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30 December 2022
Man Charged After Leaving a Threatening Voicemail and Possessing a Loaded Firearm, Zip Ties at a Tulsa VA Outpatient ClinicRead the Press Release
A Tulsa man has been charged in federal court for leaving a voicemail threatening to “murder people” at the Ernest Childers Outpatient Clinic in Tulsa then showing up to the clinic the same day with a loaded firearm, announced U.S. Attorney Clint Johnson. The facility serves veterans and is run by the Department of Veterans Affairs.
Zachariah Kade McGuire, 31, was charged by Criminal Complaint with possession of a firearm in a federal facility. McGuire made an initial appearance Thursday in federal court and is scheduled for preliminary and detention hearings on Jan. 5, 2023, at 2 pm.
According to court documents, on Nov. 14, 2022, the defendant’s mother called to schedule an appointment for him at the clinic, which was set for Dec. 13, 2022.
Shortly after, McGuire called back and allegedly left the threatening voicemail message, which was reported to the Veterans Affairs Police.
McGuire stated, in part, “You will make me an appointment and prescribe me my meds, or I will murder you. You have 30 minutes to do so, or I will be coming up there and start to murder people.” He also referenced a doctor he had a grievance with.
At approximately 12:30 pm the same day, McGuire showed up at the clinic. Soon after, officers made contact with McGuire and asked if he had a weapon. He responded yes, and officers retrieved a.357 magnum revolver from McGuire’s jacket pocket. The firearm was loaded with six rounds of ammunition. Officers also recovered seven plastic zip ties from McGuire.
During a later interview with special agents from the Veterans Affairs Office of Inspector General, McGuire claimed that he didn’t remember making the call but admitted that he did bring the firearm to the outpatient clinic. He explained that he looked for his primary care provider, but didn’t see him, then was taken into custody by officers.
The Department of Veterans Affairs Office of Inspector General, Department of Veterans Affairs Police, Tulsa Police Department, and FBI are the investigative agencies. Assistant U.S. Attorney Robert T. Raley is prosecuting the case. AUSA Raley is the National Security Anti-Terrorism (ATAC) Prosecutor for the U.S. Attorney’s Office in the Northern District of Oklahoma.
This matter will proceed in United States District Court in Tulsa, where the Complaint is currently pending. A Complaint is a temporary charge alleging a violation of law. For the case to proceed to trial, the United States must present the charge to a federal Grand Jury within 30 days. Once a Grand Jury returns an Indictment, a defendant has a right to a jury trial at which the United States would have the burden of proving the defendant’s guilt beyond a reasonable doubt. All defendants are presumed innocent until proven guilty in a court of law.
Jacksonville Postal Employee Pleads Guilty to Stealing Parcels of MailRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Jonisha M. Williams (36, Jacksonville) has pleaded guilty to stealing deposits from the mail. Williams faces a maximum penalty of five years in federal prison. A sentencing date has not yet been scheduled.
According to the plea agreement, from February 5 to March 4, 2021, Williams worked as a Mail Handler Assistant at the National Distribution Center in Jacksonville. During this time, the United States Postal Service Office of Inspector General received a complaint that Williams was stealing narcotics from the mail and taking them out of the facility. After investigating the complaint, agents captured Williams on video surveillance placing vacuumed sealed bags—similar to how narcotics are packaged—and other mail parcels into her backpack. During an interview with agents, Williams admitted her involvement and that she used her backpack to remove marijuana from the mailing facility.
This case was investigated by United States Postal Service, Office of Inspector General. It is being prosecuted by Assistant United States Attorney Kirwinn Mike.
Former United States Attorney Joseph H. Harrington Retires from the Department of Justice After More than Thirty Years of Federal ServiceRead the Press Release
Spokane, WA – Today marks the last day of federal service for one of Eastern Washington’s longest-tenured federal prosecutors. Over the past thirty-two years, Assistant United States Attorney Joseph H. Harrington served with distinction and held numerous leadership roles within the U.S. Attorney’s Office for the Eastern District of Washington.
From May 2018 through July 2019, Harrington served as the United States Attorney, leading the office after being appointed by the United States District Court for the Eastern District of Washington. Prior to that, Harrington served as Interim U.S. Attorney, Acting U.S. Attorney, the Office’s First Assistant U.S. Attorney, Criminal Chief, Deputy Criminal Chief, Anti-Terrorism Advisory Coordinator, and as the Office’s Health Care Fraud Coordinator.
Over his career as an Assistant United States Attorney (AUSA), Harrington handled nearly 50 civil and criminal trials as well as approximately 70 appellate cases. These included a number of important prosecutions. For example, Harrington prosecuted Kevin W. Harpham, an avowed white supremacist who planted a sophisticated remotely-controlled improvised explosive device along the route of the Martin Luther King, Jr. Day Unity March in Spokane. He handled the Phineas Priest domestic terrorism case, involving bank robberies and bombings of a Planned Parenthood office and a Spokane newspaper facility. Harrington also supervised the Karl F. Thompson / Otto Zehm civil rights case. In addition to this broad-ranging criminal practice, Harrington defended the United States in civil cases involving medical malpractice tort claims, employment discrimination allegations, and the like. For his service, Harrington has received the Department of Justice “Director’s Award” on two occasions in recognition of his performance as an AUSA.
“It’s been a great run for me, and I’ve been incredibly lucky,” Harrington stated. “I was humbled and honored to serve as the Chief Federal Law Enforcement Officer for our District – serving alongside the outstanding and dedicated Assistant United States Attorneys and staff in our office. Together with our federal, state, county, local, and tribal law enforcement partners, our Office has accomplished remarkable things in the Eastern District of Washington.”
United States Attorney Vanessa R. Waldref thanked Harrington for his leadership and sacrifices on behalf of the people of Eastern Washington: “Joe’s eloquence, tenacity, and advocacy on behalf of the United States serve as models for other lawyers both inside and outside the Office. Over his long and successful career, Joe has earned a gravitas that accrues not only to himself and the Office, but to his longtime and well-served clients: the people of the United States. Joe’s leadership, wisdom, and institutional knowledge will be missed as he moves on to other pursuits, but the legacy he leaves cannot be diminished.”
Harrington received his J.D. from Gonzaga University in 1986, where he was a Thomas Moore Scholar and served as the Editor-in-Chief of the Gonzaga Law Review. He also holds a B.A. in Mathematics and a B.S. in Engineering from Carroll College. After graduating with distinction from the Gonzaga, Harrington worked for the U.S. Securities and Exchange Commission in Washington D.C. before joining the U.S. Attorney’s Office in Spokane in 1990. Harrington is married and has three children.
Florida Man Sentenced to Two Years in Federal Prison for Pandemic-Related FraudRead the Press Release
Also Ordered to Pay $26,699.80 in Restitution to Oklahoma Employment Security Commission for Fraudulent Unemployment Insurance Benefits
OKLAHOMA CITY– ANDRICE VANEC SAINVIL, 20, of Margate, Florida, pleaded guilty and was sentenced today to two years in prison for his role in a Coronavirus Aid, Relief, and Economic Security ("CARES") Act fraud scheme, announced U.S. Attorney Robert J. Troester.
According to an indictment filed in September 2021, Sainvil conspired with others to steal the identities of dozens of Oklahomans, use their victims’ names and social security numbers to apply for fraudulent Unemployment Insurance ("UI") benefits with the Oklahoma Employment Security Commission ("OESC"), and cause OESC to mail prepaid debit cards containing those fraudulently obtained UI benefits to addresses to which the coconspirators had access throughout the Western District of Oklahoma. The indictment further alleges that Sainvil and others then retrieved those prepaid debit cards and used them to withdraw thousands of dollars in cash from ATMs throughout Oklahoma City and elsewhere.
At a hearing this morning, Sainvil pleaded guilty to count three of a six-count indictment against him, and admitted that he personally possessed four of those fraudulently obtained UI benefit debit cards, withdrawing more than $1,000.00 in cash from three of them. Sainvil was then sentenced to two years in prison, to be followed by three years of supervised release. He was further ordered to pay $26,699.80 in restitution to OESC, and to forfeit the $2,658.00 in proceeds that he obtained as a result of the scheme.
This case is a result of an investigation by the United States Department of Labor Office of Inspector General. It was prosecuted by Assistant United States Attorney Julia E. Barry.
Reference is made to court filings for further information.
Fall River Man Indicted for Four Bank RobberiesRead the Press Release
BOSTON – A Fall River man has been indicted by a federal grand jury for allegedly robbing four separate banks in Massachusetts within a five-day period and attempting to rob a fifth bank.
William Sequeira, 59, was indicted on four counts of bank robbery and one count of attempted bank robbery. Sequeira was previously charged by criminal complaint on Nov. 18, 2022 with one count of bank robbery and one count of attempted bank robbery.
According to the charging documents, between Sept. 26, 2022 and Sept. 30, 2022, Sequeira robbed four separate banks in the Fall River and Boston areas. Specifically, it is alleged that Sequeira robbed: a Citizens Bank branch in Fall River on Sept. 26, 2022; a Santander Bank branch in Boston on Sept. 27, 2022; a M&T Bank branch in Boston on Sept. 28, 2022; and a TD Bank branch in Boston on Sept. 30, 2022. During the TD Bank robbery on Sept. 30, 2022 in Boston, Sequeira allegedly approached a teller and stated, “give me all the $100s in the drawer,” and “give me all the money before I blow your brains out,” before fleeing on foot with money from the teller.
On Oct. 5, 2022, law enforcement surveilling the Back Bay area in an effort to locate Sequeira, spotted him entering a Citizens Bank branch on Boylston Street in Boston. There, it is alleged that Sequeira approached the teller, said “Give me hundreds,” and then threatened to shoot the teller if they did not move fast enough. Sequeira was immediately apprehended.
The charges of bank robbery each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of attempted bank robbery provides for a sentence of up to 20 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; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Commissioner Michael Cox made the announcement. Valuable assistance was provided by the Fall River Police Department and the Suffolk County District Attorney’s Office. Assistant U.S. Attorney Luke A. Goldworm of Rollins’ Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Colorado Springs Felon Charged with Firearm PossessionRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces a federal grand jury has indicted Leon Askew, age 50, of Colorado Springs, for firearm and ammunition possession by a convicted felon.
According to allegations in the indictment, the defendant possessed a firearm and ammunition on January 31, 2022, while knowing he had previously been convicted of a felony.
The defendant made his initial appearance before Judge N. Reid Neureiter on December 30, 2022.
“We appreciate the dogged determination of our law enforcement partners at the U.S. Marshals Service and the ATF. It took more than six months to track down this individual, and we are relieved he was finally taken into custody without incident,” said United States Attorney Cole Finegan.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case. The United States Marshals Service (USMS) took the defendant into custody, with assistance from U.S. Immigration and Customs Enforcement (ICE) and the Colorado Springs Police Department. Assistant United States Attorney Al Buchman is handling the prosecution.
The charges contained in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty.
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.
CASE NUMBER: 22-cr-145
29 December 2022
Vandalia, Missouri Man Sentenced to 144 months in Prison for Bank RobberyRead the Press Release
ROCK ISLAND, Ill. – A Vandalia, Missouri man, Brian Cook, 59, of the 400 block of West McPike Street, was sentenced on December 21, 2022, to 144 months in the Bureau of Prisons, to be followed by three years supervised release, for bank robbery.
At the sentencing hearing before Chief U.S. District Judge Sara L. Darrow, the government presented evidence that Cook pointed what appeared to be a firearm directly at bank tellers to force them to comply with his demands, he then stole $193,000 from the bank vault. After reviewing the evidence, Judge Darrow found that Cook’s use of the weapon during the July 2021 robbery was an appropriate factor to enhance his sentence. At the hearing, Judge Darrow stated that Cook’s actions terrorized the bank employees, and he broke the trust and safety many find in a small-town bank. Judge Darrow also noted the premeditated nature of the offense, as the evidence showed that Cook was researching the Roseville, IL bank and the surrounding area for months prior to the robbery, and that he had an extensive criminal history that included twelve prior convictions for felony theft related offenses over nearly forty years.
Cook was indicted in May 2022 and pleaded guilty in August 2022. He has been in custody of the U.S. Marshals Service since May 2022.
The statutory penalties for bank robbery are up to twenty years imprisonment, not more than $250,000 fine, and not more than three years of supervised release.
The Federal Bureau of Investigation, Springfield Field Office, Illinois State Police, Hancock County Illinois Sheriff’s Office, Macomb Police Department, Missouri Department of Conservation, Montgomery County Missouri State’s Attorney, Montgomery County Missouri Sheriff’s Office, Warren County Illinois Sheriff’s Office, and the Warren County Illinois State’s Attorney investigated the case. Assistant United States Attorney Joel C. Brakken represented the government in the prosecution.
U.S. Attorney’s Office Collects More Than $22 Million in Criminal and Civil Actions in Fiscal Year 2022Read the Press Release
CLEVELAND – The U.S. Attorney’s Office for the Northern District of Ohio collected $22,160,718.79 in criminal and civil actions in Fiscal Year 2022. Of this amount, $14,545,655.69 was collected in criminal actions, and $7,615,063.10 was collected in civil actions.
Additionally, the staff of the Northern District of Ohio worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $541,258.46 in cases pursued jointly by these offices. Of this amount, $29,391.47 was collected in criminal actions, and $511,866.99 was collected in civil actions.
“These figures represent monies returned to the United States through the hard work and outstanding effort of our employees and law enforcement partners,” said First Assistant U.S. Attorney Michelle M. Baeppler. “Whether we are representing the United States in a criminal or a civil action, we will always seek to protect the financial interests of the U.S. and victims in resolving these cases.”
Notable collections and forfeitures in Fiscal Year 2022 include:
CRIMINAL
US v. John Lazuka: Lazuka offered his technical expertise in cryptocurrency to a death beneficiary who had inherited a significant amount of cryptocurrency but was unable to access it. Instead of recovering the cryptocurrency for the benefit of the decedent’s estate, Lazuka transferred the cryptocurrency to his own accounts. Lazuka pleaded guilty to wire fraud and restitution was ordered in the amount of $1,565,222.81 in February 2022. This amount was paid in full for the benefit of the victim.
US v. EO System Company, Ltd.: EO System Company Ltd. is a South Korean company in the business of developing high-quality electronic optical devices. EO System requested, and was denied, permission for an export license to ship an American rifle sight with an infrared detector. EO System obtained the rifle sights without the appropriate license and committed wire fraud in the process. EO System was fined $1,000,000 in November 2021. This amount was paid in full.
US v. Jorge A. Martinez, M.D.: Dr. Martinez was found guilty in 2006 of mail fraud, wire fraud, violations of the Controlled Substances Act, and health care fraud resulting in death. Martinez was sentenced to life imprisonment and was ordered to pay over $13,000,000 in restitution. In 2022, the United States collected $922,169.36 for the benefit of his victims through a garnishment proceeding.
CIVIL
Stein Hospice Service, Inc.: Stein Hospice Service, Inc., a Sandusky-based hospice provider, paid $479,796.25 to resolve allegations that it provided medically unnecessary hospice services to unqualified Medicare beneficiaries and billed Medicare at a higher level for hospice care than was medically necessary.
U.S. ex rel. Schmidt and Smith v. The Toledo Clinic, Inc., et al.: The Toledo Clinic, Inc. paid a total of $380,185.73 to resolve allegations that certain tests ordered for Medicare beneficiaries treated at the Cognitive Center at the Toledo Clinic were not reasonable and necessary because the tests were not ordered by either a physician or a non-physician practitioner.
U.S. ex rel. Higgins v. Tudor Therapies, Inc. dba Tudor Physical Therapy: Tu-Dor Home Therapies, Inc. paid $232,739.30 to resolve allegations that it billed Medicare and Ohio Medicaid for physical therapy services that were not provided by a licensed physical therapist or a physical therapy assistant acting under the supervision of a physical therapist.
The U.S. Attorneys’ Offices and the department’s litigating divisions are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss.
While restitution is paid to the victim, criminal fines and felony assessments are paid to the Department’s Crime Victims’ Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Forfeited assets deposited into the Department of Justice Asset Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
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U.S. Attorney’s Office Collects $5,963,150.24 in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
United States Attorney Steven Russell announced today that the District of Nebraska collected $5,963,150.24 in criminal and civil actions in Fiscal Year 2022. Of this amount, $4,934,420.69 was collected in criminal actions and $1,028,729.55 was collected in civil actions.
Additionally, the District of Nebraska worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $556,512.84 in cases pursued jointly by these offices. Of this amount, $1,912.00 was collected in criminal actions and $554,600.00 was collected in civil actions.
In United States of America v. Gilbert G. Lundstrom, the District of Nebraska recovered $2,324,505.93 in garnished funds that were due and payable to Lundstrom. With this garnishment, the restitution owed was paid in full. Also, an Omaha-based Food Processing Company was ordered to pay a $550,000 civil penalty and later in 2022 received a $200,000 criminal penalty.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s Office in Nebraska working with partner agencies and divisions, collected $3,033,892 in asset forfeiture actions in FY 2022. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
U.S. Attorney's Office for the Western District of Kentucky Collects over $13 Million in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
Louisville, KY – U.S. Attorney Michael A. Bennett announced today that the Western District of Kentucky collected $13,202,835.42 in criminal and civil actions in fiscal year 2022. This total consists of $5,915,754.66 collected in criminal actions and $7,287,080.76 collected in civil actions.
Additionally, the District worked with other U.S. Attorneys’ Offices and components of the Department of Justice to collect an additional $413,509.07 in cases pursued jointly by these offices. Of this amount, $38,306.27 was collected in criminal actions and $375,202.80 was collected in civil actions.
“The United States Attorney’s Office for the Western District of Kentucky prioritizes restitution recovery, and we pursue all available means for the collection of criminal restitution and civil penalties to provide justice to victims, including individuals, businesses, and other federal agencies,” said U.S. Attorney Bennett.
The U.S. Attorneys’ Offices, along with the Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Notable criminal restitution recoveries within the Western District of Kentucky include $875,339.99 as part of a plea agreement in United States v. Nitesh Patel, Case No. 3:19-cr-58, and $394,927.72 from the voluntary liquidation of real property in United States v. Steve Turner, Case No. 4:19-cr-26. Noteworthy civil recoveries include $220,000 paid to victims sexually harassed by their landlord in United States v. Chester Whitescarver, Case No. 1:20-cv-00054, and an initial $1.3 million payment in an $8 million False Claims Act settlement in United States, ex rel. v. Agendia, Inc., Case No. 5:15-cv-50. The United States received another $6 million payment in Agendia at the beginning of the 2023 Fiscal Year.
Working with partner agencies and divisions, the U.S. Attorney’s Office for the Western District of Kentucky also collected $5,966,650 in asset forfeiture actions in Fiscal Year 2022. This includes $2,256,665 forfeited to the Department of Justice Assets Forfeiture Fund, which will be used to restore funds to crime victims and for a variety of law enforcement purposes.
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Troy Man Pleads Guilty in Capital Region Cocaine ConspiracyRead the Press Release
ALBANY, NEW YORK – Jan Lopez-Colon, age 28, of Troy, New York, pled guilty today to a conspiracy to distribute more than 5 kilograms of cocaine in the Capital Region, announced United States Attorney Carla B. Freedman and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS).
Lopez-Colon admitted that between June 2021 and December 2021, in Albany and Rensselaer Counties, he and three others conspired to ship more than 5 kilograms of cocaine from Puerto Rico to the Capital Region. The cocaine was shipped via U.S. mail in 1-kilogram bricks, and transported to a stash house maintained by a co-conspirator on Fifth Avenue in Troy, where the cocaine was processed for distribution.
Sentencing is scheduled for April 26, 2023 in front of Senior United States District Judge Gary L. Sharpe. Lopez-Colon faces a minimum sentence of 10 years in prison, a maximum sentence of life imprisonment, a fine of up to $10 million, and a term of supervised release of at least 5 years and up to life. Lopez-Colon also agreed to forfeit numerous items of jewelry seized from his residence, and agreed to abandon a Glock model 43 pistol.
The following three men were also charged for their roles in the conspiracy:
- Ilvin Batista-Figueroa, age 31, of Albany;
- Jesus Baez, age 32, of Loudonville, New York; and
- Sam Calderon, age 20, of Troy.
Baez and Calderon have previously pled guilty. The charges against Batista-Figueroa are pending, they are merely accusations, and he is presumed innocent unless and until proven guilty.
This case is being investigated by the USPIS and its Capital Region Task Force, led by the USPIS and including the Albany Police Department, the Albany County Sheriff’s Office, and the Schenectady Police Department, as well as the U.S. Drug Enforcement Administration, and is being prosecuted by Assistant U.S. Attorney Benjamin S. Clark.
Three Individuals Charged in Relation to Murder of Postal EmployeeRead the Press Release
United States Attorney Gregory J. Haanstad of the Eastern District of Wisconsin announced that on December 28, 2022, a federal criminal complaint had been issued charging three individuals with offenses related to the killing of an on-duty United States Postal Service letter carrier on December 9, 2022.
The complaint alleges that Kevin McCaa (age 36) and Charles Ducksworth Jr., (age 26), both of Milwaukee, murdered or aided and abetted the murder of a postal employee, in violation of Title 18, United States Code, Sections 1111, 1114, and 2(a). The complaint also alleges that McCaa and Ducksworth Jr. discharged a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Sections 924(c) and 2(a). If convicted of either offense as charged, each individual would face up to life in prison. Discharging a firearm in connection with a crime of violence also triggers a mandatory minimum sentence of ten years in prison.
The complaint also charges another Milwaukee resident, Shanelle McCoy (age 34), with providing materially false statements to law enforcement investigating the murder, in violation of Title 18, United States Code, Section 1001(a)(2), a charge that carries a sentence of up to five years, and committing misprision of a felony, in violation of Title 18, United States Code, Section 4, an offense which carries a sentence of up to three years.
The complaint also contains additional charges against McCaa and Ducksworth Jr. The complaint alleges that on or about December 27, 2022, Ducksworth Jr. possessed marijuana with the intent to distribute it, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(D), a charge which carries up to a five year sentence, and possessed a firearm during and in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c), which would result in a sentence of five years to life upon conviction.
Finally, the complaint alleges that on or about December 27, 2022, McCaa possessed ammunition despite being a convicted felon, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(8). The offense of unlawful possession of ammunition carries a maximum sentence of 15 years in prison.
“Today’s charges are the direct result of the tireless efforts of dedicated law enforcement professionals from the Milwaukee Police Department, the United States Postal Inspection Service, the FBI and other federal, state, and local partners,” stated U.S. Attorney Haanstad. “I commend the hard work and collaboration of all involved in seeking justice for the victim, his family, and his loved ones. This office remains fully committed to seeking to hold those responsible for acts of violence fully accountable for their actions.”
“The FBI sends our heartfelt condolences to the family, friends, and co-workers of U.S. Postal Service Letter Carrier Aundre Cross,” said FBI Special Agent in Charge Michael Hensle. “The FBI continues to work with our partners at the U.S. Postal Inspection Service and the Milwaukee Police Department to bring those responsible for this senseless crime to justice. The multiple arrests made yesterday represent the unrelenting efforts of these law enforcement partnerships to protect the people of Wisconsin and represents an opportunity for the loved ones of Mr. Cross to begin their healing process. Anyone responsible for crimes against federal employees who are doing their jobs in service of the American people will be investigated and held accountable to the full extent of the law.”
“These arrests should make very clear to criminals everywhere that the Postal Inspection Service will not rest when it comes to solving attacks like this,” said Chicago Division Acting Inspector in Charge Kai Pickens. “If you harm one of our employees, we will find you and put you behind bars. My thanks to everyone who contributed to identifying, locating, and apprehending these suspects. Though no words can ever undo this terrible crime, we can at least say that these arrests are another step toward securing justice for Aundre Cross.”
“The Milwaukee Police Department (MPD) appreciates the diligent work and effort of the FBI, the U.S. Postal Inspection Service, the U.S. Attorney’s Office, MPD members and other agencies that collaborated to bring charges against the individuals responsible for the murder of U.S. Postal Carrier Aundre Cross. I am proud of the hard work of all the agencies involved. We are one step closer to bringing these individuals to justice. I and the entire Milwaukee Police Department send our sincere condolences to the Cross family and to the USPS for their loss.” said Milwaukee Police Chief Jeffrey Norman.
The defendants were charged based on an investigation by the Milwaukee Police Department, The United States Postal Inspection Service, and the Federal Bureau of Investigation, with the assistance of the Milwaukee County Sheriff’s Office and the Wauwatosa Police Department. Assistant United States Attorneys Margaret Honrath and Abbey Marzick are prosecuting the case.
The public is cautioned that a complaint is merely a charge and the defendants are presumed innocent until and unless proven guilty.
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For Additional Information Contact:
Public Information Officer Kenneth Gales 414-297-1700
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Spring Hill Man Sentenced to 30 Months in Federal Prison for Manufacturing and Aiding in the Passing of Counterfeit Currency Throughout North FloridaRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Derrick Kamran Collins (32, Spring Hill) to 30 months in federal prison for manufacturing counterfeit Federal Reserve notes, aiding and abetting the passing of counterfeit Federal Reserve notes, and possession of counterfeit Federal Reserve notes. The court also ordered Collins to forfeit computer equipment utilized for manufacturing counterfeit Federal Reserve notes and $2,846.18 in illicit proceeds from his counterfeiting activities. Collins had been found guilty on October 25, 2022, following a bench trial.
According to court documents, from 2017 to March 2019, Collins acted as the source of supply for counterfeit Federal Reserve notes for various individuals throughout the Middle District of Florida. Collins was part of a scheme to pass the counterfeit bills in order to defraud businesses. After successfully passing the counterfeit currency at businesses, individuals paid Collins a portion of the proceeds. On March 26, 2019, the Jacksonville Sheriff’s Office (JSO) conducted a traffic stop on a vehicle that contained multiple people, including Collins, at the River City Marketplace for suspicion of passing counterfeit Federal Reserve notes. During a search of the vehicle, the officers recovered multiple counterfeit $100 bills throughout the vehicle and in the glove box. Subsequently, law enforcement was able to determine Collins was the source of supply for the counterfeit Federal Reserve note that were passed by various individuals in the North Florida area, including at the River City Marketplace.
On November 21, 2019, the New Port Richey Police Department (NPRPD) conducted a traffic stop at approximately 1:00 a.m. on a vehicle driven by the registered owner, Collins. Upon making contact with Collins, law enforcement observed signs of impairment. During a subsequent DUI investigation, Collins refused to participate in field sobriety exercises and was arrested for DUI. During an inventory search pursuant to towing the vehicle from the area, the NPRPD located several sheets of counterfeit $100 bills in various stages of manufacturing in the trunk of the vehicle, and computer media. In the vehicle’s glove box, officers located completed counterfeit cash and illicit proceeds from the passing of counterfeit cash, bundled together.
This prosecution was part of a long-term investigation into counterfeit Federal Reserve notes being passed in the areas of New Port Richey and North Florida. To date, Collins is the fourth individual prosecuted in connection with this activity. In February 2020, Charles Alexander Coriaty, III (Tampa) was sentenced to 16 months in federal prison for passing counterfeit Federal Reserve notes supplied by Collins and was ordered to pay restitution to the businesses that he defrauded. In June 2020, Brett Lawrence Rozenburgh (Tampa) was sentenced to 13 months’ imprisonment for passing counterfeit Federal Reserve notes supplied by Collins and was ordered to pay restitution to the businesses that he defrauded. In September 2020, Samantha Jade Falcone (Tampa) was sentenced to 2 years’ federal supervision for passing counterfeit Federal Reserve notes supplied by Collins and was ordered to pay restitution to the businesses that she defrauded.
This case was investigated by the Jacksonville Sheriff’s Office, the New Port Richey Police Department and the United States Secret Service - Jacksonville Field Office. It was prosecuted by Assistant United States Attorney Kevin C. Frein. The forfeiture was handled by Assistant United States Mai Tran.
Owner of Farm Labor Company Sentenced to 118 Months in Prison for Leading a Multi-State Conspiracy Involving Forced Labor of Mexican Farm WorkersRead the Press Release
Bladimir Moreno, 55, was sentenced for leading a federal racketeering and forced labor conspiracy that victimized Mexican H-2A agricultural workers in the United States between 2015 and 2017. U.S. District Court Judge Charlene Edward Honeywell of the Middle District of Florida sentenced Moreno to 118 months in prison with three years of supervised release and ordered him to pay over $175,000 in restitution to the victims.
Moreno, the owner of Los Villatoros Harvesting LLC (LVH), the labor contracting company that employed the workers, was charged in September 2021 and pleaded guilty earlier this year to conspiracy under the Racketeer Influenced and Corrupt Organizations Act (RICO) and conspiracy to commit forced labor. Two of Moreno’s co-defendants previously pleaded guilty to conspiracy under RICO, and a third, Guadalupe Mendes, 45, pleaded guilty to conspiring to obstruct a federal investigation. They were sentenced in October 2022. Rodas, a citizen of Mexico, who worked for LVH as a recruiter, manager and supervisor, received 41 months in prison. Gamez, a U.S. citizen, who worked for LVH as a bookkeeper, manager and supervisor, received 37 months in prison. Mendes, a U.S. citizen, who worked for LVH as a manager and supervisor, received eight months of home detention and a $5,500 fine to be paid over 24 months of supervised release.
“Human trafficking, including forced labor campaigns that exploit vulnerable workers, is unlawful, immoral and inhumane,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant abused his power as a business owner to capitalize on the victims’ vulnerabilities and immigration status, luring those seeking a better quality of life with false promises of lawful work paying a fair wage. The defendant forced Mexican agricultural workers to labor under inhumane conditions, confiscated their passports, imposed exorbitant fees and debts, and threatened them with deportation or false arrest. The Department of Justice is committed to seeking justice for survivors of forced labor campaigns, holding perpetrators accountable and stripping wrongdoers of their illegal profits.”
“Forcing individuals to work against their will using abusive and coercive tactics is not only unconscionable but illegal,” said U.S. Attorney Roger Handberg for the Middle District of Florida. “We will continue to work with our task force partners to combat human trafficking in all its forms, including prosecuting those who exploit vulnerable workers.”
According to court documents, Moreno owned, operated and managed LVH — a farm labor contracting company that brought large numbers of temporary, seasonal Mexican workers into the United States on H-2A agricultural visas — as a criminal enterprise. Moreno compelled victims to work in Florida, Kentucky, Indiana, Georgia and North Carolina, and he engaged in a pattern of other racketeering activity that included visa fraud and fraud in foreign labor contracting, among other things. In order to facilitate the enterprise, Moreno made false statements in applications to federal agencies for the company to be granted temporary, H-2A agricultural workers. Moreno and his co-conspirators also made false promises to the Mexican farm workers themselves to encourage them to work for LVH and then charged them inflated sums to come into the United States on H-2A visas.
Once the immigrants arrived in the United States, Moreno and his co-conspirators coerced over a dozen of them into providing long hours of physically demanding agricultural labor, six to seven days a week, for de minimis pay. Moreno and his co-conspirators used various forms of coercion, including imposing debts on the workers; confiscating their passports; subjecting them to crowded, unsanitary and degrading living conditions; harboring them in the United States after their visas had expired; and threatening them with arrest and deportation if they failed to comply with Moreno’s and his co-conspirators’ demands. Later, in an attempt to conceal the criminal enterprise from federal investigators, Moreno created and provided to investigators fraudulent records that contained falsified information about the workers’ pay and hours, and repeatedly made false statements to federal investigators.
Assistant Attorney General Clarke, U.S. Attorney Handberg and Acting Special Agent in Charge DeWitt announced the sentence.
The Palm Beach County Human Trafficking Task Force, which includes the FBI, Homeland Security Investigations and the Palm Beach County Sheriff’s Office investigated the case. The Task Force received assistance from the Department of Labor Office of the Inspector General, the Department of Labor Wage and Hour Division, the Department of State Diplomatic Security Service, the Coalition of Immokalee Workers, Colorado Legal Services Migrant Farm Worker Division, Legal Aid Services of Oregon Farmworker Program and Indiana Legal Services Worker Rights and Protection Project.
Assistant U.S. Attorney Ilyssa Spergel for the Middle District of Florida and Trial Attorneys Avner Shapiro, Maryam Zhuravitsky and Matthew Thiman of the Civil Rights Division’s Criminal Section are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org. Information on the Department of Justice’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
Owner of Farm Labor Company Sentenced to 118 Months in Prison for Leading a Multi-State Conspiracy Involving Forced Labor of Mexican Farm WorkersRead the Press Release
Tampa, FL - Bladimir Moreno, 55, was sentenced for leading a federal racketeering and forced labor conspiracy that victimized Mexican H-2A agricultural workers in the United States between 2015 and 2017. U.S. District Court Judge Charlene Edward Honeywell of the Middle District of Florida sentenced Moreno to 118 months in prison with three years of supervised release and ordered him to pay over $175,000 in restitution to the victims.
Moreno, the owner of Los Villatoros Harvesting LLC (LVH), the labor contracting company that employed the workers, was charged in September 2021 and pleaded guilty earlier this year to conspiracy under the Racketeer Influenced and Corrupt Organizations Act (RICO) and conspiracy to commit forced labor. Two of Moreno’s co-defendants previously pleaded guilty to conspiracy under RICO, and a third, Guadalupe Mendes, 45, pleaded guilty to conspiring to obstruct a federal investigation. They were sentenced in October 2022. Rodas, a citizen of Mexico, who worked for LVH as a recruiter, manager and supervisor, received 41 months in prison. Gamez, a U.S. citizen, who worked for LVH as a bookkeeper, manager and supervisor, received 37 months in prison. Mendes, a U.S. citizen, who worked for LVH as a manager and supervisor, received eight months of home detention and a $5,500 fine to be paid over 24 months of supervised release.
“Human trafficking, including forced labor campaigns that exploit vulnerable workers, is unlawful, immoral and inhumane,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant abused his power as a business owner to capitalize on the victims’ vulnerabilities and immigration status, luring those seeking a better quality of life with false promises of lawful work paying a fair wage. The defendant forced Mexican agricultural workers to labor under inhumane conditions, confiscated their passports, imposed exorbitant fees and debts, and threatened them with deportation or false arrest. The Department of Justice is committed to seeking justice for survivors of forced labor campaigns, holding perpetrators accountable and stripping wrongdoers of their illegal profits.”
“Forcing individuals to work against their will using abusive and coercive tactics is not only unconscionable but illegal,” said U.S. Attorney Roger Handberg for the Middle District of Florida. “We will continue to work with our task force partners to combat human trafficking in all its forms, including prosecuting those who exploit vulnerable workers.”
According to court documents, Moreno owned, operated and managed LVH — a farm labor contracting company that brought large numbers of temporary, seasonal Mexican workers into the United States on H-2A agricultural visas — as a criminal enterprise. Moreno compelled victims to work in Florida, Kentucky, Indiana, Georgia and North Carolina, and he engaged in a pattern of other racketeering activity that included visa fraud and fraud in foreign labor contracting, among other things. In order to facilitate the enterprise, Moreno made false statements in applications to federal agencies for the company to be granted temporary, H-2A agricultural workers. Moreno and his co-conspirators also made false promises to the Mexican farm workers themselves to encourage them to work for LVH and then charged them inflated sums to come into the United States on H-2A visas.
Once the immigrants arrived in the United States, Moreno and his co-conspirators coerced over a dozen of them into providing long hours of physically demanding agricultural labor, six to seven days a week, for de minimis pay. Moreno and his co-conspirators used various forms of coercion, including imposing debts on the workers; confiscating their passports; subjecting them to crowded, unsanitary and degrading living conditions; harboring them in the United States after their visas had expired; and threatening them with arrest and deportation if they failed to comply with Moreno’s and his co-conspirators’ demands. Later, in an attempt to conceal the criminal enterprise from federal investigators, Moreno created and provided to investigators fraudulent records that contained falsified information about the workers’ pay and hours, and repeatedly made false statements to federal investigators.
Assistant Attorney General Clarke, U.S. Attorney Handberg and Acting Special Agent in Charge DeWitt announced the sentence.
The Palm Beach County Human Trafficking Task Force, which includes the FBI, Homeland Security Investigations and the Palm Beach County Sheriff’s Office investigated the case. The Task Force received assistance from the Department of Labor Office of the Inspector General, the Department of Labor Wage and Hour Division, the Department of State Diplomatic Security Service, the Coalition of Immokalee Workers, Colorado Legal Services Migrant Farm Worker Division, Legal Aid Services of Oregon Farmworker Program and Indiana Legal Services Worker Rights and Protection Project.
Assistant U.S. Attorney Ilyssa Spergel for the Middle District of Florida and Trial Attorneys Avner Shapiro, Maryam Zhuravitsky and Matthew Thiman of the Civil Rights Division’s Criminal Section are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org. Information on the Department of Justice’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
Okaloosa County Man Sentenced to 25 Years in Federal Prison for Drug Trafficking and Firearm OffensesRead the Press Release
PENSACOLA, FLORIDA – Kendall Ivan Brown, 41, of Okaloosa County, Florida, was sentenced to twenty-five years in federal prison after pleading guilty to conspiracy to distribute 5 kilograms or more of cocaine, possession with intent to distribute 5 kilograms or more of cocaine, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon. The sentence was announced by Jason R. Coody, U.S. Attorney for the Northern District of Florida.
“I am proud of our federal, state, and local partners for their tireless efforts to keep us safe and serve a critical role in our efforts to remove addictive and deadly controlled substances from our communities,” said U.S. Attorney Coody. “We will continue to support the efforts our law enforcement partners as we work together to investigate and prosecute criminals bringing drugs into North Florida.”
In August 2021, U.S. Postal Inspectors identified multiple packages shipped from Puerto Rico to addresses in Okaloosa County, Florida, over several months, containing large quantities of cocaine. Working with the Okaloosa County Sheriff’s Office and the Drug Enforcement Administration, investigators were able to identify Brown as the recipient and determine that he was receiving the packages at several different addresses in Fort Walton Beach, Shalimar, and Crestview. On November 16, 2021, investigators executed search warrants at three locations associated with Brown and discovered over eight kilograms of cocaine. At one of the locations, the cocaine was concealed with a loaded Sig Sauer 9mm pistol.
This case resulted from a joint investigation by the U.S. Postal Inspection Service, Okaloosa County Sheriff’s Office, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Walter Narramore prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
As part of its PSN strategy, the United States Attorney’s Office is encouraging everyone to lock their car doors, particularly at night. Burglaries from unlocked automobiles are a significant source of guns for criminals in the Northern District of Florida. Please do your part and protect yourself by locking your car doors.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
KC Man Charged with Illegal Firearm, Trafficking Crack CocaineRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man who fired at a gas station clerk was charged in federal court today with illegally possessing a firearm and crack cocaine to distribute.
Reginald Lucas, 59, was charged in a three-count criminal complaint filed in the U.S. District Court in Kansas City, Mo.
Today’s complaint charges Lucas with one count of being a felon in possession of a firearm, one count of possessing crack cocaine with the intent to distribute, and one count of possessing a firearm in furtherance of a drug-trafficking crime.
According to an affidavit filed in support of today’s criminal complaint, Lucas entered agas station near Prospect Avenue and East 35th Street at about 5:15 a.m. on Dec. 28, 2012. Lucas pointed a handgun at the store clerk and threatened him, then moved to the doorway and fired a shot in the direction of the clerk (who was not injured). Lucas fled from the store, got into a red Nissan Altima, and drove away.
Kansas City police officers who were called to the store found a bullet hole in the ceiling above where the clerk had been standing, and recovered a 9mm shell housing on the ground near the door. Gas station surveillance video provided images of Lucas firing the handgun and fleeing in the Altima.
Police officers were returning to the gas station at about 6:11 a.m. the same day when they saw the Altima, being driven by an unidentified woman with Lucas a passenger. Lucas got out of the vehicle and, when he saw the police officers approach, ran away on foot carrying a gray bag. Officers chased Lucas and took him into custody. Officers found a clear baggie of crack cocaine that contained 58 individually wrapped baggies that weighed a total of 20.95 grams and a smaller baggie that contained a total of 2.85 grams of crack cocaine in Lucas’s jacket pocket, and another 4.98 grams of crack cocaine in his pants pocket.
Officers asked Lucas if he had any identification, and he nodded towards the gray bag, which was hanging on a fence. Officers opened the bag and found a loaded CANIK Century Arms 9mm semi-automatic, individually wrapped baggies that contained a total of 92.81 grams of marijuana, and 22 loose prescription pills.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Lucas has prior convictions for murder with a deadly weapon and robbery.
The charges contained in this complaint are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Sean Foley. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
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.
Justice Department Files Nationwide Lawsuit Against AmerisourceBergen Corp. and Subsidiaries for Controlled Substances Act ViolationsRead the Press Release
In a civil complaint filed today, the Department of Justice alleges that AmerisourceBergen Corporation and two of its subsidiaries, AmerisourceBergen Drug Corporation and Integrated Commercialization Solutions, LLC (together “AmerisourceBergen”), collectively one of the country’s largest wholesale pharmaceutical distributors, violated federal law in connection with the distribution of controlled substances to pharmacies and other customers across the country, contributing to the prescription opioid epidemic.
The complaint alleges that this unlawful conduct resulted in at least hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties and injunctive relief.
“The Department of Justice is committed to holding accountable those who fueled the opioid crisis by flouting the law,” said Associate Attorney General Vanita Gupta. “Companies distributing opioids are required to report suspicious orders to federal law enforcement. Our complaint alleges that AmerisourceBergen — which sold billions of units of prescription opioids over the past decade — repeatedly failed to comply with that requirement.”
“AmerisourceBergen, one of the largest wholesale distributors of opioids in the world, had a legal obligation to report suspicious orders to the Drug Enforcement Administration (DEA), and our complaint alleges that the company’s repeated and systemic failure to fulfill this simple obligation helped ignite an opioid epidemic that has resulted in hundreds of thousands of deaths over the past decade,” said DEA Administrator Anne Milgram. “The men and women of the DEA will stop at nothing to hold accountable registrants that fail to uphold their responsibility of saving American lives by filing suspicious order reports.”
Pharmaceutical distributors that sell controlled substances, including AmerisourceBergen, have a longstanding legal obligation to monitor the orders that they receive from pharmacies and other customers and must inform the DEA each and every time they receive a suspicious order.
The complaint filed in the U.S. District Court for the Eastern District of Pennsylvania alleges that over the course of nearly a decade, from 2014 through the present, AmerisourceBergen violated the CSA by failing to report at least hundreds of thousands of suspicious orders of controlled substances to the DEA as required by law. The alleged unlawful conduct includes filling and failing to report numerous orders from pharmacies that AmerisourceBergen knew were likely facilitating diversion of prescription opioids. Today’s filing is the result of a multi-year investigation by the DEA, the Civil Division’s Consumer Protection Branch and several U.S. Attorneys’ Offices.
“For years, AmerisourceBergen put its profits from opioid sales over the safety of Americans,” said U.S. Attorney Philip R. Sellinger for the District of New Jersey. “According to the complaint, this was part of a brazen, blatant and systemic failure by one of the largest companies in America to comply with its obligations to report suspicious opioid orders, contributing to the epidemic of opioid abuse throughout this country.”
“Companies like AmerisourceBergen that sell controlled substances across the country have a significant responsibility to ensure that their product is handled appropriately and that they comply with their federal legal obligations,” said U.S. Attorney Jacqueline C. Romero for the Eastern District of Pennsylvania. “The allegations against AmerisourceBergen are disturbing, especially for a company that is headquartered only a few miles from neighborhoods in Philadelphia devastated by the opioid epidemic.”
“When drug distributors like AmerisourceBergen fail to alert the DEA of suspicious orders of prescription drugs by pharmacies, they shirk a key obligation in dealing with addictive drugs that can end lives,” said U.S. Attorney Cole Finegan for the District of Colorado. “This complaint makes clear that the Department of Justice will continue to hold accountable corporations that disregard the public’s safety for their own profit.”
“We allege that AmerisourceBergen, a wholesale drug distributor, flagrantly and repeatedly violated its obligation to notify DEA of suspicious orders for controlled substances, which directly contributed to the epidemic of prescription opioid abuse across the United States,” said U.S. Attorney Breon Peace for the Eastern District of New York.
The government’s complaint specifies several pharmacies for which AmerisourceBergen allegedly was aware of significant “red flags” suggesting the existence of diversion of prescription drugs to illicit markets. The complaint asserts that AmerisourceBergen nevertheless continued to distribute drugs to the pharmacies for years and reported few suspicious orders to the DEA. The five examples include: two pharmacies, one in Florida and one in West Virginia, for which AmerisourceBergen knew the drugs it distributed were likely being sold in parking lots for cash; a New Jersey pharmacy that has pleaded guilty to unlawfully selling controlled substances; another New Jersey pharmacy whose pharmacist-in-charge has been indicted for drug diversion; and a Colorado pharmacy that AmerisourceBergen knew was its largest purchaser of oxycodone 30mg tablets in all of Colorado. The government further alleges that for this Colorado pharmacy, AmerisourceBergen specifically identified eleven patients as potential “drug addicts” whose prescriptions likely were illegitimate. Two of those patients subsequently died of overdoses.
The complaint further alleges that AmerisourceBergen not only ignored red flags of diversion, but also relied on internal systems to monitor and identify suspicious orders that were deeply inadequate, both in design and implementation. These systems allegedly flagged only a tiny fraction of suspicious orders, thereby enabling diversion and AmerisourceBergen’s failure to report orders it was legally obligated to identify to the DEA. In fact, the complaint asserts that in the midst of the opioid epidemic, AmerisourceBergen intentionally altered its internal systems in a way that reduced the number of controlled substances reported as suspicious. Even for the small percentage of orders that AmerisourceBergen did identify as suspicious, the company routinely failed to report them to the DEA.
The government’s complaint alleges that for years AmerisourceBergen flouted its legal obligations and prioritized profits over the well-being of Americans.
If AmerisourceBergen is found liable, it could face escalating civil penalties depending on when each violation occurred and the type of controlled substance at issue, specifically, up to $10,000 for each reporting violation before November 2015, up to $16,864 for each violation between November 2015 and October 2018 and for each violation relating to a suspicious order for a non-opioid controlled substance not reported after October 2018, and up to $109,374 for each violation relating to a suspicious opioid order not reported after October 2018, potentially totaling billions of dollars in penalties. The court also may award injunctive relief to prevent AmerisourceBergen from committing future CSA violations.
The United States is represented in the filed action by Trial Attorneys Michael Wadden, Amy DeLine and Deborah Sohn of the Justice Department’s Civil Division’s Consumer Protection Branch, Assistant U.S. Attorneys Hayden M. Brockett and Jordann R. Conaboy for the District of New Jersey, Assistant U.S. Attorneys Anthony D. Scicchitano and Landon Jones for the Eastern District of Pennsylvania, Assistant U.S. Attorneys Amanda Rocque and David Moskowitz for the District of Colorado, and Assistant U.S. Attorneys Elliot M. Schachner and Diane Leonardo for the Eastern District of New York. The DEA collaborated with the Civil Division’s Consumer Protection and the U.S. Attorneys’ Offices to investigate the case.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch.
The claims made in the complaint are allegations that, if the case were to proceed to trial, the government must prove by a preponderance of the evidence.
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 Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Dec. 29 was:
Jesse Lee Hopkins, 38, a transient, on charges of bank fraud, aggravated identity theft and felon in possession of a firearm. If convicted of the most serious crime, Hopkins faces a maximum of 30 years in prison, a $1 million fine and five years of supervised release on the bank fraud charge and a mandatory minimum two years in prison, consecutive to any other sentence, a $250,000 fine and one year of supervised release on the aggravated identity theft charge. Hopkins was detained pending further proceedings. Homeland Security Investigations and the Billings Police Department investigated the case. PACER case reference. 22-108.
Joseph Lee Doney, 41, of Billings, on charges of prohibited person in possession of firearm and ammunition—armed career criminal, possession of a stolen firearm and possession of body armor by a violent felon. If convicted of the most serious crime, Doney faces a mandatory minimum 15 years to life in prison, a $250,000 fine and five years of supervised release. Doney was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-146.
Appearing on Dec. 28 was:
Geofredo James Littlebird, Jr., 38, of Lame Deer, on charges of prohibited person in possession of firearm. If convicted of the most serious crime, Littlebird faces a maximum of 15 years in prison, a $250,000 fine and three years of supervised release. Littlebird was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-149.
Appearing on Dec. 27 was:
Michael Joseph Owens, 42, of Aurora, Colorado, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Owens faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug counts and a mandatory minimum five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearm count. Owens was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Montana Division of Criminal Investigation, Montana Highway Patrol and Laurel Police Department investigated the case. PACER case reference. 22-144.
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Dec. 28 was:
Alex George Deserly, 43, of Box Elder, on charges of strangulation and assault resulting in substantial bodily injury to intimate partner. If convicted of the most serious crime, Deserly faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Deserly was detained pending further proceedings. The FBI and Rocky Boy’s Police Department investigated the case. PACER case reference. 22-101.
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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Human Smugglers Plead Guilty, Could Face Life in Federal PrisonRead the Press Release
DEL RIO, Texas – The final two in a group of 10 defendants indicted on human smuggling charges pleaded guilty last week.
Lauren Michelle Malmquist, aka “Mama” and “Lala,” 33, of Round Rock and Eduardo Rivera Benitez, aka “Lalo” and “Casper,” 24, of Bastrop pleaded guilty to illegal alien transportation resulting in death. Malmquist and Benitez were participants in a human smuggling organization arrested on March 15, 2021 near Del Rio.
Five additional defendants pleaded guilty earlier this year to one count of illegal alien transportation resulting in death: Sebastian Tovar, 26, of Toledo, Ohio; Nicolas Mondragon-Gonzalez, aka “Chayo” and “Flaco,” 34, of Austin; Veronica Torres-Mendez, 35, of Austin; Jennifer Oralia Davis, aka “Paypa,” 41, of San Antonio; and Ruben Junior Rodriguez-Jaimes, 20, of Bastrop. These defendants, along with Malmquist and Benitez, each face a maximum penalty of life in prison.
The remaining three defendants pleaded guilty to one count of conspiracy to transport aliens: Marco Antonio Hernandez, aka “Temo,” 20, of Paige; Jose Eli Rodriguez, 22, of Austin; and Rogelio Manuel Luna, 34, of Austin. They each face a maximum penalty of 10 years in prison.
According to court documents, Tovar was driving a Dodge Ram near Del Rio when a Texas Department of Public Safety (DPS) trooper attempted to stop the vehicle. Tovar tried to evade law enforcement but crashed into oncoming traffic. Eight undocumented noncitizen passengers in Tovar’s truck died in the crash, while one more was seriously injured. Additionally, two U.S. citizens were seriously injured in the head-on collision when Tovar struck their vehicle.
Following the crash, U.S. Border Patrol (USBP) agents encountered a Ford F-150 stopped in traffic near the crash site. The agents directed the driver of the Ford to turn around and subsequently all its occupants fled on foot into nearby brush. USBP agents were able to locate 12 undocumented noncitizens who bolted from the Ford. After interviewing two of the undocumented noncitizens, USBP agents determined that the occupants of the Dodge and Ford were part of a human smuggling operation that was illegally transporting 20 undocumented noncitizens in the U.S.
All 10 defendants currently await their next court dates for their respective sentencing hearings. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas and Acting Special Agent in Charge Craig Larrabee of the Department of Homeland Security Investigations (HSI) San Antonio Division made the announcement.
HSI, USBP and DPS are investigating the case.
Assistant U.S. Attorney Joshua Banister is prosecuting the case.
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Gun Shop and Owner Charged with Transfer of Firearm to a Felon, Aiding and Abetting Unlicensed Firearm Trafficking, and Failure to Maintain Firearm RecordsRead the Press Release
SAN JUAN, Puerto Rico – A federal grand jury returned a three-count indictment against Aileene Mudafort-Fernández and Mudafort Xtreme Sports & Motorsports Inc. for disposing of a pistol to a felon, aiding and abetting in unlicensed firearm trafficking, and failure to maintain firearm records. In a separate indictment, José Berrios-Aquino, an armorer of Mudafort Xtreme Sports & Motorsports Inc., was charged with the possession of a machinegun.
According to the indictments, since at least 2020, Ms. Mudafort-Fernández and her gun shop aided and abetted “R.R.M.” in the illegal trafficking of guns. Additionally, Ms. Mudafort-Fernández disposed of a Taurus pistol in 2019 to “P.C.T.,” knowing that he was a felon. Ms. Mudafort-Fernández and her armory further failed to maintain firearm accords according to law.
An armorer of Mudafort Xtreme Sports & Motorsports Inc., José Berrios-Aquino, was charged in a separate indictment with possessing a pistol that had been modified to be a machinegun. According to public documents, Mr. Berrios-Aquino’s gun had been altered with an Alamo-15 Forced Reset Trigger, which modifies a gun to automatically fire more than one shot without manual reloading by a single function of the trigger.
“Violent crimes involving guns are often committed by people who cannot legally obtain a firearm, but they find a way. According to the indictments, these defendants engaged in the business of dealing guns without following the firearms laws,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “The manufacturing and unlicensed sale for profit of high-capacity firearms is a serious threat to public safety. We will continue to vigorously investigate gun dealers and prosecute violations of the law.”
“Federal Firearms Licensees hold a special responsibility as the first line of defense against the illegal diversion of firearms from lawful commerce,” said ATF Special Agent in Charge Christopher A. Robinson. “A dereliction of that duty by willfully participating in these alleged actions will never be tolerated by ATF.”
Assistant U.S. Attorney Linet Suarez of the Violent Crimes Section is in charge of the prosecution of the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives is in charge of the investigation. If convicted, each defendant faces a sentence of up to ten years in prison. An indictment contains only charges and is not evidence of guilt.
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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Federal Court Permanently Shuts Down Detroit Tax PreparersRead the Press Release
A federal court in the Eastern District of Michigan has permanently enjoined two Detroit, Michigan-area tax return preparers and their Detroit-based business from preparing returns for others and from owning or operating any tax return preparation business in the future.
The civil complaint filed in the case alleged that Latavia Garrett, Latrina Hall, and their tax return preparation company, Detroit Tax Solution LLC, prepared fraudulent federal income tax returns. According to the complaint, defendants filed fraudulent federal tax returns that included the following schemes: reporting false income and expenses from fictious businesses; falsely claiming eligibility for child tax credits and education credits; falsely claiming dependents to increase the amount of earned income tax credits; utilizing falsely-reported prior year earned income to make customers eligible for tax credits; underreporting wage income; and, as to defendant Hall, often acting as a “ghost preparer” – that is, failing to sign the tax returns she prepared and failing to identify herself in any way on the returns. As alleged in the complaint, the IRS has conservatively estimated that defendants’ fraudulent return preparation activities have caused a combined loss to the United States for tax years 2019 and 2020 exceeding $1.2 million.
According to the court’s order, defendants consented to entry of the injunction, which permits the United States to conduct post-judgment discovery to monitor compliance. The order requires that defendants (1) send notice of the injunction to each person for whom they and their company prepared federal tax returns, amended tax returns, or claims for refund after January 1, 2019, and (2) post an electronic copy of the injunction on any business social media profile currently maintained or created over the next five years.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers 10 tips to avoid tax season fraud and ways to safeguard their personal information.
In the past decade, the Department of Justice Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
EDVA Collects over $25 M in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
ALEXANDRIA, Va. – U.S. Attorney Jessica D. Aber announced today that the Eastern District of Virginia (EDVA) collected over $25 million in criminal and civil actions in Fiscal Year 2022. Of this amount, roughly $14 million was collected in criminal actions and almost $11 million was collected in civil actions.
Additionally, EDVA worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $6.1 million in cases pursued jointly by these offices. Of this amount, $13,000 was collected in criminal actions and over $6 million was collected in civil actions.
In November, EDVA secured a civil resolution with Raley and Advanced Spine and Pain, PLLC, owned by Thomas Raley, Jr, at the time, where the parties jointly paid $3,159,378.51 to settle civil claims under the False Claims Act, the Virginia Fraud Against Taxpayers Act, and common law remedies. Raley was writing and referring compounded drug prescriptions in return for illegal kickback payments and sentenced to 3 years in prison after pleading guilty to criminal charges.
In February, after pleading guilty to fraud charges for 12-year bribery scheme with former Norfolk Sheriff Robert McCabe, Gerard Boyle, Chief Executive Officer of Correct Care Solutions, was sentenced to three years in prison and EDVA secured a court order for Boyle to forfeit $2,700,000, in addition to a $35,000 fine, both of which Boyle has paid in full.
The U.S. Attorneys’ Offices, along with the Department of Justice’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. In FY 2022, the U.S. Attorney’s Office in EDVA collected over $14,803,207 in restitution for crime victims. While restitution is paid to the victim, criminal fines and felony assessments are paid to the Department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s office in EDVA, working with Department of Justice partner agencies and divisions, obtained over $72.3 million in criminal asset forfeiture judgments and collected over $13.5 million in asset forfeiture actions in FY 2022. This amount does not include forfeitures in partnership with Department of Treasury law enforcement agencies. Forfeited assets are either deposited into the Department of Justice Assets Forfeiture Fund or are used to restore funds to crime victims. Assets deposited into the Assets Forfeiture Fund are used for a variety of law enforcement purposes.
U.S. Attorney Aber extends her gratitude to the attorneys and staff in EDVA’s Asset Recovery Unit, who are responsible for ensuring that these significant funds are recovered in full to victims and the public fisc.
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.
Department of Justice Files Nationwide Lawsuit Against AmerisourceBergen Corp. and Subsidiaries for Controlled Substances Act ViolationsRead the Press Release
Denver – In a civil complaint filed today, the Department of Justice alleges that AmerisourceBergen Corporation and two of its subsidiaries, AmerisourceBergen Drug Corporation and Integrated Commercialization Solutions, LLC (together “AmerisourceBergen”), collectively one of the country’s largest wholesale pharmaceutical distributors, violated federal law in connection with the distribution of controlled substances to pharmacies and other customers across the country, contributing to the prescription opioid epidemic.
The complaint alleges that this unlawful conduct resulted in at least hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties and injunctive relief.
“The Department of Justice is committed to holding accountable those who fueled the opioid crisis by flouting the law,” said Associate Attorney General Vanita Gupta. “Companies distributing opioids are required to report suspicious orders to federal law enforcement. Our complaint alleges that AmerisourceBergen—which sold billions of units of prescription opioids over the past decade—repeatedly failed to comply with that requirement.”
“AmerisourceBergen, one of the largest wholesale distributors of opioids in the world, had a legal obligation to report suspicious orders to the Drug Enforcement Administration, and our complaint alleges that the company’s repeated and systemic failure to fulfill this simple obligation helped ignite an opioid epidemic that has resulted in hundreds of thousands of deaths over the past decade,” said DEA Administrator Anne Milgram. “The men and women of the DEA will stop at nothing to hold accountable registrants that fail to uphold their responsibility of saving American lives by filing suspicious order reports.”
Pharmaceutical distributors that sell controlled substances, including AmerisourceBergen, have a longstanding legal obligation to monitor the orders that they receive from pharmacies and other customers and must inform the Drug Enforcement Administration (DEA) each and every time they receive a suspicious order.
The complaint filed in the U.S. District Court for the Eastern District of Pennsylvania alleges that over the course of nearly a decade, from 2014 through the present, AmerisourceBergen violated the CSA by failing to report at least hundreds of thousands of suspicious orders of controlled substances to the DEA as required by law. The alleged unlawful conduct includes filling and failing to report numerous orders from pharmacies that AmerisourceBergen knew were likely facilitating diversion of prescription opioids. Today’s filing is the result of a multi-year investigation by the DEA, the Civil Division’s Consumer Protection Branch and several U.S. Attorneys’ Offices.
“As a distributor of prescription drugs, AmerisourceBergen was entrusted with handling addictive, dangerous drugs that can be fatal if misused. When it failed to report suspicious orders of prescription drugs, it failed to honor a key legal obligation that protects the public. his complaint makes clear that the Department of Justice will continue to hold accountable corporations that disregard the public’s safety for their own profit,” said United States Attorney Cole Finegan.
The government’s complaint specifies several pharmacies for which AmerisourceBergen allegedly was aware of significant “red flags” suggesting the existence of diversion of prescription drugs to illicit markets. The complaint asserts that AmerisourceBergen nevertheless continued to distribute drugs to the pharmacies for years and reported few suspicious orders to the DEA. The five examples include: two pharmacies, one in Florida and one in West Virginia, for which AmerisourceBergen knew the drugs it distributed were likely being sold in parking lots for cash; a New Jersey pharmacy that has pleaded guilty to unlawfully selling controlled substances; another New Jersey pharmacy whose pharmacist-in-charge has been indicted for drug diversion; and a Colorado pharmacy that AmerisourceBergen knew was its largest purchaser of oxycodone 30mg tablets in all of Colorado. The government further alleges that for this Colorado pharmacy, AmerisourceBergen specifically identified eleven patients as potential “drug addicts” whose prescriptions likely were illegitimate. Two of those patients subsequently died of overdoses.
The complaint further alleges that AmerisourceBergen not only ignored red flags of diversion, but also relied on internal systems to monitor and identify suspicious orders that were deeply inadequate, both in design and implementation. These systems allegedly flagged only a tiny fraction of suspicious orders, thereby enabling diversion and AmerisourceBergen’s failure to report orders it was legally obligated to identify to the DEA. In fact, the complaint asserts that in the midst of the opioid epidemic, AmerisourceBergen intentionally altered its internal systems in a way that reduced the number of controlled substances reported as suspicious. Even for the small percentage of orders that AmerisourceBergen did identify as suspicious, the company routinely failed to report them to the DEA.
The government’s complaint alleges that for years AmerisourceBergen flouted its legal obligations and prioritized profits over the well-being of Americans.
If AmerisourceBergen is found liable, it could face escalating civil penalties depending on when each violation occurred and the type of controlled substance at issue. Specifically: up to $10,000 for each reporting violation before November 2015, up to $16,864 for each violation between November 2015 and October 2018 and for each violation relating to a suspicious order for a non-opioid controlled substance not reported after October 2018, and up to $109,374 for each violation relating to a suspicious opioid order not reported after October 2018, potentially totaling billions of dollars in penalties. The court also may award injunctive relief to prevent AmerisourceBergen from committing future CSA violations.
The United States is represented in the filed action by Trial Attorneys Michael Wadden, Amy DeLine, and Deborah Sohn of the Department of Justice Civil Division’s Consumer Protection Branch, Assistant U.S. Attorneys Hayden M. Brockett and Jordann R. Conaboy for the District of New Jersey, Assistant U.S. Attorneys Anthony D. Scicchitano and Landon Jones for the Eastern District of Pennsylvania, Assistant U.S. Attorneys Amanda Rocque and David Moskowitz for the District of Colorado, and Assistant U.S. Attorneys Elliot M. Schachner and Diane Leonardo for the Eastern District of New York. The DEA collaborated with the Civil Division’s Consumer Protection and the U.S. Attorney’s Offices to investigate the case.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch.
The claims made in the complaint are allegations that, if the case were to proceed to trial, the government must prove by a preponderance of the evidence.
Department of Justice Files Nationwide Lawsuit Against AmerisourceBergen Corp. and Subsidiaries for Controlled Substances Act ViolationsRead the Press Release
NEWARK, N.J. – In a civil complaint filed today, the Department of Justice alleges that AmerisourceBergen Corp. and two of its subsidiaries, AmerisourceBergen Drug Corp. and Integrated Commercialization Solutions LLC (AmerisourceBergen), collectively one of the country’s largest wholesale pharmaceutical distributors and one of the largest companies in America by revenue, violated the law in connection with the distribution of controlled substances to pharmacies and other customers across the country, contributing to the prescription opioid epidemic.
The complaint alleges that this unlawful conduct resulted in at least hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties and injunctive relief.
“For years, AmerisourceBergen put its profits from opioid sales over the safety of Americans,” U.S. Attorney for the District of New Jersey Philip R. Sellinger said. “According to the complaint, this was part of a brazen, blatant, and systemic failure by one of the largest companies in America to comply with its obligations to report suspicious opioid orders, contributing to the epidemic of opioid abuse throughout this country.”
“The Department of Justice is committed to holding accountable those who fueled the opioid crisis by flouting the law,” Associate Attorney General Vanita Gupta said. “Companies distributing opioids are required to report suspicious orders to federal law enforcement. Our complaint alleges that AmerisourceBergen—which sold billions of units of prescription opioids over the past decade—repeatedly failed to comply with that requirement.”
“The mission of the DEA is to enforce the Controlled Substances Act, and as this complaint alleges, AmerisourceBergen violated the CSA hundreds of thousands of times,” Susan A. Gibson, Special Agent in Charge of the DEA’s New Jersey Division, said. “AmerisourceBergen was required by law to report suspicious orders to the DEA, and they failed in their obligation to do so. This failure contributed to the opioid epidemic that has plagued this country for years. This multi-year investigation and resulting lawsuit will hold AmerisourceBergen accountable for their actions.”
“AmerisourceBergen, one of the largest wholesale distributors of opioids in the world, had a legal obligation to report suspicious orders to the Drug Enforcement Administration, and our complaint alleges that the company’s repeated and systemic failure to fulfill this simple obligation helped ignite an opioid epidemic that has resulted in hundreds of thousands of deaths over the past decade,” DEA Administrator Anne Milgram said. “The men and women of the DEA will stop at nothing to hold accountable registrants that fail to uphold their responsibility of saving American lives by filing suspicious order reports.”
Pharmaceutical distributors that sell controlled substances, including AmerisourceBergen, have a longstanding legal obligation to monitor the orders that they receive from pharmacies and other customers and must inform the Drug Enforcement Administration (DEA) each and every time they receive a suspicious order.
The complaint filed in the U.S. District Court for the Eastern District of Pennsylvania alleges that over the course of nearly a decade, from 2014 through the present, AmerisourceBergen violated the CSA by failing to report at least hundreds of thousands of suspicious orders of controlled substances to the DEA as required by law. The alleged unlawful conduct includes filling and failing to report numerous orders from pharmacies that AmerisourceBergen knew were likely facilitating diversion of prescription opioids. Today’s filing is the result of a multi-year investigation by the DEA, the District of New Jersey, the Civil Division’s Consumer Protection Branch, several other U.S. Attorneys’ Offices.
The government’s complaint specifies several pharmacies for which AmerisourceBergen allegedly was aware of significant “red flags” suggesting the existence of diversion of prescription drugs to illicit markets. The complaint asserts that AmerisourceBergen nevertheless continued to distribute drugs to the pharmacies for years and reported few suspicious orders to the DEA. These pharmacies include: a New Jersey pharmacy that has pleaded guilty to unlawfully selling controlled substances; another New Jersey pharmacy whose pharmacist-in-charge has been indicted for drug diversion; two pharmacies, one in Florida and one in West Virginia, for which AmerisourceBergen knew the drugs it distributed were likely being sold in parking lots for cash; and, a Colorado pharmacy that AmerisourceBergen knew was its largest purchaser of oxycodone in that state and specifically identified eleven patients as potential “drug addicts” whose prescriptions likely were illegitimate.
“As alleged in the complaint,” U.S. Attorney Sellinger said, “after learning of drug deals in a pharmacy parking lot – the ‘reddest of red flags’ as one AmerisourceBergen employee described – an AmerisourceBergen subsidiary went on shipping thousands of opioids order to that pharmacy and did not report a single one of them to the DEA. Another example: despite telling the DEA that it had ceased selling controlled substances to a New Jersey pharmacy, an AmerisourceBergen subsidiary used a proxy distributor – a straw – to continue funneling hundreds of opioids orders to that same pharmacy. None of those suspicious orders were reported to DEA either. These were not isolated incidents, but are indicative of AmerisourceBergen’s widespread misconduct.”
The complaint further alleges that AmerisourceBergen not only ignored red flags of diversion, but also relied on internal systems to monitor and identify suspicious orders that were deeply inadequate, both in design and implementation. These systems allegedly flagged only a tiny fraction of suspicious orders, thereby enabling diversion and AmerisourceBergen’s failure to report orders it was legally obligated to identify to the DEA. In fact, the complaint asserts that in the midst of the opioid epidemic, AmerisourceBergen intentionally altered its internal systems to reduce the number of controlled substances reported as suspicious. Even for the small percentage of orders that AmerisourceBergen did identify as suspicious, the company routinely failed to report them to the DEA.
The government’s complaint alleges that for years AmerisourceBergen flouted its legal obligations and prioritized profits over the well-being of Americans.
If AmerisourceBergen is found liable, it could face escalating civil penalties depending on when each violation occurred and the type of controlled substance at issue. Specifically: up to $10,000 for each reporting violation before November 2015, up to $16,864 for each violation between November 2015 and October 2018 and for each violation relating to a suspicious order for a non-opioid controlled substance not reported after October 2018 , and up to $109,374 for each violation relating to a suspicious opioid order not reported after October 2018, potentially totaling billions of dollars in penalties. The court also may award injunctive relief to prevent AmerisourceBergen from committing future CSA violations.
The claims made in the complaint are allegations that the United States must prove by a preponderance of the evidence if the case proceeds to trial.
The government is represented by Assistant U.S. Attorneys Hayden M. Brockett and Jordann R. Conaboy for the District of New Jersey, Trial Attorneys Michael Wadden, Amy DeLine, and Deborah Sohn of the Department of Justice Civil Division’s Consumer Protection Branch, Assistant U.S. Attorneys Anthony D. Scicchitano and Landon Jones for the Eastern District of Pennsylvania, Assistant U.S. Attorneys Amanda Rocque and David Moskowitz for the District of Colorado, and Assistant U.S. Attorneys Elliot M. Schachner and Diane Leonardo for the Eastern District of New York. The DEA, under the direction of Special Agent in Charge Gibson in New Jersey, collaborated with the Department to investigate the case.
Department of Justice Files Nationwide Lawsuit Against AmerisourceBergen Corp. and Subsidiaries for Controlled Substances Act ViolationsRead the Press Release
BROOKLYN, NY – In a civil complaint filed today, the Department of Justice alleges that AmerisourceBergen Corporation and two of its subsidiaries, AmerisourceBergen Drug Corporation and Integrated Commercialization Solutions, LLC (together “AmerisourceBergen”), collectively one of the country’s largest wholesale pharmaceutical distributors, violated federal law in connection with the distribution of controlled substances to pharmacies and other customers across the country, contributing to the prescription opioid epidemic.
The complaint alleges that this unlawful conduct resulted in at least hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties and injunctive relief.
“AmerisourceBergen, a wholesale drug distributor, flagrantly and repeatedly violated its obligation to notify DEA of suspicious orders for controlled substances, which directly contributed to the epidemic of prescription opioid abuse across the United States,” stated United States Attorney Peace.
“The Department of Justice is committed to holding accountable those who fueled the opioid crisis by flouting the law,” said Associate Attorney General Vanita Gupta. “Companies distributing opioids are required to report suspicious orders to federal law enforcement. Our complaint alleges that AmerisourceBergen—which sold billions of units of prescription opioids over the past decade—repeatedly failed to comply with that requirement.”
“AmerisourceBergen, one of the largest wholesale distributors of opioids in the world, had a legal obligation to report suspicious orders to the Drug Enforcement Administration, and our complaint alleges that the company’s repeated and systemic failure to fulfill this simple obligation helped ignite an opioid epidemic that has resulted in hundreds of thousands of deaths over the past decade,” said DEA Administrator Anne Milgram. “The men and women of the DEA will stop at nothing to hold accountable registrants that fail to uphold their responsibility of saving American lives by filing suspicious order reports.”
To prevent the unlawful distribution of opioids and other controlled substances, the CSA requires that wholesale drug distributors like AmerisourceBergen report suspicious orders of controlled substances to DEA. An order is suspicious if it has an unusual size, deviates substantially from a normal pattern, has an unusual frequency, or carries other signs that the order is suspicious, such as suspicions about the legitimacy of the customers’ business practices.
The complaint filed in the U.S. District Court for the Eastern District of Pennsylvania alleges that over the course of nearly a decade, from 2014 through the present, AmerisourceBergen violated the CSA by failing to report at least hundreds of thousands of suspicious orders of controlled substances to the DEA as required by law. The alleged unlawful conduct includes filling and failing to report numerous orders from pharmacies that AmerisourceBergen knew were likely facilitating diversion of prescription opioids. Today’s filing is the result of a multi-year investigation by the DEA, the Civil Division’s Consumer Protection Branch and several U.S. Attorneys’ Offices.
The government’s complaint specifies several pharmacies for which AmerisourceBergen allegedly was aware of significant “red flags” suggesting the existence of diversion of prescription drugs to illicit markets. The complaint asserts that AmerisourceBergen nevertheless continued to distribute drugs to the pharmacies for years and reported few suspicious orders to the DEA. The five examples include: two pharmacies, one in Florida and one in West Virginia, for which AmerisourceBergen knew the drugs it distributed were likely being sold in parking lots for cash; a New Jersey pharmacy that has pleaded guilty to unlawfully selling controlled substances; another New Jersey pharmacy whose pharmacist-in-charge has been indicted for drug diversion; and a Colorado pharmacy that AmerisourceBergen knew was its largest purchaser of oxycodone 30mg tablets in all of Colorado. The government further alleges that for this Colorado pharmacy, AmerisourceBergen specifically identified eleven patients as potential “drug addicts” whose prescriptions likely were illegitimate. Two of those patients subsequently died of overdoses.
The complaint further alleges that AmerisourceBergen not only ignored red flags of diversion, but also relied on internal systems to monitor and identify suspicious orders that were deeply inadequate, both in design and implementation. These systems allegedly flagged only a tiny fraction of suspicious orders, thereby enabling diversion and AmerisourceBergen’s failure to report orders it was legally obligated to identify to the DEA. In fact, the complaint asserts that in the midst of the opioid epidemic, AmerisourceBergen intentionally altered its internal systems in a way that reduced the number of controlled substances reported as suspicious. Even for the small percentage of orders that AmerisourceBergen did identify as suspicious, the company routinely failed to report them to the DEA.
The government’s complaint alleges that for years AmerisourceBergen flouted its legal obligations and prioritized profits over the well-being of Americans.
If AmerisourceBergen is found liable, it could face escalating civil penalties depending on when each violation occurred and the type of controlled substance at issue. Specifically: up to $10,000 for each reporting violation before November 2015, up to $16,864 for each violation between November 2015 and October 2018 and for each violation relating to a suspicious order for a non-opioid controlled substance not reported after October 2018, and up to $109,374 for each violation relating to a suspicious opioid order not reported after October 2018, potentially totaling billions of dollars in penalties. The court also may award injunctive relief to prevent AmerisourceBergen from committing future CSA violations.
The claims made in the complaint are allegations that, if the case were to proceed to trial, the government must prove by a preponderance of the evidence.
The United States is represented in the filed action by Assistant U.S. Attorneys Elliot M. Schachner and Diane Leonardo for the Eastern District of New York, Trial Attorneys Michael Wadden, Amy DeLine, and Deborah Sohn of the Department of Justice Civil Division’s Consumer Protection Branch, Assistant U.S. Attorneys Hayden M. Brockett and Jordann R. Conaboy for the District of New Jersey, Assistant U.S. Attorneys Anthony D. Scicchitano and Landon Jones for the Eastern District of Pennsylvania and Assistant U.S. Attorneys Amanda Rocque and David Moskowitz for the District of Colorado. The DEA collaborated with the Civil Division’s Consumer Protection and the U.S. Attorney’s Offices to investigate the case.
Department of Justice Files Nationwide Lawsuit Against AmerisourceBergen Corp. and Subsidiaries for Controlled Substances Act ViolationsRead the Press Release
PHILADELPHIA – U.S. Attorney Jacqueline C. Romero, together with Associate Attorney General for the Department of Justice Vanita Gupta, U.S. Attorneys for the Districts of New Jersey, Colorado and Eastern New York, and representatives from the DEA and Justice Department’s Civil Division’s Consumer Protection Branch, announced that the Department of Justice filed a civil complaint today alleging that AmerisourceBergen Corporation and two of its subsidiaries, AmerisourceBergen Drug Corporation and Integrated Commercialization Solutions, LLC (together “AmerisourceBergen”), collectively one of the country’s largest wholesale pharmaceutical distributors and one of the largest companies in America by revenue, violated federal law in connection with the distribution of controlled substances to pharmacies and other customers across the country, thereby contributing to the prescription opioid epidemic.
The complaint alleges that this unlawful conduct resulted in at least hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties and injunctive relief.
“Companies like AmerisourceBergen that sell controlled substances across the country have a significant responsibility to ensure that their product is handled appropriately and that they comply with their federal legal obligations,” said U.S. Attorney Romero. “The allegations against AmerisourceBergen are disturbing, especially for a company that is headquartered only a few miles from neighborhoods in Philadelphia devastated by the opioid epidemic. This lawsuit sends a strong message to the community that companies who fail to comply with their controlled substance legal obligations will be held accountable.”
“The Department of Justice is committed to holding accountable those who fueled the opioid crisis by flouting the law,” said Associate Attorney General Vanita Gupta. “Companies distributing opioids are required to report suspicious orders to federal law enforcement. Our complaint alleges that AmerisourceBergen—which sold billions of units of prescription opioids over the past decade—repeatedly failed to comply with that requirement.”
“AmerisourceBergen, one of the largest wholesale distributors of opioids in the world, had a legal obligation to report suspicious orders to the Drug Enforcement Administration, and our complaint alleges that the company’s repeated and systemic failure to fulfill this simple obligation helped ignite an opioid epidemic that has resulted in hundreds of thousands of deaths over the past decade,” said DEA Administrator Anne Milgram. “The men and women of the DEA will stop at nothing to hold accountable registrants that fail to uphold their responsibility of saving American lives by filing suspicious order reports.”
Pharmaceutical distributors that sell controlled substances, including AmerisourceBergen, have a longstanding legal obligation to monitor the orders that they receive from pharmacies and other customers and must inform the Drug Enforcement Administration (DEA) each and every time they receive a suspicious order.
The complaint filed in the U.S. District Court for the Eastern District of Pennsylvania alleges that over the course of nearly a decade, from 2014 through the present, AmerisourceBergen violated the CSA by failing to report at least hundreds of thousands of suspicious orders of controlled substances to the DEA as required by law. The alleged unlawful conduct includes filling and failing to report numerous orders from pharmacies that AmerisourceBergen knew were likely facilitating diversion of prescription opioids. Today’s filing is the result of a multi-year investigation by the DEA, the Civil Division’s Consumer Protection Branch and several U.S. Attorneys’ Offices.
“For years, AmerisourceBergen put its profits from opioid sales over the safety of Americans” U.S. Attorney for the District of New Jersey Philip R. Sellinger said. “According to the Complaint, this was part of a brazen, blatant, and systemic failure by one of the largest companies in America to comply with its obligations to report suspicious opioid orders, contributing to the epidemic of opioid abuse throughout this country.”
“AmerisourceBergen, a wholesale drug distributor, flagrantly and repeatedly violated its obligation to notify DEA of suspicious orders for controlled substances, which directly contributed to the epidemic of prescription opioid abuse across the United States,” stated U.S. Attorney for the Eastern District of New York Breon Peace.
“When drug distributors like AmerisourceBergen fail to alert the DEA of suspicious orders of prescription drugs by pharmacies, they shirk a key obligation in dealing with addictive drugs that can end lives. This complaint makes clear that the Department of Justice will continue to hold accountable corporations that disregard the public’s safety for their own profit,” said U.S. Attorney for the District of Colorado Cole Finegan.
The government’s complaint specifies several pharmacies for which AmerisourceBergen allegedly was aware of significant “red flags” suggesting the existence of diversion of prescription drugs to illicit markets. The complaint asserts that AmerisourceBergen nevertheless continued to distribute drugs to the pharmacies for years and reported few suspicious orders to the DEA. The five examples include: two pharmacies, one in Florida and one in West Virginia, for which AmerisourceBergen knew the drugs it distributed were likely being sold in parking lots for cash; a New Jersey pharmacy that has pleaded guilty to unlawfully selling controlled substances; another New Jersey pharmacy whose pharmacist-in-charge has been indicted for drug diversion; and a Colorado pharmacy that AmerisourceBergen knew was its largest purchaser of oxycodone 30mg tablets in all of Colorado. The government further alleges that for this Colorado pharmacy, AmerisourceBergen specifically identified eleven patients as potential “drug addicts” whose prescriptions likely were illegitimate. Two of those patients subsequently died of overdoses.
The complaint further alleges that AmerisourceBergen not only ignored red flags of diversion, but also relied on internal systems to monitor and identify suspicious orders that were deeply inadequate, both in design and implementation. These systems allegedly flagged only a tiny fraction of suspicious orders, thereby enabling diversion and AmerisourceBergen’s failure to report orders it was legally obligated to identify to the DEA. In fact, the complaint asserts that in the midst of the opioid epidemic, AmerisourceBergen intentionally altered its internal systems in a way that reduced the number of controlled substances reported as suspicious. Even for the small percentage of orders that AmerisourceBergen did identify as suspicious, the company routinely failed to report them to the DEA.
The government’s complaint alleges that for years AmerisourceBergen flouted its legal obligations and prioritized profits over the well-being of Americans.
If AmerisourceBergen is found liable, it could face escalating civil penalties depending on when each violation occurred and the type of controlled substance at issue. Specifically: up to $10,000 for each reporting violation before November 2015, up to $16,864 for each violation between November 2015 and October 2018 and for each violation relating to a suspicious order for a non-opioid controlled substance not reported after October 2018, and up to $109,374 for each violation relating to a suspicious opioid order not reported after October 2018, potentially totaling billions of dollars in penalties. The court also may award injunctive relief to prevent AmerisourceBergen from committing future CSA violations.
The United States is represented in the filed action by Assistant U.S. Attorneys Anthony D. Scicchitano and Landon Jones for the Eastern District of Pennsylvania, in conjunction with Trial Attorneys Michael Wadden, Amy DeLine, and Deborah Sohn of the Department of Justice Civil Division’s Consumer Protection Branch, Assistant U.S. Attorneys Hayden Brockett and Jordann Conaboy for the District of New Jersey, Assistant U.S. Attorneys Amanda Rocque and David Moskowitz for the District of Colorado, and Assistant U.S. Attorneys Elliot M. Schachner and Diane Leonardo for the Eastern District of New York. The DEA collaborated with the Department to investigate the case.
The claims made in the complaint are allegations that, if the case were to proceed to trial, the government must prove by a preponderance of the evidence.
Department of Justice Awards over $46 Million in Grants to Support Public Safety Efforts in NevadaRead the Press Release
LAS VEGAS – The Department of Justice has awarded $46,438,846 in grants to various Nevada entities to support victims’ services and public safety efforts, announced United States Attorney Jason M. Frierson.
“These grant awards totaling more than $46 million represent the Justice Department’s commitment to provide the support and resources needed to keep Nevada’s communities safer for all to live and work,” said U.S. Attorney Frierson. “The U.S. Attorney’s Office will work closely with partners throughout the Battle Born State to build safer communities.”
From August to December, Nevada entities were awarded the following grants from the Office of Justice Programs (OJP) and its components:
- Office for Victims of Crime:
- The Division of Child & Family Services was awarded $2,252,000, as part of the OVC FY 2022 Invited to Apply - Administrative Funding Adjustment to Previously Funded FY2019 VOCA Victim; $2,349,000, as part of the OVC FY 2022 VOCA Victim Compensation Formula Grant; and $13,690,070, as part of the OVC FY 2022 VOCA Victim Assistance Formula Grant.
- The Inter-Tribal Council of Nevada was awarded $3,766,170, as part of the OVC FY 2022 Invited to Apply Tribal Victim Services Set-Aside Formula Grant Program.
- Washoe County was awarded $100,000, as part of the OVC FY 2023 Emergency and Transitional Pet Shelter and Housing Assistance Grant Program.
- The National Council of Juvenile and Family Court Judges was awarded $1,000,000, as part of the OVC FY 2022 Field-Generated Strategies to Address the Criminalization of Minor Victims of Sex Trafficking.
Total: $23,157,240
- Office of Juvenile Justice Delinquency Prevention:
- The Division of Child & Family Services was awarded $610,587, as part of the OJJDP FY 2021 Title II Formula Grants Program, and $608,073, as part of the OJJDP FY 2022 Title II Formula Grants Program FY 2022 Title II Grant Solicitation Year 2 of the 3-Year Plan.
- The National Council of Juvenile and Family Court Judges was awarded $3,556,559, as part of the OJJDP FY 2022 Invited to Apply - Training and Technical Assistance - Child Abuse Training for Judicial and Court.
- The Shoshone-Paiute Tribes was awarded $998,788, as part of the OJJDP FY 2022 Enhancing School Capacity to Address Youth Violence.
- Sunrise Health Clinics LLC was awarded $750,000, as part of the OJJDP FY 2022 Family-Based Alternative Sentencing Program.
- The Las Vegas Metropolitan Police Department was awarded $433,341, as part of the OJJDP FY 2022 Invited to Apply – Internet Crimes Against Children (ICAC) Task Forces.
Total: $6,957,348
- Bureau of Justice Assistance:
- The City of Las Vegas was awarded $790,681, as part of the BJA FY 22 Swift, Certain, and Fair (SCF) Supervision Program: Applying the Principles Behind Project HOPE.
- The Walker River Paiute Tribe was awarded $897,205, as part of the U.S. Department of Justice Coordinated Tribal Assistance Solicitation Fiscal year 2022 Competitive Grant.
- The Las Vegas Metropolitan Police Department was awarded $771,669, as part of the FY 22 DNA Capacity Enhancement for Backlog Reduction (CEBR) Program (Formula).
- The Washoe County Sheriff’s Office was awarded $400,000, as part of the FY 22 DNA Capacity Enhancement for Backlog Reduction (CEBR) Program (Formula).
- The Nevada Department of Public Safety was awarded $21,681, as part of the BJA FY 22 Invited to Apply — Prison Rape Elimination Act (PREA) Reallocation Funds Program; $235,000, as part of the BJA FY 22 Invited to Apply – Byrne Discretionary Community Project Funding/Byrne Discretionary Grants Program; $2,176,692, as part of the BJA FY 22 Edward Byrne Memorial Justice Assistance Grant Program - State Solicitation; $443,630, as part of the BJA FY 22 Residential Substance Abuse Treatment for State Prisoners Program Formula Grant Solicitation; and $196,253, as part of BJA FY 22 Project Safe Neighborhoods.
- The City of Henderson was awarded $1,314,350, as part of the BJA FY 22 Comprehensive Opioid, Stimulant, and Substance Abuse Site-based Program.
- The City of North Las Vegas was awarded $1,300,000, as part of the BJA FY 22 Comprehensive Opioid, Stimulant, and Substance Abuse Site-based Program, and $699,468, as part of the BJA FY 22 Veterans Treatment Court Discretionary Grant Program.
- Clark County was awarded $749,924, as part of the BJA FY 22 Veterans Treatment Court Discretionary Grant Program.
- The Fallon Paiute Shoshone Tribes of the Fallon Reservation & Colony was awarded $549,211, as part of the BJA FY 22 Connect and Protect: Law Enforcement Behavioral Health Response Program.
- The Nevada Department of Education was awarded $1,985,347, as part of the BJA FY 22 Preventing School Violence: BJA’s STOP School Violence Program.
Total: $12,531,111
- National Institute of Justice:
- The National Council of Juvenile and Family Court Judges was awarded $2,400,000, as part of the NIJ FY22 National Juvenile Justice Data Analysis Program.
Total: $2,400,000
- Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering, and Tracking:
- The Nevada Department of Public Safety was awarded $200,000, as part of the SMART FY 2022 Support for Adam Walsh Act Implementation Grant Program.
Total: $200,000
Further, Nevada entities have been awarded the following grants from the Office of Violence Against Women (OVW):
- Washoe Legal Services Inc. was awarded $600,000, as part of Fiscal year 2022 Legal Assistance for Victims (LAV) Grant Program Awards.
- The Nevada Office of Attorney General was awarded $593,147, as part of the 2022 OVW Sexual Assault Services Formula Program Grant Awards.
Total: $1,193,147
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OJP provides federal leadership, grants, training, technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at: www.ojp.gov.
The Office on Violence Against Women provides federal leadership in developing the national capacity to reduce violence against women and administer justice for and strengthen services to victims of domestic violence, dating violence, sexual assault, and stalking. More information about OVW can be found at: www.justice.gov/ovw.
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- Office for Victims of Crime:
Bookkeeper Pleads Guilty to Embezzling over $29 MillionRead the Press Release
A Texas woman pleaded guilty today in the Eastern District of Texas for a scheme to embezzle at least $29 million from her employer – a charitable foundation and several other companies run by a Dallas family.
According to court documents, Barbara Chalmers, 74, of Lewisville, admitted that starting in at least 2012, she abused her position as bookkeeper for the family’s companies and her signatory authority over the companies’ bank accounts to fraudulently write herself at least 175 checks, which she deposited into her personal accounts. In order to conceal her fraudulent conduct, she provided false paperwork to tax preparers misstating the year-end cash-on-hand numbers for the various accounts from which she was embezzling. She used more than $25 million of the stolen money to fund a construction business for which she was the president.
Chalmers pleaded guilty to one count of money laundering and faces a maximum penalty of 10 years in prison at sentencing. A sentencing date has not yet been scheduled. 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, U.S. Attorney Brit Featherston for the Eastern District of Texas, Assistant Director Luis Quesada of the FBI Criminal Investigative Division, and Acting Special Agent in Charge James J. Dwyer of the FBI Dallas Field Office made the announcement.
The FBI is investigating the case.
Trial Attorneys Vasanth Sridharan and Lucy Jennings of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of Texas are prosecuting the case.
Anchorage Man Indicted on 8 Counts of Producing Child PornographyRead the Press Release
ANCHORAGE – A federal grand jury in Alaska returned an indictment charging an Anchorage man with eight counts of sexual exploitation of a child – production of child pornography and one count of possession of child pornography.
According to court documents, between July 2018 and August 2021, Michael Vernon Ross, 31, allegedly used and coerced a minor to engage in sexually explicit conduct for the purpose of producing child pornography.
If the public has any further information regarding Ross’s activities, please contact the FBI Anchorage Field Office at 907-276-4441.
minimum sentence of 15 to 30 years in prison on each count of production of child pornography. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney S. Lane Tucker of the District of Alaska made the announcement.
The FBI and Anchorage Police Department are investigating the case.
Assistant U.S. Attorneys Seth Brickey-Smith and Adam Alexander are prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
An indictment 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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28 December 2022
Worcester Man Indicted for Sending Obscene Material to a MinorRead the Press Release
BOSTON – A Worcester man has been indicted by a federal grand jury for allegedly transferring obscene material to a 14-year-old minor over social media.
Andrew James Gallagher, 28, was indicted on one count of transfer of obscene material to a minor. He was arraigned in federal court in Worcester on Dec. 23, 2022 before U.S. District Court Magistrate Judge David H. Hennessy and released on conditions. Gallagher was previously charged by criminal complaint on Dec. 5, 2022 and arrested the following day.
According to the charging document, in April 2022, Gallagher contacted the victim using a social media platform. It is alleged that Gallagher asked, “are you underage at all?” to which the minor victim replied identifying himself as 14 years old. Gallagher then allegedly sent two obscene images of himself to the minor victim, expressed interest in meeting with the minor victim in person and asked the minor victim to send an explicit video of himself to Gallagher.
The charge of transfer of obscene material to a minor provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Worcester Police Chief Steven M. Sargent; and Matthew B. Millhollin, Special Agent in Charge of the Homeland Security Investigation’s in New England made the announcement. Valuable assistance was provided by the Federal Bureau of Investigation, Omaha Division. Assistant U.S. Attorney Kristen Noto of Rollins’ Worcester Branch Office is prosecuting the case.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Violent Armed Drug Dealer from Fayetteville Sentenced to over 7 Years in PrisonRead the Press Release
NEW BERN, N.C. – Kendale Tyrone Strange, 45, of Cumberland County, was sentenced to 86 months in prison today for possessing a firearm as a felon. The gun that Strange illegally possessed was previously used in a violent assault.
On February 27, 2020, the Fayetteville Police Department received a report of a shooting at a McDonald’s parking lot. Upon further investigation, Strange was identified striking another person in the head with a handgun. The handgun went off and the resulting spent shell casing was collected as evidence.
A parallel drug investigation showed consistent drug trafficking activity at Strange’s house on School Street in Fayetteville. On March 18, 2020, a search warrant was executed. During the search warrant, a handgun was recovered from the trunk of Strange’s car. Ballistic analysis showed that the handgun in the trunk of the car was the same handgun used during the assault in the McDonald’s parking lot.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Fayetteville Police Department, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, Firearms & Explosives investigated the case and Assistant U.S. Attorneys Tyler Lemons and Nicholas Hartigan prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00217-FL-4.
U.S. Attorney’s Office Collects $16,323,043.41 in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
RALEIGH, N.C. – U.S. Attorney Michael Easley announced today that the Eastern District of North Carolina collected $16,323,043.41 in criminal and civil actions in Fiscal Year 2022. Of this amount, $12,196,251.65 was collected in criminal actions and $4,126,791.76 was collected in civil actions.
“We are committed to using every tool available to aggressively collect restitution for victims, criminal fines, and recover taxpayer dollars lost to fraud and owed to government agencies,” said Mr. Easley. “We are proud of the men and women in our office who have worked so hard to ensure justice through their collection efforts. They are to be congratulated for their tremendously successful efforts.”
Some significant collections included: In August 2022, the Eastern District of North Carolina collected over $360,000 from Yousef Kaid. Although not the District’s largest monthly collection total, it was the result of significant enforcement action, netted a substantial sum for the victims of Kaid’s crimes, and epitomizes the office’s dogged pursuit of criminal monetary penalties. https://www.justice.gov/usao-ednc/pr/nine-arrested-conspiracy-traffic-contraband-cigarettes
In January and June 2022, the Eastern District of North Carolina collected a total of $1.5 million from Margaret Gibson. Those payments were the result of a settlement agreement resolving False Claims Act allegations against her. https://www.justice.gov/usao-ednc/pr/north-carolina-durable-medical-equipment-corporation-sentenced-10-million-healthcare
Additionally, the Eastern District of North Carolina worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $25,900.61 in cases pursued jointly by these offices. Of this amount, $25,300.61 was collected in criminal actions and $600.00 was collected in civil actions.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s office in the Eastern District of North Carolina, working with partner agencies and divisions, collected $16,891,175.00 in asset forfeiture actions in FY 2022. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
State Prisoner Pleads Guilty to Threatening to Kill Federal JudgeRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces that Curtis Brown (35, Raiford) has pleaded guilty to threatening to murder a federal judge in retaliation for performing his official duties and mailing a letter to a federal judge threatening to kill the judge and his family. Brown faces a maximum penalty of 10 years in federal prison on each count. A sentencing date has not yet been set.
According to court documents, Brown was in the Florida State Prison in Raiford serving a state sentence when he sent a letter dated November 30, 2021, to a federal judge’s chambers. The letter was handwritten, addressed to the judge from Brown, and indicated it was sent in retaliation. The letter stated that the judge’s “recent refusal to grant warranted relief” gave Brown no other choice but to use his federal stimulus money to pay for someone to kill the judge. Brown stated that if he could not get to the judge in time, he would settle for a member of the judge’s family. The letter was signed by Brown and beneath his signature was a statement that the letter better stay between them, or it would get worse.
This case was investigated by the United States Marshals Service and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Kirwinn Mike and Ashley Washington.
Sioux Falls Man Sentenced to over 12 Years for Meth ConspiracyRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that U.S. District Judge Karen E. Schreier has sentenced a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on December 19, 2022.
EJ Medina, 42, was sentenced to 12 years and seven months in federal prison, followed by five years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Medina was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in October of 2021. He pleaded guilty on September 19, 2022.
Beginning on an unknown date and continuing to on or about October of 2021, in the District of South Dakota and elsewhere, Medina conspired to distribute 500 grams or more of a mixture and substance containing methamphetamine, a Schedule II controlled substance. He was involved in a wide-ranging conspiracy, which was responsible for trafficking methamphetamine from Oregon to the Sioux Falls area. After being indicted, Medina rammed his vehicle into the vehicle of Deputy U.S. Marshals who were attempting to arrest him, and then fled on foot. The deputies caught Medina and placed him under arrest.
This case was investigated by the Sioux Falls Police Department and the Drug Enforcement Administration. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Medina was immediately remanded to the custody of the U.S. Marshals Service.
Schenectady Man Sentenced to More Than 20 Years for Sexually Exploiting a ChildRead the Press Release
ALBANY, NEW YORK – Keith Mussenden, age 39, of Schenectady, New York, was sentenced today to 262 months in prison for sexually exploiting a child, announced United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his guilty plea, Mussenden admitted that between June 2019 and February 2020, he exchanged messages through multiple social media applications with the victim, a then-14-year-old girl who resided outside of New York. Through these messages, Mussenden persuaded, induced, and enticed the victim to take sexually explicit images of herself and send them to him over the Internet. Mussenden also sent the victim pictures of his penis in the hopes of obtaining sexually explicit images of the victim in return. Mussenden further engaged in livestreamed video chats with the victim during which he requested that the victim perform sexual acts while he also engaged in sexual acts.
United States District Judge Mae A. D’Agostino also imposed a 20-year term of supervised release, which will start after Mussenden is released from prison, and ordered total restitution in the amount of $3,057.35. Mussenden will also be required to register as a sex offender upon his release from prison.
This case was investigated by the FBI and its Child Exploitation Task Force, which includes members of the Rotterdam Police Department and the New York State Police. The FBI’s Atlanta Field Office assisted in this investigation. This case was prosecuted by Assistant United States Attorney Rachel L. Williams and Dustin C. Segovia as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Rapid City Woman Sentenced for Drug TraffickingRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced that U.S. District Judge Jeffrey L. Viken has sentenced a Rapid City, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on December 12, 2022.
Stevie Williams, 39, was sentenced to 14 years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Williams was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in March of 2021. She pleaded guilty on August 19, 2022.
During the conspiracy, methamphetamine was trafficked into South Dakota from Arizona and Mexico through arrangements made with Williams and others in the conspiracy. Williams was responsible for sending large amounts of money through the U.S. Postal Service, UPS, and other mail carriers for the methamphetamine that was received. The methamphetamine was then dispersed to others for use and further distribution. Others charged in the conspiracy are awaiting sentencing or trial.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorney Gina S. Nelson prosecuted the case.
Williams was immediately remanded to the custody of the U.S. Marshals Service.
Norwalk Man Sentenced to 12 Years in Federal Prison for Drug OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that TAJH WILEY, also known as “Yung,” 27, of Norwalk, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 144 months of imprisonment, followed by four years of supervised release, for drug trafficking offenses.
This matter stems from an investigation led by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force into a drug trafficking organization headed by Wiley. The investigation, which included a court-authorized wiretap of Wiley’s phone, revealed that Wiley conspired to distribute large quantities of fentanyl, cocaine and marijuana and distributed drugs throughout Connecticut and elsewhere with the assistance of several associates.
Wiley was arrested on June 9, 2021. In association with his arrest and the arrest of seven of his co-conspirators investigators executed multiple search warrants and seized approximately a kilogram of fentanyl, a kilogram of cocaine, approximately 83 grams of crack cocaine, more than 12 pounds of marijuana, two press machines and other items and materials used by Wiley and his co-conspirators to process and package illegal drugs. Investigators also seized from Wiley jewelry valued at more than $100,000, and a 2021 Mercedes-Benz valued at approximately $146,000.
On July 25, 2022, a jury found Wiley guilty of one count of conspiracy to distribute and to possess with intent to distribute fentanyl, 500 grams or more of cocaine, and marijuana, and one count of possession with intent to distribute cocaine base (“crack cocaine”).
Wiley has been detained since his arrest.
This investigation was conducted by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force, Federal Bureau of Investigation, Bridgeport Police Department, Fairfield Police Department, Norwalk Police Department, Stamford Police Department, Stratford Police Department, Yonkers (New York) Police Department and the U.S. Marshals Service. The HIDTA Task Force includes personnel from the DEA Bridgeport Resident Office, the Connecticut State Police, and the Bridgeport, Norwalk, Stamford, Stratford, Milford and Danbury Police Departments.
This case is being prosecuted by Assistant U.S. Attorneys Patrick J. Doherty, Robert S. Dearington, Margaret M. Donovan and Elena L. Coronado through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
NH Man Pleads Guilty to Violent Home Invasion in YorkRead the Press Release
PORTLAND, Maine: A Hooksett, New Hampshire man pleaded guilty in U.S. District Court in Portland today to conspiracy and robbery charges stemming from a violent home invasion in York.
According to court records, in August 2019, Derek Daprato, 34, and three other co-conspirators met in Hooksett, New Hampshire and planned a home invasion of a York residence to rob marijuana and marijuana sale proceeds from the home’s resident. The group traveled to the York residence where two co-conspirators, armed with handguns and wearing masks, waited in the woods for the victim to return home. When the victim arrived home, accompanied by two others, a violent physical altercation ensued. During the fight, a firearm was discharged, and the bullet struck the victim in the lower abdomen. The two co-conspirators fled. Police arrived approximately 15 minutes later, and the victim was rushed to the hospital where he underwent surgery to remove a .45 caliber bullet from his lower abdomen.
Daprato faces a period of imprisonment of up to 20 years on the conspiracy charge and up to 20 years on the robbery charge. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI, in conjunction with the York Police Department and the York County Sheriff’s Office, investigated the case.
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Lincoln Man Sentenced to 3 Years as a Drug User in Possession of a FirearmRead the Press Release
United States Attorney Steven Russell announced that Jakerrius Jachun Gill, 23, of Lincoln, Nebraska, was sentenced on December 27, 2022, by United States District Court Judge John M. Gerrard to a term of 36 months’ imprisonment following his conviction for being an unlawful user of a controlled substance who possessed firearms. After he completes his prison sentence, Gill will also serve three years on supervised release. There is no parole in the federal system. Gill pleaded guilty to the offense on September 20, 2022.
On June 2, 2021, Gill was contacted by an officer with the Lincoln Police Department (LPD). The officer detected the odor of marijuana coming from a car in which the defendant had been riding earlier. Marijuana was located in the car. Pills that had the appearance and markings of Oxycodone were found in the vehicle. (The pills were later discovered to be counterfeit and did not contain any controlled substances.) In a subsequent interview, Gill admitted to having purchased the pills from a woman near the area of 27th and Dudley Streets in Lincoln.
On July 11, 2021, Gill was driving a vehicle when he was stopped by an LPD officer. The officer detected the odor of burnt marijuana coming from the vehicle. The officer searched the car and found a Glock model 22, .40 caliber handgun concealed underneath the floor mat on the driver’s side of the vehicle.
A search warrant was executed at the defendant’s residence in Lincoln on November 16, 2021. Among the items located by police were drug paraphernalia, Oxycodone pills, and marijuana.
On January 13, 2022, another search warrant was executed at Gill’s residence. Among the items located by police were an AR-style rifle, a FN pistol, the frame of a Glock handgun, prescription pill bottles, and marijuana.
This case was investigated by the Lincoln Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and was part of Project Safe Neighborhood (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Gas Station Shooting Leads to Federal Firearm ChargesRead the Press Release
DETROIT – A shooting in broad daylight at a gas station in Detroit has led to federal firearm charges, United States Attorney Dawn N. Ison announced today.
Ison was joined in the announcement by Acting Special Agent in Charge Craig Kailimai, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
James Taylor, age 27, of Detroit, MI, was arraigned today on an indictment that charged him with two counts of being a felon in possession of a firearm, and one count of felon in possession of ammunition. Each count carries a maximum of 10 years imprisonment. The defendant was ordered detained pending trial. The case has been assigned to the Honorable Robert H. Cleland, U.S. District Court Judge, Eastern District of Michigan.
The charges in this case stem from an incident on April 25, 2022. According to an affidavit filed in the case, just after 7:00 pm, Taylor was caught on a surveillance camera firing shots at the driver of another vehicle at a gas station located near Livernois and Waverly Street in Detroit. After the other driver fled from his vehicle, Taylor circled around the gas station several times in an apparent effort to look for the other driver. Taylor then took the other driver’s car from the gas station. Fortunately, no one was injured during the incident. Taylor, who was on pretrial release in Wayne County for a different felony offense, was on tether at the time of the shooting.
“The type of brazen behavior alleged in this case is shocking, and it is a miracle that someone was not injured or killed,” U.S. Attorney Ison said. “We will not tolerate it any longer. My office will work closely with our federal partners, the Wayne County Prosecutor’s Office, and the Detroit Police Department to ensure the most violent are taken off the street. This is an example of that type of coordination.”
“Crime gun intelligence utilized in this case illustrates ATF’s priorities on effectively identifying and removing violent criminals from our communities,” said Acting Special Agent in Charge Craig Kailimai. “The efforts of our federal, state, tribal, and local partnerships have had a significant impact on reducing the threat of gun violence.”
The United States Attorney’s Office and the ATF are focused on prosecuting those individuals who are using firearms to commit violent acts against people in the Eastern District of Michigan. The strategy is a part of the United States Attorney’s Office’s Project Safe Neighborhoods (PSN) initiative. PSN continues to be the centerpiece of the Department of Justice’s violent crime reduction efforts. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems and develop comprehensive solutions to address them. PSN is an evidence-based program that focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs to pursue lasting reductions in crime.
An indictment is only a formal charging document and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
This case was investigated by ATF with the assistance from the Detroit Police Department. The case is being prosecuted by Assistant U.S. Attorneys assigned to the Violent and Organized Crime Unit within the U.S. Attorney’s Office for the Eastern District of Michigan.
Former Greene County Man Indicted in Project Safe Childhood CaseRead the Press Release
PITTSBURGH - A former resident of Waynesburg, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of Travel With Intent to Engage in Illicit Sexual Conduct, Transportation With Intent to Engage in Criminal Sexual Activity, and Receipt and Attempted Receipt of Material Depicting the Sexual Exploitation of a Minor, United States Attorney Cindy K. Chung announced today.
The three-count Indictment, returned on Dec. 13, 2022, named James Jordan, age 30, as the sole defendant.
According to the Indictment, from Jan. 11, 2022, until Jan. 12, 2022, Jordan traveled in interstate commerce to engage in any illicit sexual conduct a minor and also transported the minor from the Commonwealth of Pennsylvania to the State of West Virginia, with the intent that the minor engage in criminal sexual activity. Further, on Nov. 18, 2021, Jordan knowingly received and attempted to received visual depictions of a minor, via interstate commerce; namely, several digital files, the production of which involved the use of a minor engaging in sexually explicit conduct, and which depicted a minor engaging in sexually explicit conduct.
The law provides for a maximum total sentence of life imprisonment, a fine of $750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Department of Homeland Security—Pittsburgh, the Pennsylvania Office of Attorney General, the Pennsylvania State Police, the Waynesburg Police Department, and the Lewisburg (WV) Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Five People Charged with Fentanyl Distribution Connected to Mesa County Jail Inmate’s DeathRead the Press Release
GRAND JUNCTION – The United States Attorney’s Office for the District of Colorado announces a federal grand jury has returned indictments charging Jeremiah Wesley Robinson, age 42; Efrain Velez, age 34; Vanessa Vasquez, age 33; Anna Munday, age 28; and Karlie Locke, age 29, with distribution of fentanyl that resulted in the death of an inmate in the Mesa County jail on May 21, 2022.
According to the two recently unsealed indictments:
- Jeremiah Robinson is charged with conspiracy to distribute and possession with intent to distribute methamphetamine and fentanyl resulting in death and distribution and possession with intent to distribute fentanyl resulting in death.
- Efrain Velez is charged with conspiracy to distribute and possession with intent to distribute methamphetamine and fentanyl resulting in death and distribution of fentanyl resulting in death.
- Vanessa Vasquez is charged with conspiracy to distribute and possession with intent to distribute methamphetamine and fentanyl resulting in death, conspiracy to distribute and possess with intent to distribute fentanyl resulting in death, and distribution of fentanyl resulting in death.
- Anna Munday is charged with conspiracy to distribute and possession with intent to distribute methamphetamine and fentanyl resulting in death, conspiracy to distribute and possess with intent to distribute fentanyl resulting in death, and distribution of fentanyl resulting in death.
- Karlie Locke is charged with conspiracy to distribute and possession with intent to distribute fentanyl resulting in death and distribution of fentanyl resulting in death
All counts carry a mandatory minimum of 20 years and up to life in prison.
The charges contained in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty.
The Drug Enforcement Administration (DEA) Rocky Mountain Division and the Mesa County Sheriff's Office are investigating this case. Assistant United States Attorneys J.D. Rowell and Jeffrey Graves are handling the prosecution.
CASE NUMBERS: 22-cr-00309 and 22-cr-00232
Final Defendant in Michigan Governor Kidnapping Plot Sentenced to over 19 Years in PrisonRead the Press Release
Barry Croft Jr., 47, of Bear, Delaware, was sentenced today to 235 months in prison followed by five years of supervised release for conspiracy to kidnap the Governor of Michigan, conspiracy to use weapons of mass destruction against persons or property, and knowingly possessing an unregistered destructive device, which was a commercial firework refashioned with shrapnel to serve as a hand-grenade.
Croft was convicted by a federal jury in August 2022 during an 11-day retrial. According to court documents and evidence presented at trial, Croft and others intended to kidnap Governor Gretchen Whitmer from her vacation cottage near Elk Rapids, Michigan, and use the destructive devices to facilitate their plot by harming and hindering the governor’s security detail and any responding law enforcement officers. They specifically explored placing a bomb under an interstate overpass near a pedestrian boardwalk. A jury in an earlier trial was unable to reach a verdict.
Croft is the final defendant to be sentenced for his role in the plot.
Co-defendant Adam Fox, 39, of Wyoming, Michigan, was sentenced yesterday to 16 years in prison followed by five years of supervised release for his role in the conspiracy. Ty Garbin, 27, of Hartland, Michigan, pleaded guilty in January 2021 and initially received a sentence of 75 months, or over six years, in prison. The district court later reduced that sentence to a term of 30 months, or two and a half years in prison, after fully considering his cooperation at both trials. Kaleb Franks, 28, of Waterford, Michigan, received a term of four years in prison after pleading guilty and testifying at both trials. Co-defendants Daniel Harris and Brandon Caserta were acquitted at the first trial in April 2022.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Former U.S. Attorney Andrew Birge for the Western District of Michigan, appointed to oversee the trial, Assistant Director Robert R. Wells of the FBI’s Counterterrorism Division and Special Agent in Charge James A. Tarasca of the FBI Detroit Field Office made the announcement.
The FBI’s Detroit Field Office investigated the case with valuable assistance provided by the FBI’s Baltimore Field Office and the Joint Terrorism Task Force, including Michigan State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
The U.S. Attorney’s Office for the Western District of Michigan charged the case and conducted the trials, with valuable assistance provided by the National Security Division’s Counterterrorism Section.
Final Defendant in Michigan Governor Kidnapping Plot Sentenced to 235 Months in PrisonRead the Press Release
GRAND RAPIDS – Barry Croft Jr., 47, of Bear, Delaware, was sentenced today to 235 months (19 years 7 months) in prison followed by five years of supervised release for conspiracy to kidnap the Governor of Michigan, conspiracy to use weapons of mass destruction against persons or property, and knowingly possessing an unregistered destructive device, which was a commercial firework refashioned with shrapnel to serve as a hand-grenade.
Croft was convicted by a federal jury in August 2022 during an 11-day retrial. According to court documents and evidence presented at trial, Croft and others intended to kidnap Governor Gretchen Whitmer from her vacation cottage near Elk Rapids, Michigan, and use the destructive devices to facilitate their plot by harming and hindering the governor’s security detail and any responding law enforcement officers. They specifically explored placing a bomb under an interstate overpass near a pedestrian boardwalk. A jury in an earlier trial was unable to reach a verdict.
Croft is the final defendant to be sentenced for his role in the plot.
Co-defendant Adam Fox, 39, of Wyoming, Michigan, was sentenced yesterday to 16 years in prison followed by five years of supervised release for his role in the conspiracy. Ty Garbin, 27, of Hartland, Michigan, pleaded guilty in January 2021 and initially received a sentence of 75 months, or over six years, in prison. The district court later reduced that sentence to a term of 30 months, or two and a half years in prison, after fully considering his cooperation at both trials. Kaleb Franks, 28, of Waterford, Michigan, received a term of four years in prison after pleading guilty and testifying at both trials. Co-defendants Daniel Harris and Brandon Caserta were acquitted at the first trial in April 2022.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Former U.S. Attorney Andrew Birge for the Western District of Michigan, appointed to oversee the trial, and Assistant Director Robert R. Wells of the FBI’s Counterterrorism Division made the announcement.
The FBI’s Detroit Field Office investigated the case with valuable assistance provided by the FBI’s Baltimore Field Office and the Joint Terrorism Task Force, including Michigan State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
The U.S. Attorney’s Office for the Western District of Michigan charged the case and conducted the trials, with valuable assistance provided by the National Security Division’s Counterterrorism Section.
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Dominican Man Indicted for Illegally Reentering the United States and Distributing FentanylRead the Press Release
BOSTON – A Dominican man has been indicted by a federal grand jury for allegedly reentering the United States and distributing fentanyl after previously being deported.
Juan Carlos Santos-Ocasio, a/k/a “Cristhian Aybar-Done,” 40, was indicted on one count of distribution and possession with intent to distribute 40 grams or more of fentanyl and one count of unlawful reentry of a deported alien. Santos-Ocasio appeared before U.S. District Court Magistrate Judge Donald L. Cabell on Dec. 23, 2022 and remains in federal custody. He was previously arrested and charged on Nov. 29, 2022.
In October 2007, Santos-Ocasio was arrested in the Bronx, N.Y., on heroin distribution conspiracy charges. Santos-Ocasio is a citizen of the Dominican Republic and did not have legal authority to be present in the United States. In November 2008, Santos-Ocasio pleaded guilty in the Eastern District of New York to heroin distribution conspiracy and was subsequently sentenced to 37 months in prison. He was removed from the United States upon completion of his sentence in the summer of 2010.
Sometime after his removal, Santos-Ocasio allegedly reentered the United States unlawfully. In November 2022, he was arrested in Lawrence for allegedly reentering the United States without authorization. According to the indictment, in addition to the charge of being in the U.S. without authorization, Santos-Ocasio also allegedly distributed 40 grams or more of fentanyl.
The charge of distributing and possessing with intent to distribute 40 grams or more of fentanyl provides for a mandatory minimum sentence of 5 years and up to 40 years in prison, up to five years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Rachael S. Rollins; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Todd Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. Assistant U.S. Attorney Kaitlin Brown of Rollins’ Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proved guilty beyond a reasonable doubt in a court of law.
27 December 2022
Third Former Correctional Officer Charged in Cover-Up at CSP-Sacramento Arrested and Five Count Indictment UnsealedRead the Press Release
Sacramento, Calif. — A third former CSP-Sacramento California state correctional officer was arrested and made her initial appearance today in connection with false statements regarding civil rights violations. A federal grand jury in Sacramento returned a five-count indictment as to Brenda Villa, 32, of North Highlands, charging her with Conspiracy, three counts of falsification of records in a federal investigation, and perjury, United States Attorney Phillip A Talbert announced.
According to the Indictment, Villa was a correctional sergeant supervising other officers at California State Prison – Sacramento when correctional officer Arturo Pacheco unlawfully assaulted an inmate under color of law. Villa and other officers, including Pacheco and Ashley Aurich, assisted in covering up the details of the assault by submitting false reports. Villa also lied under oath to the federal grand jury investigating the incident.
This case was the product of an investigation by the Federal Bureau of Investigation with Assistance from the California Department of Corrections and Rehabilitation. Assistant United States Attorneys Michael D. Anderson and Rosanne L. Rust are prosecuting the case.
Arturo Pacheco and Ashley Aurich have pleaded guilty and have been sentenced to over 12½ years and 21 months in federal prison, respectively.
If convicted, Villa faces a maximum statutory penalty of 5 years in prison for conspiracy, 20 years on each count of falsification of records, 5 years for perjury and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Teacher's Assistant Pleads Guilty to Production of Child PornographyRead the Press Release
LITTLE ROCK— A teacher’s assistant has pleaded guilty to three counts of production of child pornography. Augustus “Gus” Shenker, 22, of Little Rock, who was initially charged in a criminal complaint in May 2021 and indicted in June 2021, pleaded guilty today before United States District Judge Lee P. Rudofsky.
In May 2021, FBI received a cyber tip that Dropbox user Augustus Shenker, using an email address that contained his name, possessed seven videos containing child pornography. Investigators determined Shenker’s address and learned that he was employed at Miss Selma’s School in Little Rock, an early education school with children from 18 months old to fifth grade.
FBI agents obtained a search warrant for Shenker’s home and made contact with him at the school where he worked. Law enforcement seized Shenker’s iPhone and advised him a search warrant was being executed at his residence. Shenker was interviewed and admitted he used to have a problem with child pornography several years ago but no longer viewed child pornography. He also confirmed the email address and Dropbox account from the cyber tip belonged to him.
A review of items seized from Shenker’s residence revealed six videos created in March 2021 that showed Shenker touching the buttocks and vagina of a preschool-age child in a classroom at Miss Selma’s School. His iPhone contained a hidden folder with 19 additional videos, all of which were taken in the same preschool classroom where Shenker worked. Shenker’s face is visible in several of the videos. In addition to the videos of abuse that Shenker produced himself, law enforcement located more than a thousand images of child sexual abuse on Shenker’s phone and other devices.
Shenker was first charged in a criminal complaint on May 18, 2021, when the FBI received the initial cyber tip. On June 1, 2021, after the discovery of the videos on his phone, a federal grand jury returned an indictment charging Shenker with 22 counts of production of child pornography and one count of possession of child pornography. On Tuesday, Shenker pleaded to three of the production counts.
“This defendant violated the trust parents placed in him each day by placing their children in his care,” said United States Attorney Jonathan Ross. “Using his position to exploit preschoolers is an unthinkable abuse, especially in their own school—the very place we expect children to be protected. We appreciate the hard work of the FBI in identifying and arresting this defendant and hope this conviction deters others who would harm children.”
“Today’s conviction of Mr. Shenker demonstrates the unwavering dedication and adamant determination of the investigators who serve on our Violent Crime squad,” said FBI Little Rock Special Agent in Charge James A. Dawson. “FBI agents, professional support staff, and local law enforcement partners worked tirelessly to uncover Mr. Shenker’s abominable crimes while ensuring his victims and their families received assistance. Alongside our partners at the U.S. Attorney’s office, FBI Little Rock’s Violent Crime squad will continue to relentlessly identify, investigate, and prosecute predators who seek to harm children within our community.”
Shenker will be sentenced by Judge Rudofsky at a later date. The investigation is being conducted by the FBI Little Rock Child Exploitation and Human Trafficking Task Force and is being prosecuted by Assistant United States Attorney Kristin Bryant.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
St. Louis Man Pleads Guilty to Heroin Trafficking in SpringfieldRead the Press Release
SPRINGFIELD, Mo. – A St. Louis, Mo., man pleaded guilty in federal court today to his role in a conspiracy to distribute kilogram-quantities of heroin in the Springfield, Mo., area.
Alphonso L. Battle, 55, pleaded guilty before U.S. Chief Magistrate Judge David P. Rush to participating in a conspiracy to distribute heroin from Sept. 1, 2012, to April 3, 2017.
Battle admitted that he traveled from St. Louis to Springfield on April 6, 2016, to deliver heroin to co-defendant Roosevelt Simpson, 65, of Springfield. Law enforcement officers were conducting surveillance at Simpson’s residence at about 10 p.m. when Battle arrived and backed into Simpson’s driveway. Battle walked to the front door of Simpson’s residence, then returned to his vehicle and retrieved an item from the trunk. As federal agents approached to arrest him, Battle fled on foot through the back yard of Simpson’s neighbor.
Battle was found a few hours later near the intersection of Kearney Street and Golden Avenue in Springfield, where he was arrested. Simpson’s neighbor called the Springfield Police Department the next day to report that he found a canister with a false bottom in his back yard. A Springfield Police Department detective retrieved the canister, which contained approximately 63 grams of heroin and 72 capsules of Dormin (a common cutting agent).
Simpson was sentenced to 20 years in federal prison without parole after pleading guilty to his role in the drug-trafficking conspiracy and to possessing a firearm in furtherance of a drug-trafficking crime.
Battle is the eighth and final defendant in this case to plead guilty. Seven co-defendants have pleaded guilty and been sentenced.
Under federal statutes, Battle is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 40 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 Jessica R. Eatmon. It was investigated by the Drug Enforcement Administration, Homeland Security Investigation, the Missouri State Highway Patrol, and the Springfield, Mo., Police Department.
South Dakota Man Sentenced to 18 Months for Indecent ExposureRead the Press Release
TUCSON, Ariz. – Shaun Rudy Knox, 33, of St. Francis, South Dakota, was sentenced December 20, 2022, by United States District Court Judge Raner C. Collins to 18 months in prison. Knox earlier pleaded guilty to four counts of Indecent Exposure.
While incarcerated on sexual abuse charges at the United States Penitentiary Tucson, Knox exposed his genitals to four different employees of the United States Bureau of Prisons. Judge Collins ordered Knox’s 18 month sentence for indecent exposure be served consecutive to his sentence for sexual abuse.
The United States Bureau of Prisons conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-21-2195-RCC-DTF
RELEASE NUMBER: 2022-230_Knox# # #
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.