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Friday 18 November 2022
Rochester Drug Trafficker Pleads Guilty to Methamphetamine Distribution ConspiracyRead the Press Release
MINNEAPOLIS- A Rochester drug trafficking ringleader has pleaded guilty to conspiracy to distribute methamphetamine, announced U.S. Attorney Andrew M. Luger.
According to cour documents, from September 2021 through February 2022, Jerry Lee Milliken, 40, led a large-scale methamphetamine trafficking conspiracy that was based in Rochester, Minnesota and operated throughout southeastern Minnesota and elsewhere. Milliken organized the delivery of methamphetamine from a supplier in Kansas City, Missouri, to sub-distributors in the Rochester area. Milliken also collected and received drug proceeds and facilitated communications in support of the conspiracy. Between the fall of 2021 and the winter of 2022, law enforcement seized approximately 80 pounds of methamphetamine from the conspiracy during various enforcement operations.
Milliken pleaded guilty yesterday in U.S. District Court before Senior Judge Susan Richard Nelson to one count of conspiracy to distribute methamphetamine. He faces a mandatory minimum sentence of 10 years and up to life in prison. A sentencing hearing will be scheduled at a later time.
Aaron Raymond Dombovy, 30, one of Milliken’s coconspirators, pleaded guilty Wednesday, November 16, also to one count of conspiracy to distribute methamphetamine. He also faces a mandatory minimum sentence of 10 years and up to life in prison.
This case is the result of an investigation conducted by the Drug Enforcement Administration, the Rochester Police Department, the Minnesota Bureau of Criminal Apprehension, the Southeast Minnesota Violent Crimes Enforcement Team, and the Olmsted County Sheriff’s Office.
Assistant U.S. Attorney Allen A. Slaughter Jr. is prosecuting the case.
Providence Man Admits to Trafficking MethamphetamineRead the Press Release
PROVIDENCE – A Providence man who was arrested by members of the FBI’s Rhode Island Safe Streets Gang Task Force during an investigation into methamphetamine trafficking throughout Rhode Island pleaded guilty in federal court on Thursday to charges of possession with intent to distribute 50 grams or more of methamphetamine and two counts of distribution of methamphetamine, announced United States Attorney Zachary A. Cunha.
Casimiro Pereira, 30, admitted that on July 25, 2019, and on August 15, 2019, he sold and delivered 20 grams of crystal meth to another individual.
A court-authorized search of Pereira’s residence on January 31, 2022, resulted in the seizure of approximately 136 grams of crystal meth and 8 grams of crack cocaine, along with various items used in the preparation, packaging, and distribution of crystal meth and crack cocaine.
Pereira is scheduled to be sentenced on March 2, 2023. Possession with intent to distribute 50 grams or more of methamphetamine is punishable by a statutory minimum mandatory term of incarceration of 10 years; distribution of methamphetamine is punishable a statutory minimum mandatory term of incarceration of 5 years. The defendant’s sentences will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The case is being prosecuted by Assistant United States Attorneys Sandra R. Hebert and Christine D. Lowell.
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Previously Convicted Sex Offender Sentenced to over Ten Years in Prison for Possessing over 600 Images of Child Pornography While on ProbationRead the Press Release
DETROIT - A previously convicted sex offender was sentenced to over ten years in federal prison for possessing over 600 images of child pornography while on probation, announced United States Attorney Dawn N. Ison.
Ison was joined in the announcement by James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.
Andrew Gregory, 36, of Madison Heights, Michigan, was sentenced by United States District Judge Stephen J. Murphy, III. At the time the FBI caught Gregory for his current crime, he was already serving a sentence of five years of probation from the Oakland County Circuit Court based on a prior conviction for distributing child sexually abusive materials.
In this case, an undercover employee from the Winnebago County, Wisconsin Sheriff’s Department discovered that Gregory was sending images of child pornography through the Kik instant messaging app. The images Gregory distributed included sexually abusive and explicit images of prepubescent children. Based on the discovery of the images Gregory sent on Kik, FBI agents then executed a search warrant at his home where they discovered that Gregory’s iPhone contained videos of sadistic and masochistic abuse of young children.
“Child pornography permanently records the victim’s abuse, and it leaves an indelible mark on victims. Repeat sex offenders deserve severe punishment for harming the most vulnerable in our society,” U.S. Attorney Ison stated.
This case was investigated by the Southeast Michigan Trafficking and Exploitation Crimes Task Force of the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Rosemary Wummel Gardey.Previously Convicted Randolph County Sex Offender Sentenced to 20 Years in Federal Prison for Distribution of Child Sexual Abuse MaterialRead the Press Release
INDIANAPOLIS – Lance Parsons, 47, of Randolph County, Indiana, was sentenced to 20 years in federal prison after pleading guilty to distribution and receipt of child sexual abuse material.
According to court documents, in March 2020, the Randolph County Sheriff’s Office began investigating Parsons alleged sexual assault of a child. During the investigation, law enforcement officers learned there was an outstanding warrant for Parsons arrest stemming from a child support case. On March 16, 2020, Parsons was arrested, and his smartphone seized. Law enforcement officers obtained a warrant to search for evidence of child exploitation offenses.
A forensic examination of Parsons’ smartphone revealed that Parsons engaged in messaging with other persons about child sexual abuse. Parsons’ smartphone also contained hundreds of photos and multiple videos of prepubescent children engaged in sexual activity with adults and other children. Parsons used the Kik Messenger and Mega applications to receive and distribute the visual depictions of children engaged in sexually explicit conduct. The child sexual abuse material distributed, received, and possessed by Parsons included visual depictions of children being subjected to sadistic or masochistic conduct, or other depictions of violence, and of infants or toddlers being made to engage in sexually explicit conduct.
At his sentencing hearing, the judge found that Parsons had engaged in a pattern of activity involving the sexual abuse or exploitation of children, and in 2017, Parsons was convicted of attempted sexual misconduct with a minor in Randolph County.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, Jeffrey R. Adams, Special Agent in Charge of the USSS Indianapolis Field Office, and Art L. Moystner, Sheriff Randolph County made the announcement.
United States Secret Service and the Randolph County Sheriff’s Office investigated the case. The Randolph County Prosecutor’s Office and Indianapolis Metropolitan Police Department provided valuable assistance. The sentence was imposed by U.S. District Judge James Patrick Hanlon. As part of the sentence, Judge Hanlon ordered that Parsons be supervised by the U.S. Probation Office for life following his release from federal prison. Parsons was also ordered to pay $10,000 in restitution to his minor victim and must register as sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant U.S. Attorney Kristina M. Korobov 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
Postal Employee Indicted and Arrested for Sexual Exploitation of a MinorRead the Press Release
SAN JUAN, Puerto Rico – On November 17, 2022, a federal grand jury returned an Indictment charging Ramón Rodríguez González with sexual exploitation of a minor. The arrest follows an investigation by Homeland Security Investigations (HSI) with the assistance of the, United States Postal Service Office of the Inspector General (USPS-OIG) and the Puerto Rico Police Bureau (PRPB).
According to court documents, Rodríguez González, 43, of Caguas, in or about April 2021 through June 24, 2022, did knowingly attempt to employ, use, persuade, induce, and coerce a female minor while she was 15 and 16 years old to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct.
“The sexual exploitation of minors is a horrific crime that can negatively affect victims for their entire lives,” said U.S. Attorney Muldrow. “The U.S. Attorney’s Office, and our law enforcement partners, are committed to aggressively investigate and prosecute these crimes.”
“The Puerto Rico Crimes Against Children Task Force mission is to protect our minors, we will remain vigilant and will arrest those who attempt to exploit our children,” said Rebecca C. González Ramos, Acting Special Agent in Charge, HSI. “It is our responsibility as a society to come together and protect our children.”
“The Special Agents of the U.S. Postal Service, Office of Inspector General are dedicated to maintaining the integrity of the Postal Service and its personnel. Although the majority of postal employees are hardworking individuals, there are some who choose to commit criminal acts. The Special Agents of the Postal Service, Office of Inspector General will work tirelessly to bring them to justice. The USPS OIG is thankful for the great relationships we have developed with our law enforcement partners and with the U.S. Attorney’s Office to combat child pornography and exploitation,” said Assistant Special Agent in Charge Mitchell Pérez.
On Friday, Rodríguez González had his initial hearing before Honorable Magistrate Judge Camile Vélez-Rivé and he was transferred to the Metropolitan Detention Center to await further judicial proceedings.
Assistant United States Attorney Ginette Milanes, from the Child Exploitation and Immigration Unit, is prosecuting this case. If convicted, the defendant faces a mandatory minimum sentence of 15 years’ imprisonment, and a statutory maximum sentence of 30 years’ incarceration for the attempted production of child pornography count; and a statutory maximum of twenty (20) years’ imprisonment for the attempted possession of child pornography count.
HSI is the principal investigative arm of DHS and a vital U.S. asset in combatting transnational crimes and threats. One of HSI’s top priorities is to protect the public from crimes of victimization, and HSI’s child exploitation investigations program is a central component of this mission. HSI is recognized as a global leader in this investigative discipline, and is committed to using its vast authorities, international footprint and strong government and non-government partnerships to identify and rescue child victims, identify and apprehend offenders, prevent transnational child sexual abuse, and help make the internet a safer place for children.
For more information about HSI’s efforts to protect children from online sexual abuse, visit https://www.ice.gov/topics/iGuardians.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
# ICE #
U.S. Immigration and Customs Enforcement (ICE) is the largest investigative arm of the Department of Homeland Security.
ICE is a 21st century law enforcement agency with broad responsibilities for a number of key homeland security priorities. For more information, visit: www.ICE.gov. To report suspicious activity, call 1-866-347-2423.
Portsmouth Man Sentenced to Life in Prison for Attempted Sex Trafficking of a MinorRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to life in prison for attempted sex trafficking of a minor under 14 years old.
According to court documents, in May, Christafer Douglas Friend, 32, attempted to initiate sexual contact online with someone he believed to be a female minor. Friend detailed the sexual acts that he would engage with the minor in and offered to pay $200 an hour for access to her. Just a few hours after initiating the chat, Friend arrived at a pre-determined location with the supposed minor’s favorite candy and paid the $200 to another individual who he believed had access to the girl.
In the same chats he had earlier, Friend also bragged about having sexually abused an eight-year-old child, on several occasions. Federal agents later located images and videos of that abuse in Friend’s online storage account. Friend also possessed thousands of images of other minors being sexually abused.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney, Jr.
Assistant U.S. Attorney Rebecca Gantt prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
In 2021, EDVA launched “UnMasked,” a community-based educational outreach and prevention program in Virginia dedicated to raising awareness and educating the community about the prevalence of online sexual exploitation involving children and young adults. UnMasked is a multi-disciplinary partnership of local, state, federal, and non-profit stakeholders. The core curriculum is provided by the National Center for Missing and Exploited Children’s (NCMEC) NetSmartz program. To report an incident involving online sexual exploitation, call 1-800-843-5678 or submit a report at report.cybertip.org. To request an UnMasked event at your school or organization, please contact EDVA’s Community Outreach Coordinator at [email protected].
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:22-cr-42.
Polk County Doctor Pleads Guilty to Receiving KickbacksRead the Press Release
Tampa, Florida –United States Attorney Roger B. Handberg announces that Dr. Sean Patrick O’Rourke (56, Lakeland) has pleaded guilty to soliciting and receiving remuneration (kickbacks and bribes) in return for ordering medical services and items paid for by a federal health care program. O’Rourke faces a maximum penalty of 10 years in federal prison. The defendant also agreed to forfeit $31,075, traceable to proceeds of the offense. A sentencing date has not yet been set.
According to court documents, O’Rourke, a licensed medical doctor, entered into an illegal agreement in 2018 with Company #1 in which Company #1 would make available to O’Rourke completed doctors’ orders for Medicare and CHAMPVA patient-beneficiaries via an internet-based platform. O’Rourke would then access the platform, open the completed orders, and electronically sign the orders, in exchange for a payment of $25 per patient-beneficiary. Notably, the system platform did not permit O’Rourke to add or modify any information in the already completed orders other than to input his authorizing electronic signature.
As just one example, in or around May 2019, O’Rourke received a payment of $5,500 from an entity associated with Company #1 for electronically signing and ordering cancer genomic tests and durable medical equipment for multiple Medicare beneficiaries. O’Rourke had no interaction with any of the Medicare beneficiaries prior to ordering the tests and equipment. In all, from September 2018 through March 2020, pursuant to the illegal agreement, O’Rourke ordered tests and equipment for approximately 1,243 Medicare and CHAMPVA beneficiaries for which he was paid approximately $31,075. Consequently, the Medicare program paid approximately $2,702,150 to various Medicare providers for the tests and equipment ordered by O’Rourke.
This case was investigated by the U.S. Health and Human Services – Office of Inspector General and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Jay G. Trezevant. Assistant United States Attorney James A. Muench is handling the asset forfeiture aspect of this case.
Pennsylvania Man Sentenced for Drug Conspiracy and MurderRead the Press Release
SYRACUSE, NEW YORK – Kyle M. Leeper, 38, of Palmyra, Pennsylvania, was sentenced today to serve 40 years in federal prison for a murder committed during a drug trafficking conspiracy, conspiring to distribute and possess with intent to distribute 50 grams or more of methamphetamine, and possessing a firearm and ammunition as a convicted felon, announced United States Attorney Carla B. Freedman, Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), Sheriff Mark E. Helms, Cortland County (New York) Sheriff’s Office, and Chief Andrew Espinoza Jr., City of Barstow (California) Police Department.
As part of his previous guilty plea, Leeper admitted he was part of a conspiracy that trafficked methamphetamine from Indiana and Southern California to Cortland County, New York, where Leeper distributed it to local residents and drug dealers. In the fall of 2018, co-defendant Crystal Stephens, of Groton, New York, who was incarcerated in Indiana on burglary charges, contacted Leeper by telephone with contact information for co-defendant John Rice, an Indiana-based methamphetamine dealer. Leeper communicated with Rice by telephone and then travelled to and from Indiana twice in late 2018 and early 2019, where he obtained crystal methamphetamine and a .380 caliber pistol from Rice. Leeper distributed this methamphetamine in the Cortland area.
After Rice was arrested in Indiana in early January 2019, Leeper arranged to travel to the Los Angeles area to purchase more methamphetamine. From jail Crystal Stephens provided Leeper with telephone numbers for possible methamphetamine sources in East Los Angeles. In mid-January 2019, Leeper and an associate, co-defendant Ramon Nieves-Cotto, drove from Cortland to Los Angeles, where Leeper contacted one of these sources. The source sought assistance from co-defendant Arlene Rodriguez, who introduced Leeper to a middleman. On January 17, 2019, this middleman arranged for Leeper to buy three pounds of crystal methamphetamine for $5,000 from co-defendant Jose Pimentel. But after the methamphetamine was delivered to a motel in El Monte, California, Leeper realized that he had been shortchanged on the quantity delivered. Leeper abducted the middleman and Arlene Rodriguez at gunpoint. Later that day, Nieves-Cotto purchased zip ties, which Leeper used to bind the middleman. On the night of January 17, 2019, in the desert in Barstow, California, Leeper shot the bound middleman eight times from behind with the .380 caliber pistol, killing him. Leeper and Nieves-Cotto, along with Rodriguez, then drove to Cortland, where Leeper distributed the methamphetamine he obtained on this trip to California.
In early February 2019, Leeper, Nieves-Cotto, and Rodriguez returned to Los Angeles, where Leeper purchased an additional six to eight pounds of methamphetamine and a 9 mm pistol from co-defendant Edgar Arredondo. Upon his return to Cortland, Leeper, assisted by Rodriguez, began to distribute this methamphetamine. On February 19, 2019, officers from the Cortland County Sheriff’s Office stopped Leeper and Rodriguez while they were driving in Leeper’s pickup truck, which had an expired registration and cracked windshield. Inside the truck, the officers found four pounds of high-purity methamphetamine, the loaded .380 caliber pistol Leeper had used to commit the murder, and ammunition. They arrested Leeper, who previously had been convicted of state and federal felony offenses in Pennsylvania, and Rodriguez.
United States Attorney Carla Freedman said, “Kyle Leeper’s sentence today is justice for his cold-blooded killing of a man in the California desert as part of a methamphetamine trafficking conspiracy. After kidnapping and binding the victim, Leeper brutally shot him eight times in the back and then left him in Barstow, California. Leeper also brought pounds of methamphetamine to Cortland from Los Angeles and Indiana until state and federal investigators worked together to stop him and his co-conspirators. Leeper will spend the next 40 years in a federal prison to pay for the violence and suffering he inflicted.”
FBI Special Agent in Charge Janeen DiGuiseppi said, “Today’s sentence is indicative of the success that can be attained when federal, state, and local agencies combine resources to remove violent offenders from our communities. Mr. Leeper was so committed to trafficking dangerous drugs into Cortland County he was willing to kill anyone who stood in his way. Thanks to the strong collaboration between our law enforcement partners in New York and California, he is now being held accountable for his despicable actions. The FBI is grateful to our law enforcement partners and we remain dedicated to working together to investigate and apprehend violent drug traffickers whose actions threaten the health and safety of our neighborhoods.”
Cortland County Sheriff Mark E. Helms said, “I am extremely proud of both Sgt. Mike Winchell and Officer Peter Wright for turning what some would consider a routine traffic stop into a major multi-agency investigation. Additionally, I would like to thank all the other investigators from my office, as well as all the other officers and agencies that worked together and were able to put together this complex case resulting in the successful prosecution of Kyle Leeper and Arlene Rodriguez. This truly is a great example of local, state, and federal agencies working together.”Barstow, California Chief of Police Andrew Espinoza, Jr. said, “Kyle Leeper committed a heinous crime in our city and today he was held accountable to the victim and his family. This investigation was complex and spanned across the country. I commend the collaborative effort of all the law enforcement agencies involved and for the federal prosecutors who handled this case. It was through their diligence and hard work that Kyle Leeper received justice today.”
Six (6) other co-defendants previously pled guilty to participating in the drug trafficking conspiracy with Kyle Leeper, and/or aiding and abetting the murder.
Ramon Nieves-Cotto, 30, of DeRuyter, New York, pled guilty to aiding and abetting a murder during a drug conspiracy, and conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He was sentenced on October 7, 2022, to serve 156 months in federal prison, and a four-year term of supervised release.
Crystal J. Stephens, 34, of Groton, New York, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. She was sentenced on November 15, 2022, to serve 100 months in federal prison, and a four-year term of supervised release.
Arlene N. Rodriguez, 38, of Montebello, California, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine, possession with intent to distribute 50 grams or more of methamphetamine, and possession of a firearm in connection with a drug trafficking crime. She was sentenced on October 6, 2022, to serve 94 months in prison, to be followed by four- year term of supervised release.
Jose Pimentel, Jr., 31, of Los Angeles, California, pled guilty to conspiracy to distribute, and posses with intent to distribute 50 grams or more of methamphetamine. He is scheduled to be sentenced on December 1, 2022.
Edgar Arredondo, 35, of Los Angeles, California, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He also pled guilty to charges based on his possession in the Central District of California of a shotgun ammunition, and 50 grams or more of methamphetamine. He is scheduled to be sentenced on December 1, 2022.
John Rice, 57, of Crawfordsville, Indiana, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He is scheduled to be sentenced on January 12, 2023.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the Federal Bureau of Investigation (FBI), the U.S. Drug Enforcement Administration (DEA), the Cortland County (New York) Sheriff’s Office, the Barstow (California) Police Department, and the San Bernadino (California) County Sheriff’s Department, with assistance from the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Cortland County (New York) District Attorney’s Office, the Montgomery County (Indiana) Sheriff’s Department, the Montgomery County (Indiana) District Attorney’s Office, the Pomona (California) Police Department, and the El Monte (California) Police Department and is being prosecuted by Assistant U.S. Attorneys Steven D. Clymer, Richard R. Southwick, and Thomas R. Sutcliffe.
Pennsylvania Man Sentenced for Drug Conspiracy and MurderRead the Press Release
SYRACUSE, NEW YORK – Kyle M. Leeper, age 38, of Palmyra, Pennsylvania, was sentenced today to serve 40 years in federal prison for a murder committed during a drug trafficking conspiracy, conspiring to distribute and possess with intent to distribute 50 grams or more of methamphetamine, and possessing a firearm and ammunition as a convicted felon, announced United States Attorney Carla B. Freedman, Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), Sheriff Mark E. Helms, Cortland County (New York) Sheriff’s Office, and Chief Andrew Espinoza Jr., City of Barstow (California) Police Department.
As part of his previous guilty plea, Leeper admitted he was part of a conspiracy that trafficked methamphetamine from Indiana and Southern California to Cortland County, New York, where Leeper distributed it to local residents and drug dealers. In the fall of 2018, co-defendant Crystal Stephens, of Groton, New York, who was incarcerated in Indiana on burglary charges, contacted Leeper by telephone with contact information for co-defendant John Rice, an Indiana-based methamphetamine dealer. Leeper communicated with Rice by telephone and then travelled to and from Indiana twice in late 2018 and early 2019, where he obtained crystal methamphetamine and a .380 caliber pistol from Rice. Leeper distributed this methamphetamine in the Cortland area.
After Rice was arrested in Indiana in early January 2019, Leeper arranged to travel to the Los Angeles area to purchase more methamphetamine. From jail Crystal Stephens provided Leeper with telephone numbers for possible methamphetamine sources in East Los Angeles. In mid-January 2019, Leeper and an associate, co-defendant Ramon Nieves-Cotto, drove from Cortland to Los Angeles, where Leeper contacted one of these sources. The source sought assistance from co-defendant Arlene Rodriguez, who introduced Leeper to a middleman. On January 17, 2019, this middleman arranged for Leeper to buy three pounds of crystal methamphetamine for $5,000 from co-defendant Jose Pimentel. But after the methamphetamine was delivered to a motel in El Monte, California, Leeper realized that he had been shortchanged on the quantity delivered. Leeper abducted the middleman and Arlene Rodriguez at gunpoint. Later that day, Nieves-Cotto purchased zip ties, which Leeper used to bind the middleman. On the night of January 17, 2019, in the desert in Barstow, California, Leeper shot the bound middleman eight times from behind with the .380 caliber pistol, killing him. Leeper and Nieves-Cotto, along with Rodriguez, then drove to Cortland, where Leeper distributed the methamphetamine he obtained on this trip to California.
In early February 2019, Leeper, Nieves-Cotto, and Rodriguez returned to Los Angeles, where Leeper purchased an additional six to eight pounds of methamphetamine and a 9 mm pistol from co-defendant Edgar Arredondo. Upon his return to Cortland, Leeper, assisted by Rodriguez, began to distribute this methamphetamine. On February 19, 2019, officers from the Cortland County Sheriff’s Office stopped Leeper and Rodriguez while they were driving in Leeper’s pickup truck, which had an expired registration and cracked windshield. Inside the truck, the officers found four pounds of high-purity methamphetamine, the loaded .380 caliber pistol Leeper had used to commit the murder, and ammunition. They arrested Leeper, who previously had been convicted of state and federal felony offenses in Pennsylvania, and Rodriguez.
United States Attorney Carla Freedman said, “Kyle Leeper’s sentence today is justice for his cold-blooded killing of a man in the California desert as part of a methamphetamine trafficking conspiracy. After kidnapping and binding the victim, Leeper brutally shot him eight times in the back and then left him in Barstow, California. Leeper also brought pounds of methamphetamine to Cortland from Los Angeles and Indiana until state and federal investigators worked together to stop him and his co-conspirators. Leeper will spend the next 40 years in a federal prison to pay for the violence and suffering he inflicted.”
FBI Special Agent in Charge Janeen DiGuiseppe said, “Today’s sentence is indicative of the success that can be attained when federal, state, and local agencies combine resources to remove violent offenders from our communities. Mr. Leeper was so committed to trafficking dangerous drugs into Cortland County he was willing to kill anyone who stood in his way. Thanks to the strong collaboration between our law enforcement partners in New York and California, he is now being held accountable for his despicable actions. The FBI is grateful to our law enforcement partners and we remain dedicated to working together to investigate and apprehend violent drug traffickers whose actions threaten the health and safety of our neighborhoods.”
Cortland County Sheriff Mark E. Helms said, “I am extremely proud of both Sgt. Mike Winchell and Officer Peter Wright for turning what some would consider a routine traffic stop into a major multi-agency investigation. Additionally, I would like to thank all the other investigators from my office, as well as all the other officers and agencies that worked together and were able to put together this complex case resulting in the successful prosecution of Kyle Leeper and Arlene Rodriguez. This truly is a great example of local, state, and federal agencies working together.”
Barstow, California Chief of Police Andrew Espinoza, Jr. said, “Kyle Leeper committed a heinous crime in our city and today he was held accountable to the victim and his family. This investigation was complex and spanned across the country. I commend the collaborative effort of all the law enforcement agencies involved and for the federal prosecutors who handled this case. It was through their diligence and hard work that Kyle Leeper received justice today.”
Six (6) other co-defendants previously pled guilty to participating in the drug trafficking conspiracy with Kyle Leeper, and/or aiding and abetting the murder.
Ramon Nieves-Cotto, 30, of DeRuyter, New York, pled guilty to aiding and abetting a murder during a drug conspiracy, and conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He was sentenced on October 7, 2022, to serve 156 months in federal prison, and a four-year term of supervised release.
Crystal J. Stephens, 34, of Groton, New York, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. She was sentenced on November 15, 2022, to serve 100 months in federal prison, and a four-year term of supervised release.
Arlene N. Rodriguez, 38, of Montebello, California, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine, possession with intent to distribute 50 grams or more of methamphetamine, and possession of a firearm in connection with a drug trafficking crime. She was sentenced on October 6, 2022, to serve 94 months in prison, to be followed by four- year term of supervised release.
Jose Pimentel, Jr., 31, of Los Angeles, California, pled guilty to conspiracy to distribute, and posses with intent to distribute 50 grams or more of methamphetamine. He is scheduled to be sentenced on December 1, 2022.
Edgar Arredondo, 35, of Los Angeles, California, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He also pled guilty to charges based on his possession in the Central District of California of a shotgun ammunition, and 50 grams or more of methamphetamine. He is scheduled to be sentenced on December 1, 2022.
John Rice, 57, of Crawfordsville, Indiana, pled guilty to conspiracy to distribute, and possess with intent to distribute 50 grams or more of methamphetamine. He is scheduled to be sentenced on January 12, 2023.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the Federal Bureau of Investigation (FBI), the U.S. Drug Enforcement Administration (DEA), the Cortland County (New York) Sheriff’s Office, the Barstow (California) Police Department, and the San Bernadino (California) County Sheriff’s Department, with assistance from the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Cortland County (New York) District Attorney’s Office, the Montgomery County (Indiana) Sheriff’s Department, the Montgomery County (Indiana) District Attorney’s Office, the Pomona (California) Police Department, and the El Monte (California) Police Department and is being prosecuted by Assistant U.S. Attorneys Steven D. Clymer, Richard R. Southwick, and Thomas R. Sutcliffe.
Pair Sentenced on Meth ChargesRead the Press Release
ABINGDON, Va. – A man and woman, who were caught with a large amount of methamphetamine in an outbuilding in Bristol, Virginia by the Virginia State Police and the Washington County Sheriff’s Office, were sentenced this week on federal drug charges.
Crystal Younce, 42, was sentenced Tuesday to 130 months in federal prison.
Donald Smith, 51, was sentenced Wednesday to 120 months in federal prison.
Both Younce and Smith pleaded guilty in August 2022 to one count of conspiracy to possess with the intent to distribute and distribution of 50 grams or more of methamphetamine.
According to court documents, on September 23, 2021, law enforcement officers from the Virginia State Police and Washington County Sheriff’s Office arrived at Smith’s home to execute a state warrant and discovered Smith and Younce in an outdoor shed on the property with various plastic bags containing substances the Drug Enforcement Administration’s (DEA) lab later identified as 99–100% pure methamphetamine. Altogether, Smith and Younce had nearly 300 grams of methamphetamine along with packaging materials, a digital scale, and multiple other controlled substances. In addition, law enforcement seized over $8,000 in cash.
Law enforcement also recovered text messages from both Younce and Smith, including one message where Younce referred to herself as a “one-stop shop” for narcotics.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia made the announcement.
The Virginia State Police, the Washington County Sheriff’s Office, and the Drug Enforcement Administration investigated the case.
Assistant U.S. Attorneys Whit D. Pierce and Lena L. Busscher prosecuted the case.
O’fallon, Il, Man Sentenced to Ten Years in Federal PrisonRead the Press Release
EAST ST. LOUIS, Ill. – Yesterday afternoon, in federal court in East St. Louis, IL, Emmitt T.
Tiner, 55, of O’Fallon, Illinois, was sentenced to ten years in federal prison. On July 7, 2022,
Tiner pled guilty to wire fraud, extortion, sending interstate communications with the intent to
extort, healthcare fraud, money laundering, and conducting financial transactions with criminally
derived proceeds.When he pled guilty, Tiner admitted that he extorted more than $2,000,000 from two local
businessmen, one from Belleville, IL, and the other from Florissant, MO. Tiner initially borrowed
money from the Florissant businessman. When the Florissant man asked for his money back, Tiner
told him that he would conduct a large illegal drug transaction to get the funds to repay the
loans. Tiner then asked the Florissant man for more money in order to finance this illegal drug
deal. When the Florissant man refused to provide any more money to him, Tiner made several vicious
threats. The specific threat that Tiner pled guilty to was a text he sent on October 2, 2017,
which read: “If you do not give me my money back I (sic) gave you in my account and we lose all
that money . . . . anybody related to you . . . work with you . . . friends with you . . . . lives
with you . . . knows you . . . etc will pay the consequences of you f****** me . . . . . . then and only
then when they think you have experienced enough loss and pain will they look for you!!!!!”With regard to the Belleville businessman, Tiner admitted that he began extorting this individual
by threatening to expose certain alleged personal matters to the man’s wife and the press. Tiner
also threatened to tell law enforcement that the Belleville man was responsible for three murders
if the man did not pay him more money. No one was actually murdered, although Tiner staged various
fake photos and fabricated other records in an effort to convince the Belleville man that the
murders were real.Tiner’s healthcare fraud conviction arose from his scheme to defraud the Illinois Department of
Health Services (“IDHS”), which operates a program known as the Personal Assistant program. This
program pays individuals to work as personal assistants for disabled individuals. The program has
certain asset restrictions, and will only pay for work performed while the disabled individuals are
present in their homes. When he pleaded guilty, Tiner admitted that he faked being disabled in
order get IDHS to pay for him to have a personal assistant. Tiner repeatedly told IDHS Rehabilitation Counsellors that he needed a wheelchair to move around and that he was unable to walk. Evidence presented to the court, however, demonstrated that Tiner’s statements were false, and that he routinely engaged in various physical activities, including driving, dancing, and weightlifting. From 2012 through 2019, IDHS paid Tiner’s personal assistants more than $150,000. One of the individuals who was paid to be Tiner’s personal assistant was his wife, Matissia Holt. Tiner and Holt also submitted false timesheets to IDHS which fraudulently claimed that Holt had provided personal assistant services to Tiner on days that the couple was out of town on gambling trips at various casinos.Tiner also admitted that he laundered the proceeds of his fraud and extortion scheme by running
those funds through Holt’s bank accounts. The financial transaction conviction stemmed from
Tiner’s use of those fraudulently obtained funds to make several large purchases, including a
residence located on Knollhaven Trail in O’Fallon, a residential lot on Pausch Road in O’Fallon,
and a 2019 Cadillac Escalade. As part of his plea agreement, Tiner agreed to forfeit this property
to the United States so that it can be sold and used to pay restitution.Tiner’s wife, Matissia Holt, also was charged and pled guilty to healthcare fraud and money
laundering charges. On October 31, 2022, Holt was sentenced to five years probation and ordered to
pay restitution.In addition to the 10 year prison sentence, the court ordered Tiner to serve a 3 year period of
supervised release following his prison sentence. The court also ordered Tiner to pay a total of
$2,241,500 in restitution for his extortion offenses, and $158,212.16 in restitution for his
healthcare fraud conviction.“Tiner’s extortion and fraud scheme had a severe impact on his victims, both financially and
psychologically,” a U.S. Attorney’s Office spokesperson remarked. “On top of that, he stole money
from a taxpayer funded program designed to help disabled persons. His serious crimes warrant the
lengthy prison sentence that the court imposed.”“Tiner prioritized his own greed over decency and respect for the laws of our country,” said FBI
Springfield Field Office Special Agent in Charge David Nanz. “The FBI and our law enforcement
partners remain dedicated to investigating and holding accountable those, like Tiner, who
flagrantly disregard our laws by seeking to enrich themselves at the expense of their victims.”“IRS-CI and its law enforcement partners remain committed to investigating and stopping schemers
who seek to enrich themselves through extortion,” said IRS-CI Acting Special Agent in Charge Thomas
Murdock, St. Louis Field Office. “The sentence sends a strong message that this behavior will be
aggressively investigated, and those responsible brought to justice.”The investigation was conducted by agents from the Federal Bureau of Investigation – Springfield
Field Office, the Internal Revenue Service – Criminal Investigations – St. Louis Field Office, the
United States Department of Health and Human Services – Office of the Inspector General, the Social
Security Administration – Office of the Inspector General, and the Illinois State Police Medicaid
Fraud Control Bureau.
Assistant U.S. Attorneys Scott A. Verseman and Luke J. Weissler prosecuted the case.Orlando Man Who Used Internet to Sexually Exploit 12-Year-Old Sentenced to Life in PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Andre Maurice Lewis (37, Orlando) to life in federal prison for enticement of a minor. The court also ordered Lewis to forfeit the cellphone he used to commit the offense. Lewis had pleaded guilty on August 15, 2022.
According to court documents and information presented in court, in January 2021, Lewis initiated a Snapchat conversation with a 12-year-old child, the daughter of an acquaintance. Lewis did not reveal his true identity to the child and claimed to be 20 years old.
Even though the child told Lewis how old she was, Lewis expressed an interest in meeting with her for sex. The child repeatedly rebuffed Lewis’s sexual advances, telling him that he was making her uncomfortable and that she was “just a little girl.” As Lewis persisted, the child sent Lewis a series of text-based and audio messages that made it clear that she was very scared and distressed. In those messages, the child pleaded with Lewis to leave her alone, because she did not want to do the things he asked her to do. Nevertheless, Lewis continued to press the child and threatened to tell the child’s parent about their Snapchat conversation unless the child did as Lewis said. Lewis provided evidence that he knew the child’s parent, to underscore his ability to carry out his threats. Later in the evening, out of fear, the child livestreamed a sexually explicit video of herself at Lewis’s behest.
The investigation revealed that Lewis had previously communicated about sex with dozens of individuals who told him they were minors – and the investigation confirmed that many of these individuals were indeed minors. With respect to seven individuals who specifically told Lewis to leave them alone, Lewis responded by threatening to kidnap, rape, and kill them if they did not cooperate. In other instances, Lewis accompanied such threats to minors with a picture of a handgun and magazines, and a map of the minors’ location, to prove that he actually knew where they were. Lewis also has a prior conviction for issuing written threats to kill or do bodily injury.
This case was investigated by the Orlando Police Department and the Federal Bureau of Investigation, with assistance from the Hillsborough County Sheriff’s Office and the United States Secret Service. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Old Town Man Sentenced to 2 Years for Unlawfully Possessing FirearmRead the Press Release
BANGOR, Maine: An Old Town man was sentenced today in U.S. District Court in Bangor for being a felon in possession of a firearm.
U.S. District Judge John A. Woodcock, Jr. sentenced William Abney, 57, to two years in prison and three years of supervised release. Abney pleaded guilty on April 28, 2022.
According to court records, in October 2021, a concerned citizen saw Abney in possession of an AK-47 style rifle in the living room of his Old Town residence and notified the police. Based on this and other information, investigators obtained a search warrant for the residence. During the warrant’s execution, Abney admitted that he possessed an AK‑47 and law enforcement located the weapon and a magazine full of ammunition. Abney has previous convictions which preclude him from possessing a firearm, including a 1999 federal conviction for being a felon in possession of a firearm.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Old Town Police Department, and the Brewer Police Department investigated the case. The Penobscot County District Attorney’s Office also assisted with the case.
Project Safe Neighborhoods: This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. To learn more information about Project Safe Neighborhoods, visit www.justice.gov/psn.
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Ohio Company Settles False Claims Act Allegations of Billing for Non-Existent Construction MaterialsRead the Press Release
Wise Services Inc. (Wise), located in Dayton, Ohio, has agreed to pay $302,500 to resolve allegations that it violated the False Claims Act by causing the submission of false and fraudulent invoices for non-existent materials to the Department of Energy (DOE) and paying improper kickbacks. The settlement amount was negotiated based on Wise’s lack of ability to pay.
Wise was a subcontractor at the Mixed Oxide Fuel Fabrication Facility at the DOE Savannah River Site in Aiken, South Carolina. The United States alleged that Wise knowingly submitted to the prime contractor — MOX Services LLC, formerly known as CB&I AREVA MOX Services LLC (MOX) — hundreds of invoices charging millions of dollars for materials that did not exist. MOX presented those false invoices to DOE. The United States also alleged that Wise employees paid kickbacks to MOX employees involved in the scheme.
“The government expects both contractors and subcontractors to adhere to their contractual commitments,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Those who violate their commitments and undermine the integrity of the government’s procurement process will face appropriate consequences.”
“This settlement puts subcontractors on notice that they will be held accountable for submitting false invoices and paying kickbacks to contractors on federal contracts with the United States,” said U.S. Attorney Adair F. Boroughs for the District of South Carolina. “We are grateful to the Department of Energy’s Office of Inspector General and the National Nuclear Security Administration for their important work in this case.”
“The lawsuit filed by Justice Department and this settlement will serve as a deterrent to others who seek to defraud the Department of Energy,” said Inspector General Teri L. Donaldson for the Department of Energy. “We are always seeking out those who develop illegal schemes designed to harm the government and the American taxpayers and we will continue to do everything we can to detect and deter these fraudsters.”
The civil settlement includes the resolution of claims against Wise brought under the False Claims Act by the United States in the case captioned United States v. CB&I AREVA MOX Services LLC and Wise Services Inc., No. 19-cv-444 (D.S.C.). MOX paid $10 million in a settlement with the government earlier this year for its participation in the scheme.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of South Carolina, with assistance from the DOE Office of Inspector General and the National Nuclear Security Administration.
The matter was handled by Fraud Section Attorneys Don Williamson and Rory Skaggs, and Assistant U.S. Attorneys Johanna Valenzuela, James Leventis and Sheria Clarke for the District of South Carolina.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
New Mexico Woman Sentenced to more than Four Years in Prison for Conspiracy to Smuggle Firearms into MexicoRead the Press Release
EL PASO – A New Mexico woman was sentenced Wednesday to 50 months in prison for her involvement in a scheme to purchase firearms in West Texas and Southern New Mexico and then export them into Mexico.
According to court documents, Carmen Gallegos, aka Carmen Salazar-Andujo, of Hobbs, New Mexico, participated in a conspiracy to purchase at least 23 firearms in a two-month period, then illegally smuggle them from the U.S. into Mexico. Between September 2, 2021 and October 29, 2021, Gallegos had listed a Texas address on at least three separate Firearm Transaction Records while in the Western District of Texas when she actually resided in New Mexico.
Gallegos was arrested at the Ysleta Port of Entry on October 31, 2021, returning from a visit to Mexico. Investigators were able to determine Gallegos had provided false information to a federal firearms licensee to obtain firearms and further collected evidence that she would frequently purchase firearms with the intention of smuggling them into Mexico. Gallegos admitted during her arrest that she was paid $538 for smuggling three firearms into Mexico the day prior. On June 20, 2022, she pleaded guilty to conspiracy to smuggle goods from the United States.
“Falsifying federal documents to purchase firearms is a serious offense,” said U.S. Attorney Ashley C. Hoff. “Thanks to our agency partners, who continue to stop firearms from crossing the border, we were able to prosecute appropriately and end Gallegos’s short-lived role as a smuggler.”
“Preventing firearms and ammunition from falling into the hands of transnational criminal organizations is one of HSI’s top enforcement priorities,” said HSI El Paso Special Agent in Charge Francisco B. Burrola. “Our border is safer today because one more firearms trafficker is behind bars. HSI will continue to work with our law enforcement partners to combat the threat members of these criminal networks pose to public safety.”
“This is case is a clear reminder of ATF’s commitment to collaborate with our law enforcement partners to stop the illicit flow of firearms to Mexico and disrupt the firearm traffickers responsible,” said Acting Special Agent in Charge Jamey VanVliet, Bureau of Alcohol, Tobacco, Firearms and Explosives Dallas Field Division.
Homeland Security Investigations and ATF investigated the case.
Assistant U.S. Attorneys Gregory McDonald, Ellen Denum and former Assistant U.S. Attorney Kristal Wade prosecuted the case.
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New Bedford Man Pleads Guilty to Firearm OffenseRead the Press Release
BOSTON – A New Bedford man pleaded guilty yesterday in federal court in Boston to unlawfully possessing a firearm and ammunition.
David Acosta, 26, pleaded guilty to one count of being a prohibited person in possession of a firearm and ammunition before U.S. District Court Judge Alison D. Burroughs who scheduled sentencing for Feb. 6, 2023. Acosta was indicted by a federal grand jury in May 2021.
On Oct. 22, 2020, Acosta was found in possession of a loaded Glock .45 caliber pistol and 10 rounds of assorted .45 caliber ammunition. Co-defendant, Marquise Thompson pleaded guilty to one count of possession with intent to distribute fentanyl and was sentenced to three years of supervised release on Nov. 15, 2022.
The charge of being a prohibited person in possession of a firearm provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and New Bedford Police Chief Paul Oliveira made the announcement. Assistant U.S. Attorney Evan Gotlob of Rollins’ Major Crimes Unit is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Mother of Fresno County Jail Inmate Sentenced to 4 Years in Prison for Conspiring to Smuggle Heroin and Methamphetamine into the JailRead the Press Release
FRESNO, Calif. — Eva Dolores Romero, 55, of Fresno, was sentenced today to four years and two months in prison for conspiring to possess with intent to distribute and to distribute heroin and methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between Dec. 1, 2020, and Jan. 26, 2021, Romero’s son was an inmate at the Fresno County Jail. Romero conspired with her son and others outside of jail to smuggle methamphetamine and heroin into the jail for distribution among inmates. The plot was unfoiled when law enforcement agents reviewed recorded jail calls and learned about the attempted smuggling set to occur on January 26. On that date, law enforcement intercepted an individual attempting to deliver athletic shoes to the jail for an inmate. The shoes were searched, and hidden compartments were found inside the shoes containing the illicit narcotics.
This case was the product of an investigation by Homeland Security Investigations, the Drug Enforcement Administration, the Fresno Police Department, and the Fresno County Sheriff’s Office. Assistant U.S. Attorney Justin J. Gilio prosecuted the case.
Modesto Man Indicted for Sexual Exploitation of Numerous Children Using SnapchatRead the Press Release
FRESNO, Calif. — A federal grand jury returned a five-count indictment yesterday against Jacob Jacobsen, 27, of Modesto, charging him with four counts of sexual exploitation of a child and one count of receipt of child pornography, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Jacobsen came to the attention of law enforcement in Memphis, Tennessee, when the mother of a 13-year-old girl reported that Jacobsen had been communicating with her through Snapchat, requesting sexually explicit content. Investigators with the Memphis Police Department and the Memphis FBI Office executed numerous search warrants and discovered that Jacobsen had been in contact with as many as 175 victims while using the Snapchat screen names “trippinj” and “treydawgg2000.” Jacobsen often purported to be 16 or 17 years old when communicating with victims and requesting that they create and send to him sexually explicit photographs and videos.
This case is the product of an investigation by the Memphis Police Department and the Memphis and Ripon FBI Offices. Assistant U.S. Attorney David Gappa is prosecuting the case.
If convicted, Jacobsen faces a maximum statutory penalty of 30 years in prison and a $250,000 fine for each of the four counts of sexual exploitation of a minor. The potential punishments for receipt of child pornography include a prison term of 20 years and a fine of $250,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the 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.
Michigan Man Sentenced to 25 Years After Pleading Guilty to Fourteen Counts of Child ExploitationRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Mark Allen Hillis, 58, of Southgate, Michigan, was sentenced to 25 years in prison to be followed by lifetime supervised release by United States District Court Judge Eduardo C. Robreno after being convicted of more than a dozen child exploitation offenses.
On November 17, 2021, one year and one day ago, the defendant pleaded guilty to all charges in a 14-count Indictment, including one count of enticing a minor to engage in criminal sexual activity, one count of traveling to engage in illicit sexual conduct, nine counts of manufacturing and attempted manufacturing of child pornography, two counts of transferring obscene material to a minor, and one count of possessing child pornography. The charges arose from the defendant’s sexual exploitation of a 13-year-old child over the internet and by text message over a period of months, his travel from Michigan to Pennsylvania to meet up with her for sex, and his sexual assault of her in a local hotel room when he arrived.
Hillis (also known by his screen name “Denverpolice#666” and the name “Daddy”) met his 13-year-old minor victim in a YouTube chatroom. After obtaining the child’s phone number, Hillis sent hundreds of obscene images and hounded the minor at all times of the day and night, repeatedly requesting her to produce and send him sexually explicit images of herself via text message. After months of online and text communication, Hillis convinced the child to sneak out of her home in the middle of the night. The defendant, having traveled to Pennsylvania to meet the victim for sex, then picked her up and took her to a hotel room, where he sexually assaulted her.
“Mark Hillis not only manipulated a young child into providing him with explicit images of herself, he brazenly traveled across state lines, convinced her to leave her home, and assaulted her – every parent’s worst nightmare,” said U.S. Attorney Romero. “This 25-year sentence in prison will ensure that he will remain safely behind bars, unable to prey on other children, for a long time.”
“Thanks to quick and seamless interagency cooperation, we have once again taken a dangerous predator of children off the streets,” said William S. Walker, Special Agent in Charge of HSI’s Philadelphia office. “I want to give special thanks to the Limerick Police Department for initiating this investigation and following it through to the end. Only through cohesive partnerships between federal, state, and local law enforcement can investigations and prosecutions like this one be achieved.”
“This sexual predator is the personification of ‘stranger danger.’ He used the internet to seek out his victim by connecting with and grooming a young girl, before escalating to sexually assaulting her. It’s such an egregious case that illustrates the importance of parents talking to their children about internet safety and sharing information with strangers on the internet,” said Montgomery County District Attorney Kevin R. Steele. “The entire law enforcement community at the local, state and federal levels are committed to finding and prosecuting this kind of assault on our children, and I thank the U.S. Attorney’s Office for their successful resolution of this 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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Limerick Township Police Department, the Montgomery County Detective Bureau of the District Attorney’s Office, the Pennsylvania State Police, and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Michelle Rotella.
Miami Man Indicted for Laundering Millions in Health Care Fraud ProceedsRead the Press Release
MIAMI – A federal magistrate judge has unsealed an indictment charging Miami resident Julio Arsenio Rodriguez, 61, with running a money laundering operation involving millions of Medicare and Medicaid health care fraud proceeds.
These proceeds stemmed from multiple clinics located throughout South Florida that allegedly provided durable medical equipment (DME) to eligible Medicare and Medicaid beneficiaries. Instead, the DME was never requested, needed, or supplied. These clinics received millions from Medicare and Medicaid and Rodriguez used his companies to launder those proceeds.
The indictment charges Rodriguez with one count of conspiracy to commit money laundering and 14 counts of money laundering.
The conspiracy to commit money laundering and the act of money laundering are punishable by a penalty of 10-20 years in prison for each count. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
An indictment is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
Juan Antonio Gonzalez, United States Attorney for the Southern District of Florida; Special Agent in Charge Omar Pérez Aybar, Health and Human Services–Office of Inspector General (HHS-OIG), Miami Region; acting Special Agent in Charge Robert M. DeWitt, Federal Bureau of Investigation (FBI), Miami Field Office, and Florida Attorney General Ashley Moody announced the charges.
HHS-OIG, Miami Region, FBI, Miami Field Office, and the Florida Office of the Attorney General Medicaid Fraud Control Unit investigated the case. Special Assistant U.S. Attorney Marc Canzio is prosecuting the case and Assistant U.S. Attorney Marx Calderon is handling asset forfeiture.
You may find related court documents and information on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Mexican Man Guilty of Illegally Using Social Security Number to Obtain EmploymentRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that MARIO MATEO TOMAS JOSE, a native of Mexico, pleaded guilty today to illegally using a social security number to qualify for employment, in violation of Title 42, United States Code, Section 408(a)(7)(B).
MARIO MATEO TOMAS JOSE ( “TOMAS JOSE” ) faces a maximum term of imprisonment of not more than five (5) years followed by up to three (3) years of supervised release, a fine of up to $250,000.00, and a mandatory special assessment fee of $100.00. Sentencing is set for February 23, 2023.
According to court documents, on March 29, 2022, Homeland Security Investigations received information that certain individuals had used fraudulent Social Security cards in an initial application to obtain employment. Prior to finalizing employment with their prospective company, the individuals had to report to the Gulf Coast Safety Council, which provides safety courses to applicants applying for work with companies servicing petrochemical processing plants. On March 30, 2022, TOMAS JOSE arrived at the Gulf Coast Safety Council office in St. Rose, Louisiana to complete the safety course to finalize his employment with Company “A.” On that day, TOMAS JOSE presented a fraudulent United States Social Security card bearing the name and United States Social Security number of a United States citizen, which he represented to be his own, in order to obtain employment.
U.S. Attorney Evans praised the work of Homeland Security Investigations in investigating this matter. Assistant United States Attorney Jon M. Maestri is in charge of the prosecution.
Meridian Man Pleads Guilty to Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. – A Meridian, Mississippi man pleaded guilty to possession of a firearm by a convicted felon, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court documents, Delontay Preston Scott, 30, was found in possession of a firearm by a Lauderdale County Sheriff’s Deputy on December 30, 2021, during a traffic stop. Scott possessed a .22 caliber pistol. Scott has prior felony convictions for armed robbery and burglary of a dwelling and was under the supervision of the Mississippi Department of Corrections at the time. As a convicted felon, it is contrary to federal law for Scott to possess any firearm.
Scott pleaded guilty to a violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2) which criminalize the possession of firearms by convicted felons. He is scheduled to be sentenced on February 22, 2022 and faces a maximum penalty of 10 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Lauderdale County Sheriff’s Office and the ATF investigated the case.
Assistant U.S. Attorneys Adam T. Stuart and Charles W. Kirkham are prosecuting the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Man Convicted for Striking and Killing a Victim with a Water Meter KeyRead the Press Release
A man who struck and killed another man with a water meter key was found guilty at trial late Thursday, announced U.S. Attorney Clint Johnson.
A federal jury convicted Kyle Edwin Freeman, 36, of first degree murder in Indian Country. The crime occurred at victim Donald Thomas’ Tulsa residence on the 4500 block of East Admiral Boulevard on July 30, 2020.
Freeman, his girlfriend and others spent the day consuming alcohol then drove to Thomas’ residence that night. During the car ride, Freeman and his girlfriend argued and eventually became involved in a physical altercation.
Freeman had been staying with the victim in the days leading up to the murder. Once they arrived at the home, Freeman’s girlfriend walked to a back room. When Freeman attempted to follow and continue the altercation, the victim attempted to calm him down then eventually pushed him onto a couch. Witnesses present in the living room testified that Freeman appeared to calm down. The two men, who were cousins, hugged, and the victim ensured Freeman had something to eat.
While Freeman was in another room, the two witnesses focused on repairing a speaker, and Thomas sat on the couch. Approximately 20 minutes later, one witness heard Freeman strike the victim, and the other felt the resulting blood splatter. When the two men looked toward the victim, they saw Freeman violently strike the victim in the head with a water meter key a second time, and they screamed for him to stop. Witnesses called 911. Freeman and his girlfriend were chased from the home and drove away. Emergency responders pronounced the victim dead at the scene.
At trial, Freeman’s girlfriend testified that while she was driving away, Freeman began hitting her, blamed her for what happened, and said he wasn’t going to let the victim disrespect him. He also threw their cell phones out the vehicle’s window. The couple then drove to a friend’s house. The friend testified that Freeman told her that he would not be disrespected so he “bashed” in the victim’s head. He further told his girlfriend to say they left the victim’s home to take a friend to work and that the victim had a gun.
Creek County Sheriff’s deputies later located the couple and their friend and took them to the Tulsa Police Department for questioning.
Tulsa Police and Muscogee Nation Lighthorse detectives interviewed the defendant. Freeman claimed that the victim had been upset with him and argued with him in the bedroom. He further claimed that the victim punched him then pulled out a black 9mm handgun. He explained that in an effort to defend himself, he swung an object at the victim’s head, hitting him once or twice. He then left the home to avoid a further confrontation.
When detectives processed the scene, they recovered the water meter key used in the crime in the living room. The key is a metal rod used to access water meters and adjust water flow. They further observed the victim lying on the couch, deceased. The blood splatter evidence in the room indicated that Thomas was seated on the couch when he was struck. There was no evidence that a physical altercation occurred in the bedroom, and no firearms were found.
In closing at trial, Assistant U.S. Attorney John Brasher emphasized to the jury that while Freeman drank alcohol that day, Freeman, by law, was culpable for the crime. Assistant U.S. Attorney Kenneth Elmore further stated that the individual who caused chaos the night of the crime was the defendant, Kyle Freeman. He reminded the jury that the only thing the victim did that night was try to calm Freeman down and then make him a sandwich afterward, and because Freeman somehow felt “disrespected,” he drove the handle of a water key through the skull of the victim, killing him.
Because the incident occurred within the boundaries of the Muscogee Nation reservation and both the victim and defendant were tribal citizens, the case was prosecuted in federal court in the Northern District of Oklahoma. Thomas was a citizen of the Muscogee Nation, and Freeman is a citizen of the Seminole Tribe of Florida.
The FBI, Tulsa Police Department, Muscogee Nation Lighthorse Police Department, and the Creek County Sheriff’s Office conducted the investigation. Assistant U.S. Attorneys Kenneth Elmore and John E. Brasher are prosecuting the case.
Man Charged for Robbing Banks in Arizona and TexasRead the Press Release
EL PASO – A federal criminal complaint was filed Thursday charging a Tucson man with bank robbery.
According to court documents, Sherman Edward Lester Jr., 45, of Tucson, Arizona, robbed an El Paso GECU Credit Union at gun point on September 2, 2022. The robber obtained an undisclosed sum of money and fled the bank.
On September 14, 2022, Lester attempted to rob a US Bank located inside a Safeway Grocery store in Tucson. Forensic analysis of 9mm shell casings left at both crime scenes traced back to Lester.
Lester is charged with bank robbery and incidental crimes. The defendant remains in custody in Tucson and will have his initial appearance in El Paso before a U.S. Magistrate Judge within the next couple weeks and then the case will proceed to grand jury. If convicted, he faces up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Ashley C. Hoff of the Western District of Texas and FBI Special Agent in Charge Jeffrey R. Downey, El Paso Field Office, made the announcement.
The FBI’s El Paso Violent Crimes Task Force and the El Paso Police Department’s Crimes Against Persons Unit investigated the case. The FBI Phoenix Tucson Resident Agency, with the assistance of the Tucson Police Department, investigate the attempted robbery of the US Bank and made the arrest.
Assistant U.S. Attorney Patricia Aguayo is prosecuting the case.
A federal complaint is an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Major Lynchburg Drug Dealer Sentenced to 30 Years in PrisonRead the Press Release
LYNCHBURG, Va. – A Lynchburg, Virginia man, who a federal jury convicted in March 2022 of distributing large quantities of heroin, methamphetamine, and cocaine, was sentenced today to 30 years in federal prison.
Quentin Lowell Horsley, 38, was convicted of conspiracy to distribute and possession with the intent to distribute 500 grams or more of cocaine, 500 grams or more of methamphetamine, and 100 grams or more of heroin. Additionally, the defendant was convicted of four counts of distribution of cocaine.
According to evidence presented at trial, Horsley led a drug trafficking conspiracy where he was responsible for supplying and facilitating the distribution of substantial quantities of methamphetamine, heroin, cocaine, and marijuana by managing a network of more than 17 drug dealers throughout the Lynchburg regional area.
The investigation culminated when the Lynchburg Police Department executed search warrants at residences used by Horsley and his co-conspirators and found nearly two kilograms of cocaine, nearly a kilogram of heroin, and more than three kilograms of methamphetamine. These narcotics had a street value of more than $1 million.
Horsley’s reach and influence over the Lynchburg region’s drug network was so vast that one co-conspirator wrote in a text, “when you wait, you make the whole city wait.”
United States Attorney Christopher R. Kavanaugh for the Western District of Virginia, Jarod Forget, Special Agent in Charge of the DEA Washington Division, and Chief Ryan M. Zuidema of the Lynchburg Police Department made the announcement.
The Lynchburg Police Department and the Drug Enforcement Administration investigated the case.
Assistant U.S. Attorney Sean M. Welsh prosecuted the case.
Lupton Man Sentenced to over Five Years for RobberyRead the Press Release
PHOENIX, Ariz. – Dominic Tyah Watchman, 20, of Lupton, Arizona, and a member of the Navajo Nation, was sentenced on November 2, 2022, by United States District Judge Susan M. Brnovich to 66 months in prison, followed by three years of supervised release. Watchman previously pleaded guilty to robbery.
On November 7, 2021, at a rest stop in Lupton, Arizona, Watchman approached the 82-year-old victim and tried to get him to turn over the keys to his vehicle. When the victim refused, Watchman pepper sprayed him, knocked him to the ground, and fled the rest stop in the victim’s vehicle.
The Federal Bureau of Investigation, the Arizona Department of Public Safety, and the Navajo Department of Criminal Investigations conducted the investigation in this case. Assistant U.S. Attorney Christina J. Reid-Moore, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-08137-PCT-SMB
RELEASE NUMBER: 2022-213_Watchman# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Locust Grove Man Sentenced to 120 Months in Prison After Robbing Woman at Gunpoint in her HomeRead the Press Release
A man was sentenced in federal court for going to a female acquaintance’s home after she cashed a $2,900 check and robbing her at gunpoint, announced U.S. Attorney Clint Johnson.
U.S. District Judge Daniel D. Crabtree sentenced William Rhea Wadlow Jr., 23, of Locust Grove, to 120 months in federal prison followed by three years of supervised release. Wadlow was further ordered to pay $2,680 in restitution. He previously pleaded guilty to carrying, using, brandishing, and discharging a firearm during and in relation to a crime of violence.
On April 14, 2021, he and two others saw a woman he was acquainted with cash the check at a Locust Grove convenience store. About 20 minutes later, the three went to the woman’s house. Wadlow asked to use her restroom, and they entered the home. At one point, Wadlow asked the victim if she wanted to purchase his .38 caliber revolver. When she declined, Wadlow told the victim he was homeless and hungry. The victim offered him $200. Then as the group was about to exit the home, Wadlow turned with a gun and fired toward the victim. The bullet struck the floor. Wadlow then demanded the woman give him all her money. The victim handed him her wallet. He also grabbed her purse from her hand. As the three fled from the home, Wadlow warned her not to follow him or he would shoot her.
Law enforcement later located Wadlow at a gas station in Rose, Oklahoma. Wadlow barricaded himself in the restroom but after several hours, surrendered to law enforcement. He had $671.25 on him at the time of his arrest.
The FBI, Mayes County Sheriff’s Office, Cherokee Nation Marshal Service, and Oklahoma State Bureau of Investigation conducted the investigation. Assistant U.S. Attorney George Jiang prosecuted the case.
Kansas Man Indicted for Illegal Firearm Following High-Speed Motorcycle Chase in Newton CountyRead the Press Release
SPRINGFIELD, Mo. – A Galena, Kansas, man has been indicted by a federal grand jury for illegally possessing a firearm after he led law enforcement officers on a high-speed pursuit on his motorcycle across state lines from Kansas to Newton County, Mo.
Douglas Eugene Alexius, 47, was charged with being a felon in possession of a firearm in a federal indictment returned on Wednesday, Nov. 16, by a federal grand jury in Springfield. Alexius was charged as an armed career criminal due to his prior felony convictions.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Alexius was arrested on Oct. 9, 2022, after leading law enforcement officers on a high-speed chase. Alexius was driving a Harley Davidson motorcycle on U.S. Highway 166 in Cherokee County, Kan., when a sheriff’s deputy attempted to stop him for failing to stop at a stop sign. Alexius accelerated his motorcycle and led law enforcement officers in pursuit into Newton County. Alexius lost control of his motorcycle and crashed at the intersection of Greenwood Drive and Birch Drive. He was taken into custody after being tased three times because he refused to follow an officer’s order to lie on the ground and kept reaching into his jacket pocket. Officers searched Alexius and found a loaded Smith & Wesson 9mm pistol in his jacket pocket.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Alexius has four prior felony convictions for resisting arrest and two prior felony convictions for possessing a controlled substance, as well as prior felony convictions for conspiracy to distribute methamphetamine, possessing a firearm in relation to a drug offense, receiving stolen property, and unlawful use of a firearm.
The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Special Assistant U.S. Attorney Cameron A. Beaver. It was investigated by the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Newton County, Mo., Sheriff’s Department, and the Cherokee County, Kan., Sheriff’s Department.
KC Woman Pleads Guilty to CARES Act Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., woman has pleaded guilty in federal court to fraudulently receiving a $10,000 Economic Injury Disaster Loan, a program that was part of the Coronavirus Aid, Relief and Economic Security (CARES) Act.
Nicole R. Cortez, 41, waived her right to a grand jury and pleaded guilty before U.S. District Judge Stephen R. Bough on Thursday, Nov. 17, to a federal information that charges her with one count of wire fraud.
The purpose of the CARES Act was to provide emergency financial assistance due to the economic impact caused by the COVID-19 pandemic. The CARES Act authorized the Small Business Administration to provide Economic Injury Disaster Loans to eligible small businesses that experienced substantial financial disruption due to the economic impact of the COVID-19 pandemic.
By pleading guilty today, Cortez admitted that she provided her personal identification information to a co-conspirator (identified in court documents as C1), who then used that information to submit an online loan application. The loan application fraudulently claimed that Cortez was the owner of a business called “Cortez Shoez Inc,” and provided false information regarding gross revenue and the number of employees. In reality, there is no such business associated with Cortez.
Cortez completed and signed a loan authorization and agreement for the Cortez Shoez loan on Aug. 8, 2020, falsely certifying that all of the information was correct and that loan proceeds would be used “solely as working capital to alleviate economic injury caused by disaster occurring in the month of January 31, 2020, and continuing thereafter.”
The Small Business Administration approved the loan and deposited $10,000 into Cortez’s bank account on Aug. 11, 2020. She spent the loan proceeds on personal expenses, such as car payments, restaurant purchases, and cash withdrawals.
Under federal statutes, Cortez is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be held on April 20, 2023.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by the U.S. Postal Service, Office of Inspector General.
Investment Manager Arrested for $10 Million Cryptocurrency Ponzi SchemeRead the Press Release
An Ohio man was arrested today on criminal charges related to his alleged involvement in a cryptocurrency investment fraud scheme that raised at least $10 million from investors.
According to court documents, Rathnakishore Giri, 27, of New Albany, allegedly misled investors by fraudulently promoting himself as an expert cryptocurrency trader, with a specialty in trading Bitcoin derivatives. As alleged in the indictment, Giri falsely promised investors that he would generate lucrative returns with no risk to their principal investment amount, which he guaranteed to return. In reality, Giri often allegedly used money provided by new investors to repay old investors – a hallmark of a Ponzi scheme. In addition, Giri allegedly had a record of investment failures, including a long history of losing investors’ principal investments, and misled investors about reasons for delays when they sought to cash out their investments or otherwise obtain the return of their “guaranteed” principal.
Giri is charged by indictment with five counts of wire fraud. If convicted, he faces a maximum penalty of 20 years in prison on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division and Special Agent in Charge J. William Rivers of the FBI Cincinnati Field Office made the announcement.
The FBI is investigating the case.
Trial Attorneys Lucy B. Jennings and Tamara Livshiz of the Criminal Division’s Fraud Section 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].
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Inmate Indicted for Attempting to Murder Correctional OfficersRead the Press Release
KANSAS CITY, KAN. – A federal grand jury in Kansas City returned an indictment charging a federal inmate with an assaulting two correctional officers.
According to court documents, Warren Richardson, 46, of Leavenworth Penitentiary is charged with two counts of attempted murder of a correctional officer, two counts of assaulting a correctional officer with a deadly weapon and inflicting bodily injury, two counts of assault of a correctional officer, and one count of possession of contraband in prison. On February 6, 2021, Richardson is accused of using a handmade weapon with a 1.5-inch sharpened metal point to stab two prison guards.
The Federal Bureau of Investigation (FBI) is investigating the case.
Assistant U.S. Attorney Sheri Catania is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Nov. 15 was:
Jordan Paige Day, 24, of Wolf Point, on charges of conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute controlled substances. If convicted of the most serious crime, Day faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Day was released pending further proceedings. The FBI, Idaho State Police, Roosevelt County Sheriff’s Office and Fort Peck Department of Law and Justice investigated the case. PACER case reference. 22-74.
Kevin Clarence Bell, 44, of Great Falls, on charges of conspiracy to possess with intent to distribute fentanyl and possession with intent to distribute fentanyl. If convicted of the most serious crime, Bell faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Bell was detained pending further proceedings. The FBI, Great Falls Police Department, Cascade County Sheriff’s Office, US. Postal Inspection Service, Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-89.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on Nov. 17 was:
Marcyanna Rose Dimond, 44, of Polson, on charges of possession with intent to distribute meth. If convicted of the most serious crime, Dimond faces a mandatory minimum of 10 years in prison, a $10 million fine and at least five years of supervised release. Dimond was detained pending further proceedings. The Northwest Drug Task Force, Flathead Tribal Police Department and Montana Probation and Parole investigated the case. PACER case reference. 22-48.
Appearing on Nov. 15 was:
Candy Lynn Coleman, aka Candy Lynn Anderson, 47, of Missoula, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and distribution of methamphetamine. If convicted of the most serious crime, Coleman faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release. Coleman was detained pending further proceedings. The FBI, Great Falls Police Department and Missoula Police Department investigated the case. PACER case reference. 22-90.
Aaron Lee Grossman, 50, of Washington, Utah, on charges of theft of government money, false claims to government agency and Social Security fraud. If convicted of the most serious crime, Grossman faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Grossman was released pending further proceedings. The Social Security Administration Office of the Inspector General investigated the case. PACER case reference. 22-49.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Nov. 17 was:
Casey Wallace Leider, 31, of Hardin, on charges of prohibited person in possession of a firearm and ammunition. If convicted of the most serious crime, Leider faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Leider was detained pending further proceedings. The Bureau of Indian Affairs Investigated the case. PACER case reference. 21-105.
Appearing on Nov. 15 was:
James “JC” Luis Costilla, 34, of Lame Deer, and Ivan Eaglefeathers, 19, of Busby, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and possession of a firearm in furtherance of a drug offense. If convicted of the most serious crime, Costilla and Eaglefeathers face a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release on the drug counts and a mandatory minimum 10 years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearm count. Costilla and Eaglefeathers were detained pending further proceedings. The FBI and Bureau of Indian Affairs investigated the case. PACER case reference. 22-89.
Wendell Monroe Lefthand, 53, of Lodge Grass, on charges of assault of spouse resulting in substantial bodily injury and assault with a dangerous weapon. If convicted of the most serious crime, Lefthand faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Lefthand was detained pending further proceedings. The Bureau of Indian Affairs investigated the case. PACER case reference. 22-123.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Illinois Man Pleads Guilty to Distributing Heroin and Fentanyl Near a Local College and ParkRead the Press Release
A man who distributed heroin and fentanyl in Dubuque, Iowa, plead guilty on November 18, 2022, in federal court in Cedar Rapids.
Menelaeus C. Watson, age 35, from Chicago, Illinois, was convicted of distribution of heroin and fentanyl within 1,000 feet of a protected location.
In a plea agreement, Watson admitted to engaging in two transactions to distribute heroin and fentanyl in Dubuque. The transactions took place within 1,000 feet of a local college and two parks.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Watson remains in custody of the United States Marshal pending sentencing. Watson faces a possible maximum sentence of 60 years’ imprisonment, a fine of not more than $4 million, and up to six years of supervised release following any term of imprisonment.
This case was investigated by the Dubuque Drug Task Force and is being prosecuted by Assistant United States Attorneys Jason D. Norwood and Patrick J. Reinert.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-1033-CJW.
Follow us on Twitter @USAO_NDIA.
Houston area men sentenced for violent Dollar Tree robberies with firearmRead the Press Release
HOUSTON – Two local men have been ordered to federal prison for their roles in two Houston-area robberies, announced U.S. Attorney Jennifer B. Lowery.
Charles Cox, 34, and Jarred Adams, 20, pleaded guilty May 15.
Today, U.S. District Judge David Hittner imposed a 240-month term of imprisonment for Cox, while Adams received 281 months. Both must also serve three years of supervised release following their sentences. At the hearing, the court heard both men apologize to the victims and accept full responsibility of their crimes. In handing down the prison terms, the court noted that the use of weapons was a significant factor in determining their long terms in prison.
On April 13, 2021, the men entered a Dollar Tree store located on FM 1960. Adams shot and injured a clerk to obtain cash. At that time, Cox acted as the getaway driver.
The following day, the men robbed a separate Dollar Tree located on SH 249. They brandished a firearm but no shots were fired.
Cox and Adams have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Jim McAlister prosecuted the case.
Grand Island Repeat Offender Sentenced to 19 Years for Distributing MethamphetamineRead the Press Release
Acting United States Attorney Steven Russell announced that Austin Kober, 24, of Grand Island, Nebraska, was sentenced today by United States District Court Judge John M. Gerrard to a term of 228 months’ imprisonment following his conviction for distribution of 50 grams or more of actual methamphetamine. The sentence was enhanced because Kober was deemed to be a career offender. After he completes his prison sentence, Kober will also serve five years on supervised release. There is no parole in the federal system.
On two occasions in March 2021, Kober sold methamphetamine to an informant in Grand Island. Methamphetamine from one of the sales was sent to the Nebraska State Patrol Crime Lab where an analyst confirmed the presence of at least 106 grams of pure methamphetamine. On May 26, 2021, investigators saw short-term traffic to and from Kober’s residence, then saw him leave in a Chevy Impala. Police stopped the car due to traffic violations. Police found $699 cash in Kober’s pocket and he admitted marijuana had been in the car in the past. Police deployed a drug-detection dog around Kober’s car. The dog alerted and indicated to the odor of narcotics. During a search of Kober’s car, investigators found $1,500 in cash in the center console and a half-pound of methamphetamine in the back seat. The Crime Lab confirmed the presence of at least 240 grams pure methamphetamine.
Investigators served a search warrant at Kober’s residence where they found a drug ledger, a vacuum sealer machine, vacuum sealer bags, marijuana, and a box of baggies. Investigators interviewed Kober who admitted to dealing methamphetamine. Two witnesses told investigators they had received methamphetamine from Kober on multiple occasions between 2020-2021.
This case was investigated by the Hall County Sheriff’s Office and the Central Nebraska Drug and Safe Streets Task Force, which is made up of officers from the Grand Island Police Department, Hall County Sheriff, Hastings Police Department, Adams County Sheriff, Kearney Police Department, Buffalo County Sheriff, Nebraska State Patrol, Homeland Security Investigations, and the Federal Bureau of Investigation.
Glasford Man Pleads Guilty to Child Pornography OffensesRead the Press Release
PEORIA, Ill. – A Glasford, Illinois, man, Benjamin C. Lascelles, 35, of the 600 block of East Main Street, pleaded guilty on November 18, 2022, to production of child pornography and possession of child pornography. Sentencing for Lascelles has been scheduled for March 23, 2023, at the U.S. Courthouse in Peoria, Illinois.
In court before U.S. District Judge James E. Shadid, Lascelles admitted that he produced child pornography images and possessed child pornography. During the hearing, the government stated that Lascelles video recorded and photographed himself sexually assaulting two children, ages 8 and 6, on multiple occasions in December 2019.
Lascelles remains in the custody of the United States Marshals Service pending sentencing.
Lascelles faces statutory penalties including a term of imprisonment between fifteen and fifty years, a fine of up to $500,000, and up to a lifetime term of supervised release.
The case is a result of the joint investigation by the United States Secret Service, the Peoria County Sheriff’s Office, and the Canton Police Department. Assistant U.S. Attorney Ronald L. Hanna is prosecuting the case.
The case against Lascelles was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Fugitive to Face Sentencing After 20 YearsRead the Press Release
OAKLAND – Voni Chen appeared in federal court today for the first time since becoming a fugitive in 2002 when she failed to appear at her sentencing hearing, announced United States Attorney Stephanie M. Hinds and Federal Bureau of Investigation Special Agent in Charge Robert K. Tripp.
Voni Chen, 57, of Taiwan, and her father Richard Chen, 87, were charged in the same indictment in August 2000 with multiple counts of mail fraud. Each pleaded guilty to mail fraud on October 26, 2001, before U.S. District Judge D. Lowell Jensen. They both failed to appear as ordered on May 3, 2002, for their sentencing hearings, and U.S. District Judge Jensen issued bench warrants for their arrests. Twenty years later, Singaporean authorities alerted US authorities that they had located the Chens in Singapore, and based on a US provisional arrest request, Singaporean authorities arrested them. Following the Chens’ consent to their extradition to the United States, the Singapore Minister for Law ordered both to be extradited. Voni Chen was transported yesterday and made an initial appearance today in federal court in Oakland before U.S. Magistrate Judge Donna M. Ryu. Richard Chen is awaiting transportation.
According to the nearly identical plea agreements each entered into on October 26, 2001, Richard Chen was a principal and Voni Chen was the president of Golden Pacific Manufacturing Corporation, Inc. (Golden Pacific), and together they managed the company. Among other things, Golden Pacific manufactured and sold plastic bags. The company started to experience cash flow problems, and Richard and Voni Chen, along with a third party, began a scheme to defraud the credit company that financed Golden Pacific’s accounts receivables. The scheme initially involved Golden Pacific sending invoices to the credit company that reflected orders from Golden Pacific that its customers had never made. Once the credit company received the false invoices, it loaned funds to Golden Pacific as required in their financing agreement.
The plea agreements of both Richard Chen and Voni Chen describe that to increase the number of false invoices, Golden Pacific asked other companies to act as customers of Golden Pacific even though those companies never bought merchandise from Golden Pacific. In addition, Richard Chen and Voni Chen asked their existing customers to represent they purchased more goods from Golden Pacific than they had actually ordered. Richard Chen and Voni Chen also created shell corporations to act as fake customers of Golden Pacific. The false invoices from all of these sources were submitted to the credit company to obtain loaned funds. Eventually, the credit company agreed to loan Golden Pacific more than $5 million, largely secured by the fictitious receivables created from sham transactions.
Assistant United States Attorney Robert Rees is prosecuting the case, with the assistance of Leeya Kekona. The prosecution was a result of an investigation by the FBI.The extradition was handled by the U.S. Justice Department’s Office of International Affairs.
The U.S. Justice Department, including the U.S. Attorney’s Office for the Northern District of California, thanks the Singapore Police Force and Attorney General’s Chambers for its cooperation with the United States.
Fugitive Couple Extradited to the United States from Montenegro to Begin Prison Sentences for $20 Million FraudRead the Press Release
A California couple who fled to Montenegro to avoid serving lengthy prison sentences has been returned to the United States after approximately one year and two months as fugitives.
Richard Ayvazyan, 44, and his wife, Marietta Terabelian, 38, were extradited by Montenegro and arrived in Los Angeles last night. They are expected to appear in U.S. District Court in Los Angeles this afternoon.
In June 2021, Ayvazyan and Terabelian were convicted by a federal jury of leading a conspiracy to fraudulently obtain over $20 million in COVID-19 relief funds. After the trial, Ayvazyan and Terabelian fled the United States. In November 2021, they were sentenced in absentia. Ayvazyan was sentenced to 17 years in prison, and Terabelian was sentenced to six years in prison. U.S. authorities later determined the couple had fled to Montenegro.
According to court documents and evidence presented at trial, Ayvazyan and Terabelian were members of a Los Angeles-based fraud ring who engaged a scheme to fraudulently obtain more than $20 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds. Ayvazyan and Terabelian used dozens of fake, stolen, or synthetic identities – including names belonging to elderly or deceased people and foreign exchange students who briefly visited the United States years ago and never returned – to submit fraudulent applications for approximately 150 PPP and EIDL loans.
In support of the fraudulent loan applications, Ayvazyan and Terabelian also submitted false and fictitious documents to lenders and the Small Business Administration (SBA), including fake identity documents, tax documents, and payroll records. Ayvazyan and Terabelian then used the fraudulently obtained funds as down payments on three luxury homes in California. They also used the funds to buy gold coins, diamonds, jewelry, luxury watches, fine imported furnishings, designer handbags, clothing, and a Harley-Davidson motorcycle.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Martin Estrada for the Central District of California; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; Special Agent in Charge Tyler Hatcher of the IRS Criminal Investigation (IRS-CI), Los Angeles Field Office; Special Agent in Charge Weston King of the SBA Office of Inspector General (SBA-OIG), Western Region; and Special Agent in Charge Jay N. Johnson of the Federal Housing Finance Agency Office of Inspector General (FHFA-OIG) Western Region, made the announcement.
The Government of Montenegro, including the Ministry of Justice, provided significant assistance in the extradition of Ayvazyan and Terabelian to the United States. The Justice Department’s Office of International Affairs also provided substantial assistance in securing the arrest and extradition of Ayvazyan and Terabelian.
The FBI Los Angeles Field Office, IRS-CI, SBA-OIG, and FHFA-OIG investigated this matter. The U.S. Marshals Service transported Ayvazyan and Terabelian from Montenegro to the United States.
Trial Attorney Christopher Fenton of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Brian Faerstein and Scott Paetty for the Central District of California are prosecuting the case. Assistant U.S. Attorney Dan Boyle for the Central District of California is handling forfeiture. Trial Attorney Goran Krnaich and International Affairs Specialist Taylor Cole of the Justice Department’s Office of International Affairs handled the extraditions.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted more than 192 defendants in more than 121 criminal cases related to CARES Act programs and funds. The Fraud Section has also seized more than $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Fresno Man Pleads Guilty to Using a Stolen Identity to Steal Hundreds of Thousands of Dollars from Banks and the Federal GovernmentRead the Press Release
FRESNO, Calif. — Brian Stoffel, 38, of Fresno, pleaded guilty today to bank fraud and aggravated identity theft charges for using a victim’s identity to steal money from the victim’s bank accounts and get fraudulent loans in the victim’s name, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between September 2020 and August 2021, Stoffel obtained the personally identifiable information for an individual and used it to drain the victim’s savings and apply for loans in the victim’s identity. This included a Department of Homeland Security Federal Emergency Management Agency (FEMA) loan for disaster assistance related to a wildfire. Stoffel’s scheme resulted in a loss of $420,000. He used the proceeds for personal expenses, including to buy a new motorcycle and make purchases at retail stores.
This case is the product of an investigation by the Fresno County Sheriff’s Office Elder Abuse Unit and the Federal Bureau of Investigation. Assistant U.S. Attorney Joseph Barton is prosecuting the case.
Stoffel is scheduled to be sentenced by U.S. District Judge Jennifer L. Thurston on February 2, 2023. Stoffel faces a maximum penalty of 30 years in prison and $1 million fine for the bank fraud charge and mandatory two years in prison, consecutive to other counts, for the identity theft charge. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Fresno Bank Employee Arrested for Stealing over $70,000 from Customers’ AccountsRead the Press Release
FRESNO, Calif. — Lladira Hernandez, 23, of Fresno, was arrested today on charges that she stole over $70,000 from multiple customers’ accounts at a Fresno-based bank where she was previously employed, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in April 2022, Hernandez was hired by the bank as a customer service representative. She began stealing the bank account information for customers she helped over the phone and used it to pay bills for herself and her associates. This included mortgage payments, car payments, and phone bills. In August 2022, Hernandez transferred more than $45,000 from two customers’ accounts into her own account and abruptly quit her job at the bank. She proceeded to withdraw that money from her account and was captured doing so on surveillance video.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Joseph Barton is prosecuting the case.
If convicted, Hernandez faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations. Hernandez is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Four Members and Associates of the Folk Nation Gangster Disciples Convicted of Gang-Related Shootings in BrooklynRead the Press Release
Earlier today, a federal jury in Brooklyn convicted Lorenzo Bailey, Quincy Battice, Jean Fremont, and Oluwagbenga Agoro on multiple counts of a superseding indictment charging them with conspiracy to murder rival gang members in-aid-of racketeering, attempted murder in-aid-of racketeering, attempted assault with a dangerous weapon in-aid-of racketeering, assault with a dangerous weapon in-aid-of racketeering and possessing, brandishing and discharging a firearm during a crime of violence in connection with multiple shootings in Brooklyn in November 2020. Bailey, Battice, Fremont, and Agoro are all members or associates of the Flatbush-based Folk Nation Gangster Disciples, also known as “GD.” Bailey and Fremont are also leaders of the No Love City (NLC) subset of GD, with Fremont serving on NLC’s five-member “Steering Committee,” and Bailey serving as the set’s “Chief of Security.” Additionally, Agoro was convicted of threatening physical violence in connection with a plan to commit extortion. The verdicts followed a five-week trial before United States District Judge William F. Kuntz, II. When sentenced, the defendants each face a maximum of life in prison; Agoro and Fremont face mandatory minimum sentences of 20 years, and Bailey and Battice face mandatory minimum sentences of 10 years. Four other participants in the shootings previously pleaded guilty.
Breon Peace, United States Attorney for the Eastern District of New York, announced the verdict.
“In senseless retaliation for the theft of a gold chain, our Brooklyn communities were terrorized by gangs on a violent gun rampage that left three victims wounded in four separate shootings over a two-day period,” states United States Attorney Peace. “The residents of this district deserve to walk the streets of our communities without fear of falling victim to gun violence. Today’s verdict sends a resounding message that defendants who display a callous disregard for human life and safety will be met with the full force of the law and brought to justice.”
Mr. Peace thanked the Federal Bureau of Investigation, New York Field Office; Kings County District Attorney’s Office, and the New York City Police Department (NYPD) for their assistance in the case.
As proven at trial, the defendants participated in four shootings over a two-day period stemming from the snatching of a gold chain and pendant from Fremont by rival gang members following the filming of a music video in Brooklyn. News of the theft spread online, along with photos of the stolen necklace. In response to ridicule posted on social media about the theft, the defendants plotted retaliation against rival gang members.
The November 2020 Shootings
As proven at trial, on November 7 and 9, 2020, Agoro, Bailey, Battice, Fremont and others carried out four separate drive-by shootings in Canarsie, Prospect Park South, and Brownsville, during which three victims were wounded. In the first November 7 shooting, Agoro, Bailey, Battice, Fremont and others drove to Canarsie, where they shot at a group of individuals. The defendants then drove back to one of the shooter’s residences, before setting out again for a second shooting in Canarsie, during which two individuals were wounded in their legs. On November 9, 2020, Agoro and others drove to Prospect Park South, where they shot at a group of individuals but did not hit anyone. Later that same day, Agoro, Fremont and others drove to Brownsville for another shooting, where one 18-year-old victim was shot in the shoulder and grazed in her back.
In March 2021, Agoro went to a bodega in Flatbush. He and another individual then displayed a gun and threatened to kill the bodega clerk unless the clerk allowed the defendant and his friends to take merchandise from the store for free.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The investigations that led to these prosecutions and convictions were conducted by the FBI/NYPD Safe Streets Task Force and NYPD Gun Violence Suppression Division.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Jonathan Siegel, Dana Rehnquist, and Sophia Suarez are in charge of the prosecution with the assistance of paralegal Celine Laruelle.
The Defendants:
LORENZO BAILEY (also known as “Renzo” and “St. Clair Bailey”)
Age: 33
Atlanta, GeorgiaQUINCY BATTICE (also known as “Hush Dinero” and “George Ayala”)
Age: 33
Atlanta, GeorgiaJEAN FREMONT (also known as “Juno” and “Bigga Twirl”)
Age: 31
Brooklyn, New YorkOLUWAGBENGA AGORO (also known as “Gee Banga”)
Age: 22
Brooklyn, New YorkE.D.N.Y. Docket No. 20-CR-293 (WFK)
Fort Worth Manufacturer Charged in Glock Switch CaseRead the Press Release
A Fort Worth man who allegedly manufactured and sold thousands of machinegun conversion devices – small, 3D-printed gadgets that convert ordinary firearms into fully automatic machineguns – has been federally charged, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Xavier Desean Watson, was charged via criminal complaint with possession and transfer of machine guns. He was arrested without incident in the parking lot of his apartment complex on Thursday night and made his initial appearance before U.S. Magistrate Judge Jeffrey Cureton in Fort Worth on Friday. Three additional conversion device sellers, Ayoob Wali, 23, Jose Corral Santillan, 19, and Montavion Jones, 20, were charged earlier this year.
Over the course of the investigation, ATF agents seized more than 650 conversion devices, colloquially known as “switches” (installed in Glock-style pistols) or “sears” (installed in semi-automatic rifles).
“As simple to manufacture as they are quick to install, conversion devices turn regular firearms into machineguns capable of inflicting tremendous harm in a few split seconds,“ said U.S. Attorney Chad E. Meacham. “Imagine hardened criminals armed not only with pistols, potentially lethal in their own right, but also with automatic firearms rivaling those carried by the U.S. military. These half-inch pieces of plastic are putting our people at risk. We cannot let these devices proliferate on our streets.”
“Machinegun conversion devices pose a serious threat to public safety and have been increasingly used in violent gun crime. This investigation is a clear example of the relentless pursuit by ATF along with our partners to disrupt not only those possessing and using these weapons but also their suppliers,” said James VanVliet Acting Special Agent in Charge of the ATF’s Dallas Field Division.
According to court documents, in early 2022, Fort Worth law enforcement noted a surge in shootings involving conversion devices, which allow gunmen to fire multiple rounds of ammunition in quick succession with a single depression of the trigger.
(Conversion devices turn legal firearms into machineguns, which are generally unlawful for non-licensed civilians. A pistol equipped with a conversion device can fire up to 1200 rounds per minute – a faster rate of fire than the standard M-4 machinegun issued to U.S. military servicemembers. A standard 3D printer can produce about 100 plastic switches every 72 hours.)
Multiple criminal defendants identified Mr. Corral, a gang member, as a source of supply. Mr. Corral and his associate, Mr. Jones, led agents to Mr. Wali, who eventually identified Mr. Watson as the printer.
According to court documents, in March 2022, an undercover agent, accompanied by a confidential informant who connected with Mr. Jones via Instagram, purchased 10 machinegun conversion devices from Mr. Jones. The defendant used a juvenile dubbed “little buddy” to deliver the devices to the agent. The following month, the agent purchased eight switches from Mr. Corral.
The agent asked Mr. Corral if he printed the switches himself; he allegedly replied that he did not, but “I got the guy that got the printer.” The undercover agent then overheard Mr. Corrall place a call to a man he referred to as “Whale,” later identified as Mr. Wali. The agent later asked if he could meet Mr. Wali, but Mr. Corral said the man was “paranoid.” Shortly thereafter, agents observed Mr. Corral meet up with Mr. Wali inside his car, then emerge with a bulging backpack under his sweatshirt.
Mr. Wali and Mr. Corral were arrested on May 3; Mr. Jones was arrested on June 6.
Mr. Wali initially claimed he found the machine gun devices in a vehicle he purchased, but later admitted his supplier was a man named “Xavier,” later identified as Mr. Watson.
According to the complaint, an undercover ATF agent went on to purchase a total of 33 conversion devices and a 3D-printed AR-15 style pistol from Mr. Watson, who bragged that he could produce roughly 400 switches a day on two 3D printers set up in his living room. He used a tablet to load conversion device printing directions onto the printer.
The agent met Mr. Watson at his home on Oct. 18 and Oct. 26. On both occasions, Mr. Watson assembled the conversion devices and showed the agent how to insert a conversion device into an AR-style firearm. On the second occasion, he showed the undercover agent the 3D printers and printed the switches while he waited. Mr. Watson acknowledged that he knew some of his buyers were selling the switches, and said that he had previously mailed devices to recipients by concealing them inside a children’s toy.
A criminal complaint is merely allegation of criminal conduct, not evidence. Defendants are presumed innocent until proven guilty in a court of law.
If convicted, Mr. Watson faces up to a decade in federal prison.
Mr. Corral pleaded guilty on June 22 to unlawful possession of machine guns and was sentenced on Oct. 7 to 57 months in federal prison. Mr. Jones pleaded guilty to the same charge on Aug. 24 and is set to be sentenced on Dec. 13. Mr. Wali pleaded guilty on Nov. 16 and is set to be sentenced on Jan. 18, 2023.
The Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Division conducted the investigation with the assistance of the Fort Worth Police Department. Assistant U.S. Attorney Frank Gatto is prosecuting the case
Former VA Employee Charged with Threatening a Federal OfficialRead the Press Release
PROVIDENCE – A former employee of the Department of Veteran Affairs, Veteran Benefits Administration Regional Office (VARO) in Providence has been charged by way of a federal criminal complaint with retaliating against a federal official by threatening, announced United States Attorney Zachary A. Cunha.
It is alleged in charging documents that Andrew M. Nyamekye, 38, of Centerville, MA, sent a series of text messages to current and former VBA employees containing threats directed at, among others, the executive director of the Providence VARO. Nyamekye, who served in the United States Army from 2007 to 2011, was employed at the Providence VARO from 2012 until his termination in March of this year.
Nyamekye made an initial appearance in U.S. District Court on Thursday and was released on unsecured bond. A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant United States Attorney G. Michael Seaman.
The matter was investigated by the U.S. Department of Veterans Affairs, Office of the Inspector General (VA-OIG). Nyamekye was arrested by VA-OIG agents, with the assistance of the Veteran Affairs Police Service, Federal Protective Service, and the Barnstable, MA, Police Department.
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Former Supervisory Correctional Officer Sentenced to 12 Years in Prison for Assault on InmateRead the Press Release
HONOLULU – United States District Judge Leslie E. Kobayashi sentenced a former supervisory correctional officer at the Hawaii Community Correctional Center, Jonathan Taum, age 50, on November 16, 2022, to three concurrent terms of imprisonment, the longest of which was 144 months, for his role in the assault of an inmate and his leadership of a multi-year conspiracy to cover up the abuse.
According to court documents and evidence introduced at trial, on June 15, 2015, Taum supervised his two co-Defendants and a third correctional officer while they transported an inmate across the facility. The inmate became frightened in the course of the transfer, and Taum’s fellow officers took the non-violent inmate to the ground and repeatedly punched and kicked him in the face, head, and body. As the other officers beat the inmate, Taum verbally encouraged them to continue. The inmate’s jaw, orbital socket, and nose were broken in the course of the assault. In the months and years that followed, Taum led the officers in a cover-up conspiracy that included writing false reports, submitting false statements to internal affairs, and providing false testimony to disciplinary board members.
“Protecting the civil rights of everyone in the community, including inmates, is at the heart of our system of justice,” said Clare E. Connors, United States Attorney for the District of Hawaii. “Supervisors in our correctional facilities are held to a higher standard of responsibility and as this case demonstrates, we will prosecute those who criminally violate the civil rights of those in their custody.”
“This case highlights how the FBI will vigorously investigate and hold accountable any individual who violates the civil rights of an inmate,” said FBI Special Agent in Charge Steven Merrill. “We are committed in ensuring that every citizen—whether free or incarcerated—can exercise their protected liberties without fear of violence. This case should deter others in a position of power from such behavior in the future.”
The Federal Bureau of Investigation conducted the investigation that resulted in the charges in this case. Assistant United States Attorney Craig Nolan of the U.S. Attorney’s Office, and Special Litigation Counsel Chris Perras and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division handled the prosecution.
Former State Employee and Three Others Indicted for $1 Million COVID-19 Fraud SchemeRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney Mark Totten announced today that Adelita Castillo Juarez, age 55, of Kent City, Francisca Adelita Juarez, age 35, of Kent City, Evelyn De-Maya Vanderbilt, formerly known as Kwamaine Dejaun Trice, age 32, of Grand Rapids and Inkster, and Mya Michelle Giordano, formerly known as Mark Anthony Hall, age 42, of Norfolk, Virginia, were indicted by a federal grand jury with various crimes related to a fraudulent scheme to obtain state and federal benefits provided in part in connection with the COVID-19 pandemic. The indictment alleges that the co-defendants stole at least $1,053,401.
“Corruption is a rot we must eliminate,” said U.S. Attorney Mark Totten. “One of my highest priorities is the investigation and prosecution of criminal conduct by public officials. We will identify and prosecute government employees that steal taxpayer dollars. And pandemic fraud, whether committed by public employees or private citizens, will remain a priority for my office.”
The 33-count indictment alleges that between May 2020 and January 2022, the four co-defendants conspired to commit wire fraud, and in fact committed wire fraud, by filing fraudulent unemployment claims in Michigan and elsewhere. The claims involved in the case were allegedly for claimants who were ineligible for benefits, for example because they did not have Michigan income or reside in Michigan. Adelita Juarez was employed as an Unemployment Insurance Examiner by the State of Michigan during the relevant time period, and allegedly processed the claims to ensure they would be paid, including by clearing fraud notices. Her daughter, Francisca Juarez, allegedly received kickbacks in connection with the payment of the fraudulent claims. The remaining co-defendants, Vanderbilt and Giordano, allegedly obtained the personally identifiable information of the claimants, aided in the submission of the claims, and received some or all of the proceeds of the claims. The proceeds of the scheme were allegedly funded in part by the Pandemic Unemployment Assistance, Pandemic Unemployment Compensation, and Lost Wages Assistance programs. The indictment alleges that the co-defendants stole at least $1,053,401.
“An important mission of the Office of Inspector General is to investigate allegations involving unemployment insurance fraud. We will continue to work with our law enforcement partners to investigate these types of allegations,” stated Irene Lindow, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor, Office of Inspector General (“DOL-OIG”).
“I’m proud of the continued success our Agency’s investigators have demonstrated in protecting the integrity of Michigan’s unemployment benefits system,” said Michigan Unemployment Insurance Agency (“UIA”) Director Julia Dale. “We have zero tolerance for anyone within our Agency or any outside bad actors who try to scam the system designed to help workers who have lost their jobs. Our team won’t rest until those who steal from taxpayers are brought to justice.”
In addition to conspiracy and wire fraud, the defendants are charged with theft of public money. Adelita and Francisca Juarez, and Vanderbilt, are charged with disaster fraud. Adelita Juarez is charged with federal program theft. Vanderbilt and Giordano are charged with several counts of aggravated identity theft each. Finally, Vanderbilt is separately charged with wire fraud for allegedly defrauding the Paycheck Protection Program and a lender of $41,666.
The charges in an indictment are merely accusations and are not evidence of guilt. The defendants are presumed innocent unless and until proven guilty in a court of law. The government has the burden of proving guilt beyond a reasonable doubt. A conviction for conspiracy to commit wire fraud, or wire fraud, in connection with a declared major disaster or national emergency is subject to a prison term of up to 30 years and a fine of up to $1,000,000, among other penalties. A conviction for aggravated identity theft carries a mandatory prison term of two years, to be served consecutively to any other sentence imposed.
DOL-OIG, the UIA-Fraud Investigations Unit, the Treasury Inspector General for Tax Administration, and the Department of Homeland Security, Office of Inspector General, are investigating the case. Other law enforcement agencies that have provided assistance include the Michigan State Police, Homeland Security Investigations, the U.S. Secret Service, the Kent County Sheriff’s Department, the Walker Police Department, and the Norfolk Police Department. Assistant U.S. Attorney Justin M. Presant is prosecuting the matter. The case was assigned to the Honorable Paul L. Maloney, United States District Judge.
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Former San Fernando Valley Couple Extradited to the United States from Montenegro to Begin Prison Sentences for $20 Million Fraud SchemeRead the Press Release
LOS ANGELES – A Southern California couple who fled to Montenegro to avoid serving lengthy prison sentences in a large COVID-relief fraud scheme were returned to the United States last night after more than a year as fugitives.
Richard Ayvazyan, 44, and his wife, Marietta Terabelian, 38, both former residents of Encino, were extradited by Montenegro and arrived at Los Angeles International Airport Thursday night. They are expected to appear in United States District Court in Los Angeles this afternoon.
In June 2021, Ayvazyan and Terabelian were convicted by a federal jury of leading a conspiracy to fraudulently obtain more than $20 million in COVID-19 relief funds. While free on bond, Ayvazyan and Terabelian are believed to have fled after cutting their tracking bracelets on August 29, 2021.
In November 2021, they were sentenced in absentia. Ayvazyan was sentenced to 17 years in prison, and Terabelian was sentenced to six years in prison. U.S. authorities later determined the couple had fled to Montenegro.
Ayvazyan and Terabelian were members of a Los Angeles-based fraud ring who engaged a scheme to fraudulently obtain more than $20 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds. Ayvazyan and Terabelian used dozens of fake, stolen or synthetic identities – including names belonging to elderly or deceased people and foreign exchange students who briefly visited the United States years ago and never returned – to submit fraudulent applications for approximately 150 PPP and EIDL loans.
In support of the fraudulent loan applications, Ayvazyan and Terabelian also submitted false and fictitious documents to lenders and the Small Business Administration (SBA), including fake identity documents, tax documents, and payroll records. Ayvazyan and Terabelian then used the fraudulently obtained funds as down payments on luxury homes in Tarzana, Glendale and Palm Desert. They also used the funds to buy gold coins, diamonds, jewelry, luxury watches, fine imported furnishings, designer handbags, clothing and a Harley-Davidson motorcycle.
The FBI, IRS Criminal Investigation, the Small Business Administration’s Office of Inspector General, and the Federal Housing Finance Agency – Office of Inspector General investigated this COVID-relief fraud case.
The Government of Montenegro, including the Ministry of Justice, provided significant assistance in the extradition of Ayvazyan and Terabelian to the United States. The Justice Department’s Office of International Affairs also provided substantial assistance in securing the arrest and extradition of Ayvazyan and Terabelian.
Assistant United States Attorneys Brian Faerstein and Scott Paetty, along with DOJ Trial Attorney Christopher Fenton, prosecuted the criminal case. Assistant United States Attorney Dan Boyle handled forfeiture proceedings. Trial Attorney Goran Krnaich and International Affairs Specialist Taylor Cole of the Office of International Affairs handled the extraditions.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Former Missoula man sentenced to 15 years in prison for child pornography crimesRead the Press Release
MISSOULA — A former Missoula resident convicted by a federal jury of transporting, distributing and receiving child pornography using the internet and social media was sentenced today to 15 years in prison, to be followed by 10 years of supervised release, U.S. Attorney Jesse Laslovich said.
After a three-day trial in July, the jury found Taurean Jerome Weber, 40, formerly of Missoula and recently of Littleton, Colorado, guilty of all eight counts, including four counts of transportation of child pornography, three counts of distribution and one count of receipt of child pornography.
U.S. District Judge Dana L. Christensen presided. Judge Christensen also ordered $27,000 restitution to nine victims who sought restitution.
In court documents and at trial, the government alleged that from about September 2016 to July 2020, Weber used Dropbox, Instagram, and electronic devices to obtain, store, and distribute child pornography. Overall, Weber distributed or possessed at least 715 video files and 3,567 images of sexually explicit conduct which, under the guidelines, equates to 57,192 images. The government presented evidence that Instagram repeatedly disabled Weber’s accounts for distributing the content, yet Weber quickly created new accounts and resumed sharing child pornography.
An investigation began in October 2019 when Instagram reported child pornography on its platform to the National Center for Missing and Exploited Children (NCMEC), which sends those CyberTips to members of the Internet Crimes Against Children Task Force for investigation. Records obtained through subpoenas and search warrants found evidence that Weber was the creator and user of the social media and email accounts. Investigators served a search warrant on Weber’s residence, seized computers and storage devices and determined they contained video and image files depicting minors engaged in sexually explicit conduct. The government further alleged Weber used multiple usernames on multiple platforms to purchase and trade child pornography and that his collection contained a who’s who of identified series of child pornography by NCMEC.
Assistant U.S. Attorneys Cyndee L. Peterson and Karla E. Painter prosecuted the case, which was investigated by Missoula Police Department Det. Katie Hall, the Internet Crimes Against Children Task Force and FBI.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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Former Department of Corrections Deputy Pleads Guilty to Tax EvasionRead the Press Release
KANSAS CITY, Mo. – The former deputy director of Jackson County Department of Corrections pleaded guilty in federal court today to tax evasion.
Isaac Johnston, 53, of Leavenworth, Kansas, waived his right to a grand jury and pleaded guilty before U.S. District Judge Stephen R. Bough to a federal information that charges him with one count of individual income tax evasion.
By pleading guilty today, Johnston admitted that he failed to file personal income tax returns for tax years 2012 through 2020. According to today’s plea agreement, the total personal income tax loss to the IRS for tax years 2012 through 2020 as a result of Johnston’s failure to file a personal income tax form was $ 215,061, based on total taxable income of $1,277,442 from 2012 through 2020.
On May 1, 2018, Johnston filed a Form W-4 with his then-employer, the Jackson County Department of Corrections, in which he claimed to be exempt from federal income tax withholding. Johnston had also filed a Form W-4 on March 12, 2015, with his then-employer, CoreCivic, in which he claimed to be exempt from federal income tax withholding.
Under the terms of today’s plea agreement, Johnston must pay $83,390 (plus interest) in restitution to the IRS, based on total taxable income of $581,479 from 2016 through 2020 (the only years for which restitution may be assessed).
Under federal statutes, Johnston is subject to a sentence of up to five years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation.
Florida Man Faces up to 30 Years, $1M Fine Following Bank Fraud Guilty PleaRead the Press Release
PORTLAND, Maine: A Fort Lauderdale, Florida man pleaded guilty in U.S. District Court in Portland today to committing bank fraud and conspiracy to commit bank fraud.
According to court records, in November 2020, Travis McNair, 26, and coconspirators broke into unattended vehicles and stole personal identifying information, such as driver’s licenses and checkbooks. They then used the identifications to cash stolen checks using multiple bank drive-through lanes in southern Maine. In the scheme, checks from one theft victim’s account were made payable to another identity theft victim, and one of McNair’s coconspirators impersonated the identity theft victim to cash the stolen check.
McNair faces up to 30 years in prison and a $1 million fine followed by up to five years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI and the Eliot Police Department investigated the case.
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Florida Man Charged with $1 Million ‘Up-Front’ Fee SchemeRead the Press Release
NEWARK, N.J. – A Florida man who previously resided in New Jersey was arrested and charged with defrauding multiple victims out of more than $1 million through an “upfront-fee” scheme, U.S. Attorney Philip R. Sellinger announced today.
John Sabo, 69, of Naples, Florida, is charged by complaint with two counts of wire fraud. He was arrested and made his initial appearance on Nov. 17, 2022, in the U.S. District Court for the Middle District of Florida.
According to documents filed in this case and statements made in court:
From November 2014 through the present, Sabo fraudulently induced his multiple victims to pay him thousands of dollars in “up-front” fees. Sabo falsely represented that, through his company Bankers Capital LLC, he could secure financing and collateral that the victims could use for their businesses. However, neither Sabo nor Bankers Capital possessed or had access to the financing and collateral that Sabo promised. Instead of using the victims’ money as promised, Sabo diverted millions of dollars out of Bankers Capital, primarily for personal expenses, which included payments to Sabo’s creditors and over $250,000 in golf-related expenses. In total, Sabo’s scheme resulted in over $1.77 million in losses to victims.
Each charge of wire fraud carries a maximum potential penalty of 20 years in prison and a fine of $250,000, or twice the gross amount of gain or loss from the offense, whichever is greater.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Jennifer Kozar and Carolyn Silane of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.