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13 April 2023
Casper Man Sentenced to 170 Years on Six Counts of Child PornographyRead the Press Release
Salvador Salas, Jr., age 32, of Casper, Wyoming, was sentenced today to 2,040 months (170 years) of imprisonment, with 10 years of supervised release to follow if he were ever to be released from his term of imprisonment, for possessing and producing child pornography. A jury convicted Salas after a three-day trial, held in Casper, January 23-25, 2023.
The court ordered $132,056 in restitution to cover the expenses for the victim’s care and treatment and $600 in special assessments. Chief U.S. District Court Judge Scott W. Skavdahl imposed the sentence.
Based on trial evidence, Salvador Salas was a family friend who was entrusted with the minor victim, a 13-year-old girl. Salas, a graphic artist clothing designer and DJ, had offered to mentor the child, teaching her clothing and shoe design. However, the minor victim arrived home in the early morning hours of February 28, 2021, exhibiting signs of illicit substance intoxication, behaving strangely, and shaking. Her mother took the minor victim to the emergency room. There, she presented with burns on her lips consistent with a methamphetamine pipe and tested positive for methamphetamine. The mother sought the minor victim’s admission to the Wyoming Behavior Institute. The mother also reported to the police that the minor victim was with Salas at his home and had come home high.
Believing that Salas had supplied drugs to a minor, the Casper Police Department executed a search warrant at Salas’s home for evidence of drugs. Officers recovered methamphetamine, paraphernalia associated with methamphetamine use, cocaine, and buprenorphine. While there, officers developed probable cause to believe that Salas had taken sexually explicit images of the minor victim. The same day, officers executed a second search warrant at Salas’s home and collected his electronic devices.
On his devices, the Wyoming Internet Crimes Against Children Task Force (ICAC) found child pornography that had been downloaded from the internet, which featured the graphic sexual abuse of prepubescent children, and five videos and 47 photographs of the minor victim. The images of the minor victim depict Salas sexually abusing her. In the audio that accompanies the videos, Salas can be heard talking to the minor victim and remarking that she is just 13 years old. The videos and photographs were taken in Salas’s home.
As part of the follow up investigation, testing of the minor victim’s clothing revealed semen and Salas’s DNA in her panties. Additionally, Salas admitted to police that he engaged in sex acts with the minor victim and recorded it using his iPhone.
“The evidence in this case demonstrated that Salas is a sexual predator—someone who manipulated people that trusted him. He used his relationship with the minor victim’s mother to gain access to the child. Once he had that access, he supplied the child with drugs, making her even more vulnerable to his sexual abuse. This kind of trauma devastates the victims, the families, and the communities in which it occurs. The long sentence imposed by Judge Skavdahl is just punishment for Salas. Hopefully, it also can be the first step towards healing the victim,” said United States Attorney Nicholas Vassallo.
“Those who exploit children will always be a focus of FBI resources. Our partners like the Casper Police Department enable us to identify, prioritize, and investigate individuals who victimize children and to prevent future abuse,” said FBI Denver Special Agent in Charge Mark Michalek. “While this man will no longer be able to harm children, we know his victim will continue to need support. The significant sentence and restitution in this case recognizes the lasting impact on the survivor of this horrific crime and provides for appropriate care and treatment.”
This crime was investigated by Homeland Security Investigations, the Federal Bureau of Investigation, the Wyoming Division of Criminal Investigation, and the Casper Police Department. The case was prosecuted by Assistant United States Attorneys Christyne Martens and Stephanie Sprecher.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat child sexual exploitation and abuse. 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.
Case Number: 0:21-CR-00077-SWS
Career Offender Sentenced to More Than Twelve Years for Drug TraffickingRead the Press Release
Tampa, FL – U.S. District Judge Susan C. Bucklew has sentenced Derek Wallace (46, Tampa) to 12 years and 7 months in federal prison for possession with the intent to distribute fentanyl and methamphetamine. Wallace had pleaded guilty on November 29, 2022.
According to court documents, on January 5, 2022, Wallace arranged a drug transaction with a confidential source. Officers arrested Wallace when he arrived at the transaction location, he had fentanyl and methamphetamine in his possession. An additional 45 grams of fentanyl and 234 grams of methamphetamine were located in his residence. Wallace was on probation at the time.
This case was investigated by the Federal Bureau of Investigation and the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Samantha Beckman.
Canadian Fugitive Sentenced to 97 Months in Prison for Distribution and Possession of Child PornographyRead the Press Release
NEWARK, N.J. – A Bronx, New York, man was sentenced on April 10, 2023, to 97 months in prison and five years of supervised release for distributing and possessing images of child sexual abuse. Perth De, aka Parthasarthie Kapoor, 53, pleaded guilty on Aug. 12, 2022, before U.S. District Judge Madeline Cox Arleo in Newark federal court to an information charging him with one count of distribution of child pornography and one count of possession of child pornography.
California Man Sentenced to 70 Months for Transporting Methamphetamine in Lawn Mower TiresRead the Press Release
EAST ST. LOUIS – A man from California was sentenced to 70 months in federal prison after he admitted to transporting 11 pounds of crystal methamphetamine to Fairview Heights, Illinois.
Luis A. Aguilar-Caldera, 31, of Chula Vista, California, pled guilty to one count of manufacture, distribute, dispense, or possess a controlled substance. After serving his prison sentence, he will be placed on supervised release for two years.
“As a transportation hub, southern Illinois roadways are frequented by out-of-state drug dealers who target operations and plan distribution,” said U.S. Attorney Rachelle Aud Crowe. “Agents with the DEA work diligently to help prevent the poison from reaching our communities, and I appreciate their efforts.”
According to court documents, a confidential informant working with the DEA set up a controlled purchase of methamphetamine from a Mexico-based supplier in May 2021. The individual met two men in a Ford F-150 at the Flying J truck stop in Alorton, Illinois. Aguilar-Caldera was the passenger in the truck that was pulling a lawn mower on a trailer. Aguilar-Caldera told the confident source there were 11 pounds of methamphetamine located in the tires of the lawn mower.
As the Ford F-150 and the confidential source were driving to a mechanic shop to remove the tires and retrieve the drugs, DEA agents conducted a traffic stop in Fairview Heights and arrested the men in the truck.
Co-defendant Leonardo Andres Hernandez, 49, of Bentonville, Arkansas, was also named in the indictment and is facing a charge for manufacture, distribute, dispense, or possess a controlled substance.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The Drug Enforcement Administration led the investigation, and Assistant U.S. Attorney Daniel Carraway prosecuted the case.
California Couple Pleads Guilty to Methamphetamine and Fentanyl TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Bryce Stanger, age 34, and Tanya Stanger, age 33, of San Yisidro, California, pleaded guilty on April 11, 2023, before U.S. District Court Chief Judge Matthew W. Brann, to conspiracy to distribute methamphetamine and fentanyl.
According to United States Attorney Gerard M. Karam, Bryce and Tanya Stanger admitted to conspiring to distribute more than 500 grams of methamphetamine and more than 400 grams of fentanyl. The charge stems from an incident on August 25, 2021, in which members of the Pennsylvania State Police made a traffic stop of a vehicle in Union County. Bryce and Tanya Stanger were the occupants of the vehicle. A subsequent search of the vehicle resulted in the seizure of approximately thirty pounds of crystal methamphetamine and a kilogram of fentanyl.
The investigation was conducted by the Pennsylvania State Police and the Federal Bureau of Investigations Safe Street Task Force. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The charges carry a mandatory minimum sentence of ten years in prison. The maximum penalty under federal law is up to life in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Bristol Man Sentenced to 46 Months Imprisonment for Possession of Firearms and Impersonating A Deputy U.S. MarshalRead the Press Release
GREENEVILLE, Tenn. – On April 13, 2023, Bobby Rowe Maggard, Jr., 47, of Bristol, Tennessee, was sentenced to 46 months in prison by the Honorable Clifton L. Corker, in the United States District Court for the Eastern District of Tennessee at Greeneville.
On January 11, 2023, Maggard pled guilty to one count of possession of a firearm by a felon, in violation of 18 U.S.C. §922(g)(3), and one count of impersonating a Deputy U.S. Marshal, in violation of 18 U.S.C. § 912. Upon his release from imprisonment, Maggard will be on supervised release for 3 years.
According to an Agreed Factual Basis filed with the Court on January 11, 2023, in August 2000, Maggard was convicted of the felony offense of Grand Larceny in Tazwell County, Virginia. In 2021, he became employed as a registered bonding agent for a bonding company in east Tennessee. In July 2021, law enforcement began receiving information that a person was representing himself as a Deputy U.S. Marshal, with one incident arising in Sullivan County, Tennessee. Maggard was identified as a suspect. When questioned by law enforcement, Maggard admitted that he was a felon and that he knew it was unlawful for him to possess a firearm. He also admitted that he used a fake Deputy U.S. Marshal’s badge and patch, which he had purchased on the internet, to pose as a Deputy U.S. Marshal when he was securing information from people. He stated that he impersonated a Deputy U.S. Marshal to people in order to “scare them in to telling the truth.” He also admitted to falsely using the identity of a Deputy U.S. Marshal to obtain repair services for an Apple watch. At the time of his questioning, Maggard was on supervised probation in Sullivan County, Tennessee, for Failure to Appear. Law enforcement conducted a search of his residence and recovered eight (8) firearms - three (3) Glock pistols, four (4) AR-style rifles in various calibers, and a 12-gauge tactical shotgun.
This case was the result of an investigation by the Sullivan County Sheriff’s Office, the United States Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
“The impersonation of a Deputy U.S. Marshal, while armed and after having been convicted of a felony offense, placed the public in danger,” said U.S. Attorney Francis M. Hamilton III. “Our office will vigorously investigate and prosecute those who engage in this conduct.”
“The United States Marshals Service very much appreciates the great work of the U.S. Attorney’s Office, ATF and ATF Task Force Officer Farmer of the Sullivan County Sheriff’s Department for their excellent work on this investigation,” said United States Marshal David Jolley.
“We are pleased with the outcome of this case and the work of our detectives and federal partners. Taking dangerous armed felons off our streets is imperative for the public’s safety,” said Sheriff Jeffrey Cassidy, of the Sullivan County Sheriff’s Office.
Assistant U.S. Attorney B. Todd Martin represented the United States.
This case also was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Brewer Woman Faces up to 30 Years for Wire Fraud, Making False Statements to a Lending Business & Making Straw PurchaseRead the Press Release
BANGOR, Maine: A Brewer woman pleaded guilty in U.S. District Court in Bangor today to wire fraud and making false statements to a mortgage lending business. She also pleaded guilty to a separate charge of making a false statement to a licensed firearms dealer.
According to court records, between November 2020 and April 2021, Carol Bragdon, 49, provided false statements and representations to a residential mortgage lender for the purpose of obtaining a U.S. Department of Veterans Affairs (VA) backed loan. She used Google email accounts to communicate with the lender and the VA and to transmit documentation as part of the scheme. The emails were transmitted from Maine to another state.
In August 2021, Bragdon purchased five firearms at Maine Military Supply in Brewer, falsely stating that she was the actual purchaser of the firearms. She was accompanied by an individual who directed her to specific firearms and who was later arrested with one of the firearms, a Walther model PK380 .380 caliber pistol. That individual was prohibited from purchasing a firearm under federal law.
Straw purchasing typically involves a buyer who can lawfully purchase firearms but who then provides them to another person who is legally prohibited from purchasing or possessing firearms, therefore allowing the prohibited person to illegally obtain firearms and avoid the national background check system.
Bragdon faces up to 30 years in prison and up to five years of supervised release. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The VA Office of Inspector General and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the cases.
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Brevard County Man Sentenced to 15 Years in Federal Prison for Drug OffenseRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Anthony David Keels (61, Titusville) to 15 years in federal prison. In December 2022, Keels had pleaded guilty to conspiracy to possess with the intent to distribute fentanyl and methamphetamine, as well as using a minor to distribute methamphetamine.
According to evidence admitted at sentencing, Keels had an extensive criminal history involving more than 20 felony and 10 misdemeanor convictions. From March through September 2022, during undercover drug buys and pursuant to a search warrant at Keel’s home. law enforcement recovered more than 200 grams of a fentanyl analogue, approximately 190 grams of fentanyl, approximately 25 grams of methamphetamine, 3.5 grams of cocaine, and .5 grams of crack cocaine. In addition, during this conspiracy, Keels enlisted the assistance of at least three others, one of which was a 14-year-old child, to distribute methamphetamine.
Brevard County Sheriff Wayne Ivey stated, "I applaud this partnership and the agencies involved who brought this dangerous drug dealer to justice. Through their outstanding efforts, an individual who actively participated in the distribution of a powerful drug responsible for the majority of our overdose deaths has been removed from our communities.”
“Illicit fentanyl is the primary driver of the drug overdose and poisoning deaths currently devastating our communities. DEA remains committed to holding anyone who chooses to bring this poison into our communities accountable for their actions, particularly those who endanger children for their own profit,” said Deanne Reuter, Special Agent in Charge of the DEA Miami Field Division. “This investigation highlights our dedication and our commitment to working with our local law enforcement partners to keep our communities safe and healthy.”
This case was investigated by the Brevard County Sheriff’s Office and the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Shawn P. Napier.
Bozeman man admits traveling with intent to engage in sex with a juvenileRead the Press Release
MISSOULA — A Bozeman man suspected of traveling to other state to have sex with a juvenile admitted to charges today, U.S. Attorney Jesse Laslovich said.
Zachary Vernon Stephens, 34, pleaded guilty to travel with intent to engage in illicit sexual conduct. Stephens faces a maximum of 30 years in prison, a $250,000 fine and five years to a lifetime of supervised release.
U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for Aug. 24 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Stephens was detained pending further proceedings.
In court documents, the government alleged that in September 2021, while investigating Stephens on allegations of stalking a person in the Bozeman area, law enforcement learned that Stephens had been communicating with another individual, a 12-year-old girl, who was in Utah. Electronic communications between Stephens and the girl, identified as Jane Doe, were sexually explicit and discussed a previously planned trip of Stephens to Utah in July 2021 to engage in sex acts with Jane Doe. The messages also indicated that Stephens had met Jane Doe for sex acts prior to July 2021, including a trip to Nevada in June 2021.
Assistant U.S. Attorney Zeno B. Baucus is prosecuting the case, which was investigated by the FBI.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Arkansas Man Charged with Flying to Albany in Attempt to Meet 11-Year-Old for SexRead the Press Release
ALBANY, NEW YORK – Kyle Biswell, age 37, of Fayetteville, Arkansas, was charged this week with one count of interstate travel for illicit sexual conduct. United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
According to a federal complaint filed earlier this week, earlier this year Biswell engaged in a series of online conversations with a person in Albany whom he believed would allow him to engage in sexual contact with an 11-year old relative. On April 8, 2023, Biswell flew from Arkansas to Albany to engage in sexual contact with the minor, packing numerous Viagra pills in his suitcase. He was arrested at the airport, and later admitted he flew to Albany with the intent to engage in sexual contact with a minor. Biswell was detained pending a detention hearing later this week. The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
If convicted of the charge, Biswell faces up to 30 years in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case is being investigated by the FBI and its Child Exploitation Task Force, which includes members of federal, state, and local law enforcement agencies, including the Colonie Police Department and the New York State Police. Assistant United States Attorney Benjamin S. Clark is prosecuting the case as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Arkansas Doctor Sentenced to More Than Eight Years in Federal Prison for Accepting Kickbacks, Defrauding TRICARE, and Failed Attempts to Obstruct InvestigationRead the Press Release
LITTLE ROCK—An Arkansas doctor at the heart of a $12 million scheme to defraud TRICARE will spend the next 102 months in federal prison. Earlier today, United States District Judge Kristine G. Baker sentenced Joe David May, a.k.a. Jay May, 42, of Alexander, to 102 months’ imprisonment and ordered him to pay more than $4.63 million in restitution to TRICARE, the health insurer for our nation’s military.
A 2020 indictment charged May with twenty-two counts, including conspiracy, wire fraud, mail fraud, violating the anti-kickback statute, lying to the FBI, falsifying records, and aggravated identity theft. After a six-day trial in June 2022, a jury convicted May on all twenty-two counts.
Proof at trial showed May stood at the center of a bogus prescription-drug assembly line and, later, went to great lengths in a failed bid to cover it up.
As part of the scheme, recruiters found military personnel and veterans with TRICARE and filled out prescriptions for compounded drugs in their names—selecting which drugs to supply (usually the most expensive) and how many refills to authorize. All that was missing were prescriber signatures. So, middlemen routed the pre-filled prescriptions to medical professionals, like May, to be rubber stamped without consulting the ‘patient’ or any regard for whether drugs were needed. TRICARE paid over $12 million for prescriptions generated in this scheme, part of a wave of fraudulent schemes around the country that saw TRICARE spend over $2 billion for compounded prescription drugs in 2015.
In exchange for thousands in cash kickbacks, May rubber stamped 226 prescriptions for which TRICARE paid over $4.63 million. All but one of his prescriptions were for ‘patients’ May did not know, never treated, and knew nothing about.
Following the execution of search warrants at compounding pharmacies around the country, May visited the FBI to answer questions about his prescriptions. May lied by claiming he only signed prescriptions for people he evaluated and denying he received kickbacks. Obstruction continued when May got a subpoena for prescriptions and related ‘patient’ records. May turned over but a fraction of the prescriptions he signed and fabricated medical records to make it seem like the drug recipients were really his patients. Finally, as trial approached, May tried to mischaracterize a $5,000 cash kickback as Oaklawn winnings from the 2015 Arkansas Derby.
All nine of May’s co-conspirators pled guilty to conspiracy and elected to cooperate with federal law enforcement, with several testifying at trial. All but one co-conspirator has been sentenced:
Name
Age
Hometown
Case No.
Sentence
Derek Clifton
41
Alexander, Ark.
4:20-CR-25
51 mos. imprisonment, $1.1M forfeiture
Albert Glenn Hudson
42
Sherwood, Ark.
4:20-CR-129
48 mos. imprisonment, $1.5M forfeiture
Donna Crowder
68
North Little Rock
4:20-CR-130
12 mos. 1 day imprisonment, $18K fine
Jennifer Crowder
40
Little Rock
4:20-CR-131
12 mos. home confinement, $89K forfeiture
Keith Benson
52
North Little Rock
4:20-CR-132
15 mos. imprisonment, $727K forfeiture
Kenneth Myers, Jr.
44
Maumelle, Ark.
4:20-CR-25
3 years probation, $68K forfeiture
Keith Hunter
54
Little Rock
4:20-CR-235
TBD
Through the prosecution of May and his nine co-conspirators, the United States has recovered nearly $8 million in restitution, forfeiture, and fines.
“Our healthcare system is built on trust, and those who abuse it do so at their peril,” said Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas. “Dr. May accepted kickbacks, cheated TRICARE, and tried to deceive federal agents investigating his crimes. Now, he will trade hospital scrubs for a prison uniform. Let his case serve as a warning to others in the medical industry. Our office and our partners at the FBI and HHS-OIG are committed to rooting out anyone who succumbs to the temptation of ‘easy money.’”
“By defrauding TRICARE, Dr. May stole from our service men and women, military retirees, and their families. He robbed Americans who had sworn an oath to defend our nation, and he pickpocketed American taxpayers,” said FBI Little Rock Special Agent in Charge James A. Dawson. “Today’s sentencing induces accountability, and demonstrates there is no place in our society for the behavior exhibited by Dr. May. The FBI and its partners will continue to aggressively investigate those who undermine the integrity of our nation’s healthcare system.”
“Federal healthcare programs rely on the honesty and integrity of doctors to prescribe medically necessary medications to their patients,” said Special Agent in Charge Jason E. Meadows of the U.S. Department of Health and Human Services, Office of Inspector General. “On the contrary, Dr. May signed pre-filled prescriptions filled out by a pharmaceutical rep for patients he had no doctor-patient relationship with and all on the backs of the American taxpayer. HHS-OIG is laser-focused on investigating doctors and other medical professionals who lie, cheat, and steal from American taxpayers for their own personal benefit, and we will continue to work with our law enforcement partners and the U.S. Attorney’s Office to hold them accountable.”
In addition to the 102-month prison sentence, Judge Baker sentenced May to three years’ of supervised release following imprisonment. May was also ordered to pay more than $4.63 million in restitution and a $2,200 special assessment. The investigation was conducted by the FBI and HHS-OIG. The case was prosecuted by Assistant United States Attorneys Alexander D. Morgan and Stephanie G. Mazzanti.
This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Adobe Inc. Agrees to Pay $3 Million to Settle Kickback Allegations Involving Federal Software SalesRead the Press Release
Adobe Inc. has agreed to pay $3 million to resolve False Claims Act allegations that it made payments in violation of the Anti-Kickback Act in return for influence over the sale of Adobe software to the federal government.
“Those who do business with the government are prohibited from paying kickbacks, which can result in unnecessary purchases and increase costs to taxpayers,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will continue to use all appropriate tools to safeguard the integrity of the federal procurement process.”
The settlement announced today resolves allegations that Adobe made improper payments under its Solution Partner program to companies that had a contractual or other relationship with the government that allowed them to influence federal purchases of Adobe software. Between January 2011 and December 2020, Adobe allegedly paid the companies a percentage of the purchase price of the software. The United States contends that these payments constituted prohibited kickbacks that resulted in Adobe causing false claims for payment to be submitted to federal agencies.
“A fair market relies heavily on an even playing field,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “When a company, vendor, or business owner tips the scales to their advantage, it undermines the system. When government dollars are involved, it means taxpayers ultimately bear the burden. Whistleblowers – like those in this case – are to be commended for trying to return the playing field to level.”
“The General Service Administration Office of the Inspector General (GSA-OIG) will continue working to protect taxpayer dollars and the integrity of federal contracting,” said Inspector General Carol F. Ochoa of the GSA. “I appreciate the hard work of the special agents, auditors, and attorneys on this case.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Alan Dowless, Barbara Evans, and Carrie Whalen, who are all former Adobe managers. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. As part of this resolution, Dowless, Evans, and Whalen will receive $555,000. The qui tam case is captioned United States ex rel. Dowless v. Adobe, Inc., Civil Action Number 17-cv-02039 (D.D.C.).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the District of Columbia, with assistance from the GSA-OIG and the Defense Criminal Investigative Service.
Senior Trial Attorney Greg Pearson of the Civil Division and Assistant U.S. Attorney Benton Peterson for the District of Columbia handled the matter.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Additional Charges Filed in Connection with Violent Armed Robbery on Martha's VineyardRead the Press Release
BOSTON – A superseding indictment has been filed in Boston in connection with the Nov. 17, 2022 armed bank robbery of the Rockland Trust Bank in Tisbury, Mass.
Miquel Antonio Jones, 31, of Edgartown, Mass. and Tevin Porter, 27 of Bridgeport, Conn., were charged in a superseding indictment with one count each of conspiracy to commit armed bank robbery, and one count of armed bank robbery and aiding and abetting. Romane Andre Clayton, 21, of Jamaica, was also charged in the superseding indictment with one count of bank robbery and aiding and abetting. Jones and Clayton will appear in federal court in Boston at a later date. Following an initial appearance yesterday in federal court in Connecticut, Porter was detained pending a 11:30 a.m. hearing tomorrow.
Jones and Clayton were initially arrested and charged by criminal complaint in December 2022. Jones and Clayton were subsequently indicted by a federal grand jury along with alleged co-conspirator Omar Johnson on March 16, 2023.
“These defendants terrorized and spread panic across the communities of Martha’s Vineyard, and we have now charged a fourth person involved,” said United States Attorney Rachael S. Rollins. “We believe these men worked together in an armed bank robbery that involved at least two deadly semi-automatic firearms – one of which was held to an employee’s head – and went to great lengths in attempt to conceal their involvement. Massachusetts residents deserve to live and work without fear. We will hold violent individuals accountable, particularly when they use firearms during their crimes.”
“Today, the FBI arrested the fourth member of a crew that is accused of committing a violent armed bank robbery on Martha’s Vineyard, which terrorized innocent bank tellers and bystanders just trying to go about their daily lives. It’s incredibly fortunate no one was hurt,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Bank robbery is not an easy payday, it is a federal crime, and FBI Boston’s Violent Crimes Task Force and our law enforcement partners will do everything in our power to ensure perpetrators are brought to justice, like we did in this case.”
According to the charging documents, on the morning of Nov. 17, 2022, Porter, Jones and Johnson forced their way through the rear door of the Rockland Trust Bank in Tisbury. The men were allegedly armed with at least two semi-automatic handguns and wearing dark colored clothing and white masks that resembled an elderly man with exaggerated facial features. Once inside the bank, one of the individuals allegedly held a gun to the head of one of the bank employees, forced that employee to open the bank’s vault and took approximately $39,100. It is alleged that the bank employees were bound with duct tape and plastic zip ties while their belongings were searched and the robbers demanded access to one of their vehicles.
The charging documents further allege that Jones, Porter and Johnson then left the bank premises in an employee’s car and drove to the Manuel Correllus State Forest, where they abandoned the vehicle in a parking lot and fled in another vehicle that had been left there for purposes of their escape. It is also alleged that Porter and Clayton then left Martha’s Vineyard together on a ferry later that morning.
Meanwhile, Johnson and Jones allegedly drove to a local farm with the equipment that had been used during the bank robbery. It is alleged that, at the farm, two firearms used in the robbery were found buried in a hole in the ground and the remainder of the robbery equipment, including the plastic masks, were found burned.
After the evidence was disposed of, Jones returned home to his residence where he allegedly hid the approximately $39,100 that had been stolen from the bank, in his bedroom under a bureau. It is further alleged that Johnson left Martha’s Vineyard, reconvened with Porter and Clayton in Woods Hole, Mass. and then drove together to the area of Johnson’s home in New Hampshire.
The charge of armed bank robbery provides for a sentence of up to 25 years in prison, five years of supervised release and a fine of $250,000. The charge of conspiracy to commit armed bank robbery provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of bank robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins and FBI SAC Bonavolonta made the announcement today. Valuable assistance was provided by United States Postal Inspection Service; Bureau of Alcohol Tobacco and Firearms; Immigration and Customs Enforcement; United States Customs and Border Protection; Massachusetts State Police; Cape & Islands District Attorney’s Office; and the Tisbury, West Tisbury, Edgartown, Chilmark, Oak Bluffs, Aquinnah, Canterbury (N.H.) and New Haven (Conn.) Police Departments. Assistant U.S. Attorneys Meghan C. Cleary and Kenneth G. Shine of Rollins’ Major Crimes Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
35 Years in Federal Prison for Convicted Cocaine TraffickerRead the Press Release
LITTLE ROCK—A Saline County man was sentenced to 35 years in federal prison for his role in a conspiracy to distribute cocaine. Thursday afternoon, United States District Judge Brian S. Miller sentenced O.C. Rawls, 50, of Benton, to 420 months’ imprisonment.
The case is the result of an investigation by the Drug Enforcement Administration into the drug-trafficking activities of Rawls and several others beginning in January of 2019. Using a confidential informant, DEA agents made three controlled purchases of cocaine from Rawls. During the investigation, agents learned that Rawls and other members of his drug-trafficking organization were traveling to Houston, Texas, to purchase kilograms quantities of cocaine for redistribution in the central-Arkansas area. In May 2019, agents executed search warrants at Rawls’ residence and the residences of several co-conspirators. Agents recovered cocaine, marijuana, firearms, ammunition, and approximately $19,000 in cash.
Rawls was charged in November 2019 with conspiracy to possess with intent to distribute cocaine and crack cocaine, and three counts of possession with intent to distribute and distribution of cocaine. The defendant was convicted after a two-day jury trial in July 2022.
Rawls has a prior federal criminal conviction for possession of crack cocaine with intent to distribute, for which he received 150 months’ imprisonment in 2006. He received a sentencing enhancement in this case for committing another drug-trafficking offense.
In addition to the 35-year prison sentence, Judge Miller sentenced Rawls to serve ten years of supervised release following imprisonment and pay a $400 special assessment. There is no parole in the federal system.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
14 Individuals Charged in Drug Trafficking Money Laundering ConspiracyRead the Press Release
SAN JUAN, Puerto Rico – On March 10, 2023, a federal grand jury in the District of Puerto Rico returned a 62-count indictment charging 14 individuals with money laundering and narcotics offenses.
According to court documents, beginning no later than March 2020, the defendants conspired and agreed with each other to conduct over $5 million in financial transactions involving proceeds from drug trafficking. They used the U.S. financial system to conceal proceeds from dealing with controlled substances and transferred those illicit proceeds from places within the United States including Puerto Rico, to places outside the United States, including the Republic of Colombia.
Counts 2 to 52 of the indictment detail 51 financial transactions ranging from $16,036.90 to $1,109,960 involving proceeds from drug trafficking. Counts 53 to 59 charge defendant Carlos Javier Ruiz-Patiño, a/k/a “Hustler Man/Jordan/El Chamo”, of international concealment money laundering. It is alleged that the defendant transferred or transported a total of $964,944.35 from Puerto Rico to Colombia and Canada. Counts 60 to 62 include Narcotics Importation Conspiracy, aiding and abetting, and Narcotics Conspiracy.
Defendant Carlos Javier Ruiz-Patiño is an Organized Crime Drug Enforcement Task Force (OCDETF) Regional Priority Organizational Target (RPOT). The RPOT List includes leaders of significant drug trafficking and money laundering organizations that are primarily responsible for a region’s drug threat. Ruiz-Patiño was arrested on March 9, 2023. The defendants arrested today are: Roberto Brioso-Canario, David Luis Zapata-Félix, Walter Alexis Daynes-Torres, and Jesús Alberto Oriol-Cabán. Defendants Guillermo Andrés Beltrán-Osorio, Enmanuel Matos-Matos, Edgardo Delgado-Carmona, Rafael Cruz-Montalvo, Edgar Omar Báez-Vargas, and Franky Pagán-Mendoza were previously arrested. Authorities are actively working on the arrest of three other defendants who are charged in the conspiracy.
The indictment includes a forfeiture notice regarding the following property:
- One Cessna Model 310Q Aircraft, PT-JST, its flight and maintenance logs and manuals, together with associated tools and spare parts seized on November 11, 2022
- $139,940 in U.S. currency seized on June 5, 2020
- $179,900 in U.S. currency seized on September 10, 2020
- $1,000,130 in U.S. currency seized on September 30, 2020
- $1,009,960 in U.S. currency seized on March 7, 2022
- $102,461 in U.S. currency seized on October 19,2022
“The U.S. Attorney’s Office is committed to disrupting and dismantling transnational criminal organizations that distribute contraband, launder illicit proceeds, and attempt to corrupt our society,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “I would like to recognize the extraordinary efforts of our federal law enforcement partners for taking down a criminal organization that laundered drug proceeds for drug cartels. Drug traffickers and money launderers operate globally, but this investigation demonstrates that they will be brought to justice wherever they are found.”
“It’s my privilege to recognize the efforts performed by agents from the DEA and our partner agencies in our crusade to rid the public of these dangerous individuals that do nothing but harm our society,” said Denise Foster, Special Agent in Charge of DEA, Caribbean Division. “From Drug Traffickers to money launderers, the DEA will bring all it has to bear to make our communities safer and healthier, and to reverse the devastating trends of drug-related violence and overdoses plaguing our Communities.”
If convicted of the charged money laundering offenses, the defendants face a maximum term of 20 years in prison. If convicted of the charged narcotics offenses, the defendants face a mandatory minimum term of 10 years and up to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Drug Enforcement Administration (DEA) is in charge of the investigation of the case with the collaboration of FBI, HSI, IRS, and the Puerto Rico Police Bureau.
Assistant U.S. Attorney Daniel J. Olinghouse of the Asset Recovery and Money Laundering Division of the U.S. Attorney’s Office for the District of Puerto Rico is leading the prosecution of this OCDETF matter. The announcement was made by United States Attorney W. Stephen Muldrow and DEA Special Agent in Charge Denise Foster.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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12 April 2023
Winter Haven Man Admits to Sexually Exploiting A 15-Year-Old Girl and to Fraud ChargesRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that Billie Harold McDuffie, Jr. (36, Winter Haven) has pleaded guilty to a six-count indictment charging him with one count of enticement of a minor to engage in sexual activity, one count of possessing device making equipment, one count of possessing 15 or more unauthorized access devices, and three counts of aggravated identity theft. He faces a minimum mandatory term of 10 years, up to life, in prison for the enticement offense, up to 10 years’ imprisonment for each of the access device offenses, and a mandatory consecutive term of imprisonment of 2 years’ imprisonment on each aggravated identity theft offense. He is scheduled for sentencing on July 18, 2023.
According to court documents, McDuffie met the 15-year-old child victim online and enticed her to engage in sexually explicit conversations using a cellphone and social media. For five months, McDuffie repeatedly engaged in sexual contact with the child victim, even after she confirmed that she was a minor. An online tipster notified the Federal Bureau of Investigation of McDuffie’s sexual misconduct with the child.
On July 21, 2022, a search warrant was executed at McDuffie’s residence, where agents found both McDuffie and the child victim. Agents returned the child to her family and arrested McDuffie.
During their search of the residence, agents found evidence related to McDuffie’s fraud activities. The evidence included blank check paper, packets of stolen identities, multiple fraudulent debit and credit cards, fraudulent driver licenses, card encoders, and printers.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Polk County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Courtney D. Richardson-Jones.
This is another case 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.
Winchester Man Pleads Guilty to Selling Fatal Dose of FentanylRead the Press Release
HARRISONBURG, Va. – A Winchester, Virginia man, who sold a fatal dose of fentanyl in October 2020, pleaded guilty yesterday to federal drug charges.
Kenneth James Hughes Jr., 27, pleaded guilty yesterday in U.S. District Court in Harrisonburg to two counts of distribution of fentanyl.
According to court documents, following a fentanyl overdose resulting in the death of the user on October 23 2020, an investigation by law enforcement revealed Hughes and his supplier to be the deceased user’s source of supply.
Law enforcement’s investigation revealed that Hughes sold drugs to a variety of individuals throughout the Western District of Virginia. In October 2020, one of Hughes’ customers contacted him in regard to acquiring fentanyl in the form of “pressed pills,” namely, fentanyl pills made to appear like Oxycodone 30 mg pills. Hughes contacted his supplier and arranged and facilitated a purchase of two pressed pills by the customer from his supplier.
The individual who purchased the pressed pills subsequently consumed the drugs and was found unresponsive the following morning at his home in Winchester. It was determined his death was the result of acute fentanyl intoxication.
Additionally, in November 2020, in Berryville, Virginia, Hughes sold twenty-two capsules containing fentanyl for $300 to a confidential informant working on behalf of law enforcement.
Hughes is scheduled to be sentenced on July 19, 2023 and faces a sentence of six to ten years in prison pursuant to a written plea agreement with the United States. A United States District Court Judge will determine the final sentence after consideration of the federal sentencing guidelines and the sentencing factors set forth by Congress.
The Northwest Virginia Regional Drug and Gang Task Force, the Winchester Police Department, the Frederick County Sheriff’s Office, the Virginia State Police, the Clarke County Sheriff’s Office, and the Drug Enforcement Administration - Washington Division investigated the case.
Assistant U.S. Attorney Zachary T. Lee is prosecuting the case.
Wesley Chapel Woman Convicted of Sexual Abuse of Inmate While Employed as A Prison GuardRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Fiona Eyana Palmer (39, Wesley Chapel) guilty of sexual abuse of an inmate. Palmer faces a maximum penalty of 15 years in federal prison. Her sentencing hearing will be scheduled for a later date. Palmer had been indicted on December 20, 2022.
According to testimony and evidence presented at trial, Palmer was employed as a correctional officer at the Coleman Federal Correction Complex when she engaged in sexual acts with an inmate at the prison. In two recorded phone calls between Palmer and the inmate, Palmer discussed the sexual acts and offered to send money to one of the inmate’s relatives.
This case was investigated by the Department of Justice Office of Inspector General. It is being prosecuted by Assistant United States Attorneys William S. Hamilton and Hannah Nowalk.
U.S. Attorney Announces Agreement with the City University of New York to Remedy the Exclusion of A Student with Visual ImpairmentsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced a voluntary compliance agreement under Title II of the Americans with Disabilities Act (“ADA”) with the City University of New York (“CUNY”) pursuant to which CUNY will provide individual relief to a student with visual impairments who was excluded from full participation in their academic courses and implement systemwide policies to ensure future compliance with the ADA across CUNY’s 25 colleges in the five boroughs of New York City, which collectively serve 243,000 students.
U.S. Attorney Damian Williams said: “It is simply unacceptable that any student should be denied equal access to an education because of a disability. We are pleased that CUNY has agreed to provide relief to the student whose education was compromised and that CUNY is committed to improving the accessibility of its courses, including online and digital content, for all future students.”
Title II of the ADA prohibits public entities from discriminating against any individual on the basis of disability by excluding the individual from participation in services, programs, and activities. The ADA requires public entities to make reasonable modifications to avoid such discrimination and to administer their services, programs, and activities in the most integrated setting appropriate to the needs of qualified individuals with disabilities, including by furnishing appropriate auxiliary aids and services to ensure effective communication.
The out-of-court agreement resolves an investigation during which the U.S. Attorney’s Office determined that CUNY failed to provide reasonable accommodations required under the ADA for a student with visual impairments at CUNY’s John Jay School of Criminal Justice and identified shortcomings in CUNY’s accessibility and reasonable accommodation policies and procedures. Specifically, the investigation found, among other things, that CUNY failed to make qualified learning assistants available to ensure an integrated learning setting for the student in numerous science and mathematics courses. Additionally, John Jay instructors required students to use WebAssign, a third-party online learning product, to complete assignments, but that digital platform was not fully capable of reading out mathematical and scientific symbols and equations. Furthermore, John Jay repeatedly failed to make usable versions of required textbooks and other course materials available to the student by the start of courses. The student made a number of attempts to bring the deficiencies to the attention of staff at John Jay and CUNY, but neither John Jay nor CUNY had adequate policies and procedures to ensure that reasonable accommodation requests and related complaints are addressed in a timely and appropriate manner. As a result, the student received unduly poor grades and was forced to forgo taking other desired and required advanced courses for a number of academic years.
CUNY has agreed to prepare and implement systemwide policies to ensure improved accessibility of educational content to visually impaired students, including digital learning content, proper training of staff and faculty, and effective reasonable accommodation and complaint procedures.
Under the agreement, CUNY will permanently purge all of the affected student’s grades in the relevant courses in which reasonable modifications were not provided and pay the student $10,000 in compensatory damages. CUNY will also adopt systemwide policies and procedures to ensure:
- The prompt availability of qualified learning assistants, including by initiating an appropriate and timely search process, involving the relevant affected students in that process, and setting a reasonable level of compensation likely to attract qualified candidates;
- The prompt availability of accessible course materials by the start of the relevant course or as soon as practicable based upon early consultations with affected students;
- Reasonable accommodation and complaint mechanisms based on clear, short deadlines by which accommodation requests and complaints must be addressed and remaining concerns are promptly escalated to higher-level administrators as necessary;
- Information Technology accessibility consistent with the latest Web Content Accessibility Guidelines, including via verification of the accessibility of third-party learning products and of instructors’ awareness of accessibility requirements for instructor-created content; and
- Training of faculty and accessibility-services staff on ADA requirements.
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This case is being handled by the Office’s Civil Rights Unit in the Civil Division. Assistant U.S. Attorney Stephen Cha-Kim is in charge of the case.
Two Minneapolis Men Indicted for Armed Carjacking, KidnappingRead the Press Release
MINNEAPOLIS – Two Minneapolis men have been indicted for violently carjacking, kidnapping, and holding a victim at gunpoint for several hours, announced U.S. Attorney Andrew M. Luger.
According to court documents, on the evening of February 14, 2023, a man called 911 to report that he had been kidnapped and robbed by three individuals, later identified as Jamal Timothy Funchess, 18, T’Shawn Teon Palton, 21, and a juvenile. The victim reported that he had made arrangements over Facebook Marketplace to buy a cell phone. The victim and the purported seller arranged to meet at a location in Columbia Heights. When the victim arrived at the location and was still in the car, Funchess and Palton approached, and one pointed a firearm at the victim. The men ordered the victim to the backseat of the car. The men then got into the victim’s car, drove a few blocks, and picked up the juvenile. The three individuals held the victim at gunpoint for the next several hours. Each of the three at some point held the firearm and pointed it at the victim. During this time, they demanded that the victim surrender his cell phone, wallet, credit cards, and banking information. They drove to several gas stations around the Twin Cities in an attempt to use the victim’s cards to withdraw money. At one point, one of the men struck the victim in the face with the firearm. Toward the end of the ordeal, the three men discussed what to do with the victim and openly talked about murdering him. Eventually, they dropped the victim on a road in St. Paul and drove away in the victim’s car. The victim ran to a nearby gas station and borrowed an employee’s cell phone to call 911.
Officers were able to use the location of the victim’s stolen cell phone to find Palton, Funchess, and the juvenile kidnapper, along with the victim’s stolen car and possessions.
The indictment charges Funchess and Palton with kidnapping, carjacking, and two counts of brandishing a firearm during a crime of violence. The defendants, who are currently in federal custody, previously made initial appearances on a related complaint in U.S. District Court before Magistrate Judge John F. Docherty.
This case is the result of an investigation conducted by the FBI, the Bloomington Police Department, and the Anoka County Sheriff’s Office.
Assistant U.S. Attorneys Sarah E. Hudleston and Matthew D. Forbes are prosecuting the case.
An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Chicago Men Sentenced to Prison After Coming to Iowa Numerous Times to Acquire GunsRead the Press Release
Two men from Chicago were sentenced to prison terms after coming to Iowa to purchase firearms illegally.
Artin Thomas, age 29, from Chicago, Illinois, received a prison term after a November 7, 2022 guilty plea to making a false statement during the purchase of a firearm. In a plea agreement, he admitted buying firearms in May, June, and July 2022 in Iowa and lying about his address at each purchase. He also admitted that he was a marijuana user at the time he purchased the firearms, which he did not disclose at the time of the purchases. He also admitted that he purchased the guns to resell them.
Thomas was sentenced on April 3, 2023, to 41 months’ imprisonment.
Javon Jones, age 27, from Chicago Illinois, received a prison term after a November 7, 2022 guilty plea to two counts of possession of a firearm by a felon. In his plea agreement, Jones admitted possessing firearms following felony convictions on two separate dates in July 2022. Thomas was previously convicted of mob action - fail to withdraw, simple assault, aggravated battery/peace officer, aggravated unlawful use of a weapon, unlawful use or possession of a weapon by a felon, resisting a peace officer/correctional officer/firefighter, and felon in possession or use of a firearm.
Jones was sentenced on April 11, 2023, to 46 months’ imprisonment.
Both Thomas and Jones were sentenced by United States District Court Judge C.J. Williams in Cedar Rapids, Iowa. They were each ordered to serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Thomas and Joes are being held in the United States Marshal’s custody until they can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and investigated by the Dubuque Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-cr-1025.
Follow us on Twitter @USAO_NDIA.
Two Arizona Residents Sentenced in South Dakota Meth ConspiracyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that District Court Judge Karen E. Schreier has sentenced Sean Gross, of Phoenix Arizona, and Brandie Rinnet, of Bullhead City, Arizona, on charges of Conspiracy to Distribute a Controlled Substance and Conspiracy to Commit Money Laundering. The sentencings took place on April 10, 2023.
Sean Richard Gross, age 40, was sentenced to 26 years and eight months in federal prison, followed by five years of supervised release on Count 1, Conspiracy to Distribute a Controlled Substance. Additionally, he was sentenced to 20 years in federal prison, followed by three years of supervised release on Count 2, Conspiracy to Commit Money Laundering. These sentences to run concurrently to one another. He was also ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
Brandie Rinnet, age 41, was sentenced to 21 months in federal prison, followed by three years of supervised release, on the charge of Conspiracy to Commit Money Laundering. She was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Gross and Rinnet were indicted together, along with three others, by a federal grand jury in December of 2021. Gross pleaded guilty on January 17, 2023, and Rinnet pleaded guilty on January 18, 2023.
Gross, along with others, came to an understanding to distribute 500 grams or more of methamphetamine in the District of South Dakota, and elsewhere. During Gross’ involvement, he reached an agreement to provide methamphetamine to Christopher Daniels in South Dakota. Daniels was previously sentenced to 30 years in federal prison for his involvement in this conspiracy. Gross sent Daniels methamphetamine to South Dakota through the mail and also delivered it to him in person, so that Daniels could further distribute the methamphetamine throughout South Dakota.
Daniels would then send the proceeds of his meth sales in South Dakota to Brandie Rinnet in Arizona, who accepted and attempted to conceal these transactions on behalf of Sean Gross. Gross instructed Daniels, and others, on the manner in which they should wire the money for the purpose of concealing the fact that the money sent was acquired from the sale of methamphetamine and to avoid implicating Gross’ involvement. Gross had multiple conversations with Daniels and Rinnet regarding the movement of funds derived from the sale of methamphetamine on behalf of the conspiracy.
This case was investigated by the Drug Enforcement Administration, U.S. Postal Inspection Service, IRS Criminal Investigation team, Sioux Falls Police Department, Minnehaha County Sheriff’s Office, Moody County Sheriff’s Office, and the South Dakota Highway Patrol. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Gross and Rinnet were immediately remanded to the custody of the U.S. Marshals Service.
Ten Defendants Charged with Decade-Long, Multi-Million-Dollar Scheme to Defraud International Cargo AirlineRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Thomas Fattorusso, the Special Agent in Charge of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced the unsealing of a four-count Indictment charging LARS WINKELBAUER, ABILASH KURIEN, CARLTON LLEWELLYN, ROBERT SCHIRMER, SKYE XU, BENJAMIN WEI, a/k/a/ “Ben Wei,” ALVARO LOPEZ, FABIOLA CINO, ORLANDO WONG, and PATRICK LAU, a/k/a “Pat Lau,” in connection with a massive scheme to defraud Polar Air Cargo Worldwide, Inc. (“Polar”), a leading cargo airline, of tens of millions of dollars in revenue and the honest services of its employees. Nine defendants were arrested today. KURIEN, LLEWELLYN, SCHIRMER, and LAU will be presented in federal court in Manhattan this afternoon. WEI and WONG will be presented later today in federal court in the Central District of California. LOPEZ and CINO will be presented later today in federal court in the Southern District of Florida. WINKELBAUER was arrested today in Thailand and is pending extradition to the United States. SKYE XU remains at large.
U.S. Attorney Damian Williams said: “As alleged, the 10 defendants charged today conducted a widespread scheme that tainted nearly every aspect of Polar Air Cargo Worldwide’s operations and that cost the company an estimated $52 million in losses. The defendants, all of whom were either employed in high-level positions by Polar or were vendors reliant on business arrangements with Polar, allegedly showed a blatant disregard for the integrity of their companies in favor of lining their own pockets. Their pervasive fraud ends today, and each defendant now faces substantial prison time for their alleged crimes.”
FBI Assistant Director Michael J. Driscoll said: “For more than a decade, the defendants allegedly utilized a complex set of schemes at the expense of Polar Air to line their own pockets. The indictments today serve as a reminder to any unscrupulous actors attempting complex frauds – the FBI will hold you accountable in the criminal justice system.”
IRS-CI Special Agent in Charge Thomas Fattorusso said: “Today’s charges are the opening salvo against a decade-long scam by a small group of Polar’s executives and others that allegedly tainted every aspect of its business operations. These arrests and charges today will hopefully begin the process of righting the alleged wrongs of those charged and put the company on a path to integrity, which its hardworking employees and legitimate customers deserve.”
As alleged in the Indictment:[1]
From at least in or about 2009 through in or about July 2021, LARS WINKELBAUER, ABILASH KURIEN, CARLTON LLEWELLYN, ROBERT SCHIRMER, SKYE XU, BENJAMIN WEI, ALVARO LOPEZ, FABIOLA CINO, ORLANDO WONG, and PATRICK LAU participated in a massive scheme to defraud Polar. At all relevant times, WINKELBAUER, KURIEN, LLEWELLYN, and SCHIRMER (collectively, the “Executive Defendants”) were senior executives of Polar. XU, WEI, LOPEZ, CINO, WONG, and LAU (collectively, the “Vendor Defendants”) owned and operated various Polar vendors and customers. The Executive Defendants agreed to accept millions of dollars in kickbacks from the Vendor Defendants and also reaped substantial financial benefits as a result of their secret ownership interests in certain Polar vendors, in exchange for ensuring that those vendors received favorable business arrangements with Polar. The fraud they perpetrated — which involved a substantial portion of Polar’s senior management and at least 10 customers and vendors of Polar — led to pervasive corruption of Polar’s business, touching nearly every aspect of the company’s operations, for over a decade.
Polar’s business involved numerous outside vendors and customers. Polar relied heavily on third-party, general sales agents (“GSAs”) in the United States to sell cargo space on its planes. In turn, the GSAs hired by Polar often sold available cargo space to freight forwarding vendors, which had been hired by downstream customers to coordinate transportation logistics for large quantities of goods. Polar also contracted with ground handling vendors to load and unload cargo and with trucking vendors to transport cargo from domestic locations to the appropriate airports. In addition, Polar contracted with other partners for a variety of business reasons, including to secure cargo space on airline routes not serviced by Polar flights. The scheme to defraud Polar touched on each aspect of these operations.
Together, the Executive Defendants and the Vendor Defendants defrauded Polar by corrupting Polar’s relationships with GSAs, freight forwarders, and other vendors, including those providing ground handling and trucking services. Unbeknownst to Polar, the Executive Defendants utilized their positions within Polar to secure, among other things, favorable contracts, valuable cargo space, favorable shipping rates, and enrollment in various incentive programs for the Vendor Defendants and their entities. In return, the Vendor Defendants paid the Executive Defendants kickbacks in various forms, including, for example, in payments calculated per kilo of cargo shipped with Polar or as a percentage of the revenue earned as a result of a vendor’s relationship with Polar. In addition, the Executive Defendants, in various combinations, held concealed ownership positions in certain companies which contracted with Polar and that were, in at least one case, associated with the Vendor Defendants. As a result, the Executive Defendants received ownership distributions based, in large part, on revenue derived from contracts with Polar — contracts that had been secured and, often times, renewed due to, in large part, the recommendation of the Executive Defendants with conflicts of interest.
To conceal the kickbacks and conflicted ownership interests from Polar, and thereby to continue the fraud scheme, WINKELBAUER, KURIEN, LLEWELLYN, and SCHIRMER often directed the kickbacks and ownership distributions be paid to limited liability companies with non-descript names that they, in fact, controlled. Additionally, the Executive Defendants communicated amongst themselves and with the Vendor Defendants about the scheme primarily using personal email accounts, while the Vendor Defendants conducted official Polar business with the Executive Defendants primarily using their professional email accounts.
As a result of the scheme, the Executive Defendants, along with two co-conspirators who also worked as senior executives at Polar, received unlawful payments, either directly or through various limited liability companies they controlled, in excess of approximately $23 million in kickback payments or disbursements received as a result of their ownership of conflicted companies. Additionally, a financial analysis conducted at Polar’s direction estimates that, as a result of the fraudulent scheme, Polar suffered at least approximately $52 million in losses between in or about 2009 and in or about July 2021.
In the Summer of 2021, Polar discovered documentary evidence of the conflicted ownership arrangements and kickback agreements. Shortly thereafter, Polar terminated the employment of WINKELBAUER, KURIEN, LLEWELLYN, and SCHIRMER, and reported the conduct to law enforcement authorities. Polar has continued to cooperate with law enforcement authorities through the investigation.
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WINKELBAUER, 47, of Bangkok, Thailand, KURIEN, 45, of Wilton, Connecticut, LLEWELLYN, 55, of Highland Mills, New York, SCHIRMER, 58, of Port Jefferson Station, New York, XU, 40, of West Covina, California, WEI, 58, of San Marino, California, LOPEZ, 50, of Aventura, Florida, CINO, 45, of Aventura, Florida, WONG, 60, of Manhattan Beach, California, and LAU, 43, of Flushing, New York, are each charged with one count of conspiracy to commit wire fraud and honest services wire fraud, which carries a maximum sentence of 20 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison. WINKELBAUER, KURIEN, LLEWELLYN, and SCHIRMER are also charged with one count of honest services wire fraud, which carries a maximum sentence of 20 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding work of the FBI and IRS-CI. Mr. Williams also thanked the United States Attorney’s Offices for the Central District of California and the Southern District of Florida as well as the Justice Department’s Office of International Affairs and Thai authorities for their assistance in the investigation.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Katherine Reilly and Danielle Kudla are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described therein should be treated as an allegation.
Superseding Indictment Charges 5 New Haven Men with Fentanyl Trafficking OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in New Haven has returned a superseding indictment charging LUIS SALAMAN, a.k.a. “Bebe,” 41; CHRISTIAN LOPEZ, a.k.a. “Face,” 38; MELVIN SANTIAGO, a.k.a. “Pina,” 34; JESUS SEGUINOT, a.k.a. “Chuchi,” 33; and KELLY QUINONES-ADORNO, 27, all of New Haven, with fentanyl trafficking offenses.
The indictment, which was returned on April 6, 2023, was unsealed on April 10 when Lopez, Santiago, Seguinot, and Quinones-Adorno were arrested. On that date, these four defendants appeared before U.S. Magistrate Judge Maria E. Garcia in New Haven and were ordered detained pending the submission of bond proposals. Salaman has been detained since his arrest on the original indictment on April 5, 2022.
As alleged in court documents and statements made in court, in October 2021, the FBI’s Safe Streets Task Force learned that Salaman was distributing large quantities of narcotics throughout New Haven. The investigation revealed that Salaman worked with Lopez, Santiago, Seguinot, and Quinones-Adorno to distribute fentanyl. Between November 2021 and March 2022, investigators made multiple controlled purchases of distribution quantities of heroin/fentanyl from these individuals.
The indictment charges Salaman with conspiracy to distribute 400 grams or more of fentanyl. If convicted of this offense, he faces a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life. The indictment charges Lopez, Santiago, Seguinot, and Quinones-Adorno with conspiracy to distribute 40 grams or more of fentanyl. If convicted of this offense, each faces a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years.
The indictment also charges each defendant with one or more counts of possession with intent to distribute, and distribution of, 40 grams or more of fentanyl, an offense that carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years.
In addition, the indictment alleges that Salaman is eligible for enhanced penalties because of a prior conviction for a serious violent felony, which potentially increases his mandatory minimum prison sentence to 15 years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by FBI’s Safe Streets Task Force, which includes members from the FBI, the Connecticut State Police, the Connecticut Department of Correction, and the New Haven, Milford, East Haven, West Haven, and Wallingford Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Conor M. Reardon and Robert S. Ruff.
St. Louis County Man Admits Possession of Tens of Thousands of Child Pornography Videos, PicturesRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri pleaded guilty Wednesday to a federal charge and admitted possessing more than 63,000 images and videos containing child pornography.
Christopher D. Cotton, 32, admitted uploading files containing child pornography to Dropbox, which triggered a report to the National Center for Missing and Exploited Children and an investigation.
On July 13, 2022, law enforcement officers executed a court-approved search warrant at Cotton’s home in St. Louis County near Florissant. Cotton admitted both viewing and collecting child pornography. He also told officers that he'd received child pornography from “maybe fifteen or more” minors with whom he had contact via social media, the youngest of which Cotton said was 13 years old.
Investigators would later find a total of at least 16,677 images and 46,414 videos of child pornography stored online and on Cotton’s electronic devices, including a laptop and three cell phones.
Cotton pleaded guilty in U.S. District Court in St. Louis Wednesday to one count of receiving child pornography. The charge carries a potential penalty of from five years to 20 years in prison. Cotton could also be fined up to $250,000.
The case was investigated by the Maryland Heights Police Department, the St. Louis County Special Investigations Unit and the FBI. Assistant U.S. Attorney Jillian Anderson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Springfield Man Indicted for Sexual Exploitation of Two Child VictimsRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man was indicted by a federal grand jury today for the sexual exploitation of two child victims.
Yevgeniy Dudko, 51, was charged in a three-count indictment returned by a federal grand jury in Springfield. Today’s indictment replaces a federal criminal complaint that was filed against Dudko on March 16, 2023, and includes additional charges.
The indictment charges Dudko with two counts of using minors, identified in court documents as Jane Doe 1 and Jane Doe 2, to produce child pornography from Nov. 20, 2021, to March 14, 2023. Dudko is also charged with one count of receiving and distributing child pornography.
According to an affidavit filed in support of the original criminal complaint, investigators found approximately 1,000 images of Jane Doe 1 and potentially other minor victims on Dudko’s cell phone. Some of these images appeared to have been created by a hidden camera.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by Homeland Security Investigations, the Southwest Missouri Cyber Crimes Task Force, and the Greene County, Mo., Sheriff’s Department.
South Florida Resident Sentenced to Prison for COVID-19 Paycheck Protection Program FraudRead the Press Release
MIAMI – Damian Davis, 41, has been sentenced in federal district court to 24 months in prison followed by five years of supervised release for bank and wire fraud as part of a scheme to defraud the Paycheck Protection Program (PPP) out of loan proceeds. These loans are guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security Act. Additionally, the Honorable William P. Dimitrouleas ordered Davis to pay over half a million dollars in restitution.
In June and July 2020, Davis applied for PPP loans in the name of the following three companies, which he owns; Wolf of Flagler, LLC, in the amount of $128,400; Crates Tavern, LLC, in the amount of $183,780, and Fifth Marketing Group, LLC, in the amount of $274,365. As a result of these loan applications, Davis received a total of $586,545 in PPP funds, which he used for his personal benefit.
For example, in one of the companies’ loan applications, Davis listed a loan amount of $274,365 and an average monthly payroll of $109,746, he falsely certified the companies’ number of employees and payroll payments. Also, he falsely certified that the funds would be used to support the ongoing operations of the company. After receiving the PPP loan proceeds, Davis did not make any payroll, rent, utility, or mortgage interest payments. Instead, he used the PPP funds to purchase a car. On August 28, 2020, Davis wired $31,000, from the PPP loan proceeds for the alleged purchase of “equipment.” However, Davis did not buy any equipment, he purchased a 2001 Blue BMW M3.
U.S. Attorney Markenzy Lapointe of the Southern District of Florida and Special Agent in Charge Matthew D. Line of the IRS Criminal Investigation (IRS-CI), Miami Field Office, announced the sentence imposed by U.S. District Judge Dimitrouleas.
IRS-CI Miami investigated the case, with assistance from the U.S. Small Business Administration Office of Inspector General (SBA-OIG), Investigations Division’s Eastern Region. Assistant U.S. Attorney Bertila Lilia Fernandez prosecuted the case. Assistant U.S. Attorney Emily Stone is handling asset forfeiture.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the SBA to provide Economic Injury Disaster Loans (“EIDLs”) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred. EIDL applications were submitted directly to the SBA via the SBA’s on-line application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-60186.
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Sioux Falls Man Charged with Transportation of Child PornographyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a federal grand jury has indicted a Sioux Falls, South Dakota, man for two counts of Transportation of Child Pornography.
Matthew Richard Hainje, age 44, was indicted in March of 2023. He appeared before U.S. Magistrate Judge Veronica L. Duffy on April 11, 2023, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to 40 years in federal prison per count and/or a $250,000 fine, life of supervised release, and up to $200 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on December 20, 2022, and again between December 22, 2022, and January 13, 2023, Hainje knowingly transported child pornography. It is alleged that Hainje uploaded graphic images and video files depicting one or more minors engaged in sexually explicit conduct into his Dropbox and Google accounts.
The charges are merely accusations and Hainje is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Sioux Falls Police Department and Homeland Security Investigations. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Hainje was remanded to the custody of the State pending trial. A trial date has not been set.
Shiprock woman pleads guilty to involuntary manslaughterRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Evelyn Bustamante pleaded guilty to involuntary manslaughter. Bustamante, 59, of Sanostee, New Mexico, and an enrolled member of the Navajo Nation, will remain on conditions of release pending sentencing, which has not been scheduled.
According to the plea agreement and other court documents, on July 1, 2021, Bustamante lost control of the vehicle she was driving, causing it to crash and ejecting both Bustamante and her two children from the vehicle. Neither of the children were seat belted or in car-seats. One of the children died from their injuries. The second suffered a skull fracture and subdural hemorrhaging but recovered. Tests showed that Upshaw’s blood alcohol concentration was .18 at the time of the accident, which is more than twice the legal limit in New Mexico. The crash occurred near Hogback, New Mexico. Bustamante admitted to drinking alcohol that morning. During a routine toxicological examination, doctors determined that she had methamphetamine and amphetamine in her system.
Under the terms of the agreement, Bustamante can be sentenced between 5 and 8 years in prison followed by up to 3 years of supervised release.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and New Mexico State Police. Assistant United States Attorney Matthew McGinley is prosecuting the case.
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Shiprock woman pleads guilty to involuntary manslaughterRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Evelyn Bustamante pleaded guilty to involuntary manslaughter. Bustamante, 59, of Sanostee, New Mexico, and an enrolled member of the Navajo Nation, will remain on conditions of release pending sentencing, which has not been scheduled.
According to the plea agreement and other court documents, on July 1, 2021, Bustamante lost control of the vehicle she was driving, causing it to crash and ejecting both Bustamante and her two children from the vehicle. Neither of the children were seat belted or in car-seats. One of the children died from their injuries. The second suffered a skull fracture and subdural hemorrhaging but recovered. The crash occurred near Hogback, New Mexico. Bustamante admitted to drinking alcohol that morning. During a routine toxicological examination, doctors determined that she had methamphetamine and amphetamine in her system.
Under the terms of the agreement, Bustamante can be sentenced between 5 and 8 years in prison followed by up to 3 years of supervised release.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and New Mexico State Police. Assistant United States Attorney Matthew McGinley is prosecuting the case.
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Seven Arrested for Stealing Catalytic Converters from over 470 Vehicles and Targeting ATMs and Jewelry StoresRead the Press Release
BOSTON – Seven members of an organized theft crew were arrested today and charged in federal court in Boston in connection with thefts across the region, including catalytic converters stolen from over 470 vehicles, automatic teller machines and jewelry stores. Over 70 local police departments from across New England contributed to this investigation.
The following defendants have been charged with conspiracy to transport stolen property in interstate commerce; interstate transportation of stolen property; conspiracy to commit bank theft; bank theft; and money laundering conspiracy. They will make an initial appearance in federal court in Boston at 1:30 p.m. today:
1. Rafael Davila, a/k/a “Robin Hood,” 35, of Feeding Hills, Mass.; 2. Jose Torres, a/k/a “Goldy,” a/k/a “Goldy Tech,” 37, of Springfield, Mass.; 3. Nicolas Davila, 25, of Springfield, Mass.; 4. Carlos Fonseca, a/k/a “Charlito,” 26, of Springfield, Mass.; 5. Zachary Marshall, 26, of Holyoke, Mass.; 6. Santo Feliberty, 34, of Springfield, Mass.; and
7. Alexander Oyola, a/k/a “Dirty,” 37, of Springfield, Mass.Catalytic converters are a component of a vehicle’s exhaust device that reduce the toxic gas and pollutants from a vehicle’s internal combustion engine into safe emissions, and are required on all combustion engine automobiles in the United States. Catalytic converters use precious metals in their center or ‘core’ and are targeted for theft due to the high value of these metals – including palladium, platinum and rhodium. Some of these precious metals are more valuable per ounce than gold and their value has been increasing in recent years, with black-market prices being more than $1,000 each.
Catalytic converters thieves conduct searches in residential neighborhoods, parking lots and other locations to steal the most high-value catalytic converters. Located in a vehicle’s undercarriage, the theft of a vehicle’s catalytic converter results in damage that renders the vehicle inoperable – both mechanically and legally under EPA regulations – until properly replaced.
According to the charging documents, law enforcement throughout Massachusetts and New Hampshire identified a large number of catalytic converter thefts for which a maroon Acura was identified as having been involved. These incidents involved at least two suspects wearing dark clothing, who would target residential and commercial vehicles. The suspects were skilled and able to locate and cut away the catalytic converter from a vehicle within a minute in most instances. The suspects utilized battery operated power-tools, specifically a fast-cutting reciprocating saw. Some vehicles needed to be jacked up in order to access the catalytic converters and the suspects would promptly place the jack under the vehicle, raise it, cut the catalytic converter, stow it in the rear of the maroon Acura and move on.The investigation revealed that the maroon Acura belonged to Rafael Davila, the alleged theft crew leader who planned and participated in each of the thefts. It is alleged that Rafael Davila engages in catalytic converter thefts and burglaries on a full-time basis, committing thefts multiple nights per week for upwards of eight hours a night. Additionally, cell phone data allegedly revealed that Rafael Davila maintained meticulous notes accounting for the locations that he and his co-conspirators had targeted and the number of catalytic converters that had been stolen, including the makes and models and when they were dropped off.
It is alleged that Rafael Davila would undertake the thefts with a group of individuals, including his brother Nicolas Davila, Fonseca, Feliberty and Marshall. Rafael Davila was allegedly responsible for the planning of and transportation to each targeted theft – using his vehicle, determining price values for stolen converters and purchasing needed materials. Specifically, Rafael Davila allegedly regularly purchased large quantities of bi-metal saw blades designed to be used with a reciprocating power saw as well as cut resistant gloves which, according to surveillance footage, appear identical to those worn by the thieves.
Surveillance footage, communications and location monitoring data obtained from the defendants’ cell phones and Davila’s vehicle, identified that the defendants were allegedly involved in the theft of catalytic converters from at least 471 vehicles across Massachusetts and New Hampshire in 2022 and 2023 alone. It is believed that a significant number of additional thefts have not been identified or were not ever reported to law enforcement, however. It is alleged that, on numerous occasions, the defendants targeted more than 10 vehicles in a single night, with one night reporting thefts from 26 vehicles.
Once in possession of the stolen catalytic converters, the crew would then allegedly sell them to Torres, who would accumulate stolen catalytic converters from multiple theft crews and then in turn sell them to scrap dealers in the Northeast. In particular, Torres allegedly sold stolen catalytic converters to scrap dealers who have since been charged federally for interstate transportation of stolen property and money laundering, including Alexander Kolitsas and Downpipe Depot charged in the District of Connecticut, as well as DG Auto, a New Jersey based company charged in the Eastern District of California and Northern District of Oklahoma. Torres is alleged to have transacted approximately $30,000 to $80,000 in stolen catalytic converters per week to these entities.
Through use of digital pricing applications, and communication with the core buyers, Torres allegedly provided prices to Davila and other theft crews based of the make and model of the vehicle and by the code on the catalytic converter. Knowing the prices of the most valuable converters, Davila and his crew would seek out those makes and models to target. Torres then negotiated with the core buyer and delivered the catalytic converters to their facility. It is alleged that Torres is known to have sold and transported thousands of stolen catalytic converters to scrap dealers in the Connecticut, Rhode Island, New York and New Jersey areas.
In addition to the prolific number of catalytic converter thefts, it is alleged that Rafael Davila, Feliberty and Oyola also conspired to steal from ATMs of federally insured banks in Massachusetts on three separate occasions in December 2022. It is alleged that this conspiracy involved date use of stolen trucks that they would use to rip the ATMs from the ground and gain access to the vault. Davila, Feliberty and Oyola also are alleged to have committed burglaries of two New Hampshire jewelry stores on Jan. 12, 2023. The combined total value of the jewelry stolen during the burglaries was determined to be over $137,000, with each store facing approximately $10,000 in costs to repair the resulting damage.
The charge of conspiracy to transport stolen property in interstate commerce provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of interstate transportation of stolen property provides for a sentence of up to 10 years, up to three years of supervised release and a fine of up to $250,000. The charge of conspiracy to commit bank theft provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of bank theft provides for a sentence of up to 10 years, up to three years of supervised release and a fine of up to $250,000. The charge of conspiracy to commit money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $500,000 or twice the value of the proceeds, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Seventy local police departments in Massachusetts, New Hampshire and Connecticut contributed to this investigation through the submission of their investigations of catalytic converter thefts in their jurisdiction. The Massachusetts Police Departments contributing to the investigation were Abington, Acton, Andover, Auburn, Bedford, Bellingham, Beverly, Billerica, Burlington, Bridgewater, Canton, Carver, Chelmsford, Concord, Cranston, East Hampton, Easton, Fitchburg, Framingham, Franklin, Hampton, Hanover, Haverhill, Hingham, Holliston, Holyoke, Hudson, Ipswich, Lawrence, Leominster, Lynn, Malden, Medford, Marlborough, Methuen, Middleton, Milford, Millbury, Newton, Northborough, Norwell, Norwood, Peabody, Pembroke, Plymouth, Randolph, Rockland, Sharon, Shrewsbury, Springfield, Sterling, Sturbridge, Sudbury, Tyngsborough, Walpole, Waltham, Watertown, West Bridgewater, Weymouth, Wilmington, Woburn and Worcester. The New Hampshire Police Departments contributing to the investigation were Bow, Concord, Derry, Hooksett, Hudson, Londonderry, Manchester, Salem and Windham. The Connecticut Police Departments contributing to the investigation were South Windsor and Windsor.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and John E. Mawn, Interim Colonel of the Massachusetts State Police; and Kevin Gallagher, Director of Operations for the National Insurance Crime Bureau, Northeast Region made the announcement today. Valuable assistance was also provided by the United States Attorney’s Offices for the District of Connecticut, the Northern District of Oklahoma and the Eastern District of California; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms & Explosives; and the Plymouth County District Attorney’s Office. Assistant U.S. Attorney Philip A. Mallard of Rollins’ Organized Crime & Gang Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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APPENDIX
Date
Location
Number of Vehicles Stolen From
3/7/2022
Sturbridge, Mass.
6
3/8/2022
Milford, Mass.
8
3/10/2022
Norwell, Mass.
5
3/25/2022
Wilmington, Mass.
6
3/27/2022
Millbury, Mass.
22
5/5/2022
Leominster, Mass.
10
5/10/2022
Holliston, Mass.
10
5/12/2022
Norwood, Mass.
11
5/12/2022
Walpole, Mass.
3
5/12/2022
Sharon, Mass.
7
5/17/2022
Randolph, Mass.
12
5/19/2022
Watertown, Mass.
1
5/19/2022
Medford, Mass.
14
5/19/2022
Malden, Mass.
6
7/21/2022
Lynn, Mass.
3
7/21/2022
Wilmington, Mass.
12
7/26/2022
Easton, Mass.
6
7/28/2022
Norwood, Mass.
2
7/28/2022
Woburn, Mass.
3
8/4/2022
Beverly, Mass.
2
8/16/2022
Woburn, Mass.
26
8/18/2022
Carver, Mass.
2
8/18/2022
Plymouth, Mass.
6
8/23/2022
Canton, Mass.
3
8/25/2022
Middleton, Mass.
1
8/30/2022
Peabody, Mass.
3
8/30/2022
Waltham, Mass.
10
9/1/2022
Hingham, Mass.
3
9/1/2022
Norwell, Mass.
1
9/6/2022
Easton, Mass.
1
9/8/2022
Chelmsford, Mass.
1
9/13/2022
Hanover, Mass.
1
9/13/2022
Hingham, Mass.
2
9/13/2022
Pembroke, Mass.
12
9/15/2022
Bellingham, Mass.
2
9/15/2022
Franklin, Mass.
5
9/15/2022
Hudson, Mass.
6
9/20/2022
Sudbury, Mass.
1
9/21/2022
Wilmington, Mass.
5
9/22/2022
Woburn, Mass.
5
10/2/2022
Ipswich, Mass.
10
10/2/2022
Methuen, Mass.
8
10/2/2022
Billerica, Mass.
10
10/4/2022
Londonderry, NH
13
11/24/2022
Hooksett, NH
14
11/27/2022
Wilmington, Mass.
10
11/27/2022
Millbury, Mass.
3
12/6/2022
Bow, NH
1
12/6/2022
Concord, NH
14
12/21/2022
Manchester, NH
1
12/29/2022
Easthampton, Mass.
2
12/29/2022
Holyoke, Mass.
1
1/5/2023
Framingham, Mass.
9
1/9/2023
Worcester, Mass.
13
1/19/2023
Fitchburg, Mass.
8
1/19/2023
Leominster, Mass.
1
1/26/2023
Abington, Mass.
10
1/26/2023
Weymouth, Mass.
2
1/30/2023
Shrewsbury, Mass.
16
2/9/2023
Wilmington, Mass.
1
2/9/2023
Woburn, Mass.
13
2/16/2023
Marlborough, Mass.
1
2/16/2023
Northborough, Mass.
4
2/28/2023
Auburn, Mass.
2
2/28/2023
Millbury, Mass.
7
3/7/2023
Wilmington, Mass.
3
3/7/2023
Woburn, Mass.
2
3/7/2023
Hudson, Mass.
1
3/7/2023
Burlington, Mass.
4
3/9/2023
Auburn, Mass.
3
3/9/2023
Bedford, Mass.
2
3/9/2023
Billerica, Mass.
4
3/16/2023
Sterling, Mass.
20
3/21/2023
Leominster, Mass.
13
Total
471
Serial Carjacker who Shot and Pistol-Whipped Victims Sent to PrisonRead the Press Release
DETROIT – A Detroit man was sentenced today to 25 years in prison for charges relating to three separate violent carjackings in June and July 2020, United States Attorney Dawn N. Ison and Wayne County Prosecutor Kym Worthy announced today.
Worthy and Ison were joined in the announcement by James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation, and Detroit Police Chief James E. White.
Rayquan Sturgis, 23, had previously pleaded guilty in federal court to two counts of carjacking, one count of carjacking causing serious bodily injury, one count of discharging a firearm during and in relation to a crime of violence, and one count of using or carrying a firearm during and in relation to a crime of violence. Sturgis was sentenced by United States District Judge Sean F. Cox.
Sturgis was initially charged with one of the carjackings by the Wayne County Prosecutor’s Office. However, Wayne County dismissed the carjacking charge so that it could be included with federal gun and carjacking charges in the federal case. “This is an example of the excellent collaboration between Prosecutor Worthy’s office and my office,” U.S. Attorney Ison said. “This collaboration was critical in obtaining this significant federal sentence that was handed down today and will be critical in our approach to violent crime going forward.”
According to the court documents, in three separate incidents, Sturgis carjacked three people after each of them had tried to help him in different ways. On June 10, 2020, the first victim offered him a ride after he was in a crash. After she drove him 15 minutes away, Sturgis pointed a gun at her and forced her out of her car and drove away. On June 18, 2020, Sturgis approached the second victim and asked for help jumpstarting his car. After driving Sturgis a few blocks, Sturgis got out of the car, walked around to the driver’s side and shot the victim multiple times without even giving him a chance to surrender. The victim suffered permanent injuries from the gunshot wounds. And on July 7, 2020, Sturgis was given a ride by the third victim from Inkster to Detroit. When they arrived in Detroit, Sturgis pistol whipped the victim while he was driving, stole his sunglasses, and then pistol whipped him again and forced him out of the car and drove off.
Two of the carjackings, including where Sturgis shot the victim, went unsolved for nearly a year. The U.S. Attorneys Office, FBI, and Detroit Police continued to investigate the case and were able to identify Sturgis as the perpetrator after interviewing additional witnesses and collecting evidence from Sturgis’s social media accounts and phone records linking him to the crimes.
“Individuals who assault and carjack the citizens of this district will not escape the dedicated and persistent employees of the Department of Justice, the Detroit Police Department, and the Wayne County Prosecutor’s Office. This case is a prime example of how my office and our federal and local law enforcement partners will work tirelessly to prosecute those who use firearms to terrorize the citizens of our community,” U.S. Attorney Ison said.
“Sometimes it takes a village working together collaboratively to keep the community safe. These cases are a good example of this. A dangerous predator will no longer be free to prey on others,” said Wayne County Prosecutor Kym Worthy.
“Armed carjacking poses an unacceptable danger to public safety and creates a climate of fear for residents in our community,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “This case serves as an example of the collaboration between the FBI and the Detroit Police Department to bring justice to bear upon violent criminals like Rayquan Sturgis who use firearms to victimize innocent people.”
The investigation of the case was conducted by special agents and task force officers of the Federal Bureau of Investigation and officers with the Detroit Police Department. Assistant United States Attorney Andrew Picek prosecuted this case for the United States.
Second Orlando Man Sentenced for Burglarizing ATMRead the Press Release
Orlando, Florida – United States District Judge Roy B. Dalton, Jr. has sentenced Wendell Harp (24, Orlando) to 30 months in federal prison for bank burglary and bank theft in connection with the destruction of an ATM. Harp had pleaded guilty on December 16, 2022. He is the second defendant sentenced in this case. Judge Dalton previously sentenced Carlos Tawan Reed, Jr. (23, Orlando) to four years and three months in federal prison for the same offense. A third individual, Deontrae Walden (23, Orlando), has pleaded guilty and is awaiting sentencing.
According to court records, Harp, Reed, and Walden wrapped a chain around an ATM at a Chase Bank on Colonial Drive in Orlando. Using a stolen F-250 truck, the men then destroyed the casing of the ATM and stole the cash boxes inside, containing $116,650. The three men fled in a rental car driven by Reed. Deputies from the Orange County Sheriff’s Office pursued them on the ground and in the air. Reed failed to stop and led police on a high-speed chase, which ended when deputies deployed spike strips and disabled the car. All three men then attempted to flee on foot but were quickly apprehended. Inside the vehicle, police recovered all of the stolen money.
This case was investigated by the Federal Bureau of Investigation and the Orange County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Michael P. Felicetta.
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.
San Jose Group Homes Owner Sentenced to A Year in Prison for Scheme to Divert Foster Care FundsRead the Press Release
SAN JOSE – Annie Corbett, the owner of a company that provided group homes, primarily in San Jose, for foster children, was sentenced today to spend 12 months and a day in prison for wire fraud and failure to pay over employment taxes, announced United States Attorney Ismail J. Ramsey, FBI Special Agent in Charge Robert K. Tripp, Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian, and U.S. Department Health and Human Services—Office of Inspector General (HHS-OIG) Special Agent in Charge Steven J. Ryan. The sentence was handed down by the Hon. Beth L. Freeman, United States District Judge.
Corbett pleaded guilty to the charges on September 15, 2022. Corbett was the owner, CEO and President of Corbett Group Homes, Inc. (CGH), a company that provided foster care for children and adolescents in group homes located primarily in San Jose. According to her plea agreement, Corbett admitted that from 2011 through mid-2018, she was the sole signatory on CGH’s bank accounts and was solely responsible for hiring employees, firing employees, and processing employee payroll. During this time, CGH employed about 60 employees a year. In her plea agreement, Corbett acknowledged she knowingly failed to pay employment taxes. After contracting with payroll processing companies to determine the tax withholdings for CGH employees and issuing paychecks and W-2s to the employees, she never paid the employment taxes nor filed W-2s with the IRS. Corbett also admitted that she deceived her bookkeeper and CPA into believing these employment taxes had been paid. Corbett admitted in her plea agreement that from 2014 through 2017 she failed to pay employment taxes to the IRS in an amount totaling more than $752,000.
In addition, Corbett also admitted in her plea agreement that she fraudulently diverted for her own personal use funds CGH received from local county governments and private charities to support CGH’s care of foster children. Corbett admitted she controlled multiple CGH bank accounts—including an account that she concealed from CGH’s accountant and auditor—from which she diverted CGH funds to her and her husband’s personal bank accounts. Corbett used the diverted funds for her and her family’s personal enrichment, including making her own credit card payments, her personal retail business payments, and her payments on a vacation timeshare. As noted in the government’s sentencing memorandum, Corbett’s conduct impacted not only over 44 identified victim-donors (county governments, charities, and individuals who provided CGH over $13.2 million in foster care funds over the course of seven years), but also her own employees and the many foster children who were deprived of the benefit of the funds that should have been used for their care. Judge Freeman described Corbett’s crimes as “very serious” and found that the loss resulting from her embezzlement scheme exceeded $2.5 million.
In addition to the prison term, Judge Freeman ordered Corbett to serve 36 months of supervised release to begin after the expiration of her prison term. Judge Freeman also scheduled a hearing for June 27, 2023, to determine the amount of restitution Corbett will be ordered to pay. Judge Freeman ordered Corbett to surrender on or before September 5, 2023, to begin serving her prison term.
Assistant U.S. Attorney Anne Hsieh is prosecuting the case, with the assistance of Laurie Worthen. The prosecution is the result of an investigation by the FBI, IRS-CI, and HHS-OIG.SWGA Man Guilty of Drug Distribution Resulting from Investigation into Methamphetamine Trafficking in Cordele, GeorgiaRead the Press Release
ALBANY, Ga. – A Cordele, Georgia, resident with prior serious felony drug convictions pleaded guilty to distribution of methamphetamine resulting from an investigation into drug trafficking in the community.
Alexis Sylvester Holton, 43, of Cordele, pleaded guilty to one count of distribution of methamphetamine on April 11 before U.S. District Judge Leslie Abrams Gardner. Holton faces a minimum of five years to a maximum of 40 years in prison to be followed by at least four years of supervised release and a $5,000,000 fine. Sentencing has not yet been scheduled.
“The GBI and Crisp County Sheriff’s Office continue their tireless efforts to prevent the lethal spread of some of the most deadly and addictive drugs in Southwest Georgia,” said U.S. Attorney Peter D. Leary. “The U.S. Attorney’s Office is working with our law enforcement partners at every level to bring federal charges against the flagrant repeat offenders whose crimes damage our communities.”
“This investigation has resulted in the disruption of a significant methamphetamine supply to the Cordele area. We are grateful for our partnership with the other investigative agencies and the U.S. Attorney’s Office for seeing this case through successfully,” said GBI Director Mike Register.
According to court documents and other public information, Holton sold a total of 279.51 grams of methamphetamine to a confidential informant (CI) working with GBI and Crisp County Sheriff’s Office investigators during nine exchanges, beginning in Oct. 2021, until his arrest on Feb. 9, 2022, in Cordele. Holton has several prior convictions, including two prior serious felony drug convictions in the Superior Court of Crisp County, Georgia.
This case was investigated by GBI, DEA and the Crisp County Sheriff’s Office.
The case is being prosecuted by Assistant U.S. Attorney Matthew Redavid.
Quincy, Illinois, Man Sentenced to 120 months in Prison for Possession with Intent to Distribute HeroinRead the Press Release
SPRINGFIELD, Ill. – A Quincy, Illinois, man, Derrick Phillips, 42, was sentenced on April 10, 2023, to 120 months in prison, to be followed by eight years of supervised release, for possession with intent to distribute 100 grams or more of a substance containing heroin.
At the sentencing hearing in front of U.S. District Judge Colleen R. Lawless, the government proffered evidence that in October 2017 Phillips was detained after getting off an Amtrak train that had just arrived in Quincy from the Chicago area. Law enforcement then discovered almost two hundred grams of heroin and $730.00 in cash on his person.
Phillips was arrested in March 2019 and pleaded guilty in December 2022. He has been detained by the United States Marshals Service since his arrest.
Because Phillips had a previous federal conviction for distributing controlled substances, the statutory penalties for possession with intent to distribute 100 grams or more of a substance containing heroin were not less than 10 years and up to life in prison, not more than an $8,000,000 fine, and not less than eight years of supervised release.
The Federal Bureau of Investigation, Springfield Field Office; West Central Illinois Task Force; and Quincy Police Department investigated the case. Assistant U.S. Attorney Matthew Z. Weir represented the government in the prosecution.
The case against Phillips 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.
Providence Man Sentenced on Federal Drug and Firearm ChargesRead the Press Release
PROVIDENCE, R.I. – A Providence man found to be in possession of more than 500 grams of cocaine and 100 fentanyl pills, and who, as a previously convicted felon, was illegally in possession of several magazines of ammunition that he was legally prohibited from possessing, was sentenced today to twenty-six months in federal prison, announced United States Attorney Zachary A. Cunha.
Henry Arnaut, 27, pleaded guilty on February 8, 2022, to possession with intent to distribute 500 grams or more of cocaine; possession with intent to distribute fentanyl; and possession of ammunition by a person convicted of a crime punishable by imprisonment for a term exceeding one year.
In November 2020, the U.S. Postal Inspection Service (USPIS), with the assistance of the FBI’s Rhode Island Safe Streets Gang Task Force, began a Project Safe Neighborhoods Investigation into the shipment of packages to Arnuat’s residence. A search warrant was obtained for a suspicious package addressed to Arnaut and it was found to contain a significant quantity of cocaine. Arnaut was arrested on February 8, 2021, shortly after claiming the package at the U.S. Post Office. A court-authorized search of Arnaut’s residence that day resulted in the seizure of an additional quantity cocaine, approximately 100 fentanyl pills, $1,180 in cash, several magazines, and ammunition.
The total amount of cocaine seized from the package and from Arnaut’s residence exceeded 500 grams. Arnaut, previously convicted of a felony and sentenced to a term exceeding one year, was legally prohibited from possessing ammunition.
U.S. District Court Chief Judge John J. McConnell, Jr., today sentenced Arnaut to twenty-six months of incarceration to be followed by three years of federal supervised release.
The case was prosecuted by Assistant U.S. Attorney Stacey A. Erickson.
This case was investigated and prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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President of Brisbane Recycling Company and Its Former Counsel Convicted of Tax Fraud ChargesRead the Press Release
SAN FRANCISCO – Joseph Nubla and Henry Ku were convicted of conspiracy to defraud the United States, and Nubla was convicted of an additional charge of tax evasion, all in connection with a scheme to evade taxes on millions of dollars of income derived from a rock crushing business, announced United States Attorney Ismail J. Ramsey and Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian. The verdicts followed a two-week jury trial before the Hon. Richard Seeborg, Chief U.S. District Judge.
Joseph Nubla is the President of Brisbane Recycling Company, Inc. (hereafter “Brisbane”), a rock crushing business located in Brisbane, Calif. Henry Ku was counsel for Brisbane and Nubla during the relevant time. Nubla ran the daily operations at Brisbane, and Ku owned and controlled separate businesses including Pegasus Aggregate, Inc. (“Pegasus”), Jupiter Prime Monarch (“JP Monarch”), and JPM Energy, Inc. (“JPM Energy”) (collectively, “Ku’s entities”). The evidence at trial demonstrated that between February 20, 2009, and March 30, 2015, Ku and his entities deposited checks written by Nubla from Brisbane, totaling more than $18,000,000. To avoid Brisbane paying corporate income taxes, Nubla then expensed Brisbane’s payments to Ku’s entities as royalties for the use of heavy equipment purportedly owned by Ku’s entities. In reality, Ku had used the funds from Brisbane’s checks to purchase that equipment. Ku also returned the funds from Brisbane’s checks to Nubla in a variety of ways: (1) by regular money transfers from 2009 through 2016; (2) by purchasing Nubla three homes; and (3) by writing Nubla cashier’s checks totaling $7 million pursuant to a fake loan. Nubla did not declare the funds given to him by Ku as personal income, even though they originated from Brisbane and thus were taxable, constructive dividends. In year 2014 alone, Nubla failed to report more than $5.8 million of income.
On April 6, 2021, a federal grand jury indicted Nubla and Ku, charging both with one count of conspiring to defraud the United States in violation of 18 U.S.C. § 371. In addition, the grand jury charged Nubla with one count of tax evasion in violation of 26 U.S.C. § 7201 for his 2014 federal income tax return. Pursuant to the trial jury’s verdict, the defendants were found guilty of all counts with which they were charged.
Chief Judge Seeborg has not yet scheduled the defendants’ sentencing hearing. The defendants each face a statutory maximum of five years in prison and a fine of $250,000 for the conspiracy charge. Nubla also faces a statutory maximum of five years in prison and a $100,000 fine for the tax evasion charge. In addition, the court may order the defendants to serve an additional term of supervised release and restitution as part of any sentence; however, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant United States Attorney Daniel N. Kassabian and Special Assistant United States Attorney Christopher J. Carlberg are prosecuting the case with the assistance of Helen Yee, Veronica Hernandez, and Amala James. The prosecution is the result of an investigation by the IRS-CI.
Plant City Man Sentenced to over Three Years in Federal Prison for Bank Fraud ConspiracyRead the Press Release
Tampa, Florida – U.S. District Judge Mary Scriven has sentenced Cameron Porter (35, Plant City) to three years and one month in federal prison for conspiracy to commit bank fraud. As part of his sentence, the court also entered an order of forfeiture in the amount of $5,000, the proceeds of the charged criminal conduct. Porter had pleaded guilty on guilty on January 9, 2023.
According to court documents, in March 2019, Porter conspired with Christopher Alholm and others to defraud an FDIC insured bank (“Bank 1”) with branches located throughout the Middle District of Florida. Bank 1 was a member institution of the Federal Home Loan Bank of Atlanta. During the conspiracy, Porter obtained a victim bank customer’s (“Customer 1”) stolen Home Equity Line of Credit (“HELOC”) account number and personally identifying information (“PII”), including name, signature, date of birth and Social Security number from a co-conspirator, and passed that information to Alholm. Alholm subsequently used the stolen PII and impersonated Customer 1 at a Bank 1 branch located in Spring Hill to conduct a fraudulent $495,000 advance of funds from the Customer 1’s HELOC account to an intermediary account at Bank 1. After Alholm had completed the fraudulent advance of funds, another conspirator subsequently wired the stolen HELOC funds from the intermediary account to offshore bank accounts. Porter then received a share of the stolen proceeds for his role in the conspiracy.
Alholm previously pleaded guilty to his role in this case. In November 2022, he was sentenced to five years and six months in federal prison for conspiracy to commit bank fraud and aggravated identity theft.
This case was investigated by the Federal Housing Finance Agency – Office of Inspector General and Florida Department of Law Enforcement. It is being prosecuted by Special Assistant United States Attorney Chris Poor.
Physician and Clinic Office Manager Convicted of Unlawfully Distributing over 600,000 Opioid PillsRead the Press Release
A federal jury convicted a Texas physician and clinic office manager yesterday for operating a pill-mill clinic that unlawfully prescribed over 600,000 opioid pills in exchange for cash.
According to court documents and evidence presented at trial, Dr. Oscar Lightner, 73, and Andres Martinez Jr., 29, both of Laredo, operated Jomori Health and Wellness (Jomori), a purported Houston pain management clinic, as a pill mill. Lightner, who was the owner of and physician at Jomori, unlawfully prescribed dangerous combinations of controlled substances including hydrocodone, carisoprodol, and alprazolam to his patients without a legitimate medical purpose, in exchange for cash payments ranging from $250 to $500 per patient. Martinez, who was Jomori’s office manager and Lightner’s stepson, coordinated with “crew leaders” to bring multiple people – including individuals living in homeless shelters – into Jomori to pose as patients. Jomori received over $1.2 million in cash over fourteen months through its scheme that resulted in the unlawful distribution and dispensing of over 600,000 Schedule II opioids – including hydrocodone – and other controlled substances.
Lightner was convicted of one count of conspiracy to distribute and dispense controlled substances and two counts of unlawfully distributing and dispensing controlled substances. Martinez was convicted of one count of conspiracy to distribute and dispense controlled substances and one count of unlawfully distributing and dispensing controlled substances. Lightner and Martinez face a maximum penalty of 20 years in prison on each count and are both are scheduled to be sentenced on Aug. 8. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas, and Special Agent in Charge Daniel C. Comeaux of the DEA made the announcement.
The DEA investigated the case.
Trial Attorneys Monica Cooper and Andrew Tamayo of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 25 federal districts, has charged more than 5,000 defendants who collectively have billed federal health care programs and private insurers more than $24 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
Philipsburg Woman Sentenced to 60 Months in Prison for Conspiring to Distribute MethamphetamineRead the Press Release
JOHNSTOWN, Pa. – A resident of Philipsburg, PA, has been sentenced in federal court to a total of 60 months in prison followed by 3 years of supervised release on her conviction of conspiracy to distribute methamphetamine, Acting United States Attorney Troy Rivetti announced today.
Senior United States District Judge Kim R. Gibson imposed the sentence on Kierston Bell, age 34, of Philipsburg, Pennsylvania.
According to information presented to the court, from July 2019 to June 2020, Bell did conspire to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Acting U.S. Attorney Rivetti commended the Drug Enforcement Administration and the Pennsylvania State Police for the investigation that led to the successful prosecution of Bell. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Homeland Security Investigations, Pennsylvania Office of the Attorney General, Clearfield County District Attorney’s Office, Erie County District Attorney’s Office, Millcreek Police Department, Erie Bureau of Police, and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Pharmacy Student and Pharmacist Indicted by Grand JuryRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that a federal grand jury has returned an indictment charging a pharmacy student and a licensed pharmacist with conspiracy to possess with intent to distribute controlled substances, obtaining controlled substances by fraud, and distribution of a controlled substance.
The indictment charges Blair Guillory, 25, a pharmacy student at a university located in Monroe, Louisiana, and Brian Miller, 37, a licensed pharmacist who worked in pharmacies in Monroe and Ruston, Louisiana. The indictment alleges that beginning on or about June 11, 2022 and continuing until December 16, 2022, in the Western District of Louisiana, Guillory and Miller knowingly and intentionally conspired together to distribute Adderall and Vyvanse, both Schedule II controlled substances.
It is alleged in the indictment that Guillory received part of his education and training while working at Monroe area pharmacies, including one where Miller worked, and that is where they met. According to the indictment, Miller would see a medical provider to obtain prescriptions for Adderall and Vyvanse and would sell all or a portion of the drugs to Guillory, knowing that Guillory was going to sell the drugs to other individuals. In addition, it is alleged that Guillory would also see a medical provider to obtain prescriptions for Adderall and would sell all or a portion of the drugs to other individuals.
The indictment further alleges that Guillory would obtain prescription drugs from others and sell those drugs to students at the university where he attended pharmacy school in Monroe. Guillory would allegedly use Venmo and other mobile payment services to purchase and sell Schedule II controlled substances.
"Americans rely on pharmacies every day to legally dispense prescription medication to whom it is intended,” stated U.S. Attorney Brandon B. Brown. “This region is also blessed to have a pharmacy school. Persons who are fortunate enough to work as pharmacists and those who have the chance to study pharmacy should not abuse these privileges. We allege that these persons acted illegally and look forward to proceeding with this case through the judicial process."
An indictment is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
If convicted, Guillory and Miller face a sentence of up to 20 years in prison, 3 years of supervised release, and a fine of up to $250,000.
The case was investigated by the U.S. Drug Enforcement Administration and is being prosecuted by Alexander C. Van Hook, Special Counsel to the U.S. Attorney.
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Pharmaceutical Distributer Agrees to Pay $765,000 to Resolve False Claims Act Allegations Relating to Failure to Pay Customs DutiesRead the Press Release
The Justice Department announced today that Danco Laboratories, LLC (Danco), located in New York, has agreed to pay $765,000 to resolve allegations that it violated the False Claims Act by failing to pay certain customs duties, known as marking duties, on imported pharmaceutical products that lacked markings to identify their country of origin.
The Tariff Act of 1930 requires companies that import foreign products into the United States to mark the country of origin on those products. Importers that fail to mark their products are subject to a 10% ad valorem duty. The settlement resolves allegations that, during the period 2011 through 2019, Danco failed to mark imported pharmaceutical products with the appropriate country of origin, and thereafter violated the False Claims Act by knowingly avoiding the marking duties owed to the United States for those imports.
“The False Claims Act protects the public fisc by imposing liability not only on those who knowingly submit false claims to the United States, but also on those who knowingly avoid obligations owed to the United States,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This settlement demonstrates the department’s commitment to ensure that importers properly pay all amounts due under our customs laws.”
“Our office is committed to ensuring that importers are transparent with consumers and comply with customs laws and the False Claims Act,” said U.S. Attorney Brit Featherston. “We will continue to pursue aggressively those who seek to avoid their duties and obligations under the law.”
“The United States has required imported goods to be marked with their country of origin for generations, so American consumers can use that information in their purchasing decisions,” said Director Frank Russo of the U.S. Customs and Broder Protection (CPB) New York Field Office. “CBP takes the marking laws very seriously, and is pleased to work with our partners to ensure importers adhere to all customs laws.”
The civil settlement includes the resolution of claims brought by the Life Legal Defense Foundation under the qui tam or whistleblower provisions of the False Claims. These provisions allow a private party, known as a relator, to file an action on behalf of the United States and receive a portion of any recovery. The qui tam action is captioned U.S. ex rel. Life Legal Defense Foundation v. ASD Specialty Healthcare, LLC, et al., No. 21-cv-0088 (E.D. Tex.). As part of today’s resolution, the whistleblowers will receive approximately $115,000.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Eastern District of Texas with assistance from CPB.
The matter was handled by Trial Attorney Daniel W. Kastner of the Justice Department’s Civil Division and Assistant U.S. Attorneys James Gillingham and Adrian Garcia for the Eastern District of Texas.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Palm Beach Resident Headed to Federal Prison for Defrauding Cystic Fibrosis NonprofitRead the Press Release
MIAMI – A West Palm Beach federal district judge has sentenced 34-year-old fraudster Elizabeth Genna Suarez (formerly known as “Elizabeth Mirson Suit”) to 18 months in federal prison followed by two years of supervised release. The sentence comes after a jury’s verdict finding Suarez guilty of wire fraud and the trial judge’s later ruling that Suarez had lied on the stand and submitted fake character letters to the court.
From August 2018 to November 2019, Suarez executed a scheme to defraud Piper’s Angels Foundation, Inc., a nonprofit organization dedicated to supporting individuals with cystic fibrosis and their families. During that time, Suarez was married to the foundation’s executive director and used her access to the foundation money to divert it to herself. For example, Suarez used her copy of the foundation’s corporate credit card in July 2019 to make an $8,000 deposit on a cosmetic surgical procedure, pay $1,680 for a cosmetic laser procedure, and spend $800 on a necklace.
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 Donald M. Middlebrooks.
FBI Miami investigated the case. Assistant U.S. Attorney Alexandra Chase prosecuted it. Assistant U.S. Attorney G. Raemy Charest-Turken is handling asset forfeiture.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov under case number 22-cr-80185.
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Owensboro Man Sentenced to 12-Plus Years in Federal Prison for Illegal Firearm Possession, Drug Trafficking, and Supervised Release ViolationRead the Press Release
Owensboro, KY – An Owensboro, Kentucky man was sentenced yesterday to a total of 153 months in prison. The sentence included 120 months for possession of a firearm by a convicted felon and drug trafficking and 33 months for violation of his federal supervised release.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Acting Special Agent in Charge Robert Maynard of the ATF Louisville Field Division, and Chief Art Ealum of the Owensboro Police Department made the announcement.
According to court documents, on October 2, 2021, Steven Boehman, 38, possessed with the intent to distribute 63.771 grams of methamphetamine. Boehman, a convicted felon, also possessed a Glock .40 caliber semi-automatic pistol. He was prohibited from possessing a firearm because he had previously been convicted of the following felony offenses. On January 29, 2015, in Ohio Circuit Court, Boehman, was convicted of receiving stolen property. On January 31, 2017, in the United States District Court for the Western District of Kentucky, Boehman was convicted of being a felon in possession of a firearm.
When Boehman committed the October 2, 2021, offenses, he was on supervised release for his January 31, 2017, federal firearm conviction. He received an additional 33-month sentence for violating his supervised release. Following the153-month prison sentence, Boehman will serve 5 years on supervised release. There is no parole in the federal system.
The case was investigated by the ATF Owensboro Field Office and the Owensboro Police Department.
Assistant U.S. Attorney Mark J. Yurchisin II, of the U.S. Attorney’s Bowling Green 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.
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Osceola County Mortgage Loan Officer Convicted of Bank Fraud and Aggravated Identity Theft Charges Involving Forging of Judges’ SignaturesRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Omayra Ujaque (52, St. Cloud) guilty of three counts of bank fraud and one count of aggravated identity theft. Ujaque faces a maximum penalty of 30 years’ imprisonment for each bank fraud count and a mandatory 2-year sentence for the aggravated identity theft county. Her sentencing hearing is scheduled for July 5, 2023. Ujaque had been indicted on February 15, 2023.
According to evidence presented at trial, Ujaque, in her capacity as a licensed mortgage loan officer, created and executed a mortgage fraud scheme targeting the financial institution where she worked. To ensure that otherwise unqualified borrowers were approved for mortgage loans, Ujaque falsified the borrowers’ income by fabricating or inflating the amounts of their monthly child support payments on mortgage loan applications that she signed and certified to the financial institution’s underwriting department. In furtherance of her scheme, Ujaque created fictitious Final Judgments of Dissolution of Marriage and Final Orders Modifying Child Support that fraudulently represented that the borrowers were entitled to receive non-existent monthly child support payments. Ujaque then used the names of judges from the Circuit Court of the Ninth District of Florida and forged their signatures on the fabricated Final Judgments of Dissolution of Marriage or Final Orders Modifying Child Support.
Ujaque also created bogus Florida Department of Revenue Statements listing fraudulent monthly child support payments, as well as phony prepaid debit card statements listing fake borrower withdrawals of the non-existent monthly child support payments. In most cases, the borrowers did not, in fact, have the listed children and/or had never been married. Ujaque submitted bogus paperwork to the financial institution to support the false monthly income on the loan applications. Based on Ujaque’s misrepresentations, the financial institution approved and funded the mortgage loans.
This case was investigated by Federal Housing Finance Agency – Office of Inspector General, the U.S. Department of Housing and Urban Development – Office of Inspector General, and the Florida Office of Financial Regulation. It is being prosecuted by Special Assistant United States Attorney Chris Poor.
New Haven Fentanyl Trafficker Sentenced to 5 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that NELSON SANTINI, 28, of New Haven, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 60 months of imprisonment, followed by four years of supervised release, for distributing fentanyl. Judge Shea ordered that Santini must serve the first six months of his supervised release in home confinement.
According to court documents and statements made in court, law enforcement identified Santini as a heroin and fentanyl trafficker in the New Haven. On August 13, 2021, members of the FBI’s Safe Streets Task Force made a controlled purchase of approximately 50 grams of fentanyl from Santini.
Santini was arrested on state charges on December 10, 2021. On that date, a search of a car he had been driving revealed 93 individual dose bags of heroin, more than 100 bags of cocaine, and a loaded 9mm handgun.
Santini has been detained since his federal arrest on April 6, 2022. On December 22, 2022, he pleaded guilty to one count of distribution of 40 grams or more fentanyl.
This investigation was conducted by the FBI's Safe Streets Task Force, which includes members from the FBI, the Connecticut State Police, the Connecticut Department of Correction, and the New Haven, Milford, East Haven, West Haven, and Wallingford Police Departments. The case was prosecuted by Assistant U.S. Attorneys Conor M. Reardon and Robert S. Ruff.
Nebraska Man Sentenced in Methamphetamine ConspiracyRead the Press Release
United States Attorney Steven Russell announced that Douglas Schmidt, 40, of Nebraska, was sentenced today in federal court in Omaha, Nebraska, for conspiracy to distribute and possess with intent to distribute 50 grams or more of methamphetamine. United States District Judge Brian C. Buescher sentenced Schmidt to 180 months’ imprisonment. There is no parole in the federal system. After his release from prison, he will begin a four-year term of supervised release.
On April 20, 2021, Hastings Police Department conducted a traffic stop. Schmidt’s co-defendant, Raquel Bloom, was the driver, and the passenger initially said his name was “Doug Wilson” but was later identified as Douglas Schmidt. Schmidt had an active warrant out of Merrick County and was detained. Law enforcement could smell a distinct odor of marijuana coming from a backpack from behind the driver’s seat. Bloom claimed the backpack was Schmidt’s. A search of the backpack located 426 grams of methamphetamine, 80 grams of marijuana, and numerous items of drug paraphernalia.
Bloom has pleaded guilty to the same conspiracy and is scheduled for sentencing on May 17, 2023.
This case was investigated by the Nebraska State Patrol and the Hastings Police Department.
National Crime Victims’ Rights Week Is April 23-29, 2023Read the Press Release
St. Thomas, VI – In observance of National Crime Victims’ Rights Week, April 23-29, 2023, United States Attorney Delia L. Smith, on behalf of the U.S. Department of Justice, recognizes crime victims, law enforcement agencies, community organizations and faith-based institutions that are dedicated to serving and assisting victims of crime. “Acknowledging the rights of crime victims and supporting them with services are essential parts of the work of the U.S. Attorney’s Office. We work with our law enforcement and community partners to pursue justice, collect restitution, and identify resources needed to compensate those who suffer the consequences of crime.” United States Attorney Smith said.
Each year in April, the Department of Justice and United States Attorney’s Offices observe National Crime Victims’ Rights Week nationwide by taking time to honor victims of crime and those who advocate on their behalf. In addition, the Department of Justice organizes events to honor crime victims and advocates, as well as to bring awareness to services available to victims of crime. This year’s theme is, “Survivor Voices: Elevate. Engage. Effect Change.” Partner organizations are committed to engaging with victims of crime; learning from their lived experiences; amplifying their voices; and fostering an environment where they are heard, believed, and supported.
The U.S Department of Justice, Office for Victims of Crime, leads communities across the country in observing National Crime Victims’ Rights Week each year. In 1981, President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week to bring greater sensitivity to the needs and right of victims of crime. Here, in the District of the Virgin Islands, we have a dedicated Victim Witness Coordinator who supports federal crime victims by providing notification of significant case events through the DOJ Victim Notification System (VNS). Through VNS, victims learn of upcoming court proceedings and the outcome of those proceedings. Victims can also use the VNS to participate in court proceedings and to make their voices heard. In fact, in 2022, the District’s Victim Witness Coordinator Antoinette James-Alleyne provided several thousand notices to crime victims and provided victims with essential services, including referrals to counseling, securing temporary housing, assisting with access to victim’s compensation funds, and accompanying victims to court proceedings to provide support and guidance. These services provide victims with tools to reshape their futures.
The U.S. Department of Justice, Office of Justice Programs, provides innovative leadership to federal, state, local, and tribal justice systems, by disseminating state-of-the art knowledge and practices across the United States, and providing grants for the implementation of these crime-fighting strategies. Because most of the responsibility for crime control and prevention falls to law enforcement officers in states, cities, and neighborhoods, the federal government can be effective in these areas only to the extent that it can enter partnerships with these officers. More information about the Office of Justice Programs and its components can be found at www.ojp.gov. More information about National Crime Victims’ Rights Week can be found at https://ovc.ncjrs.gov/ncvrw/. You may also contact the U.S. Attorney’s Office Victim Witness Program at [email protected].
Morristown Man Sentenced to 210 Months Imprisonment for Possession of A Firearm by A FelonRead the Press Release
GREENEVILLE, Tenn. – On April 7, 2023, Robert Lee Allen, Jr., also known as “Skeeter,” 55 of Morristown, Tennessee, was sentenced to 210 months in prison for being a felon in possession of a firearm by the Honorable Clifton L. Corker, in the United States District Court for the Eastern District of Tennessee at Greeneville.
As part of the plea agreement filed with the court, Allen agreed to plead guilty to an indictment charging him with possession of a firearm by a felon, in violation of 18 U.S.C. §922(g)(3). Upon release from his imprisonment, Allen will be on supervised release for 5 years.
As set forth in the plea agreement filed with the court, Allen has prior, violent felony convictions for Second Degree Murder, Aggravated Assault, Aggravated Robbery, and Aggravated Burglary. Allen agreed that, on February 14, 2022, he struck his spouse with a firearm and was arrested the next day for domestic assault. During a search of his vehicle, the firearm he used to assault his spouse was located. The firearm was stolen from Cocke County, TN. Allen admitted that he had acquired the firearm from another felon through a trade of methamphetamine and heroin in exchange for the firearm.
This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
“This sentence sends a powerful message to those with a violent, felony history who continue to arm themselves,” said United States Attorney Francis M. Hamilton III. “This case is part of the Department of Justice’s comprehensive strategy to target and prosecute the most serious offenders who pose the greatest threats to safety and peace within the community.”
“This was extremely great work done by the individuals that took part in this investigation. There is one less criminal off our streets. The ATF will continue to use all of our resources to disrupt the illegal possession of firearms, distribution of narcotics and other acts of violence within our community,” said ATF Special Agent in Charge Marcus Watson.
Assistant U.S. Attorney B. Todd Martin represented the United States.
This case also was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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