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Wednesday 12 July 2023
Orlando Man Sentenced to Federal Prison for Mail Fraud and Aggravated Identity TheftRead the Press Release
Orlando, FL – U.S. District Judge Carlos E. Mendoza today sentenced Okechukwu Iwuji (38, Orlando) to three years and six months in federal prison for mail fraud and aggravated identity theft. The court also ordered Iwuji to pay $55,149 in restitution, which represents the loss amount. Iwuji had pleaded guilty on April 19, 2023.
According to court documents, Iwuji acquired Personal Identifiable Information (PII) from the dark web and then accessed the Arizona Department of Economic Security/Unemployment Insurance Program’s (AZ-UI) website to create fraudulent claims for unemployment benefits on behalf of unsuspecting victims. As a part of his scheme, Iwuji used the PII to gain access to existing beneficiary accounts, changing the mailing address for where the benefits would be delivered. Some of the fraudulent benefits were sent to a post office box in Orlando that had been established as a part of the scheme.
This case was investigated by Homeland Security Investigations (HSI). It was prosecuted by Assistant United States Attorney Ranganath Manthripragada.
Operation Smoke and Mirrors Update: Two More Kanawha County Men Plead Guilty to Role in Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – Today John Paul Loudermilk, 60, of Charleston, pleaded guilty to conspiracy to distribute methamphetamine, and Ryan Keith Kincaid, 46, of South Charleston, pleaded guilty to conspiracy to distribute cocaine. Loudermilk and Kincaid each admitted to their roles in a drug trafficking organization (DTO) that operated in the Charleston area.
According to court documents and statements made in court, between January and March 2023, Loudermilk conspired with others to distribute methamphetamine by helping a co-defendant distribute methamphetamine to other customers. Loudermilk sometimes received fentanyl from the co-defendant in exchange for doing this.
Loudermilk admitted to usually meeting with the co-defendant in the Charleston area to obtain methamphetamine and fentanyl. Loudermilk further admitted to receiving between one-half ounce and 1 ounce of methamphetamine at a time from the co-defendant along with 1 gram of fentanyl, delivering the methamphetamine to customers, and collecting money from customers in exchange.
In March 2023, Kincaid conspired with other individuals to distribute quantities of cocaine in the Charleston area. During a search of Kincaid’s apartment, approximately 11 ounces of cocaine, used drug packaging consistent with approximately 26 kilograms of cocaine, a loaded pistol, and over $400,000 in cash were seized.
Loudermilk is scheduled to be sentenced on November 13, 2023, and faces a maximum penalty of 20 years in prison, at least three years and up to a lifetime of supervised release, and a $1 million fine. Kincaid is scheduled to be sentenced on November 14, 2023, and faces a maximum penalty of 20 years in prison, three years of supervised release, and a $1 million fine.
Loudermilk and Kincaid are among 30 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement has seized well over 200 pounds of methamphetamine as well as 28 pounds of cocaine, 20 pounds of fentanyl, 18 firearms and $747,000 in cash.
More than a dozen of the defendants have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
Chief United States District Judge Thomas E. Johnston presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-31.
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Oneida County Man Pleads Guilty to Child Pornography OffensesRead the Press Release
SYRACUSE, NEW YORK – Henry C. Albrecht, Jr., age 53, of Forestport, New York, pled guilty today to presenting child pornography, receiving child pornography, and possessing child pornography.
United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
Albrecht admitted that from at least May 2021 through February 28, 2023, he received child pornography images and videos using social media messaging applications and from another adult who gave him a flash drive with child pornography files saved onto it. Albrecht admitted further that in December 2022, he had a live video call with another adult and shared his screen with that person and presented multiple videos of children engaged in sexually explicit conduct. Albrecht also possessed more than 2,500 files of child pornography on various devices on the day of his arrest.
At sentencing on November 8, 2023, before United States District Judge David N. Hurd, Albrecht faces at least 5 years and up to 20 years in prison for each count of presenting and receiving child pornography and up to 20 years in prison for each count of possessing child pornography. The judge will also be required to impose a term of post-release supervision of at least 5 years and up to a life term. The court also may impose a fine, restitution, and forfeiture of the devices Albrecht used to commit his offenses. A defendant’s sentence is imposed by a judge based on the statutes the defendant violated, the U.S. Sentencing Guidelines, and other factors. Albrecht will also have to register as a sex offender upon his release from prison.
HSI investigated this case. Assistant U.S. Attorney Michael D. Gadarian is prosecuting this case as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s 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 https://www.justice.gov/psc.
Omaha Man Sentenced to 15 Years for Methamphetamine PossessionRead the Press Release
Daniel E. Miller, 42, of Omaha, Nebraska, was sentenced on July 10, 2023, in federal court in Omaha after being convicted of possession with intent to distribute methamphetamine. United States District Judge Brian C. Buescher sentenced Miller to 180 months’ imprisonment. There is no parole in the federal system. After his release from prison, he will begin a 10-year term of supervised release.
On February 20, 2020, Omaha police were dispatched to a bar for a woman who reported being assaulted by Miller. Officers ultimately arrested Miller. During a search of his person, officers found 94 grams of methamphetamine in the pocket of his hooded sweatshirt. Forensic testing determined the methamphetamine to be 94 percent pure.
Because of a previous conviction in 2007 for willful injury in Pottawattamie County, Iowa, Miller received a federal sentencing enhancement for having a “serious violent felony” offense on his record.
This case was investigated by the Omaha Police Department.
Omaha Man Sentenced to 147 Months for Drug and Firearm CrimesRead the Press Release
Acting United States Attorney Susan T. Lehr announced that Andrew Sackett, 39, of Omaha, Nebraska, was sentenced on July 10, 2023, in federal court in Omaha after being convicted of possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. United States District Court Judge Brian C. Buescher sentenced Sackett to a total of 147 months’ imprisonment. There is no parole in the federal system. After his release from prison, Sackett will begin a three-year term of supervised release.
In September 2021, Omaha police conducted surveillance on an apartment that was suspected of being used to distribute methamphetamine. Sackett lived in the apartment with his girlfriend, co-defendant Racheal Cain.
On September 23, 2021, Sacket was arrested during a traffic stop. He consented to a search of the apartment and admitted helping Cain sell methamphetamine. In the apartment, officers found more than 100 grams of methamphetamine with purity of 95%, along with three firearms and $11,902 in cash. Sackett admitted to handling all three firearms. One of the firearms, a Taurus .380 handgun, was found inside a safe mounted to the bed. Sackett had a key to the safe on his keychain. As part of the plea, Sackett forfeited the $11,902 to the United States as being illegal drug proceeds.
Cain has pleaded guilty to the same charges and is scheduled to be sentenced on July 27, 2023.
This case was investigated by the Omaha Police Department.
Northshore Man Pleads Guilty to Violations of the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – CODY SHAUGHNESSY, age 38, pled guilty today before United States District Court Judge Jane Triche Milazzo to three counts of distribution of 50 grams or more of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B) and one count of possession with intent to distribute 50 grams or more of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B), announced U.S. Attorney Duane A. Evans.
On each count, SHAUGHNESSY faces a mandatory minimum sentence of 5 years and up to 40 years imprisonment, up to a $5,000,000 fine, at least 4 years of supervised release, and a mandatory special assessment fee of $100.
This case was investigated by the Drug Enforcement Administration, Homeland Security Investigations, the Hammond Police Department, and the Tangipahoa Sheriff’s Office. The prosecution of this case is being handled by Assistant United States Attorney Lynn E. Schiffman of the Narcotics Unit.
New Jersey woman indicted in email compromise schemeRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Jersey City, New Jersey, woman has been indicted on charges involving wire fraud related to a real estate transaction of more than $330,000.
Michelle Graham, 27, was indicted on two counts involving a wire fraud conspiracy. According to court documents, Graham was involved in a scheme that caused a Hampshire County law firm to send proceeds from a real estate sale to a business account she had opened in New Jersey. The parties to the real estate transaction intended the proceeds to be sent to pay off the seller’s lender, not to Graham, who was not part of the transaction. Graham then spent nearly $30,000 of the money before the fraud was detected. Items purchased included a Louis Vuitton handbag, a laptop, furniture, and a purchase at a used luxury car dealership.
If convicted, Graham faces up to 20 years in prison for each of the two wire fraud charges. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Federal Bureau of Investigation investigated the case. The Hampshire County Sheriff’s Office assisted.
Assistant U.S. Attorney Jarod Douglas is prosecuting the case on behalf of the government.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
New Hampshire Man Pleads Guilty to Role in Methamphetamine ConspiracyRead the Press Release
BOSTON – A Manchester, N.H. man pleaded guilty yesterday in federal court in Boston to his role in a multi-state methamphetamine trafficking conspiracy.
Anthony Elwell, 49, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute methamphetamine and one count of distribution and possession with intent to distribute methamphetamine. U.S. District Judge Denise J. Casper scheduled sentencing for Nov. 1, 2023. In May 2021, the defendant was indicted along with three other individuals, Andrew Lunn, Mark Daileanes and William Velez.
On four occasions between June and September 2020, Lunn sold pure methamphetamine to a cooperating witness in amounts ranging from 100 to almost 280 grams. Velez supplied Lunn with the methamphetamine for each of those deals. For one of the deals, in July 2020, Elwell provided Daileanes with money to purchase 280 grams of methamphetamine from Lunn.
Elwell is the last of the four defendants to plead guilty in this case. Lunn is scheduled to be sentenced on July 27, 2023, Daileanes is scheduled to be sentenced on Sept. 20, 2023 and Velez is scheduled to be sentenced on July 19, 2023.
The charges of conspiracy to distribute and to possess with intent to distribute methamphetamine and distribution and possession with intent to distribute methamphetamine each provide for a sentence of up to 20 years, at least three years of supervised release, and a fine of up to $1 million. Sentences are imposed by a federal district judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Joshua S. Levy and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Division, made the announcement today. The New Hampshire State Police and the Everett, Nashua (N.H), Merrimack (N.H.), Litchfield (N.H), and Manchester (N.H.) Police Departments provided valuable assistance. Assistant U.S. Attorney Alathea Porter of the Narcotics & Money Laundering Unit is prosecuting the case.
Montville Man Charged with Federal Firearms OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and James Ferguson, Special Agent in Charge, ATF Boston Field Division, today announced that a federal grand jury in New Haven returned an indictment yesterday charging NICHOLAS DeFELICE, 31, of Montville, with engaging in the business of dealing in and manufacturing firearms, and possession of unregistered National Firearms Act firearms.
As alleged in the indictment, between approximately January 2020 and February 2022, DeFelice manufactured and sold firearms without a license to do so. On February 17, 2022, DeFelice possessed two rifles with barrels of less than 16 inches, and one silencer, which were not registered pursuant to the National Firearms Act.
The charge of engaging in the business of dealing in and manufacturing firearms carries a maximum term of imprisonment of five years, and the charge of possession of unregistered National Firearms Act firearms carries a maximum term of imprisonment of 10 years.
The indictment also seeks the forfeiture of more than 50 additional firearms seized from DeFelice on February 17, 2022.
DeFelice appeared today before U.S. Magistrate Judge Robert M. Spector in New Haven and entered a pleas of not guilty to the charges. He was released on a $100,000 bond.
U.S. Attorney Avery stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). The case is being prosecuted by Assistant U.S. Attorney Nathaniel J. Gentile.
Middlesex County Man Admits Communicating Threats to Attack SynagogueRead the Press Release
TRENTON, N.J. – A Middlesex County, New Jersey, man today admitted transmitting via the internet a manifesto containing threats to attack a synagogue and Jewish people, U.S. Attorney Philip R. Sellinger announced today.
Omar Alkattoul, 19, of Sayreville, New Jersey, pleaded guilty before U.S. District Judge Robert Kirsch in Trenton federal court to an information charging him with one count of transmitting a threat in interstate and foreign commerce on or about Nov. 1, 2022.
“This defendant admitted using social media to send a manifesto containing a threat to attack a synagogue based on his hatred of Jews. This prompted a state-wide alert and put the community on edge, ” U.S. Attorney Sellinger said. “Alkattoul will now face sentencing for his crime, and we intend to seek a sentence that will hold him accountable. No one should be targeted for violence or with acts of hate because of how they worship. Protecting our communities of faith and places of worship is at the heart of this office’s mission.”
“The laws of our nation allow for everyone to express themselves,” FBI-Newark Special Agent in Charge James E. Dennehy said. “However, when that expression turns into a specific threat toward others, the FBI and other law enforcement agencies must take action. We allege Alkattoul posted and planned to carry out his online manifesto targeting synagogues in our communities, and specifically stated it was an intended attack on Jews. I want to commend the incredibly quick response by the Newark Joint Terrorism Task Force and our partners. Crime driven by hate has no place in our society.”
According to documents filed in this case and statements made in court:
On Nov. 1, 2022, Alkattoul used a social media application to send an individual a link to a document entitled “When Swords Collide” and admitted to this individual that he wrote the document. He admitted targeting a synagogue. He stated in the document: “It’s in the context of an attack on Jews.” According to a second individual, Alkattoul also sent the document to at least five other people using another social media application.
The charge of transmitting a threat in interstate and foreign commerce to which Alkattoul pleaded guilty is punishable by a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for Nov. 14, 2023.
U.S. Attorney Sellinger credited special agents of the FBI and task force officers of the Joint Terrorism Task Force, under the direction of Special Agent in Charge Dennehy in Newark, with the investigation leading to today’s guilty plea. He also thanked agents of the FBI Field Office in Tampa, Florida, under the direction of Special Agent in Charge David Walker; the FBI Field Office in New York, under the direction of Assistant Director in Charge James Smith; and the FBI Washington Field Office, under the direction of Assistant Director in Charge Steven D’Antuono; as well as the New Jersey Office of the Attorney General, under the direction of Attorney General Matthew J. Platkin; the Middlesex County Prosecutor’s Office, under the direction of Prosecutor Yolanda Ciccone; and officers of the Sayreville Police Department, under the direction of Chief Daniel Plumacker.
The government is represented by Christopher Amore, Co-Chief of the U.S. Attorney’s Office’s General Crimes Unit, and Assistant U.S. Attorney Benjamin Levin of the U.S. Attorney’s Office’s National Security Unit, with assistance from the U.S. Department of Justice’s Counterterrorism Section of the National Security Division.
alkattoul.information.pdfMiddle District of Florida Task Force Continues to Combat COVID-19 FraudRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces the results achieved by the Middle District of Florida’s efforts to combat fraud related to COVID-19. Those efforts have included complementary actions by the United States Attorney’s Office’s (USAO-MDFL) Criminal, Asset Recovery, Appellate, and Civil Divisions, along with federal, state, and local law enforcement agencies.
“The Middle District of Florida United States Attorney’s Office continues to pursue, investigate, prosecute, and recover money from those who were engaged in major or sophisticated fraud schemes designed to steal benefits intended for Americans coping with the myriad impacts of the pandemic,” said U.S. Attorney Roger Handberg.
On the criminal enforcement front, the USAO-MDFL and federal, state, and local law enforcement agencies combined resources in March 2020 to form the Middle District of Florida COVID-19 Fraud Task Force to identify, investigate, and prosecute fraud related to the ongoing COVID-19 pandemic. Since its inception, the Task Force has prosecuted 67 defendants for fraud schemes designed to exploit federal programs including the Paycheck Protection Program (“PPP”), Economic Injury Disaster Loans (“EIDL”), Unemployment Insurance (“UI”), the Main Street Lending Program (“MSLP”), the Emergency Rental Assistance Program (“ERAP”), as well as government Healthcare programs such as Medicare (“HCF”). Collectively, these defendants sought to defraud the United States of over $78 million. Forty-seven of those defendants have been found guilty, while prosecution remains pending against 20 defendants. (See chart below for criminal case details.)
For example, in April 2023, former Jacksonville Sheriff’s Office Corrections Officer Deconna Burke was charged with wire fraud relating to an alleged scheme to obtain a PPP loan for a nonexistent babysitting business.
And in June 2023, Timothy and Lisa Jolloff were charged in a scheme relating to EIDL and PPP applications submitted by Timothy Jolloff between April and May 2020. Timothy Jolloff’s false and fraudulent representations caused the SBA and a PPP lender to approve and fund 11 EIDLs and 6 PPP loans, totaling approximately $2.14 million. Timothy Jolloff and his wife, Lisa Jolloff, allegedly used the funds to purchase three pontoon boats, real estate in Indiana, home furnishings, outdoor kitchens for their homes, a 2020 Polaris UTV, as well as jewelry, and two dogs. The couple also fraudulently used more than $600,000 in EIDL funds to purchase a furniture business in Indiana and a landscaping business in Sarasota, which had no connection to the businesses for which the couple had obtained COVID relief funds.
As a result of the USAO-MDFL’s Appellate Division’s advocacy, the U.S. Court of Appeals for the Eleventh Circuit affirmed the convictions and sentence of Casey David Crowther, who had been found guilty in Ft. Myers of bank fraud, making a false statement to a lending institution, and two counts of money laundering in connection with his PPP loan scheme. Crowther had obtained a $2.1 million PPP loan by stating that he intended to use the money for payroll, rent, and utilities for his company, Target Roofing and Sheet Metal, but, according to the evidence at trial, he instead had his bank deposit the money into a secret account separate from his company’s main operating account. He quickly used the account for personal use, spending nearly $700,000 on a 40-foot pleasure boat and $55,000 on a horse. When Crowther’s bank warned him that he was likely to be audited, he attempted to conceal his fraud by falsely “hiring” family members and dozens of fictitious employees to inflate his company’s apparent payroll.
The U.S. Attorney General has 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. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Through the PPP, the federal government authorized over $600 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. The EIDL program provides economic relief to small businesses that are currently experiencing a temporary loss of revenue. The MSLP provided support to small and medium-sized businesses and their employees across the United States during the COVID-19 pandemic. UI programs provided unemployment benefits to eligible workers who became unemployed through no fault of their own.
The criminal cases charged by the Middle District of Florida COVID-19 Fraud Task Force have been investigated by the Federal Bureau of Investigation, the U.S. Secret Service, Internal Revenue Service—Criminal Investigation, the Department of Labor—Office of Inspector General, the U.S. Postal Service, the Federal Housing Finance Agency, the Small Business Administration, the Small Business Administration—Office of Inspector General, the Federal Deposit Insurance Corporation—Office of Inspector General, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Special Inspector General for Pandemic Recovery, Federal Reserve Board—Office of Inspector General, Department of Health and Human Services—Office of Inspector General, the Metropolitan Bureau of Investigation, the Tampa Police Department, the Orlando Police Department, the Jacksonville Sheriff’s Office, the Manatee County Sheriff’s Office, the Hillsborough County Sheriff’s Office, the Sarasota County Sheriff’s Office, the Winter Park Police Department, the Osceola County Sheriff’s Office, the Seminole County Sheriff’s Office, and the Orange County Sheriff’s Office. The cases are being prosecuted by Assistant United States Attorneys throughout the Middle District of Florida.
The Department of Justice needs the public’s assistance in remaining vigilant and reporting suspected fraudulent activity. To report suspected fraud, contact the National Center for Disaster Fraud (“NCDF”) at (866) 720-5721 or file an online complaint at: https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form. Complaints filed will be reviewed at the NCDF and referred to federal, state, local, or international law enforcement or regulatory agencies for investigation.
United States Attorney’s Office for the Middle District of Florida
COVID Fraud Criminal Cases
Charged Cases
Defendant(s) (Age)
Charge(s)
Max. Imprisonment
Type of Fraud*
Intended Loss
Amount
Tampa Division
Alexander Alli
Wire fraud conspiracy
Maximum Prison Term: 20 Years
EIDL
$80k
Ellyn Pinkney
Wire fraud
Maximum Prison Term: 20 Years
EIDL
$40k
Kieanna Garrett
Wire fraud
Maximum Prison Term: 20 Years
EIDL
$40k
Nicole Bramble-King
Wire fraud
Maximum Prison Term: 20 Years
PPP
$40k
Mehdi Tazi
Conspiracy
Maximum Prison Term: 5 years
Wire fraud
Maximum Prison Term: 20 Years
Aggravated identity theft
Maximum Prison Term: Two Years Consecutive
UI
$1.5M
Modupe Ogundele
Wire fraud
Maximum Prison Term: 20 Years
PPP
$20k
Jalissa McDuffy
Wire fraud
Maximum Prison Term: 20 Years
PPP
$41k
Devontaie Deravil
Aggravated identity theft
Maximum Prison Term: Two Years Consecutive
Access device fraud
Maximum Prison Term: 10 Years
UI
$480k
These COVID Fraud cases from the Tampa Division are being handled by AUSAs Rachel Jones, Tiffany Fields, Greg Pizzo, Candace Rich, and Jennifer Peresie
Orlando Division
Evan Edwards
Joshua Edwards
Conspiracy to commit bank fraud (E. Edwards)
Maximum Prison Term: 30 years
Bank fraud (J. Edwards)
Maximum Prison Term: 30 years
Visa fraud (J. Edwards)
Maximum Prison Term: 10 years
False statements (J. Edwards)
Maximum Prison Term: 30 years
PPP
$8M
Emmet Bowens
Wire fraud
Maximum Prison Term: 20 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
PPP
$740k
Latresia Wilson
False Statements
Maximum Prison Term: 20 Years
HCF
$2.6M
These COVID Fraud cases from the Orlando Division are being handled by AUSAs Kara Wick and Amanda Daniels
Jacksonville Division
Deconna Burke
Wire fraud
Maximum Prison Term: 20 Years
PPP
$20k
Christopher Daragjati
Wire fraud
Maximum Prison Term: 20 Years
Theft of government funds
Maximum Prison Term: 10 Years
Aggravated identity theft
Maximum: Prison Term: Two Years Consecutive
UI
$150k
These COVID Fraud cases from the Jacksonville Division are being handled by AUSA Kevin Frein
Fort Myers Division
Venera Price
Mail fraud
Maximum Prison Term: 20 Years
ERAP
$82k
Ismaelle Manuel
Bank Fraud
Maximum Prison Term: 30 Years
Wire Fraud
Maximum Prison Term: 20 Years
PPP
$280k
Denis Casseus
Bank Fraud
Maximum Prison Term: 30 Years
Wire Fraud
Maximum Prison Term: 20 Years
PPP
$298k
Timothy Jolloff
Wire Fraud
Maximum Prison Term: 20 Years
Money laundering
Maximum Prison Term: 20 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
PPP/EIDL
$2.1M
Lisa Jolloff
Money laundering
Maximum Prison Term: 20 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
PPP/EIDL
$2.1M
These COVID Fraud cases from the Fort Myers Division are being handled by AUSA Yolande Viacava and Trent Reichling
Ocala Division
Henry Wade
Wire Fraud
Maximum Prison Term: 20 Years
EIDL
$500k
This COVID Fraud case from the Ocala Division is being handled by AUSA Hannah Nowalk
Adjudicated Cases
Tampa Division
Joseph Abdo
Wire fraud
Maximum Prison Term: 20 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
PPP
$500k
Alexander Leszczynski
Wire fraud
Maximum Prison Term: 20 Years
Bank fraud
Maximum Prison Term: 30 Years
Illegal monetary transactions
Maximum Prison Term: 10 Years
PPP
$200k
Keaujay Hornsby
Racketeering conspiracy
Maximum Prison Term: 20 Years
Aggravated identity theft
Maximum Prison Term: Two Years Consecutive
Access device fraud
Maximum Prison Term: 10 Years
UI
$3M
Kareem Spann
Racketeering conspiracy
Maximum Prison Term: 20 Years
Aggravated identity theft
Maximum Prison Term: Two Years Consecutive
Access device fraud
Maximum Prison Term: 10 Years
UI
$3M
Marqus Willard Johnson
Bank fraud
Maximum Prison Term: 30 Years
Money laundering
Maximum Prison Term: 20 Years
PPP
$500k
Charles Cunningham
Bank fraud
Maximum Prison Term: 30 years
PPP
$800k
These COVID Fraud cases from the Tampa Division are being handled by AUSAs Rachel Jones, Diego Novaes, Tiffany Fields, Jennifer Peresie, and Greg Pizzo, and DOJ Trial Attorney John Scanlon
Orlando Division
Brian Blake
Possession of device-making equipment
Maximum Prison Term: 15 Years
Access device fraud
Maximum Prison Term: 10 Years
Aggravated identity theft
Maximum: Prison Term: Two Years Consecutive
PPP/UI
$832k
This COVID Fraud case from the Orlando Division is being handled by AUSAs Chauncey Bratt
Jacksonville Division
Desmond Williams
Wire fraud conspiracy
Maximum Prison Term: 20 Years
Wire fraud
Maximum Prison Term: 20 Years
PPP
$40k
Kenneth Landers
Wire Fraud
Maximum Prison Term: 20 Years
Money Laundering
Maximum Prison Term: 30 Years
PPP
$1.4M
These COVID Fraud cases from the Jacksonville Division are being handled by AUSA Kevin Frein and Michael Coolican
Sentenced Cases
Tampa Division
Louis Thornton, III
Wire Fraud
Sentence Imposed: 42 months in federal prison
EIDL/PPP
$815k
Kary Stevenson
Corey Quinn
Conspiracy to commit access device fraud and aggravated identity theft
Sentence Imposed: 5 years, 10 months in federal prison (Stevenson)
Sentence Imposed:7 years in federal prison (Quinn)
UI
$1M
Bridgitte Keim
Bank fraud
Sentence Imposed: 2 years in federal prison
PPP
$588k
Wayne Ganaway
Conspiracy to commit wire fraud
Sentence Imposed: 4 years in federal prison
EIDL
$300k
Eriaius Bentley
Racketeering conspiracy, aggravated identity theft, access device fraud
Sentence Imposed: One year in federal prison
UI
$3M
Rolanda Wingfield
Access device fraud, Aggravated identity theft
Sentenced Imposed: 3 years in federal prison
UI
$135k
Tywon Spann
Racketeering conspiracy, aggravated identity theft, access device fraud
Sentence Imposed: 6 years and 9 months in federal prison
UI
$3M
Randy Jones
Wire fraud, aggravated identity theft
Sentence Imposed: 5 years and 1 month in federal prison
EIDL/UI
$250k
Julio Lugo
Conspiracy to commit money laundering
Sentence Imposed: 7 years and 6 months in federal prison
EIDL/PPP
$4.4M
Keith Nicoletta
Conspiracy to commit money laundering
Sentence Imposed: 24 months in federal prison
PPP
$1.9M
Rosenide Venant
Conspiracy to commit money laundering
Sentence Imposed: 5 years in federal prison
EIDL/PPP
$413k
Melinda Hernandez
Conspiracy to commit wire fraud
Wire fraud and aggravated identity theft
Sentence imposed: Three years and six months in federal prison
UI
$1.5M
Bri’antina Mills
Wire fraud and theft of government funds
Sentence imposed: 15 months in federal prison
$10K
Jorge Gutierrez Echeverria
Wire fraud
Sentence imposed: Two years and six months in federal prison
EIDL
$150k
Omar Esquivel Bello
Wire fraud
Sentence imposed: 15 months in federal prison
EIDL
$242k
Steve Moodie
Conspiracy to commit wire fraud, wire fraud, aggravated identity theft
Sentence imposed: 5 years and 10 months in federal prison
UI
$1.5M
Richard Simpkins
Conspiracy to commit money laundering
Sentence imposed: 5 years and 10 months in federal prison
PPP
$1.9M
These COVID Fraud cases from the Tampa Division were handled by AUSAs Rachel Jones, Greg Pizzo, Tiffany Fields, Diego Novaes, Jennifer Peresie, and SAUSA Chris Poor
Orlando Division
Daniel Johnson
Conspiracy to commit wire fraud, aggravated identity theft, unlawful transfer of firearm
Sentence Imposed: 7 years, 6 months in federal prison
UI
$2.3M
Jacquavius Smith
Possession of short-barreled rifle; felon in possession of firearm; and aggravated identity theft
Sentence Imposed: 7 years, 1 month in federal prison
PPP
$10k
Johnson Eustache
Wire fraud
Sentence Imposed: 5 years in federal prison
EIDL/PPP
$2.2M
Joseph Harrison
Conspiracy to commit wire fraud
Sentence Imposed: 12 months in federal prison
UI
$2.1M
Tomas Ziupsnys
Conspiracy to commit bank fraud; bank fraud; aggravated identity theft
Sentence Imposed: 5 years in federal prison
PPP
$2M
Holly Urban
Conspiracy to commit bank fraud
Sentence Imposed: 30 months in federal prison
PPP
$1.5M
Joel Greenberg
Conspiracy to commit wire fraud and other offenses while on pretrial release
Sentence Imposed: 11 years in federal prison
EIDL
$430k
Don Cisternino
Wire fraud, illegal monetary transactions, and aggravated identity theft
Sentence Imposed: 8 years and 6 months in federal prison
PPP
$7.2M
Keith Ingersoll
Conspiracy to commit wire fraud, wire fraud, aggravated identity theft
Sentence imposed: 9 years, 1 month in federal prison.
EIDL
$66k
Jaheim Davis
Access device fraud and aggravated identity theft
Sentence imposed: 3 years, 6 months in federal prison.
UI
$219k
Teresa McIntyre
Conspiracy to commit wire fraud and other offenses
Sentence Imposed: 5 years’ probation
EIDL
$730k
These COVID Fraud cases from the Orlando Division were handled by AUSAs John Gardella, Amanda Daniels, Chauncey Bratt, Emily Chang, Shannon Laurie, and Jennifer Harrington, and U.S. Attorney Roger Handberg
Jacksonville Division
Jacob Byrd
Wire fraud
Sentence Imposed: probation
PPP
$10k
This COVID Fraud case from the Jacksonville Division was handled by AUSA Kevin Frein
Fort Myers Division
Casey Crowther
Bank fraud, false statement to a financial institution, illegal monetary transaction
Sentence Imposed: 3 years, 1 month in federal prison
PPP
$2.7M
Anthony Bruey
Amber Bruey
Conspiracy to commit wire fraud, wire fraud, conspiracy to commit money laundering, illegal monetary transactions
Sentence Imposed:
Anthony Bruey: 4 years, 3 months in federal prison
Amber Bruey: 4 years in federal prison
PPP/EIDL
$881k
Edrica Leann Watson
False statement to a lending institution
Sentence Imposed: 15 months in federal prison
PPP
$392k
Daniel Joseph Tisone
Wire fraud, bank fraud, money laundering, aggravated identity theft, possession of ammunition by a prohibited person
Sentence Imposed: 7 years in federal prison
PPP/EIDL/MSLP
$10.7M
Liliana Gonzalez
Wire fraud
Sentence Imposed: 5 years of probation with 18 months of home confinement
PPP
$169k
Al Clint LaRoche
Bank fraud
Sentence Imposed: Two years in federal prison
PPP
$1M
These COVID Fraud cases from the Fort Myers Division were handled by AUSAs Trent Reichling, Michael Leeman, and Jesus M. Casas
Ocala Division
Lavelle Harris
Wire Fraud
Sentence Imposed: Two years and three months in federal prison
PPP
$1.2M
This COVID Fraud case from the Ocala Division was handled by AUSA Hannah Nowalk
Types of Fraud*
Economic Injury Disaster Loan (EIDL)
Paycheck Protection Program (PPP)
Unemployment Insurance (UI)
Main Street Lending Program (MSLP)
Emergency Rental Assistance Program (ERAP)
Health Care Fraud (HCF)
Middle District of Florida Project Safe Neighborhoods Strategy Nets More Than 100 Federal Defendants and 147 Illegal Firearms in Third QuarterRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces today the results of the third quarter of fiscal year 2023 Project Safe Neighborhoods (PSN) strategy. During the third quarter, ending on June 30, 2023, the United States Attorney’s Office for the Middle District of Florida has prosecuted 107 defendants for federal firearms and violent crime offenses, removing 147 firearms from our streets in the process. The prosecutions include defendants who have been indicted, pleaded guilty, convicted at trial, or who have been sentenced. (See chart for case details.)
The U.S. Attorney’s Office has also engaged in community outreach efforts aimed at violent crime prevention throughout the year. Those efforts in the third quarter involved approximately 200 individuals. These community outreach efforts included presentations to elementary, middle and high school students, meetings with community leaders, and re-entry programs. Middle District of Florida re-entry presentations included federal prosecutors visiting state prisons to speak with inmates nearing their release dates.
“Our office is committed to reducing violent crime throughout the Middle District of Florida,” said U.S. Attorney Roger B. Handberg. “We will continue working with our law enforcement partners and community stakeholders as part of our joint effort to make our communities safer.”
PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. This evidence-based program has proven to be effective at reducing violent crime by engaging a broad spectrum of stakeholders working together to identify the most pressing violent crime problems in communities and developing comprehensive solutions that reduce crime. As part of this strategy, PSN focuses on prevention and intervention efforts through community engagement and problem-solving partnerships, strategic enforcement of the most violent offenders, and locally based re-entry programs to reduce recidivism.
Q3 PSN case highlights:
United States v. Alex Winters (Ft. Myers)
According to court documents, on May 7, 2020, deputies with the Collier County Sheriff’s Office stopped a car for a traffic violation. After a deputy noted the smell of marijuana, the car was searched. Alex Winters was in the vehicle and beneath his seat, deputies located a loaded 9mm pistol and a fanny pack with distribution amounts of crack cocaine, powder cocaine, and eutylone. Also, inside the fanny pack, deputies found a digital scale, baggies, a drug ledger, and 9mm ammunition. Winters was convicted at trial and later sentenced to 40 years in federal prison.
United States v. Kristopher Ervin and Matthew Hoover (Jacksonville)
On April 21, 2023, a federal jury found Kristopher Ervin and Matthew Hoover guilty of conspiring to transfer unregistered machinegun conversion devices that they referred to as “Auto Key Cards,” and multiple counts of transferring unregistered machinegun conversion devices. Ervin was also convicted of possessing unregistered machinegun conversion devices and structuring cash transactions to avoid currency transaction reporting requirements. According to court records, in January 2021, Ervin’s bank contacted the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to report that employees believed that Ervin was trafficking in machinegun conversion devices. Subsequent investigation revealed that Ervin was running an online business selling machinegun conversion devices, known as lightning links, etched into metal cards, which he referred to as Auto Key Cards.
A lightning link can be dropped into an otherwise legal AR-15 type firearm and convert it into a fully automatic machinegun. Hoover operated a YouTube channel on which he advertised Auto Key Cards. Hoover’s videos advertising the Auto Key Card led to a substantial increase in Ervin’s sales. Ervin sold more than 2,000 Auto Key Cards in only a few months. Ervin compensated Hoover for his advertisements by sending cash through the mail. Sentencing hearings for Ervin and Hoover are scheduled for September 2023.
United States v. Christopher Munroe (Ocala)
On June 15, 2023, Christopher Richard Munroe was sentenced to 4 years and 9 months in federal prison for possessing a firearm as a convicted felon. According to court records, on November 14, 2022, law enforcement responded to a call from the owner of a moving company who had discovered his employee, Munroe, had stolen three firearms while packing a residence for customers. Munroe fled when confronted about the missing firearms and was soon located hiding in the landscaping of a nearby business. Munroe had hidden the stolen firearms, seven ammunition magazines, and ammunition in that same location. Munroe had previously been convicted of second-degree murder in New York and was released on parole in 2018. As a convicted felon, he is prohibited from possessing firearm and ammunition under federal law.
United States v. Joel Fonseca Flores (Orlando)
On May 2, 2023, Joel David Fonseca Flores was charged with conspiracy to distribute fentanyl causing death, possession of fentanyl and cocaine with the intent to distribute it, and possession of a firearm in furtherance of drug trafficking. According to court records, in April 2022, Flores conspired to distribute fentanyl that resulted in the death of an individual. Flores is further charged with possessing drugs and a firearm on October 3, 2022, following a traffic stop in Orlando. Officers from the Orlando Police Department recovered a loaded firearm and several bags of drugs from inside the vehicle, including cocaine and fentanyl. An indictment is merely a formal charge that a defendant has violated one or more federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
Robles Park RICO (Tampa)
In June 2023, Keaujay Hornsby was sentenced to 16 years and 6 months in federal prison and Kareem Spann was sentenced to 10 years and 10 months in federal prison for criminal conduct committed by, and on behalf of, the Racketeering Influenced and Corrupt Organization (RICO) group known as the “Robles Park Enterprise.” These crimes included a series of shootings, attempted murder, drug trafficking, fraud, and identity theft. According to court documents,in the early morning of July 19, 2020, Hornsby and other members of the Enterprise congregated outside the Truth Lounge club in Tampa. The streets and sidewalks were flooded with people, including rival gang members in the parking lot outside the club. Spann drove through the crowd, while Hornsby engaged in a verbal altercation with rival gang members. Hornsby then pulled out a firearm and fired into the crowd. The shooting resulted in the injury of at least eight people, including children. Law enforcement later recovered dozens of ammunition casings. Six days later, and in retaliation for the Truth Lounge shooting, three rival gang members ambushed and opened fire on Hornsby and Spann as they exited the International Plaza in Tampa. In total, seven vehicles were struck by gunfire, including two occupied by innocent bystanders. Law enforcement later determined that at least 25 bullets had been fired from three different firearms. On July 27, 2020, while driving in Tampa, Hornsby and Spann followed a rival gang member and later opened fire on a residential street, unleashing dozens of shots at his target. In addition to acts of violence, the Robles Park Enterprise also trafficked in cocaine, marijuana, and firearms. Members of the Robles Park Enterprise also used the personal identifying information (PII) of other persons to submit false applications to claim unemployment benefits to which they were not entitled. In total, the defendants submitted over 200 fraudulent claims, in 20 different states, with an intended loss of approximately $2.8 million dollars. On June 10, 2022, a third member of this conspiracy, Tywon Spann was sentenced to 6 years and months’ imprisonment.
These cases are being prosecuted by the Assistant United States Attorneys in all five divisions throughout the Middle District of Florida. For additional information on Project Safe Neighborhoods, please visit our website: https://www.justice.gov/usao-mdfl/project-safe-neighborhoods-0.
Charged Cases
Defendant(s)
(Age)
Charges
Minimum/Maximum Terms of Imprisonment
Firearms Seized
Fort Myers Division
Chester Lewis Risco, III (19)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
Nicholas Munson Troemner (40)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
Christopher Jorge Ponce (36)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
These PSN cases from the Fort Myers Division are being handled by AUSAs Mark Morgan and Simon Eth.
Jacksonville Division
Kristofferson Farmer, Jr. (22)
Possession with the intent to distribute controlled substances, and possession of a firearm in furtherance of the drug trafficking offenses.
Minimum mandatory prison term: 5 years, up to life imprisonment
3
Houston James Fender (31)
Possession of a firearm by a convicted felon
Maximum prison term: 15 years
21
Edgar Guintivano (51)
Possession with intent to distribute methamphetamine
Minimum mandatory prison term: 5 years, up to 40 years
Possessing a firearm in furtherance of a drug trafficking crime.
Minimum mandatory prison term: 5 years
2
Edwin Sherwood Gustafson, IV (30)
Possession with the intent to distribute a controlled substance.
Maximum prison term: 20 years per count
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
2
Jaylin Orange (19)
Possession of a machinegun.
Maximum prison term: 10 years
1
Donald Plemmons (44)
False statements to a federal firearms dealer.
Maximum prison term: 5 years
0
Dwayne Eric Thompson (39)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
Jamie Thompson (49)
False statements to a federal firearms dealer.
Maximum prison term: 5 years
0
Peter Alexander Lawrence (31)
False statements to a federal firearms dealer
Maximum prison term: 5 years
0
Elliott Alex Sims (55)
Possession of a firearm as a convicted felon.
Maximum prison term: 10 years
Distribution of cocaine (6 counts).
Maximum prison term: 20 years per count
1
These PSN cases from the Jacksonville Division are being handled by AUSAs John Cannizzaro, Brenna Falzetta, David Mesrobian, Aakash Singh, Frank Talbot, and Kevin Frein.
Ocala Division
Alexander Timothy Rosa (31)
Possession of a firearm as a convicted felon.
Maximum prison term: 10 years
Possession of a stolen firearm.
Maximum prison term: 10 years
Stealing a firearm from a federal firearms licensee.
Maximum prison term: 10 years
1
Eddie Lee Parks, II (24)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
Craig Antwon O’Neal (53)
Possession of a firearm by a convicted felon.
Minimum mandatory prison term:
15 years, up to life imprisonment
1
Brian David Casey (35)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
2
These PSN cases from the Ocala Division are being handled by AUSAs William Hamilton, Hannah Nowalk, and Belkis H. Crockett.
Orlando Division
Jacoby Jules Colon (20)
Conspiracy to rob a postal carrier.
Maximum prison term: 5 years
Robbery of a postal carrier.
Maximum prison term: 25 years
Brandishing a firearm in furtherance of a crime of violence.
Minimum mandatory prison term: 7 years, up to life imprisonment
4
Christian Ponce (31),
Rodney Hernandez (27)
Possession of a firearm by convicted felon.
Maximum prison term: 15 years
3
Alfred Lamar Shavers (49)
Possession of firearm by convicted felon (Armed Career Criminal).
Minimum mandatory prison term: 15 years, up to life imprisonment.
9
Christian Arroyo-Rivera (30)
Possession of firearm by a convicted felon.
Maximum prison term: 10 years
Possession with the intent to distribute cocaine.
Minimum mandatory prison term: 5 years, up to 40 years
1
Joel David Fonseca Flores (41)
Distribution of fentanyl causing death.
Minimum mandatory prison term: 20 years, up to life imprisonment
Possession with intent to distribute fentanyl and cocaine.
Maximum prison term: 20 years
Possession of a firearm in furtherance of a drug trafficking crime.
Minimum mandatory prison term: 5 years consecutive, up to life imprisonment
3
Zachary Ramyard (22)
Conspiracy to rob a postal carrier, robbery of postal carrier.
Maximum prison term: 35 years
0
Camilo Ignacio Vivas Sanchez (20)
Conspiracy to rob a postal carrier, robbery of postal carrier.
Maximum prison term: 35 years
0
Robert Pringle (34)
Possession of firearm as a convicted felon.
Maximum prison term: 10 years
2
Nelson Henderson (21)
Hobbs Act robbery (3 counts).
Maximum prison term: 20 years per count
Brandishing a firearm in furtherance of a crime of violence (3 counts).
Minimum mandatory prison term: 7 years, up to life imprisonment per count
0
Brandon Eugene Brooke (29)
False statements in application for purchase of firearm.
Maximum prison term: 5 years
7
These PSN cases from the Orlando Division are being handled by AUSAs Michael Felicetta, Lauren Stoia, John Gardella, Shannon Laurie, Kara Wick, Megan Testerman, and Terry Livanos.
Tampa Division
Jason Washington (42)
Distribution of controlled substance, possession of a controlled substance with the intent to distribute it.
Maximum prison term: 20 years per count
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
Milton Anthony Bradshaw (43)
Possession of a firearm and ammunition by a convicted felon.
Minimum mandatory prison term:15 years, up to life imprisonment
0
John Knight (45)
Possession of a firearm and ammunition by a convicted felon.
Maximum prison term: 15 years
0
Antonio McCray (22)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
0
John Alexis (30)
Possession of a firearm and ammunition by a convicted felon.
Maximum prison term: 15 years
0
These PSN cases from the Tampa Division are being handled by AUSAs Samantha Newman, Michael Kenneth, and Diego F. Novaes
Adjudicated Cases
Defendant(s)
(Age)
Charges
Minimum/Maximum Terms of Imprisonment
Firearms Seized
Fort Myers Division
Javonte Keyon Whitfield (25)
Possession of a firearm and ammunition by a convicted felon.
Maximum prison term: 10 years
1
Samuel Robert Bruner (47)
Possession of firearms and ammunition by a convicted felon.
Minimum mandatory prison term: 15 years, up to life imprisonment
2
Travis Lavon Anderson (36)
Possession of a firearm by a convicted felon.
Maximum prison term: 10 years
3
Michael Karp (50)
Possession of a firearm by a convicted felon.
Minimum mandatory prison term: 5 years, up to life imprisonment
1
These PSN cases from the Fort Myers Division are being handled by AUSAs Simon R. Eth, Patrick L. Darcey, and Mark R. Morgan.
Jacksonville Division
Cody Mack McCormick (35)
Possession of ammunition by a convicted felon.
Maximum prison term: 15 years
0
Thelonious Wayne Kirby (51)
Possession of a firearm by a convicted felon.
Maximum prison term: 10 years
1
Kristopher Justinboyer Ervin (43)
Matthew Raymond Hoover (39)
Conspiracy to transfer unregistered machinegun conversion devices.
Maximum prison term (Ervin): 110 years
Maximum prison term (Hoover): 45 years
0
Dylan Milton Jarvis (31)
Unlawful possession of an unregistered National Firearms Act firearm (sawed-off shotgun).
Maximum prison term:10 years
1
Dr. Rakesh Verma (46)
Making false statement to federal firearms dealer.
Maximum prison term: 5 years
0
Paul Steven Hulbert (27)
Unlawful possession of an unregistered National Firearms Act firearm (sawed-off shotgun).
Maximum prison term: 10 years
7
Byron Jones, Jr. (34)
Making false statement to a federally licensed firearms dealer during the attempted purchase of two firearms.
Maximum prison term: 5 years
0
These PSN cases from the Jacksonville Division are being handled by AUSAs Michael J. Coolican, Frank Talbot, Laura Cofer Taylor, David B. Mesrobian, and Kevin C. Frein.
Ocala Division
Wayne Allen Phillips, Jr. (45)
Possession of a firearm and ammunition by a convicted felon.
Minimum mandatory prison term:
15 years, up to life imprisonment
1
David Robinson, Jr. (24)
Possession of an unregistered National Firearms Act firearm.
Maximum prison term: 10 years
1
Luis Alicea (29)
Possession of a firearm by a convicted felon.
Minimum mandatory prison term:
15 years, up to life imprisonment
1
Brandon Jamal Alex Grant (22)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
These PSN cases from the Ocala Division are being handled by AUSAs William S. Hamilton and Sarah Janette Swartzberg.
Orlando Division
Bernard Rogers (35)
Hobbs Act robbery (2 counts).
Maximum prison term: 20 years per count
Bank robbery.
Maximum prison term: 20 years
Brandishing a firearm in furtherance of a crime of violence (2 counts).
Minimum mandatory prison term: 7 years, up to life imprisonment per count
1
Michael Jerome Virgil (28)
Bank robbery.
Maximum prison term: 20 years
Brandishing a firearm in furtherance of a crime of violence.
Minimum mandatory prison term: 7 years, up to life imprisonment
1
Rany Jonathan Parrales (35)
Making a false statement to a federally licensed firearms dealer during the purchase of a firearm.
Maximum prison term:10 years
7
Robert J. Potocnack (48)
Possession with intent to distribute methamphetamine
Minimum mandatory prison term: 10 years, up to life imprisonment.
Possession of a firearm in furtherance of drug trafficking crimes.
Minimum mandatory prison term:
5 years consecutive, up to life imprisonment.
2
Alvarez Caprio Cosby (25)
Desmond Nyshon Smith (18)
Possession of firearm as a convicted felon.
Maximum prison term: 15 years
3
Leo Lamar Massey, III (47)
Possession of a firearm and ammunition by convicted felon.
Maximum prison term:10 years
1
DaMarris Saint-Juste (20)
Marcus Ellington (21)
Hobbs Act robbery (2 counts).
Maximum prison term: 20 years
Brandishing a firearm in furtherance of a crime of violence (2 counts).
Minimum mandatory prison term: 7 years, up to life imprisonment
0
These PSN cases from the Orlando Division are being handled by AUSAs Dana Hill, Megan Testerman, Terry Livanos, and Ranganath Manthripragada.
Tampa Division
James John Hall (34)
Unlawfully making a firearm (destructive device).
Maximum prison term: 10 years
1
Toney Dewayne Salter (31)
Possession of a firearm by a convicted felon.
Minimum mandatory prison term: 15 years, up to life imprisonment
1
John Charles Anderson (39)
Bank robbery.
Maximum prison term: 25 years
1
Armani Dilworth (28)
Possession of controlled substances with the intent to distribute.
Maximum prison term: 20 years
Possession of a firearm during a drug trafficking offense.
Minimum mandatory prison term: 5 years, up to life imprisonment
0
Lemar Cowart (27)
Possession of controlled substances with the intent to distribute.
Maximum prison term: 20 years
Eugene Washington, Jr. (36)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
Possession with the intent to distribute fentanyl.
Maximum prison term: 40 years
0
Kranston Algeno Rolle (33)
Firearms trafficking.
Maximum prison term: 15 years
2
Terrance Thompson (42)
Possession of a firearm by a convicted felon.
Maximum prison term: 15 years
1
These PSN cases from the Tampa Division are being handled by AUSAs Samantha Newman, Daniel J. Marcet, Risha Asokan, David Sullivan, Samantha Beckman, and David W.A. Chee.
Sentenced Cases
Defendant(s)
(Age)
Charges
Sentence Imposed
Firearms Seized
Fort Myers Division
Terry Kristopher Flournoy (23)
Possession of a firearm and ammunition as a convicted felon.
Sentence imposed: 2 years, 6 months
1
Clayton Mack Rhodes (45)
Possession of a firearm by a convicted felon.
Sentence imposed: 7 years, 6 months
1
Jontavius Jarquel Griffin (34)
Possession of a firearm by a convicted felon.
Sentence imposed: 5 years,10 months
1
Doumy Joseph (27)
Possession with the intent to distribute controlled substance and possession of a firearm by a convicted felon.
Sentence imposed: 6 years, 9 months
2
Alphonso Lataurean James (29)
Possession of a firearm by a convicted felon.
Sentence imposed: 7 years, 8 months
1
Alex Winters (44)
Possession of a firearm and ammunition by a convicted felon, possession of controlled substances with intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime.
Sentence imposed: 40 years
1
These PSN cases from the Fort Myers Division were handled by AUSAs Mark Morgan, Simon R. Eth, and Trent Reichling.
Jacksonville Division
Terry Lenard Shipman (48)
Possession of a firearm by a convicted felon.
Sentence imposed: 5 years,5 months
1
Cory Lee Kelly (35)
Possession of a firearm by a convicted felon.
Sentence imposed: 4 years, 9 months
2
Leonard M. Green (51)
Possession with intent to distribute methamphetamine, and possession of a firearm by a convicted felon.
Sentence imposed: 15 years
1
Ronald Bernard Thomas, Jr.
Selling methamphetamine while armed with two pistols.
Sentence imposed: 20 years
2
Sabastian Amrine (20)
Brandon Bayne (25)
Five armed robberies of convenience stores.
Sentence imposed (Amrine): 16 years, 8 months
Sentence imposed (Bayne): 10 years
1
Johnny Deangelo White (46)
Possession with intent to distribute fentanyl and the use of a firearm during a drug trafficking offense.
Sentence imposed: 8 years, 4 months
1
These PSN cases from the Jacksonville Division were handled by AUSAs John Cannizzaro, Michael Coolican, Kirwinn Mike, and Laura Cofer Taylor.
Ocala Division
Timothy Eric Evans (41)
Possession of a firearm by a convicted felon.
Sentence imposed: 15 years
1
Nishera Remon Johnson (42)
Conspiracy to distribute narcotics and possession of a firearm as an Armed Career Criminal.
Sentence imposed: 16 years, 8 months
1
Christopher Richard Munroe (55)
Possession of a firearm by a convicted felon.
Sentence imposed: 4 years, 9 months
1
Justin Heath Griffin (34)
Possession of a firearm by a convicted felon.
Sentence imposed: 15 months
1
These PSN cases from the Ocala Division were handled by AUSAs Hanna Nowalk, William S. Hamilton, and Belkis H. Crockett.
Orlando Division
Wendell Harp (24)
Carlos Tawan Reed, Jr. (23)
Deontrae Walden (23)
Bank burglary and bank theft in connection with the destruction of an ATM.
Sentence imposed (Harp): 2 years, 6 months
Sentence imposed (Reed): 4 years, 3 months
Awaiting sentence (Walden)
0
Nacoe Ray Brown (54)
Bank robbery and violating the terms of his supervised release.
Sentence imposed: 10 years
1
Ramondo Zavious Williams (42)
Possession of a firearm by a convicted felon and possession with the intent to distribute 50 grams or more of a mixture and substance containing methamphetamine.
Sentence imposed: 6 years
1
Darrius Jaques Garrett (33)
Possession of a firearm and ammunition by a convicted felon.
Sentence imposed: 7 years, 6 months
1
Curtis Tyrone Johnson (35)
Possession of a firearm by a convicted felon and possession with intent to distribute various controlled substances.
Sentence imposed: 15 years
1
Jesus Rojas (21)
Tarick Charles (22)
Conspiracy to rob a postal carrier (Rojas and Charles); armed postal robbery (Rojas) and theft of arrow key and receipt of stolen property (Charles)
Sentence imposed (Rojas): 7 years, 3 months
Pending sentencing (Charles)
0
Elsie Marie Crespo (27)
Possession with intent to distribute controlled substances (3 counts); possession of a firearm in furtherance of a drug trafficking crime.
Sentence imposed: 15 years
1
These PSN cases from the Orlando Division were handled by AUSAs Michael Felicetta, Sarah Megan Testerman and Shannon Laurie, Courtney D. Richardson-Jones, Beatriz Gonzalez, and Kara Wick.
Tampa Division
Enrique Marquez (26)
Hobbs Act robberies, conspiracy to commit those robberies, and brandishing a firearm during the commission of the robberies.
Sentence imposed: 17 years, 11 months
1
Jesus Rivas (29)
Unlawful possession of ammunition by a convicted felon.
Sentence imposed: 8 years, 4 months
0
Niko Wimbley (30)
Possession of a firearm by a convicted felon.
Sentence imposed: 5 years
1
Christian Joel Andujar Rivera (25)
Possession of a firearm by a convicted felon.
Sentence imposed: 4 years, 4 months
1
Patraic Setzer (29)
Possession of a firearm by a convicted felon.
Sentence imposed: 3 years, 5 months
1
Christopher Alvarez (19)
Dyonnie Alvarez (22)
Hobbs Act robberies, conspiracy to commit those robberies, and brandishing a firearm during a crime of violence during the commission of the robberies
Sentence imposed (C. Alvarez): 15 years
Sentence imposed (D. Alvarez): 15 years
1
Jamaal Black (21)
Armed robberies and discharging a firearm during one of the robberies.
Sentence imposed: 15 years
1
Micheal Hankerson (31)
Possession of firearms and ammunition by a convicted felon.
Sentence imposed 6 years
1
Raequan M. Nelson (24)
Possession of a firearm and ammunition by a convicted felon.
Sentence imposed: 5 years
0
Corey Small (44)
Interfering with commerce by robbery, using and brandishing a firearm in furtherance of a crime of violence, conspiring to distribute cocaine, possessing a firearm by a convicted felon, and possessing, brandishing, and discharging a firearm in furtherance of a drug trafficking crime, causing death by murder.
Sentence imposed: 25 years
0
Dempsey Gilmore (32)
Conspiracy to distribute methamphetamine and marijuana, possession with the intent to distribute methamphetamine and marijuana, carrying a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon.
Sentence imposed: 30 years
1
Jamel Middleton (27)
Possession with the intent to distribute a controlled substance and being a felon in possession of a firearm.
Sentence imposed: 15 years and 8 months
5
Deshawn Martin (26)
Hobbs Act robbery.
Sentence imposed: 20 years
0
These PSN cases from the Tampa Division were handled by AUSAs Samantha Newman, Charlie Connally, David W. A. Chee, Shauna Hale, Michael Sinacore, Michael Kenneth, Charlie Connally, and Samantha Beckman
Mason City Man Sentenced to Federal Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
A man who conspired to distribute methamphetamine in the Mason City area was sentenced on July 10, 2023, to 11 years in federal prison.
Felix Allen Arp, age 31, from Mason City, Iowa, received the prison term after a March 2, 2023, guilty plea to one count of conspiracy to distribute methamphetamine.
In a plea agreement, Arp admitted to conspiring with others to distribute methamphetamine from 2020 to May 2022, in the Mason City area. He was receiving methamphetamine from multiple sources and distributing it. He also fronted drugs to multiple people and collected money after they were able to sell the drugs.
Arp was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Arp was sentenced to 132 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Arp 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 Jack Lammers and investigated by the Cerro Gordo Sheriff’s Office, Clear Lake Police Department, Mason City Police Department, Iowa Department of Narcotics Enforcement, and the North Central Iowa Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 22-CR-3022.
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Maritime Smuggler Sentenced to Five Years for Alien Smuggling, Intentionally Ramming Coast Guard VesselRead the Press Release
NEWS RELEASE SUMMARY – July 12, 2023
SAN DIEGO – Jesus Jeovanny Alcaraz-Valdez was sentenced in federal court today to 60 months in prison for bringing in nearly a dozen undocumented migrants for financial gain and ramming a Coast Guard vessel in an attempt to escape law enforcement.
At the sentencing hearing, U.S. District Judge Jinsook Ohta described Alcaraz’s actions as “extremely reckless and extremely troubling” and emphasized the danger to human life.
During the early morning hours of December 17, 2022, Alcaraz shuttled an estimated 12 undocumented migrants from Mexico across the maritime boundary line to the vicinity of the Hotel Del Coronado in Coronado, California. Before reaching shore, Alcaraz instructed the individuals to remove lifejackets and enter waist-deep surf, even though some could not swim. Eight individuals were apprehended by U.S. Border Patrol agents while four persons were assessed to have absconded. The individuals from Mexico and Guatemala were paying between $13,000 and $24,000 to be smuggled into the United States illegally.
The U.S. Coast Guard Joint Harbor Operations Center observed Alcaraz complete the drop-off near Coronado and return to sea on a southerly course toward Mexico. Responding to the event, a U.S. Coast Guard vessel patrolling in the area attempted to compel Alcaraz—the sole operator of the lights-out, panga-style vessel operating at 30-40 knots—to stop. Alcaraz repeatedly ignored the orders of the Coast Guard. Ultimately, after a brief respite from chase while Alcaraz switched fuel barrels, Alcaraz increased speed and steered directly toward the Coast Guard vessel, ramming them twice with his vessel’s pointed bow.
The first ramming hit the middle of the Coast Guard vessel, while the second caused the forward starboard window of the Coast Guard vessel to shatter to pieces and nearly hit a Coast Guard officer positioned in the co-pilot’s seat. After the ramming, the Coast Guard fired two shots into the panga’s outboard engine, successfully disabling it. All four law enforcement officers on board sustained minor neck and back injuries as a result of the ramming and were treated by medical personnel once safely ashore.
Alcaraz was arrested on December 17, 2022 and indicted in January 2023. He pleaded guilty to 12 counts in March 2023.
“Maritime smuggling is extremely dangerous and puts the lives of the passengers being smuggled, and the law enforcement officers safeguarding our borders, at serious risk,” said U.S. Attorney Randy Grossman. “This defendant not only endangered the individuals he transported by operating an overloaded panga in the dark with no navigation lights, but he double downed on his bad decision-making when he intentionally harmed members of our Coast Guard. The U.S. Attorney’s Office will continue our efforts to relentlessly pursue justice against smugglers who have no regard for human life and who assault our law enforcement agency partners.” Grossman thanked the prosecution team and the combined efforts of the Marine Task Force, HSI, and CGIS for their excellent work on this case.
“Our highest concern during any mission is the safety of our Coast Guard members,” said Rear Admiral Andrew Sugimoto, Commander, Coast Guard District 11. “When their safety becomes threatened, it becomes clear that these smugglers are operating with a disregard for life. As a service, we will continue to put people first and hold those individuals accountable who continue to jeopardize human life.”
DEFENDANT Case Number 23cr0057-JO
Jesus Jeovanny ALCARAZ-Valdez Age: 33 Mexico
SUMMARY OF CHARGES
Counts 1-3: Bringing in Certain Aliens for Financial Gain – Title 8, U.S.C., 1324(a)(2)(B)(ii)
Minimum penalty: Five years in prison
Maximum penalty: Fifteen years in prison
Counts 7-10: Assault on a Federal Officer – Title 18, U.S.C., 111(a)(1) and (b)
Maximum penalty: Twenty years in prison
Counts 11-14: Assault Within Special Maritime and Territorial Jurisdiction – Title 18, U.S.C., 113(a)(2)
Maximum penalty: Ten years in prison
Count 15: Failure to Heave To – Title 18, U.S.C., 2237
Maximum penalty: Five years in prison
AGENCY
United States Coast Guard
Homeland Security Investigations
Coast Guard Investigative Service
United States Border Patrol
Air and Marine Operations (CBP)
Man Who Possessed Stolen Gun and Participated in Catalytic Converter Theft Ring Sentenced to 37 Months in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that THEODORE ROOSEVELT OWENS, 22, of Hartford, was sentenced today by U.S. District Judge Omar A. Williams in Hartford to 37 months of imprisonment, followed by three years of supervised release, for offenses related to his possession of a stolen firearm and his role in a catalytic converter theft ring.
According to court documents and statements made in court, on October 21, 2021, Vernon Police arrested Owens in a hotel parking lot on outstanding warrants. An investigation revealed that, shortly before his arrest, Owens possessed a loaded Zigana, Model PX-9 G2, 9mm pistol, which he had cause to believe was stolen, and approximately five grams of crack cocaine. The firearm was part of a shipment of 50 Zigana PX-9G2 pistols that was stolen from an R&L Carriers warehouse in South Windsor in August 2021.
The investigation further revealed that Owens had conspired with others in the theft and sale of catalytic converters. Between September 24 and October 17, 2021, Owens sold a co-conspirator $26,320 worth of catalytic converters, including converters that Owens knew were stolen. Owens’ co-conspirator transported the converters to other businesses, including businesses in New York and New Jersey, for further resale and profit.
Owens has been detained since his arrest. On February 9, 2023, he pleaded guilty to one count of unlawful possession of a stolen firearm and one count of conspiracy to commit interstate transportation of stolen property.
The firearm theft investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the South Windsor Police Department and East Hartford Police Department. The catalytic converter investigation is being led by the ATF, the Internal Revenue Service – Criminal Investigation Division (IRS-CI), and the East Hartford Police Department. These cases are being prosecuted by Assistant U.S. Attorneys Lauren C. Clark and A. Reed Durham.
Maine Man Going to Prison for Fentanyl TraffickingRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Ray C. Mack, Jr., 30, of Augusta, Maine, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 40 grams or more of fentanyl, was sentenced to serve 135 months in prison by U.S. District Judge Charles J. Siragusa.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that Mack was part of a drug trafficking organization that distributed quantities of fentanyl, para-fluorofentanyl, and cocaine in Rochester, NY, and Augusta, Maine. Members of the conspiracy operated a drug house at a Woodward Street residence in Rochester and a Waldo Street residence in Augusta, where they sold the illegal narcotics to customers. On May 26, 2021, a search warrant was executed at the Waldo Street residence, during investigators recovered seven grams of fentanyl and a loaded 9mm pistol. Mack was arrested at that location at the time of the search.
The sentencing is the result of an investigation by the Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino, the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter, and the Rochester Police Department and the Greater Rochester Area Narcotics Enforcement Team (GRANET), under the direction of Chief David M. Smith.
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Luzerne County Publishing Company Owner Pleads Guilty to Failing to Pay Federal Payroll TaxesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Tracey Biscontini, age 57, owner of Northeast Editing, Inc. a publishing company located in Jenkins Township, PA, pleaded guilty on July 10, 2023, before United States District Court Judge Robert D. Mariani, to failing to pay federal payroll taxes.
According to United States Attorney Gerard M. Karam, the criminal information to which Biscontini pleaded guilty alleges that from 2014 through 2019, Biscontini was required to withhold federal payroll taxes from employees’ pay and to pay over these monies to the Internal Revenue Service (I.R.S.). Biscontini acknowledged that she consistently failed to do this for the years indicated.
Biscontini admitted that the monetary loss attributable to her conduct was between $250,000.00 and $550,000.00, and she agreed to make restitution to the IRS in the amount of $448,617.38.
These charges stem from an investigation by IRS-Criminal Investigations. Assistant U.S. Attorney Jeffery St John is prosecuting the case.
The maximum penalty under federal law for this offense is five years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Long Island Bloods Gang Member Sentenced to Life Plus Twenty Two Years in Prison for Racketeering, Murder, Sex Trafficking, and Other CrimesRead the Press Release
Earlier today, in federal court in Central Islip, United States District Judge Joanna Seybert sentenced Bloods gang member Lawrence Lewis, also known as “L Boogs,” to life plus 22 years imprisonment following his conviction for the July 29, 2017 murder of John Birt, the 2014 forcible rape and sex trafficking of a Suffolk County woman, narcotics possession and distribution and witness tampering, as well as various firearms charges. Lewis was convicted by a federal jury in November 2021 following a four-week trial.
Breon Peace, United States Attorney for the Eastern District of New York, Raymond A. Tierney, Suffolk County District Attorney, Christie M. Curtis, Acting Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), and Rodney K. Harrison, Commissioner, Suffolk County Police Department (SCPD), announced the sentence.
“A mandatory life sentence is a fitting punishment for Lewis, a gang member who committed murder, rape, sex trafficking, and pushed drugs in our community,” stated Unites States Attorney Peace. “Through his allegiance to the Bloods, the defendant caused considerable harm to others, and that decision has now permanently cost him his freedom. I commend our prosecutors, and federal and local law enforcement partners for their collaborative work that has made Suffolk County safer as a result of the arrest and prosecution of this violent criminal.”
"The terror and violence this defendant unleashed on to Suffolk County is deplorable. Defendant Lewis's greed and thirst for power prompted him to commit murder, spread dangerous drugs throughout our communities and exploit those who owed him money by sex trafficking," stated Suffolk County District Attorney Tierney. "Thanks to our strong partnership with U.S. Attorney Breon Peace and our local and federal law enforcement partners, the public will be protected from this defendant for life."
“Today’s life sentence assures that Lawrence Lewis’ violent criminal behavior that plagued Long Island communities has been brought to a definitive conclusion,” said HSI Special Agent in Charge Ivan J. Arvelo. “While nothing can erase the pain and suffering endured by his victims, no one else will be harmed by this unrepentant individual who has shown a wanton disregard for human life. I am especially grateful to the HSI special agents and task force officers, the FBI, SCPD, and the prosecutorial team whose dedication and professionalism ensured that justice prevailed in this case.
“Lewis is a career criminal, who committed heinous acts without remorse, and caused irreparable damage to victims and their families," Suffolk County Police Commissioner Rodney K. Harrison said. "The Suffolk County Police Department will continue to work with our law enforcement partners to ensure perpetrators like Lewis never see freedom again and I commend Eastern District of New York for this result.”
Between January April 2004 and June 2019, Lewis utilized his membership in the Bloods street gang to distribute large quantities of cocaine base and heroin in Suffolk County. In order to protect his supply of narcotics, and secure his ability to distribute his narcotics, Lewis possessed a number of firearms, including an AR-15 assault rifle, a pistol-grip 12-gauge shotgun, a Mossberg .22 caliber rifle and a Ruger .45 caliber semi-automatic pistol.
Lewis also engaged in acts of extreme violence on the gang’s behalf. In 2021, Lewis forced a Suffolk County woman into prostitution, forcing her to engage in commercial sex acts until she repaid a debt to him. During the same period of time, Lewis forcibly raped the same woman. In addition, on July 29, 2017, Lewis shot and killed John Birt, a member of the Crips gang, at the Illusions Gentlemen’s Club in Deer Park, New York. While Birt and several friends posed for pictures inside the club. Lewis and a fellow Bloods gang member approached, and Lewis’ associate attempted to display a Bloods hand signal. An argument ensued. Lewis produced a .25 caliber firearm and fatally shot Birt in the abdomen. Following the shooting, Lewis confessed to the murder to a number of close acquaintances, even sending text messages stating that he was “sleeping good” and would “do it again.” In the lead-up to his federal trial, Lewis and others acting on his behalf, made efforts to prevent several witnesses from testifying against him through the use of veiled and implicit threats of violence.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Christopher C. Caffarone, Mark E. Misorek, Anthony Bagnuola and Special Assistant United States Attorney Kathleen A. Kearon are in charge of the prosecution, with the assistance of Paralegal Specialist Samantha Schroder.
The Defendant
LAWRENCE LEWIS (also known as “L Boogs”)
Age: 41
Residence: Calverton, New YorkE.D.N.Y. Docket No. 18-CR-187 (S-1) (JS)
Local man sent to prison after helping traffic over 250 kilograms of meth in gas tankRead the Press Release
BROWNSVILLE, Texas - A 42-year-old Brownsville resident has been ordered to federal prison following his conviction for conspiring to possess with intent to distribute liquid meth, announced U.S. Attorney Alamdar S. Hamdani.
Ernesto Vargas pleaded guilty March 7 to conspiracy to possess with intent to distribute approximately 253.2 kilograms of liquid meth.
U.S. District Judge Rolando Olvera has now ordered Vargas to serve 240 months in federal prison to be immediately followed by five years of supervised release. In handing down the sentence, the court noted his extensive criminal history and the seriousness of his conduct.
Vargas was responsible for helping Pedro Rodriguez III, 45, San Benito, transport the narcotics.
On Jan. 11, law enforcement conducted a traffic stop on a vehicle Rodriguez was driving after he switched lanes without signaling. They soon discovered Rodriguez had several pending state arrest warrants and took him into custody.
As they conducted a search of his vehicle, they found approximately 253.2 kilograms of liquid meth hidden inside an auxiliary gas tank. Rodriguez admitted he knew the meth was inside the gas tank and had agreed to transport the narcotics from South Texas to Dallas.
The meth had an estimated street value of over $650,000.
The investigation revealed Vargas and Rodriguez received the liquid meth from co-conspirators in Mexico and planned to transport the meth northwards so it could be divided for distribution. Law enforcement took Vargas into custody June 12, 2022.
Rodriguez was previously ordered to serve 120 months in federal prison to be immediately followed by five years of supervised release.
Vargas will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of the San Benito Police Department. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
Lawrence Man Pleads Guilty to Disaster Fund Fraud SchemeRead the Press Release
BOSTON – A Lawrence man pleaded guilty today in federal court in Boston to using stolen identities to fraudulently obtain over $450,000 in Economic Injury Disaster Loan funds from the Small Business Administration (SBA) and to launder the funds.
Darwyn Joseph, 26, pleaded guilty to one count of conspiracy to commit wire fraud and four counts of wire fraud and aiding and abetting. U.S. District Court Judge Richard G. Stearns scheduled sentencing for Oct. 19, 2023. Joseph was arrested and charged by criminal complaint in December 2020 along with co-conspirator Ramon Joseph Cruz, Jr. The defendants were subsequently indicted by a federal grand jury in January 2021.Between approximately April and December 2020, Joseph and Cruz were involved in a conspiracy to use stolen identity information of United States citizens to apply for SBA Economic Injury Disaster Loans. Specifically, Joseph and Cruz used stolen identity information of U.S. citizens to open fraudulent bank accounts which were then linked to other fraudulent bank accounts set up to receive the SBA funds. Joseph and Cruz also received some of the debit cards associated with fraudulent bank accounts into which SBA funds were deposited, and then laundered those funds by using them to purchase large numbers of iPhones for re-sale. Joseph and Cruz also wired a portion of the funds to the Dominican Republic in furtherance of the scheme.
Over $452,000 in SBA funds were fraudulently obtained in connection with this scheme. Approximately $250,000 of this money was used to purchase iPhones in Massachusetts and New Hampshire.Cruz pleaded guilty to his role in the conspiracy on May 18, 2023. He is scheduled to be sentenced on Aug. 30, 2023.
The charges of wire fraud and conspiracy to commit wire fraud provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss from the offense. 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 Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England made the announcement. Assistant U.S. Attorneys Elianna Nuzum and Adam Deitch of the Criminal Division are prosecuting the case.On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.Lame Deer man sentenced to prison for sexually abusing minorRead the Press Release
BILLINGS — A Lame Deer man who admitted to sexually abusing a minor boy on the Northern Cheyenne Indian Reservation was sentenced today to 22 months in prison, to be followed by 10 years of supervised release, U.S. Attorney Jesse Laslovich said.
Loy Matthew Bryant, 51, pleaded guilty in March to sexual abuse of a minor.
U.S. District Judge Susan P. Watters.
In court documents, the government alleged that Bryant sexually abused the victim, identified as John Doe, who was between the ages of 12 years and 16 years, for several years. In September 2022, John Doe, age 17, disclosed that Bryant started sexually abusing him when he was in about the sixth grade. When interviewed by law enforcement, Bryant admitted to having sexually abused the victim.
The U.S. Attorney’s Office prosecuted the case. The FBI conducted the investigation.
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Kearney Man Sentenced to Five Years for Stealing FirearmsRead the Press Release
Acting United States Attorney Susan T. Lehr announced that Joshua Thomas Alan Casiano, 36, of Kearney, Nebraska, was sentenced on July 10, 2023, by Senior United States District Judge John M. Gerrard to five years’ imprisonment for possession of stolen firearms. He was also sentenced to a three-year term of supervised release to be served after he completes his prison sentence. There is no parole in the federal system. Casiano pleaded guilty to the offense on March 21, 2023.
Police discovered that a residence in Phelps County, Nebraska was burglarized on April 13, 2021. Fourteen firearms were stolen from the home during the burglary. Following this event, a witness came forward and told police that Casiano said he wanted to acquire firearms by committing a burglary. Casiano learned that the residence in Phelps County contained several firearms. Casiano left the night of the burglary and then returned later with what the witness estimated to be around a dozen firearms. Most of those firearms were later sold to two other persons. Once police learned of the sale, they obtained a search warrant to search the home of the buyers. Most of the stolen firearms were recovered during that search with the remainder recovered several days later. To date, all the stolen firearms were recovered by law enforcement.
Homeland Security Investigations, the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Kearney Police Department, and the Phelps County Sheriff’s Office all contributed to this investigation. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Kansas Man Charged with National Firearms Act ViolationsRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with one count of making a firearm in violation of the National Firearms Act and one count of possession of an unregistered firearm in violation of the National Firearms Act.
According to court documents, Trenton Espinoza, 19, of Wichita is accused of modifying an Anderson Manufacturing rifle to an overall length of less than 26 inches and to a barrel length of less than 16 inches.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case.
Assistant U.S. Attorney Katie Andrusak is prosecuting the case
OTHER INDICTMENTS
Adonis Wade Freeman, 36, and Kristie Griffin, 58, both of Kechi were indicted on one count of money laundering conspiracy and one count of using or maintaining a drug premises. Freeman was also indicted on two counts possession with intent to distribute a controlled substance, one count of possession of a firearm by a prohibited person, one count of possession of a firearm in furtherance of a drug trafficking crime, and 10 counts of money laundering. IRS-Criminal Investigation, the Federal Bureau of Investigation (FBI), U.S. Postal Inspection Service, Wichita Police Department, Sedgwick County Sheriff’s Office, and Homeland Security Investigations (HSI) are investigating the case. Assistant U.S. Attorney Deb Barnett is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Justice Department Challenges Racially Discriminatory Provisions of New Mississippi Law Targeting Hinds CountyRead the Press Release
The Justice Department filed a complaint today challenging portions of Mississippi House Bill 1020 (H.B. 1020), which mandates the appointment of special judges and prosecutors by Mississippi state officials in majority-Black Hinds County, which includes the City of Jackson. The complaint alleges that these provisions discriminate on the basis of race in violation of the U.S. Constitution by shifting authority over the county’s criminal justice system away from democratically-elected judges and prosecutors elected by Black voters.
“Mississippi state lawmakers have adopted a crude scheme that singles out and discriminates against Black residents in the City of Jackson and Hinds County,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Our complaint alleges that Mississippi has violated the U.S. Constitution by creating a new, two-tiered system of justice – which erodes the authority of Black elected local officials and creates a new system to be led by judges and prosecutors hand-picked and appointed by state officials. This thinly-veiled state takeover is intended to strip power, voice and resources away from Hinds County’s predominantly-Black electorate, singling out the majority Black Hinds County for adverse treatment imposed on no other voters in the State of Mississippi. The Civil Rights Division of the Department of Justice remains committed to identifying and challenging all acts of discrimination targeting Black communities.”
“One of the hallmarks of justice and the United States Constitution is equal protection under the law,” said U.S. Attorney Darren J. LaMarca for the Southern District of Mississippi. “We want to ensure that the citizens of Hinds County and Jackson, Mississippi, are treated equally in the support and operation of their criminal justice system.”
Hinds County, which has a total Black population of 70%, includes the City of Jackson, which has a total Black population of over 79.5%. Voters elect Black officials to most positions in the city and county, including those affecting the criminal justice system. Hinds County voters elected four Black circuit court judges to its four elected circuit judge positions in 2018.
With H.B. 1020, the state legislature singles out and radically changes Hinds County’s democratic approach to governance over its criminal justice system. The bill calls for the creation of a new court system for part of Jackson, called the Capitol Complex Improvement District Court, which will be served by a new state-appointed judge and new state-appointed prosecutors. H.B. 1020 also mandates appointment of four new special circuit judges by the Chief Justice of the Mississippi Supreme Court to serve alongside those judges elected to the Hinds County Circuit Court. The United States’ complaint contends that these provisions were adopted with a discriminatory purpose in violation of the Fourteenth Amendment’s Equal Protection Clause.
The complaint alleges that the state law discriminates against Hinds County’s Black residents by adding new officials who are not democratically accountable to local voters, including new state-appointed special circuit judges and a new justice system led by a judge and prosecutors who are appointed by state officials. These new appointments, which significantly change the form of government in Hinds County and the dynamic of power over the local criminal justice system, are intended to primarily benefit white residents in Jackson and to treat Black voters in Hinds County differently than white voters everywhere else in the state. The complaint alleges that H.B. 1020 was enacted on the heels of decades of failure by the Mississippi Legislature to provide Hinds County’s criminal justice system with the resources, funding, and personnel that it needs, making it harder for local police, prosecutors, judges, and other officials to do their work effectively and efficiently. The complaint asks the court to prohibit the appointment of the new judges and prosecutors by states officials and provide other necessary relief.
Complaints about discriminatory practices may be reported to the Civil Rights Division through its internet reporting portal at www.civilrights.justice.gov or by calling (800) 253-3931.
Additional information about the Civil Rights Division’s work to uphold and protect the voting rights of all Americans is available on the Justice Department’s website at www.justice.gov/crt/voting-section.
Jamaican National Pleads Guilty to Mail and Wire Fraud Charges in Connection with Fraudulent Sweepstakes Scheme that Targeted Elderly VictimsRead the Press Release
A Jamaican national, who was extradited to the United States, pleaded guilty in the U.S. District Court for the Middle District of Pennsylvania on charges relating to his participation in a phony sweepstakes scheme that targeted elderly victims in the United States.
According to court documents, Damone D. Oakley, 41, of the Point District, St. James Parish, Jamaica, pleaded guilty to two counts of mail fraud and two counts of wire fraud.
As part of his plea agreement, Oakley admitted that he sought to unlawfully enrich himself through a fraudulent sweepstakes scheme that targeted elderly and vulnerable victims. Oakley’s victims received mailings, text messages, or phone calls in which they were falsely told that they had won millions of dollars and luxury vehicles in a sweepstakes, but first needed to pay taxes and fees in order to claim their winnings. Oakley used a variety of names during the scheme, including “Officer Alex Logan” and “Officer Stan Valentine,” and instructed his victims on how to send their money. His victims used wire transfers, direct bank deposits, the U.S. Postal Service, and private commercial mail carriers to send money directly to Oakley, as well as to individuals in the United States and elsewhere who served as intermediaries and transmitted the money to Oakley. In addition to sending cash or wire transfers, Oakley’s victims were directed to purchase electronics, jewelry, and clothing, which were sent to mail forwarding services in Florida, and then on to Oakley in Jamaica. Victims never received any “winnings.” Oakley defrauded his victims out of hundreds of thousands of dollars during the course of the scheme.
“The Department of Justice’s Consumer Protection Branch remains committed to pursuing criminals who defraud elderly and vulnerable U.S. consumers and to prosecuting them to the full extent of the law,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Oakley was the first individual whose extradition was requested by the United States under Jamaica’s revised Extradition Act, and we are confident that we will continue our efforts to root out fraud that targets vulnerable consumers, wherever the fraudsters are located.”
“Oakley targeted the most vulnerable people in our society and defrauded them out of hundreds of thousands of dollars," said U.S. Attorney Gerard M. Karam for the Middle District of Pennsylvania. “Today’s guilty plea reflects our office’s commitment to protecting elderly victims and punishing individuals who engage in this type of behavior.”
“The U.S. Postal Inspection Service is committed to investigating scammers, domestically and internationally, who use the U.S. mail to enrich themselves by targeting and financially exploiting vulnerable American consumers, including the elderly,” said Inspector in Charge Eric Shen of the U.S. Postal Inspection Service’s Criminal Investigations Group. “Today’s plea exemplifies the Postal Inspection Service’s efforts to collaborate with foreign and domestic law enforcement partners to bring these criminals to justice.”
The U.S. Postal Inspection Service investigated the case. The Justice Department’s Office of International Affairs worked with law enforcement partners in Jamaica to secure the arrest and extradition of Oakley. The U.S. Marshals Service also provided significant assistance.
The case is being prosecuted by Senior Litigation Counsel Linda I. Marks of the Department of Justice’s Civil Division, Consumer Protection Branch, along with Assistant U.S. Attorney Christian Haugsby for the Middle District of Pennsylvania.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish, and other languages are available.
For more information about the Consumer Protection Branch, visit its website at www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Middle District of Pennsylvania visit their website at www.justice.gov/usao-mdpa. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
Indiana Man Sentenced to 66 Months in PrisonRead the Press Release
FORT WAYNE –Bryshawn Terry, 31 years old, of Fort Wayne, IN, was sentenced by United States District Court Judge Holly A. Brady after pleading guilty to being a convicted felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Terry was sentenced to 66 months in prison to be followed by 2 years of supervised release.
According to documents in this case, in December 2022, law enforcement responded to a 911 call about a man with a handgun. When officers arrived, they located Terry who started walking away while tossing a 9mm handgun. In Terry’s vehicle, officers located a rifle with a bump stock and a 50-round drum. Terry had prior felony convictions for dealing cocaine and resisting law enforcement, and as such, is prohibited from possessing the firearms in this case.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the Fort Wayne Police Department. The case was prosecuted by Assistant United States Attorney Stacey R. Speith.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results
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Heart Butte man sentenced to more than 15 years in prison for murdering woman on Blackfeet Indian ReservationRead the Press Release
GREAT FALLS — A federal district judge today sentenced a Heart Butte man to 15 years and 10 months in prison, to be followed by five years of supervised released, for murdering a woman during an argument on the Blackfeet Indian Reservation, U.S. Attorney Jesse Laslovich said.
Terrance Travis Aimsback, 35, pleaded guilty in March to second degree murder as charged in an indictment.
Chief U.S. District Judge Brian M. Morris presided.
“Aimsback earned this significant sentence based on his violent conduct that led to murdering his romantic partner. We will, and we must, hold perpetrators of violence against Native American women accountable. The Missing and Murdered Indigenous Women’s movement is one of the most important causes of our time, which is why our office will continue to seek justice for victims to ensure Native women and girls are protected,” U.S. Attorney Laslovich said.
The government alleged in court documents and in court that Aimsback murdered the victim, identified as Jane Doe, by beating her to death with a stick and then initially lying to law enforcement to try to cover up the death. On Nov. 24, 2022, Aimsback called 911, claiming Jane Doe would not wake up, although she was still breathing. Law enforcement officers arrived and found that Jane Doe had died hours earlier. When interviewed, Aimsback admitted he killed Jane Doe during an argument and that he beat her with a stick. Aimsback and Jane Doe were in a romantic relationship at the time.
Assistant U.S. Attorneys Timothy J. Racicot and Ryan G. Weldon prosecuted the case. The FBI, Blackfeet Law Enforcement Services and Pondera County Sheriff's Office conducted the investigation.
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Harrisburg Woman Sentenced to Six Months for Failing to Collect and Pay Employment TaxesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Dary T. Son, age 37, of Harrisburg, Pennsylvania, was sentenced to six months in prison for failing to collect and pay over employment taxes to the Internal Revenue Service.
According to United States Attorney Gerard M. Karam, from June 2015 through August 2019, Son, the owner of Pennsylvania-based temporary staffing company DS Agency, failed to collect and pay on behalf of her employees approximately $591,822.99 in taxes owed to the IRS. She also failed to pay to the IRS an equivalent amount that she owed as their employer.
Dary Son is the younger sister of Vanny Son. Vanny Son was previously prosecuted by this Office for conspiracy to defraud the United States through the evasion of employment taxes for his temporary employment agencies for tax years 2007 through 2012. Before Vanny Son reported to prison in 2015, his wife took over the operation of his employment agency, Son Associates. They later divorced in 2017.
Beginning in 2015, Son Associates began, on paper, subcontracting its labor leasing business to other companies controlled by family members of Vanny Son and his then wife, including DS Agency, LLC, of which Dary Son was the sole member and responsible person for purposes of the IRS.
From 2015 to 2019, DS Agency received and cashed checks from Son Associates for providing workers in the total amount of over $7.7 million. Rather than depositing these payments in a bank account, Dary Son cashed these checks at a check cashing business in Harrisburg, PA from 2015 to mid-2017. Starting in 2018, Vanny Son’s now ex-wife and Dary Son regularly made trips to a check cashing business in Philadelphia, PA, where Dary Son cashed about $3 million in checks in less than a year.
The workers employed by Dary Son and her family member’s companies worked regularly at several food manufacturing facilities in and around the Middle District of Pennsylvania. A number of them were transported to their work sites by Dary Son, and they were generally paid in cash by Vanny Son’s ex-wife. The ex-wife passed away in 2021 when the investigation remained ongoing and before any charges were filed in this case.
Dary Son never withheld any federal, Social Security, Medicare, or state taxes from her employees’ income. She likewise did not pay her employer portion of these taxes. As a result, she was responsible for $1,183,646.25 in unpaid federal taxes. Son was ordered to pay this amount in restitution to the IRS.
The case was investigated by the IRS Criminal Investigations Division. Assistant U.S. Attorney Ravi Romel Sharma prosecuted the case.
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Hampton, Iowa, Man Sentenced to Federal Prison for Distributing MethamphetamineRead the Press Release
A man who distributed methamphetamine was sentenced June 28, 2023, to 8 years in federal prison.
Santiago Ramirez, age 38, from Hampton, Iowa, received the prison term after a February 9, 2023, guilty plea to one count of distribution of a controlled substance.
In a plea agreement, Ramirez admitted he distributed methamphetamine in Hampton, Iowa. Ramirez sole ounce level quantities on four separate occasions in the spring and summer of 2022.
Ramirez was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Ramirez was sentenced to 96 months’ imprisonment. He must also serve a 4-year term of supervised release after the prison term. There is no parole in the federal system.
Ramirez 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 Jack Lammers and investigated by the Cerro Gordo Sheriff’s Office, Clear Lake Police Department, Mason City Police Department, Iowa Department of Narcotics Enforcement, and the North Central Iowa Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-3031.
Follow us on Twitter @USAO_NDIA.
Gresham Man Caught Transporting Methamphetamine to Central Oregon Sentenced to 10 Years in Federal PrisonRead the Press Release
EUGENE, Ore.—A Gresham, Oregon man with a lengthy criminal history was sentenced to 10 years in federal prison Wednesday after he was arrested transporting methamphetamine in Deschutes County.
Dennis Richard DeChenne Jr., 39, was sentenced to 130 months in federal prison and five years’ supervised release.
According to court documents, in April 2020, the Central Oregon Drug Enforcement (CODE) team began investigating DeChenne after learning he was involved in transporting large quantities of methamphetamine and heroin from the Portland area to Central Oregon for resale. Investigators determined that DeChenne, after transporting the drugs, would stay in a Bend, Oregon hotel for several days at a time and use local runners to sell the drugs.
Near midnight on August 19, 2020, CODE team members located DeChenne at a casino in southern Oregon. He was arrested the next day by Deschutes County Sheriff’s Office deputies. The deputies located two pounds of methamphetamine and a loaded pistol in DeChenne’s vehicle.
On July 28, 2021, DeChenne was charged by criminal information with possessing with intent to distribute methamphetamine. On April 7, 2023, he pleaded guilty to the single charge.
This case was investigated by CODE and the U.S. Drug Enforcement Administration (DEA). It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon.
The CODE team is a multi-jurisdictional narcotics task force supported by the Oregon-Idaho High-Intensity Drug Trafficking Area (HIDTA) program. CODE includes members of the Bend, Redmond, Prineville, Madras, Sunriver, and Black Butte Police Departments; the Warm Springs Tribal Police Department; the Deschutes, Crook, and Jefferson County Sheriff and District Attorney’s Offices; the Oregon State Police; the Oregon National Guard; DEA; and the FBI.
Former Yonkers Teacher Charged in Connection with Sexual Exploitation of Minor StudentRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Christie M. Curtis, the Acting Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of a two-count Indictment charging SANDY CARAZAS-PINEZ with enticing a minor victim to engage in illegal sexual activity and production of child pornography. As alleged in the Indictment, CARAZAS-PINEZ, a former high school teacher in Yonkers, New York, enticed one of her students, who was only 16 years old at the time, to engage in sexual activity with CARAZAS-PINEZ and further induced the same student to participate in live-streamed sexually explicit conduct while on video calls with CARAZAS-PINEZ. CARAZAS-PINEZ was arrested this morning and will be presented in Manhattan federal court later today before U.S. Magistrate Judge Robert W. Lehrburger. The case has been assigned to U.S. District Judge John P. Cronan.
U.S. Attorney Damian Williams said: “As alleged, Sandy Carazas-Pinez exploited the trust placed in her as a teacher to sexually abuse a teenage student in her care. Today’s indictment makes clear that my Office will continue to tirelessly pursue sexual predators of all forms – especially those who are entrusted to care for children – and hold them accountable to the fullest extent under the law.”
FBI Acting Assistant Director in Charge Christie M. Curtis said: “As alleged, Ms. Carazas-Pinez, a former high school teacher, enticed one of her students to engage in sexual activity and live-stream sexually explicit conduct. Teachers are entrusted to protect children under their supervision, not bring them harm. As today’s action demonstrates, the FBI remains steadfast in our commitment to bring justice to those who prey upon our youth.”
According to the allegations in the Indictment unsealed today in Manhattan federal court:[1]
CARAZAS-PINEZ was a high school teacher at a school for kindergarten through 12th grade students located in Yonkers, New York (“School-1”). From in or about November 2022 through in or about February 2023, CARAZAS-PINEZ abused her position as a teacher at School-1 by inducing and attempting to induce a student (“Minor Victim-1”) at School-1 into a sexual relationship with CARAZAS-PINEZ. Minor Victm-1 was 16 years old at the time of the abuse.
CARAZAS-PINEZ singled out Minor Victim-1 for personal attention at School-1. In addition, CARAZAS-PINEZ induced Minor Victim-1 to engage in sexual activity with her by leading Minor Victim-1 to believe that they were in a romantic relationship.
CARAZAS-PINEZ used her personal cellphone to call, text, and video call Minor Victim-1 to arrange sexual encounters and to repeatedly induce Minor Victim-1 to engage in live-streamed sexually explicit conduct while on video calls with CARAZAS-PINEZ. In text messages with Minor Victim-1, CARAZAS-PINEZ referred to her sexual encounters with Minor Victim-1 and the live depictions of sexually explicit conduct she induced Minor Victim-1 to create as “gifts.”
CARAZAS-PINEZ also used her personal cellphone to send Minor Victim-1 sexually suggestive photographs of herself along with sexually explicit text messages. After sending the photographs and messages, CARAZAS-PINEZ instructed Minor Victim-1 to delete them and inquired repeatedly as to whether Minor Victim-1 had done so.
To facilitate their sexual encounters outside the premises of School-1, CARAZAS-PINEZ directed Minor Vicitim-1 in text messages to obtain day passes from School-1 to be permitted to leave campus. CARAZAS-PINEZ then met Minor Victim-1 at a location near School-1’s campus and drove Minor Victim-1 to another location. On multiple occasions, while parked in CARAZAS-PINEZ’s car at various locations, including in or around the Bronx, Yonkers, and Staten Island, New York, CARAZAS-PINEZ engaged in sexual intercourse and other sexual acts, and attempted to do so, with Minor Victim-1.
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CARAZAS-PINEZ, 34, of Bethel, Connecticut, is charged with one count of enticing a minor victim to engage in illegal sexual activity, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison, and one count of production of child pornography, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison.
The minimum and maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the efforts of the FBI and the New York City Police Department (“NYPD”) for their outstanding work on this matter, particularly the FBI-NYPD New York Child Exploitation and Human Trafficking Task Force. Mr. Williams also thanked the Richmond County District Attorney’s Office for their significant assistance and the Westchester County District Attorney’s Office, the Bronx County District Attorney’s Office, and the Yonkers Police Department for their assistance. He added that the investigation is ongoing.
Any individuals who believe they have information that may be relevant to this investigation should contact the FBI at 1-800-CALL-FBI or tips.fbi.gov.
The prosecution of this case is being handled by the Office’s Civil Rights Unit in the Criminal Division. Assistant U.S. Attorney Mitzi S. Steiner is in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the 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. Carazas-Pinez IndictmentFormer Securities Attorney Sentenced for $1.3M Penny-Stock SchemeRead the Press Release
A former securities attorney was sentenced today to six years in prison and ordered to pay $1.385 million in restitution to victims for his role in a conspiracy to defraud over 1,000 investors in a penny-stock scheme.
According to court documents, from at least November 2016 through October 2018, Phillip W. Offill, 64, of Dallas, and others conspired to misappropriate millions of shares of a publicly traded company, MCPI, using aliases and fake paperwork. The co-conspirators then fraudulently marketed MCPI shares to the public through call centers that made materially false statements to potential investors, including false claims that efforts were underway to list the stock on a national exchange. Employees at call centers also omitted material information, including the fact that the co-conspirators were paying large commissions to the callers to peddle the stock to victim investors. Offill and his co-conspirators also pumped up demand by manipulating the market so that MCPI stock appeared to be trading more actively than it actually was, and by causing the publication of false press releases regarding millions of dollars in funding that the co-conspirators knew would never come. As a result of the scheme, victim investors lost over $1.3 million.
“This serial offender defrauded over 1,000 investors, including many who entrusted him with their retirement funds and life savings,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s sentence and restitution demonstrate the Justice Department’s commitment to protecting victims from financial predators, securing the integrity of our public markets, and obtaining restitution for victims of fraud.”
Offill was previously employed as an attorney for the U.S. Securities and Exchange Commission (SEC) for over 14 years. After leaving the SEC, in 2010, he was convicted in the Eastern District of Virginia for participating in multimillion-dollar pump-and-dump stock manipulation schemes. In April 2010, Offill was sentenced to eight years in prison and three years of supervised release. While on supervised release for his 2010 conviction, Offill committed the current offense involving MCPI stock.
“This case is unique because of the defendant’s greed and disregard for the rule of law, even after serving a federal prison sentence for fraud,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “While still on supervised release from his last offense, Mr. Offill and his co-conspirators used their stock market expertise to swindle unsuspecting average investors in order to enrich themselves. I’m grateful to our attorneys and investigative agents who identified and put an end to this flagrantly exploitative scheme.”
As part of a civil case that the SEC brought in 2011, the U.S. District Court for the Eastern District of Michigan entered a final judgment against Offill that permanently barred him from participating in penny stock offerings. As part of another SEC case, in 2012, the U.S. District Court for the Northern District of Texas entered another permanent bar against him. Notwithstanding these bans, Offill committed the current offense.
“The FBI and its partners work relentlessly to ensure that those who violate fair market practices face justice,” said Assistant Director Luis Quesada of the FBI's Criminal Investigative Division. “The manipulation of investors seen in this case will not be tolerated, and we will continue to collaborate to put conspiracies like this one to an end.”
The FBI Washington Field Office investigated the case.
Trial Attorneys Andrew Tyler and Amanda Fretto Lingwood of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Kimberly Pedersen for the Eastern District of Virginia prosecuted the case. Former Trial Attorney Blake C. Goebel provided significant contributions to this prosecution.
Former Securities Attorney Sentenced for $1.3 Million Penny-Stock SchemeRead the Press Release
ALEXANDRIA, Va. – A former securities attorney was sentenced today to 72 months in prison for his role in a conspiracy to defraud over 1,000 investors in a penny-stock scheme.
“This case is unique because of the defendant’s greed and disregard for the rule of law, even after serving a federal prison sentence for fraud,” said Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia. “While still on supervised release from his last offense, Mr. Offill and his co-conspirators used their stock market expertise to swindle unsuspecting average investors in order to enrich themselves. I’m grateful to our attorneys and investigative agents who identified and put an end to this flagrantly exploitative scheme.”
“This serial offender defrauded over 1,000 investors, including many who entrusted him with their retirement funds and life savings,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Today’s sentence and restitution demonstrate the Justice Department’s commitment to protecting victims from financial predators, securing the integrity of our public markets, and obtaining restitution for victims of fraud.”
“Phillip Offill engaged in a fraudulent criminal scheme to inflate stock prices through false information, causing victims to lose over $1.3 million of their hard-earned money,” said David Sundberg, Assistant Director in Charge of the FBI Washington Field Office. “Pump-and-dump schemes, such as this one, deteriorate the integrity of the market. The FBI will work to hold accountable those who choose to break the law and swindle unsuspecting victims.”
According to court documents, from at least November 2016 through October 2018, Phillip W. Offill, Jr., 64, of Dallas, Texas; Justin Wallace Herman, 52, of Canonsburg, Pennsylvania; and others conspired to misappropriate millions of shares of a publicly traded company, MCPI, that held mining claims in Arizona and Idaho. The defendants then fraudulently marketed the shares for sale through third parties, including call centers, who made materially false statements to potential investors, while manipulating the market so that the stock falsely appeared to be trading more actively than it actually was. Offill coordinated the co-conspirators, created and submitted fraudulent documents to gatekeepers such as the Financial Industry Regulatory Authority (FINRA), and knowingly caused two materially false press releases to be issued to pump up demand for MCPI stock. As a result of the scheme, victim investors lost approximately $1.3 million.
Offill was previously employed as an attorney for the U.S. Securities and Exchange Commission (SEC) for over 14 years. After leaving the SEC, in 2010, he was convicted in the Eastern District of Virginia for participating in multimillion-dollar pump-and-dump stock manipulation schemes. In April 2010, Offill was sentenced to eight years in prison and three years of supervised release. While on supervised release for his 2010 conviction, Offill committed the current offense involving MCPI stock.
As part of a prior civil case brought by the SEC, in 2011, the U.S. District Court for the Eastern District of Michigan entered a final judgment against Offill that permanently barred him from participating in an offering of penny stock. As part of another SEC case, in 2012, the U.S. District Court for the Northern District of Texas entered a final judgment against Offill that permanently barred him from participating in an offering of penny stock. Notwithstanding these bans, Offill committed the current offense.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division; and Emily Odom, Acting Special Agent in Charge of the FBI Washington Field Office Criminal Division, made the announcement after sentencing by U.S. District Judge Rossie D. Alston.
Assistant U.S. Attorney Kimberly R. Pedersen of the Eastern District of Virginia, and Trial Attorneys Andrew Tyler and Amanda Fretto Lingwood of the Criminal Division’s Fraud Section at the Justice Department, are prosecuting the case. Former Trial Attorney Blake C. Goebel provided significant contributions to this prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-152.
Former Officer at South Florida Immigrant Detention Facility Charged with COVID-19 Relief FraudRead the Press Release
MIAMI – A Miami federal grand jury has charged Anthony Faustin, 28, of Homestead, Florida, with conspiracy, wire and bank fraud, and access device and aggravated identity theft crimes, in connection with a scheme to obtain fraudulent loans under the Paycheck Protection Program (PPP).
According to the allegations in the indictment, Faustin submitted fraudulent PPP loan applications on behalf of six individuals in 2021. In the loan paperwork, Faustin made the applicants appear eligible for pandemic relief by misrepresenting them as sole proprietors or lying about their prior years’ income (or both). Lenders disbursed over $100,000 to bank accounts controlled by the individuals, who would then withdraw the money and gave Faustin his cut.
At the time of the alleged crimes, Faustin was a contractor with Immigration and Customs Enforcement working as a detention officer at Krome North Service Processing Center in Miami.
Faustin made his initial appearance yesterday in federal magistrate court in Miami. If convicted, he faces up to 20 years in prison on the conspiracy and fraud counts and two years on the aggravated identity theft counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jimmy Valenzuela for U.S. Immigration and Customs Enforcement Office of Professional Responsibility (ICE OPR), and SBA OIG’s Eastern Region Special Agent in Charge Amaleka McCall-Brathwaite, U.S. Small Business Administration Office of Inspector General (SBA OIG), Investigations Division’s Eastern Region, announced the charges.
ICE OPR and SBA OIG investigated this matter. Assistant U.S. Attorney Daniel Bernstein is prosecuting the case.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the SBA to provide Economic Injury Disaster Loans (“EIDLs”) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred. EIDL applications were submitted directly to the SBA via the SBA’s on-line application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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-cr-20275.
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Former Georgia Used Motor Vehicle Dealer Pleads Guilty to Conspiracy to Commit Securities Fraud in Connection with Odometer Tampering SchemeRead the Press Release
A Georgia man pleaded guilty today in the U.S. District Court for the Northern District of Georgia for his role in falsifying vehicle titles as part of a scheme to roll back odometers on used motor vehicles.
According to court documents between 2011 and 2013, Andrew O. Elphic, 52, of Monroe, engaged in a scheme to sell high-mileage and used vehicles with false and low-mileage readings entered on the vehicles’ odometers and titles. Elphic purchased high-mileage vehicles from auctions outside the State of Georgia, altered or arranged to alter the vehicles’ odometers to reflect false and lower mileage readings, and then altered the vehicles’ titles to reflect false lower mileages for the vehicles. He then submitted the altered titles to co-conspirators employed at a Georgia Motor Vehicle Division office and made cash payments to the employees in order to obtain new motor vehicle titles reflecting the false and lower mileages. Elphic then used the fraudulent titles with the lower odometer readings to sell the vehicles at an automobile auction in Atlanta. By deceiving purchasers into believing the vehicles had fewer miles, Elphic was able to sell the vehicles at inflated prices — thereby causing unsuspecting buyers to pay more for vehicles than they would have paid had the buyers known the true mileages.
Elphic’s scheme misrepresented the mileage to the Georgia Motor Vehicle Division on at least 305 vehicles, resulting in consumer losses of more than $550,000. Consumers who ultimately purchased the vehicles at dealerships did not know of the mileage discrepancies and, as a result, paid inflated sales prices.
“The Department of Justice will continue to work with law enforcement partners to prosecute unscrupulous individuals who deceive consumers purchasing used motor vehicles,” said Principal Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Misrepresenting used car mileages defrauds buyers and conceals significant information about the safety and reliability of these vehicles.”
“Our top priority is safety, and odometer fraud schemes not only scam consumers, but keep unsafe vehicles on our roads,” said Acting Administrator Ann Carlson of the National Highway Traffic Safety Administration (NHTSA). “By actively prosecuting these crimes, we send a strong message that odometer scams, which affect the livelihood of Americans across this country, will not go unpunished. I thank our partners at the Department of Justice for working with us to deter odometer fraud.”
Elphic pleaded guilty to one count of conspiracy to commit securities fraud. He is scheduled to be sentenced on Oct. 24, and faces a maximum penalty of five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The NHTSA Office of Odometer Fraud Investigation investigated the case, with assistance from the Georgia Department of Revenue.
Senior Litigation Counsel Linda I. Marks and Trial Attorney Kathryn Schmidt of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorney Thomas J. Krepp for the Northern District of Georgia prosecuted the case.
NHTSA estimates that odometer fraud in the United States results in consumer losses of more than $1 billion annually. Individuals with information relating to odometer tampering should call NHTSA’s odometer fraud hotline at (800) 424-9393 or (202) 366-4761.
More information on odometer fraud is available on the NHTSA website at www.nhtsa.gov/odometer-fraud, and tips on detecting and avoiding odometer fraud are available at www.nhtsa.gov/sites/nhtsa.gov/files/811284.pdf.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Northern District of Georgia, visit www.justice.gov/usao-ndga.
Former Georgia Teacher Charged with Producing, Distributing, Receiving Child Sexual Abuse MaterialRead the Press Release
MACON, Ga. – A federal grand jury returned a 21-count indictment this week charging a former Sandersville, Georgia, high school teacher with producing, distributing, receiving and possessing child sexual abuse material (CSAM).
Michael Allen Dendy, 32, of Milledgeville, Georgia, is charged with five counts of production of child pornography, seven counts of distribution of child pornography, eight counts of receipt of child pornography and one count of possession of child pornography. If convicted, Dendy faces a mandatory minimum of 15 years in prison up to a maximum sentence of thirty years in prison for each count of production of child pornography; Dendy faces a mandatory minimum of five years in prison up to a maximum sentence of twenty years in prison for each count of distribution and receipt of child pornography; and Dendy faces a maximum sentence of ten years in prison for possession of child pornography. The indictment was returned by a federal grand jury on July 11.
The indictment alleges that Dendy enticed minor children to engage in sexually explicit acts which were filmed or photographed. In addition, Dendy allegedly distributed, received and possessed child sexual abuse material (CSAM) of minors.
Dendy was a teacher at Washington County High School in Sandersville, Georgia, from Aug. 2020 until his arrest on Jan. 20, 2023. Dendy taught at three schools previously: Griffin High School in Griffin, Georgia, from 2018-2020; St. Charles High School in Waldorf, Maryland, from 2017-2018; and Starkville High School in Starkville, Mississippi, from 2014-2016. Parents and guardians of children who may have encountered Dendy and have concerns related to this investigation can contact the Homeland Security Investigations (HSI) tip line at 1-866-347-2423.
The case is being investigated by Homeland Security Investigations (HSI) and the Washington County Sheriff’s Office with significant assistance from the Leesburg, Virginia, Police Department, the Charles County, Maryland, Sheriff’s Office and the Middle Judicial Circuit, Georgia, District Attorney’s Office. The case is being prosecuted by Assistant U.S. Attorney Daniel Peach.
An indictment is only an allegation of criminal conduct, and all defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.
Florida Man Sentenced to 10 Years in Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Jeffrey L. Viken has sentenced a Jacksonville, Florida, man convicted of Attempted Enticement of a Minor Using the Internet. The sentencing took place on July 7, 2023.
James Dean Hanapel, 22, was sentenced to 10 years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. Hanapel will also be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Hanapel was indicted by a federal grand jury in August of 2021. He was found guilty by a jury on April 13, 2023.
Evidence at trial established that Hanapel was arrested as a result of an undercover sex trafficking operation conducted during the 2021 Sturgis Motorcycle Rally, targeting internet predators. Following multiple chats and sexually explicit text messages with a person Hanapel believed to be a 14-year-old girl, but who was in fact an undercover agent, Hanapel proceeded to negotiate a time and place he would meet the minor to engage in unlawful sex acts. When Hanapel went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
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.
This case was investigated by the South Dakota Division of Criminal Investigation, South Dakota Internet Crimes Against Children Taskforce, Homeland Security Investigations, Rapid City Police Department, and the Pennington County Sheriff’s Office. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Hanapel was immediately remanded to the custody of the U.S. Marshals Service.
Federal jury convicts Billings man of trafficking methRead the Press Release
MISSOULA — A federal jury on Tuesday convicted a Billings man accused of possessing over 50 grams of pure methamphetamine for resale hidden in false bottom cans and illegally possessing ammunition, U.S. Attorney Jesse Laslovich said today.
After a two-day trial that began on July 10, the jury found Shane Edward Johnson, 54, guilty of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and prohibited person in possession of ammunition. Johnson faces a mandatory minimum of 15 years to life in prison, a $20 million fine and at least 10 years of supervised release on the conspiracy conviction.
U.S. District Judge Dana L. Christensen presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factor. Sentencing was set for Dec. 6. Johnson was detained pending further proceedings.
“The jury’s verdict is yet another example of our office’s efforts to hold accountable those who seek to poison our communities with drugs, in this instance, methamphetamine. These convictions make Laurel and Billings safer, as another dangerous drug dealer like Johnson won’t be on our streets for a long period of time. I am grateful to Assistant U.S. Attorneys Julie R. Patten and Zeno B. Baucus, along with the U.S. Postal Service, FBI, Billings Police Department and Yellowstone County Sheriff’s Office for investigating and prosecuting this case,” U.S. Attorney Laslovich said.
In court documents and at trial, the government alleged that from about April 2020 until October 2021, Johnson, who has a prior federal drug conviction, conspired to distribute meth in the Laurel and Billings communities. In October 2021, law enforcement intercepted a package shipped through the U.S. Postal Service from California to Laurel. Officers executed a search warrant on the package and found two pounds of meth inside four plastic candles. Law enforcement made a controlled delivery of the package to a Laurel residence, and a co-defendant took possession of the package. Law enforcement converged on the residence to execute a search warrant and encountered Johnson and the co-defendant. Agents located a backpack, belonging to Johnson, that contained baggies of meth, a digital scale, approximately $1,000 and two loaded handgun magazines. Johnson was prohibited from possessing ammunition because of his prior felony conviction.
Assistant U.S. Attorneys Julie R. Patten and Zeno B. Baucus are prosecuting the case. The U.S. Postal Service, FBI West, Billings Police Department and Yellowstone County Sheriff’s Office conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Federal Jury Convicts Santa Clara Man on Child Pornography ChargesRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Francisco B. Burrola, Special Agent in Charge of Homeland Security Investigations (HSI) El Paso, announced today that a federal jury returned a guilty verdict against Michael Rivera after less than 2 hours of deliberation. The jury convicted Rivera, 31, of Santa Clara, New Mexico, on one count of coercion and enticement of a minor and two counts of production of a visual depiction of a minor engaging in sexually explicit conduct. United States District Judge Margaret I. Strickland presided.
A federal grand jury indicted Rivera on Sept. 21, 2022. According to the evidence at trial and other publicly available court records, in 2020, Rivera befriended a minor identified as Jane Doe. Doe and Rivera became close. One day in March of 2021, when Doe was 12 years old, Rivera stopped at a convenience store and bought alcohol for both of them. He then drove to a secluded area of town and parked the car. Rivera then initiated sexual intercourse with Doe in the car. Afterward, Rivera told Doe that she could not tell anyone because he could get in trouble.
Following the incident, Rivera maintained contact with Doe by phone. Later that same year, Rivera began requesting that Doe send him naked photos and videos of herself via text message. Rivera received a number of items of child sexual abuse material from Doe.
“HSI is committed to combatting the global fight against child exploitation. HSI El Paso’s efforts are focused on protecting our children and holding the offenders of such heinous acts accountable,” said Francisco B. Burrola, special agent in charge of HSI El Paso. “Innocent children are irreparably harmed in the production of child pornography, and individuals who distribute such revolting material continue to victimize them. HSI works to identify, rescue, and provide services to children who have been subjected to sexual abuse and online exploitation and ultimately ensure those responsible are placed behind bars where they should remain.”
“Rivera exploited the vulnerability of a child less than half his age,” said U.S. Attorney Alexander M.M. Uballez. “Alongside our local partners, the United States will vigorously protect our community from such predators.”
Rivera faces a mandatory minimum of 10 years and up to life in prison for one count of coercion and enticement and a mandatory minimum of 15 years and up to 30 years in prison for each count of production of child pornography. Upon his release from prison, Rivera would be subject to registration as a sex offender.
Homeland Security Investigations investigated this case with the assistance of the Grant County Sheriff’s Office and the Las Cruces Police Department. Assistant United States Attorneys Marisa A. Ong and Eliot Neal are prosecuting the case.
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Federal Court finds Miami-Based Tax Return Preparer in Contempt and Orders Disgorgement of Ill-gotten Fees as a SanctionRead the Press Release
On July 11, 2023, a federal court in the Southern District of Florida found Rose M. Chazulle in contempt of court for violating a permanent injunction prohibiting her from preparing or filing federal tax returns or other tax-related documents and forms for any person or entity. The court ordered that she disgorge to the United States more than $48,000 in ill-gotten fees, which the parties agreed was a reasonable approximation of the fees that she earned for tax returns prepared in violation of the injunction.
In 2016, the court permanently enjoined Ms. Chazulle from preparing tax returns for others. Despite the court’s orders prohibiting her from preparing or assisting in the preparation of tax returns for others, Ms. Chazulle stipulated that she continued her return preparation activities preparing returns using the preparer tax identification numbers assigned to her daughter and brother-in-law and using the electronic filing identification numbers associated with their businesses. Ms. Chazulle further stipulated that she received at least $48,100 in fees for preparing returns in violation of the court’s injunction. Based on Ms. Chazulle’s stipulations, the court found her in contempt for violating the permanent injunction and ordered as a civil contempt sanction that she disgorge the fees she earned in violation of the injunction.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers as return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams. The IRS offers tips on how to accurately file returns and how to choose a tax return preparer, as well as steps taxpayers can take to get a jumpstart on filing. The IRS has launched a free directory of federal tax preparers and offers information on how to avoid “ghost” tax preparers, whose refusal to sign a return should be a red flag to taxpayers.
In addition, IRS Free File, a public-private partnership, offers free online tax preparation and filing options on IRS partner websites for individuals whose adjusted gross income is under $73,000. For individuals whose income is over that threshold, IRS Free File offers electronical federal tax forms that can be filled out and filed online for free.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found here.
Federal Bureau of Prisons Lieutenant Pleads Guilty to Violating the Civil Rights of an Inmate Resulting in His DeathRead the Press Release
A federal Bureau of Prisons (BOP) lieutenant pleaded guilty today to violating the civil rights of an inmate by showing deliberate indifference to the inmate’s serious medical needs, resulting in his death.
According to court documents, on Jan. 9 and 10, 2021, Michael Anderson, 52, was working in his official capacity as a BOP correctional officer, with a rank of lieutenant, at the Federal Correctional Institution at Petersburg, Virginia. In that capacity, Anderson was responsible for the care of federal inmates. On Jan. 9, 2021, a correctional officer notified Anderson that a 47-year-old inmate, W.W., was experiencing symptoms of an apparent medical emergency and asked the defendant to help W.W. obtain medical care. Anderson personally observed W.W.’s symptoms and stated that he would get medical help for W.W. Anderson nevertheless failed to notify medical staff, obtain a medical assessment, contact the facility’s on-call physician or notify any other staff members of W.W.’s condition. The next day, a correctional officer notified Anderson that W.W. had fallen to the ground in his cell. Even with this information, Anderson failed to obtain any assistance for W.W. whatsoever. W.W. then laid on the ground, dead or dying, for over an hour and a half before any correctional or medical staff entered his cell. By the time correctional and medical staff entered the cell, life-saving efforts failed, and W.W. was later pronounced dead.
“Correctional supervisors are responsible for the care and custody of inmates entrusted to their care, particularly those with serious medical needs,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to hold accountable those correctional officers who deliberately disregard inmates’ serious medical needs.”
“Despite Anderson’s knowledge of the victim’s medical condition and his knowledge of BOP policies, he failed to provide potentially life-saving medical care to an inmate in need,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “People have a constitutional right to basic care while incarcerated.”
“Anderson’s appalling indifference and disregard for his responsibility to provide a humane environment for inmates resulted in the needless loss of life,” said Special Agent in Charge Russell W. Cunningham of the Justice Department’s Office of the Inspector General Washington Field Office. “Incarcerated individuals should never be denied medical care, and the Department of Justice Office of the Inspector General will continue to aggressively investigate anyone who does so.”
Sentencing is scheduled for Nov. 28. Anderson faces a maximum penalty of life in prison. Any sentence will be determined by a federal district judge based on the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Clarke, U.S. Attorney Aber and Special Agent in Charge Cunningham made the announcement.
The Justice Department’s Office of the Inspector General investigated the case.
Special Litigation Counsel Kathryn E. Gilbert and Trial Attorney Matthew Tannenbaum of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Thomas Garnett for the Eastern District of Virginia are prosecuting the case.
Father and Son Charged in Manhattan Federal Court with Multimillion-Dollar Cryptocurrency-Related CrimesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Ivan J. Arvelo, the Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), announced today the arrest of EUGENE WILLIAM AUSTIN, JR., a/k/a “Hugh Austin,” for charges in connection with a scheme to steal money from investors and other victims by offering a variety of fraudulent cryptocurrency-related investment services, including sales of multimillion-dollar batches of cryptocurrency, marketing and advertising services, and short-term investments and loans. EUGENE AUSTIN was arrested on July 5, 2023, and was presented that same day before U.S. Magistrate Judge Jennifer E. Willis. Mr. Williams also announced the guilty plea of EUGENE AUSTIN’s son, BRANDON P. AUSTIN, who pled guilty on April 13, 2023, before U.S. District Judge P. Kevin Castel to participating in a money laundering conspiracy with his father, EUGENE AUSTIN, relating to his involvement in conducting financial transactions with the intent to conceal proceeds of fraud.
U.S. Attorney Damian Williams said: “This is the third case we are announcing this week to shed light on fraud in the cryptocurrency and digital asset ecosystem. As alleged, the father-son duo of Hugh and Brandon Austin engaged in a cryptocurrency fraud and money laundering scheme that victimized both sophisticated and novice cryptocurrency investors alike out of millions of dollars. They used the money from victims to fund a lavish lifestyle of travel, luxury hotels, and fancy restaurants. Thanks to the tenacity of HSI and the career prosecutors of this Office, Hugh Austin is now facing serious criminal charges for his alleged crimes, and Brandon Austin has already pled guilty.”
HSI Special Agent in Charge Ivan J. Arvelo said: “The charging of Hugh and Brandon Austin reflects our ongoing commitment to thwarting individuals involved in all types of financial crimes, especially those that affect the digital environment and subsequently impact the security of our economy. As alleged, these sophisticated scammers exploited the novelty of digital currency to defraud unsuspecting investors out of millions of dollars, while utilizing it as a cover to engage in illicit activity. HSI commends the prosecutorial team at the Southern District of New York’s Complex Frauds and Cybercrime Unit for their unwavering support.”
According to the allegations in the Complaint, which was unsealed today in Manhattan federal court, as well as publicly filed court documents and statements made at public court proceedings:[1]
EUGENE WILLIAM AUSTIN, JR. participated in a scheme with his son BRANDON P. AUSTIN and others to steal money from investors and other victims by fraudulently offering to, among other things: (i) serve as a broker for sales of large quantities of cryptocurrency at below-market exchange rates; (ii) provide short-term investments in cryptocurrency for purportedly high returns; and (iii) provide marketing and advertising services to small businesses, while knowing that, in fact, EUGENE AUSTIN and BRANDON AUSTIN would not provide the promised cryptocurrency, returns, or services. EUGENE AUSTIN also frequently sought personal loans from friends and acquaintances in connection with his purported cryptocurrency and investment businesses, falsely promising to pay lenders back with interest. In each instance, investors and lenders lost their money, and EUGENE AUSTIN and BRANDON AUSTIN frequently spent investors’ funds on personal expenses, including airline travel, luxury hotels, restaurants, and shopping, as well as nominal payments to victims to prolong the scheme. In total, EUGENE AUSTIN and BRANDON AUSTIN have caused more than $10 million in losses to over 20 victims. Below are several examples of victims defrauded by AUSTIN and BRANDON:
- In or about February 2018, EUGENE AUSTIN and BRANDON AUSTIN fraudulently induced a Japanese cryptocurrency company to conduct an interstate cryptocurrency transaction for approximately $600,000 worth of cryptocurrency, for the purported purchase of fundraising and marketing services, which were never provided to the victim.
- In or about August 2018, EUGENE AUSTIN and BRANDON AUSTIN fraudulently induced a partner at a California-based investment firm to send an interstate wire transfer of approximately $5 million to a Manhattan-based attorney, for the purported purchase of cryptocurrency, which was never provided to the victim.
- In or about September 2018, EUGENE AUSTIN and BRANDON AUSTIN fraudulently induced a cryptocurrency start-up company to send an interstate wire transfer of approximately $100,000 for a purported cryptocurrency investment opportunity with high returns; instead of using the funds as promised, EUGENE AUSTIN and BRANDON AUSTIN spent the money on gas, restaurants, hotels, flights, and cash withdrawals.
- In or about January 2019, EUGENE AUSTIN and BRANDON AUSTIN fraudulently induced the founder and chairman of a New Jersey- and Hong Kong-based cryptocurrency investment firm to send an interstate wire transfer of approximately $4 million to a Georgia-based attorney for the purported purchase of cryptocurrency, which was never provided to the victim.
- In or about June 2020, EUGENE AUSTIN and BRANDON AUSTIN embezzled approximately $776,000 that had been sent via an interstate wire transfer to the trust account of a New York-based real estate attorney for the purported purchase of cryptocurrency.
- In or about October 2021, EUGENE AUSTIN and BRANDON AUSTIN embezzled approximately $574,000 that had been sent via an interstate wire transfer to the bank account of a Manhattan-based investment firm for the purported purchase of cryptocurrency.
In connection with BRANDON AUSTIN’s guilty plea, he forfeited his rights and interest in a 2022 E-Pace P250 Jaguar, depicted below:
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EUGENE WILLIAM AUSTIN, JR., 60, of Port Jefferson, New York, is charged with one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of conspiracy to commit money laundering, which carries a maximum sentence of 10 years in prison; and one count of conspiracy to commit interstate transportation of stolen property, which carries a maximum sentence of five years in prison.
BRANDON P. AUSTIN, 27, of Coram, New York, pled guilty to one count of conspiracy to commit money laundering, which carries a maximum penalty of 20 years in prison. In connection with the guilty plea, BRANDON AUSTIN also agreed to forfeit $3,406,450 and to make restitution to victims in the amount of $3,406,450. BRANDON AUSTIN is scheduled to be sentenced on September 6, 2023, at 12:00 p.m., by Judge Castel.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of each defendant will be determined by the judge.
Mr. Williams praised the investigative work of HSI.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Andrew K. Chan, Sarah Lai, and Olga I. Zverovich are in charge of the prosecution.
The charges contained in the Complaint are merely accusations and the defendant, EUGENE WILLIAM AUSTIN, JR., a/k/a “Hugh Austin,” is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described herein should be treated as an allegation.
U.S. v. Eugene Austin Complaint U.S. v. Brandon Austin InformationDiversicare and Two Occupational Therapy Assistants to Pay over $1.3 Million to Resolve False Claims Act AllegationsRead the Press Release
MONTGOMERY, ALABAMA – Diversicare Healthcare Services, LLC, with related subsidiary Diversicare entities (Diversicare), along with Certified Occupational Therapy Assistants Kellie S. Lemons and Charles M. James, have agreed to pay the United States $1,377,696.00 to resolve allegations that they violated the False Claims Act (FCA) by submitting claims to Medicare for occupational therapy services that they did not provide, announced United States Attorney Sandra J. Stewart.
The FCA is a federal law that imposes civil liability on any persons or entities who submit false claims for payment to the federal government or its contractors. It imposes damages three times the loss caused by the false claims and a civil penalty between $13,508.00 to $27,018.00 per false claim. The FCA is the primary authority used by the Civil Division of the United States Attorney’s Office to redress fraud, waste, and abuse within federal programs, including Medicare.
Diversicare is a group of private companies providing long-term care and rehabilitation services in approximately 43 locations across five states — Alabama, Mississippi, Tennessee, Texas, and Kansas. Prior to March 1, 2023, Diversicare operated the Canterbury Health Care Facility in Phenix City, Alabama.
The civil settlement resolves a lawsuit that a former Diversicare employee brought under the qui tam, or whistleblower, provisions of the FCA. The complaint alleged that Lemons and James falsified occupational therapy records when they clocked into work at Diversicare’s Canterbury facility, left the premises, and “moonlighted” for other home health care companies in the area, meanwhile billing for services at Diversicare that they did not perform. The complaint also alleged that Diversicare permitted and even condoned these practices and knowingly submitted false claims to Medicare for reimbursement for these services.
The United States has intervened in the lawsuit for purposes of settlement. The settlement resolves the allegations that from March 1, 2018, through September 25, 2020, Diversicare, Lemons, and James submitted, or caused to be submitted, false claims to Medicare Part A for occupational therapy services that were not rendered to patients at Canterbury Health Care Facility.
The FCA permits private citizens to initiate a suit on behalf of the United States and share in any recovery. The whistleblower who brought the lawsuit will receive in excess of $200,000.00 of the settlement as his share of the government’s recovery in the matter.
The case was investigated by the United States Attorney’s Office for the Middle District of Alabama in cooperation with the Office of Inspector General for the United States Department of Health and Human Services. Assistant U.S. Attorneys MaryLou E. Bowdre and Samantha R. Miller represented the United States in the matter, assisted by Investigative Analyst Rita E. Richard, Paralegal Specialist Stacey H. VanAlst, and Investigator (Contractor) Gregory T. Holston.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
District Man Sentenced to Seven Years in Prison for Distributing Child PornographyRead the Press Release
WASHINGTON – Alexus Camero, 27, of Washington, D.C., was sentenced yesterday to 84 months in prison for distribution of child pornography, announced U.S. Attorney Matthew M. Graves, Acting Special Agent in Charge Emily Odom, and Interim Chief Ashan Benedict, of the Metropolitan Police Department (MPD). Cameron pleaded guilty on February 14, 2023.
According to court documents, in August of 2021, Camero met an individual online whom he believed was the father of a nine-year-old boy. In reality, this individual was a law enforcement officer, acting in an undercover capacity. Camero exchanged several messages with the undercover officer, and he expressed an interest in sexually abusing the child. At one point during this online chat, Camero asked the undercover officer if he and a friend could borrow the child for a night.
Throughout the course of this exchange, Camero sent the undercover two videos depicting the sexual abuse of very young children. On November 30, 2021, law enforcement executed a search warrant at Camero’s residence. When interviewed by law enforcement, the defendant admitted to chatting with the undercover and to distributing videos that depicted the sexual abuse of young boys. The defendant also admitted that he had additional videos depicting child pornography saved on his cell phone. Law enforcement recovered Camero’s cellular telephone and found at several images and videos depicting the sexual abuse of children. The National Center for Missing and Exploited Children confirmed that some of the children depicted in these images have been identified and rescued by law enforcement.
Following his prison term, Camero will be place on supervised release for 15 years and must register as a sex offender for a period of 25 years. He will be ordered to pay restitution to the minor victims who are depicted in the child sex abuse images and videos that he distributed and possessed.
In announcing the sentence, U.S. Attorney Graves, Acting SAC Odom, and Interim Chief Benedict commended the work of the agents and detectives who investigated the case. They also acknowledged the work of Assistant U.S, Attorneys Amy Larson and Rachel Forman who investigated and prosecuted the case.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative and investigated by the FBI's Child Exploitation Task Force, which includes members of the FBI's Washington Field Office and MPD. 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.
Distribution and Possession of Controlled Substances and Illegal Possession of Firearm Leads to Federal Prison Time for Two MenRead the Press Release
SHREVEPORT/LAKE CHARLES, La. – United States Attorney Brandon B. Brown announced the sentencing of two men in Shreveport and Lake Charles for their role in the trafficking of drugs in those cities.
United States District Judge S. Maurice Hicks, Jr. sentenced Paul Vincent Williams, 38, of Bossier City, Louisiana, to 216 months (18 years) in prison, followed by 5 years of supervised release. According to evidence introduced in court, law enforcement agents working with the Federal Bureau of Investigation (FBI), Drug Enforcement Administration (DEA) and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) were involved in an ongoing investigation of drug trafficking activities in the Shreveport/Bossier City area. Through their investigation, agents had specific information that Williams had sold and distributed various amounts of methamphetamine in February and March 2021. These amounts of methamphetamine were confirmed through testing by the DEA laboratory to be a total of 1,250 grams of pure methamphetamine. Agents conducted surveillance of Williams in February 2022 and subsequently conducted a traffic stop of Williams. A federal search warrant was obtained for Williams’ vehicle and inside agents recovered approximately 232.2 grams of suspected methamphetamine, 4.4 grams of suspected heroin, 37.4 grams of suspected marijuana, 56.3 grams of assorted pills, as well as five firearms, ammunition and over $8,500 in cash. The seized narcotics were sent to the DEA laboratory for testing and the methamphetamine was confirmed to be 216.9 grams of pure substance, while the suspected heroin was found to be fentanyl, containing 0.5 grams of the purse substance. Williams pleaded guilty on March 13, 2023, to possession with intent to distribute controlled substances and possession of a firearm in furtherance of a drug trafficking crime.
The case was investigated by the FBI and ATF and prosecuted by Assistant U.S. Attorney Brian C. Flanagan.
Trevor Selwyn Daniel, Jr., 50, of Decatur, Georgia, was sentenced by United States District Judge James D. Cain, Jr. to 120 months in prison, followed by 5 years of supervised release, for possession with intent to distribute cocaine. On February 12, 2020, Daniel was stopped by a Louisiana State Police trooper while traveling along Interstate 10. A K-9 officer arrived on the scene to assist and alerted to the presence of narcotics in the vehicle. A search of the vehicle was then conducted by law enforcement officers, and they found over five kilograms of cocaine wrapped in bricks and stored in duffel bags in the cargo area. Daniel admitted that the cocaine belonged to him and pleaded guilty to the charge on April 12, 2023.
This case was investigated by the Homeland Security Investigations-U.S. Immigration and Customs Enforcement and Louisiana State Police and was prosecuted by Assistant U.S. Attorney Daniel J. Vermaelen.
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Cuban nationals sentenced in relation to sex trafficking in area strip clubsRead the Press Release
HOUSTON – Three Cuban nationals have been ordered to prison for sex trafficking and related crimes.
Rasiel Gutierrez Moreno, 38, Hendry Jimenez Milanes, 39, and Rafael Mendoza Labrada, 29, were sentenced to 210, 120 and 34 months in federal prison, respectively. Moreno was ordered to pay $451,298 in restitution, while Milanes was ordered to pay $359,108.
Gutierrez Moreno pleaded guilty to sex trafficking and interstate travel in aid of racketeering Oct. 28, 2021. As part of his plea agreement, he admitted to bringing women from Cuba to the United States and charging them inflated smuggling debts as high as $30,000. Gutierrez Moreno forced the women to work in Houston-area strip clubs, such as Michaels’ International, where they danced and engaged in commercial sex acts with club patrons. They then had to provide all the proceeds to Gutierrez Moreno to pay down their debt.
Gutierrez Moreno further acknowledged smuggling and extracting a debt from approximately 20 other women in this manner.
Gutierrez Moreno admitted that to keep a specific victim under his control while she worked for him, he bragged about his acts of violence against other women and their families. On one occasion, Gutierrez Moreno beat another woman shortly before the other victim arrived at his home and ensured she observed that woman’s injuries. When the first victim escaped Gutierrez Moreno, he contacted her family in both Miami and Cuba to demand she return to work and finish paying her debt to him.
Jimenez Milanes pleaded guilty Jan. 10, 2022, to coercion and enticement, while Mendoza Labrada pleaded guilty April 30, 2021, to interstate travel in aid of racketeering.
“These defendants cruelly used violence, threats of violence, and false debts to force vulnerable victims to engage in commercial sex,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This kind of sex trafficking scheme is unlawful, dehumanizing and terrorizing to the women unable to break free. The Justice Department is committed to the vigorous prosecution of those who prey upon, abuse, and exploit others for their own financial benefit.”
“These human smugglers terrorized female migrants, using Houston’s strip clubs combined with psychological threats and sexual violence for their personal financial gain,” said U.S. Attorney Alamdar S. Hamdani. “The victims came to the United States in search of a new life, were especially vulnerable, and the defendants took advantage of that. The sentences imposed today send a strong message that the Southern District of Texas will not tolerate those who smuggle, threaten and abuse the vulnerable.”
“The court’s sentence today sends a strong message: The Diplomatic Security Service (DSS) is committed to making sure that those who commit sex trafficking face consequences for their criminal actions,” said Special Agent in Charge John Keith of the Department of State's DSS - Houston Field Office. “DSS’ strong relationship with the Department of Justice and other law enforcement agencies around the world continues to be essential in the pursuit of justice.”
DSS conducted the investigation as part of the Human Trafficking Rescue Alliance (HTRA), with the assistance of the Homeland Security Investigations of Miami, Florida, and the Department of Labor Wage and Hour Division.
Established in 2004, the U.S. Attorney’s Office in Houston formed HTRA to combine resources with federal, state, and local law enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those survivors who the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.
Assistant U.S. Attorney Sherri Zack for the Southern District of Texas and Trial Attorney Kate Hill of the Civil Rights Division’s Human Trafficking Prosecution Unit prosecuted the case.
Crystal Lake Woman Sentenced to Federal Prison for Conspiring to Distribute MethamphetamineRead the Press Release
A woman who conspired to distribute methamphetamine in the Crystal Lake area was sentenced June 29, 2023, to more than 5 years in federal prison.
Ashley Dawn Henken, age 39, from Crystal Lake, Iowa, received the prison term after a January 5, 2023, guilty plea to one count of conspiracy to distribute a controlled substance.
At the plea hearing, Henken admitted that between 2020, and continuing to May 2021, she did knowingly and intentionally conspire with others to distribute 500 grams or more of a methamphetamine mixture, and/or 50 grams of actual (pure) methamphetamine, commonly called “ice” methamphetamine. Henken was stopped by law enforcement on May 10, 20221, with a pound of methamphetamine.
Henken was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Henken was sentenced to 60 months’ imprisonment. She must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Henken is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by the Cerro Gordo Sheriff’s Office, Clear Lake Police Department, Mason City Police Department, Iowa Department of Narcotics Enforcement, and the North Central Iowa Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-3032.
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Covington Man to Serve Nine Years for Possession of Child Sex Abuse MaterialRead the Press Release
ROANOKE, Va. – A Covington, Virginia, man was sentenced yesterday to nine years in federal prison for using the peer-to-peer filesharing software Freenet to download images and videos of child sex abuse.
Jerald Gray, 51, pleaded guilty in December 2022 to one count of knowingly possessing one or more matters containing visual depictions of minors engaging in sexually explicit conduct, including prepubescent minors and minors who had not attained 12 years of age.
According to court documents, in July 2021, Gray began downloading child sex abuse videos depicting prepubescent girls, some under the age of 12, engaged in sexually explicit conduct.
Based on information obtained through the course of their investigation, agents with the Federal Bureau of Investigation obtained and executed a search warrant at Gray’s residence on December 8, 2021, and seized his computer and cell phone, among other items. Analysis of his computer revealed at least 65 movie or image files that contained child sex abuse material. In addition, Gray’s cellphone contained at least 11 images that depicted child sexual abuse material.
United States Attorney Christopher R. Kavanaugh and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, made the announcement.
The FBI investigated the case and Assistant U.S. Attorneys Matthew Miller, Rachel Barish Swartz, and Jason Scheff prosecuted the case.
Connecticut Sex Offender Indicted in Jacksonville for Committing Multiple Child Sexual Exploitation OffensesRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Andrew Thomas Bull (35, Tolland, Connecticut), formerly known as Andrew Thomas Picard, with the attempted production and distribution of child sex abuse materials. If convicted, Bull faces a minimum mandatory sentence of 25 years, up to 170 years, in federal prison and a lifetime term of supervised release. On July 7, 2023, Bull was arraigned in Jacksonville and ordered detained pending his trial.
Bull is a registered sex offender, having been convicted in Connecticut in 2013 of importation and illegal possession of child pornography. On May 25, 2023, FBI agents executed a search warrant at Bull’s home in Connecticut and Bull was arrested and later transported to Jacksonville for prosecution.
An indictment is only an allegation, and every defendant is presumed innocent until proven guilty.
This case was investigated by the Federal Bureau of Investigation in Jacksonville and New Haven, Connecticut. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Clinton Man Pleads Guilty to Employment Tax Fraud, Mail Fraud and False Statements; Leominster Man Pleads Guilty to Filing False Tax ReturnsRead the Press Release
BOSTON – A Clinton man and Leominster man pleaded guilty today in federal court in Worcester in connection with their involvement in tax and mail fraud, and other offenses.
Juliano Fernandes, 42, of Clinton, pleaded guilty to 11 counts of employment tax fraud, two counts of mail fraud, and two counts of making false statements to a federal agency. Anderson Dos Santos, 39, of Leominster, pleaded guilty to four counts of filing a false tax return. U.S. District Court Judge Margaret R. Guzman scheduled sentencings for October 2023.
Fernandes exercised financial control over Force Corporation and AB Construction, both Massachusetts-based construction companies. Between 2015 and 2017, Fernandes willfully failed to account for and pay over employment taxes for these companies to the United States Internal Revenue Service. In addition, from approximately April 2013 through January 2017, Fernandes defrauded worker’s compensation insurance companies by misrepresenting the number of employees at Force Corporation and AB Construction, and the amount of wages paid to the employees. Fernandes also, in August 2017, made materially false statements to the U.S. Department of Labor regarding the value of property he owned in Lunenburg, Mass., and that he never had responsibility or control over the payroll of Force Corporation. These statements related to the Department of Labor’s efforts to collect funds from Fernandes and his businesses in connection with alleged civil wage violations.
Dos Santos, who worked for AB Construction, signed and filed individual tax returns for tax years 2013, 2014, 2016 and 2017, in which he materially under-reported his income.
The charge of mail fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charges of failure to pay over employment taxes and making a false statement each provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of filing a false tax return provides for a sentence of up to three years in prison, three years of supervised release and a fine of $100,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Joshua S. Levy; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations, Boston Field Office; Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, Labor Racketeering and Fraud, Northeast Region; and Anthony DiPaolo, Executive Director of the Insurance Fraud Bureau of Massachusetts made the announcement. Assistant U.S. Attorneys Brendan D. O’Shea and Danial Bennett of the Worcester Branch Office, and John T. Mulcahy of the Narcotics & Money Laundering Unit, are prosecuting the case.