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Friday 17 March 2023
Brittany Busby Sentenced to 28 Months in Prison for Distributing Fentanyl at Northern Lights Transitional HouseRead the Press Release
Burlington, Vermont - The United States Attorney’s Office stated that Brittany Busby, 31, formerly of Washington, Vermont, was sentenced on March 15, 2023 in United States District Court in Rutland to 28 months of imprisonment following her guilty plea to distributing fentanyl. U.S. Chief District Judge Geoffrey Crawford also ordered that Busby serve three years of supervised released and pay restitution in the amount of $250 to the family of a victim.
On September 26, 2022, Busby pleaded guilty to an Information charging her with distributing fentanyl. According to court records and proceedings, Busby was a resident of Northern Lights, a transitional housing program for women located in Burlington, Vermont. Before it was closed on June 30, 2021, Northern Lights was intended to provide a sober living environment, as well as vocational training, substance abuse treatment, medical care, and other programming for women to successfully reenter the community.
On the evening of January 11, 2021, while at Northern Lights, Busby knowingly and intentionally distributed fentanyl to at least one other Northern Lights resident. On January 12, 2021, Burlington Police responded to Northern Lights and found that two Northern Lights residents had fatally overdosed after using fentanyl and other controlled substances.
“The Burlington Police Department is very grateful to the United States Attorney’s Office for helping us investigate this crime,” said acting Chief of Police Jon Murad, “and to the Drug Enforcement Administration for all its assistance. We also want to thank all those who work tirelessly to treat people experiencing substance use disorder. And I want to personally applaud Detective Kratochvil’s work. This terrible epidemic continues to claim victims. Police are called to respond to deaths like these too often. Each represents a life cut short; each leaves grief in its wake. Our ultimate goal is to prevent any such deaths.”
“Fentanyl is causing deaths in record numbers and DEA’s top priority is to aggressively pursue anyone who distributes this poison,” said DEA Special Agent in Charge Brian D. Boyle. “Illegal drug distribution ravages the very foundations of our families and communities so every time we take fentanyl off the streets, lives are saved. This investigation demonstrates the strength of collaborative local, county and state law enforcement efforts in Vermont and our strong partnership with the U.S. Attorney’s Office.”
“Fentanyl distribution continues to be a significant problem affecting our Vermont communities,” said U.S. Attorney Nikolas Kerest. “The investigation of Brittany Busby and the two overdose deaths at Northern Lights demonstrates why those who choose to distribute fentanyl must be held accountable for their actions. It also demonstrates why Vermont needs more robust, substance-free transitional housing. Thanks to the dedication and thorough work of the Burlington Police Department and the Drug Enforcement Administration this sad chapter at Northern Lights has now come to a close.”
The case was investigated by the Burlington Police Department and the Drug Enforcement Administration.
Busby was represented by Heather E. Ross, Esq., of Sheehey, Furlong & Behm, P.C. The prosecutors were Assistant United States Attorneys Kimberly Ang and John J. Boscia.
Bristol Man Arrested for Defrauding CustomersRead the Press Release
Burlington, Vermont – The Office of the United States Attorney for the District of Vermont announced that David Conrad, 42, of Bristol, Vermont was arrested yesterday following his indictment for conducting a wire fraud scheme between approximately January of 2022 and February 28, 2023. Conrad will be arraigned this afternoon before United States Magistrate Judge Kevin J. Doyle.
According to court records, David Conrad operated a custom woodworking business operating under the names “Old Camp Woodworking” and “Vermont Custom Designs.” Conrad was the sole employee of the business, which he operated out of the two-car garage attached to his residence in Bristol, Vermont. Conrad advertised his businesses on Facebook, and had stand-alone websites which allowed customers to place orders for custom wood items, such as dining tables, dressers, bedroom sets, desks, and other items. Parts of these websites were plagiarized from other woodworking websites, and some of the photographs on the websites were not original photographs of custom pieces crafted by Conrad, but rather copies of photographs from elsewhere on the internet. Conrad’s websites displayed strict cancelation and refund policies, listing a 25% processing fee for orders canceled within 24 hours; a 75% processing fee for orders canceled within 30 days; and no refunds for orders canceled after 30 days.
Between January 2022 and February 2023, Conrad accepted approximately $165,500 through various payment methods for over 100 different items ordered by customers in Vermont, New York, and New Hampshire. As part of the scheme to defraud, Conrad accepted payment for items he knew he could not complete within the 12-to-16-week timeframe he quoted customers. Conrad made numerous false statements to customers regarding the status of their orders and regarding why orders had not been completed (including false claims of having had a heart attack and cutting off a portion of his finger). Conrad used his strict refund policy as a reason to retain funds from customers, despite not having begun work on their orders. Conrad used funds obtained from customers to pay for his and his family’s personal expenses, while knowing that he would be unable to complete the custom-made wood item ordered by the customer from whom the funds were obtained. The grand jury’s indictment alleges five specific fraudulent transactions that involved interstate wires.
The United States Attorney’s Office emphasizes that an Indictment contains allegations only and that Conrad remains presumed innocent until and unless he is convicted of a crime. Conrad faces a maximum sentence of 20 years of imprisonment and a $250,000 fine, and restitution to the victims, on each alleged count. The actual sentence would be determined with reference to the United States Sentencing Guidelines.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of Homeland Security Investigations, Vergennes Police Department, and Vermont State Police and also thanks the Vermont Attorney General’s Consumer Assistance Program for its assistance in compiling consumer complaints and their collaborative work on this investigation.
The prosecutor is Assistant United States Attorney Jonathan A. Ophardt. Conrad is represented by Chandler Matson, Esq.
Bay St. Louis Man Sentenced to 5 Years for Possession with Intent to Distribute FentanylRead the Press Release
Gulfport, Miss. – A Bay St. Louis, Mississippi man was sentenced to 60 months in federal prison for possession with intent to distribute fentanyl, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Brad L. Byerley of the Drug Enforcement Administration.
Joseph Henry, III, 45, of Bay St. Louis, MS was sentenced in U.S. District Court in Gulfport.
According to court records, On December 2, 2021, Hancock County Sheriff's Deputies went to a residence in Bay St Louis to locate a subject with active felony warrants. At the residence, deputies found Henry and over 1 pound of Marijuana, 848 dosage units of MDMA, and 312 dosage units of counterfeit Oxycodone containing 41.77grams of fentanyl.
Mr. Henry was indicted by a federal grand jury on August 26, 2022. He pled guilty on December 15, 2022, to possession with intent to distribute fentanyl.
The case was investigated by the Drug Enforcement Administration.
The case was prosecuted by Assistant U.S. Attorney Erica Rose.
Atlantic City Councilman Charged with Submitting False Voter Registrations, Making False Statements, and Fraudulently Obtaining Unemployment BenefitsRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man has been charged with falsifying voter registrations, making false statements to the FBI about interactions with prospective voters, and submitting false unemployment benefits claims with the New Jersey Department of Labor and Workforce Development (NJDOL), U.S. Attorney Philip R. Sellinger announced today.
MD Hossain Morshed, 49, a councilman elected to Atlantic City’s Fourth Ward, is charged in a criminal complaint unsealed today with one count of fraudulent procurement and submission of voter registration applications, one count of making false statements, and one count of wire fraud. Morshed made his initial appearance before U.S. District Judge Ann Marie Donio in Camden federal court and was released on $100,000 unsecured bond.
According to the documents filed in this case and statements made in court:
Falsification of Voter Forms
In April 2019, in advance of the June 2019 primary election, Morshed gave a prospective voter a New Jersey voter registration application that had already been filled out and which falsely asserted that the prospective voter had a residential address in the Fourth Ward in Atlantic City. Even though the address written on the form was not where the voter actually lived, Morshed urged the prospective voter to sign the application. Subsequently, Morshed visited the prospective voter at the voter’s actual residence (which was not in the Fourth Ward) and presented the prospective voter with a vote-by-mail application to sign which included the same false Fourth Ward Atlantic City address that was on the voter registration application and listed yet another false Atlantic City address for where the mail-in ballot should be sent to the voter.
The Atlantic County Superintendent of Elections subsequently received the falsified voter registration application that Morshed had the prospective voter sign and thereafter, the Atlantic County Board of Elections received the prospective voter’s completed mail-in ballot, and that ballot was counted towards the June 2019 primary election. The prospective voter later admitted not receiving, completing or returning the mail-in ballot. During lawfully recorded conversations between this voter and Morshed concerning possible questioning by law enforcement, Morshed directed the voter, if questioned by law enforcement, to make false representations about where the voter lived and who filled out the voter forms that Morshed had given to the voter.
When Morshed was subsequently approached and questioned by FBI agents about his provision of voter registration and vote-by-mail applications to New Jersey residents, he made materially false statements, including that he had never provided any voter documents to any prospective voter, never assisted any prospective voter in filling out such documents, and never collected any such documents from any prospective voter. Morshed also falsely stated that he had never asked residents of municipalities outside of Atlantic City to register to vote in Atlantic City’s Fourth Ward.
Fraudulently Obtaining Unemployment Benefits
From April 2020 through September 2021, Morshed also defrauded the NJDOL of $39,208 in unemployment benefits to which he was not entitled. Morshed applied for and was approved to receive various unemployment benefits related to New Jersey’s Pandemic Unemployment Assistance program even though he was earning compensation for his employment as an Atlantic City Councilperson, and additional income as a driver.
The false voter registration submission and false statements counts each carry a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gain or loss from the offense. The wire fraud count carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy; the FBI’s Newark, Atlantic City Resident Agency’s Public Corruption Task Force, including the Atlantic County Prosecutor's Office, under the direction of Prosecutor William Reynolds; the Atlantic City Police Department, under the direction of Officer-in-Charge Chief James A. Sarkos; the New Jersey State Police, under the direction of Col. Patrick J. Callahan; and the Cape May County Prosecutor's Office, under the direction of Prosecutor Jeffrey H. Sutherland; as well as special agents of the U.S. Department of Labor, Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Jonathan Mellone; and the postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Inspector in Charge Christopher A. Nielsen, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Eric A. Boden, Attorney-in-Charge of the Trenton Office, and Assistant U.S. Attorney James H. Graham of the General Crimes Unit, under the supervision of the Special Prosecutions Division.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
morshed.complaint.pdfAtlanta man sentenced to federal prison in connection with a multimillion-dollar international cyber and fraud schemeRead the Press Release
ATLANTA - Christian Akhatsegbe has been sentenced for wire and computer fraud conspiracy, access device fraud, and aggravated identity theft related to a multi-million-dollar cyber-fraud scheme perpetrated through email phishing, credential harvesting, and invoice fraud. His brother, Emmanuel Aiye Akhatsegbe, who is believed to be residing in Nigeria, was also charged in the scheme and remains a fugitive.
“The far-reaching scope of this defendant’s criminal conduct is astonishing,” said U.S. Attorney Ryan K. Buchanan. “Hiding behind several aliases, Christian Akhatsegbe and his conspirators stole employee credentials, unlawfully accessed computers, and attempted to scam companies out of more than 12 million dollars. And not content to limiting his criminal conduct to these schemes, Akhatsegbe also engaged in hundreds of thousands of dollars of COVID-19-related loan fraud. The relentless efforts of determined corporate-law enforcement partnerships, in conjunction with excellent investigative work across the globe, exposed Akhatsegbe’s crimes and he will now serve a sentence in federal prison as well as pay restitution to his victims.”
“Operation Dark Nimbus is a perfect example of how the FBI won’t let geographic boundaries stop us from pursuing and prosecuting anyone who inflicts tremendous financial pain to U.S. citizens,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “These criminals felt like they were safe hiding behind their computers and aliases. Hopefully this sentence and the ultimate capture of Emmanuel sends a message to anyone who thinks they can prey on our citizens and get away with it.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: Between approximately August 2019 through November 2020, Christian Akhatsegbe, together with his brother, Emmanuel Aiye Akhatsegbe, and others, engaged in spear phishing, credential harvesting, and business email compromise schemes, which involved sending phishing emails to employees of companies and agencies in the United States and the United Kingdom using stolen SendGrid email marketing accounts, stealing and harvesting the employee access credentials on computer servers, using the stolen credentials to access the victims’ computers, and then sending fraudulent invoices to victims requesting payment of funds to bank accounts in Hong Kong.
In November 2019, for example, an employee of a company in the United Kingdom received a phishing email, which resulted in their credentials being logged, stolen, and later stored on a computer server that was accessed and maintained by Christian Akhatsegbe and his conspirators. Using the stolen credentials, the conspirators sent an email to another employee of the company that appeared to originate from one of the company’s vendors. The email attached a fraudulent invoice in the amount of $434,383.45 with wiring instructions to a bank in Hong Kong. The victim company later paid the fraudulent invoice and wired the funds to Hong Kong.
Similarly, in December 2019, using credentials stolen from a Massachusetts victim company employee, Christian Akhatsegbe and his conspirators sent an email to another employee of the company that appeared to originate from one of the company’s vendors. The email attached a fraudulent invoice in the amount of $498,000 and requested that the victim send payment to a bank in Hong Kong. The victim paid the invoice, together with a second invoice in the same amount, wiring a total of $996,000 to a bank account in Hong Kong.
In January and April 2020, Christian Akhatsegbe and his conspirators perpetrated a similar scheme against two other United Kingdom-based companies, sending fraudulent invoices in the amount of $498,000 and $980,000, respectively. But these victim companies recognized the invoices as fraudulent and did not remit payment. In total, the conspirators sent victim companies fraudulent invoices in the amount of $12,861,290.59. Of this amount, victims paid invoices in the total amount of $2,268,329.69.
The investigation further revealed that Christian Akhatsegbe utilized stolen identities to submit 40 fraudulent applications for COVID-19 Economic Injury Disaster loans in the amount of $2,905,100 during the time period of July 2020 to September 2020. The U.S. Small Business Administration in turn approved loans in the amount of $220,700.
Christian Akhatsegbe, 36, of Atlanta, Georgia, has been sentenced to seven years, three months in prison to be followed by three years of supervised release, and ordered to pay restitution in the amount of $2,001,083.45. Akhatsegbe was convicted on these charges on April 12, 2022, after he pleaded guilty.
This case was investigated by the Federal Bureau of Investigation. Valuable assistance has also been provided by Microsoft Corporation’s Digital Crimes Unit and the City of London Police in the United Kingdom.
Assistant U.S. Attorney Michael Herskowitz and Natalie Tecimer, Trial Attorney of the Department of Justice, Criminal Division, Computer Crime & Intellectual Property Section, prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Assistant U.S. Attorney Amanda Masselam Strachan Named 2023 Most Outstanding Assistant U.S. Attorney by National CommitteeRead the Press Release
BOSTON – Assistant U.S. Attorney (AUSA) Amanda P. Masselam Strachan, Co-Chief of United States Attorney Rollins’ Criminal Division, has been selected by the National Association of Former United States Attorneys (NAFUSA) as the recipient of its 2023 J. Michael Bradford Memorial Award for Most Outstanding Assistant United States Attorney.
Each year, the distinguished J. Michael Bradford Memorial Award is awarded to one AUSA in the nation in recognition of outstanding performance. The recipient is selected for their remarkable handling of a significant investigation and prosecution(s) that has had a significant impact and merits special recognition. AUSA Strachan is the sixth woman to be awarded this honor since its inception in 1999.
“AUSA Strachan is an outstanding lawyer, a fierce advocate on behalf of victims, and a leader among leaders in our District and the legal community. Her acumen, compassion and dedication are evident in every case she has prosecuted over the course of her 16-year career as an AUSA, but her decade-long role in pursuing justice for the 793 victims of the New England Compounding Center (NECC) fungal meningitis outbreak makes her uniquely deserving of this exceptional honor,” said U.S. Attorney Rollins.
In the fall of 2012, a nationwide outbreak of fungal meningitis infected patients in 20 states. The CDC and FDA traced the fungal infections to contaminated steroid injections (MPA) produced by NECC, a compounding pharmacy then located in Massachusetts. NECC had sold and shipped more than 17,000 vials of contaminated MPA to medical facilities throughout the nation. The CDC identified staggering amounts of contamination within these supposedly sterile vials of MPA, which doctors injected into patients’ bodies to treat back and joint pain. NECC’s contaminated drugs infected at least 793 individuals and caused more than 100 of them to die.
The fungal meningitis outbreak is the largest public health crisis ever caused by a compounded drug. AUSA Strachan and her team conducted a thorough investigation which uncovered evidence of widespread systemic fraud at NECC and a shocking disregard for patients’ lives. The investigation discovered dangerously unsafe production practices and unsanitary conditions inside NECC’s facility.
In December 2014, 14 NECC owners, employees and executives were indicted on numerous counts, including RICO, RICO conspiracy, conspiracy to defraud the FDA, mail fraud, structuring, and FDCA violations. Between 2017-2019, AUSA Strachan led four trials against the defendants (totaling 24 weeks), and four other defendants pleaded guilty. In total, 13 defendants were convicted of 168 counts. Additionally, AUSA Strachan won four affirmative appeals in this case before the First Circuit to ensure full accountability for the defendants and complete recognition for all 793 victims.
AUSA Strachan’s tireless advocacy on the victims’ behalf went beyond the courtroom; she successfully lobbied the Office of Victims of Crime to recognize the fungal meningitis victims as crime victims and helped secure for them a $40 million federal contribution to the Victims of Violent Crimes Compensation Fund. In the face of this unprecedented national tragedy, AUSA Strachan’s steadfast commitment to holding the wrongdoers accountable secured a measure of justice for the victims and their families and shined a light on the abuses of the compounding pharmacy industry.
“As brilliant and tenacious as she is as a lawyer, AUSA Strachan also has demonstrated that she is an exceptional leader. She inspired and empowered a team of AUSAs, legal assistants, victim specialists, and other professionals to do their best work on behalf of these victims. Her impressive mentoring and management skills led me to promote her to Co-Chief of our Criminal Division, making her only the second woman ever appointed to lead the Criminal Division,” said U.S. Attorney Rollins.
AUSA Strachan is a two-time recipient of the Attorney General’s Award for Distinguished Service (2013, 2019) and received EOUSA’s Director’s Award for Superior Performance by a Litigative Team in 2020. In 2019, AUSA Strachan was named a Top Woman of Law by Massachusetts Lawyers Weekly.
Alma Woman Sentenced to 30 Months for Possession of Stolen FirearmsRead the Press Release
United States Attorney Steven Russell announced that Erin Leigh Gehrig, 41, of Alma, Nebraska, was sentenced today by Senior United States District Court Judge John M. Gerrard to 30 months’ imprisonment following her conviction for possession of stolen firearms. After she completes her prison sentence, Gehrig will also serve three years on supervised release. There is no parole in the federal system. Gehrig pleaded guilty to the offense on October 13, 2022.
A home in Bertrand, Nebraska, was burglarized on April 13, 2021. The victim of the burglary is related to Gehrig. Fourteen firearms were taken in the burglary. Gehrig later told police that another person approached her and said he wanted to steal firearms. Gehrig told that person about the residence in Bertrand, and allowed that person to use her minivan. That person later returned, and the 14 stolen firearms were in the back of the minivan. Gehrig arranged for the sale of the stolen firearms for $1,500 to two other persons. Law enforcement executed a search warrant at the home of the purchasers. Thirteen of the 14 stolen firearms were recovered when that home was searched.
The investigation was conducted by the Federal Bureau of Investigation, the Department of Homeland Security, the Kearney Police Department, and the Phelps County Sheriff’s Office. 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.
Thursday 16 March 2023
Wyandotte Man Sentenced for Stealing $10,000+ in Grant Funds Allocated for Tribal Youth ProgramsRead the Press Release
A man who stole grant funding awarded to the Eastern Shawnee Tribe of Oklahoma was sentenced Thursday in federal court, announced U.S. Attorney Clint Johnson.
U.S. District Judge Gregory K. Frizzell sentenced Travis Neil Patton, 33, of Wyandotte, to five years of probation for theft from Indian tribal organization. He was further ordered to pay $10, 782.60 in restitution.
Between June and October 2019, Patton knowingly embezzled $10, 782.60 worth of grant funding that had been awarded to the Eastern Shawnee Tribe of Oklahoma by the federal government. The grant money was allocated to support programs to help tribal youth struggling with addiction and mental health issues. Patton had access to and control of the funds when he committed the crime.
The Department of Health and Human Services- Office of Inspector General and FBI were the investigative agencies. Assistant U.S. Attorney Rick Cella prosecuted the case.
Woodland Hills Man Arrested in Federal Case Alleging He Extorted ‘Protection’ Money from Koreatown BusinessesRead the Press Release
LOS ANGELES – Authorities this morning arrested a Woodland Hills man on federal charges that allege he was extorting “protection” money from Koreatown businesses, sometimes using acts of violence against individuals who refused to pay.
Daekun Cho, 38, was arrested by special agents from Homeland Security Investigations (HSI) and officers from the Los Angeles Police Department pursuant to a federal criminal complaint filed last week. The complaint charges Cho with interference with commerce by threats or violence. Cho is expected to make his initial appearance this afternoon in United States District Court in downtown Los Angeles.
The federal investigation in this case began about a year ago and found that Cho was demanding protection money from karaoke businesses in Koreatown, as well as from “doumi” – or hostesses – employed by patrons of the karaoke establishments.
“To further his extortion scheme, Cho committed shootings, a carjacking, a kidnapping, and other acts of physical violence,” according to the complaint affidavit. “Cho made explicit threatening statements to the doumi drivers and karaoke bar owners to get them to pay a monthly fee.”
The affidavit outlines physical attacks of four victims over the past year and discusses another victim who was threatened. The first victim discussed in the affidavit was a doumi driver, who, after refusing to pay the protection money after a price increase, was subject to a baseball bat beating, allegedly by Cho and another individual, on May 8, 2021. The victim suffered a broken arm and multiple lacerations, the affidavit states.
In another incident on August 5, 2022, at a karaoke bar, Cho demanded that a doumi driver leave the location, and, as the driver and two doumis were driving away, they heard gunshots and one of the doumis suffered a gunshot wound to the neck, according to the affidavit, which notes this incident remains under investigation by the LAPD.
The fifth victim, who reported he had been paying Cho for approximately four years, told investigators that he had decided to stop paying Cho before Cho allegedly assaulted him and stole approximately $1,000 from him on January 24. The affidavit details how that victim, working with law enforcement, made an extortionate $500 payment to Cho on February 16.
A complaint contains allegations that a defendant committed a crime. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The charge of interference with commerce by threats or violence carries a statutory maximum sentence of 20 years in federal prison.
HSI and the LAPD are investigating this matter.
Assistant United States Attorney Jena MacCabe of the Violent and Organized Crime Section is prosecuting this case.
Washington Man Sentenced to 90 Months for Identity Theft Scheme Spanning Idaho and Several Western StatesRead the Press Release
BOISE – Ryan M. Tichy, 43, of Seattle, was sentenced to 90 months in federal prison for wire fraud and aggravated identity theft, U.S. Attorney Josh Hurwit announced today.
According to court records, from at least May 2018 through November 2020, Tichy executed a scheme to defraud wherein he obtained the means of identification of many individuals and used that information to create false identification documents, open credit accounts, obtain loans, takeover existing credit accounts, and make purchases. The fraudulently-obtained means of identification included names, social security numbers, dates of birth, and account numbers. After he gathered that information, Tichy would often create a fake driver’s license using his picture but the victim’s name. Tichy travelled around Washington, Idaho, Oregon, Nevada, and elsewhere to make fraudulent purchases.
When law enforcement executed a search warrant on December 2, 2020, they discovered a mobile identity theft lab inside a trailer Tichy purchased using another person’s identity. The trailer contained materials, machines, computers, and printers for use in producing counterfeit identity cards and debit/credit cards. The trailer also contained foils, blank stock for driver’s licenses, an embosser, a card punch, printers, counterfeit driver’s licenses in various stages of completion, and counterfeit credit cards.
Tichy has multiple prior convictions for identity theft-related crimes, including prior federal convictions for social security number fraud (Case No. 2:08-cr-00237-MJP) and possession of a document making implement, possession of counterfeit identification, and possession of stolen mail (Case No. 2:03-cr-00449-MJP).
“As this case shows, identify theft is a problem that can quickly cross borders and affect many communities and victims,” said U.S. Attorney Hurwit. “I am grateful for the dedicated law enforcement agents we work with who use sophisticated tools to track down these types of criminals and hold them accountable.”
“Mr. Tichy is a prolific identity thief who victimized dozens of individuals and businesses after cutting off his ankle monitor while under federal supervised release following his time spent in prison for prior identify-theft related offenses,” said Gail S. Ennis, Inspector General for the Social Security Administration. “This sentence demonstrates our tireless commitment to hold those accountable for misusing Social Security numbers. I appreciate the U.S. Attorney’s Office for supporting our investigation, and I want to thank our law enforcement partners for their efforts to see justice done in this case.”
U.S. Attorney Josh Hurwit credited the cooperative efforts of the Social Security Administration Office of Inspector General, Boise Police Department, United States Marshals Service, Meridian Police Department, Nampa Police Department, Edmonds Police Department, Island County Sheriff’s Office, Kirkland Police Department, Lynden Police Department, Marysville Police Department, Port of Portland Police Department, Redmond Police Department, Reno Police Department, Seattle Police Department, Snohomish County Sheriff’s Office, Spokane Police Department, and the Union Gap Police Department, which led to the charges.
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Waco Return Preparers Sentenced to Prison in Tax SchemeRead the Press Release
A group of Texas tax return preparers were sentenced to prison yesterday for conspiring to file false tax returns.
According to court documents, between 2012 and 2017, Labanda Loyd, Deidra Brandon, Shaterian Parr, Jaleesia Sais, and Lashamekwa Alexander worked as return preparers at Tax World and another tax preparation firm in Waco. Loyd also served as manager and Brandon was, at times, Loyd’s assistant manager. Together, they conspired to prepare and file tax returns that fraudulently claimed refunds their clients were not entitled to receive. As manager, Loyd instructed some of her coconspirators how to prepare the false returns. For some clients, the conspirators completely fabricated employment, wage and tax withholding information on their clients’ returns. For others, they altered the wages and withholdings legitimately reported to the IRS by their employers. In all, the conspirators caused a tax loss exceeding $1.8 million.
Loyd was sentenced to 51 months in prison, Sais was sentenced to 40 months in prison, Brandon was sentenced to 12 months and one day in prison, Parr was sentenced to five years of probation and Alexander was sentenced to 40 months of probation. In addition, Loyd, Sais, Brandon, Alexander and Parr were each ordered to pay $918,396 in restitution to the United States.
“Return preparers are entrusted to accurately report clients’ income tax information,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “Those who violate that trust, as these defendants did, will face the consequences.”
“The sentencing of these criminals for their tax crimes during the ongoing tax season is a timely reminder justice will always prevail,” said Acting Special Agent in Charge Rodrick J. Benton of IRS-CI’s Houston Field Office. “These tax preparers submitted false returns claiming fraudulent refunds to the IRS, all while betting they would not get caught. But the one thing they all forgot; no one is better at following the money than IRS-CI Special Agents.”
IRS-Criminal Investigation investigated the case.
Trial Attorneys Patrick Elwell, Matthew Hicks and Wilson Stamm of the Justice Department’s Tax Division prosecuted the case.
Virginia Man Sentenced to 10 Years in Prison in Project Safe Childhood CaseRead the Press Release
PITTSBURGH - A former resident of Alexandria, Virginia, has been sentenced in federal court to 10 years’ imprisonment followed by 10 years’ supervised release on his conviction for federal crimes related to the sexual exploitation of a minor, Acting United States Attorney Troy Rivetti announced today. Specifically, Vutipawat was convicted after a plea of guilty on three counts: (1) Travel With Intent to Engage in Illicit Sexual Conduct, (2) Transportation With Intent to Engage in Criminal Sexual Activity, and (3) Obstruction of Justice – Hindering Communication Through Corrupt Persuasion,
Apipat Vutipawat, also known as “Viktor Vutipawat,” “Viktor Koi,” “Arty Freedom,” and “Victor Kim,” age 29, of Alexandria Virginia, pleaded guilty to three counts before Senior United States District Judge Joy Flowers Conti.
According to information presented to the court, Vutipawat, then 26 years old, was arrested in mid-May 2020 in Washington County, Pennsylvania on charges related to the sexual abuse of a 14-year-old minor. At that time, Vutipawat was released on bond and returned to his home state of Virginia. On May 29, 2020, Vutipawat traveled from Virginia to the Western District of Pennsylvania and assisted the minor in absconding from placement. Vutipawat then took the minor to an apartment in Virginia. Vutipawat’s travel from Virginia to Pennsylvania was tracked by his cellular telephone. Other evidence on Vutipawat’s cell phone, including his internet search history, indicated Vutipawat’s intent to engage in sexual contact with the minor when he traveled to Pennsylvania and then transported the minor back to Virginia. Vutipawat originally met the minor on a website called “Secret Benefits” and presented himself to the minor as a wealthy businessman.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
Homeland Security Investigations-Pittsburgh, Homeland Security Investigations-York, Homeland Security Investigations-DC, Pennsylvania State Police, North Strabane Township Police Department, and the Fairfax County Police (Virginia) conducted the investigation that led to the prosecution of Vutipawat.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Union County Man Admits Role in Scheme to Steal Mail, Commit Credit Card Fraud, and Defraud United StatesRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man admitted his role in a scheme to receive stolen credit cards and pandemic relief debit cards sent through the mail, commit bank fraud, and defraud the U.S. Postal Service and the U.S. Department of the Treasury, U.S. Attorney Philip R. Sellinger announced today.
Justin Brooks, 23, of Vauxhall, New Jersey, pleaded guilty before U.S. District Judge Claire C. Cecchi on March 15, 2023, to three counts of an indictment charging him with: one count of conspiracy to commit mail theft and bank fraud, and to defraud the U.S. Postal Service and U.S. Department of the Treasury; one count of receiving stolen mail; and one count of bank fraud.
According to documents filed in this case and statements made in court:
From July 2019 to Oct. 6, 2020, Books and his conspirators obtained credit cards stolen from the U.S. mail from a U.S. Postal Service letter carrier, fraudulently activated those credit cards, and then used those credit cards to make and attempt to make purchases without the cardholders’ authorization. The victims have incurred approximately $70,000 in losses from fraudulent purchases made using their stolen credit cards. Brooks also schemed to fraudulently use over $13,000 of funds pre-loaded onto Economic Impact Payment (EIP) cards issued by the U.S. Department of Treasury and sent in the U.S. mail pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), that were also stolen from the mail. The CARES Act authorized EIP payments structured as one-time refundable tax credits to certain eligible taxpayers of $1,200 for individuals, $2,400 for married couples filing jointly, and up to $500 for each qualifying child. The goal of this part of their fraud was for the conspirators to unlawfully obtain the government funds pre-loaded onto these cards.
The conspiracy and possession of mail theft charges are each punishable by a maximum potential penalty of five years in prison and a maximum fine of up to $250,000. The bank fraud charge is punishable by a maximum potential penalty of 30 years in prison and a maximum fine of up to $1 million. Sentencing is scheduled for July 20, 2023.
Brooks originally was charged with Jarid Brooks, 29, Kyle Williams, 37, and Kyjuan Hutchins, 23, also of Vauxhall, in October 2020. Jarid Brooks’ case is pending before Judge Cecchi, and he is presumed innocent unless and until proven guilty. Williams has pleaded guilty to conspiring to commit access device fraud and was sentenced. Hutchins has pleaded guilty to conspiring to commit access device fraud and is awaiting sentencing.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Damon Wood, Philadelphia Division; special agents with the U.S. Postal Service – Office of Inspector General, under the direction of Special Agent in Charge Matthew Modafferi, Northeast Area Field Office; and special agents with the Office of the Treasury Inspector General for Tax Administration (TIGTA), under the direction of Special Agent in Charge Andrew McKay, with the investigation leading to today’s guilty plea. He also thanked the Union County Prosecutor’s Office, the Caldwell Police Department, the Fairfield Police Department, the Boonton Police Department, and the Millburn Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Elaine K. Lou, Chief of the Opioid Abuse Prevention and Enforcement Unit of the Criminal Division in Newark.
brooks.indictment.pdfU.S. Postal Service Employee Charged with Mail TheftRead the Press Release
PITTSBURGH - A resident of Rochester, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal Postal laws, Acting United States Attorney Troy Rivetti announced today.
The one-count Indictment named Adam Gallagher, age 38, as the sole defendant.
According to the Indictment, on Oct. 19, 2022, Gallagher engaged in theft of mail matter while employed by the United States Postal Service.
The law provides for a maximum total sentence of not more than five years in prison, a fine of not more than $250,000, a term of supervised release of not more than three years, or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The United States Postal Inspection Services conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Office Seizes $24,000 in Suspected Cryptocurrency ScamRead the Press Release
FAIRVIEW HEIGHTS, Ill. – The U.S. Attorney’s Office in the Southern District of Illinois announced Thursday the seizure of cryptocurrency valued at approximately $24,000 from an account believed to be involved in a fraud scheme against an O’Fallon resident.
“Many of us are still learning the facts about buying and trading cryptocurrency, and as in many cases, scammers are targeting the vulnerable,” said U.S. Attorney Rachelle Aud Crowe. “I appreciate the collaboration between the O’Fallon Police Department and the U.S. Secret Service for their efforts to recover the victim’s funds.”
“The U.S. Secret Service is dedicated to safeguarding the integrity of U.S. financial systems and preventing the public from losing their hard-earned money to these types of scams,” said Stephen S. Webster, Resident Agent in Charge of the U.S. Secret Service Springfield Office. “Unfortunately, new technology has made it easier for individuals abroad to take advantage of innocent victims throughout the United States. The U.S. Secret Service worked quickly with our partners at the U.S. Attorney’s Office in the Southern District of Illinois and O’Fallon Police Department to seize this cryptocurrency and prevent it from lining the pockets of criminals overseas.”
The U.S. District Court issued a default judgment on Feb. 15 on a civil forfeiture complaint. The civil forfeiture complaint, which was filed on Sept. 21, 2022, sought the seizure of 14.77997889 Ethereum (ETH) Cryptocurrency from a Binance Account holder based in Nigeria.
According to an exhibit filed in support of the government’s civil forfeiture complaint, a woman contacted the O’Fallon Police Department in June 2022 to report she was a victim of fraud in a suspected cryptocurrency scam worth more than $32,000.
In May 2022, the victim began communicating with a Twitter account unbeknownst to her at the time was impersonating a cryptocurrency influencer. The fraudster instructed her to deposit $32,662 worth of Bitcoin into a “3Twarriorstrading.com” account. By the time the victim realized the website was a scam, she could not retrieve the cryptocurrency.
The value of the forfeited property will be returned to the victim through a process known as remission. The victim lost about $32,000, but the investigation could only trace and forfeit property worth approximately $24,000.
No criminal charges have been filed related to the civil forfeiture.
The O’Fallon Police Department and the U.S. Secret Service contributed to the investigation. Assistant U.S. Attorney Adam E. Hanna is prosecuting the case.
Two Wolf Point residents admit roles in kidnapping, assault of minor girl on Fort Peck Indian ReservationRead the Press Release
GREAT FALLS — Two Wolf Point residents suspected in the kidnapping and assault of a girl on the Fort Peck Indian Reservation in 2021 today admitted their roles in the abduction, U.S. Attorney Jesse Laslovich said.
Dylan Troy Jackson, 22, and co-defendant Kaylee Jade Jackson, 19, each pleaded guilty to kidnapping of an individual under 18. The defendants face a mandatory minimum 20 years to a maximum of life in prison, a $250,000 fine and not less than five years to a lifetime 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 sentencing factors. Sentencing was set for July 26 for Dylan Jackson and Aug. 3 for Kaylee Jackson. Both defendants were detained pending further proceedings.
The government alleged that on Sept. 15, 2021, a group of individuals lured a 15-year-old girl, identified as Jane Doe, out of her house in Wolf Point and kidnapped her. That evening, after telling Kaylee Jackson about how Jane Doe had wronged him, co-defendant Cheri Cruz Granbois offered to pay Kaylee Jackson to lure the victim from her house so she could be assaulted. Kaylee Jackson accepted the offer and accompanied Granbois and others, including Dylan Jackson, to Jane Doe’s home. Kaylee Jackson lured Jane Doe out of her house, and the situation escalated. Some of the individuals in the group assaulted the victim. When eyewitnesses yelled that they were going to call the police, some of individuals kidnapped Jane Doe, forcing her into a vehicle and driving to a vacant field where the assault continued. Dylan Jackson helped to seize and abduct the victim.
Co-defendants Patti Jo Annunciata Mail, Lavanchie Patricia Goodbird and Elmarie Amelia Weeks have pleaded guilty to charges in the case and are pending sentencing. Granbois has pleaded not guilty to charges and is pending trial.
Assistant U.S. Attorneys Wendy A. Johnson and Ryan G. Weldon are prosecuting the case, which was investigated by the FBI, Fort Peck Law Enforcement, Roosevelt County Sheriff’s Office and Wolf Point Police Department.
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Two New Orleans Men Plead Guilty to Jung Hotel ShootingRead the Press Release
NEW ORLEANS, LOUISIANA – DARIUS DANNEL, a/k/a “DD,” and TERRELL MOORE, a/k/a “Rell,” pled guilty to various violations of the Federal Gun Control, the Federal Controlled Substances, and Hobbs Act before the Honorable Judge Ivan L.R. Lemelle announced U.S. Attorney Duane A. Evans.
According to court documents, DANNEL and MOORE pled guilty to Counts 1, 2, 3, and 4 of the superseding indictment. Count 1 charged them with attempted Hobbs Act Robbery, in violation of Title 18, United States Code, Sections 1951 and 2. Count 2 charged them with participating in a conspiracy to possess with the intent to distribute quantities of marijuana, in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(D), and 846. Count 3 charged the defendants with using, carrying, and discharging a firearm during and in relation to a drug trafficking crime, in violation of Title 18, United States Code, Sections 924(c) and 2. Count 4 charged the defendants with participating in a conspiracy to possess firearms in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(o).
As to Count 1, DANNEL and MOORE face a maximum sentence of 20 years in prison, a fine of not more than $250,000.00, and up to three years of supervised release. As to Count 2, the defendants face a maximum sentence of 5 years in prison, a fine not to exceed $250,000.00, and at least two years supervised release. As to Count 3, the defendants face a mandatory minimum of 10 years and a maximum of life in prison, a fine of not more than $250,000.00, and up to five years supervised release. The prison sentence imposed for Count 3 must be served consecutively to any other prison sentence imposed in connection with this case and any other case. Finally, as to Count 4, DANNEL and MOORE face a maximum sentence of 20 years in prison, not more than a $250,000.00 fine, and up to three years of supervised release. As to each count, DANNEL and MOORE face payment of a mandatory $100 special assessment fee.
The sentencing for DANNEL and MOORE is scheduled for June 28, 2023 at 1:30 p.m.
The case stems from a shootout that occurred at the Jung Hotel. On December 28, 2020, during an attempted armed robbery of significant amounts of marijuana, two groups engaged in a shootout in the Jung Hotel- one group who possessed the marijuana, the other group who tried to take the marijuana. In total, over 80 shots were fired and three people were shot. A good portion of this shootout was captured via the hotel security cameras. DANNEL and MOORE admitted to their participation in attempting to rob the drug dealers, and discharging their firearms during the attempted robbery. All six of the robber-perpetrators have pled guilty to their charged crimes before Judge Lemelle. Two of the marijuana distributors have pled guilty to similar crimes before United States District Court Judge Greg. G. Guidry. Judge Guidry sentenced Clarence Santiago to 30-years imprisonment for his role in the crimes on March 7, 2023. As part of the record, the Government introduced video surveillance of the event during Santiago’s sentencing hearing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the federal Bureau of Alcohol, Tobacco, Firearms and Explosives and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorneys Maurice Landrieu of the Narcotics Unit and Elizabeth Privitera, Chief of the Violent Crimes Unit.
Three Men Indicted in Connection with Violent Armed Bank Robbery on Martha's VineyardRead the Press Release
BOSTON – Three men have been indicted by a federal grand jury in Boston in connection with the Nov. 17, 2022 armed bank robbery of the Rockland Trust Bank in Tisbury, Mass.
Miquel Antonio Jones, 39, of Edgartown, and Omar Odion Johnson, 32 of Canterbury, N.H., were indicted on one count each of armed bank robbery and aiding and abetting. Romane Andre Clayton, 21, of Jamaica, was indicted on one count of being an accessory after the fact to armed bank robbery. Jones, Johnson and Clayton will appear in federal court in Boston at a later date. Following the defendants’ initial arrest and charge by criminal complaint in December 2022, Jones and Johnson have remained in custody and Clayton was released on conditions.
According to the charging documents, on the morning of Nov. 17, 2022, three masked and armed individuals forced their way into the rear door of the Rockland Trust Bank in Tisbury. All three individuals were wearing dark colored clothing and white masks resembling an elderly man with exaggerated facial features. According to witnesses, each of the individuals were allegedly carrying what appeared to be semi-automatic handguns. The video surveillance also showed that one of the individuals was carrying what appeared to be a walkie-talkie. Once inside the bank, one of the individuals allegedly held a gun to the head of one of the bank employees and forced him to open the bank’s vault. It is further alleged that the individuals entered the vault and took approximately $39,100, then bound the employees with duct tape and plastic zip ties, demanded access to one of their vehicles, and left the premises in an employee’s car.
A short time after the robbery, the stolen car was located in a parking lot approximately 2.3 miles from the bank and determined that, minutes after the robbery, the individuals allegedly left the parking lot in another vehicle.
Additionally, according to the charging documents, during a search of the Tisbury farm used by a local landscaping company that employs Jones, a glove, paper money band, zip tie and multiple rubber band – items consistent with the bank robbery – were recovered. During the search, investigators observed an area that appeared to have had a recent fire, and found burned pieces of nylon, white metal plastic consistent with a white mask, burned walkie-talkie pieces, an antennae, batteries and pieces of metal consistent with a duffle bag zipper. Within a few feet of the burned area two semi-automatic handguns loaded with 9mm ammunition were discovered buried inches under the ground. These items, including the handguns, were consistent with items possessed by the robbers during the robbery of the Rockland Trust bank.
According to surveillance video obtained from the Steamship Authority ferry terminal in Vineyard Haven, it is alleged that less than 40 minutes after the robbery – at approximately 8:58 a.m. on Nov. 17, 2022 – Clayton was captured arriving in a silver sedan to a parking lot nearby the ferry terminal, parking the vehicle, purchasing ferry tickets and boarding a ferry at 9:21 a.m. Approximately 30 minutes later, at 9:53 a.m., Johnson is allegedly captured arriving to the same parking lot and getting into the driver’s seat of the silver sedan Clayton had previously arrived in and parked before boarding a ferry. It is further alleged that Johnson is later captured driving the silver sedan to the vehicle reservation clerk booth, purchasing a vehicle ferry ticket and boarding a freight ferry in the silver sedan at 12:24 p.m.
The charge of armed bank robbery provides for a sentence of up to 25 years in prison, five years of supervised release and a fine of $250,000. The charge of being an accessory after the fact to armed bank robbery provides for a sentence of up to 150 months in prison, five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Cape & Islands District Attorney Robert Galibois; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; Tisbury Police Chief Chris Habekos; West Tisbury Police Chief Matt Mincone; Edgartown Police Chief Bruce R. McNamee; Chilmark Police Chief Jonathan Klaren; Oak Bluffs Police Chief Jonathan Searle; Aquinnah Police Chief Randhi P. Belain; and Canterbury (N.H.) Police Chief Michael Labrecque made the announcement today. Valuable assistance was provided by the United States Postal Inspection Service; the Bureau of Alcohol Tobacco and Firearms; Immigration and Customs Enforcement; and the United States Customs and Border Protection. Assistant U.S. Attorneys Meghan C. Cleary and Kenneth G. Shine of Rollins’s Major Crimes Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Texas Man Sentenced for $2 Million Medicare FraudRead the Press Release
NORFOLK, Va. – A Texas man was sentenced today to 66 months in prison for conspiring to defraud Medicare of more than $2 million by submitting thousands of fraudulent claims for durable medical equipment.
According to court documents, Jordan Thomas Broome, 37, was the owner and operator of Beach Medical Suppliers, LLC (“Beach Medical”), which had its storefront in Virginia Beach. Broome enrolled Beach Medical in Medicare in 2018 and thereafter submitted thousands of fraudulent claims for durable medical equipment such as back and knee braces. Working with other companies and individuals, Beach Medical would unlawfully obtain the personal identifying information of elderly Medicare beneficiaries, mail them braces that they never wanted or needed, and then submit fraudulent bills to Medicare. The scheme included a network of doctors who would “robo-sign” prescriptions for patients the doctors had never met. During the scheme, which lasted until federal agents executed a search warrant at Beach Medical in late 2020, Beach Medical obtained approximately $2,153,200.44 in fraudulent billings involving more than 2,000 Medicare beneficiaries.
Broome is a graduate of the U.S. Naval Academy and a former Naval officer.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Maureen R. Dixon, Special Agent in Charge of the Office of Inspector General for the U.S. Department of Health and Human Services (HHS); and Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Elizabeth Wilson Hanes.
Assistant U.S. Attorneys E. Rebecca Gantt and Kevin P. Hudson prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:22-cr-79.
Texarkana Man Sentenced to 30 Years in Federal Prison for Production of Child PornographyRead the Press Release
TEXARKANA – A Texarkana, Arkansas, man was sentenced today to 30 years in prison, followed by lifetime supervised release, on one count of Sexual Exploitation of a Minor via Production of Child Pornography. There is no parole in the federal system. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing in the U.S. District Court in Texarkana.
According to court documents, Michael Ray Beam, age 32, used the social media service Snapchat to induce a 13-year-old Texarkana, Arkansas, girl to send him nude images and videos of herself, amounting to child pornography under federal law. The victim told authorities that Beam had left a “vape” device in her home mailbox in exchange for her sending him images and videos of herself engaging in specific sexual acts. Using the Snapchat service, Beam had been able view the victim’s real-time physical location, at her Texarkana, Arkansas, residence. Following Beam’s arrest on state charges, investigators obtained a warrant to search a smart phone found in his possession. In Beam’s phone, investigators found multiple ‘screen capture’ video recordings of the child pornography he had received via Snapchat from the young victim.
Beam was indicted by a Grand Jury sitting in the Western District of Arkansas in September 2021, and entered a plea of guilty in March 2022.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Miller County Sheriff’s Department, the Wake Village, Texas, Police Department, and the FBI investigated the case.
Assistant U.S. Attorney Graham Jones prosecuted the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Staten Island Man Pleads Guilty to Baby Formula Fraud SchemeRead the Press Release
BROOKLYN – Earlier today, in federal court in Brooklyn, Vladislav Kotlyar pleaded guilty to defrauding insurance plans and medical suppliers by fraudulently procuring specialty baby formula. When sentenced for mail fraud, Kotlyar faces up to 20 years in prison. The proceeding was held before United States District Judge William F. Kuntz, II.
Breon Peace, United States Attorney for the Eastern District of New York, Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
According to court filings, Kotlyar submitted forged prescriptions and medical records for specialty baby formula that was paid for by health insurers. Kotlyar obtained prescriptions and medical records for infants who were prescribed specialty baby formula and forged those records to obtain additional specialty baby formula. After receiving the specialty baby formula, Kotlyar fabricated issues with the shipments, including falsely claiming they were damaged or the incorrect formula in order to obtain additional formula at no additional cost. As part of the scheme, Kotlyar and his co-conspirators submitted more than $1.9 million in fraudulent claims to health insurers, including during a national shortage of baby formula. Kotlyar agreed to forfeit approximately $1 million and pay more than $738,000 in restitution.
Trial Attorney Patrick J. Campbell of the Justice Department’s Fraud Section is prosecuting the case.
The Defendant:
VLADISLAV KOTLYAR
Age: 43
Staten Island, New YorkE.D.N.Y. Docket Number: 23-CR-75 (WFK)
St. Paul Felon Sentenced to 15 Years in Prison for Illegal Possession of a FirearmRead the Press Release
ST. PAUL, Minn. – A St. Paul man was sentenced to 15 years in prison, followed by five years of supervised release, for possessing a firearm as an Armed Career Criminal, announced U.S. Attorney Andrew M. Luger.
According to court documents, on March 17, 2022, Geraldo Jay Dilworth, 35, was in possession of a Springfield Armory .45 caliber pistol while waiting to board a train at the Union Depot Station in St. Paul. Because he has multiple prior felony convictions in Ramsey and Washington Counties, including domestic assault and terroristic threats, Dilworth is prohibited under federal law from possessing firearms or ammunition at any time.
Dilworth pleaded guilty on November 1, 2022, to one count of felon in possession of a firearm as an Armed Career Criminal. He was sentenced on March 14, 2023, by Senior Judge Susan Richard Nelson.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Paul Police Department.
Assistant U.S. Attorney Lauren O. Roso prosecuted the case.
St. Louis Park Man Pleads Guilty to CyberstalkingRead the Press Release
ST. PAUL, Minn. – A St. Louis Park man has pleaded guilty to two counts of cyberstalking involving two victims, announced U.S. Attorney Andrew M. Luger.
According to the defendant’s guilty plea and court documents, between September 2020 through December 2021, Julyen Alonzo Martin, 30, cyberstalked and threatened to kill, injure, and harass the victims. In violation of orders of protection issued against him, Martin sent numerous threats and unwanted messages via text message and social media applications to a victim. As a part of his cyberstalking scheme, Martin created social media accounts posing as one of the victims online and posted harmful allegations about the victims. According to court documents, Martin also contacted the National Center for Missing and Exploited Children (“NCMEC”), falsely alleging that one of the victims was using their work computer to view child pornography. Martin emailed and called the victim’s employer several times claiming the victim was a pedophile being investigated for child endangerment. Also, Martin posed as a federal agent in furtherance of his cyberstalking scheme and claimed to be an FBI Special Agent intending to search the victim’s place of work for evidence.
Martin pleaded guilty yesterday in U.S. District Court before Senior Judge Susan Richard Nelson to two counts of cyberstalking. A sentencing hearing is scheduled for August 8, 2023.
This case is the result of an investigation conducted by the FBI.
Assistant U.S. Attorney Hillary A. Taylor is prosecuting the case.
St. Louis Man Admits Making Rape Threats to Five WomenRead the Press Release
ST. LOUIS – A man from St. Louis pleaded guilty Thursday to five federal felonies and admitted harassing and threatening to rape five women.
Robert D. Merkle, 54, pleaded guilty in U.S. District Court in St. Louis to all the counts he was facing: two counts of interstate communication of threats and three counts of cyberstalking. He admitted harassing women in the St. Louis area and across the country for months, while he was on parole for similar crimes with different victims.
The federal investigation began in January 2022, after a woman told the Town and Country Police Department that a man she’d met on a dating site more than seven years earlier sent a series of text messages in which he said he’d made a copy of her house key and was planning on breaking into her home two days later and raping her.
The FBI obtained a court-approved search warrant for Merkle’s home and cell phones, and discovered that he’d used emails, multiple cell phones and a service that can send texts anonymously to harass women.
Merkle met several of the women on dating sites and worked with another woman.
Both sides have agreed to recommend the maximum penalty for the crime, five years in prison, at Merkle’s sentencing. That sentencing is scheduled for June 21. Merkle still faces a pending felony charge of harassment in St. Louis County Circuit Court.
Merkle was charged with harassment in 2017 and 2018 in Jefferson County Circuit Court and St. Louis Circuit Court, resulting in a three-year prison sentence. Merkle was living in a halfway house in St. Louis at the time of his federal crimes.
The FBI, the Town and Country Police Department, the St. Louis Metropolitan Police Department, the Glen Ellyn (Illinois) Police Department and the Harrison County Sheriff’s Department and the Gulfport Police Department in Mississippi investigated this case. Assistant U.S. Attorney Colleen Lang is prosecuting the case.
Springdale Woman Sentenced to More Than 9 Years in Federal Prison for Drug TraffickingRead the Press Release
FAYETTEVILLE – A Springdale woman was sentenced yesterday to 110 months in prison followed by three years of supervised release on one count of Possession with Intent to Distribute Methamphetamine. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court documents, on September 12, 2022, as part of an ongoing narcotics investigation, detectives with the Fourth Judicial District Drug Task Force (DTF) executed a search warrant at the residence of Edna May Meadath, age 63, in Springdale, Arkansas.
During the search, detectives located multiple digital scales, multiple drug ledgers, packaging materials for the sale and distribution of methamphetamine, two methamphetamine smoking pipes, banking receipts, and approximately 661 grams of suspected methamphetamine.
The suspected methamphetamine was sent to the Homeland Security Investigations Crime Laboratory where it tested positive for methamphetamine.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Fourth Judicial District Drug Task Force investigated the case.
Assistant U.S. Attorney Sydney Butler prosecuted the case.
Southeast Missouri Man Sentenced to 16 Years in Prison for Bank RobberyRead the Press Release
CAPE GIRARDEAU – United States District Judge Stephen N. Limbaugh, Jr., sentenced Keith Lamar Dunlap to 15 years in federal prison today for robbing the Citizens Bank of Sikeston on October 30, 2020. Dunlap, now 56, was also sentenced to serve a consecutive term of 12 months in federal prison for violating his supervised release in a 2013 bank robbery case.
Dunlap pleaded guilty on October 6, 2022, to the bank robbery charge. He admitted robbing Citizens Bank of Charleston on Oct. 30, 2020 after handing a note to a teller stating, “give me all stacks of $100 and $50 or I will shoot you.”
Dunlap was pulled over by the Missouri State Highway Patrol in Sikeston in a vehicle matching the description of the one used in the robbery. As stated in the plea agreement, a trooper found another threatening note in the vehicle as well as the cash taken in the robbery.
Dunlap was twice previously convicted of bank robbery in the United States District Court for the Eastern District of Missouri, in 2009 and 2013, for robbing banks in St. Louis and St. Louis County, respectively.
The FBI, the Missouri State Highway Patrol, and the Sikeston Department of Public Safety investigated this case. Assistant U.S. Attorney Paul W. Hahn handled the prosecution for the government.
Securities Fraud Fugitive Arrested and Returned to the United StatesRead the Press Release
NEWARK, N.J. – A former North Carolina resident appeared in court after he was arrested and returned to the United States from Phuket, Thailand, for his role in a large-scale market manipulation scheme related to two publicly traded companies, U.S. Attorney Philip R. Sellinger announced today.
Peter Coker Jr., 53, of Phuket, was charged in a 12-count indictment with conspiracy to commit securities fraud, securities fraud, and conspiracy to manipulate securities prices. Coker Jr., who was previously arrested in Phuket, Thailand, was returned to the United States today and made his initial appearance before U.S. Magistrate Judge Michael A. Hammer in Newark federal court on March 15, 2023. He was detained without bail. Peter Coker Sr. and James Patten were previously arrested on the indictment and those charges remain pending.
According to documents filed in this case and statements made in court:
From 2014 through September 2022, Patten, Coker Sr., and Coker Jr. conspired to enrich themselves through a scheme to manipulate securities prices via a pattern of coordinated trading, which injected inaccurate information into the marketplace, creating false impressions of supply and demand for these securities.
The defendants targeted two publicly traded companies – Hometown International Inc. and E-Waste Corp. – which were both traded on the OTC Link Alternative Trading System, also known as the OTC Marketplace. The OTC Marketplace is an alternative trading system that contains three tiers of markets, which are largely based on the quality and quantity of the listed companies’ information and disclosures.
Patten, Coker Sr., and Coker Jr. took steps to gain control of both entities’ management and stock with the ultimate intention of entering reverse mergers, a transaction through which an existing public company merges with a private operating company. A successful reverse merger would allow the defendants to sell shares of each entity at a significant profit.
In 2014, two New Jersey residents began the process of opening a local deli in Paulsboro, New Jersey. One of the individuals discussed his interest in opening the deli with Patten, a long-time friend, who suggested the creation of Hometown International, an umbrella corporation, under which the deli would operate as a wholly owned subsidiary. Unbeknownst to the deli owners, almost immediately after Hometown International was formed, Patten and his associates began positioning Hometown International as a vehicle for a reverse merger that would yield substantial profit to them.
In October 2019, Hometown International began selling shares on the OTC Marketplace. Shortly thereafter, Patten, Coker Sr., and Coker Jr. undertook a scheme to gain control of Hometown International’s management and its shares from the deli owners. Patten, Coker Sr., and Coker Jr. took similar actions to gain control of E-Waste Corporation’s stock and management.
Once the defendants gained control of Hometown International and E-Waste’s shares, they arranged for the transfer of millions of shares of stock to a number of nominee entities, including entities controlled by Coker Jr., in an effort to mask their control of the shares.
The defendants transferred shares to family members, friends, and associates and gained control over their trading accounts by obtaining their log-in information in order to conceal the defendants’ involvement. The defendants then used those accounts to commit a number of coordinated trading events, often referred to as match and wash trades, to trade in Hometown International and E-Waste Corp.’s stock on both sides of the transaction.
These tactics artificially inflated the price of Hometown International and E-Waste’s stock by giving the false impression that there was a genuine market interest in the stock. Their scheme had the ultimate impact of artificially inflating Hometown International’s stock by approximately 939 percent and E-Waste’s stock by approximately 19,900 percent.
The securities fraud count carries a maximum penalty of 20 years in prison and a $5 million fine. The counts of conspiracy to commit securities fraud and conspiracy to manipulate securities prices both carry a maximum penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense whichever is greatest.
In a separate civil action, the Securities and Exchange Commission previously filed a complaint in the District of New Jersey charging Patten, Coker Sr., and Coker Jr. based on the allegations underlying the market manipulation scheme.
U.S. Attorney Sellinger credited special agents of the FBI’s Philadelphia Division, under the direction of Special Agent in Charge Jacqueline Maguire, and special agents of IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Tammy Tomlins in Newark, with the investigation.
The government is represented by Assistant U.S. Attorneys Shawn Barnes, Chief of the OCDETF/Narcotics Unit, and Lauren Repole, Chief of the General Crimes Unit.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
coker.indictment.pdfSan Jose Resident Faces Charge of Distributing FentanylRead the Press Release
OAKLAND – Ian Edward Parrish appeared today in United States District Court to face a federal charge that he distributed fentanyl in the form of counterfeit “M30” pills, announced United States Attorney Stephanie M. Hinds and Federal Bureau of Investigations (FBI) Special Agent in Charge Robert K. Tripp. Parrish made his initial appearance today in United States District Court in Oakland before United States Magistrate Judge Kandis A. Westmore.
The charge was set out in a criminal complaint filed March 14, 2023, and unsealed in federal court today. According to the criminal complaint, Parrish, 28, of San Jose, Calif., sold two counterfeit Percocet pills to an individual in a bar in Fremont. The complaint alleges that the counterfeit pills were in fact laced with fentanyl. The complaint alleges that the individual who purchased the pills consumed one and shortly thereafter died of an overdose.
The complaint charges Parrish with distribution of fentanyl, in violation of 21 U.S.C. 841(a)(1), (b)(1)(C). The statutory maximum for the charge is a maximum 20 years’ imprisonment, a maximum fine of $250,000, a maximum of 3 years’ supervised release, and a $100 special assessment. However, any sentence following a conviction would be imposed by a court only after considerations of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. 3553.
The charges contained in the criminal complaint are only allegations. As in any criminal case, the defendant is presumed innocent unless and until proven guilty in a court of law.
At today’s hearing, Parrish was ordered detained. His next federal court appearance is scheduled for March 21, 2023, before Magistrate Judge Westmore for a status conference to consider detention and additional issues.
Assistant U.S. Attorney Evan M. Mateer of the Oakland Branch of the United States Attorney’s Office is prosecuting the case with the assistance of Karina Ruiz. The prosecution is the result of an investigation by FBI and the Fremont Police Department.
One Pill Can Kill: 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.
SIM Card Swapping Fraudsters Sentenced in San AntonioRead the Press Release
SAN ANTONIO – A San Antonio man and woman were sentenced Wednesday in a federal court in San Antonio for their roles in a SIM card swapping fraud scheme.
According to court documents, Zena Elisa Dounson, 24, and Andrew Percy Trujillo, 22, conspired to access and transfer assets from victims’ cryptocurrency accounts via SIM swapping. A mobile phone uses a SIM card to store information that identifies and authenticates the subscriber to that cellular phone. A SIM swapping scheme allows a person to use other phones or devices as though they were the authorized subscriber. In November 2021, Dounson, an employee at the AT&T store at Ingram Park Mall, assisted Trujillo in adding himself as an authorized user to the accounts of multiple victims. Using his access as an apparent authorized user, Trujillo would add multiple devices to the accounts. Dounson would then transfer the victims’ SIM card credentials to the fraudulent SIM cards in Trujillo’s phones. When the victims’ original devices were locked due to suspected fraud, Trujillo accessed and transferred at least $250,000 worth of cryptocurrency from the victims’ investment accounts to his own account. Both defendants pleaded guilty in August 2022 to one count of conspiracy to commit computer fraud and abuse and wire fraud.
At the hearing, Trujillo was sentenced to 33 months in prison plus three years of supervised release. Additionally, he was ordered to pay approximately $282,000 in restitution. Dounson received a split sentence of two months in prison and five years of probation. She was also ordered to pay $282,000 in restitution.
“SIM Swapping is a rapidly growing type of fraud scheme that everyone should be aware of,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “It’s particularly dangerous because it abuses access to two-factor authentication systems which are intended to provide additional security. Anyone who uses two-factor authentication should be mindful that it is not foolproof, and to still be on the lookout for any suspicious activity involving their phones.”
“The defendants in this case callously devised a scheme to transfer more than $250,000 of cryptocurrency from multiple victims for their own personal gain,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “This sentencing brings a measure of justice to victims and holds the defendants accountable for their actions."
The FBI investigated the case.
Assistant U.S. Attorneys Michael Galdo and Justin Chung prosecuted the case.
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Richmond Man Sentenced for Possession and Sale of Machinegun Conversion DevicesRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to three years in prison for possessing and selling multiple machinegun conversion devices, also known as Glock switches, that are designed to convert firearms into fully automatic machineguns.
According to court documents, Zantias Tyler, 27, pleaded guilty to one count of possessing and transporting multiple machinegun conversion devices, which are illegal under federal law because they are designed solely to convert a firearm into a fully automatic weapon. In June 2022, the ATF Internet Investigations Branch identified a YouTube channel where Tyler showcased several videos promoting the manufacture and sale of devices specific to “Glock-Style” firearms, commonly referred to as “switches” or “Glock switches.”
Previously, in May 2022, Tyler had been stopped and questioned by Richmond police, and during that encounter, the officers recovered two Glock switches attached to Tyler’s key chain. Further investigation by the ATF intercepted packages mailed by Tyler containing more switches. Ultimately, two search warrants were executed on Tyler’s residence. In all, twelve conversion devices were seized by the ATF, along with a package of 30 additional device parts, two firearms, and evidence of dozens of online sales of these devices.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Michael T. Weddel, Acting Special Agent in Charge of the ATF’s Washington Field Division; Damon E. Wood, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Rick Edwards, Acting Chief of Richmond Police, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck.
Assistant U.S. Attorney Peter S. Duffey prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:22-cr-145.
Residents of Pennsylvania and Ohio Indicted for Conspiring to Distribute CocaineRead the Press Release
JOHNSTOWN, Pa. – Residents of Pennsylvania and Ohio were indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotics laws, Acting United States Attorney Troy Rivetti announced today.
The Indictment named Raheem Hurst, 25, of Garfield Heights, OH; Samantha Jones, 40, of Arnold, PA; and Leah Jackson, 37, of New Kensington, PA, as the defendants.
According to the Indictment presented to the court, from September 2022, and continuing thereafter to March 2, 2023, Hurst, Jones, and Jackson conspired to possess with intent to distribute and distribute 500 grams or more of a mixture and substance containing a detectable amount of cocaine.
The law provides for a minimum sentence of 10 years in prison, a fine of $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Arnold P. Bernard, Jr. is prosecuting this case on behalf of the government.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The Federal Bureau of Investigation, Laurel Highlands Resident Agency and Homeland Security Investigations conducted the investigation leading to the Indictment in this case. Additional agencies participating in this investigation include the the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, and other local law enforcement agencies.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Realty Company Owner Pleads Guilty in Fraud SchemeRead the Press Release
PITTSBURGH, PA - A resident of Aliquippa, Pennsylvania, pleaded guilty in federal court to charges of bank fraud and conspiracy, Acting United States Attorney Troy Rivetti announced today.
Lee Ann Benninghoff, age 44, pleaded guilty to two counts before United States District Judge Marilyn J. Horan.
In connection with the guilty plea, the court was advised that Benninghoff owned and operated Complete Escrow and Bella Casa Realty. From February 2014 through March 2017, Benninghoff used her position and connections in real estate financing, and conspired with others in the industry, to submit fraudulent gift letters in support of mortgage loan applications The gift letters misrepresented the source of the funds and their purported purpose.
Judge Horan scheduled sentencing for July 12, 2023, at 9 a.m. The law provides for a total sentence of not more than 30 years in prison, a fine of not more than $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Federal Housing Finance Agency Office of Inspector General, the U.S. Department of Housing and Urban Development Office of Inspector General, and the U.S. Secret Service conducted the investigation that led to the prosecution of Benninghoff.
Readout of Joint Task Force Alpha Summit on Anti-Human Smuggling and Trafficking EffortsRead the Press Release
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division yesterday convened a meeting of Joint Task Force Alpha (JTFA) in El Paso, Texas, to bring together law enforcement leaders to discuss dismantling human smuggling and trafficking networks operating along the Southwest Border.
Assistant Attorney General Polite was joined by senior leadership from five U.S. Attorneys’ offices from the districts along the Southwest Border: U.S. Attorney Jaime Esparza for the Western District of Texas (who hosted the meeting), U.S. Attorney Randy Grossman for the Southern District of California, U.S. Attorney Alamdar Hamdani for the Southern District of Texas, Chief Assistant U.S. Attorney Nicole Savel for the District of Arizona, and U.S. Attorney Alexander Uballez for the District of New Mexico. Department of Homeland Security (DHS) Deputy Secretary John K. Tien, Homeland Security Investigations Acting Executive Director Steve K. Francis, U.S. Customs and Border Protection Acting Commissioner Troy A. Miller, also joined, as did other interagency members of JTFA.
Prior to the summit, senior leaders from the Justice Department and DHS components visited the Southwest Border in El Paso. The tour provided an important perspective on challenges presented by transnational criminal organizations involved in human smuggling and other crimes, which all impact border security efforts by land, through waterways, and by air.
“I am proud of the accomplishments of JTFA since its creation nearly two years ago,” said Assistant Attorney General Kenneth A. Polite, Jr. “We are better at dismantling human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, and Honduras because we are a stronger, more unified law enforcement team with our counterparts in Mexico and Central America. I believe our efforts to work together to combat these crimes will continue to generate immediate results, while also building towards sustained success.”
During the meeting, Assistant Attorney General Polite expressed his appreciation for the broad and continued support of JTFA. In its first two years, this joint law enforcement effort has resulted in substantial and continued disruption through specific and general deterrence, collaborating on numerous high priority investigations and cases of significant organizations and their key leaders and facilitators. These measures have resulted in dozens of arrests, indictments, and convictions both in the United States and with foreign law enforcement partners, along with obtaining substantial jail sentences and asset forfeiture.
The discussion included ways to further advance JTFA’s mission to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, and Honduras. JTFA members also discussed identifying ways to strengthen efforts to disrupt and dismantle those human smuggling and trafficking networks that abuse or exploit those being smuggled, pose national security risks, or have links to transnational organized crime.
Additionally, JTFA leadership identified enhancements made to increase the efficiencies of the task force model at the local and national levels and discussed ways to better foster interagency collaboration to target criminal organizations involved in smuggling and related crimes in and throughout the region.
Prince George’s County Man Sentenced to 32 Years in Federal Prison for Production of Child PornographyRead the Press Release
Greenbelt, Maryland - U.S. District Judge Paula Xinis sentenced Carl Gage Linden, age 57, of Mount Rainier, Maryland, yesterday to 32 years in federal prison, followed by lifetime supervised release, for production of child pornography. Judge Xinis also ordered Linden to pay a special assessment of $200 and that, upon his release from prison, Linden must register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (“SORNA”). Linden was also ordered to pay restitution in the amount of $25,401 to the victims.
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; Chief Linwood Alston of the Mount Rainier Police Department; and Prince George’s County State’s Attorney Aisha Braveboy.
According to his guilty plea, Linden was arrested on November 12, 2020, on charges of second degree assault and third and fourth degree sexual offenses, after Victim 1 found sexually explicit photos of herself on Linden’s phone. A subsequent forensic analysis of Linden’s laptop and cellular phone revealed dozens of videos, photos, and images depicting the sexual abuse of Victim 1 and Victim 2, when the victims were between seven and eleven years old.
As required by his plea agreement on the federal charges, on November 30, 2022, Linden also pleaded guilty to related sex abuse charges in Prince George’s County Circuit Court. Linden is scheduled to be sentenced in that case on March 22, 2023.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI, the Mount Rainier Police Department, and the Prince George’s County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorneys Caitlin Cottingham and Kelly O. Hayes, who prosecuted the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Postal Service Employee Charged with Stealing MailRead the Press Release
PITTSBURGH, Pa - A resident of Braddock, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of mail theft, Acting United States Attorney Troy Rivetti announced today.
The one-count Indictment named Christina Ankney, age 39, as the sole defendant.
According to the Indictment, on May 19, 2022, Ankney stole from the mail while employed by the United States Postal Service.
The law provides for a maximum total sentence of not more than five years in prison, a fine of not more than $250,000, a term of supervised release of not more than three years, or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney William B. Guappone is prosecuting this case on behalf of the government.
The United States Postal Inspection Services conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Postal Employee Charged with Stealing Gift CardRead the Press Release
PITTSBURGH, Pa - A resident of McKees Rocks, Pennsylvania, been indicted by a federal grand jury in Pittsburgh on a charge of mail theft, Acting United States Attorney Troy Rivetti announced today.
The one-count Indictment named India Schatzman, age 47, as the sole defendant.
According to the Indictment, on Dec. 30, 2022, Schatzman was a postal employee who stole a gift card from the mail.
The law provides for a maximum total sentence of not more than five years in prison, a fine of not more than $250,000, a term of supervised release of not more than three years, or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney William B. Guappone is prosecuting this case on behalf of the government.
The United States Postal Inspection Service conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Sentenced to 48 Months in Prison for Mail Fraud and Identity TheftRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that United States Judge Christopher C. Conner sentenced Ekow Harley, age 33, of Philadelphia, Pennsylvania, to 48 months in prison for mail fraud and aggravated identity theft.
According to United States Attorney Gerard M. Karam, Harley was a member of a conspiracy in which co-conspirators, using the personal identifying information of unknowing victims, opened Sprint cell phone accounts. In opening the accounts, the co-conspirators would order cell phones and have them shipped to residences, unassociated with the victims or conspiracy members. The tracking numbers for the packages were then sent to co-conspirators, to include Harley, that would pick the packages up from the houses after delivery. Through this scheme, Harley was personally responsible for over $90,000 loss and the use of the identity of at least 33 victims.
Gerrit Deku and Joseph Ofori were also members of the conspiracy. On March 23, 2022, Judge Conner sentenced Deku to 34 months imprisonment. On August 16, 2022, Judge Conner sentenced Ofori to one year probation.
The case was investigated by Homeland Security Investigations (HSI) and the Pennsylvania State Police. Assistant U.S. Attorney Scott Ford prosecuted the case.
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Philadelphia Man Sentenced for Cambridge HomicideRead the Press Release
Burlington, Vermont – The United States Attorney’s Office stated that Taylor Ruffin Herrington, 31, of Philadelphia, PA, was sentenced today in United States District Court in Burlington to 150 months of imprisonment following his guilty plea to using a firearm in connection with a drug trafficking crime which caused the death of Michael Haines, and conspiracy to distribute heroin and cocaine base. United States District Judge Christina Reiss also ordered that Herrington serve four years of supervised release following completion of his prison term and ordered him to pay restitution to the victims of the offense. Herrington has been incarcerated since his arrest in March 2020.
According to public records, between the summer of 2018 and March 2020, Taylor Ruffin Herrington was in the Chittenden County area of Vermont selling heroin and crack cocaine. On March 3, 2020, Herrington had a dispute with the victim, Michael Haines, because Haines had stolen Herrington’s heroin. Angry about the theft, Herrington fired six shots at the front of Michael Haines’s house in Cambridge, Vermont. One of the bullets fired by Herrington pierced the front of the house and struck Haines who was standing in the kitchen. By the time the police arrived, Michael Haines had died of the gunshot wound.
This case was investigated by the Vermont State Police and the Federal Bureau of Investigation.Herrington was represented by Federal Public Defender Michael Desautels, Esq. The prosecutor was Assistant U.S. Attorney Wendy L. Fuller.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.
Pawn Shop Operator Pleads Guilty to $3 Million Scheme to Sell over 100,000 Stolen Items OnlineRead the Press Release
KANSAS CITY, Mo. – The former operator of a Kansas City, Mo., pawn shop pleaded guilty in federal court today to engaging in a $3 million scheme to fence more than 100,000 stolen items and sell them on eBay.
Frank J. Santa Maria, 58, of Leawood, Kansas, waived his right to a grand jury and pleaded guilty before U.S. District Judge Stephen R. Bough to a federal information that charges him with one count of transporting stolen property across state lines.
Santa Maria operated J’s Pawn, which was owned by his wife, for approximately 20 years until it closed in January 2023.
By pleading guilty today, Santa Maria admitted that he knowingly purchased approximately 100,860 items that had been stolen from various retailers in the Kansas City area, such as Target, Walmart, Home Depot, Lowe’s, CVS, and Walgreens. Santa Maria then posted the stolen items for sale on multiple eBay pages and shipped them to purchasers across the country, resulting in gross proceeds of approximately $3,079,342.
Today’s plea agreement refers to four unidentified “boosters,” or shoplifters, from whom Santa Maria purchased such stolen items as ink cartridges, Crest Whitestrips, Rogaine products, Nicorette products, over-the-counter supplements and medications, Spypoint cameras, Nikon rangefinders, and electric fence systems over a four-and-a-half-year period from Jan. 1, 2017, to July 24, 2021.
During the execution of a search warrant at J’s Pawn on Oct. 21, 2021, officers seized 4,749 items that Santa Maria does not contest were stolen property.Under the terms of today’s plea agreement, Santa Maria must forfeit to the government all property derived from the proceeds of the offense, including a money judgment of $2,752,352. Santa Maria must also forfeit $302,172 that was seized from his bank account in a pending civil asset forfeiture proceeding.
Under federal statutes, Santa Maria is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Nicholas Heberle, Matthew Wolesky, and Anthony Brown. It was investigated by the Kansas City, Mo., Police Department and the U.S. Postal Inspection Service.
Parolee Who Robbed a Pharmacy at Gunpoint While Wearing a GPS Tether Sent to PrisonRead the Press Release
DETROIT – A Clinton Township man was sentenced today to 171 months in federal prison based on his conviction for robbing a Hamtramck pharmacy and other related drug offenses, United States Attorney Dawn N. Ison announced today.
Ison was joined in the announcement by James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation, and Chief Ann Moise of the Hamtramck Police Department.
Marcus McBride, Jr., 29, who previously pleaded guilty to possession with intent to distribute a controlled substance, robbery involving a controlled substance, and use of a firearm in relation to a crime of violence, was sentenced by U.S. District Court Judge Mark A. Goldsmith.
According to court documents, McBride robbed the Hoover Pharmacy, located at 2930 Holbrook Avenue, Hamtramck, Michigan, on June 10, 2020. After entering the pharmacy, McBride waved a semiautomatic pistol at customers and yelled, “Get down!” He then approached the counter and pointed the firearm at the pharmacist and stated, “Give me 30’s and 40’s!” The pharmacist grabbed a box of medication which contained Oxycodone and Oxymorphone prescriptions and handed it to him. McBride snatched the box and fled the pharmacy. McBride took approximately 3,937 pills, with a street value of over $100,000. The FBI executed federal search warrants at McBride’s home and another location as part of this investigation and seized a handgun, pills, and over $17,000 in cash. On the date of the robbery, McBride was wearing a Michigan Department of Corrections GPS monitoring device as a condition of his parole for a prior offense. The GPS coordinates confirmed he was at the pharmacy at the approximate time of the robbery.
In addition to the robbery and gun charges, McBride, along with co-defendant Patrick Johnson, pleaded guilty to charges in connection with a previous narcotics trafficking incident that occurred near the Greyhound bus station in Detroit. McBride was in a vehicle driven by the Johnson and had unsuccessfully attempted to board a bus headed to Alabama with 330 oxycodone pills and a bag of fentanyl.
“This case illustrates my office’s commitment to partnering with local, state, and federal law enforcement agencies to combat violent crime and drug trafficking. The cooperation between the Hamtramck Police Department, Michigan Department of Corrections, the FBI, and our office resulted in violent offenders being taken off the streets,” U.S. Attorney Ison said.
“The impact of McBride’s crime on the community is much more consequential than the thousands of dollars of narcotics he stole,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “He terrorized customers and employees with a gun, making them feel unsafe in their own neighborhood. The FBI is committed to working with our partners from the Hamtramck Police Department to get violent criminals like this defendant off the streets.”
The investigation of the case was conducted by special agents and task force officers of the Federal Bureau of Investigation, officers with the Hamtramck Police Department, and the Michigan Department of Corrections. Assistant United States Attorneys Andrew Picek and Robert Moran prosecuted this case for the United States
Parkersburg Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – Tytus Lamaar Shields, 34, of Parkersburg, was sentenced today to four years and three months in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm.
According to court documents and statements made in court, Shields admitted to possessing a Ruger, model LC9, 9mm semi-automatic pistol in his Parkersburg residence on November 22, 2021.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Shields knew he was prohibited from possessing a firearm because of his multiple prior felony convictions, including for trafficking in drugs and engaging in a pattern of criminal activity in the Washington County (Ohio) Court of Common Pleas on October 29, 2014.
Shields has a long criminal history that now includes 16 misdemeanor convictions and 17 felony convictions, including several convictions for drug trafficking offenses in Ohio. Shields was under parole supervision as a result of previous felony convictions in Ohio at the time he possessed the firearm. Parole officers searched his residence and found the firearm while arresting Shields on an Ohio warrant on November 22, 2021.
Today’s sentence will run consecutively to a prison sentence that Shields is currently serving out of Washington County, Ohio.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Parkersburg Narcotics Task Force, the Parkersburg Police Department, the West Virginia Division of Corrections and Rehabilitation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Jeremy B. Wolfe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-268.
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Owner of Boston Pizzeria Chain Arrested on Forced Labor ChargesRead the Press Release
BOSTON – The owner of Stash’s Pizza was arrested this morning on forced labor charges for allegedly employing a victim who lacked immigration status and forcing him to work for years while threatening him with deportation and subjecting him to repeated verbal and physical abuse.
Stavros Papantoniadis, a/k/a “Steve Papantoniadis,” 47, of Westwood, was charged with one count of forced labor. Following an initial appearance in federal court in Boston this afternoon, Papantoniadis was detained pending a detention hearing set for March 20, 2023 at 11:30 a.m.
“Forced labor is a form of human trafficking. It is not a wage dispute. If someone is being compelled to work through the use of force, threats of force, or coercion, that is a federal crime. We allege that Mr. Papantoniadis compelled and threatened victims to work against their will using fear, violence and the threat of deportation,” said United States Attorney Rachael S. Rollins. “The allegations in this case are horrific. Nobody has the right to violently kick, slap, punch or choke anyone, and certainly not an employer to an employee. This case illustrates the manipulative, violent and abusive tactics some employers utilize for their own greed and financial gain. Labor trafficking is real and happening every day in Massachusetts and beyond. We are working hard to expose this disturbing crime and to hold those that abuse and traffic people accountable. We ask anyone with information about this or other alleged trafficking violations to contact our office.”
“Stavros Papantoniadis is alleged to have underpaid, threatened, and physically assaulted his employees, creating a climate of fear,” said Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England. “Homeland Security Investigations is committed to investigating labor trafficking and bringing to justice those who use force, fraud, or coercion to force people to work.”
“An important part of the mission of the U.S. Department of Labor, Office of Inspector General is to investigate allegations of labor trafficking involving the use of coercion or force. We will continue to work with our law enforcement partners to investigate these types of allegations,” said Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Northeast Region.
According to court documents, Papantoniadis is the owner and operator of Stash’s Pizza, a chain of pizzerias which has locations in Dorchester and Roslindale, and previously had pizzerias in Norwood, Norwell and Randolph (d/b/a Boston Pizza Company), Weymouth (d/b/a Pacini’s Italian Eatery) and Wareham, Mass. Over the course of several years, Papantoniadis allegedly targeted victims who lacked immigration status, employed them at depressed wages and demanded that they work, in most cases, six to seven days per week, at times for far more than eight hours per day and often without breaks or overtime compensation. Papantoniadis also allegedly withheld wages.
It is further alleged that Papantoniadis routinely threatened to have employees deported from the United States and used violence and threats to scare victims and ensure that they complied with his excessive workplace demands.
According to the charging documents, Victim 1 worked at Stash’s Pizza from 2001 to 2015. During his time there, it is alleged that Papantoniadis repeatedly made derogatory comments about Victim 1’s religion and violently attacked Victim 1 several times. On one occasion when Victim 1 missed a day of work, Papantoniadis allegedly responded by pushing him to the floor and calling him a “f*cking Muslim.” Another time, it is alleged that Papantoniadis kicked Victim 1 in the genital, causing Victim 1 to suffer severe pain. When Victim 1 sought medical treatment, Papantoniadis threatened to kill Victim 1 or report him to immigration authorities if he did not return to work. On another occasions, Papantoniadis allegedly slapped and choked Victim 1 and broke Victim 1’s teeth, causing Victim 1 to have teeth removed and causing him to wear dentures. According to court documents, as a result of the threats and violence, Victim 1 feared Papantoniadis and kept working for him at Stash’s Pizza.
Other former Stash’s Pizza employees disclosed additional information about Papantoniadis’ threats and violence. It is alleged that when one victim planned to quit, Papantoniadis told him that he was not going to leave and subsequently attacked the victim, forcing him to run to safety in the parking lot. When another victim intended to quit, Papantoniadis allegedly made a false police report, falsely stating that the victim had hit his car and left the scene of the accident after leaving Stash’s Pizza’s Norwood location. As a result, the victim was pulled over and cited by police.
The charge of forced labor provides for a sentence of up to 20 years in prison, up to 5 years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Members of the public who believe they be a victim of this case or have any relevant information related to this case please call 888-221-6023, Option 5 or send an email with contact information to [email protected].
U.S. Attorney Rollins, HSI SAC Millhollin and DOL-OIG SAC Mellone made the announcement today. Assistant U.S. Attorneys Timothy E. Moran, Chief of Rollins’ Organized Crime & Gang Unit, and Brian A. Fogerty of Rollins’ Civil Rights & Human Trafficking Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Out-of-State Men Charged in Federal Court with Trafficking Methamphetamine in Posey CountyRead the Press Release
EVANSVILLE- Jeremy Novak, 41, of Illinois and Cesar Herrera, 37, of California, have been charged in a federal criminal complaint with distribution of methamphetamine in Posey County following a months’ long investigation by multiple law enforcement agencies.
According to court documents, in February of 2023, the Posey County Drug Task Force and Drug Enforcement Administration initiated an investigation into Jeremy Novak and Cesar Herrera’s methamphetamine trafficking activities. Herrera served as the supplier, obtaining the methamphetamine from California, which Novak then distributed in and around Posey County.
On three separate occasions between February 27, 2023, and March 10, 2023, investigators observed Novak sell four pounds of crystal methamphetamine to another individual for a total of $19,000. The drug deals occurred in a parked vehicle at a Dollar General Store in Poseyville, Indiana.
On March 10, 2023, members of the DEA, Posey County Drug Task Force, Posey County Sheriff’s Office, Evansville Vanderburgh County Drug Task Force, and Indiana State Police took Novak and Herrera into custody. During a search of the vehicle Novak used for dealing, officers found $11,100 and three vacuum sealed bags containing a total of over three pounds of methamphetamine.
If convicted on all counts, both Novak and Herrera face up to life in prison. A federal district court judge will determine the actual sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The driver of the vehicle, Christina Alumbaugh, was also arrested and charged in Posey County Circuit Court with Dealing in Methamphetamine, a Level 2 Felony. Alumbaugh is being prosecuted by the Posey County Prosecutor’s Office and faces 10 to 30 years in state prison.
Zachary A. Myers, United States Attorney for the Southern District of Indiana, Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office, Tom Latham, Posey County Sheriff, Thomas E. Clowers, Prosecuting Attorney for the Posey County Prosecutor’s Office, Billy Bolin, Chief of Evansville Police Department, and Doug Carter, Indiana State Police Superintendent made the announcement.
The investigation is being led by the DEA, Posey County Drug Task Force, Posey County Sheriff’s Office, the Evansville Police Department, and the Indiana State Police.
U.S. Attorney Myers thanked Assistant U.S. Attorney Lauren M. Wheatley, who is prosecuting this case.
A criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Oklahoma City Bank Robbery Suspects Arrested in Nebraska and TexasRead the Press Release
OKLAHOMA CITY – DAVID JOHN-MATTHEW DAVIS, 38, PARIS KATHRYN MACE, 29, both of Omaha, Nebraska, and CHRISTIAN DELEON LANE, 36, of Dallas, Texas, have been arrested and charged with armed bank robbery, conspiracy to commit bank robbery, and aiding and abetting the robbery of a MidFirst Bank in Oklahoma City, announced United States Attorney Robert J. Troester.
According to court records, it is alleged that on the morning of February 23, 2023, Davis entered a MidFirst Bank located at 5800 North Western Avenue in Oklahoma City, brandished a black semi-automatic pistol, and jumped over the teller counter. It is further alleged that Davis then grabbed a teller, pointed the gun at the teller’s head, and ordered the teller to open the bank vault. Davis then exited the bank with an unspecified amount of money. It is further alleged that Mace served as a getaway driver for the robbery, and Lane assisted with arranging the robbery.
On February 27, 2023, law enforcement arrested Davis in Omaha, Nebraska. On February 28, 2023, Mace was arrested in Omaha and Lane was arrested in Dallas, Texas.
On March 2, 2023, Davis and Mace appeared for their initial appearances in federal court in Nebraska. Both were ordered detained pending further proceedings.
On March 10, 2023, Lane appeared for his initial appearance in the Western District of Oklahoma and was ordered to be detained pending further proceedings.
If found guilty of armed bank robbery and aiding and abetting, each defendant faces up to 25 years in prison, five years of supervised release, a fine of $250,000, and payment of mandatory restitution. If found guilty of conspiracy to commit bank robbery, each defendant faces up to five years in prison, three years of supervised release, a fine of $250,000, and payment of mandatory restitution.
This case is the result of an investigation by FBI’s Oklahoma City Field Office and the Oklahoma City Police Department’s Robbery Division, with assistance from the United States Attorney’s Offices, FBI Field Offices, and local law enforcement in Dallas, Texas, and Omaha, Nebraska. Assistant U.S. Attorneys Wilson McGarry and Dan Gridley are prosecuting the case.
The public is reminded that these charges announced today are merely allegations, and Davis, Lane, and Mace are presumed innocent unless and until proven guilty beyond a reasonable doubt. Reference is made to court filings for further information.
New Jersey Man Sentenced for Illegal Use of Credit CardRead the Press Release
United States Attorney Steven Russell announced that Kyle A. Halsey, 33, of Elizabeth, New Jersey, was sentenced on March 15, 2023, by the United States District Judge Brian C. Buescher to 24 months’ imprisonment for Illegal Transaction with an Access Device. After his release from prison, Halsey will begin a three-year term of supervised release. There is no parole in the federal system. Halsey was also ordered to pay restitution of $2,544.24.
In February 2022, Halsey used a credit card that belonged to another person to purchase a skid loader and bucket from a business in Nebraska and had the equipment delivered to New Jersey. The total for the transaction was $46,230.87, and Halsey paid with a credit card that did not belong to him. Police in New Jersey recovered the skid loader in March 2022, while Halsey was in the process of selling it to another person.
This case was investigated by the United States Secret Service, the Sarpy County Sheriff’s Office, and the Ho-Ho-Kus and Paramus Police Departments in New Jersey.
Nebraska Man Pleads Guilty to Illegal Possession of Firearm in IowaRead the Press Release
A man who illegally possessed a firearm pled guilty March 16, 2023, in federal court in Sioux City.
Damian Ortega Rojas, 19, from South Sioux City, Nebraska, was convicted of possession of a firearm by a drug user.
Evidence at the plea hearing showed that on July 22, 2022, law enforcement conducted a traffic stop of the vehicle Ortega Rojas was driving. Also present in the vehicle were Rojas’s three minor siblings. Ortega Rojas showed signs of driving impaired and as the officer approached the vehicle, he detected a strong odor of marijuana coming from the vehicle. Ortega Rojas provided law enforcement with a bag containing approximately ¼ to ½ pound of marijuana. The officer also located a backpack in the vehicle which contained a Glock .40 caliber handgun. Also located and seized in the vehicle were numerous spent .22 casings, multiple .40 rounds, baggies, grinder, tobacco pre-rolls, marijuana pipe, and storage container with marijuana residue. Ortega Rojas admitted to being a user of marijuana and a daily smoker of marijuana. Ortega Rojas further admitted that he stole the backpack containing the handgun from a vehicle in Sioux City.
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.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Ortega Rojas remains free on bond previously set pending sentencing. Ortega Rojas faces a possible maximum sentence of 15 years’ imprisonment, a $250,000 fine, and not more than three years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by Iowa Department of Natural Resources, Plymouth County Sheriff’s Office, and the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4064. Follow us on Twitter @USAO_NDIA.
Monroe County Man Sentenced to One Year in Prison for Distributing A Designer DrugRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that United States District Court Judge Robert D. Mariani sentenced Fausto Hernandez, age 44, of Tobyhanna, Monroe County, on March 15, 2023, to one year in prison for the charge of distributing a “designer drug” which is a controlled substance analog.
According to United States Attorney Gerard M. Karam, Hernandez previously pleaded guilty and admitted to distributing a “designer drug” known as “4-chloroethcathinone,” often referred to as “4-CEC,” a controlled substance analog which mimics the effects of other drugs such as cocaine and methamphetamine, in the Monroe County area in June and July 2019.
Under federal law, such “designer drugs” are controlled substance analogues, which are chemically similar to controlled substances in Schedule I or II, to the extent they are intended for human consumption, and are treated as controlled substances.
This matter was investigated by the Drug Enforcement Administration and the Pocono Mountain Regional Police Department. Assistant U.S. Attorney Robert J. O’Hara prosecuted the case.
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.
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Minnesota Man Sentenced to Three Years in Prison for Scheme to Commit Computer Intrusion and to Illegally Stream Content from Four Major Professional Sports LeaguesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that JOSHUA STREIT, a/k/a Josh Brody,” was sentenced today in Manhattan federal court by United States District Judge Andrew L. Carter for conducting intrusions into Major League Baseball (“MLB”) computer systems and illegally streaming copyrighted content from MLB, the National Basketball Association (the “NBA”), the National Football League (the “NFL”), and the National Hockey League (the “NHL”) on a website that STREIT operated, which offered the illegally streamed content to the public for profit.
U.S. Attorney Damian Williams said: “Joshua Streit intruded into MLB computer networks and illegally streamed sports content online from MLB, the NHL, the NBA, and the NFL for his own personal profit. Today’s sentence shows that this crime is no game. Those who compromise computer networks and steal copyrighted content will be held accountable.”
According to allegations in the Complaint, the Information, and statements made during court proceedings:
Beginning in or about 2017 to in or about August 2021, STREIT operated a website which streamed copyrighted content, primarily livestreamed games from major professional sports leagues, including MLB, the NBA, the NFL, and the NHL, which STREIT had no authorization to stream. STREIT obtained the copyrighted content by gaining unauthorized access to the websites for those sports leagues via misappropriated login credentials from legitimate users of those websites. One of the victim sports leagues sustained losses of approximately $3 million due to STREIT’s conduct.
In addition, at the same time STREIT was illicitly streaming copyrighted content from MLB, STREIT engaged in an attempt to extort approximately $150,000 from MLB via a threat from STREIT to publicize unrelated vulnerabilities in MLB’s internet infrastructure. Specifically, in multiple communications with MLB employees, STREIT claimed that he knew MLB reporters who were “interested in the story,” and stated that it would be bad if the vulnerability were exposed and MLB was embarrassed.
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In addition to the prison sentence, STREIT, 31, of St. Louis Park, Minnesota, was sentenced to three years of supervised release and ordered to pay $2,995,272.64 in restitution and $500,000 in forfeiture.
Mr. Williams praised the outstanding work of the Federal Bureau of Investigation. He also thanked MLB, the NBA, the NFL, and the NHL for their ongoing support and assistance with the case.
The case is being handled by the Office’s Complex Frauds and Cybercrime Unit, and Assistant U.S. Attorney Dina McLeod is in charge of the prosecution.
Mexican National Found Guilty of Conspiring to Distribute DrugsRead the Press Release
United States Attorney Steven Russell announced that after a three-day jury trial in Lincoln, Nebraska, before Senior United States District Court Judge John M. Gerrard, Servando V. Urias, 48, of Mexico, was found guilty of Conspiracy to Distribute Heroin and Cocaine.
The evidence presented at trial revealed that on August 28, 2019, a codefendant driving a Dodge pickup was stopped by the Lancaster County Sheriff’s Office after committing traffic infractions while driving on Interstate 80 in Lancaster County, Nebraska. Simultaneously, a black Jeep occupied by two other codefendants and Urias was stopped by another Lancaster County Deputy as the Jeep was believed to be travelling with the Dodge pickup.
During the course of the traffic stops, deputies became suspicious that parties in both vehicles were involved in criminal activity. Deputies received permission to search both vehicles and discovered three kilos of cocaine, and one kilo of heroin in the rear seat of the Dodge pickup. All were arrested after it was confirmed that the three individuals in the Jeep were in fact traveling with the Dodge containing the drugs. Testimony at trial indicated specifically the heroin belonged to Urias and he came along on the trip to sell it to the unnamed buyer.
The three codefendants had previously pled guilty to the Conspiracy charge and are pending sentencing. Urias’ sentencing has been set for June 9, 2023.
This case was the result of an investigation by the Lancaster County Sheriff’s Office and the Department of Homeland Security Investigations.
Mesa Man Sentenced to Nearly 15 Years for Assault on FBI Agent with a FirearmRead the Press Release
PHOENIX, Ariz. – Gabriel Manzo, 40, of Mesa, Arizona, was sentenced Monday by United States District Judge Steven P. Logan to 177 months in federal prison. Manzo pleaded guilty to Assault on a Federal Officer and Discharge of a Firearm During a Crime of Violence.
On April 20, 2020, Manzo drove his truck to the Federal Bureau of Investigation (FBI) office located in Phoenix, Arizona. He exited his vehicle, approached the north security fence, and fired three rounds from his .380 pistol at the building. He then returned to his truck and drove to the front of the office. He exited his vehicle and fired another 15 rounds, breaking 11 windows, and causing over $98,000 in damages. Manzo returned to his vehicle and started to drive away when he noticed an FBI agent, who was in his government issued vehicle, behind him. Manzo stopped, exited his truck in the middle of the street, and fired three rounds at the agent.
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.
The FBI conducted the investigation in this case, with assistance from the Phoenix Police Department. Assistant United States Attorney Keith Vercauteren, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-20-00540-SPL-PHX
RELEASE NUMBER: 2023-036_Manzo# # #
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.