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2 February 2024
Sentencings Announced of Three Individuals for Homicide and Other ChargesRead the Press Release
WASHINGTON – Joseph Brown, 34, was sentenced today for second degree murder while armed, and Rondell McLeod, 30, was sentenced for voluntary manslaughter while armed in the shooting death of 21-year-old Amari Jenkins, on August 18, 2015, in front of St. Luke’s Catholic Church, located at 4925 East Capitol Street, N.E. The sentencings were announced by U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD).
The defendants, both of Washington, D.C., admitted that on the day of the murder, they emerged from a blue van that pulled in front of the church, and fired 28 rounds at Mr. Jenkins, before reentering the van and making their escape.
In a separate case, Joseph Brown was sentenced for voluntary manslaughter while armed for the shooting of 29-year-old Antwan Baker, on November 12, 2015, in the 5300 block of Clay Terrace, N.E. In that homicide, Brown admitted he emerged from a vehicle and shot Mr. Baker six times in the back of the head and neck before fleeing the scene.
Judge Marisa J. Demeo sentenced Brown to 25 years of incarceration for his role in both homicides. She sentenced McLeod to 10 years of incarceration to run consecutively to an 11-year sentence for federal robbery charges brought in the United States District Court for the District of Maryland.
Finally, Judge Demeo sentenced Alicia N. McCoy, 28, to two years of incarceration for lying in the grand jury during its investigation of the murder of Amari Jenkins. Her sentence will run consecutively to a number of felony sentences McCoy is serving in Maryland for violent crimes committed there.
In announcing the sentencings, U.S. Attorney Graves and Chief Smith commended the work of the officers and detectives from the Metropolitan Police Department who investigated the case. They also thanked Assistant U.S. Attorneys Michael P. Spence and Andrea Coronado and former Assistant U.S. Attorney Gilead I. Light, who prosecuted the case for the U.S. Attorney’s Office as well as Intelligence Analyst Zachary McMenamin, Victim/Witness Advocate Jennifer Allen and former Victim/Witness Advocate Marcia Rinker.
Second Defendant Pleads Guilty to Conspiracy to Commit Bank Fraud and Aggravated Identity TheftRead the Press Release
Jackson, Miss. – A Jackson man pleaded guilty today to conspiracy to commit bank fraud and aggravated identity theft.
According to court documents and statements made in court, Ronald Gardner, 51, and his co-conspirator, Anthony Craig Myrick, 45, both of Jackson, opened an account at BankPlus in another person’s name in September 2022. Gardner and Myrick deposited several counterfeit United States Treasury checks in the account at various BankPlus branches in the Jackson metro area and withdrew the cash before the checks were determined to be counterfeit. Gardner admitted to manufacturing the counterfeit Treasury checks and creating a false identification card using another person’s name and identity.
Ronald Gardner and Anthony Myrick were indicted by a federal grand jury in the Southern District of Mississippi on August 22, 2023. Myrick pleaded guilty on October 17, 2023, and is scheduled to be sentenced on March 11, 2024. Gardner is scheduled to be sentenced on May 2, 2024. Both defendants face a maximum penalty of 32 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and U.S. Secret Service Special Agent in Charge Patrick Davis made the announcement.
The U.S. Secret Service and Rankin County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Kimberly T. Purdie is prosecuting the case.
Scottsdale Man Sentenced to 8 Years in Prison for Investment FraudRead the Press Release
PHOENIX, Ariz. – David Allen Harbour, 50, of Scottsdale, was sentenced on Tuesday by United States District Judge Douglas L. Rayes, to eight years in prison. After a five-week trial, a jury convicted Harbour of crimes involving wire fraud and transactional money laundering on March 2, 2023. On March 7, 2023, Harbour also pleaded guilty to tax evasion, agreeing that he evaded more than $4 million in taxes.
According to the evidence introduced at trial, Harbour acted as a self-styled investment advisor and defrauded numerous investors between 2007 and 2021. Harbour misrepresented the nature of the various investments and omitted material facts. The total loss to investors exceeded $8 million. Harbour diverted money to pay for a lavish lifestyle including numerous private country club memberships, expensive jewelry, multimillion dollar vacation residences, private jet travel, speed boats, luxury vehicles, and extravagant parties that included a private concert at his 40th birthday party by the 1970’s rock band the Eagles. Some of these items were seized by the government during the investigation, including a Patek Philippe watch, a Rolex watch, gold and diamond jewelry, and two country club memberships. The proceeds from these items will be used towards partial restitution for the victims. At sentencing, the judge specifically increased Harbour’s sentence for his efforts at tampering with witnesses prior to trial by paying or attempting to pay them off in exchange for not testifying against him.
“The defendant will have eight years in federal prison to reflect on his long-term pattern of deception,” said U.S. Attorney Gary Restaino. “Justice for the victims continues, as we work to determine the final amount of restitution, and to use the forfeited assets to restore some of the losses.”
“This eight-year prison sentence stands as a reminder that IRS CI will diligently investigate and hold accountable those who seek to defraud the American public,” said IRS CI Phoenix Field Office Acting Special Agent in Charge Carissa Messick. “And, by teaming with our federal partners, we will continue to aggressively investigate corruption at every level.”
“This sentence sends a clear message that those who commit financial fraud will be held accountable,” said FBI Phoenix Special Agent in Charge Akil Davis. “Investors should expect nothing less than complete candor and truth from their investment advisors. The FBI and our agency partners will continue to identify, investigate and pursue those who perpetrate criminal schemes for their own profit.”
This case was investigated by the Internal Revenue Service (IRS)-Criminal Investigation and the Federal Bureau of Investigation. Assistant U.S. Attorneys Kevin M. Rapp and Coleen Schoch, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-19-00898-PHX-DLR
RELEASE NUMBER: 2024-013_Harbour# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.San Diego Restaurant Owner Charged with Tax Fraud and COVID-Relief FraudRead the Press Release
SAN DIEGO – San Diego restaurant owner Leronce Suel was indicted by a federal grand jury today on charges that he provided bogus information in applications for COVID relief programs and failed to report more than $1.7 million in revenue to the IRS.
According to the indictment, Leronce Suel was the majority owner of Rockstar Dough LLC and Chicken Feed LLC, both of which operated a series of restaurants in the San Diego area. He allegedly conspired with his business partner to underreport the $1.7 million in gross receipts on Rockstar Dough LLC’s 2020 corporate tax return (Form 1120-S) filed with the IRS.
The indictment alleges that from March 2020 to June 2022, Suel and his business partner conspired to use the false corporate tax return for tax year 2020 to qualify for the COVID-related Paycheck Protection Program and Restaurant Revitalization Funding loans. Suel also made materially false certifications on loan applications regarding the use of the money. The indictment charges that Suel and his business partner made substantial cash withdrawals from their business bank accounts to launder the fraudulently obtained funds. As part of the conspiracy, Suel and his business partner allegedly concealed more than $2.4 million in cash at their residence.
The indictment further alleges that Suel also failed to report personal income he received from his businesses, including millions of dollars in cash and personal expenses paid by his businesses. Suel allegedly failed to timely file his individual tax returns for tax year 2018 and 2019 and evaded his individual income taxes for tax year 2020. The indictment alleges that in 2023, Suel filed original and amended tax returns that included false depreciable assets and business losses.
Assistant U.S. Attorney Christopher Beeler of the Southern District of California and Trial Attorney Julia Rugg of the Justice Department’s Tax Division are prosecuting the case.
*An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
DEFENDANT Case Number 23-CR-965-RBM
Leronce Suel Age: 47 San Diego, CA
SUMMARY OF CHARGES
Wire Fraud Conspiracy – Title 18, U.S.C., Section 1349
Maximum penalty: Thirty years in prison; $1 million fine; forfeiture and restitution
Wire Fraud – Title 18, U.S.C., Section 1343
Maximum penalty: Thirty years in prison; $1 million fine; forfeiture and restitution
Money Laundering Conspiracy – Title 18, U.S.C., Section 1956(h)
Maximum penalty: Twenty years in prison; $500,000 fine, and forfeiture
Conspiracy to Defraud the United States – 18 U.S.C., Section 371
Maximum Penalty: Five years in prison and $250,000 fine
Tax Evasion – 26 U.S.C., Section 7201
Maximum penalty: Five years in prison; $100,000 fine; and restitution
Filing a False Tax Return – 26 U.S.C., Section 7206(1)
Maximum penalty: Three years in prison; $100,000 fine; and restitution
Failure to File a Tax Return – 26 U.S.C., Section 7203
Maximum Penalty: Five years in prison; $25,000 fine; and restitution
AGENCY
Internal Revenue Service – Criminal Investigation
Salt Lake Trucking Group Owners Found Guilty in a Financial Fraud Conspiracy that Cost FedEx Ground $108MRead the Press Release
SALT LAKE CITY, Utah – A federal jury convicted two owners of a local trucking conglomerate of conspiracy to commit wire fraud. The defendants owned a group of trucking companies named Salt Lake Trucking Group (SLTG). According to court documents and evidence presented at trial, the defendants and their coconspirators paid over $300,000 in bribes to FedEx Ground employees, which resulted in SLTG receiving $108 million from FedEx over a ten-year period.
At the time of the conspiracy, the defendants, Yevgeny Felix Tuchinsky, 63, of Salt Lake County, Utah, was also a resident of San Diego, California; Konstantin Mikhaylovich Tomilin, 54, of Salt Lake County, Utah, was also a resident of Bucks County, Pennsylvania. Tuchinsky and Tomilin owned and operated several trucking companies consolidated under SLTG.
At trial, the jury was presented with evidence that FedEx contracts with local trucking companies to haul FedEx packages in semitrucks. FedEx refers to these companies as contract service providers (CSPs). FedEx pays the CSPs by the mile. The defendants’ companies were among those local CSPs that picked up and delivered FedEx semitrailers full of packages at the FedEx Ground Hub in North Salt Lake. The CSPs provided the semitruck and driver that hauled the trailers to FedEx hubs and other facilities where the packages were eventually sorted for local delivery.
Beginning around 2009 and continuing to 2019, the defendants bribed FedEx employees in exchange for those employees providing more business to SLTG. Instead of competing fairly against other CSPs for FedEx business, SLTG bribed FedEx employees to obtain more miles and more money from FedEx. The bribes resulted in SLTG obtaining unearned FedEx business for over a decade.The defendants and their coconspirators also engaged in deceptive practices to conceal from FedEx that they were violating several FedEx policies and contractual provisions. And they bribed FedEx employees to help deceive FedEx and cover up their violations. These deceptive practices included creating shell companies and lying to FedEx about the true ownership of the companies. This concealed from FedEx that SLTG owned and operated the shell companies and that the shell companies shared the same owners, assets, trucks, and employees. The defendants and their coconspirators also lied to FedEx about dozens of SLTG drivers’ qualifications on FedEx applications. Further, the defendants and their coconspirators failed to honestly report accidents to FedEx. As established at trial, had FedEx known about SLTG’s bribery, true size, ownership, false driver applications, and accidents, FedEx would have terminated SLTG and its subsidiaries as CSPs.
The defendants’ bribery and lies resulting in SLTG receiving $108 million from FedEx. Tuchinsky personally gained $7 million and Tomilin personally gained over $4 million from the scheme.
“Before they delivered packages, these men and their teammates delivered cash bribes,” said Stephen Dent, Assistant United States Attorney during trial. “Before their trucks pulled away from the hub to go on a run, they lied and they bribed to even get that run. $108 million by cheating.”
Tuchinsky’s and Tomilin’s sentencing is scheduled for May 20, 2024, before U.S. District Court Chief Judge Robert J. Shelby at the United States District Courthouse in downtown Salt Lake City.
U.S. Attorney Trina A. Higgins of the District of Utah made the announcement.
The case was investigated jointly by the FBI Salt Lake City Division, IRS Criminal Investigation (IRS-CI), Defense Criminal Investigative Service (DCIS) and the U.S. Department of Transportation (DOT) Office of Inspector General (OIG).
Assistant United States Attorneys Cy H. Castle, Stephen P. Dent and Bryant L. Watson of the U.S. Attorney’s Office for the District of Utah presented the case at trial.
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Richmond Man Sentenced for Possessing Firearm with Machinegun Conversion DeviceRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to 21 months in prison for unlawfully possessing a firearm affixed with a machinegun conversion device.
According to court documents, Ke’Rell Mileak Boone, 20, was arrested in the Whitcomb Court area on May 11, 2022. Boone and others were seen by Richmond Police detectives displaying firearms on a social media platform. Officers discovered two firearms on Boone—a standard semiautomatic pistol and a handgun with a machinegun conversion device affixed where the backplate should go. Boone had what appeared to be the legal backplate for the converted machinegun in his pocket and had further outfitted the machinegun with an extended magazine.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jason S. Miyares, Attorney General of Virginia; Craig Kailimai, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division; and Rick Edwards, Chief of Richmond Police, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne.
Special Assistant U.S. Attorney Devon E. Schulz and Assistant U.S. Attorney Olivia L. Norman prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:23-cr-109.
Representative John Rogers Charged with Additional Offenses in Fraud Case Involving the Jefferson County Community Service FundRead the Press Release
BIRMINGHAM, Ala. – Representative John Rogers has been indicted again by a federal grand jury for additional offenses involving the fraud scheme against the Jefferson County Community Service Fund, including conspiracy, wire and mail fraud, obstruction of justice, and making a false statement, announced U.S. Attorney Prim F. Escalona, Federal Bureau of Investigation Special Agent in Charge Carlton L. Peeples, and Internal Revenue Service, Criminal Investigation Acting Special Agent in Charge Demetrius Hardeman.
A second superseding indictment filed this week in United States District Court charges John Westley Rogers, Jr., 83, with one count of conspiracy to commit wire and mail fraud, 11 counts of wire fraud, 3 counts of mail fraud, conspiracy to obstruct justice, 3 counts of obstruction of justice, and aiding and abetting the making of a false statement to federal investigators. These charges arise from an investigation of wrongdoing in connection with the Jefferson County Community Service Fund. In June 2023, former Representative Fred L. Plump, Jr., pleaded guilty to conspiracy in connection with the scheme and resigned from the Alabama House of Representatives.
According to the second superseding indictment, in 2015 the Alabama Legislature passed Alabama Act No. 2015-226 (the “Act”) and authorized the Jefferson County Commission to levy and distribute a one-percent sales tax and a one-percent use tax to benefit the public welfare and enhance the education of the children of Jefferson County. Jefferson County began levying the new taxes in or about August 2017. The Act required the County to distribute the tax revenue according to certain specified priorities, including paying debt incurred during school construction, increasing the County’s general fund, giving funds to each board of education serving students in the County, and carrying out other purposes set forth in the Act.
The Act created the Jefferson County Community Service Fund (the “Fund”), which was subsidized by approximately $3.6 million annually from the new taxes. The Act also created the Jefferson County Community Service Committee (the “Committee”), the four members of which were elected by members of the Jefferson County House and Senate delegations. The Committee was responsible for ensuring that the Fund was used only for the purposes set forth in the Act, which included supporting public entities and projects such as schools, libraries, museums, parks, zoos, neighborhood associations, athletic facilities, youth sports associations, road construction, the performing arts, police departments, the sheriff’s office, fire departments, and certain nonprofit entities. Each Representative and Senator representing Jefferson County could make recommendations to the Committee of expenditures from their allotted amount of the Fund. These recommendations were made on a form created by the Committee that required certain certifications by the legislator. The organization receiving the funds was required to submit information about the organization and confirm that it intended to use the money for a public purpose. During each fiscal year from 2018 to 2022, each Representative was allocated approximately $100,000, and each Senator was allocated approximately $240,000 from the Fund.
The second superseding indictment identifies certain relevant parties. Defendant John Rogers was a long-serving member of the Alabama House of Representatives. Fred L. Plump, Jr. served as the Executive Director of the Piper Davis Youth Baseball League (“Piper Davis”), a nonprofit organization that claimed to provide a positive sporting experience for inner-city youth in Jefferson County. Defendant Varrie Johnson Kindall was Rogers’s personal and professional assistant.
Between fiscal year 2018 and fiscal year 2022, defendant Rogers was allocated approximately $500,000 by the Fund. Rogers directed approximately $400,000 of those discretionary funds to Piper Davis. In turn, Plump gave approximately $200,000 to Rogers and Kindall as a kickback.
The second superseding indictment alleges that, from in or about March 2019 through April 2023, Rogers and Kindall conspired with Plump to defraud and obtain money from the Fund. It is alleged that it was part of the conspiracy that Rogers, with Kindall’s assistance, recommended during each fiscal year that most of his allotment of Fund money be paid to Piper Davis. In turn, Plump agreed to pay kickbacks to Rogers and Kindall. Rogers, Kindall, and Plump submitted false and fraudulent information to the Committee about Piper Davis’s intended use of Fund money; and Rogers’s certifications on the request forms were false. Upon receipt and deposit of Fund checks, Plump gave checks to Rogers and Kindall for approximately one-half of the amount of Fund money received by Piper Davis.
Additionally, the second superseding indictment alleges that, after learning about the federal investigation into the fraud scheme, Rogers and Kindall attempted to obstruct justice by offering a witness grant money as a bribe and otherwise trying to corruptly persuade the witness to give false information to federal agents. It is also alleged that Rogers and Kindall agreed that she would accept full responsibility for the crimes and falsely tell federal investigators that Rogers did not participate in the scheme in exchange for Rogers’s promise to take care of personal issues for Kindall if she went to prison. As part of that agreement, Rogers had Kindall give false statements to investigators and prosecutors during a meeting at the United States Attorney’s Office on May 25, 2023.
The maximum penalty for the fraud conspiracy and substantive fraud counts is twenty years in prison and a $250,000 fine. The maximum penalty for conspiracy to obstruct justice is five years in prison and a $250,000 fine. The maximum penalty for obstruction of justice is twenty years in prison and a $250,000 fine. The maximum penalty for obstruction of justice by bribery is five years in prison and a $250,000 fine. The maximum penalty for making a false statement is five years in prison and a $250,000 fine.
The Federal Bureau of Investigation and Internal Revenue Service Criminal Investigation investigated the case, with assistance from investigators from the Alabama Attorney General’s Office. Assistant United States Attorneys Catherine Crosby and Ryan Rummage are prosecuting the case.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Reading Man Who Shot at FBI Agents Convicted at Trial of Three Counts of Attempted Murder of a Federal Law Enforcement OfficerRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Rafael Vega-Rodriguez, 41, of Reading, Pennsylvania, was convicted today at trial of three counts of attempted murder of a federal law enforcement officer, three counts of assault on a federal officer with a deadly weapon, and two related firearms charges, stemming from an incident during which he shot at and tried to kill three FBI Special Agents.
On March 1, 2020, FBI Special Agents were conducting surveillance in the area of Gordon Street in Reading, looking for the defendant, who was the subject of an active state arrest warrant for a parole violation. At approximately 11:45 p.m., the agents saw the defendant walking in the area of West Greenwich Street with a second individual. When the agents attempted to stop him, Vega-Rodriguez drew a handgun from under his sweatshirt and shot at them. He continued to shoot as he and the second individual fled from the scene.
After an intense manhunt, investigators discovered that Vega-Rodriguez had fled to Leola, Pennsylvania, approximately 30 miles southwest of Reading. He was arrested there by FBI Special Agents and Pennsylvania State Police Troopers in the early morning hours of March 3, 2020.
“Rafael Vega-Rodriguez was so determined not to be arrested and go back to prison that he immediately opened fire on approaching FBI agents,” said U.S. Attorney Romero. “It’s incredibly fortunate that none of the agents, or anyone else for that matter, was hit. When Vega-Rodriguez pulled the trigger that night, he sealed his own fate, and now faces spending the rest of his life behind bars.”
"Every day, FBI agents put themselves in harm's way to protect our communities," said Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia. "Let this verdict serve as a clear message that if you commit an act of violence against a federal agent, you will be prosecuted to the fullest extent of the law."
The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Timothy M. Stengel, Assistant United States Attorney Everett Witherell, and former Assistant United States Attorney Mary Futcher.
Queens Man Charged with Pandemic FraudRead the Press Release
ALBANY, NEW YORK – Joseph Osei, a/k/a “Kyngjo,” age 29, of Jamaica, New York, has been indicted on mail fraud and aggravated identity theft charges for fraudulently obtain pandemic-related unemployment insurance benefits using stolen identities.
United States Attorney Carla B. Freedman; Jonathan Mellone, Special Agent in Charge, Northeast Region, United States Department of Labor, Office of Inspector General (USDOL-OIG); Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS); and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
The indictment alleges that from about August 2020 through November 2020, Osei fraudulently obtained unemployment insurance benefits worth more than $100,000 in the names of four other people. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The mail fraud charges carry a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. The aggravated identity theft charge carries a mandatory term of 2 years in prison, to be imposed consecutively to any other term of imprisonment. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
Osei appeared yesterday in the United States District Court for the Eastern District of New York in Brooklyn, New York, and was released pending an arraignment before United States Magistrate Judge Christian F. Hummel that is scheduled for February 6, 2024 in Albany.
This case is being investigated by USDOL-OIG, USPIS, and HSI, with assistance from U.S. Customs and Border Protection’s New York Field Office and the New York State Department of Labor’s Office of Special Investigations. Assistant U.S. Attorneys Alexander P. Wentworth-Ping and Joshua R. Rosenthal are prosecuting the case.
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.
Pomona Hospital Agrees to Pay More Than $2 Million after Self-Reporting Overbilling of Medi-Cal for Prescription MedicationsRead the Press Release
LOS ANGELES – Pomona Valley Hospital Medical Center has agreed to pay nearly $2.1 million to resolve allegations that it overbilled Medi-Cal for prescription medication purchased and reimbursed under a federal drug pricing program, the Justice Department announced today.
The settlement agreement finalized on Wednesday is the result of voluntary disclosures Pomona Valley made in 2021 and 2023. After an internal audit, Pomona Valley determined that it overbilled the United States and California, which jointly fund Medi-Cal, a government-funded program that provides health coverage for low-income individuals in California.
According to the settlement agreement, from December 2016 through September 2021, Pomona Valley improperly charged higher “usual and customary” costs, rather than lower “actual acquisition costs,” as required under the 340B Drug Pricing Program, which requires drug manufacturers to provide outpatient medication to eligible health care organizations at significantly reduced prices.
The overbilling allegedly resulted from Pomona Valley billing for its usual costs following a federal court’s temporary stay of the implementation of the California law requiring 340B providers to bill Medi-Cal at actual acquisition cost rates. But once the court lifted the temporary ban, Pomona Valley failed to implement actual acquisition cost pricing.
Pomona Valley ultimately overbilled the United States and California approximately $1.4 million. Pomona Valley has agreed to pay the United States $873,730 and California $1,225,954 to resolve the allegations, bringing the total settlement amount to nearly $2.1 million.
After making its voluntary disclosure, Pomona Valley cooperated with the investigation by federal and state authorities.
The settlement was negotiated by Assistant United States Attorney Jack D. Ross and auditor Gabriel Lam of the Civil Fraud Section, along with the U.S. Department of Health and Human Service’s Office of Inspector General and the California Department of Justice.
The settled claims are allegations only, and Pomona Valley has not admitted any wrongdoing.
Pittsburgh Man Pleads Guilty to Felony Possession of FirearmRead the Press Release
PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of possessing a loaded firearm as a previously convicted felon, United States Attorney Eric G. Olshan announced today.
Dijuan Taylor, 22, pleaded guilty to one count of felony possession of a firearm under federal law before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the Court was advised that, following a traffic stop in Hazelwood on November 21, 2022, Taylor dropped a loaded firearm with extended magazine from his body. Taylor, who was previously convicted of earlier felony offenses, is prohibited from possessing a firearm or ammunition under federal law.
Judge Fischer scheduled Taylor’s sentencing for May 6, 2024. The law provides for a maximum total sentence of up to 15 years in prison, a fine of $250,000, or both, and up to three years of federal supervised release following incarceration. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
The Court continued to detain Taylor pending sentencing.
Assistant United States Attorney Nicole A. Stockey is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Allegheny County Sheriff’s Office conducted the investigation that led to the prosecution of Taylor.
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.
Orlando Man Pleads Guilty to Possessing Child Sexual Abuse MaterialRead the Press Release
Orlando, FL – United States Attorney Roger B. Handberg announces that Charles Bernard Long (43, Orlando) has pleaded guilty to possession of child sexual abuse material. Long faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to court documents, on May 20 and June 1, 2023, undercover investigators downloaded child sexual abuse images through a file sharing program from a device using the internet protocol address at Long’s residence.
On August 10, 2023, FBI investigators executed a search warrant at Long’s residence and seized his digital media devices. A forensic review of those devices found approximately 260 files of child sexual abuse material, some depicting children as young as six years old.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Special Assistant United States Attorney Rachel S. Lyons.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’ Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Orange County felon sentenced for federal firearms violationRead the Press Release
BEAUMONT, Texas– An Orange, Texas man has been sentenced to federal prison for a firearms violation in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Lance Steven Allen Jefferson, 36, pleaded guilty to being a felon in possession of a firearm and was sentenced to 30 months in federal prison by U.S. District Judge Marcia A. Crone on Feb. 1, 2024.
According to information presented in court, on May 11, 2023, Jefferson was stopped by law enforcement officers for a traffic violation on IH-10 in Beaumont. Jefferson told officers he had marijuana in the center console of the vehicle as well as a firearm under the seat. During a search of Jefferson’s vehicle, officers discovered a loaded pistol under the driver’s seat that had been reported stolen in Orange. Further investigation revealed Jefferson was a previously convicted felon and prohibited from owning or possessing firearms or ammunition.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Beaumont Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Matt Quinn.
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Operators of High-End Brothel Network Indicted by Grand JuryRead the Press Release
BOSTON – Three individuals previously arrested and charged in November 2023 in connection with operating sophisticated high-end brothels in greater Boston and eastern Virginia have been indicted by a federal grand jury in Boston, Mass.
The following individuals have each been indicted on one count of conspiracy to persuade, induce, entice, and coerce one or more individuals to travel in interstate or foreign commerce to engage in prostitution; and one count of money laundering conspiracy:
- Han Lee, a/k/a “Hana,” 41, of Cambridge, Mass.;
- James Lee, 68, of Torrance, Calif.; and
- Junmyung Lee, 30, of Dedham, Mass.
According to the charging documents, from at least July 2020, the defendants operated an interstate prostitution network with multiple brothels in Cambridge and Watertown, Mass., as well as in Fairfax and Tysons, Va. It is alleged that the defendants collectively established the infrastructure for brothels in multiple states which they used to persuade, induce and entice women – primarily Asian women – to travel to Massachusetts and Virginia to engage in prostitution.
Specifically, the defendants allegedly rented high-end apartment complexes as brothel locations, which they furnished and regularly maintained. It is further alleged that the defendants coordinated the women’s airline travel and transportation and permitted women to stay overnight in the brothel locations so they did not have to find lodging elsewhere, therefore enticing women to participate in their prostitution network. According to court documents, the defendants established house rules for the women during their stays in a given city to protect and maintain the secrecy of the business and ensure that the women did not draw attention to the prostitution work inside apartment buildings.
The defendants allegedly advertised their prostitution network primarily on two websites – bostontopten10.com and browneyesgirlsva.blog – which offered appointments with women in either greater Boston or eastern Virginia, respectively. It is alleged that the defendants purchased and registered the bostontop10.com domain in August 2016. Both websites purported to advertise nude models for professional photography at upscale studios as a front for prostitution offered through appointments.
According to court documents, each website described a verification process that interested sex buyers undertook to be eligible for appointment bookings– including requiring clients complete a form providing their full names, email address, phone number, employer and reference if they had one. It is alleged that the defendants persuaded the women to work for this prostitution network because the business maintained a regular customer base of men that were adequately screened, ensuring that the customers were not members of law enforcement or men who posed a risk to the safety and security of the commercial sex workers.
It is further alleged that the defendants maintained local brothel phone numbers which they used to communicate with verified customers and schedule appointments via text messages; send customers a “menu” of available options at the brothel, including the women and sexual services available and the hourly rate; and to text customers directions to the brothel’s location where they engaged in commercial sex with the women.
According to the charging documents, the defendants charged sex buyers a premium price for appointments with the women advertised on their websites, which ranged from approximately $350 to upwards of $600 per hour depending on the services and were paid in cash.
The defendants also allegedly concealed the proceeds of the prostitution network through depositing hundreds of thousands of dollars of cash proceeds into their personal bank accounts and peer-to-peer transfers. Additionally, it is alleged that the defendants regularly used hundreds of thousands of dollars of the cash proceeds from the prostitution business to purchase money orders (in values under an amount that would trigger reporting and identification requirements) to conceal the source of the funds. These money orders were then used to pay for rent and utilities at brothel locations in Massachusetts and Virginia.
Members of the public who have questions, concerns or information regarding this case should contact [email protected].
The charge of conspiracy to persuade, induce, entice, and coerce one or more individuals to travel in interstate or foreign commerce to engage in prostitution provides for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a $500,000 fine or twice the value of funds laundered, whatever 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 United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England; and Cambridge Police Commissioner Christine Elow made the announcement today. Valuable assistance was provided by the Central District of California; Eastern District of Virginia; U.S. Postal Service; and Watertown Police Department. Assistant U.S. Attorney Lindsey E. Weinstein of the Criminal Division and Assistant U.S. Attorney Raquelle Kaye, of the Asset Recovery Unit are prosecuting the case.
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.
One Defendant Sentenced to Prison and Another Ordered Detained Pretrial This Week in Separate Cyberstalking CasesRead the Press Release
PITTSBURGH, Pa. – A Washington, Pennsylvania, man was sentenced to two years in prison followed by three years of supervised release, and a resident of Pittsburgh, Pennsylvania, was ordered detained in separate cyberstalking cases this week, United States Attorney Eric G. Olshan announced today.
Eric Scholl, 56, of Washington was sentenced on January 31, 2024, by United States District Judge Marilyn J. Horan to two years in prison and three years of supervised release after his incarceration. Scholl was also ordered to pay restitution to the victim, his ex-wife, whom he admitted cyberstalking after she had obtained a Pennsylvania Protection from Abuse (PFA) order against him. Among other things, Scholl placed a GPS tracking device on the victim’s car to track her movements; directed harassing and intimidating emails, texts, and phone calls to her, including using a web-based service that allowed him to disguise his phone number; and posted lewd content about her on the internet.
On February 1, 2024, Daniel Marsico, 37, of Pittsburgh was ordered detained pretrial after a contested detention hearing before United States Magistrate Judge Patricia L. Dodge. Marsico was indicted and arrested last week on a charge of carrying out an extensive cyberstalking campaign against his ex-girlfriend over several years, despite her having obtained a PFA order against him. According to the Indictment and evidence presented at the detention hearing, over the course of three and a half years, Marsico harassed, threatened, and intimidated his ex-girlfriend by stalking her through text messages, phone calls, online activity, and in-person confrontations.
A third recent stalking case brought by the United States Attorney’s Office saw Daniel Larivee, 48, of Plainfield, Vermont, charged with cyberstalking in November 2023. According to the Indictment, Larivee continually cyberstalked, harassed, and threatened his ex-wife, who lives in Pittsburgh, for more than three years, also in violation of a PFA order, threatening to kill her multiple times. In his most recent string of threats, Larivee compared himself to the shooter in the recent mass-shooting tragedy in Maine. He is also currently detained pretrial.
“These recent prosecutions reflect our office’s unwavering commitment to combatting the rise in this devastating criminal behavior,” said U.S. Attorney Olshan. “Those who choose to engage in relentless cyberstalking campaigns against traumatized victims cannot hide behind their computers or cell phones. Working together with our dedicated partners in law enforcement, we will find them, bring them out from the shadows, and hold them accountable under federal law.”
“The victims in these cases did not let fear silence them,” said FBI Pittsburgh Division Special Agent in Charge Kevin Rojek. “While they suffered from fear and emotional distress, they courageously came forward and took legal action to file court orders of protection, but continued to be victimized by the defendants online. The FBI urges victims of online threats to report the crime. We are committed to investigating these cowardly acts.”
Assistant United States Attorney Nicole Vasquez Schmitt is prosecuting these three cyberstalking cases on behalf of the government.
The Federal Bureau of Investigation conducted the investigations leading to the Indictments in these cases. Marsico and Larivee are presumed innocent of the charge against them unless and until proven guilty beyond a reasonable doubt.
January 2024 marked the 20th annual National Stalking Awareness Month (NSAM), an annual call to action to recognize and respond to this criminal, traumatic, and dangerous victimization. This year, the United States Attorney’s Office for the Western District of Pennsylvania joined with others to help spread awareness about stalking through the theme “Know It, Name It, Stop It.” If you believe you or someone you know is a victim of stalking, help is available. Contact your local service provider or a national hotline:
• Victim Connect: 1-855-4VICTIM (1-855-484-2846)
• National Domestic Violence Hotline: 1−800−799−7233
• The National Sexual Assault Hotline: 1-800-656-HOPE (4673)Additional information and resources are available through the Stalking Prevention Awareness, and Resource Center (SPARC), at www.StalkingAwareness.org, a project funded by the Department of Justice’s Office on Violence Against Women.
Omaha Man Sentenced to 14 Years for Methamphetamine and Cocaine ConspiracyRead the Press Release
United States Attorney Susan Lehr announced that Jose Salvador Perez, 27, of Omaha, Nebraska, was sentenced February 2, 2024, in federal court in Omaha for two charges – (1) conspiracy to distribute methamphetamine and cocaine and (2) possession with intent to distribute methamphetamine. United States District Judge Brian C. Buescher sentenced Perez to 168 months’ imprisonment. There is no parole in the federal system. After Perez’s release from prison, he will begin a 5-year term of supervised release.
Omaha police received information from a cooperator that co-defendant Miguel Avalos-Diaz was distributing meth and cocaine. Police used the cooperator to make three “controlled buys” from Avalos-Diaz in February and March of 2022.
After the third drug deal, police searched a residence in south Omaha near Bellevue on March 30, 2022. Inside, officers encountered and arrested Avalos-Diaz and Perez. Police seized approximately 2.5 pounds of meth, more than $36,000 in cash, and a loaded .45-caliber handgun. Officers also found evidence of cocaine distribution in the residence, including six digital scales, cutting agents, a vacuum sealer, and small amounts of cocaine packaged in baggies. Review of both defendants’ Facebook messages dating back to December 2021 revealed a conspiracy to distribute meth and cocaine throughout the time period of the messages.
A total of $36,598 in cash has been forfeited to the United States as proceeds of illegal drug trafficking. An Audi sedan, registered to Perez and driven by Avalos-Diaz to the controlled buys, has also been forfeited as property that facilitated illegal drug trafficking.
Avalos-Diaz, 27, of Omaha was sentenced to 260 months’ imprisonment on November 30, 2023.
This case was investigated by the Omaha Police Department.
Oglala Man Sentenced on Firearm ChargeRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced an Oglala, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person. The sentencing took place on January 25, 2024.
Bradley Two Eagle, 24, was sentenced to 18 months in federal prison, follow by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Two Eagle was indicted for Possession of a Firearm by a Prohibited Person by a federal grand jury in September of 2023. He pleaded guilty on October 23, 2023.
The conviction stems from Two Eagle, while being an unlawful user of a controlled substance, knowingly being in possession of a Taurus International 9 mm caliber semi-automatic handgun in Rapid City in June of 2023.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Anna Lindrooth prosecuted the case.
Two Eagle was immediately remanded to the custody of the U.S. Marshals Service.
Nurse Sentenced to Federal Prison for Illegal Prescription SchemeRead the Press Release
Tampa, FL – U.S. District Judge Thomas P. Barber has sentenced Debora Ryder (56, New Port Richey) to three years in federal prison for drug conspiracy. Ryder entered a guilty plea on September 19, 2023. She has also agreed to forfeit her nursing licenses.
According to court documents, Ryder was a Florida-licensed advanced practice registered nurse (APRN), registered nurse (RN), and Drug Enforcement Administration (DEA) registrant who conspired with another individual to distribute controlled substances in the names of individuals without lawful authority. As an APRN and DEA registrant, Ryder had the authority to issue prescriptions for controlled substances, however, she knew her licensing became delinquent on July 31, 2022, making her ineligible to issue controlled substances.
From August to September 2022, Ryder conspired with another individual, who provided Ryder with more than a dozen identifications and driver licenses for Ryder’s use, to issue prescriptions for promethazine with codeine and oxycodone without any medical evaluation. Ryder received cash and electronic payments in exchange for each controlled substance prescription she issued. Records revealed Ryder issued approximately 84 illegal prescriptions during the conspiracy.
Additionally, between January 2021 and August 2022, Ryder illegally issued 34 oxycodone and hydromorphone prescriptions in the name of J.R., Ryder’s deceased husband who died in 2018.
This case was investigated by the Drug Enforcement Administration (Tampa District Office) and the Opioid Fraud and Abuse Detection Unit. The Opioid Fraud and Abuse Detection Unit was created by the Department of Justice to help combat the devastating opioid crisis. The Opioid Fraud and Abuse Detection Unit focuses specifically on opioid-related health care fraud, using data to identify and prosecute individuals contributing to the prescription opioid epidemic. The case was prosecuted by Assistant United States Attorney Greg Pizzo.
North Little Rock Man Sentenced to Federal Prison for Possession of Stolen Mail and Being a Felon in Possession of a FirearmRead the Press Release
LITTLE ROCK—A North Little Rock man was sentenced to 95 months in federal prison for being a felon in possession of a firearm. On Thursday, United States District Judge James M. Moody, Jr., also sentenced James Diante Miller, 28, to 60 months’ incarceration for possession of stolen mail. Judge Moody ordered Miller to serve his sentences concurrently and also ordered him to serve three years supervised release.
On July 18, 2022, law enforcement officials conducted surveillance of the blue collection box located in front of the Westside Post Office located at 11415 Huron Lane, Little Rock, Arkansas. In the early morning hours, two individuals, later identified as Kobe Powell and Miller, arrived at the Westside Post Office in a black Ford Crown Victoria. Law enforcement observed Powell open the postal collection box. Law enforcement officers attempted to make contact, however Powell and Miller fled in the vehicle at a high rate of speed and eventually crashed into a residence. After the crash, Powell and Miller fled from the vehicle and were arrested by law enforcement. After Miller was arrested, a Glock firearm was found in his possession. Powell, who was not found to be in possession of a firearm, was sentenced to 20 months’ imprisonment on September 20, 2023, for possessing stolen mail and a counterfeit check.
A two-count Superseding Information was filed on September 21, 2023, charging Miller with possession of stolen mail and being a felon in possession of a firearm. On that same day, Miller pleaded guilty to the charges in the Superseding Information. Judge Moody also ordered Miller to pay $1,650.00 in restitution. The maximum sentence faced by the defendant for possession of stolen mail was five years and for being a felon in possession of a firearm, it was 15 years. The defendant also faced a maximum fine of $250,000.
The case was investigated by the United States Postal Inspection Service, United States Secret Service, Little Rock Police Department, and Arkansas State Police.
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North Carolina Man Sentenced to Prison for Role in Counterfeit Currency ConspiracyRead the Press Release
BECKLEY, W.Va. – Jamarcus Harris, 32, of Lenoir, North Carolina, was sentenced today to two years and nine months in prison, to be followed by three years of supervised release, and ordered to pay $800 in restitution for conspiracy to commit an offense against the United States. Harris admitted to his role in a conspiracy to create and pass counterfeit United States currency in the Southern District of West Virginia.
According to court documents and statements made in court, on October 12, 2022, Harris traveled with co-defendants Crystal Wilks and Xavier Sanders and another individual from North Carolina to West Virginia. Harris admitted that they passed counterfeit $100 bills at businesses in Beckley, Fayetteville and Summersville.
Harris and his co-conspirators rented a room that evening at a Summersville hotel, where they attempted to create new counterfeit United States currency. Harris admitted that their counterfeiting process involved bleaching $1 bills, scanning a genuine $100 bill, and printing the resulting image on the bleached bills.
Wilks, 24, of Lenoir, North Carolina, and Sanders, 24, of Charlotte, North Carolina, previously pleaded guilty to conspiracy to commit an offense against the United States and await sentencing.
United States Attorney Will Thompson made today’s announcement and commended the investigative work of the United States Secret Service.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorneys Alexander A. Redmon, Andrew D. Isabell and Ryan Blackwell prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:23-cr-54.
New York Man Who Tried to Withdraw Money from Massachusetts Bank Accounts Using Fake Passports Agrees to Plead GuiltyRead the Press Release
BOSTON – A New York man has agreed to plead guilty to allegedly using counterfeit United States passport cards in the name of three Massachusetts residents in order to withdraw money from their bank accounts.
Jean Andre Bontiffe, 40, has agreed to plead guilty to three counts of bank fraud, one count of forgery or false use of a Passport and one count of aggravated identity theft. A plea hearing has not yet been scheduled by the Court. Bontiffe was previously charged by criminal complaint in October 2023.
According to the charging documents, on Aug. 9, 2022, Bontiffe was arrested in New York for attempting to pass through TSA screening at LaGuardia Airport using a counterfeit California driver’s license in the same name as one of the Massachusetts victims. A subsequent investigation allegedly revealed that, between July 20 and July 22, 2022, Bontiffe traveled to Massachusetts from the Bronx, N.Y., and made nine attempts to withdraw money from bank accounts that belonged to three victims from Massachusetts – stealing a total of $13,800. On July 20, 2022, Bontiffe allegedly entered a TD Bank branch in North Andover, Mass. and presented a United States passport and a Discover credit card, both in the name of a Massachusetts resident who had an account at the bank, as proof of identity and attempted to withdraw $4,500 from that account. Due to unmatched signatures, the bank denied the transaction and confiscated the passport and credit card prior to Bontiffe fleeing the scene.
The charge of making or using a forged passport provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. The charge of bank fraud provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $250,000. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed. 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; Matthew O’Brien, Special Agent in Charge of U.S. Department of State’s Diplomatic Security Service, Boston Field Office; and Paul Creazzo, Chief of the Mamaroneck (New York) Police Department made the announcement today. Assistant U.S. Attorney Luke A. Goldworm of the Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Scam Uses Fake Court Documents, Fake Government Correspondence, and False Charges Under COVID Relief Programs to Solicit “Preemptive Bail” PaymentsRead the Press Release
OKLAHOMA CITY – United States Attorney Robert J. Troester, Anand Ramlall, Special Agent in Charge of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG), and David Thompson, Special Agent in Charge of the United States Secret Service (USSS) Oklahoma City Field Office, are warning the public of a new scam utilizing fake court documents, fake government correspondence, and false charges under COVID relief programs to solicit “preemptive bail” payments.
With this scam, imposters pose as law enforcement officers and send text messages to a target recipient. These messages may include images of fake federal court documents that falsely assert criminal fraud charges against the recipient arising from the Paycheck Protection Program and/or the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The fake federal court notice may also advise the target that they can avoid arrest by paying “preemptive bail bond.”
In addition to fake federal court documents, the scam may involve images of fake correspondence from the FDIC OIG and FDIC Legal Division which purports to explain the “preemptive bail opportunity.”
The public is reminded that if you receive any communication purportedly from the U.S. Attorney’s Office, the FDIC OIG, or the federal court asking for sensitive personal information, or demanding payment through gift cards, wire transfers, or digital currency – DO NOT TRANSMIT MONEY OR SHARE PERSONAL INFORMATION. Instead, the public is encouraged to contact the appropriate authorities with the information below..
“These fraudsters utilize fear and pressure tactics to create a sense of urgency in their victims and often prey on the most vulnerable in our society,” said U.S. Attorney Robert Troester. “If you are contacted by someone who demands payment or private information, do not engage. Instead, report the incident to law enforcement.”
“Scammers such as these may use the FDIC or FDIC OIG logo and seal to make their demand for funds appear legitimate” said FDIC OIG Special Agent in Charge Anand Ramlall. “The FDIC OIG reminds the public that the FDIC and FDIC OIG will not send unsolicited correspondence that requests sensitive personal information or demands payment through gift cards, wire transfers, or digital currency. Such correspondence should be reported to the FDIC OIG hotline.”
“Criminals constantly find ways to use technology and communication platforms to commit fraud. The Secret Service is at the forefront of both combating financial fraud and educating the public about financial fraud,” said USSS Oklahoma City Field Office Special Agent in Charge David Thompson. “Please contact the Secret Service if you are a victim of a scam or if you have information regarding such scams.”
If you have been a victim of a related scams or would like additional information on identifying similar scams and how to report them, please refer to the following:
- FDIC OIG Hotline at https://www.fdicoig.gov/oig-hotline or 1-800-964-FDIC. The OIG reviews all allegations and will investigate a matter in appropriate circumstances. Individuals contacting the Hotline via the website can report information openly, confidentially, or anonymously. Please also see https://www.fdicoig.gov/sites/default/files/document/2022-08/oigimpersonationscamflyer.pdf.
- USA.gov website “Scams and Fraud” at https://www.usa.gov/scams-and-fraud which will help identify where to report different types of scams.
- United States Courts website on Federal Court Scams at https://www.uscourts.gov/about-federal-courts/federal-courts-public/federal-court-scams.
- United States Secret Service Oklahoma City Field Office at 405-272-0630 or visit the U.S. Secret Service website at https://www.secretservice.gov/.
- United States Attorney’s Office for the Western District of Oklahoma at 405-553-8700.
New Orleans Man Sentenced for Narcotics and Firearm OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – DEJUAN WILLIAMS, age 29, a resident of New Orleans, was sentenced by U.S. District Judge Ivan L.R. Lemelle to 262 months incarceration after previously pleading guilty to Counts 1 through 4 of a Superseding Bill of Information. Judge Lemelle also ordered that WILLIAMS be placed on supervised release for three (3) years following release from imprisonment, and to pay a mandatory $400 special assessment fee.
Count 1 charged WILLIAMS with possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). Count 2 charged WILLIAMS with possession with the intent to distribute controlled dangerous substances, in violation of Title 18, United States Code, Sections 841(a)(1) and 841(b)(1)(C). Count 3 charged WILLIAMS with possession of a firearm in furtherance of drug trafficking crimes, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i). Count 4 charged WILLIAMS with possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2).
According to court records, on November 22, 2020, WILLIAMS was seated in the front passenger seat of a vehicle being driven by his wife in New Orleans. While in the vehicle, WILLIAMS was in knowing possession of a Glock Model 23, 40 caliber pistol. At some point, a gray sedan drove behind their vehicle and opened fire. WILLIAMS exited their vehicle and fled while still in possession of the pistol. Eventually, WILLIAMS reached Elysian Fields Avenue and attempted to hide the pistol underneath some greenery but members of the New Orleans Police Department (NOPD) recovered the pistol later that day.
On January 27, 2020, a NOPD detective attempted to locate and arrest WILLIAMS for his possession of a firearm by a convicted felon, as described above. The NOPD detective eventually located WILLIAMS and, while attempting to arrest him, a struggle ensued. During the struggle and subsequent arrest, the detective saw a firearm sling on WILLIAMS’s person. Inside the sling was a Smith and Wesson .40 caliber pistol, with a live round in the chamber, seven (7) bullets in the attached magazine, a bag of heroin, two bags of crack cocaine, and $458.00 of U.S. currency. WILLIAMS later admitted that the firearm was in the sling, that he possessed both the sling and firearm, that he had cocaine and heroin on his person, that he possessed both the heroin and cocaine, with the intent to distribute them in future drug sales, and that the $458 came from selling heroin and cocaine.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives; and the Louisiana State Police. This case was prosecuted by Assistant U.S. Attorney Mike Trummel of the Violent Crime Unit.
New Orleans Man Pleads Guilty to Violations of the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – Today, U.S. Attorney Duane A. Evans announced that BRISON SHELTON, age 59, a resident of New Orleans, pled guilty on January 1, 2024 before United States District Judge Jane Triche Milazzo to conspiracy to distribute and possess with intent to distribute five hundred grams or more of cocaine hydrochloride and possession with intent to distribute five hundred grams or more of cocaine hydrochloride, announced U.S. Attorney Duane A. Evans.
As to each of the charges to which SHELTON pled guilty, he faces a mandatory minimum term of imprisonment of five (5) years up to a maximum term of forty (40) years imprisonment, a fine of up to $5,000,000.00, at least four years of supervised release following any term of imprisonment, and a mandatory special assessment fee of $100.
According to court documents, SHELTON and other co-conspirators distributed multi-kilogram quantities of cocaine, fentanyl, and heroin within the Eastern District of Louisiana.
During the investigation, law enforcement, led by the Drug Enforcement Administration, seized over forty (40) kilograms of cocaine hydrochloride, six (6) kilograms of fentanyl, four and a half (4.5) kilograms of heroin, and nearly and $700,000.00 in U.S. Currency and other property.
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.
This investigation was led by the Drug Enforcement Administration – New Orleans Field Division Office and was assisted by the Federal Bureau of Investigation, the United States Border Patrol, the Gretna Major Crimes Task Force, the Kenner Police Department, the Jefferson Parish Sheriff’s Office, the St. John’s Parish Sheriff’s Office, the Orleans Parish Sheriff’s Office, and the New Orleans Police Department. The prosecution is being handled by Assistant United States Attorney Lynn E. Schiffman of the Narcotics Unit.
New Orleans Man Pleads Guilty to Cocaine Distribution ConspiracyRead the Press Release
NEW ORLEANS, LOUISIANA – LARRY LABRY, age 50, a resident of New Orleans, pled guilty on February 1, 2024 to conspiring to distribute and possess with the intent to distribute 500 grams or more of cocaine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 846, before United States District Judge Barry W. Ashe, announced U.S. Attorney Duane A. Evans.
LABRY admitted to being captured on court-authorized wiretaps discussing cocaine trafficking. LABRY also acknowledged that police seized 497.4 grams of cocaine during a traffic stop from one of his co-conspirators.
Judge Ashe set sentencing in this matter for May 9, 2024. LABRY faces a mandatory minimum of 5 years up to a maximum term of imprisonment of 40 years, up to a $5,000,000 fine, at least 4 years of supervised release, and a mandatory special assessment fee of $100.
The case was investigated by the Drug Enforcement Administration and the Federal Bureau of Investigations. It is being prosecuted by Assistant United States Attorney David Haller, Senior Litigation Counsel of the U.S. Attorney’s Office.
New Orleans Man Pleads Guilty to Being a Felon in Possession of a FirearmRead the Press Release
NEW ORLEANS, LOUISIANA – WILL WILLIS, age 34, a resident of New Orleans, pleaded guilty before United States District Judge Barry W. Ashe on February 1, 2024 to possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1), announced U.S. Attorney Duane A. Evans.
According to court records, in June 2023, the New Orleans Police Department was conducting video surveillance in New Orleans, when an officer observed WILLIS with a bulge in his waistband consistent with a firearm. When police officers responded, WILLIS and another individual ran. WILLIS attempted to discard his gun but it discharged. After police arrested WILLIS, they found two handguns, along with one spent shell casing, in his flight path. WILLIS admitted to possessing one of the guns, after having been convicted of four prior felony offenses.
Judge Ashe set sentencing for May 9, 2024. WILLIS faces a maximum term of imprisonment of 15 years, up to a $250,000 fine, up to 3 years of supervised release, and a mandatory special assessment fee of $100.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the New Orleans Police Department and the Federal Bureau of Investigations. It is being prosecuted by Assistant United States Attorney David Haller, Senior Litigation Counsel of the U.S. Attorney’s Office.
New Jersey Man Sentenced for Multimillion-Dollar Mass-Mailing Fraud SchemesRead the Press Release
A New Jersey man was sentenced today in the U.S. District Court for the Eastern District of New York to 72 months in prison and two years of supervised release for committing two separate mail fraud schemes in which he stole more than $50 million from victims throughout the United States by sending letters falsely telling them that they were entitled to receive a large sum of money in exchange for payment of a small fee.
According to court documents, Ryan Young, 41, of Upper Saddle River, operated two separate mail fraud schemes. In the first scheme, which Young operated from 2011 through 2016, Young and his co-conspirators sent fraudulent prize notification letters to victims in the United States and numerous other countries. The letters falsely claimed recipients had won money or valuable prizes, such as luxury cars. Victims were instructed to send small processing fees – typically $20 or $25 – to claim the prizes. Many victims received nothing; others received only a cheap piece of jewelry or a report listing unrelated sweepstakes. In February 2018, Young pleaded guilty to one count of conspiracy to commit mail fraud for his role in this large-scale international mail fraud scheme that stole approximately $50 million from victims.
While on release and awaiting sentencing on the first mail fraud scheme, Young operated a second mail fraud scheme from March 2019 through May 2022. In the second scheme, Young mailed out letters falsely notifying recipients that they were entitled to receive unclaimed funds worth millions of dollars, a portion of a multimillion-dollar legal settlement, or a prize in exchange for payment of a small fee of $30 to $40. Young did not deliver funds to any of the victims who sent payments in response to these letters. Instead, Young sent booklets containing publicly available information or flyers about online restaurant coupons. According to court documents, Young’s second scheme resulted in $1.6 million in losses to victims.
“The defendant in this case defrauded victims through multiple mail fraud schemes, depriving vulnerable Americans out of more than $50 million,” said Principal Deputy Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Justice Department and its federal law enforcement partners are committed to investigating and prosecuting those who target vulnerable American consumers for financial gain.”
“The defendant’s conduct is especially egregious. After pleading guilty and acknowledging his responsibility, Mr. Young decided to revert back to what he knew best, which was ripping off Americans,” said Inspector in Charge Eric Shen of the U.S. Postal Inspection Service’s Criminal Investigations Group. “Today’s sentence sends a clear message to others who think they will not be caught – postal inspectors will find you.”
The U.S. Postal Inspection Service investigated the case.
Senior Trial Attorney Ann Entwistle and Assistant Director John W. Burke of the Civil Division's Consumer Protection Branch are prosecuting the case and Assistant U.S. Attorney Tanisha Payne for the Eastern District of New York is handling asset forfeiture.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available.
More information about the department’s efforts to help American seniors is available at its Elder Justice Initiative webpage. For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. The Justice Department provides a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which can be reached at www.ovc.gov.
Miami felon convicted at trial of armed Hobbs Act robberyRead the Press Release
MIAMI – On Jan. 24, a federal jury found a Miami felon guilty of Hobbs Act robbery conspiracy, Hobbs Act robbery, discharge of a firearm in furtherance of a crime of violence, and of being a felon in possession of a firearm and ammunition.
During a six-day trial, the government presented DNA, firearms and ballistics, cell-site data, surveillance footage, photographic, testimonial, forensic, and other evidence showing that on April 3, 2022, Frederick Lee Alvin, 39, of Miami, Florida, robbed a market in Little Havana. After Alvin entered the store wearing a mask and dressed in all black, he demanded money from the register, fired a gun at the cashier’s feet, and fled with $3,400 from the register and the cashier’s wallet. Alvin was later arrested at a local motel in possession of the same firearm that he used during the market robbery.
Sentencing is scheduled for April 17 before U.S. District Judge Patricia A. Seitz. Alvin faces up to life in prison. Alvin had been previously convicted of three prior felony offenses, which triggered the Armed Career Criminal Act (ACCA) enhancement.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Christopher A. Robinson of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Miami Field Division, announced the conviction.
ATF Miami Field Office investigated the case. Assistant U.S. Attorneys Will Rosenzweig and Abbie Waxman are prosecuting it. Assistant U.S. Attorney Annika Miranda is handling asset forfeiture.
This prosecution is a part of the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) program. PSN is the centerpiece of the Department’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through the PSN program a broad spectrum of law enforcement and community stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs to reduce violence crime and gun violence, and to make our local neighborhoods safer for everyone.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-20244.
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Mexican National Sentenced to 10 Years in Prison for Trafficking MethamphetamineRead the Press Release
Tampa, FL – U.S. District Judge William F. Jung has sentenced Benancio Pineda (50, Mexico) to 10 years in federal prison for conspiring to possess with the intent to distribute methamphetamine. Pineda entered a guilty plea on September 28, 2023.
According to court documents, on December 20, 2022, Pineda met with an individual at a gas station in Wimauma and sold him approximately 1 kilogram of methamphetamine. This methamphetamine was 96% pure. On June 16, 2023, Pineda drove to meet the same person in Wimauma to sell him 2 kilograms of methamphetamine, but Pineda was pulled over by law enforcement near Sun City Center. Law enforcement recovered approximately 2 kilograms of methamphetamine from inside of Pineda’s car. This methamphetamine was 97% pure.
This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney David Pardo.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. 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 www.justice.gov/OCDETF.
Mescalero Man Charged with Domestic ViolenceRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Fulton Charles Potter appeared in federal court on a criminal complaint charging him with assault by strangulation and/or suffocating a spouse or intimate partner. Potter, 29, of Mescalero, New Mexico, and an enrolled member of the Mescalero Apache Tribe, will remain in custody pending trial, which has not been scheduled.
According to the criminal complaint, on Nov. 24, 2023, Potter assaulted Jane Doe, an enrolled member of the Mescalero Apache Tribe, at the home of a relative by hitting her in the head, biting her, and strangling her until she lost consciousness. Jane Doe’s brothers arrived at the home during the assault and intervened.
A criminal complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted of the current charge, Potter faces 10 years in prison.
The Bureau of Indian Affairs investigated this case. Assistant U.S. Attorney Matilda McCarthy Villalobos is prosecuting the case.
View the Criminal Complaint# # #
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McDowell County Man Pleads Guilty to Federal Gun CrimeRead the Press Release
BECKLEY, W.Va. – Carl Thomas Mullins, also known as “TJ Mullins,” 23, of Isaban, pleaded guilty today to theft of firearms from a federal firearms licensee.
According to court documents and statements made in court, on September 10, 2021, Mullins broke into a Wyoming County business and stole a Colt model M4 carbine 5.56mm rifle, a Black Aces model Pro Series M 12-gauge shotgun and a Silver Eagle model RZ17TAC 12-gauge shotgun.
Mullins is scheduled to be sentenced on May 24, 2024, and faces a maximum penalty of 10 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorneys Alexander A. Redmon and Ryan Blackwell are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:22-cr-179.
Matthew Banfield, 38, of Omaha, Nebraska, was sentenced February 2, 2024, in federal court in Omaha for escape from custody.Read the Press Release
United States Attorney Susan Lehr announced that Matthew Banfield, 38, of Omaha, Nebraska, was sentenced February 2, 2024, in federal court in Omaha for escape from custody. Chief United States District Court Judge Robert F. Rossiter, Jr. sentenced Banfield to 12 months’ and one day imprisonment. There is no parole in the federal system. After Banfield’s release from prison, he will begin a 2-year term of supervised release.
Banfield was sentenced to serve 37 months with a 3-year term of supervised release following his conviction for being a felon in possession of a firearm. Banfield was in custody of the Bureau of Prisons (BOP) residing at Dismas Charities in Omaha, which is a Federal Residential Reentry Center (RRC). On June 13, 2023, Banfield left Dismas Charities and failed to return as required. Banfield was placed in escape status until he was located and arrested on a warrant in August 2023. Because Banfield was in the custody of the BOP at the time he left the RRC, his failing to return to the RRC was an escape from BOP custody.
This case was investigated by the United States Marshal Service.
Maryland Tax Preparer Sentenced to More Than Two Years in Prison for Filing False Tax ReturnsRead the Press Release
A Maryland tax return preparer was sentenced today to 27 months in prison for preparing false tax returns.
According to court documents and statements made in court, Adis Smith, of Chula Vista, California, and formerly of Baltimore, prepared and filed false income tax returns for his clients to fraudulently lower the taxes they owed or to generate refunds from the IRS to which they were not entitled. Smith typically reported fictitious or inflated business losses and itemized deductions. To conceal his fraud from the IRS, Smith prepared and filed each client’s tax return as a “ghost preparer,” reporting it had been self-prepared by the client rather than by Smith. In total, Smith prepared over 1,000 false tax returns and caused a tax loss to the IRS of approximately $4,729,311.
In addition to his prison sentence, U.S. District Judge Stephanie A. Gallagher for the District of Maryland ordered Smith to serve one year of supervised release and to pay $4,729,311 in restitution to the United States.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Erek L. Barron for the District of Maryland made the announcement.
IRS Criminal Investigation investigated the case.
Trial Attorneys Matthew Cofer and Sarah Ranney of the Justice Department’s Tax Division and Assistant U.S. Attorney Sean Delaney for the District of Maryland prosecuted the case.
Martinsville Man Sentenced to 10 Years for Trafficking Meth and CocaineRead the Press Release
ABINGDON, Va. – A Martinsville, Virginia man, who possessed crystal ice methamphetamine and cocaine valued at more than $35,000, was sentenced this week to 10 years in federal prison.
Octavius Myron Johnson, 39, was convicted following a jury trial in October 2023 of one count of possession with the intent to distribute 50 grams or more of a mixture and substance containing methamphetamine, in addition to one count of possession with the intent to distribute cocaine.
According to evidence presented at trial, in early 2023, law enforcement initiated an investigation into Johnson’s drug trafficking activities in the Glade Spring area of Washington County. Their investigation led to the execution of a search warrant at Johnson’s Martinsville residence where over a half-pound of crystal ice methamphetamine and over 80 grams of cocaine were recovered. Cash totaling $3,800 and other items related to drug trafficking were also seized.
United States Attorney Christopher R. Kavanaugh, Virginia Attorney General Jason Miyares, and Jared Forget, Special Agent in Charge of the Drug Enforcement Administration’s Washington Division, made the announcement.
The investigation of this case was conducted by the Drug Enforcement Administration, the Washington County Sheriff’s Office, and the Holston River Regional Drug Task Force, with assistance from numerous agencies including the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Henry County Sheriff’s Office, the Martinsville Police Department, the Smyth County Sheriff’s Office, and the Virginia State Police.
Special Assistant U.S. Attorney M. Suzanne Kerney-Quillen, a Senior Virginia Assistant Attorney General assigned to the Attorney General’s Major Crimes and Emerging Threats Section, and Assistant U.S. Attorney Kelly McGann prosecuted the case.
Man Sentenced for over $600M Health Care Fraud, Wire Fraud, and Identity Theft SchemeRead the Press Release
A New York man was sentenced today to 12 years in prison and ordered to pay over $336 million in restitution for a years-long fraud scheme in which he and his co-conspirators, including physicians throughout the country, defrauded multiple health insurance companies out of hundreds of millions of dollars.
According to court documents and evidence presented at trial, Mathew James, 54, of East Northport, operated medical billing companies to provide billing services for physicians — primarily plastic or orthopedic surgeons throughout the United States — and used his companies to carry out a massive scheme to defraud insurance companies. As a third-party medical biller, James submitted claims to insurance companies and, when necessary, requested reconsideration or appeals of denied claims, typically earning a percentage of the amount paid by the insurance companies. The evidence showed that James billed for procedures that were either more serious or entirely different than those his doctor-clients performed. In addition, James made thousands of calls in which he impersonated patients and patients’ relatives to induce insurance companies to reconsider denied claims or pay more on approved claims, resulting in tens of millions of dollars in additional reimbursement to his doctor-clients and from which he received a percentage of the fraudulent proceeds.
James also directed his doctor-clients to schedule elective surgeries through the emergency room so that insurance companies would reimburse at substantially higher rates. When insurance companies denied the inflated claims, James impersonated patients to demand that the insurance companies pay the outstanding balances of tens or hundreds of thousands of dollars.
A federal jury convicted James on July 13, 2022, of health care fraud, conspiracy to commit health care fraud, wire fraud, and aggravated identity theft.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Breon Peace for the Eastern District of New York, and Assistant Director in Charge James Smith of the FBI New York Field Office made the announcement.
The FBI investigated the case.
Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Catherine Mirabile and Antoinette Rangel for the Eastern District of New York prosecuted the case. Assistant U.S. Attorney Tanisha Payne for the Eastern District of New York is handling asset forfeiture.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, the program, currently comprised of nine strike forces operating in 27 federal districts, has charged more than 5,400 defendants who collectively have billed federal health care programs and private insurers more than $27 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with Department of Health and Human Services Office of Inspector General, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Man Pleads Guilty to Shooting Spree Targeting Elected OfficialsRead the Press Release
A New Mexico man pleaded guilty yesterday to his role in shootings that targeted the residences of elected officials following the 2022 election.
According to court documents, following Solomon Peña’s electoral defeat in November 2022 for a seat in the New Mexico House of Representatives, Demetrio Trujillo, 42, of Albuquerque, along with his son, Jose Trujillo, were recruited by Peña to engage in a series of targeted shootings of residences belonging to elected officials. Peña allegedly pressured members of the Bernalillo County Board of Commissioners to refuse to certify the results of the election, but despite Peña’s alleged pressure, the commissioners certified the results of the election. In response, in his plea agreement, Demetrio Trujillo admitted that Peña paid him to drive to the home of an election official on Dec. 4, 2022, and fire a gun at the residence. Peña then paid Demetrio Trujillo to carry out a shooting at the residence of an elected state official who ran for and won reelection in 2022, which Trujillo did on Dec. 8, 2022. Then, on Jan. 3, 2023, Trujillo, along with his son and Peña, carried out a shooting at the residence of a second elected state official. The victims’ residences were targeted because the individuals were election officials and/or former candidates for elective office.
Demetrio Trujillo pleaded guilty to conspiracy, two counts of interference with federally protected activities, one count of using and carrying a firearm during and in relation to a crime of violence, and one count of using and carrying a firearm during and in relation to a crime of violence and discharging said firearm. Demetrio Trujillo will remain in custody pending sentencing, which has been scheduled for May 1. He faces a mandatory minimum sentence of 15 years in prison and a maximum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jose Trujillo pleaded guilty on Jan. 9 to conspiracy, interference with federally protected activities, using and carrying a firearm during and in relation to a crime of violence, discharging said firearm, and possession with intent to distribute fentanyl. Related charges against Peña remain pending and are scheduled for trial in June.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Alexander M.M. Uballez for the District of New Mexico, Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division, and Special Agent in Charge Raul Bujanda of the FBI Albuquerque Field Office made the announcement.
The FBI Albuquerque Field Office investigated the case with the Albuquerque Police Department and Bernalillo County Sheriff’s Office.
Trial Attorney Ryan Crosswell of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorneys Jeremy Peña and Patrick E. Cordova for the District of New Mexico are prosecuting the case.
This case is part of the Justice Department’s Election Threats Task Force. Announced by Attorney General Merrick B. Garland and launched by Deputy Attorney General Lisa O. Monaco in June 2021, the task force has led the department’s efforts to address threats of violence against election workers, and to ensure that all election workers — whether elected, appointed, or volunteer — are able to do their jobs free from threats and intimidation. The task force engages with the election community and state and local law enforcement to assess allegations and reports of threats against election workers, and has investigated and prosecuted these matters where appropriate, in partnership with FBI field offices and U.S. Attorneys’ Offices throughout the country. A year after its formation, the task force is continuing this work and supporting the U.S. Attorneys’ Offices and FBI Field Offices nationwide as they carry on the critical work that the task force has begun.
Under the leadership of Deputy Attorney General Monaco, the task force is led by the Criminal Division’s Public Integrity Section and includes several other entities within the Justice Department, including the Criminal Division’s Computer Crime and Intellectual Property Section, the Civil Rights Division, the National Security Division, and the FBI, as well as key interagency partners, such as the Department of Homeland Security and the U.S. Postal Inspection Service. For more information regarding the Justice Department’s efforts to combat threats against election workers, read the Deputy Attorney General’s memo.
To report suspected threats or violent acts, contact your local FBI Field Office and request to speak with the Election Crimes Coordinator. Contact information for every FBI field office may be found at www.fbi.gov/contact-us/field-offices/. You may also contact the FBI at 1-800-CALL-FBI (225-5324) or file an online complaint at tips.fbi.gov. Complaints submitted will be reviewed by the task force and referred for investigation or response accordingly. If someone is in imminent danger or risk of harm, contact 911 or your local police immediately.
Madison Man Sentenced for Receipt and Distribution of Child PornographyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Madison, South Dakota, man convicted of Receipt and Distribution of Child Pornography. The sentencing took place on January 30, 2024.
Treton Anderson, age 26, was sentenced to 15 years and six months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. Anderson will also need to register as a sex offender upon his release.
Anderson was indicted by a federal grand jury in August of 2022. He pleaded guilty on October 2, 2023.
The conviction stemmed from incidents between December 18, 2021, and June 29, 2022, when Anderson, using his cellular phone to access the internet, and using his Kik account, distributed digital files containing child pornography.
This case was investigated by Homeland Security Investigations, the South Dakota Internet Crimes Against Children Task Force, the National Center for Missing and Exploited Children, and the Madison Police Department. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Anderson was immediately remanded to the custody of the U.S. Marshals Service.
Lyons man pleads guilty to child pornography chargeRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that that Randall Seeley, Jr., 45, of Lyons, NY, pleaded guilty to receipt of child pornography before U.S. District Judge Charles J. Siragusa. The charge carries a minimum penalty of five years in prison, a maximum of 20 years and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that in July 2023, the New York State Police received a report that Seeley had been involved in sexually explicit online communications with a 13 to 14-year-old minor. During an investigation, Seeley admitted knowing the minor and engaging in sexual communications, during which he solicited and received explicit images and videos of the minor. A review of the minor’s social media accounts revealed the sexually explicit communications with Seeley, going back as far as July 2022. A search warrant was executed at Seeley’s residence, during which his electronic devices were seized. A preliminary forensic analysis of the devices uncovered hundreds of images and videos of child pornography depicting the known minor and other, unknown minors.
The plea is the result of an investigation by the New York State Police, Lyons, under the direction of Major Miklos Szoczei II, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.
Sentencing is scheduled for May 23, 2024, at 9:15 a.m. before Judge Siragusa.
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Louisville Teacher Charged with Distributing Child Sexual Abuse MaterialRead the Press Release
Louisville, KY –A federal criminal complaint and arrest warrant were issued today charging a Louisville school teacher with distributing obscene visual representations of child sexual abuse and distributing child pornography.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office made the announcement.
According to court records, in December 2023 and January 2024, Jordan A. Fautz, 39, while employed as a 7th and 8th grade religion teacher at St. Stephen Martyr Catholic School in Louisville, Kentucky, distributed child sexual abuse materials to a law enforcement officer working online undercover. Certain of these materials had been manipulated by morphing or photoshopping original child sexual abuse materials with other, non-explicit images of minors. For example, in one such instance, the nude image of a minor victim depicted her face transposed by means of photoshop or morphing technology onto a different nude female’s body, effectively generating child sexual abuse material.
Fautz will be scheduled to make his initial appearance before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted on the charges in the complaint, Fautz faces a mandatory minimum sentence of 5 years in prison and maximum potential penalties of 40 years in prison, a $250,000 fine, and at least five years of supervised release. A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors.
There is no parole in the federal system.
The FBI is investigating the case.
Assistant U.S. Attorney A. Spencer McKiness is prosecuting the case.
The FBI Louisville Field Office is seeking to identify potential victims of Jordan Fautz. If you or your minor dependent(s) have information about Fautz, please contact the FBI at [email protected]. Your responses are voluntary but may be useful in the federal investigation in identifying you or your child as a potential victim. Victims may be eligible for certain services, restitution, and rights under federal and/or state law.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
A criminal complaint 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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Long Island Man Sentenced to 12 Years in Prison for over $600 Million Health Care Fraud, Wire Fraud and Identity Theft SchemeRead the Press Release
CENTRAL ISLIP, NY – Mathew James was sentenced today by United States District Judge Joanna Seybert to 12 years in prison for a massive health care fraud scheme in which he and his co-conspirators, including physicians throughout the country, defrauded multiple health insurance companies out of hundreds of millions of dollars. James was sentenced to 10 years on the fraud charges and two years to be served consecutive on the aggravated ID theft charges. The Court also ordered restitution in the amount of $336,996,416.85 and forfeiture of $63,382,049.02.
Breon Peace, United States Attorney for the Eastern District of New York, Nicole M. Argentieri, Acting Assistant Attorney General of the Justice Department’s Criminal Division, and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“James went to great lengths to carry out a complex fraud scheme that caused insurance companies to pay hundreds of millions of dollars in fraudulent claims,” stated United States Attorney Peace. “The defendant not only falsified medical records and forged signatures, but also brazenly impersonated patients and their family members, all of which justifies a significant jail sentence to deter others from such audacious conduct.”
“Today, Mathew James was justly punished with a lengthy sentence in prison for his immense and brazen health care fraud scheme. James took extreme steps to carry out his more than half-billion-dollar fraud – faking signatures, impersonating well known figures in the world of sports, and utilizing fraudulent documents,” stated FBI Assistant Director-in-Charge Smith. “The FBI will continue to take the lead in investigating and holding accountable anyone attempting to illegally profit from deceptive and fraudulent health care schemes.”
James operated medical billing companies to provide billing services for physicians, primarily plastic surgeons throughout the United States, and used his companies to carry out a massive scheme to defraud insurance companies. As a third-party medical biller, James submitted claims to insurance companies and when necessary, requested reconsideration or appeals of denied claims. James billed for procedures that were either more serious or entirely different than those his doctor-clients performed. For example, the government presented evidence that James impersonated Jeff Pash, the National Football League’s general counsel, and Marcus Smart, a professional basketball player then of the Boston Celtics of the National Basketball Association, in calls the defendant made to insurance companies in which he exaggerated medical procedures. James made thousands of impersonation calls resulting in over tens of millions of dollars in additional reimbursement to his doctor-clients and from which he received a percentage of the fraudulent proceeds.
James also directed his doctor-clients to schedule elective surgeries through the emergency room so that insurance companies would reimburse at substantially higher rates. When insurance companies denied the inflated claims, James impersonated patients to demand that the insurance companies pay the outstanding balances of tens or hundreds of thousands of dollars.
Assistant U.S. Attorneys Catherine Mirabile and Antoinette N. Rangel of the Eastern District of New York, and Trial Attorney Miriam Glaser Dauermann of the Justice Department’s Fraud Section are prosecuting the case. Assistant U.S. Attorney Tanisha Payne of the Eastern District of New York’s Asset Recovery Section is handling forfeiture matters.
The Defendant:
MATHEW JAMES
Age: 54
East Northport, Long IslandE.D.N.Y. Docket No. 19-CR-382 (JS)
Leader of Methamphetamine Distribution Ring Sentenced to 30 YearsRead the Press Release
NORFOLK, Va. – A Virginia Beach man was sentenced today to 30 years in prison for his role in leading a multi-year, multi-state methamphetamine distribution conspiracy.
According to court documents, Malik Dillard, a/k/a “Mayo,” 47, used out-of-state methamphetamine suppliers to import bulk packages of nearly pure methamphetamine (98.6% purity) to Virginia through the U.S. Postal Service. Dillard employed a network of sub-dealers to scale and expand his methamphetamine operation across the Hampton Roads region over multiple years.
Methamphetamine is a powerful, highly addictive stimulant that affects the central nervous system. As cited in court documents and according to the Virginia Department of Health’s Chief Medical Examiner, overdose deaths caused by methamphetamine skyrocketed 9,500% in Virginia from 2007 to 2022 and continue to rise. Unlike other drugs, like heroin or fentanyl, there are no approved medications effective at treating methamphetamine addiction—there is no methadone equivalent for methamphetamine.
This is the defendant’s 15th criminal conviction and third federal conviction. In 2009, he was sentenced in Richmond for his role in leading a conspiracy involving 16 bank robberies across seven states in 75 days—which started just one week after he was released from prison. In 2003, he was sentenced in the Northern District of Georgia for his role in leading a conspiracy to commit bank fraud.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Derek W. Gordon, Special Agent in Charge of U.S. Homeland Security Investigations (HSI) Washington, D.C.; Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office; Damon E. Wood, Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; Colonel Gary T. Settle, Virginia State Police Superintendent; and Paul Neudigate, Chief of Virginia Beach Police, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney, Jr.
Assistant U.S. Attorneys John F. Butler and Anthony Mozzi prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-cr-65.
Latham Man Pleads Guilty to Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – Scott Weinbloom, age 49, of Latham, New York, pled guilty yesterday to possessing child pornography, announced United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Weinbloom admitted that on May 18, 2022, he possessed approximately 1,300 images and 1,500 videos of child pornography on a USB flash memory stick found in his residence and that two computers recovered from his residence had also been used to store and view child pornography.
Sentencing is scheduled for June 6, 2024. Weinbloom faces up to 20 years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. The judge may also order Weinbloom to pay restitution to the victims of his offense and forfeit the device used in the offense. Weinbloom will also have to register as a sex offender upon his release from prison.
This case was investigated by the FBI Child Exploitation Task Force, comprised of FBI Special Agents, and state and local police investigators, including from the Colonie Police Department. Assistant U.S. Attorney Dustin C. Segovia is prosecuting this case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Kyle Man Sentenced for Assault ChargeRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier has sentenced a Kyle, South Dakota, man convicted of Assault Resulting in Serious Bodily Injury. The sentencing took place on January 25, 2024.
Marcus Pawnee Leggins, 35, was sentenced to two years in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Pawnee Leggins was indicted for Assault Resulting in Serious Bodily Injury and Assault with a Dangerous Weapon by a federal grand jury in August of 2023. He pleaded guilty on October 13, 2023.
The conviction stems from Pawnee Leggins beating a male in June of 2023 near Kyle. The assault resulted in serious bodily injury to the victim.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian Country be prosecuted in Federal court as opposed to State court.
This case was investigated by the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Anna Lindrooth prosecuted the case.
Pawnee Leggins was immediately remanded to the custody of the U.S. Marshals Service.
Kissimmee Woman Sentenced to Prison for Passport Fraud, Identity Theft, and Food Stamp FraudRead the Press Release
Orlando, FL – U.S. District Judge Carlos E. Mendoza has sentenced Nilda Medina-Veguilla (38, Kissimmee) to 31 months in federal prison for making a false statement in a U.S. passport application, aggravated identity theft, and theft of government property. As part of her sentence, the court also entered an order of forfeiture in the amount of $39,088, the proceeds of the charged criminal conduct. Medina-Veguilla entered a guilty plea on September 7, 2023.
According to court documents, Medina-Veguilla is a U.S. citizen who was born in Puerto Rico. In 2005, she was charged with counterfeiting and illegal appropriation by Puerto Rican authorities. In 2008, a warrant was issued for her arrest. That same year, Medina-Veguilla moved to the continental U.S. and obtained an identification card and then a Florida driver license in the name of identity theft victim “N.T.D.” Medina-Veguilla held herself out as N.T.D. for approximately 15 years, using N.T.D.’s identity when getting married and divorced, for criminal arrests, for employment and tax purposes, to receive Supplemental Nutrition Assistance Program (SNAP) benefits, and to obtain a U.S. passport.
On February 23, 2021, Medina-Veguilla applied for a U.S. passport at the South Creek Post Office in Orlando. On that application, she used N.T.D.’s name, date of birth, and Social Security number. For proof of citizenship and identity, Medina-Veguilla submitted a copy of N.T.D.’s Puerto Rico birth certificate and a Florida driver license which she had fraudulently obtained.
On numerous occasions between 2013 and 2022, Medina-Veguilla applied for SNAP benefits using addresses in the Middle District of Florida. She completed online applications with information about her financial status and family situation and used the name, date of birth, and Social Security number of N.T.D. in the applications. As a result of her illegal activities, Medina-Veguilla obtained and used $$39,088 in SNAP benefits.
The SNAP is a program of the United States Department of Agriculture that was authorized by Congress to help low-income individuals and families by providing monthly benefits with which to buy food. These benefits were formerly called “food stamps.”
This case was investigated by the U.S. Department of State’s Diplomatic Security Service, the U.S. Department of Agriculture - Office of Inspector General, and the Social Security Administration - Office of the Inspector General. It was prosecuted by Special Assistant United States Attorney Rachel S. Lyons. The forfeiture is being handled by Assistant United States Attorney Nicole Andrejko.
Justice Department Secures Agreement with Alabama Landlord to Resolve Claims of Sexual Harassment of Female TenantsRead the Press Release
BIRMINGHAM, Ala. – The Justice Department announced today that it has reached an agreement with Randy Hames, an Alabama landlord who owned and managed rental properties in a mobile home park in Cullman, Alabama, known as Hames Marina, to resolve a Fair Housing Act lawsuit alleging that Hames sexually harassed female tenants.
Under the agreement, Hames will pay $390,000 to 12 women who rented or sought to rent homes from him and a civil penalty of $10,000 to the government. The agreement also prohibits Hames from managing rental housing or contacting any of the women or their families. The agreement comes after a three-day trial during which the Justice Department presented compelling evidence to a Huntsville, Alabama, jury of Hames’ longstanding harassment and exploitation of female residents and prospective tenants, and the impact of Hames’ conduct on these women and their families.
“Today’s resolution recognizes the significant harm that the defendant caused to the women in this case and sends a message that this type of behavior is unacceptable and has no place in our communities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department is firmly committed to vigorously pursuing landlords who sexually harass and exploit their tenants.”
“Sexual harassment by landlords is illegal, immoral and unacceptable,” said U.S. Attorney Prim Escalona for the Northern District of Alabama. “We will continue to aggressively prosecute these cases because everyone deserves to feel safe at home and thrive in an environment free from fear.”
The Justice Department’s lawsuit, filed in July 2018, alleged that since at least 2011, Hames subjected female tenants and prospective tenants to a continuing pattern of egregious harassment, including demanding or pressuring female tenants to engage in sexual acts with him in exchange for rent or to prevent eviction, evicting female tenants when they refused his advances, making female tenants feel unsafe by stalking them and entering their residences without permission and making unwelcome sexual comments.
The case was brought as part of the Justice Department’s Sexual Harassment in Housing Initiative. The initiative, led by the Civil Rights Division, in coordination with U.S. Attorneys’ Offices across the country, was launched in October 2017 and seeks to raise awareness about and address sexual harassment by landlords, property managers, maintenance workers, loan officers or other people who have control over housing. Since launching the initiative, the department has filed 38 lawsuits alleging sexual harassment in housing and recovered over $11.3 million for victims of such harassment.
If you think you are a victim of sexual harassment by a landlord, property manager or rental agent, you may contact the Justice Department at 1-844-380-6178, or submit an online report at civilrights.justice.gov/. Reports also may be made by contacting the Department of Housing and Urban Development at 1-800-669-9777, or by filing an online complaint at www.hud.gov/fairhousing/fileacomplaint%20.
The Fair Housing Act prohibits discrimination in housing based on sex, race, color, national origin, religion, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
Justice Department Secures Agreement with Alabama Landlord to Resolve Claims of Sexual Harassment of Female TenantsRead the Press Release
The Justice Department announced today that it has reached an agreement with Randy Hames, an Alabama landlord who owned and managed rental properties in a mobile home park in Cullman, Alabama, known as Hames Marina, to resolve a Fair Housing Act lawsuit alleging that Hames sexually harassed female tenants.
Under the agreement, Hames will pay $390,000 in damages to 12 women who rented or sought to rent homes from him and a civil penalty to the government. The agreement also prohibits Hames from managing rental housing or contacting any of the women or their families. The agreement comes after a three-day trial, during which the Justice Department presented compelling evidence to the jury of Hames’ longstanding harassment and exploitation of female residents and prospective tenants, and the impact of Hames’s conduct on these women and their families.
“Today’s resolution recognizes the significant harm that the defendant caused to the women in this case and sends a message that this type of behavior is unacceptable and has no place in our communities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “No woman should ever have to grapple with sexual harassment to avoid eviction, receive a fair rent or to ensure that they can keep a roof over their head. The Justice Department stands ready to vigorously pursue landlords who sexually harass and exploit their tenants.”
“Sexual harassment by landlords is illegal, immoral and unacceptable,” said U.S. Attorney Prim Escalona for the Northern District of Alabama. “We will continue to aggressively prosecute these cases because everyone deserves to feel safe at home and thrive in an environment free from fear.”
The Justice Department’s lawsuit, filed in July 2018, alleged that since at least 2011, Hames subjected female tenants and prospective tenants to a continuing pattern of egregious harassment, including demanding or pressuring female tenants to engage in sexual acts with him in exchange for rent or to prevent eviction, evicting female tenants when they refused his advances, making female tenants feel unsafe by stalking them and entering their residences without permission and making unwelcome sexual comments.
The case was brought as part of the Justice Department’s Sexual Harassment in Housing Initiative. The initiative, led by the Civil Rights Division, in coordination with U.S. Attorneys’ Offices across the country, was launched in October 2017 and seeks to raise awareness about and address sexual harassment by landlords, property managers, maintenance workers, loan officers or other people who have control over housing. Since launching the initiative, the department has filed 38 lawsuits alleging sexual harassment in housing and recovered over $11.3 million for victims of such harassment.
If you think you are a victim of sexual harassment by a landlord, property manager or rental agent, you may contact the Justice Department at 1-844-380-6178, or submit an online report at civilrights.justice.gov/. Reports also may be made by contacting the Department of Housing and Urban Development at 1-800-669-9777, or by filing an online complaint at www.hud.gov/fairhousing/fileacomplaint%20.
The Fair Housing Act prohibits discrimination in housing based on sex, race, color, national origin, religion, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
Justice Department Announces Terrorism and Sanctions-Evasion Charges and Seizures Linked to Illicit, Billion-Dollar Global Oil Trafficking Network That Finances Iran’s Islamic Revolutionary Guard Corps and Its Malign ActivitiesRead the Press Release
The Justice Department today announced the unsealing of three federal cases, across two U.S. Attorneys’ Offices, as the most recent in a series of efforts to combat the illicit trafficking of Iranian oil that funds Iran’s Islamic Revolutionary Guard Corps (IRGC), a designated Foreign Terrorist Organization (FTO), and its Qods Force (IRGC-QF), Iran’s primary mechanism for cultivating and providing lethal support to terrorist organizations abroad.
In the Southern District of New York, seven defendants, including a leader within Iran’s IRGC and officers of a Turkish energy group, are charged with terrorism, sanctions-evasion, fraud, and money laundering offenses in connection with their trafficking and selling of Iranian oil to government-affiliated buyers in China, Russia, and Syria, in order to finance the IRGC-QF. Additionally, the United States seized $108 million used as part of these defendants’ scheme to fund the IRGC-QF.
In a related action, in the District of Columbia, a Chinese woman and Omani man are charged with sanctions-evasion and money laundering offenses in connection with the trafficking and selling of Iranian oil to Chinese government-owned refineries. Additionally, in the District of Columbia, a forfeiture complaint for the seizure of illicit Iranian oil was unsealed, alleging that more than 500,000 barrels of Iranian fuel is forfeitable under terrorism laws as property that provides a source of funding to the IRGC and IRGC-QF.
“Iran utilizes the proceeds of its black-market oil sales to fund its criminal activities, including its support of the IRGC, Hamas, Hizballah, and other Iranian aligned terrorist groups,” said Attorney General Merrick B. Garland. “The Justice Department is targeting this funding source by seizing over $108 million and 500,000 barrels of fuel that would otherwise have enabled Iran to further its destabilizing activities that threaten our national security. In addition to disrupting Iran’s unlawful funding streams, the Justice Department has also charged nine individuals for their roles in supporting Iran in violation of U.S. sanctions. The Justice Department will continue to use every authority we have to cut off the illegal financing and enabling of Iran’s malicious activities, which have become even more evident in recent months.”
“While Iran’s Islamic Revolutionary Guard Corps and its Qods Force are the regime’s terrorist strongarms, oil is its lifeblood,” said Deputy Attorney General Lisa O. Monaco. “Today’s enforcement actions show that the Justice Department is committed to using every tool – from criminal prosecutions to the lawful seizures of Iranian oil and oil profits – to shut down Iran’s pipeline of petroleum and profits. The charges and seizures announced today strike at the core of the global oil smuggling network that Iran has built to fund its regime of terror and repression, and deny the regime millions of dollars in proceeds to further its nefarious agenda.”
“Iran presents a constant threat to the United States – trying to murder Americans right here within our borders, conducting a cyber-attack on a children’s hospital, supporting terrorists around the world, and more,” said FBI Director Christopher Wray. “All of Iran’s crimes cost money. And the FBI will remain committed to enforcing U.S. sanctions that keep money out of its coffers.”
“Today’s cases are part of the Department’s ongoing efforts to cut off the flow of black-market Iranian oil that funds the regime’s malign activity, threatening the United States and our interests around the world,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “We remain focused on holding accountable those involved in these smuggling schemes, from the officials who oversee the laundering operations, to the network of shadowy businesses that enable them, to the brokers who help facilitate these unlawful transactions.”
United States v. Shahriyari et al. (SDNY)
Note: view the indictment hereSeven defendants – including a senior IRGC-QF official, the son of Rostam Ghasemi, a former IRGC Commander and Iranian Minister of Petroleum, an Iranian shipping official, an agent of the IRGC-QF – are charged in a five-count indictment unsealed today in Manhattan federal court. In connection with these charges, the United States has seized $108 million that China Oil & Petrolium Company Limited, an IRGC front company, attempted to launder through correspondent transaction accounts at U.S. financial institutions in furtherance of the scheme to fund the IRGC-QF’s malign activities through the illicit sale of Iranian oil. In addition, the Department of Treasury’s Office of Foreign Asset Controls (OFAC) announced today that it has sanctioned China Oil & Petroleum Company Limited for its role in the oil trafficking network.
“For years, the IRGC and its Qods Force have been instrumental in the Iranian regime’s violent suppression of political dissent, targeting of Iranian dissidents living abroad, and support of international terrorism — including groups like Hamas, Hizballah, and Palestinian Islamic Jihad. Today’s charges show how, as alleged, the IRGC’s Qods force built a sprawling international network of front companies to launder sanctioned Iranian oil using lies, forgery, and threats of violence,” said U.S. Attorney Damian Williams for the Southern District of New York. “This alleged scheme to finance the Qods Force succeeds through the complicity of wealthy businessmen in countries like Turkey who are eager to turn a corrupt profit from supporting terror groups. The Qods Force oil-laundering network allegedly delivered millions of barrels of Iranian oil to government-affiliated buyers in Russia, China, and Syria, and transferred billions of dollars through the U.S. financial system. This office has long served at the forefront of law enforcement efforts to fight terrorism and terror finance and to protect the integrity of the U.S. banking system. I commend the tireless and outstanding efforts of our law enforcement partners in unraveling and disrupting the IRGC’s scheme.”
The indictment charges:
- Behnam Shahriyari, 58, an Iranian national, is a publicly identified IRGC-QF senior official. In 2011, OFAC designated Shahriyari as a Specially Designated National (SDN).
- Morteza Rostam Ghasemi, 32, an Iranian national and SDN since 2019, is the son of IRGC-QF Commander Rostam Ghasemi.
- Mohammadreza Aliakbari, an Iranian national and SDN since 2019, is a senior officer with Safiran Payam Darya Shipping Company, which acts on behalf of the Government of Iran.
- Mohammad Sadegh Karimianl, 36, an Iranian national and SDN since 2022, acts as an IRGC-QF agent.
- Sitki Ayan, 61, a Turkish national and SDN since December 2022, is the chairman of the ASB Group of companies, which includes Som Petrol Ticaret A.S., Baslam Petrol Sanayi Ve Ticaret A.S., and Baslam Nakliyat Ve Dis Ticaret Ltd. Sirketi, all of which have been designated by OFAC as SDNs since December 2022.
- Bahaddin Ayan, 35, a Turkish national, is the son of Sitki Ayan and a vice president of the ASB Group of companies and SDN since December 2022.
- Kasim Oztas, 41, a Turkish national and SDN since December 2022, has been managing director of the ASB Group of companies.
According to the indictment, following the imposition of U.S. sanctions against Iran’s petroleum sector in 2018, the Government of Iran’s ability to finance itself through sales of crude oil and petroleum products – Iran’s most important economic sector – was severely diminished. In response, the IRGC-QF built a large-scale global oil laundering network to give Iran’s government-owned National Iranian Oil Company (NIOC) illicit access to global markets to sell crude oil and petroleum products and to use the proceeds to finance the IRGC-QF.
To sell NIOC crude oil to the regime of Bashar al-Assad in Syria, the network used an intermediary company in Lebanon to conceal the Government of Iran’s involvement in the oil sales and a ship management company based in India to buy, lease, and manage oil tankers to use in the scheme. The oil tanker fleet was supervised by Aliakbari, and the key agreements between the Government of Iran and its foreign partners were authorized and approved by IRGC-QF Commander Rostam Ghasemi, who previously served as Iran’s Minister of Oil, Minister of Transportation and Urban Development, and the Iranian chair of the Iranian-Syrian Economic Relations Development Committee.
To sell NIOC crude oil to government-affiliated buyers in China, the network used the ASB Group of companies in Turkey, owned by Sitki Ayan, as well as intermediary companies in Oman, Greece, and elsewhere. Commander Ghasemi again authorized and approved key agreements between the Government of Iran and its foreign partners and resolved financial disputes that arose among the participants in the scheme. Companies in the ASB Group acted as intermediaries in the oil sales to conceal the Government of Iran’s role and the Iranian origin of the oil and leased oil tankers that were operated by co-conspirators. Sitki Ayan’s son and senior ASB Group officer, Bahaddin Ayan, assisted Sitki Ayan in the scheme and caused millions of dollars of wire transfers through the U.S. banking system for the leasing and operation of oil tankers. Oztas, who was a manager of the ASB Group of companies, also assisted Sitki Ayan in carrying out the scheme and finalizing agreements with ASB Group’s partners. Shahriyari, Karimian, and Aliakbari participated in negotiations among the participants and monitored the progress of the oil sales, oil shipments, and the IRGC-QF’s receipt of the oil proceeds.
To sell NIOC crude oil to government-affiliated buyers in Russia, the network again used the ASB Group of companies, along with other companies in the United Arab Emirites, Cyprus, Russia, and Turkey. Shahriyari and Karimian organized a complex web of companies, with Sitki Ayan’s ASB Group of companies at the center, to launder NIOC oil and the proceeds through layered transactions with a Cypriot company and to launder the oil sales through bulk cash smuggling and trade-based money laundering involving Russian agricultural products. Commander Ghasemi and his co-conspirators, including Karimian, controlled the proceeds of the oil sales, which were collected in Russia and transferred through cash couriers, Sitki Ayan’s companies, or the Iranian Embassy in Moscow.
In furtherance of the oil-laundering scheme, the defendants used a myriad of deceptive techniques including: 1) the use of front companies and intermediaries in countries outside of Iran to disguise the IRGC’s role in the oil transactions and the Iranian source of the oil; 2) the use of falsified documentation to misrepresent the source of the oil and deceive unwitting companies and banks and cause them to provide services in furtherance of the scheme; and 3) the use of ship-to-ship transfers and the manipulation of location and shipping data for vessels used in furtherance of the scheme in order to obscure the loading and unloading of their Iranian oil cargoes and avoid the identification of the vessels used to facilitate the oil laundering.
One of the key IRGC-QF front companies involved in the scheme was China Oil and Petroleum Company Limited (China Oil and Petroleum), which, despite its name, was controlled from Iran by Commander Ghasemi and his associates, including Karimian. China Oil and Petroleum acted as an intermediary in sales of NIOC oil, including deals involving Sitki Ayan’s ASB Group of companies, in order to facilitate the ultimate delivery to government-affiliated buyers in China. Between at least 2019 and the present, China Oil and Petroleum has been involved in the transfer of more than $2 billion through the U.S. financial system in furtherance of the scheme to finance the IRGC-QF.
Each of the defendants is charged with: (i) conspiring to provide material support to a designated foreign terrorist organization, which carries a maximum sentence of 20 years in prison; (ii) conspiring to violate the International Emergency Economic Powers Act and sanctions against the Governments of Iran and Syria, global terrorists and proliferators of weapons of mass destruction, which carries a maximum sentence of 20 years in prison; (iii) conspiring to commit bank and wire fraud, which carries a maximum sentence of 30 years in prison; (iv) conspiring to commit money laundering, which carries a maximum sentence of 20 years in prison; and (v) conspiring to defraud the United States, which carries a maximum sentence of five years in prison.
The FBI is investigating the case.
Assistant U.S. Attorneys Michael D. Lockard, David W. Denton Jr., and Nicholas S. Bradley are prosecuting the case, with assistance from Trial Attorneys David Lim, Beaudre Barnes, and Christopher Magnani of the National Security Division’s Counterintelligence and Export Control Section and Trial Attorneys Joshua Champagne and Jennifer Levy of the National Security Division’s Counterterrorism Section.
United States v. Wang et al. (DDC)
Note: View the indictment here.Two defendants – Shaoyun Wang, 54, of China, and Mahmood Rashid Amur Al Habsi, 39, of Muscat, Oman – are charged in a 12-count indictment that was unsealed today in the District of Colombia. The indictment charges the defendants with violating the International Emergency Economic Powers Act and sanctions against Iran; conspiracy to commit money laundering, and money laundering stemming from their scheme to sell Iranian petroleum to Chinese government-owned refineries and illegally use the U.S. financial system to facilitate the sale of hundreds of millions of dollars’ worth of oil to benefit the IRGC. Also unsealed today was a warrant for a related seizure of $8.5 million connected to this network.
“The only way that Iran can illegally sell oil is if people and business organizations outside Iran help it to do so,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “The indictment unsealed today demonstrates that the U.S. government will seek to hold accountable those who knowingly help Iran illegally sell oil – wherever in the world they are located.”
According to the indictment, between December 2019 and July 2021, Wang, Al Habsi, and other co-conspirators negotiated the sale of and sold illicit Iranian oil to the People’s Republic of China (PRC). They allegedly obtained the oil from Iran using surreptitious means which included AIS spoofing and multiple transfers between ocean-going tankers. The scheme relied on the use of the U.S. financial system and was facilitated by Turkish, Omani, and U.S. persons and entities, all in violation of U.S. sanctions against Iran.
The indictment further alleges that Wang and Al Habsi created fraudulent documents to mask that the oil originated from Iran, used electronic communications to arrange for Chinese buyers of the Iranian oil, used shell corporations to launder the proceeds through the U.S. financial system and provided false information to the U.S. companies about the source of the money generated by the transactions. In addition, the defendants used U.S. companies as a “trust” to hold the profits for the IRGC.
Al Habsi, acting through one of his companies, procured a $16.5 million loan in June 2020 from U.S. financial companies to purchase an oil tanker, later named M/T Oman Pride. Beginning in July 2020, the Oman Pride transported Iranian oil, which was ultimately transferred to third-party vessels for sale to Chinese government-owned refineries and companies in China.
As alleged, Wang used a U.S. front company, worked with a U.S. person, and relied on U.S. financial institutions to facilitate the sale of the Iranian oil to China. Wang – who served as a director of a Chinese oil refinery – was also the chair of a U.S. company in Las Vegas, Nevada, and general manager of the U.S. company’s Hong Kong-based parent company. The Hong Kong company acted as a front for transactions. Wang engaged with senior IRGC officials to effect the purchases. The scheme resulted in millions of dollars’ worth of transactions that were processed by U.S. banks and facilitated by U.S. persons.
Homeland Security Investigations (HSI) Washington D.C. and the FBI Minneapolis Field Office are investigating the case.
Assistant U.S. Attorneys Karen Seifert, Maeghan Mikorski, Rajbir Datta, and Prava Palacharla for the District of Columbia are prosecuting the case, with assistance from Trial Attorneys David Lim, Beaudre Barnes, and Christopher Magnani of the National Security Division’s Counterintelligence and Export Control Section and Trial Attorneys Joshua Champagne and Jennifer Levy of the National Security Division’s Counterterrorism Section.
U.S. v. Approximately 523,507 Barrels Aboard Crude Oil Tanker Abyss (DDC)
A civil forfeiture complaint was unsealed today in the District of Columbia, alleging that more than 500,000 barrels of Iranian fuel oil valued at over $25 million previously onboard M/T Abyss is forfeitable under terrorism laws as property that provides a source of funds to the IRGC and IRGC-QF.
“The complaint unsealed today is the latest in a series of actions our Office has taken to seize and to forfeit oil that Iran has attempted to illegally sell,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “Forfeiture actions like this one disrupt Iran’s efforts to illegally sell oil. The proceeds from these illegal sales are the lifeblood of the Iranian’s efforts to sew war and terror around the globe, disrupting these sales is critical to our national security.”
The document alleges a scheme to facilitate the shipment and sale of Iranian fuel oil for the benefit of the IRGC and the IRGC-QF. The IRGC and its facilitators used deceptive practices to masquerade the oil as Iraqi, including manipulating the vessel’s automatic identification system reporting and presenting falsified documents.
The civil forfeiture action further alleges that the fuel oil constitutes the property of the NIOC, which has provided material support to the IRGC and IRGC-QF. As alleged, profits from petroleum product sales support the IRGC’s full range of malign activities, including the proliferation of weapons of mass destruction and their means of delivery, support for terrorism, and both domestic and international human rights abuses.
Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the U.S. Victims of State Sponsored Terrorism Fund.
The FBI Minneapolis Field Office and Homeland Security Investigations (HSI) New York are investigating the Abyss case related to Iranian fuel oil, and other cases were investigated by these offices as well as HSI’s Washington, D.C. and Colorado Springs offices.
Assistant U.S. Attorneys Karen P. Seifert, Maeghan O. Mikorski, Brian Hudak, Rajbir S. Datta, and Erika Oblea for the District of Columbia are litigating the case related to Iranian fuel oil aboard the Abyss, with support from the National Security Division’s Counterintelligence and Export Control Section. They received assistance from Paralegal Specialist Brian Rickers. The U.S. Marshals Service provided significant assistance in this matter.
A civil forfeiture complaint is merely an allegation. The burden to prove forfeitability in a civil forfeiture proceeding is upon the government.
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These enforcement actions are the latest in Justice Department efforts to combat the illicit trafficking of Iranian oil in violation of U.S. law. On Sept. 8, 2023, the Department announced a seizure of oil onboard the tanker Suez Rajan, a criminal plea by its ownership company, and a deferred prosecution agreement by its operating company, all arising out of the tanker’s transport of illicit Iranian oil. The oil was sold for $74 million, and the proceeds of the sale are now subject to the civil forfeiture process.
These recent actions build on prior enforcement cases the Department of Justice has brought in the District of Columbia related to seizures of illicit Iranian oil since 2019. For example, on July 1, 2020, the Department filed a civil asset forfeiture complaint against all the petroleum seized onboard the four oil tankers, the Bella, Bering, Pandi, and Luna, which were carrying Iranian petroleum to Venezuela. The petroleum onboard these four tankers was sold for approximately $45 million.
Similarly, on Feb. 2, 2021, the Department of Justice filed a civil asset forfeiture against all petroleum seized onboard the oil tanker Achilleas, which was transporting NIOC petroleum. The petroleum on the Achilleas was sold for approximately $111 million.
***
In December 2023, the Department of Justice joined with the Departments of Commerce, Homeland Security, State, and Treasury to issue a joint “Know Your Cargo” compliance note highlighting common tactics deployed by malign actors in the maritime and other transportation industries as well as recent enforcement actions taken in response to alleged violations.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Jury Finds Two District Men Guilty of First-Degree Murder While Armed in Killing of Man in Southeast WashingtonRead the Press Release
WASHINGTON – Delonte Stevenson, 28, and Vorreze Thomas Jr., 26, both of Washington, D.C., have been found guilty by a jury of first-degree murder while armed, and related charges in the January 2021 shooting of Terrance Allen, 32, in Southeast Washington, D.C. The announcement was made by U.S. Attorney Matthew M. Graves and Pamela Smith, Chief of the Metropolitan Police Department (MPD).
Stevenson and Thomas were also found guilty yesterday of conspiracy, two counts of assault with intent to kill, and various firearms related charges. The jury returned a verdict after less than a day of deliberations following a 13-day trial before the Honorable Marisa J. Demeo in the Superior Court of the District of Columbia. Sentencing is scheduled for April 19, 2024.
According to the government’s evidence presented at trial, on the morning of January 18, 2021, Stevenson and Thomas’ vehicle intercepted a vehicle driven by Allen as it was leaving the Stanton Glen Apartments. Stevenson fired thirty-four shots with a rifle, while sitting in the front passenger’s seat, into the back of Allen’s vehicle. As a result, Allen was killed and two other passengers in Allen’s car were wounded. Allen was not the intended target; rather, Stevenson and Thomas were attempting to kill one of the other men in the car with Allen with whom they had a dispute.
Following the shooting Stevenson and Thomas attempted to flee the scene. A nearby MPD officer heard the shooting, observed Stevenson and Thomas fleeing the scene and was given authorization to pursue. Stevenson and Thomas eventually crashed their vehicle at the intersection of 29th and Erie Street SE and successfully fled on foot. However, officers later located the murder weapon in the flight path. Police also recovered a cell phone belonging to Thomas from the crashed vehicle.
Both men were arrested on February 17, 2021, and have been in custody since that time. The government’s evidence at trial included video surveillance, cell site records, ShotSpotter audio, body worn camera footage, ballistics evidence, and DNA evidence.
This case is being investigated by Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia.
The case is being prosecuted by Assistant U.S. Attorneys Jack Korba, Miles Janssen and Zach Horton.
Jefferson Parish Sentenced to 10 Years for Distributing Heroin, Methamphetamine, and FentanylRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that FLOYD ROBERTSON, 27, from Jefferson Parish, was sentenced yesterday by U.S. District Judge Barry W. Ashe to 10 years imprisonment , 8 years of supervised release, and a $400 mandatory special assessment fee, after previously pleading guilty to three counts of distribution of methamphetamine and one count of distribution of a substance containing both heroin and fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 841(b)(1)(C).
According to court documents, on three separate occasions between February and June 2021, U.S. Drug Enforcement Administration agents conducted controlled purchases of narcotics from ROBERTSON. During the transactions, ROBERTSON distributed more than fifty (50) grams of methamphetamine and a quantity of a mixture and substance containing a detectable amount of heroin and fentanyl.
This case was investigated by the U.S. Drug Enforcement Administration and the Jefferson Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney Nolan D. Paige, Chief of the Narcotics Unit.
Jackson Man Pleads Guilty to Possession with Intent to Distribute over 37 Grams of MethamphetamineRead the Press Release
Jackson, Mississippi – A Jackson man pled guilty to possession with intent to distribute over 37 grams of methamphetamine.
According to court documents, Ronald Glenn Cobbs, Jr. a/k/a Lil’ Ron a/k/a Reverend Bankroll, 39, possessed over 37 grams of methamphetamine at his business located in North Mart Plaza in Jackson.
Cobbs is scheduled to be sentenced on May 3, 2024, and faces a maximum penalty of 40 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case is the result of an extensive investigation targeting illegal drug trafficking in the Jackson, Mississippi, and surrounding areas. The case 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.
U.S. Attorney Todd W. Gee and Acting Special Agent in Charge Steven Hofer of the Drug Enforcement Administration made the announcement.
The case was investigated by the Drug Enforcement Administration, Bureau of Alcohol Tobacco Firearms and Explosives, Rankin County Sheriff’s Office, Ridgeland Police Department, and Mississippi Bureau of Narcotics.
Assistant United States Attorney Keesha Middleton is prosecuting the case.