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18 May 2023
District Man Pleads Guilty to Federal Firearms OffenseRead the Press Release
WASHINGTON – John Maurice West, 29, of Washington, D.C., pleaded guilty today to a federal firearms charge stemming from his possession of a loaded firearm on June 27, 2022, aboard a Metrorail train and in the 1700 block of 8th Street NW, announced U.S. Attorney Matthew M. Graves, Chief Michael Anzallo, of the Metro Transit Police Department, and Chief Robert J. Contee III, of the Metropolitan Police Department.
West pleaded guilty in the United States District Court for the District of Columbia to one count of unlawful possession of a firearm and ammunition by a person convicted of a crime punishable by imprisonment for a term exceeding one year. Judge Jia M. Cobb scheduled a sentencing hearing for September 8, 2023.
According to the government’s evidence, on June 27, 2022, West threatened another man with a gun while aboard a Metrorail train at the Gallery Place–Chinatown Metro Station. The victim disembarked at the next station and reported the offense. Surveillance footage revealed that West exited the Metro at the Shaw–Howard University station and ran into the 1700 block of 8th Street NW, in the District’s Shaw neighborhood. Surveillance footage also depicted West in and around the entryway of an apartment building in that block moments before his arrest. Police canvassed the area and found a loaded, semi-automatic handgun concealed in a drainage pipe. Subsequent DNA testing and analysis linked both the handgun and its magazine to West.
West was arrested on June 27, 2022, and has remained in custody ever since.
Federal law prohibits West from possessing a firearm because, in 2014, he was convicted in the Superior Court of the District of Columbia of possession with intent to distribute cocaine while armed with a firearm.
West faces a maximum sentence of 15 years in prison and up to a $250,000 fine. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentence imposed in this case will be determined by the Court after considering the United States Sentencing Guidelines and other statutory factors.
In announcing the plea, U.S. Attorney Graves, Chief Anzallo, and Chief Contee commended the work of those who investigated the case from the Metro Transit and Metropolitan Police Departments. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Karla Nunez.
Finally, they commended the efforts of Assistant United States Attorneys Paul V. Courtney and Thomas G. Strong, who investigated and prosecuted the case.
Destrehan Man Sentenced After Pleading Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – CHRIS HABISREITINGER, age 53, a resident of Destrehan, Louisiana, was sentenced to forty-five months’ imprisonment, followed by three years of supervised release and $200.00 in mandatory special assessment fees after pleading guilty to conspiracy to distribute and possess with intent to distribute a quantity of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(C), and 846, and possession with intent to distribute a quantity of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(C), announced U.S. Attorney Duane A. Evans.
According to court documents, in February 2020, Drug Enforcement Administration agents identified HABISREITINGER as an ounce-quantity methamphetamine drug trafficker. During the investigation, several controlled purchases from HABISREITINGER were conducted and, agents identified his source of supply as Eric Rodriguez. On March 25, 2020, agents arrested Rodriguez and HABISREITINGER. HABISREITINGER later confirmed to agents that he was an ounce-level methamphetamine trafficker who had been doing such for approximately three months prior to his arrest, and that Rodriguez was his supplier.
This case was investigated by the Drug Enforcement Administration and the Jefferson Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney André Jones of the Narcotics Unit.
Craig Wilkins Imprisoned on Firearms ChargeRead the Press Release
Burlington, Vermont – The United States Attorney for the District of Vermont announced that Craig Wilkins, 38, of Rutland, was sentenced today in United States District Court in Burlington to 30 months of imprisonment following his guilty plea to a charge that he possessed two handguns as a convicted felon. U.S. District Judge Christina Reiss also ordered that Wilkins serve three years of supervised release following completion of his prison term. Wilkins has been detained without bail since his arraignment last year.
According to court records, on October 31, 2021, Rutland police officers and emergency medical personnel responded to a grocery store parking lot after a citizen reported that two people appeared to be unconscious inside a vehicle. When officers arrived, the two occupants – Craig Wilkins, who was in the driver’s seat and a female who was in the rear – were conscious but appeared to be under the influence of drugs. Wilkins was asked to step out of the car for questioning and when he did so a round of ammunition fell to his feet. Wilkins is prohibited by federal law from possessing firearms or ammunition because he has prior Vermont felony convictions for distributing narcotics.
Authorities impounded the automobile and obtained a state court warrant to search it. In a backpack that was on the front passenger seat and in the glove compartment, officers recovered two handguns, about 177 grams of cocaine base, and about 15 grams of fentanyl. Federal agents obtained a warrant for Wilkins’ arrest on April 12, 2022 and a federal grand jury in Burlington indicted Wilkins on drug and gun charges later that month. Wilkins pleaded guilty to the gun charge last September.The case was investigated by the Rutland Police Department and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives.
Wilkins is represented by Assistant Federal Public Defender Steven Barth. The prosecutor is Assistant U.S. Attorney Gregory Waples.This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn .
Convicted killer gets 30 years for trafficking methRead the Press Release
McALLEN, Texas – A South Carolina man and a Georgia woman have been ordered to prison following their conviction of smuggling drugs through McAllen, announced U.S. Attorney Alamdar S. Hamdani.
Joseph Gray, Jr., 47, pleaded guilty Sept 12, 2022, to conspiracy to distribute meth, while Jasmine Cecelia Dorsey, 28, entered here plea Feb. 1, 2022, to importing meth.
Today, U.S. District Judge Micaela Alvarez a 360-month term of imprisonment for Gray, while Dorsey received 64 months. Gray and Dorsey must also serve five and three years, respectively, of supervised release following the sentences. At the hearing, the court heard Gray’s trafficking organization smuggled drugs throughout parts of the eastern seaboard including Georgia, the Carolinas, New York, Virginia and Washington, D.C.
The court also heard that after Gray was released from state custody for robbing and killing a person and from federal custody for trafficking crack cocaine, he continued to engage in drug trafficking crimes that led to a series of supervised release revocations and an additional drug trafficking conviction. In handing down the prison terms, Judge Alvarez noted that Gray was given many chances to change his life but did not do so.
Two others were previously convicted and sentenced for their role in the conspiracy. Iyana De’Kyra Carter received a 78-month-term of imprisonment, while Keith Anthony Murray was ordered to serve 182 months.
On July 31, 2021, Dorsey and Carter traveled from Mexico and attempted to enter the United States through Hidalgo, Texas, port of entry with approximately 18 kilograms of pure meth concealed in the gas tank.
Further investigation revealed Gray directed Murray to hire drug mules. Dorsey and Carter drove from Atlanta, Georgia, to Monterrey, Mexico, loaded the vehicle with meth and attempted to bring the narcotics back to Georgia for further distribution. Gray coordinated extensively with Mexican and Panama narcotics traffickers to ensure the meth was received safely.
Gray will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Dorsey was permitted to remain on bond and voluntarily surrender at a later date.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Jongwoo Chung prosecuted the case.
Colonial Heights Elementary School Aide and Bus Driver Pleads Guilty to Receiving Child PornographyRead the Press Release
NEWPORT NEWS, Va. – A Newport News man pleaded guilty today to receipt of child pornography.
According to court documents, Richard Jerod Whitley, Jr., 37, was engaged in the on-line trading of child sexual abuse material. Attributed with thousands of images, some of Whitley’s collection contained sadistic and masochistic content as well as material with toddlers and infants engaged in sexually explicit conduct. Whitley was an elementary school bus driver and school aide at a Colonial Heights elementary school.
Whitley pleaded guilty to one count of receipt of child pornography and is scheduled to be sentenced on September 19, 2023. He faces a mandatory minimum of 5 years and a maximum 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.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after U.S. District Judge Jamar K. Walker accepted the plea.
Assistant U.S. Attorney Peter Osyf 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 U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:23-cr-27.
Cecil County Woman Sentenced to 80 Years in Federal Prison for Charges Related to Her Sexual Abuse of an InfantRead the Press Release
Baltimore, Maryland - U.S. District Judge Richard D. Bennett sentenced Summer Nichole McCroskey, age 25, of Elkton, Maryland, today to 80 years in federal prison, followed by 80 years of supervised release, for her participation in a conspiracy to sexually abuse a child from the age of approximately four months to two years old, for producing and distributing videos and images documenting the sexual abuse of a child and for possession of child pornography. McCroskey has been detained since her arrest in February 2022.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Cecil County State’s Attorney James Dellmyer; and Cecil County Sheriff Scott Adams.
McCroskey previously pleaded guilty to each of the 16 counts with which she is charged in the indictment, admitting that she and her co-conspirator, Lawrence Aquilla Colby, IV, sexually abused a child, starting at the time the victim was approximately four months of age through at least October 2021, when the victim was two years old. Both McCroskey and Colby participated in the abuse. McCroskey produced videos and images documenting their sexual abuse of the child, which she distributed to Colby and others, using an encrypted messaging application.
As detailed in court documents, if not for the collaboration of international law enforcement agencies and the work of the FBI in Baltimore, McCroskey and Colby’s abuse and exploitation of the victim would be ongoing. Videos documenting the victim’s abuse were seen by international law enforcement partners on internet platforms as early as May 2020. In December 2021, information connecting the videos to the United States was developed and on February 11, 2022, the FBI connected the videos to one of McCroskey’s social media accounts, searched her residence and arrested McCroskey and Colby.
Lawrence Aquilla Colby, IV, a/k/a “Buddy,” age 34, of Elkton, Maryland, also pleaded guilty. Colby faces a mandatory minimum of 15 years and a maximum of 30 years in federal prison for conspiracy to sexually exploit a child and for each of five counts of sexual exploitation of a child; a mandatory minimum of five years and a maximum of 20 years in federal prison for each of three counts of receipt of child pornography; and a maximum of 20 years in federal prison for possession of child pornography. U.S. District Judge Richard D. Bennett has scheduled sentencing for Colby on August 15, 2023, at 11:00 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI, the Cecil County State’s Attorney’s Office and the Cecil County Sheriff’s Office for their work in the investigation and thanked Assistant U.S. Attorneys Paul E. Budlow and Colleen E. McGuinn who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Castle Shannon Man Indicted for Violating Federal Narcotics LawsRead the Press Release
PITTSBURGH –A resident of Castle Shannon, Pennsylvania was arrested in Florida after being indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotics laws, Acting United States Attorney Troy Rivetti announced today.
The one-count Indictment named Michael Hunsinger, 57, Castle Shannon, Pennsylvania, as the sole defendant. Though indicted in February 2023, Hunsinger was ultimately arrested in Florida on these federal charges.
According to the Indictment, on or about June 3, 2022, the defendant did knowingly and intentionally possess with intent to distribute 500 grams or more of methamphetamine, and a quantity of cocaine, both Schedule II controlled substances. Hunsinger was allegedly obtaining large quantities of these controlled substances from an Ohio source and transporting them back to this district.
The law provides for a maximum total sentence of not less than ten (10) years in prison, and fine of $10,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Nicole A. Stockey is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and Castle Shannon Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Cahokia Heights Man Gets 188 Months in Prison for Gun, Drug ChargesRead the Press Release
EAST ST. LOUIS, Ill. – A U.S. District sentencing judge ordered a Cahokia Heights man to spend 188 months in federal prison after he admitted to distributing fentanyl and methamphetamine and possessing crack cocaine with the intent to distribute the drugs in St. Clair County.
Nickolas Shannon, 29, previously pled guilty to one count of felon in possession of a firearm and three counts of possession of a controlled substance with intention to distribute. Upon release from federal prison, he will serve five years of supervised release.
“Fentanyl is poisoning our communities at an alarming rate, and we’re confronting the crisis in southern Illinois,” said U.S. Attorney Rachelle Aud Crowe. “Individuals found responsible for distributing illicit drugs can and will be subjected to steep federal prison sentences.”
"Too often DEA finds illegal drugs and firearms in our cases," said Acting Assistant Special Agent in Charge Michael E. Rehg, head of Drug Enforcement Administration enforcement operations in southern Illinois. "Drug trafficking is a violent business and a primary reason we investigate cases like this one. The successful prosecution and sentencing of Nickolas Shannon is a reminder that the DEA will pursue these criminals not only to stop the illegal distribution of fentanyl in our communities, but also to prevent the associated violence that comes with felons possessing guns."
According to court documents, DEA agents began investigating Shannon for distributing controlled substances in December 2021 based on information from a confidential source. Undercover sources working with DEA bought 5.4 grams of fentanyl and 6.883 grams of methamphetamine from Shannon on two separate occasions in St. Clair County. Shortly after, agents arrested Shannon and conducted a search warrant on his apartment.
During the search, agents located 1.735 grams of cocaine base, 1.162 grams of cocaine and 2.9 grams of fentanyl as well as a drug paraphernalia and three loaded and unsecured firearms, including an AR-15 rifle. In an interview with police, Shannon acknowledged he is a convicted felon and therefore unable to legally possess firearms. Further DEA investigation revealed that Shannon was responsible for the distribution of nearly 300 grams of fentanyl.
DEA led the investigation, and Assistant U.S. Attorney Daniel S. Carraway prosecuted the case.
Brookdale Hospital Agrees to Civil Settlement to Resolve Allegations that Former Employees Defrauded a Federally Funded Nutrition ProgramRead the Press Release
The Brookdale Hospital Medical Center, a nonprofit hospital based in Brooklyn, has agreed to pay $300,000 to the United States to resolve allegations that it violated the False Claims Act based on the conduct of former employees who engaged in a scheme to defraud the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC). Brookdale cooperated fully throughout the investigation. The settlement agreement, which resolved claims under the Federal False Claims Act, was approved yesterday by United States District Judge I. Leo Glasser.
Breon Peace, United States Attorney for the Eastern District of New York and Bethanne M. Dinkins, Special Agent-in-Charge, United States Department of Agriculture, Office of Inspector General (USDA-OIG), announced the settlement.
“Our Office worked with Brookdale to arrive at a fair and just resolution that holds Brookdale accountable while crediting its cooperation,” stated United States Attorney Peace. “This settlement demonstrates our Office’s commitment to holding healthcare providers accountable when their employees engage in misconduct that defrauds federal programs like the USDA-funded WIC program.”
Mr. Peace expressed his gratitude for the support of the New York State Department of Health, Bureau of Special Investigations for their assistance in investigating these claims.
“The WIC program was created to provide food and nutrition to those who truly need this assistance,” stated USDA-OIG Special Agent-in-Charge Bethanne M. Dinkins. “Those who are involved in fraud and abuse of USDA-funded programs will be investigated by our office to the fullest extent. Our joint investigation with the New York State Department of Health, Bureau of Special Investigations identified those who sought to defraud WIC. USDA-OIG will continue to dedicate investigative resources, working with our law enforcement and prosecutorial partners, in order to protect the integrity of these programs.”
The USDA-funded WIC program provides grants to states for supplemental foods, health care referrals, and nutrition education for lower-income pregnant, breastfeeding, and non-breastfeeding postpartum women, and to infants and children who are found to be at nutritional risk. The United States contends that between 2010 and 2016, former Brookdale employees, including the former director of Brookdale’s WIC program, engaged in a scheme to defraud the WIC program by, among other things, causing ineligible persons to be qualified for WIC benefits and misappropriating WIC program funds. The United States further alleges that these former employees falsified time sheets and other records concerning work purportedly performed by breastfeeding peer counselors, and falsified budget records to inflate Brookdale’s purported requirements for WIC funds.
The settlement includes the resolution of a civil action brought under the qui tam or whistleblower provisions of the False Claims Act against Brookdale. Under the qui tam provisions of the False Claims Act, a private party can file an action on behalf of the United States and receive a portion of the settlement if the government takes over the case and reaches a monetary agreement with the defendant. The qui tam case is captioned United States ex rel. Young v. The Brookdale Hospital Medical Center, No. 19-CV-2272 (E.D.N.Y.).
The claims resolved by the settlement are allegations only and there has been no determination of liability.
The government’s case was handled by Assistant United States Attorney Michael J. Castiglione.
The Defendant:
The Brookdale Hospital Medical Center
E.D.N.Y. Docket No. 19-CV-2272 (ILG)
Billings man sentenced for lying to federal grand juryRead the Press Release
BILLINGS — A Billings man who admitted to lying about a firearm in a shooting during testimony before a federal grand jury was sentenced today to four years of probation, U.S. Attorney Jesse Laslovich said.
Caleb Jason Olson, 21, pleaded guilty in January to an indictment charging him with false declaration before a grand jury.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that Olson was the driver in an attempted drug robbery that involved a shooting in the fall of 2019 and provided a shotgun to one of his passengers. Olson then lied in December 2021 to a federal grand jury investigating the incident when asked about the firearm. Olson had been placed under oath and advised that he could face criminal liability should he make a false statement during his testimony. Olson falsely testified that he didn’t know there were any firearms in his vehicle, when he knew that he had, in fact, brought a firearm in his car that night.
Assistant U.S. Attorneys Zeno B. Baucus, Bryan T. Dake and Benjamin D. Hargrove prosecuted the case. The FBI conducted the investigation.
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Beech Grove Felon Sentenced to over 5 Years in Federal Prison for Illegally Possessing a Firearm After Fleeing PoliceRead the Press Release
INDIANAPOLIS- John E. Lamond II, 38, of Beech Grove, Indiana, has been sentenced to 63 months in federal prison after pleading guilty to illegally possessing a firearm.
According to court documents, on September 2, 2020, Indianapolis Metropolitan Police Department officers observed a vehicle, driven by Lamond, begin to travel in reverse upon seeing a fully marked police car. Lamond continued to drive recklessly in reverse in the middle of the road for two blocks. When officers activated their emergency lights and initiated a traffic stop, Lamond exited his vehicle and fled into a nearby home. After being instructed multiple times to stop running, Lamond was arrested by officers.
During a search of the vehicle, officers found a 9mm handgun between the driver’s and passenger’s seats belonging to Lamond. The vehicle was also determined to be stolen.
Lamond is prohibited from possessing a firearm due to his six previous felony convictions including criminal confinement, carrying a handgun without a license, receiving stolen auto parts, criminal recklessness, strangulation, and possession of methamphetamine.
U.S. Attorney for the Southern District of Indiana, Zachary A. Myers, Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division, and Randal Taylor, Chief of the Indianapolis Metropolitan Police Department made the announcement.
“This dangerous, convicted felon has no business owning a firearm, and in-fact, is prohibited from doing so by federal law,” said U.S. Attorney Myers “I commend the outstanding first responders who protected the public by arresting a dangerous criminal who through his actions has shown an utter disregard for the law. The serious sentence imposed today will protect the public from further crimes by Mr. Lamond and demonstrates that our office will work closely with our local and federal partners to make our communities safer.”
ATF and IMPD investigated this case. The sentence was imposed by U.S. District Court Chief Judge Tanya Walton Pratt. Judge Pratt also ordered that Lamond be supervised by the U.S. Probation Office for 2 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorney Pamela S. Domash, who prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Andrew Hollins Pleads Not Guilty to Pandemic Fraud and Narcotics IndictmentsRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Andrew Hollins, who has also been known as Andrew Jones, 36, of Colchester, Vermont and New York City, pleaded not guilty today in United States District Court in Burlington to two separate indictments charging him with narcotics trafficking, wire fraud, money laundering and aggravated identity theft. U.S. Magistrate Judge Kevin Doyle ordered that Hollins be detained pending trial, which has not been scheduled.
On December 13, 2022, a federal grand jury in Burlington returned a superseding indictment alleging that Hollins distributed cocaine on three dates in late 2019. At the same time, the grand jury returned a separate indictment charging Hollins with fraud, money laundering and identity theft in connection with a series of pandemic-related Economic Injury Disaster Loan applications he allegedly submitted to the U.S. Small Business Administration in July and August 2020. Under the EIDL loan program, the SBA provides low-interest loans to businesses and persons that have suffered financial hardship because of a natural disaster, such as the Coronavirus pandemic.
According to the indictment, Hollins applied for eight EIDL loans in mid-2020 in his own name, in the names of two businesses he founded, in the names of two relatives and in the names of three persons whose identities Jones allegedly stole. Some of the loans were funded by SBA, while others were rejected. The indictment states that the applications were fraudulent because they contained materially false statements about when the businesses were established, about the companies’ gross receipts in the preceding year, about the number of employees each business had and about the physical location of the businesses.
The United States Attorney emphasizes that the charges in the indictment are merely accusations and that the defendant is presumed innocent unless and until he is proven guilty.If convicted on the drug charges, Hollins faces up to 20 years of imprisonment and a fine of up to $1,000,000. The wire fraud charges are punishable by up to 20 years of imprisonment and a fine of up to $250,000. Any sentence would be determined with reference to federal sentencing guidelines.
This case was investigated by the Criminal Investigation Division of the Internal Revenue Service and Homeland Security Investigations.
Hollins is represented by Federal Public Defender Michael Desautels. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Ambridge Man Sentenced to 150 Months Imprisonment for Violating Federal Narcotics and Firearms LawsRead the Press Release
PITTSBURGH, PA -- A resident of Ambridge, Pennsylvania has been sentenced in federal court to 150 months imprisonment followed by 4 years of supervised release on his conviction of violating federal narcotics laws, Acting United States Attorney Troy Rivetti announced today.
United States District Judge Christy Criswell Wiegand imposed the sentence on Michael Gamble, age 38, formerly of Ambridge, Pennsylvania.
According to information presented to the court, Gamble possessed with intent to distribute 40 grams or more of a mixture and substance containing a detectable amount of fentanyl.
On December 10, 2023, law enforcement executed a search warrant at the Ambridge, Pennsylvania residence where Gamble had been distributing controlled substances. A search of Gamble’s person revealed that he had approximately six (6) net grams fentanyl and $2,693.00. Between a cushion on a couch, where the defendant was seated, law enforcement received a loaded handgun with an attached extended magazine. The loaded handgun was found in the same basement as several digital scales, three boxes of empty glassine bags, a stamper, an ink pad and approximately 90 net grams of fentanyl.
Assistant United States Attorney Brendan J. McKenna prosecuted this case on behalf of the government.
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.
Acting United States Attorney Rivetti commended the Drug Enforcement Administration for the investigation leading to the successful prosecution of Gamble.
44 Individuals Indicted by Federal Grand Jury for Roles in a Multimillion-Dollar Fraudulent Scheme to Obtain COVID-19 Relief FundsRead the Press Release
SAN JUAN, Puerto Rico – W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico, announced the indictment of 44 individuals for their participation in a multi-million-dollar fraudulent scheme to illegally obtain federal recovery funds under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The Grand Jury charged the defendants with multiple counts of wire fraud and money laundering. The charging documents allege that from April 2020 through May 2023, the defendants and their co-conspirators caused the submission of at least 52 Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) loan applications seeking the illegal disbursement of at least $1,237,855 in federal recovery funds from the U.S. Small Business Administration (SBA) and Bank 1.
“These defendants stole over $1 million through fraudulent means and used those funds to support their own personal lifestyles, taking needed resources from those whose legitimate businesses were suffering from losses due to the COVID-19 pandemic,” said U.S. Attorney Muldrow. “Federal programs such as these are set up to help those in need, not to benefit criminals. Prosecution of those who illegally obtain government benefits will continue to be a priority for our office.”
The United States Secret Service, the Small Business Administration Office of the Inspector General, the Treasury Inspector General for Tax Administration, and the Internal Revenue Service Criminal Investigations conducted the investigation with the collaboration of the Puerto Rico Treasury Department, the Puerto Rico Bureau of Special Investigations, the Puerto Rico Police Bureau, and the Guaynabo Municipal Police.
According to court documents, defendant Hendrick Socorro Sánchez Orta, a.k.a. “Cuba/Tito”, together with Manfred A. Pentzke Lemus, a.k.a. “Man/Contable/El Gestor”, Rodolpho R. Pagesy Roussel, a.k.a. “El Banquero”, Augusto A. Lemus Berrios, a.k.a. “Primo”, Jonatan Ben David Prieto Ruiz De Val, a.k.a. “Johnny Millones”, Ligia María Lemus De Pentzke, and others knowingly devised a scheme to defraud the SBA and Bank 1 to obtain federal money and property by means of materially false and fraudulent pretenses, representations, and promises submitted through applications for EIDL and PPP loans made available to help small businesses recover from the impact of the pandemic through the CARES Act. Pentzke Lemus, Pagesy Roussel, Lemus Berrios, Prieto Ruiz De Val, and Lemus De Pentzke were previously charged in April in a separate indictment.
The defendants are:
[1] Hendrick Socorro Sánchez Orta, a.k.a. “Cuba/Tito”
[2] Julia E. Pastrana Romero
[3] Hillary Sánchez Santiago
[4] Harold H. Sánchez Santiago
[5] Yeimyliz E. Díaz Pastrana
[6] Alex Gotay Concepción
[7] Alexandra Dávila Ortiz
[8] Alexis X. Pantoja Díaz
[9] Ángel M. Martínez Martínez
[10] Arnaldo X. Rodríguez Camacho
[11] Betzaida Ortiz García
[12] Carlos E. Peña Santiago
[13] Christian J. Rivera Renovales
[14] Denisse Y. Rodríguez De Jesús
[15] Divad Román Estrada
[16] Eduardo Pastrana Morales
[17] Félix D. Lara Vázquez
[18] Héctor I. Santiago Díaz
[19] Iris Y. Díaz Pérez
[20] Ivelisse Nieves Irizarry
[21] Jan A. Hernández Martínez
[22] Javier Vélez Torres
[23] Jesús E. Soto Lozada
[24] Josearyam Gotay León
[25] Joseph Morales Santiago
[26] Juan L. Rivera Mundo
[27] Katty M. De León Delgado
[28] Kenned A. Velázquez Toledo
[29] Luis E. Reyes Sandoval
[30] Luis A. Rodríguez De Jesús
[31] Marla Pereira Medina
[32] Nicole M. Suárez Padilla
[33] Oscar López Cruz
[34] Rafael J. Mejías González
[35] Reynaldo López Agrinzoni
[36] Ricardo J. Ramos Moyet
[37] Roberto Gotay Concepción
[38] Ruth D. Trinidad De León
[39] Sergio A. León Pérez
[40] Tomás E. Cátala Suárez
[41] Wanda M. Rodríguez Feliciano
[42] Wendee P. Cedeño Rosa
[43] Yadisha Morales Santiago
[44] Yoel Rivera Hernández
The CARES Act authorized federal assistance through the issuance of SBA loans to small businesses and non-profit entities that experienced revenue loss due to the COVID-19 worldwide pandemic. The EIDL program was one such loan assistance program for small businesses. To procure the loan, applicants had to fill out an online application detailing operational information for the 12‑month period prior to the COVID-19 pandemic, such as the number of employees in the business, the gross business revenues realized, and the cost of goods sold. Another form of assistance provided by the CARES Act was the authorization of United States taxpayer funds in forgivable loans to small businesses for job retention and certain other expenses, such as interest on mortgages, rent and utilities, through the Paycheck Protection Program (PPP).
The indictment alleges that the defendants and their co-conspirators submitted at least 52 fraudulent EIDL and PPP loan applications containing materially false and fraudulent information and false documents, including false and fictitious tax documents, payroll records, bank records, and identification documents, to procure the disbursement of EIDL and PPP assistance loans by Bank 1. The indictment further alleges that the defendants and their co-conspirators directed the recipients of the fraudulently obtained PPP and EIDL loans to remit a portion of the proceeds of the loans to the defendants and their co-conspirators and used the loan proceeds to benefit themselves and others, and to pay for expenses prohibited under the requirements of the EIDL and PPP programs.
The court documents claim that defendant Manfred A. Pentzke Lemus was the principal organizer of the fraudulent scheme and the efforts to launder the proceeds; defendant Rodolpho R. Pagesy Roussel worked at Bank 1 in San Juan, Puerto Rico, and used his position to obtain the approval of fraudulent PPP applications; defendant Augusto A. Lemus Berríos assisted in the preparation of fraudulent PPP applications; defendant Jonatan Ben David Prieto Ruiz De Val acted as a money courier and coordinated the delivery of “kickback” payments to further the fraudulent scheme; defendant Ligia María Lemus De Pentzke received “kickback” payments from proceeds of the fraudulent scheme and forwarded them to her co‑conspirators; and defendant Carlos Manfredo Pentzke Chamorro received fraudulent PPP and EIDL loans in furtherance of the conspiracy. The defendants, including [1] Hendrick Socorro Sánchez Orta, a.k.a. “Cuba/Tito”, are also alleged to have recruited other unindicted co-conspirators to not only obtain additional EIDL and PPP loans under false pretenses, but recruit others to submit fraudulent applications.
The United States seized approximately $848,957.96 in proceeds of this scheme from Bank 1, which are currently subject to forfeiture.
If convicted, the defendants are facing up to 30 years in prison for the wire fraud counts. Hendrick Socorro Sánchez Orta is also facing up to 20 years of imprisonment for the money laundering count and a forfeiture allegation of the following assets:
a. One Burgundy 2003 Hummer H2
b. One Gold 2013 Lexus ES 350
c. One 2015 Chrysler 300
d. One Caterpillar Electrical Power Generator 19.4 kW with Transfer Switch
e. Assorted Fitness Equipment Valued at Approximately $40,000
This case is being prosecuted by Assistant U.S. Attorneys Timothy R. Henwood and Daniel J. Olinghouse.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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17 May 2023
Yonkers Man Pleads Guilty to Unemployment Insurance FraudRead the Press Release
ALBANY, NEW YORK – Errol Murray, age 22, of Yonkers, New York, pled guilty today to conspiring to defraud the New York State Department of Labor (NYSDOL) by obtaining unemployment insurance benefits under the names of other people, including benefits funded by the federal government in response to the COVID-19 pandemic.
The announcement was made by United States Attorney Carla B. Freedman; New York State Inspector General Lucy Lang; Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS); and Jonathan Mellone, Special Agent in Charge, Northeast Region, United States Department of Labor, Office of Inspector General (USDOL-OIG).
Murray admitted that he provided Jamie Johnson with his personal identifying information and the personal identifying information of another person, which Johnson used to file false claims via the NYSDOL website. Murray further admitted that as a result of the two fraudulent applications submitted by Johnson, the NYSDOL paid $69,954 in unemployment insurance benefits. As part of his plea agreement, Murray agreed to pay $69,954 in restitution to the State of New York. Johnson previously pled guilty to fraudulently obtaining $701,441 in unemployment insurance benefits as part of the scheme.
Murray faces a maximum of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years when he is sentenced on September 14, 2023 by Senior U.S. District Judge Lawrence E. Kahn.
This case was investigated by the New York State Inspector General’s Office, HSI, USPIS, and USDOL-OIG, with assistance from the NYSDOL Office of Special Investigations, the Capital Region Crime Analysis Center, and the Albany County Department of Social Services. Assistant U.S. Attorneys Joshua R. Rosenthal and Joseph S. Hartunian are prosecuting the case.
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.
Wallingford Man Sentenced to 12 Years in Federal Prison for Child Exploitation OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JASON GORISS, 49, last residing in Wallingford, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 144 months of imprisonment, followed by 10 years of supervised release, for possessing images and videos of child sex abuse.
According to court documents and statements made in court, in November and December 2018, Goriss possessed four images and five videos depicting minors engaged in sexually explicit conduct. The images and videos included depictions of prepubescent children, and at least one image of bondage. Goriss shared some of the images and videos on an internet-based blog.
On February 8, 2023, Goriss pleaded guilty to possession of child pornography.
Goriss previously was convicted in state court of having illegal sexual contact with a minor, and was sentenced to eight years of incarceration, with three years to serve, and 15 years of probation for that offense. He has been incarcerated in state custody since March 9, 2021, for violating his probation, and also has other charges for sexual assault and risk of injury to a minor pending in state court.
The federal penalties were enhanced based on Goriss’s prior conviction.
This matter was investigated by Homeland Security Investigations (HSI) and the Wallingford Police Department, with the assistance of the Office of Adult Probation. The case was prosecuted by Nancy V. Gifford with cooperation from the New Haven State’s Attorney’s Office.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Wallingford Attorney Sentenced to Prison for Tax EvasionRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that MARK CARBUTTI, 48, of Wallingford, was sentenced today by U.S. District Judge Sarala V. Nagala in Hartford to 15 months of imprisonment, followed by two years of supervised release, for tax evasion.
According to court documents and statements made in court, Carbutti is an attorney specializing in personal injury law. For the 2013 through 2017 tax years, Carbutti reported approximately $585,025 in income taxes owed to the Internal Revenue Service as a result of his legal practice and certain rental income. During that time period and thereafter, Carbutti made only limited payments of his taxes due and owing, and interest and penalties accrued as a result of his non-payment.
Between December 2014 and May 2019, Carbutti received at least 12 notices from the IRS advising him of his tax amounts due and instructions on how to pay his overdue taxes. When the IRS levied certain personal bank accounts used by Carbutti, he closed those accounts and evaded the payment of taxes, interest, and penalties by writing checks from his law firm’s operating account payable to his paralegal, which subsequently were converted to cash and deposited into the bank accounts of limited liability companies (“LLCs”) that Carbutti had created in association with his real estate holdings. Carbutti also took substantial additional cash withdrawals from his law firm bank accounts and redeposited the monies in the LLCs bank accounts. Between approximately 2013 and 2019, Carbutti paid approximately $600,000 in personal expenses from the LLCs bank accounts, including expenditures for gambling at casinos, restaurants, vacations, and the purchase of a BMW automobile.
Judge Nagala ordered Carbutti to pay $750,180 in back taxes, interest and penalties.
On December 1, 2022, Carbutti pleaded guilty to one count of tax evasion.
Carbutti is required to report to prison on July 17.
This investigation was conducted by the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
Violent Child Predator Sentenced to over 7 Years in Federal Prison for Illegally Possessing a Firearm and Failing to Register as a Sex Offender After Moving to Southern IndianaRead the Press Release
NEW ALBANY- Franklin Gomar, 42, of Kentucky, was sentenced to 87 months in federal prison after pleading guilty to illegally possessing a firearm and failing to register as a sex offender.
According to court documents, in January, 2001, Gomar was convicted of 2nd degree manslaughter in Jefferson County, Kentucky. In April, 2001, Gomar was also convicted of the sexual abuse of a 9 year old child. The sexual abuse conviction requires Gomar to register as a sex offender wherever he lives, works, or goes to school.
On or before March 1, 2020, Gomar lived in Scottsburg, Indiana. Gomar knowingly failed to register or update his registration as required by the Sex Offender Registration Notification Act (SORNA). SORNA requires offenders to register within 3 business days after a change of residence.
On March 13, 2020, law enforcment officers with the Bureau of Alochol, Tobacco, Firearms, and Explosives executed a search warrant at Gomar’s residence in Scottsburg, Indiana. During the search, officers found a loaded Ruger 9mm handgun on Gomar’s person. Officers also located a rifle loaded with a high capacity magazine in the bedroom. The rifle had been reported stolen by the Louisville Metro Police in March of 2019.
Gomar is prohibited from possessing a firearm due to his previous felony convictions.
“This extremely dangerous defendant, one who has displayed a pattern of predatory and violent criminal activity, willfully disregarding the law, and continuing to arm himself, is exactly the type of individual our office works to ensure is behind bars,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “I commend the work of the ATF, Indiana State Police, the U.S. Marshals, and the Scott County Sheriff’s Office for tracking down this offender and preventing him from being able to harm or abuse any other vulnerable individuals.”
“The law clearly defines when an individual is prohibited from possessing a firearm. The defendant’s past violent criminal record, including manslaughter and sexual abuse of a child, clearly place him in the prohibited category,” stated Daryl S. McCormick, Special Agent in Charge of ATF’s Columbus Field Division. “ATF will continue to work with our law enforcement partners to remove violent individuals from our community and working to keep us all safer.”
“I hope other would-be criminals see these results of this investigation and decide not to visit Scott County, Indiana.,” said Scott County Sheriff, Jerry Goodin. “If you break the law or are a fugitive from justice, we will work with all law enforcement agencies necessary to assist in getting you arrested; it is that simple.”
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case, with valuable assistance provided by the Indiana State Police, Scott County Sheriff’s Office, and U.S. Marshals Great Lakes Region Fugitive Task Force. The sentence was imposed by U.S. District Court Chief Judge Tanya Walton Pratt. Judge Pratt also ordered that Gomar be supervised by the U.S. Probation Office for 5 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorney Pamela S. Domash, who prosecuted this case.
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Vian Resident Sentenced for Aggravated Sexual Abuse of A Child in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Joshua Thomas Smith, age 41, of Vian, Oklahoma, was sentenced to 360 months in prison for Aggravated Sexual Abuse of a Minor in Indian Country.
The charges arose from an investigation by the Sequoyah County Sheriff’s Office and the Federal Bureau of Investigation.
On June 30, 2022, a federal jury found Smith guilty at trial of Aggravated Sexual Abuse of a Child in Indian Country. During the trial, the United States presented evidence that Joshua Thomas Smith sexually abused a child under the age of twelve from December of 2017 through March of 2018.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted the case because the defendant is a member of a federally recognized Indian tribe and the crime occurred in Sequoyah County, within the boundaries of the Cherokee Nation Reservation, and within the Eastern District of Oklahoma.
The Honorable Bernard M. Jones, II, U.S. District Judge in the United States District Court for the Western District of Oklahoma, presided by assignment over the hearing in Muskogee. Thomas will remain in custody of the U.S. Marshal pending transportation to a designated United States Bureau of Prisons facility to serve his non-paroleable sentence of incarceration.
Assistant United States Attorney Edith A. Singer represented the United States.
United States Attorneys Office for the Middle District of Alabama Commemorates National Police Week 2023Read the Press Release
Montgomery, Alabama— In honor of National Police Week, United States Attorney Sandra J. Stewart recognizes the service and sacrifice of federal, state, local, and tribal law enforcement. This year, the week is observed May 14 through May 20.
“The safety and prosperity of our nation depends on the brave men and women who serve in law enforcement,” stated U.S. Attorney Stewart. “They watch over our communities, day after day, never knowing if they will make it back home at the end of their shifts. During this week, we take time to honor and recognize those we have lost and thank those that continue to serve. I strongly encourage all citizens to do just that, not only this week, but each week to come.”
In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), 226 law enforcement officers died nationwide in the line of duty in 2022.
Additionally, according to 2022 statistics reported by the Federal Bureau of Investigation through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 60 law enforcement officers who died in the line of duty in 2022 were killed as a result of felonious acts, whereas 58 died in accidents. Deaths resulting from felonious acts decreased 17.8% in 2022, when compared to the 73 officers who were killed as a result of criminal acts in 2021. Additional LEOKA statistics can be found on FBI’s Crime Data Explorer website for the LEOKA program.
Each year, hundreds of names of officers killed in the line of duty are engraved on the walls of the National Law Enforcement Officers Memorial in Washington, DC. The NLEOMF’s 35th Annual Candlelight Vigil on the National Mall in Washington, DC, memorializes the 556 fallen officers who sacrificed all for their communities. The schedule of National Police Week events is available on NLEOMF’s website.
Reference to any specific organization or service(s) offered by an organization is for the information and convenience of the public, and does not constitute endorsement, recommendation, or favoring by the United States Department of Justice.
Union County Man Admits Role in Scheme to Steal Mail, Commit Credit Card Fraud, and Defraud United StatesRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man today admitted his role in a scheme to receive stolen credit cards and pandemic relief debit cards sent through the mail, commit bank fraud, and defraud the U.S. Postal Service and the U.S. Department of the Treasury, U.S. Attorney Philip R. Sellinger announced.
Jarid Brooks, 29, of Vauxhall, New Jersey, pleaded guilty before U.S. District Judge Claire C. Cecchi to three counts of an indictment charging him with: one count of conspiracy to commit mail theft and bank fraud, and to defraud the U.S. Postal Service and U.S. Department of the Treasury; one count of receiving stolen mail; and one count of bank fraud.
According to documents filed in this case and statements made in court:
From July 2019 to Oct. 6, 2020, Brooks and his conspirators obtained credit cards stolen from the mail from a U.S. Postal Service letter carrier, fraudulently activated those credit cards, and then used them to make and attempt to make purchases without the cardholders’ authorization, including buying gift cards and electronics. The investigation to date has revealed that the victims have incurred approximately $70,000 in losses from fraudulent purchases made using their stolen credit cards. Brooks also schemed to fraudulently use over $13,000 of funds pre-loaded onto Economic Impact Payment (EIP) cards issued by the U.S. Department of Treasury and sent in the mail pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), that were also stolen from the mail. The CARES Act authorized EIP payments structured as one-time refundable tax credits to certain eligible taxpayers of $1,200 for individuals, $2,400 for married couples filing jointly, and up to $500 for each qualifying child. The goal of this part of their fraud was for the co-conspirators to unlawfully obtain the government funds pre-loaded onto these cards.
The conspiracy and possession of mail theft charges are each punishable by a maximum potential penalty of five years in prison and a maximum fine of up to $250,000. The bank fraud charge is punishable by a maximum potential penalty of 30 years in prison and a maximum fine of up to $1 million. Sentencing is scheduled for Oct. 12, 2023.
Brooks originally was charged with Justin Brooks, 23, Kyle Williams, 38, and Kyjuan Hutchins, 23, also of Vauxhall, in October 2020. Williams has pleaded guilty for his role in the conspiracy and was sentenced. Justin Brooks and Hutchins have pleaded guilty for their roles in the conspiracy and are awaiting sentencing.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Charles A. Nielsen, Philadelphia Division; special agents with the U.S. Postal Service – Office of Inspector General, under the direction of Special Agent in Charge Matthew Modafferi, Northeast Area Field Office; and special agents with the Office of the Treasury Inspector General for Tax Administration (TIGTA), under the direction of Special Agent in Charge Andrew McKay, with the investigation leading to today’s guilty plea. He also thanked the Union County Prosecutor’s Office, the Caldwell Police Department, the Fairfield Police Department, the Boonton Police Department, and the Millburn Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Elaine K. Lou, Chief of the Opioid Abuse Prevention and Enforcement Unit of the Criminal Division in Newark.
brooks.j.indictment.pdfU.S. Settles Lawsuit Alleging That Bronx Nursing Home Paid Kickbacks for Patient Referrals and Switched Residents’ Healthcare Coverage Without Their ConsentRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”), announced today that the United States has filed and settled a civil fraud lawsuit alleging that MORRIS PARK NURSING HOME (“MORRIS PARK”), a skilled nursing facility located in the Bronx, New York, engaged in two fraudulent and illegal schemes that violated the False Claims Act and the Anti-Kickback Statute. The first scheme involved cash payments made to a supervisor at a nearby hospital for patient referrals, and the second scheme involved switching residents’ Medicare coverage without their consent in order to increase the Medicare payments MORRIS PARK received. The United States’ complaint also names as defendants TZODIK WEINBERG, a/k/a “Justin Weinberg,” MORRIS PARK’s former Administrator, and MAIER ARM for their roles in the fraudulent conduct.
Under the settlement agreements approved by U.S. District Judge Jennifer H. Rearden, the estate of the owner of MORRIS PARK at the time of the conduct alleged in the Complaint will pay to the United States $2.85 million, WEINBERG will pay $495,000, and ARM will pay $115,000. Each defendant also made extensive factual admissions regarding their conduct. The settlement with the estate took into consideration MORRIS PARK’s prior voluntary self-disclosure of facts related to the improper changes made to residents’ insurance coverage.
U.S. Attorney Damian Williams said: “Morris Park and its former Administrator prioritized boosting Medicare payments above compliance with the law. They paid cash kickbacks to obtain patient referrals to fill empty beds and switched residents’ insurance coverage without properly obtaining the residents’ consent in order to increase the amount the facility was paid. This Office is committed to pursuing all violations of the Anti-Kickback Statute and other laws designed to ensure that medical decisions are based only on the patient’s best interest.”
HHS-OIG Special Agent in Charge Naomi Gruchacz said: “The misconduct that occurred at Morris Park exhibits the prioritization of profits over residents’ best interests. This nursing home paid illegal kickbacks to manipulate the resident referral process and changed patients’ health coverage selections without properly obtaining their consent, with no apparent concern for how these events could negatively impact residents. HHS-OIG and our fellow law enforcement agencies strive to ensure that entities furnishing services to Medicare enrollees are operating in accordance with federal health care laws.”
Medicare beneficiaries may enroll in Medicare Parts A and B, known as Original Medicare, or in Medicare Part C Advantage Plans (“MA Plans”), which are administered by private companies that contract with the government. Under Original Medicare, the Centers for Medicare & Medicaid Services (“CMS”) directly reimburses healthcare providers, like skilled nursing facilities, on a fee-for-service basis. In contrast, when reimbursing services provided under MA Plans, CMS pays Medicare Advantage Organizations (“MAOs”), which operate the MA Plans, a fixed, capitated amount each month for each Medicare beneficiary enrolled in the MA Plan. CMS advises individuals to consider various factors in deciding between enrolling in an MA Plan or Original Medicare, such as differences in out-of-pocket costs and doctor choice.
As alleged in the Complaint filed in Manhattan federal court:
It is well known within the skilled nursing facility industry that it is usually more profitable for the facility to admit residents enrolled in Original Medicare than in MA Plans. The defendants engaged in two fraudulent and illegal schemes to increase the number of Original Medicare residents at MORRIS PARK.
Payment of Cash Kickbacks for Patient Referrals
From January 1, 2017, through December 31, 2019, MORRIS PARK offered and paid remuneration in the form of cash payments, meals, and sports tickets to a Jacobi discharge planning supervisor (the “Jacobi Manager”) to induce her to refer Original Medicare beneficiaries for admission to MORRIS PARK. For much of this period, MORRIS PARK paid the Jacobi Manager $150 for each referred patient who was admitted to the facility. WEINBERG was responsible for delivering the cash payments personally to the Jacobi Manager, often arranging to meet her at a CVS parking lot close to MORRIS PARK. He regularly reached out to the Jacobi Manager to request patient referrals when MORRIS PARK had empty beds.
MORRIS PARK paid the Jacobi Manager a total of approximately $5,000 to $10,000 for referring dozens of Original Medicare patients for admission to MORRIS PARK. In addition, MORRIS PARK offered the Jacobi Manager tickets to Yankees games, invited her and her staff to a MORRIS PARK-sponsored holiday party, and frequently arranged for food to be delivered to her office.
Scheme to Switch Residents’ Medicare Coverage
From January 1, 2018, through December 31, 2019, MORRIS PARK, at the direction of WEINBERG, disenrolled residents from their self-selected MA Plans and enrolled them in Original Medicare without obtaining the consent of the residents or their authorized representatives. WEINBERG pressured MORRIS PARK staff to disenroll residents from their MA Plans.
MORRIS PARK staff approached residents, often at their bedside, to try to persuade them to switch their insurance coverage. When talking to residents and their families, MORRIS PARK staff typically did not fully explain how the change to Original Medicare would impact the resident’s coverage, including potential changes to the resident’s co-payments and deductibles; the potential loss of supplemental coverage available under the resident’s MA Plan; any resulting change in the resident’s drug plan; or limitations on when the resident could re-enroll in the plan after leaving MORRIS PARK. In most cases, the defendants switched residents’ insurance coverage without getting the residents or their family members to sign a consent form evidencing the resident’s consent to the insurance change. In certain instances, at the direction of WEINBERG, MORRIS PARK staff offered to reduce or waive the co-payments that would be owed by residents under Original Medicare in order to try to persuade them to agree to disenroll from their MA Plan.
In the summer of 2018, on WEINBERG’s recommendation, MORRIS PARK retained WEINBERG’s friend, ARM (who worked at another skilled nursing facility) to assist with the improper disenrollments. MORRIS PARK paid ARM a $1,000 fee for each resident whom ARM helped to switch to Original Medicare. ARM agreed to split this $1,000 fee with WEINBERG, so WEINBERG would pocket $500 for each resident who was disenrolled.
The settlement with the estate of the owner of MORRIS PARK at the time of the misconduct includes the following admissions of conduct:
- During the period from 2017 through 2019, MORRIS PARK offered to make, and in fact made, cash payments to the Jacobi Manager for each Original Medicare patient referral that resulted in an admission to the facility. For much of this period, the Jacobi Manager received the sum of $150 for each referral.
- During the period from 2017 through 2019, MORRIS PARK admitted dozens of Medicare patients who were referred to the facility by Jacobi.
- In order to persuade residents to disenroll from their MA Plans, in many instances, MORRIS PARK staff did not fully explain to residents and their families how a switch to Original Medicare would affect the resident’s coverage, including potential changes to the resident’s co-payments and deductibles and the potential loss of supplemental coverage that was available under the resident’s MA Plan. In some instances, MORRIS PARK staff offered inducements to residents or their family members to try to persuade them to agree to the disenrollment. For example, at the direction of WEINBERG, staff sometimes offered to reduce or waive the co-payments that residents would be required to pay starting on the 21st day of their stay at the facility if they switched to Original Medicare.
- In most cases, MORRIS PARK disenrolled residents from their MA Plans without obtaining from the resident or any family member a signed disenrollment form or any other document evidencing the resident’s consent to the insurance change. In several instances, MORRIS PARK disenrolled residents even after the residents and/or their family members had indicated they did not want to switch their Medicare coverage.
- Starting in early 2019, MORRIS PARK paid WEINBERG monthly cash bonuses if the average number of Original Medicare residents at the facility was maintained at a certain level for a given month. MORRIS PARK also paid bonuses to marketing and admissions staff members that were tied to the admission of new residents with Original Medicare.
As part of his settlement, WEINBERG admits, acknowledges, and accepts responsibility for the following conduct:
- Starting sometime in 2017, WEINBERG was responsible for delivering the cash payments personally to the Jacobi Manager. They texted to arrange a time and place to meet in person, often meeting at a CVS parking lot close to MORRIS PARK. WEINBERG reached out to the Jacobi Manager on numerous occasions to ask for patient referrals so he could fill empty beds at MORRIS PARK.
- During his time at MORRIS PARK, WEINBERG sought to maximize the number of residents who were enrolled in Original Medicare.
- Shortly after he became Administrator, WEINBERG directed MORRIS PARK’s staff to try to persuade many of the facility’s residents to disenroll from their MA Plans and to enroll in Original Medicare instead. WEINBERG identified residents who were candidates for disenrollment and then pressured staff to take steps to switch those residents’ insurance coverage.
- In the summer of 2018, WEINBERG contacted his friend, ARM, who worked full-time at another skilled nursing facility in the Bronx. WEINBERG asked ARM to assist with the disenrollment process at MORRIS PARK. MORRIS PARK reached an agreement with ARM under which MORRIS PARK would pay $1,000 to ARM for each MORRIS PARK resident whom ARM helped to disenroll from a Medicare Advantage Plan and enroll in Original Medicare. WEINBERG and ARM agreed that they would split this $1,000 payment, so that WEINBERG would receive $500 for each resident disenrolled. WEINBERG did not disclose this arrangement to MORRIS PARK.
- Once ARM was retained, the pace of disenrollments dramatically increased. WEINBERG continued to exert significant pressure on MORRIS PARK staff to disenroll as many residents from Medicare Advantage Plans as possible. In one instance in July 2019, WEINBERG directed the facility’s Financial Coordinator to disenroll a resident who clearly lacked the capacity to consent to a change in their insurance coverage. The Financial Coordinator asked WEINBERG “[h]ow do we do a dis enrollment” when the resident “is not alert” and has no family. WEINBERG responded: “We just do it.”
As part of his settlement, ARM admits, acknowledges, and accepts responsibility for the following conduct:
- ARM understood that MORRIS PARK would benefit from maximizing the number of residents who were enrolled in Original Medicare because the facility typically received a higher daily reimbursement rate for residents enrolled in Original Medicare as compared to MA Plans, and Original Medicare residents were often approved by Medicare for longer stays in the facility.
- ARM reached an agreement under which MORRIS PARK would pay $1,000 to ARM for each MORRIS PARK resident whom ARM helped to disenroll from a MA Plan and enroll in Original Medicare. WEINBERG asked ARM to split this $1,000 payment with him, so that WEINBERG would receive $500 for each resident disenrolled. ARM agreed. ARM did not disclose this arrangement to anyone else at MORRIS PARK.
- From August 2018 through December 2019, MORRIS PARK paid ARM $1,000 for each MORRIS PARK resident who was disenrolled from their MA Plan and enrolled in Original Medicare.
- Although ARM usually relied on MORRIS PARK staff to obtain and document the resident’s consent, he did not confirm that the resident had actually consented or signed the disenrollment form before processing the disenrollment.
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Mr. Williams thanked HHS-OIG for its assistance with the case.
This case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorney Jeffrey K. Powell is in charge of the case.
U.S. Resolves Civil Claims Against Medical Device Manufacturer for Falsely Claiming that Chinese Components Sold to the Federal Government Were American MadeRead the Press Release
PROVIDENCE – The United States has resolved civil claims against a Massachusetts medical device manufacturer for selling Chinese-made products to the federal government that were required by law to have been made in America, announced United States Attorney Zachary A. Cunha.
The civil settlement, reached with Zoll Medical Corporation, a supplier of medical devices and related technology that is headquartered in Chelmsford, Massachusetts, follows an investigation into allegations that, between January 2019 and November 2022, Zoll sold electrocardiogram cables (“ECG”), which are used with defibrillators and cardiac monitors, to federal government purchasers, including the U.S. Department of Defense, despite knowing that the cables were manufactured in China, rather than the United States. Under the federal Trade Agreements Act, goods sold to the military or federal government purchasers must be made in America or certain designated foreign countries; China is not such a country.
In addition, the government alleges that, in January of 2019, Zoll inaccurately represented to government officials that replacement ECG cables offered by Zoll to federal government purchasers had, in fact, been manufactured in the United States.
This settlement marks the third civil resolution obtained by the District of Rhode Island since 2022 that involves allegedly false representations concerning foreign-manufactured goods that were passed off to government purchasers as American-made; it also follows two successful criminal prosecutions by this office, individuals who had various roles in a conspiracy that directed the development, manufacture, and importation of $20 million worth of Chinese-made counterfeit U.S. military uniforms and gear that were passed off as genuine American-made products and sold to the U.S. government.
“When corporations choose to supply the American military and American government agencies with goods, the law is clear: we expect those goods to be American made,” said U.S. Attorney Cunha. “When companies fail in their legal duty by substituting foreign products for the U.S-origin goods that the law requires, we will hold them accountable.”
Under the terms of a civil settlement agreement with the United States, Zoll will pay $400,000 to the federal government to resolve claims based on this conduct under the common law doctrines of payment by mistake and breach of contract.
These allegations were brought to the government’s attention by Jing Zhang, a former Zoll employee, who filed a qui tam complaint on behalf of the United States in May of 2019, alleging that Zoll violated the False Claims Act. After an extensive investigation of the whistleblower’s allegations, the government has entered into its settlement of common law claims with Zoll as an alternate remedy under the False Claims Act.
Assistant U.S. Attorneys Bethany Wong and Dulce Donovan litigated the matter.
The case was investigated by the Food and Drug Administration Office of Criminal Investigations, Rhode Island Task Force; Department of Defense Office of Inspector General, Defense Criminal Investigative Service; Naval Criminal Investigative Service, Northeast Field Office; Army Criminal Investigation Division, Major Procurement Fraud Field Office; Air Force Office of Special Investigations, Procurement Fraud Detachment 6; Department of Veterans Affairs Office of Inspector General, Criminal Investigations Division, Northeast Field Office; Department of Homeland Security Office of Inspector General; and U.S. Dept. of Health and Human Services, Office of Inspector General, Boston Field Office.
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zoll_settlement_agreement.pdfU.S. Attorney Will Thompson Presents 2023 Law Enforcement AwardsRead the Press Release
CHARLESTON, W.Va. – United States Attorney Will Thompson honored more than 60 federal, state and local law enforcement professionals today for their outstanding contributions to investigations and cases in the Southern District of West Virginia.
The 2023 Law Enforcement Awards, presented during a ceremony at the Robert C. Byrd U.S. Courthouse in Charleston, recognize both invaluable assistance within specific categories of cases and office initiatives as well as overall exemplary service over the past year.
“These are the men and women who keep our communities safe. They represent the ideals of law enforcement,” Thompson said. “Through these awards, we particularly seek to honor collaborative efforts, in the way of joint investigations or partnerships formed to spearhead criminal justice initiatives.”
The annual awards ceremony is held in conjunction with National Police Week, which pays special recognition to those law enforcement officers who have lost their lives in the line of duty for the safety and protection of others. The names engraved on the National Law Enforcement Officer Memorial this year include that of Nicholas County Sheriff’s Deputy Thomas Edward Baker III. On June 3, 2022, Deputy Baker was fatally shot while he and other law enforcement officers responded to a domestic disturbance in the Birch River area.
Thompson led a moment of silence for Deputy Baker and other fallen law enforcement officers during the ceremony.
Law enforcement officers and organizations were honored in the following categories:
Category: Project Safe Childhood
Project Safe Childhood (PSC) is a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched by the Department of Justice in 2006. Led by U.S. Attorneys’ Offices, 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.
Outstanding PSC Case: U.S. v. Todd Christopher Roatsey (2:21-cr-235)
- Special Agent Terrance Taylor, HSI
- Computer Forensic Analyst Leland “Fred” Pickering, HSI
- Forensic Interview Specialist Candice Cooper, HSI
- Criminal Analyst Chris Powell, HSI
- Trooper First Class Michelle R. Shaffer, West Virginia State Police
Roatsey, a Kanawha County elementary school counselor, was sentenced to 25 years in prison for attempted production of child pornography and attempted enticement of a minor. Roatsey used the Snapchat instant messaging application to target multiple minor females. Roatsey knew several of the minor females through his position as a counselor at Pinch Elementary School. Roatsey also obstructed justice by deleting the Snapchat account he used to engage in these activities, after the U.S. Department of Homeland Security-Homeland Security Investigations (HSI) executed a search warrant at his residence and seized numerous electronic devices found to contain child pornography.
Category: White Collar Crime
Outstanding White Collar Crime Case: U.S. v. Kenneth Emeni et al. (3:21-cr-68)
- Sergeant Bradford S. Burner, West Virginia State Police
- Detective Jeremy Thompson, South Charleston Police Dept. (Task Force Officer)
- Postal Inspector Seth Summers, U.S. Postal Inspection Service
Nine defendants were convicted in connection with multiple internet-based fraud schemes that operated in the Huntington area and defrauded at least 200 victims from across the country, many of them elderly, of at least $2.5 million. Fraud scheme participants created false personas to establish romantic, friendship or business relationships with unwitting individuals via email, text messaging, online dating websites and social media platforms. The victims were persuaded to send money for a variety of false and fraudulent reasons for the benefit of the false personas. The defrauded funds were laundered for distribution among the defendants and others. Some of the defrauded funds were transferred overseas.
Category: Outstanding Drug Trafficking Cases
U.S. v. Scott Midkiff et al. (3:21-cr-109)
- Senior Supervisory Resident Agent Allen Davis II, Federal Bureau of Investigation
- Special Agent Georgia Marshall, FBI
- Special Agent Adam D. Bennett, FBI
- Special Agent Letisha Hartsough, FBI (Columbus, Ohio)
- Intelligence Analyst/Operational Support Technician Angie Botzet, FBI
- Detective Jared Cremeans, Cabell County Sheriff’s Office (TFO)
- Deputy Andrew Richmond, Cabell County Sheriff’s Office
- Deputy Russ Blank, Cabell County Sheriff’s Office
- Deputy C.J. Stewart Cabell County Sheriff’s Office
- Director Samuel L. Stowasser II, Cabell County Sheriff’s Office
- HCO Matthew Denning, Cabell County Sheriff’s Office
- Officer Evan Wilson, Hurricane Police Department (TFO)
- Officer Nate Campbell, Marshall University Police Department (TFO)
- Officer Matt Napier, Marshall University Police Department
- Officer Ethan Smith, Marshall University Police Department
- First Sergeant Lacy J. Deskins, West Virginia State Police
- Sergeant Sally Hatten, West Virginia State Police
- Corporal Kristy Adkins, West Virginia State Police
- Trooper Nate Rodgers, West Virginia State Police
All 19 defendants in this case were convicted and sentenced to prison for their roles in a drug trafficking organization (DTO) that distributed large amounts of fentanyl, methamphetamine, cocaine, cocaine base (also known as “crack”), oxycodone, and heroin in the Huntington area. Law enforcement officers seized more than 47 pounds of fentanyl, 6.5 pounds of methamphetamine, 4.5 pounds of cocaine and 2 pounds of heroin as well as 14 firearms and more than $335,000 in cash. Nine defendants were sentenced to five years or more in prison, including four who were sentenced to prison terms of 10 years or more.
U.S. v. Jermaine Williams et al. (2:21-cr-32)
- Special Agent Charles Tippett, Drug Enforcement Administration
- Special Agent Lance Lehnhoff, DEA
- Special Agent Anthony Brumfield, DEA
- Intel Research Specialist James Summers, DEA
- Intel Research Specialist Kristi Rhoda, DEA
- Special Agent Scott M. Smith, DEA (Detroit, Michigan)
- Resident Agent in Charge David Bullard, Bureau of Alcohol, Tobacco, Firearms and Explosives
- Deputy U.S. Marshal Marc Loretta, U.S. Marshals Service
- Corporal Adam Aldridge, Charleston Police Department
- Lt. Ryan Higginbotham, Charleston Police Department
- Corporal Jonathan Weaver, Charleston Police Department (TFO)
- Corporal Anthony Thomas, Charleston Police Department (TFO)
- Sergeant Jason Webb, Charleston Police Department
- Sergeant D.M. McMillan, West Virginia State Police
This investigation, dubbed “Woo Boyz,” disrupted a DTO with ties to the Bloods and Gangster Disciples criminal gangs. During the course of the nearly year-long investigation, law enforcement seized approximately 15 pounds of methamphetamine, more than $375,000 in cash, and 45 firearms including an IMI Industries Uzi fully automatic 9mm submachine gun. Members of this DTO were involved in or suspected of numerous shootings around Charleston but particularly on the West Side. A dozen defendants were sentenced to prison terms of between two years and 20 years and one month after pleading guilty to various felony offenses.
U.S. v. Carlo Ramsey et al. (2:21-cr-163)
- Detective Jonathan Casto, Williamstown Police Department
- Special Agent Matthew Yount, DEA
The case resulted from a nearly year-long investigation dubbed “Long Time Coming.” Six defendants were convicted and sentenced to prison for their roles in a DTO responsible for distributing methamphetamine, fentanyl, cocaine and marijuana in Parkersburg and elsewhere. The investigation also yielded more than a dozen arrests on state criminal complaints in Wood County.
U.S. v. Ramon David Alston et al. (2:21-cr-172)
- Special Agent Jennifer King, FBI
- Special Agent John Reese, FBI
- Special Agent Genevieve Baushke, FBI
- Forfeiture Investigator Dean Lauffer, FBI
- Intelligence Analyst Sarah Cole, FBI
- Staff Operations Rose Chestnut, FBI
- Resident Agent in Charge David Bullard, ATF
- Sergeant Jason Webb, Charleston Police Department
- Sergeant Jared Austin, St. Albans Police Department
- Detective Justin Raynes, Nitro Police Department
- Corporal Owen Morris, Charleston Police Department (TFO)
- Detective P. J. Hodge, Kanawha County Sheriff’s Office (TFO)
- Corporal Seth Johnson, Charleston Police Department (TFO)
- Corporal Wes Daniels, Charleston Police Department (TFO)
- Lieutenant Ryan Higginbotham, Charleston Police Department
- Corporal Adam Aldridge, Charleston Police Department
- Corporal Justin Jones, Charleston Police Department
- Detective Nigel Waller, Charleston Police Department
- Detective Dakota Dennison, South Charleston Police Department
- Detective David Harvey, South Charleston Police Department
This case resulted from an investigation that dismantled a large-volume DTO that operated primarily in the Charleston, Rand, and St. Albans areas of Kanawha County from March 2019 to September 2021. The DTO distributed more than 160 pounds of methamphetamine as well as quantities of fentanyl and other drugs. Law enforcement officers seized more than 12.3 pounds of methamphetamine, approximately 34 firearms, more than $86,000 in cash, and several vehicles including three motorcycles. The investigation also prevented a fatal drug overdose in St. Albans and several violent incidents, including a plan by four of the defendants to murder an individual on Charleston’s West Side on July 4, 2021. All 17 individuals indicted in the case were convicted.
Category: Project Safe Neighborhoods
Project Safe Neighborhoods (PSN) brings 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.
Outstanding Violent Crime Case: U.S. v. Kymoni Davis (3:20-cr-18)
- Special Agent Sean McNees, ATF
- Special Agent Jeff Baker, ATF
- Sergeant Steve Maniskas, Huntington Police Department
- Sergeant Paul Matovich, Huntington Police Department
- Detective Adrian Rosario, Huntington Police Department
- Officer Ernie Blackburn, Huntington Police Department
- Lieutenant Paul Minigh, Huntington Police Department
- Lieutenant Eddie Pritchard, Huntington Police Department
- Captain Stephen Compton, Huntington Police Department
- Corporal Kyle Quinn, Huntington Police Department
Davis was sentenced to eight years in prison for being a felon in possession of a firearm, after admitted to shooting into a Huntington club on January 1, 2020.
Davis had been ejected from the Kulture Hookah Bar during a New Year’s Eve party prior to midnight. Davis returned with a 9mm pistol and fired through the front door before fleeing the scene. Seven individuals were injured in the shooting. Surveillance video captured the shooting, and along with statements from witnesses helped to identify Davis. Spent casings at the scene collected by law enforcement officers were analyzed by the National Integrated Ballistics Information Network, or NIBIN, and determined to match with a firearm seized by Charleston Police officers in an unrelated investigation. Davis was arrested in the Detroit area several months later and returned to West Virginia.
Outstanding Violent Crime Case: U.S. v. Bisheem Jones (5:22-cr-46)
- Special Agent Jarrod C. Chittum, ATF
- Special Agent Jeff Goode, Internal Revenue Service, Criminal Investigation
- Special Agent Mark Pritt, IRS-CI
Nineteen individuals were convicted of various felony offenses after participating in a conspiracy led by Jones to traffic over 140 firearms from the Beckley area to Philadelphia, Pennsylvania.
Jones and his fellow gun traffickers and other co-conspirators recruited individuals from the Beckley area to straw purchase firearms on his behalf. Jones selected the firearms for these straw purchasers to buy and provided the money to purchase them. The straw purchasers falsely certified on the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Federal Firearms Transaction Records Form 4473 that they were the buyers of the firearms when they knew they were purchasing them for Jones and his trafficking conspiracy.
The conspirators took the firearms back to Philadelphia to sell for profit. Of the over 140 firearms trafficked in the conspiracy, approximately 45 have been recovered at crime scenes primarily in Philadelphia. Those have been connected to two homicides, crimes of domestic violence, and other violent offenses.
Category: Drug and Violent Crime Task Force of the Year
FBI Transnational Organized Crime West Task Force
Commander: Acting Senior Supervisory Resident Agent Adam D. Bennett, FBI
This award recognizes outstanding cooperative law enforcement efforts and endeavors that have significant and lasting community impact. This year’s award recognizes the task force’s investigative efforts in U.S. v. Scott Midkiff et al.
The TOC-West Task Force consists of officers with the Cabell County Sheriff’s Department, the Kanawha County Sheriff’s Department, the Charleston Police Department, the Beckley Police Department, the Hurricane Police Department and the Marshall University Police Department, with support from the West Virginia State Police, the Drug Enforcement Administration (DEA) and the Violent Crime and Drug Task Force West.
Category: Law Enforcement Officers of the Year
Special Agent Jarrod C. Chittum, ATF
Sergeant Bradford S. Burner, West Virginia State Police
Corporal Jonathan Weaver, Charleston Police Department
This award category recognizes federal, state, and local law enforcement officers whose work consistently stands out in significant cases and honors them for their commitment, dedication, and leadership by example.
About National Police Week and National Peace Officers Memorial Day
In 1962, President Kennedy proclaimed May 15 as National Peace Officers Memorial Day and the calendar week in which May 15 falls as National Police Week. Deputy Baker’s name is among 224 added this year of officers who were killed during 2022. An additional 332 names engraved in 2023 are of officers died in years previous to 2022. They include the names of nine officers with the McDowell County Sheriff’s Office killed in the line of duty between February 21, 1900, and October 5, 1933, and a McDowell County correctional officer killed on April 15, 1961. The full Roll Call of officers added to the National Law Enforcement Officer Memorial in 2023 is online: https://nleomf.org/wp-content/uploads/2023/04/roll-call-2023-FINAL-updated-4-21-23.pdf
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia.
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U.S. Attorney Sellinger to Hold Third Town HallRead the Press Release
NEWARK, N.J. – U.S. Attorney Philip R. Sellinger and members of his staff will meet with residents in Camden next week at the third in a series of planned town hall meetings. The town hall series is one initiative of U.S. Attorney Sellinger to engage directly with citizens’ concerns and ultimately to improve public safety in New Jersey.
The town hall will be held on Monday, May 22, 2023, doors opening at 6:00 p.m. with the program beginning promptly at 6:30 p.m. to 8:30 p.m. at Tabernacle of Faith Church of God in Christ, 115 N. 5th Street, Camden, New Jersey, 08102. U.S. Attorney Sellinger will discuss the work of his office in a variety of areas, encompassing federal civil rights enforcement, including bias and hate crimes, environmental justice, violent crime, opioid-related crime, and post-incarceration programs.
This is a community event and is open to the public.
Toledo man Sentenced to Prison for Receipt and Distribution of Child PornographyRead the Press Release
TOLEDO – Zachary Ryan Balusik, 41, of Toledo, Ohio, was sentenced on Tuesday, May 16, 2023, to 168 months in prison by U.S. District Judge James R. Knepp, after he pleaded guilty to receipt and distribution of child pornography. Balusik was also sentenced to a lifetime of supervised release, $100 special assessment and ordered to pay restitution of $12,000.
According to court documents, Balusik was identified entering online chat rooms that involved streaming videos depicting the sexual exploitation of children.
On February 23, 2022, a search warrant was executed at Balusik’s residence in Toledo, Ohio where electronic devices were seized and found to contain child pornography. This child pornography depicted prepubescent children. Balusik, who was a supervisory nurse at a local hospital, admitted to investigators that he had been downloading and viewing child pornography for more than ten years.
The investigation was conducted by the Federal Bureau of Investigation in Toledo, Ohio. This case was prosecuted by Assistant U.S. Attorney Tracey Tangeman and Department of Justice Trial Attorney Charles Schmitz.
Texas Man Sentenced for String of Nebraska Pharmacy BurglariesRead the Press Release
United States Attorney Steven Russell announced that Christopher Benjamin Blanton, 30, of Fort Worth, Texas, was sentenced today in federal court in Omaha, Nebraska, for his involvement in a string of pharmacy burglaries that occurred in Nebraska. United States District Judge Brian C. Buescher sentenced Blanton to 63 months’ imprisonment. There is no parole in the federal system. After his release from prison, Blanton will begin a three-year term of supervised release. Blanton was also ordered to pay $24,917 in restitution.
From February 10, 2021 to February 12, 2021, seven Nebraska pharmacies, located in Springfield, Fremont, and Omaha, were burglarized. In response, a DEA-led task force was formed, which included the Omaha Police Department and the Nebraska State Patrol. Court-authorized warrants were obtained for cell tower data in the area of the burglaries, that when compared, established that specific cell phones were present at the different burglaries. It was determined from the data that the cell phones were traveling between Texas and Nebraska via Interstate 35. With cooperation from law enforcement agencies in Texas, Oklahoma, Kansas, and Iowa, it was determined that two individuals involved in the pharmacy burglaries were Blanton and Christopher Williams.
Williams is scheduled to enter a plea of guilty on May 24, 2023.
“DEA takes the theft and diversion of pharmaceutical drugs seriously, as many prescription medications are highly addictive,” said DEA Omaha Division Special Agent in Charge Justin C. King. “This defendant was likely driven by the money he would get selling these drugs on the black market, but the cost to public health and safety is intolerable. By his thoughtless, criminal actions, he not only harms the individuals he’s selling to, but also the people who need those medications for legitimate medical reasons. DEA is dedicated to investigating these cases and ensuring access to prescriptions for those who need them.”
This case was investigated by the Drug Enforcement Administration, the Omaha Police Department, and the Nebraska State Patrol.
Texan admits to firearms offense linked to Matamoros murder of U.S. citizensRead the Press Release
BROWNSVILLE, Texas – A 42-year-old Harlingen resident has pleaded guilty to smuggling a firearm linked to the March 3 incident involving the murder and kidnapping of U.S. Citizens in Matamoras, Mexico, announced U.S. Attorney Alamdar S. Hamdani.
Roberto Lugardo Moreno Jr. pleaded guilty today to aiding the smuggling of a firearm into Mexico knowing it was intended for members of the Gulf Cartel.
Law enforcement learned from Mexican authorities that a pistol Moreno purchased Oct. 17, 2019, was linked to the March 3 incident. The investigation revealed Moreno had obtained the firearm at a pawn shop in Brownsville. Moreno admitted to purchasing the firearm on behalf of another person he knew was going to provide it to a Gulf Cartel figure in Mexico.
“All too often, firearms are trafficked into Mexico where they end up in the hands of criminals who use them to murder, rob and extort innocent people,” said Hamdani. “Moreno helped smuggle a firearm for criminals he knew were in the Gulf Cartel who then allegedly used it to murder and kidnap American citizens. This case is a textbook example of the dangers involved when criminals transport weapons into Mexico.”
U.S. District Judge Rolando Olvera will impose sentencing Aug. 9. At that time, Moreno faces up to 10 years in federal prison and a possible $250,000 maximum fine.
He has been and will remain in custody pending that hearing.
Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of the FBI and Drug Enforcement Administration. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
Assistant U.S. Attorneys Edgardo J. Rodriguez, Karen Betancourt, Israel Cano and Alejandra Andrade are prosecuting the case.
State Representative Pleads Guilty to Willfully Making False Statements on a Federal Income Tax ReturnRead the Press Release
Jackson, Miss. – A Mississippi State Representative pled guilty to willfully making a false material statement on a federal income tax return, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge James Dorsey of IRS Criminal Investigation’s Atlanta Field Office.
Earle S. Banks, Sr., 68, pled guilty today in U.S. District Court in Jackson. According to admissions by Banks, he failed to report more than $500,000 of income resulting from the sale of real property. Banks admitted that he was aware of his legal duty to report that income, and instead willfully failed to report that income to the IRS on a 2018 Form 1040X tax return. Banks also admitted that the United States Attorney’s Office has sufficient evidence to convict him at trial if he had decided to go to trial instead of pleading guilty. It is against federal law to intentionally file false income tax returns which deliberately report less income than a person actually received.
Banks is scheduled to be sentenced on August 21, 2023 and faces a maximum penalty of three years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The IRS is investigating the case.
St. Louis Man Sentenced to 57 Months in Prison for Armed Robbery and Attempted RobberyRead the Press Release
ST. LOUIS – U.S. District Judge Henry E. Autrey on Wednesday sentenced a St. Louis, Missouri man who robbed a St. Louis gas station convenience store at gunpoint and tried to rob another business to 57 months in prison.
On July 15, 2019, Kevin L. Gordon, 42, robbed the convenience store at 5003 Natural Bridge Avenue at gunpoint, taking the cash register. He left his gloves and his DNA behind, however.
On Sept. 19, 2019, Gordon walked into the King Grill grocery and restaurant at 3746 St. Louis Avenue, raised his shirt to show a pistol and threatened employees. He tried to steal money from the cash register but was thwarted by employees, who wrestled the cash register away from him.
Gordon pleaded guilty in February to two counts of robbery.
The case was investigated by the St. Louis Metropolitan Police Department and the FBI. Assistant U.S. Attorney Ryan Finlen is prosecuting the case.
St. Louis County Felon Caught with Guns Sentenced to 57 MonthsRead the Press Release
ST. LOUIS – U.S. District Judge Matthew T. Schelp on Wednesday sentenced a St. Louis County, Missouri felon caught with two guns to 57 months in prison.
Travis L. Robinson, 26, also agreed to forfeit an AR-15-style pistol and a .40 caliber Glock handgun. Both guns were found after Normandy police were called to an apartment building in the 4300 block of Walker Lane for a burglary in progress. A resident reported hearing kicking and prying noises.
Robinson and another man fled when police arrived. Robinson jumped out of a third-floor window, injuring himself. Officers found tools and tool marks on one of the apartment door locks. They found an Anderson Manufacturing AM-15 pistol with a 30-round magazine, the Glock and a 50-round drum magazine for the Glock in the burglars’ car. Robinson’s DNA was on both firearms.
Robinson pleaded guilty in February to one count of being a felon in possession of a firearm. Robinson was on supervised release at the time of the crime, having been sentenced in U.S. District Court in St. Louis in 2018 to 46 months in prison for being a felon in possession of a firearm. He also has committed a series of prior tampering and burglary offenses, a sentencing memo says.
The case was investigated by the Normandy Police Department and the FBI. Assistant U.S. Attorney Paul D’Agrosa prosecuted the case.
St. Charles County Business Owner Sentenced to Prison for Failing to Pay $3.4 Million in TaxesRead the Press Release
ST. LOUIS –A business owner from St. Charles County, Missouri on Thursday was sentenced Tuesday to 21 months in federal prison for using employees’ tax money for college tuition and mortgage payments on two houses.
U.S. District Judge Stephen R. Clark also ordered Jeffrey M. Bauza, 55, of Weldon Spring to pay back $1.4 million that he still owes in taxes.
Bauza owned the truck driving schools CDL Training Service & Consulting and CDL Training Services of Missouri at the time of the crime. Bauza was required by law to withhold income, Social Security and Medicare taxes from employee wages before turning them over to the Internal Revenue Service and file quarterly employment tax returns. He willfully failed to do so from 2012-2019.
Instead, he used part of the $2.3 million in income, Social Security and Medicare taxes that he’d withheld from his employees’ paychecks for college tuition for one of his children and for mortgage payments on his home as well as a vacation home in Florida. He also failed to pay $1 million in employer contributions to the IRS.
“Mr. Bauza was aware of his payroll tax obligations. But instead of paying the funds he withheld from employee paychecks to the IRS, he used them to pay for his primary residence, a vacation home in Florida, a luxury vehicle, and private university tuition”, said IRS Criminal Investigation Special Agent in Charge, Thomas F. Murdock. “Cases such as this harm innocent taxpayers and CI’s special agents will aggressively pursue these criminals to detect and stop this type of fraud.”
Bauza pleaded guilty in November to one count of willful failure to collect or pay tax.
IRS Criminal Investigation investigated the case. Assistant U.S. Attorney Gwendolyn Carroll is prosecuting the case.
Slidell Woman Sentenced for Theft of Federal Government FundsRead the Press Release
NEW ORLEANS – LINDA REED HILL (“HILL”), age 76, of Slidell, Louisiana, was sentenced on May 16, 2023 for Theft of Government Funds in violation of Title 18, United States Code, Section 641, announced United States Attorney Duane A. Evans.
According to documents filed in federal court, beginning on or about May 1, 2004, and continuing until on or about February 28, 2021, HILL did knowingly embezzle, steal, purloin, and convert to her use, money belonging to the United States and a department and agency thereof, namely the Social Security Administration, to which she knew she was not entitled, when she withdrew funds from a joint JP Morgan Chase account registered both under her own name and Individual “A’s” name.
Prior to April 28, 2004, Individual “A” received SSA Retirement Survivor Insurance (“RSI”). After the Individual “A’s” death, from approximately May 2004 to February 2021, Individual “A” continued to receive monthly SSA disability benefits in an amount ranging from $1,310.00 - $1,518.00 per month, totaling $319,696.00. These monies were then deposited by SSA into a joint JP Morgan Chase Savings account, shared by HILL and Individual “A”. The monthly SSA funds were thereafter taken from the joint account, transferred to two different accounts listed under HILL’s name, and withdrawn by HILL.
United States District Judge Greg G. Guidry sentenced HILL to four (4) years’ probation, restitution to the Social Security Administration in the amount of $319,696, and HILL was ordered to pay a $100 mandatory special assessment fee.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Social Security Administration, Office of Inspector General with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
Second Clerk Sentenced for Stealing from Struggling North St. Louis County MunicipalityRead the Press Release
ST. LOUIS – The former assistant city clerk of Flordell Hills, Missouri was sentenced Wednesday to a year and a day in federal prison for stealing $159,903 from the struggling city.
U.S. District Judge Rodney W. Sippel also ordered Donna Thompson, 76, to repay the money.
Thompson is the second former employee of Flordell Hills to be sentenced this week for stealing from the city, which is roughly six blocks square, has an annual budget of about $400,000 and a population of about 800. More than half of those residents live below the poverty line.
On Tuesday, Judge Sippel sentenced the former city clerk, Maureen Woodson, 68, to 18 months in prison and ordered her to repay the $487,673 that she stole.
Both women wrote roughly 614 city checks to themselves from about February 2016 to April 2022, forging the signature of the mayor and/or treasurer and either cashing the checks or depositing them into their personal bank accounts. The mayor, the treasurer and the board of aldermen had no knowledge of the checks being written on city accounts. Woodson and Thompson used the cash for personal expenses and gambled the rest away. On about 381 occasions, Woodson and Thompson used Flordell Hills funds to directly pay for their own personal expenses, by either writing checks or wiring city funds directly to third party vendors for entertainment, restaurants, home rental payments, and personal taxes owed to the Internal Revenue Service.
Due to the financial difficulties caused by the women’s embezzlement, city officials at times did not take salaries, Assistant U.S. Attorney Hal Goldsmith said. There was not enough money for road maintenance and other vital city services. Mayor Joe Noeth and other volunteers mowed overgrown areas of the city and cleared streets and roads when they were blocked by downed trees or limbs.
Woodson and Thompson were terminated in May of 2022, after the embezzlement was discovered. Woodson had been working at the city since 2010. Thompson was hired in 2012.
Woodson and Thompson each pleaded guilty in February to one count of mail fraud and one count of wire fraud.
The FBI investigated the case. Assistant U.S. Attorney Hal Goldsmith prosecuted the case.
Rosedale Man Sentenced to 30 Months in Federal Prison for a Conspiracy to Smuggle Firearms and Other Military Items from the United States to Assist Separatists Fighting Against the Government of CameroonRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Tamufor Nchumuluh St. Michael, age 42, of Rosedale, Maryland, yesterday to 30 months in federal prison, followed by two years of supervised release, for conspiracy and for violating the Arms Export Control Act by sending firearms, ammunition, and other military-type items from the United States to Nigeria without obtaining a license from the U.S. Department of State. The arms were intended to assist separatists fighting against the government of Cameroon.
The sentence was announced by Erek L. Barron, United States Attorney for the District of Maryland; Special Agent in Charge James C. Harris of Homeland Security Investigations (“HSI”) Baltimore; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) Baltimore Field Division; and Special Agent in Charge Christopher Dillard of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (“DCIS”) - Mid-Atlantic Field Office.
According to his plea agreement, from at least November 2017 continuing until July 19, 2019, St. Michael and his co-defendants conspired with each other and with others to export firearms, ammunition and other military type items from the United States to Nigeria. Between March 2018 and July 2019, St. Michael and his co-conspirators purchased, both over the internet and in person, large amounts of ammunition, ammunition reloading supplies, firearms, firearm parts and other military-type items, which were sent to St. Michael’s residence. St. Michael purchased at least 24 different rifles online, which he picked up at a firearms retailer in Essex, Maryland. In each case, he certified an ATF Firearms Transaction Form certifying that he was the actual transferee or buyer of the firearm. St. Michael knew the certificates were false because the guns were purchased to export overseas.
In December 2018, a shipping container with a 1989 Toyota truck inside was delivered to the street outside St. Michael’s residence. St. Michael and other co-conspirators loaded the container, secreting 38 firearms, 28 of which had the obliterated serial numbers, including sniper rifles, SKS assault rifles (some with bayonets), other rifles and several handguns. They also concealed 44 high-capacity magazines, two rifle scopes and over 35,000 rounds of ammunition in the container The conspirators concealed the firearms, ammunition, rifle scopes, and other items in duffle bags and heavily wrapped packages inside sealed compressor units, placing those items into the shipping container. The container was sent to the Port of Baltimore for export, departing on January 17, 2019, with a destination of Onne, Nigeria. Co-conspirator Tse Ernst Bangarie caused the electronic export information (“EEI”) to be filed with the Department of Commerce, listing the contents of the container as one Toyota Tundra truck, one 1989 Toyota truck, and “doors and frames.” The EEI also listed the U.S. Principal Party in Interest as an individual with the initials M.A.O. and a non-existent address. The telephone number listed for M.A.O. corresponded with a pre-paid cellular telephone. Bangarie knew that much of the information on the EEI was false and he intentionally did not include any mention of the firearms, ammunition and other items hidden in the container.
Approximately one month later, the shipping container was ordered returned to the Port of Baltimore and on May 20, 2019, law enforcement personnel in Baltimore unsealed the container and examined its contents. In addition to the trucks and what appeared to be the contents of an old schoolhouse, the defendants and their co-conspirators had concealed firearms, ammunition, rifle scopes, and other items in duffle bags placed in the trucks and in heavily wrapped packages inside sealed compressor units, in the shipping container. In all, law enforcement recovered from the shipping container 38 firearms, 28 of which had obliterated serial numbers. The guns included sniper rifles, SKS assault rifles (some with bayonets), other rifles and several handguns. There were 44 high-capacity magazines, two rifle scopes and over 35,000 rounds of ammunition, as well as military-type items, including boots, pepper spray, zip-tie style handcuffs, hydration packs, a “ghillie suit” designed to camouflage the wearer outdoors, and other items. The ghillie suit and other items still had shipping labels on them that were addressed to St. Michael at his residence on Golden Ring Road.
Between June 4, 2019 and June 12, 2019, St. Michael, who did not know that law enforcement had searched the container, contacted U.S. Customs and Border Protection (“CBP”) several times seeking information about the container’s status. St. Michael indicated to CBP officers that he was one of five people who had put the shipment together for export and that he had cargo in the container. Eventually he sent an email to the CBP officer, attaching copies of the dock receipt and titles for the two Toyota trucks found in the container.
As detailed in his plea agreement and other court document, on July 19, 2019, law enforcement executed a search warrant at St. Michael’s residence. The basement of the residence contained machinery and equipment for the manufacturing of firearms and re-loading of ammunition, as well as rifles, handguns, firearms parts and accessories, a silencer, rifle scopes, powder, and thousands of rounds of ammunition.
St. Michael admitted that he and his co-conspirators had intentionally hidden the firearms, ammunition, and military items in the container, that he knew the information on the EEI was false, that he knew neither he nor his co-conspirators had obtained the necessary licenses or authorizations from the Departments of State or Commerce to export the firearms or military items, and that he knew his actions violated the law.
Seven other members of the conspiracy pleaded guilty to their involvement in the conspiracy. Judge Bennett sentenced Godlove Nche Manchoe, Tse Ernst Bangarie and Edith Ngang each to 46 months of incarceration and two more are awaiting are awaiting sentencing. A jury convicted three other members for the conspiracy, transportation of firearms with obliterated serial numbers, and smuggling following a jury trial in May 2022. Judge Bennett has sentenced two of those individuals, Eric Fru Nji and Wilson Nuyila Tita, to 63 months of incarceration and the third, Wilson Che Fonguh, is awaiting sentencing.
United States Attorney Erek L. Barron commended HSI, the ATF and DCIS for their work in the investigation. Mr. Barron recognized the U.S. Department of Commerce, Office of Export Enforcement; the U.S. Department of State, Diplomatic Security Service; the Naval Criminal Investigative Service; and the U.S. Postal Inspection Service for their contributions to the investigation. U.S. Attorney Barron thanked Assistant U.S. Attorney Kathleen O. Gavin, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/community-outreach.
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Rochester Man Pleads Guilty to Wire Fraud for Falsifying Documents Submitted to the ArmyRead the Press Release
ROCHESTER, N.Y. -- U.S. Attorney Trini E. Ross announced today that Reginald Cannon, 55, of Rochester, NY, pleaded guilty before U.S. District Judge David G. Larimer to wire fraud, which carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorneys Richard A. Resnick and Kyle P. Rossi, who are handling the case, stated that Cannon is president of Burnett Process, Inc., a Rochester based company, which, in May 2015, received a five-year contract from the United States Army to produce M98 Gas Particulate Filters. These filters are used by the Department of Defense in a wide range of military systems, such as shelters, mobile hospitals, and US Navy ships, to protect military personnel from chemical, biological, radiological, nuclear, and explosives threats. As fresh air is coming into a system, the filters push out potentially toxic substances. If the filters are not functioning properly, contaminants can get in, putting military personnel at risk. The contract, which was signed by Cannon, required that Burnett Process submit a report certifying that the supplier of the filter paper used to manufacture the M98 Filters complied with the material specifications listed in the contract. The contract also required that Burnett Process use one of two companies located in the United States whose filter paper met strict military specifications for such filter paper, or another company if such filter paper was properly tested, passed all the military specifications included in the contract, and was approved by the Army.
In September and October 2019, the Army ordered 3,650 M98 Filters at a cost of $315,944. When manufacturing these filters, Burnett Process used much cheaper filter paper from a company located in China that had not been properly tested, had not met the material specifications set forth in the contract, and had not been approved by the Army. By using the untested and unapproved cheaper filter paper, Burnett Process’ total cost to manufacture the filters was less than it should have been, which resulted in more profits for Burnett Process. Despite knowing that the proper filter paper was not used, Gannon still certified to the Army that the filter paper used was from one of the two approved filter paper suppliers in the United States.
“Manufacturers doing business with the United States Military must be held accountable to uphold the standards and terms of the contracts they sign,” stated U.S. Attorney Ross. “Using components or parts that are not government approved, could result in harm to the members of our military. Partnering with our investigative agencies, we will prosecute all businesses that attempt to deceive the government by decreasing production costs to increase their profits.”
“There must be consequences for companies and individuals who not only defraud the U.S. government and taxpayers, but potentially put our warfighters at risk,” said Matthew Scarpino, Special Agent-in-Charge of Homeland Security Investigations Buffalo. “HSI will continue to leverage its unique investigative authorities to further these investigations along with our partners within the Department of Defense and Department of Justice.”
“Protecting the integrity of the Department of Defense procurement process and supply chain is a priority for the DoD Office of Inspector General’s Defense Criminal Investigative Service (DCIS),” stated Special Agent-in-Charge Patrick J. Hegarty, DCIS Northeast Field Office. “We will continue to work with the Department of Justice and our law enforcement partners to hold individuals and companies accountable for providing substandard, substituted products to the U.S. military.”
“We are very pleased with today's announcement,” said Special Agent-in-Charge Scott Moreland of the Department of the Army Criminal Investigation Division’s Major Procurement Fraud Field Office. “This is a true testament to our continued commitment to work closely and seamlessly with our outstanding fellow law enforcement agencies to bring those to justice who attempt to defraud the U.S. Government and U.S. Army.”
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino, the Department of Defense, Office of Inspector General’s, Defense Criminal Investigative Service, under the direction Special Agent-in-Charge Patrick J. Hegarty, Northeast Field Office, and the U.S. Army Criminal Investigation Division Command, Major Procurement Fraud Unit, under the direction of Special Agent-in-Charge Scott Moreland.
Sentencing is scheduled for August 30, 2023, at 2:00 p.m. before Judge Larimer.
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Readout of Associate Attorney General Vanita Gupta’s Meeting with Members of European Parliament to Discuss Women’s RightsRead the Press Release
Today, Associate Attorney General Vanita Gupta participated in a meeting with a delegation from the European Parliament’s Committee on Civil Liberties, Justice and Home Affairs (LIBE), alongside attendees from the White House Gender Policy Council and the U.S. Department of State. The convening, which featured representatives from Belgium, Croatia, France, Germany and Spain, was hosted by the State Department.
During the discussion, the Associate Attorney General highlighted how the Justice Department has collaborated with its federal partners to protect reproductive rights and counter gender-based violence. The group discussed how, under Attorney General Merrick B. Garland, the Justice Department established the Reproductive Rights Task Force, chaired by Associate Attorney General Gupta, as a whole-of-department effort to safeguard federal protections of reproductive rights in the aftermath of the Supreme Court’s decision in Dobbs v. Jackson Women’s Health Organization.
Today’s meeting takes place during National Women’s Health Week, which is observed May 14 - 20, and continues the department’s engagement with our international allies on gender-related issues. In early March, the Associate Attorney General hosted a delegation from the European Parliament’s Committee on Women’s Rights and Gender Equality (FEMM). Moving forward, the department remains committed to working closely with our international allies to safeguard and strengthen the rights of all women.
Associate Attorney General Vanita Gupta (right) with Director Margaret Pollack of the Office for the Bureau of Population, Refugees, and Migration’s Office of Multilateral and External Coordination at the U.S. State Department (far left); Senior Advisor Varina Winder for the U.S. State Department’s Office of Global Women’s Issues (left center); and Director Jennifer Klein of the White House Gender Policy Council (right center) as they discuss relevant issues with members of the European Parliament. Associate Attorney General Vanita Gupta speaks with representatives from the European Parliament, U.S. Department of State and White House Gender Policy Council.Postal Service Supervisor Charged with Misappropriation of Postal FundsRead the Press Release
CAMDEN, N.J. – A Cape May County, New Jersey, man was arrested for misappropriation of postal funds, U.S. Attorney Philip R. Sellinger announced today.
Austin T. Mahan, 42, of Cape May Court House, New Jersey, is charged by complaint with misappropriating approximately $65,000 in postal funds. Mahan appeared before U.S. Magistrate Judge Ann Marie Danio in Camden federal court on May 16, 2023, and was released on $50,000 unsecured bond.
According to documents filed in this case and statements made in court:
For approximately six months in 2022 and 2023, Mahan, who worked as a U.S. Postal Service (USPS) supervisor at the Sea Isle and Somers Point Post Offices at various times, misused USPS credit cards to make personal purchases at various retail stores in and around New Jersey. These purchases included tens of thousands of dollars’ worth of gift cards as well as various home décor items, home renovation materials, power and handheld tools, tool storage equipment, and personal items such as a Dyson cordless vacuum, LED fog light bulbs for Mahan’s personal vehicle, batteries, shampoo, shaving cream, food products and other items.
The charge of misappropriating postal funds is punishable by a maximum of 10 years in prison and a maximum potential fine of the greater of $250,000 or a sum equal to the amount of value of the money or property misappropriated from the offense.
U.S. Attorney Sellinger credited agents of the USPS, Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, with the investigation leading to the complaint.
The government is represented by Assistant U.S. Attorney Sara A. Aliabadi of the Special Prosecutions Division in Camden.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
mahan.complaint.pdfPinckneyville Correctional Officers Indicted for Excessive Force and Obstruction of JusticeRead the Press Release
EAST ST. LOUIS, Ill. – On Tuesday, a federal grand jury returned a five-count indictment charging three correctional officers employed at Pinckneyville Correctional Center for civil rights violations and conspiring to falsify reports about the incident.
Cord A. Williams, 35, Christian L. Pyles, 25, and Mark C. Maxwell, 52, are charged in the indictment. Williams and Pyles were indicted for violation of civil rights under color of law, conspiracy to obstruct justice, and obstruction of justice. The indictment alleges that on April 24, 2022, correctional officers Williams and Pyles beat an inmate who was fully restrained with his hands cuffed behind his back and secured in leg irons. Maxwell is charged with a separate civil rights violation. That count alleges Maxwell was working as an acting lieutenant when he failed to intervene and allowed the inmate to be beaten in his presence.
As part of their official duties, correctional officers are required to write incident reports to accurately document any unusual incidents that they observe or are reported to them, including disturbances or the use of force. The conspiracy count alleges that Williams and Pyles colluded with other officers to file false reports about the incident. Williams and Pyles are separately charged with obstruction of justice for filing their false reports.
Deprivation of civil rights under color of law is punishable by up to 10 years’ imprisonment. Conspiracy to obstruct justice is punishable by up to 5 years’ imprisonment. Obstruction of justice is punishable by up to 20 years’ imprisonment. Each count also carries a possible fine of up to $250,000 and up to three years of supervised release.
“Accusations of unlawful misconduct by correctional officers must be investigated in order to protect the integrity of the criminal justice system,” said U.S. Attorney Rachelle Aud Crowe.
An indictment is merely a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The Illinois State Police are leading the investigation, and Assistant U.S. Attorney Steven D. Weinhoeft is prosecuting the case.Pelahatchie Man Sentenced to over Six Years in Prison for Trafficking HeroinRead the Press Release
Jackson, Miss. – A Pelahatchie man was sentenced to 78 months in prison for possession with intent to distribute heroin, announced U.S. Attorney Darren J. LaMarca, Special Agent in Charge Brad L. Byerley of the Drug Enforcement Administration, and Director Steve Maxwell of the Mississippi Bureau of Narcotics.
According to court documents, John “Mo Money” Moore, 55, possessed heroin with the intent to distribute it on four separate occasions in 2017 and 2018. A joint federal and state investigation resulted in the conviction of Moore in connection with the distribution of large amounts of heroin over several months. Moore supplied heroin to Erica Rhodes of Forest, Mississippi. Rhodes distributed and sold the heroin on multiple occasions in Pelahatchie and in the Jackson metropolitan area.
In January 2023, a jury convicted Moore after a trial in U.S. District Court in Jackson. Rhodes was convicted in Rankin County Circuit Court and received a 15-year sentence for her role in the drug trafficking operation.
The case was investigated by the Drug Enforcement Administration, the Mississippi Bureau of Narcotics, the Rankin County District Attorney’s Office, the Rankin County Sheriff’s Office, the Scott County Sheriff’s Office, the Ridgeland Police Department, the Pearl Police Department, the Flowood Police Department, the National Guard Counter Drug Unit, the Hinds County Sheriff’s Office, and the Jackson Police Department.
Assistant U.S. Attorneys Carla J. Clark and Charles W. Kirkham are prosecuting the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. 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.
Passenger admits meth trafficking, gun crimes after attempted traffic stop led to shooting of Great Falls police officerRead the Press Release
GREAT FALLS — A woman passenger today admitted to methamphetamine trafficking and firearm crimes after the driver allegedly shot and wounded a Great Falls police officer during an attempted traffic stop in March, U.S. Attorney Jesse Laslovich said.
Nikki Marie Snell, 38, of Harlem, pleaded guilty to possession with intent to distribute meth and to prohibited person in possession of a firearm as charged in a superseding information. Snell faces a mandatory minimum of five years to 40 years in prison, a $5 million fine and at least four years of supervised release on the drug crime and a maximum of 10 years in prison, a $250,000 fine and three years of supervised release on the firearm crime.
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. 19. Snell was detained pending further proceedings.
In court documents, the government alleged that in July 2022, the Russell Country Drug Task Force in Great Falls learned that Snell was trafficking meth in the community and either supplied other distributors or distributed it herself. In August 2022, agents twice obtained meth from Snell through another individual.
The government further alleged that on March 7, Great Falls police officers attempted a traffic stop of a car from Billings, but the car fled. Officers did not pursue but looked in the area for the vehicle and its occupants. Officers found the car and saw a man, later identified as the driver, and Snell, the passenger, walking away from it. Snell stopped and complied with the officers, while the driver ran away while carrying a brown purse. An officer chased the driver, who shot the officer numerous times, wounding him. During the pursuit and shooting, the driver dropped the purse. Officers recovered the purse and found a 9mm semi-automatic handgun inside. The handgun was a different firearm from the one used in the shooting. Snell admitted that the recovered purse was hers and that she knew it contained the handgun. Snell has a prior federal felony conviction for assault and was prohibited from possessing firearms.
Assistant U.S. Attorney Jessica A. Betley is prosecuting the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations, Montana Division of Criminal Investigation and Great Falls Police Department conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Paducah Resident Sentenced to over 12 Years in Federal Prison for Methamphetamine and Firearm ChargesRead the Press Release
Paducah, KY – A Paducah man was sentenced to federal prison yesterday for methamphetamine distribution and possession of a firearm by a convicted felon.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division, Commissioner Phillip Burnett, Jr. of the Kentucky State Police, Chief Jason Newby of the Hopkinsville Police Department, Sheriff Ryan Norman of the McCracken County Sheriff’s Office, and Sheriff Brent White of the Lyon County Sheriff’s Office made the announcement.
According to court documents, Trevion Clary, 31, was sentenced to 12 years and 6 months in prison, followed by a 5-year term of supervised release, for two counts of possessing with the intent to distribute more than 50 grams of methamphetamine, one count of possessing with the intent to distribute more than 50 grams of a methamphetamine mixture, and possession of a firearm by a convicted felon. There is no parole in the federal system.
“I commend the work of our federal and state partners in this case as well as the collaborative effort of KSP, the Hopkinsville Police Department, the McCracken County Sheriff’s Office, and the Lyon County Sheriff’s Office,” stated U.S. Attorney Bennett. “Western Kentucky state and local law enforcement professionals are force multipliers and key to our ability to effectively enforce federal law. Real law enforcement collaboration results in safer communities for the citizens of the Western District.”
The case was investigated by the ATF Paducah Satellite Office, the DEA Paducah Post of Duty Office, the Kentucky State Police, the Hopkinsville Police Department, and the McCracken County Sheriff’s Office with assistance from the Lyon County Sheriff’s Office.
Assistant U.S. Attorney Seth Hancock, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. effective
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Paducah Man Sentenced to 14 Years in Federal Prison for Methamphetamine and Firearm OffensesRead the Press Release
Paducah, KY – A Paducah man was sentenced yesterday for charges related to methamphetamine distribution and for possession of a firearm by a convicted felon.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division and Sheriff Ryan Norman of the McCracken County Sheriff’s Office made the announcement.
According to court documents, James Russell “Rusty” Hayden, 51, of Paducah, was sentenced to 14 years, followed by a 5-year term of supervised release, for conspiring to distribute methamphetamine, possessing methamphetamine with the intent to distribute it, and possession of a firearm by a convicted felon. There is no parole in the federal system.
The case was investigated by the DEA Paducah Post of Duty Office and the McCracken County Sheriff’s Office, with assistance from the Marshall County Sheriff’s Department and the ATF.
Assistant U.S. Attorney Seth Hancock, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
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Orange County, NY, Man Pleads Guilty to Threatening A State Official and A Federal JudgeRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Daniel DeGroat, 30, of Middletown, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. mailing threatening communications to a United States judge. The charge carries a maximum penalty of 10 years in prison, and a $250,000 fine.
Assistant U.S. Attorneys Franz M. Wright and Jonathan P. Cantil, who are handling the case, stated that in November 2020, DeGroat was incarcerated at Wende Correctional Facility in Alden, NY. On November 3, 2020, he mailed an envelope from the correctional facility addressed to Victim 1, a United States Judge, which contained a letter threatening to injure Victim 1 and her spouse. DeGroat stated that he hoped to infect Victim 1 with the Coronavirus and terrorize her, and he hoped Victim 1 and her husband died after being infected by the Coronavirus. Also, on November 3, 2020, DeGroat mailed an envelope to Victim 2, a New York State Department of Corrections Official. That letter included threats to injure Victim 2, as well as Victim 2’s spouse. In July 2021, the FBI positively identified DeGroat’s DNA on both letters.
The plea is the result of an investigation by the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia; and the U.S. Marshals Service, under the direction of Marshal Charles Salina.
Sentencing is scheduled for September 15, 2023, before Judge Sinatra.
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Omaha Man Sentenced for Felon in Possession of a FirearmRead the Press Release
United States Attorney Steven Russell announced that United States District Court Judge Brian C. Buescher sentenced Lugene Burnett, 59, of Omaha, Nebraska, to 21 months’ incarceration for Felon in Possession of a Firearm. There is no parole in the federal system. After his release from prison, Burnett will serve a 3-year term of supervised release.
On May 18, 2022, Burnett went to Sol’s Jewelry and Loan and pawned a Savage Arms Springfield 120A .22L rifle for $45. On May 13 and May 22, 2022, Burnett also pawned ammunition at Sol’s. During the transactions, Burnett’s driver’s license was copied, his fingerprints were taken, he was photographed, and he signed documents completing the transaction. The rifle was examined by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and was determined to have traveled in interstate commerce prior to Burnett’s possession. The Omaha Police Department investigated the history of the firearm and determined that the firearm belonged to Burnett’s girlfriend’s great uncle who had passed away. Burnett’s girlfriend was present in the pawnshop during the transactions, but Burnett was the one handling the firearm and ammunition and completing the transactions.
Prior to May 13, 2022, Burnett had been and knew he had been convicted of felonies to include Sexual Abuse in the Second Degree and Sexual Abuse in the Third Degree in Iowa and Sex Offender Registration and Notification Act Violation in Nebraska.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partner: Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Omaha Police Department. For more information about Project Guardian, please see www.justice.gov/archives/ag/about-project-guardian.
North Dakota man sentenced to prison for armed fentanyl trafficking in Great Falls areaRead the Press Release
GREAT FALLS — A North Dakota man who admitted to trafficking fentanyl in the Great Falls community after law enforcement found hundreds of fentanyl pills and a loaded firearm in a vehicle he was driving, was sentenced today to five years and six months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Kelly Sterling Wait, 45, of Williston, North Dakota, pleaded guilty in January to possession with intent to distribute controlled substances.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that in October 2022, Russell Country Drug Task Force agents surveilling a motel room in Great Falls observed Wait and an associate leave the room, get into a vehicle and drive a short distance. Law enforcement officers stopped the vehicle, which Wait was driving. Wait had a loaded 9mm pistol in his immediate possession, 186 fentanyl pills and more than $3,000 in cash. Officers found additional fentanyl pills in the trunk and passenger seat area.
Assistant U.S. Attorney Ethan R. Plaut prosecuted the case, which was investigated by the Russell Country Drug Task Force, Homeland Security Investigations, Bureau of Alcohol, Tobacco, Firearms and Explosives, Montana Highway Patrol and Great Falls Police Department.
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Normal, Illinois, Woman Pleads Guilty to Illegally Purchasing Firearm Used to Shoot and Kill Champaign Police OfficerRead the Press Release
PEORIA, Ill. – A Normal, Illinois, woman, Regina Lewis, 28, of the 1200 block of Major Street, pleaded guilty on May 16, 2023, to conspiracy to illegally purchase and transfer a firearm and conspiracy to engage in misleading conduct. Sentencing for Lewis has been scheduled on October 2, 2023, at the U.S. Courthouse in Urbana, Illinois.
In court before U.S. Magistrate Judge Jonathan E. Hawley, Lewis admitted that she conspired with co-defendant Ashantae Corruthers and Darion M. Lafayette, now deceased, to purchase and transfer a firearm to Lafayette, who could not legally purchase a firearm himself because he was a convicted felon. Such a transaction is commonly known as a “straw purchase.” During the hearing, the government stated that, on November 17, 2020, at the direction of Lafayette and Lewis, Corruthers purchased a Glock 48, nine-millimeter, semi-automatic pistol and Sellier & Bellot, nine-millimeter ammunition, from a federal firearms licensee (FFL) in Indianapolis. During the purchase, Corruthers falsely certified on an ATF form that she was the actual buyer of the firearm, when in fact, she purchased the firearm for Lafayette and transferred it to him.
Lewis further admitted that she conspired with Corruthers and Lafayette to cover up the discovery of their illegal purchase and transfer of the firearm by having Corruthers falsely report to the Indianapolis Metropolitan Police Department on April 26, 2021, that the Glock pistol was stolen from her around March of 2021. The government stated that, approximately twenty-three days after Corruthers falsely reported the firearm stolen, Lafayette used the firearm to shoot and kill Champaign Police Officer Christopher Oberheim in Champaign, Illinois. Lewis admitted that she and Corruthers continued the cover-up after Oberheim’s death by agreeing to have Corruthers falsely tell an ATF Special Agent investigating the officer-involved shooting that she purchased the gun for herself, that it was stolen from her in March of 2021, and that she did not know Lafayette.
Lewis remains in the custody of the U.S. Marshals Service pending sentencing.
Lewis faces statutory penalties of up to five years in prison for conspiracy to illegally purchase and transfer a firearm and up to twenty years in prison for conspiracy to engage in misleading conduct. Each charge also carries a penalty of up to three years of supervised release and up to a $250,000 fine. The trial of Corruthers is scheduled to begin on June 27, 2023, in Urbana, Illinois.
The case investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Supervisory Assistant U.S. Attorney Eugene L. Miller is representing the government in the prosecution.
New York Man Sentenced to 33 Months in Money Laundering CaseRead the Press Release
GREENSBORO, N.C. - A resident of New York was sentenced to 33 months of imprisonment and three years of supervised release after a federal jury convicted him of conspiracy to commit money laundering, announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina.
KAODICHIMMA OKECHUKWU ANYANWU of Valley Stream, New York, was sentenced to a 33-month term of imprisonment by the Honorable William L. Osteen, Jr., United States District Judge in the United States District Court for the Middle District of North Carolina. In addition to prison time, ANYANWU was ordered to serve three years of supervised release and pay a special assessment of $100.00.
According to court filings and evidence at trial, the case involved a business email compromise, which was an act of wire fraud, and a group of individuals who subsequently laundered the proceeds of that crime. A business email compromise or “BEC” is a cyber fraud scheme through which criminals target companies, large and small, that frequently transfer money by wires. In the typical BEC scheme, criminals use information obtained through a computer intrusion or social engineering to send spoofed emails or other phishing emails in an effort to trick the company’s employees into conducting unauthorized and unintended transfers of funds. Once the victim of the BEC transfers money to the criminal network, individuals who receive ill-gotten gains from these types of crimes frequently open bank accounts in the names of shell companies, fictitious identities, or stolen identities in an attempt to distance their true selves from being associated with the crime.
In this case, according to court filings and evidence at trial, ANYANWU’s co-conspirators obtained approximately $660,766 through a BEC that victimized a public university located within the Middle District of North Carolina. ANYANWU, who was born in Nigeria, laundered approximately $67,921 of that money through a bank account ANYANWU held in the name of an alias.
A federal jury convicted ANYANWU after a week-long trial.
“Business email compromises like the one in this case continue to threaten organizations and institutions across the United States,” said United States Attorney Hairston. “Alongside our law enforcement partners, we will continue to pursue the criminals who, here or abroad, participate in any way to further these conspiracies.”
The investigation was undertaken by Federal Bureau of Investigation and was prosecuted by Assistant United States Attorneys Tanner Kroeger and Nicole DuPré.
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New Orleans Man Indicted for Arson and Possession of Destructive DevicesRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced today the unsealing of a two-count indictment returned on May 5, 2023, that charged RICKY WILSON, age 29, a resident of New Orleans, Louisiana, for violation of the National Firearms Act.
WILSON is charged in Count One with arson in violation Title 18, United States Code, Section 844(i)(1) and in Count Two with possession of destructive devices, identified as incendiary devices commonly known as Molotov cocktails, in violation of Title 26, United States Code, Section 5861(d).
As to Count One, WILSON faces a term imprisonment of not less than 5 years and a maximum term of not more than 15 years, a fine of up to $250,000, and up to 3 years of supervised release; as to Count Two, he faces a maximum term of imprisonment of 10 years, a fine of up to $10,000, and up to 3years of supervised release. Each count carries a mandatory special assessment fee of $100.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Jefferson Parish Sheriff’s Office. Assistant United States Attorney Mark A. Miller of the Violent Crimes Unit is assigned the prosecution.
New Jersey Man Indicted for Passing over $2,600 in Counterfeit Currency at Stores in Lackawanna, Lycoming and Columbia CountiesRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Brandon Williams, age 35, of Mercer County, New Jersey, was indicted yesterday by a federal grand jury on charges of passing counterfeit federal reserve notes.
According to United States Attorney Gerard M. Karam, the indictment alleges that on April 20, 2022, Williams and an unidentified female co-conspirator passed $1,400 in counterfeit bills at the Michaels store in Dickson City and $750 in counterfeit bills at the CVS Pharmacy located on Green Ridge Street in Scranton. On April 23, 2022, Williams passed $280 in counterfeit bills at the Walmart in Montoursville, $160 in counterfeit bills at the Weis Market in Montoursville and attempted to pass additional counterfeit bills at the Dollar Tree in Bloomsburg but was unsuccessful.
The charges resulted from an investigation conducted by the United States Secret Service, the Dickson City Police Department, the Scranton Police Department, the Montoursville Police Department, and the Hemlock Township Police Department. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
The maximum penalty under federal law for each charge is 20 years of 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 and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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