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1 March 2024
Rio Rancho Man Sentenced to 15 Months in Prison for Social Security SchemeRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that James Anthony Sandoval was sentenced to 15 months in prison, and he must pay $55,261.20 in restitution to the Social Security Administration (SSA). A federal jury returned 33 guilty verdicts of theft of government property and one count each of making false statements and false statements on a Social Security form against Sandoval, 58, of Rio Rancho, on Dec. 16, 2022.
A federal grand jury issued an indictment against Sandoval on June 15, 2022. According to evidence presented at trial and other publicly available court records, Sandoval became entitled to receive disability benefits in 2007 and the Social Security Administration (SSA) began issuing payments to Sandoval, including payments to his children and Medicare benefits. In November 2018, the SSA’s Office of the Inspector General (OIG) Cooperative Disability Investigations (CDI) Unit in Albuquerque began an investigation based on an allegation that Sandoval was intentionally concealing from the SSA his ownership, earnings and work activity at Traditions Past and Present, a thriving jewelry business with two locations in Albuquerque.
During the investigation, the CDI Unit determined that Sandoval founded the company in 2009 and was the designer and creator of the jewelry sold by the business. In August 2016, Sandoval signed various SSA forms, under penalty of perjury, in which he stated he had not worked since January 2007 and had not received any income since January 2007.
In February 2019, an undercover agent with the SSA-OIG spoke with Sandoval at the San Antonio Texas Stock and Rodeo show, where Sandoval had rented a vendor booth for his jewelry business. The booth had a sign displayed, “Traditions Past and Present Jewelry, My Heritage and Design by James Sandoval.” Sandoval told the agent he sells customized jewelry from the Santa Fe area and had been selling custom-made jewelry at the San Antonio Stock Show and Rodeo for approximately ten years. Sandoval further stated that his jewelry items ranged from $500-$20,000, and he did not sell his jewelry to wholesalers.
On February 19, 2020, OIG-SSA Special Agent and SSA employees met with Sandoval at the SSA office in Rio Rancho. During the meeting, Sandoval told agents he had not worked since 2002 or 2003, and Sandoval denied making a profit or working at Traditions Past and Present. Sandoval did admit to traveling to trade shows on behalf of the business.
During the trial, the jury heard testimony from a former employee who stated that Sandoval was intentionally concealing his income from the government because he was receiving SSA disability payments. Other evidence presented included reports and photographs of Sandoval working at his jewelry business, Traditions Past and Present, as well as working at a vendor booth for his jewelry business at a trade show in Texas. The government also presented bank records of Traditions Past and Present and Sandoval’s personal bank records from 2014 to 2019 which included several transactions from the jewelry business to Sandoval’s personal accounts, all of which were controlled by Sandoval.
Between January 1, 2014, and April 1, 2019, Sandoval received SSA benefits totaling $182,735.10 and Medicare paid a total amount of $94,165.20 for the services Sandoval received from March 2015 to May 2021, which is the period he was not entitled to receive SSA disability benefits.
“Everyone deserves economic stability and dignity,” said U.S. Attorney Uballez. “Social security funds represent our collective commitment to taking care of our neighbors who can no longer work. When selfish business-owners draw benefits to which they are not entitled, they are stealing from every American’s paycheck and from every lawful beneficiary. Together with SSA-OIG, we will preserve the viability of the Social Security system. This case was spearheaded by OIG Special Agent Bianca Mendez, who tragically died before she could finish her work. Her colleagues at SSA-OIG and CDI finished where she left off and honored her legacy with this outcome.”
Upon his release from prison, Sandoval will be subject to three years of supervised release.
The SSA Office of the Inspector General Albuquerque CDI Unit investigated this case with assistance from the New Mexico Disability Determination Services, the New Mexico Office of Attorney General and SSA. Assistant United States Attorneys Raquel Ruiz-Velez and Kristopher N. Houghton are prosecuting the case.
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Richmond Man Sentenced for Successive COVID Fraud and Bank Fraud SchemesRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced yesterday to seven years in prison for orchestrating successive schemes to defraud a COVID-19 relief program and steal funds through altered checks.
According to court documents, Davon Hunter, 26, used Instagram and word of mouth to recruit potential co-conspirators to provide their personal identifying information so that Hunter could submit fraudulent applications to the Paycheck Protection Program (PPP), a COVID-19 relief program that was intended to provide loans backed by the Small Business Administration to certain businesses, nonprofit organizations, and other entities to help them retain their employees or stay afloat during the pandemic. Hunter submitted at least 23 fraudulent PPP loan applications to at least four financial institutions for fictitious businesses purportedly belonging to himself and 16 other co-conspirators. For instance, these applications contained false and fabricated gross income figures and false certifications that the businesses were in operation on February 15, 2020. Hunter and his co-conspirators fraudulently obtained over $500,000 in PPP loans. In exchange for preparing the fraudulent loan applications and supplying spurious supporting documents, Hunter demanded 25–50% of each loan obtained by the co-conspirators.
When the PPP loan program ended in 2021, Hunter turned to “card cracking”—a scheme to defraud financial institutions through the deposit of fraudulently altered stolen checks from small businesses. Hunter and his co-conspirators recruited at least 16 accountholders to provide their debit cards and personal identification numbers (PINs). They stole legitimate checks from various small businesses, altered the checks to make them payable to accounts controlled by conspirators, and deposited at least 16 altered checks purportedly worth over $150,000. Immediately after these deposits, they conducted successive transactions to quickly access the credited funds before the banks determined the deposits to be worthless. Despite knowing of the federal investigation, Hunter continued in his card cracking schemes. At the time of his arrest, Hunter possessed two additional altered checks purportedly worth over $27,000, along with several bank cards in the names of other people.
Even though he lacked verifiable, legitimate income throughout these schemes, Hunter flaunted his fraud proceeds and luxurious lifestyle on social media. His Instagram account and bank records reflect postings with thousands of dollars in cash and money orders and expenditures for expensive jewelry, $26,000 purportedly for veneers, gambling, the purchase of luxury goods and clothing from Dior, Saks, Louis Vuitton, Chanel and more, attendance at professional sports events, trips and vacations throughout the country, and the purchase of a Range Rover.
On October 31, 2023, Hunter pleaded guilty to one count each of conspiracy to commit wire fraud and conspiracy to commit bank fraud. A separate hearing to determine Hunter’s restitution and forfeiture obligations will take place on May 14.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office; Ajay D. Lall, Acting Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; and Troy W. Springer, Special Agent in Charge, National Capital Region, U.S. Department of Labor, Office of Inspector General, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson.
Assistant U.S. Attorney Carla Jordan-Detamore prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-90.
Quincy Man Pleads Guilty to $1 Million Counterfeit Check SchemeRead the Press Release
BOSTON – A Quincy man pleaded guilty today in federal court in Boston to a million-dollar bank fraud scheme in which he deposited hundreds of counterfeit checks.
Hui Zhang, 41, pleaded guilty to one count of bank fraud. U.S. District Court Judge Myong J. Joun scheduled sentencing for May 28, 2024. Zhang was arrested and charged by criminal complaint in September 2023.
From in or around June 2020 through at least May 2022, Zhang opened fraudulent bank accounts under false identities into which he electronically deposited approximately 114 counterfeit checks – totaling more than $1 million. The counterfeit checks were drawn on the account of a Boston-based retailer. Zhang subsequently withdrew hundreds of thousands of dollars in cash from these accounts via ATMs.
The charge of bank fraud provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $1 million, or twice the gross proceeds. 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 and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney William F. Abely, Chief of the Criminal Division is prosecuting the case.
Olean man arrested, charged with attempted production of child pornographyRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Greg Hirliman, 48, of Olean, NY, was arrested and charged by criminal complaint with attempted production of child pornography and transfer of obscene material to a minor, which carry a minimum penalty of 15 years in prison, and a maximum of 30 years.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that according to the complaint, in August 2021, the Olean Police Department received a report from a mother that her 12-year-old daughter (Victim 1) was contacted by Hirliman via text message, Facebook, and Facebook Messenger. Hirliman requested that Victim 1 send him naked photos of herself. In addition, Hirliman sent Victim 1 naked photos of himself, asked Victim 1 to meet him in person, and gave cigarettes to Victim 1. The Olean Police Department executed a search warrant for Facebook accounts associated with Victim 1 and Hirliman and requested assistance from Homeland Security Investigations to review the approximately 14,000 pages of data received from the execution of the search warrant. At the time, Hirliman was incarcerated in New York State on unrelated domestic violence charges. He was released on parole in January, 2024.
Hirliman made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and was detained.
The complaint is the result of an investigation by the Olean Police Department, under the direction of Chief Ron Richardson, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Ocala Gang Member Pleads Guilty to Possessing A Firearm as A Convicted FelonRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Clinton Darnelle Kaham (24, Ocala) has pleaded guilty to possessing a firearm as a convicted felon. Kaham faces a maximum penalty of 15 years in federal prison. A sentencing date has not yet been set.
According to court records, on July 6, 2022, officers from the Ocala Police Department discovered Kaham, a gang member, in possession of a loaded firearm. The firearm had previously been reported stolen out of Marion County. A subsequent FBI forensic analysis found very strong support that Kaham was the source of the DNA profile developed from the trigger, grip, frame, and trigger guard of the firearm. Kaham has a prior felony conviction for possession of heroin (2021). As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Hannah Nowalk.
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.
Ocala Convicted Felon Pleads Guilty to Interstate Threat to Kill and Lying in Attempted Firearm PurchaseRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Michael Guy Dambrosia (61, Ocala) has pleaded guilty to interstate transmission of a threat to injure and making a false statement in connection with the attempted purchase of a firearm. Dambrosia faces a maximum penalty of ten years in federal prison. A sentencing date has not yet been set.
According to court documents, on August 30, 2021, Dambrosia attempted to purchase a firearm from a local federally licensed firearms dealer. In completing the necessary paperwork to purchase the firearm, Dambrosia indicated that he was not a convicted felon even though he knew this to be false.
Later, on January 30, 2023, Dambrosia made an interstate telephone call to the victim’s office in Washington, D.C. and left an obscenity-laden, threatening voicemail stating that he would kill the victim.
This case was investigated by the United States Capitol Police – Threat Assessment Section and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Special Assistant United States Attorney Joe Wheeler III and Assistant United States Attorney Tyrie Boyer.
Nurse Practitioner Sentenced to 70 Months for Unlawful Drug DistributionRead the Press Release
ALBANY, NEW YORK – Danielle Simonson, age 52, of Fort Ann, New York, was sentenced today to 70 months in prison for distributing controlled substances outside the course of professional practice and for no legitimate medical purpose.
United States Attorney Carla B. Freedman; Special Agent in Charge Frank A. Tarentino III, U.S. Drug Enforcement Administration (DEA), New York Division; and Special Agent in Charge Naomi Gruchacz, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), Office of Investigations, made the announcement.
In previously pleading guilty, Simonson admitted that from at least January 2020 through October 2022, she unlawfully prescribed controlled substances to a total of 54 patients. Simonson issued hundreds of unlawful prescriptions, including for the opioids hydrocodone and oxycodone, benzodiazepines (clonazepam, diazepam, and lorazepam), and the stimulants amphetamine (e.g. Adderall) and methylphenidate. For instance, Simonson admitted that she issued a total of 63 oxycodone prescriptions to two residents of Suffolk County, New York, without treating either of them for a medical condition. The Suffolk County residents usually paid Simonson by mailing her packages of cash concealed within DVD cases.
United States District Judge Anne M. Nardacci also imposed a $10,000 fine and ordered Simonson to serve a 2-year term of supervised release following her term of imprisonment. Simonson has already surrendered her nurse practitioner and nursing licenses to the State of New York, and surrendered her DEA registration (which had allowed her to prescribe controlled substances).
In a separate civil settlement agreement with the U.S. Attorney’s Office, Simonson admitted that she improperly prescribed controlled substances to 105 patients (including the 54 listed in her criminal plea agreement), often without ever examining patients and maintaining medical records justifying her decision to prescribe controlled substances. Simonson paid $200,000 to settle claims that the United States could have brought against her pursuant to the Controlled Substances Act.
The DEA and HHS-OIG investigated the criminal case, with assistance from the New York State Bureau of Narcotic Enforcement.
Assistant U.S. Attorney Michael Barnett prosecuted the criminal case and Assistant U.S. Attorney Christopher R. Moran represented the United States in the civil matter.
North Charleston Man Sentenced to 28 Years in Federal Prison for Cocaine DistributionRead the Press Release
CHARLESTON, S.C. — Derrick Maurice Simpson, 33, of North Charleston, was sentenced to 28 years in federal prison after pleading guilty to conspiracy to distribute cocaine.
Evidence presented to the court showed that beginning in 2020, Simpson arranged shipments of kilograms of cocaine from Harlingen, Texas to various locations throughout the Charleston area. Agents and Task Force Officers with the Drug Enforcement Administration’s (DEA) Charleston Resident Office learned that with the assistance of his co-conspirators, Simpson would transport drug proceeds to Texas, where he would then arrange for parcels, typically in groups of three or four at a time and containing one kilogram of cocaine each, to be shipped via the United States Postal Service back to Charleston. During the investigation, law enforcement seized approximately eight and a half kilograms of cocaine and $195,000 in cash drug proceeds. Law enforcement estimates that Simpson and his co-conspirators shipped approximately 50 kilograms of cocaine into the Charleston area during the conspiracy.
United States District Judge David C. Norton sentenced Simpson to 336 months imprisonment, to be followed by a 10-year term of court-ordered supervision. There is no parole in the federal system.
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. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was investigated by the Drug Enforcement Administration (DEA), Homeland Security Investigations (HSI), the United States Postal Inspection Service (USPIS), the South Carolina Law Enforcement Division (SLED), the Charleston County Sheriff’s Office (CCSO), the City of Charleston Police Department (CPD), the Berkeley County Sheriff’s Office (BCSO), the Dorchester County Sheriff’s Office (DCSO), the Town of Summerville Police Department (SPD), the North Charleston Police Department (NCPD), the Mount Pleasant Police Department (MPPD), and the South Carolina Highway Patrol (SCHP).
Assistant U.S. Attorney Whit Sowards is prosecuting the case.
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New York Man Convicted by Jury of Sex Trafficking a Minor and Forced LaborRead the Press Release
BOSTON – A New York man was convicted yesterday by a federal jury in Boston of sex trafficking a minor and forcing her to work at a strip club for his financial benefit.
Sherriff Cooper, 37, was convicted of sex trafficking of a minor by force, fraud and coercion; transportation of a minor with intent to engage in criminal sexual activity; and forced labor. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for June 5, 2024. Cooper was indicted by a federal grand jury in June 2021.
“Justice was served here. Mr. Cooper abused his position of trust to violently exploit an innocent 15-year-old girl for his own financial benefit. The repeated violence and trauma he inflicted on the victim would be unimaginable if it wasn’t all so shockingly real. No verdict can erase the pain he caused, but we hope the young victim in this case and entire survivor community know that this Office will do everything in its power to hold dangerous predators accountable, and that this particular defendant will be off the streets for many years,” said Acting United States Attorney Joshua S. Levy. “This conviction does not happen without a tremendous, sustained effort by federal, state and local law enforcement partners who dedicate their professional lives to protect our children and ensure that exploitative traffickers like Mr. Cooper are held accountable.”
“The criminal acts that Sherriff Cooper were convicted of are stomach-churning,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Using physical threats to control another human being, to force them into sexual servitude, is unconscionable. It was imperative that FBI Boston’s Child Exploitation – Human Trafficking Task Force take him off the street. Unequivocally, our community is safer with Mr. Cooper behind bars, locked away where he can’t victimize anyone else’s child.”
In 2017, Cooper was working as a security guard at a residential program for pregnant teens when he met the victim, who was then 15 years old. He began a sexual relationship with her and, in early 2018, Cooper began sex trafficking the victim around Boston, posting advertisements for her on commercial sex websites and taking all the proceeds. He used violence, threats of violence and coercion to make the victim engage in commercial sex for his financial benefit.
Cooper transported the victim across state lines to sex traffic her in New York. While in New York, Cooper obtained a fake ID for the minor victim and forced her to strip at a club – again, keeping all the proceeds for himself. Cooper continued to use threats of violence, violence and coercion to keep the victim working at the club for his financial benefit.
If you or someone you know may be impacted or experiencing commercial sex trafficking, please contact [email protected].
The charge of sex trafficking of a minor by force, fraud and coercion provides for a sentence of a least 15 years and up to life in prison, up to five years of supervised release and a fine of up to $250,000. The charge of transportation of a minor with the intent to engage in criminal sexual activity provides for a mandatory minimum sentence of 10 years and up to life in prison, up to five years of supervised release and a fine of up to $250,000. The charge of forced labor provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting U.S. Attorney Levy and SAC Cohen made the announcement. Special assistance was provided by the FBI New York Field Division and the Malden Police Department. Assistant U.S. Attorneys Torey B. Cummings, Stephen W. Hassink and Lauren A. Graber of the Criminal Division are prosecuting the case.
Naples Man Sentenced to 12 Years in Federal Prison for Distributing Child Sexual Abuse VideosRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber today sentenced Dominic Lawrence Carsi (34, Naples) to 12 years and 6 months in federal prison for distributing videos depicting the sexual abuse of a child. The court also sentenced Carsi to a term of supervised release for life and ordered him to register as a sex offender. Carsi had entered a guilty plea on October 31, 2023.
According to court documents, on February 27, 2023, Carsi distributed videos of young children being sexually abused through his social media account to an undercover agent with Homeland Security Investigations (HSI) located in Minnesota. Using the chat function in another social media app, Carsi wrote to the undercover agent that he had plenty more.
On April 11, 2023, agents with HSI in Fort Myers executed a search warrant for Carsi’s residence and seized Carsi’s cellphone and computer. The subsequent forensic examination of the devices revealed more than 600 images and over 570 videos depicting the sexual abuse of children.
On April 11, 2023, during an interview with agents, Carsi admitted that he watched and downloaded child sex abuse material. Carsi remembered the conversation with the undercover agent, and he admitted that he sent a video of a baby and another video of a four-year-old child being sexually abused.
This case was investigated by Homeland Security Investigations, a member of the Southwest Florida Inter-Agency Child Exploitation and Persons Trafficking (INTERCEPT) Task Force, which also includes Collier County Sheriff’s Office and Customs and Border Protection Air and Marine Operations. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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.
Montgomery County Man Charged with Receipt and Possession of Child PornographyRead the Press Release
ALBANY, NEW YORK – Francis T. DiCaprio, age 29, of Amsterdam, New York, was ordered detained today on charges that he received and possessed child pornography, announced United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
According to a criminal complaint, on February 15, 2024, DiCaprio possessed a phone that contained numerous electronic files depicting the sexual abuse of children. The complaint also alleges that the phone contained a conversation on an encrypted instant messaging service wherein the apparent owner of the device solicited and received child pornography files. The charges in the criminal complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
If convicted of the charges in the complaint, DiCaprio faces at least 5 years and up to 20 years in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. DiCaprio may also be ordered to pay restitution to the victims of his offenses and forfeit the device used in the offenses. DiCaprio would also have to register as a sex offender upon his release from prison.
The case is being investigated by FBI Albany’s Child Exploitation Task Force, which includes FBI Special Agents and investigators from state and local law enforcement agencies.
Assistant U.S. Attorneys Mikayla Espinosa and Allen J. Vickey are prosecuting this case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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.
Mobile Man Sentenced to 51 Months of Prison for Being a Felon in Possession of a FirearmRead the Press Release
MOBILE, AL – A Mobile, Alabama man was sentenced today to 51 months of prison for being a felon in possession of a firearm.
According to court documents, William Corey Sanders pled guilty to three counts of being a felon in possession of a firearm. Sanders unlawfully possessed three different firearms on three different dates. Today, United States District Judge Terry F. Moorer sentenced Sanders to 51 months in the custody of the Bureau of Prisons. The term of imprisonment will be followed by a 3-year term of supervised release.
U.S. Attorney Sean Costello of the Southern District of Alabama made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Alabama Law Enforcement Agency, and the Mobile County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Tandice Blackwood prosecuted the case on behalf of the United States.
Mexican Citizen Sentenced to Ten Years in Prison for Role in Methamphetamine ConspiracyRead the Press Release
United States Attorney Susan Lehr announced that Jean Ferrer Leyva-Pazos, 21, of Sinaloa, Mexico, was sentenced March 1, 2024, in federal court in Lincoln, Nebraska for conspiracy to distribute and possession with intent to distribute 500 grams or more of methamphetamine and fentanyl. Senior United States District Court Judge John M. Gerrard sentenced Leyva-Pazos to 120 months’ imprisonment. There is no parole in the federal system. After Leyva-Pazos’ release from prison, he will begin a 5-year term of supervised release.
Operating from at least June 2021 until October 2022, Leyva-Pazos and others were responsible for trafficking meth into the state. Officers from a variety of local, state, and federal agencies pieced the conspiracy together using electronic evidence, surveillance, and search warrants.
Together, the conspirators distributed over 500 grams of a mixture or substance containing meth. On February 23, 2022, officers obtained a search warrant for a residence in Lexington, Nebraska, where the defendant and additional co-conspirators were staying. Leyva-Pazos was found in the basement of the residence with a duffle bag containing nearly eleven ounces of meth, items consistent with narcotic packaging, and over two thousand dollars. Searches at additional locations in the Lexington area netted additional meth and currency from other co-defendants.
This case was investigated by the CODE Drug Task Force, Lexington Police Department, Dawson County Sheriff’s Office, the Nebraska State Patrol, the Federal Bureau of Investigation.
Memphis Residents Sentenced for Conspiracy to Commit Federal Firearm OffensesRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jemarcus Maquel Williams, age 32, and Anfernee Deshon Sherrod, age 30, both of Memphis, Tennessee, were each sentenced to 60 months in prison for conspiring to violate federal firearms offenses, including unlawful possession of a silencer and unlawful possession of non-serialized firearm.
The charges arose from investigations by the Sequoyah County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On June 1, 2023, Williams, Sherrod, and Andria Victoria Dowdy each entered guilty pleas to one count of Conspiracy to violate federal firearms offenses. According to investigators, the trio conspired to obtain firearms in the State of Oklahoma. On December 29, 2021, Sequoyah County Sheriff’s deputies initiated a traffic stop of Williams and Sherrod on I-40 in Sequoyah County. Law enforcement ultimately discovered Williams and Sherrod in possession of six firearms with large capacity magazines and an unserialized silencer. At the time of the possession, Sherrod had been convicted of a crime punishable by a term of imprisonment exceeding one year.
Sentencing for co-Conspirator Dowdy is currently set for March 12, 2024.
The Honorable Keith Starrett, U.S. District Judge in the United States District Court for the Southern District of Mississippi, sitting by assignment, presided over the hearings in Muskogee. Williams and Sherrod were remanded to the custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve their non-paroleable sentences of incarceration.
Assistant United States Attorney Edith Singer represented the United States.
Massachusetts Man Pleads Guilty to Supplying Drug Trafficking Biddeford Couple with FentanylRead the Press Release
PORTLAND, Maine: A Massachusetts man pleaded guilty today in U.S. District Court in Portland to possessing fentanyl with intent to distribute.
According to court records, in August 2023, law enforcement encountered Darwin Mateo, 24, while executing a search warrant at the Biddeford residence of Michael and Jessica Bolster. Investigators discovered two large bundles of a mixture or substance containing fentanyl inside the residence. One bundle was located inside a backpack in a locked bedroom. The other bundle was discovered hidden at the bottom of the stairwell, a few inches from where investigators located Mateo. Each bundle contained numerous individual baggies, totaling approximately 541 grams. Mateo admitted to investigators that the backpack was his, and that he had traveled from Massachusetts to Maine to distribute the fentanyl.
Darwin Mateo faces up to 20 years in prison and a fine up to $1 million, followed by a minimum of three years and up to a lifetime of supervised release. Michael Bolster pleaded guilty on January 18, 2024, for his role in the trafficking conspiracy and faces 5-40 years in prison. Jessica Bolster pleaded guilty on February 21, 2024, and faces up to 20 years. Each of the three defendants will be sentenced after the completion of a presentence investigative report by the U.S. Probation Office. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Drug Enforcement Administration investigated the case.
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Long Island Man Sentenced to 18 Years in Prison for Armed Bank RobberyRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Quincy Homere was sentenced by United States District Judge Gary R. Brown to 18 years in prison for his role as the mastermind of a November 9, 2015 armed takeover bank robbery of a Wells Fargo Bank branch in Hempstead, New York, which netted Homere and his co-conspirators more than $375,000 in proceeds. Homere pleaded guilty in December 2017 to armed bank robbery and brandishing a firearm during a crime of violence.
Breon Peace, United States Attorney for the Eastern District of New York, James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the sentence.“Homere has been held accountable for committing a violent bank robbery while brandishing an assault rifle, terrorizing the employees and customers, including an elderly woman and young child—actions that easily could have resulted in the loss of life either inside the bank or to the brave responding officers,” stated United States Attorney Peace. “Homere has now learned that the true payoff for robbing a bank is a long-term stay in prison.”
Mr. Peace thanked the Hempstead Police Department and the Suffolk County Police Department for their assistance on the case.
"The sentencing of defendant Quincy Homere for an armed robbery in Hempstead should set an example to anyone considering a similar crime that law enforcement and its partners will never stop and will continue with their investigations until the subject(s) are apprehended. Our communities are safer with defendant Homere incarcerated. Congratulations to all the dedicated investigators and their agencies for a job well done," stated NCPD Commissioner Ryder.
On November 9, 2015, following extensive planning, Homere and his co-conspirators, including Anael Sainfil, executed the robbery of a Wells Fargo Bank branch on Fulton Avenue in Hempstead, New York. Homere entered the bank brandishing an AK-47 rifle accompanied by three armed co-conspirators, while a fourth co-conspirator stood guard. An armed takeover of the bank ensued. Tellers and customers, including an 8-year-old boy, were zip-tied and held captive, as the bank’s vault was emptied of over $375,000. A fifth co-conspirator monitored encrypted NCPD police radio frequencies in an effort to facilitate the defendants’ escape.
Homere was unaware that a teller had placed a wireless GPS tracker with the stolen money. Hempstead Police Department officers initiated a chase of the getaway vehicle that ended with the arrest of one of the co-conspirators that day and recovery of most of the bank proceeds.
In November 2016, Homere was arrested in Miami, Florida following an investigation by the FBI, NCPD and SCPD.
Co-defendant Sainfil was arrested in December 2016 by members of the FBI and SCPD. In January 2018, Sainfil was convicted by a federal jury of conspiracy to commit armed bank robbery and brandishing firearms during a crime of violence. He was sentenced on February 26, 2020 to 219 months’ imprisonment for his role as a lookout in the robbery.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Mark E. Misorek and Erin Reid are in charge of the prosecution.
The Defendant Sentenced Today:
QUINCY HOMERE
Age: 38
Hempstead, New YorkThe Defendant Previously Sentenced: ANAEL SAINFIL
Age: 38
Bay Shore, New YorkE.D.N.Y. Docket No. 16-CR-652 (S-1) (GRB)
Lincoln Man Sentenced to 20 Years for Possession of a Machine Gun and MarijuanaRead the Press Release
United States Attorney Susan Lehr announced that Detrick Anthony Michael Smith, 32, of Lincoln, Nebraska, was sentenced on March 1, 2024, in federal court in Lincoln, Nebraska for possession of marijuana with the intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime. Senior United States District Court Judge John M. Gerrard sentenced Smith to 20 years’ imprisonment. There is no parole in the federal system. After Smith’s release from prison, he will begin a 5-year term of supervised release. Smith pleaded guilty the charges on October 19, 2023.
Officers with the Lincoln Police Department executed a search warrant at the Smith’s apartment in Lincoln, Nebraska on April 6, 2022. The police located almost 3,500 grams of marijuana in the kitchen and bedroom area of the apartment. The marijuana was divided into numerous bags consistent with packaging for resale. The police also located digital scales, a heat sealer, a money counter, promethazine-codeine bottles, items containing THC, and a small quantity of cocaine. In the bedroom closet, the police located a duffel bag which contained two handguns. The two handguns were a Glock model 19, 9mm handgun with a loaded magazine, but with an empty chamber, and a Glock model 20, 10mm handgun loaded with an extended magazine, but with an empty chamber. The Glock model 20 had been modified with an aftermarket piece, commonly referred to as a “switch,” which illegally modified the gun to be able to fire fully automatic, rather than just semi-automatic. This illegal modification of the firearm to a machine gun was a significant factor in Smith’s sentence. Smith was home at the time of the search. Police located $11,624 in United States currency on Smith’s person.
This case was investigated by the Lincoln Police Department and the Federal Bureau of Investigation.
Lincoln Man Sentenced to 11 Years in Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Susan Lehr announced that Alphonso Johnson, Jr., 46, of Lincoln, Nebraska, was sentenced on March 1, 2024, in federal court in Lincoln for conspiracy to distribute methamphetamine. Senior United States District Judge John M. Gerrard sentenced Johnson Jr. to 132 months’ imprisonment. There is no parole in the federal system. After Johnson Jr.’s release from prison, he will begin a 5-year term of supervised release.
On August 10, 2022, Lincoln/Lancaster County Narcotics Task Force (LLCNTF) served a search warrant, at the home of Stacey Vanarsdale, a co-defendant in this case. Johnson Jr. was found in a bedroom within the residence. In the bedroom closet, investigators located a total of 365.9 grams of suspected meth, which was separated in 12-ounce quantity baggies. In the closet was $217.00 in U.S. currency and additional illegal narcotics. The suspected meth was sent to the lab, and the lab determined that there was about 346.35 grams of meth, of which at least 180 grams was actual meth. The co-defendant, Stacey Vanarsdale, is currently set to be sentenced on May 30, 2024.
This case was investigated by the Lincoln/Lancaster County Narcotics Task Force (LLCNTF).
Le Défendeur Accusé Pour Une Escroquerie Ciblant La Ommunauté Haïtienne-Américaine A Été Condamné À Une Peine De 24 Mois De PrisonRead the Press Release
Plus tôt dans la journée, au palais de justice fédéral de Brooklyn, Frantz Simeon a été condamné par le juge de district américain Brian M. Cogan à 24 mois de prison pour avoir mis en place une escroquerie en utilisant sa société, First Black Enterprises, Inc. et cibler des membres de la communauté haïtienne-américaine de Brooklyn et du Queens. Dans le cadre de la sentence, Simeon a été condamné à payer plus de 200 000 $ de dédommagement. L'accusé a plaidé coupable de fraude postale en février 2023.
Breon Peace, procureur des États-Unis pour le district est de New York, et Daniel B. Brubaker, inspecteur en charge, Service d'inspection postale des États-Unis (USPIS), ont annoncé la sentence.
« Aujourd'hui, Frantz Simeon a mesuré les conséquences de l'exploitation de sa réputation de personne de confiance au sein de la communauté haïtienne-américaine », a déclaré le procureur des États-Unis Peace. « Siméon a attiré ses victimes avec de fausses promesses de retours sur investissements substantiels pour détourner les sommes à son propre bénéfice, jusqu'à ce que son stratagème s'effondre. Ce bureau poursuivra sans relâche les auteurs d’escroquerie par affinité et cette affaire est un signal fort pour ceux qui veulent investir, de se méfier des membres de leur propre communauté qui proposeraient des investissements trop beaux pour être vrais. »
« Les inspecteurs des postes se consacrent à enquêter sur les stratagèmes d’escroquerie de victimes innocentes tout en profitant du la poste officielle U.S. Mail. L'USPIS s'engage à protéger et à informer en permanence le public sur la manière d'éviter ce type de stratagèmes », a déclaré l'inspecteur Brubaker en charge de l'USPIS. « Simeon a ciblé des individus de sa propre communauté à son propre bénéfice financier. Si une opportunité apparait trop belle pour être vraie, c'est probablement le cas ! »
Entre février 2019 et décembre 2020, Simeon a orchestré une escroquerie dans lequel il a faussement vanté son expérience dans les affaires et son sens du commerce, incitant les investisseurs à investir avec lui sur la base de promesses prétendument sans risque et qui généreraient des rendements mensuels de 10 %. Simeon s'est spécifiquement adressé aux haïtiens-américains résidant à Brooklyn et dans le Queens, tirant parti de ses relations dans la communauté pour générer plus de 350 000 $ d'investissements liés à ses fausses assurances. Contrairement à ses promesses, Simeon n’a mené que peu ou pas d'activités commerciales ou d'investissement réels, utilisant l'argent des nouveaux investisseurs pour simuler les paiements des intérêts mensuels aux investisseurs précédents dans ce qu’on appelle communément une pyramide de Ponzi. Ces prétendus paiements d'intérêts étaient conçus pour dissimuler la fraude et drainer de nouveaux investissements, dont Siméon avait besoin pour poursuivre le stratagème. De plus, Simeon a détourné des milliers de dollars de fonds d'investisseurs à son profit personnel, y compris l'achat d'une voiture pour sa fille et des retraits en espèces de plus de 60 000 $. Les victimes de Simeon, qui étaient en grande partie des immigrants, ont finalement subi des pertes de plus de 200 000 $ à la suite de cette escroquerie.
Le cas poursuivi par le gouvernement est traité par la section des fraudes commerciales et aux valeurs mobilières du Bureau. Le procureur adjoint des États-Unis, Dylan A. Stern, est chargé des poursuites.
Le Défendeur:
Frantz Siméon
Âge: 67
Brooklyn, New YorkEDNY Numéro de dossier 21-CR-479 (BMC)
Laurel Man Sentenced to 53 Months in Federal Prison for Unemployment Insurance Fraud Scheme Involving More Than $1.5 Million in LossesRead the Press Release
Baltimore, Maryland – U.S. District Judge Brendan A. Hurson sentenced Michael Akame Ngwese Ay Makoge, a/k/a “Hype” and “2Hype”, age 29, of Laurel, Maryland, yesterday to 53 months in federal prison, followed by three years of supervised release, for a wire fraud conspiracy and for aggravated identity theft, related to a Maryland and California unemployment insurance (“UI”) fraud scheme totaling more than $1.5 million. Judge Hurson also ordered Makoge to forfeit over $297,400 and to pay restitution of $2,094,319.
Co-defendant Christian Malik Adrea, a/k/a “Leak,” “Lil Leak,” age 26, of Mitchellville, Maryland, pleaded guilty on February 26, 2024, to conspiracy to commit wire fraud, wire fraud, and aggravated identity theft for his role in the fraud scheme.
The sentence and guilty plea were announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Postal Inspector in Charge Ajay Lall of the U.S. Postal Inspection Service - Washington Division (USPIS); Special Agent in Charge Troy W. Springer of the National Capital Region, U.S. Department of Labor - Office of Inspector General (DOL-OIG); Chief Amal E. Awad of the Anne Arundel County Police Department; Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore; Colonel Roland L. Butler, Jr., Superintendent of the Maryland State Police (MSP); and Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division.
According to his plea agreement, from March 2020 to October 2021, Makoge and his co-conspirators impersonated victims to submit fraudulent claims for pandemic-related UI benefits in Maryland and California. As part of the scheme, Makoge and his co-conspirators obtained the birthdates, social security numbers, and other personal identifying information (“PII”) of numerous victims which they used to prepare and submit fraudulent applications for UI benefits. The applications contained false information, including the victims’ contact information, states of residence, and availability for work. These fraudulent applications caused financial institutions to load UI benefits onto debit cards and mail the cards to physical addresses provided and monitored by Makoge and his co-conspirators. Once Makoge and his co-conspirators received the fraudulently obtained benefits on the debit cards, they used them for cash withdrawals and other transactions for their own financial benefit.
A search at Makoge’s residence on February 16, 2021, recovered 11 UI debit cards in the names of six victims from the bedroom. Makoge, Adrea, and another co-conspirator were present at the time of the search. The investigation also revealed numerous text messages between Makoge and his co-conspirators, including Adrea, exchanging the PII of victims and discussing the execution of the UI fraud scheme.
Adrea’s phone was also seized during the search and in the notes section, he had the name, date of birth, and social security number of 22 victims. The total loss of funds tied to these victims in the notes as well as those sent via text message totaled $195,556 and involved over 45 different fraudulent UI claims.
Further, Makoge made numerous ATM withdrawals using the identities of victims, personally obtaining at least $35,540 as a result of his participation in the scheme. UI records revealed that the Adrea and his co-conspirators are connected to multiple UI profiles of actual victims whose identities were used to open accounts and obtain benefits without their permission. These victims are also tied to texts and calls between Adrea and his co-conspirators over several months. In all, Makoge, Adrea, and their co-conspirators submitted more than 200 fraudulent UI claims using the names and PII of victims, resulting in more than $1.6 million in losses.
Of the 11 defendants charged in this fraud scheme, five, including Makoge and Adrea, have now pleaded guilty and two, Makoge and Dementrous Smith, have been sentenced.
Adrea and the government have agreed that, if the Court accepts his plea, Adrea will be sentenced to 65 months in federal prison. U.S. District Judge Brendan A. Hurson has scheduled sentencing for May 30, 2024
The District of Maryland Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the USPIS, DOL-OIG, the Anne Arundel County Police Department, HSI, MSP, and ATF, for their work in the investigation. Mr. Barron thanked the United States Marshals Service, the Prince George’s County Police Department, the Montgomery County Police Department, the Washington, D.C. Metropolitan Police Department, and the Charles County Sheriff’s Office for their assistance. Mr. Barron thanked Assistant U.S. Attorney Colleen Elizabeth 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 and https://www.justice.gov/usao-md/community-outreach.
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Last-minute plea entered in cocaine conspiracyRead the Press Release
BROWNSVILLE, Texas – A 45-year-old Brownsville resident has admitted to his role in the distribution of dozens of kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.
Raul Dominguez-Vega, 45, was set to begin trial March 4. He has now entered a plea of guilty to possession with intent to distribute cocaine and conspiracy to do so.
Dominguez-Vega was part of an on-going drug conspiracy involving several individuals packaging and distributing cocaine coming from Mexico. Cocaine would arrive from Mexico and be stored, re-packaged and wrapped in “shrink-wrap” in a shed located in Dominguez-Vega’s residence. It was then distributed to northern locations such as Houston, Ohio and Louisiana.
Law enforcement conducted surveillance and made several seizures during the course of the investigation. Two of those occurred Jan. 25 and 31, 2020, when they successfully seized nearly 10 and 23 kilograms of cocaine, respectively. Prior to the second seizure, bags of cocaine had been loaded into a vehicle at Dominguez-Vega’s residence. It was on its way to Houston before authorities at the Sarita Border Patrol (BP) checkpoint discovered the bundles inside a tractor trailer.
U.S. District Judge Rolando Olvera will impose sentencing May 22. At that time, Dominguez-Vega faces a minimum of 10 years and up to life in prison as well as a possible $5 million fine.
He was permitted to remain on bond pending that hearing.
T0 date, six others have been convicted in relation to the conspiracy.
Homeland Security Investigations, Cameron County District Attorney’s Investigation Unit and Drug Enforcement Administration conducted the investigation with the assistance of BP, Combes and Brownsville Police Departments and the Victoria County Sheriff’s Office. Assistant U.S. Attorney Oscar Ponce is prosecuting the case.
Keshena Man Indicted for Aggravated Assault and Domestic Violence Offenses on the Menominee Indian ReservationRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 27, 2024, a federal grand jury returned a two-count indictment charging Arrelio R. Escalante (age 36) of Keshena, Wisconsin, with aggravated assault and domestic violence on the Menominee Indian Reservation.
The indictment charged Escalante as follows:
COUNT
DATE
CHARGE
PENALTY
One
On or about February 8, 2024
Assault Resulting in Serious Bodily Injury, 18 U.S.C. §§ 113(a)(6) and 1153(a)
Up to 10 years in prison, up to $250,000 fine
Two
On or about February 8, 2024
Domestic Assault by Strangulation, 18 U.S.C. § 113(a)(8) and 1153(a)
Up to 10 years in prison, up to $250,000 fine.
Escalante also faces terms of supervised release and special assessments of $100 per count if convicted.
According to filed court documents, on or about February 8, 2024, Escalante allegedly assaulted a woman with whom he had a domestic relationship by punching her, attempting to strangle her, and strangling her to the point of unconsciousness. The woman suffered serious bodily injuries including severe bruising and a broken nose as a result of the assault, which occurred at a residence on the Menominee Indian Reservation.
The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case. Assistant United States Attorney Andrew J. Maier will prosecute the case in the U.S. District Court in Green Bay.
An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt.
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Keokuk Man Sentenced to 720 Months for Child Pornography ChargesRead the Press Release
DAVENPORT, Iowa – A Keokuk man was sentenced on February 27, 2024 to 720 months in federal prison for Producing, Receiving, and Possessing Child Pornography.
According to public court documents and evidence presented at sentencing, on or about December 21, 2021, a minor was reported missing from the Keokuk area. Law enforcement identified Christopher Douglas Black, 45, as an individual with knowledge relating to the missing minor. The missing minor was found with Black in Minnesota. Following Black’s arrest, a forensic review of Black’s cell phone was conducted and revealed child sexual assault materials.
Following his term of imprisonment, Black will be required to serve ten years of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Federal Bureau of Investigation.
This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nation-wide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Kenton County Man Sentenced to 181 Months for Armed Trafficking of a Fentanyl AnalogueRead the Press Release
COVINGTON, Ky. – A Latonia, Ky., man, Marcos A. Garcia, 25, was sentenced on Friday, to 181 months in federal prison, by U.S. District Judge David Bunning, for conspiracy to distribute 10 grams or more of a fentanyl analogue, possession of 10 grams or more of a fentanyl analogue, and possession of a firearm in furtherance of drug trafficking.
According to his plea agreement, from February 1, 2021 through March 1, 2023, Garcia conspired with Kayla Vance, his co-defendant, to distribute controlled substances, including marijuana and more than 10 grams of a fentanyl analogue. On February 2, 2023, law enforcement used an informant to purchase pressed tablets from Garcia. Those tablets contained flurofentanyl, a powerful analogue of fentanyl. After making a second purchase of pressed tablets, on March 1, 2023, law enforcement executed a search warrant on a house shared by Garcia and Vance, where they found a handgun, 67 tablets of fentanyl, a pound of marijuana, other tablets, cash, and 11 uninstalled machinegun conversion devices.
Garcia admitted to law enforcement that he and Vance had been robbed of drugs and money on a prior occasion, so the handgun was for protection of his family and the drugs located in the residence.
Kayla Vance was previously sentenced to 51 months in prison, followed by four years of supervised release.
Under federal law, Garcia 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 five years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division, jointly announced the sentences.
The investigation was conducted by ATF and the Northern Kentucky Drug Strike Force. Assistant U.S. Attorney Tony Bracke is prosecuting the case on behalf of the United States.
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KC Man Sentenced to 25 Years for Illegal Sex with a Minor, Child PornographyRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man has been sentenced in federal court for illegally enticing a child victim to engage in illicit sexual activity and for receiving child pornography.
Anthony Byron Marshall, 31, was sentenced by U.S. District Judge Roseann A. Ketchmark on Wednesday, Feb. 28, to 25 years in federal prison without parole. The court also sentenced Marshall to spend the rest of his life on supervised release following incarceration. Marshall will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life.
On July 25, 2023, Marshall pleaded guilty to one count of enticing a minor to engage in illegal sexual activity and four counts of receiving child pornography.
In May 2021, FBI agents learned Marshall had been texting with the subject of another child pornography investigation. In one text, Marshall requested images of child pornography, and received a MEGA link. FBI investigators located the MEGA link, which contained 15 images and 89 videos of known child pornography and 70 images and 1,401 videos of suspected child pornography.
On Oc.t 19, 2021, federal agents executed a search warrant at Marshall’s residence. Agents seized a number of electronics, including Marshall’s iPhone. Investigators found sexually explicit communications between Marshall and two juvenile females, ages 13 and 17, as well as sexually explicit videos that each of the victims had sent to Marshall. Investigators interviewed the child victims, who reported several instances of illegal sexual activity with Marshall.
According to court documents, Marshall called one of the child victims after he had been contacted by law enforcement. He told her not to say anything to the police. Marshall also contacted her through his Facebook page after she had been contacted by law enforcement.
This case prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Justice Department Informs City of Lexington and Lexington Police Department That Automatically Jailing People for Unpaid Fines Violates ConstitutionRead the Press Release
WASHINGTON – The Justice Department sent a letter today to the City of Lexington, Mississippi, and the Lexington Police Department (LPD) raising significant concerns regarding their practice of jailing people for unpaid fines without first assessing whether they can afford to pay them.
Specifically, the department informed the City and LPD that their practice violates the Constitution’s prohibition on wealth-based detention in two ways: first, by requiring people who are arrested to pay down outstanding fines before they can be released from jail, and second, by issuing and arresting people on warrants for outstanding fines.
Today’s letter is a part of the Justice Department’s ongoing civil pattern or practice investigation into the City of Lexington and LPD. The investigation, opened on Nov. 8, 2023, seeks to determine whether there are systemic violations of the Constitution and federal law related to use of force; stops, searches and arrests; discriminatory policing and the right to free speech. Although the investigation continues, the Justice Department determined that it was critically important to identify these violations now rather than waiting until the conclusion of the inquiry.
“It’s time to bring an end to a two-tiered system of justice in our country in which a person’s income determines whether they walk free or whether they go to jail,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Unjust enforcement of fines and fees is unlawful, and it traps people and their families in a vicious cycle of poverty and punishment. There is great urgency underlying the issues we have uncovered in Mississippi, and we stand ready to work with officials to end these harmful practices and ensure the civil and constitutional rights of Lexington residents are protected.”
“One third of Lexington’s residents live below the poverty line. The burden of unjust fines and fees undermines the goals of rehabilitation and erodes the community’s trust in the justice system,” said U.S. Attorney Todd W. Gee for the Southern District of Mississippi. “Each step we take towards fair and just policing rebuilds that trust. Lexington and LPD can take those steps now, while our investigation is ongoing.”
Justice Department officials met with city and police leaders earlier today about their unlawful practice, which investigators identified during its ongoing investigation. Lexington officials have pledged to work with the Justice Department to ensure that the collection of fines and fees complies with legal requirements.
On April 20, 2023, the Justice Department issued a Dear Colleague Letter on Fines and Fees explaining that before a person can be imprisoned for failure to pay a fine or fee, the Constitution requires courts to first determine whether the person lacks the resources to pay. In most circumstances, if a person cannot afford to pay, imprisonment for unpaid fines or fees is unlawful.
Additional information about the Justice Department’s Civil Rights Division is available on its website at www.justice.gov/crt. Information specific to the Civil Rights Division’s police reform work can be found at www.justice.gov/crt/file/922421/download.
Judge Sentences District Man to 32 Years in Prison for 2018 Stabbing in SoutheastRead the Press Release
WASHINGTON – Marquette Jordan, 32, of Washington, D.C., was sentenced today to 32 years in prison and five years of supervised release for the April 2018 fatal stabbing of 48-year-old Ivan Lynch in Southeast D.C., announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD). A jury returned guilty verdicts, in December 2023, on charges of second-degree murder while armed, carrying a dangerous weapon, and assault.
According to the government’s evidence, on April 30, 2018, the victim, Ivan Lynch, who had just attended a birthday celebration for himself, left the party and was going to meet up with a friend at his apartment. On the way to the friend’s apartment, Mr. Lynch picked up the defendant Marquette Jordan, the defendant’s girlfriend, the girlfriend’s two young children, and a childhood friend of the defendant.
Once inside the apartment, a verbal altercation occurred between Jordan and his girlfriend in front of her two young children. Mr. Lynch intervened and reportedly told the defendant that that is not how we treat women. Jordan and Mr. Lynch then engaged in a verbal dispute resulting in a physical fight between the two men inside the apartment. During the fight, Jordan grabbed a butcher knife from the kitchen and stabbed Mr. Lynch once in the shoulder, twice in the heart, and three times in the back. After stabbing Mr. Lynch, Jordan then continued to physically assault his girlfriend, threatened to kill her, and charged at her with a knife. The girlfriend grabbed a pillow and fled the apartment without her shoes, and leaving behind her minor children until she returned later that day.
The defendant went through the victim’s pockets before leaving the apartment. School surveillance captured Jordan walking with the two children after the homicide. He was stopped outside by MPD officers shortly after leaving the apartment and law enforcement officers found Mr. Lynch’s keys and his blood on Jordan’s pants and shirt. The murder weapon, the butcher knife, was never recovered. Officers also found Mr. Lynch’s cell phone discarded in an area where the defendant was observed walking, according to surveillance footage in the area. Mr. Lynch’s wallet was mailed from a nearby school to the address on his driver’s license.
In sentencing the defendant, Superior Court Judge Rainey Brandt agreed with the government that the circumstances warranted a departure above the D.C. Superior Court Voluntary Sentencing Guidelines.
This case was investigated by the Metropolitan Police Department.
This case was prosecuted by Assistant U.S. Attorneys Natalie M. Hynum and Omeed A. Assefi of the U.S. Attorney’s Office for the District of Columbia. Valuable assistance was provided by Assistant U.S. Attorneys Emma McArthur, Marybeth Manfreda, and Richard Barker as well as Grazy Rivera, Kelly Blakeney, Meridith McGarrity, Charlie Bruce, Tracy Owusu, Zachary McMenamin, Karina Hernandez, Katina Adams Washington, Maenylie Watson, and Robert Cephas.
Ithaca Man Sentenced to 156 Months on Drug ConvictionsRead the Press Release
SYRACUSE, NEW YORK – Odell, Tindley, age 31, of Ithaca, New York was sentenced yesterday to serve 156 months (13 years) in federal prison for conspiring to distribute and possess with intent to distribute controlled substances (methamphetamine and cocaine) in Watertown, New York.
United States Attorney Carla B. Freedman; Matthew Scarpino, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo, New York Field Office; and Jefferson County District Attorney Kristyna S. Mills made the announcement.
As part of his previous guilty plea, Tindley admitted that he distributed 83 grams (over two ounces) of cocaine in Watertown on May 25, 2021, and arranged for delivery of a large quantity of methamphetamine later the same day. Investigators of the Metro-Jefferson Drug Task Force interdicted a car driven by a coconspirator of Tindley as it entered Watertown late in the evening of May 25, 2021. A search of this vehicle resulted in the recovery of 904 grams (just under 32 ounces) of methamphetamine and approximately a pound of marijuana.
Tindley was also sentenced to a 5-year term of supervised release following completion of his federal prison sentence.
At the time of his arrest on his federal drug charges, Tindley was residing in Watertown as part of a mandated pre-sentence drug rehabilitation program stemming from his guilty plea to a New York State felony drug charge in Tompkins County Court. On October 6, 2022, Tindley was sentenced to serve two-years in state prison for that offense.
The case was investigated by the Metro-Jefferson Drug Task Force, consisting of Special Agents from U.S. Homeland Security Investigations (HSI), U.S. Border Patrol Agents, Detectives from the Watertown Police Department, Detectives from the Jefferson County Sheriff’s Department, and Investigators from the Jefferson County District Attorney’s Office. Assistant U.S. Attorney Richard Southwick and Special Assistant U.S. Attorney Paul Tuck prosecuted the case.
Iowa Man Sentenced for Firearm SmugglingRead the Press Release
PECOS – Victor Alfonso Magana-Ahumada, 37, from Denison, Iowa was sentenced in federal court in Pecos this week to 46 months in prison for attempting to illegally cause guns to be smuggled from the U.S. to Mexico.
According to court documents, Customs and Border Protection Officers at the Presidio Port of Entry referred a Ford 450 travelling towards Mexico, to secondary inspection. The truck was pulling a trailer filled with packages destined for Mexico. The packages were part of a shipment being transported by a transnational shipping company. During the inspection, officers found six pistols, pistol magazines, one semi-automatic rifle and rifle magazines concealed in packages amongst the cargo.
Further investigation by Special Agents with Homeland Security Investigations (HSI) revealed Magana arranged with the transnational shipping company for the transport of the packages that contained the concealed firearms to Mexico. Investigation also revealed Magana had purchased two of the firearms found secreted in the shipment packages.
On November 29, 2023, Magana pleaded guilty to one count of smuggling goods from the United States. Magana has remained in federal custody since his arrest on September 28, 2023.
U.S. Attorney Jaime Esparza of the Western District of Texas and HSI Special Agent in Charge Francisco B. Burrola, El Paso Division, made the announcement.
HSI, with assistance from HSI–Sioux City Division and Spencer, Iowa Police Department, investigated the case.
Assistant U.S. Attorney Amy Greenbaum prosecuted the case.
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Internal Revenue Service Special Agent Indicted in Shooting Death of Fellow AgentRead the Press Release
TUCSON, Ariz. – On Wednesday, a federal grand jury indicted Larry Edward Brown, Jr., 42, of Peoria, on one count of Involuntary Manslaughter of an Officer of the United States.
The indictment alleges that on August 17, 2023, Special Agents of the Internal Revenue Service Criminal Investigation (IRS-CI) used the firearm range at the Federal Correctional Institution – Phoenix for standard pistol qualifications and classroom training. Brown, who has served as a special agent for IRS-CI for over 12 years, is a trained Use of Force Instructor.
After all training had concluded for the day, Brown entered a building known as the “Tower,” a small, one-room structure with an interior measuring approximately eight feet by nine feet, located on the range where firearms instructors can observe and command live-fire trainings. The only other occupant inside the Tower was Special Agent Patrick Bauer, a 15-year veteran of IRS-CI and a trained Use of Force Instructor, who had led the live-fire pistol qualifications that day. As alleged in the indictment, while inside the Tower, Brown handled his firearm without due caution and with reckless disregard for human life, striking Special Agent Bauer in the torso with a single gunshot.
Despite life-saving efforts by agents at the scene, EMTs, and hospital staff, Special Agent Bauer died as a result of the penetrating gunshot wound.
Brown had his initial court appearance today and has been released. The matter has been set for trial on April 2, 2024.
Involuntary Manslaughter of an Officer of the United States carries a maximum penalty of eight years in prison and a fine of up to $250,000.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
The Federal Bureau of Investigation conducted the investigation in this case, with assistance from the Treasury Inspector General for Tax Administration. The United States Attorney’s Office for the District of Arizona, Tucson, is handling the prosecution.
Indictment - BrownCASE NUMBER: CR-24-00355-PHX-SPL
RELEASE NUMBER: 2024-024_Brown# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Indictment Charges Bridgeport Man with Firearm OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, James Ferguson, Special Agent in Charge, ATF Boston Field Division, and Bridgeport Police Chief Roderick Porter today announced that a federal grand jury in Hartford has returned an indictment charging LAMAR DWIGHT BLAKE, 46, of Bridgeport, with unlawful possession of a firearm by a felon.
The indictment was returned on January 31, 2023, and Blake was arrested on February 26, 2023. He appeared today before U.S. Magistrate Judge S. Dave Vatti in Bridgeport and entered a plea of not guilty to the charge.
As alleged in the indictment, on August 6, 2023, Blake possessed a loaded Glock .40 caliber handgun with an extended magazine.
It is further alleged that Blake’s criminal history includes felony convictions in Connecticut for possession of narcotics with intent to sell, attempted assault in the second degree, possession of narcotics, and criminal possession of a firearm.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm that has moved in interstate or foreign commerce.
If convicted of the charge, Blake faces a maximum term of imprisonment of 15 years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Blake is released on a $100,000 bond pending trial.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Bridgeport Police Department. The case is being prosecuted by Assistant U.S. Attorney Sean P. Mahard.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Hyannis Woman Sentenced to Three Years in Prison for Fentanyl Conspiracy Operating Across Southeastern MassachusettsRead the Press Release
BOSTON – A Hyannis woman was sentenced yesterday in federal court in Boston for her involvement in a drug trafficking organization (DTO) that distributed fentanyl throughout Southeastern Massachusetts and Rhode Island.
Rebecca Bartholomew, 37, was sentenced by U.S. District Court Judge Allison D. Burroughs to three years in prison and three years of supervised release. In October 2023, Bartholomew pleaded guilty to conspiracy to distribute and to possess with intent to distribute fentanyl. Bartholomew was one of 10 individuals indicted by a federal grand jury in August 2022 in connection with the conspiracy.
In March 2021, an investigation began into a DTO operating in Southeastern Massachusetts and Rhode Island led by Estarlin Ortiz-Alcantara. The investigation identified Bartholomew as a distributor for the DTO. Between April and June 2022, Bartholomew redistributed fentanyl she had obtained from Ortiz-Alcantara and allegedly other DTO members. During a traffic stop in April 2022, Bartholomew was found in possession of approximately 90 grams of fentanyl.
Bartholomew is the fourth defendant to be sentenced in case. Ortiz-Alcantara pleaded guilty in December 2023 and is scheduled to be sentenced on July 9, 2024.
Acting United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; New Bedford Police Chief Paul Oliveira; and Fairhaven Police Chief Michael J. Myers made the announcement. Special assistance was provided by the Massachusetts State Police; Homeland Security Investigations; Bristol County Sheriff’s Office; and Fall River, Taunton, Attleboro, Scituate, Yarmouth, Providence (R.I.) and West Warwick (R.I.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of the Narcotics & Money Laundering Unit is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging document are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Husband and Wife Sentenced for Defrauding TRICARE and Medicare out of $75 MillionRead the Press Release
NEWS RELEASE SUMMARY – March 1, 2024
SAN DIEGO – Charles Ronald Green Jr. and his wife, Melinda Elizabeth Green, were sentenced in federal court today to 27 months each for fraudulently billing government healthcare programs more than $125 million for medically unnecessary treatments.
According to court filings, the Greens engaged in a scheme to defraud two major federal health care programs: TRICARE, the medical benefits program for military servicemembers and their families, and Medicare, the program that provides benefits to elderly or disabled Americans.
Chief U.S. District Judge Dana M. Sabraw also ordered $4.5 million in restitution to TRICARE and $69,915,909.69 to Medicare.
Between May 12, 2014, and June 29, 2015, the Greens conspired to submit false and fraudulent claims to TRICARE for expensive and medically unnecessary pain creams, scar creams and multi-vitamins (collectively, “compounded medications”), which were billed through various pharmacies. During this period, the Greens owned or were officers of several companies they used in furtherance of their scheme. The pharmacies paid these companies millions of dollars in illegal kickbacks and other remuneration in exchange for the referral of the false and fraudulent prescriptions for compounded medications to TRICARE beneficiaries.
In turn, the Greens and others paid a portion of their profits as kickbacks to so-called “marketing” organizations in exchange for more prescriptions for compounded medications. TRICARE and other payers often reimbursed compounding pharmacies thousands of dollars for a 30-day supply of a compounded pain or scar cream for one beneficiary. In just one example, on May 8, 2015, a false and fraudulent claim was submitted to TRICARE in the amount of $14,178 for Baclofen Powder.
In furtherance of the compounding fraud scheme, the Greens and others developed compounded medication formulations for the primary purpose of inflating the amount of money TRICARE would reimburse, and to correspondingly increase the amount of kickbacks and remuneration that affiliated marketers would receive.
The Greens’ knowing participation in the compounding fraud scheme resulted in the submission of false and fraudulent claims by one pharmacy in the approximate amount of $8,107,816, of which TRICARE paid at least $6,776,222.
Between June 1, 2018, and April 2019, the Greens also conspired to defraud Medicare by submitting false and fraudulent claims for expensive durable medical equipment, or “DME,” similarly induced through a system of illegal kickbacks. The Greens and others executed the DME fraud scheme by purchasing “completed doctors’ orders” from various “marketers” for Medicare beneficiaries, which included a prescription signed by a doctor certifying the beneficiary received an exam that met Medicare’s requirements and that the DME was medically necessary.
In an attempt to disguise the DME fraud scheme from detection, the Greens and their co-conspirators entered into sham “marketing” and other contracts that concealed the pay-per-order arrangement. For example, on March 14, 2019, Charles Ronald Green prepared and submitted an invoice from the Greens’ company, NHS Pharma, concealing that NHS Pharma was being paid a per-brace kickback for selling completed doctors’ orders, but claimed instead to be charging for a $35,000 “TV Campaign,” a quantity of 716 website “Landing Pages,” and $6,928.71 for processing hours.
In addition to purchasing doctors’ orders in furtherance of making false and fraudulent claims on behalf of DME companies they owned or controlled, in some instances the Greens brokered the doctors’ orders by re-selling them at a markup to other DME companies.
“Fraud schemes like this one drive up health care costs for everyone,” said U.S. Attorney Tara McGrath. “We will continue to investigate and bring to justice those who scam taxpayers and place their own financial interests ahead of patient care. Diverting resources from service members and the elderly is especially heinous.”
“The Greens’ greed cost American taxpayers tens of millions of dollars by defrauding federal healthcare programs, including the Department of Defense’s TRICARE program,” said Bryan D. Denny, Special Agent in Charge of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS), Western Field Office. “DCIS and its partners will always aggressively investigate those who conspire to defraud TRICARE, because those deceptive actions ultimately harm those defending our country and their families.”
“It is disheartening when people like the Greens go to great lengths to plan elaborate schemes that ultimately have negative effects on innocent citizens,” said FBI San Diego Special Agent in Charge Stacey Moy. “The FBI and its law enforcement partners will ensure that those who defraud the United States Government will be thoroughly investigated and prosecuted for their actions.”
The Court set a hearing for May 24, 2024, to resolve additional claims for restitution.
This case is being prosecuted by Assistant U.S. Attorney Valerie H. Chu.
DEFENDANTS Case Number 20cr1566-DMS
Melinda Elizabeth Green Age: 63 Windermere, FL
Charles Ronald Green, Jr. Age: 67 Windermere, FL
SUMMARY OF CHARGES
Conspiracy – Title 18, U.S.C., Section 371
Maximum penalty: Five years in prison and $250,000 fine
Health Care Fraud – Title 18, U.S.C., Section 1347
Maximum penalty: Ten years in prison and $250,000 fine
INVESTIGATING AGENCIES
Federal Bureau of Investigation
Health and Human Services Office of the Inspector General
Department of Defense Office of the Inspector General
Gunvor S.A. Pleads Guilty to Scheme to Bribe Ecuadorian Officials and Ordered to Pay over $600 Million in Criminal PenaltiesRead the Press Release
Today, in federal court in Brooklyn, Gunvor S.A. (Gunvor), a part of the Gunvor Group, one of the largest commodities trading firms in the world, pleaded guilty to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA). The charge arises out of a scheme to bribe officials of the Ecuadorian Ministry of Hydrocarbons and Petroecuador, the Ecuadorian state-owned oil company, in order to obtain contracts to purchase oil products. The proceeding was held before United States District Judge Eric N. Vitaliano. As part of the company’s sentence, Gunvor was ordered to pay a criminal penalty of approximately $661 million.
Breon Peace, United States Attorney for the Eastern District of New York, Brent S. Wible, Acting Senior Counselor of the Justice Department’s Criminal Division, and Jeffrey B. Veltri, Special Agent-in-Charge, Federal Bureau of Investigation, Miami Field Office (FBI), announced the guilty plea and sentence.
“Today’s guilty plea and sentencing marks yet another example of this office’s efforts to combat widespread corruption,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Corruption erodes the public’s trust in their government, prevents government officials from acting in the best interests of the people they represent and harms businesses that play by the rules, driving up prices for consumers. The Justice Department, including my Office, will not tolerate bribes being paid by American companies or foreign companies misusing the U.S. financial system.”
“Over nearly a decade, Gunvor representatives bribed high-level government officials at Ecuador’s state-owned oil company to enter into business transactions with other state-owned entities that ultimately benefited Gunvor. As a result of this complex bribery scheme, Gunvor obtained hundreds of millions of dollars in illicit profits,” said Acting Senior Counselor Wible. “Foreign bribery emboldens corrupt officials and undermines the rule of law. Gunvor’s guilty plea demonstrates that the Criminal Division remains resolute in our efforts to root out bribery and official corruption. We will continue to hold both corporations and individuals who bribe foreign officials to account, in coordination with our international partners.”
“Gunvor’s years long bribery scheme involving high-level Ecuadoran officials was both detrimental to the business environment and eroded the public’s trust and confidence in their government,” stated FBI Special Agent-in-Charge Veltri. “This guilty plea and significant fine would not have been possible without significant cooperation from our international partners in the Cayman Islands, Colombia, Curacao, Ecuador, Panama, Portugal, Singapore, and Switzerland. This truly was an international effort.”
In connection with the resolution, Gunvor entered into a plea agreement with the government and pleaded guilty to an information charging the company with conspiracy to violate the anti-bribery provisions of the FCPA. Following the plea, Judge Vitaliano sentenced Gunvor to pay a criminal monetary penalty of more than $374 million and to forfeit more than $287 million in ill-gotten gains. The sentence includes credits of up to $93 million each for amounts Gunvor pays to resolve investigations by Swiss and Ecuadorian authorities into the same misconduct so long as the payments are made within 12 months of today’s date.
According to the company’s admissions and court documents, between 2012 and 2020, Gunvor and its co-conspirators paid more than $97 million to intermediaries understanding that some of the money would be and in fact was used to bribe numerous Ecuadorian officials, including Nilsen Arias, a then-high ranking official at Petroecuador. The bribe payments were routed through banks in the United States using shell companies in Panama and the British Virgin Islands controlled by Gunvor’s co-conspirators. A Gunvor employee directed one of the intermediaries to use the bribe money to purchase an 18-karat gold Patek Philippe wristwatch for Arias.
In exchange for these bribe payments, high-level Ecuadorian officials helped Gunvor win contracts to provide a series of oil-backed loans to Petroecuador. The oil-backed loans were made through other state-owned entities, which acted as “fronts” for Gunvor. Because the contracts were with other state-owned entities, Petroecuador rules did not require a competitive bidding process, allowing Gunvor and co-conspirators to obtain contracts it would not have been able to obtain directly. Gunvor also received confidential Petroecaudor information.
In total, Gunvor earned more than $384 million in profits from the business it corruptly obtained related to Petroecuador.
The department reached this resolution with Gunvor based on a number of factors including the nature and seriousness of the offense, which involved a multi-year scheme to bribe numerous senior Ecuadorian government officials in order to obtain lucrative business resulting in more than $384 million in profits to Gunvor; and that Gunvor has a history of misconduct. In October 2019, Gunvor reached a resolution with the Office of the Attorney General of Switzerland concerning a corrupt scheme to bribe officials in Congo-Brazzaville and Côte d’Ivoire to secure oil contracts. The conduct that is the subject of today’s guilty plea occurred, in part, at the same time as the prior Swiss investigation and resolution. Accordingly, taking into account these and other factors, including Gunvor’s cooperation and remediation, the total criminal penalty reflects a 25% reduction off the 30th percentile of the applicable U.S. sentencing guidelines fine range.
The department previously secured convictions in the Eastern District of New York of four individuals who were implicated in Gunvor’s bribery scheme, including:
- Antonio Pere Ycaza, a former consultant for Gunvor, pleaded guilty on Oct. 7, 2020, to one count of conspiracy to violate the FCPA and one count of conspiracy to commit money laundering.
- Enrique Pere Ycaza, a former consultant for Gunvor, also pleaded guilty on Oct. 7, 2020, to one count of conspiracy to commit money laundering and to violate the FCPA.
- Raymond Kohut, a former Gunvor employee and agent, pleaded guilty on April 6, 2021, to one count of conspiracy to commit money laundering.
- Nilsen Arias Sandoval, a former senior Petroecuador official, pleaded guilty on Jan. 19, 2022, to one count of conspiracy to commit money laundering.
The investigation was conducted by FBI Miami’s International Corruption Squad. The government’s case is being handled by the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section and the Money Laundering and Asset Recovery Section (MLARS) Special Financial Investigations Unit. Assistant United States Attorneys Jonathan P. Lax, Nick M. Axelrod and Matthew R. Galeotti of the Eastern District of New York are prosecuting the case with Assistant Chiefs Derek J. Ettinger and Jonathan P. Robell and Trial Attorney Clayton P. Solomon of the Fraud Section, Deputy Chief Adam J. Schwartz and Trial Attorney D. Hunter Smith of MLARS. Assistant United States Attorneys Laura Mantell and Brendan King of the Eastern District of New York’s Asset Recovery Section are handling forfeiture matters.
The Justice Department’s Office of International Affairs and authorities in the Cayman Islands, Colombia, Curacao, Ecuador, Panama Portugal, Singapore and Switzerland provided valuable assistance in this matter.
The Defendant:
GUNVOR S.A.
SwitzerlandE.D.N.Y. Docket No. 24-CR-85 (ENV)
Greenville Man Pleads Guilty to Threatening a Federal JudgeRead the Press Release
GREENVILLE, S.C. —Alvin Bernard Parks, 42, has pleaded guilty to sending a threatening letter to a federal judge through the mail.
According to court documents, Parks is alleged to have sent a letter to a specifically named United States District Court Judge for the District of South Carolina. The handwritten letter contained threats to harm the judge. An excerpt from the letter reads: “I have watched you leave the courthouse numerous times and plotted to get my revenge.” The letter goes on to say, “you best to make sure they lock me away for good cause I’m going to kill you or blow that courthouse up.” The return address on the letter was listed as Alvin Parks with the address to the Greenville County Detention Center, where Parks is detained.
The presiding judge accepted Parks’ plea and will sentence him after receiving and reviewing a sentencing report from the U.S. Probation Office. Parks faces a maximum penalty of 20 years in federal prison. He also faces a fine of up to $250,000 and three years of supervision to follow the term of imprisonment.
The case is being investigated by the FBI Columbia Field Office. Assistant U.S. Attorney Max Cauthen is prosecuting the case.
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Four Missouri Men Accused of Stealing Mail and Committing Fraud with Stolen ChecksRead the Press Release
ST. LOUIS – Four Franklin County, Missouri men have been indicted on charges accusing them of stealing mail and using stolen checks to commit bank fraud.
Matthew Cahill, 39, of Franklin County, Donald Anderson, 35, Harvey Hale, 47, and Joshua Hopkins, 34, Franklin County, were each indicted February 21 in U.S. District Court in St. Louis on charges of conspiracy to commit bank fraud, multiple counts of bank fraud and aggravated identity theft. Cahill was also indicted on one count of possession of stolen mail. He and Hopkins also face multiple counts of aggravated identity theft.
Hopkins was arrested Wednesday, appeared in court and pleaded not guilty. Cahill was arrested Feb. 23 and pleaded not guilty. Hale and Anderson are already in custody but have yet to appear in court.
The indictment alleges that beginning in at least February of 2020, the men obtained checks, bank account information and personal identifying information by stealing incoming or outgoing mail from mailboxes or from homes and vehicles. They would then use that information to alter the stolen checks or create counterfeit checks and use those checks to pay for merchandise at local retailers, the indictment says. They also cashed the checks and on at least one occasion opened a bank account, the indictment says.
Each conspiracy to commit bank fraud and bank fraud charge is punishable by up to 30 years in prison, a $1 million fine or both prison and a fine. The aggravated identity theft charges carry a penalty of two years in prison, consecutive to any other charge, a fine of up $250,000, or both. The stolen mail charge is punishable by up to five years in prison, a $250,000 fine, or both.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The U.S. Postal Inspection Service, the U.S. Secret Service, the Franklin County Sheriff’s Office, and the police departments in the cities of Washington, Union, Eureka, St. Clair and St. Charles investigated the case. Assistant U.S. Attorney Diane Klocke is prosecuting the case.
Four Californians Collectively Sentenced to Serve More Than 53 Years in Federal Prison for Fentanyl ConspiracyRead the Press Release
Defendants Were Charged After Troopers Found more than 55,000 Fentanyl-Laced Pills from I-40 Traffic Stop
OKLAHOMA CITY – Yesterday, AMBROCIO ARROYO, 30, of California, was sentenced to serve 200 months in federal prison for possession of fentanyl with intent to distribute, announced U.S. Attorney Robert J. Troester.
On June 21, 2022, a federal grand jury returned a two-count Indictment against Arroyo and three other co-defendants, DESTINY RUBY LOPEZ, 20, DANIEL OCHOA, 32, and KEVIN EARL TOOKS, 38, all of California, charging the four with drug conspiracy and possession of fentanyl with intent to distribute. According to an affidavit in a previously filed criminal complaint, in May 2022 Oklahoma Highway Patrol troopers pulled over two vehicles for speeding violations on I-40 traveling through Beckham County. The vehicles were being driven by Arroyo and Ochoa, with Lopez and Tooks riding as passengers. The Indictment alleges that troopers could smell marijuana coming from both vehicles, which ultimately led OHP troopers to finding approximately 15 pounds of fentanyl-laced pills hidden inside a rear door panel of the car driven by Arroyo.
On November 30, 2022, Arroyo pleaded guilty and admitted to driving through the Western District of Oklahoma with the intention of distributing pills that contained at least 400 grams of fentanyl.
At the sentencing hearing yesterday, U.S. District Judge Jodi W. Dishman sentenced Arroyo to serve 200 months in federal prison, followed by five years of supervised release. In announcing her sentence, Judge Dishman noted the amount of fentanyl seized, stating that the 55,614 fentanyl-laced pills found in the car driven by Arroyo was a significant amount of fentanyl.
The other three defendants have already been sentenced in this case, each pleading guilty to drug conspiracy, with Lopez sentenced to 36 months, Tooks sentenced to 188 months, and Ochoa sentenced to 218 months in federal prison.
This case is the result of an investigation by the Drug Enforcement Agency (DEA) and the Oklahoma Highway Patrol. Assistant U.S. Attorneys Wilson D. McGarry and Travis Leverett prosecuted the case.
Reference is made to public filings for additional information.
Fort Wayne Man Sentenced to 120 Months in PrisonRead the Press Release
FORT WAYNE – Ronald Holley, 41years old, of Fort Wayne, Indiana, was sentenced by United States District Court Chief Judge Holly A. Brady after pleading guilty to distribution of methamphetamine, announced United States Attorney Clifford D. Johnson.
Holley was sentenced to 120 months in prison followed by 5 years of supervised release.
According to documents in the case, on August 4, 2022, Holley distributed 50 grams or more of methamphetamine.
This case was investigated by the Federal Bureau of Investigation with assistance from the Fort Wayne Police Department. The case was prosecuted by Assistant United States Attorney Lesley J. Miller Lowery.
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.
Former Youth Softball Coach Sentenced to Federal Prison for Possessing and Transporting Child PornographyRead the Press Release
ALPINE, Texas – A Marfa man was sentenced in a federal court in Pecos to 97 months in prison for one count of possession of child pornography and one count of transportation of child pornography.
According to court documents, FBI agents executed a search warrant and discovered Patricio Javier Serrano, 36, was in possession of multiple photos and videos depicting child sexual abuse material stored on his cell phone and in his phone’s web browser. Serrano, who had been a volunteer youth softball coach, was arrested May 11, 2023 and has since remained in federal custody. He pleaded guilty to both charges in the indictment without a written plea agreement in October.
U.S. District Judge David Counts sentenced Serrano to 37 months in prison for the possession charge and 60 months for the transportation charge. Serrano will serve both sentences consecutively.
“This case demonstrates that predators cannot transmit or receive child sexual abuse material and hide behind their screens without risk of prosecution,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Thank you to our local, state and federal law enforcement partners for their collaboration to help make this community and our children safer.”
“It’s unsettling when you learn that someone working so closely with our children and in our communities can possess such predatory tendencies,” said John Morales, FBI El Paso Special Agent in Charge. “The FBI special agents in the Alpine Resident Agency, along with our Homeland Security Investigations, Texas Department of Public Safety, and Marfa Police Department make it a top priority to protect children from victimization by working to investigate predators involved with the production, distribution and possession of child sexual abuse material and ensure they are held accountable for their heinous actions. FBI will continue to dedicate our resources to identify these individuals and bring them to justice.”
The FBI, Texas Department of Public Safety and Marfa Police Department investigated the case.
Assistant U.S. Attorney Amy Greenbaum and Kevin Cayton prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Former Richmond Postal Carrier Pleads Guilty to Stealing MailRead the Press Release
RICHMOND, Va. – A former postal carrier with the U.S. Postal Service (USPS) in Richmond pleaded guilty yesterday to theft of mail.
According to court documents, Wendy Lawrence, 40, stole mail, removing gift cards, checks, and other items of value for her own use. Law enforcement recovered stolen mail from Lawrence’s residence belonging to over 180 victims.
After stealing checks from the mail, Lawrence used the bank account and routing information on those checks to initiate electronic payments, which she used for such expenses as her tax bill, pest control bill, and rent. On at least one occasion, to prolong and conceal the fraud scheme, Lawrence initiated a fraudulent address change with the USPS on behalf of a victim, rerouting the victim’s mail to Lawrence’s address. Law enforcement also recovered checks from Lawrence’s residence that she forged for her own benefit, including checks in the name of at least 30 other individuals.
Lawrence faces a maximum penalty of five years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jeff Krafels, Special Agent in Charge of the Mid Atlantic Area Field Office for the U.S. Postal Service Office of Inspector General; Ajay D. Lall, Acting Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; and Bradford W. Nunnally, Sheriff for Powhatan County, made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. The Powhatan County Commonwealth’s Attorney’s Office provided substantial assistance.
Assistant U.S. Attorney Avi Panth is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:24-cr-17.
Former Metropolitan Police Officer Sentenced for Federal Civil Rights ViolationsRead the Press Release
WASHINGTON – Mark Lamont Clark, 57, a former officer with the Metropolitan Police Department, was sentenced today to six months in prison for two counts of deprivation of civil rights under color of law, announced by U.S. Attorney Matthew M Graves and Chief Pamela Smith, of the Metropolitan Police Department. Clark was convicted in May of 2023.
According to evidence presented in court, on July 13, 2018, while acting under color of law and fully dressed in his MPD uniform, Clark applied a prohibited chokehold to victim D.T., causing bodily injury through an unlawful use of excessive force, outside a McDonald’s restaurant, following a confrontation Clark had with a friend of D.T. Just five days later, on July 18, 2018, while acting under color of law and again fully dressed in his MPD uniform, Clark similarly escalated a verbal confrontation with a McDonald’s patron, victim K.C., and then applied a prohibited chokehold and a prohibited carotid artery hold to K.C., causing bodily injury. Both offenses were captured on Clark’s MPD body-worn camera (BWC).
U.S. District Judge Carl J. Nichols, who presided over Clark’s trial, also ordered the defendant to serve two years of supervised release.
This case was investigated by the Internal Affairs Division of the Metropolitan Police Department.
The case was prosecuted by Assistant U.S. Attorneys Michael Truscott and George Eliopoulos of the U.S. Attorney’s Office for the District of Columbia.
Former Marine Corps Private from Kingston Pleads Guilty to Gun Trafficking ChargesRead the Press Release
ALBANY, NEW YORK – Rylan Peterson, age 22, of Kingston, New York, pled guilty on Wednesday to conspiring with others to unlawfully obtain firearms from a licensed dealer by making false statements, also known as “straw purchasing” firearms, and to unlawfully transferring firearms to an out-of-state resident.
United States Attorney Carla B. Freedman and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Peterson, a native of Kingston then serving as a private first class in the Marine Corps at a base in North Carolina, admitted that he entered into an agreement with Oryn McLeod, for Peterson to acquire six semi-automatic handguns on behalf of McLeod and others. Peterson then obtained the guns from North Carolina resident Mitchell Locke, who purchased them from a licensed dealer in North Carolina, falsely representing at the time of the purchase that he was acquiring the firearms for himself. McLeod paid Peterson for the guns, which Peterson transported to New York from North Carolina. McLeod was subsequently arrested for unlawful possession of two of the handguns.
Sentencing is scheduled for July 10, 2024, before Senior United States District Judge Lawrence E. Kahn. Peterson faces up to 25 years in prison, a fine of up to $250,000, and a term of supervised release of 5 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
McLeod has pled guilty to conspiracy to make false representations in connection with purchasing firearms. Locke is pending trial on the same charge. The charges against Locke are merely accusations, and he is presumed innocent unless and until proven guilty.
ATF and the Kingston Police Department are investigating this case. Assistant U.S. Attorneys Dustin C. Segovia and Emmet O’Hanlon are prosecuting the case.
This case was prosecuted under the new criminal provisions of the Bipartisan Safer Communities Act. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw-purchasing of firearms.
Former Head of MCLB-Albany’s Environmental Division Convicted of Lying to Federal Agents Investigating Clean Water Act ViolationsRead the Press Release
ALBANY, Ga. – A federal contractor who served as the Head of the Environmental Services and Public Works Division at the Marine Corps Logistics Base (MCLB) in Albany was found guilty by a federal jury this week of making false statements about his knowledge of whether a hazardous waste was pumped into the local community’s sewer system.
Brain J. Wallace, 59, of Leesburg, Georgia, was found guilty of one count of making a false statement to a federal agency on Feb. 28, following a three day jury trial that began on Feb. 26. Wallace faces a maximum sentence of five years in prison to be followed by three years of supervised release and a $250,000 fine. A sentencing date will be scheduled by the Court.
Co-defendant Horizon Environmental Services, LLC, pleaded guilty to reckless conduct on May 11, 2023, and was sentenced to two years of probation, 100 hours of community service, $900 in restitution to MCLB-Albany (Horizon’s profit for the contract work) and a $10,000 fine on Aug. 3, 2023.
U.S. District Judge Leslie A. Gardner is presiding over the case.
“Thankfully no hazardous waste made its way into the Flint River—a stunning ecosystem central to Southwest Georgia life—as a result of this gross deviation from the standard of care required by all industries disposing waste into our shared environment,” said U.S. Attorney Peter D. Leary. “Federal prosecutors and our law enforcement partners will hold individuals and businesses accountable when their unlawful and reckless choices put people and our environment at risk.”
“Providing false statements to EPA Special Agents while investigating the illegal dumping of hazardous waste into the City of Albany’s sewer system and subsequent illegal transportation of the waste is a crime,” said EPA-CID Acting Special Agent in Charge Kristopher Martel. “This guilty verdict demonstrates the agency’s commitment to protect communities and their water resources and to hold those who materially falsify information accountable for their actions.”
According to court documents and evidence submitted at trial, MCLB-Albany provides facilities, infrastructure and tailored installation support services for operational forces worldwide. There is a production plant on base which disassembles old equipment—this includes stripping paint containing hazardous materials requiring proper disposal by federal law—and rebuilds the equipment. The production plant’s waste is processed by the industrial wastewater treatment plant (IWTP), which is also located on MCLB-Albany. The IWTP discharges the treated wastewater to the City of Albany, which is permitted to properly handle this waste and does so for other large-scale industries in the community.
On May 10, 2021, the rake on the clarifier (a settling tank that separates liquids from solids) at MCLB-Albany’s IWTP broke down, halting operations and impacting MCLB-Albany’s production plant, which relied upon the IWTP to properly process its waste. An emergency work order was issued to repair the rake. Before the clarifier’s rake could be repaired, the contents of the clarifier’s tank had to be removed. Horizon employees came to the base to meet with other base employees and contractors, including Wallace who was the Head of the Installation and Environment Division, Environmental Services and Public Works Division for MCLB-Albany. Horizon was subcontracted to vacuum the contents of the clarifier tank into sludge boxes, which can contain RCRA (Resource Conservation and Recovery Act) hazardous waste and is to be handled with particular care. Horizon was not permitted by the EPA to transport or store hazardous waste. Horizon also admitted in court documents to acting recklessly and moving 40,000 gallons of sludge to and from the Base multiple times without properly documenting the contents of the containers. This type of manifest is critical; had some sort of spill occurred, first responders might have been unable to properly remediate, due to the lack of a manifest indicating the nature of the contents.
Court evidence showed that approximately 30,000 gallons of liquid layer from the clarifier was pumped into the City of Albany’s sewer system on May 10, 2021, through a manhole at the MCLB-Albany’s IWTP and that the City of Albany was not properly notified, as required by law. Wallace told EPA investigators that he was unaware of anyone pumping the liquid layer from the clarifier into the sewer system through the IWTP manhole; it was proven in court that he did know and therefore lied to EPA investigators.
There is no evidence of a spill or harm to the community. However, on May 12, 2021, there was a rainstorm in Albany which could have led to a resulting overflow before the liquid reached the City of Albany’s water treatment facility. When there is an overflow during a significant storm, the overflow runs into the Flint River before being treated. EPA has no reason to believe that the overflow from the May 12, 2021, storm ultimately drained into the Flint River, but this potential hazard would have been avoided had the City of Albany been properly notified so that they could have accepted the hazardous liquid from MCLB in a safe manner, as they are permitted to do.
The case was investigated by the Environmental Protection Agency’s Criminal Investigation Division (EPA CID).
Criminal Chief Leah McEwen and Assistant U.S. Attorney Elicia Hargrove are prosecuting the case for the Government.
Former Alamogordo Firefighter Sentenced to 45 Years in Prison for Production of Child PornographyRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Eric McLoughlin, Acting Special Agent in Charge of Homeland Security Investigations - El Paso, announced that Jason Ross-Lattion Fleming was sentenced to 45 years in prison. Fleming, 37, of Pinon, pleaded guilty to production of a visual depiction of a minor engaging in sexually explicit conduct and providing child pornography to a minor on April 6, 2023.
A federal grand jury indicted Fleming on Sept. 21, 2022. According to publicly available court records, on April 12, 2022, Homeland Security Investigations received information from New Mexico State Police regarding an incident that occurred involving a 10-year-old minor in Pinon, New Mexico. The 10-year-old minor, identified in court documents as Jane Doe 2, reported that Fleming molested her while she was visiting her dad in New Mexico. Fleming was an Alamogordo firefighter at the time.
During a subsequent interview, Jane Doe 2 disclosed that Fleming began molesting her when she was nine years old and that it occurred multiple times. Jane Doe 2 disclosed that Fleming showed her videos of child sexual exploitation materials and told her she had to do the things to him that occurred in the videos. Jane Doe 2 also disclosed that Fleming gave her Reese’s candy when he molested her.
Based on the information from Jane Doe 2, New Mexico State Police obtained a state district court search warrant for Fleming’s residence, cellphones, and buccal swabs containing Fleming’s DNA.
On April 18, 2022, Homeland Security Investigations obtained and executed a follow-up federal search warrant on Fleming’s cellphone and identified hundreds of videos and photographs of child sexual exploitation materials, including child sexual exploitation materials images involving infants and toddlers. The identified child sexual exploitation materials were contained within the thumbnail cache of a “GalleryVault” application.
While reviewing the extraction of Fleming’s cellphone, Homeland Security Investigations located sexually explicit videos and photographs that Fleming produced of Fleming and a teenage minor, identified in court documents as Jane Doe 1.
Upon his release from prison, Fleming will be subject to 5 years of supervised release and must register as a sex offender.
Homeland Security Investigations investigated this case with assistance from New Mexico State Police, U.S. Marshals Service, and the Drug Enforcement Administration. Assistant United States Attorneys Marisa A. Ong and Matilda McCarthy Villalobos prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by 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.
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Former Accounting Director for Corona Company Sentenced to Nearly 5 Years in Federal Prison for Embezzling Almost $1 MillionRead the Press Release
RIVERSIDE, California – A Riverside County woman was sentenced today to 57 months in federal prison for embezzling nearly $1 million from her employer, which managed the financial affairs for homeowner associations, primarily in the Inland Empire.
Jenev Boyd, 60, of Corona, was sentenced by United States District Judge Sunshine S. Sykes, who also ordered her to pay $780,810 in restitution.
Boyd pleaded guilty in December 2023 to one count of wire fraud and one count of aggravated identity theft.
Boyd was a long-time employee of and the director of accounting for Encore Property Management, a Corona-based company that provided property management services to its homeowner association clients.
From January 2012 to August 2020, Boyd reactivated retired or non-active client accounts in a software program Encore used to falsely reflect that these were still active clients. She then changed the selected vendor’s information to reflect her own name and address. Through manipulation of Encore's internal accounting software, Boyd was able to mask payments to herself from client accounts as vendor payments. Boyd kept the monthly amounts in line with other vendor payments therefore hiding the embezzlement.
Boyd also forged signatures, including that of Encore’s president, on each check she fraudulently issued to herself. She also misled the company’s clients about the checks she wrote to herself out of their accounts, including by describing the transactions as being for operating expenses rather than as a payment to her based on a bogus invoice.
In total, Boyd defrauded her employer and its clients out of $931,077.
“[Boyd] abused the trust of her friends and co-workers and convinced them they did not need to look more carefully at reports from banks, which she doctored before providing an accounting to each client she had embezzled from,” prosecutors argued in a sentencing memorandum. “As a result of her fraud, employees left the business, and those who considered her a friend, like a sister, felt blindsided and betrayed.”
The FBI investigated this matter.
Assistant United States Attorney Sean D. Peterson of the Riverside Branch Office prosecuted this case.
Florida Man Admits over $3.6 Million Health Care Fraud SchemeRead the Press Release
TRENTON, N.J. – A Florida man admitted his role in a durable medical equipment kickback scheme, U.S. Attorney Philip R. Sellinger announced today.
Steve Chicoye, 55, of Orlando, Florida, pleaded guilty on Feb. 29, 2024, before U.S. District Judge Michael A. Shipp in Trenton federal court to an information charging him with one count of conspiracy to commit health care fraud.
According to documents filed in the case and statements made in court:
Chicoye and his conspirators solicited and received kickbacks and bribes in exchange for providing durable medical equipment (DME) companies with completed doctors’ orders for medically unnecessary DME, such as orthotic braces. Chicoye and his conspirators utilized the service of telemedicine companies to obtain these prescriptions for DME, and the DME orders were subsequently fraudulently billed to Medicare and other health care benefit programs.
Chicoye and his conspirators were paid approximately $2.1 million in kickbacks for these DME orders and caused losses to Medicare and other health care benefit programs of at least $3.6 million.
The charge of conspiracy to commit health care fraud is punishable by a maximum potential penalty of 10 years in prison and a fine of $250,000, or twice the gross profit or loss caused by the offense, whichever is greatest. Sentencing is scheduled for Aug. 6, 2024.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark; the Department of Health and Human Services-Office of Inspector General, under the direction of Special Agent in Charge Naomi Gruchacz; and the U.S. Department of Veterans Affairs Office of Inspector General, under the direction of Special Agent in Charge Christopher F. Algieri, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney DeNae Thomas of the Health Care Fraud Unit in Newark.
chicoye.information.pdfFive Passaic County Residents Charged with Armed RobberyRead the Press Release
NEWARK, N.J. – Five Passaic County, New Jersey, residents were charged with the armed robbery of a residence in Saddle Brook, New Jersey, U.S. Attorney Philip R. Sellinger announced today.
Jamere Dixon, aka “Rebels,” 23; Jahad Foxworth, aka “Hadie,” 25; Tyra Jones, 24; Jancarlos Rodriguez, aka “M’s,” 23; and Lanasia Smith, aka “Lay,” 24, all of Paterson, New Jersey, are charged by complaint with one count of conspiracy to commit Hobbs Act robbery and one count of conspiracy to use and carry a firearm during and in relation to a crime of violence. The defendants appeared on Feb. 28, 2024, before U.S. Magistrate Judge André M. Espinosa in Newark federal court. Dixon, Foxworth, and Rodriguez were detained. Jones and Smith were each released on $100,000 unsecured bond.
According to documents filed in this case and statements made in court:
In the early morning hours of June 28, 2022, Foxworth, Rodriguez, and Dixon entered a residence in Saddle Brook and held two victims at gunpoint. The three defendants stole money, credit cards, and suspected controlled substances, among other items. Prior to the robbery, Smith was a guest at the residence and provided Foxworth, Rodriguez, and Dixon with access to the home by leaving the front door unlocked. The investigation revealed that hours before the robbery Smith sent to Rodriguez a picture of a safe located in the residence. After the robbery, the suspects fled in a vehicle driven by Jones. Rodriguez, Jones, and Smith were later seen on surveillance footage attempting to use the stolen credit cards at gas stations and a convenience store in Paterson.
The conspiracy to commit Hobbs Act robbery and conspiracy to use and carry a firearm during and in relation to a crime of violence counts each carry a maximum potential penalty of 20 years in prison, a fine of up to $250,000, or twice the gain or loss from the offense, whichever is greatest.
U.S. Attorney Sellinger credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Field Division, under the direction of Special Agent in Charge Bryan Miller; the Passaic County Sheriff’s Office, under the direction of Acting Sheriff Gary Giardina; the Bergen County Prosecutor’s Office, under the direction of Acting Chief Matthew Finck, the New Jersey State Police, under the direction of Col. Patrick J. Callahan; and the Saddle Brook Police Department, under the direction of Officer in Charge Captain John A. Zotollo Jr.; and with the investigation leading to the charges.
This case is part of the Violent Crime Initiative (VCI), which was formed in 2020 by the U.S. Attorney’s Office for the District of New Jersey, the Passaic County Prosecutor’s Office, and the City of Paterson’s Department of Public Safety for the purpose of combatting violent crime in and around Paterson. As part of this partnership, federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI is composed of the U.S. Attorney’s Office, the FBI, the ATF, the Drug Enforcement Administration, the U.S. Marshals, the Paterson Department of Public Safety, the Paterson Police Department, the Passaic County Prosecutor’s Office, the Passaic County Sheriff’s Office, N.J. State Parole, Passaic County Jail, N.J. State Police Regional Operations and Intelligence Center/Real Time Crime Center, and N.J. Department of Corrections.
The government is represented by Assistant U.S. Attorneys Jake A. Nasar of the Organized Crime and Gangs Unit and Farhana C. Melo of the OCDETF/Narcotics Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
rodriguezetal.complaint.pdfFederal jury convicts Washington man of meth and fentanyl trafficking in Hill County, Rocky Boy’s Indian ReservationRead the Press Release
GREAT FALLS — A federal jury on Feb. 29 convicted a Washington man accused of trafficking methamphetamine and fentanyl in communities in Hill County and on the Rocky Boy’s Indian Reservation, U.S. Attorney Jesse Laslovich said today.
After a three-day trial that began on Feb. 27, a jury found the defendant, Antonio Ledesma Rodriguez, aka Uncle, 53, of Yakima, Washington, guilty of conspiracy to possess with intent to distribute and to distribute controlled substances, possession with intent to distribute controlled substance and distribution of fentanyl as charged in an indictment. Rodriguez faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release on each count.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for June 20. Rodriguez was detained pending further proceedings.
“Due to outstanding law enforcement work, we are, yet again, holding someone accountable for poisoning our communities. Here, Rodriguez brought meth and fentanyl pills to the Rocky Boy’s Indian Reservation and surrounding towns for local distribution. Together with our law enforcement partners, we remain relentless in our efforts to shut down drug traffickers. I thank Assistant U.S. Attorneys Stephanie D. Robles and Amanda L. Myers, our office support staff and the FBI, Tri Agency Task Force and Rocky Boy’s Police Department for their work investigating and prosecuting this case,” U.S. Attorney Laslovich said.
In court documents and at trial, the government alleged that Rodriguez was involved in drug trafficking from about January 2021 to December 2021 in the Hill County communities of Havre, Laredo and Box Elder, and on the Rocky Boy’s Indian Reservation. In May 2021, law enforcement seized fentanyl pills from an individual at his residence. The individual admitted he was involved in distributing controlled substances and identified his suppliers as a group of men, including Rodriguez, from Yakima, Washington. The pills sized from the residence had been provided by Rodriguez. The individual also sold fentanyl and meth for Rodriguez. In a controlled purchase, law enforcement obtained 350 fentanyl pills from Rodriguez for $8,000.
Assistant U.S. Attorneys Stephanie D. Robles and Amanda L. Myers are prosecuting the case. The FBI, Tri Agency Task Force and Rocky Boy’s Police Department conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Federal Jury Finds St. Paul Felon Guilty of Illegally Possessing AmmunitionRead the Press Release
ST. PAUL, Minn. – A federal jury found a St. Paul man guilty of possessing ammunition as an armed career criminal, announced U.S. Attorney Andrew M. Luger.
According to the evidence presented at trial, on July 12, 2022, law enforcement located Markhel D’John Harris-Franklin, 28 at a supermarket and placed him under arrest. Inside his vehicle, officers found a loaded 9mm privately made handgun with an extended magazine on the floor behind the driver’s seat.
Because Harris-Franklin has multiple prior felony convictions in Ramsey, Dakota, and Anoka Counties, including aggravated robbery, theft, assault, and domestic violence, he is prohibited under federal law from possessing firearms or ammunition at any time.
Following a three-day trial before Judge Katherine M. Menendez in U.S. District Court, Harris-Franklin was found guilty yesterday on one count of possession of ammunition as an armed career criminal. A sentencing hearing will be scheduled at a later date.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the St. Paul Police Department, the Minnesota Bureau of Criminal Apprehension, and the United States Marshal Service.
Assistant U.S. Attorneys LeeAnn K. Bell and Emily A. Polachek tried the case.
East St. Louis Man Gets Life Plus 15 Years in Prison for Fentanyl Dealing, Drug-Linked Shooting Death in University CityRead the Press Release
ST. LOUIS – U.S. District Judge Matthew T. Schelp on Friday sentenced a man convicted of charges related to fentanyl dealing and a fatal shooting in University City to life in prison plus 15 years.
A jury in September found Deoman Reeves, 32, of East St. Louis, guilty of 11 felony charges: one count of conspiracy to distribute and possess with the intent to distribute in excess of 40 grams of fentanyl, four counts of possession with the intent to distribute fentanyl, three counts of possession of firearms in furtherance of a drug trafficking crime, two counts of being a felon in possession of a firearm and one count of possession of a firearm in furtherance of drug trafficking, resulting in death.
The death resulting charge stems from the Oct. 21, 2019, fatal shooting of David Anderson in the 1100 block of Kingsland Avenue. Evidence and testimony presented at trial showed that Reeves and others fired multiple shots at Anderson in retaliation for a shooting in St. Louis County the day before. Anderson was not involved in the St. Louis County shooting.
“This is a dangerous individual who has a callous disregard for human life,” said Special Agent in Charge Bernard G. Hansen of the Kansas City Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “There is no higher priority for ATF than keeping our communities safe and we will use all available resources to identify and investigate those who commit violent acts. This sentence should send a message to others that violent behavior in our communities will not be tolerated.”
Judge Schelp sentenced Reeves’ co-defendant, Franklin Bell, now 32, on February 12 to 20 years in prison. Bell pleaded guilty on the eve of his trial in September to a fentanyl distribution conspiracy charge, five counts of possession with the intent to distribute fentanyl and two counts of possession of firearms in furtherance of a drug trafficking crime.
Bell admitted in his plea that he, Reeves and Arrion Jones were involved in selling fentanyl in the St. Louis area. After a September 2019 non-fatal shooting, the University City Police Department requested the assistance of the ATF. An ATF confidential informant and undercover agents began buying fentanyl from Reeves and others, who were armed while selling the fentanyl. Reeves also sold firearms to a confidential informant.
Judge Matthew T. Schelp sentenced Deronte McDaniels, now 26, in October to 150 months in prison. He pleaded guilty to one count of conspiracy to possess a firearm in furtherance of drug trafficking and admitted being the target of a shooting on Oct. 20, 2019, that wounded Jones. McDaniels took Jones’ firearm and returned fire and was one of the men who shot at Anderson the next day, his plea says.
Jones is serving a 40-month sentence.
The ATF and the University City Police Department investigated the case. Assistant U.S. Attorneys Paul D’Agrosa and Erin Granger are prosecuting the case.