor, California, where Torres Garcia delivered about $13,800 in cash to a courier for his drug supplier. Although he was present throughout the trial and listened to closing arguments, Torres Garcia absconded before the jury handed down its verdict; he is now a fugitive.
Martinez Diaz, 31, of Bay Point, California, was charged with three counts—conspiracy to distribute methamphetamine and cocaine, in violation of 21 U.S.C. §§ 846 and 841(a)(1) and (b)(1)(B); possession with intent to distribute methamphetamine, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B); and possession with intent to distribute cocaine, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B). The evidence at trial established, among other things, that on February 9, 2019, Martinez Diaz was transporting about 20 pounds of methamphetamine and one kilogram of cocaine through a residential neighborhood in Antioch, California, when he realized he was being followed by law enforcement—which knew about the drugs through intercepted calls. Martinez Diaz began driving erratically, briefly evading law enforcement and directing a co-conspirator to discard the drugs he was carrying in the bushes on a residential street. A short time later law enforcement located the drugs, which evidence at trial established had street retail values of $177,860 (methamphetamine) and $40,000 (cocaine). After Martinez Diaz was stopped by police and released with a traffic citation, he was intercepted on a call telling his supplier that he had seen law enforcement and discarded the drugs to avoid arrest.
Peoples, 44, of Antioch, California, was arrested after law enforcement officers found cocaine in his home, and charged with two counts of possession with intent to distribute cocaine, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B)–(C). Evidence presented at trial showed that Peoples was a regular customer of an Antioch-based cocaine wholesaler from whom he bought some 10.5 pounds of cocaine for more than $120,000 in a 90-day period. Peoples used the codeword “babies” to refer to ounce quantities of cocaine. The evidence at trial established that Peoples then sold cocaine to his own customers in smaller quantities and used his proceeds to buy expensive cars.
Judge Seeborg scheduled a sentencing hearing for June 11, 2024. Torres Garcia faces a maximum sentence of life imprisonment and a minimum sentence of 10 years in prison. Martinez Diaz and Peoples each face a maximum sentence of 20 years in prison for every count on which they were convicted. However, the defendants’ sentences will be imposed only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (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.
Assistant U.S. Attorneys Daniel Pastor and Joseph Tartakovsky prosecuted the case with the assistance of Erick Machado. This prosecution is the result of an investigation led by the DEA Oakland Resident Office, with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives; Homeland Security Investigations; U.S. Customs and Border Protection; U.S. Postal Inspection Service; the police departments in Fairfield, Antioch, Concord, and Oakland; the Sonoma County Sheriff’s Office; and the California Highway Patrol.
Three Accused of Nearly $350,000 Auto Loan FraudRead the Press Release
ST. LOUIS – Three people have been indicted on charges accusing them of defrauding St. Louis area lenders and others out of $348,000 with a fraudulent vehicle loan scam.
Willie Roy Carter, 74, Kizzie Davis, also known as Kizzie Lofton, 45, and Charles Davis Jr., 56, were indicted Dec. 20, 2023, with nine counts of bank fraud and one count of mail fraud. Carter appeared in U.S. District Court in St. Louis Wednesday and pleaded not guilty. The Davises, who are husband and wife, pleaded not guilty February 2.
The indictment accuses Carter of applying for nine auto loans between July 23, 2019, and Aug. 1, 2018, using fraudulent documents. In some cases, Carter allegedly used a fraudulent Illinois vehicle title. In all cases, Carter claimed the car was being sold by City Limits Auto Sales, a business name registered in Missouri in 2016 by Charles Davis, the indictment says. Carter then gave the loan checks to the Davises to deposit.
The loans totaled about $348,214, the indictment says.
Each bank fraud charge is punishable by up to 30 years in prison, a $1 million fine or both prison and a fine. The mail fraud charges are punishable by up to 20 years in prison, a $250,000 fine, or both.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Linda Lane is prosecuting the case.
Two Dominican Republic Men Sentenced in 619 Cocaine Kilograms CaseRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Fernandito Michel-Gomez, age 56, and Dennito Montero-Felix, age 48, both from the Dominican Republic, were sentenced by District Judge Wilma A. Lewis to 57 months incarceration, two years of supervised release, and a $100 special assessment on their convictions of Conspiracy to Possess a Controlled Substance with Intent to Distribute While on Board a Vessel Subject to the Jurisdiction of the United States.
According to court documents, on April 12, 2023, while on routine patrol, a Maritime Patrol Aircraft located a go-fast vessel with three occupants and multiple packages on board. The go-fast vessel was traveling at 71 nautical miles south of the Dominican Republic. The United States Coast Guard Cutter “Forward” intercepted the vessel. Neither occupant claimed to be the master nor claim nationality for the vessel. The vessel did not display any flag or other markings and was traveling in international waters. The vessel was therefore subject to the jurisdiction of the United States. A total of 23 bales totaling 619 kilograms of cocaine were later seized from the vessel.
This case was investigated by the United States Coast Guard, Homeland Security Investigations and the Drug Enforcement Administration and prosecuted by Assistant United States Daniel H. Huston. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
St. Louis County Woman Admits Helping Her Son Fake a DisabilityRead the Press Release
ST. LOUIS – A woman from St. Louis County, Missouri on Thursday admitted helping her son fake a mental disability for more than 13 years so he could receive government benefits.
Zella Rives, 57, of Edmundson, admitted in a plea agreement and in court that she submitted a report to the Social Security Administration in 2010 on behalf of her son, Gino Rives, that bolstered his false claims of disability. She was appointed representative payee for her son because the agency believed he was incapable of managing his money. Zella Rives fraudulently confirmed his eligibility in 2019, concealing his ownership of multiple houses and vehicles, his ability to earn income and his relationship with his girlfriend, her plea agreement says.
Between May 11, 2010, and Dec. 31, 2023, the Social Security Administration electronically transmitted more than $91,000 in benefits to Rives on her son’s behalf.
Rives pleaded guilty to five counts of theft of government funds and one count of making a false statement. She is scheduled to be sentenced June 18. The charge of making a false statement is punishable by up to five years in prison, a $250,000 fine, or both, and the theft of government funds charge is punishable by up to 10 years in prison and the same fine.
Gino Rives, 36, of Edmundson, has pleaded guilty in two separate cases, admitting both the disability fraud and his financial exploitation of two elderly women.
The Social Security Administration Office of Inspector General and the U.S. Secret Service investigated the case. Assistant U.S. Attorney Tracy Berry is prosecuting the case.
St. Albans Couple Plead Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Today, Timothy A. Ward, 41, and his wife Sarah J. Ward, 40, both of St. Albans, pleaded guilty to aiding and abetting the distribution of methamphetamine.
According to court documents and statements made in court, the Wards admitted that they distributed methamphetamine or aided and abetted each other to distribute methamphetamine to confidential informants on seven occasions in Kanawha County from October 2, 2023, through December 6, 2023. The Wards further admitted that they received money for several of these transactions, and for others received clothing that was shoplifted at their direction. The transactions included the sale of a half-ounce of methamphetamine to a confidential informant at a St. Albans bar on October 2, 2023.
Timothy A. Ward also admitted that he sold a firearm at the couple’s St. Albans residence to a confidential informant who had purchased methamphetamine from him on prior occasions on December 7, 2023. Sarah J. Ward admitted that she arranged the sale of the firearm, and that she knew her husband was a convicted felon.
Timothy A. Ward and Sarah J. Ward are scheduled to be sentenced on June 6, 2024, and each 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 St. Albans Police Department and the U.S. Department of Homeland Security-Homeland Security Investigations (HSI).
United States District Judge Irene C. Berger presided over the hearings. Assistant United States Attorney JC MacCallum 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. 2:23-cr-201.
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Southern California Drug Trafficker Sentenced to Federal PrisonRead the Press Release
EUGENE, Ore.—A Southern California drug trafficker convicted at trial for possessing with intent to distribute methamphetamine and heroin was sentenced to federal prison Wednesday, announced the U.S. Attorney’s Office for the District of Oregon.
Pedro Keny Verganza, 39, of Los Angeles County, California, was sentenced to 75 months in federal prison and three years’ supervised release.
According to court documents, in December 2019, investigators with the Albany Police Department obtained information that an individual known as “Pelucha” was a source of supply for illegal narcotics transported by a California-based drug trafficking organization from California to Oregon for redistribution and sale. Further investigation revealed that, in mid-February 2020, a courier working with or on behalf of Pelucha was expected to arrive at a fast-food restaurant in Albany, Oregon to complete a sale of methamphetamine and heroin.
On February 15, 2020, law enforcement officers observed the courier, later determined to be Verganza, arrive at the fast-food restaurant with another individual. Law enforcement searched the pair’s vehicle and located a cardboard box containing three large heat-sealed and shrink-wrapped packages containing approximately three and a quarter pounds of methamphetamine and two and a quarter pounds of heroin. Subsequent lab tests revealed Verganza’s fingerprints and palm prints inside the box and on the packages of narcotics.
On February 16, 2020, Verganza was charged by federal criminal complaint with possessing with intent to distribute methamphetamine and, on August 19, 2021, a federal grand jury in Eugene indicted Verganza on the same charge. Later, a charge of possessing with intent to distribute heroin was added by superseding indictment. On October 13, 2023, Verganza was found guilty at trial on both charges.
This case was investigated by the U.S. Drug Enforcement Administration (DEA) with assistance from the Albany Police Department and Linn County Sheriff’s Office. It was prosecuted by Adam E. Delph and John C. Brassell, Assistant U.S. Attorneys for the District of Oregon.
South Dakota Man Sentenced to Federal Prison for Failure to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a South Dakota man convicted of Failure to Register as a Sex Offender. The sentencing took place on February 9, 2024, in Sioux Falls, South Dakota.
Wyatt White Eyes, age 27, was sentenced to 21 months in federal prison, followed by five years of supervised release. He was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
White Eyes was indicted for Failure to Register as a Sex Offender by a federal grand jury in June of 2023. He pleaded on November 29, 2023.
According to court documents, White Eyes knew he was required to register as a sex offender for 25 years following a 2020 conviction for Solicitation of a Minor in July of 2020. He left his residence in Sioux Falls, South Dakota, and moved to Aurora, Missouri, on November 26, 2022. He knowingly and intentionally did not register at any address after he left the Sioux Falls residence until he was arrested in Missouri on March 15, 2023.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Connie Larson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
White Eyes was remanded to the custody of the U.S. Marshals Service.
Six People Charged in Just over a Week in Separate Felony Strangulation CasesRead the Press Release
WASHINGTON – Between February 5 and February 13, 2024, in the District of Columbia, six people were arrested and charged with felony strangulation under D.C. Code 22-404.04 which was created through the Prioritizing Public Safety Emergency Amendment Act of 2023. They are among 26 people charged since the D.C. Council created this new criminal offense in the D.C. Code which went into effect in July of 2023.
The recent cases include:
On February 13, 2024, Lontez Williams, 40, of D.C. was arrested and charged with strangulation and child cruelty, for allegedly squeezing the neck of a three-year-old child by wrapping his arm around it, and then hurling the child victim into a couch when his family intervened to stop him. Williams was presented to a magistrate judge on February 13, 2024 and was ordered held*.
On February 12, 2024, Leonel Bonilla, 27, of D.C., was arrested and charged with strangulation and aggravated assault, for an alleged attack on a female victim in D.C. The victim reported that Bonilla escalated a verbal altercation occurring in a car when he pulled over and grabbed her around the neck so that she could not breathe and eventually lost consciousness. Bonilla was presented to a magistrate judge on February 12, 2024, and was ordered held*.
On February 10, 2024, Marc Gatling, 40, of D.C., was arrested for simple assault and charged with strangulation for an alleged attack on a female victim on February 9, 2024, in D.C., that started as a verbal altercation. The victim left the premises but returned to retrieve personal belongings. While she was there, Gatling allegedly tried to prevent her from leaving, eventually pushing her down and strangling her. Gatling was presented to a magistrate judge on February 10th and was released.
On February 7, 2024, Ronald McKinnon, 63, of Washington, D.C., was arrested and charged with strangulation and one count of kidnapping for an alleged attack on a female in his home. The victim called 911 after the defendant allegedly assaulted and strangled her and confined her in the basement. McKinnon was presented to a magistrate judge on February 9, 2024, and was ordered held*.
On February 5, 2024, Michael Alston, 58, of Washington, D.C., was arrested and charged with strangulation and assault with a dangerous weapon after he allegedly punched a 72-year old female, strangled her, and threatened her with a knife. The victim managed to escape. Alston was presented to a magistrate judge and was later released on GPS monitoring.
On February 5, 2024, Deangelo Dunn, 27, of Washington, D.C., was arrested and charged with strangulation, after allegedly strangling a female victim because she refused to give him money. Dunn was later released.
“The data shows that people strangled by an intimate partner are 800% more likely to be the victim of a homicide,” said U.S. Attorney Matthew M. Graves. “Recognizing this danger, we advocated for a felony charge for strangulation, and we are grateful that the Council passed, and the Mayor signed, emergency legislation temporarily creating a specific felony. We have aggressively charged this crime since it was enacted in July 2023. Now is the time to make the legislation permanent and to create a presumption that people who engage in this life-threatening conduct will be held in jail after their arrest.”
In addition to those cases, on January 19, 2024, Joseph Coles, 34, was arrested and charged with simple assault, a misdemeanor, involving a woman he met thru an online dating app. The victim went to Coles’s D.C. home on January 19th to bring him food. During the visit, the defendant became upset and allegedly began strangling the victim while holding her pinned against a wall. He was released on the simple assault charge and, after further investigation, was charged by superseding complaint with felony strangulation.
These cases were investigated by the Metropolitan Police Department.
Strangulation is widely recognized as one of the most lethal forms of domestic violence. A major strangulation study in San Diego, which is frequently cited, found: “Many victims suffer internal injuries, including permanent brain damage. Signs and symptoms do exist and can be documented even without visible injury… Most abusers do not strangle to kill. They strangle to show they can kill. Victims often suffer major long-term emotional and physical impacts. Surviving victims are much more likely to die later if their abuser has strangled them.” The study also noted that “…..the odds of becoming a victim of attempted homicide increased by 700%, and the odds of becoming a homicide victim increased by 800%, among women who had been strangled by their partner.”
*Defendants that were ordered held had an additional hold-eligible offense since felony strangulation is currently not hold eligible.
Sioux Falls Man Sentenced to Federal Prison for Prohibited Possession of a FirearmRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man, convicted of Possession of a Firearm by a Prohibited Person. The sentencing took place on February 9, 2024, in Sioux Falls.
Israel Estrada, age 29, was sentenced to one year and three months in federal prison, followed by three years of supervised release. He was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
Estrada was indicted for Possession of a Firearm by a Prohibited Person by a federal grand jury in May of 2023. He pleaded guilty on November 16, 2023.
According to court documents, on March 3, 2023, Estrada knowingly possessed a semi-automatic pistol. At that time, he was prohibited from possessing any firearm or ammunition, as a result of his prior felony conviction.
This case was investigated by Homeland Security Investigations and the Sioux Falls Police Department. Assistant U.S. Attorney Jeremy R. Jehangiri prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Estrada was remanded to the custody of the U.S. Marshals Service to continue serving his sentence.
Sioux Falls Man Sentenced for Possession with Intent to Distribute FentanylRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man convicted of Possession of a Controlled Substance with Intent to Distribute. The sentencing took place on January 29, 2024.
Brady Jon Sigler, 27, was sentenced to two years and nine months in federal prison, followed by three years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Sigler was indicted for Possession of a Controlled Substance with Intent to Distribute by a federal grand jury in June of 2023. He pleaded guilty on October 17, 2023.
Sigler went to a UPS store with a package containing fentanyl in the form of approximately 950 pressed M30 pills. He sent the package containing the pills to another person on behalf of a third party in exchange for $100.
This case was investigated by the Drug Enforcement Administration and the Sioux Falls Police Department. Assistant U.S. Attorney Paige Petersen prosecuted the case.
Sigler was immediately remanded to the custody of the U.S. Marshals Service.
Serbian Citizen Sentenced to 14 Years in Prison for Operating the Monopoly Narcotics Marketplace on the Dark NetRead the Press Release
WASHINGTON – Milomir Desnica, 34, a national of Serbia and Croatia, was sentenced to 168 months in prison for operating the Monopoly Market, a dark net website that provided a vast online marketplace for the sale of illicit narcotics, announced U.S. Attorney Matthew M. Graves and FBI Special Agent in Charge David J. Scott of the Washington Field Office’s Criminal and Cyber Division.
In addition to the prison term, U.S. District Court Judge Carl J. Nichols ordered Desnica to forfeit cash and cryptocurrency obtained from his involvement in operating Monopoly. Desnica pleaded guilty on Nov. 8, 2023, to charges of conspiracy to distribute and possession with intent to distribute 50 grams or more of methamphetamine.
According to the government’s evidence, Desnica, of Smederevska Palanka, Serbia, entered into a conspiracy in 2019 to develop and operate a website that became Monopoly Market. According to the indictment, Monopoly grew into an international marketplace for the sale of illicit narcotics including opioids, stimulants, psychedelics, and prescription medications, among other drugs. The products were sold by individual vendors on Monopoly with Monopoly admins typically taking a 5% cut for each facilitated sale. Vendors were required to prove they had sufficient stock of their product. Monopoly would accept photographic proof of the inventory.
In 2021, law enforcement within the United States placed and received numerous orders on Monopoly for narcotics from various vendors. Authorities ordered more than 100 grams of methamphetamine on Monopoly. Through its investigation, the FBI determined that Monopoly facilitated over $18 million in narcotics sales around the world, including the sale of over 30 kilograms of methamphetamine to customers in the United States.
In December 2021, in coordination with foreign law enforcement partners in Germany and Finland, law enforcement seized the computer server hosting Monopoly and took it offline. Law enforcement analyzed the seized server and identified records of the narcotics sales, financial records documenting cryptocurrency payments on Monopoly, an online forum associated with Monopoly, communications from the Monopoly operators to vendors, commission payment invoices, and more. Desnica was identified as an operator of Monopoly through the analysis of the records. The FBI identified Bitcoin wallets used by administrators to collect commissions.
In November 2022, in coordination with the Austrian Fugitive Active Search Team (FAST) and the Public Prosecutors Office Vienna, Desnica was located and arrested in Austria. Law enforcement conducted a search of his residence and vehicle and seized electronics and cash.
On June 23, 2023, Desnica was extradited from Austria to the United States to face drug trafficking charges.
This case is being investigated by the FBI Washington Field Office’s Hi-Tech Opioid Task Force and Germany’s Zentrale Kriminalinspektion (ZKI) Oldenburg Cybercrime Unit. The Hi-Tech Opioid Task Force is composed of FBI agents, analysts, and task force partners, including special agents and officers of the Food and Drug Administration’s Office of Criminal Investigations, Drug Enforcement Administration, U.S. Postal Inspection Service, and detectives from local assisting police agencies. The task force is charged with identifying and investigating the most egregious darknet marketplaces and the vendors operating on the marketplaces who are engaged in the illegal acquisition and distribution of controlled substances, including methamphetamine, fentanyl, and other opioids.
The Justice Department’s Office of International Affairs worked to secure the arrest and extradition from Austria of Desnica and provided significant assistance. Valuable assistance was also provided by Finland’s National Bureau of Investigation; Europol; Germany’s Bundeskriminalamt; Austria’s Bundeskriminalamt Cybercrime Competency Center, FAST team, and Public Prosecutors Office Vienna; and the Republic of Serbia High-Tech Crimes Special Prosecutor.
The case was prosecuted by Assistant U.S. Attorney Nihar Mohanty and former U.S. Attorney Andy Wang of the Violence Reduction and Trafficking Offenses (VRTO) Section of the U.S. Attorney’s Office for the District of Columbia.
Richmond Felon Sentenced for Possessing FirearmRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to 77 months in prison for possessing a firearm as a convicted felon.
According to court documents, Jon Terry, 38, was arrested in the Six Points area of Richmond on May 24, 2023. Richmond Police Department officers were on foot patrol and encountered three males, including Terry, trying to put air in a mini-bike. During this encounter, one of the officers observed a bulge in the shape of a firearm in Terry’s pocket. When an officer attempted to speak to him, Terry ran. After a foot pursuit, the officers detained Terry and recovered a loaded SCCY 9mm handgun.
Terry has prior convictions for distribution of cocaine, possession with intent to distribute cocaine, possession of a firearm by a convicted felon, and grand larceny.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jason S. Miyares, Attorney General of Virginia; Craig Kailimai, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division; and Rick Edwards, Chief of Richmond Police, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne.
Special Assistant U.S. Attorney Ellen V. Hubbard and Assistant U.S. Attorney Olivia L. Norman 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 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-108.
Rhode Island Man Charged with Maliciously Damaging Shiloh Gospel TempleRead the Press Release
PROVIDENCE, RI – A Rhode Island man is in federal custody after being charged by way of a federal criminal complaint with maliciously damaging or destroying by means of fire or explosion any building or other real property. These charges are brought as the result of an ongoing investigation into multiple fires set around the exterior of Shiloh Gospel Temple in North Providence, RI, on February 11, 2024, announced Zachary A. Cunha, United States Attorney for the District of Rhode Island.
Kevin Colantonio, 34, of North Providence, RI, was arrested at his home today without incident by agents from the Bureau of Alcohol, Tobacco, Firearms, and Explosives, working with members of the North Providence, RI, Police Department and the Rhode Island State Fire Marshal’s Office. He was ordered detained in federal custody following his initial appearance in U.S. District Court.
According to documents filed in U.S. District Court in Providence, and in remarks presented by U.S. Attorney Zachary Cunha at a news conference following the court proceedings, it is alleged that Colantonio set several fires around the exterior of Shiloh Gospel Temple shortly after midnight on February 11, 2024. The building was vacant at the time. The fire was quickly extinguished by members of the North Providence Police and Fire Departments. No injuries were reported.
The United States Attorney’s Office sought a criminal complaint late on Wednesday, based on an ongoing, multi-agency investigation that, to date, has included a review of numerous videos, witness interviews, and physical evidence collected and analyzed by investigators. The investigation is continuing.
A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant United States Attorney Peter I. Roklan.
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u.s._attorney_cunha_press_conference_remarks.pdf affidavit.pdfReadout of Deputy Attorney General Lisa Monaco’s Trip to LondonRead the Press Release
Deputy Attorney General (AG) Lisa Monaco traveled to London this week to highlight the continued collaboration of the United States and United Kingdom to combat persistent threats to global security, including emerging challenges like the theft and misuse of disruptive technologies, especially artificial intelligence (AI).
In meetings with her national security and law enforcement counterparts across the U.K.’s Cabinet Office, Home Office, MI5, GCHQ, Metropolitan Police Department, and National Crime Agency, the Deputy AG emphasized the need for sustained partnership between the U.S. and U.K. against shared threats from malign state actors, especially nation-states looking to sow chaos and further their autocratic agendas amid global elections this year.
Together with Permanent Secretary Matthew Rycroft, the Deputy AG convened the second meeting of their ongoing, strategic dialogue, combining the expertise and capabilities of the Home Office and the Justice Department to identify and address emerging threats. They discussed ways both countries can continue to protect against transnational repression, cybercrime — including ransomware and fraud — and terrorism, especially in the wake of the October 7th attacks.
The Deputy AG delivered remarks at Oxford University on the promise and peril of AI. She shared the principles guiding the Justice Department as it harnesses the benefits of AI to fulfill its mission — and also outlined the Department’s approach to mitigating the risks posed by its misuse. The Deputy AG announced the launch of “Justice AI,” a series of convenings the Department will hold across civil society, academia, science, and industry to draw on varied perspectives about integrating AI.
In her speech, she stressed how AI is already lowering the barriers to entry for criminals and emboldening our adversaries. She announced that going forward, where appropriate, federal prosecutors should seek stiffer sentences for offenses made significantly more dangerous by the misuse of AI — and that if existing sentencing enhancements cannot adequately address the harms caused by misuse of AI, the Department will seek reforms to them.
The Deputy AG also highlighted the work of the Disruptive Technology Strike Force, which she launched last year to strike back against adversaries trying to siphon off America’s most advanced technology for use against us. Calling AI the “ultimate disruptive technology,” the Deputy AG emphasized that going forward, that strike force will prioritize AI in its enforcement actions.
While in London, the Deputy AG visited the American Embassy for a briefing with U.S. officials on their work and to thank them for their dedicated public service. Ambassador Jane Hartley hosted a reception in honor of the Deputy AG’s visit and to celebrate the continued collaboration between both countries.
The Deputy AG departed London for Munich, where she will participate in the Munich Security Conference and the Munich Cyber Security Conference.
Photo credit: U.S. Embassy London. Photo credit: The Oxford Martin School.Rapid City Man Receives 10 Years in Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange has sentenced a Rapid City, South Dakota, man convicted of Attempted Enticement of a Minor Using the Internet. The sentencing took place on February 6, 2024.
James Dreamer, age 41, was sentenced to 10 years in federal prison, followed by seven years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. Dreamer will also be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Dreamer was indicted for Attempted Enticement of a Minor Using the Internet by a federal grand jury in August of 2023. He pleaded guilty on November 6, 2023.
Dreamer was arrested as a result of an undercover sex trafficking operation conducted during the 2023 Sturgis Motorcycle Rally, targeting internet predators. Following hundreds of Facebook and text messages with a person Dreamer believed to be a 15-year-old girl, but who was in fact an undercover agent, Dreamer proceeded to negotiate a time and place he would meet the minor to engage in unlawful sex acts. When Dreamer went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the Internet Crimes Against Children Taskforce, South Dakota Division of Criminal Investigation, Homeland Security Investigations, Pennington County Sheriff’s Office, and the Rapid City Police Department. Assistant U.S. Attorney Heather Knox prosecuted the case.
Dreamer was immediately remanded to the custody of the U.S. Marshals Service.
Queens Man Arrested for Bronx Kidnapping and MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York; Frank A. Tarentino III, the Special Agent in Charge of the Drug Enforcement Administration (“DEA”); and Edward A. Caban, the Commissioner of the New York City Police Department (“NYPD”), announced today the unsealing of a Complaint charging IVAN COLLADO with conspiracy to commit kidnapping and kidnapping resulting in death in connection with the kidnapping and murder of Raymond Resto, a/k/a “Sugar Hill Tone,” on November 26, 2023, in the Bronx. COLLADO is in custody and will be presented today before U.S. Magistrate Judge Valerie Figueredo.
U.S. Attorney Damian Williams said: “As alleged, Ivan Collado mapped out and participated in the brazen and incredibly brutal kidnapping of Raymond Resto in a Target parking lot in the Bronx. When Resto tried to escape, he was cruelly gunned down in front of his wife. Today’s charges show that the relentlessness with which my Office will investigate such alleged callous violence is unwavering, and our message to violent criminals has never been clearer: we won’t stop until justice is served.”
DEA Special Agent in Charge Frank A. Tarentino III said: “The brutality associated with this case exemplifies the dangers posed to our communities by criminal organizations. DEA and our law enforcement partners are committed to bringing those who cause the most harm to justice. I applaud the swift and diligent work by the U.S. Attorney’s Office for the Southern District of New York, the NYPD, NYSP and DEA.”
NYPD Police Commissioner Edward A. Caban said: “There is no place in civil society for the alleged acts of barbarism outlined in today’s charges. When grievous crimes like these are committed anywhere in New York City, NYPD detectives are relentless in their work to hold those involved to full account. A major component of those efforts is to keep bringing strong cases to our law enforcement partners, including the skilled prosecutors in the Office of the U.S. Attorney for the Southern District of New York.”
As alleged in the Complaint:[1]
From at least in or about November 23, 2023, through at least in or about November 26, 2023, COLLADO and others conspired to kidnap Raymond Resto, a/k/a “Sugar Hill Tone” (the “Victim”).
On or about November 25, 2023, COLLADO and a co-conspirator (“CC-1”) registered and activated a tracking device (the “Tracking Device”). The next day, on or about November 26, 2023, COLLADO and CC-1 conducted surveillance at the Victim’s home in the Bronx, New York, until approximately 3:00 a.m. COLLADO and CC-1 then followed the Victim as he left his home and drove to an enclosed parking lot in the Bronx (the “Parking Lot”). The Victim parked his car in the Parking Lot and left it overnight. Approximately one hour after the Victim left the Parking Lot, a BMW (the “BMW”) entered and pulled up next to the Victim’s unoccupied car. At the same time, COLLADO and CC-1 positioned a Nissan (the “Nissan”), registered to COLLADO, just outside of the Parking Lot where they could observe the driver of the BMW. An individual (“CC-2”) then exited the BMW from the driver’s side and bent down next to the Victim’s car. CC-2 then reentered the BMW and departed with the Nissan following close behind. From that moment until the Victim’s murder, location data for the Tracking Device that COLLADO and CC-1 activated was consistent with the location of the Victim’s car, demonstrating that CC-2 had installed the Tracking Device on the Victim’s car under COLLADO’s supervision.
On or about November 26, 2023, at approximately 6:01 p.m., the Victim and his wife returned to the Parking Lot, entered their car, and traveled to a location outside New York City. The Victim and his wife returned to the Parking Lot several hours later at approximately 11:45 p.m., parked their car in the same location, and began walking towards a cab that was waiting for them. As they approached the cab, at approximately 11:49 p.m., the BMW returned to the Parking Lot, and pulled in front of the Victim and his wife. Three kidnappers exited the BMW; two of them attempted to force the Victim into the BMW. Unable to get the Victim inside, one of the kidnappers began shooting the Victim at close range. The Victim struggled to escape while the other kidnappers also opened fire. The Victim was struck at least four times, including once in the face. The kidnappers then entered the BMW and fled the Parking Lot at approximately 11:53 p.m. The Victim was later pronounced dead at a local hospital.
On or about November 27, 2023, the Tracking Device was deactivated, and an email address associated with the Tracking Device was deleted.
If you have any information about this case, please call 866-874-8900.
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COLLADO, 46, of Queens, New York, is charged with one count of conspiracy to commit kidnapping, which carries a maximum sentence of life in prison, and one count of kidnapping resulting in death, which carries a mandatory minimum of life in prison and a maximum sentence of death.
The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentence of the defendant will be determined by the judge.
Mr. Williams praised the outstanding work of the DEA Task Force comprised of members of the DEA, NYPD, and New York State Police, as well as members of the NYPD’s Bronx Homicide Squad.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Ashley C. Nicolas, Courtney L. Heavey, and Joseph H. Rosenberg are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact descried therein should be treated as an allegation.
Previously Convicted Felon Found Guilty of Illegally Possessing Loaded FirearmRead the Press Release
BOSTON – A Hyde Park man was convicted yesterday by a federal jury in Boston of being a felon in possession of a Smith & Wesson pistol loaded with ammunition.
King Belin, 38, was convicted of one count of being a felon in possession of a firearm and ammunition. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for May 23, 2024. Belin was indicted by a federal grand jury in February 2021.
On Dec. 20, 2020, Belin was stopped by law enforcement after he failed to yield at an intersection and nearly collided with another car. During the motor vehicle stop a Smith & Wesson, Model SD40VE .40 caliber pistol, loaded with 14 rounds of .40 caliber ammunition were found in Belin’s waistband. Belin then attempted to flee, and a struggle ensued. He was immediately apprehended.
At the time of the offense, Belin was on federal supervised release for a 2015 conviction of being a felon in possession of a firearm and ammunition, for which he was sentenced to 71 months in prison. In 2010, Belin was convicted in Suffolk Superior Court of carrying a loaded firearm without a license, for which he was sentenced to 18 months in state prison and two years of probation.
The charging statute provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $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 Field Division; and Stoughton Police Chief Donna M. McNamara made the announcement today. Assistant U.S. Attorneys John T. Dawley and Benjamin A. Tolkoff of the Organized Crime & Gang Unit are 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.
Portsmouth Man Pleads Guilty to Assaulting Passenger on Cruise ShipRead the Press Release
NORFOLK, Va. – A Portsmouth man pleaded guilty today to assaulting a fellow passenger with a dangerous weapon, resulting in serious bodily injury, on a cruise ship last year.
According to court documents, Michael Truman, 39, assaulted a passenger aboard the Carnival “Magic” Cruise Ship on October 20, 2023. The cruise ship was off the coast of Nantucket in open waters. Truman was loudly disrupting a theater show aboard the cruise ship when he was asked twice by a fellow passenger to quiet down. After Truman refused, the passenger began to leave the area to request assistance from a cruise ship employee. Truman then smashed a cocktail glass into the victim’s face, got on top of the victim, and began striking him further. The broken glass caused significant lacerations to the victim’s face, requiring more than a dozen stitches.
Truman is scheduled to be sentenced on August 29. He faces a maximum penalty of ten years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea.
Assistant U.S. Attorneys Anthony Mozzi and Clayton LaForge are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-cr-144.
Pierre Man Sentenced to Federal Prison for Prohibited Possession of a FirearmRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Pierre, South Dakota, man, convicted of Possession of a Firearm by a Prohibited Person. The sentencing took place on January 30, 2024, in Sioux Falls, South Dakota.
James Dubray, age 20, was sentenced to three years and one month in federal prison, followed by three years of supervised release. He was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
Dubray was indicted for Possession of a Firearm by a Prohibited Person by a federal grand jury in October of 2022. He pleaded guilty on September 27, 2023.
On September 5, 2022, Dubray was inside a vehicle when it was legally stopped by law enforcement. During the stop, Dubray fled from law enforcement. He was eventually located near an apartment complex and placed under arrest. During Dubray’s arrest, he knowingly had on his person a firearm magazine as well as methamphetamine. Additionally, law enforcement found a firearm approximately 10 yards from Dubray’s location, which Dubray has discarded while running from law enforcement. At the time, Dubray was an active unlawful user of methamphetamine while in possession of a firearm. Dubray had used methamphetamine earlier that same day and had been using methamphetamine daily well before he was arrested.
Dubray is prohibited from possessing firearms because he was addicted to a controlled substance at the time he possessed the firearm.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Sioux Falls Police Department. Assistant U.S. Attorney Paige Petersen prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Dubray was remanded to the custody of the U.S. Marshals Service to continue serving his sentence.
Pender County Man Sentenced to 30 Years in Prison for Producing Child Sexual Abuse MaterialRead the Press Release
WILMINGTON, N.C. – A Rocky Point, N.C. man was sentenced today to the statutory maximum 360 months in prison, and 10 years of supervised release, for the production of child pornography between April and October of 2020. On April 25, 2023, Thomas Frank Andrews, Jr., 39, pled guilty to the charges. Andrews was also ordered to pay a total of $36,000 in restitution to multiple victims and will be required to register as a sex offender.
According to court documents and other information presented in court, in February 2020, Andrews traveled to Vance County to have sex with a minor female he had met and groomed through social media. The minor victim reported asking Andrews to stop but he did not, and a family member caught Andrews in bed with the minor. The Vance County Sheriff’s Office (VCSO) investigated, and Andrews was charged with Second Degree Forcible Rape.
During the investigation, the VCSO received reports that Andrews, a Pender County resident, was also sexually assaulting another minor female victim who was only 13 years-old at the time. On October 22, 2020, the Pender County Sheriff’s Office (PCSO) arrested Andrews on the outstanding Vance County warrant and seized his phone. A search warrant found child sexual abuse material (CSAM) on the phone. The PCSO then obtained and executed search warrants for Andrews’ home, vehicle, other electronic devices, and social media accounts. The subsequent investigation, conducted by the PCSO and the United States Secret Service (USSS), confirmed that Andrews had groomed the 13-year-old victim, engaged in a sexual relationship with her, and also had her create sexually explicit images and videos of herself at his direction.
The investigation also found that Andrews sexually assaulted yet another minor female victim, who was just 11 years-old at the time of his arrest. Later, investigators were able to confirm that one of the CSAM videos found on Andrews’ devices depicted the same minor victim, but was recorded over a year ago, when she was only 10 years-old.
A review of the electronic evidence revealed that Andrews had engaged in overtly sexual online communications with numerous other young females, including minors. Several explicitly disclosed their age / minor status, while Andrews often lied about his own age, claiming he was 18. Andrews regularly attempted to convince the young females to meet him for sex or send him sexually explicit images or videos, and some did. Additionally, the forensic review of Andrews’ electronic devices found a voluminous collection of thousands of CSAM images and videos, as well as search history which confirmed that Andrews actively sought out CSAM.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Pender County Sheriff’s Office, the Vance County Sheriff’s Office, and the United States Secret Service investigated the case; the North Carolina 6th and 11th Prosecutorial District Attorney’s Offices prosecuted the state cases; and Assistant U.S. Attorney Bryan M. Stephany prosecuted the federal case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-cr-00112-M.
Pearsall Felon Sentenced to Prison for Dealing Fentanyl and Possessing a Stolen FirearmRead the Press Release
SAN ANTONIO – A Pearsall man was sentenced in a federal court in San Antonio to 24 years in prison for one count of felon in possession of a firearm and one count of conspiracy to possess with intent to distribute fentanyl.
According to court documents, Elberto Roy Trevino Jr. aka Lil Roy, 50, conspired with others to possess with intent to distribute fentanyl in July 2022. Specifically, on July 4, 2022, Trevino coordinated via text message to sell a substance to an individual. The individual believed they were purchasing cocaine from Trevino. Later that day, the individual was found deceased. From the scene, officers recovered loose powder and a rock-like substance that each tested positive for fentanyl, and another white powder that tested positive for cocaine.
On the same day, two other individuals were found deceased inside their Pearsall residence. Officers removed a bag that contained .21 grams of white powdery substance that tested positive for fentanyl.
On July 27, 2022, officers executed a search warrant at Trevino’s residence, recovering approximately 44.2 grams of 98% pure methamphetamine, 46.4 grams of a mixture of heroin and fentanyl, a bag containing miscellaneous ammunition, and a handgun that had been reported stolen out of San Antonio.
Trevino pleaded guilty on Aug. 30, 2023 to one count of felon in possession of a firearm and one count of conspiracy to possess with intent to distribute fentanyl. At the sentence hearing, U.S. District Judge Xavier Rodriguez sentenced Trevino to 120 months in prison for the felon in possession of a firearm charge, and 292 months for the conspiracy charge. Both penalties will run concurrently.
“Several people in the Pearsall community lost their lives over one Fourth of July weekend because of a single batch of fentanyl-laced cocaine,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “While the victims chose to engage in illicit drug use, had it not been for the miniscule amount of deadly fentanyl they ingested, they likely would still be alive today. This is a very dangerous poison that everyone must be cautious of, and, with the efforts of our partners, we will continue to disrupt the infiltration of fentanyl into our communities.”
"This case demonstrates the ongoing fentanyl threat facing our country today and the complete disregard for human lives,” said Special Agent in Charge Daniel C. Comeaux for the Drug Enforcement Administration Houston Division. “A batch laced with fake fentanyl instantly claimed the lives of four people, three of whom Trevino was responsible for. We understand this sentence won't be a closure for the families forever grieving these tragic losses. Still, we want this sentence to be a clear reminder to those who are thinking about selling fake fentanyl to realize there will be grave consequences awaiting."
The DEA, Pearsall Police Department and Bexar County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Amy Hail prosecuted the case.
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Owner of Suburban Chicago Insurance Agency Sentenced to Seven Years in Prison for Swindling More Than $1 Million from ClientsRead the Press Release
CHICAGO — The owner of a suburban Chicago insurance agency has been sentenced to seven years in federal prison for swindling more than $1 million from clients by collecting annuity premiums for policies that he never purchased.
DANIEL M. ROSENBAUM owned and operated Alexander & Rosenbaum Financial Group LLC, an insurance agency in Kenilworth, Ill. Beginning in 2016, Rosenbaum collected more than $1 million in annuity premiums from at least 18 clients, including friends and family members, for policies that he never purchased. Rosenbaum instead used the money for his own benefit, including spousal and child support payments, credit card payments, vehicle and other loan payments, and purchases at a jewelry store. Rosenbaum attempted to conceal the fraud by creating fake annuity documents and providing them to his clients. Some of the phony documents contained the logos of legitimate insurance companies that Rosenbaum had cut and pasted into the documents.
In addition to the annuity fraud scheme, Rosenbaum also engaged in fraud related to the federal Paycheck Protection Program (PPP), which was created by the CARES Act to cover lost revenue due to economic disruptions from the Covid-19 pandemic. Rosenbaum filed three fraudulent PPP loan applications in his name and, unbeknownst to them, the names of two close family members, for which he was paid a total of $53,537. Rosenbaum also fraudulently obtained $65,826 from the State of Illinois by filing two fraudulent applications for unemployment insurance benefits in his name and, unbeknownst to her, the name of a close family member.
Rosenbaum, 56, of Brown Deer, Wisc., pleaded guilty last year to a federal wire fraud charge. U.S. District Judge Manish S. Shah imposed the sentence Tuesday during a hearing in federal court in Chicago.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The South Chicago Heights, Ill. Police Department provided valuable assistance.
“Not only was Rosenbaum stealing his clients’ money, but he was also leaving them without the annuity coverage they expected to have,” Assistant U.S. Attorney Prashant Kolluri argued in the government’s sentencing memorandum. “Without that coverage, a number of his clients suffered substantial financial hardship.”
Orlando Man Charged with Smuggling Firearms from the United States to CanadaRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Jonen Castillo (23, Orlando) with smuggling firearms from the United States to Canada. If convicted, Castillo faces a maximum penalty of 10 years in federal prison. The indictment also notifies Castillo that the United States intends to forfeit a Smith and Wesson firearm and four Glock firearms, which are alleged to be involved in the offense.
According to the indictment, between June 10 and June 29, 2023, Castillo concealed and attempted to export firearms from the United States to Canada, contrary to United States law and regulation.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations (HSI) and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It will be prosecuted by Assistant United States Attorney Diane Hu.
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.
Operator of Durable Medical Equipment Companies Sentenced in Healthcare Kickback SchemeRead the Press Release
ATLANTA – Simon Orobor has been sentenced for conspiring to pay healthcare kickbacks payments for unnecessary durable medical equipment (DME), resulting in more than $20 million in claims to, and $13 million in payments from, Medicare.
“Telemedicine kickback schemes victimize elderly Medicare beneficiaries when they are most vulnerable,” said U.S. Attorney Ryan K. Buchanan. “Our office will continue to work closely with our federal partners to identify these deceitful practices, and to prosecute the criminals who employ these schemes at the expense of our citizens who rely on the Medicare program.”
“The FBI is determined to protect all tax paying citizens who are affected by these kickback schemes, especially those who need government assistance for their health care needs,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “This sentencing is a step in the right direction to support our overall goal of stopping deceitful medical operators who steal and put tremendous pressure on our federally subsidized health care programs.”
“This sentence sends a strong message that HHS-OIG will thoroughly investigate those who exploit Medicare patients and pay illegal kickbacks to prescribe medically unnecessary durable medical equipment for illegitimate financial gain. Our commitment to safeguarding the integrity of the Medicare and other federal healthcare programs remains unwavering,” said Tamala Miles, Special Agent in Charge with the Department of Health and Human Services, Office of Inspector General (“HHS-OIG”).
According to U.S. Attorney Buchanan, the charges and other information presented in court: Between at least June 2016 and February 2019, Simon Orobor owned and operated Devotion Medical Supply, Inc. (“Devotion”) and Durable Medical Supply, Inc. (“Durable”), which provided durable medical equipment such as knee, back, shoulder, and wrist braces. Orobor, though another entity called Digital Interventions, LLC, obtained access to thousands of Medicare beneficiaries by paying, on a weekly basis, kickbacks to Individual 1 and Company 1 in exchange for signed doctors’ orders for these braces. As part of the conspiracy, Medicare beneficiaries were contacted by call centers located in India, the Philippines, and elsewhere, which often obtained patient consent and sales through fraudulent means.
Orobor and Individual 1 disguised the nature and source of these kickbacks by designating the payments as marketing, entering into sham contracts, and generating or causing the generation of fraudulent invoices. In total, Orobor, through Devotion and Durable, used the doctors’ orders obtained through kickbacks to submit claims to Medicare in the approximate amount of $20,555,772 and received Medicare reimbursement in the approximate amount of $13,360,721.89.
Simon Orobor, 60, of Houston, Texas was sentenced to 30 months of incarceration, followed by three years of supervised release. Orobor was also ordered to pay $13,360,721.89 in restitution.
This case was investigated by the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, Office of Inspector General.
Assistant U.S. Attorney David A. O'Neal prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6280. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Oklahoma Pharmacy Pays $140,000 to Settle Civil Penalty Claims Stemming from Allegations of Recordkeeping ViolationsRead the Press Release
Oklahoma City, Oklahoma – OU Medicine Inc. d/b/a OU Health (“OU Health”), paid $140,000 to settle civil penalty claims stemming from allegations it violated the Comprehensive Drug Abuse Prevention and Control Act of 1970 (“Act”) and its regulations, announced United States Attorney Robert J. Troester.
OU Health has owned and operated the OU Health Pharmacy – OU Health Physicians Building (“Pharmacy”) located in Oklahoma City, Oklahoma, since July 16, 2022. The Pharmacy provides controlled substances to patients and in the past provided controlled substances to physician clinics within the OU Health system.
Recordkeeping is a vital part of managing controlled substances. Complete and accurate records help avoid diversions and losses of controlled drugs. The regulations implementing the Act require a registrant seeking to purchase Schedule II controlled substances to fill out the purchaser portion of a DEA Form-222, specify the descriptions and amounts of Schedule II substances being ordered, and provide the annotated form to the seller. The seller then must complete its portion of the DEA Form-222 at delivery, ensuring the substance identifications and quantities match those ordered. Failure to comply can result in civil monetary penalties.
The United States alleges that from November 16, 2020, through August 1, 2022, the Pharmacy accepted blank-signed DEA Form-222s from purchasers in violation of federal regulations. The Pharmacy, not the purchaser, entered on the forms the descriptions and amounts of Schedule II substances being ordered. To resolve these allegations, OU Health agreed to pay $140,000 to the United States.
In reaching this settlement, OU Health did not admit liability, and the government did not make any concessions about the legitimacy of the claims. The agreement allows the parties to avoid the delay, expense, inconvenience, and uncertainty involved in litigating the case.
This case was investigated by the Drug Enforcement Administration, Office of Diversion Control. Assistant U.S. Attorneys Ronald R. Gallegos and Amanda R. Johnson prosecuted the case.
Oglala Man Found Not Guilty of Sexual AbuseRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced that an Oglala, South Dakota, man was acquitted of three counts of Aggravated Sexual Abuse and Kidnapping following a federal jury trial in Rapid City, South Dakota, on February 9, 2024.
Drace Dreaming Bear, age 21, was indicted by a federal grand jury in March of 2023.
The investigation was conducted by the Oglala Sioux Tribe – Department of Public Safety. The U.S. Attorney's Office prosecuted the case.
New Braunfels Business Owner Sentenced to Federal Prison for Tax EvasionRead the Press Release
SAN ANTONIO – A New Braunfels woman was sentenced in a federal court in San Antonio to 18 months in prison for failure to account for and pay over withholding taxes.
According to court documents, Rachel Nicole Woolard, 50, owned and operated a healthcare staffing company called Reliance Therapy Staffing, LLC. From the first quarter of 2018 through the first quarter of 2020, she willfully failed to account for and pay over employment taxes for nine tax periods, resulting in a total tax loss of $924,752.76. At the sentence hearing, U.S. District Judge Xavier Rodriguez ordered Woolard to pay the full amount in restitution to the U.S. Treasury.
“This defendant largely ignored the financial accountability that comes with owning and operating a business,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “It is critical to understand, especially in the middle of tax season, your responsibility when it comes to paying taxes. If you choose to pocket taxes that you owe, our partners at IRS Criminal Investigation will uncover your fraud and we will hold you accountable with serious consequences.”
"Woolard made a conscious decision to evade paying nearly $1 million in taxes, enabling her to live a more lavish lifestyle. She knowingly engaged in illegal activity and now she must pay the price," said Special Agent in Charge Ramsey E. Covington of IRS Criminal Investigation’s Houston Field Office. "This sentencing, occurring during tax season, emphasizes the dedication of CI and the U.S. Attorney’s Office to ensuring tax criminals are held accountable for their actions.”
IRS CI investigated the case.
Assistant U.S. Attorney William Harris prosecuted the case.
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Minnesota Man Sentenced to 25 Years in South Dakota Meth ConspiracyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Minneapolis, Minnesota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on December 19, 2023.
Maureo Lemar Murdock, 30, was sentenced to 25 years in federal prison, followed by five years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Murdock was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in May of 2023. He pleaded guilty on August 23, 2023.
Murdock obtained methamphetamine from co-conspirators in California and then distributed that methamphetamine to customers in South Dakota. He was personally involved in the distribution of at least 500 grams or more of methamphetamine.
This case was investigated by the FBI, the Sioux Falls Police Department, and the Minnehaha County Sheriff’s Office. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Murdock was immediately remanded to the custody of the U.S. Marshals Service.
Michigan Man Arrested in West Virginia in Connection to Three Bank RobberiesRead the Press Release
DETROIT – A fugitive wanted in connection with bank robberies in Hamtramck, Harper Woods, and Hazel Park appeared in federal court this afternoon. Glenn Pack, 23, was arrested by the FBI on January 25, 2024, in West Virginia, and was returned to Michigan earlier this week to face charges, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Special Agent in Charge Cheyvoryea Gibson of the FBI in Michigan.
According to the criminal complaint, Pack is alleged to have robbed a PNC Bank on Joseph Campau Street in Hamtramck on December 19, 2023, a Chase Bank on Vernier Road in Harper Woods on January 2, 2024, and a PNC Bank on S. Chrysler Drive in Hazel Park on January 12, 2024. In all three robberies, Pack posed as a customer and presented the tellers with a note demanding money and stating that he was robbing the bank. Pack is alleged to have made off with over $10,000.
If convicted, Pack faces a maximum penalty of 20 years in prison for bank robbery. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
“We are grateful for the swift action by the Hamtramck, Harper Woods, and Hazel Park Police Departments in coordinating with the FBI to identify and locate the defendant,” said Cheyvoryea Gibson, the Special Agent in Charge of the FBI in Michigan. “Each law enforcement partner brought a unique skill set which contributed to the successful apprehension by FBI Pittsburgh. The FBI remains committed to investigating thieves and protecting the public from this type of criminal activity.”
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
In addition to the Detroit FBI, this case is being investigated by the Hazel Park Police Department, the Hamtramck Police Department, and Harper Woods Department of Public Safety. The case is being prosecuted by Assistant U.S. Attorney Sarah Alsaden.
Member of Nisqually Tribe indicted for three counts of sexual abuse of a minorRead the Press Release
Tacoma – A 49-year-old member of the Nisqually Indian Tribe was indicted by the grand jury this week for three counts of aggravated sexual abuse of a minor, announced U.S. Attorney Tessa M. Gorman. Marcus Jerome Douglas was arrested on a criminal complaint on January 31, 2024. Douglas remains detained at the Federal Detention Center at SeaTac. He will be arraigned on the indictment next week.
According to records filed in the case, three victims have disclosed sexual abuse by Douglas at times when he had access to them. Some of the victims report long- time abuse from a very young age.
Because Douglas is a tribal member and the abuse occurred in residences on tribal land, the case is being investigated by the FBI and the jurisdiction is in federal court.
Sexual abuse of a minor is punishable by a mandatory minimum 30 years in prison to life in prison.
The FBI investigation is ongoing, and investigators are interested in speaking with any additional victims or witnesses who should call 1-800-CALL-FBI.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI with assistance from the Olympia Police Department.
The case is being prosecuted by Assistant United States Attorneys Cecelia Gregson and Kristine Foerster.
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