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Tuesday 7 November 2023
St. Petersburg Man Pleads Guilty to Possession of Fentanyl, Methamphetamine, and Cocaine with Intent to DistributeRead the Press Release
Tampa, FL - United States Attorney Roger B. Handberg announces that Jason Washington (42, St. Petersburg) has pleaded guilty to one count of possession of fentanyl, methamphetamine, and cocaine with the intent to distribute it. Due to the amount of methamphetamine Washington possessed, he faces a minimum mandatory sentence of 10 years, up to life, in federal prison. A sentencing date has not yet been set.
According to court documents, on April 13, 2023, law enforcement officers executed a search warrant at Washington’s residence. Inside the home, they found over 240 grams of methamphetamine, 225 grams of fentanyl, and 102 grams of cocaine. Officers also located more than $77,000 in cash and six firearms inside the home.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It is being prosecuted by Assistant United States Attorney Samantha Newman.
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.
Springfield Sex Offender Convicted of Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man has been convicted in a federal bench trial of receiving and distributing child pornography.
Alvan Allen, 44, was found guilty of one count of receiving and distributing child pornography following a bench trial before U.S. District Judge M. Douglas Harpool on Wednesday, Nov. 1. The court issued the findings of fact and adjudication order on Monday, Nov. 6.
Springfield police officers executed a search warrant at Allen’s residence on Aug. 13, 2020, and seized his cell phone and laptop computer. A forensic examination discovered 1,512 images and videos of child pornography on Allen’s computer.
Allen is required to register as a sex offender due to his prior conviction of aggravated indecent liberties with a child. He also has a prior conviction for failure to register as a sex offender.
Under federal statutes, Allen is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 40 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the FBI, the Springfield, Mo., Police Department, and the Southwest Missouri Cybercrimes Task Force.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Spencer Man Pleads Guilty to yet Another Federal Drug CrimeRead the Press Release
A man who possessed with intent to distribute methamphetamine pled guilty November 1, 2023, in federal court in Sioux City.
Todd Williams, 57, from Spencer, Iowa, was convicted of possession with intent to distribute methamphetamine. Williams had previously been convicted of conspiracy to manufacture and distribute methamphetamine in 2004.
Evidence at the plea hearing showed that on March 4, 2023, after receiving information that Williams was selling and possessing methamphetamine, law enforcement executed a search warrant at Williams’ residence in Spencer, Iowa, and seized approximately 2.8 pounds of methamphetamine and approximately $50,000 in cash. During the execution of the warrant, Williams was viewed by law enforcement driving by the residence. Law enforcement attempted to stop Williams, who led them on a high speed chase before being stopped and arrested.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Williams remains in custody of the United States Marshal pending sentencing. Williams faces a mandatory minimum sentence of 15 years’ imprisonment and a possible maximum sentence of life imprisonment, a $20,000,000 fine, and ten years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Patrick T. Greenwood and was investigated by the Spencer Police Department, Clay County Sheriff’s Office, Estherville Police Department, the Iowa Great Lakes Drug Task Force, Iowa Division of Narcotics Enforcement, and the Iowa DCI Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-4061. Follow us on Twitter @USAO_NDIA.
Second Texas Man Pleads Guilty to Cocaine Trafficking in Lackawanna CountyRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jose Torres, age 28, of El Paso, Texas, pleaded guilty on November 3, 2023, before U.S. District Court Judge Robert D. Mariani, to the charge of possession with intent to distribute more than five kilograms of cocaine.
According to United States Attorney Gerard M. Karam, Torres admitted to possessing between 15 kilograms and 50 kilograms of cocaine for further distribution in the Lackawanna County area in September 2022. The charges stem from an incident on September 29, 2022, in which members of the Pennsylvania State Police made a traffic stop of a vehicle in Lackawanna County. Torres and codefendant, Luis Gonzalez, age 27, of El Paso, Texas, were the occupants of the vehicle. A subsequent search of the vehicle resulted in the seizure of sixteen individually wrapped kilograms of cocaine, having a street-value of approximately $500,000.
Luis Gonzalez previously entered a guilty plea before Judge Mariani on November 2, 2023
The investigation was conducted by the United States Drug Enforcement Administration (DEA), the Pennsylvania State Police and the Scranton Police Department. Assistant United States Attorney Robert J. O’Hara is 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.
Under federal law, the offense carries a mandatory minimum sentence of ten years in prison. The maximum penalty under federal law is up to life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Sarasota Drug Dealer Sentenced to More Than Six Years for Possessing AR-Style Rifle, Handguns, Hundreds of Rounds of Ammunition, and Distribution Quantities of MethamphetamineRead the Press Release
Tampa, Florida – U.S. District Judge James S. Moody, Jr. today sentenced Clinton Justesen (49, Sebring) to six years and two months in federal prison for possessing a firearm as a convicted felon and possessing methamphetamine with the intent to distribute it. Justesen had pleaded guilty on March 6, 2023.
According to the plea agreement, on September 9, 2022, deputies from the Sarasota County Sheriff’s Office stopped a truck driven by Justesen near the intersection of Williamsburg Street and North Lockwood Ridge Road in Sarasota. Justesen was towing a motorcycle which had been reported stolen on August 23, 2022. A search of Justesen’s truck and the trailer carrying the motorcycle revealed multiple firearms, hundreds of rounds of ammunition of different calibers, approximately 12.6 grams of methamphetamine, a vacuum sealer, a digital scale, assorted pills and tablets of various colors, and approximately $12,000 in cash.
The firearms recovered from Justesen’s truck included: (1) a HS Produkt XD9 9mm pistol; (2) a Smith & Wesson M&P 9 Shield 9mm pistol; and (3) an Anderson Manufacturing AM-15 .223/5.56mm caliber rifle with a vertical foregrip installed thereon.
At the time, Justesen had prior felony convictions including: (1) vehicular homicide; (2) leaving the scene of a crash with death; (3) armed robbery; and (4) felon in possession of a firearm, all on or about January 31, 1997. As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
Justesen later admitted to ATF to selling narcotics, possessing the firearms, and that he needed the firearms for his protection during his drug dealing activities.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Sarasota County Sheriff’s Office. It was prosecuted by Assistant United States Attorney David W.A. Chee.
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.
Sapulpa Man Sentenced to Life for Aggravated Sexual AbuseRead the Press Release
A Sapulpa man was sentenced today. U.S. District Judge Gregory K. Frizzell sentenced David Bert Paycer, 52, to life in prison, followed by lifetime supervised release.
In May of 2023, a federal jury found Paycer guilty of aggravated sexual abuse of a minor under 12 years of age in Indian Country. According to court documents, Paycer gained access to his 8-year-old victim by taking over primary care, shortly after meeting and marrying the victim’s mother. Paycer’s grooming began immediately, which lead to sexually abusing the victim. He warned the minor victim not to tell anyone. At trial, the jury heard from four total victims, who testified against Paycer in court. Those victims all testified that Paycer had sexually abused them when they were between the ages of 6 and 8 years old.
“David Paycer preyed on, manipulated and sexually abused an 8-year-old victim left in his care,” said U.S. Attorney Clint Johnson. “This week, the Court made it clear that Paycer’s predatory actions and blame shifting warranted a lifetime in federal prison.”
Previously released on bond prior to trial, Paycer self-surrender after trial and was taken into custody where he will remain pending transfer to a U.S. Bureau of Prisons facility.
The FBI investigated the case. Assistant U.S. Attorneys Valeria Luster and Chantelle Dial 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 https://www.justice.gov/psc.
Repeat Sex Offender in Raleigh Sentenced to 15 Years for Receiving Child PornographyRead the Press Release
WILMINGTON, N.C. – A repeat sex offender was sentenced yesterday to 180 months imprisonment followed by five years of supervised release for Receipt of Child Pornography.
According to court documents and other information presented in court, in May 2021, Robert John Richards, 38, of Raleigh, was investigated by the Raleigh Police Department and the Federal Bureau of Investigation for child exploitation offenses.
On July 14, 2015, Robert John Richards pled guilty to Second Degree Sexual Exploitation of a Minor and two counts of Indecent Liberties with a Child in State Court. He was given a suspended sentence and placed on probation for five years. While on probation, he was charged with and pled guilty to Failure to Notify of Change of Address and received another suspended sentence, which extended his probation. A part of his probation was that he was not to possess any sexually stimulating or sexually oriented materials as deemed inappropriate by the probation officer.
On May 25, 2021, North Carolina state probation officers met with Richards and asked for consent to search his devices. Richards agreed and provided passwords for his devices. His phone showed visits to a site sometimes used to disseminate child pornography. In a Discord text application, officers found conversations discussing child sexual abuse. Richards also had a laptop containing multiple images of child pornography. He was arrested for a probation violation, and law enforcement obtained a search warrant for his digital devices.
A search of his digital devices revealed 234 images and 10 videos of child sexual abuse material. Some of the images and videos depicted infants/toddlers and sadistic and masochistic conduct.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina announced the sentencing by Chief U.S. District Judge Richard E. Myers II. The Raleigh Police Department and the Federal Bureau of Investigation investigated the case, and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-55-M.
Repeat Bank Robber Sentenced to Twelve and a Half Years in Federal Prison After Robbing Four More Banks in Two-Weeks While on ParoleRead the Press Release
INDIANAPOLIS- Jaquan Lavon Smith, 31, of Indianapolis has been sentenced to 151 months in federal prison after pleading guilty to four counts of bank robbery.
According to court documents, between October 4 through October 18, 2021, Smith robbed four different federally insured banks, stealing nearly $25,000.
On October 4, 2021, Smith entered the Chase Bank branch near North Keystone Avenue. Once inside, Smith approached a teller and passed a robbery note that stated, “This is a robbery, be quick about it.” The teller gathered $4,058 and passed it to Smith. Over the next two weeks, Smith robbed three more banks in a similar manner, using threatening notes that demanded $10,000 and instructed the victims not to use security measures. During his two-week bank robbery spree, Smith stole nearly $25,000:
DATE
VICTIM
MONEY STOLEN
October 4, 2021
Chase Bank, Indianapolis, IN
$4,058
October 6, 2021
Tri County Bank & Trust, Bainbridge, IN
$10,000
October 11, 2021
Chase Bank, Lawrence, IN
$3,336
October 18, 2021
BMO Harris, Indianapolis, IN
$7,469
FBI Agents arrested Smith shortly after the October 18, 2021, robbery, as he was making his getaway. On Smith’s person, the agents located over $7,000 in cash, and the robbery note used during the robbery of the BMO Harris bank.
Smith has a significant history of robbing banks. In June and July 2018, Smith robbed six banks in Indianapolis and one in Hamilton County over twenty-two days. The demand notes Smith used in the six 2018 bank robberies were nearly identical to the ones he used to rob four banks in 2021. Smith was convicted of the five Indianapolis robberies and sentenced to two years in prison. On July 30, 2021, he was released from the Indiana Department of Corrections to parole. Smith began his latest robbery spree just eight weeks later. The charges related to the 2018 Hamilton bank County robbery were still pending when he robbed four banks in October 2021.
“Again and again, this career criminal chose to terrorize innocent bank employees in his pursuit of what he believed would be easy cash,” Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “He returned to robbing banks soon after getting out on parole, undeterred by his prior prison sentence. Thanks to the hard work of the FBI, IMPD, Lawrence Police Department, the Putnam County Sheriff’s Office, and our federal prosecutor, the public will be protected for many years as he serves a very serious federal prison sentence.”
“The reign of terror of the defendant is over thanks to the outstanding investigative work and collaboration of the FBI and our law enforcement partners,” said Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office. “This sentence clearly demonstrates the FBI’s commitment to ensuring those who threaten bank employees and steal the peace of mind of residents of our community will pay the price.”
“This investigation resulting in US Federal Court conviction represents yet another exemplary collaboration between Federal, State, and Local law enforcement agencies, focusing our considerable resources on holding this offender accountable for his criminal actions,” said Lawrence Police Department Deputy Chief Gary Woodruff. “Thanks to the efforts of each agency who participated, and to the US Attorney’s Office for focusing on those who commit dangerous crimes, these efforts result in safer communities.”
The FBI, IMPD, Putnam County Sheriff’s Department, and Lawrence Police Department investigated this case. The sentence was imposed by U.S. District Court Judge James R. Sweeney. Judge Sweeney also ordered that Smith be supervised by the U.S. Probation Office for 3 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Jayson W. McGrath, who prosecuted this case.
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Readout of Russian Elites, Proxies, and Oligarchs (REPO) Task Force Deputies MeetingRead the Press Release
Yesterday, Deputy Attorney General Lisa O. Monaco and Treasury Deputy Secretary Wally Adeyemo convened the Russian Elites, Proxies, and Oligarchs (REPO) Task Force Deputies to coordinate lines of effort to ensure that Russia bears the legal consequences of its internationally wrongful acts. Today’s task force meeting convened experts across the U.S. government and international community to explore all possible avenues to aid Ukraine – consistent with respective legal systems and international law – and to ensure Ukraine is compensated for the loss, injury and damage resulting from Russia’s full-scale aggression.
As Russia continues to commit flagrant violations of international law, REPO members remain united that, consistent with their respective legal systems, Russia’s sovereign assets in REPO jurisdictions will remain immobilized until Russia pays for the damage it has caused to Ukraine. Given the urgent needs of Ukraine and the paramount importance of holding Russia accountable for its illegal invasion of Ukraine, principals of the REPO Task Force plan to convene again later this year.
RICO Conspirator Convicted at TrialRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Dickenson Elan (40, Clearwater) guilty of Racketeer Influenced and Corrupt Organizations (RICO) conspiracy. Elan faces a maximum penalty of 20 years in federal prison. His sentencing hearing is scheduled for February 7, 2024. Elan had been indicted on September 7, 2022.
According to testimony and evidence presented at trial, between January 2016 and April 2017, Elan participated in the RICO conspiracy with coconspirators Andi Jacques (42, Greenacres) and Louisant Jolteus (37, West Palm Beach), and a now deceased conspirator who was referenced in the indictment as RICH4EVER4430. Elan and Jacques created and operated at least six fraudulent tax businesses together to file false tax returns in the names of thousands of victims. They also registered with the Internal Revenue Service (IRS) preparer tax identification numbers using the names and information of identity theft victims, to make it appear that those victims were the individuals who were filing false returns in bulk.
Some of the personal identifiable information (PII) used to file these returns was stolen from victims who had come into the tax businesses to file their taxes. Other PII was obtained by using a dark web marketplace to purchase server credentials for the computer servers of Certified Public Accounting (CPA) and tax preparation firms across the country. The server credentials were then used to remotely and covertly commit computer intrusions and exfiltrate the tax returns of thousands of taxpayers who were clients of those CPA and tax preparation firms. The PII from those taxpayers was traced back to returns filed through the false businesses that Elan and Jacques had created. The conspirators directed the resulting tax refunds to debit cards and bank accounts that they controlled. During the 2016 and 2017 tax seasons, the conspirators attempted to obtain more than $16 million in false tax returns and preparers’ fees from the IRS. The photo below was found in Elan’s email account and was sent after the 2016 tax season.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation. It is being prosecuted by Assistant United States Attorney John M. Gardella and William S. Hamilton.
Osceola County Convicted Felon Sentenced to Six Years in Federal Prison for Firearm and Drug OffensesRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Christian Arroyo-Rivera (30, Kissimmee) to six years in federal prison for possessing a firearm as a convicted felon and possessing with the intent to distribute 500 grams or more of a mixture and substance containing cocaine. The court also ordered Arroyo-Rivera to forfeit the firearm and ammunition used in the offense. Arroyo-Rivera had pleaded guilty on August 23, 2023.
According to court documents, on May 25, 2022, the Drug Enforcement Administration received information from the United States Postal Inspection Service that a parcel addressed to “Carlos Arroyo,” with an address in Kissimmee, was shipped from Puerto Rico and scheduled for a delivery the next day. A controlled delivery of the parcel to Arroyo-Rivera’s mailbox was coordinated for the next day. After Arroyo-Rivera retrieved the package, he was stopped and taken into custody. The parcel contained nearly 2 kilograms of cocaine. Agents also located a loaded Polymer80, 9mm pistol and extended magazine in Arroyo-Rivera’s vehicle. As a previously convicted felon, Arroyo-Rivera is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Drug Enforcement Administration with assistance from the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Megan Testerman and Shannon Laurie.
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.
Nurse Impostor Pleads Guilty to Identity Theft and Making False Medical RecordsRead the Press Release
Leticia Gallarzo used the identity of a real nurse to obtain employment as a licensed registered nurse, faces up to 7 years in prison
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Leticia Gallarzo, 49, of Allegan County, pleaded guilty to using the identity of another person to obtain employment as a licensed registered nurse and to making false statements relating to health care matters.
“The allegations that Ms. Gallarzo faked being a licensed nurse and created false medical records are extremely alarming,” said U.S. Attorney Totten. “By allegedly posing as a certified medical professional, she risked patient care and put unsuspecting individuals in harm’s way. My office takes this threat to public safety very seriously and appreciates the work of our law enforcement partners in this investigation.”
Gallarzo pleaded guilty to two federal crimes: making a false statement in a medical record affecting a health care benefit program and aggravated identity theft. The health care fraud charge is punishable by up to five years in prison. The aggravated identity theft charge carries a mandatory two years in prison, which must be served consecutively (after) any prison sentence imposed for the health care fraud charge The Court has not yet scheduled Gallarzo’s sentencing date.
According to court documents, Gallarzo falsely represented that she was a licensed registered nurse and had completed a Bachelor of Science degree in nursing from Davenport University when applying for a job at a local nursing facility. When transmitting her application to the prospective employer over the internet through Indeed.com, Gallarzo used the means of identification of someone that she knew to be an actual licensed registered nurse in the state of Michigan. After obtaining employment as a nurse, Gallarzo evaluated and assessed elderly nursing home patients and falsely signed electronic medical records as a licensed registered nurse. These false statements were related to Medicare, a health care benefit program, because the nursing home relied on Gallarzo’s status as a licensed registered nurse to meet certain Medicare regulations for participation in and billing of Medicare.
"The FBI is dedicated to ensuring that cases of identity theft, such as this one, are thoroughly investigated and the public can trust qualified medical providers," stated Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. "The scale of Ms. Gallarzo's alleged fraud, which endangered innocent patients, is staggering. As law enforcement works together to combat fraud in our healthcare system, I would like to especially thank the Michigan State Police for their assistance in this investigation."
“Today’s guilty plea underscores the significance and severity of the defendant’s conduct, particularly as it relates to her involvement in the submission of false documentation related to her purported nursing training and state licensure, as well as further false statements connected to her employment as a nurse in a skilled nursing facility,” said Mario M. Pinto, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). “HHS-OIG is committed to working together with our law enforcement partners to protect beneficiaries of our federal health care programs.”
The Federal Bureau of Investigation Grand Rapids Field Office and U.S. Health and Human Service Office of Inspector General are investigating the case. Assistant U.S. Attorney Ron Stella is prosecuting the case.
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New York Man Arrested for Bank Fraud Scheme Involving Stolen Identities of Three Massachusetts ResidentsRead the Press Release
BOSTON – A New York man has been arrested for allegedly using counterfeit United States passports in the name of three Massachusetts residents to withdraw money from their bank accounts.
Jean Andre Bontiffe, 40, was charged with one count of making or using a forged passport, one count of bank fraud and one count of aggravated identity theft. Bontiffe was arrested in New York on Nov. 6, 2023 and will appear in federal court in Boston at 1:15 p.m. on Nov. 14, 2023.
According to the charging documents, on Aug. 9, 2022, Bontiffe was arrested by law enforcement in New York for attempting to pass through TSA screening at LaGuardia Airport using a counterfeit California driver’s license in the same name as one of the Massachusetts victims. A subsequent investigation allegedly revealed that, between July 20 and July 22, 2022, Bontiffe traveled to Massachusetts from the Bronx, N.Y., and made nine attempts to withdraw money from three different Massachusetts residents’ bank accounts – stealing a total of $13,800. On July 20, 2022, Bontiffe allegedly entered a TD Bank branch in North Andover and presented a United States passport and a Discover credit card, both in the name of a Massachusetts resident who had an account at the bank, as proof of identity and attempted to withdraw $4,500 from that account. Due to unmatched signatures, the bank denied the transaction and confiscated the passport and credit card prior to Bontiffe fleeing the scene.
The charge of making or using a forged passport provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. The charge of bank fraud provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $250,000. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Matthew O’Brien, Special Agent in Charge of U.S. Department of State’s Diplomatic Security Service, Boston Field Office; and Paul Creazzo, Chief of the Mamaroneck (N.Y.) Police Department made the announcement today. Assistant U.S. Attorney Luke A. Goldworm of the Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Orleans Man Pleads Guilty to Drug and Firearm ChargesRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that on October 31, 2023, HARRY BANKS, age 21, of New Orleans, plead guilty to Counts 1, 2, and 3 of a superseding indictment. Count 1 charged BANKS with conspiring to distribute Fentanyl, in violation of Title 21, United States Code, Sections 841(b)(1)(C) and Title 21, United States Code, Section 846. Count 2 charged BANKS with conspiring to possess firearms in furtherance of drug trafficking activity, in violation of Title 18, United States Code, Section 924(o). Count 3 charged BANKS with possession of a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i).
For Count 1, BANKS faces up to (20) twenty years in prison, a fine of up to $1,000,000, at least (3) three years of supervised release, and a mandatory special assessment fee of $100.00.
For Count 2, BANKS faces up to (20) twenty years in prison, a fine of up to $250,000, up to (3) three years of supervised release, and a mandatory special assessment fee of $100.00.
For Count 3, BANKS faces a minimum of (5) five years in prison up to life in prison, to be run consecutive to all other counts, a fine of up to $250,000, up to (3) three years of supervised release, and a mandatory special assessment fee of $100.00.
According to public records, on December 6, 2022, Bureau of Alcohol. Tobacco and Firearms (ATF) Agents were conducting surveillance of the 1900 block of Frenchmen Street in New Orleans, in an unrelated investigation and saw an individual, later identified as Jerome Shaquille Wilson. Wilson was driving a white Dodge Challenger with one passenger, who was later identified as Gerroy Toca. Agents subsequently saw Toca Wilson, and BANKS engaged in apparent illegal narcotics transactions, while in possession of firearms. Agents later saw BANKS enter the white Dodge Challenger and exit with a pistol in his left hand. BANKS then appeared to conceal the firearm in his waistband. ATF Agents notified the New Orleans Police Department who detained Toca and BANKS. BANKS was found in possession of approximately 6.7 grams of suspected fentanyl and a Smith & Wesson Model M&P 40 2.0M, .40 caliber pistol, both of which were concealed in his waistband. By pleading guilty, BANKS admitted that he and his co-defendants were selling illegal drugs, which later tested positive for fentanyl and were armed with firearms.
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 track violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorneys Maurice Landrieu of the Narcotics Unit and Mike Trummel of the Violent Crimes Unit.
Montgomery Man Pleads Guilty to Scheme Costing an Elderly Victim over $95,000Read the Press Release
Montgomery, Alabama – Today, Acting United States Attorney Jonathan S. Ross announced that Nicholas Houston Allen, 36, a resident of Montgomery, Alabama, pleaded guilty to two counts of wire fraud. The convictions result from Allen’s victimizing an elderly Montgomery resident. The United States Secret Service and the Alabama Securities Commission provided valuable assistance in the investigation and prosecution of this case.
According to the indictment and other court records, Allen held himself out as the owner of an insulation business called Professional Fix, LLC. In January of 2021, Allen told an elderly victim that his mother had recently passed away and that he had inherited his mother’s house in Montgomery. Allen asked the victim to provide him with money so that he could remodel and resell the house for a profit. None of this was true. Allen’s mother was still alive, and he had not inherited her house. Based on Allen’s misrepresentations, from January 2021 through May 2021, the victim gave Allen approximately $95,800 for the sole purpose of remodeling the house. Allen told the victim the money would be used to cover the cost of a new roof, water damage repairs, soil testing, and pool repairs, among other expenses. These repairs were never accomplished. Instead, Allen used the money for his own personal benefit. On November 2, 2023, Allen pleaded guilty to two counts of wire fraud.
A sentencing hearing is scheduled for February 15, 2024. At that hearing, Allen will face a maximum sentence of 20 years in prison, along with substantial fines and restitution.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. The mission of the Department’s Elder Justice Initiative is to support and coordinate the Department’s efforts to combat elder abuse, neglect, and financial fraud scams that target our nation’s seniors. To learn more, visit https://www.justice.gov/elderjustice. The public is encouraged to report victimization and suspected fraud schemes by calling the National Elder Fraud Hotline at 1-833-FRAUD-11 (1-833-372-8311).
The United States Secret Service and the Alabama Securities Commission investigated this case. Assistant United States Attorney Michelle R. Turner and Special Assistant United States Attorney Louis V. Franklin, Sr., of the Alabama Securities Commission are prosecuting the case.
Monroeville Man Sentenced to 24 Months for Purchasing Hundreds of Stolen Log-In Credentials Off the DarkwebRead the Press Release
MOBILE, AL – A Monroeville man was sentenced to 24 months in federal prison for illegally possessing stolen log-in credentials that he purchased from an illicit, invitation-only internet marketplace accessible via the dark web.
According to court documents and testimony at sentencing, Genesis Market was an illegal online marketplace housed on foreign servers, which was taken down in Operation Cookie Monster — a joint international cyber operation led by FBI-Milwaukee and the U.S. Attorney’s Office for the Eastern District of Wisconsin. See https://www.justice.gov/usao-edwi/pr/genesis-market-disrupted-international-cyber-operation
Laderian Odom, 28 of Monroeville, Alabama received an invitation to Genesis Market in the summer of 2020. Thereafter, Odom used cryptocurrency to purchase approximately 950 sets of stolen log-in credentials. These credentials included usernames and passwords for online bank accounts, shopping sites like Amazon, social media accounts, and more. With these stolen credentials, a person could fully access these online accounts as if they were the real account holder.
After ruling in the government’s favor on a disputed issue concerning the application of the sentencing guidelines, U.S. District Court Judge Terry F. Moorer sentenced Odom to 24 months in prison. Although Odom pleaded guilty, he did not receive any sentencing reduction for accepting responsibility, because Judge Moorer found that Odom knowingly lied about being under indictment in this case when he filled out paperwork attempting to purchase a handgun in August 2023.
This case was investigated by FBI-Mobile, with assistance from FBI-Milwaukee. Assistant U.S. Attorney Christopher J. Bodnar prosecuted this case on behalf of the United States.
Monongalia County man charged for child pornography offensesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Christopher Harp, age 38, of Morgantown, West Virginia, has been charged with possession and receipt of child pornography.
According to court documents, Harp allegedly possessed and received child pornographic images online. Some of the images involved children under the age of 12.
Harp is facing up to 20 years for the possession of child pornography charge and faces at least five years and up to 20 years in federal prison for each of three counts of receipt of child pornography. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Jennifer Conklin is prosecuting the case on behalf of the government.
The Federal Bureau of Investigation investigated.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Missouri Man Admits Recording Sex Acts with MinorsRead the Press Release
CAPE GIRARDEAU – A man from Wayne County, Missouri on Tuesday admitted making recordings of his sex acts with minors.
Tony Ray Waites, 46, of Piedmont, pleaded guilty in U.S. District Court to one count of sexual exploitation of a minor. He admitted that in March of 2022, an 11-year-old boy reported that Waites had sexually abused him on several occasions and that he believed that Waites had filmed the abuse. A court-approved search of Waites’ home discovered electronic devices that contained videos of Waites abusing that victim, Waites’ plea says. There were also videos depicting nine other boys. Some were abused by Waites, others were filmed naked.
Waites is scheduled to be sentenced Feb. 6, 2024. The charge carries a minimum penalty of 15 years in prison and a maximum penalty of 30 years.
The Wayne County Sheriff’s Department and the FBI investigated the case. Assistant U.S. Attorney Jack Koester is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Mississippi Man Pleads Guilty to Luring Columbia Teen for Illicit SexRead the Press Release
JEFFERSON CITY, Mo. – A Bay Springs, Mississippi, man pleaded guilty in federal court today to luring a 16-year-old victim in Columbia, Mo., to meet him at a hotel for illicit sexual activity.
Zachary Wes Buckley, 49, pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to one count of enticing a minor to engage in illegal sexual activity.
By pleading guilty today, Buckley admitted that he traveled to Columbia and rented a room at a local hotel, where he had sex with the child victim.
Buckley and the child victim began communicating in an online chat room in January 2023 then moved their conversations to GoogleChat. The chats, which included sexually explicit conversations, photos and videocams, led to plans to meet in person. Buckley traveled to Columbia on Jan. 30, 2023, and met the child victim at a local park. He then drove to a Columbia hotel, where they had sex.
Under federal statutes, Buckley is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the Boone County, Mo., Sheriff’s Department, the FBI, and the Jasper County, Mississippi, Sheriff’s Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Mexican National Is Sentenced to 8+ Years in Prison for Distribution of Methamphetamine and Possession of A Firearm by an Illegal AlienRead the Press Release
CHARLOTTE, N.C. – Yael Aguilar, 30, of Mexico City, Mexico, was sentenced today to 97 months in prison followed by four years of supervised release for distribution of methamphetamine and possession of a firearm by an illegal alien, 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 Ron Campurciani of the Mooresville Police Department join U.S. Attorney King in making today’s announcement.
According to court documents and court proceedings, in August 2022, the ATF and the Mooresville Police Department initiated an investigation into Aguilar for suspected drug distribution. Over the course of the investigation, law enforcement conducted at least three controlled purchases of narcotics from Aguilar, including for methamphetamine. During one of the controlled purchases, law enforcement observed that Aguilar was armed. On September 22, 2022, law enforcement executed a search warrant at Aguilar’s residence and the two vehicles located in the driveway. During the search, law enforcement recovered narcotics, digital scales, and more than $24,000 in cash. Law enforcement also seized a loaded firearm, assorted ammunition, and a privately made firearm, also known as a “ghost gun,” with a Glock slide, magazine, and ammunition. Aguilar is an illegal alien and he is not permitted to own or possess firearms.
Aguilar remains 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 Mooresville Police Department investigated the case.
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.
Mescalero Man charged with Domestic AbuseRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Frank Shorty Trujillo appeared in federal court on a criminal complaint charging him with assault by strangulation and/or suffocating a spouse or intimate partner. Trujillo, 18, of Mescalero, and an enrolled member of the Mescalero Apache Tribe, will remain in custody pending trial, which has not been scheduled.
According to the criminal complaint, on Oct 9, 2023, Trujillo assaulted Jane Doe in front of their one-year-old son because he was angry that his “weed” had not been delivered as scheduled to the residence. Trujillo pushed Jane Doe into their young son, causing her to fall on top of the baby, who then began to cry. Trujillo then climbed on top of the Jane Doe and strangled her for approximately five seconds, preventing her from being able to breathe, punched her, bit her on the leg, pushed her down into the bed and pulled her hair. Jane Doe feared for her life and believed that Trujillo was going to kill her.
The morning following the assault, Jane Doe tried to speak to Trujillo who was armed with a knife. Trujillo cut himself with the knife on his arm and neck. After Trujillo learned that law enforcement had been called, he then fled into the woods to avoid arrest.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted on the current charges, Trujillo faces ten years in prison followed by 3 years of supervised release.
The Bureau of Indian Affairs, Office of Justice Services investigated this case. Assistant U.S. Attorneys Matilda McCarthy Villalobos and A’Kiesha Soliman are prosecuting the case.
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Mathis woman admits to trafficking meth through the mailRead the Press Release
CORPUS CHRISTI, Texas – A 45-year-old woman has pleaded guilty to conspiracy to possess with the intent to distribute liquid meth, announced U.S. Attorney Alamdar S. Hamdani.
The investigation into Elena Barrera began in November 2020 when authorities learned of a parcel containing liquid meth that was being shipped from Mexico to Mathis. Law enforcement intercepted the package and found it contained approximately seven kilograms of liquid meth concealed within shampoo bottles. They conducted a controlled delivery at the post office and Barrera picked up the package.
As part of her plea, Barrera admitted to using the mail to receive multiple other packages of narcotics and to recruiting others to retrieve packages of narcotics for her.
U.S. District Judge David S. Morales will impose sentencing Jan. 30, 2024. At that time, Barrera faces up to life in federal prison and a possible $10 million maximum fine.
Barrera was permitted to remain on bond pending that hearing.
Texas Department of Public Safety and Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Tyler Foster is prosecuting the case.
Maryland Man Sentenced to 97 Months in Prison for Distributing Child PornographyRead the Press Release
WASHINGTON – Justin Lee Snowden, 33, of Pasadena, Md., was sentenced today to 97 months in prison on one count of distribution of child pornography for sending videos, over the internet, of children being sexually abused.
The sentence was announced by U.S. Attorney Matthew M. Graves, FBI Special Agent in Charge Wayne A. Jacobs, of the Washington Field Office’s Criminal and Cyber Division, and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Snowden pleaded guilty to the charge on July 7, 2023, in the U.S. District Court of the District of Columbia. He was sentenced today by the Honorable Rudolph Contreras, who also ordered Snowden to serve 15 years of supervised release.
According to the government’s evidence, in August and September of 2022, Snowden joined and participated in an online chat platform devoted to the sexual exploitation of children. Beginning on Aug. 19, 2022, Snowden communicated with an undercover officer, based in San Francisco, and offered a female child – whom he claimed was his daughter – to someone he believed had a sexual interest in children. On Sept. 17, Snowden had a similar conversation with an undercover agent in Tampa, Fla., regarding the abuse of girls who Snowden purported to be his daughters. The next day, he began an online chat with an undercover officer in Washington D.C., who was a member of the joint Metropolitan Police Department - FBI Child Exploitation Task Force.
During the chat, Snowden offered his purported 5- and 7-year-old daughters for sex with members of the group. In actuality, Snowden did not have any children. He also sent others non-explicit pictures of two minor females. During the chat, Snowden claimed that he had sexually abused the girls. Later, Snowden sent an image to the undercover agent of a nude toddler lying on her back with her legs spread, and a video depicting an adult man sexually abusing a prepubescent child. Snowden asked the undercover agent for sexually explicit images of the agent’s purported daughter.
On each occasion, Snowden had every reason to believe that he was chatting with someone who intended to sexually abuse a child or who was actively abusing one. Because law enforcement intervened, Snowden’s actions did not lead to the hands-on sexual abuse of an actual child.
Snowden was arrested on Sept. 26, 2022, in Washington D.C. He has been detained ever since.
This case was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force. The task force is composed of FBI agents, along with other federal agents and detectives from northern Virginia and the District of Columbia, including the Metropolitan Police Department. The task force is charged with investigating and bringing federal charges against individuals engaged in the exploitation of children and those engaged in human trafficking.
It was prosecuted by Assistant U.S. Attorneys Jocelyn Bond and Trial Attorney Angelica Carrasco of the Department of Justice’s Child Exploitation and Obscenity Section, with assistance from Paralegal Specialist Alexis Spencer-Anderson.
Marion County Woman Indicted for Fraud Relating to Theft from Alternative SchoolRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Danielle Jane Liles (41, Summerfield) with eight counts of wire fraud. If convicted, Liles faces up to 20 years in federal prison on each count. The United States is also seeking an order of forfeiture for at least $616,793.43, which represents the unlawful proceeds of the offenses charged in the indictment.
According to the court records, between January 11, 2016, and April 10, 2023, Liles devised a scheme to defraud Silver River Mentoring and Instruction (SRMI), an alternative school for middle and high school students. During this time, Liles handled the payroll at SRMI and gave herself 137 unauthorized paychecks by logging false information into SRMI’s accounting software. Liles received her paychecks through Automated Clearinghouse Services (ACH) wire transfers.
An indictment is merely an allegation that a defendant has committed a federal criminal offense. Every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Federal Bureau of Investigation and the U.S. Department of Education – Office of Inspector General. It is being prosecuted by Assistant United States Attorney Hannah Nowalk.
Marion County Convicted Felon Federally Indicted for Illegal Possession of A FirearmRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Marcus Cleaver Morgan, Jr. (23, Ocala) with possessing a firearm as a convicted felon. If convicted, Morgan faces a maximum penalty of 15 years in federal prison.
According to the indictment, on January 14, 2023, Morgan possessed a Glock firearm. At that time, Morgan had a previous state felony conviction for carrying a concealed firearm. As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Ocala Police Department and the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
This case is part of the 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 for occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Man Sentenced to Life in Prison for Running Four Dark Web Child Exploitation WebsitesRead the Press Release
A Missouri man was sentenced today to life in prison for running four websites dedicated to sharing images and videos of child sexual abuse.
According to court documents and evidence at trial, Clint Robert Schram, 55, of Kansas City, hosted, managed, and maintained four different websites from his home. Each of these websites operated over the dark web, and each was devoted to advertising, distributing, and exchanging images and videos depicting the sexual abuse of children. One of the websites allowed members to post images of children as young as 2 years old, and another had no restrictions on the types of child sexual abuse images that could be shared. Schram advertised and distributed child sexual abuse images over these websites, and he recruited, managed, and directed different tiers of “staff” members who helped run the websites.
On May 10, a federal jury convicted Schram of one count of engaging in a child exploitation enterprise and four counts each of advertisement of child pornography and conspiracy to advertise child pornography.
The following defendants have also been charged in the U.S. District Court for the Western District of Missouri in connection with Schram’s websites:
Defendant
Residence
Case Status
Ryan Neal Montgomery
Damascus, Oregon
Pleaded guilty to conspiracy to advertise child pornography; pending sentencing.
Joshua Howland
Burlington, Vermont
Pleaded guilty to conspiracy to advertise child pornography; pending sentencing.
John Jason Vails
Cleveland, Oklahoma
Pleaded guilty to conspiracy to advertise child pornography; sentenced to 17 years and six months in prison.
David Shawn Sobieck
Sequim, Washington
Passed away before trial; charges dismissed.
Thomas Davis Moore Jr.
Gruetli-Laager, Tennessee
Passed away before trial; charges dismissed.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Teresa A. Moore for the Western District of Missouri, Assistant Director Luis M. Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Stephen Cyrus of the FBI Kansas City Field Office made the announcement.
The FBI’s Child Exploitation Operational Unit and Kansas City Field Office investigated the case, with valuable assistance provided by FBI field offices and resident agencies in Portland, Oregon; Chattanooga, Tennessee; Tulsa, Oklahoma; and Poulsbo, Washington; Homeland Security Investigations’ offices in Burlington, Vermont, and Boston; and the Criminal Division’s Child Exploitation and Obscenity Section’s (CEOS) High Technology Investigative Unit.
CEOS Trial Attorney Kyle P. Reynolds and Assistant U.S. Attorneys Alison D. Dunning and David Luna for the Western District of Missouri are prosecuting the cases, with valuable assistance from the U.S. Attorneys’ Offices for the District of Oregon, District of Vermont, Northern District of Oklahoma, Western District of Washington, and Eastern District of Tennessee.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. 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.
Man Sentenced for Advertising and Distributing Child Sexual Abuse Material on Dark WebRead the Press Release
An Oklahoma man was sentenced yesterday to 21 years and 10 months in prison for advertising and distributing child sexual abuse material.
According to court documents, Austen Peppers, 36, of Lawton, sold and offered to sell images of minors being sexually abused. Peppers conducted the transactions on the dark web with cryptocurrency, and used platforms and applications that he believed were secure and protected him from law enforcement scrutiny. Peppers also engaged in sexually explicit communications with persons believed to be minors and encouraged those apparent minors to create sexually explicit images of themselves. Peppers amassed thousands of images and videos of children being sexually abused.
Peppers was also ordered to pay a special assessment of $11,200 and restitution totaling $57,000 to his victims.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Phillip A. Talbert for the Eastern District of California, and Special Agent in Charge Tatum King of Homeland Security Investigations (HSI) San Francisco made the announcement.
HSI Fresno, Chicago, and Oklahoma, and the Royal Canadian Mounted Police investigated the case, with assistance from the Oklahoma Highway Patrol Tactical Team.
Trial Attorney James E. Burke IV of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney David Gappa for the Eastern District of California prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. 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.
Luzerne County Woman Pleads Guilty to Fentanyl TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Casey VanGorder age 28, of Wilkes-Barre, Luzerne County, pleaded guilty today before U.S. District Court Judge Robert D. Mariani, to the charge of conspiracy to distribute more than 40 grams of fentanyl.
According to United States Attorney Gerard M. Karam, VanGorder admitted to conspiring with other individuals to distribute between 40 grams and 160 grams of fentanyl in the Luzerne County area between 2019 and 2020. VanGorder was indicted by a grand jury in August 2020 for fentanyl trafficking.
The charge against the defendant resulted from an investigation conducted by the Bureau of Alcohol, Tobacco and Firearms (ATF), the Kingston Police Department, the Luzerne County Drug Task Force, and the Pennsylvania State Police. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Under federal law, the offense carries a mandatory minimum sentence of five years in prison, a maximum sentence of up to forty years in prison, a term of supervised release following imprisonment, and a fine.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Louisville Man Sentenced to 30 Years in Federal Prison for Murdering a Man During a CarjackingRead the Press Release
Louisville, KY – Yesterday, a local man was sentenced to federal prison for a carjacking that resulted in death. He was also sentenced for the use, possession, and discharge of a firearm during, and in relation to, a crime of violence, resulting in murder.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Michael E. Stansbury of the FBI Louisville Field Office, and Chief Jacquelyn Gwinn-Villaroel of the Louisville Metro Police Department made the announcement.
According to court documents, Ashton Clay Nally, 23, of Louisville was sentenced to 30 years in prison, followed by a 5-year term of supervised release, for carjacking resulting in death, and the use, possession, and discharge of a firearm during, and in relation to, a crime of violence, resulting in murder. These charges stem from a carjacking resulting in the death of the victim that occurred on November 23, 2020, at 2135 Crittenden Drive in Louisville.
There is no parole in the federal system.
“I commend the FBI Louisville Field Office, LMPD, and the prosecutors for their work in this case,” stated U.S. Attorney Bennett. “Fighting violent crime remains a high priority of this office and together with our federal, state, and local law enforcement partners we will continue to actively investigate and aggressively prosecute those who commit violence and place the safety of our citizens at risk.”
“This sentence should serve as a stark warning to the citizens of the Commonwealth of Kentucky who choose to commit armed carjackings and other senseless acts of violence. The FBI and our law enforcement partners will not stand for violent offenders who recklessly terrorize innocent lives,” said Special Agent in Charge Stansbury. “In partnership with the Louisville Violent Crime Task Force, FBI Louisville will continue to work tirelessly to ensure violent criminals are removed from our streets.”
The FBI Louisville Field Office and LMPD investigated the case.
The case was prosecuted by Assistant United States Attorneys Alicia P. Gomez and Mac Shannon.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Leader and Members of Moscow-Based Health Care Fraud and Money Laundering Conspiracy Charged in International Telemedicine SchemeRead the Press Release
A third superseding indictment was unsealed today in federal court in Brooklyn charging Brian Michael Sutton, Brycen Kay Millett, Anthony Santamaria, Joshua Manuel Alegria, Hershel Tsikman and Hafizullah Ebady with conspiracy to commit health care fraud, health care fraud and money laundering conspiracy. As alleged, the defendants participated in an international scheme to acquire pharmacies across the United States with pre-existing relationships with private health insurance companies. Using those pharmacies, in conjunction with call centers to induce individuals to accept unnecessary medications and a network of recruited physicians, the defendants generated more than $500 million in fraudulent prescriptions purportedly filled by the scheme pharmacies.
Santamaria, Alegria and Tsikman were arrested today in California and will be arraigned this afternoon in federal court in Los Angeles. Millett and Ebady were previously indicted and arrested on health care fraud charges, and will be arraigned at a later date. Sutton remains at large and is believed to reside in Moscow.
Breon Peace, United States Attorney for the Eastern District of New York and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the arrests and charges.
“As alleged, the defendants orchestrated a massive international scheme to defraud American businesses out of hundreds of millions of dollars and attempted to hide behind multiple aliases, shell companies and straw owners,” stated United States Attorney Peace. “Fraudulent healthcare billing drives up the cost of medical services for all those who need it. We will continue to aggressively investigate and prosecute those who take advantage of health care plans.”
Mr. Peace thanked the Port Authority of New York and New Jersey, Office of Inspector General, for their invaluable assistance in the investigation.
“The defendants allegedly carried out a complex international health care fraud scheme that led to over half billion dollars in fraudulent prescriptions. Health care fraud schemes like this affect those directly targeted, but ultimately the general public who face increased medical costs as a result. The FBI will see to it that anyone attempting to benefit from health care fraud will face punishment in the criminal justice system,” stated FBI Assistant Director-in-Charge Smith.
As alleged, between 2017 and 2022, Sutton, a U.S. citizen residing in Russia, led his co-defendants in carrying out an international scheme to bill private insurers for hundreds of millions of dollars’ worth of fraudulent prescriptions. At Sutton’s direction, the conspirators oversaw call centers initially based in Utah, but later operated from Russia and other foreign nations. Call center employees telephoned beneficiaries enrolled in private insurers’ health care plans and offered prescription medications at little to no cost to the beneficiaries and without any medical exam to determine the medical necessity for those medications. The defendants also recruited doctors purportedly to review prescriptions by nurse practitioners and physician’s assistants after telemedicine visits. Contrary to what the recruited doctors were told, in many cases there were no telemedicine visits between the beneficiaries and any medical professionals. The conspirators generated fraudulent prescriptions under the physicians’ names and National Provider Identifier (NPI) numbers. Despite the prescriptions, many beneficiaries never received the medications.
To conceal their involvement, the defendants operated under multiple aliases, funneled millions of dollars through pass-through shell companies and straw owners, used end-to-end encrypted communications and moved operations overseas. Specifically, the defendants purchased and operated dozens of existing brick-and-mortar pharmacies through straw owners including in Brooklyn, Staten Island, Manhattan, Long Island, New Jersey, Pennsylvania, Texas, Michigan and Alabama. The conspirators also laundered millions of dollars in fraudulent proceeds from overseas through pass-through shell companies that they used to purchase the scheme pharmacies and conceal the defendants’ involvement.
After acquiring the brick-and-mortar pharmacies, the conspirators oversaw the installation of pharmacy management software that allowed for the remote submission of reimbursement requests by the scheme pharmacies to private insurers; they also trained and supervised a team of “billers” that remotely submitted hundreds of thousands of reimbursement requests totaling over $500 million for over 50 pharmacies. Ultimately, private insurers paid over $280 million as a result of the fraudulent billing.
Co-conspirators Dela Saidazim pleaded guilty in February 2023 and David Gary Bishoff pleaded guilty in March 2023 to health care fraud conspiracy and are awaiting sentencing.
The charges in the superseding indictment are allegations, and the defendants are presumed innocent and unless and until proven guilty.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys John Vagelatos, Jessica Weigel and Jonathan P. Lax are in charge of the prosecution with assistance from Paralegal Specialist William Daniels. Claire S. Kedeshian of the Office’s Asset Recovery Section is handling forfeiture matters.
The New Defendants:
BRIAN MICHAEL SUTTON (also known as “Mike Summers,” “Mike Miller” and “Ryan White”)
Age: 31
Moscow, RussiaANTHONY SANTAMARIA (also known as “Big Boy,” “Wade Watts,” “Pablo Rodriguez,” “Ryan Rusty” and “Bruce Peter”)
Age: 31
North Hollywood, CaliforniaJOSHUA MANUEL ALEGRIA (also known as “Jboy,” “Jaxon Asher” and “Turk Malloy”)
Age: 32
Woodland Hills, CaliforniaHERSHEL TSIKMAN (also known as “Andrew Milner,” “Andrew M.,” “Linus Caldwell,”
“Adam Schneider,” “Jonathan Martin,” and “H”)
Age: 30
Studio City, CaliforniaPreviously Charged Defendants:
BRYCEN KAY MILLETT (also known as “Brett Johnson” and “Tommy Wilkinson”)
Age: 33
Saint George, UtahHAFIZULLAH EBADY (also known as “Hafiz Ebady”)
Age: 45
Parsippany, New JerseyCo-Conspirators Who Previously Pleaded Guilty:
DAVID GARY BISHOFF (also known as “Bobby Fischer”)
Age: 39
Saint George, UtahDELA SAIDAZIM (also known as “Delila,” “Gina Payne,” and “Olivia Rothstein”)
Age: 34
Moscow, RussiaE.D.N.Y. Docket No. 21-CR-564 (S-3) (WFK)
Lawrence Men Sentenced for Distributing Fentanyl at Veterans Affairs Medical Center in BedfordRead the Press Release
BOSTON – Two Lawrence men have been sentenced in federal court in Boston for conspiring to distribute fentanyl to individuals at the Bedford Veterans Affairs Medical Center.
Deiby Bladimil Casado Ruiz, 30, was sentenced on Nov. 1, 2023 by U.S. District Court Judge Indira Talwani to 24 months in prison and three years of supervised release. Pedro Antonio Sanchez Bernabel, 31, was sentenced on Nov. 6, 2023 by Judge Talwani to 14 months in prison and three years of supervised release.
On July 21, 2023, both Casado Ruiz and Bernabel pleaded guilty to one count of conspiracy to distribute fentanyl and one count of distribution of fentanyl. Between July 27, 2022 and November 2022, Bernabel and Casado Ruiz conspired to distribute more than 40 grams of fentanyl. Specifically, the defendants sold fentanyl to individuals at the Veterans Affairs Medical Center in Bedford, including one veteran who was seeking treatment at the Medical Center for a substance use disorder.
Acting United States Attorney Joshua S. Levy; Christopher Algieri, Special Agent in Charge of the VA Office of Inspector General’s Northeast Field; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Valuable assistance in the investigation was provided by the Bedford VA Medical Center Police Service and the Lawrence Police Department. Assistant U.S. Attorneys Patrick Callahan, Lauren Graber and Kelly Lawrence of the Health Care Fraud Unit prosecuted the case.
La Valle Resident Sentenced to 5 Years of Probation for Amazon Fraudulent Return SchemeRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Christian Wink, 27, La Valle, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 5 years of probation for wire fraud and filing a false tax return. Wink pleaded guilty to these charges on June 22, 2023.
The government’s investigation revealed that between 2017 and 2020, Wink ordered expensive items through Amazon, such as ethernet switches and Wi-Fi routers, and then initiated the return process. Wink would return materially different items that were cheaper or broken, such as cell phone charging cables. Wink then received a refund for the amount of the original purchases. Wink then kept both the ordered items and the refund. During the course of this scheme, Wink engaged in more than 3,485 fraudulent transactions causing losses to Amazon of approximately $372,359.07. Wink admitted that he failed to report the income he generated from the fraudulent return scheme on his personal 2020 tax return.
At the sentencing hearing, Judge Peterson stated that the scope and scale of Wink’s criminal conduct normally would warrant a prison sentence. However, Judge Peterson noted that it was a mitigating circumstance that Wink has a long history of suffering from mental illness, including the time period he committed the fraud against Amazon. Judge Peterson also noted that Wink turned his life around once he committed to mental health treatment in 2021. Judge Peterson concluded that a sentence of five years of probation would allow Wink to continue effectively managing his mental health needs.
The charges against Wink were a result of an investigation conducted by IRS Criminal Investigation. Amazon provided support for the investigation. The prosecution of the case has been handled by Assistant U.S. Attorney Aaron Wegner.
La Oficina de Envigado Member Sentenced to 10 Years in Prison for Role in Drug Trafficking Conspiracy Tied to Medellín CartelRead the Press Release
BOSTON – A Colombian man was sentenced yesterday in federal court in Boston for his role in a drug trafficking, money laundering and extortion conspiracy connected to organized crime in the Republic of Colombia.
Fabio Yepes Sanchez, 57, of Medellín, was sentenced by U.S. District Court Judge Leo T. Sorokin to 10 years in prison and five years of supervised release. In June 2023, Zapata pleaded guilty to one count of money laundering conspiracy, one count of extortion conspiracy, one count of interstate and foreign travel or transportation in aid of racketeering, and one count of conspiracy to possess with intent to distribute cocaine. Yepes Sanchez was indicted by a federal grand jury in May 2020 along with co-conspirators Mario Zapata Velez, Miguel Colindres and Juan Pablo Ariasgil.
Yepes Sanchez and Zapata Velez were members of La Oficina de Envigado (La Oficina), a criminal organization based in Medellín, Colombia. La Oficina originated in the 1980s when its members provided enforcement and collection services for the Medellín Cartel, including deceased Medellín Cartel leader Pablo Escobar. Today, La Oficina is involved in international narcotics trafficking, drug debt collection, money laundering, extortion and murder for hire.
Yepes Sanchez and Zapata Velez conspired to use threats to extort approximately $750,000 in drug debt from two cocaine traffickers based in Massachusetts. Yepes Sanchez and Zapata Velez also conspired with Colindres and Pablo Ariasgil to obtain and sell five kilograms of cocaine from the Massachusetts traffickers and then repatriate the drug proceeds to Colombia, in partial satisfaction of the outstanding drug debt.
In May 2022, Ariasgil was sentenced to four years in prison and four years of supervised release after previously pleading guilty to his role in the cocaine conspiracy. In April, 2023, Colindres was sentenced to 51 months in prison and three years of supervised release after previously pleading guilty to his role in the cocaine conspiracy. In September 2023, Zapata Velez was sentenced to five years in prison and three years of supervised release after previously pleading guilty to his role in the international narcotrafficking and extortion conspiracies.
Acting United States Attorney Joshua S. Levy and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement. Valuable assistance in the investigation was provided by the Criminal Division’s Office of International Affairs of the Justice Department; the Internal Revenue Service’s Criminal Investigations in Boston; and the Government of Colombia. Assistant U.S. Attorneys Lauren A. Graber and Jared C. Dolan of the Criminal Division prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Kalispell felon sentenced to more than three years in prison for illegal possession of 10 firearms, ammunitionRead the Press Release
MISSOULA — A Kalispell resident with three felony convictions was sentenced today to three years and one month in prison, to be followed by three years of supervised release, after law enforcement recovered 10 firearms from his home after three incidents involving firearms, U.S. Attorney Jesse Laslovich said.
Jose Angel Estrello, 40, pleaded guilty in June to prohibited person in possession of firearms and ammunition.
U.S. District Judge Donald W. Molloy presided.
The government alleged in court documents that Estrello had three prior felony convictions, including two convictions for robbery in California, and was prohibited from possessing firearms and ammunition. In July 2022, Flathead County Sheriff’s deputies responded to a report of shots fired near McMannamy Draw and met with Estrello. Estrello was hostile toward the deputies and made comments about getting an AR-15 to defend himself against law enforcement. The next day, sheriff’s deputies responded to a disturbance involving a weapon in a campground. Deputies learned that Estrello exchanged words with another person about a parking spot, pulled a handgun out of his pocket and stated, “This is how we take care of this in Compton.” Deputies responded to a third incident involving road rage near Kalispell and determined that Estrello had pointed a gun at another family. In August 2022, law enforcement searched Estrello’s residence and located 10 firearms, seven magazines and assorted ammunition.
Assistant U.S. Attorney Jennifer S. Clark prosecuted the case. The Flathead County Sheriff’s Office and Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Justice Department Secures ADA Agreement with California County to Improve Mental Health ServicesRead the Press Release
The Justice Department announced today that it has filed a motion to intervene in Disability Rights California v. Alameda County and a proposed settlement agreement with Alameda County, California, and private plaintiffs to resolve allegations that the county violates Title II of the Americans with Disabilities Act (ADA) in its provision of mental health services.
Specifically, the proposed settlement agreement would resolve the department’s findings that Alameda County fails to provide services to qualified individuals with mental health disabilities in the most integrated setting appropriate to their needs. Instead, the department found that the county places too many people with mental illness into institutions such as John George Psychiatric Hospital and other facilities. In Olmstead v. L.C., the U.S. Supreme Court held that Title II of the ADA requires public entities, in providing services to persons with disabilities, to do so in their homes and communities when appropriate services can reasonably be provided in those settings to individuals who want them.
“It’s time to bring an end to the unnecessary incarceration and over-institutionalization of people with mental health disabilities in our country,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “People with mental health disabilities have the right to live in their own homes and communities with services that are effective in supporting their recovery instead of being relegated to repeated hospitalization and avoidable involvement with the criminal justice system. This agreement reaffirms the Justice Department’s commitment to ensuring that people with mental illness can access the care they need free from unnecessary barriers.”
The proposed settlement agreement requires the county to provide timely mobile crisis response services throughout the county and intensive mental health, housing, and employment services. The agreement addresses planning for people being discharged from psychiatric facilities and the Santa Rita Jail to help strengthen connections to critical mental health services. The proposed settlement also requires the county to reach out and engage proactively with people who have serious mental illness.
The department appreciates the collaboration with plaintiffs’ counsel from Disability Rights California, Bazelon Center for Mental Health Law, Disability Rights Education and Defense Fund and Goldstein, Borgen, Dardarian & Ho. The department recognizes Alameda County for its commitment to compliance with the ADA.
Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Members of the public may report possible civil right violations at www.civilrights.justice.gov.
View the filing here.
Justice Department Finds Minnesota City’s “Crime-Free” Housing Program Discriminates Against Tenants with Mental Health DisabilitiesRead the Press Release
The Justice Department announced today that the city of Anoka, Minnesota, violated the Americans with Disabilities Act (ADA) and the Fair Housing Act by denying tenants with mental health disabilities an equal opportunity to receive emergency assistance.
Following a comprehensive investigation, the department found that through the city’s “crime-free” housing program, the city discouraged and prevented tenants with mental health disabilities and those associated with them from using its emergency response service. The department found that people with mental health disabilities and their families or service providers refrained from calling for help to avoid risking their current housing or future housing prospects.
“Using a so-called ‘crime-free’ housing ordinance to invoke fear and prevent people with mental health disabilities from exercising their right to access housing and seek emergency assistance is discriminatory and runs afoul of our nation's civil rights laws,” said Assistant Attorney General Kristen Clarke of the Justice Department's Civil Rights Division. “This scheme is cloaked as a public safety measure but in reality it callously targets people with disabilities and their loved ones by penalizing them simply for reaching out for emergency assistance in times of need. The Justice Department is committed to ensuring that every person, including those with disabilities, can access emergency services and enjoy access to fair housing without fear of retaliation.”
Under the city’s rental licensing and so-called “crime free” housing ordinance, the city can penalize landlords for “nuisance calls” to their properties. Nuisance calls include disorderly conduct and what the city describes as repeated “unfounded” calls to the police. The city can issue fines and revoke the landlord’s license if the landlord does not pursue eviction after nuisance calls to their property. When tenants with mental health disabilities and those associated with them (like their families or landlords) requested or received emergency assistance, they risked eviction, fines or loss of a rental license.
For years, the city also sent weekly reports to licensed landlords detailing all calls for emergency service from all rental properties. Along with a general description, each report included the name and address of those involved and often revealed personal and sensitive information about the person’s mental health disabilities, such as their diagnoses, medications and names of psychiatric or medical providers. Some even shared intimate details about suicide attempts. The city used these reports to notify landlords of potential nuisance calls and encourage landlords to evict tenants.
The department provided its findings and minimum remedial measures necessary in a letter to the city. Specifically, the department asks the city to change its policies and procedures, designate an ADA coordinator, and train staff.
The Civil Rights Division’s Disability Rights Section and the U.S. Attorney’s Office for the District of Minnesota investigated the case.
People with information about these findings are encouraged to contact the department via email at [email protected] or by calling a toll-free number at 888-473-3940. For more information on the ADA, please visit ADA.gov or call the toll-free ADA Information Line at 800-514-0301 (TTY 833-610-1264).
View the letter of findings here.
Illegal Firearm Possession Lands Oklahoma City Man in Federal Prison for Two DecadesRead the Press Release
OKLAHOMA CITY – Yesterday, MICHAEL ANDRE CAMPBELL, 62, of Oklahoma City, was sentenced to serve 240 months in federal prison for illegally possessing a firearm after a previous felony conviction, announced U. S. Attorney Robert J. Troester.
On August 2, 2022, a federal grand jury returned a Superseding Indictment against Campbell, charging him with being a felon in possession of a firearm on or about July 1, 2021.
In June 2023, Campbell was tried by a federal jury and found guilty. Evidence presented at trial indicated that on July 1, 2021, an individual called law enforcement to report a larceny in progress at their home. Oklahoma City Police Department officers arrived and encountered Campbell, who had a loaded handgun in his waistband.
At the sentencing hearing yesterday, U. S. District Judge Joe Heaton sentenced Campbell to serve 240 months in federal prison. In announcing the sentence, Judge Heaton noted the circumstances of the offense and Campbell’s criminal history, which includes an extensive history of robberies.
According to public records, Campbell’s felony convictions include:
- Robbery by force in Tulsa County District Court case number CF-1987-1657;
- Robbery with a firearm in Tulsa County District Court case number CF-1987-1662;
- Robbery with a firearm or imitation firearm in Tulsa County District Court case number CF-1992-3411;
- Robbery with a dangerous weapon in Oklahoma County District Court case number CF-2004-1734;
- Trafficking in a controlled dangerous substance in Oklahoma County District Court case number CF-2004-1850; and
- Two counts of robbery with a dangerous weapon in Oklahoma County District Court case number CF-2004-3266.
This case is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Oklahoma City Police Department. Assistant U.S. Attorneys Daniel Gridley, Allison B. Christian, and Jason M. Harley prosecuted the case.
This case is part of Project Safe Neighborhoods, a Department of Justice program to reduce violent crime. In October 2017, the Department announced the reinvigoration of Project Safe Neighborhoods and directed U.S. Attorney’s Offices to develop crime-reduction strategies that incorporate lessons federal law enforcement has learned since the program’s launch in 2001. For more information about Project Safe Neighborhoods, please visit https://justice.gov/psn and https://justice.gov/usao-wdok.
Reference is made to public record for more information.
Honduran National Sentenced for Assaulting Customs and Border Protection OfficersRead the Press Release
DEL RIO, Texas – A Honduran national was sentenced in a federal court in Del Rio to 18 months in prison for assaulting, resisting or impeding federal officers, causing bodily injury.
According to court documents, Jesus Alexander Bardales Ramirez, 26, was seen running into the United States from Mexico, chased by Mexican authorities, toward Customs and Border Protection officers (CBPOs) at the Eagle Pass port of entry. When CBPOs attempted to restrain Ramirez, the migrant pulled away, causing him and the officers to fall to the ground.
Following several minutes of engagement, CBPOs were able to subdue and handcuff Ramirez. Ramirez continued to resist and kick at the officers throughout attempts to place him in a CBP vehicle, striking several CBPOs in their arms, bodies and faces.
After CBPOs managed to secure him in the vehicle, Ramirez began to strike his own head against the vehicle window, and when an officer tried to secure Ramirez’s head in an attempt to prevent Ramirez from injuring himself, Ramirez bit the officer on the arm.
“This case is a reminder of the dangers and hostility our law enforcement officers at the border can face on any given day,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I’m grateful for the commitment of these CBP officers and all of our partners who bear the same risks. Know that we will not tolerate acts of violence on our federal officers, and offenders will be held accountable.”
CBP investigated the case.
Assistant U.S. Attorney Zachary Bird prosecuted the case.
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Hardy County men sentenced for federal drug trafficking crimesRead the Press Release
ELKINS, WEST VIRGINIA – Two Moorefield, West Virginia, men were sentenced today for methamphetamine trafficking.
Steven Ray Davy, Jr., age 37, was sentenced today to 14 years in federal prison for 10 counts involving methamphetamine trafficking and firearms. Eric Wayne Baker, age 41, was sentenced to 52 months for possession with intent to distribute methamphetamine. According to court documents and statements made in court, Davy and Baker were working with others to sell methamphetamine in Hardy County. A search warrant at Davy’s home uncovered methamphetamine, pills containing fentanyl, cocaine, drug paraphernalia, several firearms, and a video surveillance system. During a traffic stop, officers found methamphetamine inside Baker’s vehicle.
Assistant U.S. Attorney Stephen Warner prosecuted the case on behalf of the government.
The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Hannibal Man Sentenced to 6 Years in Prison for Making Pipe BombsRead the Press Release
ST. LOUIS – A man from Hannibal, Missouri who made multiple illegal pipe bombs in 2022 was sentenced Tuesday to six years in federal prison.
Joshua Eugene Rickey, 34, admitted making a series of pipe bombs using plastic and metal pipes and materials from fireworks between July 4, 2022 and Aug. 13, 2022. Rickey admitted detonating two.
During Tuesday’s sentencing hearing in front of U.S. District Judge John A. Ross, Assistant U.S. Attorney Nino Przulj said there was a progression in both the size of the bombs Rickey made and the ongoing danger those bombs presented to the community. One of the seized bombs required detonation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) because it could not be safely handled.
Courtesy of the Hannibal Police Department.“This case illustrates ATF’s commitment in preventing attacks instead of responding to their aftermath,” said Special Agent in Charge Bernard Hansen for the ATF’s Kansas City Field Division. “The conviction and now federal sentencing of this individual demonstrates our steadfast efforts to hold accountable individuals who threaten the safety of our communities.”
Rickey pleaded guilty in July in U.S. District Court in St. Louis to one count of manufacture of one or more unregistered destructive devices and one count of possession of one or more unregistered destructive devices.
The ATF and the Hannibal Police Department investigated the case. Assistant U.S. Attorney Nino Przulj prosecuted the case.
Gloucester County Man Sentenced to 21 Months in Prison for Fraudulently Obtaining More Than $400,000 in Unemployment Insurance BenefitsRead the Press Release
NEWARK, N.J. – A Gloucester County, New Jersey, man was sentenced today to 21 months in prison for illegally obtaining more than $400,000 in unemployment insurance benefits, U.S. Attorney Philip R. Sellinger announced.
Willie Carter, 24, of Paulsboro, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge Reneé Marie Bumb to an information charging him with wire fraud. Judge Bumb imposed the sentence today in Camden federal court.
According to documents filed in the case and statements made in court:
From July 2020 to October 2020, Carter submitted fraudulent unemployment insurance benefit applications to various states. These states provided, and Carter falsely obtained, more than $400,000 in unemployment insurance benefits.
In addition to the prison term, Judge Bumb sentenced Carter to three years of supervised release and ordered restitution of $469,582.
U.S. Attorney Sellinger credited special agents of the U.S. Department of Labor, Office of Inspector General, under the direction of Special Agent in Charge Jonathan Mellone; postal inspectors with the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Charles A. Nielsen, Philadelphia Division; special agents of the FBI, under the direction of Acting Special Agent in Charge Richard Langham in Philadelphia, and special agents of the Department of Homeland Security, Office of Inspector General, under the direction of Inspector General Joseph V. Cuffari, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Cybercrime Unit in Newark.
Fruitland Man Pleads Guilty to AssaultRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced that Elijah Cudei Etsitty pled guilty to assault resulting in serious bodily injury. Etsitty, 27, of Fruitland, and an enrolled member of the Navajo Nation, will remain on conditions of release pending sentencing, which has not been scheduled.
According to court records, on June 27, 2021, Etsitty assaulted Jane Doe, which caused serious bodily injury, including head and facial injuries and seizure activity following the assault.
At sentencing, Etsitty faces up to ten years in prison followed by 3 years of supervised release.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Shiprock Police Department. Assistant United States Attorney Kimberly Bell is prosecuting the case.
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Former U.S. Government Employee Pleads Guilty to Sexual OffensesRead the Press Release
WASHINGTON – Brian Jeffrey Raymond, 47, a former U.S. Government employee, pleaded guilty today to drugging and sexually abusing numerous women in multiple countries, including photographing and video recording dozens of nude and partially nude women without their consent while they were unconscious and incapable of consenting.
The plea was announced by U.S. Attorney Matthew M. Graves, Acting Assistant Attorney General Nicole M. Argentieri, of the Justice Department’s Criminal Division, Director Carlos F. Matus, of the U.S. Department of State’s Diplomatic Security Service (DSS), and FBI Special Agent in Charge Wayne A. Jacobs, of the Washington Field Office’s Criminal and Cyber Division.
According to court documents, Raymond, of La Mesa, California, was most recently employed by the U.S. government at the U.S. Embassy in Mexico City, Mexico. Raymond admitted to drugging and sexually assaulting several women in his embassy-leased housing and elsewhere between 2006 and 2020. Additionally, Raymond admitted other offenses that occurred over this 14-year period and involved a total of 28 women he photographed or video recorded nude or partially nude. Many of the recordings show Raymond touching the women’s bodies while they were unconscious and incapable of consent. Raymond attempted to delete the explicit photographs and videos depicting the victims after learning about the criminal investigation.
Raymond will be sentenced on Sept. 19, 2024. Under the plea agreement, Raymond will face between 24 and 30 years in prison, supervised release for life, and mandatory restitution to the victims of his criminal offenses. A federal district court judge will determine the final sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case is being investigated by the DSS Office of Special Investigations and the FBI Washington Field Office. The Justice Department’s Office of International Affairs and National Security Division provided valuable assistance, along with the FBI’s Legal Attache office in Mexico City.
The case is being prosecuted by Assistant U.S. Attorney Meredith Mayer-Dempsey, of the U.S. Attorney’s Office for the District of Columbia, and Trial Attorneys Angela Buckner and Katharine Wagner, of the Justice Department’s Human Rights and Special Prosecutions Section.
The Department of Justice gratefully acknowledges the Government of Mexico, to include the Fiscalía General de la República and the Fiscalía General de Justicia de la Ciudad de México, for their extraordinary efforts, support and cooperation during the investigation.
Former U.S. Government Employee Pleads Guilty to Sex OffensesRead the Press Release
A former U.S. government employee pleaded guilty today to drugging and sexually abusing numerous women in multiple countries, including photographing and video recording more than two dozen nude and partially nude women without their consent while they were unconscious or incapable of consenting.
According to court documents, Brian Jeffrey Raymond, 47, of La Mesa, California, was employed by the U.S. government at the U.S. Embassy in Mexico City. Raymond admitted to drugging and sexually assaulting several women in his embassy-leased housing and elsewhere between 2006 and 2020. Additionally, Raymond admitted that, over 14 years, he photographed or video recorded 28 victims while they were nude or partially nude. Many of the recordings show Raymond touching and manipulating the victim’s bodies while they were unconscious and incapable of consent. Raymond attempted to delete the explicit photographs and videos depicting the victims after learning about the criminal investigation.
Under the plea agreement, Raymond will face between 24 and 30 years in prison and supervised release for life. He will also have to pay mandatory restitution to the victims of his criminal offenses. Sentencing hearings are scheduled for Sept. 18 and 19, 2024. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division; U.S. Attorney Matthew M. Graves for the District of Columbia; Deputy Assistant Director William Ferrari of the U.S. Department of State’s Diplomatic Security Service (DSS), Office of Special Investigations; and Special Agent in Charge James A. Dawson of the FBI Washington Field Office’s Criminal Division made the announcement.
The DSS Office of Special Investigations and FBI Washington Field Office are investigating the case. The Justice Department’s Office of International Affairs and National Security Division provided valuable assistance. The FBI’s Legal Attaché office in Mexico City also provided especially valuable assistance.
Trial Attorneys Angela Buckner and Katharine Wagner of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Meredith Mayer-Dempsey for the District of Columbia are prosecuting the case.
The Justice Department gratefully acknowledges the government of Mexico, including the Fiscalía General de la República, Fiscalía General de Justicia de la Ciudad de México, and Secretaría de Relaciones Exteriores, for their extraordinary efforts, support, and cooperation during the investigation.
Former San Antonio Health Services Employee Sentenced for Receiving KickbacksRead the Press Release
SAN ANTONIO – A San Antonio woman was sentenced in a federal court today to 10 years of probation and fined $200,000 for two charges related to healthcare kickbacks.
According to court documents, from June 2014 to April 2019, Amber Ashley Price, 40, engaged in a conspiracy to pay and receive kickbacks in return for sending prescriptions to specific pharmacies. Some prescriptions were paid for by federal insurance programs including Medicare, Medicaid, the Federal Employees Health Benefits (FEHB) Program, and TRICARE. Price, an employee of Kindred Home Health, would also refer patients to other home health agencies in the San Antonio area for a kickback payment. At least some of the patients referred were Medicare beneficiaries.
“Illegal kickbacks are a hidden drain on our healthcare system. They raise costs and prevent patient choice,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “This case reinforces our ongoing commitment to policing this all too common practice and ensuring the integrity of our public health insurance programs.”
“The FBI and our law enforcement partners are working hard every day to protect patients and federal health care programs from fraud and abuse,” said Special Agent in Charge Oliver E. Rich Jr. for the FBI San Antonio Division. “Healthcare fraud affects patient safety, quality of healthcare, and healthcare costs. Amber Price knew what she was doing was unethical and illegal. Today’s sentence sends a message to those who would use kickbacks and fraudulent schemes to take advantage of the health care system, that these types of crimes will not be tolerated.”
Codefendant Christopher Patrick Cruz, 49, of San Antonio, is scheduled to be sentenced Nov. 21. Cruz owned a medical marketing business and conspired with Price to increase the volumes of prescriptions of specific pharmacies.
The FBI; Texas Attorney General’s Office Medicaid Fraud Control Unit; U.S. Department of Health and Human Services Office of Inspector General; and the Defense Criminal Investigation Service investigated the case.
Assistant U.S. Attorney Justin Chung prosecuted the case.
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Former Pontiac Man Convicted in Multistate Heroin and Meth Shipping ConspiracyRead the Press Release
DETROIT – A federal jury convicted Anthony Roy Milligan, Jr., on drug conspiracy charges, United States Attorney Dawn N. Ison announced today. This conviction concluded a four-day trial held in Detroit before U.S. District Judge Mark A. Goldsmith.
Ison was joined in the announcement by Orville O. Greene, Special Agent in Charge, Drug Enforcement Administration, Detroit Division, and Rodney Hopkins, U.S. Postal Inspector in Charge, U.S. Postal Inspection Service, Detroit Division.Anthony Milligan, 37, formerly of Pontiac, was convicted of conspiracy to distribute and possess with intent to distribute more than 1 kilogram of heroin and more than 500 grams of methamphetamine. Milligan was also convicted of possession of more than 100 grams of heroin with intent to distribute. Evidence at trial showed that Milligan sent packages of heroin and methamphetamine through the U.S. mail to his network of distributors across the county. The United States Postal Inspection Service and the Drug Enforcement Administration intercepted several of those packages, and traced them back to Milligan, a previously convicted drug dealer.
“Our office will vigorously pursue drug traffickers who traffic in dangerous drugs like heroin and methamphetamine.” stated United States Attorney Dawn N. Ison. “This verdict is a result of outstanding teamwork between the U.S. Postal Service and the Drug Enforcement Administration.”
“This verdict should also serve as a reminder to those who abuse our community by peddling dangerous narcotics – law enforcement will find you and bring you to justice,” said DEA Special Agent in Charge Greene.
“The conviction of Mr. Milligan, Jr., is another example of the commitment the U.S. Postal Inspection Service and our law enforcement partners have in identifying, disrupting, and arresting those individuals who attempt to distribute illicit drugs through the U.S. Mail," said Rodney Hopkins, Inspector in Charge of the U.S Postal Inspection Service's Detroit Division. "We will continue to pursue those drug traffickers who attempt to exploit the distribution channels of the Postal Service and bring harm to our employees and the community. I would like to thank the Detroit Drug Enforcement Agency Field Office and the U.S. Attorney’s Office for the Eastern District of Michigan for their persistence and dedication in this investigation.”
Given the type and quantity of drugs involved and because he is a repeat drug-trafficking offender, Milligan is facing a mandatory 15-year prison sentence, with a maximum possible sentence of life imprisonment.
This case was investigated by the Drug Enforcement Administration and the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Robert White and Thomas Franzinger.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Former New York Lawyer Sentenced to Nearly 3 Years in Prison for Accepting $2.2 Million Kickback in LADWP Corrupt Litigation SchemeRead the Press Release
LOS ANGELES – A disbarred New York City lawyer, who simultaneously represented the Los Angeles Department of Water and Power (LADWP) and a ratepayer suing the City of Los Angeles in the wake of an LADWP billing debacle, was sentenced today to 33 months in federal prison for accepting a kickback of nearly $2.2 million for causing another lawyer to purportedly represent his ratepayer client in a collusive lawsuit against the city, which enabled the city to settle the case on favorable terms.
Paul O. Paradis, 60, of Scottsdale, Arizona, who once ran the Manhattan-based Paradis Law Group, was sentenced by United States District Judge Stanley Blumenfeld Jr.
At today’s hearing, Judge Blumenfeld said Paradis intentionally placed himself “at the center of sophisticated and greedy schemes of corruption that wreaked havoc on individuals and institutions alike.” Judge Blumenfeld further explained that Paradis was motivated by “pure greed” and said the level of corruption in the case was “mind-boggling.”
Paradis pleaded guilty in January 2022 to one count of bribery.
In 2013, LADWP implemented a new billing system that it had procured from an outside vendor, PricewaterhouseCoopers (PwC). After LADWP rolled out the new system, hundreds of thousands of LADWP ratepayers received massively inflated and otherwise inaccurate utility bills. Soon afterward, the city and LADWP faced multiple class-action lawsuits filed by ratepayers alleging harm resulting from the faulty billing system.
In December 2014, the Los Angeles City Attorney’s Office retained Paradis as special counsel to represent the city in a lawsuit against PwC. When Paradis began representing the city as special counsel in the PwC litigation, the Los Angeles City Attorney’s Office was aware that he was simultaneously representing Antwon Jones, a ratepayer who had a claim against LADWP arising from billing overcharges. Jones was unaware that his lawyer, Paradis, also represented his intended adversary.
At a February 2015 meeting with at least one senior member of the City Attorney’s Office, Paradis was authorized and directed to find counsel that would be friendly to the city to supposedly represent Jones in a class-action lawsuit against the city. Under this so-called “white knight” strategy, the forthcoming Jones v. City of Los Angeles lawsuit would be used as a vehicle to settle all existing LADWP-billing-related claims against the city on the city’s desired terms.
Soon thereafter, Paradis recruited an Ohio lawyer to nominally represent Jones in the white knight lawsuit with the understanding that Paradis would do virtually all the work. In exchange, and unbeknownst to the city, Paradis and the Ohio lawyer agreed that Paradis would receive 20% of the Ohio lawyer’s fees in the Jones v. City case as a secret kickback.
In July 2017, a Los Angeles Superior Court judge issued a final approval of the $67 million settlement agreed to by the parties in Jones v. City, including approximately $19 million in plaintiffs’ attorney fees, of which the Ohio lawyer and his law firm obtained approximately $10.3 million. The Ohio lawyer then secretly paid $2,175,000 to Paradis, disguising the kickback as a real estate investment, and funneling it through shell companies that Paradis and the Ohio lawyer had set up exclusively for the purpose of transmitting and concealing the illicit payment.
Paradis also admitted bribing LADWP’s general manager, David H. Wright, to obtain a lucrative $30 million no-bid contract in June 2017 to remediate LADWP’s billing system. In another secret deal, Wright lobbied the LADWP Board to approve the contract for Aventador Utility Solutions, a downtown Los Angeles-based cyber services company formed by Paradis, in exchange for Paradis’ promise to make Wright Aventador’s future CEO and give him a $1 million annual salary and luxury car.
At the time it approved the no-bid contract, the LADWP Board was not informed that Paradis had ghostwritten a May 2017 independent monitor report on the Jones v. City settlement on which LADWP based its decision. The Paradis-written report claimed that LADWP could not meet its obligations under the Jones v. City settlement agreement unless it contracted with Aventador. The LADWP Board also was unaware that Wright was advocating for the award of the $30 million no-bid contract to Paradis’s company because he had been bribed.
Paradis pled guilty to a cooperation plea agreement that requires Paradis to provide information to federal investigators as well as to the State Bar of California, which is conducting its own disciplinary investigation related to the collusive litigation scheme, in exchange for potential sentencing consideration.
Federal prosecutors said Paradis’ cooperation helped to secure the guilty pleas of Wright, who also pleaded guilty to bribery, Thomas H. Peters, the former litigation chief of the City Attorney’s Office, who pleaded guilty to extortion in connection with covering up the collusive litigation, and David F. Alexander, LADWP’s former Chief Information Security Officer, who pleaded guilty to lying to the FBI about bribery-related conversations with Paradis.
In court papers and at today’s hearing, federal prosecutors recommended a sentence of 18 months’ imprisonment based on Paradis’ cooperation with the federal and State Bar of California investigations. Judge Blumenfeld acknowledged the basis for the government’s recommendation but stated a higher sentence was necessary to account for Paradis’ conduct, which Judge Blumenfeld said, “shattered public confidence in the government and legal profession.”
Wright and Alexander are serving federal prison sentences of six years and four years, respectively, after pleading guilty to felony offenses in this case. Peters was sentenced to probation.
The FBI investigated this matter.
Assistant United States Attorneys J. Jamari Buxton and Susan S. Har of the Public Corruption and Civil Rights Section prosecuted this case.
Former Jail Corrections Officer, Wife Plead Guilty to Child PornographyRead the Press Release
JEFFERSON CITY, Mo. – A former corrections officer at the Jefferson City Correctional Center and his wife pleaded guilty in federal court today to charges related to video recording their sexual assault of a child victim.
Paul Emerson Schofield, 35, and his wife, Sara Ellen Schofield, 30, both of Jefferson City, each pleaded guilty in separate appearances before U.S. Magistrate Judge Willie J. Epps, Jr., to one count of conspiracy to produce child pornography and one count of producing child pornography. The Schofields have been in federal custody without bond since their arrest on July 13, 2022.
By pleading guilty today, Paul and Sara Schofield each admitted they participated in a conspiracy to produce child pornography over a nearly three-year period from July 29, 2019, to June 7, 2022. A child victim under the age of 12 was used to produce child pornography.
The investigation began when law enforcement received a CyberTip from the National Center for Missing and Exploited Children on April 25, 2022. Kik, a free online social media platform, reported that a user later identified as Paul Schofield had uploaded multiple videos of child sexual exploitation material.
Paul Schofield was active in the child pornography trading community. Multiple Kik chats were located in which he was distributing and receiving child pornography and discussing child molestation.
Law enforcement officers executed a search warrant at the Schofields’ residence on June 7, 2022. A forensic examiner conducted a preview of Paul Schofield’s cell phone and located several videos of child pornography, including infants engaged in sexual contact with adults. Examiners later found videos on the phone of both Paul and Sara Schofield sexually assaulting an unconscious 4-year-old victim.
On June 9, 2022, law enforcement officers executed another search warrant at the Schofields’ residence. Officers seized Sara Schofield’s cell phone, which contained another sexually explicit video of the same 4-year-old victim in which the voices of Paul and Sara Schofield can be heard.
At the time of the offense, Paul Schofield was employed as a corrections officer at the Jefferson City Correctional Center in Jefferson City.
Under the terms of today’s plea agreements, the government and the defendants agree to recommend a sentencing range between 30 years and 40 years in federal prison without parole. The sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ashley Turner. It was investigated by the Boone County, Mo., Sheriff’s Office Cyber Crimes Task Force and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Former Florida Attorney Sentenced to 14 Years in Federal Prison for Racketeering Relating to Operation of His Tallahassee Law Firm and Investment CompaniesRead the Press Release
TALLAHASSEE, FLORIDA – Phillip Timothy Howard, 62, of Tallahassee, Florida, was sentenced to fourteen years in federal prison after previously pleading guilty to racketeering (RICO). The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“The defendant should have been protecting the interest of his injured clients, rather than swindling their investments,” said U.S. Attorney Coody. “Today’s sentence both punishes the defendant’s criminal conduct and should serve as a significant deterrent to others who would selfishly steal to unlawfully enrich themselves. With our law enforcement partners, we remain committed to investigating and prosecuting those who engage in such fraudulent conduct.”
Court documents reflect between December 2015, and January 2018, Howard, a Florida attorney, along with associates and employees of his Tallahassee law firm (Howard & Associates, P.A.) engaged in a criminal Enterprise to defraud his clients of funds from an NFL class-action lawsuit. In addition to his law firm, Howard used several Tallahassee investment companies (Cambridge Capital Group, LLC; Cambridge Capital Wealth Advisors, LLC; Cambridge Capital Advisors, LLC; Cambridge Capital Funding, Inc., Cambridge Capital Group Equity Option Opportunities, L.P.; and Cambridge Capital Partners, L.P.) under his control to steal from clients. Howard, and others conducted and participated in the affairs of the Enterprise, through a pattern of racketeering activity, namely, wire fraud and money laundering. As part of his representation, Howard fraudulently enticed his clients to invest their retirement funds with his investment companies while failing to disclose the structure of the Enterprise, the conflicts of interest, the criminal background of persons associated with or employed by the Enterprise, and the true nature of the investment companies’ funds.
Despite reassuring investors that their money was secure, Howard never informed them that almost none of the investment funds yielded a return and failed to disclose that the investment funds had been commingled with funds used to operate his law firm and to issue payroll for its staff, pay Howard’s personal mortgages, and otherwise personally enrich Howard.
“Phillip Howard weaponized the trust of others,” said Sherri E. Onks, Special Agent in Charge of the FBI Jacksonville Division. “As an attorney, he should have been helping his ailing clients invest in a better future, but instead he stole from their pocketbooks for his own personal gain. And when that wasn’t enough, he exploited the trust of third-party lenders, destabilizing businesses that were reliant on his honesty and integrity. The FBI and our partners will never stop working to protect innocent people and companies from fraud like this.”
In addition, the former NFL player investors were provided fraudulent quarterly and year-end investment statements which indicated that investor funds were allocated into two separate investment funds, including a fund designed specifically to invest in equities. In reality, there were no separated, dedicated investment funds, and the bank accounts for the Enterprise had little or no money. Howard and others fraudulently obtained over $4 million through such conduct.
“IRS-CI agents put a full blitz on Phillip Howard; today’s sentencing is another example of IRS-CI’s ability to quickly tackle those who lie and mislead victims for their own personal enrichment,” said Tara K. Reed IRS-CI Acting Special Agent in Charge. “As an attorney, Howard should have been protecting the interest of his clients rather than intentionally sacking their investments.”
Additionally, Howard sought third-party lenders that would be willing to lend money to Howard’s former NFL clients in advance of their potential NFL concussion settlements as part of the NFL class-action lawsuit, and to Howard as litigation funding for the NFL class-action lawsuit. To obtain such funds for himself and his clients, Howard provided false and fraudulent information, including numerous material misrepresentations and omissions, to the lenders. Howard and others fraudulently obtained and attempted to obtain approximately $8 million from third-party lenders through such conduct.
Howard also solicited investment in a real estate project located in Jacksonville, Florida, and in doing so, promised the investor certain investment returns within a specified period. After the investor transferred money to the investment company, Howard and an employee falsely told the investor that additional money was needed to close the real estate deal. In reliance on this false promise, the investor transferred additional proceeds, only to be told several months that the real estate investment funds were secure and would be returned to her. Howard fraudulently obtained and attempted to obtain over $520,000 from this investor through this conduct.
Howard’s prison sentence will be followed by three years of supervised release, and he will also be required to pay restitution in the amount of $12.64 million.
This conviction was the result of a joint investigation by the Federal Bureau of Investigation and the Internal Revenue Service–Criminal Investigations, with assistance from the U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). The case was prosecuted by Assistant United States Attorneys Justin M. Keen and David P. Byron.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former FBI Contractor Uses Popular Video Game Platform to Solicit Preteens for Child Sexual Abuse MaterialRead the Press Release
ALEXANDRIA, Va. – A former FBI contractor pleaded guilty today to production and receipt of child sexual abuse material (CSAM).
According to court documents, beginning in February, Brett Janes, 26, of Arlington, groomed a 13-year-old minor (MV1) to transition from playing Valorant with him, a popular first-person shooter game, to engaging in “strip” games on a video chat function in Discord. Although MV1 did not want to play this game, Janes employed threats of suicide, various money payments through CashApp, and flattery, until MV1 produced CSAM for him.
In addition, a search warrant revealed Janes was communicating with at least a dozen other minors. Of those minors, he convinced one 12-year-old boy to produce CSAM and attempted to entice another 14-year-old boy to produce CSAM. Janes manipulated these minors by befriending, flattering, and outright begging them for content. A review of his devices revealed he purchased hundreds of videos and images of CSAM from the internet, including graphic videos of prepubescent children being raped.
Janes pleaded guilty to one count of sexual exploitation of children and one count of receipt of child pornography. He is scheduled to be sentenced on February 27, 2024, and faces a mandatory minimum of 15 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Nicole M. Argentieri, Acting Assistant Attorney General of the Justice Department’s Criminal Division; and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
Significant assistance was provided by the Arlington County Police Department and the Galloway Township Police Department in New Jersey.
Assistant U.S. Attorney Laura Withers and Special Assistant U.S Attorney McKenzie Hightower are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:23-cr-140.