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9 February 2024
Mishawaka Man Sentenced to 100 Months in PrisonRead the Press Release
SOUTH BEND – Jessie Warren, 44 years old, of Mishawaka, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to possession with intent to distribute methamphetamine, announced United States Attorney Clifford D. Johnson.
Warren was sentenced to 100 months in prison followed by 4 years of supervised release.
According to documents in the case, in December 2022, Warren possessed over 220 grams of methamphetamine. When police found him, he was alone in a car with the controlled substance, a firearm and a digital scale located in the trunk. Warren also had approximately $2,000 cash in his possession.
This case was investigated by the Drug Enforcement Administration with assistance from the Mishawaka Police Department and the Indiana State Police Laboratory. The case was prosecuted by Assistant United States Attorneys Jerome McKeever and Joel Gabrielse.
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.
Michigan Man Who Orchestrated International Computer Fraud Scheme and Online Drug Distribution Scheme Pleads GuiltyRead the Press Release
BOSTON – A Michigan man has pleaded guilty to organizing separate multi-year schemes that defrauded internet users via scam virus alerts and distributed controlled substances online.
Doyal Kalita, 36, of Redford, Mich., pleaded guilty to one count of wire fraud conspiracy, one count of conspiracy to import Schedule II and Schedule IV controlled substances and one count of money laundering conspiracy. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for May 16, 2024. Kalita was arrested in August 2022.
“Mr. Kalita exploited people’s fears about cyber security by convincing them that their computers had viruses and selling them unnecessary services. Simultaneously, he lined his pockets by distributing deadly opioids into Massachusetts,” said Acting U.S. Attorney Joshua S. Levy. “This type of criminal behavior and victimization will not be tolerated. We will continue to be vigilant and hold those accountable that hide behind a keyboard to victimize others and pump dangerous drugs into our communities.”
“Doyal Kalita not only cheated unsuspecting victims around the world and here at home out of their hard-earned money by scaring them into paying for unnecessary and useless computer repair services, but he peddled deadly opioids into our communities too,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “Fortunately, the FBI and our partners are experts at untangling such frauds, to ensure criminals like him are brought to justice to answer for their crimes.”
“The disruption of international criminal syndicates is a top priority for IRS Criminal Investigation” said Harry T. Chavis Jr, Special Agent in Charge of the Internal Revenue Service Criminal Investigations. “As a result of today’s guilty plea, we have successfully disrupted a complex network of international actors praying on the American people through their call center schemes and illegal narcotics distribution networks.”
In 2015, Kalita and co-conspirators organized a scheme to defraud internet users through the use of deceptive pop-up screens that falsely told victims that their computers were infected with viruses (or were otherwise damaged) and directed the victims to call for technical support. In fact, the victims were connected to Kalita’s call centers in India and in Michigan and were scared or deceived into buying products and services that they did not need.
Contemporaneously, Kalita and his co-conspirators launched an online drug distribution scheme that sold controlled substances, including opioids, that were shipped from suppliers in India and Europe to individuals in Massachusetts and elsewhere in the United States. Kalita and his co-conspirators facilitated online sales from multiple foreign drug suppliers and received controlled substances from abroad before repackaging and distributing them throughout the United States. To conceal the nature of the transactions, Kalita and his co-conspirators used PayPal and merchant accounts that purported to belong to non-existent consulting companies, health supplement stores, auto parts suppliers and travel agencies. In some instances, Kalita and his co-conspirators created fake travel itineraries and receipts to deceive credit card processors in the United States in order to keep the drug business from being detected.
Two of Kalita’s co-conspirators remain fugitives.
In January 2023, Manish Kumar – a partner in a Mumbai-based prescription drug companies and one of Kalita’s suppliers – was sentenced by U.S. District Court Judge Mark L. Wolf to 87 months in prison, three months of supervised release and was ordered to pay a fine of $100,000.
The charge of wire fraud conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gain or loss, whichever is greater. The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $500,000 or twice the value of the laundered funds, whichever is greater. The charge of conspiracy to import controlled substances provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $1 million or twice the gain or loss, whichever is greater. 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. Levy, FBI SAC Cohen and IRS-CI SAC Chavis made the announcement today. The United States Food & Drug Administration; Homeland Security Investigations; United States Customs & Border Protection; United States Marshals Service in Boston; and the U.S. Attorney’s Office for the Eastern District of New York provided valuable assistance in the investigation. Assistant U.S. Attorney Kriss Basil of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Mexican Citizen Sentenced to 60 Months for Alien Smuggling and Unlawful Possession of a FirearmRead the Press Release
PLATTSBURGH, NEW YORK – Rey Felix-Rubio, age 32, a citizen of Mexico, was sentenced today to 60 months in prison for conspiracy to commit alien smuggling and unlawful possession of a firearm. United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
As part of his earlier guilty plea, Felix-Rubio, an illegal alien who entered the United States unlawfully in 2021, admitted that in February 2023, he traveled to the northern border in Chateauguay, New York, where he smuggled five Mexican citizens into the United States for profit. Felix-Rubio smuggled the aliens while unlawfully possessing a loaded firearm as an illegal alien.
United States District Judge Mae A. D’Agostino also imposed a 1-year term of supervised release following Felix-Rubio’s release from prison. Felix-Rubio will be taken into Immigration and Customs Enforcement (ICE) custody for deportation proceedings following his release from prison.
HSI and the Border Patrol investigated this case. Assistant U.S. Attorney Jeffrey C. Stitt prosecuted the case.
Marion County Convicted Felon Pleads Guilty to Illegally Possessing A FirearmRead the Press Release
Ocala, Florida –United States Attorney Roger B. Handberg announces that Michael Latrelle Simpson (23, Ocala) has pleaded guilty to possession of a firearm by a convicted felon. Simpson faces a maximum penalty of 10 years in federal prison. A federal grand jury indicted Simpson on July 19, 2022. A sentencing date has not been set.
According to court documents, on January 26, 2022, Simpson was a passenger in a vehicle stopped by law enforcement for a traffic infraction. A handgun was located near where Simpson was seated in the vehicle. Simpson’s DNA was found on the magazine, slide, and sights of that firearm. Simpson has multiple prior state convictions, including for battery on detention staff, felony battery, and fleeing or attempting to elude law enforcement with disregard for safety. As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Ocala Police Department. It is being prosecuted by Assistant United States Attorneys Robert E. Bodnar, Jr., and Sarah Janette Swartzberg.
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.
Manatee County Man Convicted of Producing and Possessing Child Sexual Abuse Material and Transporting Minor Victims with Intent to Engage in Sexual ActivityRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Roger Lee Caldwell, Jr. (40, Bradenton) guilty of producing child sexual abuse material, two counts of transporting minors with intent to engage in sexual activity, and possession of child sexual abuse material. Caldwell faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for May 15, 2024. Caldwell was indicted on May 17, 2023.
According to testimony and evidence presented at trial, Caldwell sexually abused both victims for approximately five years, beginning at the age of eight. Caldwell also produced an image of one of the victims at the age of nine, while forcing her to engage in a sex act. The image, recovered from Caldwell’s cellphone, depicted Caldwell wearing a uniquely designed belt, the same belt worn by Caldwell at the time of his arrest.
In March 2022, Caldwell traveled alone with both victims to Ohio, where he sexually abused them multiple times during the trip. Upon their return home, both victims disclosed the sexual abuse to law enforcement. One of the victims retained a pair of underwear worn after the last time Caldwell had sexually assaulted her during the road trip. A DNA analysis of the underwear confirmed the presence of Caldwell’s semen.
Caldwell also had a collection of child sexual abuse material on a computer seized during a search of his home.
This case was investigated by the Federal Bureau of Investigation, the Manatee County Sheriff’s Office, the Bradenton Police Department, the Palmetto Police Department, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorneys Stacie Harris, Courtney Derry, and Abigail King.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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 child victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Extradited from Spain Pleads Guilty to Child Sex AbuseRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten announced that on February 8, 2024, Kristian Ignacio Feliz, age 24, of Connecticut, pled guilty to sexual exploitation of a child. Feliz was indicted in March 2023, and extradited from Spain last November to face federal charges. Sentencing is scheduled to proceed on May 29, 2024, before U.S. District Court Judge Jane M. Beckering. Feliz faces a mandatory minimum sentence of 15 years in federal prison, up to a maximum of 30 years.
“My office is committed to protecting our most vulnerable citizens from child exploitation,” said U.S. Attorney Mark Totten. “I appreciate the Government of Spain, FBI, and Kalamazoo Department of Public Safety for their persistent and successful efforts to bring Mr. Feliz to justice.”
As part of his plea, Feliz admitted that from October 2022 through January 2023, he used Discord, an internet-based messaging platform, to coerce a minor in Kalamazoo, Michigan, to create and distribute child pornography of herself. Then, from January 3-5, 2023, Feliz traveled to Kalamazoo and made videos of himself having sex with the same minor. Feliz also had at least one of those videos sent to his Discord account.
"Those who dare to victimize innocent children will face the full force of the law," said Cheyvoryea Gibson, the Special Agent in Charge of the FBI in Michigan. "The FBI is relentless in its commitment to safeguarding children from dangerous predators and will leave no stone unturned in pursuing criminals, no matter where they hide. We extend our gratitude to our law enforcement partners, especially the Kalamazoo Department of Public Safety and the dedicated staff of the FBI's West Michigan Based Child Exploitation Task Force (WEBCHEX), for their unwavering efforts in protecting the most vulnerable members of our society. The FBI urges the public to report alleged crimes of child sexual and physical abuse by calling 1-800-CALLFBI (1-800-225-5324), contacting your Legal Attaché Office, or submitting tips online to tips.fbi.gov."
“The Kalamazoo Department of Public Safety recognizes that these types of crimes are complex and difficult to investigate at the local level,” said KDPS Chief David Boysen. “Only due to the continued partnerships and support of the U.S. Attorney’s Office for the Western District of Michigan, the FBI, and the Task Force Officer’s position, we were able to see a successful outcome in this investigation.”
The U.S. Attorney’s Office worked with the FBI and the U.S. Department of Justice’s Office of International Affairs (OIA) to prepare and submit a request to the Government of Spain for Kristian Ignacio Feliz’s provisional arrest, followed by a formal request for his extradition. U.S. Attorney Totten and Special Agent in Charge of the FBI Michigan Cheyvoryea Gibson extend their appreciation and thanks to the Government of Spain.
This case is part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. The U.S. Attorney’s Office, county prosecutor's offices, the Internet Crimes Against Children task force (ICAC), federal, state, tribal, and local law enforcement are working closely together to locate, apprehend, and prosecute individuals who exploit children. The partners in Project Safe Childhood work to educate local communities about the dangers of online child exploitation, and to teach children how to protect themselves. For more information about Project Safe Childhood, please visit the following website: www.projectsafechildhood.gov. Individuals with information or concerns about possible child exploitation should contact local law enforcement officials.
This case is being prosecuted by Assistant U.S. Attorney Patrick Castle, and investigated by the FBI, the Kalamazoo Department of Public Safety. The U.S. Department of Justice’s Office of International Affairs and the U.S. Department of State provided critical assistance in securing Feliz’s arrest and extradition.
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Mobile Woman Sentenced for Lying to Bankruptcy CourtRead the Press Release
MOBILE, AL – A United States District Judge sentenced a woman to five years of probation for lying in a Bankruptcy Court proceeding.
According to court documents, in April 2023, Lucinda “Lou” Miller, 48, of Mobile, was convicted of making false statements under oath in a bankruptcy proceeding. United States District Judge Terry F. Moorer sentenced her to be supervised by a United States Probation officer for five years, the first year of which she will be on home confinement with electronic montoring.
According to court records filed in connection with her guilty plea, Miller was in Chapter 13 bankruptcy in 2020, when she obtained the court’s permission to buy a car. In a written order, the bankruptcy judge authorized Miller to spend no more than $18,000 on this purchase. In a ploy to unlawfully squat in a home, Miller offered to purchase a home for $450,000. When the seller’s realtor pressed Miller’s realtor to provide proof of funds for the purchase, Miller delivered to her realtor a falsified order purporting to authorize her to purchase a home for up to $500,000, altered from the legitimate order permitting her to buy a car. Miller’s realtor then provided the false court order to the seller’s realtor. The seller’s realtor contacted the Bankruptcy Court Clerk’s office to verify the order's validity. The clerk’s office notified the court of the fake order, and ultimately, Miller lied under oath in a bankruptcy proceeding when she said she knew nothing about it. Miller, who has filed for bankruptcy in Mobile eleven times since 1995, has been barred by the bankruptcy court judge whose order she faked from filing for bankruptcy anywhere in the United States for 30 months due to her abuse of the bankruptcy court proceedings.
“The bankruptcy court is a mechanism for people in financial trouble to seek a fresh start by liquidating their assets or getting the court’s protection to extend the time to pay back their creditors,” said Sean P. Costello, United States Attorney for the Southern District of Alabama. “This defendant abused the bankruptcy court and exploited its authority for her own benefit when she ginned up a bogus court order and then lied about it under oath. With our law enforcement partners, we stand ready to protect bankruptcy proceedings by prosecuting those who lie and jeopardize the court system's integrity.”
Assistant U.S. Attorney Alex F. Lankford prosecuted the case on behalf of the United States. The Federal Bureau of Investigation investigated the case. Bankruptcy Fraud or lying under oath in bankruptcy proceedings can be reported to FBI Mobile at 438-3674.
Local woman imprisoned for threatening to harm federal judgeRead the Press Release
HOUSTON – A 50-year-old Houston resident has been sentenced for using interstate communications to threat, kidnap or injure, announced U.S. Attorney Alamdar S. Hamdani.
Tiffani Shea Gish aka Evelyn Salt pleaded guilty Nov. 9, 2023.
U.S. District Judge David Hittner has now ordered Gish to serve 37 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence about mental health problems and that Gish had previously left threatening messages for various government agencies. In handing down the sentence, Judge Hittner noted that he was concerned for the safety of the public and protecting the judiciary.
“Upholding the rule of law is one of the main priorities of the Department of Justice, and that means protecting public servants from violence,” said Hamdani. “Holding Tiffani Gish accountable for her threats to assassinate a federal judge sends a strong message that we have no tolerance for those – who often hide behind a far-off keyboard or phone line – seeking to undermine our democratic institutions by threatening the safety of the people who help those same institutions thrive.”
On Sept. 1, 2022, Gish left three threatening voicemails on the chamber’s telephone of a U.S. district judge from Florida. In the messages, Gish claimed to be a member of several military combat units, trained and familiar with weapons of war.
In the first message, she said the victim was marked for assassination and would get a bullet in the head. Gish then reiterated the same threat in two subsequent messages and used expletives when adding that she had ordered snipers and a bomb to the victim’s house and would to throw a bullet to the victim’s head.
Gish will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI and U.S. Marshals Service conducted the investigation. Assistant U.S. Attorney Steven Schammel prosecuted the case.
Lincoln Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
United States Attorney Susan Lehr announced that Alexander Horse, 22, of Lincoln, Nebraska, was sentenced on February 9, 2024 in federal court in Lincoln for being a felon in possession of a firearm. United States District Court Judge John M. Gerrard sentenced Horse to 60 months’ imprisonment. There is no parole in the federal system. After Horse’s release from prison, he will begin a 3-year term of supervised release.
On September 5, 2022, around 3:35 am, Horse was dropped off at a McDonald’s parking lot in Lincoln just before another car arrived. Two occupants with firearms got out and began shooting at Horse who retreated on foot through the drive-through. Circumstantial evidence collected by police showed that Horse returned fire with his own gun. The two individuals shooting at Horse fled the scene before police arrived. A witness at the scene said Horse asked her to hide his gun from police after the shooting. Police arrived, located the gun in the witness’s car, and found it to be a Beretta model 950 BS semiautomatic .25 caliber pistol. The gun was covered in Horse’s blood according to DNA analysis. Two different calibers of casings were collected at the scene; three were .25 caliber. Ballistics analysis confirmed the .25 caliber casings were fired from Horse’s Beretta model 950 BS semiautomatic .25 caliber pistol. Horse was shot multiple times and suffered injuries from the shooting. Investigators obtained a search warrant for Horse’s phone and located videos showing Horse shooting firearms on occasions other than September 5.
At the time of the crime, Horse was a convicted felon out of Lancaster County, Nebraska, and was serving a term of post-release supervision for those felony convictions. As a felon, he was not permitted to possess a firearm. Horse’s sentence was enhanced because he possessed more than three firearms, and at least one was a semi-automatic firearm capable of accepting a large capacity magazine.
This case was investigated by the Lincoln Police Department and the FBI. 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.
Lexington Doctor Found Guilty of Engaging in International Money Laundering Scheme, Importing Illegal Merchandise and Receipt and Delivery of a Misbranded DrugRead the Press Release
BOSTON – A Lexington, Mass. doctor was convicted today following a 14-day jury trial in connection with an international money laundering scheme involving importing illegal, misbranded drugs.
Rahim Shafa, 66, was convicted of international money laundering, illegally importing merchandise contrary to law and receiving and delivering misbranded drugs. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for May 15, 2024. The defendant was indicted by a federal grand jury in August 2020 and subsequently charged in a superseding indictment in June 2021.
“For roughly a decade, this defendant manipulated and exploited our healthcare system. He circumvented the FDA approval process for drugs from overseas – systems established to protect and support public health and safety,” said Acting United States Attorney Joshua S. Levy. “This conduct jeopardized patient safety and undermined the very foundation of our regulatory system. Such conduct will never be tolerated.”
“U.S. consumers rely on the FDA to ensure that the medications they take are safe and effective. Unlawful, misbranded medical drugs put consumers’ health at risk,” said Special Agent in Charge Fernando McMillian, FDA Office of Criminal Investigations’ New York Field Office. “We will continue to pursue and bring to justice those who place profits above consumers’ health.”
“This defendant orchestrated a scheme that jeopardized the health of vulnerable patients seeking help with their addiction,” said Special Agent in Charge Roberto Coviello of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). “As this conviction demonstrates, HHS-OIG and our law enforcement partners will continue working together to protect both public safety and our health care system.”
Shafa was a psychiatrist who owned and operated Novel Psychopharmacology. From approximately January 2008 through January 2018, Shafa engaged in an international money laundering scheme to purchase naltrexone pellet implants as well as disulfiram pellet implants and injections from Hong Kong. Naltrexone and disulfiram are approved by the U.S. Food and Drug Administration (FDA) in certain forms for the treatment of alcohol dependence and alcohol and opioid dependence, respectively. However, the implantable pellet form of the drug that Shafa purchased are not approved by the FDA. Shafa falsified shipping documents to conceal that the packages containing the drugs were shipped from Hong Kong to Shafa in Massachusetts. For example, packages containing naltrexone pellet implants were falsely declared as ‘plastic beads in plastic tubes’ in shipping documents. Shafa sold these drugs to patients of Novel and implanted them into patients bodies, without fully understanding the risks of the drugs. Patients testified at trial regarding infections and complications they experienced from the pellet implantation procedure.
The charge of money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of importing merchandise contrary to law provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of receiving and delivering a misbranded drug with provides for a sentence of up to one year in prison, one year of supervised release and a fine of $1,000. 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, FDA SAC McMillan and HHS-OIG SAC Coviello made the announcement today. Valuable assistance was provided by the Massachusetts State Police, the Milford Police Department and the Lexington Police Department. Assistant U.S. Attorneys John T. Mulcahy, Howard Locker and Kaitlin J. Brown of the Criminal Division are prosecuting the case.
Kansas Woman Sentenced for Witness Retaliation PlotRead the Press Release
United States Attorney Susan Lehr announced that Jennifer Norwood, age 44, of Omaha, Nebraska, was sentenced on February 9, 2024, in federal Court in Omaha, Nebraska, for conspiracy to tamper with documents or proceedings, conspiracy to assault a witness, and making a false statement during the purchase of a firearm. Chief United States District Court Judge Robert F. Rossiter, Jr. sentenced Norwood to 37 months’ imprisonment. There is no parole in the federal system. After Norwood’s release from prison, she will begin a 3-year term of supervised release.
In the fall of 2021, Johnny Dolph (hereinafter “Dolph”) was being investigated by the United States Secret Service for financial crimes to include crimes involving counterfeit currency and checks. Dolph claims to be a “shot caller” in the Irish Mob Gang, a street gang that originated in Oklahoma. In September 2021, Victim 1’s husband came to Nebraska to assist Dolph in his forgery activities. Victim 1’s husband was stopped by the Richardson County Sheriff’s Office in September 2021 and found to be in possession of numerous forgery related items to include counterfeit currency, forged Treasury checks, and document making implements. Following Victim 1’s husband’s arrest, Dolph and Jennifer Norwood A/K/A Jennifer Dolph (hereinafter “Norwood”) began contacting Victim 1 in attempts to prevent her from cooperating with law enforcement. Dolph believed Victim 1 and Victim 1’s husband were cooperating with law enforcement. As a result, Dolph put a “green light” on Victim 1 and her husband. Victim 1 reported receiving threatening communications from Dolph and Norwood. Dolph, Norwood, and others began researching and attempting to locate where Victim 1 was located.
In the fall of 2021, Norwood conducted a straw-purchase for Dolph a Hi-Point C9 9mm handgun from gunbroker.com. The transfer was completed on October 25, 2021. A straw purchase is an illegal purchase of a firearm by one person for another. Dolph was prohibited from possessing a firearm due to eleven felony convictions in Oklahoma and Kansas as well as due to two misdemeanor crimes of domestic violence in Kansas.
In October 2021, a search warrant was obtained through the United States District Court for the District of Nebraska for Dolph’s apartment in Omaha. This search warrant was signed by a United States magistrate judge and the affiant for the warrant was a Special Agent with the United States Secret Service.
Following the execution of the search warrant, Dolph and Norwood began researching the affiant agent and magistrate judge listed on the search warrant. Dolph and Norwood also reached out to individuals outside of Nebraska providing information about Victim 1, where Victim 1 resides, and where family members of Victim 1 lived.
On November 19, 2021, Dolph contacted Kate Ruth A/K/A Kate Winter A/K/A Kate Hill (hereinafter “Ruth”) and requested that she travel from Kansas to Omaha, Nebraska to attempt to carry out his “green light” on Victim 1. Dolph instructed Ruth to go to Greyhound and attempt to pick up a ticket that had been purchased in a third party’s name. Ruth was instead driven to Nebraska from Kansas by Gibson. Gibson obtained a red pickup truck to drive she and Ruth to Omaha. During the drive to Nebraska, Dolph sent Gibson and Ruth money for gas over CashApp, inquired to the status of their travel, and provided directions on where to park once they arrived at his apartment. Dolph and Norwood let Gibson and Ruth stay at their apartment in Omaha. While there, Dolph, Norwood, Gibson, and Ruth researched Victim 1. At Dolph’s direction, Ruth and Gibson drove to a residence in Omaha at which Victim 1 was believed to be staying.
On March 1, 2022, law enforcement attempted to arrest Dolph on a state warrant. Dolph was located and the Hi-Point C9 9mm handgun that Norwood had illegally purchased for him was recovered.
Following his arrest on the state warrant, Dolph was Federally indicted for the firearms charges and was incarcerated at the Douglas County Correctional Center. On March 30, 2022, at 19:58 hours and at 20:14 hours, Dolph called Norwood. Dolph used his assigned inmate PIN number and called Norwood at her known phone number. Inmates are advised that all non-attorney calls are recorded. In the calls, Norwood told Dolph that she was going to their trailer per his earlier request. The trailer was later identified and located at a storage facility in Omaha. Dolph then provided step-by-step instructions over the phone to Norwood on how to retrieve an item that was concealed in an air compressor in the trailer. Dolph instructed Norwood to burn the item using gasoline and a blow torch. During the call, Dolph was very agitated that the item be destroyed and said it will send him to prison. Dolph also expressed concern that Norwood did not destroy it and was going to turn it over to law enforcement. Dolph then asked Norwood to take a picture of the item burning to prove to him that she destroyed it. An image of the item burning was found on Norwood’s phone.
The individual from Kansas was sentenced in 2022 to time-served after serving a nine-month sentence for possession of counterfeit currency and possession of a document making implement or authentication feature and is currently serving a five-year term of supervised release. On August 17, 2023, Dolph was sentenced to a total of 150 months’ imprisonment for felon in possession of a firearm; possession of a firearm following a misdemeanor crime of domestic violence; 2 counts of false statement during the purchase of a firearm; conspiracy to tamper with documents or proceedings; tampering with documents or proceedings; 2 counts of conspiracy to assault a witness; and 2 counts for attempted assault of a witness. On November 21, 2023, Gibson was sentenced to 24 months’ imprisonment for conspiracy to assault a witness and attempted assault of a witness. Ruth is currently pending trial and are presumed innocent unless and until she is proven guilty.
This case was investigated by the Federal Bureau of Investigation, the United States Secret Service, the Omaha Police Department, and the Richardson County Sheriff’s Office with assistance from the Kansas Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Justice Department Secures Agreement in Sexual Harassment Lawsuit Against Wisconsin LandlordsRead the Press Release
The Justice Department announced today that Richard and Mary Donahue, landlords who own more than 100 residential rental units in and around Janesville, Wisconsin, have agreed to pay $500,000 in monetary damages and a $123,965 civil penalty to the government to resolve a Fair Housing Act (FHA) lawsuit concerning Richard Donahue’s sexual harassment of female tenants over more than 20 years.
“A home should be one’s sanctuary, not a place where you are subjected to dehumanizing and prolonged periods of sexual harassment,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “When landlords sexually harass their tenants, they deprive them of the ability to feel safe and secure in their own homes. This agreement sends a strong message that the Justice Department will continue to enforce federal civil rights laws to ensure all tenants are protected from unlawful discrimination.”
“The lengthy course of sexual harassment and retaliation against female tenants in this case is disturbing and unacceptable,” said U.S. Attorney Timothy M. O’Shea for the Western District of Wisconsin. “Our office remains committed to holding landlords accountable for violations of the Fair Housing Act.”
Under the terms of the proposed consent decree, which still must be approved by the court, Richard and Mary Donahue will pay $500,000 in monetary damages to 13 female tenants harmed by Richard Donahue. The defendants are also required to seek to vacate any retaliatory eviction judgments obtained against these tenants and to take steps to correct the tenants’ credit histories. The defendants are also permanently enjoined from managing residential rental properties in the future and must retain an independent property manager to manage their rental properties for the duration of the decree. Finally, the defendants must pay a $123,695 civil penalty to the government, the maximum civil penalty allowed under the FHA.
The lawsuit alleged that, since at least 2000, Richard Donahue harassed female tenants by making repeated and unwelcome sexual comments, touching tenants’ bodies without their consent, demanding sexual activity in exchange for rent and housing-related benefits and taking adverse actions against tenants who resisted his sexual advances or complained about the harassment. The suit was filed in May 2022.
The Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Western District of Wisconsin handled the case.
The Justice Department’s Sexual Harassment in Housing Initiative is led by the Civil Rights Division, in coordination with U.S. Attorney’s Offices across the country. The goal of the department’s initiative is to address, deter and raise awareness about sexual harassment by landlords, property managers, maintenance workers, loan officers or other people who have control over housing. Since launching the initiative in October 2017, the department has filed 38 lawsuits alleging sexual harassment in housing and recovered more than $11.8 million for victims of such harassment.
The Justice Department’s Civil Rights Division, along with U.S. Attorneys’ Offices, enforces the FHA, which prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt. Individuals may report sexual harassment or other forms of housing discrimination by calling the Justice Department’s Housing Discrimination Tip Line at 1-833-591-0291, or submitting a report online. Individuals may also report such discrimination by contacting HUD at 1-800-669-9777 or by filing a complaint online.
Johnstown Man Sentenced to Seven Years in Prison for Cocaine and Crack-Cocaine ViolationsRead the Press Release
JOHNSTOWN, Pa. – On February 8, 2024, a resident of Johnstown, Pennsylvania, was sentenced in federal court to 84 months in prison followed by four years of supervised release on his conviction of conspiracy to distribute and possession with intent to distribute quantities of cocaine and crack-cocaine, United States Attorney Eric G. Olshan announced today.
United States Senior District Judge Kim R. Gibson imposed the sentence on Perry King, 48.
According to information presented to the Court, from in and around May 2021 to June 2021, in the Western District of Pennsylvania, King conspired to distribute a quantity of a mixture and substance containing a detectable amount of cocaine base, in the form commonly known as “crack,” and a quantity of a mixture and substance containing a detectable amount of cocaine. King also possessed with the intent to distribute a quantity of crack in and around both October 2019 and January 2020, totaling 28 grams or more on the latter occasion. King was intercepted on a federal wiretap obtaining quantities of cocaine and crack-cocaine that he distributed to others.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
United States Attorney Olshan commended the Federal Bureau of Investigation, Laurel Highlands Resident Agency and Homeland Security Investigations for the investigation that led to the successful prosecution of King. Additional agencies participating in this investigation included the Bureau of Alcohol, Tobacco, Firearms and Explosives, Internal Revenue Service – Criminal Investigation, United States Postal Inspection Service, Pennsylvania Office of Attorney General, Pennsylvania State Police, Cambria County District Attorney’s Office, Indiana County District Attorney’s Office, Cambria County Sheriff’s Office, Cambria Township Police Department, Indiana Borough Police Department, Johnstown Police Department, Upper Yoder Township Police Department, Richland Police Department, Ferndale Police Department and other local law enforcement agencies.
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.
Jacksonville Woman Pleads Guilty to Stealing over $100k of Veteran Affairs FundsRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Tamiko L. Williams (48, Jacksonville) has pleaded guilty to theft of government money. Williams faces a maximum penalty of 10 years in federal prison. A sentencing date has not been scheduled. As part of her plea, Williams agreed to forfeit $103,820, the proceeds of her criminal conduct.
According to court documents, between December 2019 and continuing through April 2022, Williams agreed to be a fiduciary for Veterans Affairs (VA) funds that were meant to benefit her disabled family member. During that time, Williams made large cash withdrawals from the fiduciary account and used it for personal spending until she was removed from the fiduciary account in April 2022.
“Today’s guilty plea sends a clear message that the VA OIG will vigorously investigate those who steal from vulnerable veterans who are unable to manage their financial affairs,” said Special Agent in Charge David Spilker with the Department of Veterans Affairs Office of Inspector General’s Southeast Field Office. “The VA OIG appreciates the support of the U.S. Attorney’s Office for their efforts to stop fraud within the VA’s Fiduciary Program.”
This case was investigated by Department of Veterans Affairs - Office of Inspector General’s Southeast Field Office and the Social Security Administration Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Brenna Falzetta. The forfeiture is being handled by Assistant United States Attorney Jennifer Harrington.
International cybercrime malware service dismantled by federal authorities: key malware sales and support actors in Malta and Nigeria charged in federal indictmentsRead the Press Release
ATLANTA – As part of an international law enforcement effort, federal authorities seized internet domains that were used to sell computer malware used by cybercriminals to secretly access and steal data from victims’ computers. Federal authorities in Atlanta and Boston also unsealed indictments charging individuals in Malta and Nigeria, respectively, for their alleged involvement in selling the malware and supporting cybercriminals seeking to use the malware for malicious purposes.
“Daniel Meli will no longer escape accountability for his actions selling malware,” said U.S. Attorney Ryan K. Buchanan. “This alleged cybercriminal facilitated the takeover and infection of computers worldwide. Our office was proud to partner with our federal and international counterparts to find Meli and bring him to justice. We will continue to diligently investigate and prosecute cybercrime in the Northern District of Georgia, and in all parts of the globe where our district is impacted.”
“Daniel Meli not only profited off this malicious malware but took the extra step to train others on how to use it.” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Cybercriminals may believe they are beyond the reach of the FBI, but this case proves anyone who helps or profits from criminal cyber activity will be brought to justice, no matter where they are located. Our goal is to protect victims and safeguard our country from these dangerous actors.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: Federal authorities in Boston seized www.warzone.ws and three related domains, which together offered for sale the Warzone RAT malware – a sophisticated remote access trojan (RAT) capable of enabling cybercriminals to surreptitiously connect to victims’ computers for malicious purposes. According to the court documents authorizing the seizures, the Warzone RAT provided cybercriminals the ability to browse victim file systems, take screenshots, record keystrokes, steal victim usernames and passwords, and watch victims through their web cameras, all without the victims’ knowledge or permission.
Investigations by the FBI in Boston and Atlanta also led to two indictments against individuals involved in selling and supporting the Warzone RAT and other malware.
Daniel Meli, 27, of Zabbar, Malta, was arrested on Feb. 7 at the request of the United States, following a coordinated operation by the Malta Police Force and the Office of the Attorney General of Malta, with the support of the FBI and Justice Department. Meli made his initial appearance before a Magistrate Judge in Valletta, Malta. Meli was indicted by a federal grand jury in the Northern District of Georgia on Dec. 12, 2023, with four offenses, including causing unauthorized damage to protected computers, illegally selling and advertising an electronic interception device, and participating in a conspiracy to commit several computer intrusion offenses. According to the charging documents, since at least 2012, Meli offered malware products and services for sale to cybercriminals on online computer-hacking forums. Specifically, Meli allegedly assisted cybercriminals seeking to use RATs for malicious purposes and offered teaching tools for sale, including an eBook. Meli also allegedly sold both the Warzone RAT and, before that, malware known as the Pegasus RAT, which he sold through an online criminal organization called Skynet-Corporation. He also provided online customer support to purchasers of both RATs. The Northern District of Georgia is seeking Meli’s extradition to the United States.
Separately, Prince Onyeoziri Odinakachi, 31, of Nigeria, was indicted by a federal grand jury in the District of Massachusetts on Jan. 30 with conspiracy to commit multiple computer intrusion offenses, including to obtain authorized access to protected computers to obtain information and causing unauthorized damage to protected computers. According to the charging documents, between June 2019 and no earlier than March 2023, Odinakachi provided online customer support to individuals who purchased and used the Warzone RAT malware. Law enforcement officers of the Port Harcourt Zonal Command of Nigeria’s Economic and Financial Crimes Commission arrested Odinakachi on Feb. 7.
The disruption of the Warzone RAT infrastructure was the product of a robust international law enforcement effort led by FBI special agents in Boston and Atlanta and coordinated with international partners in large part through Europol. According to court documents, in addition to discovering instances of the Warzone RAT being used to attack victim computers in Massachusetts, the FBI covertly purchased and analyzed the Warzone RAT malware, confirming its multiple malicious functions. Separately, law enforcement partners in Canada, Croatia, Finland, Germany, the Netherlands, and Romania provided valuable assistance securing the servers hosting the Warzone RAT infrastructure.
The charges of conspiracy, obtaining authorized access to protected computers to obtain information, illegally selling an interception device, and illegally advertising an interception device each provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss, whichever is greater. The charge of causing unauthorized damage to protected computers provides for a sentence of up to 10 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss, whichever is greater.
Assistant U.S. Attorneys Bethany L. Rupert and Michael Herskowitz for the Northern District of Georgia are handling the criminal prosecution of Meli. Assistant U.S. Attorneys James R. Drabick and Carol E. Head for the District of Massachusetts obtained the seizure warrants and Drabick is handling the criminal prosecution of Odinakachi.
The Justice Department’s Office of International Affairs provided substantial assistance during the investigation. Federal authorities also wish to acknowledge the cooperation and assistance of the FBI Boston and Atlanta Field Offices, Malta Police Force; Office of the Attorney General of Malta; Malta Ministry for Justice; Australian Federal Police; Croatian Ministry of the Interior Criminal Police Directorate; Dutch National Police; Europol European Cybercrime Center; Finland’s National Bureau of Investigation; State Police Force of Saxony, Germany; Japan Ministry of Justice; Port Harcourt Zonal Command of Nigeria's Economic and Financial Crimes Commission (EFCC); Romanian National Police; and Royal Canadian Mounted Police for their valuable assistance.
Anyone who is a victim of a Warzone RAT computer intrusion is urged to report it to the FBI at https://wzvictims.ic3.gov.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
International Cybercrime Malware Service Dismantled by Federal Authorities: Key Malware Sales and Support Actors in Malta and Nigeria Charged in Federal IndictmentsRead the Press Release
The Justice Department announced today that, as part of an international law enforcement effort, federal authorities in Boston seized internet domains that were used to sell computer malware used by cybercriminals to secretly access and steal data from victims’ computers. Federal authorities in Atlanta and Boston also unsealed indictments charging individuals in Malta and Nigeria, respectively, for their alleged involvement in selling the malware and supporting cybercriminals seeking to use the malware for malicious purposes.
Federal authorities in Boston seized www.warzone.ws and three related domains, which together offered for sale the Warzone RAT malware — a sophisticated remote access trojan (RAT) capable of enabling cybercriminals to surreptitiously connect to victims’ computers for malicious purposes. According to court documents authorizing the seizures, the Warzone RAT provided cybercriminals the ability to browse victim file systems, take screenshots, record keystrokes, steal victim usernames and passwords, and watch victims through their web cameras, all without the victims’ knowledge or permission.
Investigations by the FBI Boston and Atlanta Field Offices also led to two indictments against individuals involved in selling and supporting the Warzone RAT and other malware.
Daniel Meli, 27, of Zabbar, Malta, was arrested on Feb. 7 at the request of the United States, following a coordinated operation by the Malta Police Force and the Office of the Attorney General of Malta, with the support of the FBI and Justice Department. Meli made his initial appearance before a Magistrate Judge in Valletta, Malta. Meli was indicted by a federal grand jury in the Northern District of Georgia on Dec. 12, 2023, for four offenses, including causing unauthorized damage to protected computers, illegally selling and advertising an electronic interception device, and participating in a conspiracy to commit several computer intrusion offenses. According to charging documents, since at least 2012, Meli offered malware products and services for sale to cybercriminals through online computer-hacking forums. Specifically, Meli allegedly assisted cybercriminals seeking to use RATs for malicious purposes and offered teaching tools for sale, including an eBook. Meli also allegedly sold both the Warzone RAT and, before that, malware known as the Pegasus RAT, which he sold through an online criminal organization called Skynet-Corporation. He also provided online customer support to purchasers of both RATs. The Northern District of Georgia is seeking Meli’s extradition to the United States.
Separately, Prince Onyeoziri Odinakachi, 31, of Nigeria, was indicted by a federal grand jury in the District of Massachusetts on Jan. 30 for conspiracy to commit multiple computer intrusion offenses, including obtaining authorized access to protected computers to obtain information and causing unauthorized damage to protected computers. According to charging documents, between June 2019 and no earlier than March 2023, Odinakachi provided online customer support to individuals who purchased and used the Warzone RAT malware. Law enforcement officers of the Port Harcourt Zonal Command of Nigeria’s Economic and Financial Crimes Commission arrested Odinakachi on Feb. 7.
The disruption of the Warzone RAT infrastructure was the result of an international law enforcement effort led by FBI special agents in Boston and Atlanta and coordinated with international partners in large part through Europol. According to court documents, in addition to discovering instances of the Warzone RAT being used to attack victim computers in Massachusetts, the FBI covertly purchased and analyzed the Warzone RAT malware, confirming its multiple malicious functions. Separately, law enforcement partners in Canada, Croatia, Finland, Germany, the Netherlands, and Romania provided valuable assistance securing the servers hosting the Warzone RAT infrastructure.
“Today’s actions targeting the Warzone RAT infrastructure and personnel are another example of our tenacious and unwavering commitment to dismantling the malware tools used by cybercriminals,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “We will turn over every stone to prevent cybercriminals from attacking the integrity of our computer networks, and we will root out those who support such cybercriminals so they will be held accountable. Those who sell malware and support cybercriminals using it should know that they cannot hide behind their keyboards or international borders.”
“Daniel Meli will no longer escape accountability for his actions selling malware,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “This alleged cybercriminal facilitated the takeover and infection of computers worldwide. Our office was proud to partner with our federal and international counterparts to find Meli and bring him to justice. We will continue to diligently investigate and prosecute cybercrime in the Northern District of Georgia, and in all parts of the globe where our district is impacted.”
“This action highlights the FBI’s commitment to disrupting cybercriminal actors and taking down their infrastructure,” said Assistant Director Brian Vorndran of the FBI’s Cyber Division. “The FBI is proud of the international coordination involved in this law enforcement effort, and we will continue to build global partnerships to go after cybercriminals who seek to harm the American people.”
The charges of conspiracy, obtaining authorized access to protected computers to obtain information, illegally selling an interception device, and illegally advertising an interception device each provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss, whichever is greater. The charge of causing unauthorized damage to protected computers provides for a sentence of up to 10 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss, whichever is greater.
Assistant U.S. Attorneys James R. Drabick and Carol E. Head for the District of Massachusetts obtained the seizure warrants, and Drabick is prosecuting Odinakachi. Assistant U.S. Attorneys Bethany L. Rupert and Michael Herskowitz for the Northern District of Georgia are prosecuting Meli.
The Justice Department’s Office of International Affairs provided substantial assistance during the investigation. Federal authorities also wish to acknowledge the cooperation and assistance of the FBI Boston and Atlanta Field Offices; Malta Police Force; Office of the Attorney General of Malta; Malta Ministry for Justice; Australian Federal Police; Croatian Ministry of the Interior Criminal Police Directorate; Dutch National Police; Europol European Cybercrime Center; Finland’s National Bureau of Investigation; State Police Force of Saxony, Germany; Japan Ministry of Justice; Port Harcourt Zonal Command of Nigeria's Economic and Financial Crimes Commission (EFCC); Romanian National Police; and Royal Canadian Mounted Police for their valuable assistance.
Anyone who is a victim of a Warzone RAT computer intrusion is urged to report it to the FBI at https://wzvictims.ic3.gov.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Warzone RAT splash page.
International Cybercrime Malware Service Dismantled by Federal AuthoritiesRead the Press Release
BOSTON – The U.S. Attorney’s Office announced today that, as part of an international law enforcement effort, federal authorities in Boston seized internet domains that were used to sell computer malware used by cybercriminals to secretly access and steal data from victims’ computers. Federal authorities in Atlanta and Boston also unsealed indictments charging individuals in Malta and Nigeria, respectively, for their alleged involvement in selling the malware and supporting cybercriminals seeking to use the malware for malicious purposes.
Federal authorities in Boston seized www.warzone.ws and three related domains, which together offered for sale the Warzone RAT malware – a sophisticated remote access trojan (RAT) capable of enabling cybercriminals to surreptitiously connect to victims’ computers for malicious purposes. According to the court documents authorizing the seizures, the Warzone RAT provided cybercriminals the ability to browse victim file systems, take screenshots, record keystrokes, steal victim usernames and passwords, and watch victims through their web cameras, all without the victims’ knowledge or permission.
Additionally, two indictments have been unsealed against individuals involved in selling and supporting the Warzone RAT and other malware.
Daniel Meli, 27, of Zabbar, Malta, was arrested on Feb. 7, and appeared for an initial appearance before Magistrate Judge in Valletta, Malta. Meli was indicted by a federal grand jury in the Northern District of Georgia on Dec. 12, 2023, with causing unauthorized damage to protected computers; illegally selling and advertising an electronic interception device; and participating in a conspiracy to commit several computer intrusion offenses. According to the charging documents, since at least 2012, Meli offered malware products and services for sale to cybercriminals on online computer-hacking forums. Specifically, Meli allegedly assisted cybercriminals seeking to use RATs for malicious purposes and offered teaching tools for sale, including an eBook. Meli also allegedly sold both the Warzone RAT and, before that, malware known as the Pegasus RAT, which he sold through an online criminal organization called Skynet-Corporation. He also provided online customer support to purchasers of both RATs. The Northern District of Georgia is seeking Meli’s extradition to the United States.
Separately, Prince Onyeoziri Odinakachi, 31, of Nigeria, was arrested by the Port Harcourt Zonal Command of Nigeria’s Economic and Financial Crimes Commission on Feb. 7. Odinakachi was indicted by a federal grand jury in the District of Massachusetts on Jan. 30 with conspiracy to commit multiple computer intrusion offenses, including to obtain authorized access to protected computers to obtain information and causing unauthorized damage to protected computers. According to the charging documents, between June 2019 and no earlier than March 2023, Odinakachi provided online customer support to individuals who purchased and used the Warzone RAT malware.
According to court documents, in addition to discovering instances of the Warzone RAT being used to attack victim computers in Massachusetts, Warzone RAT malware was covertly purchased and analyzed confirming its multiple malicious functions.
“This week's actions targeting the Warzone RAT infrastructure and personnel are another example of our tenacious and unwavering commitment to dismantling the malware tools used by cybercriminals,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “We will turn over every stone to prevent cybercriminals from attacking the integrity of our computer networks, and we will root out those who support such cybercriminals so they will be held accountable. Those who sell malware and support cybercriminals using it should know that they cannot hide behind their keyboards or international borders.”
“Daniel Meli will no longer escape accountability for his actions selling malware,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “This alleged cybercriminal facilitated the takeover and infection of computers worldwide. Our office was proud to partner with our federal and international counterparts to find Meli and bring him to justice. We will continue to diligently investigate and prosecute cybercrime in the Northern District of Georgia, and in all parts of the globe where our district is impacted.”
“Today, the FBI and our international law enforcement partners dismantled a sophisticated malware service that cybercriminals bought and utilized to infect the computer systems of unsuspecting victims here in Massachusetts, and around the world,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “This operation highlights the FBI’s ongoing commitment to unmask and bring to justice anyone who uses today’s technology nefariously. We urge anyone who is a victim of a Warzone RAT intrusion to report it to us at wzvictims.ic3.gov.”The charges of conspiracy, obtaining authorized access to protected computers to obtain information, illegally selling an interception device, and illegally advertising an interception device each provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss, whichever is greater. The charge of causing unauthorized damage to protected computers provides for a sentence of up to 10 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss, whichever is greater. 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; FBI SAC Cohen; and U.S. Attorney Buchanan made the announcement today. Assistant U.S. Attorneys James R. Drabick and Carol E. Head for the District of Massachusetts obtained the seizure warrants and Drabick is handling the criminal prosecution of Odinakachi. Assistant U.S. Attorneys Bethany L. Rupert and Michael Herskowitz for the Northern District of Georgia are handling the criminal prosecution of Meli.The Justice Department’s Office of International Affairs provided substantial assistance during the investigation. Authorities also wish to acknowledge the cooperation and assistance of the Malta Police Force; Office of the Attorney General of Malta; Malta Ministry for Justice; Australian Federal Police; Croatian Ministry of the Interior Criminal Police Directorate; Dutch National Police; Europol European Cybercrime Center; Finland’s National Bureau of Investigation; State Police Force of Saxony, Germany; Japan Ministry of Justice; Port Harcourt Zonal Command of Nigeria’s Economic and Financial Crimes Commission (EFCC); Romanian National Police; and Royal Canadian Mounted Police. Law enforcement partners in Canada, Croatia, Finland, Germany, the Netherlands and Romania provided valuable assistance securing the servers hosting the Warzone RAT infrastructure.
Anyone who is a victim of a Warzone RAT computer intrusion is urged to report it to the FBI at https://wzvictims.ic3.gov.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty beyond a reasonable doubt:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Feb. 9 was:
Jeffrey Francis Wood, 54, of Livingston, on charges of possession of an unregistered silencer and possession of a firearm with an obliterated serial number. If convicted of the most serious crime, Wood faces a maximum of 10 years in prison, a $10,000 fine and three years of supervised release. Wood was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Park County Sheriff’s Office conducted the investigation. PACER case reference. 23-124.
Appearing on Feb. 8 was:
Jason Edwin Dynes, 37, of Red Lodge, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Dynes faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Dynes was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Montana Highway Patrol and Montana Probation and Parole conducted the investigation. PACER case reference. 24-8.
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Feb. 6 was:
Jarred Lane Saunders, 26, of Reed Point, on charges of possession with intent to distribute fentanyl, prohibited person in possession of firearms and ammunition and possession of stolen firearms. If convicted of the most serious crime, Saunders faces a maximum of 20 years in prison, a $1 million fine and three years of supervised release. Saunders was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Billings Police Department, Butte-Silver Bow Law Enforcement, Montana Highway Patrol, Montana Division of Criminal Investigation and Helena Police Department conducted the investigation. PACER case reference. 23-17.
Joshua Nzeyiman, 23, of Helena, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Nzeyiman faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Nzeyiman was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Montana Highway Patrol and Montana Probation and Parole conducted the investigation. PACER case reference. 24-1.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto pleading not guilty on Feb. 6 was:
Emily Ann Svoboda, 30, of Missoula, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and distribution of controlled substances. If convicted of the most serious crime, Svoboda faces a mandatory minimum of 10 years to life in prison, a $10 million fine and five years to life of supervised release. Svoboda was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Missoula Police Department and the Missoula High Intensity Drug Trafficking Area Task Force conducted the investigation. PACER case reference. 24-8.
Keith Andre Green, 49, of Missoula, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and possession of a firearm in furtherance of drug trafficking. If convicted of the most serious crime, Green faces a mandatory minimum of 10 years to life in prison, a $10 million fine and five years to life of supervised release on the drug charges and a mandatory minimum of five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearms charge. Green was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Missoula Police Department and the Missoula High Intensity Drug Trafficking Area Task Force conducted the investigation. PACER case reference. 24-8.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Individual Sentenced to 64 Months of Imprisonment for Two Cases of Identity Theft and FraudRead the Press Release
SAN JUAN, Puerto Rico – A Juncos, Puerto Rico resident was sentenced today by United States District Court Judge Pedro A. Delgado to a total of five years and four months of imprisonment for aggravated identity theft and bank fraud violations in two separate cases, announced U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico.
According to court documents, Juan Rivera Mundo, 27, devised a scheme to acquire individuals’ debit cards and PIN numbers from legitimate debit card transactions with the help of other people working as cashiers at multiple business locations in Puerto Rico that he recruited as part of the scheme. The defendant then used counterfeit access device equipment to “clone” those debit cards and then used them to illegally withdraw cash and make extravagant purchases, all for his own enrichment and that of others. In doing so, Rivera Mundo stole debit card numbers and personal identifying information in order to fraudulently obtain funds under the control of a federally insured financial institution.
Juan Rivera Mundo was originally charged on March 24, 2022. While on bail pending trial, Rivera Mundo engaged in additional illegal skimming activity. He was then charged for the new conduct and arrested on August 25, 2022. The defendant pleaded guilty to both cases on November 9, 2023.
In addition to the sixty-four months sentence of imprisonment, Rivera Mundo was ordered to serve five (5) years of supervised release and to pay restitution in the amount of $18,528.60.
Defendant was also charged in a third and separate federal indictment in the District of Puerto Rico on May 11, 2023, for conspiracy to commit wire fraud in 2020 by fraudulently requesting a Payroll Protection Program (PPP) loan as part of a scheme to defraud and obtain money and property from the United States Small Business Administration and a financial institution. This case is currently pending disposition.
The United States Secret Service investigated the bank fraud and aggravated identity theft cases. Assistant U.S. Attorney Marie Christine Amy prosecuted the cases.
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Hickman County Man Sentenced to Fifteen Years in Federal Prison for Possession with Intent to Distribute Methamphetamine and Firearms OffensesRead the Press Release
NASHVILLE – Dustin L. Truett, 40, of Lyles, Tennessee, was sentenced today to fifteen years in prison, followed by five years of supervised release, announced United States Attorney Henry C. Leventis. In July 2023, Truett pled guilty to a three-count Indictment charging him with Possession with Intent to Distribute Methamphetamine, Possession of a Firearm in Furtherance of Drug Trafficking, and Possession of a Firearm by a Previously Convicted Felon.
The convictions stemmed from an incident in December 2020, when law enforcement officers executed a search warrant at Truett’s residence. During the search, they recovered a gun safe, two bolt-action rifles, a bolt-action shotgun, digital scales, and ammunition. Inside the safe, they recovered $33,765 in cash, a stolen AR-style semi-automatic rifle, and 319 grams of 92% pure methamphetamine. Truett had previously been convicted of multiple felony drug offenses and was prohibited by law from possessing firearms.
The case was investigated by the Hickman County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Rachel M. Stephens prosecuted the case.
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Guatemalan Leader of Multi-Ton Cocaine Trafficking Organization Sentenced to Almost 22 Years in PrisonRead the Press Release
SAN DIEGO – Josue Adan Lemus-Lara, aka “Fenix,” was sentenced in federal court today to 260 months in prison. His sentence follows his conviction after a week-long jury trial in November 2023 where he was convicted on all charges in a maritime cocaine trafficking conspiracy.
During a multi-year wiretap investigation led by agents from Homeland Security Investigations and the Drug Enforcement Administration, Josue Lemus-Lara and his brother and co-conspirator, Willian Lemus-Lara, aka “Humilde,” were identified as leaders of a transnational criminal organization. The organization moved multi-ton quantities of cocaine at sea from South America to Guatemala and ultimately over land to Mexican counterparts, including members of the Sinaloa Cartel, for importation to the United States.
At trial, prosecutors presented evidence from 13 rounds of court-authorized wiretaps demonstrating that in 2017 Josue Lemus-Lara traveled from Guatemala to Colombia to oversee the Lemus-Lara Organization’s cocaine trafficking operation and to establish new cocaine supply lines. As Josue Lemus-Lara told a co-conspirator, “We either make money or we get thrown in jail or we get killed.”
In January 2018, U.S. Coast Guard officers seized a vessel sent by the
organization with cocaine concealed within fuel barrels.Prosecutors presented evidence at trial showing Lemus-Lara’s role as head of South American operations for the organization, including extensive wiretap transcripts, pictures Lemus-Lara sent of bespoke cocaine brands the group was procuring, and over a dozen photos of a cocaine laboratory in the Ecuadorian jungle. As prosecutors outlined at trial, in just a five-day span in May 2017, the organization dispatched four vessels, each carrying over 750 kilograms of cocaine from South America to Guatemala. Interdiction efforts by the United States Coast Guard stymied two of those loads, including 781-kilograms seized from the vessel below.
Josue Lemus-Lara, a Guatemalan national, was initially apprehended by Colombian authorities in February 2019. He was extradited to the United States from Colombia on December 2, 2020, upon request by the United States government.
This was a “highly sophisticated” and “spectacular conspiracy in its scope and depth,” said Chief U.S. District Judge Dana M. Sabraw. “It’s hard to put into words how sophisticated and involved it was.”
“This prosecution sends a shot across the bow to maritime traffickers moving narcotics across the Americas and into the United States,” said U.S. Attorney Tara McGrath. “Coordinated efforts of U.S. government agencies continue to identify, dismantle, and prosecute these operators inside our borders and beyond.”
“This significant sentencing reflects HSI, the United States Attorney’s Office, and our partner law enforcement agencies’ commitment to holding international drug traffickers responsible for their illicit activity,” said Chad Plantz, special agent in charge for HSI San Diego. “This complex multi-year investigation demonstrates HSI’s ability to disrupt and dismantle transnational criminal organizations and our commitment to protecting our communities and the people of the United States of America.”
“Drug traffickers drive addiction and destroy communities,” said DEA Acting Special Agent in Charge Paul Abosamra. “As such, the DEA and its partners will continue to pursue these traffickers in every corner of the globe and bring them to justice.”
“The members of the U.S. Coast Guard remain dedicated to helping dismantle the transnational criminal organizations that continue to threaten the lives within our community and country,” said Rear Admiral Andrew Sugimoto, commander, Coast Guard District 11. “As a service, we will continue to work with our international, federal and local partners to put an end to their illegal and dangerous operations and ensure these individuals are held accountable.”
This case was prosecuted by Assistant U.S. Attorney P. Kevin Mokhtari and Special Assistant U.S. Attorney Allison B. Murray.
DEFENDANT Case Number 18cr0390-DMS
Josue Adan Lemus-Lara Age: 39 Esquipulas, Guatemala
SUMMARY OF CHARGES
Conspiracy to Possess with Intent to Distribute Cocaine on Board a Vessel – Title 46, U.S.C., Sections 70503 and 70506(b)
Conspiracy to Distribute Cocaine Intended for Unlawful Importation into the United States – Title 21, U.S.C., Sections 959, 960 and 963
Maximum Penalties: Life in prison; $10 million fine
AGENCIES
Homeland Security Investigations (HSI)
Drug Enforcement Administration (DEA)
Customs and Border Protection (CBP)
U.S. Coast Guard
HSI Attaché Guatemala City, Guatemala
Department of Justice, Office of Enforcement Operations
Department of Justice, Office of International Affairs
Department of Justice, Organized Crime and Drug Enforcement Task Force (OCDETF)
Joint Interagency Task Force-South (JIATF-S)
Granada Hills Man Sentenced to 17½ Years in Federal Prison for COVID Jobless Benefits Scam and for Stealing Title to Dozens of CarsRead the Press Release
LOS ANGELES – A San Fernando Valley man was sentenced today to 210 months in federal prison for using stolen identities to fraudulently obtain more than $1,568,000 in COVID-19 pandemic-related unemployment benefits, and for stealing title to dozens of cars by presenting forged documents to the California Department of Motor Vehicles (DMV).
Eduard Gasparyan, 38, a.k.a. “Rudy Pineda” and “Papin Galstyan,” of Granada Hills, was sentenced by United States District Judge Josephine L. Staton, who also ordered him to pay $2,232,767 in restitution.
Gasparyan pleaded guilty in February 2023 to one count of conspiracy to commit wire fraud.
From at least 2020 to September 2022, Gasparyan and his then-fiancée, Angela Karchyan, 39, of Granada Hills, stole the identities of victims and used them to apply for unemployment insurance benefits from the California Employment Development Department (EDD), which administers the state’s unemployment insurance program.
As the COVID-19 pandemic worsened in 2020, Congress implemented Pandemic Unemployment Assistance (PUA) provisions to expand access to unemployment benefits to self-employed workers, independent contractors, and others who would not otherwise be eligible for them.
After the bogus unemployment insurance benefits applications were approved, Gasparyan and Karchyan used debit cards containing the fraudulently obtained benefits to withdraw cash at ATMs.
For example, on August 23, 2021, Gasparyan was filmed via surveillance camera at a bank ATM withdrawing $4,500 from nine debit cards within a 7-minute span. Three of the debit cards were issued in Gasparyan’s name while the other six debit cards were in the names of other individuals, court documents state.
From February 2020 to August 2022, EDD paid out approximately $544,089 in fraudulently obtained jobless benefits on at least 32 claims using the same address in Van Nuys that Gasparyan used as a mailing address, according to court documents. During that same time, EDD paid out approximately $307,012 in jobless benefits on at least 16 claims to a Granada Hills address linked to Gasparyan.
Gasparyan and Karchyan purchased vehicles using their own names as well as the names of identity theft victims but provided the sellers with worthless checks or bank account numbers to purportedly pay for the vehicles.
Gasparyan and his co-conspirators also used stolen identities to rent vehicles and then caused the DMV to remove the true owners – rental car companies – from the registration for those vehicles by using forged documents.
“The primary victims of [Gasparyan’s] conspiracy are the taxpayers, whose efforts to ameliorate the suffering of those who lost their jobs during the COVID pandemic [Gasparyan] took for himself, and the owners of the automobiles he stole,” prosecutors argued in a sentencing memorandum. “Of course, many individual victims of [Gasparyan’s] identity theft also suffered the anxiety of destroyed credit ratings, and the tremendous effort necessary to prove to lenders and landlords that they are not deadbeats, but rather victims of [Gasparyan’s] scheme.”
Karchyan pleaded guilty in February 2023 to one count of conspiracy to commit wire fraud. She is serving a 41-month prison sentence and was ordered to pay $2,232,767 in restitution.
The United States Department of Labor – Office of Inspector General, California Employment Development Department – Criminal Investigations, and the Orange County Auto Theft Task Force investigated this matter.
Assistant United States Attorney Andrew Brown of the Major Frauds Section prosecuted this case.
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 Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Franklin, Indiana, Man Sentenced to 172 Months in Prison for Transporting a Minor with Intent to Engage in Sexual ActivityRead the Press Release
URBANA, Ill. – A Franklin, Indiana, man, Dylan B. Clark, 20, of the 1500 block of South Highland Drive, has been sentenced to 172 months in prison, to be followed by ten years of supervised release, for transporting a minor across state lines, with intent to engage in sexual activity.
At the sentencing hearing, the government presented evidence that Clark, who was 19 years old, traveled from his home in Indiana into Illinois to pick up an 11-year-old girl, returning with her to his home, where he engaged in sexual conduct with the child.
During the hearing, U.S. District Court Judge Colin S. Bruce noted that the offense was “horrific,” and that Clark had irrevocably scarred a child through his actions.
Clark has been in the custody of the U.S. Marshal Service since his arrest on September 2, 2022. He pleaded guilty to the offense on September 8, 2023.
The statutory penalties for transporting a minor with intent to engage in sexual activity are a prison term of not less than 10 years and a term of supervised release of not less than five years.
“The U.S. Attorney’s Office in the Central District of Illinois and elsewhere continues to fight to protect this nation’s children from sexual abusers. Through the hard work of specialized agents within the Federal Bureau of Investigation and close cooperation with local law enforcement agencies across Illinois and Indiana, justice was gained for the minor victim in this tragic case,” said Assistant U.S. Attorney Rachel E. Ritzer.
“A child’s vulnerability can easily be exploited by offenders like Clark. Even though this sentence reflects the magnitude of his criminal conduct, it cannot undo the impact suffered by an 11-year-old child,” said FBI Springfield Special Agent in Charge David Nanz. “The FBI is committed to ensuring that those intent on harming children will instead spend their days behind bars.”
The Federal Bureau of Investigation, Springfield Field Office, Vermilion County (IL) Sheriff’s Department, and the Johnson County (IN) Sheriff’s Office investigated the case. Assistant U.S. Attorney Rachel E. Ritzer represented the government in the prosecution.
The case against Clark was investigated as part of Project Safe Childhood, a nationwide initiative by the U.S. Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Four Members of Bank Fraud Ring SentencedRead the Press Release
ALEXANDRIA, Va. – Four members of a multi-year bank fraud conspiracy, including a former bank teller who stole customer information, have been sentenced for fraudulently obtaining over $650,000 using the stolen identities of at least 25 victims.
According to court documents, Brianna Mills, 28, of Loganville, Georgia, abused her position as a bank teller to steal the personal identifying information (PII) of bank customers. Mills passed the information to her then-boyfriend, Stanley Desirade, 36, of Lanham, Maryland. Desirade used that PII to order fake identification documents from Desmond Nkwenya, 37, of Brookhaven, Georgia. These fake identification documents, which Nkwenya made according to Desirade’s specifications, usually included a victim’s PII but the face of a co-conspirator.
Once Nkwenya sent the fake identification documents to Desirade, Desirade provided them to Terrell Hale, 33, of Rockville, Maryland. At times, Hale supervised other co-conspirators as they went into the bank, impersonated the identity theft victim, and withdrew money from the victim’s account. During the conspiracy, the conspirators stole the PII of at least 25 customers and used that information to create at least 100 fake identification documents. Using these fake identification documents, the conspirators successfully stole approximately $660,082, and they attempted to steal an additional $1,008,134.
Desirade and Mills pleaded guilty to conspiracy to commit identity fraud. Desirade was sentenced on September 29, 2023, to six years in prison, and Mills was sentenced on August 25, 2023, to 18 months in prison. Hale and Nkwenya pleaded guilty to conspiracy to commit bank fraud. Hale was sentenced on July 21, 2023, to four years in prison, and Nkwenya was sentenced today to 30 months in prison.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; David J. Scott, Special Agent in Charge of the FBI Washington Field Office Criminal Division; Damon E. Wood, Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; and Matthew Stohler, Special Agent in Charge of the U.S. Secret Service’s Washington Field Office, made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton.
Assistant U.S. Attorney Christopher Hood 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 Nos. 1:23-cr-40 and 1:23-cr-60.
Former Wenatchee Man Pleads Guilty to COVID-19 Fraud Involving More than $117,000 in Pandemic Relief FundingRead the Press Release
Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today that Jason Carnell O’Daffer, formerly of Wenatchee, Washington, pled guilty to fraudulently obtaining more than $117,000 in COVID relief funding. United States District Judge Thomas O. Rice accepted O’Daffer’s guilty plea, and set sentencing for May 8, 2024, at 10:30 a.m., in Spokane.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided forgivable loans to eligible small businesses to retain jobs and maintain payroll during the pandemic. Another program, the Economic Injury Disaster Loan (EIDL) program, provided low-interest bridge funding for small businesses placed at risk during the pandemic.
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the U.S. Attorney’s Office, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S. Homeland Security Investigations (HSI), U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Internal Revenue Service, Department of Energy OIG, Department of Homeland Security OIG, and others. Cases investigated and prosecuted by the Strike Force have resulted in numerous indictments, criminal prosecutions, convictions, and civil penalties.
In the plea agreement accepted by the court, and in information disclosed during court proceedings, O’Daffer admitted to fraudulently obtaining $117,400 in EIDL funding for his purported home appraisal business, Chelan Douglas Appraisal Services. When O’Daffer submitted his EIDL application, he was not licensed as an appraiser, and his business was no longer engaging in home appraisals. Rather, O’Daffer spent the loan proceeds on non-business expenses including more than $39,000 for the purchase of a personal RV.
“We created the Eastern Washington COVID-19 Fraud Strike Force because combatting pandemic-related fraud and holding those accountable who abused these programs is critical to protecting our small and local businesses, and the critical jobs and services that these businesses provide for the community,” stated U.S. Attorney Waldref. “I commend the superb investigative work performed on these cases by the Strike Force and especially in this case by SBA OIG and the Secret Service. My office’s White Collar team will continue to vigorously prosecute those who abuse and misuse COVID-19 funding.”
“This investigation serves as a reminder to those who would prey on government programs, meant to help individuals in need, that they will be identified and held accountable,” said Greg Ligouri, Resident Agent in Charge of the Secret Service’s Spokane Office. “The Secret Service sincerely appreciates the U.S. Attorney’s Office, SBA and its other federal and local law enforcement partners for the collaborative effort in investigating and prosecuting these types of financial crimes.”
This case was investigated by the Eastern District of Washington COVID-19 Fraud Strike Force, the U.S. Secret Service, Spokane Resident Office and San Francisco Field Office, and the SBA OIG. Assistant United States Attorney Jeremy Kelly, and Assistant United States Attorney Tyler H.L. Tornabene are prosecuting this case on behalf of the United States.
A video statement from U.S. Attorney Waldref, about the Eastern Washington COVID-19 Strike Force, can be viewed here.
Former South Carolina Priest Sentenced to Federal Prison for Sexual Abuse of a ChildRead the Press Release
COLUMBIA, S.C. — Jaime Adolfo Gonzalez-Farias, a/k/a “Father Gonzalez,” 69, a former Catholic priest, of Laurens, was sentenced to more than 21 years in federal prison following a conviction for transportation of a minor with intent to engage in illegal sexual acts.
Father Gonzalez-Farias served as a Catholic priest since at least 1990, including in South Carolina from 2015 until his suspension by the Catholic authorities in late 2020. He most recently served at parishes in Newberry and Laurens Counties. He also served in parishes in Florida and New Jersey.
In early 2020, Gonzalez-Farias met the minor victim, an 11-year-old boy, and his family through his position as a priest. Gonzalez-Farias began giving high levels of attention to the child, including giving gifts such as a cellphone that he used to communicate with the victim. In November 2020, the child’s family reported to Catholic authorities their concern that the priest’s relationship with the child was inappropriate. Church authorities suspended Gonzalez-Farias and made a report to the Laurens County Sheriff’s Office and FBI Columbia Field Office.
Investigators learned that in November 2020 the priest took the minor victim to Florida alone under the pretense of a beach vacation, and during that trip, Gonzales-Farias masturbated in front of the victim, attempted to sexually assault him, and showed the minor victim pornography. Investigators uncovered numerous text messages and WhatsApp messages sent by the priest to the minor, that included affectionate names for the child and messages that were inappropriate, crossed appropriate boundaries, and were consistent with the minor victim’s disclosure of abuse.
After his arrest by FBI agents on Nov. 28, 2022, at the Miami International Airport, Gonzalez-Farias admitted that he touched the minor victim’s genitals in Florida and that he showed the victim pornography and showered with the victim in South Carolina. FBI searched the contents of Gonzales-Farias’s devices, and the contents of those devices showed a continued interest in minors. Gonzalez-Farias pleaded guilty in August 2023.
United States District Judge Mary Geiger Lewis sentenced Gonzalez-Farias to 262 months imprisonment, followed by a lifetime of supervised release. Gonzalez-Farias will also have to register as a sex offender as a result of his conviction, and he was ordered to pay restitution to the victim for losses incurred as a result of his conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, 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 identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.
The case was investigated by the FBI Columbia Field Office and the Laurens County Sheriff’s Office. Assistant U.S. Attorneys Elliott B. Daniels and E. Elizabeth Major are prosecuting the case.
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Former Palm Beach County Resident Sentenced to Three Years in Prison for Not Filing Tax Returns and Naturalization FraudRead the Press Release
A former Florida woman was sentenced yesterday to three years in prison for willfully failing to file tax returns and naturalization fraud.
According to court documents and statements made in court, Lucia Andrea Gatta was an Italian citizen, born in Chile. In 2001, Gatta moved to and began residing in the United States, and in 2012 she became a naturalized U.S. citizen.
Starting with tax year 2005, Gatta stopped filing tax returns or paying taxes on her income to the IRS. From 2011 to 2013, Gatta possessed millions of dollars in assets held in a foreign bank account in Switzerland that earned her hundreds of thousands in interest and dividend income every year. U.S. citizens and permanent residents are required to file with the U.S. Treasury Department a FinCEN Form 114 - Report of Foreign Bank and Financial Accounts (FBAR) if the combined balance of all foreign accounts they own, have a financial interest in or signature authority over is more than $10,000 at any point during a calendar year. For those years, Gatta did not file an annual FBAR reporting her interest in her Swiss bank account.
During her citizenship application process, Gatta falsely reported that she had not committed crimes, including her willful failure to file tax returns. Instead, Gatta lied to immigration officials about her income and claimed that her family financially supported her. She also submitted to a U.S. immigration officer false documents that purported to show she had minimal income.
Once Gatta knew she was under criminal investigation, she left the United States for Italy and contested her extradition for over 18 months. But in August 2023, the Italian government ordered Gatta’s extradition to the United States to face charges for her willful failure to file tax returns for tax years 2011 through 2013 and naturalization fraud.
In addition to the term of imprisonment, U.S. District Judge Aileen M. Cannon ordered Gatta to serve one year of supervised release and to pay a $50,000 fine.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.
IRS Criminal Investigation and Homeland Security Investigations investigated the case.
Senior Litigation Counsel Sean Beaty and Trial Attorney Parker Tobin of the Justice Department’s Tax Division prosecuted the case.
Former Navy corpsman indicted for failure to register as sex offenderRead the Press Release
LAREDO, Texas – A 34-year-old South Carolina man has been taken into federal custody for failing to register as a sex offender after traveling interstate to Texas, announced U.S. Attorney Alamdar S. Hamdani.
Authorities arrested Robert Counterman in Laredo. He is set to make his initial appearance before U.S. Magistrate Judge Diana Song Quiroga at 9:30 a.m.
In 2018, Counterman, corpsman in the U.S Navy, was convicted for attempting lewd acts with a child under the age of 16 and was ordered to register as a sex offender, according to the charges. He was allegedly discharged from military service following his conviction.
According to the indictment returned Feb. 6, Counterman failed to register or update his registration as a sex offender upon arriving in Texas in December 2022.
If convicted, Counterman faces up to 10 years in federal prison and a possible $250,000 maximum fine.
The U.S. Marshals Service (USMS) led the investigation with assistance from the Gulf Coast Violent Offenders and Fugitive Task Force. Special Assistant U.S. Attorney Terence A. Check Jr. is prosecuting the case, which is brought as part of Project Safe Childhood.
Project Safe Childhood is 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."
The Gulf Coast Violent Offenders and Fugitive Task Force is a team comprised of law enforcement officers from the USMS, Laredo Police Department, Webb County Sheriff’s Department, Webb/Zapata County District Attorney’s Office, Texas Department of Public Safety and Border Patrol. The task force’s objective is to seek out and arrest violent criminals, gang members and sex offenders. These task forces combine the efforts of federal, state and local law enforcement agencies to locate and arrest the most dangerous fugitives. Anonymous tips can be made by texting 411TIPS (847411) keyword GULFCOAST.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Former CEO Sentenced to Prison for COVID-19 Relief Fraud and Money LaunderingRead the Press Release
MIAMI – On Feb. 8, Gregory Scott Keough, 57, of Wellington, Florida, was sentenced to 30 months in prison for submitting fraudulent loan applications seeking approximately $2 million in forgivable Economic Injury Disaster Loans (EIDL) and Paycheck Protection Program (PPP) loans. These loans are guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
From March 2020 to Aug. 2020, Keough and conspirator Derek Acree, an attorney, submitted one fraudulent EIDL application and three fraudulent PPP loan applications on behalf of entities they both controlled. Of the funded loans, Keough was responsible for approximately $1,612,222. Keough individually submitted four additional false loan applications on behalf of companies he controlled as the Chief Executive Officer (CEO). Two of those applications were funded and Keough received $309,555 in CARES Act proceeds. These companies included National Financial Holdings Inc., NFH Florida LLC, DBA Finova Financial LLC, NFH Partners LLC, Grupo Keough LLC, Enclave Partners LLC, and National Financial Holding Technology LLC. The loans misrepresented the number of employees, payroll expenses, and gross revenues.
After obtaining the fraudulent loan proceeds, Keough transferred some of it to other bank account, paid multiple credit cards, as well as used to purchase and install storm windows for his home, private jet travel, and private school tuition.
Keough had entered a guilty plea to two counts of wire fraud and one count of money laundering in Nov. 2023. In addition to prison, Keough was ordered to pay $1,922,355 million in restitution.
Acree was charged separately and pled guilty to conspiracy to commit wire fraud in Oct. 2022 (Case No. 22-cr-80157). Acree was sentenced, in Jan. 2023, to 41 months in prison and ordered to pay $1,262,600 million in restitution.
Restitution was paid in full jointly by both Acree and Keough.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of FBI, Miami Field Office, made the announcement.
FBI West Palm Beach investigated the case. The Office of State Attorney Dave Aronberg for the 15th Judicial Circuit – Palm Beach County and the Palm Beach County Sheriff’s Office PPP Fraud Task Force provided invaluable assistance. Assistant U.S. Attorney Robin W. Waugh prosecuted it and Assistant U.S. Attorney Joshua Pastor handled asset forfeiture.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. 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.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-80154.
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Former Attorney Sentenced for Defrauding Personal Protective Equipment PurchaserRead the Press Release
NEW ORLEANS – FRANK LABRUZZO was sentenced on February 6, 2024, for conspiring with co-defendant, Cynthia Caronna, and a United Kingdom resident, for defrauding a business that sought to purchase personal protective equipment (PPE) during the COVID-19 pandemic, announced U.S. Attorney Duane A. Evans.
U.S. District Judge Greg G. Guidry sentenced LABRUZZO to five years’ probation and $1,012,500 in restitution.
Caronna and the UK resident formed a business to sell PPE, and selected LABRUZZO as the business’s escrow agent. LABRUZZO (who was then an attorney employed as an investigator with the Louisiana Attorney General’s Office) was presented to would-be buyers of PPE as a trustworthy escrow agent to safeguard the buyer’s purchase funds in an escrow account until the PPE was satisfactorily delivered.
According to court records, the conspirators agreed that LABRUZZO would disburse the would-be buyers’ funds despite their neither receiving the PPE nor consenting to the disbursements. The conspirators also agreed that each would receive portions of the would-be buyers’ funds without their knowledge or consent.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more
information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at
866-720-5721 or via the NCDF Web Complaint Form at:
https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Chandra Menon of the Public Integrity Unit was in charge of the prosecution.
Florida Felon Admits Role in Multi-Million Dollar Health Care Kickback Scheme After Pleading Guilty to COVID-19 Fraud and Unlawfully Possessing FirearmsRead the Press Release
MIAMI – On Feb. 8, a Florida man admitted his role in a multimillion-dollar durable medical equipment (DME) kickback scheme, after previously pleading guilty to carrying out a COVID-19 fraud scheme and being a felon in possession of firearms and ammunition.
Kareem Memon, 34, of Coral Springs, Florida, pleaded guilty, before U.S. District Judge Raag Singhal in the Southern District of Florida, to an information charging him with one count of conspiracy to commit health care fraud and one count of conspiracy to violate the federal Anti-Kickback Statute (Case No. 24-cr-60004).
According to documents filed in the health care fraud case and statements made in court, Memon and his conspirators owned and operated marketing call centers and telemedicine companies through which they obtained doctors’ orders for DME for Medicare beneficiaries without regard to medical necessity. Memon and his conspirators provided doctors’ orders in exchange for bribes from DME companies that provided the braces to Medicare beneficiaries. Memon and his conspirators caused losses to Medicare in excess of $11 million.
On Sept. 21, 2023, Memon pled guilty to wire fraud, money laundering, and felon in possession charges in a separate case before Judge Singhal (Case No. 23-cr-80068). According to documents in the wire fraud case and statements made in court, Memon submitted fraudulent loan applications seeking more than $451,000 in forgivable Economic Injury Disaster Loans (EIDL) and Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act and used those funds for personal gains. Moreover, at the time of Memon’s arrest he was a convicted felon and illegally possessed 12 firearms and ammunition.
Memon is scheduled to be sentenced in the two cases on March 26, 2024. The health care fraud conspiracy charge is punishable by a maximum of 10 years in prison and the kickback conspiracy charge is punishable by a maximum of five years in prison. The wire fraud charge is punishable by a maximum of 20 years in prison, the money laundering charge is punishable by a maximum of 10 years in prison, and the felon in possession charge is punishable by a maximum of 15 years in prison. The charges are also punishable by a fine.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Attorney for the United States Vikas Khanna for the District of New Jersey (for the health care fraud matter); Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office; and Special Agent in Charge James E. Dennehy of the FBI, Newark Field Office, made the announcement.
FBI West Palm Beach and Newark Field Offices investigated the cases. Invaluable assistance was provided by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); U.S. Department of Health and Human Services-Office of Inspector General; U.S. Department of Defense Office of Inspector General, Defense Criminal Investigative Service; and U.S. Department of Veterans Affairs Office of Inspector General.
Assistant U.S. Attorneys Robin W. Waugh for the Southern District of Florida and Matthew Specht for the District of New Jersey are prosecuting these cases. Assistant U.S. Attorney Joshua Pastor for the Southern District of Florida is handling asset forfeiture.
In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case numbers 23-cr-80068 and 24-cr-60004.
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Firearms Trafficker Pleads Guilty to 27 Counts Related to Unlicensed Firearms Sales and Possession of Illegal WeaponsRead the Press Release
SACRAMENTO, Calif. — Joshua Markanson, 32, of Victorville, pleaded guilty Thursday to conspiring to unlawfully manufacture and deal firearms, unlawfully manufacturing and dealing in firearms, engaging in the business of manufacturing and dealing firearms without registering and paying taxes, possession of unregistered firearms, and possession of unserialized firearms, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between Nov. 13, 2017, and Dec. 14, 2017, Markanson entered into a conspiracy to manufacture and sell firearms outside of lawful channels. An undercover agent and a confidential informant working for law enforcement purchased over 30 guns from the conspirators during the course of six undercover transactions. This included six unserialized short-barrel rifles and six unserialized silencers.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Sacramento Police Department and the California Highway Patrol. Assistant U.S. Attorneys Justin Lee and Cameron Desmond are prosecuting the case.
Co-defendant Donte Robins was convicted of conspiracy to unlawfully deal firearms without a license and was sentenced to nine months in prison. Co-defendant Rayshawn Wray was convicted of conspiracy to unlawfully deal firearms without a license and was sentenced to 18 months in prison.
Markanson is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on May 2, 2024. Markanson faces a maximum statutory penalty of five years in prison and a $250,000 fine for the counts of conspiracy to unlawfully manufacture and deal firearms and the unlawful dealing and manufacturing firearms count. He faces 10 years in prison and a $250,000 fine for the counts of possession of an unregistered firearm and the count of possession of an unserialized firearm. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Felon with Lengthy Criminal Past Pleads Guilty to ID Theft in Dark Web SchemeRead the Press Release
ALBANY, Ga. –A Florida resident who is already serving more than a decade in federal prison for committing fraud in his home state pleaded guilty this week to a new aggravated identity theft charge in Southwest Georgia after being caught trading personal identification information with individuals on the dark web and teaching others how to obtain fraudulent bank loans.
Damien D. Dennis, 44, of Middleburg, Florida, pleaded guilty to one count of aggravated identity theft before U.S. District Judge Leslie Gardner on Feb. 7. Dennis faces a mandatory minimum of two years in prison to be served consecutively to 12 years imprisonment imposed in the Middle District of Florida to be followed by three years of supervised release and a maximum $250,000 fine. For more information about the Middle District of Florida conviction and sentencing, please visit: https://www.justice.gov/usao-mdfl/pr/jacksonville-man-sentenced-12-years-federal-prison-bank-fraud-and-aggravated-identity. Dennis is not eligible for parole.
“Innocent people’s identities were stolen and used to create phony documents so other scam artists could commit all manner of theft and fraud,” said U.S. Attorney Peter D. Leary. “Damien Dennis was running an ID theft scheme that went so far as to teach other individuals how to commit fraud—including how to obtain bank loans—using other people’s stolen identities. Working alongside our law enforcement partners, our office is committed to holding fraudsters accountable and stopping these criminals from preying upon individuals and businesses.”
“This case is another example that clearly shows criminals are continuously looking for ways to steal from unwitting victims. In this case, victims were violated when Damien Dennis possessed their Personal Identifiable Information (PII) for the sole purpose of committing fraud,” said Resident Agent in Charge Clint Bush of the U.S. Secret Service’s Albany, Georgia, Resident Office. “The United States Secret Service, along with our state, local and federal law enforcement partners, will continue to investigate, arrest and support the successful prosecution of the criminals who choose to commit this and other types of financial fraud in our community and around the nation.”
According to court documents, the Ashburn Police Department pulled Dennis over for speeding on Feb. 25, 2020; Dennis was driving with a suspended license and was taken into custody. Inside Dennis’s car, officers found eight drivers licenses belonging to actual people living in seven states and one social security card. Officers also found blank W-2 forms, blank check papers, badge makers, printers, bank ID cards, security laminates and scotch business card protectors inside the car; these materials are some of the tools used to commit fraud and identity theft. Cells phones, laptops and a USB thumb drive were also recovered.
Dennis told officers he purchased the identification documents from unknown individuals on the dark web. He would use this information to create profiles to sell to other people. Dennis admitted to using the equipment and documents found in his car to make counterfeit identification cards, drivers licenses, social security cards, W-2s, lease agreements and entire profiles for customers needing them for fraudulent uses. Secret Service agents discovered extensive conversations on Dennis’s cell phones where he was teaching unknown individuals how to use the fake profiles to request and obtain bank loans.
This case was investigated by the United States Secret Service (USSS) and the Ashburn Police Department.
Assistant U.S. Attorney Matthew Redavid is prosecuting the case for the Government.
Federal Way, Washington man indicted for abusive sexual contact on a flight from San Diego to SeattleRead the Press Release
Seattle – A 25-year-old Federal Way, Washington resident will appear today on an indictment returned last year for Abusive Sexual Contact, announced U.S. Attorney Tessa M. Gorman. Desmond D. Bostick was located by law enforcement and arrested on February 9, 2024. The indictment was returned under seal September 27, 2023.
According to records in the case, Bostick was seated in the last row of the plane on an Alaska Airlines flight from San Diego to Seattle. Bostick was in the aisle seat and the victim, who was a stranger to Bostick, was seated in the middle seat. Bostick allegedly repeatedly touched the victim on the thigh and grabbed her buttocks when she stood to allow the passenger in the window seat to exit the row. Bostick allegedly used a blanket he brought on the plane to hide his conduct.
After the plane touched down, the victim reported the conduct to the flight crew and law enforcement began its investigation. Bostick had left the airport and his location was unknown. The FBI located and arrested him.
In June 2023, the U.S. Attorney’s Office reported an alarming increase of sexual misconduct on aircraft. Since highlighting the issue, three additional cases have been filed or adjudicated.
This case is being investigated by the FBI with the assistance of the Port of Seattle Police.
The case is being prosecuted by Assistant United States Attorney Sean H. Waite.
Federal Judge Sentences Man to 20 Years in Prison for Detonating Pipe Bomb at Suburban Chicago Train StationRead the Press Release
CHICAGO — A federal judge today sentenced a man to 20 years in prison for detonating a pipe bomb at a suburban Chicago train station.
On Sept. 1, 2006, THOMAS JAMES ZAJAC placed a pipe bomb in a trash can at the BNSF Railway station in Hinsdale, Ill. The device exploded during the morning commute, injuring a station agent.
U.S. District Judge Matthew F. Kennelly imposed the sentence during a hearing in federal court in Chicago. Judge Kennelly ordered that the sentence must be served after the completion of a federal sentence that Zajac is currently serving for bombing a public library in Salt Lake City, Utah, in 2006.
Today’s sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives. Valuable assistance was provided by the Hinsdale Police Department, DuPage County, Ill., Sheriff’s Office, U.S. Secret Service, U.S. Postal Inspection Service, and the BNSF Police Department. The government was represented by Assistant U.S. Attorneys G. David Rojas, Brian Kerwin, and Andréa L. Campbell.
Evidence at Zajac’s federal trial in Chicago last year revealed that Zajac felt disrespected when a family member was arrested by Hinsdale Police in the year before the bombing. About a month after the bombing, Zajac sent an anonymous letter to the Hinsdale Police Department, stating that the police had “[expletive] with” the wrong person and that the writer had “fired a warning shot” last month. The letter indicated that police actions would “likely eventually lead to the death” of at least one person in Hinsdale, and that the writer wanted to see whether the department was “bright enough or possess[ed] the character to stop this death.”
Zajac, 70, formerly of Oakbrook Terrace, Ill., was convicted on all three counts against him, including one count of attempting to damage property with an explosive, one count of possessing an unregistered destructive device, and one count of willfully making a threat through the mail to kill or injure a person with an explosive.
Federal Inmate Convicted of Assault with Intent to Commit Murder and Assault Resulting in Serious Bodily InjuryRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Lorenzo Scott, age 50, formerly of Rayville, Louisiana, and an inmate at the United States Penitentiary (USP) at Lewisburg, was convicted of assault with intent to commit murder and assault resulting in serious bodily injury following a three-day jury trial before Chief Judge Matthew W. Brann in Williamsport.
According to United States Attorney Gerard M. Karam, Scott was an inmate at USP Lewisburg on March 25, 2015, when he physically assaulted his cellmate and repeatedly struck, stomped, and inflicted blunt force trauma to the cellmate’s head resulting in severe, life- threatening injuries. A corrections officer at USP Lewisburg, who was conducting rounds at 4:00 a.m., observed Scott stomping on the cellmate’s head as the cellmate lay on the floor of the cell in a puddle of blood. The cellmate died approximately two years and two months after the assault from the injuries inflicted by Scott.
The indictment in this case originally charged Lorenzo Scott with murder. However, the charge of murder was withdrawn by the government due to existing federal caselaw regarding the “year-and-a-day-rule,” which bars a prosecution for murder in cases in which the victim dies more than a year and a day after the infliction of the wound causing the victim’s death.
During the trial, Scott testified and admitted that, without provocation, he assaulted and intended to kill his victim.
A bill has been introduced in Congress which would abolish the year-and-a-day-rule in federal murder cases.
The case was investigated by the FBI-Williamsport Division and the Bureau of Prisons (BOP) Special Investigations Section (SIS). Assistant United States Attorney Robert J. O’Hara and Kyle A. Moreno prosecuted the case.
The charges of assault with intent to commit murder and assault resulting in serious bodily injury each carry a maximum sentence under federal law of up to 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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February Federal Grand Jury 2023-A Indictments AnnouncedRead the Press Release
United States Attorney Clint Johnson today announced the results of the February Federal Grand Jury 2023-A Indictments.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Nathan Dewayne Burks. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence; Felon in Possession of Ammunition (superseding). Nathan Dwayne Burks, 32, a Cherokee Nation member, is charged with assault with a dangerous weapon with intent to do bodily harm and discharging a firearm during and in relation to a crime of violence. He is further charged with possessing ammunition after being convicted of 3 felonies in Muscogee (Creek) Nation District Court. The FBI and Sand Springs Police Department are the investigating agencies. Assistant U.S. Attorney Matt Cyran is prosecuting the case. 23-CR-312
Juan Cervando Cervantes Sepulveda. Unlawful Reentry of a Removed Alien. Cervantes Sepulveda, 37, a Mexican national, is charged with unlawfully reentering the United States after having been removed in Jun. 2022, at or near Laredo, Texas. U.S. Immigration and Custom’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Cheryl L. Baber is prosecuting the case. 24-CR-038
Nicholas Kyle Dietzel. Attempted Aggravated Sexual Abuse of a Minor Under 12 Years of Age; Attempted Interstate Travel with Intent to Engage in Illicit Sexual Conduct with a Person Under 18 Years of Age; Attempted Coercion and Enticement of a Minor; Attempted Distribution of Child Pornography to a Minor; Receipt and Distribution of Child Pornography; Possession of Child Pornography in Indian Country. Dietzel, 43, of Tulsa, a Cherokee Nation member, is charged with attempting to cross State lines to entice a minor under 12 years old to engage in a sexual act. He allegedly attempted to entice a minor to engage in sexual activity. Dietzel also attempted to distribute videos depicting the sexual abuse of children to a minor. He is further charged with knowingly receiving, possessing, and distributing visual images and videos depicting the sexual abuse of children. Homeland Security Investigations – Tulsa, Homeland Security Investigations – Phoenix, Tulsa International Airport Police Department, Tulsa Police Department, Tulsa County Sherriff’s Office, Creek County Sherriff’s Office, and Collinsville Police Department are the investigative agencies. Assistant U.S. Attorney Ashley Robert is prosecuting the case. 24-CR-30
Mark Alfred Foreman. First Degree Burglary in Indian Country (Counts 1 and 2); Second Degree Burglary in Indian Country (Count 3); Third Degree Burglary in Indian Country (Counts 4 through 7). Foreman, 37, of Tulsa, a Sac and Fox Nation member, is charged with breaking into the home of three separate individuals in Nov. 2023. He is further charged with breaking into the vehicles of four separate individuals in Nov. 2023. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Stephen J. Flynn is prosecuting the case. 24-CR-044
Freddie Dewayne Gaskey. Felon in Possession of a Firearm and Ammunition; Possession of an Unregistered Weapon Made from a Shotgun. Gaskey, 46, of Tulsa, is charged with possessing a firearm and ammunition after he had previously been convicted of several felonies in various Oklahoma District Courts. He is further charged with possessing an unregistered shotgun. The Bureau of Alcohol, Tobacco, Firearms and Explosives and U.S. Marshal Service are the investigative agencies. Assistant U.S. Attorney Justin G. Bish is prosecuting the case. 24-CR-039
Christin Brianna Kelley. Second Degree Murder in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence; Felon in Possession of a Firearm and Ammunition. Kelley, 33, of Sapulpa, a Muscogee (Creek) Nation member, is charged with killing Isaac Smith in Jan. 2024. She is further charged with discharging a firearm during a crime of violence and possessing a firearm and ammunition after being convicted of three felonies in Tulsa County District Court. The FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Sand Springs Police Department are the investigative agencies. Assistant U.S. Attorneys Eric O. Johnston and Stephen J. Flynn are prosecuting the case. 24-CR-040
Timothy Don Major, Jr. Coercion and Enticement of a Minor; Receipt of Child Pornography; Possession of Child Pornography in Indian Country. Major, 34, of Tulsa, a Cherokee Nation member, is charged with persuading and enticing a minor child under 18 years old. He is further charged with knowingly receiving and possessing visual images and videos depicting the sexual abuse of children under 12 years old. Homeland Security Investigations, Tulsa Police Department and the Tulsa County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney Ashley Robert is prosecuting the case. 24-CR-033
Victor Adrian Medina-Beltran. Possession of Cocaine with Intent to Distribute. Medlina-Beltran, 37, a Honduran national, is charged with knowingly and intentionally possessing over 5 kilograms of cocaine with intent to distribute. The Drug Enforcement Administration – Tulsa and El Paso Division, Tulsa Police Department, and Oklahoma Highway Patrol are the investigative agencies. Assistant U.S. Attorney David A. Nasar is prosecuting the case. 24-CR-032
Cavin Tyler Morgan. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country (Counts 1 through 3); Making a Materially False, Fictitious, and Fraudulent Statement (Counts 4 and 5); Tampering with Evidence by Corrupt Persuasion (Count 6). Morgan, 27, of Welch, a Cherokee Nation member, is charged with assaulting three individuals with a dangerous weapon. He is further charged with making false statements to law enforcement and persuading someone to conceal evidence in Jan. 2024. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Craig County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorneys Stephen N. Scaife and John Brasher are prosecuting the case. 24-CR-041
Robert Ivan Nading. Felon in Possession of a Firearm and Ammunition; Possession of an Unregistered Weapon Made from a Shotgun Having a Barrel of Less Than 18 Inches in Length; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence (superseding). Nading, 55, of Welch, a Cherokee Nation member, is charged with possessing a firearm and ammunition after previously being convicted of felonies in Kansas and Ohio. He allegedly possessed an unregistered shotgun, with intent to do bodily harm to two individuals while discharging a firearm in relation to a crime of violence. He is further charged with intent to do bodily harm to a third individual while brandishing a firearm in Apr. 2023. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Craig County Sherriff’s Office are the investigative agencies. Assistant U.S. Attorney John W. Dowdell is prosecuting the case. 23-CR-250
Jovin Roque-Avila. Alien Unlawfully in the United States in Possession of a Firearm. Roque-Avile, 26, a Honduras national, is charged with knowing he was an illegal alien and unlawfully possessing a firearm and ammunition in Dec. 2023. The Homeland Security Investigations and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Shakema M. Onias is prosecuting the case. 24-CR-042
Ronald Dale Sanders. Transportation of a Minor with Intent to Engage in Criminal Sexual Activity; Sexual Abuse of a Minor in Indian Country; Abusive Sexual Contact with a Minor in Indian Country; Tampering with Evidence by Corrupt Persuasion; Coercion and Enticement of a Minor; Production of Child Pornography (superseding). Ronald Dale Sanders, 55, of Belton, Missouri, is charged with traveling to engage in a sexual act with an Indian child under the age of 16, from Aug. 2023 through Oct. 2023. He allegedly attempted to destroy or conceal evidence as well as coercing and enticing the child. He is further charged with enticing a minor for the purpose of producing visual images and videos depicting the sexual abuse of children. The FBI, Ottawa County Sherriff’s Office, Miami Police Department, and Oklahoma Highway Patrol are investigative agencies. Assistant U.S. Attorney Alicia Hockenbury is prosecuting the case. 23-CR-354
Luis Gerardo Trejo-Zambrano; Luis Antonio Soria; Bryan Ulysses Martinez; Darmel Dashun Batemon Jr. Conspiracy and Attempt to Traffick Firearms (Counts 1 and 3); Kidnapping (Count 2); Felon in Possession of a Firearm and Ammunition (Count 4); Possession of an Unregistered Silencer (Count 5); Receipt of a Firearm While Under Indictment for a Felony (Count 6); Transporting Firearms in Interstate Commerce While Under Indictment (Counts 7 and 8). Trejo-Zambrano, 22, of Watts, Soria, 21, of Siloam Springs, AR, Martinez, 18, of Springdale, AR, and are charged with conspiring to dispose of one or more firearms. Trejo-Zambrano, Soria, and Martinez knowingly kidnapped a victim. Batemon, 21, of North Little Rock, AR, Trejo-Zambrano, and Soria are also charged with transporting firearms while under indictment. Trejo-Zambrano is further charged with allegedly conspiring to dispose of a firearm and possessing an unregistered silencer. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Kenneth Elmore and John Brasher are prosecuting the case. 24-CR-045
Fairfax Man Sentenced for Downloading Child Sexual Abuse Videos and Images, Including Computer-Generated MaterialRead the Press Release
ALEXANDRIA, Va. – A Fairfax man was sentenced yesterday to seven years in prison for downloading millions of images and videos of child exploitation, including child sexual abuse material (CSAM) and computer-generated videos depicting the violent rape of children.
According to court documents, James Andrew Whitney, 62, sought out and downloaded video and image files depicting minors engaged in sexually explicit conduct, including material depicting prepubescent minors and minors under the age of 12. Using technology to conceal his identity, Whitney collected millions of images and videos depicting the sexual exploitation of children. Whitney also downloaded thousands of computer-generated images depicting the same. Among the downloaded computer‑generated materials was a video featuring the abduction of a child from a playground, followed by the sadomasochistic rape of the child.
As early as April 2010, Whitney also used the CSAM he downloaded to create projects in which he photoshopped prepubescent, naked minor females into photographs around his residence and narrated sexual encounters between himself and the minor victims.
Whitney pleaded guilty on September 11, 2023, to charges that he possessed and received CSAM and that he received obscene visual representations of the sexual abuse of children. The investigation showed that Whitney downloaded CSAM for at least 15 years, and investigators ultimately recovered more than five terabytes (TB) of CSAM from his electronic devices.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and David J. Scott, Special Agent in Charge of the FBI Washington Field Office Criminal Division, made the announcement after U.S. District Judge Patricia Tolliver Giles announced the sentence.
Special Assistant U.S. Attorney Rachel L. Rothberg and Assistant U.S. Attorney Vanessa Strobbe prosecuted the case. The forensic examiners of the High Technology Investigative Unit of the Justice Department’s Child Exploitation and Obscenity Section (CEOS) provided significant assistance in this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force. The task force is composed of FBI agents, along with other federal agents and detectives from northern Virginia and the District of Columbia. The task force is charged with investigating and bringing federal charges against individuals engaged in the exploitation of children and those engaged in human trafficking.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:23-cr-124.
Duo Indicted for Spree of Eleven Armed Robberies in Two Weeks Across Indianapolis and SpeedwayRead the Press Release
INDIANAPOLIS- A federal grand jury has returned an indictment charging Donta Allen, 26, and Lance McGee, 32, of Indianapolis, each with one count of conspiracy to commit robbery, 11 counts of interference with commerce by robbery, 11 counts of brandishing a firearm during a crime of violence, and one count each of possession of firearms by a convicted felon.
According to the indictment, from March 25, 2022, through April 8, 2022, Allen and McGee worked together to rob at least eleven different stores in Indianapolis and Speedway, Indiana. Allegedly, Allen disguised his appearance with a ski mask and attempted to cover his tattoos with make-up, entered the store, pointed a firearm at the cashier and demanded cash. In each alleged robbery, McGee served as the getaway driver in a Chevy Malibu and received a portion of the proceeds.
The series of robberies took place on the following dates and locations:
Date
Victim Business
March 25, 2022
Disc Replay; 8210 Rockville Road, Indianapolis
March 25, 2022
GameStop; 5816 Crawfordsville Road, Speedway
March 27, 2022
GameStop; 3269 West 86th Street, Indianapolis
March 27, 2022
AutoZone; 4606 East County Line Road, Indianapolis
April 2, 2022
GameStop; 4525 Lafayette Road, Indianapolis
April 2, 2022
AutoZone; 7455 Michigan Road, Indianapolis
April 3, 2022
Disc Replay; 9739 East Washington Street, Indianapolis
April 5, 2022
Disc Replay; 7317 US 31 South, Indianapolis
April 5, 2022
AutoZone; 8525 Southeastern Avenue, Indianapolis
April 5, 2022
AutoZone; 6055 East 82nd Street, Indianapolis
April 8, 2022
GameStop; 6905 South Emerson Avenue, Indianapolis
At the time of the alleged offenses, both defendants allegedly had previous felony convictions, prohibiting them from ever legally possessing a firearm.
The FBI, IMPD, and Speedway Police Department investigated this case. If convicted, each defendant could face up to life in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Zachary A. Myers thanked Assistant U.S. Attorney Pamela S. Domash, who is prosecuting this case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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District Man Pleads Guilty to Assault While Armed for Shooting Two Minor Victims in Northwest D.C.Read the Press Release
WASHINGTON – Eric Lemus, 20, of Washington, D.C., pleaded guilty today to one count of assault with intent to kill while armed and one count of possession of a firearm during a crime of violence for his role in shooting two minor victims on March 22, 2023, announced U.S. Attorney Matthew M. Graves and Pamela A. Smith, Chief of the Metropolitan Police Department (MPD).
U.S. Superior Court Judge Maribeth Raffinan set a sentencing date of June 7, 2024. Lemus faces a maximum sentence of up to 30 years for assault with intent to kill while armed, and up to 15 years for possession of a firearm during a crime of violence. The prison term will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
According to the government’s evidence, on March 22, 2023 at approximately 5:00 p.m., Lemus encountered the two minor victims, ages 15 and 17, at Park Road Park in the Columbia Heights neighborhood in Northwest D.C. Lemus then produced a handgun and opened fire on the two victims, who were both struck and later treated for gunshot wounds. After firing multiple rounds at the two victims until the magazine was empty, Lemus attempted to flee the scene but was immediately apprehended by officers with the Metropolitan Police Department. The handgun that Lemus used to commit the shooting was located inside of his sweatshirt pocket when he was stopped, and the crime was captured on video by a bystander who had witnessed the incident.
Lemus has been in custody since March 22, 2023, where he will remain until sentencing.
This case was investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. It was prosecuted by Assistant U.S. Attorneys Caroline Coates Huether and Carlos A. Valdivia.
District Man Indicted on Three Counts of Armed Carjacking and Other ChargesRead the Press Release
WASHINGTON- Dallas McKinney, 19, of the District of Columbia, was arraigned yesterday on an indictment returned by a Superior Court grand jury that charged him with armed carjacking, possessing a firearm during a crime of violence, and other charges arising from a series of armed carjackings through several neighborhoods in Southeast DC, committed in just 35 minutes. The announcement was made by U.S. Attorney Matthew M. Graves and Chief Pamela Smith of the Metropolitan Police Department (MPD).
The 11-count indictment charges McKinney with three counts of armed carjacking; four counts of possession of a firearm during a crime of violence; one count of assault with a dangerous weapon; two counts of unauthorized use of a vehicle during a crime of violence; and one count of carrying a pistol without a license. The Honorable Judge Jason Park ordered that McKinney be held without bond pending trial.
On September 29, 2023, McKinney carjacked an Uber driver at gunpoint in the Eastern Market neighborhood, threatening both the Uber driver and his passenger. About 20 minutes later, McKinney and a co-conspirator used the stolen Uber to try to commit another armed carjacking near Branch and Pennsylvania Avenues SE. Fifteen minutes later, McKinney and his co-conspirator then committed a third armed carjacking at the corner of Alabama and Massachusetts Avenues SE. Police arrested McKinney that afternoon in the 1300 block of Congress Street SE, not far from the two stolen vehicles. At the time, McKinney had a tan Glock 19X 9mm pistol loaded with an extended magazine and equipped with a “giggle switch” or “auto sear,” a device used to make a semi-automatic weapon automatic.
This case is being investigated by the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorneys Will Lawrence and Erica Rudolf.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
District Man Indicted on Enhanced Second-Degree Theft for Theft from Macy’sRead the Press Release
WASHINGTON – On Wednesday, January 31, Antoine Harvell, 36, of Washington, D.C., was indicted by a grand jury in the Superior Court of the District of Columbia on one count of felony second-degree theft and unlawful entry stemming from events occurring on January 24, 2024, U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD) announced.
Harvell is to be arraigned on February 15, 2024, at a hearing before a Superior Court judge.
According to the government’s evidence, on January 24, 2024, Harvell went into Macy’s—having previously been barred from the store—and concealed store merchandise before walking out of the store past all points of sale without paying. Harvell was then arrested by the Metropolitan Police Department.
Harvell has more than two prior theft convictions, though not from the same occasion, and therefore is subject to enhanced penalties for his alleged theft, including a mandatory minimum sentence of one year in jail for the count of theft for which he is indicted.
Since September 1, 2023, including the aforementioned case, the United States Attorney’s Office for the District of Columbia has indicted 21 cases involving a felony second-degree theft charge based on a defendant’s two or more prior theft convictions, not from the same occasion.
This case was investigated by the Metropolitan Police Department (MPD) and the U.S. Attorney’s Office for the District of Columbia. It was prosecuted by Special Assistant U.S. Attorney Connor Mulvey.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
District Man Indicted on Enhanced Second-Degree Theft for Retail TheftRead the Press Release
WASHINGTON – This week, Leon Johnson, 50, of Washington, D.C., was indicted by a grand jury in the Superior Court of the District of Columbia on one count of felony second-degree theft stemming from events occurring on January 6, 2024, U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD) announced.
Johnson is to be arraigned on February 15, 2024, at a hearing before a Superior Court judge.
According to the government’s evidence, on January 6, 2024, Johnson went into a CVS in Northwest Washington, D.C., took merchandise from the store shelves, and walked out of the store past all points of sale without paying. Johnson was arrested soon thereafter by the Metropolitan Police Department.
Johnson has two or more prior theft convictions, though not from the same occasion, and therefore is subject to enhanced penalties for his alleged theft, including a mandatory minimum sentence of one year in jail for the count of theft for which he is indicted.
Since September 1, 2023, including the aforementioned case, the United States Attorney’s Office for the District of Columbia has indicted 21 cases involving a felony second-degree theft charge based on a defendant’s two or more prior theft convictions, not from the same occasion.
This case was investigated by the Metropolitan Police Department (MPD) and the U.S. Attorney’s Office for the District of Columbia. It was prosecuted by Special Assistant U.S. Attorney Connor Mulvey.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
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District Man Indicted on Enhanced Second-Degree Theft for Series of Package Thefts Near Adams MorganRead the Press Release
WASHINGTON – On Wednesday, January 31, Rodrigo Miranda, 43, of Washington, D.C., was indicted by a grand jury in the Superior Court of the District of Columbia on 35 counts of felony second-degree theft, seven counts of unlawful entry, and one count of destruction of property stemming from events occurring between July 19, 2022, and April 4, 2023, U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD) announced.
Miranda was arraigned on, February 8, 2024, at a hearing before a Superior Court judge.
According to the government’s evidence, between July 19, 2022, and April 4, 2023, Miranda took packages from several locations in the Adams Morgan area. In doing so, Miranda unlawfully entered areas he was not legally allowed to be in and destroyed property to gain access. Miranda was later located and arrested after investigation by the Metropolitan Police Department.
Miranda has more than two prior theft convictions, though not from the same occasion, and therefore is subject to enhanced penalties for his alleged theft, including a mandatory minimum sentence of one year in jail for each count of theft for which he is indicted.
Since September 1, 2023, including the aforementioned case, the United States Attorney’s Office for the District of Columbia has indicted 21 cases involving a felony second-degree theft charge based on a defendant’s two or more prior theft convictions, not from the same occasion.
This case was investigated by the Metropolitan Police Department (MPD) and the U.S. Attorney’s Office for the District of Columbia. It was prosecuted by Special Assistant U.S. Attorney Connor Mulvey.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
District Man Indicted on Enhanced Second-Degree Theft for Retail TheftRead the Press Release
WASHINGTON – This week, Miguel Demonis, 30, of Washington, D.C., was indicted by a grand jury in the Superior Court of the District of Columbia on one count of Felony Second-Degree Theft stemming from events occurring on February 1, 2024, U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD) announced.
Demonis is to be arraigned on February 20, 2024, at a hearing before a Superior Court judge.
According to the government’s evidence, on February 1, 2024, Demonis went into a CVS in Northwest Washington, D.C., took merchandise from the store shelves, and walked out of the store past all points of sale without paying. Demonis was arrested minutes after walking out of the store by the Metropolitan Police Department.
Since September 1, 2023, including the aforementioned case, the United States Attorney’s Office for the District of Columbia has indicted 21 cases involving a felony second-degree theft charge based on a defendant’s two or more prior theft convictions, not from the same occasion.
Demonis has two or more prior theft convictions, though not from the same occasion, and therefore is subject to enhanced penalties for his alleged theft, including a mandatory minimum sentence of one year in jail for the count of theft for which he is indicted.
This case was investigated by the Metropolitan Police Department (MPD) and the U.S. Attorney’s Office for the District of Columbia. It was prosecuted by Assistant U.S. Attorney Rana Wahdan.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Convicted Felon from Pittsburgh Pleads Guilty to Drug and Firearms ChargesRead the Press Release
PITTSBURGH, Pa. – On February 8, 2024, a resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to drug and firearm violations, United States Attorney Eric G. Olshan announced today.
Allen Gregory Edmonds, 35, pleaded guilty to one count of possession with intent to distribute 500 grams or more of cocaine and one count of possession of a firearm and ammunition by a convicted felon before United States Senior District Judge Nora Barry Fischer.
In connection with the guilty plea, the Court was advised that, on December 19, 2023, law enforcement executed federal search warrants upon Edmonds, his vehicle, and properties associated with him. Within the living room of his Pittsburgh residence, investigators found a backpack containing approximately two kilograms of cocaine, a Schedule II controlled substance. The closet within Edmonds’ bedroom contained a loaded handgun, a search of the serial number of which revealed that it had been reported stolen. At the time Edmonds possessed the firearm and ammunition, he had been convicted in the Court of Common Pleas in Allegheny County of both a felony drug trafficking offense and a felony firearm offense. Federal law prohibits possession of a firearm or ammunition by a convicted felon.
Judge Fischer scheduled sentencing for May 7, 2024. The maximum total sentence for the drug charge is not less than five years and up to 40 years in prison, a fine of up to $5 million, or both. The maximum total sentence for the firearm charge is up to 15 years in prison, up to a $250,000 fine, or both.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and Pennsylvania State Police conducted the investigation that led to the prosecution of Edmonds.
Convicted Felon Sentenced to a Total of 39 Months for Wire Fraud and Committing New Crimes While on Pretrial ReleaseRead the Press Release
SALT LAKE CITY – A U.S. District Court Judge sentenced Matthew Ambrose Baker, 49, of Spanish Fork, Utah, to one year imprisonment and three-years’ supervised release for crimes committed while on pretrial release for wire fraud. This sentence will run consecutively to a 27 month sentence previously imposed for the wire fraud, resulting a total sentence of 39 months’ incarceration.
According to court documents, in 2020, Baker was serving a home-custodial sentence for a 2019 federal healthcare fraud conviction when Baker committed wire fraud by attempting to divert proceeds of a real estate transaction from a family member to himself. In December 2022, a federal jury found Baker guilty of two counts of wire fraud for that conduct. Baker was sentenced to 27 months’ imprisonment in July 2023 for the wire fraud and ordered to pay his family member $445,000 in restitution.
A bench trial was held in November 2023 on counts related to crimes committed by Baker while on pretrial release in the real estate transaction wire fraud case. During the bench trial, Baker was found guilty of contempt and being a felon in possession of ammunition. The evidence at trial showed that, on September 23, 2020, Baker was placed on pretrial release in connection with the wire fraud case. As a condition of his release, Baker was ordered not to transfer substantial assets over $1500, unless approved by a United States Probation Officer. Baker repeatedly violated this condition from August 2021 through February 2022. In total, Baker transferred more than $1,000,000 in assets without obtaining approval from his supervision officer, and without notifying the supervision officer of the transfers.
The evidence at trial further established that in March 2022, U.S. Probation Officers recovered two types of ammunition at Baker’s home. The first box contained 40 rounds of .38 special ammunition and was found in a dresser with men’s underwear and socks. The second box contained approximately 37 rounds of 9mm ammunition and was found in a duffel bag with more than $80,000 in cash. Baker was the only adult male who lived in the home.
U.S. Attorney, Trina A. Higgins for the District of Utah and the FBI made the announcement.
“Mr. Baker’s decision to engage in new fraud while serving a custodial sentence for a 2019 fraud case was brazen,” said U.S. Attorney Trina A. Higgins for the District of Utah. “His subsequent decision to repeatedly violate his conditions of release and commit new crimes while awaiting trial in the fraud case demonstrates a complete lack of respect for our laws and the court. Repeated maleficence will not be tolerated.”
The case was investigated by the FBI Salt Lake City Field Office.
Assistant United States Attorneys Jennifer K. Muyskens and Stewart M. Young of the U.S. Attorney’s Office for the District of Utah prosecuted the case.Clay County Man Pleads Guilty to Using the Internet to Distribute Videos of Young Children Being Sexually AbusedRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Carl Stephen Smith, Jr. (33, Green Cove Springs) has pleaded guilty to distributing child sexual abuse materials using the internet. Smith faces a minimum mandatory penalty of 5 years, up to 20 years, in federal prison. Smith was arrested on January 31, 2023, and has been detained since that time.
According to court documents, the National Center for Missing and Exploited Children (NCMEC) received a CyberTipline report in July 2022 from an online social media application (app) that indicated three child sexual abuse videos had been uploaded on the app by a user named “daddysir142.” The internet protocol (IP) address used to upload these materials was traced to an internet service provider in Green Cove Springs. An investigation by the Clay County Sheriff’s Office revealed numerous other CyberTipline reports submitted by online social media apps for IP addresses that were linked to Smith and his residence in Green Cove Springs.
On January 31, 2023, agents from Homeland Security Investigations (HSI), together with other law enforcement personnel, executed a federal search warrant at Smith’s residence. During an interview with law enforcement, Smith admitted that he communicated with minors on social media and that he used social media apps to search for child sexual abuse materials.
HSI agents seized a cellphone belonging to Smith. A forensic review of this device revealed that it contained at least 22 videos and 37 photos depicting minors engaging in sexually explicit conduct. The device contained online conversations between Smith and other users in which Smith distributed materials depicting the sexual abuse of young children.
This case was investigated by the Clay County Sheriff’s Office, the Jacksonville Sheriff’s Office, the Putnam County Sheriff’s Office, the Florida Department of Law Enforcement, and Homeland Security Investigations (HSI). It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by 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 child victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Beaufort Lawyer Pleads Guilty to Transferring Millions of Dollars to Prevent SeizureRead the Press Release
CHARLESTON, S.C. — Peter J. Strauss, 45, of Beaufort, has pleaded guilty to removal of property to prevent seizure.
Strauss was the founder and managing partner of the Strauss Law Firm, LLC located in Hilton Head. The Strauss Law Firm specialized in estate and tax planning, asset protection and the implementation of captive insurance solutions for clients. Strauss also served as principal of Hamilton Captive Management (“HCM”), a captive insurance management company that provides management services to his clients’ captive insurance funds.
Evidence obtained in the investigation revealed that Strauss knowingly transferred millions of dollars for Jeff and Paulette Carpoff, two individuals who have since been convicted and sentenced for their roles in the largest criminal fraud scheme in the Eastern District of California.
Jeff and Paulette Carpoff owned and operated DC Solar Solutions, Inc. and DC Solar Distribution, Inc. (“DC Solar”), California corporations that designed, manufactured and leased renewable energy products, specializing predominantly in the production of mobile solar generators.
On Dec. 18, 2018, the FBI and other federal law enforcement agencies executed numerous search warrants on the businesses associated with DC Solar, as well as the personal residences of Jeff and Paulette Carpoff. Several seizure warrants were also executed on bank accounts and assets associated with DC Solar and its principals. The search warrants were conducted in conjunction with a large-scale investigation regarding an investment fraud and money laundering scheme being operated by the principals of DC Solar. At the time, federal authorities alleged that the Carpoffs committed wire fraud and tax fraud and diverted investors’ money for personal use. Federal authorities further alleged that DC Solar manufactured only a small percentage of the mobile solar generators and created fictitious lease agreements to show their investors in order to obtain investments.
Following the execution of search and seizure warrants related to an investigation into the Carpoffs’ company, Strauss received $11 million from the Carpoffs. On Dec. 19, 2018, the first $5 million was transferred into Strauss’ IOLTA account and thereafter distributed to various criminal defense attorneys and bankruptcy counsel and to Carpoffs’ captive insurance funds, managed by Strauss’ captive insurance management company. Thereafter, on Dec. 28, 2018, Strauss received an additional $3 million, used to pay for the Carpoffs’ captive insurance fund premiums.
Finally, on Jan. 15, 2019, the Carpoffs wired Strauss $3 million into Strauss’ IOLTA account. Thereafter, the funds were comingled in Strauss’ IOLTA account and completely spent over the next few months. By pleading guilty, Strauss admitted that by the time of the $3 million transfer on Jan. 15, 2019, he knowingly transferred and aided and abetted the transfer of funds from Carpoff to prevent and impair the government’s lawful authority to take such property into its custody and control. The defendant has agreed to pay $2,700,000 in restitution to the Federal Clerk of Court at or before the sentencing.
On Jan. 24, 2020, Jeff Carpoff pleaded guilty in California to money laundering and wire fraud and was thereafter sentenced to 30 years in prison. On Nov. 9, 2021, Paulette Carpoff pleaded guilty to conspiracy to commit an offense against the United States and money laundering. Paulette was sentenced to 11 years and three months on June 28, 2022.
Strauss faces a maximum penalty of five years in federal prison. He also faces a fine of up to $250,000, restitution, and three of supervision to follow the term of imprisonment. United States District Judge Richard M. Gergel accepted the guilty plea and will sentence Strauss after receiving and reviewing a sentencing report prepared by the U.S. Probation Office.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Emily Limehouse is prosecuting the case.
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Associate of Violent Gang Pleads Guilty to Drug ConspiracyRead the Press Release
BOSTON – An associate of the violent Boston gang Cameron Street pleaded guilty yesterday to drug trafficking charges in federal court in Boston.
Michael Lopes, a/k/a “Meech,” 35, of Pawtucket, R.I., pleaded guilty to a one-count Superseding Information charging him with conspiracy to distribute and possess with intent to distribute cocaine, cocaine base and methamphetamine. U.S. Senior District Court Judge William G. Young scheduled sentencing for May 6, 2024.
During a two-year long investigation into Cameron Street, it was determined that Lopes allegedly conspired with his cousin Anthony Centeio – the alleged leader of Cameron Street – and others to distribute cocaine, cocaine base and methamphetamine. Lopes and, allegedly, Centeio made several sales of cocaine and cocaine base to a cooperating witness in Boston, Braintree and Pawtucket, R.I. A search of Lopes’ Rhode Island residence in April 2022 resulted in the recovery of approximately 174 grams of cocaine base, 215 grams of cocaine and 180 grams of methamphetamine, packaging materials and $2,342 in cash.
The charge of conspiracy to distribute and possess with intent to distribute cocaine, cocaine base, and methamphetamine provides for up to 20 years in prison, supervised release of at least three years and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of the Criminal Division are prosecuting the case.
This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging document are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.