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Wednesday 27 September 2023
Owner of Home Health Company Convicted of $2.8M Medicare Fraud SchemeRead the Press Release
A federal jury in the Eastern District of Michigan convicted an Indian national today for orchestrating a $2.8 million health care fraud and wire fraud conspiracy, and engaging in money laundering, aggravated identity theft, and witness tampering.
According to court documents and evidence presented at trial, Yogesh Pancholi, 43, of Northville, Michigan, owned and operated Shring Home Care Inc. (Shring), a home health company based in Livonia, Michigan. Despite being excluded from billing Medicare, Pancholi purchased Shring using the names, signatures, and personal identifying information of others to conceal his ownership of the company. In a two-month period, Pancholi and his co-conspirators billed and were paid nearly $2.8 million by Medicare for services that were never provided. Pancholi then transferred these funds through bank accounts belonging to shell corporations and eventually into his accounts in India. After being indicted, and on the eve of trial, Pancholi, using a pseudonym, wrote false and malicious emails to various federal government agencies alleging a government witness had committed various crimes and should not be allowed to remain in the United States in an attempt to keep the witness from testifying.
The jury convicted Pancholi of conspiracy to commit health care and wire fraud, two counts of substantive health care fraud, two counts of money laundering, two counts of aggravated identity theft, and one count of witness tampering. He is scheduled to be sentenced on Jan. 10, 2024, and faces a mandatory minimum penalty of two years in prison for aggravated identity theft, a maximum penalty of 20 years in prison on each of the conspiracy and witness tampering convictions, and a maximum penalty of 10 years in prison on each of the health care fraud and money laundering counts. 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, Acting Special Agent in Charge Devin J. Kowalski of the FBI Detroit Field Office, and Special Agent in Charge Mario Pinto of the Department of Health and Human Services Office of the Inspector General (HHS-OIG) made the announcement.
The FBI Detroit Field Office and HHS-OIG investigated the case.
Trial Attorneys Shankar Ramamurthy and Andres Almendarez of the Criminal Division’s Fraud Section are prosecuting the case, with assistance from Trial Attorney Kathleen Cooperstein. Trial Attorney Patrick Suter investigated and originally charged the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 25 federal districts, has charged more than 5,000 defendants who collectively have billed federal health care programs and private insurers more than $24 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Operator of Large-Scale Marriage Fraud "Agency" Pleads GuiltyRead the Press Release
BOSTON – A California man pleaded guilty today in federal court in Boston to running a large-scale marriage fraud “agency” that arranged hundreds of sham marriages for the primary purpose of circumventing immigration laws. This included, among other things, obtaining green cards under the Violence Against Women Act (VAWA) by claiming the undocumented clients had been abused by alleged American spouses.
Marcialito Biol Benitez, a/k/a “Mars,” 49, a Philippine national residing in Los Angeles, pleaded guilty to conspiracy to commit marriage fraud and immigration document fraud. U.S. District Court Judge Denise J. Casper scheduled sentencing for Jan. 10, 2024. Benitez was arrested and charged in April 2022.
Benitez operated what he and others referred to as an “agency” that arranged hundreds of sham marriages between foreign national “clients” and United States citizens, including at least one foreign national who resided in Massachusetts. The agency then prepared and submitted false petitions, applications and other documents to substantiate the sham marriages and secure adjustment of clients’ immigration statuses for a fee of between $20,000 and $35,000 in cash.
Benitez operated the agency out of brick-and-mortar offices in Los Angeles, where he employed his co-conspirators as staff. Among other things, Benitez’s staff allegedly assisted with arranging marriages, submitting fraudulent marriage and immigration documents for the agency’s clients – including false tax returns, as well as recruiting U.S. citizens to marry the agency’s clients in exchange for payment.
After pairing foreign national clients with citizen spouses, Benitez’s agency staged fake wedding ceremonies at chapels, parks and other locations, performed by hired online officiants. For many clients, the agency would take photos of undocumented clients and citizen spouses in front of prop wedding decorations for later submission with immigration petitions.
Benitez’s agency then submitted fraudulent, marriage-based immigration petitions to U.S. Citizenship and Immigration Services (USCIS), the federal agency responsible for granting lawful permanent resident status. Benitez’s agency coached clients and spouses through interviews with USCIS and advised clients about maintaining the appearance of legitimate marriage to their spouses. Benitez’s agency arranged sham marriages and submitted fraudulent immigration documents for at least 600 clients between October 2016 and March 2022.
Benitez’s agency would assist certain clients – typically those whose spouses became unresponsive or uncooperative – with obtaining green cards under the Violence Against Women Act (VAWA) by claiming the undocumented clients had been abused by alleged American spouses. Specifically, the agency would submit fraudulent applications on clients’ behalf for temporary restraining orders against spouses based on fabricated domestic violence allegations. Benitez’s agency would then submit the restraining order documentation along with immigration petitions to USCIS, in order to take advantage of VAWA provisions that permit non-citizen victims of spousal abuse to apply for lawful permanent resident status without their spouses’ involvement.
Benitez is the seventh defendant to plead guilty in this case.
The charge of conspiracy to commit marriage fraud provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Office; Chad Plantz, Special Agent in Charge of Homeland Security Investigations in San Diego; and Alanna Ow, Director of U.S. Citizenship & Immigration Services, San Diego District. The U.S. Attorney’s Office for the Central District of California provided valuable assistance in this matter. Assistant U.S. Attorney David M. Holcomb of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Omaha Man Sentenced to Eight Years for Possession of AmmunitionRead the Press Release
Acting United States Attorney Susan Lehr announced that Raymond A. Butler, Jr., 52, of Omaha, Nebraska, was sentenced today in federal court in Omaha following a conviction for being a felon in possession of ammunition. United States District Judge Brian C. Buescher sentenced Butler to 96 months’ imprisonment. There is no parole in the federal system. After his release from prison, Butler will begin a three-year term of supervised release.
On February 22, 2022, Omaha police stopped a vehicle for traffic infractions. Butler was identified as the driver and a data check confirmed an active misdemeanor arrest warrant. During a search incident to arrest, officers found one Winchester 9mm Luger bullet in his pocket. Butler is a convicted felon prohibited from possessing ammunition under federal law. His convictions include first-degree sexual assault in 1991, bank robbery in 2002, and delivery of a controlled substance in 2018.
This case was investigated by the Omaha Police Department.
Nurse Impostor Charged in Multi-Count Federal IndictmentRead the Press Release
Leticia Gallarzo used the identity of a real nurse to obtain employment as a registered nurse
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that a federal grand jury returned an indictment charging Leticia Gallarzo, 48, of Allegan County, with wire fraud, two counts of aggravated identity theft, two counts of making false statements in medical records affecting health care benefit programs, and production of a false identification document, all charges relating to her scheme to defraud employers by posing as a registered nurse.
“These allegations that Ms. Gallarzo faked her qualifications as a licensed medical professional are highly concerning and potentially put innocent patients at risk,” said U.S. Attorney Mark Totten. “My office takes this threat to the public very seriously and thanks our law enforcement partners for their investigative work in this case.”
If convicted, Gallarzo faces a maximum sentence of up to 20 years in prison for wire fraud and two years mandatory imprisonment for aggravated identity theft, to be served consecutively to the underlying sentence.
According to allegations in the indictment and a previously filed criminal complaint, Gallarzo used the Michigan licensing number and the name of a person licensed as a nurse to obtain employment as a registered nurse at two different locations: an area nursing home and a hospice facility. Gallarzo did not possess a valid nursing license and represented that she earned a master’s degree in nursing from The George Washington University and a bachelor’s degree in nursing from Davenport University, despite not having a degree of any kind in nursing. Gallarzo produced a counterfeit Michigan nursing license that was also used to obtain employment with the hospice facility. The hospice facility learned that Gallarzo was a nurse impostor when her fingerprints matched the fingerprints on record due to her previous state and federal convictions for practicing nursing without a license in Texas in 2015 and 2016. The Michigan State Police arrested Gallarzo shortly thereafter.
“As alleged in this case, the defendant recklessly and willingly put the lives of innocent patients at risk,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “The FBI remains committed to ensuring identity theft cases like this one are thoroughly investigated. I would like to extend a special thank you to the Michigan State Police for their outstanding work and support throughout this case.”
“The defendant’s alleged actions demonstrate blatant disregard for the safety and well-being of those under her purported care,” said Mario M. Pinto, Special Agent in Charge with the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). “To ensure that patients receive appropriately qualified services, HHS-OIG will steadfastly pursue those who misrepresent their medical qualifications.”
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.
The charges in an indictment are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
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North Carolina Man Sentenced for Role in $5.8 M Fraud SchemeRead the Press Release
RICHMOND, Va. – A Huntersville, North Carolina, man was sentenced today to 87 months in prison for his role in a fraud scheme that caused over $5.8 million in losses to victims.
According to court documents and testimony at hearings, from 2016 through 2021, Jayson Ryman Colavalla, 51, along with Carl Anthony McNeill, 59, of Mechanicsburg, Pennsylvania; Richard Thornhill Crock, 75, of Mableton, Georgia; and Ksyntolious Miller, 60, of Woodbridge, were involved in an advance fee scheme targeting individuals, small businesses, churches, and other entities that could not obtain conventional lines of credit through banks. The co-conspirators promised these victims that, using their relationships with major investment banks, the co-conspirators could obtain lines of credit for the victims. The scheme required that the victims advance a deposit consisting of 10-14% of the line of credit sought, representing that the deposit would be held in escrow and returned if they did not obtain the line of credit. In fact, the co-conspirators did not have any relationships with the investment banks mentioned in their dealings with the victims and did not safeguard the victims' funds in escrow.
The fraudulently obtained funds from victims were misapplied to pay co-conspirators, cover the payroll and operating expenses of C&D Corporate Services, the company McNeill used to commit the fraud, and pay frustrated victims seeking the return of deposited money. Crock also falsely represented to victims that their advanced funds would be insured via policies issued through a Georgia-based insurance company. These policies were also fraudulent, as the insurance company did not have sufficient assets on hand to compensate victims under such policies.
Colavalla was also ordered to pay over $2.4 million in restitution to victims with which he was involved.
In May, McNeill and Crock were both sentenced to 46 months in prison. In July, Miller was sentenced to 20 months in prison.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney, Jr.
Assistant U.S. Attorneys Michael C. Moore and Avi Panth prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:21-cr-132.
New Castle Resident Sentenced to 120 Months in Prison for Drug TraffickingRead the Press Release
PITTSBURGH, PA – Ricardo Reeves was sentenced to 120 months in prison for fentanyl, heroin, and cocaine trafficking, and for possessing a firearm in furtherance of that drug trafficking, United States Attorney Eric G. Olshan announced today.
Reeves, age 45 of New Castle, Pennsylvania, was sentenced by United States District Judge Arthur J. Schwab. Judge Schwab ordered Reeves to serve four years of supervised release following his prison sentence.
Reeves pled guilty earlier this year to (1) possessing with intent to distribute 40 grams or more of a mixture containing fentanyl and heroin, as well as quantities of cocaine and cocaine base, and (2) possessing a firearm in furtherance of a drug trafficking crime, all on December 14, 2020. Reeves was initially released on bond following his indictment for these crimes. His bond was thereafter revoked after he got caught trafficking more fentanyl and cocaine while on bond.
Assistant United States Attorney Craig W. Haller prosecuted this case on behalf of the United States.
The Lawrence County Drug Task Force, the Pennsylvania State Police, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation leading to the convictions in this 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 of Justice 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.
Montgomery Woman Convicted for COVID-19 Era Paycheck Protection Program Loan FraudRead the Press Release
MONTGOMERY, ALABAMA – Today, a federal jury convicted Zsa Zsa Bouvier Couch, 55, from Montgomery, Alabama, on charges related to loans received through the Coronavirus Aid Relief and Economic Security (CARES) Act, announced United States Attorney Sandra J. Stewart. The CARES act is a federal law enacted in March 2020 to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic.
One source of relief provided by the CARES Act is the Paycheck Protection Program, or PPP, which authorizes the disbursement of forgivable loans to small businesses for job retention and certain other expenses. According to court records and evidence presented at trial, Couch submitted at least six fraudulent applications for loans under the U.S. Small Business Administration’s PPP. In total, Couch sought over $1.6 million. In each application, Couch falsely inflated the number of employees who worked for her purported businesses as well as the businesses’ average monthly payroll. These false statements resulted in her qualifying for larger PPP loan amounts than she would have otherwise been eligible to receive. Couch also made other false statements in her applications. For example, she failed to disclose that she had applied for multiple PPP loans for the same business. She also did not disclose her common ownership of multiple businesses. In support of the inflated employee numbers and average monthly payroll claimed in the applications, Couch submitted falsified tax documents. Ultimately, Couch received a total of $609,687.47 of PPP funds. Couch then used the funds to pay money to herself, her husband, and other family members and to purchase luxury vehicles.
On April 8, 2021, a federal grand jury indicted Couch on multiple counts of bank fraud, making false statements to a federally insured bank, and money laundering. Following the guilty verdict, Couch faces a potential sentence of up to 30 years in federal prison. A sentencing hearing will be scheduled for Couch in the coming months.
“The United States Attorney’s Office is committed to detecting, investigating, and prosecuting individuals who exploit public benefit programs,” said United States Attorney Stewart. “My office will continue to work with law enforcement partners to safeguard all tax dollars, especially programs dedicated to help businesses deal with economic hardships during times of crisis.”
“This conviction underscores our unwavering commitment to upholding the rule of law and ensuring that those who engage in fraudulent activities meant to exploit the CARES Act's provisions are held accountable for their actions,” stated Paul Brown, Special Agent in Charge with the FBI Mobile, Alabama Division. “This accomplishment would not have been possible without the dedication and hard work of our law enforcement partners. We understand the significance of CARES Act funds in supporting individuals and businesses during these challenging times, and we will continue to be vigilant in our efforts to hold accountable any individuals or entities engaged in fraudulent activities related to CARES Act relief programs.”
“The defendant fraudulently took money from programs designed to help struggling small businesses survive during the COVID-19 pandemic,” said Demetrius Hardeman, Acting Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “The verdict today serves as a reminder to others who defrauded government aid programs that IRS-Criminal Investigation and our law enforcement partners are continuing the pursuit to bring them to justice.”
“The Treasury Inspector General for Tax Administration will aggressively pursue those who endeavor to defraud taxpayer-funded Coronavirus Aid, Relief, and Economic Security Act programs, which were established to provide assistance to American business owners during these unprecedented times,” said Mark Morini, Special Agent in Charge of the Treasury Inspector General for Tax Administration Southeast Field Office. “We appreciate the efforts of the U.S. Department of Justice and our law enforcement partners in this effort.”
The FBI, the Internal Revenue Service-Criminal Investigations, the Treasury Inspector General for Tax Administration, and the Small Business Administration Office of Inspector General, investigated this case. Assistant U.S. Attorneys J. Patrick Lamb and Joel Feil are prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus and https://www.justice.gov/coronavirus/combatingfraud.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Michigan Man Sentenced to Two Years in Prison for Participating in Romance Scams and Other Fraud Schemes Targeting Elderly VictimsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that TIMY HAKIM was sentenced to two years in prison and an additional six months in home detention for his participation in a conspiracy to defraud at least 15 victims of romance schemes, lottery scams, and business email compromise schemes. HAKIM was sentenced today by U.S. District Judge Lewis J. Liman.
U.S. Attorney Damian Williams said: “Hakim and his co-conspirators devastated elderly and vulnerable victims, including recent widowers. Several of the victims lost their entire life savings and one victim reported becoming suicidal. A U.S. citizen, Hakim provided co-conspirators in South Africa with U.S. phones used to contact and deceive victims and opened and operated bank accounts that laundered the victims’ money. He will now spend time in prison and be compelled to make restitution to the victims of the schemes.”
According to Count One of the Information to which HAKIM pled guilty and other statements and submissions made in Court:
From at least in or about 2015 up to and including November 2019, HAKIM participated in an international wire fraud conspiracy that left at least 15 people and entities with over $1.4 million in losses. HAKIM facilitated the laundering of proceeds of three types of fraud schemes, a “Romance Scheme,” a “Lottery Scheme,” and a “BEC Fraud Scheme.” Through the Romance Scheme, a vulnerable individual was led to believe she or he was in a romantic online relationship with a perpetrator of the Scheme, when in fact, the perpetrator merely used this as a mechanism to build the victim’s trust and solicit the victim’s money. Through the Lottery Scheme, the scheme participants informed certain victims that they had won a cash prize but first needed to make certain payments to access the funds. Through the BEC Fraud Scheme, the scheme participants induced a corporate victim located in Manhattan to release company funds under fraudulent pretenses by impersonating the founder of the company.
HAKIM controlled multiple U.S. and foreign bank accounts that received funds from victims targeted by these schemes. HAKIM also obtained and provided his foreign co-conspirators in South Africa with cell phones with American numbers subscribed to his plan, which were used to contact and defraud victims. And on at least one occasion, HAKIM personally contacted a victim pretending to be a government official involved in detaining the victim’s partner to induce the victim to send money.
At least 15 individual and corporate victims lost money as part of HAKIM and his co-conspirators’ schemes. They include vulnerable, isolated, and elderly victims, who entered into relationships after the deaths of their spouses and, over a period of several years, were induced to drain their entire retirement savings and take out loans from family and friends. Many victims experienced severe emotional harm, including a woman who reported becoming suicidal after losing her retirement savings to this scheme.
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In addition to his prison term, HAKIM, 47, was sentenced to three years of supervised release, including six months to be spent in home detention, and was ordered to pay $1,414,043 in restitution and to forfeit $671,452.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
The criminal case is being prosecuted by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorney Vladislav Vainberg is in charge of the prosecution.
Mexican National Pleads Guilty to Federal Drug and Immigration ChargesRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced today that on September 26, 2023, FERMIN DANIEL PUENTE-MONTOYA, age 32, pleaded guilty to a three-count bill of information charging him with violating the Federal Controlled Substances Act and Illegal Reentry of a Removed Alien.
According to court documents, PUENTE-MONTOYA and two others, conspired to transport an amount of methamphetamine from Houston, Texas to Kenner, Louisiana. PUENTE-MONTOYA furthered the conspiracy by transporting the methamphetamine from Houston to Kenner by personal vehicle. In the course of doing so, he was pulled over by law enforcement in Kenner who observed him giving the methamphetamine to his co-conspirators. Prior to this drug trafficking conspiracy, PUENTE-MONTOYA had been deported from the United States and reentered the country illegally.
On Counts 1 and 2, conspiracy to distribute and possession with intent to distribute methamphetamine, PUENTE-MONTOYA faces a maximum sentence of twenty years imprisonment, up to a $1,000,000 fine, and up to three years of supervised release. For Count 3 that charges him with illegal reentry, PUENTE-MONTOYA faces up to two years imprisonment, up to a $250,000 fine, and up to one year of supervised release. Each individual count also requires payment of a mandatory $100 special assessment fee.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at http://www.justice.gov/OCDETF.
United States Attorney Evans praised the work of the Drug Enforcement Administration and the Kenner Police Department. The prosecution is being handled by Assistant United States Attorney Stuart Theriot of the Narcotics Unit.
Members of deadly alien smuggling ring convictedRead the Press Release
BROWNSVILLE, Texas – Several members of a deadly alien smuggling ring have pleaded guilty to conspiring to smuggle illegal aliens resulting in multiple deaths, announced U.S. Attorney Alamdar S. Hamdani.
Juan Manuel Tena, 40, Pharr, Julia Isairis Torres, 37, Israel Torres Jr., 34, and Jose Refugio Torres, 27, all of Roma, conspired to transport illegal aliens from the Rio Grande Valley to destinations within the United States. As a result of that conspiracy, a total of eight aliens were killed and two others seriously injured.
All four were all involved in the attempted smuggling of illegal aliens in March 2019 by motor vehicle from the Rio Grande Valley to Houston. During this failed attempt, a vehicle rolled over and caused the deaths of four non-U.S. citizens with serious injuries to one other.
Tena and others also attempted to smuggle illegal aliens in February 2022 by watercraft from South Padre Island to the Corpus Christi area. The watercraft capsized, resulting in the deaths of four other non-U.S. citizens and serious injury to another.
The victims included migrants from Honduras, Mexico, Guatemala, El Salvador and Ecuador as well as a 17-year-old boy from Ecuador and a pregnant woman from Honduras.
“From the shores of Corpus Christi to the backroads of the Rio Grande Valley, Tena and his associates left a dark path strewn with dead migrants. Eight people, including a pregnant mother, lost their lives due to their actions,” said Hamdani. “Like so many others, the victims in this case wanted to come to America for a better life, but Tena and his associates took advantage of them for profit. Now they are going to federal prison. Let this case be an example to anyone thinking about smuggling people in the United States, especially using dangerous means. You will be prosecuted. You will be held accountable.”
“Not only did this human smuggler conspire to undermine our nation’s immigration laws for his own personal profit, but eight migrants lost their lives because of his callous and reckless disregard for those whom entrusted him,” said Special Agent in Charge Craig Larrabee of Homeland Security Investigations (HSI). “HSI remains committed to working with our law enforcement partners, and utilizing our unique investigative authorities, to bring those responsible for horrible tragedies like this to justice.”
As part of his plea, Tena admitted to coordinating and recruiting co-conspirators to transport illegal aliens using watercraft and vehicles in both March 2019 and February 2022. Tena also agreed to the forfeiture of several properties in Roma and Pharr that he admitted to purchasing with the proceeds he received from the conspiracy.
As part of their pleas, Julia Torres and Jose Torres both admitted to their involvement in the March 2019 failed alien smuggling attempt.
On July 26, Israel Torres also pleaded guilty to his involvement in the March 2019 incident.
U.S. District Judge Roland Olvera accepted the pleas and set sentencing for Dec. 20. At that time, all four face up to life in federal prison and a possible $250,000 maximum fine.
Tena has been and will remain in custody pending sentencing.
Julia Torres, Israel Torres and Jose Torres were permitted to remain on bond pending their hearings.
HSI conducted the investigation with the assistance of Border Patrol; Coast Guard; Customs and Border Protection’s Air and Marine Operations; police departments in Port Mansfield and South Padre Island; Texas Rangers; Texas Game Wardens; sheriff’s offices in Kenedy, Duval and Willacy Counties; and the Willacy County District Attorney’s Office. Assistant U.S. Attorneys Edgardo J. Rodriguez and David A. Lindenmuth are prosecuting the case.
Member of Violent Gang in Pontiac Sentenced to 94 Months in Federal Prison for Aggravated Identity Theft and Possession of A MachinegunRead the Press Release
DETROIT – Immanuel Gates, 21, of Southfield, MI, was sentenced in federal court in Detroit today to 94 months in federal prison for illegal possession of a machine gun and aggravated identity theft, announced United States Attorney Dawn N. Ison. Gates was a member of the violent R Block street gang, which was active in the city of Pontiac.
Ison was joined in the announcement by Irene Lindow, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General and James Deir, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court records, Gates stole over $400,000 from at least four different states, in an unemployment insurance fraud scheme. Gates used personal identifying information of victims to assume their identities and fraudulently apply for unemployment in Michigan, Rhode Island, Arizona, and California. Gates used addresses in Pontiac MI, Waterford MI, and Ventura CA to perpetrate this fraud. Gates engaged in approximately $413,114 of unemployment insurance fraud.
Gates used some of the money he fraudulently obtained to purchase firearms. In a single day, Gates spent at least $3,273 of his fraud proceeds to purchase four firearms. Two of those firearms were subsequently used in shootings in Pontiac. Gates also transferred at least $7,950 to a straw purchaser who purchased firearms on his behalf. The straw purchaser has pleaded guilty in federal court.
Gates also purchased over thirty Glock conversion devices, commonly called “switches” from a Russian website. A Glock conversion device converts a semi-automatic pistol into a fully automatic firearm. Gates spent no less than $14,700.00 on guns and Glock conversion devices between October of 2020 and September of 2021.
“This prosecution and sentence reflect my office’s commitment, to hold accountable those relative few individuals who drive violence in our communities,” stated United States Attorney Dawn Ison. “And make no mistake, those who supply guns for others to use illegally are driving violence and will face federal prosecution.”
“Today’s significant sentence sends a strong message to dangerous street gangs that the law enforcement community will use every available tool to ensure the safety of our communities. Immanuel Gates engaged in an egregious scheme to obtain more than $400,000 in unemployment insurance funds by using stolen identities to file fraudulent claims. Gates used the proceeds of his fraudulent activities to purchase machine gun switches, which turn handguns into automatic weapons” said Irene Lindow, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General. “We are grateful to the U.S. Attorney’s Office for the Eastern District of Michigan, the ATF, and our other federal, state, and local law enforcement partners for their strong partnership and collaboration on these types of investigations.”
This case was investigated by special agent of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Department of Labor, Office of Inspector General. This case was prosecuted by Assistant United States Attorney Matthew Roth.
Melbourne Man Sentenced to More Than Three Years in Federal Prison for Stealing Social Security BenefitsRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that U.S. District Judge Carlos E. Mendoza has sentenced Tommy Mendez (42, Melbourne) to three years and one month in federal prison for theft of government funds. As part of his sentence, the court also entered an order of forfeiture in the amount of $173,125, the proceeds of the theft of government funds. Mendez had pleaded guilty on July 3, 2023.
According to court documents, Mendez applied for child auxiliary benefits, which are Social Security benefits due to children of deceased wage earners, on behalf of his minor child. Mendez also applied for a separate monthly benefit due to the surviving spouse of a deceased wage earner with a child-in-care. On the applications, Mendez falsely claimed that the eligible child was living with him. Mendez’s applications were approved, and the Social Security Administration (SSA) paid both monthly benefits to Mendez. Mendez misused the child auxiliary benefits received on behalf of his minor child for his own personal expenses and was never entitled to the child-in-care benefits because the minor child did not live with him. In total, Mendez received $173,125 in SSA benefits to which he was not entitled.
“Mr. Mendez fraudulently obtained Social Security benefits for himself and a minor child by falsely reporting information to the Social Security Administration (SSA). This prison sentence holds Mr. Mendez accountable for using fraudulently obtained benefits as his own personal slush fund,” said Gail S. Ennis, Inspector General for the SSA. “I thank the U.S. Attorney’s Office and Special Assistant United States Attorney Suzanne Huyler for their efforts in prosecuting this case.”
This case was investigated by the Social Security Administration, Office of the Inspector General. It was prosecuted by Special Assistant United States Attorney Suzanne Huyler.
Maryland Man Convicted of Gun ChargeRead the Press Release
WASHINGTON – Artie Byrd, 31, of Hyattsville, Maryland, was found guilty, today, of unlawful possession of a firearm by a convicted felon. The verdict, in the U.S. District Court for the District of Columbia, was announced by Matthew M. Graves, U.S. Attorney for the District of Columbia and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD). A sentencing hearing is scheduled for January 5, 2024.
According to evidence presented at trial, on September 2, 2022, Byrd was driving southbound on Connecticut Avenue, while somewhat intoxicated, in a car bearing counterfeit Delaware tags. Two MPD officers observed Byrd’s driving and noticed the fake tags. When the officers attempted a traffic stop, Byrd fled, turning down a dead-end cul-de-sac and crashing his car into a bench in front of a house. Byrd bailed out of the car and ran between two houses into a back yard. After realizing he was trapped in by a series of fences and a retaining wall, Byrd eventually surrendered. Officers canvassed his flight path and found a loaded Smith & Wesson .40 caliber semi-automatic handgun loaded with 14 rounds in the magazine and one in the chamber. No one observed Byrd with the gun in his hand and no one saw him toss the gun, but DNA analysis tied him to the gun.
Byrd faces a statutory maximum sentence of 15 years in prison, plus a period of supervised release. The court will determine the appropriate sentence after considering the guideline sentencing range and other relevant factors.
This case was investigated by the Metropolitan Police Department.
The case was prosecuted by former Assistant U.S. Attorney Connor Mullin, and Assistant U.S. Attorney’s Josh Gold, Colin Cloherty, and Cameron Tepfer, of the U.S. Attorney’s Office for the District of Columbia.
Man who sold fake Native Art to Seattle customers sentenced to two years of probation and 200 hours of community service for violations of the Indian Arts and Crafts ActRead the Press Release
Seattle – A 54-year-old Western Washington artist was sentenced today to 24 months of probation and 200 hours of community service for violations of the Indian Arts and Crafts Act by representing himself as a Native American artist, when he had no tribal enrollment or heritage, announced Acting U.S. Attorney Tessa M. Gorman. Lewis Anthony Rath, of Maple Falls, pleaded guilty in March 2023. U.S. District Judge Tana Lin thanked the tribal representatives who participated in the sentencing hearing. She read aloud the letter submitted by the San Carlos Apache Tribe Chairman, Terry Rambler, describing the harm to his 17,000 tribal members caused by Rath’s misappropriation of his Tribe’s culture in selling his fake artwork. Judge Lin also heard from Yavapai-Apache jewelry artist Matagi Sorensen who spoke about the importance of art to the survival of his people both culturally and financially.
According to documents filed in the case, the investigation of Lewis Anthony Rath began in July 2018, when the Indian Arts and Crafts Board received a complaint that Rath was representing himself as a San Carlos Apache Indian artist, when in fact, he is not an enrolled tribal member. For more than a year, Rath sold carved wooden totem poles, transformation masks, and pendants to Seattle retail stores, claiming they were Native American art.
Agents executed a federal search warrant at Rath’s residence and recovered feathers from birds protected under the Bald and Golden Eagle Protection Act and the Migratory Bird Treaty Act, according to results from the National Fish and Wildlife Forensic Lab.
In a statement to the court, Assistant U.S. Attorney Tate London stated, “Rath’s victims are real: they are Indian artists, many who struggle to make a living, who lost out on sales to those who seek authentic Indian artwork; and they are also consumers who were defrauded into purchasing fake Indian art.”
“Lewis Anthony Rath’s false Tribal affiliation involving the San Carlos Apache Tribe cheated customers and impacted the economic and cultural livelihood of Native American artists," said Edward Grace, Assistant Director of the U.S. Fish and Wildlife Service Office of Law Enforcement. “Protecting American Indian and Alaska Native culture and traditions is a critical part of the Indian Arts and Crafts Act. Our dedicated team of special agents work on behalf of the U.S. Department of the Interior and the Indian Arts and Crafts Board to protect American Indian and Alaska Native artists and the consumers who purchase authentic Native American art and craftwork. This sentencing is important in the ongoing effort to hold Indian Arts and Crafts Act violators accountable. We want to thank our partners at the U.S. Department of Justice and the Indian Arts and Crafts Board for their assistance with this investigation.”
“Counterfeit Indian art, like Lewis Anthony Rath’s carvings and jewelry that he misrepresented and sold as San Carlos Apache-made, tears at the very fabric of Indian culture, livelihoods, and communities,” stated U.S. Department of the Interior Indian Arts and Crafts Board (IACB) Director Meridith Stanton. “The IACB by statute is responsible for administering the Indian Arts and Crafts Act (IACA), an anti-counterfeiting law to protect Indian artists and consumers. Mr. Rath’s actions demean and rob authentic Indian artists who rely on the creation and sale of their artwork to put food on the table, make ends meet, and pass along these important cultural traditions and skills from one generation to the next. His actions also undermine consumers’ confidence in the Indian art market in the Northwest and nationwide. Due to the outstanding work of the Office of the U.S. Attorney-Western District of Washington and the U.S. Fish and Wildlife Service IACA Investigative Unit, Mr. Rath is being held accountable and the message is clear. For those selling counterfeit Indian art and craftwork it is important to know that wherever you are we will diligently work to find you and prosecute you under the Indian Arts and Crafts Act.”
The case was investigated by the U.S. Fish and Wildlife Service, Office of Law Enforcement. The case was prosecuted by Assistant United States Attorney and Tribal Liaison J. Tate London.
Man is Sentenced 15 Years for Possession of Meth and Firearm ChargesRead the Press Release
DEL RIO – An Eagle Pass man was sentenced on Monday to 15 years in prison for distributing methamphetamine and being a felon in possession of a firearm.
According to court documents, on October 21, 2021, a search warrant was conducted at the residence of Mario Alberto Torres Jr., 30, and co-defendant Kayla Saldana, 27, of Batesville, Texas. During the search, law enforcement found over 350 grams of methamphetamine and two handguns.
“Through the efforts of the Eagle Pass DEA, a significant source of narcotics supply at the community level was disrupted,” said U.S. Attorney Jaime Esparza. “The U.S. Attorney’s Office will continue to work hand in hand with law enforcement to rid our communities of these illegal and dangerous substances.”
“Mario Alberto Torres Jr., was profiting off small communities by selling poison in the form of meth," said Special Agent in Charge Daniel C. Comeaux of the Houston Division. "Let this sentence be a clear message to anyone considering harming our cherished communities. Our collaborative efforts with our federal, state, and local partners continue to demonstrate our unwavering commitment to protecting our citizens' lives.”
On July 18, 2022, Torres pleaded guilty to one count of conspiracy to possess with intent to distribute methamphetamine; one count of possession with intent to distribute methamphetamine; and two counts of felon in possession of a firearm. Torres has remained in federal custody since his arrest on October 21, 2021.
On April 4, 2022, co-defendant Kayla Saldana pleaded guilty to one count of conspiracy to possess with intent to distribute methamphetamine. On April 20, 2023, Saldana was sentenced to 11 years in prison.
The DEA investigated the case.
Assistant U.S. Attorney Brett Miner prosecuted the case.
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Man Who Allegedly Attempted to Stab Flight Attendant and Open Airplane Door Mid-Flight Indicted by Grand JuryRead the Press Release
BOSTON – A Leominster, Mass. man has been indicted by a federal grand jury in Boston for allegedly attempting to open an emergency exit door while aboard a United Airlines flight from Los Angeles to Boston and then allegedly attempting to stab a flight attendant in the neck.
Francisco Severo Torres, 33, was indicted on one count of interference and attempted interference with flight crew members and attendants using a dangerous weapon. Torres was initially charged by criminal complaint on March 6, 2023 following his arrest at Boston Logan International Airport.
According to the charging documents, on March 5, 2023, Torres was a passenger aboard a United Airlines flight from Los Angeles to Boston. Approximately 45 minutes prior to landing, the flight crew received an alarm in the cockpit that a starboard side door located between the first class and coach sections of the aircraft was disarmed. Upon inspection, a flight attendant found that the door’s locking handle had been moved out of the fully locked position – approximately a quarter of the way towards the towards the unlocked position – and that the emergency slide arming lever had been moved to the “disarmed” position. The flight attendant reported this to the captain and flight crew after securing the door and emergency slide.
In subsequent discussions, a fellow flight attendant reported that he had observed Torres near the door and believed Torres had tampered with the door. A flight attendant then confronted Torres about tampering with the door, to which he allegedly responded by asking if there were cameras showing that he had done so. According to court documents, the flight attendant then notified the captain that they believed Torres posed a threat to the aircraft and that the captain needed to land the aircraft as soon as possible.
Shortly thereafter, it is alleged that Torres got out of his seat and approached the starboard side door where two flight attendants were standing in the aisle. One of the flight attendants saw Torres mouthing something that he could not hear. Video taken by a passenger allegedly depicts Torres yelling at points that he would “kill every man on this plane” and “I’m taking over this plane.” Torres then allegedly thrust towards one of the flight attendants in a stabbing motion with a broken metal spoon, hitting the flight attendant on the neck area three times. Passengers then tackled Torres and he was restrained with the assistance of flight crew. Torres was immediately taken into custody upon the flight’s arrival to Boston.
It is alleged that during subsequent interviews, passengers who were aboard the flight reported that Torres asked a fellow passenger where on the safety card it showed where the door handle was located during the flight attendants’ safety briefing prior to takeoff and that Torres was seen pacing in a galley before attacking the flight attendant.
The charge of interference and attempted interference with flight crew members and attendants using a dangerous weapon provides for a sentence of up to life in prison, up to five years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; and Boston Police Commissioner Michael Cox made the announcement today. Assistant U.S. Attorney Elianna J. Nuzum 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.
Local man charged with orchestrating investment fraud schemeRead the Press Release
HOUSTON – A 38-year-old Mont Belvieu resident has been taken into federal custody on charges he diverted victims’ monies for his personal use, announced U.S. Attorney Alamdar S. Hamdani.
A federal grand jury returned the indictment Sept. 27 against Carl Spence.
Spence allegedly ran an investment business called AEI Financial from his residence. According to the charges, Spence lured victims by promising he would invest their funds and obtain 20-30% returns on investment. He also allegedly falsely represented to investors that he was registered with the SEC.
Spence would divert victims’ money and use it to pay for his own personal expenses or to pay previous investors, according to the charges. In addition, although the victims’ money had been significantly (or nearly completely) depleted, Spence would allegedly produce fraudulent account statements showing that the victims’ accounts had grown.
Spence faces one count of wire fraud which carries a penalty of up to 20 years imprisonment and a possible $250,000 maximum fine, upon conviction.
The FBI conducted the investigation. Assistant U.S. Attorneys Thomas Carter and Brad Gray are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Local man admits to fondling minor while producing child pornographyRead the Press Release
HOUSTON - A 38-year-old resident of Montgomery County has pleaded guilty to sexual exploitation of a child and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.
Authorities identified James Aubrey Zachary Wasson after discovering over 500 files of child pornography he had uploaded between March 2019 and March 2021. One folder contained a series of 51 photographs, all taken on a single date in December 2020. Some showed him in a state of sexual arousal next to a minor female child. He also appeared to be fondling her under her clothing.
A subsequent search of Wasson’s cell phone confirmed it was the device he used to produce the series of sexually explicit photographs. The cell phone also contained other files of child pornography saved between May 2020 and May 2021.
The minor victim also identified Wasson and recalled when he took the photographs.
U.S. District Judge George C. Hanks accepted the plea and set sentencing for Jan. 4, 2024. At that time, Wasson faces a minimum of 15 and up to 30 years in prison for sexual exploitation of a child, as well as up to 10 years for possession of child pornography.
He has been and will remain in custody pending sentencing.
Homeland Security Investigations conducted the investigation.
Assistant U.S. Attorney Stephanie Bauman is prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Leader of White Supremacist Group Pleads Guilty to Conspiring to Make Death Threats Against JournalistRead the Press Release
Earlier today in federal court in Brooklyn, Nicholas Welker, also known as “King ov Wrath,” pleaded guilty to conspiring to make interstate threats. Welker, the leader of Feuerkrieg Division (FKD), an international racially or ethnically motivated violent extremist group (RMVE), posted death threats against a Brooklyn-based journalist (the “Journalist”) to cause him/her to stop reporting on the extremist group. The proceeding was held before United States District Judge Pamela K. Chen. When sentenced, Welker faces up to five years in prison.
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 guilty plea.
“Welker and his hate group threatened a journalist to prevent reporting on the white supremacist group that Welker led. Today’s guilty plea represents a victory for freedom of the press,” stated United States Attorney Peace. “This prosecution demonstrates our commitment to ensuring that those who espouse hateful, extremist ideologies, like Welker, cannot silence First Amendment-protected activity through threats of violence and will be met with the full force of the law.”
Mr. Peace praised the outstanding investigative work of the FBI’s New York Joint Terrorism Task Force, which consists of investigators and analysts from the FBI, the NYPD, and over 50 other federal, state, and local agencies. Mr. Peace also thanked the Estonian Internal Security Service and Prosecutor’s Office for their valuable support.
According to court filings and facts presented at the plea hearing, Welker’s threat included a photograph of the Journalist with a gun aimed at his/her head and the words “Race Traitor” over the journalist’s eyes. The threat stated, “JOURNALIST F[***] OFF! YOU HAVE BEEN WARNED.” Welker posted the threat to a public online forum. Two under-aged FKD members tweeted the threat directly at the Journalist’s twitter handle so that he/she would see the death threat. Welker intended to frighten the Journalist into dropping his/her reporting on Welker’s hate group.
FKD members share a common goal of challenging laws, social order, and the government via terrorism and other violent acts. The organization encourages attacks on racial minorities, the Jewish community, the LGBTQ+ community, the U.S. Government, journalists, and critical infrastructure. FKD has members in the United States and abroad.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Ellen H. Sise and Andrew Reich are in charge of the prosecution with assistance from Trial Attorney Jennifer Levy of the National Security Division’s Counterterrorism Section.
The Defendant:
NICHOLAS WELKER (also known as “King ov Wrath”)
Age: 32
San Jose, CaliforniaE.D.N.Y. Docket No. 23-CR-141 (PKC)
Kentwood Resident Pleads Guilty to Federal Drug and Firearms ChargesRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced today that TRACY DAVIS, age 51, of Kentwood, LA, pled guilty on September 26, 2023 to one (1) count of Possession with Intent to Distribute a Controlled Dangerous Substance, in violation of Title 21, United States Code, Section 841, one (1) count of Possession of Firearms in Furtherance of a Drug Trafficking Offense, in violation of Title 18, United States Code, Section 924(c)(1)(A), and one (1) count of Possession of a Firearm by a Convicted Felon, in violation of Title 18, United States Code, Section 922(g)(1).
According to court documents, DAVIS was prohibited from possessing a firearm due to a previous felony conviction. The Drug Enforcement Administration and Hammond Police Department began investigating DAVIS due to a complaint that DAVIS was distributing narcotics in the Kentwood area. A search warrant was obtained for two residences and a vehicle associated with DAVIS, that resulted in the seizure of cocaine and multiple firearms from within the residences and vehicle.
For the controlled dangerous substance charge, DAVIS faces a maximum sentence of twenty years, up to a $1,000,000 fine, and up to three years of supervised release. For the possession of a firearm in furtherance of drug trafficking charge, DAVIS faces an additional five years up to life imprisonment that must run consecutive to every other term of imprisonment, a fine of up to $250,000 and up to five years of supervised release. For the possession of a firearm by a convicted felon charge, DAVIS faces up to fifteen years imprisonment, up to a $250,000 fine, and up to three years of supervised release. Each count also requires payment of a mandatory $100 special assessment fee.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at http://www.justice.gov/OCDETF.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration and Hammond Police Department. This case is being prosecuted by Assistant U.S. Attorney Stuart Theriot of the Narcotics Unit.
KC Street Gang Members Sentenced for Drug-Trafficking, Drive-By Shooting, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – Two Kansas City, Mo., men who were part of a violent street gang have been sentenced in federal court for their roles in a drug-trafficking conspiracy and other violent criminal behavior that included illegal firearms and a drive-by shooting outside a daycare center where children were present.
David J. Duncan, IV, also known as “Deej” or “DJ,” 34, and Gary O. Toombs, 43, were sentenced in separate appearances before U.S. District Judge Greg Kays on Tuesday, Sept. 26. Duncan was sentenced to 30 years in federal prison without parole. Toombs was sentenced to 12 years and seven months in federal prison without parole.
On Sept. 15, 2022, Duncan and Toombs were found guilty at trial of participating in a conspiracy to distribute heroin, cocaine, oxycodone, and marijuana from Jan. 1, 2011, to Oct. 1, 2019.
Co-defendants Ladele D. Smith, also known as “Dellio” and “Dog,” 36, and Roy Franklin, Jr., 34, both of Kansas City, Mo., also were convicted during the same trial and were sentenced on Sept. 18, 2023. Smith was sentenced to 35 years in federal prison without parole. Franklin was sentenced to 30 years in federal prison without parole.
The investigation into the 246 street gang, operating in the Kansas City metropolitan area, began in June 2017. The gang is an alliance of gang members from the 24th, 43rd, and 68th streets of Kansas City, Mo. Smith was identified as a leader of the gang, and Franklin, Duncan and Toombs as members of the gang.
Duncan and Smith are local rap artists who often posted to social media platforms, such as YouTube, with references to the 246 gang. In some of the videos, they display firearms and large amounts of cash. The social media posts also portrayed Smith and others wearing expensive jewelry, watches, hats, clothing and tactical vests that depicted 246 gang affiliation.
Members of the 246 gang used a residence in the 4400 block of Kensington, which is within 1,000 feet of George Washington Carver Dual Language School, a public elementary school, for gang and drug-trafficking business. No one utilized the house as a primary or permanent residence. On Oct. 2, 2019, law enforcement officers executed a search warrant at the house and seized 295 grams of heroin as well as two assault rifles and a stolen vehicle that had been used in a drive-by shooting the previous month. According to court documents, the drive-by shooting was done at Duncan’s direction. Officers also found a Glock 9mm semi-automatic pistol and a Century Arms International 7.62x39mm pistol under the couch in the living room and a Glock .40-caliber semi-automatic pistol on the kitchen cabinet.
Duncan was arrested at his apartment on Oct. 2, 2019. Officers searched his residence and found a Zastava 7.62 x 39mm rifle, a Norinco 7.62 x 39mm rifle, a Glock 9mm semi-automatic pistol, two loaded rifle magazines, and a loaded handgun magazine under the bed in a bedroom. Officers found $7,100 in cash and four bags that contained a total of 179 pills, a total of more than two kilograms of oxycodone, in the living room.
Duncan also was found guilty of one count of drive-by shooting, one count of discharging a firearm in furtherance of a violent crime, one count of possessing oxycodone the intent to distribute, one count of possessing a firearm in furtherance of a drug-trafficking crime, and five counts of money laundering related to the purchases of money orders with drug-trafficking proceeds. Those money orders, according to court documents, were used to pay rent for his apartment and a payment on his Dodge Charger. Duncan laundered at least $272,231 in cash deposits, purchases, and money orders, according to court documents.
Toombs Smith and Franklin also were found guilty at trial of participating in a conspiracy to possess firearms in furtherance of a drug-trafficking crime. In addition to the two conspiracies, Toombs was found guilty of maintaining a residence for the purpose of manufacturing, distributing, and using controlled substances.
Smith and Franklin also were convicted of multiple counts that charged them with various drug-trafficking and firearms crimes.
Duncan and Toombs are the final defendants to be sentenced in this case. In addition to the four defendants who were convicted at trial, 14 defendants in this case pleaded guilty and have been sentenced.
This case is being prosecuted by Assistant U.S. Attorneys Ashleigh Ragner, Mary Kate Butterfield and Ben Hurst. It was investigated by the FBI, the Kansas City, Mo., Police Department, IRS-Criminal Investigation, and the Missouri State Highway Patrol.
KC Metro Strike Force
This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against a continuum of priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through the long-term relationships that can be forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
Justice Department and FTC Announce Additional Workshops on the 2023 Draft Merger GuidelinesRead the Press Release
The Justice Department and the Federal Trade Commission (FTC) announced today that they plan to hold two additional workshops to facilitate public dialogue on the 2023 Draft Merger Guidelines that the agencies announced in July. Like the agencies’ first workshop on Sept. 5, these events will promote a detailed discussion about the Draft Guidelines to complement the thousands of public comments submitted to the agencies. Each of the two remaining workshops will be held in-person at an academic institution.
The second workshop, co-hosted with the MIT Economics Department and the Mossavar-Rahmani Center for Business and Government, Harvard Kennedy School, will take place at the Harvard Kennedy School on Oct. 5 from 1:30 p.m. to 4:45 p.m. ET. Participants who register here will receive a link to view the event virtually. More information, including a tentative agenda for the workshop, can be found on the event page.
The third workshop, co-hosted with the University of Chicago Law School, Coase Sandor Institute for Law and Economics, will take place on Nov. 3 from 9 a.m. to 4:45 p.m. CT. More information about the workshop, including an agenda, will be updated on the event page in the coming weeks.
If either event needs to be postponed for any reason, information on rescheduling will appear on the event page.
The Justice Department’s Antitrust Division and the FTC are reviewing comments from the public on the Draft Guidelines, submitted online during the comment period, at www.regulations.gov/docket/FTC-2023-0043.
The agencies protect competition through enforcement of the antitrust laws and other federal competition statutes. Since 1968, the agencies have issued and revised merger guidelines to enhance transparency and promote awareness of how the agencies review mergers and acquisitions under the federal antitrust laws.
Justice Department Secures $9 Million Agreement with Washington Trust Company to Resolve Redlining Claims in Rhode IslandRead the Press Release
The Justice Department announced today that Washington Trust Company (Washington Trust), the oldest community bank in the nation, has agreed to pay $9 million to resolve allegations that it engaged in a pattern or practice of lending discrimination by redlining majority-Black and Hispanic neighborhoods in Rhode Island.
Redlining is an illegal practice in which lenders avoid providing credit services to individuals living in communities of color because of the race, color or national origin of residents in those communities.
“This settlement should send a strong message to banks regarding the Justice Department’s firm commitment to combat modern-day redlining and ensure that all lenders are providing equal access to home loan opportunities to communities of color,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This resolution will provide critical relief to impacted Black and Hispanic communities, enabling them to buy a home, keep their home or access the equity in their home. Ending redlining and providing relief to communities of color impacted by this unlawful practice is a necessary step in ongoing efforts to reduce racial wealth and homeownership gaps across our country.”
“Everyone who pursues the American dream has the right to expect to be treated equally and with dignity, regardless of their race, their background, or zip code. When communities are denied access to fair lending, families are denied the opportunity to build stability and financial success,” said U.S. Attorney Zachary A. Cunha for the District of Rhode Island. “I am pleased that, as a result of the hard work of attorneys in my office and the department’s Civil Rights Division, Washington Trust has agreed to take targeted and extensive measures to make meaningful lending services available for all Rhode Islanders, regardless of race or background.”
The complaint alleges, from 2016 through at least 2021, Washington Trust failed to provide mortgage lending services to majority-Black and Hispanic neighborhoods in Rhode Island. The complaint alleges that despite expansion across the state of Rhode Island, Washington Trust has never opened a branch in a majority-Black and Hispanic neighborhood. The complaint alleges that Washington Trust relied on mortgage loan officers working out of only majority-white areas as the primary source for generating loan applications, and Washington Trust failed to train or incentivize its lending staff or conduct outreach, marketing and advertising of its mortgage services to compensate for its lack of branches and presence in majority-Black and Hispanic areas. The complaint further alleges that, compared to Washington Trust, over the same six-year period, other banks received nearly four times as many loan applications each year in majority-Black and Hispanic neighborhoods in Rhode Island. The complaint also alleges that, even when Washington Trust generated loan applications from majority-Black and Hispanic areas, the applicants themselves were disproportionately white.
Under the proposed consent order, which is subject to court approval, Washington Trust has agreed to do the following:
- Invest at least $7 million in a loan subsidy fund to increase access to home mortgage, home improvement, home refinance and home equity loans and lines of credit for residents of majority-Black and Hispanic neighborhoods in Rhode Island;
- Spend $1 million on community partnerships to provide services that increase residential mortgage credit access for residents of those neighborhoods;
- Spend $1 million for advertising, outreach, consumer financial education and credit counseling focused on majority-Black and Hispanic neighborhoods;
- Open two new branches in majority-Black and Hispanic neighborhoods in Rhode Island; and ensure at least two mortgage loan officers are dedicated to serving these neighborhoods; and
- Employ a Director of Community Lending who will oversee the continued development of lending in communities of color.
Washington Trust also agreed to complete a community credit needs assessment, to assess and report on its fair lending program; and to train staff on the bank’s obligations under the consent order. Washington Trust worked cooperatively with the department to resolve and remedy the redlining concerns that were identified and agreed to settle this matter without contested litigation.
In October 2021, Attorney General Merrick B. Garland and Assistant Attorney General Kristen Clarke launched the Justice Department’s Combating Redlining Initiative, a coordinated enforcement effort to address this persistent form of discrimination against communities of color. Since 2021, the department has announced nine redlining cases and secured $98 million in relief for communities of color that have been the victims of lending discrimination across the country.
A copy of the complaint and information about the department’s fair lending enforcement can be found at www.justice.gov/fairhousing. Individuals may report lending discrimination by calling the Justice Department’s housing discrimination tip line at 1-833-591-0291 or submitting a report online.
washington_trust_consent_order.pdf washington_trust_complaint.pdfJustice Department Secures $9 Million Agreement with Washington Trust Company to Resolve Redlining Claims in Rhode IslandRead the Press Release
PROVIDENCE, RI – The United States Attorney’s Office for the District of Rhode Island and the Justice Department’s Civil Rights Division announced today that Washington Trust Company (Washington Trust), the oldest community bank in the nation, has agreed to pay $9 million to resolve allegations that it engaged in a pattern or practice of lending discrimination by redlining majority-Black and Hispanic neighborhoods in Rhode Island.
Redlining is an illegal practice in which lenders avoid providing credit services to individuals living in communities of color because of the race, color, or national origin of residents in those communities.
“Everyone who pursues the American dream has the right to expect to be treated equally and with dignity, regardless of their race, their background, or zip code. When communities are denied access to fair lending, families are denied the opportunity to build stability and financial success,” said U.S. Attorney Zachary A. Cunha. “I am pleased that, as a result of the hard work of attorneys in my office and the Department’s Civil Rights Division, Washington Trust has agreed to take targeted and extensive measures to make meaningful lending services available for all Rhode Islanders, regardless of race or background.”
“This settlement should send a strong message to banks regarding the Justice Department’s firm commitment to combat modern-day redlining and ensure that all lenders are providing equal access to home loan opportunities to communities of color,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This resolution will provide critical relief to impacted Black and Hispanic communities, enabling them to buy a home, keep their home or access the equity in their home. Ending redlining and providing relief to communities of color impacted by this unlawful practice is a necessary step in ongoing efforts to reduce racial wealth and homeownership gaps across our country.”
The complaint alleges, from 2016 through at least 2021, Washington Trust failed to provide mortgage lending services to majority-Black and Hispanic neighborhoods in Rhode Island. The complaint alleges that despite expansion across the state of Rhode Island, Washington Trust has never opened a branch in a majority-Black and Hispanic neighborhood. The complaint alleges that Washington Trust relied on mortgage loan officers working out of only majority-white areas as the primary source for generating loan applications, and Washington Trust failed to train or incentivize its lending staff or conduct outreach, marketing, and advertising of its mortgage services to compensate for its lack of branches and presence in majority-Black and Hispanic areas. The complaint further alleges that, compared to Washington Trust, over the same six-year period, other banks received nearly four times as many loan applications each year in majority-Black and Hispanic neighborhoods in Rhode Island. The complaint also alleges that, even when Washington Trust generated loan applications from majority-Black and Hispanic areas, the applicants themselves were disproportionately white.
Under the proposed consent order, which is subject to court approval, Washington Trust has agreed to do the following:
- Invest at least $7 million in a loan subsidy fund to increase access to home mortgage, home improvement, home refinance and home equity loans and lines of credit for residents of majority-Black and Hispanic neighborhoods in Rhode Island;
- Spend $1 million on community partnerships to provide services that increase residential mortgage credit access for residents of those neighborhoods;
- Spend $1 million for advertising, outreach, consumer financial education and credit counseling focused on majority-Black and Hispanic neighborhoods;
- Open two new branches in majority-Black and Hispanic neighborhoods in Rhode Island; and ensure at least two mortgage loan officers are dedicated to serving these neighborhoods; and
- Employ a Director of Community Lending who will oversee the continued development of lending in communities of color.
Washington Trust also agreed to complete a community credit needs assessment, to assess and report on its fair lending program; and to train staff on the bank’s obligations under the consent order. Washington Trust worked cooperatively with the department to resolve and remedy the redlining concerns that were identified and agreed to settle this matter without contested litigation.
In October 2021, Attorney General Merrick B. Garland and Assistant Attorney General Kristen Clarke launched the Justice Department’s Combating Redlining Initiative, a coordinated enforcement effort to address this persistent form of discrimination against communities of color. Since 2021, the department has announced nine redlining cases and secured $98 million in relief for communities of color that have been the victims of lending discrimination across the country.
A copy of the complaint and information about the department’s fair lending enforcement can be found at www.justice.gov/fairhousing. Individuals may report lending discrimination by calling the Justice Department’s housing discrimination tip line at 1-833-591-0291 or submitting a report online.
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complaint_exhibits_and_consent_order.pdf united_states_attorney_cunha_prepared_remarks_9-27-2023.docx washington_trust_branch_locations.pdfJustice Department Files Complaint Alleging Environmental Violations by eBayRead the Press Release
The Justice Department filed a complaint against eBay Inc. today for unlawfully selling and distributing hundreds of thousands of products in violation of the Clean Air Act (CAA); the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) and the Toxic Substances Control Act (TSCA). The complaint was filed on behalf of the U.S. Environmental Protection Agency (EPA) in federal court in Brooklyn.
The complaint alleges that eBay sold, offered for sale or caused the sale of more than 343,000 aftermarket defeat devices, which defeat motor vehicle emission controls, a violation of the CAA. Aftermarket defeat devices significantly increase pollution emissions – including carbon monoxide, nitrogen oxides, particulate matter and nonmethane hydrocarbons – that harm public health and impede efforts by the EPA, states, Tribes and local agencies to plan for and attain air quality standards.
The complaint also alleges that eBay has violated FIFRA by unlawfully distributing or selling at least 23,000 unregistered, misbranded or restricted-use pesticide products, even in violation of a stop sale order EPA issued to eBay in 2020 and amended in 2021. Examples include a high toxicity insecticide banned in the United States, restricted use pesticides that only certified applicators may apply and products fraudulently claiming to protect users against the SARS-CoV-2 virus.
Finally, the complaint alleges that eBay has distributed over 5,600 items in violation of the TSCA Methylene Chloride Rule. The rule prohibits retailers from distributing in commerce products that contain methylene chloride for paint and coating removal to prevent unreasonable risks, including death, presented by these types of products.
“Laws that prohibit selling products that can severely harm human health and the environment apply to e-commerce retailers like eBay just as they do to brick-and-mortar stores,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division (ENRD). “We are committed to preventing the unlawful sale and distribution of emissions-defeating devices and dangerous chemicals that, if used improperly, can lead to dire consequences for individuals and communities.”
“Our nation’s environmental laws protect public health and the environment by prohibiting the unlawful sale of defeat devices; unregistered, misbranded and restricted use pesticides; and unsafe products containing toxic chemicals such as methylene chloride,” said Assistant Administrator David M. Uhlmann of the EPA’s Office of Enforcement and Compliance Assurance. “The complaint filed today demonstrates that EPA will hold online retailers responsible for the unlawful sale of products on their websites that can harm consumers and the environment.”
“eBay’s sale of emission control defeat devices, pesticides and other unsafe products poses unacceptable risks to our communities disproportionately impacted by environmental and health hazards,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Together with our partners, this office will vigorously enforce federal law against those whose conduct endangers public health and the environment.”
The complaint seeks a court order that eBay’s business practices as an e-commerce retailer violated the CAA, FIFRA and TSCA and requests injunctive relief to enjoin eBay from further violations of these laws, as well as civil penalties for CAA violations.
The lawsuit, filed in U.S. District Court for the Eastern District of New York, is being handled by Senior Attorney James Freeman for ENRD’s Environmental Enforcement Section and by Assistant U.S. Attorneys Michael Blume and Paulina Stamatelos for the Eastern District of New York.
Jury Finds District Man Guilty of Armed Carjacking and Related ChargesRead the Press Release
Defendant Attacked Victim When She Stopped for Gas
WASHINGTON – Andrew Patrick, 38, of Washington, D.C., was convicted by a Superior Court jury of all charges including: armed carjacking, possession of a firearm during a crime of violence, felon in possession, carrying a pistol without a license, possession of an unregistered firearm, and unlawful possession of ammunition. The verdict was announced by U.S. Attorney Matthew M. Graves and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD). The Honorable Judge Lynn Leibovitz scheduled sentencing for December 1, 2023, at 9:30am.
According to the government’s evidence, on September 22, 2022, the victim took her 2005 blue Chevy Suburban to the Good Hope Road gas station in Washington, DC. The defendant, dressed in a black jacket with white stripes and a hoodie, a red bandana, blue jeans, and grey New Balance sneakers, approached the victim and demanded her car keys while holding her at gunpoint. The victim begged Patrick not to hurt her. Patrick pushed her up against her own vehicle, took her keys, and drove away in the victim’s car. The victim called 911 and gave officers a description of her assailant and his black and grey firearm. Later that day, a license plate reader detected the tags of the blue Chevy Suburban on North Capitol NE and Benning Road NE. Officers located and apprehended the vehicle, which was being driven by the defendant. The defendant told officers that he received the vehicle from a man with a black hoodie. Upon arresting Patrick, officers discovered a black and grey Glock 37 in a red floral satchel on the front passenger floorboard.
In announcing the verdict, U.S. Attorney Graves and Acting Chief Smith commended the work of those who investigated the case from the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office including: Paralegal Specialist Renee Prather, Victim/Witness Advocate Christie Bloodworth, and Litigation Technology Specialist Charlie Bruce.
Finally, they commended the work of Assistant U.S. Attorneys Gregory J. Evans and Omeed A. Assefi, who investigated, prosecuted, and tried the case.
Idaho man sentenced to five years in prison for stalkingRead the Press Release
MISSOULA — An Idaho man who admitted to threatening and harassing a woman in Montana was sentenced today to five years in prison, to be followed by three of supervised release, U.S. Attorney Jesse Laslovich said.
Daniel August Meyer, 39, of Post Falls, Idaho, pleaded guilty in May to stalking.
U.S. District Judge Dana L. Christensen presided.
In court documents, the government alleged that in August of 2022, the Missoula County Sheriff’s Office began investigating Meyer after the victim, identified as Jane Doe, reported that Meyer had threatened to kill her. Jane Doe reported that Meyer continually harassed her through phone calls and text messages after she moved to Missoula. In September 2023, Jane Doe discovered a tracking device on her vehicle believed to have been installed by Meyer. Meyer continued calling and leaving voice messages, including a message stating he was in town and on his way to her location. Law enforcement arrested Meyer on Sept. 14, 2023. A search of his vehicle led to the recovery of body armor, a sawed-off shotgun, and a large amount of ammunition. Meyer was prohibited from possessing a firearm or ammunition because he was subject to a permanent Order of Protection from 2010.
Assistant U.S. Attorney Tara J. Elliott prosecuted the case. The FBI’s Montana Regional Violent Crime Task Force and Missoula Police Department conducted the investigation.
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Idabel Resident Pleads Guilty to Murder in Indian Country and Federal Firearm CrimeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Zachary Carlton Ty Capps, age 28, of Idabel, Oklahoma, pleaded guilty to charges in a Superseding Indictment related to the murder of an Idabel resident.
At the plea hearing, Capps pleaded guilty to one count of Second Degree Murder in Indian Country and one count of Use, Carry, Brandish, and Discharge of a Firearm During and in Relation to a Crime of Violence. Capps admitted during the plea hearing he discharged a firearm to commit the murder.
According to investigators, Capps was seen with the victim in a white truck on November 15, 2022. Later that evening, law enforcement located Capps at a house in Idabel. During a search of the residence, agents located and recovered a revolver that was reported to be in Capps’s possession earlier in the night. Two days later, the victim was discovered in the same white truck, having been shot in the head. According to forensic reports, the revolver recovered from the Idabel residence fired the fatal bullet. The crime occurred in McCurtain County, within the boundaries of the Choctaw Nation Reservation, in the Eastern District of Oklahoma.
The charges arose from an investigation by the Federal Bureau of Investigation, the Choctaw Nation Tribal Police, the Idabel Police Department, and the McCurtain County Sheriff’s Office.
The Honorable Judge Gerald L. Jackson, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Capps was remanded to the custody of the U.S. Marshals pending sentencing.
Assistant United States Attorney Benjamin D. Traster represented the United States.
Houston Man Arrested for Traveling to Have Sex with 13-Year-Old GirlRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces the arrest and detention of Tyler Colton Rock (26, Houston, Texas). A federal grand jury has returned an indictment charging Rock with production of child sex abuse material, enticement of a minor, travel with intent to engage in illicit sexual conduct, and transfer of obscene material to a minor. If convicted, Rock faces a minimum mandatory sentence of 15 years in federal prison for the production offense and a minimum mandatory sentence of 10 years’ imprisonment for the enticement offense.
If convicted on all counts, Rock faces a maximum penalty of life in federal prison for each offense.
According to the indictment, Rock had a minor child victim send him nude images of herself and he sent her an image of his erect penis. Additionally, Rock traveled to the Middle District of Florida to engage in sexual intercourse with the child.
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 Federal Bureau of Investigation and the St. Petersburg Police Department. It will be prosecuted by Assistant United States Attorney Abigail K. King.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Hospice medical director sentenced for $150M hospice fraud schemeRead the Press Release
McALLEN, Texas - A 52-year-old San Antonio man has been sentenced for his role in a scheme that involved the submission of over $150 million in false and fraudulent claims to Medicare for hospice and other health care services.
Jesus Virlar-Cadena pleaded guilty June 4, 2019.
U.S. District Judge Rolando Olvera has now ordered Virlar-Cadena to serve 50 months in federal prison to be immediately followed by one year of supervised release. The court also ordered Virlar-Cadena to pay $9 million in restitution and $9 million in forfeiture.
From 2009 to 2018, Virlar-Cadena served as the medical director of the Merida Group, a large health care company that operated dozens of locations throughout Texas. He was a physician but the Texas Medical Board later suspended his medical license.
A federal jury convicted co-conspirators Rodney Mesquias, 53, San Antonio, Henry McInnis, 52, Harlingen, and Francisco Pena in October 2019.
Evidence at the trial showed that the Merida Group marketed their hospice programs through a group of companies. They enrolled patients with long-term incurable diseases such as Alzheimers and dementia as well as patients with limited mental capacity who lived at group homes, nursing homes and in housing projects. In some instances, Merida Group marketers falsely told patients they had less than six months to live. They also sent chaplains to the patients based on the false pretense they were near death.
In order to bill Medicare for these services, the Merida Group hired Virlar and other medical directors but made payment of their medical director fees contingent upon an agreement to certify unqualified patients for hospice. In addition to regular medical director payments, Virlar received luxury trips, bottle service at exclusive nightclubs and other perks in exchange for his certification of unnecessary hospice patients. In exchange for these illegal kickbacks, Virlar himself certified over $18 million in unnecessary hospice services as part of the over $150 million conspiracy.
Mesquias and McInnis were previously sentenced to 20 and 15 years in prison, respectively. Pena is now deceased.
Virlar-Cadena was permitted to remain on bond pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Department of Health and Human Services – Office of Inspector General (OIG), FBI and Texas Health and Human Services Commission – Office of Inspector General investigated the case.
Assistant U.S. Attorney Andrew Swartz prosecuted the case along with Principal Assistant Chief Jacob Foster and former Trial Attorney Kevin Lowell of the Criminal Division’s Fraud Section.
Gun Dealer Employee Sentenced to Federal Prison After Using Employee Discount to Illegally Purchase Firearms for Three MinorsRead the Press Release
INDIANAPOLIS- Traven Armstrong, 24, of Indianapolis, Indiana, has been sentenced to 1 year and 1 day in federal prison after pleading guilty to making false statements in connection with a firearm purchase.
According to court documents, between September 1, 2020, and March 10, 2021, Traven Armstrong worked as an employee of a federally licensed firearms dealer. During that time, Armstrong purchased numerous handguns for other individuals from businesses in Carmel, Indiana, using his employee discount. On federal firearms purchase documents, Armstrong intentionally misrepresented that he was the actual buyer of the firearms.
When questioned by ATF agents, Armstrong admitted to straw purchasing the firearms for three specific individuals, all under the age of 21. A straw purchase scheme is when a person not prohibited from purchasing or possessing a firearm falsely states to a federally licensed gun dealer that they are purchasing a firearm for themselves, when they know that the gun is actually intended for someone else, frequently someone who is prohibited from purchasing or possessing the firearm themselves.
United States Attorney for the Southern District of Indiana, Zachary A. Myers and Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division made the announcement.
“Gun traffickers like this defendant fuel violence in our communities by putting deadly weapons in the hands of people who have no business having them,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “Cutting off the supply of illegally transferred guns is critical to making our communities safer. Our office will continue to work with ATF and other law enforcement agencies to identify and prosecute straw purchasers and others responsible for criminal gun trafficking.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives, Chicago Group IV investigated this case. The sentence was imposed by U.S. District Court Judge, James P. Hanlon. Judge Hanlon also ordered that Armstrong be supervised by the U.S. Probation Office for 3 years following his release from federal prison and pay a $500 fine.
U.S. Attorney Myers thanked Assistant United States Attorney Lawrence D. Hilton, who prosecuted this 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.
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Grand jury indicts 2 local men in drug conspiracy involving more than 5 kilograms of methamphetamine, 1 kilogram of fentanylRead the Press Release
DAYTON, Ohio – A federal grand jury has indicted two area men with crimes related to running a drug trafficking operation out of a local home and business property.
Kevin Darnell Byrd, Jr., 38, of Dayton, and David Minor, 36, of Englewood, are charged in a narcotics conspiracy that is punishable by at least 10 years and up to life in prison and possessing firearms in furtherance of the drug conspiracy, which is punishable by at least five years and up to life in prison.
According to the 15-count indictment, Minor was using his home on Southview Drive in Englewood as a drug premises and Byrd was using a business on Webster Street in Dayton as a drug premises. The defendants allegedly conspired to distribute and possessed with the intent to distribute bulk amounts of methamphetamine and fentanyl.
On Sept. 14, the FBI Southern Ohio Safe Streets Task Force and the Regional Agencies Narcotics and Gun Enforcement Task Force conducted a buy-bust operation and purchased a pound of methamphetamine from Minor. Task force members attempted to initiate a traffic stop of Minor following the narcotics sale and Minor allegedly fled in his Chevrolet Impala and then attempted to flee on foot before ultimately being apprehended.
A search warrant of Minor’s residence on Southview Drive in Englewood revealed four firearms and bulk amounts of cash, along with methamphetamine, fentanyl and synthetic opioids in a vehicle at the property.
Agents and officers executed a related search warrant at a business on Webster Street in Dayton and discovered more than five kilograms of methamphetamine, approximately one kilogram of fentanyl, a loaded handgun and bulk amounts of cash.
Minor and Byrd are both prohibited from possessing firearms due to prior felony convictions.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI) Cincinnati Division; and Montgomery County Sheriff Rob Streck announced the indictment returned on Sept. 26. Assistant United States Attorney Ryan A. Saunders is representing the United States in this case.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, and gangs that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Grand jury adds new robberies, gun crimes to charges against 2 central Ohio men in July I-70 shootoutRead the Press Release
COLUMBUS, Ohio – A federal grand jury has returned a superseding indictment that adds new charges against the two central Ohio men allegedly involved in the July 6 shooting of a Columbus police officer.
The 10-count superseding indictment now charges Faisal M. Darod, 23, of Columbus, with aiding and abetting four other robberies in addition to the originally charged robbery of Fifth Third bank in Hilliard on July 6. Darod is also charged with four counts of aiding and abetting the use of a firearm during the robberies.
Aden Abdullahi Jama, 20, of Reynoldsburg, is charged with being an accessory after the fact to bank robbery, two counts of aiding and abetting robberies and two counts of aiding and abetting the use of a firearm during the robberies.
The robberies to which the defendants allegedly aided and abetted include:
Date
Location
Defendant Charged
June 21, 2023
GameStop on Hilliard-Rome Road in Hilliard
Darod
July 3, 2023
Auto Gallery on Westerville Road in Minerva Park
Darod
July 5, 2023
Fifth Third Bank on Fishinger Road in Upper Arlington
Darod & *Jama
*accessory after the fact
July 6, 2023
Byers Imports on North Hamilton Road in Whitehall
Darod & Jama
July 6, 2023
Fifth Third Bank on Hilliard-Rome Road in Hilliard
Darod & Jama
The superseding indictment alleges Darod helped steal a 2016 Chevrolet Corvette Stingray from Auto Gallery, more than $75,000 from the Fifth Third in Upper Arlington, and multiple PlayStation gaming consoles.
Both men allegedly aided and abetted the theft of a 2020 Porsche Cayenne SUV from Byers Imports and more than $85,000 from the Fifth Third in Hilliard.
Columbus Police and other law enforcement officers encountered Darod and Jama on I-70 near downtown Columbus after the July 6 Fifth Third Bank robbery in Hilliard. A shootout followed during which a Columbus Police officer was severely injured and a third person in the car with Darod and Jama was killed.
The United States Marshals’ Southern Ohio Fugitive Apprehension Strike Team arrested Darod in the early morning hours of July 7 outside his Columbus residence. U.S. Marshals and Homeland Security Investigation agents arrested Jama at Chicago O’Hare International Airport on July 8. The two remain in custody.
Aiding and abetting a bank robbery is punishable by up to 20 years in prison. Aiding and abetting the use of a firearm during a crime of violence carries a potential penalty of at least five years and up to life in prison. Being an accessory after the fact of bank robbery is punishable by up to 10 years in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives; Columbus Police Chief Elaine Bryant; the United States Marshals in Columbus and Chicago; ICE and HSI Chicago; the Whitehall, Minerva Parka and Upper Arlington police departments; and Franklin County Sheriff Dallas Baldwin announced the superseding indictment returned today. Assistant United States Attorney Noah R. Litton is representing the United States in this case.
A superseding indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Georgia man sentenced for key role in drug trafficking ring that engaged in COVID fraudRead the Press Release
SAVANNAH, GA: A Laurens County, Ga., man identified as a drug supplier in a Southeastern drug trafficking organization has been sentenced to federal prison, and his four co-defendants are serving prison terms after all pled guilty to charges related to the conspiracy.
Dennis Rodriguez Kinchen, 46, of Dublin, Ga., was sentenced to 150 months in prison after pleading guilty to Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of Cocaine, and an Amount of Methamphetamine, Heroin, and Marijuana; and Conspiracy to Commit Money Laundering, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge R. Stan Baker also fined Kinchen $40,000 and ordered him to serve four years of supervised release upon completion of his prison term.
There is no parole in the federal system.
“The defendants in this case not only distributed massive amounts of addictive, illegal drugs throughout middle and coastal Georgia, but also defrauded taxpayers through blatant abuse of COVID-19 relief programs,” said U.S. Attorney Steinberg. “All of them deservedly have been sentenced to long prison terms for their crimes thanks to outstanding investigative work from our law enforcement partners.”
As part of his guilty plea, Kinchen agreed to forfeit an Atlanta condominium purchased with COVID-19 relief funds, and a certificate of deposit of $297,336 purchased with pandemic relief funds.
Kinchen and his co-defendants were identified during “Operation All Eyes On Me,” an Organized Crime Drug Enforcement Task Forces investigation of drug traffickers distributing cocaine, crack cocaine, methamphetamine, heroin and marijuana in middle and south Georgia and in Florida. The five co-conspirators were identified through a series of controlled purchases, phone surveillance and searches of multiple properties conducted by the U.S. Drug Enforcement Administration and agents from the Savannah-Chatham Counter Narcotics Team.
The investigation identified Angel Amaral, 57, of Hollywood, Fla., as the supplier of illegal drugs to Kinchen, who delivered the drugs to distributors in Georgia. Amaral is serving a 70-month prison sentence after pleading guilty to Conspiracy to Possess with Intent to Distribute, and to Distribute, Cocaine.
Kinchen used the Savannah residence of his girlfriend, former Savannah-area strip club owner Jaqueline Somesso, 54, as a stash house for drugs and firearms. Somesso is serving an 18-month prison sentence after pleading guilty to Misprision of a Felony for knowingly allowing her home to be used in illegal activity and to Bank Fraud for submitting a fake pandemic relief application resulting in losses of $570,236.54. She was ordered to pay restitution in that amount. The court also entered a consent order forfeiting her interest in a certificate of deposit of $350,236 and a bank account of $3,520, both containing fraud money seized from her during the investigation.
Two other defendants are serving prison terms after pleading guilty in the conspiracy: Sherman Levon Scott, 54, of Pooler, Ga., who was identified as a drug distributor; and Tony Heldore, 52, of Richmond Hill, Ga., a marijuana supplier who worked at two of Somesso’s clubs – Karma Entertainment and Lux Gentlemen’s Club, in Hardeeville, S.C. Scott is serving 145 months in federal prison, and Heldore is serving a 35-month term.
“Poisonous drugs continue to flow into our communities at the expense of too many lives,” said Robert J. Murphy, Special Agent in Charge of the DEA Atlanta Division. “These traffickers must now face the consequences of their actions.”
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach.
Operation All Eyes On Me was investigated by the U.S. Drug Enforcement Administration’s Savannah District Office and the Savannah-Chatham County Counter Narcotics Team, with assistance from the DEA Miami Field Division, the Internal Revenue Service and U.S. Secret Service, and prosecuted for the United States of America by Southern District of Georgia Assistant U.S. Attorney and OCDETF Coordinator Marcela C. Mateo, and Assistant U.S. Attorneys J. Bishop Ravenel and Lindsay Berman-Hansell.
Gainesville Business Owner Settles PPP Fraud AllegationsRead the Press Release
ALEXANDRIA, Va. – Joe Slaiby, of Gainesville, agreed to pay $350,000 to settle a civil fraud case that alleged he falsified payroll and income documents to obtain loans through the Small Business Administration’s (SBA) Paycheck Protection Program (PPP) for four businesses where he is the owner and President.
The PPP offered loans to eligible small businesses for economic relief during the COVID-19 pandemic. PPP borrowers were required to provide their income and supporting documents to qualify for the loan amount.
Slaiby obtained seven PPP loans for his four businesses, Black Hat Transportation LLC, Green Team Limousine d.b.a. Choice Limousine & Sedan Services LLC, Health N Wealth World LLC, and Slaiby7 Investments LLC, by submitting loan applications with inflated income and fabricated payroll documents to SBA-authorized lenders. Based on these fraudulent applications, Slaiby and his corporations, with the help of co-conspirator Bennie E. Magee, obtained PPP funds.
The settlement arises in connection with a lawsuit filed under the whistleblower provision of the FCA, United States ex rel. Salman v. Bull Run Capital Investments, Inc., et al. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and evidence to the U.S. Attorney’s Office. The United States then has an opportunity to investigate the claims. The False Claims Act provides whistleblowers with a share of the government’s recovery. The relator here will receive a share of this settlement.
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia, the Special Inspector General for Pandemic Recovery, the Pandemic Response Accountability Committee Fraud Task Force, and the FBI’s Washington Field Office Criminal and Cyber Division.
The matter was investigated by Assistant U.S. Attorney Kristin Starr. The civil claims settled by this False Claims Act agreement are allegations only; there has been no determination of civil liability.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information from the civil lawsuit can be accessed on PACER by searching for No. 1:21-cv-852. The criminal case against Bennie E. Magee can be accessed on PACER by searching for No. 1:23-cr-91.
Fulton County, Georgia, Jail Officer Indicted for Strangling InmateRead the Press Release
A former Fulton County, Georgia, Sheriff’s Office detention officer was indicted on federal charges of depriving a pretrial detainee of her civil rights under color of law.
The indictment charges former Detention Officer Monique Clark, 32, with one count of deprivation of rights under color of law for willfully using unreasonable force against a pretrial detainee, who is identified in the indictment as C.B. Specifically, the indictment alleges that Clark, without legal justification, strangled C.B. while C.B. was handcuffed, resulting in bodily injury to C.B.
The charge carries a maximum penalty of 10 years in prison. A federal judge will determine any sentence based on the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Ryan Buchanan for the Northern District of Georgia and Special Agent in Charge Keri Farley of the FBI Atlanta Field Office made the announcement.
The FBI Atlanta Field Office investigated this case.
Assistant U.S. Attorney Brent Gray for the Northern District of Georgia and Trial Attorney Alec Ward of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
clark_indictment_september_27.pdfFrench cybercriminal pleads guilty to fraud and aggravated identity theft for hacking private informationRead the Press Release
Seattle – A 22-year-old French citizen from Epinal, France, pleaded guilty to conspiracy to commit wire fraud and aggravated identity theft in U.S. District Court in Seattle, announced Acting U.S. Attorney Tessa M. Gorman. Sebastien Raoult, aka Sezyo Kaizen, was arrested last year in Morocco and was extradited to the U.S. in January 2023. Raoult and two co-conspirators were indicted by a grand jury sitting in the Western District of Washington in June 2021.
“People often think their actions from behind a screen won’t have consequences for them. Raoult and his co-conspirators used deceptive tactics to trick people into sharing personal login information and breached confidential data from numerous companies,” said Acting U.S. Attorney Tessa M. Gorman. “The FBI Seattle Cyber Task Force and our office’s cyber unit work tirelessly to ensure victims of fraud and hacking like this get justice.”
According to the plea agreement, Raoult and his co-conspirators hacked into protected computers of corporate entities for the theft of confidential information and customer records, including personally identifiable information and financial information. They hacked numerous companies, including companies in Washington State, elsewhere in the United States, and around the world. After Raoult and his co-conspirators hacked companies, a user going by the name ShinyHunters posted hacked data from many of those companies for sale on dark web forums, including RaidForums, EmpireMarket, and Exploit. Between April 2020 and July 2021, ShinyHunters posted sales of hacked data from more than 60 companies. Sometimes ShinyHunters threatened to leak or sell stolen sensitive files if the victim did not pay a ransom.
According to the records filed in the case, Raoult helped create websites that pretended to be login pages belonging to legitimate businesses. The conspirators sent phishing emails to company employees that were designed to look like they came from legitimate businesses and contained links to those login pages. Victims provided their account sign-on credentials on those fake login pages, and the conspirators obtained the victims’ credentials. Raoult and his co-conspirators used the login information to breach victims’ accounts, steal the data stored there, and search the stolen data for credentials to access additional data on companies’ networks and third-party service providers, such as cloud storage services. In total, the conspirators stole hundreds of millions of customer records and caused loss to victim companies that is estimated to exceed $6 million.
The conspiracy to commit wire fraud is punishable by a maximum of 27 years in prison. Aggravated identity theft is punishable by a mandatory minimum two-year prison term to follow any other prison sentence imposed in the case.
The case is being investigated by the FBI Seattle Cyber Task Force. The case is being prosecuted by Assistant United States Attorney Miriam R. Hinman. DOJ’s Office of International Affairs is providing substantial assistance. The Department of Justice also appreciates the significant cooperation and assistance provided by Moroccan and French authorities.
Fraudster sent to prison for back-to-back fraud schemeRead the Press Release
CORPUS CHRISTI, Texas – A 39-year-old Orange Grove woman has been ordered to federal prison following her convictions of fraud and identity theft, announced U.S. Attorney Alamdar S. Hamdani.
Katrina Theiss Freitag pleaded guilty to Fraudulent use of a Social Security number on April 5, 2022. Prior to sentencing Freitag committed additional fraudulent conduct and plead guilty to aggravated identity theft April 17.
U.S. District Judge Drew B. Tipton has now ordered Freitag to serve 80 months in federal prison to be immediately followed by three years of supervised release for fraudulent use of a Social Security number. She will also receive two years for aggravated identity theft which must be served consecutively for a total 104-month sentence. At the hearing, the court heard that Freitag was involved in an additional fraud scheme while working for another employer and statements from victims of Freitag’s schemes.
From 2012 to 2017, Freitag worked for a commercial insulation company as a bookkeeper who handled day-to-day business activities including finances. She obtained unauthorized cash advances using the companies’ receivables as collateral. Freitag used the owner’s Social Security number and signed the owner’s name to the cash advance documents without authorization. She executed five unauthorized secure merchant agreements over seven months. The company incurred a loss of $580,000 because of Freitag’s scheme.
Freitag pleaded guilty April 5, 2022, to two counts of fraudulent use of Social Security number in a loan scheme. After this plea, she was permitted to remain on bond.
Freitag then began working for a Corpus Christi pawn shop as a bookkeeper. The manager discovered several suspicious credit card transactions on the owner’s credit card account. The investigation revealed Freitag made unauthorized online charges for groceries, payments to a tax preparation company and her personal cell phone bill. There was an also a forged company check electronically deposited into Freitag’s bank account. Freitag was remanded into custody after this scheme and pleaded guilty to aggravated identity theft related to use of the pawn shop owner’s credit card account without authorization.
Freitag will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation with the assistance of the Orange Grove Police Department. Assistant U.S. Attorneys Robert D. Thorpe Jr. and John Marck prosecuted the case.
Four-Time Congressional Candidate Charged in Long-Running Misuse of Campaign FundsRead the Press Release
LOS ANGELES – Federal prosecutors today unsealed a grand jury indictment that accuses a Torrance man who was a candidate for a Los Angeles County congressional seat in four federal elections with misusing campaign funds, including funneling tens of thousands of dollars in campaign donations back to himself through his friends and family.
Omar Navarro, 34, is charged in a 43-count grand jury indictment. He is currently in state custody on unrelated charges, but he is expected to be turned over soon to federal authorities.
As part of the case against Navarro, FBI agents today arrested Dora Asghari, 59, of Torrance, who is Navarro’s mother, and Zacharias Diamantides-Abel, 34, of Long Beach, who is a friend of Navarro, both of whom are accused of conspiring with Navarro to convert campaign donations to personal use.
Navarro unsuccessfully campaigned in the four most recent election cycles to represent south Los Angeles County residents in California’s 43rd Congressional District in the United States House of Representatives.
The indictment returned on September 14 and unsealed today alleges that Navarro, from September 2017 through July 2020, illegally funneled campaign cash to himself. The indictment outlines a scheme in which Navarro allegedly made payments from his campaign to various individuals – including Asghari and Abel – and then directed the transfer of cash back to himself for personal use.
Navarro also allegedly used campaign funds to pay for personal expenses, including trips to Las Vegas and wine country, as well as two criminal defense attorneys. According to the indictment, Navarro later falsely reported these expenditures as campaign expenses to the Federal Election Commission.
Asghari and Abel concealed Navarro’s misdirection of campaign funds by frequently cashing the checks rather than depositing them into their personal bank accounts. If they deposited the check, they often withdrew the funds shortly thereafter to share with Navarro.
In total, from December 2017 to June 2020, Abel and Asghari allegedly received $49,260 and $58,625, respectively, from Navarro’s campaign, according to checks he wrote or caused to be written to them. According to the indictment, Asghari also created a shell company to facilitate her receipt of these campaign payments and transfers back to Navarro and his own shell company.
According to the indictment, from January 2018 through July 1, 2020, Navarro deposited over $100,000 in cash into his personal accounts, even though he had no other source of income aside from the campaign funds, and he frequently made deposits after Abel or Asghari cashed campaign checks. Navarro also formed a sham charity called the United Latino Foundation as another way to embezzle funds from his campaign for his personal use.
All three defendants are charged with one count of conspiracy. Navarro is charged with 13 counts of wire fraud, 26 counts of falsification of records, and three counts of prohibited use of campaign funds. Asghari is charged with six counts of wire fraud. Abel is charged with two counts of wire fraud.
An indictment contains allegations that a defendant has committed a crime. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted in this case, Navarro, Asghari and Abel would face a statutory maximum sentence of five years in federal prison for the conspiracy count and up to 20 years in federal prison for each wire fraud count in which they were charged. Navarro also would face up to 20 years in federal prison for each falsification of records count and up to five years in prison for each count of prohibited use of campaign contributions.
The FBI and IRS Criminal Investigation are investigating this matter. The California Fair Political Practices Commission provided assistance.
Assistant United States Attorneys Frances S. Lewis and Thomas F. Rybarczyk of the Public Corruption and Civil Rights Section are prosecuting this case.
Four Men Sentenced for Armed Robbery SpreeRead the Press Release
Orlando, Florida – United States District Judge Paul G. Byron has sentenced four individuals in connection with their robbery spree of businesses in Florida. The four men were responsible for the armed robberies of seven convenience stores and one towing business. Each pleaded guilty to several counts of Hobbs Act Robbery and brandishing a firearm and received the following sentences:
Name
Date of Plea
Sentencing Date
Sentence Imposed
DaMarris Jean Saint-Juste
(20, Orlando)
06/26/2023
09/14/2023
17 years, 10 months
Marcus Terrell Ellington, Jr.
(22, Orlando)
06/26/2023
09/14/2023
16 years
Nelson Ross Henderson
(21, Orlando)
07/10/2023
09/26/2023
15 years, 6 months
Rodreakas Deshay Smith, Jr.
(19, Orlando)
02/14/2023
09/27/2023
10 years, 6 months
According to court records, Saint-Juste and Ellington were involved in all eight robberies, Henderson was involved in three robberies, and Smith was involved in two robberies.
The first robbery occurred on August 26, 2022, at approximately 3:21 a.m., at TL Towing located at 605 Ferguson Drive in Orlando. Saint-Juste, Ellington, and Henderson were involved in robbing an employee of the business at gunpoint and stealing $3,000 cash from inside the office. The fourth male involved in this robbery was not identified. The defendants can be seen on surveillance video (pictured above) as they approached the business. Moments later, the men confront the victim with guns and chase after him before breaking into the office of the business.
The second robbery occurred less than an hour later, on August 26, 2022, at approximately 4:05 a.m. at a 7-Eleven located at 1439 West Orange Blossom Trail in Apopka. The clerk was robbed at gunpoint by Saint-Juste, Ellington, and Henderson. Approximately $200, an iPhone, and tobacco products were stolen during the robbery.
The third robbery occurred on August 30, 2022, at 4:06 a.m. at the 7-Eleven convenience store located at 1117 East Semoran Boulevard in Orlando. Saint-Juste (left), Smith (middle), and Ellington (right) stole approximately $270 from two registers and are depicted in the video still images below:
The fourth robbery occurred on August 30, 2022, at approximately 5:28 a.m., at the Circle K convenience store located at 2202 West McCormick Road in Apopka. Sain-Juste, Ellington, and Smith entered the store wearing similar clothing as the third robbery described above, which occurred 82 minutes earlier. They stole $70-$90 in cash from the cash register, several tobacco products, and a roll of $50 Florida lottery tickets. The defendants were unsuccessful in their attempt to enter the store’s safe.
The fifth robbery was committed by Saint-Juste, Ellington, Henderson, and a juvenile who was prosecuted in state court. It occurred on August 31, 2022, at 4:46 a.m., at the 7-Eleven located at 5492 International Drive in Orlando. The clerk complied with the armed men as they stole cash from the registers and scratch-off lottery tickets. Surveillance shows Saint-Juste (left) and Ellington (right) below:
Henderson was also captured on video after he stole the cash and lottery tickets from behind the counter:
The last three robberies were committed by Saint-Juste and Ellington. In each robbery, the men used firearms to steal cash, tobacco, and lottery tickets. The sixth robbery occurred on September 11, 2022, at 2:31 a.m., at the Rebel Gas station located at 2294 East Irlo Bronson Memorial Highway in Kissimmee. The seventh robbery occurred on September 11, 2022, at 2:45 a.m., at the 7-Eleven located at 901 E. Vine Street in Kissimmee. The eighth robbery occurred on September 14, 2022, at 3:15 a.m., at the Speedway convenience store located at 27345 US Hwy 27 in Leesburg.
This case was investigated by the Federal Bureau of Investigation, with assistance from many local law enforcement agencies, including the Orange County Sheriff’s Office, the Orlando Police Department, the Apopka Police Department, the Osceola County Sheriff’s Office, the Kissimmee Police Department, and the Leesburg Police Department. It was prosecuted by Assistant United States Attorney Ranganath Manthripragada and Michael P. Felicetta.
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.
Former state trooper gets 43 years for sexually assaulting womenRead the Press Release
HOUSTON – A 34-year-old former state trooper will now see the other side of a prison cell after coercing two women into providing him with oral sex while on duty, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for three hours before returning a guilty verdict against Lee Ray Boykin Jr. following a four-day trial Jan. 13.
U.S. District Judge George C. Hanks has now ordered Boykin to serve 516 months in federal prison to be immediately followed by five years of supervised release. In imposing the sentence, the court called Boykin a “predator” who had not shown remorse for his crimes. “Your crocodile tears do not impress me,” said Hanks. Boykin attempted to blame the victims, but the court said it was “repugnant,” saying that he had destroyed their lives.
“Lee Ray Boykin turned traffic stops into sexual assaults,” said U.S. Attorney Hamdani. “He used his badge and all the power it afforded to force himself onto two vulnerable women. Boykin targeted victims he believed would not report him and even thought he got away with it. He was wrong. This sentence sends a message that we will pursue anyone that poses a threat to our citizens, no matter what position they hold. And thanks to the hard work of law enforcement, the position Boykin now holds is inmate.”
At trial, the jury determined Boykin had deprived two separate victims of their right to bodily integrity while acting in his capacity as a state trooper with the Texas Department of Public Safety (DPS) in that he committed aggravated sexual abuse as to one victim and kidnapping as to the other victim. He was also found guilty of two counts of destruction, alteration or falsification of records in a federal investigation.
One of the victims explained how Boykin had taken her to a secluded parking lot after being ordered out of her friend’s car following a traffic stop. Once there, Boykin falsely accused her of being a prostitute, threatened to take her to jail and forced her to perform oral sex on him. Afterwards, he told her to run while placing his hand on his gun.
The jury heard evidence that showed Boykin’s DNA in the parking lot. The victim’s DNA was also found on Boykin’s underwear.
The second victim testified that Boykin ordered her out of her friend’s car and placed her into Boykin’s vehicle. Boykin falsely told her she had outstanding traffic warrants. He then took this victim to the same secluded parking lot, where she performed oral sex on him. Three days later, Boykin attempted to get her into his trooper car again, but she was able to escape.
The jury also heard about statements Boykin had made to authorities. Regarding the sexual assault of the first victim, he said he thought he “got away with it” and knew he should not have done it. He said he “just wanted to try.”
The jury did not believe defense claims and ultimately found him guilty.
Boykin has been and will remain in custody.
The Houston Police Department and Texas Rangers conducted the investigation with the assistance of FBI and DPS. Assistant U.S. Attorneys Sebastian A. Edwards and Kate A. Suh are prosecuting the case.
Former Union President Sentenced in Connection with $36,000 EmbezzlementRead the Press Release
NEWS RELEASE SUMMARY – September 27, 2023
SAN DIEGO – Felix Luciano, former President of Local 2805 chapter of the American Federation of Government Employees and former Department of Homeland Security officer, was sentenced in federal court today to four months in custody for filing a false report to conceal his embezzlement of thousands of dollars in union dues.
U.S. District Judge Jinsook Ohta also ordered Luciano to repay $36,000 to Local 2805 as money that he embezzled and pay a $10,000 fine. In imposing the sentence, Judge Ohta found that Luciano abused the trust of union members.
Local 2805 is a labor union which represents Department of Homeland Security, Immigration and Customs Enforcement employees in San Diego and Imperial Counties.
According to court records, from January of 2016 to December of 2018, Luciano used some of Local 2805’s money for a variety of personal expenses, including shopping, travel reimbursements, groceries, dining, dry cleaning, and paying for non-union accounts. He did this by writing checks from Local 2805’s checking account and using Local 2805’s debit and credit cards to directly pay personal expenses. As a result of Luciano’s actions, he caused a total loss of $36,000 to Local 2805.
As Local 2805’s president, Luciano was required to file an annual Form LM-3 financial report with the United States Department of Labor, Office of Labor-Management Standards. A Form LM-3 is a report containing information about the organization over the prior year, including assets, liabilities, and disbursements to officers. A Form LM-3 is sworn under penalty of perjury. In the LM-3 report he filed in 2018, Luciano underreported the amount of money that he received from Local 2805 and Local 2805’s cash balance. In doing so, Luciano attempted to hide his embezzlement from the Department of Labor, his fellow union officers, as well as the union membership whose dues were the source of the embezzled funds.
“When workers devote their hard-earned money to labor unions, they rightly expect the officers to be honest stewards of their dues,” said Acting U.S. Attorney Andrew R. Haden. “Felix Luciano abused the trust of the government employees represented by Local 2805 for his own personal benefit. We hope this criminal prosecution helps to hold Luciano accountable for his crimes and serves as a deterrent for others who might consider abusing the trust of union members.”
“While the vast majority of union officials do their work diligently and without incident, unfortunately criminal violations do occur. When they do, it is the union and its members that are the victims. Felix Luciano embezzled over $36,000 from AFGE Local 2805 that should have been used for its members’ benefit,” said Ed Oquendo, District Director, U.S. Department of Labor, Office of Labor-Management Standards. “OLMS is committed to hold accountable anyone who unlawfully exploits their position for financial gain at the expense of their fellow union members.”
Carroll Harris, Postal Inspector in Charge of the Los Angeles Division, stated, “This investigation was an excellent example of a partnership between federal law enforcement agencies, working together in the pursuit of justice. I fully commend the hard work and countless hours put forth by all the law enforcement agencies involved.”
This case is being prosecuted by Assistant U.S. Attorney Christopher Alexander.
DEFENDANT Case Number 22cr2201-JO
Felix Luciano Age: 61 San Diego, CA
SUMMARY OF CHARGES
False Statement, a felony, in violation of Title 18, United States Code, Section 1001.
Maximum Penalty: Five years in prison and a fine of $250,000.
AGENCIES
Department of Labor, Office of Labor Management Standards
Department of Labor, Office of Inspector General
Department of Homeland Security, Office of Inspector General
United States Postal Inspection Service
Former Paterson Resident Sentenced to 27 Months in Prison for Bank Fraud ConspiracyRead the Press Release
NEWARK, N.J. – A former Paterson, New Jersey, resident was sentenced today to 27 months in prison for his role in a bank fraud conspiracy, U.S. Attorney Philip R. Sellinger announced.
Brando Mancebo, 24, formerly of Paterson, previously pleaded guilty by videoconference before U.S. district Judge Kevin McNulty to an information charging him with possession of stolen mail and conspiracy to commit bank fraud. Judge McNulty imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Mancebo and others conspired to break into U.S. Postal Service collection boxes in Bergen, Hudson, and Morris counties and steal mail. They agreed to fraudulently deposit stolen checks into bank accounts associated with members of the conspiracy, even though they were not payees on the checks. Members of the conspiracy then withdrew funds from those accounts.
In addition to the prison term, Judge McNulty sentenced Mancebo to five years of supervised release and ordered him to pay restitution of $106,374 and forfeiture of $2,025.
U.S. Attorney Sellinger credited special agents of U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Christopher A. Nielsen, Philadelphia Division, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Katherine Calle of the Special Prosecutions Division in Newark.
Former Jacksonville Sheriff’s Officer Sentenced to More Than 11 Years in Federal Prison for Attempted Online Enticement to Engage in Sexual Activity with A MinorRead the Press Release
Jacksonville, Florida – Chief United States District Court Judge Timothy J. Corrigan has sentenced Alejandro Carmona-Fonseca (49, Green Cove Springs) to 11 years and 8 months in federal prison, followed by15 years of supervised release, for attempted online enticement of a minor to engage in sexual activity. Carmona-Fonseca had pleaded guilty on December 14, 2022. He has been detained since his arrest on June 6, 2022. Carmona-Fonseca had been employed as an officer with the Jacksonville Sheriff’s Office (JSO).
According to court documents, this case began when the Clay County Sheriff’s Office (CCSO) received a report from a local gym about a gym member, Carmona-Fonseca, sending a nude photo to another gym member, who was a minor child - Minor Victim 1 (MV1). During an interview with CCSO, MV1 explained that Carmona-Fonseca had requested MV1’s Snapchat account, and MV1 provided it to him. MV1 told Carmona-Fonseca he was in high school. Carmona-Fonseca sent images and videos with his genitals exposed to MV1. At one point, Carmona-Fonseca sent MV1 a picture of himself in his police uniform and wrote “you can call me your police daddy.” At times, Carmona-Fonseca would ask for shirtless pictures of MV1.
With the consent of MV1 and his parents, CCSO assumed MV1’s identity over Snapchat and, on March 3, 2022, a Homeland Security Investigations (HSI) Task Force Officer (TFO)/CCSO detective began communicating with Carmona-Fonseca using MV1’s Snapchat account. The TFO confirmed Carmona-Fonseca was friends with MV1 and that location services were turned on in Snapchat. The TFO observed Carmona-Fonseca’s location numerous times during the chat. Carmona-Fonseca’s location showed him next to a JSO substation on numerous occasions, the areas where he worked as a patrol officer, near his residence, and near the gym he frequented. The TFO communicated with Carmona-Fonseca on March 3 and March 4, 2022. During those conversations, Carmona-Fonseca sent a video in his police uniform. He also sent one in which he was nude with his genitals exposed. Carmona-Fonseca also made several requests for nude videos of MV1 flexing. Carmona-Fonseca said that everything stayed between them and because it was Snapchat, it would disappear.
Further investigation by law enforcement also resulted in the identification of additional victims that had been exploited by Carmona-Fonseca over Snapchat.
“Instead of honoring his oath to serve and protect, this former law enforcement officer chose to use his position of trust to exploit the innocence of the very children he was charged with protecting,” said HSI Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “Alongside our law enforcement partners, HSI and the Northeast Florida INTERCEPT Task Force will continue to aggressively target those who prey upon our children."
This case was investigated by the Clay County Sheriff’s Office, Homeland Security Investigations, and the Northeast Florida INTERCEPT Task Force. It was prosecuted by Assistant United States Attorney Ashley Washington.
It is another case 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.justice.gov/psc.
Former IT Contractor Pleads Guilty to Trafficking Stolen Property from the U.S. Small Business AdministrationRead the Press Release
Defendant Brazenly Used Victim’s WiFi to Post Stolen Equipment
WASHINGTON – Ashley Robinson, 31, of Bowie, Maryland, pleaded guilty today, in Superior Court, to one count of trafficking in stolen property in connection with stealing and reselling at least at least $110,233 worth of laptop computers from U.S. Small Business Administration (SBA). The plea was announced by U.S. Attorney Matthew M. Graves, Special Agent in Charge Amaleka McCall-Brathwaite, of the U.S. Small Business Administration Office of Inspector General (SBA OIG), and Acting Investigations Branch Chief Brendt Johnson, of the Federal Protective Service (FPS).
Superior Court Judge Erik Christian accepted Robinson’s guilty plea and scheduled sentencing for November 28, 2023. As part of the plea agreement, Robinson agrees to pay restitution to the victim.
Robinson was employed as a contractor who was assigned to work at the SBA Information Technology Service Center service desk at SBA headquarters in Washington, D.C. According to the government’s evidence, between November 20, 2017, and August 22, 2018, Robinson stole and then resold at least 57 laptop computers from the SBA. In September and October 2017, the SBA received 100 Microsoft Surface Pro laptop computers, each of which was purchased for at least $1,933.92. Robinson had direct access to these computers as part of her job responsibilities, which included issuing computers to SBA headquarters staff. A few months later, the SBA's Office of the Chief Information Officer determined that 72 of the laptop computers were unaccounted for and had never issued to SBA headquarters staff.
The SBA's Office of Inspector General (SBA OIG) launched an investigation which revealed that Robinson had taken possession of, posted, and sold, multiple SBA laptop computers on OfferUp, an online customer-to-customer marketplace used to buy and sell products and services and did so while was using the SBA headquarters' guest wireless network. In total, the Defendant had sold 57 Microsoft Surface Pro computers on OfferUp to seven different individuals during the relevant period, for an approximate loss to the SBA of at least $110,233.44.
In announcing the guilty plea, U.S. Attorney Graves, Special Agent in Charge McCall-Brathwaite, and Acting Investigations Branch Chief Johnson commended the work of those who investigated the case from SBA OIG. They also acknowledged the efforts of Assistant U.S. Attorneys Benjamin D. Bleiberg, with assistance from Assistant U.S. Attorney Molly Gaston.
Former Braddock Resident Indicted on Bank Robbery ChargesRead the Press Release
PITTSBURGH, PA – A former resident of Braddock, PA, has been indicted by a federal grand jury in Pittsburgh on charges of bank robbery, United States Attorney Eric G. Olshan announced today.
The two-count Indictment named Dwayne Harvey, 55, formerly of Braddock, PA, as the sole defendant.
According to the Indictment presented to the court, on or about July 28, 2023, Harvey robbed a branch of Huntington Bank in North Versailles, PA of over $4,000; and on or about August 8, 2023, Harvey robbed a branch of Citizens Bank in Pittsburgh, PA of over $3,000.
The law provides for a maximum sentence of not more than 20 years in prison, a fine not to exceed $250,000, a term of supervised release of not more than 3 years or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Benjamin C. Dobkin is prosecuting this case on behalf of the United States.
The Federal Bureau of Investigation, the Pittsburgh Bureau of Police, and the North Versailles Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Accounting Manager of Pasadena Storage Business Agrees to Plead Guilty to Insider Trading that Led to Nearly $500,000 in ProfitsRead the Press Release
LOS ANGELES – A former employee at a publicly traded Pasadena-based company has agreed to plead guilty to buying more than 66,000 company shares based on non-public information that the company was about to be acquired at a higher per-share price, and then selling the shares after news of the acquisition became public, resulting in nearly $500,000 in ill-gotten gains, the Justice Department announced today.
Marco Antonio Perez, 59, a.k.a. “Marc Perez,” of Glendora, is charged with one count of insider trading, a felony that carries a statutory maximum sentence of 20 years in federal prison.
Both the information charging Perez and his plea agreement were filed this morning in United States District Court. Perez has been ordered to make his initial appearance in this case on October 5.
According to the plea agreement, General Finance Corp., a Pasadena-based storage and modular space company, employed Perez as an accounting manager who reported to the company’s chief financial officer. He also performed assignments for the company’s chairman, including printing out the chairman’s emails. As a result, Perez had access to material information belonging to General Finance, including offers to buy the company, before the information was released to the investing public.
In violation of his fiduciary duties to General Finance and its shareholders, and in violation of the company’s policy against insider trading, in March and April of 2021, Perez purchased a total of 66,585 shares of General Finance stock which he was later able to sell for a total of $1,262,815. Perez purchased the General Finance stock after reading confidential emails sent to the company’s chairman in early 2021 that concerned the pending sale of General Finance for a price in the range of $19-$20 per share. Perez paid prices between $10 and $12 for the 66,585 shares he bought.
General Finance was ultimately sold to the Stamford, Connecticut-based United Rentals Inc. On April 15, 2021, United Rentals issued a press release announcing that it was acquiring General Finance for $19 per share. Prior to this announcement, General Finance’s share price closed that day at $12.17. The day after United Rentals’ announcement, the price of General Finance shares surged from $12.17 – the closing price before the announcement – to $19 per share.
Within two weeks of the announcement, Perez sold all 66,585 shares he had purchased on inside information, netting a profit of approximately $488,533.
In his plea agreement, Perez also admitted to tipping off two people about the impending sale of General Finance, which also violated General Finance’s policy against insider trading. Both individuals acted on Perez’s inside information and made profits of $127,140 and $34,867, respectively.
The United States Securities and Exchange Commission today announced civil charges against Perez stemming from his illegal activity in this case.
The FBI investigated this matter.
Assistant United States Attorneys Ranee A. Katzenstein and Steven M. Arkow of the Major Frauds Section are prosecuting this case.
Florida Man Sentenced for $2.5 Million COVID-Relief FraudRead the Press Release
BOSTON – A former Massachusetts resident was sentenced today in connection with filing fraudulent applications to obtain $2.5 million in Paycheck Protection Program (PPP) loan funds made available under the Coronavirus Aid, Relief and Economic Security (CARES) Act.
Vinicius Santana, 35, of Boca Raton, Fla. and formerly of Revere, Mass. was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to 29 months in prison and three years of supervised release. Santana was also ordered to pay restitution of $2.5 million and forfeiture. In September 2022, Santana pleaded guilty to one count of wire fraud and one count of unlawful monetary transactions.
Santana owned Complete Home Care, LLC (CHC), a painting company in Massachusetts. In April 2020, Santana submitted several different PPP loan applications on behalf of CHC. In the initial applications, Santana listed five employees and an average monthly payroll of between $10,000 and $18,000. These applications were denied. In the fourth application for CHC, Santana falsely claimed to have 154 employees and an average monthly payroll of $1 million. On May 11, 2020, a bank issued Santana’s company a $2.5 million loan based on the false representations in the fourth application.
After receiving the funds, Santana misused the loan proceeds to buy real estate and cars and to invest in cryptocurrency.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain approved expenses, through the PPP.
Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Brian Tucker, Special Agent in Charge, Eastern Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau (FRB-OIG); Patricia Tarasca, Special Agent in Charge of the Federal Deposit Insurance Corporation Office of Inspector General, New York Region; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, made the announcement today. Assistant U.S. Attorneys Mackenzie A. Queenin and Benjamin A. Saltzman of the Securities, Financial & Cyber Fraud Unit and Carol E. Head of the Asset Forfeiture Unit prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Flathead County fentanyl, meth trafficker sentenced to more than 10 years in prisonRead the Press Release
MISSOULA — A Marion man who admitted to distributing fentanyl pills and methamphetamine in Flathead County was sentenced today to 10 years and one month in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Roger Ossie Nickerson, 40, pleaded guilty in May to distribution of controlled substances.
U.S. District Judge Dana L. Christensen presided.
The government alleged in court documents that during an investigation by the Northwest Montana Drug Task Force in June 2022, an undercover agent purchased fentanyl from Nickerson. In addition, law enforcement received information from a source that Nickerson was distributing drugs and that the source had purchased pills and meth from him multiple times.
Assistant U.S. Attorney Tara J. Elliott prosecuted the case. The Northwest Montana Drug Task Force, Homeland Security Investigations, Montana Division of Criminal Investigation, Drug Enforcement Administration, Flathead County Sheriff’s Office and Great Falls Police Department 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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Fairport man pleads guilty to attacking a federal officer during a campaign eventRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that David G. Jakubonis, 44, of Fairport, NY, pleaded guilty before U.S. Magistrate Judge Marian W. Payson to assaulting a federal officer, which carries a maximum penalty of one year in prison and a $100,000 fine.
Assistant U.S. Attorney Sean C. Eldridge, who is handling the case, stated that on July 21, 2022, during a campaign event in Perinton, NY, Congressman Lee Zeldin gave a speech from the bed of a flatbed trailer. During the speech, Jakubonis walked onto the trailer, approached the Congressman, extended a keychain with two sharp points toward him and grabbed his arm. A struggle then ensued between Congressman Zeldin and Jakubonis and, as bystanders intervened, Jakubonis pulled Congressman Zeldin down onto the bed of the trailer, stating several times during the assault, “you're done.” Jakubonis was subdued and arrested.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, the U.S. Capitol Police, under the direction of Assistant Special Agent-in-Charge Chad Beckett, the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter, the New York State Police, under the direction of Major Brian Ratajczak, the Rochester Police Department, under the direction of Chief David Smith and the Brighton Police Department, under the direction of Chief David Catholdi.
Sentencing is scheduled for December 14, 2023, at 3:30 p.m. before Judge Payson.
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