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Newest first across public DOJ and U.S. Attorney press releases.
23 May 2023
Village Home Care, CEO, and Two Doctors Pay $490,000 to Resolve False Claims Act Allegations for Paying and Receiving KickbacksRead the Press Release
Village Home Care LLC (VHC), located in Ocala, Florida, has agreed to pay $225,000 to resolve allegations that it violated the False Claims Act (FCA) by paying kickbacks to two physicians in the form of sham medical director or sublease agreements in exchange for patient referrals. Joy Rodak (Rodak), VHC’s CEO and majority owner, has agreed separately to pay $105,000. Both settlements are based on financial ability to pay. In addition, the United States has reached agreements with Dr. Vishnu Reddy and Dr. Kuchakulla Reddy to pay $100,000 and $61,943.44, respectively, to resolve allegations that each accepted kickbacks from VHC in exchange for patient referrals.
On Jan. 15, 2021, the United States filed complaints in intervention in two whistleblower lawsuits brought under the FCA against VHC and Rodak alleging that they knowingly billed Medicare for home health services for patients referred to VHC by Dr. Vishnu Reddy from Nov. 15, 2012, through Nov. 14, 2014, while paying Dr. V. Reddy under sham medical director agreements. Although Dr. V. Reddy performed no services, VHC paid him $50,000 to induce him to refer patients to VHC. The United States further alleged that VHC and Rodak knowingly billed Medicare for home health services for patients referred to VHC by Dr. Kuchakulla Reddy from Dec. 1, 2012, through March 5, 2014, while paying Dr. K. Reddy, through his medical practice, under sham sublease agreements. Although VHC did not use the space, VHC paid Dr. K. Reddy $30,971.72 to induce him to refer patients to VHC.
“Paying doctors to refer patients for services paid for by federal health care programs can distort medical decision-making and result in medically unnecessary care,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The settlements in this matter demonstrate our commitment to protecting the integrity of these programs and the taxpayer dollars that support them.”
“Medicare funds should be used to provide care for our seniors, not to induce physicians to refer business,” said U.S. Attorney Roger Handberg for the Middle District of Florida. “This office will take action against individuals who make unlawful payment to physicians in exchange for patient referrals.”
The civil settlements include the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Kasey Jacobs, James Hanes, Katherine Brooks, Karen Swain, and Barbara Mellot-Yezman, all former employees of VHC. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam cases are captioned U.S. ex rel. Jacobs, et al. v. Village Home Care, LLC, et al., No. 5:21-cv-00073-CEM-PRL (M.D. Fla.), and U.S. ex rel. Brooks, et al. v. Village Home Care, LLC, et al., No. 5:21-cv-00072-CEM-PRL (M.D. Fla.). The relators’ share of the settlements has not yet been determined.
The resolutions obtained in this matter were the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the U.S. Attorney’s Office for the Middle District of Florida, and the Department of Health and Human Services Office of the Inspector General.
The matter was investigated by Senior Trial Counsel Sarah Arni and Trial Attorney Breanna Peterson of the Civil Division's Fraud Section and Assistant U.S. Attorney Sean Keefe for the Middle District of Florida.
The investigation and resolutions in this matter illustrate the government’s emphasis on combating health care 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).
The claims resolved by the settlements are allegations only and there has been no determination of liability.
United States Files Forfeiture Action to Recover Crypto Proceeds Traceable to Cyber Fraud SchemeRead the Press Release
BOSTON – The United States Attorney’s Office filed a civil forfeiture action to recover cryptocurrency alleged to be proceeds of a business email compromise (BEC) fraud scheme targeting a Massachusetts business.
The government seeks to forfeit cryptocurrency seized from seven accounts located at Binance, a cryptocurrency exchange and custodian. The seized cryptocurrency included bitcoin (BTC), Tether (USDT), APE (APEcoin), JASMY (an Ethereum token), OGN (Origin Protocol), SHIB (Shiba Inu), XEC (eCash), TLM and BNB (Binance coin).
In March 2022, a federal investigation began into a BEC scheme targeting a Massachusetts business that was allegedly tricked, through a fraudulent email, into wiring $898,342 from its Massachusetts bank account to a bank account opened in California. From that transfer, proceeds were traced to another bank account and then to a cryptocurrency exchange where the funds were converted to bitcoin. From there, the funds, in the form of cryptocurrency, were transferred through a series of intermediary cryptocurrency addresses, in a manner consistent with tactics employed in money laundering transactions. Ultimately, some of the funds were traced to accounts located at Binance, where they, or things of equivalent value, were seized in August and September 2022.
It is a violation of federal law to use wire communications as part of a scheme to defraud or to obtain money or property by means of false or fraudulent pretenses. The complaint alleges that the seized currency was both proceeds of the wire fraud and/or property involved in money laundering.
A civil forfeiture action allows third parties to assert claims to property, which must be resolved before the property can be forfeited to the United States and returned to victims.
Members of the public who believe they are victims of a cybercrime – including cryptocurrency scams, romance scams, investment scams, and BEC fraud scams – should contact [email protected].
Acting United States Attorney Joshua S. Levy and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. The civil forfeiture action is being prosecuted by Assistant U.S. Attorney Carol E. Head, Chief of Levy’s Asset Recovery Unit.
The details contained in the civil forfeiture complaint are allegations. The United States Attorney’s Office has not filed a corresponding criminal action on the matter.
United States Attorney’s Office in the District of New Hampshire Allocated 2 Additional Federal Prosecutors in FY23 BudgetRead the Press Release
CONCORD – The U.S. Attorney’s Office was allocated 2 new attorney positions in the federal budget to address civil rights, domestic terrorism, and violent crime in New Hampshire, U.S. Attorney Jane E. Young announces.
“These new positions will allow us to focus added resources on enforcing federal laws aimed at curbing violence, domestic terrorism and civil rights violations,” said U.S. Attorney Jane E. Young. “Furthermore, it has been a priority of our office to enhance our civil rights work in various communities throughout the state, and this dedicated position is a step forward in achieving that goal.”
One attorney will be the first Assistant U.S. Attorney dedicated to promoting civil rights in the State of New Hampshire, handling both criminal and civil cases. The second hire will address domestic terrorism and other violent crimes throughout the state.
Job solicitations for the two new positions will be posted on www.usajobs.gov, expected early summer 2023.
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U.S. Attorney's Office Partners with Charlotte-Mecklenburg Schools to Host Summit for High School Students as Part of “United Against Hate” InitiativeRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Dena J. King announced today that her Office partnered with Charlotte-Mecklenburg Schools (CMS) to host a youth engagement summit for high school students, as part of the U.S. Attorney’s Office “United Against Hate” (UAH) initiative.
Approximately 150 students selected from Charlotte-Mecklenburg high schools attended the summit, which was held at Queens University Sports Complex and Conference Center. The goal of the summit was to provide instruction and information to students on identifying, reporting, and preventing hate crimes and other civil rights violations; encourage students to share their experiences and exchange ideas on how to promote a positive environment within their schools; and help students develop solutions for building inclusive and equitable schools for everyone.
Dena J. King, United States Attorney“Today, we empowered our students to think as future leaders in our communities. We challenged them to understand their role as agents for change. And we dared them to dream of building a society where hate has no place. I call upon all students to find their voice and speak out against hate wherever they see it – even when it’s not directed at them. I also urge students to reject hate and to join me in making inclusion and equality our common goal and our shared responsibility.”
Over the course of the program, students were presented information by Alex Pyun, with Mecklenburg County Community Support Services; Haeley Robinson with Time Out Youth; John Coucelman with CMS; and Daniel Cervantes with the U.S. Attorney’s Office.
During the program’s interactive group sessions, students discussed their concerns about their schools’ current culture and brainstormed on ways to help support each other and their classmates in creating a better school experience. Students were also challenged to think about how they can best utilize the information they acquired to develop action plans to address the needs of their schools.
Today’s summit was part of a series of planned outreach and educational events conducted by the U.S. Attorney’s Office as part of the Justice Department’s UAH initiative, a nationwide program created to combat the rise in unlawful acts of hate.
On May 27, 2021, U.S. Attorney General Merrick B. Garland issued a memorandum on improving the Justice Department’s efforts to combat unlawful acts of hate, and emphasized the need to actively engage in outreach and educational efforts centered around hate crimes.
In the Western District of North Carolina, the UAH initiative comprises a series of events focusing on community groups at risk of being targeted in hate crimes and incidents of hate. The goal is to give participants an opportunity to directly connect with federal prosecutors and law enforcement to increase community understanding of hate crimes and hate incidents; provide a mechanism for reporting potential hate crimes and civil rights violations; build trust between law enforcement and communities; and create and strengthen alliances with government partners and community groups to combat unlawful acts of hate.
In making today’s announcement, U.S. Attorney King thanked Queens University for hosting the summit and giving the students an opportunity to gather, and Pivotal Health Solutions for providing mental health resources for the students. U.S. Attorney King also thanked Charlotte-Mecklenburg Schools, Time Out Youth, and Mecklenburg County Community Support Services for their participation and support of this important initiative.
In the coming months, the U.S. Attorney’s Office will hold additional UAH events to engage with more communities throughout the Western District of North Carolina.
Troy Man Indicted for Stealing Six Firearms from Federally Licensed DealerRead the Press Release
ALBANY, NEW YORK – Michael C. McDermott, age 30, of Troy, New York, was arraigned today on an indictment charging him with theft of six firearms from a federally licensed dealer. United States Attorney Carla B. Freedman; John B. DeVito, Special Agent in Charge of the New York Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); and Chief Gina F. Cocchiara of the Bethlehem Police Department made the announcement.
The indictment alleges that on May 10, 2022, McDermott stole five shotguns and one rifle from the Walmart in Glenmont, New York.
The charge in the indictment is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
Earlier today, United States Magistrate Judge Christian F. Hummel ordered McDermott detained pending a trial scheduled for July 24, 2023 before United States District Judge Anne M. Nardacci.
The charge filed against McDermott carries a maximum term of 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The ATF and the Bethlehem Police Department are investigating the case. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.
Trafficker admits to smuggling $1.5M worth cocaine in produce boxesRead the Press Release
McALLEN, Texas – A 50-year-old Mexican resident has pleaded guilty to possession with intent to distribute 88.5 kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.
On Nov. 13, 2022, Faustino Perez Luna was driving a tractor trailer loaded with cocaine. The drugs were the priority load of a known drug trafficking organization.
Luna approached the Falfurrias checkpoint and claimed to be headed to Atlanta to drop a load of produce. However, a K-9 soon alerted to the presence of narcotics within the vehicle. Authorities referred him to secondary inspection where they discovered the cocaine concealed between produce boxes on the tractor trailer.
The drugs weighed approximately 88.5 kilograms with an estimated street value of $1.5 million.
From March 2022 to Nov. 13, 2022, law enforcement arrested several others in connection with this drug trafficking organization. It operated in the lower Rio Grande Valley transporting either narcotics, guns or money.
The investigation led to the discovery of the priority load – the 88.5 kilograms Luna had transported. It was intended for Atlanta, Georgia.
U.S. District Judge Randy Crane will impose sentencing for Luna Aug. 10. At that time, Luna faces up to life in federal prison and a possible $10 million maximum fine.
Luna has been and will remain in custody pending sentencing.
Drug Enforcement Administration conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Eric D. Flores is prosecuting the case.
Tishomingo Resident Sentenced for Murder in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Cory Dean Boykin, age 35, of Tishomingo, Oklahoma, was sentenced to 262 months in prison for Murder in Indian Country, Second Degree.
The charges arose from investigations by the Johnston County Sheriff’s Department, the Tishomingo Police Department, and the Federal Bureau of Investigation.
On November 21, 2020, Boykin beat and choked a female victim at a residence in Tishomingo, Oklahoma. Upon arrival at the crime scene, law enforcement discovered the victim unconscious. Emergency medical responders transported the victim to a local hospital where she died the following day. Boykin was later arrested and admitted to assaulting and strangling the victim.
On March 9, 2021, Boykin pleaded guilty to Murder in Indian Country, Second Degree.
“A senseless and brutal act of violence claimed the life of a vibrant young woman, and while the sentence imposed today represents justice under the law, the harm can never be undone,” said FBI Oklahoma City Special Agent in Charge Edward J. Gray. “I am grateful for the efforts of the investigators and prosecutors in this case to ensure the defendant will remain safely away from the public for many years to come.”
“The defendant’s callous and egregious acts warranted the lengthy prison term recommended by the United States and imposed by the Court,” said United States Attorney Christopher J. Wilson. “Although the sentence will never fully bring justice to the family, hopefully they can begin the healing process knowing the defendant is being held accountable for his crimes.”
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted this case because the defendant is a member of a federally recognized Indian tribe and the crimes occurred in Johnston County, within the boundaries of the Chickasaw Nation Reservation and the Eastern District of Oklahoma.
The Honorable Ronald White, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing in Muskogee. Boykin will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Jason Poe represented the United States.
Sudbury Man Pleads Guilty to Child Pornography OffensesRead the Press Release
BOSTON – A Sudbury man pleaded guilty on May 17, 2023 to child pornography charges.
Tyson Tu, 50, pleaded guilty to one count of receipt of child pornography and one count of possession of child pornography. U.S. District Court Judge Denise J. Casper scheduled sentencing for Aug. 9, 2023. Tu was indicted by a federal grand jury in October 2021.
In May 2020, Tu was identified as the subscriber of an IP address downloading child pornography from a peer-to-peer file sharing network. During a search of Tu’s residence on April 13, 2021, multiple electronic devices were seized – one of which was actively downloading and sharing child pornographic files at the time. Three of the seized devices were found to contain child pornography files. It was determined that between approximately Feb. 20, 2021 through April 13, 2021, Tu received child pornography.
The charge of receipt of child pornography provides for a sentence of at least five years and up to 20 years in prison, at least five years and up to a lifetime of supervised release and a fine of $250,000. The charge of possession of child pornography provides for a sentence of up to 20 years in prison, at least five years and up to a lifetime of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; and Sudbury Police Chief Scott Nix made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Levy’s Major Crimes Unit is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Statement from U.S. Attorney Shier Regarding Monday’s IncidentsRead the Press Release
The U.S. Attorney’s Office for the Eastern District of Kentucky is aware of the Scott County shooting incident involving law enforcement and the related incidents in Fayette County that occurred yesterday afternoon. As the investigation of these incidents progresses, we stand with our local and state law enforcement partners. We are offering our support and federal resources to assist in the investigation. Our thoughts are with everyone impacted by these tragic events, especially the family members, friends, and colleagues of Deputy Caleb Conley and those injured during the incidents.
Springfield Man Pleads Guilty to Charges Related to Catalytic Converter Thefts and Money LaunderingRead the Press Release
BOSTON – A Springfield man pleaded guilty on May 17, 2023 in federal court in Boston to charges related to the theft and transportation of stolen catalytic converters and the sale of stolen catalytic converters to core buyers in other states.
Jose Torres, a/k/a “Goldy,” a/k/a “Goldy Tech,” 37, pleaded guilty to an indictment charging him with conspiracy transport stolen property in interstate commerce, interstate transportation of stolen property, and conspiracy commit money laundering. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Sept. 6, 2023.
Torres and six other men were arrested on April 12, 2023, and charged with offenses related to the theft, transportation, and sale of stolen catalytic converters taken from over 470 vehicles during 2022 and 2023.
Catalytic converters are a component of a vehicle’s exhaust device that reduce the toxic gas and pollutants from a vehicle's internal combustion engine into safe emissions by catalyzing a redox reaction process. They are required components on all combustion engine automobiles in the United States as regulated by the Environmental Protection Agency (EPA). Catalytic converters use precious metals in their center or “core” and are regularly targeted for theft due to the high value of these metals – including palladium, platinum, and rhodium. Some of these precious metals are more valuable per ounce than gold and their value has been increasing in recent years, with black-market prices being more than $1,000 each.
Catalytic converter theft has become a nationwide problem across a multitude of state, local, and federal jurisdictions. Catalytic converters thieves, sometimes referred to as “cutters,” conduct searches in residential neighborhoods, parking lots, and other locations to steal the most high-value catalytic converters. Located in a vehicle’s undercarriage, the theft of a vehicle's catalytic converter results in damage that renders the vehicle inoperable – both mechanically and legally under EPA regulations – until properly replaced.
According to the charging documents, law enforcement throughout Massachusetts and New Hampshire identified a large number of catalytic converter thefts for which a Maroon Acura was identified as having been involved. These incidents involved at least two suspects wearing dark clothing, who would target residential and commercial vehicles. The suspects were skilled and able to locate and cut away the catalytic converter from a vehicle within a minute in most instances, using battery operated power-tools, specifically a fast-cutting reciprocating saw. Some vehicles needed to be jacked up in order to access the catalytic converters and the suspects would promptly place the jack under the vehicle, raise it, cut the catalytic converter, stow it in the rear of the Maroon Acura and move on.According to the charging documents, the investigation revealed that the Maroon Acura belonged to Rafael Davila, allegedly the theft crew leader who planned and participated in each of the thefts. It is further alleged that Rafael Davila engaged in catalytic converter thefts and burglaries on a full-time basis, committing these multiple nights per week for upwards of eight hours a night. Additionally, cell phone data allegedly revealed that Rafael Davila maintained meticulous notes accounting for the locations that he and his co-conspirators had targeted and the number of catalytic converters that had been stolen, including the makes and models, and when they were dropped off.
It is alleged that Rafael Davila would undertake the thefts with a group of individuals, including his brother Nicolas Davila, Fonseca, Feliberty and Marshall. As leader of the crew, Rafael Davila was allegedly responsible for the planning of and transportation to each targeted theft – utilizing his vehicle, determining price values for stolen converters and purchasing needed materials. Specifically, it is alleged that Rafael Davila regularly purchased large quantities of bi-metal saw blades designed to be used with a reciprocating power saw as well as cut resistant gloves which, according to surveillance footage, appear identical to those worn by the thieves
Surveillance footage, communications and location monitoring data obtained from the defendants’ cell phones and Davila’s vehicle identified that the defendants were allegedly involved in the theft of catalytic converters from at least 471 vehicles across Massachusetts and New Hampshire in 2022 and 2023 alone. It is believed that a significant number of additional thefts have not been identified or were not ever reported to law enforcement. It is alleged that, on numerous occasions, the defendants targeted more than 10 vehicles in a single night, with one night reporting thefts from 26 vehicles.
Once in possession of the stolen catalytic converters, the crew would then allegedly sell them to Torres. It is alleged that Torres who would accumulate stolen catalytic converters from multiple theft crews and then in turn sell them to scrap dealers in the Northeast. In particular, Torres sold stolen catalytic converters to scrap dealers who have since been charged federally for interstate transportation of stolen property and money laundering, including Alexander Kolitsas and Downpipe Depot charged in the District of Connecticut, as well as DG Auto, a New Jersey based company charged in the Eastern District of California and Northern District of Oklahoma. Torres transacted approximately $30,000 to $80,000 in stolen catalytic converters per week to these entities.
Through use of digital pricing applications, and communication with the core buyers, Torres allegedly provided prices to Davila and other theft crews based of the make and model of the vehicle and by the code on the catalytic converter. Knowing the prices of the most valuable converters, Davila and his crew would seek out those makes and models to target. Torres then negotiated with the core buyer and delivered the catalytic converters to their facility. Torres is known to have sold and transported thousands of stolen catalytic converters to scrap dealers in Connecticut, Rhode Island, New York and New Jersey areas.
The charge of conspiracy to transport stolen property in interstate commerce provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of interstate transportation of stolen property provides for a sentence of up to 10 years, up to three years of supervised release and a fine of up to $250,000. The charge of conspiracy to commit bank theft provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of bank theft provides for a sentence of up to 10 years, up to three years of supervised release and a fine of up to $250,000. The charge of conspiracy to commit money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $500,000 or twice the value of the proceeds, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; John E. Mawn, Interim Colonel of the Massachusetts State Police; and Kevin Gallagher, Director of Operations for the National Insurance Crime Bureau, Northeast Region made the announcement today. Valuable assistance was also provided by the United States Attorney’s Offices for the District of Connecticut, the Northern District of Oklahoma and the Eastern District of California; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms & Explosives; and the New England State Police Information Network (NESPIN). Assistant U.S. Attorney Philip A. Mallard of Levy’s Organized Crime & Gang Unit is prosecuting the case.
Over 70 local police departments in Massachusetts, New Hampshire and Connecticut contributed to this investigation through the submission of their investigations of catalytic converter thefts in their jurisdiction. The Massachusetts Police Departments contributing to the investigation were Abington, Acton, Andover, Auburn, Bedford, Bellingham, Beverly, Billerica, Burlington, Bridgewater, Canton, Carver, Chelmsford, Concord, Cranston, East Hampton, Easton, Fitchburg, Framingham, Franklin, Gardner, Hampton, Hanover, Haverhill, Hingham, Holliston, Holyoke, Hudson, Ipswich, Lawrence, Leominster, Lynn, Malden, Mansfield, Medford, Marlborough, Methuen, Middleton, Milford, Millbury, Needham, Newton, Northborough, Norwell, Norwood, Peabody, Pembroke, Plymouth, Randolph, Rockland, Sharon, Shrewsbury, Springfield, Sterling, Sturbridge, Sudbury, Tyngsborough, Walpole, Waltham, Watertown, West Bridgewater, Weymouth, Wilmington, Woburn and Worcester. The New Hampshire Police Departments contributing to the investigation were Bow, Concord, Derry, Hooksett, Hudson, Londonderry, Manchester, Salem and Windham. The South Windsor and Windsor Connecticut Police Departments also contributed to the investigation.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
South Carolina Return Preparer Pleads Guilty to Tax FraudRead the Press Release
A Columbia, South Carolina, return preparer and regional manager of multiple tax preparation business locations pleaded guilty today to conspiracy to defraud the United States by preparing and filing false tax returns.
According to court documents and statements made in court, Georgina Gonzalez, formerly of Miami, Florida, worked as a tax return preparer since at least 2013. For the 2016 and 2017 tax filing seasons, Gonzalez temporarily relocated from Florida to South Carolina to prepare tax returns and manage multiple locations of a tax preparation business located in Columbia, South Carolina. At these offices, Gonzalez conspired with others to inflate client refunds by preparing returns that falsely claimed, among other things, business losses, household help income, and American Opportunity and education tax credits. Gonzalez and her co-conspirators charged clients up to $999 for preparing each return. In total, Gonzalez caused a tax loss to the IRS of more than $420,000.
Gonzalez is scheduled to be sentenced at a later date and faces a maximum sentence of five years in prison, as well as a period of supervised release, restitution, and other monetary penalties. U.S. District Judge Mary Geiger Lewis will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Adair F. Boroughs for the District of South Carolina made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Ashley Stein, Francesca Bartolomey, and Jessica Kraft of the Justice Department’s Tax Division and Assistant U.S. Attorney Winston Holliday of the District of South Carolina are prosecuting the case.
Six Individuals Indicted and Arrested for Pandemic Unemployment Assistance (PUA) Fraud and the Misuse of Social Security NumbersRead the Press Release
SAN JUAN, P.R. – On May 17, 2023, a Federal Grand Jury in the District of Puerto Rico returned six separate indictments charging six individuals with engaging in fraud to obtainPandemic Unemployment Assistance (PUA) benefits totaling $350,616, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. Various federal agencies were involved in the investigations, including the United States Postal Inspection Service (USPIS), the Social Security Administration Office of the Inspector General (SSA OIG), and the Federal Bureau of Investigation (FBI), with the assistance of the United States Department of Labor Office of Inspector General (USDOL-OIG), the Puerto Rico Department of Labor and Human Resources, and the Puerto Rico Police Bureau.
According to the indictments, the defendants engaged in schemes to defraud the Puerto Rico Department of Labor and Human Resources (Departamento del Trabajo y Recursos Humanos, “DTRH”) by submitting fraudulent applications to obtain unemployment insurance benefits which contained PUA funds.
The defendants charged are: (1) Roberto J. Hernández Rivera, who fraudulently obtained $103,422; (2) Jeremy Sánchez Rivera, who fraudulently obtained $87,972; (3) Axel J. Pagán Rodríguez, who fraudulently obtained $86,772; (4) Ednier Torres-Burgos, who fraudulently obtained $34,956; (5) Eli Eteniel Correa Fernández, who fraudulently obtained $19,380; and (6) Nomar J. Mimbs Machiavelo, who fraudulently obtained $18,114.
“As our COVID-19 fraud prosecutions demonstrate, we continue to investigate these cases. Those who seek to make “easy” money by stealing federal funds from the government should take heed that there are consequences to your actions,” said U.S. Attorney Muldrow.
“Operation Chango emphasizes the importance of collaborative efforts between the U.S. Postal Inspection Service and our federal and state partners, reinforcing the U.S. Postal Inspection Service’s mission of protecting the public and preventing the criminal misuse of our mail system.” said Miami Division Postal Inspector in Charge Juan A. Vargas.
“This violation is not new. At this point, it is common knowledge that many thought they could take advantage of a global crisis and make additional income by breaking the law. This was never the case, it isn’t the case now and it will never be the case,” said Special Agent in Charge of the FBI San Juan Field Office, Joseph González. “No matter how long it takes, the FBI and our state and federal partners, will continue to investigate these cases to bring these criminals to Justice. So if you, or anyone you know has been a witness to this crime, you should report it by calling (787) 987-6500 or leaving a tip online by visiting tips.FBI.gov. To those who know they’ve broken the law, it’s best you reach out to us before we reach out to you.”
Under the provisions of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, persons who were business owners, self-employed workers, independent contractors, or gig workers qualified for federal benefits administered by the DTRH if they previously performed such work in Puerto Rico and were unemployed, partially unemployed, unable to work, or unavailable to work due to a COVID-19 related reason. To obtain these federal benefits, individuals could apply online through the DTRH’s web site—www.trabajo.pr.gov. Claimants answered various questions to establish their eligibility and were required to provide personal identifying information, which included their name, mailing address, gender, email, phone number, social security number, and date of birth. Moreover, claimants had to identify a qualifying occupational status and COVID-19 related reason for being out of work. In their application, claimants could also submit several documents as evidence of their income.
If the DTRH approved a claimant’s application, the DTRH would send a check to the claimant via the United States Postal Service for qualified benefits which could contain regular unemployment insurance benefits and federal funds in the form of PUA, Federal Pandemic Unemployment Compensation, and Pandemic Emergency Unemployment Compensation benefits.
The indictments charge the six individuals with theft of government money in PUA benefits, mail fraud and the misuse of Social Security numbers. The defendants engaged in deceptive conduct designed to fraudulently obtain multiple unemployment checks via mail from the DTRH by using false social security numbers.
Special Assistant U.S. Attorneys Vanessa D. Bonano Rodríguez and R. Vance Eaton are in charge of the prosecution of these cases. If convicted, the defendants are facing the following sentences: 20 years of imprisonment for mail fraud and 10 years of imprisonment for theft of government money; a fine of up to $250,000; and three years of supervised release.
To report a COVID-19-related fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form
The indictments contain only charges and are not evidence of guilt. The defendants are presumed to be innocent unless and until proven guilty.
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Shreveport Man Sentenced to Federal Prison for Illegal Possession of FirearmsRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that Fredarius D. Jackson, 25, of Shreveport, Louisiana, was sentenced today by United States District Judge Elizabeth E. Foote for being a convicted felon in possession of firearms. Jackson was sentenced to 60 months in prison, followed by 3 years of supervised release.
On May 29, 2021, Jackson was arrested outside of a residence on Dove Street in Shreveport by officers with the Shreveport Police Department. During his arrest, officers found Jackson to be in possession of a Taurus 9mm pistol, a TNW Firearms ASR rifle with a 50-round drum magazine and other ammunition. At the time of Jackson’s arrest, he was serving a period of state probation for a felony offense and knew he was prohibited from possessing any firearm or ammunition. Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) examined and tested the firearms and found them to be operational.
The case was investigated by the ATF and Shreveport Police Department and prosecuted by Assistant U.S. Attorney Michael T. Shannon.
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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Serial Bank Robber Sentenced to 10 Years in PrisonRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for the April 2020 robbery of a Santander Bank branch in Boston.
Dennis C. Taylor, 49, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to 10 years in prison and three years of supervised release. On March 11, 2022 Taylor pleaded guilty to one count of bank robbery.
On April 29, 2020, an individual – later determined to be Taylor – dressed in a dark hooded jacket, blue latex gloves and a facemask entered a Santander Bank branch on Massachusetts Avenue in Boston where he approached a teller and demanded money. The teller handed Taylor cash from her drawer, which he placed in a white plastic bag before exiting the bank. Included within the cash was a red dye pack. Surveillance cameras on Massachusetts Avenue captured video of Taylor exiting the area and running towards a local parking garage as the red dye pack exploded into a plume of red smoke. During a subsequent search of the parking garage, law enforcement recovered a white plastic bag containing red dye-stained money and a pair of blue latex gloves. The gloves were found to match Taylor’s DNA profile.Taylor was previously convicted of federal bank robbery in 2004 and again in 2010. In 2010, Taylor was sentenced to 10 years in prison and three years of supervised release for the December 2009 robberies of a Rockland Trust bank and a TD Bank in Yarmouth.
Acting United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Commissioner Michael Cox made the announcement today. Assistant U.S. Attorney Luke A. Goldworm of Levy’s Major Crimes Unit prosecuted the case.Seattle man who defrauded relief programs of more than $1 million sentenced to 8+ years in prisonRead the Press Release
Seattle – A former Seattle resident who defrauded federal COVID-19 benefit programs of more than $1 million was sentenced today to 100 months in prison for wire fraud and aggravated identity theft, announced U.S. Attorney Nick Brown. Bryan Alan Sparks, 42, was indicted for the fraud scheme in November 2021 and pleaded guilty January 20,2023. At the sentencing hearing, U.S. District Judge James L. Robart said, Sparks was “a serial thief and a fraudster – one of the more successful ones…. I am appalled by the damage Mr. Sparks has done.”
“People such as Mr. Sparks took advantage of the public and our government at the height of a crisis, and I’m glad to see him held accountable for the damage he caused,” said U.S. Attorney Nick Brown. “The harm goes beyond depleting government funds – his use of other people’s identities has damaged the victims and will continue to cause problems for them into the future.”
According to records filed in the case, from March 2020 until at least January 2021, Sparks and a coconspirator used stolen personal information of more than 50 Washington residents and businesses to apply for Economic Injury Disaster Loans (EIDL) from the Small Business Administration (SBA) and unemployment benefits from the Washington Employment Security Department (ESD). Sparks and his coconspirator obtained approximately $521,900 from SBA and $519,700 from ESD. Sparks opened fraudulent bank accounts to receive the benefits and had unemployment benefit debit cards mailed to a variety of addresses in the Seattle area where he could retrieve them. In all, Sparks attempted to obtain at least $1.98 million in federally funded payments.
Sparks used the identities of real people and, in some instances, actual small businesses to open bank and credit accounts. The victims suffered significant harm. One person saw his credit score drop 200 points because of the seven credit and bank accounts opened in his name. The victim’s impact statement stated that the financial toll of Sparks’ crimes included being unable to execute his plan to start a business and invest in real estate. He believes that these consequences will be lasting for “years to come.”
Another victim wrote about spending hours on the phone with law enforcement reporting the identity theft. “This fraud has changed me and will always cause me to have concern for my safety and for my family’s safety . . . This is something that I would never want anyone else to have to deal with. It is not a good feeling, and this is how it will be.”
In September 2020, law enforcement linked Sparks to lock boxes seized in Portland, Oregon. When the safes were searched, officers seized more than $65,000 in cash and a number of debit cards.
Assistant United States Attorney Cindy Chang wrote in her sentencing memo, “During a nine-month period, despite multiple encounters and seizures by law enforcement in multiple states, Sparks possessed at least 46 cell phones, 14 laptops, multiple credit card skimmers, countless bank and identification cards in identities other than Sparks…, and various other sophisticated devices used for identity theft.”
In all, Sparks was ordered to pay $1,041,661 in restitution to the government programs. He will be on supervised release for five years following the prison term.
“Bryan Sparks caused substantial harm to individuals by stealing their identities and misusing Social Security numbers,” said Gail Ennis, Inspector General for the Social Security Administration. “This sentence of 100 months holds Sparks accountable for his actions. I thank our law enforcement partners for their invaluable work on this case and the U.S. Attorney’s Office for prosecuting this case.”
The investigation of this case is led by the Social Security Administration, Office of the Inspector General (SSA-OIG) and U.S. Postal Inspection Service, with partners: Colusa County Sheriff’s Office (CA); Washington State Employment Security Department; Small Business Administration, Office of the Inspector General; Amtrak Police Department (D.C.); FBI (Sacramento, CA office); FBI Cyber Task Force (D.C.); Washington State Department of Licensing, Driver and Vehicle Investigations; and the Department of Labor, Office of the Inspector General.
The case is being prosecuted by Assistant United States Attorneys Cindy Chang and Seth Wilkinson.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Schenectady Felon Sentenced for Firearms PossessionRead the Press Release
ALBANY, NEW YORK – Larry Peterkin, age 46, of Schenectady, New York, was sentenced yesterday to 46 months in prison for the unlawful possession of a firearm. United States Attorney Carla B. Freedman and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Peterkin admitted that on November 14, 2021, he possessed a 9mm Springfield Armory pistol and a .25 caliber Raven Arms MP25 pistol with a partially obliterated serial number, while driving in Rotterdam, New York. At the time, Peterkin had several prior felony convictions, including for second-degree manslaughter; third-degree criminal possession of a weapon; and assault and battery of a high and aggravated nature. Under federal law, those convictions prevented Peterkin from lawfully possessing the firearms.
Chief United States District Judge Brenda K. Sannes also ordered Peterkin to serve a 3-year term of supervised release when he is released from prison.
ATF and the Rotterdam Police Department investigated this case, and Assistant U.S. Attorney Dustin Segovia prosecuted this case.
San Pedro Woman Sentenced to Prison for Orchestrating Scheme that Defrauded Union’s Health Plan by Providing Sexual ServicesRead the Press Release
LOS ANGELES – A San Pedro woman was sentenced today to more than two years in prison for her role in a $2.1 health care fraud scheme that submitted bills to a labor union’s health insurance plan for physical therapy, when in fact the patients received sexual services that she arranged.
Sara Victoria, 46, was sentenced by United States District Judge Stanley Blumenfeld Jr. to 27 months in federal prison and ordered to pay $551,810 in restitution.
At the sentencing hearing, Judge Blumenfeld described Victoria as the “mastermind” of a “sophisticated” and “unique” fraudulent scheme.
Victoria pleaded guilty in December to federal charges of conspiracy and aggravated identity theft. According to her plea agreement, from January 2017 to April 2021, Victoria owned and operated businesses in San Pedro and Wilmington that offered patients chiropractic services and acupuncture treatments, in addition to sexual services.
Victoria knew that dock workers and others involved in the shipping industry in Long Beach had health insurance under the International Longshore and Warehouse Union – Pacific Maritime Association (ILWU-PMA) benefit plan. This plan generally covered all chiropractic services with no deductible and without requiring plan members to contribute any copay amount or out-of-pocket services.
Victoria hired women to provide sexual services to dock workers at her companies and recruited them through referrals and from strip clubs in the Long Beach area. In exchange for obtaining sexual services for themselves and their friends, ILWU-PMA plan members authorized Victoria to submit false claims for reimbursement for services such as chiropractic treatments and physical therapy – services not actually rendered – using their names or the names of their family members. Victoria also agreed to pay ILWU-PMA plan members cash kickbacks in exchange for authorization to submit false claims for reimbursement for services not actually rendered.
Victoria also admitted to using someone else’s identity without the person’s consent during the commission of the health care fraud scheme.
In total, Victoria submitted approximately $2,110,920 in claims to the ILWU-PMA plan, and the plan paid approximately $551,810.
The FBI and the United States Department of Labor – Employee Benefits Security Administration investigated this matter.
Assistant United States Attorney Jason C. Pang of the Major Frauds Section prosecuted this case.
San Antonio Veterinarian to Pay $85,000 in Civil Penalties for Alleged Violations of the Controlled Substances ActRead the Press Release
SAN ANTONIO – Tracy S. Tommack, DVM, a veterinarian located in San Antonio, has agreed to pay $85,000 to settle a lawsuit filed by the United States in October 2022.
The United States’ complaint alleges that Tommack failed to comply with the prescription-writing and recordkeeping requirements of the Controlled Substances Act (CSA). These requirements are intended to prevent the diversion of controlled substances for illegal purposes.
During a November 2020 inspection of Tommack’s clinic, Traveling Tails Veterinary Clinic, Drug Enforcement Administration diversion investigators identified at least 30 controlled substance prescriptions Tommack issued to fictitious patients between November 2017 and May 2019. Tommack issued the fabricated controlled substance prescriptions for the purpose of obtaining a stock supply of controlled substances for general dispensing to her patients, a practice explicitly prohibited by the CSA and its corresponding regulations. DEA investigators also uncovered numerous recordkeeping violations, including significant discrepancies in Tommack’s inventory of controlled substances and failure to provide written notification to the DEA regarding an incident in which Tommack’s practice experienced a significant loss of controlled substances.
“Compliance with the CSA’s prescription-writing and recordkeeping requirements is essential in ensuring that opioids and other addictive drugs are not diverted and abused,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “With the help of our partners, my office will continue to prioritize enforcement of this vital statute using all available tools at our disposal.”
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Western District of Texas and the Drug Enforcement Administration’s Diversion Control Unit.
Assistant U.S. Attorney Samuel M. Shapiro filed the lawsuit and negotiated the settlement on behalf of the government.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
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Rome Man Pleads Guilty to Possessing with the Intent to Distribute FentanylRead the Press Release
SYRACUSE, NEW YORK –Harry Rodriguez, Jr., age 43, of Rome, New York, pled guilty today to possessing with intent to distribute fentanyl, announced United States Attorney Carla Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division and Thomas Fattorusso, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation (IRS-CI), New York Field Office.
In pleading guilty, Rodriguez, Jr. admitted that on July 21, 2021, he purchased approximately 36 grams of fentanyl for redistribution. He also admitted that on September 14, 2021, he purchased approximately 50 grams of fentanyl for redistribution.
Sentencing is scheduled for October 11, 2023, before United States District Judge David N. Hurd. Rodriguez faces a maximum term of imprisonment of 20 years, a fine of up to $1 million, and a term of supervised release of at least 3 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case is being investigated by the U.S. Drug Enforcement Administration (DEA), the Internal Revenue Service-Criminal Investigations (IRS-CI), the New York State Police, the Oneida County Sheriff’s Office, the Oneida County District Attorney’s Office, the Utica Police Department, the Syracuse Police Department, the Rome Police Department, U.S. Homeland Security Investigations (HSI), United States Immigration and Customs Enforcement and Removal Operations (ICE-ERO), the Onondaga County Sheriff’s Office, the Onondaga County District Attorney’s Office, the New York Army National Guard Counter Drug Program, the Yorkville Police Department, the Whitesboro Police Department, and is being prosecuted by Assistant U.S. Attorney Tamara Thomson.
Rhode Island Man Sentenced on Felony Charge for Actions During Jan. 6 Capitol BreachRead the Press Release
Press release issued by the United States Attorney's Office for the District of Columbia
WASHINGTON - A Rhode Island man was sentenced today on a felony charge for his actions during the breach of the U.S. Capitol on Jan. 6, 2021. His actions and the actions of others disrupted a joint session of the U.S. Congress convened to ascertain and count the electoral votes related to the 2020 presidential election.
Bernard Joseph Sirr, 47, of North Kingstown, Rhode Island, was sentenced to two months in prison, followed by 12 months of probation with six months of home confinement, and restitution of $2,000 for assaulting resisting, or impeding law enforcement officers and obstruction of an official proceeding. He pleaded guilty on January 27, 2023 in the District of Columbia.
According to court documents, on Jan. 6, Sirr was among rioters who illegally entered the Capitol grounds. He joined a line of rioters that was engaged in a confrontation with law enforcement officers in the tunnel area of the Lower West Terrace. At approximately 3:08 p.m., Sirr entering the tunnel area of the Lower West Terrace and joined rioters in assaulting officers at the front of the police line that law enforcement was using to push against the rioters who were assaulting them. Video showed Sirr pushing against the police line with his hand pressed against a police shield and participating in a struggle with a group of rioters as they moved together as a team against law enforcement. At 3:14 p.m., Sirr exited the tunnel and reappeared an hour later, at the Lower West Terrace doorway, joining with other rioters who were pushing against police officers before being ejected from the tunnel area.
Sirr was arrested on June 29, 2022 in North Kingstown, RI.
The U.S. Attorney’s Office for the District of Columbia and the Department of Justice National Security Division’s Counterterrorism Section prosecuted the case with valuable assistance provided by the U.S. Attorney’s Office for the District of Rhode Island.
The case was investigated by the FBI’s Boston Division and its Providence Resident Agency. Valuable assistance was provided by the FBI’s Washington Field Office, the Rhode Island State Police and North Kingstown Police Department along with the U.S. Capitol Police, and the Metropolitan Police Department.
In the 28 months since Jan. 6, 2021, more than 1,000 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 320 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing.
Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.
Representative Fred Plump Charged with Conspiracy and Obstruction of Justice Charges and Agrees to Resign from the Alabama House of RepresentativesRead the Press Release
BIRMINGHAM, Ala. – Representative Fred L Plump, Jr. has been charged with conspiracy and obstruction of justice and has agreed to resign from the Alabama House of Representatives, announced U.S. Attorney Prim F. Escalona, Federal Bureau of Investigation Special Agent in Charge Carlton L. Peeples, and Internal Revenue Service, Criminal Investigation Special Agent in Charge James Dorsey.
A charging document filed today in United States District Court charges Fred L. Plump, Jr., 76, of Fairfield, with one count of conspiracy to commit wire fraud and one count of obstruction of justice. These charges arise from an investigation of wrongdoing in connection with the Jefferson County Community Service Fund.
According to the charging document, in 2015 the Alabama Legislature passed Alabama Act No. 2015-226 (the “Act”) and authorized the Jefferson County Commission to levy and distribute a one percent sales tax and a one percent use tax to benefit the public welfare and enhance the education of the children of Jefferson County. Jefferson County began levying the new taxes in or about August 2017. The Act required the County to distribute the tax revenue according to certain specified priorities, including paying debt incurred during school construction, increasing the County’s general fund, giving funds to each board of education serving students in the County, and for certain other purposes set forth in the Act.
The Act created the Jefferson County Community Service Fund (the “Fund”), which was subsidized by approximately $3.6 million annually from the new taxes. The Act also created the Jefferson County Community Service Committee (the “Committee”), the four members of which were elected by members of the Jefferson County House and Senate delegations. The Committee was responsible for ensuring that the Fund was used only for the purposes set forth in the Act, which included to support public entities and projects such as schools, libraries, museums, parks, zoos, neighborhood associations, athletic facilities, youth sports associations, road construction, the performing arts, police departments, the sheriff’s office, fire departments, and certain nonprofit entities. Each Representative and Senator representing Jefferson County could make recommendations to the Committee of expenditures from their allotted amount of the Fund. These recommendations were made on a form created by the Committee that required certain certifications by the legislator. The organization receiving the funds was required to submit information about the organization and confirm that it intended to use the money for a public purpose. During each fiscal year from 2018 to 2022, each Representative was allocated approximately $100,000 and each Senator was allocated approximately $240,000 from the Fund.
The charging instrument identifies certain relevant parties. Legislator #1 was a long-serving member of the Alabama House of Representatives. Defendant Plump served as the Executive Director of the Piper Davis Youth Baseball League (“Piper Davis”), a nonprofit organization that claimed to provide a positive sporting experience for inner-city youth in Jefferson County. Individual #1 was Legislator #1’s assistant.
Between fiscal year 2018 and fiscal year 2022, Legislator #1 was allocated approximately $500,000 by the Fund. Legislator #1 directed approximately $400,000 of those discretionary funds to Piper Davis. In turn, Plump gave approximately $200,000 to Individual #1.
The charging instrument alleges that from in or about March 2019, and continuing through April 2023, Plump conspired with others to defraud and obtain money from the Fund. It is alleged that it was part of the conspiracy that Legislator #1 recommended during each fiscal year that most of his allotment of Fund money be paid to Piper Davis. In turn, Plump agreed to pay kickbacks to Individual #1. Plump submitted false and fraudulent information to the Committee about Piper Davis’s intended use of Fund money. Upon receipt and deposit of Fund checks, Plump gave checks to Individual #1 for approximately one-half of the amount of Fund money received by Piper Davis.
The charging document alleges further that Plump, after being interviewed by agents and served with a grand jury subpoena, corruptly attempted to obstruct the investigation by sending Individual #1 a text stating “Red Alert” and meeting with Individual #1 to warn her about the investigation.
According to the plea agreement, also filed today, Plump agreed to plead guilty to the charges, pay restitution of at least $200,000 to the Fund, and resign from office immediately upon entering his guilty plea. The Court will set a date for Plump to enter his guilty plea.
Each charge carries a maximum penalty of twenty years in prison and a $250,000 fine.
The Federal Bureau of Investigation and Internal Revenue Service Criminal Investigation investigated the case. Assistant United States Attorneys George Martin and Catherine Crosby are prosecuting the case.
An information contains only charges. A defendant is presumed innocent unless and until proven guilty.
Prisoner Caught Hiding Homemade Knives Pleads GuiltyRead the Press Release
ATHENS, Ga. – An Athens resident with a lengthy and violent criminal history entered guilty pleas in two separate cases recently, admitting he hid homemade knives while in prison on a federal firearms charge.
Michael Anthony Randall, 32, of Athens, pleaded guilty to one count of possession of a firearm by a convicted felon in Case No. 3:22-cr-00023 and one count of possession of contraband while in jail in Case No. 3:22-cr-28 on May 16. Randall faces a maximum sentence of ten years in prison and a $250,000 fine for illegally possessing a firearm and five years in prison and a $250,000 for possessing contraband. Randall was on supervised release at the time of the offense for possession of a firearm by a convicted felon in Case No. 3:18-cr30. Sentencing is scheduled for July 9. There is no parole in the federal system.
“In fairly quick succession—including shortly before a federal hearing for his second offense for illegally possessing a firearm—Michael Randall was caught with a weapon, putting himself and others in danger,” said U.S. Attorney Peter D. Leary. “This case illustrates the unceasing effort put forth by law enforcement to keep inmates and the community as a safe as possible from repeat and dangerous offenders.”
“Michael Randall is the definition of a repeat offender,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI will continue to work with our law enforcement partners to keep dangerous criminals like Randall off Georgia streets.”
“These incidents illustrate the importance of our professional partnerships. The Butts County staff did an excellent job in supervising this inmate and identifying his illegal acts. USMS investigators presented a case to the U.S. Attorney which yielded a successful prosecution. We work hard to ensure the safety of those that we are charged with safeguarding,” said U.S. Marshal Stephen D. Lynn.
“We have a duty to ensure the inmates’ rights are protected and they are in a safe environment,” said Butts County Sheriff Gary Long. “We are thankful for our strong working relationship with the U.S. Attorney’s Office and the U.S. Marshals Service to help us hold accountable those inmates who put the safety of others at risk.”
According to court documents, Randall was indicted for possession of a firearm by a convicted felon on Oct. 11, 2022, in the Middle District of Georgia, after he was arrested for illegally possessing a .380 pistol in Athens, on Jan. 12, 2021. Randall has multiple prior state felony convictions in North Carolina and Georgia, including assault with serious bodily injury and drug convictions. Randall was also previously convicted in the Middle District of Georgia for possession of a firearm by a convicted felon. It is illegal for a convicted felon to possess a firearm.
On Nov. 8, 2022, while in custody awaiting his initial appearance in federal court, Butts County Jail officers found a shank—a handmade knife—hidden on Randall’s person. Officers found another shank on Randall on Nov. 10, prior to his federal court appearance. On Dec. 16, Randall was found with another shank inside the Butts County Jail.
The case was investigated by FBI, the U.S. Marshals Service and the Butts County Sheriff’s Department.
Assistant U.S. Attorney Tamara Jarrett is prosecuting the case for the Government.
Poplar woman admits to trafficking meth; customer died after taking the drugRead the Press Release
GREAT FALLS — A Poplar woman today admitted to a methamphetamine trafficking crime after a customer died shortly after taking the drug, U.S. Attorney Jesse Laslovich said.
Danyell Rose Black Dog, 22, pleaded guilty to possession with intent to distribute meth. Black Dog faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for Oct. 18. Black Dog was detained pending further proceedings.
The government alleged in court documents that on Aug. 27, 2021, Fort Peck Tribes law enforcement officers responded to a 911 medical call regarding a woman identified as Jane Doe. Doe was unresponsive and officers began CPR. Family members told officers at the scene that Doe had used meth prior to the 911 call. Emergency medical responders arrived and transported Doe to the hospital, where she was pronounced dead.
The government further alleged the investigation determined that Doe would buy $5 or $10 worth of meth from Black Dog on a regular basis, and that Black Dog had sold to Doe two to three times a week. Black Dog sent text information to another individual in which she said she was on her way to sell Doe meth approximately 30 minutes before the incident and how she sold and delivered it to Doe. An autopsy of Doe conducted by the Montana state medical examiner listed the cause of death as methamphetamine toxicity.
The U.S. Attorney’s Office is prosecuting the case. The FBI and Fort Peck Tribes Department of Law and Justice conducted the investigation.
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Passaic County Man Charged with Transportation and Possession of Child PornographyRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man was arrested for transporting and possessing videos and images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced today.
Edward M. O’Hagan, 49, of Hawthorne, New Jersey, is charged by complaint with one count of transportation of child pornography and one count of possession of child pornography. He appeared this May 22, 2023, before U.S. Magistrate Judge José R. Almonte in Newark federal court and was detained.
According to documents filed in this case and statements made in court:
On Jan. 19, 2023, O’Hagan used one of his email accounts to send video files containing images of child sexual abuse to himself. He also used two email addresses to create accounts on an encrypted file storage platform that was used to upload or create files containing images of child sexual abuse. The email accounts he used to access the platform were associated with an IP address that traced to O’Hagan’s address.
The count of transportation of child pornography carries a mandatory minimum penalty of five years in prison, a maximum penalty of 20 years in prison, and a fine of $250,000. The count of possession of child pornography carries a maximum penalty of 10 years in prison and a fine of $250,000.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to the arrest. He also thanked the Hawthorne Police Department, under the direction of Chief James Knepper, and the Passaic County Sheriff’s Office, under the direction of Sheriff Richard H. Berdnik.
The government is represented by Assistant U.S. Attorney Farhana C. Melo of the Criminal Division in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
ohagan.complaint.pdfOwners of Freight Forwarding Company Sentenced to Prison for Exporting Stolen Outboard Engines to MexicoRead the Press Release
MIAMI – Today, two Miami residents, Carlos Orlando Ledesma, 57, and Nadia Esperanza Ledesma, 46, were sentenced to federal prison for conspiring to export nearly 600 stolen outboard engines to Mexico through a Miami-based freight forwarding company. Carlos Ledesma was sentenced to 36 months in prison and Nadia Ledesma was sentenced to 18 months in prison.
On May 19, co-defendants Roberto Marrero-Cisneros, 66, from Miami, and Osmani Valdivia Perez, 56, from Lehigh Acres, were each sentenced to 60 months incarceration for their roles in the conspiracy.
The sentencing hearings were held before U.S. District Judge Robert N. Scola, Jr. Judge Scola also ordered the defendants to forfeit the proceeds they each received from the scheme, and to pay $420,668.47 in restitution to the identifiable victims.
Nadia Ledesma is the President of Netcycle Trading Corp., a freight forwarding company in Miami, and Carlos Ledesma is the warehouse manager. From 2015 to 2018, Carlos and Nadia Ledesma received almost 600 stolen outboard engines for export to Mexico. The replacement cost of the stolen engines was over $11 million.
Dozens of individuals delivered the stolen engines to Netcycle. The engines had visible damage from the thefts, and cables and lines had been cut rather than properly detached. The individuals delivered the stolen engines in non-commercial vehicles without bills of sale or any other documentation for the engines.
Marrero-Cisneros created false serial number stickers to place on most of the stolen outboard engines. Nadia and Carlos Ledesma, and their co-conspirators, created false bills of sale and submitted false export information to the United States.
Many of the stolen engines were directed to Tomas Vale Valdivia, a co-conspirator who was then in Mexico. Later, on January 28, 2020, Vale Valdivia was sentenced to 57 months for alien smuggling, in a separate case before U.S. District Judge Kathleen M. Williams.
Vale Valdivia is the nephew of defendant Osmani Valdivia Perez. Valdivia Perez made many cash payments to co-conspirators in this case, on behalf of Vale Valdivia. The cash payments included payments to Netcycle for the fees for exporting the stolen outboard engines, payments to Marrero-Cisneros for the false serial numbers, and payments to the individuals who stole the outboard engines.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Anthony Salisbury, Homeland Security Investigations (HSI), Miami, and Special Agent in Charge Zinnia P. James, U.S. Coast Guard Investigative Service (CGIS), Southeast Region, announced the sentences.
HSI Miami and CGIS investigated the case, with assistance from the U.S. Customs and Border Protection (CBP), and the Florida Department of Law Enforcement (FDLE). Assistant U.S. Attorney Ana Maria Martinez is prosecuting the case. Assistant U.S. Attorney Daren Grove is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20269.
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Operator of Sober Homes and Associate Arrested for Fraud Schemes Involving Sober Home Client, Mass Save Program and COVID-19 Business LoansRead the Press Release
BOSTON – An operator of numerous sober homes in Massachusetts, who also operated insulation companies receiving funds through the Mass Save Program, was indicted along with a sober home manager, for their alleged involvement in numerous fraud schemes involving sober homes in the Greater Boston area, the Mass Save Program and a federal loan program to assist businesses during the COVID-19 Pandemic.
Daniel Cleggett, 37, of Kingston and Nicholas Espinosa, 37, of Randolph, were charged in a 37-count indictment with two counts of wire fraud conspiracy; one count of conspiracy to make false statements to a mortgage lending business (mortgage fraud conspiracy); 21 counts of wire fraud; six counts of unlawful monetary transactions (money laundering); and one count of making false statements to a mortgage lending business. In addition, Cleggett was separately charged with four counts of wire fraud and two counts of making false statements to a mortgage lending business. The defendants were arrested this morning and released following an initial appearance in federal court in Boston today before U.S. District Court Magistrate Judge Paul G. Levenson.
According to the charging documents, Cleggett was the founder of the sober home business A Vision From God LLC (AVFG). Established in November 2016, AVFG owns and operates sober homes in Boston, Wakefield, Quincy and Weymouth under trade names including Brady’s Place, Lakeshore Retreat and Lambert House. Espinosa managed the day-to-day affairs of Cleggett’s sober home business.
It is alleged that Cleggett, Espinosa and a sober home client entered into a conspiracy to defraud a New York-based family trust that was paying for the client’s room and board at Brady’s Place, located in Quincy. Specifically, Cleggett and Espinosa allegedly overcharged the family trust for room and board by up to $12,500 per month by submitting false and fraudulent invoices to the family trust. Cleggett and Espinosa would allegedly then issue “refund” checks to the client in furtherance of the fraud scheme.
According to the charging documents, from approximately October 2019 to December 2021, Cleggett personally, and through straw purchasers including Espinosa, purchased the three residential properties in Weymouth and Boston to use as sober homes. It is alleged that Cleggett, Espinosa and others submitted false information and fraudulent documentation including falsely representing that the three properties were intended to be purchased as primary residences when, in reality, each was intended to be a sober homes.
In addition to the sober home business, Cleggett operated numerous insulation contracting companies that participated in the Mass Save Program: Green Save Energy Corporation; Environmental Construction Objective Inc. (ECO); Green Giants, LLC; and Insulation Situation, LLC. Mass Save is a Massachusetts public/private partnership sponsored by gas and electric utility companies that funds energy conservation projects and improvements via energy efficiency funds charged to Massachusetts residents’ utility bills. Specifically, Green Save and ECO received millions of dollars for residential insulation work from a lead vendor company under the Mass Save program. It is alleged that, from 2018 through mid-2021, Green Save and ECO fraudulently billed the vendor company for required permits that were not actually obtained. Green Save and ECO were ultimately terminated from participating in the company’s program in June 2021, and Cleggett was banned from participating in the Mass Save program. In response to this, Cleggett, Espinosa and other co-conspirators allegedly formed Insulation Situation and Green Giants to enter as new lead vendors with the same company under straw owners. As a result, Cleggett allegedly obtained a total of $954,443 in payments from the company to Green Giants and Insulation Situation, despite him being banned from participating in the Mass Save program.
Additionally, it is alleged that on April 1, 2020, Cleggett submitted three Economic Injury Disaster Loan (EIDL) applications to the Small Business Administration for AVFG, the Daniel Cleggett Sole Proprietorship and Green Save. Cleggett obtained a total of $794,900 in EIDL loans and advances. In the applications, it is alleged that Cleggett falsely denied involvement in illegal activity despite his alleged involvement in the sober home wire fraud scheme and the mortgage fraud scheme involving one of his Weymouth sober homes. It is also alleged that Cleggett’s Sole Proprietorship EIDL application was false because the Daniel Cleggett Sole Proprietorship did not exist. Despite certifying that EIDL proceeds would only be used for “working capital” for the entity seeking the loan, Cleggett allegedly used tens of thousands of dollars from the funds to pay for personal expenses including EZ-Pass bills, gym membership fees, pet expenses, airline tickets, car rentals, vacation trips to Yellowstone, Montana and Aruba, and thousands of dollars in hotel resort stays for Cleggett and his girlfriend – which included spa fees as well as a wine and caviar dinner, among other expenses. Cleggett also allegedly used Green Save EIDL funds for $37,997 in wedding expenses.
The charges of wire fraud and wire fraud conspiracy provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. The charge of making false statements to a mortgage lending business provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $1 million. The charge of unlawful monetary transactions provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Joleen D. Simpson, Special Agent in Charge of Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Valuable assistance was provided by the Kingston, Randolph and Quincy Police Departments. Assistant U.S. Attorneys and John T. Mulcahy of Levy’s Criminal Division and Dustin Chao, Chief of Levy’s Public Corruption Unit, are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Operation Smoke and Mirrors Update: Virginia Man Pleads Guilty to Role in Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – Todd Tyler Snead, 57, of Waynesboro, Virginia, pleaded guilty today to conspiracy to distribute 500 grams or more of methamphetamine, admitting to a role in a drug trafficking organization (DTO) that operated in the Charleston area.
According to court documents and statements made in court, Snead admitted to traveling to St. Albans on March 14, 2023 to obtain approximately 4 pounds of methamphetamine from a co-defendant. Law enforcement officers followed Snead back to a hotel in Cross Lanes, where they searched the trunk of his vehicle, found the methamphetamine and arrested him. Snead had obtained pound-level quantities of methamphetamine from the co-defendant for several months leading up to his arrest.
Snead is scheduled to be sentenced on September 6, 2023, and faces a mandatory minimum of 10 years in prison, five years and up to a lifetime of supervised release, and a $10 million fine.
Snead is among 30 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement seized well over 200 pounds of methamphetamine as well as 28 pounds of cocaine, 20 pounds of fentanyl, 18 firearms and $747,000 in cash.
Seven other co-defendants have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
Chief United States District Judge Thomas E. Johnston presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-31.
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Niles Physician Sentenced to 6 Years in Prison for Illegally Prescribing Controlled Substances and Healthcare FraudRead the Press Release
CLEVELAND – Jeffrey Sutton, 65, of Niles, Ohio, was sentenced today to 72 months in prison by U.S. District Judge Christopher A. Boyko, after he pleaded guilty to illegally prescribing patients opioids and other controlled substances, illegally distributing controlled substances and healthcare fraud. Sutton was also sentenced to 3 years of supervised release, a $5,200 special assessment, a $20,000 fine, and restitution of $148,870.79.
According to court documents, from January 2015 through January 2022, Sutton knowingly prescribed medically unnecessary controlled substances to patients outside of the usual course of professional practice and without legitimate medical purpose. In doing so, Sutton fraudulently billed health care benefit programs for office visits and the controlled substances illegally dispensed.
Sutton also admitted to engaging in sexual acts with patients to whom he directly prescribed controlled substances, including during office visits. He also admitted to delivering dozens of oxycodone pills to the home of one of his patients with whom he was engaged in a relationship, outside the course of treatment and without a valid prescription.
The investigation was conducted by the Cleveland offices of the Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI), and the Department of Health and Human Services - Office of the Inspector General (HHS-OIG), and by the State of Ohio Board of Pharmacy. This case was prosecuted by Assistant U.S. Attorney Elliot Morrison.
New Jersey Man Sentenced to 12 Years in Prison for Receiving Military-Type Training from Hezbollah, Marriage Fraud and Making False StatementsRead the Press Release
The Justice Department today announced that Alexei Saab, aka Ali Hassan Saab, aka Alex Saab, aka Rachid, 46, was sentenced to 12 years in prison followed by three years of supervised release for receiving military-type training from Hezbollah, marriage fraud, and making false statements.
According to court documents, Saab was convicted by a jury in May 2022 after a two-week trial. The sentence was imposed by the Honorable Paul G. Gardephe, who also presided over the trial.
According to court documents and evidence presented at trial, Hezbollah is a Lebanon-based Shia Islamic organization with political, social and terrorist components. Hezbollah was founded in the 1980s with support from Iran after the 1982 Israeli invasion of Lebanon, and its mission includes establishing a fundamentalist Islamic state in Lebanon. Since Hezbollah’s formation, the organization has been responsible for numerous terrorist attacks that have killed hundreds, including U.S. citizens and military personnel. In 1997, the U.S. Department of State designated Hezbollah a Foreign Terrorist Organization, pursuant to Section 219 of the Immigration and Nationality Act, and it remains so designated today. In 2001, pursuant to Executive Order 13224, the U.S. Department of Treasury designated Hezbollah a Specially Designated Global Terrorist entity. In 2010, State Department officials described Hezbollah as the most technically capable terrorist group in the world and a continued security threat to the United States.
The Islamic Jihad Organization (IJO), which is also known as the External Security Organization and “910,” is a component of Hezbollah responsible for the planning and coordination of intelligence, counterintelligence, and terrorist activities on behalf of Hezbollah outside of Lebanon. In July 2012, an IJO operative detonated explosives on a bus transporting Israeli tourists in the vicinity of an airport in Burgas, Bulgaria. The detonation killed six people and injured 32 others. Law enforcement authorities have disrupted several other IJO attack-planning operations around the world, including the arrest of an IJO operative surveilling Israeli targets in Cyprus in 2012, the seizure of bomb-making precursor chemicals in Thailand in 2012, and a seizure of similar chemicals in May 2015 in connection with the arrest of another IJO operative. In June 2017, two IJO operatives were arrested in the U.S and charged with terrorism-related offenses in the Southern District of New York. In May 2019, a jury convicted one of those two IJO operatives on all counts, and in December 2019, he was sentenced principally to 40 years in prison.
Saab joined Hezbollah in 1996. Saab’s first Hezbollah operations occurred in Lebanon, where he was tasked with observing and reporting on the movements of Israeli and Southern Lebanese Army soldiers in Yaroun, Lebanon. Among other things, Saab reported on patrol schedules and formations, procedures at security checkpoints, and the vehicles used by soldiers. Saab also, alongside his brother, planted an improvised explosive device that detonated and hit Israeli soldiers, seriously injuring at least one.
In approximately 1999, Saab attended his first Hezbollah training. The training was focused on the use of firearms, and Saab handled and fired an AK-47, an M16 rifle, and a pistol, and threw grenades. In 2000, Saab transitioned to membership in Hezbollah’s unit responsible for external operations, the IJO, and he then received extensive training in IJO tradecraft, weapons, and military tactics, including how to construct and detonate bombs and other explosive devices and how to best use these devices in attacks. Specifically, Saab received detailed instruction in, among other things, triggering mechanisms, explosive substances, detonators, and the assembly of circuits. In pre-arrest interviews with the FBI, Saab was able to diagram multiple improvised explosive devices that would have been viable if constructed as diagrammed.
In 2000, Saab entered the United States. While living in the United States, Saab remained an IJO operative, continued to receive military training in Lebanon, and conducted numerous operations for the IJO. For example, Saab surveilled dozens of locations in New York City — including the United Nations headquarters, the Statue of Liberty, Rockefeller Center, Times Square, the Empire State Building, and local airports, tunnels, and bridges — and provided detailed information on these locations, including photographs, to the IJO. In particular, Saab focused on the structural weaknesses of locations he surveilled in order to determine how a future attack could cause the most destruction. Saab’s reporting to the IJO included the materials used to construct a particular target, how close in proximity one could get to a target, and site weaknesses or “soft spots” that the IJO could exploit if it attacked a target in the future. Saab conducted similar intelligence gathering in a variety of large American cities, including Boston and Washington, D.C., Saab admitted that his surveillance was designed to best position the IJO to attack the U.S. in the future. Saab also was tasked by Hezbollah with opening a front company that he could use to obtain fertilizer in the United States for use as an explosives precursor.
In addition to his attack-planning activities in the United States, Saab conducted operations abroad. For example, in or about 2003, Saab attempted to murder a man he later understood to be a suspected Israeli spy. Saab pointed a firearm at the individual at close range and pulled the trigger twice, but the firearm did not fire. Saab also conducted surveillance in Istanbul, Turkey, and elsewhere.
Finally, in or about 2012, Saab entered into a fraudulent marriage in exchange for $20,000. The purpose of the marriage was for Saab’s purported wife to apply for her citizenship. Saab later falsely affirmed, under penalty of perjury, and in connection with his purported wife’s efforts to obtain status in the U.S., that the marriage was not for any immigration-related purposes.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Damian Williams for the Southern District of New York, and Assistant Director Robert R. Wells of the FBI Counterterrorism Division made the announcement.
The FBI and its New York Joint Terrorism Task Force, which principally consists of agents from the FBI and detectives from the New York City Police Department, investigated the case.
Assistant U.S. Attorneys Sam Adelsberg and Jason A. Richman for the Southern District of New York are prosecuting the case, with assistance from Trial Attorneys Jessica Fender and Alexandra Hughes of the National Security Division’s Counterterrorism Section.
New Jersey Man Sentenced to 12 Years for Receiving Military-Type Training from Hizballah, Marriage Fraud, and Making False StatementsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ALEXEI SAAB, a/k/a “Ali Hassan Saab,” a/k/a “Alex Saab,” a/k/a “Rachid,” was sentenced today to 12 years in prison for receiving military-type training from Hizballah, marriage fraud, and making false statements. A jury convicted SAAB of those offenses in May 2022 after a two-week trial. The sentence was imposed by the Honorable Paul G. Gardephe, who also presided over the trial.
U.S. Attorney Damian Williams said: “Alexei Saab’s actions as a Hizballah operative, both domestically and internationally, were deeply disturbing. Saab trained extensively on military tactics and weapons use, he specialized in how to construct and detonate explosives, and he surveilled major American landmarks to identify potential attack sites. But his apprehension by law enforcement before an attack could be carried out is a testament to the importance of our counterterrorism efforts. We will continue to protect the American people by thwarting terrorist organizations’ pursuits of murder and mass destruction. Thanks to the hard work of the career prosecutors of this Office and our law enforcement partners, Saab will now spend the coming 12 years in federal prison.”
According to court documents and evidence presented at trial:
Hizballah is a Lebanon-based Shia Islamic organization with political, social, and terrorist components. Hizballah was founded in the 1980s with support from Iran after the 1982 Israeli invasion of Lebanon, and its mission includes establishing a fundamentalist Islamic state in Lebanon. Since Hizballah’s formation, the organization has been responsible for numerous terrorist attacks that have killed hundreds, including U.S. citizens and military personnel. In 1997, the U.S. Department of State designated Hizballah a Foreign Terrorist Organization, pursuant to Section 219 of the Immigration and Nationality Act, and it remains so designated today. In 2001, pursuant to Executive Order 13224, the U.S. Department of Treasury designated Hizballah a Specially Designated Global Terrorist entity. In 2010, State Department officials described Hizballah as the most technically capable terrorist group in the world and a continued security threat to the U.S.
The Islamic Jihad Organization (“IJO”), which is also known as the External Security Organization and “910,” is a component of Hizballah responsible for the planning and coordination of intelligence, counterintelligence, and terrorist activities on behalf of Hizballah outside of Lebanon. In July 2012, an IJO operative detonated explosives on a bus transporting Israeli tourists in the vicinity of an airport in Burgas, Bulgaria. The detonation killed six people and injured 32 others. Law enforcement authorities have disrupted several other IJO attack-planning operations around the world, including the arrest of an IJO operative surveilling Israeli targets in Cyprus in 2012, the seizure of bomb-making precursor chemicals in Thailand in 2012, and a seizure of similar chemicals in May 2015 in connection with the arrest of another IJO operative. In June 2017, two IJO operatives were arrested in the U.S and charged with terrorism-related offenses in the Southern District of New York. In May 2019, a jury convicted one of those two IJO operatives on all counts, and in December 2019, he was sentenced principally to 40-years in prison.
SAAB joined Hizballah in 1996. SAAB’s first Hizballah operations occurred in Lebanon, where he was tasked with observing and reporting on the movements of Israeli and Southern Lebanese Army soldiers in Yaroun, Lebanon. Among other things, SAAB reported on patrol schedules and formations, procedures at security checkpoints, and the vehicles used by soldiers. SAAB also, alongside his brother, planted an improvised explosive device that detonated and hit Israeli soldiers, seriously injuring at least one.
In approximately 1999, SAAB attended his first Hizballah training. The training was focused on the use of firearms, and SAAB handled and fired an AK-47, an M16 rifle, and a pistol, and threw grenades. In 2000, SAAB transitioned to membership in Hizballah’s unit responsible for external operations, the IJO, and he then received extensive training in IJO tradecraft, weapons, and military tactics, including how to construct and detonate bombs and other explosive devices and how to best use these devices in attacks. Specifically, SAAB received detailed instruction in, among other things, triggering mechanisms, explosive substances, detonators, and the assembly of circuits. In pre-arrest interviews with the Federal Bureau of Investigation (“FBI”), SAAB was able to diagram multiple improvised explosive devices that would have been viable if constructed as diagrammed.
In 2000, SAAB entered the U.S. While living in the U.S., SAAB remained an IJO operative, continued to receive military training in Lebanon, and conducted numerous operations for the IJO. For example, SAAB surveilled dozens of locations in New York City — including the United Nations headquarters, the Statue of Liberty, Rockefeller Center, Times Square, the Empire State Building, and local airports, tunnels, and bridges — and provided detailed information on these locations, including photographs, to the IJO. In particular, SAAB focused on the structural weaknesses of locations he surveilled in order to determine how a future attack could cause the most destruction. SAAB’s reporting to the IJO included the materials used to construct a particular target, how close in proximity one could get to a target, and site weaknesses or “soft spots” that the IJO could exploit if it attacked a target in the future. SAAB conducted similar intelligence gathering in a variety of large American cities, including Boston and Washington, D.C. SAAB admitted that his surveillance was designed to best position the IJO to attack the U.S. in the future. SAAB also was tasked by Hizballah with opening a front company that he could use to obtain fertilizer in the United States for use as an explosives precursor.
In addition to his attack-planning activities in the United States, SAAB conducted operations abroad. For example, in or about 2003, SAAB attempted to murder a man he later understood to be a suspected Israeli spy. SAAB pointed a firearm at the individual at close range and pulled the trigger twice, but the firearm did not fire. SAAB also conducted surveillance in Istanbul, Turkey, and elsewhere.
Finally, in or about 2012, SAAB entered into a fraudulent marriage in exchange for $20,000. The purpose of the marriage was for SAAB’s purported wife to apply for her citizenship. SAAB later falsely affirmed, under penalty of perjury, and in connection with his purported wife’s efforts to obtain status in the U.S., that the marriage was not for any immigration-related purposes.
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In addition to the prison term, SAAB, 46, was sentenced to 3 years of supervised release.
Mr. Williams praised the outstanding efforts of the Federal Bureau of Investigation’s New York Joint Terrorism Task Force, which principally consists of agents from the FBI and detectives from the New York City Police Department. Mr. Williams also thanked the Counterterrorism Section of the Department of Justice’s National Security Division.
This prosecution is being handled by the Office’s National Security and International Narcotics Unit. Assistant U.S. Attorneys Sam Adelsberg and Jason A. Richman are in charge of the prosecution, with assistance from Trial Attorneys Jessica Fender and Alexandra Hughes of the Counterterrorism Section.
New Haven Man Sentenced to More than 7 Years in Federal Prison for Firearm OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JACKIE BROWN, 43, of New Haven, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 92 months of imprisonment, followed by three years of supervised release, for unlawfully possessing ammunition.
According to court documents and statements made in court, on October 7, 2021, Brown was involved in a car accident in New Haven. After a responding officer observed Brown attempting to hide an extended firearm magazine by sitting on top of it, Brown ran from the car, up the street, and through the backyard of a residence. Another officer apprehended Brown minutes later. A search of Brown’s path of travel revealed a .40 caliber handgun, a loaded gun magazine, and two loose rounds of ammunition.
In an interview with officers, Brown admitted that he had discarded a firearm with a loaded magazine during the chase. Analysis of the extended magazine that was found in the car revealed that it contained 25 rounds of ammunition.
Brown has an extensive criminal history that includes seven drug-related felony convictions, and a conviction for attempted assault in the first degree. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Brown has been detained since his arrest. On August 12, 2022, he pleaded guilty to possession of a firearm by a felon.
This investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the New Haven Police Department. The case was prosecuted by Assistant U.S. Attorney A. Reed Durham through the Justice’s Department’s Project Safe Neighborhoods (PSN) program.
PSN, the centerpiece of the Department of Justice’s violent crime reduction efforts, is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Nebraska U.S. Attorney’s Office Allocated Additional ProsecutorsRead the Press Release
United States Attorney Steven Russell announced today that the United States Attorney’s Office for the District of Nebraska has been allocated three additional federal prosecutors and two additional support staff by the United States Department of Justice. One of these full-time Assistant United States Attorneys (AUSAs) and support staff will be dedicated to addressing public safety needs to combat violent crime in the state.
“For decades, the United States Attorney’s Office in Nebraska has been a strong federal partner in promoting public safety across the state, including the prosecution of violent crime and government fraud,” Russell said. “With this significant investment of additional resources from the Department of Justice, we will be able to continue to effectively coordinate with state, local and tribal law enforcement to ensure that Nebraska is a safe place to work and live.”
In addition to the “violent crime” prosecutor, the office will hire an additional AUSA charged with spearheading the office’s eLitigation program, enhancing the process of identifying, assessing, producing and presentation of discoverable information for all manner of criminal prosecutions and civil matters. A term AUSA will be charged with prosecuting COVID fraud, false statements, and money laundering related to the CARES Act passed by Congress in the wake of the COVID-19 pandemic. This includes fraud involving the Paycheck Protection Program (PPP), Economic Injury Disaster Loans (EIDL), and unemployment insurance (UI) programs committed during the pandemic. Finally, the Office has also been allocated two support staff positions to assist in Indian country prosecutions and e-litigation support.
The United States Attorney’s Office for the District of Nebraska currently has 30 AUSAs working in its Criminal and Civil Divisions out of Omaha and Lincoln. The office is currently in the process of onboarding two criminal AUSAs to fill existing vacancies. When the additional prosecutors are in place, a process expected to take several months, the office will have a total of 34 AUSAs representing the United States serving the citizens of Nebraska.
Navarre Man Sentenced to 20 Years in Federal Prison for Child Exploitation CrimesRead the Press Release
PENSACOLA, FLORIDA – Stephen D. Regis, Jr., 31, of Navarre, was sentenced to 20 years in federal prison for the production, receipt, and possession of child pornography, as well as the transfer of obscene materials to minors. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“There is no greater charge than the protection of our children,” said U.S. Attorney Coody. “This sentence is yet another example of the unwavering commitment to the protection of our most vulnerable and should serve as a significant deterrent to those who would attempt to harm them. We will continue to work tirelessly with our law enforcement partners to investigate and prosecute those who engage in such heinous conduct.”
Regis was indicted for victimizing seven minor females in the Gulf Breeze and Navarre, Florida areas. As alleged in the indictment, Regis engaged in the production, receipt, and possession of child pornography in 2021. Regis chose a trial by jury, and a federal jury in Pensacola, Florida, found him guilty of all twenty-one counts of the indictment in late 2022. The trial evidence revealed that Regis used the social media platform Snapchat to communicate with his victims. On Snapchat, Regis requested the victims produce or send child pornography and, in return, he would meet the minor females to provide them with electronic cigarettes, alcohol, and marijuana. During the course of this conduct, Regis also sent the minor females graphic sexual images and videos of himself and personally requested sexual acts from them.
“This arrest shows that our local agencies cooperating with the DOJ can make a substantial impact on those individuals who produce child pornography,” said Santa Rosa County Sheriff Bob Johnson. “Hopefully, this will deter anyone else from even thinking about following Regis’ footsteps.”
Regis’ prison sentence will be followed by a lifetime of federal supervised release. He will also be required to register as a sex offender and be subject to all sex offender conditions.
“We are witnessing an epidemic through social media and the internet when it comes to the sexual exploitation of our children. It’s imperative that our children are taught the dangers of online predators,” said Homeland Security Investigations (HSI) Tallahassee Assistant Special Agent in Charge Nicholas Ingegno. “Thanks to the partnerships we have with the Santa Rosa County Sheriff’s Office, the Escambia County Sheriff’s Office, the Florida Department of Law Enforcement, and the Florida Highway Patrol, we are able to stop predators like this from victimizing our children.”
This case resulted from a joint investigation by Homeland Security Investigations, the Santa Rosa County Sheriff’s Office, the Escambia County Sheriff’s Office, the Florida Department of Law Enforcement, and the Florida Highway Patrol. Assistant United States Attorneys David L. Goldberg and Jennifer H. Callahan 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 and led by the U.S. Attorney’s Offices and the Criminal Divisions Child Exploitation and Obscenity Section (CEOS), it marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Nacogdoches Man Sentenced to 12 years in Federal Prison for Trafficking MethamphetamineRead the Press Release
BEAUMONT, Texas – A Nacogdoches man has been sentenced to 12 years in federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Brandon Spears, 38, pleaded guilty on April 20, 2022, to conspiracy to distribute methamphetamine and was sentenced to 144 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to information presented in court, Spears was part of a trafficking organization responsible for trafficking at least 44 grams of methamphetamine in the Nacogdoches area. During the 2 ½ year investigation, law enforcement officers purchased methamphetamine from Spears on multiple occasions. During one attempted sale of methamphetamine, Spears and co-defendant, Angel Aguilar, were out of stock so they provided the buyer with a firearm and pills containing a mixture of cocaine and methamphetamine as collateral towards the future purchase of methamphetamine. The firearm given as collateral was later confirmed to be stolen. At sentencing, Spears forfeited three firearms seized by law enforcement during the investigation. Aguilar was previously sentenced to 180 months in federal prison.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Nacogdoches Police Department and prosecuted by Assistant U.S. Attorney Donald S. Carter.
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Missouri Man Indicted on Child Pornography ChargesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Brian Wilder, age 53, of Jefferson City, Missouri, was indicted on May 16, 2023, by a federal grand jury on child enticement and child pornography charges.
According to United States Attorney Gerard M. Karam, the indictment alleges that between November 2022 and December 2022, Wilder used the internet to entice a minor child to engage in sexual acts for which any person could be charged with a crime. The indictment also alleges that Wilder conspired with an individual to produce child pornography.
The case was investigated by Homeland Security Investigations. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
The maximum penalty under federal law for this offense is lifetime imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Micco, Brevard County Resident Sentenced to 15 years for Trafficking Fentanyl in Indian River CountyRead the Press Release
MIAMI – Yesterday, Christopher Jon Bauer, 46, of Micco, Florida, was sentenced by U.S. District Judge Aileen M. Cannon, sitting in Fort Pierce, to 15 years for possession with intent to distribute fentanyl and methamphetamine.
Sebastian Police Department (SPD) received a Treasure Coast Crime Stopper complaint about Bauer making fentanyl purchases on the dark web and mailing them to a codefendant. After the U.S. Postal Inspection Service (USPIS) confirmed that several packages were mailed to a codefendant in Sebastian, Florida; SPD officers and Homeland Security Investigations (HSI) agents set up surveillance at a U.S. Post Office (USPS), located in Sebastian. During the surveillance, they observed that Bauer had arrived in a red Cadillac SUV, with a passenger, who went into the post office and returned to Bauer’s vehicle carrying a USPS Express package. When SPD detectives attempted to stop the vehicle, Bauer fled, leading police on a lengthy high-speed pursuit, which resulted in the vehicle becoming disabled. SPD officers apprehended Bauer and the passenger of the vehicle and took both into custody. The total quantities of narcotics seized following Bauer’s arrest were about 65 grams of fentanyl, 12.53 grams of methamphetamine, and a small amount of cocaine. Bauer received at least 16 shipments of fentanyl, totaling nearly one kilogram.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI), Miami, and Inspector in Charge Juan A. Vargas of the U.S. Postal Inspection Service (USPIS), Miami Division, announced the sentence.
HSI Fort Pierce Office and USPIS Miami investigated the case, with assistance from SPD. Assistant U.S. Attorney Christopher Hudock prosecuted it. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-14068.
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Miami Church Pastor Sentenced to 48 Months in Federal Prison for Defrauding Paycheck Protection ProgramRead the Press Release
MIAMI – Elie Floradin, 59, the self-described head pastor of the New Bethel Baptist Church in Miami, Florida, was sentenced to 48 months in federal prison for participating in a fraudulent scheme seeking more than $1 million in Paycheck Protection Program (PPP) loans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Floradin caused an intermediary to repeatedly file false and fraudulent PPP applications, which sought federal COVID-19 assistance funds for companies that did not exist. Among these was a fake employment agency through which Floradin claimed to pay approximately $960,000 in yearly wages to dozens of employees when, in fact, no such business existed. After successfully receiving an initial PPP loan of approximately $200,000, Floradin caused the submission of three (3) more fraudulent PPP applications on behalf of his non-existent hiring agency, seeking approximately $600,000 in additional PPP loans—though these additional funds were denied.
Following Floradin’s guilty plea, however, the government learned of yet another prior fraudulent PPP loan, successfully filed on behalf of yet another corporate entity under Floradin’s name, causing the disbursement of approximately $336,000 in additional PPP funds to Floradin. At sentencing, Floradin admitted that he fraudulently applied for more than $1 million, and that he received more than half that amount, in fraudulently obtained COVID-19 assistance funds. In addition to his sentence of imprisonment, Floradin was ordered to pay back $535,996 in the form of restitution to the United States.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Mark H. Morini Jr. of the U.S. Treasury Inspector General for Tax Administration (TIGTA), Southern Field Division, announced the sentence imposed by U.S. District Judge Jose E. Martinez.
TIGTA Southern Field Division investigated the case, along with the Florida Office of Financial Regulation (OFR), Bureau of Financial Investigations (BFI), Miami Region. Assistant U.S. Attorney Eduardo Gardea Jr. prosecuted the case. Assistant U.S. Attorneys Annika Miranda and Peter Laserna are handling asset forfeiture.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act’s PPP program allowed qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1%. PPP loan proceeds had to be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allowed the interest and principal on the PPP loan to be forgiven if the business spent the loan proceeds on these expense items within a designated period of time after receiving the proceeds and used at least a certain percentage of the PPP loan proceeds on payroll expenses.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20361.
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Member of International Money Laundering Network Pleads Guilty to Laundering Millions of Dollars in Drug ProceedsRead the Press Release
ALEXANDRIA, Va. – A Belize City, Belize, man pleaded guilty today to conspiracy to commit money laundering after laundering tens of millions of dollars of drug proceeds on behalf of notorious international drug trafficking organizations.
According to court documents, from at least 2014 and continuing through 2020, Jianxing Chen, 44, led and controlled a network of couriers who transported cash generated by the sale of cocaine throughout the United States – including Chicago, Los Angeles, New York, as well as in the Eastern District of Virginia. At Chen’s direction, couriers transported drug money across the country to locations in New York City. From there it was laundered through a variety of methods until it, or its equivalent value, was remitted to drug trafficking organizations in Latin America, including Mexico. Chen received “contracts” to transport and launder this money through co-conspirators who were prosecuted and convicted based on the same superseding indictment
Chen is scheduled to be sentenced on August 29. He faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
In October 2021, co-defendant, Xizhi Li, was sentenced to 15 years in prison for leading the conspiracy to launder tens of millions of dollars for foreign drug trafficking organizations. Li signed a consent order of forfeiture for $10,000,000 to the United States pursuant to his plea.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
The DEA’s Louisville Division and the DEA’s Special Operations Division – Bilateral Investigations Unit investigated this case, with assistance from the DEA’s Office of Special Intelligence, Document and Media Exploitation Unit and the DEA’s offices in New York, Chicago, Los Angeles, Omaha, Atlanta, Newark, Portland Dallas, Mexico City, Merida (Mexico), Guatemala City, Belmopan (Belize), Beijing, Hong Kong, Jakarta (Indonesia), Manila (Philippines), Tokyo, Seoul, Bangkok, Lima (Peru), and Canberra (Australia). The U.S. Department of State’s Diplomatic Security Service (DSS), the U.S. Department of Homeland Security’s Immigration and Customs Enforcement, Homeland Security Investigations (HSI), U.S. Postal Inspection Service, Interpol, and U.S. Customs and Border Protection National Targeting Center (CBP – National Targeting Center) were partners in the investigation of this case.
Assistant U.S. Attorneys David A. Peters and Rachael C. Tucker and Trial Attorneys Mary K. Daly and Stephen A. Sola of the Justice Department’s Money Laundering and Asset Recovery Section prosecuted the case.
This prosecution is part of two Organized Crime Drug Enforcement Task Force (OCDETF). investigations known as Operation Dark Castle and Operation Taishan Triangle. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-334.
Maryland Resident Sentenced for Possession with Intent to Distribute FentanylRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jose Sanchez, of Maryland, was sentenced to 120 months in prison for one count of Possession with Intent to Distribute Fentanyl.
The charges arose from investigations by the Sequoyah County Sheriff’s Department and Homeland Security Investigations.
On May 2, 2022, Sanchez pleaded guilty to Possession with Intent to Distribute Fentanyl.
On November 18, 2019, a Sequoyah County deputy stopped Sanchez for speeding on Interstate 40. During the traffic stop, the deputy discovered a vacuum-sealed bag concealed under a rear speaker. The bag contained 9,648 counterfeit oxycodone pills which later tested positive for fentanyl. The fake pills contained over a kilogram of fentanyl.
“The defendant was transporting thousands of lethal doses of fentanyl," said United States Attorney Christopher J. Wilson. “Fentanyl is 50 times more potent than heroin, and a single dose of only two milligrams is potentially lethal. I commend the work of our law enforcement partners in discovering and seizing these counterfeit pills. Combatting the trafficking of illegal narcotics, especially fentanyl, in the Eastern District of Oklahoma continues to be a priority for the U.S. Attorney’s Office.”
The Honorable Ronald A. White, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearings in Muskogee. Sanchez will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant United States Attorney Ryan Conway represented the United States.
Maryland Resident Pleads Guilty to Conspiracy to Commit Wire Fraud After Preparing and Submitting Fraudulent Applications for Cares Act Financial AssistanceRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that SIEDAH ELEY, age 30, a resident of Houston, Texas, and formerly a resident of Columbia, Maryland, pled guilty before United States District Judge Ivan L.R. Lemelle to a one-count bill of information charging her with conspiracy to commit wire fraud, in violation of Title 18, United States Code, Sections 371 and 1343, announced U.S. Attorney Duane A. Evans. The charge stems from ELEY’S role in preparing and filing false applications for loans related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
According to court documents, ELEY used both word-of-mouth and text message contacts to fraudulently solicit individuals interested in obtaining money from the Paycheck Protection Program (PPP) program with her assistance. When someone expressed interest, ELEY requested the following information from the applicant: the applicant’s name, address, social security, and phone number, a copy of the front and back of the applicant’s driver’s license, a bank statement from 2020, and the routing and account number for the applicant’s bank account. ELEY then created a false and fraudulent loan application. Among the false representations ELEY included in the pertinent forms was that the applicant had a sole proprietorship in the beauty industry and generated substantial income from those businesses. ELEY also submitted financial numbers that overstated the gross receipts, expenses, and net income for the business, which resulted in the creation of a false federal tax Form 1040, Schedule C by the online portal that accepted and processed the application. In several instances, where the applicant received minimal income from the beauty business, ELEY knowingly and falsely inflated the amount of income. Each of the above-described false representations constituted a misstatement that was material to the determination of the eligibility of the applicant and the loan amount the applicant would receive.
Once the loan was paid to the applicant, ELEY charged some applicants up to $5,000.00 for preparing and submitting the fraudulent PPP application. ELEY used this scheme to file her own fraudulent application and applications for at least seven (7) co-conspirators, which resulted in a total loss to the Small Business Association of approximately $166,656.
ELEY faces a maximum term of imprisonment of five (5) years in prison, up to three years of supervised release, up to a $250,000 fine, and a $100 mandatory special assessment fee. Sentencing before Judge Lemelle has been scheduled for September 20, 2023.
For more information on the Department of Justice’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
U.S. Attorney Evans praised the work of the United States Secret Service in investigating this matter. Assistant United States Attorneys Jordan Ginsberg, Chief of the Public Integrity Unit, is in charge of the prosecution.
Man involved in Violent Robberies of AT&T Stores Sentenced to 10 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that ALEX JOSEPHS, 23, of Hartford, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 120 months of imprisonment for his involvement in a spree of violent robberies of AT&T stores in Connecticut and western Massachusetts.
According to court documents and statements made in court, in 2021, Josephs, Shaquille Raymond, Ronaldo Smith, and Deshawn Baugh committed several violent armed robberies of AT&T stores in Connecticut and western Massachusetts. The perpetrators typically entered the stores shortly before closing, pointed weapons at employees, and, at times, pistol-whipped, dragged and shoved employees toward the back inventory room. They then held the employees at gunpoint while loading large bags with cell phones and other electronics. The group stole hundreds of thousands of dollars in merchandise. Saviana Bourne, who worked at AT&T stores, helped plan the robberies, served as a getaway driver, and coordinated the sale of the stolen merchandise.
The investigation revealed that Josephs, Raymond, and Smith robbed AT&T stores in Newington on January 29, 2021, and Enfield on February 24, 2021. Baugh then joined the conspiracy and together they robbed an AT&T store in Canton on April 15, 2021, and attempted to rob stores in Torrington and Glastonbury in May 2021, but were locked out of the stores.
On June 6, 2021, Josephs and his associates, armed with a semiautomatic pistol, two revolvers, and a semiautomatic rifle, robbed an AT&T store in West Springfield, Massachusetts. After the robbery, they fled in a vehicle driven by Bourne, who led police on a high-speed chase that ended when their vehicle collided with a Massachusetts State Police cruiser. Josephs, Raymond, Smith, Baugh, and Bourne were arrested, and a search of the vehicle revealed more than $150,000 in stolen merchandise, as well as the firearms used during the robbery.
Judge Underhill ordered Josephs to pay restitution of $298,073.86, which reflects the losses from the Newington, Enfield, and Canton robberies. The property stolen in the West Springfield robbery was recovered.
Josephs has been detained since his arrest. On November 30, 2022, he pleaded guilty to one count of Hobbs Act robbery and one count of brandishing a firearm during and in relation to a crime of violence.
Raymond, Smith, Baugh, and Bourne also pleaded guilty. On March 1, 2023, Baugh was sentenced to 108 months of imprisonment and was ordered to pay restitution of $124,842.45, which reflects the loss from the Canton robbery. On March 29, 2023, Raymond was sentenced to 72 months of imprisonment and Bourne was sentenced to 78 months of imprisonment. Raymond and Bourne were also ordered to pay restitution of $298,073.86. Smith awaits sentencing.
Josephs and Raymond, who are citizens of Jamaica, face immigration proceedings when they are released from prison.
This matter has been investigated by the FBI’s Connecticut Violent Crimes Task Force with the assistance of the Massachusetts State Police and the Newington, Enfield, Canton, Torrington, Glastonbury, and West Springfield Police Departments. The case is being prosecuted by Assistant U.S. Attorney Robert S. Ruff.
Man Sentenced to 30 Years in Prison for Child PornographyRead the Press Release
SAN JUAN, Puerto Rico – United States District Court Chief Judge Raúl Arias Marxuach sentenced Francisco Xavier Ortiz-Colón to 30 years in prison,10 years of supervised release, and registration as a sex offender for nine counts of production of child pornography, eight counts of coercion and enticement of a minor to engage in sexual conduct, one count of receipt of child pornography, and one count of possession of child pornography. On November 9, 2022, Ortiz-Colón was found guilty of 19 counts of child pornography.
According to court documents and testimony during trial, from August 2019 through June 2020, Ortiz-Colón induced, enticed, and coerced nine female victims, ranging from nine to fourteen years of age, to engage in sexually explicit conduct for the purpose of producing child pornography. Ortiz-Colón used multiple Instagram accounts to commit these crimes.
During trial, the government presented evidence to prove that Ortiz-Colón used three Instagram accounts, while impersonating a female user, to procure armpit photos of the minor victims. After obtaining photos of the minors’ armpits and breasts, he used those photos to extort further explicit pornographic photos of the minors. HSI law enforcement agents executed several search warrants of the address where Ortiz-Colón’s Instagram account IP Address was identified and found him in possession of the smartphone through which he exercised control of the Instagram accounts used to extort the minor victims.
“The sentenced imposed today reflects the heinous nature the crimes committed by the defendant and the abuse inflicted on his victims,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “The U.S. Attorney’s Office and our law enforcement partners will relentlessly investigate and prosecute the misuse of social media platforms to commit these atrocious crimes.”
“Today’s sentencing not only concludes a long emotional process of victim testimonies which impacted everybody present in the courthouse, but most importantly provides closure to all the minors who this predator attacked with no mercy,” said HSI Acting Special Agent in Charge Rebecca González-Ramos. “This man once told one of his victims that he would never get caught by law enforcement, he believed he was above the law, preying on our children. HSI arrested him and a jury found him guilty, it’s time to face a long sentence in jail.”
The Department of Homeland Security Investigations (HSI) investigated the case.
Assistant U.S. Attorney Jenifer Y. Hernández-Vega, Project Safe Childhood Coordinator in the Child Exploitation and Immigration Unit, prosecuted the case.
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Luzerne County Man Charged with Drug Trafficking and Firearm OffensesRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that James Adams, age 31, of Kingston, Pennsylvania, was indicted on May 16, 2023, by a federal grand jury for drug trafficking and firearm offenses.
According to United States Attorney Gerard M. Karam, the indictment alleges that on or about January 26, 2023, in Luzerne County, Pennsylvania, Adams possessed with the intent to distribute marijuana, as well as four firearms in furtherance of that drug trafficking offense. The indictment further alleges that Adams possessed the firearms after knowing that he had been convicted of a crime punishable by imprisonment for a term exceeding one year. The firearms include: a black 9mm Taurus Model G36 pistol, a 9mm Lorcin Model L9 pistol, a .22 caliber Smith & Wesson Model 61-3 pistol, and a .380 caliber Davis Industries Model P370, all firearms having been shipped and transported in interstate commerce.
The matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), the Luzerne County Drug Task Force, the Kingston Police Department, and the Luzerne County District Attorney’s Office. Assistant U.S. Attorney James M. Buchanan is prosecuting 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.
The maximum penalty under federal law for these offenses is life imprisonment and a fine of $10,000,000. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Louisville Man Sentenced to 5 Years in Federal Prison for Methamphetamine and Heroin TraffickingRead the Press Release
Louisville, KY – A Louisville man was sentenced yesterday for methamphetamine and heroin trafficking.
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 Chief Jacquelyn Gwinn-Villaroel of the Louisville Metro Police Department made the announcement.
According to court documents, Myron L. Daniels, 40, was sentenced to 5 years in prison, followed by a 3-year term of supervised release, for possessing with the intent to distribute a methamphetamine mixture and a heroin mixture in Jefferson County Kentucky. There is no parole in the federal system.
The case was investigated by the DEA and the Louisville Metro Police Department.
Assistant U.S. Attorneys Erin McKenzie and Marisa Ford prosecuted the case.
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Louisiana Man Indicted for Shipping Firearms to New YorkRead the Press Release
ALBANY, NEW YORK – Rodell Patterson, age 51, of Baton Rouge, Louisiana, was indicted today on charges that he engaged in the firearms business without a license, sold firearms to a person he knew to be a convicted felon, and unlawfully sold firearms to a resident of another state.
United States Attorney Carla B. Freedman and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Patterson sent a package containing multiple handguns from Baton Rouge to the Capital Region in May 2022. Two of those firearms were recovered the following month in an apartment in Troy, New York. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The charges filed against Patterson carry a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
United States Magistrate Judge Daniel J. Stewart previously ordered Patterson detained pending trial before Chief United States District Judge Brenda K. Sannes.
ATF’s Albany Field Office is investigating the case with assistance from the U.S. Attorney’s Office for the Middle District of Louisiana, ATF’s Baton Rouge Field Office, and the Rensselaer County District Attorney’s Office. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.
Louisiana Man Charged with Vidor Armed CarjackingRead the Press Release
BEAUMONT, Texas – A New Orleans, Louisiana man has been named in a federal indictment charging him with carjacking and firearms violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Aubrey Young, 36, was charged with carjacking, possession of a firearm by a felon, and using a firearm during a crime of violence. A federal grand jury returned the indictment on May 3, 2023. Young appeared before U.S. District Judge Marcia A. Crone today on those charges. Young is scheduled to appear for a detention hearing on May 25, 2023.
According to the indictment, on Oct. 26, 2022, law enforcement officers responded to a call regarding a stolen car, taken at gunpoint. The suspect allegedly approached two individuals in Vidor, pulled a gun from his backpack and demanded the keys to their vehicle. The vehicle was spotted near Anahuac and a high-speed chase ensued involving officers from the Chambers County Sheriff’s Office and the Texas Department of Public Safety. Young, the sole occupant of the vehicle, was arrested and a firearm was located in the vehicle. Further investigation revealed Young is a convicted felon and prohibited by a federal law from owning or possessing firearms or ammunition.
If convicted, Young faces up to 22 years in federal prison.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. This case is being investigated by the Vidor Police Department, Chambers County Sheriff’s Office, Texas Department of Public Safety and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Rachel Grove.
A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Lincoln County Man Sentenced to 292 Months for Production of Child PornographyRead the Press Release
LEXINGTON, Ky.— A Stanford, Ky., man, Sean Ryan Reardon, 30, was sentenced to 292 months in federal prison on Monday, by Chief U.S. District Judge Danny Reeves, for enticing a minor to engage in sexually explicit conduct for the purpose of producing child pornography.
According to his plea agreement, Reardon met a minor victim in Fall 2019 and, in early 2020, started communicating with the victim via Snapchat. Reardon admitted that had sexual contact with the victim, at his home and other locations, from July 2021 through March 2022, and that he captured pictures and videos of these encounters. Reardon also admitted that he and the victim exchanged sexually explicit visual depictions through Snapchat and Google Duo.
Reardon pleaded guilty in February 2023.
Under federal law, Reardon must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 10 years.
Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office; and Col. Phillip Burnett, Commissioner, Kentucky State Police, jointly announced the sentence.
The investigation was conducted by the FBI and Kentucky State Police. The United States was represented by Assistant U.S. Attorney Mary Melton.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Las Vegas Resident Sentenced to Prison for Distribution of Fentanyl and Possession of Machine GunsRead the Press Release
LAS VEGAS – A Las Vegas man was sentenced yesterday by United States District Judge Cristina D. Silva to 6 ½ years in prison followed by four years of supervised release for selling machine gun conversion devices and thousands of pills laced with fentanyl.
According to court documents, on or about December 16, 2021, Anthony Rivas (23) sold four machine gun conversion devices. On that same day, he sold about 100 pills containing fentanyl. In January and February of 2022, Rivas sold a multi-caliber rifle modified with a machine gun conversion device, and 3,000 pills containing fentanyl.
Fentanyl is classified as a Schedule II controlled substance. Fentanyl is a synthetic opioid drug that is approximately 80-100 times more potent than morphine and 50 times more potent than heroin. A few milligrams of fentanyl, which is equivalent to a few grains of table salt, may be deadly.
Rivas pleaded guilty in February 2023 to conspiracy to distribute a controlled substance-fentanyl and illegal possession of a machine gun.
United States Attorney Jason M. Frierson for the District of Nevada, Assistant Special Agent in Charge Kevin Adams for the Drug Enforcement Administration (DEA) Las Vegas District Office, and Special Agent in Charge Jennifer Cicolani for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) made the announcement.
This case was investigated by the DEA, ATF, and Las Vegas Metropolitan Police Department. Assistant United States Attorney Melanee Smith prosecuted the case.
This effort was 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 https://www.justice.gov/OCDETF.
If you have information about illegal firearms activity, submit a tip to ATF by calling the hotline at 1-800-ATF-GUNS (1-800-283-4867) or through the ReportIt mobile app.
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Lackawanna County Man Indicted on Drug Trafficking ChargesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Charles Norman McKenzie, II., age 41, of Scranton, Pennsylvania, was indicted on May 16, 2023, by a federal grand jury on drug trafficking charges.
According to United States Attorney Gerard M. Karam, the indictment alleges that on May 4, 2023, McKenzie attempted to possess over 500 grams of cocaine and 400 grams of fentanyl with intent to distribute it. The indictment also alleges that on May 5, 2023, McKenzie attempted to possess over 500 grams of methamphetamine with intent to distribute it.
The case was investigated by Homeland Security Investigations. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case is also 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 also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
The maximum penalty under federal law for this offense is lifetime imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Kennewick Man Sentenced to 151 Months for Drug Trafficking in the Tri Cities:Read the Press Release
Richland, Washington – On May 22, 2023, United States District Judge Mary K. Dimke sentenced Jose Oliva, 37, to over 12 years in federal prison after his guilty plea to possession with intent to distribute fentanyl. Oliva also will serve 5 years of federal supervision after he is released from federal custody.
According to information disclosed in court documents and during court proceedings, the DEA Tri-Cities Resident Office in collaboration with Tri-City Metro Drug Task Force identified Oliva as a supplier and part of a drug trafficking organization operating in the Tri-Cities, WA area. Oliva was brokering pound-level quantities of methamphetamine for the organization, which were routinely distributed in the Eastern District of Washington.
In July of 2022, Oliva had agreed to meet a confidential source to deliver a pound of methamphetamine, as well as fentanyl-laced pills. After confirming Oliva’s presence at the arranged meeting location, agents moved in to make the arrest. Oliva immediately fled on foot while in possession of a loaded firearm and distribution quantities of fentanyl-laced pills, which he attempted to discard while in flight from law enforcement. Oliva did not escape and was placed under arrest thereafter.
Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, stated “Removing dangerous narcotics from our community is critical to protecting our families and building stronger and safer neighborhoods. I am grateful for the joint efforts of state, local, and federal law enforcement to identify Mr. Oliva’s drug trafficking activities and to prevent him from further distributing this poison in our community. I also commend Assistant United States Attorney Stephanie Van Marter for her leadership of federal drug prosecutions in the Tri-Cities that benefit the public safety of Eastern Washington.”
“We are grateful for working with all of our partners in this investigation, our efforts removed an individual from our communities who distributed deadly narcotics and possessed a dangerous firearm,” said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division. “We will continue in any way we can to keep our communities safe and healthy.”
This case was investigated by the DEA Tri-Cities Resident Office, the Tri-City METRO Drug Task Force, United States Border Patrol, Richland Police Department, Kennewick Police Department, Pasco Police Department, West Richland Police Department, and the Benton County Sherriff’s Office. This case was prosecuted by Assistant United States Attorney Stephanie Van Marter.
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