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9 February 2023
Arkansas Man Sentenced to Ten Years in Federal Prison for Meth ConvictionRead the Press Release
A man who conspired to distribute methamphetamine and distributed methamphetamine was sentenced on February 2, 2023, in federal court in Sioux City.
Leocadio Contreras-Sebastian, 38, from Warren, Arkansas, pled guilty on August 24, 2022, to one count of conspiracy to distribute methamphetamine and one count of distributing methamphetamine.
At the plea and sentencing hearings, evidence showed that from January 2020 through April 2, 2022, Contreras-Sebastian and others distributed at least 3.53 kilograms of pure methamphetamine in the Sioux City, Iowa area. On April 2, 2022, law enforcement conducted a controlled drug buy operation from defendant and his co-conspirators. Contreras-Sebastian distributed over 3 kilograms of pure methamphetamine in exchange for an initial payment of $5,000. Contreras-Sebastian admitted that he traveled from Arkansas to Sioux City, Iowa for the purposes of delivering the methamphetamine to another co-conspirator.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Contreras-Sebastian was sentenced to 10 years’ imprisonment and must serve a five-year term of supervised release. There is no parole in the federal system. Contreras-Sebastian remains in custody of the United States Marshal until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4026. Follow us on Twitter @USAO_NDIA.
Anchorage Man Sentenced to 10 Years for Stealing 22 GunsRead the Press Release
Defendants fired weapons during police chase and used stolen vehicle in commission of crimes
ANCHORAGE – An Anchorage man was sentenced yesterday to 10 years in federal prison for stealing 22 firearms from an Anchorage gun store in 2019.
According to court documents, Gian Carlo Clemente Pangilinan aka “G,” 26, pleaded guilty in September 2022 to stealing 22 firearms from Granny’s Guns, a federally licensed firearms dealer located in Anchorage, on June 6, 2019, along with three co-conspirators.
Pangilinan and the three co-conspirators drove a stolen Chevy Trailblazer to Wrightway Auto Carriers in Anchorage where they broke into the building and stole license plates, filing cabinets and a GMC Sierra pickup. Pangilinan and a co-conspirator then got into another stolen vehicle, a Chevy Suburban, and drove it through the front window of Granny’s Guns. The two other co-conspirators drove the stolen pickup alongside the broken window and loaded 22 firearms into the back of the truck and drove away. They later transferred the stolen firearms from the truck into a black GMC Denali and lit the stolen GMC Sierra pickup on fire in an effort to destroy evidence.
Later the same day, officers with the Anchorage Police Department tried to stop the GMC Denali and an associated gold pickup when multiple shots were fired from the gold pickup, occupied by Pangilinan and a co-conspirator. On June 18, 2019, Pangilinan and two co-conspirators attempted to recover an impounded vehicle which contained one of the stolen firearms from the Granny’s Guns burglary. All four co-conspirators were indicted in October 2020 and subsequently arrested on the charges. Pangilinan is also facing charges in state court.
“Stolen firearms are a threat to the safety of all Alaskans,” said U.S. Attorney S. Lane Tucker for the District of Alaska. “The blatant disregard for public safety and law enforcement both during and after this series of violent crimes by Pangilinan and his co-conspirators show just how dangerous they are to our community. We will continue to work closely with local, state and federal law enforcement to fight violent crime and keep our communities safe from people who endanger our neighborhoods.”
“All of the involved defendants demonstrated a complete indifference to the safety of others through their actions in their violent crime spree,” stated Police Chief Michael Kerle. “From the theft of multiple vehicles, to firing shots in public, driving erratically on our streets, and stealing multiple firearms; it is imperative they are held accountable for their behavior. Pangilinan’s sentencing is a big part of that. We are grateful for the efforts of all our law enforcement partners who were involved in seeing this case through.”
Co-conspirators in this case include:
- Muna Junior Rode, 23, pleaded guilty to stealing firearms and is awaiting sentencing.
- Kao Chiang Saelee, aka “Robbie,” 40, pleaded guilty to conspiracy to steal firearms from a licensed dealer and was sentenced to 5 years’ imprisonment.
- Hans Mikaele Wells, aka “Mika,” 26, pleaded guilty to stealing firearms and was sentenced to 9 years’ imprisonment.
The Anchorage Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case.
Assistant U.S. Attorney Jennifer Ivers prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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usao/ak/23-08
80-year-sentence imposed for sexual exploitation of multiple minor female victimsRead the Press Release
HOUSTON – A 26-year-old Houston resident has been ordered to federal prison for production and distribution of child pornography, announced U.S. Attorney Alamdar S. Hamdani.
Xavier Jay Reyes pleaded guilty Aug. 15, 2022, to two counts of sexual exploitation of a child and one count of distribution of child pornography.
Today, U.S. District Judge David Hittner sentenced Reyes to a total of 960 months in federal prison for all counts of conviction. He must also serve 10 years of supervised release, during which time, he will have to comply with numerous requirements designed to restrict his access to children and the internet.
In imposing the sentence, Judge Hittner also considered numerous impact statements from the exploited child victims Reyes used to create the child pornography he possessed in his collection.
Restitution will decided at a later date.
“Abhorrent and serial sexual abuse of minors will not be tolerated in the Southern District of Texas. Today’s sentencing makes that clear,” said Hamdani. “The damage has been done, but we hope this sentence gives some peace to the victims and helps in the long process of rebuilding their lives.”
In 2020, during an undercover online child pornography investigation, law enforcement discovered Reyes was producing and sharing images and videos of a minor female child engaging in sexually explicit conduct. The produced material included images and videos depicting Reyes engaging in violent, coercive and degrading abuse of the minor female victim.
A search warrant led to the discovery that Reyes abused and exploited at least two minor female victims for over a year. Reyes ultimately admitted to abusing at least one child victim.
Additionally, authorities discovered a collection of 907 images and 781 videos containing child pornography.
Reyes has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility in the near future.
Homeland Security Investigations conducted the investigation.
Assistant U.S. Attorneys Sherin Daniel and Luis Batarse are prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
8 February 2023
Worcester Man Pleads Guilty to Firearm and Ammunition OffenseRead the Press Release
BOSTON – A Worcester man pleaded guilty on Feb. 6, 2023 to unlawfully possessing a loaded firearm while a convicted felon.
Ahmed Sullay, 26, pleaded guilty to one count of being a felon in possession of a firearm and ammunition before U.S. District Court Judge Mark G. Mastroianni who scheduled sentencing for May 17, 2023. Sullay was indicted by a federal grand jury in May 2021.
On the evening of Nov. 18, 2020, a local officer on patrol observed a driver – later identified as Sullay – travelling in the wrong direction of a one-way road in Worcester. When the officer activated his emergency lights, Sullay reversed his vehicle at high speed and crashed into a traffic sign before fleeing on foot wearing sweatpants and a sweatshirt. The officer followed in pursuit before eventually losing sight of Sullay when he ran onto a nearby street. Soon after, Sullay was seen wearing only his underwear as he ran from a darkened alley in the vicinity towards a nearby parking lot. There, Sullay stole a black SUV and sped away without headlights before colliding with another vehicle at an intersection. Sullay was immediately taken into custody.
Sullay discarded a loaded Jimenez Arms, Model J.A. Nine, 9mm firearm while fleeing after his initial crash. Sullay is prohibited from possessing a firearm due to prior convictions.
The charging statute 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; and Worcester Police Chief Steven M. Sargent made the announcement. Assistant U.S. Attorney Danial E. Bennett of Rollins’ Worcester Branch Office is prosecuting the case.This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Williston Man Sentenced for Threatening Department of Veterans Affairs EmployeesRead the Press Release
BISMARCK – United States Attorney Mac Schneider announced that on February 8, 2023, U.S. District Court Judge Daniel L. Hovland sentenced Curtis Lee Moran, age 41, from Williston, ND, to serve 12 months in federal prison and 3 years of supervised release for committing the offense of Threatening Interstate Communications, in violation of 18 U.S.C. § 875(c). On June 16, 2022, law enforcement arrested Moran for this offense. Subsequently, the District Court ordered that Moran be detained pending resolution of his case. On November 3, 2022, the defendant pleaded guilty to the offense of Threatening Interstate Communications.
On June 14, 2022, Moran made several threatening phone calls to individuals employed with the United States Department of Veterans Affairs (VA). Initially, Moran called the White House VA Call Center and stated that he was going to kill his doctor. Thereafter, Moran called the Fargo VA Medical Center and left voice messages stating he was going to stab and harm his Fargo VA Medical Center doctor. The next day, on June 15, 2022, Moran again called the Fargo VA Medical Center and left a voicemail stating that he was going to shoot up the hospital.
“VA personnel and the veterans they serve should feel safe while working and receiving care within VA facilities,” said Special Agent in Charge Gregory Billingsley with the Department of Veterans Affairs Office of Inspector General’s Central Field Office. “The VA OIG and our law enforcement partners are committed to identifying and stopping individuals who would threaten VA personnel and operations.”
This case was investigated by the United States Department of Veterans Affairs- Office of Inspector General and prosecuted by Assistant U.S. Attorney Jonathan J. O’Konek.
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Visalia Resident Sentenced to 16.5 Years in Prison for Trafficking MethamphetamineRead the Press Release
FRESNO, Calif. — James Cox, 60, of Visalia, was sentenced today to 16 years and six months in prison for conspiring to distribute methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Cox and a third party, acting at Cox’s direction, received over a pound of methamphetamine in two separate transactions from co-defendant Renato Aguilera, 31, of Porterville, after negotiating with Pedro Delgado-Montenegro, 43, a former Porterville resident and a citizen of Mexico.
This case is the product of an investigation by the Drug Enforcement Administration with assistance from the Federal Bureau of Investigation, the Porterville Police Department, the Coalinga Police Department, and the Fresno Police Department. Assistant U.S. Attorney Karen Escobar is prosecuting the case.
Aguilera has pleaded guilty to participating in the drug conspiracy and was sentenced to seven years and three months in prison. Charges are pending against Delgado-Montenegro; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
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 www.justice.gov/OCDETF.
Visa holder convicted on drug conspiracy chargesRead the Press Release
LAREDO, Texas – A 53-year-old Mexican national who was residing in Houston has been convicted of trafficking approximately $650,000 in meth, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury sitting in Laredo deliberated for less than two hours before convicting Ana Maria Pena Gutierrez on both counts as charged following a two-day trial.
A former member of the conspiracy testified at trial and explained how Pena had hired and paid him to drive vehicles to and from Mexico. He also described he had 60 kilograms of meth on Feb. 25, 2021, which led to his arrest at a Laredo port of entry.
The jury also heard from an expert in financial records describing how irregular Pena’s bank activities were. Law enforcement also testified and detailed Pena’s confession and the entire conspiracy.
The jury heard approximately 100 kilograms of meth could be attributed to Pena which had an estimated street value of $650,000.
Pena attempted to convince the jury she did not know the drivers were transporting drugs into the United States. They did not believe her claims and found her guilty as charged.
U.S. District Judge Diana Saldana presided over the trial and will set sentencing at a later date. At that time, Pena faces up to life in prison as well as a possible $10 million fine. As a visa holder, she could also face removal proceedings.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Matthew Isaac and Jose Angel Moreno prosecuted the case.
U.S. Attorney’s Office Reaches Settlement Resolving Allegations that Charter Jet Service Repeatedly Violated Aviation Safety RegulationsRead the Press Release
The United States Attorney for the Southern District of Indiana, Zachary A Myers, announced today that Indy Jet Management, LLC and associated parties, Gary Aletto, GSA Investment, Inc., AirXL, LLC, Excel 2 LLC, Excel 3 LLC, Excel 4 LLC, CJI LLC, Indy Bravo LLC, Bradley Cable, and Citation Management LLC (“AirXL et al.”), have agreed to resolve allegations that they conducted illegal charter flights.
The settlement resolves allegations that between March 2017 and February 2018, Indy Jet Management operated approximately 168 paid passenger-carrying flights in violation of Federal Aviation Administration (“FAA”) safety regulations.
The FAA recognizes two types of leases of aircraft: “wet leases,” in which a charter jet company provides an aircraft and crew, and “dry leases,” in which an aviation leasing company leases only an aircraft—and the lessee is responsible for obtaining its own pilots and services. The FAA requires charter jet companies that provide aircraft and crew to their customers through “wet leases” to obtain operating or air carrier certificates. These charter jet companies must also ensure their pilots adhere to certain qualification standards for training, testing, and competency.
The FAA alleges that the Indy Jet Management and its associated entities sold customers charter jet services under sham “dry leases” with one company to purportedly lease aircraft without any pilots or services provided. Customers then simultaneously entered into contracts for pilot services with another Indy Jet Management-related company. Together, the contracts served as a package deal to provide a piloted charter jet service while evading the FAA certification and pilot qualification regulations that apply to “wet leases.” The FAA further alleged that the parties used unqualified pilots who did not complete the training, testing, and competency checks that the FAA requires.
Under the terms of settlement agreement, AirXL et al. agreed that it no longer operates in the same manner and has paid a $187,500 civil penalty.
U.S. Attorney Myers thanked Assistant United States Attorney Rachana Fischer, who represented the United States in this case.
The claims resolved by this settlement are only allegations; there has been no determination of liability.
U.S. Attorney’s Office Collects over $1 Billion in Civil and Criminal Actions, over $10 Million in Forfeiture, and Seizes 341 Firearms in Fiscal Year 2022Read the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced today that the Eastern District of Louisiana collected slightly over $1 billion in criminal and civil actions in fiscal year 2022. Of this amount, $7.78 million was collected in criminal actions and $992.4 million was collected in civil actions.
U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and assistance programs.
Additionally, the U.S. Attorney’s Office for the Eastern District of Louisiana, working with partner agencies and components, collected over $10 million in asset forfeiture actions and seized 341 firearms in FY 2022. Forfeited funds are used to restore funds to crime victims and for a variety of law enforcement purposes. Seizing firearms not only deprives criminals of the weapons they use to commit their crimes, it also helps dismantle criminal organizations. The weapons are destroyed after the case in which they were seized is closed, the weapons are judicially forfeited, and they are no longer needed as evidence.
Highlights of the Eastern District of Louisiana’s 2022 collection and forfeiture efforts include:
- The collection of over $850 million in civil penalties, damages, and costs from BP Exploration & Production Inc. imposed as a result of the 2010 Deepwater Horizon oil spill.
- Following a guilty plea to one count of wire fraud, Ritchel Morehead’s payment of $310,205.91 to satisfy the outstanding balance of the restitution obligation she owed to the victims of her fraudulent investment scheme.
- The forfeiture of $1,473,393.50 in ill-gotten gains stemming from the prosecution of Erik Martin and Darrel Fitzpatrick for what the sentencing judge called a “massive bribery and fraud scheme” involving kickbacks and payoffs targeting the United States Marine Corps.
- The seizure of thirty-six (36) firearms from Michael Malone, a convicted felon and prohibited possessor of firearms, pursuant to an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
“These statistics demonstrate our commitment and dedication to victims of crimes and to the citizens of the Eastern District of Louisiana through the successful forfeiture and collection of funds in civil and criminal cases,” said U.S. Attorney Evans. “Our office’s Monetary Penalties and Recovery Unit helps to protect the public by holding accountable those who have profited from the crimes they committed both in our District, and beyond. Equally important, the seizure of dangerous firearms from prohibited individuals helps reduce violent crime in our community.”U.S. Attorney Evans thanks Asset Forfeiture Assistant United States Attorney Alexandra Giavotella, Financial Litigation Assistant United States Attorney Churita Hansell, as well as the Office’s outstanding support professionals Jerrilyn A. Dufauchard, David Vigier, Ilan Adona, Danielle Smith-Graham, Christina Garcia, and Monica Washington for their hard work and dedication to the pursuit of justice.
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Two Defendants Sentenced to 202 Years' and 40 Years' Imprisonment, Respectively, for their Participation in the Murder and Extortion of Queens Business OwnerRead the Press Release
Earlier today, in federal court in Brooklyn, Ppassim Elder, also known as “Bsam,” “Big Sam” and “Sam,” and Wilbert Bryant, also known as “Will” and “La,” were sentenced by United States District Judge William F. Kuntz II, to terms of imprisonment of 202 years and 40 years, respectively. The defendants were sentenced for extortion and fraud offenses following their conviction after a three-week trial in September and October 2021. At trial, the evidence showed that Elder and Bryant participated in an extortion scheme during which one victim was pistol-whipped and another victim was fatally shot in the face.
Breon Peace, United States Attorney for the Eastern District of New York, announced the sentence.
“The defendants are guilty of multiple crimes of violence and fraud that victimized many persons, including the patriarch of a Queens family who was gunned down in his place of business,” stated United States Attorney Peace. “The defendants will deservedly serve lengthy prison sentences for their ruthless and vicious conduct.”
Mr. Peace also expressed his thanks to the Federal Bureau of Investigation, New York Field Office, the New York City Police Department, and the Queens County District Attorney’s Office for their assistance during the investigation and prosecution.
As proven at trial, on the morning of October 23, 2017, Bryant and two co-conspirators entered Garden Valley Distributors, a family-owned wholesale distribution center in Ozone Park, Queens. The perpetrators said that “Big Sam” sent them to collect his money. Earlier that year, Elder, who was known as “Big Sam,” had loaned Hani Kasem’s son money, which the son used to support the business. When Elder demanded full repayment, the son was unable to repay the debt because the money had been used to purchase merchandise for the business. Elder then began a campaign of intimidation against the son and his family. On one occasion, Elder paid co-conspirators to throw a rock through a window of the victim’s home. On another occasion, Elder barged into Kasem’s home, intimidating members of his family. Finally, Elder dispatched Bryant and two co-conspirators to the Garden Valley Distributors business where the perpetrators brandished a firearm, pistol-whipped the son and shot Kasem in the face, mortally wounding him.
In addition to the murder, Elder extorted another person whose brother had stolen the proceeds of a fraud scheme perpetrated by Elder. Although the victim was not involved in the theft, Elder punched him in his face in front of his daughters, breaking and bloodying his nose in order to “send a message” to the victim’s brother. Elder and Bryant were also convicted of bank fraud conspiracy for lying to banks about the true owner of certain bank accounts, which permitted Elder to defraud innocent victims across the country, including an elderly man who lost over $30,000 when he was tricked into believing he was purchasing a car and another individual who lost over $150,000 when he was defrauded into believing he was purchasing two real estate properties. Elder was also convicted of crimes committed after his arrest in this case, including stealing his attorney’s identity and lying to federal officials.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Genny Ngai and Anna L. Karamigios are in charge of the prosecution.
The Defendants:
PPASSIM ELDER (also known as “Bsam,” “Sam,” and “Big Sam”)
Age: 43
Staten Island, New YorkWILBERT BRYANT (also known as “Will” and “La”)
Age: 58
Brooklyn, New YorkE.D.N.Y. Docket No. 18-CR-92 (S-5) (WFK)
Tucson Man Sentenced for Making False Statement to Federal Agents During Investigation into Mass ShootingRead the Press Release
TUCSON, Ariz. – Josue Lopez Quintana, 25, of Tucson, Arizona, was sentenced last week by United States District Judge Jennifer G. Zipps to a time-served sentence and three years of supervised release. He also was ordered to pay a $3,000 fine for lying to federal agents in connection with an investigation into a mass shooting in Tucson. As a result of Quintana’s felony conviction, he will be prohibited from possessing a firearm.
On August 25, 2022, following a mass shooting in Tucson, Arizona, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) initiated an investigation into the purchase of a firearm used in the shooting that resulted in the deaths of four individuals. An ATF trace of the firearm confirmed that the firearm’s lower receiver was purchased by Quintana at a Federal Firearms Licensee (FFL) in Tucson, Arizona, in November 2021. According to court records, Quintana filled out an ATF form at the FFL stating that he was the true purchaser of the lower receiver, and that he was not acquiring it on behalf of another person.
On August 26, 2022, federal agents interviewed Quintana about the purchase, at which point Quintana falsely stated that he purchased the lower receiver for himself and not someone else. After agents presented text messages contradicting his story, Quintana admitted he lied and that he purchased the lower receiver on behalf of the individual who later perpetrated the mass shooting. There is no evidence that Quintana knew the intent of the shooter, and Quintana quickly accepted responsibility for his actions.
The investigation was conducted by the ATF with assistance from the Tucson Police Department and Homeland Security Investigations. The Financial Crimes and Public Corruption Section of the United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-22-02232-JGZ-EJM
RELEASE NUMBER: 2023-014_Quintana# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Texas Man Pleads Guilty to 90 Federal Hate Crimes and Firearms Violations for August 2019 Mass Shooting at Walmart in El Paso, TexasRead the Press Release
A Texas man who carried out the mass shooting at the Cielo Vista Walmart in El Paso, Texas, on Aug. 3, 2019, killing 23 people and injuring 22 more, pleaded guilty today in U.S. District Court to a 90-count indictment, including 45 counts of violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act and 45 counts of using a firearm during and in relation to crimes of violence.
Pursuant to the plea agreement, the defendant, Patrick Wood Crusius, 24, has agreed to accept 90 consecutive life sentences, one for each count in the indictment. The guilty plea included 23 counts for hate crime acts that resulted in the deaths of Andre Anchondo, Jordan Anchondo, Arturo Benavides, Jorge Calvillo Garcia, Guillermo Garcia, Leonardo Campos, Angelina Englisbee, Maria Flores, Raul Flores, Adolfo Cerros Hernandez, Alexander Hoffmann, David Johnson, Luis Alfonso Juarez, Maria Legarreta Rothe, Maribel Loya Hernandez, Ivan Filiberto Manzano, Gloria Irma Marquez, Elsa Mendoza Marquez, Margie Reckard, Sara Regalado Monreal, Javier Amir Rodriguez, Teresa Sanchez, and Juan Velasquez.
The plea also included 22 hate crime acts that caused bodily injury and involved attempts to kill 22 people injured in the shooting. In addition to the hate crimes, the defendant pleaded guilty to 45 firearms violations, 23 counts of using a firearm in a federal crime of violence resulting in death, and 22 counts of using a firearm in a federal crime of violence.
“Today, the Justice Department secured the guilty plea of Patrick Wood Crusius, a self-described white nationalist, for federal hate crime and firearms offenses in connection with the deadly mass shooting targeting people perceived to be Hispanic immigrants at a Walmart in El Paso, Texas, in 2019,” said Attorney General Merrick B. Garland. “Nothing can undo the immeasurable loss suffered by the loved ones of the victims of that attack or the terror inflicted on the El Paso community in its wake. Today’s action makes clear that the Justice Department will not tolerate hate-fueled violence that endangers the safety of our communities.”
“Today’s guilty plea marks one more step towards justice for the El Paso community; however, we must remember that the survivors and victims’ families will be on a lifelong journey of healing because of this defendant’s actions,” said FBI Director Christopher Wray. “We extend our heartfelt sympathy to the Hispanic community who had their sense of security shattered by this heinous attack. The FBI will continue to seek justice for all those whose civil rights and safety are threatened by hate.”
“White nationalist-fueled violence has no place in our society today,” said Assistant Attorney General Kristen Clarke of the Justice Department's Civil Rights Division. “This senseless massacre violates the law, runs contrary to our values as Americans and defies the principles of tolerance and inclusion that define us as a nation. By pleading guilty, the defendant has admitted that he murdered innocent people based on their national origin and targeted Hispanics. The Justice Department will continue to use every tool at its disposal to combat hate crimes, hold perpetrators accountable, and seek justice for the victims and survivors. This guilty plea cannot bring back those whose lives were lost, or heal those still suffering, but it does put us firmly on the path to justice. Our hearts are with the victims of this horrendous crime, their families, and the entire community.”
“It has always been our intent to obtain proper justice for all the victims of the senseless El Paso shooting, their ever-resilient families, and the courageous community that continues to feel the pain of that day,” said First Assistant U.S. Attorney Margaret Leachman for the Western District of Texas. “We continue to stand in support of all whose lives have been impacted, and my hope is that this plea leads to a sentence that can serve as an example of how the United States justice system does not tolerate anyone who chooses to harm our loved ones and our neighbors, especially when motivated by hatred.”
According to the statement of facts agreed to and signed by Crusius and entered into the court record at his guilty plea hearing, Crusius admitted that he killed and wounded people at the Walmart because of the actual and perceived Hispanic national origin of the people he expected to be at the Walmart. He further admitted that he intended to kill everyone he shot.
Crusius also admitted he wrote a manifesto, titled “An Inconvenient Truth,” and uploaded it to the internet minutes before he commenced his attack. In it, he characterized himself as a white nationalist, motivated to kill Hispanics because they were immigrating to the United States. Crusius admitted to selecting El Paso, a border city, as his target to dissuade Mexican and other Hispanic immigrants from coming to the United States.
The FBI investigated the case, in partnership with the El Paso Police Department; the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); the Texas Department of Public Safety; the El Paso County Sheriff’s Office; the El Paso County Office of the Medical Examiner; the Allen Police Department; and the Dallas Police Department.
Assistant U.S. Attorneys Ian Hanna, Gregory McDonald, and Patricia Acosta for the Western District of Texas’ El Paso Division and Trial Attorneys Kyle Boynton of the Civil Rights Division’s Criminal Section and Michael Warbel of the Criminal Division’s Capital Case Section are prosecuting the case.
The U.S. District Court has not yet set a sentencing date.
Related court documents and information may be found on the website of the District Court for the Western District of Texas at http://www.txwd.uscourts.gov/ or on http://ecf.txwd.uscourts.gov/
For more information about DOJ’s work to combat and prevent hate crimes, visit www.justice.gov/hatecrimes: a one-stop portal with links to DOJ hate crimes resources for law enforcement, media, researchers, victims, advocacy groups, and other organizations and individuals.
Texan convicted for multimillion-dollar COVID-19 relief fraudRead the Press Release
HOUSTON – A federal jury convicted a Texas man today for his role in a scheme to fraudulently obtain and launder millions of dollars in forgivable Paycheck Protection Program (PPP) loans the Small Business Administration (SBA) guarantees under the Coronavirus Aid, Relief and Economic Security (CARES) Act, announced U.S. Attorney Alamdar S. Hamdani.
According to court documents and evidence presented at trial, Abdul Fatani, 57, Richmond, conspired with others to submit fraudulent PPP loan applications by falsifying the number of employees and the average monthly payroll expenses of the applicant businesses. In total, the co-conspirators sought over $35 million through more than 80 fraudulent PPP loans. Fatani distributed over $500,000 in fraudulent loan proceeds to his co-conspirators and himself using bogus payroll checks and laundered a portion of the proceeds by transferring the funds from one of his bank accounts to another bank account he controlled.
“Fatani’s pilfering of the PPP fund defrauded the government of funds that were supposed to help people with real businesses, suffering real losses and facing real struggles,” said Hamdani. “This man, instead, had no business and no employees. Just a scheme to defraud. Today’s jury’s verdict shows that his fraudulent actions are not acceptable and will not be tolerated in this district.”
Fatani was convicted of one count of conspiracy to commit wire fraud, one count of wire fraud and one count of unlawful monetary transactions (money laundering). He is scheduled to be sentenced May 8 and faces a maximum penalty of 20 years in prison for conspiracy and wire fraud and 10 years in prison for money laundering.
In addition, 15 other individuals have pleaded guilty to their involvement in the loan fraud scheme.
Hamdani made the announcement along with Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; Inspector General Hannibal “Mike” Ware of the SBA Office of Inspector General (OIG); Special Agent in Charge Catherine Huber of the Federal Housing Finance Agency OIG (FHFA-OIG); Special Agent in Charge Mark B. Dawson of Homeland Security Investigations (HSI) Houston Field Office; Acting Inspector General Tyler Smith of the Federal Deposit Insurance Corporation – OIG (FDIC-OIG); and Inspector General J. Russell George of the Treasury Inspector General for Tax Administration (TIGTA).
Assistant U.S. Attorney (AUSA) Rodolfo Ramirez for the Southern District of Texas prosecuted the case along with Trial Attorneys Kate McCarthy, Spencer Ryan, Della Sentilles and Louis Manzo of the Criminal Division’s Fraud Section. AUSA Kristine Rollinson for the Southern District of Texas handled asset forfeiture.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 200 defendants in more than 130 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds.
In May 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 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 via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Tes Nez Iah Man Sentenced for Sexual Abuse of a MinorRead the Press Release
PHOENIX, Ariz. – Last week, Verdell Yazzie, 31, of Tes Nez Iah, Arizona, was sentenced by United States District Judge Michael T. Liburdi to 120 months in prison, followed by a lifetime term of supervised release. Yazzie pleaded guilty to one count of Sexual Abuse of a Minor.
Yazzie admitted that sometime between 2011 and 2012, he knowingly engaged in a sexual act with a 12-year-old minor. The sexual abuse took place on the Navajo Nation Indian Reservation where Yazzie is an enrolled tribal member.
The Federal Bureau of Investigation and the Navajo Division of Public Safety conducted the investigation in this case. Assistant U.S. Attorneys Amy Chang and Sharon Sexton, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-20-08102-PCT-MTL
RELEASE NUMBER: 2023-013_Yazzie# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Taylorville, Illinois, Man Sentenced to 20 years in Prison for Possession of More than 50 Grams of Methamphetamine (“Ice”) with the Intent to DistributeRead the Press Release
SPRINGFIELD, Ill. – A Taylorville, Illinois, man, Donald R. Felton, 37, of the 900 block of West Poplar Street, was sentenced on February 7, 2023, to 20 years in prison for possession with intent to distribute 50 or more grams of actual methamphetamine (“Ice”).
At the sentencing hearing, the government presented evidence to establish that beginning in May 2019, law enforcement officers initiated an investigation of Felton for traveling to the St. Louis area to obtain methamphetamine for redistribution in the Taylorville area. On June 8, 2019, officers observed Felton drive his SUV to a rest area near Hamel, Illinois, north of St. Louis, where he met with an unknown man, and then returned to Taylorville. Once Felton returned to Taylorville, officers executed a traffic stop and then searched his SUV. During the search, officers seized 398 grams (nearly one pound) of pure methamphetamine (“Ice”) and a digital scale. They also seized more than $800 in cash from Felton.
In imposing a sentence above the 15-year mandatory minimum, Chief U.S. District Judge Sara Darrow noted the devastating impacts that pure methamphetamine (“Ice”) has had on communities in Central Illinois. She further emphasized Felton’s more than 20-year criminal history, which began in 1996 when he was just 11 years old.
Felton was indicted in June 2019 and was convicted after a two-day jury trial in June 2022.
The statutory penalties for possession with intent to distribute 50 or more grams of actual methamphetamine (“Ice”) are a minimum of 15 years and up to life in prison, up to a $20,000,000 fine, and a minimum of 10 years and up to a life term of supervised release.
“This case represents the Department’s continuing commitment to holding persons accountable for the distribution of Ice methamphetamine and, as Judge Darrow noted, its devastating impact on communities in Central Illinois,” said Assistant U.S. Attorney Timothy A. Bass. “I would also like to thank the local, state, and federal agencies for their cooperative and dedicated efforts in this successful prosecution.”
The Illinois State Police Central Illinois Enforcement Group, Christian County Sheriff’s Office, Taylorville Police Department, and the Drug Enforcement Administration investigated the case. Assistant U.S. Attorneys Bass and Sierra Senor-Moore represented the government in the prosecution.
Strongsville Man Sentenced to Four Years in Prison for Attempted Tax Evasion and Criminal Contempt of CourtRead the Press Release
CLEVELAND – Douglas Smith, 68, of Strongsville, Ohio, was sentenced on Tuesday, Feb. 7, 2023, to four years in prison by U.S. District Judge Dan Aaron Polster after a federal jury convicted him in October 2022 of attempted tax evasion.
Judge Polster sentenced Smith to serve 41 months in prison for the attempted tax evasion conviction and seven months for criminal contempt of court. In addition to the prison sentence, Smith was ordered to pay $726,976.25 restitution and a $19,000 fine for criminal contempt.
According to court documents and evidence presented during the trial, Smith, a licensed dentist in the State of Ohio, attempted to evade paying income taxes for the tax years 2004 to 2012. As part of his efforts, Smith placed his assets, including a home in Columbia Station, into a trust, purchased gold bars and coins, and filed for bankruptcy. Additionally, from 2014 to 2017, Smith again attempted to evade paying income taxes by depositing his paychecks in the bank account of a second holding trust.
During the trial, evidence was presented that showed Smith failed to file an income tax return since 1992 and owed more than $490,000 in back taxes and penalties to the IRS. Court records state that in April 2008 and March 2009, the IRS notified Smith of its intent to collect taxes owed that Smith had failed to pay. Around 2006, Smith began to transfer his assets into a trust that he controlled to evade the collection of taxes and payment of his mortgage.
In October of 2010, court records say that the IRS filed with the Lorain County Recorder’s Office a tax lien against Smith, his trust, and its trustee. In August of 2011, the IRS again sent Smith a letter notifying him that their next action was to recommend administrative seizure and sale of any of his assets to satisfy the federal tax liens.
In January 2012, federal authorities seized approximately $250,000 in cash, gold bars, and gold and silver coins from Smith’s Columbia Station home for non-payment of income taxes to satisfy federal tax liens. After the seizure, Smith purported to transfer all his assets, including his Columbia Station home, to a second trust to defeat collection efforts and avoid foreclosure of his home.
Court documents show that the IRS continued to attempt to collect unpaid income tax from Smith and, around December 2015, served a levy on Smith’s employer. Smith then filed for bankruptcy and made false statements about his assets to shield them from IRS collection actions.
This case was investigated by IRS Criminal Investigations (CI) and was prosecuted by Assistant U.S. Attorney Robert J. Patton.
Spokane Woman Pleads Guilty to Failing to File Federal Income Tax ReturnsRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that Rhonda Ackerman, age 54 of Spokane, Washington pleaded guilty to two counts of willfully failing to file federal income tax returns. Ackerman faces a maximum statutory penalty of a 1-year term of imprisonment, a $100,000 fine, followed by a 1-year term of supervised release, the payment of restitution and the costs of prosecution for each count of conviction.
According to court documents, in 2014, 2015 and 2016, Ackerman was employed as a liability claims technician at Spokane County Department of Risk Management. In each year, Ackerman willfully failed to file federal income tax returns reporting gross income. Court documents state the United States will recommend certain sentencing enhancements for Ackerman’s failure to report the source of income exceeding $10,000 in any year from criminal activity and using a minor to commit a crime and abusing a position of public trust. Ackerman can oppose such enhancements.
“Law abiding taxpayers fund critical services that keep our community safe and strong,” said U.S. Attorney Waldref. “Each of us is responsible for filing a tax return when required and for paying the correct amount of tax due. While working for Spokane County, Ms. Ackerman chose to ignore her duty to file and pay taxes and will now face the consequences. I’m grateful to the investigators who diligently investigate tax schemes like Ms. Ackerman’s and ensure that all taxpayers pay their fair share.”
“Ms. Ackerman’s actions hurts all Americans,” said IRS Criminal Investigation (CI) Special Agent in Charge Bret Kressin, “CI will continue its efforts to hold accountable those who feel they’re above the law in partnership with the United States Attorney’s office.”
Senior United States District Judge Rosanna Malouf Peterson will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Ackerman is scheduled to be sentenced on May 16, 2023, at 10:00 a.m. in Spokane, Washington.
In a separate prosecution in Spokane County Superior Court, Ackerman was convicted on one count of First Degree Theft. On January 4, 2023, she was sentenced in the state court matter to serve a year in state prison and required to repay Spokane County $1,378,541 in public funds, which she stole over a decade while employed as a liability claims technician.
This case was investigated by the Internal Revenue Service, Criminal Investigation, with the assistance of the Spokane Police Department. This case is being prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.
2:22-CR-22-RMP
Rockport Man Faces up to 30 Years, $1M Fine Following Guilty Plea for PPP Loan FraudRead the Press Release
PORTLAND, Maine: A Rockport man pleaded guilty today in U.S. District Court in Portland to a bank fraud scheme in which he filed nine fraudulent Paycheck Protection Program (PPP) loan applications and received over $1 million in fraud proceeds.
According to court records, Mark X. Haley II, 42, filed fraudulent PPP loan applications at two banks for businesses he controlled. Haley listed false employee and payroll information on each application and submitted fraudulent documents to support the false information to the banks. These documents included false federal employment tax returns, fake timesheets and falsified bank records. As a result of the scheme, Haley fraudulently obtained $1,010,581 in PPP funds. He used some of the funds to make a down payment on a sailboat.
Haley faces up to 30 years in prison and a $1 million fine. He also faces up to five years of supervised release. Haley will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Internal Revenue Service, Criminal Investigations investigated the case.
“While many legitimate businesses used PPP loans to keep their businesses afloat, Mark Haley, motivated by personal greed, set his sails on a scheme to obtain lavish luxuries,” said Joleen Simpson, Special Agent in Charge of IRS- Criminal Investigation’s Boston Field Office. “Today’s plea should serve as a stark reminder that criminals, such as Haley, will be held accountable for their misdeeds.”
Paycheck Protection Plan (PPP): The PPP was a COVID-19 pandemic relief program administered by the Small Business Administration (SBA) that provided forgivable loans to small businesses for job retention and certain other expenses. The PPP permitted participating third-party lenders to approve and disburse SBA-backed PPP loans to cover payroll, fixed debts, utilities, rent/mortgage, accounts payable and other bills incurred by qualifying businesses during, and resulting from, the COVID-19 pandemic. PPP loans were fully guaranteed by the SBA.
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Repeat domestic violence abuser sentenced to 30 years in prison for drug trafficking and firearm offensesRead the Press Release
ATLANTA - Jamaul Raheem Boyce, a multi-convicted felon with a history of committing domestic violence offenses, has been sentenced to prison after being convicted at trial for firearm and drug trafficking offenses. Boyce ran a drug trafficking operation from his Clayton County, Georgia, apartment that he shared with his girlfriend and her three young children.
“Boyce is a violent felon and domestic abuser,” said U.S. Attorney Ryan K. Buchanan. “His prior convictions for aggravated assault, aggravated stalking, aggravated battery, family violence battery, and obstruction of a law enforcement officer speak to his disregard for others and the law.”
“This investigation and sentence are another example of ATF remaining on the frontline of preventing violent crime through excellent cooperation with our law enforcement partners,” said ATF Assistant Special Agent in Charge Beau Kolodka. “Through this cooperative effort we were able to apprehend and successfully prosecute a violent and dangerous individual which posed a significant threat to the public.”
“DCS provides individuals under our supervision the resources and support they need to succeed. It is unfortunate that certain individuals chose to not take advantage of these opportunities and instead impose havoc within our communities. We are appreciative of our partners in law enforcement who helped in this effort and remain committed to protecting the citizens of Georgia,” said Brian Tukes, Deputy Director of External Affairs, Georgia Department of Community Supervision.
“The collaborative efforts of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Georgia Department of Community Supervision, and our agency reflects the vision that the Clayton County Police Department will establish safer communities through partnership and collaborations. The arrest of Jamaul Raheem Boyce is the result of effective law enforcement teamwork at the state, federal, and local level. We will continue similar operations to apprehend dangerous criminals who operate in Clayton County,” said Chief Kevin Roberts, Clayton County Police Department.
According to U.S. Attorney Buchanan, the charges and other information presented in court: On June 21, 2019, a U.S. Marshals task force served a parole violation arrest warrant for Jamaul Boyce at his apartment in Clayton County. The arrest warrant was issued following Boyce’s previous arrest for aggravated assault against his girlfriend, which violated the terms of his parole. Boyce was on parole at the time for a separate domestic violence conviction against a different woman.
When deputies knocked on the door and announced their presence, Boyce’s girlfriend and her three young children complied with law enforcement’s instructions to exit the apartment. After Boyce ignored this order, deputies entered the residence and found Boyce hiding in a bedroom closet with multiple loaded firearms and bulletproof vests lying near him. The officers also saw suspected illicit drugs.
The deputies reported their findings to Clayton County police, who obtained a search warrant for the apartment. During a search that followed, Clayton County police recovered distribution quantities of methamphetamine, powder cocaine, crack cocaine, suspected heroin, and assorted pills, as well as drug distribution paraphernalia such as pill presses. Officers also discovered a loaded AR-15 style rifle with an extended magazine, two loaded handguns, two bulletproof vests, and a smoke bomb. These loaded firearms were all readily accessible to the three young children at the residence.
Jamaul Raheem Boyce, 40, of East Point, Georgia, was sentenced by U.S District Judge J.P. Boulee to 30 years in prison to be followed by a life term of supervised release. On September 19, 2022, a jury found Boyce guilty of possession of a firearm by a convicted felon, possession of a firearm by a person convicted of a domestic violence misdemeanor, possession with intent to distribute methamphetamine and cocaine, and possession of a firearm in furtherance of drug trafficking.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Georgia Department of Community Supervision, and the Clayton County Police Department.
Assistant U.S. Attorneys Annalise K. Peters and Erin N. Spritzer prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Plattsburgh Man Sentenced to 30 Months for Unlawful Possession of FirearmRead the Press Release
PLATTSBURGH, NEW YORK – Thomas Caves, age 28, of Plattsburgh, New York, was sentenced today to 30 months in prison for unlawfully possessing a firearm as a felon.
United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.
In previously pleading guilty, Caves admitted that he coordinated with a straw purchaser in Vermont to acquire a firearm, knowing that he could not legally possess a firearm. At the time the defendant possessed the firearm, he was on parole supervision for a burglary conviction from the State of Connecticut.
United States District Judge David N. Hurd also ordered that Caves serve a 3-year term of supervised release following his release from prison
This case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Jeffrey C. Stitt.
Pike County Man Sentenced to Life for Distributing Fentanyl that Resulted in Overdose DeathRead the Press Release
PIKEVILLE, Ky.— A Shelbiana, Ky., man, Justin Bryant, 38, was sentenced to life in federal prison on Tuesday, by U.S. District Judge Robert Wier, for distributing fentanyl and para-flurofentanyl that caused death of a victim, and for conspiring with others to distribute heroin, fentanyl, and para-fluorofentanyl.
Bryant was convicted by a federal jury in October 2022. According to evidence at trial, on October 12, 2021, Bryant smuggled drugs into the Pike County Detention Center and distributed them. The drugs contained fentanyl and para-fluorofentanyl, and their use resulted in the death of another individual in the jail.
At sentencing, Judge Wier made a finding that there was reliable evidence connecting Bryant to another overdose death in August of 2021. The evidence also documented that, even after the overdose death of the victim on October 12, 2021, staff with the Pike County Detention Center and Pikeville Police Department prevented Bryant from bringing drugs into the jail on two additional occasions. The conviction in this case is the most recent of 30 prior criminal convictions, which Bryant has received over the past 20 years.
Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division; and Mike Riddle, Chief of the Pikeville Police Department jointly announced the sentence.
The investigation was conducted by the DEA and the Pikeville Police Department. The United States was represented by Assistant U.S. Attorney Andrew H. Trimble.
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Parkersburg Woman Sentenced to 10 Years in Prison for Federal Drug and Gun CrimesRead the Press Release
CHARLESTON, W.Va. – Ashley Kawczynski, 32, of Parkersburg, was sentenced today to 10 years in prison, to be followed by four years of supervised release, for possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking offense.
According to court documents and statements made in court, on July 5, 2022, law enforcement arrested Kawczynski at her Parkersburg residence after responding to a report that she was overheard threatening to kill her son. Officers searched the residence and found approximately 328 grams of methamphetamine, 164 grams of fentanyl, a Ruger Model LCP Max .380-caliber semi-automatic pistol, and a Springfield model Hellcat 9mm semi-automatic pistol. Kawczynski admitted that she possessed the controlled substances with the intent to distribute them, and possessed the firearms to protect herself, her drugs, and her drug proceeds.
Officers had been investigating the drug trafficking activities of Kawczynski for several months. Kawczynski admitted that she conspired with others between February 2022 and July 5, 2022, to distribute fentanyl, and sold fentanyl on four occasions to a confidential informant in April and May, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Parkersburg Narcotics Task Force, the Wood County Sheriff’s Office, and the West Virginia State Police.
Chief United States District Judge Thomas E. Johnston 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-160.
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Paducah Armed Career Criminal Sentenced to Fifteen Years in Federal PrisonRead the Press Release
Paducah, KY – A Paducah, KY, man was sentenced yesterday to 15 years in prison, followed by a 5- year term of supervised release, for possessing a firearm after having been previously convicted of felony offenses and for being an Armed Career Criminal.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Acting Special Agent in Charge Robert Maynard of the ATF Louisville Field Division made the announcement.
According to court documents, Demario Terrell Daniels, 33, possessed a pistol having previously been convicted of the federal felony offense of cocaine base distribution in the United States District Court for the Southern District of Illinois. Daniels had also been previously convicted of the felony of fleeing/evading police in McCracken County, Kentucky. Daniels, an escapee from the McCracken County Regional Jail who had been a fugitive for approximately one year, brought the firearm into the McCracken County Regional Jail upon his arrest for other charges. The firearm was discovered by jail staff.
Daniels was sentenced pursuant to the Armed Career Criminal Act, a federal law imposing enhanced penalties for firearm or ammunition possession by persons who have been convicted of at least three violent felonies or serious drug offenses. A defendant who qualifies as an Armed Career Criminal faces a minimum term of imprisonment of 15 years and a maximum term of life.
“The combined work of ATF Paducah, our state and local law enforcement partners, and AUSA Hancock resulted in the removal of an armed career criminal from our community and safer streets for our citizens,” stated U.S. Attorney Bennett. “We are fortunate to have such dedicated law enforcement personnel on duty in the Western District.”
“Drug dealers with guns are criminals who pose an increased threat to the safety of our communities,” said ATF Acting Special Agent in Charge Robert Maynard of the Louisville Field Division. “Today’s sentencing is another example of the ongoing efforts of ATF and our local partners with the McCracken County Regional Jail, the McCracken County Sheriff’s Office, and the Kentucky State Police working together to take a repeat offender off the streets and make our communities safer for everyone.”
This case was investigated by the ATF Paducah Satellite Office, with assistance from the McCracken County Regional Jail, the McCracken County Sheriff’s Office, and the Kentucky State Police.
Assistant U.S. Attorney Seth Hancock, Branch Chief of the U.S. Attorney’s Paducah Office, prosecuted the case.
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Oxford Man Pleads Guilty to Theft of Government Funds and Misuse of a Social Security NumberRead the Press Release
BOSTON – An Oxford man pleaded guilty on Feb. 2, 2023 in federal court in Worcester to using another individual’s name and Social Security number to fraudulently obtain a federal tax refund and a Massachusetts driver’s license.
Richard Diaz-Montero, a/k/a John Doe, 44, pleaded guilty to false representation of a Social Security number and theft of government funds. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for March 1, 2023. Diaz-Montero was charged in August 2020.
In 2016, Diaz-Montero filed a fraudulent tax return in the name of another person name and, in March 2016, cashed a federal income tax refund fraudulently issued in the other individual’s name. Two years later, in May 2018, Diaz-Montero used the Social Security number of that same person to apply for and obtain a Massachusetts driver’s license.
The charge of false representation of a social security number provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of theft of government funds provides for a sentence of up to 10 years, 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; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Sutton Police Chief Dennis J. Towle made the announcement. Assistant U.S. Attorney John T. Mulcahy of Rollins’s Criminal Division in prosecuting the case.
Operator of Aircraft Supply Businesses Sentenced to 11 Years in Federal Prison for $7 Million Fraud SchemeRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that KYLE J. WINE, 42, of Lee’s Summit, Missouri, was sentenced today by U.S. District Judge Omar A. Williams in Hartford to 132 months of imprisonment, followed by three years of supervised release, for fraud and money laundering offenses stemming from a $7 million scheme related to his commercial aircraft supply businesses.
According to court documents and statements made in court, Wine owned and operated various companies engaged in the business of commercial aircraft supply, including JetPro International, LLC (“JetPro”), Nexus Aviation, and Turbotech Partners. From at least 2018 through 2021, Wine defrauded investors in aircraft-related transactions. Wine used victims' money to purchase aircraft airframes and engines, sold the aircraft airframes and engines, hid the resulting profits from his investors, and diverted invested funds for his personal use.
As part of the scheme, Wine induced an investment firm based in Darien, Connecticut, to invest $4.5 million in the purported acquisition and sale of an Airbus A320-231 airframe and two aircraft engines. Wine sent fictitious correspondence to the victim investor and created fake domain names and email accounts. He then used those email accounts to send fraudulent correspondence to the victim investor to trick the investor into believing that JetPro was attempting to sell the Airbus airframe and the two aircraft engines to certain buyers. In fact, Wine had already sold one engine for $2.45 million and the Airbus airframe for $1.3 million. He never informed the victim investor of those sales and shared none of the proceeds of the sales with the investor. Wine also used some of these invested funds to purchase another aircraft engine without the knowledge of the victim investor.
In total, Wine’s fraud scheme caused $7,152,666.67 in losses to 13 separate victims.
Judge Williams will issue a restitution order after additional court proceedings. Wine’s restitution obligation will be reduced to reflect money recouped through the sale of any asset that was part of his fraud scheme.
On July 19, 2022, Wine pleaded guilty to one count of wire fraud and one count of money laundering. In November 2022, while he was released on bond pending sentencing, Wine created and submitted counterfeit bank statements in an attempt to obtain a loan to purchase a Cadillac Escalade from a Kansas auto dealership. He has been detained since December 20, 2022, when his bond was revoked.
This is Wine’s second federal conviction. In 2010, Wine pleaded guilty in the Western District of Missouri to fraud and money laundering offenses stemming from a mortgage fraud scheme that involved approximately $4.4 million in fraudulent loans on 86 properties. He received a sentence of probation for those offenses.
This matter was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorney Jonathan N. Francis.
Omaha Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
United States Attorney Steven Russell announced that Justin L. Coleman, 29, of Omaha, Nebraska, was sentenced today by United States District Court Judge Brian C. Buescher to 36 months’ incarceration for being a felon in possession of a firearm. There is no parole in the federal system. After his release, Coleman will serve a 3-year term of supervised release.
On December 8, 2021, officers with the Omaha Police Department were called to 27th and Fort streets in Omaha for a suspicious party. Officers located Coleman in the area of the call and Coleman was taken into custody. Officers located the vehicle Coleman had been driving in the street near his arrest. In the vehicle, officers located a Smith & Wesson Bodyguard .380 handgun. The firearm was submitted for DNA testing and Coleman could not be excluded as a contributor. The firearm was originally purchased in Iowa and travelled in interstate commerce prior to being found in Nebraska on December 8, 2021. Prior to December 8, 2021, Coleman had been convicted and knew that he had been convicted of a felony. Specifically, Coleman was previously convicted of and knew that he had been convicted of Attempted Burglary.
This case was investigated by the Omaha Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives as 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.
Oklahoma Man Pleads Guilty in Employment Tax SchemeRead the Press Release
An Oklahoma man pleaded guilty yesterday to willfully failing to pay over employment taxes withheld from his employees’ wages.
According to court documents, Donald E. White was the president and owner of Power Utility Services, Inc., in Adair. From January 2010 through December 2017, White exercised control over the business’s affairs by (1) tracking the hours worked by employees, (2) directing the issuance of weekly paychecks to employees, (3) directing the issuance of Forms W-2 to employees, (4) directing the filing with the IRS of Employer’s Quarterly Federal Tax Returns (Forms 941) reporting wages paid and income and social security taxes withheld from employees’ wages and (5) directing the payment to the IRS of the withheld taxes. White filed a Form 941 for the first quarter of 2016, but intentionally did not pay over approximately $31,010 in taxes withheld from employees’ paychecks. White also did not pay withholdings for multiple quarters between October 2009 and December 2017. In total, he caused a tax loss to the IRS of approximately $516,021.
White faces a maximum penalty of five years in prison. Defendant also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and U.S. Attorney Clinton J. Johnson for the Northern District of Oklahoma made the announcement.
IRS-Criminal Investigation is investigating the case.
Assistant Chief Andrew Kameros and Trial Attorney Mahana Weidler of the Justice Department’s Tax Division are prosecuting the case.
Oakland Resident Sentenced to Four Years in Prison for Role in Tenderloin Fentanyl and Methamphetamine Distribution SchemeRead the Press Release
SAN FRANCISCO – Dixis Archaga-Reyes, a/k/a Pepe, was sentenced today to 48 months in prison for his role in a scheme to distribute fentanyl and methamphetamine near the Tenderloin District of San Francisco, announced United States Attorney Stephanie M. Hinds and Drug Enforcement Administration (DEA) Acting Special Agent in Charge Bob P. Beris. The sentence was handed down by the Hon. Charles R. Breyer, Senior United States District Judge.
Archaga-Reyes, 27, of Oakland, pleaded guilty to the charges on September 21, 2022. According to his plea agreement, Archaga-Reyes admitted he was guilty of four counts of distributing drugs near the Tenderloin District of San Francisco.
The plea agreement describes transactions in which Achaga-Reyes sold, or attempted to sell, drugs to an undercover Task Force Officer working with the DEA and the San Francisco Police Department. The transactions occurred on December 22, 2021, and February 17, 2022. Specifically, Archaga-Reyes admitted that on December 22, 2021, he used text messages to communicate with the officer and agreed to sell to him two ounces of fentanyl for $1,000 and two ounces of methamphetamine for $500. Archaga-Reyes acknowledged that he agreed with the officer to conduct the transaction near the intersection of 7th and Mission Streets in San Francisco. Archaga-Reyes met with the officer on the evening of December 22 on 7th Street just north of Minna Alley, got into the passenger side of the vehicle the undercover officer was driving, and received $1,500 in cash from the officer. Archaga-Reyes then handed the officer numerous clear plastic bags containing approximately 61.1 grams of fentanyl and approximately 59 grams of methamphetamine.
Similarly, Archaga-Reyes admitted that on February 17, 2022, he coordinated with the same undercover officer to sell to him fentanyl and methamphetamine. The two agreed to complete the transaction near 7th and Minna Streets on the afternoon of February 17. At about 1:42 p.m., Archaga-Reyes contacted the undercover officer by text message to let the officer know Archaga-Reyes was on his way into San Francisco. This time, as Archaga-Reyes exited his apartment in Oakland, he was arrested. Archaga-Reyes admitted that when he was arrested, he was carrying a plastic bag containing over 500 grams of methamphetamine. Agents also found in Archaga-Reyes’s car an additional 90.5 grams of fentanyl, and in his apartment over 130 grams of fentanyl, more than 37 grams of cocaine, and $2,759 in cash that Archaga-Reyes acknowledged was the proceeds of illicit sales of illegal drugs.
On March 2, 2022, a federal grand jury handed down a four-count indictment charging Archaga-Reyes with two counts of possession with intent to distribute and distribution of 5 grams and more of methamphetamine, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B)(viii) and two counts of possession with intent to distribute and distribution of 40 grams and more of fentanyl, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B)(vi). Pursuant to his plea agreement, Archaga-Reyes pleaded guilty to all four counts.
In addition to the prison term, Judge Breyer also ordered Archaga-Reyes to serve four years of supervised release to begin after his release from prison. Archaga-Reyes has been detained since his arrest and will begin serving his sentence immediately.
Assistant U.S. Attorney Andrew Paulson is prosecuting the case with the assistance of Soana Katoa, Leeya Kekona, and Mark DiCenzo. The prosecution is the result of an investigation by DEA and the San Francisco Police Department.
Nevada Return Preparer Charged with Tax FraudRead the Press Release
A federal grand jury in Las Vegas returned an indictment today charging a Nevada woman with assisting in the preparation of false income tax returns.
According to the indictment, from 2015 through 2020, Jessica Avras, of Las Vegas, owned and operated a tax preparation business. Avras allegedly prepared and filed materially false federal income tax returns for clients that fraudulently reduced their federal income tax liability and/or inflated their tax refunds. The indictment charges that Avras routinely reported fictitious businesses on her clients’ returns and claimed that those businesses had generated significant losses. She also allegedly fabricated deductions on her clients’ tax returns, including noncash charitable contributions, sales taxes and unreimbursed employee expenses.
Avras is charged with 31 counts of assisting in the preparation of false income tax returns, in violation of 26 U.S.C. § 7206(2), and scheduled for her initial court appearance on Feb. 22, 2023, before U.S. Magistrate Judge Brenda Weksler of the U.S. District Court for the District of Nevada. If convicted, she faces a maximum penalty of three years in prison for each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, and United States Attorney Jason M. Frierson for the District of Nevada made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Thomas Flynn and Samuel Robins of the Justice Department’s Tax Division and Assistant U.S. Attorney Eric Schmale of the District of Nevada are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Nevada Return Preparer Charged with Tax FraudRead the Press Release
LAS VEGAS - A federal grand jury in Las Vegas returned an indictment today charging a Nevada woman with assisting in the preparation of false income tax returns.
According to the indictment, from 2015 through 2020, Jessica Avras, of Las Vegas, owned and operated a tax preparation business. Avras allegedly prepared and filed materially false federal income tax returns for clients that fraudulently reduced their federal income tax liability and/or inflated their tax refunds. The indictment charges that Avras routinely reported fictitious businesses on her clients’ returns and claimed that those businesses had generated significant losses. She also allegedly fabricated deductions on her clients’ tax returns, including noncash charitable contributions, sales taxes and unreimbursed employee expenses.
Avras is charged with 31 counts of assisting in the preparation of false income tax returns, in violation of 26 U.S.C. § 7206(2), and scheduled for her initial court appearance on Feb. 22, 2023, before U.S. Magistrate Judge Brenda Weksler of the U.S. District Court for the District of Nevada. If convicted, she faces a maximum penalty of three years in prison for each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, and United States Attorney Jason M. Frierson for the District of Nevada made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Thomas Flynn and Samuel Robins of the Justice Department’s Tax Division and Assistant U.S. Attorney Eric Schmale of the District of Nevada are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Minnesota Woman Sentenced to 72 Months for MethamphetamineRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Roxanne E. Rankin, 52, Minneapolis, Minnesota was sentenced today by Chief U.S. District Judge James D. Peterson to 72 months in federal prison for distributing 50 grams or more of methamphetamine. The prison term will be followed by 48 months of supervised release. Rankin pleaded guilty to this charge on August 26, 2022.
On December 6, 2021, West Central Drug Task Force officers arranged the purchase of one pound of methamphetamine from Rankin through a confidential informant. Rankin advised she would bring one-half pound and obtain the second half after getting the money from the buyer. Rankin drove from Minnesota to an agreed-upon location in Hudson, Wisconsin. There, she met with the confidential informant and provided a bag containing 222 grams of methamphetamine in exchange for $4,000. As Rankin was driving away, she was pulled over and arrested. At the time, Rankin was on probation out of Minnesota.
At sentencing, Judge Peterson explained that the case involved two aggravating factors. First, Rankin had a prior 2002 federal conviction for conspiracy to distribute methamphetamine and cocaine. Second, Rankin was involved in serious drug trafficking which can have a devastating impact on the community.
The charge against Rankin was the result of an investigation conducted by the West Central Drug Task Force and the Drug Enforcement Administration. Assistant U.S. Attorney Steven P. Anderson prosecuted this case.
Minnesota Man Sentenced to 15 Years for Producing Child PornographyRead the Press Release
JEFFERSON CITY, Mo. – A Fulda, Minnesota, man was sentenced in federal court today for exchanging pornographic photos and videos online with an 11-year-old child victim in Boone County, Mo.
Douglas Howard Canfield, 56, was sentenced by U.S. District Judge Brian C. Wimes to 15 years in federal prison without parole. The court also sentenced Canfield to eight years of supervised release following incarceration. Canfield will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life.
On March 1, 2022, Canfield pleaded guilty to attempting to produce child pornography. Canfield admitted that he sent pornographic photos and videos of himself to the child victim and solicited pornographic photos from the child victim. Canfield communicated with the child victim over the Fastmeet dating application on her cell phone. Canfield engaged the child victim in explicit conversations about sex on numerous occasions in June 2019.
In July 2019, the Boone County, Mo., Children’s Division received an anonymous report regarding the child victim’s online activity. A Boone County sheriff’s deputy contacted the child victim’s mother, who turned over the cell phone to investigators and granted permission for them to examine the phone and access the child victim’s accounts. Investigators identified Canfield, who was contacted by the FBI in Minnesota.
Canfield admitted to investigators that he used the Fastmeet application to communicate with four or five minor females, from whom Canfield solicited pornographic images.
This case was prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the Boone County, Mo., Sheriff’s Department Cyber Crimes Task Force and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Mingo County Man Pleads Guilty to Federal Drug CrimesRead the Press Release
CHARLESTON, W.Va. – Paul Thomasson, 57, of Delbarton, pleaded guilty today to two counts of distribution of methamphetamine.
According to court documents and statements made in court, Thomasson admitted to selling quantities of methamphetamine to a confidential informant in Delbarton on October 4, 2021, and October 12, 2021.
Thomasson is scheduled to be sentenced on April 26, 2023, and faces a maximum penalty of 20 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Route 119 Drug Task Force.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Ryan Blackwell 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-141.
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Mexican Citizen Sentenced for Drug Trafficking CrimeRead the Press Release
United States Attorney Steven Russell announced that Antonio Lopez-Tiznado, 23, of Mexico, was sentenced today in federal court in Omaha, Nebraska, for his participation in a methamphetamine conspiracy. United States District Judge Brian C. Buescher sentenced Lopez-Tiznado to 135 months of imprisonment. There is no parole in the federal system. After his release from prison, he will be subject to deportation. He was also ordered to serve a three-year term of supervised release.
On July 19, 2021, Omaha police officers stopped a vehicle in which Lopez-Tiznado was a passenger. After receiving consent to search the vehicle, officers found approximately two pounds of methamphetamine. Lopez-Tiznado and the two others in the car, Mauricio Canales-Santiago and Karen Barba-Franco, all lived together. Officers got a search warrant for their residence and found approximately 19 additional pounds of methamphetamine. They had been distributing methamphetamine for at least a couple of weeks before they were arrested.
Barba-Franco has pled guilty and is scheduled to be sentenced on March 29, 2023. Canales-Santiago is pending trial.
This case was investigated primarily by the Omaha Police Department.
Meraux Woman Sentenced for Aiding in the Filing of False Tax ReturnsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that CYNTHIA BOWLEY, age 68, of Meraux, was sentenced on February 7, 2023 after pleading guilty to aiding and assisting in the filing of false tax returns, a violation of Title 26, United States Code, Section 7206(2).
According to court documents, BOWLEY was a tax preparer who willfully caused false income tax returns to be filed for at least ten of her clients. To defraud the Internal Revenue Service (“IRS”), BOWLEY created false business losses on Schedules C (Profit or Loss from Business) and false charitable contributions on Schedules A (Itemized Deductions), resulting in a reduction of her clients’ tax liability and a tax loss to the United States. BOWLEY also created false Schedules E (Supplemental Income and Loss) and false filing statuses for her clients. For tax years 2013 through 2018, BOWLEY caused a total tax loss to the United States of $251,257.00.
U.S. District Judge Jay C. Zainey sentenced BOWLEY to three years of probation and a $100 mandatory special assessment. Judge Zainey also ordered that BOWLEY pay restitution to the IRS in the amount of $251,257.00.
U.S. Attorney Evans praised the work of the Internal Revenue Service-Criminal Investigations. The prosecution of this case is being handled by Assistant United States Attorney Brandon S. Long.
Mayfield Man Sentenced to One Year in Federal Prison for Possessing a Firearm While Subject to a Domestic Violence OrderRead the Press Release
Paducah, KY – A Mayfield, Kentucky, man was sentenced yesterday to 1 year in federal prison, followed by a 3-year term of supervised release, for possessing a firearm after having previously been subject to a domestic violence order.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Acting Special Agent in Charge Robert Maynard of the ATF Louisville Field Division, and Sheriff Jon Hayden of the Graves County Sheriff’s Office made the announcement.
According to court documents, on July 21, 2021, Jed Wilson, 29, possessed a shotgun while subject to a domestic violence order of protection that expressly prohibited him from possessing firearms.
The case was investigated by the ATF Paducah Satellite Office and the Graves County Sheriff’s Office.
Assistant U.S. Attorney Leigh Ann Dycus, of the U.S. Attorney’s Paducah Branch Office, prosecuted the case.
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Marrero Man Pleads Guilty to Receipt of Child Sexual Abuse MaterialRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced today that CHRIS BAO NGUYEN (“NGUYEN”), age 30, of Marrero, Louisiana, pled guilty on February 7, 2023 to receipt of child pornography in violation of Title 18, United States Code, Sections 2252(a)(2) and (b)(1).
According to documents filed in federal court, the case against NGUYEN began as a result of a CyberTip report from the National Center for Missing and Exploited Children (“NEMEC”) to the Louisiana Bureau of Investigation (“LBI”). Homeland Security Investigations (“HSI”) special agents along with the Jefferson Parish Sheriff’s Office and LBI executed a federal search warrant at NGUYEN’s home in Marrero. HSI’s investigation determined NGUYEN received images and videos depicting the sexual exploitation of minors.
NGUYEN faces a mandatory minimum sentence of five (5) years and a maximum sentence of twenty (20) years imprisonment, and/or a fine of up to $250,000.00, or the greater of twice the gross gain to the defendant or twice the gross loss to any person of the offense under Title 18, United States Code, Section 3571. In addition, NGUYEN faces a term of supervised release of no less than five (5) years and up to life after his release from prison as well as a mandatory $100 special assessment fee.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the 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.
U.S. Attorney Evans praised the work of the U.S. Department of Homeland Security, Homeland Security Investigations, the Louisiana Bureau of Investigation, and the Jefferson Parish Sheriff’s Office in investigating this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
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Mangilao Man Sentenced to 180 Months in Federal Prison for Meth Trafficking and Firearm ViolationRead the Press Release
Hagatña, Guam – SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant Timothy Jerome Concepcion, age 23 from Mangilao, Guam, was sentenced on February 6, 2023, to 180 months imprisonment by the District Court of Guam. Concepcion was charged and convicted of Conspiracy to Distribute Fifty of More Grams of Methamphetamine Hydrochloride, in violation of 21 U.S.C. § 841(a)(1), and Using and Carrying a Firearm During a Drug Trafficking Crime, in violation of 18 U.S.C. § 924(c)(1)(A). Federal law requires that the five-year mandatory term for the firearm charge must be served after the 10-year mandatory term for the drug charge. The Court also ordered five years supervised release and a mandatory $200 special assessment fee. In addition, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.
On April 4, 2022, an officer with the Guam Police Department stopped Concepcion for speeding in Asan, Guam. Concepcion was with two passengers, an adult woman and a 14-year-old minor. When Concepcion exited the car, the officer saw a .357 caliber revolver in the driver’s side door panel. A .380 caliber pistol was also found between the passenger seat and the center console. Further search revealed 14 clear baggies containing 390.8 grams of methamphetamine, an electronic scale, and a glass pipe. Concepcion stated, “the dope is mine, but I don’t know about the guns.” Concepcion also told the officer that, “It’s not her dope. It’s mine. I use it.” He also possessed $2,565.00 in cash. One firearm was loaded and had an obliterated serial number.
Additional investigation revealed that from March 29, 2022, through April 4, 2022, Concepcion sold methamphetamine out of a room at the Dusit Thani Guam Resort. A co-conspirator collected money from the drug sales for Concepcion. Buyers also smoked drugs in the hotel room, oftentimes with Concepcion. Throughout this activity, Concepcion carried the firearms for his protection, and informed others of their purpose.
“Concepcion armed himself to facilitate his illegal drug trafficking,” stated United States Attorney Anderson. “Unfortunately, this is not an uncommon occurrence. Combating violent crime, particularly that associated with drugs, is a high priority for the Department of Justice. The enhanced sentence in this matter demonstrates the consequences awaiting those who engage in this activity.”
“As shown by the facts in this case, people who distribute methamphetamine tend to be armed and ruthless,” said John F. Tobon, Special Agent in Charge, HSI Honolulu. “HSI along with our law enforcement partners and the U.S. Attorney Office will continue to investigate and present for prosecution people who flood our communities with this dangerous poison and sell this highly addictive drug.”
“The use of firearms by a drug trafficker makes a dangerous situation even worse,” said ATF Seattle Special Agent in Charge Jonathan T. McPherson. “Hopefully this sentence sends a message to would-be drug dealers that this behavior will not be tolerated. We will continue to investigate the illegal use of firearms, especially when they are tied to the drug trade.”
This investigation was led by Homeland Security Investigations in collaboration with the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Guam Police Department. This case was prosecuted by Rosetta L. San Nicolas, Assistant United States Attorney in the District of Guam.
Man Sentenced to More Than 22 Years in Federal Prison for Video Recording His Sexual Assault of a ChildRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that SAEED MUSTAPHA MOUSSA, 33, a citizen of Ghana last residing in East Hartford, was sentenced today by U.S. Circuit Judge Sarah A. L. Merriam in New Haven to 274 months of imprisonment for video recording his sexual assault of a minor.
According to court documents and statements made in court, in September 2020, East Hartford Police received a report that Moussa’s cell phone contained videos of Moussa engaging in sexual activity with a young child. East Hartford Police subsequently conducted a court-authorized search of Moussa’s residence and seized Moussa’s cell phone, computer equipment and computer storage media. Investigators also executed a search warrant on Google for the contents of Moussa’s Google Photos account. The cell phone and Google Photos account contained videos, taken between 2018 and 2020, of Moussa sexually assaulting a girl who was under the age of 12.
Moussa has been detained since his arrest on related state charges on October 27, 2020. On November 15, 2021, he pleaded guilty in federal court to production of child pornography. The state charges are pending.
Moussa faces immigration proceedings when he completes his prison term.
This matter was investigated by Homeland Security Investigations (HSI), the East Hartford Police Department and the West Chester Township (Ohio) Police Department. The case was prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
U.S. Attorney Avery thanked the Hartford State’s Attorney’s Office for its cooperation in the investigation and prosecution of this case.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Man Pleads Guilty to Committing Assault with a Dangerous Weapon on the George Washington Memorial ParkwayRead the Press Release
ALEXANDRIA, Va. – A Frederick, Maryland, man pleaded guilty yesterday to assault with a deadly weapon.
According to court documents, Juan Marcus Smith, 58, was driving on the George Washington Memorial Parkway when a motor vehicle accident occurred between his vehicle and a dump truck driven by the victim. Smith pulled in front of the dump truck and brought his vehicle to a complete stop in the righthand lane of the Parkway. He walked over to the victim’s truck, opened the driver’s side door, and brandished a knife while attempting to retrieve the keys to the victim’s dump truck. Smith then returned to his vehicle, recovered a baseball bat, and went back to the victim’s dump truck and struck the driver’s side window, shattering the window while the victim sat inside.
When officers with the United States Park Police arrived at the scene, they found Smith standing outside his vehicle holding the key to the dump truck in the air. They also recovered a folding knife from Smith’s pant pocket and a baseball bat from the back seat of Smith’s vehicle.
Smith is scheduled to be sentenced on May 25. He faces a maximum penalty of 10 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Christopher Stock, Acting Chief of U.S. Park Police, made the announcement after U.S. District Judge Patricia T. Giles accepted the plea.
Special Assistant U.S. Attorney Alyssa Levey-Weinstein and Assistant U.S. Attorney Bibeane Metsch are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-231.
Man Convicted for Multimillion-Dollar COVID-19 Relief FraudRead the Press Release
A federal jury convicted a Texas man today for his role in a scheme to fraudulently obtain and launder millions of dollars in forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents and evidence presented at trial, Abdul Fatani, 57, of Richmond, conspired with others to submit fraudulent PPP loan applications by falsifying the number of employees and the average monthly payroll expenses of the applicant businesses. In total, the co-conspirators sought over $35 million through more than 80 fraudulent PPP loans. Fatani distributed over $500,000 in fraudulent loan proceeds to his co-conspirators and himself using bogus payroll checks and laundered a portion of the proceeds by transferring the funds from one of his bank accounts to another bank account he controlled.
Fatani was convicted of one count of conspiracy to commit wire fraud, one count of wire fraud, and one count of unlawful monetary transactions (money laundering). He is scheduled to be sentenced on May 8 and faces a maximum penalty of 20 years in prison for conspiracy and wire fraud and 10 years in prison for money laundering. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
In addition, 15 other individuals have pleaded guilty to their involvement in the loan fraud scheme.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas; Inspector General Hannibal “Mike” Ware of the SBA Office of Inspector General (SBA-OIG); Special Agent in Charge Catherine Huber of the Federal Housing Finance Agency Office of Inspector General (FHFA-OIG); Special Agent in Charge Mark B. Dawson of Homeland Security Investigations (HSI) Houston Field Office; Acting Inspector General Tyler Smith of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG); and Inspector General J. Russell George of the Treasury Inspector General for Tax Administration (TIGTA) made the announcement.
The SBA-OIG, FHFA-OIG, HSI, FDIC-OIG, and TIGTA investigated the case. Assistant U.S. Attorney Kristine Rollinson for the Southern District of Texas handled asset forfeiture.
Trial Attorneys Kate McCarthy, Spencer Ryan, Della Sentilles, and Louis Manzo of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Rodolfo Ramirez for the Southern District of Texas are prosecuting the case.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 200 defendants in more than 130 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
In May 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 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 via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Man Charged with Sexual Exploitation of Children and Distribution, Receipt, and Possession of Child Sexual Abuse MaterialRead the Press Release
A federal grand jury in Baltimore returned an indictment today charging a Maryland man with sexual exploitation of children and distribution, receipt, and possession of images and videos depicting the sexual abuse of children.
According to court documents, between 2013 and 2019, Paul Francis Blaisse, 63, of Walkersville, allegedly used internet chat applications to engage in sexually explicit video chats with minor children in southeast Asia. In 2013, Blaisse allegedly recorded a video chat with a prepubescent child engaged in sexually explicit conduct. Throughout 2019, Blaisse allegedly used Skype to communicate with multiple individuals located in southeast Asia who sent him images depicting the sexual abuse of prepubescent children. Blaisse also allegedly distributed child sexual abuse material (CSAM).
Blaisse came to the attention of law enforcement after Skype notified the National Center for Missing and Exploited Children that Blaisse had uploaded CSAM to his Skype account. The Frederick County Sheriff’s Office obtained a warrant to search Blaisse’s residence and, during their search, discovered multiple digital devices belonging to Blaisse that contained CSAM.
Blaisse is charged with two counts of sexual exploitation of children, five counts of distribution of child pornography, three counts of receipt of child pornography, and three counts of possession of child pornography. If convicted, he faces a mandatory minimum penalty of 15 years in prison.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Erek L. Barron for the District of Maryland, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Thomas J. Sobocinski of the FBI Baltimore Field Office made the announcement.
The FBI and the Frederick County Sheriff’s Office are investigating the case.
Trial Attorney Eduardo Palomo of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney Michael Aubin for the District of Maryland are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the 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.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Logan County Man Sentenced to 15 Years in Federal Prison for Drug Trafficking and Illegal Possession of FirearmsRead the Press Release
Bowling Green, KY – A Logan County man was sentenced yesterday to 15 years in prison for drug trafficking and firearms crimes.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Acting Special Agent in Charge Robert Maynard of the ATF Louisville Field Division, and Director Jacky Hunt of the Appalachia High Intensity Drug Trafficking Area (AHIDTA) South-Central Kentucky Drug Task Force made the announcement.
According to court documents, on October 2, 2020, William Horsley, 36, of Russellville, Kentucky, possessed with the intent to distribute 59.43 grams of methamphetamine and 527.9 grams of a cutting agent. Horsley, a convicted felon, also possessed a Winchester, model 1200, 12-gauge shotgun, a Canik, Model TP-9SF Elite, nine-millimeter semiautomatic pistol, loaded with a 33 round extended magazine, and a Taurus International, model PT840, .40 caliber semiautomatic pistol. Horsley had previously been convicted of the following felonies. On July 25, 2014, in Daviess Circuit Court, he was convicted of possession of a controlled substance in the first degree. On February 21, 2018, in two separate cases in Daviess Circuit Court, he was convicted of two counts of trafficking in a controlled substance in the first degree.
In addition to the 15-year prison sentence, Horsley is required to serve an additional 5 years on supervised release. There is no parole in the federal system.
“I commend ATF Bowling Green and AHIDTA’s South-Central Kentucky Drug Task Force for their work in this case,” said U.S. Attorney Bennett. “The investigation and prosecution of the defendant typifies the collaboration taking place on a continual basis between our federal, state, and local law enforcement partners under the AHIDTA program. AHIDTA’s support and coordination of drug enforcement efforts are key to making Western District communities safer.”
“ATF is committed to protecting the public from armed drug traffickers like William Horsley whose actions place our community at risk and show contempt for law and order,” said ATF Acting Special Agent in Charge Robert Maynard of the Louisville Field Division. “I want to extend my gratitude to ATF’s Bowling Green Office, AHIDTA’s South-Central Kentucky Drug Task Force, and the U.S. Attorney’s Office for their work on this case. This sentence is another great example of the collaborative work to hold drug traffickers accountable for the crime they engage in and the destruction they bring to our families and communities.”
“I want to commend the United States Attorney’s Office for prosecuting this case,” said AHIDTA Director Jacky Hunt. “Horsley was a major distributor of methamphetamine and a convicted felon possessing firearms in the Logan County area. The AHIDTA South-Central Kentucky Drug Task Force works closely with the ATF and AUSA Yurchisin. As a result, we now have one less drug dealer on the streets in Logan County.”
The case was investigated by the ATF Bowling Green Field Office and the AHIDTA South-Central Kentucky Drug Task Force.
Assistant U.S. Attorney Mark J. Yurchisin II, of the U.S. Attorney’s Bowling Green Branch Office, prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Lodge Grass man sentenced to one year in prison for assaulting Bureau of Indian Affairs officerRead the Press Release
BILLINGS — A Lodge Grass man who admitted assaulting a Bureau of Indian Affairs officer, who was pursuing a co-defendant for operating a stolen vehicle in Lodge Grass, on the Crow Indian Reservation, was sentenced today to one year in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Earl Landon Old Chief, Jr., 36, pleaded guilty in September 2022 to assault on a federal officer.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that on March 14, 2021, BIA officers were pursuing co-defendant Darnell Lee Not Afraid, of Pryor, who was driving a stolen truck at high speeds through residential neighborhoods in Lodge Grass. Not Afraid stopped at a residence, got out of the truck and ran away. The officer pursued on foot into a residential yard as a crowd began to gather and drew his Taser. Not Afraid turned toward the officer and grabbed a revolver from his waistband. The officer dropped his Taser, drew his service pistol and fired multiple times at Not Afraid, striking him at least once in the arm. After the shooting, the crowd, including Old Chief, became angry at the officer and some of the crowd accosted him. It is disputed whether Old Chief threw a bottle at the officer’s head, narrowly missing him, but it is not disputed that Old Chief pointed the officer’s Taser at the officer’s face and then threw it at the officer’s head. The officer did not activate the Taser, but when Old Chief pointed it at him, the officer knew it had been activated because the Taser’s flashlight and red dot were on.
Not Afraid was sentenced earlier to a mandatory minimum five years in prison for pleading guilty to possession of a firearm in furtherance of assault on a federal officer, a crime of violence. A third co-defendant, Darwyna Caylynn Catherine Bullshows, was sentenced to time served for conviction in the case.
Lackawanna County Man Sentenced to 24 Months in Prison for Tax EvasionRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Nicholas Stanley, age 44, of Dalton, Pennsylvania, was sentenced to 24 months in prison to be followed by a three-year term of supervised release by U.S. District Court Judge Malachy E. Mannion for evading the payment of taxes.
According to United States Attorney Gerard M. Karam, Stanley, the owner and operator of Nick Stanley Paving, Inc., took affirmative steps to evade the payment of income taxes while owing $1,062,312.10 for tax years 2005 to 2011. He was ordered by the Court to pay $972,091 in restitution to the Internal Revenue Service.
The case was investigated by the Internal Revenue Service’s Criminal Investigations Division. Assistant U.S. Attorney Alisan V. Martin prosecuted the case.
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Jury Finds Oahu Man Guilty of Posting Instagram Threats to KillRead the Press Release
HONOLULU – After a jury trial before Chief United States District Judge Derrick K. Watson, a federal jury today found Oahu resident Lindsey Kinney (age 44) guilty of two counts of posting threats to kill others on Instagram. Judge Watson ordered the defendant’s continued detention in custody pending his sentencing, which is set for May 23, 2023.
At trial, the evidence as to Count 1 showed that in January 2022, defendant posted on his Instagram account threats to cut off the heads of persons identified as Victims 1, 2, and 3 in the indictment and their social media profiles. Victim 1 believed defendant threatened Victims 1 and 2 because Victim 1, acting in his official capacity as a government official, had recently been involved in two encounters with another individual, and the defendant repeatedly referred to Victim 1’s official title. Victim 2 is the wife of Victim 1, and Victim 3 is a close friend of them both.
According to the evidence presented at trial as to Count 2, in March 2022, defendant publicly posted on his Instagram account a 15-minute videorecording in which he and a second unseen person made threats to kill Victim 4 and Victim 5, both government officials, and to injure Victim 4’s security staff, including stating, “we cut their heads off right in the [obscenity omitted] palace, for treason -- for treason and human trafficking.” After learning of the threatening post, Victim 4’s security staff increased its vigilance, familiarizing themselves with defendant’s appearance and scrutinizing those who approached Victim 4 to ensure that defendant did not get close to Victim 4. Similarly, in response to defendant’s post and until the arrest operation began, armed personnel were present at Victim 5’s office during working hours to protect Victim 5 and his staff should defendant appear.
“As confirmed by this verdict, posting threats to kill specific targets on social media accounts like Instagram may have serious criminal consequences,” said United States Attorney Clare E. Connors. “The use of social media to criminally terrorize members of our community will be investigated and prosecuted by our office.”
“Online threats of violence towards our government officials are not only a danger to their personal safety but also to our democracy,” said Federal Bureau of Investigation Special Agent in Charge Steven Merrill. “Today’s verdict serves as a reminder of just how serious this crime is. The FBI encourages anyone who may have knowledge of similar activity to report it immediately.”
The charges on which the defendant was convicted each carry a maximum sentence of five years of imprisonment. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The Federal Bureau of Investigation conducted the investigation that resulted in this conviction. Assistant U.S. Attorney Craig Nolan is prosecuting the case.
Jefferson County Chiropractor, Employees Convicted of Disability Fraud ConspiracyRead the Press Release
ST. LOUIS – A jury in U.S. District Court in St. Louis on Wednesday convicted a chiropractor from Jefferson County, Missouri, one current and one former employee of conspiring to commit disability fraud.
Vivian Carbone-Hobbs, 60, of Fenton, Christina Barrera, 63, of St. Louis, and Clarissa Pogue, 39, of DeSoto were each convicted of one count of conspiracy to defraud the Social Security Administration. Carbone-Hobbs was convicted of 10 counts of health care fraud and two counts of theft of money from the United States. Pogue was convicted of one count of theft of money from the United States.
The three conspired with each other and others to fraudulently obtain disability payments for patients.
Carbone-Hobbs is the co-owner of Power-Med Inc., a chiropractic clinic in Arnold, Missouri, with her husband Thomas G. Hobbs. In closing arguments Tuesday, Assistant U.S. Attorney Tracy Berry told jurors that in exchange for upfront fees of thousands of dollars, the conspirators would coach those patients on how to conceal their abilities so they would seem unable to work and perform many of the basic functions of life, like lifting, sitting, standing and walking. Patients also had to pay hundreds of dollars for annual appointments to keep qualifying for disability payments, Berry said.
Patients were told they should go on disability “so you can enjoy yourself,” Berry told jurors.
One woman “just wanted time away from work” when she arrived for an appointment at PowerMed, Berry said, but was told “You need to go out on disability.”
An undercover investigator who was not injured but said, “I’m just tired of working,” was told, “You’re going out, you’re going to be permanently disabled,” Berry said, quoting an undercover video of the conversation.
Carbone-Hobbs was also billing insurance companies for services that were not provided.
All three are scheduled to be sentenced May 4. The conspiracy charge carries a maximum penalty of five years imprisonment, a fine of $250,000, or both. The health care fraud and theft charges carry penalties of up to 10 years in prison and the same fine. They will also be ordered to repay the money.
Carbone-Hobbs’ husband, Thomas G. Hobbs, 65, pleaded guilty in January to a conspiracy charge and admitted conspiring to commit the crimes of health care fraud, making false statements, theft of government funds and Social Security fraud.
Sixteen defendants have either been convicted at trial or pleaded guilty. One case is still pending.
Hobbs admitted that beginning in 2011, he fraudulently assisted patients in receiving more than $3.5 million in disability benefit payments through the Social Security Administration’s Disability Trust Fund and through private disability benefit insurance providers. Hobbs charged patients between $2,000 and $8,600 to prepare disability forms and coached them to lie to the Social Security Administration and insurers about their ability to perform basic activities.
Hobbs also used a fictitious medical license number and submitted false and fraudulent medical reports to buttress patients’ disability claims. Hobbs submitted or caused to be submitted false and fraudulent claims for reimbursement to health care benefit programs for services that were not provided, medically unnecessary services or services provided by unqualified persons to make it appear that the disability patients had medical conditions.
He also admitted that despite his lack of a medical license, between 2011 and 2019 he purchased and dispensed prescription medications, administered injections and dispensed medications intravenously to patients.
Hobbs is scheduled to be sentenced April 19.
The cases were investigated by the Social Security Administration – Office of Inspector General and the Federal Bureau of Investigation. Assistant U.S. Attorneys Tracy Berry, Dorothy McMurtry, Diane Klocke and Gwendolyn Carroll are prosecuting the case.
Anyone who suspects fraud involving the Disability Insurance Benefit Program is asked to contact the Social Security Administration Office of Inspector General Hotline at: 1-800-269-0271 or https://oig.ssa.gov/report/.
Jefferson City Man Sentenced to 15 Years for Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – A Jefferson City, Mo., man was sentenced in federal court today for illegally possessing a firearm.
Malik Rashod Miller, 25, was sentenced by U.S District Judge Roseann Ketchmark to 15 years and eight months in federal prison without parole. Miller was sentenced as an armed career criminal due to his prior felony convictions.
On Oct. 11, 2022, Miller pleaded guilty to one count of being a felon in possession of a firearm. Miller admitted that he was in possession of a loaded Charter Arms .38-special revolver on Oct. 20, 2021.
Miller was arrested when Jefferson City police officers contacted a vehicle that was parked in a local park shortly after midnight on Oct. 20, 2021, although the park was closed. Miller was a passenger in the vehicle. When Miller got out of the vehicle so that officers could search it, he left a black satchel that was later searched. Inside the satchel, officers found approximately 10.2 grams of suspected methamphetamine, as well as additional small rocks of suspected crack cocaine. Miller also had a golf-ball-sized lump of suspected methamphetamine in his pocket.
Officers searched the vehicle and found the revolver underneath the passenger’s seat where Miller had been sitting. The in-car video for the patrol car in which Miller was seated during the search began recording as Miller was being placed in the patrol car. The video depicts Miller leaning forward with interest and mumbling, “Don’t find the gun; please don’t find the gun,” and shortly afterward, “They found the gun.” He later shouted from the patrol car that he is “going away for a long time.”
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Miller has two prior felony convictions for unlawful use of a weapon and a prior felony conviction for delivery of a controlled substance. For each of these state convictions, Miller received a suspended execution of sentence. Miller was on state supervision at the time of this offense.
According to court documents, Miller has a history of violent criminal behavior, including threats, stalking, and assaultive conduct. Almost all of his prior convictions involved a firearm.
This case was prosecuted by Assistant U.S. Attorney Lauren E. Kummerer. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson City, Mo., Police Department.
Project Safe Neighborhoods
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.
Jackson Man Sentenced to 12 Years in Prison for Assault on Federal Law Enforcement OfficerRead the Press Release
Jackson, Miss. – A Jackson man was sentenced to 144 months in federal prison for assault on a law enforcement officer and discharging a firearm in furtherance of a crime of violence, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
De’Vadrick Markevin Booker, 24, was sentenced on February 8, 2023, in U.S. District Court in Jackson.
Following a three-day trial in November 2022, a federal jury returned a guilty verdict against Booker. The evidence at trial showed that on September 8, 2020, an ATF agent responded to assist Jackson Police officers with an ongoing investigation of an exchange of gunfire in a residential area of the city. As the agent drove down a residential street in the area of the gunfire, Booker emerged and fired several shots at the agent hitting his car. The federal agent escaped injury.
“But by the grace of God, this federal agent did not become a statistic,” said United States Attorney Darren LaMarca. “For the next 12 years, the citizens of Jackson are safer from this defendant. The U. S. Attorney’s office will not waiver in its commitment to prosecute those violent criminals who have no respect for the law or human life.”
“The collaborative effort of federal, state, and local law enforcement has led to the lengthy sentencing of this offender and is another example of our commitment to reduce violent crime in the City of Jackson and surrounding areas,” said ATF New Orleans Special Agent in Charge Kurt Thielhorn. “ATF will continue to work tirelessly to protect our communities and hold accountable those who threaten our safety.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Assistant U.S. Attorney Jessica S. Terrill, Kevin J. Payne, and Bert Carraway prosecuted the case.
Indian Wells-Based Drug Dealer Who Distributed Methamphetamine on the Hopi Reservation Pleads GuiltyRead the Press Release
PHOENIX, Ariz. – Last week, Vanessa Rene Dundon (a.k.a. Sioux Z, a.k.a. Suzie Q), 38, of Indian Wells, Arizona pleaded guilty to Possession with Intent to Distribute Methamphetamine. Sentencing is scheduled for April 18, 2023 before United States District Judge Diane J. Humetewa.
Dundon was stopped in her vehicle on the Hopi Reservation in April 2021, March 2022, and April 2022. On each occasion she had controlled substances in her vehicle. At the change of plea hearing, Dundon admitted that on April 17, 2022, she possessed 58.4 grams of pure methamphetamine and that she intended to deliver it to other individuals in exchange for payment.
A conviction for Possession with Intent to Distribute Methamphetamine carries a maximum penalty of 20 years in prison and a fine of up to $1,000,000, or both.
The Phoenix Field Office of the Federal Bureau of Investigation and Hopi Law Enforcement Services conducted the investigation in this case. Assistant United States Attorneys in the Violent Crime Section, District of Arizona, Phoenix, are handling the prosecution.
CASE NUMBER: CR-22-08043-PCT-DJH
RELEASE NUMBER: 2023-015_Dundon# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
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