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18 September 2023
St. Peters, Missouri Woman Sentenced to 8 Months in Prison, Ordered to Repay $204,000 for Pandemic FraudRead the Press Release
ST. LOUIS – U.S. District Judge Audrey G. Fleissig on Monday sentenced a woman from St. Peters, Missouri to eight months in prison for defrauding a small business assistance program out of $204,095 during the COVID-19 pandemic.
Trashunda M. Harrison, 38, was also ordered to repay the money.
Harrison pleaded guilty June 6 to three counts of wire fraud and one count of bank fraud and admitted engaging in a scheme to defraud the Paycheck Protection Program from around June 2020 through April 2021. The PPP was intended to save both small businesses and jobs. Harris submitted a total of nine fraudulent applications for PPP loans in the names of three businesses: The Quiet Space LLC, Blow LLC and StrutN 80s LLC, as well as in her own name as a sole proprietor. Harrison lied on the applications about the payroll and income of the businesses and submitted fraudulent tax forms to support her false claims. On applications for additional loans, she falsely claimed to have used the first loan for payroll and other business expenses.
At the time, Harrison had only one functional business, StrutN 80s, which made substantially less than what she claimed in her PPP applications.
Harrison falsely claimed the businesses would use the money for allowed expenses such as payroll. She instead used the PPP money for unapproved purposes, including shopping, dining, rent, cash withdrawals and payments to individuals who had no affiliation with the companies, she admitted in her plea agreement.
Harrison “exploited the COVID-19 pandemic for her personal gain, at the expense of those struggling due to the economic consequences of the pandemic,” Assistant U.S. Attorney Jonathan Clow wrote in a sentencing memo. Clow also pointed out that Harrison used the identity of someone else in two of her loan applications, without that person’s knowledge.
The case was investigated by the FBI. Assistant U.S. Attorney Jonathan Clow is prosecuting the case.
Son of Joaquin Guzman Loera aka “El Chapo” Arraigned on Federal Criminal Charges Following his Extradition from Mexico to the United States for International Drug TraffickingRead the Press Release
Ovidio Guzman Lopez, 33, of Culiacan, Mexico, was arraigned in federal court in Chicago today after his extradition from Mexico to the United States on Sept. 15. In January, Guzman Lopez was arrested in Mexico pursuant to a U.S. request for his provisional arrest with a view toward extradition.
Guzman Lopez, aka El Raton and Raton Nuevo, is charged in the Northern District of Illinois with five counts in a nine-count 12th superseding indictment alleging that from around May 2008 and continuing to at least Oct. 21, 2021, he engaged in a drug trafficking Continuing Criminal Enterprise (CCE), along with additional drug, money laundering, and firearms charges. Guzman Lopez is charged with conspiring to distribute cocaine, heroin, methamphetamine, and marijuana from Mexico and elsewhere for importation into the United States.
According to court documents, the charges stem from a decades-long, collaborative, multi-district effort between the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS), based in Washington, D.C., the Northern District of Illinois, the Southern District of California, and their law enforcement partners.
Under the terms of the U.S.-Mexico extradition treaty, the United States had up to 60 days to present a fully supported request, one in compliance with the terms of the treaty. The United States submitted that request in February 2023. A Mexican court reviewed the U.S. request and last month favorably recommended his extradition. The Foreign Ministry reviewed the decision and similarly concluded that Guzman Lopez should be extradited to the United States. Guzman Lopez was subsequently extradited to the United States on Sept. 15. He was arraigned on the charges earlier today before U.S. District Judge Sharon Johnson Coleman of the U.S. District Court for the Northern District of Illinois and pleaded not guilty. He waived his right to a detention hearing and was ordered to remain detained without bond.
Guzman Lopez is one of the sons of Joaquin Guzman Loera, aka El Chapo, who was convicted by a jury in the Eastern District of New York for his role as the leader of the Sinaloa Cartel. Following Guzman Loera’s arrest in January 2016 and extradition to the United States in January 2017, Guzman Lopez and his three brothers, Ivan Archivaldo Guzman Salazar, Jesus Alfredo Guzman Salazar, and Joaquin Guzman Lopez, aka “the Chapitos,” who are also charged in the indictment, allegedly assumed their father’s former role as leaders of the Sinaloa Cartel, along with Zambada Garcia and Damaso Lopez Nunez, aka Licenciado. The Chapitos subsequently amassed greater control over the Sinaloa Cartel by allegedly threatening and causing violence against Lopez Nunez, his family, and his associates and, as a result, became principal leaders and drug traffickers within the Sinaloa Cartel.
Guzman Lopez was also indicted in the Southern District of New York on charges of continuing criminal enterprise, fentanyl importation conspiracy, fentanyl distribution conspiracy, possession of machineguns and destructive devices, conspiracy to possess machineguns and destructive devices, and conspiracy to commit money laundering.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, Acting U.S. Attorney Morris Pasqual for the Northern District of Illinois, Acting U.S. Attorney Andrew R. Haden for the Southern District of California, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI), and U.S. Drug Enforcement Administration (DEA) Administrator Anne Milgram made the announcement.
This case is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Forces (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state, and local law enforcement agencies.
The FBI Washington, San Diego, and El Paso Field Offices, HSI Nogales Office, DEA’s Chicago and San Diego Divisions, and IRS Criminal Investigation’s Chicago Office investigated the case.
The Justice Department’s Office of International Affairs handled the extradition, in collaboration with the U.S. Marshals Service. The Office of Enforcement Operations also provided significant assistance in the case.
The Justice Department thanks the Government of Mexico, including the Mexican Foreign Ministry and the Mexican Attorney General’s Office. Earlier today, U.S. Attorney General Merrick B. Garland spoke by phone with Mexico’s Attorney General Alejandro Gertz Manero to express his gratitude to Attorney General Gertz and the Government of Mexico for successfully extraditing Guzman Lopez.
Trial Attorney Kirk Handrich of NDDS, Assistant U.S. Attorneys Andrew Erskine and Erika Csicsila for the Northern District of Illinois, and Assistant U.S. Attorney Matthew Sutton for the Southern District of California are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Sharon Resident Convicted of Drug Trafficking and Firearm CrimesRead the Press Release
PITTSBURGH, PA – Raymond Briskey was convicted of committing cocaine and crack trafficking and firearm crimes, United States Attorney Eric G. Olshan announced today.
Briskey, age 38, of Sharon, Pennsylvania, pled guilty before United States District Judge Joy Flowers Conti. He pled guilty to possessing with intent to distribute cocaine and cocaine base on October 21, 2020, and to possessing a firearm in furtherance of a drug trafficking crime on that date. Judge Conti scheduled sentencing to occur on April 18, 2024, at 11:00 a.m.
Assistant United States Attorney Craig W. Haller is prosecuting this case on behalf of the United States.
The Mercer County Drug Task Force, the Pennsylvania Office of Attorney General, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation leading to the return of the Indictment in this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Savannah woman sentenced to more than 10 years in prison for violent armed robberyRead the Press Release
SAVANNAH, GA: A Chatham County woman has been sentenced to more than 10 years in federal prison after pleading guilty to the violent armed robbery of a vendor stocking an automatic teller machine.
Shannan Barnwell, 25, of Savannah, was sentenced to 170 months in prison after pleading guilty to Possession of a Firearm by a Convicted Felon; Interference with Interstate Commerce by Robbery; and Possession of a Firearm in Furtherance of a Crime of Violence, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge Lisa Godbey Wood also ordered Barnwell to serve five years of supervised release upon completion of her prison term.
There is no parole in the federal system.
“It is extraordinarily fortunate that no one was hurt during this robbery,” said U.S. Attorney Steinberg. “The sentence imposed by the court is a direct consequence of Barnwell’s decision to put innocent individuals’ lives in danger for her own financial gain.”
As described in court documents and testimony, a vendor was restocking an automatic teller machine on Burroughs Street in Savannah on Sept. 27, 2022, when Barnwell brandished a handgun and declared a robbery. As Barnwell took containers of cash from the vendor, the attendant drew his firearm and Barnwell ran away, firing two shots with one striking the ATM. No individuals were struck by gunfire, and the vendor did not fire his weapon.
Savannah police officers located and arrested Barnwell at a nearby park, and recovered the cash receptacles and two pistols that Barnwell had dropped as she fled. At the time of the robbery, Barnwell was on parole from a previous conviction for armed robbery and carjacking, and her sentence will be served consecutive to the incarceration for the state parole violation.
“Barnwell terrorized and threatened her innocent victim,” said FBI Savannah Supervisory Senior Resident Agent Will Clarke. “This lengthy prison sentence hopefully provides some peace to the victim by ensuring Barnwell cannot terrorize anyone for decades to come.”
The Savannah Police Department and the FBI investigated the case, which was prosecuted for the United States by Assistant U.S. Attorney and Deputy Criminal Division Chief E. Gregory Gilluly Jr. and Special Assistant U.S. Attorney Makeia R. Jonese.
Russian International Money Launderer Arrested for Illicitly Procuring Large Quantities of U.S.-Manufactured Dual-Use Military Grade Microelectronics for Russian ElitesRead the Press Release
Maxim Marchenko, 51, a Russian citizen who has resided in Hong Kong, was charged today in connection with conspiring to defraud the United States and with smuggling, wire fraud, and money laundering offenses based on his alleged participation in a scheme to unlawfully procure U.S.-sourced, dual-use microelectronics with military applications on behalf of end users in Russia.
“According to the complaint, Marchenko employed a web of shell companies as part of an overseas smuggling ring to ship dual-use U.S. technology with military applications to Russia in contravention of U.S. law,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “Today’s action reinforces the Department’s commitment to protect U.S. security and counter Russian aggression in Ukraine through the vigorous enforcement of our export control laws.”
“As alleged, Maxim Marchenko participated in an illicit procurement network that provided military grade microelectronics to end users in Russia,” said U.S. Attorney Damian Williams for the Southern District of New York. “Following Russia’s unjust invasion of Ukraine, Marchenko and his co-conspirators are alleged to have used shell companies and other deceptive measures in order to secure U.S.-manufactured microelectronics, with applications including in rifle scopes, night-vision goggles, thermal optics, and weapon systems, for use by Russians. This office will relentlessly pursue those who seek to flout U.S. law in order to supply Russia with military technology.”
“Today’s charges demonstrate the FBI’s ability to leverage its international presence and partnerships to stop the illegal transfer of dual-use technology to Russia,” said Executive Assistant Director Larissa L. Knapp of the FBI's National Security Branch. “As alleged in the charges, Marchenko and his co-conspirators engaged in an elaborate, fraudulent scheme to smuggle military-grade technology with the potential to harm U.S. national security. The FBI and our partners will never waver in our commitment to keep Americans safe.”
“We are laser-focused on rooting out the procurement networks fueling the Russian war machine,” said Assistant Secretary for Export Enforcement Matthew S. Axelrod. “Working hand-in-hand with our federal law enforcement partners, we will continue to identify and disrupt Russia’s use of front companies in the People’s Republic of China and elsewhere to evade our controls.”
“Disrupting the efforts of facilitators and procurement agents like Marchenko, who use their skills and connections to advance the agenda of the Russian war machine, is one of the most important priorities of this task force. Today’s arrest should serve as another reminder that we will leverage and deploy every tool to bring these criminals to justice,” said Task Force KleptoCapture Co-Director David Lim.
According to court documents, Maxim Marchenko is a Russian national who resides in Hong Kong and operates several Hong Kong-based shell companies, including Alice Components Co. Ltd. (Alice Components), Neway Technologies Limited (Neway) and RG Solutions Limited (RG Solutions). Marchenko and two co-conspirators (CC-1 and CC-2), who are also Russian nationals, have operated an illicit procurement network in Russia, Hong Kong and elsewhere overseas. This procurement network has fraudulently obtained from U.S. distributors large quantities of dual-use, military grade microelectronics, specifically OLED micro-displays, on behalf of Russia-based end users. To carry out this scheme, Marchenko, CC-1 and CC-2 used shell companies based in Hong Kong and other deceptive means to conceal from U.S. Government agencies and U.S. distributors that the OLED micro-displays were destined for Russia. The technology that Marchenko and his co-conspirators fraudulently procured have significant military applications, such as in rifle scopes, night-vision googles, thermal optics and other weapon systems.
To perpetrate the scheme, Marchenko and other members of the conspiracy acquired the dual-use OLED micro-displays from U.S.-based distributors using Marchenko’s Hong Kong-based shell companies, including Alice Components, Neway and RG Solutions. Members of the conspiracy, including Marchenko, procured these sensitive microelectronics by falsely representing to the U.S. distributors (who, in turn, are required to report to U.S. agencies) that Alice Components was sending the shipments to end users located in China, Hong Kong and other countries outside of Russia for use in electron microscopes for medical research. In reality, the OLED micro-displays were destined for end users in Russia. Marchenko and other members of the conspiracy concealed the true final destination (Russia) from U.S. distributors for the purpose of causing false statements to the U.S. agencies.
To conceal the fact that these OLED micro-displays were destined for Russia, Marchenko and other members of the conspiracy worked together to transship the illicitly procured OLED micro-displays by using pass-through entities principally operated by Marchenko in third countries, such as Hong Kong. Marchenko then caused the OLED micro-displays to be shipped to the ultimate destination in Russia using, among other entities, a freight forwarder known to provide freight forwarding services to Russia. In addition, Marchenko and other members of the conspiracy used Hong Kong-based shell companies, principally operated by Marchenko, to conceal the fact that payments for the OLED micro-displays were coming from Russia. In total, between in or about May 2022 and in or about August 2023, Marchenko’s shell companies funneled a total of more than $1.6 million to the United States in support of the procurement network’s efforts to smuggle the OLED micro-displays to Russia.
Marchenko is charged with conspiracy to defraud the United States, which carries a maximum penalty of five years in prison; conspiracy to commit money laundering, which carries a maximum penalty of 20 years in prison; conspiracy to smuggle goods from the United States, which carries a maximum penalty of five years in prison; money laundering, which carries a maximum penalty of 20 years in prison; smuggling goods from the United States, which carries a maximum penalty of 10 years in prison; conspiracy to commit wire fraud, which carries a maximum penalty of 20 years in prison; and wire fraud, which carries a maximum penalty of 20 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 and Commerce Department’s Bureau of Industry and Security are investigating the case. The FBI Legal Attaché in Australia; U.S. Department of State’s Diplomatic Security Service (DSS); and the Justice Department’s Office of International Affairs provided valuable assistance.
The Southern District of New York is prosecuting the case, with assistance from the National Security Division’s Counterintelligence and Export Control Section.
Today’s actions were coordinated through the Justice Department’s Task Force KleptoCapture and the Justice and Commerce Departments’ Disruptive Technology Strike Force. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions and economic countermeasures that the United States has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation states.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Marchenko complaintRussian International Money Launderer Arrested for Illicitly Procuring Large Quantities of U.S.-Manufactured Dual-Use, Military Grade Microelectronics for Russian EntitiesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Matthew G. Olsen, the Assistant Attorney General of the Justice Department’s National Security Division, David Lim, Co-Director of Task Force KleptoCapture, James Smith, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Matthew S. Axelrod, the Assistant Secretary of Commerce for Export Enforcement, announced the unsealing of a Complaint charging MAXIM MARCHENKO with conspiring to defraud the United States and with smuggling, wire fraud, and money laundering offenses based on MARCHENKO’s alleged participation in a scheme to unlawfully procure U.S.-sourced, dual-use microelectronics with military applications on behalf of end users in Russia. MARCHENKO was presented before U.S. Magistrate Judge Andrew E. Krause in White Plains federal court earlier today and ordered detained.
U.S. Attorney Damian Williams said: “As alleged, Maxim Marchenko participated in an illicit procurement network that provided military grade microelectronics to end users in Russia. Following Russia’s unjust invasion of Ukraine, Marchenko and his co-conspirators are alleged to have used shell companies and other deceptive measures in order to secure U.S.-manufactured microelectronics, with applications including in rifle scopes, night-vision goggles, thermal optics, and weapon systems, for use by Russians. This Office will relentlessly pursue those who seek to flout U.S. law in order to supply Russia with military technology.”
Assistant Attorney General Matthew G. Olsen said: “According to the complaint, Marchenko employed a web of shell companies as part of an overseas smuggling ring to ship dual-use U.S. technology with military applications to Russia in contravention of U.S. law. Today’s action reinforces the Department’s commitment to protect U.S. security and counter Russian aggression in Ukraine through the vigorous enforcement of our export control laws.”
Co-Director of Task Force KleptoCapture David Lim said: “Disrupting the efforts of facilitators and procurement agents like Marchenko, who use their skills and connections to advance the agenda of the Russian war machine, is one of the most important priorities of this Task Force. Today’s arrest should serve as another reminder that we will leverage and deploy every tool to bring these criminals to justice.”
FBI Assistant Director in Charge James Smith said: “Attempts by individuals to circumvent U.S. law through money laundering and other forms of deception undermine foreign policy established to keep the United States and our allies safe. Marchenko allegedly defied U.S. law by procuring sensitive American-made electronics on behalf of the Russian end users, directly endangering citizens in both Ukraine and the United States. The FBI will not yield in its efforts to stop those who deceive the U.S. government and directly jeopardize our national security.”
Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod said: “We are laser-focused on rooting out the procurement networks fueling the Russian war machine. Working hand-in-hand with our federal law enforcement partners, we will continue to identify and disrupt Russia’s use of front companies in the People’s Republic of China and elsewhere to evade our controls.”
According to the allegations contained in the Complaint unsealed today in White Plains federal court:[1]
MAXIM MARCHENKO is a Russian national who resides in Hong Kong and operates several Hong Kong-based shell companies, including Alice Components Co. Ltd. (“Alice Components”), Neway Technologies Limited (“Neway”), and RG Solutions Limited (“RG Solutions”). MARCHENKO and two co-conspirators (“CC-1” and “CC-2”), who are also Russian nationals, operate an illicit procurement network in Russia, Hong Kong, and elsewhere overseas. This procurement network has fraudulently obtained from U.S. distributors large quantities of dual-use, military grade microelectronics, specifically OLED micro-displays, on behalf of Russia-based end users. To carry out this scheme, MARCHENKO, CC-1, and CC-2 used shell companies based in Hong Kong and other deceptive means to conceal from U.S. Government agencies and U.S. distributors that the OLED micro-displays were destined for Russia. The technology that MARCHENKO and his co-conspirators fraudulently procured have significant military applications, such as in rifle scopes, night-vision googles, thermal optics, and other weapon systems.
To perpetrate the scheme, MARCHENKO and other members of the conspiracy acquired the dual-use OLED micro-displays from U.S.-based distributors using MARCHENKO’s Hong Kong-based shell companies, including Alice Components, Neway, and RG Solutions. Members of the conspiracy, including MARCHENKO, procured these sensitive microelectronics by falsely representing to the U.S. distributors (who, in turn, are required to report to U.S. agencies) that Alice Components was sending the shipments to end users located in China, Hong Kong, and other countries outside of Russia for use in electron microscopes for medical research. In reality, the OLED micro-displays were destined for end users in Russia. MARCHENKO and other members of the conspiracy concealed the true final destination (Russia) from U.S. distributors for the purpose of causing false statements to the U.S. agencies.
To conceal the fact that these OLED micro-displays were destined for Russia, MARCHENKO and other members of the conspiracy worked together to transship the illicitly procured OLED micro-displays by using pass-through entities principally operated by MARCHENKO in third countries, such as Hong Kong. MARCHENKO then caused the OLED micro-displays to be shipped to the ultimate destination in Russia using, among other entities, a freight forwarder known to provide freight forwarding services to Russia. In addition, MARCHENKO and other members of the conspiracy used Hong Kong-based shell companies, principally operated by MARCHENKO, to conceal the fact that payments for the OLED micro-displays were coming from Russia. In total, between in or about May 2022 and in or about August 2023, MARCHENKO’s shell companies funneled a total of more than $1.6 million to the United States in support of the procurement network’s efforts to smuggle the OLED micro-displays to Russia.
* * *
MARCHENKO, 51, a Russian citizen who has resided in Hong Kong, is charged with conspiracy to defraud the United States, which carries a maximum sentence of five years in prison; conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison; conspiracy to smuggle goods from the United States, which carries a maximum sentence of five years in prison; money laundering, which carries a maximum sentence of 20 years in prison; smuggling goods from the United States, which carries a maximum sentence of 10 years in prison; conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; and wire fraud, which carries a maximum sentence of 20 years in prison.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by a judge.
Mr. Williams praised the outstanding investigative work of the FBI and its New York Field Office, Counterintelligence Division and the New York Field Office of the Bureau of Industry and Security of the Department of Commerce. Mr. Williams also thanked the FBI’s Legal Attaché office in Australia; the U.S. Department of State’s Diplomatic Security Service; the Department of Justice’s National Security Division, Counterintelligence and Export Control Section; and the Office of International Affairs of the Department of Justice’s Criminal Division for their assistance.
This case is being handled by the Office’s White Plains Division and Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Jennifer N. Ong and Shiva H. Logarajah are in charge of the prosecution, with assistance from Trial Attorney Garrett Coyle of the Counterintelligence and Export Control Section.
Today’s actions were coordinated through the Justice Department’s Task Force KleptoCapture. Task Force KleptoCapture is an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions, and economic countermeasures that the United States has imposed, along with its allies and partners, in response to Russia’s unprovoked military invasion of Ukraine.
The charges in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Ringleader Sentenced to 25 Years for Counterfeit Drug Trafficking ConspiracyRead the Press Release
BEAUMONT, Texas – A Houston man who led a counterfeit drug trafficking scheme has been sentenced to federal prison for drug trafficking and money laundering violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Byron A. Marshall, 45, pleaded guilty to conspiracy, trafficking in counterfeit drugs, and money laundering conspiracy and was sentenced to 300 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to the indictment, from April 2014 until August 2021, Marshall conspired with ten others including Adam P. Runsdorf, the owner and president of Woodfield Pharmaceutical LLC based in Boca Raton, Florida.
According to information presented in court, Marshall utilized Woodfield Pharmaceutical’s manufacturing facility and employees in Houston to produce more than 500,000 pints of counterfeit cough syrup. Marshall’s drug trafficking organization sold the counterfeit drugs across Texas, Louisiana, Mississippi, Alabama, Georgia, South Carolina, Tennessee, Wisconsin, California, Florida, Arkansas, and Ohio. Prices generally ranged from $100 to more than $1,000 per one-pint bottle. Depending on the market and brand of cough syrup, prices went as high as $3,800 to $4,000 per pint.
During the conspiracy, Marshall communicated directly with Runsdorf regarding production of the counterfeit cough syrup. At Runsdorf’s request, Marshall paid Woodfield Pharmaceutical in cash only, and Woodfield employees mailed the cash directly to Runsdorf in Boca Raton.
“Mr. Marshall was the ringleader of a drug trafficking organization responsible for selling counterfeit drugs across most of the southeastern United States and many other states,” said U.S. Attorney Damien M. Diggs. “Drug trafficking organizations like this are a cancer to our nation and present a substantial threat to our communities. Today’s significant sentence should send a clear message to such organizations that the Eastern District of Texas along with our federal, state, and local law enforcement partners will remain laser-focused on crippling drug trafficking organizations that choose to distribute drugs and other poisons in our communities.”
All eleven defendants charged in the indictment pleaded guilty. Eight have been sentenced including Marshall. Adam Runsdorf and Tunji Campbell pleaded guilty to conspiracy, trafficking in counterfeit drugs, and money laundering conspiracy. Campbell, who partnered with Marshall to hatch the scheme, was sentenced to 135 months imprisonment. Runsdorf was sentenced to 72 months imprisonment and ordered to forfeit $5 million and a McLaren sportscar. Chauntell D. Brown pleaded guilty to conspiracy and trafficking in counterfeit drugs and was sentenced to 72 months imprisonment. Cheryl A. Anderson, Ashley A. Rhea, Maria Anzures-Camarena and Kalpen Patel, each pleaded guilty to conspiracy and were sentenced to 60 months imprisonment. Three others are awaiting sentencing.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was investigated by the Drug Enforcement Administration; U.S. Food and Drug Administration Office of Criminal Investigations; Internal Revenue Service-Criminal Investigation; Federal Bureau of Investigation; U.S. Marshals Service; Houston Police Department; Galveston Police Department; Galveston County Sheriff’s Office; Dickinson Police Department; League City Police Department; Pearland Police Department; Pasadena Police Department; Texas City Police Department; Harris County Precent #2; Brazoria County Sheriff’s Office; Fort Bend County Sheriff’s Office; Liberty County Sheriff’s Office; and the Texas National Guard. This case was prosecuted by Assistant U.S. Attorneys John B. Ross, Jonathan C. Lee, and Robert A. Wells.
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Richmond Man Sentenced to 15 Years for Child PornographyRead the Press Release
KANSAS CITY, Mo. – A Richmond, Mo., man has been sentenced in federal court for distributing child pornography.
Zachary Ryan Taylor, 32, was sentenced by U.S. District Judge Stephen R. Bough on Friday, Sept. 15, to 15 years in federal prison without parole. The court also ordered Taylor to pay $25,215 in restitution to the child victims depicted in the images of child pornography.
The court also sentenced Taylor to 20 years of supervised release following incarceration. He will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life.
On March 8, 2023, Taylor pleaded guilty to one count of distributing child pornography. Taylor admitted that he participated in a chatroom through the online application Kik. Taylor communicated with an online covert employee with the FBI, claiming to be sexually active with a child victim. He sent the covert FBI employee an image of child pornography that he claimed was the child victim, although investigators do not believe the photo actually was a depiction of the child victim. Taylor also claimed he had been with a second child victim.
On Dec. 21, 2021, the FBI and other law enforcement personnel executed a search warrant at Taylor’s residence. Upon arrival at the residence, the emergency lights on law enforcement vehicles were activated, and officers knocked and announced their presence. Taylor narrowly opened the front door to look out. After he failed to completely open the door despite orders to open the door and show his hands, the door was forced open.
Investigators seized several cell phones and other electronic devices, which contained hundreds of videos and images of child pornography.
The Western Missouri Cyber Crimes Task Force also investigated two cybertips, from Musical.ly and Kik, which reported that Taylor had uploaded images and videos of child pornography to those platforms.
This case was prosecuted by Assistant U.S. Attorney Alison D. Dunning. It was investigated by the FBI and the Richmond, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Renton, Washington, man sentenced to 3+ years for bringing box of Molotov cocktails to protest march in summer of 2020Read the Press Release
Seattle – A 35-year-old Renton, Washington, man was sentenced today in U.S. District Court in Seattle to 40 months in prison for his role in a plot to burn the Seattle Police Officers Guild building in downtown Seattle in September 2020, announced Acting U.S. Attorney Tessa M. Gorman. Justin Christopher Moore pleaded guilty in September 2022. At the sentencing hearing, U.S. District Judge Lauren King said, “What you did showed a complete disregard for human life. Our ability to peacefully assemble is a fundamental right to our society. Your acts of violence can deter people from exercising that fundamental right.”
According to records filed in the case, Moore made and carried a box of 12 Molotov cocktails in a protest march to the Seattle Police Officers Guild (SPOG) building on Labor Day, September 7, 2020. Ultimately the marchers were moved away from the building in downtown Seattle. Police smelled gasoline and grew concerned about the intentions of protestors. The box containing the 12 gasoline devices was found in the parking lot next to the SPOG building. Using video from that day and from other protests, as well as information from the electronic devices of other co-conspirators, Moore was confirmed as the person seen carrying the box of destructive devices.
In June 2021, law enforcement executed a search warrant at Moore’s residence. They seized clothing that is consistent with the images of what Moore was wearing when he carried the Molotov cocktails. From the basement storage area, they also recovered numerous items that are consistent with manufacturing explosive devices. Law enforcement recovered a notebook in which Moore had made entries related to the manufacturing of destructive devices and the ingredients necessary.
In asking for a 41-month sentence, Assistant United States Attorney Todd Greenberg noted that carrying and leaving the box of explosive bottles was inherently dangerous. “Moore’s offense was extremely dangerous and created a substantial risk of injury to numerous bystanders…. Moore carried the box of twelve Molotov cocktails in a crowd of over 1,000 people who were participating in the protest march. All of them were in harm’s way if one of the devices had exploded.”.
The case was investigated by the FBI, the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), and the Seattle Police Department.
The case is being prosecuted by Assistant United States Attorney Todd Greenberg.
Portland Man Sentenced to 25 Years in Federal Prison for Drug and Gun CrimesRead the Press Release
PORTLAND, Ore.—A Portland man whose 20-year federal prison term was cut short by a commutation was sentenced to an additional 25 years in prison today for dealing counterfeit oxycodone pills containing fentanyl analogue, money laundering, and unlawfully possessing firearms, all while on supervised release from his last federal conviction.
Dontae Lamont Hunt, 42, was sentenced to 300 months in federal prison and five years’ supervised release. Hunt was also ordered to pay $60,000 to satisfy a forfeiture money judgment.
In September 2005, Hunt was sentenced to 240 months in federal prison and eight years’ supervised release after pleading guilty to possessing with intent to distribute crack cocaine and carrying a firearm during and in relation to a drug trafficking crime. In October 2016, Hunt was released from prison early, to a halfway house, after receiving a sentence commutation.
According to court documents and trial testimony, only months after receiving his commutation, Hunt began distributing counterfeit oxycodone pills laced with carfentanil, a potent controlled substance sometimes used as an elephant tranquilizer. In December 2017, Hunt was shot multiple times outside an apartment building in Eugene, Oregon. A surveillance video of the shooting showed Hunt walking in a nearby parking lot while talking on a cellphone and carrying a satchel. Immediately after the shooting, Hunt’s girlfriend came to his aid, retrieved the satchel, and placed it in a vehicle used to drop Hunt off at a Eugene hospital.
After departing the hospital, the vehicle was stopped by Eugene police officers for a traffic violation and searched. Officers recovered a bloodstained satchel containing two loaded firearms, both of which were later determined to have Hunt’s DNA on them. Back at the shooting scene, officers found a large amount of blood and an iPhone near where Hunt was shot. On the phone, investigators found evidence of Hunt’s drug trafficking, including text messages and photos of what appeared to be counterfeit Oxycodone pills. Further investigation revealed that Hunt distributed the counterfeit pills in and around Portland and that his drug trafficking was connected to a fatal drug overdose in June 2018.
In September 2018, investigators searched three properties linked to Hunt, including his residence in Northeast Portland. At his residence, Hunt refused commands to surrender and remained alone upstairs for approximately 15 minutes. After he was taken into custody, Portland Police Bureau officers found blue pills adjacent to an upstairs toilet, consistent with and indicative of Hunt disposing of evidence. Agents also located several dozen additional blue pills concealed in a jar of baby ointment, three firearms, and a gun box labeled with the make, model, and serial number of one of the firearms found in the bloodstained satchel in Eugene. Lab reports later confirmed the pills seized contained fentanyl analogue. Cellphones seized from Hunt’s residence contained additional evidence of his drug trafficking activities. Agents also recovered more than $40,00 in cash and seized multiple vehicles.
In October 2022, a federal jury found Hunt guilty on multiple gun, drug, and money laundering charges.
This case was investigated jointly by the Portland Police Bureau, IRS-Criminal Investigation, and FBI with assistance from U.S. Drug Enforcement Administration and the Eugene Police Department. It was prosecuted by Peter Sax, Gary Sussman, and Suzanne Miles, Assistant U.S. Attorneys for the District of Oregon. Forfeiture litigation was handled by Assistant U.S. Attorney Julia Jarrett.
This case is part of Project Safe Neighborhoods (PSN), 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.
Pharmacy Operators and Pharmacist Charged with $33 Million Health Care Fraud, Wire Fraud, and Kickback ConspiracyRead the Press Release
NEWARK, N.J. – Two pharmacy executives and a pharmacist were arraigned today on charges of defrauding Medicare and TRICARE by submitting fraudulent claims for medically unnecessary prescriptions, Attorney for the United States Vikas Khanna announced. The pharmacy executives are also charged with paying and conspiring to pay illegal kickbacks.
William B. Welwart 69, of Staten Island, New York; Ethan B. Welwart, 35, of Bolivar, New York; and Gary Kaczka, 62, of Saddle Brook, New Jersey, are each charged in a 22-count indictment with conspiracy to commit health care fraud and wire fraud, and health care fraud. William and Ethan Welwart are additionally charged with wire fraud, conspiracy to violate the federal anti-kickback statute, and payment of illegal kickbacks. The defendants appeared today before U.S. District Judge Esther Salas and were each released on $250,000 bond.
According to the indictment:
From January 2017 to December 2020, the defendants operated pharmacies, including Apogee Bio-Pharm LLC in Edison, New Jersey. William B. Welwart was the CEO and owner of Apogee. Ethan B. Welwart was director of operations at Apogee and the purported owner of additional pharmacies used to perpetuate the scheme. Kaczka was a pharmacist-in-charge at Apogee. The defendants and others agreed to engage in a scheme to defraud insurance payors, including Medicare and TRICARE, by working with marketing companies to generate medically unnecessary prescriptions through a telemarketing and telemedicine scheme. The Welwarts and others also agreed to pay kickbacks to marketing companies in return for the marketing companies referring prescriptions for expensive medications to the pharmacies.
The marketing companies identified Medicare and TRICARE beneficiaries to target for expensive drugs and contacted the beneficiaries by telephone to pressure them to agree to try expensive medications, such as pain creams, scar creams, eczema creams, and migraine medication. The marketing companies then transmitted recordings of telephone calls with the beneficiaries, together with pre-marked prescription pads for particular drugs that would yield exorbitant reimbursements, to telemedicine companies. The marketers paid the telemedicine companies kickbacks for every beneficiary referred for a prescription, and the telemedicine companies paid doctors to approve the prescriptions. The marketing companies then directed the prescriptions to pharmacies, including Apogee, with which they had kickback arrangements. The pharmacies filled the prescriptions and sought reimbursement from federal health care benefit programs, including Medicare and TRICARE. The pharmacies, including Apogee, then paid a portion of each reimbursement to the marketing companies as a kickback. The defendants and their conspirators caused a loss to Medicare and other federal health care benefit programs of over $33 million.
The health care fraud and wire fraud conspiracy charges carries a maximum potential penalty of 20 years in prison; the health care fraud charges carry a maximum potential penalty of 10 years in prison; the wire fraud charges carry a maximum potential penalty of 20 years in prison; the charge of conspiracy to violate the Anti-Kickback Statute carries a maximum potential penalty of five years in prison; and the charges of payment of illegal kickbacks are punishable by 10 years in prison. All of the counts are also punishable by a fine of $250,000, or twice the gain or loss from the offense, whichever is greatest.
Attorney for the United States Khanna credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark; the U.S. Department of Health and Human Services Office of Inspector General, under the direction of Special Agent in Charge Naomi Gruchacz, and U.S. Department of Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Special Agent in Charge Patrick J. Hegarty, with the investigation leading to the indictment.
The government is represented by Assistant U.S. Attorney Katherine M. Romano of the Health Care Fraud Unit and Barbara Ward, Senior Trial Counsel of the Asset Recovery and Money Laundering Unit, in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
apogee.indictment.pdfOmaha Man Sentenced to 5 Years for Possession of a FirearmRead the Press Release
Acting United States Attorney Susan Lehr announced that James E. Williams, 50, of Omaha, Nebraska, was sentenced on September 15, 2023, in Omaha by Chief United States District Judge Robert F. Rossiter, Jr. for possessing a firearm in furtherance of a drug trafficking crime. Williams was sentenced to 60 months in prison and will also serve two years on supervised release. There is no parole in the federal system.
On April 12, 2021, Williams sold to a cooperating witness working with law enforcement 3.6 grams of cocaine and two firearms, a Colt M4 Carbine .22 caliber rifle and an Iver Johnson .38 caliber revolver. The transaction, which was audio and video recorded, occurred inside a garage of an Omaha residence.
This case was investigated by the Omaha Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Ohio coding consultant agrees to settle allegations regarding neurostimulator devicesRead the Press Release
HOUSTON – A 47-year-old healthcare consultant has agreed to pay $30,000 to settle allegations that she assisted in causing the submission of false claims, announced U.S. Attorney Alamdar S. Hamdani.
Franceene McKinney is a medical information technology and coding consultant based in the Cincinnati area. Through her business, IOS Consultants LLC, she provided services to doctors, chiropractors and other medical professionals across the country, including in the Southern District of Texas.
From Jan. 1, 2016, to Dec. 31, 2020, McKinney aided those providers in billing Medicare fraudulently, pointing them to a billing code designed for the surgical implantation of neurostimulator electrodes. These are invasive procedures usually requiring the use of an operating room. Medicare pays thousands of dollars per procedure.
However, the providers McKinney assisted did not perform surgical procedures. Instead, patients received devices used for electro-acupuncture, which only involves inserting needles into patients’ ears and taping the neurostimulator behind them with an adhesive.
In addition to the financial settlement, McKinney and IOS have agreed to a three-year period of exclusion from participation in any federal health care programs.
To date, this is the tenth case the Southern District of Texas has resolved for similar conduct. The other matters included settlements with a Katy anesthesiologist, Houston pain doctor, Rockport chiropractor, Houston chiropractor, Laredo pain doctor, The Woodlands pain doctor, Cypress marketing representative, and two separate settlements (linked here and here) with Cypress podiatrists.
The Department of Health and Human Services – Office of Inspector General conducted the investigation. Assistant U.S. Attorney Brad Gray handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Ocean County Man Charged with Sexually Exploiting MinorsRead the Press Release
TRENTON, N.J. – An Ocean County, New Jersey, man made his initial court appearance today on charges of producing and distributing videos and images depicting child sexual abuse, U.S. Attorney Philip R. Sellinger announced.
Christopher Budelman, 36, Brick, New Jersey, is charged by complaint with two counts of production of child pornography and one count of distribution of child pornography. He made his initial appearance before U.S. Magistrate Judge Douglas E. Arpert by videoconference and was detained.
According to documents filed in this case and statements made in court:
In June 2022, while communicating via an online video chat site, Budelman enticed at least two minors to engage in sexually explicit conduct while he masturbated. Budelman recorded and saved those video chats on his computer. From September 2021 to June 2022, Budelman used two Kik Messenger accounts to send images and videos containing child sexual abuse, including images and videos depicting prepubescent minors, to others.
The charges of sexual exploitation of children each carry a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. The charge of distribution of child exploitation material carries a mandatory minimum penalty of five years in prison, a maximum potential penalty of 20 years in prison, and a $250,000 fine.
U.S. Attorney Sellinger credited special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge Robert Kurtz; the Ocean County Prosecutor’s Office High Tech Crime Unit, under the direction of Prosecutor Bradley D. Billhimer; the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; and Brick Township Police Department, under the direction of Chief David Forrester, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Ashley Super Pitts of the Criminal Division in Trenton.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
budelman.complaint.pdfNorth Carolina Man Convicted of Defrauding Attorneys Through International Fraud SchemeRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Omoyoma Christopher Okoro, age 49, of North Carolina, was found guilty of all charges against him following a five-day jury trial that concluded on September 15, 2023. The indictment charged Okoro with conspiracy to commit wire fraud affecting a financial institution, mail fraud affecting a financial institution, and bank fraud. In addition, Okoro was charged with two counts of wire fraud affecting a financial institution, one count of mail fraud affecting a financial institution, and one count of bank fraud.
According to United States Attorney Gerard M. Karam, Okoro, a naturalized U.S. citizen of Nigerian origin, resided in Nigeria before moving to the United States around 2013. Between 2006 and 2010, Okoro, along with other unnamed coconspirators, conspired to defraud attorneys located in the United States through what became known as the “attorney collection scheme.” Through this scheme, attorneys in the United States were contacted by a prospective “client” in a foreign country who purported to be in need of legal representation. The client would typically claim to be owed money from someone in the United States resulting from a business transaction, settlement from a dispute, or an accident. If the attorney responded to the initial inquiry, the attorney would then be told that the other party had agreed to settle the matter and was prepared to make a payment. Soon after that, the attorney would receive a counterfeit “official check” supposedly issued by a U.S. bank in the mail. The attorney was directed by the client to deposit the check into his or her law firm escrow account, keep a portion of the funds as payment for services, and wire the balance to a foreign bank account, typically located in an East Asian country. Once the funds reached the foreign bank account, they were immediately withdrawn by a member of the conspiracy, generally before the attorney victim realized that he or she had been defrauded. The attorney and the attorney’s bank would then be left responsible for the loss once they realized that the official check was counterfeit.
The evidence at trial showed Okoro communicating with numerous other members of the conspiracy, including individuals responsible for furnishing the financial accounts in East Asia used to receive victim funds, as well as individuals who appeared to be in contact with attorney victims. On numerous occasions, Okoro was either the sender or recipient of emails confirming that an attorney victim had wired funds to a foreign bank account. In addition, evidence at trial showed funds flowing back to Okoro from coconspirators located in the area of Toronto, Canada, where several key members of the conspiracy resided.
In total, it is believed that over $20 million in fraudulent proceeds were actually obtained through the attorney collection scheme, and over $70 million in attempted fraud occurred. Okoro represents the latest defendant to be prosecuted in this district for his role in the attorney collection scheme. Prior defendants include Emmanuel Ekhator and Yvette Mathurin, previously residents of Canada and Nigeria, and Kingsley Osagie of Nigeria. For more information, please see https://www.justice.gov/usao-mdpa/pr/nigerian-national-sentenced-100-months-involvement-scheme-defraud-lawyers-out-millions. They also include Henry Okpalefe, previously a resident of Toronto, Canada and Nigeria. For more information, please see https://www.justice.gov/usao-mdpa/pr/canadian-man-sentenced-18-years-imprisonment-multi-million-dollar-fraud-targeting-us.
The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorney Ravi Romel Sharma, Assistant U.S. Attorney David C. Williams, and U.S. Department of Justice Trial Attorney Shaunik R. Panse prosecuted the case and handled the case at trial. This case and other prior cases related to the attorney collection scheme were previously handled by Assistant U.S. Attorneys Christy Fawcett, Kim Douglas Daniel, Chelsea Schinnour, and Paul J. Miovas, Jr.
The maximum penalty under federal law for each of the five charges against Okoro is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Niagara Falls Man Going to Prison for 20 Years for Production of Child PornographyRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Jessy Santos, 30, of Niagara Falls, NY, who was convicted of production of child pornography, was sentenced to serve 240 months in prison by U.S. District Judge John L. Sinatra, Jr.
Assistant U.S. Attorney Maeve E. Huggins, who handled the case, stated that on June 23, 2016, Santos produced a digital recording of himself engaged in sexual conduct with an eight-year-old minor victim in his care. Santos used a cellular telephone to record the conduct.
The sentencing is the result of an investigation by the Federal Bureau of Investigation Child Exploitation and Human Trafficking Task Force, under the direction of Special Agent-in-Charge Matthew Miraglia, the Niagara County Sheriff’s Office, under the direction of Sheriff Michael Filicetti, the Cheektowaga Police Department, under the direction of Chief Brian Gould, and the Tonawanda Police Department, under the direction of Chief James Stauffiger.
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New Orleans Man Indicted for Federal Narcotics and Illegal Possession of Firearms ViolationsRead the Press Release
NEW ORLEANS, LA – CALEB PUNCH, age 32 of New Orleans, was indicted on September 15, 2023 announced U.S. Attorney Duane A. Evans. In Count 1, PUNCH is charged with Conspiracy to Possess with Intent to Distribute Controlled Dangerous Substances, in violation of Title 21, United States Code, Sections 846, 841(a)(1), 841(b)(1)(B), and 841(b)(1)(C). Count 2 charges PUNCH with Possession with Intent to Distribute Controlled Dangerous Substances, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(B), and 841(b)(1)(C). Count 3 charges PUNCH with Possession of Firearms during a Drug Trafficking Offense, in violation of Title 18, United States Code, Section 924(c)(1)(A). Count 4 charges PUNCH with being a Felon in Possession of a Firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8). Count 5 charges PUNCH with Maintaining a Drug-involved Premises, in violation of Title 21, United States Code, Section 856(a).
If found guilty of either Counts 1 and 2, PUNCH faces a minimum sentence of 5 years up to a maximum of 40 years imprisonment, up to a $5,000,000 fine, and at least four years of supervised release. As to Count 3, he faces a minimum sentence of 5 years up to life imprisonment, to be served consecutively to any other counts, up to a $250,000 fine, and up to 5 five years of supervised release. As to Count 4, he faces up to fifteen years imprisonment, up to a $250,000 fine, and up to three years of supervised release. As to Count 5, he faces up to twenty years imprisonment, up to a $500,000 fine, and up to three years of supervised release. All five counts also carry a mandatory $100 special assessment fee.
United States Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven 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 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.
United States Attorney Evans also praised the work of the Drug Enforcement Administration and Louisiana State Police. This case is being prosecuted by Assistant United States Attorney Stuart Theriot of the Narcotics Unit.
New Orleans Man Found Guilty of Hobbs Act Robberies and Weapons ViolationsRead the Press Release
NEW ORLEANS, LA – United States Attorney Duane A. Evans announced today that MARVIN LEGENDRE, age 40, of New Orleans, was found guilty as charged on September 13, 2023 after a three-day jury trial before U.S. District Judge Carl J. Barbier.
The jury found LEGENDRE guilty as charged as to all five counts in the indictment. The indictment charged LEGENDRE, in Counts 1 and 3, with Hobbs Act robberies, in violation of Title 18, United States Code, Section 1951(a). Counts 2 and 4 charged LEGENDRE with using a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c)(1). Count 5 charged LEGENDRE with being a felon in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(1).
The FBI’s New Orleans Violent Crime Task Force worked in conjunction with the New Orleans Police Department and the St. Bernard Parish Sheriff’s Office to investigate several Hobbs Act Robberies linked to LEGENDRE. As charged in the indictment, on March 7, 2021, LEGENDRE committed an armed robbery at a Cricket Wireless in Chalmette, LA. and on March 10, 2021, LEGENDRE committed an armed robbery at a Boost Mobile in New Orleans, LA.
During the investigation, detectives and agents used both physical and video surveillance to track a distinctive vehicle that LEGENDRE, was using to travel to and from the robberies. Agents then located LEGENDRE’s residence on N. I-10 Service Rd., executed a search warrant, and arrested LEGENDRE. The search yielded the clothes LEGENDRE wore during the robberies as well as firearms. Upon further investigation, agents confirmed phone records that placed LEGENDRE at the respective scenes as well as incriminating videos, pictures, and texts sent from LEGENDRE’s phone.
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.
The case was investigated by the Federal Bureau of Investigation, New Orleans Police Department and the St. Bernard Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Inga Petrovich and Mike Trummel of the Violent Crime Unit.
Naples Man Sentenced for Possessing Firearm in Furtherance of A Drug Trafficking CrimeRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Michael Karp (50, Naples) to five years in federal prison for possession of a firearm in furtherance of a drug trafficking crime. Karp had pleaded guilty on June 22, 2023.
According to court documents, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) opened an investigation into Karp in 2022, during which Karp met with an undercover ATF agent who was posing as a drug dealer needing protection during drug deals. Karp indicated to the agent that he participated in that kind of work. On May 23, 2023, Karp met at a hotel in Naples believing that he was going to protect a drug sale of five pounds of methamphetamine. In reality, the drug transaction was for the sale of imitation methamphetamine between two undercover ATF agents. Karp stood by with a pistol as the transaction took place.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Mark Morgan.
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.
Mobile Man Sentenced to Ten Years in Prison for Possessing and Firing an Illegal Machinegun During New Year’s Eve CelebrationsRead the Press Release
MOBILE, AL – A Mobile man was sentenced to 120 months in prison—the maximum sentence allowed under federal law—for illegally possessing a machinegun that he fired during New Year’s Eve celebrations in downtown Mobile.
According to court documents and evidence presented at his sentencing hearing, Thomas Earl Thomas, Jr., 23, fired a Glock .40 caliber pistol, which was illegally modified with a machinegun-conversion device and equipped with an extended magazine, into a crowd of revelers on Dauphin Street during Mobile’s New Year’s Eve celebrations on December 31, 2022. The device attached to Thomas’s illegal weapon, commonly referred to as a “Glock switch,” converted the firearm from a semiautomatic pistol to a fully automatic machinegun. Surveillance video showed Thomas firing multiple rounds from the firearm, which killed one victim, severely injured eight others, and caused substantial damage to nearby businesses.
Mobile police and paramedics tended to the wounded victims on-scene, who ranged from age 17 to age 57. Detectives also canvassed the scene, recovering 22 fired .40 caliber shell casings, four damaged bullets, three bullet jacket fragments, and two lead fragments, among other evidence. Detectives conducted two recorded interviews of Thomas, who admitted that he lied about several key facts during the interviews. Specifically, Thomas admitted that he lied about not having a gun or shooting it on Dauphin Street. Evidence extracted from Thomas’s cell phone linked him to the firearm, which he had purchased at a gun show in Mobile on December 10, 2022. Thomas admitted that he knew the gun had later been illegally modified with a machinegun-conversion device.
An expert with the Bureau of Alcohol, Tobacco, Firearms and Explosives examined and test fired Thomas’s illegal weapon. When equipped with the machinegun-conversion device, the firearm expelled multiple rounds of ammunition with a single pull of the trigger. Both the firearm and the machinegun-conversion device are illegal under federal law.
“Wantonly shooting into an innocent crowd, Thomas made his crime even more dangerous and serious by using an illegal machinegun,” said U.S. Attorney Sean P. Costello. “Working with our federal, state and local partners, we will do everything we can to protect our community by taking these illegal weapons off the street, and putting the criminals who use them in prison.”
Marcus Watson, Special Agent in Charge of the ATF’s Nashville Field Division, said, “Citizens should be able to attend celebratory events without the fear and grim reality of possibly losing their lives. This individual knowingly and recklessly discharged a firearm that contained a machinegun-conversion device, known as a ‘Glock switch,’ into a crowd of innocent people. The ATF along with our state, local, and federal partners will continue to utilize every resource that we have in the pursuit of justice for individuals who make the conscious effort to perpetuate violence in the communities that we serve.”
In addition to the 10-year prison sentence, Chief United States District Judge Jeffrey U. Beaverstock ordered Thomas to serve a three-year term of supervised release upon his release from prison, during which time he will receive treatment for substance abuse and mental health. The court did not impose a fine, but Judge Beaverstock ordered Thomas to pay $100 in special assessments and forfeited Thomas’s illegal weapon to the United States.
Thomas faces several pending charges in the Mobile County District Court stemming from this incident, including intentional murder, first-degree assault, and shooting a firearm into occupied and unoccupied buildings and vehicles. He is presumed innocent in that case until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The ATF and the Mobile Police Department investigated the case.
Assistant U.S. Attorney Justin Roller prosecuted the case on behalf of the United States.
Middleton Man Sentenced to 32 Months for Illegal Gun PossesisonRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Johnluke Spears, 32, Middleton, Wisconsin was sentenced today by Chief U.S. District Judge James D. Peterson to 32 months in prison for being a felon in possession of a firearm. Spears pleaded guilty to this charge on April 12, 2023.
On November 27, 2021, there was a shooting in the parking lot of Monkeyshines Bar in Fitchburg, Wisconsin. One person was shot, and surveillance video showed the injured person and his friend involved in a confrontation with another group. The injured person exchanged gunfire with at least one person in the other group.
During the subsequent investigation, officers determined that Spears had been standing next to one of the shooters. In December 2021, detectives executed a search warrant at Spears’ residence and found a loaded Glock 22 .40 caliber handgun, which is consistent with casings found at the shooting scene. Spears’ DNA was found on that handgun. Spears is a convicted felon and prohibited from possessing firearms.
At sentencing, Judge Peterson concluded that Spears is a “hard core gang guy” and, while he did not fire the shots at Monkeyshines, he hung around with friends who were involved in gun violence. Judge Peterson noted that the Glock .40 caliber handgun found in Spears’ apartment had a switch (which converted it to a machine gun) and drum magazine capable of holding 40 to 50 rounds making it very dangerous. Finally, Judge Peterson commented that Spears was on supervision for a prior weapons offense out of Illinois. Spears’ supervision on the Illinois case was revoked and Judge Peterson ordered the 32-month federal sentence to run concurrently with the 10 months remaining on Spears’ sentence in that Illinois case. The federal sentence imposed today will be followed by three years of supervised release.
The charge against Spears was the result of an investigation conducted by the Fitchburg Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Corey Stephan prosecuted this case.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
Members of Area Drug Trafficking Organization Sentenced to Federal Prison for Drug TraffickingRead the Press Release
United States Attorney Ronald C. Gathe, Jr. announced the sentencing of three individuals as the result of an extensive federal, state, and local investigation by the Middle District Organized Crime and Drug Enforcement Task Force (OCDETF) aimed at a drug trafficking network based and operating in Baton Rouge.
Quentin Mabin, age 31, of Baton Rouge, Louisiana, was sentenced to 144 months imprisonment in federal prison following his conviction for conspiracy to distribute and possess with intent to distribute 50 grams or more of methamphetamine. The Court further sentenced Mabin to serve five years of supervised release following his term of imprisonment.
Jabari Williams, age 38, of Baton Rouge, Louisiana, was sentenced to144 months imprisonment in federal prison following his conviction for conspiracy to distribute and possess with intent to distribute a mixture of substance containing methamphetamine. The Court further sentenced Williams to serve three years of supervised release following his term of imprisonment.
Charles Andre, age 40, of Baton Rouge, Louisiana, was sentenced to 84 months imprisonment in federal prison following his conviction for conspiracy to distribute and possess with intent to distribute a mixture or substance containing methamphetamine. The Court further sentenced Andre to serve three years of supervised release following his term of imprisonment.
As the charging documents explain, and the defendants admitted, on February 6, 2019, a confidential informant (CI) arranged for the purchase of four ounces of methamphetamine from Charles Andre for $1,500. The CI stated that they had previously purchased 4 ounces of methamphetamine directly from Quentin Mabin and Jabari Williams. Andre directed the CI to meet at a park near the intersection of Antioch and Tiger Bend Roads in Baton Rouge, Louisiana. The CI was provided with the agreed-upon purchase price of $1,500 and an audio/video recording device. The recording captured Andre as the apparent coordinator of this drug transaction. Mabin was also seen video and heard stating that Williams would be arriving in the parking lot shortly. At that time, Mabin was aware that the CI, Andre, and Williams, and himself had negotiated a drug deal involving four ounces of methamphetamine for a purchase price of $1,500. Mabin then departed the area. Williams subsequently entered the parking lot of the location where Andre and the CI were located. Williams handed a packet to Andre who then placed the packet in the CI’s vehicle.
On February 20, 2019, the CI again arranged for the purchase of four ounces of methamphetamine. On this occasion, Andre directed the CI to come to his residence on Woodlawn Acres Avenue in Baton Rouge. At the designated time, law enforcement agents maintained surveillance at Mabin’s residence on Elva Drive in Baton Rouge. At approximately 7:20 p.m., Mabin was identified as he exited the residence and drove to a location in Denham Springs, Louisiana, where he engaged in what appeared to be a hand-to-hand drug transaction. At approximately the same time, separate law enforcement provided the CI with $1,500 and an audio/video recording device. The CI drove to, and entered, Andre’s Woodlawn Acres residence. After his meeting in Denham Springs, Louisiana, Mabin returned to the Elva Drive residence, entered the residence for a short period of time, and then drove to Andre’s Woodlawn Acres residence. The CI’s video captured Andre’s absence from the kitchen area of the residence for a brief period of time. Agents conducting surveillance outside of the residence identified Mabin as he pulled into the driveway of Andre, met with Andre, and then drove off. Andre then entered the residence and handed the CI a packet containing methamphetamine.
On February 23, 2019, EBRSO Narcotics agents obtained a search warrant for Mabin’s Elva Drive residence. A search of said residence was conducted and methamphetamine was seized. Mabin shared possession of this methamphetamine with Williams, knew that it was methamphetamine, and, along with Williams, possessed the methamphetamine with the intent to distribute it.
On February 28, 2020, law enforcement identified that a residence in Denham Springs, Louisiana, was likely receiving shipments of illegal narcotics. On March 2, 2020, a police canine conducted a free air sniff of a FedEx package addressed to said residence. The canine returned a positive alert for the presence of illegal controlled substances. A search warrant for the package was then obtained, and the package was opened and searched. Among items found in the package were 6 vacuum-sealed bags containing over 3 kilograms of suspected methamphetamine. A small amount of the substance was placed back into the Federal Express package, which was then delivered under surveillance of law enforcement to the suspect Denham Springs residence. Upon delivery of the package, the resident at the address on the FedEx package looked at it, to include the name on the package, and advised that it was not his. The resident stated that he had recently moved into the residence, and that a man advised him that he had recently moved from the residence, and that a package addressed to him was still being delivered to the residence. The man requested that, upon receipt, the resident place the package on the front steps of the residence so that he could pick it up. After the delivery was completed, the resident placed the package on the front steps of the residence and then departed the area.
Approximately one hour after the package was left on the front steps of the residence, during which time surveillance was maintained, Mabin approached the residence on foot and took possession of the package. The male then ran down the street and entered a gray Toyota Camry. A computer inquiry of the license place on the vehicle identified that it was registered to a female with an outstanding warrant for her address. Law enforcement then conducted a traffic stop of the Camry. After being advised of her Miranda rights, the female driver (who was also the registered owner of the Camry) advised that she had given Mabin, the sole passenger in the vehicle, a ride the area near the aforementioned delivery address so he could pick up a package. The driver gave consent to a search of her vehicle and, among other items, law enforcement located and seized the Federal Express package that had been the subject of this ongoing investigation. The package was located on the front passenger floorboard where Mabin was sitting.
After being advised of his Miranda rights, Mabin admitted that the methamphetamine belonged to him, and that he had ordered approximately seven pounds of methamphetamine for a price of $14,000 from a source in California. He stated that he used the address of the suspect Denham Springs residence because it had been vacant.
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.
This investigation was led by the Drug Enforcement Administration with invaluable assistance from the East Baton Rouge Parish Sheriff’s Office and was prosecuted Assistant U.S. Attorney Paul L. Pugliese.
Man Sentenced for Sexually Abusing Child in FijiRead the Press Release
A Florida man was sentenced today to 60 years in prison for sexually abusing a child while traveling in Fiji.
According to court documents, Jason R. Moore, 43, of Milton, sexually abused a child on multiple occasions during trips to Fiji in 2013 and 2016. In late 2022, Moore was arrested in Santa Rosa County by special agents from the Department of Homeland Security (DHS) and Florida Department of Law Enforcement (FDLE).
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Jason R. Coody for the Northern District of Florida, and Special Agent in Charge John Condon of Homeland Security Investigations (HSI) Tampa made the announcement.
HSI, FDLE, and the New York State Police investigated the case.
Trial Attorney Adam Braskich of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney David L. Goldberg for the Northern District of Florida prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced for Sexual Exploitation of a ChildRead the Press Release
A Pennsylvania man was sentenced today to 25 years in prison for manufacturing and attempting to manufacture child sexual abuse material (CSAM).
According to court documents, David Dunn, 57, of Red Hill, used the mobile applications Snapchat and Likee to coerce and entice a 10-year-old female to engage in sexually explicit conduct. Dunn told the victim he was 11 years old and sent the minor female CSAM depicting minor boys, which he had downloaded from the Dark Web. Dunn captured the CSAM he coerced the victim to create and sent it to another individual via Telegram. Two cell phones seized from Dunn’s home contained thousands of images and videos of CSAM.
Dunn pleaded guilty to one count of sexual exploitation of children.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Jacqueline C. Romero for the Eastern District of Pennsylvania, and Acting Special Agent in Charge Richard Langham of the FBI Philadelphia Field Office made the announcement.
The FBI Philadelphia Field Office investigated the case.
Trial Attorney Kaylynn N. Foulon of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney Kevin Jayne for the Eastern District of Pennsylvania prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced for Failing to Register as a Sex Offender for the Second TimeRead the Press Release
Acting United States Attorney Susan Lehr announced that Sire English, 31, was sentenced on September 15, 2023, in federal court in Omaha, Nebraska, for failing to register as a sex offender pursuant to the Sex Offender Registration and Notification Act. Chief United States District Court Judge Robert F. Rossiter, Jr. sentenced English to imprisonment for 30 months in the Bureau of Prisons. There is no parole in the federal system. After his release from federal prison, English will begin a 5-year term of supervised release.
On March 18, 2012, English was convicted of Child Enticement in the State of Iowa. He was sentenced to probation for two years and was thereafter required to register as a sex offender in any state in which he resided pursuant to the Sexual Offender Registration and Notification Act (SORNA), a federal law. Records obtained from the Iowa Sex Offender Registry indicate that on August 9, 2022, English registered as a sex offender in the State of Iowa and listed an address at an apartment in Council Bluffs, Iowa.
English was previously convicted of a SORNA felony in the U.S. District Court for the District of Nebraska on October 15th, 2018. At that time, he was sentenced to imprisonment for 15 months and a 5-year term of supervised release. On October 13, 2022, English was arrested on a federal warrant for violating the conditions of his supervised release from the prior case. At the time of his arrest, English was found by the U.S. Marshals Service (USMS) to be residing at an address at an apartment on Hamilton Street in Omaha. The USMS confirmed through additional investigation that English had been living in Omaha since April 8, 2022, and had moved out of his registered address in Council Bluffs in December of 2021.
English did not register or attempt to register, nor did he update his sex offender registration to show that he was residing in Omaha pursuant to the requirements of SORNA between approximately April 8, 2022, and October 18, 2022, when he was arrested.
This case was investigated by the United States Marshals Service.
Man Sentenced for Drug ConspiracyRead the Press Release
Acting United States Attorney Susan Lehr announced that Lorenzo Gonzalez-Perez, 25, was sentenced on September 15, 2023, in federal court in Omaha, Nebraska, for his participation in a methamphetamine and fentanyl drug conspiracy. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Gonzalez-Perez to 120 months’ imprisonment. There is no parole in the federal system. After his release from prison, he will begin a five-year term of supervised release.
Beginning in August 2021 and continuing to November 4, 2021, Gonzalez-Perez agreed with others to distribute and possess with intent to distribute over 50 grams of methamphetamine actual and over 100 grams of fentanyl analogue.
On October 18, 2021, Utah Highway Patrol troopers stopped a red Dodge Charger due to a malfunctioning rear license plate light and illegal window tint. The car was driven by co-defendant Giovanna Cisneros and Gonzalez-Perez was a passenger.
Troopers conducted a free air sniff with a K-9 who alerted to the smell of narcotics. As a result, a probable cause search of the Charger was conducted by the state trooper. Inside the trunk was a luggage bag that contained two tin foil wrapped packages. Those packages contained round blue pills stamped ‘M 30.’ The bags weighed approximately 5 pounds and lab tested positive for fentanyl.
Cisneros admitted to the trooper that she was transporting the pills and would receive between $6,000-$7,000 for the trip. She further admitted she was transporting the narcotics for others. Cisneros also advised officers that Gonzalez-Perez was not to receive money for the trip due to being in trouble with others involved in the conspiracy.
Prior to the trip, intercepted phone calls on October 13, 2021, indicated that Cisneros and Gonzalez-Perez were working at the direction of Mayra Rendon. During the phone calls, Rendon informed Emidio Becerra that she was looking for Gonzalez-Perez after he failed to answer his phone after a drug proceeds pick up. Rendon told Becerra she needed someone to drive to California to pick up the pills. Ultimately, Cisneros and Gonzalez-Perez were instructed to make the trip.
Mayra Rendon pled guilty to drug conspiracy and was sentenced on September 15, 2022, to 210 months custody followed by 5 years of supervised release.
Colleen Wiand pled guilty to drug conspiracy and was sentenced on October 28, 2022, to 97 months custody with 3 years of supervised release to follow.
Darbelio Lorenzo-Genchi and Iris Gallardo-Salado each pled guilty to drug conspiracy and were sentenced on March 6, 2023, and February 17, 2023, respectively, to 96 months custody with 2 years of supervised release to follow.
Samantha Cawyer pled guilty to drug conspiracy and was sentenced to 72 months with 3 years of supervised release on August 25, 2023.
Giovana Cisneros pled guilty to drug conspiracy. Sentencing is scheduled for October 12, 2023.
Emidio Becerra and Oscar Ulises Quiroz Ayon are scheduled for trial on September 25, 2023.
This case was investigated by the Omaha Police Department and Drug Enforcement Administration.
Milton Man Sentenced to Sixty Years in Federal Prison for Child Sex Crimes Committed in FijiRead the Press Release
PENSACOLA, FLORIDA – Jason R. Moore, 43, of Milton, Florida, was sentenced to sixty years in federal prison after previously pleading guilty to two counts of “Illicit Sexual Conduct in Foreign Places.” The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“There is no greater charge than the protection of our children,” said U.S. Attorney Coody. “This sentence is yet another example of the unwavering commitment to the protection of our most vulnerable and should serve as a significant deterrent to those who would attempt to harm them. We will continue to work tirelessly with our law enforcement partners to investigate and prosecute those who engage in such heinous conduct.”
Moore engaged in “Illicit Sexual Conduct in Foreign Places” from March 2013 through February 2016. Specifically, Moore engaged in these crimes in the Republic of Fiji. Moore was arrested by Special Agents from the Department of Homeland Security and the Florida Department of Law Enforcement in Santa Rosa County in late 2022 after victims of Moore’s crimes came forward regarding their sexual abuse.
Moore’s prison sentence will be followed by a Lifetime of supervised release. He will also be required to register as a sex offender and be subject to all sex offender conditions.
“Individuals who masquerade under a disguise of public trust and prey on the vulnerability of children in their own home should expect to be held fully accountable for their actions,” said HSI Tallahassee Assistant Special Agent in Charge Nicholas Ingegno. “I commend the victim for having the courage to come forward. HSI’s strong partnerships with HSI Buffalo and the New York State Police were key in holding this sexual predator responsible for turning a child into a lifelong victim.”
This case resulted from a joint investigation by the Department of Homeland Security, the Florida Department of Law Enforcement, and the New York State Police. Assistant United States Attorney David L. Goldberg and Trial Attorney Adam Braskich of the Department of Justice’s Child Exploitation and Obscenity Section prosecuted the case.
FDLE Pensacola Special Agent in Charge Chris Williams said, “As a former preacher, Moore had plenty of access to children in a role that placed him in a position of trust for parents and the community. Taking this dangerous predator off the streets was a priority for our agents. I thank them for their commitment to this case as well as that of our partners. I’m glad to know Moore will be in prison for years to come.”
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 and led by the U.S. Attorney’s Offices and the Criminal Divisions Child Exploitation and Obscenity Section (CEOS), it marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Lyons Man Arrested on Multiple Child Pornography and Enticement ChargesRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Randall Seeley, Jr., 45, of Lyons, NY, was arrested and charged by criminal complaint with production, receipt, and possession of child pornography, and online enticement of a minor. The charges carry a minimum penalty of 15 years in, a maximum term of life, and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that according to the complaint, in July 2023, the New York State Police in Lyons received a report that Seeley had been involved in sexually explicit online communications with a 13 to 14-year-old minor. An investigation led to the execution of a search warrant in August 2023, at Seeley’s residence. A review of the minor’s social media accounts revealed sexually explicit communications between Seeley and the minor going back as far as July 2022. A preliminary forensic analysis of Seeley’s electronic devices recovered hundreds of images and videos of child pornography, depicting the minor and other, unknown children.
Seeley made an initial appearance before U.S. Magistrate Judge Marian W. Payson and is being held without bail.
The criminal complaint is the result of an investigation by the New York State Police, under the direction of Major Brian Ratajczak, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Long Island Man Sentenced to More Than 17 Years in Prison for Distributing Child Pornography in Cyber-Bullying CaseRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Lorenzo Arana was sentenced by United States District Judge Gary R. Brown to 210 months in prison for distribution of child pornography in connection with his circulation on social media of sexually explicit videos of a 12-year-old girl. Arana pleaded guilty to the charge in November 2022.
Breon Peace, United States Attorney for the Eastern District of New York, and Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), announced the sentencing.
“Today’s sentence brings justice to a vulnerable young girl and many others like her throughout the country who were terrorized and harmed by the defendant’s weaponization of social media to target them for undeserved cruelty, vulgarity, and abuse,” stated United States Attorney Peace. “It will always be a priority of this Office to protect children and hold online predators accountable for their actions. My message to parents and caregivers is please talk to your children about the dangers of communicating online with strangers who may exploit them and to seek help from a trusted adult if they are being threatened.”
“It is particularly evil for a person to prey upon young people and exploit their innocence, but to do so to the point where a victim sees no reason to live is beyond reprehensible,” stated HSI New York Special Agent-in-Charge Arvelo. “The defendant, Lorenzo Arana, got what he deserved today for his actions. There is no place in our society for such heinous behavior, and HSI New York is committed to protecting our children in every way possible.”
Arana, who also used the online alias “Lorenzo Blake,” has a lengthy and well-documented history of using social media—where he amassed thousands of followers, many of whom were minors—to target underage girls for harassment and abuse. Arana leveraged his large following across social media platforms, including Facebook, Instagram, Tik Tok, Snapchat and YouTube, to bully, harass and exploit underage girls, including through blackmail with sexually explicit material he solicited from them, threatening to publicly distribute the material—along with other sensitive information, such as the victims’ cellphone numbers—for a range of conduct Arana deemed unacceptable, from refusing to send additional pornographic materials to simply declining his phone calls.
Arana’s conviction in this case related specifically to his online harassment and abuse in September 2020 of a 12-year-old described in the indictment as Jane Doe #2. After soliciting sexually explicit material from “Jane Doe #2,” Arana intentionally distributed those videos to her friends and classmates on social media (including other minors), causing Jane Doe #2 to attempt suicide. Arana posted about his conduct on social media, acknowledging that he distributed the compromising material to “expose” Jane Doe #2 for refusing to respond to his calls. Law enforcement recovered a text message on Jane Doe #2’s cellphone, in which Arana stated “kill ur . . . self.” Upon learning that Jane Doe #2 was contemplating suicide, Arana responded, “I don’t care . . . she deserves it.” Local police in another state received an emergency call, requesting a welfare check of Jane Doe #2. Responding officers found Jane Doe #1 unconscious in her bed, along with loose pills, two pill bottles, a firearm, and a suicide note. The victim survived.
This prosecution is part of Project Safe Childhood, a nationwide initiative led by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Anthony Bagnuola is in charge of the prosecution.
The Defendant:
LORENZO ARANA (also known as “Lorenzo Blake”)
Age: 22
Island Park, New YorkE.D.N.Y. Docket No. 21-CR-19 (GRB)
Lincoln Woman Sentenced for Conspiracy to Distribute Fentanyl Resulting in DeathRead the Press Release
Acting United States Attorney Susan Lehr announced that Regina A. Rodriguez, 46, of Lincoln, Nebraska, was sentenced on September 18, 2023, by Senior United States District Judge John M. Gerrard to 20 years’ imprisonment for conspiracy to distribute and possess with intent to distribute fentanyl, resulting in the death of another person. Following her release from prison, Rodriguez will serve three years on supervised release. There is no parole in the federal system.
On the morning of June 21, 2022, a Lincoln man was found dead at a Lincoln halfway house. A spoon containing a blue/white substance, a broken pill, and a syringe were found in the man’s room. Two additional blue pills were found in his wallet. Testing at the Nebraska State Patrol laboratory showed the two pills found in the victim’s wallet and the substance on the spoon contained fentanyl and another drug, 4-ANPP. After an autopsy was conducted, it was determined the cause of death was fentanyl toxicity.
Text messages in the victim’s phone led investigators to suspect Rodriguez, and her husband/co-defendant, Arnaldo Rodriguez-Santini, were the sources of the fentanyl. In August of 2022, Rodriguez was contacted by narcotics investigators. She admitted knowing the victim. She admitted she and her husband were addicted to opioids and used pills which she knew contained fentanyl. When asked about messages from the victim asking to buy pills at his workplace on June 20, 2022, Rodriguez said she did not specifically remember going there on that date but admitted it was likely she and her husband had met with the victim and delivered five pills to him.
The case against Arnaldo Rodriguez-Santini is scheduled for a status hearing on September 26, 2023.
This case was investigated by the Lincoln/Lancaster County Narcotics Task Force (Lincoln Police Department, Lancaster County Sheriff’s Office and UNL Police Department).
Kissimmee Man Sentenced to More Than 15 Years in Federal Prison for Possessing over One Million Files of Child Sexual Abuse MaterialRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Edward Nicholas Carney (54, Kissimmee) to 15 years and 8 months in federal prison, followed by a lifetime of supervised release, for receiving and possessing child sexual abuse material. The court also ordered Carney to forfeit more than 50 electronic devices which were used to commit the offense. Carney had pleaded guilty on June 22, 2023.
According to court documents, Carney shared hundreds of depictions of child sexual abuse material using a social media platform. Upon executing a search warrant on his home, law enforcement uncovered more than one million depictions of child sexual abuse material on Carney’s electronic devices. Carney had screen savers displaying child sexual abuse on his computers when law enforcement entered his residence. Upon his arrest, Carney asked a law enforcement officer, “You’ve never had any curiosity about something? Just to look and see?”
As of the date of Carney’s sentencing hearing, more than 2 terabytes of child sexual abuse material, including 137 known series of child sex abuse, have been located on Carney’s electronic devices.
“This investigation is yet another example of the dedication and determination of the FBI and its law enforcement partners in unmasking child predators and keeping our children safe,” said FBI Tampa Division Special Agent in Charge David Walker.
“The detectives at the Osceola County Sheriff’s Office who dedicate hundreds of hours investigating monsters like Edward N. Carney are the true heroes. The partnerships we develop with organizations like the FBI is a great way of demonstrating to the community that we can do remarkable things together as one”, said Osceola Sheriff Marcos Lopez.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Osceola County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Courtney D. Richardson-Jones.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jefferson Parish Man Indicted for Violations of the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LA – DAMION SMITH, age 22, of Metairie, Louisiana, was indicted on September 15, 2023, for violations of the Federal Gun Control Act. Specifically, he is charged with one count of being a felon in possession of a firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8) and one count of possessing machine guns, in violation of Title 18, United States Code, Sections 922(o) and 924(a)(2), announced United States Attorney Duane A. Evans.
According to court documents, SMITH was previously convicted of felony offenses in Jefferson Parish. Due to his criminal history, he is prohibited from having a firearm. On June 29, 2023, SMITH was found in possession of two (2) firearms, both of which were equipped with a Glock auto-sear. The auto-sear devices converted the semi-automatic firearms into fully-automatic machine guns.
If convicted of possession of a firearm by a convicted felon, SMITH faces a maximum of fifteen (15) years imprisonment, a fine of up to $250,000, and up to three (3) years of supervised release. If convicted of possession of machine guns, SMITH faces a maximum of ten (10) years imprisonment, a fine of up to $250,000, and up to three (3) years of supervised release. He also faces payment of a $100 mandatory special assessment fee on each count.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven 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 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.
U.S. Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives in investigating this matter. The case is being prosecuted by Assistant U.S. Attorney Greg Kennedy of the Violent Crime Unit.
Jamestown Man Arrested, Charged with Possession of MethamphetamineRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Andre Richards, 23, of Jamestown, NY, was arrested and charged by criminal complaint with possession with intent to distribute methamphetamine. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life and a $10,000,000 fine.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that according to the complaint, since January 2022, law enforcement has been investigating the drug trafficking activities of Richards in Chautauqua and Cattaraugus Counties in NY, and in Warren, PA. During the investigation, Richards was charged with several New York State felonies involving the possession and distribution of large quantities of methamphetamine and fentanyl as well as criminal possession of a loaded firearm. Despite these pending felony charges, Richards continued to operate a significant drug trafficking organization. The complaint states that Richards utilized a North Main Street residence in Russell, PA, as well as a residence on South Work Street in Falconer, NY.
In March 2023, after investigators conducted surveillance of Richards driving around Jamestown, NY, and observed him engaging in activity consistent with narcotics dealing, including a brief meeting with an individual that involved a hand-to-hand exchange, search warrants were executed on his vehicle and the residence in Falconer, NY. During the searches, law enforcement seized approximately 84 grams of crystal methamphetamine, approximately $6,600.00 of United States currency, a digital scale, a drug processing press, a 9mm magazine, and bullets. During a search of the Russell, PA, residence, law enforcement seized approximately 20 lbs. of crystal methamphetamine.
Richards made an initial appearance before U.S. Magistrate Judge Jeremiah J. McCarthy and was detained.
The complaint is the result of a joint investigation by the Jamestown Police Department Drug Task Force, under the direction of Chief Timothy Jackson, the Southern Tier Regional Drug Task Force, under the direction of Chautauqua County Sheriff James Quattrone, the Cattaraugus County Sheriff’s Office, under the direction of Sheriff Timothy Whitcomb, the New York State Police, under the direction of Major Eugene Staniszewski, the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarentino III, New York Field Division, and the Warren County, PA, Drug Task Force, under the direction of Sheriff Brian Zeybel.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Honduran National Indicted for Illegal Re-EntryRead the Press Release
NEW ORLEANS – WILLIAM LEONELL LOPEZ, age 36, was indicted on September 15, 2023, for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a), announced U.S. Attorney Duane A. Evans.
According to the indictment, WILLIAM LEONELL LOPEZ, ("LOPEZ") reentered the United States after being previously deported on June 19, 2009. If convicted, LOPEZ faces a maximum term of imprisonment of two years, a maximum fine of up to $250,000, a maximum term of supervised release of up to one year, and a mandatory $100 special assessment fee.
U.S. Attorney Evans reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of United States Immigration and Customs Enforcement in investigating this matter. Assistant U.S. Attorney Carter K.D. Guice, Jr. of the General Crimes Unit is in charge of the prosecution.
Heavener Resident Sentenced for Possessing Child Sexual Exploitation MaterialRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Carl Robert Kannady, age 67, of Heavener, Oklahoma, was sentenced to 10 years of imprisonment, followed by mandatory registration as a sex offender and a lifetime term of supervised release, for the Possession of Certain Material Involving the Sexual Exploitation of a Minor.
The charges arose from investigations by the Federal Bureau of Investigation, the National Center for Missing and Exploited Children, and the LeFlore County Sheriff’s Department.
On June 14, 2022, Kannady pleaded guilty to possessing certain material involving the sexual exploitation of a minor. According to investigators, LeFlore County Sheriff’s Department received a CyberTip from the National Center for Missing and Exploited Children (NCMEC) alerting them to images of child exploitation posted by Kannady. A search warrant executed on Kannady’s home returned over 8,000 images depicting child sexual exploitation on DVDs, USB drives, and a computer hard drive.
The Honorable Judge John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing in Muskogee, Oklahoma. Kannady will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Caila M. Cleary represented the United States.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the tab ‘Resources.’
If you have information about the physical or online exploitation of children, please call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov. You can also contact the National Center for Missing and Exploited Children at 1-800-THE–LOST (1-800-843-5678) or submit a tip online at report.cybertip.org.
Hardin County Man Sentenced for Child Pornography ViolationsRead the Press Release
BEAUMONT, Texas – A Silsbee man has been sentenced to federal prison for child pornography violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Michael Joseph Fontenot, 51, pleaded guilty to possessing child pornography and was sentenced to 78 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to public information, an investigation by the Denver Innocent Images Task Force into individuals viewing and downloading child pornography through a social media application led to Fontenot in Hardin County, Texas. A search warrant was executed by federal law enforcement at Fontenot’s residence and several electronic devices were seized, including a cell phone, tablet, flash drives and a laptop. A forensic review of the items revealed over 600 images of child pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Rachel Grove.
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Guilty Pleas Entered in Two Homicide Cases in the DistrictRead the Press Release
WASHINGTON – Joseph Brown, 33, pleaded guilty today to second degree murder while armed, and Rondell McLeod, 30, pleaded guilty to voluntary manslaughter while armed in the shooting death of 21-year-old Amari Jenkins, on Aug. 18, 2015, in front of St. Luke’s Catholic Church, located at 4925 East Capitol Street, N.E. The pleas were announced by U.S. Attorney Matthew M. Graves and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).
The defendants, both of Washington, D.C., admitted that on the day of the murder, they emerged from a blue van that pulled in front of the church, and fired 28 rounds at Jenkins, before reentering the van and making their escape.
In a separate case, Joseph Brown pleaded guilty to voluntary manslaughter while armed for the shooting of 29-year-old Antwan Baker, on Nov. 12, 2015, in the 5300 block of Clay Terrace, N.E. In that homicide, Brown admitted he emerged from a vehicle and shot Baker six times in the back of the head and neck before fleeing the scene.
Both defendants will be sentenced on Dec. 4, 2023, by D.C. Superior Court Judge Marisa J. Demeo. McLeod is currently serving an 11-year sentence for federal robbery charges brought in the United States District Court for the District of Maryland, and the government will argue at sentencing that McLeod’s voluntary manslaughter sentence should run consecutive to the federal robbery sentence.
In announcing the guilty plea, U.S. Attorney Graves and Acting Chief Smith commended the work of the officers and detectives from the Metropolitan Police Department who investigated the case. They also thanked Assistant U.S. Attorneys Michael P. Spence and Andrea Coronado, who prosecuted the case for the U.S. Attorney’s Office.
French man sentenced for international tax schemeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Ayodele Arasokun, age 46, of Paris, France, was sentenced today in West Virginia to 34 years in federal prison for orchestrating an international tax scheme.
Arakosun was convicted by a jury in October 2022 of twenty-one counts of wire fraud and aggravated identify theft. According to court documents and statements made in court, Arasokun coordinated a scheme to file 1,701 false returns and claim $9.1 million in refunds, with West Virginia residents among the victims.
Evidence presented at trial showed that Arasokun had the money transferred to pre-paid debit cards and checking accounts that he was monitoring. The investigation revealed approximately 700 U.S.-based accounts containing more than $50 million was being tracked by the defendant. A total of $2.2 million in fraudulent refunds were actually paid by the Internal Revenue Service.
The case was prosecuted by Assistant U.S. Attorneys Andrew Cogar and Eleanor Hurney.
The Treasury Inspector General for Tax Administration (TIGTA) - Cybercrime Investigations Division, and the IRS-CI, Los Angeles field office investigated.
TIGTA investigates abuses of the IRS’s online electronic portals, including the Electronic Filing Pin application, which was compromised in this case.
U.S. District Judge Gina M. Groh presided.
Fremont Man Sentenced for Drug and Firearm ChargesRead the Press Release
Acting United States Attorney Susan Lehr announced that Jarrett Chappelear, 26, of Fremont, Nebraska, was sentenced on September 15, 2023, in federal court in Omaha, Nebraska, for distributing methamphetamine while possessing a firearm. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Chappelear to 96 months’ imprisonment for the distribution and 60 months’ imprisonment for possessing a firearm during a drug transaction, for a total of 156 months. There is no parole in the federal system. After his release from prison, Chappelear will begin a 4-year term of supervised release.
On October 29, 2021, the Nebraska State Patrol in Norfolk, Nebraska, utilized a confidential informant to purchase 1,245 grams of pure methamphetamine from Chappelear. Shortly after the controlled buy, troopers stopped Chappelear driving away. Chappelear was found to be in possession of an FNS 9mm handgun with two spare magazines of ammunition.
This case was investigated by the Nebraska State Patrol.
Fort Myers Roofing Contractors Sentenced to Prison for Evading over $1.1 Million in TaxesRead the Press Release
Two Florida businessmen, David Aaron and Russell Ultes, were sentenced today to 18 months and nine months in prison, respectively, for a scheme to evade over $1.1 million in income taxes.
According to court documents and statements made in court, Aaron and Ultes were co-owners of Marlin Construction Group LLC (Marlin), a Fort Myers-based residential and commercial roofing company. In 2018 and 2019, Aaron and Ultes diverted millions of dollars of customer checks made payable to Marlin, by cashing them at check-cashing businesses in nearby counties. Aaron and Ultes used the cash to pay personal expenses, such as the purchase of jet-skis, boats and vehicles.
To carry out the scheme, Aaron and Ultes caused Marlin’s books and records to falsely underreport the business’s gross receipts and income for those years. Aaron and Ultes provided false information to Marlin’s tax return preparers, resulting in the preparation of false 2018 and 2019 corporate income tax returns (Forms 1120S) that did not report all gross receipts and income. Because the income from the false corporate returns flowed through to Aaron and Ultes’s personal returns, their 2018 and 2019 personal income tax returns (Forms 1040) were similarly false. In total, Aaron and Ultes caused a tax loss to the IRS of over $1.13 million.
U.S. District Judge Sheri P. Chappell for the Middle District of Florida also ordered that, in addition to their prison sentences, Aaron serve three years of supervised release and pay a $50,000 fine and that Ultes serve nine months of home confinement, followed by three years of supervised release and pay a $75,000 fine.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Roger B. Handberg for the Middle District of Florida made the announcement.
IRS-Criminal Investigation investigated the case.
Senior Litigation Counsel Stanley J. Okula Jr. and Trial Attorney Richard J. Hagerman of the Tax Division prosecuted the case with support from the U.S. Attorney’s Office for the Middle District of Florida.
Fort Myers Man Sentenced to Federal Prison for Unlawfully Possessing Firearms as A Convicted FelonRead the Press Release
Fort Myers, Florida – U.S. District Court Judge Thomas Barber has sentenced Travis Lavon Anderson (36, Fort Myers) to nine years in federal prison for possessing firearms as a previously convicted felon. The court also ordered Anderson to forfeit the firearms and ammunition possessed during the offense. Anderson had pleaded guilty on June 12, 2023.
According to court documents, in the afternoon of June 8, 2022, Fort Myers Police Department (FMPD) officers were alerted to multiple rounds of gunfire in quick succession in the vicinity of a residence on Lantana Street in Fort Myers. During a subsequent investigation into the origin of the gunfire, officers obtained surveillance video depicting Anderson discharging a firearm 10 times in front of his residence on Lantana Street. The FMPD obtained a search warrant for the interior of the residence where officers found three firearms and several dozen rounds of ammunition belonging to Anderson, including a loaded AR-15-style rifle and two handguns. As a convicted felon, Anderson is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the United States Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Myers Police Department. It was prosecuted by Assistant United States Attorney Simon R. Eth.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Former U.S. Postal Service Employee in Chicago Admits Stealing Stimulus Checks from the MailRead the Press Release
CHICAGO — A former U.S. Postal Service employee in Chicago has pleaded guilty in federal court to stealing government stimulus checks from the mail.
OLIVIA L. BRYANT admitted in a plea agreement that in 2020 and 2021 she stole hundreds of pieces of mail from her route in Chicago’s Logan Square neighborhood. Some of the stolen mail contained government stimulus checks that were issued by the U.S. Treasury during the Covid-19 pandemic, the plea agreement states. Bryant admitted that five of the stimulus-check thefts occurred on St. Patrick’s Day 2021 when she removed the checks from her postal satchel and transferred them to her purse.
Bryant, 35, of Chicago, pleaded guilty Thursday to a charge of theft from the U.S. mail. The conviction is punishable by a maximum sentence of five years in federal prison. U.S. District Judge John Robert Blakey set sentencing for Dec. 7, 2023.
The guilty plea was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois; Scott Pierce, Special Agent-in-Charge of the Chicago Great Lakes Area Field Office of the U.S. Postal Service Office of Inspector General; and J. Russell George, Inspector General of the Treasury Department Inspector General for Tax Administration (TIGTA). The government is represented by Special Assistant U.S. Attorney Malgorzata Tracz Kozaka.
Bryant plea agreementFormer Social Worker Sentenced to Nearly 5 Years in Federal Prison for Masterminding Multiple Frauds by Using Clients’ Stolen IdentitiesRead the Press Release
SANTA ANA, California – A former Orange County social worker was sentenced today to 57 months in federal prison for stealing the Social Security numbers and other personal identifying information (PII) from clients then using the stolen information to fraudulently obtain tax refunds, welfare benefits, and credit cards.
John Tran, who is believed to be either 57 or 61, of Fountain Valley, was sentenced by United States District Judge James V. Selna, who also ordered him to pay $1,110,288 in restitution.
Tran pleaded guilty in November 2019 to one count of conspiracy to defraud the United States with respect to claims, three counts of mail fraud, and one count of aggravated identity theft.
From August 2010 to June 2019, Tran and his co-conspirators used the stolen information to fraudulently obtain money from the federal government, the State of California, the County of Orange and financial institutions.
The Orange County Social Services Administration employed Tran from July 1994 until October 2018. Tran abused his position of public trust to steal PII belonging to agency clients as well as other individuals, many of whom were recent immigrants to the United States.
Tran and his co-conspirators used the stolen PII to file false federal and state tax returns in the names of identity theft victims, fraudulently obtaining welfare benefits, underreporting income, and falsely claiming deductions on their personal tax returns, and opening credit cards and other lines of credit in the names of the identity theft victims. Proceeds from the schemes were laundered and structured to avoid detection by law enforcement and banks.
Tran and his accomplices filed approximately 433 tax returns using stolen PII and generated at least $973,153 in tax refund payments from the United States.
To further the scheme and avoid detection by the IRS, Tran provided the stolen PII to tax preparers in Orange County who used it to create fraudulent Forms 1099-MISC purporting to show payments made to the identity theft victims by companies, including those controlled by Tran and other co-conspirators.
False federal income tax returns were prepared using the Tran-provided stolen identities. Purported payments on the fraudulent Forms 1099 were falsely used as income to the identify theft victims, making them appear to qualify for tax credits, including the Earned Income Tax Credit and the Child Tax Credit.
In turn, the purported payments to the identity theft victims were used by the tax preparers’ clients to offset business revenues and reduce the taxes they owed by making it appear that the identity theft victims worked for them. In exchange for the fabrication of the Forms 1099, the corrupt tax preparers’ clients paid them a fee.
Tran also used the stolen identities of two victims to open fraudulent bank accounts, open credit cards, and open social services cases. For example, in September 2014, Tran opened a credit card account in another person’s name and used that card for personal expenses, including for items such as skin care products, Costco purchases, and sports gambling.
Tran in 2007 charged approximately $14,000 to a credit card in the name of one victim after he convinced the victim to allow him to use the victim’s credit card. The victim, who was a recent immigrant to the United States and one of Tran’s SSA clients, believed that he had to let Tran use the credit card because Tran was a powerful government official who had control over the victim’s families’ SSA benefits.
In addition to opening at least 12 fraudulent bank and credit card accounts, Tran fraudulently created and managed SSA benefits cases for family, friends, and for himself, obtaining state benefits for which he and others were not entitled.
In total, along with the $973,153 in fraudulently obtained tax refunds, Tran defrauded two victims out of approximately $44,604, and defrauded the Orange County Social Services Administration out of approximately $92,531.
“[Tran] abused his position of trust as a social worker to steal his client’s identities and generate fraudulent tax refunds for his personal gain,” prosecutors argued in a sentencing memorandum. “Not satisfied with stealing from the IRS, [Tran] also fraudulently obtained social services benefits for himself and others.”
Anton Nguyen, 54, of Fountain Valley, the owner of a Westminster-based tax preparation business, was sentenced last month to 41 months in prison and was ordered to pay $3,773,282 in restitution for his role in the scheme.
Rosemary Pham, 65, of Midway City, another tax preparer, pleaded guilty on July 14 to one count of conspiracy to defraud the United States and one count of aiding and advising the filing of false tax returns. She faces up to eight years in federal prison at her October 30 sentencing hearing.
In total, federal prosecutors have secured eight guilty pleas in this criminal case.
IRS Criminal Investigation, with assistance from the Orange County District Attorney’s Office, investigated this matter.
Assistant United States Attorney Bradley E. Marrett of the Santa Ana Branch Office prosecuted this case.
Former Pittsburgh Health Services Company Executive Sentenced to Prison for Tax FraudRead the Press Release
PITTSBURGH, PA – A resident of Sewickley, Pennsylvania, was sentenced today to one year and one day in prison for conspiring to defraud the United States. Nocito, former CEO and President of Pittsburgh-based Automated Health Systems (AHS), will serve – in addition to his prison sentence – 3 years of supervised release, which includes six months on home detention, and pay approximately $15,824,056 in restitution to the Government. United States Attorney Eric G. Olshan announced today.
United States District Chief Judge Joy Flowers Conti imposed the sentence on Joseph Nocito, age 81, of Sewickley, PA.
Court documents and statements outline Nocito’s scheme between 2006 and 2012 to illegally classify millions of dollars of personal expenses as deductible business expenses and finance construction of a 51,000-square-foot mansion valued at approximately $30 million. Nocito named the home “Villa Noci.” The falsified expenses included interior and exterior construction costs; design and furnishings; an outdoor pool and pool house; tennis, basketball and bocce courts; and landscaping for the grounds. Nocito also fraudulently expensed millions of dollars for other personal expenses such as luxury vehicles, artwork, country club memberships, homes for his children and private school tuition for grandchildren.
In addition to filing false personal returns, Nocito underreported AHS’s profits by shuffling millions of dollars of income through other entities in fraudulent transactions designed to conceal AHS’s true income and tax liability. Among other things, Nocito made recurring, sham payments from AHS to other entities he controlled, falsely characterizing the transactions as payments for management, administrative or consulting expenses. He then deducted the expenses in AHS’s corporate income tax returns.
“The defendant diverted millions of dollars that should’ve gone to the IRS and used it to build a 51,000 square foot mansion in the Pittsburgh suburbs, amounting to the largest tax fraud ever perpetrated in our District,” said U.S. Attorney Olshan. “This crime is an affront to every hardworking, tax-paying individual in this country. We commend our partners with IRS Criminal Investigation and the U.S. Postal Inspection Service for their thorough and tireless efforts to hold this defendant accountable for his egregious conduct.”
“Today’s sentencing brings Mr. Nocito’s massive scheme to defraud the IRS to a conclusion,” said Yury Kruty, Special Agent in Charge of IRS-Criminal Investigation. “Tax fraud of this magnitude, never before seen in this Judicial District, deserves to be punished and today was Mr. Nocito’s day of reckoning. Honest taxpayers suffer when self-admitted criminals like Mr. Nocito swindle the government. The Special Agents of IRS-CI, our law enforcement partners, and the Department of Justice remain steadfast in our dedication to prosecuting those who carry out schemes that cheat the government and hurt those who pay their fair share.”United States Attorney Olshan commended the IRS-Criminal Investigation and the U.S. Postal Inspection Service who investigated the case.
Assistant U.S. Attorneys Gregory C. Melucci and Nicole A. Stockey for the Western District of Pennsylvania and Department of Justice Trial Attorney Matthew L. Cofer of the Tax Division prosecuted the case.
Former Local Politician Arrested on Indictment Alleging $70,000 in Bribes to Baldwin Park City Councilmember for Marijuana PermitsRead the Press Release
LOS ANGELES – A former Compton city councilman was arrested today on a federal grand jury indictment alleging he and his consulting client paid $70,000 in bribes to a member of the Baldwin Park City Council in exchange for that official’s votes and support for commercial marijuana permits.
Isaac Jacob Galvan, 36, of Compton, who served on the Compton City Council from 2013 until May 2022, was arrested at his residence this morning on a 10-count indictment filed on September 13 and unsealed today.
Special agents with the FBI and IRS Criminal Investigation today also arrested Yichang Bai, 50, of Arcadia, the owner and operator of W&F International Corp., a Diamond Bar-based import-export business and a consulting client of Galvan’s who allegedly helped orchestrate the bribery scheme.
The indictment charges Galvan and Bai with one count of conspiracy, one count of bribery and eight counts of honest services wire fraud. The defendants are expected to be arraigned this afternoon in United States District Court in downtown Los Angeles.
“Former Compton City Councilmember Isaac Galvan stands accused of paying tens of thousands of dollars to a corrupt member of the Baldwin Park City Council in order to enrich himself and a client with a marijuana business,” said United States Attorney Martin Estrada. “This case is yet another example of my office’s determination to root out public corruption and backroom deals that corrode our political system. We will continue to pursue politicians who violate their sacred oaths by placing their own desires ahead of their constituents’ needs.”
“Today, the FBI arrested Isaac Galvan for allegedly using his position of power to bribe an elected city official in order to enrich himself and a client,” said Donald Alway, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “As these actions erode the public’s trust and harm the communities these officials were elected to serve, FBI Los Angeles will continue to investigate them and those individuals who enable their corrupt schemes.”
“Mr. Galvan, a former Compton City Councilman, and Mr. Bai are accused of undermining the process of fair and open competition when they by allegedly paying bribes to Baldwin Park City Councilman Ricardo Pacheco in exchange for securing marijuana permits for Mr. Bai’s corporation, W&F International,” said Tyler Hatcher, IRS Criminal Investigation Special Agent in Charge of the Los Angeles Field Office. “City Councilmen, hold positions of trust. That trust is broken when these public officials commit crimes like bribery, but when they do IRS Criminal Investigation, and our law enforcement partners will be there to seek justice on behalf of the citizens.”
In June 2017, Baldwin Park began permitting the cultivation, manufacture, and distribution of marijuana within its city limits. Soon afterward, then-Baldwin Park City Councilman Ricardo Pacheco, 60, of Baldwin Park, began soliciting bribes from businesses seeking marijuana development agreements and related permits in the city, according to court documents. In exchange for the illicit payments, Pacheco agreed to use his position in city government to assist the companies with obtaining marijuana permits, including voting in their favor.
According to the indictment, Galvan first paid Pacheco a $10,000 bribe in August 2017 to secure Pacheco’s support for a future consulting client’s marijuana permit. Then, after securing W&F as a client, Galvan facilitated $70,000 in bribes from Bai to Pacheco. Pacheco served on Baldwin Park’s city council from 1997 until his resignation in June 2020, and he was the city’s mayor pro tempore in 2018. Galvan allegedly paid the bribes in exchange for Pacheco’s political support of and promise to deliver Baldwin Park’s approval of marijuana permits for W&F. Pacheco then delivered, voting in favor of W&F’s marijuana permit and later voting in favor of W&F’s bid to relocate its operations.
Throughout the scheme, Galvan and Bai allegedly took steps to cover up their illegal payments to Pacheco by concealing Bai and W&F’s connection to the payments for Pacheco. For example, Bai collected checks from third parties who owed him money and then – at Galvan’s direction – gave Galvan the checks with blank payee lines. Galvan then gave the checks to Pacheco, who then arranged for them to be cashed, either by him or third parties.
An indictment contains allegations that a defendant has committed a crime. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted of all charges, Galvan and Bai would face a statutory maximum sentence of five years in federal prison for the conspiracy count, up to 10 years in federal prison for the bribery count and up to 20 years in federal prison for each honest services wire fraud count.
Pacheco pleaded guilty in June 2020 to one count of bribery for accepting tens of thousands of dollars in bribes – including $20,000 in cash – from a Baldwin Park Police officer working at the FBI’s direction, in exchange for the councilmember’s political support of the Baldwin Park Police Association’s contract with the city. Pacheco’s sentencing hearing is scheduled for June 17, 2024.
In November 2022, prosecutors secured a guilty plea to a bribery charge from Gabriel Chavez, 66, of Upland, a former San Bernardino County planning commissioner who admitted to funneling bribes through his company to Pacheco in exchange for the politician’s votes and influence over the city’s cannabis permitting process. Chavez’s sentencing hearing is scheduled for December 11.
Both Chavez and Pacheco have signed plea agreements in which they have agreed to cooperate in the government’s ongoing investigation.
The FBI and IRS Criminal Investigation are investigating this matter.
Assistant United States Attorneys Thomas F. Rybarczyk, Michael J. Morse, and Lindsey Greer Dotson of the Public Corruption and Civil Rights Section are prosecuting this case.
Any member of the public who has information related to this or any other public corruption matter is encouraged to send information to the FBI’s tip line at tips.fbi.gov or to contact the FBI’s Los Angeles Field Office at (310) 477-6565.
Former Fresno Sleep Clinic Owner Pleads Guilty to Submitting over $1 Million in Fraudulent Claims for Sleep Studies to MedicareRead the Press Release
FRESNO, Calif. — Travis Gober, 44, of Hanford, pleaded guilty to health care fraud and aggravated identity theft charges today for submitting over $1 million in fraudulent claims for sleep studies to Medicare, U.S. Attorney Phillip A. Talbert announced.
According to court records, Gober owned the VIP Sleep Center, which operated sleep clinics in Fresno and Tulare Counties. Sleep clinics perform diagnostic sleep studies on patients to identify disorders like sleep apnea and narcolepsy.
From October 2019 through September 2021, Gober caused the VIP Sleep Center to submit thousands of claims to Medicare, which is a federally funded health care insurance program, for sleep studies that were not actually performed on patients. The claims also falsely stated that the patients had been referred for the sleep studies by physicians with whom Gober had previously worked. This was done because Medicare will not pay for a sleep study unless the patient was referred by a physician.
Gober committed this fraud, at least in part, to try to pay debts and address other financial difficulties that his brother, Jeremy Gober, had caused the VIP Sleep Center and him to incur without his knowledge or consent.
This case is the product of an investigation by the U.S. Department of Health and Human Services Office of Inspector General, the Federal Bureau of Investigation, and the California Department of Health Care Services. Assistant U.S. Attorney Joseph Barton is prosecuting the case.
Travis Gober is scheduled to be sentenced by Jennifer L. Thurston on Jan. 16, 2024. Gober faces a maximum statutory penalty of 10 years in prison for the health care fraud conviction, and an additional, mandatory two years in prison for the identity theft conviction. His actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Travis Gober’s brother, Jeremy Gober, was previously charged with health care fraud and identity theft related to other sleep clinics in the Central Valley in December 2022. The charges are only allegations. Jeremy Gober is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Doctor Sentenced to 18 Months in Federal Prison for Illegally Selling Opioid Painkillers for Cash at His High Desert Medical ClinicRead the Press Release
LOS ANGELES – A former physician was sentenced today to 18 months in federal prison for illegally prescribing and distributing the semi-synthetic opioid painkiller oxycodone to buyers who visited his Victorville medical office.
Wendell Mark Street, 71, of Las Vegas, was sentenced by United States District Judge George H. Wu.
Street pleaded guilty in August 2019 to two counts of knowingly and intentionally prescribing and distributing oxycodone to patients without a legitimate medical purpose.
While Street was a licensed anesthesiologist, on August 1, 2013, he sold two prescriptions for $300 each to a confidential informant and an undercover investigator with the California Medical Board. The pills contained the opioid oxycodone and alprazolam, which has the brand name Xanax.
He wrote the prescriptions without a legitimate medical purpose and intentionally acted outside the usual course of professional practice, including by failing to conduct a physical examination, establish diagnostic testing, provide a treatment plan, and create documentation to establish a medication indication for the prescriptions.
The investigation showed that Street prescribed 7,769 prescriptions for narcotics, including 437,000 doses of oxycodone, from November 2012 to November 2013.
In April 2016, Street surrendered his medical license.
“A doctor holds a position of trust over his patients and with the government, which grants him the authority to write prescriptions for controlled substances for the medical needs of his patients,” prosecutors wrote in a sentencing memorandum. “[Street] violated his position of trust by selling prescription, thereby placing the lives of his patients at risk.”
The Drug Enforcement Administration investigated this matter.
Assistant United States Attorney Jason C. Pang of the Major Frauds Section prosecuted this case.
Former Crawford County Substitute Teacher Sentenced to Ten Months in Federal Prison for Sending Hoax Bomb Threats to Two Indiana Schools and A NewspaperRead the Press Release
NEW ALBANY- Mary Fortner, 35, of Milltown, Indiana, has been sentenced to ten months in federal prison after pleading guilty to two-counts of making hoax bomb threats.
According to court documents, on January 19, 2023, Mary Fortner sent a bomb threat to a Milltown, Indiana, police officer using an anonymous messaging application. The threat targeted a Crawford County school, where she was employed as a substitute teacher at the time.
That same day, FBI agents and Crawford County Sheriff’s Deputies interviewed Fortner at her residence and executed a search warrant, recovering her cell phone and other devices. During multiple interviews with law enforcement officials, Mary Fortner denied any knowledge of the bomb threat.
On February 21, 2023, Fortner sent an email to the Corydon Democrat, a local news outlet in Corydon, Indiana, again threatening to bomb a list of several addresses, including Milltown Elementary School in Milltown, Indiana and the Corydon Cinemas.
Later that evening, the HCSD executed a search warrant at the Fortner’s residence and took her into custody. The FBI determined that the threat came from a mobile device that had been factory reset in attempt to conceal the crime.
“This series of bomb threats shook the sense of safety that all of our children, teachers, and families deserve—and are especially egregious coming from an adult trusted to educate our children,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “These hoax threats needlessly caused an urgent and expansive law enforcement response. I commend the FBI, Harrison and Crawford County Sheriff’s Departments, and the Milltown Police Department for working together to quickly identify the perpetrator. The federal prison sentence imposed here demonstrates that threats of violence and terror are serious crimes that will not be tolerated in our communities.”
“The Crawford County Sheriff’s Department would like to thank all the departments involved in resolving this case.,” said Crawford County Sheriff, Jeff Howell. “School safety should be a high priority for all agencies. Our nation’s youth is our greatest treasure. A special thanks to the Assistant U.S. Attorneys and federal agencies for their work ensuring that justice was served.”
The FBI, Crawford and Harrison County Sheriffs’ Offices, and Milltown Police Department investigated this case. The sentence was imposed by U.S. District Court Judge, Sarah Evans Barker. Judge Barker also ordered that Fortner be supervised by the U.S. Probation Office for three years following her release from federal prison, the first two months to be served on home detention.
U.S. Attorney Myers thanked Assistant United States Attorneys Matthew Rinka and Kathryn Olivier, who prosecuted this case.
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Foreign National Extradited from Mexico to the United States to Face International Cocaine and Methamphetamine Trafficking ChargesRead the Press Release
A Mexican national made his initial appearance in the U.S. District Court for the District of Columbia today to face international cocaine and methamphetamine trafficking and weapons charges.
On July 19, 2021, a grand jury in the District of Columbia returned an indictment against Edgar Fabian Villasenor Garcia, aka Gary and el Monje, 52. At the time of his indictment, Villasenor Garcia was already in Mexican custody, having been arrested by Mexican authorities on April 2, 2020, based on local charges. While in Mexican custody, Villasenor Garcia was served with a separate warrant based on a U.S. extradition request, and he remained detained in Mexico pending his extradition. He was extradited from Mexico to the United States on Sept. 15.
Villasenor Garcia is charged with one count of conspiracy to distribute five kilograms or more of cocaine and 500 grams or more of methamphetamine, knowing and intending and having reasonable cause to believe that those controlled substances would be unlawfully imported into the United States. He is also charged with knowingly and intentionally using, carrying, and brandishing a firearm in the furtherance of drug trafficking crimes. If convicted, Villasenor Garcia faces a mandatory minimum of 10 years in prison and a statutory maximum penalty of life in prison.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division and Drug Enforcement Administration (DEA) Administrator Anne Milgram made the announcement.
The DEA’s Los Angeles Division investigated the case.
Trial Attorney Kate Naseef of the Criminal Division’s Narcotic and Dangerous Drug Section is prosecuting the case. The Justice Department’s Office of International Affairs, the Office of Enforcement Operations, and the U.S. Marshals Service provided substantial assistance in the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Florida Man Pleads Guilty to Defrauding D.C. Mortgage Assistance and Foreclosure Prevention ProgramRead the Press Release
WASHINGTON – Maron Moss, Jr., 49, of Miami, Florida, pleaded guilty today in Superior Court to one count of first-degree fraud for a scheme in which he stole more than $31,920 from the District of Columbia’s HomeSaver program, a foreclosure prevention program administered by the D.C. Housing Finance Agency and funded by the U.S. Department of Treasury. U.S. Attorney Matthew M. Graves, Principal Deputy Inspector General Melissa Bruce, of the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP), and Inspector General for the District of Columbia Daniel W. Lucas made the announcement.
According to the government’s evidence, Moss, a former DC resident, applied for mortgage assistance for his Washington, D.C. home in 2018, and then submitted recertifications for continued program eligibility on six separate occasions between 2018 and 2019. Moss represented that he was suffering from financial hardship, was unemployed, and that his only source of income was unemployment benefits. Based on these representations, the D.C. Housing Finance Agency made more than $31,920 in monthly mortgage payments directly to Moss’s mortgage service companies. But Moss was, in fact, employed when he applied for the program, as well as during the entire period that he recertified his program eligibility, earning approximately $239,743 in income from at least five different employers during the relevant 20-month period.
The Honorable Heidi Pasichow accepted Moss’s guilty plea and scheduled sentencing for December 5, 2023. As part of the plea agreement, Moss agreed to pay full restitution.
In announcing the guilty plea, U.S. Attorney Graves, Principal Deputy Inspector General Bruce, and Inspector General Lucas commended the work of those who investigated the case from SIGTARP and the Office of Inspector General. They also acknowledged the efforts of Assistant U.S. Attorneys Benjamin D. Bleiberg and Brian P. Kelly who investigated and prosecuted the case.