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Friday 24 March 2023
District Man Found Guilty of Murder and Related Charges for Killing Man in Apartment Building Lobby in Southeast WashingtonRead the Press Release
WASHINGTON – Shaka Haltiwanger, 23, of Washington, D.C., has been found guilty by a jury of second-degree murder while armed and related charges stemming from a mid-morning shooting that took place on September 10, 2021 in an apartment building lobby in Southeast Washington, announced U.S. Attorney Matthew M. Graves and Chief Robert J. Contee III, of the Metropolitan Police Department (MPD).
Haltiwanger was found guilty by a jury on Mar. 22, 2023, following a trial in the Superior Court of the District of Columbia, of second-degree murder while armed, possession of a firearm during a crime of violence, carrying a pistol without a license, and possession of a large capacity ammunition feeding device. The Honorable Rainey Brandt scheduled sentencing for May 23, 2023.
According to the government’s evidence, on Sept. 10, 2021, just before 11:30 a.m., the victim, Anthony Kelley, 39, arrived at his father’s apartment building at 1400 29th Street SE to take his father—who had suffered a stroke and could not drive—to the grocery store. When Mr. Kelley entered his father’s apartment, he found Haltiwanger on the living room couch. Haltiwanger had been regularly selling crack cocaine to Mr. Kelley’s father. Mr. Kelley confronted Haltiwanger and physically removed him from the apartment. Haltiwanger and Mr. Kelley continued to argue in the hallway and stairwell of the apartment building until Mr. Kelley separated himself and began to walk away toward the building’s front door. Haltiwanger then removed a 9 mm “ghost gun” equipped with a 50-round magazine drum from his backpack and shot Mr. Kelley once in the back. The gun jammed after the first shot, and Haltiwanger fled the scene. Haltiwanger and others then proceeded to call multiple eyewitnesses to the shooting more than a dozen times using blocked phone numbers while the eyewitnesses were speaking to law enforcement on scene.
Haltiwanger was arrested in the murder case on September 30, 2021. He has been in custody ever since. At the time of the murder, Haltiwanger was on release in a pending gun and drug case in the Superior Court of the District of Columbia.
In announcing the verdict, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the assistance provided by the U.S. Marshals Service and FBI CAST team. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Sharon Donovan, Deputy Chief of the Homicide Section, and Dan Lenerz of the Appellate Section; Investigative Analyst Zachary McMenamin; Victim/Witness Advocate Jennifer Allen; Victim/Witness Security Specialists Robert Cephas, Marlon Hernandez, and Lesley Slade; Supervisory Victim/Witness Service Coordinator Katina Adams-Washington; Paralegal Specialists Meridith McGarrity and Grazy Rivera; and Supervisory Litigation Technology Specialist Leif Hickling.
Finally, they commended the work of Assistant U.S. Attorneys Gregory Kimak and Charles R. Jones, who investigated, indicted, and prosecuted the case.
Deputy U.S. Marshal Convicted of Conspiracy, Cyberstalking, Perjury, and ObstructionRead the Press Release
A federal jury convicted a deputy U.S. Marshal yesterday for conspiracy to commit cyberstalking, cyberstalking, perjury, and obstruction of a federal matter.
According to court documents and evidence presented at trial, Ian R. Diaz, 44, of Brea, California, and his then-wife, an unindicted co-conspirator (CC-1), posed as a person with whom Diaz was formerly in a relationship (Jane Doe). In that guise, they sent themselves harassing and threatening electronic communications that contained apparent threats to harm CC-1; solicited and lured men found through Craigslist “personal” advertisements to engage in so-called “rape fantasies” in an attempt to stage a purported sexual assault on CC-1 orchestrated by Jane Doe; and staged one or more hoax sexual assaults and attempted sexual assaults on Diaz’s former wife. Diaz and CC-1 then reported this conduct to local law enforcement, falsely claiming that Jane Doe posed a genuine and serious threat to Diaz and CC-1. Their actions caused local law enforcement to arrest, charge, and detain Jane Doe in jail for nearly three months for conduct for which Diaz and CC-1 framed her.
“Ian Diaz abused his position as a deputy U.S. Marshal to execute an intricate cyberstalking scheme that framed an innocent person for sexual assault, leading to her unjust imprisonment for 88 days,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “As this prosecution demonstrates, the Criminal Division is committed to preserving the public’s confidence in law enforcement by holding accountable any official who violates their oath of office and victimizes the community they are sworn to serve.”
In addition, Diaz and CC-1 took steps to conceal their conduct, including using falsely registered email accounts, using virtual private networks to access the internet anonymously, and communicating with each other using encrypted messaging services. Diaz also deleted email accounts used to communicate in furtherance of the scheme.
“Yesterday’s verdict is the culmination of unrelenting investigative work that began in 2017 when the Cyber Investigations Office initiated this case,” said Special Agent in Charge Harry A. Lidsky of the Department of Justice Office of the Inspector General (DOJ-OIG) Cyber Investigations Office. “Diaz’s egregious actions and lies to law enforcement stripped a woman of her freedom and liberty. This kind of stalking, harassment, and obstruction is unconscionable, and yesterday, the jury held Diaz accountable for his crimes. I would like to thank the jury for their time, attention, and careful consideration of the facts of this case.”
“The evidence presented at trial exposed a harrowing scheme concocted by Diaz to frame someone for crimes they didn’t commit,” said Special Agent in Charge Zachary Shroyer of the DOJ-OIG Los Angeles Field Office. “Our investigators worked tirelessly to reveal the truth about the conspiracy, lies, and stalking he committed, and to find justice for his victim.”
Diaz was convicted of one count of conspiracy to commit cyberstalking, one count of cyberstalking, one count of perjury, and one count of obstructing a federal proceeding. He is scheduled to be sentenced on June 30 and faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The DOJ-OIG investigated the case.
Senior Litigation Counsel Marco A. Palmieri and Trial Attorney Rebecca G. Ross of the Criminal Division’s Public Integrity Section and Senior Trial Attorney Mona Sedky of the Computer Crime and Intellectual Property Section are prosecuting the case.
Depew Man Convicted of Sex CrimesRead the Press Release
A Depew man who used Snapchat to coerce and entice a minor to commit sexual acts was convicted Thursday in federal court, announced U.S. Attorney Clint Johnson.
Johnny Lee Summers, 23, was found guilty of coercion and enticement of a minor; sexual abuse of a minor in Indian Country; and abusive sexual contact with a minor in Indian Country.
“The coercive and manipulative conduct perpetrated by Johnny Summers against a teenage girl is criminal and inexcusable,” said U.S. Attorney Clint Johnson. “This week, the victim took a stand against her abuser, joined by two previous child victims of the defendant. Their compelling testimony helped to ensure Summers was held accountable. I want victims to know that the law enforcement community supports them. We will fully investigate accusations of child sexual abuse and work tirelessly to bring abusers to justice.”
Prosecutors showed that Summers coerced a 14-year-old to engage in sexual activity with him from February 2021 to January 2022. Summers sent thousands of sexually inappropriate messages to the victim on Snapchat and convinced her to engage in sexual activity. He also solicited nude images of the victim and sent her nude images of himself.
Summers’ conduct continued to escalate when he regularly isolated the victim in a bathroom and touched the her in a sexual manner. His crimes culminated when Summers attempted to have sex with her in the bathroom.
During trial, two previous victims of Summers testified that he had solicited nude images and videos of them over Snapchat and Facebook messenger when they were underage.
During closing, Assistant U.S. Attorney Luster told the jury that Summers had manipulated the victim, as well as the victim’s older sister, and his attempts to blame others for his conduct should fall on deaf ears, as he needed to be held responsible for his conduct.
The FBI and Tulsa Police Department conducted the investigation. Assistant U.S. Attorneys Valeria G. Luster and Steven J. Briden are prosecuting the case.
Denver Felon Sentenced to 10 Years in Federal Prison for Weapons ViolationRead the Press Release
DENVER - The United States Attorney’s Office for the District of Colorado announces Dedric Mayfield, age 46, of Denver, was sentenced today to 10 years in federal prison after a jury convicted him of possession of ammunition by a convicted felon.
According to facts presented at trial, on August 27, 2021, Mayfield was caught on surveillance cameras firing multiple shots at a man fleeing down an alley near the 1500-block of North Verbena Street in broad daylight in a busy area. After engaging in what appeared to be drug transactions on the street, Mayfield got into an argument with a man who arrived in the area. Mayfield went to a Ford Explorer, got in the passenger seat, and his girlfriend drove the two of them away. Officers responded to the scene within minutes. They found five spent .40 caliber shell casings at the mouth of the alley. They later found a sixth spent .40 caliber shell casing near where the Ford Explorer had been parked. One bullet pierced a window at a gas station located downstream from the alley and shattered a refrigerator door inside. The gas station clerk testified that the path of the bullet from the window to the refrigerator essentially split the distance between two customers waiting in line. Officers later recovered a bullet fragment from the refrigerator. Through the Ford Explorer’s license plate, visible on camera, officers were able to identify Mayfield’s girlfriend, which led them to Mayfield. There was no dispute that he was the man on video. Officers eventually arrested Mayfield and searched his residence. They found clothing that matched what he was wearing during the shooting.
Judge William J. Martinez presided over the two-day trial in April 2022 and sentenced the defendant on March 24, 2023. Judge Martinez also sentenced the defendant to three years of supervised release.
“This dangerous felon posed a significant danger to the public after three decades of guns, violence, and general disregard for the law,” said United States Attorney Cole Finegan. “He will spend the next decade coming to the realization that we will not tolerate such unlawful behavior and will vigorously prosecute those who violate our gun laws."
“Resolving any dispute with firearms is reckless and dangerous,” said ATF Acting Special Agent in Charge Kirk Howard. “Armed felons often commit violent crimes, and we are grateful he will no longer pose a threat to our communities while in prison.”
“Our community is safer today because of the steadfast commitment of the partnering agencies to seek the greatest legal consequences for armed felons causing harm in our community,” said Denver Chief of Police Ron Thomas. “I applaud the efforts of all the investigators and prosecutors and their efforts that resulted in this outcome.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Denver Division investigated this case, with assistance from the Denver Police Department. Assistant United States Attorneys Rajiv Mohan and Celeste Rangel and prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 21-cr-00341
Court exhibitCouncil Bluffs Man Sentenced for Meth, Firearm, and Escape OffensesRead the Press Release
COUNCIL BLUFFS, IA – A Council Bluffs man was sentenced on March 22, 2023, to a total of 144 months in prison, following his guilty pleas to possession with intent to distribute a controlled substance, possession of a firearm in furtherance of drug trafficking, and escape.
According to court documents, Keven Leroy Spanel, 59, distributed methamphetamine in the Council Bluffs and Omaha metro areas. In early 2022, Spanel was arrested carrying a firearm, which he used to protect himself and his drug trafficking activities. In July 2022, while on temporary release to attend a doctor’s appointment, Spanel escaped on foot by threatening the transportation driver with a screwdriver. Spanel was apprehended five days later by the Council Bluffs Police Department. After his prison term, Spanel will be on supervised release for five years.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Southwest Iowa Narcotics Enforcement Task Force, Council Bluffs Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and United States Marshal Service investigated the case.
Coral Springs Resident Sentenced to 51 Months for Embezzlement Scheme Against Former Employer and Submission of Fraudulent CARES Act Loan ApplicationRead the Press Release
MIAMI - Jennifer Pamela Izzo, 35, of Coral Springs, Florida, has been sentenced to 51 months in prison for embezzling $94,500 from her former employer, a trucking maintenance company based in Fort Lauderdale. She also exploited her position at the company when filing a COVID-19 assistance loan on its behalf, attempting to fraudulently divert government funds for her own personal benefit. Although the loan was never granted, she stood to gain as much as $150,000 in additional illicit funds.
In August 2019, the auto-maintenance company hired Izzo as its financial bookkeeper, entrusting her with direct access to the vendor accounts and the company credit cards, including the cards issued in the names of individual employees. However, from October 2019 through April 2020, Izzo orchestrated a sophisticated scheme to defraud her employer by creating fictitious vendor accounts that she secretly controlled.] Throughout her employment, she carried out dozens of unauthorized transactions using the company’s credit cards, re-routing the stolen funds from the fake vendors, and ultimately into her own bank account.
During the start of the COVID-19 pandemic, Izzo also abused her position of trust when she was asked to file an Economic Injury Disaster Loan (EIDL) on behalf of the company, seeking federal funds to help cover its payroll expenses. But rather than listing the company’s bank account in the unsuccessful application, Izzo listed her own personal bank account as the intended beneficiary.
Izzo pled guilty on December 20, 2022, to two counts of wire fraud and one count of aggravated identity theft. While awaiting sentencing, Izzo’s bond was revoked and she was remanded into federal custody when the district court found probable cause to believe that Izzo had stolen money from yet another company that had just recently hired her. In addition to her sentence, Izzo has been ordered to pay back in the form of restitution all of the $94,500 stolen from her previous employer.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Rafael Barros of the U.S. Secret Service (USSS), Miami Field Office, and Chief of Police Patrick Lynn of the Fort Lauderdale Police Department (FLPD) announced the sentence imposed by U.S. District Robin L. Rosenberg.
USSS Miami and FLPD investigated the case, with assistance from the Small Business Administration Office of Inspector General (SBA-OIG). Assistant U.S. Attorney Eduardo Gardea Jr. prosecuted the case. Assistant U.S. Attorneys Emily Stone and Sara Klco are handling asset forfeiture.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the Small Business Administration (“SBA”) to provide Economic Injury Disaster Loans (“EIDLs”) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred. EIDL applications were submitted directly to the SBA via the SBA’s on-line application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-60155.
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Columbia Man Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
COLUMBIA, SOUTH CAROLINA —Shondel Antwan Crim, 47, of Columbia, has pleaded guilty in federal court to being a felon in possession of a firearm.
Evidence obtained in the investigation revealed that on December 15, 2021, Richland County Sheriff’s Deputies were dispatched to the home of a victim. The victim stated that she and Crim had stopped dating. She saw him at a gas station, they talked, and he tried to rekindle their relationship. She declined and left the gas station. Crim followed her and fired into her car at least 2 times, striking her car. An arrest warrant was issued for Crim.
A week later, the police saw Crim at a gas station and arrested him. They found a loaded Glock pistol in a holster inside his waistband. A search warrant was issued for his house, where they found additional ammunition along with a small amount of crack cocaine.
Crim was taken to police headquarters and given his Miranda warnings. He admitted that the gun found on him was the gun he had during the shooting into the victim’s car.
Federal law prohibits Crim from possessing a firearm based upon prior convictions for possession of crack, possession of a stolen car, possession of crack cocaine with intent to distribute in proximity of school, possession with the intent to distribute crack cocaine, and burglary.
Crim faces a maximum penalty of 10 years in federal prison. He also faces a fine of up to $250,000, restitution, and 6 years of supervision to follow the term of imprisonment. United States District Judge Mary Geiger Lewis accepted the guilty plea and will sentence Crim after receiving and reviewing a sentencing report prepared by the U.S. Probation Office.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Richland County Sheriff’s Department. Assistant U.S. Attorney William K. Witherspoon is prosecuting the case.
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Columbia Man Pleads Guilty to Federal Drug ChargeRead the Press Release
COLUMBIA, SOUTH CAROLINA — Arma Victor Strong, III, 33, of Columbia, pleaded guilty in federal court to possession with intent to distribute a quantity of methamphetamine, cocaine, and marijuana.
Evidence presented to the court showed that on July 8, 2021, a Richland County Sheriff’s Department investigator on surveillance in an unmarked car in a parking lot of a motel on Nates Road saw a person walk over to an occupied car and then saw a drug deal take place. As the person walked away from the car, the deputy saw and took a photo of what appeared to be narcotics in the person’s hand. As the car left the area, the deputy radio’ed a marked patrol unit, which conducted a traffic stop of the car on Two Notch Road after seeing traffic violations. Due to the strong smell of marijuana coming from the car, the car was searched, and a shoebox containing marijuana and pills containing methamphetamine and cocaine was found in the backseat. Strong, the driver, admitted to possessing the drugs and having distributed some earlier.
Federal law prohibits Strong from possessing firearms and ammunition based on his prior felony state convictions, which include auto breaking, possession of cocaine, domestic violence 2nd degree, assault & battery 2nd degree, and possession with intent to distribute cocaine.
Strong faces a maximum penalty of 30 years in federal prison and a fine of $2,000,000 on the drug charge. After service of the term of imprisonment, Strong will also face a term of supervision of at least 6 years. United States District Judge Mary Geiger Lewis accepted the guilty plea and will sentence Strong after receiving and reviewing a sentencing report prepared by the United States Probation Office.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Richland County Sheriff’s Department. Assistant U.S. Attorney Stacey D. Haynes is prosecuting the case.
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Colorado Pharmacy and Pharmacist Agree to Resolve Allegations that They Unlawfully Filled Dangerous Prescriptions for Controlled SubstancesRead the Press Release
DENVER—The United States Attorney’s Office for the District of Colorado announced that People’s Pharmacy, Inc. and its owner and pharmacist-in-charge, Mahnaz Abharian, have agreed to resolve allegations that the pharmacy unlawfully dispensed controlled substances, including dangerous opioids and drug combinations.
People’s Pharmacy operated a pharmacy located in Lakewood, Colorado until July 2020. Ms. Abharian is the sole owner of People’s Pharmacy and served as the pharmacist-in-charge at the Lakewood location.
The United States alleges that People’s Pharmacy violated the Controlled Substances Act between January 2014 and July 2020 by unlawfully filling prescriptions despite the presence of red flags indicating that the prescriptions were not issued for legitimate medical purposes. The prescriptions filled included exceptionally high opioid dosages and dangerous drug combinations, which can depress the central nervous system and the ability to breathe. The United States alleges that these violations resulted in serious harms, including both overdose deaths and the unlawful diversion of prescription drugs onto the street.
As part of the settlement, People’s Pharmacy agreed to a $3.5 million civil penalty, which required it to pay all of its remaining assets. The pharmacy also agreed to permanently forgo holding a pharmacy license or Drug Enforcement Administration (DEA) registration, which will prevent it from dispensing any controlled substances in the future. Ms. Abharian agreed that she will not dispense any controlled substances again in the future.
“Pharmacies and pharmacists are the last line of defense against unlawful prescriptions,” said U.S. Attorney Cole Finegan. “They have an obligation to spot, and refuse to fill, unlawful prescriptions for dangerous drugs. When a pharmacist ignores red flags indicating that a prescription lacks a legitimate medical purpose, and fills the prescription anyway, there can be deadly consequences. We will protect our community by vigorously pursuing pharmacies and pharmacists that fail to follow the law, just as we do with prescribers who issue unlawful prescriptions.”
“People’s Pharmacy perpetuated the opioid crisis by ignoring red flags and knowingly and unlawfully dispensing Oxycodone that led to addiction and in some cases death. Pharmacists have a corresponding responsibility to ensure the legitimacy of the prescriptions they fill,” said DEA Rocky Mountain Division Acting Special Agent in Charge David Olesky. “This case highlights the DEA Rocky Mountain Division’s commitment and capabilities when it comes to investigating those believed to be improperly dispensing controlled substances and our efforts to reverse the poisoning and overdose crisis plaguing our region.”
The claims against People’s Pharmacy and Ms. Abharian are allegations, and in agreeing to settle this matter, they did not admit to any liability.
This matter was investigated by the DEA’s Rocky Mountain Division and handled by Assistant United States Attorney David Moskowitz.
Clarion County Man Sentenced to Prison for Drug and Gun CrimesRead the Press Release
ERIE, Pa. - A resident of Lucinda, Pennsylvania, has been sentenced in federal court to 84 months in prison on his conviction of violating federal drug laws, Acting United States Attorney Troy Rivetti announced today.
United States District Judge Susan Paradise Baxter imposed the sentence on Kevin Wayne Huet, 35,of Lucinda, Pennsylvania.
According to information presented to the court, from in and around June 2018, to on or about February 28, 2020, Huet conspired with co-defendants to possess with intent to distribute and distributed five hundred grams or more of a mixture or substance containing a detectable amount of methamphetamine as they participated in a methamphetamine distribution network that trafficked methamphetamine from Akron, Ohio and Erie, Pennsylvania into Crawford, Venango and Warren Counties. Huet also possessed a firearm in furtherance of the drug distribution conspiracy.
Assistant United States Attorney Paul S. Sellers prosecuted this case on behalf of the government.
Acting United States Attorney Rivetti commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pennsylvania State Police, Troop E, Vice Unit, the Titusville Police Department, the Warren County Drug Task Force, the Warren County Sherriff’s Office and the Crawford County Sherriff’s Office for the investigation leading to the successful prosecution of Huet.
California Man Pleads Guilty to Assaulting Two Female Passengers on Flight to BostonRead the Press Release
BOSTON – A California man has pleaded guilty in federal court in Boston to assaulting two women aboard a redeye flight from Los Angeles to Boston.
Jairaj Singh Dhillon, 43, of Modesto, Cal., pleaded guilty on March 20, 2023 to two counts of assault while in the special aircraft jurisdiction of the United States. U.S. District Court Magistrate Judge Paul G. Levenson scheduled sentencing for June 14, 2023. Dhillon was charged in June 2022.
During an overnight flight from Los Angeles to Boston on May 31, 2022, Dhillon engaged in unwanted sexual contact with two female passengers sitting next to him. The first victim reported that Dhillon, seated in the aisle seat next to her, touched her thigh and groin area while she was taking care of her infant child who was in a car seat in the window seat next to her. The first victim called for help and stated out loud, “this man just groped me.” The second victim, who was seated in the aisle seat opposite Dhillon, reported that Dhillon reached out with both hands and simultaneously grabbed her groin and buttocks when she was standing in the aisle. Flight crew intervened and moved Dhillon to another part of the plane for the duration of the flight. Dhillon was immediately taken into custody upon the flight’s arrival in Boston.
The charge of assault while in the special aircraft jurisdiction of the United States provides for a sentence of up to six months in prison, up to one year of supervised release and a fine of up to $5,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement today. Assistant U.S. Attorney Charles Dell’Anno of Rollins’ Major Crimes Unit is prosecuting the case.
California Man Indicted for Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – DANIEL STEPHEN WRAY, a/k/a “Danny,” a/k/a “Tubs,” a/k/a “El Gordo,” age 34, a resident of Chula Vista, California, was charged March 24, 2023, in a one-count indictment by a federal grand jury with conspiracy to distribute and possess with intent to distribute 500 grams or more of methamphetamine in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 846, announced U.S. Attorney Duane A. Evans.
If convicted, WRAY faces a statutory mandatory minimum sentence of ten years, up to life imprisonment, a fine of up to $10,000,000, at least five years of supervised release following any term of imprisonment, and a $100 mandatory special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by the Drug Enforcement Administration and the Louisiana State Police. The prosecution is being handled by Assistant United States Attorney J. Benjamin Myers of the Narcotics Unit.
CEO of Titanium Blockchain Sentenced for $21M Cryptocurrency Fraud SchemeRead the Press Release
The CEO and founder of Titanium Blockchain Infrastructure Services Inc. (TBIS) was sentenced today to four years and three months in prison for his role in a cryptocurrency fraud scheme involving TBIS’s initial coin offering (ICO) that raised approximately $21 million from investors in the United States and overseas.
According to court documents, Michael Alan Stollery, 54, of Reseda, California, touted TBIS – a purported cryptocurrency investment platform – as a cryptocurrency investment opportunity, luring investors to purchase “BARs,” the cryptocurrency token or coin offered by TBIS’s ICO, through a series of false and misleading statements. Although he was required to do so, Stollery did not register the ICO regarding TBIS’s cryptocurrency investment offering with the U.S. Securities and Exchange Commission (SEC), nor did he have a valid exemption from the SEC’s registration requirements.
To entice investors, Stollery falsified aspects of TBIS’s white papers, which purportedly offered investors and prospective investors an explanation of the cryptocurrency investment offering, including the purpose and technology behind the offering, how the offering was different from other cryptocurrency opportunities, and the prospects for the offering’s profitability. Stollery also planted fake client testimonials on TBIS’s website and falsely claimed that he had business relationships with the Federal Reserve and dozens of prominent companies to create the false appearance of legitimacy. Stollery did not use the invested money as promised but instead commingled the ICO investors’ funds with his personal funds, using at least a portion of the offering proceeds for expenses unrelated to TBIS, such as credit card payments and the payment of bills for his Hawaii condominium.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; and Acting Special Agent in Charge Cory Nootnagel of the Office of Inspector General (OIG) for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau, Western Region, made the announcement.
The FBI Los Angeles Field Office and the Federal Reserve Board OIG Western Region, San Francisco Office investigated the case.
Trial Attorneys Tian Huang and Andrew Tyler of the Criminal Division’s Fraud Section prosecuted the case.
Bridgeport Gang Member involved in 2019 Murder Sentenced to More Than 21 Years in Federal PrisonRead the Press Release
ZIARE DEDRICK, also known as “Zi” and “Hb Zi,” 21, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 255 months of imprisonment, followed by five years of supervised release, for his participation in a violent Bridgeport street gang, including his involvement the murder of Ty’Quess Moore in December 2019.
Today’s announcement was made by Vanessa Roberts Avery, United States Attorney for the District of Connecticut; Joseph T. Corradino, State’s Attorney for the Fairfield Judicial District; Bridgeport Police Chief Roderick Porter; Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation; James Ferguson, Special Agent in Charge, ATF Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Acting U.S. Marshal Lawrence Bobnick.
According to court documents and statements made in court, the FBI, ATF, DEA, U.S. Marshals Service, Connecticut State Police and Bridgeport Police have been investigating multiple Bridgeport-based gangs whose members are involved in narcotics trafficking, murder and other acts of violence. Dedrick was a member of the Original North End (“O.N.E.”), a gang based in the Trumbull Gardens area of Bridgeport that committed acts of violence against rival gangs, including the East End gang, the East Side gang, and the PT Barnum gang. O.N.E. members also robbed drug dealers, customers and others, sold narcotics, and stole cars from inside and outside Connecticut, often using the cars to commit crimes. They frequently used social media to promote and coordinate their criminal activities.
In early December 2019, Dedrick and other O.N.E. members were involved in multiple shots-fired incidents in Bridgeport. In one incident, the mother of two East End gang members was shot outside of her Bridgeport home. After firing shots in the P.T. Barnum Housing Complex on December 8, 2019, Dedrick drove a stolen Lexus to Newfield Avenue in Bridgeport, considered the turf of the East End/East Side gang, where two other O.N.E. members in the car shot and killed Ty’Quess Moore, also known as “Breezo,” 18.
Dedrick has been detained since December 10, 2019. On November 23, 2022, he pleaded guilty to one count of racketeering conspiracy.
This ongoing investigation is being conducted by the FBI’s Safe Streets and Violent Crimes Task Forces, ATF, DEA, U.S. Marshals Service, Bridgeport Police Department, Connecticut State Police and the Bridgeport State’s Attorney’s Office, with the assistance of the U.S. Postal Inspection Service, Connecticut Forensic Science Laboratory and the Naugatuck Police Department. The case is being prosecuted by Assistant U.S. Attorneys Karen L. Peck, Rahul Kale, Jocelyn C. Kaoutzanis and Tara E. Levens.
This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN), Project Longevity and Organized Crime Drug Enforcement Task Forces (OCDETF) programs.
PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it. If a group member elects to engage in gun violence, the focused attention of federal, state and local law enforcement will be directed at that entire group.
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.
Box Elder man admits to assault crime in strangling partner on Rocky Boy’s Indian ReservationRead the Press Release
GREAT FALLS — A Box Elder man on March 23 admitted to an assault charge for strangling a woman on the Rocky Boy’s Indian Reservation, U.S. Attorney Jesse Laslovich said today.
Alex George Deserly, 43, pleaded guilty to assault resulting in substantial bodily injury to an intimate partner. Deserly faces a maximum of five years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. A sentencing date was set for Aug. 17. Deserly was detained pending further proceedings.
The government alleged in court documents that on June 25, 2022, medical personnel and law enforcement responded to the victim’s home for a report of a domestic assault. Deserly had left the home prior to the police arriving. The victim told law enforcement that she had confronted Deserly over messages she had seen and asked him how long he had been using methamphetamine. Deserly grabbed the victim, shoved her into a wall and strangled her. The victim tried to escape, but Deserly continued to assault and strangle her until he eventually stopped. The victim was treated for injuries.
Assistant U.S. Attorneys Jessica A. Betley and Kalah A. Paisley are prosecuting the case, which was investigated by the FBI and Rocky Boy’s Police Department.
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Boston Man Sentenced to 15 Years in Prison for Racketeering ConspiracyRead the Press Release
BOSTON – A Boston man was sentenced today for racketeering (RICO) and drug trafficking conspiracies stemming from his involvement in the Boston-based street gang, NOB.
Ricky Pina, a/k/a “Blake,” 26, was sentenced by U.S. District Court Judge Leo T. Sorokin to 15 years in prison and three years of supervised release. In June 2022, Pina pleaded guilty to one count of RICO conspiracy.
Pina is one of 10 defendants indicted on various federal charges in June 2020, as part of a broader federal sweep targeting numerous NOB members and associates in which 31 total defendants were charged. All of Pina’s co-defendants have pleaded guilty to various charges and have been sentenced.
“For years, the NOB gang was responsible for brutal and senseless violence that terrorized neighborhoods in and around Dorchester. At the center of it all was Mr. Pina, who personally committed, planned, and supported the gang’s vicious crimes and illegal operations,” said First Assistant United States Attorney Joshua S. Levy. “Mr. Pina played a critical role in the brutal execution of a young man who was just getting a haircut. Mr. Pina’s conduct left behind a devastated family who lost a precious loved one. Dismantling these types of dangerous criminal enterprises – and prosecuting the individuals who run them – remains of the highest priorities of this office. This lengthy sentence should send a clear and direct message that those participate in gang violence will be identified, prosecuted and put behind bars.”
“ATF is proud to work shoulder to shoulder with BPD and many other agencies to be a force multiplier in the fight against violent crime. Together we partner to focus on making our communities safer,” said James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division.
“Ricky Pina engaged in a ruthless campaign of gang-related violence, and trafficked deadly drugs, including fentanyl, to gain respect, reputation, and rank within this criminal enterprise. Today he learned his fate for victimizing the people of Dorchester, and beyond,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “While Mr. Pina spends the next 15 years behind bars, the FBI will continue to leverage our law enforcement partnerships to keep sustained pressure on gangs like NOB, and others who are the primary drivers of violent crime in our communities.”
According to court documents, NOB – an abbreviation for the Norton/Olney/Barry Streets in Dorchester – is a violent criminal enterprise whose members and associates are involved in numerous types of criminal activities throughout Massachusetts, including murders, attempted murders, armed robberies, drug trafficking, sex trafficking and illegal firearms offenses. In addition to multiple firearms and drugs being recovered during the investigation, numerous contraband items were also seized, including: 11 firearms; over one kilogram of fentanyl (including over 2,000 fentanyl pills manufactured to appear as commercial oxycodone pills); a commercial pill press; over 15 pounds of marijuana; and approximately $36,000 in cash.
Pina was an active, central and violent member of the gang who personally committed, planned and supported various crimes on behalf of the NOB. At sentencing, Pina was found responsible for the Sept. 5, 2017 murder of a young man in a Boston barbershop. On that date, at approximately 10:46 a.m., a hooded and masked individual shot and killed the victim, who was getting a haircut inside the barbershop. The shooter fled with another accomplice on a scooter.
At the time, Pina was subject to GPS monitoring for a state criminal case. GPS data for Pina’s location on the date of the shooting, corroborating images from various video cameras over several blocks near the shooting, witness interviews and analysis of several phones associated with NOB members/associates determined that the murder of the victim was a gang-related murder which Pina supported by providing the location of the victim to the shooter. Specifically, Pina repeatedly traveled to the barbershop in a relatively short period of time leading up to the murder, consistent with Pina gathering information about the victim. Pina’s final pass by the barbershop occurred within minutes of the victim being shot.
FAUSA Levy; Boston Police Commissioner Michael Cox; ATF SAC Ferguson; FBI SAC Bonavolonta; Brian Kyes, U.S. Marshal for the District of Massachusetts; Colonel John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; New Bedford Police Chief Paul Oliveira; Quincy Police Chief Paul Keenan; Randolph Police Chief Anthony Marag; Brockton Police Chief Brenda Perez; Stoughton Police Chief Donna McNamara; Suffolk County District Attorney Kevin Hayden; Suffolk County Sheriff Steven W. Tompkins; Plymouth County Sheriff Joseph D. McDonald, Jr.; Bristol County District Attorney Thomas M. Quinn III; and Norfolk County Sheriff Patrick W. McDermott made the announcement today. Assistant U.S. Attorneys Michael Crowley and Sarah Hoefle of the Organized Crime & Gang Unit prosecuted the case.
Benson Man Arrested for Unlawful Possession of an Unregistered MachinegunRead the Press Release
TUCSON, Ariz. – Dillyn Anthony Dust, 19, of Benson, Arizona, was charged by criminal complaint last week for Unlawful Possession of an Unregistered Machinegun.
The complaint alleges that, in January 2023, Special Agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), were alerted about an individual named Dillyn Anthony Dust possessing two machinegun conversion devices. Machinegun conversion devices are designed to convert a semi-automatic firearm into a fully automatic firearm or machinegun, with the single pull of the trigger. The devices, by themselves, are machineguns. All machineguns are required to be registered with the National Firearms Registration and Transfer Record.
On February 15, 2023, an undercover ATF Special Agent attempted to arrange for the purchase of two firearms from Dust. Although Dust sent the undercover agent a video of himself with numerous weapons including two Glock-type firearms with machinegun conversion devices attached, he refused to sell them to the undercover agent. On March 15, 2023, ATF executed a federal search warrant for Dust’s residence and located two machinegun conversion devices inside the residence.
ATF Special Agents examined the machinegun conversion devices at the scene and determined the devices met the definition of a machinegun requiring registration. After further investigation, the agents learned that the machinegun conversion devices were not registered to anyone, and that Dust did not have firearms registered to his name.
A conviction for Possession of an Unregistered Machinegun carries a maximum penalty of 10 years in prison, a $10,000 fine, or both.
A criminal complaint is merely an allegation of criminal conduct, not evidence. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
This case was 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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorneys’ Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
ATF is conducting the investigation in this case. Assistant United States Attorney Adam Rossi, District of Arizona, Tucson, is handling the prosecution.
CASE NUMBER: MJ-23-02948-N/A-MSA
RELEASE NUMBER: 2023-043_Dust# # #
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.Baltimore Man Pleads Guilty to Federal Charge for Fraudulently Obtaining More Than $1.2 Million in COVID-19 CARES Act LoansRead the Press Release
Baltimore, Maryland – Alexander Barabash, age 52, of Baltimore, Maryland, pleaded guilty today to wire fraud, relating to the submission of fraudulent Coronavirus Aid, Relief, and Economic Security (“CARES”) Act loan applications. The CARES Act was enacted in March 2020 to provide emergency financial assistance to Americans suffering from the economic effects caused by the COVID-19 pandemic.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge Kareem A. Carter of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Ross Luciano of the United States Secret Service - Baltimore Field Office.
“Barabash fraudulently obtained more than $1.2 million in CARES Act loans intended to assist struggling businesses,” said Erek L. Barron, United States Attorney for Maryland. “CARES Act fraud is a continuing priority for this office and fraudsters will be held accountable for their actions.”
“Investigating those who fraudulently acquired Coronavirus Aid, Relief, and Economic Security (CARES) Act relief funds will continue to be a focus of IRS-CI,” said Kareem A. Carter, Acting Special Agent in Charge, Washington, D.C. Field Office. “The CARES Act was put into place to assist those struggling financially due to the unprecedented COVID-19 pandemic, not for bad actors to buy cars and houses.”
Financial assistance offered through the CARES Act included forgivable loans to small businesses for job retention and certain other expenses, through the Paycheck Protection Program (“PPP”), administered through the Small Business Administration (“SBA”) and participating lenders.
According to his plea agreement, between April 2020 and January 2021, Barabash submitted three fraudulent PPP loan applications on behalf of his construction company iDesignbuild LLC (“iDesignBuild”). Barabash is the sole owner and CEO of iDesignBuild and was the sole authorized signer of the company’s business bank account.
As detailed in the plea agreement, on April 9, 2020, Barabash submitted a PPP loan application falsely stating that iDesignBuild had four employees and an average monthly payroll of $18,750. In fact, the company did not have any employees, but engaged independent contractors for work-related matters. Based on the representations made in the fraudulent application, on April 23, 2020, Barabash received $46,800 in PPP loan proceeds in the iDesignBuild bank account. On April 25, 2020, Barabash submitted a second fraudulent PPP loan application on behalf of iDesignBuild, stating that the company had seven employees and an average monthly payroll of $38,777.60. In support of the application, Barabash submitted IRS Forms 941 for each quarter of 2019 and a 2019 IRS Form 940 for iDesignBuild, signed by Barabash and his tax preparer, knowing that they had never been filed with IRS.
Barabash admitted that on January 20, 2021, he submitted a third fraudulent loan application on behalf of iDesignBuild, representing that the company had 37 employees and an average monthly payroll of $525,227. In support of the application, Barabash again submitted fraudulent IRS Forms 941 for each quarter of 2019 and a fraudulent 2019 IRS Form 940. Compared to the fraudulent forms submitted with the unsuccessful April 25, 2020 PPP loan application, the forms submitted in January 2021 reported more than six times the number of employees and nearly $1.5 million more in wages in each quarter. The forms were again signed by Barabash and his tax preparer. Barabash knew that the forms did not accurately reflect iDesignBuild’s wages or revenues, nor had they been filed with the IRS. Based on Barabash’s false representations, the bank funded a PPP loan of $1,295,000, which was credited to iDesignBuild’s bank account on February 26, 2021.
Barabash used the fraudulently obtained loans to facilitate the purchase of two properties in Sparks Glencoe, Maryland, and to purchase a 2016 Chevrolet Corvette. Barabash admitted that he knew those were not permissible uses of PPP funds and the transactions would not have been made
Barabash faces a maximum sentence of 30 years in federal prison for wire fraud. As part of his plea agreement, Barabash will be required to pay a money judgment in the amount of $1,295,000 and forfeit $504,869.54 in funds seized from the iDesignBuild business bank account. Barabash has also agreed to forfeit his interest in property located at 14044 Fox Hill Road in Sparks Glencoe, Maryland as a substitute asset, the net proceeds of which will be applied to the money judgment. Chief U.S. District Judge James K. Bredar has scheduled sentencing for June 26, 2023 at 12:00 p.m.
The District of Maryland Strike Force is one of three strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the CARES Act. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the IRS-CI and U.S. Secret Service for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Darryl L. Tarver, who is prosecuting the case. He also recognized the assistance of the Maryland COVID-19 Strike Force Paralegal Specialist Joanna B.N. Huber and Paralegal Specialist Juliette Frase.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md.
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Baltimore Felon Pleads Guilty to Federal Charge for Illegal Possession of a Firearm and AmmunitionRead the Press Release
Baltimore, Maryland – Robert Hopewell, age 27, of Baltimore, Maryland, pleaded guilty today to a federal charge for being a felon in possession of a firearm.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Commissioner Michael Harrison of the Baltimore Police Department.
According to his guilty plea, on February 8, 2022, Baltimore Police Department officers performed a traffic stop after noticing that a vehicle, later found to be driven by Hopewell, had and illegally tinted windshield. After stopping the car, officers noted a strong odor of marijuana emanating from the vehicle and ordered Hopewell to exit the vehicle. A search of the vehicle revealed shavings of suspected marijuana on the front passenger side of the vehicle and a plastic bag of suspected cocaine on the front driver’s side floorboard. In the backseat area, the detectives noticed that the rear plastic plate cover for the center console appeared to be loose and readily removable. Once the plate cover was removed, the detectives recovered a 9mm caliber pistol loaded with approximately 17 rounds of 9mm ammunition. Hopewell admitted that he knew he was prohibited from possessing a firearm and ammunition as a result of a previous felony conviction.
Hopewell and the government have agreed that, if the Court accepts the plea agreement, Hopewell will be sentenced to no more than 78 months in federal prison. Chief U.S. District Judge James K. Bredar has scheduled sentencing for June 6, 2023 at 10:00 a.m.
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.
United States Attorney Erek L. Barron commended the ATF and the Baltimore Police Department for their work in the investigation. Mr. Barron thanked Special Assistant U.S. Attorney Jonathan Tsuei, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
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Anchorage Man Sentenced to 21 Years for Role in Multistate Drug Trafficking OrganizationRead the Press Release
ANCHORAGE, ALASKA – A federal District Court judge sentenced an Anchorage man to 21 years imprisonment followed by six years of supervised release on March 22, 2023, for his role in a drug trafficking organization that spanned multiple states.
According to court documents, Dustin Noonan pleaded guilty to drug conspiracy and money laundering conspiracy for his role in a lucrative drug trafficking and distribution organization that stretched from Alaska to Arizona, California, Massachusetts, Michigan, Nevada, New Mexico, New York, Ohio, and Pennsylvania. From March 2018 through October 2020, the leaders of the organization regularly mailed large amounts of drugs to distributors throughout the country, including mailing parcels to Noonan in Anchorage, and deposited hundreds of thousands of dollars of drug proceeds into various bank accounts. During the nearly three-year investigation, law enforcement officers recovered about six kilograms of heroin, four kilograms of methamphetamine, and four kilograms of fentanyl. Over several months in 2020, investigators intercepted five drug parcels intended for Noonan, which together contained one kilogram of fentanyl and nearly 800 grams of heroin that Noonan planned to distribute throughout Alaska. The kilogram of fentanyl that Noonan intended to distribute was enough to kill 500,000 people.
Anchorage Police arrested Noonan on June 12, 2020, after they responded to a call of a domestic disturbance. As detailed in court documents, Noonan barricaded himself inside his residence and refused officer commands to come outside. He then crawled out of a window, fled on foot, and struggled with the arresting officers. Inside his vehicle, officers found a Springfield Arms XD .45 caliber semiautomatic firearm in the center console. Noonan, who had been convicted of robbing a series of pharmacies at knifepoint in and around St. Petersburg, Florida in 2006, was legally prohibited from possessing a firearm.
Noonan was indicted in April 2021 along with 9 other members of the conspiracy located in Anchorage, San Diego, and Tucson, Arizona. Tyler Landroche was sentenced to 70 months imprisonment on February 23, 2023. Kimberly Renee Mackey was sentenced to 48 months imprisonment on February 22, 2023. Jessica Twigg was sentenced to time served on May 16, 2022. Rene Pompa-Villa, Carlos Camacho, Christopher Pompa-Villa, Kyle Redpath, and Heydimar Marrero are awaiting sentencing. Victor Pompa-Villa remains at large.
“Preventing the influx of deadly fentanyl and heroin is integral to protecting this community,” said U.S. Attorney S. Lane Tucker. “We will continue to aggressively target drug trafficking organizations to disrupt the flow of these dangerous drugs into Alaska.”“The shipment of illegal narcotics has no place in the U.S. Postal Service and the State of Alaska. This should serve as a reminder of the Inspection Service’s continuous efforts to bring large scale dealers like Noonan to justice,” said Inspector in Charge Anthony Galetti. “Through the efforts of the law enforcement agencies involved, this sentencing will have a clear and lasting impact on the communities of Alaska. We thank our state, local and federal partners for their support and efforts in this investigation.”
“The severe sentence handed down underscores the dangerousness of fentanyl and reaffirms the DEA’s commitment to tirelessly investigate and prosecute those who would traffic this poison in our communities,” said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division.
“Learning the metric system should be a result of a good education, not because of drug trafficking,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Keeping the kilogram of fentanyl and additional heroin Mr. Noonan intended to distribute off of our streets is a win, but fighting the opioid crisis takes constant vigilance from all of us. IRS:CI will continue to work with our partners in the community and in law enforcement to help keep our communities safe.”
U.S. Attorney S. Lane Tucker of the District of Alaska made the announcement.
The U.S. Postal Inspection Service (USPIS); U.S. Department of Drug Enforcement Administration (DEA); the Internal Revenue Service (IRS); Alaska State Troopers, and the Anchorage Police Department investigated the case. The U.S. Marshals had a significant role in making the arrests, and the U.S. Attorney’s Offices in Tucson and San Diego played a critical role in the indictment of this case.
Assistant U.S. Attorneys Christopher D. Schroeder and Karen Vandergaw prosecuted the case.
This investigation and prosecution are part of the Organized Crime Drug Enforcement Task Force (“OCDETF”), which 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.
Beware of pills bought on the street: One Pill Can Kill. Fentanyl, a Schedule II controlled substance, is a highly potent opiate that can be diluted with cutting agents to create counterfeit pills that purport to mimic the effects of Oxycodone, Percocet, and other drugs, but can be obtained at a lower cost. However, very small variations in the amount or quality of fentanyl create huge effects on the potency of the counterfeit pills and can easily cause death. Fentanyl has now become the leading cause of drug overdose deaths in the United States. Counterfeit, fentanyl-laced pills are usually shaped and colored to resemble pills that are sold legitimately at pharmacies. For example, the counterfeit pills involved in this case, known as M30s, mimic Oxycodone, but when sold on the street they routinely contain fentanyl. These tablets are round and often light blue in color, though they may be made in many colors, and have “M” and “30” imprinted on opposite sides of the pill.
75-Year-Old South Florida Man Charged in $3 Million Check Diversion SchemeRead the Press Release
MIAMI – A Miami federal grand jury has charged Alan Paul Brooks, of Aventura, with mail fraud and money laundering.
According to the indictment, from June to December 2022, Brooks engaged in a scheme to steal funds payable to a health system in Louisiana. As alleged, Brooks caused a change of mail address to be filed for a U.S. post office box that received checks for the Louisiana health system. The address change diverted checks that were mailed to the post office box to the defendant’s home in Aventura.
It is also alleged that Brooks created fictitious operating names for a Florida shell company that he controlled. These fictitious operating names matched those of the Louisiana health system’s regional medical centers. Brooks also opened bank accounts in Aventura using the fictitious operating names and deposited into those accounts over $3 million in checks that were payable to the actual regional medical centers, according to the charges. After depositing the checks, Brooks moved the funds to other accounts that he controlled.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Special Agent in Charge Kyle A. Myles of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), Atlanta Region; Special Agent in Charge Rafael Barros of the U.S. Secret Service (USSS), Miami Field Office; acting Inspector in Charge Juan A. Vargas of the U.S. Postal Inspection Service (USPIS), Miami Division; Chief of Police Michael Bentolila of the Aventura Police Department, announced the charges.
FDIC-OIG, USSS Miami, USPIS Miami, and Aventura Police Department investigated this case. Assistant U.S. Attorney Michael N. Berger is prosecuting it. Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
An indictment contains mere allegations, and all defendants are presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-20117.
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Thursday 23 March 2023
Wisconsin Man Pleads Guilty to Making Racially-Charged Threats Toward Black ResidentsRead the Press Release
A Wisconsin man pleaded guilty to one felony count and one misdemeanor count of intimidating and interfering with Black residents because of their race and because they were exercising their right to fair housing.
According to court documents, William McDonald, 45, of West Allis, Wisconsin, admitted that in March 2021, he vandalized a Black woman’s vehicle parked outside her apartment by slashing her tires and smashing her windshield. McDonald then left a note on her car, filled with racial slurs, threatening to slash her throat and demanding she move out of West Allis. A week later, McDonald slashed two of her car tires and left another note filled with racial slurs and giving her an ultimatum – move out of the neighborhood or suffer violence. In April 2022, a Black woman and her two minor children moved into McDonald’s apartment complex. Shortly after they moved in, McDonald vandalized her front door with racial graffiti and left her a note, calling her family a racial slur and demanding she get out of the building.
“No one should feel unsafe in their home or be subjected to harmful and derogatory threats because of the color of their skin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to protect the housing rights of all individuals and vigorously prosecute those who use racially-charged threats to drive people from their homes.”
“The conduct at issue in this case strikes at the very core of the civil rights guaranteed to every American citizen under federal law,” stated U.S. Attorney Gregory J. Haanstad for the Eastern District of Wisconsin. “I commend the courage of those targeted by Mr. McDonald for coming forward. The U.S. Attorney’s Office remains committed to working with all of our federal, state, and local partners to hold individuals who violate the civil rights of others fully accountable under federal law.”
“Hate crimes are not only an attack on the victim, they threaten and intimidate an entire community. Because of their wide-ranging impact, investigating hate crimes is a top priority for the FBI,” said Special Agent in Charge Michael E. Hensle of the FBI Milwaukee Field Office. “As a law enforcement protector of civil right in the U.S., the FBI will continue to collaborate with our local and state law enforcement partners and bring to justice those who commit hate crimes.”
McDonald faces a maximum sentence of up to 11 years in prison. A sentencing date has been set for June 29. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Milwaukee Field Office and the West Allis Police Department are investigating the case.
Assistant U.S. Attorneys Christopher Ladwig and Philip Kovoor for the Eastern District of Wisconsin and Trial Attorney Nikhil Ramnaney of the Civil Rights Division’s Criminal Section are prosecuting the case.
Wisconsin Man Pleads Guilty to Making Racially Charged Threats Toward Black ResidentsRead the Press Release
United States Attorney Gregory J. Haanstad of the Eastern District of Wisconsin joined Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division in announcing that on March 23, 2023, a Wisconsin man pleaded guilty to one felony count and one misdemeanor count of intimidating and interfering with Black residents because of their race and because they were exercising their right to fair housing.
According to court documents, William McDonald, 45, of West Allis, Wisconsin, admitted that in March 2021, he vandalized a Black woman’s vehicle parked outside her apartment by slashing her tires and smashing her windshield. McDonald then left a note on her car, filled with racial slurs, threatening to slash her throat, and demanding she move out of West Allis. A week later, McDonald slashed two of her car tires and left another note filled with racial slurs and giving her an ultimatum – move out of the neighborhood or suffer violence. In April 2022, a Black woman and her two minor children moved into McDonald’s apartment complex. Shortly after they moved in, McDonald vandalized her front door with racial graffiti and left her a note, calling her family a racial slur and demanding she get out of the building.
“No one should feel unsafe in their home or be subjected to harmful and derogatory threats because of the color of their skin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to protect the housing rights of all individuals and vigorously prosecute those who use racially-charged threats to drive people from their homes.”
“The conduct at issue in this case strikes at the very core of the civil rights guaranteed to every American citizen under federal law,” stated U.S. Attorney Haanstad. “I commend the courage of those targeted by Mr. McDonald for coming forward. The U.S. Attorney’s Office remains committed to working with all our federal, state, and local partners to hold individuals who violate the civil rights of others fully accountable under federal law.”
McDonald faces a maximum sentence of up to 11 years in prison. A sentencing date has been set for June 29, 2023.
This case was investigated by the FBI Milwaukee Field Division and the West Allis Police Department.
Assistant U.S. Attorneys Christopher Ladwig and Philip Kovoor for the Eastern District of Wisconsin and Trial Attorney Nikhil Ramnaney of the Civil Rights Division’s Criminal Section are prosecuting the case.
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414-297-1700
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West Haven Woman involved in Scheme to Steal COVID-19 Relief Funds from the City Sentenced to PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that LAUREN DiMASSA, formerly known as LAUREN KNOX, 38, of West Haven, was sentenced today by U.S. District Judge Omar A. Williams in Hartford to six months of imprisonment, followed by five years of supervised release, for participating in a scheme to steal COVID-19 relief funds from the City of West Haven. Judge Williams also ordered DiMassa to serve the first six months of her supervised release in home confinement and to pay $147,776.10 in restitution.
According to court documents and statements made in court, in April 2020, the State of Connecticut was allocated money by the U.S. Department of the Treasury through the Coronavirus Relief Fund (“CRF”), which was established by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) for the purpose of helping local governments pay costs incurred in responding to the COVID-19 pandemic. From July 2020 through September 2021, the City of West Haven received approximately $1,150,257 in financial assistance from this fund. Lauren DiMassa’s now husband, Michael DiMassa, was employed by the City of West Haven, most recently serving as the Administrative Assistant to the City Council, and was also a Connecticut State Representative. Michael DiMassa, who was authorized to approve the designated relief funds for the reimbursement of COVID-related expenditures incurred by West Haven, conspired with Lauren DiMassa, John Bernardo, and John Trasacco to steal these funds and other West Haven funds through the submission of fraudulent invoices, and subsequent payment, for COVID relief goods and services that were never provided.
Between approximately July 2020 and October 2021, Michael DiMassa submitted fraudulent invoices to West Haven for services related to a Youth Violence Prevention Program and for Youth Violence COVID-19 Associated Expenses. These invoices listed charges for in-home counseling, cleaning supplies, special needs hourly service, wi-fi assistance for low/moderate income families, counseling services, license fees, a fall youth clinic, meals, support group supplies, equipment rental, and youth clinic support group. The payment vouchers requested that checks be made out to directly to Lauren DiMassa.
West Haven made 16 payments totaling approximately $147,776.10 to Lauren DiMassa, who never provided any services to the City of West Haven. Michael and Lauren DiMassa used the proceeds for their own benefit.
Lauren DiMassa was arrested on February 18, 2022. On July 14, 2022, she pleaded guilty to one count of conspiracy to commit wire fraud.
Lauren DiMassa, who is released on a $50,000 bond, is required to report to prison on May 23.
On November 1, 2022, Michael DiMassa pleaded guilty to three counts of conspiracy to commit wire fraud. He is awaiting sentencing and has agreed to pay restitution of $1,216,541.80.
On June 14, 2022, Bernardo, a West Haven city employee who with Michael DiMassa formed a company that they used to bill the city for fraudulent COVID-related consulting services, pleaded guilty to one count of conspiracy to commit wire fraud. On March 22, 2023, he was sentenced to 13 months of imprisonment and ordered to pay $58,927.25 in restitution.
On December 2, 2022, a jury found Trasacco, whose companies received approximately $431,982 through this scheme, guilty of one count of conspiracy to commit wire fraud and one count of wire fraud. He is awaiting sentencing.
This matter has been investigated by the Federal Bureau of Investigation and the U.S. Department of Housing and Urban Development – Office of Inspector General for Investigations. The case is being prosecuted by Assistant U.S. Attorneys Ray Miller and David Sheldon.
Individuals with information about allegations of attempted fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Washington man sentenced to more than 11 years in prison for drug trafficking in BillingsRead the Press Release
BILLINGS — A Washington man who admitted to a drug trafficking crime after law enforcement found fentanyl, methamphetamine, cocaine, heroin and a loaded 9mm handgun in a search of his Billings hotel room and truck was sentenced today to 11 years and three months in prison, to be followed by four years of supervised release, U.S. Attorney Jesse Laslovich said.
Joel David Lund, 40, of Seattle, Washington, pleaded guilty in November 2022 to possession with intent to distribute methamphetamine.
U.S. District Judge Susan P. Watters presided.
In court documents, the government alleged that in September 2022, an investigation into an individual caught with a significant amount of fentanyl led to Lund as the person who sold the drug from his Billings hotel room. Agents served a search warrant on Lund’s hotel room, his truck and bags and seized approximately 2,000 fentanyl pills, meth, cocaine, heroin and a loaded 9mm handgun.
Assistant U.S. Attorney Colin M. Rubich prosecuted the case, which was investigated by the Eastern Montana High Intensity Drug Trafficking Area Task Force, Homeland Security Investigations 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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Washington County Woman Sentenced to 30 Months for Bank Fraud and Aggravated Identity TheftRead the Press Release
ALBANY, NEW YORK – Renee Burnell, age 49, of Hudson Falls, New York, was sentenced today to 30 months in prison for defrauding two banks using the personal information of the customers of her plumbing and heating business.
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.
Burnell previously pled guilty to a two-count indictment charging bank fraud and aggravated identity theft, and admitted that between August 2019 and January 2020, she defrauded Synchrony Bank and The Bank of Missouri by applying for lines of credit with each bank using her customers’ personal identifiable information and then using the lines of credit to falsify purchases that benefitted her plumbing and heating business. Burnell admitted that her scheme resulted in a loss of $119,264.43 to The Bank of Missouri and a loss of $13,912.00 to Synchrony Bank.
Senior United States District Judge Lawrence E. Kahn ordered full restitution to the banks and also imposed a 3-year term of supervised release to begin after Burnell is released from prison.
The FBI investigated this case and Assistant U.S. Attorney Alexander P. Wentworth-Ping prosecuted the case.
Virginia Man Found Guilty of Charges for Shooting a Man in Northwest WashingtonRead the Press Release
WASHINGTON – A jury found Richard Nduba, 39, of Alexandria, Virginia, guilty of firing multiple shots at a man in August 2022 in Northwest Washington D.C., announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department. The verdict was returned on Wednesday, March 22, 2023. The Honorable Erik Christian scheduled sentencing for April 21, 2023.
Nduba, 39, was found guilty following a three-day trial in the Superior Court of the District of Columbia, of Assault with a Dangerous Weapon and Possession of a Firearm during the Commission of a Crime of Violence.
According to the government’s evidence, on August 10, 2022, the defendant argued with the victim, a friend, outside the Walmart on 99 H Street NW around 7:00pm. After the argument, the victim, who is wheelchair bound, went to the 800 block of 1st street NW next to the Walmart’s loading dock area to speak on the phone. The defendant circled the block in his rental SUV until he found the victim. Upon finding the victim, the defendant lowered his window, pointed a black handgun at the victim, and shot at the victim twice. The defendant stopped shooting only after the victim acted as if he had been hit and played dead in his wheelchair. Both shots, however, missed the victim. A bullet hole was later discovered in Walmart’s loading dock door, next to where the victim had been sitting at the time of the shooting.
This case was investigated by the Metropolitan Police Department. It was investigated, prosecuted. and tried by Assistant U.S. Attorneys Omeed Assefi and Colin Cloherty of the Major Crimes Unit of the U.S. Attorney’s Office for the District of Columbia. Valuable assistance was provided by Assistant U.S. Attorneys Kimberly Nielsen and Kathleen Kern, Paralegal Specialist Debra McPherson, and Litigation Technology Specialist Charlie Bruce.
Utah Man Pleads Guilty to Multiple Counts of Tax EvasionRead the Press Release
A Utah man pleaded guilty today to willfully evading the proper assessment of income tax.
According to court documents and statements made in court, Ashley James Robinson, of Farmington, filed false tax returns for years 2016 through 2019 that did not report a total of approximately $1,163,818 in income. As a result, Robinson caused a tax loss to the IRS of approximately $427,145.
He is scheduled to be sentenced on May 26, 2023, and faces a maximum penalty of five years in prison for each tax evasion count. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Trina A. Higgins for the District of Utah made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorney Boris Bourget of the Justice Department’s Tax Division and Assistant U.S. Attorney Bryan N. Reeves of the District of Utah are prosecuting the case.
Upper Marlboro Fraudster Sentenced to More Than Nine Years in Federal Prison for His Role in a $28 Million Ponzi Scheme Involving “1st Million Dollars”Read the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang today sentenced John Erasmus Frimpong, age 42, of Upper Marlboro, Maryland, to 114 months in federal prison, followed by three years of supervised release, for conspiracy to commit wire fraud, conspiracy to commit securities fraud, and securities fraud, in connection with a $28 million Ponzi scheme involving 1st Million, a purported wealth management and financial literacy company. Judge Chuang also ordered Frimpong to pay restitution, along with his co-defendants, in the full amount of the actual, total loss, including (1) $16,664,020 for the full amount of the victims’ losses relating to the 1st Million scheme to defraud; and (2) $797,775 for the full amount of losses caused by Frimpong’s separate scheme in which he contracted directly with individual victims purporting to invest on their behalf.
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; Special Agent in Charge Matthew R. Stohler of the United States Secret Service - Washington Field Office; and Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service - Washington
According to his plea agreement, Frimpong and his co-conspirators operated a Ponzi scheme through a Delaware incorporated business named The Smart Partners LLC, doing business as 1st Million LLC or 1st Million Dollars (“1st Million”). 1st Million presented itself as a wealth management and financial literacy company. Frimpong acted as 1st Million’s “Managing Partner” and “Chief Marketing Operator” and co-defendant Arley Ray Johnson acted as 1st Million’s “Chief Operating Officer” or “Director of Operations.”
Frimpong admitted that he made false and misleading representations to potential investors as to the nature and safety of the investments in 1st Million, the rates of return, and the experience, training and licensure of 1st Million and its principals. Specifically, Frimpong and his co-conspirators falsely claimed they would be investing victims’ money and that investors were being paid using the profits generated by the trading. Frimpong and other conspirators also falsely promised investors that their principal would be protected in a “trust” and returned in full upon the completion of the investment, regardless of market volatility. Frimpong and his co-conspirators further falsely promised extremely high rates of return. Many of these false promises were repeated not only by Frimpong, but also by “agents” who were given higher rates of return for bringing in investors. Frimpong also falsely told investors that he and 1st Million were “licensed” traders, and in compliance with all laws and U.S. Securities and Exchange Commission regulations.
In reality, Frimpong and his co-conspirators did not use investor funds for trading, nor did they place investor principal—or any investor funds—into a trust account. In fact, victim funds were not placed in a trust account or otherwise guaranteed. Neither Frimpong, nor anyone else at 1st Million had a license to offer securities or trade currency. In addition, Frimpong and his co-defendants falsely claimed that 1st Million was financially healthy and earning astronomical profits, but 1st Million’s accounts were frequently overdrawn and 1st Million had substantial cash flow problems, all of which Frimpong and his co-conspirators concealed from investors.
Frimpong and his co-conspirators used investor funds for personal gain, including cash and cryptocurrency transfers to themselves and family members. Frimpong and the co-conspirators used some investor funds to keep the scheme afloat, including by using investor funds to make payments to existing investors, leading those investors to believe that they were receiving “returns” on their investments as they had been promised. Frimpong and his co-defendant also used investor funds to pay office expenditures and fund lavish events at hotels in order to recruit additional investors.
As detailed in the plea agreement, Frimpong and his co-conspirators fraudulently solicited over $28.3 million from over 1,200 victims across the United States, including in Maryland, Texas, Florida, New York and Georgia.
By Spring 2019, 1st Million’s accounts were often overdrawn by hundreds of thousands of dollars, and some of the checks 1st Million sent to pay investors monthly returns were returned by the bank due to insufficient funds. Nevertheless, Frimpong continued to solicit funds from existing investors, as well as new investors, and failed to tell any of these potential investors of 1st Million’s financial problems. Ultimately, the scheme collapsed in May 2019 and hundreds of 1st Million investors collectively lost millions of dollars.
As the scheme started to collapse in the spring of 2019, Frimpong began his own separate scheme in which he contracted directly with individuals to invest on their behalf, again falsely promising to invest the money in foreign exchange, falsely promising sky-high returns, and falsely telling his clients that he was a duly-licensed trader. Frimpong admitted that he invested very little of these clients’ money and instead used hundreds of thousands of dollars of fraudulently obtained investment proceeds to fund his own lifestyle. Through this separate scheme, Frimpong misappropriated at least $1,499,751 in U.S. currency from individual victim investors.
Arley Ray Johnson, age 63, of Bowie, Maryland, was sentenced in January to78 months in federal prison for his role in the fraud scheme.
Dennis Jali fled the United States in May 2019, but has since been arrested in South Africa.
Separate civil actions filed against Frimpong and his co-defendants by the Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission remain pending.
United States Attorney Erek L. Barron commended the FBI, the U.S. Secret Service, and the U.S. Postal Inspection Service for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Caitlin R. Cottingham and Jennifer L. Wine, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud.
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U.S. Attorney’s Office Resolves ADA Complaint Alleging That Local Doctor’s Office Failed to Provide Sign Language InterpreterRead the Press Release
DETROIT –The United States Attorney’s Office for the Eastern District of Michigan resolved its investigation of Dearborn Obstetrics and Gynecology, P.C. The complainant, who is deaf and utilizes American Sign Language (ASL) as her primary means of communication, alleged that Dearborn Obstetrics failed to provide her with free ASL interpretation services and dismissed her as a patient due to her disability. The voluntary resolution agreement between the U.S. Attorney’s Office, the U.S. Department of Health and Human Services Office for Civil Rights, and Dearborn Obstetrics requires the doctor’s office to fully comply with the non-discrimination requirements of the Americans with Disabilities Act of 1990 (ADA).
The ADA protects the rights of all individuals, regardless of disability, to fully and equally enjoy the benefits and services offered by places of public accommodation, which includes medical practices. It requires such places of public accommodation to provide the necessary auxiliary aids and services to ensure that communication with their patients is effective. The agreement emphasizes the practice’s commitment to ADA compliance going forward. Consistent with the ADA, the agreement requires Dearborn Obstetrics to provide ASL interpreters and other auxiliary aids and services free of charge when necessary.
“Individuals who have disabilities should not face additional barriers when accessing medical care,” U.S. Attorney Dawn N. Ison said. “To prevent such barriers, the Americans with
Disabilities Act requires effective communication with patients who are deaf or hard of hearing, such as the ASL interpreter that this patient needed.”Under the agreement, Dearborn Obstetrics will adopt new ADA policies and practices, train its staff on those polices, report any future complaints from individuals who have disabilities to the U.S. Attorney’s Office, and provide monetary compensation to the complainant.
The U.S. Attorney’s Office’s investigation was led by AUSA Michael El-Zein, a member of the Eastern District’s Civil Rights Unit. The full and fair enforcement of the ADA is a priority of the U.S. Attorney’s Office for the Eastern District of Michigan. The Civil Rights Unit was established in 2010 with the mission of prioritizing federal civil rights enforcement. For more information on the Office’s civil rights efforts, including a copy of the agreement, please visit https://www.justice.gov/usao-edmi/programs/civil-rights.
Individuals who believe they have been subjected to discrimination or have experienced a civil rights violation can submit a complaint with the U.S. Attorney’s Office by email at
[email protected] or by phone at (313) 226-9151. Complaints can also be submitted to the Civil Rights Division through its complaint portal.U.S. Attorney's Office Hosts Second Community Event as Part of DOJ's United Against Hate InitiativeRead the Press Release
PHOENIX, Ariz. – The United States Attorney’s Office for the District of Arizona held its second United Against Hate event yesterday at the Sandra Day O’Connor College of Law at Arizona State University in Phoenix, Arizona. The event provided an opportunity for an informative and robust discussion with members and leaders from Arizona’s LGBTQIA+ community. Approximately 80 invited guests, including community members and leaders, law enforcement, lawyers who prosecute or litigate hate crimes/incidents and discrimination claims, and a reporter with LookoutPhx.org, were in attendance. The event focused on establishing a dialogue, brainstorming ways to increase trust in law enforcement, and increasing community understanding of the critical importance of reporting hate crimes and hate incidents.
“Hate crimes harm not just individuals, but also traumatize communities and families,” said Gary Restaino, U.S. Attorney for the District of Arizona. “My office is committed to using all the tools in our law enforcement arsenal, both to prosecute acts motivated by hate, and to educate against ignorance and bias.”
Yesterday’s event featured a discussion with a panel comprised of community leaders, law enforcement partners, and members of the U.S. Attorney’s Office. The panel discussion, moderated by the U.S. Attorney’s Office, allowed attendees to hear directly from leaders in the community, who shared their thoughts, concerns, and experiences with hate crimes and incidents. The event also included presentations from the FBI, the Phoenix Police Department, the Maricopa County Attorney’s Office, and the Arizona Attorney General’s office.
The District of Arizona will hold additional United Against Hate events in the coming months to engage with communities across the state. These events will further encourage collaboration, support hate crimes prevention efforts, and encourage more Arizonans to report hate crimes and hate incidents.
RELEASE NUMBER: 2023-042_United Against Hate
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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.Two Previously Deported Men Charged with Illegal ReentryRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that two previously deported men were indicted separately by a federal grand jury for illegal reentry into the United States.
According to United States Attorney Gerard M. Karam, Santiago-Hernandez, age 40, of Mexico, was indicted by a federal grand jury with illegal reentry into the United States by a previously removed alien. The indictment alleges that Santiago-Hernandez was previously removed from the United States on March 19, 2015, through Laredo, Texas, and it is alleged that he reentered the United States without first obtaining legal permission to do so. The indictment also alleges that on July 2, 2022, Santiago-Hernandez was encountered in Franklin County, Pennsylvania.
The case was investigated by U.S. Immigration Customs and Enforcement (ICE) and the Pennsylvania State Police. The maximum penalty under federal law for this offense is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine.
Jose Serrano-Castillo, age 31, of El Salvador, was indicted by a federal grand jury with illegal reentry into the United States by a previously removed alien. The indictment alleges that Serrano-Castillo was previously removed from the United States on September 2, 2022, through Alexandria, Louisiana, and it is alleged that he reentered the United States without first obtaining legal permission to do so. The indictment also alleges that on March 16, 2023, Serrano-Castillo was encountered in Franklin County, Pennsylvania.
The case was investigated by U.S. Immigration Customs and Enforcement (ICE). The maximum penalty under federal law for this offense is 8 years of imprisonment, a term of supervised release following imprisonment, and a fine.
Assistant U.S. Attorney Jaime M. Keating is prosecuting the cases.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Two KCK Residents Indicted for Fentanyl ConspiracyRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Kansas, man and woman have been indicted by a federal grand jury for their roles in a conspiracy to distribute fentanyl.
Alonso Alfredo Nunez, also known as “Bullet,” 19, and Jaloany Garcia-Medina, also known as “J. Lo,” 20, were charged in a four-count indictment returned by a federal grand jury in Kansas City, Mo., on March 14, 2023. They were arrested today and had their initial court appearance.
The federal indictment alleges that Nunez and Garcia-Medina participated in a conspiracy to distribute 400 grams or more of fentanyl from July 25 to Dec. 18, 2022. In addition to the conspiracy, Nunez and Gacia-Medina are also charged together in one count of distributing fentanyl. Garcia-Medina is also charged with two counts of distributing fentanyl.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Trey Alford. It was investigated by the Jackson County Drug Task Force and the FBI.
Two Doctors Convicted for Unnecessary Urinalysis Testing SchemeRead the Press Release
A federal jury convicted two doctors today for their involvement in a scheme to commit health care fraud.
According to court documents and evidence presented at trial, Dr. William Lawrence Siefert, 69, of Dayton, Ohio, and Dr. Timothy Ehn, 50, of Union, Kentucky, orchestrated their health care fraud scheme through Northern Kentucky Center for Pain Relief, a pain clinic in Florence, Kentucky. Siefert, a medical doctor, was employed by the clinic, and Ehn, a chiropractor, was the clinic’s owner. Siefert and Ehn engaged in a scheme to bill Medicaid for millions of dollars in medically unnecessary urinalysis testing for their patients, which included urinalysis testing purportedly conducted on faulty machinery.
Siefert and Ehn were each convicted of health care fraud. Ehn was additionally convicted of conspiracy to commit health care fraud. Siefert and Ehn are both scheduled to be sentenced on Sept. 20. Siefert faces a maximum penalty of 10 years in prison. Ehn faces a maximum penalty of 10 years in prison on each of the health care fraud conspiracy and health care fraud counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, DEA Administrator Anne Milgram, Special Agent in Charge Tamala E. Miles of the Department of Health and Human Services Office of Inspector General (HHS-OIG), and Kentucky Attorney General Daniel Cameron made the announcement.
The FBI, DEA, HHS-OIG, and Kentucky Medicaid Fraud Control Unit investigated the case.
Trial Attorneys Dermot Lynch, Lindsey Carson, and Assistant Chief Lauren Kootman of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in late 2018, ARPO has partnered with federal and state law enforcement agencies and U.S. Attorneys’ Offices throughout Alabama, Kentucky, Ohio, Virginia, Tennessee, and West Virginia to prosecute medical professionals and others involved in the illegal prescription and distribution of opioids. Over the past three years, ARPO has charged over 115 defendants collectively responsible for issuing prescriptions for over 115 million controlled substance pills. To date, more than 60 ARPO defendants have been convicted. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
Timber Thief Sentenced in Connection with Large-Scale Theft from Government LandRead the Press Release
ROANOKE, Va.- One of three men accused of violating the Lacey Act and conspiring with others to illegally remove walnut trees from federally protected land, was sentenced recently in U.S. District Court in Roanoke.
William Riley Stump, 52, of Narrows, Virginia, was sentenced last week to four months in prison. He previously pleaded guilty to one count of illegal removal of timber from federally protected land.
According to court documents, Stump, and co-defendants Derrick Anthony Thompson and Justin Wayne Johnson, conspired to cut and remove black walnut trees located in the Bluestone Project in Giles County, Virginia and transport them to Lindside, West Virginia to sell. The Bluestone Project is a United States Army Corps of Engineers Flood Damage Reduction project designed to inhibit flood-level water flow along both the New River and Bluestone River. The project’s federally-protected area involves 21,000 acres of land that is a fertile habitat for growth of certain trees and plants, including the highly valuable black walnut trees, which are among the largest and longest living hardwood trees in the United States.
The U.S. Forest Service and the Army Corps of Engineers investigated the case.
Assistant U.S. Attorney Michael Baudinet prosecuted the case.
Three San Francisco Residents Plead Guilty to Crimes in Firearms Trafficking SchemeRead the Press Release
SAN FRANCISCO –John Dillon Sembrano, Kelly Mean, and Ryan Vinhnavong Chantha pleaded guilty today to crimes stemming from their respective roles in a firearms trafficking scheme, announced United States Attorney Ismail J. Ramsey and Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) Acting Special Agent in Charge Joshua Jackson. The pleas were accepted by the Hon. Charles R. Breyer, Senior United States District Judge.
On August 9, 2022, a federal grand jury indicted the defendants, charging all three with dealing firearms without a license between August 6, 2020, and November 16, 2021. Sembrano and Mean also were charged with being a felon in possession of a firearm. According to their plea agreements, all three defendants admitted to the charges that were pending against them.
Sembrano admitted in his plea agreement that he engaged in the business of dealing firearms in San Francisco. He admitted that he purchased or otherwise acquired dozens of firearms from a variety of sources and that he had another unlicensed firearms dealer sell them by using advertisements on Snapchat and Instagram. In addition, Sembrano admitted on November 16, 2021, he possessed seventeen firearms—four of which were stolen—that he stored in both the bedroom of his Bayview neighborhood residence and his vehicle. At the time Sembrano possessed the firearms, he already had been convicted of a felony and therefore was not permitted to possess weapons. Sembrano pleaded guilty to one count of dealing firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A), and one count of being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1).
For his part, Mean admitted that he also engaged in the business of dealing firearms without a license between August 6, 2020, and November 16, 2021, and that he acquired firearms from a variety of sources and then re-sold them. Mean admitted that on November 16, 2021, he possessed two Glock 9 mm caliber pistols with high-capacity magazines in connection with his firearms dealing business. Mean also admitted that he also had been convicted of a felony and was ineligible to possess the firearms. Like Sembrano, Mean pleaded guilty to one count of dealing firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A), and one count of being a felon in possession of a firearm in violation of 18 U.S.C. § 922(g)(1).
Chantha admitted that he posted advertisements on social media applications Snapchat and Instagram to sell dozens of firearms. Chantha also admitted he had reason to believe that at least two of the firearms he sold would be transferred to a person who could not lawfully possess a firearm or who would use the firearm unlawfully or would dispose of the firearm unlawfully. Chantha pleaded guilty to dealing firearms without a license in violation of 18 U.S.C. § 922(a)(1)(A).
Sembrano and Mean face a maximum statutory sentence of up to ten years in prison and Chantha faces a maximum statutory sentence of up to five years in prison. In addition, as part of sentencing, the court also may order that the defendants serve additional periods of supervised release as well as pay fines and special assessments. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Judge Breyer scheduled Sembrano’s sentencing hearing for June 7, 2023, and scheduled Chantha and Mean’s sentencing hearings for July 12, 2023.
Assistant United States Attorneys George Hageman and Daniel Kassabian are prosecuting the case with the assistance of Kevin Costello. The prosecution is the result of an investigation by the ATF and the San Francisco Police Department.Third Illinois Prison Guard Sentenced to Six Years of Imprisonment Following Guilty Plea to Civil Rights Deprivation Resulting in Bodily Injury and Death and Obstruction ChargesRead the Press Release
SPRINGFIELD, Ill. – Willie Hedden, 43, a former sergeant at the Western Illinois Correctional Center in Mt. Sterling, Illinois, was sentenced on March 22, 2023, to six years’ imprisonment, to be followed by five years of supervised release, for civil rights deprivation resulting in bodily injury and death and obstruction of justice offenses in connection with the death of Larry Earvin, an inmate at the facility.
In December 2019, a federal grand jury returned an indictment against Hedden, of Mt. Sterling; Todd Sheffler, 54, of Mendon, Illinois; and Alex Banta, 31, of Quincy, Illinois, charging each of them with civil rights resulting in bodily injury and death and obstruction offenses.
Hedden accepted responsibility for his crimes by pleading guilty in March 2022 to conspiracy to deprive civil rights and deprivation of civil rights under color of law resulting in bodily injury and death and conspiracy to engage in misleading conduct.
At the sentencing hearing in front of Senior U.S. District Judge Sue E. Myerscough, the government summarized the evidence from those trials. During the trials, the government presented evidence that Hedden, and co-defendants Sheffler, who was a lieutenant, and Banta, who was a correctional officer, participated in the May 17, 2018, assault of Earvin, 65, during their forcible escort of Earvin from the residential housing unit of the prison to the segregation housing unit while he was restrained and handcuffed behind his back and while he posed no physical threat to the defendants or other correctional officers. The government presented further evidence, and Hedden admitted in his plea agreement, that Hedden, as a sergeant and therefore a senior officer to co-defendant Banta, had a duty to intervene to prevent the assault in which he also participated. The assault resulted in serious bodily injury to Earvin, including multiple broken ribs, a punctured mesentery, and other serious internal injuries, and resulted in Earvin’s death in June 2018. After the assault, all three defendants failed to ensure Earvin received medical care and instead sought medical attention for their own minor scratches and thereafter falsified incident reports that they filed with prison officials and lied to the Illinois State Police by denying any knowledge of or participation in the assault.
Also at the sentencing, the government presented evidence that it was part of the culture at the facility to abuse inmates and lie to cover up the abuse. At Sheffler’s and Banta’s prior sentencings, during which Judge Myerscough sentenced each of them to a total of 20 years’ imprisonment, the government summarized the evidence establishing that Banta had inflicted the most serious blows leading to Earvin’s death, including jumping in the air and landing on Earvin with both knees. In recommending a reduced sentence of 10 years’ imprisonment, the government advised the court of Hedden’s acceptance of responsibility and remorse for his crimes.
At the first trial in April 2022, Banta was convicted of all five charges in the indictment. The jury in that joint trial was unable to reach verdicts as to Sheffler, resulting in a retrial in August 2022 at which he was convicted of the same charges.
“At the sentencings, we advised the court that the government’s job is to seek justice and not to win, and that an appropriate sentence in this case should include justice for the victim, Mr. Earvin,” said U.S. Attorney Gregory K. Harris. “We hope that the convictions of Todd Sheffler, Alex Banta, and Willie Hedden and now their imposed sentences provide a measure of justice for Larry Earvin and his family. We also hope it serves as a warning to all those who would abuse governmental power that they will be held accountable under the law. Although the vicious and brutal beating of Mr. Earvin cost him his life, and that is a loss that can never be remedied, all of those persons whom the evidence established violated Mr. Earvin’s constitutional rights and caused his death (Sheffler, Hedden, and Banta) have been and are being held accountable. Our prosecution of this case demonstrates our continued commitment to equal justice under the law and to protecting society’s vulnerable, including those in our prisons.”
Harris added that his office also wanted to express its appreciation to the Federal Bureau of Investigation’s Springfield Office and highlighted the complete cooperation of the Illinois State Police and the Illinois Department of Corrections (IDOC), for their thorough and professional investigation of this most important civil rights matter. Harris also especially recognized and thanked the efforts of FBI Special Agents Angela Bray and Price McCarty for their tireless efforts, without which a just outcome in this matter would not have been possible. In addition, Harris noted the important testimony of IDOC witnesses who initially participated in the cover up of these offenses, but ultimately came forward and told the truth about the events surrounding Mr. Earvin’s death. Holding the defendants accountable for their murder of Mr. Earvin would not have been possible without their testimony. Finally, Harris noted that the actions of a few here had unfairly tarnished the reputations of the men and women in law enforcement who honorably serve their communities with professionalism on a daily basis.
“While the conduct of Willie Hedden and his co-defendants is not characteristic of the vast majority of those working in law enforcement, it unfortunately undermines the efforts of officers who serve with integrity and who bear the responsibility to respect and defend the rights of those under their watch,” said FBI Springfield Special Agent in Charge David Nanz. “Hedden’s actions tarnished the reputation and badge worn proudly by the many hard-working and upstanding officers who abide by their oath. The FBI is unyielding in our commitment to zealously protect the rights of all Americans and to hold accountable anyone charged with safeguarding those rights.”
“ISP thoroughly investigates civil rights violations to hold those who break the law accountable,” said Illinois State Police Director Brendan F. Kelly. “This type of conduct is unacceptable and cannot be tolerated.”
The statutory penalties for each of the civil rights resulting in death charges are up to life imprisonment. The statutory penalties for each of the obstruction of justice charges are up to 20 years of imprisonment.
The case was the result of a joint investigation by the U.S. Attorney’s Office for the Central District of Illinois, the FBI-Springfield Field Office, and the Illinois State Police Division of Internal Investigation, with the cooperation of the Illinois Department of Corrections. Assistant U.S. Attorneys Timothy A. Bass and Eugene L. Miller represent the government in the prosecution.
Tampa Felon Pleads Guilty to Possessing A FirearmRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that Demetrius Sanchez Mitchell (38, Tampa) has pleaded guilty to possessing a firearm as a convicted felon. Mitchell faces a mandatory penalty of 15 years in prison. He has agreed to forfeit the firearm and ammunition traceable to his offense.
According to court documents, on July 2, 2022, officers with the Tampa Police Department stopped a vehicle being driven by Mitchell. During a search of the vehicle, officers located a loaded 9 mm pistol in the center console. At the time of the stop, Mitchell had multiple prior felony convictions, including convictions for aggravated assault with a deadly weapon, robbery, carjacking, and being a felon in possession of a firearm. As a previously convicted felon, Mitchell is prohibited from possessing a firearm under federal law.
This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney David P. Sullivan.
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. Petersburg Woman Sentenced to 15 Years for Producing Child Sexual Abuse VideoRead the Press Release
Tampa, Florida – U.S. District Judge Mary Scriven today sentenced Emrah Kuc (27, St. Petersburg) to 15 years in federal prison for production, distribution, receipt, and possession of child sexual abuse material, to be followed by 10 years of supervised release, and a requirement to register as a sex offender. The court also ordered Kuc to forfeit a MacBook Pro and four iPhones, which were used in the commission of the offense. The court reserved ruling on the issue of restitution. Kuc had pleaded guilty on December 12, 2022.
According to court documents, after a cyber tip was reported to the National Center for Missing and Exploited Children (NCMEC), law enforcement investigated Kuc’s online activities and recovered multiple electronic devices from Kuc’s residence. A search of those devices revealed images and videos of children being sexually abused. Law enforcement discovered that Kuc was receiving and sharing videos and images of child sexual abuse on various social media applications and had also produced a video of child sexual abuse material with a toddler.
“This sentence demonstrates the unwavering dedication and commitment of HSI special agents who are working tirelessly to protect our most vulnerable,” said HSI Tampa Assistant Special Agent in Charge Kristopher Pagitt. “Our message is clear. HSI will work tirelessly with our law enforcement partners and the United States Attorney’s Office to bring to justice those who prey upon children.”
This case was investigated by Homeland Security Investigations (HSI). It was prosecuted by Assistant United States Attorney Ilyssa M. Spergel.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
St. Petersburg Man Arrested for Possession of A Controlled Substance with Intent to DistributeRead the Press Release
Tampa, FL - United States Attorney Roger B. Handberg announces the arrest and filing of a criminal complaint charging Erik Barner (44, St. Petersburg) with one count of possession of a controlled substance with intent to distribute. If convicted, Barner faces up to 20 years in federal prison.
According to the complaint, on February 22, March 1, and March 10, 2023, Barner sold a total amount of 63 grams of crack cocaine to a confidential informant working with the St. Petersburg Police Department. The complaint further alleges that Barner has prior convictions for trafficking in cocaine and possession of cocaine with intent to distribute.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It will be prosecuted by Assistant United States Attorney Samantha Newman.
A complaint is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
St. Louis County Man Admits Fraud that Cost $1.6 MillionRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Wednesday admitted defrauding business customers of Lowe’s of over $1 million.
Michael W. Burrus, 44, pleaded guilty in front of U.S. District Judge Matthew T. Schelp to one count of conspiracy to commit bank fraud and two counts of bank fraud. Burrus acknowledged that the conspiracy caused a total loss of $1.6 million.
Burrus admitted that from April of 2020 through November of 2021, he and others obtained stolen information for business customers of Lowe’s, including names, telephone numbers, addresses and credit card account numbers. Burrus used the information to gain access to the credit card accounts of the businesses, applied for additional credit cards and changed the mailing address on the accounts. Burrus then made purchases with the credit cards, all without the knowledge and consent of the businesses. Burrus and others charged more than $1 million worth of merchandise to 40 businesses.
Burrus is scheduled to be sentenced on June 29. Each charge carries a potential penalty of 30 years in prison, a $1 million fine, or both. He will also be ordered to repay the money.
The U.S. Postal Inspection Service and the U.S. Secret Service investigated the case. Assistant U.S. Attorney Edward Dowd III is prosecuting the case.
St. Bernard Man Pleads Guilty to Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – DAWAYNE BOUTAIN, age 29, a resident of Violet, La. pleaded guilty on March 22, 2023 before United States District Judge Lance M. Africk to violating the Federal Gun Control Act, announced U.S. Attorney Duane A. Evans.
According to court records, BOUTAIN arrived at an apartment in Violet as St. Bernard Parish Sheriff Officers were about to execute a search warrant. BOUTAIN was subsequently found in possession of a Ruger magazine with 10 live rounds. He had previously been convicted of four separate felonies and was federally prohibited from possessing guns or ammunition.
Judge Africk set sentencing for July 12, 2023. BOUTAIN faces up to 10 years imprisonment, a fine of up to $250,000, and up to three years of supervised release following any term of imprisonment. He also faces payment of a $100 mandatory special assessment fee.
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 St. Bernard Parish Sheriff’s Office and the Federal Bureau of Investigation. The prosecution is being handled by Assistant United States Attorney David Haller of the Violent Crimes Unit.
South Florida Recidivist Fraudster Sentenced to 88 Months for COVID-19 Related Unemployment Insurance ScamRead the Press Release
MIAMI – Marlin Jean, 31, has been sentenced to 88 months in prison for stealing other people’s identities to fraudulently obtain $826,332 in COVID-19 related unemployment benefits from the State of California. The stolen benefits came from federal funds provided to state unemployment agencies to help Americans economically harmed by the global pandemic.
From August 2020 through October 2021, Jean spearheaded a scheme to use the stolen identities of dozens of Florida and California residents (among others) to fraudulently open accounts in their names with the California Employment Development Division (“EDD”). Jean then directed the EDD to mail the unemployment benefits, issued in the form of pre-paid debit cards, to addresses throughout South Florida. Acquaintances collected the cards for Jean to use for his personal benefit. Jean committed this crime soon after completing a federal sentence on a separate 2016 fraud conviction.
Jean pled guilty on December 21, 2022, to one count of possession of fifteen or more unauthorized access devices and one count of aggravated identity theft. In addition to his prison sentence, Jean has been ordered to pay $826,332 in restitution.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and acting Special Agent in Charge Michael E. Buckley, Homeland Security Investigations (HSI) Miami, announced the sentence imposed by U.S. District Judge Roy K. Altman.
HSI Miami investigated the case, with assistance from U.S. Customs and Border Protection and the Miami Beach Police Department. Assistant U.S. Attorney Eduardo Gardea Jr. prosecuted the case. Assistant U.S. Attorney Joshua Paster is handling asset forfeiture.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act provided hundreds of billions of dollars in federal funds for unemployment insurance benefits to be distributed by the states directly to their residents.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20018.
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South Bend Man Sentenced to 36 Months in PrisonRead the Press Release
SOUTH BEND – Xavier Zebulon Marzette, 39 years old, of South Bend, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after being found guilty during a 2-day jury trial of being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Marzette was sentenced to 36 months in prison followed by 3 years of supervised release.
According to documents in the case, in September of 2019, South Bend Police responded to a disturbance at an apartment complex and received information that some of the participants were armed. Officers stopped a car leaving the scene and found a loaded 9mm handgun inside which they were able to tie to Marzette whose DNA was found on the trigger.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the South Bend Police Department. This case was prosecuted by Assistant United States Attorneys Joel Gabrielse and Katelan Doyle.
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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Shiprock man pleads guilty to sexual abuse, child pornographyRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Allan Wilson pleaded guilty to sexual abuse of a minor in Indian Country and possession of child pornography. Wilson, 64, of Shiprock, New Mexico, and an enrolled member of the Navajo Nation, will remain in custody pending sentencing, which has not been scheduled.
According to his plea, sometime between Oct. 4 and Nov. 28, 2019, Wilson engaged in abusive sexual contact with a minor while she was spending the night in the home Wilson shared with his sister on the Navajo Nation. Wilson admitted that he had been drinking heavily. The victim, Identified as Jane Doe, who is also a member of the Navajo Nation, was less than twelve years old at the time.
During the investigation, the FBI conducted a search of Wilson’s phone. The search revealed pornographic pictures of a minor victim, identified as Jane Doe 2. Wilson admitted that he knew the images were on his phone.
By the terms of the plea agreement, Wilson faces up to 12 years in prison and must register as a sex offender.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department.
Assistant United States Attorney Nicholas J. Marshall is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s 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 http://www.justice.gov/psc/.
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Sex Trafficker Is Sentenced to 21 Years in PrisonRead the Press Release
CHARLOTTE, N.C. – Milton Antonio Hasty, a/k/a “Montana,” 31, of Salisbury, N.C., was sentenced to 21 years in prison followed by a lifetime of supervised release today for sex trafficking of a minor, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Robert M. DeWitt, Special Agent in Charge of the FBI in North Carolina, Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.
"For over five months, Hasty caused an underage girl to engage in commercial sex acts for his own profit. He trafficked the young victim across four states and made her engage in sexual activity even when she was sick, exhausted, and hungry. Hasty’s lengthy sentence reflects the appalling nature of his crime,” said U.S. Attorney King.
“One of the most important missions in the FBI is to protect our children,” said Special Agent in Charge DeWitt. “That is one of the many reasons the FBI devotes a significant amount of resources to help sex trafficking victims recover from the trauma they suffer at the hands of ruthless people like Hasty. Today’s sentence is a stark warning, there is a harsh punishment for those who choose to sacrifice another person’s civil rights and freedom for their own profit.”
According to court documents and today’s sentencing hearing, from January 22, 2019, to June 5, 2019, Hasty sex trafficked an underage female, knowing the victim was a minor, for his financial benefit. Court documents show that Hasty met the victim through a mutual female acquaintance. Upon meeting the victim, Hasty took photographs of the victim, posted escort advertisements online, booked hotel rooms, and arranged the victim’s sexual encounters with customers. For over five months, Hasty and the minor victim traveled to various cities throughout North Carolina, South Carolina, Florida, and Georgia, where the victim engaged in commercial sex acts. Hasty set up sexual encounters for the minor victim twenty-four hours a day and seven-days a week. Hasty kept almost all of the money the victim earned from these commercial sexual encounters.
On October 13, 2021, Hasty pleaded guilty to sex trafficking of a minor. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
U.S. Attorney King praised the FBI, HSI, and CMPD for their investigation of the case and said, “Sex trafficking cases are some of the most important and difficult federal prosecutions that my office handles. I commend the investigative work of our law enforcement partners in this case, which led to Hasty’s substantial prison term.”
Assistant U.S. Attorney Erik Lindahl of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Repeat Sex Offender Sentenced to 20 Years in Prison for Sexually Exploiting Multiple ChildrenRead the Press Release
DETROIT – A Sterling Heights man, who qualifies as a repeat and dangerous sex offender, was sentenced today to 20 years in federal prison for sexually exploiting multiple children, announced United States Attorney Dawn N. Ison.
Ison was joined in her announcement by Angie M. Salazar, Special Agent in Charge of Homeland Security Investigations Detroit Field Office.
Thomas Neil, 42, of Sterling Heights, Michigan, admitted that in July 2020 he pretended to be a teenage female on the Instagram Internet messaging platform. Neil then tricked a 13-year-old male minor into creating sexually explicit images of himself and sending them to Neil.
The subsequent investigation determined that Neil used the same method to victimize approximately sixteen boys beginning as early as 2010. Neil often had the minors engage in behavior that would be humiliating or painful. According to Court records, Neil qualifies under federal sentencing guidelines as a repeat and dangerous sex offender based on his conduct.
Neil was sentenced by United States District Judge Terrence G. Berg.
“This investigation and subsequent prosecution ended this defendant’s repeated sexual exploitation of children. This significant sentence demonstrates that those that seek to harm our children through online exploitation will be held responsible. We will continue to work to make the Internet a safer place for our children,” stated U.S. Attorney Ison.
“Our communities are safer with predators like Neil off our streets, where he can no longer victimize innocent children,” said HSI Detroit Special Agent in Charge Angie M. Salazar. “Our agents and partners will continue to do the work necessary to ensure predators are brought to justice and victims receive the care and assistance they need.”
The case was investigated by Homeland Security Investigations. The case was prosecuted by Assistant United States Attorney Christopher Rawsthorne.
Pryor man admits domestic assaultRead the Press Release
BILLINGS — A Pryor man accused of beating a woman on the Crow Indian Reservation admitted to a domestic assault crime today, U.S. Attorney Jesse Laslovich said.
Christian Aaron Monroy, 25, pleaded guilty to an indictment charging him with domestic assault by a habitual offender. Monroy faces a maximum of five years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Susan P. Watters. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Monroy was detained pending further proceedings.
In court documents, the government alleged that in June 2021, the victim, identified as Jane Doe, was driving a car with Monroy as a passenger. Monroy began to tease and tickle Jane Doe, who accidently hit Monroy in the face with her elbow. Later, with Monroy now driving, Jane Doe threw a bottle of Monroy’s alcohol out of the window. Monroy stopped the car near Chief Plenty Coups Park and began assaulting Jane Doe. The assault continued after the two arrived at Monroy’s home. Jane Doe received treatment for injuries at a Billings hospital. Monroy and Jane Doe were in a dating relationship at the time. Monroy had been convicted in January 2020 and June 2021 of partner or family member assault for assaulting previous girlfriends.
Assistant U.S. Attorney Lori Harper Suek and Special Assistant U.S Attorney Jeanne Torske are prosecuting the case, which was investigated by the FBI and Bureau of Indian Affairs.
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Portland Man Caught Transporting Drugs to Central Oregon Sentenced to 10 Years in Federal PrisonRead the Press Release
PORTLAND, Ore.—A Portland drug dealer with a lengthy criminal history was sentenced to 10 years in federal prison today after he was arrested transporting methamphetamine, cocaine, heroin, and counterfeit oxycodone pills containing fentanyl to Redmond, Oregon.
Jason Robert Melcado, 51, a Portland resident, was sentenced to 120 months in federal prison and four years’ supervised release.
According to court documents, in June 2021, the Bend Police Department received information that Melcado was delivering methamphetamine and heroin to Deschutes County from Portland. Officers soon learned Melcado had an active felony arrest warrant and had recently been investigated by the U.S. Drug Enforcement Administration (DEA).
On July 12, 2021, Bend police determined that Melcado was traveling to Redmond. Upon his arrest, officers found Melcado to be carrying a loaded 9mm pistol with an obliterated serial number and approximately one dozen counterfeit oxycodone pills containing fentanyl. The next day, after obtaining a search warrant, officers found 217 grams of methamphetamine, nearly 1,000 counterfeit pills, and smaller quantities of heroin and cocaine in Melcado’s vehicle.
On August 19, 2021, a federal grand jury in Eugene returned a three-count indictment charging Melcado with possessing with intent to distribute methamphetamine, possessing a firearm in furtherance of a drug trafficking crime, and illegally possessing a firearm as a convicted felon.
On November 22, 2022, Melcado pleaded guilty to possessing with intent to distribute methamphetamine.
This case was investigated by the Central Oregon Drug Enforcement (CODE) Team and DEA. It was prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.
The CODE team is a multi-jurisdictional narcotics task force supported by the Oregon-Idaho High-Intensity Drug Trafficking Area (HIDTA) program. CODE includes members of the Bend, Redmond, Prineville, Madras, Sunriver, and Black Butte Police Departments; the Warm Springs Tribal Police Department; the Deschutes, Crook, and Jefferson County Sheriff and District Attorney’s Offices; the Oregon State Police; the Oregon National Guard; DEA; and the FBI.
Peoria Man Sentenced to 35 Years in Prison for Drugs, Weapons OffensesRead the Press Release
PEORIA, Ill. – A Peoria, Illinois, man, Harold U. McGhee, 48, formerly of the 700 block of East LaSalle Street, was sentenced on March 21, 2023, to a total sentence of 35 years in prison, to be followed by five years of supervised release, for the following offenses:
- Count 1: Possession with Intent to Distribute 50 Grams or More of Methamphetamine
- Count 2: Possession with Intent to Distribute 28 Grams or More of a Mixture or Substance Containing Cocaine Base
- Count 3: Possession with Intent to Distribute Cocaine
- Count 4: Possession with Intent to Distribute Heroin
- Count 5: Possession with Intent to Distribute Fentanyl
- Count 6: Possession of a Firearm in Furtherance of Drug Trafficking
- Count 7: Felon in Possession of a Firearm
- Count 8: Possession of a Firearm in Furtherance of Drug Trafficking
At the sentencing hearing before Senior U.S. District Judge Michael M. Mihm, the United States summarized the evidence from McGhee’s trial, which resulted in a guilty verdict on all counts in December 2022. Law enforcement officers obtained a search warrant in February 2022 for McGhee’s house, car, cell phones, and his person. In the dining room of the house, officers found three bags of crack cocaine totaling 177 grams, a bag containing 60 grams of powder cocaine, a digital scale, sandwich bags, and plastic gloves. In a kitchen cabinet, officers found 442 grams of methamphetamine; 40 grams of a substance containing heroin, fentanyl, and Xylazine; and another digital scale. In McGhee’s living room, officers found $6,770 in cash. In McGhee’s basement, officers found other tools of the drug trade like blenders, a cocaine press, and a vacuum sealer. Under McGhee’s bed, officers found a loaded Glock 9 mm handgun with an extended magazine. The gun had been reported stolen in Evansville, Indiana, in 2019. McGhee admitted that the drugs in the house were his. He also admitted that the gun belonged to him and that he received it as payment for two or three grams of heroin that he sold to someone around February 2021.
At the time of his arrest, McGhee was on federal supervised release for a 2016 conviction for conspiracy to possess heroin with intent to distribute. He has multiple other prior felony convictions, including for possession with intent to distribute cocaine base and aggravated battery. McGhee has remained in the custody of the U.S. Marshals Service since his arrest on February 14, 2022.
McGhee faced a mandatory minimum sentence of 25 years and up to life in prison. Each of the counts individually carried the following possible penalties:
- Count 1: 10 years to life imprisonment; up to a $250,000 fine; and a five-year to life term of supervised release.
- Count 2: Five to 40 years’ imprisonment; up to a $250,000 fine; and a four-year to life term of supervised release
- Counts 3-5: Up to 20 years’ imprisonment; up to a $250,000 fine; and a three-year to life term of supervised release
- Counts 6, 8: Not less than five years’ imprisonment for each count, consecutive to all other counts; maximum fine of $2 million; and not less than a five-year term of supervised release
- Count 7: 15 years to life imprisonment; up to a $250,000 fine and up to a three-year term of supervised release
The case was the result of an investigation conducted by the Peoria Police Department and the Drug Enforcement Administration – Springfield Resident Office, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Marshals Service. Assistant U.S. Attorneys Keith Hollingshead-Cook and Ronald L. Hanna represented the United States in the prosecution.