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Monday 17 April 2023
West Bloomfield Doctor Pleads Guilty to Illegally Distributing Prescription DrugsRead the Press Release
DETROIT, Mich. - A West Bloomfield physician pleaded guilty today to illegally distributing over 7,000 oxycodone pills, a Schedule II prescription drug-controlled substance, announced United States Attorney Dawn N. Ison.
Ison was joined in the announcement by Special Agent in Charge Orville Greene, Drug Enforcement Administration, Detroit Field Division.
Scott Henry Cooper, 61, pleaded guilty before United States District Judge Denise Page Hood.
According to court records, Cooper practiced as a primary care physician at a medical clinic, Comprehensive Medical Associates, located in West Bloomfield, MI, from 2013 through 2018. A portion of his practice involved patients who sought highly abused and valuable prescription drug-controlled substances such as oxycodone, hydrocodone, methadone, alprazolam (Xanax) and dextroamphetamine-amphetamine (Adderall). The defendant was required by his employer to see Medicaid (low income) patients. Cooper admitted that his controlled substance patients were problem patients, he did not want to see them, and in fact he often did not see them while continuing to prescribe controlled substances.
One such patient served time in prison from January 9, 2015 until December 7, 2017. For almost three years the defendant wrote monthly prescriptions for the patient without an examination or determination of medical necessity. The prescriptions were picked up at the front desk by a relative while the patient was in prison. The drugs prescribed by Cooper to the patient while the patient was in prison totaled over 7,000 dosage units. The count of conviction relates to a prescription written on October 16, 2017, without an examination or determination of medical necessity. The prescription was for 120 dosage units of oxycodone 15mg.
Under the terms of the guilty plea agreement, the judge must impose a sentence of at least 44 months in prison and may impose a sentence of up to 87 months of imprisonment. The exact sentence imposed will be determined at sentencing, which will take place on August 24, 2023, at 2 PM.
The defendant has not been able to prescribe any prescription drug-controlled substances since June of 2020, due to bond conditions imposed by the court.
“A doctor who supplies a patient with addictive and dangerous controlled substances without assessing the patient’s need for the drugs endangers the patient and the community,” stated U.S. Attorney Ison. “My office is committed to keeping highly addictive opioids off the street, and we will aggressively investigate and prosecute doctors who illegally distribute controlled substances.”
Special Agent in Charge Orville stated, ““Dr. Cooper’s actions were reckless and criminal. This type of negligence by medical personnel is what fuels addiction. We will continue to work with our law enforcement partners to investigate and hold accountable those who act illegally and put patients’ health and safety at risk.”
The case was investigated by agents of the Drug Enforcement Administration. The case is being prosecuted by Assistant United States Attorney Wayne F. Pratt of the Health Care Fraud Unit.
Webster Man Found Guilty of Distributing, Receiving, and Possessing Child Sexual Abuse MaterialRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Jesse James Bertetto (29, Webster) guilty of four counts of distributing, receiving, and possessing child sexual abuse material. Bertetto faces a minimum mandatory sentence of 5 years, up to 20 years, in federal prison for each count. He is also required to register as a sex offender. Bertetto had been indicted on May 10, 2022.
According to testimony and evidence presented at trial, in December 2020, Bertetto possessed child sexual abuse material on his cellphone, including images and videos of minors under the age of 12. The web history on his cellphone revealed that he had searched for child sexual abuse material and had visited websites known to law enforcement as frequently containing child sexual abuse material.
In January 2022, Bertetto continued to possess images and videos of children on another cellphone, including young children being sexually abused. He also actively traded videos of child sexual abuse material over a social media platform in January 2022.
This case was investigated by Homeland Security Investigations (HSI) – Tampa, and the Volusia County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Ilyssa M. Spergel.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
U.S. Attorney Announces Arrest of Bronx Woman for Threatening to Shoot up A New Rochelle Restaurant and Sports Bar on A Saturday NightRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Robert Gazzola, the Commissioner of the New Rochelle Police Department (“NRPD”), announced that JAYLEEN MOTA was arrested on April 16, 2023, and charged via a criminal Complaint filed in White Plains federal court with making threatening interstate communications, in which MOTA threatened to shoot up a popular nationwide chain restaurant and sports bar located on LeCount Place in New Rochelle on Saturday night. MOTA will be presented in White Plains federal court later today before United States Magistrate Judge Andrew E. Krause.
U.S. Attorney Damian Williams said: “Actual or threatened gun violence cannot be tolerated. Simply put, those who place the public in fear by engaging in or threatening the use of violence will be held accountable. This Office commends the swift action of the New Rochelle Police Department and the FBI in quickly tracking down this threat.”
FBI Assistant Director in Charge Michael J. Driscoll said: “As alleged, Ms. Mota sent a series of text messages in which she threatened to commit a mass shooting at a crowded New Rochelle restaurant. Communicating threats like those we allege she made can waste valuable law enforcement resources and cause unnecessary alarm in our communities. Today’s charges should serve as a reminder for all that the FBI takes these types of threats seriously, and there will be consequences for those who make them.”
NRPD Commissioner Robert Gazzola said: “I want to commend the New Rochelle Police detectives, members of the Westchester County Department of Public Safety's Real Time Crime Center, the FBI, and the U.S. Attorney's Office. They worked quickly and diligently to identify and arrest the individual who allegedly made threats of mass violence directed at a local New Rochelle restaurant. It is a testament to the professional cooperation that exists in law enforcement today. The New Rochelle Police Department does not tolerate such acts and will make every effort to identify and arrest anyone making such threats.”
As alleged in the Complaint filed today:[1]
On April 15, 2023, the NRPD received a call from an individual (“Caller-1”) who had received an initial text message from an unknown person, later identified as MOTA, threatening to “shoot[] up” a popular nationwide chain restaurant and sports bar located on LeCount Place in New Rochelle (the “Victim Restaurant”). The text message further stated that there would be a “massacre” and “lots of people are going down.” A subsequent text message stated that “[t]odays a busy night because of the game DON’T TAKE ME AS A JOKE lots of people will die DON’T CALL THE STORE AND RUIN MY PLANS I’m gonna make the news.”
That same day, the NRPD received a call from a second individual (“Caller-2”) who had received an identical text message from an unknown person threatening to “shooting[] up” the Victim Restaurant and commit a “massacre,” stating, “lots of people are going down.”
The NRPD took the phone number from which the text-message threats were sent and traced the number back to MOTA. On the evening of April 15, 2023, pursuant to a search warrant, the FBI and New Rochelle Police searched MOTA’s apartment and found both MOTA and the cellphone from which MOTA sent the threats. After informing MOTA of her Miranda rights, she consented to being interviewed and admitted that she had sent text messages threatening to shoot up the Victim Restaurant to five individuals.
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MOTA, 21, of the Bronx, New York, is charged with making threatening interstate communications, which carries a maximum sentence of five years in prison.
The maximum potential penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Williams praised the outstanding investigative efforts of the NRPD and the FBI’s Westchester Safe Streets Task Force, which consists of investigators and analysts from the FBI and other New York state and local agencies.
The case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Timothy Ly is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the descriptions of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Two Inmates Sentenced to Prison for Possessing Weapons at FCI McDowellRead the Press Release
BLUEFIELD, W.Va. – Two inmates were each sentenced today for possession of a weapon by an inmate of a federal prison for separate incidents at the Federal Correctional Institution (FCI) McDowell.
Artemas Roberts, 42, was sentenced to one year and six months in prison, to be followed by three years of supervised release. According to court documents and statements made in court, on April 6, 2022, FCI McDowell staff conducted a random visual search of Roberts. Staff found a handcrafted weapon commonly known as a “shank” and several doses of a substance that Roberts admitted was suboxone. The shank was a sharpened metal medical scalpel with a plastic handle, and was designed and intended to be used as a weapon. Roberts admitted to possessing the shank and the suboxone, and further admitted that he did not have a prescription for the suboxone.
Ray Ramirez-Bueno, 59, was sentenced to three years and five months in prison, to be followed by three years of supervised release. On June 10, 2021, a FCI McDowell staff member conducting a pat-down search of Ramirez-Bueno found a “shank” on his person. The object was a piece of metal approximately four inches long, sharpened to a point on one end. Ramirez-Bueno admitted to possessing the object and further admitted that it was designed and intended to be used as a weapon.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Prisons.
Senior United States District Judge David A. Faber imposed the sentences. Assistant United States Attorney Timothy D. Boggess prosecuted the cases.
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. 1:22-cr-143 (Roberts) and (1:21-cr-210).
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Two Individuals Arrested for Operating Undeclared Police Station of the Chinese Government in Chinatown in ManhattanRead the Press Release
Today, a complaint was unsealed in federal court in Brooklyn charging two defendants in connection with opening and operating an undeclared overseas police station, located in lower Manhattan, for the Ministry of Public Security (“MPS”) of the People’s Republic of China (“PRC”). Lu Jianwang and Chen Jinping were arrested earlier this morning at their homes in New York City. Their initial appearances are scheduled this afternoon before United States Magistrate Judge James R. Cho.
Breon Peace, United States Attorney for the Eastern District of New York; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; and Michael J. Driscoll, Assistant Director-in-Charge, FBI, New York Field Office, announced the arrests and charges.
“This prosecution reveals the Chinese government’s flagrant violation of our nation’s sovereignty by establishing a secret police station in the middle of New York City,” stated United States Attorney Peace. “As alleged, the defendants were directed to do the PRC’s bidding, including helping locate a Chinese dissident living in the United States, and obstructed our investigation by deleting their communications with a Chinese Ministry of Public Security official. Such a police station has no place here in New York City—or any American community.”
“The PRC, through its repressive security apparatus, established a secret physical presence in New York City to monitor and intimidate dissidents and those critical of its government,” stated Assistant Attorney General Olsen. “The PRC’s actions go far beyond the bounds of acceptable nation-state conduct. We will resolutely defend the freedoms of all those living in our country from the threat of authoritarian repression.”
“The defendants, operating on behalf of the government of the People’s Republic of China, are alleged to have operated an undeclared police station in downtown New York City,” stated FBI Assistant Director-in-Charge Driscoll. “Upon learning of the FBI’s investigation into the police station, the defendants erased their communications to conceal their activities. Clandestine police stations operating within our communities are not only illegal but infringe on the United States' freedom - they will not be tolerated. The FBI is unwavering in our mission to protect the American people and uphold our Constitution; anyone working on behalf of a hostile foreign nation to violate our national security and freedoms will be held accountable.”
As alleged in the complaint, Lu Jianwang and Chen Jinping are charged with conspiring to act as agents of the PRC government as well as obstructing justice by destroying evidence of their communications with an MPS official (the “MPS Official”). While acting under the direction and control of the MPS Official, the defendants worked together to establish the first known overseas police station in the United States on behalf of the Fuzhou branch of the MPS. The police station—which closed in the fall of 2022—occupied an entire floor in an office building in Manhattan’s Chinatown. Lu and Chen helped open and operate the clandestine police station. None of the participants in the scheme informed the U.S. government that they were helping the PRC government surreptitiously open and operate an undeclared MPS police station on U.S. soil.
Before helping open the police station in early 2022, Lu had a longstanding relationship of trust with PRC law enforcement, including the MPS. Since 2015, and through the operation of the secret police station, Lu was directed to assist the PRC government’s repressive activities on U.S. soil:
- In 2015, during PRC President Xi Jinping’s visit to the United States, Lu participated in counterprotests in Washington, D.C. against members of a religion that is forbidden under PRC law. A deputy director of the MPS awarded Lu a plaque for the work he performed on behalf of the PRC government.
- In 2018, Lu was enlisted in efforts to cause a purported PRC fugitive to return to the PRC. The victim reported being repeatedly harassed to return to the PRC, including through threats of violence made to the victim and the victim’s family in the United States and in the PRC.
- In 2022, the MPS Official sought Lu’s assistance in locating an individual living in California who is a pro-democracy activist. In turn, Lu enlisted the help of another co-conspirator. Later, when confronted by the FBI about these conversations, Lu denied that they occurred.
In October 2022, the FBI conducted a judicially authorized search of the illegal police station. In connection with the search, FBI agents interviewed both Lu and Chen and seized their phones. In reviewing the contents of these phones, FBI agents observed that communications between Lu and Chen, on the one hand, and the MPS Official, on the other, appeared to have been deleted. In subsequent consensual interviews, Lu and Chen admitted to the FBI that they had deleted their communications with the MPS Official after learning about the ongoing FBI investigation, thus preventing the FBI from learning the full extent of the MPS’s directions for the overseas police station.
If convicted of conspiring to act as agents of the PRC, the defendants face a maximum sentence of five years in prison. The obstruction of justice charge carries a maximum sentence of 20 years in prison.
The charges in the complaints are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Alexander A. Solomon, and Antoinette N. Rangel are in charge of the prosecution, with assistance from Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section.
The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. If you believe that you are or have been a victim of transnational repression, please visit https://www.fbi.gov/investigate/counterintelligence/transnational-repression.
The Defendants:
Lu Jianwang
Age: 61
Bronx, New YorkE.D.N.Y. Docket No. 23-MJ-265
Chen Jinping
Age: 59
Manhattan, New YorkE.D.N.Y. Docket No. 23-MJ-265
Two Arrested for Operating Illegal Overseas Police Station of the Chinese GovernmentRead the Press Release
A complaint was unsealed today in federal court in Brooklyn, New York, charging two defendants in connection with opening and operating an illegal overseas police station, located in lower Manhattan, New York, for a provincial branch of the Ministry of Public Security (MPS) of the People’s Republic of China (PRC). “Harry” Lu Jianwang, 61, of the Bronx, and Chen Jinping, 59, of Manhattan, were arrested earlier this morning at their homes in New York City. Their initial appearances are scheduled this afternoon in Brooklyn before U.S. Magistrate Judge Ramon E. Reyes Jr.
As alleged in the complaint, Lu and Chen are charged with conspiring to act as agents of the PRC government as well as obstructing justice by destroying evidence of their communications with an MPS official. The defendants worked together to establish the first overseas police station in the United States on behalf of the Fuzhou branch of the MPS. The police station – which closed in the fall of 2022 after those operating it became aware of the FBI’s investigation – occupied a floor in an office building in Manhattan’s Chinatown. While acting under the direction and control of an MPS Official, Lu and Chen helped open and operate the clandestine police station. None of the participants in the scheme informed the U.S. government that they were helping the PRC government surreptitiously open and operate an illegal MPS police station on U.S. soil.
“The PRC, through its repressive security apparatus, established a secret physical presence in New York City to monitor and intimidate dissidents and those critical of its government,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The PRC’s actions go far beyond the bounds of acceptable nation-state conduct. We will resolutely defend the freedoms of all those living in our country from the threat of authoritarian repression.”
“This prosecution reveals the Chinese government’s flagrant violation of our nation’s sovereignty by establishing a secret police station in the middle of New York City,” said U.S. Attorney Breon Peace for the Eastern District of New York. “As alleged, the defendants and their co-conspirators were tasked with doing the PRC’s bidding, including helping locate a Chinese dissident living in the United States, and obstructed our investigation by deleting their communications. Such a police station has no place here in New York City – or any American community.”
“It is simply outrageous that China’s Ministry of Public Security thinks it can get away with establishing a secret, illegal police station on U.S. soil to aid its efforts to export repression and subvert our rule of law,” said Acting Assistant Director Kurt Ronnow of the FBI Counterintelligence Division. “This case serves as a powerful reminder that the People’s Republic of China will stop at nothing to bend people to their will and silence messages they don’t want anyone to hear. The FBI is dedicated to protecting everyone in the United States against efforts to undermine our democratic freedoms, and we’ll hold any state actors – and those who help them – accountable for breaking our laws.”
Before helping to open the police station in early 2022, Lu had a longstanding relationship of trust with PRC law enforcement, including the MPS. Since 2015, and through the operation of the secret police station, Lu was tasked with carrying out various activities, including to assist the PRC government’s repressive activities on U.S. soil:
- In 2015, during PRC President Xi Jinping’s visit to the United States, Lu participated in counterprotests in Washington, D.C,. against members of a religion that is forbidden under PRC law. A deputy director of the MPS awarded Lu a plaque for the work he performed on behalf of the PRC government.
- In 2018, Lu was enlisted in efforts to cause a purported PRC fugitive to return to the PRC. The victim reported being repeatedly harassed to return to the PRC, including through threats of violence made to the victim and the victim’s family in the United States and in the PRC.
- In 2022, the MPS Official sought Lu’s assistance in locating an individual living in California who is a pro-democracy activist. In turn, Lu enlisted the help of another coconspirator. Later, when confronted by the FBI about these conversations, Lu denied that they occurred.
In October 2022, the FBI conducted a judicially authorized search of the illegal police station. In connection with the search, FBI agents interviewed both Lu and Chen and seized their phones. In reviewing the contents of these phones, FBI agents observed that communications between Lu and Chen, on the one hand, and the MPS Official, on the other, appeared to have been deleted. In subsequent consensual interviews, Lu and Chen admitted to the FBI that they had deleted their communications with the MPS Official after learning about the ongoing FBI investigation, thus preventing the FBI from learning the full extent of the MPS’s directions for the overseas police station.
If convicted of conspiring to act as agents of the PRC, the defendants face a maximum sentence of five years in prison. The obstruction of justice charge carries a maximum sentence of 20 years in prison.
The FBI New York Field Office investigated the case.
Assistant U.S. Attorneys Alexander A. Solomon and Antoinette N. Rangel for the Eastern District of New York, and Trial Attorney Scott A. Claffee of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
The FBI has created a website for victims to report efforts by foreign governments to stalk, intimidate, or assault people in the United States. If you believe that you are or have been a victim of transnational repression, please visit: www.fbi.gov/investigate/counterintelligence/transnational-repression.
The charges in the complaint are merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Three Men Indicted for Murder-for-Hire PlotRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment Thursday against Jagninder Singh Boparai, 46, of Manteca; Ramesh Kumar Birla Jr., 45, of Dublin; and Shaminderjit Singh Sandhu, 49, of Tracy; charging all three with conspiracy to use interstate commerce facilities in the commission of murder for hire, and charging Boparai with the use of interstate commerce facilities in the commission of murder for hire, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in February 2023, Boparai met with a person he believed to be a hitman at a Starbucks in Manteca. Unbeknownst to Boparai and the other defendants throughout their interactions, the hitman was a confidential informant working for the FBI. Boparai told the supposed hitman that the first job involved the assault of Victim 1, and once he proved his trustworthiness, he would be given another job. The following day, Boparai met the confidential informant again and offered to pay $6,000 for the assault of Victim 1. In March 2023, in the presence of Birla and another individual, Boparai met with the confidential informant, and Boparai gave the confidential informant $1,000 as a down payment for the assault. According to court documents, after more time had passed, the confidential informant showed Boparai a staged photo of Victim 1 laying on the ground covered in bruises, dirt, and blood to indicate the assault had occurred. Boparai said he liked the photo and told the confidential informant that he had two other “jobs,” one of which involved robbing a business, and the other involved making a person “disappear.”
According to court documents, in March 2023, Boparai met with the confidential informant to pay the confidential informant $10,000 as a down payment for the murder of Victim 2. Sandhu provided Victim 2’s address, and Boparai instructed the confidential informant that Victim 2 must disappear without any evidence remaining. Boparai then made two calls to Birla asking for Victim 2’s Facebook profile. Boparai subsequently received a Facebook profile picture of Victim 2, which he showed to the confidential informant. On March 24, 2023, Sandhu and Birla met with the confidential informant in a parking lot in Manteca. Sandhu and Birla claimed that Boparai was out of town, but Boparai was observed by surveillance remaining in a car in the same parking lot. Sandhu and Birla instructed the confidential informant to kill Victim 2 and take Victim 2’s remains to Mexico in a suitcase.
All three defendants were arrested on March 31, 2023, and are currently in federal custody.
This case is the product of an investigation by the Federal Bureau of Investigation with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, the California Department of Corrections and Rehabilitation, the California Highway Patrol, the Ceres Police Department, the Dublin Police Department, Homeland Security Investigations, the Lathrop Police Department, the Modesto Police Department, the San Joaquin County Probation Office, the San Joaquin County Sheriff’s Office, the Stanislaus County District Attorney’s Bureau of Investigation, the Stanislaus County Sheriff’s Office, the Stockton Police Department, the Tracy Police Department, the Turlock Police Department, and the U.S. Attorney’s Office for the Northern District of California. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
If convicted, each defendant faces a maximum statutory penalty of 10 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Sumter Woman Sentenced to Federal Prison in Tax and Covid-19 Loan Fraud SchemeRead the Press Release
COLUMBIA, SOUTH CAROLINA — Maggie-Anne Boler, 61, of Sumter, was sentenced to 2.5 years in federal prison in relation to a scheme to submit false tax returns and a fraudulent Payroll Protection Plan (PPP) loan to the United States. The schemes defrauded the United States out of roughly $180,000.
According to evidence presented during Boler’s trial and sentencing, Boler promised friends and family that she knew a secret way to get them large refunds from the Internal Revenue Service (IRS). Boler used her bogus system to prepare tax returns for herself, her disabled brother, and others. Boler would claim huge unsubstantiated withholdings on the returns, generating tax refunds of as much as $44,000. Some of Boler’s family members were unemployed and had no actual withholdings during the year. Once the fraudulent returns were discovered by the IRS, Boler’s friends and family were forced to repay the refunds and were burdened with additional penalties and fees. Many of the relatives testified during the trial that Boler took a fee for preparing the returns and promised them that her methods were lawful and that she knew obscure rules that would get them large refunds.
In addition to the tax fraud, Boler received a $20,000 PPP loan based on her fraudulent claims. Evidence produced during the trial showed that Boler took these PPP funds while also receiving thousands of dollars in South Carolina unemployment benefits during the Covid-19 pandemic.
“Maggie-Anne Boler made false promises, defrauded American taxpayers, and stole from businesses in desperate need of support during the Covid-19 pandemic,” said U.S. Attorney Adair F. Boroughs. “Our office is committed to vigorously prosecuting financial fraud in all its forms, and we encourage the public to ensure they are only working with reputable tax professionals this tax season.”
“The defendant in this case thought she had figured out a clever scheme to thwart the IRS and steal from American taxpayers,” said Donald “Trey” Eakins, IRS Criminal Investigation Special Agent in Charge. “This sentencing is an important victory for America's taxpayers who play by the rules and have no tolerance for those who make up their own rules.”
“Financial fraud undermines the integrity of the U.S. tax system and erodes consumer confidence,” said FBI Columbia Special Agent in Charge, Steve Jensen. “This sentence should serve as a warning to others that such criminal activity will not be tolerated. The FBI, along with our federal partners, will continue to hold perpetrators accountable for their actions.”
Senior United States District Judge Terry L. Wooten sentenced Boler to 30 months in prison. She was also ordered to repay $53,696.00 in restitution to the United States Small Business Administration and the IRS.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service. The case was prosecuted by Assistant United States Attorneys Cate Cardinale and T. DeWayne Pearson.
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South Los Angeles Man Found Guilty of Knowingly Recruiting Teenage Girls for Commercial Sex Work and Trafficking an Adult via ThreatsRead the Press Release
LOS ANGELES – A South Los Angeles man was found guilty by a jury today of nine felonies for recruiting and enticing teenage girls for whom he acted as a “pimp” and providing them for commercial sex work.
Donavin Dwayne Bradford, 31, was found guilty of one count of conspiracy to commit sex trafficking with a minor, three counts of sex trafficking of a minor, three counts of sexual exploitation of a minor for the purpose of producing a sexually explicit visual depiction, one count of possession of child pornography, and one count of sex trafficking through threats of force, fraud, or coercion.
According to evidence presented at a five-day trial, from the summer of 2021 to February 2022, Bradford conspired with Layla Kalani Valdivia, 23, of Ventura, to cause one of the minor victims – a then-15-year-old girl – to be used for commercial sex acts. Bradford recruited the victim to work for him as a commercial sex worker. As the victim’s “pimp,” Bradford expected the girl to earn him $1,000 per night.
Bradford and Valdivia advertised the girl for commercial sex work on various websites, and customers who responded to the ads were directed to various hotels and motels where they engaged in commercial sex acts with the victim. Sometimes the minor victim would be required to perform sex acts with Valdivia and a sex client together. Customers paid Bradford for “dates” with the victim or she would be required to give Bradford or Valdivia her earnings.
Bradford assaulted the minor victim when she tried to stop working for him on two separate occasions. Bradford also filmed himself engaging in sex acts on two separate occasions with her.
From March 2021 to November 2021, Bradford recruited and enticed two other girls – ages 16 and 17 – to engage in commercial sex activity.
From May 2021 to August 2022, Bradford also recruited and sex trafficked an adult victim through threats of force, fraud or coercion, including multiple instances of violence.
Bradford and Valdivia have been in federal custody since August 2022.
United States District Judge John A. Kronstadt scheduled an August 17 sentencing hearing, at which time Bradford will face a mandatory minimum of 15 years in federal prison and a statutory maximum sentence of life in federal prison.
Valdivia pleaded guilty in December 2022 to one count of conspiracy to commit sex trafficking of a minor and one count of sex trafficking of a minor. Her sentencing hearing is scheduled for May 4, at which time she will face a mandatory minimum sentence of 10 years in federal prison and a statutory maximum sentence of life imprisonment.
The FBI Los Angeles Field Office and the FBI Los Angeles Child Exploitation and Human Trafficking Task Force coordinated with multiple law enforcement partners and thanks them for their participation and assistance, including: the Los Angeles Police Department; the Las Vegas Metropolitan Police Department; the Inglewood Police Department; the Pomona Police Department; the Los Angeles County Sheriff’s Department; the Ventura County Sheriff’s Office; the Santa Maria Police Department; the Los Angeles County Department of Children and Family Services; and the National Center for Missing and Exploited Children.
Assistant United States Attorneys Chelsea Norell and Kathy Yu of the Violent and Organized Crime Section are prosecuting this case.
“Operation Cross Country,” an FBI-led nationwide effort which ran in August 2022, focused on identifying and locating victims of sex trafficking and investigating and arresting individuals and criminal enterprises involved in both child sex trafficking and human trafficking.
Sibley Hospital and Johns Hopkins Health System Settle Allegations of Improper Compensation ArrangementsRead the Press Release
Sibley Hospital (Sibley) and its parent company, Johns Hopkins Health System (Johns Hopkins), have agreed to pay the United States $5 million to resolve allegations arising from claims that Sibley submitted to the Medicare Program, the Justice Department announced today.
The Physician Self-Referral Law, commonly known as the Stark Law, prohibits a hospital from billing Medicare for certain services referred by physicians with whom the hospital has a financial relationship, unless that relationship satisfies one of the law’s statutory or regulatory exceptions. It is intended to ensure that medical decision-making is not influenced by improper financial incentives and instead is based on the best interests of the patient.
Today’s settlement resolves allegations that, from 2008 through 2011, Sibley violated the Stark Law by billing Medicare for services referred by ten cardiologists to whom Sibley was paying compensation that exceeded the fair market value of the services provided. These allegations arose out of conduct that Sibley and Johns Hopkins self-disclosed to the United States.
“Improper financial arrangements between hospitals and physicians can influence the type and amount of health care that is provided,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to holding accountable those who violate prohibitions designed to protect the integrity of physician decision-making.”
“Patients have the right to medical care that is strictly about their health and not about the financial benefit or obligation that a physician might receive or owe,” said U.S. Attorney Graves for the District of Columbia. “We welcome conversations with anyone who might have credible information that medical care is being undermined by outside influences. This office works in concert with many partners to protect the public, including the Fraud Section of the Department of Justice and the Office of Inspector General for the U.S. Department of Health, to ensure the rules are followed.”
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch (Fraud Section), the U.S. Attorney’s Office for the District of Columbia and the Office of Inspector General for the Department of Health and Human Services.
This matter was handled by Fraud Section Attorney David Wiseman and Assistant U.S. Attorney Heather Graham-Oliver for the District of Columbia.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Sergeant Bluff Business Owner Sentenced in Federal Court for Tax EvasionRead the Press Release
The owner of a Sergeant Bluff, Iowa construction firm was sentenced on Friday, April 14, 2023, to two years in federal prison for his role in tax evasion offenses, including for evading payment of his company’s employment taxes, his personal income taxes, and evading payment of a company’s employment taxes which he kept in the name of another.
According to court documents and statements made in court, Kevin Alexander, 62, of Sioux City, owned K&L Construction, Inc., a landscaping and construction company. As the sole shareholder and president of K&L Construction, Alexander was responsible for filing quarterly employment tax returns and collecting and paying over to the IRS payroll taxes withheld from employees’ wages. From the second quarter of 2014 through the first quarter of 2017, K&L Construction paid approximately $3.8 million in wages to its employees and withheld approximately $1 million in payroll taxes, but the company did not pay over any of these withholdings to the IRS.
During IRS collection proceedings, Alexander accepted responsibility for paying K&L Construction’s outstanding tax balance. Alexander, however, submitted a false form to the IRS that concealed some of his assets. Alexander admitted that he submitted the false form for the purpose of concealing assets and evading payment of K&L Construction’s outstanding payroll tax liability. He evaded payment of K&L Construction’s tax debt by operating it through another company, Circle A Construction, Inc. and keeping ownership of Circle A Construction in another’s name. Alexander was found liable, for sentencing purposes, of at least $757,314.74 in tax liability for Circle A Construction. Alexander also willfully evaded paying his personal income taxes for 2014, 2015, and 2016, totaling $667,544 in personal income tax loss.
Alexander was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 24 months’ imprisonment. He was ordered to make $1,678,722.39 in restitution. He must also serve a 2-year term of supervised release after the prison term. There is no parole in the federal system.
“Mr. Alexander admitted that he purposely hid his assets to avoid paying his company’s outstanding payroll tax liability,” said Acting Special Agent in Charge Thomas F. Murdock, IRS Criminal Investigation’s St. Louis Field Office. “Employers cheat their employees when they fail to meet that obligation. That’s a serious offense that harms the employee and all the honest taxpayers who’ve paid their fair share of taxes in a timely manner.”
U.S. Attorney Timothy T. Duax of the Northern District of Iowa and Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.
IRS-Criminal Investigation and the U.S. Department of Transportation Office of Inspector General investigated the case.
Assistant U.S. Attorney Ron Timmons of the U.S. Attorney’s Office for the Northern District of Iowa and Trial Attorney Meredith Havekost of the Justice Department’s Tax Division prosecuted the case.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4092.
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Rusk County Man Sentenced to 18 Months for False Statements to Federal Agencies Regarding Non-Citizen WorkersRead the Press Release
MADISON, WIS. – A Bruce, Wisconsin man was sentenced today for making false materials statements to the U.S. Department of Labor and to U.S. Citizenship and Immigration Services (USCIS), an agency of the U.S. Department of Homeland Security concerning foreign workers. The sentencing is announced by Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin.
Alfredo Aguilar, 52, was sentenced today by Chief U.S. District Judge James D. Peterson to eighteen months in prison. Aguilar was ordered to pay restitution to the non-citizen workers in the amount of $1,144,693.56 and a civil penalty in the amount of $210,696.39. Aguilar pleaded guilty to these charges on January 13, 2023 and has paid over the full fine and restitution for the immigrant workers.
From 2015 until December 2018, Aguilar was a co-owner of Northwoods Forestry, Inc., a business based in Eleva, Wisconsin. Aguilar recruited workers from Mexico and Central America, known as H-2B workers, to work in forestry by planting and caring for trees and clearing and developing woodland. Through the H-2B program, employers are permitted to hire temporary workers from other countries to perform labor to address one-time, seasonal, intermittent, or peak needs. Northwoods Forestry agents made statements and attestations under oath to the Department of Labor and USCIS regarding the type of work the workers would do and the wages they would receive.
Aguilar admitted that he placed Northwoods Forestry H-2B workers with non-forestry employers, including in meat packing, construction, roofing, agriculture, painting, fur processing, and landscaping businesses, and that he assured those employers that the H-2B employees could legally work at their businesses when he knew that was not true. Aguilar also admitted that Northwoods Forestry did not pay the workers the highest applicable wages, did not pay the workers overtime, deducted the cost of safety boots from the wages of employees sent to work in meat packing, and deducted expenses and subsistence for transportation to and from the United States from the H-2B employees’ pay, all contrary to their sworn statements to the Department of Labor.
“My office is committed to holding accountable those who exploit vulnerable workers,” said U.S. Attorney O’Shea. “We will continue to work with the Department of Labor and our other law enforcement partners to investigate and prosecute such offenses.”
“Alfredo Aguilar and co-conspirators made false statements to the U.S. Department of Labor in order to fraudulently obtain H-2B work visas. Aguilar and his co-conspirators failed to pay the required prevailing wages to the foreign workers he employed pursuant to that program. Today’s sentencing is an affirmation of our efforts, along with those of our law enforcement partners and the U.S. Department of Labor’s Wage and Hour Division, to pursue individuals who abuse the H-2B program for financial gain,” said Irene Lindow, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor Office of Inspector General.
“The Wage and Hour Division’s investigation that led to this result is a significant accomplishment on behalf of workers seeking to use the nonimmigrant visa programs. The resulting collaboration with our federal criminal law enforcement was nothing short of seamless and outstanding,” explained Wage and Hour Regional Administrator Michael Lazzeri in Chicago. “The widespread placement of workers in unapproved job classifications and falsification of payment records during the investigation by this employer demonstrated a reckless disregard for the respective visa program. Today the victims have been made whole through restitution and this egregious employer has been debarred from participation in the H-2B Visa program for the next five years. Employers who seek to abuse these programs should take note of this result and reconsider.”
The investigation in this matter was conducted by the U.S. Department of Labor’s Office of Inspector General and Wage and Hour Division, with assistance from the U.S. Department of State and the Wisconsin Department of Justice Division of Criminal Investigation. U.S. Attorney O’Shea and Assistant U.S. Attorney Julie Pfluger handled the prosecution.
Rochester Man Pleads Guilty to Four Home Invasions Targeting Drug DealersRead the Press Release
ROCHESTER, N.Y. – U.S. Attorney Trini E. Ross announced today that Robert Forbes, Jr. a/k/a Ra Ra a/k/a Henny, 37, of Rochester, NY, pleaded guilty before U.S. District Judge Frank P. Geraci, Jr. to two counts of Hobbs Act Robbery and two counts of Attempted Hobbs Act Robbery. Each charge carries a maximum penalty of 20 years in prison, and a $250,000 fine.
Assistant U.S. Attorneys Robert A. Marangola and Cassie M. Kocher, who are handling the case, stated that between February 18, and March 26, 2020, Forbes participated, with others, in four separate home invasions in Rochester and Greece, NY. Forbes took part in planning, recruiting participants, obtaining, and providing information about the suspected presence of controlled substances and/or money derived from the sale of controlled substances in the residences, driving individuals to and from the residences, and providing a firearm to use. During some of the home invasions, individuals were restrained, pistol-whipped, and/or suffered injuries. Forbes was arrested April 1, 2020, on W. Ridge Road after a 13-minute car chase in the City of Rochester.
The plea is the culmination of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. DeVito, New York Field Division, the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia, and the Rochester Police Department, under the direction of Chief David Smith.
Sentencing is scheduled for August 23, 2023, at 2:00 p.m. before Judge Geraci.
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Readout of Assistant Attorney General Kenneth A. Polite, Jr.’s Trip to LithuaniaRead the Press Release
On April 13 and 14, Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division traveled to Vilnius, Lithuania, to meet with the Ukraine Joint Investigation Team (JIT), which is investigating core international crimes committed in Ukraine.
Representatives of the JIT in attendance were from the countries of Lithuania, Ukraine, Poland, Estonia, Latvia, Slovakia, and Romania, as well as Eurojust and the International Criminal Court.
“We had productive conversations on ongoing investigations, and I pledged the U.S. Department of Justice’s increased support,” said Assistant Attorney General Polite. “Just one month ago, on March 3, in Lviv, Ukraine, U.S. Attorney General Merrick Garland signed a Memorandum of Understanding (MOU) with all seven JIT national members, becoming the first country to do so. On Thursday, in an effort to further strengthen this partnership, the U.S. Department of Justice pledged to second an experienced prosecutor to the International Centre for the Prosecution of the Crime of Aggression against Ukraine (ICPA) that will be based at Eurojust in The Hague. We look forward to providing additional resources to assist our colleagues from Ukraine and other JIT member partners, including by sharing our expertise to enhance investigations into atrocities committed by Russian perpetrators. Our mission is clear, our resolve will not weaken, and our determination to seek justice will not waiver. The U.S. Department of Justice is committed to holding Russian perpetrators accountable for their brutal and unprovoked invasion of Ukraine.”
(From Left to Right) Assistant Attorney General Polite, Ukrainian Prosecutor General Andriy Kostin, Lithuanian Prosecutor General Nida Grunskienė, and Eurojust Vice President and National Member for Lithuania Margarita Šniutytė-Daugėlienė.One of the main agenda points of the JIT coordination meeting was the ICPA's implementation and future work. The ICPA will be part of the existing support structure for the JIT. It will be based at Eurojust in The Hague and will have a specific focus on supporting and enhancing investigations into the crime of aggression against Ukraine.
AAG Polite concluded April 13 by attending a reception organized by the Lithuanian Prosecutor General Nida Grunskienė. On April 14, AAG Polite met separately with Ukrainian Prosecutor General Andriy Kostin. Also on April 14, the three leaders and Eurojust Vice-President and National Member for Lithuania, Ms. Margarita Šniutytė-Daugėlienė, delivered remarks at a press conference with Lithuanian press. The same day, AAG Polite had a courtesy call with U.S. Ambassador Robert Gilchrist and Deputy Chief of Mission Tamir Waser to convey the Department’s gratitude for the Embassy’s support for the Justice Department’s personnel and programs.
(From Left to Right) Assistant Attorney General Polite, Ukrainian Prosecutor General Andriy Kostin, and Lithuanian Prosecutor General Nida Grunskienė.The AAG’s trip concluded with a visit to Lithuania’s Old Town.
Assistant Attorney General Polite in Vilnius, Lithuania.Partners agreed to cooperate extensively and emphasized their shared commitment and dedication to ensuring that Russian perpetrators of war crimes in Ukraine are prosecuted to the fullest extent of the law.
Purvis Man Pleads Guilty to Assisting in the Preparation of False Tax ReturnRead the Press Release
Hattiesburg, Miss. - A Purvis man pled guilty to aiding and assisting in the preparation of a materially false tax return, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge James E. Dorsey of the Internal Revenue Service- Criminal Investigation, Atlanta Field Office.
According to court documents, Terance Dewune Price, 41, was identified in an investigation by the IRS as a tax preparer who, on or about February 5, 2018, in Hattiesburg, aided and assisted in, procuring, counseling, and advising in the preparation and presentation to the IRS, of a false U.S. Individual Income Tax Return, Form 1040.
Price is scheduled to be sentenced on August 7, 2023, at 10:00 a.m., in Hattiesburg, and faces a maximum penalty of three years in prison and a $100,000 fine. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Internal Revenue Service Criminal Investigations is investigating this case.
Assistant U.S. Attorney Andrea Jones is prosecuting the case.
Project Safe Neighborhoods NewsRead the Press Release
SACRAMENTO, Calif. — The Project Safe Neighborhoods (PSN) initiative brings together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence. At the core of PSN is setting focused and strategic enforcement priorities that help prevent violence from occurring in the first place. U.S. Attorney Phillip A. Talbert announces the following actions in federal PSN cases.
Indictments
Charles Jerome Moore, 40, of Madera, was indicted on April 13, 2023, and charged with two counts of being a felon in possession of firearms and ammunition. According to court documents, on Dec. 14, 2022, law enforcement officers arrested Moore after finding a loaded firearm and ammunition in Moore’s vehicle. Moore was arrested again on March 13, 2023, when officers located ammunition in his vehicle. Moore is prohibited from possessing firearms and ammunition because he has prior felony convictions. This case was the product of an investigation by the Madera Police Department and ATF. Assistant U.S. Attorney Brittany M. Gunter is prosecuting the case.
Evan Moore, 39, of Chowchilla, was indicted on April 13, 2023, and charged being a felon in possession of a firearm. According to court documents, on Dec. 18, 2022, law enforcement officers conducted a traffic stop and found Moore to be in possession of a loaded firearm. This case is the product of an investigation by the FBI and the Madera Police Department. Assistant U.S. Attorney Antonio J. Pataca is prosecuting the case.
Aaron Michael Correia, 37, of Manteca, was indicted on March 30, 2023, and charged with being a felon in possession of a firearm. According to court documents, during a traffic stop, Correia was found to be in possession of a loaded .22 Ruger revolver and a box of .22 caliber ammunition. Correia is prohibited from possessing firearms or ammunition because he has multiple state felony convictions, including 2017 and 2021 convictions for felon in possession of a firearm in San Joaquin County. This case is the product of an investigation by the Manteca Police Department, the Stockton Police Department, and the ATF. Assistant U.S. Attorney Haddy Abouzeid is prosecuting the case.
If convicted, Correia, Charles Jerome Moore, and Evan Moore face a maximum statutory penalty of 15 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Guilty Pleas
Earnest Donte Ruff, 24, of Fresno, pleaded guilty today to possessing ammunition after being convicted of a felony crime. According to court documents, on April 21, 2021, law enforcement officers responded to a barbershop in Fresno and observed Ruff wearing a camouflage, cross-body satchel as he entered the rear-passenger seat of a car. Ruff was arrested and found to be in possession of a loaded .40‑caliber gun with no serial number. Ruff has four convictions for illegally possessing firearms or ammunition. Sentencing in this case is set for July 24, 2023. Ruff faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines. This case is the product of an investigation by the Federal Bureau of Investigation and the Fresno Police Department Multi-Agency Gang Enforcement Consortium. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
Sentencings
Darien Williams, 24, of Fresno, was sentenced today to three years and one month in prison for being a felon in possession of a firearm. According to court documents, on Aug. 26, 2021, in Fresno, law enforcement officers tried to stop a car in which Williams was a passenger. The driver failed to yield, sped away, and crashed into another car. After the crash, Williams fled on foot. While fleeing, he discarded a loaded handgun that officers found after they caught and arrested Williams. Williams is prohibited from possessing firearms because of his prior felony record. This case was the product of an investigation by the FBI and the Fresno Police Department. Assistant U.S. Attorney Justin J. Gilio prosecuted the case.
These cases are 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 U.S. Department of Justice 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.
President of Metalhouse LLC Indicted for Sanctions Evasion and International Money LaunderingRead the Press Release
Orlando, FL – The Justice Department announced today the indictment and arrest of John Can Unsalan, aka Hurrem Can Unsalan, the president of Metalhouse LLC, for engaging in a three-year scheme to violate U.S. sanctions against oligarch Sergey Kurchenko and two of Kurchenko’s companies by providing those sanctioned parties with over $150 million in return for steelmaking materials.
As alleged in the indictment, between July 2018 and October 2021, Unsalan, 41, of Orlando, Florida, acting through his company, Metalhouse, transferred over $150 million to Kurchenko and companies controlled by Kurchenko. In return, Unsalan received from Kurchenko metal products used in steelmaking and attempted to collect from Kurchenko millions of dollars of funds for undelivered products.
“The arrest of John Can Unsalan should serve as a warning to those who seek to do business with sanctioned individuals or entities that endanger the security of the United States and our allies,” said Attorney General Merrick B. Garland. “The Justice Department is relentlessly pursuing those whose seek to evade sanctions imposed against the Russian regime and whose crimes enable the regime to continue its unjust, illegal war in Ukraine.”
“For over three years, the defendant pursued personal profit at the expense of our national security, by unlawfully transacting with sanctioned entities that were propping up puppet governments in Russian-occupied Ukraine, as alleged in today’s indictment,” said Deputy Attorney General Lisa O. Monaco. “The Department of Justice will use all of its authorities to stop those who would conspire with Kremlin cronies to support Russia’s unprovoked attacks on Ukraine.”
“For years, John Can Unsalan engaged in a scheme to do business with a sanctioned oligarch and his company through more than $150 million in illegal transactions,” said FBI Director Christopher Wray. “Today’s arrest demonstrates the FBI’s steadfast commitment to pursue those who seek to violate sanctions imposed in response to Russia’s unprovoked aggression toward Ukraine.”
“Economic sanctions are critical tools used to protect the national security of the United States and our allies,” said Assistant Director in Charge David Sundberg of the FBI Washington Field Office. “During a three-year scheme, Unsalan allegedly transferred $150 million to Sergey Kurchenko, who was sanctioned for his role in misappropriating Ukrainian state assets. Let the defendant's arrest serve as a reminder of the FBI's commitment to bringing to justice those who try to evade U.S. sanctions in an effort to support sanctioned Russian oligarchs.”
“As highlighted by this arrest, we are firmly committed to enforcing the sanctions imposed by the United States against Russia for its malevolent military invasion of Ukraine,” said U.S. Attorney Roger Handberg for the Middle District of Florida. “Thanks to the dedicated investigative work by our law enforcement partners, an individual who willfully sent more than $150 million to a sanctioned oligarch is facing the possibility of a lengthy term of imprisonment.”
Kurchenko was sanctioned by the U.S. Department of the Treasury Office of Foreign Assets Control (OFAC) in 2015 for his role in misappropriating state assets of Ukraine or of an economically significant entity in Ukraine. The two sanctioned companies – Kompaniya Gaz-Alyans, OOO (Gaz-Alyans), based in the Russian Federation, and ZAO Vneshtorgservis (Vneshtorgservis), based in the Russian occupied Georgian region of South Ossetia – were designated by OFAC in 2018 for acting on behalf of and providing material support to the so-called Donetsk People’s Republic and Luhansk People’s Republic in the separatist-controlled regions of eastern Ukraine.
Unsalan allegedly engaged in trade with these sanctioned individuals and entities to procure steelmaking equipment and raw material despite knowing that Kurchenko, Gaz-Alyans, and Vneshtorgservis were subject to U.S. sanctions that prohibited Unsalan from doing business with them. No licenses from OFAC were applied for or issued for these payments or transfers.
Unsalan is charged with one count of conspiring to violate and evade U.S. sanctions, in violation of the International Emergency Economic Powers Act (IEEPA); 10 counts of violating IEEPA; one count of conspiring to commit international money laundering; and ten counts of international money laundering. The indictment also provides notice of the United States’ intention to forfeit from Unsalan the proceeds of his offenses.
Unsalan made his initial court appearance today before U.S. Magistrate Judge Robert Norway of the U.S. District Court for the Middle District of Florida. If convicted, he faces a maximum penalty of 20 years in prison for each count of conviction. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Tampa Field Office, Orlando Resident Agency, and Washington Field Office, International Corruption Unit, are investigating the case, with valuable assistance provided by U.S. Customs and Border Protection and OFAC.
Assistant U.S. Attorney Chauncey A. Bratt for the Middle District of Florida, Trial Attorney Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section, and Trial Attorney Sean O’Dowd of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case.
The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2, 2022, and under the leadership of the Office of the Deputy Attorney General, the task force will continue to leverage all of the department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
President of Metalhouse LLC Indicted for Sanctions Evasion and International Money LaunderingRead the Press Release
The Justice Department announced today the indictment and arrest of John Can Unsalan, aka Hurrem Can Unsalan, the president of Metalhouse LLC, for engaging in a three-year scheme to violate U.S. sanctions against oligarch Sergey Kurchenko and two of Kurchenko’s companies by providing those sanctioned parties with over $150 million in return for steelmaking materials.
As alleged in the indictment, between July 2018 and October 2021, Unsalan, 41, of Orlando, Florida, acting through his company, Metalhouse, transferred over $150 million to Kurchenko and companies controlled by Kurchenko. In return, Unsalan received from Kurchenko metal products used in steelmaking and attempted to collect from Kurchenko millions of dollars of funds for undelivered products.
“The arrest of John Can Unsalan should serve as a warning to those who seek to do business with sanctioned individuals or entities that endanger the security of the United States and our allies,” said Attorney General Merrick B. Garland. “The Justice Department is relentlessly pursuing those whose seek to evade sanctions imposed against the Russian regime and whose crimes enable the regime to continue its unjust, illegal war in Ukraine.”
“For over three years, the defendant pursued personal profit at the expense of our national security, by unlawfully transacting with sanctioned entities that were propping up puppet governments in Russian-occupied Ukraine, as alleged in today’s indictment,” said Deputy Attorney General Lisa O. Monaco. “The Department of Justice will use all of its authorities to stop those who would conspire with Kremlin cronies to support Russia’s unprovoked attacks on Ukraine.”
“For years, John Can Unsalan engaged in a scheme to do business with a sanctioned oligarch and his company through more than $150 million in illegal transactions,” said FBI Director Christopher Wray. “Today’s arrest demonstrates the FBI’s steadfast commitment to pursue those who seek to violate sanctions imposed in response to Russia’s unprovoked aggression toward Ukraine.”
“Economic sanctions are critical tools used to protect the national security of the United States and our allies,” said Assistant Director in Charge David Sundberg of the FBI Washington Field Office. “During a three-year scheme, Unsalan allegedly transferred $150 million to Sergey Kurchenko, who was sanctioned for his role in misappropriating Ukrainian state assets. Let the defendant's arrest serve as a reminder of the FBI's commitment to bringing to justice those who try to evade U.S. sanctions in an effort to support sanctioned Russian oligarchs.”
“As highlighted by this arrest, we are firmly committed to enforcing the sanctions imposed by the United States against Russia for its malevolent military invasion of Ukraine,” said U.S. Attorney Roger Handberg for the Middle District of Florida. “Thanks to the dedicated investigative work by our law enforcement partners, an individual who willfully sent more than $150 million to a sanctioned oligarch is facing the possibility of a lengthy term of imprisonment.”
Kurchenko was sanctioned by the U.S. Department of the Treasury Office of Foreign Assets Control (OFAC) in 2015 for his role in misappropriating state assets of Ukraine or of an economically significant entity in Ukraine. The two sanctioned companies – Kompaniya Gaz-Alyans, OOO (Gaz-Alyans), based in the Russian Federation, and ZAO Vneshtorgservis (Vneshtorgservis), based in the Russian occupied Georgian region of South Ossetia – were designated by OFAC in 2018 for acting on behalf of and providing material support to the so-called Donetsk People’s Republic and Luhansk People’s Republic in the separatist-controlled regions of eastern Ukraine.
Unsalan allegedly engaged in trade with these sanctioned individuals and entities to procure steelmaking equipment and raw material despite knowing that Kurchenko, Gaz-Alyans, and Vneshtorgservis were subject to U.S. sanctions that prohibited Unsalan from doing business with them. No licenses from OFAC were applied for or issued for these payments or transfers.
Unsalan is charged with one count of conspiring to violate and evade U.S. sanctions, in violation of the International Emergency Economic Powers Act (IEEPA); 10 counts of violating IEEPA; one count of conspiring to commit international money laundering; and ten counts of international money laundering. The indictment also provides notice of the United States’ intention to forfeit from Unsalan the proceeds of his offenses.
Unsalan made his initial court appearance today before U.S. Magistrate Judge Robert Norway of the U.S. District Court for the Middle District of Florida. If convicted, he faces a maximum penalty of 20 years in prison for each count of conviction. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Tampa Field Office, Orlando Resident Agency, and Washington Field Office, International Corruption Unit, are investigating the case, with valuable assistance provided by U.S. Customs and Border Protection and OFAC.
Assistant U.S. Attorney Chauncey A. Bratt for the Middle District of Florida, Trial Attorney Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section, and Trial Attorney Sean O’Dowd of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case.
The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2, 2022, and under the leadership of the Office of the Deputy Attorney General, the task force will continue to leverage all of the department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Postal Employee Sentenced to 5 Years in Federal Prison for Possessing with the Intent to Distribute More Than 11 Kilograms of FentanylRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Theodore Garlow (53, Lehigh Acres) to five years in federal prison for possessing with the intent to distribute more than 400 grams of fentanyl. Garlow had pleaded guilty on January 10, 2023.
According to court documents, in 2021, Garlow was employed by the United States Postal Service (USPS) as a Rural Carrier assigned to the Lehigh Acres Post Office. On September 30, 2021, the USPS - Office of Inspector General (OIG) received information regarding five suspicious parcels that were enroute to Garlow’s home address in Lehigh Acres. On that same date, Garlow sent text messages inquiring about the five parcels to the postal carrier assigned to deliver the mail on the route where Garlow’s home is located. After the postal carrier told Garlow that he did not have the parcels, Garlow went to the Lehigh Acres Post Office and walked around the building in search of the packages.
On October 1, 2021, special agents from USPS OIG went to Garlow’s home with the five suspicious parcels. Garlow agreed to speak with the agents and admitted that he went to the post office to find out why the parcels had not been delivered. Garlow consented to the search of the parcels, which contained pills. When asked what the pills were, Garlow said that he believed that the pills were tramadol. Garlow told the agents that he had received a text message from an unknown number asking him if he wanted to make more money. Garlow admitted that he eventually replied to the text message because he needed money to pay his mortgage and other bills. Garlow said that he started communicating with an individual about four months prior and that this individual had instructed him to open a P.O. Box at the post office and a box at a UPS Store. Garlow followed these instructions and provided his home address and the addresses of the two boxes to the individual. Garlow later admitted to receiving parcels containing what the individual said was tramadol, Percocet, hydrocodone, oxycodone, and another pill for sleep. Upon receiving the packages, Garlow counted and separated the pills into baggies, printed out shipping labels, and mailed out the pills using a spreadsheet detailing the names and addresses that had been provided by the individual. Garlow admitted to receiving 10 to 15 parcels.
During the interview, Garlow provided 8 crates full of pills and 19 USPS Priority Mail envelopes to the agents. Garlow said he was paid based on the number of pills being shipped, and that he had mailed out more than 200 parcels or envelopes. Garlow said that he knew that what he was doing was wrong, but he needed to make money.
A subsequent forensic laboratory analysis of the pills revealed that a majority of the pills were fentanyl. Further, the lab analysis found that some of the pills’ physical characteristics, including shape, color, and manufacturer’s markings indicated that the tablets should have been a controlled substance such as hydrocodone, oxycodone, or oxycodone hydrochloride manufactured by a specific company, but were instead analyzed and found to be fentanyl. The pills were in excess of 11 kilograms of fentanyl.
This case was investigated by the United States Postal Service, Office of Inspector General. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
Philadelphia Man Sentenced to 90-Months in Federal Prison for Distributing Child Sexual Abuse MaterialRead the Press Release
CONCORD – A Philadelphia man was sentenced in federal court for distributing and aiding and abetting the transportation of child sexual abuse material, U.S Attorney Jane E. Young announces.
Michael Wilcox, 33, was sentenced by U.S. District Court Judge Joseph Laplante to 90 months in prison and 5 years of supervised release. Wilcox was also ordered to pay $8,000 in restitution.
“Today’s sentence sends a strong message to those who exploit the most vulnerable members of our community that they will be prosecuted, and upon conviction, they will be sentenced to lengthy periods of incarceration,” United States Attorney Jane E. Young said. “We will work tirelessly to expose the perpetrators of these heinous crimes and bring them to justice.”
Wilcox engaged in sexually explicit online chats with a law enforcement officer on various social media platforms. During those chats, Wilcox offered to sell child sexual abuse material to the undercover officer in exchange for payment via CashApp. Wilcox sent various images and videos of child sexual abuse material to the undercover officer as “samples” of material that he had available for sale. He later sent links to online cloud storage folders that contained hundreds of additional images, many of them depicting child sexual abuse material.
Homeland Security Investigations led the investigation. Valuable assistance was provided by the Nashua Police Department. Assistant U.S. Attorney Kasey Weiland 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 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.
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Philadelphia Man Admits Drug TraffickingRead the Press Release
CAMDEN, N.J. – A Philadelphia man today admitted trafficking methamphetamine and fentanyl in southern New Jersey and Philadelphia, U.S. Attorney Philip R. Sellinger announced.
Glenn Long, 28, of Philadelphia, pleaded guilty before U.S. District Judge Noel L. Hillman in Camden federal court to one count of a superseding indictment charging him with conspiring to distribute fentanyl and methamphetamine.
According to documents filed in this case and statements made in court:
Long conspired with other individuals who acted as “runners” or “couriers” for a drug-trafficking organization that distributed methamphetamine and fentanyl. Drug customers would call Long to place orders for drugs, and the runners would deliver the drugs. Long admitted that on a date on which law enforcement agents executed search and arrest warrants in connection with the investigation into his conduct, Long’s conspirators possessed more than 2,700 grams of methamphetamine and 400 grams of fentanyl for the conspiracy. Long participated in this conspiracy while he was a fugitive on a federal drug trafficking indictment in the Eastern District of Pennsylvania, to which he has since pleaded guilty.
Thirteen other defendants have previously pleaded guilty as a result of the investigation.
Long faces a mandatory minimum of 10 years in prison and a maximum of life in prison and a $10 million fine. Sentencing is scheduled for Aug. 22, 2023.
U.S. Attorney Sellinger credited special agents with the Drug Enforcement Administration, Newark Division, under the direction of Acting Special Agent in Charge Daniel J. Kafafian, with the investigation leading to today’s guilty plea. He also thanked the U.S. Attorney’s Office for the Eastern District of Pennsylvania; Drug Enforcement Administration, Philadelphia Division; U.S. Department of Homeland Security – Homeland Security Investigations; U.S. Marshals Service; FBI; Bensalem Police Department; Berlin Borough Police Department; Berlin Township Police Department; Bucks County District Attorney’s Office; Camden County Prosecutor’s Office; Clayton Police Department; Delaware County District Attorney’s Office Narcotics Task Force; Deptford Township Police Department; Gloucester County Prosecutor’s Office; Gloucester Township Police Department; New Jersey State Police; New Jersey National Guard Counter Drug Task Force; Pennsylvania State Police; Pennsville Police Department; and Winslow Township Police Department for their assistance.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
long.sindictment.pdfOrlando Convicted Felon Sentenced to Federal Prison for Firearm and Drug OffensesRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Ramondo Zavious Williams (42, Orlando) to six years in federal prison for possessing a firearm as a convicted felon and possessing with the intent to distribute 50 grams or more of a mixture and substance containing methamphetamine. Williams had pleaded guilty on December 15, 2022.
According to court documents, an officer with the Winter Park Police Department attempted a traffic stop on a vehicle driven by Williams, resulting in Williams fleeing at a high rate of speed and later crashing into another vehicle. Following the crash, Williams exited the vehicle and fled on foot carrying a black backpack. After Williams was detained, officers searched the backpack and the vehicle Williams was driving. Inside the backpack, officers found suspected marijuana, a large sum of cash, and two baggies of pills that were later determined to be approximately 68 grams of methamphetamine. Inside the vehicle, officers located a loaded FN model FNX-45 tactical .45 caliber handgun between the driver’s seat and center console as well as plastic bags, more suspected marijuana, and cash. At the time, Williams had multiple prior felony convictions, including for drug and firearm offenses. As a previously convicted felon, he is prohibited from possessing a firearm or ammunition under federal law.
“The law will always catch up to those who attempt to peddle their poison in our communities,” said Homeland Security Investigations (HSI) Orlando Assistant Special Agent in Charge David Pezzutti. “Alongside our partners at the Winter Park Police Department, HSI remains committed to ridding our streets of criminals who have no respect for the law.”
This case was investigated by Homeland Security Investigations (HSI) and the Winter Park Police Department. It was prosecuted by Assistant United States Attorneys Megan Testerman and Shannon Laurie.
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.
Orange County Woman Sentenced to over 5 Years in Prison for Embezzling over $3 Million from Two Anaheim Companies that Employed HerRead the Press Release
SANTA ANA, California – An Orange County woman who embezzled more than $3 million from two companies while she worked as their financial controller, cheated on her taxes, and fraudulently obtained a COVID-relief business loan was sentenced today to 63 months in federal prison.
Rosalba Meza, 48, a.k.a. “Rosalba Sceville,” of Dana Point, was sentenced by United States District Judge Cormac J. Carney, who also ordered her to pay $4,192,470 in restitution.
Meza pleaded guilty in December 2022 to one count of wire fraud and one count of subscribing to a false tax return.
From May 2017 through the end of 2019, Meza made unauthorized transfers – totaling approximately $3,071,880 – to her own bank accounts from accounts belonging to Trilogy Plumbing Inc. and a related back-office support company called Matrix Management LLC, both based in Anaheim.
Meza held various positions at these companies since 2003 and was entrusted with access to and control of the companies’ financial and banking information. In her role, Meza – whose annual salary was approximately $65,000 – oversaw and handled the companies’ daily financial activities, including banking, bookkeeping and preparation of financial statements. She also had the authority to access the companies’ bank accounts for the purpose of making authorized electronic payments on the companies’ behalf.
Meza used her knowledge of the companies’ accounting software to intentionally falsify their accounting records. She misrepresented the amounts in the companies’ various accounts to conceal the unauthorized transfers and falsely show the companies’ accounts were balanced. For example, Meza falsely recorded some unauthorized transfers as business expenses, when in fact these amounts were payments to herself.
In February 2019, Meza told executives their companies did not have funds to meet payroll obligations and failed to inform the executives that she had been embezzling from the companies. Several months later, while the companies were the subject of an IRS enforcement action because of unpaid payroll taxes, Meza falsely told the executives that she did not pay the quarterly payroll taxes because she instead had used those funds to pay employees.
Once Meza transferred the funds to her accounts, she used the stolen money on personal expenses, withdrew a large amount in cash, wired a significant amount to a family member-owned bank account in Mexico and made other transfers of the illicitly obtained funds to family and friends.
The scheme lasted until January 2020, when Trilogy and Matrix fired Meza.
“Particularly troubling is that in executing her embezzlement scheme, [Meza] took advantage of the responsibility she was entrusted with at the expense of her employers,” prosecutors argued in a sentencing memorandum. “[Meza’s] fraudulent schemes ran the course of several years and caused significant harm. This is not the case of defendant making one bad decision on one particular day, this is a pattern of bad decisions that spanned the course of several years.”
In addition to her embezzlement, for the tax years 2017, 2018 and 2019, Meza knowingly and willfully signed – under penalty of perjury – false personal federal income tax returns that vastly understated her annual income. For example, on her 2018 federal tax return Meza falsely reported that her income was $65,728, which did not include the $1,363,654 she obtained that year from stealing from her employers.
In total, Meza willfully failed to report $3,132,617 in income to the IRS, resulting in a total tax loss of $1,100,022 to the United States.
In her plea agreement, Meza admitted to submitting a false and fraudulent Paycheck Protection Program (PPP) loan application for $20,569 for Rosalba Meza, her eponymous business entity. In support of that loan application, Meza falsely listed monthly payroll and tax information. A bank approved the false application and disbursed her requested loan proceeds to the bank account she listed on the PPP paperwork, causing an actual loss of $20,569.
The FBI and IRS Criminal Investigation investigated this matter.
Special Assistant United States Attorney Ryan G. Adams of the Santa Ana Branch Office prosecuted this case.
Anyone with information about allegations of fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Nine Additional States Join Justice Department’s Suit Against Google for Monopolizing Digital Advertising TechnologiesRead the Press Release
The Attorneys General of Arizona, Illinois, Michigan, Minnesota, Nebraska, New Hampshire, North Carolina, Washington and West Virginia today joined a civil antitrust lawsuit filed by the Justice Department’s Antitrust Division along with the Attorneys General of California, Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee and Virginia, against Google for monopolizing multiple digital advertising technology products in violation of Sections 1 and 2 of the Sherman Act. The Antitrust Division and the state Attorneys General filed an amended complaint in the Eastern District of Virginia.
“We look forward to litigating this important case alongside our state law enforcement partners to end Google’s long-running monopoly in digital advertising technology markets,” said Principal Deputy Assistant Attorney General Doha Mekki of the Justice Department’s Antitrust Division. “Today we welcome the States of Arizona, Illinois, Michigan, Minnesota, Nebraska, New Hampshire, North Carolina, Washington, and West Virginia who join our existing coalition of eight co-plaintiff states, to deliver the benefits of competition to website publishers, digital advertisers, and the American public.”
Naples Man Sentenced to 25 Years in Federal Prison for Producing Child Sexual Abuse Images and VideosRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Jeffrey Holcombe (51, Naples) to 25 years in federal prison for producing images and videos depicting the sexual abuse of a child. The court also sentenced Holcombe to a term of 25 years of supervised release and ordered him to register as a sex offender. This sentence will run concurrent to a remaining term of imprisonment imposed in January 2022, by a U.S. District Court in Fort Lauderdale in a separate case. Holcombe had entered a plea on January 23, 2023.
According to court documents, between at least July 18, 2020, continuing through March 3, 2021, Holcombe produced images and videos of his sexual abuse of a minor.
On April 3, 2021, while FBI agents were assisting other agents from the Southern District of Florida in executing a warrant for Holcombe on an unrelated charge, law enforcement stopped Holcombe in his vehicle in Naples and observed a cellphone on the vehicle’s passenger seat. The vehicle was impounded, along with its contents, including Holcombe’s cellphone. On the same date, agents went to Holcombe’s home and discovered a minor residing there. Further investigation revealed that Holcombe had been sexually abusing the minor, and that he often photographed, or video recorded his sexual abuse of the minor at his home and at various hotels.
On April 5, 2021, agents executed a federal search warrant on Holcombe’s vehicle and cellphone. A forensic analysis of the cellphone revealed 26 images and 16 videos depicting the minor engaging in sexually explicit conduct. The minor was between the ages of 16 to 17 at the time of the sexual offenses. Another search warrant for Holcombe’s and the minor’s Snapchat accounts revealed sexually explicit videos depicting Holcombe with the minor.
This case was investigated by the Federal Bureau of Investigation, Fort Myers Child Exploitation and Human Trafficking Task Force. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
This 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 Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Mobile Resident Convicted on all Counts at Fraud and Identity Theft TrialRead the Press Release
MOBILE, AL – A federal jury convicted a Mobile resident this week for wire fraud, aggravated identity theft, and making false statements to the Small Business Administration (“SBA”) and Social Security Administration (“SSA”).
According to court documents and evidence presented at a three-day trial, Kartarius Dewan Johnson, also known as Tareeq Akhil Anad, 42, a resident of Mobile, engaged in widespread financial fraud and identity theft. Between March 2020 and January 2021, Johnson sought to defraud others of property and money worth more than $8 million using false documents containing language commonly used by sovereign citizens, a group of people who generally believe that the U.S. government is illegitimate and that they are exempt from federal, state, or local laws. Johnson contracted with third parties, including car dealerships in Mobile, Beverly Hills, California, and Scottsdale, Arizona, to purchase Rolls-Royce and Mercedes-Benz vehicles. He also signed a purchase agreement for a $4 million bayfront home in Daphne. To further his fraud scheme, Johnson mailed packages and sent emails to financial institutions and other individuals, in violation of the federal wire fraud statute. The jury reviewed bank records proving that Johnson did not have the money to legitimately buy the items he sought.
Johnson also tried to fraudulently obtain SBA funds for COVID–19 relief and lied to the SSA about his U.S. citizenship when applying for a new Social Security card, citing membership in a fictitious tribe that is not federally recognized. In furtherance of his fraud schemes, Johnson illegally used Social Security numbers (SSNs) belonging to two deceased individuals. The jury also reviewed records showing that between 2015 and 2018, Johnson improperly received federal tax credits totaling more than $800,000 for purported biodiesel fuel usage, which he spent on personal expenses, including a private jet membership, clothing, jewelry, cars, vacations, and child support payments. At the conclusion of the case, the jury returned a unanimous verdict in fewer than twenty minutes.
Johnson will be sentenced by United States District Judge Terry F. Moorer in July 2023. Johnson is subject to mandatory two-year prison sentences for his aggravated identity theft convictions, which must run consecutively to any other sentence he receives. He also faces up to 20 years in prison for each of his wire fraud convictions, up to 30 years in prison for making false statements to the SBA, and up to five years in prison for making false statements to the SSA.
The FBI and the SSA Office of Inspector General investigated the case.
“This verdict reinforces south Alabama’s determination to hold criminals accountable for their greed,” said U.S. Attorney Sean P. Costello. “Working with our partners in law enforcement, we will continue to aggressively investigate and prosecute anyone who victimizes innocent individuals, businesses, and taxpayers to line their own pockets.”
Paul W. Brown, Special Agent in Charge of the FBI’s Mobile Field Office, said, "These financial programs are in place to assist people through legitimate hardships in their life. The fraudulent behavior in this case will make it difficult for true victims to get assistance in the future and should be dealt with harshly."
“The jury’s guilty verdict demonstrates that the criminal acts orchestrated by Mr. Kartarius Johnson are intolerable; and it now holds him accountable for his crimes. He not only made false statements to the SSA, but he also misused the identities of persons’ SSNs for his personal gain. He further defrauded others of money and property. I thank the FBI for working with us and the U.S. Attorney’s Office for prosecuting this case,” said Gail S. Ennis, Inspector General for the SSA.
Assistant U.S. Attorney Justin Roller of the Southern District of Alabama and Trial Attorneys Sinan Kalayoglu and Shai Bronshtein of the Money Laundering and Asset Recovery Section, Criminal Division, are prosecuting the case on behalf of the United States.
Missouri Felon Who Threatened Driver, Bar Patrons with Gun Sentenced to 66 Months in PrisonRead the Press Release
CAPE GIRARDEAU – U.S. District Judge Sarah E. Pitlyk on Monday sentenced a convicted felon from Butler County, Missouri who threatened both a driver and bar patrons with a gun to 66 months in prison.
Donald Edward Christie Jr., 37, pleaded guilty in January in U.S. District Court in Cape Girardeau to a felony charge of being a felon in possession of a firearm. As part of his plea, he admitted possessing a firearm on two occasions on Feb. 12, 2022.
The first was reported to the Butler County Sheriff’s Department about 15 minutes past midnight. A driver said they were followed from a gas station by someone the driver believed to be a law enforcement officer in an SUV. After the victim pulled over, the SUV driver exited with appeared to be an AK-style rifle, chambered a round and demanded that the victim turn off their vehicle and provide ID. The gunman returned, gave back the victim’s ID and said, “You never saw me, and I never saw you,” the plea agreement says.
About 30 minutes later, deputies received another call, this time from a rural bar reporting a man brandishing a firearm. When deputies arrived, they found bar patrons holding Christie down. Witnesses told deputies that he’d entered the bar and become confrontational with the occupants. He had a pistol in his pocket and the bartender asked him to leave. Christie said that he had a “machine gun” in his vehicle and was going to get it and kill them, the plea says.
The bartender tried to hold the door shut when Christie returned, but he pushed his way inside. Using what appeared to be a rifle, Christie ordered the occupants to move behind the bar. He was taken down from behind by a patron, and patrons and the bartender disarmed him. He was in possession of a 9mm Striborg SP9A3 semi-automatic pistol with a brace, which resembled a short-barreled rifle or submachine gun, and a Bryco .380-caliber pistol.
The case was investigated by the Butler County Sheriff’s Department. Assistant U.S. Attorney Timothy Willis prosecuted the case.
Mexican National Residing in Bakersfield Sentenced to 18 Months in Prison for Illegal Cockfighting in Violation of the Animal Welfare ActRead the Press Release
FRESNO, Calif. — Horacio Ortega-Martinez, 36, a citizen of Mexico residing in Bakersfield, was sentenced today to 18 months in prison for possessing roosters for the purpose of using them in an animal fighting venture, U.S. Attorney Phillip A. Talbert announced.
In addition, the forfeiture of the fighting roosters and 49 breeding hens was ordered. On Nov. 10, 2022, Ortega pleaded guilty to an Animal Welfare Act crime involving the possession of 250 roosters for use in an animal fighting venture.
According to court documents, law enforcement agents became aware of Ortega’s involvement in breeding, fighting, and selling roosters in January 2022 through recorded conversations obtained from a court-authorized wiretap of a phone used by Jorge Calderon-Campos, 42, of Bakersfield. Ortega and Calderon had various telephone conversations about buying, selling, and fighting roosters. On April 26, 2022, a search warrant was served at Ortega’s property, where agents found approximately 250 fighting roosters, approximately 250 “gaffs” (razor-sharp steel blades that are tied to the birds’ legs), mitts commonly used for training and fighting roosters, and miscellaneous antibiotics, vitamins, and supplements that are commonly used for breeding and training roosters for fighting.
Calderon has been charged with various drug trafficking offenses and animal fighting venture crimes in two separate indictments. The charges against him are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was the product of an investigation by Homeland Security Investigations, the Department of Agriculture Office of Inspector General (USDA-OIG) , the Drug Enforcement Administration, the U.S. Secret Service, the U.S. Marshals Service, the U.S. Customs and Border Protection, the California Department of Corrections and Rehabilitation, the California Highway Patrol, the Kern County Sheriff’s Office, the Kern County High Intensity Drug Trafficking Area, the Kern County Probation Department, and the Bakersfield Police Department. Assistance was also provided by the Humane Society of the United States. Assistant U.S. Attorney Karen A. Escobar prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Meharry Medical College Agrees to Settle False Claims Act AllegationsRead the Press Release
NASHVILLE – U.S. Attorney Henry C. Leventis announced today that the United States has reached an agreement with Meharry Medical College to settle allegations of violating the False Claims Act (FCA). Under the terms of the agreement, Meharry will pay $100,749 to resolve the allegations.
The United States alleged that, from 2016 until March 2020, Meharry submitted fraudulent claims to Medicare seeking payment for physician services provided in the internal medicine, OB/GYN, and psychiatric outpatient clinics, and for psychiatric consultations at Nashville General Hospital. In reality, these services were performed by unsupervised, non-physician residents.
“Combating healthcare fraud is a top priority for our office” said United States Attorney Leventis. “The allegations in this case not only constitute fraud on Medicare, but also an unacceptable risk to patients. We appreciate that Meharry agreed to implement changes to its policies to ensure compliance with Medicare’s supervision requirements regarding care provided by residents.”
As a condition of the settlement agreement, Meharry has also agreed to implement a Medicare billing policy designed to ensure compliance with Medicare billing requirements and will provide annual training to its faculty members and in-coming first-year residents concerning Medicare billing requirements for professional services provided by residents.
"To protect the integrity of federal health care programs and the patients they serve, it is important that providers are compliant with supervision requirements and other regulations," said Tamala E. Miles, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General. "HHS-OIG remains committed to promoting compliance and preventing fraud, waste, and abuse in HHS programs."
The litigation resolved by this case originally was brought under the qui tam or whistleblower provisions of the FCA by Dr. Rachel Thomas, a former internal medicine and hospitalist physician employed by TeamHealth, which was then under contract to staff the emergency room at Nashville General Hospital. Under the whistleblower provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery.
The resolution obtained in this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the Middle District of Tennessee and the U.S. Department of Health and Human Services Office of Inspector General. Assistant U.S. Attorney Wynn M. Shuford represented the United States.
The claims in the settlement are allegations only, and there has been no determination of liability.
The case is captioned as United States ex rel. Thomas v. Meharry Medical College, Case No. 3:20-cv-00658 (M.D. Tenn.).
The investigation and resolution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
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Martinsburg woman admits to trafficking a teenagerRead the Press Release
MARTINSBURG, WEST VIRGINIA – A Martinsburg, West Virginia woman has admitted to trafficking a teenager to a Florida man.
Destiny Rebecca Somersall, age 41, pled guilty today to one count of sex trafficking of a child. Somersall sent photographs and videos of the minor to 75-year-old John Balch for cash and gifts. One of the videos included a second victim. Somersall later drove the teen to a hotel in Maryland for sexual contact with Balch for money on multiple occasions. Investigators found at least 60 cash transactions between Balch and Somersall over a period of two years totaling $13,725.
Balch has been indicted in the District of Maryland on related charges.
The Federal Bureau of Investigation investigated. The U.S. Attorney’s Office, District of Maryland assisted.
Assistant U.S. Attorney Kimberley Crockett is prosecuting the case on behalf of the government.
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. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
For more information on human trafficking, go to www.stophumantraffickingwv.org. To report a potential human trafficking crime, email [email protected] or call 304-234-0100.
Marrero Bookkeeper Indicted on Federal Fraud and Tax ChargesRead the Press Release
NEW ORLEANS, LA – MARY B. KATICICH, age 63, of Marrero, Louisiana, was indicted on April 14, 2023, with four counts of wire fraud in violation of Title 18, United States Code, Section 1343, and one count of making and subscribing a false tax return in violation of Title 26, United States Code, Section 7206(1), announced U.S. Attorney Duane A. Evans. If convicted, KATICICH faces a maximum term of twenty (20) years imprisonment as to each count of wire fraud and a maximum term of three (3) years imprisonment as to the tax charge. As to each count, KATICICH also faces a maximum fine of $250,000.00 or the greater of twice the gross gain to the defendant or twice the gross loss to any person resulting from the offense, under Title 18, United States Code, Section 3571. In addition, KATICICH faces a term of supervised release of up to three (3) years on the wire fraud counts and up to one (1) year on the tax count. Each count also carries a $100 mandatory special assessment fee.
According to today’s indictment, from January 2015 to June 2018, KATICICH was employed as a bookkeeper with Company A based in Belle Chase, Louisiana. During this timeframe, KATICICH stole funds from Company A’s bank accounts without permission or authorization . To enact this scheme, KATICICH executed electronic transfers from Company A to her business and personal bank accounts via ACH deposits and payroll check deposits in amounts exceeding her authorized annual salary. To conceal her embezzlement scheme, KATICICH failed to report to the IRS funds that she received from Company A, resulting in a total tax loss to the IRS of approximately $109,664.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The U.S. Attorney’s Office would like to acknowledge the assistance of the Federal Bureau of Investigation, the Internal Revenue Service, and the Plaquemines Parish Sheriff’s Office in investigating this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brandon S. Long of the Financial Crimes Unit.
Marble City Resident Sentenced for Murder, Arson in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Joseph Allen Hernandez, age 34, of Marble City, Oklahoma, was sentenced for his role in two homicides. Hernandez was sentenced to life in prison for two counts of Murder in Indian Country, and 20 years imprisonment for one count of Arson in Indian Country.
A jury found Hernandez guilty in November 2021 of the murders of his mother and grandmother. During the trial, the United States presented evidence that Hernandez doused both victims in accelerant and set them on fire at their home in Marble City, Oklahoma.
The guilty verdicts were the result of an investigation by the Sequoyah County Sheriff’s Office and the Federal Bureau of Investigation.
"The crimes committed by Hernandez were horrific, and there is no question the sentencing is just,” said FBI Oklahoma City Special Agent in Charge Edward J. Gray. “We hope the life sentence handed down today brings a sense of closure and healing for the family of his victims. The FBI is proud to have worked alongside our partners at the Sequoyah County Sheriff’s Office and the U.S. Attorney’s Office in this investigation."
“The sentencing of Joseph Hernandez to life imprisonment ensures he will be held accountable for the heinous act he committed upon members of his own family and never again step outside the confines of a federal penitentiary to victimize others,” said United States Attorney Christopher J. Wilson.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted the case because the defendant is a member of a federally-recognized Indian tribe and the crimes occurred in Sequoyah County, within the boundaries of the Cherokee Nation Reservation and the Eastern District of Oklahoma.
The Honorable Charles B. Goodwin, U.S. District Judge in the United States District Court for the Western District of Oklahoma in Oklahoma City, presided over the hearing. Upon sentencing, Hernandez was remanded to the custody of the United States Marshal.
Assistant United States Attorney Jarrod Leaman represented the United States.
Manchester Man Pleads Guilty to Drug Trafficking More Than 2 lbs. of Fentanyl in New HampshireRead the Press Release
CONCORD – A Manchester man pleaded guilty in federal court to drug trafficking in New Hampshire, U.S. Attorney Jane E. Young announces.
Zachary Janas, 40, pleaded guilty to distributing fentanyl and unlawfully possessing with the intent to distribute fentanyl. U.S. District Court Judge Joseph LaPlante scheduled sentencing for July 27, 2023. Janas was charged on September 27, 2021.
On September 21, 2021, the Federal Bureau of Investigation agents arranged to purchase approximately one-half kilogram of fentanyl from Janas at his Manchester residence. On September 24, 2021, federal law enforcement seized an additional one-half kilogram of fentanyl packaged for distribution, approximately $7,000 cash, several firearms, and ammunition.
The charging statute provides a sentence of no greater than 20 years in prison, 3 years of supervised release, and a fine of $1,000,000. 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.
The Federal Bureau of Investigation’s Major Offender Task Force led the investigation Assistant U.S. Attorney Jennifer C. Davis is prosecuting the case.
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Man Who Carjacked a FedEx Truck in Greenville Sentenced to 7 Years in PrisonRead the Press Release
WILMINGTON, N.C. – A Kinston man was sentenced today to 84 months in prison for carjacking a FedEx truck, crashing it into a vehicle and a business, and trying to kidnap a child from the car he hit. On November 1, 2022, Dequan Martail Boone, also known as “Day Day,” pled guilty to one count of interfering with interstate commerce by robbery.
According to court documents and other information presented in court, Boone, 33, stole a FedEx truck by force from a driver delivering packages around 10:30 a.m. in Greenville. Boone sped away from the scene, crashing head-on into another vehicle and then into a commercial building. Upon exiting the FedEx truck, Boone ran to the vehicle he hit and tried to take a young child from inside. The child’s mother, who was driving the car, had to fight Boone off to make him release her child. Boone was subdued by bystanders and held until law enforcement arrived on scene.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Federal Bureau of Investigation and the Greenville Police Department investigated the case, and Assistant U.S. Attorneys Lori B. Warlick and Aakash Singh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:22-cr-44-M.
Maine Resident Sentenced to 3 Years in Prison for Fraud and Tax Offenses Stemming from $1.8 Million Embezzlement SchemeRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that EDWARD F. ZIEGLER II, 64, of Bridgton, Maine, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 36 months of imprisonment, followed by two years of supervised release, for fraud and tax offenses stemming from a 15-year embezzlement scheme.
According to court documents and statements made in court, Ziegler, who formerly resided in New Britain, was employed as the office manager for a small, family-owned business, identified in court documents in “Company A,” based in Berlin, Connecticut. In approximately 2006, Ziegler opened a bank account in his name and with the qualifying language “Doing Business As [Company A].” Over the course of approximately 15 years, Ziegler diverted more than 400 checks from Company A’s customers and deposited them into the secret bank account he had established. Ziegler also made fraudulent entries in Company A’s books and record keeping system to cover up the fact that he had diverted the checks and used the funds for his own benefit. Through this scheme, Ziegler embezzled $1,880,280.54 from Company A.
In addition, Ziegler failed to pay $173,003 in federal income taxes on his embezzled income for the 2015 through 2019 tax years.
Judge Dooley ordered Ziegler to pay full restitution to Company A and the IRS
Ziegler was arrested on March 16, 2022. On November 10, 2022, he pleaded guilty to one count of wire fraud and one count of tax evasion.
Ziegler, who is released on a $100,000 bond, is required to report to prison on June 20.
This investigation was conducted by the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation Division, with the assistance of the Bridgton (Maine) Police Department. The case was prosecuted by Assistant U.S. Attorney Michael S. McGarry.
Louisville Man Sentenced to 5-Plus Years in Federal Prison for Possession with Intent to Distribute Fentanyl and Illegal Possession of FirearmsRead the Press Release
Louisville, KY – A Louisville, Kentucky man was sentenced today to 63 months in prison for possession with intent to distribute fentanyl and possession of a firearm by a convicted felon.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division and Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division made the announcement.
According to court documents, on September 8, 2022, Deonta Degroat, 34, possessed with the intent to distribute 149 grams of fentanyl. Degroat also possessed a DPMS, Model A15, multi-caliber rifle, a Sharps Brothers, Model Hellbreaker, multi-caliber AR-pistol, an Apache Armament, Model AA15, multi-caliber rifle, and an ARMSCOR, Model M1911-A1, .45 caliber pistol. Degroat was prohibited from possessing a firearm because he had previously been convicted of the following felony offense. On March 20, 2013, in the Third Judicial Circuit of Michigan, Wayne County, Michigan, Degroat was convicted of home invasion in the second degree (attempt).
After the 63-month prison sentence, Degroat was ordered to serve 4 years on supervised release. There is no parole in the federal system.
The case was investigated by the DEA and the ATF with the assistance from the Kentucky State Police.
Assistant U.S. Attorney Alicia P. Gomez prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Lee County Man Sentenced to Federal Prison for Unlawfully Possessing Firearm as A Convicted FelonRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Clayton Mack Rhodes (45, Fort Myers Beach) to seven years and six months in federal prison for possessing a firearm as a previously convicted felon. The court also ordered Rhodes to forfeit the firearm and ammunition he possessed during the offense. Rhodes had pleaded guilty on August 9, 2022.
According to court records, in the early morning hours of January 22, 2021, deputies from the Lee County Sheriff’s Office (LCSO) responded to an emergency call for service at a residence in Fort Myers Beach and located an unconscious male in the living room of the home. It was later determined that the individual died as the result of a drug overdose. The deputies also located Rhodes inside the home, who was identified as the roommate of the decedent. When deputies searched the residence, they located a loaded Glock handgun in Rhodes’s bedroom. As a convicted felon who had previously served more than a decade in federal prison for a drug trafficking crime, Rhodes is prohibited from possessing firearms or ammunition under federal law.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Federal Bureau of Investigation, the Lee County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Simon R. Eth.
Kenner Man Indicted for Federal Gun and Drug OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – ALTON GRAYSON, age 37, a resident of Kenner, Louisiana, was charged on April 14, 2023 in a three-count indictment for violating the Federal Gun Control Act and the Federal Controlled Substances Act, announced United States Attorney Duane A. Evans.
GRAYSON is charged in Count 1 with possession of a firearm by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1). For Count 2, GRAYSON is charged with possession with intent to distribute 50 grams or more of a substance containing methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(B). For Count 3, GRAYSON is charged with possession of a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A).
If convicted of Count 1, GRAYSON faces a maximum term of imprisonment of 15 years, up to a $250,000 fine, and up to three years of supervised release. If convicted of Count 2, GRAYSON faces a mandatory minimum sentence of 5 years up to a maximum sentence of 40 years imprisonment, up to a $5,000,000 fine, and at least four years of supervised release. If convicted of Count 3, GRAYSON faces a mandatory minimum sentence of 5 years up to life imprisonment, to run consecutively to all other sentences, up to a $250,000 fine and up to 5 years of supervised release. As to each count, GRAYSON faces payment of a mandatory special assessment fee of $100.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Kenner Police Department. Assistant United States Attorney David Berman of the Violent Crimes Unit is in charge of the prosecution.
Kankakee, Illinois, Man Sentenced to 207 Months in Prison for Carjacking, Discharge of FirearmRead the Press Release
URBANA, Ill. – A Kankakee, Illinois, man, Anycco M. Rivers, 25, of the 1100th block of E. Merchant Street, was sentenced today to an aggregate term of 207 months’ imprisonment for carjacking and discharging a firearm during and in relation to a crime of violence.
The sentencing follows a four-day jury trial where the government presented evidence showing that Rivers and an accomplice stole a vehicle at gunpoint and that Rivers discharged a firearm at bystanders as the men fled the scene. In finding Rivers guilty, the jury further found that he had the intent to cause death or serious bodily harm to another during his theft of the vehicle.
At the sentencing hearing, the government presented evidence demonstrating that Rivers fired the gun in a populated area near a park and baseball fields. The bullets struck several vehicles in the area of the carjacking. One image admitted at the hearing showed that a bullet fired by Rivers lodged mere inches away from a child’s car seat.
Also at the hearing, U.S. District Judge Colin S. Bruce found that Rivers’s actions recklessly created a substantial risk of death or serious bodily injury to another person. Judge Bruce weighed Rivers’s troubled upbringing versus the need to protect the public from his dangerous actions. In counseling against future violent behavior, Judge Bruce told Rivers, “You only get one life. You don’t want to squander it.”
At the conclusion of the hearing, Judge Bruce sentenced Rivers to an aggregate term of 207 months’ imprisonment, comprised of consecutive terms of 87 months’ imprisonment for the carjacking and 120 months’ imprisonment for discharging a firearm during and in relation to a crime of violence. Judge Bruce also imposed concurrent terms of supervised release – three years for the carjacking and five years for the firearm discharge. Additionally, Judge Bruce ordered Rivers to pay restitution to the victim of his crime following his release from prison.
Rivers faced statutory penalties of up to 15 years in prison for carjacking. And he faced a consecutive term of 10 years to life imprisonment for discharging a firearm during and in relation to a crime of violence.
The case investigation was conducted by Bourbonnais Police Department; Bradley Police Department; Kankakee Police Department; Kankakee County Sheriff’s Office; and the Federal Bureau of Investigation, Springfield Field Office. Assistant U.S. Attorneys Rachel Ritzer and William Lynch represented the government at trial.
Rivers’s co-defendant, Ladonta A. Tucker, 30, of the 7400th block of E. Second Street in Sun River Terrace, Illinois, is set to be sentenced on June 12, 2023, at 1:30 PM in Courtroom A of the Urbana, Illinois, federal courthouse.
The 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.
Justice Department Secures Agreement with Washington School District to Remedy Discriminatory Seclusion and Restraint PracticesRead the Press Release
The Justice Department announced today a settlement agreement with Spokane Public Schools in Spokane, Washington, to address the discriminatory use of seclusion and restraint against students with disabilities. The settlement agreement, which resolves the department’s investigation under Title II of the Americans with Disabilities Act (ADA), will protect students with disabilities by eliminating seclusion and reforming the district’s restraint practices.
The department’s investigation concluded that the school district inappropriately and repeatedly secluded and restrained students with disabilities and did not limit its use of restraint and seclusion to emergency situations, as required by state law and the district policy. Instead, the district restrained and secluded students with disabilities to address noncompliant behavior, even when those actions appeared to escalate the behavior or when students showed clear signs of trauma. As a result, students with disabilities missed hundreds of hours of instructional time. Under the settlement agreement, Spokane Public Schools has agreed to end the use of seclusion, overhaul its restraint practices and better train staff on how to anticipate, address and de-escalate students’ disability-related behaviors through effective and appropriate interventions and supports.
“When schools discriminate against students with disabilities through improper restraints and seclusion, they unjustly deprive those students of equal access to education and the opportunity to succeed,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Schools need the tools and the training to appropriately serve all students, including students with disabilities. This agreement will put Spokane Public Schools firmly on a path to systemic reforms that will protect students with disabilities and provide them with a safe and supportive learning environment. The Civil Rights Division will continue to fight discrimination against children with disabilities in public schools across the country.”
“Each and every child deserves a fair and equal opportunity to learn and thrive,” said U.S. Attorney Vanessa R. Waldref for the Eastern District of Washington. “Our office, in partnership with the department’s Civil Rights Division, will vigorously investigate allegations of discrimination on the basis of disability in all settings, including in our public schools. We are heartened by the school district’s commitment to this sweeping agreement, which will undoubtedly improve the education and everyday lives of many of our students in the Spokane community.”
The district fully cooperated throughout the investigation, and before entering the agreement, began steps to voluntarily reform its practices. Among other actions, under the agreement, the district will:
- Prohibit the use of seclusion (referred to in the agreement as “isolation”) at all district schools;
- Only restrain students when their behavior poses an imminent likelihood of serious harm to the student or another person;
- Improve data collection efforts and establish review protocols following the use of restraint;
- Review and improve behavioral intervention plans;
- Create classroom-wide behavior management plans that promote positive behaviors and de-escalate noncompliant behaviors to support teachers and students in classrooms serving students with high-intensity behaviors;
- Deliver appropriate training and resources to help schools implement the agreement and respond appropriately to student behavior;
- Create a complaint procedure through which families can file a complaint with the district regarding the use of seclusion or restraint;
- Offer counseling and compensatory education services to students with disabilities who were subjected to the district’s discriminatory practices; and
- Appoint an Intervention Coordinator to ensure the district’s compliance with the agreement and Title II of the ADA.
Enforcement of Title II of the ADA is a priority of the Civil Rights Division. This agreement is the most recent in a series of division settlements to address and prevent unlawful seclusion and restraint of students with disabilities in public schools. On Feb. 16, for example, the division reached a settlement with the Anchorage School District in Alaska to address the discriminatory use of seclusion and restraint against students with disabilities. The division reached similar agreements in December 2022 with the Okaloosa County School District in Florida, in September 2022 with the Cedar Rapids Community School District in Iowa, in December 2021 with the Frederick Public School District in Maryland and in December 2020 with the North Gibson School Corporation in Indiana.
Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt, and additional information about the Educational Opportunities Section’s work is available at www.justice.gov/crt/educational-opportunities-section. To learn more about the section’s work under the ADA to combat improper seclusion in schools, visit this website: www.justice.gov/schoolseclusion.
Members of the public may report possible civil rights violations at www.civilrights.justice.gov/.
Justice Department Secures Agreement with Washington School District to Remedy Discriminatory Seclusion and Restraint PracticesRead the Press Release
The Justice Department announced today a settlement agreement with Spokane Public Schools in Spokane, Washington, to address the discriminatory use of seclusion and restraint against students with disabilities. The settlement agreement, which resolves the department’s investigation under Title II of the Americans with Disabilities Act (ADA), will protect students with disabilities by eliminating seclusion and reforming the district’s restraint practices.
The department’s investigation concluded that the school district inappropriately and repeatedly secluded and restrained students with disabilities and did not limit its use of restraint and seclusion to emergency situations, as required by state law and the district policy. Instead, the district restrained and secluded students with disabilities to address noncompliant behavior, even when those actions appeared to escalate the behavior or when students showed clear signs of trauma. As a result, students with disabilities missed hundreds of hours of instructional time. Under the settlement agreement, Spokane Public Schools has agreed to end the use of seclusion, overhaul its restraint practices and better train staff on how to anticipate, address and de-escalate students’ disability-related behaviors through effective and appropriate interventions and supports.
“When schools discriminate against students with disabilities through improper restraints and seclusion, they unjustly deprive those students of equal access to education and the opportunity to succeed,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Schools need the tools and the training to appropriately serve all students, including students with disabilities. This agreement will put Spokane Public Schools firmly on a path to systemic reforms that will protect students with disabilities and provide them with a safe and supportive learning environment. The Civil Rights Division will continue to fight discrimination against children with disabilities in public schools across the country.”
“Each and every child deserves a fair and equal opportunity to learn and thrive,” said U.S. Attorney Vanessa R. Waldref for the Eastern District of Washington. “Our office, in partnership with the department’s Civil Rights Division, will vigorously investigate allegations of discrimination on the basis of disability in all settings, including in our public schools. We are heartened by the school district’s commitment to this sweeping agreement, which will undoubtedly improve the education and everyday lives of many of our students in the Spokane community.”
The district fully cooperated throughout the investigation, and before entering the agreement, began steps to voluntarily reform its practices. Among other actions, under the agreement, the district will:
- Prohibit the use of seclusion (referred to in the agreement as “isolation”) at all district schools;
- Only restrain students when their behavior poses an imminent likelihood of serious harm to the student or another person;
- Improve data collection efforts and establish review protocols following the use of restraint;
- Review and improve behavioral intervention plans;
- Create classroom-wide behavior management plans that promote positive behaviors and de-escalate noncompliant behaviors to support teachers and students in classrooms serving students with high-intensity behaviors;
- Deliver appropriate training and resources to help schools implement the agreement and respond appropriately to student behavior;
- Create a complaint procedure through which families can file a complaint with the district regarding the use of seclusion or restraint;
- Offer counseling and compensatory education services to students with disabilities who were subjected to the district’s discriminatory practices; and
- Appoint an Intervention Coordinator to ensure the district’s compliance with the agreement and Title II of the ADA.
Enforcement of Title II of the ADA is a priority of the Civil Rights Division. This agreement is the most recent in a series of division settlements to address and prevent unlawful seclusion and restraint of students with disabilities in public schools. On Feb. 16, for example, the division reached a settlement with the Anchorage School District in Alaska to address the discriminatory use of seclusion and restraint against students with disabilities. The division reached similar agreements in December 2022 with the Okaloosa County School District in Florida, in September 2022 with the Cedar Rapids Community School District in Iowa, in December 2021 with the Frederick Public School District in Maryland and in December 2020 with the North Gibson School Corporation in Indiana.
Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt, and additional information about the Educational Opportunities Section’s work is available at www.justice.gov/crt/educational-opportunities-section. To learn more about the section’s work under the ADA to combat improper seclusion in schools, visit this website: www.justice.gov/schoolseclusion.
Members of the public may report possible civil rights violations at www.civilrights.justice.gov/.
download_doj_cover_letter.pdf download_settlement_agreement.pdf download_settlement_agreement_summary.pdfJustice Department Files Sexual Harassment Lawsuit Against Kentucky Rental Property OwnerRead the Press Release
The Justice Department announced today that it has filed a lawsuit against the owner and operator of rental properties in the Pulaski County, Kentucky, area for engaging in sexual harassment and retaliation in violation of the Fair Housing Act.
The lawsuit, filed in the U.S. District Court for the Eastern District of Kentucky, alleges that Danny T. Bell sexually harassed numerous female tenants since at least 2010. According to the complaint, Bell made repeated and unwelcome sexual comments to female tenants, entered the homes of female tenants without their consent, touched female tenants’ bodies without their consent, offered reduced or free rent in exchange for sexual contact and took adverse housing-related actions against female tenants who refused his sexual advances.
“Everyone deserves to feel safe at home, and sexual harassment in housing destroys that feeling of security,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to vigorously enforce the Fair Housing Act to protect tenants from harassment and retaliation by their landlords.”
“Whenever sexual harassment in housing erodes the security and sanctity of a person’s home, it is more than a shame – it is a violation of the law,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “We are committed to doing our part to enforcing the law and ensuring the protections of the Fair Housing Act.”
The lawsuit seeks monetary damages to compensate persons harmed by the alleged harassment, a civil penalty to vindicate the public interest and a court order barring future discrimination.
The Justice Department launched its Sexual Harassment in Housing Initiative in October 2017. The department’s initiative is led by the Civil Rights Division, in coordination with U.S. Attorneys’ Offices across the country. The initiative seeks to address and raise awareness about sexual harassment by landlords, property managers, maintenance workers, loan officers and other people who have control over housing. Since launching the initiative, the department has filed 30 lawsuits alleging sexual harassment in housing and recovered over $9.8 million for victims of such harassment.
The Fair Housing Act prohibits discrimination in housing based on sex, race, color, religion, national origin, disability and familial status. Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination at rental dwellings owned or managed by Bell, or who have other information that may be relevant to this case, may contact the Housing Discrimination Tip Line at 1-833-591-0291, select a language, and select option number 2, then option number 8 to leave a message. Individuals may also e-mail the department at [email protected] or submit a report online. Reports also may be made by contacting the U.S. Department of Housing and Urban Development at 1-800-669-9777 or by filing a complaint online.
The complaint contains allegations of unlawful conduct. The allegations must be proven in federal court.
Jackson, Mississippi Drinking Water and Sewer Overflow Issues - Request for Community StatementsRead the Press Release
Jackson, Miss. - The U.S. Department of Justice and the U.S. Environmental Protection Agency want to ensure that all community members have an opportunity to comment on long-term solutions for drinking water and sewer overflow issues in Jackson, Mississippi. Therefore, we are asking Jackson residents and workers to submit Community Statements. The Federal Government, the City of Jackson, and the State of Mississippi will consider comments in the Community Statements when developing long-term solutions.
Please submit Community Statements online (available in both English and Spanish) at https://dojenrd.gov1.qualtrics.com/jfe/form/SV_0cbGlkoP7ik3eZg.
Illinois Man Sentenced to 75 Years for Online Sextortion of MinorsRead the Press Release
BENTON, Ill. – A U.S. District Court judge sentenced an Illinois man to 75 years in federal prison on Monday after he was found guilty of conducting a sextortion scheme on Facebook with multiple victims ranging in ages from 11 to 17 years old.
Michael A. Ferris, 44, of Mill Shoals, Illinois, was convicted by a jury in November 2022 on 25 felony counts of extortion, cyberstalking, and production, distribution, and possession of child pornography. Following his prison sentence, he will serve the rest of his life on supervised release.
“Michael Ferris intentionally sought out young girls with exploitable past trauma for his own callous pleasure, and his coercive crimes caused devastating and long-lasting suffering for his victims,” said U.S. Attorney Rachelle Aud Crowe. “I appreciate the work by the investigative agencies to offer justice to the defendant’s victims.”
“Combating child exploitation is a team effort and requires cooperation at the federal, state and local levels,” said HSI Chicago Special Agent in Charge Sean Fitzgerald. “The efforts to bring this individual to justice have resulted in one less predator on the streets who would look to victimize our children and endanger our communities.”
According to court documents and evidence presented at trial, Ferris targeted teenage girls on Facebook and engaged in a pattern of extortion, commonly known as “sextortion” from at least March 2020 until November 2020.
As part of his scheme, Ferris created fake Facebook personas appearing to be teenage girls. He joined Facebook groups for teenagers or young survivors of sexual abuse. Ferris sent unsolicited messages to teenage girls under the guise of being a peer looking to make a new friend. If the teens responded, Ferris tried to convince them to send a nude photograph or answer personal questions about themselves. Ferris then used that information as leverage to coerce them into sending more explicit photos, answering more sexual questions, or performing sexual acts while Ferris watched on video chat. If his victims refused to comply, or pleaded to stop, Ferris harassed and threatened them until they kept going, usually threatening to send the girls’ photos or answers to personal questions to their friends, parents, police, or child protective services. Even after Ferris’ victims complied with his demands, he would often still distribute their sexually explicit images to friends and family.
The investigation was conducted by agents from Homeland Security Investigations—Springfield with assistance from Homeland Security Investigations domestic and international offices, Jackson County Oregon Sheriff’s Office, Jefferson County Illinois Sheriff’s Office, Illinois State Police, and Aurora Missouri Police Department. Victim and Witness Support was provided by the U.S. Attorneys’ Office from the Southern District of Illinois, the Eastern District of Missouri, and Homeland Security Investigations.
Assistant U.S. Attorneys Ali Burns and Luke Weissler prosecuted the case.
Huntington Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Kameron I. Ziegler, 23, of Huntington, was sentenced today to five years in prison, to be followed by four years of supervised release, for aiding and abetting the distribution of 5 grams or more of methamphetamine.
According to court documents and statements made in court, on May 6, 2022, Kilan Nicks, also known as “Low,” sold approximately 29 grams of methamphetamine and 3 grams of fentanyl to a confidential informant at a Roby Road residence in Huntington. Ziegler admitted to being at the residence and providing the methamphetamine to Nicks in advance of the sale to the informant.
Nicks was sentenced to 12 years in prison, to be followed by five years of supervised release, on March 6, 2023, for distributing 5 grams or more of methamphetamine and a quantity of fentanyl, and for possessing a firearm in furtherance of a drug trafficking crime.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the Cabell County Sheriff’s Office.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Joseph F. Adams prosecuted the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF 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. Today, 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. 3:22-cr-118.
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Hopkinton Man Sentenced to Six Years in Prison on Child Pornography ChargesRead the Press Release
PROVIDENCE – A Hopkinton man who previously admitted to a federal judge that he possessed and shared child pornography while he was awaiting trial in Rhode Island state court in two unrelated child pornography cases was sentenced today to six years in federal prison, announced United States attorney Zachary A. Cunha.
Christopher Leherissier, 34, admitted that in February 2021, he uploaded video files of child pornography involving prepubescent children via an account on the online messenger application Kik that he managed and that he used to store child pornography.
Members of the Rhode Island State Police Internet Crimes Against Children (ICAC) Task Force identified an IP address, email address, and a Kik screenname Leherissier untilized to upload images of child pornography. Task Force members identfied 160 images and 124 videos of child pornography stored on a mobile device and a hard drive seiezed from Leherisser at the time of his arrest; and 80 images and 101 videos of child pornography stored in two email accounts he controlled.
At the time of his arrest in this matter, Leherissier was on pre-trial on two different cases pending in Rhode Island state court involving charges of allegedly solicitating a minor and disseminating indecent matter to that minor in early 2020; and, in a separate matter dated from the fall of 2020, for allegedly being in possession of child pornography stored in a DropBox account as well as on his electronic devices.
Related to his most recent arrest, Leherisser pleaded guilty in federal court on November 15, 2022, to charges of distribution of child pornography and possession of child pornography. He was sentenced today by U.S. District Court Judge William E. Smith to seventy-two months of incarceration to be followed by ten years of federal supervised release. Additionally, Leherisser is ordered to pay a statutory mandated restitution in the amount of $3,000 to each of eight identified victims who appear in images and videos shared by Leherisser and who sought restitution.
The matter prosecuted in U.S. District Court was prosecuted by Assistant United States Attorney Dulce Donovan.
Homeland Security Investigations assisted the ICAC Task Force in the investigation of this matter.
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Greenbrier County Woman Pleads Guilty to Federal Gun CrimeRead the Press Release
BLUEFIELD, W.Va. – Arica L. Anderson, 37, of Lewisburg, pleaded guilty today to being a felon in possession of a firearm.
According to court documents and statements made in court, on January 2, 2022, a law enforcement officer conducted a traffic stop of a vehicle in which Anderson was a passenger in the Pickaway area of Monroe County. The officer saw Anderson try to conceal an Acier Comprime, .25-caliber pistol. Anderson admitted to possessing the firearm.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Anderson was prohibited from possessing a firearm because of her prior felony conviction for conspiracy to commit a felony offense: robbery in the first degree, in Monroe County Circuit Court on September 16, 2013.
Anderson is scheduled to be sentenced on July 31, 2023, and faces a maximum penalty of 10 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the West Virginia State Police.
Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney Andrew D. Isabell is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 1:22-cr-104.
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Fresno Fentanyl and Methamphetamine Dealer Pleads GuiltyRead the Press Release
FRESNO, Calif. — Bobby Hood, 65, of Fresno, pleaded guilty today to possessing with intent to distribute over 40 grams of fentanyl and over 500 grams of methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Jan. 14, 2021, investigators executed a warrant and searched Hood’s residence, car, and person and seized over a pound of methamphetamine and over 40 grams of powdered fentanyl.
This case is the product of an investigation by FORT, a multi-agency team composed of Homeland Security Investigations, the Drug Enforcement Administration, the Clovis Police Department, and the Fresno Police Department. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
Hood is scheduled to be sentenced on Aug. 7, 2023, by U.S. District Judge Jennifer L. Thurston. Hood faces a mandatory minimum sentence of 10 years up to life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case is part of Operation Synthetic Opioid Surge (S.O.S.) a program designed to reduce the supply of deadly synthetic opioids in high impact areas as well as identifying wholesale distribution networks and international and domestic suppliers. In July 2018, the Justice Department announced the creation of S.O.S., which is being implemented in the Eastern District of California and nine other federal districts.
Fresno Area Man Arrested for Operating Business to Buy and Sell Stolen Catalytic ConvertersRead the Press Release
FRESNO, Calif. — A federal grand jury has indicted George Thomas, 70, of Clovis, for selling thousands of stolen catalytic converters to a company in Oregon for over $2.5 million, and then withdrawing the proceeds from his bank accounts in increments under $10,000 to avoid federal reporting requirements, U.S. Attorney Phillip A. Talbert announced. The indictment was unsealed today following Thomas’s arrest.
According to court records, between January 2021 and November 2022, Thomas purchased stolen catalytic converters from thieves in the Fresno area who cut the converters off people’s vehicles. The thieves called or texted Thomas to arrange the sales, and the sales occurred in parking lots and behind buildings during all hours of the day and night. Thomas paid the thieves significantly below market rates and paid them in cash to conceal the source of the converters.
Thomas gave the thieves instructions on the types of catalytic converters that he was looking for and how to best cut the converters off of vehicles. Thomas also helped some of the thieves buy new saws to use after the thieves’ saws were confiscated by the police or were stolen.
Thomas took photographs of the thieves, and he required them to provide their identification cards and the Vehicle Identification Numbers (VIN) for the vehicles from which the catalytic converters were supposedly cut off. Thomas told the thieves that it did not matter where they got the VINs. For example, in one instance, Thomas said, “It’s supposed to come off the one you got it off of, but it’s up to you what you do. All I need is a VIN number is all.” In other instances, Thomas altered the VINs that thieves gave him to make the VINs look better. Many of the VINs were later determined to be fake or from stolen vehicles.
Thomas drove the stolen catalytic converters to Oregon where he sold the converters to a company that extracted the valuable metals and sold the metals for further processing. Thomas made several misrepresentations to the Oregon company, including that he had purchased the converters from legitimate businesses and that the VINs he provided were for the vehicles from which the converters had been removed.
This case is the product of an investigation by the Federal Bureau of Investigation, the Clovis Police Department, and the Fresno Police Department. Assistant U.S. Attorneys Joseph Barton and Justin Gilio are prosecuting the case.
If convicted, Thomas faces a maximum statutory penalty of 10 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.
Anyone with knowledge of Thomas activities is encouraged to contact the FBI at 1-800-CALL-FBI (1-800-225-5324) or tips.fbi.gov.
Franklin Man Sentenced to over 21 Years in Federal Prison for Drug Trafficking and Illegal Firearm PossessionRead the Press Release
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Rana Saoud of Homeland Security Investigations Nashville, Director Jacky Hunt of the Appalachia High Intensity Drug Trafficking Area (AHIDTA) South-Central Kentucky Drug Task Force, and Sheriff Jere Dee Hopson of the Simpson County Sheriff’s Office made the announcement.
According to court documents, on December 31, 2019, Adrian Nolan, 42, possessed with the intent to distribute 50 grams or more of methamphetamine, 28 grams or more of cocaine base (crack cocaine) and a mixture of cocaine. Nolan also possessed a Glock 23, .40 caliber semiautomatic pistol in furtherance of his drug trafficking. Nolan was prohibited from possessing a firearm because he had been convicted of the following felony offenses. On January 5, 2009, in the United States District Court for the Western District of Kentucky, Nolan was convicted of possession with the intent to distribute cocaine base and aiding and abetting. On March 17, 2009, in the Simpson Circuit Court, Nolan was convicted of first-degree possession of a controlled substance. On March 16, 2009, in Simpson Circuit Court, Nolan was convicted of first-degree possession of a controlled substance, second offense. On December 19, 2005, in Simpson Circuit Court, Nolan was convicted of first-degree possession of a controlled substance. On February 21, 2000, in Simpson Circuit Court, Nolan was convicted of first-degree trafficking in a controlled substance.
After the 260-month prison sentence, Nolan was ordered to serve five years on supervised release. There is no parole in the federal system.
The case was investigated by HSI Bowling Green, the Appalachia High Intensity Drug Trafficking Area (AHIDTA) South-Central Kentucky Drug Task Force, and the Simpson County Sheriff’s Office.
Assistant U.S. Attorney Mark J. Yurchisin II, of the U.S. Attorney’s Bowling Green Branch Office, prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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