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Tuesday 13 February 2024
Alexandria Fentanyl and Gun Trafficker Sentenced to 15 YearsRead the Press Release
ALEXANDRIA, Va. – An Alexandria man was sentenced today to 15 years in prison for conspiring to distribute fentanyl and possessing a firearm in furtherance of drug trafficking.
According to court documents, Carrington Hammond, 29, worked with Arizona-based suppliers and local redistributors to sell kilogram-level quantities of fentanyl in the Eastern District of Virginia. Hammond’s co-conspirators mailed packages across the country to Hammond containing tens of thousands of counterfeit pills. The pills had the appearance of pharmaceutical oxycodone but instead were laced with fentanyl. Law enforcement identified one such package containing 50,000 fentanyl-laced pills. Hammond also trafficked fentanyl in powder form, as well as cocaine.
In addition to drug trafficking, Hammond sold multiple firearms during the conspiracy. Law enforcement recovered three firearms that Hammond sold to a local drug redistributor, including a “ghost” gun. A ghost gun is a firearm that is not marked with a serial number and is often made using a 3-D printer, so there is no way to track its origins or owners.
On August 10, 2023, law enforcement searched an Alexandria apartment unit of Hammond and several of his co-conspirators, from which they sold their drugs and firearms. During the search of the two-bedroom apartment, law enforcement seized over five kilograms of counterfeit pills laced with fentanyl, over two kilograms of fentanyl powder, over one kilogram of cocaine, 2.5 kilograms of marijuana, and two firearms. One firearm was hidden under a couch cushion, and the other was a semi-automatic weapon kept loaded next to a safe containing a kilogram of fentanyl.
Hammond had been prosecuted multiple times at the state level for drug and firearm-related offenses, as well as violent crimes. Three of his charged co-conspirators are scheduled to be sentenced on February 20.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod A. Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; Craig Kailimai, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division; Ajay D. Lall, Acting Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; Don Hayes, Alexandria Chief of Police; and Kevin Davis, Fairfax County Chief of Police, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema.
Assistant U.S. Attorneys Heather D. Call and Kristin S. Starr prosecuted the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Assistance was provided by the Washington/Baltimore High Intensity Drug Trafficking Area (HIDTA) task force.
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. 1:23-cr-166.
Albuquerque Man Sentenced to 15 Years in Prison for Voluntary ManslaughterRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI’s Albuquerque Field Office, announced that Silvester Castillo was sentenced to 15 years in prison. Castillo, 38, of Albuquerque, and an enrolled member of the Navajo Nation, pleaded guilty to voluntary manslaughter on July 6, 2023.
According to publicly available court records, on May 31, 2021, officers from the Navajo Nation Police Department responded to a residence in Torreon, New Mexico in reference to a homicide. Officers found Jane Doe in the front yard lying face up with her sweatpants around her ankles and obvious blunt force trauma to her head, face, and body. She was located near a Buick sedan that was still running and had sustained heavy damage to the rear bumper. Castillo was located inside of the residence with blood on his hands, pants, and shoes. Jane Doe’s 4-year-old daughter told law enforcement that her mommy was dead, and that Castillo told her to hide the shovel. During a forensic interview, Jane Doe’s daughter disclosed that she saw Castillo hit Jane Doe with a shovel, remove her clothes, and then run over her face with a car. Castillo then told her not to tell. Castillo’s grandmother also witnessed the incident but waited until daylight to walk to the neighbor’s house for help.
Castillo denied any involvement in Jane Doe’s death. He claimed that she brought him alcohol against his wishes and told him she was a “Skinwalker.” He also claimed that she poisoned him, causing him to lose consciousness. Lastly, Castillo claimed self-defense, stating that Jane Doe had bit his shoulder, cut his hand, and burned his arm. Agents were unable to locate any injuries on Castillo other than an older burn scar.
According to OMI, Jane Doe’s cause of death was blunt force trauma, the manner of death was homicide. Jane Doe suffered significant scalp wounds, including tears and a subarachnoid hemorrhage, with head and facial injuries consistent with a car wheel driving over it. She also had several broken ribs and a lung injury.
Upon his release from prison, Castillo will be subject to three years of supervised release.
The FBI Albuquerque Field Office investigated this case with the assistance of the Navajo Police Department and Department of Criminal Investigations. Assistant United States Attorneys Timothy Trembly and Caitlin Dillon are prosecuting the case.
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24-69
Ada Resident Pleads Guilty to Obstruction of JusticeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announces that David Henry Vick, Jr., age 38, of Ada, Oklahoma, entered a guilty plea to an Information charging him with Obstruction of the Due Administration of Justice.
The Information alleged that in June and July of 2023, Vick twice corruptly influenced, obstructed, and impeded the due administration of justice by causing and inducing an individual from appearing before two empaneled federal grand juries in the Eastern District of Oklahoma. At the plea hearing, Vick admitted that when he learned that the potential witness had been subpoenaed to testify before empaneled grand juries in June and July of 2023, he directed the individual to not appear or testify. Due to Vick’s inducements, the witness failed to appear to testify.
The charge arose from an investigation by the Bureau of Indian Affairs and the Ada Police Department.
The Honorable D. Edward Snow, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Vick will remain in the custody of the U.S. Marshal pending sentencing.
Assistant United States Attorney T. Cameron McEwen represented the United States.
Monday 12 February 2024
Wheeling Developer Admits to Wire and Tax FraudRead the Press Release
WHEELING, WEST VIRGINIA – A Wheeling real estate developer pleaded guilty today to wire fraud and tax fraud in connection with a scheme to bilk investors out of millions of dollars.
United States Attorney William Ihlenfeld announced that Jeffrey James Morris, managing member of Roxby Development, LLC, admitted to one count of wire fraud and one count of willful failure to pay over tax. According to court documents, Morris, age 37, agreed that he used false and misleading information to induce investments in the Scottish Rite Cathedral. Morris also admitted that he caused Roxby Development to collect payroll taxes on behalf of its employees but willfully failed to pay over those funds to the Internal Revenue Service.
Pursuant to the plea agreement, Morris must pay $5,129,113.32 in restitution to investors and an additional $526,476.58 in taxes, penalties, and interest to the Internal Revenue Service.
Morris secured funding both locally and nationally to develop real estate in Wheeling. In addition to his acquisition of the Scottish Rite Cathedral, he acquired the McClure House Hotel and the Mount Carmel Monastery and solicited investments for other properties in the area. The Cathedral and McClure House were foreclosed upon in 2023, and the Monastery will be conveyed by Morris to its primary lienholder pursuant to the plea agreement.
Morris faces up to six and a half years in prison when he is sentenced.
United States Attorney Ihlenfeld and Assistant U.S. Attorney Jarod Douglas are prosecuting the case on behalf of the government.
The matter was investigated by the Federal Bureau of Investigation and the Internal Revenue Service-CI.
U.S. Magistrate Judge James P. Mazzone presided.
Read the plea agreement here:
Jeffrey Morris Plea AgreementSuburban Chicago Accountant Guilty of Evading $3.4 Million in Federal and State Income TaxesRead the Press Release
CHICAGO — A suburban Chicago accountant has pleaded guilty to a federal tax offense for willfully evading more than $3.4 million in federal and state income taxes.
IMRAN MAHMOOD, 56, of South Barrington, Ill., pleaded guilty Thursday to a tax evasion charge before U.S. District Judge Sara L. Ellis. The conviction is punishable by a maximum sentence of five years in federal prison. Judge Ellis set sentencing for June 11, 2024, at 10:30 a.m.
The guilty plea was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. Valuable assistance was provided by the FBI Chicago Field Office. The government is represented by Assistant U.S. Attorney Patrick J. King, Jr.
Mahmood was a certified public accountant who provided accounting services for an Illinois not-for-profit organization and a related company. From 2011 to 2014, Mahmood obtained from the two entities approximately $9,084,984 – the majority of which came from the not-for-profit organization’s payroll accounts – and directed that the money be deposited with an entity Mahmood controlled. Mahmood then used the deposited funds to make personal expenditures.
Mahmood attempted to conceal the scheme by mischaracterizing payments in the books and records of the entities from which he obtained the money. Although Mahmood hired a tax professional to assist in filing Mahmood’s income tax returns, he failed to disclose to the professional all of the funds that he received and his ownership of the entity into which he deposited those funds. This conduct caused the filing of false tax returns for the years 2011 to 2014.
Mahmood admitted in a plea agreement that his conduct resulted in a total federal and state tax loss of approximately $3,468,523.
Mahmood plea agreementSix sentenced for roles in $20M COVID-19 relief fraud ringRead the Press Release
HOUSTON - Six Houston-area men have been sentenced for their roles in a conspiracy to fraudulently obtain more than $20 million in forgivable Paycheck Protection Program (PPP) loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief and Economic Security (CARES) Act.
Hamza Abbas, 31, Ammas Uddin, 31, and Arham Uddin, 27, all of Richmond, were sentenced to 44, 18 and 18 months in prison, respectively, while Syed Ali, 55, Sugar Land, received a 24-month-term. Two others - Muhammad Anis, 55, and Jesus Acosta Perez, 33, both of Houston, were sentenced to respective terms of 21 months and 12 months and a day. All six had previously pleaded guilty and must also pay varying amounts in restitution.
According to court documents, the men conspired together and with others to fraudulently obtain PPP loans by, among other means, supplying information about their businesses to be used to submit false and fraudulent PPP loan applications. Specifically, the PPP loan applications falsified the numbers of employees and the average monthly payroll expenses of the applicant businesses. The loan applications included fraudulent bank records and fake federal tax forms in support of the PPP loan applications.
Abbas also recruited others into the conspiracy and created fraudulent bank records that were used in support of the loan applications in exchange for kickbacks.
They laundered a portion of the fraudulent proceeds by writing checks from companies that received PPP loans to fake employees. These fake paychecks were cashed at certain cash checking businesses, including one another co-conspirator owned.
In January, three other individuals who also previously pleaded guilty were sentenced for their roles in the loan fraud scheme. Raheel Malik, 43, Sugar Land, and Nishant Patel, 41, Houston, received respective sentences of 18 and 24 months, while Harjeet Sing, 50, Katy, must serve five years of probation.
In October 2023, seven others were sentenced for their roles in the loan fraud conspiracy, including the ringleader, Amir Aqeel, 55, Houston, who was sentenced to 15 years in prison.
SBA - Office of Inspector General (OIG), Federal Housing Finance Agency – OIG (Central Region), Homeland Security Investigations, Federal Deposit Insurance Corporation – OIG (Dallas Region) and Treasury Inspector General for Tax Administration (Gulf States Field Division) conducted the investigation.
Assistant U.S. Attorneys Rodolfo Ramirez and Kristine Rollinson are prosecuting the case along with Trial Attorneys Kate McCarthy, Louis Manzo, Spencer Ryan, Della Sentilles and Randall Warden of the Criminal Division’s Fraud Section.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 200 defendants in more than 130 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds.
Six Men Sentenced for Roles in $20M COVID-19 Relief Fraud RingRead the Press Release
Six Texas men were sentenced today for their roles in a conspiracy to fraudulently obtain more than $20 million in forgivable Paycheck Protection Program (PPP) loans that the Small Business Administration (SBA) guaranteed under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Hamza Abbas, 31, Ammas Uddin, 31, and Arham Uddin, 27, all of Richmond, were sentenced to three years and eight months, one year and six months, and one year and six months in prison, respectively; Syed Ali, 55, of Sugar Land, was sentenced to two years in prison; and Muhammad Anis, 55, and Jesus Acosta Perez, 33, both of Houston, were sentenced to one year and nine months and one year and one day in prison, respectively. All six defendants previously pleaded guilty.
According to court documents, the defendants conspired together and with others to fraudulently obtain PPP loans by, among other means, supplying information about their businesses to be used to submit false and fraudulent PPP loan applications. Specifically, the PPP loan applications falsified the numbers of employees and the average monthly payroll expenses of the applicant businesses. The loan applications also included fraudulent bank records and fake federal tax forms in support of the PPP loan applications. Abbas also recruited others into the conspiracy and created fraudulent bank records that were used in support of the loan applications in exchange for kickbacks.
The defendants also laundered a portion of the fraudulent proceeds by writing checks from companies that received PPP loans to fake employees. These fake paychecks were cashed at certain cash checking businesses, including one owned by another co-conspirator.
In January, three other individuals who previously pleaded guilty were sentenced for their roles in the loan fraud scheme. Raheel Malik, 43, of Sugar Land, was sentenced to one year and six months in prison; Nishant Patel, 41, of Houston, was sentenced to two years in prison; and Harjeet Sing, 50, of Katy, was sentenced to five years of probation.
In October 2023, seven other individuals were sentenced for their roles in the loan fraud conspiracy, including the ringleader, Amir Aqeel, 55, of Houston, who was sentenced to 15 years in prison.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas, Special Agent in Charge Brady Ipock of the SBA Office of Inspector General (SBA-OIG) Central Region, Special Agent in Charge Catherine Huber of the Federal Housing Finance Agency Office of Inspector General’s (FHFA-OIG) Central Region, Special Agent in Charge Mark Dawson of Homeland Security Investigations (HSI) Houston, Special Agent in Charge Anand Ramlall of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG) Dallas Region, and Special Agent in Charge Gary Smith of the Treasury Inspector General for Tax Administration (TIGTA) Gulf States Field Division made the announcement.
The SBA-OIG, FHFA-OIG, HSI, FDIC-OIG, and TIGTA are investigating the cases.
Trial Attorneys Kate McCarthy, Louis Manzo, Spencer Ryan, Della Sentilles, and Randall Warden of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Rodolfo Ramirez and Kristine Rollinson for the Southern District of Texas are prosecuting the cases.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 200 defendants in more than 130 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at www.justice.gov/criminal-fraud/ppp-fraud.
Sacramento Man Pleads Guilty to Sexual Exploitation of ChildrenRead the Press Release
SACRAMENTO, Calif. — Jayson Fernandez Butay, 29, of Sacramento, pleaded guilty today to one count of producing child sexual abuse material and one count of possessing child sexual abuse material, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in April 2019, Butay used Snapchat to correspond with a 15-year-old girl living in Finland. Butay convinced her to send him naked images of herself. Once he received these images, Butay threatened to disclose them to his victim’s family and friends unless she sent him sexually explicit videos. In this way, Butay obtained at least one additional sexually explicit video.
Law enforcement agents subsequently executed federal search warrants at Butay’s residence in Sacramento and seized hundreds of images and videos from Butay’s digital devices that depicted the sexual exploitation of children.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Sam Stefanki is prosecuting the case.
Butay is scheduled to be sentenced by U.S. District Judge William B. Shubb on April 29, 2024. Butay faces a maximum statutory penalty of 30 years in prison and a $250,000 fine with a mandatory minimum sentence of 15 years in prison. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
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 those who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
Russian-Canadian National Pleads Guilty to Conspiracy to Launder Money from Scheme to Send UAV and Missile Components to Russia in Violation of U.S. SanctionsRead the Press Release
Earlier today in federal court in Brooklyn, Kristina Puzyreva pleaded guilty to money laundering conspiracy for her role in a multimillion-dollar scheme to send components used in unnamed aerial vehicles (UAVs) and guided missile systems and other weapons to sanctioned entities in Russia. The components shipped in violation of export control and sanctions laws were later found in Russian weapons platforms and signals intelligence equipment in Ukraine. At sentencing, Puzyreva faces up to twenty years in prison. Prosecution against the other defendants remains pending.
Breon Peace, United States Attorney for the Eastern District of New York, Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Erin Keegan, Acting Special Agent-in-Charge, Homeland Security Investigations New York (HSI), James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Matthew S. Axelrod, Assistant Secretary of Commerce for Export Enforcement, U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement (BIS), announced the plea.
“As she admitted today, the defendant was a key part of the plan, laundering proceeds from the scheme to evade sanctions and ship UAV and missile components to Russia that were later found on the battlefield in Ukraine,” stated United States Attorney Peace. “Today’s plea demonstrates that the Eastern District of New York will not allow criminals to endanger national security by supplying Russia with U.S.-sourced military technology.”
“Kristina Puzyreva and her co-defendants allegedly purchased and dispatched millions of dollars in U.S.-sourced electronics to support the Kremlin in its ongoing attacks of Ukraine. Her money laundering conspiracy was directly linked to 298 shipments of restricted technology, valued at $7 million, to the Russian battlefield,” said HSI New York Acting Special Agent in Charge Erin Keegan. “While today’s guilty plea remains a positive step toward justice, HSI New York will continue to relentlessly pursue those who seek to exploit U.S. export control laws for financial gain.”
“Following the money is a law enforcement imperative. This defendant laundered money on behalf of several Brooklyn front companies to ship U.S.-origin electronics to sanctioned entities in Russia,” said Matthew S. Axelrod, Assistant Secretary of Commerce for Export Enforcement. “As today’s guilty plea makes clear, we are unyielding in our efforts to help prevent American electronics from being used in Russian missiles and drones that kill innocent civilians in Ukraine.”
"Kristina Puzyreva admitted today she willingly played a key role in a global procurement scheme, which ultimately helped the government of Russia obtain sanctioned equipment for its war efforts. Puzyreva chose to turn a blind eye to the law to enrich herself, compromising the national security of the United States. This plea reminds anyone willing to help the Russian government evade sanctions that the FBI will pursue swift punishment in the criminal justice system," stated FBI Assistant Director-in-Charge Smith.
As alleged in the indictment and other court filings, the defendant laundered money as part of a sophisticated export control and sanctions evasion scheme involving SH Brothers Inc. (SH Brothers) and SN Electronics, Inc. (SN Electronics), two companies registered in Brooklyn, New York. Using the SH Brothers and SN Electronics corporate entities, the defendant’s co-conspirators unlawfully sourced, purchased and shipped millions of dollars in dual-use electronics from U.S. manufacturers to end users, including sanctioned entities, in Russia. The electronic components and integrated circuits shipped were later found in seized Russian weapons platforms and signals intelligence equipment in Ukraine, including in UAVs and guided missiles. During the period charged in the indictment, SH Brothers made hundreds of shipments valued at over $7 million to Russia.
Puzyreva and her husband, co-defendant Nikolay Goltsev, traveled on multiple occasions from Canada to meet with their co-defendant Salimdzhon Nasriddinov in Brooklyn. During such trips, Puzyreva utilized numerous bank accounts to make financial transactions in furtherance of the scheme. For example, Puzyreva is the signatory on two New York accounts, including one that lists Nasriddinov’s home address in Brooklyn (also the registered address of SH Brothers) as the address of record. Records for these accounts reflect large, structured cash deposits in Brooklyn and Manhattan that correspond with trips that Puzyreva and Goltsev made to New York. These deposits were then transferred to accounts held and used by Puzyreva and Goltsev in Canada.
The scheme involved millions of dollars in transactions and was lucrative for the defendants. For example, in a text message exchange on or about January 13, 2023, Goltsev complained to Puzyreva that a co-conspirator “asked me to make 80 accounts . . . I am making accounts for 3 mln [i.e., million]. Fingers hurting already from the laptop.” Puzyreva responded, “Lot of money? We will get rich.” Later, on or about January 20, 2023, Goltsev messaged Puzyreva, “Dasha (a co-conspirator) paid. 700k.” Notably, financial records revealed wire transfers totaling approximately $700,000 into an SH Brothers account in or around January 2023 from a Hong Kong-based entity as part of an order for a sanctioned Russian entity.
The government seized $20,000 in cash from the New York hotel room in which the defendant was arrested. In total, the government has seized approximately $1.68 million dollars in connection with this export scheme.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Artie McConnell and Ellen H. Sise are in charge of the prosecution, along with Trial Attorney Christopher M. Cook of the National Security Division’s Counterintelligence and Export Control Section, with assistance from Litigation Analysts Mary Clare McMahon and Joseph Levin. Assistant United States Attorney Laura Mantell of the Office’s Asset Recovery Section is handling forfeiture matters.
The FBI, Department of Commerce’s Office of Export Enforcement’s New York Field Office, and Department of Homeland Security Homeland Security Investigations are investigating the case.
Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force and the Justice Department’s Task Force KleptoCapture. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions and economic countermeasures that the United States has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine.
The Defendant:
KRISTINA PUZYREVA
AGE: 32
Montreal, CanadaE.D.N.Y. Docket No. 23-CR-452
Rockford Man Sentenced to 48 Months in Prison for Possessing a Firearm as a Felon in SpringfieldRead the Press Release
SPRINGFIELD, Ill. – A Rockford, Ill., man, Joshua Mathies, 28, of the 800 block of North Court Street, was sentenced on February 8, 2024, by Senior U.S. District Judge Sue Myerscough to 48 months’ imprisonment to be followed by a 3-year term of supervised release, for possessing a firearm as a felon.
At the sentencing hearing, the government presented evidence that Mathies had taken a semi-automatic weapon into a Springfield bar on the night of his arrest and then attempted to flee when approached by police, who had been notified by a fellow bar patron about Mathies’ possessing the gun. As he was trying to flee, Mathies was tasered. At the time of his arrest, Mathies was on parole from the Illinois Department of Corrections for a previous gun offense.
Mathies has been in the custody of the U.S. Marshal Service since his arrest on May 14, 2023.
The statutory penalties for possession of a firearm by a felon are up to 15 years’ imprisonment, up to a $250,000.00 fine, and up to a three-year term of supervised release.
This case was investigated by the Springfield Police Department with assistance from the Sangamon County Sheriff, the Illinois State Police, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Sierra Senor-Moore represented the government in the prosecution.
The case against Mathies 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.
Repeat Offender Sentenced to Prison for Possession of Child Sexual Abuse MaterialRead the Press Release
LAS VEGAS – A Tonopah, Nev., man was sentenced today by United States District Judge Richard F. Boulware III to 10 years in prison to be followed by 15 years of supervised release for unlawful possession of child sexual abuse material while on federal supervision for a prior crime.
According to court documents, in January 2023, a United States probation officer conducted a visit at the residence of Jeff Richard Stewart (66) who was on federal supervised release for a 2012 conviction of receipt of child sexual abuse material. During the visit, the probation officer discovered several unauthorized electronic devices in Stewart’s possession and seized the devices. Stewart admitted that he possessed about 4,535 images and three videos of child sexual abuse material depicting children as young as infants on these devices.
In November 2023, Stewart pleaded guilty to one count of possession of child pornography. In addition to imprisonment, he is required under the Sex Offender Registration and Notification Act to register as a sex offender and keep the registration current.
United States Attorney Jason M. Frierson for the District of Nevada and Special Agent in Charge Spencer L. Evans for the FBI made the announcement.
The case was investigated by the FBI and the Nye County Sheriff’s Office. Assistant United States Attorney Supriya Prasad prosecuted the case.
The 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 U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood and for information about internet safety education, please visit www.justice.gov/psc.
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 1-800-THE-LOST (1-800-843-5678) or https://report.cybertip.org.
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Queens Men Sentenced to Prison for Conspiring to Hack the Taxi Dispatch System at JFK AirportRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that DANIEL ABAYEV was sentenced to four years in prison and PETER LEYMAN was sentenced to two years in prison for their roles in a scheme to hack the electronic taxi dispatch system (the “Dispatch System”) at John F. Kennedy International Airport (“JFK”). ABAYEV and LEYMAN were both sentenced today before U.S. District Judge Paul A. Crotty. On October 4 and October 30, 2023, respectively, LEYMAN and ABAYEV each pled guilty to one count of conspiring to commit computer intrusion.
U.S. Attorney Damian Williams said: “Daniel Abayev and Peter Leyman, allegedly assisted by Russian hackers, wrought havoc on JFK's electronic taxi dispatch system, impacting fair order and creating chaos for honest taxi professionals. Their actions enabled up to 1,000 fraudulent taxi trips daily, underscoring the serious threat cyber hacking poses to critical infrastructure. Through our collaborative efforts with law enforcement partners, their scheme was dismantled, and the defendants have been rightfully sentenced.”
According to the charging documents and other filings and statements made in court:[1]
From at least September 2019 through September 2021, ABAYEV and LEYMAN, who are U.S. citizens residing in Queens, New York, and ALEKSANDR DEREBENETC, a/k/a “Sasha Novgorod,” and KIRILL SHIPULIN, a/k/a “Kirill Russia,” who are Russian nationals residing in Russia, engaged in a scheme (the “Hacking Scheme”) to hack the Dispatch System at JFK.
At all relevant times, taxi drivers who sought to pick up a fare at JFK were required to wait in a holding lot at JFK before being dispatched to a specific terminal by the Dispatch System. Taxi drivers were frequently required to wait several hours in the lot before being dispatched to a terminal and were dispatched in approximately the order in which they arrived at the holding lot.
Beginning in 2019, ABAYEV, LEYMAN, DEREBENETC, and SHIPULIN attempted various mechanisms to access the Dispatch System without authorization, including bribing someone to insert a flash drive containing malware into computers connected to the Dispatch System, obtaining unauthorized access to the Dispatch System via a Wi-Fi connection, and stealing computer tablets connected to the Dispatch System. The members of the Hacking Scheme also sent messages to each other in which they explicitly discussed their intention to hack the Dispatch System. For example, on or about November 10, 2019, ABAYEV messaged DEREBENETC in Russian: “I know that the Pentagon is being hacked[.]. So, can’t we hack the taxi industry[?]”
At various times between November 2019 and November 2020, the members of the Hacking Scheme successfully hacked the Dispatch System. They used their unauthorized access to alter the Dispatch System and move specific taxis to the front of the line, thereby allowing drivers of those taxis to skip other taxi drivers waiting in the line. ABAYEV and LEYMAN charged taxi drivers $10 each time they were advanced to the front of the line and transferred part of their profits to SHIPULIN and DEREBENETC.
ABAYEV was the leader of the Hacking Scheme and recruited the other participants. ABAYEV and LEYMAN’s scheme resulted in large numbers of taxi drivers skipping the taxi line. Over the course of the scheme, they enabled as many as 1,000 fraudulently expedited taxi trips a day.
DEREBENETC and SHIPULIN remain at large.
* * *
In addition to the prison term, ABAYEV, 47, and LEYMAN, 49, both of Queens, New York, were sentenced to three years of supervised release and each ordered to pay $161,858.26 in forfeiture and $3,456,169.50 in restitution.
Mr. Williams praised the outstanding work of the Port Authority Office of the Inspector General. Mr. Williams also thanked Homeland Security Investigations for their assistance in the investigation.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Kevin Mead and Steven J. Kochevar are in charge of the prosecution.
[1] The entirety of text of the Indictment charging DEREBENETC and SHIPULIN and the description of the Indictment set forth herein constitute only allegations, and every fact described regarding DEREBENETC and SHIPULIN should be treated as an allegation.”
Pike County Physician Sentenced to 22 Years' Imprisonment for Drug Distributions - One Resulting in DeathRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Martin Evers, age 66, of Pike County, Pennsylvania, was sentenced to 264 months’ imprisonment by United States District Court Judge Robert D. Mariani for unlawfully prescribing oxycodone, fentanyl, and methadone to three patients, including a Monroe County woman who died as a result of using the drugs. In addition to the prison term, Judge Mariani ordered that Evers pay a fine in the amount of $50,000 and be supervised by a probation officer for three years following his release from prison.
According to United States Attorney Gerard M. Karam, Evers was convicted by a jury on December 5, 2022. Jurors deliberated for just two hours before finding Evers guilty on all 71 counts of unlawful distribution of controlled substances, as charged in the superseding indictment. The counts involved the unlawful distribution of oxycodone, fentanyl and methadone, all Schedule II controlled substances, and diazepam, a Schedule IV controlled substance. One of the counts for which Evers was convicted involved the unlawful distribution of oxycodone and fentanyl that resulted in the death of a 48-year old Monroe County woman on February 11, 2019.
During the three-week trial, prosecutors from the U.S. Attorney’s Office presented the testimony from the Drug Enforcement Administration (DEA) - Diversion Division, six pharmacists who refused to fill prescriptions issued by Evers, a Walmart Global Investigations witness who offered testimony related to Walmart’s issuance of a nationwide ban for filling all narcotic prescriptions issued by Evers, an expert on pain medicine, an expert toxicologist, an expert pathologist, a Pennsylvania State Police Officer, and a witness from the Monroe County Coroner’s Office.
During the time charged in the superseding indictment, Evers was an employee of the Bon Secours Charity Health System and practiced as a primary care physician in Milford, Pennsylvania. He was licensed in the Commonwealth of Pennsylvania and authorized to prescribe controlled substances for legitimate medical purposes and in the usual course of professional practice. Evers is no longer licensed to practice medicine.
The jury found that Evers repeatedly prescribed oxycodone, fentanyl, and methadone outside the usual course of professional practice and not for legitimate medical purposes and as a result, addiction and death occurred.
After the jury’s verdict on December 5, 2022, Judge Mariani ordered Evers detained.
The two-year long investigation in this case was conducted by the Drug Enforcement Administration (DEA) and its Diversion Division, the Pennsylvania State Police, and the Pennsylvania Office of Attorney General. Assistant U.S. Attorneys Michelle Olshefski and Jenny Roberts prosecuted the case.
This case was prosecuted as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin and other opioids. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin and opioid traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit opioid trafficking offenses.
This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The maximum penalty under federal law for this offense is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Orlando Man Who Committed Five Armed Robberies Sentenced to Seven Years in Federal PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Geoffrey Gaston (29, Orlando) to seven years in federal prison for committing five armed robberies between September 12 and October 12, 2022. The court also ordered Gaston to forfeit the $1,323 stolen as well as the $517 found in his vehicle upon his arrest that were proceeds of the offenses. Gaston entered a guilty plea on November 16, 2023.
According to court documents, at 4:30 a.m. on September 12, 2022, Gaston, dressed in all-black and wearing gloves, entered a 7-Eleven store in Orlando and displayed what appeared to be a handgun. He demanded all the money in the cash drawer. Law enforcement later obtained evidence that Gaston had been searching the internet for “realistic toy gun” in the weeks leading up to this robbery and “.380,” “.22 pistol,” and “Saturday night special gun,” after this robbery.
On September 26, 2022, at approximately 4:20 a.m., Gaston conducted another robbery at a 7-Eleven store in Altamonte Springs wearing the same outfit and again displaying what appeared to be a firearm and robbing the store of $73 (pictured below)
Gaston went on to perpetrate the same armed robbery at another 7-Eleven store that same morning at 4:50 a.m. in Oviedo, obtaining $300 (pictured below).
On October 5, 2022, at approximately 3:50 a.m., Gaston robbed another 7-Eleven in Orlando, obtaining $100 after showing the cashier an apparent firearm (pictured below).
On October 12, 2022, at approximately 4:45 a.m., Gaston returned to the first 7-Eleven he had robbed a month earlier, obtaining $350 by showing the cashier his weapon and demanding that he empty the drawer.
Gaston was arrested later that week at the 7-Eleven where he worked.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Orlando Police Department, the Orange County Sheriff’s Office, the Seminole County Sheriff’s Office, and the Altamonte Springs Police Department. It was prosecuted by Assistant United States Attorneys Dana E. Hill and Noah Dorman.
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.
One Sentenced, One Pleads Guilty in 2 Separate Cases Involving Debit and Credit Card Skimming SchemesRead the Press Release
FRESNO, Calif. — Artak Vardanyan, 40, of Burbank, was sentenced today to 11 months in prison for conspiring to commit credit and debit card fraud, and Christos Mavrokelos, 37, a Romanian national operating in Fresno and elsewhere, pleaded guilty today to using counterfeit debit cards and skimming devices, U.S. Attorney Phillip A. Talbert announced.
Vardanyan Used Credit and Debit Card Skimmers at Gas Stations to Steal Nearly $200,000 in Fresno and Southern California
According to court records, in November 2015, Vardanyan and his co-defendant, Akop Dongelyan, went on a crime spree in Fresno and Southern California where they stole multiple victims’ credit and debit card information through skimmers placed at gas stations. They then used that information to make counterfeit credit and debit cards and stole over $195,000 from the victims’ accounts. This case is the product of an investigation by the FBI. Assistant U.S. Attorneys Joseph Barton and Arelis Clemente are prosecuting the case.
Mavrokelos Used Debit Card Skimming Devices on Bank ATMs to steal Victims’ Debit Card Information and Made Unauthorized Cash Withdrawals
According to court records, from July 2021 through November 2023, in Fresno and Madera Counties and elsewhere, Mavrokelos knowingly and with intent to defraud, used counterfeit debit cards that contained victims’ stolen account information to make unauthorized cash withdrawals on the victims’ accounts. The victims’ account information was stolen through the use of skimming devices, which are devices that can be surreptitiously installed on bank ATMs and card readers that are used to record victims’ information.
In total, Mavrokelos made unauthorized cash withdrawals on more than 10 victims’ accounts. The withdrawals were made from banks whose deposits were insured by the Federal Deposit Insurance Corporation. Mavrokelos’s misconduct caused an actual loss of $75,000, and the reasonably foreseeable intended loss was over $95,000. This case is the product of an investigation by the FBI and the Clovis Police Department. Assistant U.S. Attorneys Joseph Barton and Cody Chapple are prosecuting the case.
Mavrokelos is scheduled to be sentenced on May 13, 2024. He faces a maximum penalty of 10 years in prison and a fine of $250,000. Vardanyan’s co-defendant, Dongelyan, previously pleaded guilty and is scheduled to be sentenced on Feb. 20, 2024. He faces a maximum penalty of five years in prison and a fine of $250,000. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Nigerian Man Extradited from the United Kingdom to Bismarck, North Dakota on Wire Fraud, Mail Fraud, and Money Laundering ChargesRead the Press Release
BISMARCK – United States Attorney Mac Schneider announced that on February 12, 2024, Nigerian citizen Christopher Agbaje made an initial appearance in the United States District Court for the District of North Dakota, on charges of 1) Wire Fraud; 2) Mail Fraud; and 3) Money Laundering.
Agbaje appeared at this hearing in Bismarck, North Dakota, after being extradited from the United Kingdom.
At Agbaje’s initial appearance, United States Magistrate Judge Clare R. Hochhalter, ordered that the defendant be detained pending trial, scheduled for April 9, 2024, at 9:00 a.m.
As alleged in the Indictment, between November and December 2020, the defendant participated with others in a sophisticated scheme to defraud a North Dakota law firm out of $198,336.68. As part of this scheme, individuals falsely purported to be a business owner in a legal dispute with a Bismarck, North Dakota company and entered into a fictious attorney-client relationship with this law firm. Through email communications, these individuals made false statements and promises, upon which the law firm relied to their determinant. Thereafter, the law firm received a parcel containing a fraudulent Citibank check payable to the law firm in the amount of $198,850.00 and deposited this check in the law firm’s bank account. Subsequently, at the purported business owner’s request, the law firm sent a $198,336.68 wire transfer to Christopher Agbaje’s business partner. A short time later, Christopher Agbaje directed his business partner to fraudulently initiate a $180,000.00 international wire transfer with the intent to conceal the location, ownership, and control of the law firm’s money.
An Indictment in this case is not evidence of guilt. The defendant is presumed innocent unless or until proven guilty beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Jonathan J. O’Konek. The Justice Department’s Office of International Affairs provided substantial assistance with securing the arrest and extradition of Agbaje.
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Michigan Man Sentenced for Armed Drug TraffickingRead the Press Release
ASHLAND, Ky. – A Hamtramck, Mich., man, Corey J. Benton, 34, was sentenced on Monday, by U.S. District Judge David Bunning, to 138 months in prison, for possession with intent to distribute a controlled substance and possession of a firearm in furtherance of drug trafficking.
According to his plea agreement, beginning in October 2022, the Kentucky State Police opened an investigation into the drug trafficking activities of Benton. Their investigation revealed that Benton had sold illicit drugs containing fentanyl and fluorofentanyl, a fentanyl analogue, in Carter County. Ultimately, during the execution of a search warrant at Benton’s residence, law enforcement seized a distribution quantity of fentanyl, as well as a .45 caliber Sig Sauer firearm. Benton admitted that he possessed this firearm in furtherance of his drug trafficking activity.
Under federal law, Benton must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for four years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; and Col. Phillip J. Burnett, Jr., Commissioner of the Kentucky State Police, jointly announced the sentence.
The investigation was conducted by ATF and KSP. Assistant U.S. Attorney Cynthia Rieker is prosecuting the case on behalf of the United States.
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Member of transnational organized crime group convicted of money laundering, encouraging aliens to come to the United States, trafficking stolen property, and bribery of public officials sentenced to 95 months in prisonRead the Press Release
MIAMI – On Feb. 9, a Miami Beach man was sentenced to 95 months in federal prison for his role in a violent transnational organized crime group operating in Cuba, Mexico, Spain, and South Florida since as early as 2009.
The sentence comes after a jury convicted Javier Hernandez, 50, of Miami Beach, Florida, of conspiracy to commit encourage and induced aliens to come to or enter the United States without authority, conspiracy to transport stolen vessels, conspiracy to traffic in certain motor vehicles, trafficking in certain motor vehicles, and conspiracy to launder money to promote stolen property trafficking and the bribery of public officials in October 2023.
According to evidence introduced at trial, Hernandez and his codefendant, Ramon Reyes Aranda, 38, of Naples, Florida, stole vessels from the west coast of Florida. Reyes Aranda would identify the vessels, and Hernandez transported them to Mexico, where they would be used to fund and facilitate the enterprise’s illegal activities. Prior to the trial, Reyes Aranda pleaded guilty to participating in a money laundering conspiracy to promote stolen property trafficking and the bribery of public officials.
The stolen property, which included boats and vessels, were transported to a coconspirator in Mexico, who would then use the stolen property to facilitate and promote the organization’s activities. For example, evidence introduced at trial showed that Hernandez transported a vehicle to Mexico for use in bribing a foreign official so that the organization could continue conducting migrant smuggling without interference from law enforcement.
An extensive multi-national operation, led by American and Mexican law enforcement authorities, was formed to combat the activities of a violent transnational organized crime group known collectively in Mexico as La Mafia Cubana en Quintana Roo, or the Cuban Mafia in Quintana Roo. Through this operation, law enforcement officials learned that Jose Miguel Gonzalez Vidal, 36; Reynaldo Abreu Garcia, 56; Yohismy Perez Gonzalez, 40; Yosvani Carbonel Lemus, 43; Reynaldo Crespo Marquez, 44, and Jancer Sergio Ramos Valdes, 37, all Cuban citizens residing in Mexico at the time of the charges, along with Maikel Antonio Hechavarria Reyes and Monica Susana Castillo, both of Mexico, were part of an organized crime group that profited from various schemes, including the smuggling and extortion of Cuban migrants held hostage in Mexico for the payment of smuggling fees (United States v. Vidal, et al., Case No. 21-cr-20050-CMA).
According to evidence contained in the court record, Gonzalez Vidal introduced Hernandez to Reyes Aranda so that they could work together to transport stolen vessels for the organization. Both Hernandez and Reyes Aranda were paid by Gonzalez Vidal and other members of the organization for their transportation of the stolen property.
The members of the migrant extortion racket required the victims to provide contact information of a family member from whom they would later demand a $10,000 USD ransom fee. The men contacted the victims’ relatives, some of whom were in Miami, and threatened to torture, starve, and kill the victims if the relatives refused to pay. If a victim’s relative was able to pay the ransom, the organization released the victim and sent them by bus to the United States-Mexico border with instructions to seek political asylum. The victims whose relatives were unable to pay the fee were beaten, threatened with knives and guns, and shocked with stun guns until they were finally rescued by Mexican authorities. Members of the organization also sought to profit from drug trafficking and fraud schemes.
Further, once the defendants were charged in the United States and detained pending trial, they continued operating the organization by seeking to obstruct justice, violating court orders, and distributing contraband in a federal detention center. As part of their prison racket, the organization paid bribes to a federal employee to introduce contraband and controlled substance for distribution into the Federal Detention Center (FDC), in Miami.
For their participation in the criminal scheme, Gonzalez Vidal, Crespo Marquez, Abreu Garcia, Perez Gonzalez, Carbonel Lemus, and Ramos Valdes previously pleaded guilty to Racketeer Influenced and Corrupt Organizations (RICO) conspiracy and migrant smuggling.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office; Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI), Miami; Acting Special Agent in Charge Matthew J. Margelot, U.S. Coast Guard Investigative Service (CGIS), Southeast Region; Warden Gio Ramirez of the Federal Detention Center (FDC), Bureau of Prisons (BOP); Director Stephanie V. Daniels of the Miami-Dade Police Department (MDPD); Chief of Police Tracy Frazzano for the Marco Island Police Department, and Chief of Police Ciro M. Dominguez of the Naples Police Department, made the announcement.
The prosecution of this organization has involved significant support from the Justice Department’s Office of International Affairs, FBI’s International Violent Crimes Unit, and the Justice Department’s Violent Crime and Racketeering Section.
These multinational prosecutions are the result of ongoing efforts of the Operation Sisyphus Task Force, a multi-agency partnership established by the Organized Crime Drug Enforcement Task Forces (OCDETF) Priority Transnational Organized Crime Program. Since 2012, Operation Sisyphus Task Force participants have secured the conviction of over thirty members and associates of the criminal organization.
The principal mission of the OCDETF program is to identify, disrupt, and dismantle the highest-level drug traffickers, money launderers, and other priority transnational criminal organizations that threaten the citizens of the United States using a prosecutor-led, intelligence driven, multi-agency approach to combat transnational organized crime. The OCDETF program facilitates complex, joint operations by focusing its partner agencies on priority targets, by managing and coordinating multi-agency efforts, and by leveraging intelligence across multiple investigative platforms.
Assistant U.S. Attorneys Arielle Klepach and Brian Dobbins prosecuted U.S. v. Hernandez, et al., Case No. 22-cr-20557.
Assistant U.S. Attorneys Manolo Reboso, Quinshawna Landon and Ignacio J. Vázquez, Jr. prosecuted U.S. v. Vidal, et al., Case No. 21-cr-20050. First Assistant U.S. Attorney Michael Davis conducted collateral litigation regarding obstruction of justice activities in the Vidal, et al. prosecution.
Assistant U.S. Attorney Annika Miranda handled asset forfeiture.
Anyone with related information or who may have been a victim or witness should contact HSI at 877-4-HSI TIP (877-447-4847).
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under the case numbers referenced above.
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Member of Violent Gang Pleads Guilty to Racketeering Involving Attempted MurderRead the Press Release
BOSTON – A Boston-area man pleaded guilty today to his role in Cameron Street, a violent Boston gang.
Daronde Bethea, a/k/a “Freeze,” 32, of Boston and Brockton, pleaded guilty today to conspiracy to participate in a racketeering enterprise, more commonly known as RICO conspiracy; conspiracy to interfere with commerce by force or violence; and being a felon in possession of a firearm and ammunition. U.S. Senior District Court Judge William G. Young scheduled sentencing for May 16, 2024. Bethea was indicted by a federal grand jury in December 2022.
Bethea was identified as a member of Cameron Street, a violent gang based largely in the Dorchester section of Boston. According to court documents, Cameron Street members use violence, including murder and attempted murder, to preserve, protect and expand its territory. They allegedly use social media to promote Cameron Street, celebrate murders and other violent crimes, and denigrate rival gangs. They allegedly possess, carry and use firearms; distribute controlled substances; commit armed robberies; and engage in human trafficking in part to generate income.
As part of his role in the Cameron Street enterprise, Bethea committed an attempted murder with a firearm of a rival gang member in Dorchester in June 2018. As the victim got into his car, Bethea shot the victim multiple times causing the victim to have a collapsed lung. In addition, Bethea was involved in two violent home invasion robberies – in November 2017 in Dorchester and July 2018 in Canton. During a chase from the Canton home, Bethea was captured on a police cruiser camera possessing a loaded handgun that was later recovered.
The charge of RICO conspiracy and conspiracy to interfere with commerce by force or violence each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of being a felon in possession of a firearm and ammunition 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 & Explosives, Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of the Criminal Division are prosecuting the case.
This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. 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.
The details contained in the charging document are allegations. The remaining defendants named in the indictment are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Maryland Man Sentenced for Soliciting a Minor Online for Sexual ContactRead the Press Release
MARTINSBURG, WEST VIRGINIA – Holden Borten, age 25, of Gaithersburg, Maryland, was sentenced today to 135 months in federal prison for traveling for sex with a minor.
According to court documents and statements made in court, Borten initiated a sexual conversation through social media with someone he believed was under the age of 12 and then traveled from Maryland to Berkeley County, West Virginia, expecting a sexual encounter with the minor in December 2022. Borten was arrested at the meeting site by law enforcement.
Upon completion of his prison sentence, Borten will be on supervised release for life.
Assistant U.S. Attorney Kimberley Crockett prosecuted the case on behalf of the government.
The investigation was led by the Federal Bureau of Investigation and the West Virginia State Police Internet Crimes Against Children Unit.
U.S. District Judge Gina M. Groh presided.
Man sentenced to three years in prison for destroying property at U.S. courthouse and federal building in Fort LauderdaleRead the Press Release
MIAMI – On Feb. 8, a man was sentenced to three years in prison and ordered to pay restitution in the amount of $71,933.20 for destroying federal property at the U.S. Courthouse and Federal Building in Fort Lauderdale. The sentence follows his guilty plea entered in November 2023 to one count of destruction of federal property in violation of Title 18, United States Code, Section 1361.
According to facts admitted in support of his guilty plea, on Sept. 5, 2022, Matthew Leon Chilcutt, 45, of Fort Lauderdale, Florida, forced his way into the Courthouse when the building was closed to the public in observance of the Labor Day holiday. While on the federal premises, Chilcutt smashed glass and other objects, destroyed interior and exterior doors, and caused significant water damage, among other acts of destruction. Surveillance video at the Courthouse recorded Chilcutt throughout the offense.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and the Federal Protective Service (FPS), Miami Region, announced the sentence imposed by U.S. District Judge K. Michael Moore.
FPS investigated this case with assistance from the Fort Lauderdale Police Department. Assistant U.S. Attorney David A. Snider prosecuted the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-20449.
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Man Sentenced to 12 Years for Sex Trafficking a 15-Year-Old GirlRead the Press Release
NEWS RELEASE SUMMARY – February 12, 2024
SAN DIEGO – Gabriel Joseph Gonzalez of Pomona, California was sentenced in federal court today to 12 years in prison for sex trafficking a 15-year-old girl in early 2023.
Gonzalez pleaded guilty in July 2023 to one count of sex trafficking of a minor. The victim was a runaway living at a group home in Los Angeles County when Gonzalez began trafficking her. Gonzalez had known the victim since she was 13. He enticed her to leave the group home to engage in commercial sex work for Gonzalez’s financial benefit. He then transported the victim to San Diego and forced her to walk areas known for prostitution on Dalbergia Street in San Diego and Roosevelt Avenue in National City.
During January 2023, Gonzalez forced the victim to engage in commercial sex work every day for seven straight days– except for the victim’s 16th birthday. He allowed her to take that day “off.”
The victim escaped by calling 911. She was rescued by the San Diego Police Department on January 26, 2023, and the case was turned over to the San Diego Human Trafficking Task Force.
Even after entering a guilty plea in July 2023, Gonzalez attempted to continue to traffic the victim while in custody through jail calls. U.S. District Judge Larry Alan Burns pronounced the 12-year sentence, noting Gonzalez’s “absolute lack of remorse” in his conduct while in custody and his continued victimization of the minor.
“The victim’s courage to call 911 in this case was extraordinary,” said U.S. Attorney Tara McGrath. “Her trust in law enforcement demonstrated that when someone reports abuse, the public servants in this community are all hands on deck to bring abusers to justice.”
“Human trafficking and sexual exploitation of a minor is inexcusable,” said Attorney General Rob Bonta. “At the California Department of Justice, we are fighting to hold perpetrators accountable and help survivors get a fresh start. I’m thankful to all our partners for their collaboration in the California DOJ-led San Diego Human Trafficking Task Force. I’m proud of our office’s work to help uplift vulnerable Californians. When we work together, we get results.”
“The vital work being done by local and federal partners on the Human Trafficking Task Force to combat sex trafficking cannot be quantified,” said FBI San Diego Special Agent in Charge Stacey Moy. “The violence or coercion that is committed against sex trafficking victims can have a lasting negative impact on the victim, their families, and the community for years to come.”
If you are living or working under threat of violence or extortion, or you suspect someone else may be, call the National Human Trafficking Resource Center toll free, 24/7 Hotline: CALL: (888) 373-7888 or TEXT BeFree or 233733.
This case was prosecuted by Assistant U.S. Attorney Derek Ko and Lyndzie M. Carter.
DEFENDANTS Case Number 23-cr-0513-LAB
Gabriel Joseph Gonzalez Age: 20 Pomona, CA
SUMMARY OF CHARGES
Sex Trafficking of a Minor – Title 18, U.S.C., Section 1591(a) and (b)(1)
Maximum penalty: Up to life in prison and $250,000 fine; Ten-year mandatory minimum sentence
AGENCY
San Diego Police Department
National City Police Department
Federal Bureau of Investigation, San Diego
San Diego Human Trafficking Task Force
Man Indicted on Federal Charges for Aiming a Laser Pointer at Spokane County Sheriff’s Helicopter and Life Flight HelicopterRead the Press Release
Spokane, Washington - Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced that a federal grand jury has indicted Johnny R. Blackstock on 2 federal felonies in connection to Aiming a Laser Pointer at an Aircraft.
On October 13, 2023, Blackstock shined a laser at a Life Flight helicopter that was transporting a patient in the Spokane area. A short time later, Blackstock shined a laser at the Spokane County Sheriff’s Office Air One helicopter that was on routine patrol in the area.
“Pointing a laser at an aircraft can have life-threatening consequences. Spokane County Sheriff’s Deputies protecting the community and first responders life-flighting a patient for medical help face extreme danger from actions like this,” stated U.S. Attorney Waldref. “I am grateful for our law enforcement partners and first responders who put themselves at risk to protect and serve our community.”
This case is being investigated by the United States Department of Transportation Office of Inspector General. This case is being prosecuted by Assistant United States Attorney Patrick Cashman.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Leader of Baltimore Drug Trafficking Organization Sentenced to 10 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Ernest Lee Bailey, age 51, of Owings Mills, Maryland, to 10 years in federal prison, followed by four years of supervised release, for possession with intent to distribute controlled substances, including heroin, fentanyl, cocaine and MDMA.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge R. Joseph Rothrock of the Federal Bureau of Investigation (“FBI”), Baltimore Field Office; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration (“DEA”) - Washington Division; and Special Agent in Charge Troy W. Springer of the National Capital Region U.S. Department of Labor - Office of Inspector General (“DOL-OIG”).
According to his guilty plea, from at least November 2019 to November 2020, Bailey led a drug trafficking organization (DTO) that was responsible for distributing kilogram quantities of controlled substances, including heroin, fentanyl, cocaine and MDMA in and around Baltimore.
As detailed in his plea agreement, between June and November 2020, law enforcement intercepted communications from multiple cellphones used by Bailey in connection with his drug activities, including “source” phones, which Bailey used to communicate with sources of drug supply, and “shop” phones with Bailey used to communicate with downstream distributors.
The intercepted communications revealed that Bailey obtained heroin from a Mexican-based DTO. The Mexican DTO’s middleman in New York City delivered narcotics to, and received payments from, Bailey on behalf of the Mexican DTO.
Bailey admitted that he obtained cocaine from a source of supply in Philadelphia, Pennsylvania, through a co-conspirator who was a Baltimore-area cocaine wholesaler. Bailey also recruited another individual to serve as a courier to transport cocaine from Philadelphia to Baltimore on behalf of Bailey. On at least five separate occasions Bailey and a co-conspirator acquired kilograms of cocaine from the Philadelphia source and directed the courier that Bailey recruited to bring the cocaine back to Baltimore.
According to the plea agreement, Bailey maintained a network of wholesale drug redistributors who sold the drugs supplied by Bailey to their own customers. In addition, Bailey rented an apartment on Heath Street in Baltimore which he used as a stash location to store and process drugs for redistribution.
Finally, Bailey admitted that he used the proceeds of bank fraud to pay the rent on the apartment. Specifically, Bailey’s used pandemic-related unemployment insurance benefits that were fraudulently issued to an inmate, T.S., on a bank debit card in July 2020. Bailey contacted the bank, posing as T.S. and requested that the PIN on the card be reset. Bailey confirmed the card number and the average card balance, which was $19,230.45. Bailey then used the funds on the card to purchase four $500 U.S. Postal Service money orders. Bailey used $1,000 of the money orders toward his down payment on a new Acura MDX and the remaining money orders, marked payable from the individual in whose name Bailey rented the Heath Street apartment, toward the rent on the apartment.
On November 16, 2020, law enforcement executed a search warrant at Bailey’s residence and recovered 13 cell phones, men’s designer watches and other jewelry, and $8,980 in cash. Bailey later admitted that the cash and jewelry represented proceeds from the sale of controlled substances or money intended to be used to purchase controlled substances. Searches of the Heath Street apartment recovered drug paraphernalia, including digital scales, drug cutting agents and hydraulic presses and controlled substances, including over 215 grams of a mixture of fentanyl, heroin, methamphetamine, and tramadol; and 301 grams of eutylone, a controlled substance analogous to MDMA.
Bailey was the last defendant in this 13-defendant case to be sentenced. Eleven co-defendants pleaded guilty to their roles in the DTO and were sentenced to between one and six years in federal prison and one defendant passed away after being indicted.
This prosecution is part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The specific mission of the Baltimore Strike Force is to reduce violent, drug-related, and gang crime in the Baltimore area and surrounding region. The Baltimore SF is comprised of agents and officers from the Drug Enforcement Administration, the Federal Bureau of Investigation, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, the U.S. Postal Inspection Service, the U.S. Secret Service, the Baltimore Police Department, the Baltimore City Sheriff’s Office, the Baltimore City State’s Attorney’s Office, the Anne Arundel County Police Department, the Baltimore County Police Department, the Maryland Department of Public Safety and Correctional Services, the Maryland National Guard, the Maryland State Police, and the Maryland Transportation Authority, and the prosecution is being led by the Office of the United States Attorney for the District of Maryland.
United States Attorney Erek L. Barron commended the FBI, DEA, and the DOL-OIG for their work in the investigation and recognized the U.S. Postal Inspection Service for its assistance. Mr. Barron thanked Assistant U.S. Attorneys Jeffrey J. Izant and Anatoly Smolkin, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Lawrence Man Pleads Guilty to Fentanyl Trafficking ConspiracyRead the Press Release
BOSTON – A Lawrence man pleaded today in federal court in Boston to his role in a fentanyl trafficking conspiracy.
Fraily Rodriguez Morillo, 26, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl and 100 grams or more of a fentanyl analogue; three counts of distribution and possession with intent to distribute 40 grams or more of fentanyl; and one count of distribution and possession with intent to distribute 400 grams or more of fentanyl and 100 grams or more of a fentanyl analogue. U.S. District Chief Judge F. Dennis Saylor, IV scheduled sentencing for May 7, 2024.
Morillo was indicted by a federal grand jury along with Melvin Antonio Perez Medina and Manuel Fredis Guerrero Guzman in November 2022.
Between March 2022 and August 2022, Morillo, Perez Medina and, allegedly, Guzman conspired to distribute and to possess with intent to distribute 400 grams or more of fentanyl and 100 grams or more of a fentanyl analogue, in Lawrence, Woburn, Wilmington and Andover. Specifically, Morillo distributed 50 grams of fentanyl to a cooperating witness in Lawrence on two occasions in April 2022. Later, in July 2022, Morillo worked with Perez Medina to distribute nearly 130 grams of fentanyl on one occasion, and over 560 grams of a mixture of fentanyl and p-fluorofentanyl (a fentanyl analogue) on another occasion, to a cooperating witness and Woburn.
In August 2022, Perez Medina was arrested and found in possession of nearly two kilograms of a mixture containing fentanyl and a fentanyl analogue. The nearly two kilograms were found secreted inside of a cereal box.
On Jan. 18, 2024, Perez Medina was sentenced to 64 months in prison and three years of supervised release after previously pleasing guilty to his role in the conspiracy.
The charges of conspiracy to distribute 400 grams or more of fentanyl and 100 grams or more of a fentanyl analogue and of possession with intent to distribute and/or distribution of 400 grams or more of fentanyl and 100 grams or more of a fentanyl analogue each provide for a sentence of at least 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. The charge of distribution and/or possession with intent to distribute 40 grams or more of fentanyl provides for a sentence of at least five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement today. The Massachusetts Department of Correction; the Norfolk County Sheriff’s Office; and the Watertown, Reading, Peabody, Hudson, Concord and Waltham Police Departments provided valuable assistance. Assistant U.S. Attorney Alathea Porter of the Criminal Division is prosecuting 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.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Lackawanna County Woman Pleads Guilty to Conspiracy to Steal Major Artworks and Sports MemorabiliaRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Dawn Trotta, age 52, of Covington Township, Pennsylvania, entered a guilty plea to conspiracy to commit theft of major artwork, concealment or disposal of objects of cultural heritage, and interstate transportation of stolen property, a federal Felony.
On February 9, 2024, Trotta admitted in court to the Honorable District Judge Malachy E. Mannion, that from on or about August of 1999 and continuing through in or about April of 2019, in the Middle District of Pennsylvania, and elsewhere, that she intentionally conspired with others commit engage in a scheme to steal major artwork and objects of cultural heritage, and to move the stolen property in interstate commerce.
Eight other individuals have been charged in the same conspiracy. Thomas Trotta, age 48, of Moscow, Pennsylvania, Frank Tassiello, age 51, of Scranton, Pennsylvania, Daryl Rinker, age 50, of Thornhurst, Pennsylvania, and Ralph Parry, age 45, of Covington Township, Pennsylvania, were all charged by felony information and have already pleaded guilty.
On June 6, 2023, a federal grand jury indicted Nicholas Dombek, age 53, of Thornhurst, Pennsylvania, Damien Boland, age 47, of Moscow, Pennsylvania, Alfred Atsus, age 47, of Covington Township, Pennsylvania, and Joseph Atsus, age 49, of Roaring Brook, Pennsylvania, with conspiracy and the substantive counts of theft of major artwork and the concealment or disposal of objects of cultural heritage. Dombek was further charged with a substantive count of interstate transportation of stolen property. They are presently pending trial.
According to United States Attorney Gerard M. Karam, the indictment and informations charge the nine individuals with conspiring over a period of 20 years to break into multiple museums and other institutions and steal priceless works of art, sports memorabilia, and other objects. Those objects include the following:
- A Christy Matthewson jersey and two contracts signed by Matthewson stolen in 1999 from Keystone College in Factoryville, Pennsylvania;
- “Le Grande Passion” by Andy Warhol and “Springs Winter” stolen in 2005 from the Everhart Museum in Scranton, Pennsylvania;
- Nine (9) World Series rings, seven (7) other championship rings, and two (2) MVP plaques all belonging to Yogi Berra, worth over $1,000,000 stolen in 2014 from the Yogi Berra Museum & Learning Center in Little Falls, New Jersey;
- Six (6) championship belts, including four belonging to Carmen Basillio and two belonging to Tony Zale stolen in 2015 from the International Boxing Hall of Fame in Canastota, New York;
- The Hickok Belt and MVP Trophy belonging to Roger Maris, stolen in 2016 from the Roger Maris Museum in Fargo, North Dakota;
- The U.S. Amateur Trophy and a Hickok Belt awarded to Ben Hogan, stolen in 2012 from the USGA Golf Museum & Library;
- Fourteen (14) trophies and other awards worth over $300,000 stolen in 2012 from the Harness Racing Museum & Hall of Fame in Goshen, New York;
- Five (5) trophies worth over $400,000, including the 1903 Belmont Stakes Trophy, stolen in 2013 from the National Racing Museum & Hall of Fame in Saratoga Springs, New York;
- Eleven (11) trophies, including 4 belonging to Art Wall, Jr. stolen in 2011 from the Scranton Country Club located in Clarks Summit, Pennsylvania;
- Three antique firearms worth a combined $1,000,000 stolen in 2006 from Space Farms: Zoo & Museum in Wantage, New Jersey;
- An 1903/1904 Tiffany Lamp stolen in 2010 from the Lackawanna Historical Society in Scranton, Pennsylvania,
- “Upper Hudson” by Jasper Crospey, worth approximately $500,000, stolen in 2011 from Ringwood Manor in Ringwood, New Jersey;
- Two antique firearms worth over $300,000, stolen in 2011 from Ringwood Manor in Ringwood, New Jersey;
- $400,000 worth of gold nuggets stolen in 2011 from the Sterling Hill Mining Museum in Ogdensburg, New Jersey;
- Various gems, minerals, and other items stolen in 2017 from the Franklin Mineral Museum in Franklin, New Jersey;
- An antique shotgun worth over $30,000 stolen in 2018 from Space Farms: Zoo & Museum in Wantage, New Jersey;
- Various jewelry, rings, and other items from various antique and jewelry stores in New York, Rhode Island, and Pennsylvania.
The indictment and informations further allege that after stealing the above-described items, the conspirators would transport the stolen goods back to northeastern Pennsylvania, often the residence of Dombek, and melt the memorabilia down into easily transportable metal discs or bars. The conspirators would then sell the raw metal to fences in the New York City area for hundreds or thousands of dollars, significantly less than the stolen items would be worth at fair market value.
The indictment and informations further allege that Dombek burnt the painting “Upper Hudson” by Jasper Crospey, valued at approximately $500,000, to avoid the painting being recovered by investigators and used as evidence against the members of the conspiracy. The whereabouts of many of the other paintings and stolen objects are currently unknown.
The matter was investigated by the Federal Bureau of Investigation (FBI), the Pennsylvania State Police, the New Jersey State Police, the New York State Police, the New Jersey State Park Police, the Newport Police Department (Rhode Island), the Fargo Police Department (North Dakota), the Chester Police Department (New York), the Exeter Borough Police Department (Pennsylvania), the Scranton Police Department, the Franklin Police Department (New Jersey), the Village of Goshen Police Department (New York), the Metropolitan Police Department (Washington, D.C.), the West Milord Township Police Department (New Jersey), the Montclair Police Department (New Jersey), the Saratoga Springs Police Department (New York), the Canastota Police Department (New York), the South Abington Police Department (Pennsylvania), the Bernards Township Police Department (New Jersey), the Salisbury Township Police Department (Pennsylvania), the Montclair State University Police Department (New Jersey) the Lackawanna County District Attorney’s Office (Pennsylvania), the Sussex County Prosecutor’s Office (New Jersey), the Essex County Prosecutor’s Office (New Jersey), the Orange County District Attorney’s Office (New York), the Madison County District Attorney’s Office (New York), and multiple other local law enforcement agencies from across the country. Assistant United States Attorney James M. Buchanan is prosecuting the case.
Sentencing for Dawn Trotta is not yet scheduled. Trotta faces a maximum penalty of imprisonment for a term of five years, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Indictments and informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Kern County Resident Pleads Guilty to Distributing ExplosivesRead the Press Release
FRESNO, Calif. — Joseph Roy Vigneault, 21, of Lake Isabella, pleaded guilty today to distributing explosives to a non-licensed person, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in May 2023, Vigneault and Michael Roy Anglin, 21, of Wofford Heights, sold and delivered six full boxes and one partial box of Hydromite weighing a total of approximately 350 pounds to a non-licensed person. Neither Vigneault, Anglin, nor the buyer were licensed to handle or transport explosives as required by federal law. Vigneault knew or had reason to believe that the Hydromite was stolen. The boxes containing the explosives were labeled “Explosive, Blasting, Type E” and “Blasting Agent.” The sticks of Hydromite were also individually labeled “Danger” and “Explosive.” Hydromite is a high explosive containing ammonium nitrate and is used as a blasting agent.
Austin Powder West LLC, a licensed explosives manufacturer, confirmed that 295 sticks of Hydromite, weighing approximately 702.1 pounds, went missing from its Lake Isabella storage facility sometime between May 6 and May 11, 2023. The missing explosives included the boxes that Vigneault sold. The value of the unrecovered explosives is $7,603. Vigneault agreed to make restitution to Austin Powder in that amount.
This case is the product of an investigation by the Federal Bureau of Investigation with assistance from the Kern County Sheriff’s Office. Assistant U.S. Attorney Karen Escobar is prosecuting the case.
Vigneault is scheduled for sentencing on May 20, 2024. Vigneault faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Charges are pending against Anglin. The charges are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Iowa City Man Sentenced to 180 Months in Federal Prison for Child Pornography ChargesRead the Press Release
DAVENPORT, Iowa – An Iowa City man was sentenced on Thursday, February 1, 2024, to 180 months in federal prison for Receipt or Distribution of Child Pornography.
According to public court documents presented at the time of the plea hearing, Michael Joseph Schmidt, 27, was identified by the Johnson County, Iowa Sheriff’s Office Joint Forensic Analysis Cyber Team (JFACT) for uploading child sexual abuse material to Kik. In April 2022, agents executed a search warrant on Schmidt’s residence. Multiple electronic devices were located at Schmidt’s residence that contained numerous images of child sexual abuse material.
After completing his term of imprisonment, Schmidt is required to serve five years of supervised release. There is no parole in the federal system. Schmidt was also ordered to pay $6,000 in restitution.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by JFACT.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the 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 https://www.justice.gov/psc. / For information about internet safety education, please visit www.usdoj.gov/psc and click on the resources tab.
Huntington Man Pleads Guilty to Aggravated Identity TheftRead the Press Release
HUNTINGTON, W.Va. – George West, 53, of Huntington, pleaded guilty today to aggravated identity theft.
According to court documents and statements made in court, on January 12, 2022, West was employed by a Huntington business when he forged the name of the business’s owner on a $780 check that West wrote on the business’s bank account. West gave the forged check to his then-roommate for rent that West owed. West admitted that he was not authorized to write the check or to sign it with the owner’s name, and that he was not entitled to the money. West further admitted that he falsely told the roommate that the check represented money owed by the business owner to West, and that the owner made the check payable to the roommate to cover West’s debt.
West also stole two checks from the roommate, writing each for $780 to pay two month’s worth of rent and signing them with his roommate’s name. West admitted that he was not entitled to that money, and that he knew that his roommate had not authorized him to write the checks or sign them in his name.
West is scheduled to be sentenced on May 28, 2024, and faces a mandatory minimum of two years in prison, one year of supervised release, and a $250,000 fine. West also owes $14,456.45 in restitution.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Huntington Police Department, and the Charleston Police Department.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Jonathan T. Storage is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:23-cr-89.
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Holy Health Care Services, LLC Program Administrator Sentenced to Five Years in Federal Prison for a Health Care Fraud SchemeRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Lambert Mbom, age 50, of Riverdale, Maryland, to five years in federal prison, followed by three years of supervised release, for conspiracy to commit health care fraud and wire fraud and for conspiracy to make false statements relating to health care matters in connection with a scheme to fraudulently bill Medicaid. The defendant’s conviction stems from a scheme involving services purportedly provided by Holy Health Care Services, LLC (“Holy Health”), a mental health services provider with locations in Washington, D.C. Judge Xinis also ordered Mbom to pay restitution in the full amount of the loss, $4,450,588.66. The sentence was imposed on February 8, 2024.
The guilty verdict was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge David J. Scott of the FBI Washington Field Office’s Criminal and Cyber Division; Special Agent in Charge Maureen Dixon, Office of Investigations, Office of Inspector General of the Department of Health and Human Services (“HHS OIG”); and Daniel W. Lucas, Inspector General for the District of Columbia.
According to evidence presented at Mbom’s six-day trial, he was a program administrator at Holy Health. Holy Health entered into Medicaid Provider Agreements with the District of Columbia’s Department of Health Care Finance (“DHCF”), to provide healthcare services to D.C. Medicaid recipients and was certified by the District of Columbia’s Department of Behavioral Health (“DBH”) to provide mental health services as a freestanding clinic and as a Mental Health and Rehabilitation Services (“MHRS”) provider. As a certified MHRS provider, Holy Health had authority to provide and bill for a variety of mental health services including “community support” – a service for which community support workers (“CSWs”) provide rehabilitative and educational support to mental health patients both in clinical settings and in the community.
According to evidence presented at trial, Mbom and his co-conspirators paid to Medicaid beneficiaries to induce the beneficiaries to visit Holy Health for mental health services. As detailed in trial testimony, Mbom and his co-conspirators caused claims to be submitted by Holy Health to Medicaid for services, including community support services, purportedly provided to Medicaid beneficiaries.
As detailed in trial testimony, Mbom and his co-conspirators paid individuals to come into the office and then used their personally identifiable information (“PII”) to bill Medicaid for services that were not rendered or were not rendered as billed. The evidence proved that Mbom made up fake Holy Health employees who were purportedly Community Support Workers so that he could bill Medicaid for services provided by these fake employees. Witnesses testified that during the investigation, sources posing as mental health patients were sent to Holy Health to obtain community support services. Not only did the sources not receive the services as billed, but Holy Health billed for CSW services for those patients for visits that never happened.
The jury acquitted Mbom of conspiring to violate the Anti-Kickback Statute.
The owners of Holy Health, Julius Bakari, age 46, and Mboutchock Kabiwa a/k/a “Eugenie Bakari” or “Eugenie Kabiwa,” age 46, both of Silver Spring, Maryland, previously pleaded guilty to conspiracy to commit health care fraud in connection with a scheme to pay bribes and kickbacks to Medicaid beneficiaries to induce the beneficiaries to visit their company. Kabiwa was sentenced to 20 months in federal prison and was ordered to pay restitution of $3,493,681. Bakari is scheduled to be sentenced on April 9, 2024.
United States Attorney Erek L. Barron commended the FBI, the HHS OIG, and the District of Columbia Office of Inspector General’s Medicaid Fraud Control Unit for their work in the investigation and the support provided by the District Department of Health Care Finance Division of Program Integrity during the investigation. Mr. Barron thanked Assistant U.S. Attorneys Christopher M. Sarma and Megan S. McKoy, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md.
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Greenup County Man Sentenced to 45 Years for Production of Child PornographyRead the Press Release
ASHLAND, Ky. – An Ashland man, William Lucas Ferguson, 28, was sentenced on Monday, by U.S. District Judge David Bunning, to 45 years in prison, for two counts of producing child pornography.
According to his plea agreement, in June 2022, law enforcement was alerted that Ferguson had sexually explicit images and videos of a minor victim on his phone. Law enforcement interviewed Ferguson and, during a consensual search of his phone, located multiple images of Ferguson sexually assaulting a minor child. Ferguson admitted that he was the adult in the images and that he had produced the sexually explicit images of the minor victim, on multiple occasions.
Under federal law, Ferguson must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 20 years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Michael E. Stansbury, Special Agent in Charge, FBI, Louisville Field Office; Col. Phillip J. Burnett, Jr., Commissioner of the Kentucky State Police; and W. Todd Kelley, Chief of the Ashland Police Department, jointly announced the sentence.
The investigation was conducted by FBI, KSP, and the Ashland Police Department. Assistant U.S. Attorney Erin Roth is prosecuting the case on behalf of the United States.
The U.S. Attorney’s Office prosecuted this case as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Georgia Man Sentenced for Bank Fraud Conspiracy and Identity TheftRead the Press Release
CONCORD – A Georgia man was sentencing today in federal court in Concord for conspiracy to commit bank fraud and two counts of aggravated identity theft, United States Attorney Jane E. Young announces.
Lester Aceituno, 40, was sentenced by Chief United States District Court Judge Landya B. McCafferty to 30 months in prison. The defendant was convicted by a federal jury on November 3, 2023, after a five-day trial. Aceituno and his two co-defendants, Kizito Chukwujekwu and Chinedu Ihejiere, were indicted on August 24, 2020. Kizito Chukwujekwu pleaded guilty to conspiracy to commit bank fraud and was sentenced on November 23, 2021. Co-defendant Kizito Chukwujekwu pleaded guilty to conspiracy to commit bank fraud and was sentenced on November 23, 2021.
“The defendant and his co-conspirators brazenly stole and used other identities to achieve their scheme,” said U.S. Attorney Jane E. Young. “Today’s sentence sends a clear message to fraudsters like the defendant that such activity will not be tolerated, and this Office will continue to aggressively prosecute those who victimize members of the public.”
“Lester Aceituno saw it as easy money,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “He stole the identities of unsuspecting victims and amassed tens of thousands of dollars. What he didn’t account for was the FBI and our partners catching him. Anyone who engages in this sort of criminal behavior should know the FBI is hard at work rooting out financial fraudsters like him and bringing them to justice like we did in this case.”
“The U.S. Postal Inspection Service will aggressively investigate and seek prosecution of individuals like Lester Aceituno, who along with his co-conspirators, stole identities and cashed out on the scheme,” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “The burden of identity theft for victims is financially devastating and creates significant inconveniences. We will continue to support and collaborate with our federal law enforcement partners to stop those who are engaged in these types of schemes.”
Between June of 2016 and October of 2017, Aceituno and others used stolen identities to open accounts at banks in New Hampshire, Massachusetts, and Georgia. Aceituno opened or accessed post office boxes in Massachusetts and Georgia to receive debit cards and pin numbers to access these accounts. Aceituno’s co-conspirators then deposited fraudulent checks totaling more than $119,000. After the money was credited to the accounts, but before the bank determined the checks were false, one of Aceituno’s co-conspirators withdrew the money and gave it to another co-conspirator, the leader of the scheme.
The United States Postal Inspection Service and the Federal Bureau of Investigation led the investigation. Valuable assistance was provided by the Brockton, Massachusetts Police Department, Homeland Security Investigations, and the Social Security Administration Office of the Inspector General. Assistant U.S. Attorneys Matthew T. Hunter and Geoffrey W.R. Ward are prosecuting the case.
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Former Puerto Rico Mayor Sentenced for Bribery SchemeRead the Press Release
The former mayor of the municipality of Guaynabo, Puerto Rico, was sentenced today to five years and three months in prison for his involvement in a bribery scheme in which he received cash payments in exchange for awarding municipal contracts and expedited payment of invoices related to those contracts.
According to court documents and evidence presented at trial, Ángel Pérez-Otero, 53, was involved in a bribery conspiracy in which, from approximately late 2019 through May 2021, he accepted thousands of dollars in cash bribes on a regular basis from the owner of a construction company. In exchange for those payments, Pérez-Otero agreed to obtain and retain government contracts for the company and ensured that the company’s invoices were promptly paid.
In March, a federal jury convicted Pérez-Otero of conspiracy, federal program bribery, and extortion.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico, and Special Agent in Charge Joseph González of the FBI San Juan Field Office made the announcement.
The FBI San Juan Field Office investigated the case.
Trial Attorney Nicholas Cannon of the Criminal Division’s Public Integrity Section (PIN) and Assistant U.S. Attorney Myriam Fernández-González for the District of Puerto Rico prosecuted the case. PIN Trial Attorney Ryan R. Crosswell and Assistant U.S. Attorney Scott H. Anderson for the District of Puerto Rico assisted in the investigation.
This case is a part of the Justice Department’s ongoing efforts to combat public corruption by municipal officials in Puerto Rico. In addition to the above matter, PIN and the U.S. Attorney’s Office for the District of Puerto Rico have recently obtained convictions against other former public officials and contractors in the District of Puerto Rico for soliciting and accepting bribes related to municipal contracts. See United States v. Félix Delgado-Montalvo, 21-463 (RAM); United States v. Oscar Santamaria-Torres, 21-464 (RAM); United States v. Raymond Rodríguez, 21-465 (RAM); United States v. Mario Villegas-Vargas, 21-468 (FAB); United States v. Radamés Benítez-Cardona, 21-475 (PAD); United States v. Luis Arroyo-Chiques, 21-485 (SCC); United States v. Eduardo Cintron-Suarez, 22-151 (SCC); United States v. Javier Garcia-Perez, 22-185 (ADC); United States v. Reinaldo Vargas-Rodriguez, 22-186 (PAD); United States v. Ramon Conde-Melendez, 22-221 (PAD); United States v. Pedro Miranda-Marrero, 22-251 (RAM); United States v. Jose Cruz-Cruz, 22-276 (SCC); and United States Jose Bou-Santiago, 22-379 (ADC).
Former Kansas bank executive charged with embezzling $47 millionRead the Press Release
WICHITA, KAN. – The U.S. Attorney’s Office – District of Kansas has charged a Kansas man by information with embezzling millions of dollars from his former employer. An information is an accusation exhibited against a person for a criminal offense without an indictment from a grand jury.
According to court documents, Shan Hanes, 52, of Elkhart is charged with one count of bank embezzlement.
Hanes previously served as the chief executive officer of Heartland Tri-State based in Elkhart. Hanes is accused of intentionally defrauding the bank by willfully misapplying and embezzling approximately $47.1 million. He allegedly did this by initiating a series of wire transfers between May 2023 and July 2023 to purchase cryptocurrency for his personal benefit.
The defendant is scheduled for his initial court appearance February 28, 2024, before U.S. Magistrate Judge Gwynne E. Birzer of the U.S. District Court for the District of Kansas.
If convicted, Hanes faces a maximum penalty 30 years in prison.
The Federal Bureau of Investigation (FBI), Federal Deposit Insurance Corporation – Office of Inspector General (FDIC-OIG), Federal Reserve Board - Office of Inspector General (FRB-OIG), and Federal Housing Finance Agency – Office of Inspector General ((FHFA-OIG) are investigating the case.
Assistant U.S. Attorney Aaron Smith is prosecuting the case.
An information 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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Former Iranian-Owned Boeing Aircraft Successfully Returned to the United StatesRead the Press Release
WASHINGTON – The Department of Justice today completed enforcement of a final order for forfeiture of a U.S.-manufactured Boeing 747 cargo plane, previously owned by Mahan Air, a sanctioned Iranian airline affiliated with the Islamic Revolutionary Guard Corp-Qods Force (IRGC-QF), a designated Foreign Terrorist Organization (FTO).
On February 11, 2024, the government of Argentina transferred physical custody of the aircraft to the United States pursuant to the final order of forfeiture, which was issued by the U.S. District Court for the District of Columbia on May 3, 2023, which rests all right, title, and interest in the aircraft in the United States of America. The Boeing 747 cargo plane arrived in the Southern District of Florida where it will be prepared for disposition.
“Using a whole-of-government approach, we have worked with our international partners to forfeit a plane transferred by Iranian entities in violation of U.S. sanctions and export control laws,” said U.S. Attorney Matthew M. Graves. “Foreign adversaries - seeking to illegally use American-made products to further their endeavors - need to know that the United States government will work with the international community to hold them accountable for their illegal conduct. The United States appreciates the collaboration with our Argentinian law enforcement and judicial partners.”
“The United States’ forfeiture of the Boeing 747 cargo plane culminates over 18 months of planning, coordination, and execution by the United States government and our Argentine counterparts,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “Bad actors – both near and far – are on alert that the United States will use all its tools to hold those who violate our laws to account. The successful seizure of the Boeing 747 underscores our commitment to prevent the illegal exportation of U.S. technologies and enforce U.S. export control laws.”
“The seized American-built aircraft was transferred by a sanctioned Iranian airline in a transaction that violated U.S. export control laws and directly benefited the Islamic Revolutionary Guard Corps, which is a designated terrorist organization,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department is committed to ensuring that the full force of U.S. laws deny hostile state actors the means to engage in malign activities that threaten our national security.”
“Mahan Air – known to ferry weapons and fighters for the Islamic Revolutionary Guard Corps and Hizballah – violated our export restrictions by selling this airplane to a Venezuelan cargo airline. Now, it’s property of the United States government,” said Assistant Secretary of Export Enforcement’s Matthew S. Axelrod. “This seized airplane’s arrival in the United States is a powerful example of our unceasing efforts to prevent Iran and its proxies from leveraging and profiting from U.S. technology.”
The plane was previously detained by Argentine law enforcement. On July 19, 2022, the U.S. District Court for the District of Columbia issued a seizure warrant for the aircraft, which Argentine authorities promptly enforced. On Oct. 20, 2022, in support of its ongoing criminal investigation, the United States filed a civil forfeiture complaint alleging that the aircraft’s transfer from Mahan Air to Empresa de Transporte Aéreocargo del Sur, S.A. (EMTRASUR), a Venezuelan cargo airline and subsidiary of Consorcio Venezolano de Industrias Aeronáuticas y Servicios Aéreos, S.A (CONVIASA), a Venezuelan state-owned company, violated U.S. export control laws. As alleged, Mahan Air was subject to a Department of Commerce Temporary Denial Order, which prohibited, among other things, Mahan Air from engaging in any transactions involving any commodity exported from the United States that is subject to the Export Administration Regulations. The complaint further alleged that the unauthorized transfer of this aircraft directly benefited the IRGC-QF.
According to court documents, the registered captain of the aircraft was an ex-commander for the IRGC and a shareholder and member of the board of a second sanctioned Iranian airline, Qeshm Fars Air, affiliated with the IRGC-QF. Argentinian law enforcement also recovered a Mahan Air flight log documenting the aircraft’s flights after the unlawful transfer to EMTRASUR and confirmed additional violations of U.S. export control laws between February and May 2022 when EMTRASUR reexported the aircraft between Caracas, Venezuela; Tehran, Iran; and Moscow, Russia, without U.S. Government authorization.
This matter is being investigated by the Department of Commerce Bureau of Industry and Security’s Miami Field Office and the FBI Miami Field Office.
Assistant U.S. Attorney Rajbir Datta for the District of Columbia, Assistant U.S. Attorney Andy R. Camacho for the Southern District of Florida, and Trial Attorney Alexander Wharton of the National Security Division’s Counterintelligence and Export Control Section are handling the seizure and investigation, with assistance from Paralegal Specialist Brian Rickers and Legal Assistant Jessica McCormick. Senior Trial Attorney John Beasley and Trial Attorney Jesse Ormsby of the Justice Department’s Office of International Affairs; Special Agent Adam Mastriani and Task Force Officer Robert Cunniff of the FBI Miami Field Office; and Ricardo Hernandez of the FBI’s Legal Attaché in Buenos Aires provided significant assistance in working with the Argentine authorities, led by Argentine Federal Judge Federico Villena and the U.S. Marshals Service to manage the difficult logistics and coordination of the physical transfer of the Boeing aircraft from Argentina to the United States.
Former Iranian-Owned Boeing Aircraft Successfully Returned to the United StatesRead the Press Release
The Department of Justice today completed enforcement of a final order for forfeiture of a U.S.-manufactured Boeing 747 cargo plane, previously owned by Mahan Air, a sanctioned Iranian airline affiliated with the Islamic Revolutionary Guard Corp-Qods Force (IRGC-QF), a designated Foreign Terrorist Organization (FTO).
On Feb. 11, the government of Argentina transferred physical custody of the aircraft to the United States pursuant to the final order of forfeiture, which was issued by the U.S. District Court for the District of Columbia on May 3, 2023, which rests all right, title, and interest in the aircraft in the United States of America. The Boeing 747 cargo plane arrived in the Southern District of Florida where it will be prepared for disposition.
“The seized American-built aircraft was transferred by a sanctioned Iranian airline in a transaction that violated U.S. export control laws and directly benefited the Islamic Revolutionary Guard Corps, which is a designated terrorist organization,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department is committed to ensuring that the full force of U.S. laws deny hostile state actors the means to engage in malign activities that threaten our national security.”
“Mahan Air – known to ferry weapons and fighters for the Islamic Revolutionary Guard Corps and Hizballah – violated our export restrictions by selling this airplane to a Venezuelan cargo airline. Now, it’s property of the United States government,” said Assistant Secretary of Export Enforcement’s Matthew S. Axelrod. “This seized airplane’s arrival in the United States is a powerful example of our unceasing efforts to prevent Iran and its proxies from leveraging and profiting from U.S. technology.”
“The United States’ forfeiture of the Boeing 747 cargo plane culminates over 18 months of planning, coordination, and execution by the United States government and our Argentine counterparts,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “Bad actors – both near and far – are on alert that the United States will use all its tools to hold those who violate our laws to account. The successful seizure of the Boeing 747 underscores our commitment to prevent the illegal exportation of U.S. technologies and enforce U.S. export control laws.”
“Using a whole-of-government approach, we have worked with our international partners to forfeit a plane transferred by Iranian entities in violation of U.S. sanctions and export control laws,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “Foreign adversaries – seeking to illegally use American-made products to further their endeavors – need to know that the United States government will work with the international community to hold them accountable for their illegal conduct. The United States appreciates the collaboration with our Argentinian law enforcement and judicial partners.”
“The transfer of this plane to U.S. custody is the final step in the long process to bring this case to its rightful conclusion,” said Executive Assistant Director Larissa L. Knapp of the FBI's National Security Branch “The FBI, along with our federal government and international partners, used every tool under our authorities to hold the Iranian government and their affiliates accountable for violating U.S. laws.”
The plane was previously detained by Argentine law enforcement. On July 19, 2022, the U.S. District Court for the District of Columbia issued a seizure warrant for the aircraft, which Argentine authorities promptly enforced. On Oct. 20, 2022, in support of its ongoing criminal investigation, the United States filed a civil forfeiture complaint alleging that the aircraft’s transfer from Mahan Air to Empresa de Transporte Aéreocargo del Sur, S.A. (EMTRASUR), a Venezuelan cargo airline and subsidiary of Consorcio Venezolano de Industrias Aeronáuticas y Servicios Aéreos, S.A (CONVIASA), a Venezuelan state-owned company, violated U.S. export control laws. As alleged, Mahan Air was subject to a Department of Commerce Temporary Denial Order, which prohibited, among other things, Mahan Air from engaging in any transactions involving any commodity exported from the United States that is subject to the Export Administration Regulations. The complaint further alleged that the unauthorized transfer of this aircraft directly benefited the IRGC-QF.
According to court documents, the registered captain of the aircraft was an ex-commander for the IRGC and a shareholder and member of the board of a second sanctioned Iranian airline, Qeshm Fars Air, affiliated with the IRGC-QF. Argentinian law enforcement also recovered a Mahan Air flight log documenting the aircraft’s flights after the unlawful transfer to EMTRASUR and confirmed additional violations of U.S. export control laws between February and May 2022 when EMTRASUR reexported the aircraft between Caracas, Venezuela; Tehran, Iran; and Moscow, Russia, without U.S. Government authorization.
This matter is being investigated by the Department of Commerce Bureau of Industry and Security’s Miami Field Office and the FBI Miami Field Office.
Assistant U.S. Attorney Rajbir Datta for the District of Columbia, Assistant U.S. Attorney Andy R. Camacho for the Southern District of Florida, and Trial Attorney Alexander Wharton of the National Security Division’s Counterintelligence and Export Control Section are handling the seizure and investigation, with assistance from Paralegal Specialist Brian Rickers and Legal Assistant Jessica McCormick. Senior Trial Attorney John Beasley and Trial Attorney Jesse Ormsby of the Justice Department’s Office of International Affairs; Special Agent Adam Mastriani and Task Force Officer Robert Cunniff of the FBI Miami Field Office; the U.S. Department of State’s Diplomatic Security Service; and Ricardo Hernandez of the FBI’s Legal Attaché in Buenos Aires provided significant assistance in working with the Argentine authorities, led by Argentine Federal Judge Federico Villena and the U.S. Marshals Service to manage the difficult logistics and coordination of the physical transfer of the Boeing aircraft from Argentina to the United States.
Former Iranian-Owned Boeing Aircraft Successfully Returned to the United StatesRead the Press Release
MIAMI – The Department of Justice today completed enforcement of a final order for forfeiture of a U.S.-manufactured Boeing 747 cargo plane, previously owned by Mahan Air, a sanctioned Iranian airline affiliated with the Islamic Revolutionary Guard Corp-Qods Force (IRGC-QF), a designated Foreign Terrorist Organization (FTO).
On Feb. 11, the government of Argentina transferred physical custody of the aircraft to the United States pursuant to the final order of forfeiture, which was issued by the U.S. District Court for the District of Columbia on May 3, 2023, which rests all right, title, and interest in the aircraft in the United States of America. The Boeing 747 cargo plane arrived in the Southern District of Florida where it will be prepared for disposition.
“The United States’ forfeiture of the Boeing 747 cargo plane culminates over 18 months of planning, coordination, and execution by the U.S. government and our Argentine counterparts,” said U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “Bad actors — both near and far — are on alert that the United States will use all its tools to hold those who violate our laws to account. The successful seizure of the Boeing 747 underscores our commitment to prevent the illegal exportation of U.S. technologies and enforce U.S. export control laws.”
“Using a whole-of-government approach, we have worked with our international partners to forfeit a plane transferred by Iranian entities in violation of U.S. sanctions and export control laws,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “Foreign adversaries — seeking to illegally use American-made products to further their endeavors — need to know that the United States government will work with the international community to hold them accountable for their illegal conduct. The United States appreciates the collaboration with our Argentinian law enforcement and judicial partners.”
“The seized American-built aircraft was transferred by a sanctioned Iranian airline in a transaction that violated U.S. export control laws and directly benefited the Islamic Revolutionary Guard Corps, which is a designated terrorist organization,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department is committed to ensuring that the full force of U.S. laws deny hostile state actors the means to engage in malign activities that threaten our national security.”
“Mahan Air — known to ferry weapons and fighters for the Islamic Revolutionary Guard Corps and Hizballah — violated our export restrictions by selling this airplane to a Venezuelan cargo airline. Now, it’s property of the U.S. government,” said Assistant Secretary of Export Enforcement’s Matthew S. Axelrod of the Department of Commerce. “This seized airplane’s arrival in the United States is a powerful example of our unceasing efforts to prevent Iran and its proxies from leveraging and profiting from U.S. technology.”
“The transfer of this plane to U.S. custody is the final step in the long process to bring this case to its rightful conclusion,” said Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch “The FBI, along with our federal government and international partners, used every tool under our authorities to hold the Iranian government and their affiliates accountable for violating U.S. laws.”
Boeing 747 cargo plane, the target aircraft, taken Sept. 6, 2019.
The plane was previously detained by Argentine law enforcement. On July 19, 2022, the U.S. District Court for the District of Columbia issued a seizure warrant for the aircraft, which Argentine authorities promptly enforced. On Oct. 20, 2022, in support of its ongoing criminal investigation, the United States filed a civil forfeiture complaint alleging that the aircraft’s transfer from Mahan Air to Empresa de Transporte Aéreocargo del Sur, S.A. (EMTRASUR), a Venezuelan cargo airline and subsidiary of Consorcio Venezolano de Industrias Aeronáuticas y Servicios Aéreos, S.A (CONVIASA), a Venezuelan state-owned company, violated U.S. export control laws. As alleged, Mahan Air was subject to a Department of Commerce Temporary Denial Order, which prohibited, among other things, Mahan Air from engaging in any transactions involving any commodity exported from the United States that is subject to the Export Administration Regulations. The complaint further alleged that the unauthorized transfer of this aircraft directly benefited the IRGC-QF.
According to court documents, the registered captain of the aircraft was an ex-commander for the IRGC and a shareholder and member of the board of a second sanctioned Iranian airline, Qeshm Fars Air, affiliated with the IRGC-QF. Argentinian law enforcement also recovered a Mahan Air flight log documenting the aircraft’s flights after the unlawful transfer to EMTRASUR and confirmed additional violations of U.S. export control laws between February and May 2022 when EMTRASUR reexported the aircraft between Caracas, Venezuela; Tehran, Iran; and Moscow without U.S. government authorization.
The Department of Commerce Bureau of Industry and Security’s Miami Field Office and the FBI Miami Field Office are investigating the case.
Assistant U.S. Attorneys Andy R. Camacho for the Southern District of Florida and Rajbir Datta for the District of Columbia and, and Trial Attorney Alexander Wharton of the National Security Division’s Counterintelligence and Export Control Section are handling the seizure and investigation, with assistance from Paralegal Specialist Brian Rickers and Legal Assistant Jessica McCormick. Senior Trial Attorney John Beasley and Trial Attorney Jesse Ormsby of the Justice Department’s Office of International Affairs; Special Agent Adam Mastriani and Task Force Officer Robert Cunniff of the FBI Miami Field Office; and Ricardo Hernandez of the FBI’s Legal Attaché in Buenos Aires provided significant assistance in working with the Argentine authorities, led by Argentine Federal Judge Federico Villena and the U.S. Marshals Service to manage the difficult logistics and coordination of the physical transfer of the Boeing aircraft from Argentina to the United States.
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Former Chief of Staff to Speaker of the Illinois House Sentenced to Two and a Half Years in Federal Prison for Lying Under Oath to Grand JuryRead the Press Release
CHICAGO — The former Chief of Staff to the Speaker of the Illinois House of Representatives was sentenced today to two and a half years in federal prison for providing false material testimony under oath to a federal grand jury and attempting to obstruct its investigation into allegations of public corruption.
U.S. District Judge John F. Kness imposed the sentence on TIMOTHY MAPES, 69, of Springfield, Ill. A jury in U.S. District Court in Chicago last year convicted Mapes of making false declarations before a grand jury and attempted obstruction of justice.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. The government was represented by Assistant U.S. Attorneys Julia Schwartz and Diane MacArthur.
Evidence presented at trial revealed that the grand jury was investigating possible violations of federal criminal law, including efforts by the Speaker of the House and a consultant acting on the Speaker’s behalf to obtain for others private jobs, contracts, and monetary payments, including from Commonwealth Edison (“ComEd”), the largest electric utility in Illinois, to influence and reward the Speaker in the Speaker’s official capacity. Mapes was granted immunity prior to his testimony before the grand jury. The immunity order provided that testimony or evidence provided by Mapes could not be used against him in a criminal case, except for perjury, giving a false statement, or otherwise failing to comply with the immunity order.
When Mapes appeared before the grand jury on March 31, 2021, he knowingly made false material declarations in response to several questions about the consultant’s relationship with the Speaker from 2017 to 2019. Mapes denied knowing that the consultant acted as an agent or performed work for the Speaker during those years, when, in fact, Mapes knew that the consultant carried out work and assignments on behalf of the Speaker and communicated messages on the Speaker’s behalf.
Former Carroll County Coach and Substitute Teacher Pleads Guilty to Federal Charge for Sexual Exploitation of a ChildRead the Press Release
Baltimore, Maryland – Evan Thomas Harris Frock age 34, of Taneytown, Maryland, has pleaded guilty to sexual exploitation of a child. Frock, a substitute teacher and volleyball coach in Carroll County, Maryland, posing as a teenager, used social media accounts to meet and communicate with children and to encourage them to produce and send to Frock images and videos of themselves engaged in sexually explicit activity. He remains detained on related state charges.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge R. Joseph Rothrock of the Federal Bureau of Investigation (“FBI”), Baltimore Field Office; Carroll County Sheriff James DeWees; Chief Gregory Der of the Howard County Police Department, and Carroll County State’s Attorney Haven Shoemaker.
According to his plea agreement, from 2021 through May 2022, Frock, pretending to be a minor male and a minor female, used a variety of aliases on several social media platforms to communicate with other users, including eight minor victims, ranging in age from 9 to 17 years old. Specifically, Frock used the internet-based accounts and aliases to persuade, induce, and coerce the victims to produce sexually explicit images and videos of themselves and send those images and videos to Frock. On at least one occasion, Frock distributed a sexually explicit video of a minor male and sent images of his own genitalia to the minors to induce them to reciprocate. Further, Frock possessed several hundred commercially available images and videos of child sexual abuse material that depicted toddlers, violence, and bestiality.
Frock faces a mandatory minimum sentence of 15 years in federal prison and a maximum sentence of 30 years for sexual exploitation of a child to produce child pornography. U.S. District Judge Brendan A. Hurson has scheduled sentencing for Frock on April 16, 2024, at 11:00 a.m.
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 Attorney’s 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. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI, the Carroll County Sheriff’s Office, the Howard County Police Department, and the Carroll County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorney Colleen E. McGuinn, who is prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Felon Sentenced for Possessing Stolen Gun After Domestic DisputeRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to seven years in prison for possessing a firearm as a convicted felon.
According to court documents, Joseph Bush, 31, was arrested in Gilpin Court on July 28, 2022. On that date, Richmond Police Department officers responded to a report of a domestic assault. Bush’s girlfriend called 911 to report that Bush had hit her in the face and neck and scratched her wrist. He also took her phone and smashed it. The victim further reported that, earlier in July, Bush had pointed a firearm at her face.
While responding to the 911 call, the officers found Bush walking from the victim’s apartment. When an officer attempted to speak to him, Bush ran. After a foot pursuit, the officers detained Bush and recovered a loaded Glock 9mm handgun with an extended magazine from his pants leg. The firearm had been reported stolen three months earlier. In Bush’s pants pocket, officers found suboxone strips and cocaine. Officers found additional rounds of 9mm ammunition, rounds of .22 caliber ammunition, and a scale inside Bush’s bag.
Bush has prior convictions for robbery, use of a firearm in the commission of a felony, and being a violent felon in possession of a firearm. He committed the current offense within six months of his release from state prison and while he was on supervised probation.
Jessica D. Aber, U.S. Attorney for the Eastern District 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 U.S. District Judge Roderick C. Young.
Assistant U.S. Attorney Jessica L. Wright 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. 3:22-cr-163.
Drug Traffickers in Eastern Idaho Receive Federal Prison SentencesRead the Press Release
POCATELLO – Jeniffer Daniel Borchert, 30, of Pocatello, Amy Nacona Jagneaux, 48, also of Pocatello, and Joel Santos, 29, of Idaho Falls, were sentenced in separate cases for federal drug crimes involving fentanyl, methamphetamine, and firearms, U.S. Attorney Josh Hurwit announced today.
On February 5, 2024, Chief U.S. District Judge David C. Nye sentenced Borchert to five years in federal prison for distributing fentanyl. After serving her prison sentence, Borchert will be placed on supervised release for three years.
According to court records, Borchert, was arrested by detectives with the BADGES Task Force who conducted an operation during the summer of 2022 in which Borchert sold fentanyl pills to undercover law enforcement on multiple occasions.
In a separate case, on February 6, 2024, Chief Judge Nye sentenced Jagnueax to five years in federal prison for distributing methamphetamine. After her prison term, Jagneaux will be placed on supervised release for eight years. She received double the term of supervised release than is normally required because she sold dangerous drugs within 1,000 feet of a public high school.
According to court records, Jagneaux, was arrested at an auto shop located across the street from Pocatello High School. In February 2022, detectives with the BAGES Task Force purchased a half a pound of methamphetamine from Jagneaux at the auto shop that she owned in downtown Pocatello. The purchase was followed by further investigation that led to the execution of a search warrant at the auto shop in September 2022. During the search, law enforcement located methamphetamine and approximately 25 firearms, four of which had been reported stolen.
In a third case, on February 6, 2024, Chief Judge Nye sentenced Santos to five and half years in federal prison to be followed by a term of supervised release for three years for unlawful possession of a firearm. Santos received an enhanced sentence for prohibited possession of a firearm in connection with distribution amounts of methamphetamine.
According to court records, Santos was the passenger in a vehicle that was stopped for expired registration. Santos was asked to step out of the car and subsequently fled on foot. An officer with the Idaho Falls Police Department chased Santos and eventually apprehended him and located a firearm that Santos threw while he was running away. Officers also located a bindle containing four ounces of methamphetamine near the discarded firearm. Santos was prohibited from possessing firearms due to a prior felony conviction. Santos has also previously been documented by the Idaho Falls Police Department as an active gang member.
“These cases reflect the strong partnership between our office and our local law enforcement partners,” said U.S. Attorney Hurwit. “This series of cases not only makes Eastern Idaho safer, but it also shows our commitment to bringing to justice anyone else tempted to sell poisonous drugs or illegally possess firearms in Idaho.”
U.S. Attorney Hurwit thanked the Pocatello Police Department, the Idaho State Police, the Drug Enforcement Administration, the Bannock County Sheriff’s Office, and the Chubbuck Police Department which participated as part of the BAGES Task Force, and the Idaho Falls Police Department for their investigations in these cases. Assistant U.S. Attorney Blythe McLane, who was the Eastern Idaho Partnership Special Assistant U.S. Attorney at the time of charging, prosecuted these three cases.
The BADGES Task Force is a collaboration of federal, state, and local law enforcement agencies that focuses primarily on drug trafficking crimes in Bannock County and throughout the region.
The EIP is a coalition of local city and county officials in eastern Idaho as well as the Idaho Department of Correction. The EIP SAUSA program allows law enforcement to utilize the federal criminal justice system – through the EIP SAUSA – to prosecute, convict, and sentence violent, armed criminals and drug traffickers. These criminals often receive stiffer penalties than they might in state courts.
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District Man Found Guilty by Jury in Scheme to Steal Residential Real Estate Using Fraudulent DeedsRead the Press Release
WASHINGTON - Jeffrey M. Young-Bey, 67, of Washington, D.C was found guilty today on twelve federal charges stemming from a scheme in which he used a fake notary stamp, forged signatures, and fraudulent property deeds to steal residential real estate property. The scheme generated more than $850,000 in fraudulent loans obtained through mortgages taken out against the value of the stolen real estate.
The jury verdict, in U.S. District Court for the District of Columbia, was announced by U.S. Attorney Matthew M. Graves and FBI Special Agent in Charge David J. Scott of the FBI Washington Field Office’s Criminal and Cyber Division.
Young-Bey was found guilty before the Honorable Colleen Kollar-Kotelly on one count of conspiracy to commit mail fraud and bank fraud, two counts of bank fraud, two counts of mail fraud, two counts of money laundering, and five counts of aggravated identity theft. A sentencing date is pending. Young-Bey’s conspiracy and fraud convictions carry a maximum sentence of 20 years in prison. The money laundering counts carry a maximum sentence of 10 years. The aggravated identity theft charges call for a mandatory sentence of two years in prison.
According to the government’s evidence, beginning in November 2019, Young-Bey conspired to steal a residential townhome located in LeDroit Park in order to obtain mortgage financing against the stolen property. Specifically, Young-Bey identified a target property owned free and clear by an elderly homeowner located in the District. Young-Bey then prepared a fraudulent property deed, including forged signatures of the true owners and used a fake notary stamp to make the deed appear legitimate. Young-Bey filed the deed with the District of Columbia Recorder of Deeds, transferring the title from the true owners to a corporate entity. Young-Bey passed a check to the D.C. Recorder of Deeds to pay for the transfer taxes but put a stop payment order on the check before the D.C. government could cash the check. Young-Bey caused the fake deed to be recorded with the D.C. Recorder of Deeds and then falsely told a mortgage services business that another individual had inherited the property and wanted to take a large loan against the value of the home. Young-Bey created a fake rental lease on Rocketlawyer.com and sent the lease to the mortgage company to convince them that his associate owned the home and rented the property for profit. The mortgage company was deceived into loaning Young-Bey’s associate approximately $360,000 against the value of the home they did not own, which was split evenly between the two. Young-Bey used his half of the proceeds to buy a BMW 3-Series valued at approximately $23,000.
After succeeding on the first scam, Young-Bey executed a second fraudulent scheme on a Shephard Park property in the District, forging the names of the two owners, using the fake notary stamp, and recording the deed at the D.C. Recorder of Deeds Office. Young-Bey again put a stop payment order on the transfer tax check before it could be cashed. Young-Bey used the recorded deed to obtain a construction loan in excess of $500,000 against the value of the house. Young-Bey took a portion of the loan and purchased a BMW 7-Series worth approximately $120,000. He promptly sold the home to a legitimate real estate company for an additional $42,000 in profit. The fraud was discovered when the real estate company began performing renovations on the home and the rightful owners were alerted to the construction and demolition by their neighbors.
This case was investigated by the FBI’s Washington Field Office with assistance from the Metropolitan Police Department. It was prosecuted by Assistant U.S. Attorneys Christopher R. Howland and Kevin L. Rosenberg of the Fraud, Public Corruption, and Civil Rights Section with the assistance of Paralegal Specialist Gina Torres. Valuable assistance was provided by Assistant U.S. Attorney Joshua S. Rothstein, former Assistant U.S. Attorney Virginia Cheatham, former Special Assistant U.S. Attorney Viviana Vasiu, and Paralegal Specialist Lisa Abbe who investigated the case. The prosecution team was also assisted by Tonya Jones from the Victim Witness Assistance Unit and Assistant U.S. Attorney Daniel Lenerz from the Appellate Section.
Darknet Fentanyl Dealer Sentenced to 24 YearsRead the Press Release
A darknet fentanyl dealer was sentenced Friday to 293 months in federal prison for multiple drug crimes and possession of child pornography, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.Sean Shaughnessy, 55, was indicted in April 2019 and was convicted at trial in June 2023 of conspiracy to possess with intent to distribute a controlled substance, conspiracy to possess with intent to distribute a controlled substance analogue, distribution of controlled substances, and possession of child pornography. He was sentenced before U.S. District Judge Sam A. Lindsay.
According to evidence presented at trial, Mr. Shaughnessy sold fentanyl, carfentanil (a frequently abused elephant tranquilizer), pentedrone, and fentanyl and pentedrone analogues over the dark web, an unindexed portion of the internet accessible only via specialized software that allows users to conduct transactions with relative anonymity. His buyers purchased the drugs on dark web marketplaces using cryptocurrencies like bitcoin, and Mr. Shaughnessy shipped the drugs to their addresses in the Dallas area and all over the world.
Multiple former customers testified at Mr. Shaughnessy’s trial, noting the drugs Shaughnessy sold them, including fentanyl and its analogues, arrived to their DFW area homes very quickly and were of high potency.
Just days after purchasing fentanyl analogues from Mr. Shaughnessy, one of his customers, a young man in his 20s, died of an overdose involving that substance.
A Homeland Security Investigations Special Agent testified about the undercover operation that identified Mr. Shaughnessy, explaining that Mr. Shaughnessy directed tens of thousands of dollars of his illicit drug proceeds to be sent to Mr. Shaughnessy in the Dallas area.
Another agent testified that during an interview with law enforcement, Mr. Shaughnessy claimed that the agents would have to “check his taxes” to determine what Mr. Shaughnessy did for a living. Agents contacted the Internal Revenue Service, which indicated Mr. Shaughnessy had filed no taxes for the relevant time periods.
In a video of his July 2016 arrest played for the jury, Mr. Shaughnessy, with white powder visible around his nose, removed and dropped a baggie of drugs from his pocket while officers were placing handcuffs on him, and he then attempted to kick it out of officers’ view. When officers noticed the baggie, the defendant insisted, “that ain’t mine,” though it was plainly visible on the officers’ body-camera footage.
Homeland Security Investigations’ Dallas and New York Field Offices conducted the investigation in partnership with the U.S. Postal Inspection Service, U.S. Customs & Border Protection, the Irving Police Department, and the Sacramento District Attorney’s Office. Assistant U.S. Attorneys Joe Magliolo and Gary Tromblay prosecuted the case.
Covetrus Pleads Guilty to Criminal Misbranding of Veterinary Prescription DrugsRead the Press Release
ABINGDON, Va. – Covetrus North America LLC, a company based in Dublin, Ohio, which sells veterinary products to customers across the United States, pled guilty today to causing the introduction and delivery of misbranded veterinary prescription drugs into interstate commerce. As part of the agreement, Covetrus will pay over $23 million in criminal fines and forfeitures.
“The United States Attorney’s Office for the Western District of Virginia takes the distribution of misbranded prescription drugs seriously,” United States Attorney Christopher R. Kavanaugh said today. “Covetrus shipped over $20 million in prescription drugs to unauthorized end-users in violation of federal laws that are designed to ensure prescription drugs are kept within a controlled chain of distribution and to prevent diversion and inappropriate use. Today’s result demonstrates my Office’s commitment to holding those companies and corporations accountable when they seek to profit by breaking the law.”
“The FDA recognizes the importance of controlling the prescription drug supply for animals. The careless or uncontrolled distribution of prescription animal drugs poses a danger not only to the medicated animals but to the U.S. public health by increasing the risk that humans will become resistant to antibiotics that we unknowingly consume through our food supply.” said Special Agent in Charge George Scavdis, FDA Office of Criminal Investigations - Metro Washington Field Office. “We will continue to pursue and bring to justice those who distribute prescription animal drugs unlawfully.”
According to court documents, from March 2019 to December 2021, Covetrus shipped over $20 million in prescription drugs from their non-pharmacy locations throughout the United States to end-users that were not authorized to receive prescription drugs. Shipments from non-pharmacy locations to non-authorized end-users or locations are deemed “misbranded.”
Covetrus will forfeit $21,534,091, pay $1,000,000 to the Virginia Department of Health Professions, as well as a fine of $1,000,000. In addition, Covetrus is obligated to keep in place appropriate compliance measures to prevent future violations.
Sentencing is scheduled for May 8, 2024 at 10:30 a.m.at the United States Federal Courthouse in Abingdon.
The U.S. Food and Drug Administration – Office of Criminal Investigations and the Virginia State Police investigated the case, with the assistance of the Virginia Department of Health Professions.
Assistant U.S. Attorney Randy Ramseyer is prosecuting the case.
Costa Rica Man Arrested for Sweepstakes Fraud and Impersonation of Federal Government OfficialsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today the unsealing of a Complaint charging FEDERICO HERNANDEZ GAMBOA with conspiring to commit wire fraud, conspiring to commit bank fraud, bank fraud, and aggravated identity theft in connection with a scheme to defraud elderly victims by convincing them that they had won millions of dollars in a sweepstakes lottery that could only be collected after they paid millions of dollars’ worth of supposed taxes and fees. GAMBOA was arrested on February 10, 2024, at George Bush Intercontinental Airport in Houston, Texas. He will be presented today before U.S. Magistrate Judge Dena Hanovice Palermo in the Southern District of Texas.
U.S. Attorney Damian Williams said: “As alleged, Federico Hernandez Gamboa defrauded numerous elderly victims who were lured into thinking that they had won life-changing prizes in a sweepstakes lottery of millions of dollars. By allegedly impersonating high-ranking federal government officials, Gamboa and others convinced victims that they had to pay supposed taxes and fees in order to claim their sweepstakes winnings. Scammers who target vulnerable elderly men and women to line their own pockets, take note – you will be held accountable.”
As alleged in the Complaint filed in Manhattan federal court:[1]
From at least August 2020 through at least May 2023, GAMBOA and others contacted elderly victims while claiming to be high-ranking federal government officials, including the Chief of the Criminal Division of the U.S. Attorney’s Office for the Southern District of New York, the Deputy Director of the Financial Crimes Enforcement Network, and others, to convince victims that they had won large cash prizes as part of a sweepstakes lottery. GAMBOA and others induced the victims to wire millions of dollars in supposed taxes and fees associated with their sweepstakes winnings to bank accounts controlled by members of the fraud scheme. GAMBOA and others then wired most of the money to bank accounts in Costa Rica.
Members of the fraud scheme also induced victims to send their personal identifying information, which GAMBOA and others used to create fake identification cards. They also forged victims’ names on loan agreements that they submitted to financial institutions in order to persuade those institutions that the fraudulently obtained funds belonged to them.
The victims collectively sent approximately $4.3 million in fraud proceeds to bank accounts controlled by members of the fraud scheme, approximately $664,000 of which was sent directly to bank accounts controlled by GAMBOA.
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GAMBOA, 51, of San Jose, Costa Rica, is charged with one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of conspiracy to commit bank fraud, which carries a maximum sentence of 30 years in prison; one count of bank fraud, which carries a maximum sentence of 30 years in prison; and one count of aggravated identity theft, which carries a mandatory prison term of two years that must run consecutively to any other prison term.
The maximum and mandatory potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the exceptional investigative work of the Special Agents and Analysts of the U.S. Attorney’s Office for the Southern District of New York and thanked the U.S. Customs and Border Protection for their assistance with the investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Amanda C. Weingarten is 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 described herein should be treated as an allegation.
Columbus man sentenced to more than 14 years in prison for attempting to support terrorist plot to murder former PresidentRead the Press Release
COLUMBUS, Ohio – An Iraqi citizen living in Columbus was sentenced in federal court here today to 178 months in prison for attempting to provide material support to a terrorist organization as part of a plot to murder former United States President George W. Bush.
Shihab Ahmed Shihab Shihab, 53, believed the former President was responsible for killing many Iraqis and breaking apart the entire country of Iraq during Operation Iraqi Freedom. The defendant’s own life changed during and after the war and he proudly assisted in this plot.
Shihab originally entered the United States in September 2020 and primarily resided in Columbus from December 2020 until his arrest in May 2022. Throughout much of that time, Shihab attempted to provide material support to terrorists in furtherance of a plot to assassinate former President George W. Bush.
Shihab hoped to smuggle at least four Iraqis associated with ISIS into the United States with the goal of completing the assassination. In fact, in the fall of 2021, Shihab believed he successfully smuggled an ISIS member into the United States for a fee of $40,000. Shihab accepted tens of thousands of dollars for the purported smuggling. In reality, the individual was fictitious, and the interaction was coordinated under the direction of the FBI.
In furtherance of the assassination plot, Shihab traveled to Dallas in February 2022 to conduct surveillance of locations associated with the former President. For example, he recorded videos of the front access gate and surrounding area leading into the neighborhood of the former President’s home.
In March 2022, Shihab met with others in a hotel room in Columbus to look at sample firearms and law enforcement uniforms.
Shihab required the use of burner phones, encrypted communication applications and code names as plans evolved.
Shihab was arrested by FBI Joint Terrorism Task Force agents in May 2022. He pleaded guilty in March 2023 to attempting to provide material support to terrorists. Shihab was also sentenced today to a lifetime of supervised release following his prison sentence.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Matthew G. Olsen, Assistant Attorney General, Department of Justice, National Security Division; Cheryl Mimura, Acting Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Yvonne Dicristoforo, Special Agent in Charge, United States Secret Service, announced the sentence imposed today by U.S. District Judge Michael H. Watson. Deputy Criminal Chief Jessica W. Knight and Trial Attorney Frank Russo from the Department of Justice’s National Security Division are representing the United States in this case.
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Colombian Woman Sentenced to 66 Months in Federal Prison for Her Involvement in A Human Smuggling Conspiracy Related to the Gulf CartelRead the Press Release
TALLAHASSEE, FLORIDA – Lina Alejandra Martinez-Munoz, 28, a Colombian National, was sentenced to 66 months in federal prison for conspiracy to bring an alien to the United States. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“International cartels and human smugglers employed by them pose a serious threat to our nation,” said U.S. Attorney Coody. “These smugglers profit from the exploitation of others, often exposing them to violence, injury, and death. With our law enforcement partners, we remain committed to identifying and aggressively prosecuting those who violate the sovereignty and security of our nation. This sentence addresses the defendant’s conduct and illustrates the resulting punishment.”
According to court documents, between December 2020 and June 2023, Martinez-Munoz was part of a group connected to the Cartel Del Golfo (“CDG”), also known as the Gulf Cartel, based in Matamoros, Mexico that smuggled more than one hundred non-citizens into the United States illegally across the United States’ border with Mexico for the purpose of private financial gain.
This investigation resulted from a Florida Highway Patrol traffic stop of Martinez-Munoz’s co-defendant on Interstate 10 in Jefferson County, Florida. Troopers located bundles of U.S. currency, two firearms, numerous foreign passports, identification cards, and a notebook containing payments that listed smuggling fees for females, males, and children from different countries, including Cuba, Honduras, Nicaragua, and Colombia.
“Smugglers are opportunistic, greedy, and have sophisticated communications networks to illegally import people into the U.S. as if they were a commodity,” said Homeland Security Investigations (HSI) Tallahassee Assistant Special Agent in Charge Nicholas Ingegno. “This smuggler was not able to thwart law enforcement detection, and thanks to our partnerships with the Florida Department of Law Enforcement and Florida Highway Patrol, she will now face the consequences of her actions.”
The case was investigated by the Florida Highway Patrol, the Florida Department of Law Enforcement, and Homeland Security Investigations. Assistant United States Attorney Corey J. Smith prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Colchester Resident Sentenced for Child Exploitation OffensesRead the Press Release
Burlington, Vermont – The Office of the United States Attorney for the District of Vermont stated that on February 9, 2024, George Casey, 33, of Colchester, Vermont, was sentenced in United States District Court in Burlington, Vermont, to serve 262 months in prison after pleading guilty to one count of production of child pornography (also known as child sexual abuse material, or CSAM), and one count of possession of CSAM. Chief U.S. District Judge Geoffrey W. Crawford also ordered Casey to serve a 15-year term of supervised release.
According to court records and proceedings, in the summer of 2020, law enforcement received a report that Casey was sexually assaulting minor children who lived in the same neighborhood as Casey. The investigation culminated in execution of a search warrant at Casey’s residence in March 2021, during which multiple computers and other digital media were seized and searched. While searching Casey’s devices, law enforcement found five videos that showed Casey sexually assaulting two little girls, then ages 5 and 7, whom Casey knew. After discovering these videos, Casey was immediately arrested. In addition to the images and videos Casey produced, law enforcement discovered a large collection of approximately 1,419 images depicting CSAM on Casey’s digital media.
United States Attorney Nikolas P. Kerest commended the efforts of Homeland Security Investigations, the Chittenden Unit for Special Investigations, and the Vermont Internet Crimes Against Children Task Force in the investigation of Casey.
Barbara A. Masterson, Assistant U.S. Attorney for the District of Vermont, represented the government. Mark Oettinger, Esq. represented Casey.
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 Justice.gov/PSC.
Clovis Methamphetamine Distributor Pleads GuiltyRead the Press Release
FRESNO, Calif. — Ivan Sigmond, 50, of Clovis, pleaded guilty today to possessing with intent to distribute methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Aug. 28, 2020, law enforcement officers obtained and executed a search warrant at Sigmond’s residence, where they found nearly 30 pounds of pure methamphetamine, along with two handguns and an assault firearm.
This case is the product of an investigation by the Drug Enforcement Administration and the Clovis Police Department. Assistant U.S. Attorney Karen Escobar is prosecuting the case.
Sigmond is scheduled to be sentenced on May 20, 2024. Sigmond faces a minimum statutory penalty of 10 years in prison, a maximum statutory penalty of life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
Canadian National Pleads Guilty to Conspiracy to Launder Money from Scheme to Send UAV and Missile Components to Russia in Violation of U.S. SanctionsRead the Press Release
Earlier today in federal court in Brooklyn, Kristina Puzyreva, 32, of Montreal, pleaded guilty to money laundering conspiracy for her role in a multimillion-dollar scheme to send components used in unmanned aerial vehicles (UAVs) and guided missile systems and other weapons to sanctioned entities in Russia. The components shipped in violation of export control and sanctions laws were later found in Russian weapons platforms and signals intelligence equipment in Ukraine.
“The defendant in this case flouted our sanctions and export control laws by scheming to send sensitive U.S.-sourced missile and other weapons components to Russia that were later found in Russian weapons systems on the battlefield in Ukraine,” said Deputy Attorney General Lisa O. Monaco. “She now faces time in a United States prison for her actions. As we approach the two-year anniversary of Russia’s unlawful invasion of Ukraine, through our Disruptive Technology Strike Force and our Task Force KleptoCapture, the Justice Department will continue using all available legal tools and authorities to hold accountable those who supply the Russian war machine with critical U.S. technology.”
“Ms. Puzyreva admitted to taking part in an elaborate scheme to smuggle millions of dollars’ worth of restricted U.S. components for use in Russian weapons deployed against Ukraine,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department is committed to denying Moscow the resources it needs to prosecute its unjust invasion of Ukraine, and we will hold accountable covert enablers and profiteers who violate U.S. law to further Russian aggression.”
“The defendant was a necessary player in a scheme to evade export controls and sanctions and ship UAV and missile components to Russia that were later found on the battlefield in Ukraine,” stated United States Attorney Peace. “Without the defendant laundering the proceeds of the scheme, the export scheme would not have worked. Today’s plea demonstrates that the Eastern District of New York will not allow criminals to endanger national security by supplying Russia with U.S.-sourced military technology. This Office will faithfully prosecute every member of a conspiracy to the fullest extent of the law.”
“The FBI and our partners will hold accountable those who violate our laws and enable adversarial nations to obtain U.S. technology to be used in foreign weapon systems,” said Deputy Director Paul Abbate. “In this case, the defendant laundered funds in a scheme which allowed Russia to obtain components used in guided missiles and other systems against Ukraine, and she is now facing the consequences of her actions.”
“Following the money is a law enforcement imperative. This defendant laundered money on behalf of several Brooklyn front companies to ship U.S.-origin electronics to sanctioned entities in Russia,” said Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod of the Department of Commerce. “As today’s guilty plea makes clear, we are unyielding in our efforts to help prevent American electronics from being used in Russian missiles and drones that kill innocent civilians in Ukraine.”
As alleged in the indictment and other court filings, the defendant laundered money as part of a sophisticated export control and sanctions evasion scheme involving SH Brothers Inc. (SH Brothers) and SN Electronics, Inc. (SN Electronics), two companies registered in Brooklyn, New York. Using the SH Brothers and SN Electronics corporate entities, the defendant and her co-conspirators unlawfully sourced, purchased and shipped millions of dollars in dual-use electronics from U.S. manufacturers to end users, including sanctioned entities, in Russia. The electronic components and integrated circuits shipped were later found in seized Russian weapons platforms and signals intelligence equipment in Ukraine, including in UAVs and guided missiles. During the period charged in the indictment, SH Brothers made hundreds of shipments valued at over $7 million to Russia.
Puzyreva and her husband, co-defendant Nikolay Goltsev, traveled on multiple occasions from Canada to meet with their co-defendant Salimdzhon Nasriddinov in Brooklyn. During such trips, Puzyreva utilized numerous bank accounts to make financial transactions in furtherance of the scheme. For example, Puzyreva is the signatory on two New York accounts, including one that lists Nasriddinov’s home address in Brooklyn (also the registered address of SH Brothers) as the address of record. Records for these accounts reflect large, structured cash deposits in Brooklyn and Manhattan that correspond with trips that Puzyreva and Goltsev made to New York. These deposits were then transferred to accounts held and used by Puzyreva and Goltsev in Canada.
The scheme involved millions of dollars in transactions and was lucrative for the defendants. For example, in a text message exchange on or about Jan. 13, 2023, Goltsev complained to Puzyreva that a co-conspirator “asked me to make 80 accounts . . . I am making accounts for 3 mln [i.e., million]. Fingers hurting already from the laptop.” Puzyreva responded, “Lot of money? We will get rich.” Later, on or about Jan. 20, 2023, Goltsev messaged Puzyreva, “Dasha (a co-conspirator) paid. 700k.” Notably, financial records revealed wire transfers totaling approximately $700,000 into an SH Brothers account in or around January 2023 from a Hong Kong-based entity as part of an order for a sanctioned Russian entity.
The government seized $20,000 in cash from the New York hotel room in which the defendant was arrested. In total, the government has seized approximately $1.68 million dollars in connection with this export scheme.
When sentenced, Puzyreva faces a maximum penalty of up to 20 years in prison. A U.S. district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Artie McConnell and Ellen H. Sise for the Eastern District of New York and Trial Attorney Christopher M. Cook of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case, with assistance from Litigation Analysts Mary Clare McMahon and Joseph Levin. Assistant U.S. Attorney Laura Mantell of the Eastern District of New York’s Asset Recovery Section is handling forfeiture matters.
The FBI, Department of Commerce’s Office of Export Enforcement’s New York Field Office, and Department of Homeland Security Homeland Security Investigations are investigating the case.
Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force and the Justice Department’s Task Force KleptoCapture. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions and economic countermeasures that the United States has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine.