Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
22 June 2023
U.S. Attorney Resolves Employment Discrimination Suit with the Town/Village of Harrison, New York, and Its Fire Department, Requiring Defendants to Adopt Wide-Ranging Policy Changes and Pay $425,000Read the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Kristen Clarke, the Assistant Attorney General of the Justice Department’s Civil Rights Division, announced that the United States has settled a federal civil rights lawsuit alleging that the TOWN/VILLAGE OF HARRISON (“HARRISON”) and its Fire Department (the “HARRISON FIRE DEPARTMENT”) discriminated against a female firefighter on the basis of her sex and retaliated against her in violation of Title VII of the Civil Rights Act of 1964. The Consent Decree was approved yesterday by U.S. District Judge Cathy Seibel.
U.S. Attorney Damian Williams said: “As part of the settlement, the Town of Harrison has admitted that it never took any disciplinary action against a male firefighter who ultimately pled guilty to harassing a female firefighter. That type of response to illegal workplace harassment is abhorrent and undermines citizens’ faith in their local government. Pursuant to the Consent Decree, the Town of Harrison is required to implement comprehensive policy changes. I want to commend the bravery of Angela Bommarito, who fought back against discrimination and made this Consent Decree possible. This Office will always stand with victims of violations of our nation’s civil rights laws.”
Assistant Attorney General Kristen Clarke said: “All employees deserve a workplace free from sexual harassment and must be able to report harassment without fear of retaliation by employers. The Justice Department will continue to vigorously pursue all cases to ensure that all workers are guaranteed the rights and protections promised by our Nation’s laws.”
As part of the Consent Decree, HARRISON and the HARRISON FIRE DEPARTMENT made factual admissions, including the following:
- In May 2015, the HARRISON FIRE DEPARTMENT had no active female firefighters. In June 2015, Angela Bommarito joined the HARRISON FIRE DEPARTMENT, together with one other female volunteer firefighter.
- HARRISON and the HARRISON FIRE DEPARTMENT ultimately became aware that after Bommarito ended a relationship with Henry Mohr, a senior firefighter, Mohr repeatedly called her, followed her (including while driving a Fire Department official vehicle), and repeatedly drove by her house. In addition, Bommarito complained to certain members of the HARRISON FIRE DEPARTMENT leadership about Mohr’s harassment.
- In January 2016, Bommarito went to the HARRISON Police Department and filed a report against Mohr. HARRISON’S then-Police Chief met with Mohr and told him that he wanted “to make sure this whole thing dies” and get Mohr “out of this whole situation.” The Police Chief said to Mohr that Bommarito’s presence at the firehouse was a “temptation,” which was “hard to resist sometimes.”
- The then-Police Chief also met with Bommarito. During their meeting, the Police Chief suggested that he could arrest Bommarito for her presentation of what the Police Chief claimed was incomplete and false information to the Police Department regarding her relationship with Mohr. The Police Chief prepared a resignation letter for Bommarito, which stated that she would resign from the Fire Department. Bommarito signed the resignation letter.
- HARRISON and the HARRISON FIRE DEPARTMENT never took any disciplinary action against Mohr. In May 2016, Mohr was arrested for his harassment of Bommarito. Later that year, Mohr pled guilty to harassment in the second degree, in violation of New York Penal Law 240.26.03.
Under the Consent Decree approved by the Court, HARRISON and the HARRISON FIRE DEPARTMENT must maintain an anti-discrimination policy that includes prohibitions on discrimination, sexual harassment, and retaliation, as well as provisions that require objective fact-finding investigations into complaints of policy violations. HARRISON and its FIRE DEPARTMENT must also provide training to relevant personnel on prohibited employment practices and corresponding investigation procedures. The Consent Decree further requires HARRISON and the HARRISON FIRE DEPARTMENT to provide information to the United States regarding complaints and investigations relating to charges of discrimination while the Consent Decree remains in effect. The Consent Decree also requires that HARRISON maintain recent improvements to the HARRISON FIRE DEPARTMENT firehouse, which have provided additional facilities and features for female firefighters. Finally, the Consent Decree requires the HARRISON FIRE DEPARTMENT and HARRISON Police Department to maintain policies relating to use of HARRISON FIRE DEPARTMENT vehicles and limitations on the disclosure of non-public sensitive information obtained by HARRISON Police Department employees in connection with criminal investigations.
As part of the resolution, the Defendants have also agreed to pay a total of $425,000, which will consist of an up-front cash payment to Bommarito and a sum to fund the purchase of an annuity contract to make future periodic payments to Bommarito as well as payments to her attorney for reasonable attorneys’ fees. This is one of the largest payments by a local government in an employment discrimination case brought by the United States on behalf of a single individual.
* * *
Mr. Williams thanked the Equal Employment Opportunity Commission (“EEOC”) for its initial investigation of Bommarito’s charge filed with the EEOC.
This case is being handled by the Office’s Civil Rights Unit in the Civil Division. Assistant U.S. Attorney Charles S. Jacob is in charge of the case.
Harrison Consent DecreeU.S. Attorney Ihlenfeld named chair of Washington-Baltimore HIDTARead the Press Release
WHEELING, WEST VIRGINIA - United States Attorney William Ihlenfeld has been named as chairperson of the Washington-Baltimore High Intensity Drug Trafficking Area (W/B HIDTA) Executive Board and will lead efforts in the region to combat the trafficking of fentanyl, methamphetamine, and other illicit substances.
The W/B HIDTA supports 43 drug task forces from Maryland, Virginia, the District of Columbia, and West Virginia. In 2022, these units collectively seized nearly nine thousand kilograms of drugs with a wholesale value of $107.5 million and disrupted or dismantled 134 criminal organizations. The W/B HIDTA also supports substance use prevention and treatment initiatives.
“I’m honored to serve as chair of this important group and I’ll use the opportunity to strengthen the response in the eastern United States to the threat posed by Mexican drug cartels,” said U.S. Attorney Ihlenfeld.
Ihlenfeld will lead an executive board that is responsible for assessing the drug trafficking threats found in the region; developing a strategy to address the threats; designing initiatives to implement the strategy; and proposing funding needed to carry out the initiatives.
W/B HIDTA Executive Director Tom Carr has worked with Ihlenfeld for over a decade. They regularly discuss strategies how best to respond to the dangers posed by illicit drugs.
“The Washington-Baltimore HIDTA is fortunate to have an experienced federal prosecutor like U.S. Attorney Ihlenfeld to lead our executive board and to help identify solutions to the problems caused by drug trafficking in the region,” said Director Carr.
The Eastern Panhandle Drug & Violent Crimes Task Force and The Martinsburg Initiative - an evidence-based prevention program that focuses on aiding children in Berkeley County Schools – are both supported by W/B HIDTA funding.
Ihlenfeld previously served as Vice Chairperson and Budget Chair for the W/B HIDTA. He also has served as chairperson of the Appalachia HIDTA.
U.S. Attorney Duane A. Evans Joins Law Enforcement, Stakeholders to Combat Antisemitism and Hate CrimesRead the Press Release
NEW ORLEANS - On June 21, 2023, the U.S. Attorney’s Office for the Eastern District of Louisiana (USAO, EDLA), the Federal Bureau of Investigation (FBI), New Orleans Field Office, the New Orleans Police Department (NOPD) and the Anti-Defamation League, South Central Region (ADL) co-hosted an event at the Jewish Community Center entitled “United Against Hate: Identifying, Reporting, and Preventing Hate Crimes” to discuss the rate of antisemitism both nationally and locally. UAH is a national federal initiative initiated by Attorney General Merrick B. Garland that encourages all 94 U.S. Attorneys’ Offices nation-wide to host local outreach forums to educate citizens about hate crimes. Yesterday’s meeting was the first of several planned outreach and educational events to be conducted by the U.S. Attorney’s Office as part of the Justice Department’s “United Against Hate” (UAH) outreach initiative, a nationwide program launched in September, 2022 to combat the rise in hate crimes.
The local event at the Jewish Community Center featured presentations by Assistant U.S. Attorneys with experience in prosecuting hate crimes and civil rights violations, and representatives with the FBI-New Orleans, the New Orleans Police Department, and the Anti-Defamation League. These presentations covered such topics as the definition of hate crimes; the distinction between hate crimes and hate incidents; and accessing hate crimes prevention resources.
“Crimes committed against individuals motivated by their perceived or actual race, color, religion, national origin, sexual orientation, gender, gender identity, or disability are heinous acts that denigrate the dignity of victims”, said U.S. Attorney Evans. “DOJ’s UAH initiative provides the vital information needed for the public to not only identify and report hate crimes in their community but also establish and nurture positive working relationships between the greater community and law enforcement.”
U.S. Attorney Evans thanks ASAC Hannah Buch and, SSA Johnson from the FBI-New Orleans Field Office; the Anti-Defamation League-South Central Region Regional Director Lindsay Friedman, Criminal Division Chief Tracey Knight, Assistant U.S. Attorney Chandra Menon (Criminal Civil Rights Coordinator), Civil Division Assistant U.S. Attorney Robert Adams, New Orleans Police Department Lieutenant Hudson Cutno, Jr. and the Jewish Community Center for their development and participation in the program.
Those who believe they are subject to hate crimes or incidents should contact local law enforcement and the FBI. Members of the public may report possible civil rights violations at https://civilrights.justice.gov/report/.
* * *
U.S. Attorney Announces $12 Million Settlement of Civil Forfeiture Action Against Estate of Antiquities Trafficker Douglas LatchfordRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Ivan J. Arvelo, the Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), announced today that the United States had filed and settled a civil forfeiture action against $12 million derived from the sale of stolen Southeast Asian antiquities by indicted antiquities dealer Douglas Latchford. The Settlement with the daughter of the late Douglas Latchford, who died in 2020, resolves claims that Latchford transferred the proceeds from the sale of stolen antiquities to bank accounts in the Bailiwick of Jersey. As part of the Settlement, Latchford’s daughter has also agreed to the forfeiture of a 7th Century bronze statue depicting the four-armed goddess Durga, which is alleged to have been stolen from Vietnam in 2008 and which Latchford allegedly purchased using tainted funds. The proposed settlement is subject to review by a district judge in the Southern District of New York.
U.S. Attorney Damian Williams said: “For years, Douglas Latchford made millions from selling looted antiquities in the U.S. art market, stashing his ill-gotten gains offshore. This historic forfeiture action and settlement shows that we will be relentless in following the money wherever it leads to fight the illicit trade in cultural patrimony.”
HSI Special Agent in Charge Ivan J. Arvelo said: “The late Douglas Latchford was a prolific dealer of stolen antiquities. His complicity in numerous illicit transactions over several decades garnered him millions of dollars in payments from buyers and dealers in the United States, of which as part of this agreement, $12 million will be rightfully forfeited by his estate. HSI New York celebrates the pending repatriation of any outstanding artifacts from Latchford’s illegally obtained collection to their rightful owners and reaffirms our commitment to disrupting the illicit trafficking of cultural property, art, and antiquities.”
According to the allegations in the Complaint and the Stipulation filed in Manhattan federal court on June 22, 2023:[1]
In 2019, Latchford was indicted in the Southern District of New York with wire fraud conspiracy and other crimes related to a multi-year scheme to sell looted Cambodian antiquities on the international art market, primarily by creating false provenance documents and falsifying invoices and shipping documents, including misrepresenting the country of origin of artworks. See United States v. Latchford, 19 Cr. 748 (AT) (the “Indictment”). In September 2020, the Indictment was dismissed due to the death of Latchford.
Between 2003 and 2020, Latchford maintained bank accounts in New York, the United Kingdom, and the Bailiwick of Jersey (“Jersey”). During those years, Latchford received more than $12 million in his New York and U.K. accounts as payment for his sale of stolen and smuggled Southeast Asian antiquities to buyers and dealers in the United States. As part of those sales, Latchford provided false provenance and/or made false statements on shipping records and importation records when those antiquities were imported into the United States. Latchford then transferred at least $12 million in illegally derived proceeds (the “$12 Million”) to his bank accounts in Jersey.
In 2008 and 2009, Latchford used funds derived from the sale of stolen and smuggled antiquities to purchase a 7th Century bronze statue depicting the four-armed goddess Durga (the “Durga”), pictured below:
According to bank and email records, including correspondence with his bankers, Latchford traveled to Vietnam in November 2008 to purchase a piece of art and instructed his bankers to send around $2 million to the bank account of a person with a Vietnamese email address. In January 2009, Latchford emailed a dealer a photograph, below, of the Durga lying on its back, covered in what appears to be dirt and minerals indicative of recent excavation. Latchford identified My Son, a United Nations Educational, Scientific, and Cultural Organization World Heritage site located in Vietnam, as the location where the Durga was recovered.
Under the terms of the stipulation and order of settlement, Latchford’s daughter (the “Claimant”) consents to forfeiture of the $12 Million and the Durga. The United States has agreed not to object to the lifting by Jersey of a freeze order on any remaining funds as defined in the settlement agreement. The parties recognize that nothing in the Stipulation constitutes an admission of liability, fault, or guilt on the part of the Claimant, who expressly denies fault, liability, or wrongdoing.
* * *
Mr. Williams thanked HSI for its outstanding work on this investigation, which he noted is ongoing, and praised its ongoing efforts to find and repatriate stolen and looted cultural property. Mr. Williams also thanked the U.S. Department of Justice’s Office of International Affairs, the Law Officers’ Department of the Bailiwick of Jersey, and authorities in the United Kingdom for their cooperation and assistance.
This matter is being handled by the Office’s Money Laundering and International Criminal Enterprises Unit. Assistant U. S. Attorney Jessica Feinstein is in charge of the case.
The allegations contained in the Complaint are merely accusations.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Latchford Complaint Latchford Stipulation and SettlementTyngsborough Daycare Worker Arrested for Child ExploitationRead the Press Release
BOSTON – A New Hampshire woman employed at a daycare in Tyngsborough, Mass., was arrested this morning on child exploitation and child pornography charges.
Lindsay Groves, 38, of Hudson, N.H., was charged with one count of sexual exploitation of children and one count of distribution of child pornography. Groves, who is currently in custody, will appear in federal court in Boston at a later date.
According to the charging documents, Groves worked at Creative Minds located in Tyngsborough, Mass. It is alleged that, between May 2022 and June 2023, Groves took nude images of children at the day care and sent the photos to an individual with whom she was previously in an intimate relationship. Specifically, Groves allegedly used natural bathroom breaks for the children (routine diaper/pull-up changes prior to “naptime”) to take multiple photos of the prepubescent children in a private bathroom and then sent the photos to the individual via text message.
A preliminary forensic review of Grove’s cellphone allegedly revealed over 2,500 text messages between Groves and the individual. These messages allegedly included discussion about, and transfer of, explicit photographs that Groves had taken of children while employed at Creative Minds – including at least four sexually explicit images of children who appear to be approximately three to five years old. This investigation is continuing.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274.
The charge of sexual exploitation of children provides for a sentence of at least 15 years and up to 30 years in prison, at least five years and up to a lifetime of supervised release and a fine of up to $250,000. The charge of distribution of child pornography provides for a mandatory minimum sentence of five years and up to 20 years in prison, a mandatory minimum of five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; and Nashua (N.H.) Police Chief Kevin Rourke made the announcement today. Valuable assistance was provided by the U.S. Attorney’s Office for the District of New Hampshire; Middlesex County District Attorney’s Office; and the Hudson, N.H. Police Department. Creative Minds Early Learning Center cooperated in the investigation. Assistant U.S. Attorneys Anne Paruti and Jessica L. Soto of Levy’s Major Crimes Unit are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
US v. Lindsay Groves - Complaint AffidavitTwo Men Sentenced for Cyberstalking Conspiracy That Resulted in Murder of KC ManRead the Press Release
KANSAS CITY, Mo. – Two men have been sentenced in federal court for their roles in a cyberstalking conspiracy that utilized GPS tracking devices to carry out the murder of a Kansas City, Mo., man by tracking him and shooting him to death in front of his minor daughter.
Michael Young, 32, of Independence, Mo., was sentenced by U.S. District Judge Greg Kays on Wednesday, June 21, to 15 years in federal prison without parole. Co-defendant Ronell Pearson, 36, of Minneapolis, Minnesota, was sentenced today to five years in federal prison without parole. Both Young and Pearson pleaded guilty to their roles in the conspiracy, and both have been detained in federal custody since their arrests in August 2019.
The court also ordered Young and Pearson to pay $19,012 in restitution to compensate the murder victim’s family for funeral and burial expenses, for which they are jointly and severally liable.
Co-defendant Lester E. Brown, 36, of Kansas City, Mo., was found guilty at trial on May 5, 2023, of one count of conspiracy to commit cyberstalking, one count of cyberstalking resulting in death, and one count of being a felon in possession of a firearm. Brown’s sentencing hearing has not yet been scheduled.
Murder of Christopher Harris
Brown, Young, and Pearson participated in a conspiracy from Nov. 1, 2017, to March 19, 2018, to engage in the cyberstalking of Christopher Harris. Brown, the leader of the conspiracy, deployed multiple GPS devices on vehicles used by Harris and his associates to track their locations.
On March 14, 2018, Brown tracked Harris to a dance studio in Raytown, Mo. With Brown driving and Young and Pearson passengers, they followed Harris’s vehicle as he drove his daughter home from dance class and dropped her off at her mother’s residence in Independence. Brown pulled up behind Harris’s vehicle; Brown and Young got out of the car; and Brown shot a firearm multiple times into Harris’s vehicle, causing Harris to scream, “My daughter’s in the car! My daughter is in the car!” Brown fired several more rounds at Harris as he ran to the door. Harris’s daughter was able to make it inside the house unharmed but Harris fell to the ground before he reached the house. Brown stood over him and fired two last rounds at him while he lay on the ground.
Prior to his murder, conspirators had been sending threatening messages to Harris using the social media service Snapchat. These messages included photographs of GPS devices, and demanded a payment to Brown of $10,000 per month.
This case is being prosecuted by Assistant U.S. Attorneys Matthew P. Wolesky and Nicholas P. Heberle. It was investigated by the Independence, Mo., Police Department, the Kansas City, Mo., Police Department, and the FBI.
Two Individuals Charged with Neglect Following the Death of a Child on the Red Lake ReservationRead the Press Release
MINNEAPOLIS – Two individuals from the Red Lake Indian Reservation have been indicted for child neglect following the death of a child, announced U.S. Attorney Andrew M. Luger.
According to court documents, between January 1, 2022, and December 25, 2022, Julius Fineday, 41, and Sharon Rosebear, 63, willfully deprived Minor A of necessary food, clothing, shelter, health care, and supervision, despite being reasonably able to make the necessary provisions. As alleged, the neglect caused the death of Minor A.
The indictment charges Fineday with one count of felony child neglect causing the death of a child and Rosebear with one count of felony child neglect. The defendants will make their initial appearances in U.S. District Court at a later date.
This case is the result of an investigation conducted by the FBI and the Red Lake Tribal Police Department.
Assistant U.S. Attorney Lindsey E. Middlecamp is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two from Lexington County Plead Guilty to Drug Conspiracy and Weapon ChargesRead the Press Release
COLUMBIA, SOUTH CAROLINA —Caleb York Rowell, 29, of Swansea, and Brandi Leann Clarke, a/k/a “Brandi Savage,” 26, of Gaston, have each pleaded guilty to their roles in a drug conspiracy in which they sold firearms and drugs to confidential informants and undercover agents in the summer of 2021. Specifically, Rowell and Clark each pleaded guilty to conspiracy to possess with intent to distribute and to distribute fentanyl, heroin, and methamphetamine. Rowell also pleaded guilty to possession with intent to distribute and distribution of heroin and fentanyl, being a felon in possession of a firearm, and possession of a short-barreled shotgun not registered to him in the National Firearms Registration and Transfer Record.
Evidence obtained in the investigation revealed that the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began an investigation into Rowell’s drug distribution in May 2021. During a recorded call with a confidential informant on May 11, 2021, Rowell bragged about running away from a traffic stop the day before that resulted in a wreck and how officers found his drugs and gun. ATF confirmed that the day before, Gaston Police Department had been in a car chase after they attempted to stop a vehicle for a traffic violation. That chase culminated in the driver wrecking the vehicle and fleeing on foot. Along the route where the driver fled, officers were able to locate a fanny pack containing bags of heroin and fentanyl, and they found a stolen pistol nearby. Through the recorded call and witnesses at the scene, officers were then able to identify Rowell as the driver.
Thereafter, between May and July 2021, law enforcement made a series of undercover purchases of firearms, heroin, fentanyl, and methamphetamine from Rowell and Clark. One of the firearms Rowell sold to the undercover agent was a short-barreled shotgun. Both Rowell and Clark are prohibited from possessing firearms based upon prior felony convictions in state court. Rowell has prior state convictions for conspiracy to manufacture methamphetamine, failure to stop for blue light and siren, and driving under suspension 3rd offense, and two convictions for possession with intent to distribute methamphetamine. Clark has two prior state convictions for possession of methamphetamine.
Rowell faces a statutory mandatory minimum of 5 years in prison with a maximum of 40 years, a term of supervised release of 6 years, and a fine of $5,000,000 on the conspiracy charge and a maximum of 30 years in prison, a term of supervised release of 6 years, and a fine of $2,000,000 on the distribution charge. On the felon in possession of a firearm and the possession of the unregistered short-barreled shotgun charges, Rowell faces a maximum of 10 years in prison, a term of supervised release of 3 years, and a $250,000 fine. Clark faces a maximum of 30 years in prison, a term of supervised release of 6 years, and a fine of $2,000,000 on the conspiracy charge. United States District Judge Sherri A. Lydon accepted the guilty pleas and will sentence the duo after receiving and reviewing sentencing reports prepared by the U.S. Probation Office.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) with assistance of the Lexington County Sheriff’s Department, Gaston Police Department, Swansea Police Department, and the Richland County Sheriff’s Department. Assistant U.S. Attorney Stacey D. Haynes is prosecuting the case.
###
Tarpon Spring Man Who Threatened to Commit Violence to A Child and Grandmother Arrested and ChargedRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces the arrest and filing of a criminal complaint charging Antonio McCray (22, Tarpon Springs) with possessing a firearm after having been convicted of a felony. If convicted, McCray faces a maximum penalty of 15 years in federal prison. McCray made his initial appearance on June 21, 2023, before U.S. Magistrate Judge Amanda Arnold Sansone, and was ordered detained pending trial.
According to the complaint and evidence introduced during his detention hearing, on October 29, 2022, McCray was a passenger in the backseat of a vehicle that was pulled over by deputies from the Hernando County Sheriff’s Office. The deputies observed and seized a firearm located under the back side of the front passenger seat, underneath McCray’s feet. The firearm, a loaded 9-millimeter Springfield “Hellcat” pistol, had previously been reported stolen. A search warrant executed on McCray’s phone revealed various messages sent by McCray, including one in which he said, “listen bra if u care about ur son an ur grandma have my money by Thursday…or I’m coming for u n ur family.” DNA swabs taken from the Hellcat pistol matched McCray’s DNA. Additionally, the Florida Department of Law Enforcement determined that the ammunition found inside of the pistol matched casings utilized in a recent drive-by shooting in Hernando County.
A complaint is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Hernando County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Diego F. Novaes.
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.
Seven Sentenced to Federal Prison for Child Sex Trafficking in Green Lake CountyRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced today that seven federal defendants have been sentenced to prison terms for their involvement in the commercial sexual exploitation of a child in Green Lake County, Wisconsin. All seven pled guilty to the charge of Conspiracy to Commit Sex Trafficking.
According to court documents, on multiple dates between June and November 2019, one of the defendants, Julio “Cesar” Veleta Veleta, transported the victim, a 16-year-old girl who was in foster care in Madison, between Dane County and Green Lake County for her to perform commercial sex acts for dairy farm workers. Another defendant, Evis Garcia Rivera, both paid for sex with the victim and promoted her availability for commercial sex within the Guatemalan national farm worker community in Green Lake County. Eventually, the victim began living with Garcia Rivera and several of the other defendants, who would “loan” the victim to other groups of farm workers in the area for her sexual services.
The seven individuals charged in federal court have been sentenced as follows:
Defendant
Months of Prison
Years of Supervised
Release
Julio Veleta Veleta, (Age: 36), Sun Prairie, Wisconsin
87
5
Evis Garcia Rivera (Age: 33), Manchester, Wisconsin
87
5
Avelino Sarceno Sarceno (Age: 42), Manchester, Wisconsin
30
5
Samuel Martinez Corado, (Age: 29), Markesan, Wisconsin
28
5
Abilio Corado Gonzalez, (Age 37), Markesan, Wisconsin
27
5
Belter Arana Bautista, (Age 36), Brandon, Wisconsin
24
5
Oscar Martinez Corado, (Age: 21), Markesan, Wisconsin
24
5
The Green Lake County Sheriff’s Office (GLCSO) uncovered this conspiracy on Thanksgiving night in 2019, when the victim called 911. Several subjects were arrested that night at the house where the victim had been living, while others were arrested in other locations following further investigation.
In a separate action, five additional defendants were prosecuted in Wisconsin Circuit Court by Green Lake County District Attorney Gerise LaSpisa. Four of these defendants, Rolando Corado Gonzalez, Edwin Rivera Salguero, Ember Rivera, Esler Rivera, have pled guilty to exposing genitals to a child and have been sentenced to state prison time, including a year and a half of initial confinement, and two years of extended supervision.
“The convictions and sentences of the defendants in this case are the direct result of the hard work and excellent collaboration between federal, state, and local law enforcement,” said U.S. Attorney Haanstad. “Along with our partners, we are committed to protecting and supporting victims of human trafficking, and our enforcement efforts necessarily will include not only the primary traffickers but also others who assist in these trafficking efforts, including those who seek to drive the demand for this type of victimization.”
“The sex trafficking of this 16-year-old victim is a serious and disturbing crime,” said Special Agent in Charge Michael E. Hensle of the FBI Milwaukee Field Office. “The FBI and our partners will continue to work tirelessly to bring those responsible to justice and protect the victims of these heinous crimes.”
“The U.S. Department of Labor, Office of Inspector General is committed to working with our law enforcement partners to investigate and bring to justice those who engage in human trafficking and involuntary servitude, particularly when children are involved,” said Irene Lindow, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General.
“These sentences are reflective of just how damaging crimes against children are and emphasizes HSI’s dedication to hold perpetrators accountable,” said HSI Special Agent in Charge of the Chicago area of operations Sean Fitzgerald. “We, alongside our law enforcement partners, are committed to the eradication of child exploitation from our communities.”
“Human trafficking is an appalling violent crime that occurs across our state and the country, and we must continue to fight it,” said Attorney General Josh Kaul. “Thank you to the investigators, including DCI agents, and prosecutors who worked to hold the defendants accountable.”
Green Lake County Sheriff Mark Podoll said, “We are very pleased with the overall outcome of this case. We are hopeful for the victim and their future. The collaboration of the investigating agencies and attorney’s offices was tremendous. I’m incredibly proud of all the work everyone put into this case to pursue justice on behalf of the victim and the community. Clearly, crimes like these have no boundaries, and any community can be impacted.”
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The case was investigated by the United States Department of Labor Office of the Inspector General, the Federal Bureau of Investigation, the United States Department of Security Investigations, the Wisconsin Department of Justice Division of Criminal Investigations and the Green Lake County Sheriff’s Office. The federal case was prosecuted by Assistant United States Attorneys Erica J. Lounsberry and Abbey M. Marzick.
# # #
For Additional Information Contact:
Public Information Officer
414-297-1700
Follow us on Twitter
Seven Members of Multi-State Violent Robbery Crew Indicted on Conspiracy and Hobbs Act Robbery ChargesRead the Press Release
WASHINGTON – An indictment was unsealed today charging seven members of an armed robbery crew with conspiracy, Hobbs Act robbery, and other charges related to a multi-state robbery spree that targeted pharmacy and cell phone retail stores. The charges were announced by U.S. Attorney Matthew M. Graves and FBI Acting Special Agent in Charge Sarah Linden, of the Washington Field Office’s Criminal and Cyber Divisions.
Ashley Gause, 30, was arrested on June 8, 2023. She and her co-defendants – D’Marrell Mitchell, 33, Terrance Barnham, 33, Floyd Neal, 30, Ashawntea Henderson, 31, Deaundre Blount, 30, and Glenn Dolford, 29, all of Washington, D.C., are charged with conspiracy to interfere with interstate commerce by robbery (Hobbs Act robbery), a crime that carries a statutory maximum sentence of 20 years in prison, for allegedly robbing at least 18 pharmaceutical and cell phone stores in D.C., Maryland, Virginia, and New Jersey, between May 2020 and May 2021. Gause is charged in 20 of the 21 counts. She is charged, with various members, in all 15 counts of Hobbs Act robbery.
According to the indictment, Gause, a/k/a “Cray,” worked with different members of the crew to rob businesses that they had surveilled. Gause and her co-conspirators also allegedly traveled to other states - including North Carolina and Virginia - likely searching for other possible targets for robberies. In some of the robberies, the defendants assaulted the victims, zip tied their hands, and/or held them at gunpoint in order to demand currency, prescription drugs, and/or cellular telephones from the victim businesses. The defendants would then sell the narcotics and cell phones. The victim businesses were located as far away as Neptune, New Jersey, and as close as neighborhoods in the District of Columbia.
“This indictment alleges that these defendants conspired to commit armed robberies, at targeted businesses, using firearms and the threat of violence,” said U.S. Attorney Graves. “They chose victim establishments – throughout DC, Maryland, Virginia, and New Jersey - based on location, opportunity, and the profitability of the goods they planned to steal. Through the great work of the FBI and partner agencies, this ring has been dismantled.”
“Ashley Gause and her co-conspirators allegedly committed a series of armed robberies in Virginia, New Jersey, Maryland, and Washington, D.C., over the course of at least two years, in part to steal prescription drugs and cell phones that they could then resell,” said Special Agent in Charge Jacobs. “During some of the armed robberies, the defendants assaulted victims, tied their hands, and held them at gunpoint. The people who live and work in these communities deserve to feel safe. Today's indictment demonstrates the FBI's commitment to leveraging partnerships to bring to justice these boundless violent criminals.”
All of the defendants, except Glenn Dolford, are charged with conspiracy to distribute oxycodone, amphetamine, morphine, tapentadol, hydrocodone, and promethazine with codeine. Branham and Neal are charged with carrying and possessing a firearm during a drug trafficking offense. Gause and Mitchell are charged with two counts of using, carrying, possessing and brandishing a firearm during a crime of violence. Gause is charged, alone, in a third count.
In addition to the conspiracy charge, each count of Hobbs Act robbery carries a statutory maximum sentence of 20 years in prison; conspiracy to distribute oxycodone carries a statutory maximum sentence of 20 years in prison; possessing a firearm during a drug trafficking offense carries a statutory maximum sentence of life in prison; using, carrying, possessing and brandishing a firearm during a crime of violence carries a statutory maximum sentence of life in prison. A U.S. District court judge will determine the appropriate sentence after considering the sentencing guidelines and other factors.
This case was investigated by the FBI’s Washington Field Office with valuable assistance from the Metropolitan Police Department, Alexandria Police Department (Virginia), Anne Arundel County Police Department (Maryland), Baltimore County Police Department (Maryland), Henrico County Police Division (Virginia), Laurel Police Department (Maryland), Montgomery County Police Department (Maryland), Neptune Township Police Department (New Jersey), and Prince George’s County Police Department (Maryland). It is being prosecuted by Assistant U.S. Attorney Joshua Gold.
Second Man Charged in Connection with Cool Valley MurderRead the Press Release
ST. LOUIS – A man from Hazelwood, Missouri was indicted Wednesday on charges connected to the fatal shooting of an 18-year-old at a Cool Valley gas station in January.
Christopher “Face” Hall, 22, was indicted in U.S. District Court in St. Louis, joining Bryant “BJ” Pirtle, who was indicted in March. Each now faces four felonies: possession of a firearm in furtherance of a drug trafficking crime resulting in death, conspiracy to distribute and possession with intent to distribute marijuana, possession with intent to distribute marijuana and possession of one or more firearms in furtherance of a drug trafficking crime.
The indictment accuses them of aiding and abetting one another in discharging a firearm while involved in a drug conspiracy, causing the Jan. 29, 2023 death of Devon Williams.A detention motion says Hall and Pirtle shot the 18-year-old at about 3:15 a.m. after he tried to buy marijuana from them at the BP gas station at 1790 South Florissant Road. They then ran Williams over while driving away, the motion says. The shooting was caught on video.
Hall is currently in jail on pending charges in St. Louis County Circuit Court involving a March 2023 shooting.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the FBI, the St. Louis County Police Department, and the Normandy Police Department. Assistant U.S. Attorneys Nino Przulj and Jen Szczucinski are prosecuting the case.
Sacramento Man Indicted for Possessing Child PornographyRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned an indictment today against Christopher Eric Campbell, 48, of Sacramento, charging him with possession of child pornography, United States Attorney Phillip A. Talbert announced.
According to court documents, Campbell possessed child pornography in March 2023. The indictment seeks forfeiture of three different electronic devices that Campbell used to commit the offense, including an iPad, a cell phone, and a hard drive.
This case was the product of an investigation by the Sacramento Valley Hi-Tech Crimes Task Force Internet Crimes Against Children Unit, including Homeland Security Investigations and the Sacramento County Sheriff’s Office. Assistant United States Attorney Emily G. Sauvageau is prosecuting the case.
Campbell is in state custody on related charges. If convicted in this case and proven to have a prior conviction under the laws of any State relating to the sexual abuse of a minor, Campbell faces a minimum statutory penalty of 10 years in prison, a maximum statutory penalty of 20 years in prison, and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Rock Hill Man Sentenced in Large Drug Trafficking ConspiracyRead the Press Release
COLUMBIA, SOUTH CAROLINA — Darrell Lemonte Crockett, 51, of Rock Hill, was sentenced to 20 years in federal prison after being convicted at trial in a large drug trafficking case.
Evidence presented at the trial showed that the Federal Bureau of Investigation (FBI) and York County Multi-Jurisdictional Drug Enforcement Unit began to investigate a group of defendants who were obtaining large amounts of cocaine, methamphetamine, heroin, and marijuana from a distributor in Southern California. Based upon their investigation, the police were able to determine that members of the group were flying to California and having the drugs shipped back to the Rock Hill and Charlotte, N.C., area. Based upon surveillance and other law enforcement techniques, the police learned that Darryl Hemphill was the leader of the group and helped introduce other members of the group to the California distributor. Crockett was a member of the conspiracy and was involved in obtaining some of the packages when they were shipped from California back to the Rock Hill and Charlotte area. After the drugs were shipped back to South Carolina, Hemphill and others distributed the drugs to local dealers. Crockett was also responsible for distributing some of the drugs shipped.
Later, the group began ordering fentanyl from California, which they used to make fentanyl-laced pills that were sold to users in Rock Hill, Greenville, Myrtle Beach, Charlotte, N.C., and Atlanta, G.A.. Based upon their investigation, law enforcement showed that this group shipped more than 255 packages from California and distributed more than 5 kilograms of cocaine, 280 grams or more of crack cocaine, 500 grams or more of methamphetamine, 400 grams or more of fentanyl, 1 kilogram or more of heroin, and more than 1000 grams of marijuana.
Crockett was convicted of conspiracy to possess with the intent to distribute 5 kilograms or more of cocaine, 28 grams or more of crack cocaine, and 40 grams or more of a mixture or substance containing a detectable amount of fentanyl. Crockett was also convicted of possession with the intent to distribute 28 grams of crack cocaine during a drug deal at Hemphill’s home.
Eighteen defendants were initially charged in this case. Fifteen defendants pleaded guilty to their involvement, and Crockett and two other defendants were found guilty by a jury. Two defendants remain to be sentenced.
United States District Judge Mary Geiger Lewis sentenced Crockett to 240 months in prison, to be followed by a 5-year term of court-ordered supervision. There is no parole in the federal system.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was investigated by the Federal Bureau of Investigation (FBI), York County Multi-Jurisdictional Drug Enforcement Unit, Bureau of Alcohol, Tobacco, Firearms and Explosive (ATF), Drug Enforcement Administration (DEA), Internal Revenue Service (IRS), Rock Hill Police Department, York County Sheriff’s Office, and Richland County Sheriff’s Department. Assistant U.S. Attorneys William K. Witherspoon, Elliott B. Daniels, Elle E. Klein, and Lamar Fyall prosecuted the case.
###
Portland Area Gang Member Arrested, Faces Federal Charges for Illegally Possessing a FirearmRead the Press Release
PORTLAND, Ore.—A known Hoover Criminal Gang member arrested today at his home in Gresham, Oregon is facing federal charges for illegally possessing a firearm as a convicted felon.
Shakor Shovontae Ray Holiday, 29, has been charged by criminal complaint with one count of illegally possessing a firearm as a convicted felon.
According to court documents, with five prior felony convictions, including a 2020 federal conviction for illegally possessing a firearm as a convicted felon, Holiday is prohibited from possessing firearms. Despite this restriction, in May 2023, law enforcement obtained several images and videos of Holiday in possession of at least one firearm. Two videos obtained by investigators appeared to show Holiday driving a vehicle while holding an AR-style assault rifle and threatening rivals. Holiday was also observed in the photos and videos displaying various gang signs, including “H” and “107” hand signs associated with the Hoover Criminal Gang.
Today, investigators executed a federal search warrant on Holiday’s Gresham residence. They located and seized a 9mm handgun and an AR-style assault rifle resembling the firearm depicted in the photos and videos reviewed by law enforcement.
Holiday made his first appearance in federal court today before U.S. Magistrate Judge Jeffrey Armistead. He was ordered detained pending further court proceedings.
Illegally possessing a firearm as a convicted felon is punishable by up to 15 years in federal prison, three years’ supervised release, and a $250,000 fine.
This case was investigated by the FBI with assistance from the Portland Police Bureau, Gresham Police Department, Multnomah County Sheriff’s Office and Homeland Security Investigations (HSI). It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Pasco Man Sentenced to 15 Years for Drug TraffickingRead the Press Release
Spokane, Washington – United States District Judge Thomas O. Rice sentenced Tustuji Matu Wakauwn, 43, of Pasco, Washington, to 15 years in federal prison for possession of methamphetamine with intent to distribute and possession of a firearm by a felon. Judge Rice also ordered Wakauwn to serve ten years of supervised release following his release from prison. Wakauwn pleaded guilty to the offenses on June 8, 2022. He has been in federal custody since his arrest on October 7, 2021.
According to information presented at Mirabal’s change of plea and sentencing hearings, on October 7, 2021, members of a DEA task force served a search warrant on a residence located on 10th Avenue in Spokane. Wakauwn arrived at the residence during the execution of the warrant. During a pat-down search, officers located a loaded 9mm handgun in a bag carried by Wakauwn. Wakauwn was prohibited from possessing firearms based on a prior federal conviction for drug trafficking and was still on federal supervision at the time. A later search of his bag revealed that it contained 420 grams of pure methamphetamine along with fentanyl, cocaine, and other evidence of drug trafficking.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, praised the investigative team for their quick work in disarming Wakauwn and interdicting the methamphetamine and other substances that he was preparing to deliver. U.S. Attorney Waldref stated, “Our U.S. Probation Office offers significant rehabilitative services to person while on supervised release and these services play an important role in protecting our communities and in restoring persons convicted of federal crimes to productive roles in society.” She continued, “Because of this, it is especially important to deter the commission of serious crimes by people on federal supervision. The sentence imposed in this case, which is a 15-year mandatory minimum penalty, sends a strong message about the importance of enforcing serious violations of law committed by persons while on supervision.”
This case was investigated by Spokane Resident Office of the DEA, with significant assistance from the DEA Coeur d’Alene Post of Duty and the Idaho State Police. The case was prosecuted by Timothy J. Ohms Assistant United States Attorneys for the Eastern District of Washington.
2:21-CR-00157-TOR
Paris Man Convicted of Attempted Child ExploitationRead the Press Release
URBANA, Ill. – A federal jury returned a guilty verdict Friday afternoon, June 16, against Tracy L. Parker, 57, of the 1600 block of S. Central Avenue in Paris, Illinois, for attempted sexual exploitation of a minor, attempted receipt of child pornography, and possession of child pornography. A sentencing hearing for Parker has been scheduled on October 13, 2023, in Urbana, Illinois.
Over four days of testimony, the government presented evidence proving that Parker attempted to obtain sexually graphic images and videos from an individual he believed to be a 13-year-old female, requesting these items for weeks through social media and text messaging. Parker was arrested after attempting to open what he believed to be the requested pornographic images and videos of the purported 13-year-old child. At the time of his arrest, child sexual abuse material was found on Parker’s cell phone.
Parker remains in the custody of the United States Marshal Service and faces statutory penalties of up to 30 years of imprisonment for his conviction of attempted sexual exploitation of a minor, up to 20 years of imprisonment for attempting to receive child pornography, and up to 10 years of imprisonment for possessing child pornography.
The case investigation was conducted by the Federal Bureau of Investigation, Springfield Field Office. Assistant United States Attorneys Rachel Ritzer and Nathan Bertrand represented the government at trial.
The case against Parker 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.
Operation Smoke and Mirrors Update: Charleston Man Pleads Guilty to Role in Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – Timothy Allen Loudermilk, 63, of Charleston, pleaded guilty today to conspiracy to distribute methamphetamine. Loudermilk admitted to his role in a drug trafficking organization (DTO) that operated in the Charleston area.
According to court documents and statements made in court, between January and March 2023, Loudermilk was living in the Charleston area and obtaining methamphetamine from a local supplier. Loudermilk’s supplier knew that he was re-distributing at least a portion of the methamphetamine. Loudermilk typically would receive one-half ounce of methamphetamine at a time, but sometimes he would obtain more. Loudermilk admitted that he was responsible for between 200 and 350 grams of methamphetamine in connection with the conspiracy.
Loudermilk is scheduled to be sentenced on October 5, 2023, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
Loudermilk is among 30 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement has seized of well over 200 pounds of methamphetamine as well as 28 pounds of cocaine, 20 pounds of fentanyl, 18 firearms and $747,000 in cash.
Nine other co-defendants have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
Chief United States District Judge Thomas E. Johnston presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-31.
###
Odessa Veteran Pleads Guilty to Theft of Veteran BenefitsRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that Edward Ferraro (48, Odessa) has pleaded guilty to theft of Department of Veterans Affairs (“VA”) disability benefits. Ferraro faces a maximum penalty of 10 years in federal prison. A sentencing date has not been set.
According to public records, Ferraro, a former VA disability rater, exploited his position with the VA to apply for and approve benefits in the name of an unwitting third party in May 2003. The proceeds of the fraud were deposited into a bank account in Ferraro’s name, and over the ensuing years the VA paid more than $500,000 in improper benefits. Ferraro withdrew the VA proceeds from the account and used them to fund his lifestyle, including cash payments to his credit cards, family vacations, gambling, and the like. The scheme was discovered when the identity theft victim—also a veteran—attempted to apply for a VA-backed home loan.
This case was investigated by the Office of Inspector General for the Department of Veterans Affairs. It is being prosecuted by Assistant United States Attorney Rachel Jones.
New York Man Agrees to Plead Guilty to Multiple Federal Crimes Related to “Ichioka Ventures” Cryptocurrency Fraud SchemeRead the Press Release
SAN FRANCISCO – Today, the United States announced the filing of an information charging William Koo Ichioka with multiple felonies in connection with “Ichioka Ventures,” an alleged investment fraud scheme involving cryptocurrencies and other investment vehicles. According to court documents filed in the case, Ichioka has agreed to plead guilty to charges of wire fraud, aiding or assisting in the preparation of a false or fraudulent tax return, fraud in connection with the purchase and sale of securities, and commodities fraud.
The announcement was made by Acting First Assistant U.S. Attorney Thomas A. Colthurst of the Northern District of California United States Attorney’s Office; Federal Bureau of Investigation Special Agent in Charge Robert K. Tripp; and Internal Revenue Service – Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian.
According to the information filed in federal court, Ichioka, 30, of New York and formerly of San Francisco, operated a scheme in which he fraudulently raised tens of millions of dollars from over 100 persons and entities, including residents of the Northern District of California. Ichioka began doing business under the name “Ichioka Ventures” in or about 2019. Ichioka solicited investors by promising that their funds would be invested in various securities and/or commodities, including cryptocurrency and cryptocurrency arbitrage, futures, and derivatives, and foreign exchange currency transactions. He represented to prospective investors that they would earn 10% returns every 30 business days and that his investment and trading activities had been generating or had the ability to generate returns in excess of these amounts. Ichioka created a website for Ichioka Ventures that allowed investors to create and login to accounts to invest, view balances and investments, and view transaction history.
“The allure of using cryptocurrencies to make massive profits in a short timeframe provides fertile ground for fraudsters to take advantage of unwary victims,” said Abraham Simmons, a spokesperson from the Office of the U.S. Attorney. “The information filed in this case alleges Ichioka convinced victims to invest millions of dollars into his phony venture by claiming he was making legitimate profits when, in fact, he was reporting fake results and creating bogus documents.”
“William Ichioka was able to secure millions from investors by telling them lie after lie,” said FBI Special Agent in Charge Robert Tripp. “His ‘miraculous’ rates of return, however, were illusory. He stole from family, friends, and others to fund his lavish lifestyle while sustaining his deceit through investment repayments. The charges filed today are an important step to bring justice for Ichioka’s victims.”
“Mr. Ichioka operated a decades-old type of fraudulent scheme and defrauded over 100 investors,” said Special Agent in Charge Darren Lian of the IRS-CI Oakland Field Office. “The hard work and dedication of our investigators and prosecutors led to Mr. Ichioka’s agreement today to plead guilty. We will continue to work with our law enforcement partners to bring this investigation to a thorough and complete conclusion. IRS-Criminal Investigation remains dedicated to bringing to justice those who cheat and defraud.”
According to court filings describing Ichioka’s agreement to plead guilty, Ichioka admitted that he commingled investor money with his own funds and used investor money to make purchases of luxury items, including vehicles, watches, and jewelry, and to fund his own personal expenses, including for rent for his personal residence, restaurants, bars, grocery stores, taxi and car share rides, retail stores, gym membership fees, and online purchases. Moreover, Ichioka admitted that he and Ichioka Ventures did not actually earn 10% returns every 30 business days for his investors throughout the time that he represented that it did. Rather, he and Ichioka Ventures sustained losses from portions of funds that he invested. By the end of 2019 – unbeknownst to investors – Ichioka privately acknowledged that the “[c]ompany hasn’t made any money since we started.”
Ichioka admitted that he repaid existing investors using new investor funds to further perpetuate the scheme to defraud, according to court filings describing Ichioka’s agreement to plead guilty. According to the court filings, Ichioka has agreed that he owes non-family investors in “Ichioka Ventures” at least $21 million as a result of the scheme and additionally owes his family members over $40 million.
Ichioka also admitted that he concealed and hid the scheme by doctoring financial documents to overstate the value of assets (including bank, brokerage, and cryptocurrency exchange materials) and providing doctored documents to prospective investors, according to court filings. He also presented false statements of account to investors via the Ichioka Ventures website, failed to provide tax documentation to investors, and willfully failed to report income to the Internal Revenue Service in this scheme.
In sum, Ichioka has agreed to plead guilty to the following crimes and faces the following maximum penalties:
Offense
Statute
Maximum Statutory Penalty (per count)
Wire fraud (1 count)
18 U.S.C. § 1343
20 years
Aiding or assisting in the preparation of a false or fraudulent tax return (2 counts)
26 U.S.C. § 7206(2)
3 years
Fraud in connection with purchase and sale of securities (1 count)
15 U.S.C. §§ 78j(b), 78ff; 17 C.F.R. § 240.10b-5
20 years
Commodities fraud (1 count)
18 U.S.C. § 1348
25 years
The court may order additional terms of supervised release as well as additional monetary penalties and restitution. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
An information merely alleges that crimes have been committed, and defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Ichioka’s initial federal court appearance has not yet been scheduled.
Individuals who believe that they may be a victim in this case but have not yet been contacted by the government should contact the FBI by email at: [email protected].
The case is being prosecuted by the Special Prosecutions Section and Oakland Branch of the U.S. Attorney’s Office for the Northern District of California. The prosecution is the result of an investigation by the FBI and IRS-CI. The U.S. Attorney’s Office and the federal law enforcement agencies also thank the San Francisco Regional Office of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The SEC and CFTC each conducted parallel investigations that were also announced today.
Navy Sailor Sentenced to 7 Years in Federal Prison for Distribution of Child Sex Abuse ImagesRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Tanner Michael Jackson (25, Jacksonville), a U.S. Navy petty officer, to 7 years in federal prison for distributing child sex abuse images. The court also ordered Jackson to serve 20 years of supervised release and register as a sex offender. In addition, he was ordered to pay $5,000 in restitution to a victim of his offense. Jackson had pleaded guilty on March 17, 2023.
According to the plea agreement, in early 2022, the Clay County Sheriff’s Office received a tip that suspected child sexual abuse material had been shared via a social media application. Law enforcement obtained the subscriber information for the user who had sent the files and the internet protocol address was traced to Jackson.
On August 22, 2022, law enforcement investigators executed a federal search warrant at Jackson’s residence and seized his phone. A forensic review of the phone yielded multiple files of child sexual abuse material.
“Those who choose to violate the innocence of children come from all walks of life, and unfortunately that includes those who don the uniform of this country’s military and take an oath to serve,” said Homeland Security Investigations (HSI) Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “Thanks to the partnerships we have in the Northeast Florida INTERCEPT Task Force, including the Clay County Sheriff’s Office, and with assistance from the Naval Criminal Investigative Service, this sailor has lost the freedoms he swore to protect and will no longer be able to victimize innocent and vulnerable children.”
This case was investigated by the Clay County Sheriff’s Office, Homeland Security Investigations (HSI), the Northeast Florida INTERCEPT Task Force, and the Naval Criminal Investigation Service. It was prosecuted by former Assistant United States Attorney Kelly Karase and Assistant United States Attorney Brenna Falzetta.
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.
Naples Man Pleads Guilty to Possessing Firearm During Drug Trafficking CrimeRead the Press Release
Fort Myers, Florida – United States Attorney Roger B. Handberg announces that Michael Karp (50, Naples) today pleaded guilty to possessing a firearm in furtherance of a drug trafficking crime. Karp faces a minimum penalty of five years, up to life, in federal prison.
According to court documents, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating Karp in 2022. The investigation included Karp meeting an undercover ATF agent, who was posing as a drug dealer needing protection during drug deals. Karp indicated to the agent that he participated in that type of work. According to the plea agreement, on May 23, 2023, Karp met at a hotel in Naples believing that he was going to protect the sale of five pounds of methamphetamine. The drug transaction actually involved the sale of faux methamphetamine between two undercover ATF agents. Karp stood by with a pistol as the transaction took place.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Mark Morgan.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Milwaukee Woman Indicted for Perpetrating a $2.3 Million Health Care FraudRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 21, 2023, a federal grand jury indicted Markita Barnes (age: 30) of Milwaukee, Wisconsin, for perpetrating a $2.3 million health care fraud and kickback scheme that involved Barnes lying about having provided prenatal care coordination (PNCC) services and childcare coordination services to at-risk and low-income pregnant women and new mothers in Milwaukee.
According to the indictment, from October 2020 through November 2021, Barnes owned Here For You, which was a PNCC agency operating in Milwaukee. PNCC agencies are reimbursed by Medicaid when they provide services intended to address Wisconsin’s historically high rate of infant mortality among at-risk populations. Specifically, PNCC services are supposed to ensure that women at high risk are identified as early as possible in their pregnancies, receive psychosocial support, prenatal care services, and health and nutrition education, and are referred to available community services that they need to help them achieve positive birth and parenting outcomes.
The indictment alleges that Barnes offered and provided kickbacks to induce women to sign up for prenatal care coordination services with Here For You, and then allegedly submitted millions of dollars of fraudulent claims for services never actually provided to those women. Barnes also allegedly submitted claims for services she contended were provided to her clients before she or anyone from her agency had ever met the client.
The indictment charges Barnes with multiple counts of Health Care Fraud and False Statements Relating to Health Care Matters, in violation of 18 U.S.C. § 1347 and 18 U.S.C. § 1035, violations of the Anti-Kickback Statute, 42 U.S.C. § 1320a-7b, Obstruction of a Healthcare Fraud Investigation, in violation of 18 U.S.C. § 1518, Money Laundering, in violation of 18 U.S.C. § 1957, and Aggravated Identity Theft, in violation of 18 U.S.C. § 1028A.
If convicted, Barnes faces a mandatory sentence of two years in prison for each count of Aggravated Identity Theft, up to twenty years in prison for each count of Health Care Fraud, up to ten years in prison for each count of Anti-Kickback Statute violations and Money Laundering, and up to five years in prison for each count of False Statements and Obstruction.
“One of the primary reasons the Department of Justice focuses on prosecuting health care fraud is to ensure public funds are used to help the people they are designed to help, and not to unfairly enrich others at the expense of the public and those who desperately need these services,” said U.S. Attorney Haanstad. “We are committed to working with our federal, state, and local partners to hold individuals who seek to take advantage of these programs for their own benefit fully accountable for their actions.”
The Federal Bureau of Investigation and the Medicaid Fraud Control and Elder Abuse Unit of the Wisconsin Department of Justice investigated the case, which Assistant United States Attorneys Julie F. Stewart and Kate M. Biebel will prosecute.
An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
# # #
For Additional Information Contact:
Public Information Officer
414-297-1700
Follow us on Twitter
Mexico citizen admits trafficking 29 pounds of meth in Bozeman, BillingsRead the Press Release
BILLINGS — A Mexico citizen accused in trafficking 29 pounds of methamphetamine from Denver, Colorado, to the Bozeman and Billings communities admitted to a drug crime today, U.S. Attorney Jesse Laslovich said.
Victor Daniel Mejia Ocampo, 22, pleaded guilty to a superseding information charging him with possession with intent to distribute meth. Ocampo faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Susan P. Watters. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Ocampo was detained pending further proceedings.
The government alleged in court documents that during an investigation in mid-July 2022, law enforcement made a controlled purchase of cocaine from co-defendant Isidro Vega Carmona in Bozeman. Ocampo was with Carmona during the purchase. About a month later, law enforcement arranged to buy four pounds of meth from Carmona and Ocampo and made another controlled purchase of the drug in Bozeman. Carmona told the buyers that people were bringing the meth from Denver, Colorado.
The government further alleged that in October 2022, Carmona offered to sell an undercover person 25 pounds of meth for $100,000. On Oct. 12, 2022, Carmona contacted the undercover and confirmed that another co-defendant, Risela Soberanes, was driving the 25 pounds of meth to Billings from Denver and that he would meet the undercover in Billings. Carmona and Ocampo traveled together from Bozeman to Billings, where both were arrested, along with Soberanes. Ocampo removed a large rolling suitcase, which contained 25 pounds of meth, from the trunk of a vehicle that had been driven by Soberanes to a Billings residence. Carmona was arrested as he walked with the suitcase toward a downtown hotel to meet the undercover person. Ocampo drove toward the hotel and was arrested after he parked the vehicle. Twenty nine pounds of meth is the equivalent of approximately 105,000 doses.
Carmona was sentenced recently to 14 years in prison, while Soberanes was sentenced to two years in prison for their convictions in the case.
Assistant U.S. Attorney Colin M. Rubich prosecuted the case, which was investigated by the FBI, the Eastern Montana High Intensity Drug Trafficking Area Task Force and the Missouri River Drug Task Force.
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.
XXX
Maryland Restaurant Owner Pleads Guilty to Employment and Other Tax CrimesRead the Press Release
A Maryland restaurant owner pleaded guilty today to willful failure to account for and pay over employment taxes and to filing a false personal tax return.
According to court documents and statements made in court, John H. Worthington of Owings Mills, Maryland, owned and operated The Grill at Harryman House restaurant since 1995. As part of managing the restaurant, Worthington issued Forms W-2 to his employees and withheld federal income and Social Security and Medicare (FICA) taxes from their wages. However, from 2010 through 2021, Worthington did not file with the IRS the required Employer’s Quarterly Federal Tax Returns (Forms 941) reporting these employment taxes and did not pay the withholdings over to the IRS. In total, Worthington did not report or pay approximately $2,813,348.94 in employment taxes due and owing to the IRS.
Instead of meeting his tax obligations, Worthington used funds from his business to pay other creditors and for a variety of personal expenses, including golf club membership dues, season tickets to the Baltimore Orioles, international vacations, and salaries for himself and his wife.
Additionally, Worthington filed a joint 2016 personal tax return (Form 1040) that falsely claimed $24,207 in federal income tax withholdings from his own wages from the restaurant, which he knew had not been paid to the IRS. This resulted in a $9,096 refund to which he was not entitled. Had Worthington accurately reported $0 in withholdings for that year, he would have owed $15,111.
Worthington also failed to timely file his personal income taxes for 2017 through 2021, despite having received wages and compensation from the restaurant. He also failed to timely file corporate tax returns for 2016 through 2021, even though the corporation was active and generated gross receipts or sales of more than $15 million during that time frame.
Worthington faces a maximum penalty of five years in prison for willfully failing to account for and pay over the employment taxes and three years in prison for filing a false tax return. He also faces a period of supervised release, monetary penalties, and restitution. Judge Julie R. Rubin will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Erek L. Barron for the District of Maryland made the announcement.
IRS-Criminal Investigation is investigating the case.
Assistant Chief Jorge Almonte and Trial Attorney Matthew L. Cofer of the Tax Division, and Assistant U.S. Attorney Sean R. Delaney of the District of Maryland are prosecuting the case.
Man Who Sexually Abused Minor at Fort Bliss in 2014 Sentenced to 35 Years in Federal PrisonRead the Press Release
EL PASO, Texas – A Dallas man was sentenced in a federal courthouse in El Paso Tuesday to 35 years in prison for sexually abusing a prepubescent child—a penalty that will be served once he reaches the end of his current 20 year sentence on state charges.
According to court documents, Trevor Dylan Lehew, 28, sexually abused a minor under the age of 12 while serving in the Army at Fort Bliss between 2014 and 2015. The child victim disclosed the abuse in 2020 to a Child Adolescence Forensic Interviewer.
Lehew was remanded into federal custody on Jan. 6, 2022. He had been serving a 20-year sentence at the Texas Department of Criminal Justice for a separate incident involving indecency with a child/sexual contact, and the aggravated sexual assault of a child. On Aug. 8, 2022, Lehew pleaded guilty in federal court to one count of aggravated sexual abuse of a child.
“The child victim in this case was extremely courageous to come forward about the horrible acts that this defendant committed years prior,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “That disclosure led to a successful investigation by our partners at the FBI, which has now resulted in the lengthy imprisonment of a dangerous child predator with repeat offenses.”
“A child should feel and be safe in their homes and community,” said Special Agent in Charge Jeffrey R. Downey of the FBI El Paso Field Office. “I hope this sentencing brings some closure to the victims knowing this predator will be in federal prison for a very long time. I want to thank the members of the FBI El Paso’s Child Exploitation and Human Trafficking task force for their work on this case and their commitment to protecting our most vulnerable population, our children, to ensure justice is served for them.”
The FBI investigated the case.
Assistant U.S. Attorneys Ian Hanna and Michelle Winters prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
###
Las Vegas Man Sentenced for Illegally Selling Steroids OnlineRead the Press Release
KANSAS CITY, Mo. – A Las Vegas, Nevada, man who made millions of dollars by selling illegal steroids online was sentenced in federal court today for his role in a money-laundering conspiracy.
Michael R. Breitel, 39, was sentenced by U.S. District Judge Howard F. Sachs to three years and 10 months in federal prison without parole. The court also ordered Breitel to forfeit to the government $2,749,363, which represents the proceeds he obtained as a result of his criminal activity, and which will be offset by $403,735 seized from his bank account and the proceeds from the sale of four parcels of real estate in Nevada.
On Oct. 11, 2022, Breitel pleaded guilty to conspiracy to commit money laundering. Breitel admitted that he and co-defendant Mario Arreola-Soria, 37, of Las Vegas, operated a business known as STACKMEUP from October 2017 through October 2021. STACKMEUP offered various prescription drugs available for purchase without a prescription to customers throughout the United States. Many of the drugs offered for sale were anabolic steroids. Other products available on STACKMEUP are not approved by the U.S. Food and Drug Administration for use in humans.
Investigators executed a search warrant at two storage units in Nevada on Nov. 3, 2021, that contained STACKMEUP products. Federal agents seized 2,371,800 units of anabolic steroids with a street value of more than $1.7 million.
Breitel also admitted that he conspired with others to conduct financial transactions that involved the proceeds of the conspiracy to distribute anabolic steroids. STACKMEUP customers, who paid for the anabolic steroids and associated drugs with cash or through a number of different peer-to-peer payment processors (such as Venmo, Zelle, Square, Paypal and Google Pay), were instructed to describe the transaction as “Gift” because the payment processors would cancel payments if the real reason for payment was used as the description.
During the course of the illegal anabolic steroid conspiracy, Breitel purchased four real estate properties in Las Vegas, totaling more than $1.2 million, with proceeds from the money laundering conspiracy. All the properties were purchased with cash and without a mortgage.
The federal investigation began when investigators intercepted a package shipped to a bodybuilder, who said he purchased the products from STACKMEUP over Wickr (an encrypted communication application that automatically deletes all messages). The bodybuilder learned of STACKMEUP while at a bodybuilding event in St. Louis, Mo. Agents made seven undercover purchases from STACKMEUP during the investigation. Some of the purchased drugs were tested and, in several instances, the product did not contain the active pharmaceutical ingredient that was claimed or contained different ingredients.
Arreola-Soria was sentenced on May 3, 2023, to three years in federal prison without parole.
This case was prosecuted by Special Assistant U.S. Attorney Bradley Cooper. It was investigated by Food and Drug Administration – Office of Criminal Investigations, the U.S. Postal Inspection Service, the Johnson County, Kan., Sheriff’s Department and the Henderson, Nevada, Police Department.
Justice Department Releases New Tool to Manage Substance Withdrawals in JailsRead the Press Release
The Justice Department’s Bureau of Justice Assistance (BJA), one of six program offices within the Office of Justice Programs (OJP), and the National Institute of Corrections (NIC) today announced the release of Guidelines for Managing Substance Withdrawal in Jails: A Tool for Local Government Officials, Jail Administrators, Correctional Officers and Health Care Professionals. This groundbreaking document supports the department’s commitment to increasing access to evidence-based treatment for individuals with substance use disorders (SUD) and those at risk for overdose, including individuals who are incarcerated or reentering their communities.
“These guidelines are a critical and much needed resource to support local government officials, jail administrators, correctional officers and health care professionals faced with the difficult task of managing substance withdrawal in jail settings,” said Associate Attorney General Vanita Gupta. “Providing this new, evidence-based tool and treatment guidance, developed by a committee of clinical and correctional experts, will better safeguard the health and well-being of individuals at risk for or experiencing substance withdrawal in jails.”
The high prevalence of SUD among individuals in jail is well-known, both empirically and anecdotally. The number of those in jail who died from drug or alcohol intoxication increased nearly 400% from 2000 to 2019. Less often recognized, but also potentially fatal, is the risk of substance withdrawal complications, such as profound dehydration and aspiration pneumonia due to severe vomiting.
“Jails face a unique and serious challenge managing substance use withdrawal among individuals in their custody, resulting in increased risk of in-custody deaths,” said OJP Assistant Attorney General Amy L. Solomon. “These guidelines, developed by a committee of experts representing correctional and medical professionals, offer concrete and evidence-based guidance to help jail administrators protect the health and rights of people in their care.”
“For many, incarceration is the first opportunity for substance use disorder diagnosis and treatment. Guidelines for Managing Substance Withdrawal in Jails can help jails of all sizes safely manage or prevent withdrawal, which may very well be the first step toward a person’s recovery from a substance use disorder and help avoid a return to incarceration,” said BJA Director Karhlton F. Moore.
“These guidelines are an important tool for corrections and health care staff who often face life-saving situations in their daily work life,” said NIC Acting Director Dr. Alix McLearen. “As a clinician myself, I know the value of services grounded in evidence, and I am thrilled these guidelines are now available to help providers safeguard the well-being of individuals in custody.”
An expert committee of clinicians and jail administrators compiled recommendations, grounded in evidence-based practice, for systematically identifying individuals who are at risk for withdrawal and determining the appropriate level of monitoring and medical care.
“As a member of the expert committee, I can attest to the rigor of the process for developing the guidelines,” said Chief Medical Advisor Dr. Marc Stern of the National Sheriffs’ Association and the American Jail Association. “We recognized, from our collective years of experience, that implementing withdrawal management cannot be a solo effort by jails. Successful implementation of the guidelines requires community involvement, such as establishing partnerships with hospitals and opioid treatment providers.”
BJA and NIC are offering technical assistance and training through Comprehensive Opioid, Stimulant and Substance Abuse Program website to support efforts to implement the guidelines. This webpage serves as a central hub to find relevant resources, submit questions and request TTA tailored to meet individual needs.
Jury Convicts Brothers Who Conducted Pump and Dump Scheme on Company that Sold Home COVID-19 TestsRead the Press Release
NEWS RELEASE SUMMARY – June 22, 2023
SAN DIEGO – A federal jury has convicted brothers Joshua Yafa and Jamie Yafa, both Florida citizens, of participating in a securities fraud pump-and-dump scheme surrounding the publicly-traded stock of two small companies.
The jury found that the Yafa brothers both committed securities fraud by manipulating the market for the stock of Global Wholehealth Partners Corp. and Nunzia Pharmaceutical Corp. According to the evidence presented at trial, the Yafas worked alongside their co-conspirators to artificially inflate the price and volume of these companies’ stocks by controlling the majority of the company’s free-trading shares through concealed nominee accounts, coordinating the company’s press releases with the issuance of penny stock newsletters, paying analysts to write rosy reports about the companies, and using call rooms, all to create a buying frenzy for the stocks among unwitting investors.
The FBI investigated this case through a combination of forensic analysis and sophisticated covert techniques, including the use of an undercover agent and an informant, both of whom gathered evidence through recorded phone conversations and captured email and text messages.
Central to the scheme were penny stock newsletters that the Yafas created and emailed to thousands of investors. In a single six-month period, for example, the Yafas distributed 116 newsletters touting the stock of Global Wholehealth Partners. The newsletters were sent under various publication names, including OTC Tip Reporter, BuzzStocks, marketCALIBER, and Penny Stock Prophet, but the publications often carried virtually the same content, and always predicted tremendous investment returns; this despite the fact that Global Wholehealth Partners was severely underfunded and had made only a handful of sales in its entire existence.
The conspirators focused heavily on touting Global Wholehealth Partners because the company purported to have access to an early COVID-19 testing product that it could sell to consumers. They hoped that creating excitement among investors about the company’s stock based on the pandemic would make their pump-and-dump scheme extremely profitable.
The Yafas were just two of several defendants who were charged. Their co-conspirators, Brian Volmer and Carl Marciniak of Nevada, and Charles Strongo of Calfornia, all previously pleaded guilty in connection with the scheme.
“This verdict should send a clear message: Pump-and-dump and similar market manipulation schemes are serious crimes, and the Department of Justice will continue to hold those who engage in these schemes accountable,” said U.S. Attorney Randy Grossman.” Grossman thanked the prosecution team and FBI agents who diligently pursued this matter.
“The FBI remains committed to aggressively pursuing individuals like the Yafa brothers who intentionally degrade the integrity of the United States financial markets,” said FBI San Diego Special Agent in Charge Stacey Moy. “Market manipulation schemes can be devastating for the victims they affect, and we will continue to collaborate with our local, state and federal partners to hold those who perpetrate them accountable.”
The U.S. Attorney’s Office expresses its appreciation for assistance provided by the Securities and Exchange Commission, and FINRA’s Criminal Prosecutions Assistance Group.
Joshua and Jamie Yafa are scheduled to be sentenced on September 25, 2023.
DEFENDANTS Case Number 21CR1310-WQH
Joshua Yafa Age: 49 Boca Raton, FL
Jamie Yafa Age: 44 Kissimmee, FL
SUMMARY OF CHARGES
Securities Fraud – Title 15, U.S.C., Section 78(j)
Conspiracy to Commit Securities Fraud – Title 18., U.S.C., Section 371
Maximum Penalty: Twenty years in prison
AGENCY
Federal Bureau of Investigation
Interstate Identity Thief Sentenced to More Than 5 Years in Federal Prison for Access Device Fraud and Aggravated Identity TheftRead the Press Release
Tampa, Florida – U.S. District Judge Virginia M. Hernandez Covington has sentenced Yonasky Fernandez Rosa (40, Tampa) to 4 years and 3 months in federal prison for access device fraud and aggravated identity theft. The court also sentenced Rosa to a consecutive 10-month sentence for violating the terms of his supervised release in a separate fraud case from the Northern District of Ohio. Rosa had pleaded guilty on February 8, 2023.
According to the plea agreement, in 2018, Rosa was convicted of access device fraud and aggravated identity theft in federal court in Cleveland, Ohio. After serving 22 months in prison, Rosa’s supervised release was transferred to the Middle District of Florida, during which he continued to commit identity theft and access device fraud. On April 6, 2021, Rosa used a victim’s personally identifiable information (PII) to purchase gas at a Circle-K in Plant City without the victim’s authorization. The victim told law enforcement that he did not know Rosa, did not authorize the purchase, and did not give Rosa permission to possess his PII.
On June 2, 2021, during a search of Rosa’s residence in the Town N’ Country neighborhood of Tampa, law enforcement officers discovered device-making equipment, including magnetic stripe encoders and skimmers, and hundreds of instances of PII in the form of credit card numbers, cardholder names, and PINs on Rosa’s laptop computer.
“The Secret Service is proud to partner with the Hillsborough County Sheriff’s Office, the Citrus County Sheriff’s Office, and the Florida Department of Agriculture and Consumer Services - Office of Agriculture Law Enforcement,” said Special Agent in Charge Robert Engel of the United States Secret Service – Tampa Field Office. “The results of this investigation are a testament to strong partnerships across the law enforcement community. The Secret Service remains committed to investigating those who engage in crimes that exploit our financial system.”
“I am beyond proud and thankful for the partnership we have with the United States Secret Service, the Florida Department of Agriculture and Consumer Services – Office of Agriculture Law Enforcement, and the Citrus County Sheriff’s Office,” said Hillsborough County Sheriff Chad Chronister. “There is no doubt that our shared dedication to protecting residents put a stop to Rosa’s inexcusable actions. Thankfully, he will no longer be able to victimize members of our community.”
“In partnership with state and federal law enforcement, our Agricultural Law Enforcement team was able to help bring down this criminal and prevent any further harm to consumers,” said Colonel Lee Adams, Director of FDACS’ Office of Agricultural Law Enforcement. “This case sends a clear warning signal to criminals who intend to target the residents and visitors of Florida with fraudulent schemes that these crimes are taken seriously and there will be consequences.”
This case was investigated by the United States Secret Service, the Florida Department of Agriculture and Consumer Services (FDAC) – Office of Agriculture Law Enforcement, the Citrus County Sheriff’s Office, and the Hillsborough County Sheriff’s Office, with assistance from the Florida Highway Patrol. It was prosecuted by Assistant United States Attorney David W.A. Chee.
Illinois Man Caught in St. Louis with AR-15 After Police Shooting Sentenced to 8 Years in PrisonRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Thursday sentenced a convicted felon who was caught with an AR-15-style rifle in St. Louis, Missouri after someone shot at a police officer in Illinois to eight years in prison.
Ryan Fleming, 31, of Belleville, Illinois, was first spotted early in the morning of Sept. 24, 2021 by a Washington Park police officer responding to a call for shots fired. During the resulting pursuit, someone in Fleming’s car fired repeatedly at the officer’s car, court filings say. Less than 90 minutes later, the Hyundai Sonata involved in the shooting was spotted and pursued by Saint Louis Metropolitan Police Department officers. Fleming, who was driving at speeds reaching 100 m.p.h. on Interstate 70, crashed into a concrete barrier while trying to exit in downtown St. Louis. He got out with a Palmetto State Armory PA-15 semi-automatic rifle but dropped it and ran. He was arrested nearby after a foot chase.
Fleming was found guilty by a federal jury in February of being a felon in possession of a firearm.
Fleming has prior convictions in Illinois including drug possession and two charges of unlawful possession of a firearm by a felon.
The case was investigated by the Saint Louis Metropolitan Police Department and the Illinois State Police. Assistant U.S. Attorney Ryan Finlen is prosecuting the case.
Illegal possession of firearm sends Billings felon to prisonRead the Press Release
BILLINGS — A Billings felon who admitted to illegally possessing a firearm after law enforcement found a gun in his vehicle, which had stopped in the middle of the road near Hardin, was sentenced today to 37 months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Cody Lawrence Big Hair, 32, pleaded guilty in February to prohibited person in possession of a firearm and ammunition.
U.S District Judge Susan P. Watters presided.
The government alleged in court documents that shortly after midnight on April 23, 2022, a Bureau of Indian Affairs officer came upon a pickup truck stopped in the middle of the road near Hardin, in Big Horn County. The officer conducted a wellness check and found Big Hair, the driver and sole occupant, who initially gave a false name and admitted he had been drinking and doing drugs. Big Hair also said he was “trying to kill somebody.” Big Hair was in possession of a .22-caliber bold action rifle, three knives and a pair of brass knuckles. Big Hair had a felony conviction in 2021 in Big Horn County and was prohibited from possessing firearms.
Assistant U.S. Attorney Benjamin D. Hargrove prosecuted the case. The Bureau of Indian Affairs and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
XXX
Highlands County Man Indicted for Sex TraffickingRead the Press Release
MIAMI – A federal grand jury in Fort Pierce, Florida has returned an indictment charging Shannima Yuantrell Session, aka Shalamar, 46, of Lake Placid, Fla. with 10 counts of sex trafficking.
According to court documents, between 2011 and 2019, Session allegedly trafficked 10 female victims (7 adults and 3 minors). It is alleged that Session recruited his victims through violence and threats, among other things; including offers of drugs, employment, and romantic relationships. Once Session had gained compliance from his victims, he then trafficked them for sex primarily in rural areas of Highlands County for his own profit.
If convicted, Session faces a mandatory minimum sentence of 15 years in prison, with a maximum sentence of life imprisonment, as well as a maximum of lifetime supervised release. Session is being held in custody pending trial.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, and Sheriff Paul Blackman of Highlands County Sheriff’s Office made the announcement.
FBI Miami and Highlands County Sheriff’s Office investigated the case. Assistant U.S. Attorney Justin Hoover and Trial Attorneys Leah Branch and Elizabeth Hutson of the Justice Department’s Civil Rights Division are prosecuting it.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-14074.
###
Hardin felon sentenced to prison for illegal possession of gunRead the Press Release
BILLINGS — A Hardin man with felony convictions was sentenced today to 21 months in prison, to be followed by three years of supervised release, after law enforcement found a firearm in a stolen truck he was driving during a pursuit that began near Billings and ended on the Crow Indian Reservation, U.S. Attorney Jesse Laslovich said today.
Casey Wallace Leider, 32, pleaded guilty in February to felon in possession of a firearm.
U.S. District Judge Susan P. Watters presided. The federal sentence is in addition to a 16-month sentence the Crow Tribal Court imposed on Leider for conviction for conduct from the same incident.
In court documents, the government alleged that in July 2021, Yellowstone County Sheriff’s Office deputies pursued a stolen Ford F-350 truck driven by Leider from the Lockwood area and onto the Crow Indian Reservation. The Bureau of Indian Affairs authorized the deputies to continue the chase onto the reservation. The pursuit involved police vehicles and a helicopter. The pursuit eventually ended near Pryor when the truck left the roadway and broke down in a field. Law enforcement arrested Leider, who told a deputy that he was high. Inside the truck was a pistol in plain sight. Leider had two felony convictions and was prohibited possessing firearms.
Assistant U.S. Attorney Lori Harper Suek prosecuted the case. The Bureau of Indian Affairs, Bureau of Alcohol, Tobacco, Firearms and Explosives and Yellowstone County Sheriff’s Office conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
XXX
Greene Medical Arts Pharmacy Pays $65,000 to Resolve Controlled Substances Act AllegationsRead the Press Release
ALBANY, NEW YORK – Greene Pharma LLC, dba Greene Medical Arts Pharmacy (Greene Pharma), a pharmacy in Catskill, New York, agreed to pay $65,000 to resolve allegations that it failed to comply with the Controlled Substances Act (CSA).
United States Attorney Carla B. Freedman and Special Agent in Charge Frank A. Tarentino III, U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.
During a January 2022 inspection and controlled substance audit, DEA determined that Greene Pharma failed to keep adequate records pertaining to the receipt and disposition of various controlled substances, including oxycodone, hydrocodone, alprazolam, methylphenidate, and buprenorphine. Greene Pharma subsequently performed a self-audit of its controlled substance records and was unable to account for 200 oxycodone tablets, 144 buprenorphine films, and 2 buprenorphine tablets, which the pharmacy concluded were likely stolen by an employee who had not been adequately screened before employment. DEA also determined that Greene Pharma failed to maintain records required by the CSA, including pseudoephedrine logs and Controlled Substance Ordering System (CSOS) electronic order forms. This settlement resolves the United States allegations that Greene Pharma caused controlled substances to be distributed without a valid prescription and failed to keep records required by the CSA.
As part of this resolution, and as a condition of maintaining its DEA Certificate of Registration, Greene Pharma also agreed to a Memorandum of Agreement with the DEA, which requires the pharmacy to perform employee background checks and maintain complete and accurate records pertaining to the receipt and sale of controlled substances.
This case was investigated by DEA Albany District Office’s Diversion Group. Assistant U.S. Attorney Christopher Moran represented the United States in this matter.
Fugitive Extradited from Hungary to the United States to Face Fraud ChargesRead 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 Uchenna Christian Nlemchi made his initial appearance in federal court in Albuquerque, New Mexico on June 7 after being extradited from Hungary on an indictment charging him with conspiracy, 13 counts of wire fraud, 12 counts of money laundering, aggravated identify theft, and conspiracy to commit money laundering. Nlemchi, 31, a Nigerian national, will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Nlemchi on May 24, 2017. According to the indictment, Nlemchi and his co-conspirators registered with online dating websites to initiate romantic relationships with victims for the purpose of tricking those individuals into transferring money to them by way of false and fraudulent pretenses, representations and promises. Simultaneously, the co-conspirators used phishing emails and malware to collect other victims’ email account names and passwords. They used this information to spy on email correspondence to identify upcoming financial transactions in order to divert and steal said funds and transfer them to bank accounts controlled by Nlemchi.
Nlemchi was arrested on these charges in June of 2017 and released on conditions pending trial. In Oct. of 2017, Nlemchi violated the conditions of his release, and an arrest warrant was issued. At that time, Nlemchi fled the country and was believed to have returned to his native Nigeria. The FBI pursued Nlemchi for five years before locating him in Hungary. Nlemchi was extradited to the United States and arrested on June 6, 2023. Nlemchi will remain in custody pending trial, which has not been scheduled.
The Albuquerque Division of the FBI investigated this case with assistance from the Albuquerque Police Department during the extradition process. Assistant U.S. Attorney Jeremy Peña is prosecuting the case.
###
23-132
Fugitive Extradited from Hungary to the United States to Face Fraud ChargesRead 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 Uchenna Christian Nlemchi made his initial appearance in federal court in Albuquerque, New Mexico on June 7 after being extradited from Hungary on an indictment charging him with conspiracy, 13 counts of wire fraud, 12 counts of money laundering, aggravated identify theft, and conspiracy to commit money laundering. Nlemchi, 31, a Nigerian national, will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Nlemchi on May 24, 2017. According to the indictment, Nlemchi and his co-conspirators registered with online dating websites to initiate romantic relationships with victims for the purpose of tricking those individuals into transferring money to them by way of false and fraudulent pretenses, representations and promises. Simultaneously, the co-conspirators used phishing emails and malware to collect other victims’ email account names and passwords. They used this information to spy on email correspondence to identify upcoming financial transactions in order to divert and steal said funds and transfer them to bank accounts controlled by Nlemchi.
Nlemchi was arrested on these charges in June of 2017 and released on conditions pending trial. In Oct. of 2017, Nlemchi violated the conditions of his release, and an arrest warrant was issued. At that time, Nlemchi fled the country and was believed to have returned to his native Nigeria. The FBI pursued Nlemchi for five years before locating him in Hungary. Nlemchi was extradited to the United States and arrested on June 6, 2023.
The Albuquerque Division of the FBI investigated this case with assistance from the Albuquerque Police Department during the extradition process. Assistant U.S. Attorney Jeremy Peña is prosecuting the case.
###
23-132
Fremont Man Indicted for Distributing Child PornographyRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on June 21, 2023, a federal grand jury had returned an indictment alleging that Joshua J. Ozment (age: 34) of Fremont, Wisconsin, distributed child pornography, in violation of Title 18, United States Code, Section 2252A(a)(2)(A).
According to the indictment, Ozment knowingly distributed a sexually explicit image of a prepubescent child via the internet. If convicted, Ozment faces a mandatory minimum of five years’ and up to 20 years’ imprisonment. He also faces a fine of up to $250,000.
This case was investigated by the Winnebago County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.
An indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.
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 U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
# # #
For Additional Information Contact:
Public Information Officer
414-297-1700
Follow us on Twitter
Fourth Defendant Sentenced to Prison for Multi-Million Dollar Gas Pump Skimming SchemeRead the Press Release
LAS VEGAS – The fourth defendant in a gas pump skimming scheme was sentenced today by United States District Judge Jennifer A. Dorsey to 81 months in prison followed by three years of supervised release for his role in a conspiracy to defraud victims of more than an estimated $5 million in Nevada and Southern California.
Adrian Leyva Tamayo, of Las Vegas, pleaded guilty in February 2023 to one count of conspiracy, one count of use of unauthorized access device, and one count of aggravated identity theft.
According to court documents, from at least April 2017 and continuing through August 2020, Leyva Tamayo, together with co-conspirators Danyer Manuel Alarcon Rodriguez, Juan Sosa Tamayo, and Francisco Rodriguez Gonzalez, conspired to use credit and debit card account numbers stolen from victims by means of skimmers attached to gas pumps in Las Vegas and various locations in California. As part of the conspiracy, Leyva Tamayo and his co-conspirators drove to gas station and broke into gas station pumps and installed skimmers on card payment terminals to steal credit and debit card account information from unsuspecting customers. They subsequently recoded the stolen account information and other personal data onto counterfeit cards. Then, the defendants used the counterfeit cards to fraudulently obtain goods and to make ATM cash withdrawals. Leyva Tamayo and his co-conspirators stole at least 8,229 credit and debit card numbers through the use of their skimmers, and caused a total estimated loss amount of $5,032,616.
Juan Sosa Tamayo was previously sentenced to 56 months in prison; Danyer Manuel Alarcon Rodriguez was previously sentenced to 61 months in prison; and Francisco Rodriguez Gonzalez was previously sentenced to 70 months in prison.
United States Attorney Jason M. Frierson for the District of Nevada and Special Agent in Charge Karon Ransom for the United States Secret Service made the announcement.
The United States Secret Service investigated the case. Assistant United States Attorneys Eric Schmale and Kimberly Frayn prosecuted the case.
If you are a victim of identity theft, you may make a report to the Federal Trade Commission (FTC) by calling 1-877-438-4338 or online at www.identitytheft.gov. For identity theft prevention tips and free resources visit www.ftc.gov/idtheft.
###
Four Nigerian Nationals Extradited to the United States to Face Charges in Wire Fraud and Identity Theft ConspiracyRead the Press Release
Tampa, Florida – United States Attorney Roger Handberg announces the successful extraditions of Akinola Taylor of the United Kingdom, Olayemi Adafin of the United Kingdom, Olakunle Oyebanjo of the United Kingdom, and Kazeem Olanrewaju Runsewe of Sweden. These individuals have been charged in the Middle District of Florida with conspiracy to commit wire fraud, filing false claims with the United States, theft of public money or property, and aggravated identity theft. Taylor, Adafin, and Runsewe were arrested on November 30, 2022, and Oyebanjo was arrested on December 2, 2022. Taylor, Adafin, and Oyebanjo were apprehended in London, United Kingdom at the request of the United States, and Runswewe was apprehended in Malmo, Sweden at the request of the United States. In connection with the arrests, foreign authorities conducted searches of the residences of Taylor and Runsewe. These individuals first appeared in the Middle District of Florida in May and June 2023. Another related defendant, Ogunlana Oluwarotimi of Texas, was arrested in Texas in January 2023 and is currently pending trial.
If convicted, each faces a maximum penalty of 20 years in federal prison for the wire fraud conspiracies, as well as additional penalties for the remaining counts. The indictments also notify the defendants that the United States intends to forfeit assets which are alleged to be traceable to proceeds of the offenses.
According to their indictments, Taylor and Runsewe obtained unauthorized access to United States businesses’ computer servers, participated in stealing from those servers the personally identifying information (PII) of U.S. residents, and used that information to file false and fraudulent IRS Form 1040, U.S. Individual Income Tax Returns (“Form(s) 1040”) seeking income tax refunds from the IRS. Adafin, Oyebajno, Ogunlana, and others assisted in the collection of fraud proceeds directed to prepaid debit cards in their possession or to addresses or bank accounts they controlled or to which they had access and transferred a share of the fraud proceeds to other conspirators.
One of the places that Taylor and Runsewe had obtained unauthorized access to computer servers was the xDedic Marketplace, a website that operated for years and was used to sell access to compromised computers worldwide and the PII of U.S. residents. The xDedic administrators strategically maintained servers all over the world to facilitate the operation of the website.
The xDedic Marketplace was taken down as part of coordinated, global enforcement operations led by the FBI Tampa Division, the IRS-CI Tampa Field Office, and the U.S. Attorney’s Office for the Middle District of Florida.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This investigation was led by the IRS-CI Cyber Crimes Unit in Washington, D.C. Substantial assistance was provided by the IRS-CI Tampa Field Office, the FBI Tampa Division, the Department of Justice’s Office of International Affairs, IRS-CI International Operations at Mission UK and Canada, Homeland Security Investigations (HSI), the United Kingdom’s National Extradition Unit, the United Kingdom’s Eastern Region Special Operation Unit, the United Kingdom’s North West Regional Organized Crime Unit, and the Swedish Economic Crime Authority. The cases will be prosecuted by Assistant United States Attorney Rachel Jones.
Fort Worth Oil & Gas Man Sentenced to 17+ Years for Wire Fraud, Ordered to Pay $16M RestitutionRead the Press Release
An oil and gas fraudster was sentenced to more than 17 years in federal prison for running a multi-million dollar Ponzi-type scheme, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Billy Marcum, Jr., 67, of Fort Worth, Texas, pleaded guilty in December 2022 to wire fraud. On Thursday, he was sentenced to 210 months in prison by U.S. District Judge Mark Pittman, who also ordered him to pay more than $16 million in restitution.
In plea papers, Mr. Marcum – the owner of a number of oil and gas companies, including Navarro Minerals, Caddo I, Bluecreek Operating, Fullspike Energy, Viejo Services, and Viejo Exploration – solicited money from investors, telling them their funds would be used to purchase oil and gas leases and to pay for well oil repairs and returns would be paid out of profits from the ensuing oil and gas sales.
A classic Ponzi scheme, instead of purchasing the leases, Mr. Marcum used new investors’ money to fund earlier investors’ returns, lulling them into believing their investments were sound and that they should continue investing with him. (He also used some of the investment money to pay personal expenses.)
In furtherance of the scheme, Mr. Marcum fabricated reports about oil production and sales and sent them to investors. The false run statements noted purported lease name and number, the gross volume of product taken, sales value, taxes paid, dates, and net amount to be paid to the operator. Marcum also recorded false lease assignments related to his scheme in counties throughout Texas to disguise his crime.
Around September 2018, Mr. Marcum realized he lacked sufficient revenues and could no longer raise sufficient funds to pay existing investors. He conspired with a man named Jay Taylor to solicit investor funds on behalf of several of his companies. Mr. Marcum knowingly supplied false information to Mr. Taylor, who used the information to successfully solicit additional funds.
In April 2022, Mr. Marcum admitted to FBI agents that he concocted false run statements about oil and gas sales and sent them directly to some investors and indirectly, through Mr. Taylor, to others in order to entice investments. He also admitted that he used new investor funds to pay off other investors and represented to them that the returns were from oil sales.
At sentencing, prosecutors said Mr. Marcum defrauded over 150 victims, collecting nearly $30 million in investor funds and inflicting over $16 million in losses.
Mr. Taylor also pleaded guilty to wire fraud and was sentenced in April to eight years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office – Fort Worth Resident Office conducted the investigation. Assistant U.S. Attorneys Nancy Larson, John de la Garza, and Beverly Chapman prosecuted the case.
Former Navy Chief Petty Officer Sentenced for Attempted Sex Trafficking of a MinorRead the Press Release
NORFOLK, Va. – A former Navy Chief Petty Officer was sentenced today to 17 years in prison for attempted coercion and enticement, attempted sex trafficking of a minor, obstruction of justice, and false statement to law enforcement officer.
According to court documents, Daniel Alan Puff, 38, from Virginia Beach, negotiated to receive a sex act from a 13-year-old female, believing he was speaking to her mother. In fact, he was communicating with an undercover law enforcement agent (UC). The investigation began on March 29, 2022, when Puff contacted the UC and agreed to pay $60 in exchange for a sex act from what he believed was a 13-year-old female. On March 30, 2022, the UC directed Puff to the meeting location in Chesapeake. Puff arrived at the agreed-upon meeting location in Chesapeake and surveilled the area to check for the presence of law enforcement. Puff then approved the UC, gave $60 to the UC, and stated the sex act he wished to engage in with the child. He was then arrested and taken into custody. While handcuffed in the back of a police vehicle, he deleted the text application from his phone and falsely claimed to a law enforcement agent that he was attempting to text someone.
Puff was found guilty of four counts by a jury on January 26, 2023.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen.
Assistant U.S. Attorney Megan Montoya and Special Assistant U.S. Attorney Victoria Liu prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:22-cr-44.
Former Idaho Commercial Driver’s License Skills Tester Sentenced to 2 Years in Federal Prison for Taking Bribes in Exchange for Passing Test ScoresRead the Press Release
BOISE – Kelly Nathaniel Goodman, 72, of Gooding, Idaho, was sentenced to two years in federal prison for honest services wire fraud, U.S. Attorney Josh Hurwit announced today.
U.S. District Court Judge Amanda K. Brailsford imposed the sentence, which also requires Goodman to forfeit $38,000.
To obtain a commercial driver’s license (CDL) in Idaho, an applicant must, among other requirements, receive a passing score from a CDL skills test examiner. The Idaho Transportation Department (ITD) contracts with third-party CDL skills test examiners to administer CDL skills tests in Idaho.
According to court records, since the 1990s until late 2021, Goodman was an Idaho CDL skills test examiner. Between December 2017 and May 2020, Goodman engaged in a scheme and artifice to defraud ITD’s right to honest services while serving as an Idaho CDL skills tester. Without the knowledge or permission of ITD, Goodman accepted at least $38,000 in bribes in return for providing passing scores on Idaho CDL skills tests. Goodman specifically pleaded guilty to receiving a bribe on August 31, 2021, in return for giving an individual a passing score on an Idaho CDL skills test.
U.S. Attorney Hurwit credited the cooperative efforts of the Federal Bureau of Investigation and U.S. Department of Transportation—Office of Inspector General, which led to the charges.
Former Dell City Employee Arrested for Allegedly Stealing Dell City FundsRead the Press Release
EL PASO, Texas – A City of Dell City woman was arrested Wednesday on a criminal charge related to her alleged theft of Dell City funds.
According to an indictment returned by an El Paso Grand Jury on June 14, Diana Suarez, 53, a former Dell City employee, used funds from the city’s bank accounts to make purchases and cash withdrawals for personal use between Sept. 13, 2020 and Sept. 12, 2021.
Suarez is charged with one count of theft concerning programs receiving federal funds. If convicted, she faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas and Special Agent in Charge Jeffrey R. Downey of the FBI El Paso Field Office made the announcement.
The FBI is investigating the case.
Assistant U.S. Attorney Anna Arreola is prosecuting the case, with Assistant U.S. Attorney Patricia Acosta handling the forfeiture component.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
Florida Man Sentenced for Role in Credit Card Fraud ConspiracyRead the Press Release
Tampa, FL – U.S. District Judge Thomas P. Barber has sentenced Jose Eloy Gonzalez Cuenca (33, Land O’Lakes) to four years and six months in federal prison for credit card fraud and aggravated identity theft. Gonzalez Cuenca had pleaded guilty on December 1, 2021.
According to court documents, between December 2020 and September 2021, Gonzalez Cuenca was involved in a conspiracy to install credit card skimmers on gas pumps in the Tampa area and throughout the United States to obtain stolen credit card and debit card account information. The conspirators then used the stolen information to commit fraud.
As part of the conspiracy, Gonzalez Cuenca sold credit card numbers and credit card skimming devices to others. Unbeknownst to him, one of the individuals to whom he sold numbers and devices was a confidential informant (CI) working with law enforcement. In April 2021, Gonzalez Cuenca sold the CI 1,000 credit and debit card account numbers and four credit card skimmers.
FDLE Tampa Bay Regional Operations Center Special Agent in Charge Mark Brutnell said, “Criminals like this who prey on Florida’s hardworking citizens and visitors to disrupt lives and empty bank accounts have no place in our great state. I am tremendously grateful to our members and partners who worked tirelessly on this case to not only bring this thief to justice but also to prevent anyone else from falling victim to his schemes.”
This case was investigated by the United States Secret Service and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorney Jennifer L. Peresie.
Florida Man Indicted for Federal Sex Trafficking OffensesRead the Press Release
A federal grand jury in Fort Pierce, Florida, returned an indictment charging a Florida man with 10 counts of sex trafficking.
According to court documents, between 2011 and 2019, Shannima Yuantrell Session, aka Shalamar, 46, of Lake Placid, trafficked seven women and three girls. Session allegedly recruited his victims through violence and threats, among other things; including offers of drugs, employment and romantic relationships. Once Session had gained compliance from his victims, he then trafficked them for sex primarily in rural areas of Highlands County for his own profit.
If convicted, Session faces a mandatory minimum sentence of 15 years in prison, with a maximum sentence of life imprisonment, as well as a maximum of lifetime supervised release. Session is being held in custody pending trial. A federal district judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jeffrey B. Veltri of the FBI Miami Field Office and Sheriff Paul Blackman of Highlands County Sheriff’s Office made the announcement.
The FBI Miami Field Office investigated this case, with assistance from the Highlands County Sheriff’s Office.
Assistant U.S. Attorney Justin Hoover for the Southern District of Florida and Trial Attorneys Leah Branch and Elizabeth Hutson of the Civil Rights Division’s Human Trarfficking Prosecution Unit are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Federal correctional officer indicted on excessive force and obstruction chargesRead the Press Release
ATLANTA - Justin Newkirk has been arraigned on federal charges of using excessive force against an inmate at the U.S. Penitentiary in Atlanta (“USP-Atlanta”) and for writing a false incident report to justify his use of force.
“Correctional officers perform a particularly challenging and critical job in maintaining order and protecting inmates in our nation’s prisons and jails,” said U.S. Attorney Ryan K. Buchanan. “But this officer’s alleged misconduct of abusing an inmate and then writing a detailed false report to conceal the crime demands accountability.”
“Newkirk allegedly used excessive force and then lied to try to cover up his conduct. The Department of Justice Office of the Inspector General is committed to holding accountable those that abuse their power,” said James F. Boyersmith, Special Agent in Charge of the Department of Justice Office of the Inspector General Miami Field Office.
According to U.S. Attorney Buchanan, the charges, and other information presented in court: At the time of the alleged misconduct, Justin Newkirk was employed as a correctional officer at USP-Atlanta. On March 17, 2022, Newkirk allegedly sprayed an inmate with pepper spray repeatedly without any legal justification. Following the assault, Newkirk also allegedly wrote a report in which he falsely claimed that it was necessary for him to use pepper spray after the inmate lunged at him with a closed fist “showing imminent signs of violence.”
Justin Newkirk, 35, of Locust Grove, Georgia, was arraigned before U.S. Magistrate Judge Russell G. Vineyard. Newkirk was indicted by a federal grand jury on June 13, 2023. Members of the public are reminded that the indictment contains only charges. The defendant is presumed innocent of the charges, and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Department of Justice’s Office of Inspector General.
Assistant U.S. Attorneys Bret R. Hobson and Brent Alan Gray 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.
Federal Jury Convicts Statesville Man of Child PornographyRead the Press Release
STATESVILLE, N.C. – A federal jury convicted Jessie Leroy Glass, Jr., 49, of Statesville, for possession and receipt of child pornography, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Kenneth D. Bell presided over the two-day trial which ended late yesterday.
Robert M. DeWitt, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Sheriff Darren Campbell of the Iredell County Sheriff’s Office join U.S. Attorney King in making today’s announcement.
According to trial evidence, witness testimony and filed court documents, between January and February 2020, Glass received and possessed images and videos of child pornography. As trial evidence established, the Iredell County Sheriff’s Office initiated an investigation into Glass after an individual alerted law enforcement about Glass’s possession of child pornography. Over the course of the investigation, law enforcement recovered two cell phones associated with Glass. A forensic analysis of the cell phone devices revealed that they contained images and videos depicting the sexual abuse of children, including infants and toddlers.
The jury convicted Glass of three counts of receipt of child pornography and one count of possession of child pornography. Glass was released on bond. A sentencing date has not been set.
The charge of possession of child pornography carries a statutory penalty of up to 20 years in prison. Each count of receipt of child pornography carries a minimum sentence of five years in prison and a maximum sentence of 20 years in prison.
In making today’s announcement, U.S. Attorney King commended the FBI, HSI, and the Iredell County Sheriff’s Office for their investigation of the case.
Assistant United States Attorneys Kimlani Ford and Stephanie Spaugh of the U.S. Attorney’s Office in Charlotte are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by 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.
Federal Grand Jury Indicts Louisville Man for Transporting Minors Across State Lines with Intent to Engage in Criminal Sexual ActivityRead the Press Release
Louisville, KY – A federal grand jury in Louisville, Kentucky, returned an indictment on June 21, 2023, charging a Louisville man with four counts of transporting a minor in interstate commerce with the intent to engage in criminal sexual activity.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Chief Jacquelyn Gwinn-Villaroel of the Louisville Metro Police Department made the announcement.
According to the indictment and a previously filed criminal complaint, during the late hours of May 7, 2023, going into May 8, 2023, Brian Anthony Sauer, 44, transported three minor girls who had run away from a residential care facility in Louisville, Kentucky, to Clarksville, Indiana, and subsequently engaged in sexual activity with the girls. Sauer ultimately drove all three girls to a trailer park in the southwest area of Jefferson County, Kentucky, where he left them on May 10, 2023.
Sauer previously made his initial appearance before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky and he was ordered detained pending trial. Sauer is scheduled for arraignment on June 23, 2023.
If convicted, Sauer faces a mandatory minimum sentence of 10 years in prison and maximum potential penalties of life in prison, a $250,000.00 fine, and at least five years of supervised release. A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors. There is no parole in the federal system.
The Louisville Metro Police Department’s Crimes Against Children Unit is investigating the case.
Assistant U.S. Attorney Jo E. Lawless is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
FBI and Seattle Police arrest three connected to illegal gun possession and firearms traffickingRead the Press Release
Seattle – Three Seattle-area men were arrested today on a criminal complaint charging each defendant with unlawful possession of a firearm, announced Acting U.S. Attorney Tessa M. Gorman. Marquise Tolbert, 27, of Tacoma, Washington, Parchey Kelly, 29, of Issaquah, Washington, and Kisean Coleman, 22, of Renton, Washington, were arrested today. The men made their initial appearances in U.S. District Court in Seattle today.
According to the criminal complaint, Marquise Tolbert is alleged to have possessed firearms on May 28, 2023, and on June 1, 2023. Tolbert is prohibited from possessing firearms due to a September 2022 conviction in King County Superior Court for illegally possessing a firearm. Kelly allegedly possessed a firearm on May 30, 2023. Kelly is a prohibited person due to a conviction for assault – a domestic violence conviction from 2019. Coleman is alleged to have possessed a firearm on June 1, 2023. Coleman is a prohibited person due to theft and robbery convictions in King County Superior Court in 2019.
According to a detailed criminal complaint, investigators with the FBI Safe Streets task force, the DEA, and the Seattle Police Gun Violence Reduction Unit, were investigating a drug trafficking organization when Tolbert and the other defendants were heard on the wiretap discussing a gang related shoot-out in Federal Way. From that point on, investigators worked to identify those who were possessing and using firearms as part of their criminal activity.
In various conversations, Tolbert, Coleman, and Kelly discussed their efforts to obtain, buy or sell firearms. In some instances, the men texted images of the firearms they wanted to buy or sell. On May 30, 2023, law enforcement executed a search warrant in the 3800 block of Klahanie Drive SE, in Issaquah and seized four firearms from Kelly’s car and residence in an effort to interdict the gun sales.
On June 1, 2023, the wiretap indicated Tolbert was in the process of buying a Ruger handgun from Coleman. Law enforcement obtained a warrant and searched Tolbert’s residence seizing the Ruger firearm.
Coleman was arrested today, and additional firearms were seized from his residence. Tolbert was arrested on the federal charges today when he reported to his state probation officer. Kelly was arrested today without incident.
Illegal firearms possession is punishable by up to 15 years in prison.
The charges contained in the criminal complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI, the Seattle Police Department, and the DEA as part of their focus on getting firearms off the streets.
The case is being prosecuted by Assistant United States Attorneys Stephen Hobbs and Michelle Jensen.