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23 August 2023
Former Indiana High School Teacher Sentenced to 10 Years in Federal Prison for Traveling to Kentucky to Engage in Sexual Conduct with a MinorRead the Press Release
Owensboro, KY – A former Evansville, Indiana high school teacher was sentenced yesterday to 10 years in prison for traveling to Kentucky to engage in sexual conduct with a minor.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Robert Holman of the United States Secret Service Kentucky Field Division, Kentucky Attorney General Daniel Cameron, Commissioner Phillip Burnett, Jr. of the Kentucky State Police, and Chief Art Ealum of the Owensboro Police Department made the announcement.
According to court documents, Cody Sean McCormick, 28, was sentenced to 10 years, followed by a lifetime term of supervised release, for traveling across state lines with intent to engage in illicit sexual conduct with a minor, attempted enticement of a minor, and attempted transfer of obscene material to a minor. There is no parole in the federal system.
McCormick used the internet to communicate with an undercover agent he believed to be a 14-year-old girl for the purposes of engaging in sexual contact. McCormick traveled from Evansville, Indiana to Owensboro, Kentucky to meet the undercover agent engage in sexual conduct.
This case was the result of a joint federal, state, and local operation called Operation Angel, aimed at making federal arrests of individuals who preyed upon children in the Owensboro area. The United States Secret Service, the Kentucky Office of the Attorney General, the Kentucky State Police, and the Owensboro Police Department investigated the case.
Assistant U.S. Attorney A. Spencer McKiness prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Former Federal Employee Sentenced for Leading $3.5 M Unemployment Insurance Fraud SchemeRead the Press Release
RICHMOND, Va. – A Concord, California, woman was sentenced today to 18 years in prison for her leading role in a conspiracy to defraud at least five states of more than $3.5 million in pandemic-related unemployment insurance benefits.
“Huffman organized a massive VEC fraud conspiracy and abused her position as a federal employee to steal funds meant for those struggling with employment security and the economic impacts of the COVID-19 pandemic,” said U.S. Attorney Jessica D. Aber. “To add insult to injury, when her time came to be held accountable at her initial sentencing hearing, she fled from the law. I am grateful today for the efforts of our law enforcement and prosecutorial team in ensuring Huffman and her co-defendants face the consequences of their selfish actions.”
“While employed with the federal government, Heather Ann Huffman led a criminal conspiracy to steal more than $2 million in pandemic-related unemployment insurance (UI) benefits, betraying the public trust and depriving benefits to those who desperately needed assistance during an unprecedented time of financial hardship,” stated Acting Special Agent in Charge Troy W. Springer of the National Capital Region, U.S. Department of Labor, Office of Inspector General (DOL-OIG). “As the primary law enforcement agency charged with investigating fraud against the UI program, DOL-OIG is committed to working relentlessly to protect the integrity of these vital benefits from those seeking to unlawfully enrich themselves at the expense of American workers affected by the pandemic. We are grateful to the U.S. Attorney’s Office for the Eastern District of Virginia, the U.S. Department of Veterans Affairs – OIG, the U.S. Marshals Service, and the Virginia Employment Commission, for their strong partnership and collaboration in this investigation.”
According to court documents, from April 2020 through at least March 2021, Heather Huffman, 52, lead and organized several others, including family members and close friends, in a conspiracy to defraud at least five state workforce agencies, including the Virginia Employment Commission, the Washington State Employment Security Department, and the California Employment Development Department, of more than $3.5 million in unemployment insurance benefits. Huffman’s conspiracy specifically targeted benefits that had been expanded to offset the economic impacts of the COVID-19 pandemic. To obtain these benefits, Huffman and others filed false and misleading applications in the names of identity theft victims, witting co-conspirators, and inmates of state and federal prisons. Among other information, Huffman and her conspirators included in these applications materially false wage and employment histories and false contact information, such as physical and mailing addresses, email addresses, and phone numbers, that did not, in fact, belong to the purported applicants.
To further their conspiracy, Huffman and others obtained and shared among themselves the personal identifying information (PII) of others, created and maintained email accounts purportedly belonging to those individuals, and falsified and forged various documents—including state and federal wage and tax forms—to substantiate the information they had included in the false benefit applications. Conspirators also identified nominee addresses in each of the targeted states at which they falsely claimed the purported applicants lived and worked. Conspirators then directed the targeted states to send benefit payments to prepaid debit cards mailed to various addresses in Virginia, including Huffman’s former residential addresses. As the conspiracy progressed, Huffman also opened a P.O. Box in the name of a fictitious non-profit, “Heather’s Homeless Services,” to which she thereafter directed the targeted states to mail the prepaid debit cards. Huffman, who was then employed as a registered nurse at the Department of Veterans Affairs Hunter Holmes McGuire Medical Center in Richmond, used her work computer to research available benefits, file and access claims, and falsify documents in furtherance of the conspiracy.
In total, Huffman and her conspirators submitted more than 220 applications in the names of more than 120 individuals to at least five different states through which they sought to receive more than $3.5 million and actually obtained more than $2 million.
Huffman’s sentencing was originally scheduled for November 29, 2022, but she failed to appear that day without notice or explanation. Prior to her disappearance, Huffman took measures to flee prosecution and conceal her whereabouts, including depleting her bank accounts, selling her vehicle, and turning her phone off. Through means unknown, Huffman obtained the PII of a real person, assumed that person’s identity, and procured counterfeit government identification and credit cards in the name of her false alias. Following Huffman’s disappearance, the United States Marshals Service (USMS) opened a fugitive investigation. This extensive, months-long investigation uncovered evidence that the defendant, under a false identity, was living and working as a registered nurse in Kansas. On March 4, 2023, approximately 95 days after Huffman’s flight from prosecution, she was apprehended by the USMS in Kansas at an Extended Stay hotel.
Huffman is the last of the defendants to be sentenced in this case. See the table below for additional information on the sentences imposed in this case.
Name
Age
Residence
Convictions
Total Sentence
Heather A. Huffman
54
Concord, California
Conspiracy to Commit Mail & Wire Fraud; Aggravated Identity Theft
216 months
Sheldon L. Huffman
31
Richmond, Virginia
Conspiracy to Commit Mail & Wire Fraud; Aggravated Identity Theft
60 months
Dorothea Rosado
54
Kennesaw, Georgia
Conspiracy to Commit Mail & Wire Fraud; Aggravated Identity Theft
36 months
Anthowan Daniels
35
Richmond, Virginia
Conspiracy to Commit Mail & Wire Fraud; Possession of a Firearm by a Convicted Felon
42 months
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Troy W. Springer, Acting Special Agent in Charge of the National Capital Region, U.S. Department of Labor, Office of Inspector General; and Kim. R. Lampkins, Special Agent in Charge, Mid-Atlantic Field Office, U.S. Department of Veterans Affairs, Office of Inspector General, made the announcement after Senior U.S. District Judge John A. Gibney, Jr. imposed the sentence.
The U.S. Attorney’s Office for the Eastern District of Virginia expresses its appreciation to the USMS for their assistance.
Assistant U.S. Attorneys Kaitlin G. Cooke, Kashan Pathan, and Mike C. Moore prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:22-cr-8.
Former FBI Contractor Charged with Child Exploitation OffensesRead the Press Release
ALEXANDRIA, Va. – A federal grand jury in the Eastern District of Virginia returned an indictment today charging a former FBI contractor with sexual exploitation of children.
According to court documents, Brett Janes, 26, of Arlington, Virginia, allegedly contacted roughly a dozen minor boys over Discord and Snapchat. He allegedly groomed the minors by telling them he worked for a U.S. intelligence agency before repeatedly threatening suicide if the minors did not continue to communicate with him. Janes allegedly enticed one victim, a 13-year-old boy whom he met through the first-person shooter game Valorant, to strip and masturbate over a live video Discord call by threatening to kill himself and by paying him money over CashApp. He allegedly enticed a 12-year-old boy to create and send him child sexual abuse material (CSAM) over Discord through flattery and repeated begging.
Janes allegedly received child sexual abuse material from these two minors, as well as two separate minor victims, and attempted to meet up with a minor. He also allegedly purchased hundreds of videos and images of child sexual abuse material from Telegram.
Janes is charged with two counts of sexual exploitation of children and production of CSAM, one count of attempted coercion and enticement, and one count of receipt of child pornography. If convicted, he faces a mandatory minimum of 15 years in prison and a maximum penalty of life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; and Arlington County Chief of Police, Charles “Andy” Penn, made the announcement.
Special Assistant U.S. Attorney McKenzie Hightower is prosecuting the case.
Any individuals who believe they or someone they know may have been victimized by Janes are encouraged to contact the FBI at 202-278-2000 and ask to speak to the child exploitation and human trafficking task force.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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. 1:23-cr-140.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Former FBI Contractor Charged with Child Exploitation OffensesRead the Press Release
A federal grand jury in the Eastern District of Virginia returned an indictment today charging a former FBI contractor with sexual exploitation of children.
According to court documents, Brett Janes, 26, of Arlington, Virginia, allegedly contacted roughly a dozen minor boys over Discord and Snapchat. He allegedly groomed the minors by telling them he worked for a U.S. intelligence agency before repeatedly threatening suicide if the minors did not continue to communicate with him. Janes allegedly enticed one victim, a 13-year-old boy whom he met through the first-person shooter game Valorant, to strip and masturbate over a live video Discord call by threatening to kill himself and by paying him money over CashApp. He allegedly enticed a 12-year-old boy to create and send him child sexual abuse material (CSAM) over Discord through flattery and repeated begging. Janes allegedly received child sexual abuse material from these two minors, as well as two separate minor victims, and attempted to meet up with a minor. He also allegedly purchased hundreds of videos and images of child sexual abuse material from Telegram.
Janes is charged with two counts of sexual exploitation of children and production of CSAM, one count of attempted coercion and enticement, and one count of receipt of child pornography. If convicted, he faces a mandatory minimum of 15 years in prison and a maximum penalty of life in prison.
Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department’s Criminal Division, U.S. Attorney Jessica D. Aber for the Eastern District of Virginia, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Arlington County Chief of Police Charles “Andy” Penn made the announcement.
The FBI and Arlington County Police are investigating the case.
Trial Attorney McKenzie Hightower of the Criminal Division’s Child Exploitation and Obscenity Section is prosecuting the case.
Any individuals who believe they or someone they know may have been victimized by Janes are encouraged to contact the FBI at 202-278-2000 and ask to speak to the Child Exploitation and Human Trafficking Task Force.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Connecticut Residents Charged with Operating Websites to Illegally Sell Misbranded and Unapproved DrugsRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that a federal grand jury in New Haven has returned an indictment charging RYAN FIELDS, 49, and LISA MAHAN, 53, of Port Neches, Texas, formerly of Glastonbury, Connecticut, with offenses for illegally selling misbranded and unapproved prescription drugs.
The indictment was returned on August 8, 2023, and unsealed after Fields and Mahan were arrested this morning in Port Neches, Texas. They are scheduled to appear this afternoon in U.S. District Court for the Eastern District of Texas.
As alleged in the indictment, from September 2021 to June 2023, Fields and Mahan operated two websites, pinnedaminos.com and projectaminos.com, as well as a private Facebook group called Pinned Aminos, through which they illegally sold and distributed to customers throughout the U.S. misbranded prescription drugs. They did not require customers to provide a valid prescription, and some of the drugs they sold and distributed were unapproved by the Food and Drug Administration (FDA) for human consumption. The drugs they sold also included drugs they illegally imported from foreign manufacturers.
The indictment further alleges that, to avoid detection and mislead the FDA, the pinnedaminos.com website had a disclaimer that falsely stated that the products for sale were “intended for laboratory and research use only,” and “not intended for human ingestion.” In addition, the labeling on the drugs sold and delivered to customers falsely stated that the drugs were “research compounds” and/or “not for human consumption.” Contrary to these representations, Fields and Mahan knew and intended that the drugs they sold were for human use, and through emails and posts on the Pinned Aminos Facebook group, they provided customers with information on the health benefits of the drugs they sold and directions on dosage.
The indictment alleges that Fields and Mahan unlawfully shipped over 10,000 parcels to customers throughout the country and collected more than $1.4 million from customers. Fields and Mahan used the proceeds to pay themselves, purchase cars, and purchase a residence in Texas.
The indictment charges Fields and Mahan with one count of conspiracy to introduce misbranded or unapproved drugs into interstate commerce and to smuggle goods into the United States, which carries a maximum term of imprisonment of five years, and one count of conspiracy to commit money laundering, which carries a maximum term of imprisonment of 20 years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Food and Drug Administration, Office of Criminal Investigations; the Drug Enforcement Administration; and Homeland Security Investigations. The case is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
U.S. Attorney Avery thanked the U.S. Attorney’s Office for the Eastern District of Texas for their assistance in this matter.
Former Army Reservist Pleads Guilty to Conspiracy to Commit Theft of Government FundsRead the Press Release
NEW ORLEANS – On August 15, 2023, former United States Army reservist DERRICK BRANCH pled guilty to conspiracy to commit theft of government funds, announced U.S. Attorney Duane A. Evans. BRANCH stole $15,469.30 from the United States Department of the Army by claiming reimbursement for the performance of military funeral honors ceremonies that never happened.
The National Defense Authorization Act of 2000 authorizes military funeral honors for active-duty soldiers, retirees, and veterans. At a family’s request, eligible persons can receive military funeral honors, including the folding and presenting of the United States flag and the playing of “Taps.”
By pleading guilty to conspiracy to commit theft of government funds, in violation of Title 18, United States Code, Section 371, BRANCH faces a maximum penalty of five (5) years imprisonment, followed by up to three (3) years of supervised release, a fine of up to $250,000.00, and a mandatory $100 special assessment fee. BRANCH has agreed to pay restitution to the United States Army in the amount of $15,469.30.
U.S. Attorney Evans praised the work of the United States Army Criminal Investigation Command. The prosecution was handled by Assistant United States Attorney Andre J. Lagarde of the Public Integrity Unit.
Flower Mound Fentanyl Trafficker Sentenced to 8+ Years in PrisonRead the Press Release
A fentanyl trafficker responsible for distributing thousands of pills across north Texas was sentenced today to more than eight years in federal prison, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Stephen Paul Brinson, aka “Steve-O,” 18, was charged in March and pleaded guilty in May to conspiracy to possess with intent to distribute a Schedule II controlled substance (fentanyl). He was sentenced Wednesday by U.S. District Judge Ed Kinkeade to 100 months in prison.
In plea papers, Mr. Brinson admitted he dealt fentanyl-laced pills out of a home in Flower Mound.
He used an Instagram account to facilitate the sale of the round blue pills, which were imprinted “M/30” to resemble legitimate 30mg oxycodone pills.
According to court documents, Mr. Brinson acted as the source of supply for fentanyl to Donovan Jude Andrews, the Carrollton dealer who allegedly capitalized on the arrest of Luis Navarrete and Magaly Cano to advertise his pill business. (Mr. Andrews is allegedly tied to at least one juvenile fentanyl overdose – that of a 14-year-old girl who paid her dealer through CashApp; Mr. Navarrete and Ms. Cano, along with their supplier, Jason Villanueva, are allegedly tied to more than ten others.)
During a search of Mr. Brinson’s residence, law enforcement recovered approximately 1,800 fentanyl pills along with cocaine, marijuana, and two firearms.
In plea papers, he admitted that at the time of the search, he was armed and en route to deliver an M/30 pill to a customer in Flower Mound.
Mr. Brinson was the second defendant charged in the wake of the Carrollton / Flower Mound juvenile overdoses to enter a guilty plea. Magaly Cano, 29, pleaded guilty earlier this month. To date, a total of nine defendants have been charged, five of whom have pleaded guilty. (All defendants are presumed innocent until proven guilty in a court of law.)
The Drug Enforcement Administration’s Dallas Field Division and the Carrollton Police Department conducted the investigation with the assistance of School Resource Officers from the Carrollton – Farmer’s Branch Independent School District and the Lewisville Independent School District. Assistant U.S. Attorneys Phelesa Guy and Rick Calvert are prosecuting the case.
Note: Illicitly produced, fentanyl-laced pills often look similar to legitimate prescription pills like Oxycontin or Percocet, but can pose significantly more danger. On the street, these pills are often referred to as “M30s” (a reference to the markings on some of the pills), “blues,” “perks,” “yerks,” “china girls,” or “TNT.” DEA research shows that six out of ten pills laced with fentanyl contain a potentially lethal dose. One pill can kill. For resources, visit https://www.dea.gov/onepill.
Florida Couple Indicted for Multiple Federal Firearms ViolationsRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces the return of a 39-count indictment charging Kingsley Wilson (35, Kissimmee) and Viviana Rodriguez (41, Kissimmee), with dealing in firearms without a license, making a materially false statement to a federally licensed firearms dealer (FFL), and causing an FLL to maintain false information in its official records. If convicted, each faces a maximum penalty of 5 years in federal prison for dealing in firearms without a license; 10 years for each count of making a materially false statement to an FFL; and 5 years for each count of causing an FFL to maintain false information in its official records.
According to evidence and documents presented in court, between January 2022 and July 2023, Wilson purchased 89 firearms from multiple gun dealers in the Middle District of Florida. During that same period, Rodriguez purchased approximately 40 firearms. While purchasing these firearms, Wilson and Rodriguez each falsely certified on ATF Form 4473s (Firearm Transaction Records) that they were the “actual transferee/buyer” of the firearms. In actuality, they were purchasing the firearms for other individuals. Ten of the firearms purchased by Wilson have been recovered by law enforcement at crime scenes in the Bahamas and Canada.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations (HSI), and the Osceola County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
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.
Five Amazon Marketplace Sellers and Four Amazon Marketplace Companies Sentenced for Price FixingRead the Press Release
Five individuals and four companies have been sentenced for participating in a conspiracy to fix the prices of DVDs and Blu-Ray Discs sold on the Amazon marketplace. This investigation has resulted in a total of six individual guilty pleas and four corporate guilty pleas.
Victor Btesh, of New York, was sentenced to 18 months in prison incarceration followed by two years of supervised release and a fine of $38,000. Btesh’s three companies – Michelle’s DVD Funhouse, MJR Prime and Prime Brooklyn – were sentenced to $156,520, $125,688 and $61,844 in criminal fines, respectively, in the U.S. District Court for the Eastern District of Tennessee.
Additionally, Emmanuel Hourizadeh, Raymond Nouvahian, Morris Sutton, Bruce Fish and Fish’s company, BDF Enterprises Inc., were all sentenced on July 21, in the U.S. District Court for the Eastern District of Tennessee. Hourizadeh and Nouvahian, both of New York, were each sentenced to one month in prison, seven months of home confinement, a criminal fine of $55,000 each and two years of supervised release. Sutton, of New Jersey, was sentenced to one month in prison, five months of home confinement, a $20,000 criminal fine and two years of supervised release. Fish, of Minnesota, was sentenced to six months in prison, six months of home confinement, a $48,750 criminal fine and two years of supervised released. BDF Enterprises was sentenced to a $234,000 criminal fine.
“Americans are becoming increasingly reliant on online marketplaces, making it more important as ever to protect them from being cheated on the internet,” said Deputy Assistant Attorney General Manish Kumar of the Justice Department’s Antitrust Division. “These sentences reflect the division’s commitment to seeking punishment for criminal antitrust violations wherever they may occur.”
“Conspiring to fix prices in online marketplaces is a federal crime,” said U.S. Attorney Francis M. Hamilton III for the Eastern District of Tennessee. “These convictions and sentences demonstrate our office’s commitment to prosecuting price-fixing conspiracies and to protecting consumers in the Eastern District of Tennessee from paying inflated prices in online marketplaces.”
“Activities related to price fixing and collusion do not promote an environment conducive to open competition, ultimately harming the consumer,” said Executive Special Agent in Charge Kenneth Cleevely of the U.S. Postal Service Office of Inspector General (USPS-OIG). “The sentencings in this case represent a win for all law enforcement agencies who investigate those who engage in this type of harmful conduct to ensure that justice is served.”
According to court documents, the defendants agreed with co-conspirators to raise and maintain the prices of DVDs and Blu-Rays sold through Amazon marketplace storefronts, resulting in those products being sold at collusive and noncompetitive prices. Hourizadeh, Nouvahian and Sutton pleaded guilty to price fixing on Jan. 7, 2022. Btesh and all three corporate entities pleaded guilty to price fixing on Feb. 9, after having been indicted on March 16, 2022. Lastly, Fish and BDF Enterprises pleaded guilty to price fixing on Feb. 10, after having been indicted on March 16, 2022.
Amazon Marketplace is an e-commerce platform that enables third-party vendors to sell new or used products alongside Amazon’s own offerings. Amazon Marketplace is owned and operated by Amazon.com Inc.
The FBI New York Field Office and the USPS-OIG Contract Fraud Investigations Division investigated the case.
Trial Attorneys Robert M. Jacobs, Kevin C. Culum, Elizabeth K. Noonan-Pomada and Nickolas R. Foran of the Antitrust Division’s Chicago Office and Assistant U.S. Attorney William A. Roach Jr. for the Eastern District of Tennessee prosecuted the case.
Anyone with information in connection with this investigation should contact the Antitrust Division’s Complaint Center at 888-647-3258 or visit www.justice.gov/atr/report-violations.
Federal Search Warrants ExecutedRead the Press Release
DES MOINES, Iowa -- On Wednesday, August 23, 2023, federal search warrants were executed at the following locations in the Des Moines metropolitan area:
- 8500 block of Warren Drive, Des Moines,
- 1800 block of Logan Avenue, Des Moines,
- 1200 block of 11th Street, Des Moines,
- 6300 block of SW 12th Street, Des Moines,
- 3300 block of Sylvania Drive, West Des Moines,
- 5700 block of Allison Avenue, Des Moines,
- 900 block of 8th Street SW, Altoona,
- 600 block of Walker Street, Des Moines,
- 7400 block of SW 12th Street, Des Moines,
- 7000 block of Bloomfield Road, Des Moines,
The searches at these locations were an official law enforcement action involving officers, agents, and investigators from the Des Moines Police Department Vice and Narcotics Control Unit, Drug Enforcement Agency (DEA), United States Postal Inspection Service, Iowa Division of Narcotics Enforcement (DNE), Iowa State Patrol, Iowa Division of Intelligence and Fusion Center, Metro Special Tactics and Response (STAR), Iowa State Patrol SWAT, Federal Bureau of Investigations (FBI), Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Mid-Iowa Narcotics Task Force, Mid-Iowa Narcotics Task Force East division, United States Marshals Service, West Des Moines Police Department, Johnston Police Department, Pleasant Hill Police Department, Altoona Police Department, and the Polk County Sheriff’s Office.
Farrell, PA Man Sentenced to 46 Months in Prison for Conspiring to Distribute Fentanyl, Heroin and CocaineRead the Press Release
PITTSBURGH, PA – Khiry Whiteside was sentenced to 46 months in prison for conspiring to distribute fentanyl, heroin, and cocaine, United States Attorney Eric G. Olshan announced today.
Whiteside, age 32 of Farrell, Pennsylvania, was sentenced by United States District Judge Cathy Bissoon. Judge Bissoon ordered Whiteside to serve six years of supervised release following his prison sentence.
Whiteside pled guilty earlier this year to conspiring to distribute fentanyl, heroin, and cocaine in 2020 and 2021 in Mercer County. He stipulated to being responsible for the distribution of 100 grams of cocaine, 25 grams of heroin, and 15 grams of fentanyl. Whiteside was previously convicted in Pennsylvania state court, in 2010 and 2017, of committing cocaine trafficking crimes.
Assistant United States Attorneys Benjamin C. Dobkin and Craig W. Haller prosecuted this case on behalf of the United States.
The Federal Bureau of Investigation, the Drug Enforcement Administration, the Pennsylvania Attorney General’s Office, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Pennsylvania State Police, the Lawrence County Drug Task Force, the Mercer County Drug Task Force, the New Castle Police Department, the Sharon Police Department, the Hermitage Police Department, and the Farrell Police Department led the investigation resulting in the conviction and sentence in this case.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
El Salvadoran Man Sentenced to 18 Months for Failure to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Susan Lehr announced that Jorge Miranda-Funes, of El Salvador, was sentenced today in federal court in Omaha, Nebraska, for failure to register as a sex offender and illegal reentry after a felony conviction. United States District Judge Brian C. Buescher sentenced Miranda-Funes to 18 months in prison. There is no parole in the federal prison system. After his release from prison, Miranda-Funes will serve 5 years of supervised release and face deportation.
Miranda-Funes was required to register as a sex offender as a result of a 2022 conviction for Attempted Child Abuse in Douglas County, Nebraska. After serving his sentence in that case, Miranda-Funes was removed from the United States to El Salvador. The investigation determined that a few months after his removal, Miranda-Funes returned to the United States illegally and resided in Omaha for approximately two months without updating his sex offender registration address.
This case was investigated by the United States Marshal’s Service and the Department of Homeland Security.
Effingham County Man Sentenced for Methamphetamine OffensesRead the Press Release
BENTON, Ill. – A U.S District judge sentenced an Effingham County man to 188 months in prison after he admitted guilt to two federal drug charges.
Tyler R. Schumacher, 37, of Altamont, Illinois, pleaded guilty to one count of conspiracy to distribute more than 50 grams of methamphetamine and one count of possession with intent to distribute more than five grams of methamphetamine.
“This hefty prison sentence is a nod to the efforts of law enforcement officers working to disband drug distribution rings in southeastern Illinois,” said U.S. Attorney Rachelle Aud Crowe. “I applaud the collaboration between departments to apprehend this criminal.”
According to court documents, Schumacher conspired with others to distribute methamphetamine in Effingham County from 2019 until June 2022. On Feb. 22, 2022, law enforcement executed a search warrant on Schumacher’s Effingham County residence and seized methamphetamine, cocaine, money bands, an assortment of plastic bags and more than $5,000 in cash.
Following his prison sentence, Schumacher will serve five years of supervised release. In addition, he was ordered to pay a $500 fine and $200 in special assessments.
The investigation was conducted by the Effingham County Sheriff's Department, the Effingham City Police Department, and the Southeastern Illinois Drug Task Force. Assistance was also provided by the Effingham County State’s Attorney’s Office.
District Man Sentenced to 96 Months in Prison for Carjacking and Unlawful Possession of a FirearmRead the Press Release
WASHINGTON – Andre Gregory, 31, of Washington, D.C. was sentenced today to 96 months in prison for carjacking and unlawful possession of a firearm that occurred in March of 2019, announced U.S. Attorney Matthew M. Graves, Acting Chief Pamela Smith, of the Metropolitan Police Department, and Special Agent in Charge Craig Kailimai, of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to the government’s evidence in the Superior Court case, on March 4, 2019, at approximately 8:40 p.m., the defendant and a second suspect pointed firearms at and ran towards the victim, who had just parked his BMW in the 100 block of Wilmington Place, SE. The defendant and second suspect forced the victim out of his car at gunpoint and ordered the victim to the ground. Gregory stood over the victim as the victim lay on the ground, and kept his firearm pointed at the victim while the second suspect searched the victim. Then, Gregory entered the victim’s vehicle and opened the trunk so that the second suspect could search through the contents of the trunk. Having taken the victim’s keys, ID card, and money, Gregory and the second suspect then told the victim that they were taking the victim’s vehicle and that the victim needed to leave. The victim fled and Gregory and the second suspect then stole the victim’s vehicle. Officers subsequently located the victim’s vehicle in Capitol Heights, MD and returned the vehicle to the victim.
Gregory was also sentenced today to 42 months by U.S. District Court Judge Dabney L. Friedrich for his role in a bribery scheme. The sentences will run consecutively.
In announcing the sentence, U.S. Attorney Graves and Acting Chief Smith and Special Agent in Charge Kailimai commended the work of those who investigated the case from the Metropolitan Police Department and the ATF. They also expressed appreciation for the work of those who handled the cases at the U.S. Attorney’s Office, including Assistant U.S. Attorney Colleen Kukowski who investigated and prosecuted the case.
Department of Justice Announces More than $2.3 Million in Federal Funding for Spokane County and the Spokane Police Department to Improve the Functioning of the Criminal Justice System, Combat Juvenile Delinquency, and Assist Victims of Violent CrimeRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, today announced three Department of Justice grants awarded in the Eastern District of Washington. One grant was awarded to Spokane County and allocates $500,000 to improve the criminal justice system, prevent and combat juvenile delinquency, and assist victims of crime. Spokane City, to include the Police Department, received two grant awards. One for the Spokane Police Department for $1,317,000 and a second to the city for $500,000. Both grants were issued with the intended goal to improve the criminal justice system.
Funding for these grants were awarded through the Byrne Discretionary Community Project Funding/Byrne Discretionary Grants Program. Pursuant to this program, $229,551,000 had been allocated nationally as part of the Consolidated Appropriations Act, which was passed in 2023.
Plans for this grant funding include: (1) acquiring additional aircraft by the Spokane Regional Air Support Unit (SRASU), which is a regional aviation unit dedicated to assisting and improving public safety; (2) improving technology to augment staff, improve outcomes for crime victims, replace antiquated technologies, and increase officer safety; and (3) increasing resources for supporting treatment to effectively address domestic violence.
In announcing these awards, U.S. Attorney Waldref stated, “It is critical that we work together – with our federal, state, and local partners to keep our communities safe and strong. The citizens of Spokane County deserve nothing less.” She continued, “These latest grant awards demonstrate the federal government’s continued commitment to ensuring the justice system is keeping up with technological advances, while maintaining the overall goal of decreasing crime and supporting those who fall victim to it. Right here in Eastern Washington, these funds fall in line with my Office’s Safe Home Safe Community Initiative, which focuses on curbing gun violence by removing firearms unlawfully possessed by individuals with a track record of violent crime and domestic violence – these efforts protect victims, law enforcement, and the entire community.”
Additional information about grants and funding through the U.S. Department of Justice Office of Justice Programs is available at https://www.ojp.gov/.
Department of Justice Announces More than $1 Million in Federal Funding for the Washington State Department of Commerce to Address Sexual AssaultRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, today announced a Department of Justice grant award for the Washington State Department of Commerce. The grant allocates $1,012,474 to address sexual assault. This grant was awarded on August 22, 2023.
Funding for the $1,012,474 grant was awarded by the Office on Violence Against Women, Fiscal Year 2023 Sexual Assault Services Formula Program. The Sexual Assault Services Formula Program (SAS Formula Program) was created by the Violence Against Women and Department of Justice Reauthorization Act of 2005 (VAWA 2005), 34 U.S.C. § 12511. The SAS Formula Program directs grant dollars to states and territories to assist them in supporting rape crisis centers (including governmental rape crisis centers not in territories and tribal governmental programs) and nonprofit, nongovernmental organizations that provide core services, direct intervention, and related assistance to victims of sexual assault, regardless of age. Funds provided through the SAS Formula Program are designed to supplement other funding sources directed at addressing sexual assault on the state and territorial levels. Rape crisis centers and other nonprofit organizations, such as dual programs providing both domestic violence and sexual assault intervention services, play a vital role in assisting sexual assault victims through the healing process, as well as assisting victims through the medical, criminal justice, and other social support systems.
In announcing this award, U.S. Attorney Waldref stated, “It is critical that we work together – with our federal, state, local and tribal law enforcement partners – to address sexual assault in Washington State.” She continued, “This latest grant award demonstrates the federal government’s continued commitment to combatting sexual violence, which disproportionately impacts women and vulnerable populations. I have witnessed the hurt and trauma that sexual assault victims and their families and loved ones endure. This award will fund critical services to assist sexual assault survivors, and support my office’s mission to protect victims of crime, amplify their voices, and to seek justice on behalf of all citizens in Eastern Washington.”
Additional information about grants and funding through the U.S. Department of Justice Office of Justice Programs is available at https://www.ojp.gov. Information regarding the Department of Justice’s Office on Violence against Women is available at https://www.justice.gov/ovw.
D.C. Jail Corrections Officer and Inmate Sentenced to Prison Terms for BriberyRead the Press Release
WASHINGTON – A corrections officer and an inmate were sentenced this week on bribery charges in a scheme that smuggled narcotics into the District of Columbia Central Detention Facility, better known as the D.C. Jail.
Andre Gregory, 31, of Washington, D.C., who was incarcerated at the time of the bribery offense, was sentenced today to 42 months in prison. Former Corrections Officer Beverly Williams, 52, of Upper Marlboro, Maryland, was sentenced August 21, 2023, to 18 months in prison. The two defendants were charged along with Keywaune McLeod, 28, of Washington, D.C., who is awaiting sentencing. All three defendants pleaded guilty in the U.S. District Court for the District of Columbia.
The sentences were announced by U.S. Attorney Matthew M. Graves and Acting Special Agent in Charge David Geist of the FBI Washington Field Office Criminal and Cyber Division.
“Corrections officers are critical to the safe and orderly operation of our prison system,” said U.S. Attorney Graves. “Through this bribery and smuggling scheme, in exchange for cash, Beverly Williams betrayed her duty and undermined security and the whole function of the D.C. Jail by bringing drugs to the inmates inside. Inmate Andre Gregory and co-defendant Keywaune McLeod conspired with Williams to pull this off – and all of them profited from her corruption. Our Office will do everything in our power to eliminate corruption in our prison system, and anywhere in government, and to ensure that crimes like this don’t pay.”
“Corrections officers are responsible for cultivating a safe and orderly environment for the inmates they guard,” said Acting Special Agent in Charge Geist. “By conspiring with Gregory and McLeod to smuggle drugs into the D.C. Jail in return for cash, Williams abused her position of power and risked the safety and integrity of the city's correctional facility. The FBI thanks the D.C. Department of Corrections Office of Investigative Services for their partnership throughout this investigation and reaffirms our commitment to holding public servants accountable to the oaths they take and the people they serve.”
According to the government’s evidence, Williams admitted that while working as a Correctional Officer at the D.C. jail in 2022, she accepted bribe payments of $6,400 to smuggle packages containing narcotics into the facility. Williams received packages of drugs and cigarettes from Keywaune McLeod, Gregory’s cousin, and secreted them into the jail by concealing them on her body. Once inside, Williams transferred the drugs to inmate Gregory, in secure areas where they could not be seen on surveillance cameras. Gregory then distributed the drugs for a profit. McLeod, who accepted and managed the proceeds, used CashApp to make bribe payments to Williams for the drug smuggling. Gregory used jail-issued phones and electronic tablets to communicate with McLeod, using coded language in an attempt to avoid detection of their conspiracy.
In addition to the prison term, U.S. District Court Judge Dabney L. Friedrich ordered 36 months of supervised release for each defendant.
Separately, District of Columbia Superior Court Judge Robert D. Okun, today, sentenced Andre Gregory to 96 months in prison for an armed carjacking and unlawful possession of a firearm. The sentenced will run consecutively.
The District Court case against Williams, Gregory, and McLeod was investigated by the FBI’s Washington Field Office, with assistance the D.C. Department of Corrections Office of Investigative Services.
This case is being prosecuted by Assistant U.S. Attorneys Gauri Gopal and Ahmed Baset with assistance from Paralegal Specialist Lisa Abbe, of the U.S. Attorney’s Office for the District of Columbia’s Fraud, Public Corruption, and Civil Rights Section.
Controller Defrauds Law Firm Out of $1.5 Million by Inflating SalaryRead the Press Release
A law firm controller pleaded guilty Tuesday to inflating her payroll amount by $1.48 million over the course of just three years, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Christiane Kathleen Irwin, 44, was indicted in March 2022. She pleaded guilty to wire fraud before U.S. Magistrate Judge Toliver.
According to court documents, Ms. Irwin, who worked for a law firm and was responsible for submitting payroll each week, falsely inflated her salary, which was set at approximately $140,000 annually.
In accordance with her fraudulent payroll submission, the firm’s payroll vendor transferred her purported pay from the firm’s bank account into her bank account every two weeks.
Over the course of three years, from 2019 to 2021, Ms. Irwin took home $1.48 million in fraudulently obtained funds.
She now faces up to 20 years in federal prison. Her sentencing date is slated for Jan. 3, 2024. Irwin has agreed that the loss amount to the firm for restitution is over $1.48 million.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorneys Nashonme Johnson and Jenna Rudoff are prosecuting the case with the help of Financial Auditor Sheila Powell.
Clay County Convicted Felon Pleads Guilty to Drug and Firearm ChargesRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Shawntae Jamell Clark (44, Clay County) has pleaded guilty to possessing with the intent to distribute 50 grams or more of methamphetamine and possessing a firearm as a convicted felon. Clark faces a minimum mandatory penalty of 10 years, and up to life, in federal prison on the drug charge, and up to 15 years’ imprisonment on the firearm charge. Clark also agreed to forfeit two firearms, ammunition, and cash traceable to his offenses. Clark was arrested on July 6, 2022, and ordered detained. His sentencing is scheduled for November 27, 2023.
According to court documents, deputies from the Clay County Sheriff’s Office (CCSO) were investigating Clark based on reports that he was selling drugs, including methamphetamine, out of a hotel room at the Stay Suites on Wells Road in Clay County. On July 2, 2021, deputies observed Clark leaving his hotel room with a backpack and getting into a car. During a subsequent traffic stop of the vehicle, a CCSO canine alerted to the car, indicating that it contained illegal narcotics. A subsequent search of the car revealed a small safe containing a loaded Beretta pistol and Taurus revolver, 7 baggies of methamphetamine, and approximately 100 small baggies. Further investigation determined that the total weight of the methamphetamine was approximately 159 grams, and that Clark had multiple prior felony convictions for armed robbery, attempted lewd or lascivious act – sexual battery, and multiple convictions for possession of cocaine. As such, he is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein. The forfeiture is being handled by Assistant United States Attorney Mai Tran.
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.
Chalmette Resident Sentenced for Theft of Stolen Mail and Unlawful Possession of a Postal KeyRead the Press Release
NEW ORLEANS, LOUISIANA – On August 17, 2023, KELAN PERRY GENNINGS, (“GENNINGS”), age 22, was sentenced by U.S. District Judge Eldon E. Fallon to serve five years probation, 150 hours of community service and pay a mandatory $100 special assessment fee for theft or receipt of stolen mail matter, a violation of Title 18, United States Code, Section 1708 and unlawful possession of a postal key, a violation of Title 18, United States Code, Section 1704, announced United States Attorney Duane A. Evans.
According to court documents, on November 15, 2022, GENNINGS along with his co-conspirators, stole U.S. Mail from a post office mailbox located at the Covington Post Office using a postal arrow key to access said mailbox. GENNINGS then broke into the mailboxes to steal checks and other financial documents, which he later used to commit check fraud.
The case was investigated by the U.S. Postal Inspection Service. Assistant United States Attorney Spiro G. Latsis of the General Crimes Unit is in charge of the prosecution.
Buffalo Man Going to Prison for His Role in String of Credit Union RobberiesRead the Press Release
BUFFALO, N.Y.- U.S. Attorney Trini E. Ross announced today that Ronald Morris, 48, of Buffalo, NY, who was convicted of aggravated bank robbery, attempted bank robbery, and using, possessing, and brandishing a firearm in furtherance of a crime of violence, was sentenced to serve 171 months in prison and pay restitution totaling $551,286 by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Joshua A. Violanti, who handled the case, stated that Morris was involved in robbing three credit unions:
- On February 27, 2019, Morris a/k/a Cracks and Adrian D. Applewhite entered the Tonawanda Community Federal Credit Union on Delaware Street in Tonawanda, armed with a firearm. The two men forcibly took approximately $111,992.18 in United States currency before fleeing in a vehicle.
- On July 25, 2019, the defendant and Myron McCollum entered the South Towns Community Federal Credit Union on South Park Avenue in Lackawanna wearing dark colored clothing and face masks and conducted a bank robbery with pepper spray and a pistol. Morris and McCollum traversed the teller’s counter, sprayed the tellers with pepper spray, and went to the unlocked safe, forcibly taking $290,500 in United States currency.
- On November 7, 2019, Morris and Carl Wilson and Myron McCollum, armed with a pistol and donning masks and gloves, entered the Clarence Community and School Federal Credit Union on Sheridan Drive in Clarence, and conducted a bank robbery while Applewhite, the getaway driver, sat in a car nearby. Morris and his accomplices ordered all the employees to the ground and demanded money. Wilson and McCollum went behind the teller line and went through teller’s drawers, while Morris went to the vault. They forcibly took $148,793.90 in United States currency.
Carl Wilson, Adrian Applewhite, and Myron McCollum were all previously convicted.
The sentencing is the result of an investigation by the New York State Police, under the direction of Major Eugene Staniszewski; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia; the Lackawanna Police Department, under the direction of Chief Mark Packard; the Evans Police Department, under the direction of Chief Gregory Szarowicz; and the Tonawanda Police Department, under the direction of Chief James P. Stauffiger.
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Bogalusa Man Indicted on Federal Firearms and Drug Trafficking ChargesRead the Press Release
NEW ORLEANS, LOUISIANA –ROMERO MORRIS, age 34, a resident of Bogalusa, Louisiana, was charged on August 18, 2023, in an eleven-count indictment with several violations of the Federal Gun Control and Federal Controlled Substances Acts, announced U.S. Attorney Duane A. Evans.
According to the indictment, MORRIS distributed and possessessed with the intent to distribute, different drugs on December 19, 2018, January 17, 2019, April 1, 2019, March 25, 2022, January 26, 2023, February 8, 2023, and February 14, 2023. He also illegally possessed firearms as a convicted felon and, in furtherance of his drug trafficking crimes, on several of these dates.
In Counts 1, 2, 3, 7, and 8 of the indictment, he is charged with the distribution of different drugs, including cocaine, fentanyl, and methamphetamine. As to each of these counts, he will face a sentence of not more than 20 years in prison, a fine of up to $1,000,000.00, and not less than three years of supervised release.
In Counts 4 and 9, he is charged with possession with the intent to distribute over 40 grams of fentanyl, and quantities of cocaine and methamphetamine. For the fentanyl, he will face a minimum sentence of 5 years and up to 40 years in prison, a fine of not more than $5,000.000, and at least 4 years of supervised release. For the cocaine and methamphetamine, he will face a sentence of not more than 20 years in prison, a fine of up to $1,000,000.00, and not less than three years of supervised release.
For Counts 5 and 10, he is charged with being a felon in possession of a firearm for which he faces a sentence of not more than 10 years in prison, a fine of not more than $250,000.00, and not more than three years of supervised release.
For, Counts 6 and 11, he is charged with possession a firearm in furtherance of a drug trafficking crime and faces a sentence of not less than 5 years and not more than life in prison, a fine of not more than $250,000.00, and not more than five years of supervised release. Furthermore, any sentence of imprisonment imposed must be served consecutively to any other sentence he will be serving.
Finally, as to each of the charged counts, MORRIS faces payment of a $100.00 mandatory special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the United States Drug Enforcement Administration, the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Louisiana State Police, the State of Louisiana Department of Probation and Parole, and the Washington Parish Sheriff’s Department. The prosecution is being handled by Assistant United States Attorney Maurice E. Landrieu, Jr. of the Narcotics Unit.
Bluff Man Sentenced to 300 Months Imprisonment for Indian Country MurderRead the Press Release
Salt Lake City, Utah – A Utah man was sentenced to 25 years’ imprisonment and a term of four years supervised release after a federal jury convicted him of murder in the second degree while within Indian Country and using, carrying and discharging a firearm during and in relation to a crime of violence.
According to court documents and the evidence presented at trial in May 2023, Perry Maryboy, 59, of Bluff, Utah, unlawfully shot and killed another man while within Indian Country on April 13, 2018. Evidence presented at trial showed that Maryboy, who was parked on the side of the road at the intersection of Country Road 443 and Summerhouse Road, escalated an argument with the victim, who was accompanied by the landowner’s granddaughter, after being told to leave the area by the victim. Maryboy exited his truck, retrieved a revolver from the backseat, loaded the revolver, and shot the victim in the back of the head as the victim was walking away. The victim died on scene in front of his common law wife and her 7-year-old child. Maryboy then fled the scene in his truck.
“This was no accident. My view of that is confirmed by later facts when Mr. Maryboy made no assistance at the scene,” said Senior United States Federal District Court Judge David Nuffer. “Taking a life without apparent justification is an extremely serious matter and doing it in a violent way is extremely serious. It is my judgment that Mr. Maryboy be placed in the custody of Bureau of Prisons for a period of 180 months on count one and 120 months on count two for a sentence of 300 months.”
“Mr. Maryboy’s violent act took the life of another person, causing great loss to his family and friends, who will bear the burden of this crime. That harm cannot be undone,” said U.S. Attorney Trina A. Higgins for the District of Utah. “We appreciate the work of law enforcement, victim service providers, and the prosecutors in this case who worked hard to ensure justice for the victim’s family and the community.”
The case was investigated jointly by the FBI Salt Lake City Field Office’s Monticello Resident Agency, Navajo Nation Police Department and Navajo Nation Criminal Investigations.
Assistant United States Attorneys Mark Y. Hirata, Angela Reddish-Day, and Stephen Dent of the District of Utah prosecuted the case.
Billings man accused of illegal possession of firearm in school zoneRead the Press Release
BILLINGS — A Billings man accused of illegally possessing a gun near a Billings elementary school appeared today in federal court on a firearms charge, U.S. Attorney Jesse Laslovich said.
Gabriel Cowan Metcalf, 49, had an initial appearance on a criminal complaint charging him with possessing a firearm within a school zone. If convicted, Metcalf faces a maximum of five years in prison, a $100,000 fine and three years of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. Metcalf was detained pending further proceedings.
The government alleged in court documents that from Aug. 2 to 17, the Billings Police Department received multiple calls and weapons complaints regarding Metcalf, who lives at 430 Broadwater Ave., walking on the sidewalk and around the area carrying a firearm. Broadwater Elementary School is directly across the street from Metcalf’s residence. The sidewalk and streets in front of Metcalf’s residence are public property within 1,000 feet from the school and are a “school zone” as defined in federal statutes.
Bureau of Alcohol, Tobacco, Firearms and Explosives agents arrested Metcalf near his residence on Tuesday night, pursuant to a warrant issued by a federal judge, and executed a search on the residence at 430 Broadwater Ave.
A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Assistant U.S. Attorney Thomas K. Godfrey is prosecuting the case. The ATF and Billings Police Department conducted the investigation.
PACER case reference. 23-130.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl
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Beverly Hills Man Arrested on Complaint Alleging He Stole More Than $1.8 Million in Jewelry and Other Goods from Guests at Luxury HotelRead the Press Release
LOS ANGELES – A Beverly Hills man is expected to appear in federal court today on a criminal complaint alleging he stole more than $1.8 million in jewelry, clothing, and accessories from victims at a hotel in Beverly Hills in May then traveled to Florida to sell the stolen goods.
Jobson Marangoni De Castro, 37, is charged in a complaint filed Monday with interstate transportation of stolen property. He was arrested Monday evening at Los Angeles International Airport and is expected to make his initial appearance this afternoon in United States District Court in downtown Los Angeles.
According to an affidavit filed with the complaint, two victims – both residents of Brazil – traveled together to Beverly Hills on May 5 to attend a fashion event scheduled for May 9.
On the evening of May 10, De Castro allegedly traveled by Uber to the victims’ hotel, tricked a hotel employee into giving him a key to the victims’ room, and – while the victims were away having dinner – stole six suitcases belonging to them. The suitcases contained jewelry, clothing, and accessories worth more than $1.8 million.
Later that evening, the victims returned to their hotel room to discover all six of their suitcases were missing. The hotel staff then notified law enforcement about the theft.
De Castro then traveled to Miami and, on May 17, messaged a buyer in Miami on Instagram. De Castro told the buyer that he wanted to sell jewelry – a diamond necklace and luxury watch – and that he did not have papers for them because he had found them in a box belonging to his late mother. The jewelry matched the description of that stolen from the victims in Beverly Hills a few days earlier, according to the complaint. On May 18, the buyer wired De Castro $50,000, for the jewelry, which De Castro allegedly brought to the buyer’s store in Miami.
The name De Castro provided to the buyer was “Jobs Marangoni,” the same name he used for his Uber account, the affidavit alleges.
A criminal complaint contains allegations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, De Castro would face a statutory maximum sentence of 10 years in federal prison.
The FBI and the Beverly Hills Police Department are investigating this matter.
Assistant United States Attorney Sarah S. Lee of the General Crimes Section is prosecuting this case.
Attorney Arrested on Charges of Insider TradingRead the Press Release
WASHINGTON – A Brazilian national, previously working as a visiting international attorney, is charged by complaint, unsealed today, with insider trading. Romero Cabral Da Costa Neto (Costa), 33, of Rio de Janeiro, Brazil, is a licensed attorney in Brazil who had been working as an international visiting attorney in the United States, on a one-year J-1 Visa, at a U.S. law firm (the Law Firm). Costa was arrested on August 22, 2023, in Washington, D.C., by agents with the FBI’s Washington Field Office.
The charges were announced by U.S. Attorney Matthew M. Graves and Acting Special Agent in Charge David Geist, of the FBI Washington Field Office’s Criminal and Cyber Division.
According to the public documents, Costa is an attorney licensed to practice in Brazil and had been working in the United State for the Law Firm since September 2022. During that time, Costa has executed multiple stock trades in companies represented by the Law Firm. As confirmed by the Law Firm records, Costa accessed internal Law Firm files in advance of public market-moving announcement.
According to the complaint, one of these trades involved Company B. Company B is a Seattle-based biotech company represented by the Law Firm. In or around April of 2023, Company C, a Swedish international biopharmaceutical company began negotiations to acquire Company B. Both Company B and C were public companies. Company B’s Board of Directors held several meetings throughout April and into early May discussing transaction prices and terms of the sale. Representatives of the Law Firm attended these meetings and prepared documents relating to these meetings.
In early May 2023, Company B, whose stock was trading at around $4.80 informed Company C that they would sell to Company C for a price above $9.00 per share. On May 9, 2023, Company C relayed an offer to buy all outstanding common stock in Company B for $9.10 per share. The stock was trading at $4.82 on May 9, 2023. The Board of Directors approved the sale at $9.10 and both Company B and C announced the $1.7 billion transaction in the early morning hours of May 10, 2023. Trading in Company B opened at $8.91 per share on May 10, 2023.
According to public documents, Costa used two online trading firms to purchase 10,400 shares in Company B on May 9, 2023, for $49,976. Costa then sold his holdings in Company B on May 10, 2023, for $92,635.24, resulting in a one-day investment profit of $42,649.13.
According to the Complaint, Costa improperly accessed Law Firm files related to Company B in the lead up to this merger. Costa was not assigned to this transaction and had no legitimate reason to access and view these files related to this matter. Costa accessed files over 100 times in advance of the sale.
The complaint further alleges that on June 2, 2023, Costa purchased stock in Company E – another company that was represented by the Law Firm – one day before Company E went public with information about drug treatment for patients with a specific cancer. The stock rose following the announcement. Costa sold his position on June 5, 2023.
On June 6, 2023, the Law Firm issued an opinion related to a secondary stock offering on behalf of Company E which had the effect of driving down the value of the stock. Costa was able to purchase shares of Company E immediately before a positive market event and then quickly sell before the subsequent negative market event, profiting by approximately $1,000 from these transactions. According to the complaint, Costa improperly accessed Law Firm files related to this matter in the lead up to the announcements. Costa was not assigned to this matter and had no legitimate reason for accessing these files.
Costa is again alleged to have improperly accessed Law Firm documents and files related to Company F, another firm client. On June 15, 2023, Company F and Company G announced a merger in an all-stock deal to create a $5.4 billion oilfield services firm. Between June 8, 2023, and June 12, 2023, Costa purchased approximately 7,000 shares of Company G in advance of this merger announcement. He subsequently sold the shares and profited approximately $8,500 from the transactions. Costa was not assigned to this matter and had no legitimate reason to access these files.
Insider trading carries a statutory maximum of 20 years in prison. The charge also carries potential financial penalties. The maximum statutory sentence for federal offenses is prescribed by Congress and is provided here for informational purposes. The sentencing will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case is being investigated by the FBI’s Washington Field Office. It is being prosecuted by Assistant U.S. Attorney Kevin Rosenberg, of the U.S. Attorney’s Office for the District of Columbia.
Today, the U.S. Securities and Exchange Commission’s Philadelphia Regional Office, which provided invaluable assistance in this matter, filed a parallel civil complaint charging Costa with securities violations.
A Complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Armed Drug Trafficker that Fled from Law Enforcement Sentenced to over 10 Years in PrisonRead the Press Release
WILMINGTON, N.C. – Luis Oceguera, 21, of Sampson County, was sentenced to 140 months in prison. The sentence followed a multi-agency drug investigation that spanned multiple North Carolina counties.
According to information presented in court, Oceguera was an integral part of a drug trafficking organization that distributed kilograms of drugs in Eastern North Carolina. Oceguera regularly received, transported, and distributed fentanyl, methamphetamine, and marijuana. During the investigation, Oceguera was stopped by law enforcement three separate times while armed with handguns and rifles. One of the handguns seized was an unregistered “ghost gun” that Oceguera admitted to building himself.
On another occasion, Oceguera fled from law enforcement in a vehicle, reaching speeds over 120 mile per hour. During the chase, Oceguera threw a package containing over two kilograms of pure methamphetamine out of the window on the side of the road. Law enforcement searched the flight path and were able to recover the methamphetamine package.
Ultimately, Oceguera was arrested and the house he was staying at was searched pursuant to a search warrant. During the search, law enforcement seized drug trafficking materials, ammunition, loaded magazines, and another firearm.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The DEA, ATF, United States Postal Service, United States Marshals Service, NC National Guard, NC State Bureau of Investigation, Sampson County Sheriff’s Office, Harnett County Sheriff’s Office, Johnston County Sheriff’s Office, and Dunn Police Department investigated the case and Assistant U.S. Attorney Tyler Lemons prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-CR-86-M-5.
Antlers Resident Sentenced for Aggravated Sexual AbuseRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Stetson Bruce, age 34, of Antlers, Oklahoma, was sentenced to life in prison for engaging in sexual acts with a child under 12 years of age.
The charges arose from investigations by the Federal Bureau of Investigation and the Pushmataha County Sheriff’s Office.
On July 21, 2022, a federal jury found Bruce guilty at trial of two counts of aggravated sexual abuse in Indian Country. The crimes occurred in Pushmataha County, within the boundaries of the Choctaw Nation Reservation, in the Eastern District of Oklahoma.
“The defendant in this case is a depraved predator whose actions robbed a young child of their innocence,” said FBI Oklahoma City Special Agent in Charge Edward J. Gray. “He will always be a danger to the community and thanks to the work of the FBI and our law enforcement partners, he will spend the rest of his natural life behind prison bars for his horrific crimes.”
“The defendant will spend the remainder of his life in prison, a fitting penalty for his atrocious crimes,” said U.S. Attorney Christopher J. Wilson. “Our office stands firm in its commitment to prosecute those who victimize the innocent and defenseless among us.”
The Honorable Bernard M. Jones, II, U.S. District Judge in the United States District Court for the Western District of Oklahoma, sitting by assignment, presided over the hearing in Oklahoma City. Bruce will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Anthony C. Marek represented the United States.
Albuquerque Man Sentenced to 30 Years in Prison for Enticement of a MinorRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Dominic Allan Marks was sentenced to 30 years in prison. Marks, 37, of Albuquerque, pled guilty in federal court on March 7, 2023, to enticement of a minor.
According to court documents, on Nov. 9, 2022, the FBI obtained a federal search warrant for an address in Carlsbad associated with an online account for a fetish website that had been discussing the sexual molestation of a 9-year-old minor and sending child pornography of that minor. After execution of the search warrant, the FBI was able to verify that the adults living at the address, Joseph and Rachel Crutcher, had been sexually abusing three children in their care and had been setting up meetings with other individuals to sexually abuse one of the children.
During a subsequent safehouse interview, the minor child disclosed that just the day prior, Joseph and Rachel had taken her to meet a man in the Lowe’s parking lot and had forced her to engage in sexual activity with the man. Subsequent investigation led the FBI to identify the man that sexually abused the 9-year-old minor in the Lowe’s parking lot as Marks. The FBI uncovered that Marks has molested multiple minors in addition to the 9-year-old, including a minor as young as 5 years old.
Rachel Crutcher, 38, of Carlsbad, pled guilty to production of a visual depiction of a minor engaging in sexually explicit conduct and was sentenced to 30 years in prison. Upon her release from prison, Rachel will be required to register as a sex offender and will be on supervised release for life. Joseph Crutcher, 59, of Carlsbad, pled guilty to one count each of production of child pornography, distribution of child pornography, and possession of child pornography. At sentencing, Joseph faces 70 years in prison and will be required to register as a sex offender.
Upon his release from prison, Marks will be subject to a lifetime term of supervised release and must register as a sex offender.
The Roswell Resident Agency and Albuquerque Division of the Federal Bureau of Investigation’s investigated this case. Assistant U.S. Attorneys Marisa A. Ong and Matilda McCarthy Villalobos are prosecuting the case as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
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Albuquerque Man Sentenced to 16 Years in Prison for Drug Trafficking and Federal Firearm OffensesRead the Press Release
ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Eric Castañeda, Acting Special Agent in Charge of the Drug Enforcement Administration’s El Paso Division, announced today that Eloy Romero was sentenced to 195 months in prison. A federal jury returned a guilty verdict against Romero, 47, of Albuquerque, New Mexico, on March 30, 2023, on one count each of possession with intent to distribute 50 grams and more of methamphetamine, possession with intent to distribute 40 grams and more of fentanyl, and possession of a firearm in furtherance of a drug trafficking crime.
According to court records, on February 25, 2021, during a tactical operation by the Albuquerque Police Department in the Southwest Area Command, members of the APD Gang Unit observed Romero engage in suspicious behavior in a business parking lot. They approached Romero’s vehicle with emergency equipment engaged, but Romero drove away from the area, disregarding their lights and sirens. APD followed but temporarily disengaged to avoid a dangerous pursuit. Eventually, Romero pulled over and was approached by the investigating officers.
Officers determined that Romero’s vehicle had a suspended registration and Romero had a suspended driver’s license. Officers decided to tow the vehicle, pursuant to department policy. During an inventory of the vehicle, officers discovered suspected fentanyl and a firearm. They immediately sealed the vehicle and sought a search warrant. During the execution of the search warrant, officers located a black backpack in the back seat that contained 352 grams of 100% pure methamphetamine, 1,876 tablets of fentanyl, numerous rounds of .22 ammunition and a .22 caliber semi-automatic handgun.
Upon his release from prison, Romero will be subject to 5 years of supervised release.
The Drug Enforcement Administration’s Albuquerque District Office and Albuquerque Police Department investigated this case. It is being prosecuted by Assistant U.S. Attorneys Nora Wilson and Joseph M. Spindle.
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Albion Man Going to Prison for 10 Years for Possession of Child PornographyRead the Press Release
BUFFALO, N.Y.- U.S. Attorney Trini E. Ross announced today that Spencer Hart, 39, of Albion, NY, who was convicted of possession of child pornography involving a prepubescent minor and having a prior conviction under the laws of any state relating to the possession or receipt of child pornography, was sentenced to serve 120 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Maeve E. Huggins, who handled the case, stated that in October 2018, Hart was convicted in Orleans County Court of attempted possession of an obscene sexual performance by a child. On July 16, 2020, a search warrant was executed at Hart’s residence and child pornography was found on a computer belonging to Hart. In total, Hart possessed more than 600 images of child pornography, some of which included prepubescent minors and depicted violence against children. Hart also admitted that he distributed child pornography using a peer-to-peer software program in June 2020.
The sentencing is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the Orleans County Sheriff’s Office, under the direction of Sheriff Christopher Bourke.
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Alabama Man Indicted for Distributing Child Sexual Abuse MaterialsRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Craig Anthony (25, Alabama) with distribution of child sexual abuse materials. If convicted, Anthony faces a minimum mandatory sentence of 5 years, up to 20 years, in federal prison and a lifetime of supervised release.
According to court documents, beginning on May 31, 2023, Anthony distributed multiple videos depicting child sexual abuse to a filesharing account operated by an undercover Homeland Security Investigations (HSI) agent in Lake County, Florida. Anthony also discussed with the undercover agent his desire to travel to Florida to have sex with a minor. On August 3, 2023, HSI executed a federal search warrant at Anthony’s residence. At least one image of child sex abuse was confirmed on Anthony’s cellphone.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
The case was investigated by Homeland Security Investigations (HSI). It will be prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
ADA Settlement Will Make Ridgefield Restaurant More AccessibleRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that Baja Cocina, a restaurant located at 426 Main Street in Ridgefield, has agreed to make changes to become more accessible to persons with mobility disabilities. The changes are required under a settlement agreement signed by Ridgefield Taco LLC, the owner of Baja Cocina, and the United States under the Americans with Disabilities Act.
The settlement resolves a complaint made with the U.S. Department of Justice that claims that Baja Cocina is not physically accessible to persons with mobility disabilities. Under the agreement, Baja Cocina must work with its landlord to provide an accessible parking space for the restaurant. It must also continue to provide curbside service to persons with mobility disabilities and ensure that it provides accessible dining surfaces in its outdoor dining area. Inside the restaurant, Baja Cocina must install ADA-compliant signage and make changes to its accessible bathroom, including relocating the toilet flush controls, relocating a grab bar, and relocating a soap dispenser.
Under federal law, private entities that own or operate places of “public accommodation,” including restaurants, are prohibited from discriminating on the basis of disability. The ADA authorizes the U.S. Department of Justice to investigate complaints and undertake periodic compliance reviews of covered entities. The Justice Department is also authorized to commence a civil lawsuit in federal court in any case that involves a pattern or practice of discrimination or that raises issues of general public importance, and to seek injunctive relief, monetary damages, and civil penalties.
U.S. Attorney Avery noted the cooperation of Baja Cocina’s owner in resolving this matter without litigation.
The settlement will remain in effect for three years, and Baja Cocina must submit certifications concerning its compliance to the U.S. Attorney’s Office every six months until it has fully complied with the agreement.
This matter was handled by Assistant U.S. Attorney Stewart C. Dearing.
Any member of the public who wishes to file a complaint alleging that any place of public accommodation or public entity in Connecticut is not accessible to persons with disabilities may contact the U.S. Attorney’s Office at 203-821-3700 and ask for the Civil Rights Intake Specialist.
Additional information about the ADA can be found at www.ada.gov, or by calling the Justice Department’s toll-free information line at (800) 514-0301 and (800) 514-0383 (TTY). More information about the Department of Justice Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
22 August 2023
Woman Charged with Assault Resulting in Serious Bodily InjuryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, announced today that Jacquelyn Moore made an initial appearance in federal court on a criminal complaint charging her with assault resulting in serious bodily injury. Moore, 47, a registered member of the Navajo Nation, will remain on conditions of release pending trial, which has not been scheduled.
According to the criminal complaint, on July 18, 2023, the victim, Jane Doe, was standing outside the To’hajiilee Chapter House, which is located within the exterior boundaries of the Navajo Nation, when Moore drove over a cement wheel stop and pinned Jane Doe’s lower body against the building, amputating her left leg. Jane Doe’s husband pulled Moore out of her car and reversed it, freeing Jane Doe so that a bystander could apply a belt to her leg as a tourniquet. Others poured water on her and tried to shade her until medical personnel arrived. Jane Doe was transported to UNMH and underwent surgery.
Moore was arrested at the scene. When she was interviewed by a Navajo Criminal Investigator the next day, Moore admitted that she was intoxicated and claimed to have blacked out and have no memory of the incident.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Moore faces up to 10 years in prison.
The FBI Albuquerque Field Office and the Navajo Police Department investigated this case with assistance from the New Mexico State Police. Assistant U.S. Attorney Brittany DuChaussee is prosecuting the case.
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West Sacramento Woman Sentenced to over 4 Years in Prison for Mail Fraud and Aggravated Identity TheftRead the Press Release
SACRAMENTO, Calif. — Kimberly Acevedo, 53, formerly of West Sacramento, was sentenced today to four years and seven months in prison and ordered to pay $113,400 in restitution for mail fraud and aggravated identity theft, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between March 2019 and March 2021, Acevedo and co‑defendant Philip Rich, 51, of West Sacramento, perpetrated a mail fraud scheme that involved theft of U.S. mail, identity theft, and unlawful possession of dozens of stolen bank cards. Generally, Acevedo and Rich obtained the personally identifiable information (PII) of victims and used that information to apply for new credit cards, debit cards, checkbooks, and other financial instruments to be sent to the victims’ real home addresses. The defendants then submitted change-of-address requests to USPS using the victims’ PII. These change-of-address requests rerouted the victims’ mail to defendants’ shared home address, where they would open the mail and use the contents to make fraudulent purchases and cash fraudulent checks.
When federal agents executed a search warrant at defendants’ residence on Oct. 14, 2020, they seized dozens of notebooks filled with at least hundreds of identity-theft victim PII. The notebooks were scattered throughout the house, though mainly located in defendants’ shared bedroom. In addition, agents recovered an envelope, labeled “ID Templates,” in the bedroom containing approximately 10-15 fake California driver’s licenses in the names of various victims, but featuring Acevedo and Rich’s photographs and fake authentication features. Agents also recovered the tools required to construct the fake IDs as well as a magstripe device. Further, agents recovered over 50 credit and debit cards in the home as well as approximately 40 checkbooks in victims’ names as well as in the names of Acevedo and Rich. In total, defendants’ scheme caused over $110,000 in actual loss.
This case was the product of an investigation by the U.S. Postal Inspection Service and the Yolo County Sheriff’s Office. Assistant U.S. Attorney Denise N. Yasinow prosecuted the case.
Acevedo pleaded guilty in October 2022. Rich previously pleaded guilty to mail fraud and aggravated identity theft. On Oct. 4, 2022, he was sentenced to three years and three months in prison. He was ordered to pay $113,400 in restitution, jointly and severally with Acevedo.
Violent felon convicted of gun chargeRead the Press Release
McALLEN, Texas – A 31-year-old Pharr man has been ordered to federal prison for being a felon in possession of a firearm, announced U.S. Attorney Alamdar S. Hamdani.
Christian Shauntrell Garcia pleaded guilty May 2.
U.S. District Judge Micaela Alvarez has now ordered Garcia to serve 50 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional information about Garcia’s history of drug trafficking and gun violence. In imposing the prison term, the court noted he represented an ongoing threat and needed a sentence to “provide for the safety of the community.”
Authorities believed Garcia had discharged a firearm at a residence in Pharr in 2021. On Nov. 26, 2021, authorities attempted to conduct a felony traffic stop, but he fled. A high-speed chase ensued, and law enforcement was able to take him into custody. At that time, they found a firearm in his possession along with an array of various controlled substances.
As a convicted felon, he is prohibited from possessing firearms or ammunition per federal law.
Garcia was prosecuted as part of a joint Bureau of Alcohol, Tobacco, Firearms and Explosives and U.S. Attorney’s Office initiative known as Operation: Knock Down. It started in 2022 and focuses federal resources on armed and violent offenders in the Rio Grande Valley.
Assistant U.S. Attorney Robert L. Guerra Jr. prosecuted the case.
Violent Detroit Street Gang Indicted on RICO ChargesRead the Press Release
DETROIT – Members of a violent Detroit gang were indicted on various federal charges including racketeering conspiracy, trafficking controlled substances, firearm charges, and unemployment insurance fraud, announced United States Attorney Dawn N. Ison.
The members of the Purple Heart Vets gang who were indicted by a federal grand jury include:
- Devin King, 24, of Detroit
- Trevon Mathis, 23, of Detroit
- Jordan Gilmore, 24, of Novi
- Devon Hill, 25, of Taylor
- Vincent McKinney, 24, of Detroit
- Malik Thomas, 24, of Detroit
U.S. Attorney Ison was joined in the indictment unsealing announcement by Special Agent in Charge James Deir, Bureau of Alcohol, Tobacco, Firearms and Explosives, Detroit Division, and Irene Lindow, Special Agent in Charge of the Great Lakes Region of the Department of Labor-Office of the Inspector General.
According to the indictment and other court records, the Purple Heart Vets gang allegedly promote themselves as soldiers in battle, engaging in violence on the streets of Detroit on behalf of the gang. Operating primarily on the northwest side of Detroit, the leaders rewarded gang members who engaged in acts of violence with Purple Hearts. They obtained guns and coordinated attacks on their rivals. The attacks led to multiple shootings in and around Detroit, which resulted in serious injuries and fatalities. In one instance, a minor was caught in the crossfire during an attack on a rival gang member. The gang also sold controlled substances and engaged in significant unemployment insurance fraud to raise money to further their criminal activities.
“This indictment is another example of our office’s commitment to addressing violent crime in the City of Detroit. We believe that by removing the individuals who are the primary drivers of violent crime we can provide our neighborhoods with the peace we should all expect and deserve,” U.S. Attorney Ison said.
“Serious crimes have serious consequences. Gang members using the streets of Detroit as a battlefield to settle scores can expect to be shut down by law enforcement,” said Special Agent in Charge James Deir. “It should be common knowledge throughout metro-Detroit: If you pack an illegal firearm, you should pack your bags for prison…Everyone deserves to live in a community without the threat of senseless gun violence.”
“An important part of the mission of the Office of Inspector General is to investigate allegations of fraud involving unemployment insurance programs. This is particularly true when an allegation involves racketeering and violent crimes in our communities. We will continue to work with our law enforcement partners and state workforce agencies to aggressively investigate these type of allegations,” said Irene Lindow, Special Agent-in- Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General.
An indictment is only a charge and is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by special agents of the Bureau of Alcohol Tobacco, Firearms, and Explosives and the Department of Labor, Office of Inspector General. This case in being prosecuted by Assistant United States Attorneys assigned to the United States Attorney’s Office’s Violent and Organized Crime Unit.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Utah Fugitive and Alleged Drug Trafficking Ringleader Among 28 Defendants Charged in Major Multi-Agency OperationRead the Press Release
Salt Lake City, Utah – A federal grand jury in Salt Lake City returned an 18-count indictment Wednesday charging a fugitive and 27 other defendants with multiple drug related crimes, including conspiracy to distribute drugs, possession and distribution of drugs, aiding and abetting and firearm offenses.
According to court documents, Llobani Federico Figueroa, aka “Pablo,” 32, of Magna, Utah, is the alleged ringleader in a major drug trafficking organization that operated in the District of Utah. Figueroa was taken into custody on August 3, 2023. Figueroa had been a fugitive since he was indicted by a federal grand jury in 2020 for distribution of methamphetamine. See full news release here: Fugitive and Alleged Drug Dealer Behind Bars After Three Years in Hiding.
In the 2023 indictment, Figueroa is listed as the main defendant with 27 additional co-defendants, many of whom were also taken into custody. Some of the main conspirators in the drug trafficking conspiracy include Lorena Inez Herrera, aka Lorena Duran, aka Melissa Valencia, 40, of West Valley City, Utah; Isaac David Valdez, 39, of Salt Lake City; Christopher Kin Chun, aka, “Sinner,” aka, “C Kin,” 25, of West Jordan, Utah; and Candelario Lopez-Perez, 21, a foreign national. According to the indictment, beginning but not later than December 2022 and continuing through August 2023, in the District of Utah, Figueroa and the defendants named in the indictment, conspired to distribute narcotics, including 500 grams or more of methamphetamine. During this same time period, undercover agents conducted multiple controlled narcotics purchases from different distributors working on behalf of Figueroa’s drug trafficking organization. As part of their alleged drug trafficking conspiracy, Figueroa served as the primary conduit among multiple Californian and Mexico-based sources of supply and broker/distributors in the District of Utah. Figueroa and other members of the drug trafficking conspiracy allegedly rented residences on a short-term basis, often referred to as “trap houses,” from which members of the conspiracy possessed with the intent to distribute narcotics under Figueroa’s direction. According to court documents, at the time of Figueroa’s arrest, he possessed more than $300,000 in cash, three Glock firearms with ammunition, 3.8 pounds of methamphetamine, 328 grams of heroin, 1.6 pounds of “crack” cocaine, and 409 grams of powder cocaine. Figueroa is also a known member of the nationwide criminal organization “LaRaza.” At the time of Herrera’s arrest, she possessed more than 46 pounds of methamphetamine and more than 37 pounds of cocaine. At the time of Lopez-Perez’s arrest, he possessed approximately 700 grams of methamphetamine, more than 240 grams of heroin, 189 grams of cocaine, more than $15,000 in cash and a loaded firearm.
Figueroa is charged with a continuing criminal enterprise; conspiracy to distribute methamphetamine; conspiracy to distribute heroin; conspiracy to distribute cocaine; possession of methamphetamine with intent to distribute, aiding and abetting; possession of heroin with intent to distribute, aiding and abetting; felon in possession of a firearm; and possession of a firearm in furtherance of a drug trafficking offense. All defendants in the indictment are charged with conspiracy to distribute methamphetamine. Defendants charged in counts three through 18 are listed in the indictment. Figueroa’s arraignment on the indictment was Monday, August 21, at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City. His trial date will be scheduled at a later date. Initial court appearances on the other defendants can be found in the court docket.
U.S. Attorney, Trina A. Higgins, of the District of Utah made the announcement.
The case is being investigated jointly by the FBI Safe Streets Violent Crime Task Force and West Valley City Police Department.
Assistant United States Attorneys for the District of Utah are prosecuting the case.
Remaining defendants named in the indictment:
1. Steven Kay Langley, aka Steven Vernon Johnson, 55, of Ennis, Montana
2. Tammie Lynn Salstrom, aka Tammie Lynn Tumsuden, 51, of Ennis, Montana
3. Brandon Leon Simmons, aka, Adam Lee Evans, 42, of North Salt Lake, Utah
4. Irineo Brito, aka’s Neo Brito, and Neo Trujillo, 42, of Salt Lake City, Utah
5. Glen Anthony Witham, 62, of Salt Lake City, Utah
6. Jon Tyler Pearson, aka’s Treetop, Droopee, 34, of West Jordan, Utah
7. Monique Maria Garcia, 45, of West Valley City, Utah
8. Buff Joseph Boss, 46, of Heber, Utah
9. Coty Lee Stiehl, 44, of Murray, Utah
10. Kimberly Sue Stubbs, 50, of Clarkston, Utah
11. Irene Mary McIntosh, aka Irene Douglas, 35, of Salt Lake City, Utah
12. Harold Brent Larsen, 66, of Gusher, Utah
13. Paul Casey Krehbiel, 38, of Murray, Utah
14. Kimberly Johnson, 38, of Salt Lake City, Utah
15. Jack Eugene Lamb, 42, of Salt Lake City, Utah
16. Anthony Vincent Barbera, 42, of Salt Lake City, Utah
17. Crystal Ann Beck, 42, of Heber City, Utah
18. Travis K. Hansen, aka’s Christopher J. Stevens, and Chris Steven, 53, of Park City, Utah
19. Mary Emilia Herrera, 41, of Salt Lake City, Utah
20. Jessica Archuletta, 32, of West Valley City, Utah
21. Alisha Nicole Brown-Reinsimar, 43, of West Valley City, Utah
22. Cree Williams, 43, of Salt Lake City, Utah
23. Megan Olmos, 40, of Stansbury Park, UtahAn indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Union County Investment Advisor Sentenced to 42 Months in Prison for Stealing Client MoneyRead the Press Release
NEWARK, N.J. – A former investment advisor who stole over $600,000 from his clients to fund his gambling and personal expenses was sentenced today to 42 months in prison, U.S. Attorney Philip R. Sellinger announced today.
Mario E. Rivero Jr., 39, of Elizabeth, New Jersey, pleaded guilty on Feb. 2, 2023, before U.S. District Judge Madeline Cox Arleo in Newark federal court to an information charging him with one count each of wire fraud and securities fraud. Judge Arleo imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From April 2018 through November 2020, Rivero, while serving in his capacity as an investment advisor employed by a large brokerage firm, misappropriated $626,478 from five clients. Rivero, who had been entrusted to manage client funds responsibly, instead perpetrated a scheme to defraud multiple clients. He obtained his clients’ money under the fraudulent pretense that he would invest the funds, but instead, Rivero unlawfully diverted the funds to enrich himself and others.
In addition to the prison term, Judge Arleo sentenced Rivero to three years of supervised release.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, and postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Inspector in Charge Christopher A. Nielsen, Philadelphia Division, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Shawn Barnes, Chief of the OCDETF/Narcotics Unit in Newark.
U.S. Attorney’s Office offers “United Against Hate” civil rights eventRead the Press Release
MARTINSBURG, WEST VIRGINIA – The United States Attorney’s Office will offer a civil rights outreach event in the Eastern Panhandle.
“United Against Hate: Protecting the People of West Virginia” will take place at the West Virginia Schools for the Deaf and the Blind in Romney on Tuesday, August 22 from 1:00-5:00 p.m. The event will highlight the Department of Justice United Against Hate initiative and explore other civil rights topics such as the Americans with Disabilities Act and the Fair Housing Act.
The West Virginia State Bar is offering legal education credits. The West Virginia Coalition Against Domestic Violence is providing social work education credits. The event is free and open to the public.
This event is one of several outreach efforts within the Northern District of West Virginia.
To learn more about the District’s civil rights work, or to report a civil rights violation, go to https://www.justice.gov/usao-ndwv/civil-rights-program.
United Against Hate is a nationwide Department of Justice initiative to combat unlawful acts of hate. This initiative will connect federal, state, and local law enforcement with communities to help build trust and encourage people to report hate crimes and incidents.
U.S. Attorney Brandon B. Brown and Caddo Parish District Attorney James E. Stewart, Sr. Announce the Appointment of Special Assistant U.S. Attorney in ShreveportRead the Press Release
SHREVEPORT, La. – United States Attorney Brandon B. Brown announced the appointment of Jason Waltman to serve as a Special Assistant U.S. Attorney (SAUSA) in the Criminal Division of the U.S. Attorney’s Office. This appointment is the result of a partnership between the U.S. Attorney’s Office and the Caddo Parish District Attorney’s Office in the Shreveport Division of the Western District of Louisiana.
Due to the proliferation of gang and gun violence in the Shreveport area, U.S. Attorney Brandon B. Brown and Caddo Parish District Attorney James E. Stewart, Sr. have joined efforts in a unique way to fight violent crime in that area by adding a specially appointed federal prosecutor to work these types of cases. The goal is for Mr. Waltman to partner as a Special Assistant U.S. Attorney with the district’s Project Safe Neighborhood Program and other Assistant U.S. Attorneys to improve the program’s effectiveness in the northwest corner of the district.
“Collaboration with our state and local law enforcement and prosecutive partners is vital. For years, we have had a great partnership with the Caddo Parish District Attorney’s Office, but we want to take our collaborative efforts the next level. I am grateful that District Attorney Stewart is willing to share such a skilled and talented Assistant District Attorney with our office as we jointly fight to eradicate violent crime in Shreveport,” said U.S. Attorney Brandon B. Brown. “SAUSA Jason Waltman is an extremely experienced and knowledgeable prosecutor and knows the federal court system, given he was a former federal criminal defense attorney. Over the years, he has developed a great working relationship with our Assistant U.S. Attorneys, federal agents and task force officers, and will give us valuable insight when it comes to charging decisions and prosecutive strategy.”
“This is another example of our cooperative efforts of how we work together to serve the people of the community,” stated Caddo Parish District Attorney James E. Stewart, Sr.
Jason Waltman has worked as an Assistant District Attorney for the First Judicial District Court in Caddo Parish since 2016, where he serves as one of the office’s Section Chiefs in the Criminal Division. Prior to working at the District Attorney’s Office, SAUSA Waltman worked as a Trial Attorney with the Capital Assistance Project of Louisiana, and in private practice handling criminal, civil, and administrative law. SAUSA Waltman also previously served as an Instructor at the Caddo Parish Sheriff’s Office Training Academy. He holds a Bachelor of Arts in Sociology from Baylor University and a Juris Doctorate from South Texas College of Law.
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Two Men Plead Guilty to Violent Carjackings and Illegal Possession of FirearmsRead the Press Release
MINNEAPOLIS – Two men have pleaded guilty to multiple carjacking and firearms violations, announced U.S. Attorney Andrew M. Luger.
According to court documents, on January 3, 2022, Jordan James Smith, 26, of Ramsey, approached an individual who was sitting in a parked vehicle. Smith opened the driver’s door of the victim’s Nissan Juke and pushed a gun into the victim’s torso. Smith then stated, “I’ve got a [expletive] gun,” and directed the victim to “give me everything you have and get out of the car.” Smith pulled the victim from the car, got into the driver’s seat, and drove off. The victim’s phone and wallet were still in the car as Smith fled. On January 10, 2022, Smith and an associate used the victim’s Nissan Juke as collateral to test drive a black Maserati. Smith and his associate abandoned the Nissan Juke and stole the black Maserati before being apprehended by law enforcement.
On February 3, 2022, Smith and his co-defendant Carson Thomas McCoy, 22, of Blaine, broke into a local car dealership. They stole several vehicles, including an unlicensed GMC Acadia. Later that morning, at 8:30 a.m., the Minneapolis Police Department responded to a hit-and-run accident. Smith was driving a blue Honda Accord while McCoy—who was driving the stolen GMA Acadia and following Smith’s blue Honda Accord—ran a stop sign and struck another vehicle. McCoy abandoned the GMC Acadia and got into the blue Honda Accord driven by Smith. However, before leaving the area, Smith approached the vehicle McCoy hit, pointed a gun at the driver, and said “give me your purse or I’ll [expletive] kill you.” Smith returned to the blue Honda Accord and fled the scene with the victim’s iPhone, housekeys, and a child’s backpack.
Shortly thereafter, at approximately 9:00 a.m., Smith and McCoy noticed the driver of a silver Honda Accord parked in a nearby residential area. Smith and McCoy exited the blue Honda Accord and approached the silver Honda Accord. Smith tapped on the driver’s side window with a black gun that had a red camouflage slide while McCoy used his hand to gesture that he also possessed a gun. The driver of the silver Honda Accord exited the vehicle and, as the driver attempted to retrieve his wallet, Smith threatened the driver with his gun. Smith and McCoy then drove off in the silver Honda Accord. Because Smith has prior felony convictions, he is prohibited under federal law from possessing firearms or ammunition at any time.
According to court documents, on August 10, 2022, after stealing a black BMW sedan, McCoy broke into a residence in Ham Lake, Minnesota, stealing various items—including a firearm. Less than 30 minutes later, law enforcement responded to a road-rage incident involving a black BMW sedan. A group of motorcyclists reported nearly colliding with a black BMW sedan after which the driver—later identified as McCoy—fired a handgun into the air from the sunroof of the black BMW. Shortly thereafter, law enforcement officers located the black BMW sedan and attempted a traffic stop. McCoy fled, collided with a marked patrol car, and ultimately crashed into a tree. A search of the black BMW sedan revealed, among other things, the Springfield Armory semi-automatic pistol the defendant had stolen from the Ham Lake residence, another handgun, baggies of controlled substances, and the false identification card the defendant used to test drive the black BMW sedan before he stole it.
Smith pleaded guilty yesterday before Judge John R. Tunheim to two counts of carjacking. McCoy pleaded guilty on April 11, 2023, before Judge John R. Tunheim to one count of aiding and abetting carjacking and one count of possessing a firearm as a felon.
This case is the result of an investigation conducted by the FBI, the Minneapolis Police Department, the Blaine Police Department, the Hennepin County Violent Offender Task Force (VOTF), and the Anoka County Sheriff’s Office.
Assistant U.S. Attorney Jordan L. Sing is prosecuting the case.
Two Former Lexington Business Owners Sentenced for Wire Fraud and Money Laundering ChargesRead the Press Release
LEXINGTON, Ky.- Two former Lexington business owners, Douglas William Vance, 54, and Molly McKinnon, 59, were sentenced on Monday, by Chief U.S. District Judge Danny Reeves, to 174 months and 156 months, respectively, for conspiracy to commit wire fraud, multiple counts of wire fraud, and conspiracy to commit money laundering.
According to evidence at trial, from August 2016 through December 2018, Vance and McKinnon used falsified bank statements, financial reports, purchase orders, sales and production figures, and other fabricated records, to convince different investors that each owned a controlling stake in a company called “Nex-Gen.” The company purported to produce “calcined coal” and other carbon-based products, in Chavies, Kentucky. The false and fabricated documents also convinced two companies to lend money to Nex-Gen, and concealed the fact that Vance and McKinnon were misappropriating both investor and lender funds. The evidence presented at trial established that Vance and McKinnon worked together to defraud multiple investors and lenders, out of more than $2 million.
Vance and McKinnon were convicted of the charges in October 2022.
Under federal law, Vance and McKinnon must serve 85 percent of their prison sentence. Upon his release from prison, they will be under the supervision of the U.S. Probation Office for three years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Brian Jones, Acting Special Agent in Charge, FBI, Louisville Field Office, jointly announced the sentencing.
The investigation was conducted by the FBI. The United States was represented in the case by Assistant U.S. Attorneys Gregory Rosenberg and James Chapman.
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Stanislaus County Man Pleads Guilty to Passing Forged Treasury BondsRead the Press Release
SACRAMENTO, Calif. — Ronnie Douglas Fleming, 37, of Keyes, pleaded guilty today to passing a counterfeit obligation of the United States, U.S. Attorney Phillip A. Talbert announced.
According to court documents, from March to May 2022, Fleming passed counterfeit treasury bonds on 10 occasions at banks in the Central Valley and the San Francisco Bay Area. The banks paid Fleming more than $134,000 for the bonds.
This case is the product of an investigation by the U.S. Secret Service with assistance from the Department of the Treasury Office of Inspector General. Assistant U.S. Attorney Nicholas M. Fogg is prosecuting the case.
Fleming is scheduled to be sentenced on Nov. 28, 2023, by U.S. District Judge Dale A. Drozd. Fleming faces a maximum sentence of 20 years in prison and a fine up to $250,000. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
St. Louis Woman Sentenced to 37 Months in Prison for Bank and Pandemic FraudRead the Press Release
ST. LOUIS – A woman from St. Louis, Missouri was sentenced Monday to 37 months in prison for committing both check fraud and pandemic fraud.
U.S. District Judge John A. Ross also ordered Nikia A. French, 30, to repay $57,173.
French pleaded guilty to two counts of bank fraud in March and admitted recruiting people on Instagram who were willing to let French use their bank accounts. French created counterfeit checks, deposited them in the accounts and withdrew the money or made debit card purchases before the bank learned that the checks were bogus.
Between February 2022 and April 2022, French deposited or attempted to deposit counterfeit checks totaling at least $73,515 and received at least $34,109 in proceeds.
French also submitted two fraudulent Paycheck Protection Program loan applications in April of 2021, seeking a total of about $23,000. She falsely inflated her gross income and submitted false documents to obtain the loans. She used the money at restaurants and clothing stores and took some out in cash.
French lied on the applications when she said she had not been convicted of a felony involving fraud in the last five years. In a 2019 bank fraud case, French was sentenced to a year and a day in prison and ordered to repay nearly $62,000. The fraud then was nearly identical to what French did in 2022, Assistant U.S. Attorney Jonathan Clow said in a sentencing memo.
Clow also pointed out that the first fraudulent PPP loan application was submitted about six months after French was released from prison. French exploited the pandemic for personal gain, at the expense of small businesses and employees who were at risk of losing their jobs, he wrote.
“Today’s sentence brings to a conclusion an investigation that began with one stolen check, and ultimately led to Postal Inspectors uncovering the defendant’s involvement in multiple fraud schemes,” said Inspector in Charge Ruth Mendonça who leads the Chicago Division of the United States Postal Inspection Service, which includes the St. Louis Field Office. “The defendant will now be held accountable for the thousands of dollars she obtained through various criminal enterprises.”
The U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Jonathan Clow is prosecuting the case.St. Louis County Man Admits Stealing from QuikTrips Five TimesRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Tuesday admitted stealing cigarettes or cash from area QuikTrip stores five times.
Terrence Gleason, 52, of Bel Ridge, pleaded guilty to three robbery charges and two charges of possessing and brandishing a firearm in furtherance of a crime of violence. He admitted stealing cigarettes from or robbing three QuikTrip stores, including one in Bel Ridge that he victimized three times.
On Dec. 5, 2021, at about 2:30 a.m., Gleason entered the QuikTrip at 9099 Natural Bridge in Bel Ridge, walked behind the counter and began filling a bag with cartons of cigarettes. When the clerk moved to activate an alarm, Gleason lifted his shirt to show his holstered firearm. The clerk put his hands in the air and Gleason left with the stolen cigarettes.
The next day at about the same time, Gleason returned. The same clerk was working. Gleason had one hand in the front pocket of his coat and the clerk believed Gleason was armed, based on Gleason’s actions the night before. Gleason demanded “all the Newports,” and put a bag on the counter. The clerk put seven packages of cigarettes in the bag. Gleason then said, “Come on bro, I know you got more than that,” at which point the clerk put six or seven cartons of cigarettes in the bag. Gleason then left.
On Dec. 10, 2021, at about 3:00 a.m., Gleason and another man entered the QuikTrip at 5909 Howdershell Road in Hazelwood. Gleason and the other man walked behind the checkout counter and began removing cartons of cigarettes. When that store employee walked behind the counter to trigger the alarm, Gleason’s accomplice pulled back his jacket, displayed a firearm and said, “Press something, I dare you.” The employee backed up and put his hands in the air and Gleason and the man left with cartons of stolen cigarettes.
On Dec. 11, 2021, at approximately 4:12 a.m., Gleason returned to the Bel Ridge QuikTrip, walked up to the counter, reached over it and opened a drawer where cigarette cartons were stored. He grabbed several cartons then approached the clerk who witnessed the two prior incidents and said, “I need Newports,” while grabbing at his waistband. The clerk believed Gleason had a gun and tried to comply, but then said they did not have any more cartons. Gleason walked behind the counter, grabbed several packages of cigarettes and left.
On Dec. 12, 2021, at about 4:30 a.m., Gleason entered the QuikTrip located at 11150 St. Charles Rock Road in St. Ann and robbed the store at gunpoint, taking $85 from one cash register.
Gleason is scheduled to be sentenced January 25. The first firearm charge carries a mandatory minimum sentence of five years in prison, consecutive to any other charge, and the second firearm charge carries a mandatory minimum consecutive term of seven years. The robbery charges are punishable by up to 20 years in prison, a $250,000 fine or both.
The FBI, the Normandy Police Department, the St. Ann Police Department, and the Hazelwood Police Department investigated the case. Assistant U.S. Attorney Jennifer Szczucinski is prosecuting the case.
Rio Rancho Woman Sentenced to 2 Years in Prison for Wire FraudRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Christina Joyner was sentenced to 24 months in prison and ordered to pay $2,025,165.72 in restitution to her former employer. Joyner, 48 of Rio Rancho, New Mexico, pled guilty to wire fraud on September 2, 2022.
According to court records, from approximately July 2014 through September 2021, Joyner used her position as bookkeeper for Quanz Motor Car Company, doing business as Quanz Auto Body, to defraud the company of over $2 million. Joyner accomplished this by issuing checks to herself and coding them to give the appearance they were for legitimate business expenses, using company credit cards to make personal, online purchases, retaining money from cash transactions and creating fraudulent pay stubs for her husband that were used as proof of income to obtain loans. Joyner maintained email reminders to herself to modify entries in the accounting software and manipulated the software to conceal her actions.
Joyner’s employer completely trusted her with the company’s finances, as well as the employees’ personal information, and one reported that her abuse of their trust “has hurt far worse than any financial impact has.” Joyner blamed her deceased husband’s addiction for her theft, however the investigation revealed that Joyner used the money to fund both her and her husband’s lifestyle.
Upon her release from prison, Joyner will be subject to three years of supervised release and must complete 60 hours of community service.
The Albuquerque Resident Office of the United States Secret Service investigated this case. Assistant United States Attorney Kimberly Brawley is prosecuting the case.
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Quincy, Illinois man Sentenced to 96 Months in Prison for Distributing MethamphetamineRead the Press Release
SPRINGFIELD, Ill. – A Quincy, Illinois man, Demetrius Fernando, 46, of the 2200 block of Ohio Street in Quincy, Illinois has been sentenced by Senior U.S. District Judge Sue E. Myerscough to 96 months in prison to be followed by 48 months of supervised release for distributing methamphetamine.
At the sentencing hearing, the government presented evidence that Fernando distributed more than 5 grams of methamphetamine in 2020 on two occasions in Quincy, Illinois. He has multiple prior state-controlled substances convictions.
Fernando was indicted in March 2020 and pleaded guilty in April 2023. He has been in the custody of the United States Marshals Service since March of 2020.
The statutory penalties for distributing 5 grams or more of methamphetamine (actual) are up to 40 years’ imprisonment, up to a $5,000,000 fine, and up to a life term of supervised release.
The West Central Illinois Task Force, Quincy Police Department, Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Assistant U.S. Attorney Matthew Z. Weir represented the government in the prosecution.
The case against Fernando was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Permanent Injunction and $650,000 Civil Penalty Imposed on Experian Consumer Services for Allegedly Sending Commercial Emails Without Providing Consumers the Ability to Opt Out of Future Emails, in Violation the CAN-SPAM ActRead the Press Release
The Justice Department, together with the Federal Trade Commission (FTC), today announced that ConsumerInfo.com, Inc. dba Experian Consumer Services (Experian), has agreed to a permanent injunction and a $650,000 civil penalty as part of a settlement to resolve alleged violations of the Controlling the Assault of Non-Solicited Pornography and Marketing Act of 2003 (CAN-SPAM Act), the Controlling the Assault of Non-Solicited Pornography and Marketing Rule (CAN-SPAM Rule), and the Federal Trade Commission Act. The CAN-SPAM Act and Rule require senders of commercial emails to notify the recipients of such emails of their right to opt-out of future emails and to provide an opt-out mechanism. Experian shares a parent company, Experian PLC, with Experian Information Solutions Inc., which offers credit information, analytical tools and marketing services.
The case, filed in the U.S. District Court for the Central District of California, involves emails Experian sent to consumers who had created free Experian accounts to control third-party access to their credit reports. Account holders may “freeze” their credit reports to make them inaccessible to identity thieves and legitimate potential creditors such as banks. They can also “unfreeze” their credit reports when they require a credit check, for example, to finance a expensive purchase. The complaint asserts that Experian sent its account holders millions of commercial emails promoting additional Experian services. These emails asked the consumer to confirm whether a car that Experian had associated with the user’s account was theirs, offered a service aimed at boosting the user’s credit score, and advertised a free scan of the dark web. The emails did not give the recipients notice that they could opt-out of future such emails or provide any opt-out mechanism, violating the CAN-SPAM Act and the CAN-SPAM Rule. The complaint alleges that these emails implied that they contained important information about the recipient’s account, even though they were commercial in nature. The government received many consumer complaints that these emails contained no opt-out mechanism.
The stipulated order, entered by the federal district court yesterday, enjoins Experian from sending commercial emails that do not provide notice that the recipient may opt-out of receiving such emails in the future or an opt-out mechanism. The order also enjoins Experian from otherwise violating the CAN-SPAM Act. Under the order, Experian is also subject to a civil penalty judgment of $650,000.
“Consumers have the right to opt-out of email advertising that they do not want,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to enforcing the CAN-SPAM Act and preventing senders of commercial emails from falsely describing those emails as providing account updates or other transactional information in order to circumvent the opt-out requirements.”
“Signing up for a membership doesn’t mean you’re signing up for unwanted email, especially when all you’re trying to do is freeze your credit to protect your identity,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “You always have the right to unsubscribe from marketing messages, and the FTC takes enforcing that right seriously.”
“It is critical that consumers have the ability to opt-out of unwanted commercial emails, and such emails should not be misleading in any way,” said U.S. Attorney Martin Estrada for the Central District of California. “This permanent injunction and civil penalty will provide relief to consumers and help to prevent future violations of the CAN-SPAM Act.”
This matter was handled by Senior Trial Attorney James T. Nelson and Assistant Director Lisa Hsiao of the Civil Division’s Consumer Protection Branch, Assistant U.S. Attorney Ross Cuff for the Central District of California and Frances Kern and Elsie Kappler of the FTC.
For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit www.FTC.gov.
Ocean Vessel Operator Pleads Guilty, Agrees to Pay $2 Million for Marine Environmental CrimesRead the Press Release
Ocean vessel operating company Zeaborn Ship Management (Singapore) PTE. LTD. (Zeaborn) pleaded guilty to maintaining false and incomplete records relating to the discharge of oily bilge water and garbage on board the vessel Star Maia. In its plea, Zeaborn has agreed to pay a total monetary penalty of $2 million. The company’s Chief Engineer, Constancio Estuye, and Captain, Alexander Parreno, also pleaded guilty for their roles in the crimes.
According to court documents, Zeaborn and Estuye admitted that – at least four times between June and October 2022 – they dumped over 7,500 gallons of oily bilge water from the Star Maia into the ocean without first processing the oily bilge water through required pollution prevention equipment. They also admitted that these illegal discharges were falsely recorded in the oil record book as having been made using the vessel’s pollution prevention equipment when the equipment had not been used. Oily bilge water typically contains oil contamination from the operation and cleaning of machinery on the vessel.
In addition to the illegal discharges of oily bilge water, Zeaborn and Parreno admitted that on at least three or four occasions between June and August 2022, they had burned garbage – including paper, plastics and oily rags – in barrels on the Star Maia’s deck. The barrels were then thrown into the ocean. This garbage burning and barrel disposal was not recorded in the vessel’s garbage record book, as required by law.
“Illegally dumping oily waste and garbage at sea poses a serious threat to the health and viability of the marine environment,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “This prosecution demonstrates our commitment to ensuring that those who violate environmental laws are held accountable for their criminal conduct.”
“Unlawful oil discharges can cause significant harm to the marine environment,” said Acting U.S. Attorney Andrew Haden for the Southern District of California. “We will continue to safeguard our oceans by vigorous enforcement of environmental laws. Today’s case is a reflection of that commitment.”
“This prosecution highlights the Justice Department and the U.S. Coast Guard’s continued dedication in safeguarding our maritime environment against those that seek to deliberately harm our natural resources,” said Sector Commander Captain James W. Spitler of the U.S. Coast Guard’s Sector San Diego. “Illegal dumping of oil, falsification of oil record books and flagrant disregard for air emission requirements are egregious violations. These guilty pleas should serve as a reminder that the Coast Guard and our partners at the Justice Department will work tirelessly to hold accountable those that seek to deliberately harm the maritime environment.”
Zeaborn pleaded guilty in U.S. District Court in San Diego to two felony violations of the Act to Prevent Pollution from Ships (APPS). The plea agreement, subject to acceptance by the court, includes a $1.5 million fine and a $500,000 community service payment. The community service payment will go to the National Fish and Wildlife Foundation to fund projects to benefit marine and coastal natural resources located in or around the Tijuana River National Estuarine Research Reserve in Southern California. Zeaborn will also serve a four-year term of probation during which all containerships and conventional bulk carriers operated by the company and calling on U.S. ports will be required to implement a robust environmental compliance plan.
Estuye and Parreno each pleaded guilty to one felony violation of the APPS for failing to accurately maintain the oil and garbage record books for the Star Maia. Sentencing for defendants Zeaborn, Estuve and Parreno is set for Dec. 1.
The U.S. Coast Guard Sector San Diego and the U.S. Coast Guard Investigative Service are investigating the case. Senior Trial Attorney Stephen Da Ponte of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Melanie K. Pierson for the Southern District of California are prosecuting the case.
Note, this release has been updated to specify which types of Zeaborn vessels are subject to the four-year term of probation.