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Wednesday 14 December 2022
Houston Resident Sentenced After Pleading Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – ALEJANDRO MUNOZ, age 47, a resident of Houston, Texas, was sentenced on December 8, 2022 by U.S. District Judge Eldon E. Fallon to a term of twenty (20) months’ imprisonment followed by a term of three (3) years’ supervised release and a 100.00 mandatory special assessment fee after pleading guilty to a one-count indictment that charged him with conspiracy to distribute and possess with intent to distribute one kilogram or more of heroin and five kilograms or more of cocaine hydrochloride, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 846, announced U.S. Attorney Duane A. Evans.
According to court documents, beginning in October of 2014, Special Agents with the Drug Enforcement Administration, through an investigation, identified MUNOZ as a supplier of heroin and cocaine hydrochloride to customers in Houston, Texas and New Orleans.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
This case was investigated by the Drug Enforcement Administration offices in New Orleans, Louisiana and Houston, Texas, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New Orleans Police Department, and the Jefferson Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney André Jones.
Honduran Sexual Predator Sentenced for Trafficking Minor from MexicoRead the Press Release
DEL RIO, Texas – A Honduran national was sentenced Thursday to 188 months in prison and five years of supervised release for transporting a minor with the intent to engage in criminal sexual activity.
According to court documents, Onilson Dario Juarez-Mendez, 41, illegally entered the United States by wading across the Rio Grande River near Eagle Pass, Texas, in November 2019, accompanied by a juvenile female. The girl denied Juarez-Mendez’s claims that she was his stepdaughter and stated that he had been sexually assaulting her along their trip. An investigation verified her claims and revealed that Juarez-Mendez had been extorting the girl’s mother for payment to deliver her to the U.S.
“This case illustrates the lengths and degrees this office will go to seek justice for the victims of heinous crimes,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “I’d like to express my appreciation for the Department of Homeland Security Investigations and the U.S. Border Patrol, whose tireless work in this case made this successful prosecution possible.”
“This case is a stark reminder of just how callous human smugglers can be when it comes to exploiting individuals for money whether they are adults or minors,” said Deputy Special Agent in Charge Alejandro Amaro of HSI in Laredo. “This human smuggler pretended to be a relative and then used extortion methods to attempt to obtain money from the family. It clearly illustrates how criminals will illegally smuggle people for personal profit ahead of public safety. This is why HSI continues to work aggressively to bring smugglers to justice.”
HSI and U.S. Border Patrol investigated the case.
Assistant U.S. Attorney Joshua Banister prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Happy Valley Man Sentenced for Illegally Trafficking Counterfeit Gun Parts for Use as Airsoft AccessoriesRead the Press Release
PORTLAND, Ore.—On December 13, 2022, a Happy Valley, Oregon man was sentenced to federal probation for illegally trafficking counterfeit gun accessories, including suppressors, scopes, grips and sights, from China for resale as airsoft gun accessories.
Johnny Li, 25, was sentenced to five years’ federal probation, including 180 days of home detention, and ordered to pay $281,628 in restitution.
According to court documents, sometime in 2019, Li began trafficking counterfeit gun parts he purchased from China—often through Alibaba.com, one of the world’s largest online commerce companies—into the U.S. for resale online via his website SupplyAirsoft.com. In December 2019, U.S. Customs and Border Protection seized 35 counterfeit laser sights, labeled as “Toy Telescopes”, sent from a Chinese company to Li’s home in Happy Valley. CBP sent Li a letter notifying him of the seizure. Several months later, in May 2020, CBP seized additional rifle sights en route to Li and again notified him of the seizure.
On October 27, 2020, federal agents executed a search warrant on Li’s residence and seized hundreds of counterfeit gun parts and accessories. Altogether, the counterfeit items seized had an estimated value of more than $281,000.
On November 9, 2021, a federal grand jury in Portland returned an indictment charging Li with trafficking in counterfeit goods. On June 23, 2022, he pleaded guilty to the single charge.
This case was investigated by Homeland Security Investigations (HSI), the Portland Police Bureau (PPB), and the Oregon Intellectual Property Task Force. It was prosecuted by Quinn P. Harrington and Katherine A. Rykken, Assistant U.S. Attorneys for the District of Oregon.
Created in October 2011 by PPB, the Oregon Intellectual Property Task Force (formerly called the Intellectual Property Crimes Enforcement Team) investigates and enforces intellectual property crime, protecting the public’s health, safety, and economic welfare by interrupting the flow of counterfeit products. Since its founding, the task force has grown to include members from HSI, the U.S. Postal Inspection Service, Beaverton Police Department, Woodburn Police Department, Tigard Police Department, Washington County Sheriff’s Office, Washington County District Attorney’s Office, Multnomah County District Attorney’s Office and U.S. Attorney’s Office for the District of Oregon.
Anyone who has information about counterfeiting, or any of violations of intellectual property rights, are encouraged to submit a tip to the National Intellectual Property Rights Coordination Center (IPR Center) by visiting www.iprcenter.gov/report.
Hancock County man indicted in international drug operationRead the Press Release
WHEELING, WEST VIRGINIA - A Hancock County man has been charged with acquiring more than 50,000 pills from Europe for redistribution in the United States.
United States Attorney William Ihlenfeld announced today that Thomas O. McGowan, age 50, has been indicted on federal drug charges after an investigation revealed that he had received shipments from Bulgaria containing large amounts of Schedule II and Schedule IV controlled substances. The shipments to McGowan were concealed in large spools of yarn to avoid detection.
After the packages were delivered, agents recovered 58,498 pills from McGowan’s New Cumberland residence and learned that he had been repackaging the pills into quantities of either 90 or 180 for sale. The substances seized include Diazepam, Lorazepam, Tapentadol and Zolpidem. McGowan faces a total for four charges, each alleging that he possessed a controlled substance with the intent to deliver.
“U.S. Custom and Border agents are to be commended for identifying a suspicious inbound international parcel and then quickly coordinating with agents in West Virginia to make an arrest,” said United States Attorney Ihlenfeld. “These collaborative efforts disrupted a sophisticated operation and prevented the diversion of powerful and addictive medication.”
The matter is being prosecuted by Assistant U.S. Attorney Shawn Adkins. It was investigated by Homeland Security Investigations, the Drug Enforcement Administration, the Hancock-Brooke-Weirton Drug Task Force, the Wheeling Police Department, the West Virginia State Police, and the Metro Drug Enforcement Network Team.
An indictment is merely an allegation, and the defendant is presumed innocent unless proven guilty.
Four Defendants Sentenced for CounterfeitingRead the Press Release
LAFAYETTE, La. – Four defendants involved in two separate counterfeiting cases were sentenced today, announced United States Attorney Brandon B. Brown. United States District Judge David C. Joseph sentenced the four defendants as follows:
Joshua Michael Dore, 38, of Lafayette, Louisiana, was sentenced to 36 months in prison, followed by 3 years of supervised release. Dore was convicted on June 2, 2022, by a federal jury of defrauding the United States government by falsely making counterfeit obligations. Evidence presented at trial showed that on September 18, 2020, officers with the Lafayette Police Department executed a search warrant at a residence on Rue Du Jardin in Lafayette. Dore was a resident of the detached apartment of that residence. During their search of the premises, officers located $1, $10, $20, and $100 counterfeit Federal Reserve Notes (FRNs), along with paraphernalia used to create these counterfeit notes. In addition, several sheets of printed FRNs were located inside the main residence. Dore was convicted of having bills in those denominations in his possession.
In a second and unrelated case, the three following defendants were sentenced by United States District Judge David C. Joseph:
Creig Matthew Jacquneaux, 48, of Lafayette, was sentenced to 16 months in prison, followed by 2 years of supervised release.
Jeffrey Wilson, 30, of Lafayette, was sentenced to 21 months in prison, followed by 2 years of supervised release.
Beau Bertrand, 34, of Breaux Bridge, was sentenced to 10 months in prison, followed by 2 years of supervised release.
On December 6, 2021, law enforcement officers with the St. Martin Parish Sheriff’s Office and the United States Secret Service executed a search warrant at a residence on 6th Street in Breaux Bridge, Louisiana. During the execution of the search warrant, agents encountered Jacquneaux and Wilson, who were present inside a dwelling on the property, and seized counterfeit Federal Reserve Notes (FRNs) in denominations of $20, $50 and $100. In addition to the counterfeit FRNs, officers located several genuine FRNs, printers and FRNs soaking in chemical solutions in order to “bleach” the ink from them.
Jacquneaux and Wilson admitted to their involvement in a counterfeiting operation and each pleaded guilty to the indictment charging them with defrauding the United States government by falsely making counterfeit obligations. Both Jacquneaux and Wilson also admitted to passing counterfeit FRNs in the Breaux Bridge and Lafayette areas.
Bertrand pleaded guilty to a bill of information charging him with misprision of a felony and admitted that he knew that Jacquneaux and Wilson had manufactured the counterfeit Federal Reserve Notes with the intent to defraud others to believe the notes were genuine.
These cases were investigated by the United States Secret Service, the Lafayette Police Department and the St. Martin Parish Sheriff’s Office and were prosecuted by Assistant U.S. Attorney Craig R. Bordelon.
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Four Defendants Charged with Conspiring to Provide Cryptocurrency to ISISRead the Press Release
A criminal complaint was unsealed today in federal court in Brooklyn charging Mohammad David Hashimi, Abdullah At Taqi, Khalilullah Yousuf, and Seema Rahman with conspiring to provide material support to the Islamic State of Iraq and al-Sham (“ISIS”). Hashimi, Taqi, and Rahman were arrested this morning in Virginia, New York, and New Jersey, respectively. Yousuf was also arrested this morning in Canada by Canadian law enforcement pursuant to a provisional arrest request from the United States. Taqi and Rahman made their initial appearances earlier today in federal court in Brooklyn before Chief United States Magistrate Judge Cheryl L. Pollak. Hashimi made his initial appearance in federal court in Alexandria, Virginia before United States Magistrate Judge Ivan Davis and was ordered held pending trial.
Breon Peace, United States Attorney for the Eastern District of New York, Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrests and charges.
“As alleged, this crowdfunding network used cryptocurrency, Bitcoin wallets, GoFundMe, and PayPal to collect and raise blood money to support ISIS, not for needy families as they falsely claimed in their attempt to deceive law enforcement,” stated United States Attorney Peace. “I commend our prosecutors and the FBI’s New York Joint Terrorism Task Force for piercing the veil of secrecy to identify the perpetrators of this scheme, reveal the true evil nature of these virtual money transfers, and bring to justice those who seek to enable acts of violent extremism.”
“As alleged, the defendants deliberately participated in schemes to raise funds for ISIS in support of the group’s barbaric aims and actions. The FBI New York’s Joint Terrorism Task Force and our law enforcement partners remain relentless in our determination to protect our nation from those willing to support the scourge of international terrorism,” stated FBI Assistant Director-in-Charge Driscoll.
As set forth in the Complaint, Hashimi and Yousuf were members of a group chat (referred to in the Complaint as Group Chat-1) on an encrypted social media and mobile messaging electronic communication service that facilitated communication between and among supporters of ISIS and other groups that adhered to similar violent jihadist ideologies. In early April 2021, members of Group Chat-1 discussed posting donation links that purported to be for humanitarian causes but were in fact intended to help the “mujahideen,” an Arabic term that translates to “holy warriors” that is used by ISIS supporters to refer to ISIS fighters. Yousuf provided a link to a specific Bitcoin address and another member of Group Chat-1 posted a link to a PayPal campaign, both of which were controlled by an individual identified in the Complaint as Facilitator-1.
In conversations with a confidential source, Taqi and Facilitator-1 discussed giving money to support ISIS fighters. When the confidential source asked Facilitator-1 for proof that the money being donated was going to support ISIS, Facilitator-1 sent the confidential source screenshots and a video depicting tactical gear, ammunition, and grenades on top of an ISIS flag. An image of one of the photographs is depicted below.
Facilitator-1 also told the confidential source that the charitable descriptions in the fundraising campaigns were in fact a “deception for the infidels” and the “words that are in the link are fake in order to deceive.”
Between February 2021 and July 2022, the defendants raised and contributed more than $35,000 to Facilitator-1 via a combination of cryptocurrency and other sources. The defendants contributed more than $24,000 to Facilitator-1’s Bitcoin address, with Yousuf contributing $20,347.89, Taqi contributing $2,769.35, and Rahman contributing $927.51. The defendants also sent more than $1,000 to the PayPal account associated with Facilitator-1, with Rahman contributing approximately $550, Taqi contributing approximately $480, and Hashimi contributing $55. In addition, both Yousuf and Rahman created multiple GoFundMe fundraising campaigns purporting to collect money for charitable causes. Hashimi contributed $364 and Taqi contributed $200 through the Yousuf-created GoFundMe campaigns, while Rahman raised approximately $10,000 through the GoFundMe campaigns that she created, and then wired the proceeds, approximately $10,024, to individuals connected to Facilitator-1 via Western Union.
Hashimi has also made statements suggesting his desire to die in combat or in a terrorist attack on behalf of a foreign terrorist organization. For example, in November 2020, Hashimi told another confidential source over encrypted communications that “I have made up my mind I want to make Hijra to Afghanistan. To join dawla,” in other words, travel to join ISIS. In or about September 2021, Hashimi told another individual through a direct message that “I just want Jannah,” i.e., paradise or the after-life, “And to die on the battlefield.” Hashimi also provided financial support for numerous individuals who have been charged with or convicted of federal crimes of terrorism. Between December 2021 and October 2022, Hashimi gave more than $2,000 to a terrorism defendant through JPay, an inmate funding service.
The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant U.S. Attorneys Douglas M. Pravda, Ian C. Richardson and Nina Gupta are in charge of the prosecution, with assistance provided by Trial Attorneys Daniel Gardner and Alexandra Hughes of the Counterterrorism Section of the Department of Justice’s National Security Division.
The Defendants:
MOHAMMAD DAVID HASHIMI
Age: 35
Potomac Falls, VirginiaABDULLAH AT TAQI
Age: 23
East Elmhurst, Queens, New YorkKHALILULLAH YOUSUF
Age: 34
Ontario, CanadaSEEMA RAHMAN
Age: 25
Edison, New JerseyE.D.N.Y. Docket No. 22-MJ-1323
Former Spring Lake Public Official Sentenced to Four Years in Prison for EmbezzlementRead the Press Release
ELIZABETH CITY, N.C. – Gay Cameron Tucker, 64, was sentenced today to two consecutive 24-month sentences in prison for embezzling more than $500,000 from the Town of Spring Lake. Tucker is the former finance director and account technician for the Town. On September 21, 2022, she pleaded guilty to one count of Embezzlement from a Local Government Receiving Federal Funds, and one count of Aggravated Identity Theft.
“Public corruption at any level is a crime that affects all of us and undermines our public institutions,” said U.S. Attorney Michael Easley. “This defendant abused her position of trust by using public funds intended for her local community to pay her own personal expenses. Our office will continue to partner with law enforcement to investigate and prosecute allegations of public corruption.”
Between 2016 and 2021, Tucker wrote checks from the Town’s bank accounts for her personal use, forging the signatures of other town officials, including the mayor and town manager. These forged checks were made payable to herself, used to cover her personal expenses, and deposited into bank accounts she controlled. By abusing her position of trust, Tucker stole $567,070 from the Town over this five-year period.
During the course of the government’s investigation into Tucker, the Town of Spring Lake hired a financial consultant to assist with an audit of the Town’s finances for 2019 and 2020 and also discovered financial irregulates. Tucker was removed from her position as Finance Director in March 2021.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Terrence W. Boyle The Federal Bureau of Investigation investigated the case and Assistant U.S. Attorneys William M. Gilmore and Karen Haughton prosecuted the case.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No 5:22-CR-00118.
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Former San Luis Obispo County Sheriff’s Deputy Faces Federal Civil Rights Charge Stemming from Alleged Assault of Female InmateRead the Press Release
LOS ANGELES – A former San Luis Obispo County sheriff’s deputy has been indicted on federal criminal charges alleging he abused a county jail inmate by dragging the victim by her hair on the ground from one cell into another jail cell and then obstructing a federal probe into his actions by lying about the incident in an official sheriff’s office report, the Justice Department announced today.
Joshua Fischer, 40, of Grover Beach, is charged in a federal grand jury indictment with one count of deprivation of rights under color of law and one count of falsification of records.
According to the indictment returned Tuesday, Fischer was a sworn law enforcement officer and San Luis Obispo County Sheriff’s Office senior correctional deputy assigned to work at the Intake Release Center in the city of San Luis Obispo between January 2017 and December 2018.
On November 18, 2018, Fischer allegedly used unreasonable force against a jail inmate who had removed her shirt, exited her cell, and then returned to her cell. Upon returning to her cell, Fischer then allegedly grabbed the victim from behind by her hair while she was still topless and dragged her on the ground into another cell.
Fischer then falsified a San Luis Obispo County sheriff’s incident report by including false statements that the victim had thrown her shirt on the ground after removing it outside her cell, that she yelled and flailed her arms while re-entering her cell, and that Fischer “was in fear for the safety of the other female arrestee in the cell” because the victim was “still without her shirt, yelling and flailing her arms,” the indictment alleges.
In fact, the victim did not throw her shirt on the ground after removing it outside the cell, she was not flailing her arms around as she re-entered her cell, but instead her arms were by her side and then near her bare chest when Fischer assaulted her, according to the indictment.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
Fischer is expected to be arraigned on the indictment in the coming weeks at United States District Court in downtown Los Angeles.
If convicted of both charges, Fischer would face a statutory maximum sentence of 10 years in federal prison on the deprivation of rights count and 20 years in federal prison for the falsification of records count.
The FBI investigated this matter.
Assistant United States Attorneys Thomas F. Rybarczyk of the Public Corruption and Civil Rights Section and Frances S. Lewis of the General Crimes Section are prosecuting this case.
Former Postal Employee Pleads Guilty to Stealing Items from the Mail She was Entrusted to Process as a Mail HandlerRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that KEISHAN WILSON, age 38, of New Orleans, Louisiana pleaded guilty on December 8, 2022, before the Honorable Elon E. Fallon, U.S. District Judge, Eastern District of Louisiana, to stealing items from the mail she was entrusted to process for delivery as a postal employee. Sentencing is set for March 2, 2023.
According to documents filed in federal court, KEISHAN WILSON was employed by the United States Postal Service as a mail processor in New Orleans when she was apprehended stealing items from the mail she was entrusted to handle for the U.S. Postal Service.
The maximum penalties for the offense is five years imprisonment, a fine of up to $250,000 or the greater of twice the gross gain to the defendant or twice the gross loss to the victim; up to three years of supervised release, and a mandatory special assessment fee of $100.
U.S. Attorney Evans praised the work of the United States Postal Service, Office of the Inspector General in investigating this matter. Assistant United States Attorney Richard R. Pickens, II is in charge of the prosecution.
Former Missouri State Highway Patrol Employee Accused of Accepting BribesRead the Press Release
ST. LOUIS – A former supervisory motor vehicle inspector with the Missouri State Highway Patrol was indicted in U.S. District Court Wednesday and accused of taking cash bribes.
Larry S. Conrad's primary duty was to perform motor vehicle inspections at the Missouri State Highway Patrol’s Troop C facility in south St. Louis County and sign and certify forms required for motor vehicle owners to apply for original Missouri Certificates of Title.
The indictment accuses Conrad of taking cash bribes ranging from $40 to $160 to pass vehicles, often falsifying certificates to indicate no apparent damage when there was visible damage to the vehicle being inspected. Conrad had owners place the cash bribes in the driver’s side door pocket, the indictment says. Conrad also took bribes ranging up to $300 to sign and certify inspection forms for vehicles which he never saw or inspected, the indictment says.
Conrad, 67, was indicted on one felony charge of using a facility in interstate commerce, a cellular telephone, to facilitate his bribery scheme which was unlawful under Missouri statutes prohibiting acceding to corruption and official misconduct.
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 FBI, with the cooperation of the Missouri State Highway Patrol. Assistant U.S. Attorney Hal Goldsmith is prosecuting the case.
Former Manager of West Alton Marina Pleads Guilty to Federal Sex Trafficking and Child Exploitation OffensesRead the Press Release
CONCORD – John E. Murray, III, 56, of Alton Bay pled guilty in federal court today to twelve counts of production of child sexual abuse materials and four counts of sex trafficking of a minor, United States Attorney Jane E. Young announced today.
Murray was a manager at the West Alton Marina on Alton Bay, where he was responsible for hiring and supervising seasonal employees, many of whom were minors. According to court documents and statements made in court, Murray solicited minor employees of the marina for sexually explicit images and videos of themselves, often in exchange for cash. Murray directed the victims to send him the videos via Snapchat, and videos of the victims were found on Murray’s cell phone and in his Snapchat account. Murray also subjected minor employees to unwanted sexual contact and sexual acts, to include fondling and oral sex. With respect to two minor victims, Murray made cash payments to the victims in exchange for allowing Murray to perform sexual acts on the victims. The conduct took place over the course of several years and dates back to at least 2015. Murray has been in state custody since August 2021 on related charges. The binding plea agreement filed in federal court recommends that Murray be sentenced to 300 months—or 25 years—of imprisonment.
Sentencing is scheduled for March 22, 2023.
This matter was investigated by Homeland Security Investigations and the Alton Police Department, with assistance from the New Hampshire State Police, the New Hampshire Human Trafficking Collaborative Task Force, and the New Hampshire Internet Crimes Against Children Task Force. The case is being prosecuted by Assistant U.S. Attorney Kasey Weiland.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Former Mail Carrier Pleads Guilty to Bank Fraud Charge for Stealing Jobless Benefit Debit Cards from Her Mail Delivery RouteRead the Press Release
LOS ANGELES – A former United States Postal Service mail carrier pleaded guilty today to federal criminal charges for stealing debit cards containing unemployment insurance benefits while on duty and giving them to an accomplice in exchange for cash payments and gifts.
Toya Toshell Hunter, 45, of South Los Angeles, pleaded guilty to one count of bank fraud.
According to her plea agreement, from January 2019 to May 2020, Hunter stole mail – including letters sent by the California Employment Development Department (EDD), which administers the state’s unemployment insurance program – and then gave the stolen EDD debit cards as well as other credit cards and financial instruments to her co-schemer. The co-schemer then activated and fraudulently used the cards to commit bank fraud, the plea agreement states.
For example, in March 2020, Hunter stole mail from her assigned route, including an EDD debit card belonging to a victim. Hunter also stole correspondence in the mail that contained the victim’s name and the last four digits of the victim’s Social Security number, which she later gave to her accomplice in exchange for cash and gifts, knowing the accomplice intended to activate and fraudulently use the victim’s debit card.
Hunter’s co-schemer used the debit card and the last four digits of the victim’s Social Security number to fraudulently activate the card and create a personal identification number (PIN) to access funds from the victim’s account, which was held at Bank of America, the plea agreement states. The co-schemer then used the victim’s stolen EDD card to withdraw cash from a Bank of America ATM located in Corona.
During the scheme Hunter aided and abetted her accomplice in making fraudulent and unauthorized cash withdrawals from 68 separate victims’ accounts and stole approximately $145,191 from Bank of America.
In July 2021, Hunter stole from the mail and fraudulently activated a stolen debit card containing COVID-19 pandemic unemployment relief money belonging to another victim. Hunter used the card to make fraudulent purchases and cash withdrawals, thereby stealing approximately $1,400 from Fiserv Bank.
United States District Judge John F. Walter scheduled a March 6, 2023 sentencing hearing, at which time Hunter will face a statutory maximum sentence of 30 years in federal prison.
Hunter’s co-defendant in this case, Michalea Latise Barksdale, a.k.a. “Miichii Bee,” 34, of Corona, has pleaded not guilty to the 17 felony charges against her, which include bank fraud, aggravated identity theft, and possession of unauthorized access devices and stolen mail. Barksdale has a March 28, 2023 trial date scheduled in this case.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The United States Postal Inspection Service; United States Postal Service – Office of Inspector General; and the United States Treasury Inspector General for Tax Administration are investigating this matter.
Special Assistant United States Attorney Kyle W. Kahan of the General Crimes Section is prosecuting this case.
Former Director of Operations for New England Compounding Center SentencedRead the Press Release
BOSTON – The former Director of Operations of the now-defunct New England Compounding Center (NECC) was sentenced yesterday in federal court in Boston for conspiring to defraud the Food and Drug Administration (FDA). In 2012, 753 patients in 20 states were diagnosed with a fungal infection after receiving injections manufactured by NECC that were contaminated with preservative-free methylprednisolone acetate (MPA), and more than 100 patients died as a result. The outbreak was the largest public health crisis ever caused by a contaminated pharmaceutical drug.
Sharon Carter, 58, of Hopkinton, was sentenced by U.S. District Court Judge Richard G. Stearns to five months in prison and one year of supervised release. Carter was also ordered to pay a fine of $4,000. In December 2018, Carter was convicted following an eight-week jury trial of conspiracy to defraud the United States.
“One may think that making misrepresentations or lying to federal regulators is a victimless crime. This case proves otherwise. In her role as Director of Operations, Ms. Carter conspired to deceive regulators into treating NECC as a lawfully operating pharmacy,” said United States Attorney Rachael S. Rollins. “The victims in this case – all trusting, innocent people – were simply seeking pain relief. Instead, those who survived were sentenced to a lifetime of anguish and trauma. This sentence speaks to my office’s ongoing commitment to the safety and protection of our residents in all areas of life and ensuring those who seek to do harm are held accountable.”
“As NECC’s director of operations, Sharon Carter conspired with her colleagues to lie to federal regulators to perpetrate a massive fraud scheme that harmed hundreds of people across the country whose lives will never be the same. Our thoughts are with them as Ms. Carter is finally held responsible for her role in one of the worst public health crises in U.S. history,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “While she now heads to prison, rest assured the FBI, and our law enforcement partners will continue to work to bring others who like her, violate the law and put patients at risk to justice.”
“FDA depends upon truthful representations from regulated firms, especially in the area of high-risk drug compounding, in order to help protect consumers from potentially unsafe products,” said Fernando McMillan, Special Agent in Charge of the Food and Drug Administration, Office of Criminal Investigations, New York Field Office. “We are grateful that those at NECC who violated this essential principle, including Ms. Carter, have been brought to justice.”
“Our nation’s veterans deserve the highest quality healthcare services, and this sentence demonstrates the VA OIG’s commitment to diligently investigating any potential criminal activity that could threaten the safety of VA’s patients,” said Special Agent in Charge Christopher Algieri with the Department of Veterans Affairs Office of Inspector General’s Northeast Field Office. “The VA OIG appreciates the support of the United States Attorney’s Office and our law enforcement partners for their efforts to achieve justice in this case.”
“This case demonstrates the commitment of the U.S. Postal Inspection Service to the safety and health of the American public,” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “The U.S. Postal Inspection Service, along with our federal law enforcement partners, will continue to investigate and take action against those who take part in this type of atrocious behavior.”
The criminal investigation revealed that NECC pharmacists knowingly made and sold numerous drugs in an unsafe manner and in insanitary conditions. The investigation also revealed that NECC repeatedly misrepresented to the FDA and the Massachusetts Board of Registration in Pharmacy that NECC was operating as a pharmacy dispensing drugs only pursuant to patient-specific prescriptions, when, in reality, NECC was shipping drugs in bulk across the nation for over a decade, evading regulatory oversight through fraud and misrepresentation.
As Director of Operations, Carter oversaw the processing and confirmation of drug orders received by NECC. Carter conspired with others to shield NECC’s operations from regulatory oversight by the FDA by claiming to be a pharmacy dispensing drugs pursuant to valid, patient-specific prescriptions. In fact, NECC routinely dispensed drugs in bulk without valid prescriptions. Carter directed employees to engage in numerous fraudulent prescription schemes to deceive regulators by creating the appearance that NECC had prescriptions for the drugs it was selling.
Barry Cadden, former co-owner of NECC and head pharmacist, and Glenn Chin, NECC’s supervisory pharmacist, were both resentenced following the government’s successful appeals of their original sentences. On July 7, 2021, Cadden was resentenced to 174 months in prison and ordered to pay forfeiture of $1.4 million and restitution of $82 million. On July 21, 2021, Chin, NECC’s supervisory pharmacist, was resentenced to 126 months in prison and three years of supervised release. Chin was also ordered to pay forfeiture of approximately $473,584 and restitution in the amount of $82 million.
U.S. Attorney Rollins; FDA Commissioner Robert M. Califf, M.D.; FBI SAC Bonavolonta; FDA SAC McMillan; VA OIG SAC Algieri; DCI SAC Hegarty; and USPIS INC Larco-Ward made the announcement. Assistant U.S. Attorney Amanda P.M. Strachan, Chief of Rollins’ Criminal Division and Assistant U.S. Attorney Christopher R. Looney of Rollins’ Health Care Fraud Unit prosecuted the case.
Former Chief Financial Officer Faces Charges for Failing to Pay over $3.6M in Employee Tax Withholdings and for Pocketing $130,000 from his Employer’s Bank AccountRead the Press Release
A former chief financial officer and vice president of finance for a company with offices in Oklahoma made an initial appearance in federal court Wednesday for failing to pay over to the IRS $3.6 million in income and FICA tax withholdings and for embezzling more than $130,000 from the company.
Paul B. Bowker, 60, a British national faces seven counts of failure to account for and pay over withholding and FICA (Social Security) taxes and 100 counts of bank fraud. Bowker waived his right to a detention hearing and was remanded into the custody of the U.S. Marshals Service pending trial.
Bowker was a permanent resident alien of the United States at the time of the crimes. In 2019, after he was interviewed by federal agents and made aware of the criminal investigation, he fled to the United Kingdom.
The U.S. Attorney’s Office eventually received a tip that led to Bowker’s arrest, and the Justice Department's Office of International Affairs worked with officials from the United Kingdom to ensure Bowker's extradition to the United States for prosecution.
As part of the scheme, Bowker was the chief financial officer and vice president of finance at a company that maintained offices in the Northern District of Oklahoma. In his role at the company, Bowker was responsible for withholding income taxes and FICA taxes from employees’ paychecks and for paying the monies over to the IRS. The Indictment alleges that from April 2014 through January 2016, Bowker withheld the funds but failed to pay over to the IRS more than $3.6 million worth of income and FICA taxes.
In addition, Bowker is charged with bank fraud. As chief financial officer, Bowker was entrusted with a company credit card and was responsible for paying the monthly credit card bill by authorizing the electronic transfer of funds from the company’s checking account at Mabrey Bank, in Bixby, to the company’s Visa account. From January 2014 through December 2015, Bowker is alleged to have fraudulently used the Visa credit card to make $130,000 worth of purchases for his own benefit then paying for those charges with funds from the company’s checking account at Mabrey Bank.
IRS/Criminal Investigation and the FBI are the investigative agencies. Assistant U.S. Attorneys Charles M. McLoughlin and Richard M. Cella are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Cambridge Man Sentenced for Wire Fraud and Illegally Exporting Defense Articles to TurkeyRead the Press Release
BOSTON – A former Cambridge man was sentenced today in Boston for illegally exporting defense technical data to foreign nationals in Turkey in connection with the fraudulent manufacturing of parts and components used by the U.S. military. Some of the parts were later determined to be substandard and unsuitable for use by the military.
Arif Ugur, 53, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 33 months months in prison and two years of supervised release. Pursuant to an order entered by Judge Gorton, Ugur, who is a U.S. lawful permanent resident from Turkey, agreed to return to Turkey upon completion of his sentence. On Aug. 10, 2022, Ugur pleaded guilty to two counts of wire fraud, two counts of violating the Arms Export Control Act and one count of conspiring to violate the Arms Export Control Act.
In 2015, Ugur, founded and was the sole managing partner of the Anatolia Group Limited Partnership (Anatolia), a domestic limited partnership registered in Massachusetts. Beginning in approximately July 2015, Ugur bid on and acquired numerous contracts to supply the U.S. Department of Defense (DOD) with various parts and components intended for use by the U.S. military. Many of these contracts required that the parts be manufactured in the United States. Both in bids submitted to DOD and in subsequent email communications with DOD representatives, Ugur falsely claimed that Anatolia was manufacturing the parts in the United States. In fact, Anatolia was a front company with no manufacturing facilities whatsoever. Unbeknownst to DOD, Ugur contracted with a company in Turkey to make the parts and then passed them off to DOD as if they had been manufactured by Anatolia in the United States.
Because they had not been manufactured in the United States in accordance with the contacts, Ugur failed to allow DOD to inspect the parts prior to delivery to the U.S. military. Many of the parts were substandard and some could not be used at all.
In order to enable to the Turkish company to manufacture the parts, Ugur shared technical specifications and drawings of the parts with his co-conspirators overseas, some of whom were employees of the Turkish company. Ugur also provided his overseas co-conspirators with access to DOD’s online library of technical specifications and drawings. Because of their military applications, many of these parts were designated as Defense Articles under the International Traffic in Arms Regulations (ITAR) and the United States Munitions List (USML). Thus, an export license was required to export the parts and related technical data (blueprints, specifications, etc.) from the United States to Turkey. Ugur knew of these restrictions, but nonetheless exported technical data controlled under the ITAR and USML to employees of the Turkish manufacturer without an export license.
United States Attorney Rachael S. Rollins; Patrick J. Hegarty, Special Agent in Charge of the Department of Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; and Rashel Assouri, Special Agent in Charge of the U.S. Department of Commerce, Office of Export Enforcement, Boston Field Office made the announcement today. Assistant U.S. Attorneys Jason A. Casey and Timothy H. Kistner of Rollins’ National Security Unit prosecuted the case.
Former Army Officer and Attorney Indicted on Cyberstalking and Witness TamperingRead the Press Release
CHARLOTTESVILLE, Va. – A federal grand jury in Charlottesville, Virginia has indicted a former attorney and Army Officer assigned to the United States Army Judge Advocate General’s Legal Center and School (JAG School) in Charlottesville on multiple counts of cyberstalking, witness tampering, and lying to multiple federal agencies.
The eight-count indictment, returned today, charges Manfredo Madrigal, 36, a former resident of Charlottesville, with four counts of lying to multiple federal agencies, one count of witness tampering and one count of attempted witness tampering, one count of cyberstalking, and one count of deletion of Army materials.
Madrigal was an active duty Army Officer and attorney when he was assigned to the JAG School in early 2022. He previously served multiple overseas tours of duty as an enlisted soldier with various units, including the 75th Ranger Regiment and 82nd Airborne Division. In late February 2022, Madrigal was discharged from the Army and JAG School for failing to report a previous conviction for driving under the influence (DUI).
He was arrested on a criminal complaint in August 2022.
The indictment alleges that in the overnight hours between February 6 and 7, 2022, and while his Army discharge was pending, Madrigal deleted, without authorization, online JAG training materials. Madrigal filmed himself doing so and narrated his motivations. In the video, Madrigal stated, “I’m gonna fu** you,” and “I’m going to bring their house down on them.” The same evening, Madrigal contacted Victim 1 and informed her that Russia reached out to him, wanted to know what he knew, and that he intended to travel to Russia. Madrigal’s cellphone records indicate he contacted the Russian embassy.
On February 22, 2022, Madrigal was discharged from the JAG School and claimed in out-processing paperwork that he had no unreported contact with a foreign national, which was contrary to Madrigal’s phone records and statements to Victim 1.
In April and May 2022, Madrigal was interviewed by the FBI about his actions. In these interviews, Madrigal made multiple false statements regarding his foreign contact and the deletion of the training materials. For example, Madrigal claimed he learned of the deletion from a coworker but denied any involvement. Per text messages, however, Madrigal filmed his efforts to delete the module and claimed credit.
During the FBI’s investigation, agents discovered that Madrigal had been threatening Victim 1, a former romantic partner, both in-person and via electronic means. Between late 2021 and mid-2022, Madrigal sent Victim 1 messages threatening her safety, career, family, and pet. These messages contained compromising and sexually explicit photos of Victim 1. Victim 1 also expressed being “terrified” of Madrigal and stated he threatened her, in-person, using a firearm at her residence and damaged her belongings.
As the FBI’s investigation progressed, agents also uncovered evidence Madrigal pressured another former romantic partner, Victim 2, to provide false information to the FBI about Madrigal. Victim 2 admitted to agents that Madrigal coached her prior to her FBI interview, and they discussed deleting incriminating text messages from his cellphone.
On August 9, 2022, Madrigal and Victim 2 were involved in a dispute in Harrison, Arkansas and Madrigal pointed a pistol at Victim 2’s head. Madrigal was arrested by local authorities in Arkansas and later transferred to Virginia to face federal charges for his conduct involving Victim 1.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, made the announcement.
The Federal Bureau of Investigation and the United States Army are investigating the case.
Assistant United States Attorney Katie Burroughs Medearis and Special Assistant United States Attorney Jessica Joyce are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former 6/10 Construction Project Supervisor Pleads Guilty to Making False StatementsRead the Press Release
PROVIDENCE – A former Superintendent of the 6/10 Interchange Construction Project, who falsely represented the origin and environmental quality of railroad ballast (loose stone) and the origin of soil imported into the 6/10 Project, today pleaded guilty in federal court to three counts of making a false statement in connection with a federally funded highway project, announced United States Attorney Zachary A. Cunha.
Dennis Ferreira, a former employee of Barletta Heavy Division, Inc., a Massachusetts construction company responsible for the construction of the Route 6/10 Interchange Project, admitted to a federal judge that, in July 2020, he falsely reported to the Rhode Island Department of Transportation (RIDOT) the origin of 93 truckloads of railroad ballast imported to the 6/10 Project from Massachusetts; 52 truckloads of dirt imported to the 6/10 Project from the Barletta Pawtucket/Central Falls Rail Station Project; and that he was responsible for a report submitted to RIDOT by Barletta stating that the stone imported from Massachusetts had been tested and met environmental criteria as required in a Soil and Materials Management Plan (SMMP) prepared by RIDOT. In fact, the stone had not been tested and did not meet the environmental criteria.
In October, United States Attorney Cunha announced the resolution of federal criminal and civil investigations into Barletta and Ferreira. The resolutions included Ferreira’s agreement to plead guilty; a civil resolution that will recover from Barletta more than twice the amount paid by the government as a result of the conduct; and a non-prosecution agreement with the construction firm.
Federal investigations into contracting and procurement on portions of the federally-funded 6/10 Project centered on false statements by Ferreira and the company, as well as billing submissions made to the federal government for the stone and dirt. This fill, which was required to either be used at its original location, or subjected to additional testing and handling, did not meet the requirements of the contract.
Ferreira is scheduled to be sentenced on March 16, 2023. The defendant’s sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The United States has separately entered into a Non-Prosecution Agreement with Barletta in connection with the false statements that were made to the Federal Highway Administration and RIDOT. These statements were meant to conceal the fact that Barletta had imported regulated material in violation of the SMMP, which was part of the contract governing the 6/10 Project. Under the Agreement, Barletta accepts responsibility for the actions of its employees and admits to the facts that constitute making false statements in connection with a federally funded highway project. In addition to paying a $500,000 criminal fine, the agreement requires Barletta to implement ongoing monitoring, reporting, and compliance measures for a period of three years; failure to comply with these conditions will make the company subject to prosecution for the conduct set forth in an agreed-upon Statement of Facts.
Additionally, Barletta has entered into a False Claims Act settlement that resolves allegations that the company knowingly submitted claims for payment for work on the project in connection with the movement of dirt that did not comply with contract requirements, in violation of the federal and Rhode Island state False Claims Acts. Barletta will pay $1,000,000 to the government, representing more than twice the government funds paid as a result of the relevant claims.
Assistant U.S. Attorneys Dulce Donovan and Bethany Wong are handling the prosecution and litigation of these matters.
The matter was investigated by the U.S. Department of Transportation, Office of Inspector General, and the U.S. Department of Labor, Office of Inspector General, with the assistance from the Rhode Island Department of Environmental Management, Division of Law Enforcement.
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Federal Prosecutors in Los Angeles and Alaska Charge 6 Defendants with Operating Websites that Offered Computer Attack ServicesRead the Press Release
LOS ANGELES – The Justice Department today announced the court-authorized seizure of 48 internet domains associated with some of the world’s leading DDoS-for-hire services, as well as criminal charges against six defendants who allegedly oversaw computer attack platforms commonly called “booter” services.
The FBI is now in the process of seizing the websites that allowed paying users to launch powerful distributed denial-of-service, or DDoS, attacks that flood targeted computers with information and prevent them from being able to access the internet. Booter services such as those named in this action allegedly attacked a wide array of victims in the United States and abroad, including educational institutions, government agencies, gaming platforms and millions of individuals. In addition to affecting targeted victims, these attacks can significantly degrade internet services and can completely disrupt internet connections.
The websites targeted in this operation were used to launch millions of actual or attempted DDoS attacks targeting victims worldwide. While some of these services claimed to offer “stresser” services that could purportedly be used for network testing, the FBI determined these claims to be a pretense, and “thousands of communications between booter site administrators and their customers…make clear that both parties are aware that the customer is not attempting to attack their own computers,” according to an affidavit filed in support of court-authorized warrants to seize the booter sites.
The coordinated law enforcement action comes just before the Christmas holiday period, which typically brings a significant increase in DDoS attacks across the gaming world.
In conjunction with the website seizures, the FBI, the United Kingdom’s National Crime Agency, and the Netherlands Police have launched an advertising campaign using targeted placement ads in search engines, which are triggered by keywords associated with DDoS activities. The purpose of the ads is to deter potential cyber criminals searching for DDoS services in the United States and around the globe, as well as to educate the public on the illegality of DDoS activities.
“These booter services allow anyone to launch cyberattacks that harm individual victims and compromise everyone’s ability to access the internet,” said United States Attorney Martin Estrada. “This week’s sweeping law enforcement activity is a major step in our ongoing efforts to eradicate criminal conduct that threatens the internet’s infrastructure and our ability to function in a digital world.”
“Criminals are increasingly targeting essential services and our critical infrastructure with DDoS attacks that can cost victims valuable time, money and reputational harm,” said Donald Alway, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “Whether a criminal launches an attack independently or pays a skilled contractor to carry one out, the FBI will work with victims and use the considerable tools at our disposal to identify the person or group responsible. Victims of cybercrime are urged to contact their local FBI field office or file a complaint with the FBI’s Internet Crime Complaint Center at ic3.gov."
The law enforcement actions this week include the filing of charges against six defendants across the United States who allegedly offered booter services. Each defendant allegedly operated at least one website that offered one-stop DDoS services and subscriptions of various lengths and attack volumes. In each of these criminal cases, the FBI posed as a customer and conducted test attacks to confirm that the booter site functioned as advertised.
Central District of California
Prosecutors in Los Angeles this week filed four criminal informations charging four defendants with running booter services.
The defendants charged in Los Angeles are:
- Jeremiah Sam Evans Miller, aka “John The Dev,” 23, of San Antonio, Texas, who is charged with conspiracy to violate and violating the computer fraud and abuse act related to the alleged operation of a booter service named RoyalStresser.com (formerly known as Supremesecurityteam.com);
- Angel Manuel Colon Jr., aka “Anonghost720” and “Anonghost1337,” 37, of Belleview, Florida, who is charged with conspiracy to violate and violating the computer fraud and abuse act related to the alleged operation of a booter service named SecurityTeam.io;
- Shamar Shattock, 19, of Margate, Florida, who is charged with conspiracy for allegedly running a booter service known as Astrostress.com; and
- Cory Anthony Palmer, 22, of Lauderhill, Florida, who is charged with conspiracy for allegedly running a booter service known as Booter.sx.
The four defendants have been informed of the charges against them and are expected to make their initial court appearances in United States District Court in Los Angeles early next year.
Assistant United States Attorneys Cameron L. Schroeder, Chief of the Cyber and Intellectual Property Crimes Section, and Aaron Frumkin, also of the Cyber and Intellectual Property Crimes Section, are prosecuting the Los Angeles cases. Assistant United States Attorney James E. Dochterman of the Asset Forfeiture and Recovery Section is handling the seizure of the domains.
District of Alaska
The defendants charged in criminal informations filed in Alaska are:
- John M. Dobbs, 32 of Honolulu, Hawaii, who is charged with aiding and abetting violations of the computer fraud and abuse act related to the alleged operation of a booter service named Ipstressor.com, also known as IPS, between 2009 and November 2022.
- Joshua Laing, 32, of Liverpool, New York, who is charged with aiding and abetting violations of the computer fraud and abuse act related to the alleged operation of a booter service named TrueSecurityServices.io between 2014 and November 2022.
The two defendants have been informed of the charges against them and are expected to make their initial court appearance early next year.
Assistant United States Attorney Adam Alexander is prosecuting the Alaska cases.
Criminal informations contain allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
In recent years, booter services have continued to proliferate as they offer a low barrier to entry for users looking to engage in cybercriminal activity. These types of DDoS attacks are so named because they result in the “booting” or dropping of the targeted computer from the internet. For additional information on booter and stresser services and the harm that they cause, please visit: https://www.fbi.gov/contact-us/field-offices/anchorage/fbi-intensify-efforts-to-combat-illegal-ddos-attacks.
The cases announced today are being investigated by the FBI’s Anchorage and Los Angeles field offices.
Invaluable assistance was provided by the FBI field offices in Albany, Honolulu, Miami, Philadelphia and San Antonio; the United Kingdom’s National Crime Agency; the Netherlands Police; EUROPOL; and the Brandon Police Service in Manitoba, Canada. Akamai, Cloudflare, Digital Ocean, Entertainment Software Association, Google, Oracle, Palo Alto Networks Unit 42, PayPal, Unit 221B, the University of Cambridge, Yahoo and other valued private sector partners provided additional assistance.
These law enforcement actions were taken in conjunction with Operation PowerOFF, an ongoing, coordinated effort among international law enforcement agencies aimed at dismantling criminal DDoS-for-hire infrastructures worldwide, and holding accountable the administrators and users of these illegal services.
In a previous law enforcement action involving prosecutors and investigators in Los Angeles and Anchorage four years ago, the Justice Department charged three defendants who facilitated DDoS-for hire services and seized 15 internet domains associated with DDoS-for-hire services. The multi-prong investigation announced today builds on the success of the prior cases by targeting all known booter sites, shutting down as many as possible, and undertaking a public education campaign.
Federal Prosecutors in Alaska and Los Angeles Charge 6 Defendants with Operating Websites that Offered Computer Attack ServicesRead the Press Release
ANCHORAGE – The Justice Department today announced the court-authorized seizure of 48 internet domains associated with some of the world’s leading DDoS-for-hire services, as well as criminal charges against six defendants who allegedly oversaw computer attack platforms commonly called “booter” services.
The FBI is now in the process of seizing the websites that allowed paying users to launch powerful distributed denial-of-service, or DDoS, attacks that flood targeted computers with information and prevent them from being able to access the internet. Booter services such as those named in this action allegedly attacked a wide array of victims in the United States and abroad, including educational institutions, government agencies, gaming platforms and millions of individuals. In addition to affecting targeted victims, these attacks can significantly degrade internet services and can completely disrupt internet connections.
The websites targeted in this operation were used to launch millions of actual or attempted DDoS attacks targeting victims worldwide. While some of these services claimed to offer “stresser” services that could purportedly be used for network testing, the FBI determined these claims to be a pretense, and “thousands of communications between booter site administrators and their customers…make clear that both parties are aware that the customer is not attempting to attack their own computers,” according to an affidavit filed in support of court-authorized warrants to seize the booter sites.
The coordinated law enforcement action comes just before the Christmas holiday period, which typically brings a significant increase in DDoS attacks across the gaming world.
In conjunction with the website seizures, the FBI, the United Kingdom’s National Crime Agency (NCA) and the Netherlands Police have launched an advertising campaign using targeted placement ads in search engines, which are triggered by keywords associated with DDoS activities. The purpose of the ads is to deter potential cyber criminals searching for DDoS services in the United States and around the globe, as well as to educate the public on the illegality of DDoS activities.
“Communities in Alaska have become increasingly dependent on access to broadband internet for essential services,” said U.S. Attorney S. Lane Tucker, District of Alaska. “Cyber criminals are not concerned with borders between states or nations but they should be on notice that we will work with law enforcement partners nationally and internationally to pursue and disrupt cybercrime services targeting Alaskans.”
“These DDoS-for-hire websites, with paying customers both inside and outside the United States, facilitated network disruptions on a massive scale, targeting millions of victim computers around the world,” said Special Agent in Charge Antony Jung of the FBI Anchorage Field Office. “Potential users and administrators should think twice before buying or selling these illegal services. The FBI and our international law enforcement partners continue to intensify efforts in combatting DDoS attacks, which will have serious consequences for offenders.”
The law enforcement actions this week include the filing of charges against six defendants across the United States who allegedly offered booter services. Each defendant allegedly operated at least one website that offered one-stop services and subscriptions of various lengths and attack volumes. In each of these criminal cases, the FBI posed as a customer and conducted test attacks to confirm that the booter site functioned as advertised.
District of Alaska
The defendants charged in criminal informations filed in Alaska are:
- John M. Dobbs, 32, of Honolulu, Hawaii, is charged with aiding and abetting violations of the computer fraud and abuse act related to the alleged operation of a booter service named IPStressor.com, also known as IPS, between 2009 and November 2022.
- Joshua Laing, 32, of Liverpool, New York, is charged with aiding and abetting violations of the computer fraud and abuse act related to the alleged operation of a booter service named TrueSecurityServices.io between 2014 and November 2022.
The two defendants have been informed of the charges against them and are expected to make their initial court appearance early next year.
Assistant U.S. Attorney Adam Alexander is prosecuting the Alaska cases.
Central District of California
Prosecutors in Los Angeles this week filed four criminal informations charging four defendants with running booter services.
The defendants charged in Los Angeles are:
- Jeremiah Sam Evans Miller, aka “John The Dev,” 23, of San Antonio, Texas, who is charged with conspiracy to violate and violating computer fraud and abuse act related to the alleged operation of a booter service named RoyalStresser.com (formerly known as Supremesecurityteam.com).
- Angel Manuel Colon Jr., aka “Anonghost720” and “Anonghost1337,” 37, of Belleview, Florida, who is charged with conspiracy to violate and violating the computer fraud and abuse act related to the alleged operation of a booter service named SecurityTeam.io.
- Shamar Shattock, 19, of Margate, Florida, who is charged with conspiracy for allegedly running a booter service known as Astrostress.com.
- Cory Anthony Palmer, 22, of Lauderhill, Florida, who is charged with conspiracy for allegedly running a booter service known as Booter.sx.
The four defendants have been informed of the charges against them and are expected to make their initial court appearances in United States District Court in Los Angeles early next year.
Assistant United States Attorneys Cameron L. Schroeder, Chief of the Cyber and Intellectual Property Crimes Section, and Aaron Frumkin, also of the Cyber and Intellectual Property Crimes Section, are prosecuting the Los Angeles cases. Assistant United States Attorney James Dochterman of the Asset Forfeiture and Recovery Section is handling the seizure of the domains.
In recent years, booter services have continued to proliferate as they offer a low barrier to entry for users looking to engage in cybercriminal activity. These types of DDoS attacks are so named because they result in the “booting” or dropping of the targeted computer from the internet. For additional information on booter and stresser services and the harm that they cause, please visit: https://www.fbi.gov/contact-us/field-offices/anchorage/fbi-intensify-efforts-to-combat-illegal-ddos-attacks.
The cases announced today are being investigated by the FBI’s Anchorage and Los Angeles field offices.
Invaluable assistance was provided by the FBI field offices in Albany, Honolulu, Miami, Philadelphia and San Antonio; the United Kingdom’s National Crime Agency; the Netherlands Police; EUROPOL; and the Brandon Police Service in Manitoba, Canada. Akamai, Cloudflare, Digital Ocean, Entertainment Software Association, Google, Oracle, Palo Alto Networks Unit 42, PayPal, Unit 221B, University of Cambridge, Yahoo and other valued private sector partners provided additional assistance.
These law enforcement actions were taken as part of Operation Power OFF, an ongoing, coordinated effort among international law enforcement agencies aimed at dismantling criminal DDoS-for-hire infrastructures worldwide, and holding accountable the administrators and users of these illegal services.
In a previous law enforcement action involving prosecutors and investigators in Anchorage and Los Angeles four years ago, the Justice Department charged three defendants who facilitated DDoS-for hire services and seized 15 internet domains associated with DDoS-for-hire services. The multi-prong investigation announced today builds on the success of the prior cases by targeting all known booter sites, shutting down as many as possible, and undertaking a public education campaign.
Criminal informations contain allegations, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Federal Inmate Receives 9-Month Consecutive Prison Term for Possession of ContrabandRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Matthew S. Kirst, an inmate at the Federal Correctional Institution at Oxford, Wisconsin was sentenced today by U.S. District Judge William M. Conley to 9 months in federal prison for possessing contraband in prison. Kirst pleaded guilty to the charge on September 12, 2022.
On September 28, 2021, Kirst was an inmate serving a federal prison sentence for possession of a firearm by a felon and possession of a firearm in furtherance of a drug trafficking crime. That day, prison staff discovered Kirst was in possession of 175 strips containing buprenorphine/suboxone and a quantity of synthetic marijuana, both controlled substances.
Judge Conley said a 9-month prison sentence was necessary to reflect the seriousness of the situation and to deter other inmates from similar conduct. He noted drugs like the ones that Kirst possessed while incarcerated can contribute to violence and dangerous situations among inmates. Judge Conley also noted that this was Kirst’s second conviction for possessing contraband in prison, and the sentence was meant to send a message. Pursuant to federal law, the 9-month prison term must be served consecutive to the sentences Kirst is currently serving and will serve for his previous firearm and contraband convictions.
The charge against Kirst was the result of an investigation conducted by the Federal Bureau of Investigation and the Federal Bureau of Prisons. Assistant U.S. Attorneys Steven P. Anderson and Anita Marie Boor prosecuted this case.
Federal Indictment Returned for Interstate Domestic Violence Resulting in DeathRead the Press Release
GREENVILLE, SOUTH CAROLINA — A federal grand jury in Greenville returned a four-count indictment charging Lawrence Joseph Florentine, 54, of Rock Hill, with interstate domestic violence resulting in death; use of a firearm to shoot his spouse and intimate partner, N.Z.F., during a crime of violence; obstruction of justice; and use of fire to commit interstate domestic violence. The alleged offenses were committed in June 2020, in South Carolina and elsewhere.
South Carolina ranks seventh among all states with respect to the percentage of women who experienced domestic violence at some point during their lifetimes and has ranked within the top 10 states for the rate of female homicide in each of the past 17 years. Federal laws provide tools for prosecuting domestic violence offenders in certain situations involving firearms and interstate travel or activity.
Florentine faces a maximum penalty of death or up to life in prison if convicted.
The case was investigated by the Kentucky State Police; Caldwell County, Kentucky, Sheriff’s Office; Greenville County, South Carolina, Sheriff’s Office; York County, South Carolina, Sheriff’s Office; Rock Hill, South Carolina, Police Department; South Carolina Law Enforcement Division; and Federal Bureau of Investigation. Assistant U.S. Attorney Leesa Washington is prosecuting the case.
U.S. Attorney Adair F. Boroughs stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
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Federal Indictment Charges Duluth Man with Wire FraudRead the Press Release
MINNEAPOLIS – A Duluth man has been indicted for wire fraud after pretending to operate a law firm and defrauding an individual out of thousands of dollars in legal fees, announced U.S. Attorney Andrew M. Luger.
“I am grateful for the diligence and the coordinated work of the FBI, the Duluth Police Department, and the St. Louis County Attorney’s Office for investigating the defendant’s long history of repeated and unrelenting fraudulent conduct,” said U.S. Attorney Andrew M. Luger.
According to court documents, between March and April 2022, Gale Allen Rachuy, 72, devised and executed a scheme to defraud an individual (Victim A) by falsely representing that he could provide legal services in connection with Victim A’s post-conviction motion in exchange for $10,000. Rachuy told Victim A that he operated Midwest Legal Service, a Duluth-area law firm, for more than 38 years and claimed to employ several attorneys, including a retired federal judge who previously served on the Seventh Circuit Court of Appeals (Judge A) and a retired Hennepin County District Court judge (Judge B).
According to court documents, on March 10, 2022, Rachuy sent a letter to Victim A on Midwest Legal Service letterhead falsely claiming that Judge A would assist in Victim A’s legal representation and enclosed a copy of a retainer agreement seeking a $2,500 payment. On March 15, 2022, Rachuy received the $2,500 retainer from Victim A. Shortly thereafter, Victim A became suspicious and confronted Rachuy because Victim A had not received a draft of the legal documents Rachuy had promised to file. Rachuy promised Victim A that he would promptly refund the money, but never did so. Instead, Rachuy continued to falsely assure Victim A that Judge A and Judge B were working on the case.
Rachuy is charged with one count of wire fraud. He made his initial appearance in U.S. District Court today before Magistrate Judge David T. Schultz. Rachuy was ordered detained pending a formal detention hearing scheduled for 1:30 pm on Monday, December 19, 2022, before Magistrate Judge Leo I. Brisbois.
This case is the result of an investigation conducted by the FBI, the Duluth Police Department, and the Hermantown Police Department, with assistance from the St. Louis County Attorney’s Office.
Assistant U.S. Attorney Chelsea A. Walcker is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Evansville Sexual Predator Sentenced to 4 Years in Federal Prison for Possession of Child Sexual Abuse MaterialRead the Press Release
Evansville Sexual Predator Sentenced to 4 Years in Federal Prison for Possession of Child Sexual Abuse Material
EVANSVILLE- Anthony J. Richardson, 30, of Newburgh, Indiana was sentenced to 4 years in federal prison after pleading guilty to possession of child sexual abuse material.
According to court documents, on July 28, 2020, law enforcement officers executed a search warrant at Richardson’s residence, where multiple electronic devices were found containing images of child sexual abuse. Richardson’s computer was later examined and found to contain more than 1,400 videos of child sexual abuse, as well as evidence he used his computer to search for this material. The material Richardson collected included multiple videos depicting the rapes of preschool aged children and an extremely brutal depiction of the torture and sexual abuse of a prepubescent girl.
Also on July 28, 2020, during a recorded interview with law enforcement officers, Richardson admitted that he was sexually aroused by depictions of children being subjected to sexual abuse and had collected child sexual abuse materials for a long time.
“These abhorrent crimes will not go unpunished. Every day, pedophiles trade and view horrific depictions of child rape and sexual exploitation online,” said Zachary A. Myers, United States Attorney for the Southern District of Indiana. “The outstanding investigators of the Indiana ICAC Task Force work tirelessly to protect our children by identifying and arresting dangerous criminals who seek to prey on them. Serious federal sentences like the one imposed today should put potential offenders on notice: those who sexually abuse our children or trade in images of that abuse will be held accountable and sent to prison.”
“These types of cases are some of the most important to the FBI and our law enforcement partners as these images cause untold harm to the children depicted who are revictimized each time they are shared,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “This sentence shows the dedicated efforts of all who were involved in identifying and investigating the defendant to ensure he will no longer be able to exploit innocent children.”
The FBI investigated the case, with valuable assistance provided by the Warrick County Sheriff’s Department. The sentence was imposed by U.S. District Judge Richard L. Young. As part of the sentence, Judge Young ordered that Richardson be supervised by the U.S. Probation Office for 10 years following his release from federal prison. Richardson must also register as sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant United States Attorney Todd Shellenbarger, who prosecuted this case.
In fiscal year 2019, the most recent year for which data is available, the Southern District of Indiana was second out of the 94 federal districts in the country for the number of child sexual exploitation cases prosecuted.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Essex County, New Jersey, Man Admits Bribing Mail Carriers to Steal Postal Arrow KeysRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man today admitted his role in a scheme to bribe mail carriers to steal postal arrow keys used to unlock mail receptacles and to use stolen items from the mail to fraudulently obtain funds from banks, U.S. Attorney Philip R. Sellinger announced.
Amin C. Jones, 29, of Orange, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to an information charging him with one count each of bribery of U.S. Postal Service mail carriers and conspiracy to commit bank fraud.
According to documents filed in this case and statements made in court:
Jones schemed to bribe mail carriers in East Orange and Newark, New Jersey, by offering them cash, typically $5,000, in exchange for the mail carriers giving Jones a postal arrow key, which could be used to access a variety of postal service mail receptacles. Jones and others sought USPS arrow keys so that they could steal mail. From June to July 2021, Jones and another individual drove to various locations in East Orange and Newark, where they stopped over four different mail carriers, including an undercover postal inspector, who Jones believed was a mail carrier, and handed them a note indicating they would give $5,000 to the mail carrier in exchange for an arrow key.
From January to July 2021, Jones conspired with others to obtain funds fraudulently from banks by stealing mail and using stolen checks and bank cards to draw funds from bank accounts linked to the stolen items and using the identification of others to fraudulently obtain funds.
The bribery charge to which Jones pleaded guilty carries a maximum potential penalty of 15 years in prison and the bank fraud conspiracy charge carries a maximum penalty of 30 years in prison. The maximum potential fine for the bribery charge is $250,000 and the bank fraud conspiracy charge carries a maximum potential fine of $1 million. Sentencing is currently scheduled for April 25, 2023.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark under the direction of Acting Inspector in Charge Raimundo Marrero, Philadelphia Division, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jihee G. Suh of the Special Prosecutions Division in Newark.
Essex County Man Admits Producing Child Pornography in New Jersey and AbroadRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man today admitted producing multiple videos depicting the sexual assault of children, U.S. Attorney Philip R. Sellinger announced.
Antonio Del Prado, 61, of Millburn, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton to an information charging him with one count each of production of child pornography and production of child pornography abroad with intent to transport into the United States.
According to documents filed in this case and statements made in court:
In October 2020, law enforcement officials learned that Del Prado had uploaded multiple items of suspected child pornography to an internet-based cloud storage system. The investigation also revealed that Del Prado had a woman live-stream a video of a child being sexually assaulted for Del Prado. Del Prado was arrested at his home in November 2020, at which time agents seized multiple electronic devices that were found to contain child pornography. Further investigation revealed that on multiple occasions, Del Prado sexually assaulted children in the Philippines and transmitted video recordings of those assaults into the United States.
The charges in the information each carry a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. Sentencing is scheduled for April 25, 2022.
U.S. Attorney Sellinger credited special agents with the Department of Homeland Security – Homeland Security Investigations, under the direction of Special Agent in Charge Ricky J. Patel, in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Office Criminal Division in Newark.
El Departamento de Justicia llega a un acuerdo histórico con la Ciudad y el Departamento de Policía para suspender el programa de vivienda de alquiler “libre de delitos” en Hesperia, CaliforniaRead the Press Release
El Departamento de Justicia anunció hoy que ha llegado a un acuerdo histórico para resolver una demanda de discriminación racial y de origen nacional contra la Ciudad de Hesperia, California y el Departamento del Alguacil del Condado de San Bernardino. La demanda del Departamento alegó que la Ciudad y el Departamento del Alguacil incurrieron en un patrón o práctica de discriminación contra individuos y comunidades afroestadounidenses y latinos en Hesperia, en contra de la ley de Vivienda Justa y el título VI de la ley de Derechos Civiles de 1964, mediante la adopción y aplicación de un llamado programa de vivienda de alquiler “libre de delitos”. Esta es la primera resolución del Departamento de Justicia que requiere la suspensión total de un programa de vivienda de alquiler “libre de delitos”.
“El Departamento de Justicia está comprometido a garantizar que las políticas de vivienda no discriminen contra individuos por motivos raciales, incluyendo los llamados programas ‘libre de delitos’”, afirmó la Fiscal General Asociada Vanita Gupta. “Además de promover el acceso justo a vivienda, la resolución del día de hoy protegerá a los individuos que solicitan ayuda de emergencia o la asistencia de las fuerzas del orden público ante las represalias”.
“Las llamadas ordenanzas ‘libre de delitos’ a menudo son impulsadas por objetivos discriminatorios, desestabilizan a comunidades y promueven la segregación racial actual”, manifestó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. “Estas ordenanzas pueden desarraigar las vidas de las personas, empujar a familias a quedarse sin hogar y dar lugar a la pérdida del empleo, la escuela y las oportunidades para las personas que son, de manera desproporcionada, personas de color de bajos ingresos. Las ordenanzas “libre de delitos” podrían también constituir una solución discriminatoria en busca de un problema y contravenir los objetivos principales que fundamentan la ley de Vivienda Justa. Como deja claro este acuerdo, el Departamento de Justicia seguirá luchando contra las ordenanzas discriminatorias e ilegales “libre de delitos” en todo el país y trabajando para garantizar que todos tengan acceso justo y equitativo a la vivienda”.
“El derecho a una vivienda justa es fundamental y no debe vulnerarse”, declaró el Fiscal Federal del Distrito Central de California, Martin Estrada. “Este importante acuerdo con Hesperia evita que el llamado programa ‘libre de delitos’ devaste a individuos y familias con la conmoción emocional y las dificultades financieras que acompañan a los desalojos que se producen con poca antelación. El acuerdo de hoy y la orden por consentimiento traerán un cambio real a Hesperia y más allá”.
“Las políticas de vivienda discriminatorias con base en la raza y el origen nacional, incluyendo las sancionadas y aplicadas por los gobiernos locales, no tienen lugar en nuestra sociedad”, expresó Demetria L. McCain, la Secretaria Auxiliar Adjunta Principal de la Oficina de Vivienda Justa y Equidad de Oportunidades del Departamento de Vivienda y Desarrollo Urbano (HUD). “Este acuerdo envía un fuerte mensaje que HUD y DOJ seguirán trabajando juntos para enérgicamente aplicar las leyes de vivienda justa de nuestra nación”.
La demanda de los Estados Unidos
La demanda del Departamento, presentada en 2019 con base en una investigación de HUD, alegó que la Ciudad de Hesperia, con el apoyo sustancial del Departamento del Alguacil, promulgó un programa “libre de delitos” con la intención de abordar lo que un concejal de la Ciudad llamó un “problema demográfico”: la población creciente de afroestadounidenses y latinos en Hesperia.
El programa obligaba a todos los propietarios de viviendas de alquiler a desalojar a inquilinos cuando el Departamento del Alguacil les notificara que éstos habían participado en cualquier presunta “actividad delictiva” en la propiedad o en sus inmediaciones, independientemente de que esas alegaciones hubieran dado lugar a una detención, imputación o condena. Además, el programa animaba a los proveedores de vivienda a desalojar a familias enteras cuando solo un miembro de la unidad familiar participara en una supuesta actividad delictiva e incluso notificaba a los propietarios que debían desalojar a los supervivientes de violencia doméstica. También exigía a todos los propietarios que investigaran a los posibles inquilinos a través del Departamento del Alguacil, que notificaría a los propietarios si el solicitante había “violado” las normas del programa en el pasado. La Ciudad de Hesperia también aprobó posteriormente una ordenanza relativa a las licencias comerciales para viviendas de alquiler que hacía obligatoria la inscripción en el programa “libre de delitos” e imponía honorarios excesivos.
La demanda del Departamento se basó en parte en el análisis realizado por HUD, que mostró que los inquilinos afroestadounidenses tenían casi cuatro veces más probabilidades, y los inquilinos latinos un 29% más, de ser desalojados en virtud del programa que los inquilinos blancos. El análisis de HUD también mostró que más del 96% de las personas y los hogares desalojados en virtud de la ordenanza “libre de delitos” vivían en bloques censales de minorías mayoritarias, a pesar de que solo el 79% de los hogares de alquiler en Hesperia viven en tales bloques.
La demanda del Departamento alegó que cientos de personas fueron objeto de la ordenanza “libre de delitos” de Hesperia.
El programa tuvo impactos reales y devastadores en las familias de toda la Ciudad de Hesperia:
- Por ejemplo, una mujer afroestadounidense que vivía en Hesperia llamó repetidamente a la policía para que acudiera a su casa porque no se sentía segura con su novio. El Departamento del Alguacil le notificó al propietario de las numerosas llamadas por disturbios domésticos y le amenazó con un delito menor. El propietario obligó entonces a la mujer y a sus hijos a abandonar su casa. Sin ningún lugar a donde ir, la familia se mudó a un motel e intentó alquilar otra vivienda en Hesperia, pero las solicitudes fueron denegadas repetidamente. Al no poder alquilar otra vivienda para su familia en Hesperia, se vio obligada a desarraigar su vida, dejar atrás una casa llena de muebles y mudarse al otro lado del país.
- El programa también afectó a una mujer latina residente en Hesperia que llamó a la policía para pedir ayuda para su novio, que estaba sufriendo una crisis de salud mental en su casa. Cuando el Departamento del Alguacil llegó antes que los paramédicos, su novio fue detenido. La mujer recibió entonces un aviso de desalojo con base en la supuesta violación de la ordenanza, y se vio obligada a trasladarse temporalmente a un motel.
- Una familia afroestadounidense se vio separada después de que la llamada de ayuda de una madre a la policía contribuyera a que fueran desalojados de su hogar y enumerados en la lista de infractores, lo que hizo que les fuera imposible encontrar otro alquiler en Hesperia. Los padres se mudaron del área y tomaron la imposible decisión de dejar atrás a su hija adolescente para que finalizara la escuela superior.
Orden de consentimiento
Como parte de la resolución de este caso, Hesperia ya ha revocado su ordenanza “libre de delitos”, ha modificado la ordenanza de licencias de negocios de alquiler de viviendas y ha reducido los honorarios asociados con las licencias de negocios de alquiler de viviendas. El Departamento del Alguacil también ha acordado poner fin a la aplicación del programa “libre de delitos” de Hesperia.
Según la orden por consentimiento propuesta, que aún debe ser aprobada por el Tribunal Federal de Distrito para el Distrito Central de California, los demandados gastarán $950,000 y se comprometerán a importantes medidas cautelares para remediar los efectos de los programas “libre de delitos” y de licencias comerciales, entre las que se incluyen: un fondo de conciliación de $670,000 para compensar a las personas perjudicadas por el programa; el pago de $100,000 en sanción civil; financiación de $95,000 para mercadeo afirmativo con el fin de promover la vivienda justa en Hesperia; financiación de $85,000 dólares para asociaciones con organizaciones comunitarias; notificaciones a los administradores de propiedades, arrendadores y propietarios de los cambios en las ordenanzas y en la lista de honorarios; presentación de determinadas políticas, procedimientos y ordenanzas para su revisión y aprobación por los Estados Unidos antes de su adopción; adopción de políticas de no discriminación y procedimientos de queja; designación de coordinadores de derechos civiles; capacitación contra la discriminación; evaluación de las necesidades de vivienda justa; e informes periódicos al tribunal y a los Estados Unidos durante los cinco años de vigencia de la orden.
Las personas que crean haber sido perjudicadas por el programa “libre de delitos” de Hesperia pueden tener derecho a una indemnización con cargo al fondo de conciliación y deben ponerse en contacto con el Departamento de Justicia en [email protected] o en 1-833-223-1571.
La Ley federal de Vivienda Justa prohíbe la discriminación en la vivienda por motivos de raza, color de piel, religión, género, condición familiar, origen nacional o discapacidad. El título VI de la Ley de Derechos Civiles de 1964 prohíbe la discriminación por motivos de raza, color de piel u origen nacional en los programas y actividades que reciben ayuda financiera federal. Para más información acerca de la División de Derechos Civiles y las leyes que hace cumplir, vaya a https://www.justice.gov/espanol. Las personas pueden reportar incidentes de discriminación en la vivienda en línea en https://civilrights.justice.gov/, llamando a la línea informativa del Departamento de Justicia al 1-833-591-0291, enviando un correo electrónico a [email protected]. También se puede reportar tal discriminación llamando a HUD al 1-800-669-9777 o sometiendo un formulario de queja en https://portalapps.hud.gov/FHEO903/Form903/Form903Start.action?lang=es.
English
Eight men indicted for $114 million securities fraud scheme orchestrated through social mediaRead the Press Release
HOUSTON - A federal grand jury in the Southern District of Texas returned an indictment that was unsealed yesterday charging eight men with conspiracy to commit securities fraud for a long-running, social media-based “pump and dump” scheme.
Those indicted include Edward Constantinescu aka Constantin 38, of Montgomery; Perry “PJ” Matlock, 38, of The Woodlands; John Rybarczyk, 32, of Spring; Dan Knight, 23, of Houston; along with Gary Deel, 28, and Tom Cooperman, 34, both of Beverly Hills, California; Stefan Hrvatin, 35, of Miami, Florida; and Mitchell Hennessey, 23, of Hoboken, New Jersey. According to court documents, they allegedly engaged in a wide-ranging securities fraud conspiracy in which the they used their extensive social media presence on Twitter and Discord to hype interest in particular securities by posting false and misleading information in order to “pump” the prices of those securities, while concealing their intent to later “dump” their shares by selling them at the artificially inflated prices. From in or around January 2020 to in or around April 2022, the defendants allegedly profited at least approximately $114 million from their scheme.
“Securities fraud victimizes innocent investors and undermines the integrity of our public markets,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “As these charges demonstrate, the department will continue to prosecute those who defraud investors by spreading false and misleading information, including over social media, to line their own pockets.”
According to the indictment, the defendants collectively had over 1.5 million followers on Twitter to whom they allegedly disseminated false and misleading information about the securities that they pumped and dumped as part of the charged scheme. In addition to their Twitter presence, the defendants also allegedly ran an online community for individual stock traders called Atlas Trading, which defendants promoted as one of the largest, free online communities in the world for individual stock traders and which had a chatroom called Atlas Trading Discord. The defendants also allegedly used Atlas Trading Discord to disseminate false and misleading information about securities that they pumped and dumped as part of the charged scheme.
“We are committed to protecting the investing public from market manipulation schemes, regardless of how they are carried out,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas (SDTX). “As some use advances in technology and social media to prey upon the public, our office will be on the cutting edge of prosecuting this area of fraud.”
According to the indictment, the defendants allegedly used the following aliases on Twitter and Discord to perpetuate the scheme:
Defendant
Twitter Handle
Discord Handle
Edward Constantinescu
@MrZackMorris
Zack Morris#0001
Perry “PJ” Matlock
@PJ_Matlock
PJ Matlock#0001
John Rybarczyk
@Ultra_Calls
Ultra#0374
Gary Deel
@notoriousalerts
Mystic Mac [Clover emoji] #7345
Stefan Hrvatin
@LadeBackk
Lade Backk#6083
Tom Cooperman
@ohheytommy
TOMMY COOPS #5323
Mitchell Hennessey
@Hugh_Henne
HOODHUGHBEAR [Bear emoji] #4034
Daniel Knight
@DipDeity
Dan, Deity of Dips#8114
As further alleged in the indictment, the defendants used their social media credibility to maximize their own profits at the expense of their followers, holding themselves out as skilled stock traders by posting pictures showcasing their profits and extravagant lifestyles and encouraging people to follow them on social media in order to share in their financial gains.
“Corporate fraud remains a priority for the FBI as it victimizes investors and erodes public confidence in the securities markets,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners remain committed to identifying, investigating and pursuing those who seek to undermine the U.S. financial market and investors.”
All defendants are charged with one count of conspiracy to commit securities fraud. Additionally, Constantin is charged with three counts of securities fraud and one count of engaging in monetary transactions in property derived from specified unlawful activity; Matlock and Deel are both charged with five counts of securities fraud; Rybarczyk is charged with four counts of securities fraud; and Hrvatin, Cooperman and Hennessey are each charged with two counts of securities fraud.
The defendants made their initial court appearances yesterday. If convicted, each defendant faces a maximum penalty of 25 years in prison for conspiracy to commit securities fraud and each charged count of securities fraud. Constantin also faces a maximum penalty of 10 years in prison if convicted of engaging in unlawful monetary transactions.
The FBI Houston Field Office is investigating the case.
SDTX Assistant U.S. Attorney Thomas “Heyward” Carter III and Assistant Chief Scott Armstrong and Trial Attorney John J. Liolos of the Criminal Division’s Fraud are prosecuting the case.
If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at [email protected]. You are also encouraged to visit our webpage for this case at https://www.justice.gov/criminal-vns/case/united-states-v-constantinescu-et-al.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Eight Utah Residents Charged with $100 Million Worth of Fraud and Money Laundering Schemes Involving the Sale of Dietary SupplementsRead the Press Release
UPDATE
Upon Motion of the United States, the indictment described in the press release below against Barbara Jo Jackson, in this case was dismissed on May 28, 2025.
SALT LAKE CITY, Utah – Multiple people were indicted by a federal grand jury in the District of Utah for their participation in a fraudulent online scheme through which they obtained more than $100 million of credit and debit card processing from financial institutions and payment processors.
As charged in the indictment, the defendants allegedly committed 18 counts of criminal activity, including Conspiracy to Commit Wire Fraud, Conspiracy to Commit Bank Fraud, Conspiracy to Commit Money Laundering, Wire Fraud, Aggravated Identity Theft and Money Laundering Aiding and Abetting.
According to the indictment, from at least January 2016 through April 2022, April Gren Bawden, 36, of Salt Lake County; Chad Austin Bawden, 43, of Salt Lake County; Makaio Lyman Crisler, 39, of Utah County; Phillip Gannuscia, 52, of Salt Lake County and Puerto Rico; Dustin Garr, 44, of Washington County; Barbara Jo Jackson, 69, of Utah County; Brent Goldburn Knudson, 42, of Utah County; Robert McKinley, 45, of Spokane, Washington; and Richard Scott Nemrow, 42, of Utah County, knowingly devised and executed a scheme and artifice to defraud, obtain money and property by means of materially false and fraudulent pretenses, representations and promises, and omissions of material facts. The scheme involved the sale of dietary supplements that were sold to consumers using misleading and fraudulent practices. In order to effectuate their scheme, the defendants recruited and paid “straw owners” for use of their personal information to create sham LLCs to obtain merchant processing accounts for defendants to process the sales of the products. The proceeds of the scheme were transferred to the defendants, who then purchased items such as a Lamborghini Urus, a 2020 Porsche 911 convertible, and a 2021 Nautique Paragon boat.
U.S. Attorney Trina A. Higgins of the District of Utah and IRS Criminal Investigation made the announcement.
Assistant U.S. Attorneys, Jamie Thomas, Jennifer Muyskens, and Cy Castle from the U.S. Attorney’s Office for the District of Utah are prosecuting the case. Special Agents from IRS Criminal Investigations and FDA Office of Criminal Investigations are conducting the investigation.
Indictments are not findings of guilt. Defendants charged in indictments are presumed innocent unless or until proven guilty in court.
Eight Men Indicted for $114 Million Securities Fraud Scheme Orchestrated Through Social MediaRead the Press Release
A federal grand jury in the Southern District of Texas returned an indictment that was unsealed yesterday charging eight men with conspiracy to commit securities fraud for a long-running, social media-based “pump and dump” scheme.
According to court documents, Edward Constantinescu, aka Constantin, 38, of Montgomery, Texas; Perry “PJ” Matlock, 38, of The Woodlands, Texas; John Rybarczyk, 32, of Spring, Texas; Gary Deel, 28, of Beverly Hills, California; Stefan Hrvatin, 35, of Miami, Florida; Tom Cooperman, 34, of Beverly Hills, California; Mitchell Hennessey, 23, of Hoboken, New Jersey; and, Dan Knight, 23, of Houston, Texas, allegedly engaged in a wide-ranging securities fraud conspiracy in which the defendants used their extensive social media presence on Twitter and Discord to hype interest in particular securities by posting false and misleading information in order to “pump” the prices of those securities, while concealing their intent to later “dump” their shares by selling them at the artificially inflated prices. From in or around January 2020 to in or around April 2022, the defendants profited at least approximately $114 million from their scheme.
“Securities fraud victimizes innocent investors and undermines the integrity of our public markets,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “As these charges demonstrate, the department will continue to prosecute those who defraud investors by spreading false and misleading information, including over social media, to line their own pockets.”
According to the indictment, the defendants collectively had over 1.5 million followers on Twitter to whom they allegedly disseminated false and misleading information about the securities that they pumped and dumped as part of the charged scheme. In addition to their Twitter presence, the defendants also allegedly ran an online community for individual stock traders called Atlas Trading, which defendants promoted as one of the largest, free online communities in the world for individual stock traders and which had a chatroom called Atlas Trading Discord. The defendants also allegedly used Atlas Trading Discord to disseminate false and misleading information about securities that they pumped and dumped as part of the charged scheme.
“We are committed to protecting the investing public from market manipulation schemes, regardless of how they are carried out,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “As some use advances in technology and social media to prey upon the public, our office will be on the cutting edge of prosecuting this area of fraud.”
According to the indictment, the defendants allegedly used the following aliases on Twitter and Discord to perpetuate the scheme:
Defendant
Twitter Handle
Discord Handle
Edward Constantinescu
@MrZackMorris
Zack Morris#0001
Perry “PJ” Matlock
@PJ_Matlock
PJ Matlock#0001
John Rybarczyk
@Ultra_Calls
Ultra#0374
Gary Deel
@notoriousalerts
Mystic Mac [emoji of four-leaf clover]#7345
Stefan Hrvatin
@LadeBackk
Lade Backk#6083
Tom Cooperman
@ohheytommy
TOMMY COOPS #5323
Mitchell Hennessey
@Hugh_Henne
HOODHUGHBEAR[emoji of an ox]#4034
Daniel Knight
@DipDeity
Dan, Deity of Dips#8114
As further alleged in the indictment, the defendants used their social media credibility to maximize their own profits at the expense of their followers, holding themselves out as skilled stock traders by posting pictures showcasing their profits and extravagant lifestyles, and encouraging people to follow them on social media in order to share in their financial gains.
“Corporate fraud remains a priority for the FBI as it victimizes investors and erodes public confidence in the securities markets,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners remain committed to identifying, investigating, and pursuing those who seek to undermine the U.S. financial market and investors.”
"Financial crimes like securities fraud may not be violent, but they certainly are not victimless," said Special Agent in Charge James Smith. "The eight individuals arrested today are accused of costing investors, specifically their social media followers who trusted them, millions of dollars by a ‘pump and dump’ market manipulation scheme they allegedly carried out on popular social media platforms. As the lead agency investigating corporate fraud, the FBI was able to uncover their alleged manipulative activity and expose their coordinated pattern of securities fraud."
All defendants are charged with one count of conspiracy to commit securities fraud. Additionally, Constantin is charged with three counts of securities fraud and one count of engaging in monetary transactions in property derived from specified unlawful activity; Matlock and Deel are both charged with five counts of securities fraud; Rybarczyk is charged with four counts of securities fraud; and Hrvatin, Cooperman, and Hennessey are each charged with two counts of securities fraud.
The defendants made their initial court appearances yesterday. If convicted, each defendant faces a maximum penalty of 25 years in prison for conspiracy to commit securities fraud and each charged count of securities fraud. Constantin also faces a maximum penalty of 10 years in prison if convicted of engaging in unlawful monetary transactions. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Houston Field Office is investigating the case.
Assistant Chief Scott Armstrong and Trial Attorney John J. Liolos of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Thomas “Heyward” Carter III for the Southern District of Texas are prosecuting the case.
If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at [email protected]. You are also encouraged to visit our webpage for this case at https://www.justice.gov/criminal-vns/case/united-states-v-constantinescu-et-al.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Eagle Grove Man Off to Federal Prison for Meth and Firearm ConvictionsRead the Press Release
Russell Spencer, age 40, from Eagle Grove, Iowa, was sentenced on December 8, 2022, to ten years in federal prison in Sioux City, Iowa.
On August 4, 2022, Spencer pled guilty to one count of conspiracy to distribute methamphetamine; one count of possession with intent to distribute methamphetamine; one count of possession with intent to distribute marijuana; three counts of distribution of methamphetamine; and one count of possession of firearms by a prohibited person.
At the plea and sentencing hearings, evidence showed that between 2021 and January 20, 2022, Spencer and others involved in the conspiracy, participated in the distribution of at least 1.5 kilograms of mixed methamphetamine. Spencer was a mid-level methamphetamine dealer in Central Iowa, with both Iowa and California sources of supply. Spencer made several trips to California, to acquire and transport back to Iowa, multiple pounds of methamphetamine for further distribution in the Central Iowa area. Spencer also utilized package delivery by the US Postal Service for delivery of methamphetamine from California to Iowa, for further distribution. In late 2021 and early 2022, law enforcement made three controlled methamphetamine buys from Spencer, for a total of more than 110 grams of actual/pure methamphetamine. On January 20, 2022, law enforcement executed a search warrant at Spencer’s residence, seizing 172.88 grams actual methamphetamine, 427.5 grams of marijuana, and two handguns, an unloaded Ruger 9 mm in a shed and a loaded .22 caliber revolver, in kitchen.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Spencer was sentenced to 120 months’ imprisonment with terms on all counts served concurrently and must serve a 5-year term of supervised release following imprisonment. There is no parole in the federal system. Spencer remains in custody of the United States Marshal until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by Iowa Division of Narcotics Enforcement, Wright 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 22-3004. Follow us on Twitter @USAO_NDIA.
Ecuadorian Man Pleads Guilty to Cocaine ConspiracyRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Eliecer Pineda Torres, 52, of Ecuador, pleaded guilty before Magistrate Judge Emile Henderson, III, to conspiracy to possess with intent to distribute cocaine while on board a vessel subject to the jurisdiction of the United States. Sentencing for Torres has been scheduled for April 14, 2023.
According to court documents, on November 15, 2021, while on routine patrol in the eastern Pacific Ocean, the United States Coast Guard (USCG) Cutter HAMILTON spotted a 52’ low-profile vessel approximately 77 nautical miles north of the Galapagos Islands, Ecuador. The unnamed vessel, outfitted with three outboard engines, had no flag flown or registration number. Onboard the vessel were individuals later identified as Luis Rodriguez, Eliecer Pineda Torres, Carlos Benitez Estupinan and Anthony Cuero Garcia. Neither individual claimed to be master nor nationality of the vessel thereby making the vessel subject to the jurisdiction of the United States. During an inspection of the vessel, USCG crew members found approximately 43 bales of suspected cocaine. A field tests was conducted which yielded positive results for the presence of cocaine. The total weight for the suspected cocaine was approximately 1,298 kilograms. A Drug Enforcement Administration laboratory analysis later concluded that the suspected substance tested positive for cocaine hydrochloride. Defendants Rodriguez of Columbia and Benitez Estupinan and Cuero Garcia of Ecuador also pleaded guilty to cocaine conspiracy. At sentencing, the defendants face a mandatory minimum sentence of ten years of imprisonment and a maximum of life, plus deportation. A federal District Court judge will determine their sentence after considering the U.S. Sentencing Guidelines and other factors.
This case was investigated by the United States Coast Guard, Customs and Border Protection and Drug Enforcement Administration and is being prosecuted by Assistant United States Attorney Melissa P. Ortiz. 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.
Dominican Man Indicted for Illegal ReentryRead the Press Release
BOSTON – A Dominican man has been indicted by a federal grand jury in Boston for illegally reentering the United States after deportation.
Felix Bienvenido Gonzalez-Arias, a/k/a “Victor Manuel Trinidad-Lugo,” 38, was indicted on one count of unlawful reentry of a deported alien. He will appear in federal court in Boston on Dec. 16, 2022.
According to the indictment, on Sept. 1, 2022, in Middleton, Gonzalez-Arias was found to have reentered the United States after previously being deported in April 2018.
The charge of unlawful reentry of a deported alien provides for a sentence of up to 20 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 and Todd Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations made the announcement today. Assistant U.S. Attorney Luke A. Goldworm of Rollins’ Major Crimes Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Detroit man sentenced to 12 years for his role in a drug conspiracyRead the Press Release
CLARKSBURG, WEST VIRGINIA – Kevin Lawrence Jarrett, of Detroit, Michigan, was sentenced today to 151 months of incarceration for his role in a drug trafficking conspiracy, United States Attorney William Ihlenfeld announced.
Jarrett, also known as “Six,” 32, pleaded guilty in July 2022 to one count of “Distribution of Five Grams or More of Methamphetamine.” Jarrett admitted to distributing more than five grams of methamphetamine, also known as “crystal” and “ice,” in in august 2019 in Marion County.
Assistant U.S. Attorney Brandon S. Flower prosecuted the case on behalf of the government. The Three Rivers Drug Task Force investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Derry, PA Man Pleads Guilty to Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH - A former resident of Derry, Pennsylvania, pleaded guilty in federal court to charges involving the sexual exploitation of minors, United States Attorney Cindy K. Chung announced today.
Michael Wilson, age 44, pleaded guilty to six counts before United States District Judge J. Nicholas Ranjan.
In connection with the guilty plea, the court was advised that on multiple occasions during 2019 through May 15, 2021, Wilson attempted to and did use, persuade, induce, entice, and coerce various minors to engage in sexually explicit conduct for the purpose of producing any visual depiction of such conduct. Further, the court was advised that from September 2019 to October 2019, Wilson distributed visual depictions, namely, images in computer graphic and digital files, the production of which involved the use of a minor engaging in sexually explicit conduct and, on May 15, 2021, Wilson knowingly possessed visual depictions, namely, videos and images in computer graphic and digital files, the production of which involved the use of minors engaging in sexually explicit conduct.
Judge Ranjan scheduled sentencing for March 30, 2023, at 11:00 a.m. The law provides for a total sentence of not less than fifteen 15 years and not more than life imprisonment, a fine of up to $2,500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history of the defendant.
Pending sentencing, Wilson remains detained.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
Homeland Security Investigations – Pittsburgh, the Pennsylvania State Police, and the Derry Police Department conducted the investigation that led to the prosecution of Wilson.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Cumberland County Man Sentenced to Eight Years in Prison for Child PornographyRead the Press Release
CAMDEN, N.J. – A Cumberland County, New Jersey, man was sentenced today to 96 months in prison for distributing and possessing images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced.
Edwin Torres, aka “Macho Torres,” 39, of Bridgeton, New Jersey, previously pleaded guilty before U.S. District Judge Karen M. Williams to one possession of child pornography. Judge Williams imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
In May 2020, a user of a social media application uploaded to a public chat group multiple videos of child sexual abuse from an internet provider address linked to Torres’ residence. In September 2021, law enforcement agents executed search warrants at Torres’ residence and on a Google account associated with the social media account used to distribute the videos in May 2020. The Google account, which also had been accessed from Torres’ residence, contained over 100 videos of child sexual abuse, including videos whose content matched the videos distributed in May 2020. During the search of Torres’ residence, agents seized Torres’ cellular telephone, which had been used to access the same Google account.
In addition to the prison term, Judge Williams sentenced Torres to five years of supervised release and ordered him to pay $15,000 in restitution.
U.S. Attorney Sellinger credited special agents of the FBI Newark Child Exploitation and Human Trafficking Task force, and the Atlantic City Resident Agency, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to today’s sentencing. He also thanked the Cumberland County Prosecutor’s Office, under the direction of Prosecutor Jennifer Webb-McRae, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the Camden Office.
Connecticut Man Pleads Guilty to Drug Trafficking ChargesRead the Press Release
CONCORD – Jabreel A. Amir, 41, of Waterbury, Connecticut, pleaded guilty in federal court to drug trafficking charges, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, in May 2022, Amir arranged with an individual who was cooperating with the United States Drug Enforcement Administration (“DEA”) to deliver a quantity of cocaine to this individual in New Hampshire. On May 9, 2022, law enforcement officers surveilled Amir as he travelled from Waterbury, Connecticut to New Hampshire to conduct the drug sale and stopped Amir’s vehicle in Concord, New Hampshire. A search of Amir’s vehicle resulted in the seizure of approximately more than 2 kilograms of cocaine.
Amir is scheduled to be sentenced on March 22, 2023.
This matter was investigated by the United States Drug Enforcement Administration with the assistance of the New Hampshire State Police. The case is being prosecuted by Assistant U.S. Attorney Jennifer C. Davis.
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Concord Man Pleads Guilty to Firearms OffensesRead the Press Release
CONCORD – Brandon Dumont, 30, of Concord, pleaded guilty in federal court to making a false statement in connection with the attempted acquisition of a firearm, and possession of firearms and ammunition by a prohibited person, United States Attorney Jane E. Young announced today.
According to statements made in court, Dumont is prohibited from possessing firearms and ammunition by virtue of a prior felony conviction. On April 2, 2022, Dumont attempted to purchase a rifle from Wal-Mart, a federally licensed firearms dealer, in North Conway, New Hampshire. Dumont falsely represented that he had never been convicted of a felony when, in fact, he had previously been convicted of a felony. On April 8, 2022, Dumont purchased over 400 rounds of ammunition from a gun store in Hooksett, New Hampshire. On April 11, 2022, Dumont possessed three firearms, including a revolver and a .45 caliber pistol
Dumont is scheduled to be sentenced on March 21, 2023.
The case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives, the Concord Police Department, and the Londonderry Police Department. It is being prosecuted by Assistant U.S. Attorney Anna Krasinski and Assistant U.S. Attorney Aaron Gingrande.
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Clearfield Man Sentenced to 120 Months in Prison for Conspiring to Distribute MethamphetamineRead the Press Release
JOHNSTOWN, Pa. – A resident of Clearfield, PA, has been sentenced in federal court to a total of 120 months in prison followed by 5 years of supervised release on his conviction of conspiracy to distribute methamphetamine, United States Attorney Cindy K. Chung announced today.
Senior United States District Judge Kim R. Gibson imposed the sentence on Logan Mactavish, age 40.
According to information presented to the court, from July 2019 to June 2020, Mactavish conspired to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Ms. Chung commended the Drug Enforcement Administration and the Pennsylvania State Police for the investigation that led to the successful prosecution of Mactavish. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Homeland Security Investigations, Pennsylvania Office of the Attorney General, Clearfield County District Attorney’s Office, Erie County District Attorney’s Office, Millcreek Police Department, Erie Bureau of Police, and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
CEO of Medical Device Company Sentenced to Two Years in Prison for Tax EvasionRead the Press Release
MINNEAPOLIS– A Mounds View man has been sentenced to 24 months in prison followed by two years of supervised release and ordered to pay $6,058,980 in restitution for failing to pay payroll taxes for several years, announced U.S. Attorney Andrew M. Luger.
According to the plea agreement and other court documents, Larry Wallace Lindberg, 68, was a pharmacist and the CEO of Midwest Medical Holdings LLC, a Mounds View-based pharmaceutical and medical equipment company. As the owner and CEO of the company, Lindberg was responsible for filing tax returns and paying taxes on behalf of the company. Lindberg failed to pay the Internal Revenue Service (“IRS”) several hundred thousand dollars in federal payroll taxes each quarter. In all, Lindberg owes more than $6 million to the IRS.
Beginning in 2011, the IRS spent years attempting to collect on the tax debt. Lindberg entered into several installment agreements with the IRS in which he agreed to make regular payments towards the tax debt, but ultimately failed to make the payments and defaulted on each of the agreements. When the IRS attempted to collect on the tax debt, Lindberg took steps to evade the collection efforts by hiding his assets from the IRS. Among other things, Lindberg regularly diverted money from his company to other entities and used it to purchase real estate and other assets, and to fund his personal lifestyle. He also put assets in the name of his children, including an airplane, airplane hangar, and two vacation homes in Florida, in order to conceal his ownership and control from the IRS.
Lindberg pleaded guilty on April 21, 2022, to one count of tax evasion. Lindberg was sentenced today in U.S. District Court by Judge Katherine M. Menendez
This case is the result of an investigation conducted by the IRS Criminal Investigation Division.
Assistant U.S. Attorney Joseph H. Thompson prosecuted the case.
Boston Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
BOSTON – A Boston man pleaded guilty today to drug trafficking offenses in connection with distributing multiple kilograms of fentanyl and thousands of counterfeit fentanyl pills to undercover agents.
Luis Sonier Bautista Moreta, 26, pleaded guilty to two counts of distribution and possession with intent to distribute 400 grams or more of fentanyl and one count of possession with intent to distribute 40 grams or more of fentanyl. U.S. District Court Judge Richard G. Stearns scheduled sentencing for April 26, 2023. Bautista was indicted in January 2022 and has been in custody since his arrest in November 2021.
Bautista’s relative negotiated two sales of fentanyl to an undercover officer. Bautista handled the sales transactions, which took place on Oct. 22, 2021 in Attleboro and on Nov. 1, 2021 in Dorchester. Both times, Bautista entered the car of a cooperating source acting on behalf of the undercover officer and delivered fentanyl. The first transaction involved one kilogram of fentanyl and 6,000 counterfeit pills containing fentanyl; the second transaction involved an additional kilogram of fentanyl. Bautista’s relative arranged for Bautista to sell 1,000 more pills to the undercover officer on Nov. 5, 2021, but Bautista left before completing the deal. , On Nov. 10, 2021, a search of Bautista’s residence resulted in the seizure of 1,000 pills containing fentanyl.
The charge of distribution and possession with intent to distribute 400 grams or more of fentanyl provides for a sentence of at least 10 years and up to life in prison, at least five years and up to life of supervised release, and a fine of up to $10 million. The charge of possession with intent to distribute 40 grams or more of fentanyl provides for a sentence of at least five years and up to 40 years in prison, at least four years and up to life of supervised release, and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Valuable assistance in the investigation was provided by the Boston Police Department. Assistant U.S. Attorney Samuel R. Feldman of Rollins’ Narcotics & Money Laundering Unit is prosecuting the case.
Bvi Man Pleads Guilty to Cocaine ConspiracyRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Shannon John, 37, of Tortola, British Virgin Islands, pleaded guilty before Magistrate Judge Emile A. Henderson, III, to Conspiracy to Possess with intent to Distribute Cocaine while onboard a Vessel Subject to the Jurisdiction of the United States.
According to court documents, on January 9, 2022, Customs and Border Protection Air and Marine agents detected a vessel with bales of suspected cocaine in plain view on the deck of the vessel. The vessel was traveling on the northeast side of St. Croix heading north towards the British Virgin Islands. Upon further investigation, agents encountered a 32-foot Manta low-profile vessel with twin 300 HP outboard engines located at approximately 19 nautical miles northeast of St. Croix in international waters in an area known by law enforcement for drug trafficking. The vessel was dead in the water and displayed no indicia of nationality, flag nor registration, and was determined to be a vessel without nationality, thus subject to the jurisdiction of the United States. Onboard the vessel, agents discovered four occupants later identified as Shannon John, Sean John, Emmanuel Tolentino-Lebron and Augusto Rodriguez-Molina, along with 21 bales wrapped in plastic and encased in rope. Drug Enforcement Administration laboratory analysis later confirmed that the bales recovered from the vessel contained approximately 567 kilograms of cocaine hydrochloride. Defendants Sean John and Tolentino-Lebron pleaded guilty on December 7, 2022, to the conspiracy charge. At sentencing, the defendants face a mandatory minimum sentence of 10 years in prison. A federal District Court judge will determine their sentence after considering the U.S. Sentencing Guidelines and other factors.
This case was investigated by the United States Coast Guard, Homeland Security Investigation, Customs and Border Protection and Drug Enforcement Administration and is being prosecuted by Assistant United States Attorney Melissa P. Ortiz. 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.
Armed Indianapolis Drug Dealer Sentenced to 55 Months in Federal Prison for Trafficking Heroin and CocaineRead the Press Release
INDIANAPOLIS- Donte Hill, 31, of Indianapolis, was sentenced to 55 months in federal prison for Possession with Intent to Distribute Heroin and Cocaine.
According to court documents, on March 1, 2022, at approximately 7:30pm, Indianapolis Metropolitan Police Department (IMPD) officers responded to reports of shots fired near the area of 21st Street and Post Road. Upon their arrival, officers observed a Black Audi SUV stopped at a nearby intersection with a missing rear-end license plate. At 21st and Sussex Avenue, officers activated their emergency overhead lights and attempted to stop the Audi for the violation. The driver, later identified as Donte Hill, fled at a high rate of speed, and led officers on a chase covering approximately two miles before he fishtailed and crashed into an unmarked police vehicle near 38th Street and Tutor Park Drive.
Donte Hill exited the driver side of the inoperable Audi and fled the scene on foot. As officers gave chase, they observed Hill put his right hand directly inside his hooded sweatshirt. The handle of a firearm was protruding from the front pocket. Hill continued to ignore verbal commands from law enforcement officers and fled toward Mitthoeffer road, running through thick vegetation and brush. Officers were able to make contact with Hill and placed him under arrest.
Officers located a black handgun, $1,278 in cash, a .45 caliber magazine and approximately 14 grams of cocaine on Hill’s person. At the time of his arrest, Hill was also wearing a body armor vest. A search of the Audi led to the discovery of another firearm, a digital scale, 21.8 grams of heroin, approximately 69 grams of marijuana, and approximately 48 grams of marijuana edibles. In his guilty plea, Hill admitted he intended to distribute the illegal drugs.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division, and IMPD Chief Randal Taylor made the announcement.ATF and IMPD investigated the case. The sentence was imposed by U.S. District Chief Judge Tanya Walton Pratt. As part of the sentence, Judge Pratt ordered that Hill be supervised by the U.S. Probation Office for 3 years following his release from federal prison. Hill was also issued a $500.00 fine.
U.S. Attorney Myers thanked Assistant United States Attorney Peter A. Blackett, who prosecuted this 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.
Anchorage Woman Sentenced to 20 Years for KidnappingRead the Press Release
ANCHORAGE – An Anchorage woman was sentenced today by U.S. District Judge Joshua M. Kindred to 20 years in prison for kidnapping an 18-year-old victim.
According to court documents, Nellie Sherry Serradell, 28, attempted to stop multiple vehicles as she walked in and out of traffic on Dimond Boulevard in the early morning hours of November 17, 2019. The 18-year-old-victim was driving to work at 5:48 a.m. when Serradell ran in front of her vehicle at Dimond and C Street. The victim agreed to give Serradell a ride to her workplace. When they arrived in the parking lot, Serradell grabbed the victim and told her she had a gun and that she needed to keep driving. After punching the victim in the face several times, Serradell directed her to drive to a trailer park on Muldoon Road where she sexually assaulted the victim. In an effort to get Serradell to stop, the victim offered to give her money and Serradell agreed they could drive to an ATM machine. As they drove, Serradell fell asleep and the victim pulled into a gas station on 15th Ave., quietly got out of the car, went inside and called 911. Serradell woke up, saw the victim in the gas station, and drove off in the victim’s car. Serradell was arrested the next day in a nearby motel, wearing the victim’s brown Bearpaw boots. Investigators recovered the victim’s car abandoned on Boniface Parkway and found Serradell’s DNA in two places inside the passenger compartment. She pleaded guilty to the federal kidnapping charge on July 25, 2022.
“The victim was trying to be a good Samaritan, helping someone who was flagging down cars in the street,” said U.S. Attorney S. Lane Tucker for the District of Alaska. “The defendant took advantage of the victim’s kind nature by kidnapping and assaulting her. When individuals such as the defendant threaten the safety our community, they will be met with certain justice.”
The FBI and the Anchorage Police Department investigated the case.
Assistant U.S. Attorney Christopher Schroeder prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Academy Mortgage Corporation Agrees to Pay $38.5 Million to Settle False Claims Act Allegations Related to Mortgages Insured by the Federal Housing AdministrationRead the Press Release
Mortgage company Academy Mortgage Corporation (Academy), based in Draper, Utah, has agreed to pay $38.5 million to resolve allegations it violated the False Claims Act by improperly originating and underwriting mortgages insured by the Federal Housing Administration (FHA).
The settlement announced today resolves a lawsuit filed and litigated by former Academy underwriter Gwen Thrower (Thrower) against Academy under the qui tam or whistleblower provisions of the False Claims Act, which permit a private party (known as a relator) to file a lawsuit on behalf of the United States and receive a portion of any recovery.
In her lawsuit filed in the Northern District of California, Thrower alleged that from January 2008 through April 2017, Academy had an underwriting process that led employees to disregard FHA rules and falsely certify compliance with underwriting requirements. Thrower further alleged that, as a result of Academy’s knowingly deficient mortgage underwriting practices, the government paid insurance claims on loans improperly underwritten by Academy.
“Lenders that knowingly cause the government to guarantee loans that are materially deficient put both homeowners and the public fisc at risk,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The settlement announced today is a result of the relator’s efforts to develop this case in litigation and complements the department’s actions to prevent abuse of government programs designed to foster home ownership.”
Under the terms of the settlement, Academy will pay $38,500,000 to the United States. Thrower will receive $11,511,500 as her share of the settlement proceeds.
The case is captioned United States of America ex rel. Gwen Thrower v. Academy Mortgage Corporation, No. 3:16-cv-2120-EMC, and was monitored by the U.S. Attorney’s Office for the Northern District of California and the Civil Division’s Commercial Litigation Branch.
The department has recovered billions of dollars under the False Claims Act from other lenders accused of knowingly violating FHA underwriting requirements.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
11 Members of Bronx “Wash” Gang Charged with Murder, Racketeering, and Related Violent OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Frank A. Tarentino III, Special Agent in Charge of the New York Office of the Drug Enforcement Administration (“DEA”), and Keechant L. Sewell, Commissioner of the New York City Police Department (“NYPD”), announced the unsealing today of a Superseding Indictment charging Boss Terrell, a/k/a “Sauce,” Yaurel Centeno, a/k/a “Flex,” Lydell Seymore, a/k/a “Bugout,” Darrell Spencer, a/k/a “Rell,” Isaiah Thomas, a/k/a “Zay,” a/k/a “Chicago,” Jacob Baker, Tyshawn Brogdon, a/k/a “Shawn,” Rasheed Chapman, a/k/a “Ra,” Mamadou Diallo, a/k/a “Haji,” a/k/a “Aladje,” Antwan Mosley, a/k/a “Ant,” and Noel Carr, a/k/a “Noey,” with racketeering conspiracy and other crimes related to their membership in “WashSide” or “Wash,” a street gang based in the Bronx, New York. TERRELL, CENTENO, and SPENCER were also charged with the murder of Tyrone Almodovar, who was shot to death on June 26, 2020, in the Morrisania neighborhood in the South Bronx. TERRELL, THOMAS, BAKER, CHAPMAN, MOSLEY, and CARR were further charged with multiple other violent crimes in aid of racketeering, including attempted murder and assault with a dangerous weapon, arising from three further shootings and one slashing similarly committed in the South Bronx between July 2020 and August 2022. CENTENO, SEYMORE, THOMAS, BROGDON, and DIALLO were also charged for their role in committing four robberies, two of which were carjackings. The case is assigned to United States District Judge Jesse M. Furman.
TERRELL was already in custody in connection with charges contained in a previous indictment in this case. SEYMORE is in federal custody in connection with charges filed in another case in Manhattan federal court. CENTENO and DIALLO are in federal custody serving prison sentences in connection with prior federal cases in this District. THOMAS and CARR are in state custody and will be transferred into federal custody. SPENCER, BROGDON, CHAPMAN, and MOSLEY were arrested this morning in the South Bronx and East Harlem and are expected to be presented later today before Chief United States Magistrate Judge James L. Cott. BAKER is a fugitive.
U.S. Attorney Damian Williams said: “The members of ‘Wash,’ as alleged in today’s charges, terrorized neighborhoods in the Bronx and beyond by killing, shooting, slashing, and robbing other people. Through these charges, we will hold Wash’s members accountable not only for the murder of Tyrone Almodovar, but for countless other crimes they committed in New York City and other states across the country.”
DEA Special Agent in Charge Frank A. Tarentino III said: “Gang violence and drug trafficking are plagues to New Yorkers quality of life. The gang members charged today spread violence, terror, and dangerous drugs like Spice/K2 and crack cocaine throughout our city streets. Thanks to the tenacity of the New York City Police Department, members of DEA’s Group D-22, and U.S. Attorney’s Office for the Southern District of New York, eleven members of the “Wash” Gang are facing the consequences of their alleged crimes.”
NYPD Commissioner Keechant L. Sewell said: “Today, New York City is safer because of the dedicated efforts of our NYPD investigators and our law enforcement partners. This case is further proof that the deadly combination of gangs, guns, and drugs will never be tolerated in our city, and that the NYPD will always work to hold every violent offender accountable for their actions. I want to thank the U.S. Attorney’s Office for the Southern District of New York, the Drug Enforcement Administration’s New York Division, and everyone else who contributed to this important investigation.”
According to the allegations in the Superseding Indictment filed today in federal court and statements previously made on the record in this case and related matters:[1]
From at least 2015 to 2022, the members of “WashSide” or “Wash,” a criminal enterprise based in the Bronx, New York, committed multiple acts of violence against members of rival street gangs and others. To make money for the gang, protect the gang’s territory, and promote the gang’s standing, members of Wash engaged in, among other things, armed robberies and carjackings, drug trafficking, wire fraud, and violence, including murder, attempted murder, and assaults with dangerous weapons. The members of Wash also travelled outside New York City and New York State, robbing and stealing from stores across the Northeast and in other states. In social media posts, the members of Wash celebrated all of the above criminal conduct.
For years, Wash engaged in disputes with rival crews in the South Bronx, which resulted in numerous acts of violence. Among these were the following:
- The murder of Tyrone Almodovar after a car chase in the Bronx on June 26, 2020, in which TERRELL, SEYMORE, CENTENO and SPENCER all participated;
- TERRELL shot at rival gang members on July 29, 2020;
- THOMAS and MOSLEY participated in a drive-by shooting that targeted rival gang members but injured two innocent bystanders on August 21, 2021; and
- BAKER and CHAPMAN participated in another shooting that similarly resulted in an innocent bystander being struck on August 19, 2022.
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A chart containing the names of the defendants who were charged today and the charges and minimum and maximum penalties they face is attached. The statutory minimum and maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by a judge.
Mr. Williams praised the outstanding investigative work of the NYPD and DEA and also thanked the Bureau of Alcohol, Tobacco, Firearms, and Explosives as well as the Bronx County District Attorney’s Office for their assistance in this case.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Courtney L. Heavey and Thomas John Wright are in charge of the prosecution.
The charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defendant
Age
Charges
Minimum and Maximum Penalties
Boss Terrell,
a/k/a “Sauce”
22
Racketeering Conspiracy, Conspiracy to Commit Murder in Aid of Racketeering, Murder in Aid of Racketeering, Use of a Firearm Resulting in Death, Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering, Use of a Firearm for Attempted Murder and Assault with a Dangerous Weapon
Mandatory life in prison or death
YAUREL CENTENO,
a/k/a “Flex”
21
Racketeering Conspiracy, Conspiracy to Commit Murder in Aid of Racketeering, Murder in Aid of Racketeering, Use of a Firearm Resulting in Death, Robbery
Mandatory life in prison or death
Lydell Seymore,
a/k/a “Bugout”
19
Racketeering Conspiracy, Carjacking, Robbery, Use of a Firearm for Carjacking and Robbery
Maximum of life in prison; mandatory minimum seven years in prison to run consecutive to any other sentence
Darrell Spencer,
a/k/a “Rell”
25
Racketeering Conspiracy, Conspiracy to Commit Murder in Aid of Racketeering, Murder in Aid of Racketeering, Use of a Firearm Resulting in Death
Mandatory life in prison or death
Isaiah Thomas,
a/k/a “Zay,”
a/k/a “Chicago”
24
Racketeering Conspiracy, Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering, Use of a Firearm for Attempted Murder and Assault with a Dangerous Weapon; Robbery, Use of a Firearm for Robbery
Maximum of life in prison; mandatory minimum 17 years to run consecutive to any other sentence
Jacob Baker
18
Racketeering Conspiracy, Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering, Use of a Firearm for Attempted Murder and Assault with a Dangerous Weapon
Maximum of life in prison; mandatory minimum 10 years to run consecutive to any other sentence
Tyshawn Brogdon,
a/k/a “Shawn”
20
Racketeering Conspiracy, Carjacking, Robbery, Use of a Firearm for Carjacking and Robbery, Wire Fraud Conspiracy, Aggravated Identity Theft
Maximum of life in prison; mandatory minimum seven years to run consecutive to any other sentence
Rasheed Chapman,
a/k/a “Ra”
19
Racketeering Conspiracy, Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering, Use of a Firearm for Attempted Murder and Assault with a Dangerous Weapon
Maximum of life in prison; mandatory minimum 10 years to run consecutive to any other sentence
Mamadou Diallo,
a/k/a “Haji,” a/k/a “Aladje”
23
Racketeering Conspiracy, Carjacking, Robbery, Use of a Firearm for Carjacking and Robbery
Maximum of life in prison; mandatory minimum seven years to run consecutive to any other sentence
Antwan Mosley,
a/k/a “Ant”
21
Racketeering Conspiracy, Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering, Use of a Firearm for Attempted Murder and Assault with a Dangerous Weapon, Wire Fraud Conspiracy, Aggravated Identity Theft
Maximum of life in prison; mandatory minimum 12 years to run consecutive to any other sentence
Noel Carr,
a/k/a “Noey,”
22
Racketeering Conspiracy, Assault with a Dangerous Weapon in Aid of Racketeering, Wire Fraud Conspiracy, Aggravated Identity Theft
Maximum of 62 years in prison; mandatory minimum two years to run consecutive to any other sentence
[1] As the introductory phrase signifies, the entirety of the text of the Superseding Indictment and the description of the Superseding Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Tuesday 13 December 2022
Winner Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that Chief Judge Roberto A. Lange, U.S. District Court, has sentenced a Winner, South Dakota, man convicted of Failure to Register as a Sex Offender. The sentencing took place on December 12, 2022.
Glenford Old Lodge, age 33, was sentenced to 13 months federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Old Lodge was indicted for Failure to Register by a federal grand jury in March of 2022. He pleaded guilty on September 1, 2022.
Between September 2, 2021 and September 5, 2021, Old Lodge, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction of federal law, knowingly failed to register and update his registration.
This case was investigated by the U.S. Marshals Service, Pierre Police Department, and the Winner Police Department. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Old Lodge was immediately remanded to the custody of the U.S. Marshals Service.
United States Files False Claims Act Complaint Against Chiropractor, Modern Vascular Office-Based Labs and Modern Vascular Corporate EntitiesRead the Press Release
The United States filed a complaint under the False Claims Act against Yury Gampel, a chiropractor, 15 Modern Vascular office-based labs located throughout the United States primarily owned by Gampel, and five Modern Vascular-affiliated companies owned by Gampel, for engaging in allegedly illegal financial relationships and transactions. Office-based labs, such as the ones named as defendants here, are an extension of a physician’s office where physicians conduct examinations and procedures on an ambulatory basis.
“Improper financial arrangements between health care providers and referring physicians can lead to overutilization and increase the cost of health care services paid by taxpayers,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will continue to ensure that health care decisions are based on the needs of patients and not the financial interests of providers.”
The United States’ complaint alleges that from at least Jan. 1, 2018, through June 30, 2022, Gampel and the Modern Vascular defendants offered physicians the opportunity to invest in Modern Vascular office-based labs to induce them to refer their Medicare and TRICARE patients to Modern Vascular for the treatment of peripheral arterial disease. The complaint also alleges that Gampel pressured vascular surgeons and interventional radiologists employed at the Modern Vascular office-based labs to increase the number of invasive surgical procedures performed by tracking procedures and setting aggressive weekly and monthly goals for such procedures.
The entities named as defendants in connection with Gampel’s alleged schemes are Nobility Management LLC; Modern Vascular LLC; Modern Vascular of South Florida LLC; Modern Vascular Management LLC; Modern Vascular Management – East LLC; Modern Vascular Management – West LLC; Modern Vascular Institute LLC; Modern Vascular of Mesa LLC; Modern Vascular of Glendale LLC; Modern Vascular of Sun City LLC; Modern Vascular of Tucson LLC; San Antonio Vascular Specialists Corp. dba Modern Vascular; Fort Worth Vascular Specialists Corp. dba Modern Vascular; Modern Vascular of Denver LLC; Modern Vascular - Navajo LLC; Modern Vascular of Fairfax LLC; Modern Vascular of Housto LLC; Modern Vascular of Indianapolis LLC; Modern Vascular of Southaven LLC; Modern Vascular of St. Louis LLC; and Modern Vascular of Kansas LLC.
“As part of our mission to protect the American people, the FBI remains committed to safeguarding patients who rely on our healthcare systems,” said Deputy Assistant Director Aaron Tapp of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners will continue to investigate those who abuse our healthcare systems, place patients at risk, and waste taxpayer dollars.”
The United States filed its complaint in three consolidated lawsuits pending in the United States District Court for the District of Arizona under the qui tam, or whistleblower, provisions of the False Claims Act. Under the Act, a private citizen can sue on behalf of the government and share in any recovery. The United States is also entitled to intervene in the lawsuits, as it did in these cases.
This matter is being handled by the Commercial Litigation Branch of the Department of Justice’s Civil Division and the U.S. Attorney’s Office for the District of Arizona. The FBI, the Department of Health and Human Services Office of Inspector General, and the Defense Criminal Investigative Service provided substantial assistance in the investigation.
The consolidated cases are U.S. ex rel. Radhakrishnan, et al. v. Gampel, et al., No. CV-20-00176-PHX-GMS (D. Ariz.); U.S. ex rel. Terry, et al. v. Modern Vascular of Glendale, LLC, No. CV-21-00010-PHX-GMS (D. Ariz.); and U.S. ex rel. Jane Doe v. Modern Vascular, LLC, et al. No. CV-21-01206-PHX-GMS (D. Ariz.).
The United States is represented in this matter by Fraud Section Trial Attorneys Jared S. Wiesner and Adithi S. Grama, in conjunction with the United States Attorney’s Office for the District of Arizona.
The claims asserted in this action are allegations only and there has been no determination of liability.
United States Attorney Kavanaugh Names AUSA Michael Baudinet Environmental CoordinatorRead the Press Release
CHARLOTTESVILLE, Va. – United States Attorney Christopher R. Kavanaugh has appointed Assistant United States Attorney Michael Baudinet to serve as Environmental Justice Coordinator for the Western District of Virginia.
Assistant United States Attorney Baudinet has investigated and prosecuted multiple environmental cases, and as the District’s Environmental Justice Coordinator, AUSA Baudinet will continue to lead efforts to enforce our Nation’s environmental laws, including the Clean Air Act, Clean Water Act, and various hazardous waste laws. In addition, the Environmental Justice Coordinator will work to focus on investigating and prosecuting environmental violations that have disproportionate impact on low-income, minority, and other marginalized communities, including pursuing actions under the civil rights laws, worker safety and consumer protection statutes, and the False Claims Act.
Last month, the U.S. Attorney’s Office successfully tried and convicted an individual for stealing timber from the Army Corps of Engineers Bluestone Project and selling it for financial gain. Another individual had previously pled guilty in connection with the same scheme.
“Our District is home to some of the most beautiful outdoor landscapes in the country and protecting these valuable natural resources is a priority for our Office,” United States Attorney Kavanaugh said today. “The addition of an Environmental Justice Coordinator strengthens this Office’s longstanding commitment to prosecuting environmental crimes in order to ensure clean air, water, and land for our District’s residents.”
The Western District of Virginia is home to the Blue Ridge Environmental Crimes Task Force, the United States’ longest running environmental crimes task force. It comprises local, state, and federal criminal investigators, emergency responders, prosecutors, civil enforcement personnel, health department personnel, technical personnel, and individuals associated with critical utilities.
The public can report suspected violations of environmental and hazardous waste laws to the U.S. Attorney’s Office by calling (540) 857-2250 or by contacting the Environmental Protection Agency.
United States Attorney Announces Charges Against FTX Founder Samuel Bankman-FriedRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Merrick B. Garland, the United States Attorney General, and Michael J. Driscoll, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today the unsealing of an Indictment charging SAMUEL BANKMAN-FRIED, a/k/a “SBF,” with conspiracy to commit wire fraud, wire fraud, conspiracy to commit commodities fraud, conspiracy to commit securities fraud, conspiracy to commit money laundering, and conspiracy to defraud the Federal Election Commission and commit campaign finance violations. The charges in the Indictment arise from an alleged wide-ranging scheme by the defendant to misappropriate billions of dollars of customer funds deposited with FTX, the international cryptocurrency exchange founded by the defendant, and mislead investors and lenders to FTX and to Alameda Research, the cryptocurrency hedge fund also founded by the defendant. BANKMAN-FRIED was arrested yesterday in the Bahamas on these charges and will be presented before a Bahamian magistrate judge today.
U.S. Attorney Damian Williams said: “One month ago, FTX collapsed, causing billions of dollars in losses to its customers, lenders, and investors. Now, a federal grand jury in New York has indicted the former founder and chief executive officer of FTX and charged him with crimes related to the phenomenal downfall of that one-time cryptocurrency exchange, including fraud on customers, investors, lenders, and our campaign finance system. As today’s charges make clear, this was not a case of mismanagement or poor oversight, but of intentional fraud, plain and simple.”
Attorney General Merrick B. Garland said: “The Justice Department has filed charges alleging that Samuel Bankman-Fried perpetrated a range of offenses in a global scheme to deceive and defraud customers and lenders of FTX and Alameda, the defendant’s crypto hedge fund, as well as a conspiracy to defraud the United States government. We allege that the defendant conspired to defraud customers by misappropriating their deposits; to defraud lenders; to commit securities fraud and money laundering; and to violate campaign finance laws. As this indictment demonstrates, the U.S. Department of Justice will aggressively investigate and prosecute alleged criminal wrongdoing in the financial system and violations of federal elections laws. We will continue to work to ensure U.S. capital markets operate honestly and with the integrity that investors, lenders, and the American people are entitled to.”
FBI Assistant Director Michael J. Driscoll said: “As the indictment today alleges, Bankman-Fried knowingly defrauded the customers of FTX.com through the misappropriation of the customer deposits to pay expenses and debts of a different company he also owned as well as make other investments. If you deceive and defraud your customers, the FBI will be persistent in our efforts to bring you to justice.”
As alleged in the Indictment unsealed in Manhattan federal court and court filings:[1]
SAMUEL BANKMAN-FRIED was the founder and chief executive officer of FTX, an international cryptocurrency exchange. Since 2019, the defendant and his co-conspirators perpetrated a scheme to defraud customers of FTX by misappropriating billions of dollars of those customers’ funds. As alleged, the defendant used billions of dollars of FTX customer funds for his personal use, to make investments and millions of dollars of political contributions to federal political candidates and committees, and to repay billions of dollars in loans owed by Alameda Research, a cryptocurrency hedge fund also founded by the defendant. BANKMAN-FRIED also allegedly defrauded lenders to Alameda Research and equity investors in FTX by concealing his misuse of customer deposits in financial information that was provided to them.
SAMUEL BANKMAN-FRIED and his co-conspirators made millions of dollars in political contributions funded by Alameda Research to federal political candidates and committees in advance of the 2022 election. To conceal the fact that those contributions were paid for using funds from a corporation and to evade contribution limits and reporting requirements, BANKMAN-FRIED caused contributions to be reported in the names of co-conspirators rather than in the name of the true source of the funds.
* * *
SAMUEL BANKMAN-FRIED, 30, of Stanford, California, is charged with two counts of wire fraud conspiracy, two counts of wire fraud, and one count of conspiracy to commit money laundering, each of which carries a maximum sentence of 20 years. He is also charged with conspiracy to commit commodities fraud, conspiracy to commit securities fraud, and conspiracy to defraud the United States and commit campaign finance violations, each of which carries a maximum sentence of five years.
The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the investigative work of the FBI. He also expressed appreciation for the assistance of the Justice Department’s Office of International Affairs, National Cryptocurrency Enforcement Team, Public Integrity Section, and the Drug Enforcement Administration, as well as that of the Securities and Exchange Commission and the Commodity Futures Trading Commission, both of which separately initiated civil proceedings against the defendant today. Mr. Williams further thanked the Bahamas Office of the Attorney-General & Ministry of Legal Affairs as well as the Royal Bahamas Police Force for their assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Nicolas Roos and Danielle Sassoon are in charge of the prosecution. The Money Laundering and Transnational Criminal Enterprises Unit and Assistant U.S. Attorneys Samuel Raymond and Thane Rehn also contributed to the investigation.
The allegations in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
U.S. Attorney's Office Announces New Public Procedures to Report Environmental ConcernsRead 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 members of the public who have concerns regarding environmental issues within our community can now report those concerns to the U.S. Attorney’s Office as well as other federal and state agencies.
In making the announcement, U.S. Attorney Ross stated: “Strong and fair enforcement of environmental and public health laws ensures a healthy community for all families to live, learn, play, and work. Your reporting of public health and safety concerns supports environmental protection and environmental justice.”
These environmental concerns can include:
o Air quality
o Water pollution
o Dumping, burying, or burning of chemicals or toxic waste
o Climate Change
o Health
o Workplace conditions
o Wildlife, including pesticide application
o Wetland destruction
o Medications, cosmetics, and biological products
o Oil and chemical spills
o Discriminatory environmental and health impacts caused by recipients of federal funds
To report concerns, contact Environmental Justice Coordinator Aaron J. Mango at (716) 843-5700 or email [email protected].
For more information and a complete listing of reporting agencies, go to: /media/1250996/dl?inline#Environmental%20Justice%20Program.
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