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Sunday 28 May 2023
Sioux Falls Man Sentenced to Nearly 2 Years in Federal Prison for Role in Fraud & Money Laundering SchemesRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schreier sentenced a Sioux Falls, South Dakota, man, convicted of Conspiracy to Launder Monetary Instruments. The sentencing took place on May 17, 2023, in Sioux Falls, South Dakota.
Keyvon Hamilton Hogan, age 23, was sentenced to 23 months in federal prison, followed by three years of supervised release. He was ordered to pay $563,127.06 in restitution, to forfeit his interest in money and personal property, as well as to pay $100 a statutorily required special assessment to the Federal Crime Victims Fund.
Hogan was indicted for Conspiracy to Commit Bank Fraud and Conspiracy to Launder Monetary Instruments by a federal grand jury in April 2022. He pleaded guilty to Conspiracy to Launder Monetary Instruments on November 9, 2022.
According to court documents, from 2020 to April 2022, Hogan, along with his co-defendants, conspired with others to commit bank fraud. The scheme impacted multiple financial institutions and individuals throughout the Sioux Falls area and elsewhere, as the defendants obtained money from those banks by means of false or fraudulent pretenses, representations, and promises. After obtaining funds through fraud, Hogan and his co-conspirators engaged in depositing, transferring, wiring, and withdrawing currency and electronic funds at financial institutions to conceal and disguise the proceeds of the fraud scheme.
This case was investigated by the Internal Revenue Service Criminal Investigation; Department of Homeland Security, Homeland Security Investigations; Sioux Falls Police Department; U.S. Postal Service; and South Dakota Highway Patrol. Assistant U.S. Attorney Jeremy R. Jehangiri prosecuted the case.
Hogan was remanded to the custody of the U.S. Marshals Service to continue serving his sentence.
Sioux Falls Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange, U.S. District Court, has sentenced a Sioux Falls, South Dakota, man convicted of Failure to Register as a Sex Offender. The sentencing took place on May 22, 2023.
Adrian Fast Dog, 43, was sentenced to three years and seven months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Fast Dog was indicted for Failure to Register as a Sex Offender by a federal grand jury in August of 2022. He pleaded guilty on February 13, 2023.
Fast Dog was convicted of Aggravated Sexual Abuse on October 15, 2001. As a result of this conviction, he is required to register as a sex offender and update his registration within three business days of relocation or changing employment or student status. Fast Dog last registered in June of 2021, providing a motel in Sioux Falls as his address. Subsequent address verification checks conducted by law enforcement revealed Fast Dog was not residing at the motel. Fast Dog’s whereabouts were unknown until he was arrested on July 27, 2022.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service and the Sioux Falls Police Department. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Fast Dog was immediately remanded to the custody of the U.S. Marshals Service.
Porcupine Man Sentenced to 15 Years in Federal PrisonRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Court Judge Jeffrey L. Viken has sentenced a Porcupine, South Dakota, man convicted of Voluntary Manslaughter. The sentencing took place on May 22, 2023.
Trey New Holy, 30, was sentenced to 15 years in federal prison, followed by three years of supervised release, and ordered to pay $100 special assessment to the Federal Crime Victims Fund.
New Holy was indicted for Second Degree Murder by a federal grand jury in September of 2022. He pleaded guilty on February 17, 2023.
The conviction stems from New Holy beating an individual after an altercation on September 3, 2022, in Porcupine. The victim sustained multiple blunt traumatic injuries to his head and body. He ultimately succumbed to his injuries.
This case was investigated by the FBI and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Megan Poppen prosecuted the case.
New Holy was immediately remanded to the custody of the U.S. Marshals Service.
Mission Man Sentenced for Distribution of a Controlled Substance to a Person Under Age 21Read the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange, U.S. District Court, has sentenced a Mission, South Dakota, man convicted of Distribution of a Controlled Substance to a Person Under Age 21. The sentencing took place on May 22, 2023.
Jeremy Richards, age 29, was sentenced to five years and one month in federal prison, followed by six years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Richards was indicted by a federal grand jury in August of 2022. He pleaded guilty on February 27, 2023.
The conviction stems from conduct that occurred between January 1, 2021, and January 1, 2022, in Todd County, South Dakota, wherein Richards distributed methamphetamine to a juvenile who was between 16 and 17 years old.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Richards was immediately remanded to the custody of the U.S. Marshals Service.
Friday 26 May 2023
Woodville Woman Faces up to 5 Years, $250K Fine for Social Security Fraud, Health Care Fraud and Theft of Public MoneyRead the Press Release
BANGOR, Maine: A Woodville woman pleaded guilty yesterday in U.S. District Court in Bangor to Social Security fraud, health care fraud and theft of public money.
According to court records, from about January 2005 through March 2021, Rella Austin-Kimball, 51, concealed the presence of her husband in her household and her receipt of alimony payments following divorce from the Social Security Administration (SSA) to maintain her eligibility to receive Supplemental Security Income (SSI) payments. SSI benefits are paid to people with limited income who are blind, disabled or elderly. Austin-Kimball also concealed her husband’s presence from the Maine Department of Health & Human Services (ME/DHHS) from about January 2005 to July 2017, during which time she received MaineCare and Supplemental Nutrition Assistance Program (SNAP) benefits. Her concealment of her husband’s presence in her household also allowed her then-minor child to receive SSI benefits from about November 2006 through January 2015 and MaineCare and SNAP benefits through February 2013.
In multiple benefit eligibility reviews, Austin-Kimball falsely represented to the SSA and ME/DHHS that she and her husband had separated in January 2005 and had lived separately since that time. Following her divorce, she failed to disclose her receipt of alimony payments during eligibility reviews. She failed to disclose these events despite knowing that she was required to and that they would affect her eligibility to receive benefits for herself and on behalf of her son.
Austin-Kimball faces up to five years in prison, a fine of up to $250,000, and up to three years of supervised release on the Social Security fraud and health care fraud charges. She faces up to 1 year in prison, a fine of up to $100,000, and up to one year of supervised release on the theft of public money charge. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
SSA’s Office of the Inspector General and ME/DHHS’s Fraud Investigation & Recovery Unit investigated the case.
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Winooski Man Sentenced for Receiving Firearm While Under IndictmentRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Edward Lamson, 23, previously of Winooski, Vermont, was sentenced today following his guilty plea to receiving a firearm while under indictment for numerous state felony offenses. Lamson was found in possession of the firearm in May 2022, after he was involved in a single-vehicle accident in South Burlington, Vermont. Lamson was facing eight state felony charges, including multiple burglaries, and numerous simple assault charges at the time of his arrest.
Chief U.S. District Court Judge Geoffrey W. Crawford sentenced Lamson to time served (after serving approximately 9 months in prison), to be followed by a 3 year period of supervised release. In imposing the sentence, the Court noted not only the seriousness of Lamson’s offense, but also his history of mental health issues.
The U.S. Attorney recognized the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) for their work on the case. Assistant U.S. Attorneys Eugenia Cowles and Michael Drescher represented the government. Michael J. Straub, Esq. represented Mr. Lamson.
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. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn .Waterbury Man Sentenced to 10 Years in Federal Prison for Narcotics Distribution and Firearm Possession OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that RAMON OQUENDO, also known as “Mimo,” 46, of Waterbury, was sentenced yesterday by U.S. District Judge Janet C. Hall in New Haven to 120 months of imprisonment, followed by four years of supervised release, for narcotics trafficking and firearm possession offenses.
According to the evidence disclosed during the trial, this matter stems from an investigation led by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force of a drug trafficking network led by Landdy Rodriguez of Waterbury. In August 2021, investigators intercepted phone calls during which Rodriguez arranged for Oquendo to supply fentanyl to other drug distributors, including Sylvester Vann, also known as “Bug,” of Waterbury, and Pedro Diaz of Red Lion, Pennsylvania. Between August and October 2021, investigators conducted physical surveillance and observed Oquendo engaging in multiple drug transactions with Vann and Diaz. After one transaction, in August 2021, a Pennsylvania State Trooper stopped Diaz’s car in Pennsylvania and seized 48 grams of fentanyl.
Oquendo was arrested on October 26, 2021. On that date, a court authorized search of his residence revealed approximately 100 grams of fentanyl, 64 grams of crack cocaine, 102 grams of methamphetamine, a large quantity of marijuana, a polymer 80 privately made firearm (“ghost gun”), ammunition, narcotics processing and packaging materials, and nearly $50,000 in cash.
Oquendo’s criminal history includes convictions for felony drug and firearm offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Oquendo has been detained since his arrest. On March 2, 2023, a jury found him guilty of conspiracy to distribute, and to possess with intent to distribute, 40 grams or more of fentanyl; possession with intent to distribute 40 grams of fentanyl; possession with intent to distribute cocaine base (“crack”) and fentanyl; possession of a firearm in furtherance of a drug trafficking crime; and unlawful possession of ammunition by a felon.
Rodriguez, Vann, and Diaz pleaded guilty to related charges and have been sentenced.
This investigation was conducted by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Federal Bureau of Investigation, the Connecticut State Police, and the Waterbury Police Department. The Task Force includes personnel from the DEA Bridgeport Resident Office, the Connecticut State Police, and the Bridgeport, Danbury, Milford, Norwalk, Stamford, and Stratford Police Departments.
This case was prosecuted by Assistant U.S. Attorneys Kenneth L. Gresham, John T. Pierpont, Jr., and Brendan J. Keefe through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts, and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Two defendants plead guilty to multiple charges concerning child sexual exploitationRead the Press Release
BRUNSWICK, GA: A Camden County man and woman face substantial prison terms after pleading guilty to multiple charges that concern the sexual exploitation of children.
Michael Williams Kersey, 45, of St. Mary’s, Ga., and Lesley M. Henry, 47, of Kingsland, Ga., each await sentencing after pleading guilty to multiple charges before U.S. District Court Judge Lisa Godbey Wood, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia.
Kersey faces a mandatory minimum sentence of 15 years in prison, up to 140 years, after pleading guilty to Conspiracy to Engage in Sexual Exploitation of Children; two counts of Sexual Exploitation of Children; and Possession of Child Pornography. Henry faces a mandatory minimum sentence of 15 years in prison, up to 60 years, after pleading guilty to two counts of Production of Child Pornography. Each defendant also is subject to pay a special assessment of $5,000 and substantial financial penalties and restitution, serve a period of supervised release upon completion of their prison terms, and to register as sex offenders.
There is no parole in the federal system.
“It is exceptionally difficult to fathom the level of victimization of vulnerable children through the despicable acts of these defendants,” said U.S. Attorney Steinberg. “Our law enforcement partners did exceptional work in identifying these defendants and protecting innocent children from further harm.”
FBI agents in 2020 began working to find the origin of child sexual abuse images shared through an internet messaging application, and identified Kersey as the registered user of the account. Agents searched Kersey’s home and found multiple electronic devices with hundreds of images and videos of child sexual abuse, and subsequently identified Henry as a codefendant. Agents determined she had produced multiple images and videos of child sexual abuse and shared them with Kersey.
Both defendants are in federal custody. Sentencing will be scheduled before Judge Wood upon completion of a pre-sentence investigation by U.S. Probation Services.
“The victimization of a child is particularly heinous when the sexual predators are creating the content to share with other predators. Our office remains relentless in the pursuit to ensure the safety of our children and the punishment of their abusers,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Anyone who suspects a child is being victimized is urged to contact their local law enforcement agency or child protective services.”
The case is being investigated by the FBI, with assistance from the Naval Criminal Investigative Service/Kings Bay, the Georgia Bureau of Investigation, Camden County Sheriff’s Office, the St. Marys Police Department, and the Kingsland Police Department, and prosecuted for the United States by Assistant U.S. Attorneys Jennifer S. Kirkland and Criminal Division Deputy Chief Tania D. Groover.
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 800-843-5678, or https://report.cybertip.org/.
Two Utah Men Charged with Federal Hate Crime OffenseRead the Press Release
Two Utah men were charged with a federal hate crime April 26 following the return of an indictment by a federal grand jury in Salt Lake City, Utah.
According to the indictment, Nathan Thomas, 22, and Sebastian West, 22, both of Payson, allegedly assaulted a person identified by the initials D.J. because of D.J.’s actual and perceived race.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Trina A. Higgins for the District of Utah and Acting Special Agent in Charge Cheyvoryea Gibson of the FBI Salt Lake City Field Office made the announcement.
The FBI Salt Lake City Field Office is investigating the case.
Assistant U.S. Attorneys Drew Yeates and Andrea Martinez for the District of Utah and Trial Attorney Andrew Manns of the Civil Rights Division’s Criminal Section are prosecuting the case.
Two Portland Area Drug Traffickers Sentenced to Federal PrisonRead the Press Release
PORTLAND, Ore.—On May 25, 2023, two Portland area drug traffickers were sentenced to more than ten years in federal prison for their roles in a Mexican drug trafficking organization responsible for distributing fentanyl, heroin, and methamphetamine in and around Portland and elsewhere.
Rodrigo Diaz-Lopez, 53, of Gresham, Oregon, and Jonathan Avila-Suarez, 31, of Portland, were sentenced to 135 and 120 months in federal prison, respectively. Both men must also complete five-year terms of supervised release following the completion of their prison sentences.
According to court documents, Diaz-Lopez and Avila-Suarez were part of a drug trafficking organization (DTO) led by two brothers based in Nayarit, Mexico. Diaz-Lopez, who has three prior felony drug trafficking convictions and has been repeatedly removed from the United States following those convictions, served as a sub-distributor in the DTO responsible for receiving illegal narcotics from couriers and other distributors and brokering local sales. Avila-Suarez was a sub-distributor and stash house operator.
In early February 2021, as part of a long-term investigation into the DTO’s operations, special agents from the U.S. Drug Enforcement Administration (DEA) obtained information that Avila-Suarez had arranged for the delivery of 400 grams of heroin to a Portland hotel room. Agents observed the delivery and seized the heroin from Avila-Suarez’s customer. The next day, agents executed a federal search warrant on Avila-Suarez’s Portland apartment. They located and seized large quantities of heroin, methamphetamine, and fentanyl packaged for distribution and two firearms.
Around the same time, agents identified Diaz-Lopez and arranged for a controlled purchase of methamphetamine from him. On March 12, 2021, they executed a federal search warrant on Diaz-Lopez’s Gresham residence and seized several kilograms each of methamphetamine, heroin, and counterfeit Oxycodone pills containing fentanyl. Agents also located and seized $30,000 in cash, an assault rifle, and a handgun.
On February 21, 2021, Avila-Suarez was charged by criminal complaint with possessing with intent to distribute controlled substances, using communications facilities in the commission of drug trafficking offenses, and maintaining drug involved premises. On March 15, 2021, Diaz-Lopez was charged by criminal complaint with possessing with intent to distribute controlled substances. Both men were later indicted on related charges.
On January 25, 2023, Avila-Suarez pleaded guilty to possessing with intent to distribute methamphetamine. One month later, on February 21, 2023, Diaz-Lopez pleaded guilty to possessing with intent to distribute heroin.
These cases were investigated by DEA. They were prosecuted by the U.S. Attorney’s Office for the District of Oregon.
These prosecutions were the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the U.S. by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Two Men in $7 Million COVID Fraud Scheme Plead GuiltyRead the Press Release
ALEXANDRIA, Va. – A Manassas and a Bealton man pleaded guilty today to engaging in a joint scheme to defraud banks and the Small Business Administration of over $7 million in COVID relief funds.
According to court documents, from approximately April 2020 to March 2021, Bennie Earl Magee, 54, falsified payroll records, created fake IRS business tax returns, and submitted to lenders and the SBA falsified revenue reports of multiple companies to obtain over $7 million in PPP and EIDL loans for himself and others. Gilcher, 45, obtained $1.4 million of the total, but wrote checks back to Magee’s company, Bull Run Capital, totaling approximately $620,000. Magee used the PPP funds to invest in crypto currency, home renovations, to purchase vehicles, and to pay other personal expenses.
Magee and Gilcher are scheduled to be sentenced on August 25. Magee faces a up to 20 years in prison, while Gilcher faces up to five years 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; Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Brian Miller, Inspector General for the Special Inspector General for Pandemic Recovery (SIGPR), made the announcement after Senior U.S. District Judge Claude M. Hilton accepted the plea.
Assistant U.S. Attorneys Russell L. Carlberg and Kathleen Robeson are prosecuting the case.
This case was investigated by an agent assigned to the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC was established to serve the American public by promoting transparency and facilitating coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 21 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending. The PRAC Fraud Task Force brings together agents from 16 Inspectors General to investigate fraud involving a variety of programs, including the Paycheck Protection Program. Task force agents who are detailed to the PRAC receive expanded authority to investigate pandemic fraud as well as tools and training to support their investigations.
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 Nos. 1:23-cr-86 and 1:23-cr-91.
Two Clayton County men sentenced to prison after discharging machinegun at federal agentsRead the Press Release
ATLANTA - Anthony Maseda and Erik Arreola-Torres have been sentenced for their roles in a scheme to convert semi-automatic firearms into machineguns and sell the fully automatic firearms out of a Clayton County, Georgia, residence. Arreola-Torres fired at federal special agents and local law enforcement officers using a fully automatic machinegun when the investigators arrived at the home to execute a search warrant.
“Maseda and Arreola-Torres jeopardized the lives of multiple law enforcement officers and community residents during an investigation by law enforcement officers of the defendants’ machinegun trafficking scheme,” said U.S. Attorney Ryan K. Buchanan. “This office and its law enforcement partners will identify, target, and prosecute those individuals who threaten the safety of our communities by creating and selling automatic firearms. We commend the work of our dedicated agency partners in this case and are grateful no one was injured during this violent incident.”
“Because of the combined efforts of ATF and its law enforcement partners, criminal elements have been surgically removed from the community of Clayton County and placed where they belong: into the criminal justice system to be processed and prosecuted for illegal gun activity,” said Alisha Jones, Assistant Special Agent in Charge of ATF’s Atlanta Field Division.
“This investigation re-affirms the importance of our agency’s collaboration with our federal partners. The arrests resulting from this joint investigation with the ATF surely saved lives in Clayton County and likely in the metropolitan region. The Clayton County Police Department will continue to partner with our Federal and State law enforcement agencies to reduce violent crimes in our community,” said Clayton County Police Chief Kevin Roberts.
According to U.S. Attorney Buchanan, the charges and other information presented in court: From January through March of 2022, Anthony Maseda and Erik Arreola-Torres conducted a firearm and machinegun trafficking operation out of a home in Jonesboro, Georgia. Maseda, a previously convicted felon, and leader of the operation, illegally imported auto sear devices, also known as “switches”, from China. Possessing an auto sear is a felony offense under federal law, even when the device is not installed in a firearm.
Using auto sears, Maseda converted numerous firearms into fully automatic machineguns and then advertised the sale of machineguns, auto sears, and semi-automatic firearms on his public Instagram page. Federal special agents obtained a warrant to search the Jonesboro residence after Maseda and Arreola-Torres sold a machinegun, a semi-automatic firearm, and multiple switches to an undercover informant at the home.
On the morning of March 3, 2022, special agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Clayton County Police Department, executed the search warrant at the Jonesboro house. As law enforcement officers stood outside the home, Arreola-Torres picked up a machinegun and fired towards agents and officers from inside the residence, unloading dozens of rounds in the investigators’ direction. Fortunately, no one was hit or injured.
After securing the scene and taking Maseda and Arreola-Torres into custody, agents located within the residence six fully automatic machineguns, four additional auto sears, five additional firearms, numerous firearm parts and magazines, ammunition, bullet proof body armor, and distribution quantities of marijuana and digital scales. One of the firearms had an obliterated serial number.
Erik Arreola-Torres, 20, of Jonesboro, Georgia, was sentenced on May 7, 2023, by U.S. District Judge Steven D. Grimberg to ten years and one month in prison to be followed by three years of supervised release. He pleaded guilty to possession of a machinegun and conspiracy to engage in the business of dealing in firearms without a license on October 17, 2022.
Anthony Maseda, 21, of Jonesboro, Georgia, was also sentenced by Judge Grimberg to nine years in prison to be followed by three years of supervised release. He pleaded guilty to possession of a machinegun on October 13, 2022.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Clayton County Police Department.
Assistant U.S. Attorney Annalise K. Peters prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Two Allentown Residents Charged in Stolen Identity Refund Fraud (SIRF) Scheme, Pandemic Unemployment Assistance (PUA) Fraud, and Aggravated Identity Theft ConspiracyRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Jose Baez and Jessenia Cordero, a married couple, both of Allentown, PA, were charged by way of complaint with one count of conspiracy to defraud the United States with respect to certain claims, conspiracy to commit aggravated identity theft, and conspiracy to commit mail fraud, all stemming from Baez and Cordero filing fraudulent tax returns and PUA applications with stolen identities.
The complaint alleges that Baez and Cordero used stolen identities to file at least 316 fraudulent federal tax returns and 168 fraudulent PUA applications. Baez and Cordero filed the false returns with designated tax preparer identification numbers registered under their name. According to the complaint, Baez and Cordero used the corporate alter ego, JB Multiservices, a company owned by Baez, and of which Cordero was an employee, to file the fraudulent returns. The false returns were filed using an IP address registered to Baez at the business's location. Additionally, according to the complaint, at least 674 false returns were filed by the IP address registered to that location by Baez, Cordero, Person 1, and Person 2. As outlined in the complaint, per Internal Revenue Service (IRS) records, the 316 false returns filed by Baez and Cordero requested at least $1.8 million dollars in fraudulent tax refunds.
As also alleged in the complaint, the IP address registered to Baez at his and Cordero's home was used to file 168 fraudulent PUA applications. After the fraudulent applications were filed, the respective state workforce agency responsible for administering the PUA benefits dispersed funds on the fraudulent PUA applications by mailing PUA debit cards to addresses in Allentown and elsewhere. Over $1.4 million dollars in PUA benefits were withdrawn at ATMs on the cards. PUA debit cards were also issued under Baez and Cordero's names and mailed to an Allentown address. The PUA debit cards issued under the names of Baez and Cordero were often used at ATMs immediately before or after PUA debit cards were issued on other applications filed with stolen identities.
As alleged in the complaint, during a July 6, 2022 search warrant, that was executed pursuant to a federal search warrant issued in the Eastern District of Pennsylvania of Baez and Cordero's home, federal agents recovered lists of identities and documents that were used to file the fraudulent tax returns and PUA applications.
The case was investigated by the Federal Bureau of Investigation's Allentown Resident Agency, the Internal Revenue Service – Criminal Investigation, and the Department of Labor's Office of the Inspector General, and is being prosecuted by Assistant United States Attorneys Timothy M. Lanni and Mary A. Futcher.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Steuben County Man Pleads Guilty to Possession of Child PornographyRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that John Buckley, 59, of Wayland, NY, pleaded guilty to possession of child pornography before Chief U.S. District Judge Elizabeth A. Wolford. The charges carry a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that between August and December 2021, Buckley used his cellphone to take sexually explicit photos of a minor female. On August 30, 2022, the FBI executed a federal search warrant on the cellphone and recovered 31 images containing child pornography, including images of the minor female. Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that between August and December 2021, Buckley used his cellphone to take sexually explicit photos of a minor female. On August 30, 2022, the FBI executed a federal search warrant on the cellphone and recovered 31 images containing child pornography, including images of the minor female.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia. Additional assistance was provided by the FBI Chicago Field Office and the Joliet, Illinois Police Department.
Sentencing will be scheduled at a later date before Judge Wolford.
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Sexual Predator Sentenced to More Than 16 Years in Federal Prison for Receipt of Child Sex Abuse ImagesRead the Press Release
Jacksonville, Florida – Chief U.S. District Judge Timothy J. Corrigan has sentenced Dennis William Sheffield, Jr. (52, Keystone Heights) to 16 years and 3 months in federal prison for receipt of child sex abuse materials. Sheffield was also ordered to serve a life term of supervised release and to register as a sex offender. In addition, he was ordered to pay $15,000 in restitution to victims of his offenses. Sheffield had pleaded guilty on December 16, 2022.
According to the plea agreement, in February 2022, Homeland Security Investigations (HSI) began investigating Sheffield in response to a CyberTip from the National Center for Missing and Exploited Children. The CyberTip indicated that child sex abuse material had been uploaded to a search engine. An IP address for the individual who had uploaded the materials was traced to Sheffield and law enforcement learned that Sheffield was listed as a predator on the Florida Department of Law Enforcement’s Sexual Offenders and Predators registry because of two convictions (1996) of attempted sexual battery on a child under 12 years old.
On March 3, 2022, based on the CyberTip and identification of Sheffield as the subject, law enforcement obtained a federal search warrant for Sheffield’s residence. The following day, authorities executed the search warrant and encountered Sheffield, who was holding a phone in his hand. A preliminary examination of the cellphone revealed multiple files of child sex abuse materials on the phone. Sheffield admitted to having a problem and that he liked looking at child sex abuse images, which he admitted to having viewed as recently as a couple of days earlier. Sheffield also admitted to saving some of the images on his phone.
“This sexual predator has already served prison time for sexually exploiting children; he clearly did not learn his lesson,” said Homeland Security Investigations (HSI) Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “Thanks to the Northeast Florida INTERCEPT Task Force, Clay County Sheriff's Office and the Florida Department of Law Enforcement, this predator will spend a significant amount of time behind bars, again.”
This case was investigated by the Clay County Sheriff’s Office, Homeland Security Investigations (HSI), and the Northeast Florida INTERCEPT Task Force. It was prosecuted by Assistant United States Attorney Ashley Washington.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
San Antonio Man Found Guilty of Supporting TerroristsRead the Press Release
SAN ANTONIO – A federal jury convicted a San Antonio man yesterday for conspiring to provide material support to terrorists.
According to court documents and evidence presented at trial, Imad Eddin Wadi, 66, conspired to funnel funds to members and affiliates of U.S. designated foreign terrorist organizations, including al-Nusrah Front, a Syrian militant organization aligned with Al Qaeda. As part of the conspiracy Wadi communicated with others to secure a wealthy investor to invest funds to support Wadi’s purchase of a business. A percentage of the investment funds and subsequent profits from the investments were to be used to purchase weapons for foreign militants, including members and affiliates of al-Nusrah Front.
Wadi was found guilty of one count of conspiracy to murder and maim in a foreign country; one count of conspiracy to provide material support to designated foreign terrorist groups; and one count of conspiracy to provide material support or resources to terrorists.
Wadi faces up to life in prison on the murder and maim charge; up to 20 years in prison on the material support to designated foreign terrorist group charge; and up to 15 years in prison on the material support or resources to terrorists charge.
Wadi was taken into federal custody to await sentencing set for August 23, 2023.
U.S. Attorney Jaime Esparza of the Western District of Texas and FBI Special Agent in Charge, Oliver E. Rich Jr., made the announcement.
The FBI Joint Terrorism Task Force is investigating the case.
Assistant U.S. Attorneys Mark T. Roomberg and William R. Harris are prosecuting the case.
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Rutland Woman Sentenced for Making False Statements when Purchasing a FirearmRead the Press Release
Burlington, Vermont – The Office of the United States Attorney for the District of Vermont stated that Morgan Gates, 28, of Rutland, Vermont, was sentenced by Chief United States District Judge Geoffrey W. Crawford to time served (after serving approximately 10 months in prison) for making false statements to a federal firearms dealer in connection with the purchase of a firearm. Judge Crawford also ordered that Gates serve three years of supervised release starting today.
According to court documents, on June 29, 2022, Gates attempted to purchase a firearm at a Rutland dealer with a federal firearms license (“the FFL”). The FFL had reason to believe that Gates was an active drug user, delayed her purchase, and contacted the Rutland Police Department. While law enforcement investigated the attempted purchase, Rutland Police detectives learned that Gates had successfully purchased a Glock Model 45 9x19mm handgun from a different FFL located in Rutland on June 29, 2022. In coordination with the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Homeland Security Investigations, Rutland Police detectives located Gates on June 30, 2022 and arrested her. A search of Gates’s residence in Rutland did not recover the Glock firearm but did result in the seizure of ammunition of multiple calibers, an empty box of 9x19mm ammunition, and evidence that demonstrated Gates’ participation in a conspiracy to distribute cocaine base. The Glock Model 45 9x19mm handgun purchased by Gates was ultimately recovered on July 19, 2022, in Rutland, Vermont.
This case was investigated by the Rutland Police Department, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Homeland Security Investigations.Assistant United States Attorneys Jonathan Ophardt and Zachary Stendig represented the government. Katina Ready, Esq. represented Gates.
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. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn .
Rochester Woman Sentenced for Assaulting Two People on an AirplaneRead the Press Release
BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Cynthia McKnight, 24, of Rochester, NY, who was convicted of simple assault in the special aircraft jurisdiction of the United States, was sentenced to time served and three years’ probation by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorneys John D. Fabian and Charles M. Kruly, who handled the case, stated that on April 19, 2022, McKnight was a passenger on an American Airlines flight from the Buffalo Niagara International Airport to Chicago O’Hare International Airport. After the aircraft’s doors were closed, and while the aircraft was preparing to depart, McKnight made her way to the front of the aircraft and engaged in a verbal altercation with one passenger, then spat on another passenger. As a result, the aircraft was required to return to the gate. McKnight then attempted to exit the aircraft as it was in motion on the ground, pushing a flight attendant in the process who had attempted to prevent her from opening an aircraft door. McKnight was able to open an aircraft door, which deployed the aircraft’s emergency slide, and exited the aircraft.
The sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia and the Niagara Frontier Transportation Authority Police, under the direction of Chief Brian Patterson.
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Rochester Man Who Fled Police Going to Prison on Gun ConvictionRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Joshua Massey, 32, of Rochester, NY, who was convicted of possession of a firearm by a convicted felon, was sentenced to serve 46 months in prison by Chief U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Katelyn M. Hartford, who handled the case, stated that Massey was previously convicted of multiple felonies in 2012 and 2013 and is legally prohibited from possessing a firearm and ammunition. On July 30, 2022, as Rochester Police officers attempted to initiate a traffic stop on the vehicle Massey was driving, Massey crashed the vehicle at the corner of Perkins Avenue and Norran Drive. Massey then exited the vehicle and fled on foot but was apprehended after a foot chase. Officers saw, in plain view on the driver’s side floorboard of the vehicle, a loaded 9mm pistol.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The sentencing is the culmination of an investigation by the Rochester Police Department, under the direction of Chief David Smith and Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John Devito.
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Previously convicted felon sentenced to 37 months in prison for firearms chargeRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Lionel Vallo was sentenced to 37 months in prison. Vallo, 39, of Albuquerque, pleaded guilty on Nov. 14, 2022 to being a felon in possession of firearms and ammunition and failure to update his sex offender registration.
According to the plea agreement and other court records, Vallo, who previously was convicted of aggravated sexual abuse in Indian Country in 2003, failed to update his sex offender registration after moving to a new address in Albuquerque. Vallo also failed to update his quarterly registration on July 1, 2020.
On July 26, 2022, in Albuquerque, members of the U.S. Marshals Service (USMS) Southwest Investigative Fugitive Team (SWIFT) Task Force initiated a traffic stop on Vallo, who was subject to an arrest warrant for absconding from supervised release. Vallo did not stop immediately, and once stopped, initially was non-compliant with commands to exit the vehicle. After Vallo eventually exited the vehicle and was taken into custody, SWIFT members located loaded firearms in the vehicle.
Upon his release from prison, Vallo will be subject to 10 years of supervised release.
Homeland Security Investigations (HSI) and the U.S. Marshals Service investigated this case. Assistant United States Attorneys Nicholas Marshall and Matthew McGinley are prosecuting the case.
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Previously Charged Virginia Man Admits Additional $3.4 Million Insider Trading SchemeRead the Press Release
TRENTON, N.J. – A Virginia man who previously pleaded guilty to insider trading admitted engaging in another insider trading scheme that netted millions of dollars in illegal profits, U.S. Attorney Philip R. Sellinger announced today.
Sean Wygovsky, 42, of Centreville, Virginia, pleaded guilty before U.S. District Judge Georgette Castner on May 25, 2023, to an information charging him one count of securities fraud/insider trading. Wygovsky previously pleaded guilty to an insider trading scheme in the Southern District of New York.
“This defendant admitted using nonpublic information from his job at an asset management firm to further a multimillion-dollar insider trading scheme,” U.S. Attorney Sellinger said. “Combatting securities fraud and market manipulation schemes is a top priority for this Office. This prosecution demonstrates our commitment to holding accountable those who seek to undermine our markets through insider trading.”
“Federal insider trading laws protect the integrity of the markets and preserve the public's confidence in them,” FBI Newark Special Agent in Charge James E. Dennehy said. “No one wants to play a game when the rules are unfair. Wygovsky upset this balance of fairness when he misused his position of authority to serve his own greed. The FBI is committed to weeding out the bad actors like Wygovsky to ensure the financial markets maintain equal opportunity for all.”
According to documents filed in this case and statements made in court:
From May 2020 through February 2021, Wygovsky worked as a portfolio manager, securities analyst, and trader at a Canada-based asset management firm that received material, nonpublic information regarding confidential merger negotiations involving special purpose acquisition companies (SPACs). Wygovsky received this information every time a SPAC was placed on his firm’s confidential restricted list, meaning that the firm’s employees were prohibited from buying or selling the SPACs’ securities, either personally or via another person or third party. Despite knowing about these trading restrictions, Wygovsky shared the nonpublic information with his friend, Christopher Matthaei, who was a partner at a New Jersey broker-dealer firm. Matthaei purchased securities in the SPACs using his personal brokerage accounts. In June 2020, Matthaei paid for a private plane and extended trip with Wygovsky and their families to a luxury resort on the island of St. Barth, where they continued to engage in the insider trading scheme. Matthaei made approximately $3.4 million in illegal trading profits from the insider trading scheme.
Matthaei was previously arrested on March 30, 2023, and charged by complaint with one count of securities fraud and one count of conspiracy to commit securities fraud. The charges and allegations against Matthaei contained in the complaint, which are still pending, are merely accusations, and Matthaei is presumed innocent unless and until proven guilty.
The securities fraud count carries a maximum penalty of 20 years in prison and a $5 million fine. Sentencing is scheduled for Sept. 27, 2023.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge Dennehy, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorneys Jennifer Kozar and Marko Pesce of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
wygovsky.information.pdfPasadena Man Sentenced to over Four Years in Federal Prison for Possession of Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Raymond Martin Shamer, III, age 21, of Pasadena, Maryland, late yesterday to 50 months in federal prison, followed by 45 years of supervised release for possession of child pornography. Shamer admitted that he also distributed child pornography. Judge Hollander also ordered that, upon his release from prison, Shamer will be required to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (“SORNA”).
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore.
According to his guilty plea, from at least July 7, 2019 through June 24, 2020, Shamer used online accounts to communicate with others about child pornography, to distribute child pornography, and to collect child pornography. Many of the files Shamer collected documented adults sexually abusing of infants and toddlers while they are bound and subjected to other violent conduct.
Shamer admitted that he used a secure communication application to upload images of children engaged in sexually explicit conduct, and that he shared links to those images with a group of users with whom he engaged in group chat conversations.
On June 24, 2020, a search warrant was executed at Shamer’s residence and investigators seized Shamer’s cell phones and computer. A subsequent forensic examination of the devices revealed a total of more than 1,000 images of child pornography on Shamer’s devices.
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 Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Erek L. Barron commended HSI for its work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Paul E. Budlow, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Paroled Murderer Pleads Guilty to Production of Child PornographyRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that Israel Rivera-Reyes, 48, of Rochester, NY, pleaded guilty before Chief U.S. District Judge Elizabeth A. Wolford to production of child pornography. The charge carries a mandatory minimum penalty of 15 years in prison and a maximum of 30 years.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that between August 2021 and February 2022, Rivera-Reyes had sexual intercourse with a Minor Victim on an almost daily basis, knowing that the victim was a minor. During this time, Rivera-Reyes produced multiple videos of himself engaging in sexual intercourse with the Minor Victim. At the time of his arrest, Rivera-Reyes was on parole for a March 1995 conviction of Murder 2nd Degree.
The plea is a result of an investigation by the Irondequoit Police Department, under the direction of Chief Scott Peters, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia. Additional assistance was provided by the Monroe County District Attorney’s Office.
Sentencing is scheduled for October 2, 2023, before Judge Wolford.
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North Carolina Man and New York Woman Charged with Conspiracy and Damaging National Gallery of Art ExhibitRead the Press Release
WASHINGTON – Timothy Martin of North Carolina, and Joanna Smith of New York, both 53, were taken into custody today following an indictment charging conspiracy to commit an offense against the United States and injury to a National Gallery of Art exhibit. Martin self-surrendered this morning in Raleigh, North Carolina; Smith self-surrendered this morning in Washington, D.C.
According to the indictment, unsealed today, Martin and Smith smeared paint on the case and base of Edgar Degas’ Little Dancer, Age Fourteen, a priceless work of art which has drawn visitors for years to the National Gallery of Art in Washington, D.C. Following the attack, a group called Declare Emergency claimed credit. Over the last year, in addition to this offense, Declare Emergency has blocked roadways around the Washington, D.C. area.
The indictment further alleges that Martin and Smith agreed, along with other currently uncharged co-conspirators, to enter the National Gallery of Art for the purpose of injuring the exhibit. Martin and Smith entered the National Gallery of Art armed with plastic water bottles filled with paint. Martin and Smith handed their phones to other conspirators and waited until patrons cleared the area in front of the Little Dancer. Martin and Smith proceeded to smear paint on the case and base of the exhibit, at times smacking the case with force. Prior to the attack, members of the conspiracy had alerted the Washington Post, and two reporters from the Post recorded and photographed the offense. Additionally, other members of the conspiracy filmed and photographed the offense. Smith and Martin caused approximately $2,400 in damage and the exhibit was removed from public display for ten days so that it could be repaired.
Each charge carries a statutory maximum sentence of five years in prison and a fine of up to $250,000. 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.
The case is being investigated by the FBI’s Washington Field Office, specifically the FBI’s Art Crime Team, with assistance from National Gallery of Art Police, and U.S. Park Police. The case is being prosecuted by Assistant U.S. Attorney Cameron A. Tepfer of the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
New Orleans Woman Sentenced for Violation of Federal Drug Control ActRead the Press Release
NEW ORLEANS, LA – TONI JONES, age 33, of New Orleans, Louisiana, was sentenced on May 25, 2023, to time served (15 months imprisonment) by U.S. District Judge Carl J. Barbier for possession with the intent to distribute fentanyl, cocaine base, and methamphetamine, a violation of the Federal Controlled Substances Act, Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C), announced United States Attorney Duane A. Evans. JONES was additionally ordered to serve a three (3) year term of supervised release and to pay a $100 special assessment fee.
According to previously filed court documents, JONES was arrested on February 10, 2022 at the intersection of North Claiborne Avenue and Tupelo Street in the lower Ninth Ward of New Orleans, Louisiana after she had been observed conducting hand-to-hand drug transactions. At the time of her arrest, JONES was in possession of controlled substances packaged for distribution.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Special Assistant U.S. Attorney Nicholas Rayburn of the Violent Crimes Unit.
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New Orleans Man Sentenced for Federal Weapons OffenseRead the Press Release
NEW ORLEANS, LOUISIANA – NEWMAN HOOKER, age 30, of New Orleans, Louisiana was sentenced on May 25, 2023 by U.S. District Judge Barry W. Ashe to 42 months imprisonment followed by three years of supervised release, and a mandatory $100 special assessment fee for being a felon in possession of a firearm, announced U.S. Attorney Duane A. Evans.
According to court documents, on May 30, 2022, New Orleans Police Officers executed a search warrant at HOOKER’s residence. Officers seized a loaded Glock Model 22 pistol with an extended magazine and a loaded Panzer Arms shotgun belonging to HOOKER. Officers also recovered ammunition for the pistol and shotgun, shotgun drums, and firearms accessories.
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 Federal Bureau of Investigation and the New Orleans Police Department. Assistant United States Attorneys David Berman of the Violent Crimes Unit and Rachal Cassagne of the Narcotics Unit handled the prosecution.
New Orleans Man Sentenced on Federal Weapons ChargesRead the Press Release
NEW ORLEANS, LOUISIANA – QUENDRICK BAILEY, age 27, a resident of New Orleans, LA, was sentenced on May 25, 2023 by U.S. District Court Judge Carl J. Barbier to 30 months imprisonment, 3 years of supervised release, and a mandatory $100 special assessment fee in connection with a one-count indictment pending against him, announced U.S. Attorney Duane A. Evans.
BAILEY was indicted for possessing a firearm on June 12, 2022, as a convicted felon, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2).
BAILEY was involved in a shooting that took place on June 12, 2022. After the shooting, BAILEY drove to a local Winn-Dixie where he crashed and subsequently left his vehicle. He then entered the Winn-Dixie, discarded his gun in a box full of bouncy balls meant for children and fled the scene. Later, police were able to arrest BAILEY for being a felon in possession of a firearm.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation and the New Orleans Police Department. The case is being prosecuted by Assistant United States Attorney Inga Petrovich of the Violent Crime Unit .
Navajo Man Pleads Guilty to Abusive Sexual ContactRead 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 Brandon Yazzie pleaded guilty to two counts of abusive sexual contact. Yazzie, 28, of Standing Rock, New Mexico, and an enrolled member of the Navajo Nation, was remanded into custody pending sentencing, which has not been scheduled.
According to the plea agreement and other court records, between December 1, 2020, and January 31, 2021, Yazzie sexually abused the victim, identified in court records as Jane Doe, who was less than 12 years old. Specifically, Yazzie engaged in and caused sexual contact with the victim—by touching her genitalia and breasts directly and through the clothing—and afterward, told her “this never happened” with the intent that his acts would remain secret. Yazzie committed the crimes at his father’s residence in Standing Rock on the Navajo Nation.
Yazzie faces any term of years up to life in prison followed by 5 years of supervised release.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Avondale (Arizona) Police Department, Navajo Police Department and Department of Criminal Investigations. Assistant United States Attorney Alexander F. Flores is prosecuting the case.
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Muskegon Man Sentenced to 40 Months in Federal Prison for Illegally Possessing Destructive DeviceRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten announced that Casey Richard Newman, 40, of Muskegon, Michigan was sentenced to 40 months in federal prison by U.S. District Judge Janet T. Neff for knowingly possessing a destructive device. Destructive devices, commonly referred to as “homemade bombs,” are illegal to possess unless registered in the National Firearms Registration and Transfer Record. Newman’s destructive device was not registered as required under federal law. Judge Neff also ordered Newman to spend 3 years on supervised release after his confinement. Newman previously pleaded guilty to the offense on January 25, 2023.
“The citizens of the Western District of Michigan should be able to move about their communities without fear of harm or danger by homemade destructive devices,” said U.S. Attorney Totten. “Those who engage in these dangerous crimes will be held accountable.”
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Grand Rapids Police Department (GRPD). In August 2019, officers were dispatched to a residence in Grand Rapids regarding a suspicious device, which was ultimately determined to be a destructive device. The device consisted of a tape-wrapped plastic bottle that was filled with explosive powder and BBs. It was wrapped in electrical tape with a fuse at each end. No victims were harmed as the device was not detonated. The GRPD Bomb Squad made the device safe and conducted preliminary testing, and the ATF Forensic Science Laboratory conducted additional testing.
“Accountability for criminal conduct is paramount in ensuring public safety in the community. Casey Newman’s reckless actions could have resulted in an explosion that killed and injured many people while a at work,” said ATF Detroit Special Agent in Charge James Deir. “We investigated this in conjunction with our state and local law enforcement partners, and the U.S. Attorney’s Office. This partnership was essential in ensuring Newman was held accountable.”
"The conviction is a direct result of the interagency cooperation between the Grand Rapids Police Department, the ATF, and the U.S. Attorney’s Office of the Western District of Michigan,” said GRPD Captain Michael Maycroft, Bomb Squad Commander. “Although this type of investigation and conviction is a rare event in the city of Grand Rapids, it was our primary mission to take a dangerous improvised explosive device off the streets and identify the culprit before anyone got hurt.”
The case was prosecuted by Assistant U.S. Attorney Lauren F. Biksacky.
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Moline Man Sentenced to 72 months in Prison for Attempted Receipt of Child PornographyRead the Press Release
Rock Island, Ill. – A Moline, Ill., man, Dylan A. Campbell, 30, of the 4000 block of 11th Avenue C, was sentenced on May 24, 2023, to 72 months in prison, to be followed by 15 years of supervised release, for attempted receipt of child pornography.
On January 11, 2023, Campbell entered a plea of guilty to the indictment, which charged him with one count of attempted receipt of child pornography. According to the government’s commentary at sentencing, Campbell had been using various online means to obtain child pornography over multiple years. In pronouncing the sentence, Chief Judge Sara L. Darrow commented on the alarming nature of the imagery Campbell had been obtaining, depicting the sexual abuse of toddlers and infants, and the need to protect the public.
Campbell has remained in the custody of the U.S. Marshals since his change of plea in January of 2023.
The investigation was conducted by the Federal Bureau of Investigation, Springfield Field Office. Assistant United States Attorney Jennifer L. Mathew represented the government at sentencing.
The case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
McAlester Resident Sentenced for Possession with Intent to Distribute FentanylRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Garrett Jeffery Freeman, a/k/a Gee, age 27, of McAlester, Oklahoma, was sentenced to 154 months in prison for possessing fentanyl with the intent to distribute.
The charges arose from investigations by the Drug Enforcement Administration.
On May 9, 2023, Freeman pleaded guilty to one count of Possession with the Intent to Distribute Fentanyl. On October 12, 2021, DEA Agents and DEA Task Force Officers serving an arrest warrant located Freeman at a McAlester hotel. Freeman attempted to flee on foot but was apprehended and arrested. Agents discovered Freeman in possession of multiple firearms, magazines of ammunition, digital scales, and baggies of pills containing over 35 grams of fentanyl.
“The excellent work of DEA agents and task force officers resulted in a drug dealer being arrested, prosecuted, and sentenced to more than 10 years in prison,” said United States Attorney Christopher J. Wilson. “The sentence imposed should send a clear message to the defendant and others tempted to sell illegal drugs that you will be held accountable for the misery your crimes inflict on our communities.”
The Honorable Ronald A. White, Chief District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearings in Muskogee. Freeman 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 Jordan Howanitz represented the United States at sentencing.
Maryland Resident Sentenced to over Five Years in Federal Prison for Illegally Transporting Firearms with Obliterated Serial Numbers and Smuggling Firearms to NigeriaRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Wilson Che Fonguh, age 41, of Bowie, Maryland, yesterday to 63 months in federal prison, followed by two years of supervised release, for conspiracy, for transporting firearms with obliterated serial numbers, and for smuggling firearms and ammunition from the United States to Nigeria. Judge Bennett also ordered Fonguh to pay a fine of $25,000. Fonguh was convicted of those charges on May 6, 2022, along with co-defendants Eric Fru Nji, age 42, of Fort Washington, Maryland and Wilson Nuyila Tita, age 47, of Owings Mills, Maryland, after a two-week trial.
On May 22, 2023, Judge Bennett sentenced co-conspirator Roger Akem, age 52, of Woodbury, Minnesota, to two years in federal prison, followed by two years of supervised release, for his role in the smuggling operation.
The sentence was announced by Erek L. Barron, United States Attorney for the District of Maryland; Special Agent in Charge James C. Harris of Homeland Security Investigations (“HSI”) Baltimore; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) Baltimore Field Division; and Special Agent in Charge Christopher Dillard of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (“DCIS”) - Mid-Atlantic Field Office.
According to the evidence presented at trial, from at least November 2017 through July 19, 2019, Fonguh and his co-defendants conspired with each other and with others to export firearms, ammunition and other military typed items from the United States to Nigeria. Specifically, the evidence at trial established that Fonguh and his co-conspirators secreted 38 firearms, 28 of which had the obliterated serial numbers in a shipping container that they sent out of the Port of Baltimore in January of 2019. The guns included sniper rifles, SKS assault rifles (some with bayonets), other rifles and several handguns. There were 44 high-capacity magazines, two rifle scopes and over 35,000 rounds of ammunition.
As detailed in trial testimony, Fonguh and his co-conspirators contributed funds for the purchase of firearms, ammunition, reloading materials and other equipment for shipping overseas to separatists fighting against the Government of Cameroon. According to their plea agreements, co-defendant Tamufor St. Michael, Roger Akem and others purchased the ammunition, firearms, and other military-type items, both online in in person. The evidence proved that Fonguh and his co-conspirators concealed the firearms, ammunition, rifle scopes, and other items in duffle bags and heavily wrapped packages inside sealed compressor units, placing those items into a shipping container destined for Nigeria. Fonguh and his co-conspirators communicated about their efforts and plans to ship weapons and ammunitions using an on-line encrypted messaging application and code words in order to conceal their activities.
Tamufor St. Michael, age 42, of Rosedale, Maryland, Akem, and three co-conspirators pleaded guilty to their roles in the conspiracy and were sentenced to between two years and 46 months in federal prison. A ninth co-conspirator also pleaded guilty and is awaiting sentencing.
United States Attorney Erek L. Barron commended HSI, the ATF and DCIS for their work in the investigation. Mr. Barron recognized the U.S. Department of Commerce, Office of Export Enforcement; the U.S. Department of State, Diplomatic Security Service; the Naval Criminal Investigative Service; and the U.S. Postal Inspection Service for their contributions to the investigation. U.S. Attorney Barron thanked Assistant U.S. Attorney Kathleen O. Gavin, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/community-outreach.
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Man Sentenced to Federal Prison for Possessing MethamphetamineRead the Press Release
A man who possessed methamphetamine he was intending to distribute was sentenced today to 10 years in federal prison.
Jose Guadalupe Angulo, age 43, from Minneapolis, Minnesota, received the prison term after a February 2, 2023 guilty plea to one count of possession with intent to distribute a controlled substance.
In a plea agreement, Angulo admitted that on December 8, 2016, he was a passenger in a vehicle traveling through Woodbury County, Iowa. After law enforcement stopped the vehicle, he was found in possession of 7983 grams of methamphetamine he had obtained in California and was intending to redistribute in Minnesota.
After he was released following federal arrest, Angulo absconded from pretrial supervision and did not appear for his subsequent court hearings. He fled to Mexico until he was arrested in spring of 2022 as he crossed the border back into the United States.
Angulo was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Angulo was sentenced to 120 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Angulo is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 16-CR-4102.
Milwaukee Man Sentenced to Ten Years in Federal Prison for Armed CarjackingRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on May 24, 2023, Jerome O. Smith (27) of Milwaukee, Wisconsin, was sentenced to 120 months in federal prison related to a carjacking that took place in Milwaukee in May 2022.
According to court records, on May 8, 2022, Smith lured his victim to an apartment building in Milwaukee. When the victim arrived, Smith held a gun to his head and stole his jewelry, wallet, watch, and car keys. Smith then fled in the victim’s car. After being charged in federal court, Smith entered guilty pleas to one count of carjacking, in violation of Title 18, United States Code, Section 2119, and one count of using a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c).
At sentencing, United States District Court Brett H. Ludwig noted that Smith’s crime was among the most serious crimes prosecuted in federal court. Judge Ludwig discussed the violent nature of the crime and the trauma it caused the victim; he concluded that the crime warranted a significant period of incarceration.
This case was investigated by the FBI’s Milwaukee Area Violent Crimes Task Force. It was prosecuted by Assistant United States Attorneys Julie F. Stewart and Benjamin P. Taibleson.
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MEDIA ADVISORY: U.S. Attorney Will Thompson Announces ATF, AHIDTA Gun Crime Mobile Unit to Deploy in Raleigh and Kanawha Counties on Tuesday, May 30, 2023Read the Press Release
CHARLESTON, W.Va. – United States Attorney Will Thompson will join officials with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Appalachia High Intensity Drug Trafficking Area (HIDTA) next week to provide high-tech assistance targeting gun violence to law enforcement agencies throughout the Southern District of West Virginia.
An ATF National Integrated Ballistic Information Network (NIBIN) mobile unit, operated in partnership with Appalachia HIDTA, will deploy on Tuesday, May 30, 2023, to the Raleigh County Sheriff’s Office in Beckley and the West Virginia State Police Academy in Dunbar, to conduct training for local law enforcement and provide investigative support by analyzing ballistic evidence from gun crimes. The training will aid the ongoing support that NIBIN will provide law enforcement throughout the district.
NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. ATF maintains and operates NIBIN's infrastructure at no charge to law enforcement partners.
Thompson, ATF Special Agent in Charge Shawn Morrow of the Louisville Division, which includes West Virginia, and Appalachia HIDTA Executive Director Vic Brown will hold a press conference with law enforcement officials at each location. A tour and demonstration of the NIBIN mobile unit will follow each press conference.
WHAT: NIBIN mobile unit press conference, tour and demonstration events
WHEN: Tuesday, May 30, 2023, at 11 a.m. and 2:30 p.m.
WHERE:
- 11 a.m.: Raleigh County Sheriff’s Office, 308 Ned Payne Drive, Beckley
- 2:30 p.m.: West Virginia State Police Academy, 135 Academy Drive, Dunbar
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia.
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Kansas Man Admits to Creating Child PornRead the Press Release
KANSAS CITY, KAN. – A Kansas man was sentenced to 262 months in prison for creating pornographic images of children.
In February 2023, Marquis Williams, 31, of Shawnee pleaded guilty to two counts of sexual exploitation of a child.
According to court documents in May 2021, the National Center for Missing and Exploited Children sent information to the Shawnee Police Department about possible child pornography or solicitations over the Internet. The Shawnee Police Department is a partner in the Kansas Internet Crimes Against Children Task Force (ICAC). The tip stated 230 child pornography images had been uploaded into a Dropbox account.
An investigation led to Marquis Williams, and with a search warrant for his residence, officers retrieved a cell phone that included 550 images of suspected child pornography. Some of the images were of Williams molesting two children under the age of 12. Williams admitted to investigators that the Dropbox account was his and admitted to the sexual assaulting the children.
“The United States Secret Service is proud of the effective partnerships it maintains with the Shawnee Police Department, the National Center for Missing and Exploited Children, and the United States Attorney’s Office, whose tireless efforts were instrumental in seeing justice served in this case,” said Kansas City Field Office Special Agent in Charge Brandon Bridgeforth. “We can think of no greater outcome than this sentence in protecting our children from predators such as Marquis Williams.”
The Shawnee Police Department, the U.S. Secret Service, and the Kansas Internet Crimes Against Children Task Force investigated the case.
Assistant U.S. Attorney Faiza Alhambra prosecuted the case.
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Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on May 25 was:
Kellen Kantrell Norman, 19, of Polson, on charges of possession with intent to distribute cocaine, distribution of cocaine, possession of a firearm in furtherance of a drug trafficking crime and possession of an unregistered firearm. If convicted of the most serious crime, Norman faces a mandatory minimum of five years to 40 years in prison, a $5 million fine and four years of supervised release on the drug possession crime and a mandatory minimum of five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the crime of possessing a firearm in furtherance of drug trafficking. Norman was released pending further proceedings. The Missoula High Intensity Drug Trafficking Area Task Force and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 23-27.
Appearing on May 22 was:
Darcel Portra Saunders, 65, of Bozeman, on charges of bank fraud, wire fraud and false statement to lending institution. If convicted of the most serious crime, Saunders faces a maximum of 30 years in prison, a $1 million fine and five years of supervised release. Saunders was released pending further proceedings. The FBI and IRS Criminal Investigation conducted the investigation. PACER case reference. 23-2.
Appearing in Great Falls before Chief U.S. District Judge Brian M. Morris and pleading not guilty on May 25 was:
Matthew Martin Brockie, 41, of Harlem, on charges of abusive sexual contact of a child. If convicted of the most serious crime, Brockie faces a maximum of life in prison, a $250,000 fine and five years to life of supervised release. Brockie was detained pending further proceedings. The FBI and Fort Belknap Law Enforcement investigated the case. PACER case reference. 23-19.
Appearing on May 23 before U.S. Magistrate Judge John T. Johnston was:
Carlos Mauricio Manrique-Frias, 27, of Mexico, on charges of transportation of child pornography, possession of child pornography and illegal entry into the United States. If convicted of the most serious crime, Manrique-Frias faces a mandatory minimum of five years to 20 years in prison, a $250,000 fine and five years to life of supervised release. Manrique-Frias was detained pending further proceedings. Homeland Security Investigations and U.S. Customs and Border Protection investigated the case. PACER case reference. 23-50.
Nicole Lynn Hicks, 36, a transient, on charges of robbery, assault with intent to commit a felony and intimidation. If convicted of the most serious crime, Hicks faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Hicks was detained pending further proceedings. The FBI and Fort Belknap Law Enforcement investigated the case. PACER case reference. 23-25.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on May 25 was:
Patrick Lee Tellez, 49, of Billings, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Tellez faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Tellez was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Montana Highway Patrol investigated the case. PACER case reference. 23-65.
Jarod Vahre Millar, 39, of Billings, on charges of possession with intent to distribute meth. If convicted of the most serious crime, Millar faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Millar was detained pending further proceedings. The Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. PACER case reference. 23-62.
Jeremy Ray Fisher, 36, of Billings, and James Kendall Wiles, 41, a transient, on charges of bank fraud and aggravated identity theft. Wiles also is charged with prohibited person in possession of a firearm and possession of a stolen firearm. If convicted of the most serious crime, Fisher and Wiles faces a maximum of 30 years in prison, a $1 million fine and five years of supervised release on the bank fraud crime and a mandatory minimum two years in prison, consecutive to any other sentence, on the aggravated identity theft crime. Fisher and Wiles were detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Billings Police Department investigated the case. PACER case reference. 23-60.
Nicholas Steven Capella, 38, of Laurel, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Capella faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Capella was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Billings Police Department investigated the case. PACER case reference. 23-59.
Deana Louann Thomas, 41, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Thomas faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Thomas was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Marshals Service, Montana Division of Criminal Investigation and Montana Probation and Parole investigated the case. PACER case reference. 23-51.
Appearing on May 24 was:
Benjamin Carl Tedlund, 31, of Billings, on charges of prohibited person in possession of a firearm and ammunition and possession of a stolen firearm. If convicted of the most serious crime, Tedlund faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Tedlund was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Billings Police Department investigated the case. PACER case reference. 23-50.
Gregory Shawn Sanchez, 58, of Lame Deer, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and distribution of meth. If convicted of the most serious crime, Sanchez faces a mandatory minimum of five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Sanchez was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-117.
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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Illegal Agents of the PRC Government Charged for PRC-Directed Bribery SchemeRead the Press Release
A federal court in the Southern District of New York today unsealed a complaint charging two individuals with acting and conspiring to act in the United States as unregistered agents of the People’s Republic of China (PRC), conspiring to bribe and bribing a public official, and conspiracy to commit money laundering.
According to the complaint, John Chen, aka Chen Jun, 70, a Los Angeles resident and former citizen of the PRC, and Lin Feng, a Los Angeles resident and PRC citizen, allegedly participated in a PRC Government-directed scheme targeting U.S.-based practitioners of Falun Gong — a spiritual practice banned in the PRC. Chen and Feng were arrested today in the Central District of California.
“The Chinese government has yet again attempted, and failed, to target critics of the PRC here in the United States,” said Attorney General Merrick B. Garland. “We allege the defendants in this case attempted to bribe someone they thought was an IRS agent in order to further the Chinese government’s campaign of transnational repression in the United States. But the individual they attempted to bribe was in fact an undercover law enforcement agent, and both defendants were arrested this morning. The Justice Department will continue to investigate, disrupt, and prosecute efforts by the PRC government to silence its critics and extend the reaches of its regime onto U.S. soil. We will never stop working to defend the rights to which every person in the United States is entitled.”
“The Department of Justice continues to expose the Chinese government’s brazen attempts to perpetrate transnational repression, this time through attempted bribery,” said Deputy Attorney General Lisa O. Monaco. “As highlighted by today’s arrests and charges of conspiracy, bribery, and money laundering, we will not tolerate efforts by the PRC or any foreign government to intimidate, harass, or undermine the rights and freedoms enjoyed by all who live in the United States.”
“China’s government has once again shown its disregard for the rule of law and international norms,” said FBI Director Christopher Wray. “The FBI will not tolerate CCP repression — its efforts to threaten, harass, and intimidate people — here in the United States. We will continue to confront the Chinese government’s efforts to violate our laws and repress the rights and freedoms of people in our country. No other nation poses as severe a threat to the democratic values of the United States as the government of the People’s Republic of China,” said FBI Deputy Director Paul Abbate. “The FBI will not stand by as the PRC attempts to weaponize our institutions and programs and attack the rights of those on U.S. soil. Any attempt to repress or harass individuals runs directly counter to the ideals our nation was founded upon, and it simply will not be tolerated. The FBI and our partners remain committed to confronting the illegal conduct of the PRC government that threatens our national security and freedom.”
“John Chen and Lin Feng allegedly waged a campaign at the behest of the Government of the People’s Republic of China to influence a U.S. Government official in order to further the PRC Government’s repression of practitioners of Falun Gong,” said U.S. Attorney Damian Williams for the Southern District of New York. “Efforts to manipulate and use the arms of the U.S. Government to carry out the PRC Government’s autocratic aims are as shocking as they are insidious. My office will work vigorously to protect against malign foreign influences.”
The complaint alleges that from at least approximately January 2023 to May 2023, Chen and Feng worked inside the United States at the direction of the PRC government, including an identified PRC government official (PRC Official-1), to further the PRC government’s campaign to repress and harass Falun Gong practitioners. The PRC Government has designated the Falun Gong as one of the “five poisons,” or one of the top five threats to its rule. In China, Falun Gong adherents face a range of repressive and punitive measures from the PRC government, including imprisonment and torture.
As part of the PRC government’s campaign against the Falun Gong, Chen and Feng allegedly engaged in a PRC government-directed scheme to manipulate the IRS’s Whistleblower Program in an effort to strip the tax-exempt status of an entity run and maintained by Falun Gong practitioners (Entity-1). After Chen filed a defective whistleblower complaint with the IRS (the Chen Whistleblower Complaint), Chen and Feng paid $5,000 in cash bribes, and promised to pay substantially more, to a purported IRS agent who was in fact an undercover officer (Agent-1), in exchange for Agent-1’s assistance in advancing the complaint. Neither Chen nor Feng notified the Attorney General that they were acting as agents of the PRC government in the United States.
In the course of the scheme, Chen, on a recorded call, explicitly noted that the purpose of paying these bribes, which were directed and funded by the PRC government, was to carry out the PRC government’s aim of “toppl[ing] . . . the Falun Gong.” During a call intercepted pursuant to a judicially authorized wiretap, Chen and Feng discussed receiving “direction” on the bribery scheme from PRC Official-1, deleting instructions received from PRC Official-1 in order to evade detection, and “alert[ing]” and “sound[ing] the alarm” to PRC Official-1 if Chen and Feng’s meetings to bribe Agent-1 did not go as planned. Chen and Feng also discussed that PRC Official-1 was the PRC Government official “in charge” of the bribery scheme targeting the Falun Gong.
As part of this scheme, Chen and Feng allegedly met with Agent-1 in Newburgh, New York, on May 14. During the meeting, Chen gave Agent-1 a $1,000 cash bribe as an initial, partial bribe payment. Chen further offered to pay Agent-1 a total of $50,000 for opening an audit of Entity-1, as well as 60% of any whistleblower award from the IRS if the Chen Whistleblower Complaint were successful. On May 18, Feng paid Agent-1 a $4,000 cash bribe at John F. Kennedy International Airport as an additional partial bribe payment in furtherance of the scheme. Chen allegedly obtained funding from the PRC government to make bribe payments during his trips to the PRC in the course of the scheme.
Chen and Feng are each charged with (1) one count of conspiring to act as an agent of a foreign government without notifying the Attorney General and to bribe a public official, which carries a maximum sentence of five years in prison; (2) one count of acting as an agent of a foreign government without notifying the Attorney General, which carries a maximum sentence of 10 years in prison; (3) one count of bribing a public official, which carries a maximum sentence of 15 years in prison; and (4) one count of conspiring to commit international money laundering, which carries a maximum sentence of 20 years in prison.
The FBI New York and Los Angeles Field Offices and Counterintelligence Division are investigating the case with valuable assistance provided by the Treasury Inspector General for Tax Administration (TIGTA).
Assistant U.S. Attorneys Shiva H. Logarajah, Qais Ghafary, Michael D. Lockard, and Kathryn Wheelock for the Southern District of New York and Trial Attorney Christina A. Clark of the Counterintelligence and Export Control Section are prosecuting the case.
The charges in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Illegal Agents of the PRC Government Charged for PRC-Directed Bribery SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Merrick B. Garland, the Attorney General of the United States, Lisa O. Monaco, the Deputy Attorney General, Matthew G. Olsen, the Assistant Attorney General for National Security, Christopher A. Wray, the Director of the Federal Bureau of Investigation (“FBI”), Paul Abbate, the Deputy Director of the FBI, Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the FBI, Donald Alway, the Assistant Director in Charge of the Los Angeles Field Office of the FBI, and J. Russell George, the Treasury Inspector General for Tax Administration (“TIGTA”), announced today the unsealing of a Complaint charging JOHN CHEN, a/k/a “Chen Jun,” a U.S. citizen and former citizen of the People’s Republic of China (“PRC”), and LIN FENG, a PRC citizen, with acting and conspiring to act in the United States as unregistered agents of the PRC Government, conspiring to bribe and bribing a public official, and conspiracy to commit money laundering. The charges in the Complaint arise from CHEN and FENG’s alleged participation in a PRC Government-directed scheme targeting U.S.-based practitioners of Falun Gong — a spiritual practice banned in the PRC. CHEN and FENG were arrested today in the Central District of California and will make an initial appearance later today before Chief U.S. Magistrate Judge Pedro V. Castillo.
U.S. Attorney Damian Williams said: “John Chen and Lin Feng allegedly waged a campaign at the behest of the Government of the People’s Republic of China to influence a U.S. Government official in order to further the PRC Government’s repression of practitioners of Falun Gong. Efforts to manipulate and use the arms of the U.S. Government to carry out the PRC Government’s autocratic aims are as shocking as they are insidious. My Office will work vigorously to protect against malign foreign influences.”
Attorney General Merrick B. Garland said: “The Chinese government has yet again attempted, and failed, to target critics of the PRC here in the United States. We allege the defendants in this case attempted to bribe someone they thought was an IRS agent in order to further the Chinese government’s campaign of transnational repression in the United States. But the individual they attempted to bribe was in fact an undercover law enforcement agent, and both defendants were arrested this morning. The Justice Department will continue to investigate, disrupt, and prosecute efforts by the PRC government to silence its critics and extend the reaches of its regime onto U.S. soil. We will never stop working to defend the rights to which every person in the United States is entitled.”
Deputy Attorney General Lisa O. Monaco said: “The Department of Justice continues to expose the Chines government’s brazen attempts to perpetrate transnational repression, this time through attempted bribery. As highlighted by today’s arrests and charges of conspiracy, bribery, and money laundering, we will not tolerate efforts by the PRC or any foreign government to intimidate, harass, or undermine the rights and freedoms enjoyed by all who live in the United States.”
Assistant Attorney General Matthew G. Olsen said: “The Department of Justice continues to expose the Chinese government’s brazen attempts to perpetuate transnational repression, this time through attempted bribery. As highlighted by today’s arrests and charges of conspiracy, bribery, and money laundering, we will not tolerate efforts by the PRC or any foreign government to intimidate, harass, or undermine the rights and freedoms enjoyed by all who live in the United States.”
FBI Director Christopher A. Wray said: “China’s government has once again shown its disregard for the rule of law and international norms. The FBI will not tolerate CCP repression – its efforts to threaten, harass, and intimidate people – here in the United States. We will continue to confront the Chinese government’s efforts to violate our laws and repress the rights and freedoms of people in our country.”
FBI Deputy Director Paul Abbate said: "No other nation poses as severe a threat to the democratic values of the United States as the government of the People's Republic of China. The FBI will not stand by as the PRC attempts to weaponize our institutions and programs and attack the rights of those on U.S. soil. Any attempt to repress or harass individuals runs directly counter to the ideals our nation was founded upon, and it simply will not be tolerated. The FBI and our partners remain committed to confronting the illegal conduct of the PRC government that threatens our national security and freedom."
FBI New York Assistant Director in Charge Michael J. Driscoll said: “We allege Chen and Feng, acting on behalf of the Chinese government, attempted to execute a scheme to manipulate a United States government official to repress individuals opposed to the People’s Republic of China. This appears to be another example of the Chinese government’s willingness to disregard the laws and freedoms of the United States as they attempt to harm anyone with views they oppose. The FBI will continue to be resolute in protecting people from repressive actions.”
FBI Los Angeles Assistant Director in Charge Donald Alway said: “The alleged activity is antithetical to fundamental American values, and those who practice transnational oppression on behalf of the Chinese government must be held accountable. The FBI will continue to invest resources to protect the rights of Americans and those who come to live, work, and study in the United States.”
TIGTA Inspector General J. Russell George said: “The attempt to undermine the integrity of our tax administration system is disturbing. The individuals who thought they could do so have learned a hard lesson. The Treasury Inspector General for Tax Administration is committed to protecting the Nation’s tax system. I want to thank our law enforcement partners and the U.S. Attorney’s Office for their efforts.”
According to the allegations contained in the Complaint unsealed today in White Plains federal court:[1]
From at least approximately January 2023 to May 2023, CHEN and FENG worked inside the United States at the direction of the PRC Government, including an identified PRC Government official (“PRC Official-1”), to further the PRC Government’s campaign to repress and harass Falun Gong practitioners. The PRC Government has designated the Falun Gong as one of the “Five Poisons,” or one of the top five threats to its rule. In China, Falun Gong adherents face a range of repressive and punitive measures from the PRC Government, including imprisonment.
As part of the PRC Government’s campaign against the Falun Gong, CHEN and FENG allegedly engaged in a PRC Government-directed scheme to manipulate the Internal Revenue Service’s (“IRS”) Whistleblower Program in an effort to strip the tax-exempt status of an entity run and maintained by Falun Gong practitioners (“Entity-1”). After CHEN filed a defective whistleblower complaint with the IRS (the “Chen Whistleblower Complaint”), CHEN and FENG paid $5,000 in cash bribes, and promised to pay substantially more, to a purported IRS agent who was in fact an undercover officer (“Agent-1”) in exchange for Agent-1’s assistance in advancing the complaint. Neither CHEN nor FENG notified the Attorney General that they were acting as agents of the PRC Government in the United States.
In the course of the scheme, CHEN, on a recorded call, explicitly noted that the purpose of paying these bribes, which were directed and funded by the PRC Government, was to carry out the PRC Government’s aim of “toppl[ing] . . . the Falun Gong.” During a call intercepted pursuant to a judicially authorized wiretap, CHEN and FENG discussed receiving “direction” on the bribery scheme from PRC Official-1, deleting instructions received from PRC Official-1 in order to evade detection, and “alert[ing]” and “sound[ing] the alarm” to PRC Official-1 if CHEN and FENG’s meetings to bribe Agent-1 did not go as planned. CHEN and FENG also discussed that PRC Official-1 was the PRC Government official “in charge” of the bribery scheme targeting the Falun Gong.
As part of this scheme, CHEN and FENG allegedly met with Agent-1 in Newburgh, New York, on May 14, 2023. During the meeting, CHEN gave Agent-1 a $1,000 cash bribe as an initial, partial bribe payment. CHEN further offered to pay Agent-1 a total of $50,000 for opening an audit of Entity-1, as well as 60% of any whistleblower award from the IRS if the Chen Whistleblower Complaint were successful. On May 18, 2023, FENG paid Agent-1 a $4,000 cash bribe at John F. Kennedy International Airport as an additional partial bribe payment in furtherance of the scheme.
* * *
CHEN, 70, of the PRC and Los Angeles, California, and FENG, 43, a PRC citizen and resident of Los Angeles, California, are each charged with one count of conspiring to act as an agent of a foreign government without notifying the Attorney General and to bribe a public official, which carries a maximum sentence of five years in prison; one count of acting as an agent of a foreign government without notifying the Attorney General, which carries a maximum sentence of 10 years in prison; one count of bribing a public official, which carries a maximum sentence of 15 years in prison; and one count of conspiring to commit international money laundering, which carries a maximum sentence of 20 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding investigative work of the FBI’s New York and Los Angeles Field Offices and Counterintelligence Division and TIGTA. Mr. Williams thanked the Department of Justice’s National Security Division, Counterintelligence and Export Control Section and the U.S. Attorney’s Office for the Central District of California for their assistance.
The case is being handled by the Office’s White Plains Division and National Security and International Narcotics Unit. Assistant U.S. Attorneys Shiva H. Logarajah, Qais Ghafary, Michael D. Lockard, and Kathryn Wheelock are in charge of the case, with assistance from Trial Attorney Christina Clark of the Counterintelligence and Export Control Section.
The charges in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
u.s._v._chen_and_feng_complaint.pdfHollywood Man Arrested on Indictment Alleging He Fraudulently Sought over $65 Million in COVID-19 Employment Tax CreditsRead the Press Release
LOS ANGELES – A Hollywood man has been arrested and is scheduled to be arraigned this afternoon on federal charges alleging he sought more than $65 million from the IRS by falsely claiming on tax returns that his nonexistent farming business was entitled to COVID-19-related tax credits.
Kevin J. Gregory, 55, who is charged in a federal grand jury indictment with 17 counts of making false claims to the IRS, was arrested Thursday morning by special agents with IRS Criminal Investigation.
In response to the COVID-19 pandemic and its economic impact, Congress authorized an employee retention tax credit that a small business could use to reduce the employment tax it owed to the IRS, also known as the “employee retention credit.”
To qualify, the business had to have been in operation in 2020 and to have experienced at least a partial suspension of its operations because of a government order related to COVID-19 (for example, an order limiting commerce, group meetings or travel) or a significant decline in profits. The credit was an amount equal to a set percentage of the wages that the business paid to its employees during the relevant time period, subject to a maximum amount.
Congress also authorized the IRS to give a credit against employment taxes to reimburse businesses for the wages paid to employees who were on sick or family leave and could not work because of COVID-19. This “paid sick and family leave credit” was equal to the wages the business paid the employees during the sick or family leave, also subject to a maximum amount.
According to the indictment that was returned on May 11 and unsealed today, from November 2020 to April 2022, Gregory made false claims to the IRS for the payment of nearly $65.4 million in tax refunds for a purported Beverly Hills-based farming-and-transportation company named Elijah USA Farm Holdings.
The IRS issued a portion of the refunds Gregory claimed, and Gregory allegedly used that portion – more than $2.7 million – for personal expenses.
An indictment contains allegations that a defendant committed a crime. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, Gregory would face a statutory maximum sentence of five years in federal prison for each false claims charge.
IRS Criminal Investigation is investigating this matter.
Assistant United States Attorneys Valerie L. Makarewicz and Gregory D. Bernstein of the Major Frauds Section are prosecuting this case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Hilton Man Arrested for Possession of Child PornographyRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that Isolino S. Presutti, 36, of Hilton, NY, was arrested and charged by criminal complaint with possession of child pornography. the charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that according to the complaint, on March 2, 2023, the Monroe County Sheriff’s Office received a report that Presutti possessed child pornography on a desktop computer. Subsequently, investigators executed search warrants on five digital devices belonging to Presutti. They recovered 4,668 and 27 videos of child pornography. Some of the images included prepubescent minor and depictions of violence against children.
Presutti made an initial appearance before U.S. Magistrate Judge Marian W. Payson and was released on conditions.
The complaint is the result of an investigation by the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter and the Federal Bureau of Investigation Child Exploitation Human Trafficking Task Force, under the direction of Special Agent-in-Charge Matthew Miraglia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Heavener Resident Sentenced for Violent Assault with A Firearm in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Francisco Perez, age 30, of Heavener, Oklahoma, was sentenced to 120 months in prison for Use, Carry, Brandish and Discharge of a Firearm During and in Relation to a Crime of Violence.
The charges arose from investigations by the Heavener Police Department and the Federal Bureau of Investigation.
On May 16, 2023, Francisco Perez pleaded guilty to one count of Use, Carry, Brandish and Discharge of a Firearm During and in Relation to a Crime of Violence.
On June 16, 2021, Perez shot a person in Heavener with a semi-automatic pistol. The victim sustained serious but non-fatal injuries. Perez then drove to the Heavener Police Station, turned himself in, and confessed to the shooting.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted these cases because the defendant is a member of a federally recognized Indian tribe and the crimes occurred in Le Flore County, within the boundaries of the Choctaw Nation Reservation and the Eastern District of Oklahoma.
The Honorable Charles B. Goodwin, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, sitting by appointment, presided over the hearings in Oklahoma City. Perez 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 Jordan Howanitz represented the United States at sentencing.
Guatemalan Man Sentenced to 21 Months for Selling Fraudulent Identity DocumentsRead the Press Release
United States Attorney Steven Russell announced that Werner Monterroso-Monterroso, 26, of Guatemala, was sentenced on Wednesday, May 24, 2023, in federal court in Omaha, Nebraska, for unlawful transfer of a document or authentication feature. United States District Judge Brian C. Buescher sentenced Monterroso-Monterroso to imprisonment for 21 months to be followed by a 3-year term of supervised release. Monterroso-Monterroso will be removed (deported) by immigration authorities after he completes his term of imprisonment.
On April 22, 2022, investigators made a purchase of fraudulent documents (a Social Security card, California Identification Card, and a Texas birth certificate) in exchange for $1,200. Investigators made a second purchase of fraudulent documents on June 8, 2022, and received a Nebraska Identification Card, a Social Security card, and a Texas birth certificate in exchange for $1,200. Such fraudulent documents are frequently sought by job applicants as they are required to verify the identity and employment authorization of individuals hired for employment in the United States. The Social Security cards were confirmed to have valid numbers and names but are counterfeit.
Following the purchases, investigators obtained a warrant to search Monterroso-Monterroso’s residence in Schuyler, Nebraska. The warrant was executed on August 24, 2022, yielding 87 counterfeit documents (in addition to the 6 obtained through the document purchases), many of which appeared to have been issued by or under the authority of the United States.
This case was investigated by Homeland Security Investigations and the Nebraska Department of Motor Vehicles Fraud Unit.
Grand Rapids Man Sentenced to 20 Years in Federal Prison for Distributing Fentanyl That Resulted in A User’s DeathRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that U.S. District Judge Paul L. Maloney sentenced Tommy Terrell Mims, 52, of Grand Rapids, to 240 months in prison for distributing fentanyl that resulted in the death of a Kent County man, H.C., in August 2020. When Mims is released from prison, he will be on supervised release for 25 years.
“Fentanyl is deadly and continues to devastate our families and communities. This drug is so dangerous that even a trace amount can leave a user dead within minutes,” said U.S. Attorney Totten. “Mr. Mims will now serve two decades in federal prison. The U.S. Attorney’s Office is committed to investigating and prosecuting these cases to ensure that drug dealers who peddle this poison and cause death are brought to justice.”
On August 8, 2020, officers with the Grand Rapids Police Department and emergency medical personnel responded to a 911 call reporting that H.C. was unconscious and not breathing. Investigators learned that the 911 caller and H.C. purchased and used “heroin” sold by Mims the night before. The “heroin” Mims sold was actually fentanyl. The 911 caller survived, but ultimately H.C. died from fentanyl toxicity. Mims pleaded guilty to distribution of fentanyl resulting in the death of H.C. pursuant to a plea agreement with the U.S. Attorney’s Office on February 10, 2023.
“The lengthy sentence imposed on Mr. Mims reflects the seriousness of the charge to which he pled guilty,” said Orville O. Greene, Special Agent in Charge of Detroit Field Division of the Drug Enforcement Administration. “Mims actively contributed to the drug poisoning and overdose epidemic ravaging our communities and our country. This sentence should serve as a warning to those who distribute deadly drugs and place personal gain over human lives, that you will be held accountable, and the consequences of your actions will be severe.”
“The Grand Rapids Police Department Vice Unit continues to work diligently with the U.S. Attorney’s Office and the DEA to investigate and prosecute anyone distributing fentanyl in the greater Grand Rapids area,” said Lieutenant Jon Wu of the Grand Rapids Police Department Vice Unit. “This investigation and sentence illustrate the seriousness of the threat of fentanyl to the community.“
The Grand Rapids Police Department Vice Unit and the Drug Enforcement Administration investigated this case, which was prosecuted by Assistant United States Attorney Dan McGraw.
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Grand Jury Indicts Cheektowaga Man on Charges of Production and Possession of Child PornographyRead the Press Release
BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned an indictment charging Dustin Coffelt, 33, of Cheektowaga, NY, with production and possession of child pornography. The charges carry a mandatory minimum penalty of 15 years in prison, a maximum of 30 years, and a $250,000 fine.
Assistant U.S. Attorney Maeve E. Huggins, who is handling the case, stated that according to the indictment and a previously filed complaint, in July 2022, the Depew Police Department received a report that Coffelt sexually abused a 13-year-old girl (minor victim). Subsequent investigation determined that the alleged abuse may have been ongoing for several years and included communication over various social media applications and text messaging. On July 29, 2022, investigators seized Coffelt’s cell phone. Numerous sexually explicit images of the minor victim, which constitute child pornography, were recovered from the phone.
Coffelt was arraigned before U.S. Magistrate Judge Michael J. Roemer and is being detained.
The indictment is the result of an investigation by the Depew Police Department, under the direction of Chief Jerome Miller, the Cheektowaga Police Department, under the direction of Chief Brian Gould, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Four Mexican Nationals Sentenced for Cocaine Trafficking and Firearm OffensesRead the Press Release
MIDLAND –Michael Robledo Guillen, 48, was sentenced today to 97 months in prison for cocaine trafficking and a firearm offense. She was the last of four Mexican nationals arrested by Odessa Police officers in December 2022 to be sentenced.
According to court documents, in December 2022, Guillen of Monterrey, Mexico; Ricardo Perez Flores, 37, of Veracruz, Mexico; Faustino Alvarez Mendoza, 22, of Michoacan, Mexico; and Ricardo Aguilar Villarreal, 37, of Monterrey, Mexico conspired to deliver one kilogram of cocaine from Dallas, Texas to Odessa, Texas. After Odessa Police Department officers stopped the truck the four defendants were in they recovered one kilogram of cocaine from the truck’s center console along with a stolen firearm. Officers recovered an additional loaded firearm from Mendoza’s waistband.
Earlier this month, Mendoza, Villarreal, and Flores were also each sentenced to 97 months in federal prison for both cocaine trafficking and firearm offenses.
“I would like to thank our law enforcement partners for disrupting the operations of these cocaine traffickers,” said U.S. Attorney Jaime Esparza. “These traffickers posed a clear threat to public safety as they were armed with loaded guns while transporting a significant amount of cocaine across the state of Texas.”
The Odessa Police Department investigated the case.
Assistant U.S. Attorney Joe Mahoney prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Former chief scientist for GTRI pleads guilty to conspiring to defraud Georgia Tech and the CIARead the Press Release
ATLANTA - James G. Maloney, who served as the Chief Scientist for the Georgia Tech Research Institute (GTRI), has pleaded guilty to conspiring to defraud Georgia Tech and the Central Intelligence Agency (CIA). Maloney’s conspirators, James J. Acree and James D. Fraley, III, pleaded guilty to the same charge in 2016.
“These defendants violated the trust placed in them by Georgia Tech and the CIA in allowing their judgment to be clouded by greed,” said U.S. Attorney Ryan K. Buchanan. “The seven-year delay in resolving Maloney’s case resulted from Maloney’s ploy to evade criminal liability by threatening to reveal classified information during the course of his trial in a failed attempt to force the government to dismiss the case. But as Maloney discovered, the government will not be bullied or threatened by a criminal defendant.”
“Maloney’s guilty plea should send a clear message to anyone seeking to abuse their positions for personal gain, the FBI will find you and hold you accountable”, said Keri Farley, Special Agent in Charge of FBI Atlanta. “Thanks to our extraordinary partnership with Georgia Tech, even with Maloney’s defense tactics he was unable to avoid the consequences of his crimes. He will now be sentenced with his coconspirators, closing out this lengthy case.”
According to U.S. Attorney Buchanan, the charges, and other information presented in court: From early 2007 through late 2013, Maloney, Acree, and Fraley engaged in a scheme to defraud Georgia Tech and the CIA. They are experts in electromagnetic analysis and measurements and were assigned to GTRI’s Advanced Concepts Laboratory (ACL), where they worked on projects funded by the United States Department of Defense, various intelligence agencies, and private industry.
PCard Fraud
As part of his duties and responsibilities at GTRI, Fraley had access to a Georgia Tech credit card known as a “PCard.” Fraley was supposed to use his PCard only to purchase materials and supplies for official Georgia Tech business. Neither Fraley nor anyone else was allowed to charge personal expenses on a PCard.
Maloney, Acree, and Fraley falsely led GTRI to believe that all of their PCard charges were for official business. In fact, Maloney, Acree, and Fraley charged approximately $200,000 in personal expenses on Fraley’s PCard, including, two four-wheelers and a trailer, two Sony 52-inch flat-screen televisions, Apple computers, iPads, OtterBox protective cases, iPods, Kindle E-readers, Leica and Nikon digital cameras, video cameras, a mini micro pinhole video camcorder pen, a night vision monocular, two pairs of binoculars, Bose headphones, a 3D printer, sports watches with heart-rate monitors, sunglasses, materials used to perform private consulting contracts, computer monitors and solar panels for a private hunting club, a personal video network for home use, and an uninterruptible power supply for a tennis ball machine. Maloney and Fraley also used Fraley’s PCard to pay for remodeling and maintenance expenses related to six rental properties they owned together in the name of a Georgia corporation called J’s Services, Inc.
Some of the fraudulent PCard charges and some of the remodeling and maintenance expenses for Maloney and Fraley’s rental properties were charged to a classified GTRI contract that was funded by the CIA.
Fraudulent Consulting Activity
In February 2007, Maloney and Acree were reprimanded by GTRI for engaging in outside consulting activity that violated Georgia Tech’s conflict-of-interest policy. Maloney and Acree sent a letter to their supervisor at GTRI, acknowledging that they had used facilities and equipment owned by Georgia Tech for their personal gain and benefit and promising that they would never do it again. But Maloney and Acree continued to engage in outside consulting activity that harmed Georgia Tech, and they were soon joined by Fraley.
Tec-Masters Inc.
From December 2007 through March 2013, while they were employed full-time by Georgia Tech, Maloney, Acree, and Fraley received approximately $500,000 from Picatinny Arsenal, SRA International, and the U.S. Air Force. They obtained those consulting contracts by using Acree’s former employer, Tec-Masters, Inc., as a billing pass-through. Tec-Masters, a defense contractor located in Huntsville, Alabama, performed no labor on any of the projects but merely facilitated the transfer of money from the customers to Maloney, Acree, and Fraley. Maloney, Acree, and Fraley falsely led those customers to believe that the work would be done by GTRI. They fostered this false impression by using their official GTRI telephone numbers and GTRI email addresses in their communications with customers. In addition, they met with customers at GTRI’s headquarters on the Georgia Tech campus and gave customers tours of GTRI’s labs and other facilities. Maloney called this “hiding in plain sight.”
Spectra Research, Inc.
From December 2010 through July 2013, Maloney and Fraley also moonlighted as consultants for Spectra Research, Inc., a defense contractor located in Dayton, Ohio. Spectra paid J’s Services $196,000 for this work. Maloney and Fraley directed Georgia Tech employees under their supervision at GTRI to help perform this consulting work for Spectra. Maloney and Fraley also directed those Georgia Tech employees to bill time for Spectra work to a classified CIA contract, even though that contract had nothing to do with Spectra.
In competing and billing for, and performing, their outside consulting work, Maloney, Acree, and Fraley violated Georgia Tech’s conflict-of-interest policy and code of business conduct; diverted customers and revenue away from Georgia Tech for their personal gain and benefit; and used Georgia Tech facilities and equipment for their personal gain and benefit.
Cover-up
During a routine audit in early 2013, Georgia Tech discovered problematic charges on Fraley’s PCard and scheduled a meeting with him. Maloney suggested to Acree and Fraley that they meet to “get our story straight.” Fraley, fearing that Maloney would seek to shift all the blame to him, recorded the cover-up meetings and provided those recordings to the FBI.
In their cover-up meetings, Maloney asked Acree and Fraley to help him “weave a story around” a fictitious set of facts designed to mislead Georgia Tech auditors. Maloney also suggested that they try to force Georgia Tech to shut down the audit by telling the auditors that the items charged to Fraley’s PCard were purchased for use on a classified CIA contract, and that the auditors did not need to know further details. That false narrative foreshadowed Maloney’s planned defense in the criminal case.
James G. Maloney, 57, of Marietta, Georgia, pleaded guilty on May 22, 2023, to conspiracy to commit mail and wire fraud. Sentencing for all three defendants will be scheduled at a later date, before Senior U.S. District Judge Richard W. Story.
This case is being investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorneys Russell Phillips and Stephen H. McClain, and Trial Attorney Emma D. Ellenrieder of the Department of Justice National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Federal Correctional Officer Pleads Guilty to Sexual Abuse of an InmateRead the Press Release
TALLAHASSEE, FLORIDA – Lenton Jerome Hatten, 54, of Tallahassee, Florida, plead guilty to a one count indictment charging him with sexual abuse of an individual in federal custody. Jason R. Coody, United States Attorney for the Northern District of Florida, announced the guilty plea.
Court documents reflect that between October 2021, and August 2022, Hatten engaged in repeated sexual acts with an inmate while employed as a sports specialist for the Bureau of Prisons at the Federal Correctional Institution in Tallahassee. Immediately after being reported, a forensic examination was conducted of the victim by a sexual assault nurse examiner. A mixed DNA profile was obtained, which confirmed the profile was 33 octillion (3.3 x 1028) times more likely to be from the victim and Hatten than the victim and an unknown, unrelated person.
At the time of the report, Hatten was on vacation leave and when made aware, he resigned his position. As such, Hatten had no further contact with inmates.
A sentencing hearing is scheduled for August 10, 2023, at 1:00 p.m., at the United States Courthouse in Tallahassee, Florida, before the Honorable United States Senior District Judge Robert L. Hinkle.
Hatten faces a maximum sentence of 15 years in federal prison, 5 years to Life on supervised release, and a maximum $250,000 fine.
The case was investigated by the Federal Bureau of Investigation and the Department of Justice Office of the Inspector General. The case is being prosecuted by Assistant United States Attorney James A. McCain.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Erie Resident Pleads Guilty to Firearms ChargesRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, pleaded guilty in federal court to charges of violating federal firearms laws, Acting United States Attorney Troy Rivetti announced today.
Dustin Robert Patterson, 30, pleaded guilty to both counts before United States District Judge Susan Paradise Baxter.
In connection with the guilty plea, the court was advised that in and around February 2022, Patterson possessed a firearm while being a convicted felon. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm. In addition, the firearm was possessed while Patterson was subject to a Protection From Abuse order.
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.
Judge Baxter scheduled sentencing for September 19, 2023 at 10:30 a.m. The law provides for a total sentence of 20 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The United States Marshal’s Service conducted the investigation that led to the prosecution of Patterson.
Ford County Man Convicted for the Second Time of Enticement of a MinorRead the Press Release
PEORIA, Ill. – Robert Shawn Anderson, 54, of the 300 block of Spruce Street in Paxton, Illinois, was found guilty, for the second time, yesterday of one count of enticement of a minor. The case was being tried for the second time after the Seventh Circuit Court of Appeals ruled that in the initial trial, Anderson should have been able to argue that law enforcement had entrapped him into trying to have sex with a person he thought was a 15-year-old girl.
Over two and a half days of trial, the government presented evidence to establish that Anderson arranged to meet an individual he believed to be a 15-year-old minor for sexual activity on the dating application MeetMe. The government also proved that law enforcement had not entrapped Anderson into his attempted sexual liaison with a child.
“Anderson’s conviction is evidence of the powerful results that can be achieved through state, local, and national law enforcement cooperation,” said United States Attorney Gregory Harris. “This outcome and operation reinforce our continued commitment to combat sexual predators who would prey upon children.”
“The cooperation of the Attorney General’s Office and the United States Attorney’s Office is critical to holding accountable individuals who would hurt children,” Illinois Attorney General Kwame Raoul said. “This verdict underscores the commitment of state and federal law enforcement to protect the children of Illinois.”
“The FBI knows all too well the risk children can face when communicating with strangers online,” said FBI Springfield Field Office Special Agent in Charge David Nanz. “And while our proactive measures demonstrate our commitment to stopping and holding accountable those who seek to sexually exploit children, we encourage parents to be equally proactive and remain aware of their child’s online activity.”
Anderson was arrested over Valentine’s Day weekend 2020 as part of a Federal Bureau of Investigation operation conducted in Kankakee County, Ill. The operation, dubbed Cupid’s Arrow, was conducted with the assistance of the Bradley Police Department, the Illinois Attorney General’s Office Internet Crimes Against Children Task Force, the Kankakee County Sheriff’s Office, and the Kankakee Area Metropolitan Enforcement Group. Special Assistant U.S. Attorney Shannon O’Brien who is also Deputy Bureau Chief for the Illinois Attorney General’s Office, and Assistant U.S. Attorney Douglas McMeyer represented the government at the trial before U.S. District Judge Michael Mihm.
Sentencing for Anderson has been scheduled on July 10, 2023 before Judge Mihm at the U.S. Courthouse in Urbana, Illinois. He faces statutory penalties of 10 years to life imprisonment, followed by 5 years to life of supervised release and must register as a sex offender. He remains in the custody of the U.S. Marshals Service.
The case against Anderson was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.