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Thursday 2 February 2023
Missouri Man Sentenced to 5 ½ Years in Prison for Child PornographyRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Thursday sentenced a man from St. Peters, Missouri to five and one-half years in prison on a charge of possessing of child pornography.
Martin D. Smith, 58, possessed 2,561 images and 13 videos containing child pornography on his OnePlus cellular telephone, a Samsung cellular telephone and an Alcatel tablet, his plea agreement says. Smith pleaded guilty in November.
The investigation began with an August 21, 2020 tip to the National Center for Missing and Exploited Children that Smith was uploading of multiple files containing child pornography. Smith later admitted viewing and downloading child pornography from the internet, and said he had been doing so for a year and half.
The case was investigated by the St. Charles County Cyber Crime Task Force 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.
Minneapolis Felon Pleads Guilty to Illegal Possession of a FirearmRead the Press Release
MINNEAPOLIS – A Minneapolis man has pleaded guilty to illegally possessing a firearm as a felon, announced United States Attorney Andrew M. Luger.
According to the defendant’s guilty plea and court documents, on July 18, 2022, Javier Juan Valtierra, 31, possessed a Smith & Wesson, M&P Bodyguard 380, .380 caliber semi-automatic pistol. Officers of the Minneapolis Police Department were called to the scene of the vehicle following calls that Valtierra and another individual were unconscious inside the vehicle. Officers found the firearm in Valtierra’s pocket. Officers also found baggies of cocaine and methamphetamine on Valtierra and in the car.
Valtierra pleaded guilty yesterday in U.S. District Court before Senior Judge Michael J. Davis to one count of possessing a firearm as a felon. A sentencing hearing has not yet been scheduled.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minneapolis Police Department.
Assistant U.S. Attorney Kimberly A. Svendsen is prosecuting the case.
Milton Man Indicted for Possession with Intent to Distribute Cocaine and FentanylRead the Press Release
BOSTON – A Milton man has been indicted by a federal grand jury in Boston on drug trafficking charges.
Brandy Soto-Lara, 25, was indicted on one count of possession with intent to distribute cocaine and 40 grams or more of fentanyl. Soto-Lara was previously arrested on Jan. 11, 2023 and has remained in custody since.
According to the charging documents, during a search of Soto-Lara’s apartment in November 2018, over 400 grams of cocaine and over 40 grams of fentanyl was seized. Additionally, $6,000, a loaded firearm with an obliterated serial number, firearm parts and ammunition were recovered also from Soto-Lara’s apartment.
The charging statute provides for a mandatory minimum sentence of five years in prison up to 40 years in prison, at least four years and up to a lifetime supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Suffolk County District Attorney’s Office. Assistant U.S. Attorneys Philip C. Cheng and Lucy Sun of Rollins’ Organized Crime & Gang Unit are prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Mills County Man Sentenced for Firearm OffenseRead the Press Release
COUNCIL BLUFFS, IA – Garret Allen Horgdal, age 39, of Henderson, was sentenced on Tuesday, January 31, 2023, to 84 months in prison following his plea of guilty to being a prohibited person in possession of a firearm. After he is released from prison, Horgdal will serve three years of supervised release.
On March 8, 2022, a Montgomery County Sheriff’s deputy stopped Horgdal and found him in possession of three loaded firearms. Horgdal was prohibited from possessing any firearms because of his prior felony convictions and his drug use.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Montgomery County Sheriff’s Department, Mills County Sheriff’s Department, and Iowa Division of Narcotics Enforcement investigated 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. In May 2021, the Department of Justice 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.
Mifflin County Man Pleads Guilty to Wire FraudRead the Press Release
WILLIAMSPORT – The U.S. Attorney’s Office for the Middle District of Pennsylvania announced that Daniel P. Sickels, age 48, of Lewistown, Pennsylvania, pleaded guilty before U.S. District Court Chief Judge Matthew W. Brann to wire fraud.
According to United States Attorney Gerard M. Karam, Sickels previously worked as a Network and Systems Manager at Pennsylvania State University (PSU) Office of Development and Alumni Relations (ODA), located in State College, PA. Sickels fraudulently acquired equipment through false representations to PSU ODA that the equipment was necessary to upgrade, replace, or maintain PSU ODA servers, when, in fact, Sickels knew that the equipment was not necessary. Sickels subsequently sold the equipment for his personal benefit to third parties. The scheme lasted from approximately 2005 to 2017, in Centre and Mifflin Counties.
The matter was investigated by investigators at PSU and the Federal Bureau of Investigation. Assistant United States Attorney Alisan V. Martin is prosecuting the case.
Sickels faces maximum penalties of 20 years’ imprisonment, a fine of twice the gross gain or loss, and 3 years of supervised release when he is sentenced. Sickels also agreed to pay $267,264.87 in restitution.
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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Miami Woman Charged for Using Fraudulent COVID-19 Relief Funds to Finance Lavish LifestyleRead the Press Release
MIAMI — Daniela Rendon, 31, of Miami made her appearance in federal magistrate court today and was charged with fraudulently obtaining COVID-19 relief loans and grants under the Paycheck Protection Program (PPP) and the Economic Injury Disaster Relief Program.
According to the indictment, Rendon submitted fraudulent applications seeking COVID-19 relief funds from the Small Business Administration and PPP. She is alleged to have falsified her revenue and payroll and submitted fraudulent IRS tax forms. According to the charges, Rendon received approximately $381,000 in fraudulent funds. To disburse the funds, she is alleged to have enrolled with a payroll processor to issue fraudulent payroll checks to herself, family members, and friends. She is alleged to have used the fraudulently obtained funds to lease a 2021 Bentley Bentayga, rent a luxury Biscayne Bay apartment, pay for cosmetic dermatology procedures, and refinish her designer shoes.
The indictment charges Rendon with seven counts of wire fraud, two counts of money laundering, and one count of aggravated identity theft. If convicted, she faces up to 20 years in prison. A federal district court judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney for the Southern District of Florida Markenzy Lapointe and acting Special Agent in Charge Michael E. Buckley, Homeland Security Investigations (HSI) Miami, made the announcement.
HSI Miami investigated the case and Assistant U.S. Attorney Jonathan Bailyn is prosecuting it.
An indictment is a mere allegation. A defendant is presumed innocent until found guilty beyond a reasonable doubt in a court of law.
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 no. 23-cr-20036.
Media Advisory – Press ConferenceRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley, along with representatives from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Raleigh Police Department, will hold a press conference TOMMOROW, Friday, February 3 at 11:00 a.m. to announce the sentence of Christopher Lamar Baker, a national leader of the Pagan Motorcycle Club (PMC) who was convicted last year of drug trafficking, firearm, and money laundering charges. The PMC is recognized by law enforcement as an Outlaw Motorcycle Gang.
WHERE: U.S. District Courthouse, 310 New Bern Avenue, Raleigh, NC 27601
WHEN: Friday, February 3 at 11:00 a.m.
Media: please arrive at the courthouse by 10:30 for set up.
Credentialed members of the media are invited to attend. For additional information, please e-mail Don Connelly at [email protected].
Please RSVP your intentions to attend the event.
Man Sentenced to Eight Years in Prison for Illegally Possessing Gun and Drugs in Chicago SuburbRead the Press Release
CHICAGO — A man has been sentenced to eight years in federal prison for illegally possessing a loaded semiautomatic handgun, cocaine, and heroin in a Chicago suburb.
QUINCY J. ARNOLD illegally possessed the gun and drugs on Oct. 17, 2020, in Bellwood, Ill. Bellwood Police officers pulled over Arnold’s vehicle for a traffic infraction near a mall parking lot. The officers discovered the loaded gun concealed under the floor mat of the driver’s seat, within reaching distance of Arnold. Officers further discovered in Arnold’s possession the cocaine and heroin, which were packaged for sale in more than 360 individual baggies. Arnold admitted in a plea agreement that he intended to distribute the narcotics to others.
Arnold had previously been convicted of multiple felonies in state court and was not legally allowed to possess a firearm.
Arnold, 49, of Bellwood, Ill., pleaded guilty last year to federal firearm and drug charges. U.S. District Judge Jorge L. Alonso imposed the sentence Tuesday after a hearing in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Jiminez Allen, Chief of the Bellwood Police Department. Assistant U.S. Attorney Charles W. Mulaney represented the government.
Holding illegal firearm possessors and drug traffickers accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm and drug offenses.
Man Charged in $110 Million Cryptocurrency SchemeRead the Press Release
A Puerto Rico man is scheduled to make his initial appearance this afternoon at the federal courthouse in Manhattan to face commodities fraud, commodities market manipulation, and wire fraud charges in connection with the manipulation of the Mango Markets decentralized cryptocurrency exchange.
According to court documents, Avraham Eisenberg, 27, engaged in a scheme to fraudulently obtain approximately $110 million worth of cryptocurrency from the cryptocurrency exchange Mango Markets and its customers and achieved this objective by artificially manipulating the price of certain perpetual futures contracts. He was previously arrested on Dec. 26, 2022, in San Juan, Puerto Rico, pursuant to a criminal complaint and ordered detained.
“Exploiting decentralized finance platforms is the new frontier of old school financial crimes in which criminals abuse emerging technologies for their own personal gain,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “With this prosecution, the Criminal Division is sending the message that no matter the mechanism used to commit market manipulation and fraud, we will work to hold those responsible to account.”
Mango Markets is a decentralized cryptocurrency exchange that allows investors to, among other things, purchase and borrow cryptocurrencies and cryptocurrency-related financial products. Mango Markets is run by the Mango Decentralized Autonomous Organization (the Mango DAO). The Mango DAO has its own crypto token named MNGO, which investors can buy and sell. Holders of the MNGO token are allowed to vote on changes to the Mango Markets platform and issues related to the governance of the Mango DAO.
“As alleged, Avraham Eisenberg manipulated the Mango Markets cryptocurrency exchange in order to obtain over $100 million in illicit profits for himself,” said U.S. Attorney Damian Williams for the Southern District of New York. “Through his scheme, Eisenberg left others holding the bag. Market manipulation is illegal in all of its forms, and this office is committed to prosecuting such schemes wherever they occur – including the cryptocurrency markets.”
“The defendant is alleged to have executed a scheme through which he fraudulently acquired over $100 million worth of cryptocurrency,” said Assistant Director in Charge Michael J. Driscoll of the FBI New York Field Office. “The FBI is dedicated to safeguarding the integrity of all financial markets and will ensure any individual willing to exploit one be held responsible in the criminal justice system.”
Eisenberg is charged in the Southern District of New York with one count of commodities fraud, one count of commodities manipulation, and one count of wire fraud. If convicted, he faces a maximum penalty of 10 years in prison for the commodities fraud count, maximum penalty of 10 years in prison for the commodities manipulation count, and maximum penalty of 20 years in prison for the wire fraud count.
The FBI is investigating the case with assistance from Homeland Security Investigations and IRS Criminal Investigation. The Commodity Futures Trading Commission and the Securities and Exchange Commission initiated parallel civil proceedings.
National Cryptocurrency Enforcement Team (NCET) Trial Attorney Jessica Peck and Assistant U.S. Attorneys Thomas Burnett and Noah Solowiejczyk for the Southern District of New York are prosecuting the case.
The NCET was established to combat the growing illicit use of cryptocurrencies and digital assets. Under the Criminal Division, the NCET conducts and supports investigations into individuals and entities that enable the use of digital assets to commit and facilitate a variety of crimes, with a particular focus on virtual currency exchanges, mixing and tumbling services, and infrastructure providers. The NCET also sets strategic priorities regarding digital asset technologies, identifies areas for increased investigative and prosecutorial focus, and leads the department’s efforts to collaborate with domestic and foreign government agencies as well as the private sector to aggressively investigate and prosecute crimes involving cryptocurrency and digital assets.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Maine Man Sentenced to Thirteen Years in Prison for Child ExploitationRead the Press Release
BOSTON – A Maine man was sentenced today in federal court in Boston for travelling to have sex with a minor and possessing child sexual abuse material (CSAM).
Patrick Plummer, 31, of Parsonsfield, Maine, was sentenced by U.S. District Court Judge Casper to 13 years in prison and five years of supervised release. In September 2022, Plummer pleaded guilty to one count of attempted enticement of a minor, one count of intent to engage in illicit sexual conduct with a person under 18 years of age and one count of transportation of child pornography. He has remained in custody since his arrest on related state charges in September 2020.
“This case is another terrifying reminder of the real-life dangers of the internet and the predators that lurk online with the sole intent of targeting, exploiting and sexualizing our children. Mr. Plummer, a grown man, admitted that he was also targeting 10 other young girls. Extensive amounts of CSAM – including two-year-old’s being sexualized and tortured – was discovered on his electronic devices. This is every parent’s nightmare,” said United States Attorney Rachael S. Rollins. “Protecting the safety, innocence and wellbeing of our children is some of the most important work we do. Today’s sentence results in one less predator able to harm our children.”
“It is not uncommon for child predators like Patrick Plummer to cast a wide net online to see who responds and whom they can victimize. In this case, that’s how the FBI uncovered Mr. Plummer’s heinous conduct. Today’s sentence demonstrates our commitment to ensuring that sexual predators like him are held accountable for their crimes and removes a dangerous threat from our community,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “There are very few situations more urgent than when a child is physically at risk. Those who sexually exploit children do serious lasting harm and possessing and trading child sexual abuse material only perpetuates the abuse.”
In September 2020, Plummer sent a private message to an undercover officer posing as a 13-year-old girl in an online chatroom. Plummer indicated that he was 24 years old and lived in Maine. After confirming the purported minor was 13 years old, Plummer devised a plan to meet her in Georgetown, Mass. to have sex and discussed specific sexual conduct he wanted to engage in with her and directed the purported minor not to wear undergarments.
On Sept. 26, 2020, Plummer drove from Maine to a predetermined location in Georgetown. Plummer was arrested on scene, at which time four cell phones, a computer and a spring-release knife were found in his possession. Forensic analysis of the electronic evidence seized from Plummer’s car revealed over 7,000 images and approximately 74 videos of CSAM on at least three of the devices. The CSAM included multiple images of children as young as two years old being tortured.
Plummer admitted that he had traveled from Maine to meet the purported 13-year-old girl; that he was talking to approximately 10 underaged girls; and that CSAM would be found on his devices. Plummer further admitted that he shared these images with other individuals through Kik Messenger. The investigation also revealed that, prior to this case, Plummer had posed as a 19-year-old female on Kik Messenger to solicit photos from underaged girls for distribution to other users – in some instances using graphic threats such as, “I’ll chop you up into a million pieces,” to compel minors to share images with him.
U.S. Attorney Rollins, FBI SAC Bonavolonta and Georgetown Police Chief Donald C. Cudmore made the announcement. The Essex County District Attorney’s Office and the Salisbury and Newbury Police Departments provided assistance with the investigation. Assistant U.S. Attorneys Meghan C. Cleary and J. Mackenzie Duane of Rollins’ Major Crimes Unit prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Louisville Business Owner Sentenced to Federal Prison for Failure to Pay Payroll TaxesRead the Press Release
Louisville, KY – A Louisville man was sentenced to a 15-month term of imprisonment today for willful failure to pay over the federal income taxes and Federal Insurance Contributions Act (FICA) taxes withheld from his employees’ paychecks.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge Bryant Jackson of the Internal Revenue Service, Criminal Investigation, Cincinnati Field Office, made the announcement.
According to court documents, Christopher S. Moyer, 69, was the owner and sole operator of TT Repairs, LLC. Moyer functioned as the general manager of TT Repairs, LLC, and was responsible for payroll. From the third quarter of 2015 through the fourth quarter of 2018, Moyer withheld income taxes and FICA taxes from his employees’ paychecks but failed to turn the money over to the Internal Revenue Service.
Moyer was also sentenced to a $10,000 fine and a two-year period of supervised release upon his release from prison. There is no parole in the federal system. Moyer has also entered into an agreement to pay the taxes he owes, in addition to penalties and interest. Prior to sentencing, Moyer made a $1 million payment on the amount due.
The IRS Criminal Investigation investigated the case.
Assistant U.S. Attorney Amanda E. Gregory prosecuted the case.
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Long Island Woman Sentenced for Unemployment Insurance FraudRead the Press Release
ALBANY, NEW YORK – Briana Garland, age 30, of Uniondale, New York, was sentenced today to 2 years of probation for conspiring with a New York State prisoner to obtain unemployment insurance benefits by fraud. Garland is the fourth and final defendant to be sentenced in related cases stemming from pandemic-related schemes involving prisoners at the Bare Hill Correctional Facility in Malone, New York.
The announcement was made by United States Attorney Carla B. Freedman; Jonathan Mellone, Special Agent in Charge, New York Region, U.S. Department of Labor, Office of Inspector General (USDOL-OIG); Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS); Anthony J. Annucci, Acting Commissioner of the New York State Department of Corrections and Community Supervision (NYSDOCCS); and Roberta Reardon, Commissioner of the New York State Department of Labor (NYSDOL).
Garland previously pled guilty to conspiracy to commit mail fraud. She admitted to submitting a false unemployment insurance claim to NYSDOL in the name of Bare Hill inmate Reginald Thornton. Prisoners were not eligible to receive unemployment insurance benefits. United States District Judge Glenn T. Suddaby also ordered her to pay $19,580 in restitution to the State of New York.
Thornton previously pled guilty to participating in two prison-based unemployment insurance fraud conspiracies and was sentenced to 51 months in federal prison, to be served after his state prison term ends. Thornton’s co-defendants in a related case, Lord Paulin and Rhasha Wright, were previously sentenced to 19 months and 24 months and one day in federal prison, respectively.
USDOL-OIG, HSI, USPIS, and the Offices of Special Investigations of NYSDOCCS and NYSDOL investigated the cases. Assistant U.S. Attorney Joshua R. Rosenthal prosecuted the cases.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Local Pimp Admits Sex Trafficking Women to Multiple StatesRead the Press Release
For Further Information, Contact:
Assistant U.S. Attorney Alicia Williams (619) 546-8917 or Assistant U.S. Attorney Joseph Orabona (619) 546-7951SAN DIEGO, CA – A local man who engaged in sex trafficking of women in California, Nevada, Massachusetts and Virginia from November 2019 through January 2021 pleaded guilty in federal court today to sex trafficking charges.
In November 2022, a federal grand jury returned an indictment charging Davon Dunn, aka “Lil Kant,” with sex trafficking women by fraud, force and coercion and transporting women in interstate commerce for the purpose of engaging in commercial sex acts. Dunn was arrested in December 2022 and ordered detained without bail by the Court.
Today, Dunn entered his guilty plea before U.S. Magistrate Judge Mitchell D. Dembin. According to the plea agreement, Dunn admitted to knowingly recruiting, enticing, harboring, transporting, providing, obtaining, and maintaining an adult female (“AF1”), knowing and in reckless disregard of the fact that means of force, threats of force, fraud, coercion, and any combination of such means would be used to cause AF1 to engage in commercial sex acts. Dunn admitted that these sex acts occurred in the Southern District of California and elsewhere.
More specifically, between April 2020 and January 2021, within the Southern District of California, and elsewhere, Dunn admitted he used a combination of force, fraud, and coercion to cause AF1 to engage in commercial sex acts. In particular, Dunn harbored AF1 in an apartment in Riverside County, where he provided transportation for AF1 to travel to and from “dates” (which is the meeting between the customer and commercial sex worker for the activity of prostitution), including “dates” in San Diego County, where AF1 engaged in commercial sex acts. Dunn maintained AF1 by providing her with food and supplies needed to engage in commercial sex acts. Dunn also admitted that AF1 shared the proceeds of her commercial sex acts with him. Dunn used his cellular phone to post, repost, and “bump” (which means to push to the top of the webpage) commercial sex advertisements featuring AF1.
As provided in the plea agreement, Dunn admitted on or about October 1, 2020, while AF1 was working as a commercial sex worker, Dunn struck AF1 in her face, ribs, and back to cause her to resume engaging in commercial sex acts after AF1 indicated she no longer wished to engage in commercial sex acts. Dunn’s use of force against AF1 resulted in injuries to her face and caused her to experience multiple fainting episodes. Dunn also admitted to posting commercial advertisements, and booking hotel and airline travel all related to his commercial sex trafficking of AF1.
In addition to trafficking AF1, Dunn admitted in his plea agreement to causing the transportation of two other adult women (AF2 and AF3) from San Diego to Massachusetts, Virginia, and Nevada for the purpose of engaging in commercial sex acts and prostitution between November 2019 and June 2020. Dunn also admitted to using force against AF3 in connection with the commercial sex acts. In particular, Dunn slapped AF3 and used force to make her continue engaging in commercial sex acts.
“These are crimes that haunt victims for a very long time,” said U.S. Attorney Randy Grossman. “We will seek justice for them in hopes that it will ease their suffering.” Grossman commended the prosecution team as well as FBI agents and members of the San Diego Human Trafficking Task Force for their continuing effort to investigate and prosecute this important case.
A sentencing hearing is scheduled for April 21, 2023, at 9 a.m. before the U.S. District Robert S. Huie. Dunn has been in custody since his arrest in December 2022.
DEFENDANT Case Number: 22CR2727-RSH
Davon Dunn Age: 30 San Diego, CA
SUMMARY OF CHARGES
Sex trafficking by Fraud, Force, and Coercion – Title 18, U.S.C., Section 1591(a)(1)
Maximum penalty: Life in Prison and $250,000 fine
INVESTIGATING AGENCIES
San Diego Human Trafficking Task Force, which consists of:
- Federal Bureau of Investigation
- California Department of Justice
- California Department of Corrections & Rehabilitation – Parole
- California Highway Patrol
- ICE/Homeland Security Investigations
- National City Police Department
- San Diego City Attorney’s Office
- San Diego County District Attorney’s Office
- San Diego County Probation Department
- San Diego County Sheriff’s Department
- San Diego Police Department
- The United States Attorney’s Office, Southern District of California
Lexington Man Sentenced to 9 Years in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Steven Russell announced that Rudy Ortega Raymundo, 35, of Lexington, Nebraska, was sentenced today in federal court in Lincoln, Nebraska. United States District Judge John M. Gerrard sentenced Raymundo to 108 months in prison for possession with intent to distribute 500 grams or more of methamphetamine mixture and 50 grams or more actual methamphetamine. After serving his sentence, Raymundo will be placed on supervised release for 2 years. There is no parole in the federal system.
On October 3, 2021, law enforcement in Frontier County, Nebraska received information that a vehicle on Old Highway 23 was failing to maintain speed. A Frontier County Sheriff’s Office deputy saw the vehicle and followed it to a nearby gas station. The officer contacted the driver, later identified as Raymundo, and his vehicle at a gas pump regarding traffic violations. Raymundo failed to comply with the deputy’s requests, and he was arrested. Law enforcement searched Raymundo’s vehicle and found a black trash bag in the back seat containing four bags of methamphetamine. The deputies also found a methamphetamine pipe with residue and a scale in the center console. In total, about three and a half pounds of lab confirmed methamphetamine were seized from Raymundo’s vehicle. Some of that methamphetamine was tested for purity and determined to be at least 98% pure.
This case was investigated by the Cooperation Operation for Drug Enforcement (CODE) Task Force, Nebraska State Patrol, and the Frontier County Sheriff’s Office.
Leominster Man Sentenced for Illegal Reentry and Interfering with a Federal AgentRead the Press Release
BOSTON – A Mexican man residing in Leominster was sentenced today in federal court in Worcester for illegally reentering the United States and forcibly interfering with an Immigration and Customs Enforcement (ICE) agent in an effort to evade arrest.
Eduardo Alvarez, 32, was sentenced by U.S. District Court Magistrate Judge Mark G. Mastroianni to one year in prison and one year of supervised release. In September 2022, Alvarez pleaded guilty to one count of illegal reentry after deportation and one count of forcibly assaulting, resisting, or impeding a federal officer engaged in the performance of official duties.
On the morning of Feb. 16, 2022, ICE officers travelled to a residence in Leominster where Alvarez was reportedly located, and observed Alvarez driving away from in a white Audi. They followed the vehicle and attempted to pull Alvarez over by activating lights and sirens. Officers then attempted to stop Alvarez by positioning their vehicles in front and behind the Audi. Alvarez accelerated and struck the front vehicle, with the ICE officer still in the driver’s seat. Alvarez then drove off traveling through a red-light into oncoming traffic, forcing other vehicles including law enforcement onto the side of the road before stopping at his own residence, where he attempted to hide from officers for approximately 90 minutes before surrendering.
Alvarez was previously removed from the United States in 2009 and 2011. In 2010, he was convicted of illegal reentry into the United States.
United States Attorney Rachael S. Rollins; Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations in Boston; and Leominster Police Chief Aaron Kennedy made the announcement. Assistant U.S. Attorney Kristen Noto of Rollins’ Worcester Branch Office prosecuted the case.Laurens County man will pay restitution, face possible federal prison time for disability fraudRead the Press Release
AUGUSTA, GA: A Laurens County man admitted working several years as a truck driver while claiming federal disability benefits.
Douglas Adam West, 41, of Dexter, Ga., faces a statutory sentence of up to 10 years in prison after pleading guilty to Theft of Government Property, said David H. Estes, U.S. Attorney for the Southern District of Georgia. The guilty plea requires West to pay $49,863 in restitution, and to serve a period of supervised release following any prison term. There is no parole in the federal system.
“Disability fraud is a plague on the system designed to provide a safety net for those truly unable to hold down employment,” said U.S. Attorney Estes. “Those who abuse that system for their own selfish purposes only make it more difficult for deserving recipients.”
As described in court documents and testimony, West began receiving Social Security Disability Insurance Benefits in September 2004. The Social Security Administration’s Fraud Unit initiated an investigation in August 2018, determining that West had been employed since at least 2015 as a truck driver while continuing to receive disability benefits.
“I am proud of the coordination between our two agencies that led to this guilty plea,” said Georgia Insurance and Safety Fire Commissioner John F. King. “We are committed to ensuring that public benefits go to those truly in need and will continue to crack down on those who abuse the system.”
West faces sentencing before U.S. District Court Judge Dudley H. Bowen after completion of a pre-sentencing investigation by U.S. Probation Services.
The case was investigated by the Social Security Administration Office of Inspector General and the Office of the Georgia Commissioner of Insurance and Fire Safety, and prosecuted for the United States by Assistant U.S. Attorney Jennifer A. Stanley.
Kanawha County Woman Pleads Guilty to Federal Fraud CrimesRead the Press Release
CHARLESTON, W.Va. – Karen L. Hodges, also known as “Karen Igo,” “Karen Clay,” “Karen Richmond,” and “Karen Gessel,” 49, of St. Albans, pleaded guilty today to three counts of securities fraud.
According to court documents and statements made in court, Hodges admitted to having counterfeit checks created so they appeared to be payroll checks issued by Kroger. Between October 20, 2018, and December 19, 2018, Hodges presented and cashed three counterfeit payroll checks totaling $2,461.96 at Kroger locations within the Southern District of West Virginia. Hodges admitted that she has never worked for Kroger, and knew that she was deceiving them into giving her cash based on these counterfeit payroll checks.
Hodges further admitted to presenting and uttering numerous other counterfeit checks totaling $37,587.66 during the same time period at Kroger locations within the Southern District of West Virginia, as well as the Northern District of West Virginia, Indiana, Kentucky, Ohio and Virginia. Hodges also admitted to cashing two legitimate checks in her father’s name totaling $983.12 at Kroger locations within the Southern District of West Virginia.
Hodges is scheduled to be sentenced on May 3, 2023, and faces a maximum penalty of 30 years in prison, three years of supervised release, and a $750,000 fine. Hodges also owes $38,570.78 in restitution.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Secret Service.
Senior United States District Judge John T. Copenhaver, Jr. presided over the hearing. Assistant United States Attorneys Kristin F. Scott and Ryan A. Keefe are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-223.
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Kanawha County Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Austin Joseph Griffith, 22, of Hernshaw, was sentenced today to five years in prison, to be followed by five years of supervised release, for distributing 50 grams or more or methamphetamine.
According to court documents and statements made in court, Griffith admitted that he sold approximately 560 grams of methamphetamine for $4,000 to a confidential informant at his Hernshaw residence on December 13, 2021. Griffith sold quantities of fentanyl to a confidential informant at the same location on two separate occasions in March 2022. Following those transactions, officers executed a search warrant at Griffith’s residence on March 25, 2022, and recovered additional quantities of methamphetamine and fentanyl.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA) and the Kanawha County Sheriff’s Office.
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney Jeremy B. Wolfe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-147.
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Kanawha County Man Pleads Guilty to Federal Fraud and Theft CrimesRead the Press Release
CHARLESTON, W.Va. – Ernest Lee Alexander III, 33, of St. Albans, pleaded guilty today to bank fraud and possession of stolen mail matter.
According to court documents and statements made in court, on December 13, 2021, Alexander led law enforcement officers on a high-speed chase throughout western Kanawha County after they attempted a traffic stop of his vehicle in South Charleston. The chase ended when Alexander exited Interstate 77 at Tuppers Creek, lost control of his vehicle and crashed. Officers arrested Alexander and found stolen mail and a bank receipt in the vehicle. Alexander admitted that earlier that same day, he had used the identification information of the owner of the stolen mail to deposit a fraudulent check into the individual’s bank account and then withdraw $450 from the account.
Alexander is scheduled to be sentenced on May 9, 2023, and faces a maximum penalty of 30 years in prison, five years of supervised release, and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Postal Inspection Service and the South Charleston Police Department.
Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney Ryan A. Keefe is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-201.
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Jamaican Nationals Sentenced to Federal Prison for Their Roles in Lottery Scam Targeting Elderly VictimsRead the Press Release
Charleston, South Carolina --- Two Jamaican nationals – Rojay Lawson, 24, and Theresa Lawson, 53 – were each sentenced to more than five years in federal prison after pleading guilty to their roles in a fraudulent lottery scam that targeted elderly victims around the country.
Evidence presented to the Court showed that, as part of the scheme, the defendants, or their co-conspirators, would contact elderly victims and falsely inform the victims that they had won a sweepstakes. The supposed prizes in these sweepstakes usually consisted of millions of dollars, a new vehicle, or other valuable items. The defendants and their co-conspirators would tell the victims that they needed to pay bogus fees and/or taxes in order to collect their purported winnings.
The defendants and their co-conspirators would direct the elderly victims where to send the bogus fees and/or taxes. Evidence showed victims purchased prepaid cards, USPS money orders, or bank money orders; mailed cash or personal checks; or made wire deposits into the defendants’ bank accounts. The defendants in turn wired the fraudulent funds to co-conspirators in Jamaica. The defendants received more than $700,000 from the victims they targeted. At least 175 victims suffered a loss as part of the scheme. Approximately 70 victims were over the age of 80. The oldest victim was 96 years old.
United States District Judge Bruce Howe Hendricks sentenced both Rojay Lawson and Theresa Lawson to 78 months in federal prison, to be followed by a three-year term of court-ordered supervision, in the event they are not deported upon release. There is no parole in the federal system. The defendants were also ordered to pay $405,401.00 in restitution.
This case was investigated by the United States Postal Inspection Service (USPIS) and Homeland Security Investigations (HSI). Assistant United States Attorneys Emily Limehouse and Amy Bower prosecuted the case.
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Hartford Man Sentenced to More Than 7 Years in Federal Prison for Drug and Gun OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that ELVIN GONZALEZ, also known as Peewee,” 45, of Hartford, was sentenced yesterday by U.S. District Judge Janet C. Hall in New Haven to 87 months of imprisonment, followed by four years of supervised release, for narcotics and firearm offenses.
According to court documents and statements made in court, in June 2021, the FBI’s Northern Connecticut Gang Task Force and Hartford Police Department made controlled purchases of distribution quantities of fentanyl and crack cocaine from Gonzalez and his associate, Jose Rivera, also known as “Chepo.”
Gonzalez and Rivera were arrested on June 25, 2021. On that date, a search of Gonzalez’s Wethersfield Avenue residence revealed approximately 4,000 dose bags of fentanyl, approximately 139 grams of crack, approximately 18 grams of cocaine, two loaded handguns, a loaded rifle, and additional rounds of ammunition. The rifle and one of the handguns had been reported stolen. A search of Rivera’s East Hartford revealed approximately 162 grams of loose fentanyl, 300 dose bags of fentanyl, items used to process and package narcotics for street sale, a handgun and a loaded magazine, and more than $19,000 in cash.
Gonzalez’s lengthy criminal history includes convictions in Connecticut, Massachusetts and Vermont for narcotics, robbery and other offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
On November 10, 2021, Gonzalez pleaded guilty to one count of possession with intent to distribute 40 grams or more of fentanyl, and one count of possession of a firearm by a felon. Gonzalez, who is released on bond, is required to report to prison on June 7.
Rivera, 43, pleaded guilty to the same offenses on January 5, 2023, and is detained while awaiting sentencing.
The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
This prosecution 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. In May 2021, the Justice 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.
Hamilton County Man Pleads Guilty to COVID Relief Fraud Involving Two Fraudulently Obtained Paycheck Protection Program LoansRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Desmond Dondre Williams (34, Jasper) has pleaded guilty to one count of conspiracy to commit wire fraud and two counts of wire fraud involving COVID Relief Fraud. Williams faces up to 20 years in federal prison on each count and payment of restitution to the United States government. A sentencing date has not yet been set.
According to court documents, in April 2021, Williams submitted two Paycheck Protection Program (PPP) loan applications to two different lenders authorized by the Small Business Administration (SBA) to lend funds for approved PPP loan applications. Both PPP loan applications falsely claimed that Williams operated his own business – “Tastebudz.” Throughout the loan applications Williams made multiple false statements regarding his purported gross income and business expenses associated with operating Tastebudz. In support of his PPP loan applications, Williams submitted a false IRS Form 1040 “Profit or Loss From Business” for Tastebudz. It contained false statements about operating expenses, gross income, and wage expenditures for his purported business. In truth, Tastebudz did not exist. In reliance on the false statements in his two PPP loan applications, the SBA funded a PPP loan for Tastebudz in the amount of $16,386 and a second PPP loan in the amount of $22,941. After receiving the PPP loan proceeds into his bank account, Williams began making withdrawals and spending it on personal expenses.
This case is being prosecuted as part the Department of Justice’s prosecution of fraud schemes that exploit the CARES Act relief programs. The CARES Act is a federal law enacted in March 2020, designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. One of the two programs that were developed through CARES Act is the PPP. It provides funding to businesses through PPP loans for payroll costs, interest on mortgages, rent and utilities. PPP allows the interest and principal on loans to be forgiven if the business spends proceeds on certain expense items within a designated time and uses a certain percentage of the loan on payroll expenses. The Department of Justice remains vigilant in detecting, investigating, and prosecuting wrongdoing related to the crisis.
This case was investigated by Homeland Security Investigations (HSI). It is being prosecuted by Assistant United States Attorney Kevin C. Frein. The asset forfeiture is being handled by Assistant United States Attorney Mai Tran.
Georgia Methamphetamine Trafficker Is Sentenced to 10 YearsRead the Press Release
ASHEVILLE, N.C. – Brandon Todd O’Dell, 34, of Hiawassee, Georgia, was sentenced today to 120 months in prison followed by five years of supervised release for trafficking methamphetamine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
According to documents filed with the court and today’s sentencing hearing, O’Dell conspired with other individuals to traffic methamphetamine in and around Jackson County and elsewhere in North Carolina. Court records show that on March 9, 2021, deputies with the Jackson County Sheriff’s Office were conducting a welfare check on a female who was a passenger in O’Dell’s vehicle. At the time, the vehicle was parked at the parking lot of a Dollar General Store in Sylva, N.C. Over the course of the service call, law enforcement received conflicting accounts from O’Dell, the female passenger, and another male passenger regarding their travel, the reason for their stop, and their ultimate destination. Subsequently, court records show that law enforcement conducted a search of O’Dell’s vehicle, from which they recovered methamphetamine, digital scales, small plastic bags, and other items commonly used for the repackaging and redistribution of methamphetamine. Over the course of the investigation, law enforcement determined that O’Dell is a Lt. in the Aryan Brotherhood in Georgia, and that he made multiple trips from Georgia to North Carolina to transport substantial quantities of methamphetamine.
On October 7, 2022, O’Dell pleaded guilty to conspiracy to distribute and to possess with intent to distribute methamphetamine. He remains in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the Drug Enforcement Administration and the Jackson County Sheriff’s Office for their investigation of the case.
Assistant United States Attorney Tom Kent of the U.S. Attorney’s Office in Charlotte prosecuted the case.
General Contractor and Real Estate Developer Plead Guilty in Connection with Worker Death on Construction Site in PoughkeepsieRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that ONEKEY, LLC, a New Jersey construction company, and its principal, FINBAR O’NEILL, pled guilty to willfully violating Occupational Safety and Health Administration (“OSHA”) regulations, resulting in the death of a construction worker (“Victim-1”) in Poughkeepsie, New York, on or about August 3, 2017. The defendants pled guilty before U.S. Magistrate Judge Paul E. Davison, to whom the case is assigned. The defendants are scheduled to be sentenced on May 12, 2023.
U.S. Attorney Damian Williams said: “Onekey, a construction company, and its principal, Finbar O’Neill, endangered the safety of their workers by willfully disregarding regulations and taking shortcuts to sidestep their safety obligations. This conduct led to the tragic death of a worker on a construction site. Today’s guilty plea should serve as a reminder to all businesses that failure to comply with safety regulations endangers their workers and unfairly disadvantages business that are following the rules, and this Office will hold you accountable.”
According to statements and filings in federal court:
In 2017, ONEKEY and O’NEILL implemented a soil compaction plan at a construction site at 1 Dutchess Avenue in Poughkeepsie. The soil compaction plan involved piling large quantities of dirt, called “surcharges,” on top of the sites of three future buildings. An engineering firm designed a plan for the use of the surcharges. ONEKEY and O’NEILL did not follow this plan. Instead, they built a wall to hold back one of the surcharges, so workers could get started on the buildings next to it. ONEKEY and O’NEILL did not consult with any qualified person to see if the wall could withstand the weight to be placed on it by the surcharge.
While people were working next to the wall, ONEKEY kept using construction machinery to add dirt to the surcharge pressing up against the wall. The people working near the wall were not warned about the dangers it created. ONEKEY and O’NEILL heard from people working at the site that the wall was not safe. They did not fix the wall.
On August 3, 2017, workers complained that construction machines were driving on top of the surcharge, adding dirt to it. Later that day, the wall collapsed. As it fell, Victim-1 ran away from the wall, but he could not get away in time and was killed.
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ONEKEY, LLC, a New Jersey corporation, pled guilty to one count of willful violation of OSHA regulations resulting in death. The foregoing count carries a maximum fine of $500,000. FINBAR O’NEILL, 57, of Paramus, New Jersey, pled guilty to one of count of willful violation of OSHA regulations resulting in death. The foregoing count carries a maximum sentence of six months in prison and a maximum fine of $250,000.
The maximum potential penalties in this case 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 OSHA and the Department of Labor, Office of the Inspector General (“DOL-OIG”).
The case is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Steven J. Kochevar and Stephanie Simon are in charge of the prosecution.
Former U.S. soldier sentenced to life in prison for murder of Fort Stewart servicemember stabbed to death in installation housingRead the Press Release
SAVANNAH, GA: A former U.S. Army sergeant who admitted he stabbed to death a former fellow soldier in his Fort Stewart barracks room has been sentenced to life in federal prison.
Byron Booker, 29, of Ludowici, Ga., was sentenced to life in prison after previously pleading guilty to Premeditated Murder of a Member of the United States Uniformed Services, said David H. Estes, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge R. Stan Baker also ordered Booker to pay a fine of $2,500 and to serve five years of supervised release upon completion of his prison sentence.
There is no parole in the federal system.
“Byron Booker squandered his own military career by illegally using drugs, and then murdered a former fellow soldier in cold blood in retaliation for that soldier honorably performing his duties,” said U.S. Attorney Estes, a retired U.S. Army Colonel. “The sentence of life in prison with no parole will serve a measure of justice for Austin Hawk’s family, while affirming the outstanding investigative work that led to Booker’s conviction.”
Booker’s co-defendant, Jordan Brown, 21, of St. Marys, Ga., awaits sentencing after entering a plea of guilty in December 2022 to Assault Upon a U.S. Servicemember Involving Bodily Injury or a Deadly Weapon, and Retaliation Against a Witness Involving Bodily Injury.
As described in court testimony and in the plea agreements for the defendants, Booker, a former U.S. Army sergeant, admitted he and Brown discussed “silencing” Specialist Austin J. Hawk, 21, at Fort Stewart Military Reservation in retaliation for Hawk reporting Brown to U.S. Army leadership for marijuana use. After gaining entry to Hawk’s barracks room shortly after midnight on June 17, 2020, Booker “slashed and stabbed Hawk repeatedly with a sharp-edged weapon.” A medical examiner noted that Hawk received 40 separate stab or slash wounds, many of them that individually would have been fatal, and cut his own hand during the assault.
Hawk’s body was found in his Fort Stewart barracks room the next day.
“This sentence holds Booker accountable for his actions and hopefully brings some closure to the victim’s family,” said Rusty Higgason, assistant special agent-in-charge of the Department of the Army Criminal Investigation Division’s Southeast Field Office. “This complex investigation is a great example of the close teamwork among Army CID, the U.S. Army Criminal Investigation Laboratory, FBI, and the U.S. Attorney’s Office in the Southern District of Georgia.”
“This sentence represents a measure of justice for Austin Hawk, a man who was murdered for simply following the rules,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Hawk’s family and friends will never be rid of the pain this senseless murder has caused them, but hopefully it gives them some sense of resolve to know that Booker will spend the rest of his life in prison.”
U.S. Attorney Estes also commended the work of CID Forensic Science Technicians from Fort Stewart, Fort Bragg, Fort Gordon, and Fort Jackson, and from the analysts with the U.S. Army Criminal Investigation Laboratory and the FBI Crime Lab.
The Department of the Army Criminal Investigation Division and the FBI are investigating the case, which is being prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorneys Jennifer G. Solari and Darron J. Hubbard.
Former U.S. Navy Captain Sentenced to 30 Months in Prison in International Navy Bribery ScandalRead the Press Release
For Further Information, Contact:
Assistant U.S. Attorney Mark W. Pletcher (619) 546-9714 and Valerie H. Chu (619) 546-6750SAN DIEGO – U.S. Navy Captain (Retired) David Williams Haas was sentenced today to 30 months in prison by a federal district judge in San Diego on charges that he received more than $90,000 in bribes from foreign defense contractor Leonard Francis, who plied him with luxurious hotel stays, travel, and prostitutes. Haas was also ordered to pay a criminal fine of $30,000 and restitution in the amount of $90,968.82.
“Public corruption erodes the very fabric of our democracy, threatening the reputation and functioning of our institutions and thus the ability of the United States to lead with credibility,” said U.S. Attorney Randy S. Grossman. “Today’s sentencing, in part, replenishes the well of democracy, signaling to all Americans that the business of your public institutions will be conducted in the light, without bias or favor.”
According to court documents, Haas reciprocated by using his influence within the Navy’s Seventh Fleet to steer ships to GDMA-controlled ports and otherwise advance the interests of Francis and GDMA.
According to the court documents, Haas received the following bribes, among others, from Francis:
- On May 11-15, 2012, Francis paid for rooms at the Shangri-La in Jakarta, Indonesia, plus dinner, entertainment at a night club, alcohol and prostitutes for Haas and others.
- On June 29-30, 2012, in Tokyo, Japan, Francis paid for a two-day party for Haas and others including transportation, dinner at Nobu Restaurant and entertainment at several hostess clubs where the services of prostitutes were provided, at a cost of more than $75,000.
“Mr. Haas’ sentencing brings accountability and closure to the willful illegal acts of a former U.S. Navy officer, who abused his position, to illegally enrich himself and others, at the expense of the American taxpayer, as well as the safety and security of our naval forces in the Pacific area of operations,” said Kelly P. Mayo, the Director of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS). “This outcome, and others associated with it, demonstrate the steadfast commitment of DCIS and our law enforcement partners to expose corruption within the Department.”
“Mr. Haas betrayed his oath to his country by soliciting, receiving, and accepting a stream of lavish gifts from GDMA, including over $90,000 in meals, entertainment, hotel expenses, and the services of prostitutes, in return for doing and omitting to do acts in violation of his official Navy duties,” said NCIS Director Omar Lopez. “NCIS and our law enforcement partners remain committed to fully investigating all allegations of bribery and corruption that threaten the integrity of the Department of the Navy.”
The case is being prosecuted by Assistant U.S. Attorneys Mark W. Pletcher, Valerie Chu, Michelle Wasserman, and David Chu of the U.S. Attorney’s Office for the Southern District of California.
DEFENDANT Case Number: 18CR3656
Captain (Retired) David Williams Haas Age 54 Kailua, Hawaii
SUMMARY OF CHARGES
Conspiracy to Commit Bribery, in violation of 18 U.S.C. § 371
Maximum Penalty: Five years in prison, a $250,000 fine or twice the gross pecuniary gain or twice the gross pecuniary loss, whichever is greater
INVESTIGATING AGENCIES
Defense Criminal Investigative Service
Naval Criminal Investigative Service
Defense Contract Audit Agency
Former Hulbert Public Schools Treasurer Pleads Guilty to Theft of Federal FundsRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Leslie Shannon Mack, age 53, of Hulbert, Oklahoma entered a guilty plea to an Information charging her with Theft or Bribery Concerning Programs Receiving Federal Funds, in violation of Title 18, United States Code, Section 666(a)(1)(A), punishable by up to 10 years of imprisonment, a fine up to $250,000.00, or both.
The Information alleged that between in and around June 2019 through on or about October 26, 2021, in the Eastern District of Oklahoma, the defendant, Leslie Shannon Mack, the former Treasurer of the Hulbert Public School, did embezzle, steal, obtain by fraud, and otherwise without authority knowingly convert to the use of any person other than the rightful owner and intentionally misapply, property valued at $5,000.00 or more, and that was owned by and was under the care, custody, and control of the Hulbert Public School District.
During the plea hearing, the defendant admitted that she issued excess payroll payments to herself, above and beyond her authorized salary, that she issued payments to another individual, above and beyond that individual’s authorized salary, and that she allowed another individual access to the financial accounting system. The defendant further acknowledged that these actions resulted in a loss to the Hulbert Public School District of more than $550,000, but less than $1,500,00.00.
The charges arose from an investigation by the Oklahoma State Bureau of Investigation and the United States Department of Education – Office of Inspector General.
The Honorable Gerald L. Jackson, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report. The defendant was released on a personal recognizance bond pending sentencing.
Assistant United States Attorney Kara Traster represented the United States.
Former Employee of Technology Company Pleads Guilty to Stealing Confidential Data and Extorting Company for RansomRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that NICKOLAS SHARP pled guilty today in Manhattan federal court to multiple federal crimes in connection with a scheme he perpetrated to secretly steal gigabytes of confidential files from a public New York-based technology company where he was employed (“Company‑1”). While purportedly working to remediate the security breach for Company-1, SHARP extorted the company for nearly $2 million for the return of the files and the identification of a remaining purported vulnerability. SHARP subsequently re-victimized his employer by causing the publication of misleading news articles about the company’s handling of the breach that he perpetrated, which were followed by the loss of over $4 billion in Company-1’s market capitalization. SHARP pled guilty to intentionally damaging a protected computer, wire fraud, and making false statements to the Federal Bureau of Investigation (“FBI”) before U.S. District Judge Katherine Polk Failla.
U.S. Attorney Damian Williams said: “Nickolas Sharp’s company entrusted him with confidential information that he exploited and held for ransom. Adding insult to injury, when Sharp wasn’t given his ransom demands, he retaliated by causing false news stories to be published about the company, which resulted in his company’s market capitalization plummeting by over $4 billion. Sharp’s guilty plea today ensures that he will face the consequences of his destructive actions.”
As alleged in the Indictment and based on statements and filings made in court:
At all times relevant to the Indictment, Company-1 was a technology company headquartered in New York that manufactured and sold wireless communications products and whose shares were traded on the New York Stock Exchange. NICKOLAS SHARP was employed by Company-1 from in or about August 2018 through on or about April 1, 2021. SHARP was a senior developer who had access to credentials for Company-1’s Amazon Web Services (“AWS”) and GitHub Inc. (“GitHub”) servers.
In about December 2020, SHARP repeatedly misused his administrative access to download gigabytes of confidential data from his employer. For the majority of this cybersecurity incident (the “Incident”), SHARP used a virtual private network (“VPN”) service that he subscribed to from a company named Surfshark to mask his Internet Protocol (“IP”) address when he accessed Company-1’s AWS and GitHub infrastructure without authorization. At one point during the exfiltration of Company-1 data, SHARP’s home IP address became unmasked following a temporary internet outage at SHARP’s home.
During the course of the Incident, SHARP caused damage to Company-1’s computer systems by altering log retention policies and other files in order to conceal his unauthorized activity on the network. In or about January 2021, while working on a team remediating the effects of the Incident, SHARP sent a ransom note to Company-1, posing as an anonymous attacker who claimed to have obtained unauthorized access to Company-1’s computer networks. The ransom note sought 50 Bitcoin, a cryptocurrency — which was the equivalent of approximately $1.9 million, based on the prevailing exchange rate at the time — in exchange for the return of the stolen data and the identification of a purported “backdoor,” or vulnerability, to Company-1’s computer systems. After Company-1 refused the demand, SHARP published a portion of the stolen files on a publicly accessible online platform.
On or about March 24, 2021, FBI agents executed a search warrant at SHARP’s residence in Portland, Oregon, and seized certain electronic devices belonging to SHARP. During the execution of that search, SHARP made numerous false statements to FBI agents, including, among other things, in substance, that he was not the perpetrator of the Incident and that he had not used Surfshark VPN prior to the discovery of the Incident. When confronted with records demonstrating that SHARP purchased the Surfshark VPN service in July 2020, approximately six months prior to the Incident, SHARP falsely stated, in part and substance, that someone else must have used his PayPal account to make the purchase.
Several days after the FBI executed the search warrant at SHARP’s residence, SHARP caused false news stories to be published about the Incident and Company-1’s response to the Incident and related disclosures. In those stories, SHARP identified himself as an anonymous whistleblower within Company-1 who had worked on remediating the Incident. In particular, SHARP falsely claimed that Company-1 had been hacked by an unidentified perpetrator who maliciously acquired root administrator access to Company-1’s AWS accounts. In fact, as SHARP well knew, SHARP had taken Company-1’s data using credentials to which he had access in his role as Company‑1’s AWS cloud administrator, and SHARP had used that data in a failed attempt to extort Company-1 for millions of dollars.
Following the publication of these articles, between March 30, 2021, and March 31, 2021, Company-1’s stock price fell approximately 20%, losing over $4 billion in market capitalization.
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SHARP, 37, of Portland, Oregon, pled guilty today to one count of transmitting a program to a protected computer that intentionally caused damage, one count of wire fraud, and one count of making false statements to the FBI. These offenses carry a total maximum sentence of 35 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. SHARP is scheduled to be sentenced by Judge Failla on May 10, 2023, at 3:00 p.m.
Mr. Williams praised the outstanding investigative work of the FBI.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Vladislav Vainberg and Andrew K. Chan are in charge of the prosecution.
Former Columbus police officer sentenced to 9 years in prison for trafficking fentanyl, accepting bribesRead the Press Release
COLUMBUS, Ohio – A former Columbus police officer was sentenced in federal court today to 108 months in prison for conspiring to distribute more than eight kilograms of fentanyl and accepting bribes to protect the transportation of cocaine.
Marco R. Merino, 45, of Columbus, was arrested by federal agents in September 2021 and pleaded guilty in February 2022.
“We cannot allow those who took an oath to uphold law and order to begin violating the law,” said U.S. Attorney Kenneth L. Parker. “This office will hold lawbreakers accountable, no matter their profession.”
From June to September 2021, Merino conspired with another Columbus police officer to traffic fentanyl. Merino distributed fentanyl to another individual on at least three occasions and accepted $32,500 for approximately one of the kilograms of fentanyl.
In March, April, May, August and September 2021, Merino accepted a total of $45,000 in cash in exchange for protecting the safe transport of at least 47 kilograms of cocaine. Merino possessed a firearm in furtherance of the protection of cocaine. Unbeknownst to Merino, there was no actual cocaine and each of the transactions was controlled by federal law enforcement.
Court documents detail that Merino tried to recruit a confidential informant to traffic drugs with him. Merino promised law enforcement protection to the individual and said he could intervene if other law enforcement agencies attempted to investigate the confidential informant.
Fellow former Columbus police officer John J. Kotchkoski, 33, of Marengo, Ohio, awaits sentencing.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Ohio Attorney General Dave Yost; and Columbus Police Chief Elaine Bryant announced the sentence imposed today by U.S. District Judge Edmund A. Sargus, Jr. Assistant United States Attorneys Peter K. Glenn-Applegate and Elizabeth A. Geraghty are representing the United States in this case.
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Florida Man Sentenced for Making Threatening CommunicationsRead the Press Release
BOSTON – A Florida man was sentenced today in federal court in Springfield for sending threatening communications to the Department of Veterans Affairs.
Drummond Neil Smithson, 31, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 14 months in prison and three years of supervised release. In November 2022, Smithson pleaded guilty to one count of use of interstate communications to transmit a threat to injure.
On or about July 19, 2020, Smithson, an Army veteran, mailed a threatening communication from Ayer, Mass., to the Department of Veterans Affairs threatening to injure members of Moms Demand Action, a grassroots organization advocating for the end to gun violence. In the letter, Smithson threatened, among other things, “If you take my pension there is going to be retaliation,” and, “You take my pension and the second I get out of prison I will go to a Moms Demand Action meeting […] Try me.”
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Department of Veterans Affairs’ Office of Inspector General; Federal Bureau of Investigations, Miami Field Office; and Federal Medical Center, Devens, Special Investigations Section. Assistant U.S. Attorney Kristen Noto of Rollins’ Worcester Branch Office prosecuted the case.
Federal Prison Escapee Arrested and Sentenced to Additional Prison TimeRead the Press Release
MONROE, La. - United States Attorney Brandon B. Brown announced that Terrell L. Kellum, 35, of Shreveport, Louisiana, has been sentenced by United States District Judge Terry A. Doughty to 24 months in prison, followed by 3 years of supervised release, for escaping from federal custody.
In 2016, Kellum pleaded guilty in U.S. District Court to being a convicted felon in possession of a firearm and was sentenced to 57 months in federal prison. After having served the majority of his time with the Bureau of Prisons, he was transferred in December 2019 to a residential halfway house in Monroe to complete his federal sentence. Kellum signed and agreed to Bureau of Prison’s Community Based Program Agreement subjecting him to certain rules and supervision while at the halfway house.
On March 10, 2020, Kellum left the halfway house at approximately 10:00 a.m. and told the staff that he was going to work. At 10:27 a.m., officers with the Monroe Police Department contacted staff at the halfway house wanting to question Kellum in connection with illegal check cashing activity. Officers determined that Kellum never showed up for work that day, nor did he ever report back to the halfway house, and he was placed on escape status. Deputies with the United States Marshal’s Service searched the area for Kellum to no avail. In August 2022, Kellum was arrested in Tarrant County, Texas and was returned to federal custody status.
The case was investigated by the United States Marshal’s Service and Monroe Police Department and prosecuted by Assistant U.S. Attorney Cytheria D. Jernigan.
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Doniphan Woman Sentenced for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Steven Russell announced that Stacy Lynn Delamotte, 36, of Doniphan, Nebraska, was sentenced today in federal court in Lincoln for possession with intent to distribute 50 grams or more of methamphetamine. United States District Judge John M. Gerrard sentenced Delamotte to 70 months’ imprisonment. There is no parole in the federal system. After her release from prison, she will begin a 4-year term of supervised release. She will also forfeit to the United States $6,000 in United States currency. The money seized was proceeds from her drug activities.
On March 24, 2021, officers from the Grand Island Police Department responded to a report of shoplifting at Menards in Grand Island. Delamotte tried to conceal items inside of a box in an attempt to avoid paying for them. When confronted, she fled on foot. Officers located her vehicle in the parking lot, a 2013 Chrysler 300. A review of the surveillance video showed Delamotte exit the driver’s seat of the Chrysler 300 upon arriving at Menards.
Officers then towed and obtained a search warrant for the vehicle. The search revealed approximately one ounce of methamphetamine on the floor of the passenger seat. A backpack was removed and searched. Inside the backpack officers found approximately two more ounces of methamphetamine, a digital scale, and a small baggie containing an additional one gram of methamphetamine. Investigators gained access to the locked glove box and recovered $6,000 in United States currency.
This case was investigated by the Grand Island Police Department and the Nebraska State Patrol.
District Man Found Guilty of Bias-Related Assault on African-American WomanRead the Press Release
WASHINGTON – Gueorgui Iskrenov, 33, of Washington, DC, has been found guilty on charges stemming from a hate crime in which he spit in the face of a female neighbor in Southwest Washington.
The announcement was made by United States Attorney Matthew M. Graves and Chief Robert J. Contee, III, of the Metropolitan Police Department.
Iskrenov was found guilty on February 1, 2023, of bias-related assault. The verdict followed a three-day trial in the Superior Court of the District of Columbia in front of Judge Andrea Hertzfeld, who scheduled a sentencing hearing for February 9, 2023.
According to the government’s evidence, on July 20, 2020, at approximately 2 p.m., the victim, an African-American female, was walking her service dog and crossing the exit ramp of her apartment complex by the Wharf in Southwest, Washington. Iskrenov drove his SUV up the exit ramp at a high rate of speed, almost hitting the victim and her dog. After the victim told him to be careful, Iskrenov began screaming racist and sexist epithets. Iskrenov then intentionally spit into the victim’s face, with the spit landing on her glasses and in her hair. Iskrenov drove away and was arrested 23 days later after he was positively identified. The government’s evidence at trial showed that Iskrenov had a history of racist tirades against African-American neighbors.
In announcing the verdict, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the case from the Metropolitan Police Department. They also commended the efforts of Assistant U.S. Attorneys Erica Rudolf and Katie Sessa, who prosecuted the case, and Assistant U.S. Attorneys Emily Kubo and Travis Wolf who investigated the case.
Des Moines Man Sentenced to 30 Years in Federal Prison for Exploiting Minors on SnapchatRead the Press Release
DES MOINES, IA – Shaun Taylor Solem, age 27, of Des Moines, was sentenced on February 1, 2023, to a total of 360 months in prison for multiple child exploitation offenses. Following his prison term, Solem will be on supervised release for ten years and required to register as a sex offender. There is no parole in the federal system.
In 2019 and 2020, Solem communicated with multiple minor females on Snapchat, including victims he knew were as young as twelve years old. During his communications, Solem falsely stated that he was a similar age. Solem requested and received sexually explicit images from many of the victims. He directed several of the minor victims to take explicit photos or videos of themselves and multiple victims did. After receiving the images, Solem threatened to disseminate their images to family, friends, or publicly if the victims did not continue to send sexual images to him. The minor victims ranged in age from 12 to 16 years old and were located across the United States, including at least three minor victims who lived near Des Moines.
“Parents, please continue to be aware of who your children and teenagers are interacting with on social media sites. Relentless predators like Solem have no reservation in attempting to exploit their way into any home via the internet. In this case, the combined efforts of a vigilant parent and dedicated law enforcement officers brought a dangerous predator out from behind his keyboard and into incarceration for a lengthy period of time. Child exploitation of any kind will not be tolerated, and predators will be brought to justice,” United States Attorney Richard D. Westphal said. The case was investigated by the Urbandale Police Department, Iowa Division of Criminal Investigation (DCI)’s Internet Crimes Against Children Task Force, and the FBI Child Exploitation Task Force.
The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Parents and guardians are encouraged to have open and ongoing conversations about internet safety with children. For more information about Internet safety education, please visit https://www.justice.gov/psc and click on the Publications & Resources tab.
Des Moines Man Sentenced on Firearm OffensesRead the Press Release
Des Moines, IA – Kenneth Quinton Crosby, age 24, of Des Moines, was sentenced today to 12 months and 1 day in prison following his guilty plea to four counts of False Statement During Purchase of a Firearm and one count of Unlawful Drug User in Possession of Firearms. Following his prison term, Crosby also will have to serve three years of supervised release. There is no parole in the federal system.
According to court documents, Crosby purchased at least five firearms in 2020 and 2021. Each time he did, Crosby knowingly made several false misrepresentations on a required form, the Bureau of Alcohol, Tobacco, Firearms, and Explosive (ATF) Form 4473. This Form requires firearm buyers to answer several questions, including those about the buyer’s competency, criminal history, drug use, immigration status, and history with domestic violence. On February 9, 2022, Crosby knowingly possessed four pistols while being an unlawful user of marijuana.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the case. Assistant U.S. Attorney Kyle Essley 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. In May 2021, the Department of Justice 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.
Council Bluffs Man Sentenced for Firearm OffenseRead the Press Release
COUNCIL BLUFFS, IA – Christopher Logan Meadows, age 24, of Council Bluffs, was sentenced on January 31, 2023, to 37 months in prison following his plea of guilty to being a prohibited person in possession of a firearm. After he is released from prison, Meadows will serve three years of supervised release.
On January 17, 2022, law enforcement was called to Harrah’s Casino and encountered Meadows. Meadows ran from officers and threw something on the roof of a car wash, which was later located and identified as a Glock .45 caliber handgun. Meadows was prohibited from possessing firearms because he is a felon and was a drug user.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Council Bluffs Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated 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. In May 2021, the Department of Justice 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.
Convicted Murderer Indicted for Possession of Firearm and AmmunitionRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces the unsealing of an indictment charging Cody Richard Hawk (51, Ocklawaha) with possession of firearm and ammunition by a convicted felon. If convicted, Hawk faces up to 15 years in federal prison.
According to the indictment, on October 9, 2022, Hawk possessed a Savage Arms rifle and Winchester ammunition. At that time, Hawk had five previous felony convictions, including second-degree murder with a firearm, statutory rape, felon in possession of a handgun, failure to comply with registration law, and possession of methamphetamine. As a convicted felon, he is prohibited from possessing firearms and ammunition under federal law.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Marion County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It will be prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
This case is part of the 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 for occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Convicted Felon from Worcester Pleads Guilty to Cocaine and Firearm OffensesRead the Press Release
BOSTON – A Worcester man pleaded guilty today to drug and firearm offenses.
Rodney Hall, 38, pleaded guilty to possession with intent to distribute more than 500 grams of cocaine and being a felon in possession of a firearm. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for May 17, 2023. Hall was originally indicted by a federal grand jury in January 2021 and charged in a superseding indictment in September 2022.
On Sept. 30, 2020, Hall’s apartment was searched, where approximately 634 grams of crack cocaine, a loaded .25 caliber Beretta handgun, plastic baggies, $7,000 in cash and a digital scale were found. Hall is prohibited from possessing a firearm due to his criminal history, which includes previous convictions for possession of a large capacity weapon and trafficking cocaine.
For the drug charge, Hall faces a minimum sentence of five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a fine of up to $5 million. The charge of being a felon in possession of a firearm provides for a sentence of up to 10 years in prison, up to 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.
United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. Assistant U.S. Attorneys John T. Mulcahy and Evan D. Panich of Rollins’ Criminal Division are prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Columbus Tax Preparer Pleads Guilty to Federal Charges for Filing Fraudulent Tax Returns, Not Paying Personal TaxesRead the Press Release
COLUMBUS, Ga. – A Columbus-based tax preparer pleaded guilty in federal court this morning to charges that she submitted false claims for tax credits for her clients and also failed to pay her own personal taxes.
Nadine Word, 35, pleaded guilty to one count of aiding and assisting in the preparation and presentation of false and fraudulent individual income tax returns and one count of willful failure to file return, supply information, or pay tax before U.S. District Judge Clay Land today, Feb. 2. Word faces a maximum of three years imprisonment to be followed by one year of supervised release and a $100,000 fine for the first count and a maximum sentence of one year imprisonment to be followed by one year of supervised release and a fine of $25,000 for the second count. Sentencing is scheduled for June 13. There is no parole in the federal system.
“Tax preparers have an ethical and legal obligation to file correct tax returns for their clients, and should—of course—be paying their own taxes,” said U.S. Attorney Peter D. Leary. “This kind of fraud greatly harms the public trust; individuals in the Middle District of Georgia caught illegally gaming the system by making up false claims to reap larger refunds or pay less taxes than everybody else will be held accountable at the federal level.”
“Nadine Word pleaded guilty to preparing and submitting false tax returns and failing to file her personal tax returns. As tax season is currently underway, citizens should be reminded that committing tax fraud will lead to criminal prosecution,” said James E. Dorsey, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office.
According to court documents, between at least 2014 and 2018, Word prepared and submitted fraudulent tax returns out of her tax preparation business, Superior Taxes. These fraudulent returns resulted in greater tax refunds for Word’s clients and greater fees for Word, amounting to a total loss of $586,565. Word would submit fraudulent claims for earned income credits, education credits and business losses. She also failed to file her own tax returns during that time period.
The most common fraudulent claim Word submitted was for education credits for individuals who did not attend the school listed on the Form 8863 submitted with the Form 1040 tax return. An analysis of tax returns claiming education credits revealed that 408 of 494 claims filed by Word had no supporting education records at the documented educational institution. The falsely submitted education credits from these 408 claims resulted in a tax loss of $556,145. Additionally, the IRS evaluated 31 individual returns finding false education credits, false earned income credits and false business expenses. Every return included at least one false item. The tax loss for those 31 returns is $64,767. The total tax loss from the false education credits and the 31 individual returns, discounting duplications from the false education credits, is $586,565.
The case was investigated by IRS.
Assistant U.S. Attorney Amy Helmick is prosecuting the case for the Government.
Chula Vista Man Sentenced for Blowing up ATMsRead the Press Release
For Further Information, Contact:
Assistant U. S. Attorney Shital H. Thakkar (619) 546-8785 and Andrew Sherwood (619) 546-9690SAN DIEGO – Chad Lee Engel was sentenced in federal court today to 138 months in prison for blowing up ATM machines to steal the money contained inside.
Engel pleaded guilty in July 2022, admitting that he participated in conduct outlined in the original indictment, including his part in causing the explosion that damaged a California Coast Credit Union ATM, located at 4285 Ruffin Road in San Diego, on July 4, 2017; and an ATM located at a Chevron gas station, located at 9650 Miramar Road in San Diego on August 13, 2017.
In the first incident, Engel admitted that he and a coconspirator made and detonated a pipe bomb on a metal shelf underneath the ATM, which caused significant damage to the ATM’s structure, but did not expose the money contained inside. After a joint investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the San Diego Fire-Rescue Department’s Metro Arson Strike Team and the FBI, bomb technicians identified the post-blast debris as a destructive device.
Engel admitted that in the second incident, in the early morning hours of August 13, 2017, he and an accomplice approached an outdoor ATM located at a Chevron gas station. They worked together to drill a hole in its housing, and dispersed an unknown gas (such as acetylene or propane) into the ATM. Engel then placed and ignited a hobby fuse inside the drilled hole, which resulted in an explosion that destroyed the ATM. After the explosion, Engel retrieved a cash box from the post-blast debris that contained approximately $7,000, and both he and the coconspirator fled. Later that day, bomb technicians identified the use of the gas to blow up the ATM as a destructive device.
After Engel and his coconspirator were charged in 2017, additional investigation by the U.S. Attorney’s Office and ATF investigators revealed that Engel and the accomplice attempted to locate and break into other ATM machines before their activities on July 4 and August 13 of 2017 were discovered. Through his plea of guilty, Engel admitted that on June 18, 2017, they broke into a Super Laundry in National City where they hoped to burglarize an ATM machine located inside. Although they were unsuccessful in breaking into that ATM machine, they stole approximately $140 from within the Super Laundry.
One week later, on June 25, 2017, Engel and his coconspirator broke into another ATM machine located at a 76 Gas Station located at 12860 Rancho Peñasquitos Boulevard in San Diego. They loaded the ATM into their vehicle, took the ATM to an area near Fiesta Island, and used a grinder and cutting torch to break into the ATM, which allowed them to steal the money located inside. Eventually, a subsequent indictment incorporated these actions into Engel’s charges, and he admitted to them in his plea agreement.
“This is a just sentence for a defendant whose dangerous actions caused significant damage,” said U.S. Attorney Randy Grossman. “If you use explosives to break the law, you are going to prison for a long time.” Grossman thanked the prosecution team, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Metro Arson Strike Team, the Federal Bureau of Investigation and the National City Police Department for their excellent work on this case.
“ATF is dedicated to preventing and reducing violent crime involving the criminal misuse of explosives, and protecting the public by enforcing laws and regulations governing the explosives industries,” said ATF Los Angeles Field Division Acting Special Agent in Charge Jennifer Cicolani. “ATF remains vigilant about working with its partners to keep the public safe by investigating and perfecting charges against those who misuse explosives for greed and public destruction.”
DEFENDANT Case Number 17-cr-03401-JLS
Chad Lee Engel Age: 50 Chula Vista, CA
SUMMARY OF CHARGES
Use of an Explosive to Commit a Felony in violation of 18 U.S.C § 844(h)
Maximum Penalty: Mandatory minimum 10 years in prison, consecutive to any other sentence;
Conspiracy to Commit Bank Burglary in violation of 18 U.S.C §§ 2113(b) and 371
Maximum Penalty: Ten years in prison
AGENCY
Bureau of Alcohol, Tobacco, Firearms and Explosives
San Diego Fire Department
San Diego Police Department
Federal Bureau of Investigation
National City Police Department
"This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case is also the result of the ongoing efforts of the Violent Crime and Human Trafficking (VCHT) Section. Formed in 2019, the VCHT is tasked with leading collaborations between federal and local law enforcement in the investigation and prosecution of cases involving violent crimes, firearms and gang cases; sex trafficking and child exploitation; civil rights, and labor trafficking. The VCHT Section oversees the Southern District of California Coordinators for Project Safe Neighborhoods, Human Trafficking, and Project Safe Childhood. The VCHT Section also provides federal prosecutors to the downtown San Diego Violent Crimes Task Force-Gang Group, the North County Gang Task Force, and the East County Gang Task Force.
Cecil County Woman Pleads Guilty to Federal Charges Related to Her Sexual Abuse of a Four Month ChildRead the Press Release
Baltimore, Maryland - Summer Nichole McCroskey, age 25, of Elkton, Maryland, pleaded guilty today to federal charges related to her participation in a conspiracy to sexually abuse a child, from the age of approximately four months to two years old, to producing and distributing images documenting the sexual abuse of the child, and to possession of child pornography.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Cecil County State’s Attorney James Dellmyer; and Cecil County Sheriff Scott Adams.
At today’s plea hearing, McCroskey admitted that she and her co-conspirator sexually abused a child, starting at the time the victim was approximately four months of age through at least October 2021, when the victim was two years old, and produced videos and images of the abuse. The abuse included oral, vaginal, and anal penetration, as well as bondage, and both McCroskey and her co-conspirator participated in the abuse. Additionally, McCroskey distributed the files documenting the sexual abuse of the child to her co-conspirator and others using an encrypted messaging application.
McCroskey faces a mandatory minimum of 15 years and a maximum of 30 years in federal prison for conspiracy to sexually exploit a child and for each of seven counts of sexual exploitation of a child; a mandatory minimum of five years and a maximum of 20 years in federal prison for each of five counts of distribution of child pornography; and a maximum of 20 years in federal prison for each of three counts of possession of child pornography. U.S. District Judge Richard D. Bennett has scheduled sentencing for McCroskey on May 18, 2023, at 11:00 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI, the Cecil County State’s Attorney’s Office and the Cecil County Sheriff’s Office for their work in the investigation and thanked Assistant U.S. Attorneys Paul E. Budlow and Colleen E. McGuinn who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Camden County Man Admits Hiring Hitman via InternetRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man today admitted paying $20,000 in bitcoin to have a 14-year old child murdered, U.S. Attorney Philip R. Sellinger announced.
John Michael Musbach, 31, of Haddonfield, New Jersey, pleaded guilty before U.S. District Judge Joseph H. Rodriguez in Camden federal court to an indictment charging him with one count of knowingly and intentionally using and causing another to use a facility of interstate and foreign commerce, that is the internet, with the intent that a murder be committed.
According to documents filed in this case and statements made in court:
In the summer of 2015, Musbach exchanged via the internet sexually explicit photographs and videos with the victim, a 13-year-old living in New York. The victim’s parents found out about the inappropriate contact and contacted the local police. Upon identifying Musbach, then a resident of Atlantic County, New Jersey, New York law enforcement officers reached out to the Atlantic County Prosecutor’s Office (ACPO). In March 2016, officers from the ACPO arrested Musbach on child pornography charges and executed a search warrant at his residence, then in Galloway, New Jersey.
Musbach decided to have the victim killed so that the victim could not testify against him in the pending criminal case. During the period from May 7, 2016, through May 20, 2016, Musbach repeatedly communicated with the administrator of a murder-for-hire website, which operated on the dark net, and which purported to offer contract killings or other acts of violence in return for payment in cryptocurrency, and arranged for a murder-for-hire. Musbach asked if a 14-year-old was too young to target, and upon hearing that the age was not a problem, paid approximately 40 bitcoin (approximately $20,000 at the time) for the hit. Musbach repeatedly messaged the website’s administrator following up on the hit and asking when it would occur. When pressed for an additional $5,000 to secure the hit, Musbach eventually sought to cancel and asked for a refund of his $20,000. The website’s administrator then revealed that the website was a scam and threatened to reveal Musbach’s information to law enforcement.
The charge of use of interstate commerce facilities in the commission of murder-for-hire is punishable by a maximum potential penalty of 10 years in prison and a fine of the greater of $250,000, twice the gross profits to Musbach or twice the gross losses to the victim of his offense. Sentencing is scheduled for June 13, 2023.
U.S. Attorney Sellinger credited special agents of the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Ricky J. Patel in Newark and Special Agent in Charge Tracy Cormier in St. Paul, Minnesota, with the investigation leading to today’s guilty plea. He also thanks the Atlantic County Prosecutor’s Office for its assistance.
The government is represented by Assistant U.S. Attorney Diana Vondra Carrig in Camden.
Buffalo Man Pleads Guilty to Assaulting an FBI AgentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Tyler Collins, 27, of Buffalo, NY, pleaded guilty before Senior U.S. District Judge William M. Skretny to assaulting a federal officer and causing a bodily injury. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorneys Franz M. Wright and Douglas A. C. Penrose, who are handling the case, stated that on July 12, 2022, at approximately 4:00 p.m., Collins attempted to enter the FBI-Buffalo Division main office but was denied entry by the security guards inside of the front door. At the time, three federal agents were walking back to the main office and encountered Collins, who they observed was yelling into the intercom system. Collins was heard yelling expletives while physically banging on the FBI building’s door demanding entry. One of the federal agents attempted to calm Collins, at which time Collins punched the federal agent, physically assaulting him. One of the other federal agents discharged pepper spray, in an attempt to subdue Collins, who then fled on Elmwood Avenue. Collins was later taken into custody that evening after he was found walking on Delaware Avenue.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Acting Special Agent-in-Charge Darren Cox, and the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia.
Sentencing is scheduled for June 7, 2023, at 10:30 a.m. before Judge Skretny.
British Nationals Plead Guilty to Interference with Flight Crew, Assault on Flight Diverted to BGRRead the Press Release
BANGOR, Maine: Two men from Manchester, England pleaded guilty in U.S. District Court in Bangor today to interference with a flight crew and assault. The charges stem from an incident on a TUI Airways flight that diverted to Bangor International Airport (BGR) last month.
According to court records, Anthony Joseph James Kirby, 36, and Damien Jake Murphy, 36, were passengers aboard a TUI Airways flight traveling from Cancun, Mexico to Manchester, England on January 2, 2023. While the flight was in U.S. airspace, the FAA received a report that two passengers had repeatedly interfered with members of the flight crew and flight attendants. After repeated warnings from the captain, the flight diverted to BGR with agents and officers from the FBI, Federal Air Marshal Service, U.S. Customs and Border Protection, and Bangor Police Department responding.
The investigation revealed that Kirby and Murphy had become upset after being told they would not be served any more alcohol. The pair then acquired a large bottle of alcohol from their carry-on luggage and continued to drink, becoming increasingly intoxicated. Despite repeated warnings, the two men continued to be belligerent, including using racial slurs. At one point Murphy assaulted a flight attendant, and Kirby assaulted a passenger. TUI Airways LTD incurred $26,589 in costs and expenses due to the unscheduled landing at BGR.
Kirby and Murphy each face up to 20 years in prison, a fine of up to $250,000 and three years of supervised release for the interference charge. For the assault charges, they face up to one year in prison, a $100,000 fine, and one year of supervised release. The men will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The FBI, Federal Air Marshal Service, U.S. Customs and Border Protection, and the Bangor Police Department investigated the case.
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Edited 03/15/23 to correct Bangor International Airport IATA code to BGR
Boston Tax Preparer Pleads Guilty to $2 Million Tax FraudRead the Press Release
BOSTON – The owner of a tax preparation business in Jamaica Plain pleaded guilty today in federal court in Boston to preparing false tax returns for his clients.
Joseph Rodriguez, 72, pleaded guilty to one count of aiding or assisting in filing a false tax return. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Sept. 12, 2023. Rodriguez was charged on Dec. 9, 2022.
On numerous occasions between 2014 and 2017, Rodriguez prepared and filed federal income tax returns for clients that contained false, inflated and incorrect information. Rodriguez added false, inflated and ineligible expenses on his clients’ Schedules A for medical and dental expenses, charitable contributions and unreimbursed employee business expenses. By inflating Schedule A deductions, Rodriguez decreased his clients’ taxable income and effectively increased the clients’ tax refunds. As a result, Rodriguez caused more than $2 million in tax loss to the IRS.
The charge of aiding or assisting in filing a false tax return provides for a sentence of up to three years in prison, one year of supervised release and a fine of $100,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney Kristen A. Kearney of Rollins’ Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Bogalusa Man Pleads Guilty to Violating the Federal Gun Control and the Federal Controlled Substances ActsRead the Press Release
NEW ORLEANS, LOUISIANA – CARLOS WALKER, age 33, a resident of Bogalusa, Louisiana, pled guilty on January 31, 2023 to one count of felon in possession of a firearm in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), one count of possession with intent to distribute a quantity of a mixture or substance containing a detectable amount of methamphetamine in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(C), and one count of possession of a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A), announced U.S. Attorney Duane A. Evans.
According to court documents, on September 24, 2021, officers with the Bogalusa Police Department observed a black Nissan Altima with a non-functioning headlight traveling east on Derbigny Street in Bogalusa, Louisiana. The officers conducted a traffic stop on the vehicle. As the officers approached the vehicle, they observed WALKER in the front passenger seat kicking his legs as if he were shoving something under the seat. One of the officers recognized WALKER and remembered that a warrant had been issued for his arrest.
After the confirming the warrant, the officers arrested WALKER. In a search incident to arrest, officers located approximately $4,000.00 in WALKER’S pocket. Officers then observed a Taurus Model G2C, nine-millimeter handgun under the passenger seat. Officers also located a small clear wrap containing seventeen (17) grams of methamphetamine in the front passenger door pocket.
A review of WALKER’S criminal record revealed that he had a prior felony drug convictions.
For the felon in possession count, WALKER faces a maximum term of imprisonment of ten (10) years, a fine of up to $250,000.00, and a term of supervised release of up to three (3) years. For the possession with intent to distribute count, WALKER faces a maximum term of imprisonment of twenty (20) years, a fine of up to $1,000,000.00, and a term of supervised release of at least three (3) years. For the possession of a firearm in furtherance of a drug trafficking crime count, WALKER faces a mandatory minimum term of imprisonment of five (5) years and a maximum of life imprisonment to run consecutive to any other sentence imposed, a fine of up to $250,000.00, and a term of supervised release of up to five (5) years. At sentencing, WALKER must pay a $100 mandatory special assessment fee for each count of conviction.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Bogalusa Police Department, and the St. Tammany Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney André Jones.
Behavioral Health Provider Pays $384K to Settle Allegations it Overbilled Connecticut MedicaidRead the Press Release
United States Attorney Vanessa Roberts Avery and Connecticut Attorney General William Tong today announced that COMMUNITY MENTAL HEALTH AFFILIATES, INC. (“CMHA”), has entered into a civil settlement agreement with the federal and state governments in which it will pay $384,322 to resolve allegations it overbilled the Connecticut Medicaid program for certain behavioral health services.
CMHA is a behavioral health provider with a headquarters in New Britain and has 10 locations in northwestern and central Connecticut. At one of its locations, Harvest House in New Britain, CMHA runs a group home for clients with serious and persistent mental illness.
CMHA provides Medicaid Rehabilitation Option (MRO) services to its clients residing at Harvest House. MRO services are designed to help clients who have functional disabilities secondary to serious and persistent mental illness achieve maximum functioning in self-care and independent living. In order to receive monthly MRO payments, a behavioral health provider, such as CMHA, must furnish clients with at least 40 hours of MRO services per month and document such services in accordance with Medicaid requirements.
The government alleges that CMHA submitted claims for MRO services to Connecticut Medicaid for certain clients for certain months at Harvest House and were paid the monthly fee for those services, but failed to document at least 40 hours of covered MRO services per month for the clients in question.
To resolve the governments’ common law claims, CMHA agreed to pay $384,322, which covers the time-period from January 2015 through December 2019.
The investigation of CMHA was initiated through the filing of a complaint under the whistleblower provisions of the federal and state False Claims Acts. The relator (whistleblower) will receive 15 percent of the settlement, in the amount of $57,648.
The case related to this settlement is captioned United States and State of Connecticut ex rel. Lugli v. Community Mental Health Affiliates, Inc. (Docket No. 20-cv-1483).
This matter was investigated by the Office of Inspector General for the Department of Health and Human Services. The case was prosecuted by Assistant United States Attorney Richard M. Molot, and by Assistant Attorney General Rick Porter of the Connecticut Office of the Attorney General.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.
Bangor Man Pleads Guilty to Theft of a Firearm from Main Street Pawn in LincolnRead the Press Release
BANGOR, Maine: A Bangor man pleaded guilty today in U.S. District Court in Bangor to theft of a firearm from a licensed firearms dealer.
According to court records, in July 2021, Jonathan Birtz, 39, stole a .380 caliber pistol from Main Street Pawn in Lincoln. Security footage showed Birtz reaching over the counter to take the pistol and then concealing it in a folded blanket he was carrying.
Birtz faces up to 10 years in prison followed by up to three years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The Lincoln Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
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Bakersfield Man Indicted for Being a Felon in Possession of AmmunitionRead the Press Release
FRESNO, Calif. — A federal grand jury returned a one-count indictment today against Lance Jakell Henderson, 26, of Bakersfield, charging him with being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Oct. 2, 2022, officers were called to the Marriott Courtyard hotel in Bakersfield regarding a domestic violence disturbance in progress. When officers arrived, they contacted Henderson after the victim identified him as the perpetrator. A search of a diaper bag held by a companion revealed a ghost gun (a gun with no serial number) loaded with eight rounds of 9 mm ammunition. Henderson told the officers that he took the gun from the room and put it in the diaper bag.
This case is the product of an investigation by the Bakersfield Police Department and the Federal Bureau of Investigation. Assistant U.S. Attorney Laurel J. Montoya is prosecuting the case.
If convicted, Henderson faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
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 U.S. Department of Justice 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.
Attempted Pipeline Bomber Sentenced to Five Years in Federal PrisonRead the Press Release
AUSTIN, Texas – A Fort Worth man was sentenced in federal court in Austin today to 60 months in prison for attempting to damage or destroy a portion of the Permian Highway Pipeline in Hays County.
According to court documents, Ryan Blake McKinney, 22, attempted to detonate a device near a section of the Permian Highway Pipeline on Jan. 26, 2022. He had conducted extensive planning for the attack and deliberately chose the Permian Highway Pipeline as part of his ideological fight against capitalism and climate change. McKinney intended to weaken Texas energy independence and ensure significant economic consequences. He turned himself in after his device failed to damage the pipeline due to a design flaw.
“Despite this defendant’s failed attempt to cause destruction, his intent, as shown in his thorough planning, posed an irresponsible and very dangerous risk,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “Our prosecution and the sentencing in this case make it clear that attacks on our nation’s critical infrastructure are unacceptable and will be met with the full force of the law.”
“This sentencing demonstrates the FBI's and our Joint Terrorism Task Force partners' commitment to protecting our communities from violent extremists who seek to advance their ideology through acts of terrorism,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “We would like to thank the Austin Police Department and the Hays County Sheriff's Office for their assistance on this case.”
The FBI investigated the case.
Assistant U.S. Attorneys G. Karthik Srinivasan and Michael C. Galdo prosecuted the case.
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