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Friday 8 September 2023
Luzerne County Man Sentenced to 42 Months’ Imprisonment for Covid-Relief and Credit Card Fraud, and Identity Theft OffensesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Reynard Lewis, age 30, formerly of Nanticoke, Pennsylvania, was sentenced by United States District Judge Robert D. Mariani to 42 months of imprisonment, for wire fraud conspiracy and aggravated identity theft offenses.
According to United States Attorney Gerard M. Karam, Lewis and his coconspirators used stolen identities to create forged identification documents and credit and debit cards. The conspirators used those forged items and stolen identities to open bank accounts, apply for lines of credit, and obtain retail merchandise. The conspirators also used the stolen identities to apply for multiple COVID-19 pandemic relief loans issued under the Small Business Administration’s Paycheck Protection Program (PPP), including by submitted false federal tax documentation. The conspirators allegedly received over $100,000 in pandemic stimulus funds.
The PPP is designed to help small businesses facing financial difficulties during the COVID-19 pandemic. Funded by the March 2020 CARES Act, PPP funds are offered in forgivable loans, provided that certain criteria are met, including use of the funds for employee payroll, mortgage interest, lease, and utilities expenses.
Lewis previously was charged in a criminal complaint and arrested on September 16, 2022. He has remained in detention since his arrest. Lewis’s alleged coconspirator, Robert Brownstein, age 51, of Scranton, Pennsylvania, was previously charged in a criminal information with wire fraud conspiracy and aggravated identity theft.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania Attorney General’s Office, and the Pottsville Bureau of Police. Assistant U.S. Attorney Phillip J. Caraballo is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Luzerne County Man Pleads Guilty to Crystal Methamphetamine TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Yerigardy Tejeda-Zoquier, age 23, of West Hazleton, Pennsylvania, pleaded guilty on September 7, 2023, before U.S. District Court Judge Robert D. Mariani, to the charge of possession with intent to distribute more than 50 grams of crystal methamphetamine.
According to United States Attorney Gerard M. Karam, Tejeda-Zoquier admitted to possessing between 500 grams and 1.5 kilograms of highly pure crystal methamphetamine for further distribution in the Luzerne County and Carbon County areas in 2021. Investigators purchased crystal methamphetamine from Tejeda-Zoquier on multiple occasions between January and March 2021 in both Luzerne and Carbon Counties, and then seized additional crystal methamphetamine from two vehicles utilized by Tejeda-Zoquier.
The charges against the defendant resulted from an investigation conducted by the Pennsylvania State Police and the Drug Enforcement Administration. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Under federal law, the defendant faces a mandatory minimum sentence of ten years in prison, up to a maximum sentence of life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Lowell Gang Member Pleads Guilty in Drug Trafficking and Money Laundering ConspiraciesRead the Press Release
BOSTON – A leader of a Lowell-based gang, One Family Clique (OFC), pleaded guilty yesterday to conspiring with fellow OFC gang members to traffic wholesale quantities of cocaine, and to launder millions of dollars in drug proceeds through casinos in Canada.
Virak Prum, a/k/a “Polo,” a/k/a “Capo,” a/k/a “Lips,” 36, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute cocaine and one count of money laundering conspiracy. U.S. Senior District Court Judge William G. Young scheduled sentencing for Dec. 14, 2023.
In August 2018, law enforcement began investigating OFC in response to a dramatic spike in shootings and gang violence in Lowell. OFC is an alliance between several gangs in and around Lowell with ties to gangs in California and other states. In 2018 and 2019, at least 12 incidents of gunfire in the Lowell area are alleged to be attributable to gang-motivated hostilities between OCF and its rivals.
Since at least 2019, Prum and his co-conspirators used the U.S. Postal Service to receive shipments of illegal narcotics, and, in return, to ship cash proceeds to the sources of supply. Members of the conspiracy maintained stash houses in Lowell, which also served as venues for gang meetings and other events furthering the gang’s illegal activities. Over the course of the investigation, agents seized or purchased approximately 12 kilograms of methamphetamine, 2.4 kilograms of cocaine, 2.1 kilograms of MDMA, 513 grams of heroin, and 169 grams of Fentanyl; $177,591 in cash; and seven firearms.
In May 2021, Prum led a money laundering operation in which he and his co-conspirators provided “protection” to a shipment from Europe that purportedly contained 8 million Euros in drug proceeds from black tar heroin sales. Specifically, Prum and his co-conspirators helped pack a shipment of money into a truck and escorted it from New York to New Hampshire.
Prum was charged with 14 others in June 2021. He is the final defendant in custody to plead guilty in the case. One defendant remains a fugitive.
The charge of conspiracy to distribute and to possess with intent to distribute cocaine provides for a sentence of up to twenty years in prison, at least three years and up to life of supervised release and a fine of up to $1 million. The charge of money laundering conspiracy provides for a sentence of up to twenty years in prison, supervised release for up to three years up to life and a fine of up to $500,000 or twice the value of the laundered property. 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 Investigations, Boston Division; Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Greg Hudon, Superintendent of the Lowell Police Department made the announcement today. Valuable assistance was provided by the DEA-San Jose Task Force as well as the Long Beach (Calif.) and Santa Clara (Calif.), Police Departments. Assistant U.S. Attorneys Timothy Moran and Fred Wyshak, III of the Organized Crime & Gang Unit are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leader of Identity Theft Conspiracy That Stole Nearly 50 Vehicles Sentenced to 8.5 Years in PrisonRead the Press Release
BOSTON – A Haverhill man was sentenced today in federal court in Boston for orchestrating schemes to use the stolen identities of United States citizens from Puerto Rico to fraudulently purchase vehicles and other merchandise and apply for and utilize bank accounts and credit cards.
Alvin Rivera, 40, was sentenced by U.S. District Court Judge Patti B. Saris to 102 months in prison and three years of supervised release. He was also ordered to pay $389,141 in restitution to victims. In March 2023, Rivera pleaded guilty to one count of conspiracy to commit wire fraud; two counts of wire fraud; three counts of aggravated identity theft; and three counts of false representation of a Social Security number in his District of Massachusetts case; he also pleaded guilty to a similar scheme originating in the District of New Jersey that was transferred to the District of Massachusetts for resolution.
Between October 2017 and September 2020, Rivera was the leader of a conspiracy in Massachusetts that used stolen identity information of United States citizens to obtain credit and goods. Under Rivera’s direction, and with stolen identity information that he provided, co-conspirators visited Massachusetts car dealerships to purchase late-model vehicles and applied for 100% financing. In support of the applications, the co-conspirators provided stolen biographical information from real United States citizens, fraudulent Puerto Rico driver’s licenses and Social Security cards in those identities, as proof of identification. The co-conspirators used the stolen identities to illegally open bank accounts and credit cards and purchase vehicles, many of which were exported out of the United States.
Between October 2017 and February 2018, Rivera also personally used stolen identity information of United States citizens to apply for credit and fraudulently purchase vehicles in a similar scheme in New Jersey.Together, the co-conspirators fraudulently purchased at least 47 vehicles from dealerships in Massachusetts, Pennsylvania, New York and New Jersey – obtaining over $2 million in cars and other merchandise using the stolen identities.
Following Rivera’s arrest, the investigation revealed that in 2020, Rivera also allegedly led a conspiracy that used stolen identity information of United States citizens to apply for and obtain over $450,000 in Economy Injury Disaster Loans, a form of pandemic relief, from the Small Business Administration. It is alleged that Rivera’s co-conspirators fraudulently opened bank accounts to receive those funds, laundered the funds and shared a portion of the profits with co-conspirators in the Dominican Republic. Multiple individuals have been arrested, charged, and pleaded guilty with respect to that conspiracy, and Rivera’s sentencing also took that conduct into account.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations, in New England; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; and Brockton Police Chief Brenda Perez made the announcement today. Valuable assistance was provided by the U.S. Attorney’s Office for the District of New Jersey; and the Lowell, Lawrence, Methuen, Haverhill, Woburn and Dartmouth Police Departments. Assistant U.S. Attorneys Elianna J. Nuzum and Adam W. Deitch of the Criminal Division prosecuted the case.
The District of Massachusetts investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized investigative group comprising personnel from various state, local, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.
The District of New Jersey investigation was conducted by the Social Security Administration, Office of Inspector General, Office of Investigations.Lackawanna County Man Sentenced to Life Imprisonment for Drug Distribution Resulting in DeathRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that United States Judge Malachy E. Mannion sentenced Robert Jackson, age 45, of Scranton, Pennsylvania, to life imprisonment for the distribution of a controlled substance resulting in death.
According to United States Attorney Gerard M. Karam, Jackson was found guilty of multiple federal crimes on February 8, 2022, following a six-day jury trial before Judge Mannion. Jackson was specifically found guilty for his sale of fentanyl on July 25, 2020, which resulted in the death of a 58-year-old Monroe County man. Jackson was also found guilty of conspiracy to distribute controlled substances resulting in death and possession with intent to distribute controlled substances.
During the trial, prosecutors from the U.S. Attorney’s Office presented the testimony of Dr. Rameen Starling-Roney, a Forensic Pathologist, and Dr. Michael Coyer, a Forensic Toxicologist, who opined that fentanyl caused the death of the Monroe County man. Additional testimony was provided by officers and detectives from the Monroe County District Attorney’s Office, the Pocono Mountain Regional Police Department, and the FBI – Scranton Office who testified that Jackson sold fentanyl to the victim in the evening of July 25, 2020, resulting in his death on July 28, 2020.
The life sentence imposed by Judge Mannion was mandated pursuant to federal law for defendants found guilty of distributing a controlled substance resulting in death, after having previously been convicted of a felony drug offense. Jackson’s criminal history involved multiple felony drug offenses, which also rendered him a career offender under federal law.
The investigation was conducted by the Federal Bureau of Investigation (FBI) in Scranton, the Monroe County District Attorney’s Office, and the Pocono Mountain Regional Police Department. Assistant United States Attorneys Michelle Olshefski and Robert O’Hara prosecuted the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin and other opioids. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin and opioid traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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Justice Department Secures Settlement Protecting Employment Rights of ServicemembersRead the Press Release
The Justice Department announced today that it has resolved a complaint filed against the City of Chicago on behalf of U.S. Army Reservist Derrick Strong. The department’s lawsuit alleged that the city violated the Uniformed Services Employment and Reemployment Rights Act (USERRA) when it failed to offer Strong the opportunity to take an examination upon his return from military service that would have made him eligible for a promotion. After the lawsuit was filed, Strong was given the promotional exam, which he passed, and promoted to the rank of Fire Engineer. The settlement will award him retroactive seniority and back pay.
“Federal law safeguards the civilian employment rights of our nation’s servicemembers and requires that they have the promotional opportunities they would have earned had their employment not been interrupted by military service,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Employers must ensure that servicemembers have a fair opportunity to seek promotion, including by offering make-up examinations missed due to military service, and this settlement will ensure that this continues to happen.”
Strong began his employment in August 2009 as a Firefighter/EMT. He served on active duty from September 2016 through June 2017. Immediately upon returning from his deployment, Strong made multiple requests to take the Fire Engineer promotional examination that he missed while on active duty. Although the city did not begin making Fire Engineer promotions until almost a year after Strong returned, the city denied him the opportunity to take the exam. Initially, the city asserted that because it offered Strong an opportunity to take the Fire Engineer promotional examination at his military post while on active duty, his failure to take the promotional exam was of his own doing.
In April 2022, shortly after Strong’s successful performance on the make-up Fire Engineer examination that was ultimately given to him, the city promoted him to the rank of Fire Engineer. The city also changed its policy to allow servicemembers to take make-up promotional examinations upon their return from military service. Under the terms of the settlement agreement, the city also agreed to retroactively adjust Strong’s Fire Engineer appointment date to June 2018, the date that he would have been promoted had the city properly administered the examination upon his return from military service and to pay Strong for his lost wages in the amount of $52,000.
The Department of Labor (DOL) referred this matter to the Justice Department following an investigation by its Veterans’ Employment and Training Service.
Trial Attorneys Alicia D. Johnson, Vendarryl Jenkins and Catherine Sellers of the Civil Rights Division’s Employment Litigation Section (ELS) litigated this case.
ELS continues to work collaboratively with the DOL to protect the jobs and benefits of military members. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found at www.justice.gov/crt/laws-we-enforce and www.justice.gov/servicemembers, as well as on the DOL’s website at www.dol.gov/agencies/vets/programs/userra.
Justice Department Awards Funding for Legal Services and Improved Court Responses to Domestic and Sexual ViolenceRead the Press Release
NEWARK, N.J. – The Department of Justice Office on Violence Against Women (OVW) awarded more than $1.3 million to two programs in the state to provide legal services and improve the effective coordination of justice systems impacting survivors of sexual assault, domestic violence, dating violence, and stalking, U.S. Attorney Philip R. Sellinger announced today.
The need for specialized legal services is both urgent and essential for survivors of domestic violence and sexual assault. These services provide interventions, such as securing restraining or protective orders, that are crucial for survivor safety. The awards to New Jersey are:
- OVW awarded $750,000 under the Legal Assistance for Victims (LAV) Program to 180 Turning Lives Around Inc. The LAV Program addresses the legal needs of survivors of sexual assault, domestic violence, dating violence, and stalking.
- OVW awarded $599,512 under the Justice for Families (JFF) Program to the Essex County Family Justice Center Inc. The JFF Program aims to improve the capacity of communities and courts to respond to families impacted by violence.
U.S. Attorney Philip R. Sellinger“There is an urgent need to fund programs for survivors of sexual assault, domestic violence, dating violence, and stalking, so I am pleased to announce that two programs in the District of New Jersey have been awarded funding from the Justice Department’s Office on Violence Against Women. These funds will help survivors who are struggling with the emotional and physical toll of violence to navigate the complex and often overwhelming legal system. The programs this money will help fund will provide needed legal support to ensure justice and safety for survivors.”
“The Legal Assistance for Victims Grant, in conjunction with the Justice for Families Program and the Domestic Violence Mentor Court Technical Assistance Initiative, serve as a powerful multi-pronged strategy to transform the justice system's approach to supporting families affected by violence,” OVW Director Rosemarie Hidalgo said. “These grants enhance court-related programs, trauma-informed training, and resources, while also providing victims with specialized legal support. This includes assistance with securing protective orders and navigating complex family law matters. Collectively, these grants advance a more comprehensive approach, aimed at ensuring that survivors and their families don't merely navigate our legal system, but genuinely find a path to justice and safety.”
The U.S. Attorney’s Office has an unyielding commitment to combat sexual misconduct. As part of the Justice Department’s initiative to combat sexual harassment in housing, the U.S. Attorney’s Office routinely conducts community outreach throughout New Jersey to help identify and encourage reporting of sexual misconduct. This outreach ultimately led to a landmark lawsuit and $4.5 million monetary settlement against a landlord who the United States alleged demanded sex acts from dozens of tenants under the threat of eviction or other negative consequences. In addition, the U.S. Attorney’s Office brought an investigation that revealed that the Edna Mahan Correctional Facility for Women failed to protection inmates from sexual abuse by staff. This lawsuit resulted in a consent decree that required the New Jersey Department of Corrections to implement reforms to ensure incarcerated women are protected from sexual abuse.
OVW provides leadership in developing the nation’s capacity to reduce violence through implementing VAWA and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities nationwide that are developing programs, policies, and practices to end domestic violence, dating violence, sexual assault, and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.
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Justice Department Awards $58.8 Million in Grants to Provide Legal Services and Improve Court Responses to Domestic and Sexual ViolenceRead the Press Release
The Justice Department announced today $58,860,034 in Office on Violence Against Women (OVW) grants to provide legal services and to improve effective coordination of justice systems impacting survivors of sexual assault, domestic violence, dating violence and stalking. OVW awarded the funds under the Legal Assistance for Victims (LAV) Program, Justice for Families (JFF) Program, Expanding Legal Services Initiative (ELSI) and the Domestic Violence Mentor Court Technical Assistance Initiative.
The need for specialized legal services is both urgent and essential for survivors of domestic and dating violence, sexual assault and stalking. These services provide interventions, such as securing restraining or protective orders and address issues such as child custody, immigration, housing and employment, that are essential for survivor safety. Moreover, there is a significant overlap between domestic violence and family law, particularly in cases involving children; survivors often need legal counsel to navigate complex issues like child custody, visitation and child support. The legal system is inherently complicated, and for survivors who are simultaneously managing the emotional and physical toll of abuse, navigating it can be overwhelming. Despite this acute demand, many communities still lack adequate resources, underscoring the urgency for more comprehensive legal support to ensure both justice and safety for survivors.
“Access to legal assistance is a lifeline for survivors of gender-based violence,” said Associate Attorney General Vanita Gupta. “Survivors must be able to access services and support that provide a pathway to safety and justice. The Justice Department funding announced today will expand access to legal representation and make it easier for thousands of survivors to navigate the justice system every year.”
"The Legal Assistance for Victims Grant, in conjunction with the Justice for Families Program and the Domestic Violence Mentor Court Technical Assistance Initiative, serve as a powerful multi-pronged strategy to transform the justice system's approach to supporting families affected by violence," stated OVW Director Rosemarie Hidalgo. "These grants enhance court-related programs, trauma-informed training, and resources, while also providing victims with specialized legal support. This includes assistance with securing protective orders and navigating complex family law matters. Collectively, these grants advance a more comprehensive approach, aimed at ensuring that survivors and their families don't merely navigate our legal system, but genuinely find a path to justice and safety."
Specifically, OVW awarded a total of $39,638,367 to 55 grantees under the LAV Program, which addresses the legal needs of survivors of sexual assault, domestic violence, dating violence, and stalking. ELSI, which operates under the LAV Program, awarded $3,199,306 through eight grants to support the development of new legal services programs. In addition, OVW’s JFF Program awarded $15,272,361 to 25 projects that aim to improve the capacity of communities and courts in responding to families impacted by violence. Moreover, $750,000 was awarded under the Domestic Violence Mentor Court Technical Assistance Initiative to recognize well-established specialized courts and enable them to guide newly-established specialized courts and court-based programs that wish to significantly improve their responses to domestic violence cases and ensure victim safety and offender accountability.
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Created in 1995, OVW provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. OVW administers financial and technical assistance to communities across the country that are developing programs, policies, and practices aimed at ending domestic violence, dating violence, sexual assault and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.
justice_for_families_program_awards.pdf legal_assistance_for_victims_grant_program_awards.pdf legal_assistance_for_victims_grant_program_expanding_legal_services_initiative_awards.pdf domestic_violence_mentor_court_technical_assistance_initiative_awards.pdfJustice Department Announces First Criminal Resolution Involving the Illicit Sale and Transport of Iranian Oil in Violation of U.S. SanctionsRead the Press Release
WASHINGTON – The Justice Department announced today the successful disruption of a multimillion-dollar shipment of crude oil by the Islamic Revolutionary Guard Corps (IRGC), a designated foreign terrorist organization, that was bound for another country. This is the first-ever criminal resolution involving a company that violated sanctions by facilitating the illicit sale and transport of Iranian oil and comes in concert with a successful seizure of over 980,000 barrels of contraband crude oil.
According to court documents, on April 19, 2023, Suez Rajan Limited pleaded guilty to conspiring to violate the International Emergency Economic Powers Act (IEEPA). On that same date, the company was sentenced by U.S. District Court Judge Carl J. Nichols for the District of Columbia to three years of corporate probation and a fine of almost $2.5 million. In addition, pursuant to a deferred prosecution agreement (DPA) and a seizure warrant issued by the U.S. District Court for the District of Columbia, Empire Navigation, the operating company of the vessel carrying the contraband cargo, agreed to cooperate and transport the Iranian oil to the United States – an operation which has now concluded. Empire Navigation incurred the significant expenses associated with the vessel’s voyage to the United States.
The contraband cargo is now the subject of a civil forfeiture action in the U.S. District Court for the District of Columbia. The United States’ forfeiture complaint alleges that the oil aboard the vessel is subject to forfeiture based on U.S. terrorism and money laundering statutes. The complaint alleges a scheme involving multiple entities affiliated with Iran’s IRGC and the IRGC-Qods Force (IRGC-QF) to covertly sell and transport Iranian oil to a customer abroad. Participants in the scheme attempted to disguise the origin of the oil using ship-to-ship transfers, false automatic identification system reporting, falsified documents, and other means. The complaint further alleges that the charterer of the vessel used the U.S. financial system to facilitate the transportation of Iranian oil.
The complaint further alleges that the oil constitutes the property of, or provided a “source of influence” over, the IRGC and the IRGC-QF, both of which have been designated by the United States as foreign terrorist organizations, and that the oil facilitated money laundering. The documents allege that profits from oil sales support the IRGC’s full range of malign activities, including the proliferation of weapons of mass destruction and their means of delivery, support for terrorism, and both domestic and international human rights abuses.
Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the U.S. Victims of State Sponsored Terrorism Fund.
HSI Washington D.C. and FBI’s Minneapolis Field Office are investigating the cases. Assistant U.S Attorneys Stuart D. Allen and Rajbir S. Datta for the District of Columbia prosecuted the criminal case and they, along with Assistant U.S. Attorney Brian Hudak, are litigating the civil forfeiture case. On both actions, they received assistance from Paralegal Specialists Brian Rickers and Legal Assistant Jessica McCormick. Former Assistant U.S. Attorney Michael Grady participated in prior phases of the investigation. The Counterintelligence and Export Control Section of the National Security Division is also prosecuting and litigating these matters. The Money Laundering and Asset Recovery Section of the Criminal Division provided significant assistance in this matter. The Department thanks United Against Nuclear Iran for its valuable assistance.
A civil forfeiture complaint is merely an allegation. The burden to prove forfeitability in a civil forfeiture proceeding is upon the government.
Justice Department Announces First Criminal Resolution Involving the Illicit Sale and Transport of Iranian Oil in Violation of U.S. SanctionsRead the Press Release
The Justice Department announced today the successful disruption of a multimillion-dollar shipment of crude oil by the Islamic Revolutionary Guard Corps (IRGC), a designated foreign terrorist organization, that was bound for another country. This is the first-ever criminal resolution involving a company that violated sanctions by facilitating the illicit sale and transport of Iranian oil and comes in concert with a successful seizure of over 980,000 barrels of contraband crude oil.
According to court documents, on April 19, Suez Rajan Limited pleaded guilty to conspiring to violate the International Emergency Economic Powers Act (IEEPA). On that same date, the company was sentenced by U.S. District Court Judge Carl J. Nichols for the District of Columbia to three years of corporate probation and a fine of almost $2.5 million. In addition, pursuant to a deferred prosecution agreement (DPA) and a seizure warrant issued by the U.S. District Court for the District of Columbia, Empire Navigation, the operating company of the vessel carrying the contraband cargo, agreed to cooperate and transport the Iranian oil to the United States – an operation which has now concluded. Empire Navigation incurred the significant expenses associated with the vessel’s voyage to the United States.
The contraband cargo is now the subject of a civil forfeiture action in the U.S. District Court for the District of Columbia. The United States’ forfeiture complaint alleges that the oil aboard the vessel is subject to forfeiture based on U.S. terrorism and money laundering statutes.
The complaint alleges a scheme involving multiple entities affiliated with Iran’s IRGC and the IRGC-Qods Force (IRGC-QF) to covertly sell and transport Iranian oil to a customer abroad. Participants in the scheme attempted to disguise the origin of the oil using ship-to-ship transfers, false automatic identification system reporting, falsified documents and other means. The complaint further alleges that the charterer of the vessel used the U.S. financial system to facilitate the transportation of Iranian oil.
The complaint further alleges that the oil constitutes the property of, or provided a “source of influence” over, the IRGC and the IRGC-QF, both of which have been designated by the United States as foreign terrorist organizations, and that the oil facilitated money laundering. The documents allege that profits from oil sales support the IRGC’s full range of malign activities, including the proliferation of weapons of mass destruction and their means of delivery, support for terrorism and both domestic and international human rights abuses.
Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the U.S. Victims of State Sponsored Terrorism Fund.
Homeland Security Investigations Washington D.C. and FBI’s Minneapolis Field Office are investigating the cases.
Assistant U.S. Attorneys Stuart D. Allen and Rajbir S. Datta for the District of Columbia prosecuted the criminal case and they, along with Assistant U.S. Attorney Brian Hudak, are litigating the civil forfeiture case. On both actions, they received assistance from Paralegal Specialists Brian Rickers and Legal Assistant Jessica McCormick. Former Assistant U.S. Attorney Michael Grady participated in prior phases of the investigation. The Counterintelligence and Export Control Section of the National Security Division is also prosecuting and litigating these matters. The Money Laundering and Asset Recovery Section of the Criminal Division provided significant assistance in this matter. The Department thanks United Against Nuclear Iran for its valuable assistance.
A civil forfeiture complaint is merely an allegation. The burden to prove forfeitability in a civil forfeiture proceeding is upon the government.
Jamaican National Charged with Debt Relief ScamRead the Press Release
Sereika Savariau, also known as Sereika Savariau-Goodison, 36, of Jamaica, appeared in U.S. federal court today and was arraigned on an eight-count indictment charging her with creating a series of fraudulent debt relief companies that tricked U.S. victims into paying fees and disclosing personal identifying information sensitive information, and identity documents to obtain debt relief, which did not actually exist.
The announcement was made by U.S. Attorney Matthew M. Graves for the District of Columbia and Assistant Inspector General for Investigations Sally Luttrell of the Treasury Department, Office of Inspector General.
On Dec. 2, 2021, a federal grand jury returned an eight-count sealed indictment charging Savariau with one count of conspiracy to commit wire fraud affecting a financial institution, four counts of wire fraud affecting a financial institution and three counts of aggravated identity theft. The indictment alleges that between 2016 and 2018, Savariau conspired with others to profit from fees paid by victims of fraudulent debt relief companies. The indictment alleges that conspirators created and operated fraudulent businesses and websites that marketed and sold fraudulent debt relief services to members of the public. Conspirators fraudulently misrepresented that members of the public could apply for and obtains thousands of dollars’ worth of debt relief on their outstanding, unpaid bills in the form of grants, all in exchange for payment of a service processing fee. Conspirators also claimed that the purported debt relief was funded and administered by the U.S. government. Through their false representations, Savariau and her co-conspirators are alleged to have induced or attempted to induce victims throughout the United States to pay over a million dollars’ worth of service processing fees to Savariau and her co-conspirators via Western Union, Money Gram, PayPal and other payment mechanisms.
Savariau arrived in the D.C. metropolitan area on Thursday after being extradited from Jamaica. At today’s initial appearance, the Honorable Zia M. Faruqui ordered that she be held without bond pending her next hearing, which is scheduled for Sept. 20.
This case was investigated by the U.S. Department of Treasury’s Office of Inspector General, the Justice Department's Computer Crime and Intellectual Property Section, and the U.S. Attorney’s Office for the District of Columbia. The Justice Department’s Office of International Affairs provided valuable assistance in securing the arrest and extradition of Savariau.
The case is being prosecuted by Trial Attorneys Louisa Becker and Ashley Pungello of the Criminal Division's Computer Crime and Intellectual Property Section, and Assistant U.S. Attorney Kondi Kleinman for the District of Columbia.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
savariau_indictment_september_8th.pdfJamaican National Charged with Debt Relief ScamRead the Press Release
Defendant Extradited from Jamaica to Answer Eight-Count Indictment
WASHINGTON – Sereika Savariau, also known as Sereika Savariau-Goodison, 36, of Jamaica, appeared in U.S. federal court today and was arraigned on an eight-count indictment charging her with creating a series of fraudulent debt relief companies that tricked U.S. victims into paying fees and disclosing personal identifying information, sensitive information, and identity documents to obtain debt relief, which did not actually exist. The announcement was made by U.S. Attorney Matthew M. Graves and Sally Luttrell Assistant Inspector General for Investigations U.S. Department of Treasury, Office of Inspector General
On December 2, 2021, a federal grand jury returned an eight-count sealed indictment charging Savariau with one count of conspiracy to commit wire fraud affecting a financial institution, four counts of wire fraud affecting a financial institution, and three counts of aggravated identity theft. The indictment alleges that between 2016 and 2018, Savariau conspired with others to profit from fees paid by victims of fraudulent debt relief companies. The indictment alleges that conspirators created and operated fraudulent businesses and websites that marketed and sold fraudulent debt relief services to members of the public. Conspirators fraudulently misrepresented that members of the public could apply for and obtains thousands of dollars’ worth of debt relief on their outstanding, unpaid bills in the form of grants, all in exchange for payment of a service processing fee. Conspirators also claimed that the purported debt relief was funded and administered by the U.S. government. Through their false representations, Savariau and her co-conspirators are alleged to have induced or attempted to induce victims throughout the United States to pay over a million dollars’ worth of service processing fees to Savariau and her co-conspirators via Western Union, Money Gram, PayPal, and other payment mechanisms.
Savariau arrived in the D.C. metropolitan area on Thursday after being extradited from Jamaica. At today’s initial appearance, the Honorable Zia M. Faruqui ordered that she be held without bond pending her next hearing, which is scheduled for September 20, 2023.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
This case was investigated by the U.S. Department of Treasury’s Office of Inspector General, the Department of Justice’s Computer Crime and Intellectual Property Section, and the U.S. Attorney’s Office for the District of Columbia. The Justice Department’s Office of International Affairs provided valuable assistance in securing the arrest and extradition of Savariau. The case is being prosecuted by Trial Attorneys Louisa Becker and Ashley Pungello, and Assistant U.S. Attorney Kondi Kleinman.
Individual Indicted and Arrested for Child Exploitation and Drug Trafficking Charges; Another Charged with Making False StatementsRead the Press Release
SAN JUAN, Puerto Rico – Homeland Security Investigations (HSI) and the Puerto Rico Crimes Against Children Task Force (PRCACTF), along with the Puerto Rico Police Bureau (PRPB) arrested Bryan Xavier Pérez Hernández, 26, from San Sebastián, PR, and Melanie Cruz Clivilles, 31, from Aguadilla, PR, for charges related to the death of 13-year-old female minor G.L.C.C.
According to court documents, Bryan Xavier Pérez Hernández attempted to induce, entice, and coerce a minor, that is, a 13-year-old female G.L.C.C., to engage in sexually explicit conduct for the purpose of producing child exploitation material. Pérez Hernández is also charged with possession with intent to distribute cocaine, conspiracy to distribute cocaine, and distribution of cocaine to a minor.
Melanie Cruz Clivilles, mother of G.L.C.C., is charged with lying to a federal law enforcement agent. The allegations are that Cruz Clivilles made a materially false, fictitious, and fraudulent statement and representation by falsely stating to a Task Force Officer of the United States Department of Homeland Security Investigations that she first met Bryan Xavier Pérez Hernández at the hospital on August 4, 2023, where he arrived with defendant’s deceased daughter G.L.C.C. The statement and representation was false because, as she then and there knew, because she had met Pérez Hernández at the latest in July of 2023, and had been with him during a meeting on August 3, 2023.
If convicted, Pérez Hernández faces a statutory minimum sentence of between15 and 30 years in prison for production of child pornography; and up to 40 years in prison for the drug trafficking charges. Defendant Cruz Clivilles is facing up to five years in prison for making false statements. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico; and Rebecca González-Ramos, Special Agent in Charge of Homeland Security Investigations made the announcement.
Homeland Security Investigations and the Puerto Rico Police Bureau are investigating the case.
Assistant U.S. Attorney Jenifer Hernández Vega, Chief of the Child Exploitation and Immigration Unit is prosecuting the case. The investigation continues.
For more information about HSI’s efforts to protect children from sexual predators, visit https://www.ice.gov/topics/iGuardians; and to denounce suspicious activities call 787-729-6969.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Illinois Family Members Plead Guilty to Kidnapping, Forced Labor and Conspiracy for Coercing Two Minors and a Third Victim in Years-Long Forced Labor SchemeRead the Press Release
Lorenza Domingo-Castaneda, 34, a Guatemalan national, pleaded guilty today in the Central District of Illinois to three counts of forced labor and two counts of conspiracy to commit forced labor. On Aug. 18, co-defendant Catarina Domingo-Juan, 37, also pleaded guilty to three counts of forced labor and two counts of conspiracy to commit forced labor. A third co-defendant, Domingo Francisco-Juan, 43, previously pleaded guilty on Aug. 30 to forced labor, conspiracy to commit forced labor, kidnapping and conspiracy to commit kidnapping.
According to court documents, the defendants, who are siblings, conspired to bring two minor victims from Guatemala to the United States to work in their homes between December 2015 and March 2021. The defendants compelled the victims to provide domestic services within the homes and to work outside the homes at local hotels and factories. The defendants used false promises of a better life and an education to gain the permission of the victims’ mothers for their minor daughters to travel to the United States to live with the defendants. Domingo-Castaneda and Domingo-Juan also compelled a third victim to work in their homes and outside their homes at local businesses. The defendants isolated the victims in their homes, restricted their communications with their family in Guatemala and subjected them to physical, verbal and psychological abuse, among other coercive means.
“Human trafficking — particularly compelling the labor and services of unaccompanied minors — cannot be tolerated.” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Traffickers deftly use the promise of America to lure adults and children into the United States from thousands of miles away, only to then turn around and reveal their promises were false as part of a coercive scheme to compel their labor. The Justice Department remains steadfast in identifying and prosecuting human traffickers who exploit vulnerable victims for their own financial benefit.”
“Human trafficking is a scourge that affects not only far-flung locales but our local communities as well,” said U.S. Attorney Gregory K. Harris for the Central District of Illinois. “Traffickers prey on vulnerable victims – including children – bringing them to the United States and entangling them in forced labor schemes. The Central District of Illinois is committed to prosecuting these crimes and further asks community members who are aware of any signs of such exploitation to pass that information on to law enforcement.”
“Labor traffickers only care about one thing — money,” said Special Agent in Charge Sean Fitzgerald of Homeland Security Investigations (HSI) Chicago. “Those subjected to domestic servitude are robbed of their dignity and freedom. Thankfully, these victims were rescued thanks to the efforts of law enforcement. Apprehending labor and human traffickers who take advantage of our most vulnerable and rescuing those exploited will always be a top priority for HSI.”
In accordance with the plea agreements, the defendants face penalties of 20 years up to life in prison as well as mandatory restitution. A federal district court judge will determine any penalty after considering the U.S. Sentencing Guidelines and other statutory factors.
HSI with the assistance of the Champaign Police Department, Champaign County Sheriff’s Office, U.S. Marshals Service and Champaign County State’s Attorney’s Office investigated this case.
Assistant U.S. Attorney Bryan Freres for the Central District of Illinois and Trial Attorney Kate Alexander of the Civil Rights Division’s Human Trafficking Prosecution Unit are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org. Information on the Justice Department’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
Funding Awarded in Missouri for Domestic and Sexual Violence ServicesRead the Press Release
ST. LOUIS – The need for specialized legal services is both urgent and essential for survivors of domestic violence and sexual assault. These services provide interventions, such as securing restraining or protective orders, that are crucial for survivor safety. U.S. Attorney Sayler A. Fleming is proud to announce that the Department of Justice Office on Violence Against Women (OVW) awarded $869,540 to the Eastern District of Missouri to provide legal services and improve the effective coordination of justice systems impacting survivors of sexual assault, domestic violence, dating violence, and stalking.
• OVW awarded $719,540 under the Legal Assistance for Victims (LAV) Program to the Crime Victim Advocacy Center of St. Louis. The LAV Program addresses the legal needs of survivors of sexual assault, domestic violence, dating violence, and stalking.
• OVW awarded $150,000 under the Domestic Violence Mentor Court Technical Assistance Initiative to St. Louis County. The initiative recognizes well-established specialized courts and enables them to guide newly established specialized courts and court-based programs that wish to significantly improve their responses to domestic violence cases and ensure victim safety and offender accountability.
“I’m very pleased that this money will be available for the vital work of supporting women who are the victims of domestic and other forms of violence, both in and out of the court system,” said U.S. Attorney Fleming.
“The Legal Assistance for Victims Grant, in conjunction with the Justice for Families Program and the Domestic Violence Mentor Court Technical Assistance Initiative, serve as a powerful multi-pronged strategy to transform the justice system's approach to supporting families affected by violence," stated OVW Director Rosemarie Hidalgo. "These grants enhance court-related programs, trauma-informed training, and resources, while also providing victims with specialized legal support. This includes assistance with securing protective orders and navigating complex family law matters. Collectively, these grants advance a more comprehensive approach, aimed at ensuring that survivors and their families don't merely navigate our legal system, but genuinely find a path to justice and safety.”
Four New Hampshire Men Charged in Connection with the Stalking of Two JournalistsRead the Press Release
BOSTON – Four New Hampshire men have been indicted by a federal grand jury in Boston for their roles in a conspiracy to harass and intimidate two journalists employed by New Hampshire Public Radio (NHPR). The alleged harassment and intimidation of the victims included the vandalism – on five separate occasions – of the victims’ homes and the home of one of the victims’ parents with bricks, large rocks and red spray paint.
The following defendants were indicted for conspiracy to commit stalking through interstate travel and/or the use of a facility of interstate commerce:
- Eric Labarge, 46, of Nashua, N.H.;
- Tucker Cockerline, 32, of Salem, N.H.;
- Michael Waselchuck, 35, of Seabrook, N.H.; and
- Keenan Saniatan, 36, of Nashua, N.H.
Labarge was arrested this morning and will appear in federal court in Boston this afternoon. Cockerline, Saniatan and Waselchuck were previously arrested and charged by criminal complaint on June 16, 2023 and remain in custody.
According to the indictment, after a year-long investigation, an NHPR journalist (Victim 1) published an article in March 2022 detailing allegations of sexual and other misconduct by a former New Hampshire businessperson, identified in the charging document as Subject 1. Another NHPR journalist (Victim 2) also contributed to the article, which appeared on NHPR’s website during and after March 2022. In response to this reporting, Labarge – who is alleged to be a close personal associate of Subject 1 – Saniatan, Cockerline and Waselchuck allegedly agreed to harass and intimidate Victims 1 and 2 and their immediate family members. Among other things, the indictment alleges that:
- On or about April 22, 2022, Labarge solicited Cockerline to vandalize Victim 1’s former residence in Hanover, N.H., using a brick and red spray paint. Thereafter, on the evening of April 24, 2022, Cockerline allegedly spraypainted the word “C*NT” in large red letters on the front door and allegedly threw a brick through an exterior window of the home;
- On or about April 22, 2022, Saniatan allegedly agreed to vandalize Victim 2’s home in Concord, N.H., and Victim 1’s parents’ home in Hampstead, N.H., using large rocks and red spray paint. Thereafter, on the evening of April 24, 2022, Saniatan allegedly spraypainted the word “C*NT” in large red letters on the front door and threw a large rock at the exterior of Victim 2’s home; and he allegedly threw a softball-sized rock through a front exterior window and spraypainted the word “C*NT” in large red letters on one of the garage doors of Victim 1’s parents’ home;
- On or about May 18, 2022, Labarge allegedly solicited Cockerline to vandalize Victim 1’s parents’ home in Hampstead, N.H., and Victim 1’s home in Melrose, Mass., using bricks and red spray paint. Cockerline, in turn, allegedly recruited Waselchuck to vandalize Victim 1’s residence; and
- Thereafter, on the evening of May 20, 2022, Cockerline allegedly spraypainted the word “C*NT” in large red letters on one of the garage doors of Victim 1’s parents’ home, and left a brick on the ground near the front door. Several hours later, Waselchuck allegedly threw a brick through an exterior window of Victim 1’s home and painted the phrase “JUST THE BEGINNING” in large red letters on the front of the house.
Each charge in the indictment carries a maximum sentence of up to five years in prison, three years of supervised release, a $250,000 fine and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. Valuable assistance was provided by the Concord, Hampstead and Hanover, New Hampshire Police Departments, the Melrose, Massachusetts Police Department and the United States Attorney’s Office for the District of New Hampshire. Assistant U.S. Attorneys Jason A. Casey and Torey B. Cummings of the Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Four Defendants Sentenced on Federal Charges Stemming from Staged Motor Vehicle AccidentsRead the Press Release
Louisville, KY – Four defendants were sentenced this week for conspiracy to commit health care fraud. Two of the defendants were also sentenced for mail fraud, and one defendant was sentenced for money laundering.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Acting Special Agent in Charge Brian Jones of the FBI Louisville Field Office, Special Agent in Charge Bryant Jackson of the Internal Revenue Service, Criminal Investigation (IRS-CI) Cincinnati Field Office, U.S. Postal Inspector in Charge Lesley Allison of the Pittsburgh Division, and Director Juan Garrett of the Kentucky Department of Insurance made the announcement.
According to court documents, Joel Abad, 40, of Miami, Florida, Junis Peguero, 40, of Riverview, Florida, Carlos Vazquez, 57, of Louisville, Kentucky, Jose Cordoba Reira, 47, of Louisville, Kentucky, and Miguel Moreno-Cardenas, 55, of Louisville, Kentucky, conspired to recruit people to participate in fake automobile accidents and to obtain treatment at certain chiropractic clinics in Louisville, Kentucky, where insurance companies were billed for the treatment.
On September 7, 2023, Peguero was sentenced to 2 years and 7 months in prison, followed by a 3-year term of supervised release, for conspiracy to commit health care fraud and mail fraud.
On September 7, 2023, Vazquez was sentenced to 5-years’ probation for conspiracy to commit health care fraud.
On September 8, 2023, Reira was sentenced to 1 year and 2 months in prison, followed by a 2-year term of supervised release, for conspiracy to commit health care fraud and money laundering.
On September 8, 2023, Moreno-Cardenas was sentenced to 1 year and 2 months in prison, followed by a 2-year term of supervised release, for conspiracy to commit health care fraud and mail fraud.
All defendants were ordered to pay $343,832.41, jointly, and severally, in restitution. There is no parole in the federal system.
Joel Abad will be sentenced later.
The case was investigated by the FBI, IRS-CI, USPIS, and the Kentucky Department of Insurance.
Assistant U.S. Attorneys Joseph Ansari and Christopher Tieke prosecuted the case with assistance from health care fraud investigator Bob Masterson of the U.S. Attorney’s Office.
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Founder of Purported Artificial Intelligence-Driven Hedge Fund Charged with Defrauding ClientsRead the Press Release
A criminal complaint was unsealed earlier today in federal court in Brooklyn charging Mina Tadrus, the founder and chief executive officer of Tadrus Capital, LLC, with wire fraud in connection with a scheme to steal from clients of his purported hedge fund. Tadrus was arrested this morning in Tampa, Florida and made his initial appearance this afternoon in federal court in the Middle District of Florida where he was released on a $100,000 bond.
Breon Peace, United States Attorney for the Eastern District of New York, James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Thomas M. Fattorusso, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York Field Office (IRS-CI), announced the arrest and charges.
“As alleged, the defendant preyed on the Egyptian-American Coptic Christian community through a scheme built on false promises that his purported artificial intelligence-driven hedge fund would earn them guaranteed annual returns, when in reality he never invested a dime and just used new investor money to pay the guaranteed monthly returns and line his own pockets,” stated United States Attorney Peace. “This Office will vigorously prosecute those who, like the defendant, claim to use cutting edge technology but instead are committing old-fashioned fraud against the public to enrich themselves.”
Mr. Peace expressed his appreciation to the U.S. Securities and Exchange Commission’s New York Regional Office for its assistance in this matter.
According to the complaint, between September 2020 and July 2023, Tadrus, a former registered stockbroker, operated Tadrus Capital LLC. Tadrus promised clients he had met at a Coptic Christian Church in Brooklyn and elsewhere that its artificial intelligence-driven trading strategies would earn them guaranteed annual returns of 30% or more. Tadrus did not appear to have engaged in AI-based algorithmic trading. Instead, Tadrus used the investors’ funds to pay a few employees and purchase luxury goods and expensive meals for himself and make good on the fraudulent “returns” to new investors. In total, Tadrus misappropriated at least $5 million from his victims.
If you were a Tadrus Capital LLC client and would like to file a complaint, please visit www.iC3.gov. Please reference “Tadrus Capital” or “Mina Tadrus” in your complaint.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Tadrus faces up to 20 years in prison.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Genny Ngai and John O. Enright are in charge of the prosecution.
The Defendant:
MINA TADRUS
Age: 36
Tampa, FloridaE.D.N.Y. Docket No. 23-MJ-792
Former Woonsocket Couple Admit to Directing Conspiracy That Shipped Dozens of Kilos of Cocaine into Rhode IslandRead the Press Release
PROVIDENCE , RI – A former Woonsocket couple admitted to a federal judge in Rhode Island that they directed a conspiracy that, according to charging documents, was responsible for shipping dozens of packages containing kilograms of cocaine through the U.S. Postal Service from Puerto Rico to Rhode Island, announced United States Attorney Zachary A. Cunha.
As reflected in court documents, Efrain Colon-Garcia, 32, and his wife, Yaniris Colon-Senquiz, 46, led a conspiracy that was responsible for more than five dozen packages that were shipped into Rhode Island, each containing a kilogram or more of cocaine. Appearing in U.S. District Court in Providence on Thursday, the couple, who most recently resided in Kissimmee, FL, admitted that, as part of the conspiracy, they directed others to receive shipments of cocaine sent from Puerto Rico, and that they themselves received multiple shipments.
Colon-Garcia admitted to that court that he received at least nine packages at his residence and business addresses; Colon-Senquiz admitted to receiving at least four packages personally addressed to her. The defendants admitted to knowing that each package contained kilogram-quantities of cocaine.
Colon-Garcia and Colon-Senquiz each pleaded guilty to a charge of conspiracy to distribute and possess with intent to distribute cocaine, and a charge of unlawful use of a communication facility (U.S. Mail). They are scheduled to be sentenced on January 10, 2024. The defendants’ sentences will be determined by a federal judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The cases are being prosecuted by Assistant United States Attorneys Christine D. Lowell and Stacey A. Erickson.
The matter was investigated by U.S. Postal Service Inspectors and members of the Rhode Island High Intensity Drug Trafficking Area Task Force.
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Former Administrative Manager for Covington Public Works Department Sentenced for Federal Wire Fraud and Aggravated Identity TheftRead the Press Release
COVINGTON, Ky. – The former administrative manager for the City of Covington Public Works Department, Allison Donaldson, 50, was sentenced Friday, by U.S. District Judge David Bunning, to 42 months in prison, following her convictions for federal wire fraud and aggravated identity theft.
According to her plea agreement, Donaldson was employed as an administrative manager for the Public Works Department, from 2005 until 2022, and had access to credit card information for the department. Her plea agreement established that, between February 2020 and continuing until February 2022, Donaldson knowingly defrauded the City of Covington, by using employee credit cards and making over $100,000 in purchases for herself and her home. Some of the purchases listed in the plea agreement include repairs for a Mercedes Benz, a Louis Vuitton agenda, a Chanel tote, Crate & Barrel furniture, and a remodel to her master bedroom and garage.
Under federal law, Donaldson must serve 85 percent of her prison sentence. Following her release from prison, she will then be under the supervision of the U.S. Probation Office for three years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Brian Jones, Acting Special Agent in Charge, FBI, Louisville Field Office; Daniel Cameron, Kentucky Attorney General; and Spike Jones, Chief of the Kenton County Police Department, jointly announced the sentencing.
The investigation was conducted by the FBI, the Kentucky Attorney General’s Department of Criminal Investigation, and the Kenton County Police Department. The United States was represented by Assistant U.S. Attorney Kyle Winslow.
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Five-Time Convicted Felon Sentenced to 25 Years in Prison for Armed Meth TraffickingRead the Press Release
COLUMBUS, Ga. – A Columbus resident with a violent criminal history was sentenced to serve 25 years in prison after a federal jury convicted him on charges related to armed methamphetamine trafficking.
Karzarta Piett, 42, was sentenced to serve 300 months in prison to be followed by five years of supervised release by U.S. District Judge Clay Land on Sept. 5. Piett was convicted on Feb. 14 of possession of more than five grams of methamphetamine with intent to distribute and illegal possession of a firearm by a convicted felon following a two-day trial. Piett is not eligible for parole.
“Karzarta Piett is an armed repeat offender with a violent criminal past whose willful violation of the law has resulted in a significant federal prison sentence,” said U.S. Attorney Peter D. Leary. “Federal, state and local law enforcement are on the ground in Columbus and across the Middle District of Georgia working to remove the most dangerous individuals from the streets and help us hold them accountable for their crimes.”
“This meth dealer brazenly continued his drug trafficking activities despite being a five-time convicted felon,” said Robert J. Murphy, Special Agent in Charge of the DEA Atlanta Field Division. “His conviction removes yet another dangerous criminal from our streets and sends a clear message to others who may choose to follow the same perilous path that DEA and its law enforcement partners are relentless in their pursuit.”
“This case exemplifies our commitment to prevent drugs and criminal activity from poisoning our communities,” stated ATF Special Agent in Charge Beau Kolodka. “It also sends a clear message that we will relentlessly pursue and prosecute members of these drug enterprises.”
"This sentencing sends a clear message that we will not tolerate violent criminals and drug traffickers in our community,” said Columbus Police Chief Stoney Mathis. “The collaboration between federal, state and local law enforcement agencies, as exemplified in this case, demonstrates our commitment to reducing violent crime and keeping our neighborhoods safe. We thank the dedicated officers and agents who worked tirelessly to bring this individual to justice.”
According to court documents and evidence presented at trial, Piett was pulled over by Columbus Police Department (CPD) officers for multiple traffic violations on Jan. 7, 2021. Piett was driving with a suspended license. Officers requested a K-9 unit after they noticed drug residue in the car, and a drug detection canine alerted to the presence of narcotics. A search of the defendant’s vehicle based on probable cause recovered two ounces of methamphetamine, a loaded pistol, a digital scale, plastic bags and approximately $1500 cash in the center console, plus more than $2,000 cash in Piett’s pocket. A check of the defendant’s criminal background revealed a lengthy criminal history spanning 20 years, with five prior felony convictions including two separate convictions for aggravated assault and convictions for kidnapping, false imprisonment, robbery, terroristic threats and multiple drug distribution charges.
Following Piett’s sentencing, he will be transferred to the Middle District of Alabama, where he is currently under indictment for conspiracy to distribute more than 50 grams of methamphetamine. An indictment is merely an allegation of criminal conduct and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case is being prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by DEA, ATF and the Columbus Police Department.
Assistant U.S. Attorney Crawford Seals prosecuted this case for the Government.
Fitchburg Man Sentenced to over Three Years in Prison for His Role in Wide-Ranging Drug ConspiracyRead the Press Release
BOSTON – A Fitchburg man was sentenced yesterday in federal court in Worcester for his role in a wide-ranging fentanyl, heroin, crack, and cocaine trafficking conspiracy.
Ivan Torres, 32, of Fitchburg, was sentenced by U.S. Senior District Court Judge Timothy S. Hillman to 37 months in prison, followed by three years of supervised release. On March 10, 2023, Torres pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine.
According to court documents, following a fatal fentanyl overdose in September 2018, an investigation began into a drug trafficking organization in the Fitchburg area. Beginning in July 2019, court authorized interceptions of wire and electronic communications to and from telephones used by members and suppliers of the drug trafficking organization revealed that Torres was a cocaine dealer who supplied cocaine to the drug trafficking organization.
Over the course of the investigation, over 1.8 kilograms of a heroin/fentanyl mixture, over 3.6 kilograms of cocaine, over 50 grams of crack cocaine, a stolen, loaded handgun, drug manufacturing equipment and over $376,000 in U.S. currency were seized.
Torres is the 12th defendant to be sentenced in this case. All 18 defendants have been convicted – either by guilty plea or jury conviction following trial. The remaining convicted defendants are scheduled to be sentenced in September and October 2023.Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police, made the announcement today. The Fitchburg and Lunenburg Police Departments, U.S. Postal Inspection Service and Massachusetts State Police provided valuable assistance. Assistant U.S. Attorney Alathea Porter of the Criminal Division prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Final two U.S. based defendants in Amazon bribery case sentencedRead the Press Release
Seattle – Two significant players in a scheme to bribe Amazon employees and contractors were sentenced today in U.S. District Court in Seattle to various federal charges for their scheme to corrupt the Amazon Marketplace with bribes, forged documents and false claims, announced Acting U.S. Attorney Tessa M. Gorman. “For over three years these defendants grew their business by cheating: bribing Amazon employees, forging documents, attacking competitors with fake reviews, and even posting cartoonish obscene gestures on competitors’ order pages. Now they face the consequences,” Acting U.S. Attorney Gorman said.
Joseph Nilsen, 33, was sentenced to 18 months in prison for conspiracy to commit wire fraud, conspiracy to commit violations of the Travel Act and filing a false tax return. Following prison, he is on three years of supervised release and must pay a $20,000 fine. Kristen Leccese, 34, was sentenced to two years of probation with six months of home confinement and a $4,000 fine for conspiracy to commit violations of the Travel Act. Both are New York residents.
At Nilsen’s sentencing hearing, U.S. District Judge Richard A. Jones said, “It’s almost as if you and the others treated Amazon as an evil empire subject to your attack…. You were a significant contributor to the overall operation… The only reason you stopped is because you were caught.”
The couple, who are engaged to be married, are the final two of five U.S. based defendants to be sentenced in the case. One defendant, based in India, remains a fugitive.
According to records filed in the case, Nilsen played a central role in the Amazon bribery scheme. He coordinated among the various defendants making it possible for a number of third-party sellers on Amazon to access the illegally obtained information and services. Nilsen was aided by Leccese and their associates conspiring to pay bribes to Amazon employees and contractors to misuse their access to Amazon networks and confidential information. They sought to obtain various unfair competitive advantages for certain merchants on the Amazon Marketplace by, among other things, interfering with Amazon’s ability to monitor the safety and authenticity of goods sold and impairing the accuracy of information posted on the Marketplace. Leccese forged documents for suppliers to gain access to restricted product categories by misrepresenting the source of goods. Nilsen and Leccese both manipulated customer reviews for competing products with Nilsen attacking other merchants’ postings and product listings.
Prosecutors asked Judge Jones to sentence Nilsen to 19 months in prison saying, “Nilsen provided the illegal services from Amazon insiders to a substantial number of his own clients, as well as a substantial number of Rosenberg’s clients. This coordinating role, where Nilsen was the linchpin connecting a large number of seller clients to Amazon insiders providing a wide array of illegal services, makes Nilsen the most culpable of the co-defendants…. This global conspiracy caused significant harm to consumers, competing small businesses, and Amazon.”
“Mr. Nilsen and Ms. Leccese were key participants in this bribery and fraud scheme.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “Their elaborate fraud, not only attempted to trick customers into using specific merchants, they also sought to discredit competitors of those merchants. I am grateful we’ve reached a resolution of this complex investigation and applaud the work of our investigators and partners.”
Nilsen also filed a false tax return. In 2018 and 2019 he failed to file tax returns on behalf of his Amazon consulting company, and in 2017 he filed a false tax return significantly underreporting his and his company’s actual taxable revenue. For tax year 2017, the tax loss to the U.S. is $44,178. Nilsen was ordered to pay that in restitution to the IRS today.
“Never underestimate the power of fraud…to get you in trouble,” said Special Agent in Charge Adam Jobes, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Fair business practices and an even playing field are fundamental to a healthy economy, and IRS:CI is committed to investigating those who bribe and cheat to try to get ahead.”
On February 11, 2022, defendant Rohit Kadimisetty, 29, of Northridge, California, was sentenced to ten months in prison and ordered to pay a $50,000 fine.
On February 10, 2023, Hadis Nuhanovic, of Acworth, Georgia, was sentenced to 20 months in prison. He was ordered to forfeit $100,000 as proceeds of the conspiracy, and to pay $160,453 in restitution to the Internal Revenue Service.
On July 14, 2023, Ephraim Rosenberg, 48, of Brooklyn, NY, was sentenced to two years of probation with one year of home confinement and a $100,000 fine.
Defendant Nishad Kunju, of Hyderabad, India, has not been arraigned on the indictment.
The case was investigated by the FBI, with assistance from the Internal Revenue Service-Criminal Investigations (IRS-CI), and the Department of Justice Office of International Affairs.
Federal Indictment Unsealed Charging 15 Defendants in $7.9 Million Dollar Conspiracy to Distribute Fentanyl and MethamphetamineRead the Press Release
KANSAS CITY, Mo. – A federal grand jury indicted 15 individuals for their roles in a conspiracy to distribute fentanyl and methamphetamine.
Jermel D. McCray, also known as “Bumpy,” 28; Eric M. Duncan, 28; Jermon D. McCray, also known as “Crowe,” 28; Devion M. Miles, also known as “Rooster,” 21; Armeer M. Asad, also known as “Low,” 33; Kyrie H. Fields, 28; Adonijah Q. Moody, 23; Gary T. Young, 31; Zamewick D. McCray, also known as “Buck,” 30; Dollahead M. Finney, 21; Dawn M. Keating, 52; Makenna J. Glynn, 23; Clayton M. Hammons, 21; Brandon M. Kline, 25; and Chase R. McNichols, 25, were charged in a 63-count superseding indictment returned under seal by a federal grand jury in Kansas City, Mo., on September 6, 2023. The indictment was unsealed and made public yesterday upon the arrest and initial court appearances of 1 of the 15 defendants.
In addition to the drug-distribution conspiracy, Jermel McCray is charged with possession with intent to distribute fentanyl, possession with intent to distribute methamphetamine, possession with intent to distribute cocaine, possession of a machine gun in furtherance of a drug trafficking crime, possession of a machine gun, and felon in possession of firearms.
Duncan is also charged with possession with intent to distribute fentanyl, possession with intent to distribute methamphetamine, distribution of fentanyl, distribution of methamphetamine, possession of a firearm in furtherance of a drug trafficking crime, possession of a machine gun in furtherance of a drug trafficking crime, possession of a machine gun, and felon in possession of a firearm.
Jermon McCray, Zamewick McCray, and Miles are also charged with distribution of fentanyl.
Asad and Fields are also charged with distribution of fentanyl and distribution of heroin.
Moody is also charged with distribution of fentanyl, possession with intent to distribute methamphetamine, possession of a machine gun, and felon in possession of firearms.
Young is also charged with possession with intent to distribute methamphetamine, possession with intent to distribute fentanyl, and felon in possession of firearms.
Finney is also charged with distribution of fentanyl, distribution of methamphetamine, possession of with intent to distribute fentanyl, possession of machine guns in furtherance of a drug trafficking crime, and possession of machine guns.
Glynn is also charged with possession with intent to distribute fentanyl.
Hammons is also charged with possession with intent to distribute THC, possession with intent to distribute marijuana, possession of firearms in furtherance of a drug trafficking crime, and possession of a machine gun.
McNichols is also charged with distribution of fentanyl and possession with intent to distribute fentanyl.
The superseding indictment also contains a forfeiture allegation that would require the defendants to forfeit to the government $7,918,000, which represents the proceeds of the defendants’ alleged drug-distribution conspiracy.
The charges contained in this indictment are simply accusations and are not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorneys Robert Smith and Jeffrey Q. McCarther. It was investigated by the Federal Bureau of Investigation, the Kansas City, Missouri Police Department, the Jackson County Drug Task Force, the Drug Enforcement Administration, the Overland Park, Kansas Police Department, Independence, Missouri Police Department, the Gladstone, Missouri Police Department, the Bureau of Alcohol, Tobacco, Firearms & Explosives, the Jackson County, Missouri Sheriff’s Office, the Johnson County, Kansas Drug Task Force, the Blue Springs, Missouri Police Department, Hays, Kansas Police Department, the Olathe, Kansas Police Department, and the Kansas City, Kansas Police Department.
Eastern Shore Man Sentenced to over Five Years in Federal Prison for Conspiring to Steal More Than $1.8 Million from a Salisbury BusinessRead the Press Release
Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Stephen Franklin, age 54, of Salisbury, Maryland, yesterday to 66 months in federal prison, followed by three years of supervised release, for a wire fraud conspiracy and aggravated identity theft in connection with the theft of more than $1.8 million from Shore Appliance Connection. Judge Chasanow also ordered that Franklin pay restitution in the full amount of the victims’ losses, which the parties stipulate is $1,850,488.94.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office.
Franklin was the chief operating officer of Accurate Optical, a chain of optometric shops on the Eastern Shore of Maryland and with the owners of Accurate Optical he also purchased East Coast Optometric, a chain of South Carolina optical shops. Franklin and co-defendant Duane G. Larmore met through the Salisbury Chamber of Commerce and became friendly.
As detailed in their plea agreements, Larmore was an employee at Shore Appliance Connection (“Shore Appliance”), located in Salisbury, Maryland, whose duties included maintaining the books and records for the company. The company was owned and operated by Owner #1 and Owner #2. From mid-September 2016 through about March 2020, Franklin conspired with others, including Larmore, to steal more than $1.8 million from Shore Appliance.
Specifically, Franklin and Larmore stole over $1 million from Shore Appliance to use for their own purposes, including to make investments and to pay business expenses for Franklin’s businesses, without the knowledge and consent of the owners of Shore Appliance. For example, Franklin convinced Larmore to invest $100,000 in an oil deal that promised quick and substantial returns. Those funds were ultimately returned to Shore Appliance because the name on the bank account did not match the named beneficiary on the wire transfer form completed by Franklin. Prior to the funds being returned and at Franklin’s urging, Larmore transferred another $100,000 to a purported attorney for the oil deal. Franklin also convinced Larmore to invest in other deals, including: in 2016, a $95,000 initial investment with a finance company in London, U.K., followed by another $300,000, plus funds for expenses and travel abroad; in 2018, an investment through W.S. of $35,000 and an investment through Gateway Capital of $50,000; and in 2019 - 2020, investments and expenses through I.P. and E. P.-S. to recover assets purportedly in the custody of U.S. Customs, part of the Department of Homeland Security. No investment paid any return to the schemers.
To conceal how much money had been removed from Shore Appliance and to obtain cash to invest, Franklin suggested that Larmore enter into factoring contracts. Franklin had experience with borrowing operating funds for his optical companies from factors and provided Larmore with the names and contact information for factoring companies. Factoring is a means by which businesses can obtain cash quickly by leveraging accounts receivable. With Franklin’s encouragement, Larmore applied for a factoring contract for Shore Appliance without the knowledge or approval of the owners, corporate directors, or officers of Shore Appliance. As detailed in the plea agreement, the factoring contracts provided cash deposits to Shore Appliance’s bank accounts but encumbered the accounts receivable of Shore Appliance and required payments and interest of more than $725,000.
To obtain contracts with factoring companies for Shore Appliance and to conceal the fact that the Shore Appliance owners were not aware of and had not approved the factoring contracts, the signatures of the owners were forged, and the fraudulent signatures were witnessed or notarized by Franklin. Further, Larmore and a female employee of Franklin’s posed as the owners in telephone conversations with representatives of the factoring companies to confirm their approval of the factoring contracts. In addition, to conceal Larmore’s embezzlements and the factoring agreements, Larmore caused Shore Appliance to draw on Shore Appliance’s lines of credit with two separate financial institutions to obtain another $200,000 in cash. As of March 2020, Shore Appliance still owed $208,394.92 in principal and interest on these lines of credit.
Finally, when Franklin’s business began having financial difficulties, at Franklin’s request, Larmore provided funds to Franklin to pay rent and employee salaries for the businesses, to rent a storage facility and to hire trucks to move equipment and office furniture when Accurate Optical was evicted from its Salisbury, Maryland office in July 2019. All the while, Franklin continued to suggest that Larmore put money into other investment schemes, which Larmore did.
In all, Larmore paid $739,295.28 of Shore Appliance’s funds, without the officers and owners’ knowledge or consent, to invest in fraudulent schemes that never paid any money back. Of that amount, $395,000 was moved through bank accounts controlled by Franklin. Franklin caused an additional loss of $171,548.67 by having Larmore transfer funds to Franklin or to Franklin’s companies. As a result of the conspiracy and efforts to conceal the losses, Shore Appliance lost an additional $731,250.07 in fees and other payments to factors and to factoring brokers. Shore appliance also paid interest of $208,395 from Larmore drawing on its bank lines of credit. For all of Franklin’s and Larmore’s conduct, actual cash losses to Shore Appliance totaled $1,850,488.94 and intended losses totaled $2,137,674.74.
Duane G. Larmore, age 48, of Salisbury, previously pleaded guilty to his role in the conspiracy and is awaiting sentencing.
United States Attorney Erek L. Barron commended the FBI for its work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Evelyn Lombardo Cusson, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach. For more information about resources available to report fraud, please visit https://www.justice.gov/usao-md/report-fraud.
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District Man Sentenced to 57 Months in Prison for Federal Firearms OffenseRead the Press Release
WASHINGTON – John Maurice West, 29, of Washington, D.C., was sentenced today to serve 57 months in prison on a federal firearms charge stemming from his possession of a loaded firearm on June 27, 2022, aboard a Metrorail train and in the 1700 block of 8th Street NW.
The announcement was made by U.S. Attorney Matthew M. Graves, Chief Michael Anzallo, of the Metro Transit Police Department, and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).
West pleaded guilty on May 18, 2023, in the United States District Court for the District of Columbia, to one count of unlawful possession of a firearm and ammunition by a person convicted of a crime punishable by imprisonment for a term exceeding one year. He was sentenced by the Honorable Jia M. Cobb. Following his prison term, West will be placed on three years of supervised release.
According to court papers, on June 27, 2022, West threatened another man with a gun while aboard a Metrorail train at the Gallery Place–Chinatown Metro Station. The victim disembarked at the next station and reported the offense. Surveillance footage revealed that West exited the Metro at the Shaw–Howard University station and ran into the 1700 block of 8th Street NW, in the District’s Shaw neighborhood. Surveillance footage also depicted West in and around the entryway of an apartment building in that block moments before his arrest. Police canvassed the area and found a loaded, semi-automatic handgun concealed in a drainage pipe. Subsequent DNA testing and analysis linked both the handgun and its magazine to West.
Federal law prohibits West from possessing a firearm because, in 2014, he was convicted in the Superior Court of the District of Columbia of possession with intent to distribute cocaine while armed with a firearm.
West was arrested on June 27, 2022, and has remained in custody ever since.
In announcing the sentence, U.S. Attorney Graves, Chief Anzallo, and Acting Chief Smith commended the work of those who investigated the case from the Metro Transit and Metropolitan Police Departments. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Karla Nunez.
Finally, they commended the efforts of Assistant United States Attorneys Paul V. Courtney and Thomas G. Strong, who investigated and prosecuted the case.
Des Moines Man Sentenced to Six Years in Prison for Child Pornography OffenseRead the Press Release
DES MOINES, IA – A Des Moines man was sentenced Wednesday, September 6, 2023, to six years in prison following his guilty plea to receipt of child pornography.
According to court documents, over the course of several months in 2022, Matthew John Marcalus, 55, used Instagram to communicate with a fifteen-year-old child. During these conversations, Marcalus engaged in sexually explicit chats, and solicited and received photos of the child engaged in sexually explicit conduct. Marcalus also sent the child photos of Marcalus’s genitals. Eventually, law enforcement became involved and communicated with Marcalus while posing as the fifteen-year-old child. Officers arrested Marcalus when he arrived at a location to meet the child.
Following his prison term, Marcalus must also serve a ten-year term of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Ankeny Police Department, the Iowa Division of Criminal Investigation, and the FBI Child Exploitation and Human Trafficking Task Force investigated the case. Assistant United States Attorney Ryan Leemkuil prosecuted the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorney’s Offices and the Department of Justice’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Defendant in Cold Case Arrested on Charges of Sexual AssaultRead the Press Release
WASHINGTON – Baltazar Gutierrez Carrillo, 50, of Ft. Washington, Maryland, was arrested Wednesday on charges stemming from a 2017 sexual assault of a stranger, announced U.S. Attorney Matthew M. Graves and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).
According to court documents, in 2017, the 30-year old victim was visiting D.C. and socializing with friends. At some point, the victim parted ways with his friends and began walking to where he was staying. The defendant, Gutierrez Carrillo, who was a stranger to the victim, encountered him and sexually assaulted him in an alley. When the victim was able to get away, he reported immediately and obtained a sexual assault examination including a rape kit. The rape kit was tested and a foreign male profile was entered in CODIS with no results.
In 2023, MPD received notice of a DNA hit in a database linking defendant Gutierrez Carrillo to the 2017 rape kit. On July 12, 2023, the grand jury returned an indictment charging the defendant with one count of First Degree Sexual Abuse and one count of Second Degree Sexual Abuse. The defendant was brought to D.C. by the U.S. Marshals Service and, on September 6, 2023, was booked by MPD on the charges. On September 7, 2023, Gutierrez Carrillo was arraigned before the Honorable Anthony C. Epstein. A detention hearing is scheduled for September 29, 2023.
This case is being investigated by the Metropolitan Police Department with valuable assistance from the U.S. Marshal’s Service. It is being prosecuted by Assistant U.S. Attorney Amy Zubrensky.
Compassion and Opportunities Top Takeaways from Recent Job FairRead the Press Release
MIAMI – Putting community before self is the mindset of the Law Enforcement Coordination and Community Outreach Section (LEC/COS) of the U.S. Attorney’s Office for the Southern District of Florida. Everything it does—from food distributions to pre-K readings—is designed to improve people’s lives.
That was the case at the recent 305 Second Chance Job & Resource Fair at the Government Center in downtown Miami. Job seekers, many of whom were returning citizens and on probation, went from booth to booth getting job leads and information to make their transition easier. The fair was a collaboration between CareerSource South Florida and the U.S. Attorney’s Office.
LEC/COS staff provided resources that returning citizens could share with prospective employers.
“There are tax credits that a business can use to reduce its tax liability by up to $9,600 the first year if hiring returning citizens through the Work Opportunity Tax Credit Program,” said Law Enforcement Coordination Specialist Mark McKinney, LEC/COS. “There also is a federal bonding program that provides employers with insurance when hiring a returning citizen. Many employers may not know about these protections and incentives so it’s important to ensure returning citizens have this knowledge.”
LEC/COS staff also provided a Re-Entry Resource Guide with points of contact ranging from housing assistance and health care to mental health support and legal assistance. But even with all of the support in the world, it still can be incredibly difficult for returning citizens to find employment. One attendee, who’d served time for armed bank robbery, applied for entry-level positions with numerous national companies with no luck.
“They had interest in me until they saw my record,” he said. “After that, nothing.”
One thing that may help, another attendee mentioned, is if a returning citizen’s parole officer goes with them to the job interview to speak on the applicant’s behalf and tout the progress they’ve made. Helping a returning citizen get a leg up is good for everyone.
“There are so many roadblocks society puts up for people returning from prison,” said LEC/COS Chief J.D. Smith. “We have to do better. They’ve already served their time but we continue to punish them by withholding opportunities. It’s as if they have a life sentence.”
LEC/COS Community Outreach Specialist Corey Mackay said in difficult times it’s even more important to have compassion.
“I empathize with these job seekers,” said Mackay. “It’s hard enough for citizens with no criminal record to get a job so I can only imagine how frustrating it must be for returning citizens. Sometimes getting a job is about being in the right place at the right time and I hope this event can be someone’s right place/right time.”
Law Enforcement Coordination Specialist Mark McKinney and Community Outreach Specialist Corey Mackay assist area residents at a recent Job/Resource Fair at the Government Center in downtown Miami. This fair provided individuals and returning citizens with job leads and resources.
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Columbia Man Sentenced to over 7 Years in Federal Prison for Drug and Firearm ChargesRead the Press Release
COLUMBIA, SOUTH CAROLINA — Melvin Roshad Simuel, 36, of Columbia, was sentenced to more than 7 years in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition and possession with intent to distribute methamphetamine and marijuana.
Evidence presented to the court showed that in 2018, Simuel was arrested on three separate occasions for possession of firearms and distribution quantities of methamphetamine and marijuana. Two of the guns had been reported stolen, and Simuel was on probation for a state firearm conviction at the time of the 2018 incidents.
Federal law prohibits Simuel from possessing firearms and ammunition based on prior state court burglary and firearms convictions.
United States District Judge Sherri A. Lydon sentenced Simuel to 90 months in prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Lexington County Sheriff’s Department (LCSD), the Columbia Police Department (CPD), and the Richland County Sheriff’s Department (RCSD). Assistant U.S. Attorney Christopher D. Taylor is prosecuting the case.
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Beckley Man Pleads Guilty to COVID-19 Relief FraudRead the Press Release
BECKLEY, W.Va. – Mark William Bailey, 50, of Beckley, pleaded guilty today to theft of government monies, admitting he stole approximately $451,237.51 in COVID-19 relief loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents and statements made in court, on July 10, 2020, Bailey was the sole owner and president of RMR Delivery Service Inc. when he obtained an Economic Injury Disaster Loan (EIDL) for $150,000. The EIDL program was created by the CARES Act for eligible small businesses experiencing substantial financial disruptions due to the COVID-19 pandemic. EIDL proceeds can only be used on certain permissible business expenses, which can include payment of fixed business debts, payroll, accounts payable, and other business-related expenses that could have been paid had the COVID-19 disaster not occurred.
Bailey sought two modifications of his EIDL, increasing the loan amount first to $500,000 and then to $2 million. To obtain each modification, Bailey certified that RMR Delivery Service Inc. would use all loan proceeds solely as working capital to alleviate economic injury caused by the pandemic. Bailey admitted that he fraudulently used approximately $403,768.04 of the EIDL proceeds for his own personal benefit from about March 1, 2022 through about October 20, 2022. Among other personal uses, Bailey purchased a garage and a personal vehicle with the EIDL proceeds.
In or around April 2020, Bailey also applied for and received a $110,032 loan through the Paycheck Protection Program (PPP). Also created by the CARES Act for qualifying small businesses, PPP loans were for job retention and certain other business expenses. Bailey admitted that he misappropriated $47,469.47 of the PPP loan to pay his personal mortgage on or about June 4, 2020.
Bailey is scheduled to be sentenced on January 12, 2024, and faces a maximum penalty of 10 years in prison, three years of supervised release, and a $250,000 fine. Bailey also owes $451,237.51 in restitution.
“The CARES Act offered an emergency lifeline amid a devastating pandemic, and Mr. Bailey saw this as an opportunity to enrich himself at the expense of taxpayers,” said United States Attorney Will Thompson. “I commend the thorough, collaborative and all-hands-on-deck approach by the National Aeronautics and Space Administration Office of Inspector General (NASA OIG), the United States Secret Service, the West Virginia State Police-Bureau of Criminal Investigations (BCI) and the West Virginia State Auditor’s Office (WVSAO) Public Integrity and Fraud Unit (PIFU).”
“NASA OIG is committed to investigating and holding accountable those who improperly obtain and use government loans,” said Special Agent in Charge Adelle Harris of the NASA Office of Inspector General’s Eastern Field Office. “I am proud of the exceptional teamwork of our federal and state law enforcement partners, the Pandemic Response Accountability Committee Fraud Task Force, and the USAO for the Southern District of West Virginia which resulted in today’s guilty plea.”
“We are committed in our office to protecting taxpayer dollars and holding those accountable who commit fraud,” said West Virginia State Auditor J.B. McCuskey. “The pandemic was challenging for everyone, especially our small businesses, and these loans were to help businesses survive, but unfortunately, we know that some took advantage of the billions of dollars flowing out of Washington. I would like to commend the investigative work by this task force, including our specialized accountants, who are cracking down on this abuse and returning taxpayer dollars to the people.”
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Erik S. Goes is prosecuting the case.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who suffered the economic effects caused by the COVID-19 pandemic. 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:23-cr-131.
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Baltimore School Police Officer Facing Federal Charges for Overtime Fraud and Tax ViolationsRead the Press Release
Baltimore, Maryland – A federal grand jury has returned an indictment charging Lawrence E. Smith, age 49, of Perry Hall, Maryland, for federal wire fraud related to allegations that he fraudulently obtained more than $215,000 in overtime pay and for attempting to avoid paying federal income taxes and filing a false tax return. The indictment was returned on September 7, 2023, and unsealed today upon Smith’s arrest.
The defendant is expected to have an initial appearance today in U.S. District Court in Baltimore before U.S. Magistrate Judge J. Mark Coulson at 2:15 today.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; and Acting Special Agent in Charge Kareem A. Carter of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
Smith began working as a Baltimore City School Police Officer in 2005 and in 2016 was promoted to detective and put in charge of the School Police Overtime Unit. In this role, Smith managed the Overtime Unit and was responsible for the coordination and scheduling of School Police Officer overtime, including his own. During the COVID-19 pandemic, Smith was authorized to receive overtime pay to provide security for COVID testing sites and food sites set up at various Baltimore City Public School System schools and at Baltimore City Recreation and Parks community centers, as well as the COVID-19 hospital and homeless shelter.
According to the indictment, from January 2019 through August 2022, Smith fraudulently received overtime pay for hours for which he had not worked. The indictment alleges that Smith used his position as the Detective in charge of the Overtime Unit for School Police to assign himself to overtime shifts. Smith allegedly falsely claimed that he was working overtime as a School Police Officer for overtime shifts that required his physical presence when he was at home, running personal errands, at other locations socializing, coaching football, and out of state on vacation. The indictment seeks a money judgment of $215,352, alleged to be the proceeds of the fraud scheme.
In addition, the indictment alleges that Smith submitted Forms W-4 to his employer falsely claiming that he was exempt from federal income tax withholding when in fact, he was not entitled to claim exempt status. Further, Smith allegedly failed to file individual income tax returns for 2017, 2019, and 2020, and to report his wages and other income to the IRS. Finally, the indictment alleges that Smith filed a false individual tax return for tax year 2018.
If convicted, Smith faces a maximum sentence of 20 years in federal prison for each count of wire fraud; a maximum of five years in federal prison for each count of attempting to evade taxes; and a maximum of three years in federal prison for filing a false tax return. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Erek L. Barron commended the FBI and IRS-CI for their work in the investigation and thanked the Maryland Office of Inspector General for Education, the Office of Inspector General for the City of Baltimore, and the Baltimore Police Department for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Christine Goo and Matthew Phelps, who are prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Billings Man Sentenced to Prison for Coercion and EnticementRead the Press Release
BILLINGS — Marshall Vincent Lucas, a 42-year-old Billings man, was sentenced on Tuesday for coercing a minor girl to engage in sexual conduct with him and into producing sexually explicit images of herself after providing the girl with a laptop, U.S. Attorney Jesse Laslovich said.
U.S. District Judge Dana Christensen sentenced Lucas to 14 years in prison followed by 10 years of supervised release. The defendant pleaded guilty in February.
The government alleged in court documents that in September 2021, Lucas provided the victim, Jane Doe 1, who is under the age of 16 years, with a laptop for purposes of communicating with her. Lucas had met Jane Doe 1 through her mother. Lucas began to correspond with Jane Doe 1 using an alias. Through electronic and in-person communications, Lucas asked Jane Doe 1 how she felt about him and requested nude pictures of her and to engage in sexual conduct with him. Lucas persisted, and ultimately engaged in sexual conduct with Jane Doe 1 and she provided him with nude pictures of herself that she produced as his direction. Lucas also sent Jane Doe 1 nude pictures of himself and instructed her to delete electronic communications between them.
Assistant U.S. Attorney Zeno B. Baucus prosecuted the case, which was investigated by the FBI’s Child Exploitation and Human Trafficking Task Force and the Musselshell County Sheriff’s Office.
Artificial Turf Company Owner Sentenced to 15 Months in Prison for Tax Evasion by Failing to Report Nearly $9 Million in Business IncomeRead the Press Release
SANTA ANA, California – The owner of a Newport Beach-based artificial turf company was sentenced today to 15 months in federal prison for failing to report nearly $9 million in income his business earned and for attempting to evade the payment of more than $946,000 in federal income taxes.
Craig Steven Voyton, 56, of San Pedro, was sentenced by United States District Judge John W. Holcomb, who also ordered him to pay a fine of $50,000.
Voyton pleaded guilty on July 7 to one count of tax evasion.
Voyton owns and operates Smart Grass LLC, which installs artificial turf for residential and commercial customers in Orange and Los Angeles counties.
From 2016 to 2020, Smart Grass generated more than $1.5 million in gross income per year from its business operations, and – not wanting to pay taxes that income – Voyton attempted to conceal that income from the IRS.
To do so, Voyton emailed customers federal tax forms listing false identification information, so, if and when the customers reported to the IRS the payments they had made to him and his company, those payments would not be linked directly to Voyton or Smart Grass for tax purposes.
On three occasions in 2020, Voyton emailed to customers in Los Angeles and Beverly Hills an IRS Form W-9 with false information and a signature in a fictitious identity. Voyton sent similar fraudulent IRS Forms W-9 during the tax years 2016, 2017, 2018 and 2019. Voyton also provided a false IRS Form W-9 to a school in Irvine in August 2016.
While attempting to evade the payment of taxes during this time, Voyton made more than $63,000 in transfers to the Coinbase cryptocurrency exchange from a Smart Grass bank account. Voyton also used more than $500,000 in company funds to make real estate purchases in Nevada and Mexico.
In total, Voyton failed to report approximately $8,926,333 in income, which prevented the IRS from assessing the total sum of approximately $946,479 in federal income taxes for the tax years 2016 through 2020.
Prior to today’s sentencing hearing, Voyton paid the IRS all the back taxes he owes, plus interest, as well as paying an additional 75% fraud penalty.
“[Voyton] was a businessowner who operated a business in Orange and Los Angeles counties,” prosecutors argued in a sentencing memorandum. “He generated more than a million dollars in business income each year. He reported not one dime of that to the IRS.”
IRS Criminal Investigation investigated this matter.
Assistant United States Attorney Charles E. Pell of the Santa Ana Branch Office prosecuted this case.
Activity in the United States Attorney's OfficeRead the Press Release
Violent Crime
Shawn Lee Gardner, age 24, of Riverton, Wyoming, was sentenced on September 1, 2023, to 34 months’ imprisonment for sexual abuse of a minor. Chief U.S. District Court Judge Scott W. Skavdahl imposed the sentence which includes five years of supervised release following Gardner’s prison term, and approximately $832 in restitution. According to court documents, Gardner engaged in sex with a 12-year-old girl, whom he had met on Snap Chat. The case was prosecuted by Assistant U.S. Attorney Kerry J. Jacobsen. Gardner was indicted by the federal grand jury in March and pled guilty in June, 2023.
Drug Trafficking
Kevin Paul Johnson, age 48, of Casper, Wyoming, was sentenced on September 5, 2023, to 120 months’ imprisonment for possession with intent to distribute methamphetamine. U.S. District Court Judge Alan B. Johnson imposed the sentence which includes five years of supervised release, after the prison term, and $500 community restitution. According to court documents, on December 28, 2022, the Wyoming Division of Criminal Investigation (DCI) searched Johnson’s residence and seized approximately 1.2 kilograms of methamphetamine and $2,152 in cash. Johnson was charged by the U.S. Attorney’s Office in May and pled guilty in June, 2023.
Christopher Willmer, age 50, of Casper, Wyoming, was sentenced on August 21, 2023, to 48 months’ imprisonment for possession with intent to distribution of fentanyl. U.S. District Court Judge Alan B. Johnson imposed the sentence which includes three years of supervised release. According to court documents, on December 29, 2022, Laramie County Sheriff’s Office deputies assisted Wyoming Probation and Parole with a search of a Cheyenne hotel room that was shared by Willmer and a woman on probation. During a pat down, Wilmer dropped multiple suspected fentanyl pills from his hand onto the floor. Deputies also located two bags of suspected fentanyl pills in Wilmer's right sock. In total after the search of the hotel room was completed, deputies located approximately 500 fentanyl pills. Willmer was indicted by the federal grand jury in March and pled guilty in April, 2023. This crime was investigated by the Laramie County Sheriff’s Office and the Drug Enforcement Administration. Assistant U.S. Attorney Timothy J. Forwood prosecuted the case.
Reggie Dale Nelams, age 45, of Louisiana, and Tawna Goodwin-McMurry, age 44, of Casper, Wyoming, were sentenced for conspiracy to distribute methamphetamine and fentanyl. Nelams was sentenced on September 1, 2023, to 57 months’ imprisonment and Goodwin-McMurry was sentenced on June 6, 2023, to 36 months’ imprisonment. Chief United States District Court Judge Scott W. Skavdahl imposed the sentences, each of which included four years of supervised release following imprisonment and $500 community restitution. According to court documents, in January 2021, the Wyoming Division of Criminal Investigation (DCI) learned that Nelams was distributing controlled substances in Natrona County. During the investigation, a traffic stop on Nelams’ vehicle resulted in the seizure of over 400 grams of methamphetamine and 120 grams of fentanyl. When interviewed, Nelams admitted to selling controlled substances in Natrona County and Riverton, Wyoming. A review of Nelams’ phone uncovered messages related to drug trafficking with Goodwin-McMurry and others. Agents also found a drug ledger documenting Goodwin-McMurry’s drug purchases from Nelams. Nelams and Goodwin-McMurry were indicted in January and each pled guilty in March 2023. This crime was investigated by the Wyoming Division of Criminal Investigation. Assistant United States Attorney Jonathan C. Coppom prosecuted the case.
About the United States Attorney’s Office
The United States Attorney’s Office is responsible for representing the federal government in virtually all litigation involving the United States in the District of Wyoming, including all criminal prosecutions for violations of federal law, civil lawsuits brought by or against the government, and actions to collect judgments and restitution on behalf of victims and taxpayers. The Office is involved in several programs designed to make our communities safer. They include:
Environmental Justice
The fair treatment and meaningful involvement of all people regardless of race, color, national origin, or income with respect to the development, implementation, and enforcement of environmental laws, regulations, and policies.
Project Safe Childhood
Project Safe Childhood (PSC) is a DOJ initiative that combats the proliferation of technology-facilitated sexual exploitation crimes against children. The threat of sexual predators soliciting children for sexual contact is well-known and serious.
Project Safe Neighborhoods
Project Safe Neighborhoods (PSN) is a nationwide commitment to reducing gun and gang crime in America by networking existing local programs that target gun crime and providing these programs with additional tools necessary to be successful.
Victim Witness Assistance
The Victim Witness Coordinator for the United States Attorney’s Office for the District of Wyoming is dedicated to making sure that victims of federal crimes and their family members are treated with compassion, fairness, and respect.To report a federal crime, go to: https://www.justice.gov/actioncenter/report-crime#trafficking
Thursday 7 September 2023
Wichita Man Facing Child Porn ChargesRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with crimes related to child pornography.
Eric Caleb Carlson, 43, of Wichita is charged with one count of receipt of child pornography and one count of possession of child pornography.
According to court documents, Synchronoss Technologies submitted two reports in June 2023 to the National Center for Missing and Exploited Children (NCMEC) regarding uploads of files containing child sexual abuse and exploitation materials to its cloud based backup service.An investigation led law enforcement authorities to identify and arrest Carlson.
Homeland Security Investigations (HSI) and the Kansas Internet Crimes Against Children (ICAC) Task Force are investigating the case.
Assistant U.S. Attorney Molly Gordon is prosecuting the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.OTHER INDICTMENTS
Derek Bell, 32, of Wichita was indicted on one count of prohibited person in possession of a firearm and one count of possession of methamphetamine with intent to distribute. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Katie Andrusak is prosecuting the case.
John Ray Gaffney, 45, of Wichita was indicted on one count of possession with intent to distribute methamphetamine. The Wichita Police Department and the Drug Enforcement Administration (DEA) are investigating the case. Assistant U.S. Attorneys Katie Andrusak and Ola Odeyemi are prosecuting the case.
Johnny Lee Ivory III, 37, of Topeka was indicted on one count of possession with intent to distribute fentanyl. The Drug Enforcement Administration (DEA) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Craig E. Jones, 48, of Sedgwick was indicted on one count of possession of methamphetamine with intent to distribute. The Wichita Police Department and the Drug Enforcement Administration (DEA) are investigating the case. Assistant U.S. Attorneys Katie Andrusak and Ola Odeyemi are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###West Virginia Inmate Sentenced to Prison for Sending Obscene Matter to a MinorRead the Press Release
CHARLESTON, W.Va. – Darrin Alonzo Miller, 41, was sentenced today to three years and one month in prison, to be followed by three years of supervised release, for transfer of obscene material to a minor under the age of 16. Miller must also register as a sex offender.
A federal jury convicted Miller after a one-day trial on June 13, 2023. Evidence at trial proved that on June 22, 2020, Miller sent a letter through the United States mail to a 14-year-old girl while he was an inmate at the Parkersburg Correctional Center. In the letter, Miller described in graphic detail he and the minor female engaging in sexual intercourse upon his release from incarceration.
“Darrin Alonzo Miller engaged in reprehensible conduct, seeking to pressure a minor to have sex with him, and this sentence serves to protect his victim as well as the public,” said United States Attorney Will Thompson. “I commend the West Virginia State Police for investigating this case, and I also commend Assistant United States Attorneys Jennifer Rada Herrald and Francesca C. Rollo and our trial team for securing the guilty verdict.”
United States District Judge Joseph R. Goodwin imposed the sentence.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s 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 those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-261.
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Union County Man Sentenced to 42 Months in Prison for Disaster Benefits Fraud, Business Impersonation Fraud, COVID-19 Loan Fraud, and Treasury Check FraudRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man was sentenced today to 42 months in prison for disaster benefits fraud, business impersonation fraud, COVID-19 loan fraud, and Treasury check fraud, U.S. Attorney Philip R. Sellinger announced.
Roy John Depack Jr., 49, of Union, New Jersey, previously pleaded guilty before U.S. District Judge William J. Martini to an information charging him with one count of disaster fraud, two counts of wire fraud, and one count of forging or fraudulently endorsing Treasury checks. Judge Martini imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
In September 2021 and October 2021, Depack filed two applications with the Federal Emergency Management Agency (FEMA) fraudulently seeking disaster relief provided in the wake of Tropical Storm Ida. In one application, Depack falsely claimed to be another individual and the owner of a property in Newark, and in the other application, Depack falsely stated that he was the owner of a property in Union that he actually rented. Based on Depack’s misrepresentations, FEMA granted one of Depack’s applications and awarded Depack $24,069 in disaster assistance.
From 2020 through 2022, Depack defrauded victim companies by pretending to be representatives of various other companies and ordering merchandise that Depack then intercepted. He fraudulently obtained tens of thousands of dollars in merchandise from two different companies.
In January 2021, Depack also submitted a fraudulent Economic Injury Disaster Loan (EIDL) application to the U.S. Small Business Administration and falsely claimed to be another individual and to own a cleaning company based in Union, New Jersey.
In September 2021, Depack improperly obtained, endorsed, and deposited at least two checks issued by the U.S. Treasury and made out in the names of two other individuals, which value totaled more than $1,000.
In addition to the prison term, Judge Martini sentenced Depack to three years of supervised release and ordered him to pay $123,489 in restitution.
U.S. Attorney Sellinger credited postal inspectors with the U.S. Postal Inspection Service in Newark, under the direction of Inspector in Charge Christopher A. Nielsen, Philadelphia Division; special agents with the U.S. Department of Homeland Security – Office of Inspector General, New York Field Office, under the direction of Special Agent in Charge Brian C. McCarthy; and special agents with the Treasury Inspector General for Tax Administration, Mid Atlantic Field Division, under the direction of Special Agent in Charge Andrew McKay, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Mark J. Pesce of the Economic Crimes Unit in Newark.
Two Men Arrested for Child ExploitationRead the Press Release
SAN JUAN, Puerto Rico – In two separate cases, Federal Bureau of Investigations special agents, with the support of the Puerto Rico Police Bureau, arrested two men charged with child exploitation.
According to court documents, from June 2022 through June 2023, Rafael A. Pérez Rodríguez, 19, from Ponce, PR knowingly transported child exploitation material in his cellular phone; distributed and received child pornography; and possessed images of child pornography, including pictures of prepubescent minors, or minors who had not attained 12 years of age. Assistant United States Attorney Emelina M. Agrait Barreto, from the Child Exploitation and Immigration Unit, is prosecuting this case.
In an unrelated case, FBI arrested Emiliano Echevarría Collado, 41, from Ponce, PR, for attempted production and attempted possession of child pornography. From October 1st through October 2, 2021, Echevarría Collado attempted to employ, use, persuade, induce, entice, and coerce a 15-year-old female minor to engage in sexually explicit conduct. Assistant U.S. Attorney Daynelle Álvarez-Lora of the Child Exploitation and Immigration Unit is prosecuting the case.
“Soliciting the production of child sexual abuse material is a particularly disturbing crime,” said W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico. “The arrests that we announced today reflect the unwavering commitment of our prosecutors and law enforcement partners to stand up for victims and to hold offenders accountable for their conduct.”
“Children are not only the most vulnerable members of society but also its future,” said Joseph González, Special Agent in Charge of the FBI’s San Juan Field Office. “Criminals who target children are a threat to the very fabric of strong and functional communities. This is why the FBI is committed to continuing our work of putting these violent sex offenders behind bars and we urge the public to report these heinous crimes by calling 787-987-6500 or leaving a tip online visiting tips.FBI.gov”.
If convicted, Rafael A. Pérez Rodríguez faces a minimum sentence of 10 years up to 20 years in prison. Emiliano Echevarría Collado faces a statutory minimum sentence of 15 years up to 30 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI San Juan Field Office is investigating the cases.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Tennessee Man Sentenced to the Maximum Punishment of 20 years in Federal Prison for Bank RobberyRead the Press Release
FAYETTEVILLE – A Tennessee man was sentenced yesterday to 240 months (the statutory maximum) in prison followed by three years of supervised release on one count of Bank Robbery. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court documents, on January 10, 2023, Danny Ray Madison, age 58, entered the First Security Bank on Wedington Drive in Fayetteville, represented that he was armed and robbed the bank, taking an undisclosed amount of U.S. currency. With the assistance of local businesses, detectives with the Fayetteville Police Department were able to identify and arrest Madison that same day. During an interview with a detective from the Fayetteville Police Department and a Special Agent with the FBI, Madison admitted that he traveled to Fayetteville for the sole purpose of robbing a bank. Court documents revealed that Madison has three prior federal bank robbery convictions from North Carolina, Florida and Tennessee.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Fayetteville Police Department and the FBI investigated the case.
Assistant U.S. Attorney David Harris prosecuted the case.
Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Tennessee Man Sentenced to Two Years in Prison for Illegally Trafficking at Least 30 FirearmsRead the Press Release
BOSTON – A Tennessee man was sentenced today in federal court in Boston for trafficking at least 30 firearms in the Boston area.
John Pierre, 27, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to two years in prison and three years of supervised release. On Feb. 17, 2022, Pierre pleaded guilty to an Indictment.
In March 2022, Pierre was arrested at South Station in Boston carrying a bag containing 11 firearms, large capacity magazines and numerous rounds of ammunition. A subsequent investigation revealed that Pierre had moved from Massachusetts to Tennessee where he legally purchase firearms. Additionally, Pierre travelled back and forth from Tennessee to Massachusetts on numerous occasions with at least 30 firearms that he illegally sold in the Boston area as part of his gun trafficking operation.
Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives; and Boston Police Commissioner Michael Cox made the announcement today. Assistant U.S. Attorney John T. Dawley Jr. of the Organized Crime & Gang Unit prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Tennessee Man Pleads Guilty to Failure to Pay Child SupportRead the Press Release
CHARLESTON, W.Va. – Jancent M. Powell, 39, of Tullahoma, Tennessee, pleaded guilty today to failure to pay child support obligations. Powell admitted that he owes over $10,000 in court-ordered child support.
According to court documents and statements made in court, on November 18, 2013, the Family Court of Wood County, West Virginia, ordered Powell to pay $361 a month in child support for his twin daughters. Powell admitted that made only six of the monthly payments, all in 2014.
Powell is scheduled to be sentenced on November 30, 2023, and faces a maximum penalty of two years in prison, one year of supervised release, and a $10,000 fine. Powell also owes restitution for the over $10,000 in unpaid child support, which includes interest.
United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Department of Health and Human Services-Office of Inspector General (DHHS-OIG).
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Jonathan T. Storage is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-100.
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Stockton Man Indicted for Being a Felon in Possession of AmmunitionRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a single count indictment today against Sophondara Hun, 27, of Stockton, charging him with being a felon in possession of ammunition, United States Attorney Phillip A. Talbert announced.
According to court documents, law enforcement officers were dispatched to a report of a prowler at an apartment complex. The reporting party stated a man was inside of her apartment after gaining entry through a window. When officers arrived at the apartment, they discovered an open window and observed Hun sleeping on a bed in the apartment. Officers entered the front of the apartment after being let in by the resident and arrested Hun. During his arrest, law enforcement searched Hun and found multiple .22 caliber bullets in his possession. At the time of the search, Hun was on parole for a prior felony offense. Hun is prohibited from possessing ammunition because he has multiple prior state felony convictions, including assault on a person with a firearm, assault with a deadly weapon with force–possible great bodily injury, vandalism, and evading law enforcement in a vehicle.
This case is the product of an investigation by the Stockton Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The San Joaquin County District Attorney’s Office provided assistance. Assistant United States Attorney Haddy Abouzeid is prosecuting the case.
If convicted, Hun faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
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 U.S. 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.
Statement of U.S. Attorney Damian Williams on the Guilty Plea of Ryan Salame, Former CEO of FTXRead the Press Release
“Ryan Salame agreed to advance the interests of FTX, Alameda Research, and his co-conspirators through an unlawful political influence campaign and through an unlicensed money transmitting business, which helped FTX grow faster and larger by operating outside of the law. Today’s guilty plea reflects the commitment I made in December that my Office would continue to pursue swift justice against individuals at FTX and its affiliates who engaged in criminal conduct.”
St. Louis County Man Admits Buying Stolen Catalytic ConvertersRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Thursday admitted buying thousands of dollars’ worth of stolen catalytic converters.
Asmir Jasarevic, 33, of Lakeshire, pleaded guilty in U.S. District Court in St. Louis to one count of conspiracy to transport and sell stolen goods. He admitted posting a solicitation on Facebook on June 9, 2021 falsely claiming to be a licensed dealer who wanted to purchase catalytic converters. Jasarevic made a “significant” number of purchases when he had direct knowledge that the catalytic converters were stolen, he admitted in his plea. He had no place of business and bought converters at his apartment or public places such as parking lots or gas stations. He kept no records, offered no receipts and paid only in cash, offering well below market value. He conducted business at night and often conducted multiple transactions with individuals who obviously didn’t have the resources to own multiple vehicles, his plea says.
After purchasing the converters, Jasarevic took them to a recycling company in Illinois. He sold just under $50,000 worth of converters to the recycling company, $20,000 of which came from stolen property, Jasarevic admitted in his plea.
Catalytic converters contain trace amounts of precious metals and have been cut off vehicles around the country by thieves.
Jasarevic is scheduled to be sentenced December 6. The conspiracy charge carries a penalty of up to five years in prison, a $250,000 fine, or both.
Homeland Security Investigations and the Maryland Heights Police Department investigated the case. Assistant U.S. Attorney John Ware is prosecuting the case.
St. Louis Area Siblings Sentenced for Pandemic FraudRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk this week sentenced two siblings to 15 months in prison each and ordered them to repay $448,536 in pandemic loans that they’d fraudulently obtained.
Irvin Coats, 44, of Florissant, was sentenced Thursday and Pamela S. Hubbard, 46, of St. Louis, was sentenced Tuesday
Coats pleaded guilty June 5 to one count of conspiracy to commit wire fraud. Hubbard pleaded guilty to the same charge May 31. Both admitted fraudulently applying for and receiving Paycheck Protection Program loans that were intended to help struggling small businesses and save jobs. The pair sought the money not for the intended purpose but to open a “Wing Strip” restaurant in Florissant.
Assistant U.S. Attorney Kyle Bateman said during Thursday’s hearings that the PPP loan program was intended to be a lifeline for millions of people who were affected by the pandemic. “While all those people were struggling, the defendant and his co-defendant found an opportunity,” he said, adding that loan money Coats and Hubbard received was not available to help others.
On May 8, 2020, Coats applied for a $53,125 loan in the name of a defunct security company, Abounding Protection LLC, that had no revenue or employees. He falsely claimed to employ 12 people and claimed he would use the loan to help pay their total monthly salaries of $21,250. He also submitted a false IRS tax form W-3 to support his application. He was successful in fraudulently obtaining the loan.
On March 5, 2021, Coats applied for and later received a second loan for $24,166. He again made false statements in the loan application and submitted a fraudulent IRS form.
On June 11, 2020, Hubbard sought and later received a $371,245 loan for Star Shyne LLC, a cleaning service. She falsely inflated the number of employees and submitted fraudulent financial reports and IRS forms and an altered check in support of her loan.
Hubbard and Coats used the money to construct the Wing Strip and for improvements on their mother’s condominium in Florissant. That condo has been sold and the $82,351 in proceeds will go towards repaying the PPP loans.
The FBI investigated the case. Assistant U.S. Attorney Kyle Bateman prosecuted the case.
Sommelier Sentenced for Failing to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Susan T. Lehr announced that Mark Bernal, a/k/a “Mark Reyes”, 49, of Omaha, Nebraska, was sentenced today in federal court in Omaha for failing to register as a sex offender pursuant to the Sex Offender Registration and Notification Act. United States District Court Judge Brian C. Buescher sentenced Bernal to imprisonment for 5 months in the Bureau of Prisons. There is no parole in the federal system. After his release from federal prison, Bernal will begin a 2-year term of supervised release. Additionally, Bernal was ordered to pay a fine of $5,000.
On January 8, 2009, Bernal was convicted of possession of child pornography (3 counts) in Will County, Illinois. He was sentenced to three years in jail and has since been required to register as a sex offender in any state in which he resides pursuant to the Sexual Offender Registration and Notification Act (SORNA), a federal law.
On June 15, 2021, Chicago police attempted to locate Bernal at his residence in Illinois after he was overdue for his annual sex offender registration. The building manager stated that Bernal moved out on April 1, 2021, with his new spouse but did not leave a forwarding address.
In the summer of 2022, the U.S. Marshals Service (USMS) learned that Bernal was working as a sommelier in Nebraska using the name Mark Reyes. Bernal used the “Reyes” name in connection with his wine consulting business, which he established upon moving to Nebraska from Chicago. The USMS located a rental address for Bernal and his spouse in Omaha and subsequently observed him at the residence at that address on multiple occasions throughout the month of June 2022. Bernal and his spouse established utilities at the residence on January 5, 2022. Bernal did not register or attempt to register, nor did he update his sex offender registration pursuant to the requirements of SORNA between approximately April 1, 2021, and September 26, 2022, when he was arrested.
This case was investigated by the United States Marshals Service.
Social Media Influencer Sentenced to Five Years in Prison for $1.5 Million COVID-19 Relief Fraud SchemeRead the Press Release
BOSTON – A Miami woman was sentenced today in federal court in Boston for fraudulently obtaining over $1 million in pandemic-related loans using the stolen identities of more than 10 individuals and then using those funds for personal expenses, including chartering a private jet and renting a luxury apartment.
Danielle Miller, 32, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to five years in prison and three years of supervised release. Miller was also ordered to pay restitution in an amount that will be determined at a later date. In March 2023, Miller pleaded guilty to three counts of wire fraud and two counts of aggravated identity theft.
“Ms. Miller isn’t an influencer, she is a convicted felon. She stole the identities of innocent people to steal over $1.2 million in pandemic-relief loans that should have gone to people in need. In a quest for fleeting social media stardom, Ms. Miller relied on fraud to fund a lavish lifestyle of private jets, luxury apartments and other accoutrements of wealth. Today's sentencing should make it crystal clear that curating a high-society social media presence on the backs of hardworking taxpayers is a path to prison, not fleeting fame,” said Acting United States Attorney Joshua S. Levy.
“Danielle Miller stole critical financial support from the hands of people who needed it during one of the most turbulent economic periods in recent history. While other Americans worried about how to keep food on the table, Miller spent her ill-gotten gains on hotels and luxury goods, heartlessly flaunting this fraudulent lifestyle on social media. Today’s sentence is the result of a collaborative team of investigators committed to uncovering fraud and ensuring taxpayer dollars are going where they should and not into the hands of scammers like Miller,” said Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England.
“Danielle Miller engaged in a scheme targeted at the Massachusetts Department of Unemployment Assistance, as well as five other state workforce agencies, to fraudulently obtain pandemic-related unemployment benefits in the names of identity theft victims. Miller also utilized stolen identities to fraudulently apply for Economic Injury Disaster Loans. Miller’s schemes sought to secure more than $1 million in stolen benefits set aside by the federal government to assist Americans struggling with the economic effects of the COVID-19 pandemic. We will continue to work with our law enforcement partners to safeguard these critical benefit programs for those who need it,” said Jonathan Mellone, Special Agent-in-Charge, Northeast Region, U.S. Department of Labor, Office of Inspector General.
From in or around July 2020 through May 2021, Miller devised and executed a scheme to fraudulently obtain pandemic-related relief loans funded by the federal government – including Economic Injury Disaster Loan funds through the U.S. Small Business Administration (SBA) as well as Pandemic Unemployment Assistance and related unemployment benefits. To execute the scheme, Miller used the personal identifying information of more than 10 individuals and used fake business names to apply for and receive more than $1 million in government benefits.
Additionally, Miller possessed counterfeit driver’s licenses in the victims’ names but bearing Miller’s photograph. In August 2020, Miller used a counterfeit driver’s license in the name of a Massachusetts victim to arrange a Gulfstream private jet charter flight from Florida to California, where she stayed at a luxury hotel under the same victim’s name. In a separate instance, Miller used the identity of another victim to rent a luxury apartment in Florida.
Miller maintained an active social media presence via her Instagram account, which had more than 34,000 followers. There, Miller posted her extravagant use of the fraud proceeds and stolen identities, publicizing her purchasing of luxury goods and renting of luxury accommodations. Posts to this account included a post showing Miller at luxury hotels in California where transactions were made using the bank account in one of the victim’s names.
Acting U.S. Attorney Levy; HSI SAC Krol; DOL-OIG SAC Mellone; Amaleka McCall-Brathwaite, Special Agent in Charge of the Small Business Administration Office of Inspector General (SBA-OIG), Eastern Region; and Abington (Mass.) Police Chief David DelPapa made the announcement today. Valuable assistance was provided by Homeland Security Investigations in Miami and the Massachusetts State Police. Assistant U.S. Attorneys William F. Abely, Chief of the Criminal Division and Benjamin A. Saltzman of the Securities Financial & Cyber Fraud Unit prosecuted the case.
The investigation was conducted by Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.
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.
Seven Individuals Charged with Distribution of Fentanyl and Methamphetamine on Tohono O'odham NationRead the Press Release
TUCSON, Ariz. – Nina Buendia, Patricia Garcia, Kayloni Guerra, Ernesto Martin, Michael Cory Norris, and Mount Vernon Robinson of Sells, Arizona, and Travis Lopez of Covered Wells, Arizona, were indicted last week on charges of Distribution of Fentanyl or Methamphetamine. The indictments mark the conclusion of a community impact initiative on the Tohono O’odham Nation that started in August of 2022 and involved enforcement action on 27 methamphetamine or fentanyl transactions from the Sells and Covered Wells, Arizona communities.
In addition to interdicting hand-to-hand drug sales, agents executed multiple residential search warrants and recovered an additional 157 grams of methamphetamine, 695 grams of fentanyl, two handguns, three rifle magazines, 264 rounds of ammunition, and U.S. currency. Lopez, who is a prohibited possessor, was also indicted on Felon in Possession of Firearm charges.
Homeland Security Investigations Sells and the Bureau of Indian Affairs conducted the investigation in these cases, with assistance from the Federal Bureau of Investigation and the Tohono O’odham Police Department. The United States Attorney’s Office, District of Arizona, Tucson, will be handling the prosecution.
CASE NUMBERS: CR-23-1308-TUC-RCC
CR-23-1309-TUC-SHR
CR-23-1310-TUC-RCC
CR-23-1312-TUC-JAS
CR-23-1313-TUC-RCC
CR-23-1311-TUC-JAS
RELEASE NUMBER: 2023-134_Tohono O’odham Community Impact Initiative# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.San Antonio Drug Dealer Sentenced to 30 Years in Prison for Fatal Fentanyl DistributionRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced in a federal court in San Antonio today to 360 months in prison and 10 years of supervised release for possession with intent to distribute fentanyl resulting in the death of 20-year-old Isabella Render.
According to court documents, Patrick James Hall, 29, met Render on Oct. 28, 2020, in a San Antonio hotel room located off I-10, where he had been selling the drug in the form of small round blue pills disguised as oxycodone. Render had been unconscious in Hall’s hotel room for an extended period when Hall returned a missed call to Render’s friend. Hall notified the friend that she needed to pick up Render from the hotel because she had overdosed. He then left the location without calling for emergency services. Render’s friend, however, did alert emergency services who pronounced Render dead upon their arrival. She had been deceased for some time. A toxicology report showed that Render had an amount of fentanyl in her blood that exceeded 24 times a fatal dose.
Hall was arrested on Nov. 19, 2020 on State charges. Text messages sent from his phone confirmed that he had been selling the pills to multiple individuals at the time of the Render’s death, and that he himself had overdosed on the pills earlier in the month. Hall was subsequently indicted by a federal grand jury on four counts related to possession of fentanyl with intent to distribute.
“Fentanyl has proven to be a very deadly drug that is being used to poison our communities and this sentence reinforces our position that those who traffic it will be held accountable for the harm they cause,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “My hope is that families of fentanyl victims—in this case, Isabella’s family—can see these sentences as progress and that they can find some measure of relief through our justice system. I also thank our law enforcement partners at the Drug Enforcement Administration and the San Antonio Police Department for their successful investigative work in this case.”
“Today's sentencing of Patrick Hall represents the culmination of hard work by our local law enforcement partners and federal prosecutors," said Special Agent in Charge Daniel C. Comeaux for the DEA’s Houston Division. “I want to provide my most sincere condolences to the Bove family. While we realize nothing eliminates the pain and grief they have endured, we hope the knowledge that Hall is being held accountable for the death of their daughter, Isabella Render, and his inability to harm others will bring them some comfort.”
The DEA and SAPD investigated the case.
Assistant U.S. Attorney Amy Hail prosecuted the case.
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