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Thursday 14 December 2023
Fentanyl Trafficker Sentenced to 22 Years in PrisonRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ISMAEL BIMBOW was sentenced to 22 years in prison today for his participation in a large-scale narcotics trafficking operation that sold kilogram quantities of fentanyl and heroin and for possessing firearms to protect the drug operation. BIMBOW was convicted following a week-long jury trial in April 2022 before U.S. District Judge J. Paul Oetken, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “The sentence today reaffirms this Office’s commitment to hold large-scale fentanyl traffickers accountable. Armed fentanyl traffickers such as this defendant promote violence, ruin lives, and destroy communities. This defendant sought to profit from trafficking significant quantities of this horrific drug, used multiple firearms to protect his operation, and profited handsomely, but he has now been justly punished for his crimes and will spend many years in federal prison.”
According to court documents and the evidence presented at the trial of BIMBOW:
BIMBOW and his co-conspirators ran a large-scale wholesale fentanyl operation out of numerous residences in New Jersey, while obtaining drug supplies and enlisting co-conspirators to “bag up” for him in the Southern District of New York. BIMBOW also obtained and kept multiple loaded firearms to protect his drugs and drug supplies.
On December 8, 2020, following a months-long investigation into his narcotics trafficking operation, BIMBOW was arrested outside of his stash house in East Orange, New Jersey. Law enforcement agents then searched the vehicle that he was in and recovered a semi-automatic handgun, bundled U.S. currency, and several bundles of fentanyl hidden in the car’s secret compartment, a photograph of which is below:
Officers then searched BIMBOW’s stash house and multiple luxury apartments and residences and recovered large quantities of fentanyl and heroin — including over 50,000 individually packaged doses of fentanyl ready to be distributed into the community — as well as more bricks of fentanyl and equipment used to weigh, package, stamp, and sell fentanyl on the street. Photographs of the over 50,000 doses of fentanyl recovered at the stash house are below:
During the search of BIMBOW’s three luxury apartments throughout northern New Jersey, agents located two additional firearms (including one with an extended magazine) and more fentanyl in one, a gold digital money counter in another, and over $450,000 in narcotics proceeds in the third. A photograph on BIMBOW’s phone showed that same money counter surrounded by cash. Photographs of the seized firearms, some of the seized cash, and the money counter from BIMBOW’s phone are below:
BIMBOW used his massive profits from fentanyl dealing to obtain numerous luxury vehicles, live in his multiple luxury apartments, invest in a club, and show off his earnings. For example, evidence from BIMBOW’s phone showed him taking a video of hundreds of thousands of dollars in the very apartment in which it was seized in an apparent attempt to boast about his criminal proceeds, a screenshot of which is below:
BIMBOW’s phone also contained photographs of at least four additional kilograms of fentanyl, two photos of which are shown below:
Even after BIMBOW was arrested and detained, he continued to traffic fentanyl through the use of multiple contraband phones, which agents seized from his jail cell. Evidence from those devices showed that BIMBOW continued his attempts to sell large quantities of dangerous fentanyl both before and even after he was convicted at trial in this matter.
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ISMAEL BIMBOW, 46, of Newark, New Jersey, was convicted after trial of narcotics conspiracy and using and carrying firearms during and in relation to, or possessing firearms in furtherance of, the narcotics conspiracy. In addition to the prison term, Judge Oetken sentenced BIMBOW to five years of supervised release.
Mr. Williams praised the outstanding investigative work of the Drug Enforcement Administration.
The prosecution of this case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Michael R. Herman, David J. Robles, and Frank J. Balsamello are in charge of the prosecution.
Fentanyl Dealer Is Sentenced to PrisonRead the Press Release
CHARLOTTE, N.C. – Antonio Markel Hewitt, 33, of Hickory, N.C., was sentenced today to 96 months in prison followed by four years of supervised release for distribution of fentanyl, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Alicia Jones, Acting Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Reed Baer of the Hickory Police Department join U.S. Attorney King in making today’s announcement.
According to filed documents and today’s court proceedings, in April 2022, investigators became aware that Hewitt was involved in the distribution of fentanyl in the Catawba County area. Court records show that law enforcement conducted an investigation into Hewitt, that included multiple controlled fentanyl purchases from the defendant at or near his home. On June 21, 2022, law enforcement executed a search warrant at Hewitt’s residence. During the search, law enforcement seized four firearms, one of which was affixed with a high capacity magazine, ammunition, and digital scales.
On March 8, 2023, Hewitt pleaded guilty to four counts of distribution of fentanyl. He is in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
The ATF and the Hickory Police Department conducted the investigation.
Special Assistant U.S. Attorney (SAUSA) William Wiseman of the U.S. Attorney’s Office in Charlotte prosecuted the case. Mr. Wiseman is a state prosecutor with the office of the 26th Prosecutorial District and was assigned by District Attorney Spencer Merriweather to serve as a SAUSA with the U.S. Attorney’s Office in Charlotte. Mr. Wiseman is sworn in both state and federal courts. The SAUSA position is a reflection of the partnership between the District Attorney’s Office and the U.S. Attorney’s Office.
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.
Federal Jury Convicts Violent Convicted Felon for Illegally Possessing a FirearmRead the Press Release
SAN ANTONIO – A federal jury found a San Antonio man, previously convicted of aggravated robbery, guilty of illegally possessing a firearm as a convicted felon.
According to court documents and evidence presented at trial, Dylan James Rivas, 25, who was convicted of Aggravated Robbery in Bexar County in 2017, illegally possessed a firearm during a five-day span in April 2020. On April 13, 2020, Rivas attacked and pistol-whipped his girlfriend with the firearm, before shooting at her parents’ house early the next morning. Then, on April 17, 2020, Rivas shot another person with the firearm during an argument. That same day, San Antonio Police Department detectives tracked down Rivas and arrested him after he left a house on the west side of San Antonio. Detectives recovered the Glock 9mm caliber pistol that Rivas used in the shootings from inside the house.
Rivas was found guilty of one count of felon in possession of a firearm and faces up to 10 years’ imprisonment. He remains in federal custody awaiting sentencing on March 13, 2024.
The ATF and SAPD investigated the case.
Assistant U.S. Attorneys Brian Nowinski and Eric Fuchs are prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department 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. Anonymous tips involving gang crime and wanted fugitives can be submitted at www.stopsanantoniogangs.org.
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Eleven Individuals Indicted for Federal Economic-Impact Payment (EIP) Theft Involving over $850,000Read the Press Release
SAN JUAN, P.R. – On December 13, 2023, the Federal Grand Jury in the District of Puerto Rico returned 11 separate indictments charging 11 individuals with the theft of federal-economic-impact payments from during the COVID-19 pandemic totaling $858,600, announced W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico. These cases were investigated by the Federal Bureau of Investigation (FBI), Puerto Rico Police Bureau (PRPB), and the Puerto Rico Department of Treasury (Hacienda).
During the COVID-19 crisis, the Federal government provided three rounds of economic-impact payments to eligible individuals in Puerto Rico. The Secretary of the US Department of the Treasury (USDT) approved the Economic Impact Payment Distribution Plan and the Plan for the Disbursement of the Third Economic Impact Payment which enabled the Puerto Rico Department of the Treasury (PRDT), as the local administrator, to distribute the economic-impact payments to eligible individuals as required by federal regulation.
The Sistema Unificado de Rentas Internas (SURI) was the section of the PRDT that processed and distributed the economic-impact payments. The economic-impact payments were automatic if a taxpayer’s bank account information was confirmed in SURI. Individuals that were not verified could apply for the payments in the PRDT’s online portal. The online portal required an applicant to provide an address, name, social security number, dependent information and banking information. And the applicant would be required to certify to an oath verifying the veracity of the information provided. If the applicant was eligible for the economic-impact payment, the PRDT would then distribute the economic impact-payments to the applicant’s bank account.
According to court documents, the defendants participated in the theft of federal funds and received multiple-economic-impact payments that were obtained using the personal identification information of others.
Eleven indictments charge 11 individuals with Theft, Disposition, and Receipt of Stolen Government Money in violation of Title 18, United States Code, Section 641. Some of the individuals were also charged with Engaging in Monetary Transactions in Property Derived from Specified-Unlawful Activity and Laundering of Monetary Instruments in violation of Title 18, United States Code, Sections 1956 and 1957. These additional charges are related to efforts to structure subsequent financial transactions to avoid financial reporting requirements and to illegally transfer and use the stolen funds for other purposes, including retail purchases like jewelry.
The defendants charged and the corresponding moneys illegally received are:
Estephany J. Disla
$108,800
Soammy K. Feliz-Rivera
$35,200
Ismarielis Nolberto-Cedaño
$158,800
Tatiana Segarra-Vázquez
$96,400
José L. Cruz-Gutiérrez
$77,600
Altagracia J. Peña
$63,200
Félix J. Rivera-Álvarez
$70,400
Karla Y. Colón-Cruz
$63,000
Yuleydi C. Bautista
$76,600
Esther J. Peña-Tineo
$62,000
Gisel E. Dilone-Díaz
$46,600
Total
$858,600
“These arrests reflect our continued resolve to investigate and prosecute those who try to exploit a national emergency to steal taxpayer-funded resources by using the global pandemic as an opportunity to steal from hardworking citizens,” said U.S. Attorney Muldrow. “We are proud to work with our law enforcement partners to hold wrongdoers accountable and to safeguard taxpayer funds.”
“The purpose of economic incentives, such as those provided through the CARES ACT, is to extend a helping hand to people in need. When criminals develop schemes to steal this money, they directly hurt people who are already in a difficult situation,” said Joseph González, Special Agent in Charge or the FBI San Juan Field Office. “The FBI will continue to investigate these cases for as long as it takes. Social justice starts by doing the right thing, the right way and we urge the public to continue reporting these schemes by calling 787-987-6500 or leaving a tip through tips.fbi.gov.”
To report a COVID-19-related fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form
Assistant U.S. Attorney Victor O. Acevedo-Hernández is prosecuting the case.
The indictments contain only charges and are not evidence of guilt. The defendants are presumed to be innocent unless and until proven guilty.
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Durham Crips Gang Member Sentenced for Possession of FirearmRead the Press Release
GREENSBORO – A North Carolina man was sentenced yesterday to 10 years in prison, after pleading guilty to one count of felon in possession of a firearm, announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina (MDNC).
TYRICO DEVONTE BOWENS, age 30, of Durham, was sentenced to a 120-month term of imprisonment by the Honorable William L. Osteen, Jr., United States District Judge in the United States District Court for the MDNC. He pleaded guilty on September 29, 2023, to felon in possession of a firearm, a violation of Title 18, United States Code, Section 922(g)(1).
According to court records, BOWENS, a member of the Eight Trey Gangster Crips street gang, was at a family gathering in Apex, North Carolina on December 31, 2022, when he retrieved a 10mm Glock handgun from his car after an argument with his girlfriend’s father. When family members attempted to intervene, BOWENS discharged the firearm in front of the home. Officers with the Apex Police Department recovered a S&B 10mm cartridge casing from the yard.
Five days later, the gang unit with the Durham Police Department (DPD) arrested BOWENS at his residence on charges related to the December 31, 2022, incident and searched his home. They recovered three loaded firearms, including a 10mm Glock handgun. A forensic firearms examiner with DPD microscopically compared the S&B 10mm cartridge casing recovered from the December 31, 2022 incident with a cartridge casing test fired from the Glock 10mm handgun and determined that, based on similar class characteristics and sufficient agreement of individual characteristics, the 10mm cartridge casing recovered from the scene on December 31, 2022, was fired from the Glock 10mm handgun.
At the time of these offenses, BOWENS had been previously convicted of Assault with a Deadly Weapon Inflicting Serious Injury and Second-Degree Kidnapping (Durham County – 2013); Conspiracy to Commit Robbery with a Dangerous Weapon, Possession of Firearm by Felon, and Conspiracy to Intimidate Witnesses (Durham County – 2014); Possession of Firearm by Felon and Concealed Carry (Durham County – 2018); and Possession of Firearm by Felon and Possession with Intent to Sell or Distribute Cocaine (Durham County – 2023). In connection with these offenses, BOWENS was sentenced to multiple terms of imprisonment exceeding one year. Thus, at the time of the offenses, BOWENS was legally barred from possessing a firearm due to his status as a felon.
The case was investigated by the Federal Bureau of Investigation’s Raleigh-Durham Safe Streets Task Force (SSTF), the Durham Police Department, the Durham County Sheriff’s Office, and the Apex Police Department. The lead investigator was an FBI Task Force Officer from the Durham Police Department. The case was prosecuted by Assistant United States Attorneys Laura Jeanne Dildine and JoAnna G. McFadden.
Since 1992, the FBI's Safe Streets Violent Crime Initiative has successfully aligned FBI Agents, state and local law enforcement investigators, and federal and state prosecutors onto SSTFs to reduce violent crime. This nationwide initiative brings resources together in a “force multiplier concept” and utilizes the expertise of each agency. SSTFs focus primarily upon street gang and drug-related violence through sustained, proactive, coordinated investigations to obtain prosecutions on violations such as racketeering, drug conspiracy, and firearms violations.
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Dunlap Felon Sentenced to 30 Months in Prison for Possession of a Firearm and AmmunitionRead the Press Release
PEORIA, Ill. – A Dunlap, Illinois man, Donald L. Yarber, 29, was sentenced on December 13, 2023, to 30 months in federal prison to be followed by a 3 year term of supervised release, for possessing a firearm and ammunition as a felon.
At the sentencing hearing before U.S. Senior District Judge Michael M. Mihm, the government provided information that Yarber was the driver of a car stopped by the Peoria Police Department for a traffic violation in July 2023. Police became aware of the unlawful presence of cannabis in the vehicle and, during a search, located a high-capacity magazine loaded with ammunition and a 9mm handgun with an obliterated serial number in the passenger area of the car. While booking Yarber at the county jail, officers located a live round of ammunition in his shoe. The ammunition matched that of the ammunition found in Yarber’s car. Based on further examination, the firearm located in Yarber’s car was found to be associated with two prior shooting incidents, one in Chicago in 2021, and another incident in the City of Peoria four days prior to Yarber’s arrest in July 2023.
Yarber was indicted in July 2023 and pled guilty in August 2023. He has remained in the custody of the United States Marshals Service while his case has been pending.
The statutory penalty for a felon in possession of a firearm is up to 15 years imprisonment, followed by up to 3 years of supervised release.
The Bureau of Alcohol, Tobacco and Firearms and Explosives and the Peoria Police Department investigated the case. Assistant U.S. Attorney Ronald L. Hanna represented the government in the prosecution.
The case against Yarber 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.
Duluth Man Sentenced to 21 Months in Prison for Wire FraudRead the Press Release
MINNEAPOLIS – A Duluth man has been sentenced to 21 months in prison, followed by three years of supervised release for wire fraud, announced U.S. Attorney Andrew M. Luger.
According to court documents, in March 2022, Gale Allen Rachuy, 73, defrauded Victim A (victim), by falsely representing that Rachuy was an attorney who could handle the victim’s legal proceedings. As part of the scheme, Rachuy told the victim that he would be able to get former federal and state court judges to work on the victim’s case. In order to retain the alleged judges, Rachuy would need the victim to pay a retainer fee of $10,000, with the first payment of $2,500 due on March 15, 2022. Rachuy and the victim each signed a retainer agreement, which specified that both judges would be assisting in the victim’s legal representation. On March 15, 2022, the victim paid the $2,500 retainer fee via wire from his account in Fayetteville, Arkansas, to Rachuy’s bank account in Minneapolis. The victim was scheduled to wire another $2,500 installment to Rachuy on April 1, 2022, but became suspicious of Rachuy after not seeing any drafts or filings in his case. After the victim realized that Rachuy was fraudulently representing these services, he ceased making future payments. Despite assuring the victim that the funds would be returned, Rachuy never returned the funds.
Rachuy pleaded guilty on May 10, 2023, to one count of wire fraud. He was sentenced yesterday in U.S. District Court by Judge Joan N. Ericksen.
This case is the result of an investigation conducted by the FBI.
Assistant U.S. Attorneys Chelsea A. Walcker and Harry M. Jacobs prosecuted the case.
District Court Enjoins Massachusetts Pharmaceutical Manufacturer from Making and Selling Adulterated DrugsRead the Press Release
A federal court yesterday enjoined a Massachusetts company from manufacturing and distributing adulterated drugs in violation of the Federal Food, Drug and Cosmetic Act (FDCA).
In a complaint filed on Nov. 17, the United States alleged that Pharmasol Corporation and its president, Marc L. Badia, violated the FDCA at the company’s facility in South Easton, Massachusetts, by manufacturing and distributing adulterated drugs. Pharmasol manufactured and processed prescription and over-the-counter drugs, including Lexette, which is used to treat itching, redness and swelling of skin, and Dexamethasone, which is used to relieve arthritis inflammation. The United States alleged that the company violated the FDCA by failing to notify its customers about defects in its finished products, failing to establish a complaint procedure or corrective action plan despite receiving, within a 12-month period, 533 customer complaints relating to defects in its drug products, and failing to adequately clean and maintain its equipment. According to the complaint, the Food and Drug Administration (FDA) inspected Pharmasol in 2018, 2021 and 2022, and issued the company several warnings, including a warning letter in 2019, regarding its alleged violations. The United States alleged that many of the violations FDA identified in 2022 were repeat violations identified in earlier inspections.
The current good manufacturing practice regulations for drugs mandate that manufacturers control the processes and procedures by which their drugs are manufactured, processed, packed and held, to ensure that the drugs have the identity, strength, quality, purity and other attributes necessary for their safe and effective use. Drugs not made in conformance with current good manufacturing practice regulations are adulterated and in violation of the law.
“Drug manufacturers have a responsibility to comply with requirements designed to ensure drug quality and safety,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will continue to work closely with the FDA and take action against manufacturers who fail to meet this responsibility.”
“When drug manufacturers violate the law and disregard safety standards, they put consumers at significant risk. In this case, the defendant’s company distributed adulterated, poor-quality drugs without regard for patients and consumers,” said Director Jill Furman of the in FDA’s Center for Drug Evaluation and Research's Office of Compliance. “The FDA plays an important role in protecting consumers, and we will continue to work with our federal partners to pursue and bring into compliance those who do not prioritize the health and safety of the American public.”
The company and its president agreed to settle the suit and be bound by a consent decree of permanent injunction. The negotiated consent decree entered by the court permanently enjoins the defendants from violating the FDCA, and requires, among other things, that they stop manufacturing, processing, labeling, holding or distributing adulterated drugs. Further, the company must recall all adulterated prescription drugs that the company manufactured or distributed on or after Feb. 10, 2022.
The government was represented by Senior Litigation Counsel Christina Parascandola of the Civil Division’s Consumer Protection Branch, with the assistance of Margo Badawy of the FDA’s Office of Chief Counsel. The U.S. Attorney’s Office for the District of Massachusetts also provided assistance.
Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch.
The claims resolved by the consent decree announced today are allegations only, and there has been no determination of liability.
Consent DecreeDavenport Men Sentenced to Federal Prison for Their Involvement in a Fentanyl Distribution ConspiracyRead the Press Release
DAVENPORT, Iowa – Two Davenport men were sentenced yesterday related to their involvement in a fentanyl distribution conspiracy.
According to public court documents, Jordan Thomas Hopper, 25, and Austen Michael Thomas, 26, were part of a conspiracy to distribute fentanyl from 2020 to 2022. The fentanyl was pressed into blue pills with “M30” on them (meant to look like prescription Percocet pills). The conspiracy resulted in numerous overdoses.
At sentencing, the Court found Hopper to be responsible for three overdoses caused by the ingestion of pills containing fentanyl. Hopper was sentenced to 420 months in federal prison.
Thomas was not specifically found to be responsible for any overdoses but was also sentenced related to his unlawful possession of a firearm. Thomas was sentenced to 120 months in federal prison.
Others charged as a part of this conspiracy include: Linder Kai Divos, 27 of Davenport, who was sentenced to 14-and-a-half years in federal prison; Kathan Daniel Wiley, 23 of Davenport, who was sentenced to 27 years in federal prison; and Marshall Matthew James Carver, 26 of Davenport, who is pending sentencing.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Davenport Police Department.
Davenport Men Sentenced to Federal Prison for Their Involvement in a Fentanyl Distribution ConspiracyRead the Press Release
DAVENPORT, Iowa – Two Davenport men were sentenced yesterday related to their involvement in a fentanyl distribution conspiracy.
According to public court documents, Jordan Thomas Hopper, 25, and Austen Michael Thomas, 26, were part of a conspiracy to distribute fentanyl from 2020 to 2022. The fentanyl was pressed into blue pills with “M30” on them (meant to look like prescription Percocet pills). The conspiracy resulted in numerous overdoses.
At sentencing, the Court found Hopper to be responsible for three overdoses caused by the ingestion of pills containing fentanyl. Hopper was sentenced to 420 months in federal prison.
Thomas was not specifically found to be responsible for any overdoses but was also sentenced related to his unlawful possession of a firearm. Thomas was sentenced to 120 months in federal prison.
Others charged as a part of this conspiracy include: Linder Kai Divos, 27 of Davenport, who was sentenced to 14-and-a-half years in federal prison; Kathan Daniel Wiley, 23 of Davenport, who was sentenced to 27 years in federal prison; and Marshall Matthew James Carver, 26 of Davenport, who is pending sentencing.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Davenport Police Department.
Davenport Man Sentenced to 15 Years in Prison Related to Child Pornography ChargeRead the Press Release
DAVENPORT, Iowa – A Davenport man was sentenced yesterday to 180 months in federal prison for receiving child pornography.
According to court documents, Jay Eugene Dietz, 35, received and possessed child sexual abuse material on his cell phone while he was housed at the Residential Reentry Center in Davenport. At the time of this offense, Dietz was serving a sentence of imprisonment for a prior federal conviction for receiving child sexual abuse material.
After completing his term of imprisonment, Dietz will be required to serve ten years of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Scott County Sheriff’s Office investigated this case.
This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nation-wide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Dartmouth Woman Charged with Embezzling from EmployerRead the Press Release
BOSTON – A former employee of a Bristol County industrial company was arrested and charged today in connection with a scheme to embezzle more than $280,000 from her employer.
Jasmyne Botelho, 41, was charged with one count of wire fraud. Botelho was arrested this morning and, following an initial appearance in federal court in Boston today, was released on conditions.
According to the charging documents, between September 2017 and April 2020, Botelho stole at least $280,000 from her employer. Botelho allegedly directed payments purportedly intended for the company’s vendors to bank accounts she controlled and used company funds to make payments on personal credit cards and auto loans. To hide her scheme, Botelho allegedly falsified her employer’s books and records to make it appear as though the payments had in fact been sent to legitimate vendors rather than to Botelho.
The charge of wire fraud provides a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Kristen A. Kearney of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Cruise Ship Counselor Charged with Sexually Abusing MinorsRead the Press Release
MIAMI – On Dec. 13, a federal grand jury charged Filipino citizen Cris John Pentinio Castor, 35, by indictment, with two counts of abusive sexual contact with a minor in the special maritime and territorial jurisdiction of the United States.
According to allegations in the indictment and previously filed criminal complaint, and presented at prior hearings, in November 2023, Cris John Pentinio Castor engaged in abusive sexual contact with two six-year-old girls entrusted to the care of the Camp at Sea Youth Center on a Celebrity Silhouette cruise, owned by Royal Caribbean Group, that departed from Port Everglades in Fort Lauderdale, Florida. Castor was working as a Camp at Sea youth counselor at the time of the sexual contact.
An arraignment hearing is scheduled in this matter for tomorrow, Dec. 15. If convicted of the charges contained in the federal indictment, Castor faces up to life in prison.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the charges.
FBI Miami investigated the case with assistance from U.S. Customs and Border Protection (CBP) and Royal Caribbean Group security. Assistant U.S. Attorney Audrey Pence Tomanelli is handling the case.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC 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 the PSC initiative and for information regarding Internet safety, please visit www.justice.gov/psc.
Anyone with information regarding suspected child abuse (to include physical and sexual abuse) is encouraged to call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.
A criminal complaint and an indictment contain allegations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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-mj-06575 and 23-CR-60234.
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Commodities Trading Company Agrees to Pay over $98M to Resolve Foreign Bribery CaseRead the Press Release
Freepoint Commodities LLC (Freepoint), a commodities trading company based in Stamford, Connecticut, has agreed to pay over $98 million to resolve an investigation by the U.S. Justice Department into violations of the Foreign Corrupt Practices Act (FCPA) stemming from the company’s involvement in a corrupt scheme to pay bribes to Brazilian government officials.
Freepoint has also agreed to disgorge more than $7.6 million to the Commodity Futures Trading Commission (CFTC) in a related matter.
“As today’s resolution demonstrates, the Criminal Division remains resolute in our fight against bribery and corruption,” said Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division. “Our dedicated prosecutors are working tirelessly to hold both corporations and culpable individuals to account. Let this case also send a reminder that our policies offer the greatest benefits to companies that are proactive and act with urgency.”
According to court documents, Freepoint entered into a three-year deferred prosecution agreement (DPA) with the department in connection with a criminal information filed in the District of Connecticut. The information charges the company with conspiracy to violate the anti-bribery provision of the FCPA for its scheme to pay bribes to Brazilian government officials to secure business with Brazil’s state-owned and state-controlled oil company, Petróleo Brasileiro S.A. – Petrobras (Petrobras).
“This office and our federal law enforcement partners are keeping a watchful eye on those not only involved in the financial industry, but all U.S. businesses that operate overseas, to ensure that they are complying with our nation’s laws,” said U.S. Attorney Vanessa Roberts Avery for the District of Connecticut. “This hefty financial sanction and deferred prosecution agreement should both serve as a deterrent to illegal conduct in the U.S. and abroad, and as a reminder that the Justice Department incentivizes those who report illegal conduct and work with us to correct wrongdoing.”
Between approximately 2012 and 2018, Freepoint and its co-conspirators paid bribes to Petrobras officials in exchange for confidential information about pricing and bids submitted by Freepoint’s competitors. Freepoint and its co-conspirators concealed the scheme by communicating using code words and encrypted messaging applications, engaging in sham negotiations, and funneling the bribes through an intermediary who used offshore bank accounts and shell companies. Freepoint earned over $30 million in profits in connection with the scheme.
“This case exemplifies the FBI’s relentless fight against corruption and our commitment to holding companies accountable for criminal business practices,” said Assistant Director Michael Nordwall of the FBI’s Criminal Investigative Division. “The FBI, along with our domestic and international partners, will continue to aggressively combat these crimes and work to level the playing field of the global marketplace.”
“This resolution and the indictment of three individuals demonstrate the commitment by the FBI and the Justice Department to holding accountable both corrupt companies and actors — wherever they are — for their illicit business activity,” said Assistant Director in Charge Donald Alway of the FBI Los Angeles Field Office. “Our tireless work with partners around the globe ensures that businesses earn their contracts and that consumers are protected from inflated prices.”
Pursuant to the DPA, Freepoint has agreed to pay a criminal penalty of $68 million and administrative forfeiture in the amount of $30,551,150. Freepoint has also agreed to continue cooperating with the department in any ongoing or future criminal investigation relating to this conduct. The department will credit up to one-third of the criminal penalty against amounts that Freepoint pays to resolve an investigation by law enforcement authorities in Brazil for related conduct. The department will also credit up to 25% of the forfeiture amount against disgorgement that Freepoint pays the CFTC in a related matter.
The department reached this resolution with Freepoint based on a number of factors, including, among others, the nature and seriousness of the offense. Freepoint received credit for its cooperation with the department’s investigation, which included (i) promptly and thoroughly responding to requests by the department by producing and summarizing relevant documents and other information; (ii) engaging in significant efforts to aggregate and analyze complex financial information and trade data for more than 4,000 transactions; (iii) making company officers and employees available for interviews, and arranging separate counsel where appropriate; (iv) providing all relevant facts known to it, including information about the individuals involved in the conduct. However, in the initial phases, Freepoint’s cooperation was limited in degree and impact, and largely reactive.
Freepoint also engaged in remedial measures, including: (i) conducting an analysis of the causes of the underlying conduct and undertaking appropriate remediation to address those root causes and taking additional steps to improve its compliance program, including by retaining an advisory firm to evaluate its third-party compliance program; (ii) overhauling its third-party compliance and risk management program, including through the implementation of enhanced risk-based due diligence, screening, ongoing monitoring and oversight procedures, and the implementation of FCPA training for third-party agents; (iii) reducing the use of third-party intermediaries; (iv) implementing a global agent onboarding and tracking procedure; (v) strengthening its corporate governance and risk management structures, including through the utilization of data and metrics to evaluate risk, enhancing the independence and stature of its compliance function, and hiring additional, experienced compliance personnel; (vi) updating the company’s global anti-bribery and corruption policy to include FCPA red flags; (vii) implementing a process for reporting and investigating allegations of misconduct; and (viii) conducting testing of its third-party compliance program.
In light of these considerations, the criminal penalty calculated under the U.S. Sentencing Guidelines reflects a 15% reduction off the bottom of the applicable guidelines fine range.
The department has recently charged three individuals in relation to Freepoint’s bribery scheme, including:
- Glenn Oztemel, who allegedly worked as a senior oil trader at Freepoint and caused Freepoint to make corrupt payments to an intermediary, which were disguised as purported consulting fees and commissions, and which were used to pay bribes to Petrobras officials.
- Gary Oztemel, the brother of Glenn Oztemel, who allegedly used his company Oil Trade & Transport S.A. to corruptly assist Freepoint in obtaining or retaining business in Brazil.
- Eduardo Innecco, who worked as an agent for Freepoint and received purported consulting fees and commissions that he allegedly used to pay bribes to Petrobras officials on behalf of Freepoint.
The case against Glenn Oztemel, Gary Oztemel, and Eduardo Innecco is pending.
The FBI Los Angeles Field Office is investigating the case, with assistance from the FBI’s International Corruption Unit.
Trial Attorneys Allison L. McGuire and Clayton P. Solomon and Assistant Chiefs Derek J. Ettinger and Jonathan P. Robell of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Michael McGarry for the District of Connecticut are prosecuting the case. The U.S. Attorney’s Office for the Eastern District of New York also provided significant assistance.
The Justice Department’s Office of International Affairs and authorities in Brazil, Latvia, Switzerland, and Uruguay provided assistance in the matter.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
DPA InformationCaptain and Co-Captain Sentenced for Maritime Smuggling Effort That Left Three DeadRead the Press Release
NEWS RELEASE SUMMARY – December 14, 2023
SAN DIEGO – The captain and co-captain of a boat that capsized off Imperial Beach during a 2022 smuggling incident, resulting in the deaths of three people, were sentenced in federal court today to 54 and 50 months in prison, respectively.
Jorge Armando Preciado-Vasquez, the captain, and Alexis Martinez-Preciado, the co-captain and navigator, attempted to smuggle seven adults and an unaccompanied minor from Mexico into the United States over Thanksgiving weekend in 2022.
The victims were a 39-year-old woman and 47-year-old man, both from Mexico; and a still unidentified young woman, believed to be from Guatemala.
According to plea agreements and the government’s sentencing documents, the defendants navigated the open-hull craft from Mexico on the open ocean through the night until they approached Imperial Beach early in the morning on November 26. As they approached the shore, at approximately 6 a.m., the defendants directed all eight people on board to take off their life vests, a common practice so passengers are quicker and more inconspicuous making their way to the shore.
Soon after removing the life jackets, however, the panga boat overturned as shown in the images below. The three victims drowned despite the best efforts of surfers, witnesses and Imperial Beach lifeguards to rescue them.
Two bodies were recovered that morning; the third was discovered on the beach days later.
“This case is a horrible tragedy and three lives were needlessly lost when profiteering overtook caution,” said U. S. Attorney Tara McGrath. “Criminal smuggling organizations consistently disregard the welfare of the human beings they smuggle.”
“Maritime human smuggling is an incredibly dangerous tactic which has claimed numerous lives. However, transnational criminal organizations have no regard for human life and continue to enrich themselves using the tactic,” said Chad Plantz, Special Agent in Charge for Homeland Security Investigations San Diego. “HSI is committed to using all means at our disposal to investigate and hold accountable those placing human beings at substantial risk of injury and death.”
This case is being prosecuted by Assistant U.S. Attorneys Peter Horn and Ronald Sou.
DEFENDANTS Case Number 22-CR-2928-TWR
Jorge Armando Preciado-Vasquez Age: 30 Baja California, Mexico
Alexis Martinez-Preciado Age: 20 Baja California, Mexico
SUMMARY OF CHARGES
Bringing in Aliens for Financial Gain and Aiding and Abetting – Title 8, U.S.C., Section 1324(a)(2)(B)(ii); Title 18, U.S.C., Section 2
Penalties: Mandatory minimum of three years and maximum of ten years in prison, and up to a $250,000 fine
AGENCIES
Homeland Security Investigations – San Diego Marine Task Force
United States Border Patrol
United States Customs and Border Protection
United States Coast Guard
San Diego County Sheriff’s Department
San Diego Harbor Police Department
San Diego County Medical Examiner’s Office
Brooklyn Cardiologist Charged with Health Care Fraud and BriberyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services – Office of the Inspector General (“HHS-OIG”), Erin Keegan, the Acting Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), and Thomas Fattorusso, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced the unsealing of an Indictment today charging NIRANJAN MITTAL, a Brooklyn-based cardiologist, in connection with a scheme to fabricate patient records, pay physicians for patient referrals, and bill for medically unnecessary vascular procedures. The U.S. Attorney’s Office for the Southern District of New York also filed a civil fraud complaint today under the False Claims Act against MITTAL, DIVANSHU BANSAL, who manages MITTAL’s medical practice and supervises staff, and NIRANJAN K. MITTAL, PHYSICIAN, PLLC d/b/a/ CARECUBE, and NEW YORK PET IMAGING CENTER LLC, the entities that own MITTAL’s practice and diagnostic testing facility. MITTAL was presented in federal court before U.S. Magistrate Judge Ona T. Wang. The case is assigned to U.S. District Judge Ronnie Abrams.
U.S. Attorney Damian Williams said: “We put our faith in doctors and trust their expertise. As alleged, Dr. Niranjan Mittal betrayed that trust. He subjected patients to surgical procedures that they did not need. He directed his staff to make up patient symptoms in medical records to justify these unnecessary procedures so he could receive lucrative insurance payments, and he bribed other doctors to send him their patients. Thanks to our law enforcement partners, Mittal now faces criminal prosecution and civil penalties for his alleged conduct.”
HHS-OIG Special Agent in Charge Naomi Gruchacz said: “Health care providers who falsify records and recommend medically unnecessary services to drive up profits pose a significant risk to patients. HHS-OIG will continue to work with our law enforcement partners to hold accountable individuals who, to satisfy their own greed, exploit federal health care programs.”
HSI Acting Special Agent in Charge Erin Keegan said: “Niranjan Mittal is accused of defrauding the government and private insurers of millions of dollars while treating his patients like commodities he could use to further enrich himself. He put profit over patient well-being, convincing individuals who sought his care to undergo potentially unnecessary medical procedures. Through partnerships, such as those established within HSI's Document and Benefits Fraud Task Force, we are actively raising awareness among the public and deterring those who aim to exploit the vulnerable.”
IRS-CI Special Agent in Charge Thomas Fattorusso said: “While Dr. Mittal may have taken the Hippocratic Oath when he became a doctor, the irony is not lost on the hypocrisy of his alleged fraud, where instead of caring for his patients, he cared for himself and lining his own pockets. Mittal’s alleged schemes were devoid of concern for his patients, and his practice to treat certain patients with unnecessary procedures is outright dangerous. Today’s arrest ensures that he will no longer be able to continue his fraud and victimize those who sought legitimate care and treatment.”
According to the Indictment:[1]
Since at least 2016, MITTAL operated a medical clinic in Brooklyn, New York (the “Brooklyn Clinic”), with a patient base consisting of many individuals of limited economic means who were insured by government health care programs. In order to ensure a steady flow of new patients to the Brooklyn Clinic, MITTAL paid rental payments to other providers pursuant to purported “leases” for office space. Often, however, the timing and amount of the payments bore no relation to the terms of those leases. In fact, MITTAL made the purported lease payments to induce other providers to refer patients to MITTAL’s staff members, who, at the direction of MITTAL, periodically traveled to the providers’ offices, performed basic tests on the referred patients, and convinced the patients to attend follow-up appointments at the Brooklyn Clinic.
Once patients arrived at the Brooklyn Clinic, often without understanding why they had been referred to the practice, they underwent a series of diagnostic tests and follow-up office visits. These tests and office visits generally were not based on the patients’ actual treatment needs. Rather, MITTAL and others acting at his direction ordered these tests and office visits to create documentation sufficient to justify subjecting patients to unnecessary peripheral vascular interventional procedures—surgical procedures focused on clearing purported blockages in the blood vessels in patients’ legs. MITTAL directed others to, among other things, fabricate the descriptions of patients’ symptoms recorded in the practice’s office visit notes, varying the symptoms across patients so that it was not apparent that the symptoms were fake.
As a result of MITTAL’s scheme, patients at the Brooklyn Clinic, many of whom were already in poor health, routinely underwent medically unnecessary vascular interventions at MITTAL’s office, with some patients undergoing ten or more interventional procedures over the course of several years. The patients’ conditions often did not improve, despite these repeated interventions. Through his operating entity, MITTAL billed Medicare, Medicaid, and private insurers over $100 million for the relevant vascular procedures.
According to the Civil Complaint: [2]
In addition to fraudulently billing Medicare and Medicaid for medically unnecessary peripheral vascular procedures, fabricating patient records to make it appear these procedures were justified, and paying kickbacks for patient referrals:
MITTAL, BANSAL, and MITTAL’s operating entities billed Medicare and Medicaid for medically unnecessary cardiac diagnostic imaging studies, including but not limited to PET scans, stress tests, echocardiograms, and carotid artery doppler studies. These tests were repeatedly performed on the same patients without any clinical basis and without taking into account the results of prior, duplicative tests. At the direction of MITTAL and BANSAL, staff prepared fabricated medical records to make it appear that patients exhibited symptoms and complaints that would justify performing these tests. The lawsuit seeks to recover treble damages and civil penalties under the False Claims Act.
* * *
MITTAL, 70, of Brooklyn, New York, is charged with one count of conspiracy to commit health care fraud and wire fraud, which carries a maximum sentence of 20 years in prison, one count of health care fraud, which carries a maximum sentence of ten years in prison, one count of conspiracy to violate the Anti-Kickback Statute, which carries a maximum sentence of five years in prison, and one count of violation of the Anti-Kickback Statute, which carries a maximum sentence of 10 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of HHS-OIG, HSI, and IRS-CI.
The criminal case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Patrick R. Moroney and Matthew Weinberg are in charge of the prosecution. The civil lawsuit is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorneys Jeffrey K. Powell and Pierre G. Armand are in charge of the civil case.
The charges contained in the Indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
If you or someone you know has information about the conduct at MITTAL’s cardiology practice, please call the HHS-OIG tip line at 1-800-HHS-TIPS.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
[2] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Bronx Woman Convicted at Trial for Laundering over $2 Million in Funds from Victims of Romance Fraud SchemesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that a jury returned a guilty verdict against NADINE JAZIMNE WADE on all four counts in the Indictment, which contained money laundering and bank fraud charges. The defendant was found guilty following a two-week trial before U.S. District Judge Katherine Polk Failla.
U.S. Attorney Damian Williams said: “Nadine Wade used a sham women’s clothing company as a front to launder over $2 million in fraud proceeds on behalf of scam artists in Nigeria and South Africa. The romance scams perpetrated by Wade’s partners were cruel, targeting vulnerable, elderly men and women and tricking them into transferring their life savings to the defendant, who then took her cut and sent the money to other members of the scheme. Money launderers who assist online scammers abroad will be held accountable for their crimes by this Office.”
According to the Indictment, statements made in public court proceedings and filings, and the evidence at trial:
From in or about 2016 through in or about 2021, co-conspirators of WADE based in Nigeria and South Africa committed a series of romance scams against individuals located across the United States. Those co-conspirators used aliases, including the names “Diego Francisco” and “Richard Francisco” (the “Francisco Alias”), to meet victims on various dating websites. The co-conspirators used online photographs of a male model when providing victims with photos of the Francisco Alias. After engaging in romantic conversations with the victims via phone, text, and email, those co-conspirators, posing as the Francisco Alias, asked victims for money. The reasons why the Francisco Alias needed money varied. In one version of the scheme, the Francisco Alias supposedly worked on an oil rig and needed funds to repair the rig. The Francisco Alias then instructed the victims to transfer funds to bank accounts controlled by WADE and others. The means of transfer also varied. In some cases, for example, the Francisco Alias instructed victims to obtain cashier’s checks made payable to WADE or her shell company and to mail those checks to WADE.
WADE received fraud proceeds from victims of the Francisco Alias in personal bank accounts and business bank accounts for her shell company Royal Treasure Chest LLC, a company purportedly involved in, among other things, the sale of women’s clothing and accessories. Once WADE received fraud proceeds, she rapidly depleted her bank accounts of those funds through cash withdrawals, cashier’s checks, and the purchase of vehicles, among other means. After taking her own cut of the money, WADE transferred the bulk of the funds to other members of the scheme.
From in or about 2016 through in or about 2021, WADE controlled more than 18 bank accounts that had deposits totaling over $2 million. Most of those deposits consisted of wire transfers and check or cash deposits from U.S.-based individuals who were victims of the romance fraud scam described above.
* * *
NADINE JAZMINE WADE, 30, of the Bronx, New York, was convicted of one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison; one count of money laundering, which carries a maximum sentence of 20 years in prison; one count of conspiracy to commit bank fraud, which carries a maximum sentence of 30 years in prison; and one count of bank fraud, which carries a maximum sentence of 30 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by a judge.
Mr. Williams praised the outstanding work of the U.S. Secret Service and the Internal Revenue Service – Criminal Investigation for their assistance in this investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorneys Micah F. Fergenson, Matthew J. King, and Dina McLeod are in charge of the prosecution, with assistance from Paralegal Specialist Jayda Foote.
Bridgeport Man Who Trafficked Cocaine Sentenced to 70 Months in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that LUIS CEPEDA, also known as “Doogie,” 35, of Bridgeport, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to 70 months of imprisonment, followed by three years of supervised release, for trafficking cocaine.
According to court documents and statements made in court, an investigation by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force and the Connecticut State Police determined that a drug trafficking organization headed by Landdy Rodriguez, also known as “Oso,” was obtaining kilogram-quantities of cocaine through the U.S. Mail from Puerto Rico. In the summer of 2021, investigators also intercepted phone calls during which Reinaldo Colon Oliveras, while incarcerated in a federal prison in Atlanta and using a smuggled cell phone, arranging the shipment of cocaine to Rodriguez and his associate, Thomas Marra. Rodriguez and Marra further distributed the drug to a network of associates.
During the investigation, Rodriguez also directed his cousin, Jaime Rodriguez, to deliver to him five kilograms of cocaine from Florida. Landdy Rodriguez was also supplied with cocaine from Salvador Crespo, who ran an underground bar in Bridgeport.
The investigation further revealed that Landdy Rodriguez facilitated multiple transactions of fentanyl.
On August 27, 2021, Cepeda purchased 400 grams of cocaine from Landdy Rodriguez and Crespo.
Cepeda was arrested on October 26, 2021. A search of Cepeda’s residence on that date revealed approximately 210 grams of cocaine and 84 grams of crack cocaine.
Cepeda has been detained since his arrest. On December 15, 2022, he pleaded guilty to conspiracy to distribute and to possess with intent to distribute cocaine.
Landdy Rodriguez, Colon, Marra, Jaime Rodriguez, and Crespo pleaded guilty to related charges and have been sentenced.
This investigation was conducted by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force, and the Connecticut State Police, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Federal Bureau of Investigation, and the Waterbury Police Department. The Task Force includes personnel from the DEA Bridgeport Resident Office, the Connecticut State Police, and the Bridgeport, Danbury, Milford, Norwalk, Stamford and Stratford Police Departments.
This case was prosecuted by Assistant U.S. Attorneys Kenneth L. Gresham, John T. Pierpont, Jr., and Brendan J. Keefe 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.
Attorney General Merrick B. Garland Statement on the Planned Departure of Associate Attorney General Vanita GuptaRead the Press Release
The Justice Department issued the following statement from Attorney General Merrick B. Garland on the planned departure of Associate Attorney General Vanita Gupta at the start of February:
“I am deeply grateful to Vanita for her extraordinary service as Associate Attorney General. Vanita’s commitment to the pursuit of justice, and her relentless focus on bringing people together to find common ground, has made her an incredibly effective leader in dealing with some of the most complex challenges facing the American people. She has distinguished herself as the kind of leader who is also a partner to the career and non-career employees who work for her, to the stakeholders the Department works with, and to the public we all work for.
As a trusted advisor and key member of the Department’s leadership team charged with overseeing all of our civil litigating components and grantmaking entities, Vanita has played an essential role in our work to fulfill DOJ’s mission to uphold the rule of law, keep our country safe, and protect civil rights. Among her many accomplishments during her tenure, Vanita stood up and has led the Department’s Reproductive Rights Taskforce to defend the reproductive freedoms that are protected by federal law. She has played an integral role in our efforts to combat violent crime and gun violence and to support the victims of crime. She has facilitated the Department’s efforts to advance a criminal justice system that keeps people safe and reflects our values. And across the components under her leadership — from the Antitrust Division to the Environment and Natural Resources Division — she has prioritized work that centers its impact on people.
We at the Justice Department will dearly miss our colleague and friend, but I am confident that her enormous contributions to the Department will continue to be felt long after her departure.”
Asheville Man Convicted of Bank Fraud Involving the Purchase of Short-Term Rental Properties and Illegal Firearms Possession Is Sentenced to More Than Seven Years in PrisonRead the Press Release
ASHEVILLE, N.C. – Shawn Thomas Johnson, 38, of Asheville, was sentenced today to 92 months in prison followed by three years of supervised release for bank fraud and possession of a firearm by a felon, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition, U.S. District Judge Martin Reidinger imposed a $2.77 million asset forfeiture judgement against Johnson.
According to information contained in filed court documents and court proceedings, from 2012 to 2019, Johnson executed a bank fraud scheme involving the purchase of short term rental properties in Buncombe County. Court records show that Johnson acquired the loans to purchase the properties by submitting applications that contained false and fraudulent information, including falsely claiming that the homes would be used as primary residences, providing false statements related to his income and employment, and omitting important information about pending lawsuits and the source of funds used as down-payments. Contrary to claims Johnson made on the loan applications, once he purchased the properties, Johnson used them as short-term rentals and listed them on online platforms such as Airbnb, Homeaway, and VRBO. Johnson rented the properties knowing that local laws, ordinances, and zoning regulations in Buncombe County prohibited the use of many of these homes as short-term rentals.
According to court documents, Johnson also recruited other individuals to obtain mortgage loans based on false and fraudulent information to purchase homes that Johnson would then list as short-term rentals and share the proceeds. During the course of the scheme, Johnson and his co-conspirators closed on at least 16 loans from financial institutions totaling over $3.5 million to purchase real estate.
According to court records, in November 2021, Johnson traveled from Western North Carolina to Utah. While there, Johnson visited a gun club where Johnson rented a firearm and shot several boxes of ammunition he purchased from the club’s store. Johnson has two prior convictions for manufacturing and uttering counterfeit United States currency and he is prohibited from possessing a firearm or ammunition. In order to rent the gun, court documents indicate that Johnson lied on the gun club’s rental agreement, falsely certifying that he was not prohibited from possessing a firearm.
Johnson pleaded guilty to bank fraud and felon in possession of a firearm and ammunition charges. He will be ordered to report to the federal Bureau of Prisons to begin serving his sentence upon designation of a federal facility.
In making the announcement, U.S. Attorney King thanked the U.S. Department of Housing and Urban Development, Office of Inspector General, the Federal Housing Finance Agency, Office of Inspector General, and the U.S. Marshal’s Service in the Western District of North Carolina for their investigation of the case.
Assistant U.S. Attorney Don Gast with the U.S. Attorney’s Office in Asheville prosecuted the case.
85-Year Old D.C. Man Charged with Killing His 81-Year-Old WifeRead the Press Release
WASHINGTON – Steven Schwartz, 85, of Washington, D.C., was arrested earlier today on the charge of second-degree murder while armed in the stabbing death of his 81-year-old wife, Sharron Schwartz, on December 10, 2023, at their D.C. home, U.S. Attorney Matthew M. Graves announced.
Defendant Schwartz was arraigned today in D.C. Superior Court, via video appearance, where he entered a plea of not guilty. The Honorable Magistrate Judge Sherry Trafford found probable cause that the defendant committed the murder and held him without bond pending his preliminary hearing on January 2, 2024, at 9:30 a.m., before Judge Demeo in Courtroom 303.
In announcing the arrest, U.S. Attorney Graves commended the work of those investigating the case from the Metropolitan Police Department (MPD) and Assistant United States Attorney Nebiyu Feleke for his efforts in prosecuting this case.
An arrest on a complaint is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
Wednesday 13 December 2023
Worland man arraigned for unlawful possession of machineguns and an unregistered short-barreled rifleRead the Press Release
Steven Shobert, 48, of Worland, Wyoming, was arraigned on Dec. 12 for unlawful possession of machineguns and possession of an unregistered short-barreled rifle. Shobert pleaded not guilty. A trial has been set for Feb. 15, 2024, before Chief U.S. District Court Judge Scott W. Skavdahl.
Shobert was detained at the request of the government and remanded to the custody of the U.S. Marshals Service. If convicted, Shobert faces up to 20 years’ imprisonment with three years of supervised release and up to a $500,000 fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This crime is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the case is being prosecuted by Assistant U.S. Attorney Jonathan C. Coppom.
An indictment merely contains allegations, and every defendant is presumed innocent unless and until proven guilty.
Case No. 23-CR-00153
Washington man sentenced to 35 years after traveling across country to have sex with childRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Marysville, Washington man has been sentenced to 35 years in federal prison for traveling to West Virginia to have sex with a child.
Nathaniel James Davis, age 34, was sentenced today by Chief Judge Thomas Kleeh after having previously pled guilty to interstate travel with intent to engage in sexual act with a minor, and commission of a felony offense involving a minor by a sex offender. According to court documents and statements made in court, Davis, a registered sex offender, began an online relationship with a 13-year-old from Barbour County. Davis then traveled from Washington state to West Virginia to meet with the child for sex but was intercepted by law enforcement.
Davis was required to register as a sex offender because of his conviction for communication with a minor for sexual contact and child pornography charges in Whatcom County Superior Court in Bellingham, Washington in 2016.
In a separate case, Maurice Monroe Cato, III, age 49, of Gerrardstown, West Virginia, was sentenced to 10 years for possession of child pornography. According to court documents and statements made in court, Cato was posting and sharing child pornography. A search of Cato’s phone revealed more than 600 images along with videos of minors, including children under the age of five. U.S. District Judge Gina M. Groh presided over the hearing.
Assistant U.S. Attorney Stephen Warner prosecuted the Davis case, and Assistant U.S. Attorney Kimberley Crockett prosecuted the Cato case.
The West Virginia State Police investigated both cases.
Virginia Man Sentenced to 20 Years for Distributing Child PornographyRead the Press Release
WACO – A Virginia man was sentenced in federal court today to 20 years in prison for distribution of sexual abuse material involving a minor.
On November 9, 2021, Daniel Price, 37, of Galax, VA., was charged with two counts of knowingly distributing and attempting to distribute visual depictions of a minor engaging in sexually explicit conduct. On August 29, 2023, Price pleaded guilty to both charges in federal court.
According to court documents, in February 2021, a mother contacted the Waco Police Department and related her 11-year-old’s phone contained sexually explicit images and messages between her child and Price. Investigation determined Price coerced the child to send sexually explicit photos and videos. Price also sent images of his genitalia to the victim.
In addition to his prison sentence, U.S. District Judge Alan Albright ordered Price to pay $3,000 in restitution to his victim and to serve a lifetime of supervised release after he serves his prison term.
“As this case demonstrates, those intent on harming our children don’t have to live in close proximity to their victims,” said U.S. Attorney Jaime Esparza. “Price was over a thousand miles away from this minor when he perpetrated this crime. I applaud the victim’s mother for bringing these crimes to the Waco Police Department’s attention. As a community we all need to be vigilant in protecting our children from predators such as Price.”
The Waco Police Department investigated the case.
Assistant U.S. Attorney Gregory S. Gloff prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Vestavia Man Sentenced to 24 Years in Prison on Child Pornography ChargesRead the Press Release
BIRMINGHAM, Ala. – A Vestavia man was sentenced today on child pornography charges, announced U.S. Attorney Prim F. Escalona and FBI Special Agent in Charge Carlton L. Peeples.
U.S. District Court Judge R. David Proctor sentenced Eugene Douglas Reid, III, 48, to 288 months in prison followed by 20 years supervised release for distribution and transportation of child pornography. Reid was convicted of these charges at trial in August.
In 2020, FBI Milwaukee, in collaboration with the Winnebago County Sheriff’s Office, was investigating numerous groups of individuals engaged in the receipt, possession, distribution and possible production of child sexual abuse material through a proactive operation. As part of the FBI’s operation, online covert employees documented these illegal activities and forwarded the documentation for further investigation to the appropriate FBI field office. The evidence at trial established that Reid had distributed and transported numerous videos and images of child sexual abuse material on the Kik messaging application in various private groups during the first half of 2020. In addition to the evidence collected by undercover law enforcement, Kik’s parent company, MediaLab, and the National Center for Missing and Exploited Children also provided evidence of further illegal activity under Kik usernames associated with Reid.
“Today’s sentence is the result of the collaborative work by our law enforcement partners in Alabama and Wisconsin to protect victims of child exploitation,” U.S. Attorney Escalona said. “I encourage anyone who may have information about possible child sexual exploitation, including posts on social media, to report it to the NCMEC at CyberTipline.org or by calling 1-800-THE-LOST.”
“Individuals who engage in the distribution and production of child pornography must be held accountable for their heinous actions. That is why the FBI, along with our local, state, and federal partners will stop at nothing to ensure these individuals and groups are brought to justice,” said SAC Peeples. This sentence just reconfirms the FBI’s commitment to stopping child predators and shutting down the online networks that produce child sexual abuse material.”
The FBI Birmingham's Child Exploitation Human Trafficking Task Force investigated the case with the assistance of FBI Milwaukee Division, Winnebago County Sheriff’s Office, Vestavia Hills Police Department, Jefferson County Sheriff’s Office, and the Alabama Law Enforcement Agency. Assistant U.S. Attorneys Kristen S. Osborne and R. Leann White prosecuted the case.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 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, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Ventura County Man Arrested for Armed Robbery of Food VendorRead the Press Release
LOS ANGELES – A Ventura County man is now in federal custody after being named in a criminal complaint that specifically charges him with using a gun to rob a food truck in Oxnard and alleges that he committed four other armed robberies.
Oscar Silva, 30, of Oxnard, was transferred to federal custody Tuesday after he was arrested on local charges on December 7. The federal case charges Silva with Hobbs Act robbery, a crime that carries a statutory maximum sentence of 20 years in federal prison.
Silva made his initial appearance Tuesday afternoon in United States District Court, where he was ordered detained and was directed to appear for an arraignment on January 22.
According to an affidavit filed last week with the federal complaint, Silva committed a series of five armed robberies between November 6 and November 23 in Oxnard and Ventura. Silva allegedly robbed two street food vendors, a smoke shop, and a convenience store in Oxnard. Silva also allegedly robbed a female pedestrian near Mission Park in downtown Ventura, taking her purse and credits cards. Silva later used credit and debit cards stolen from the female pedestrian’s purse to purchase items worth several hundred dollars, the complaint alleges. Silva allegedly brandished a firearm and threatened his victims during each of the robberies.
A criminal complaint contained allegations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The investigation into Silva is being conducted by the Ventura County Violent Crime Task Force, which includes the FBI, the Oxnard Police Department, the Ventura County Sheriff’s Office, and the Ventura Police Department.
Assistant United States Attorney Lyndsi C. Allsop of the Violent and Organized Crime Section is prosecuting this case.
Venezuelan National Carlos Orense Azocar Convicted After Trial on Drug Trafficking and Weapons ChargesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Anne Milgram, the Administrator of the U.S. Drug Enforcement Administration (“DEA”), announced that a jury returned a guilty verdict against CARLOS ORENSE AZOCAR yesterday on all three counts in the Indictment, which contained cocaine-importation and weapons charges. The defendant was found guilty following a two-week trial before U.S. District Judge Vernon S. Broderick.
U.S. Attorney Damian Williams said: “For more than a decade, Carlos Orense Azocar worked with some of the largest narcotics traffickers in the world to send tons of cocaine to the United States. He partnered with corrupt high-ranking government and military officials in Venezuela and employed an arsenal of high-powered weapons to protect his cocaine distribution organization. For years, Orense Azocar shipped mountains of poison to this country and made millions of dollars in drug money. But no more. A jury in this district has unanimously held Orense Azocar responsible for his crimes, and now he will face a possible life sentence behind bars.”
DEA Administrator Anne Milgram said: “Orense Azocar and his drug trafficking organization used every means available, including high-powered weaponry, government corruption, and bribery, to safeguard his expansive operation and traffic hundreds of tons of cocaine into the United States. Today’s verdict is another example of the dangerous and vital work DEA does every day across the globe and our relentless pursuit of justice for those responsible for causing harm to the American people.”
As reflected in the Indictment, public filings, and the evidence presented at trial:
Beginning in or about 2003, ORENSE AZOCAR and his drug trafficking organization distributed tons of cocaine destined for importation into the United States. ORENSE AZOCAR helped transport, receive, and distribute loads of cocaine ranging from hundreds to thousands of kilograms from Venezuela to Mexico, the Dominican Republic, and elsewhere, using air and maritime routes. ORENSE AZOCAR operated fincas, or ranches, in Venezuela, where he stored his cocaine in underground tanks, stored hundreds of deadly weapons and thousands of rounds of ammunition, and which had clandestine landing strips from which he dispatched airplanes loaded with cocaine. ORENSE AZOCAR also loaded cocaine on “go-fast” boats that sped from the Venezuelan coastline to intermediate delivery points in the Caribbean, including the Dominican Republic and close to Puerto Rico. To aid in his cocaine distribution, ORENSE AZOCAR worked with and paid bribes to high-ranking officials throughout the Venezuelan government, including military generals and army officials, national police commissioners, and high-ranking officials in the Venezuelan intelligence agencies. ORENSE AZOCAR’s corrupt Venezuelan government connections secured access to military-grade weaponry, protection from military and law enforcement raids, safe passage for ORENSE AZOCAR’s cocaine convoys through checkpoints, and fraudulent airplane transponder codes to permit ORENSE AZOCAR’s cocaine-laden aircraft to freely depart Venezuela en route to Central America and Mexico. ORENSE AZOCAR similarly partnered with armed guerilla forces operating in Colombia and Venezuela to source cocaine and secure safe passage for his cocaine shipments. ORENSE AZOCAR distributed hundreds of tons of cocaine and made tens of millions of dollars through his narcotics trafficking.
To protect and expand his cocaine trafficking organization, ORENSE AZOCAR employed high-powered weaponry. He had armed security teams that guarded his finca; traveled in armored vehicles with armed security; and used armed security, military forces, and police to protect his convoys of cocaine. Among other weapons, ORENSE AZOCAR employed automatic rifles, submachine guns, handguns modified to operate as machine guns, and a 50-caliber mounted machine gun.
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ORENSE AZOCAR, 68, of Venezuela, was convicted on three counts: (i) conspiring to import cocaine into the United States, which carries a mandatory minimum sentence of 10 years in prison and a maximum potential sentence of life in prison; (ii) using and carrying machine guns during, and possessing machine guns in furtherance of, the cocaine-importation conspiracy, which carries a mandatory consecutive minimum sentence of 30 years in prison and maximum potential sentence of life in prison; and (iii) conspiring to use and carry machine guns during, and to possess machine guns in furtherance of, the cocaine-importation conspiracy, which carries a maximum potential sentence of life in prison.
The minimum and maximum potential sentences are prescribed by Congress and are provided here for information purposes only, as any sentencing of the defendant will be determined by the judge.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (“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.
Mr. Williams praised the outstanding efforts of the DEA’s Special Operations Division Bilateral Investigations Unit, OCDETF New York Strike Force, and SDNY Digital Forensics Unit, as well as the U.S. Department of Justice’s Office of International Affairs.
This case is being handled by the Office’s National Security and International Narcotics Unit. Assistant U.S. Attorneys Kaylan E. Lasky, Michael D. Lockard, and Kevin Sullivan are in charge of the prosecution, with assistance from Paralegal Specialist William Sirmon.
Two Additional Defendants Charged in $26 Million Real Estate ScamRead the Press Release
Two more defendants have been charged for scamming Chinese investors out of more than $26 million, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Stephen Wall, 65, and Saskya Bedoya, 42, were charged in a superseding indictment filed this week with one count of conspiracy to commit wire fraud and one count of securities fraud. They are scheduled to make their initial appearances before U.S. Magistrate Judge Rebecca Rutherford on December 22, 2023.
According to the indictment, Mr. Wall and Ms. Bedoya conspired with Timothy Lynch Barton to market real estate investment opportunities in Texas to Chinese investors.
During presentations – which highlighted Mr. Barton’s supposed ties to U.S. politicians – Mr. Barton and Mr. Wall allegedly claimed that the properties in question were located in sought-after neighborhoods in the Dallas Fort Worth Metroplex. Mr. Wall was introduced as a builder who would purchase lots to build on to sell to future home buyers.
Investors were promised annual interest payments for two years, followed by the return of their initial investment at the end of the second year. It was alleged that the investors would contribute 80 percent of the funds necessary for the project, and Mr. Barton and Mr. Wall would contribute the remaining 20 percent. It was also represented that no commissions would be paid out of investor funds.
In loan agreements signed by the investors, the cost of each property was inflated by as much as 195 percent, and in some instances, never actually purchased the property. Early investors were allegedly paid interest payments with investor funds from later projects.
Contrary to loan agreements, the defendants allegedly paid commissions out of investors’ funds, and even funneled investors’ money into unrelated projects. Still other funds were used to pay consultants or even to pay an unrelated company’s AmEx bill. According to the indictment, investors lost more than $26,000,000 to the scheme.
An indictment is merely an allegation of criminal conduct, not evidence. The defendants are presumed innocent unless proven guilty in a court of law.
If convicted, each defendant faces up to 20 years in federal prison for conspiracy to commit wire fraud and up to 20 years in federal prison for securities fraud.
Defendant, Mark Adams, 61, previously pled guilty in September 2022 to conspiracy to commit wire fraud in connection with the scheme. Additionally, codefendant, Haoqiang Fu a/k/a Michael Fu, 49, pled guilty in October 2022 to the sale of unregistered securities. Both are scheduled to be sentenced on February 21, 2024, and face up to five years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorney Renee Hunter is prosecuting the case.
Tuscaloosa Man Sentenced to Seven Years in Prison for Illegally Possessing a Firearm as a Convicted FelonRead the Press Release
MOBILE, AL – A Tuscaloosa man was sentenced to 84 months in prison for illegally possessing a firearm as a convicted felon.
According to court documents, Jamaris Jontuan Hogan, 36, was arrested by Moundville Police Department officers on March 1, 2022, for an outstanding domestic-violence warrant. When officers encountered Hogan at an apartment complex in Moundville, he had just stepped out of his still running car, locked it, and walked away from it as police approached. Officers smelled the odor of marijuana emanating from the car and searched it, finding a loaded and stolen .380 caliber pistol, 198 grams of marijuana, clear plastic baggies, a digital scale, and a glass jar containing marijuana residue. Hogan admitted that he had a gun in the car. At the time he possessed the gun, Hogan was on parole for eight prior felony convictions in Oakland County, Michigan, including offenses involving illegal possession of firearms, drug distribution, and theft. Hogan’s prior felony convictions rendered his possession of firearms illegal under federal law.
In addition to the 84-month prison sentence, United States District Judge Terry F. Moorer ordered Hogan to serve a three-year term of supervised release upon his release from prison, during which time he will undergo drug testing and treatment. The court did not impose a fine, but Judge Moorer ordered Hogan to pay $100 in special assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Moundville Police Department investigated the case.
Assistant U.S. Attorney Justin Roller prosecuted the case on behalf of the United States.
Texas Man on Supervised Release Sentenced to Federal Prison for Armed Bank Robbery in IrmoRead the Press Release
COLUMBIA, S.C. — Deveon Nathaniel Gibbs, 29, of Houston, Texas, was sentenced to 92 months in federal prison after pleading guilty to committing armed bank robbery. He was sentenced to an additional term of 24 months in federal prison for violations of his supervised release.
Evidence presented to the court showed that Gibbs, who was on supervised release for a prior federal bank robbery conviction in Texas, along with a coconspirator, pepper sprayed ATM technicians as they serviced an ATM at First Citizens Bank at 949 Lake Murray Blvd. in Irmo on Aug. 19, 2022. Witnesses provided statements that they believed Gibbs was armed at the time of the robbery. Additional evidence showed that Gibbs and his coconspirator fled to a nearby apartment complex where they entered a vehicle and ultimately drove to Texas.
Gibbs and his coconspirator stole over $77,000 before fleeing the scene. Law enforcement was able to recover approximately $55,000 along Gibbs’ flight path and clothing that contained Gibbs’ DNA.
Gibbs was detained without bond and pleaded guilty to the single-count indictment. United States District Judge Cameron Currie sentenced Gibbs to 92 months in federal prison to be followed by a five-year term of court-ordered supervision for the Aug. 2022 armed bank robbery. Gibbs was also sentenced to an additional 24 months of imprisonment to run consecutively for his violations of the terms of his supervised release. There is no parole in the federal system.
Gibbs’ criminal history includes prior state convictions for theft and burglary, as well as a prior federal conviction for bank robbery.
The case was investigated by the Federal Bureau of Investigation and Irmo Police Department. Assistant U.S. Attorney Elle E. Klein prosecuted the case.
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Texas Man Sentenced for Methamphetamine Distribution ConspiracyRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced today that ELIAS SALAS, age 19, from Edinburgh, Texas, was sentenced on December 12, 2023 by U.S. District Judge Wendy B. Vitter to 108 months incarceration after previously pleading guilty to conspiracy to distribute and possess with intent to distribute 500 grams or more of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 846. Judge Vitter ordered that SALAS be placed on supervised release for five (5) years following release from imprisonment and pay a mandatory $100 special assessment fee.
According to the indictment, in March of 2023, SALAS knowingly conspired and agreed with others to pick up a bag he knew contained over 9 kilograms of pure methamphetamine in Dallas, Texas, and then work with others to transport the bag of narcotics from Texas to Kenner, Louisiana.
This effort is part of an Organized Crime Drug Enforcement Task Force (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 http://www.justice.gov/OCDETF.
United States Attorney Evans praised the work of the federal Drug Enforcement Administration and the Kenner Police Department. The prosecution is being handled by Assistant United States Attorney Stuart Theriot of the Narcotics Unit.
Texas Man Pleads Guilty to Threatening Doctor Affiliated with the National LGBTQIA+ Health Education CenterRead the Press Release
BOSTON – A Texas man pleaded guilty today in federal court in Boston to threatening a Boston doctor who provided care for members of the transgender community.
Matthew Jordan Lindner, 39, of Comfort, Texas, pleaded guilty to one count of interstate transmission of threatening communication. Senior U.S. District Judge William G. Young scheduled sentencing for Feb. 6, 2024. Lindner was arrested in Texas and charged on Dec. 2, 2022. He was subsequently indicted by a federal grand jury in Boston on Dec. 15, 2022.
In August 2022, inaccurate information spread online regarding procedures doctors at Boston Children’s Hospital were performing for gender nonconforming children. On Aug. 31, 2022, in the midst of social media vitriol directed at health care providers who serve transgender patients, Lindner called the Boston-based National LGBTQIA+ Health Education Center and left a threatening voicemail targeting one of the Center’s affiliated doctors. In that voicemail, Lindner said: “You sick motherf*****s, you’re all gonna burn. There’s a group of people on their way to handle [victim]. You signed your own warrant, lady. Castrating our children. You’ve woken up enough people. And upset enough of us. And you signed your own ticket. Sleep well, you f****** c***.”
“Doctors who serve pediatric patients, including the victim in this case and staff at Boston Children’s Hospital, have dedicated their professional lives to treating children. They should be celebrated for their contributions to so many in their time of need. Instead, this defendant threatened a doctor with violence just for doing her job. This conduct is deplorable and sends a chill through the medical community,” said Acting United States Attorney Joshua S. Levy. “Hate and bigotry have no place in Massachusetts. Our office will stop at no end to protect the safety of all members of our community. We will continue to do all that we can to ensure individuals who engage in such behavior are identified, prosecuted and held accountable.”
“There is no way to undo the damage Matthew Lindner did to this physician, with his hateful, repulsive, and threatening behavior,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “No one should have to live in fear of violence because of who they are, what kind of work they do, or what they believe. This case, sadly, is just one example of the FBI’s ongoing commitment to bring to justice anyone who violates federal law, including those who threaten violence.”
After leaving the threatening voicemail, Lindner continued to try to contact the victim. To that end, he called the victim’s former medical practice and a university where the victim was a faculty member.
The charge of interstate transmission of threatening communication provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorneys Brian A. Fogerty and K. Nathaniel Yeager of the Criminal Division are prosecuting the case.
Tampa Man Pleads Guilty to Three Robberies, Brandishing and Discharging A FirearmRead the Press Release
Tampa, FL - United States Attorney Roger B. Handberg announces that Donald Robert Smith (29, Tampa) has pleaded guilty to three separate Hobbs Act robberies, brandishing a firearm during and in relation to one of the robberies, and discharging a firearm during and in relation to another of the robberies. Smith faces up to 20 years in federal prison for the robbery offenses: a minimum mandatory sentence of 7 years, up to life, for brandishing the firearm; and a minimum of 10 years, up to life, for discharging the firearm. The latter two penalties are to run consecutive to any other term of imprisonment. Smith has also agreed to forfeit the firearm and ammunition traceable to the offense. A sentencing date has not yet been set.
According to court documents, on August 1, 2022, Smith robbed a Tampa business utilizing a firearm and pointing it at business employees. Two days later, Smith robbed another Tampa business by pointing a firearm at the cashier and demanding money. During the investigation into the first two robberies, a search warrant for Smith’s vehicle was obtained and executed. Inside the vehicle, ATF agents located a Taurus 9mm handgun. This firearm was then linked by a shell casing to another robbery on August 1, 2022. In this robbery, Smith approached an individual as he was turning in his work truck for the night. Smith approached the victim and demanded his wallet. As Smith walked away, he discharged the firearm.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Samantha Newman. The forfeiture is being handled by Assistant United States Attorney James Muench.
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.
Syracuse Man Pleads Guilty to Possession with Intent to Distribute MethamphetamineRead the Press Release
UTICA, NEW YORK – Javier Bachiller, age 32, of Syracuse, New York, pled guilty today to possession with intent to distribute methamphetamine, announced United States Attorney Carla Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division.
Bachiller admitted that on October 19, 2023, he possessed with intent to distribute 500 grams or more of methamphetamine in a Syracuse garage he was renting.
Sentencing is scheduled for April 11, 2024, in front of United States District Judge David N. Hurd. Bachiller faces a minimum of 10 years in prison, a maximum of life in prison, a fine of up to $10 million, and a term of supervised release of at least 5 years and up to life.
This case is being investigated by the DEA, with assistance from the Onondaga County District Attorney’s Office, the Syracuse Police Department, the Onondaga County Sheriff’s Office, and the New York State Police. Assistant U.S. Attorney Geoffrey J. L. Brown is prosecuting this case.
Stockton Man Sentenced to 10 Years in Prison for Heroin and Fentanyl TraffickingRead the Press Release
SACRAMENTO, Calif. — Frank Jonathan Guzman, 31, of Stockton, was sentenced Tuesday to 10 years in prison for conspiracy to distribute heroin and fentanyl and possession with intent to distribute heroin and fentanyl, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between November 2018 and December 2019, Guzman and co‑defendant Jose Cruz Ivan Aispuro, 38, of Stockton, conspired to distribute and possess with intent to distribute at least 1 kilogram of heroin and at least 400 grams of counterfeit pharmaceutical pills containing fentanyl. As part of this conspiracy, on three occasions Guzman sold heroin to an undercover agent and another person and also sold 500 counterfeit oxycodone pills containing fentanyl to the undercover agent. Agents executed a search warrant at Guzman’s residence in Stockton and seized approximately 10,000 counterfeit oxycodone pills containing fentanyl and 2.8 kilograms of heroin.
This case is the product of an investigation by the Drug Enforcement Administration with assistance from the U.S. Marshals Service and the San Joaquin Metropolitan Drug Task Force. Assistant U.S. Attorney David W. Spencer is prosecuting the case.
On Sept. 26, 2023, Aispuro pleaded guilty to conspiracy to distribute heroin and fentanyl and distribution of fentanyl. Aispuro is scheduled to be sentenced by U.S. District Judge John A. Mendez on Jan. 9, 2024.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF.
State Revocation Warrant Leads to Federal Gun Charges for Carroll Plantation ManRead the Press Release
BANGOR, Maine: A Carroll Plantation man pleaded guilty today in U.S. District Court in Bangor to being a felon in possession of a firearm.
According to court records, in November 2022, a Maine State Police trooper arrested Jason Levasseur, 47, for a state probation revocation after recognizing Levasseur’s pickup truck at a gas station in Danforth. The trooper ordered Levasseur to get on the ground and restrained him. The trooper removed a sheathed knife from Levasseur’s belt and asked whether he was carrying a gun. Levasseur indicated there was a firearm in the truck, and the officer retrieved a .458-caliber rifle wrapped in a blanket from the backseat. The rifle had two rounds in the magazine and one round in the chamber.
Levasseur is precluded from possessing firearms due to previous convictions in May and July 2022. He has three prior state convictions for illegal possession of a firearm.
Levasseur faces up to 15 years in prison, a fine up to $250,000 and up to three years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Maine State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
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St. Louis Felon Sentenced to 15 Years in Prison After Being Caught with a GunRead the Press Release
ST. LOUIS – U.S. District Judge John A. Ross on Wednesday sentenced a convicted felon from St. Louis, Missouri to 15 years in prison after he was caught with a handgun.
Doctavious Pegues, 39, pleaded guilty in September to being a felon in possession of a firearm. He admitted that on Oct. 7, 2021, St. Louis Metropolitan Police Department officers responded to reports of a domestic disturbance in the 3700 block of Phillips Place. They were speaking with Pegues’ girlfriend when multiple gunshots were fired in a nearby gangway.
Police found Pegues hiding in a bedroom closet at his aunt’s house in the 3600 block of Winnebago, one block away. Officers found a Canik 9mm semiautomatic pistol on the landing of the home’s rear stairwell and multiple spent 9mm cartridge casings in the gangway. Pegues’ fingerprint was found on the pistol.
The St. Louis Metropolitan Police Department investigated the case. Assistant U.S. Attorney Matthew Martin is prosecuting the case.
Southwest Georgia Men Sentenced in Gang-Related Drug Trafficking CaseRead the Press Release
ALBANY, Ga. – Two members of the Gangster Disciples street gang who are career offenders were sentenced to prison resulting from a GBI-led investigation into armed drug trafficking.
Jason Patterson, 44, of Americus, Georgia, and Quintavious Miller, 28, of Ellaville, Georgia, were sentenced as career offenders by U.S. District Judge Leslie Gardner on Dec. 12. Patterson was sentenced to 96 months in prison and Miller was sentenced to 60 months in prison, both terms of imprisonment to be followed by three years of supervised release. Both defendants pleaded guilty to possession with intent to distribute cocaine on Aug. 2. The defendants are not eligible for parole.
“Gang-related armed drug trafficking will not be tolerated in Americus, Ellaville or any place in the Middle District of Georgia,” said U.S. Attorney Peter D. Leary. “Cases like this one illustrate the strong collaboration between law enforcement to bring those causing the most criminal disruption to justice and work ceaselessly for safer communities for all.”
“Drug and gang-related crimes cause severe damage to Georgia communities. This case exemplifies the hard work of the GBI’s Southwestern Regional Drug Enforcement Office and our local and federal law enforcement partners,” said GBI Director Chris Hosey.
“The successful result of this investigation should let career gang members know that DEA will use all of its resources to destroy their violent drug distribution networks,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Division.
“ATF and our partners are committed to pursuing and prosecuting the most troublesome criminal offenders to protect the communities we serve,” said ATF Assistant Special Agent in Charge Beau Kolodka.
“This case is a great example of what can be accomplished when local, state and federal agencies work together to address crime in our community,” said Americus Police Department Chief Mark Scott.
According to court documents, during an investigation into gang-related drug trafficking and other criminal activities in the Americus region, GBI investigators, working alongside DEA, purchased quantities of cocaine powder and crack cocaine from the defendants using a confidential informant and an undercover agent beginning in May 2021 through August 2021. Both defendants are members of the Gangster Disciples. On Aug. 11, 2021, GBI executed search warrants at four locations belonging to the defendants in Americus (Sumter County, Georgia) and Ellaville (Schley County, Georgia). At Patterson’s residence at 210 Tom Hall Circle in Americus, agents found more than $30,000 cash on Patterson and under his bed; a firearm reported stolen from Lee County, Georgia; marijuana; a digital scale and packaging materials commonly used to illegally distribute drugs; and multiple cell phones that both Patterson and Miller used to communicate. At Miller’s apartment and trailer located in Ellaville, agents found quantities of cocaine base; marijuana; cash; and a Gangster Disciple flyer. Patterson has multiple prior felony convictions in Sumter County, Georgia, Superior Court and Miller has at least two prior felony convictions in Schley County, Georgia, Superior Court.
The case was investigated by GBI, DEA, ATF, the Sumter County Sheriff’s Office and Americus Police Department.
Assistant U.S. Attorney Matthew Redavid prosecuted the case for the Government.
Simon City Royals Gang Member Sentenced to over 21 Years in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
Jackson, Miss. – A Meridian, Mississippi man and Simon City Royals gang member was sentenced to 262 months in prison for possession with intent to distribute approximately 630 grams of methamphetamine.
According to court documents, Jeremy Lovell, 45, was found in possession of approximately 630 grams of methamphetamine and two firearms during the execution of a search warrant at his residence on May 3, 2022. Through the investigation, law enforcement determined that from 2020 to 2022, Lovell distributed more than 104 pounds of methamphetamine in Lauderdale County. Lovell has prior convictions for burglary of a commercial building and possession with intent to distribute methamphetamine.
U.S. Attorney Todd W. Gee of the Southern District of Mississippi and Special Agent in Charge Joshua Jackson of the Bureau of Alcohol, Tobacco, Firearms, and Explosives made the announcement.
The Lauderdale County Sheriff’s Department, East Mississippi Drug Task Force, Mississippi Bureau of Narcotics, and the ATF investigated the case.
Assistant U.S. Attorney Adam T. Stuart prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Shasta County Resident Sentenced to 18 Months in Prison for Tax FraudRead the Press Release
SACRAMENTO, Calif. — Deborah Gwen Orrey, 54, of Anderson, was sentenced Tuesday to 18 months in prison for making and subscribing a false tax return, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Orrey was the owner and operator of Affordable Tax, Bankruptcy, and Bookkeeping. For tax years 2013 to 2016, Orrey submitted tax returns to the Internal Revenue Service that contained incorrect information including, education credits, inflated medical expenses, and other inflated or non-existent business expenses. Orrey owed to the IRS an additional $112,083 for these years. Orrey also willfully falsified information on tax returns that she filed on her clients’ behalf. She split the refunds due to her clients without their knowledge, causing a portion of the clients’ refunds to be deposited to her own bank account. Eight of her clients suffered an actual loss of a total of $3,729. Orrey was ordered to pay $115,362 in restitution, which is the total loss to the IRS.
This case was the product of an investigation by the IRS Criminal Investigation. Assistant U.S. Attorney Denise N. Yasinow prosecuted the case.
Seven Individuals Arrested on Drug, Gun, and Fraud ChargesRead the Press Release
BIRMINGHAM, Ala. – Federal agents arrested seven individuals today on drug, gun, and fraud charges, announced U.S. Attorney Prim F. Escalona, Drug Enforcement Administration Special Agent in Charge Brad L. Byerley, and Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Marcus Watson.
In November 2023, a federal grand jury indicted ten individuals on drug, gun, and fraud charges.
Jamar Dariunte Clay, 36, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, multiple counts of distribution of methamphetamine, and multiple counts of use of a communication facility to commit a drug trafficking crime.
Jonathan Tyree McRath, 39, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, multiple counts of distribution of methamphetamine, and multiple counts of use of a communication facility to commit a drug trafficking crime.
Demarcus Sharon Brown, 39, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, and multiple counts of distribution of methamphetamine.
Donarius Quinez Kincaid, 38, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, and multiple counts of use of a communication facility to commit a drug trafficking crime.
Brandon Jamal Jernigan, 30, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, and multiple counts of use of a communication facility to commit a drug trafficking crime.
Hantson Alexander Clark, 32, of Tuscaloosa, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine and fentanyl, distribution of methamphetamine and fentanyl, and multiple counts of use of a communication facility to commit a drug trafficking crime.
Raregus Rice, 40, of Tuscaloosa, was charged with wire fraud and falsely representing a Social Security number.
The following three defendants were already in custody.
Michael Gardner Boone, 33, of Montgomery, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine, and possession with the intent to distribute methamphetamine.
Terrence Antwon Stevens, 40, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine and fentanyl, possession with intent to distribute methamphetamine and fentanyl, multiple counts of use of a communication facility to commit a drug trafficking crime, possessing a firearm in furtherance of a drug trafficking crime, and being a felon in possession of a firearm.
Yannick Kenyon Woolf, 34, of Anniston, was charged with conspiracy to distribute or possess with the intent to distribute methamphetamine and fentanyl and multiple counts of use of a communication facility to commit a drug trafficking crime.
The maximum penalty for distribution of a controlled substance and for possessing a firearm in furtherance of a drug trafficking crime is life in prison. The maximum penalty for use of a communication facility to commit a drug trafficking crime is four years in prison and for being a felon in possession of a firearm is fifteen years in prison. The maximum penalty for wire fraud is twenty years in prison, and the maximum penalty for falsely representing a Social Security number is five years in prison.
DEA and ATF investigated the case, along with the Anniston Police Department, Oxford Police Department, 7th Judicial Major Crimes Unit, and West Alabama Narcotics Task Force. The USMS provided valuable assistance. Assistant U.S. Attorneys M. Blake Milner and Brittany Byrd are prosecuting the case.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Sells Man Sentenced to over 20 Years for Child Exploitation OffensesRead the Press Release
TUCSON, Ariz. – Jeremy Espuma, 31, of Sells, was sentenced Monday by United States District Judge Scott H. Rash to 248 months in prison for child exploitation offenses. Espuma, a member of the Tohono O’odham Nation, pleaded guilty to Child Exploitation by way of Production of Child Pornography on March 22, 2023. Upon release from prison, Espuma will be placed on lifetime supervised release with sex offender conditions and will be required to register as a sex offender.
The case against Espuma arose after undercover agents from the Federal Bureau of Investigation discovered that he was sharing child exploitation material online. A subsequent investigation led to the identification of a child victim that Espuma had sexually abused. Espuma had also distributed images of the child and offered access to the child in exchange for money in the online forum where he was found by law enforcement. The investigation also led to the identification of another individual with whom Espuma shared the images. That offender, Kyle Adam Haney, was sentenced to 120 months in prison on August 31, 2023.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The Federal Bureau of Investigation in Tucson, Arizona and Knoxville, Tennessee, and the Tohono O’Odham Police Department conducted the investigation in this case. Assistant U.S. Attorneys Carin Duryee and Scott Turk, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-21-02971-TUC-SHR
RELEASE NUMBER: 2023-198_Espuma# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/q
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Remaining Defendants Sentenced in Deadly Fentanyl Distribution ConspiracyRead the Press Release
COUNCIL BLUFFS, Iowa – The remaining defendants in a deadly fentanyl distribution network were sentenced to federal prison today for a variety of crimes including conspiracy to distribute fentanyl, carrying firearms in furtherance of the distribution of fentanyl, and distribution of fentanyl resulting in death or serious bodily injury.
A total of eleven defendants were sentenced in the Southern District of Iowa as follows:
- Kyrell Deshawn Wells, 21, of Omaha, Nebraska, was sentenced to 360 months in prison for Conspiracy to Distribute Fentanyl on October 18, 2023;
- Ja’cara P. Baker, 42, of Omaha, Nebraska, was sentenced to 300 months in prison for Conspiracy to Distribute Fentanyl on October 18, 2023;
- Alejandro Diaz, 34, of Omaha, Nebraska, was sentenced to 216 months in prison for Conspiracy to Distribute Fentanyl Resulting in Death or Serious Bodily Injury, and Carrying a Firearm in Furtherance of a Drug Trafficking Crime on March 16, 2023;
- Janelle Lee Cline, 31, of Omaha, Nebraska, was sentenced to 156 months in prison for Conspiracy to Distribute Fentanyl Resulting in Death or Serious Bodily Injury on February 16, 2023;
- Christian Blaize Arman, 29, of Omaha, Nebraska, was sentenced to 42 months in prison for Conspiracy to Distribute Fentanyl on December 12, 2023;
- Edward James Arman, 32, of Omaha, Nebraska, was sentenced to 42 months in prison for Conspiracy to Distribute Fentanyl on December 12, 2023;
- Samantha Mae Neemann, 35, of Lincoln, Nebraska, was sentenced to 168 months in prison for Conspiracy to Distribute Fentanyl Resulting in Death or Serious Bodily Injury on April 13, 2023;
- Hai D. Nguyen, 30, of Omaha, Nebraska, was sentenced to 45 months in prison for Conspiracy to Distribute Fentanyl on April 13, 2023;
- Megan Kayleen Johnson, 27, of Council Bluffs, Iowa, was sentenced to 168 months in prison for Conspiracy to Distribute Fentanyl Resulting in Death or Serious Bodily Injury on March 16, 2023;
- Richard Andrew Null, 26, of Council Bluffs, Iowa, sentenced to 150 months in prison for Conspiracy to Distribute Fentanyl, and Carrying a Firearm in Furtherance of a Drug Trafficking Crime on December 12, 2023; and
- Jarik Mathew McPherson, 30, of Council Bluffs, Iowa, sentenced to 120 months in prison for Conspiracy to Distribute Fentanyl on December 12, 2023.
This investigation began in January 2022, after the Council Bluffs Police and Fire Departments responded to a Council Bluffs residence where an adult female had overdosed on fentanyl. After that victim died, law enforcement began a lengthy investigation into individuals who were actively conspiring to distribute fentanyl in the Omaha and Council Bluffs metro area. Ultimately, investigators identified Kyrell Wells and Ja’cara Baker as the primary distributors of fentanyl to others, including the members of the conspiracy listed above. The fentanyl pills distributed by this organization in the Omaha, Lincoln, and Council Bluffs areas resulted in at least eleven overdoses and six deaths. Kyrell Wells, Alejandro Diaz, Hai Nguyen, and Richard Null were also found in possession of firearms.
Federal Bureau of Investigations (FBI) Special Agent in Charge Eugene Kowel said “The Kyrell Wells fentanyl trafficking organization received and distributed more than 10,000 fentanyl pills every five days. The organization was connected to more than seventeen overdoses. Six people in our community died. The FBI and our local, state, and federal partners are dedicated to disrupting and dismantling the most significant drug trafficking organizations in our community.”
This case was investigated by the Council Bluffs Police Department, Southwest Iowa Narcotics Enforcement Task Force, Omaha Police Department, Drug Enforcement Administration, and the FBI.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement.
Fentanyl has become the leading cause of drug overdose deaths in the United States. Counterfeit, fentanyl-laced pills often resemble pharmaceutical pills, but contain potentially lethal doses of fentanyl. Visit the Drug Enforcement Administration’s website to learn more about One Pill Can Kill.
Providence Man Sentenced to Federal Prison for Possessing More than Forty Grams of FentanylRead the Press Release
PROVIDENCE – A 31-year-old Providence man was sentenced today to five years and 1 day in federal prison for possessing more than 40 grams of fentanyl and a firearm less than a week after he pleaded guilty in federal court to conspiracy to distribute anabolic steroids, announced United States Attorney Zachary A. Cunha.
According to charging documents, Mason A. Nieves was convicted in February 2021 of participating in a conspiracy that distributed significantly more than 60,000 units of steroids. Less than a week later, a court-authorized search of Nieves’ residence conducted by members of the Rhode Island State Police High Intensity Drug Area (HIDTA) Task Force found Nieves in possession of 251 grams of fentanyl. The search also recovered drug packaging materials; a loaded firearm located under Nieves’ bed; and $1,591 in cash.
Nieves pleaded guilty on February 15, 2023, to a charge of possession with intent to distribute 40 grams or more of fentanyl. He was sentenced today by U.S. District Court Judge John J. McConnell, Jr., to 60 months and one day of incarceration to be followed by four years of federal supervised release.
The case was prosecuted by Assistant United States Attorneys Christine D. Lowell and G. Michael Seaman.
Together with Department of Homeland Security, Rhode Island State Police, U.S. Postal Inspection Service, and the Mansfield Police Department and North Attleboro Police Departments in Massachusetts, this case was investigated and prosecuted in federal court as 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. In 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.
Portland Man Pleads Guilty in Federal Court for Role in Overdose Death of Portland TeenagerRead the Press Release
PORTLAND, Ore.—A local man pleaded guilty in federal court today for distributing fentanyl that caused the overdose death of a Portland teenager.
Tanner Welsh, 20, a Portland resident, pleaded guilty to one count of distributing fentanyl to a person under the age of twenty-one.
According to court documents, on November 10, 2022, officers from the Portland Police Bureau (PPB) responded to a fatal overdose of a 17-year-old teenager. Investigating officers located several small blue pills near the teenager’s body they believed were counterfeit Oxycodone pills containing fentanyl. An autopsy later confirmed the teenager died from fentanyl poisoning.
Further investigation revealed that the teenager had exchanged several text messages with Welsh shortly before overdosing in response to an online ad posted by Welsh offering the sale of controlled substances. Investigators also learned that Welsh had personally traveled to the teenager’s house to deliver the fentanyl pills.
On January 24, 2024, special agents from Homeland Security Investigations (HSI) located and arrested Welsh who admitted selling fentanyl and Xanax pills to the deceased teenager.
On February 8, 2023, a federal grand jury in Portland indicted Welsh on one count of possessing with intent to distribute fentanyl. Later, on November 30, 2023, he was charged by superseding criminal information with distributing fentanyl to a person under the age of twenty-one.
Distributing fentanyl to a person under the age of twenty-one is punishable by up to 40 years in prison, a $2 million fine, and six years of supervised release.
Welsh will be sentenced on March 13, 2023, by U.S. District Court Judge Adrienne Nelson.
As part of his plea agreement, Welsh has agreed to pay restitution in full to a designated family member of his deceased victim as requested by the government and ordered by the court.
This case was investigated by PPB and HSI and was prosecuted by the U.S. Attorney’s Office for the District of Oregon.
Police Detective and Former School Resource Officer Indicted on Child Sex Abuse Material ChargesRead the Press Release
COLUMBIA, S.C. — A federal grand jury in Columbia returned an 18-count indictment against Daniel Paul Shealy, 35, of Rock Hill, charging distribution of child sexual abuse materials (12 counts) and receipt of child sexual abuse materials (6 counts).
The indictment alleges that Shealy was a certified law enforcement officer in the state of South Carolina, and that during that time he held the rank of Detective in a police department’s Criminal Investigative Division and that he served as a School Resource Officer assigned to a local public school. The indictment also alleges that Shealy created and operated an account on a social media platform and that he used a cellular device recovered from his department-issued patrol car, both to distribute and receive child sex abuse materials. The indictment alleges Shealy distributed 13 child sex abuse videos and that he received six child sex abuse videos, all between June 2 and Sept. 17, 2023, and that the videos were between five seconds in length and one minute and 43 seconds in length.
Each count charged carries a mandatory minimum of five years in federal prison and a maximum of 20 years in federal prison. Shealy also faces up to lifetime federal supervision following any other penalty, registration as a sex offender, and monetary penalties.
Shealy waived his right to a bond and was ordered detained pending trial by United States Magistrate Judge Shiva V. Hodges. He has the right to ask for a bond at a later time.
This case was brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.
The case was investigated by the FBI Columbia Field Office, the York County Sheriff’s Office, and the South Carolina ICAC (Internet Crimes Against Children) Task Force at the South Carolina Attorney General’s Office. Assistant U.S. Attorneys Elliott B. Daniels and Elle E. Klein are prosecuting the case.
U.S. Attorney Adair F. Boroughs stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
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Pittsburgh Resident Indicted on Federal Fraud ChargesRead the Press Release
PITTSBURGH, PA - A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges that he defrauded customers of his snow and ice removal business, United States Attorney Eric G. Olshan announced today.
The nine-count Indictment named Charles W. Lantzman, 50, of Pittsburgh, Pennsylvania as the sole defendant.
According to the Indictment presented to the court, from December 2018 through March 2019, Lantzman engaged in a scheme to defraud customers by padding the bills of customers with charges for services that were not performed. The Indictment specifically charges six counts of wire fraud. Lantzman is also charged with three counts of money laundering, occurring between December 2018 and March 2019.
For each of the wire fraud counts, the law provides for a maximum total sentence of not more than 20 years in prison, a fine of not more than $250,000.00 or twice the gross gain to any person or loss to any person other than the defendant, or both. The law also provides for a maximum term of imprisonment of not more than 10 years, as well as a potential fine, on each of the money laundering counts. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigation, and United States Postal Inspection Service conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pharmacy Burglary Conspirators Arraigned Tuesday in Federal CourtRead the Press Release
LITTLE ROCK— Eighteen individuals from Texas who are accused of stealing more than $1.5 million worth of narcotics from numerous pharmacies in Arkansas were arrested in Houston on November 28, 2023, following an indictment returned in the Eastern District of Arkansas. Seven defendants appeared on charges Tuesday before United States Magistrate Judge Patricia S. Harris, and the remaining defendants are set to appear before United States Magistrate Judge Edie R. Ervin in Little Rock on January 16, 2024. The indictment charges conspiracy to possess with intent to distribute Schedule II through V controlled substances, as well as pharmacy burglary, conspiracy to commit pharmacy burglary, and conspiracy to commit money laundering. Keith Brown, 34, of Houston, Texas, and 17 others were named in this indictment related to “Operation #Richoffmeds.”
From February 2022 to November 2023, the Drug Enforcement Administration Little Rock District Office (DEA LRDO) identified more than 20 pharmacy burglaries and thefts of pharmaceutical narcotics in Arkansas. In each of the burglaries, the suspects used similar methods of entry and tools, as well as matching clothing and unique footwear. The stolen pharmaceuticals—including oxycodone, hydrocodone, alprazolam, and promethazine with codeine cough syrup—were transported to Houston, Texas, where they were sold illicitly.
Intelligence developed by the DEA LRDO and the Houston Police Department Northeast Division Crime Suppression Team identified the drug trafficking organization as being comprised of documented local gang members from the 5th Ward area in Houston, Texas. The current case is similar in kind and scope to a previous case indicted in the Eastern District of Arkansas in 2016, in which 24 members of a local Houston 5th Ward gang, ‘The Trill Fam’, were prosecuted for multi-state pharmacy burglaries and conspiracy to distribute controlled substances. During the present investigation, over 96,000 tablets of Schedule II controlled substances were stolen. The street value of all controlled substances stolen by the organization in the Arkansas burglaries is valued at close to $1.6 million. Investigators also seized six firearms, approximately $79,000 in U.S. currency, and custom jewelry retailing approximately $330,000.
“These defendants broke into pharmacies across Arkansas to steal narcotics that they then peddled on the streets,” stated Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas. “This case exemplifies the hard work put in by federal, state, and local agencies working together to infiltrate and dismantle violent gangs whose main mission is for profit and the destruction of communities. Our office is committed to prosecuting these defendants, and others like them, to the fullest extent of the law.”
“As alleged, these defendants went to extreme lengths to steal prescription drugs from a multitude of victim pharmacies,” said DEA Special Agent in Charge Brad L. Byerley. “The criminal enterprise sought to profit off the people of Arkansas by diverting nearly 100,000 dosages away from those with legitimate medical needs. These defendants were likely driven by money, but the cost to public health and safety is priceless. DEA is committed to investigating the diversion of controlled pharmaceuticals and ensuring all Americans can access needed medications.”
The defendants arrested include Brown, Antoinen Hampton, 37, Donald Spencer, 34, Marcus Hargrove, 31, Reginald Jackson, 32, Vernon Baloney, Jr., 33, Edwin Burks, 50, Nicklaus Franklin, 31, Louis Johnson, III, 24, Nathan Kibble, 40, Joshua Delaney, 43, Fernando Riascos, Jr., 36, Alexis Garner, 31, Daron Livingston, 32, Jaiden Fowler, 23, Joshua Griffin, 21, Cierra Jackson, 30, and Jasmane Lincoln, 34, all from the greater Houston, Texas area.
The maximum sentence for the drug charges is not more than 20 years in federal prison.
Investigators with the DEA LRDO worked in conjunction with the following law enforcement partners:
DEA New Orleans Division (Little Rock District Office, Fayetteville Resident Office, Shreveport Resident Office, Mobile Resident Office),
DEA Special Operations Division,
DEA Houston Division (Houston TDS Group, Galveston Resident Office),
DEA Omaha Division,
DEA Rocky Mountain Division (Salt Lake City District Office, Cheyenne Resident Office),
DEA Atlanta Division (Columbia District Office),
DEA Miami Division (Pensacola District Office),
FBI Little Rock Field Office,
FBI Cast Team,
U.S. Marshals Service,
Oklahoma Bureau of Narcotics,
Harris County Sheriff’s Office,
League City Police Department (Dickinson, TX),
Houston Police Department Northeast Division Crime Suppression Team,
Houston Police Department CID, and
Arkansas State Police.
The case is being prosecuted in the Eastern District of Arkansas by Assistant United States Attorney Anne Gardner.
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.
An indictment contains only allegations. Defendants are presumed innocent unless and until proven guilty.
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Additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
X (formerly known as Twitter):
@EDARNEWS
Oswego County Man Pleads Guilty to Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Tyler Ager, age 30, of Oswego County, New York, pled guilty today to possession of child pornography. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Ager admitted that in May 2023 and June 2023, he possessed child pornography on his phone and that he uploaded a child pornography file to a public website where adults chat with other adults. He also admitted that, in April 2021, he was convicted of sexual abuse in the second degree in Parish Town Court. His offense conduct in that case involved him having a 4-year-old minor touch his penis. He received a term of probation, which he was serving when he committed the offense to which he pled guilty today
Sentencing is scheduled for April 17, 2024, before United States District Judge Glenn T. Suddaby. Ager faces a mandatory minimum term of 10 years in prison, a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of between 5 years and up to life. Ager also will have to pay restitution to any identified victims, forfeit the property he used to commit the offense, and will be required to register as a sex offender. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI Mid-State Child Exploitation Task Force, comprised of FBI Special Agents and Investigators of the New York State Police, Bureau of Criminal Investigation. Assistant U.S. Attorney Michael D. Gadarian is prosecuting the case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Orchard Park man sentenced for marijuana conspiracyRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Kevin Judge, 65, of Orchard Park, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, marijuana, was sentenced to time served and two years’ supervised release by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Joshua A. Violanti, who handled the case, stated that Judge was a drug trafficking associate of co-defendant Gary Wolch. Judge traveled to secure marijuana for the drug trafficking operation and coordinated with other associates and conspirators to obtain marijuana for distribution in the Western New York area. On August 16, 2019, Judge arrived at the Buffalo Niagara International Airport, where he was approached by investigators at his gate and his bags were detained. After initial questioning, Judge was taken back to his vehicle in the parking lot. Once back in his vehicle, Judge contacted Wolch and said, “There’s a problem.” He then called other associates and co-conspirators. During the execution of a search warrant on Judge’s bags, law enforcement recovered $60,000 in U.S. currency and $40,000 in Western Union Money Orders. Judge admits he was attempting to go to Southern California with $100,000 to purchase marijuana. Wolch was previously convicted and is awaiting sentencing.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The sentencing is the result of an investigation by the Orchard Park Police Department, under the direction of Chief Patrick Fitzgerald, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.
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