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Wednesday 5 April 2023
Final Defendant Sentenced for Million-Dollar Credit Card Fraud Scheme Involving Arlington Coffee ShopRead the Press Release
ALEXANDRIA, Va. – Two Washington D.C. women and a Clinton, Maryland, man were sentenced for their roles in a conspiracy to commit bank fraud.
According to court documents, from at least May 2016 until Oct. 2016, Adiam Berhane, 50, conspired to carry out a fraud scheme with Tiffany Younger, 51, and Keith Lemons, 56, involving stolen credit card information that was used to purchase gift cards, expensive luxury goods, and other items from local retail stores. Berhane would obtain stolen identities of residents of the Washington, D.C. metropolitan area and elsewhere for the creation of fraudulent credit cards. The fraud caused over hundreds of thousands of dollars in losses to area retailers and financial institutions.
Younger and Lemons were recruited by Berhane to make purchases using fraudulent credit cards. As part of the scheme, items purchased with victims’ credit card information would sometimes be returned for refunds to bank accounts that Berhane controlled. In addition to fraudulently purchasing items and receiving fraudulent refund proceeds to her bank accounts, Berhane used fraudulent payment cards to purchase gift cards at retail stores which were then redeemed at her business, Caffe Aficionado, in Arlington. More than a third of Caffe Aficionado’s income from June 2013 to July 2016 came from a pattern of highly unusual redemptions of American Express gift cards, with the pattern beginning several months before Caffe Aficionado opened in approximately October 2013.
Following a December 2022 jury trial, Berhane was convicted of multiple charges of conspiracy to commit bank fraud, bank fraud, trafficking in unauthorized access devices, aggravated identity theft, unlawful possession of 15 or more access devices, and possession of access device-making equipment with intent to defraud.
On March 15, Berhane was sentenced to 10 years in prison for her role in the conspiracy. On March 15, Lemons was sentenced to time served and six months of home confinement for his role. On April 5, Younger was sentenced to 2 years of probation.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Andy Penn, Arlington County Chief of Police, made the announcement after sentencing by Senior U.S. District Judge Anthony J. Trenga.
This case was prosecuted with the assistance of the Montgomery County Police Department, the FBI Cyber Task Force, the U.S. Postal Office of the Inspector General, the U.S. Secret Service, and the U.S. Capitol Police.
Assistant U.S. Attorneys Bibeane Metsch and Jonathan S. Keim prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 1:20-cr-25, 1:22-cr-9, and 1:21-cr-27.
Federal Court Orders Forfeiture of $826K in Funds Used in Attempt to Export Dual-Use High Precision Jig Grinder to RussiaRead the Press Release
An investigation into the attempted smuggling of a dual-use export-controlled item to Russia in violation of United States export laws and regulations has resulted in the forfeiture of approximately $826,000.
U.S. Attorney Vanessa Roberts Avery; Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division; Andrew Adams, Director of Task Force KleptoCapture; Acting Special Agent in Charge Michael J. Krol of Homeland Security Investigations (HSI), New England; Special Agent in Charge Rashel D. Assouri of the U.S. Department of Commerce’s Office of Export Enforcement, Boston; and Special Agent in Charge Robert Fuller of the FBI New Haven Division made the announcement.
As alleged in court documents and statements made in court, beginning in 2018, operators of a Latvia-based corporation conspired with the operator of By Trade OU, an Estonia-based company, as well as individuals in Russia and a Russia-based company, to violate U.S. export laws and regulations and smuggle a jig grinder that was manufactured in Connecticut to Russia. A jig grinder is a high-precision grinding machine system that does not require a license to export to European Union countries, but does require a license for export and reexport to Russia because of its potential application in nuclear proliferation and defense programs. At no time did the defendants apply for, receive or possess a license of authorization from the U.S. Department of Commerce to export or reexport the jig grinder to Russia, as required by the Export Control Reform Act of 2018 and the Export Administration Regulations (“EAR”), which restrict the export of items that could make a significant contribution to the military potential of other nations or that could be detrimental to U.S. foreign policy and national security.
U.S. authorities, working with Latvian authorities, intercepted the jig grinder in Riga, Latvia, before it was to be shipped to Russia.
Several individuals and companies involved in this alleged scheme have been charged by indictment in the District of Connecticut with conspiracy, violation of the Export Control Reform Act, smuggling goods from the United States, and international money laundering conspiracy offenses.
On December 1, 2022, By Trade OU pleaded guilty to one count of conspiracy to violate the Export Control Reform Act, and one count of international money laundering conspiracy. In pleading guilty, By Trade OU admitted that it received funds from a Russian company, identified in the indictment as “Company B,” to purchase a jig grinder on its behalf from a Latvian company that had arranged to purchase the jig grinder from the Connecticut manufacturer.
On March 29, 2023, in a related civil forfeiture action, U.S. District Judge Victor A. Bolden ordered the forfeiture of $484,696 that had been delivered to the Connecticut manufacturer as part of the attempted purchase of the jig grinder. On April 4, 2023, in association with the sentencing of By Trade OU, Judge Bolden ordered the forfeiture of an additional €312,192.44 (approximately $342,000) seized from By Trade OU.
As to the other defendants charged in the indictment, U.S. Attorney Avery stressed that an indictment is merely an allegation, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This investigation is being conducted by HSI field offices in New Haven, Portland (Ore.), and the Hague, Netherlands; the U.S. Department of Commerce’s Office of Export Enforcement in Boston; and the FBI. The Prosecutor-General’s Office of the Republic of Latvia, the Prosecutor General’s Office of the Republic of Estonia, Latvian Tax and Customs Police, Estonian Tax and Customs Board, and the Latvian State Police are assisting the investigation.
This case is being prosecuted by Assistant U.S. Attorneys Rahul Kale, Konstantin Lantsman, and David Nelson of the District of Connecticut, and Trial Attorney Matthew Anzaldi of the Justice Department’s National Security Division. The Justice Department’s Office of International Affairs is providing valuable assistance.
The investigation was coordinated with the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls, and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2 and run out of the Office of the Deputy Attorney General, the task force will continue to leverage all of the Department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
This case is being prosecuted through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Federal Court Orders Forfeiture of $826K in Funds Used in Attempt to Export Dual-Use High Precision Jig Grinder to RussiaRead the Press Release
An investigation into the attempted smuggling of a dual-use export-controlled item to Russia in violation of United States export laws and regulations has resulted in the forfeiture of approximately $826,000.
As alleged in court documents and statements made in court, beginning in 2018, operators of a Latvia-based corporation conspired with the operator of By Trade OU, an Estonia-based company, as well as individuals in Russia and a Russia-based company, to violate U.S. export laws and regulations and smuggle a jig grinder that was manufactured in Connecticut to Russia. A jig grinder is a high-precision grinding machine system that does not require a license to export to European Union countries but does require a license for export and reexport to Russia because of its potential application in nuclear proliferation and defense programs. At no time did the defendants apply for, receive or possess a license of authorization from the U.S. Department of Commerce to export or reexport the jig grinder to Russia, as required by the Export Control Reform Act of 2018 and the Export Administration Regulations (EAR), which restrict the export of items that could make a significant contribution to the military potential of other nations or that could be detrimental to U.S. foreign policy and national security.
U.S. authorities, working with Latvian authorities, intercepted the jig grinder in Riga, Latvia, before it was to be shipped to Russia.
Several individuals and companies involved in this alleged scheme have been charged by indictment in the District of Connecticut with conspiracy, violation of the Export Control Reform Act, smuggling goods from the United States and international money laundering conspiracy offenses.
On Dec. 1, 2022, By Trade OU pleaded guilty to one count of conspiracy to violate the Export Control Reform Act, and one count of international money laundering conspiracy. In pleading guilty, By Trade OU admitted that it received funds from a Russian company, identified in the indictment as “Company B,” to purchase a jig grinder on its behalf from a Latvian company that had arranged to purchase the jig grinder from the Connecticut manufacturer.
On March 29, in a related civil forfeiture action, U.S. District Judge Victor A. Bolden ordered the forfeiture of $484,696 that had been delivered to the Connecticut manufacturer as part of the attempted purchase of the jig grinder. On April 4, 2023, in association with the sentencing of By Trade OU, Judge Bolden ordered the forfeiture of an additional €312,192.44 (approximately $342,000) seized from By Trade OU.
U.S. Attorney Vanessa Roberts Avery for the District of Connecticut; Director Andrew Adams of Task Force KleptoCapture; Acting Special Agent in Charge Michael J. Krol of Homeland Security Investigations (HSI), Boston; Special Agent in Charge Rashel D. Assouri of the U.S. Department of Commerce’s Office of Export Enforcement, Boston; and Special Agent in Charge Robert Fuller of the FBI New Haven Field Office made the announcement.
This investigation is being conducted by HSI Field Offices in New Haven, Connecticut; Portland Oregon; and the Hague, Netherlands; the U.S. Department of Commerce’s Office of Export Enforcement in Boston; and the FBI. The Prosecutor-General’s Office of the Republic of Latvia, the Prosecutor General’s Office of the Republic of Estonia, Latvian Tax and Customs Police, Estonian Tax and Customs Board and the Latvian State Police are assisting the investigation.
Assistant U.S. Attorneys Rahul Kale, Konstantin Lantsman and David Nelson for the District of Connecticut and Trial Attorney Matthew Anzaldi of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case. The Justice Department’s Office of International Affairs provided valuable assistance.
The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2, 2022, and under the leadership of the Office of the Deputy Attorney General, the task force will continue to leverage all of the department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
This case is being prosecuted through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Estonian National Charged with Helping Russian Military Acquire U.S. Electronics, Including Radar Components; Sought-Computer Hacking SoftwareRead the Press Release
An eighteen-count indictment was unsealed today in Brooklyn charging Andrey Shevlyakov, an Estonian national, with conspiracy and other charges related to procuring U.S.-made electronics on behalf of the Russian government and military.
Shevlyakov was arrested on March 28, 2023 in Estonia. As alleged in the indictment and other court filings, at the time of his arrest, the Estonian seized inbound shipments addressed to Shevlyakov’s front companies, including one that contained approximately 130 kilograms (286 pounds) of radio equipment.
Breon Peace, United States Attorney for the Eastern District of New York, James Smith, Special Agent in Charge, FBI Houston and Trey McClish, Special Agent in Charge of the U.S. Department of Commerce, Bureau of Industry and Security – Office of Export Enforcement’s Dallas Field Office announced the charges.
“As alleged, for more than a decade, the defendant has been acquiring sensitive electronics from U.S. manufacturers on behalf of the Russian government, in defiance of U.S. export controls,” stated United States Attorney Peace. “Our Office will not relent in its efforts to stop those who unlawfully procure U.S. technology for Russia or any other sanctioned countries, entities or individuals.”
Mr. Peace expressed his appreciation for Task Force KleptoCapture, the Department of Justice’s Office of International Affairs, and the Estonian Internal Security Service (KAPO) for their valuable assistance.
“For years, Mr. Shevlyakov’s elaborate web of deceit allowed him to allegedly procure sensitive American-made electronics on behalf of the Russian military,” said FBI Houston Special Agent in Charge James Smith. “His illegal acquisitions of sophisticated U.S. technology endangered citizens in both Ukraine and the United States. FBI Houston will continue to work with our valued international partners, especially the Estonian Internal Security Service (KAPO), to investigate and disrupt actors who illicitly support the unprovoked invasion of Ukraine by Russian armed forces.”
“As these actions have proven, BIS will continue to hunt down and bring to justice those who harm our national security and illicitly supply the Russian regime,” said Special Agent in Charge McClish.
As alleged in the indictment and other court filings, Shevlyakov procured sensitive electronics from U.S. manufacturers on behalf of Russian end-users, including defense contractors and other Russian government agencies. Most of these items would have been unavailable to Russian end-users if ordered directly for shipment to Russia.
The items that Shevlyakov purchased included low-noise pre-scalers and synthesizers (used to conduct high-frequency communications) and analog-to-digital converters, which can be found in most defense systems that must respond to environmental conditions, including software-defined radio, avionics, missiles, and electronic warfare systems. Shevlyakov’s communications with Russia-based customers included explicit discussions of whether there were “military” goods in certain orders.
Shevlyakov also attempted to acquire computer hacking tools. In May 2020, one of Shevlyakov’s front companies exchanged messages with a Russia-based individual about acquiring a licensed copy of Metasploit Pro, a U.S.-made software tool that is used to penetrate computer networks. Metasploit is intended for use in assessing network vulnerabilities, but is also widely used by computer hackers. A license to use Metasploit Pro costs approximately $15,000. In the email, the individual asked Shevlyakov’s front company to acquire Metasploit and detailed a history of prior failed attempts to acquire the software through third parties in countries outside Russia. The individual added that the software was “dual use” and that accordingly, “sales to Russia are virtually impossible.” Thus, the individual said, “we cannot reveal the end user, nor can we identify ourselves.” On or about June 1, 2020, the front company email address wrote back, listing prices for different versions of Metasploit Pro.
To deliver his goods, Shevlyakov ran an intricate logistics operation involving frequent smuggling trips across the Russian border by himself and others. Shevlyakov engaged in this conduct despite being listed on a Department of Commerce-maintained list (the “Entity List”) that designates individuals and companies who are barred from exporting items from the United States without a license. Shevlyakov was added to the Entity List in 2012, after the U.S. government identified him as a procurement agent charged with pursuing U.S. technology for Russian government and military end users. Shevlyakov used false names and a web of front companies to evade the Entity List’s restrictions.
If convicted, the defendant faces a maximum of 20 years’ imprisonment. The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorney Alexander Mindlin is in charge of the prosecution, along with Trial Attorney Matthew Anzaldi of the National Security Division’s Counterintelligence and Export Control Section, with assistance from Litigation Analyst Mary Clare McMahon. The Office thanks the Estonian authorities for their valuable support.
The Defendant:
ANDREY SHEVLYAKOV
Age: 45
Tallinn, EstoniaE.D.N.Y. Docket No. 22-CR-490 (RPK)
Dunklin County Man Sentenced to 15 Years in Prison for Methamphetamine and Gun OffensesRead the Press Release
CAPE GIRARDEAU – U.S. District Judge Stephen N. Limbaugh Jr. on Wednesday sentenced John Andrew Schoolcraft, 32, of Kennett, Missouri, to serve 15 years in federal prison for the offenses of conspiracy to distribute methamphetamine, possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime.
At a guilty plea hearing in January, Schoolcraft admitted that beginning in May of 2022 and continuing through June 23, 2022, he and others were involved in distributing methamphetamine throughout Dunklin County, Missouri. The Missouri State Highway Patrol utilized confidential informants and audio and video recording devices to conduct controlled drug buys of methamphetamine from Schoolcraft and others involved. The case culminated in the execution of a search warrant at Schoolcraft’s residence in Kennett where officers seized over four pounds of methamphetamine, a loaded Glock, .45 caliber semi-automatic pistol and $2,785 in cash.
This case was investigated by the Missouri State Highway Patrol, assisted by the Southeast Missouri Drug Task Force. Assistant U.S. Attorney Julie Hunter handled the prosecution for the government.
- Detroit Man Sentenced to 5 Years for Role in Drug Conspiracy
Dentist Pleads Guilty to Tax EvasionRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Frantz Brignol has pleaded guilty to one count of tax evasion and one count of failing to file a tax return. Brignol faces up to six years in federal prison on the offenses. A federal grand jury had returned the indictment against Brignol on November 22, 2022. A sentencing date has not yet been set.
According to the court records, Brignol, a dentist, had amassed almost $900,000 in tax liabilities to the IRS. Between approximately 2014 and 2020, Brignol evaded his tax payments by hiding hundreds of thousands of dollars in his mother’s bank accounts (for which he had signatory authority), trading funds overseas, and failing to disclose a bank account to the IRS. Despite an annual income of more than $200,000 in the calendar year 2020, Brignol also failed to file an income tax return as required under federal law.
This case is being investigated by the Internal Revenue Service – Criminal Investigation. It is being prosecuted by Assistant United States Attorney Hannah Nowalk.
Dealer of Fentanyl-Laced Heroin That Resulted in the Overdose Death of Actor Michael K. Williams Pleads GuiltyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that IRVIN CARTAGENA, a/k/a “Green Eyes,” pled guilty today to conspiring to distribute heroin, fentanyl, and fentanyl analogue. As part of the conspiracy, CARTAGENA distributed the fentanyl-laced heroin that resulted in the death of Michael K. Williams. CARTAGENA pled guilty earlier today before U.S. District Judge Ronnie Abrams.
U.S. Attorney Damian Williams said: “Irvin Cartagena sold fentanyl-laced heroin in broad daylight in New York City, feeding addiction and causing tragedy. In doing so, he dealt the fatal dose that killed Michael K. Williams. This Office and our law enforcement partners will continue to hold accountable the dealers who push this poison, exploit addiction, and cause senseless death in our community.”
According to the allegations in the complaints, court filings, and statements made in Court:
Between at least in or about August 2020 and February 2022, a drug trafficking organization (the “DTO”) was operating in the vicinity of 224 South 3rd Street in the Williamsburg neighborhood of Brooklyn, New York. The DTO sold heroin laced with fentanyl and a fentanyl analogue on the street in front of, and from an apartment inside of, the apartment building located at 224 South 3rd Street, among other places. On or about September 5, 2021, members of the DTO sold Michael K. Williams heroin, which was laced with fentanyl and a fentanyl analogue, with CARTAGENA executing the hand-to-hand transaction. Williams died as a result of using that fentanyl-laced heroin. Despite knowing that Williams died after being sold the DTO’s product, CARTAGENA and his co-conspirators continued to sell fentanyl-laced heroin in broad daylight amidst residential apartment buildings in Brooklyn and Manhattan.
* * *
CARTAGENA, 39, of Brooklyn, New York, pled guilty to one count of conspiracy to distribute and possess with intent to distribute fentanyl analogue, fentanyl, and heroin, which carries a mandatory minimum sentence of five years in prison and a maximum sentence of 40 years in prison. As part of his guilty plea, CARTAGENA stipulated that the substances he conspired to distribute and possess with intent to distribute resulted in the death of Michael K. Williams.
The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding work of the New York City Police Department and the New York/New Jersey High Intensity Drug Trafficking Area Intelligence Analysts. Mr. Williams also thanked the Organized Crime Drug Enforcement Task Forces New York Strike Force, the United States Marshals Service, the New York/New Jersey Regional Fugitive Task Force, and the New York Division of the Drug Enforcement Administration for their assistance in this case.
This case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Micah Fergenson and David Robles are in charge of the prosecution.
Criminal Marketplace Disrupted in International Cyber OperationRead the Press Release
The Justice Department announced today a coordinated international operation against Genesis Market, a criminal online marketplace that advertised and sold packages of account access credentials – such as usernames and passwords for email, bank accounts, and social media – that had been stolen from malware-infected computers around the world.
“Working across 45 of our FBI Field Offices and alongside our international partners, the Justice Department has launched an unprecedented takedown of a major criminal marketplace that enabled cybercriminals to victimize individuals, businesses, and governments around the world,” said Attorney General Merrick B. Garland. “Our seizure of Genesis Market should serve as a warning to cybercriminals who operate or use these criminal marketplaces: the Justice Department and our international partners will shut down your illegal activities, find you, and bring you to justice.”
“Yesterday, the Department of Justice and its partners dismantled the Genesis Market and arrested many of its users around the world,” said Deputy Attorney General Lisa O. Monaco. “Genesis falsely promised a new age of anonymity and impunity, but in the end only provided a new way for the Department to identify, locate, and arrest on-line criminals. The Department of Justice is shining a light on the internet’s darkest corners – in the last year alone, our agents, prosecutors, and partners have dismantled the darknet’s largest marketplaces – Hydra Market, BreachForums, and now Genesis. Each takedown is yet another blow to the cybercrime ecosystem.”
Since its inception in March 2018, Genesis Market has offered access to data stolen from over 1.5 million compromised computers around the world containing over 80 million account access credentials. Account access credentials advertised for sale on Genesis Market included those connected to the financial sector, critical infrastructure, and federal, state, and local government agencies. Genesis Market was also one of the most prolific initial access brokers (IABs) in the cybercrime world. IABs attract criminals looking to easily infiltrate a victim’s computer system. Genesis Market offered for sale the type of access sought by ransomware actors to attack computer networks in the United States and around the world, and published private-sector reports indicate that they indeed were used by ransomware actors to attack such systems.
Genesis Market was user-friendly, providing users with the ability to search for stolen access credentials based on location and/or account type (e.g., banking, social media, email, etc.). In addition to access credentials, Genesis Market obtained and sold device “fingerprints,” which are unique combinations of device identifiers and browser cookies that circumvent anti-fraud detection systems used by many websites. The combination of stolen access credentials, fingerprints, and cookies allowed purchasers to assume the identity of the victim by tricking third party websites into thinking the Genesis Market user was the actual owner of the account.
Genesis Market users were located all over the world. Federal law enforcement has worked to identify prolific users of Genesis Market who purchased and used stolen access credentials to commit fraud and other cybercrimes. This effort resulted in hundreds of leads being sent to FBI field offices throughout the United States, as well as to foreign law enforcement partners. Further, as part of this operation, dubbed Operation Cookie Monster, law enforcement seized 11 domain names used to support Genesis Market’s infrastructure pursuant to a warrant authorized by the U.S. District Court for the Eastern District of Wisconsin.
“The operation being announced today is the direct result of the hard work, dedication, and exceptional collaborative efforts of the FBI and its partners around the globe,” said U.S. Attorney Gregory J. Haanstad for the Eastern District of Wisconsin. “Along with investigative partners and our Justice Department colleagues, my office remains committed to using all available tools to protect individuals from cybercriminals like those who operate these types of online marketplaces.”
“Today’s takedown of Genesis Market is a demonstration of the FBI’s commitment to disrupting and dismantling key services used by criminals to facilitate cybercrime,” said FBI Director Christopher Wray. “The work in this case is a great example of the FBI’s ability to leverage our technical capabilities and work shoulder-to-shoulder with our international partners to take away the tools cyber criminals rely on to victimize people all across the world.”
The FBI Milwaukee Field Office investigated the case, with assistance from 44 other field offices, the U.K. National Crime Agency, Italy’s Polizia de Stato, Police of Denmark, Australian Federal Police, Royal Canadian Mounted Police, Canada’s Sûreté du Québec, Romanian Police, Cybercrime Sub-directorate for French judicial police, Spain’s Policia Nacional, Spain’s Guardia Civil, Germany’s Federal Criminal Police Service, Swedish Police Authority, Poland’s Central Bureau for Combating Cybercrime, Dutch National Police, Finland’s National Bureau of Investigation, Switzerland’s Office of the Attorney General, Swiss Federal Police, Estonia’s Prosecutor General’s Office, Iceland’s Metropolitan Police, New Zealand Police, Eurojust, and Europol.
The Department appreciates the assistance provided by authorities in Bulgaria and Latvia in response to Mutual Legal Assistance requests.
Trial Attorneys Benjamin Proctor and Jessica Peck of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Farris Martini for the Eastern District of Wisconsin are handling the investigation. The Justice Department’s Office of International Affairs provided significant assistance.
Victim credentials obtained over the course of the investigation have been provided to the website Have I Been Pwned, which is a free resource for people to quickly assess whether their access credentials have been compromised (or “pwned”) in a data breach or other activity. Victims can visit HaveIBeenPwned.com to see whether their credentials were compromised by Genesis Market so that they can know whether to change or modify passwords and other authentication credentials that may have been compromised.
If you have been active on Genesis Market, in contact with Genesis Market administrators, or have been a victim and need to report, please email the FBI at [email protected].
Court Sentences 15th Defendant Involved in Southeast Washington Drug Trafficking ConspiracyRead the Press Release
WASHINGTON – Rico Griffin, 34, of Washington, D.C., was sentenced today to 66 months in prison for his role in a drug trafficking network based in Southeast Washington that sold cocaine, crack cocaine, Fentanyl, PCP, and marijuana, announced United States Attorney Matthew M. Graves, FBI Special Agent in Charge Wayne A. Jacobs, of the Washington Field Office Criminal and Cyber Crime Division, and Chief Robert J. Contee, III, of the Metropolitan Police Department (MPD).
Griffin pleaded guilty on January 25, 2023, to conspiracy to distribute and possess with the intent to distribute cocaine base. Griffin was indicted with 16 co-defendants (listed below). All but two of the seventeen defendants have pleaded guilty and received prison terms ranging from 24 months to 114 months based on their criminal conduct and criminal histories.
The case stems from an investigation by the MPD Narcotics and Special Investigations Division and the FBI into the “MLK Crew” - a group of individuals who were operating an open-air drug market in and around the 2900 block of Martin Luther King Jr. Avenue, SE, Washington D.C. The investigation began in response to numerous citizen complaints about rampant drug trafficking and accompanying incidents of violence in the area. In addition to numerous citizen complaints, MPD targeted this area as one of the most notorious in the city in terms of recent shootings and shots fired, as well as for the area’s high numbers of arrests—particularly offenses involving drugs and firearms.
“Our Office, the Metropolitan Police Department, and the FBI are focused on the couple dozen blocks across our District that are magnets for violence,” said US Attorney Graves. “There is no doubt that the blocks in which the MLK Mellon Crew operated were among the most dangerous. We know that drug trafficking attracts violence and we saw, after dismantling this crew, a substantial decrease in shooting incidents in the months after the incident. Temporarily breaking the cycle of violence offers a valuable window to restore order and to provide the community the support it needs to heal.”
“The defendants wreaked havoc on the residents of Congress Heights by running an open-air drug market built on violence, often commandeering local businesses to conduct illegal sales,” said SAC Jacobs. “As this case demonstrates, the FBI through its commitment to partnerships will aggressively pursue data-driven intelligence and public tips to dismantle the violent gangs terrorizing our communities.”
“There is no excuse for the fear that the MLK Mellon Crew spread across our community,” said Chief Contee. “Their drug trafficking and violence has impacted our entire city. Now, thanks to the tireless work of our officers, detectives, and law enforcement partners, our community can rest easier knowing that these individuals are being held accountable.”
As part of its investigation, MPD and FBI began conducting surveillance, obtaining search warrants, and making controlled buys of narcotics from suspected members of the conspiracy.
The investigation revealed that MLK Crew members openly engaged in the sale of various drugs (including PCP, crack, fentanyl, and marijuana) and took over the area and, effectively, some of the neighborhood’s businesses. MLK Crew members would often go into the neighborhood businesses to complete sales and constantly loitered outside of these businesses to engage in sales. As part of its investigation, MPD and FBI obtained video of defendants openly conducting narcotics transactions in these businesses and even displaying firearms. Throughout the case, law enforcement seized at least 10 firearms (many of which were privately manufactured firearms or “ghost guns”) from MLK crew members and/or stash houses and a sizeable quantity of various narcotics. The MLK Crew’s drug trafficking contributed to numerous incidents of drug-related violence in and around the 2900 Block of MLK Avenue, including multiple assaults, shootings, robberies, and murders—most notably, the murder of a six-year-old girl who was the daughter of one of the co-defendants in this case.
In July of 2021, a few months after opening the investigation, MPD and FBI arrested 11 initial defendants and seized 10 firearms, along with PCP, crack cocaine, powder cocaine, heroin, pills, and over $2,500 in cash. The additional six defendants were charged in September 2021 and were arrested shortly thereafter; however, Rico Griffin, remained a fugitive until January 3, 2023. After his arrest, Rico Griffin quickly pleaded guilty and was sentenced today.
The prosecutions followed a joint investigation by the FBI Washington Field Office’s Cross Border Safe Streets Task Force in partnership with MPD’s Narcotics and Special Investigations (NSID) Violence Reduction Unit (VRU). This partnership targets the most egregious and violent street crews operating in the District of Columbia. Assistance was provided by the U.S. Drug Enforcement Administration, the U.S. Park Police, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). The case is being prosecuted by Assistant U.S. Attorneys David Henek and Andy Wang of the of the Violence Reduction and Trafficking Offenses (VRTO) Section of the U.S. Attorney’s Office for the District of Columbia.
The investigation had the sponsorship and support of the federal Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF specializes in the investigation and prosecution of drug trafficking and money laundering organizations and related criminal enterprises.
DEFENDANT
STATUS
Ricky Lyles, 42, Accokeek, MD
sentenced to 114 months for conspiracy to distribute 16.8-22.4 grams of crack cocaine and possessing a firearm
Nico Griffin, 32, Washington, DC
sentenced to 37 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Dandre Shorter, 28, Washington, DC
sentenced to 37 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Wesley Leake, 32, Washington, DC
sentenced to 40 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Leon Lindsay, 37, Washington, DC
sentenced to 57 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Dezmond Cunningham, 28, Washington, DC
sentenced to 48 months conspiracy to distribute 22.4-28 grams of crack cocaine
Divine Chappell, 26, Washington, DC
sentenced to 76 months for possession of a firearm in furtherance of drug trafficking and conspiracy to distribute crack cocaine
Shawn Wooden, 40, Washington, DC
trial scheduled for October 16
Barry Tyson, 20, Washington, DC
sentenced to 73 months of incarceration for possession of a firearm in furtherance of drug trafficking and conspiracy to distribute crack cocaine
Delonta Chappell, 35, Washington, DC
sentenced to 48 months for conspiracy to distribute 28-112 grams of crack cocaine
Anthony Graves, 32, Washington, DC
sentenced to 27 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Deshawn Loggins, 21, Temple Hills, MD
sentenced to 42 months for conspiracy to distribute 28-112 grams of crack cocaine
Kevonte Randall, 25, Washington, DC
sentenced to 46 months for conspiracy to distribute 22.4-28 grams of crack cocaine and possessing a firearm
Corenzo Mobery, 40, Washington, DC
trial scheduled for October 16th.
Rico Griffin, 34, Washington, DC
66 months in prison for conspiracy to distribute 22.4-28 grams of crack cocaine
Shahborne Scales, 32, Washington, DC
sentenced to 66 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Luther McDuffie, 35, Washington, DC
sentenced to 24 months for conspiracy to distribute 22.4-28 grams of crack cocaine
Convicted Felon Pleads Guilty to Possession of a Firearm After Being Identified on SnapChatRead the Press Release
CONCORD – A Manchester man, Reda Shehabeldin, 26, pleaded guilty in federal court to one count of possession of a firearm by a prohibited person, U.S. Attorney Jane E. Young announces.
U.S. District Court Judge Samantha Elliott scheduled sentencing for July 12, 2023. Mr. Shehabeldin was indicted on January 10, 2023.
On July 15, 2022, Shehabeldin was identified—in a video posted by another individual on SnapChat—holding a Glock, model 30 Gen 4 .45 caliber subcompact pistol. At the time, he was a convicted felon. Hillsborough County Superior Court convicted Shehabeldin in January 2022 for reckless conduct, a class B felony offense under the state laws of New Hampshire.
The charging statute provides a sentence of no greater than 15 years in prison, three years of supervised release, and a maximum fine of $250,000.00. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The investigation was led by the Bureau of Alcohol, Tobacco, Firearms & Explosives (“ATF”) and the Manchester Police Department. Assistant U.S. Attorneys John Kennedy and Geoffrey Ward are prosecuting the case.
This case is part of Project Safe Neighborhoods (“PSN”), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities; supporting community-based organizations that help prevent violence from occurring in the first place; setting focused and strategic enforcement priorities; and measuring the results.
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Clarksville Man Sentenced to Federal Prison for Child Exploitation ChargesRead the Press Release
NASHVILLE – A Clarksville, Tennessee, man was sentenced to federal prison yesterday for child exploitation charges, announced U.S. Attorney Henry C. Leventis.
Kevin Figueroa, 33, was sentenced to 10 years in prison concurrently on each count of attempted coercion and enticement of a minor to engage in unlawful sexual activity and attempted transfer of obscene material to a minor. Figueroa was sentenced to an additional 30 months in prison for destruction or removal of evidence to prevent search or seizure, to run consecutively, and will serve 10 years of supervised release upon his release from prison.
Figueroa was indicted in April 2022, after contacting an undercover FBI agent who was conducting an online covert investigation using a popular mobile dating application. The undercover profile indicated that the persona of the agent was a 15-year-old female living in Clarksville. Figueroa, using the profile “Spike tkro,” continued to message the agent, even after confirming the persona was a 15-year-old female and sent a lewd photo and message before exchanging phone numbers with the agent. In subsequent communications, Figueroa proposed meeting with the agent to engage in sexual activity and arranged a meeting in November 2019, for which Figueroa failed to show.
The following month, Figueroa initiated contact with the agent on a different dating app and continued to communicate with who he believed to be the same 15-year-old female. Another meeting was subsequently arranged for March 17, 2020, at an apartment building in Clarksville for the purpose of engaging in sexual activity. When Figueroa arrived at the meeting location, he was met by FBI agents.
While being interviewed by FBI agents, Figueroa learned that they intended to seize his phone and surreptitiously deleted apps from his phone.
Figueroa was found guilty of the charges after a bench trial before Chief U.S. District Judge Waverly D. Crenshaw, Jr., in September 2022.
This case was investigated by the FBI and prosecuted by Assistant U.S. Attorneys Monica R. Morrison and Robert E. McGuire.
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City of Chicago Held in Violation of Americans with Disabilities ActRead the Press Release
A federal judge in Chicago held the City of Chicago liable for violating the Americans with Disabilities Act (ADA) and Section 504 of the Rehabilitation Act by failing to provide accessible pedestrian signals at signalized intersections throughout the city to those who are blind or have low vision.
In April of 2021, the Justice Department moved to intervene in a disability discrimination lawsuit that people with visual disabilities brought against the City under the ADA and the Rehabilitation Act. The United States’ complaint in intervention alleged that the city fails to provide people who are blind, have low vision or are deaf-blind with equal access to pedestrian signal information at intersections. Pedestrian signal information, such as a flashing “Walk/Don’t Walk” signal, indicates when it is safe to cross the street for sighted pedestrians.
Accessible pedestrian signals (APSs) are devices that provide pedestrians with safe-crossing information in a non-visual format, such as through audible tones, speech messages and vibrotactile surfaces. Since at least 2006, Chicago has recognized the need to install APSs for pedestrians with visual disabilities, specifically identifying the need for such installation in multiple city documents. Yet, while Chicago currently provides sighted pedestrians visual crossing signals at nearly 2,800 intersections, the United States’ suit alleged that — at the time it intervened — fewer than one percent of those were equipped with APSs for people who are blind or have low vision.
On March 31, U.S. District Judge Elaine E. Bucklo sided with the United States and the private plaintiffs in a decision on both sides’ motions for summary judgment, holding the city in violation of the ADA and Section 504 of the Rehabilitation Act. The court found that the city had provided APS at only a “miniscule portion of the whole,” and thus had failed “to provide ‘meaningful access’ to its network of existing facilities and to ensure that newly constructed signals are designed and constructed in such a manner as to be ‘readily accessible’ by blind individuals.”
“Federal law offers people with visual disabilities the promise of full participation in community life, and safely navigating city streets is a critical part of that,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “We will continue pushing for a remedy that fully addresses the discrimination faced by blind people in Chicago.”
“As previously stated, the U.S. Attorney’s Office took action in this case in order to ensure that Chicagoans with disabilities are provided equal access to city services, particularly services where the primary focus is on public safety,” said Acting U.S. Attorney Pasqual for the Northern District of Illinois. “Our office remains committed to standing up for the rights of all those who reside in and visit the City of Chicago and all other communities across the Northern District of Illinois. We look forward to working with the City of Chicago to identify an appropriate remedy for the future.”
For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. Members of the public may report possible civil rights violations at https://civilrights.justice.gov/report.
City of Chicago Held in Violation of Americans with Disabilities ActRead the Press Release
A federal judge in Chicago held the City of Chicago liable for violating the Americans with Disabilities Act (ADA) and Section 504 of the Rehabilitation Act by failing to provide accessible pedestrian signals at signalized intersections throughout the city to those who are blind or have low vision.
In April of 2021, the Justice Department moved to intervene in a disability discrimination lawsuit that people with visual disabilities brought against the City under the ADA and the Rehabilitation Act. The United States’ complaint in intervention alleged that the city fails to provide people who are blind, have low vision or are deaf-blind with equal access to pedestrian signal information at intersections. Pedestrian signal information, such as a flashing “Walk/Don’t Walk” signal, indicates when it is safe to cross the street for sighted pedestrians.
Accessible pedestrian signals (APSs) are devices that provide pedestrians with safe-crossing information in a non-visual format, such as through audible tones, speech messages and vibrotactile surfaces. Since at least 2006, Chicago has recognized the need to install APSs for pedestrians with visual disabilities, specifically identifying the need for such installation in multiple city documents. Yet, while Chicago currently provides sighted pedestrians visual crossing signals at nearly 2,800 intersections, the United States’ suit alleged that — at the time it intervened — fewer than one percent of those were equipped with APSs for people who are blind or have low vision.
On March 31, U.S. District Judge Elaine E. Bucklo sided with the United States and the private plaintiffs in a decision on both sides’ motions for summary judgment, holding the city in violation of the ADA and Section 504 of the Rehabilitation Act. The court found that the city had provided APS at only a “miniscule portion of the whole,” and thus had failed “to provide ‘meaningful access’ to its network of existing facilities and to ensure that newly constructed signals are designed and constructed in such a manner as to be ‘readily accessible’ by blind individuals.” The case is being handled for the U.S. Attorney’s Office by Assistant U.S. Attorneys Patrick Johnson and Sarah J. North as well as by the Civil Rights Division.
“Federal law offers people with visual disabilities the promise of full participation in community life, and safely navigating city streets is a critical part of that,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “We will continue pushing for a remedy that fully addresses the discrimination faced by blind people in Chicago.”
“As previously stated, the U.S. Attorney’s Office took action in this case in order to ensure that Chicagoans with disabilities are provided equal access to city services, particularly services where the primary focus is on public safety,” said Acting U.S. Attorney Pasqual for the Northern District of Illinois. “Our office remains committed to standing up for the rights of all those who reside in and visit the City of Chicago and all other communities across the Northern District of Illinois. We look forward to working with the City of Chicago to identify an appropriate remedy for the future.”
For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. Members of the public may report possible civil rights violations at https://civilrights.justice.gov/report.
Chicago Man Sentenced to 78 Months for Possessing Methamphetamine for DistributionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Shakur Antwan Clayton, 28, Chicago, Illinois, was sentenced yesterday by U.S. District Judge William M. Conley to 78 months in prison for possessing 50 grams or more of methamphetamine with intent to distribute. This prison term will be followed by a four-year period of supervised release.
On May 16, 2022, an inspector from the Wisconsin State Patrol stopped a vehicle in Monroe County, Wisconsin for speeding. The driver, later identified as Clayton, claimed he did not have a driver’s license and gave the inspector a false name. The inspector also smelled marijuana and saw a marijuana blunt in the center console. When the inspector asked Clayton to step out of the car, he sped off at a high rate of speed. Law enforcement pursued the car before it lost control, crossed into the median, and rolled into the opposite lane of traffic. Clayton crawled out of the car and fled on foot. As law enforcement approached Clayton, he reached into his waistband, pulled out a plastic bag, ripped it open, and threw the contents into the air.
Laboratory testing determined that the substance Clayton discarded was 179 grams of pure methamphetamine. Clayton admitted that he intended to distribute the methamphetamine to someone in the Western District of Wisconsin.
The charge against Clayton was the result of an investigation conducted by the Wisconsin State Patrol and the Drug Enforcement Administration. Assistant U.S. Attorney Chadwick M. Elgersma prosecuted this case.
Chicago Man Sentenced to 33 Months in PrisonRead the Press Release
HAMMOND- Rajesh Kanuru, 46 years old, of Chicago, Illinois, was sentenced by United States District Court Chief Judge Jon E. DeGuilio after pleading guilty to wire fraud and embezzlement against a bankruptcy estate, announced United States Attorney Clifford D. Johnson.
Kanuru was sentenced to 33 months in prison, 2 years of supervised release and ordered to pay $348,388.50 in restitution.
According to documents in this case, Kanuru was an attorney with a practice located in Chicago, Illinois. From March 2012 through August 2018, Kanuru devised a scheme to defraud clients who had filed for bankruptcy, the Bankruptcy Trustee and the U.S. Bankruptcy Court for the Northern District of Indiana. In particular, Kanuru represented clients in a personal injury lawsuit. When these clients later filed for bankruptcy, Kanuru was appointed by the bankruptcy court to gather the settlement proceeds from their personal injury lawsuit to turn over to the bankruptcy estate on behalf of the clients. Instead, Kanuru embezzled the personal injury settlement proceeds totaling $348,388.50 for his own personal use and benefit.
“The Bankruptcy system, to work as it is designed, relies upon attorneys to act in the best interest of their clients and to comply with orders issued by the Bankruptcy judges,” said United States Attorney Clifford D. Johnson. “When, as happened in this case, an attorney violates both his clients trust and his obligations to the Bankruptcy court to unlawfully enrich himself, my Office will seek justice by prosecuting to the fully extent of the law.”
“Abuse of the bankruptcy system by embezzling estate funds and concealing those acts strikes at the very core of the integrity of the bankruptcy system and undermines public confidence in that system,” stated Nancy J. Gargula, United States Trustee for Indiana, Central and Southern Illinois (Region 10). “Today’s sentencing sends a strong message that these actions will not be tolerated. I am grateful to U.S. Attorney Johnson and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases.”
The United States Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 10 is headquartered in Indianapolis with additional office in South Bend, IN and Peoria IL.
The investigation was conducted by the United States Postal Inspection Service in collaboration with the Northern Indiana Bankruptcy Fraud Working Group coordinated by the United States Trustee for Region 10. The case was prosecuted by Assistant U. S. Attorney Luke Reilander.
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California Man Admits Sending Nude Pictures to Missouri TeenRead the Press Release
ST. LOUIS – A man from California pleaded guilty to a federal charge in St. Louis, Missouri Wednesday and admitted sending pictures of his genitals to a Missouri teen.
Colin M. Lind, 43, of San Diego County, California, met the 15-year-old girl and her family while he and his family were on vacation in Florida in the summer of 2021. After returning to Missouri, the teenage girl began receiving text messages from Lind. Lind admitted as part of his plea agreement sending a series of messages asking for pictures of the girl. He also sent two pictures of his genitals that he had taken in a hotel bathroom and a text saying, “you turn me on so much!!”
The teen told authorities that Lind placed his hand on her genitals while they were in Florida.
Lind pleaded guilty to a felony count of transfer of obscene material to a minor.
Lind is scheduled to be sentenced July 20. The crime carries a maximum penalty of 10 years in prison, a $250,000 fine, or both.
The case was investigated by the FBI and the Frontenac Police Department. Assistant U.S. Attorney Jillian Anderson is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, 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.
Bronx Man Involved in Brazen Burglary Ring Sentenced to More Than 5 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that WILLIE BAINES, 47, of the Bronx, New York, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 63 months of imprisonment, with credit for time served since Baines’s March 2021 arrest in a related federal case, for participating in a brazen burglary ring that resulted in the theft of millions of dollars in vehicles, phones, ATMs and other merchandise from numerous locations in Connecticut, New York and elsewhere.
According to court documents and statements made in court, Baines participated in a theft ring that, between June 2020 and January 2021, primarily burglarized car dealerships and mobile phone stores in Connecticut and New York. From dealerships, the group stole vehicle key fobs and vehicles, and from mobile phone stores they stole cell phones, electronics and other merchandise. They also stole ATMs from check cashing businesses and burglarized video game stores. Josepher Cartagena and Alexander Santiago planned and organized the burglary sprees, recruited Baines and others to participate in those burglaries, maintained inventories of the stolen property, sold that property, and then divided the proceeds among the participants.
Cartagena, Santiago, Baines and their associates committed more than 180 burglaries and stole more than $4 million in property. They often burglarized multiple locations in one night and, on numerous occasions, escaped from police by engaging the police in high-speed chases that had to be terminated for safety reasons. An apparent tally found on Santiago’s phone after his arrest indicated that he had engaged police in 89 chases.
Baines and his associates regularly carried firearms during the burglary spree. On December 22, 2020, Baines was arrested by New York City Police on state charges after a high-speed pursuit and a foot chase. Baines was driving a stolen vehicle that contained stolen property, and he possessed a firearm at the time of his arrest. Baines continued to burglarize business while released on bond in his state case.
Baines has been detained since March 11, 2021, after his state firearm charge was adopted for federal prosecution in the Southern District of New York. He pleaded guilty to unlawful possession of a firearm and, on November 8, 2021, was sentenced to 36 months of imprisonment.
On December 1, 2022, Baines pleaded guilty in the District of Connecticut to possession of stolen property.
Cartagena was arrested on December 23, 2020, after engaging law enforcement in multiple high-speed chases and collisions with law enforcement vehicles. Cartagena dropped a bag containing a 9mm handgun and assorted tools during the pursuit. A subsequent search of his residence revealed hundreds of thousands of dollars in stolen merchandise, more than 30 vehicle keys and key fobs, 9mm ammunition, and approximately $87,000 in cash.
Santiago was arrested on January 15, 2021. When investigators sought to conduct a court-authorized search of Santiago’s residence on that date, Santiago’s pit bull attacked an FBI agent and badly wounded his arm. A search of the residence revealed approximately 20 new cell phones in boxes, approximately 40 vehicle key fobs, a police radio, a glass-punch device, two firearms and a substantial amount of ammunition.
Cartagena and Santiago pleaded guilty and were each sentenced to 90 months of imprisonment. A fourth co-conspirator, Douglas Noble, also pleaded guilty and was sentenced to 54 months of imprisonment.
This investigation is being conducted by the Federal Bureau of Investigation and Connecticut State Police, with the assistance of approximately 30 local police departments. The case is being prosecuted by Assistant U.S. Attorney Robert S. Ruff.
Brandon Resident Sentenced to 50 Years for Production of Child PornographyRead the Press Release
Jackson, Miss. – A Brandon resident was sentenced to serve a total of 50 years in federal prison for production of child pornography and possession of child pornography, announced U.S. Attorney Darren LaMarca, Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation, and Mississippi Attorney General Lynn Fitch.
Emilio Bellizzia a/k/a Juan Emilio Bellizzia, 44, a legal resident of the United States from Mexico, was sentenced on April 4, 2023 in U.S. District Court in Jackson.
Beginning in April 2021, and continuing through June 2021, FBI agents from Milwaukee and Jackson, along with the Mississippi Attorney General’s Office, investigated groups of individuals who were engaged in the receipt, possession, distribution, and production of child sex abuse material. On September 15, 2022, agents executed a federal search warrant at Bellizzia’s home in Brandon and found several electronic devices containing child pornography. Bellizzia attempted to flee to Mexico the following day.
Bellizzia was indicted by a federal grand jury and pled guilty on January 6, 2023 to production of child pornography and possession of child pornography.
Bellizzia was sentenced to serve two concurrent 30 year sentences for two counts of production of child pornography and a consecutive sentence of 20 years to serve for possession of child pornography, for a total of 50 years, followed by a lifetime of supervised release. He will also be required to register as a sex offender.
The case was investigated by the Federal Bureau of Investigation and the Mississippi Attorney General’s Office. Assistant United States Attorney Glenda R. Haynes prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Bogalusa Man Sentenced to 160 Months Imprisonment for Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – JAKARI BROWN, a/k/a “Jakari Lemar,” age 24, a resident of Bogalusa, Louisiana, was sentenced on April 4, 2023 by U.S. District Court Judge Greg G. Guidry to consecutive terms of 120 months and 40 months, respectively. Also, Judge Guidry imposed 3 years of supervised release and a mandatory $200 special assessment fee after BROWN plead guilty to two counts of being a felon in possession of a firearm, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), announced U.S. Attorney Duane A. Evans.
According to court documents, on April 25, 2019, BROWN, a convicted felon, possessed an Iberia Firearm (HiPoint) Model JPC, .40 caliber pistol that he used during a shootout near the corner of Hickory and South Columbia Streets in Bogalusa. BROWN was again found to be in possession of a gun on December 27, 2021, when police discovered a Smith & Wesson Model SW9VE, nine-millimeter pistol under the driver’s seat in the vehicle BROWN was driving.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Washington Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorneys J. Benjamin Myers and Maurice E. Landrieu, Jr. of the Narcotics Unit.
Billings fentanyl trafficker sentenced to more than eight years in prisonRead the Press Release
BILLINGS — A Billings man who admitted to trafficking fentanyl in the community after law enforcement found 9,500 fentanyl pills and a firearm in his vehicle was sentenced today to eight years and one month in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Kyngsten Bargar, 30, pleaded guilty in September 2022 to possession with intent to distribute fentanyl.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that in July 2021, law enforcement learned that Bargar was distributing fentanyl pills in the Billings area. The investigation determined that Bargar traveled to Washington to buy fentanyl, and in February 2022, the Montana Highway Patrol conducted a traffic stop east of Reed Point of a vehicle driven by Bargar. During a search of the vehicle, officers found two firearms in a backpack and a safe that contained nine small bags of blue pills. An analysis determined the pills contained fentanyl. Agents estimated there were approximately 9,500 pills. The safe also contained a large amount of U.S. currency that had been bundled separately with rubber bands. One of the bundles contained a paper copy of Bargar’s Montana driver’s license.
Assistant U.S. Attorney Colin M. Rubich prosecuted the case, which was investigated by the Eastern Montana High Intensity Drug Trafficking Area Task Force and Billings Police Department.
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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Belize Real Estate Developer Charged with Embezzling Investor FundsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of an Indictment in Manhattan federal court charging ANDRIS PUKKE with wire fraud and with engaging in unlawful monetary transactions in connection with his embezzlement of more than $13 million from Sanctuary Belize, a real estate development in Belize that he directed and controlled. PUKKE was arrested this morning in Los Angeles and will be presented in the Central District of California later today.
U.S. Attorney Damian Williams said: “Andris Pukke sold residential lots in Belize with a promise to build out an affordable vacation and retirement community in a tropical paradise. Instead, Pukke’s planned paradise turned out to be just a mirage, as he allegedly stole the very funds the development needed to pay for roads, utilities, and other infrastructure, leaving the lot buyers with nothing but land they cannot access or use. This Office will continue to aggressively pursue consumer fraud to ensure that businesses deliver on their promises to their customers.”
FBI Assistant Director Michael J. Driscoll said: “The defendant, as alleged, sold his victims dreams of a tropical haven, instead he used their money for his own interests. Investigating and holding financial fraudsters like Mr. Pukke accountable in the criminal justice system remains a top priority for the FBI.”
According to the Indictment unsealed today in Manhattan federal court:[1]
PUKKE directed and controlled Sanctuary Belize, which was a vacation and retirement community under development in Belize. PUKKE marketed and sold residential lots in the development to U.S. residents with promises that the development, when finished, would be near an international airport and hospital and would include a marina, a wildlife reserve, a beach club, and an equestrian center, among other amenities. Lot buyers could construct homes on their lots once the infrastructure, such as roads and electricity, was built out by Sanctuary Belize.
PUKKE and his salespeople falsely represented to lot buyers that Sanctuary Belize was free of debt and that all income from lot sales would go to the development of Sanctuary Belize's infrastructure. In fact, Sanctuary Belize had more than $12 million in debt, and PUKKE stole more than $13 million of the $124 million that Sanctuary Belize received from sales of residential lots. PUKKE stole the money by directing Sanctuary Belize employees to transfer the funds to recipients he designated. These transfers of funds were concealed on the books and records of Sanctuary Belize as business expenses, such as professional fees, legal fees, consulting fees, loans receivable, and online advertising expenses.
PUKKE used the embezzled funds for his personal benefit, including the renovation of his home in Newport Beach, California; investments in various entities unrelated to Sanctuary Belize; investments in unrelated real estate developments; repayment of personal debt; and payments to PUKKE's family members.
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PUKKE, 54, of Newport Bach, California, is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison, and one count of engaging in unlawful monetary transactions, which carries a maximum sentence of 10 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the investigative work of the FBI. Mr. Williams also thanked the Federal Trade Commission for their assistance with the case.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys James McMahon and Jeffrey C. Coffman are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described herein should be treated as an allegation.
Baltimore Eight Tray Gangster Crips Member Sentenced to Almost 20 Years in Federal Prison for Racketeering and Drug Conspiracy ChargesRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Devon Powell, a/k/a “Smuppy,” age 32, of Baltimore, today to 235 months in federal prison, followed by five years of supervised release, for racketeering and drug conspiracy charges, related to his activities as a member of the Eight Tray Gangster (ETG) Crips gang in Baltimore.
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; and Commissioner Michael Harrison of the Baltimore Police Department.
The ETG Crips are a violent subset of the Crips gang that originated in California in the 1970s, eventually operating on the streets and in correctional facilities in Maryland beginning in the 2000s. For many years, the ETG Crips controlled the drug trade in particular territories in Baltimore City, including the area around the intersection between West Baltimore Street and South Hilton Street in West Baltimore (the “Baltimore Hilton neighborhood”), the area around the intersection between West Lexington Street and North Fremont Avenue (the “Lexington Terrace neighborhood”), and the area around the intersection between Frankford Avenue and Sinclair Lane in North Baltimore (the “Frankford Sinclair neighborhood”). The ETG Crips members from the Baltimore Hilton and Lexington Terrace neighborhoods referred to themselves as the Baccwest ETG Crips—modeling themselves after the Baccwest ETG Crips in Los Angeles—and ETG Crips members from the Frankford Sinclair neighborhood called themselves the Nutty North Side ETG Crips. The two groups worked together for common criminal purposes.
According to his guilty plea, Davon Powell was a member of the Baccwest ETG Crips in Baltimore. The Baccwest ETG Crips operated street-level drug distribution “shops” primarily in the Baltimore Hilton neighborhood, the Lexington Terrace neighborhood and the Franklin Sinclair neighborhood, distributing heroin, cocaine, crack cocaine, and marijuana. Non-members of the gang who attempted to sell drugs in the ETG Crips’ territories were targeted for violence by ETG Crips members. Powell admitted that he and his co-defendants conspired to distribute and distributed drugs, including heroin and crack cocaine.
The ETG Crips used social media websites to assert their claim to drug territories, intimidate rival gangs and witnesses against gang members, and to enhance the status of the ETG Crips and of individual members within the gang. Members of the ETG Crips posted photos and rap videos to social media websites flaunting weapons and threatening to kill those who stood in the way of the gang. By participating in criminal activities in furtherance of the gang, particularly violent acts directed by the ETG Crips leadership, ETG Crips members earned respect from fellow members and maintained or advanced their position within the gang.
Also, as detailed in his plea agreement, on May 19, 2019, in the 4900 block of Greencrest Road, Powell attempted to murder Victim 22, shooting the victim multiple times using a 9mm caliber pistol. Co-defendant Trayvon Hall, who was the leader of the ETG Crips, provided the weapon and served as the getaway driver. A week later, Hall offered to give Powell the 9mm caliber pistol used in the shooting, in exchange for a .40 caliber firearm that Powell had in his possession. Powell advised that the .40 caliber firearm was his “favorite,” but he had a friend with a .40 caliber firearm who might be willing to trade. Powell warned Hall that his friend’s gun was “dirty,” meaning it had been used to shoot or kill someone. Ultimately, Powell did swap guns with Hall, taking the 9mm pistol used to shoot Victim 22, and giving Hall his .40 caliber firearm.
Co-defendant Trayvon Hall, a/k/a “Tru,” and “G Tru,” age 31, of Baltimore, pleaded guilty to his role in the gang and was sentenced on December 7, 2022, to 454 months in federal prison.
This case was made possible by investigative leads generated from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case is also part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI and the Baltimore Police Department for their work in the investigation and thanked the Drug Enforcement Administration, the ATF, the Maryland Attorney General’s Office, the Baltimore County Police Department, and the Anne Arundel County Police Department for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Peter J. Martinez and Kim Y. Oldham, 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 https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
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Baltimore Drug Dealer Sentenced to Six Years in Federal Prison as Part of a Drug Conspiracy Operating in BaltimoreRead the Press Release
Baltimore, Maryland – U.S. District Judge Stephanie A. Gallagher sentenced Eric Wilson, age 51, of Owings Mills, Maryland, yesterday to six years in federal prison, followed by three years of supervised release, on drug conspiracy and distribution charges related to his supplying cocaine, crack cocaine and fentanyl to drug traffickers operating in West and Northwest Baltimore.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Field Division; and Commissioner Michael Harrison of the Baltimore Police Department.
According to his guilty plea, in April 2020, law enforcement began an investigation into drug trafficking in West and Northwest Baltimore. During the investigation, Wilson was identified as a source of supply for co-conspirators involved in the drug trafficking organization (“DTO”). Law enforcement intercepted calls between Wilson and his co-conspirators discussing the distribution of cocaine, crack cocaine and fentanyl, as well as other controlled substances.
Wilson admitted that he maintained two stash locations to store, cut and package drugs with other members of the conspiracy—his residence in Owings Mills, Maryland and a home in the 3200 block of Presstman Street in Baltimore. On April 29, 2021, investigators executed search warrants at both locations. From the Owings Mills residence law enforcement recovered: approximately 158 grams of a cocaine and fentanyl mixture; drug paraphernalia; one .40 caliber round of ammunition; $23,126 in cash, believed to be drug proceeds; and nine phones. From the Presstman Street residence law enforcement recovered: a mixture containing approximately 1,541 grams of cocaine; 717.72 grams of crack cocaine; 10.999 grams of fentanyl pills; and kilo wrappers and drug paraphernalia.
Throughout the course of his involvement in the conspiracy, it was reasonably foreseeable to Wilson that he or other members of the conspiracy would distribute more than five kilograms of cocaine, as well as quantities of crack cocaine, fentanyl and heroin, in furtherance of the conspiracy.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through relationships forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The specific mission of the Baltimore OCDETF Strike Force is to reduce violent, drug-related, and gang crime in the Baltimore area and surrounding region.
United States Attorney Erek L. Barron commended the DEA and the Baltimore Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys LaRai N. Everett and James T. Wallner, 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 https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Albemarle Man Pleads Guilty to Filing False Tax ReturnRead the Press Release
Winston-Salem, NC – MICHAEL TODD FORREST of Albemarle NC, appeared in federal court today on tax fraud charges, announced Sandra J. Hairston, U.S. Attorney for the Middle District of North Carolina. FORREST pleaded guilty to filing a false tax return, a violation of Title 26, United States Code, Section 7206(1), after an investigation revealed that he had withheld information from a tax return preparer regarding income related to his business.
According to court-filed documents, FORREST owned and operated a business known as The Forrest Fence Company, LLC located in Albemarle, North Carolina. The investigation revealed that during the years 2017-2021, FORREST routinely directed Forrest Fence customers to make checks payable to him, instead of to the business. Forrest would, in turn, cash those checks or deposit the checks into a personal bank account instead of the Forrest Fence business checking account. As part of his scheme, FORREST would conceal those checks from his tax return preparer, which resulted in a tax loss of over $200,000.
“To attempt to evade taxes by hiding income and filing false returns, is a theft from the American public. It is a felony offense that carries severe consequences,” said Donald “Trey” Eakins, Special Agent in Charge, IRS Criminal Investigation, Charlotte Field Office. “The overarching principle of IRS’s enforcement strategy is simply this: We protect the integrity of the tax system by ensuring everyone pays their fair share of tax.”
Sentencing is scheduled to take place on August 14, 2023, at 9:30 a.m. in Winston-Salem, North Carolina, courtroom number 2, before United States District Court Thomas D. Schroeder. At sentencing, Forrest faces a maximum sentence of three years in prison, a period of supervised release of up to one year, and monetary penalties.
Sandra J. Hairston, U.S. Attorney for the Middle District of North Carolina made the announcement after United States District Judge Thomas D Schroeder accepted the plea. IRS-Criminal Investigation is investigating the case and Assistant U.S. Attorney Ashley Waid is prosecuting the case.
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Acoma man sentenced to 70 months for sexual abuse in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Karl Shroulote, Sr. was sentenced to 70 months in prison. Shroulote, 41, of Acoma, New Mexico, and an enrolled member of the Pueblo of Acoma, pleaded guilty on Dec. 21, 2022, to sexual abuse in Indian Country.
In his plea agreement, Shroulote admitted that on April 29, 2018, he sexually assaulted a victim, identified in court records as Jane Doe, while she was unconscious in his home on the Acoma Pueblo.
Upon his release from prison, Aguilar will be subject to 5 years of supervised release and must register as a sex offender.
The Bureau of Indian Affairs investigated this case with assistance from the Pueblo of Acoma Police Department. Assistant United States Attorney Alexander F. Flores is prosecuting the case.
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Tuesday 4 April 2023
Zephyrhills Man Pleads Guilty to Unlawfully Making A Destructive DeviceRead the Press Release
Tampa, FL - United States Attorney Roger B. Handberg announces that James John Hall (34, Zephyrhills) has pleaded guilty to one count of unlawfully making a firearm (destructive device). Hall faces up to 10 years’ imprisonment. Hall has also agreed to forfeit the destructive device, which includes a pipe, Tannerite, pyrotechnic powder, and pyrotechnic fuse.
According to court documents, on November 1 and 2, 2022, Hall spoke on the phone with a man to whom he had sold firearms in the past. In these conversations Hall offered to sell the man a “pipe bomb” that Hall had built. Hall shared with the man that he had contemplated using the “pipe bomb” to target an individual with whom he was angry. The man with whom Hall was communicating was a confidential informant with the Pasco Sherriff’s Office. The confidential informant reached out to the Pasco Sheriff’s Office, who then coordinated further investigation with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Later in the evening on November 2, the confidential informant and an undercover Pasco Sheriff’s detective met with Hall, where the detective purchased the “pipe bomb.” When asked about future purchases, Hall indicated he “had enough to build six more now.” Hall also indicated that the device he was selling to the detective had a magnet on the bottom of it.
The suspected destructive device was then disassembled by ATF bomb technicians, revealing a metal pipe sealed at both ends with end caps and filled with suspected pyrotechnic powder, with suspected pyrotechnic fuse inserted into one of the end caps. The pipe was taped to suspected mixed explosive materials. Further analysis by the ATF concluded that the device was designed to function as a weapon and would be characterized as both an improvised explosive bomb and destructive device. ATF found no records for Hall in the National Firearm Registration and Transfer Record, indicating he was unlawfully in possession of the device.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Pasco Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Samantha Newman.
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.
Western Massachusetts Man Pleads Guilty to Attempted Enticement of a MinorRead the Press Release
ALBANY, NEW YORK – James Macko, age 23, of North Adams, Massachusetts, pled guilty today to one count of attempted coercion and enticement of a minor. United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
Macko admitted that between November 16, 2022 and December 9, 2022, he exchanged text messages with an undercover officer posing as an 11-year-old child, in which he attempted to coerce and entice the assumed child into sexual contact with him. Macko arranged to meet the child in a state park in Western Massachusetts, where he intended to perform sexual acts on the child in a cave. On December 9, 2022, Macko left his home in North Adams in order to meet the child and was arrested shortly thereafter, carrying with him candy, liquor, and a length of rope.
United States District Judge Anne M. Nardacci will sentence Macko on July 28, 2023. Macko faces at least 10 years and up to life in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI and its Child Exploitation Task Force, which includes members of federal, state, and local law enforcement agencies, including the Colonie Police Department and the New York State Police. Assistant United States Attorney Benjamin S. Clark is prosecuting the case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
West Virginia doctor charged with illegal prescribing, destroying evidenceRead the Press Release
CLARKSBURG, WEST VIRGINIA – A West Virginia doctor has been indicted for the unlawful distribution of controlled substances and for destroying evidence of his alleged crimes.
David Elwood Hess, 59, of Bridgeport, West Virginia, was indicted today on twenty-five counts of improper prescribing and one count of destroying records in a federal investigation. According to court documents, Hess wrote prescriptions for Adderall, Xanax, Oxycontin, and other controlled substances to individuals without a legitimate medical purpose and beyond the bounds of professional practice. The indictment also charges Hess with remotely wiping his iPhone after it had been seized by law enforcement.
“Adderall is the chemical cousin of methamphetamine and a very powerful stimulant,” said United States Attorney William Ihlenfeld. “Given its high potential for misuse, medical practitioners must be cautious when prescribing it and when they are not, there will be consequences.”
Assistant U.S. Attorney Andrew Cogar is prosecuting the case on behalf of the government.
The Drug Enforcement Administration investigated.
An indictment is merely an allegation, and the defendant is presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.
Valley, Alabama Tax Preparer Sentenced to Federal Prison for Filing False Tax ReturnsRead the Press Release
Montgomery, Alabama – Today, United States Attorney Sandra J. Stewart announced that Christina Prather Williams, 42, from Valley, Alabama, received a sentence of 20 months in prison for preparing false federal tax returns.
According to court records and statements made in open court, Williams operated a tax preparation service in Valley, Alabama, “Family Tax Service,” where she prepared federal income tax returns for clients. Some of Williams’s clients complained to the Valley Police Department that they never received their tax refunds. The Valley Police Department’s investigation revealed that Williams had forged power of attorney forms in her clients’ names and cashed their refund checks, keeping the money for herself. The Valley Police Department reported its findings to the IRS. During its own investigation, the IRS determined that Williams had indeed prepared and filed false tax returns that included deductions her clients were not entitled to claim. In light of this conduct, on June 8, 2022, Williams was indicted.
In her plea agreement, Williams specifically admitted to filing for two individuals 2018 returns containing numerous false claims. In one return, filed in March of 2019, Williams claimed that a client incurred solar electric and water heating property costs, medical and dental expenses, home mortgage interest and points, and gifts to charity totaling $39,887.00. Williams also admitted to filing a return for another customer in April of 2019 that falsely claimed the same types of expenses, plus child and dependent care costs, in the amount of $42,841.00. Williams included all of these expenses in her customers’ returns despite knowing that the customers were not entitled to claim the expenses. As a result of Williams’ false statements, the IRS paid a larger return to the taxpayers than they were entitled to receive.
In addition to the 20-month prison sentence ordered on April 3, 2023, Williams will also serve one year of supervised release and is required to pay the IRS $76,694.00 in restitution.
“Tax preparers are entrusted to complete their clients’ returns using accurate and legitimate tax information,” stated United States Attorney Stewart. “Unfortunately, some paid tax preparers falsify information to make more money for themselves. I applaud the Valley Police Department and the IRS for investigating this case and stopping these crimes against the American taxpayer.”
“Christina Williams used her position as a tax preparer to defraud her clients and the U.S. government and will now be held accountable,” said James E. Dorsey, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “As this year’s tax season comes to a close, this is a timely reminder for taxpayers to review their returns carefully before signing and submitting them to the IRS. IRS Criminal Investigation will continue to investigate and recommend prosecution of dishonest tax preparers.”
The IRS’s Criminal Investigation Division and the Valley Police Department investigated this case. Assistant United States Attorney Megan A. Kirkpatrick prosecuted the case.
Three South Jersey Men Charged with Conspiracy to Commit Bank FraudRead the Press Release
CAMDEN, N.J. – Three men from southern New Jersey were charged with negotiating fraudulent checks with forged signatures, U.S. Attorney Philip R. Sellinger announced today.
Eugene O. Koranteng, 30, and Emmanuel S. Yirenkyi, 28, both of Maple Shade, New Jersey, and Misty Sarfo-Adu, 28, of Deptford, New Jersey, are each charged by complaint with one count of conspiracy to commit bank fraud. They are scheduled to appear by videoconference today before U.S. Magistrate Judge Sharon A. King.
According to documents filed in this case and statements made in court:
Koranteng, Yirenkyi, and Sarfo-Adu conspired to commit bank fraud by obtaining blank checks containing the names and account information of unsuspecting customers of a credit card company. They made the checks payable to members of the conspiracy, forged the customers’ signatures on the checks, and negotiated the checks at financial institutions. In July 2018, Sarfo-Adu messaged Yirenkyi a photograph of four blank checks with the account information of a customer of the credit card company. One of the checks was then made payable to Koranteng for $8,750 and deposited into Koranteng’s bank account. Another one of the checks was made payable to another conspirator for $8,750 and deposited into that conspirator’s credit union account. Members of the conspiracy also deposited other fraudulent checks using other customers’ credit card account information into the same accounts belonging to Koranteng and the other conspirator.
The count of conspiracy to commit bank fraud carries a maximum penalty of 30 years in prison and a fine of up to $1 million.
U.S. Attorney Sellinger credited special agents of the Department of Homeland Security, Homeland Security Investigations, Newark Field Office, under the direction of Special Agent in Charge Ricky J. Patel, with the investigation leading to the charges. He also thanked the U.S. Postal Inspection Service, the Burlington County Prosecutor’s Office, the Camden County Prosecutor’s Office, the Moorestown Police Department, the Mount Laurel Police Department, and the Champlin, Minnesota, Police Department for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
yirenkyi.complaint.pdf
sarfoadu.complaint.pdf
koranteng.complaint.pdfThree People Plead Guilty, Four More Charged with Conspiracy to Commit Wire Fraud in Connection with Telemarketing Scheme Targeting Timeshare Owners over the Age of 55Read the Press Release
CAMDEN, N.J. – Seven people have been charged for their participation in a telemarketing scheme to defraud timeshare owners over the age of 55, U.S. Attorney Philip R. Sellinger announced today.
William O’Hanlon, 58, and his wife Karen Stefanowski, 60, of Miami, Florida, James Toner, 41, of Lake Mary, Florida, and William Chiusano Jr., 48, of Laguna Niguel, California, are each charged in a 13-count indictment with one count of conspiracy to commit wire fraud, and multiple counts of wire fraud. O’Hanlon is additionally charged with three counts of tax evasion and one count of theft of government monies. O’Hanlon, Stefanowski and Toner were arrested today, made their initial appearances in federal court in Florida, and were released on bail.
Alex Klemash, 30, of Williamstown, New Jersey, Michael Lambe, 43, of Mullica Hill, New Jersey, and La’Tresa Jackson, 57, of Lindenwold, New Jersey, pleaded guilty on March 8, 9, and 13, 2023, respectively, before U.S. District Judge Karen M. Williams in Camden federal court to related informations charging them with conspiracy to commit wire fraud in connection with the telemarketing scheme.
According to documents filed in these cases and statements made in court:
The wire fraud conspiracy and wire fraud charges arise out of the defendants’ alleged participation in a timeshare fraud scheme operated through businesses Williams Andrews Burns LLC, Resort BnB Inc., and Williams & Burns Inc., collectively referred to as “WAB.”
From October 2016 through October 2020, the defendants and additional conspirators engaged in a scheme to financially enrich themselves by selling fraudulent services offered through WAB to timeshare owners, including offering to rent or buy the owners’ timeshares under false and fraudulent pretenses or representations, and offering to recover monies timeshare owners had previously paid in connection with other scams. The conspirators obtained lists of timeshare owners and their contact information, and cold-called them to pitch their various services in return for upfront fees.
The conspirators made numerous false and misleading statements to the timeshare owners, including falsely stating that the timeshare owners had “bonus” timeshare weeks which WAB would rent for them in return for an upfront fee, and falsely guaranteeing thousands of dollars in rental income for the timeshare owners. Once the timeshare owners had signed up and paid their fees for the phony rental services, the conspirators also generally pitched collections/recovery services, offering to obtain refunds of monies previously paid by the timeshare owners in other fraudulent scams, in return for fees. The conspirators made numerous false and misleading statements in many instances to both timeshare owners and their credit card companies.
One of the fraudulent pitches used by the conspirators was to falsely claim that the timeshare owner had been identified as a victim of timeshare fraud and was entitled to monies that were held by a government entity, often referred to as the attorney general’s office or the Federal Trade Commission (FTC), and that WAB would obtain those monies for the timeshare owner in return for the payment of an upfront fee. The conspirators also offered additional fraudulent services to timeshare owners, including occasionally offering timeshare buyouts/takeovers.
O’Hanlon ran WAB with the assistance of supervisors Toner, Klemash and Lambe in New Jersey, and Chiusano in California. O’Hanlon and the supervisors also engaged in telemarketing sales, as did Jackson, and Stefanowski was the bookkeeper/controller responsible for drafting checks drawn on the victim timeshare owners’ bank accounts.
Each count of conspiracy to commit wire fraud and wire fraud are punishable by a maximum of 30 years in prison, including an enhancement of up to 10 years in prison for committing such fraud via telemarketing that targeted persons over the age of 55 and victimized 10 or more people over the age of 55. O’Hanlon is also charged with three counts of tax evasion, punishable by up to five years in prison, and one count theft of government monies, which is punishable by up to 10 years in prison. The sentences on each count may run consecutively. Each offense also carries a potential fine of the greater of $250,000, or twice the gross gain or loss from the offense.
U.S. Attorney Sellinger credited special agents of the FBI’s Philadelphia Division, South Jersey Resident Agency, under the direction of Special Agent in Charge Jacqueline Maguire; special agents of the IRS Criminal Investigations, Newark Field Office, under the direction of Acting Special Agent in Charge Tammy Tomlins; and special agents of the Social Security Administration, Office of the Inspector General, under the direction of Special Agent in Charge, Cooperative Disability Investigations – Eastern Region, Conor Washington, with the investigation leading to the indictment, arrests, and guilty pleas.
The government is represented by Assistant U.S. Attorneys Diana Vondra Carrig and Elisa T. Wiygul of the U.S. Attorney’s Office in Camden.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
ohanlonetal.indictment.pdfThree Indicted for Forced Labor and One Charged with Labor Trafficking at Woburn RestaurantsRead the Press Release
BOSTON – A father and son who own two Woburn restaurants, Taste of Brazil—Tudo Na Brasa and The Dog House Bar and Grill, along with their relative who lives in Brazil, have been charged with conspiring to obtain labor and services from migrants whom they smuggled into the United States from Brazil through threats of serious harm.
Jesse James Moraes, 65, and Hugo Giovanni Moraes, 43, both of Woburn; and Chelbe Willams Moraes, 62—the brother of Jesse Moraes and uncle of Hugo Moraes—of Minas Gerais, Brazil were charged in a superseding indictment with forced labor conspiracy; Jesse Moraes and Hugo Moraes were charged with forced labor and attempted forced labor; and Jesse Moraes was charged with labor trafficking and attempted labor trafficking and money laundering conspiracy.
Jesse Moraes, Hugo Moraes and Chelbe Moraes were previously charged with encouraging and inducing, and conspiring to encourage and induce, an alien to come to, enter and reside in the United States for the purpose of commercial advantage or private financial gain, knowing and in reckless disregard of the fact that such coming to, entry, and residence is or will be in violation of law. Chelbe Moraes also faces additional charges of money laundering conspiracy and money laundering with intent to promote the smuggling operation and conceal the source of smuggling proceeds.
“This case is another stark example of the human trafficking that’s happening every single day in our country and our Commonwealth and the heinous lengths some employers go to in the pursuit of profit,” said United States Attorney Rachael S. Rollins. “It is alleged that these defendants conspired to take advantage of the American dream. Individuals seeking to come to the United States for a better life to benefit themselves and their families were allegedly taken advantage of and deceived. We allege that these defendants endangered the victims they smuggled and compelled them to work through threats of violence and other serious harm. Additionally, Chelbe Moraes allegedly provided false documents to help migrants enter the United States and claim asylum. This hurts the overwhelming majority of people who abide by our immigration laws, especially those seeking refuge out of fear of persecution in their home country. The victims in this case are real people with families who have taken on immeasurable risk to come to the United States, only to be met with threats of violence and oppression. Such conduct will not be tolerated in our Commonwealth.”
“Labor traffickers treat humans like commodities, profiting from the mistreatment of their workforce and using force, fraud, or coercion to push people to work and make it difficult or impossible to leave. Today’s superseding indictment alleges that Moraes and his conspirators smuggled individuals into the United States, charging them tens of thousands of dollars only to withhold wages to ostensibly pay back their smuggling debt,” said Michael J. Krol, Acting Special Agent in Charge for Homeland Security Investigations in New England. “Homeland Security Investigations is proud to work every day with our partners to investigate and seek justice for survivors of human trafficking.”
“An important part of the mission of the U.S. Department of Labor, Office of Inspector General is to investigate allegations of labor trafficking involving the use of coercion or force. We will continue to work with our law enforcement partners to investigate these types of allegations,” said Jonathan Mellone, Special Agent in Charge of the Department of Labor, Office of Inspector General.
According to the charging documents, Chelbe Moraes and his co-conspirators targeted and smuggled migrants from Brazil into the United States for a fee of approximately $18,000 – 22,000. Once the migrants were in the United States, Jesse Moraes and Hugo Moraes allegedly targeted and recruited migrants to work in their restaurants in Woburn by promising them good jobs and a better life than they had in Brazil and arranging for the victims to rent or share the rental of one or more apartments owned or controlled by the defendants. It is alleged that Jesse Moraes and Hugo Moraes withheld wages from the victims in order to pay off their smuggling debts and forced the victims to work long hours, often performing difficult manual labor, while subjecting the victims to threats of serious harm – including financial harm, violence and deportation to prevent them from quitting and demanding better pay and working conditions. It is further alleged that Chelbe Moraes, Jesse Moraes and Hugo Moraes gave or offered to give fake documentation to the victims in order to support asylum claims or false claims of work authorization.
Members of the public who believe they may be victims of the alleged crimes, or have information or questions about this case, are encouraged to call 888-221-6023, Option 5 or send an email with contact information to [email protected].The charges of forced labor, attempted forced labor, and forced labor conspiracy provide for a sentence of up to 20 years in prison, up to five years of supervised release and a fine of up to $250,000. The charge of labor trafficking and attempted labor trafficking provides for a sentence of up to 20 years in prison, up to five years of supervised release and a fine of up to $250,000. The charge of encouraging and inducing, and conspiring to encourage and induce, an alien to come to, enter, and reside in the United States for financial gain, knowing and in reckless disregard of the fact that such coming to, entry, and residence is or will be in violation of law provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charges of money laundering and money laundering conspiracy provide for a sentence of up to 20 years in prison, three years of supervised release, and a fine of $500,000 or twice the amount involved in the transaction, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins; HSI Acting SAC Krol; DOL-OIG SAC Mellone; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Woburn Police Chief Robert F. Rufo, Jr., made the announcement today. Valuable assistance in the investigation was provided by the Norwood Police Department. Assistant U.S. Attorneys James D. Herbert, Kelly Lawrence and Samuel R. Feldman of Rollins’ Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Thirteen Sentenced to Federal Prison for Methamphetamine Trafficking and Related Firearms CrimesRead the Press Release
FLORENCE, SOUTH CAROLINA — Eleven men and two women from across the Pee Dee were sentenced to multi-year terms in federal prison after pleading guilty to their roles in a methamphetamine conspiracy out of the Chesterfield and Darlington County areas.
- Clifford Ray Gardner, 67, of McBee, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute methamphetamine, distribution of methamphetamine, and being a felon in possession of a firearm and ammunition;
- Zachary Miles Gardner, 29, of Hartsville, was sentenced to 57 months in prison after pleading guilty to aiding and abetting distribution of methamphetamine;
- Marion Wendell Brown, Jr., 37, of Hartsville, was sentenced to 14 years in prison after pleading guilty to possessing a firearm in furtherance of drug trafficking;
- Harvey Lee Dixon, 37, of Hartsville, was sentenced to 74 months in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Jeffrey Scott Lloyd, 32, of Hartsville, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Craig Leon Warr, 50, of Hartsville, was sentenced to 5 years in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Ricky Jerry Wallace, 30, 0f Patrick, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Charles Barney Lloyd, 50, of Hartsville, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Justin Lee Kelly, 40, of Hartsville, was sentenced to 80 months in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Jonathan Nowell Dixon, 41, of Hartsville, was sentenced to 66 months in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Ashley Jordan Griffits, 33, of Hartsville, was sentenced to 92 months in prison after pleading guilty to conspiracy to distribute methamphetamine;
- Thomas George Hall, II, 42, of Hartsville, was sentenced to 10 years in prison after pleading guilty to conspiracy to distribute methamphetamine; and
- Lacey Elizabeth Watford, 22, of Hartsville, was sentenced to 5 years in prison after pleading guilty to conspiracy to distribute methamphetamine.
Wallace and Warr’s terms of imprisonment will be followed by a ten-year term of court-ordered supervision. The remaining defendants will have a five-year term of court-ordered supervision to follow imprisonment. There is no parole in the federal system.
“Our office is dedicated to protecting the people of South Carolina from the dangers of drug trafficking and related gun crimes,” said U.S. Attorney Adair F. Boroughs. “I want to thank our law enforcement partners who worked together to dismantle this methamphetamine trafficking ring and hold accountable those who were pedaling this dangerous drug into our neighborhoods.”
“The same individuals responsible for bringing deadly narcotics into our communities are often responsible for much of the violent gun crime we face,” said Bennie Mims, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Charlotte Field Division. “Bringing these individuals to justice and dismantling drug trafficking networks has a major impact on stopping gun violence and making communities safer.”
“We are thankful for the diligent work and collaboration of the many departments that brought an end to the organization that was bringing these dangerous drugs into our community,” said Public Information Officer for the City of Hartsville Michelle Byers Brown. “The City of Hartsville continues to stay vigilant and dedicated to working with all agencies to assure that individuals who desire to harm our city and surrounding communities are brought to justice.”
Evidence presented to the Court showed that Clifford Ray Gardner was the head of a multi-year methamphetamine trafficking conspiracy based out of Chesterfield and Darlington Counties. During the course of that conspiracy, Gardner was accountable for trafficking more than 9 kilograms of methamphetamine.
Evidence showed Harvey Lee Dixon, Jeffrey Scott Lloyd, Craig Leon Warr, Ricky Jerry Wallace, Charles Barney Lloyd, Justin Lee Kelly, Jonathan Nowell Dixon, Ashley Jordan Griffits, Thomas George Hall, II, and Lacey Elizabeth Watford were distributors within the conspiracy. Each was accountable for trafficking half a kilogram or more of methamphetamine during the course of the conspiracy.
In May 2019, law enforcement executed a search warrant at Marion Wendell Brown Jr.’s residence in Hartsville, from which he sold drugs. Officers found two rifles and a 12-gauge shotgun, approximately $1,000 in cash, 16 grams of methamphetamine, and a quantity of heroin. A subsequent search of the same location revealed additional drugs and a stolen law enforcement firearm.
In May 2021, law enforcement conducted a controlled buy of approximately 55 grams of methamphetamine from Clifford Ray Gardner at a residence in McBee. Zachary Miles Gardner was the middleman on the deal.
In June 2021, law enforcement executed a search warrant at the same McBee residence where the controlled buy occurred. Officers found three firearms. Federal law prohibits Clifford Ray Gardner from possessing firearms because of a prior felony conviction.
Chief United States District Judge R. Bryan Harwell sentenced all thirteen individuals.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was investigated by Hartsville Police Department, Chesterfield County Sheriff’s Office, Darlington County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Drug Enforcement Administration (DEA). Assistant U.S. Attorney Katherine Flynn prosecuted the case.
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Texas Man Pleads Guilty to Columbia Pharmacy BurglaryRead the Press Release
JEFFERSON CITY, Mo. – A Houston, Texas, man pleaded guilty in federal court today to stealing nearly $7,000 in prescription drugs from a Columbia, Mo., pharmacy.
Reginald Tremayne Jackson, 32, pleaded guilty before U.S. Magistrate Judge Willie J. Epps Jr. to one count of the burglary of a business registered with the Drug Enforcement Administration.
By pleading guilty today, Jackson admitted that he broke into the drive through window at Kilgore’s Medical Pharmacy, 1608 Chapel Hill Road, at approximately 2:26 a.m. on June 4, 2022. Once inside the pharmacy, Jackson used a pry tool to force open a locked cabinet that contained prescription medications. Jackson put the prescription bottles in a green-and-white-striped bag, left the pharmacy through the drive-through window, and got into the rear passenger’s seat of a silver Chevrolet Malibu driven by a co-defendant. The vehicle drove away at approximately 2:31 a.m.
Columbia police officers were able to track the Malibu using a GPS tracking device that had been taken during the pharmacy burglary. Officers located the vehicle at the Ramada Inn, 901 Conley Road in Columbia, and conducted a traffic stop. Jackson was in the rear passenger seat of the Malibu; he and the driver were arrested.
Security video footage from Ramada Inn and the GPS tracking device indicated the vehicle had stopped near the Ramada Inn sign for approximately two minutes prior to the traffic stop. Officers walked the tree line area, where they saw footprints in the heavy dew in the grass, and found the green-and-white-striped bag approximately 15 feet from the edge of the tree line. The bag contained stolen prescription bottles of hydromorphone, methylphenidate, morphine, oxycodone, and oxycontin. Kilgore’s provided a calculated list of the drugs and quantities stolen for a drug loss value of approximately $6,981.
Under federal statutes, Jackson is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Heather D. Richenberger. It was investigated by the Columbia, Mo., Police Department, the Boone County, Mo., Sheriff’s Department and the FBI.
Texas Laboratory Agrees to Pay $5.9 Million to Settle Allegations of Kickbacks to Third Party Marketers and Unnecessary Drug TestsRead the Press Release
Genotox Laboratories Ltd., of Austin, Texas, has agreed to pay at least $5.9 million to resolve False Claims Act allegations that it paid volume-based commissions to third party marketers in violation of the Anti-Kickback Statute and submitted claims to federal health care programs for unnecessary drug tests. In parallel proceedings, the U.S. Attorney’s Office for the Western District of Texas and Genotox entered into an eighteen-month Deferred Prosecution Agreement to resolve a criminal investigation regarding the same conduct.
“Laboratories are prohibited from paying kickbacks to third parties to arrange for laboratory orders,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will hold accountable companies that violate the rules intended to protect the integrity and resources of federal health care programs.”
The settlement announced today resolves allegations that, from 2014 to 2020, Genotox paid kickbacks to independent contractor sales representatives and marketing firms to arrange for or recommend the ordering of Genotox’s laboratory testing, in violation of the Anti-Kickback Statute. As part of the settlement, Genotox admitted and accepted responsibility for paying independent contractor marketers, whom Genotox referred to as “1099” representatives, a percentage of the revenue Genotox received from billing Medicare, the Railroad Retirement Board (RRB), and TRICARE for laboratory testing orders facilitated or arranged for by the 1099 representatives.
The Anti-Kickback Statute prohibits offering, paying, soliciting, or receiving remuneration to induce referrals of items or services covered by Medicare and other federally funded health care programs. The Anti-Kickback Statute is intended to ensure that medical providers’ judgments are not compromised by improper financial incentives and are instead based on the best interests of their patients.
In addition, the settlement resolves allegations that, from 2014 to 2022, Genotox submitted claims to Medicare, RRB, and TRICARE for laboratory tests that were not covered and/or not reasonable and necessary, including blanket orders and routine standing orders of drug testing for all patients in a provider’s practice. As part of the settlement, Genotox admitted and accepted responsibility for offering health care providers order forms known as “custom profiles” for each provider to pre-select the tests to order, which Genotox then performed and billed, for all or nearly all of the provider’s patients, generally at the highest reimbursement categories, such as definitive drug testing for 22 or more drug classes.
Under the settlement with the United States, Genotox has agreed to pay $5.9 million, plus additional amounts if certain financial contingencies occur. The settlement amount was based on the company’s ability to pay.
In connection with the settlement, Genotox entered into a five-year Corporate Integrity Agreement (CIA) with the Department of Health and Human Services Office of Inspector General (HHS-OIG). The CIA requires, among other things, that Genotox maintain a compliance program, implement a risk assessment program, and hire an Independent Review Organization to review Medicare and Medicaid claims at Genotox.
“Kickbacks harm the integrity of federal programs and unnecessarily increase costs to taxpayers,” said U.S. Attorney Jill E. Steinberg for the Southern District of Georgia. “Patients should know that decisions concerning their health are based on their needs, not the profit margins of providers.”
“The Deferred Prosecution Agreement ensures that Genotox will live up to its compliance obligations,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “My office is committed to the effort to root out fraud and abuse in the health care system.”
“Health care companies that engage in kickback schemes can undermine the public’s trust in medical institutions and the financial integrity of the programs billed,” said Special Agent in Charge Tamala E. Miles of HHS-OIG. “Working with our law enforcement partners, our agency will continue to investigate such allegations in order to detect and deter illicit activity targeting federal health care programs.”
“The Department of Defense (DOD) Office of Inspector General’s Defense Criminal Investigative Service (DCIS) is committed to rooting out fraud schemes that not only waste valuable taxpayer resources, but also impact mission readiness,” said Special Agent in Charge Michael Mentavlos of the DCIS Southwest Field Office. “DCIS, along with our law enforcement partners, will aggressively pursue and hold those accountable who undermine the integrity of DOD’s taxpayer funded health care program, known as TRICARE, which is intended for our service members, retirees, and their families.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Alex DiGiacomo, Genotox’s former billing manager. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. DiGiacomo v. Genotox Laboratories, Ltd., et al., No. 2:20-cv-97 (S.D. Ga.). As part of the settlement, DiGiacomo will receive approximately $1 million.
The civil resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the Southern District of Georgia, with assistance from HHS-OIG and DCIS.
The matter was handled by Fraud Section attorneys Douglas Rosenthal and Christopher Terranova and Assistant U.S. Attorney Bradford C. Patrick for the Southern District of Georgia. Assistant U.S. Attorneys G. Karthik Srinivasan and Alan Buie handled the criminal matter in the Western District of Texas.
The government’s pursuit of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 1-800-HHS-TIPS (800-447-8477).
Except to the extent of the facts admitted by Genotox, the claims resolved by the settlement are allegations only and there has been no determination of liability.
Tax preparer found to have illegally prepared false tax returnsRead the Press Release
HOUSTON – A local woman has been convicted of seven counts of aiding and assisting in preparing false tax returns, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury sitting in Houston returned a guilty verdict April 3 against Cheryl Christin Kissentaner following a four-day trial.
At trial, the jury heard from federal agents as well as five of Kissentaner’s clients.
Testimony and evidence revealed individuals paid Kissentaner to prepare tax returns from 2016 through 2019 through her company First Financial Tax Services. However, she was not legally allowed to do so. The jury heard that a paid tax preparer is required to have paid all of his or her own tax returns, but Kissentaner had failed to pay her 2012-2017 tax returns until late 2019. This was after the tax returns she prepared and filed for a fee.
From 2016 through 2019, Kissentaner prepared at least nine tax returns in which she created fake businesses that allegedly operated at losses. They also claimed false fuel tax credits, state income tax deductions for Texas residents (who did not pay a state income tax), false medical expenses, false medical expenses, unemployed reimbursement expenses, false contributions to charity, other false expenses for businesses and failed to report IRA distributions.
Kissentaner also claimed that, pursuant to an engagement letter she prepared for her clients, she owed no duty to examine their returns for fake claims. However, Kissentaner filed numerous certificates under oath with the IRS in which she promised the government she would exercise due diligence in examining the tax returns she prepared and filed. She also charged tax preparer fees well in excess of other firms that provided the same services and asked potential clients to identify a reference and offered them a fee if they referred individuals themselves.
At trial, evidence showed that 98 percent of her clients obtained a refund even though several owed as much as $25,000 and did not pay any income taxes throughout the year. One such client had been obtaining a refund in excess of $8,000 each year. However, after Kissentaner became aware she was under investigation, that client was informed she owed over $10,000. When she inquired as to the change, Kissentaner untruthfully claimed that it was due to a change in the tax law and due to the client’s son now attending college on a full-time basis.
Further, a large percentage of Kissentaner’s clients claimed fuel tax credits despite the fact that only 0.2 percent of all tax payers would be eligible for that benefit.
U.S. District Judge David Hittner presided over the trial and set sentencing for June 29. At that time, Kissentaner faces up to three years imprisonment for each count of conviction.
She has been and will remain in custody pending that hearing.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Adam Laurence Goldman and Tyler White prosecuted the case.
Tax Preparer Admits Preparing at Least 23 Fraudulent ReturnsRead the Press Release
ST. LOUIS – A tax preparer from Jennings, Missouri on Tuesday admitted preparing at least 23 fraudulent tax returns that created losses of more than $500,000.
Darius D. Cobb, 51, pleaded guilty in front of U.S. District Judge Henry E. Autrey to two felony counts of aiding in the preparation of a false and fraudulent tax return.
Cobb admitted preparing at least 200 tax returns for the tax years 2017 and 2018. In at least 23 of the returns, Cobb included some false information: fake W-2 forms with false wages and withholdings, false Schedule C forms reporting profit or loss from a business, false claims for the American Opportunity Credit for educational expenses and false information about dependents.
In one example in the plea agreement, Cobb included a business loss of $14,024 for one taxpayer even though the taxpayer was not a business owner.
The total losses from Cobb’s crimes were approximately $517,021, the plea says.
Cobb is scheduled to be sentenced July 11. The crime carries a maximum penalty for each charge of 3 years in prison, a $250,000 fine, or both. Cobb has also agreed to pay restitution to the IRS.
The case was investigated by IRS - Criminal Investigations. Assistant U.S. Attorney Jennifer Roy is prosecuting the case.
Tax Evader Sentenced to PrisonRead the Press Release
PHOENIX, Ariz. – Ryan C. Patterson, 34, of Scottsdale, Arizona, was sentenced last week to 20 months in prison, followed by three years of supervised release. He also was ordered to pay $436,194 in restitution to the IRS. Patterson was convicted on September 23, 2022, by a federal jury of three counts of tax evasion, after a two-week trial.
Patterson, a contractor specializing in remodels, directed customers to make out checks to him personally and deposited the checks into his personal checking accounts. He failed to report $1.9 million in income and avoided nearly $550,000 in taxes. He also reported a loss of $38,000 in 2016, while at the same time purchasing a primary residence for $445,000 in cash and making other lavish expenditures.
“The conviction and sentencing of the defendant are the result of an effort by the Internal Revenue Service to vindicate the rights of honest American taxpayers by holding scofflaws to account,” said U.S. Attorney Gary Restaino. “Instead of following the law, Patterson blatantly ignored it, and selfishly lined his pockets with money to which he wasn’t entitled.”
This case was investigated by the Internal Revenue Service Criminal Investigation. Assistant U.S. Attorneys Kevin M. Rapp and Aron Ketchel, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00724-PHX-JJT
RELEASE NUMBER: 2023-048_Patterson# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Tampa Area Man Sentenced to More Than 17 Years for Series of Convenience Store RobberiesRead the Press Release
Tampa, FL – U.S. District Judge Mary Scriven has sentenced Enrique Marquez (26, Tampa) to 17 years and 11 months in federal prison for four Hobbs Act robberies, conspiracy to commit those robberies, and two counts of brandishing a firearm during the commission of the robberies. Marquez had pleaded guilty on December 5, 2022.
According to court documents, on May 5, 2022, Marquez and his co-defendants robbed two convenience stores in the Tampa area. During the robberies, Marquez brandished a firearm. The next morning, Marquez and his co-defendants robbed two more Tampa area convenience stores in the same manner. In addition, on May 1, 2022, Marquez shot two individuals when he and one of his co-defendants attempted to rob an individual in an effort to obtain narcotics.
Marquez’s co-defendants, Christopher Alvarez and Dyonnie Alvarez, previously pleaded guilty to their roles in this case. Their sentencing hearings are scheduled for April 18, 2023.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hillsborough County Sheriff's Office. It was prosecuted by Assistant United States Attorney Samantha Newman. The forfeiture was handled by Assistant United States Attorney Suzanne Nebesky.
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.
Surprise Man Sentenced to Four Years in Prison for False Claims to the IRSRead the Press Release
PHOENIX, Ariz. –Anthony Henry Williams, 52, of Surprise, Arizona, was sentenced last week by United States District Judge Michael T. Liburdi to four years in prison. Williams was convicted on January 11, 2023, of 17 counts including conspiracy, false claims to the IRS, and transactional money laundering.
In 2018 and 2019, Williams submitted seven false tax returns to the Internal Revenue Service (IRS), claiming over $3 million in owed refunds. The IRS processed one of these returns that resulted in an unwarranted $600,000 refund to Williams. The IRS later advised him that the return was fraudulent, and that Williams needed to return the money. Williams failed to do so; instead, he purchased two luxury vehicles and a home, among other expenditures.
His co-defendant, Shakina Williams, pleaded guilty and was sentenced to time served followed by 12 months of supervised release for her role in the offense. Both defendants were ordered to pay almost $600,000 in restitution. They also were ordered to forfeit their interests in a Surprise home, an Audi A7, and a Porsche Panamera.
Internal Revenue Service Criminal Investigation conducted the investigation in this case. Assistant United States Attorneys Kevin M. Rapp and Kristen Brook, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00722-PHX-MLT
RELEASE NUMBER: 2023-047_Williams# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Straw Purchaser of Gun that Killed Detroit Police Officer Sentenced to PrisonRead the Press Release
DETROIT – A Detroit man was sentenced today to two years in prison for purchasing a Draco pistol for his friend, Ehmani Davis, who would go on to use the firearm in the killing of Detroit Police Officer Loren Courts, United States Attorney Dawn N. Ison announced today.
Ison was joined in the announcement by Craig Kailimai Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Explosives, and Firearms.
Sheldon Thomas, age 27, of Detroit, Michigan, was sentenced by United States District Judge Gershwin Drain. According to court documents and statements made in court, on June 7, 2022, Thomas bought a Century Arms Draco pistol in Eastpointe, Michigan. Thomas admitted to lying on the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Federal Firearms Transaction Record Form 4473, by falsely certifying that he was the buyer of the firearm when he knew he was purchasing it for Ehmani Davis.
Thomas gave Davis the firearm on the day of the purchase. Thomas admitted that Davis gave him the money to buy the firearm. Thomas further admitted that he made multiple attempts to purchase a handgun for Davis.
“The tragic death of Detroit Police Officer Loren Courts is another terrible example of what happens when guns are supplied to those who are prohibited from possessing them,” said U.S. Attorney Ison. “Fighting violent crime is a top priority in our office, and we are committed to holding accountable those who engage in illicit firearm transactions.”
“The loss of Detroit Police Officer Courts was a tragedy that could have been prevented. There are serious consequences that can come from illegally purchasing firearms for prohibited individuals. A critical part of ATF’s mission is to stop violent criminals from possessing firearms before a loss of life occurs,” said, Assistant Special Agent in Charge Craig Kailimai “We will continue to work side by side with our U.S. Attorney’s, federal, state, and local law enforcement partners to make our communities safer.”
This case was investigated by the Bureau of Alcohol, Tobacco, Explosives, and Firearms. The case was prosecuted by Assistant U.S. Attorney Barbara Lanning.
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.
St. Louis Man Who Tried to Bring 100 Pounds of Methamphetamine to St. Louis Sentenced to 10 Years in PrisonRead the Press Release
ST. LOUIS – A man caught trying to bring 100 pounds of methamphetamine to the St. Louis, Missouri area was sentenced Tuesday to 10 years in federal prison.
Dawuane Lamont Rhodes Jr., now 25, was arrested in October 2020 with $15,005 in cash, an assault-style weapon and a pistol when he tried to pick up the methamphetamine at a University City garage.
Law enforcement was waiting because a Geary County, Kansas sheriff’s deputy had stopped a van heading to St. Louis from Colorado and found two duffle bags containing roughly 100 pounds of methamphetamine.
Demond Bernard McDaniels Jr., 27, of St. Charles, had arranged for Rhodes to do the pickup. After he was told that Rhodes didn’t show, McDaniels brought $6,930 in cash and jewelry to the pickup location.
Investigators later found $93,820 in cash and a pistol at McDaniels’ home.
McDaniels and Rhodes pleaded guilty in November in front of U.S. District Judge Matthew T. Schelp to one felony count of conspiracy to distribute and possession with intent to distribute methamphetamine. They agreed to forfeit the money seized during the investigation as well as two Dodge Charger Hellcats and a 2015 Mercedes Sprinter van.
The case was investigated by the Drug Enforcement Administration and the U.S. Postal Inspection Service. Assistant U.S. Attorney Paul D’Agrosa prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Spearfish Man Sentenced for Attempted Receipt of Child PornographyRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Jeffrey L. Viken has sentenced a Spearfish, South Dakota, man convicted of Attempted Receipt of Child Pornography. The sentencing took place on April 3, 2023.
Anthony James Kemp, 56, was sentenced to five years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and a $5,000 special assessment to the Victims of Trafficking Fund. Kemp will also be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Kemp was indicted for Attempted Sexual Exploitation of a Minor, Attempted Enticement of a Minor Using the Internet, and Attempted Receipt of Child Pornography by a federal grand jury in August of 2021. He pleaded guilty on December 2, 2022.
Kemp was arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2021 Sturgis Motorcycle Rally, targeting internet predators. Following multiple text messages with an undercover persona Kemp thought was a 15-year-old girl, he negotiated a time and place he would meet the girl to have sex. When Kemp went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by Homeland Security Investigations, the South Dakota Division of Criminal Investigation, the Pennington County Sheriff’s Office, and the Rapid City Police Department. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Kemp was immediately remanded to the custody of the U.S. Marshals Service.
Sixth Defendant Pleads Guilty to Local “DMV Board” Dogfighting ConspiracyRead the Press Release
ALEXANDRIA, Va. – A Westmoreland County man pleaded guilty yesterday to conspiring to engage in dogfighting.
According to court documents, from at least May 2015 through August 2020, Tarry Jeron “TJ” Wilson, 38, and other conspirators from Virginia, D.C., and Maryland, used a messaging app private group, which they generally referred to as “the DMV Board” or “the Board,” as a place where they and their associates could discuss training fighting dogs, exchange videos about dogfighting, and arrange and coordinate dog fights, away from the view of law enforcement authorities. Members of the DMV Board also used the messaging app to compare methods of killing dogs that lost fights, as well as to circulate media reports about conspirators who had been caught by law enforcement and discuss methods to minimize the likelihood that they would be caught themselves.
According to court documents, Wilson, who used the kennel name “City Limits,” regularly used the DMV Board to solicit fights for his dogs, and to notify his fellow dogfighters of the results of the fights that were arranged. In January 2019, Wilson entered his dog “City Limits Lil Bella” in a fight in Delaware. The fight lasted one hour and 12 minutes, before his dog lost the fight. Wilson later described on the DMV Board how, when his attempt to electrocute the dog failed, he simply shot her.
In June 2020, Wilson attended five dogfights, including two involving his own dogs. Wilson’s dog, “Thor,” won the first fight when the opposing dog quit 16 minutes into the fight. Wilson’s dog, “Red Alert,” won the last fight after 32 minutes when the opposing dog stopped moving. In August 2020, Wilson possessed eight pit-bull type dogs at his Warsaw residence, including four that bore scarring patterns that indicated previous involvement in dogfighting.
According to court documents, Wilson warned members of the DMV Board to be sure to confirm the death of the dogs that they try to kill upon losing a fight. He explained that one time, he and a co-conspirator thought that their dog had died in a fight, only to find that the dog returned to life. Further, Wilson provided on the DMV Board instructions on how to kill a losing dog and offered to drive to another conspirator’s house to hang the dog from a tree himself. Wilson told his fellow DMV Board members that he “loved” killing losing dogs.
According to court documents, in response to a news article posted to the DMV Board regarding an individual charged with running a dogfighting operation, Wilson warned: “People like dogs. They don’t like what we doing to them, though, I bet you that.”
In August 2022, Wilson and six others were indicted for a dogfighting conspiracy involving the DMV Board. Five of those six have previously pleaded guilty and been sentenced for dogfighting offenses.
Wilson is scheduled to be sentenced on June 20, 2023. He faces a maximum penalty of five years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
Assistant U.S. Attorneys Gordon D. Kromberg and Cristina C. Stam are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-154.
Sex Offender Sentenced to More Than 26 Years in Prison for Sexual Exploitation of a ChildRead the Press Release
BOSTON – A registered sex offender from Lawrence has been sentenced in federal court in Boston for sexually exploiting a 12-year-old girl.
Irvin Abreu, 38, was sentenced on March 31, 2023 by US District Judge Patti B. Saris to 315 months in prison and 10 years of supervised release. In April 2022, Abreu pleaded guilty to one count of sexual exploitation of children.
“Upon being released from custody for enticing a 15-year-old child, Mr. Abreu – a registered sex offender – immediately began to sexualize and harm another child. His victim was even younger this time at 12 years old. This recidivist is a predator who has repeatedly sought out to harm innocent children and rob them of their childhood. He is a danger to our society and remains exactly where he belongs – behind bars and away from our children. We commend the victim’s mother for reporting this predator’s exploitation and harm of her child so swiftly,” said United States Attorney Rachael S. Rollins.
“Abreu is a registered sex offender who went on to offend again, sexually abusing a child and documenting the abuse by producing child exploitation material. We are grateful to our law enforcement partners whose vigilance and collaboration brought this case to our attention and has resulted in this significant sentence,” said Michael J. Krol, Acting Special Agent in Charge for Homeland Security Investigations in New England.
Two months after being released from state custody and placed on probation for the exploitation of a 15-year-old girl, Abreu met a 12-year-old girl on the internet, groomed her and had sex with her on more than one occasion, documenting the sexual abuse in videos and photographs. The victim’s mother discovered communications between them and immediately reported the matter to local police. Forensic analysis of Abreu’s phone revealed photos, videos and text messages, including imagery depicting his sexual abuse of and sexualized communications with the victim. Additionally, Abreu’s internet history revealed searches for elementary schools in Lawrence, an internet search for “first time sex positions for virgins,” and an internet search for “what does pedophile mean.”
U.S. Attorney Rollins and HSI Acting SAC Krol made the announcement. Valuable assistance was provided by the Lawrence Police Department and the Essex County District Attorney’s Office. Assistant U.S. Attorney Anne Paruti, Chief of Rollins’ Major Crimes Unit and the District’s Project Safe Childhood Coordinator, prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. “My office is also committed to prevention,” said U.S. Attorney Rollins. “In addition to our school-based outreach, we offer trainings for parents and guardians across the Commonwealth to help demystify some of the ways predators access our children through modern technology. We will always investigate and prosecute predators, while simultaneously committing to educate caregivers about the dangers our young people can face in the digital world.” For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Repeat Sex Offender Sentenced to Life in Prison for Producing Child PornographyRead the Press Release
CHARLOTTE, N.C. – Brian Wittke, 51, a previously convicted sex offender who shared child pornography online and produced child pornography of two children under age two, was sentenced to life in prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Wittke, of Wilkes County, was also ordered to serve a lifetime of supervised release and will be required to register as a sex offender should he ever be released from prison.
Robert Schurmeier, Director of the North Carolina State Bureau of Investigation (SBI) and Chief Andy LeBeau of the Boone Police Department join U.S. Attorney King in making today’s announcement.
“Brian Wittke is a repeat sex predator who caused two young children unimaginable harm,” said U.S. Attorney King. “Protecting children from sexual abuse and exploitation is a priority for my office. Our Special Prosecutions Unit is dedicated to removing predators like Wittke from the community and working with victims to ensure they have a voice in the criminal justice system.”
According to filed court documents and today’s sentencing hearing, between March 29, 2017, and July 28, 2020, Wittke engaged in sexually explicit conduct with two children for the purpose of producing child pornography videos. The criminal investigation began when an undercover detective with the Boone Police Department downloaded child pornography videos that Wittke shared online. The downloads led to law enforcement officers executing a search warrant at Wittke’s residence where the officers seized a thumb drive. A forensic examination of the thumb drive revealed the presence of 57 child pornography videos, five of which depicted Wittke engaging in sexual conduct with two children under age two. In 2001, Wittke was convicted in Wilkes County of two counts of Taking Indecent Liberties with a Child.
On October 6, 2022, Wittke pleaded guilty to production of child pornography. He is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
The Boone Police Department and North Carolina State Bureau of Investigation handled the investigation.
Assistant United States Attorney Kimlani Ford of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Red Lake Man Sentenced to over 16 Years in Federal Prison for RapeRead the Press Release
DULUTH, Minn. – A Red Lake man has been sentenced to 200 months in prison followed by five years of supervised release for sexually assaulting a woman in her home on the Red Lake Reservation, announced United States Attorney Andrew M. Luger.
As proven at trial, on July 3, 2020, Descart Austin Begay, Jr., 38, knowingly raped and sexually assaulted a victim in her home until she was finally able to escape.
On September 6, 2022, Begay was found guilty on two counts of aggravated sexual abuse and two counts of sexual abuse. Begay was sentenced today in U.S. District Court by Judge Nancy E. Brasel.
This case is the result of an investigation conducted by the Red Lake Tribal Police Department and the FBI Headwaters Safe Trails Task Force.
Assistant U.S. Attorney Evan B. Gilead prosecuted the case.
Rapid City Woman Sentenced to 10 Years in Prison for Drug TraffickingRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Jeffrey L. Viken has sentenced a Rapid City, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on March 24, 2023.
Brittany Vermeulen, 35, was sentenced to 10 years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Vermeulen was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in July of 2022. She pleaded guilty on January 6, 2023.
During her involvement in the conspiracy Vermeulen obtained distributable quantities of fentanyl, at times traveling to the Denver, Colorado, area to pick up fentanyl. Upon her return to South Dakota, she would then distribute the fentanyl, primarily in the Black Hills area.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), the Drug Enforcement Agency, and the South Dakota Highway Patrol. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorney Gina S. Nelson prosecuted the case.
Vermeulen was immediately remanded to the custody of the U.S. Marshals Service.
Raleigh Man Sentenced to 19 Years in Federal Prison for Multiple Armed RobberiesRead the Press Release
RALEIGH, N.C. – Ira Burnett, 34, of Raleigh, North Carolina was sentenced today to 228 months in prison for charges related to four armed robberies in Raleigh, North Carolina.
According to court records and evidence presented in court, Ira Burnett committed four-armed robberies in Raleigh between June 27, 2021 and July 5, 2021. He displayed a weapon to rob a Family Dollar, two Walgreens, and Sky Blue Tobacco all located in Raleigh.
A “Be on the Look Out” or B.O.L.O. announcement was made public by the Raleigh Police Department on June 29, 2021, which included two photos of Burnett taken from video surveillance footage from Family Dollar. Burnett displayed or brandished a weapon to the clerks in each location. He attempted to disguise his identity by wearing a sweatshirt, a mask, and the same Fox Racing hat during each robbery. He was also observed driving the same grey in color vehicle in each location. Less than 20 minutes after his last robbery, a manager at a gas station on Wake Crossroads called police as she recognized Burnett from the B.O.L.O announcement and believed he had just left the gas station. The manager was able to provide the police with video footage and photo evidence of the vehicle Burnett was driving, a grey Nissan, which enabled police to track down the owner of the vehicle.
On July 6, 2021, the Raleigh Police Department executed a search warrant at the residence of the owner of the grey Nissan. Recovered as a result of the search was a loaded .357 caliber revolver, two sweatshirts that resembled what Burnett wore during the robberies, and a Fox Racing hat. Burnett was indicted for the robberies on September 7, 2022 and pleaded guilty to all four robberies on January 4, 2023.
Michael F. Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Raleigh Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case. Assistant U.S. Attorney Leonard Champaign prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-00208-BO.