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Newest first across public DOJ and U.S. Attorney press releases.
1 February 2024
Registered Sex Offender Sentenced to Federal Prison for Distribution and Possession of Child PornographyRead the Press Release
PROVIDENCE, RI – A registered sex offender who admitted to a federal judge that he possessed and distributed child pornography while serving a term of state probation imposed as the result of a previous conviction on an unrelated state charge of solicitation of a child has been sentenced to nine years in federal prison, announced United States Attorney Zachary A. Cunha.
Robert H. King, 39, pleaded guilty in federal court on October 31, 2023, to charges of distribution of child pornography and possession of child pornography. He was sentenced today by U.S. District Court Judge William E. Smith to 108 months of incarceration to be followed by 15 years of federal supervised release.
In December 2019, ten months after being convicted and sentenced in Rhode Island state court for solicitation of a minor, King uploaded an image of child pornography to a social media account that he controlled. Additionally, further investigation by the Rhode Island State Police Internet Crimes Against Children (ICAC) Task Force determined that multiple images of child pornography had been uploaded from an IP address located in Rhode Island, determined to be utilized by King, to various internet-based social media platforms.
A forensic audit of a cellular phone seized from King in March 2020 revealed approximately 135 images of child pornography.
The case in U.S. District Court was prosecuted by Assistant U.S. Attorney Ronald R. Gendron.
The matter was investigated by the ICAC Task Force, with assistance from Homeland Security Investigations.
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Providence Man Sentenced for Assaulting a Postal Service CarrierRead the Press Release
PROVIDENCE, RI – A federal judge on Wednesday imposed a nearly two-year term of incarceration on a Providence man who admitted to assaulting a U.S. Postal Service employee in November 2021, announced United States Attorney Zachary A. Cunha.
Branley Ferreras-Severino, 23, who has been detained in state custody since his arrest on unrelated state drug trafficking charges on January 6, 2022, pleaded guilty on August 23, 2023, to a charge of assault of a U.S. Postal Service carrier. He was sentenced on Wednesday to 21 months of incarceration, and three years of federal supervised release.
Ferreras-Severino previously admitted to the court that he was the driver of a vehicle that had stopped on a narrow South Providence street that was only wide enough to allow one vehicle to pass at a time. As a postal driver maneuvered a mail delivery truck past Ferreras-Severino’s BMW, the postman smiled at the car’s driver in acknowledgement of the brief awkwardness. A short time later, when the letter carrier returned to his truck after delivering a package, he was met by Ferreras-Severino who uttered, “You think it’s funny? You almost hit me. You wanna get popped?” He then struck the letter carrier with his fists.
The case was prosecuted by Assistant United States Attorney Ly T. Chin.
The matter was investigated by the United States Postal Inspection Service.
United States Attorney Cunha acknowledges the Rhode Island High Intensity Drug Trafficking Area Task Force for their assistance in the investigation of this matter.
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Political Organizer and Former President of City Council of Atlantic City Charged with Submitting Fraudulent Mail-In BallotsRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man was arrested today for his role in procuring, casting, and tabulating fraudulent mail-in ballots submitted in the Nov. 8, 2022, general election, U.S. Attorney Philip R. Sellinger announced.
Craig Callaway, 64, a former member and president of the City Council of Atlantic City and a political organizer who assisted campaigns for elected offices in New Jersey, is charged in a criminal complaint unsealed today with one count of depriving, defrauding, and attempting to deprive and defraud the residents of the state of New Jersey of a fair and impartially conducted election process by the fraudulent procurement, casting, and tabulation of ballots. Callaway is scheduled to make his initial appearance today before U.S. Magistrate Judge Matthew J. Skahill in Camden federal court.
U.S. Attorney Philip R. Sellinger“Holding free and fair elections is a bedrock principle of our democracy. As alleged in the complaint, the defendant attempted to deprive New Jersey residents of a fair election by fraudulently procuring and casting ballots. Today’s charges reflect our office’s commitment to hold to account those who try to undermine the electoral process.”
“Voter fraud at any level chips away at the faith people have in our system,” FBI – Newark Special Agent in Charge James E. Dennehy said. “We’re unable as American citizens to hold our government accountable if our votes are compromised. The FBI and our law enforcement partners understand the gravity of protecting the process and will bring those criminals who break the law to justice.”
According to the documents filed in this case:
Approximately one month before the Nov. 8, 2022, general election, Callaway and others working at Callaway’s direction approached numerous individuals in Atlantic City promising to pay them $30 to $50 to act as purported authorized messengers for voters who supposedly wished to vote by mail.
After receiving Vote-By-Mail Applications from Callaway or his subordinates, these purported messengers entered the Atlantic County clerk’s office carrying anywhere from one to four completed Vote-By-Mail Applications. As instructed by Callaway or his subordinates, these individuals provided county clerk’s office personnel proof of identification and signed the Vote-By-Mail Applications in the authorized messenger portion before handing those signed applications to office personnel. The purported messengers waited while office personnel processed the applications and, if the applications were approved, provided to the purported messengers mail-in ballots for the voters listed on the applications.
Under New Jersey law, a messenger is required to deliver any mail-in ballot they received directly to the voter who requested the ballots, and certify that they would do so. However, after receiving mail-in ballots, these purported messengers left the county clerk’s office and instead handed the ballots to Callaway or his subordinates.
Many of the mail-in ballots collected by Callaway or his subordinates were ultimately cast in the names of people who have confirmed that they did not vote in the 2022 General Election – either in person or by submitting a mail-in ballot – and that they did not authorize Callaway, his subordinates, or anyone else, to cast ballots for them. Many of these mail-in ballots were counted towards in the election.
The charge of the procuring, casting, and tabulating fraudulent ballots carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gain or loss from the offense, whichever is greatest.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge Dennehy; the FBI’s Atlantic City Resident Agency's Public Corruption Task Force, including the Atlantic County Prosecutor's Office, under the direction of Prosecutor William Reynolds; the Atlantic City Police Department, under the direction of Officer in Charge Chief James A. Sarkos; and the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; as well as special agents of the U.S. Department of Labor, Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Jonathan Mellone; the Department of Agriculture – Office of Inspector General, under the direction of Special Agent in Charge Bethanne M. Dinkins; and postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Inspector in Charge Christopher A. Nielsen, with the investigation leading to the charge.
The government is represented by Assistant U.S. Attorney Eric A. Boden, Attorney in Charge of the Trenton Branch Office, and Assistant U.S. Attorney James H. Graham of the Organized Crime and Gangs Unit, under the supervision of the Special Prosecutions Division.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
callaway.complaint.pdfPinellas Drug Trafficker Sentenced to 20 Years in PrisonRead the Press Release
Tampa, FL – U.S. District Judge Katherine Kimball Mizelle has sentenced Javontah Harris, a/k/a “Gut,” (32, St. Petersburg) to 20 years in federal prison for conspiracy to distribute 500 grams or more of methamphetamine, 40 grams or more of fentanyl and cocaine, and possession with the intent to distribute 50 grams or more of methamphetamine. Harris entered a guilty plea on November 14, 2023.
According to court documents, Harris is a member of Bag Tawk Entertainment (BTE), an organization known for distributing controlled substances in St. Petersburg. Harris and other members of BTE used residences in Pinellas County to manufacture and sell narcotics. In videos posted online, Harris and his fellow BTE members featured images of drug manufacturing and lyrics about making and selling narcotics.
On January 23, 2022, Harris possessed 224.1 grams of a mixture containing methamphetamine, approximately $1,843 cash, and make-shift business cards containing a phone number traced to a BTE co-conspirator with “G” – for “Gut” – on the cards. During the execution of numerous search warrants at the BTE stash houses, agents located over 200 grams of pure methamphetamine, more than 100 grams of cocaine, and approximately 180 grams of fentanyl or fentanyl analogues in addition to firearms.
This case was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pinellas County Sheriff’s Office, and the St. Petersburg Police Department. It was prosecuted by Assistant United States Attorney Samantha E. Beckman.
Pennsylvania Courts to Pay $100,000 and Take Statewide Measures to Redress Alleged Discrimination Against People with Opioid Use DisorderRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced today that the Justice Department has secured an agreement with the Unified Judicial System of Pennsylvania (UJS) to resolve allegations that UJS courts violated the Americans with Disabilities Act (ADA) by preventing individuals under court supervision from taking lawfully prescribed medication to treat opioid use disorder (OUD).
Under the agreement, UJS courts will pay $100,000 to victims, and encourage all its component courts to adopt new policies and train personnel on the ADA’s anti-discrimination requirements regarding OUD and report on their compliance efforts.
“My office is dedicated to fighting the opioid epidemic with every tool that we have,” said U.S. Attorney Romero. “That includes enforcing the ADA to remove discriminatory barriers to treatment for OUD. All too often, people taking medication to treat their OUD are subjected to discrimination based on unfounded stigma associated with these medications. It is a violation of the ADA to deny someone access to programs and services simply because they are taking medication their doctors have prescribed to get and keep their OUD in remission. My office will hold entities that violate the ADA’s anti-discrimination protections accountable.”
“The battle against the opioid epidemic requires not only the vigorous prosecution of those who traffic in and profit from drugs like heroin and fentanyl, but also requires ensuring individuals with opioid use disorder can take their medically prescribed treatment,” said U.S. Attorney Gerard M. Karam for the Middle District of Pennsylvania. “This agreement with the Commonwealth will help ensure that individuals participating in Pennsylvania’s courts who have opioid use disorder will be allowed to follow their providers’ course of treatment, which may include medication that dramatically reduces opioid overdose deaths. This office will enforce the ADA to protect all individuals with disabilities, and this includes our citizens in recovery from addiction.”
The settlement agreement resolves the department’s lawsuit against the UJS, Supreme Court of Pennsylvania and Blair, Jefferson, Lackawanna and Northumberland County Courts of Common Pleas. The department’s complaint, filed in 2022, alleged that UJS courts in multiple counties caused significant harm through the enforcement of their discriminatory administrative policies. The department further alleged that those affected by the UJS court policies were put to an agonizing choice: take their medication and face incarceration or termination from their treatment court program or forgo their medication and suffer painful withdrawal symptoms while risking relapse, overdose and death. As a result, they suffered significant harm. The complaint alleged that the named county courts and other UJS courts had likely harmed many other individuals with OUD through the enforcement of their discriminatory policies.
Under the settlement agreement, the UJS courts will compensate the victims identified in the complaint. They will train all Pennsylvania state court criminal judges and treatment court professionals on the ADA and OUD medication. Several of the named county courts will adopt a robust anti-discrimination policy related to OUD medication. The Administrative Office of Pennsylvania Courts will recommend and encourage all other county courts to adopt the same policy. Finally, the UJS courts will report on their efforts to comply with the agreement, including detailing any complaints about access to OUD medication submitted to any UJS courts during the agreement’s two-year term.
“People with opioid use disorder caught up in the criminal justice system should be supported in seeking treatments that can help them attain recovery,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Under this agreement, courts that categorically restricted the use of opioid treatment medication are required to allow people with opioid use disorder to take proven medications that can put them on a path toward recovery and rehabilitation. Ensuring that courts are employing science-driven and data-informed approaches to the opioid crisis is an important priority for the Civil Rights Division. We will continue to enforce our federal civil rights laws, including the ADA, to ensure that people with disabilities are protected from discrimination.”
The settlement agreement announced today advances the Justice Department’s efforts to combat discrimination against individuals with OUD and to remove discriminatory barriers to treatment. The department has issued public guidance and filed statements of interest on the ADA’s protections for those with OUD. It has entered into multiple settlements with jails and prisons to increase access to OUD medication, including recent agreements in Allegheny County, Pennsylvania; Eastern Kentucky and Massachusetts. It has undertaken enforcement efforts to combat discrimination against individuals with OUD in court supervision programs in Massachusetts. It has also entered numerous settlements to address discriminatory barriers to treatment for OUD outside of the criminal justice context, including barriers related to employment, professional licensing, social services and healthcare.
U.S. Attorney Romero and Deputy Civil Chief for Civil Rights Lauren DeBruicker handled this matter for the Eastern District of Pennsylvania, in collaboration with attorneys from the Disability Rights Section of the Justice Department’s Civil Rights Division and Middle District of Pennsylvania Assistant United States Attorney and Civil Rights Coordinator Michael J. Butler.
For more information about the Justice Department’s work to address discrimination against individuals with opioid use disorder, please visit https://www.ada.gov/topics/opioid-use-disorder/. For more information on the ADA, please call the Department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov.
Members of the public may report possible civil rights violations at civilrights.justice.gov/report. Anyone in the Eastern District of Pennsylvania may also report civil rights violations to the U.S. Attorney’s Office for the Eastern District of Pennsylvania by calling 215-861-8555 or emailing [email protected].
Pennsylvania Courts Agree to Pay $100,000.00 in Damages to Compensate Victims and Redress Americans with Disabilities Act (ADA) DiscriminationRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that the Unified Judicial System of Pennsylvania (UJS Courts) has agreed to pay $100,000.00 to resolve a federal lawsuit bought by the United States under Title II of the Americans with Disabilities Act, 42 U.S.C. §§ 12131-12134 (ADA). The United States brought this action against the UJS, the Supreme Court of Pennsylvania, and the Blair, Jefferson, Lackawanna, and Northumberland County Courts of Common Pleas to vindicate the rights of individuals with opioid use disorder (OUD) who have been subjected to discriminatory written and unwritten policies and practices in at least eleven UJS Courts, restricting their ability to take medication administered by their health care providers to treat their disability.
“The battle against the opioid epidemic requires not only the vigorous prosecution of those who traffic in and profit from drugs like heroin and fentanyl, but also requires ensuring individuals with opioid use disorder can take their medically prescribed treatment,” said U.S. Attorney Gerard M. Karam of the Middle District of Pennsylvania. “This agreement with the Commonwealth will help ensure that individuals participating in Pennsylvania’s courts who have opioid use disorder will be allowed to follow their providers’ course of treatment, which may include medication that dramatically reduces opioid overdose deaths. This office will enforce the Americans with Disabilities Act to protect all individuals with disabilities, and this includes our citizens in recovery from addiction.”
Under the settlement agreement, the UJS Courts will compensate six victims of the courts’ discriminatory policies: two from Jefferson County Court, two from Blair County Court, one from Northumberland County Drug Court, and one from Lackawanna County Court. The courts made each individual choose between taking their prescribed medication or face incarceration or termination from the court’s respective treatment program. By forgoing their medication, the individuals faced painful withdrawal symptoms and the risk of relapse, overdose, and death.
Additionally, under the agreement, the UJS Courts will provide training to all Commonwealth court criminal judges and treatment court professionals on the ADA and OUD medication. Three of the named county courts will adopt an anti-discrimination policy related to OUD medication that is attached as an exhibit to the agreement. The Supreme Court of Pennsylvania will post the policy on their webpage and encourage all other county courts to adopt the same policy. And, finally, all of the defendants will report to the United States on their efforts to comply with the agreement, including detailing any complaints regarding access to OUD medication submitted to any UJS Courts during the agreement’s two-year term.
“People with opioid use disorder caught up in the criminal justice system should be supported in seeking out treatments that can help them attain recovery,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Under this agreement, the UJS courts that categorically restricted the use of opioid treatment medication are required to allow people with opioid use disorder to take the proven medications that put them on a path toward recovery and rehabilitation. These courts are also required to implement new policies and training procedures to prevent disability discrimination in the future. We are pleased to reach this significant resolution, and we will continue to enforce federal civil rights laws like the ADA to ensure people with disabilities are protected from discrimination.”
“My office is dedicated to fighting the opioid epidemic with every tool that we have,” said U.S. Attorney Romero. “That includes enforcing the ADA to remove discriminatory barriers to treatment for OUD. All too often, people taking medication to treat their OUD are subjected to discrimination based on unfounded stigma associated with these medications. It is a violation of the ADA to deny someone access to programs and services simply because they are taking medication their doctors have prescribed to get and keep their OUD in remission. My office will hold entities that violate the ADA’s anti-discrimination protections accountable.”
The partnership of the Middle and Eastern Districts of Pennsylvania in conjunction with the Justice Department demonstrates our ongoing efforts to combat discrimination against individuals with OUD. The Justice Department previously issued public guidance and filed statements of interest on the ADA’s protections for those with OUD. It has entered into multiple settlements with jails and prisons to increase access to OUD medication, including recent agreements in Allegheny County, Pennsylvania; Eastern Kentucky; and Massachusetts. It has undertaken enforcement efforts to combat discrimination against individuals with OUD in court supervision programs in Massachusetts. It has also entered numerous settlements to address discriminatory barriers to treatment for OUD outside of the criminal justice context, including barriers related to employment, professional licensing, social services, and healthcare.
Attorneys Kevin Kijewski, David Knight, and Adam Lewis of the Civil Rights Division’s Disability Rights Section handled this matter in collaboration with Middle District of Pennsylvania Assistant United States Attorney Michael J. Butler, Civil Rights Coordinator, and Eastern District of Pennsylvania Assistant United States Attorney Lauren DeBruicker, Deputy Civil Chief for Civil Rights.
For more information about the Justice Department’s work to address discrimination against individuals with opioid use disorder, please visit: https://www.ada.gov/topics/opioid-use-disorder/. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. Members of the public may report possible civil rights violations at civilrights.justice.gov/report/. Anyone in the Middle District of Pennsylvania may also report civil rights violations to the Civil Rights Coordinator of the U.S. Attorney’s Office for the Middle District of Pennsylvania by calling 717-614-4911 or emailing [email protected].
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Owner of Closed Substance Use Treatment Facility in Florida Sentenced to 26 Months in Prison for Conspiring to Defraud Health InsurersRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Terrence Livorsi, 69, of Glenside, Pennsylvania, has been sentenced to 26 months’ imprisonment and two years of supervised release, and ordered to pay $287,654.72 in restitution, a $10,000 fine, and $100 special assessment for conspiring to commit health care fraud, arising from his operation of an Employee Assistance Program (“EAP”). Livorsi used the EAP to funnel patients to addiction treatment at facilities and programs that he owned in Florida, in order to bill patients’ medical insurance for treatment, including treatment that was not medically necessary.
Livorsi offered his EAP services free of charge and marketed the services mainly to public sector labor unions in New Jersey. Livorsi and his EAP encouraged union officials and representatives to call when a union member was in distress or facing workplace discipline. Upon referral of a union member for EAP services, Livorsi and/or an employee of the EAP collected information from the person, including asking the prospective patient about his or her use of alcohol or drugs. Many prospective patients did not have substance use disorders but were nevertheless fraudulently referred to Recovery Institute of South Florida (“RISF”), a substance use treatment facility that Livorsi also owned and operated. Patients were pressured to fly to Florida immediately for treatment at RISF, allegedly to save their jobs. The people that Livorsi and his staff members referred to RISF were not told that Livorsi owned RISF or that he would benefit financially by billing their health insurance.
From at least January 2014 until RISF closed in April 2018, it was the business of Livorsi’s EAP to send patients to treatment at RISF. RISF depended on the EAP to refer patients for treatment and made money by billing insurers for those referred patients. The EAP, which did not charge anyone for its services, depended on RISF to finance its operations. As the sole owner of both RISF and the EAP, Livorsi controlled every aspect of their operations, including the finances and bank accounts of both organizations. Livorsi directly profited when RISF profited. Livorsi directed RISF to pay bonuses to his staff, including himself, for admissions to RISF that the employee had procured. Although he was not a licensed caregiver and was infrequently present at RISF, Livorsi exercised control over when patients could be discharged from RISF and would keep patients as long as possible to maximize the opportunities to bill insurance.
Livorsi was charged by an information filed April 11, 2023, and entered a plea of guilty on May 8, 2023.
“Terrence Livorsi’s scheme was to use an Employee Assistance Program he owned to funnel patients to a drug treatment facility that he also owned — whether they had substance abuse issues or not — keep them there as long as possible, and profit,” said U.S. Attorney Romero. “He gave no thought to these people’s wellbeing, or their lives and livelihoods, just the money he could bilk from their insurance plans. Health care fraud is an incredibly costly crime and a high priority for the Department of Justice. That’s why we and the FBI will continue to work together to hold fraudsters like Terrence Livorsi accountable.”
The case was investigated by the FBI Philadelphia Health Care Fraud Task Force, which includes agents from the Pennsylvania Attorney General's Office and the Philadelphia Police Department, and the Employee Benefit Security Administration of the United States Department of Labor, and is being prosecuted by Assistant United States Attorney Elizabeth Abrams.
Omaha Woman Sentenced to 7 ½ Years’ Imprisonment for Methamphetamine ChargeRead the Press Release
United States Attorney Susan Lehr announced that Wendi Reich, 43, of Omaha, Nebraska, was sentenced February 1, 2024, in federal court in Omaha for conspiracy to distribute methamphetamine. United States District Court Judge Brian C. Buescher sentenced Reich to 90 months’ imprisonment. There is no parole in the federal system. After Reich’s release from prison, she will begin a 5-year term of supervised release.
On December 13, 2021, Omaha Police officers executed a search warrant on Wendi Reich’s Omaha residence and recovered 300 grams of meth from her possession. The investigation revealed that Reich was being supplied pound quantities of meth by codefendant Cornejo-Lopez, who pled guilty and was sentenced to 400 months’ imprisonment on October 25, 2023.
This case was investigated by the Omaha Police Department and the Federal Bureau of Investigation.
Ocean County Man Admits Federal Hate Crimes for Series of Violent Assaults on Members of Orthodox Jewish CommunityRead the Press Release
TRENTON, N.J. – An Ocean County, New Jersey, man today admitted committing a series of violent assaults on members of the Orthodox Jewish community in and around Lakewood, New Jersey, U.S. Attorney Philip R. Sellinger for the District of New Jersey and Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division announced.
Dion Marsh, 29, of Manchester, New Jersey, pleaded guilty before U.S. District Judge Zahid N. Quraishi in Trenton federal court to an information charging him with five counts of violating the federal Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act and one count of carjacking. Marsh is charged with willfully causing bodily injury to five victims, and attempting to kill and cause injuries with dangerous weapons to four of them, because they were Jewish.
U.S. Attorney Philip R. Sellinger“This defendant violently attacked five men, driving a car into four of them, stabbing one of them in the chest, and attempting to kill them, simply because they were visibly identifiable as Orthodox Jews. Today, he pleaded guilty to these hate crimes and a carjacking, and my office will ask the judge to impose a sentence that holds Marsh accountable for his brutal and hate filled rampage. The threat from hate-fueled violence is a sad reality across our state and our nation. That hate is not who we are. We are stronger as a people because no matter what you look like, how you worship, where you come from, or who you love, your civil rights must be respected and protected. My office has no higher priority than protecting the civil rights of our New Jersey residents.”
“This defendant is being held accountable for his series of depraved, antisemitic assaults against members of the Orthodox Jewish community,” Assistant Attorney General Clarke said. “Hate-filled acts of violence, intended to harm, intimidate and isolate communities, have no place in our society. The Justice Department will continue to aggressively prosecute perpetrators of antisemitic violence across our country.”
“We have said time and again as we investigate a significant rise in hate crimes, hating someone isn’t a crime, but hating someone and then attacking them based on that hate is a violation of federal law,” FBI – Newark Special Agent in Charge James E. Dennehy said. “Marsh admits he targeted five innocent people in 2022 because they were Orthodox Jews. Personal beliefs don’t give someone the right to attack and attempt to kill another human being because they may not ascribe to a similar religion or way of life. We have a clear message for the communities we serve in New Jersey, if you are a victim of a hate crime or have information the FBI and our law enforcement partners should know, please report it. Silence won’t solve it, and we can’t help if we don’t know about it. You can go to tips.fbi.gov or call 1-800-CALL-FBI.”
According to documents filed in this case and statements made in court:
On April 8, 2022, Marsh carried out a series of violent assaults on members of the Orthodox Jewish Community in and around Lakewood. Each of Marsh’s victims were attired in traditional garments worn by members of the Orthodox Jewish community and were assaulted because they were visibly identifiable Orthodox Jews.
At 1:18 p.m. on April 8, 2022, Marsh forced a visibly identifiable Orthodox Jewish man out of his car in Lakewood, assaulting and injuring him. Marsh took control of the man’s car and drove away.
At 5:20 p.m., Marsh was in Lakewood driving a different car when he deliberately struck another visibly identifiable Orthodox Jewish man with the vehicle, attempting to kill the victim.
At 6:06 p.m., Marsh used that second vehicle to deliberately strike another visibly identifiable Orthodox Jewish man, attempting to kill the victim and causing him to suffer several broken bones.
At 6:55 p.m., Marsh, once again driving the vehicle that he had stolen from the first victim, attempted to kill another visibly identifiable Orthodox Jewish man who was walking in Lakewood by deliberately striking him with the vehicle. Marsh got out of the vehicle and stabbed the man in the chest with a knife, causing the victim to suffer a stab wound and other injuries.
At 8:23 p.m., Marsh, still driving the vehicle that he had stolen from the first victim, used it to deliberately strike another visibly identifiable Orthodox Jewish man who was walking in nearby Jackson Township, New Jersey, attempting to kill the man and causing him to suffer several broken bones and internal injuries.
The four hate crimes violations charging Marsh with attempting to kill those victims each carry a statutory maximum term of life in prison and a $250,000 fine. The hate crime violation charging Marsh with assaulting the other victim carries a statutory maximum term of 10 years in prison and a $250,000 fine. The carjacking charge carries a statutory maximum term of 15 years in prison and a $250,000 fine. Marsh is scheduled to be sentenced on June 11, 2024.
U.S. Attorney Sellinger credited special agents of the FBI, Newark Division, Red Bank Resident Agency, under the direction of Special Agent in Charge Dennehy in Newark; officers of the Lakewood Police Department, under the direction of Chief of Police Gregory H. Meyer; officers of the Jackson Township Police Department, under the direction of Chief of Police Matthew Kunz; officers of the Ocean County Sheriff’s Office, under the direction of Sheriff Michael G. Mastronardy; prosecutors and detectives of the Ocean County Prosecutor’s Office, under the direction of Prosecutor Bradley D. Billhimer, and officers of the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney R. Joseph Gribko, Deputy Chief of the U.S. Attorney’s Office’s Civil Rights Division.
marsh.information.pdfNorman Man to Serve Nearly Five Years in Federal Prison for Lying About Not Being Under Felony Indictment or Subject to Protective Order when He Attempted to Purchase a FirearmRead the Press Release
OKLAHOMA CITY – Earlier this week, THOMAS LAVERNE BROWN, 50, of Norman, was sentenced to serve 57 months in federal prison for making a false statement during the attempted purchase of a firearm, announced U.S. Attorney Robert J. Troester.
On January 17, 2023, a federal grand jury returned a four-count Indictment against Brown, charging him with making a false statement during the attempted purchase of a firearm, two counts of possession of an unregistered firearm, and possession of firearms by a prohibited person. The Indictment further alleges that in August 2022, Brown was found in possession of several firearms. On June 6, 2023, Brown pleaded guilty to making a false statement during the attempted firearm purchase.
According to public record, on August 20, 2021, Brown was charged with felony domestic assault and battery by strangulation in Cleveland County District Court case number CF-2021-1139. Public record further reflects that on October 6, 2021, a protective order had been issued against Brown in Cleveland County District Court case number PO-2021-328. That protective order was effective through October 6, 2026. In July 2022, Brown then attempted to purchase a firearm at a Norman pawn shop. Under federal law, it is illegal to receive a firearm while under indictment for a felony or possess a firearm while subject to a protective order. In connection with that attempted purchase, Brown filled out paperwork for the National Instant Criminal Background Check System and falsely indicated on the paperwork that he was not under indictment for a felony or subject to a protective order.
At the sentencing hearing on January 29, 2024, U.S. District Judge Stephen P. Friot sentenced Brown to serve 57 months in federal prison, followed by three years of supervised release. In announcing the sentence, the court noted the nature and circumstances of the offense and the need to promote respect for the law.
This case is the result of an investigation by Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Wilson D. McGarry prosecuted the case.
This case is also part of “Operation 922.” Operation 922 is the Western District of Oklahoma’s implementation of Project Safe Neighborhoods, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. “Operation 922” prioritizes prosecution of federal crimes connected to domestic violence. For more information about Project Safe Neighborhoods, please visit https://justice.gov/psn and https://justice.gov/usao-wdok.
Reference is made to public filings for additional information.
Nonimmigrant visa holder sentenced for violating US gun lawsRead the Press Release
HOUSTON – A 26-year-old citizen of Niger has been sent to federal prison on firearms charges related to his status in the United States, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for approximately one hour following a one-day trial before returning guilty verdicts March 14, 2023, against Moctar Ahmadou Gouroudja Ahmadou.
U.S. District Judge Alfred H. Bennett has now ordered Ahmadou to serve 78 months in federal prison. He is also expected to lose his status in the country and face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence concerning his discussions with the individual associated with the attack on Naval Air Station Corpus Christi, about Ahmadou’s downloading of jihad videos including beheadings and that he discussed the possibility of traveling to Palestine to commit jihad. In handing down the sentence, the court noted Ahmadou had been invited to this country to study under a student visa and had violated that privilege.
“Moctar Ahmadou, like thousands every year, traveled to the United States under an F-1 visa in search of an American education,” said Hamdani. “But when he took that quest for knowledge to a gun range, picked up a gun, handled the ammo and fired it, he went from student to criminal. This sentence sends a strong message to those like Ahmadou--stay in the classroom and away from the gun range otherwise your American education will come not from a University but from the prison library.”
Even though Ahmadou was lawfully present in the United States on a nonimmigrant visa, he violated the terms of that status by illegally using a firearm and ammunition.
Ahmadou entered the United States March 24, 2016, from Niger. At the time, he had a nonimmigrant F1 visa, or student visa, to study at the North American University in Stafford. Under that status, he was not permitted to possess or use firearms or ammunition.
However, the jury heard that on or around May 17, 2021, Ahmadou participated in handling and firing a handgun at a Texas-based gun range. He purchased a course called “First Shot” which provided training on pistol shooting and range time. Immediately after completing the course, Ahmadou rented a Glock 45. He was seen at the firing line at the gun range holding a pistol and shooting down range towards a target.
On May 18, 2021, Ahmadou returned to the same gun range to participate in handling and firing a rifle. The course consisted of firearms safety, manipulation and shooting a rifle. He also possessed and shot a Smith & Wesson, model MP15, .223 caliber rifle and purchased and possessed four boxes of Fiocchi .223 caliber ammunition which he used with the rifle.
Ahmadou has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI led the investigation with the assistance of Bureau of Alcohol, Tobacco, Firearms and Explosives; Department of State - Diplomatic Security Service; Homeland Security Investigations; Customs and Border Protection; U.S. Customs and Immigration Service; and Texas Department of Fish and Wildlife conducted the investigation. Assistant U.S. Attorneys Steven Schammel and Richard Bennett prosecuted the case along with Trial Attorney Michael Dittoe of the Justice Department’s Counter Terrorism Section.
New Orleans Resident Pleads Guilty to Federal Narcotics and Firearms ChargesRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced that LARRY WILLIAMS, age 37, of New Orleans, pled guilty on January 30, 2024 for federal firearms and narcotics offenses.
According to court documents, WILLIAMS admitted to possessing a firearm and several narcotics after a foot chase and subsequent arrest by New Orleans Police Department officers. In Count 1, WILLIAMS admitted to possession with intent to distribute 40 grams or more of fentanyl, as well as quantities of cocaine, hydrocodone, and tapaentadol, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A) and (b)(1)(B). For this offense, he faces a statutory mandatory minimum sentence of five years, up to forty years imprisonment, a fine of up to $5,000,000, and at least four years of supervised release following any term of imprisonment.
The two other counts involve the firearm WILLIAMS possessed at the time of his arrest with the narcotics in Count 1. In Count 2, WILLIAMS admitted possessing a firearm in furtherance of drug trafficking, in violation of Title 18, United States Code, Section 924(c)(1)(A). For this offense, he faces at least five years imprisonment and up to life, consecutive to any other sentence, a fine of up to $250,000, and up to three years of supervised release following any term of imprisonment. In Count 3, WILLIAMS admitted to being a felon in possession of a firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). For this offense, he faces up to ten years imprisonment, a fine of up to $250,000, and up to three years supervised release.
For each of the counts with which WILLIAMS was charged, he faces payment of a $100 mandatory special assessment fee.
The Honorable Darrel J. Papillion set WILLIAMS’s sentencing for May 14, 2024.
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 Federal Bureau of Investigation and the New Orleans Police Department. The prosecution is being handled by Assistant United States Attorney Nicholas D. Moses, Health Care Fraud Coordinator.
New Orleans Man Pleads Guilty to Fentanyl DistributionRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that ANYTHONY DOYLE (“DOYLE”), age 40, a resident of New Orleans, pled guilty on January 31, 2024 to three (3) counts of distribution of Fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 841(b)(1)(C). In pleading guilty, the defendant faces, as to Counts One and Two, up to twenty (20) years in prison, at least three years of supervised release, and a fine of up to $1,000,000. As to Count Three, the defendant faces a minimum of five (5) years in prison, up to a maximum of forty (40) years, at least four years of supervised release, and a fine of up to $5,000,000. As to each count, DOYLE faces payment of a mandatory special assessment fee of $100.
According to court documents, on at least three (3) separate occasions in August of 2023, DOYLE sold Fentanyl to special agents from the Bureau of Alcohol, Tobacco, Firearms, andExplosives. These transactions were audio and video recorded. Chief United States District Judge Nannette Jolivette Brown set sentencing in this matter for May 16, 2024.
The U.S. Attorney’s Office would like to acknowledge the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives on this investigation. The prosecution of this case is being handled by Assistant United States Attorney Maria M. Carboni of the Financial Crimes Unit.
New Jersey Man Sentenced to 16 Months’ Imprisonment for Passing over $2,600 in Counterfeit Currency at Stores in Lackawanna, Lycoming, and Columbia CountiesRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Brandon Williams, age 35, of Mercer County, New Jersey, was sentenced on January 31, 2024, by U.S. District Court Judge Julia K. Munley, to 16 months’ imprisonment on the charge of passing counterfeit federal reserve notes.
According to United States Attorney Gerard M. Karam, Williams previously pleaded guilty and admitted to passing $1,400 in counterfeit bills at the Michaels store in Dickson City, on April 20, 2022, and to passing $750 in counterfeit bills later that same day at the CVS Pharmacy located on Green Ridge Street in Scranton. On April 23, 2022, Williams passed $280 in counterfeit bills at the Walmart in Montoursville, $160 in counterfeit bills at the Weis Market in Montoursville and attempted to pass additional counterfeit bills at the Dollar Tree in Bloomsburg but was unsuccessful.
The charges resulted from an investigation conducted by the United States Secret Service, the Dickson City Police Department, the Scranton Police Department, the Montoursville Police Department, and the Hemlock Township Police Department. Assistant United States Attorney Robert J. O’Hara prosecuted the case.
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New Jersey Man Pleads Guilty to Series of Violent Assaults on Members of the Orthodox Jewish CommunityRead the Press Release
A New Jersey man pleaded guilty today to committing a series of bias-motivated violent assaults on members of the Orthodox Jewish community in and around Lakewood, New Jersey.
On Feb. 1, Dion Marsh, 29, of Manchester, pleaded guilty before U.S. District Judge Zahid N. Quraishi in federal court to an information charging him with five counts of violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act and one count of carjacking. Marsh is charged with willfully causing bodily injury to five victims and attempting to kill and cause injuries with dangerous weapons to four of the victims, because they are Jewish.
“This defendant is being held accountable for his series of depraved, antisemitic assaults against members of the Orthodox Jewish community,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Hate-filled acts of violence, intended to harm, intimidate and isolate communities, have no place in our society. The Justice Department will continue to aggressively prosecute perpetrators of antisemitic violence across our country.”
“This defendant violently attacked five men, driving a car into four of them, stabbing one of them in the chest, and attempting to kill them, simply because they were visibly identifiable as Orthodox Jews,” said U.S. Attorney Philip R. Sellinger for the District of New Jersey. “Today, he pleaded guilty to these hate crimes and a carjacking, and my office will ask the judge to impose a sentence that holds Marsh accountable for his brutal and hate filled rampage. The threat from hate-fueled violence is a sad reality across our state and our nation. That hate is not who we are. We are stronger as a people because no matter what you look like, how you worship, where you come from, or who you love, your civil rights must be respected and protected. My office has no higher priority than protecting the civil rights of our New Jersey residents.”
“We have said time and again as we investigate a significant rise in hate crimes, hating someone isn’t a crime, but hating someone and then attacking them based on that hate is a violation of federal law,” said Special Agent in Charge James E. Dennehy of the FBI Newark Field Office. “Marsh admits he targeted five innocent people in 2022 because they were Orthodox Jews. Personal beliefs don’t give someone the right to attack and attempt to kill another human being because they may not ascribe to a similar religion or way of life. We have a clear message for the communities we serve in New Jersey, if you are a victim of a hate crime or have information the FBI and our law enforcement partners should know, please report it. Silence won’t solve it, and we can’t help if we don’t know about it. You can go to tips.fbi.gov or call 1-800-CALL-FBI.”
According to court documents and statements made in court, on April 8, 2022, Marsh carried out a series of violent assaults on members of the Orthodox Jewish Community in and around Lakewood. Each of Marsh’s victims was attired in traditional garments worn by members of the Orthodox Jewish community and was assaulted because they were visibly identifiable as Orthodox Jews.
Specifically, at 1:18 p.m. on April 8, 2022, in Lakewood, Marsh forced a man readily identifiable by his appearance as an Orthodox Jew out of his car, assaulting and injuring him. Marsh took control of the man’s car and drove away.
At 5:20 p.m., Marsh was in Lakewood driving a different car when he deliberately struck another visibly identifiable Orthodox Jewish man with the vehicle, attempting to kill the victim.
At 6:06 p.m., Marsh used that second vehicle to deliberately strike another man identifiable by his appearance as an Orthodox Jew, attempting to kill the victim and causing him to suffer several broken bones.
At 6:55 p.m., Marsh, once again using the vehicle that he had stolen from the first victim, struck and attempted to kill another man readily identifiable as an Orthodox Jew while he was walking in Lakewood. Marsh got out of the vehicle and stabbed the man in the chest with a knife, causing the victim to suffer serious injuries.
At 8:23 p.m., Marsh, still using the vehicle that he had stolen from the first victim, deliberately struck another visibly identifiable Orthodox Jewish man who was walking in nearby Jackson Township, New Jersey, attempting to kill the man and causing him to suffer several broken bones and internal injuries.
A sentencing hearing is scheduled for June 11. Marsh faces a maximum penalty of life in prison and a $250,000 fine for each of the four hate crimes violations charging him with attempting to kill victims, a maximum sentence of 10 years in prison and a $250,000 fine for the hate crime violation charging him with assaulting the other victim and a maximum penalty of 15 years in prison and a $250,000 fine for the carjacking charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Newark Field Office’s Red Bank Resident Agency, Lakewood Police Department, Jackson Township Police Department, Ocean County Sheriff’s Office, Ocean County Prosecutor’s Office and New Jersey State Police investigated the case.
Assistant U.S. Attorney and Deputy Chief of the Civil Rights Division R. Joseph Gribko for the District of New Jersey prosecuted the case with assistance from the Justice Department’s Civil Rights Division.
New Haven Drug Trafficker Sentenced to 12 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that JASHON SPEARMAN, also known as “J ” and “Deuce,” 35, of New Haven, was sentenced yesterday by U.S. District Judge Sarala V. Nagala in Hartford to 144 months of imprisonment, followed by five years of supervised release, for his role in a New Haven area drug trafficking ring operating in the West Hills neighborhood of New Haven.
According to court documents and statements made in court, in the fall of 2021, the New Haven Safe Streets/Gang Task Force and New Haven Police Department began investigating Spearman and others for the distribution of fentanyl, heroin crack and cocaine in and around the West Hills neighborhood, including the McConaughy Terrace housing complex located on South Genesee Street in New Haven. The investigation, which included court-authorized wiretaps, fixed video surveillance and controlled purchases of narcotics, revealed that Spearman was receiving fentanyl and heroin from James Hillard, of New York, and shipments of kilogram quantities of cocaine through the U.S. Mail from Puerto Rico, which were arranged by Jean Mangual-Castro, also known as “Mangui,” of West Haven. Spearman then distributed the drugs to others, several of whom processed, packaged, and sold fentanyl and crack at the McConaughy Terrace housing complex.
On February 4, 2022, investigators arrested Spearman and Hillard after they met in the Bronx and a search of Hillard’s car revealed more than 7,000 folds of heroin/fentanyl and approximately $30,000 in cash.
On February 8, 2022, investigators executed court-authorized search warrants at several locations, including a residence on Ward Street in New Haven where Spearman distributed narcotics, and vehicles in which Spearman was suspected of storing narcotics. A search of a minivan revealed approximately 19 kilograms of cocaine; a search of a vehicle registered to Spearman revealed $750,400 in cash, assorted jewelry valued at over $112,000, and fentanyl, crack, and heroin; and a search of the Ward Street residence revealed additional cash, several money counters, and numerous cellphones. Investigators also seized five firearms during the searches.
On February 15, 2022, a grand jury in New Haven returned an indictment charging Spearman, Hilliard and six co-defendants with narcotics trafficking offenses. On April 19, 2022, Spearman, Mangual-Castro, and two others were charged in a separate indictment with offenses related to the trafficking of cocaine through the mail from Puerto Rico.
Spearman has been detained since his arrest. On June 30, 2023, he pleaded guilty to conspiracy to possess with intent to distribute five or more kilograms of cocaine, 40 grams or more of fentanyl, and a quantity of cocaine base (“crack”) and heroin.
Judge Nagala ordered Spearman to forfeit the seized cash, jewelry, firearms, and three vehicles.
All 11 defendants charged during this investigation pleaded guilty. On May 11, 2023, Mangual-Castro was sentenced to 10 years of imprisonment. On December 12, 2023, Hillard was sentenced to 12 months and one day of imprisonment.
This investigation was conducted by the FBI’s New Haven Safe Streets/Gang Task Force, the U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force, and the New Haven Police Department. The FBI’s New Haven Safe Streets/Gang Task Force includes participants from the New Haven Police Department, Milford Police Department, East Haven Police Department, West Haven Police Department, Connecticut State Police, and the Connecticut Department of Correction. The U.S. Postal Inspection Service’s Narcotics and Bulk Cash Trafficking Task Force includes members from the U.S. Postal Inspection Service, the U.S. Postal Service – Office of the Inspector General, the Connecticut Army National Guard, and the Hartford, New Britain, Meriden, and Town of Groton Police Departments.
This case is being prosecuted by Assistant U.S. Attorneys Anthony E. Kaplan and Kenneth L. Gresham through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts, and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state, and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Minneapolis Man Sentenced to 10 Years in Prison for Three Armed CarjackingsRead the Press Release
ST. PAUL, Minn. – A Minneapolis man has been sentenced to 121 months in federal prison, three years of supervised release, and ordered to pay $1,100 in restitution to the victims of three violent carjackings committed within a 24-hour period in March 2023, announced U.S. Attorney Andrew M. Luger.
“This individual put several lives at risk by going on an armed carjacking spree and evading law enforcement by driving 120 miles per hour through a residential neighborhood,” said U.S. Attorney Andrew Luger. “This case offers a snapshot of a disturbing trend of violent and reckless behavior. Wilson-Branch’s spree is one of the reasons our office has focused our resources on prosecuting violent carjacking cases.”
“Wilson-Branch's cowardly and reprehensible actions, aimed at terrorizing innocent victims for personal gain, have no place in a just society,” said Special Agent in Charge Alvin M. Winston Sr. of FBI Minneapolis. “The FBI will not tolerate criminals depriving our citizens of safety within their own communities. We will continue to work with our local, state and federal partners to target, identify and bring to justice violent offenders.”
According to court documents, on March 16, 2023, at approximately 8:00 p.m., Javon Thomas Wilson-Branch, 20, along with another individual, approached two people in Minneapolis who had just parked and exited a Mercedes Benz SUV to unload groceries. Wilson-Branch pointed a Springfield Armory assault rifle at the victims and demanded they hand over everything they had. At gunpoint, the victims provided Wilson-Branch with the keys to the vehicle and other items. Wilson-Branch got into the carjacked SUV and drove away.
Approximately eight hours later, at around 4:00 a.m., Wilson-Branch and another individual carjacked a Toyota Highlander at gunpoint in Minneapolis. Wilson-Branch and others pulled the carjacked SUV up next to the Highlander, and demanded the victim’s car keys at gunpoint. An AirTag inside the carjacked vehicle tracked the vehicle to Saint Paul, where it was left and abandoned at approximately 4:30 a.m., and Saint Paul police later recovered the carjacked vehicle.
About thirty-minutes later, at approximately 5:00 a.m., Wilson-Branch and another individual drove the carjacked SUV to Saint Paul and parked behind an Audi A6. When the owner approached the Audi A6, Wilson-Branch and the other individual exited the carjacked SUV armed with a 9mm semi-automatic pistol and the Springfield Armory rifle. Both men pointed the firearms at the victim and forced him to give up his keys, wallet, and phone. The victim was also forced at gunpoint to unlock his cell phone, which was later used to make unauthorized money transfers from the victim’s bank account to Wilson-Branch and others. Wilson-Branch drove away in the carjacked Audi and the other individual drove away in the carjacked Mercedes Benz SUV. Officers with the St. Paul Police Department spotted the two carjacked vehicles about 30 minutes later in the area of Maryland Avenue and Western Avenue. When officers attempted a traffic stop, both vehicles fled police at high rates of speed through residential areas and onto the highway and evaded the pursuit.
Officers with the Woodbury Police Department later located the carjacked Audi A6 in a mall parking lot and apprehended Wilson-Branch in another building after a short foot chase. Two of the firearms used in the carjackings, each fully loaded with high-capacity magazines, and a recently stolen box of ammunition, were located inside the Audi A6, along with the keys to the previously carjacked Toyota Highlander.
Wilson-Branch pleaded guilty on August 4, 2023, to two counts of aiding and abetting carjacking, and admitted to aiding and abetting a third carjacking. He was sentenced today in U.S. District Court by Judge David S. Doty.
This case is the result of an investigation conducted by the FBI, the Saint Paul Police Department, the Minneapolis Police Department, and the Woodbury Police Department.
Assistant U.S. Attorney Benjamin Bejar prosecuted the case.
Meth Dealer with Firearm Sentenced to over a Decade in PrisonRead the Press Release
A man who distributed methamphetamine from his garage in Lowden, Iowa, was sentenced on January 31, 2024, to 121 months in federal prison.
Dalton James Griebel, age 31, from Davenport, Iowa, received the prison term after an August 10, 2023 guilty plea to one count of distribution of a controlled substance.
In April 2022, Griebel sold methamphetamine to an individual inside the garage of Griebel’s home in Lowden. At the time of the sale, Griebel had a firearm in his waistband. When law enforcement later searched the home, they found additional methamphetamine, a digital scale, drug paraphernalia, and parts of firearms and ammunition.
Griebel was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Griebel was sentenced to 121 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system. Griebel is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Nicole L. Nagin, and it was investigated by the Cedar County Sherif’s Office, the Muscatine County Drug Task Force, the Muscatine Special Operations Response Team, Tipton Police Department, Iowa State Patrol, Clarence Police Department, and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 23-CR- 00020.
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Members of U.S. Attorney's Office Honored at Attorney General's Awards in Washington D.C.Read the Press Release
BOSTON –Members of the U.S. Attorney’s Office for the District of Massachusetts were recognized yesterday by Attorney General Merrick B. Garland at the 70th and 71st Annual Awards Ceremony in Washington, D.C. for their extraordinary contributions to the enforcement of our nation’s laws. Award recipients from both 2022 and 2023 were selected from a group of more than 800 Justice Department employees nominated from across the country.
“Each of today’s recipients has served with distinction, and in so doing, they have enabled the Justice Department to advance its work on behalf of the American people,” said Attorney General Garland. “Their exceptional leadership, heroism, and dedication have benefited people and communities across the country.”
The following individuals were presented with the Distinguished Service Award, the Department’s second highest award for employee performance, for their investigation and prosecution in a Higher Education Admissions Fraud Case:
- Stephen E. Frank, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Kristen A. Kearney, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Leslie A. Wright, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Ian J. Stearns, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Kriss R. Basil, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Alexia R. DeVincentis, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Carol E. Head, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Justin D. O’Connell, Assistant U.S. Attorney, U.S. Attorney’s Office;
- Lauren M. George, Financial Investigator, U.S. Attorney’s Office;
- Laura C. Smith, Special Agent, Federal Bureau of Investigation, Boston Field Office;
- Kaitlyn A. Cedrone, Special Agent, Federal Bureau of Investigation, Boston Field Office;
- Keith T. Brown, Special Agent, Federal Bureau of Investigation, Boston Field Office;
- Chris Gianakura, Special Agent, Federal Bureau of Investigation, Boston Field Office;
- Elizabeth A. Keating, Special Agent, Internal Revenue Service, Criminal Investigation, Boston Field Office; and
- Mark G. Deckett, Special Agent, Office of the Inspector General, U.S. Department of Education, Boston Field Office.
“This outstanding team of individuals worked tirelessly to investigate, prosecute and hold accountable dozens of individuals who sought to cheat the college admissions process. From the outset, this case has stood for the principle that we do not have a two-tiered system of justice in this country and that everyone – regardless of wealth, power or fame – must operate under the same set of rules. This case reaffirmed that principle,” said Acting United States Attorney Joshua S. Levy. “This case resulted in concrete changes to make the college admissions process more fair. We are deeply proud of this team, and of the lasting and far-reaching impact their extraordinary work has had.”
In March 2019, dozens of individuals from across the country were arrested and charged for their involvement in a nationwide conspiracy, led by William “Rick” Singer, that facilitated cheating on college entrance exams and the admission of students to elite universities as purported athletic recruits.
Hector Radhames Gonzalez, an Information Technology Specialist for the U.S. Attorney’s Office, was honored posthumously with the Attorney General’s Award for Excellence in Administrative Support. This distinguished award recognizes Justice Department employees who have demonstrated outstanding administrative or managerial achievements. Mr. Gonzalez’s wife and oldest son attended the ceremony and received the award on Mr. Gonzalez’s behalf.
“Hector’s expertise and knowledge as well as his friendly and comforting manner of providing confident support allowed our Office to focus on their own areas of expertise. His approach to his responsibilities embodied excellence – both as an Information Technology professional and as a public servant,” said Acting U.S. Attorney Levy. “Hector Gonzalez was an exceptional colleague who made a difference in our lives on a daily basis. His collegiality, friendship and technical skills touched each of us and made us all better.”
Mcconnellsburg Man Sentenced to 20 Years’ Imprisonment for Production of Images Containing the Sexual Exploitation of A ChildRead the Press Release
HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Kenneth W. Harr, age 54, formerly of McConnellsburg, Pennsylvania, was sentenced yesterday by U.S. District Court Judge Jennifer P. Wilson to serve 20 years’ imprisonment, 15 years of supervised released, and to pay $5,100 in financial penalties based upon his previously entered guilty plea to producing images containing the sexual exploitation of a child.
According to United States Attorney Gerard M. Karam, in June 2021, the victim disclosed to her pastor that Harr had been sexually abusing her since 2016, when she was 14 years old. The abuse was reported to law enforcement authorities and the investigation corroborated the allegations and numerous images of child sexual abuse were found on Harr’s cellphone.
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.
The case was investigated by the Pennsylvania State Police and the Federal Bureau of Investigation (FBI) and was prosecuted by Assistant U.S. Attorney Bruce D. Brandler and former Assistant U.S. Attorney Paul J. Miovas.
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Manlius Man Pleads Guilty to Possessing Child PornographyRead the Press Release
SYRACUSE, NEW YORK – William Gladney, age 41, of Manlius, New York, pled guilty today to multiple charges of possession of child pornography. United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Acting Superintendent Steven G. James made the announcement.
As part of his guilty plea, Gladney admitted that he possessed thousands of videos and images of child pornography on several of his personal devices. Gladney has a previous conviction for possession of child pornography in Texas.
Sentencing is scheduled for June 12, 2024, before United States District Glenn T. Suddaby. Gladney faces a mandatory minimum sentence of ten years in prison, a maximum sentence of 20 years in prison, a fine of up to $250,000, and a term of supervised release of between five years and life, to begin after imprisonment. Gladney will also be required to register as a sex offender upon his release from prison. 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.
HSI, the NYSP Internet Crimes Against Children Task Force, the NYSP Troop D Computer Crime Unit, and the Auburn Police Department investigated the case and Special Assistant U.S. Attorney Paul Tuck and Assistant U.S. Attorney Tamara Thomson prosecuted Gladney 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.
Man Who Manufactured and Trafficked Kilos of Fentanyl Pills Sentenced to 12 Years in PrisonRead the Press Release
BOSTON – A man from the Dominican Republic, who resides in the Boston area, was sentenced yesterday for running a wide-ranging fentanyl trafficking conspiracy that trafficked multiple kilograms of counterfeit pills, including pills that contained fentanyl, through the mail.
Quenty Ogando, 45, was sentenced by U.S. District Court Judge Angel Kelley to 144 months in prison and five years of supervised release. In October 2023, Ogando pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute fentanyl.
Between September 2022 and November 2022, Ogando ran a large-scale pill press operation that manufactured, sold and mailed counterfeit pills, including pills containing fentanyl, among other drugs. Many of the packages were seized and found to contain counterfeit fentanyl pills. In total, nearly two kilograms of counterfeit fentanyl pills were seized from packages over the course of the investigation.
In November 2022, a search of Ogando’s apartment revealed over 20 kilograms of pills in various colors, over 20 kilograms of loose powder, numerous packages and mailing labels and three industrial grade pill presses. In total, over 11 kilograms of fentanyl was recovered from the apartment as well as amounts of heroin, cocaine and methamphetamine.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge for Homeland Security Investigations in New England; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today. The Boston Police Department; Massachusetts State Police; United States Customs and Border Protection; Drug Enforcement Administration; and U.S. Food and Drug Administration provided valuable assistance. Assistant U.S. Attorneys J. Mackenzie Duane and Jennifer Zacks of the Narcotics & Money Laundering Unit prosecuted the case.
Malden Man Sentenced to Decade in Prison for Distributing MethamphetamineRead the Press Release
BOSTON – A Malden man was sentenced today to 10 years in prison for distributing methamphetamine to an undercover law enforcement officer.
David Desousa, 33, was sentenced by U.S. District Court Judge Richard G. Stearns to 10 years in prison to be followed by five years of supervised release. In September 2022, Desousa pleaded guilty to one count of distributing 50 grams or more of methamphetamine, one count of distributing five grams or more of methamphetamine, one count of distributing a mixture or substance containing methamphetamine and three counts of possessing 50 grams or more of methamphetamine with intent to distribute.
In February 2020, an investigation began into DeSousa’s methamphetamine distribution activities. On three separate occasions in February, March and July 2020, Desousa met with and sold various quantities of methamphetamine to an undercover agent. Desousa was arrested on Aug. 6, 2020 in Medford while he was travelling to deliver two ounces of methamphetamine to the undercover agent. More than 55 grams of 99% pure methamphetamine and 10.814 grams of cocaine base were seized from Desousa’s vehicle. During a subsequent search of Desousa’s residence, more than 75 grams of methamphetamine, a loaded Remington .380 caliber pistol and $5,000 in cash was seized. An additional 83 grams of 99% pure methamphetamine and $90,000 in cash were also seized from Desousa’s storage unit.
Acting United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division; Arlington Police Chief Juliann Flaherty; Medford Police Chief Jack Buckley; and Malden Police Chief Glenn Cronin made the announcement. Assistant U.S. Attorneys Philip C. Cheng and James E. Arnold of the Narcotics & Money Laundering Unit prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Louisville Man Sentenced to over 14 Years in Federal Prison for Child Exploitation OffensesRead the Press Release
Louisville, KY – A Louisville man was sentenced yesterday to 14 years and 7 months in federal prison for receipt and possession of child pornography.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge Rana Saoud of the Homeland Security (HSI) Investigations Nashville made the announcement.
According to court documents, Rudy Osorio-Rodas, 38, was sentenced to 14 years and 7 months in federal prison, followed by 15 years of supervised release, for three counts of receipt of child pornography and one count of possession of child pornography. In December 2022 and January 2023, Osorio-Rodas knowingly received child sexual abuse material on his cellular phone when he downloaded it from multiple online chat applications that specifically existed to receive and distribute child sexual abuse material. Osorio-Rodas also possessed thousands of images and thousands of videos of child sexual abuse material on his phone.
There is no parole in the federal system.
Osorio-Rodas was also ordered to pay $39,000.00 in restitution to multiple victims in the case.
The United States Department of Homeland Security, Homeland Security Investigations (HSI), assisted by the United States Immigration and Customs Enforcement and the Jeffersontown Police Department, investigated the case.
Assistant U.S. Attorney Christopher Tieke prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Land O’ Lakes Man Pleads Guilty to Naturalization and Passport FraudRead the Press Release
Tampa, Florida –United States Attorney Roger B. Handberg announces that Jaiprakash Gulvady (51, Land O’ Lakes) today pleaded guilty to procuring citizenship or naturalization unlawfully, misusing evidence of citizenship or naturalization, and making false statements in a passport application and using a passport secured by false statements. Gulvady faces a maximum penalty of 10 years in federal prison. His conviction for unlawfully procuring citizenship or naturalization also results in the automatic revocation of his U.S. citizenship at the time of sentencing. A sentencing date has not yet been set.
According to court records, Gulvady, an Indian national, came to the United States in 2001 on a temporary business visa. In August 2008, less than two weeks after divorcing his wife, a U.S. citizen whom he had married the year before, Gulvady married another U.S. citizen. Based on that marriage, Gulvady was able to adjust status and became a lawful permanent resident in June 2009. Two months later, in August 2009, Gulvady traveled to India for the first time since he had arrived in 2001. While in India, Gulvady married an Indian woman before returning to the United States. On a subsequent visit to India, Gulvady and his Indian spouse conceived their first and only child, who was born in January 2011.
In August 2013, Gulvady’s marriage to his U.S. citizen wife was dissolved. The following year, Gulvady filed an Application for Naturalization in which he falsely stated under penalty of perjury that he was not currently married; that he did not have any children; and that he had never been married to more than one person at the same time. Based on that application, Gulvady became a naturalized U.S. citizen in August 2014. Using his fraudulently obtained Certificate of Naturalization as evidence of U.S. citizenship, Gulvady filed an application for a U.S. passport, in which he falsely omitted his Indian spouse. The Department of State issued Gulvady a U.S. passport, which he then used to reenter the United States on at least three occasions.
This case was investigated by Homeland Security Investigations (HSI), with assistance from United States Citizenship and Immigration Services and the U.S. Department of State’s Diplomatic Security Service. It is being prosecuted by Assistant United States Attorney Risha Asokan.
Kenyan Citizen Found Guilty of Advance Fee and Investment Fraud SchemeRead the Press Release
WASHINGTON – Paul Maucha, 58, a Kenyan national, was found guilty today of perpetrating an advance fee and investment scheme that defrauded numerous victims.
The jury verdict, in U.S. District Court for the District of Columbia, was announced by U.S. Attorney Matthew M. Graves, Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, and FBI Special Agent in Charge Keri Farley of the FBI Atlanta Field Office.
According to court documents and evidence presented at trial, Maucha, along with a co-conspirator, engaged in a scheme through a shell company Maucha controlled, American Eagle Services Group Inc. (AESG), to make numerous misrepresentations to victims about AESG, its assets, and its access to money and capital.
In particular, Maucha—through AESG—promised victims who were seeking loans that AESG would provide them with these loans, so long as victims first provided AESG with an advanced fee while misrepresenting the purpose of that fee. AESG also told victims falsely that these advance fees could be refunded if AESG did not fund the loan. As proven at trial, however, Maucha and his co-conspirator knew that AESG did not have the capital to make these loans at the time the lending agreements were executed, and refunds to victims could not be assured because Maucha and his co-conspirator were splitting the fees between themselves and spending them, such that there was no money left to be refunded.
The jury convicted Maucha of one count of conspiracy to commit wire fraud, two counts of wire fraud, and one count of engaging in monetary transactions in criminally derived property. He is scheduled to be sentenced on May 16, 2024, and faces a maximum penalty of 20 years in prison for each of the conspiracy and wire fraud counts and 10 years in prison for each count of engaging in monetary transactions in criminally derived property. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Matthew M. Graves for the District of Columbia, and Special Agent in Charge Keri Farley of the FBI Atlanta Field Office made the announcement.
The FBI investigated the case, with substantial assistance from Homeland Security Investigations.
Trial Attorneys Tian Huang and Tamara Livshiz of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christine M. Macey for the District of Columbia are prosecuting the case. Assistant Chief William E. Johnston of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Joshua S. Rothstein for the District of Columbia previously provided valuable assistance in the investigation.
KC Man Implicated in Murder Sentenced to 20 Years for Fentanyl Trafficking and Illegal Firearms, including Machine GunsRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man implicated in a Westport murder has been sentenced in federal court for fentanyl trafficking, illegally possessing firearms, and illegally possessing a machine gun.
Yesterday afternoon, Ban N. To, 20, was sentenced by U.S. District Judge Greg Kays on Wednesday, Jan. 31, to 20 years in federal prison without parole. This sentence reflects the government’s request for a significant upward variance from the federal sentencing guidelines range.
On June 21, 2023, To pleaded guilty to one count of possessing fentanyl with the intent to distribute, one count of carrying firearms during and related to a drug-trafficking crime, and one count of possessing a machine gun.
Beyond those crimes, however, evidence and testimony were introduced during yesterday’s sentencing hearing regarding To’s involvement in an April 15, 2023, shooting murder in the Westport Entertainment District for which he has not been charged, including surveillance video that showed To carrying out the homicide with another suspect. In imposing the upward variance to a 240-month sentence, Judge Kays made a finding of fact that, based on the evidence presented at the hearing, To committed the murder on April 15, 2023.
This investigation began in April 2023, when the Kansas City, Mo., Police Department placed a felony vehicle alert on a red Toyota Highlander due to its association with a homicide that occurred on April 15, 2023. The vehicle had been caught on surveillance video pulling into a parking lot near West 40th Terrace and Pennsylvania Avenue in the Westport area. Two occupants of the vehicle began walking to the northeast end of the parking lot when they exchanged gunfire with another person. The firefight continued to the intersection of West 40th Street and Washington Street where the two suspects surrounded the victim, shooting him multiple times. The victim was shortly thereafter confirmed deceased. The two suspects ran away but eventually returned to the vehicle and drove away. Multiple spent shell casings were recovered in the area of the homicide.
Kansas City police officers stopped the red Toyota Highlander, which was being driven by To, on April 21, 2023. Officers searched the Toyota Highlander and found a loaded Taurus .45-caliber handgun, which had been reported stolen, under the driver’s seat. They also found a zip lock bag that contained 75 fentanyl pills near the steering wheel. Officers found three additional firearms inside the locked glove compartment – a Glock 9mm handgun that had been reported stolen, a Polymer80 9mm handgun without a serial number, and a Glock .40-caliber handgun equipped with a Glock switch to make it fully automatic.
Kansas City police detectives also were able to recover nine more firearms associated with To while he was being detained in the Jackson County Detention Center. To, in a monitored telephone call, asked his girlfriend to go to his storage locker and remove some bags. Detectives were able to track down those bags, which contained a Mossberg .22-caliber rifle, a Romarm/Cugir Mini-Draco 7.62x39mm pistol, a Radical Firearms 7.62x39mm rifle, a Sigarms .357-caliber pistol, a Glock 9mm pistol, two Glock .357-caliber pistols, and two Glock .40-caliber pistols equipped with Glock switches to make them fully automatic.
Ballistics analysis confirmed the above-noted Romarm/Cugir Mini-Draco 7.62x39mm pistol fired the shell casings recovered from the scene of the April 15, 2023, homicide. Further lab analysis revealed To’s DNA on the trigger of that firearm.
According to court documents, To is a known associate of the Money Gang, an active violent gang in the metropolitan area.
This case was prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther. It was investigated by the Kansas City, Mo., Police Department.
Project Safe Neighborhoods
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.
Justice Department Secures Agreement with Pennsylvania Courts to Resolve Lawsuit Concerning Discrimination Against People with Opioid Use DisorderRead the Press Release
The Justice Department announced today that it has secured an agreement with the Unified Judicial System of Pennsylvania (UJS) to resolve allegations that UJS courts violated the Americans with Disabilities Act (ADA) by preventing individuals under court supervision from taking lawfully prescribed medication to treat opioid use disorder (OUD).
Under the agreement, UJS courts will pay $100,000 to victims, and encourage all its component courts to adopt new policies and train personnel on the ADA’s anti-discrimination requirements regarding OUD and report on their compliance efforts.
“People with opioid use disorder caught up in the criminal justice system should be supported in seeking treatments that can help them attain recovery,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Under this agreement, courts that categorically restricted the use of opioid treatment medication are required to allow people with opioid use disorder to take proven medications that can put them on a path toward recovery and rehabilitation. Ensuring that courts are employing science-driven and data-informed approaches to the opioid crisis is an important priority for the Civil Rights Division. We will continue to enforce our federal civil rights laws, including the ADA, to ensure that people with disabilities are protected from discrimination.”
“My office is dedicated to fighting the opioid epidemic with every tool that we have,” said U.S. Attorney Jacqueline C. Romero for the Eastern District of Pennsylvania. “That includes enforcing the ADA to remove discriminatory barriers to treatment for OUD. All too often, people taking medication to treat their OUD are subjected to discrimination based on unfounded stigma associated with these medications. It is a violation of the ADA to deny someone access to programs and services simply because they are taking medication their doctors have prescribed to get and keep their OUD in remission. My office will hold entities that violate the ADA’s anti-discrimination protections accountable.”
“The battle against the opioid epidemic requires not only the vigorous prosecution of those who traffic in and profit from drugs like heroin and fentanyl, but also requires ensuring individuals with opioid use disorder can take their medically prescribed treatment,” said U.S. Attorney Gerard M. Karam for the Middle District of Pennsylvania. “This agreement with the Commonwealth will help ensure that individuals participating in Pennsylvania’s courts who have opioid use disorder will be allowed to follow their providers’ course of treatment, which may include medication that dramatically reduces opioid overdose deaths. This office will enforce the ADA to protect all individuals with disabilities, and this includes our citizens in recovery from addiction.”
The settlement agreement resolves the department’s lawsuit against the UJS, Supreme Court of Pennsylvania and Blair, Jefferson, Lackawanna and Northumberland County Courts of Common Pleas. The department’s complaint, filed in 2022, alleged that UJS courts in multiple counties caused significant harm through the enforcement of their discriminatory administrative policies. The department further alleged that those affected by the UJS court policies were put to an agonizing choice: take their medication and face incarceration or termination from their treatment court program or forgo their medication and suffer painful withdrawal symptoms while risking relapse, overdose and death. As a result, they suffered significant harm. The complaint alleged that the named county courts and other UJS courts had likely harmed many other individuals with OUD through the enforcement of their discriminatory policies.
Under the settlement agreement, the UJS courts will compensate the victims identified in the complaint. They will train all Pennsylvania state court criminal judges and treatment court professionals on the ADA and OUD medication. Several of the named county courts will adopt a robust anti-discrimination policy related to OUD medication. The Administrative Office of Pennsylvania Courts will recommend and encourage all other county courts to adopt the same policy. Finally, the UJS courts will report on their efforts to comply with the agreement, including detailing any complaints about access to OUD medication submitted to any UJS courts during the agreement’s two-year term.
The settlement agreement announced today advances the Justice Department’s efforts to combat discrimination against individuals with OUD and to remove discriminatory barriers to treatment. The department has issued public guidance and filed statements of interest on the ADA’s protections for those with OUD. It has entered into multiple settlements with jails and prisons to increase access to OUD medication, including recent agreements in Allegheny County, Pennsylvania; Eastern Kentucky and Massachusetts. It has undertaken enforcement efforts to combat discrimination against individuals with OUD in court supervision programs in Massachusetts. It has also entered numerous settlements to address discriminatory barriers to treatment for OUD outside of the criminal justice context, including barriers related to employment, professional licensing, social services and healthcare.
The Justice Department’s Civil Rights Division handled this matter in collaboration with the U.S. Attorneys’ Offices for the Eastern and Middle Districts of Pennsylvania.
The Justice Department plays a central role in advancing the nation’s goal of equal opportunity, full participation, independent living and economic self-sufficiency for people with disabilities. For more information about the Justice Department’s work to address discrimination against individuals with opioid use disorder, please visit www.ada.gov/topics/opioid-use-disorder/. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit ada.gov. Members of the public may report possible civil rights violations at civilrights.justice.gov/report.
Jury Convicts “Biggest Pill Dealer in Chambersburg” for Causing Overdose DeathRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal jury convicted two Chambersburg men for their roles in a drug trafficking ring that distributed fentanyl, oxycodone, and cocaine. A delivery of fentanyl killed one of the customers and sickened others.
According to United States Attorney Gerard M. Karam, the jury convicted Bruce David Darby, age 45, of Chambersburg, Pennsylvania, of drug trafficking, firearms, and money laundering charges. Darby was also convicted of delivering pills that killed one of his customers in August of 2019. The jury also convicted Malik Bonds, age 42, of Chambersburg, of being a part of Darby’s conspiracy and with delivering cocaine. U.S. District Court Judge Christopher C. Conner presided over the trial.
The jury heard evidence of the Pennsylvania Office of Attorney General’s investigation of Darby and his drug trafficking crew. Darby brought oxycodone pills from New York City and resold them in the Chambersburg area from 2018 to 2019. The jury heard evidence that police monitored Darby’s telephone calls, during which Darby described himself as “the biggest pill dealer in Chambersburg.”
“These two defendants prioritized monetary profits over the lives of everyone they distributed to,” Pennsylvania Attorney General Michelle Henry said. “The jury was told about a loss of life and a serious injury directly caused by this trafficking operation, but we may never know the full scope of devastation caused by these predatory dealers. The collaborative work of law enforcement was essential to stop the flow of deadly substances that put this community at grave risk.”
“The FBI remains committed to keeping our communities safe from predators like Bruce David Darby and Malik Bonds,” said Wayne A. Jacobs, FBI Philadelphia's Special Agent in Charge. Darby’s actions and that of his co-conspirator are particularly heinous given that they trafficked in dangerous narcotics and lethal fentanyl. Today’s conviction sends the message to drug organizations and gang members that if you traffic in illegal drugs, the FBI, along with our law enforcement partners, will bring you to justice."
The case was investigated by the Pennsylvania Office of Attorney General, the Pennsylvania State Police, the Franklin County Drug Task Force, and the Federal Bureau of Investigation. Special Assistant U.S. Attorney Robert Smulktis and Assistant United States Attorney Michael Consiglio are prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of opioids. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin and fentanyl traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
As a result of his conviction, Darby faces a mandatory sentence of at least 25 years in prison, a term of supervised release following imprisonment, and a fine. Bonds faces a maximum of 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Jury Convicts Tampa Woman of Defrauding Government of Federal BenefitsRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Shirin Marshall (55, Tampa) guilty of four counts of mail fraud. Marshall faces a maximum penalty of 20 years in federal prison on each count. Her sentencing hearing is scheduled for April 30, 2024. A grand jury had returned an indictment against Marshall on February 24, 2022.
According to the testimony and evidence presented at trial, in August 2000, Marshall claimed a back and shoulder injury while working as a U.S. Postal Service letter carrier. In July 2001, she filed a subsequent claim related to workplace stress. Marshall later began receiving disability benefits and wage compensation from the Department of Labor’s Office of Workers’ Compensation Program (“DOL-OWCP”) mailed to her in monthly checks. An investigation by the U.S. Postal Service - Office of Inspector General revealed that Marshall concealed her physical capabilities, emotional state, and employment activities from the DOL-OWCP to continue receiving federal workers’ compensation benefits. Marshall also misrepresented her true medical condition to her treating physicians and made false representations on forms she annually submitted to DOL-OWCP. As result of Marshall’s fraudulent scheme, the DOL-OWCP provided her at least $500,000 in wage compensation she was not entitled to receive.
This case was investigated by the U.S. Postal Service - Office of Inspector General. It is being prosecuted by Assistant United States Attorney Greg Pizzo.
Jones County Man Pleads Guilty to Assault in the Bogue Homa Community of the Mississippi Band of Choctaw IndiansRead the Press Release
Jackson, Miss. – A Jones County man pleaded guilty to assault with intent to commit a kidnapping.
According to court documents, in July of 2023, Tyreese Khalia Kejuan Smith, 23, assaulted an adult female in the Bogue Homa Community of the Mississippi Band of Choctaw Indians. Smith was indicted by a federal grand jury in September 2023.
Smith is scheduled to be sentenced on April 30, 2024, and faces up to ten years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The conviction was a result of an investigation by the Federal Bureau of Investigation’s Safe Trails Task Force which is comprised of officers from the Federal Bureau of Investigation, Choctaw Police Department, Jones County Sheriff’s Department, and various state and local law enforcement agencies.
U.S. Attorney Todd Gee and Acting Special Agent in Charge Rebekah Day of the Federal Bureau of Investigation made the announcement.
Assistant U.S. Attorney Kevin J. Payne and Special Assistant U.S. Attorney Brian K. Burns prosecuted the case.
Johnstown Woman Pleads Guilty to Methamphetamine ChargesRead the Press Release
JOHNSTOWN, Pa. – A resident of Johnstown, Pennsylvania, pleaded guilty in federal court to a charge of violating federal narcotics laws, United States Attorney Eric G. Olshan announced today.
Debra Bailey, 60, pleaded guilty to Count One of the Superseding Indictment before Senior United States District Judge Kim R. Gibson.
In connection with the guilty plea, the Court was advised that, from in and around February 2021 to July 2021, in the Western District of Pennsylvania, Bailey conspired to distribute and possess with intent to distribute 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine. Bailey was intercepted on a federal wiretap obtaining quantities of methamphetamine that she distributed to others.
Judge Gibson scheduled sentencing for May 23, 2024. The law provides for a maximum total sentence of at least five years and up to 40 years in prison, a fine of $5 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Laurel Highlands Resident Agency and Homeland Security Investigations conducted the investigation that led to the prosecution of Bailey. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Pennsylvania Office of the Attorney General, Pennsylvania State Police, Cambria County District Attorney’s Office, Indiana County District Attorney’s Office, Cambria County Sheriff’s Office, Cambria Township Police Department, Indiana Borough Police Department, Johnstown Police Department, Upper Yoder Township Police Department, Richland Police Department, Ferndale Police Department and other local law enforcement agencies.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
International fraudster convicted in multi-million dollar advance-fee schemeRead the Press Release
HOUSTON – A 57-year-old Nigerian national has pleaded guilty for his role in a fraud conspiracy perpetrated against victims in more than 20 countries, announced U.S. Attorney Alamdar S. Hamdani.
Uche Victor Diuno helped orchestrate a scam in which fraudsters abroad lured victims with false promises of millions in investment funding and inheritances.
Diuno and others posed as executives and employees of well-known U.S. banks to deceive victims into making payments to secure purported investment and money transfer agreements. Other members of the conspiracy then laundered these payments through U.S. bank accounts and directed them back to the scheme’s leaders in Nigeria.
Diuno admitted he and his co-conspirators used multiple aliases to convince victims the scam was authentic. Diuno also admitted to his role in the laundering of victim funds.
Acting on instructions from the scheme’s leader, Diuno directed a co-conspirator to disburse victim funds after receiving them. This included transferring funds to other bank accounts through currency exchangers and purchasing vehicles that were shipped back to scammers in Nigeria.
From October 2014 to September 2018, Diuno and his co-conspirators caused losses of nearly $5.7 million.
U.S. District Judge Alfred H. Bennett accepted the guilty plea and has set sentencing for May 9. At that time, Diuno faces up to 20 years in federal prison for each charge and a possible maximum fine of either $500,000 or up to twice the value of the victims’ losses.
Diuno will remain in custody pending sentencing.
The FBI and Department of State – Office of Inspector General conducted the investigation. Assistant U.S. Attorney Christian Latham and Trial Attorney Philip Trout of the Criminal Division’s Fraud Section are prosecuting the case.
Insurance Agent Sentenced to 15 Years in Federal Prison for Defrauding Elderly Investors and Tax EvasionRead the Press Release
Tampa, Florida – U.S. District Judge Charlene Edwards Honeywell has sentenced Phillip Roy Wasserman (67, Sarasota) to 15 years in federal prison for conspiracy to commit wire fraud and mail fraud, substantive counts of wire fraud and mail fraud, and evasion of payment of income taxes. As part of his sentence, the court also entered an order of forfeiture in the amount of $6,318,299.75, the proceeds of the criminal conduct.
A federal jury had found Wasserman guilty of the fraud charges on May 15, 2023. Wasserman pleaded guilty to tax evasion on October 23, 2023.
According to court documents and evidence presented at trial, Wasserman, a former lawyer and licensed insurance agent, and his co-conspirator Kenneth Rossman, a Florida certified public accountant and licensed insurance agent, made false and fraudulent misrepresentations and concealed material information in order to convince elderly victim-investors to put their money into Wasserman’s new insurance venture, “FastLife.” Some victim-investors were persuaded to liquidate traditional investments, such as annuities, and/or to borrow funds against existing life insurance policies to generate cash to invest in the venture. These victim-investors were not told about surrender fees and other costs associated with said liquidations, and Rossman prepared income tax returns for victim-investors in a manner designed to conceal negative personal tax consequences that resulted from liquidations. Wasserman paid Rossman a percentage of the victim-investors’ money as compensation for his role in the conspiracy. Wasserman also used victim-investors’ money to make Ponzi-style payments to earlier victim-investors in the FastLife venture, as well as to victim-investors in his earlier hedge fund and real estate fund ventures. Wasserman spent a significant amount of the victim-investors’ money to finance a lavish lifestyle that included a luxury personal residence, a beach house on Casey Key, professional hockey season and playoff tickets, concerts and other shows, vehicles, jet skis, jewelry, including a diamond ring, personal celebrity entertainment, gambling, retail shopping, home improvements, personal insurance, and a host of other expenses for his personal benefit and the benefit of family members.
The evidence also established that Wasserman took numerous steps to evade payment of more than $900,000 in taxes, and to conceal a multitude of civil judgments and other debts pending against him at the time he solicited victim-investors to put their money into FastLife. In addition, Wasserman took steps to conceal FastLife’s mounting business debts to various business vendors and service providers, employees and independent contractors, and victim-investors.
The evidence further showed that in response to the investigation, Wasserman created a second set of books and fabricated a compensation agreement in an effort to convince investigators that he had not made improper personal use of victim-investors’ funds. Moreover, he urged one witness to lie to investigators, attempted to dissuade several victim-investors from cooperating with law enforcement, and requested that one victim-investor make a baseless complaint against an investigator. In a further effort to thwart the investigation, Wasserman falsely and fraudulently represented that he had an audit from a highly-regarded financial services firm that would show that neither he nor FastLife had committed any wrongdoing. Evidence at trial showed that Wasserman had never engaged the firm to perform an audit and had never received any final work product from the firm.
“With false promises of riches and security, Mr. Wasserman exploited the most vulnerable in our society. Investment schemes that target the elderly are especially heinous and will not be tolerated by the justice system. IRS Criminal Investigators will leave no stone unturned to protect elderly victims and bring some justice to those who might prey upon them,” said Special Agent in Charge Brian Payne of IRS-Criminal Investigation. “False allegations against our investigators, coverups of financial documents, or witness tampering will not deter us. Wasserman called himself the Annuity King but his actions and crimes have earned him another name: Convicted Felon.”
This case was investigated by the Internal Revenue Service - Criminal Investigation and the Florida Office of Financial Regulation. It was prosecuted by Assistant United States Attorneys Rachelle DesVaux Bedke and Rachel K. Jones. The forfeiture is being handled by Assistant Suzanne Nebesky.
Hannibal Man Who Hid Camera in Bathroom Sentenced to 25 Years in PrisonRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Thursday sentenced a man who hid a video camera in a bathroom to capture images of a young girl to 25 years in prison.
Stephen A. Marquez, 35, pleaded guilty in U.S. District Court in St. Louis in November to attempted production of child pornography. He admitted placing a video camera disguised as a cell phone charger in a bathroom. He captured nude images of a young girl, who was 13 and 14 when the videos were made. Marquez also had videos of the girl stored on his iPhone.
The investigation began in August of 2022, when the victim reported to law enforcement that Marquez had been sexually abusing her since she was 9 or 10 and had used his cell phone to record her in the shower. The victim said she told Marquez to stop many times but was scared to tell someone about the sexual abuse. She also said she was scared Marquez would hurt her while he was sexually abusing her.
The Hannibal Police Department, the FBI and the St. Charles County Cyber Crime Task Force investigated the case. Assistant U.S. Attorney Jillian Anderson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Gang member sentenced to 35 years for racketeering conspiracyRead the Press Release
Oxford, MS – A Mississippi inmate and gang member was sentenced today to 35 years in prison for racketeering (RICO) conspiracy, including murder, related to his participation in the Simon City Royals (SCR) gang.
According to court documents, Dillon Heffker, 33, of New Orleans, Louisiana participated in the criminal activities of the Simon City Royals, a violent national prison gang operating primarily in the Mississippi Department of Corrections, but with members and associates acting on their behalf outside of prisons throughout Mississippi, Louisiana, and elsewhere. Through an alliance with the violent Gangster Disciples gang, the Simon City Royals engaged in a host of criminal activities, including murder, attempted murder, assault, kidnapping, robbery, extortion, witness tampering, money laundering, interstate travel in aid of racketeering, large-scale drug trafficking, and fraud. The Simon City Royals were responsible for murders, attempted murders, and other violent acts committed in the state prison system and throughout the state of Mississippi.
Court records reflect that Heffker stabbed another subordinate gang member, B.F., to death and was involved in drug trafficking and money laundering. More specifically, beginning in 2016, SCR leaders and Heffker began planning the murder of B.F., a SCR member who they believed was involved in murdering another SCR member.
On January 31, 2018, B.F. was released from solitary confinement (at Wilkinson County Correctional Facility) and into the prison pod where SCR members were located, including Heffker. A SCR leader passed down orders from other SCR members to Heffker to attack and kill B.F. Subsequently, B.F. was attacked and stabbed to death by Heffker and another SCR member. According to court documents, the two inmates attacked the victim on the second floor of the housing unit and continued stabbing him as the altercation went to the first-floor shower area. The incident was video recorded. Responding medical personnel found the victim, covered in blood and lying in a fetal position, on the shower floor. Witnesses then saw one of the inmates pass the homemade shanks to a SCR leader who hid the murder weapons. The investigation revealed the organization paid Heffker and the other SCR member for the murder.
On October 5, 2023, Heffker pleaded guilty to Count One of an indictment charging him with RICO conspiracy. At a sentencing hearing on Thursday, U.S. District Judge Michael P. Mills remarked that this violent crime is “one of the more serious crimes I have had to deal with on this bench,” and sentenced Heffker to 420 months in prison followed by 5 years of supervised release.
“Several years ago, the Simon City Royals, a violent criminal gang, were the driving force behind an explosion of violence in Mississippi prisons,” said U.S. Attorney Clay Joyner. “Today’s sentence, as well as the almost 50 other recent prosecutions of the gang and its affiliates, should send a clear message that we will use every tool at our disposal to prosecute those who commit such heinous acts from behind bars or elsewhere.”
“Sending a career criminal like this to prison is another example of our commitment to work tirelessly to protect our communities and hold accountable those who threaten our safety,” said ATF New Orleans Special Agent in Charge Joshua Jackson. “The sentence imposed today sends a message to the community that violent gang members will be held accountable as we work to keep our neighborhoods safe as a top priority for ATF.”
“Today’s sentence underscores DEA’s dedication to dismantling violent drug trafficking organizations,” said Drug Enforcement Administration (DEA) Assistant Special Agent in Charge Anessa Daniels-McCaw . “We’re sending a clear message to criminal gangs: Mississippi has zero tolerance for their illegal activities. Your time here is up.”
This case has been investigated by ATF, DEA, U.S. Marshals Service, U.S. Secret Service, FBI Jackson Field Office, Mississippi Department of Corrections, and dozens of local law enforcement agencies across multiple states.
The case was prosecuted by Assistant U.S. Attorney Sam Stringfellow from the Northern District of Mississippi and Trial Attorney Ben Tonkin of the DOJ’s Violent Crime and Racketeering Section.
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 is also part of an Organized Crime Drug Enforcement Task Forces (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 that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Four Suspected Drug Traffickers Face Federal Charges After Law Enforcement Seize 370 Gallons of Liquid HeroinRead the Press Release
PORTLAND, Ore.—Four suspected drug traffickers with apparent ties to a Mexico-based transnational criminal organization are facing federal charges today after they were caught transporting nearly 370 gallons of liquid heroin.
Marco Antonio Magallon, 44; Luis Deleon Woodward, 26; and Jorge Luis Amador, 25, all of Yakima, Washington, and Santos Alisael Aguilar Maya, 32, whose place of residence is unknown, have been charged by criminal complaint with conspiracy to distribute and possess with intent to distribute heroin and possess with intent to distribute heroin.
According to court documents, on January 24, 2024, as part of an ongoing, multi-agency drug trafficking investigation, law enforcement obtained information that several individuals working for a transnational criminal organization were transporting a large load of illegal narcotics into the District of Oregon. Late in the evening of January 24 and in the early morning hours of January 25, 2024, investigators observed a rented moving truck driven by Amador and an accompanying red pickup truck traveling west on Interstate 84 near Bonneville, Oregon. Investigators observed the vehicles travel together to a motel in Tigard, Oregon, making one brief stop in a commercial parking lot in Beaverton, Oregon.
Later on January 25, investigators executed federal search warrants on the defendants’ motel room and two vehicles. They located and seized eight 55-gallon barrels containing approximately 370 gallons of a liquid narcotic inside the moving truck and two loaded handguns inside the motel room. All four defendants were arrested without incident. Investigators transported the seized narcotic, which weighed approximately 1.4 metric tons, to the Washington County Sheriff’s Office (WCSO) narcotics room. Lab tests later confirmed the barrels contained liquid heroin.
This case is being investigated by Homeland Security Investigations (HSI), WCSO, and the Westside Interagency Narcotics Team (WIN). It is being prosecuted by Scott M. Kerin, Assistant U.S. Attorney for the District of Oregon.
WIN is a Washington County, Oregon-based High Intensity Drug Trafficking Area (HIDTA) task force that includes members from the Washington County Sheriff’s Office, Beaverton and Hillsboro Police Departments, Oregon National Guard Counter Drug Program, U.S. Drug Enforcement Administration (DEA), FBI, and HSI.
A criminal complaint is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty.
Former chairman of 1 Global sentenced to five years in prison for running $250 million securities fraud schemeRead the Press Release
MIAMI – On Jan. 31, the former chairman of 1 Global Capital LLC (“1 Global”) was sentenced to five years in prison for carrying out a $250 million securities fraud conspiracy scheme.
The sentence comes after Carl R. Ruderman, 82, of Aventura, Florida, entered his guilty plea in October 2023. Chief U.S. District Judge Cecilia M. Altonaga also ordered Ruderman to pay a forfeiture money judgment in the amount of $285,599,532, as agreed in his plea agreement. Ruderman’s restitution order is still pending.
Ruderman was the chairman of 1 Global, a commercial lending business based in Hallandale Beach, Florida, that made the equivalent of “pay day” loans to small businesses at high interest rates, termed merchant cash advance loans (“MCAs”).
Ruderman admitted that he and others made false and misleading representations to investors and potential investors as to the profitability of 1 Global’s business in marketing materials and periodic account statements. According to plea documents, investors were falsely told that 1 Global had audited financials by a public accounting firm, that the investor’s money would be spent on the MCAs, and that they could expect double-digit returns on their investments, among other things.
Ruderman admitted that he spent 1 Global’s investor’s money on credit card payments, vacation travel, insurance payments for his art collection and valuable jewelry, drivers, nannies, housekeepers, mortgage payments for his house, tuition, and payments for a luxury car. Ruderman also admitted that he diverted 1 Global investor money to businesses benefitting him and his family, without the investors’ knowledge.
Questions arose during the operation of the business as to whether 1 Global was offering or selling a security and whether the investment offering was required to be registered with the U.S. Securities and Exchange Commission. Ruderman admitted in plea documents that he knew that if 1 Global’s investment offering were determined to be a security, it would undermine the ability of 1 Global to raise funds from retail investors and to continue to operate without substantial additional expenses and reporting requirements. Ruderman also admitted that he directed a lawyer, Jan Atlas, to author two opinion letters in 2016 containing false information that allowed 1 Global to skirt federal securities laws.
Four of Ruderman’s co-conspirators, all from South Florida, previously pleaded guilty and were sentenced for their roles in the fraud scheme, including two lawyers who provided Ruderman with false legal cover to skirt federal securities laws. The co-conspirators cases are referenced below:
Alan G. Heide, the former chief financial officer of 1 Global pleaded guilty to conspiracy to commit securities fraud (case no. 19-cr-60231) and was sentenced to 60 months in prison by U.S. District Judge Roy K. Altman. Judge Altman also ordered Heide to pay over $57 million in restitution to the victims of the scheme.
Attorney Andrew Dale Ledbetter pleaded guilty to conspiracy to commit wire fraud and securities fraud (case no. 20-cr-60103) and was sentenced by Judge Altman to 60 months in prison. Judge Altman also ordered Ledbetter to pay over $148 million to the victims of the scheme.
Steven Allen Schwartz, the former chief operating officer of 1 Global pleaded guilty to conspiracy to commit wire fraud and securities fraud (case no. 20-cr-60003) and was sentenced to 24 months in prison by Judge Altman. Judge Altman also ordered Schwartz to pay over $36 million in restitution to the victims of the scheme.
Attorney Jan Douglas Atlas pleaded guilty to conspiracy to commit wire fraud and securities fraud (case no. 19-cr-60258) and was sentenced to eight months in prison by Judge Altman. Judge Altman also ordered Atlas to pay over $29 million in restitution to the victims of the scheme.
1 Global filed for bankruptcy on July 27, 2018. As of that time, according to documents from related cases, 1 Global had more than 3,400 investors and had raised more than $250 million during the scheme. The bankruptcy case, In re: 1 Global Capital LLC, et al., No. 18-19121-RBR (S.D. Fla.), remains pending.
The SEC previously filed civil fraud actions related to the 1 Global fraud, captioned, SEC v. 1 Global Capital LLC and Carl C. Ruderman, Case No. 18-61991-CV-BB (S.D. Fla.); SEC v. Alan G. Heide, Case No. 19-62047-CV-FAM (S.D. Fla.); SEC v. Jan Douglas Atlas, 19-62303-CV-WPD (S.D. Fla.); SEC v. Steven A. Schwartz, Case No. 20-80008-CV-DMM (S.D. Fla.); and SEC v. Andrew Dale Ledbetter, Esq., Case No. 20-61972-CV (S.D. Fla.).
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jeffrey B. Veltri of FBI, Miami Field Office, Special Agent in Charge Matthew D. Line of IRS Criminal Investigation (IRS-CI), Miami Field Office, and Special Agent in Charge Quenton Sallows of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), Miami Region, made the announcement.
FBI Miami, IRS-CI, Miami Field Office, and FDIC-OIG, Miami Region investigated the case. Assistant U.S. Attorneys Elizabeth Young and Amanda Perwin prosecuted it. Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-20303.
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Former U.S. Border Patrol Agent Pleads Guilty to Attempting to Distribute Methamphetamine and Receiving BribesRead the Press Release
SAN DIEGO – Former U.S. Border Patrol Agent Hector Hernandez pleaded guilty in federal court today, admitting that he used his official position to smuggle unauthorized immigrants and illegal drugs across the border in exchange for money.
According to his plea agreement, Hernandez admitted to using his official position to open border fences and allowing undocumented immigrants and controlled substances to enter the United States from Mexico. Hernandez also admitted to moving the drugs from the Southern District of California to other locations within the United States.
“Agent Hernandez betrayed his badge and his country,” said U.S. Attorney Tara McGrath. “Instead of providing protection from smugglers and drug traffickers, he joined them.”
“Border Patrol Agent Hernandez broke the public’s trust and abandoned his oath,” said DEA Special Agent in Charge Shelly Howe. “Law enforcement officers are required to uphold the law, not break it.”
“It’s always disheartening when individuals misuse their positions of trust within our government for nefarious activities,” said FBI San Diego Special Agent in Charge Stacey Moy. “Let this be a clear message, that we are absolutely resolved with our partners to rigorously investigate and pursue justice in all cases---even when they involve one of our own.”
“Department of Homeland Security Office of the Inspector General is grateful for the continued collaboration with our law enforcement partners as we root out corruption and crime along the Southwest Border. Today’s plea agreement sends a clear message that federal employees will be held accountable for their actions,” said the DHS Inspector General, Dr. Joseph V. Cuffari.
Hernandez admitted to taking Mexico-based smugglers on a tour of the US/Mexico border, identifying the best locations to sneak unauthorized immigrants into the United States, and sharing the locations of monitoring devices and cameras near the border to help them evade detection. Hernandez also admitted to opening restricted border fences on at least five occasions and allowing immigrants to enter the United States for cash payments of $5,000 each time.
On May 9, 2023, Hernandez met with someone he believed to be a drug trafficker but who was, in fact, an undercover federal agent. During this meeting, Hernandez agreed to pick up a bag full of narcotics that would be hidden near the border fence and bring it to the undercover agent in exchange for $20,000. Undercover agents loaded the bag with 10 kilograms of fake methamphetamine, one pound of real methamphetamine, and a tracking device, before placing the bag in a storm drain near the border fence.
Later that evening and while on duty, Hernandez drove his official vehicle to the storm drain and retrieved the bag. He drove the bag to his residence in Chula Vista and left it there for the remainder of his work shift. On May 10, 2023, after his shift was over, Hernandez returned home, retrieved the bag, and drove to meet with the undercover agent. He was arrested at that meeting. Upon arrest, investigators confirmed the bag still contained both the fake and real methamphetamine.
After Hernandez was arrested, agents searched his residence and found close to $140,000 in cash and 9 grams of cocaine. By Hernandez’s own admission, at least $110,000 of the seized cash represented proceeds from narcotics trafficking and bribery.
As part of his plea agreement, Hernandez forfeited his personal vehicle used to bring the drugs to the undercover agent; $110,000 of the seized cash; and his interest in the residence where the drugs were maintained.
This case is being prosecuted by Assistant U.S. Attorneys Sean Van Demark and Lawrence A. Casper.
Hernandez is scheduled to be sentenced on April 19, 2024 at 9 a.m. before U.S. District Judge Janis L. Sammartino.
DEFENDANTS Case Number 23cr1114-JLS
Hector Hernandez Age: 55 Chula Vista, CA
SUMMARY OF CHARGES
Attempted Distribution of Methamphetamine – 21 U.S.C., Sections 841(a)(1) and 846
Maximum penalty: Life imprisonment with a 10-year mandatory minimum
Receiving Bribe by Public Official – 18 U.S.C., Section 201(b)(2)
Maximum penalty: Fifteen years in prison
INVESTIGATING AGENCIES
Department of Homeland Security, Office of the Inspector General
Drug Enforcement Administration
Federal Bureau of Investigation
IRS Criminal Investigation
Former Professor Pleads Guilty to Setting Multiple Fires Behind Firefighters Responding to the Dixie FireRead the Press Release
SACRAMENTO, Calif. — Gary Stephen Maynard, 49, of San Jose, pleaded guilty today to three counts of arson on federal property, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Maynard engaged in an arson spree in the Shasta Trinity National Forest and in the vicinity of the then-ongoing Dixie Fire in the Lassen National Forest. Maynard set some of his fires behind firefighters who were actively fighting the Dixie Fire, effectively surrounding these firefighters as they responded to one of the largest wildfires in California history. Maynard admitted to setting the following fires during this arson spree: the Cascade Fire (July 20, 2021), the Everitt Fire (July 21, 2021), the Ranch Fire (Aug. 7, 2021), and the Conard Fire (Aug. 7, 2021).
This case is the product of an investigation by the U.S. Forest Service with assistance from the Federal Bureau of Investigation, CalFire, the California Highway Patrol, and the Lassen County Sheriff’s Department. Assistant U.S. Attorneys Shea Kenny, Sam Stefanki, and Michael Anderson are prosecuting the case.
Maynard is scheduled to be sentenced on May 9, 2024, by U.S. District Judge Daniel J. Calabretta. Maynard faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for each count to which he pleaded guilty. Arson to federal property carries a mandatory minimum sentence of five years in prison. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
maynard_plea_agreement.pdfFormer Police Officer Pleads Guilty to PPP FraudRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware announced today that a Bear, DE man pleaded guilty to bank fraud in connection with obtaining a Payroll Protection Plan (“PPP”) loan.
According to court documents, Michael Coleman, 43, a former Sergeant with the Wilmington Police Department, pled guilty to fraudulently obtaining a $150,000 PPP loan from the Small Business Administration in 2021 for a personal business he purportedly operated. The Small Business Administration funded loans to small businesses as part of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”).
U.S. Attorney Weiss stated, “Mr. Coleman was a public servant who took federal funds from a public program that was meant to provide financial support to struggling businesses during a global pandemic when he did not qualify for those funds. My office, in partnership with our federal, state, and local law enforcement partners, will continue to identify and prosecute individuals who illegally obtained CARES Act funding.”
“These assistance programs may have ended, but our commitment to seeking out those who defrauded them has not,” said Acting Special Agent in Charge R. Joseph Rothrock of the FBI'S Baltimore Field Office. “The FBI and our partners remain focused on making sure stolen funds are returned to taxpayers, and individuals involved in this type of criminal behavior are held responsible for their actions.”
Coleman faces a maximum penalty of 30 years in prison. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case was investigated by the FBI Baltimore Field Office’s Wilmington Resident Agency with assistance from the Delaware Department of Justice and is being prosecuted by Assistant U.S. Attorney Alexander Ibrahim.
For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 23-cr-083.
Former Local Labor Union President Pleads Guilty to Bank FraudRead the Press Release
A former local labor union president who embezzled union funds pled guilty on January 25, 2024, in federal court in Cedar Rapids. Brock A. Willson, also known as Brock A. Cligrow, age 42, from Linn County and Cedar County, Iowa, was convicted of one count of bank fraud.
In a plea agreement, Willson admitted that, from no later than about March 2020, and continuing through at least October 2021, he served in various capacities as a local labor union’s president, business manager/financial secretary, and coordinator of its joint apprenticeship training committee. By virtue of his high‑level positions within the union, Willson had access to its bank accounts. From the bank accounts, the labor organization entrusted Willson with making authorized payments for certain authorized expenses, including its training committee. Willson abused his position of trust at the union to cause the local bank to make payments for his own person expenses, including but not limited to payments on his personal vehicle loan and purchases at department stores. Willson admitted stealing at least $6,500 in union funds.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Willson remains free on bond previously set pending sentencing. Willson faces a possible maximum sentence of 30 years’ imprisonment, a $1 million fine, and five years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Timothy L. Vavricek and was investigated by the United States Department of Labor, Office of Labor-Management Standards. The Mount Vernon-Lisbon Police Department assisted the investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-CR-67.
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Former Fayette County High School Teacher Sentenced to 30 Years for Production and Possession of Child PornographyRead the Press Release
LEXINGTON, Ky. – A Lexington man, Kevin Daniel Lentz, 49, was sentenced on Thursday, by U.S. District Judge Karen C. Caldwell, to 30 years in prison, for the production and possession of child pornography.
Lentz admitted in his plea agreement that he began an online conversation with a 9-year-old victim, on March 19, 2023. Within minutes, the chat became sexual. Lentz sent the victim 85 images or videos of adult pornography, including sexually explicit images and videos of Lentz. Lentz also persuaded the victim to create multiple sexually explicit videos and images of himself, and to send them to Lentz via the internet. Lentz acknowledged that, at the time, he knew the victim was a minor. The conduct was discovered after the victim’s parents located the sexually explicit conversations and images on the victim’s phone. The parents then contacted law enforcement.
A search warrant was executed at Lentz's residence in Lexington, on August 8, 2023. The search resulted in the seizure of numerous electronic devices, including a computer, a cellular phone, and multiple hard drives. A search of these devices revealed several hundred additional images and videos of prepubescent minors engaged in sexually explicit conduct that Lentz obtained from the internet.
Under federal law, Lentz must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for life. Lentz was also ordered to pay $33,000 in restitution and $22,000 in special assessments.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Rana Saoud, Special Agent in Charge, Department of Homeland Security, Homeland Security Investigations (HSI); and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.
The investigation was conducted by HSI and Lexington Police Department. Assistant U.S. Attorney Erin Roth is prosecuting the case on behalf of the United States.
The U.S. Attorney’s Office prosecuted this case as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Former Employee at Skilled Nursing Facility Sentenced for Criminal Abuse of a Vulnerable AdultRead the Press Release
WASHINGTON – Kevin Thomas, 57, of Washington, D.C., was sentenced today in Superior Court for one count of criminal abuse of a vulnerable adult or elderly person, announced U.S. Attorney Matthew M. Graves for the District of Columbia, and Daniel W. Lucas, Inspector General for the District of Columbia.
Superior Court Judge Deborah J. Israel accepted Thomas’ guilty plea today and ordered 180 days in jail, suspended, 18 months of supervised probation, mental health and drug treatment services as deemed necessary, and ordered that Thomas make a $50 payment to the Victims of Violent Crimes Fund.
According to court documents, Thomas was employed as a customer service representative and smoking aide at Capital City Skilled Nursing Facility (CCSNF), a residential rehabilitation and healthcare center, located in Southeast Washington. Thomas’ job duties included taking individuals outside of the facility to their designated smoking area.
On November 29, 2021, a resident of the facility reported that a staff member pushed him from his wheelchair while he was attempting to enter CCSNF’s smoking area. The victim has physical and psychological disabilities that would classify him as a “vulnerable adult” under D.C. Code § 22-932. During a subsequent interview, the victim stated that the staff member, identified as Thomas, pushed him and he fell out of his wheelchair and onto the ground, where he laid for several minutes without assistance from the defendant. After reviewing video of the incident, Thomas was immediately suspended from CCSNF, who then reported the abuse to the District’s Department of Health.
This prosecution is indicative of the continued collaboration between the U.S. Attorney’s Office and the D.C. Office of the Inspector General (D.C. OIG) to protect vulnerable adults. The D.C. OIG operates the District’s Medicaid Fraud Control Unit (MFCU), which is statutorily responsible for investigating and prosecuting District Medicaid provider fraud as well as abuse or neglect of residents in health care facilities and board and care facilities and of beneficiaries in noninstitutional or other settings. The government urges the public to provide tips and assistance to stop health care fraud and abuse, neglect, or exploitation of vulnerable adults. If you have information about individuals committing these types of offenses, please call the D.C. Office of the Inspector General at 202-724-TIPS [202-724-8477].
In announcing the guilty plea, U.S. Attorney Graves, and Inspector General Lucas commended the work of those who investigated the case from the D.C. OIG MFCU. They also acknowledged the efforts of the D.C. Department of Health for their initial response. They commended the work of Special Assistant United States Attorney Jason Facci, on detail from the D.C. OIG, who prosecuted the case.
Former CIA Officer Joshua Adam Shulte Sentenced to 40 Years in Prison for Espionage and Child Pornography ChargesRead the Press Release
Joshua Adam Schulte, 35, of New York, New York, was sentenced today to 480 months in prison for crimes of espionage, computer hacking, contempt of court, making false statements to the FBI, and child pornography. Schulte’s theft is the largest data breach in the history of the CIA, and his transmission of that stolen information to WikiLeaks is one of the largest unauthorized disclosures of classified information in the history of the United States.
Today’s sentencing followed Schulte’s convictions at trials that concluded on March 9, 2020, July 13, 2022, and Sept. 13, 2023.
“Mr. Schulte severely harmed U.S. national security and directly risked the lives of CIA personnel, persisting in his efforts even after his arrest,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “As today’s sentence reaffirms, the Department of Justice is committed to investigating, prosecuting, and holding accountable those who would violate their constitutional oath and betray the trust of the American people they pledged to protect.”
“Joshua Schulte betrayed his country by committing some of the most brazen, heinous crimes of espionage in American history," said U.S. Attorney Damian Williams for the Southern District of New York. "He caused untold damage to our national security in his quest for revenge against the CIA for its response to Schulte’s security breaches while employed there. When the FBI caught him, Schulte doubled down and tried to cause even more harm to this nation by waging what he described as an ‘information war’ of publishing top secret information from behind bars. And all the while, Schulte collected thousands upon thousands of videos and images of children being subjected to sickening abuse for his own personal gratification. The outstanding investigative work of the FBI and the career prosecutors in this office unmasked Schulte for the traitor and predator that he is and made sure that he will spend 40 years behind bars – right where he belongs.”
“Joshua Schulte caused grave harm to U.S. national security and contributed to the abuse of scores of innocent children,” said Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch. “Using his expertise, Schulte stole and exposed classified national security information including some of the U.S. government’s most sensitive techniques and personnel, but he didn’t only exploit the U.S. government – he also exploited vulnerable children by collecting images and videos capturing their horrific abuse for his own pleasure. Together with our partners, the FBI will remain steadfast in our pursuit of those who put the security of the American people and its most vulnerable citizens at risk.”
According to court documents, from 2012 to 2016, Schulte was employed as a software developer in the Center for Cyber Intelligence (CCI), which conducts offensive cyber operations: cyber espionage relating to terrorist organizations and foreign governments. Schulte and other CCI developers worked on tools that were used in, among other things, human-enabled operations: cyber operations that involved a person with access to the computer network being targeted by the cyber tool. In addition to being a developer, Schulte was also temporarily one of the administrators of one of the servers and suite of development programs used to build cyber tools.
In March 2016, Schulte was moved within branches of CCI as a result of personnel disputes between Schulte and another developer. Following that transfer, in April 2016, Schulte abused his administrator powers to grant himself administrator privileges over a development project from which he had been removed as a result of the branch change. Schulte’s abuse of administrator privileges was detected, and CCI leadership directed that administrator privileges would immediately be transferred from developers, including Schulte, to another division. Schulte was also given a warning about self-granting administrator privileges that had previously been revoked.
Schulte had, however, secretly opened an administrator session on one of the servers before his privileges were removed. On April 20, 2016, after other developers had left the CCI office, Schulte used his secret server administrator session to execute a series of cyber-maneuvers on the CIA network to restore his revoked privileges, break in to the backups, steal copies of the entire CCI tool development archives (the Stolen CIA Files), revert the network back to its prior state, and delete hundreds of log files in an attempt to cover his tracks. Schulte’s theft of the Stolen CIA Files is the largest data breach in CIA history.
From his home computer, Schulte then transmitted the Stolen CIA Files to WikiLeaks, using anonymizing tools recommended by WikiLeaks to potential leakers, such as the Tails operating system and the Tor browser. On May 5, 2016, having transmitted the Stolen CIA Files to WikiLeaks, Schulte wiped and reformatted his home computer’s internal hard drives.
On March 7, 2017, WikiLeaks began publishing classified data from the Stolen CIA Files. Between March and November 2017, there were a total of 26 disclosures of classified data from the Stolen CIA Files that WikiLeaks denominated as Vault 7 and Vault 8 (the WikiLeaks Disclosures). The WikiLeaks Disclosures were one of the largest unauthorized disclosures of classified information in the history of the United States, and Schulte’s theft and disclosure immediately and profoundly damaged the CIA’s ability to collect foreign intelligence against America’s adversaries; placed CIA personnel, programs, and assets directly at risk; and cost the CIA hundreds of millions of dollars. The effect was described at trial by the former CIA Deputy Director of Digital Innovation as a “digital Pearl Harbor,” and the disclosure caused exceptionally grave harm to the national security of the United States.
Following the WikiLeaks Disclosures, Schulte was voluntarily interviewed on multiple occasions by the FBI in March 2017. During those interviews, Schulte repeatedly lied, including denying being responsible for the theft of the Stolen CIA Files or for the WikiLeaks Disclosures, and spinning fake narratives about ways the Stolen CIA Files could have been obtained from CIA computers, in the hope of deflecting suspicion away from Schulte and diverting law enforcement resources to false leads.
In March 2017, the FBI searched Schulte’s apartment in New York pursuant to a search warrant and recovered, among other things, multiple computers, servers, and other electronic storage devices, including Schulte’s personal desktop computer (the Desktop Computer), which Schulte built while living in Virginia and then transported to New York in November 2016. On the Desktop Computer, FBI agents found layers of encryption hiding tens of thousands of videos and images of child sexual abuse materials, including approximately 3,400 images and videos of disturbing and horrific child pornography and the rape and sexual abuse of children as young as two years old, as well as images of bestiality and sadomasochism. Schulte collected some of these files during his employment with the CIA and continued to stockpile child pornography from the dark web and Russian websites after moving to New York.
While detained pending trial, in approximately April 2018, Schulte sent a copy of the affidavit in support of the warrant to search his apartment, which a protective order entered by the court prohibiting Schulte from disseminating, to reporters from two different newspapers, and Schulte acknowledged in recorded phone calls that he knew he was prohibited from sharing protected material like the affidavit.
Despite being warned by the court not to violate the protective order further, in the summer and fall of 2018, Schulte made plans to wage what he proclaimed to be an “information war” against the U.S. government. To pursue these ends, Schulte obtained access to contraband cellphones while in jail that he used to create anonymous, encrypted email and social media accounts. Schulte also attempted to use the contraband cellphones to transmit protected discovery materials to WikiLeaks and planned to use the anonymous email and social media accounts to publish a manifesto and various other postings containing classified information about CIA cyber techniques and cyber tools. In a journal, Schulte wrote that he planned to “breakup diplomatic relationships, close embassies, [and] end U.S. occupation across the world[.]” Schulte successfully sent emails containing classified information about the CCI development network and the number of employees in particular CIA cyber intelligence groups to a reporter.
As a result of this conduct, on March 9, 2020, Schulte was found guilty at trial of contempt of court and making material false statements. On July 13, 2022, Schulte was found guilty at trial of eight counts: illegal gathering and transmission of national defense information in connection with his theft and dissemination of the Stolen CIA Files, illegal transmission and attempted transmission of national defense information, unauthorized access to a computer to obtain classified information and information from a department or agency of the U.S. in connection with his theft of the Stolen CIA Files, and two counts of causing transmission of harmful computer commands in connection with his theft of the Stolen CIA Files. Finally, on Sept. 13, 2023, Schulte was found guilty at trial on charges of receiving, possessing, and transporting child pornography.
The FBI Counterintelligence Division and Child Exploitation and Human Trafficking Task Force of the FBI New York Field Office investigated the case, with the extraordinary assistance of FBI computer scientists from the Cyber Action Team. The FBI Washington Field Office, CIA Office of General Counsel, and National Security Division’s Counterintelligence and Export Control Section provided significant assistance.
Assistant U.S. Attorneys David W. Denton Jr., Michael D. Lockard, and Nicholas S. Bradley for the Southern District of New York prosecuted the case.
Former CIA Officer Joshua Adam Schulte Sentenced to 40 Years in Prison for Espionage and Child Pornography CrimesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York; Matthew G. Olsen, the Assistant Attorney General for National Security; and James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today that JOSHUA ADAM SCHULTE was sentenced to 40 years in prison by U.S. District Judge Jesse M. Furman for crimes of espionage, computer hacking, contempt of Court, making false statements to the FBI, and child pornography. SCHULTE’s theft is the largest data breach in the history of the CIA, and his transmission of that stolen information to WikiLeaks is one of the largest unauthorized disclosures of classified information in the history of the U.S. Today’s sentencing followed SCHULTE’s convictions at trials that concluded on March 9, 2020, July 13, 2022, and September 13, 2023.
U.S. Attorney Damian Williams said: “Joshua Schulte betrayed his country by committing some of the most brazen, heinous crimes of espionage in American history. He caused untold damage to our national security in his quest for revenge against the CIA for its response to Schulte’s security breaches while employed there. When the FBI caught him, Schulte doubled down and tried to cause even more harm to this nation by waging what he described as an ‘information war’ of publishing top secret information from behind bars. And all the while, Schulte collected thousands upon thousands of videos and images of children being subjected to sickening abuse for his own personal gratification. The outstanding investigative work of the FBI and the career prosecutors in this Office unmasked Schulte for the traitor and predator that he is and made sure that he will spend 40 years behind bars – right where he belongs.”
Assistant Attorney General Matthew G. Olsen said: “Mr. Schulte severely harmed U.S. national security and directly risked the lives of CIA personnel, persisting in his efforts even after his arrest. As today’s sentence reaffirms, the Department of Justice is committed to investigating, prosecuting, and holding accountable those who would violate their constitutional oath and betray the trust of the American people they pledged to protect.”
FBI Assistant Director in Charge James Smith said: “Today, Joshua Schulte was rightly punished not only for his betrayal of our country, but for his substantial possession of horrific child pornographic material. The severity of his actions is evident, and the sentence imposed reflects the magnitude of the disturbing and harmful threat posed by his criminal conduct. The FBI will not yield in our efforts to bring to justice anyone who endangers innocent children or threatens our national security.”
According to court documents and evidence at trial:
From 2012 to 2016, SCHULTE was employed as a software developer in the Center for Cyber Intelligence (“CCI”), which conducts offensive cyber operations: cyber espionage relating to terrorist organizations and foreign governments. SCHULTE and other CCI developers worked on tools that were used in, among other things, human-enabled operations: cyber operations that involved a person with access to the computer network being targeted by the cyber tool. In addition to being a developer, SCHULTE was also temporarily one of the administrators of one of the servers and suite of development programs used to build cyber tools.
In March 2016, SCHULTE was moved within branches of CCI as a result of personnel disputes between SCHULTE and another developer. Following that transfer, in April 2016, SCHULTE abused his administrator powers to grant himself administrator privileges over a development project from which he had been removed as a result of the branch change. SCHULTE’s abuse of administrator privileges was detected, and CCI leadership directed that administrator privileges would immediately be transferred from developers, including SCHULTE, to another division. SCHULTE was also given a warning about self-granting administrator privileges that had previously been revoked.
SCHULTE had, however, secretly opened an administrator session on one of the servers before his privileges were removed. On April 20, 2016, after other developers had left the CCI office, SCHULTE used his secret server administrator session to execute a series of cyber-maneuvers on the CIA network to restore his revoked privileges, break in to the backups, steal copies of the entire CCI tool development archives (the “Stolen CIA Files”), revert the network back to its prior state, and delete hundreds of log files in an attempt to cover his tracks. SCHULTE’s theft of the Stolen CIA Files is the largest data breach in CIA history.
From his home computer, SCHULTE then transmitted the Stolen CIA Files to WikiLeaks, using anonymizing tools recommended by WikiLeaks to potential leakers, such as the Tails operating system and the Tor browser. On May 5, 2016, having transmitted the Stolen CIA Files to WikiLeaks, SCHULTE wiped and reformatted his home computer’s internal hard drives.
On March 7, 2017, WikiLeaks began publishing classified data from the Stolen CIA Files. Between March and November 2017, there were a total of 26 disclosures of classified data from the Stolen CIA Files that WikiLeaks denominated as Vault 7 and Vault 8 (the “WikiLeaks Disclosures”). The WikiLeaks Disclosures were one of the largest unauthorized disclosures of classified information in the history of the U.S., and SCHULTE’s theft and disclosure immediately and profoundly damaged the CIA’s ability to collect foreign intelligence against America’s adversaries; placed CIA personnel, programs, and assets directly at risk; and cost the CIA hundreds of millions of dollars. The effect was described at trial by the former CIA Deputy Director of Digital Innovation as a “digital Pearl Harbor,” and the disclosure caused exceptionally grave harm to the national security of the U.S.
Following the WikiLeaks Disclosures, SCHULTE was voluntarily interviewed on multiple occasions by the FBI in March 2017. During those interviews, SCHULTE repeatedly lied, including denying being responsible for the theft of the Stolen CIA Files or for the WikiLeaks Disclosures and spinning fake narratives about ways the Stolen CIA Files could have been obtained from CIA computers, in the hope of deflecting suspicion away from SCHULTE and diverting law enforcement resources to false leads.
In March 2017, the FBI searched SCHULTE’s apartment in New York pursuant to a search warrant and recovered, among other things, multiple computers, servers, and other electronic storage devices, including SCHULTE’s personal desktop computer (the “Desktop Computer”), which SCHULTE built while living in Virginia and then transported to New York in November 2016. On the Desktop Computer, FBI agents found layers of encryption hiding tens of thousands of videos and images of child sexual abuse materials, including approximately 3,400 images and videos of disturbing and horrific child pornography and the rape and sexual abuse of children as young as two years old, as well as images of bestiality and sadomasochism. SCHULTE collected some of these files during his employment with the CIA and continued to stockpile child pornography from the dark web and Russian websites after moving to New York.
While detained pending trial, in approximately April 2018, SCHULTE sent a copy of the affidavit in support of the warrant to search his apartment, which a protective order entered by the Court prohibiting SCHULTE from disseminating, to reporters from two different newspapers, and SCHULTE acknowledged in recorded phone calls that he knew he was prohibited from sharing protected material like the affidavit.
Despite being warned by the Court not to violate the protective order further, in the summer and fall of 2018, SCHULTE made plans to wage what he proclaimed to be an “information war” against the U.S. government. To pursue these ends, SCHULTE obtained access to contraband cellphones while in jail that he used to create anonymous, encrypted email and social media accounts. SCHULTE also attempted to use the contraband cellphones to transmit protected discovery materials to WikiLeaks and planned to use the anonymous email and social media accounts to publish a manifesto and various other postings containing classified information about CIA cyber techniques and cyber tools. In a journal, SCHULTE wrote that he planned to “breakup diplomatic relationships, close embassies, [and] end U.S. occupation across the world[.]” SCHULTE successfully sent emails containing classified information about the CCI development network and the number of employees in particular CIA cyber intelligence groups to a reporter.
As a result of this conduct, on March 9, 2020, SCHULTE was found guilty at trial of contempt of court and making material false statements. On July 13, 2022, SCHULTE was found guilty at trial of eight counts: illegal gathering and transmission of national defense information in connection with his theft and dissemination of the Stolen CIA Files, illegal transmission and attempted transmission of national defense information, unauthorized access to a computer to obtain classified information and information from a department or agency of the U.S. in connection with his theft of the Stolen CIA Files, and two counts of causing transmission of harmful computer commands in connection with his theft of the Stolen CIA Files. Finally, on September 13, 2023, SCHULTE was found guilty at trial on charges of receiving, possessing, and transporting child pornography.
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In addition to the prison term, SCHULTE, 35, of New York, New York, was sentenced to a lifetime of supervised release.
Mr. Williams praised the outstanding efforts of the Counterintelligence Division and the Child Exploitation and Human Trafficking Task Force of the FBI’s New York Field Office, as well as the extraordinary work of FBI computer scientists from the Cyber Action Team. Mr. Williams also thanked the FBI Washington Field Office, the CIA Office of General Counsel, and the National Security Division’s Counterintelligence and Export Control Section for their assistance.
This case is being handled by the Office’s National Security and International Narcotics Unit. Assistant U.S. Attorneys David W. Denton Jr., Michael D. Lockard, and Nicholas S. Bradley are in charge of the prosecution.
Former Assistant Superintendent and Former IT Director of Patterson Joint Unified School District Plead Guilty to $1 Million Embezzlement SchemeRead the Press Release
SACRAMENTO, Calif. — Jeffrey Menge, 43, of Copperopolis, and Eric Drabert, 44, of Modesto, pleaded guilty today to theft concerning programs receiving federal funds, U.S. Attorney Phillip A. Talbert announced.
According to court documents, from 2018 to 2022, Menge served as the Assistant Superintendent and Chief Business Officer of Patterson Joint Unified School District. In approximately 2020, Menge hired Drabert to serve as IT Director for the school district. Menge and Drabert conducted schemes to embezzle money from the school district. Among other things, they used CenCal Tech LLC, a Nevada company that Menge controlled, to carry out the scheme. Menge was limited in his ability to conduct interested party transactions with the school district, so he created a fictitious person, “Frank Barnes,” to serve as an executive for CenCal Tech. Menge and Drabert then used CenCal Tech to conduct more than $1.2 million in fraudulent transactions with the school district. The transactions involved double billing, over billing, and billing for items not delivered by CenCal Tech to the school district.
According to court documents, Menge and Drabert stole in additional ways as well. For example, they purchased high-end graphics cards and used those cards, together with other school district property and electricity, to operate a cryptocurrency “mining” farm at the school district. They then transferred the mined cryptocurrency to wallets under their own personal control. Menge also misused vehicles owned by the school district, including buying a Chevy truck at below-market value and selling it for a profit, and using a Ford Transit van as his own personal vehicle.
In total, Menge embezzled between $1 million and $1.5 million and Drabert stole between $250,000 and $300,000 during the scheme. Menge used stolen funds to remodel his home, to purchase luxury cars, including a Ferrari sports car, and for other personal uses. Drabert used stolen funds to remodel his vacation cabin, among other uses.
This case is the product of an investigation by the Federal Bureau of Investigation with assistance from the Stanislaus County District Attorney Bureau of Investigation and the Stanislaus County Sheriff’s Office. Assistant U.S. Attorney Jeffrey A. Spivak is prosecuting the case.
Menge and Drabert are scheduled to be sentenced by U.S. District Judge Troy L. Nunley on May 30, 2024. Menge and Drabert each face a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
menge_reduced_filed.pdf drabert_reduced_filed.pdfForeign National Charged for International Money Laundering Conspiracy and Role in Operation of Unlicensed Digital Currency Exchange BTC-eRead the Press Release
An indictment was unsealed on Tuesday charging a Belarusian and Cypriot national with money laundering conspiracy and operation of an unlicensed money services business.
According to the indictment, between 2011 and July 2017, Aliaksandr Klimenka, 42, allegedly controlled BTC-e, a digital currency exchange, with Alexander Vinnik and others. Klimenka also allegedly controlled Soft-FX, a technology services company, and FX Open, a financial company.
The indictment alleges BTC-e was a significant cybercrime and online money laundering entity that allowed its users to trade in bitcoin with high levels of anonymity and developed a customer base heavily reliant on criminal activity. BTC-e allegedly facilitated transactions for cybercriminals worldwide and received criminal proceeds from numerous computer intrusions and hacking incidents, ransomware scams, identity theft schemes, corrupt public officials, and narcotics distribution rings, and allegedly was used to facilitate crimes ranging from computer hacking to fraud, identity theft, tax refund fraud schemes, public corruption, and drug trafficking. BTC-e’s servers, maintained in the United States, were allegedly one of the primary ways in which BTC-e and its operators effectuated their scheme. Those servers were allegedly leased to and maintained by Klimenka and Soft-FX.
Despite doing substantial business in the United States, BTC-e allegedly was not registered as a money services business with the U.S. Department of Treasury, had no anti-money laundering process, no system for appropriate “know your customer” or “KYC” verification, and no anti-money laundering program as required by federal law.
Klimenka was arrested in Latvia on Dec. 21, 2023, at the request of the United States and made his initial appearance in San Francisco yesterday. He is currently being held in custody.
If convicted, Klimenka faces a maximum penalty of 25 years in prison.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Ismail J. Ramsey for the Northern District of California, Special Agent in Charge William Mancino of the U.S. Secret Service (USSS) Criminal Investigative Division, Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division, Chief Jim Lee of IRS Criminal Investigation (IRS:CI), and Special Agent in Charge Tatum King of Homeland Security Investigations (HSI) San Francisco made the announcement.
The USSS; FBI; IRS:CI Oakland Field Office and Cyber Crime Unit in Washington, D.C.; and HSI are investigating the case.
Trial Attorney C. Alden Pelker of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Claudia Quiroz for the Northern District of California, both members of the National Cryptocurrency Enforcement Team (NCET), and Assistant U.S. Attorney Katherine Lloyd-Lovett for the Northern District of California are prosecuting the case.
The Justice Department’s Office of International Affairs worked with the Latvian government to secure the arrest of Klimenka.
The NCET was established to combat the growing illicit use of cryptocurrencies and digital assets. Within the Criminal Division’s Computer Crime and Intellectual Property Section, the NCET conducts and supports investigations into individuals and entities that are enabling the use of digital assets to commit and facilitate a variety of crimes, with a particular focus on virtual currency exchanges, mixing and tumbling services, and infrastructure providers. The NCET also works to set strategic priorities regarding digital asset technologies, identify areas for increased investigative and prosecutorial focus, and lead the department’s efforts to collaborate with domestic and foreign government agencies as well as the private sector to aggressively investigate and prosecute crimes involving cryptocurrency and digital assets.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Foreign National Charged for International Money Laundering Conspiracy and Role in Operation of Unlicensed Digital Currency Exchange BTC-eRead the Press Release
SAN FRANCISCO — An indictment was unsealed on Tuesday charging a Belarusian and Cypriot national with money laundering conspiracy and operation of an unlicensed money services business.
According to the indictment, between 2011 and July 2017, Aliaksandr Klimenka, 42, allegedly controlled BTC-e, a digital currency exchange, with Alexander Vinnik and others. Klimenka also allegedly controlled Soft-FX, a technology services company, and FX Open, a financial company.
The indictment alleges BTC-e was a significant cybercrime and online money laundering entity that allowed its users to trade in bitcoin with high levels of anonymity and developed a customer base heavily reliant on criminal activity. BTC-e allegedly facilitated transactions for cybercriminals worldwide and received criminal proceeds from numerous computer intrusions and hacking incidents, ransomware scams, identity theft schemes, corrupt public officials, and narcotics distribution rings, and allegedly was used to facilitate crimes ranging from computer hacking to fraud, identity theft, tax refund fraud schemes, public corruption, and drug trafficking. BTC-e’s servers, maintained in the United States, were allegedly one of the primary ways in which BTC-e and its operators effectuated their scheme. Those servers were allegedly leased to and maintained by Klimenka and Soft-FX.
Despite doing substantial business in the United States, BTC-e allegedly was not registered as a money services business with the U.S. Department of Treasury, had no anti-money laundering process, no system for appropriate “know your customer” or “KYC” verification, and no anti-money laundering program as required by federal law.
Klimenka was arrested in Latvia on Dec. 21, 2023, at the request of the United States and made his initial appearance in San Francisco yesterday. He is currently being held in custody.
If convicted, Klimenka faces a maximum penalty of 25 years in prison.
U.S. Attorney Ismail J. Ramsey for the Northern District of California, Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, Special Agent in Charge William Mancino of the U.S. Secret Service (USSS) Criminal Investigative Division, Assistant Director Michael D. Nordwall of the FBI’s Criminal Investigative Division, Chief Jim Lee of IRS Criminal Investigation (IRS:CI), and Special Agent in Charge Tatum King of Homeland Security Investigations (HSI) San Francisco made the announcement.
The USSS; FBI; IRS:CI Oakland Field Office and Cyber Crime Unit in Washington, D.C.; and HSI are investigating the case.
Trial Attorney C. Alden Pelker of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Claudia Quiroz for the Northern District of California, both members of the National Cryptocurrency Enforcement Team (NCET), and Assistant U.S. Attorney Katherine Lloyd-Lovett for the Northern District of California are prosecuting the case.
The Justice Department’s Office of International Affairs worked with the Latvian government to secure the arrest of Klimenka.
The NCET was established to combat the growing illicit use of cryptocurrencies and digital assets. Within the Criminal Division’s Computer Crime and Intellectual Property Section, the NCET conducts and supports investigations into individuals and entities that are enabling the use of digital assets to commit and facilitate a variety of crimes, with a particular focus on virtual currency exchanges, mixing and tumbling services, and infrastructure providers. The NCET also works to set strategic priorities regarding digital asset technologies, identify areas for increased investigative and prosecutorial focus, and lead the department’s efforts to collaborate with domestic and foreign government agencies as well as the private sector to aggressively investigate and prosecute crimes involving cryptocurrency and digital assets.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Final Defendant Sentenced in a Gas Scheme that Cost Victims over $200,000Read the Press Release
SALT LAKE CITY, Utah – Emmanuel Dejesus Nina-Perez, 31, of Salt Lake City, was sentenced today to 27 months’ imprisonment by a U.S. District Court Judge as a result of a guilty plea. Nina-Perez is the sixth and final defendant in a three-year conspiracy that defrauded gas station customers and their banks by secretly using Bluetooth enabled skimming equipment to steal customers’ credit card information.
According to court documents and statements made at the change of plea hearing, Yarislani Padron-Cruz, 38, a foreign national living in Salt Lake City; Yofre Napoleon Almonte, 50, a foreign national living in Salt Lake City; Iraldo Pereda-Mendez, 36, of Salt Lake City; Jandry Artigas-Reyes, 38, a foreign national living in Salt Lake City; and Yosbel Delgado-Valdes, 44, of Salt Lake City, pleaded guilty to participating in a gas scheme conspiracy that began in 2017 and lasted through 2020. The defendants executed the conspiracy by using Bluetooth enabled skimming equipment that they installed onto gas pumps, specifically, on the motherboard of the internal computer that controls the gas pumps. Skimming equipment contains a Bluetooth card reader/recorder that records information – such as the customers’ credit card number, name and zip code associated with the card. After installation, the defendants would get within range of the Bluetooth skimming device to initiate a wireless Bluetooth connection at the gas pump. The defendants would then download the digital credit card/debit card information captured by and stored in their skimming device. The defendants then encoded the data captured onto duplicate cloned cards and would use them to purchase fuel and other items. Several of the co-conspirators, including Nina-Perez, were either long-haul truck drivers or had close connections to trucking transportation companies who operated fleets of long-haul trucks. Collectively, the defendants are responsible for over $200,000 in losses.
In addition to Nina-Perez’s sentence of imprisonment, Padron-Cruz was sentenced to 48 months imprisonment; Almonte was sentenced to 36 months’ imprisonment; Pereda-Mendez was sentenced to 39 months’ imprisonment; Artigas-Reyes was sentenced to 45 months’ imprisonment; and Delgado-Valdes was sentenced to 50 months’ imprisonment. Each has been ordered by the court to pay joint restitution to the victims. The court also ordered the forfeiture of $38,372 cash seized from Nina-Perez’s co-defendants’ residence in connection with their arrests.
“The theft of funds and identities imposed a serious burden and harm on the victims,” said U.S. Attorney Trina A. Higgins of the District of Utah. “My office is committed to seeking justice for victims and working with our investigative partners to crack down on this type of fraudulent behavior.”
“Filling up our gas tanks is a common, routine activity which means any one of us could have been a victim of this crime,” said Special Agent in Charge Shohini Sinha of the Salt Lake City FBI. “Fraud not only costs businesses and banks, but places an added burden on citizens to recover from identity theft. We encourage the public to regularly check their bank statements and report any potential fraud to local law enforcement or the FBI.”
The case was investigated jointly by the FBI Salt Lake City Field Office and an FBI Task Force Officer with the Salt Lake City Police Department.
Assistant United States Attorney Ruth Hackford-Peer and Special Assistant United States Attorney Sachiko J. Jepson of the U.S. Attorney’s Office for the District of Utah prosecuted the case.
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Attachments:
emmanuelninaperez.sentencingfactors.pdf