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3 February 2023
Federal Jury Convicts Baton Rouge Man of Conspiracy to Distribute and Possess with Intent to Distribute Heroin, Marijuana, and MethamphetamineRead the Press Release
United States Attorney Ronald C. Gathe, Jr., announced the conviction of Xavier Johnson, age 38, of Baton Rouge, Louisiana. Johnson was indicted by a federal grand jury on July 22, 2019 and charged with conspiracy to distribute and possess with intent to distribute heroin, marijuana, methamphetamine, and felon in possession of a firearm and ammunition.
After a three-day trial before Chief Judge Shelly D. Dick, beginning January 30, 2023, the jury unanimously convicted Johnson of conspiracy to knowingly and intentionally distribute and possess with intent to distribute heroin, marijuana, and methamphetamine. As the evidence at trial demonstrated, Johnson conspired with inmates at the Louisiana State Penitentiary at Angola, and others, to obtain heroin, marijuana, and methamphetamine from sources of supply in California, and to possess and distribute the drugs to inmates in Angola and to other non-incarcerated individuals within Baton Rouge, Louisiana, and elsewhere. Evidence brought to light at trial by federal and state law enforcement officials, and information obtained through forensic data analysis, corroborated testimony from witnesses that Johnson was involved in supervising at least three couriers of controlled substances, personally distributing controlled substances, and attempting to smuggle controlled substances to inmates at Angola.
As a result of his convictions, Johnson now faces a maximum sentence in federal prison of 20 years imprisonment, as well as significant fines, forfeiture, and a minimum 3-year term of supervised release.
This case was investigated by the Federal Bureau of Investigation and the United States Postal Inspection Service, and with the assistance of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Louisiana Department of Corrections, to include staff at Angola, the 20th Judicial District Attorney’s Office, and the St. Francisville Police Department. The case was prosecuted by Assistant United States Attorneys Paul L. Pugliese and April Leon Johnson.
Federal Grand Jury Indicts Two New Orleans Residents for Violations of the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – MICHAEL WILLIAMS, age 28, and NOLAN LONG, age 31, residents of New Orleans, Louisiana, were each indicted on February 2, 2023, for being a felon in possession of a firearm.
If convicted, WILLIAMS and LONG each face a maximum sentence of 15 years in prison, a fine of up to $250,000, up to 3 years of supervised release, and a mandatory special assessment fee of $100.00.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the New Orleans Police Department, the Orleans Parish District Attorney’s Office, and the Federal Bureau of Investigation. Assistant United States Attorney David Berman is in charge of the prosecution.
Everett, Washington man sentenced to prison for theft of police rifle during downtown protestRead the Press Release
Seattle – A 26-year-old Everett resident was sentenced today in U.S. District Court in Seattle to 16 months in prison for possession of a stolen firearm in connection with the theft of a high-powered rifle, taken during a downtown Seattle altercation on May 30, 2020, announced U.S. Attorney Nick Brown. Jacob D. Little quickly sold the stolen gun online via social media – an action that put the community at risk. “You didn’t care (who you sold it to) as long as you got paid. You sold it to someone with mental health issues,” Judge Richard A. Jones said at the sentencing. Judge Jones said the court needs to protect the community from similar actions.
According to records filed in the case, the theft of the firearm was captured by both Seattle Police surveillance photos and images posted online. Little is seen with the large bag used to store the Colt M4 rifle with a suppressor. The gun was taken from a Seattle Police vehicle parked outside the downtown Nordstrom store. The vehicles were heavily damaged and ultimately burned.
In the course of the investigation, law enforcement obtained electronic messages sent by Little after the theft in which he appeared to be negotiating the sale of the firearm. Little stated in the messages that he had removed the sling and suppressor and the “red dot” (a type of optical sight) from the rifle. All those accessories were present on the rifle when stolen from the Seattle Police vehicle.
Speaking at sentencing today, Assistant United States Attorney Kate Crisham told the court that Little “was one of a handful of people who hijacked the peaceful protest and made it dangerous.” Little then sold the rifle to an acquaintance who he knew had mental health issues. The gun buyer buried the gun on his grandparents’ property in Snohomish County. The buyer went and dug up the rifle after threatening his girlfriend. Police were able to seize the weapon before it was used in a crime.
After the theft and sale of the police gun, but before Little was identified in this case, Little was allegedly involved in the August 30, 2020 shooting in Renton. In that case, it is alleged that Little fired multiple shots when fights broke out at a gathering of over 200 car enthusiasts in the parking lot of the Uwajimaya grocery store. Little was observed firing a gun into the air and into a crowd of people. In January 2021, Little was charged with second degree murder and assault. He will be transferred to state custody to face those charges in King County Superior Court.
The case was investigated by the Seattle Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), with assistance from the Snohomish County Violent Offender Task Force, the United States Marshals Service, and the Marysville Police Department. The case was prosecuted by Assistant United States Attorney Kate Crisham.
Enumclaw, Washington man sentenced for criminal scheme to steal flood control tax dollarsRead the Press Release
Seattle – The former long-time Commissioner of an East King County drainage district was sentenced today in U.S. District Court in Seattle to 30 months in prison and three years of supervised release for multiple federal felonies connected to a scheme to steal tax dollars intended for flood control, announced U.S. Attorney Nick Brown. Allan Thomas, 70, was convicted of conspiracy; four counts each of wire fraud and mail fraud, and one count of aggravated identity theft. At sentencing U.S. District Judge Richard A. Jones noted that Thomas involved his own son in the fraud scheme when he was barely out of high school. “You were a public officer in a position of trust… People trusted you not to enrich yourself,” Judge Jones said. “These funds were ill-gotten gains, they were not earned…. It was a breach of trust.”
“Mr. Thomas and his wife treated taxpayer money as if it was their own,” said U.S. Attorney Nick Brown. “And they repeatedly lied, claiming tax dollars for ditch maintenance work that was never performed. They not only cheated taxpayers out of money, they also increased the risk of damage from flooding due to an overgrown drainage ditch network.”
According to records in the case and testimony at trial, Allan B. Thomas served as Commissioner for Drainage District 5 and 5A in King County for more than 35 years. As a Commissioner, Thomas estimated the costs of drainage maintenance for the district so that the county auditor could set and assess the appropriate taxes. The Commissioners then authorized payment to service providers who had supposedly done maintenance work on the drainage system.
Thomas’ wife, Joann, was sentenced to three years in prison last month for her role in the scheme. As early as 2012, Joann Thomas set up a joint bank account with Allan Thomas’ son from a previous marriage. The account was a business account for a company called A C Services. Over the next six years, Allan Thomas had $413,323 of local tax dollars paid to A C Services claiming it was for drainage ditch maintenance. However, Thomas’ son testified that other than two small jobs performed before 2012, he did not perform any drainage ditch work. At trial, a current drainage district Commissioner testified that he saw no work done on the ditches during that time period, and that when he took on the Commissioner job, it was clear that little maintenance work was done on the ditch network for many years.
Financial records admitted at trial show that over those six years (2012-2017), shortly after the tax dollars were deposited into A C Services’ account, the money was quickly transferred to other accounts belonging to the Thomases or was used to pay their expenses for such things as hay, mortgage payments, or property taxes. More than $68,000 was withdrawn as cash.
In 2018, after the couple became aware of an investigation into their conduct, they began funneling the tax dollars through another company: City Biz. The couple submitted warrants for City Biz to be paid for drainage maintenance work and within days of the funds arriving in City Biz bank accounts, nearly all the money was transferred directly to Allan Thomas or the Thomases’ dairy farm. The Thomases’ friend who agreed to help with the City Biz fraud, now also has a federal felony conviction for repeatedly lying to the FBI.
Allan and Joann Thomas worked together on the scheme. Both were involved in submitting false documents by mail and wire (the mail fraud and wire fraud counts). Joann Thomas forged the signatures of Allan Thomas’ son and a second drainage Commissioner on various records and checks. Allan Thomas was convicted of participating in the forgeries related to the second drainage Commissioner. The forgeries constitute Aggravated Identity Theft. This count carries a mandatory two-year sentence that must run consecutive to any sentence imposed on the other counts of conviction.
In all, the couple defrauded taxpayers of $468,165. Judge Jones has scheduled a hearing to set the amount of restitution in early April 2023.
“Today, Allan Thomas is being held accountable for his lengthy public corruption scheme, which took the majority of the district’s budget for years for his own gain,” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field Office. “Not only did he betray the public’s trust, but he also stole property tax dollars from taxpayers and involved others in the fraud.”
“Mr. Thomas did not do his job in maintaining critical drainage ditches, but he and his wife still fraudulently paid themselves using taxpayer dollars as if he did,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS-CI), Seattle Field Office. “And when the couple realized they were being investigated, the Thomases attempted to cover up their fraud. They were quite literally digging themselves deeper into a ditch of lies.”
IRS Criminal Investigation (IRS:CI) and the FBI led the investigation with assistance from the Enumclaw Police Department. The Enumclaw City Attorney initiated the review of the district finances. The Washington State Auditor’s Office also conducted an audit of the district in 2019. The King County Prosecuting Attorney’s Office, in consultation with the U.S. Attorney’s Office, determined the case was appropriate for federal prosecution.
The case is being prosecuted by Assistant United States Attorneys Justin Arnold and Andrew Friedman.
East Lyme Agrees to Increase Town Hall Accessibility to Comply with Americans with Disabilities ActRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that the U.S. Attorney’s Office has reached a settlement agreement with the Town of East Lyme to resolve allegations that the East Lyme Town Hall was not operating in compliance with the Americans with Disabilities Act of 1990 (“ADA”).
The settlement agreement resolves an ADA complaint filed by an individual with physical disabilities alleging that multiple aspects of East Lyme’s Town Hall facility were inaccessible to individuals with mobility disabilities. East Lyme is in the process of making significant improvements, as required by the settlement agreement, including improving the accessibility of the Town Hall parking lot, main entrance, multi-level access routes to connect the main upper floor to the basement, visitor and employee interaction counters, public restrooms and drinking fountains.
Under federal law, public entities are prohibited from discriminating on the basis of disability. The ADA authorizes the U.S. Department of Justice to investigate complaints and undertake periodic reviews of compliance of covered entities. The Department is also authorized to commence a civil lawsuit in federal court in any case that involves a pattern or practice of discrimination or that raises issues of general public importance, and to seek injunctive relief, monetary damages, and civil penalties.
U.S. Attorney Avery commended the leadership of the Town of East Lyme for having worked cooperatively and collaboratively with the U.S. Attorney’s Office to expeditiously address the ADA issues without litigation.
“Among the most important protections provided by the Americans with Disabilities Act are those ensuring individuals with disabilities have access to public services, especially key local government facilities such as Town Hall,” said U.S. Attorney Avery. “Our Office is committed to enforcing the ADA, which requires public entities, including municipalities, to provide access to individuals with disabilities. We greatly appreciate the willingness of the Town of East Lyme and the commitment of its First Selectman to greatly increase the accessibility and usability of East Lyme’s Town Hall.”
Any member of the public who wishes to file a complaint alleging that a public entity or place of public accommodation in Connecticut is not accessible to persons with disabilities may contact the U.S. Attorney’s Office at 203-821-3700.
Additional information about the ADA can be found at www.ada.gov, or by calling the Justice Department’s toll-free information line at (800) 514-0301 and (800) 514-0383 (TTY). More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
This matter was handled by Assistant U.S. Attorney William M. Brown, Jr., in coordination with the Disability Rights Section of the U.S. Department of Justice Civil Rights Division.
Drug Dealer Sentenced to 27 Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
PEORIA, Ill. – Gabriel Antonio Montano-Rodriguez, 41, was sentenced last month to 324 months’ imprisonment, to be followed by five years of supervised release, for conspiracy to distribute and possession with intent to distribute at least 50 grams of ice methamphetamine.
At the January 13, 2023, sentencing hearing before U.S. District Judge James E. Shadid, the government presented evidence that Montano-Rodriguez, who was living in the United States illegally and operated mainly out of Arizona, obtained methamphetamine from Mexico and trafficked both methamphetamine and heroin from the southwest border to the Central District of Illinois. Montano-Rodriguez personally transported ice methamphetamine from Arizona to the Peoria area, where he then used a network of local drug dealers to sell the meth and heroin. On one trip alone, Montano-Rodriguez brought fifteen pounds of ice methamphetamine to sell.
Using the most conservative estimates, Judge Shadid found that Montano-Rodriguez was accountable for trafficking over 23 pounds of ice methamphetamine and approximately 6 pounds of heroin to the Central District of Illinois during the course of his ten-month long conspiracy.
Also at the hearing, Judge Shadid found that Montano-Rodriguez led a “life of crime” prior to this offense, including convictions for a federal marijuana conspiracy, illegal reentry, and transportation of undocumented immigrants. Judge Shadid also noted that Montano-Rodriguez had been living in the United States illegally and had been deported at least four prior occasions and voluntarily removed on other occasions, each time unlawfully returning to the United States and continuing to commit crimes. Shadid noted that a significant sentence was necessary since all prior deportation efforts had not effectively removed Montano-Rodriguez “from the streets of the United States” or otherwise deterred his criminal conduct.
Three of the Peoria-area drug dealers that distributed for Montano-Rodriguez have been prosecuted federally and are currently in the Bureau of Prisons. One additional local drug dealer faced state prosecution and was sentenced to Illinois Department of Corrections.
“The Pekin Police Department’s partnership with the DEA unleashes a host of resources that allows our team of experienced, dedicated, sharp-shooting detectives to work on cases like these,” said Pekin Police Department Chief John Dossey. “Montano-Rodriguez could have landed anywhere in the United States to deal drugs—and to the immense credit of the case agent who tirelessly pursued him—this sentence makes clear that Montano-Rodriguez should have chosen elsewhere. Our Department’s focus and decades-long legacy to keep communities safe by disrupting drug dealers at the top of the food chain will continue.”
“The DEA, alongside our state and local partners, have an unwavering commitment to protect Americans by tenaciously pursuing those who are responsible for the trafficking and distribution of methamphetamine in our community,” said Todd Smith, Assistant Special Agent in Charge of Drug Enforcement Administration - Springfield.
Montano-Rodriguez was indicted in September 2021 and arrested in November 2021 in Texas, where he was serving a federal prison sentence for marijuana conspiracy. He was removed to the Central District of Illinois in December 2021 and pleaded guilty in June 2022. Montano-Rodriguez has been in the custody of the United States Marshals Service since his arrest.
The statutory penalties for conspiracy to distribute and possession with intent to distribute are a minimum of 10 years to life imprisonment, followed by up to five years of supervised release, and up to a $10 million fine. One prior conviction increases the sentence from 15 years to life, and two prior convictions increase the sentence from 25 years to life.
The U.S. Department of Justice Drug Enforcement Administration (DEA) and Pekin Police Department investigated this case, with valuable assistance provided by the United States Department of Homeland Security (DHS) and Canton Police Department. Assistant U.S. Attorney Katherine G. Legge represented the government in the prosecution.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF)’s National Methamphetamine Strategic Initiative, spearheaded locally out of the Pekin Police Department’s Operation Kingsnake. The primary goal of this initiative is to address methamphetamine trafficking and its attendant consequences by using a coordinated, multi-agency approach targeting the highest levels of drug trafficking leadership. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Corinth Man Sentenced 14 years for Gun TraffickingRead the Press Release
OXFORD, Miss. – A Corinth man was sentenced on Thursday to 14 years in prison for burglarizing a gun store, possessing stolen firearms, and transporting those firearms.
According to court documents, Galvin Dwayne Davis, 39, was involved in the August 1, 2019 burglary of TNT Pawn in Booneville, Mississippi. Davis and his co-defendants stole 49 firearms and transported those guns to Chicago. The group sold those guns on the street in Chicago. A number of those guns have been involved in shootings in Chicago and recovered by Chicago Police.
Davis was also ordered to pay restitution to TNT Pawn over $42,000 for the value of the stolen firearms and damage to the property.
“The crimes committed by this defendant had a far-reaching effect and the guns illegally transferred were used to victimize others,” remarked U.S. Attorney Clay Joyner. “The U.S. Attorney’s Office for the Northern District of Mississippi will continue to prioritize the prosecution of violent crimes and gun crimes and we hope that the 14-year sentence imposed in this case will serve as a deterrent to others who might consider engaging in illegal firearms sales and trafficking.”
“In our effort to disrupt violent gun crime in our community, ATF will continue to focus efforts on prohibited individuals, like this repeat offender, who steal firearms and unlawfully possess firearms,” said ATF New Orleans Special Agent in Charge Kurt Thielhorn. “The sentence imposed today sends a message to individuals who are prohibited from possessing firearms that we will continue to work to keep our neighborhoods safe as the top priority for ATF.”
Davis’s co-defendant, Marquis McCray, is set to be sentenced for his role on February 16.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Oxford Resident Agency, Booneville Police Department, Corinth Police Department, and the Chicago Police Department. Assistant U.S. Attorney Parker S. King 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.
Commerce Township Resident Charged in COVID-19 Loan Fraud SchemeRead the Press Release
DETROIT - A Commerce Township resident was charged with wire fraud in a criminal complaint for his alleged role in a scheme to obtain $963,000 from pandemic loan programs for fictitious businesses, announced United States Attorney Dawn N. Ison.
Joining in the announcement was Angie M. Salazar, Special Agent in Charge of Homeland Security Investigations, Detroit Field Division.
Charged is Ryan Carruthers, 42, of Commerce Township, Michigan. According to the complaint, beginning in approximately April 2020 and continuing through April 2021, Carruthers applied for 14 loans in the names of various businesses from lenders participating in the Paycheck Protection Program (PPP). The PPP was a program overseen by the Small Business Administration (SBA) in which participating lenders provided loans to help businesses keep their workforces employed during the Covid-19 crisis. The SBA would forgive the loans if all employees were kept on the payroll for eight weeks, and the money from the loans was used for payroll, rent, mortgage interest, or utilities. PPP loans were funded by participating banks or lending institutions. Carruthers is also alleged to have applied for a 15th loan pursuant to the Economic Injury Disaster Loan program, a program in which the SBA provided direct loans to businesses adversely affected by the pandemic.
The complaint also alleges Carruthers’s businesses were fictitious, and the applications he submitted for these pandemic relief loans fraudulent. Carruthers claimed that his various businesses, with names like “Cobra Kai Karate” and “Pure Juice Bar & Café,” had between three and fifteen employees. The complaint states that there is no evidence that any of these businesses had actual employees. Many of the businesses were not even incorporated until after March 2020, which would have rendered them ineligible for PPP loans.
The complaint further alleges that Carruthers applied for approximately $963,000 across 15 loans under these programs. Thirteen of the loans were actually funded, resulting in disbursements of approximately $851,000 on those loans. Carruthers is alleged to have used loan proceeds to pay off the balance of the mortgage on his home (approximately $251,000) and to have purchased a Sea-Doo personal watercraft, among other things.
United States Attorney Ison stated, “Mr. Carruthers is charged with lying repeatedly to obtain loan funds intended to help businesses keep their doors open during the Covid-19 pandemic. My office is committed to prosecuting anyone who exploited our national crisis to enrich themselves, and today’s charges are a reflection of that commitment.”
“Our communities suffered during the pandemic, yet some sought to line their own pockets at the expense of the American taxpayer,” said Angie M. Salazar, HSI Detroit Special Agent in Charge. “Our agents will continue to investigate PPP fraud and help hold these offenders accountable to the American people.”
A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is completed, a determination will be made whether to seek a felony indictment. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Carruthers faces up to twenty years in prison on the wire fraud charge.
The case is being prosecuted by Assistant United States Attorney John K. Neal. The investigation is being conducted by Homeland Security Investigations.
Columbia Man Affiliated with Street Gang Sentenced to 15 Years in Federal Prison for Firearms and Drug OffensesRead the Press Release
COLUMBIA, SOUTH CAROLINA — Marek Cortez Brewer, Jr., 24, of Columbia, was sentenced to 15 years in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition and to possession of a firearm in connection with drug trafficking.
Evidence presented in Court shows that between February 2020 and February 2022, Brewer was in illegal possession of at least 5 firearms on 5 separate occasions, 3 of which were stolen firearms and several of which were used in other felony crimes such as attempted murders, shootings, armed robbery, drug trafficking, and flight from the police.
First, on February 22, 2020, Brewer was arrested in Columbia with a 9mm pistol and drug trafficking tools – a digital scale, five plastic bags with marijuana inside, numerous empty plastic bags, and a plastic bag with pills.
Second, on November 14, 2020, Brewer was arrested again in Columbia with a stolen and loaded.40 caliber pistol and marijuana after Richland County deputies responded to an area following a report of 6 shots fired.
Third, on January 11, 2021, Brewer was arrested in Fairfield County after taking S.C. Highway Patrol on a car chase that reached 125 miles per hour and crossed into two counties. The vehicle Brewer was driving was stolen out of Cayce, and when Brewer fled on foot, he dropped a stolen and loaded 9mm pistol. From jail, Brewer made a recorded call that he got into a “high speed” with a firearm and that he was going to have to go “back up the road,” but that he was “not even mad.” An ATF forensic investigation determined the firearm recovered from this incident was used in a shooting on Assembly Street in Columbia on December 8, 2020, about one month before it was recovered from Brewer.
Fourth, on May 18, 2021, Brewer was arrested in Columbia for his alleged involvement in the armed robbery of a firearm from a victim. In that robbery, three armed males approached the victim and told him to empty his pockets and hand over the “thing.” A firearm was in the victim’s pocket. The victim handed over the firearm and fled, and as he did, shots were fired. When Brewer was arrested on this date, he was found with the .40 caliber pistol stolen from that victim.
Fifth, on February 26, 2022, Brewer was arrested again in Columbia for his alleged involvement in the shooting of two victims – one in the back and one above the left eye – from a vehicle travelling on River Drive in Columbia. Brewer again took the police on a chase that exceeded 100 miles per hour before he was arrested with suspected narcotics, a digital scale, $900 in U.S. currency, and a 9mm pistol.
Evidence presented in Court also indicated that Brewer is affiliated with a documented street gang.
Senior United States District Judge Terry L. Wooten sentenced Brewer to 15 years in federal prison, to be followed by 3 years of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) as well as the Columbia Police Department, Richland County Sheriff’s Department, South Carolina Highway Patrol, and South Carolina Law Enforcement Division (SLED), who conducted firearm and shell casing forensic examinations. Assistant United States Attorney Elliott B. Daniels prosecuted the case.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
As for the forensic examination of the firearm and shell casings, this case relied on ATF’s National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
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Civil complaint filed seeking over $800K from business email compromise schemeRead the Press Release
HOUSTON - A civil complaint has been filed seeking the forfeiture of $834,157.50 seized from a bank account being used to defraud a U.S. business, announced U.S. Attorney Alamdar S. Hamdani.
A business email compromise scheme (BEC) is a sophisticated scam, often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or “spoofing” legitimate business email accounts through social engineering or computer intrusion techniques. It causes employees of the victim company (or other individuals involved in legitimate business transactions with them) to transfer funds to accounts the scammers control.
The complaint was filed Jan. 24. According to allegations, in or about July 2022, authorities seized $834,157.50 held in a Houston bank account. The fraudsters allegedly controlled the account even though it appeared to be that of a legitimate company. Unidentified conspirators gained access to the victim company’s computer networks, including their email servers and accounts, through phishing attacks or the use of malware, according to the complaint.
From there, the hackers allegedly identified employees responsible for financial obligations and their contacts with other companies. The complaint further alleges perpetrators created a spoofed email address, posed as a vendor to which the company owed money and tricked them into wiring funds to an account the fraudsters controlled.
Authorizes then executed a warrant and seized the funds
The Secret Service conducted the investigation. Assistant U.S. Attorney Rick Blaylock is handling the matter.
Business Email Compromise scheme can be prevented. Here are some tips:
• Independently obtain mortgage payoff statements and confirm with verified and trusted sources.
• Independently verify the authenticity of information included in correspondence and statements.
• Enable Multi-Factor Authentication (MFA) on all email accounts.
• Routinely change passwords.
• Routinely monitor email account access, check for unauthorized email rules and forwarding settings.
• Restrict wire transfers to known and previously verified accounts.
• Pay using checks when the information cannot be independently verified.
• Have a clear and detailed Incident Response Plan.
A civil complaint is merely an allegation.
The government must establish that assets are subject to forfeiture.Cerritos Man Who Admitted to Causing Fatal Fentanyl Overdose Sentenced to 22½ Years in Federal Prison for Drug TraffickingRead the Press Release
LOS ANGELES – A Cerritos drug trafficker was sentenced today to 270 months in federal prison today for narcotics and firearms offenses, including providing fentanyl to a victim who later ingested the powerful synthetic opioid and died from it.
Shaun Alan Rosa, 45, was sentenced by United States District Judge Philip S. Gutierrez.
Rosa pleaded guilty in July 2022 to one count of conspiracy to distribute controlled substances and to maintain a drug-involved premises, one count of possession of firearms in furtherance of a drug trafficking crime, and one count of distribution of fentanyl. He has been in federal custody since September 2019.
According to court documents, from April 2015 to March 2018, Rosa directed a conspirator to rent and maintain an apartment in San Pedro for the purpose of storing and distributing narcotics and firearms. Other conspirators, including the victim, provided illegal drugs such as cocaine, Ecstasy, and fentanyl to Rosa for further distribution.
Rosa then directed a co-conspirator to pick up narcotics from other members of the conspiracy, transport the drugs to the San Pedro apartment and later distribute the drugs to other conspirators and to pick up money from these conspirators as payment for the drugs.
Rosa admitted in his plea agreement that, in June 2017 in Long Beach, he knowingly gave pills containing fentanyl to a co-conspirator, identified in court documents at “M.E.” The victim later ingested the pills, which led to his fatal overdose.
“Despite knowing about the tragic death of M.E. from a fentanyl overdose, defendant continued to distribute controlled substances, including the exceedingly dangerous drug of fentanyl,” prosecutors wrote in a sentencing memorandum.
In March 2018, at the San Pedro apartment, Rosa possessed approximately 233.4 grams (0.5 pounds) of fentanyl, 3.97 kilograms (8.76 pounds) of Ecstasy, two firearms, 49 rounds of ammunition, and drug paraphernalia, including digital scales and a pill press.
The FBI and the Los Angeles Police Department investigated this matter. The Long Beach Police Department provided assistance.
Assistant United States Attorneys Jenna W. Long of the Terrorism and Export Crimes Section and Jena A. MacCabe of the General Crimes Section prosecuted this case.
Cardiac Monitoring Company Settles Fraudulent Billing AllegationsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO, N.Y. – U.S. Attorney Trini E. Ross announced today that Beyond Reps, Inc. d/b/a IronRod Health and Cardiac Monitoring Services (“IronRod”) has agreed to pay $673,200.92 to resolve allegations arising under the False Claims Act that they submitted false claims to federal health care programs relating to remote cardiac monitoring services.
Assistant U.S. Attorney David M. Coriell, who handled the case, stated that IronRod is a healthcare solutions company with headquarters in Phoenix, Arizona. IronRod provides remote cardiac monitoring services, among other services. The Government alleges that between January 1, 2018 and April 30, 2021, IronRod utilized technicians who lacked required credentials to conduct remote cardiac monitoring readings. The government also alleges that between June 1, 2018 and August 20, 2018, IronRod misrepresented that it performed services in New York State in order to obtain higher reimbursements from Medicare for remote cardiac monitoring services.
“Providers that seek payment from federal health programs are required to follow laws meant to protect beneficiaries, as well as to protect the integrity of those programs,” said U.S. Attorney Ross. “Our office is committed to pursuing cases against any provider that cuts corners or seeks to obtain payments for which they are not entitled.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Coleen DeGroat. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. DeGroat v. Beyond Reps, Inc. et al., 20-cv-1262 (W.D.N.Y.). Ms. DeGroat will receive a share of the settlement.
The resolution of this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the Western District of New York and the U.S. Department of Health and Human Services Office of Inspector General.
California Man Who Made Lavish Purchases with CARES Act Funds Sentenced to 41 Months in PrisonRead the Press Release
CONCORD – Pierre Rogers, 44, of Irvine, California, was sentenced to 41 months in federal prison for conspiracy to commit wire fraud and bank fraud, United States Attorney Jane E. Young, William A. Kalb, Special Agent in Charge, Treasury Inspector General for Tax Administration, Northeast Field Division, and Timothy R. Benitez, Resident Agent in Charge, U.S. Secret Service, announced today.
According to court documents and statements made in court, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help businesses and individuals adversely affected by the COVID pandemic. The CARES Act created the Paycheck Protection Program (PPP), which offered low-interest loans to employers. Private lenders could participate in the PPP program. The loans, which were supposed to be used for payroll, were fully guaranteed by the government. If borrowers used the PPP loans for payroll and other approved expenses as intended, they could apply for loan forgiveness. The CARES Act also opened up the Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program. As with PPP loans, EIDL loans were to be used for payroll and other business expenses such as rent and mortgage.
Rogers and his co-defendant, Joshua Leavitt, applied for dozens of PPP and EIDL loans for several companies they owned, including Puro Trader (doing business as Yahyn) and Sunju. The applications inflated the companies’ revenues and number of employees, and provided false supporting documents, including tax filings purportedly filed with the IRS. In total, the defendant participated in 22 fraudulent loan applications and modification requests totaling over $4.8 million. Rogers obtained $803,756 in CARES Act funds.
The defendant also misused a significant portion of the CARES Act funds. For example, he spent $107,780 to purchase a 2011 Rolls Royce Ghost and approximately another $56,000 to purchase a Porsche. He also spent CARES Act funds on clothing and jewelry from luxury retailers such as Bottega Veneta, Cartier, and Bulgari; on resort stays; and on high-end meals such as sushi and steak.
“The CARES Act was passed during a particularly vulnerable moment in our history to help everyday Americans who were struggling to put food on the table. The defendant took advantage of the COVID crisis by spending fraudulently obtained taxpayer-backed funds on luxury items, while those who were truly entitled to the funds struggled to keep their businesses open and their employees paid.” said U.S. Attorney Young. “Working together with our law enforcement partners, we will vigilantly work to prosecute those who defraud pandemic relief programs.”
“The U.S. Secret Service is committed to investigating those individuals that took advantage of COVID-19 relief programs to ensure they are held accountable for the fraudulent activity,” stated Timothy Benitez, Resident Agent in Charge of the U.S. Secret Service. “This outcome is a direct result of the coordination between federal partners at TIGTA, USPIS and the U.S. Attorney’s Office.”
Leavitt previously pled guilty and is scheduled to be sentenced on March 6, 2023.
The case was investigated by the Treasury Inspector General for Tax Administration and Secret Service, with assistance from the U.S. Postal Inspection Service. The case is being prosecuted by Assistant U.S. Attorney Alexander S. Chen.
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Buffalo Woman Charged with Production of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Maria D’Amato, 28, of Buffalo, NY, was charged by criminal complaint with production of child pornography. The charge carries a maximum penalty of 30 years, and a fine of $250,000.
Assistant U.S. Attorney Franz M. Wright, who is handling the case, stated that according to the complaint, in June 2022, the Town of Tonawanda Police Department received a complaint that D’Amato had sexually assaulted a 14-year-old girl (Minor Victim). During the subsequent investigation, law enforcement searched a cell phone that belonged to the Minor Victim’s sister. The sister had located images and videos of the alleged assault, as well as text conversations between D’Amato and the Minor Victim, took screenshots, and then sent them to her own phone.
The complaint is the result of an investigation by the Federal Bureau of Investigation Child Exploitation Human Trafficking Task Force, under the direction of Acting Special Agent-in-Charge Darren Cox, and the Town of Tonawanda Police Department, under the direction of Chief James Stauffiger.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Brookline Doctors Indicted on Additional Tax ChargesRead the Press Release
BOSTON – Two Brookline physicians were charged in a superseding indictment today with tax evasion and a conspiracy to defraud the Internal Revenue Service.
Dr. Pankaj Merchia, 49, of Brookline and Boca Raton, Fla., and Dr. Shona Pendse, 50, of Brookline, were indicted on two counts of tax evasion each and one count of a conspiracy to defraud the IRS. Merchia was previously indicted on one count of health care fraud and three counts of money laundering in December 2022.
According to the charging documents, Merchia and Pendse conspired to use a sham $30 million transaction as a basis to take fraudulent tax deductions and then made false statements about the transaction to criminal investigators and in civil depositions. Specifically, Pendse allegedly provided her employer with a W-4 that claimed her to be tax exempt, thus ensuring her employer would vastly underwithhold federal income tax. It is further alleged that Merchia earned substantial income from third party business entities in 2017 and 2019, and Pendse earned substantial income from her employer in 2019 and 2020, but each willfully avoided paying taxes on that income.According to court documents, Merchia allegedly perpetrated two distinct health care fraud schemes. Specifically, Merchia allegedly billed former patients’ insurance companies for monthly rentals of Continuous Positive Airway Pressure (CPAP) and Bilevel Positive Airway Pressure (BiPap) machines years after the former patients had discontinued their use of the machines and/or returned the machines to Merchia’s office. It is further alleged that Merchia used the proceeds of this fraud to purchase an expensive home in Brookline.
Additionally, Merchia allegedly billed the insurance company of a family member over $400,000 for a monthly rental of a CPAP machine, despite knowing that the insurance carrier would not pay for treatment rendered by a family member. It is alleged that Merchia used the proceeds of this fraud to fund a wire transfer of $250,000 and to purchase at least $140,000 in securities.
The charges of money laundering and health care fraud provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. The charges of tax evasion and conspiracy to defraud the IRS provide for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.United States Attorney Rachael S. Rollins; Joleen Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Anthony M. DiPaolo, Executive Director of the Insurance Fraud Bureau of Massachusetts made the announcement today. Assistant U.S. Attorneys Lauren A. Graber of Rollins’ Health Care Fraud Unit and Evan D. Panich of Rollins’ Narcotics & Money Laundering Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Box Elder Man Sentenced for Illegal Possession of a FirearmRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. Circuit Judge Jonathan A. Kobes, sitting in federal district court in Rapid City, has sentenced a Box Elder, South Dakota, man convicted of Possession of an Unregistered Firearm. The sentencing took place on February 1, 2023.
Toby Acevedo, 52, was sentenced to 22 months in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Acevedo was indicted for Possession of a Firearm by a Prohibited Person and Possession of an Unregistered Firearm by a federal grand jury in March 2021. He pleaded guilty on October 14, 2022.
In July 2020, in Rapid City, Acevedo knowingly possessed an illegal shortened rifle, namely a Mossberg International, model 702 Plinkster, .22 Long Rifle caliber, semi-automatic rifle, having a barrel less than 16 inches in length, which was not registered to him in the National Firearms Registration and Transfer Record as required.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Acevedo was immediately remanded to the custody of the U.S. Marshals Service.
Bogalusa Man Indicted for Violation of the Federal Controlled Substances Act and Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA –TYLAR REDDITT, age 21, a resident of Bogalusa, Louisiana, was charged February 2, 2023, in a two-count indictment by a federal grand jury with violations of the Federal Gun Control and Federal Controlled Substances Acts, announced U.S. Attorney Duane A. Evans.
According to the indictment, REDDITT participated in a conspiracy to distribute a quantity of heroin in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(C), and 846. REDDITT is also charged with conspiracy to use and possess firearms in furtherance of his drug trafficking activities in violation of Title 18, United States Code, Section 924(o). On the drug count, REDDITT faces a maximum term of twenty (20) years imprisonment, a fine of up to $1,000,000.00, and at least three (3) years supervised release. For the firearms charge, REDDITT faces a maximum term of twenty (20) years imprisonment, a fine of up to $250,000.00, and up to three (3) years supervised release. Each count also requires that REDDITT pays a $100 mandatory special assessment fee at sentencing.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Washington Parish Sheriff’s Office, and the Bogalusa Police Department. The prosecution is being handled by Assistant United States Attorney Maurice E. Landrieu, Jr. of the Narcotics Unit for the United States Attorney’s Office.
Boca Raton Woman Indicted and Arrested for Violating a U.S. Coast Guard Captain of the Port OrderRead the Press Release
MIAMI – Colleen Marie Kilnapp, 56, of Boca Raton, Fla., has made her first appearance in federal court to face charges that she violated a Captain of the Port Order issued by U.S. Coast Guard (USCG) Captain of the Port, Miami.
A South Florida federal grand jury indicted Kilnapp on January 26, 2023, charging her with three counts of Violating a Captain of the Port Order. If convicted, she faces up to six years in prison.
According to indictment allegations, on February 10, 2020, Kilnapp was issued an order of the USCG Captain of the Port, Miami, restricting her vessel the COLLEEN MARIE from operating commercially as the vessel did not have a USCG Certificate of Inspection. USCG boarding teams subsequently found the COLLEEN MARIE operating as an illegal passenger vessel on three different occasions after Kilnapp was issued the order.
United States Attorney for the Southern District of Florida Markenzy Lapointe and Special Agent in Charge Zinnia James, USCG Investigative Service (CGIS) Southeast Region, made the announcement.
CGIS investigated this case with assistance from USCG Sector Miami. Assistant U.S. Attorney Marc Anton is prosecuting it.
An indictment contains mere allegations and defendants are presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov under case number 23-CR-60025.
Benoit, Mississippi Man Sentenced to 10 Years in Prison for Robbing a U.S. Postal EmployeeRead the Press Release
OXFORD, Miss. – A Benoit, Mississippi man was sentenced today to 10 years in prison for robbing a U.S. Postal Employee in September 2021.
Court documents indicate that in September 2021, Joshua Williams, 40, robbed a U.S. Postal Employee of mail, her cellphone, money, and car keys. He was caught shortly thereafter hiding near Benoit.
Williams appeared for sentencing on these offenses in federal court in Oxford on Thursday, February 2, 2023. U.S. District Judge Michael P. Mills sentenced Williams to a total of 120 months in prison to be followed by 3 years of supervised release. Williams was also ordered to pay $180 in restitution to the victim.
“The prosecution of individuals who choose to commit violent crimes always has been and always will be a priority for this office,” said U.S. Attorney Clay Joyner. “Hopefully this sentence will serve as a deterrent to those who would victimize others in misguided attempts for personal gain.”
“The protection of the United States Postal Service and its employees are two of the highest priorities of the Postal Inspection Service,” said Scott Fix, Inspector-in-Charge of the Houston Division. “The sentencing of Joshua Williams for the armed robbery of a Benoit, Mississippi Rural Carrier is an example of the commitment of Postal Inspectors to bring to justice those individuals that threaten the safety of our postal employees. We extend our appreciation to the Bolivar County Sheriff’s Office that assisted with this investigation.”
The Oxford U.S. Postal Inspection Office along with Bolivar County, Mississippi Sheriff’s Office investigated the case. The case was prosecuted by Assistant U.S. Attorney Paul Roberts.
Baltimore Woman Sentenced to 48 Months in Prison for Shooting Her Husband in a D.C. HotelRead the Press Release
WASHINGTON – Shanteari Weems, 50, of Baltimore, MD, was sentenced today to 60 months in prison, execution of the sentence suspended for all but 48 months, for aggravated assault in the July 21, 2022, shooting of her husband at the Salamander, previously known Mandarin Oriental Hotel, in Washington, D.C.
Weems pleaded guilty on November 28, 2022, to one count of aggravated assault and one count of carrying a pistol without a license. The Honorable Michael O’Keefe accepted the defendant’s plea and sentenced her to 60 months of incarceration with the execution of the sentence to be suspended as to all but 48 months for the aggravated assault, and 24 months of incarceration with the execution of the sentence for the carrying a pistol without a license, to be suspended as to all 24 months. Following her release, the defendant will be placed on 24 months of supervised probation.
According to the government’s evidence, on July 21, 2022, Weems drove down to the District from Baltimore. She confronted her husband (the victim) at the hotel regarding allegations that the victim had been molesting children at the defendant’s daycare. The defendant shot the victim in the neck and the left leg, shattering the victim’s femur. After shooting the victim, Weems barricaded the hotel room by placing her back against the door, preventing officers from coming inside. After approximately 25 minutes, officers forced entry and apprehended the defendant.
A search warrant was obtained and executed in the hotel room. Inside, officers found Weems’s firearm in her purse and a note written by Weems evidencing her intent to shoot the victim.
In announcing the sentence, U.S. Attorney Matthew Graves and Metropolitan Police Department Chief Robert J. Contee, III, commended the work of those who investigated the case from the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Garcia Clarke and Michelle Wicker, Assistant U.S. Attorneys Yasmin Emrani, Brian Yang, Shaniqua Butler, and Julian Ginos, and SODV interns Molly Patrick and Lexi Nitishin. Finally, they expressed appreciation for the work of Assistant U.S. Attorney LaVater Massie-Banks, who investigated, indicted, and prosecuted the case.
23 Arrested, Charged in East Texas Paycheck Protection Program-Related FraudRead the Press Release
SHERMAN, Texas – Nearly two dozen individuals have been named in a federal indictment charging them with violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today
The indictment, returned by a federal grand jury on Jan. 17, 2023, charges the defendants with a money laundering conspiracy. The following 23 defendants appeared before a federal magistrate judge this week:
KENDRICK LAVELL COLLINS, 42, of Aubrey;
LETISHA ANN STOVER, 41, of Richardson;
SPENCER LEONARD LEIGH, 35, of Everman;
DANUIELLE FOWLER EDNEY, 51, of Plano;
DIAMOND PLASHETTE EDWARDS, 24, of Grand Prairie;
TABITHA LASHAWN DEBERRY, 34, of Dallas;
AMOS WILSON, 56, of Dallas;
ANDREW DEMARCUS PENNY, 45, of Dallas;
DEMETRICS DEVON BLACK, 31, of Dallas;
JARRICK OTISHEY BUCKHANAN, 43, of Dallas;
JERICA JAREESE MATTHEWS, 31, of Anna;
JOHN GANTT, 35, of Dallas;
LEMAR MASHAWN COHEN, a/k/a LEMAR MARSHAWN COHEN, 36, of Dallas;
CHIBUIKE SAMUEL IWUH, 30, of The Colony;
CYNTHIA MECHELLE WILSON, 55, of Dallas;
DONTRELL LAMON AMIE, 42, of North Richland Hills;
ERIC JASON VAUGHAN, 49, of Arlington;
JEREMIAH LEE GANTT, 28, of Dallas;
JOSHUA MATTHEW BAHAM, 27, of Anna;
LESLEY ODELL BROWN, 32, of Carrollton;
MICHAEL ANDRE STUDAWAY, 26, of Dallas;
TAMARA DAWN THOMAS, 41, of Dallas; and
TIMOTHY DWAYNE HOSTON, 44, of Carrollton.
According to the indictment, the defendants are alleged to have conspired to launder the proceeds of wire fraud in order to conceal the nature, location, source and ownership of the money gained by fraud. The indictment further alleges that the conspirators would open bank accounts, use assumed business names, and transfer, withdraw, and move the money and use it for their own purposes. The source of the laundered funds is alleged to include fraud based on business email compromise, romance scams, unemployment insurance fraud, and Payroll Protection Program (PPP) fraud, and is alleged to be more than $3.5 million.
If convicted, the defendants each face up to 20 years in federal prison.
This case is being investigated by the Federal Bureau of Investigation’s Frisco Resident Agency and prosecuted by Assistant U.S. Attorneys in the Eastern District of Texas.
A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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2 February 2023
Youth Basketball Coach Arrested for Possession of Child PornographyRead the Press Release
HONOLULU – DWAYNE YUEN, a 49 year-old resident of Honolulu, was arrested today for possession of child pornography. Clare E. Connors, United States Attorney for the District of Hawaii, and Matthew Floyd, Acting Special Agent in Charge of the Honolulu Field Office of the Federal Bureau of Investigation (“FBI”), announced that the charge against YUEN was contained in a criminal complaint filed in federal court and unsealed upon his arrest. YUEN will make his first court appearance in the United States District Court on February 3, 2023, at 10:30 a.m. before United States Magistrate Judge Rom Trader.
The complaint and affidavit allege that YUEN was a youth basketball coach of mostly middle school and high school age girls in and around Oahu. In or around 2016, YUEN met the victim when she was a freshman in high school. YUEN was her basketball coach. While the victim was still a minor, in 2020, YUEN sent text message communications to her, including: sending sexually explicit photos of himself; asking her to perform sexual acts on him and vice versa; and asking her to send him sexually explicit images of herself. YUEN bought gifts for the victim and repeatedly offered to pay the victim additional sums of money if she would engage with him sexually (for example, if she would have “phone sex” with him). From a search warrant executed on YUEN’s Apple iCloud account, law enforcement also recovered sexually explicit images of the victim that she had sent to him upon his request or that he had recorded or captured from a live video chat without her knowledge.
“This complaint charges defendant with repeatedly taking sexual advantage of a minor who played on a team he coached,” said U.S. Attorney Connors. “The alleged conduct is a reprehensible violation of the trust both parents and the community place in adults responsible for their children’s athletic endeavors.”
"The alleged actions of Mr. Yuen are nothing short of disgraceful," said Acting Special Agent in Charge Floyd. "Our investigation shows he abused the power of his position as a trusted member of the community to exploit the most vulnerable - our keiki. Protecting our children and holding those who prey on them accountable is a top priority for the FBI. We will stop at nothing when investigating these heinous crimes."
The FBI is working to identify any individuals who may have been a victim of child sexual exploitation or who otherwise may have been affected by YUEN’s conduct. If you believe you or anyone else may have been affected, you may contact the FBI at:
Phone: (808) 673-2719
Website: www.fbi.gov/yueninvestigation
Email: [email protected]If indicted and convicted of the offenses in the complaint, the defendant would face up to 10 years’ imprisonment. The charges and information contained in the federal complaint are merely accusations, and the defendant is presumed innocent unless and until indicted and proven guilty beyond a reasonable doubt in a court of law.
The FBI is investigating the case, and the prosecution is being handled by Assistant U.S. Attorneys Rebecca Perlmutter and Christine Olson.
Worcester Postal Supervisor Sentenced for Mail TheftRead the Press Release
BOSTON – A supervisor for the U.S. Postal Service was sentenced today in federal court in Worcester for stealing packages containing cocaine on at least eight occasions.
Kevin Dombroski, 43, of Worcester, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 13 months in prison and three years of supervised release. In August 2022, Dombroski pleaded guilty to one count of theft of mail by an employee of the U.S. Postal Service.
Dombroski was employed as Postal Service Supervisor at the Worcester Main Post Office. On eight to 10 occasions, Dombroski stole packages that had been mailed from Puerto Rico to addresses in Worcester he believed would contain cocaine. Specifically, Dombroski removed said packages from the main processing area of the Post Office and took them into a private office where he would open the parcel and remove the narcotics before returning the package back to the floor for delivery. Dombroski then sold the contents to an acquaintance, who paid him $7,500 for each package.
United States Attorney Rachael S. Rollins; Matthew Modafferi, Special Agent in Charge of the Northeast Area Field Office of the U.S. Postal Service, Office of Inspector General; and Matthew Millhollin, Special Agent in Charge for Homeland Security Investigations in New England made the announcement. Assistant U.S. Attorney Kristen Noto of Rollins’ Worcester Branch Office prosecuted the case.
Woman who dealt drugs from her Lake Stevens restaurant sentenced to ten years in prisonRead the Press Release
Seattle – A 46-year-old Marysville, Washington woman, who co-owned a Lake Stevens, Washington restaurant used for drug trafficking, was sentenced today in U.S. District Court in Seattle to ten years in prison for distributing methamphetamine, heroin, and fentanyl, announced U.S. Attorney Nick Brown. Laura Rodriguez-Moreno has been in custody since she and five coconspirators were arrested on September 1, 2020. At today’s sentencing hearing, U.S. District Judge John C. Coughenour said, Rodriguez-Moreno had a leadership role in a large drug trafficking ring. “But more important than any other factor was that she involved her teen-age son in drug dealing, just days after he had been arrested” with a load of fentanyl pills, Judge Coughenour said.
“Ms. Rodriguez-Moreno was distributing pound quantities of methamphetamine and thousands of fentanyl pills. But what is most shocking is that she had her teen-age son engaging in drug distribution at her direction,” said U.S. Attorney Brown. “She and her husband put their restaurant and the security of their five children at risk when they became drug traffickers. Now those children are without their parents for significant time.”
“Ms. Rodriguez-Moreno is being held accountable not only for the distribution of large quantities of illegal and deadly narcotics, but also for utilizing her teenage son to further her drug distribution schemes,” said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division. “We will continue to work with our partners to protect our communities and save lives by removing these individuals.”
According to records filed in the case, Rodriguez-Moreno and her husband Jose Morales-Flores, 39, were part of a wide-ranging drug trafficking conspiracy. Members of the conspiracy distributed fentanyl, meth, and heroin in Seattle and North Puget Sound communities. In
her plea agreement, Rodriguez-Moreno admits distributing more than 16 kilos of methamphetamine and nearly a kilo of fentanyl pills. When law enforcement arrested Rodriguez-Moreno and her associates, they seized another 17 kilos of meth, nearly two kilos of heroin, thousands of fentanyl pills, three firearms, and more than $100,000 cash.
Law enforcement observed and listened as Rodriguez-Moreno directed her son to deliver ten pounds of methamphetamine to a customer parked at her restaurant, Fuente de Café, just days after her son had been arrested with a large amount of fentanyl pills. In the months that followed, she and her husband would take their son to drug meetings and have him deliver the drugs for them.
Prosecutors noted in their sentencing memo that Rodriguez-Moreno did not suffer from clouded judgement due to drug addiction. Her motivation was money. “Moreover, Rodriguez-Moreno knew what these drugs would do to other families, other kids. But she was blinded by greed and only focused on how distributing these drugs would help her and her family, not the pain and suffering her actions would cause others, or even her own children if caught,” Assistant United States Attorney C. Andrew Colasurdo wrote in his sentencing memo.
On October 19, 2021, Rodriguez-Moreno’s husband, Jose Morales-Flores, was sentenced to ten years in prison. However, instead of reporting to prison he cut off his GPS monitoring bracelet and became a fugitive. He is still being sought by law enforcement.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The investigation was conducted by the U.S. Drug Enforcement Administration (DEA), Snohomish Regional Drug Task Force, Seattle Police Department, FBI and the Skagit Interlocal Drug Enforcement Unit. The investigation was supported by the High Intensity Drug Trafficking Area (HIDTA).
The case was prosecuted by Assistant United States Attorneys C. Andrew Colasurdo and Stephen Hobbs.
Wisconsin Rapids Man Sentenced to 25 Years for Sexually Assaulting Children & Recording the AssaultsRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Timothy P. McDowell, 40, of Wisconsin Rapids, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 25 years in prison for producing child pornography. This term of imprisonment will be followed by 30 years of supervised release. McDowell pleaded guilty to this offense on October 25, 2022.
Law enforcement began their investigation into McDowell in October 2021 after they received information that McDowell was posting what appeared to be self-produced child pornography onto Kik. They searched the defendant’s home the next day and on his phone, found images and videos of the defendant sexually assaulting two young children. The defendant admitted producing these images and sending them to others on Kik.
Judge Conley found a 25-year sentence was warranted due to the abhorrent nature of the defendant’s conduct and because the defendant created the potential for endless victimization for the children by sharing the images on the internet.
The charge against McDowell was the result of an investigation conducted by the Wisconsin Department of Justice Division of Criminal Investigation and the Wood County Sheriff’s Office. Assistant U.S. Attorney Elizabeth Altman prosecuted this case.
Wholesale Drug Trafficker and Distributor Agrees to Plead Guilty to Drug and Firearm OffensesRead the Press Release
BOSTON – The leader of a Brockton-based drug-trafficking organization (DTO) agreed to plead guilty yesterday to gun and drug offenses.
Kevin Cardoso, 26, of Brockton, pleaded guilty to one count of being a felon in possession of a firearm and ammunition; one count of possession with intent to distribute over 500 grams of cocaine, over 400 grams of fentanyl and over 500 grams of methamphetamine; and one count of conspiracy to distribute and possess with intent to distribute over 500 grams of cocaine, over 400 grams of fentanyl and over 500 grams of methamphetamine. The Court deferred acceptance of the proposed plea agreement until sentencing, which U.S. District Court Judge Richard G. Stearns scheduled sentencing for June 1, 2023. Cardoso was initially arrested and charged by criminal complaint in December 2021. He was subsequently charged by an Information on Jan. 17, 2023.
According to court documents, Cardoso oversaw a DTO that distributed wholesale quantities of controlled substances, including cocaine, fentanyl and methamphetamine in and around the Brockton area. Multiple locations at which DTO members allegedly stored, prepared, or distributed narcotics were located during the investigation – some of which were identified based on the electronic location monitoring data from the ankle bracelet Cardoso’s was wearing at the time while on pretrial release for two pending state gun charges, as well as drug-trafficking related communications and images he was transmitting via his identified Snapchat account.
During an October 2021 search of a stash location Cardoso allegedly operated and managed in Dedham, at least 2,000 grams of cocaine, at least 3,000 grams of fentanyl, at least 5,000 grams of methamphetamine, drug packaging materials, blender parts, multiple respirators, press equipment (including a hydraulic press, press plates and various symbols, logos and emblems for drug-labeling purposes) and approximately $72,000 cash were recovered.
Additionally in October 2021, during a search of Cardoso’s apartment, a firearm and ammunition, at least 20 cellphones, over $26,000, an Audemars Piguet watch and a diamond pendant with the number “39” were recovered. A number of the seized phones contained drug-trafficking communications allegedly between Cardoso and others regarding the supply and/or distribution needs of the DTO’s members and its customer base. At the time of Cardoso’s arrest, law enforcement recovered over $6,000 from his person and vehicle, as well as three additional cellphones.
The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of possession with intent to distribute 500 grams and more of cocaine, 400 grams and more of fentanyl, and 500 grams and more of methamphetamine provides for a sentence of at least 10 years up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. The charge of conspiracy to distribute and possess with intent to distribute 500 grams and more of cocaine, 400 grams and more of fentanyl, and 500 grams and more of methamphetamine provides for a sentence of at least 10 years in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Boston Police Commissioner Michael Cox; Brockton Police Chief Brenda Perez; Bridgewater Police Chief Christopher D. Delmonte; East Bridgewater Police Chief Paul O’Brien; Westport Police Chief Keith A. Pelletier; Dedham Police Chief Michael D'Entremont; Plymouth Police Chief Michael E. Botieri; Newton Police Chief John F Carmichael Jr.; Suffolk County Sheriff Steven W. Tompkins; Bristol County Sheriff Thomas Hodgson; and Plymouth County Sheriff Joseph D. McDonald made the announcement today. Assistant U.S. Attorney Kaitlin R. O’Donnell of the Organized Crime & Gang Unit is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
West Yellowstone man sentenced to three years in prison for illegal possession of ammunitionRead the Press Release
MISSOULA — A West Yellowstone man who admitted to illegally possessing ammunition after having been convicted of possessing unregistered improvised bombs was sentenced today to three years in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Charles Gibson Bailey, 36, pleaded guilty in October 2022 to felon in possession of ammunition.
U.S. District Judge Dana L. Christensen presided.
The government alleged in court documents that in May 2020, Bailey was sentenced in U.S. District Court to 40 months in prison for conviction of possessing unregistered improvised bombs. In February 2022, the probation office filed a petition to revoke Bailey’s supervised release following two encounters between Bailey and a West Yellowstone Police officer. The court revoked Bailey’s supervised release and sentenced him to three months in custody. During that same time, the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated Bailey and executed a search warrant on his residence and vehicle in April 2022. Agents seized 14 .40-caliber bullets from Bailey’s truck. The headstamps on the bullets were obliterated.
Assistant U.S. Attorneys Timothy J. Racicot and Ryan G. Weldon prosecuted the case, which was investigated by the ATF, the West Yellowstone Police Department, and the Federal Protective Service.
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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Walton County Resident Convicted of Possessing Child Sexual Abuse MaterialRead the Press Release
ATHENS, Ga. – A Walton County resident was convicted by a federal jury late yesterday afternoon of possession of child sexual abuse material (CSAM) resulting from a GBI-led undercover investigation of an online peer-to-peer sharing network.
Johnathan Remsen, 37, of Loganville, Georgia, was found guilty of possession of child pornography on Feb. 1 following a two-day trial that began on Jan. 31 before U.S. District C. Ashley Royal. Remsen faces a maximum of 20 years imprisonment to be followed by a maximum supervised release term of life and a $250,000 fine. In addition, Remsen will have to register as a sex offender for life upon release from prison. Sentencing should occur within the next 90 days. There is no parole in the federal system.
“After a lengthy investigation and subsequent trial, Johnathan Remsen is finally being held criminally accountable for willfully downloading hundreds of images and videos of the sexual abuse and exploitation of children, including extremely young children,” said U.S. Attorney Peter D. Leary. “Every time a person views child sexual abuse material, they become complicit in the appalling abuse of a child. Our office will push for the federal prosecution of these criminal voyeurs.”
“The victimization of a child doesn’t end when that child’s pornographic images are recorded. Every time an individual like Remsen possesses those images and views them for personal gratification, that child is victimized again and again,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI will always make it a priority to protect our most vulnerable assets, our children.”
“Federal prosecution sends a clear message that downloading and viewing child sexual abuse material is a serious crime. The GBI’s Child Exploitation and Computer Crimes Unit investigates numerous cases just like this one and will not slow down until these perpetrators are held accountable. We’ll continue to work with strong federal partners, like the United States Attorney’s Office, to seek justice for these vulnerable victims,” said GBI Director Mike Register.
According to court documents and evidence presented at trial, GBI conducted an undercover investigation on the peer-to-peer sharing network BitTorrent in July 2017. An undercover agent received 29 videos containing CSAM from an IP address traced back to a Walton County residence where Remsen resided. Law enforcement searched the residence in Jan. 2018, recovering a computer tower belonging to Remsen that contained 2,357 picture files and 196 video files of suspected CSAM. Remsen was interviewed by law enforcement and made statements indicating that he “accidentally” downloaded CSAM, and then later stated that it was not an accident. He further admitted that he looked at CSAM, but he never meant to download or keep it. The explicit photos and videos contained child sexual abuse material of children 12 years old and younger.
The case was investigated by the GBI and the FBI.
Assistant U.S. Attorney Alex Kalim and Criminal Chief Leah McEwen are prosecuting the case.
Volusia County Man Sentenced to More Than 5 Years in Federal Prison for Using His Missing Father’s Identity to Steal Social Security BenefitsRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Robert Butzlaff (57, Volusia County) to 5 years and 10 months in federal prison for fraudulent use of an unauthorized access device and aggravated identity theft. As part of his sentence, the court also ordered Butzlaff to pay restitution in the amount of $57,296, and entered an order of forfeiture in the amount of $57,296, the proceeds of the access device fraud. A federal jury had found Butzlaff guilty on September 21, 2022.
According to evidence presented at trial, Social Security beneficiary M.B. was reported missing in October 2014 and has never been located. M.B.’s disappearance was not reported to the Social Security Administration (SSA) and SSA continued to make benefit payments on his behalf. M.B.’s SSA benefits were being deposited into an account held jointly with his son, Butzlaff, at the time of his disappearance. Following M.B.’s disappearance, Butzlaff opened a new bank account using M.B.’s personally identifiable information and redirected M.B.’s SSA benefits to the new account. The new account was solely in M.B.’s name. Butzlaff obtained and used two debit cards issued in the name of M.B. to withdraw the funds that were being deposited by SSA into the new account. Butzlaff used the SSA funds intended for M.B. for his own personal expenses.
“This sentence of 70 months’ imprisonment holds Mr. Butlzaff accountable for intentionally misusing Social Security benefits, intended for his father, for his own personal gain. This is a federal crime, and we will continue to pursue perpetrators of Social Security fraud,” said Gail S. Ennis, Inspector General for the Social Security Administration Office of the Inspector General. “I want to thank the Ormond Beach Police Department, the U.S. Attorney’s Office, and Special Assistant U.S. Attorney Suzanne Huyler for their efforts in investigating and prosecuting this case.”
This case was investigated by the Social Security Administration, Office of the Inspector General and the Ormond Beach Police Department. It is being prosecuted by Special Assistant United States Attorney Suzanne Huyler.
U.S. Attorney Talbert and California Attorney General Bonta Announce a Nearly $26 Million Settlement with Medical Provider in the Central ValleyRead the Press Release
SACRAMENTO, Calif. — U.S. Attorney Phillip A. Talbert and California Attorney General Rob Bonta today announced a nearly $26 million settlement against Central California medical provider Clinica Sierra Vista (CSV) for underreporting its income in violation of the California False Claims Act and the federal False Claims Act. CSV, which serves customers in California’s Kern, Fresno, and Inyo Counties, initially and voluntarily reported its conduct to the U.S. Attorney’s Office for the Eastern District of California (USAO) and the California Department of Justice’s Division of Medi-Cal Fraud and Elder Abuse (DMFEA). DMFEA and the USAO investigated the case and negotiated the settlement, working with the California Department of Health Care Services and the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). Of the total $25.98 million settlement amount, California will receive $15.59 million and the federal government will receive $10.39 million.
“It’s important for medical providers to report accurately so that taxpayers aren’t overcharged for services with their dollars,” said U.S. Attorney Talbert. “We encourage others to follow the example of Clinica Sierra Vista in self-reporting overcharges and remain committed to working cooperatively to eliminate fraud.”
“When companies take advantage of the Medi-Cal system, they harm patients across California who rely on the program for essential health care services,” said Attorney General Rob Bonta. “I commend the new management at Clinica Sierra Vista for coming forward, and for working with us and our partners to resolve their violations. This settlement will return the money where it belongs: to support California's Medi-Cal program and the communities it serves. I encourage all providers to conduct regular internal investigations and self-disclose potential violations.”
According to investigators, certain former executives at Clinica Sierra Vista knowingly submitted false information in the course of required regular financial reports made to California, thereby enabling CSV to receive excessive payments from the Medi-Cal program. The company’s new management discovered these violations after an internal investigation and voluntarily disclosed them to authorities.
Providers who believe they may have violated the federal or California False Claims Act should follow the HHS-OIG Provider Self Disclosure Protocol, which establishes a process for providers to voluntarily identify, disclose, and resolve instances of potential fraud involving federal health care programs, including Medicaid.
"Providers who defraud government health care funds, such as Medi-Cal, for illegitimate financial gain, prevent valuable taxpayer dollars from being used for their intended purpose,” said Special Agent in Charge Steven J. Ryan. “HHS-OIG’s Self Disclosure Protocol allows providers to come forward if they believe they have violated the False Claims Act, which helps us identify, investigate, and resolve cases of Medicare fraud.”
Assistant U.S. Attorney Colleen Kennedy handled the civil investigation for the United States.
DMFEA protects Californians by investigating and prosecuting those who defraud the Medi-Cal program as well as those who commit elder abuse. These settlements are made possible only through the coordination and collaboration of governmental agencies, as well as the critical help from whistleblowers who report incidences of abuse or Medi-Cal fraud at oag.ca.gov/dmfea/reporting.
Two Sacramento Men Indicted for Conspiring to Distribute Fentanyl and MethamphetamineRead the Press Release
SACRAMENTO, Calif. — On Jan. 26, 2023, a federal grand jury returned an eight-count indictment against Gilbert Ramirez, 25, and Michael Valentino Lovato, 33, both of Sacramento, charging them with conspiracy to distribute and possess with intent to distribute fentanyl and methamphetamine, distribution of fentanyl and methamphetamine, and possession with intent to distribute fentanyl, U.S. Attorney Phillip A. Talbert announced.
The indictment was unsealed today following the arrest of both defendants.
According to court documents, from April through July 2022, Ramirez and Lovato worked with each other and others to distribute over 500 grams of methamphetamine and over 400 grams of fentanyl in Sacramento County. On at least five separate occasions, Ramirez and Lovato distributed fentanyl.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Sacramento Police Department; and the Yolo County District Attorney’s Office. Assistant U.S. Attorney Emily G. Sauvageau is prosecuting the case.
If convicted, the defendants face a maximum statutory penalty of life in prison and a $10 million fine for the conspiracy charge, plus additional penalties for the distribution and possession charges. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Two Men Sentenced to Federal Prison for Transporting CocaineRead the Press Release
MONROE, La. – United States Attorney Brandon B. Brown announced that two Tennessee men who were stopped for a traffic violation while driving through Louisiana and found to have cocaine in their vehicle have been sentenced. United States District Judge Terry A. Doughty sentenced the two men as follows:
Jalyn Thompson, 21, of Mt. Juliet, Tennessee, was sentenced to 70 months in prison, and Derek Tipps, 21, of Dickson, Tennessee, was sentenced to 120 months in prison. Both will be under supervised release for 5 years following their release from prison.
On October 20, 2021, a vehicle was stopped by Louisiana State Police troopers for a traffic violation outside of Monroe, Louisiana. Thompson was driving the vehicle and Tipps was a passenger. The story they provided to law enforcement officers raised suspicions and a K-9 dog was summoned to the scene to assist. Upon arrival, the drug dog alerted on the vehicle and Thompson and Tipps admitted to having drugs in the vehicle. A backpack was found in the trunk which contained 25 pounds of cocaine. Both men were arrested and subsequently indicted for possession with intent to distribute cocaine. Thompson and Tipps both pleaded guilty to the charge on May 3, 2022.
The case was investigated by the U.S. Drug Enforcement Administration Joint Task Force and the Louisiana State Police and prosecuted by Assistant U.S. Attorney Robert F. Moody.
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Two Men Convicted Following Federal Fraud Conspiracy Trial for $1 Million “Free Bankruptcy” Scheme to Strip Liens from 100 CarsRead the Press Release
INDIANAPOLIS- A federal jury has found Brian Fenner, 47, of Indianapolis and Dennis Birkley, 63, of Wisconsin, guilty on all charges following a six-day trial. The two men were each convicted of one count of conspiracy, fourteen counts of fraud, and three counts of money laundering.
“These defendants engaged in a brazen and long running fraud scheme, illegally enriching themselves at the expense of financially distressed individuals and their lenders,” said Zachary A. Myers, United States Attorney for the Southern District of Indiana. “These fraudsters repeatedly lied and created false documents to exploit Indiana regulators and the bankruptcy process. Complex economic crimes are a federal prosecution priority, and these convictions demonstrate that those who choose to engage in these schemes will be held accountable.”
“Those who prey on consumers in financial distress, cause great harm to the lenders, and abuse the bankruptcy process to carry out their fraudulent activities across the nation strike at the very core of the integrity of the bankruptcy system and will not be tolerated,” stated Nancy J. Gargula, United States Trustee for Indiana and Southern and Central Illinois (Region 10). “We appreciate the commitment of U.S. Attorney Myers and our law enforcement partners to holding those who abuse the bankruptcy system accountable, as well as the efforts of the U.S. Attorney’s Office, FBI, and our law enforcement partners who helped bring these defendants to justice.”
According to court documents and evidence introduced at trial, between 2013 and 2016, Fenner promoted the “Sperro free bankruptcy program” nationwide to financially distressed people who owed more in car loans than their cars were worth. Through this purported “free bankruptcy program,” Fenner promised to pay the debtors’ bankruptcy attorneys’ fees if they turned over their vehicles to him. Numerous people from across the country signed on with the program and surrendered their vehicles to Fenner, including from as far away as California and Arizona. Fenner arranged for the debtors’ cars to be towed to his lots in Indianapolis for outlandish fees.
Indiana law required towing and storage companies to hold auctions to sell vehicles to satisfy unpaid debts and give the auto loan holders any proceeds of the sale exceeding the towing and storage fees. Fenner then pretended to “sell” the cars at “auctions” to cover the exorbitant towing and storage “fees.” These fraudulent auctions were part of a series of fraudulent documents and lies submitted to the Indiana Bureau of Motor Vehicles, which resulted in the “buyer” receiving a free-and-clear car title from the BMV. Birkley and his company, AMI Asset Management, were the successful bidders for all 100 vehicles obtained by Fenner from debtors. Birkley falsely claimed to have paid Fenner the exact amount Fenner claimed he was owed for towing and storage fees, leaving nothing to satisfy the lien of the lenders or return to the individuals. In fact, Birkley and Fenner were engaged in the scheme together, and Birkley did not pay Fenner anything for the cars to which Birkley fraudulently obtained title.
Instead, once Birkley received vehicles with titles clear of liens from banks or anyone else, he sold the vehicles, sometimes at a real public auction, and often received thousands of dollars in profit, which he split with Fenner. Birkley and Fenner illegally obtained over $1 million through their fraud. In the end, the scheme left the financially distressed individuals with no vehicles but still with the vehicle loan debt, which they were often unable to discharge in bankruptcy.
The charges resulted, in part, from a referral by the U.S. Trustee for Region 10 to the U.S. Attorney for the Southern District of Indiana. This case was investigated by the FBI and the Indiana State Police, with assistance from the Department of Justice’s U.S. Trustee Program, in collaboration with the Southern Indiana Bankruptcy Fraud Working Group coordinated by the U.S. Trustee.
U.S. Attorney Myers thanked Assistant U.S. Attorneys Kate E. Olivier and Bradley P. Shepard, who prosecuted this case.
U.S. District Court Judge Richard L. Young presided over the trial and ordered that Fenner and Birkley be sentenced in early May of 2023. Both face up to 20 years in prison followed by 3 years of supervised release. Actual sentences are determined by a federal district court judge and are typically less than the maximum penalties.
See related prior release Here.
Tuscaloosa County Man Arrested in New York on Gun ChargesRead the Press Release
BIRMINGHAM, Ala. – Yesterday, federal agents arrested a Tuscaloosa County man in New York on gun charges, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Marcus Watson.
A three-count indictment filed in U.S. District Court in January charges Darterrius Dewayne Washington, 23, of Woodstock, Alabama, with possession of a machine gun part, engaging in the business of dealing firearms without a license, and making a firearm in violation of the National Firearms Act.
According to the indictment, between August 2022 and October 2022, Washington engaged in the business of dealing firearms without a license. During that time, Washington made a Swift Link, an AR-style machinegun conversion device, and also made a “Glock switch”, a conversion device designed to illegally convert a semiautomatic Glock pistol into a fully automatic machine gun.
ATF investigated the case. Assistant U.S. Attorney Brittney L. Plyler is prosecuting 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.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Three Individuals Charged with Operating Multimillion-Dollar Elder Fraud SchemeRead the Press Release
A federal grand jury in Las Vegas returned an indictment yesterday charging three individuals with operating a mail fraud scheme that defrauded thousands of U.S. victims, many of whom were elderly and vulnerable.
According to court documents, Kimberly Stamps, 46, of Gilbert, Arizona; John Kyle Muller, 56, of Boulder, Colorado; and Barbara Trickle, 78, of Las Vegas, conspired to operate a fraudulent mass-mailing scheme that deceived thousands of consumers into paying fees for falsely promised prizes. The indictment alleges that, from 2012 to 2018, the defendants mailed millions of prize notices that led victims to believe they were specially chosen to receive a large cash prize and would receive the prize if they paid a small fee. Victims who paid the requested fee, however, did not receive the promised cash prize. Although the notices appeared to be personalized correspondence, they were merely mass-produced form letters that were bulk-mailed to recipients whose names and addresses appeared on mailing lists purchased and rented by the defendants.
“The department is committed to investigating and prosecuting mass-market schemes that harm seniors and other vulnerable persons,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We devote substantial resources to these investigations and prosecutions, in furtherance of our commitment to protecting the financial security of all Americans.”
“Today’s indictment reflects the commitment of Postal Inspectors to protect older Americans from scams that prey on the vulnerable,” said Inspector in Charge Eric Shen of the United States Postal Inspection Service (USPIS) Criminal Investigations Group. “These individuals took advantage of the euphoria of winning a prize to bilk victims out of their money, when in fact they knew there was no prize waiting; all while violating a previous cease and desist order to stop their fraudulent behavior. Now they have been brought to justice for their crimes and will face their comeuppance for their illegal activity.”
The indictment alleges that Stamps and Muller selected and edited the prize-notice mailings, set the mailing schedules, and collected and processed victim payments. Trickle – aware of the deceptive nature of the mailings and that victims were in fact deceived – produced the physical mailings, introduced them to the U.S. Mail, and assisted with managing the data that Stamps and Muller used to target consumers for repeated victimization.
According to the indictment, Stamps, Muller, and Trickle continued to operate their fraudulent mass-mailing scheme in violation of a United States Postal Service cease-and-desist agreement and consent order reached in 2012. The agreement and order had permanently barred Stamps and anyone working with her from mailing fraudulent prize notices.
The indictment charges each of the three defendants with conspiracy to commit mail and wire fraud, along with multiple counts of mail fraud and wire fraud. The defendants are expected to make their initial appearances on Feb. 15 before a U.S. magistrate judge in the U.S. District Court for the District of Nevada. Each charge in this case carries a statutory maximum sentence of 20 years in prison, and a statutory maximum fine of $250,000 or twice the gross gain or gross loss from the offense. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The USPIS investigated the case.
Trial Attorneys Carolyn Rice and Charles Dunn of the Department of Justice Civil Division’s Consumer Protection Branch prosecuted this case, with assistance from the U.S. Attorney’s Office for the District of Nevada.
The department’s extensive and broad-based efforts to combat elder fraud seeks to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors, and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish, and other languages are available.
For more information about the Consumer Protection Branch, visit its website at www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the District of Nevada visit their websites at www.justice.gov/usao-nv.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Three Charged in Connection with Deadly Fentanyl-Laced OverdoseRead the Press Release
AUSTIN, Texas – A federal grand jury in Austin recently returned an indictment charging a local man and two women with five counts related to fentanyl distribution resulting in death and serious bodily injury.
Court documents allege that David Lee Jr., 45, and Virginia Zepeda, 43, of Austin, along with Jackie Lynne Chester, 36, of Taylor, possessed and sold counterfeit oxycodone and other fake prescription pills containing traceable amounts of fentanyl, leading to the death of at least one person.
The defendants have each made their initial court appearances. Lee is charged with one count of conspiracy to distribute fentanyl, one count of distribution of fentanyl causing death and serious bodily injury, and three counts of possession with intent to distribute and distribution of fentanyl. If convicted, he faces a maximum penalty of 20 years in prison on the conspiracy charge, 20 years to life imprisonment on the distribution causing death charge and 40 years imprisonment on each of the three possession charges. Lee pleaded not guilty to all charges on Jan. 11, 2023.
Zepeda and Chester are each charged with one count of conspiracy to distribute fentanyl. If convicted, they each face a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas and Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration Houston Division made the announcement.
The DEA, Williamson County Sheriff’s Office and Guadalupe County Sheriff’s Office are investigating the case.
Assistant U.S. Attorney Mark Marshall is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Swea City Man Pleads Guilty to Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine pled guilty on February 1, 2023, in federal court in Sioux City.
Joey Post, 34, from Swea City, Iowa, was convicted of conspiracy to distribute methamphetamine. At the plea hearing, evidence showed that from February 2022 through May 2022, Post and others distributed 1.5 kilograms of methamphetamine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Post remains in custody of the United States Marshal pending sentencing. Post faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $10,000,000 fine, and at least five years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Patrick T. Greenwood and was investigated by the Iowa Department of Narcotics Enforcement, Kossuth County Sheriff’s Office, and Iowa DCI Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-3029. Follow us on Twitter @USAO_NDIA.
Statement from Attorney General Merrick B. Garland Regarding United States v. RahimiRead the Press Release
The Justice Department tonight issued the following statement from Attorney General Merrick B. Garland following the decision of the U.S. Court of Appeals for the Fifth Circuit in United States v. Rahimi.
“Nearly 30 years ago, Congress determined that a person who is subject to a court order that restrains him or her from threatening an intimate partner or child cannot lawfully possess a firearm. Whether analyzed through the lens of Supreme Court precedent, or of the text, history, and tradition of the Second Amendment, that statute is constitutional. Accordingly, the Department will seek further review of the Fifth Circuit’s contrary decision.”
St. Louis Man Facing Charges Associated with Nonfatal Carjacking Charged with Second, Fatal CarjackingRead the Press Release
ST. LOUIS – A St. Louis, Missouri man already facing charges for one non-fatal carjacking in August was indicted on charges Wednesday that allege he committed a fatal carjacking in July.
The superseding indictment alleges that Loyse Dozier, 20, discharged a firearm during the fatal carjacking of a 2014 Mercedes sedan on July 10, 2022.
Court documents indicate that carjacking occurred at a market in the 300 block of Chambers Road in Riverview, in St. Louis County.
Dozier now faces charges of carjacking resulting in death, brandishing and discharging a firearm during a crime of violence, resulting in death, attempted carjacking resulting in serious bodily injury, possession with the intent to distribute fentanyl, possessing a firearm in furtherance of a drug trafficking crime and possession of a firearm as a previously convicted felon.
A prior indictment and criminal complaint also allege that Dozier attempted to take a 2019 Kia Optima at gunpoint on August 1 from a woman who was sitting in her car in the parking lot of the Walgreens at 1400 North Grand Boulevard in St. Louis. A gunman approached the woman and demanded her keys, then shot her multiple times after she handed the keys over. The gunman fled when an off-duty Florissant Police officer working security inside the store ran outside.
Shell casings recovered at the Walgreens matched casings found at the market, the complaint says. A cell phone belonging to Dozer was found in the Kia and when he was arrested he was caught with a gun, the indictments and complaint allege. Dozier is a previously convicted felon and barred from possessing a firearm.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the St. Louis Metropolitan Police Department, the St. Louis County Police Department and the FBI. Assistant U.S. Attorney Matthew Martin is prosecuting the case.
South Texas Supplier in Interstate Narcotics Distribution Network Sentenced to 14 Years in PrisonRead the Press Release
AUSTIN, Texas – A Mexican national was sentenced in federal court in Austin last week to 14 years in prison for his role in a narcotics distribution network that spanned the U.S.
According to court documents, Victor Penaloza-Calderon, aka Cuñado, 37, of Michoacan, Mexico was the source of supply for hundreds of kilograms of methamphetamine that was routed to Austin for distribution in and around the city, as well as in states as far away as Wisconsin and North Carolina. An operation led by the Drug Enforcement Administration has resulted in the arrests and convictions of 29 conspiracy members and, in the process, has dismantled the distribution organization.
The leader of the distribution organization, Karl Beck, was sentenced to 20 years in prison. There have been 29 defendants sentenced from the Organized Crime Drug Enforcement Task Force’s (OCDETF) Operation Glass Joe. Two additional defendants have been indicted and await trial.
“Proving how critical our law enforcement partnerships are, this multi-agency operation has completely dismantled an organization responsible for distributing narcotics in communities across the nation,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “As of today, the defendants in this conspiracy have been sentenced to a total of 2,907 months in federal prison. That’s your justice system at work.”
“This Drug Trafficking Organization embedded itself in communities across the nation, including Texas, through distribution cells,” said Special Agent in Charge Daniel C. Comeaux of the DEA Houston Division. “The number of arrests and drug seizures in this case exemplifies DEA’s continued effort to bring those who attempt to profit from our communities to justice.”
“This federal prison sentence sends a clear message that the FBI and our law enforcement partners will continue to work diligently to hold criminals who are bringing methamphetamine and other dangerous drugs into our communities accountable for their actions,” said Special Agent in Charge Oliver E. Rich Jr of the FBI San Antonio Division.
This case was investigated by the DEA; FBI; Austin Police Department; Texas Department of Public Safety; Cedar Park Police Department; Pflugerville Police Department; Bastrop County Sheriff’s Office; and Travis County Sheriff’s Office.
Assistant U.S. Attorney Dan Guess prosecuted the case.
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Six Members of Drug Distribution Ring Are Sentenced to PrisonRead the Press Release
CHARLOTTE, N.C. – Six members of a poly-drug trafficking ring have been sentenced to prison, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD), join U.S. Attorney King in making today’s announcement.
“The six defendants were members of a drug trafficking organization that distributed deadly drugs like fentanyl throughout Charlotte,” said U.S. Attorney King. “In keeping with our efforts to protect the community, we will continue to partner with our federal, state and local law enforcement partners to identify and prosecute trafficking networks that spread drugs and drug-induced violence in our community.”
“Drug trafficking often has a direct link to violent crime,” said ATF Special Agent in Charge Mims. “When we can stop a major trafficking network and disrupt the flow of drugs into our communities, we have a better chance of decreasing violent crime and keeping our streets safe.”
U.S. District Judge Kenneth D. Bell sentenced the six defendants as follows:
- Jakieran Harris, 27, of Charlotte, was sentenced to 108 months in prison, followed by three years of supervised release.
- Laricco Eugene Sherrill, Jr., 23, of Charlotte, was sentenced to 84 months in prison, followed by four years of supervised release.
- Marquez Maxwell, 27, of Charlotte, was sentenced to 54 months in prison, followed by three years of supervised release.
- Quentin Nathaniel Stowe, 28, of Charlotte, was sentenced to 48 months in prison, followed by three years of supervised release.
- Brian Clinton, 24, of Charlotte, was sentenced to 42 months in prison, followed by three years of supervised release.
- Sadarian Armstrong, 41, of Charlotte, was sentenced to 24 months in prison, followed by three years of supervised release.
According to court documents and court proceedings, beginning as early as January 2020 through March 2022, the six men were members of a drug trafficking organization (DTO) that distributed narcotics in Mecklenburg County and surrounding areas. Court records show that the DTO used several residences in Charlotte, commonly referred to as “trap houses,” as bases of operation from which they sold the drugs. Over the course of the investigation, law enforcement seized from DTO members and the trap houses fentanyl, methamphetamine, cocaine, cocaine base, and marijuana, drug paraphernalia, digital scales, several firearms and ammunition, and over $63,650 in drug proceeds.
In making today’s announcement U.S. Attorney King credited the ATF and CMPD’s Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF program can be found at https://www.justice.gov/OCDETF.
Assistant United States Attorney Taylor G. Stout, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Sioux City Man Sentenced to Federal PrisonRead the Press Release
A Sioux City man who was selling methamphetamine around the Sioux City area was sentenced February 1, 2023, to more than 4 years in federal prison.
Matthew Antonovich, age 39, from Sioux City, Iowa, received the prison term after a June 21, 2022, guilty plea to felon in possession of a firearm and conspiracy to distribute methamphetamine.
In a plea agreement, Antonovich admitted to conspiring to sell methamphetamine around the Sioux City area. Antonovich is a convicted felon and was unlawfully in possession of a short-barreled shotgun.
Antonovich was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Antonovich was sentenced to 50 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Antonovich is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by Iowa Division of Narcotics Enforcement, Woodbury County Sherriff’s Department, Sioux City police Department, South Sioux City Police Department, Nebraska State Patrol, the United States Postal Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4041.
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Shoreline, Washington man pleads guilty to possessing ammunition as part of an arsenal he had at downtown Seattle hotelRead the Press Release
Seattle –A 45-year-old Shoreline, Washington man pleaded guilty today in U.S. District Court in Settle to unlawful possession of ammunition, announced U.S. Attorney Nick Brown. Rustam Yusupov faces up to ten years in prison when sentenced by U.S. District Judge John C. Coughenour on May 2, 2023.
According to records filed in the case, Seattle Police Officers were called to a downtown Seattle hotel room on March 10, 2022, with reports of a distraught man asking the hotel staff for assistance. When the officers went to the hotel room, they noted that furnishings had been over-tuned, with the mattress moved to block the door. Police found two firearms in the room – including a “ghost gun,” -- a firearm without a serial number.
Due to his agitated state, Yusupov was transported for medical attention. As officers were preparing to leave the hotel, a staff member working in the garage alerted them to weapons he had seen in Yusupov’s car. In the car were multiple firearms – including two additional “ghost guns.” In all, police recovered:
- FMK Firearms Model AR-1 Extreme 5.56 NATO caliber rifle.
- Aero Precision Model X15 5.56 caliber pistol.
- Ruger Model 5.7 5.7x28mm caliber pistol.
- Ruger Model 18029 Precision 6.5mm Creedmoor/.308 Winchester Caliber rifle.
- Kel-Tec Model Sub 2000 9x19mm caliber rifle.
- A North American Arms Corp. Derringer .22 revolver.
- Two Polymer80 9mm caliber pistols with no serial number.
- A skeletonized AR-15 5.56 NATO caliber pistol with no serial number.
In the plea agreement Yusupov admits that he is the subject of a domestic violence protection order. He had been ordered by King County Superior Court to surrender all his weapons. In March 2020 and again in May 2021, Yusupov was ordered to surrender his firearms and had signed paperwork and informed law enforcement that he no longer possessed any firearms.
When officers searched Yusupov’s home, they recovered two inert grenades; a container for 120mm rocket projectiles; hundreds of rounds of assorted ammunition (both handgun and rifle caliber), including 600 rounds of Israel Military Industries 5.56mm caliber ammunition; multiple handgun and rifle magazines (some loaded); assorted pistol slides; a ballistic vest with rifle plates; a bolt-action rifle; and assorted firearms accessories and firearms parts.
In the plea agreement Yusupov agrees to forfeit multiple firearms and ammunition to the government.
The case is being investigated by the Seattle Police Department and the Bureau of Alcohol, Tobacco, Firearms, & Explosives (ATF).
The case is being prosecuted by Assistant United States Attorney Todd Greenberg.
Schenectady Man Indicted for Producing and Receiving Child PornographyRead the Press Release
ALBANY, NEW YORK – Shaun Morant, age 27, of Schenectady, New York, was indicted Tuesday for producing and receiving child pornography.
United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.
The indictment alleges that in January 2022, Morant produced and received child pornography involving a 10-year old girl, and that between January 2020 and April 2022, Morant received child pornography involving a ten-year old boy. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
On the producing child pornography count, Morant faces at least 15 years and up to 30 years in prison, if convicted. On the receipt counts, Morant faces at least 5 years and up to 20 years in prison, if convicted. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The FBI is investigating the case. Assistant U.S. Attorney Rick Belliss is prosecuting the case as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Spirit Airlines Passengers Charged with Smuggling Cocaine Concealed in Frozen ConchRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Edward Saldana, 36, and Bianca Torres, 34, both of St. Croix, appeared before United States Magistrate Emile A. Henderson, III, for their initial appearance hearing after being charged with possession with intent to distribute cocaine.
According to court documents, on January 23, 2023, Saldana and Torres were ticketed passengers on Spirit Airlines Flight #NK449 from St. Croix to Ft. Lauderdale, FL. During their primary inspection at the Henry Rohlsen Airport, both Saldana and Torres were in possession of carry-on cooler bags containing individually wrapped packages of frozen conch. Upon inspection of the packages, Customs and Border Patrol agents discovered four kilograms of a white powdery substance concealed inside the frozen conch. The powered substance later field tested positive for cocaine hydrochloride. If convicted, Saldana and Torres face a minimum of 5 years and maximum of 40 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Customs Border Protection and Homeland Security Investigations are assigned to the investigation and Assistant United States Attorney Melissa P. Ortiz is prosecuting this case. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Delia L. Smith reminds the public that a criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Roma woman fails to convince jury she was in the wrong place at the wrong timeRead the Press Release
McALLEN, Texas – A 62-year-old woman has been convicted of smuggling aliens within the United States for the third time, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury deliberated for approximately 90 minutes before convicting Alma Patricia Soto-Barrera following a three-day trial.
On Aug. 18, 2022, authorities learned of a group of undocumented aliens that had crossed the Rio Grande River near Roma. They followed their foot signs and located three individuals as they entered Soto-Barrera’s vehicle. The back seat was dirty and had mud on the floorboards. There was also dried, muddy footprints in the trunk of the vehicle.
At trial, one of the aliens explained how he crossed the river with two others and a foot guide who provided him with a cell phone. The person on the phone was operating a drone and provided instructions based on what could be seen from above. The jury also heard the group was initially told to hide in a boat and instructed exactly when to run to the vehicle that was arriving.
The jury also heard that Soto-Barrera screamed for the undocumented aliens to get out of the vehicle once law enforcement arrived.
Soto-Barrera attempted to convince the jury she was not part of the smuggling operation and simply was in the wrong place at the wrong time. The jury ultimately did not believe her claims and found Soto-Barrera guilty as charged.
U.S. District Judge Ricardo H. Hinojosa presided over the trial and set sentencing for April 27. At that time, Soto-Barrera faces up to 10 years in prison and a possible $250,000 fine.
Soto-Barrera has been and will remain in custody pending sentencing.
Border Patrol and members of its Bike Patrol Unit conducted the investigation. Assistant U.S. Attorneys Lee Fry and Alexa Parcell are prosecuting the case.
Rochester Man Pleads Guilty to Bank RobberyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.B U.S. Attorney Trini E. Ross announced today that Hugh Mahoney, 50, of Rochester, NY, pleaded guilty before U.S. District Judge Charles J. Siragusa to robbing the ESL Federal Credit Union on Merchants Road in Rochester. The charge carries a maximum possible penalty of 20 years in prison, a fine of $250,000, or both.
Assistant U.S. Charles E. Moynihan, who is handling the prosecution, stated that on August 22, 2022, Mahoney entered the ESL Federal Credit Union, approached a teller, and displayed a demand note which stated, “You are being robbed. 100, 50, 20, no dye packs.” The teller handed approximately $3,260 in United States currency to Mahoney, who took the money and left the credit union. Officers responding to investigate the robbery stopped a vehicle in which Mahoney was riding and saw a hat and shirt which appeared to match the suspect’s reported description from the robbery. Mahoney admitted that he was given a ride to the credit union by the driver of the vehicle, but the driver did not know that Mahoney was going to rob the credit union.
The charges are a culmination of an investigation by the Federal Bureau of Investigation, under the direction of Acting Special Agent-in-Charge Darren Cox and the Rochester Police Department, under the direction of Chief David Smith.
Sentencing is scheduled for June 1, 2023, at 9:15 a.m. before Judge Siragusa.
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Rochester Drug Trafficker Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that Fernando Santiago, 67, of Rochester, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to possession with intent to distribute fentanyl and being a felon in possession of ammunition. The fentanyl charges carry a maximum penalty of 20 years, and a fine of $1,000,000 or both.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that on June 28, 2022, law enforcement, who were investigating Santiago’s drug trafficking activities, approached Santiago to perform a welfare check after seeing him fall from a stopped minivan he was driving. After seeing an unknown pill not contained in any prescription pill bottle in the driver’s door, officers detained Santiago and searched the vehicle. Officers found various quantities of suspected controlled substances, later confirmed to be cocaine, fentanyl and para-flourofentanyl. Officers then obtained a search warrant for a Norton Street residence where Santiago had been earlier that day. During the search, officers recovered 40 rounds of ammunition. Santiago was previously convicted of five separate felonies and is legally prohibited from possessing ammunition.
The matter was brought by the United States Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief David Smith, the Greater Rochester Area Narcotics Enforcement Team (GRANET), and Homeland Security Investigations, under the direction of Special Agent-in-Charge Matthew Scarpino.
Sentencing is scheduled for May 31, 2023, at 12:30 p.m. before Judge Wolford.
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RESCHEDULED - Media Advisory - Marion County Man to be Sentenced in Federal Court for Kidnapping, Carjacking, and Murder of 80-Year-Old VictimRead the Press Release
FLORENCE, SOUTH CAROLINA — The sentencing of Dominique Brand, 31, of Marion, for kidnapping resulting in death, carjacking resulting in death, and using or carrying a firearm during and in relation to a crime of violence in a manner constituting murder has been rescheduled.
WHEN: Wednesday, March 8, 2023, at 10:00 am
WHERE: McMillan Federal Building
Courtroom 1
401 West Evans Street
Florence, South Carolina
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Plaistow Man Pleads Guilty to Cocaine ChargesRead the Press Release
CONCORD – Corey Buckley, 42, formerly of Plaistow, New Hampshire, pleaded guilty in federal court to charges of possession with intent to distribute cocaine, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, law enforcement officers investigated leads into the defendant’s alleged drug trafficking and ultimately obtained a federal search warrant for his Plaistow residence. During the May 2022 search, investigators found approximately 1.1 kilograms of a substance that as later confirmed to be cocaine in the kitchen of the residence. Other indicia of drug trafficking, including a ledger, a scale, approximately $50,000 and two firearms was also located. Buckley has been detained since his arrest following the execution of the search.
Buckley is scheduled to be sentenced on May 18, 2023.
This matter was investigated by the Drug Enforcement Administration with assistance from the Massachusetts State Police and the Haverhill Police Department. The case is being prosecuted by Assistant United States Attorney Charles L. Rombeau, with assistance from Assistant United States Attorney Robert Rabuck on the forfeiture portion of the case.
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