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Thursday 27 July 2023
Holyoke Man Sentenced for False Statements Regarding Straw Firearms PurchasesRead the Press Release
BOSTON – A Holyoke man was sentenced yesterday in federal court in Springfield in connection with straw purchases of firearms.
Tyler A. Augusto, 23, was sentenced by U.S. District Court Judge Mark G. Mastroianni to two years of probation, with the first four months of the sentence to be served in home confinement. In February 2023, Augusto pleaded guilty to one count of false statements to acquire firearms from a licensed dealer; one count of false statements with respect to information required to be kept in the records of a licensed firearms dealer; and one count of false statements.
Between October 2020 and February 2022, Augusto conducted numerous purchases of firearms from three different federally firearms licensees on behalf of his father, who was not licensed to possess firearms. In February 2022, Augusto falsely told law enforcement that he had not purchased any firearms for his father and that his father had not asked Augusto to purchase any firearms.
As part of his plea agreement, Augusto will forfeit a Sig Sauer Model P365 9mm caliber semi-automatic pistol; a Colt Model SP1 .223 caliber semi-automatic rifle; a Taurus Model CT9-G2 9mm caliber semi-automatic rifle; a Glock model 17 frame; an IMI Uzi model A 9mm semi-automatic rifle; an FN model FS2000 5.56x45mm caliber semi-automatic rifle; a FN model SCAR 16S 5.56x45mm caliber semi-automatic rifle; a Sig Sauer model SIG 556 SCM 5.56x45mm caliber semi-automatic rifle; and a Glock model 21 .45 caliber ACP semi-automatic pistol.
Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Federal Bureau of Investigation and the Holyoke Police Department. Assistant U.S. Attorney Steven H. Breslow of the Springfield Branch Office prosecuted the case.
Holyoke Man Pleads Guilty to Drug and Firearm OffensesRead the Press Release
BOSTON – A Holyoke man pleaded guilty yesterday in federal court in Springfield in connection with drug and firearm offenses.
Jonathan Mercedes, 31, pleaded guilty to one count of possession with intent to distribute 40 grams of more of fentanyl; one count of possession with intent to distribute cocaine; and one count of possession of firearms in furtherance of drug trafficking felonies. U.S. District Court Judge Mark G. Mastroianni scheduled for Nov. 16, 2023. Mercedes was indicted by a federal grand jury in May 2022.
On April 7, 2022, Mercedes possessed with intent to distribute 60 grams of fentanyl laced heroin and 59 grams of cocaine. Mercedes also possessed a Ruger .22 caliber semi-automatic handgun loaded with nine rounds of .22 caliber ammunition and a Smith and Wesson 9mm semi-automatic handgun loaded with 11 rounds of 9mm ammunition.
The charge of possession with intent to distribute 40 grams or more of fentanyl provides for a sentence of up to 40 years in prison, five years of supervised release and a fine of $2 million. The charge of possession with intent to distribute cocaine provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $1 million. The charge of possession of firearms in furtherance of a drug trafficking crime provides for a sentence of up to life in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration in New England; and Holyoke Police Chief David Pratt made the announcement today. Assistant United States Attorney Todd E. Newhouse of the Springfield Branch Office is prosecuting the case.
Heron man sentenced to three years in prison for kidnapping son, fleeing to Costa RicaRead the Press Release
MISSOULA — A Heron man convicted at trial of kidnapping his son in violation of a parenting plan and taking him to Costa Rica was sentenced today to three years in prison, to be followed by one year of supervised release, U.S. Attorney Jesse Laslovich said.
At a two-day trial in March, a jury found Jacob Israel Strong, aka Jacob Israel Guill, 37, guilty of international parental kidnapping.
U.S. District Judge Dana L. Christensen presided. The court also ordered $6,948 restitution.
The government alleged in court documents and at trial that in January 2020, Strong and his ex-wife entered into a parenting plan for their then two-year-old son as part of a divorce proceeding. Prior to a court date in August 2021, Strong failed to return their son to his mother as scheduled. The mother was unable to locate Strong and contacted the Sanders County Sheriff’s Office. Law enforcement also was unable to contact Strong. The Sanders County Attorney’s Office subsequently charged Strong with felony parental interference and a state arrest warrant was issued for Strong.
In September 2021, the FBI opened an investigation to assist Sanders County in the search for Strong and his son. In January 2022, the FBI discovered Strong and the child were living in Costa Rica and learned that Strong and his son left the United States in approximately October 2021, near Midland, Texas. Strong paid a man to transport them to Costa Rica, and Strong and the child lived with the man for about six weeks. In May 2022, the FBI received specific information about Strong’s whereabouts, and Costa Rica officials arrested and deported him back to the United States. The child’s mother traveled to Costa Rica to take custody of her son and returned with him to the United States.
Assistant U.S. Attorneys Timothy J. Racicot and Brian C. Lowney prosecuted the case. The FBI conducted the investigation.
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Grand jury indicts Central Ohio man for threatening to blow up reproductive health clinicRead the Press Release
COLUMBUS, Ohio -- A federal grand jury has indicted a Reynoldsburg man for threatening a reproductive health services facility.
Court documents allege that Mohamed Farah Waes, 33, made telephone threats to a clinic operated by Planned Parenthood of Greater Ohio. He was indicted on July 11 and arrested today.
According to the indictment, on July 5, 2022, Waes allegedly called the clinic and threatened to burn down the facility and everyone inside it.
The indictment charges Waes with violating the Freedom of Access to Clinic Entrances (FACE) Act, which makes it a federal crime to threaten the use of force to intimidate anyone receiving or providing reproductive health services. He is also charged with making threatening statements through interstate communications, a crime punishable by up to five years in prison, and threatening to unlawfully damage and destroy a building by means of fire and explosive, which is a federal crime punishable by up to 10 years in prison.
“Threatening the life of anyone who seeks any type of health service is a heinous act that is unacceptable in a civilized society,” said U.S. Attorney Kenneth Parker. “People must handle their disagreements with services provided by clinics in a more civil way than using the threat of force or any kind of intimidation.”
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Kenneth L. Parker for the Southern District of Ohio, and FBI Special Agent in Charge J. William Rivers for the Cincinnati Field Office announced the charges. Assistant U.S. Attorney Jennifer Rausch for the Southern District of Ohio and Trial Attorney Daniel Grunert of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Goffstown Man Sentenced to 55 Months in Prison for Drug TraffickingRead the Press Release
CONCORD – A Goffstown man was sentenced in federal court for drug trafficking in New Hampshire, U.S. Attorney Jane E. Young announces.
Zachary Janas, 40, was sentenced by U.S. District Court Judge Joesph N. Laplante to 55 months in prison and three years of supervised release. On April 17, 2023, Janas plead guilty to distribution of and unlawful possession with the intent to distribute fentanyl.
“Individuals trafficking in fentanyl, whether acting alone or as a participant in an organized drug trafficking organization, will be prosecuted to the fullest extent of the law,” said U.S. Attorney Young. “Drug traffickers, like the defendant, import and distribute fentanyl in New Hampshire at an alarming rate. As evident by the work done in this case, our law enforcement partners will deploy the necessary assets to investigate and bring to justice those who sell drugs knowing full well the potentially deadly consequences of their actions.”
“Zachary Janas deserves the prison sentence he received today for distributing a significant amount of fentanyl and possessing multiple firearms in his home in Goffstown,” said Christopher DiMenna, Acting Special Agent in Charge of the FBI Boston Division. “Fentanyl is an insidious drug that has destroyed countless lives in New Hampshire, and the FBI’s Major Offender Task Force will continue to work with our law enforcement partners to remove from our streets the dangerous criminals who peddle this poison."
On September 21, 2021, Federal Bureau of Investigation (FBI) agents arranged the purchase of approximately one-half kilogram of fentanyl from Janas at his Goffstown residence. On September 24, 2021, FBI agents executed a search warrant at Janas’ residence and seized an additional one-half kilogram of fentanyl packaged for distribution, approximately $7,000 cash, multiple firearms, and ammunition.
The FBI’s Major Offender Task Force, New Hampshire State Police’s Narcotics Investigations Unit and the Goffstown Police Department conducted the investigation. Assistant U.S. Attorney Jennifer C. Davis is prosecuting the case.
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Gloucester County Man Admits Conspiring to Commit Bank Fraud and Credit Card FraudRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man today admitted participating in schemes to negotiate fraudulent checks with forged signatures and to use credit cards without authorization, U.S. Attorney Philip R. Sellinger announced.
Misty Sarfo-Adu, 28, of Sewell, pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to an information charging him with one count of bank fraud conspiracy and one count of access device fraud conspiracy.
According to documents filed in this case and statements made in court:
Sarfo-Adu conspired with Eugene Koranteng, Emmanuel Yirenkyi, and others to commit bank fraud by obtaining blank checks containing the names and account information of unsuspecting customers of a credit card company. They made the checks payable to members of the conspiracy, forged the customers’ signatures on the checks, and negotiated the checks at financial institutions. In a separate scheme, Sarfo-Adu and Yirenkyi also conspired to use credit cards without the account holders’ knowledge or authorization. Sarfo-Adu admitted that the fraud schemes caused a loss to the credit card company of more than $150,000.
The count of conspiracy to commit bank fraud carries a maximum penalty of 30 years in prison and a fine of up to $1 million. The count of conspiracy to commit access device fraud carries a maximum penalty of five years in prison and a fine of up to $250,000. Sentencing is scheduled for Nov. 28, 2023.
Koranteng and Yirenkyi remain charged in criminal complaints. The charges and allegations contained in the complaints against Koranteng and Yirenkyi are merely accusations, and they are presumed innocent unless and until proven guilty.
U.S. Attorney Sellinger credited special agents of Homeland Security Investigations Newark, under the direction of Special Agent in Charge Ricky J. Patel, with the investigation leading to today’s guilty plea. U.S. Attorney Sellinger also thanked the Moorestown Police Department for its assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
sarfoadu.information.pdfGlendive woman sentenced to more than three years in prison for stealing more than $119,000 from elderly man whose finances she managedRead the Press Release
MISSOULA — A Glendive woman convicted of stealing more than $119,000 from an elderly man whose finances she managed was sentenced today to three years and four months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Gina Larae Mann, aka Gina Larae Neva, 54, pleaded guilty in October 2022 to wire fraud, aggravated identity theft and money laundering.
U.S. District Judge Dana L. Christensen. The court also ordered $119,269 restitution.
“Mann preyed upon a recently widowed victim instead of helping him. Even worse, she helped herself by spending his money for her own benefit. Mann’s conduct destroyed the financial security, good credit, and peace of mind of an elderly man who trusted her. Our office will continue to hold accountable those who exploit the most vulnerable among us and I applaud Assistant U.S. Attorney Karla E. Painter and the IRS Criminal Investigation for investigating and prosecuting this case,” U.S. Attorney Laslovich said.
“Ms. Mann abused the trust of a vulnerable man for her financial gain. Now she will pay for her crimes by serving a federal prison sentence where she will not be able to take advantage of anyone else,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “As a community, it is our responsibility to care for our elders. As a law enforcement community, it is our duty to hold individuals accountable who abuse their position of trust and steal from the people that are under their care.”
The government alleged in court documents that Mann offered to help the victim, a recently widowed elderly man who was familiar with Mann and trusted her with his taxes and bookkeeping. After gaining control of the victim’s bank account, Mann stole more than $119,000 through various methods, including taking money directly from the victim and opening several lines of credit in his name without his knowledge.
The scheme caused the victim financial ruin and destroyed his credit. In a statement provided to the court, the victim said of Mann’s conduct, “She ruined my life and I will live with it for the rest of my life, trying to fix the mess she has created.”
Mann’s scheme began in early 2018 and continued until late 2019 when the victim discovered the fraud after receiving overdraft notices from a credit union. When interviewed, Mann told federal agents that the victim wanted to be a partner in her business and claimed she used ATM cash advances from a credit card to pay for her business location, car payments and insurance. Neither statement was true. The victim was not aware of and did not authorize any of Mann’s withdrawals or credit card transactions. The government further alleged that Mann transferred funds directly to her business and her own account, sent thousands of dollars to her husband and withdrew more than $1,000 at a casino and liquor store in Billings.
Assistant U.S. Attorney Karla E. Painter prosecuted the case. The IRS Criminal Investigation conducted the investigation.
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General Contractor Agrees to Plead Guilty to Tax EvasionRead the Press Release
BOSTON – The former owner of a general contracting business based in South Boston and Quincy has been charged and has agreed to plead guilty to concealing business income from the Internal Revenue Service (IRS).
John Michael Sacco, 52, formerly of Quincy, has agreed to plead guilty to one count of tax evasion. A plea hearing has not yet been scheduled by the Court.
According to the charging documents, Sacco managed construction projects under the name JMS Contracting. It is alleged that, from 2014 through 2021, Sacco received over $9 million from JMS’s customers. Rather than depositing JMS’s gross receipts into business bank accounts, Sacco allegedly cashed most checks from customers, used proceeds to purchase supplies and pay subcontractors in cash, and retained remaining cash to pay personal expenses. Sacco allegedly failed to issue required tax forms to its subcontractors and failed to file required forms with the IRS with respect to amounts that JMS paid to its subcontractors. By not reporting JMS’s actual receipts on tax returns that he filed for certain years and by filing no tax returns in other years, Sacco underreported his personal income tax obligations, causing a loss to the IRS of over $3 million.
The charge of tax evasion provides for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement. Assistant U.S. Attorney David M. Holcomb of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former USPS Employee Sentenced for Theft of MailRead the Press Release
NEW ORLEANS, LOUISIANA –LEON TINSON, age 59, of New Orleans, Louisiana was sentenced on July 19, 2023, by U.S. District Judge Sarah S. Vance to two years of probation and a $100 mandatory special assessment fee for theft of mail, announced U.S. Attorney Duane A. Evans.
This case was investigated by the United States Postal Inspection Service, Office of the Inspector General. Assistant United States Attorney David Berman of the Violent Crimes Unit handled the prosecution.
Former Part-Time Worker with Children’s Movement of Florida Indicted on Federal Child Exploitation ChargesRead the Press Release
MIAMI – A Miami federal grand jury has charged Rafael Antonio Saldana, 37, of Miami-Dade County, with coercion and enticement of a minor, production of child pornography and attempted coercion and enticement of a minor.
According to the indictment and underlying criminal complaint, law enforcement’s review of a 15-year-old boy’s phone revealed multiple sexually explicit images of the minor victim solicited by Saldana. In the days leading up to July 13, Saldana sent messages to the minor victim’s phone coordinating a time and location for the two to meet. It is alleged that Saldana planned over text to pick up the minor victim at a McDonald’s in Miami, then drive him to Saldana’s home to engage in sexual activity with Saldana and a third, unidentified individual. On July 13, Saldana arrived across the street from the McDonald’s in Miami to meet the minor victim. Law enforcement ultimately placed Saldana under arrest outside of his home.
Prior to his arrest, Saldana worked part-time at the Children’s Movement of Florida, an organization that advocates for early childhood learning opportunities and access to children’s health care.
If convicted, Saldana faces a mandatory minimum of 15 years in prison and up to 30 years in prison on the production of child pornography charge. He faces a mandatory minimum sentence of 10 years in prison and up to a lifetime in prison on the coercion and enticement of a minor and attempted coercion and enticement of a minor charges. If convicted of any of the charges, Saldana faces up to a lifetime of supervised release and will be required to register as a sex offender.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI), Miami, and Interim Director Stephanie V. Daniels of the Miami-Dade Police Department (MDPD), announced the charges.
HSI Miami and MDPD investigated the case. Assistant U.S. Attorney Audrey Pence Tomanelli is prosecuting the case.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, 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 the Project Safe Childhood initiative and for information regarding Internet safety, please visit www.justice.gov/psc.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-mj-03384.
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Former Missouri State Highway Patrol Inspector Sentenced to Prison for BriberyRead the Press Release
ST. LOUIS – U.S. District Judge Matthew T. Schelp on Thursday sentenced a former supervisory motor vehicle inspector with the Missouri State Highway Patrol to 15 months in prison for taking thousands of dollars in cash bribes.
Judge Schelp also ordered Larry S. Conrad, 67, to perform 100 hours of community service and pay a $20,000 fine, part of which represented the bribe money that he’d already spent.
At his guilty plea in April, Conrad admitted accepting a total of about $14,020 in individual bribes of $40 to $160 to falsify forms and approve inspections of vehicles that had been damaged and had salvage titles or were listed as “abandoned,” even if he never saw the vehicle.
Conrad “bypassed the entire safety system that was put in place by the state of Missouri and the Missouri State Highway Patrol to ensure that vehicles were safe to operate on our roads,” Assistant U.S. Attorney Hal Goldsmith said during Thursday’s hearing, “potentially placing unwitting drivers and other motorists in harm’s way.”
In a sentencing memorandum, Goldsmith wrote that Conrad accepted hundreds of bribes over at least six months before being caught.
After receiving a tip about Conrad’s conduct, investigators recorded Conrad taking cash bribes that had been placed in the driver’s side door pocket, the memo says. When he was approached by law enforcement on Sept. 29, 2022, Conrad lied and denied accepting any cash payments that day. After being told that there was audio and video evidence of the bribes, Conrad admitted accepting a small amount of cash, and took it out of his pocket. Pressed further, Conrad admitted accepting additional bribes that day, and took cash out of his pants pockets five different times, eventually admitting that he had taken $610 that day, the memo says. After falsely claiming that he kept money from other bribes in a safe, Conrad made a full confession and allowed the FBI to retrieve $6,565 in envelopes that he’d stashed underneath the rear seat of his personal truck.
Conrad issued passing motor vehicle inspections and certified motor vehicles which he had not even physically inspected, including at least one that was so “substantially damaged as not being in working and driving condition,” Goldsmith wrote. His actions “allowed for the sale of vehicles, some of which had latent and undisclosed damage, to unsuspecting individuals who unwittingly trusted that defendant and the Highway Patrol had conducted proper inspections,” Goldsmith wrote.
Conrad’s primary duty was to perform motor vehicle inspections at the Missouri State Highway Patrol’s Troop C facility in south St. Louis County. There is no fee for the inspections. If the vehicle passes, an inspector signs and certifies forms required for motor vehicle owners to apply for original Missouri Certificates of Title.
Conrad pleaded guilty to one felony charge of using a facility in interstate commerce, a cellular telephone, to facilitate his bribery scheme.
The case was investigated by the FBI, with the cooperation of the Missouri State Highway Patrol. Assistant U.S. Attorney Hal Goldsmith prosecuted the case.
Former Mississippi Department of Corrections Officer Pleads Guilty to Using Excessive Force Against an InmateRead the Press Release
A former corrections officer with the Mississippi Department of Corrections pleaded guilty today before U.S. District Judge Tom Lee for using excessive force against an inmate, involving the use of a dangerous weapon and resulting in bodily injury.
According to court documents and information presented in court, on July 11, 2019, Jessica Hill, a corrections officer at the Central Mississippi Correctional Facility, willfully deprived inmate L.C. of the Eighth Amendment right to be free from cruel and unusual punishment when the defendant, aiding and abetting others, struck L.C. with a cannister and repeatedly punched L.C. in the head even though L.C. was not resisting. Hill continued to strike L.C., who was lying on the ground in the fetal position, until fellow prison staff intervened to stop Hill’s assault.
“Prison officials who engage in such abuses of power endanger inmates and fellow staff members and will be held accountable for their actions,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Using violent physical force as punishment will not be tolerated. The Justice Department will continue to vindicate the Eighth Amendment right of prisoners to be free from cruel and unusual punishment at the hands of prison officials.”
“This defendant has now confessed her abusive conduct.” said U.S. Attorney Darren J. LaMarca for the Southern District of Mississippi. “She and all others entrusted with the protection of society must conduct themselves with self-discipline and under the law. Clearly, she violated her oath, and now will be held accountable.”
“Our citizens serving time for crimes committed against the public deserve the safety and protection from harm by those officials who are charged with their care,” said Acting Special Agent in Charge Maher Dimachkie of the FBI Jackson Field Office. “Ms. Hill’s blatant disregard for the rights afforded under the Eighth Amendment is a disservice to those in the penal system, the corrections officers who take pride in their profession. The FBI remains committed to protecting all citizens we serve.
Hill faces a maximum penalty of 10 years in prison. Her sentencing is scheduled for Oct. 25.
The FBI Jackson Field Office is investigating the case.
Trial Attorney Eric Peffley of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Glenda Haynes for the Southern District of Mississippi are prosecuting the case.
Former Mississippi Department of Corrections Officer Pleads Guilty to Using Excessive Force Against an InmateRead the Press Release
A former corrections officer with the Mississippi Department of Corrections pleaded guilty today before U.S. District Judge Tom Lee for using excessive force against an inmate, involving the use of a dangerous weapon and resulting in bodily injury.
According to court documents and information presented in court, on July 11, 2019, Jessica Hill, a corrections officer at the Central Mississippi Correctional Facility, willfully deprived inmate L.C. of the Eighth Amendment right to be free from cruel and unusual punishment when the defendant, aiding and abetting others, struck L.C. with a cannister and repeatedly punched L.C. in the head even though L.C. was not resisting. Hill continued to strike L.C., who was lying on the ground in the fetal position, until fellow prison staff intervened to stop Hill’s assault.
“Prison officials who engage in such abuses of power endanger inmates and fellow staff members and will be held accountable for their actions,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Using violent physical force as punishment will not be tolerated. The Justice Department will continue to vindicate the Eighth Amendment right of prisoners to be free from cruel and unusual punishment at the hands of prison officials.”
“This defendant has now confessed her abusive conduct.” said U.S. Attorney Darren J. LaMarca for the Southern District of Mississippi. “She and all others entrusted with the protection of society must conduct themselves with self-discipline and under the law. Clearly, she violated her oath, and now will be held accountable.”
“Our citizens serving time for crimes committed against the public deserve the safety and protection from harm by those officials who are charged with their care,” said Acting Special Agent in Charge Maher Dimachkie of the FBI Jackson Field Office. “Ms. Hill’s blatant disregard for the rights afforded under the Eighth Amendment is a disservice to those in the penal system, the corrections officers who take pride in their profession. The FBI remains committed to protecting all citizens we serve.
Hill faces a maximum penalty of 10 years in prison. Her sentencing is scheduled for Oct. 25.
The FBI Jackson Field Office is investigating the case.
Trial Attorney Eric Peffley of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Glenda Haynes for the Southern District of Mississippi are prosecuting the case.
Former Jacksonville Sheriff’s Office Correctional Officer Pleads Guilty to COVID Relief FraudRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces that Deconna Burke (34, Jacksonville) has pleaded guilty to wire fraud involving COVID Relief Fraud through the Paycheck Protection Program. Burke faces a maximum penalty of 20 years in federal prison and payment of restitution to the United States government. No sentencing date has been set.
According to court documents, in April 2021, Burke submitted a Paycheck Protection Program (PPP) loan application to a lender authorized by the Small Business Administration (SBA) to lend funds for approved PPP loan applications. The PPP loan application falsely claimed that Burke operated his own babysitting business with a gross income of $98,000. Throughout the loan application, Burke made multiple false statements regarding his purported payroll and operating expenses. In support of his PPP loan application, Burke submitted a false IRS Form 1040 “Profit or Loss From Business” that contained false statements about operating expenses, gross income, and wage expenditures for his purported business. In reliance on the false statements in his PPP loan application and supporting documentation, Burke received a PPP loan in the amount of $20,415. After receiving the PPP loan proceeds into his bank account, Burke began making withdrawals and spending it on personal expenses, including paying off a loan for a motorcycle. In November 2021, Burke filed a PPP Loan Forgiveness Application, falsely stating that he spent the $20,415 on payroll. In reliance on his false statements the SBA forgave the entire loan amount.
This case was investigated by the Jacksonville Sheriff’s Office and the United States Secret Service – Jacksonville Field Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein. The asset forfeiture is being handled by Assistant United States Attorney Mai Tran.
In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866‑720‑5721 or via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Florida Woman Sentenced to 51 Months in Prison for Defrauding Holocaust Survivor of $2.8 Million in Connection with Romance ScamRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that PEACHES STERGO was sentenced by U.S. District Judge Edgardo Ramos to 51 months in prison in connection with her years-long scheme to defraud an 87-year-old Holocaust survivor of his life savings.
U.S. Attorney Damian Williams said: “Peaches Stergo callously defrauded an 87-year-old Holocaust survivor who was simply looking for companionship. She used the millions of dollars in fraud proceeds to live a life of luxury at the victim’s expense. But she did not get away with it. As today’s sentence demonstrates, perpetrators of romance scams will be held to account for their crimes.”
According to the Indictment and other filings and statements made in court:
From at least in or about May 2017, up to and including at least October 2021, STERGO engaged in a scheme to defraud an 87-year-old Holocaust survivor (the “Victim”) of over $2.8 million, which was his life savings.
STERGO met the Victim on a dating website approximately seven years ago. In or about early 2017, STERGO asked the Victim to borrow money to pay her lawyer, who she claimed was refusing to release funds from an injury settlement. After the Victim gave her the money, STERGO said the settlement funds had been deposited into her TD Bank account. In reality, bank records show STERGO never received any money from an injury settlement.
Over the next four and a half years, STERGO continued her lies. She repeatedly demanded that the Victim deposit money into her bank accounts. She claimed that if he did not, her accounts would be frozen, and he would never be paid back. In total, the Victim wrote 62 checks — totaling over $2.8 million — that were deposited into one of two of STERGO’s bank accounts.
In furtherance of the fraud, STERGO created a fake email account, intended to appear as if it belonged to a TD Bank employee. She also created fake letters from a TD Bank employee and fake invoices.
STERGO called defrauding the Victim her “business.” Once, STERGO told her real significant other that the Victim had said he “loved” her. STERGO thought that her successful manipulation of the Victim’s emotions was humorous, following up her message with “lol.” She also joked in a text message that the Victim was “broke” — that “[h]e don’t have anything else to pawn.” But when the scam was over — when the Victim was no longer sending STERGO money — she was upset, not because she felt bad for the Victim or had a sense of remorse, but because she was unwilling to earn money though legitimate employment; she preferred to be a fraudster. As she said in a text message, “I am just aggravated hurt frustrated that I haven’t made money . . . I don’t want to work . . . it’s too hard.”
While the Victim lost his life savings and was forced to give up his apartment, STERGO lived a life of luxury with the millions she received from the fraud: she bought a home in a gated community, a condominium, a boat, and numerous cars, including a Corvette and a Suburban. During the course of the fraud, STERGO also took expensive trips, staying at places like the Ritz Carlton, and spent many tens of thousands of dollars on expensive meals, gold coins and bars, jewelry, Rolex watches, and designer clothing from stores like Tiffany, Ralph Lauren, Neiman Marcus, Louis Vuitton, and Hermes.
In imposing today’s sentence, Judge Ramos noted that STERGO’s conduct was “unspeakably cruel” and motivated by “greed.”
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In addition to her prison term, STERGO, 36, of Champions Gate, Florida, was sentenced to three years of supervised release and ordered to pay restitution in the amount of $2,830,775 and forfeit the same amount, including the home she purchased in a gated community and over 100 luxury items she purchased with fraud proceeds, including Rolex watches, designer purses and clothing, and large amounts of gold and jewelry.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Adam Sowlati is in charge of the prosecution.
Florida Man Found Guilty of Federal Hate Crimes for Racially Motivated Attack Against Six Black Men Near 1923 Rosewood Massacre SiteRead the Press Release
After two hours of deliberation, a jury in Gainesville, Florida, convicted David Emanuel, 62, on all counts for committing hate crimes for his racially motivated attack on a group of Black men who were surveying land along a public road in Rosewood, Florida.
On March 15, Emanuel was charged with willfully intimidated of the victims, F.D.D., and attempted to injure and intimidate F.D.D. through the use Emanuel’s vehicle, because of F.D.D.’s race and color and because F.D.D. was using a public facility. Emanuel was also charged for willfully intimidating and attempting to intimidate five additional victims, through the use of Emanuel’s vehicle because of the victims’ race and color and because the victims were using a public facility. According to the indictment, all six victims were Black males who were surveying land owned by one of the victims at the time of the offenses.
Evidence at trial proved that on Sept. 6, 2022, Emanuel found the victims surveying land adjacent to a public roadway near the location of the 1923 Rosewood Massacre. When the defendant came upon the victims, who were on the public roadway, he shouted racial slurs and expletives at them, including “[racial slur] get out of these woods” before driving a pickup truck directly at the group, nearly striking one of them. At trial, one witness testified that Emanuel admitted that he “came at those [expletives],” and that he “would have [expletive]d up all those Black [expletive]. Video evidence showed that after he was arrested, Emanuel complained that he was “getting treated like this [expletive] over a [expletive] [racial slur].” One witness testified that the defendant came “within inches” of striking one of the victims and that one victim, “nearly lost his life that day.” No victims suffered physical injury as a result of the defendant’s racially motivated attack.
“This defendant is being held accountable for intimidating a group of men and weaponizing his vehicle to attack them,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “As we marked 100 years since the horrific 1923 Rosewood Massacre, this verdict should send a strong message that violent, racially motivated conduct will not be tolerated in our society. The Justice Department is committed to aggressively enforcing our federal civil rights laws.”
“Despicable, hate-fueled crimes such as these have no place in our state or country,” said U.S. Attorney Jason R. Coody for the Northern District of Florida. “The violence directed toward these victims, based solely on their race, is abhorrent and will not be tolerated. With the dedicated assistance of our law enforcement partners, we will continue to aggressively investigate and prosecute civil rights violations to ensure justice for those victimized by hate.”
“Horrific acts of hate-motivated violence like this are devastating to families and communities,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI is fiercely committed to investigating civil rights violations and holding perpetrators accountable.”
The FBI Jacksonville Field Office and Gainesville Resident Agency investigated the case, with assistance from the Levy County Sheriff’s Office.
Assistant U.S. Attorneys Kaitlin Weiss and Frank Williams for the Northern District of Florida and Trial Attorney Laura-Kate Bernstein of the Civil Rights Division’s Criminal Section are prosecuting the case.
Federal jury convicts Anaconda man of attempted coercion, possession of child pornographyRead the Press Release
MISSOULA — A federal jury on July 26 convicted an Anaconda man who was arrested in an undercover investigation of attempting to coerce and entice a minor into engaging in sexual intercourse and of possessing child pornography, U.S. Attorney Jesse Laslovich said.
After a three-day trial that began on July 24, the jury found Christopher Todd Boudreau, 42, guilty of attempted coercion and enticement and possession of child pornography. Boudreau faces a mandatory minimum of 10 years to life in prison, a $250,000 fine and five years to life of supervised release.
U.S. District Judge Donald W. Molloy presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. The court set sentencing for Nov. 29. Boudreau was detained pending further proceedings.
“Our office will not relent in our pursuit of those adults, like Boudreau, who seek to have sex with minors and possess thousands of images of child pornography. It is the kind of conduct that has no place in our society, especially because it harms and sexually exploits children, which is why we will do everything we can to protect children from those who attempt to abuse them. I am grateful to Assistant U.S. Attorneys Zeno B. Baucus and Brian C. Lowney for prosecuting this case and the FBI’s Child Exploitation and Human Trafficking Task Force and Missoula County Sheriff’s Office for conducting the investigation,” U.S. Attorney Laslovich said.
In court documents and at trial, the government alleged that in July 2022, law enforcement, working in an undercover capacity on the internet, received a “friend request” from Boudreau. The undercover provided a phone number, and Boudreau initiated a text conversation. The undercover identified herself as a juvenile girl in the initial messages. Communications progressed, and Boudreau arranged to meet the undercover in Missoula. Boudreau repeatedly indicated his interest to engage in intimacy and stated that intimacy meant “sex.” Law enforcement arrested Boudreau on July 28, 2022, after he arrived at a location to meet the undercover. Law enforcement served a search warrant on Boudreau’s residence and found electronic media that contained thousands of images and videos of child pornography. In a search of Boudreau’s vehicle, law enforcement found condoms, candy and his phone.
Assistant U.S. Attorneys Zeno B. Baucus and Brian C. Lowney are prosecuting the case. The FBI’s Child Exploitation and Human Trafficking Task Force and Missoula County Sheriff’s Office conducted the investigation.
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. Attorney’s 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.
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Farley Man Sentenced for Sexually Assaulting Minor Victim to Produce, Distribute Child PornographyRead the Press Release
KANSAS CITY, Mo. – A Farley, Mo., man was sentenced in federal court today for sexually assaulting a minor child victim to produce child pornography and distribute it to others through the Kik application.
Andrew J. McCardie, 36, was sentenced by U.S. District Judge Brian C. Wimes to 40 years in federal prison without parole. McCardie 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 Feb. 23, 2023, McCardie pleaded guilty to two counts of producing child pornography and one count of distributing child pornography.
McCardie communicated with individuals through the Kik application beginning in January 2022, using a screen name to indicate he was willing and able to produce child pornography and distribute to other persons. McCardie produced 19 images and videos of child pornography involving a minor child victim on Feb. 11 and 12, 2022. Most of these were created live, meaning he was recording himself actively sexually abusing the child victim while communicating with other persons over Kik, and sending those images and videos to them during the abuse.
On March 5, 2022, McCardie created another live video during his sexual abuse of the child victim. McCardie didn’t know he was communicating with an undercover law enforcement officer through Kik. McCardie told the undercover officer he had been “doing these requests on Kik for a couple years now” and discussed how to sexually abuse a child. During this conversation, McCardie sent the undercover officer a screenshot of a chat he was having with the Kik user he produced the video for, in order to prove he had created the video live.
On March 6, 2022, law enforcement officers executed a search warrant at McCardie’s residence. The entry team attempted to take control of McCardie near the entrance of the residence but he resisted, initially holding a firearm as officers entered. McCardie was brought out into the yard, where he continued to resist before being handcuffed and placed under arrest. McCardie attempted to hide his iPhone in the bedroom closet, but officers found the phone and seized it in order to conduct a forensic investigation.
McCardie’s Kik account included 218 images and videos of child pornography. McCardie sent 58 separate videos and images of child pornography to other Kik users, and had received more than 200 images and videos of child pornography from other Kik users between Jan. 2 and March 7, 2022.
This case was prosecuted by Assistant U.S. Attorney Kenneth W. Borgnino. It was investigated by the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
District Man Sentenced to 10 Years for Child Sexual AbuseRead the Press Release
Defendant Sexually Abused a Minor Child Over a Six-Month Period
WASHINGTON –Mikeale Frazier, 24, of the District of Columbia, was sentenced, on July 25, 2023, to 10 years in prison for first degree child sexual abuse, announced U.S. Attorney Matthew M. Graves, Acting Special Agent in Charge Sarah Linden, of the FBI Washington Field Office’s Criminal and Cyber Division, and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).
Frazier pleaded guilty on October 25, 2022, in the U.S. District Court for the District of Columbia. In addition to the prison term, U.S. District Court Judge Amy Berman Jackson ordered 10 years of supervised release.
According to the government’s evidence, Frazier sexually abused a fourteen-year-old minor child for approximately six months. When a relative of the minor victim told Frazier to stay away from the victim due to her age, Frazier continued to sexually abuse the minor victim. Frazier also recorded a video of his sexual abuse of the minor victim.
Frazier was arrested on June 21, 2021, and has been in custody since.
This case was investigated by the Metropolitan Police Department’s Youth Division with assistance from the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force. The task force is composed of FBI agents, along with other federal agents and detectives from northern Virginia and the District of Columbia. The task force is charged with investigating and bringing federal charges against individuals engaged in the exploitation of children and those engaged in human trafficking.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
In announcing the plea, U.S. Attorney Graves, Acting Special Agent in Linden, and Acting Chief Smith commended the work of those who investigated the case from FBI Child Exploitation and Human Trafficking Task Force as well as the Metropolitan Police Department’s Youth Division. They also expressed appreciation for the efforts of those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialist Alexis Spencer-Anderson, Victim/Witness Advocate Yvonne Bryant, and Assistant U.S. Attorney Janani Iyengar.
Defendants in Tyngsborough Daycare Investigation IndictedRead the Press Release
BOSTON – Two New Hampshire women have been indicted by a federal grand jury in Boston in connection with the sexual exploitation of children at a daycare in Tyngsborough, Mass.
Lindsay Groves, 38, of Hudson, N.H. and Stacie Marie Laughton, 39, of Nashua, N.H., were indicted on three counts each of sexual exploitation of children. Groves is also charged with one count of distribution of child pornography.
Laughton will appear in federal court in Boston tomorrow, July 28, 2023 at 10:15 a.m. Groves will appear at a later date. The defendants were previously charged by criminal complaint with sexual exploitation of children and distribution of child pornography on June 22, 2023 and July 18, 2023. Both defendants remain in custody.
“Ensuring the safety of our children is one of the highest priorities for this office. The conduct alleged today is horrific and inexplicable. This case is a reminder of how critical it is that we continue to focus on people who prey on our most vulnerable population, children. The U.S. Attorney’s Office will never let up in our efforts to investigate and prosecute child exploitation. Perpetrators will be rooted out and aggressively pursued by this office,” said Acting United States Attorney Joshua S. Levy.
“These allegations are every parent’s worst nightmare. The individuals in today’s indictments are alleged to have collaborated to take advantage of trusted access to children to create exploitative material,” said Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England. “Homeland Security Investigations and our partners will never cease in our pursuit of those who prey upon children.”
According to the charging documents, Groves worked at Creative Minds located in Tyngsborough, Mass. It is alleged that, between May 2022 and June 2023, Groves took nude images of children at the day care and sent the photos to Laughton. Specifically, Groves allegedly used natural bathroom breaks for the children (routine diaper/pull-up changes prior to “naptime”) to take multiple photos of the prepubescent children in a private bathroom and then send the photos to the individual via text message.
According to the charging documents, a preliminary forensic review of Groves’ cellphone allegedly revealed over 10,000 text messages between Laughton and Groves that included discussion about, and transfer of, explicit photographs that Groves had taken of children while employed at Creative Minds daycare – including at least four sexually explicit images of three three-year-old children who were students at the daycare, as well as explicit descriptions of sex with each other and others, including children. The investigation remains ongoing.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274. Case information, including links to charging documents and victim resources, can be found here: https://www.justice.gov/usao-ma/victim-and-witness-assistance-program/united-states-v-lindsay-groves
The charge of sexual exploitation of children provides for a sentence of at least 15 years and up to 30 years in prison, and distribution of child pornography provides for a sentence of at least five year and up to 20 years in prison. Both offenses provide for at least five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting U.S. Attorney Levy; HSI Acting SAC Krol; and Nashua (N.H.) Police Chief Kevin Rourke made the announcement today. Valuable assistance was provided by the U.S. Attorney’s Office for the District of New Hampshire; Middlesex County District Attorney’s Office; and the Hudson, N.H. Police Department. Assistant U.S. Attorneys Anne Paruti and Jessica L. Soto of the Major Crimes Unit are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The referenced media source is missing and needs to be re-embedded.Defendants Convicted and Sentenced to Federal Prison in Long-Term Methamphetamine Drug Trafficking Investigation in Washington CountyRead the Press Release
PENSACOLA, FLORIDA – A federal judge sentenced the fourth defendant in a large-scale methamphetamine trafficking organization operating primarily in Washington County. The convictions and sentences were announced by Jason R. Coody United States Attorney for the Northern District of Florida.
The defendants and their sentences were:
• Ashley Zurica, 43, of Caryville, Florida, 220 months in prison
• Ashley Brown, 41, of Caryville, Florida, 180 months in prison
• Donald Skipper, 55, of Chipley, Florida, 180 months in prison
• William Carter, 52, of Wausau, Florida, 168 months in prison“Methamphetamine distribution is a scourge on large and small communities of our district,” stated U.S. Attorney Coody. “With our dedicated law enforcement partners, we are committed to identifying and aggressively prosecuting those who threaten our citizens’ health and safety by distributing such addictive, controlled substances. These sentences demonstrate that resolve.”
All will be on supervised release when they are eventually released from custody.
In 2019, the Drug Enforcement Administration (DEA) Panama City Resident Office Task Force initiated an investigation targeting the distribution of multiple kilograms of methamphetamine by Ashley Zurica, Ashley Brown, Donald Skipper, William Carter, and others in Washington county and surrounding areas of north Florida. Over the course of the three-year investigation, DEA, working with state and local partners, compiled evidence to secure indictments on four Federal defendants in the Northern District of Florida in addition to indictments in other federal districts and multiple State of Florida defendants. The investigation led to the seizure of several kilograms of methamphetamine, and the identification of illegal drug sources in Florida, Alabama, and Georgia.
“Our work with the U.S. Attorney’s office for the Northern District of Florida and DEA is resulting in convictions and removing illegal narcotics from our community,” said Washington County Sheriff Kevin Crews. “We remain committed to working with our federal, local, and state law enforcement partners to keep these highly addictive and destructive drugs out of our community.”
“Methamphetamine is a highly addictive and destructive substance, which can inflict great harm to our communities,” said DEA Miami Field Division Special Agent in Charge Deanne L. Reuter. “The success of this investigation is a direct result of the collaboration between the DEA Miami Field Division and our local, state, and federal law enforcement partners, working together to keep our communities safe and healthy.”
This case resulted from a joint investigation by the Drug Enforcement Administration, the Washington County Sheriff’s Office, Chipley Police Department, the Bay County Sheriff’s Office, the Florida Department of Law Enforcement, and the Washington County State’s Attorney Office. Assistant United States Attorney Walter Narramore prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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.
Dallas County Man Sentenced to 25 years in Federal Prison in Connection with Donut Shop RobberiesRead the Press Release
SHERMAN, Texas – A Mesquite man has been sentenced to 25 years in federal prison for violent criminal activity in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Tony Sullivan, 28, pleaded guilty to conspiracy to interfere with interstate commerce by robbery; aiding and abetting; conspiracy to kidnap; using, carrying, and brandishing a firearm during and in relation to a crime of violence. Sullivan was sentenced to 300 months in federal prison on July 26, 2023, by U.S. District Judge Amos Mazzant.
“Sullivan has been justly punished for subjecting innocent victims to his spree of violence between April 2019 and August 2019,” said U.S. Attorney Damien M. Diggs. “Today’s sentence sends a powerful message to those who use violence and fear to carry out their crimes.”
“The defendant targeted a close-knit community of successful business owners, inciting fear throughout the metroplex. His victims were stalked and terrorized, some for hours and some to the brink of death, and all have a long road of recovery ahead,” said Dallas FBI Special Agent in Charge Chad Yarbrough. “Law enforcement utilized proactive investigative techniques that thwarted future attacks and led to the dismantlement of a criminal enterprise that had no intention of stopping. We cannot allow violent crimes to erode the value of community in our hometowns; law enforcement will continue to work together to bring violent offenders to justice and protect our residents.”
According to information presented in court, the FBI began an investigation into a series of home invasion type robbery incidents between April 2019 and December 2019 that targeted owners and operators of donut stores in the Dallas-Fort Worth Metroplex area. The robberies occurred late in the evening or very early in the morning before the shopkeepers departed for work. The assailants would force their way into the home and assault the home’s occupants. Victims were often beat with baseball bats and bound with duct tape while being held at gunpoint. At least nine robberies have been attributed to this crime spree. Due to the times of the robberies coinciding with the times the victims would have been leaving their residences to open their businesses, agents concluded the suspects had to have conducted physical surveillance to determine where the victims lived and when the victims would have been leaving their residences. On the evening of July 8, 2019, officers in Euless, Texas, received a call from a witness reporting an individual stumbling down his street with his hands bound by tape. The victim had a bleeding head wound and was transported to a hospital. The victim advised he returned home from his donut shop in Dallas to find two suspects in his residence. He was bound and beat with a baseball bat and ordered to open a safe. The assailants left with the victim’s car keys, cellular phone, approximately $9,500 from the safe, and approximately $900 from his wallet. Law enforcement agents utilized footage from surveillance videos, cell phone site data, and data extracted from cellular phones to determine Sullivan participated in the attack.
This case was investigated by the Federal Bureau of Investigation’s Dallas Violent Crimes Task Force, which includes the Dallas Police Department, the Garland Police Department, the Grand Prairie Police Department, the Richardson Police Department and the Texas Department of Public Safety. Other investigating agencies who assisted in the investigation are the Bureau of Alcohol Tobacco and Firearms (ATF), the Carrollton Police Department, the Coppell Police Department, the Dallas Police Department, the Dalworthington Gardens Police Department, the Euless Police Department, and the Flower Mound Police Department. The case was prosecuted by Assistant U.S. Attorney Ernest Gonzalez.
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Connecticut Man Sentenced to 121 Months for Alien Smuggling and Child Pornography PossessionRead the Press Release
PLATTSBURGH, NEW YORK – Jose Angel Portillo-Lopez, age 72, of Norwalk, Connecticut, was sentenced yesterday to serve 121 months in federal prison for conspiracy to commit alien smuggling, and possession of child pornography.
The announcement was made by United States Attorney Carla B. Freedman, Chief Patrol Agent Robert Garcia, United States Border Patrol, Swanton Sector, and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
In pleading guilty, Portillo-Lopez admitted that in April of 2021, he traveled to the northern border in Burke, New York, where he assisted in the smuggling of four Vietnamese nationals from Canada into the United States for profit. Further, the investigation revealed, and Portillo-Lopez admitted, that he possessed videos of child pornography on his cellphone.
United States District Judge David N. Hurd also ordered that Portillo-Lopez serve a 10-year term of supervised release following his release from prison.
This case was investigated by the United States Border Patrol, Burke & Champlain Stations, and Homeland Security Investigations (HSI) and was prosecuted by Assistant U.S. Attorney Jeffrey C. Stitt.
Connecticut Man Sentenced to Prison for Trafficking at Least 32 “Ghost Guns”Read the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MELVIN BURROUGHS was sentenced today by U.S. District Judge Andrew L. Carter, Jr., to 58 months in prison for trafficking firearms. BURROUGHS previously pled guilty to trafficking firearms and conspiring to traffic firearms.
U.S. Attorney Damian Williams said: “Illegal firearms — and in particular ghost guns — are a scourge to our community. Melvin Burroughs built and sold a veritable armory of ghost guns, and he now faces prison time for his crimes.”
According to the Superseding Information and statements made in court proceedings and filings:
From approximately 2019 through approximately January 2022, BURROUGHS purchased the parts for “ghost guns,” assembled the parts into completed firearms, and then illegally sold the working and completed firearms.
On March 14, 2021, BURROUGHS exited his house in Ansonia, Connecticut, with a handgun and — in broad daylight — discharged five rounds at two men who had approached his house. Still images of that broad daylight shooting are below:
The Ansonia Police Department searched the defendant’s house the next day. Law enforcement officers located two completed Glock-style privately made firearms (commonly known as “ghost guns”) and a .50-caliber Desert Eagle pistol that had been reported stolen in Georgia. Law enforcement officers also recovered a custom-made red and black AR-15-style rifle with the words “SUU WHOOP” inscribed on it. “Suu whoop” is a gang call of the Bloods street gang, and red is the color of the Bloods street gang. In addition, law enforcement agents recovered large quantities of ammunition, various gun parts, tools for making ghost guns, and a flamethrower. Photographs of certain of the materials seized from the defendant’s house are below:
In connection with the shooting and search of his residence, BURROUGHS was charged in the Superior Court of Connecticut – Ansonia-Milford Judicial District in Milford, Connecticut, with Connecticut state offenses and was released on bail conditions.
On January 8, 2022 — while on bail for the shooting — BURROUGHS was arrested in Westchester County, New York, with kits to build 17 ghost guns, a completed lower receiver[1] for an AR-15 rifle, 15 extended magazines, and an 18-inch machete. A photograph of the items seized from BURROUGHS on January 8, 2022, is below:
After BURROUGHS was arrested on January 8, 2022, law enforcement agents searched multiple cellphones belonging to BURROUGHS pursuant to search warrants. Evidence on those cellphones, including text message communications, videos, and photographs, established that BURROUGHS has been unlawfully selling firearms since approximately 2019. In particular, BURROUGHS’s gun trafficking business involved purchasing ghost gun parts online or at gun shows, building the ghost guns at his home, and then selling the completed firearms. One of BURROUGHS’s cellphones contained a photograph of 15 ghost gun kits that BURROUGHS purchased in approximately February 2021.
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In addition to the prison term, BURROUGHS, 36, of Ansonia, Connecticut, was sentenced to three years of supervised release.
Mr. Williams praised the outstanding investigative work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Mr. Williams also thanked the New York City Police Department, the Ansonia Police Department, the Westchester County District Attorney’s Office, the Connecticut Office of the State’s Attorney for Ansonia-Milford, and the U.S. Attorney’s Office for the District of Connecticut for their assistance in the case.
The case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorney Kevin Mead is in charge of the prosecution.
[1] A “lower receiver” or “frame” is the bottom part of a firearm and the basic unit of a firearm, which, in an AR-15 rifle, houses parts related to the trigger, magazine, and hammer.
Columbia Man Sentenced to 160 Months in Federal Prison for Gun and Drug OffensesRead the Press Release
COLUMBIA, SOUTH CAROLINA — Enoch Palmer, 24, of Columbia, was sentenced to 160 months in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition and possession with the intent to distribute marijuana.
Evidence presented to the court showed that on February 20, 2022, an officer with the West Columbia Police Department performed a traffic stop on Palmer for driving without headlights. Palmer was the sole occupant of the vehicle, which was registered to him, and he was driving with a suspended license. Palmer was arrested for the license violation and law enforcement found a large quantity of marijuana underneath the driver’s seat of the car.
On April 24, 2022, Palmer, a member of a street gang, made a social media video threatening to retaliate against rival gang members after his involvement in an altercation. The following day, the City of Columbia Police Department (CPD) responded to a ShotSpotter alert on Millwood Ave and recovered 9 7.62x39mm shell casings. Through further investigation, CPD officers recovered surveillance video of Palmer leaning out of the driver’s side of a car while firing an Ak-47 style pistol across Millwood Avenue towards a group of people. Palmer shot a rival gang member in the upper body. The victim was released from the hospital with non-life-threatening injuries.
Senior United States District Judge Cameron McGowan Currie sentenced Palmer to 160 months in prison, consisting of 60 months for marijuana charge and 100 months for the felon-in-possession charge, followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the West Columbia Police Department, City of Columbia Police Department, Midlands Gang Task Force, and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant U.S. Attorneys Elle Klein and Lamar J. Fyall are prosecuting the case.
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Columbia Man Sentenced to 10 Years on Federal Drug ChargeRead the Press Release
COLUMBIA, SOUTH CAROLINA — Arma Victor Strong, III, 33, of Columbia, was sentenced to 10 years in federal prison after pleading guilty in federal court to possession with intent to distribute a quantity of methamphetamine, cocaine, and marijuana.
Evidence presented to the court showed that on July 8, 2021, a Richland County Sheriff’s Department investigator on surveillance in an unmarked car in a motel parking lot on Nates Road saw a person walk over to an occupied car and engage in a drug deal. As the person walked away from the car, the deputy saw and took a photo of what appeared to be narcotics in the person’s hand.
As the car left the area, the deputy radio’ed a marked patrol unit, which later conducted a traffic stop of the car on Two Notch Road after observing traffic violations. Due to the strong smell of marijuana coming from the car, the car was searched and a shoebox containing marijuana, pills containing methamphetamine, and cocaine was located in the backseat. Strong, the driver, admitted possessing the drugs and having distributed some earlier.
Strong faced increased penalties based on prior felony state convictions for possession of cocaine and possession with intent to distribute cocaine.
United States District Judge Mary Geiger Lewis sentenced Strong to 120 months in prison, to be followed by a 6-year term of court-ordered supervision. There is no parole in the federal system.
During the sentencing hearing, the Government also moved to estreat a portion of Strong’s surety bond, which was revoked last month after he violated conditions of release. The court granted the motion to estreat and ordered that 10% of the surety bond be estreated.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Richland County Sheriff’s Department. Assistant U.S. Attorney Stacey D. Haynes prosecuted the case.
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Cleveland Man Found Guilty of Illegally Possessing a Firearm and AmmunitionRead the Press Release
AKRON – Reggie Jordan was found guilty of being a Felon in Possession of a Firearm and Ammunition today by a jury after a 3 day trial before U.S. District Judge John Adams. The jury also agreed to forfeit Mr. Jordan’s interest in six firearms that were seized from his residence.
According to court documents and testimony, Sergeant Marlon Wills, a Cleveland Police Detective assigned to the FBI Safe Streets Task Force was monitoring social media pages of several suspected local gangs when he observed the Defendant post a video from a local shooting range where he was showing off five firearms. Video surveillance from the range showed Jordan firing the weapons. A search warrant of his residence was conducted and six total firearms were discovered which included an AK-47, a Draco, a stolen firearm, and several large capacity magazines. Jordan has prior convictions for Aggravated Robbery, Drug Trafficking, and Drug Possession from Cuyahoga County Common Pleas Court.
Sentencing is scheduled for November 15, 2023.
This case was investigated by the Cleveland Police Department, the FBI Safe Streets Task Force, and the Bureau of Alcohol, Tobacco, and Firearms. It was prosecuted by Assistant U.S. Attorneys Joe Dangelo and Pete Daly.
Charleston Man and Woman Sentenced to Prison for Fentanyl CrimeRead the Press Release
CHARLESTON, W.Va. – Today, Kenneth Desaun Hayway, 38, of Charleston, was sentenced to three years and one month in prison, to be followed by four years of supervised release, and Hannah Elizabeth Barbee, 30, of Charleston, was sentenced to four years and nine months in prison, to be followed by four years of supervised release. Hayway and Barbee were sentenced for conspiracy to distribute 40 grams or more of a mixture containing a detectable amount of fentanyl.
According to court documents and statements made in court, Hayway sold fentanyl to a confidential informant asking to purchase heroin on August 15, 2022, and August 19, 2022, in Charleston. Hayway further admitted to organizing the sale of fentanyl with Barbee and co-defendant Khalif Marquee Coleman to a confidential informant seeking heroin on August 19, 2022, at Barbee’s Chesterfield Avenue residence in Charleston.
Barbee admitted to selling fentanyl to a confidential informant seeking heroin on six occasions between August 5, 2022, and September 27, 2022, at her Chesterfield Avenue residence. On September 28, 2022, law enforcement officers executed a search warrant at Barbee’s residence and found mixtures containing fentanyl totaling 55.97 grams, scales, drug packaging materials, and $5,926. Some of the cash recovered during the search was prerecorded buy money from the sales to confidential informants.
Coleman, 35, of Charleston, was sentenced to three years and 10 months in prison on July 20, 2023, after pleading guilty to conspiracy to distribute 40 grams or more of a mixture containing a detectable amount of fentanyl.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the Metropolitan Drug Enforcement Network Team (MDENT), and the assistance provided by the Drug Enforcement Administration (DEA) Mid-Atlantic Laboratory.
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney Julie M. White prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-198.
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Cedar Rapids Man Who Transported Hundreds of Pounds of Methamphetamine from California Sentenced to Federal PrisonRead the Press Release
A man who regularly transported methamphetamine from California to Iowa for a Cedar Rapids drug trafficking organization was sentenced July 25, 2023, to more than 16 years in federal prison.
Calub Joseph Storlie, age 35, from Cedar Rapids, Iowa, received the prison term after a December 7, 2023 guilty plea to one count of conspiracy to distribute methamphetamine and one count of being an unlawful drug user in possession of a firearm.
Information provided at sentencing and evidence presented in a prior hearing showed that Storlie took numerous trips to California between 2017 and 2020 to obtain ice methamphetamine for David Belton. Storlie eventually recruited a relative, Albert Bailey, to join him on the trips, and each was paid about $2,000 per trip as well as expenses. On these trips, Storlie commonly drove a “trap car” with a false compartment inside to transport the drugs. That “trap car” was seized by law enforcement in 2020 with documents indicating that the insurance for the car was in Storlie’s name and 30 pounds of ice methamphetamine was found inside the false compartment.
During a wiretap investigation conducted by the Drug Enforcement Administration in Cedar Rapids in late 2021 and early 2022, Bailey was discovered to be a driver for a group of individuals who were purchasing ice methamphetamine in California and selling it in eastern Iowa. Bailey traveled to California and then drove between 30 and 60 pounds of methamphetamine back to Iowa, where other individuals sold it. In February 2022, intercepted communications over the wiretap indicated that Bailey would be transporting methamphetamine from California to Iowa. Investigators tracked Bailey’s vehicle and stopped it in York County, Nebraska. During a search of the vehicle, investigators located and seized approximately 60 pounds of ice methamphetamine. Immediately following the seizure of the methamphetamine in Nebraska, Storlie was intercepted on the wiretap speaking to other members of the conspiracy about the seizure and how to cover it up. Evidence in the case showed that Storlie had previously gone on similar trips to California for the same individuals as Bailey.
In addition to his involvement in the distribution of methamphetamine, Storlie purchased and stored at least nine firearms for Belton, who was a felon. Storlie had falsified ATF forms to purchase the firearms.
Eleven other individuals were charged in the same investigation as Storlie. David Poitier Belton, Derek Michael Mims, Phillip Lanell Rogers, Robert Lee Michael Bates, Anton Tarrice Whitney, Jr., Christopher Eric Curley, Elmer Mims, and Timothy Michael Webber are all awaiting sentencing. Kiyonte Levell Sowell was sentenced to 144 months’ imprisonment. Albert Henry Bailey was sentenced to 88 months’ imprisonment. Jesus Vera was sentenced to 151 months’ imprisonment.
Storlie was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Storlie was sentenced to 200 months’ imprisonment. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
Storlie is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the DEA Task Force in Cedar Rapids and the Federal Bureau of Investigation. The DEA Task Force in Cedar Rapids consists of the DEA, the Linn County Sheriff's Office, the Cedar Rapids Police Department, the Marion Police Department, and the Iowa Division of Narcotics Enforcement. The case was prosecuted by Assistant United States Attorney Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22‑CR‑39‑CJW‑MAR.
Cedar Rapids Man Sentenced for Drug and FirearmsRead the Press Release
A man who possessed a large quantity of methamphetamine and had numerous firearms was sentenced on July 26, 2023, to more than 15 years in federal prison.
Johnny Mack Hill, Jr., age 32, from Cedar Rapids, Iowa, received the prison term after a January 4, 2023 guilty plea to one count of possession with intent to distribute 500 grams of more of methamphetamine, one count of possession of firearms during and in relation to his drug offense, and one count of being a felon in possession of a firearm.
At the guilty plea, Hill, Jr. admitted that on October 14, 2020, he was in possession of at least 500 grams of methamphetamine he intended to sell to others, and multiple firearms that he possessed in connection with his drug offense. Hill, Jr. was previously convicted of attempted murder for a shooting on October 2, 2020, in a Cedar Rapids bar.
Hill, Jr. was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Hill, Jr. was sentenced to 185 months’ imprisonment to be served consecutive to his sentence for attempted murder imposed in the Iowa District Court for Linn County. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
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.
Hill, Jr. is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Kyndra Lundquist and investigated by Cedar Rapids Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-00021.
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Camden Man Sentenced to over 18 Years in Federal Prison in Connection with Fentanyl Overdose DeathRead the Press Release
CAMDEN, SOUTH CAROLINA — Sean Michael Taylor, 27, of Camden, was sentenced to 220 months in federal prison after pleading guilty to distributing a quantity of fentanyl.
Evidence obtained in the investigation revealed that, on July 1, 2020, deputies with the Kershaw County Sheriff’s Office and other first responders from the Kershaw County Emergency Medical Services and Coroner’s Office responded to an apparent overdose at a residence in Camden. Responders located a victim who was pronounced deceased at the scene. The victim’s death was later determined to be caused by a fentanyl overdose.
On July 21, 2020, during a separate investigation, federal agents and officers assigned to the Drug Enforcement Administration Atlanta-Carolinas High Intensity Drug Trafficking Areas Program (ACHIDTA) Task Force in Columbia used a confidential source to buy fentanyl from Taylor. During that exchange, Taylor admitted that he distributed the fentanyl that caused his friend’s death a few weeks prior, and even identified the victim by name.
Later, Taylor confessed to law enforcement that he first injected himself with a syringe containing fentanyl and then handed the victim the syringe containing the remaining fentanyl. Upon injecting the fentanyl, the victim immediately collapsed to the floor, unresponsive. Taylor and others present at the residence dragged the victim to another room, but no one could rouse the victim. Taylor left the residence without calling 911.
United States District Judge Sherri A. Lydon sentenced Taylor to 220 months in prison, to be followed by a 3-year term of court-ordered supervision. There is no parole in the federal system.
This case was investigated by the DEA ACHIDTA Task Force in Columbia, which was comprised of agents and officers from the Drug Enforcement Administration, United States Postal Inspection Service, Kershaw County Sheriff’s Office, Richland County Sheriff’s Department, Lexington County Sheriff’s Department, and Department of Public Safety for the City of Orangeburg. Special Assistant U.S. Attorney Kristen Bales is prosecuting the case.
This prosecution is part of a High Intensity Drug Trafficking Areas Program (HIDTA) investigation. HIDTA is a grant program purposed with improving public safety and well-being by disrupting and dismantling drug trafficking and money laundering organizations through intelligence-driven multi-jurisdictional operations; enhancing the safety and effectiveness of law enforcement operations through training; and improving communication and information sharing among criminal justice, drug prevention, and drug treatment professionals in support of the objectives as administered by the Office of National Drug Control Policy. Additional information can be found at https://www.achidta.org/, https://www.dea.gov/operations/hidta, and https://www.whitehouse.gov/ondcp/.
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California Man Sentenced to Federal Prison for Conspiracy to Distribute Methamphetamine Resulting in DeathRead the Press Release
DAVENPORT, Iowa – A Long Beach, California man was sentenced on July 21, 2023 to 12 years in federal prison for conspiracy to distribute more than 50 grams of methamphetamine resulting in the death of a victim.
According to public court documents, Ray Bustamante, 61, conspired with Dr. John Robert Muriello and Eric Hojka, both of Iowa City, and others, to obtain and distribute methamphetamine. An investigation by the United States Postal Inspection Service revealed that since early 2020, Bustamante mailed packages of methamphetamine to people he met online. In March 2021, a parcel, mailed by Bustamante, was intercepted by Postal Inspectors and found to contain approximately 137 grams of “ice” methamphetamine.
In a separate investigation in May 2021, first responders were dispatched to Hojka’s Iowa City apartment for a report of an unconscious victim, who was later pronounced dead. An autopsy revealed the victim ingested methamphetamine which caused his death. It was later determined that the methamphetamine ingested by the victim originated from Bustamante and was sent to Dr. John Robert Muriello and Eric Hojka in Iowa City for distribution.
After his prison term, Bustamante was ordered to serve a five-year term of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the United States Postal Inspection Service and the Iowa City Police Department.
California Drug Trafficker Sentenced to More Than Eight Years in PrisonRead the Press Release
MOBILE, AL – A Los Angeles, California man was sentenced today to 105 months in prison for conspiring to distribute kilograms of marijuana.
According to court documents, Anthony Robert Tirado, 31, was the leader of a California-based drug-trafficking organization that distributed hundreds of kilograms of marijuana from the Los Angeles area to Mobile and other cities throughout the United States from at least January 2018 through March 2022. Tirado employed several couriers—juveniles among them—who ferried bulk amounts of marijuana in their checked luggage on dozens of commercial flights from California to Alabama, Florida, Louisiana, Ohio, Texas, and West Virginia, among other locations. In turn, the couriers transported hundreds of thousands of dollars in drug proceeds back to California for Tirado. In Los Angeles, Tirado rented several units at a luxury apartment complex that he used to store and distribute bulk amounts of marijuana in furtherance of his nationwide drug-distribution operation.
On multiple occasions, law enforcement seized bulk drugs and cash from Tirado’s couriers in various locations in the Southern District of Alabama and elsewhere. For example, in November 2018, narcotics agents arrested one of Tirado’s Alabama-based coconspirators who had recently purchased drugs from one of Tirado’s juvenile couriers at a hotel in Mobile. During a subsequent search of the coconspirator’s car and apartment, agents seized a handgun, 20 pounds of high grade marijuana in a suitcase, and more than $33,000 in cash. On another occasion in June 2020, agents seized nearly $60,000 in bulk cash from one of Tirado’s couriers at the airport in New Orleans, Louisiana.
When United States marshals tracked and arrested Tirado in California on March 18, 2022, Tirado admitted that he knew about his pending arrest warrant but had not turned himself in. A search of Tirado’s cell phone revealed numerous text messages, photos, videos, and other data demonstrating that until his arrest, Tirado had continued distributing bulk marijuana using couriers traveling on commercial flights to Alabama and elsewhere.
In addition to the 105-month prison term, United States District Judge Terry F. Moorer ordered Tirado to serve a five-year term of supervised release upon his release from prison, during which time he will undergo drug testing and treatment. The court did not impose a fine, but Judge Moorer ordered Tirado to pay $100 in special assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Drug Enforcement Administration, the U.S. Marshals Service, the Mobile County Sheriff’s Office, and the Mobile Police Department investigated the case.
Assistant U.S. Attorneys Justin Roller and Deborah Griffin prosecuted the case on behalf of the United States.
CEO of Paycheck Protection Program Lender MBE Capital Sentenced to 54 Months in Prison in Connection with Fraudulent Loan and Lender ApplicationsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that RAFAEL MARTINEZ was sentenced to 54 months in prison for his role in a scheme to submit fraudulent loan and lender applications related to the Paycheck Protection Program (“PPP”) administered by the U.S. Small Business Administration (“SBA”). MARTINEZ previously pled guilty to one count of conspiring to commit wire fraud before U.S. District Judge Lewis J. Liman, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “Martinez lied to get money that was supposed to help people through the challenges of COVID-19. He lied so that he could fund a lavish lifestyle of cars, jets, and fancy homes. Today’s sentence sends a clear message to those who would abuse the system to serve their own selfish ends: such conduct will be brought to light and to justice. No one’s greed is above the law.”
According to the allegations in the Superseding Indictment, the Complaint, court filings, and statements made during plea and sentencing proceedings:
MARTINEZ used false representations and documents to fraudulently obtain the approval of the SBA for his company, MBE Capital Partners, LLC (“MBE”), to be a non-bank lender through the PPP in an effort to secure hundreds of millions of dollars in capital for PPP loans and, ultimately, to collect more than approximately $71 million in lender fees. In addition, MARTINEZ engaged in a scheme to obtain a PPP loan for MBE in the amount of approximately $283,764 through false statements regarding the number of employees of MBE and the wages paid to MBE employees and using the forged signature of MBE’s tax preparer.
At all relevant times, MARTINEZ has been the CEO and primary owner of MBE, a New York limited liability company formed in or about March 2015. Republic Group, LLC, a/k/a “Republic Group Parts, LLC,” which is owned and controlled by MARTINEZ, serves as the holding company for MBE and conducts business as MBE. According to MBE’s website, “For over 20 years, MBE Capital Partners has been a leading provider of financing solutions for small and diverse businesses. . . In 2019, we financed over $1.7 billion in public and private debt and we funded over 35,000 PPP loans worth $800M.”
On or about April 5, 2020, MARTINEZ applied to a financial institution for a government-guaranteed loan for Republic Group, d/b/a MBE, through the SBA’s PPP. In connection with the loan application, MARTINEZ represented that MBE had as many as 15 employees and an average monthly payroll of approximately $119,390 in 2019. In fact, however, from in or about April 2018 through in or about April 2020, MBE had at most four employees who had a total average monthly payroll of no more $25,000. In order to support the false representations made by MARTINEZ in the loan application about the number of employees at and the wages paid by MBE, MARTINEZ submitted fraudulent and doctored tax records that contained the forged signature of a tax preparer located in New York, New York (the “Tax Preparer”). Based on the false documentation provided by MARTINEZ, MBE was approved for a PPP loan in the amount of approximately $283,764, which was disbursed to a bank account controlled by MARTINEZ. A majority of the loan proceeds do not appear to have been used for payroll for employees of MBE or other business expenses.
On or about April 9, 2020, within five days of applying for the PPP loan referenced above, MARTINEZ submitted an application to the SBA for MBE to become a non-bank PPP lender. As part of the PPP lender application process, MARTINEZ represented that MBE had originated and serviced over $3.8 billion in business loans or other commercial financial receivables for the three-year period from in or about 2017 through in or about 2019 and submitted fraudulent financial statements that purported to be audited by the Tax Preparer’s firm for the years 2018 and 2019. Based on the false information provided by MARTINEZ to the SBA, MBE was approved as a non-bank lender for PPP loans.
On or about April 27, 2020, MARTINEZ submitted various documents, including the same fraudulent audited financial statements for 2019 provided to the SBA, to a life insurance company (the “Company”) as part of a proposed partnership to fund PPP loans for minority and women-owned small businesses. On or about May 13, 2020, the Company provided MBE with $100 million to fund PPP loans, which MBE in turn used as collateral to borrow additional capital of approximately $832 million through the Paycheck Protection Program Liquidity Facility (“PPPLF”) with the Federal Reserve.
As a result of the above fraudulent misrepresentations, MARTINEZ, through his company MBE, became an approved PPP lender and issued approximately $823 million in PPP loans to approximately 36,600 businesses. These loans earned MARTINEZ a total of approximately $71.3 million in fees. MARTINEZ spent the proceeds from his criminal conduct on, among other things, the purchase of a villa in the Dominican Republic for over $10 million, a $3.5 million mansion located in Franklin Lakes, New Jersey, a chartered jet service, and several luxury vehicles, including a 2018 Porsche 911 Turbo, a 2017 Ferrari 488 Spider, a 2017 Bentley Continental GT, a BMW 750, and a 1962 Mercedes Benz 190.
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In addition to his prison term, MARTINEZ, 57, of Franklin Lakes, New Jersey, was sentenced to three years of supervised release and further ordered to forfeit $44,546,712.94, as well as multiple properties and luxury vehicles, including a Ferrari Model 488 Spider, pay restitution in the amount of $71,711,893.07, and pay a $100 special assessment fee.
Mr. Williams praised the outstanding investigative work of the Internal Revenue Service, Criminal Investigation; the U.S. Small Business Administration, Office of Inspector General; and the Office of Inspector General for the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection, Eastern Region.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Micah Fergenson, Katherine Reilly, and Steven Kochevar are in charge of the prosecution.
Brother, Sister, and Two Others Charged in Multi-Million Dollar Pandemic Fraud SchemeRead the Press Release
DETROIT - A Detroit area brother and sister, along with two other individuals, have been charged in a criminal complaint for their alleged role in a multi-million-dollar unemployment insurance fraud scheme targeting funds set aside for unemployment assistance during the COVID-19 pandemic, announced United States Attorney Dawn N. Ison.
Joining in the announcement were Department of Labor – Office of the Inspector General (DOL-OIG) Special Agent-in-Charge of the Great Lakes Region, Irene Lindow, and Special Agent in Charge Angie Salazar of the Department of Homeland Security – Homeland Security Investigations (HSI) Detroit Field Office.
Charged are Kenny Lee Howard III, 30, Keila Lanae Howard, 34, David Christopher Davis, 25, and Stevenvan Eugene Ware, 30.
According to the complaint, the Howards and the two other defendants filed over seven hundred unemployment insurance claims in Michigan, Pennsylvania, Arizona, California, New York, Kansas, Maryland, Tennessee, Hawaii, and Guam. In some instances, the defendants are alleged to have used their own names to file claims for pandemic unemployment assistance in multiple states. In other instances, the defendants used the stolen personal identifying information of other individuals to file fraudulent claims for pandemic unemployment assistance. The complaint alleges that the defendants illegally obtained over $3.5 million in government funds over the course of their scheme.
“This alleged scheme diverted money away from American workers in need of financial relief during the COVID-19 pandemic,” said U.S. Attorney Ison. “My office is committed to prosecuting anyone who exploited our national crisis to enrich themselves, and today’s charges are a reflection of that commitment.”
“Partnership and cooperation are essential to these investigations,” said HSI Detroit Special Agent in Charge Angie M. Salazar. “I would like to thank the Department of Labor Office of Inspector General and the United States Attorney’s Office for the Eastern District of Michigan for their work to hold offenders accountable. Our efforts speak not only to the pursuit of justice but also accountability to the American taxpayer.”
"An important part of the mission of the Office of Inspector General is to investigate allegations of fraud involving unemployment insurance programs. We will continue to work with our law enforcement partners to aggressively investigate these types of allegations," said Irene Lindow, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General.
A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is completed, a determination will be made whether to seek a felony indictment.
The case is being prosecuted by Assistant United States Attorneys Ryan Particka and Timothy Wyse. The investigation is being conducted jointly by the DOL- OIG and HSI.
Brainard Man Sentenced for Child PornographyRead the Press Release
Acting United States Attorney Susan Lehr announced that Samuel Richardson, 57, of Brainard, Nebraska, was sentenced today in federal court in Omaha for Possession of Child Pornography. United States District Court Judge Brian C. Buescher sentenced Richardson to 70 months of imprisonment. There is no parole in the federal system. Following the completion of his incarceration, Richardson will serve a 10-year term of supervised release. Richardson was also ordered to pay $5,100 in special assessments.
Richardson came to law enforcement’s attention stemming from multiple cyber tips from Microsoft (Bing) for activity occurring between March and May 2021 involving images of child pornography.
On February 10, 2022, the Nebraska State Patrol executed a search warrant at Richardson’s home in Brainard. During the search warrant, law enforcement seized Richardson’s computer, phone, and an external hard drive. Richardson was interviewed and admitted to having seen at least one of the images from the cyber tips. Richardson admitted to viewing child pornography and that law enforcement would find child pornography on his computer and external hard drive. Richardson’s devices were forensically examined, and 5,000 images of child pornography were found.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by the Nebraska State Patrol.
Arizona man who extorted Georgia Tech sentenced to prisonRead the Press Release
ATLANTA - Ronald Bell has been sentenced to two years and nine months in prison for extorting Georgia Tech. Bell recruited a security guard to falsely claim that the guard witnessed an assault by its basketball coach in exchange for part of the extortion payout he expected to receive from the university.
“Ronald Bell tried to extort Georgia Tech and ruin the reputation of its basketball coach,” said U.S. Attorney Ryan K. Buchanan. “As federal prosecutors, we have a responsibility to the citizens of this district to pursue accountability and justice for crimes of sexual violence. But in this case Bell attempted to exploit the mission of our office, and law enforcement partners, to combat sexual assault through a brazen effort to enrich himself at the expense of Georgia Tech and a member of its staff. Bell has now been held accountable for his crime.”
“Bell sought to severely damage the reputation of the institution and their coach solely for his own financial gain,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “This sentence proves that the FBI will not tolerate false allegations and will do everything in our power to seek the truth and hold individuals who commit these type of crimes accountable for their selfish actions.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: Ronald Bell pleaded guilty to conspiring with his co-defendant, Jennifer Pendley, and a security guard at Georgia Tech, to extort the university by falsely accusing the coach of the men’s basketball team of sexual assault. Bell recruited the security guard to falsely claim that the guard witnessed an assault by the coach. Bell told the security guard that the false accusation of sexual assault could be worth $20 million to Bell and Pendley and promised the guard a share of the money and a new Jeep.
Bell also communicated with representatives of Georgia Tech and demanded money in exchange for not reporting the fictitious sexual assault. For example, he texted a representative of Georgia Tech that: “This is going to get very ugly. GT has made no effort . . . to amicably resolve this . . . I guess this has to get ugly. I tried to resolve this without damaging GT’s reputation . . . .”
After Georgia Tech refused to pay Bell, Pendley filed a lawsuit claiming sexual battery, sexual assault, and intentional infliction of emotional distress. These claims falsely alleged that the guard witnessed the coach sexually assault Pendley. Ultimately, the security guard admitted that his statements were false and that Bell asked him to lie to support the false sexual assault claim.
Ronald Bell, 57, of Oro Valley, Ariz., was sentenced to two years, nine months in prison to be followed by three years of supervised release. Bell was convicted of the charge of conspiracy on March 1, 2023, after he pleaded guilty.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorney Christopher J. Huber prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Arizona Man Sentenced to 14 Years in Prison for Conspiring to Distribute MethamphetamineRead the Press Release
Acting United States Attorney Susan Lehr announced that Victor Gabriel Gonzalez-Garcia, 52, of San Luis, Arizona, was sentenced today in federal court in Omaha, Nebraska, for Conspiracy to Distribute and Possession with Intent to Distribute Methamphetamine. United States District Court Judge Brian C. Buescher sentenced Gonzalez-Garcia to 14 years’ imprisonment. He was also ordered to serve a five-year term of supervised release as there is no parole in the federal system.
On June 22, 2021, Bartolo Roman-Tapia was arrested after a search warrant of his Omaha residence revealed 28 one-pound packages of crystal methamphetamine and $18,754 in drug proceeds. Investigators learned that Roman-Tapia had received the 28 pounds of methamphetamine on June 19, 2021, at an Omaha gas station. Video surveillance from the gas station showed Roman-Tapia meeting with a passenger of a white Saturn and handing him a black suitcase containing narcotics proceeds. While at the gas station, the driver of the Saturn entered to pay for gas and was identified as Victor Gabriel Gonzalez-Garcia by video from inside the store. The investigation revealed that after leaving the gas station, the occupants of the white Saturn delivered 28 pounds of methamphetamine to Roman-Tapia at a nearby location.
On September 16, 2022, investigators arrested Gonzalez-Garcia who admitted that he was the driver of the white Saturn that delivered methamphetamine to Omaha on June 19, 2021. Gonzalez-Garcia also admitted to transporting loads of narcotics from Phoenix, Arizona to Omaha on several occasions during the last five years.
The $18,754 seized on June 22, 2021, was previously forfeited to the United States as proceeds from narcotics trafficking. Roman-Tapia was sentenced to 151 months’ imprisonment on April 19, 2023.
This case was the result of an investigation by Homeland Security Investigations.
30 Years for Coercion and Enticement of a MinorRead the Press Release
TULSA Okla. – A Broken Arrow man was sentenced to 30 years in prison for Coercion and Enticement of a Minor in Indian Country, announced U.S. Attorney Clint Johnson.
Christopher Dean Dana, 37, pleaded guilty Monday, October 18, 2021.
U.S. Chief District Judge John F Heil III has now ordered Dana to serve 30 years in federal prison followed by a lifetime of supervised release. At the hearing, the court heard from the victim who explained how she has trouble sleeping at night because that is when it all hits her. “I’m scared of what everyone is going to think of me,” she said, and “I’m scared to hang out with guy friends because I don’t know what they’re capable of.”
“Christopher Dana betrayed the trust of this young victim and has caused lasting emotional harm,” said U.S. Attorney Clint Johnson. “My office and our law enforcement partners will diligently prosecute those that prey upon the children in our communities.”
At the time of his plea, Dana, a non-Indian, admitted that when the victim was between seven and 12 years of age, he encouraged her to engage in sexual activity and sexually abused her. When she resisted his advances, Dana would pressure the victim by offering her money.
The victim is a citizen of the Choctaw Nation, and the crimes occurred within the boundaries of the Muscogee Nation reservation.
Dana has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility.
The Broken Arrow Police Department and FBI investigated the case.
Assistant U.S. Attorneys Stacey Todd and Gina Gilmore prosecuted the case.
Wednesday 26 July 2023
华女对以营利为目的的签证欺诈和移民走私计划认罪Read the Press Release
今天早些时候，廖海燕（Haiyan Liao）在布鲁克林的联邦法院对签证欺诈和洗钱指控认罪，因为其参与了旨在将中国公民非法带入美国以谋取经济利益的多年计划。 廖某于2021年1月被起诉。
美国纽约东区检察官布雷昂·皮尔斯（Breon Peace）、司法部刑事司助理司法部长小肯尼斯·A·波利特(Kenneth A. Polite, Jr.)、美国国务院外交安全局（DSS）首席副助理部长兼调查代理副助理主任格雷戈里·巴特曼（Gregory Batman）宣布了此消息。
“向廖支付了过千美元，以助向联邦政府撒谎，将包括无人陪伴的未成年人等个人带入美国，以谋取私利，”美国检察官皮尔斯（Peace）说。“本办公室致力维护法治并保护我们移民流程的完整性。”
“刑事司致力于在法律允许的最大范围内起诉人口走私者和人贩子，”司法部刑事司助理总检察长 小肯尼斯·A·波利特(Kenneth A. Polite, Jr.)说。 “廖的定罪表明，对那些剥削弱势群体谋取个人贪婪的人士追究责任的承诺。”
“外交安全局的全球存在让我们的机构能够充当美国和外国执法机构之间的联络人，协助双方努力制止人口贩运，” DSS 代理副助理调查主任格雷戈里·巴特曼(Gregory Batman)说。 “今天的认罪证明 DSS 在全球的部署如何能够阻止人口贩运的浪潮，并针对捕猎这些受害者的犯罪分子。”
根据法庭文件，已入籍的美国公民、土生土长的中国公民廖某与他人参与一项计划，协助来自中国的非公民非法进入美国。廖透过向美国驻广州领事馆提交包含虚假陈述的申请，以欺诈手段为这些非公民取得旅客签证。对于申请被批准的非公民——包括四名未成年人——廖为他们前往美国提供了便利，包括陪同他们乘坐商业航班飞往约翰肯尼迪国际机场。该等非美国公民及其家人支付了上千美元才能到达美国。由于此计划，廖透过从中国到美国的电汇汇款获取了至少 98,673.72 美元的非法收益。
廖承认了串谋非法将非法移民带入美国以谋取经济利益，最高可判处五年徒刑和洗钱罪，最高可判处20年徒刑。联邦地区法院法官将在考虑美国量刑指南和其他法定因素后确定任何量刑。
DSS 刑事欺诈调查科对此案进行了调查。
纽约东区助理美国检察官诺米·贝伦森(Nomi Berenson)和司法部人权和特别起诉科的审判律师拉米·巴达维(Rami Badawy)正起诉此案。
被告：
廖海燕（Haiyan liao）
年龄： 45
内华达州拉斯维加斯纽约东区法院案卷号：20-CR-500 (SJ)
Youngstown Man Sentenced to 10 years for Selling Drugs and Possessing FirearmsRead the Press Release
CLEVELAND – Daniel May, 29, of Youngstown, Ohio, was sentenced today to 10 years in prison by U.S. District Judge Christopher A. Boyko, after he pleaded guilty to conspiracy to distribute drugs, distributing drugs, and to being a felon in possession of firearms and ammunition. May was ordered to serve 4 years of supervised release following imprisonment and pay a $900 special assessment.
According to court documents and court records, May illegally possessed firearms, sold narcotics and conspired with others to distribute cocaine, cocaine base, heroin, fentanyl, and fentanyl analogues in the Youngstown, Ohio, area. Search warrants executed at houses associated with May resulted in the recovery of four firearms, ammunition, cocaine, cocaine base, heroin, fentanyl, and fentanyl analogues. Also seized was a drug kilogram press and over $10,000.
The investigation was conducted by the Federal Bureau of Investigation (FBI), Youngstown, the Youngstown Police Department, the Boardman Police Department, the Mahoning County Sheriff’s Office, and the Campbell Police Department. This case was prosecuted by Assistant U.S. Attorney Jason M. Katz.
Young man faces life for selling Fentanyl-laced pills causing deathRead the Press Release
CORPUS CHRISTI, Texas – A 21-year-old Corpus Christi man has entered a guilty plea to delivery of Fentanyl resulting in death, announced U.S. Attorney Alamdar S. Hamdani.
Ricardo Julyan Kross Rios aka Kross acknowledged he possessed and delivered a substance containing a detectable amount of Fentanyl (a schedule II controlled substance), the use of which resulted in the death of a person.
On Dec. 10, 2022, authorities responded to a reported drug overdose and discovered a non-responsive individual pronounced dead at the scene. An autopsy later determined the cause of death was acute Fentanyl toxicity.
The investigation led to the discovery that the victim had purchased pills from Rios who then delivered them Dec. 9, 2022, to a parking lot where a party was occurring. The victim consumed them during that event.
Witnesses described the pills as “press made” hydrocodone pills which may have contained Fentanyl.
On Jan. 17, law enforcement encountered Rios at a residence in Corpus Christi in possession of a plastic bag containing “pressed” pills as well as some additional loose powder and partial pills. Laboratory analysis later confirmed the pills and powder in the plastic bag did contain Fentanyl.
As part of his plea, Rios admitted to selling counterfeit “pressed” hydrocodone pills similar those found in his possession on Jan. 17 to the victim on the evening of Dec. 9, 2022.
U.S. District Judge David S. Morales will impose sentencing Oct. 17. At that time, Rios faces a minimum of 20 years and up to life in prison as well as a possible $1 million fine.
The Drug Enforcement Administration led the cooperative law enforcement effort targeting Fentanyl with the assistance of Homeland Security Investigations, Jim Wells County Sheriff’s Office and police departments in Corpus Christi, Aransas Pass and Mathis. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting this case.
Yogibo to Pay $217,000 to Resolve False Claims Act Allegations of Underpaying Customs DutiesRead the Press Release
BOSTON – Yogibo, a New Hampshire-based furniture seller, has agreed to pay $217,832 to resolve allegations that it violated the False Claims Act by failing to pay customs duties on imports from China.
Customs laws require importers to pay duties on the price paid for imported goods, including the cost of quality control testing, product design services, foreign inland freight and more.
Between 2016 and 2022, Yogibo imported goods from a Chinese manufacturer, Leadershow Home Textile Co., Ltd (Leadershow). For each shipment, Leadershow provided Yogibo with two invoices: a commercial invoice listing one price for the goods being imported; and a second invoice (which Yogibo called the “QC Invoice”) that included a separate and additional charge for inland freight from Leadershow to a Chinese port, design services and quality control testing. Yogibo did not provide the QC Invoice to its customs broker for determining duties owed to the United States government on Leadershow imports and instead, only provided the commercial invoice with the lower total price. As a result, the customs broker did not calculate the duties owed based the total cost of the goods, including the additional charges on the QC Invoice.
Under the Department of Justice’s guidelines for taking disclosure, cooperation and remediation into account in False Claims Act cases, the Department of Justice credited Yogibo’s cooperation in this matter.
“Customs laws are intended to, among other things, protect domestic companies from unfair competition,” said Acting United States Attorney Joshua S. Levy. “Our office will deploy the False Claims Act to go after anyone who cheats the system and defrauds the federal government.”
“U.S. Customs & Border Protection is responsible for facilitating lawful international trade while regulating and enforcing hundreds of laws from dozens of federal agencies. Submission of false invoices on imported goods is a serious matter. This scheme involves entities importing goods without paying the U.S. Government the lawful amount of duties owed, creating an unfair advantage over law-abiding American businesses. I am glad that we were able to work with our federal partners to reach a satisfactory settlement to recover these funds,” said Michael McCarthy, Acting Director of Field Operations for U.S. Customs and Border Protection, Boston Field Office.
“Customs fraud is a serious allegation. Yogibo used a system of dual invoicing to circumvent requirements for establishing the proper duty. HSI takes undervaluing products imported into the United States seriously and will continue to protect the integrity of the False Claims Act through the aggressive enforcement of our customs laws,” said Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England.
The settlement stems from allegations originally brought in a lawsuit filed by a whistleblower under the qui tam provisions of the False Claims Act, which allow private parties, known as relators, to bring suit on behalf of the government and to share in any recovery. In connection with today’s announced settlement, the relator will receive 20 percent of the recovery.
Acting U.S. Attorney Levy, CBP Acting Director McCarthy and HSI Acting SAC Krol made the announcement today. Assistant U.S. Attorney Brian M. LaMacchia of the Affirmative Civil Enforcement Unit handled the matter.
US v. Yogibo - Settlement AgreementUtica Man Sentenced for Drug Conspiracy and Possession of Firearms in Furtherance of a Drug Trafficking CrimeRead the Press Release
SYRACUSE, NEW YORK – Matthew Brooks, age 37, of Utica, New York, was sentenced yesterday to serve 108 months (nine years) in federal prison for conspiring to distribute and possess with intent to distribute fentanyl, and possessing firearms in furtherance of a federal drug trafficking crime, announced United States Attorney Carla B. Freedman, Oneida County District Attorney Scott McNamara, and New York State Police Acting Superintendent Steven A. Nigrelli. Brooks was also sentenced to a 5-year term of post-imprisonment supervised release and was ordered to forfeit $3,377.00 in cash, and four firearms.
As part of his previous guilty plea in November 2022, which occurred mid-way through his federal jury trial, Brooks admitted that he sold and packaged fentanyl, used his apartment to distribute fentanyl to customers, rented cars for other members of the conspiracy, and possessed firearms at his residence in connection with the drug conspiracy. New York State Troopers and Utica Police Investigators executed a search warrant at the defendant’s residence on July 30, 2021, seizing 60 bags of fentanyl, $3,377.00 in cash, and four loaded firearms. The search warrant execution followed a complex investigation stretching over several months.
Matthew Brooks was the latest of member of the fentanyl distribution conspiracy to be sentenced:
- Jahari D. Brown, Jr., 23, of Utica, pled guilty to conspiracy to distribute and possess with intent to distribute fentanyl, and distribution and possession with intent to distribute fentanyl. He was sentenced on April 26, 2023, to serve 216 months (18 years) in federal prison, to be followed by a 5-year term of supervised release. He also pled guilty in Oneida County Court to Attempted Murder in the Second Degree, Attempted Assault in the First Degree, Criminal Possession of a Weapon in the Second Degree, Criminal Possession of a Firearm, and Reckless Endangerment in the First Degree, and was sentenced to serve a total of 18 years in state prison and 5 years of post-release supervision. The Federal and New York State sentences are to be served concurrently. Chief Assistant District Attorney Todd C. Carville and Oneida County Executive Assistant District Attorney Grant J. Garramone prosecuted Jahari D. Brown, Jr. in Oneida County Court.
- Kymani K. Minott, 20, of Utica, pled guilty to conspiracy to distribute and possess with intent to distribute fentanyl, and distribution and possession with intent to distribute fentanyl. He was sentenced on July 14, 2022, to serve 60 months in federal prison, to be followed by a 4-year term of supervised release.
- Daequon D. Perkins, 27, of Utica, pled guilty to conspiracy to distribute and possess with intent to distribute fentanyl, and distribution and possession with intent to distribute fentanyl. He was sentenced on November 10, 2022, to serve 33 months in federal prison, to be followed by a 4-year term of supervised release.
- Mark W. Baker, 45, of Utica, pled guilty to conspiracy to distribute and possess with intent to distribute fentanyl, and distribution and possession with intent to distribute fentanyl. He was sentenced on May 18, 2023, to serve 110 months in federal prison, to be followed by a 4-year term of supervised release.
- Melisa Muminovic, 26, of Utica, pled guilty to conspiracy to distribute and possess with intent to distribute fentanyl. She is scheduled to be sentenced on November 1, 2023.
The case was investigated by the New York State Police-Special Investigations Unit (NYSP-SIU) and the Utica Police Department (UPD), assisted by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the New York State Police-Violent Gangs and Narcotics Enforcement Team (NYSP-VGNET). Assistant U.S. Attorneys Matthew McCrobie and Richard Southwick prosecuted the case.
U.S. Attorney’s Office Uses Civil Forfeiture to Recover $273,082.50 for Fraud VictimRead the Press Release
Jackson, Miss. – On July 7, 2023, U.S. District Judge Taylor B. McNeel entered Final Judgment of Forfeiture against all funds held in a Bank First account totaling $273,082.50, announced U.S. Attorney Darren LaMarca. According to the Verified Complaint for Forfeiture in Rem filed by the U.S. Attorney’s Office, the Bank First bank account—opened in February 2023—had been the recipient of fraud proceeds deposited by the perpetrator of a business email compromise scheme (BEC).
“Victims of fraud often feel embarrassed or ashamed that they were victimized, and often fail to report the crime, fearing that they will appear foolish,” LaMarca said. “In reality, it is the perpetrators of the fraud who should be ashamed. Victims should know that people from all walks of life fall victim to criminals using a variety of methods to trick people and steal their money.”
A BEC is a sophisticated scam, often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or “spoofing” legitimate business email accounts through social engineering or computer intrusion techniques. It causes employees of the victim company (or other individuals involved in legitimate business transactions with them) to transfer funds to accounts the scammers control.
The complaint was filed April 27, alleging that on March 30, 2023, an employee of the victim—a law firm—received an email purportedly from one of the firm’s clients, falsely instructing the employee to wire transfer funds owed by the firm to the client. The spoofed email appeared to be from the firm’s client and listed the account to which the funds were to be transferred.
The employee followed the instructions in the fraudulent email and wired funds into the account. A few days later, the perpetrator of the fraud used $250,000 of the funds to purchase a Wells Fargo cashier’s check and withdrew $50,000 in cash. Most of these funds were then deposited into the Bank First account.
After a third-party computer company employed by the law firm investigated the wire transfer, the firm discovered that the wire transfer had been sent to the fraud perpetrator rather than the client and contacted law enforcement.
The victim filed a claim in the civil forfeiture proceeding and filed a subsequent answer, in which it explained that it had been the victim of the fraud scheme. The U.S. Attorney’s Office validated the victim’s claim and asked the Court to enter a Final Judgment ordering the return of the $273,082.50 to the victim and canceling the interests of any other person or entity.
“I want to thank Wells Fargo and Bank First for their cooperation and rapid response which led to a just outcome,” LaMarca said.
The United States Secret Service conducted the investigation. The USAO Asset Recovery Unit team led by AUSA Clay B. Baldwin handled the matter.
Business Email Compromise schemes can be prevented. Here are some tips:
• Independently obtain mortgage payoff statements and confirm with verified and trusted sources.
• Independently verify the authenticity of information included in correspondence and statements.
• Enable Multi-Factor Authentication (MFA) on all email accounts.
• Routinely change passwords.
• Routinely monitor email account access, check for unauthorized email rules and forwarding settings.
• Restrict wire transfers to known and previously verified accounts.
• Pay using checks when the information cannot be independently verified.
• Have a clear and detailed Incident Response Plan.
For more information visit the Secret Service’s Preparing for a Cyber Incident page. To learn more about the Secret Service and efforts to combat Business Email Compromise fraud, please click here.
U.S. Attorney’s Office Providing Overdose Death Investigation Trainings to Law EnforcementRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley today announced that the office is offering Overdose Death Investigation Trainings to law enforcement agencies in Eastern North Carolina. Trainings were held earlier this year in Fayetteville and Carteret County. The next training is being held in Northeastern North Carolina on August 2 at the College of the Albemarle in Manteo. An additional training is planned on August 11 at the New Bern Police Department.
“North Carolina reported a 22% increase in overdose deaths in 2021 with more than 4000 people losing their life in a single year, and more than 77% of the deaths likely involving fentanyl,” said Michael Easley. “Given this new and alarming trend, we want to ensure that law enforcement is equipped with the latest tools, technology, and best practices to investigate these overdose deaths and bring charges when appropriate.”
The free two-hour training is only available for law enforcement and will focus on how to investigate overdose deaths and determine when charges may be appropriate. Additional trainings will be offered throughout Eastern North Carolina between now and the end of the year. Law enforcement interested in participating in this training or scheduling a future training can contact Don Connelly at [email protected].
In addition to law enforcement training, the office is also providing outreach and education through its Heroin Education Action Team (HEAT), including educational events in local communities and in schools.
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Two Supervisors Charged with Federal Crimes in Connection with Beating of 16-Year-Old Resident at Bronx Juvenile Detention CenterRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Jocelyn E. Strauber, the Commissioner of the New York City Department of Investigation (“DOI”), announced today criminal charges against DAQUAN SEYMOUR and RASHAWN WALKER, two supervisors at the Horizon Juvenile Center (“Horizon”), a secure detention center for juveniles located in the Bronx, New York. The charges relate to the April 25, 2022, beating of a 16-year-old resident at Horizon (the “Minor Victim”) and attempt to cover-up the beating. SEYMOUR and WALKER were charged with federal civil rights offenses, including conspiring to deprive the Minor Victim of his constitutional rights and depriving the Minor Victim of his constitutional rights under color of law, as well as filing false reports. SEYMOUR and WALKER were arrested this morning and will be presented in Manhattan federal court later today. The case has been assigned to U.S. District Judge Edgardo Ramos.
U.S. Attorney Damian Williams said: “Today’s charges allege a violent beating and a brazen cover-up by two supervisors at a juvenile detention facility in the Bronx that left a teenage resident seriously injured. Instead of safeguarding the youth that they were entrusted with protecting, Seymour and Walker violently dragged, punched, and stomped on the minor and then took steps to conceal the beating. My Office is committed to protecting the constitutional rights of all New Yorkers, including minors residing at youth detention facilities, and will ensure that those who abuse their authority are held accountable.”
DOI Commissioner Jocelyn E. Strauber said: “Defendants Seymour and Walker, ACS supervisors, had a duty to protect the youth residing in the Horizon Juvenile Center in the Bronx. Instead, they taunted and violently beat a 16-year-old resident, resulting in bodily injuries requiring medical care, and attempted to hide their disturbing misconduct by filing false reports, as alleged in the Indictment. Juvenile residents in custody should never be victimized by those entrusted with their safety. I thank the United States Attorney’s Office for the Southern District of New York for their partnership in this investigation and in our efforts to protect the rights of juveniles in detention centers.”
According to the allegations in the Indictment unsealed today in Manhattan federal court:[1]
On or about April 25, 2022, SEYMOUR and WALKER were employed as Associate Youth Development Specialists at the Horizon Juvenile Center (“Horizon”), a secure detention center for juveniles located in the Bronx, New York, that was operated by the New York City Administration for Children’s Services (“ACS”). Associate Youth Development Specialists at Horizon are responsible for, among other things, supervising other staff members and ensuring the safety of all juvenile residents.
At the time of the beating, the Minor Victim was a 16-year-old pre-trial juvenile resident at Horizon. Following a confrontation between several staff members and juvenile residents at Horizon, including the Minor Victim, SEYMOUR and WALKER violently dragged the Minor Victim by his forearms across the floor of a residential hall and into a private room (the “Room”). Once inside the Room, SEYMOUR and WALKER beat the Minor Victim, striking him repeatedly and forcefully as the Minor Victim lay on the floor. SEYMOUR and WALKER took steps to restrain the Minor Victim, including by pinning down the Minor Victim’s hands. WALKER also stomped on the Minor Victim’s stomach and groin area. Both SEYMOUR and WALKER taunted and directed profanities at the Minor Victim during the beating. As a result of the beating, the Minor Victim suffered bodily injuries, including a deep laceration to his upper lip area, which required the Minor Victim to be transported to a nearby hospital for medical care.
Following the beating of the Minor Victim, SEYMOUR and WALKER attempted to cover up their participation in the beating. In particular, both SEYMOUR and WALKER prepared Horizon incident reports that described the confrontation between Horizon residents and staff members that immediately preceded the assault but failed to disclose that they dragged or physically assaulted the Minor Victim.
* * *
SEYMOUR, 33, of the Bronx, New York, and WALKER, 33, of Queens, New York, are each charged with one count of conspiracy to deprive civil rights, which carries a maximum sentence of 10 years in prison; one count of deprivation of rights under color of law, which carries a maximum sentence of 10 years in prison; and one count of falsification of records, which carries a maximum sentence of 20 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the efforts of the DOI for their outstanding work on this matter. Mr. Williams also thanked the Special Agents of the U.S. Attorney’s Office for the Southern District of New York for their significant assistance.
The prosecution of this case is being handled by the Office’s Civil Rights Unit in the Criminal Division. Assistant U.S. Attorneys Jamie Bagliebter and Mitzi S. Steiner are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.S. v. Seymour and Walker IndictmentTwo Federal Juries Convict Greenville Fraudster of Separate Schemes in JulyRead the Press Release
GREENVILLE, SOUTH CAROLINA — Robin Lee Johnson, 51, of Greenville, was found guilty by a jury of six counts of uttering counterfeit securities. Just two weeks ago, another jury found Johnson guilty of three counts of wire fraud. Senior United States District Judge Henry M. Herlong, Jr., presided over both trials and will sentence Johnson after the United States Probation Office prepares a presentence report. Johnson faces a statutory maximum of ten years on the securities case and 20 years on the wire fraud case.
Evidence presented to the jury during the first trial (July 11-12, 2023) showed that Johnson operated Global Staffing Solutions (“Global”), a business that purported to provide temporary employees to local companies. Johnson sold Global’s accounts receivable, representing money due from providing the temporary employees, to Capital Business Funding, a local factoring company. Factoring is a financial transaction and a type of debtor finance in which a business (Global) sells its accounts receivable to a third party (Capital) at a discount. The invoice factoring company (Capital) seeks to collect on the invoices it has purchased.
It was a part of the scheme that Global did not actually provide temporary employees to multiple businesses; however, Johnson represented to Capital that Global’s accounts receivable were valid and legitimate. Capital received multiple fraudulent emails and other documents from Johnson indicating that the workers had been provided and that Global was due money from Capital based on the factoring arrangement. Before her scheme was uncovered, Johnson obtained $406,289.04 from Capital based on fraudulent documents submitted.
Evidence presented during the second jury trial (July 26, 2023) showed that Johnson obtained and deposited six counterfeit checks totaling $185,533.16. The checks purported to be from National Funding, a lending company based in San Diego, California. Johnson knew of National Funding because she was on its mailing list and received marketing materials with the company’s name, address, and business purpose. The account number on the counterfeit checks belonged to a law firm in Ohio. Johnson deposited four of the counterfeit checks in her Bank of America account and quickly dissipated the stolen funds through large cash withdrawals and transfers to other accounts. Once the fraud was discovered, Bank of America stopped payment of the final two checks (totaling $75,000) and closed Johnson’s account because of fraud.
This case was investigated by the United States Secret Service and the Greenville County Sheriff’s Office. Assistant United States Attorneys Winston Marosek and Bill Watkins prosecuted both cases.
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Two Brooklyn Men Indicted for Passing over $7,800 in Counterfeit Federal Reserve Notes at Multiple Stores in Tri-State AreaRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Eli Gabriel Lewis, Jr., age 20, of Brooklyn, New York, and Dejuan Smartt, age 26, of Brooklyn, New York, were indicted on June 13, 2023, by a federal grand jury on charges of passing counterfeit Federal Reserve notes and conspiracy. The case was unsealed on July 24, 2023.
According to United States Attorney Gerard M. Karam, the indictment alleges that between February 4, 2023, and February 22, 2023, Lewis and Smartt conspired to pass counterfeit federal reserve notes, including incidents at no fewer than 16 different stores in Pennsylvania and New Jersey. The Indictment further alleges that on six different occasions during the above-described time frame, Lewis and Smartt, either individually or collectively, passed counterfeit $20 Federal Reserve notes to retailers within the Middle District of Pennsylvania.
The matter was investigated by the United States Secret Service, the Pennsylvania State Police, the Mount Joy Police Department, the Northwest Lancaster County Regional Police Department, the Walnutport Police Department, the Manheim Township Police Department, the Kingston Township Police Department, the Upper Macungie Police Department, the Clinton Township (NJ) Police Department, the Snyder County District Attorney’s Office, the Lancaster County District Attorney’s Office, the Hunterdon County Prosecutor’s Office (NJ), and the Luzerne County District Attorney’s Office. Assistant U.S. Attorney James Buchanan is prosecuting the case.
The maximum penalty under federal law for this offense is twenty 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.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Trice Indicted for Kidnapping Resulting in Death and Kidnapping A Minor in Wynter Cole-Smith CaseRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced the indictment of Rashad Maleek Trice, 26, for kidnapping two-year-old Wynter Cole-Smith, resulting in her death and kidnapping a minor. While Trice was charged by criminal complaint on July 7, 2023, to secure his immediate detention, today’s action satisfies the defendant’s constitutional right to federal indictment by a grand jury.
“This indictment marks another step forward as we seek a measure of justice following the heartbreaking loss of Wynter Cole-Smith,” said U.S. Attorney Mark Totten. “My thoughts are deeply with Wynter’s family, and my office is fully prepared to make our case against Mr. Trice at a fair trial.”
Trice is charged with two counts. The first count is kidnapping resulting in death, in violation of 18 U.S.C. § 1201(a)(1). If convicted, the statutory mandatory minimum sentence is life in prison. This offense is also death penalty eligible. The second count is kidnapping of a minor, in violation of 18 U.S.C. §§ 1201(a)(1) and (g)(1). If convicted, the statutory mandatory minimum sentence is 20 years in prison with a maximum possible sentence of life in prison.
"There is no greater responsibility for the FBI than to investigate those who commit senseless acts of violence against young children,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI’s Detroit Field Office. “While today’s indictment cannot erase the pain her family is experiencing, it is the next step in the process of securing justice for Wynter.”
Arraignment and an initial pretrial conference on these charges is scheduled for Monday, August 7, 2023, at 11 a.m. before Magistrate Judge Ray Kent. U.S. Attorney Totten and FBI SAC Devin Kowalski is scheduled to attend the arraignment and will offer brief comments immediately following.
The charges in an indictment are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
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