Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
26 April 2023
Mexican Man Sentenced for Illegal ReentryRead the Press Release
BOSTON – A Mexican man was sentenced today in federal court in Boston for illegally reentering the United States after deportation.
Jesus Ivan Jimenez Joachin, 29, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 15 months in prison and one year of supervised release. Jimenez Joachin will be subject to removal proceedings upon completion of his sentence. In January 2023, Jimenez Joachin pleaded guilty to one count of unlawful reentry after deportation.
Jimenez Joachin was arrested in Plymouth County in 2016 for charges including larceny of a motor vehicle and assault and battery on a family/household member. While in custody, Jimenez Joachin was determined to be illegally present in the United States and was subsequently deported.
At some point after his 2016 removal, Jimenez Joachin illegally reentered the United States. In August 2019, he was arrested in Plymouth County for charges including breaking and entering, domestic abuse and identity fraud as well as earlier charges from 2016.
In April 2021, Jimenez Joachin was convicted and sentenced to 30 months in state prison. He was taken into federal custody upon completion of his sentence.
United States Attorney Rachael S. Rollins and Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations made the announcement today. Special Assistant U.S. Attorney James J. Nagelberg of Rollins’ Major Crimes Unit prosecuted the case.
Maple Grove Felon Sentenced to Prison for Illegal Possession of FirearmsRead the Press Release
MINNEAPOLIS – A Maple Grove man has been sentenced to 30 months in prison followed by two years of supervised release for illegal possession of firearms, announced United States Attorney Andrew M. Luger.
According to court documents, in January of 2022, the brothers were both charged in Hennepin County District Court for possession of machineguns after they brought to the funeral of a known gang member firearms that had each been modified with auto sears. An auto sear, also known as a switch, is a device used to convert a semi-automatic firearm into a fully automatic firearm and is considered a machinegun under federal law. In the spring of 2022, both Cortez and Quantez Ward pleaded guilty to their Hennepin County charges and were released on terms of probation.
On May 6, 2022, the brothers were pulled over by the Maple Grove police department. During that traffic stop, Cortez Ward was in possession of an unserialized Polymer 80 pistol with a large-capacity magazine loaded with 19 rounds of ammunition on his person. Quantez Ward had an AK-style gun in a backpack in the car. On July 19, 2022, law enforcement executed a federal arrest warrant at the Ward brothers’ residence. Inside, law enforcement found multiple firearms, including a 9mm Ruger rifle, a H&K MP5 rifle and a Polymer 80 pistol with a switch.
On November 21, 2022, Quantez Ward pleaded guilty to one count of possession of firearms as a felon related to several of the firearms recovered on July 19, 2022. He was sentenced yesterday before Chief Judge Patrick J. Schiltz. Cortez Ward will be sentenced at a later date.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Minneapolis Police Department, and the Maple Grove Police Department.
Assistant U.S. Attorney Lindsey E. Middlecamp prosecuted the case.
Man with homes in California and Arizona indicted for sex trafficking women in Seattle through force, fraud, and coercionRead the Press Release
Seattle – A California man was indicted today by a federal grand jury for four federal felonies related to his sex trafficking of adult female victims, announced U.S. Attorney Nick Brown. Winston Cornell Burt aka “Dice Capone,” 31 of Hemet, California, was arrested November 6, 2022, after he allegedly brutally assaulted a 20-year-old woman and engaged in a rolling gun battle as she fled in a van driven by a man who picked her up from the roadway. Burt is charged federally with Sex Trafficking through Force, Fraud, and Coercion; Transportation of an Adult Female for Prostitution through Coercion and Enticement; and two counts of Unlawful Possession of Firearms. Burt will be arraigned on the indictment within the next couple weeks.
“The level of violence in this case is stunning – brutal beatings of young women, threats with firearms, emotional and physical control of every aspect of the victims’ lives,” said U.S. Attorney Brown. “I commend the Seattle Police Department and King County Prosecuting Attorney’s Office for working quickly to get Mr. Burt in custody, thus ensuring the immediate safety of the victim and the community.”
According to records filed in the case, Burt self-identifies as a “pimp” who led a sex trafficking enterprise through California, Arizona, and Washington. The young women in the case were allegedly required to provide all the money they earned in prostitution to Burt. Three women had his name tattooed on their faces – an apparent sign of “ownership.”
On November 2, 2022, Burt assaulted the 20-year-old victim in this case by kicking her, punching her, and pistol whipping her after she indicated she wanted to stop working for Burt. The assault occurred at an Airbnb in south Seattle. Three days later, on November 5, 2022, Burt assaulted the victim again and forced her to strip to her underwear. The victim tried to escape from the rental home by jumping out a third story window. The defendant and two women working for him forced her into a car and drove towards a motel on north Aurora Avenue. Burt was armed with a gun, but the victim was able to get out of the car and ran into traffic on Aurora wearing only her underwear. Burt and his female assistants tried to force the victim back into their car, but the victim stayed in the middle of the roadway until finally picked up by an Uber driver who saw her in distress.
Even after the victim was driven away in a van, Burt gave chase on Aurora Avenue and fired shots at the van with the victim inside. The driver was eventually able to evade Burt and called the Washington State Patrol for assistance.
Ultimately law enforcement responded to the scene and got the victim to Harborview Medical Center for treatment.
Burt was arrested on November 6, 2022, as he was attempting to leave the Airbnb in south Seattle. He has been detained at the King County Jail since his arrest.
The indictment calls for the forfeiture of both firearms, more than $24,000 in cash, and jewelry worth in excess of $100,000.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
Sex trafficking by force, fraud or coercion is punishable by a mandatory minimum 15 years in prison and up to life in prison. Transportation of an adult female for prostitution through coercion and enticement is punishable by up to 15 years in prison and illegal possession of a firearm is punishable by ten years in prison.
The case is being investigated by the Seattle Police Department and the FBI with assistance from the Washington State Patrol (WSP).
Senior Deputy King County Prosecutor Ben Gauen worked closely with the Seattle Police Department and Assistant United States Attorney Kate Crisham on this case.
burt.indictment.filed_.pdfMan Found Guilty of Assaulting Federal OfficerRead the Press Release
TUCSON, Ariz. – Jorge Oliverio Moran-Can, 42, of Guatemala, was found guilty on Monday by a federal jury of one count of Assault on a Federal Officer – Bodily Injury and one count of Assault on a Federal Officer – Physical Contact. Sentencing is scheduled for July 6, 2023, before United States District Judge Scott H. Rash.
On July 3, 2022, a United States Border Patrol agent responded to a remote location near New Field, Arizona. The agent was tracking a group of suspected undocumented noncitizens in a remote mountainous area when the agent spotted three people hiding near a ledge. When the agent approached them, two of the suspected undocumented noncitizens fled on foot. Moran-Can stayed and initially remained compliant. However, when the agent reached out to handcuff him, Moran-Can rammed his shoulder into the agent’s torso causing them both to fall and tumble several yards down a rocky slope. Moran-Can continued to struggle, but the agent was able to gain control and handcuff him. The agent sustained abrasions and bruising on his left knee and hip and was treated at a hospital.
A conviction for Assault on a Federal Officer – Bodily Injury carries a maximum penalty of 20 years in prison, a maximum fine of $250,000, or both. A conviction for Assault on a Federal Officer – Physical Contact carries a maximum penalty of 8 years in prison, a maximum fine of $250,000, or both.
Customs and Border Protection’s U.S. Border Patrol conducted the investigation in this case. Assistant United States Attorneys Sarah B. Houston and Frances Kreamer-Hope, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-22-01661-SHR-LCK
RELEASE NUMBER: 2023-062_Moran-Can# # #
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.Man Convicted of 2006 Murder of Kelly DiazRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that EDWIN CORTORREAL, a/k/a “Crazy Ed,” was found guilty of all three counts at trial, including conspiracy to commit racketeering and two counts for robbing and murdering Kelly Diaz in 2006 in Washington Heights. The verdict followed a five-day trial before U.S. District Judge Valerie E. Caproni.
U.S. Attorney Damian Williams said: “In 2006, Edwin Cortorreal conducted a terrifying, gunpoint home invasion robbery in Washington Heights, during which he shot Kelly Diaz in the head, killing him in front of his wife. Kelly Diaz was only 24 years old at the time. We hope today’s verdict will bring some solace to the victim’s family and sends the message that we will not rest until justice is done.”
According to the evidence presented in court during the trial:
From at least 2006 to in or about 2013, a violent robbery crew known as the “Hot Boys” committed countless burglaries and robberies and sold narcotics in the Washington Heights area. EDWIN CORTORREAL was a trusted associate of the Hot Boys. In 2006, CORTORREAL and four other members and associates of the Hot Boys broke into Kelly Diaz’s apartment in the middle of the night. During the course of the robbery, CORTORREAL and his co-conspirators duct-taped Diaz to a chair and threw his wife to the ground. As they were leaving, CORTORREAL came back and shot Diaz point-blank in the head, killing him instantly as his wife looked on. Less than a year later, CORTORREAL planned to commit another armed robbery, during which he plotted to kill the victims to avoid leaving behind any witnesses.
* * *
CORTORREAL, 36, of the Dominican Republic, was found guilty of one count of conspiracy to commit racketeering, which carries a maximum term of life in person; one count of murder in aid of racketeering, which carries a mandatory sentence of life in prison; and one count of the use of a firearm resulting in death, which carries a maximum sentence of life in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of a defendant will be determined by the judge.
CORTORREAL is scheduled to be sentenced on September 20, 2023.
Mr. Williams thanked the New York Healthcare Fraud Unit of the Federal Bureau of Investigation, the New York City Police Department (“NYPD”), and NYPD Task Force Officers assigned to the United States Attorney’s Office for their work on the investigation.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Mathew Andrews, David Denton, Courtney Heavey, Adam Hobson, Emily Johnson, Ni Qian, Justin Rodriguez, and Hagan Scotten are in charge of the prosecution, with the assistance of paralegal specialist Mia Vuckovich.
Local President of “We Build the Wall” Sentenced to 51 Months in Federal PrisonRead the Press Release
PENSACOLA, FLORIDA – Brian G. Kolfage, 41, of Miramar Beach, Florida, was sentenced to 51 months in federal prison after previously pleading guilty to crimes charged in the Northern District of Florida relating to the filing of his 2019 federal income taxes, along with a guilty plea to conspiracy to commit wire fraud charges filed by the United States Attorney’s Office for the Southern District of New York for defrauding donors to “We Build the Wall.” The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“The United States relies on the honest payment of taxes to defend our country and maintain its operations,” stated U.S. Attorney Coody. “With the assistance of our dedicated law enforcement partners, we are committed to investigating and prosecuting those who falsely misrepresent their income – whether by traditional evasion or the filing of fraudulent documents to further their criminal schemes. This sentence should serve as a significant deterrent to such illegal conduct.”
Court documents reflect Kolfage pled guilty to three federal charges related to filing false income tax returns for the tax year 2019. With this plea, Kolfage admitted, under oath, that between January 2019 and July 2020, he engaged in a scheme to defraud the United States in relation to his 2019 federal income tax returns. Kolfage admitted illicitly receiving hundreds of thousands of dollars from multiple organizations during 2019, including We Build the Wall, Inc., which were deposited into his personal bank account. Kolfage failed to report this income to the Internal Revenue Service. Upon learning of an investigation into his federal income taxes, Kolfage then filed amended tax returns for 2019 that were also false. These amended tax returns continued to fraudulently fail to report income deriving directly and indirectly from We Build the Wall. Kolfage spent his unreported income on things such as personal boat payments, a luxury SUV, jewelry, and cosmetic surgery.
“Mr. Kolfage deliberately and egregiously side-stepped his legal duty to pay taxes when he devised an elaborate scheme to hide income from his non-profit organization, We Build the Wall,” said IRS-CI Special Agent in Charge Brian Payne. “Kolfage repeatedly falsely claimed he would not take a salary and preyed on the generosity of hundreds of thousands of donors through his vast online fundraising scam. Today’s sentencing should serve as evidence that this type of blatant disregard for the rules and obligations that govern non-profit fundraising will not be tolerated.”
Kolfage’s federal prison sentence will be followed by 3 years supervised release, and he will also be required to pay restitution, to the United States of America, in the amount of $143,003 for his tax crimes, along with millions of dollars’ worth of forfeiture and restitution for his scheme to defraud We Build the Wall donors.
"Mr. Kolfage deliberately and intentionally preyed on the hearts and pocketbooks of hardworking Americans as a way to fund his own lavish lifestyle," said Sherri E. Onks, Special Agent in Charge of FBI Jacksonville. "The FBI and our law enforcement partners will not tolerate this type of blatant fraud against unwitting donors, and this sentencing should serve as a warning to those who attempt to take advantage of others."
The Northern District of Florida case was investigated by the Internal Revenue Service – Criminal Investigation, the Federal Bureau of Investigation, and the Office of Agricultural Law Enforcement of the Florida Department of Agriculture and Consumer Services. The case was prosecuted by Assistant United States Attorney David L. Goldberg along with prosecutors in the Southern District of New York.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html
Leader of North Shore Chapter of Latin Kings Sentenced for Racketeering ConspiracyRead the Press Release
BOSTON – A former Inca, or first-in-command, of the North Shore Chapter of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced today on racketeering charges.
Israel Rodriguez, a/k/a “King Izzy,” a/k/a “King Imperial,” 41, of Lynn, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to time served (approximately four months in prison) and two years of supervised release. In February 2021, Rodriguez pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy.
Rodriguez admitted to his role in an August 2018 conspiracy to “terminate” a leader of the Fitchburg Chapter of the Latin Kings who was suspected of cooperating with law enforcement. On intercepted phone calls, Rodriguez discussed an elaborate ruse to trick this leader into attending a meeting where he would be ambushed and beaten by other Latin Kings members.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury in Boston returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. In total, 60 defendants in the case have pleaded guilty and have been sentenced or are awaiting sentencing, and two remain fugitives. Rodriguez is the 57th defendant to be sentenced.United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Paul Oliveira made the announcement. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard of Rollins’ Organized Crime & Gang Unit prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The two remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leader of Miami Crew Pleads Guilty to Defrauding Banks and Cryptocurrency Exchange of More Than $4 MillionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ESTEBAN CABRERA DA CORTE, a/k/a “Esteban Cabrera,” a/k/a “Esteban Da Corte,” a/k/a “Steban,” pled guilty today to participating in a scheme to steal millions of dollars’ worth of cryptocurrency and trick U.S. banks into refunding the millions used to purchase that cryptocurrency, in part by using personal identifying information stolen from other people.
U.S. Attorney Damian Williams said: “Esteban Cabrera Da Corte orchestrated a scheme to steal millions of dollars by buying cryptocurrency using false and stolen identities and then deceiving U.S. banks regarding those transactions. As a result of his guilty plea, Cabrera Da Corte is now being held to account. Our Office will continue to work vigorously with our law enforcement partners to protect the integrity of U.S. banks and financial markets to the full extent of the law from those who seek to enrich themselves through fraud and deceit, including those who attempt to shroud themselves in the anonymity of digital transactions.”
According to the Indictment and statements made in court:
From at least in or about 2020 through at least in or about March 2020, CABRERA DA CORTE and his co-conspirators engaged in a scheme to deceive U.S. banks and a leading cryptocurrency exchange platform (the “Cryptocurrency Exchange”) by purchasing more than $4 million in cryptocurrency and then falsely claiming that the cryptocurrency purchase transactions were unauthorized, deceiving the U.S. banks and the Cryptocurrency Exchange into reversing those transactions and redepositing the money into the bank accounts that the Defendants controlled. The Defendants then withdrew the money from the bank accounts.
To carry out this scheme, the Defendants opened accounts with the Cryptocurrency Exchange, frequently using photos of fake U.S. passports, fake drivers’ licenses, and stolen personal identifying information. The Cryptocurrency Exchange accounts were linked to bank accounts that the Defendants controlled. The Defendants used money that had been deposited into the linked bank accounts, frequently through a series of cash deposits made using ATMs, to purchase cryptocurrency. That cryptocurrency was then quickly transferred to other cryptocurrency wallets outside of the Cryptocurrency Exchange that were controlled by the Defendants and their co-conspirators. After the cryptocurrency was transferred, the Defendants made telephone calls to the U.S. banks during which they falsely represented that the cryptocurrency purchases were unauthorized, leading the banks to reverse the transactions.
The operation of this scheme by the Defendants resulted in U.S. banks processing more than $4 million in fraudulent reversals and the Cryptocurrency Exchange losing more than $3.5 million worth of cryptocurrency.
* * *
ESTEBAN CABRERA DA CORTE, 26, of Miami, Florida, pled guilty to one count of conspiracy to commit wire fraud, which carries a maximum term of 20 years in prison, and agreed to pay restitution of $3,578,786.69 and forfeiture of $1,200,000.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the outstanding work of Homeland Security Investigations’ El Dorado Task Force.
The matter is being handled by the Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Emily Deininger and Josiah Pertz are in charge of the prosecution.
Las Vegas Man Sentenced to Prison for Conspiracy to Sell Firearms and FentanylRead the Press Release
LAS VEGAS – A Las Vegas man charged in a conspiracy to sell firearms and machine guns without a Federal Firearms License, and a conspiracy to sell Fentanyl and Xanax was sentenced Monday by United States District Judge Jennifer A. Dorsey to 70 months in prison followed by four years of supervised release.
Nicolas Santos (22) pleaded guilty in September 2022 to one count of conspiracy to deal in firearms without a license, one count of conspiracy to distribute a controlled substance, and one count of illegal possession of a machine gun.
According to court documents, on September 1, 2021, Santos conspired with co-defendants Wilfred Santos and Martin Magallon to sell firearms and machine guns without a Federal Firearms License. He sold multiple firearms including semi-automatic firearms and shotguns; AR-style personally made firearms; a stolen rifle and shotgun; and Glock switches. Additionally, on four different dates between July and August of 2021, Santos conspired to sell Fentanyl and Alprazolam (Xanax). In June 2021, he possessed a Glock switch used to modify a semi-automatic firearm to fire as a machine gun. While detained in the Henderson Detention Center, Santos attempted to obstruct the investigation when he told his girlfriend to delete evidence related to the federal charges in this case.
United States Attorney Jason M. Frierson for the District of Nevada and Acting Special Agent in Charge Joshua Jackson for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) made the announcement.
This case was investigated by the ATF. Assistant United States Attorney Allison Reese is prosecuting the case.
If you have information about illegal firearms activity, submit a tip to ATF by calling the hotline at 1-800-ATF-GUNS (1-800-283-4867) or through the ReportIt mobile app.
###
Lake County Man Sentenced for Gun Crime and Unlawful Taking of a Bald Eagle Without a PermitRead the Press Release
Jackson, TN – Jason Perkins, 44, of Tiptonville, has been sentenced to 24 months in federal prison for possessing a firearm as a convicted felon, and the unlawful taking of a bald eagle. United States Attorney Kevin Ritz announced the sentence today.
According to United States Attorney Ritz and information presented in court, on March 21, 2021, United States Fish and Wildlife Service Agents and Tennessee Wildlife Resource Agency Officers received a report of a bald eagle carcass in Tiptonville, Tennessee. Through witness interviews and the execution of search warrants on Perkins’s home and his father’s home, officers determined that Perkins shot the bald eagle and that he was previously convicted of felony offenses. A 12-gauge shotgun and .357 handgun possessed by Perkins were recovered.
United States Attorney Ritz stated, “The bald eagle has been a symbol of our country since 1782. This defendant, a felon, shot and killed one of these great birds—violating federal law in the process. I appreciate the federal, state, and local partners who worked to bring him to justice.”
The United States Fish and Wildlife Service Office of Law Enforcement, Atlanta, GA Special Agent in Charge, Stephen Clark stated, “United States Fish and Wildlife Service, Office of Law Enforcement, is committed to working collaboratively with the Tennessee Wildlife Resources Agency, to conserve, protect, and enhance fish, wildlife, plants, and their habitats. The illegal taking of a bald eagle is a violation of numerous federal statutes and will be investigated and prosecuted to the fullest extent of the law. We will continue to work closely with our state partners to conduct these criminal investigations.”
United States District Judge J. Daniel Breen sentenced Perkins to 24 months in federal prison to be followed by three years of supervised release. There is no parole in the federal system.
This case was investigated by the United States Fish and Wildlife Service, Tennessee Wildlife Resource Agency, and the Lake County Sheriff’s Office.
United States Attorney Kevin Ritz thanked former Assistant United States Attorney Matt Wilson and Assistant United States Attorney Christie Hopper who prosecuted this case, as well as the law enforcement partners who investigated the case.
###
For more information, please contact Public Information Officer Cherri Green at (901) 544-4231 or [email protected]. Follow @ WDTNNews on Twitter for office news and updates.
Kentucky Man Sentenced to over 13 Years in Federal Prison After Coming to Indiana to Distribute over A Kilogram of Crystal MethamphetamineRead the Press Release
EVANSVILLE- Larry Beville, 61, of Louisville, Kentucky, has been sentenced to 160 months in federal prison after pleading guilty to possession with intent to distribute methamphetamine.
According to court documents, on August 24, 2022, as part of an ongoing investigation, members of the Evansville-Vanderburgh County Drug Task Force and the Drug Enforcement Administration stopped Larry Beville near the 8000 block of Eagle Crest Boulevard after observing a violation of traffic laws. Upon approaching the car, a detective saw drug paraphernalia and smelled burnt marijuana. Officers obtained a warrant to search the vehicle, and recovered marijuana, a glass, smoking pipe with apparent drug residue, and a plastic container that held a gallon-sized Ziploc bag full of over 1 kilogram of crystal methamphetamine.
When questioned by detectives, Beville initially stated that he did not know anything about the bag full of methamphetamine, but then changed his statement to acknowledge that there was a “kilo of methamphetamine” in the bag. Beville stated that he was delivering the methamphetamine to Evansville from Kentucky for distribution.
United States Attorney for the Southern District of Indiana, Zachary A. Myers, Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office, and Chief Billy Bolin of the Evansville Police Department made the announcement.
“The serious federal sentenced imposed today should be a warning to all who intend to traffic dangerous drugs into our communities—you are not welcome in the Southern District of Indiana,” said United States Attorney for the Southern District of Indiana, Zachary A. Myers. “I am grateful to our partners at the DEA and Evansville Police Department who continue to get deadly drugs and drug traffickers off our streets and out of our neighborhoods.”
Evansville Police Department and DEA investigated this case. The sentence was imposed by U.S. District Court Judge Richard L. Young. Judge Young also ordered that Beville be supervised by the U.S. Probation Office for 5 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorney Kristian Mukoski, who prosecuted this case.
###
Keene Man Indicted for Threatening to Kill a Member of CongressRead the Press Release
CONCORD – A federal grand jury has indicted Allan Poller, 23, for calling the office of a member of the United States House of Representatives and threatening to kill the Congressman, U.S. Attorney Jane E. Young announces.
The indictment includes one count of threatening to assault and murder a federal official, and one count of transmitting in interstate commerce a threat to injure the person of another. Poller will appear in federal court for arraignment at a later date.
According to the charging documents, on March 29, 2023 at approximately 12:20 a.m., Poller called the congressional office in Washington D.C. and left a voicemail, stating:
Hi, my name is Allan Poller, A-L-L-A-N P-O-L-L-E-R, phone number []8931. And I just want to let you know, Representative [Name], if you keep on coming for the gays, we’re gonna strike back and I guarantee you, you do not want to fuck with us. We will kill you if that’s what it takes. I will take a bullet to your fucking head if you fuck with my rights anymore. And then if you want to keep going down that path, you know who’s next.
Count one provides for a sentence of up to ten years in prison, and count two provides for a sentence of up to five years in prison. Each count also provides for up to three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The Federal Bureau of Investigation, Boston Division and the United States Capitol Police led the investigation. Valuable assistance was provided by the Keene, New Hampshire Police Department and the Springfield, Vermont Police Department. Assistant U.S. Attorney Jarad E. Hodes is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
###
Justice Department Challenges Tennessee Law that Bans Critical, Medically Necessary Care for Transgender YouthRead the Press Release
The Justice Department today filed a complaint challenging Tennessee Senate Bill 1 (SB 1), a recently enacted law that denies necessary medical care to youth based solely on who they are. The complaint alleges that SB 1’s ban on providing certain medically necessary care to transgender minors violates the Fourteenth Amendment’s Equal Protection Clause. The department is also asking the court to issue an immediate order to prevent the law from going into effect on July 1, 2023.
SB 1 makes it unlawful to provide or offer to provide certain types of medical care for transgender minors with diagnosed gender dysphoria. SB 1’s blanket ban prohibits potential treatment options that have been recommended by major medical associations for consideration in limited circumstances in accordance with established and comprehensive guidelines and standards of care. By denying only transgender youth access to these forms of medically necessary care while allowing non-transgender minors access to the same or similar procedures, SB 1 discriminates against transgender youth. The department’s complaint alleges that SB 1 violates the Equal Protection Clause by discriminating on the basis of both sex and transgender status. Doctors, parents and anyone else who provides or offers to provide the prohibited care faces the possibility of civil suits for 30 years and other sanctions.
“No person should be denied access to necessary medical care just because of their transgender status,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The right to consider your health and medically-approved treatment options with your family and doctors is a right that everyone should have, including transgender children, who are especially vulnerable to serious risks of depression, anxiety and suicide. The Civil Rights Division of the Justice Department will continue to aggressively challenge all forms of discrimination and unlawful barriers faced by the LGBTQI+ community.”
“SB1 violates the constitutional rights of some of Tennessee’s most vulnerable citizens,” said U.S. Attorney Henry Leventis for the Middle District of Tennessee. “Left unchallenged, it would prohibit transgender children from receiving health care that their medical providers and their parents have determined to be medically necessary. In doing so, the law seeks to substitute the judgment of trained medical professionals and parents with that of elected officials and codifies discrimination against children who already face far too many obstacles.”
Today’s filings are the latest action by the Justice Department to combat LGBTQI+ discrimination, including unlawful restrictions on medical care for transgender youth. On March 31, 2022, Assistant Attorney General Clarke issued a letter to all state attorneys general reminding them of federal constitutional and statutory provisions that protect transgender youth against discrimination. On April 29, 2022, the Justice Department intervened in a lawsuit challenging a law in Alabama (Senate Bill 184) that imposes a felony ban on medically necessary care for transgender minors. As a result of that litigation, the most significant provisions of Alabama’s Senate Bill 184 have been preliminarily halted from going into effect, and the United States continues to challenge its constitutionality.
Additional information about the Civil Rights Division’s work to uphold and protect the civil and constitutional rights of LGBTQI+ individuals is available on its website at www.justice.gov/crt/lgbtqi-working-group. Complaints about discriminatory practices may be reported to the Civil Rights Division through its internet reporting portal at civilrights.justice.gov.
Jury Convicts Three Men of Trafficking Kilograms of Cocaine to SchenectadyRead the Press Release
ALBANY, NEW YORK – A jury voted today to convict three men of trafficking kilograms of cocaine to Schenectady, New York, in March and April 2021.
Jeffrey C. Civitello, Sr., age 51, of Schenectady, his son Jeffrey C. Civitello Jr., age 23, of Schenectady, and Richard D. Sinde, age 58, of Fort Lee, New Jersey, were convicted on all counts following an 8-day trial.
United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.
The trial evidence demonstrated a conspiracy between five men: the three defendants on trial, as well as Christopher J. Kelly, age 56, of Brooklyn, New York, and Robert J. Ingrao, age 76, of Lodi, New Jersey.
As part of the conspiracy, Kelly delivered 3 kilograms of cocaine to Civitello Sr. in Schenectady on March 29, and Kelly and Sinde delivered an additional 3 kilograms of cocaine to Civitello Sr. on March 31.
Also on March 31, the Civitellos ordered more cocaine and suggested that Kelly and Sinde use, as a transportation vehicle, a 2018 Jeep Grand Cherokee owned by Civitello Jr., which contained, in its trunk, a sophisticated, hidden compartment, also known as a “trap.” Unbeknownst to the conspirators, the DEA had placed a court-authorized tracker on the Jeep several months prior, as part of an investigation of Civitello Jr.
On March 31, Sinde then drove the Jeep from Schenectady to his residence in Fort Lee, and the following evening met Kelly in Breezy Point, New York, on the Rockaway Peninsula, where Kelly and Sinde loaded up the Jeep’s hidden compartment with 9 kilograms of cocaine to be delivered the following day to the Civitellos in Schenectady. Sinde then drove the Jeep home to Fort Lee.
The following day, on April 2, 2021, Ingrao went to Sinde’s house and got into the Jeep, and drove it north on Interstate 87 toward Schenectady. A New York State Police Trooper, at the DEA’s request, conducted a stop on Ingrao in Greene County. The Trooper then located 9 kilograms of cocaine in the Jeep’s hidden compartment.
The jury voted to convict all defendants of conspiracy to distribute and possess with intent to distribute a controlled substance, as well as possession with intent to distribute a controlled substance for the 3 kilograms of cocaine delivered on March 31. The jury also voted to convict Sinde of possession with intent to distribute a controlled substance, and the Civitellos of attempted possession with intent to distribute a controlled substance, for the 9 kilograms of cocaine they tried to transport to Schenectady on April 2.
Following the jury’s verdict, Sinde and Civitello Sr. were remanded to custody. Civitello Jr. has been in custody since October 21, 2021, when he was arrested by the DEA in Schenectady on unrelated charges of possessing firearms in furtherance of a drug trafficking crime, and possessing and intending to distribute marijuana. Those charges are merely accusations, and as to those charges, Civitello Jr. is presumed innocent unless and until proven guilty.
United States District Judge Mae A. D’Agostino will sentence the Civitellos on September 6, and will sentence Sinde on September 8. Each man faces at least 10 years and up to life in prison, as well as at least 5 years of post-imprisonment supervised release. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Ingrao’s sentencing and Kelly’s sentencing are also pending.
This case was investigated by the DEA’s Capital District Drug Enforcement Task Force, which includes DEA Special Agents and investigators from state and local police agencies, including the Saratoga Springs Police Department, the Saratoga County Sheriff’s Office, the Washington County Sheriff’s Office, the Columbia County Sheriff’s Office, and the New York State Police. Assistant U.S. Attorneys Michael Barnett and Dustin C. Segovia are prosecuting this case.
Jeffersonville Man Sentenced to Eighteen Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
NEW ALBANY- Shawndrae Pratt, 34, of Jeffersonville, Indiana, was sentenced to 18 years in federal prison after pleading guilty to distribution of methamphetamine.
According to court documents, on January 31, 2019, Pratt met another individual in Jeffersonville and sold them 11.5 grams of pure methamphetamine. On March 12, 2019, Pratt met the same buyer at a location in Clark County, Indiana, to sell them more methamphetamine. Pratt told the buyer he did not have his drug scales and needed to go get them. Pratt drove the buyer to Pratt’s apartment complex in Louisville, Kentucky, where he obtained his drug scales. Pratt returned from his apartment, weighed the drugs, and sold the buyer an additional 66.4 grams of pure methamphetamine. As part of the investigation, law enforcement officers seized methamphetamine, U.S. currency, and a 9mm handgun.
United States Attorney for the Southern District of Indiana, Zachary A. Myers, Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office, Kenny Kavanaugh, Chief of Jeffersonville Police Department, Clark County Sheriff Scott A. Maples Jr., and Mark Palmer, Chief of Clarksville Police Department made the announcement.
“Armed methamphetamine traffickers seek ill-gotten profits with utter disregard for the harm they do to our families, friends, and neighbors,” said U.S. Attorney Myers. “The serious federal prison sentence imposed here demonstrates that federal, state, and local law enforcement agencies will work together to hold criminals accountable for pushing deadly drugs in our communities.”
The FBI, Clarksville Police Department, Jeffersonville Police Department, and Clark County Sheriff’s Office investigated this case. The sentence was imposed by U.S. District Court Judge Sarah Evans Barker. Judge Barker also ordered that Pratt be supervised by the U.S. Probation Office for 7 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorneys Pamela S. Domash and William L. McCoskey, who prosecuted this case.
###
Jackson Woman Pleads Guilty to Conspiracy to Commit Bank FraudRead the Press Release
Jackson, Miss. – A Jackson woman pled guilty to conspiracy to commit bank fraud, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge David Denton of Homeland Security Investigations in New Orleans.
According to court documents, Valerie Austin, 37, conspired with two other individuals to obtain bank loans through fraudulent means. Austin used false names and social security numbers that did not belong to her to obtain bank loans.
Austin is scheduled to be sentenced on July 25, 2023 and faces a maximum penalty of 30 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Homeland Security Investigations and the Madison Police Department and are investigating the case.
Assistant U.S. Attorney Charles W. Kirkham is prosecuting the case.
Jackson Man Pleads Guilty to Being a Convicted Felon in Possession of a FirearmRead the Press Release
Jackson, Miss. – A Jackson man pleaded guilty to being a convicted felon in possession of a firearm, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation.
According to court documents, Nigel Payton, 40, was found in possession of a firearm by a Jackson Police officer on September 28, 2021. Payton has a prior felony conviction for manslaughter in Hinds County and is prohibited from possessing a firearm. On February 23, 2022, a federal grand jury indicted Payton for possession of a firearm as a convicted felon.
Payton will be sentenced on August 2, 2023 and faces a maximum penalty of ten years in prison and a $250,000 fine. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case was investigated by the FBI and the Jackson Police Department. It is being prosecuted by Assistant United States Attorney Jessica S. Terrill.
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.
Illinois Man Sentenced to over 8 Years in Federal Prison for Bank RobberyRead the Press Release
Paducah, KY – A Metropolis, Illinois man was sentenced today to 8 years and 4 months in federal prison followed by a 3-year term of supervised release for robbing a bank in Lone Oak, Kentucky. There is no parole in the federal system.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office, and Sheriff Ryan Norman of the McCracken County Sheriff’s Office made the announcement.
According to court documents, on May 10, 2021, Reginald R. Thomas, 67, entered the FNB bank branch in Lone Oak wearing gloves and a mask. He was carrying a large shovel and demanded money from a teller. Thomas stole $11,650 and fled to Illinois where he was subsequently arrested. No one was injured during the robbery.
The case was investigated by the FBI Paducah Satellite Office and the McCracken County Sheriff’s Office with assistance from the Metropolis Police Department.
Assistant U.S. Attorney Raymond McGee, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
###
Homer Man Indicted for Illegal Transportation of Black Bears and Making False Records, Lacey Act ViolationsRead the Press Release
Anchorage – A federal grand jury in Alaska returned an indictment on April 21, 2023, charging a Homer man with unlawful transportation of four black bears and making false records in violation of the Lacey Act.
According to court documents, Travis Larson, 47, of Homer, and his company Alaska Premier Sportfishing, LLC, were named as defendants in the six-count indictment. The indictment alleges that in May 2018, Larson and Alaska Premier Sportfishing illegally transported four black bears they knew had been unlawfully harvested by four Norwegian hunters. The defendants used a 65-foot vessel, the Venturess, and a 16-foot motorboat to commit these offenses. The indictment further charges that Larson and Alaska Premier Sportfishing made and submitted false records, which stated the four bears had been transported from Nuka Island, when in truth they had been transported from Beauty Bay and Surprise Bay on the Kenai Peninsula.
Larson is charged with four counts of Unlawful Transportation of Wildlife, in violation of 16 U.S.C. § 3372(a)(2)(A); and two counts of Making False Record, in violation of 16 U.S.C. § 3372(d). If convicted, he faces a maximum of five years in prison and a $20,000 fine on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. The defendants are scheduled for their initial court appearance May 11, 2023, before U.S. Magistrate Judge Matthew M. Scoble of the U.S. District Court for the District of Alaska.
U.S. Attorney S. Lane Tucker of the District of Alaska made the announcement.
The United States Fish Wildlife Service, National Park Service, National Oceanic and Atmospheric Administration, Alaska State Troopers are investigating the case.
Assistant U.S. Attorney Seth Brickey is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
usao/ak/23-032
Grand Jury Returns IndictmentsRead the Press Release
MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Rockford Man Charged with Drug Crimes
Vincent Phillips, 41, Rockford, Illinois, is charged in an eight-count indictment with drug crimes involving methamphetamine, fentanyl, and cocaine. The indictment alleges that on February 18, 2023, he possessed 50 grams or more of methamphetamine, fentanyl, and cocaine with intent to distribute. The indictment alleges that on three occasions between April 4 and April 20, 2023, he distributed methamphetamine. The indictment further alleges that two of the distributions involved 50 grams or more of the drug. The indictment also alleges that on April 20, 2023, Phillips possessed cocaine with intent to distribute, and that he possessed 50 grams or more of methamphetamine with intent to distribute.
If convicted, Phillips faces a mandatory minimum penalty of five years and a maximum of 40 years in prison on the four charges that allege the distribution or possession for distribution of 50 grams or more of methamphetamine. The other four charges each carry a maximum penalty of 20 years in prison.
Phillips was arrested on April 20 and is being held at the Sauk County Jail. The charges against him are the result of an investigation by the Columbia County Sheriff’s Office and the Wisconsin Department of Justice Division of Criminal Investigation. Assistant U.S. Attorney Kathryn Ginsberg is handling the prosecution.
Two Mexican Nationals Charged with Illegally Reentering U.S.
In unrelated cases, two citizens of Mexico are charged with illegally reentering the United States. Marcos Xelhua-Ponce, 30, is charged with illegally reentering the United States after having been deported. The indictment alleges that he was found in the Western District of Wisconsin on February 15, 2023. He was found in Dane County.
The second indictment charges Noe Mendoza-Caballero, 39, with reentering the United States after being removed. The indictment alleges that Mendoza-Caballero was found in the Western District of Wisconsin on March 27, 2023. He was found in Monroe County.
If convicted, Xelhua-Ponce faces a maximum penalty of two years in prison, and Mendoza-Caballero faces a maximum penalty of 20 years in prison. Immigration offenses may carry different maximum penalties based on the totality of circumstances in each case. The charges against them are the result of investigations by U.S. Immigration and Customs Enforcement, with the participation of the U.S. Marshals Service in the investigation of Xelhua-Ponce. Assistant U.S. Attorney Kathryn Ginsberg is handling the prosecution of Xelhua-Ponce and Assistant. U.S. Attorney Steven Anderson is handling the prosecution of Mendoza-Caballero.
Fort Bragg Soldier with Apparent Plot to Remove Racial Minorities from Eastern North Carolina Pleads Guilty to Possessing an Illegal Short Barrel RifleRead the Press Release
WILMINGTON, N.C. – A Fort Bragg soldier, Noah Edwin Anthony, 23, who had evidence of a preliminary self-titled “operation,” found on his electronic devices, with the goal “to physically remove as many of [black and brown people] from Hoke, Cumberland, Robeson and Scotland Counties by whatever means need be,” pleaded guilty yesterday to possessing an unregistered short-barrel rifle. Anthony faces up to ten years in prison when sentenced later this year.
According to court documents and information provided in court, Anthony attempted to enter Fort Bragg on March 3, 2022, as gate officers were conducting random vehicle inspections. The gate officer asked Anthony to step out of the vehicle and immediately located a loaded handgun in the center console. This handgun was later identified as a “Glock Like” 9mm privately made handgun, commonly called a Ghost Gun, with no serial number. Anthony was asked if the handgun was registered, and Anthony answered he didn’t have any paperwork for it. Military Police arrived and located two extended magazines, ammunition, as well as an American flag with a Swastika, instead of blue field and stars, and other Nazi type patches.
Further search of Anthony’s room on Fort Bragg resulted in disclosure of a 3D printed, FGC-9 rifle with no serial number, a lower receiver, magazines for various firearms, white supremacist literature, t-shirts and patches, as well as several electronic devices.
The FGC-9 firearm was submitted to the ATF Firearms Laboratory who confirmed that it was a short barrel rifle less than 16 inches in violation of the National Firearms Act (NFA). Additionally, the FGC-9 lacked manufacturer’s marks of identification or serial number and thus had not been registered as required under the NFA. Anthony pleaded guilty to possessing a firearm not registered in the National Firearms Registration and Transfer Record.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the plea. The Federal Bureau of Investigation (FBI), Army Criminal Investigation Division (CID), and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) are investigating the case and Assistant U.S. Attorney Gabriel J. Diaz is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-217-M.
###
Former Pediatrician Pleads Guilty to Possessing Child PornographyRead the Press Release
LOS ANGELES – A former pediatrician pleaded guilty today to possessing child sexual abuse material (CSAM) on dozens of DVDs and to possessing hundreds of such images on his personal computing devices.
Gary David Goulin, 62, of the Beverly Grove neighborhood of Los Angeles, pleaded guilty to one count of possession of child pornography.
According to his plea agreement, Goulin in November 2021 knowingly possessed four DVDs that contained sexually explicit material involving minors who were under the age of 12 years old. Goulin further admitted in his plea agreement to knowingly possessing an additional 57 DVDs that contained CSAM. The average run time on these DVDs was three hours and 21 minutes.
Goulin admitted that in August 2021 he used his cellphone to knowingly receive a video of CSAM. In total, Goulin possessed more than 600 images that he knew constituted child pornography, some of which showed children engaging in sadistic or masochistic conduct.
As part of his plea agreement, Goulin has agreed to register as a sex offender.
United States District Judge Maame Ewusi-Mensah Frimpong scheduled an October 13 sentencing hearing, at which time Goulin will face a statutory maximum sentence of 20 years in federal prison.
Goulin was charged in Los Angeles Superior Court with possession of child pornography and sexual exploitation of a child. That case was dismissed considering the federal charges against Goulin, which a grand jury brought via indictment in October 2022.
In November 2021, the Medical Board of California prohibited Goulin from practicing medicine.
The FBI and the Los Angeles Police Department investigated this matter.
Assistant United States Attorney Sarah S. Lee of the General Crimes Section is prosecuting this case.
Former Mayfield Resident Sentenced to 15 Years in Federal Prison for Methamphetamine DistributionRead the Press Release
Paducah, KY – A Louisville man, formerly of Mayfield, Kentucky, was sentenced yesterday to 15 years in prison followed by a 5-year term of supervised release for distributing more than 50 grams of methamphetamine. There is no parole in the federal system.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division and Sheriff Ryan Norman of the McCracken County Sheriff’s Office, made the announcement.
According to court documents, Kristopher G. Johnson, 45, distributed approximately 1 pound of methamphetamine in McCracken County on June 18, 2021.
The case was investigated by the DEA Paducah Post of Duty Office and the McCracken County Sheriff’s Office, with assistance from the Graves County Sheriff’s Office and the Marshall County Sheriff’s Office.
Assistant U.S. Attorney Seth Hancock, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
###
Former Jackson Police Department Officer Indicted for Selling a Firearm to a Convicted FelonRead the Press Release
Jackson, Miss. – A federal grand jury in Jackson returned an indictment charging a former Jackson Police Department officer with selling a firearm to a convicted felon, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation.
According to court documents, Torrence Donnell Mayfield, 51, of Jackson, is charged with having sold a firearm to a person he knew to be a convicted felon. It is against federal law to sell a firearm to a known convicted felon.
Mayfield made his initial court appearance today before U.S. Magistrate Judge F. Keith Ball who scheduled the case for trial on May 30, 2023 in U.S. District Court in Jackson. If convicted, Mayfield faces a maximum penalty of 10 years in prison.
The FBI is investigating the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Harvard University Professor Sentenced for Lying About His Affiliation with Wuhan University of Technology; China’s Thousand Talents Program; and Filing False Tax ReturnsRead the Press Release
BOSTON – The former Chair of Harvard University’s Chemistry and Chemical Biology Department was sentenced today in federal court in Boston for lying to federal authorities about his affiliation with People’s Republic of China’s Thousand Talents Program and the Wuhan University of Technology (WUT) in Wuhan, China, as well as failing to report income he received from WUT.
Dr. Charles Lieber, 64, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to time served (two days) in prison; two years of supervised release with six months of home confinement; a fine of $50,000; and $33,600 in restitution to the IRS. The government recommended a sentence of 90 days in prison and a $150,000 fine.In December 2021, Lieber was convicted by a federal jury of two counts of making false statements to federal authorities, two counts of making and subscribing a false income tax return, and two counts of failing to file reports of foreign bank and financial accounts (FBAR) with the Internal Revenue Service (IRS).
Lieber served as the Principal Investigator of the Lieber Research Group at Harvard University, which between 2008 and 2019 conducted more than $15 million in research sponsored by various U.S. Government agencies, including the U.S. Department of Defense (“DOD”) and the National Institutes of Health (“NIH”). Unbeknownst to his employer, Harvard University, Lieber became a “Strategic Scientist” at WUT and, later, a contractual participant in China’s Thousand Talents Plan from at least 2012 through 2015. China’s Thousand Talents Plan was one of the most prominent Chinese talent recruitment plans designed to attract, recruit and cultivate high-level scientific talent in furtherance of China’s scientific development, economic prosperity and national security.
In April 2018, during an interview with federal agents from DOD (one of the agencies that sponsored a portion of Lieber’s research), among other things, Lieber falsely stated that he had never been asked to participate in the Thousand Talents Plan. Later, in January 2019, Lieber caused Harvard to falsely tell the NIH (another sponsor of Lieber’s research) that Lieber was not, and had never been, a participant in the Thousand Talents Plan. Lieber knew these statements were false because he had signed a Thousand Talents contract with WUT in 2012, performed many of the duties and responsibilities required of him under that contract, and been paid a substantial salary by WUT in exchange for his work. Specifically, the terms of Lieber’s three-year Thousand Talents contract with WUT entitled Lieber to a salary of up to $50,000 per month, living expenses of up to $150,000 and approximately n $1.5 million to conduct joint research at WUT.
In tax years 2013 and 2014, Lieber earned income from WUT in the form of salary and other payments made to him pursuant to his Thousand Talents contract, which he did not disclose to the IRS on his federal income tax returns. Together with WUT officials, Lieber also opened a bank account at a Chinese bank during a trip to Wuhan in 2012. Thereafter, between at least 2012 and 2015, WUT periodically deposited portions of Lieber’s salary into that account. U.S. taxpayers are required to report the existence of any foreign bank account that holds more than $10,000 at any time during a given year by the filing an FBAR with the IRS. According to Lieber, the balance of his Chinese bank account was approximately $200,000 in 2014 and 2015. Nonetheless, Lieber purposely failed to file FBARs for those years.United States Attorney Rachael S. Rollins; Matthew Olsen, Assistant Attorney General for National Security; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Patrick J. Hegarty, Special Agent in Charge of the Defense Criminal Investigative Service, Northeast Field Office; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation Division for the Boston Field Office; Michael Wiest, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS), Northeast Field Office; and Philip M. Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General made the announcement today. Assistant U.S. Attorney Jason A. Casey of Rollins’ National Security Unit and Assistant U.S. Attorney James R. Drabick of Rollins’ Securities, Financial & Cyber Fraud Unit prosecuted the case.
Former Arkansas State Senator Sentenced for Role in Bribery SchemeRead the Press Release
A former Arkansas state senator was sentenced yesterday to four years and two months in prison in the Western District of Missouri for accepting multiple bribes in connection with a multi-district investigation spanning the Eastern and Western Districts of Arkansas and the Western District of Missouri.
Pursuant to his global plea agreement, Jeremy Hutchinson, 48, of Little Rock, pleaded guilty on June 25, 2019, in the Eastern District of Arkansas to filing a false tax return; pleaded guilty on June 25, 2019, to an information filed in the Western District of Arkansas to conspiracy to commit federal program bribery; and pleaded guilty in the Western District of Missouri on July 8, 2019, to conspiracy to commit federal program bribery. On Feb. 3, Hutchison was sentenced to three years and 10 months in prison for his convictions in the Eastern District of Arkansas and Western District of Arkansas. His sentence in the Western District of Missouri will run consecutive to the previous sentence for a total of eight years in prison.
According to court documents in connection with his plea in the Western District of Missouri, Hutchinson was hired by then-chief operating officer Bontiea Goss as outside counsel for Preferred Family Healthcare Inc. (formerly known as Alternative Opportunities Inc.), a Springfield, Missouri-based healthcare charity. In exchange for payments and legal work, Hutchinson performed official acts on behalf of Preferred Family Healthcare, including holding up agency budgets and drafting and voting on legislation. Preferred Family Healthcare paid Hutchinson more than $350,000 in monthly retainer payments from May 2014 until 2017.
In 2022, Preferred Family Healthcare agreed to pay more than $8 million in forfeiture and restitution to the federal government and the state of Arkansas under the terms of a non-prosecution agreement, in which the company admitted to the criminal conduct of its former officers and employees.
Several former executives from the charity, former members of the Arkansas state legislature, and others have pleaded guilty in federal court as part of the long-running, multi-jurisdiction investigation, including the following:
- Former Chief Operating Officer Bontiea Goss, previously of Springfield, Missouri, pleaded guilty in September 2022 to her role in a conspiracy to commit bribery concerning programs receiving federal funds.
- Former Chief Financial Officer Tommy “Tom” Ray Goss, husband of Bontiea Goss, and also previously of Springfield, Missouri, pleaded guilty in September 2022 to participating in the conspiracy by embezzling funds from the charity, as well as by paying bribes and kickbacks to elected public officials in Arkansas. Tom Goss also pleaded guilty to one count of aiding and assisting in the preparation and presentation of a false tax return.
- Former Chief Executive Officer Marilyn Luann Nolan of Springfield, Missouri, pleaded guilty in November 2018 to her role in a conspiracy to embezzle and misapply the funds of a charitable organization that received federal funds.
- Former Director of Operations and Executive Vice President Robin Raveendran of Little Rock, Arkansas, pleaded guilty in June 2019 to conspiracy to commit bribery concerning programs receiving federal funds.
- Former executive and head of clinical operations Keith Fraser Noble of Rogersville, Missouri, pleaded guilty in September 2019 to concealment of a known felony.
- Former employee and head of operations and lobbying in Arkansas Milton Russell Cranford, aka Rusty, of Rogers, Arkansas, was sentenced to seven years in federal prison after pleading guilty to one count of federal program bribery.
- Political consultant Donald Andrew Jones, aka D.A. Jones, of Willingboro, New Jersey, pleaded guilty in December 2017 to his role in a conspiracy to steal from an organization that receives federal funds.
- Former Arkansas State Representative Eddie Wayne Cooper of Melbourne, Arkansas, pleaded guilty in February 2018 to conspiracy to embezzle more than $4 million from Preferred Family Healthcare.
- Former Arkansas State Senator and State Representative Henry “Hank” Wilkins IV was sentenced in January 2023 for his role in a conspiracy to commit federal program bribery and devising a scheme and artifice to defraud and deprive the citizens of the state of Arkansas of their right to honest services.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Jonathan D. Ross for the Eastern District of Arkansas, U.S. Attorney David Clay Fowlkes for the Western District of Arkansas, U.S. Attorney Teresa A. Moore for the Western District of Missouri, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, Special Agent in Charge Charles Dayoub of the FBI Kansas City Field Office, Special Agent in Charge James A. Dawson of the FBI Little Rock Field Office, and Acting Special Agent in Charge Thomas F. Murdock of the IRS Criminal Investigation (IRS-CI) St. Louis Field Office made the announcement.
The FBI, IRS-CI, the Offices of the Inspectors General from the Departments of Justice, Labor, and the Federal Deposit Insurance Corporation investigated the cases.
Senior Litigation Counsel Marco A. Palmieri, Director of Enforcement & Litigation for the Election Crimes Branch Sean F. Mulryne, and Trial Attorney Jacob Steiner of the Criminal Division’s Public Integrity Section; Assistant U.S. Attorney Stephanie Mazzanti for the Eastern District of Arkansas; Supervisory Assistant U.S. Attorney Randall Eggert and Assistant U.S. Attorney Shannon T. Kempf for the Western District of Missouri; and Assistant U.S. Attorneys Aaron L. Jennen and Steven M. Mohlhenrich for the Western District of Arkansas are prosecuting the separate criminal cases. Former Assistant U.S. Attorney Patrick Harris for the Eastern District of Arkansas and former Assistant U.S. Attorney Ben Wulff for the Western District of Arkansas provided significant assistance.
Former Apple Employee Sentenced to Prison for Conspiracy to Defraud Apple and Tax CrimesRead the Press Release
SAN JOSE – Dhirendra Prasad was sentenced to serve three years in prison and ordered to pay $19,270,683 in restitution for conspiring to defraud Apple, Inc., of millions of dollars and for related tax crimes, announced United States Attorney Ismail J. Ramsey and Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian. The sentence was handed down by the Hon. Beth L. Freeman, United States District Judge.
Prasad, 55, from Mountain House in San Joaquin County, was previously charged by Information with one count of conspiracy to commit mail fraud and wire fraud, in violation of 18 U.S.C. § 1349 (Count One); two counts of conspiracy to commit money laundering, in violation of 18 U.S.C. § 1956(h) (Counts Two and Three); one count of conspiracy to defraud the United States, in violation of 18 U.S.C. § 371 (Count Four); and one count of tax evasion, in violation of 26 U.S.C. § 7201 (Count Five). Prasad pleaded guilty to the first and fourth count on November 2, 2022. The remaining counts were dismissed at sentencing.
The criminal conduct in this case centered around Prasad’s employment at Apple from December 2008 through December 2018. For most of that time, he was a “buyer” in Apple’s Global Service Supply Chain. It was Prasad’s job as an Apple buyer to facilitate the process through which Apple bought parts to perform warranty repairs on older devices. Prasad exploited his position and conspired with two separate Apple vendors to defraud Apple by taking kickbacks, stealing parts, inflating invoices, and causing Apple to pay for items and services it never received – resulting in a loss to Apple of more than $17,000,000. In addition to engaging in two separate criminal conspiracies with Apple vendors, Prasad also acknowledged that he evaded tax on the proceeds of his schemes.
According to the government’s sentencing memorandum, by virtue of his position at Apple Prasad was given substantial discretion to make autonomous decisions to benefit his employer. Prasad betrayed this trust, and abused his power to enrich himself at his employer’s expense – all while accepting hundreds-of-thousands of dollars’ worth of compensation from Apple in the form of salary and bonuses. Additionally, Prasad used his insider information regarding the company’s fraud-detection techniques to design his criminal schemes to avoid detection.
In addition to the three-year prison sentence, Judge Freeman ordered Prasad to forfeit over $5,491,713 worth of assets—that already have been seized by the government—and to pay an additional forfeiture money judgment in the amount of $8,133,005. Judge Freeman also entered an order of restitution, requiring Prasad to pay $17,398,104 to Apple and $1,872,579 to the IRS, and also ordered Prasad to serve three years of supervised release, to begin after the prison term.
Assistant United States Attorneys Michael G. Pitman and Karen Beausey are prosecuting the case. The prosecution was the result of an investigation led by the Internal Revenue Service, Criminal Investigation.Final Two Members of Baltimore Drug Trafficking Organization Receive Significant Sentences in Federal Prison After Pleading Guilty to Possessing Fentanyl with Intent to Distribute and to Illegal Possession of a FirearmRead the Press Release
Baltimore, Maryland – U.S. District Judge Julie R. Rubin sentenced Jermaine Steward, age 33, of Gwynn Oak, Maryland today to nine years in federal prison, followed by four years of supervised release, after Steward pleaded guilty to federal charges for possession with intent to distribute more than 400 grams of fentanyl and for being a felon in possession of a firearm. Steward is the last defendant of the drug trafficking organization (“DTO”) to plead guilty.
Co-defendant Jamar Middleton, age 35, of Edgewood, Maryland, pleaded guilty on April 13, 2023, and was sentenced to 138 months in federal prison, followed by four years of supervised release, on the same charges.
The guilty pleas and sentences were announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Field Division; Anne Arundel County Police Chief Amal E. Awad; Chief Robert McCullough of the Baltimore County Police Department; Anne Arundel County State’s Attorney Anne Colt Leitess; and Baltimore County State’s Attorney Scott Shellenberger.
“Our comprehensive approach to preventing violence includes today’s Reentry and Resource Fair to provide resources to returning citizens to keep them from reoffending, as well as our efforts to remove guns and repeat offenders from the streets by any legal means necessary. And we are having success,” said United States Attorney Erek L. Barron. “As of today, homicides in Baltimore are down more than 18% from last year and non-fatal shootings are down more than 15%. We remain laser-focused on reducing violent crime.”
According to his guilty plea, the DEA investigated the Burton DTO operating in Baltimore. On December 15, 2021, law enforcement searched a stash house used by DTO leader Edward Burton, Steward, Middleton, and co-conspirator Jerrell Simms, and recovered approximately 431.25 grams of mixtures or substances containing fentanyl, including a bag of 6,450 gelatin capsules containing approximately 231.67 grams of fentanyl and another bag containing 644 gelatin capsules containing 113 grams of fentanyl, as well as narcotics packaging materials and other drug paraphernalia. The search of the stash house also recovered seven firearms and ammunition, including three 9mm handguns; an AR-15 style rifle; a .45-caliber handgun; a 7.62 x 39mm caliber pistol; a .40-caliber rifle; .45-caliber magazines; and 7.62 x 39mm and 9mm ammunition. Law enforcement also recovered $4,376 in cash and jewelry valued at $13,550, which constituted proceeds of drug trafficking. Additional firearms, cash and jewelry were recovered from other search locations associated with the defendants.
Edward Burton, age 38, of Jessup, Maryland, pleaded guilty on October 12, 2022, and was sentenced to 13 years in federal prison. Jerrell Simms, age 37, of Baltimore, previously pleaded guilty to possession with intent to distribute fentanyl and was sentenced to 97 months in federal prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through relationships forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The specific mission of the Baltimore OCDETF Strike Force is to reduce violent, drug-related, and gang crime in the Baltimore area and surrounding region.
United States Attorney Erek L. Barron commended the DEA, the Anne Arundel County Police Department, the Baltimore County Police Department, the Anne Arundel County State’s Attorney’s Office, and the Baltimore County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorneys Joan C. Mathias and Ariel Evans, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psn and https://www.justice.gov/usao-md/community-outreach.
# # #
Felon Sentenced for Possession of Firearm at East St. Louis MotelRead the Press Release
BENTON, Ill. – A U.S. District Court judge sentenced a Cahokia man to 33 months in federal prison after he was caught with a firearm as a convicted felon.
Tyrone James, 47, pled guilty to one count of being a felon in possession of a firearm. In addition to imprisonment, he will serve three years of supervised release.
“The East St. Louis community has suffered from years of heartache and devastation due to gun violence, and one less felon in possession of a firearm is a positive step for the city’s revival,” said U.S. Attorney Rachelle Aud Crowe. “Illinois State Police officers in the PSEG unit have made significant progress to improve public safety in East St. Louis, and I look forward to continuing our partnership to apprehend criminals.”
“The Public Safety Enforcement Group continues to get illegal guns off the streets and out of the hands of criminals who repeatedly break the law,” said ISP Director Brendan F. Kelly. “The collaborative effort between ISP, local and federal law enforcement agencies, the public, and the justice system is helping create safer communities.”
According to court documents, law enforcement officers were investigating a shooting in East St. Louis in July 2021 and while reviewing surveillance video at a motel, James was observed exiting and returning to a room holding a handgun. PSEG investigators determined that James was not involved in the shooting, however, officers were given consent to search the motel room and recovered a .22 caliber pistol.
In an interview with police, James admitted he had a prior felony possession and was therefore not able to legally possess a firearm.
The Illinois State Police Public Safety Enforcement Group unit conducted the investigation, and Assistant U.S. Attorney John Trippi prosecuted the case.
Federal Jury Convicts Former St. Bernard Parish Assistant District Attorney and Two Associates for Defrauding First NBC BankRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that a federal jury has convicted GLENN E. DIAZ, age 72, of Arabi; PETER J. “PETE” JENEVEIN, age 58, of Panama City, Florida; and MARK S. GRELLE, age 69, of Chalmette, of federal bank fraud and money laundering charges related to defrauding First NBC Bank (“Bank”), the New Orleans-based bank that failed in April 2017. All three defendants are originally from St. Bernard Parish, and DIAZ previously worked as an assistant district attorney for St. Bernard Parish for over thirty years. Between June and December 2016, the defendants defrauded First NBC Bank out of more than $550,000.
The jury convicted DIAZ of bank fraud conspiracy, money laundering conspiracy, and eight counts of bank fraud. The jury was hung on 21 counts of bank fraud against DIAZ, for which the court declared a mistrial. JENEVEIN was convicted of bank fraud conspiracy, money laundering conspiracy, and 29 counts of bank fraud. GRELLE was convicted of conspiracy to commit bank fraud, conspiracy to commit money laundering, and 17 counts of bank fraud. GRELLE was acquitted on one count of bank fraud.
U.S. District Judge Jane Triche Milazzo presided over the six-day trial during which the government called twelve witnesses and presented over 450 exhibits. According to the evidence presented from at least April 2016 through December 20, 2016, DIAZ, JENEVEIN, and GRELLE conspired to defraud First NBC Bank through a series of false invoices and other fake documents for work purportedly done at a Florida warehouse owned by DIAZ.
DIAZ was a customer of First NBC Bank from 2006 through the bank’s closure in 2017. By late 2015, DIAZ had been overdrawing his checking account for purported business expenses. In reality, DIAZ was depositing these overdrafts into his personal account at another bank. In April 2016, First NBC Bank officers asked DIAZ for additional information about the use of the overdrafts. In June 2016, bank officers required that DIAZ provide invoices as proof that he was spending bank funds to improve the Florida warehouse. DIAZ used this warehouse as collateral for his First NBC Bank loans. Subsequently, bank officers rejected several of DIAZ’s checks that did not involve warehouse improvements.
In response to the Bank’s requirement, DIAZ had JENEVEIN and GRELLE provide fake invoices for warehouse improvements that were purportedly performed by GRELLE’s company, Grelle Underground Services LLC. Bank officers then approved the overdrafts based on these invoices. However, after DIAZ wrote the check to GRELLE’s company in payment of the fake invoice, GRELLE would then write a check back to DIAZ. DIAZ would then deposit this check into his personal account at JPMorgan Chase bank, to hide it from First NBC. DIAZ then used the money for personal expenditures unrelated to the warehouse including, vintage automobiles, plastic surgery, precious metals, and online shopping. In total, DIAZ, JENEVEIN, and GRELLE executed 17 round-trip transactions through GRELLE’s accounts. DIAZ and JENEVEIN also created other fake invoices and credit card itemizations claiming false business expenses as well as fabricating business names to make DIAZ’s personal expenses appear to be legitimate Florida construction expenses. The fake documents also included invoices from non-existent companies and fake invoices from real companies.
As to bank fraud conspiracy and each count of bank fraud, the defendants may face a maximum sentence of up to 30 years in prison, a maximum fine of the greater of $1,000,000 or twice the gross gain to the defendants or twice the gross loss, and up to five years of supervised release. For money laundering conspiracy, the defendants face up to 20 years in prison, a maximum fine of the greater of $500,000 or twice the value of the property involved in the transaction, and up to three years of supervised release. As to each count of conviction, the defendants face payment of a $100 mandatory special assessment fee. Judge Milazzo scheduled sentencing in this case for July 26, 2023, at 9:30 a.m.
U.S. Attorney Evans said, “This case reaffirms our office’s commitment to prosecuting white collar criminals who act as if their wealth or power puts them above the law. Glenn Diaz’s claims of owning tens of million dollars of assets and property throughout the United States and elsewhere in North America, did not give him the right to lie to a bank. As co-defendants Peter Jenevein and Mark Grelle discovered after today’s jury verdict , our office will hold anyone accountable for defrauding and conspiring to defraud a financial institution and commit money laundering through acts of deceit. I commend the First NBC trial team for its continued work prosecuting the individuals who defrauded First NBC Bank.”
“We are pleased to work with our law enforcement partners in bringing to justice those who conspire to defraud financial institutions regulated and supervised by the Federal Reserve Board,” said Stephen Donnelly, Acting Special Agent in Charge, Eastern Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau.
“As a former prosecutor, Mr. Diaz knew his conduct was illegal and egregious,” said FBI New Orleans Special Agent in Charge Douglas A. Williams, Jr. “Diaz and the other defendants in this case engaged in a scheme to enrich themselves. The FBI thanks its partners for their assistance in achieving justice in this case.”
This case was investigated by the Board of Governors of the Federal Reserve System, Consumer Financial Protection Bureau, Office of Inspector General, and the Federal Bureau of Investigation’s New Orleans Field Office. Assistant U.S. Attorneys Matthew R. Payne and Nicholas D. Moses of the Financial Crimes Unit, J. Ryan McLaren of the Appellate Unit , and Rachal Cassagne of the Violent Crime Unit are in charge of the prosecution.
Etowah Pain Clinic Owner Pleads Guilty in Multi-Million-Dollar Kickback and Health Care Fraud CaseRead the Press Release
BIRMINGHAM, Ala. – Another individual has been convicted in the latest in a series of cases involving multi-million-dollar health care fraud and kickback conspiracies, announced U.S. Attorney Prim F. Escalona, Federal Bureau of Investigation Special Agent in Charge Carlton L. Peeples, and U.S. Department of Health and Human Services, Office of Inspector General, Special Agent in Charge Tamala E. Miles.
David Lyle Shehi, 42, of Rainbow City, pleaded guilty yesterday before Chief U.S. District Judge L. Scott Coogler to conspiracy to pay kickbacks and commit health care fraud.
According to the information and plea agreement, Shehi owned a pain management clinic in Rainbow City called Etowah Pain. Between 2016 and 2018, Shehi conspired with others to commit health care fraud, and to receive kickbacks in exchange for his medical practice’s ordering items or services that would be billed to Medicare and other health insurance programs. One of those services was electro-diagnostic testing provided by a Huntsville-based company called QBR, or Diagnostic Referral Community. According to the plea agreement, QBR paid Shehi, through the medical practice, a per-patient fee for tests ordered from QBR and reimbursed by insurance. The payments were disguised as hourly payments for the ordering physician’s time and staff’s time, but in reality, Shehi’s practice was paid on a per-patient basis.
Also, this week, a defendant in a related case was sentenced. Today, Judge Coogler sentenced Dr. Eric Beck, 64, of Huntsville, to 15 months in prison. Beck pleaded guilty last year to health care fraud conspiracy for his role in the QBR scheme.
In February, John Alan Robson, 40, of Trussville, was indicted in a related case for health care fraud conspiracy, kickback conspiracy, and kickbacks.
The cases against Shehi, Beck, and Robson are related to several other cases that have resulted in convictions. John Hornbuckle, 53, of Huntsville, pleaded guilty to health care fraud and kickback conspiracy offenses for his role, as QBR’s CEO, in orchestrating the fraud. James Ewing Ray, 52, of Gadsden, pleaded guilty to health care fraud and kickback conspiracy for his role as a sales rep who marketed QBR’s scheme to Shehi and other medical practices and received kickbacks per test ordered.
In March 2022, a jury convicted Dr. Mark Murphy, 66, and his wife Jennifer Murphy, 66, both of Lewisburg, Tennessee, of drug distribution, fraud, and kickback crimes. The Murphys operated North Alabama Pain Services, which closed its Decatur and Madison offices in early 2017. According to court documents and evidence presented at trial, the Murphys took kickbacks from QBR of more than a million dollars. In return, Dr. Murphy ordered electro-diagnostic tests from QBR for his patients, regardless of whether there was a medical need for those tests. Dr. Murphy also pre-signed prescriptions for expensive specialty topical creams, sprays, and patches, which patients then received whether they wanted the products or not. Before the Murphys went to trial, a co-defendant, Brian Bowman, 42, of Gadsden, pleaded guilty to health care fraud conspiracy. According to Bowman’s plea agreement, Bowman marketed QBR’s electro-diagnostic testing to medical providers, and was paid a fee for each test they ordered. Bowman received nearly a million dollars in fees from QBR. Bowman also marketed high-reimbursing specialty prescription drugs to the Murphys and other providers, and received payments for the prescriptions he generated.
Mark Murphy and Jennifer Murphy each were sentenced to twenty years in prison. Hornbuckle was sentenced to eighty months in prison. Ray and Bowman are awaiting sentencing. Other co-conspirators have already been sentenced.
The maximum penalty for conspiracy to commit health care fraud and receive kickbacks is five years in prison.
The FBI and HHS-OIG investigated the case. Assistant U.S. Attorneys J.B. Ward and Don Long are prosecuting the case.
Elizabeth, LA Man Sentenced to Prison for Committing Bankruptcy Fraud and Tax EvasionRead the Press Release
LAKE CHARLES, La. - Joseph Randall Boswell, Sr., 53, of Elizabeth, Louisiana, was sentenced yesterday for committing bankruptcy fraud and tax evasion, announced United States Attorney Brandon B. Brown. United States District Judge James D. Cain, Jr. sentenced Boswell to 60 months in prison, followed by 3 years of supervised release. Judge Cain ordered that a hearing be held on June 27, 2023, to determine restitution.
Boswell was convicted of these crimes by a federal jury in Lake Charles on September 19, 2022. Evidence presented at the trial established that Boswell knowingly and fraudulently concealed property from the United States Bankruptcy Trustee and his creditors through his Chapter 7 Bankruptcy case which he filed in September 2011. Specifically, Boswell concealed monies earned from nominee business and service contracts that could have been paid to his creditors. He attempted to defraud the government by withholding information from the Bankruptcy Court regarding the amount of income he was actually making and property he had an interest in. The defendant was self-employed and withheld information from the court as to companies that he had control of through other family members. These companies were established in the names of other family members in an attempt to hide the fact that Boswell was controlling and manipulating the business activities for these companies and earning income through contracts negotiated by him.
Boswell was also convicted of attempting to evade and defeat payment of income taxes due and owing by him for the tax years 2001 through 2009. He concealed assets from the Internal Revenue Service by putting them in the names of other family members in order to avoid paying income taxes owed by him of over $597,000.
“This defendant spent years of his life finding ways to avoid paying taxes and creditors that he borrowed money from through his web of lies and deception,” said U.S. Attorney Brandon B. Brown. “The agents and attorneys handling this case worked countless hours to untangle that web of lies that he wove, and I commend them for their tireless work in bringing him to justice. The bankruptcy and tax laws which have been established in this nation must be obeyed and we will continue to hold those who choose not to do that accountable.”
“Bankruptcy laws are in place to provide debtors a fresh start when they are honestly unable to pay their debts and obligations,” said James E. Dorsey, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “Boswell used these laws to avoid paying his creditors and taxes although he had the resources. His sentence today should be a warning to those seeking to fraudulently use bankruptcy laws to avoid paying their creditors.”
The case was investigated by the Internal Revenue Service Criminal Investigation, and the United States Trustee’s Office, and prosecuted by Assistant U.S. Attorneys Cytheria D. Jernigan and Earl M. Campbell.
# # #
EOIR Announces Appointment of Sheila McNulty as Chief Immigration JudgeRead the Press Release
FALLS CHURCH, VA – The Executive Office for Immigration Review (EOIR) today announced the appointment of Sheila McNulty as the Chief Immigration Judge. Judge McNulty has served EOIR since 2010, including as a part of Office of the Chief Immigration Judge leadership for the past 6.5 years.
“Judge McNulty brings to this critical leadership position an incredible depth of experience and both the skills and desire to improve our immigration court system,” said EOIR Director David L. Neal. “Her understanding of what justice means to judges and to those before them provides a perfect foundation for the critical evaluation of our processes and procedures.”
As Chief Immigration Judge, Judge McNulty will be responsible for applying her knowledge of, and experience in, immigration law and procedures to manage the immigration court system. She will make management decisions regarding staffing and budget and be the lead official overseeing the corps of immigration judges nationwide.
Since March 2021, Judge McNulty has served as a Regional Deputy Chief Immigration Judge. McNulty received a Bachelor of Arts in 1984 from Miami University of Ohio and a Juris Doctor in 1991 from New England School of Law. From November 2015 to March 2021, she served as an Assistant Chief Immigration Judge, and during this time, from February 2020 to March 2021, she also served as Acting Deputy Chief Immigration Judge for the West. From October 2010 to November of 2015, she served as an Immigration Judge at the Chicago Immigration Court. From 2000 to 2010, Judge McNulty served as a Special Assistant U.S. Attorney with the former Immigration and Naturalization Service (INS) and U.S. Immigration and Customs Enforcement, in the Chicago Office of the U.S Attorney’s Office for the Northern District of Illinois. From 1991 to 2000, she served as a trial attorney for the former INS, entering on duty through the Attorney General’s Honors Program. From 1985 until 1988, Judge McNulty worked as a community activist and organizer in Cambridge, Massachusetts. Judge McNulty is a member of the Illinois Bar.
D.C. Man Pleads Guilty to Gun ChargeRead the Press Release
WASHINGTON – Rodney Burton 35, of Washington, D.C., pleaded guilty today to two counts of unlawful possession of a firearm and ammunition by a person convicted of a crime punishable by imprisonment for a term exceeding one year, announced U.S. Attorney Matthew M. Graves, Acting SAC Michael Weddel from the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Chief Robert J. Contee III, of the Metropolitan Police Department.
Burton entered the guilty plea in the United States District Court for the District of Columbia. U.S. District Court Judge Christopher R. Cooper scheduled a sentencing hearing for July 19, 2023.
According to the government’s evidence, on November 22, 2022, the defendant was arrested by the United States Marshals Service (USMS) on an outstanding warrant and was found to be in possession of two firearms. The defendant was in possession of a Springfield Armory XD .45 caliber handgun which contained one round in the chamber and thirteen rounds of ammunition in the magazine with a total capacity of thirteen rounds. The second recovered firearm was a Sig-Sauer P220 .45 caliber handgun with one round of ammunition in the chamber and seven rounds of ammunition in the magazine. Furthermore, on August 12, 2022 officers conducted a search of an apartment where the defendant was known to reside and recovered a black Masterpiece Arms pistols with no rounds in the chamber but with twenty-two rounds of ammunition forced into a twenty round capacity magazine.
In announcing today’s plea, U.S. Attorney Graves, Acting SAC Weddel, and Chief Contee commended the work of those who investigated the case from Project Safe Neighborhood from both the Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. They acknowledge the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Karla Nunez.
Finally, they commended the efforts of Assistant United States Attorney Shehzad Akhtar who investigated and prosecuted the case.
Courier who Transported Hundreds of Pounds of Ice Methamphetamine from California to Cedar Rapids Sentenced to Federal PrisonRead the Press Release
A man who drove loads of ice methamphetamine from California to Cedar Rapids, Iowa, for a drug trafficking organization was sentenced today to more than seven years in federal prison.
Albert Henry Bailey, age 53, from Cedar Rapids, received the prison term after a November 8, 2022 guilty plea to one count of conspiring to distribute methamphetamine.
Evidence at prior hearings showed that during a wiretap investigation conducted by the Drug Enforcement Administration in Cedar Rapids in late 2021 and early 2022, Bailey was discovered to be a driver for a group of individuals who were purchasing ice methamphetamine in California and selling it in eastern Iowa. Bailey traveled to California and then drove between 30 and 60 pounds of methamphetamine back to Iowa, where other individuals would sell it. In February 2022, intercepted communications over the wiretap indicated that Bailey would be transporting methamphetamine from California to Iowa. Investigators tracked Bailey’s vehicle and stopped it in York County, Nebraska. During a search of the vehicle, investigators located and seized approximately 60 pounds of ice methamphetamine.
Bailey was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Bailey was sentenced to 88 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Bailey is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the DEA Task Force in Cedar Rapids and the Federal Bureau of Investigation. The DEA Task Force in Cedar Rapids consists of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; and the Iowa Division of Narcotics Enforcement. The case was prosecuted by Assistant United States Attorney Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22‑CR‑87‑CJW‑MAR.
Follow us on Twitter @USAO_NDIA.
Corpus Christi resident sentenced for attempting to deliver meth via the mailRead the Press Release
CORPUS CHRISTI, Texas – A 39-year-old local man has been ordered to federal prison for attempting to possess with intent to distribute 6.8 kilograms of meth, announced U.S. Attorney Alamdar S. Hamdani.
Lawrence Hyde pleaded guilty Jan. 3.
Today, U.S. District Judge Drew Tipton ordered Hyde to serve 180 months in federal prison to be immediately followed by five years of supervised release. At sentencing, the court heard that this was not the first time Hyde had received narcotics through the mail.
On July 15, 2022, authorities intercepted a package containing 6.8 kilograms of meth addressed to a residence in Corpus Christi. They removed the drugs and subsequently delivered the package.
Law enforcement conducted surveillance of the residence and witnessed Hyde take the package and depart the location, at which time they arrested him.
Hyde ultimately admitted to knowing there were narcotics in the package and intended to deliver it to another individual. The total weight was approximately 6.8 kilograms of meth with an estimated street value of $200,000
Hyde has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation with the assistance of the United States Postal Service. Assistant U.S. Attorneys Patrick Overman and John Marck prosecuted the case.
Convicted Felon Sentenced to More than 15 Years in Federal Prison for Drug TraffickingRead the Press Release
FORT SMITH – A Fort Smith man was sentenced today to a total of 183 months in prison without the possibility of parole on one count of Conspiracy to Distribute More than 50 Grams of Methamphetamine and for violating the terms and conditions of his supervised release on a similar previous conviction. The Honorable Judge P.K. Holmes, III presided over the sentencing hearing, which was held in the U.S. District Court in Fort Smith.
According to court documents, in March and April of 2022, as part of an ongoing narcotics investigation, investigators with the Drug Enforcement Administration (DEA), United States Postal Inspection Service (USPIS), the 12th/21st Judicial Drug Task Force, Sebastian County Sheriff’s Office, Fort Smith Police Department, Arkansas State Police, and Arkansas National Guard Counterdrug intercepted three separate parcels containing approximately 871 grams of methamphetamine, 2,918 pills containing a fentanyl analog, and 3,637 pills of fentanyl, respectively. Further investigation revealed that Jesus Corral, age 40, was the intended recipient of each parcel and that Corral intended to further distribute the narcotics. Corral was under post-prison release supervision at the time of the offense.
Corral was indicted by a Grand Jury in the Western District of Arkansas in July of 2022 and entered a plea of guilty in December of 2022.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Drug Enforcement Administration (DEA), United States Postal Inspection Service (USPIS), the 12th/21st Judicial Drug Task Force, Sebastian County Sheriff’s Office, Fort Smith Police Department, Arkansas State Police, and Arkansas National Guard Counterdrug participated in the investigation of this case.
Assistant U.S. Attorney Devon Still prosecuted the case on behalf of the United States.
Clay County Softball Coach Indicted for Producing Sexually Explicit Images and Videos of ChildrenRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces the arrest and the return of an indictment charging Andrew Lynn Overheul (43, Orange Park) with six counts of producing and attempting to produce child sexual abuse files. If convicted, Overheul faces a minimum mandatory 15 years, up to 180 years, in federal prison. The indictment also notifies Overheul that the United States intends to forfeit electronic devices used in the commission of the charged offenses. Overheul has been ordered detained pending a trial scheduled for the June 2023 trial term.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Clay County Sheriff’s Office, Homeland Security Investigations (HSI), and the Northeast Florida (NEFL) INTERCEPT Task Force. It is being prosecuted by Assistant United States Attorney Kelly S. Karase.
This case is 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.
Clay County Man Convicted of Unlawfully Possessing A Sawed-Off ShotgunRead the Press Release
Jacksonville, FL – United States Attorney Roger B. Handberg announces that Dylan Milton Jarvis (31, Orange Park) has been found guilty of unlawful possession of an unregistered National Firearms Act firearm (sawed-off shotgun), following a bench trial. Jarvis faces a maximum penalty of 10 years in federal prison and forfeiture of the sawed-off shotgun seized by law enforcement during their investigation. The case is set for sentencing on July 24, 2023.
According to court documents, at approximately 5:30 pm on January 11, 2022, deputies from the Clay County Sheriff’s Office (CCSO) responded to calls of shots fired near Blanding Boulevard, a heavily traveled road in Orange Park. Eyewitnesses in the area described an individual, later identified as Jarvis, carrying a shotgun and firing multiple rounds. Upon making contact with Jarvis in a parking lot, the deputies determined that Jarvis had fired three to four shells from a Harrington & Richardson, 12-gauge shotgun and then discarded the firearm. The deputies located the shotgun in the immediate vicinity of the parking lot along with multiple spent shotgun shells. During an interview with the CCSO, Jarvis admitted to illegally modifying the shotgun. Follow up investigation by the CCSO and the Bureau of Alcohol, Tobacco, Firearms and Explosives determined that Jarvis had previously sawed off the barrel and the stock of the 12-gauge shotgun. A record check confirmed that this sawed-off shotgun was not registered to Jarvis in the National Firearms Registration and Transfer Record, as required under federal law.
This case was investigated by the Clay County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives – Jacksonville Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein. Assistant United States Attorney Mai Tran is handling the forfeiture of the sawed-off shotgun.
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.
Christian County Man Sentenced to over 5 Years in Federal Prison for Methamphetamine Distribution and Federal Firearm OffensesRead the Press Release
Paducah, KY – A Christian County man was sentenced yesterday to 5 years and 6 months in federal prison followed by a 4-year term of supervised release for distributing more than 50 grams of a methamphetamine mixture and for possessing more than a dozen firearms after having previously been convicted of a felony offense. There is no parole in the federal system.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division, and Sheriff Tyler DeArmond of the Christian County Sheriff’s Office made the announcement.
According to court documents, on March 24, 2022, Buddy Chambless, 39, of Hopkinsville, Kentucky, possessed with the intent to distribute over 50 grams a methamphetamine mixture. At the time of the arrest, agents located the following 13 firearms and approximately 2000 rounds of ammunition in a storage unit controlled by Chambless: a Diamondback Firearms LLC, model DB9, 9-millimeter semi-automatic pistol; a Taurus, model 85, .38 special caliber revolver; a Harrington and Richardson, model 930, .22 caliber revolver; a Sun City Machinery Co., model 320, 12-gauge slide action shotgun; a Mossberg, model 500 Turkey, 12-gauge slide action shotgun; a Winchester, model 120 Ranger, 20-gauge slide action shotgun; a Mossberg, model 500E, .410-gauge slide action shotgun; a Taurus, model Circuit Judge, 45 long colt/.410-gauge rifle; a New England Firearms, model Pardner, 20-gauge single shot break action shotgun; a Henry Repeating Rifle Company, model Golden Boy, .22 caliber lever action rifle; a Savage Arms, model Mark II, .22 caliber bolt action rifle; a Mosin-Nagant, model M91/30, 7.62x54R caliber bolt action rifle; and a Mosin-Nagant, model P-26, 7.62x54R caliber bolt action rifle.
Chambless was prohibited from possessing a firearm because he had been previously convicted of the following offense. On August 14, 2018, in Christian Circuit Court, he was convicted of first-degree trafficking in a controlled substance – greater than 2 grams of methamphetamine while armed and first-degree possession of a controlled substance while armed.
The case was investigated by the ATF Bowling Green Field Office and the Christian County Sheriff’s Office.
Assistant U.S. Attorney Leigh Ann Dycus, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
###
Canton Man Sentenced to over Five Years in Prison for Possession of a Firearm by Convicted FelonRead the Press Release
Jackson, Miss. – A Canton man was sentenced to 63 months in prison for possession of a firearm by a convicted felon, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court documents, on November 4, 2021, Ridgeland Police Officers were dispatched to the area of Highland Colony Parkway near Old Agency Road, after receiving numerous 911 phone calls reporting two vehicles exchanging gunfire. Officers were able to locate one of the vehicles involved on the side of I-55 South with numerous bullet holes in the back, which was driven by Tyrone Diario Lewis, 32. Near the vehicle, in the woods, officers located four firearms, which Lewis and his occupants attempted to hide. Through the investigation, law enforcement officers were able to determine that Lewis possessed the four firearms, including an AR-style pistol, which was used during the shooting. Lewis has a prior felony conviction for armed robbery. As a convicted felon, it is contrary to federal law for Lewis to possess any firearm
Lewis was indicted by a federal grand jury on April 19, 2022. He pled guilty on January 26, 2023 to possession of a firearm by a convicted felon.
The Ridgeland Police Department and the ATF investigated the case.
Assistant U.S. Attorney Adam T. Stuart prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Boca Raton Woman Sentenced to 18 Months in Prison for Threatening to Shoot FBI AgentsRead the Press Release
MIAMI – A federal district judge in West Palm Beach has sentenced 61-year-old Suzanne Ellen Kaye to 18 months in prison for threatening to shoot FBI agents in videos that she posted on social media. A jury found Kaye guilty in June 2022.
On January 16, 2021, FBI’s National Threats Operation Center received an online tip with information that Kaye may have been at The United States Capitol in Washington, D.C. ten days earlier (January 6) or knew of others who were there. The tip was referred to the FBI office in West Palm Beach for further investigation.
On January 28, 2021, two West Palm Beach FBI agents contacted Kaye by telephone and asked to interview her. Kaye agreed and requested that it take place at her house. On January 31, 2021, before any interview, Kaye posted three videos on social media. In each publicly available video, Kaye informed her audience that the FBI wanted to question her about her visit to Washington, D.C. on January 6. On video, Kaye announced that she would “shoot their [expletive] a--” if FBI agents showed up at her house.
FBI learned about Kaye’s social media postings on February 8, 2021, when they received a second online tip with one of the videos. Agents arrested Kaye at her home on February 17, 2021.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the sentence imposed by U.S. District Judge Robin L. Rosenberg.
FBI Miami, West Palm Beach Resident Agency investigated this case. Assistant U.S. Attorneys Mark Dispoto and Shannon O’Shea Darsch prosecuted it.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 21-cr-80039.
###
Bingham Farms Physician Sentenced to 20 Years in Prison for Illegally Distributing over One Million Opioid Pills and Health Care FraudRead the Press Release
DETROIT - Bingham Farms physician David Jankowski was sentenced today to 20 years in prison based on his conviction following a jury trial of thirty charges related to the unlawful distribution of prescription drugs and for health care fraud, announced United States Attorney Dawn N. Ison. He was also ordered to forfeit over $35 million which represents the proceeds of drug-trafficking, property that facilitated the commission of the offense, and proceeds of the health care fraud conspiracy. In addition, Jankowski was also ordered to pay restitution to Medicare in the amount $5.2 million.
Joining Ison in the announcement were James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation; and Mario Pinto, Special Agent in Charge, United States Department of Health and Human Services – Office of Inspector General.
Jankowski, age 63, was sentenced by United States District Court Judge Bernard Friedman. The charges on which he was convicted stemmed from the operation of Summit Medical Group, a purported medical clinic formerly located in Dearborn Heights and Southfield, Michigan and owned by Jankowski. Federal agents first executed search and arrest warrants against Jankowski and Summit in June 2017. According to court records, Jankowski gave the Summit Medical Group the false appearance of a legitimate medical center, when in reality Summit was a pill mill supplying narcotics to drug-seeking customers.
In July 2022, a jury found Jankowski guilty of thirty criminal counts, including conspiracies to unlawfully distribute controlled substances and health care fraud, the unlawful distribution of controlled substances, and multiple counts of health care fraud.
According to the evidence presented at trial, Jankowski wrote medically unnecessary prescriptions for drugs like Oxycontin, Oxycodone, morphine, hydrocodone, and Xanax. Jankowski persuaded one patient to receive unnecessary shoulder surgery in return for prescribing medically unnecessary controlled substances. He also prescribed controlled substances after receiving cash from patient recruiters who brought their own patients to his practice. Trial testimony demonstrated that Jankowski issued or authorized the issuance of more than 1 million opioid pills to individuals outside the course of professional medical practice and for no legitimate medical purpose in exchange for compensation.
During the trial, the jury heard testimony that Jankowski sent out an unlicensed medical school graduate to perform home visits to Medicare beneficiaries and issue them prescriptions for controlled substances with had been pre-signed by Jankowski. Jankowski, who was not present during the visit, directed that the fraudulent claims to Medicare be submitted as if he himself had performed the service.
Jankowski induced patients into his practice by providing medically unnecessary controlled substances that were subsequently diverted to the illicit street market. In return, Jankowski submitted false and fraudulent claims to Michigan auto insurance companies, private health care insurers, as well as Medicare and Medicaid. Based upon this fraudulent scheme, Jankowski received more than $35 million from insurance companies and approximately $5 million from Medicare and Medicaid.
“Michigan communities have seen devastating losses relating to opioid overdoses in the last five years,” stated U.S. Attorney Ison. “Doctors who illegally dispense powerful prescription drugs bear some of the responsibility for this harm to our community. We hope prosecutions like this one will stop medical professionals from abusing their positions by dealing drugs and stealing from insurance companies and taxpayers. .”
“By prescribing medically unnecessary prescription medications and defrauding health insurance programs, this defendant put vulnerable patients at risk and contributed to the high cost of medical care for all of us,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “Today’s sentence should serve as a warning to any medical professional willing to engage in this type of health care fraud that agents from the FBI and the U.S. Department of Health and Human Services – Office of Inspector General will work diligently and collaboratively to bring them to justice.”
“Medical providers who prescribe powerful controlled substances without regard for medical necessity and submit fraudulent claims for unnecessary services, place their patients at risk and waste valuable taxpayer dollars,” said Special Agent in Charge Mario M. Pinto. “We will continue to work diligently with our law enforcement partners to ensure that individuals who endanger patients through their prescribing practices and commit fraud against our federal health care programs are held accountable.”
The investigation was conducted by the FBI and the Department of Health and Human Services – Office of Inspector General.
The case was prosecuted by Assistant United States Attorneys Regina R. McCullough, Wayne F. Pratt, Philip A. Ross, Jessica Nathan and Peter Schneider.
Bank robbers sentenced - trade masks, hoodies and firearms for prison jumpsuitsRead the Press Release
GALVESTON, Texas – Three individuals have been sent to prison for their roles in bank robberies that occurred in Brazoria and Wharton, announced U.S. Attorney Alamdar S. Hamdani.
Tony Wayne Mitchell, 46, and Kevin McCoy, 33, both of Houston, and Mikell Phillips, 41, Dallas, all pleaded guilty between March 2022 and September 2022. Each admitted to conspiracy to commit bank robbery by force or violence. Mitchell also admitted to brandishing a firearm in relation to a crime of violence.
Today, U.S. District Jeffery V. Brown handed Mitchell a 60-month term of imprisonment, while McCoy and Phillips received 48 and 54 months, respectively, for the robbery conspiracy. Mitchell also received 84 months for the firearms conviction which must be served consecutively to the other sentence imposed. His total 144-months prison term will be immediately followed by five years of supervised release while the other two will be on supervised release for three years.
“While one of them held a gun, four men robbed banks in small, rural towns and terrorized the employees,” said Hamdani. “One of the robbers died while trying to flee, but the other three, with today’s sentence, will face the long arm of justice.”
Mitchell, McCoy and Phillips were members of a four-man armed robbery crew who targeted bank branches situated in small rural towns surrounding Houston. Between 2018 and 2019, the crew robbed two banks in Brazoria and Wharton. During each crime, two or three men entered the banks brandishing firearms while wearing masks and hoodies. One man would vault the teller counter while they gathered the cash and put employees in offices, supply closets or the bank vault. They then exited the banks on foot.
A Crime Stoppers tip and prescription eyeglasses led authorities to the men.
Phillips was involved with only one robbery. He was the only person who did not enter the bank during the heist but did attempt to dispose of monies from the Wharton bank robbery.
The fourth member of the crew died in a car crash during his attempt to flee from law enforcement.
Mitchell, McCoy and Phillips have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI Texas City conducted the investigation with the assistance of police departments in Brazoria and Wharton. Assistant U.S. Attorney Kenneth Cusick prosecuted the case.
Austin Man Sentenced for Possession of Child Sexual Abuse MaterialRead the Press Release
AUSTIN, Texas – An Austin man was sentenced in a federal court in Austin Tuesday to five years in prison for possession of child pornography.
According to court documents, Tucker Smith, 31, had searched for, accessed, viewed, downloaded, possessed, stored, and distributed child sexual abuse material (CSAM) since approximately 2018. Smith stated that he maintained between 15 and 20 gigabytes of CSAM depicting minors ranging from two to three years old to 15-16 years old. Investigators seized and submitted approximately 904 images and 3,402 videos of suspected CSAM to the National Center for Missing and Exploited Children (NCMEC).
“This sentencing sends the message that we will continue to pursue and prosecute the predators who engage in the heinous and indefensible act of possessing child sexual abuse material,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “Thank you to our partners at the FBI for their investigation and helping us seek justice for the dozens upon dozens of child victims exploited in this case.”
“The FBI remains steadfast in our commitment to protect children from those who seek to exploit their innocence,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “These types of cases serve as a reminder of the important role the public plays in keeping our children and communities safe by immediately reporting potential public safety threats to law enforcement.”
The FBI investigated the case.
Assistant U.S. Attorney Matt Devlin prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and 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.
###
Apopka Woman Sentenced for Role in Construction-Related Wire Fraud and Tax Fraud ConspiracyRead the Press Release
Tampa, Florida – U.S. District Judge Kathryn Kimball Mizelle has sentenced Mayra Velasquez (35, Apopka) to three years and five months in federal prison for conspiracy to commit wire fraud and conspiracy to defraud the United States and the Internal Revenue Service. The Court also entered an order of forfeiture in the amount of $600,752, and an order for the forfeiture of three properties in Polk County, all as part of the proceeds of the conspiracies. Velasquez had pleaded guilty on March 9, 2022.
According to court documents, Velasquez owned and managed a construction company which purported to supply construction services and labor for construction contractors and subcontractors. In order to comply with Florida law, Velasquez’s company was required to secure and maintain adequate worker’s compensation insurance coverage. Velasquez’s company had agreements with contractors and subcontractors to use workers purported to be Velasquez’s employees at construction sites and these workers were often undocumented aliens who were actually working for and under the daily supervision and direction of the contractors. Velasquez or others then regularly received “payroll checks” from contractors that they cashed at various financial institutions to pay Velasquez’s purported “employees” and other related expenses.
During the time period charged, Velasquez falsely and fraudulently represented in insurance applications that her company had a very limited payroll and a very limited number of employees who worked on construction jobsites. Velasquez also falsely and fraudulently sent wire communications to numerous contractors representing that her company’s employees had full worker’s compensation coverage.
In reality, Velasquez’s company received and cashed more than $7 million in checks from various construction contractors for these purported “employees.” These payroll figures far exceeded the very limited payroll figures that Velasquez had reported to her worker’s compensation insurance company. As a result, these employees, in reality the employees of other entities, performed work on jobsites without adequate insurance coverage. In addition, the insurance companies that dealt with Velasquez’s company lost premiums they would have charged had they been aware of the true number of workers their policies were thus being manipulated to cover. The loss to those insurers was almost $750,000 in insurance premiums that were not paid.
As a result of these misrepresentations, Velasquez’s company also disclaimed responsibility for ensuring that jobsite workers were legally authorized to work in the United States and evaded laws that required the payment of state and federal payroll taxes on behalf of these workers. Velasquez’s company did not collect or remit any such payroll taxes to the United States. In addition, the contractors who actually paid these workers’ wages and used their services were also able to avoid responsibility for those taxes as well. The amount of those unpaid payroll taxes totaled more than $1.769 million.
“Velasquez engaged in a scheme which benefitted her at the expense of every U.S. Taxpayer,” said IRS CI Special Agent in Charge Brian Payne. “This scheme is all too common in the construction industry and IRS CI is working hard to ensure all employers operate on an even playing field and according to the law.”
Florida Chief Financial Officer Jimmy Patronis said, “Workers’ compensation fraud will not be tolerated in Florida. It puts businesses and injured workers in jeopardy and drives up insurance costs for honest business owners who properly protect their employees.”
“This fraudster was responsible for a scheme to evade worker’s compensation premiums and avoid paying employment taxes, resulting in illicit profits and proceeds in the millions of dollars,” said Homeland Security Investigations (HSI) Tampa Assistant Special Agent in Charge John Dumas. “HSI is proud to partner with the Internal Revenue Service – Criminal Investigation and the State of Florida Department of Financial Services to hold criminals accountable for taking advantage of government, private industry, and America’s workforce.”
This case was investigated by the Internal Revenue Service - Criminal Investigation and the Florida Department of Financial Services Division of Investigative and Forensic Services Bureau of Insurance Fraud, with assistance from Homeland Security Investigations (HSI). It is part of a lengthy investigation by those agencies into the use of shell companies and “ghost” employees in the construction industry. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.
Albany Man Pleads Guilty in Capital Region Cocaine ConspiracyRead the Press Release
ALBANY, NEW YORK – Ilvin Figueroa Batista, age 32, of Albany, pled guilty today to conspiring to distribute cocaine in the Capital Region. United States Attorney Carla B. Freedman and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS), made the announcement.
Batista admitted that between June 2021 and December 2021, in Albany and Rensselaer Counties, he conspired with others to receive cocaine shipped from Puerto Rico to distribute in the Capital Region. Batista’s role in the conspiracy was to receive cocaine from Puerto Rico shipped via U.S. mail and turn it over to other members of the conspiracy, who processed the cocaine and sold it.
Sentencing is scheduled for August 14, 2023 in front of Senior United States District Judge Gary L. Sharpe. Batista faces a maximum sentence of 20 years in prison, a fine of up to $1 million, and a term of supervised release of at least 3 years and up to life. Batista also agreed to forfeit $2,300 in cash seized when he was arrested.
Three coconspirators previously pled guilty for their roles in the conspiracy, which involved the receipt and distribution of more than 5 kilograms of cocaine in the Capital Region:
- Jan Lopez-Colon, age 28, of Troy, New York;
- Jesus Baez, age 32, of Loudonville, New York; and
- Sam Calderon, age 20, of Troy.
USPIS and its Capital Region Task Force, led by the USPIS and including the Albany Police Department, the Albany County Sheriff’s Office, and the Schenectady Police Department, as well as the U.S. Drug Enforcement Administration, investigated the case. Assistant U.S. Attorney Benjamin S. Clark is prosecuting the case.
25 April 2023
Washington Man Charged with Three Counts of Assault on Flight to Anchorage, AlaskaRead the Press Release
ANCHORAGE – A federal grand jury in Alaska returned an indictment today charging a Washington man with three counts of assault in the special aircraft jurisdiction of the United States.
Adam David Seymour was arrested on Wednesday, April 5, 2023, and was originally charged by complaint. The Complaint charged that on April 5, 2023, while aboard Alaska Airlines Flight 49 inbound to Anchorage, Alaska from Seattle, Washington, Adam David Seymour of Seattle, Washington, 37, assaulted a female passenger intending to make sexual contact, and assaulted two male passengers. According to court documents, flight crew had to remove Seymour from his seat and restrain him in the jump seat at the front of the airplane for the remainder of the flight.
On April 19, 2023, the grand jury indicted Seymour with one count of assault in the special aircraft jurisdiction of the United States, with the intent to commit abusive sexual contact, and two counts of assault in the special aircraft jurisdiction of the United States. If convicted he faces a maximum penalty of 10 years in prison on the count of assault with intent to commit abusive sexual contact, and 6 months in prison on the two assault counts. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney S. Lane Tucker of the District of Alaska made the announcement.
The Federal Bureau of Investigation is investigating the case.
Assistant U.S. Attorney Ainsley McNerney is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Violent Felon Sentenced to 5 Years for Illegal Re-entry into U.S.Read the Press Release
A violent felon was sentenced today to five years in federal prison for immigration violations, announced U.S. Attorney for the Northern District of Texas Leigha Simonton.
Gustavo Adolfo Ramirez-Leos, a 30-year-old citizen of Mexico, pleaded guilty in January to illegal re-entry after removal from the United States. He was sentenced Tuesday by U.S. District Judge Ada Brown, who handed down a sentence longer than the guidelines due to his history of violence.
In plea papers, Mr. Ramirez-Leos – who had been deported or instructed to depart the U.S. on six prior occasions – admitted to being in north Texas without authorization.
According to records introduced into evidence at sentencing, during his time in the U.S., Mr. Ramirez-Leos committed at least eight crimes, including burglary, theft, and family violence.
Prior to his second deportation in 2013, Mr. Ramirez-Leos attacked his pregnant girlfriend, choking her and then throwing her to the ground and stomping on her back while yelling, “I will kill you and the baby.” He also attacked the victim’s roommate, who attempted to intervene.
Seven years later, in 2020, after returning to the U.S., he attacked his own sister, punching her in the face and neck, pointing a BB gun at her head, and dragging her by the hair.
(Following both altercations, Mr. Ramirez-Leos pleaded guilty to state charges of assault causing bodily injury to a family member and was sentenced, respectively, to 180 days and 120 days in jail.)
Upon completion of his sentence in the immigration case, Mr. Ramirez-Leos will once again face deportation.
Immigration & Customs Enforcement conducted the investigation. Assistant U.S. Attorney Dimitri Rocha prosecuted the case.
United States Obtains $629 Million Settlement with British American Tobacco to Resolve Illegal Sales to North Korea, Charges Facilitators in Illicit Tobacco TradeRead the Press Release
British American Tobacco (BAT) and its subsidiary, BAT Marketing Singapore (BATMS), one of the world’s largest manufacturers of tobacco products based in the United Kingdom, has agreed to pay combined penalties of more than $629 million to resolve bank fraud and sanctions violations charges with U.S. authorities, arising out of the companies’ scheme to do business in North Korea through a third-party company in Singapore, in violation of the bank fraud statute and the International Emergency Economic Powers Act (IEEPA). Separately, charges were unsealed today in the District of Columbia against a North Korean banker and Chinese facilitators for their roles in facilitating the illicit sale of tobacco products in North Korea.
According to court documents, BATMS pleaded guilty to a criminal information filed in the District of Columbia charging BAT and BATMS with conspiracy to commit bank fraud and conspiracy to violate IEEPA. BAT entered into a deferred prosecution agreement (DPA) related to the same charges.
Specifically, in 2007, BAT spun off its North Korea sales to a third-party company, issuing a press statement that it was no longer involved in North Korea tobacco sales. In reality, BAT continued to do business in North Korea through the third-party company and BATMS maintained control over all relevant aspects of the North Korean business. Between 2007 and 2017, BAT and BATMS ran the payments for the tobacco sold to North Korean entities through the third-party company, resulting in approximately $418 million of U.S. dollar cash and correspondent banking transactions from North Korea to the third-party company in Singapore – money that was then passed on to BATMS and BAT. To make these payments, North Korean purchasers used front companies so that U.S. banks – which processed the transactions – would not know about the connection to North Korea. Pursuant to the DPA and plea agreement, BAT and BATMS will pay a total of $629 million in penalties and fines.
“British American Tobacco and its subsidiary engaged in an elaborate scheme to circumvent U.S. sanctions and sell tobacco products to North Korea, allowing funds to illegally flow into the coffers of the Democratic People’s Republic of Korea (DPRK),” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “Today’s action, which involves the largest North Korean sanctions penalty in the history of the Justice Department, should serve as a clear warning to companies everywhere about the costs and consequences of violating U.S. sanctions.”
Today, the Department of the Treasury also announced a civil enforcement action against BAT and BATMS.
“Companies that seek to profit from circumventing sanctions by obscuring their involvement will be discovered and will pay a price,” said Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian E. Nelson. “For years, BAT partnered with North Korea to establish and operate a cigarette manufacturing business and relied on financial facilitators linked to North Korea’s weapons of mass destruction proliferation network in the process of enriching itself. Firms that deal with blocked persons, even indirectly, will be held accountable for actions which undermine the integrity of the U.S. financial system.”
Separately today, a federal court in the District of Columbia unsealed charges against a North Korean banker, Sim Hyon-Sop, 39, and Chinese facilitators, Qin Guoming, 60, and Han Linlin, 41, both of Liaoning Province, in connection with a multi-year scheme to facilitate the sale of tobacco to North Korea.
“The United States is steadfast in its commitment to enforcing sanctions and withholding revenue for dictator Kim Jong-un,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “The charges unsealed today illustrate that the Department of Justice will hold North Korean facilitators accountable for their illegal efforts to prop up the North Korean regime and assist it in obtaining funds to develop nuclear weapons.”
According to court documents, between 2009 and 2019, the defendants engaged in a scheme to purchase leaf tobacco for North Korean state-owned cigarette manufacturers and used front companies and false documentation to cause U.S. financial institutions to process at least 310 transactions worth approximately $74 million that they otherwise would have frozen, blocked, investigated or declined, had they known the transactions were connected to trade with North Korea. The transactions resulted in an estimated up to nearly $700 million in revenue for the North Korean manufacturers, one of which was owned by the North Korean military.
As alleged in the indictment, cigarette trafficking, including in counterfeit cigarettes, generates significant revenue for advancing North Korea’s Weapons of Mass Destruction (WMD) programs, including its nuclear weapons, which North Korea has been developing since at least 2006. Counterfeit cigarettes are a major source of income to the North Korean regime, as smuggled tobacco products are estimated to garner revenue of up to $20 on every $1 spent in cost.
In conjunction with today’s announcement, the U.S. Department of State is announcing a reward of $5 million for defendant Sim, and a reward of $500,000 for defendants Qin and Han, for information leading to the capture of these three charged defendants. On April 24, the Department of the Treasury designated defendant Sim as a Specially Designated National, preventing him from accessing the U.S. banking system.
“The FBI remains steadfast in its commitment to investigate North Korea’s evasion of sanctions placed on its government,” said Assistant Director Suzanne Turner of the FBI’s Counterintelligence Division. “This illegal conduct and the levied penalties show how serious of an offense it is to assist the North Korean regime to the detriment of the international community. To those contemplating similar actions, be forewarned: the full force of the FBI and its federal law enforcement partners will find you.”
If convicted, the defendants face a maximum statutory penalty of 30 years in prison for bank fraud. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Phoenix Field Office handled both investigations, and HSI Colorado partnered in the investigation on the individuals. The Justice Department’s Office of International Affairs provided valuable assistance.
Assistant U.S. Attorney Karen P. Seifert, with assistance from Assistant U.S. Attorney Steven Wasserman, Paralegal Specialists Brian Rickers and Paralegal Specialist Jorge Casillas for the District of Columbia, is prosecuting the cases. Trial Attorneys Beau Barnes and Emma Ellenrieder of the National Security Division’s Counterintelligence and Export Control Section partnered on these matters.
This case is part of a larger Justice Department strategy for countering nation-state threats, including the ongoing efforts of North Korea to evade sanctions and use the U.S. financial system to engage in illicit trafficking. Trial Attorney David Recker, former Assistant U.S. Attorney Michael Grady, and former FBI Special Agent David F. Williams, former FBI Special Agent Joy Gallante and former FBI Intelligence Analyst Nick Carlsen all participated in prior phases of the multi-year investigation.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.