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21 December 2022
Judge Sends Cocaine Dealer to Prison for Covid-Relief FraudRead the Press Release
Grand Rapids man sentenced to 87 months for role in conspiracy to obtain more than $1 million in COVID-19 relief funds.
GRAND RAPIDS, MICHIGAN — United States Attorney Mark Totten announced today that a local drug dealer has been sentenced to more than seven years in prison for his role in a plot to obtain more than $1.4 million COVID-19 relief funds.
“Instead of treating the COVID-19 pandemic as a tragedy, Jemar Mason welcomed it as an opportunity to get rich quick. He took money intended to keep workers from losing their jobs, all while dealing cocaine.” said U.S. Attorney Mark Totten, for the Western District of Michigan. “My office remains committed to holding fraudsters fully accountable for their misdeeds.”
Defendant Jemar Mason is a previously convicted drug offender from the Grand Rapids area. In 2020, he joined a scheme with four other people: Andre Jackson, a corrupt former police officer from Georgia, Jackson’s “accountant,” a local used-car salesman, and a local cocaine user named David Kurbanov. The group worked together to help Mason and Kurbanov prepare fraudulent applications for Paycheck Protection Program loans authorized by the Coronavirus Aid, Relief, and Economic Security ("CARES") Act. This Act was a federal law designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses through the PPP program, which was designed to provide small businesses with loans in order to keep employees on payroll. Mason and his co-conspirators exploited the program to obtain approximately $1.495 million in fraud proceeds. Afterwards, Mason and his confederates attempted to hide the proceeds by marking expenditures like car purchases as “payroll” expenses. Mason and Kurbanov also attempted to wire $500,000 to an overseas bank account that Jackson selected in order to invest the money for their own profit.
Investigators from the Internal Revenue Service detected the plot and took steps to freeze the bank accounts of the conspirators, ultimately recovering approximately $1.123 million of the fraud proceeds. Federal prosecutors in the Western District of Michigan brought charges against five codefendants, including Mason, all of whom have now been convicted in connection with the scheme.
Mason’s criminal activity went beyond financial crimes: he was also trafficking cocaine. After obtaining a Title III wire intercept, investigators from the Drug Enforcement Administration learned that Mason, his coconspirators, and associates were actively dealing drugs throughout West Michigan. Search warrants later uncovered multiple stash locations that were used to hide drugs, firearms, and drug dealing tools.
Mason’s prison term of 87 months will be followed by a six-year term of supervised release in which his activity will be monitored by the United States Probation Office.
“Mason exploited the pandemic to defraud United States taxpayers for his own personal gain,” said Acting Special Agent in Charge Charles Miller, Internal Revenue Service – Criminal Investigation, Detroit Field Office. "IRS-CI is proud to work with our law enforcement partners to hold wrongdoers accountable and to protect the integrity of vital federal assistance programs.”
DEA Special Agent in Charge for the Detroit Division also weighed in, stating, “Mason and many of his associates were responsible for trafficking kilogram-level quantities of addictive and destructive illicit drugs throughout western Michigan. Their criminal acts have certainly destroyed lives and eroded communities. This sentencing should serve as a stark reminder to anyone peddling poisons in our communities: your unlawful and destructive actions will not be tolerated.”
The charges in this case were part of an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, dubbed Operation Cashout, by law enforcement officers in the Western District of Michigan and the Northern District of Georgia, including the Internal Revenue Service – Criminal Investigation, the Drug Enforcement Administration, the Federal Bureau of Investigation, the United States Postal Inspection Service, the United States Secret Service, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Michigan State Police, the Kent Area Narcotics Enforcement Team (KANET), and the Grand Rapids Police Department.
OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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Jamestown Woman Going to Prison on Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Loegan Morrison Samples, 24, Jamestown, NY, who was convicted of maintaining a drug-involved premises, was sentenced to serve 60 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that in April 2019, the Jamestown Metro Drug Task Force executed a search warrant at Samples’ residence on Partridge Street, during which investigators recovered methamphetamine, small amounts of cocaine and marijuana, a shotgun, a stun gun, and drug paraphernalia. Samples sold methamphetamine for boyfriend and co-defendant Jacob Komenda and maintained the premises on Partridge Street for drug trafficking. In September 2019, investigators executed a second search warrant at a new residence in Jamestown that Samples shared with Komenda, seizing $3,182 in cash, methamphetamine, and various drug paraphernalia.
Jacob Komenda was previously convicted and is awaiting sentencing.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarentino III, New York Field Division, the Jamestown Police Department, under the direction of Chief Timothy Jackson, and the Chautauqua County Sheriff’s Office, under the direction of Sheriff James Quattrone.
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Jamestown Man Pleads Guilty to Meth ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Justin Brooks, 33, Jamestown, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to possession with intent to distribute 50 grams or more of methamphetamine. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a fine of $10,000,000.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that on February 8, 2021, Jamestown Police officers responded to Brooks’ residence on Bush Street for a report of a possible assault and initiated an investigation into a burglary/assault. Subsequently, officers executed a search warrant at Brooks’ residence and recovered suspected marijuana, $6,500, scales, packaging material, a sword, and approximately 357 grams of methamphetamine.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarentino III, New York Field Division, and the Jamestown Police Department, under the direction of Chief Timothy Jackson.
Sentencing is scheduled for June 20, 2023, at 10:00 a.m. before Judge Sinatra.
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Iowa Man Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
A man who illegally possessed a firearm pled guilty on December 19, 2022, in federal court in Cedar Rapids.
Lavell Andre Barnes, Jr., age 27, from Iowa City, Iowa, was convicted of possession of a firearm by a felon.
At the plea hearing, Barnes admitted that he illegally possessed a firearm after being previously convicted of two felony convictions in Cook County, Illinois. Barnes was previously convicted of a controlled substance offense involving heroin and aggravated unlawful use of a weapon.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Barnes remains in custody of the United States Marshal pending sentencing. Barnes faces a possible maximum sentence of not more than 10 years’ imprisonment without the possibility of parole, a fine of not more than $250,000, and up to three years of supervised release following any term of imprisonment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case is being prosecuted by Assistant United States Attorney Jason Dorval Norwood and was investigated by the Iowa City Police Department’s Street Crimes Action Team. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 22-CR-84.
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Indianapolis Area Methamphetamine Trafficking Organization Dismantled and Twelve Defendants ArrestedRead the Press Release
INDIANAPOLIS – A federal grand jury returned an indictment charging eleven individuals for their alleged roles in an Indianapolis-based drug trafficking organization with conspiracy to distribute fentanyl and methamphetamine, and related charges. An additional defendant was charged by criminal complaint with offenses related to armed methamphetamine trafficking. The indictment was unsealed on December 14, 2022, following their arrests and initial appearances, and is being announced following hearings on the pretrial detention status of the defendants.
As alleged in court documents, beginning in 2021, the defendants primarily distributed methamphetamine in Indianapolis, Indiana. Erick Apolinar Romero operated out of Indianapolis and arranged for the delivery of the controlled substances to Indianapolis for their redistribution by other members of the conspiracy. Romero and Julian Islas-Lozada maintained residential properties for the purpose of stashing and distributing the illegal drugs, including an apartment in the Nora neighborhood on the north side of Indianapolis. Kevin Patino-Romero facilitated the movement of drug proceeds. The members of the conspiracy used cellular devices and code words to facilitate these drug trafficking activities. Members of the conspiracy allegedly travelled to Nebraska on multiple occasions in October and November 2022 to acquire drugs that were being smuggled by train car and bring them to Indianapolis for distribution.
On December 13, 2022, the Drug Enforcement Administration (DEA), along with several local and federal law enforcement agencies, executed search warrants at seven residences in Indianapolis and arrested ten of the defendants charged in the indictment. Eduardo Abel Torres De Leon was apprehended in West Grove, Pennsylvania. Jose Ponciano-Felix was arrested on December 13, 2022, in Indianapolis, during the execution of one of the search warrants, and charged by criminal complaint with possession of methamphetamine with intent to distribute and possession of a firearm in furtherance of a drug trafficking crime.
During the life of the investigation, law enforcement officers seized approximately 408 pounds of methamphetamine; eight kilograms of fentanyl and 28 firearms. The seized firearms included several semi-automatic AR platform rifles. Approximately $32,800.00 in US Currency as well as 6 vehicles, 2 trailers, 3 all-terrain vehicles and a dirt bike were also seized.
As of December 20, 2022, eleven of the twelve defendants were ordered detained pending trial or detaining pending hearing. Richard Michael Moore was ordered released on conditions set by the Court.
The charges are as follows:
Defendant
Charge(s)
Erick Romero aka “Erick Bustos,” aka “Christian Ramirez,” 33, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Methamphetamine Distribution; Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine; Unlawful Use of a Communication Facility
Julian Islas-Lozada, aka “Chusy,” 35, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Methamphetamine Distribution; Unlawful Use of a Communication Facility
Alexander Franco-Lopez, aka “Sicario,” aka “Nino,” 19, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine;
Kevin Josue Patino-Romero, 20, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Methamphetamine Distribution;
Junior Castillo, aka “Catracho,” 35, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine;
Eduardo Perez-Martinez, aka “Cholilo,” 28, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine;
Jesus Alberto Casillas-Martinez, aka “Cholo,” 26, Indianapolis
Fentanyl and Methamphetamine Trafficking Conspiracy; Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine;
Zachary Polk, 45, Vincennes, Indiana
Possession with Intent to Distribute Methamphetamine;
Matthew Wright, 45, Greencastle, Indiana
Possession with Intent to Distribute Methamphetamine;
Richard Michael Moore, aka “Mike Moore,” aka “Suegro,” 54, Indianapolis
Unlawful Use of a Communication Facility
Eduardo Abel Torres De Leon, aka “Primo,” aka “Forty,” 29, West Grove, Pennsylvania
Unlawful Use of a Communication Facility
Jose Ponciano-Felix, 41, Indianapolis
*Charged by complaint
Possession of Methamphetamine with Intent to Distribute; Possession of a Firearm in Furtherance of a Drug Trafficking Crime
The defendants face the following possible penalties, if convicted:
Fentanyl and Methamphetamine Trafficking Conspiracy
10 years to life in prison
Methamphetamine Distribution and Possession with Intent to Distribute Methamphetamine
10 years to life in prison
Attempted Possession with Intent to Distribute Fentanyl and Methamphetamine
10 years to life in prison
Unlawful Use of a Communication Facility
Up to 4 years in prison
Possession of a Firearm in Furtherance of a drug trafficking crime.
5 years to life in prison, consecutive to any other sentence
Actual sentences are determined by a federal district court judge and are typically less than the maximum penalties.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office, Chief Randal Taylor, Indianapolis Metropolitan Police Department, Rodney Hopkins, Postal Inspector in Charge of the U.S. Postal Inspection Service’s Detroit Division, Justin Campbell, Special Agent in Charge, IRS Criminal Investigation, Chicago Field Office, and R. Sean Fitzgerald, Special Agent in Charge, Homeland Security Investigations Chicago, made the announcement.
This case was a result of an investigation led by the Drug Enforcement Agency, IMPD’s Drug Task Force, HSI, the United States Postal Inspection Service, and IRS-CI. The Beech Grove Police Department, Lawrence Police Department, IMPD, Indiana State Police, and the FBI assisted in the execution of search and arrest warrants.
U.S. Attorney Myers thanked Assistant U.S. Attorneys Jayson McGrath and Lindsay Karwoski, who are prosecuting this case.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
An indictment or complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Harford County Man Sentenced to 20 Years in Federal Prison for His Participation in a Drug Distribution ConspiracyRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Che Jaron Durbin, age 44, of Aberdeen, Maryland, on December 19, 2022, to 20 years in federal prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute cocaine and crack cocaine and for two counts of possession with intent to distribute cocaine, in connection with his participation in a drug trafficking organization distributing cocaine and crack cocaine in Harford County, Maryland.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Harford County State’s Attorney Albert J. Peisinger, Jr.; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration; Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service - Washington Division; Sheriff Jeffrey Gahler of the Harford County Sheriff’s Office; and the Harford County Drug Task Force, a High Intensity Drug Trafficking Areas (HIDTA) program, comprised of members of the Harford County Sheriff's Office, the Aberdeen Police Department, the Bel Air Police Department, and the Havre de Grace Police Department.
According to evidence presented at the eight-day trial, in May 2019, members of the Harford County Drug Task Force were investigating Durbin, who was suspected of drug trafficking in the Harford County area. Witnesses testified that on May 17, 2019, a U.S. Postal Inspector notified detectives that a suspicious package was en route to Durbin’s mother’s apartment in Aberdeen, Maryland. Detectives watched as a U.S. Postal Service mail carrier delivered the parcel to Durbin, who took it into the apartment. A short time later, a woman, later identified as co-defendant Jameka Cara Thompson, left the apartment with the parcel and drove to her home. Law enforcement detained Thompson and obtained a search warrant for her vehicle. The parcel was found to contain one kilogram of compressed cocaine. Further investigation revealed that co-defendant Jack Anderson from Tucson, Arizona was the sender of the package.
On January 22, 2020, law enforcement learned from U.S. Postal Inspectors that Durbin sent a parcel from Havre de Grace, Maryland, addressed to Anderson in Tucson, Arizona. A search warrant was obtained for the parcel after a K9 gave a positive alert. The parcel contained $82,300 in cash inside a wireless headphones box.
In February 2020, as part of the investigation, law enforcement intercepted Durbin’s communications, as well as those of Anderson, co-defendant Terrell Walton, and other co-defendants to whom Durbin supplied cocaine and crack cocaine. The evidence at trial demonstrated that Walton obtained cocaine from Durbin, which Walton then sold to a network of individuals in Harford County. Intercepted communications between Durbin and Walton included discussions regarding the amounts of drugs and the price, often using coded language.
According to trial testimony, in May 2020, law enforcement surveilled Durbin meeting with Anderson at a Tucson, Arizona hotel. Soon after the meeting, Durbin picked Thompson up at the Tucson Airport and drove her back to his hotel room. Durbin flew back to Maryland the next day and Thompson ultimately obtained a bulk supply of cocaine from Anderson on Durbin’s behalf. Thompson drove cross-country from Arizona to Harford County, where she was arrested on May 12, 2020. Law enforcement searched her vehicle, seizing 1.4 kilograms of cocaine. Durbin was also arrested. According to trial testimony, over the course of the conspiracy Thompson made at least eight similar trips on Durbin’s behalf, transporting almost 40 kilograms of cocaine to Maryland for Durbin to distribute.
Co-defendant Terrell Darnell Walton, age 36, of Delaware, was also convicted at trial for the drug conspiracy and was sentenced on September 23, 2022, to 13 years in federal prison. Co-defendant Jack Anderson IV, age 46, of Tucson, Arizona, was sentenced to 126 months in federal prison in December 2021, after Anderson entered a guilty plea to conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine. Co-defendants Jameka Cara Thompson, age 42, of Abingdon, Maryland, was sentenced to 33 months in federal prison; Gerrick Devlon Jackson, age 40 of Havre de Grace, Maryland, was sentenced to 72 months in federal prison; and Michael Ronnell Wells, age 38, of Forest Hill, Maryland, was sentenced to 71 months in federal prison, for their roles in the conspiracy.
United States Attorney Erek L. Barron commended the Harford County State’s Attorney’s Office, the DEA, the U.S. Postal Inspection Service, the Harford County Sheriff’s Office, and the Harford County Drug Task Force for their work in the investigation. Mr. Barron thanked Special Assistant U.S. Attorney Christopher J. Romano, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Grand Jury Returns Two IndictmentsRead the Press Release
MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
La Crosse Man Charged with Possessing Methamphetamine for Distribution
Joshua R. Wittenberg, 40, La Crosse, Wisconsin, is charged with possession of 500 grams or more of methamphetamine with the intent to distribute. The indictment alleges that he possessed the methamphetamine on November 7, 2022. Wittenberg was arrested in La Crosse on November 7. He is being held at the La Crosse County Jail.
If convicted, Wittenberg faces a mandatory minimum penalty of 10 years in federal prison and a maximum of life. The charge against him is the result of an investigation by the Monroe County Sheriff’s Office and the La Crosse Police Department. Assistant U.S. Attorney Anita Marie Boor is handling the prosecution.
Mexican Citizen Charged with Illegally Reentering U.S.
Jose Luis Garcia-Garduno, 24, a citizen of Mexico found in Madison, Wisconsin, is charged with illegally reentering the United States after previously being removed. The indictment alleges he was found in the United States on October 27, 2022.
If convicted, Garcia-Garduno faces a maximum penalty of 2 years in federal prison. The charge against him is the result of an investigation by U.S. Immigration and Customs Enforcement. Assistant U.S. Attorney Kathryn Ginsberg is handling the prosecution.
Goose Creek Man Indicted for Production of Child Pornography and Possession of Child Pornography Involving a Prepubescent MinorRead the Press Release
CHARLESTON, SOUTH CAROLINA — A federal grand jury in Columbia returned an indictment against Michele “Mike” Mancino, 40, of Goose Creek, for production and possession of child pornography.
The indictment alleges that from at least November 2021, until December 2022, Mancino employed, used, persuaded, induced, enticed, and coerced a minor to engage in sexually explicit activity in order to produce a visual depiction of that conduct. The indictment additionally alleges that on or about October 26, 2022, Mancino possessed child pornography involving a child under the age of 12.
Mancino faces a maximum penalty of 30 years in federal prison, and he is currently detained.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
The case was investigated by Homeland Security Investigations (HSI) and the Charleston Police Department. Assistant U.S. Attorney Katie Orville is prosecuting the case.
U.S. Attorney Adair F. Boroughs stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
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Gang Member Gets Life in Prison for Murders Committed During Home InvasionsRead the Press Release
MIAMI – Gang member Derrick Slade (aka “D” or “Solja”), 28, has been sentenced to life in prison plus 30 years for murders committed during a series of home invasion robberies in Broward County.
According to evidence presented at trial, Slade joined a criminal enterprise in November 2015 that committed armed home invasions and robberies, assaults, and murders. He was convicted of engaging in a racketeering conspiracy that included the commission of murder. On November 3, 2015, Slade shot and killed a man during the course of a home invasion robbery in Dania Beach, Fla. The next day, November 4, 2015, he was involved in another home invasion robbery in Lauderhill, Fla., that resulted in the death of a second man. On November 25, 2015, Slade shot a third man and left him for dead during a home invasion robbery in Hollywood, Fla., which was captured on a security camera. Slade also committed two other burglaries in Hollywood in November 2015. He and his fellow gang members advertised their success on social media to advance the gang’s prestige and reputation.
Slade was convicted on 10 counts, including RICO conspiracy, Hobbs Act conspiracy, conspiracy to use or carry a firearm during a crime of violence, causing the death of a person by using a firearm, three counts of Hobbs Act robbery, and three counts of discharging a firearm during a crime of violence.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and acting Special Agent in Charge Maged Behnam, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
FBI Miami investigated this case with assistance from Broward Sheriff’s Office, Hollywood Police Department, Lauderhill Police Department, Hallandale Beach Police Department, Davie Police Department, and Fort Lauderdale Police Department. Assistant U.S. Attorneys Paul F. Schwartz and Jeffrey N. Kaplan prosecuted it.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov under case number 20-CR-60107.
Four Drug Dealers Sentenced to Federal Prison for Conspiracy to Distribute CocaineRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced four individuals to federal prison terms for their roles in a conspiracy to distribute cocaine. Edgar Ortiz Lopez (30, Jacksonville) was sentenced to 5 years and 10 months, Jeffrey Rivera Gomez (39, Puerto Rico) was sentenced to 4 years and 8 months, Yaddiel Ortiz Lopez (26, Jacksonville) was sentenced to 2 years and 9 months, and Cassidy E. Martinez Iglesias (30, Jacksonville) was sentenced to 2 years and 6 months. Each had previously pleaded guilty.
According to court documents, between January 2020 and February 2021, Yaddiel Jesus Ortiz Lopez (“Yaddiel”), Edgar Yandell Ortiz Lopez (“Edgar”), and Iglesias obtained multi-kilogram quantities of cocaine from Gomez in Puerto Rico and distributed it in Jacksonville. Law enforcement officers with the United States Postal Inspection Service and Homeland Security Investigations (HSI) learned that the cocaine was being shipped from Puerto Rico to Jacksonville via the United States Postal Service and then delivered to various locations in Jacksonville for further distribution.
On January 4, 2021, during a routine inspection of parcels at the mail facility on Kings Road in Jacksonville, law enforcement officers found a suspicious package addressed to Gomez in Puerto Rico. After obtaining a search warrant, law enforcement opened the package which contained $88,990 in cash in a shoebox and a GPS tracker. The money was seized and forfeited. Video surveillance from the post office revealed that Edgar had mailed the package.
The U.S. Postal Inspection Service, Homeland Security Investigations (HSI), and the Jacksonville Sheriff’s Office worked together and located records for 40 parcels that were associated with Yaddiel, Edgar, Gomez, and Iglesias. The conspirators were responsible for the distribution of up to 50 kilograms of cocaine.
“The introduction of illicit narcotics continues to ravage our communities and rip families apart,” said HSI Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “The sentencings of these criminals to a combined 189 months in federal prison is a testament to the dedication of HSI special agents, the U.S. Postal Inspection Service, and the Jacksonville Sheriff’s Office in stopping the influx of dangerous narcotics into our communities and households.”
This case was investigated by Homeland Security Investigations (HSI), the U.S. Postal Inspection Service, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Julie Hackenberry.
Former MPD Officers Convicted in the Death of 20-Year-Old Karon Hylton-BrownRead the Press Release
Jurors Found Evidence of a Conscious Disregard of the Extreme Risk of Harm
A jury sitting in the U.S. District Court for the District of Columbia returned guilty verdicts against two former members of the Metropolitan Police Department (MPD) in connection with a fatal police pursuit, on Oct. 23, 2020, in Northwest Washington, that caused the death of Karon Hylton-Brown, announced Matthew M. Graves, U.S. Attorney for the District of Columbia, and Wayne A. Jacobs, Special Agent in Charge of the FBI’s Washington Field Office’s Criminal Division.
Terence Sutton, 38, an officer, was found guilty of second degree murder, conspiracy to obstruct, and obstruction of justice. Andrew Zabavsky, 54, a former lieutenant, was found guilty of conspiracy to obstruct and obstruction of justice. The trial was heard before the Honorable Paul L. Friedman in the U.S. District Court for the District of Columbia. A sentencing date has not yet been scheduled.
The jury found that Sutton caused Mr. Hylton-Brown’s death by driving a police vehicle in conscious disregard for an extreme risk of death or serious bodily injury to Mr. Hylton-Brown. The jury further found that Sutton and Zabavsky conspired and combined to hide from MPD officials the circumstances of the traffic crash leading to Mr. Hylton-Brown’s death.
At the time of the police pursuit, Sutton was assigned to the Crime Suppression Team in MPD’s Fourth Police District. Zabavsky supervised the Fourth Police District’s Crime Suppression Team officers, including Sutton. The pursuit began at approximately 10 p.m. on Friday, Oct. 23, 2020, after officers observed Mr. Hylton-Brown, 20, driving a moped on a sidewalk in the Brightwood Park area of Northwest Washington. The pursuit continued on neighborhood streets for more than 10 blocks and into an alley off the 700 block of Kennedy Street NW. Immediately upon exiting the alley and entering Kennedy Street, Mr. Hylton-Brown was struck by an oncoming civilian vehicle. He suffered severe head trauma and died on Oct. 25, 2020.
The charge of second-degree murder carries a statutory maximum of 40 years in prison. The conspiracy charge carries a statutory maximum of five years and the obstruction of justice charge carries a maximum of 20 years. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case was investigated by the Criminal Investigation and Intelligence Unit of the U.S. Attorney’s Office for the District of Columbia and the FBI’s Washington Field Office. The case is being prosecuted by the Public Corruption and Civil Rights Section of the U.S. Attorney’s Office for the District of Columbia.
Former Gallia County 911 dispatcher charged federally for 24 arson fires in Wayne National ForestRead the Press Release
COLUMBUS, Ohio – A fire department administrator and former 911 dispatcher has been charged federally with crimes related to at least 24 arson fires since spring 2022 in Wayne National Forest.
James A. Bartels, 50, of Patriot, Ohio, was arrested yesterday and appeared in federal court in Columbus.
Bartels is an administrator at the Greenfield Township Volunteer Fire Department. He also served as a 911 dispatcher for Gallia County.
According to an affidavit filed in support of a criminal complaint, Ohio Department of Natural Resources law enforcement officers observed a truck registered to Bartels near Wayne National Forest on Oct. 29, 2022. Bartels was observed on Dry Ridge Road. Within an hour, a fire was reported in the forest near Dry Ridge Road and Cauley Creek Road.
In the days after Bartels’s Nov. 8 resignation from working as a 911 dispatcher for Gallia County, at least 17 fires were lit. Bartels was seen at two separate locations in the vicinity of multiple fire starts within minutes of their ignition.
The affidavit details that in a law enforcement interview, Bartels admitted to starting the fires with a lighter to “give the boys something to do” and to distract himself from depression. He identified 24 arson fires for which he was responsible. His truck’s infotainment system data also placed him at the locations of the fires.
Bartels is schedule for a preliminary hearing in U.S. District Court on Jan. 3, 2023, in Columbus.
Willfully committing arson is a federal crime punishable by up to five years in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, and the U.S. Forest Service announced the charges. Assistant United States Attorneys Michael J. Hunter is representing the United States in this case.
A criminal complaint merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Former Federal Special Agent Found Guilty of Civil Rights Crimes for Committing Sexual Assaults Against Two WomenRead the Press Release
RIVERSIDE, California – A former special agent with Homeland Security Investigations (HSI) was found guilty by a jury today of federal civil rights violations for sexually assaulting two women and abusing his official position to prevent them from reporting his violent conduct.
John Jacob Olivas, 48, of Riverside, was found guilty of three counts of deprivation of rights under color of law. Olivas was ordered remanded into federal custody after today’s verdict was read.
According to evidence presented at his 11-day trial, Olivas began his career with Immigration and Customs Enforcement in 2007 and resigned in September 2015 after working as an HSI special agent for just over six years. He sexually assaulted the two victims in 2012.
Olivas attempted to rape one woman in January 2012 after making it clear to her that the police would not be responsive to any report she would make about Olivas because he was “above a cop,” and “untouchable” and “invisible” to police due to his position as a federal agent, according to the victim’s trial testimony. Olivas also threatened the victim that he could make her “disappear,” have her children taken from her, and get her arrested on fake criminal charges, the victim testified.
Olivas raped another woman in September 2012 and then again in November 2012. Both times, Olivas made it clear to the victim that police would not respond to any report she might make about attacks by him, causing the victim to believe that he was “invincible” to the criminal justice system, the victim testified. She also testified at trial that Olivas pointed his HSI-issued service weapon into her back moments before he sexually assaulted her in September 2012.
Both victims endured Olivas’s “violent, escalating, controlling, and intimidating behavior, which included his repeated brandishing of HSI credentials to [them] and asserting that he was above the law,” prosecutors wrote in court documents. In all three sexual assaults, Olivas violated the victims’ constitutional rights to liberty and bodily integrity.
United States District Judge Jesus G. Bernal scheduled a March 11, 2023 sentencing hearing, at which time Olivas will face a statutory maximum sentence of life in federal prison.
The FBI and U.S. Immigration and Customs Enforcement’s Office of Professional Responsibility investigated this matter.
Assistant United States Attorneys Eli A. Alcaraz of the Riverside Branch Office and Frances S. Lewis of the General Crimes Section are prosecuting this case.
Former Coral Springs Police Officer Ordered to Pay Restitution for COVID-19 Relief FraudRead the Press Release
MIAMI – Jason Scott Carter, a 45-year-old former Coral Springs, Fla., police officer, must serve five years of probation and pay restitution following a federal conviction for fraudulently applying to the U.S. Small Business Administration (SBA) for a COVID-19 relief advance grant and low-interest loan.
According to court records, Carter submitted a fraudulent Economic Injury Disaster Loan (EIDL) application and loan agreement on behalf of Jason S. Carter Inc., a South Florida business he allegedly owned and operated. That application falsely certified that during the 12 months prior to January 31, 2020, the business had gross revenues of $100,000. In reality, the business had only minimal gross revenues. He also falsely certified in his SBA application that he would use the funds for business expenses to alleviate pandemic-related economic injury. Instead, Carter spent more than $21,000 of the SBA loan obtaining high-end repairs on his 1969 Ford Mustang.
Carter pled guilty to one count of wire fraud on October 12, 2022. In addition to his probation, he must serve six months home confinement, pay a $5,000 fine, and pay restitution in the amount of $30,000.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; Special Agent in Charge Omar Perez Aybar, Health and Human Services, Office of the Inspector General (HHS-OIG), Miami Regional Office; and Special Agent in Charge David Walker, Federal Bureau of Investigation, Tampa, Fla., Field Office, made the announcement.
HHS-OIG Miami, Tampa Field Office, and FBI Tampa investigated this case. Assistant U.S. Attorney Will J. Rosenzweig prosecuted it. Assistant U.S. Attorney Peter Laserna is handling asset forfeiture.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. The CARES Act authorized and provided funding to SBA to provide EIDLs to eligible small businesses, including sole proprietorships and independent contractors experiencing substantial financial disruptions due to the pandemic. This allowed them to meet financial obligations and fund operating expenses. EIDL applications were submitted directly via the SBA’s website where the applications were processed and loans funded for qualifying applicants.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
-Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov, under case no. 22-CR-80094.
Florida Man Charged with Smuggling Firearms into Mexico at Eagle PassRead the Press Release
DEL RIO, Texas – A federal grand jury in Del Rio returned an indictment last week charging a Florida man with smuggling firearms into Mexico.
According to court documents, Ivan Sanchez-Jorge, 39, of Clearwater was selected for vehicle inspection by Customs and Border Protection officers (CBPOs) at Eagle Pass on Dec. 3, 2022 and gave multiple negative declarations for weapons, ammunition and currency in excess of $10,000. Upon inspection, CBPOs found and seized a .380 caliber pistol and two 12-gauge shotguns.
Sanchez-Jorge is charged with one count of smuggling goods from the U.S. The defendant is scheduled to make his initial court appearance Dec. 29, 2022 before U.S. Magistrate Judge Collis White of the U.S. District Court for the Western District of Texas. If convicted, he faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas and Acting Special Agent in Charge Craig Larrabee of the Department of Homeland Security Investigations (HSI) San Antonio Division made the announcement.
HSI and the U.S. Customs and Border Protection are investigating the case.
Assistant U.S. Attorney Alexander Brown is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Felon Pleads Guilty to PPP Loan Fraud, Money Laundering and Drug OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that ANTRUM COSTON, 40, of New Haven, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Stefan R. Underhill in Bridgeport to fraud, money laundering and drug offenses.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act provided emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain other expenses through the Paycheck Protection Program (PPP).
According to court documents and statements made in court, in April 2021, Coston applied for and subsequently received two PPP loans, totaling $41,666, purportedly in relation to a cleaning business he operated. In association with the loan applications, Coston made multiple false statements, including that his business was established in 2018 when, in fact, no cleaning business associated with Coston had been formed in 2018, and that the business had total gross income for 2019 of $114,658 when, in fact, the business had not earned such income, and Coston was incarcerated for all of 2019. In February 2022, Coston sought forgiveness of both loans, falsely asserting in each instance that the funds had been spent on payroll costs.
On December 31, 2021, police stopped a car Coston was driving in West Haven. After initially stopping, Coston drove off, nearly striking the officer as he fled. Coston was found hiding in a parking lot a short distance away. A search of vehicle and person revealed distribution quantities of heroin/fentanyl, cocaine and crack cocaine, and more than $2,000 in cash. A related search of Coston’s residence revealed a ballistic vest, $2,790 in cash, a small quantity of crack, and narcotics paraphernalia.
Coston pleaded guilty to one count of wire fraud, which carries a maximum term of imprisonment of 20 years, one count of money laundering, which carries a maximum term of imprisonment of 10 years, and one count of possession with intent to distribute controlled substances, which carries a maximum term of imprisonment of 20 years. Judge Underhill scheduled sentencing for March 15, 2023.
Coston is released pending sentencing.
Coston’s criminal history includes multiple convictions, including two federal convictions. In 2004, Coston was convicted in federal court of possession of a firearm by a felon. He was sentenced to 37 months of imprisonment for that offense, and, in June 2007, received an additional 18 months of imprisonment for violating the conditions of his supervised release. In December 2017, Coston was sentenced to 40 months of imprisonment and three years of supervised release for gun and drug offenses. He was released from federal prison in April 2020, and was on supervised release when he committed the PPP loan fraud, money laundering and drug possession offenses.
This matter has been investigated by the Internal Revenue Service – Criminal Investigation Division, the Bureau of Alcohol. Tobacco, Firearms and Explosives (ATF), and the West Haven Police Department. The case is being prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
Individuals with information about allegations of attempted fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Federal Grand Jury Returns Indictment Charging Ruston Woman with Illegally Dispensing and Distributing Controlled SubstancesRead the Press Release
SHREVEPORT, La. – Bonnie Jennifer Sherrard a/k/a May Bonnie Jennifer Sherrard, 46, of Ruston, Louisiana, has been indicted by a federal grand jury in Shreveport for illegally dispensing and distributing controlled substances, announced United States Attorney Brandon B. Brown.
The indictment alleges that Sherrard was a nurse practitioner licensed to practice in the State of Louisiana and worked with a physician in Ruston. Count 1 of the indictment charges Sherrard with the use of a DEA Registration Number issued to another person; Counts 2 through 41 charge Sherrard with illegal dispensation and distribution of controlled substances outside the bounds of professional medical practice. In addition, the indictment seeks forfeiture of Sherrard’s license to practice as a nurse practitioner in the State of Louisiana.
It is alleged in the indictment that Sherrard was authorized to distribute and dispense controlled substances so long as these acts were in accordance with the collaborative practice agreement between she and the physician. Sherrard had a DEA Registration Number issued to her for use in distributing and dispensing controlled substances, but she was not authorized to prescribe controlled substances in connection with treatment for chronic pain or in connection with the treatment of family members.
The indictment further alleges that on or about January 11, 2020, through November 27, 2020, Sherrard knowingly and intentionally distributed and dispensed controlled substances without a legitimate medical purpose and outside the usual course of professional practice to members of her family. These controlled substances included Hydrocodone, Adderrall, Xanax, and Clonazepam.
An indictment is merely an accusation, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
If convicted, Sherrard faces a sentence of up to 20 years in prison, 3 years of supervised release, and a fine of up to $250,000 on the counts involving illegal dispensation and distribution. In addition, if convicted, Sherrard faces a sentence of up to 4 years in prison, 3 years of supervised release, and a fine of up to $250,000 on the count involving illegal use of a DEA Registration Number issued to another person.
The case is being investigated by the U.S. Drug Enforcement Administration and is being prosecuted by Assistant U.S. Attorney Brian C. Flanagan.
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FBI and Partners Issue National Public Safety Alert on Financial Sextortion SchemesRead the Press Release
U.S. Virgin Islands - The Federal Bureau of Investigations (FBI), in partnership with Homeland Security Investigations and the National Center for Missing and Exploited Children, is issuing a national public safety alert regarding an explosion in incidents of children and teens being coerced into sending explicit images online and extorted for money—a crime known as financial sextortion. Over the past year, law enforcement has received over 7,000 reports related to the online financial sextortion of minors, resulting in at least 3,000 victims, primarily boys, and more than a dozen suicides. A large percentage of these sextortion schemes originate outside of the United States, and primarily in West African countries such as Nigeria and Ivory Coast. As many children enter winter break this holiday season, the FBI and our partners implore parents and caregivers to engage with their kids about financial sextortion schemes so we can prevent them in the first place.
“The FBI has seen a horrific increase in reports of financial sextortion schemes targeting minor boys—and the fact is that the many victims who are afraid to come forward are not even included in those numbers,” said FBI Director Christopher Wray. “The FBI is here for victims, but we also need parents and caregivers to work with us to prevent this crime before it happens and help children come forward if it does. Victims may feel like there is no way out—it is up to all of us to reassure them that they are not in trouble, there is hope, and they are not alone.”
“The protection of children is a society’s most sacred duty,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “It calls on each of us to do everything we can to keep kids from harm, including ensuring the threats they face are brought into the light and confronted. Armed with the information in this alert message, parents, caregivers, and children themselves should feel empowered to detect fake identities, take steps to reject any attempt to obtain private material, and if targeted, have a plan to seek help from a trusted adult.” Financial sextortion schemes occur in online environments where young people feel most comfortable—using common social media sites, gaming sites, or video chat applications that feel familiar and safe. On these platforms, online predators often use fake female accounts and target minor males, between 14 to 17 years old but the FBI has interviewed victims as young as 10 years old.
“The sexual exploitation of children is a deplorable crime. HSI special agents will continue to exhaust every resource to identify, locate, and apprehend predators to ensure they face justice,” said Steve K. Francis, HSI Acting Executive Associate Director. “Criminals who lurk in platforms on the internet are not as anonymous as they think. HSI will continue to leverage cutting-edge technology to end these heinous acts.” Through deception, predators convince the young person to produce an explicit video or photo. Once predators acquire the images, they threaten to release the compromising material unless the victim sends money or gift cards. Often the predators demand payment through a variety of peer-to-peer payment applications. In many cases, however, predators release the images even if payments are made. The shame, fear, and confusion that victims feel when they are caught in this cycle often prevents them from asking for help or reporting the abuse.
“This is a growing crisis and we've seen sextortion completely devastate children and families,” said Michelle DeLaune, CEO of the National Center for Missing & Exploited Children. “As the leading nonprofit focused on child protection, we've seen first-hand the rise in these cases worldwide. The best defense against this crime is to talk to your children about what to do if they're targeted online. We want everyone to know help is out there and they're not alone.”
What if you or your child is a victim?
If young people are being exploited, they are victims of a crime and should report it. Contact your local FBI field office, call 1-800-CALL-FBI, or report it online at tips.fbi.gov. The National Center for Missing and Exploited Children (NCMEC) has outlined steps parents and young people can take if they or their child are a victim of sextortion, including:
- Remember, the predator is to blame, not your child or you.
- Get help before deciding whether to pay money or otherwise comply with the predator. Cooperating or paying rarely stops the blackmail and continued harassment.
- REPORT the predator’s account via the platform’s safety feature.
- BLOCK the predator and DO NOT DELETE the profile or messages because that can be helpful to law enforcement in identifying and stopping them.
- Let NCMEC help get explicit images of you off the internet.
- Visit org/IsYourExplicitContentOutThere to learn how to notify companies yourself or visit cybertipline.org to report to us for help with the process.
- Ask for help. This can be a very complex problem and may require help from adults or law enforcement.
- If you don’t feel that you have adults in your corner, you can reach out to NCMEC for support at [email protected] or call NCMEC at 1-800-THE-LOST.
Take a moment to learn how sextortion works and how to talk to your children about it. Information, resources, and conversation guides are available at fbi.gov/StopSextortion.
Erie, PA Man Indicted on Multiple Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned a three-count indictment charging Tristin Pearson, 26, of Erie, PA, with production, distribution, and possession of child pornography. The charges carry a minimum penalty of 15 years in prison, a maximum penalty of 30 years, and a $250,000 fine.
Assistant U.S. Attorney Jonathan Cantil, who is handling the case, stated that between January 1 and March 27, 2018, Pearson coerced a minor female victim to engage in a sexual relationship. Pearson used his cellular telephone to record videos of their sexual acts and then sent the recorded videos to others without the victim’s knowledge.
The defendant was arraigned before U.S. Magistrate Judge Michael J. Roemer and released on conditions.
The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Acting Special Agent-in-Charge Michael Stansbury.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Erie Man Pleads Guilty to Child Sexual Exploitation ChargeRead the Press Release
ERIE, Pa. – A resident of Erie, Pennsylvania pleaded guilty in federal court to a charge of violating federal laws relating to the sexual exploitation of children, United States Attorney Cindy K. Chung announced today.
Robert Mark Dyer IV, 31, 2136 Knoll Avenue, Erie, Pennsylvania, pleaded guilty to one count before United States District Judge Susan Paradise Baxter.
In connection with the guilty plea, the court was advised that from November 2020 to April 2022, Dyer possessed and accessed with intent to view visual images and videos in individual computer files depicting prepubescent minors engaging in sexually explicit conduct.
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 (CEOS), 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.
Judge Baxter scheduled sentencing for April 25, 2023 at 1:30 p.m. The law provides for a total sentence of 20 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Dyer on bond.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Dyer.
East Rochester Man Pleads Guilty to Defrauding Elderly Woman of over $83,000Read the Press Release
CONCORD – Craig Corriveau, 51, of East Rochester, pleaded guilty in federal court to wire fraud, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, Corriveau knew the elderly victim maintained a checking and savings account and had at least two credit cards. He was also aware that the victim had physical limitations.
Between March 2019 and July 2021, Corriveau used the victim’s credit cards to make unauthorized purchases totaling at least $83,628.69. He spent over $30,000 alone at a firearms store to purchase firearms and ammunition. Corriveau also used the victim’s credit cards to purchase goods from retailers such as Dick’s Sporting Goods, Target, Home Depot, Bob’s Discount Furniture, Wayfair, Etsy, and Amazon. Records from those companies showed the name, delivery address, e-mail address, and phone number associated with the purchases belonged to Corriveau. During a search of Corriveau’s home, police found some of the goods Corriveau bought using the victim’s credit cards.
To facilitate the scheme, Corriveau used the victim’s personal identifying information, including the victim’s Social Security number, maiden name, and date of birth, to add himself as an authorized user on the victim’s credit card account. Corriveau had a credit card in his name but under the victim’s account mailed to his address. Corriveau was able to access the victim’s bank accounts and used the victim’s funds to make payments on his credit card purchases.
Corriveau is scheduled to be sentenced on March 29, 2023.
The case was investigated by the Rochester Police Department and Federal Bureau of Investigation. It is being prosecuted by Assistant U.S. Attorney Alexander S. Chen.
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Des Moines Man Sentenced to 20 Years in Federal Prison for Drug, Firearm, and Supervised Release CrimesRead the Press Release
DES MOINES, IA – On Monday, December 19, 2022, Michael Joseph Wilson, age 34 of Des Moines, was sentenced to a total of 240 months in prison for four crimes: conspiracy to distribute methamphetamine, heroin, and MDMA; possession of a firearm in furtherance of a drug trafficking crime; attempt to possess contraband in prison; and violation of supervised release.
In May 2021, law enforcement executed a search warrant at Wilson’s Des Moines residence. Officers found methamphetamine, heroin, MDMA, and a loaded revolver. At the time, Wilson was on federal supervised release for an Indiana firearm conviction. While in the Polk County Jail awaiting sentencing,Wilson worked with others in an attempt to get contraband, specifically K2, into the jail by imitating legal mail.
At sentencing, the Court sentenced Wilson to: 120 months for conspiracy to distribute controlled substances, 60 months for possessing a firearm in furtherance of drug trafficking, 12 months for attempting to possess contraband in prison, and 48 months for violating his supervised release. Each sentence must be served consecutively, for a total of term of 240 months in prison.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement.
The investigation was conducted by the Des Moines Police Department, United States Marshals Service, and Polk County Sheriff’s Office.
Defense Contractor Sierra Nevada Corporation Pays $10 Million to Settle Allegations of Overcharging Federal AgenciesRead the Press Release
SACRAMENTO, Calif. — United States Attorney Phillip A. Talbert announced today that Sierra Nevada Corporation (“SNC”), a company that provides various services to federal agencies pursuant to defense and space contracts, has paid a total of $10 million to resolve two matters alleging the company violated the federal False Claims Act. As more fully described below, SNC is alleged to have knowingly overcharged labor costs and inflated rates in two separate matters.
The improper charges resulted from SNC knowingly: (1) charging duplicate labor hours, premium rates, and unauthorized extended hours under the Army’s Multi-Sensor Aerial Intelligence Surveillance Reconnaissance (MAISR) program; and (2) erroneously accruing and expensing certain bonus costs, resulting in application of inflated rates more broadly charged to contracts with several federal agencies. The government relies on contractors to accurately charge costs, and to classify both the nature and timing of contract costs to properly calculate rates and appropriately pay for work on government programs.
“The U.S. Attorney’s Office is committed to protecting the integrity of federal procurement contracting,” said U.S. Attorney Talbert. “We will vigorously pursue federal contractors who fail to comply with the highest standards of accuracy to ensure federal agencies are appropriately charged for goods and services.”
“The announced settlement is a victory for the Department of Defense (DoD) and the American taxpayer in that it restores integrity into the contracting process by recovering inappropriate payments made based on unjustified claims by the contractor," said Bryan D. Denny, the Special Agent in Charge of the DoD Office of Inspector General, Defense Criminal Investigative Service (DCIS), Western Field Office. ”Along with our law enforcement partners, DCIS will use all tools available to safeguard the integrity of the Defense contracting process and taxpayer resources.”
“This settlement further demonstrates the resolve of the Department of the Army Criminal Investigation Division (DACID) and our law enforcement partners to protect and defend the assets of the United States Army,” stated Special Agent in Charge L. Scott Moreland of the DACID’s Major Procurement Fraud Field Office.
This matter was handled by Assistant U.S. Attorney Catherine J. Swann, in a coordinated effort with the Defense Contract Management Agency, the Defense Contract Audit Agency, the Defense Criminal Investigative Service, and the Department of the Army Criminal Investigation Division. The claims settled by the two governing settlement agreements are allegations only, and there has been no determination of liability.
Dominican Republic Man Sentenced to 141 Months Incarceration in Connection with Haulover Bay ShootoutRead the Press Release
ST. THOMAS, VI – United States Attorney Delia L. Smith announced today that Rammer Guerrero Morales, 31, of the Dominican Republic, was sentenced to 141 months of imprisonment by Chief Judge Robert A. Molloy. In March 2022, Guerrero Morales pleaded guilty to possession and discharge of a firearm during and in relation to a crime of violence and assaulting a federal officer.
According to court documents and evidence presented at co-defendant Samuel Pena Columna’s trial, on September 25, 2019, Guerrero Morales was involved in a shootout with several U.S. Customs and Border Protection (CBP) Air and Marine Interdiction agents. On the evening of September 25, 2019, Guerrero Morales and three co-conspirators were driven by Pena Columna to Haulover Bay, a well-known drug smuggling area on the east end of St. John, with over $1.1 million to conduct a 100-kilogram cocaine transaction with traffickers from Tortola, BVI. After arriving at the trail in Haulover Bay, Guerrero Morales and co-defendant Joan Morales Nolasco headed down the trail. Guerrero Morales was armed with a handgun and Morales Nolasco was armed with the long gun. After confirming that the trail was clear, Guerrero Morales and Morales Nolasco had planned to signal for the other co-conspirators waiting in Pena Columna’s vehicle to bring the $1.1 in cash down the trial to complete the drug transaction while Pena Columna waited at the top of the trail in his vehicle.
Trial evidence further revealed that, on their way down to the trail, Guerrero Morales and Morales Nolasco encountered two CBP agents who immediately announced themselves as police. The agents were fired upon by Guerrero Morales and a shootout ensued leaving one agent with gunshot wounds to his shoulder and leg. The agents returned fire hitting Guerrero Morales in his leg which was later amputated due to the severity of his injury. During the shootout, Morales Nolasco fled the scene and ultimately made his way to the Dominican Republic. He was later extradited back to the Territory for prosecution. Pena Columna and the two remaining co-conspirators also fled the scene. Pena Columna, a paid confidential source conducting his own drug trafficking organization, later told federal agents that he took the two men, along with the $1.1 million dollars, near the Cruz Bay area where they escaped.
Pena Columna was convicted in September 2022, and his sentencing is scheduled for January 19, 2023. Morales Nolasco pleaded guilty in March 2022, and on December 6, 2022, he was sentenced to 101 months of incarceration for his role in the drug trafficking conspiracy.
The Federal Bureau of Investigation, Drug Enforcement Administration, Homeland Security Investigations, U.S. Customs and Border Protection Air and Marine Operations, Department of Homeland Security Office of Inspector General, and the Virgin Islands Police Department investigated this case, and Assistant United States Attorneys Meredith Edwards and Kyle Payne prosecuted the case. This effort was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ OCDETF.
Corona Man Arrested on Federal Complaint Alleging Armed Robbery Spree Last Month That Targeted Businesses in Orange CountyRead the Press Release
LOS ANGELES – A Riverside County man was arrested today on a federal criminal complaint alleging he committed eight armed robberies – and two attempted armed robberies – of businesses, mostly restaurants, during a week-long crime spree last month.
George Arizon, 27, of Corona, is charged with one count of interference with commerce by robbery (in violation of the Hobbs Act) and one count of brandishing a firearm in furtherance of a crime of violence.
Arizon is expected to make his initial appearance on Thursday in United States District Court in Santa Ana.
According to an affidavit filed last Friday with the complaint, Arizon robbed three restaurants – and attempted to rob two more – in Santa Ana on November 1, stealing a total of $1,200 in cash.
During the robberies, Arizon allegedly displayed a black semi-automatic handgun, which had a gold-colored barrel, pointed the handgun at the victims, and told the restaurant employees to give him the money.
On November 8, Arizon allegedly brandished a handgun while robbing two restaurants located adjacent to each other in Garden Grove. Approximately 15 minutes after the Garden Grove robberies, Arizon allegedly again brandished a firearm and, in succession, robbed a Chinese restaurant, a Supercuts store and a 7-Eleven located on the same block in Westminster.
Police officers responding to calls about the Westminster robberies later recovered and retained a black sweatshirt, black hat, and mask that Arizon is alleged to have worn during the crimes. Officers also recovered the black semi-automatic handgun, with a gold-colored barrel, which had been discarded nearby. Security camera footage showed Arizon wearing this apparel, the affidavit states.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of all charges, Arizon would face a statutory maximum sentence of 20 years in federal prison for the Hobbs Act robbery count, and seven years in federal prison for the firearm brandishing count.
The Bureau of Alcohol, Tobacco, Firearms and Explosives’ Orange County Violent Crime Task Force investigated this matter, and received assistance from the Santa Ana Police Department, the Garden Grove Police Department, and the Westminster Police Department.
Assistant United States Attorney Jeffrey M. Chemerinsky of the Violent and Organized Crime Section is prosecuting this case.
Convicted Felon Sentenced to 11 Years for Possession of Firearms, Possession of Controlled Substances with the Intent to Distribute, and Possession of a Firearm in Furtherance of Drug TraffickingRead the Press Release
Memphis, TN – Antwon Brown, 30, has been sentenced to 138 months in federal prison for being a convicted felon in possession of firearms, possession of marijuana and methamphetamine with the intent to distribute, and possession of firearms in furtherance of drug trafficking. United States Attorney Kevin Ritz announced the sentence today.
According to information presented in court, in February 2022, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began an investigation into Antwon Brown, a convicted felon and known member of the Unknown Vice Lords street gang.
On February 14, 2022, a confidential informant purchased a firearm and approximately half a pound of marijuana from Brown in a parking lot on Whitten Road.
On April 15, 2022, Brown was arrested and found to be in possession of marijuana, methamphetamine, digital scales, plastic baggies, and a pistol. On September 12, 2022, Brown pled guilty to all 7 counts of a federal indictment charging him with being a convicted felon in possession of firearms (2 counts); possession of marijuana and methamphetamine with the intent to distribute (3 counts); and possession of firearms in furtherance of drug trafficking (2 counts).
On December 15, 2022, United States District Judge Sheryl Lipman sentenced Brown to 138 months imprisonment to be followed by three years’ supervised release. There is no parole in the federal system.
This case was investigated by the ATF.
United States Attorney Kevin Ritz thanked Assistant United States Attorneys Wendy K. Cornejo and P. Neal Oldham, who prosecuted this case.
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For more information, please contact Public Information Officer Cherri Green at 901- 544-4231 or [email protected]. Follow@WDTNNews on Twitter for office news and updates.
Chatham County man sentenced to decades in federal prison for producing, possessing child pornographyRead the Press Release
BRUNSWICK, GA: A Chatham County man has been sentenced to nearly 30 years in federal prison after admitting to multiple charges of child sexual exploitation.
Rodney Bryant, 38, of Savannah, was sentenced to 336 months in prison after previously pleading guilty to Production of Child Pornography, and Possession of Child Pornography, said David H. Estes, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge Lisa Godbey Wood also ordered Bryant to pay $413,800 in restitution to four victims, to register as a sex offender, and to serve 15 years of supervised release after completion of his prison term.
There is no parole in the federal system.
“Rodney Bryant is a dangerous predator who exploited multiple children by sharing images of sexual abuse through the internet’s electronic cesspool,” said U.S. Attorney Estes. “The dedicated work of our law enforcement partners ensures our communities will be safer with this criminal behind bars.”
Bryant had been scheduled for trial in June 2022 when he opted to plead guilty to two child exploitation charges. As described in court documents and testimony, agents from Homeland Security Investigations and the Savannah Police Department searched Bryant’s residence in 2020 after the National Center for Missing and Exploited Children provided CyberTip reports regarding the origin of images of child sexual abuse to the Georgia Internet Crimes Against Children Task Force.
Following those leads, investigators identified Bryant and later seized dozens of electronic devices from his home, finding thousands of images of child sexual abuse and child erotica on those devices. The investigation determined Bryant produced many of those images in Georgia and while stationed with the U.S. Army in Fort Drum, N.Y.
“Bryant is a predator who not only abused children, but he also recorded these horrible acts for others to see. Thankfully, he will no longer be able to continue his deplorable acts of abuse and we all can breathe a little easier,” said Special Agent in Charge Katrina W. Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI and its partners will continue to find, arrest and prosecute those who seek to exploit our most vulnerable population.”
The case was investigated by Homeland Security Investigations, the Georgia Internet Crimes Against Children Task Force, and the Savannah Police Department, and prosecuted for the United States by Assistant U.S. Attorneys Jennifer J. Kirkland and Project Safe Childhood Coordinator Tara M. Lyons.
This investigation took place under the umbrella of the U.S. Department of Justice’s Project Safe Childhood. Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 800-843-5678, or https://report.cybertip.org/.
Cedar Rapids Cocaine Dealer Sentenced to over a Decade in Federal PrisonRead the Press Release
A Cedar Rapids man who worked with others to distribute over 9 kilograms of cocaine was sentenced December 20, 2022, to more than 12 years in federal prison.
Paris Martell Cullar, age 26, from Cedar Rapids, Iowa, received the prison term after a May 12, 2022 guilty plea to one count of conspiracy to distribute a controlled substance. Information disclosed at sentencing showed that from November 2017 through July 2021, Cullar worked with others to distribute over 9 kilograms of cocaine and several grams of crack cocaine in the Cedar Rapids area. Cullar obtained his supply of cocaine from individuals in California and Chicago, Illinois. After Cullar was arrested, he intimidated or attempted to intimidate a witness while at the Linn County Correctional Center.
Cullar was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Cullar was sentenced to 149 months’ and 28 days’ imprisonment, and he must also serve a 5‑year term of supervised release after the prison term. There is no parole in the federal system. Cullar is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Dillan Edwards and was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Drug Enforcement Administration; and the Cedar Rapids Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-00009.
Cheyenne Man Acquitted on Firearm ChargesRead the Press Release
Acting United States Attorney Nicholas Vassallo announced today that ROLAND FRENCH, age 48, of Cheyenne, Wyoming, was acquitted on December 17, 2022, by a federal jury for illegal possession of a firearm and possession of an unregistered short-barreled shotgun with an obliterated serial number.
French was indicted on May 18, 2022, by a federal grand jury. The trial took place in front of United States District Court Judge Alan B. Johnson and lasted three days.
Case No. 22-CR-00054-ABJ
Business Owner Sentenced for Failing to File Corporate Tax ReturnRead the Press Release
PITTSBURGH, PA – The owner of a land and mineral acquisition company has been sentenced in federal court to five years' probation and restitution of $548,412.00 on his conviction of failing to file corporate tax returns for his company, Deep Rock Mineral Group, Inc., United States Attorney Cindy K. Chung announced today.
United States District Judge Robert J. Colville imposed the sentence on Thomas E. Wingard, 39, of Bethel Park, PA.
According to information presented to the court, Wingard pled guilty to One Count of failing to file a corporate tax return for his company, Deep Rock Mineral Group, Inc., for the year 2017.
Assistant United States Attorney Shaun E. Sweeney prosecuted this case on behalf of the government.
United States Attorney Chung commended the Internal Revenue Service – Criminal Investigation for the investigation leading to the successful prosecution of Wingard.
Bellingham, Washington, man arrested and charged federally for crimes related to sexual abuse of childrenRead the Press Release
Seattle – A 27-year-old Bellingham, Washington, man appeared in U.S. District Court in Seattle today charged with two federal felonies related to his attempts to sexually assault a child, announced U.S. Attorney Nick Brown. Clayton Harker was arrested yesterday when he arrived at a Bellingham hotel believing he was going to sexually assault an 8-year-old girl. The ‘girl’ in this case was fictitious and Harker had been communicating with undercover Homeland Security Investigation agents. Harker is being held at the Federal Detention Center at SeaTac pending further hearings.
According to the criminal complaint, Harker came to the attention of law enforcement as they were investigating a different snapchat user who was pressuring young people for explicit images, claiming he wanted to pay them as “models.” Based on the communication between that subject and the person later identified as Harker, law enforcement began investigating his online activity. In November 2022, Harker began communicating with an undercover agent who claimed to have an 8-year-old niece Harker could molest. Harker not only communicated with that undercover agent, he also communicated with another agent who posed as the 8-year-old girl. Harker arrived at the hotel yesterday afternoon allegedly with materials to molest the child and video the assault. Harker was arrested before he even entered the hotel.
Law enforcement continues to investigate Harker’s online activities including allegedly pressuring young girls for sexually explicit photos. Just this week DOJ, the FBI and HSI issued an alert about strangers extorting children for sexual images.
Attempted enticement of a minor is punishable by a mandatory minimum ten years in prison and up to life in prison. Attempted production of child pornography is punishable by a mandatory minimum 15 years in prison and up to 30 years in prison.
The charges contained in the criminal complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigations (HSI) as part of the Internet Crimes Against Children Task Force based at the Seattle Police Department. The Whatcom County Sheriff’s Office also assisted.
The case is being prosecuted by Assistant United States Attorney Matthew Hampton.
Attorney General Merrick B. Garland Statement on Anniversary of Pan Am Flight 103 Bombing over Lockerbie, ScotlandRead the Press Release
The Justice Department released the following statement from Attorney General Merrick B. Garland:
“Thirty-four years ago today, 270 people, including 190 Americans, were killed in the terrorist bombing of Pan Am Flight 103.
“Today, the Department of Justice joins families and communities in the United States and around the world in remembering the lives taken in this horrific attack.
“For over three decades, the victims’ loved ones have endured enormous grief. During that time, American and Scottish law enforcement have worked tirelessly to identify, find, and bring to justice the perpetrators.
“Most recently, as the Department announced on Dec. 12, that work led to the indictment and arrest of a former Libyan intelligence operative for his alleged role in building the bomb used in the attack. He is currently in U.S. custody and facing charges in the United States.
“Yesterday, Deputy Attorney General Lisa Monaco and I had the opportunity to meet with Dorothy Bain, the Lord Advocate of Scotland, and thank her for the partnership of Scottish law enforcement in this important step to ensure accountability.
“I am also grateful to the generations of Department professionals who have dedicated themselves to this work. I am particularly grateful to the Deputy Attorney General for her tireless efforts, over many years, to seek justice for the victims and their families and to hold accountable those responsible for this attack.
“Today, all of us at the Justice Department reaffirm that no amount of time or distance will stand in the way of our efforts to honor the victims of the Pan Am Flight 103 bombing and to pursue justice on their behalf.”
Albion Man Sentenced to 144 Months in PrisonRead the Press Release
FORT WAYNE – Anthony Linn, 29 years old, of Albion, Indiana, was sentenced by United States District Court Judge Holly A. Brady after pleading guilty to possessing with intent to distribute methamphetamine and carrying a firearm during a drug trafficking crime, announced United States Attorney Clifford D. Johnson.
Linn was sentenced to 144 months in prison followed by 4 years of supervised release.
According to documents in this case, on June 14, 2021, Linn was driving a vehicle that had false and fictitious license plates. When an officer attempted to stop the vehicle, Linn fled from police. While fleeing, Linn threw a gun and a magazine from the vehicle. He was located in a parking lot and threw out a plastic bag containing approximately 31 grams of methamphetamine.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives with the assistance of the Drug Enforcement Administration and the Fort Wayne Police Department Gang and Violent Crime Unit. This case was prosecuted by Assistant United States Attorney Lesley J. Miller Lowery.
20 December 2022
Wolf Point woman admits role in kidnapping, assault of minor girl on Fort Peck Indian ReservationRead the Press Release
GREAT FALLS — A Wolf Point woman charged in the assault and kidnapping of a minor girl in Wolf Point, on the Fort Peck Indian Reservation, admitted to her role in the kidnapping, U.S. Attorney Jesse Laslovich said.
Elmarie Amelia Weeks, 22, pleaded guilty on Dec. 14 to a superseding information charging her with kidnapping of an individual under 18. Weeks faces a mandatory minimum of 20 years to life in prison, a $250,000 fine and not less than five years to life of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for April 27. Weeks was detained pending further proceedings.
In court documents, the government alleged that Weeks aided and abetted in the Sept. 15, 2021 kidnapping of a 15-year-old minor girl from her house by a group of individuals. That evening, after drinking alcohol, Weeks accompanied the group of individuals to the victim’s house. Co-defendant Cheri Cruz Granbois offered to pay another co-defendant, Kaylee Jade Jackson, money to “beat up” the victim. As a result, the victim was lured out of the house and the situation escalated. Some individuals in the group assaulted the victim. When eyewitnesses yelled that they were going to call the police, some of the group kidnapped the victim, forcing her into a vehicle and driving away to continue the assault. Weeks helped to seize, confine or abduct the victim. The vehicle took the victim to a vacant field in Wolf Point, where some in the group beat the victim again.
Co-defendant Lavanchie Patricia Goodbird has pleaded guilty in the case and is pending sentencing. Four other co-defendants have pleaded not guilty and are pending trial, including Granbois, Jackson, Dylan Troy Jackson and Patti Jo Annunciata Mail.
Assistant U.S. Attorney Wendy A. Johnson is prosecuting the case, which was investigated by the FBI, Fort Peck Law Enforcement, Roosevelt County Sheriff’s Office and Wolf Point Police Department.
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Wanted Fugitive Sentenced to More Than 11 Years in Federal Prison for Methamphetamine Trafficking After Fleeing Scene of Vehicle CrashRead the Press Release
INDIANAPOLIS- Kevin Robertson, 53, of Indianapolis, Indiana, was sentenced to 11 years in federal prison for possession with intent to distribute methamphetamine.
According to court documents, on January 25, 2022, law enforcement officers were attempting to arrest Kevin Robertson on an outstanding warrant when they saw him leave his Indianapolis residence. Robertson placed a black bag in a blue Ford pickup truck and drove away from his home. The Ford pickup truck was reported stolen earlier that month. Officers attempted to conduct a traffic stop, but Robertson sped away. Robertson crashed into another vehicle at the intersection of New York and Denny Streets. The driver of the vehicle was injured and taken to the hospital.
Robertson fled the scene of the crash on foot and was subsequently arrested by officers. Investigators found Robertson’s black bag in the vehicle, which contained 75 grams of pure methamphetamine, a digital scale with drug residue, numerous plastic bags, and a loaded pistol. In his guilty plea, Robertson admitted that he intended to distribute the illegal drugs.
At the time of his arrest, Robertson had a lengthy criminal history, including 6 felony convictions related to dealing methamphetamine, illegally possessing a handgun, and resisting law enforcement officers.
“Armed drug dealers fuel the violence in our communities,” said Zachary A. Myers, United States Attorney for the Southern District of Indiana. “The U.S. Attorneys Office and our law enforcement partners will continue to work diligently to make our streets safer through targeted prosecution of dangerous criminals. The sentence imposed today demonstrates that those who continue to deal deadly drugs and illegally carry deadly weapons will spend significant time in federal prison.”
“Holding the defendant accountable for his violent actions and illegal drug activities should send a clear message to others in the community of the impact of this criminal activity,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “If you choose to pursue a path of criminal activity, the FBI and our law enforcement partners will ensure that you are identified, investigated and removed from society.”
“The Indiana State Police works diligently with its law enforcement partners at all levels to help ensure those who bring illicit and dangerous drugs and guns into our communities are held accountable to fullest extent possible,” said Doug Carter, ISP Superintendent.
The FBI and Indiana State Police investigated the case. The sentence was imposed by U.S. District Court Judge James P. Hanlon. Judge Hanlon also ordered that Robertson be supervised by the U.S. Probation Office for 5 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant United States Attorney Pamela Domash who 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.
United States Resolves Civil Claims Against Woonsocket Defense Contractor for Foreign GoodsRead the Press Release
PROVIDENCE – The United States Attorney’s Office has resolved a civil False Claims Act investigation into Hyman Brickle & Son, Inc., a Woonsocket-based Rhode Island textile manufacturing company that supplies products to the U.S. military, announced United States Attorney Zachary A. Cunha.
The investigation focused on allegations that Hyman Brickle sold woolen blankets to the U.S. Department of Defense, despite knowing that the blankets were produced using labor from India, rather than U.S. labor, as federal law requires. Through legislation known as the Berry Amendment, Congress has required that textiles sold to the Department of Defense be produced in the United States, including using United States labor for the production of the textiles. The government alleges that Hyman Brickle’s sale of these nonconforming goods to the Department of Defense violated the False Claims Act.
As part of the False Claims Act settlement, Hyman Brickle will pay $492,236 to the federal government, representing full restitution for the cost of product paid for by the U.S. government and double the damages on the relevant claims.
Assistant U.S. Attorney Bethany Wong handled the litigation of this matter. The case was investigated by the U.S. Defensive Criminal Investigative Service, Northeast Field Office, and the U.S. Army Criminal Investigation Division, Major Procurement Fraud Field Office.
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U.S. Attorney’s Office Provides Update on Federal Prosecutions and Ongoing Strategies to Combat Violent Crime in ChicagoRead the Press Release
CHICAGO — John R. Lausch, Jr., United States Attorney for the Northern District of Illinois, today provided an update on federal prosecutions and strategies to combat violent crime in Chicago and the surrounding area.
“A fundamental duty of our government is to keep people safe, and the U.S. Attorney’s Office is using every available law enforcement tool to do that,” said U.S. Attorney Lausch. “We are committed to investigating and prosecuting violent offenders and bringing quality, impactful cases to disrupt the cycle of violent crime in Chicago.”
The centerpiece of the Department of Justice’s violent crime reduction efforts continues to be Project Safe Neighborhoods (PSN). 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.
The U.S. Attorney’s Office in Chicago leads the Chicago Firearms Trafficking Strike Force, one of five Department of Justice cross-jurisdictional strike forces designed to disrupt illegal firearms trafficking and reduce gun violence. The U.S. Attorney’s Office collaborates with the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and other federal, state, and local law enforcement partners in the Northern District of Illinois and across the country to stem the supply of illegally trafficked firearms and to identify patterns, leads, and potential suspects in violent gun crimes. The Chicago strike force’s efforts have been substantially enhanced by the Chicago Police Department’s (CPD’s) Gun Investigations Team.
“Firearms traffickers and straw purchasers enable violence,” said U.S. Attorney John R. Lausch, Jr. “The Chicago Firearms Trafficking Strike Force has strengthened collaboration between our federal, state, and local law enforcement partners and enhanced our longstanding efforts to hold accountable individuals or groups who illegally traffic firearms into Chicago.”
In addition to a sustained focus on prosecutions of federal firearm offenses, the U.S. Attorney’s Office endeavors to disrupt violent crime by seeking pre-trial detention for defendants who pose a danger to the community and pursuing appropriate prison sentences to deter dangerous individuals from continuing to cause violence in their communities.
Following up on activities most recently reported in May of this year, the U.S. Attorney’s Office remains active in fighting violent crime through enforcement actions, prosecutions, and community partnerships, as illustrated by the below examples from the past six months.
Enforcement Actions and Prosecutions
The U.S. Attorney’s Office works closely with U.S. law enforcement agencies, including ATF, Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), Homeland Security Investigations (HSI), Postal Inspection Service (USPIS), Internal Revenue Service Criminal Investigation Division (IRS-CI), and U.S. Marshals Service (USMS), to investigate and prosecute a variety of violent crimes. State and local partners in this effort include CPD, Illinois State Police (ISP), Illinois Department of Corrections (IDOC), Cook County State’s Attorney’s Office, Cook County Sheriff’s Office, Rockford Police Department (RPD), Winnebago County State’s Attorney’s Office, and other police departments and prosecutors’ offices throughout northern Illinois. The U.S. Attorney’s Office and many of these law enforcement agencies participate in the Organized Crime Drug Enforcement Task Forces Program (OCDETF), which identifies, disrupts, and dismantles the highest-level criminal networks by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies.
The primary focus of these collaborative law enforcement efforts is to investigate and prosecute gangs and other groups of individuals who work in concert to commit violent crimes, including murders, attempted murders, robberies, carjackings, drug trafficking, and firearms trafficking. In addition, enforcement efforts also identify for potential federal prosecution individual offenders who drive violence.
Firearm and violent crime investigations in Chicago have been bolstered by an important tool from ATF – the National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. Federal, state, and local law enforcement in Chicago have used NIBIN to help solve violent crimes and prosecute trigger-pullers and other gun offenders.
Racketeering and Gang-Related Prosecutions
“Combating the unacceptable level of gang violence in Chicago has been and will continue to be a top priority in our office,” said U.S. Attorney Lausch.
- After a two-month trial, a jury convicted the leader of the Wicked Town faction of the Traveling Vice Lords street gang and another member of the gang on racketeering conspiracy and firearm charges. The jury found that gang leader DONALD LEE, of Chicago, committed three murders and supplied the firearms used in three other killings, while TORANCE BENSON, of Chicago, committed a murder and three attempted murders. Lee faces a mandatory sentence of life in prison. Lee and Benson were among 13 defendants charged as part of a multi-year investigation. The other eleven defendants pleaded guilty prior to trial, with one being sentenced to 50 years in prison. The others are awaiting sentencing. ATF and CPD led the probe, with assistance from the FBI, IRS-CI, ISP, DEA, Cook County State’s Attorney’s Office, Cook County Sheriff’s Office, and the Chicago High Intensity Drug Trafficking Area program (HIDTA), which addresses narcotics-related issues by collaborating with law enforcement and treatment and prevention partners.
- PIERRE ROBINSON, of Chicago, was convicted of committing murder in aid of racketeering. Robinson fatally shot a man in a convenience store on the South Side of Chicago to maintain and increase Robinson’s position in the “Evans Mob,” a violent street gang. Robinson faces a mandatory sentence of life in prison. ATF and CPD led the investigation.
- A member of the Four Corner Hustlers street gang was sentenced to 35 years in federal prison for engaging in a pattern of racketeering activity that included multiple murders, armed robberies, drug trafficking, and extortion. TREMAYNE THOMPSON, of Chicago, admitted that he fatally shot two victims after receiving instructions from a gang leader. Thompson was one of nine defendants convicted as part of an investigation led by ATF, HSI, and CPD.
Firearms Trafficking Prosecutions
“We are using every available federal law enforcement tool to continue to bring impactful cases that hold firearm traffickers accountable and reduce violent crime in Chicago,” said U.S. Attorney Lausch.
- JAMEL DANZY, of Hammond, Ind., was sentenced to two and a half years in prison for conspiring to “straw purchase” a handgun that was used to fatally shoot Chicago Police Officer Ella French and seriously wound her partner. Danzy bought the gun from a licensed dealer in Indiana on behalf of a convicted felon whom Danzy knew resided in Illinois and was not lawfully allowed to purchase a gun. The handgun was discovered by law enforcement at the scene of the shooting of the two officers. ATF and CPD investigated.
- A Freeport, Ill., woman pleaded guilty to firearm charges for “straw purchasing” multiple guns for a convicted felon whom she knew could not legally purchase the guns. FELICYA KNOX faces a maximum sentence of ten years in prison. ATF investigated the case, with assistance from the Stephenson County Sheriff’s Office and Freeport Police Department.
- ROBERTO PRIETO, of Chicago, was sentenced to ten years in prison for trafficking at least five firearms and illegally possessing guns as a previously convicted felon. ATF investigated.
- SCOTT TREECE, of Rockford, was sentenced to seven and a half years in prison for illegally trafficking at least ten firearms from Georgia to Chicago. Because Treece was a felon during this time, he used straw purchasers to purchase the guns, including co-defendant KYLE HALL, of Algonquin, Ill. Hall pleaded guilty and is awaiting sentencing. ATF led the probe.
- A federal indictment charged RICARDO LARREA, of Whiting, Ind., with conspiring to “straw purchase” 27 firearms in Indiana on behalf of a Chicago resident. Larrea falsely certified on federal forms that he was the actual buyer of the guns, knowing that the Chicago resident had identified which firearms he wanted and paid Larrea to buy them. ATF investigated.
- JAVAUGHN A. HIXSON, of Rockford, was sentenced to five and a half years in prison for illegally possessing four firearm “switch” devices. The device, also known as a “Glock switch,” is designed to convert a firearm into a machine gun capable of automatically firing more than one shot with a single pull of the trigger. The investigation was conducted by ATF, RPD, and the Winnebago County Sheriff’s Office.
- Machine gun dealer LEONARD D. JOHNSON, of Robbins, Ill., was sentenced to ten years in prison for unlawfully dealing handguns and “switch” devices in the Chicago area. A court-authorized search of Johnson’s residence turned up 117 “switch” devices and three handguns that had been converted into machine guns, as well as another handgun, a silencer, three extended magazines, and ammunition. ATF led the probe, with assistance from the Lansing, Ill., Police Department and Midlothian, Ill., Police Department.
- ARSHAD ZAYED, of Orland Hills, Ill., was charged with illegally selling 36 firearms, including personally manufactured “ghost guns” and machine guns. Many of the transactions occurred in a car wash that Zayed managed in the Chicago suburb of Matteson, Ill. The investigation was conducted by FBI, ATF, CPD, ISP, and IRS-CI.
- Two Indianapolis men – DEVANTE T. BROWN and COREY SARTIN – were charged with firearm violations for allegedly trafficking ten guns, including four semiautomatic rifles and two “ghost guns,” from Indianapolis to Chicago. The probe was led by ATF and CPD, with assistance from the Dolton, Ill., Police Department.
- Chicago resident ANTHONY PEREZ-FLORES was charged with trafficking more than a dozen guns, including a “ghost gun” and a machine gun, in Chicago. Perez-Flores was on parole for a state firearm conviction when he allegedly sold the guns to an undercover officer. ATF, CPD, and the Cook County Sheriff’s Office investigated.
Carjacking Prosecutions
“Our message to would-be carjackers is simple: Committing a senseless act of violence like carjacking will earn you a home in federal prison for a long time,” said U.S. Attorney John R. Lausch, Jr. “We are working closely with our law enforcement partners to pursue, prosecute, and detain violent carjackers.”
- MONTE HANDLEY, of Chicago, was charged with stealing a Nissan Sentra in the Archer Heights neighborhood on Chicago’s Southwest Side. A woman and a one-year-old child were passengers in the vehicle at the time of the alleged carjacking. FBI and CPD led the probe, with assistance from ISP.
- Two Chicago men – EDSON RESENDEZ and MAVERICK CELA – were charged with carjacking vehicles in the Chicago suburbs of Morton Grove, Ill., and Skokie, Ill. Resendez allegedly brandished a firearm during the carjackings. The probe was led by FBI, with assistance from the Morton Grove Police Department and Skokie Police Department.
- KEWAN A. TILLMAN, of Calumet City, Ill., was charged with carjacking a vehicle at gunpoint while two children were in the car. ATF investigated, with assistance from the Posen, Ill., Police Department.
- A federal grand jury indicted NOAH RANSOM, of Chicago, on carjacking and firearm charges for allegedly carjacking a rideshare driver at gunpoint in downtown Chicago. FBI led the probe, with assistance from the ISP and CPD.
- Chicago resident ELIAS QUINONES-FIGUEROA was sentenced to more than 12 years in prison for stealing a vehicle at gunpoint and striking a bicyclist while fleeing from police. FBI and CPD investigated, with assistance from the Cook County State’s Attorney’s Office.
- TRIMANE O. KIMBROUGH, of Chicago, was charged with brandishing a semiautomatic handgun and stealing a Mazda 6 from a victim in Chicago. The investigation was conducted by the FBI-led Violent Crimes Task Force, which includes the Cook County Sheriff’s Office, ISP, and CPD. The Northwestern University Police Department assisted the task force.
- Federal charges allege ALLEN CLAY, of Chicago, brandished a semiautomatic handgun and NARONN CAIN, of Chicago, brandished a semiautomatic rifle when the pair stole a Kia Optima from a victim in Chicago. The investigation was conducted by the FBI-led Violent Crimes Task Force and CPD.
Illegal Possession of Firearms Prosecutions
“Any felon thinking about picking up a gun in Chicago should expect to be prosecuted to the fullest extent of the law and face the possibility of going to federal prison for a long time,” said U.S. Attorney Lausch.
- KEJUAN CARR, of Chicago, was sentenced to more than four years in prison for illegally possessing a loaded handgun in Chicago’s Humboldt Park directly across the street from a children’s playground. Carr was on parole for a recent firearm conviction when he possessed the gun. FBI and CPD investigated, with assistance from IDOC.
- Heroin and fentanyl dealer LONDON GROVER, of Chicago, was sentenced to 14 years in prison for possessing a firearm to protect his drug dealing operation. ATF and CPD investigated. The case was prosecuted by the U.S. Attorney’s Office’s Gun Crimes Prosecution Team, which works collaboratively with federal and local law enforcement to enhance the prosecution of illegal firearm possession in certain police districts in Chicago.
- Rockford resident THOMAS BROOKS II was sentenced to eight years in prison for illegally possessing a machine gun loaded with 17 rounds of ammunition. ATF and RPD conducted the investigation. The case was prosecuted by Special Assistant U.S. Attorney Theodora Anderson, a prosecutor with the Winnebago County State’s Attorney’s Office who is working with the U.S. Attorney’s Office under a federal grant to prosecute certain firearm offenses in federal court.
- A Chicago man was charged with firearm and drug offenses for allegedly possessing a loaded handgun, cocaine, and fentanyl on a Chicago Transit Authority train. CPD officers boarded a CTA Green Line train in the city’s downtown Loop neighborhood and arrested TERRELL WEATHERS. FBI and CPD investigated.
- Convicted felon SHAZARIYAH F. HIBBETT, of Rockford, was sentenced to seven and a half years in prison for illegally possessing a loaded semiautomatic handgun after a traffic stop in Rockford. ATF and RPD led the probe.
- TYJUAN LIGHTHALL was sentenced to more than five years in prison for illegally possessing a loaded handgun in Chicago and fraudulently obtaining a small business loan under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The gun, which Lighthall unlawfully purchased from an individual in Indiana for $400, was equipped with an extended magazine capable of holding more than fifteen rounds of ammunition. ATF and the Evanston Police Department investigated the case.
- A Grundy County man was sentenced to 12 and a half years in prison for illegally possessing two handguns, three explosives, multiple magazines of ammunition, and drug paraphernalia. During a dispute a day earlier, JOHN FEENEY, of Minooka, Ill., used one of the firearms to shoot at an individual, striking the individual’s vehicle. The case was investigated by ATF and the Grundy County Sheriff’s Office.
- JULIAN ALMANZA, of Chicago, was sentenced to nearly four years in prison for illegally possessing a loaded handgun in Chicago’s Humboldt Park neighborhood. Almanza stood in the middle of a street and pointed the gun at multiple individuals during an altercation. ATF and CPD investigated, with assistance from the Cook County State’s Attorney’s Office.
- A man who was previously convicted of a 1993 kidnapping and murder was sentenced to nearly six years in prison for illegally possessing a loaded handgun during a traffic stop in Maywood, Ill. DARNELL LUCKETT, of Berwyn, Ill., also possessed ammunition, heroin, marijuana, a digital scale, and counterfeit cash. FBI investigated, with assistance from ISP.
- BRIAN STAFFORD, of Bellwood, Ill., was sentenced to more than 13 years in prison for illegally possessing two handguns and three assault rifles and dealing heroin and crack cocaine. The firearms had been stolen from a cargo train in Chicago in 2016. FBI led the probe, with assistance from ATF, Cook County Sheriff’s Office, Evergreen Park, Ill., Police Department, and Bolingbrook, Ill., Police Department.
- A man who illegally possessed a semiautomatic handgun in Evanston, Ill., and tried to flee from police was sentenced to nearly eight years in prison. DARIUS MORALES, of Evanston, was a passenger in a Jeep that led police on a high-speed chase through downtown Evanston until it crashed into a fence in the backyard of a residence. DEA led the probe, with assistance from ATF, Evanston Police Department, and Cook County State’s Attorney’s Office.
Other Significant Violent Crime Prosecutions
- A Chicago man was sentenced to nearly eight years in prison for using a machine gun to rob a law enforcement officer during an undercover firearms deal. With the assistance of aerial support, law enforcement after the transaction followed CORTEZ PRICE to a nearby residence and arrested him. ATF and CPD led the probe. U.S. Customs and Border Protection provided the aerial support.
- JOSEPH HAMMOND, of Chicago, was sentenced to nine and a half years in prison for attempting to fire a loaded gun at federal agents and task force officers while holding a toddler. Hammond pulled the trigger, but it misfired. ATF and CPD investigated.
- A federal judge sentenced FLOYD E. BROWN, of Springfield, Ill., to 55 years in prison for killing Special Deputy U.S. Marshal Jacob Keltner. Special Deputy Keltner was fatally wounded in 2019 when members of the U.S. Marshals Service Great Lakes Regional Fugitive Task Force and other law enforcement officers attempted to execute a warrant for Brown’s arrest at a Rockford hotel. Special Deputy Keltner served as a McHenry County Sheriff’s deputy and was a sworn member of the task force. FBI led the federal investigation, with assistance from ATF, USMS, RPD, McHenry County Sheriff’s Office, Winnebago County Sheriff’s Office, Bloomington, Ill., Police Department, Loves Park, Ill., Police Department, Lincoln, Ill., Police Department, Logan County Sheriff’s Office, and ISP.
- TIMOTHY O’DONNELL, of Chicago, was sentenced to nearly three years in prison for setting fire to a CPD vehicle during a period of civil unrest in downtown Chicago in 2020. O’Donnell set the fire while wearing a “Joker” mask that partially covered his face. FBI investigated, with assistance from CPD.
- A Chicago man was charged with shooting a Senior Inspector U.S. Marshal and his K9 partner during the execution of an arrest warrant. The Senior Inspector U.S. Marshal and K9 partner suffered non-life threatening injuries. The case was investigated by FBI and CPD, with assistance from USMS.
Drug Trafficking Prosecutions
The U.S. Attorney’s Office targets traffickers who bring illegal drugs into Illinois from other states or countries, with a focus on organizations or individuals who use guns, violence, and threats of violence to protect and promote their illegal businesses. The U.S. Attorney’s Office works directly with state’s attorney’s offices throughout the district to ensure that individuals trafficking drugs are charged with appropriate offenses in either federal or state court.
Public safety is also being threatened by unprecedented levels of opioid poisoning, misuse, and overdose. Opioids are a class of highly addictive drugs that includes heroin, fentanyl, and prescription painkillers such as oxycodone and hydrocodone. U.S. Attorney Lausch in 2019 created an Opioid Task Force for the purpose of combatting the growing number of unlawful distributions of controlled substances fueling the nation’s opioid crisis. This effort includes prosecuting the leaders of traditional drug trafficking organizations, as well as rogue health care providers and others who contribute to the misuse of opioids.
“We are actively attacking the opioid crisis from all investigative and prosecutorial angles,” said U.S. Attorney John R. Lausch, Jr.
- International drug trafficker LUIS EDUARDO GONZALEZ GARCIA was sentenced to 30 years in prison for partnering with Mexican drug cartels to purchase and transport thousands of kilograms of cocaine to Chicago and other parts of the U.S. DEA led the probe as part of an OCDETF operation.
- A multi-year drug trafficking investigation resulted in charges against ten individuals for allegedly conspiring to distribute at least 35 kilograms of fentanyl-laced heroin and crack cocaine on the West Side of Chicago. Law enforcement during the probe seized more than a kilogram of narcotics, as well as 13 firearms and more than $40,000 in suspected illicit proceeds. FBI, IRS-CI, and CPD conducted the investigation.
- RICHARD A. HUSBAND and WAYNE TOWNSEND, both of Chicago, were charged with selling fentanyl-laced heroin to individuals at the Jesse Brown VA Medical Center in Chicago. The U.S. Department of Veterans Affairs is leading this ongoing investigation.
- A suburban Chicago man was sentenced to seven years in prison for laundering illegal narcotics proceeds on behalf of drug traffickers in Mexico. HUAZHI HAN, of North Riverside, Ill., picked up approximately $1.5 million in drug money from others in the Chicago area, used the cash to purchase and re-sell electronic devices, and then sent the laundered money back to drug traffickers in Mexico. DEA investigated, with assistance from IRS-CI, CPD, HSI, and the U.S. Treasury Department’s Financial Crimes Enforcement Network.
- ROSEMARY MAYS, an office manager for a Chicago medical practice, was sentenced to a year in prison for using a doctor’s prescription pad to write more than 3,000 fraudulent prescriptions for hydrocodone, oxycodone, and other controlled substances. The case was investigated by DEA, FBI, and the U.S. Department of Health and Human Services, Office of Inspector General.
- RAYLOE JACKSON, of Maywood, Ill., was sentenced to more than ten years in prison for working with a Rockford-based narcotics supplier to traffic fentanyl and heroin. The investigation was conducted by a DEA-led task force, which included officers from the Crystal Lake, Ill., Police Department, Belvidere, Ill., Police Department, and Boone County, Ill., Sheriff’s Office. RPD assisted the task force.
- A man who failed to appear in federal court in Chicago before his 2009 drug trial was arrested in Panama and returned to the U.S. COSME CHACON was among four defendants indicted in 2007 for allegedly participating in a drug trafficking organization that transported heroin to Chicago from New York, Florida, and Texas. HSI and IRS-CI investigated the drug case. USMS, U.S. Department of State’s Diplomatic Security Service, and the Justice Department’s Office of International Affairs assisted in Chacon’s return to the U.S.
- A federal jury convicted two suburban Chicago men on conspiracy charges as part of a federal probe that disrupted a Mexico-to-Chicago drug pipeline. SHELDON MORALES, of Morton Grove, Ill., and EDUARDO SANTANA, of Skokie, Ill., conspired with a supplier in Mexico and two inmates in a Texas prison to traffic methamphetamine, fentanyl, and cocaine from Mexico to the Chicago suburbs. DEA and IRS-CI led the probe, with assistance from the Evanston Police Department.
- Suburban Chicago physician ELIZA DIACONESCU was charged with health care fraud for allegedly prescribing opioids to patients without a medical exam and fraudulently billing Medicare for the nonexistent treatment. The case was investigated by DEA, FBI, U.S. Department of Health and Human Services’ Office of Inspector General, and U.S. Department of Labor’s Office of Inspector General.
Community Partnerships
The PSN program continues to invest resources in violence-prevention initiatives. The PSN Chicago Task Force, which includes members from the U.S. Attorney’s Office, CPD, ATF, IDOC, Cook County State’s Attorney’s Office, and academic researchers, is designed to address gun violence in certain neighborhoods in Chicago with the highest violent crime rates through aggressive prosecution of violent offenders. The task force, which in 2018 expanded to include the city of Rockford, strengthens the relationship between the U.S. Attorney’s Office, CPD, Cook County State’s Attorney’s Office, RPD, and Winnebago County State’s Attorney’s Office.
The PSN Task Force dedicates federal grant funds to support crime prevention programs that are aligned with law enforcement’s strategy to address gun violence. Currently, PSN grant funds support Camp Hope, a crime prevention program in Rockford for at-risk juveniles who have experienced or witnessed domestic violence; Choose to Change, a program created by Children’s Home & Aid and Youth Advocate Programs in Chicago to engage youth who are heavily impacted by violence and trauma by connecting them with intensive advocate and wraparound support services and trauma-informed therapy; and Readi Chicago’s Reentry Program, a pilot program in Chicago jointly developed by Heartland Alliance and IDOC to provide pre-release and post-release support for individuals returning home from prison.
Members of the U.S. Attorney’s Office have also participated in offender notification meetings and youth outreach forums. These meetings and forums are still being held during the Covid-19 pandemic, including in a virtual environment, to maintain critical outreach to former offenders. Offender notification meetings provide an opportunity for individuals who have been convicted of a state or federal offense to make an informed choice not to engage in further criminal activity.
Researchers at Arizona State University found that youth outreach forums in Chicago have a positive influence on the offenders’ perception of police and help create an understanding that criminal activity results in a higher risk to return to prison. Researchers at Yale University found that ex-offenders who attend an offender notification meeting in Chicago are 30% less likely to commit a new offense than those who did not attend a meeting.
The youth forums assist teenagers to identify a path beyond criminal activity. They are conducted in partnership with CPD, the Cook County Juvenile Temporary Detention Center, and local social service agencies.
U.S. Attorney’s Office Collects Nearly $4.7 Million in Civil and Criminal Actions in Fiscal Year 22Read the Press Release
FAIRVIEW HEIGHTS, Ill. - U.S. Attorney Rachelle Aud Crowe announced Tuesday the Southern District of Illinois has collected $4,699,850.01 in criminal and civil actions in Fiscal Year 2022. Of this amount, $2,525,112.94 was collected in criminal actions and $2,174,737.07 was collected in civil actions.
Additionally, the Southern District of Illinois worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $1,874,109.81 in cases pursued jointly by these offices. Of this amount, $63,747.79 was collected in criminal actions and $1,810,362.02 was collected in civil actions.
“Federal prosecutors and financial litigation staff worked tirelessly throughout the last fiscal year to collect millions of dollars in restitution from individuals charged with fraud and other illegal activities,” said U.S. Attorney Rachelle Aud Crowe. “The funds directly support crime victims regain a sense of normalcy and offer assistance to law enforcement officers with their efforts to apprehend criminals.”
Across the nation, 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.
The office worked with partner agencies and divisions to also collect $544,705 in asset forfeiture actions. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and a variety of law enforcement purposes.
U.S. Attorney's Office Announces Agreement with Massachusetts Department of Correction to Address Unconstitutional Mental Health Treatment of Incarcerated IndividualsRead the Press Release
BOSTON – The U.S. Attorney’s Office for the District of Massachusetts and the Department of Justice’s Civil Rights Division have entered into an Agreement with the Massachusetts Department of Correction (DOC) to resolve its investigation into the treatment of incarcerated individuals with acute mental health issues.
The Settlement Agreement resolves the United States’ claim that the DOC engaged in a pattern or practice of constitutional violations under the Eighth Amendment to the U.S. Constitution.
“As prosecutors, we have a duty to enforce criminal laws which can result in sending people to carceral facilities. We also have a duty to ensure that once someone is incarcerated and in the custody and control of a state, local or federal government, that they receive constitutional treatment and adequate mental and physical health care. In the instant case, our investigation found unconstitutional conditions and circumstances where incarcerated people in mental health crisis harmed themselves up to and including suicide,” said United States Attorney Rachael S. Rollins. “We must provide better mental health treatment in our carceral facilities. Statistics show that far too many of the incarcerated population suffers from significant mental health and substance use disorders, among other severe things. Moving forward, we will be working closely with DOC to address and correct the serious issues and violations identified in our November 2020 Notice. This agreement is the product of hard work and collaboration and offers many innovative solutions. Specifically, the creation of a Stabilization Unit, a newly established civilian Support Person position, as well as mandatory out-of-cell mental health contacts. With these innovations, we intend for Massachusetts to become the gold standard in mental health supervision and treatment for incarcerated individuals. DOC could become an example for the nation.”
“Our investigation found that Massachusetts’ prisons subjected incarcerated people in mental health crisis to prolonged periods of restrictive housing conditions, instead of providing them constitutionally adequate mental health care and supervision,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This agreement ensures heightened supervision, increased out-of-cell contact with mental health staff, and intensive mental health care in a new treatment-focused housing unit when needed. These reforms will help ensure people receive the services they need when they are in crisis.”
Under the Agreement, the DOC will improve policies and training related to mental health care for incarcerated individuals. These improvements will ensure that individuals in mental health crisis receive three daily mental health contacts; that support staff interact with them while they are on a mental health watch; and that the DOC develop a new unit to provide more intensive mental health treatment for individuals in mental health crisis who are not improving while on mental health watch. In addition, the DOC will provide better documentation of increasing mental health treatment for incarcerated individuals experiencing prolonged mental health crisis. The DOC’s Mental Health Director will now have a role in determining the cell conditions and privileges for anyone on a mental health watch.
The Agreement also provides for the appointment of an independent monitor, Dr. Reena Kapoor, to ensure compliance with this Agreement. Dr. Kapoor is an Associate Professor of Psychiatry at Yale School of Medicine. She has previously served on legal monitoring teams that assessed mental health care in prison systems and has published extensively on the intersection between solitary confinement and mental illness. Dr. Kapoor will assess the DOC’s implementation of the Agreement’s requirements; review clinical determinations to ensure adequate mental health treatment for individuals in mental health crisis is being provided; and file public reports on compliance with the U.S. Attorney’s Office and DOJ’s Civil Rights Division on the progress.
The U.S. Attorney’s Office for the District of Massachusetts and the Civil Rights Division initiated the investigation of the DOC in October 2018 under the Civil Rights of Institutionalized Persons Act, enacted in 1980. This law authorizes the Attorney General to file a lawsuit to address the rights of individuals in institutionalized settings. In November 2020, the Department announced findings that the DOC violated the constitutional rights of incarcerated individuals in mental health crisis. The Department found that the DOC did not adequately supervise incarcerated individuals in mental health crisis, did not provide them adequate mental health care and used prolonged mental health watches under restrictive housing conditions.
The investigation was conducted jointly by the Civil Rights Unit of the U.S. Attorney’s Office in the District of Massachusetts and the Civil Rights Division’s Special Litigation Section of the Department of Justice. This matter is being handled by Assistant U.S. Attorneys Jennifer A. Serafyn, Chief of Rollins’s Civil Rights Unit and Michelle Leung and Gregory Dorchak also with Rollins’s Civil Rights Unit.
For more information on the U.S. Attorney’s Office’s Civil Rights Unit please visit www.justice.gov/usao-ma/civil-rights. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.
Two Men Arrested for Conspiring with Russian Nationals to Hack the Taxi Dispatch System at JFK AirportRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and John Gay, the Inspector General of the Port Authority of New York and New Jersey (the “Port Authority”), announced the unsealing of an Indictment charging DANIEL ABAYEV and PETER LEYMAN with two counts of conspiracy to commit computer intrusions. The Indictment charges that ABAYEV and LEYMAN hacked the electronic taxi dispatch system (the “Dispatch System”) at John F. Kennedy International Airport (“JFK”). Taxi drivers are required to wait in a holding lot at JFK before they are dispatched to pick up a fare. A computer system ensures that taxis are dispatched in the order in which they arrived. ABAYEV and LEYMAN conspired with Russian nationals to hack the Dispatch System and move certain taxis to the front of the line, in exchange for payment. ABAYEV and LEYMAN were arrested this morning in Queens, New York, and will be presented this afternoon before United States Magistrate Judge Gabriel W. Gorenstein.
U.S. Attorney Damian Williams said: “As alleged in the indictment, these two defendants — with the help of Russian hackers — took the Port Authority for a ride. For years, the defendants’ hacking kept honest cab drivers from being able to pick up fares at JFK in the order in which they arrived. Now, thanks to this Office’s teamwork with the Port Authority, these defendants are facing serious criminal charges for their alleged cybercrimes.”
Port Authority Inspector General John Gay said: “This sophisticated, internationally coordinated conspiracy allegedly targeted hard-working taxi drivers trying to earn an honest living. The Port Authority has zero tolerance for bad actors violating the law at our facilities. We thank Damian Williams and the Southern District for their partnership as we continue our relentless commitment to detecting and disrupting illegal behavior at our facilities across the region.”
As alleged in the Indictment:[1]
From at least September 2019 through September 2021, ABAYEV and LEYMAN, who are U.S. citizens residing in Queens, New York, and Russian nationals residing in Russia (the “Russian Hackers”), engaged in a scheme (the “Hacking Scheme”) to hack the Dispatch System at JFK.
At all relevant times, taxi drivers who sought to pick up a fare at JFK were required to wait in a holding lot at JFK before being dispatched to a specific terminal by the Dispatch System. Taxi drivers were frequently required to wait several hours in the lot before being dispatched to a terminal and were dispatched in approximately the order in which they arrived at the holding lot.
Beginning in 2019, ABAYEV and LEYMAN explored and attempted various mechanisms to access the Dispatch System, including bribing someone to insert a flash drive containing malware into computers connected to the Dispatch System, obtaining unauthorized access to the Dispatch System via a Wi-Fi connection, and stealing computer tablets connected to the Dispatch System. The members of the Hacking Scheme also sent messages to each other in which they explicitly discussed their intention to hack the Dispatch System. For example, on or about November 10, 2019, ABAYEV messaged the following to one of the Russian Hackers in Russian: “I know that the Pentagon is being hacked[.]. So, can’t we hack the taxi industry[?]”
At various times between November 2019 and November 2020, ABAYEV and LEYMAN, working with others, successfully hacked the Dispatch System. They used their unauthorized access to alter the Dispatch System and move specific taxis to the front of the line, thereby allowing drivers of those taxis to skip other taxi drivers waiting in the line. ABAYEV and LEYMAN charged taxi drivers $10 each time they were advanced to the front of the line. Taxi drivers learned that they could skip the taxi line by paying $10 to members of the Hacking Scheme through word of mouth, and members of the Hacking Scheme offered some taxi drivers waivers of the $10 fee in exchange for recruiting other taxi drivers to pay the $10 fee to skip the taxi line. The Hacking Scheme also used large group chat threads in order to communicate with taxi drivers. For example, when the Hacking Scheme had access to the Dispatch System for the day, a member of the Hacking Scheme would message the group chat threads, “Shop open.” ABAYEV also sent messages to large groups of taxi drivers on the chat threads instructing them how to avoid detection by law enforcement when using trips purchased from the Hacking Scheme, such as the following:
DEAR DRIVERS !!!! PLEASE !!!!
Do not wait at the gas station in JFK
Please do not go around the CTH [Central Taxi Hold] Lot
Please do not wait at Rockway av
You have to be very very carefully
ABAYEV and LEYMAN’s scheme resulted in large numbers of taxi drivers skipping the taxi line. Over the course of the scheme, they enabled as many as 1,000 fraudulently expedited taxi trips a day.
* * *
ABAYEV, 48, and LEYMAN, 48, both of Queens, New York, are each charged with two counts of conspiracy to commit computer intrusion. The charges carry a maximum sentence of 10 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding work of the Port Authority Office of the Inspector General. Mr. Williams also thanked Homeland Security Investigations for their assistance in the investigation.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Kevin Mead and Steven J. Kochevar are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitutes only allegations, and every fact described therein should be treated as an allegation.
Two Florida Men Plead Guilty to Roles in Nationwide “Felony Lane Gang” ConspiracyRead the Press Release
SYRACUSE, NEW YORK – Joshua Mallory, age 37, and Gary Grier, age 36, of Fort Lauderdale, Florida, pled guilty this week in federal court in Syracuse to conspiracy to commit bank fraud and aggravated identity theft, announced United States Attorney Carla B. Freedman; Michael J. Driscoll, Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (FBI); and Putnam County (New York) Sheriff Kevin J. McConville.
In pleading guilty, Mallory and Grier admitted that they were involved in a fraud scheme known as “Felony Lane Gang” between 2015 and 2020. Mallory, Grier, and their co-conspirators traveled across the country breaking into cars, often targeting those parked by women at locations such as health and fitness centers, daycares, outdoor recreational parks, and dog parks. Mallory, Grier, and other members of the conspiracy stole debit cards, credit cards, checkbooks, and photo identifications in these “smash-and-grab” vehicle thefts, and they used these stolen items to commit bank fraud by recruiting women to impersonate the smash-and-grab victims in drive-through bank lanes and cash checks. The recruited check cashers were almost always suffering from an addiction to controlled substances and were provided payment at least partially in narcotics. Mallory and Grier each admitted that the loss amount from the conspiracy attributable to them is at least $95,000.
The charges to which Mallory and Grier pled guilty carry a minimum sentence of 2 years in prison and a maximum sentence of 30 years, a fine of up to $1 million, and a supervised release term of up to 5 years. Mallory will be sentenced on May 1, 2023, and Grier will be sentenced on April 19, 2023. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
Mallory and Grier were two of nine men charged in a 13-count indictment for their roles in the scheme. Keyshawn Arnold, age 25, of Schenectady, New York; Terrell McDonald, age 32, of Troy, New York; and Tyrone Parker, age 40, of Fort Lauderdale, Florida, previously pled guilty for their roles in the indictment. The remaining co-defendants are:
- TYRONE PARKER, JR. a/k/a “Ty,” a/k/a “Cheese,” a/k/a “Little Thigh,” age 22, of Fort Lauderdale;
- RANDALL TAYLOR, a/k/a “Gucci,” a/k/a “Guwop,” age 37, of Fort Lauderdale;
- CEDRIC LYNCH, a/k/a “City,” a/k/a “C,” age 37, of Orlando, Florida; and
- ROBERT NATSON, a/k/a “Big Rob,” age 36, of Fort Lauderdale.
Each of the remaining defendants is charged with conspiracy to commit bank fraud and/or aggravated identity theft, and they are scheduled for trial in federal court in Syracuse on January 24, 2023. The charges in the indictment are merely accusations, and the defendants whose cases remain pending are presumed innocent unless and until proven guilty.
This case is being investigated by the FBI Westchester Resident Agency of the New York Field Office and the Putnam County Sheriff’s Department, with assistance from the FBI Field Offices in Albany, Miami, and Salt Lake City, and Resident Agencies in Savannah, Georgia, and Portland, Maine, and from the U.S. Attorney’s Office for the District of Maine, the Saratoga County District Attorney’s Office, and the Ulster County District Attorney’s Office. Additional assistance was provided by numerous law enforcement agencies, including, within New York, the New York State Police; Columbia County Sheriff's Office; Genesee County Sheriff’s Office; Monroe County Sheriff’s Office; Saratoga County Sheriff’s Office; Warren County Sheriff’s Office; and the police departments of the Town of Bethlehem; Glens Falls; Gloversville; Greenburgh; Greece; and Watervliet; and elsewhere, Connecticut State Police; Florida Department of Law Enforcement; Georgia State Patrol; Illinois State Police; Massachusetts State Police; Broward County, FL Sheriff’s Office; Northern York County, PA Regional Police; Southern Chester County, PA Regional Police; Utah County, UT Sheriff's Office; and the police departments of Auburn, MA; Bath, ME; Biddeford, ME; Bozeman, MT; Brunswick, ME; Caernarvon Township, PA; Chester Township, PA; Cinnaminson, NJ; Darien, CT; East Norriton Township, PA; Easthampton, MA; Greenwich, CT; Lower Moreland Township, PA; Manheim Township, PA; Portland, ME; Portsmouth, NH; Saco, ME; Salisbury, MA; Sanford, ME; Scarborough, ME; Somersworth, NH; South Portland, ME; St. George, UT; Syracuse, UT; Tinicum, PA; Towamencin, PA; Tewksbury, MA; Wakefield, MA; Yarmouth, ME; and York, ME.
The case is being prosecuted by Assistant United States Attorneys Matthew J. McCrobie and Michael F. Perry, and Special Assistant United States Attorney Paul Tuck, and it was initiated by former Assistant United States Attorney Andrew D. Beaty.
Two Biotech Company Presidents Indicted in Maryland for Securities Fraud SchemesRead the Press Release
Baltimore, Maryland – A federal grand jury has returned an indictment charging Nader Pourhassan, age 59 of Lake Oswego, Oregon, and Kazem Kazempour, age 69, of Potomac Maryland, for their roles in schemes to defraud investors in CytoDyn Inc., a publicly traded biotechnology company based in Vancouver, Washington. Pourhassan was CytoDyn’s president and CEO at the time of the alleged fraud. Kazempour is the co-founder, president, and CEP of Amarex Clinical Research LLC (Amarex), a private company with offices in Germantown, Maryland, that managed CytoDyn’s clinical trials. The indictment was returned on December 15, 2022, and unsealed today upon the arrests of the defendants.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron; Assistant Attorney General Kenneth A. Polite of the Justice Department’s Criminal Division; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Assistant Commissioner Catherine A. Hermsen of the FDA’s Office of Criminal Investigations (OCI); Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service - Washington Division.
“The indictment alleges that these defendants conspired to defraud investors in order to line their own pockets,” said U.S. Attorney Erek L. Barron for the District of Maryland. “Investors must be able to rely on the statements of biotech companies about their products. Executives who knowingly mislead investors must be held accountable.”
“The Department of Justice is committed to protecting the investing public from criminals who would exploit public health crises for personal profit,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “These charges also confirm the department’s commitment, together with our law enforcement partners, to hold corrupt C-Suite executives who abuse their positions and engage in securities fraud accountable for their actions.”
According to the 14-count indictment, the defendants engaged in conspiracy and schemes to defraud investors through false and misleading representations and material omissions relating to CytoDyn’s development of leronlimab, a monoclonal antibody investigational drug also known as PRO 140, as a potential treatment for human immunodeficiency virus (HIV). Pourhassan and Kazempour allegedly deceived investors about the timeline and status of CytoDyn’s regulatory submissions to the U.S. Food and Drug Administration (FDA) to artificially inflate and maintain the price of CytoDyn’s stock and attract new investors, and for their personal benefit, including by selling their personal shares of CytoDyn stock. Amarex served as CytoDyn’s regulatory agent in interactions with the FDA and Kazempour also served on CytoDyn’s Disclosure Committee, which was responsible for reviewing and approving CytoDyn’s periodic filings with the U.S. Securities and Exchange Commission.
The indictment further alleges that Pourhassan and Kazempour made and caused CytoDyn to make materially false and misleading representations about the timelines by which CytoDyn and Amarex would complete and submit CytoDyn’s biologics license application (BLA) for HIV to the FDA. In April 2020, after CytoDyn and Amarex repeatedly missed publicized timelines, Pourhassan allegedly directed Kazempour and Amarex to submit the BLA – even if it was incomplete – so that Pourhassan and CytoDyn could announce to investors that the BLA had been submitted. Pourhassan and Kazempour allegedly knew that the FDA would refuse to review an incomplete BLA.
After Kazempour and Amarex allegedly submitted the incomplete BLA at Pourhassan’s direction, Pourhassan and CytoDyn misrepresented in a press release that a “complete” BLA had been submitted to the FDA when, in truth and in fact, it had not. Pourhassan then allegedly sold millions of dollars’ worth of CytoDyn stock based on material non-public information, including information about the fact that the BLA was, in truth and in fact, incomplete when submitted.
“Financial crimes like securities fraud may not be violent, but they certainly are not victimless. The two individuals charged today capitalized on the hopes of investors and the public in supporting new treatments for ailments that affect people and their families,” said Special Agent in Charge Thomas J. Sobocinski of the FBI Baltimore Field Office. “This indictment sends a message to all sophisticated white-collar criminals that no one is beyond the reach of the FBI and our law enforcement partners and we do not tolerate the greedy intentions of those in such trusted positions.”
“The conduct alleged in these charges erodes public trust in the safety and effectiveness of medical products, including drugs,” said Assistant Commissioner Catherine A. Hermsen of the FDA’s Office of Criminal Investigations (OCI). “The FDA would like to extend our thanks to our federal law enforcement partners for sending a strong message to biotechnology executives and others that these types of actions will not be tolerated.”
The indictment also alleges that Pourhassan made, and caused CytoDyn to make, materially false and misleading representations about CytoDyn’s investigation and development of leronlimab as a potential treatment for COVID-19, including the results and significance of clinical trials and the status of CytoDyn’s regulatory submissions to the FDA. Pourhassan allegedly knew that, in truth and in fact, leronlimab’s clinical studies failed to achieve the results necessary to obtain any form of FDA approval for use as a treatment for COVID-19 and the results CytoDyn publicly touted were neither statistically significant nor scientifically sound.
“Throughout history, Postal Inspectors have investigated many investment schemes and the one thing that always rings true, where there are large sums of money to be made, scammers are always lurking,” said Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group. “In this case, these individuals took advantage of the dream of a possible new treatment for HIV and exploited investors, while dashing the hopes of many waiting for a cure. Postal Inspectors and their law enforcement partners will work tirelessly to bring to justice those who break regulatory and investment standards, keeping the investing landscape safe and free of crime for the American public.”
Pourhassan and Kazempour are each charged with one count of conspiracy to commit securities fraud and wire fraud, three counts of securities fraud, and two counts of wire fraud related to the HIV BLA scheme. Pourhassan is separately charged with an additional count of securities fraud, an additional count of wire fraud related to the COVID-19 scheme, and three counts of insider trading. Kazempour is separately charged with one count of making false statements to federal law enforcement agents. Pourhassan and Kazempour made their initial court appearance today in the District of Oregon and the District of Columbia, respectively.
If convicted, Pourhassan and Kazempour each face a maximum penalty of 20 years in prison on each securities fraud and wire fraud count, and five years in prison on the conspiracy count. Kazempour also faces a maximum penalty of five years in prison on the false statement count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at [email protected]. Victims can find case updates and additional information at: https://www.justice.gov/criminal-vns/case/CytoDyn-Inc.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Erek L. Barron commended the FBI, FDA-CID, and USPIS for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Aaron S.J. Zelinsky and Leo J. Wise, and Trial Attorneys Christopher Fenton and Joshua DeBold and Assistant Chief Michael O’Neill of the Criminal Division’s Fraud Section, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Two Biotech CEOs Charged in Securities Fraud SchemesRead the Press Release
A federal grand jury in the District of Maryland returned an indictment that was unsealed today charging two men for their roles in schemes to defraud investors in CytoDyn Inc., a publicly traded biotechnology company (OTCQB: CYDY) based in Vancouver, Washington.
According to court documents, Nader Pourhassan, 59, of Lake Oswego, Oregon, and Kazem Kazempour, 69, of Potomac, Maryland, allegedly engaged in a conspiracy to defraud investors through false and misleading representations and material omissions relating to CytoDyn’s development of leronlimab, a monoclonal antibody investigational drug also known as PRO 140, as a potential treatment for human immunodeficiency virus (HIV). Pourhassan and Kazempour allegedly deceived investors about the timeline and status of CytoDyn’s regulatory submissions to the U.S. Food and Drug Administration (FDA) to artificially inflate and maintain the price of CytoDyn’s stock and attract new investors, and for their personal benefit, including by selling their personal shares of CytoDyn stock.
Pourhassan was CytoDyn’s president and CEO at the time of the alleged fraud. Kazempour is the co-founder, president, and CEO of Amarex Clinical Research LLC (Amarex), a private company with offices in Germantown, Maryland, that managed CytoDyn’s clinical trials, and was CytoDyn’s regulatory agent in interactions with the FDA. Kazempour also served on CytoDyn’s Disclosure Committee, which was responsible for reviewing and approving CytoDyn’s periodic filings with the U.S. Securities and Exchange Commission.
“The Department of Justice is committed to protecting the investing public from criminals who would exploit public health crises for personal profit,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “These charges also confirm the department’s commitment, together with our law enforcement partners, to hold corrupt C-Suite executives who abuse their positions and engage in securities fraud accountable for their actions.”
“The indictment alleges that these defendants conspired to defraud investors in order to line their own pockets,” said U.S. Attorney Erek L. Barron for the District of Maryland. “Investors must be able to rely on the statements of biotech companies about their products. Executives who knowingly mislead investors must be held accountable.”
The indictment alleges that Pourhassan and Kazempour made and caused CytoDyn to make materially false and misleading representations about the timelines by which CytoDyn and Amarex would complete and submit CytoDyn’s biologics license application (BLA) for leronlimab’s treatment of HIV to the FDA. In April 2020, after CytoDyn and Amarex repeatedly missed publicized timelines, Pourhassan allegedly directed Kazempour and Amarex to submit the BLA – even if it was incomplete – so that Pourhassan and CytoDyn could announce to investors that the BLA had been submitted. Pourhassan and Kazempour allegedly knew that the FDA would refuse to review an incomplete BLA.
After Kazempour and Amarex allegedly submitted the incomplete BLA at Pourhassan’s direction, Pourhassan and CytoDyn misrepresented in a press release that a “complete” BLA had been submitted to the FDA when, in truth and in fact, it had not. Pourhassan then allegedly sold millions of dollars’ worth of CytoDyn stock based on material non-public information, including information about the fact that the BLA was, in truth and in fact, incomplete when submitted.
“Financial crimes like securities fraud may not be violent, but they certainly are not victimless. The two individuals charged today capitalized on the hopes of investors and the public in supporting new treatments for ailments that affect people and their families,” said Special Agent in Charge Thomas J. Sobocinski of the FBI Baltimore Field Office. “This indictment sends a message to all sophisticated white-collar criminals that no one is beyond the reach of the FBI and our law enforcement partners and we do not tolerate the greedy intentions of those in such trusted positions.”
“The conduct alleged in these charges erodes public trust in the safety and effectiveness of medical products, including drugs,” said Assistant Commissioner Catherine A. Hermsen of the FDA’s Office of Criminal Investigations (OCI). “The FDA would like to extend our thanks to our federal law enforcement partners for sending a strong message to biotechnology executives and others that these types of actions will not be tolerated.”
The indictment also alleges that Pourhassan made, and caused CytoDyn to make, materially false and misleading representations about CytoDyn’s investigation and development of leronlimab as a potential treatment for COVID-19, including the results and significance of clinical trials and the status of CytoDyn’s regulatory submissions to the FDA. Pourhassan allegedly knew that, in truth and in fact, leronlimab’s clinical studies failed to achieve the results necessary to obtain any form of FDA approval for use as a treatment for COVID-19 and the results CytoDyn publicly touted were neither statistically significant nor scientifically sound.
“Throughout history, Postal Inspectors have investigated many investment schemes and the one thing that always rings true, where there are large sums of money to be made, scammers are always lurking,” said Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group. “In this case, these individuals took advantage of the dream of a possible new treatment for HIV and exploited investors, while dashing the hopes of many waiting for a cure. Postal Inspectors and their law enforcement partners will work tirelessly to bring to justice those who break regulatory and investment standards, keeping the investing landscape safe and free of crime for the American public.”
Pourhassan and Kazempour are each charged with one count of conspiracy to commit securities fraud and wire fraud, three counts of securities fraud, and two counts of wire fraud related to the HIV BLA scheme. Pourhassan is separately charged with an additional count of securities fraud, an additional count of wire fraud related to the COVID-19 scheme, and three counts of insider trading. Kazempour is separately charged with one count of making false statements to federal law enforcement agents. Pourhassan will make his initial court appearance later today in the District of Oregon. Kazempour will make his initial court appearance later today in the District of Columbia. If convicted, Pourhassan and Kazempour each face a maximum penalty of 20 years in prison on each securities fraud and wire fraud count, and five years in prison on the conspiracy count. Kazempour also faces a maximum penalty of five years in prison on the false statements count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Baltimore Field Office, FDA-OCI, and USPIS are investigating the case.
Trial Attorneys Christopher Fenton and Joshua DeBold and Assistant Chief Michael O’Neill of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Aaron S.J. Zelinsky and Leo Wise for the District of Maryland are prosecuting the case.
If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at [email protected]. Victims can find case updates and additional information at: https://www.justice.gov/criminal-vns/case/CytoDyn-Inc.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Three Human Smuggling Organizers Sentenced to a Combined 100 Months of IncarcerationRead the Press Release
TUCSON, Ariz. – Ramon Villalobos-Lopez, 45, of Mexico, was sentenced last week by United States District Judge Rosemary Márquez to 46 months in prison, followed by three years of supervised release. Judge Márquez previously sentenced co-defendants Javier Garcia-Mondragon, 37, of Mexico, and Daniel Lopez-Guerra, 24, of Mexico, each to a term of 27 months in prison. All three previously pleaded guilty to Conspiracy to Transport and Harbor Illegal Aliens for Profit.
In April 2021, special agents from Homeland Security Investigations (HSI) – Nogales began surveilling vehicles identified as being used for human smuggling and subsequently identified a stash house. On May 14, 2021, a search warrant was executed at the residence where agents found 54 undocumented noncitizens inside. Agents also found notebooks containing written entries indicating hundreds of undocumented noncitizens had been brought to the residence after illegally crossing into the United States. Garcia-Mondragon and Lopez-Guerra were identified as individuals in charge of the stash house, while Villalobos-Lopez was identified as a leader and organizer of the operation.
This prosecution resulted from the coordinated efforts of Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the District of Arizona is part of JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime.
HSI – Nogales Office conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR 21-1323-TUC-RM
RELEASE NUMBER: 2022-226_Villalobos-Lopez et al.# # #
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.
Three Defendants Sentenced for Scheme to Transport Stolen Catalytic Converters Across State LinesRead the Press Release
SPRINGFIELD, Mo. – Three Rogersville, Mo., and Springfield, Mo., men have been sentenced in federal court for their roles in a scheme to transport tens of thousands of stolen catalytic converters across state lines as part of a multi-million-dollar business.
“These three defendants were the ringleaders of a scheme that impacted thousands of area residents,” said U.S. Attorney Teresa Moore. “We worked closely with a number of our law enforcement partners to shut down their multi-million-dollar operation and bring the perpetrators to justice.”
Evan Marshall, 25, of Rogersville, Cody Ryder, 31, of Springfield, and Camren Joseph Davis, 25, of Rogersville, were sentenced by U.S. District Judge M. Douglas Harpool on Monday, Dec. 19.
Marshall was sentenced to five years and 10 months in federal prison without parole. The court also imposed a $750,000 money judgment against Marshall to be forfeited to the government, ordered Marshall to pay $19,133 in restitution to victims of the conspiracy who law enforcement were able to identify, and forfeiture to the government of the following items that were seized by law enforcement: 33 rifles, 20 scopes, six shotguns, 26 handguns, a Glock sub conversion kit, eight ammunition magazines, a 2011 Ram 3500 one-ton pickup, a 2004 Dodge Ram, a flatbed trailer, two 42-foot gooseneck flatbed trailers, a 16-foot livestock trailer, a 2021 Load N Go utility trailer, a 2007 car hauler trailer, a Volkswagen dune buggy, two Harley Davidson motorcycles, a 2012 Keystone 5th wheel camper, a Caterpillar skid steer, a 2019 Honda Talon SXS 1000 side by side, a 2016 Polaris RZR side by side, a Polaris Ranger 4x4, and 191 catalytic converters.
Ryder was sentenced to two years and five months in federal prison without parole. Davis was sentenced to five years of probation. The court imposed money judgments against Ryder and Davis to forfeit to the government $125,000 each.
“We are pleased to be a part of, and to see the successful ending, to this long-term investigation,” said Springfield Police Chief Paul Williams. “It is good to see the main participants in this crime being held accountable, and the potential for restitution for victims in our community.”
“Our community is painfully aware that catalytic converter thefts are not victimless crimes,” said Acting Special Agent in Charge of the HSI Kansas City Area of Responsibility Josh Armstrong. “While many may consider catalytic converter thefts to be victimless, all too often criminals involved in these types of thefts sometimes funnel the profits gained to organized criminal networks to fund additional, more dangerous crimes.”
On June 16, 2022, Marshall pleaded guilty to one count of transporting stolen property across state lines. Ryder pleaded guilty on June 13, 2022, and Davis pleaded guilty on April 21, 2022, to their roles in a conspiracy to transport stolen property across state lines.
Co-defendants Enx Khoshaba, 30, Leslie Ice, 38, and Eric Kaltenbach, 38, all of Springfield, and Danielle Ice, 34, of Columbia (formerly of Springfield), have pleaded guilty to their roles in the conspiracy to transport stolen property across state lines and await sentencing.
Marshall admitted that he transported stolen catalytic converters, valued at $1 million or more, across state lines from December 2019 to October 2021. Marshall also admitted that he bought tens of thousands of stolen catalytic converters directly from his co-defendants and from other thieves, and sold the stolen catalytic converters for a total of approximately $1 million.
Marshall began selling the catalytic converters to a company in Mountain Home, Arkansas, in the fall of 2019. At that time, Marshall would purchase junk vehicles and sell the vehicles’ parts, including the catalytic converters. In the late fall of 2019, the owners of the Mountain Home company asked Marshall if he would begin purchasing catalytic converters in southwest Missouri and sell to them exclusively. Marshall agreed to do so; in return, they regularly provided Marshall with cash so that Marshall had the funds to purchase a higher volume of catalytic converters. They also provided Marshall with a list of valuable catalytic converters. By December 2019, Marshall had mostly ceased buying junk vehicles and scrapping them out for parts, and instead began purchasing already-detached catalytic converters from scrap yards and individual sellers.
By January 2020, the owners of the Mountain Home company were wiring Marshall hundreds of thousands of dollars on a monthly basis so that Marshall could purchase a higher volume of detached catalytic converters.
By December 2019, Marshall had also enlisted Davis to work for him and another company, which Marshall also established in December 2019. Davis’s job was to purchase catalytic converters using cash that Marshall provided him. During that time period, Marshall provided Davis with hundreds of thousands of dollars in cash to purchase catalytic converters on Marshall’s behalf. As part of the arrangement, Davis exclusively sold the catalytic converters he purchased to Marshall. On at least one occasion, Marshall provided Davis with $40,000 in cash for the purchase of catalytic converters on Marshall’s behalf.
Davis admitted that he bought at least 1,500 stolen catalytic converters from various thieves and sold them to Marshall for a total of approximately $250,000.
In February 2021, Marshall enlisted Ryder to work for him and his company. As with Davis, Ryder’s job was to purchase catalytic converters using cash that Marshall provided him. From February 2021 through October 2021, Marshall provided Ryder with hundreds of thousands of dollars in cash to purchase catalytic converters on Marshall’s behalf. As part of the arrangement, Ryder exclusively sold the catalytic converters he purchased to Marshall. On at least one occasion, Marshall provided Ryder with $10,000 in cash for the purchase of catalytic converters on Marshall’s behalf.
Ryder admitted that he bought at least 1,500 stolen catalytic converters from thieves and sold them to Marshall for an aggregate amount of approximately $250,000.
Many of the catalytic converters that Davis and Ryder purchased with the cash Marshall provided them were stolen, and Marshall knew at the time that many of them were stolen. Marshall paid Davis and Ryder an agreed-upon percentage amount over their purchase price for the catalytic converters, less the amount of cash Marshall had fronted them.
From December 2019 through October 2021, in addition to utilizing Davis and Ryder as buyers of stolen catalytic converters, Marshall also purchased stolen catalytic converters directly from thieves. In July 2020, a Springfield, Mo., police detective contacted Marshall regarding the purchase of catalytic converters from individuals known to be thieves. Despite being put on notice that he was purchasing stolen catalytic converters, Marshall continued to purchase stolen catalytic converters, including from at least one of the individuals identified by the detective.
Marshall admitted that he knowingly purchased stolen catalytic converters from co-defendants Davis, Ryder, Ice, Kaltenbach, Khoshaba, and at least six other thieves. Marshall transported and sold almost all of the catalytic converters, including the stolen catalytic converters, to the owners of the Mountain Home business.
Marshall, Davis, Ryder and others loaded the catalytic converters, including the stolen catalytic converters, into bins that were placed on trailers at Marshall’s residence. They hauled the trailers, which each contained between 800 and 1,200 catalytic converters, many of which were stolen, from Rogersville to Mountain Home. Marshall transported catalytic converters from Rogersville to Mountain Home approximately every two weeks from December 2019 through October 2021.
This case is being prosecuted by Assistant U.S. Attorneys Shannon T. Kempf and Anthony Brown. It was investigated by the Springfield, Mo., Police Department, Homeland Security Investigations, IRS-Criminal Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Missouri State Highway Patrol, the Christian County, Mo., Sheriff’s Department, the Webster County, Mo., Sheriff’s Department, the Missouri Department of Revenue and the Greene County, Mo., Prosecuting Attorney.
Organized Crime Drug Enforcement Task Forces
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Theft of Firearms from Stores in Youngsville and Benton, Louisiana Results in Sentence of 22+ Years in Federal Prison for Pineville ManRead the Press Release
LAFAYETTE, La. – Salih Reed, 27, of Pineville, Louisiana, has been sentenced by United States District Judge Dee D. Drell for the burglary of two firearms stores in Benton and Youngsville, Louisiana, United States Attorney Brandon B. Brown announced.
Salih Reed was sentenced to 270 months (22 years, 6 months) in prison, followed by 6 years of supervised release. Reed was also ordered to pay restitution in the amount of $38,148.07. Reed pleaded guilty on August 4, 2022 to two counts of theft of firearms from a federal firearms licensee.
The charges in this case stem from two thefts from firearms stores in Louisiana. On or about September 1, 2019, Reed stole 54 firearms from the premises of Sentry Defense located in Youngsville. Again, on November 14, 2021, Reed and Jessica Moore stole 62 firearms from the premises of Guns-N-Ammo, a licensed firearms dealer located in Benton, Louisiana.
“Salih Reed not only broke the law by stealing numerous firearms from two stores in Louisiana, but he caused multiple stolen firearms to be illegally transported to other cities in the United States,” said U.S. Attorney Brandon B. Brown. “The cooperation between law enforcement agencies, both federal and those in Louisiana and other states, are what led to the arrest of these individuals. The goal of the Department of Justice is to help reduce violent crime and cases like these are where this begins. We will continue working with our federal and local partners to keep violent criminals off the streets.”
“This sentencing sends a strong message to gun traffickers that ATF will use every available resource to prevent and dismantle the flow of illegal firearms into our communities,” said ATF Special Agent in Charge Kurt Thielhorn. “ATF will continue to collaborate with our law enforcement partners to investigate and seek prosecution of these cases to the fullest extent of the law in order to protect our citizens.”
Jessica Moore, 24, of Alexandria, was involved in the robbery of the Guns-N-Ammo store in Benton, Louisiana and pleaded guilty on August 24, 2022 to one count of theft of firearms from a federal firearms licensee. Judge Drell sentenced Moore to time served, which began at the time of her arrest in February 2021, followed by 2 years of supervised release. She was also ordered to pay restitution in the amount of $2,500.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Youngsville Police Department, Lafayette Parish Sheriff’s Office, Rapides Parish Sheriff’s Office, Bossier Parish Sheriff’s Office, Los Angeles Police Department, and prosecuted by Assistant U.S. Attorney Daniel J. McCoy.
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The U.S. Attorney’s Office for the Middle District of Georgia Collects $6.8 Million in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
ALBANY, Ga. – U.S. Attorney Peter D. Leary announced today that the U.S. Attorney’s Office for the Middle District of Georgia collected $6,814,729.05 in criminal and civil actions in Fiscal Year 2022. Of this amount, $3,382,503.60 was collected in criminal actions and $3,432,225.45 was collected in civil actions.
Further, the Middle District of Georgia worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $804,200 in cases pursued jointly by these offices. Of this amount, $19,200 was collected in criminal actions and $785,000 was collected in civil actions.
“Protecting the federal treasury and recovering funds on behalf of the U.S. taxpayer are core priorities for our office. We appreciate the partnership we have law enforcement agencies as well as the hard work of our criminal and civil Assistant U.S. Attorneys to successfully hold those who commit financial crimes accountable,” said U.S. Attorney Peter D. Leary.
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.
For more information about the Crime Victims Fund, please visit https://ovc.ojp.gov/about/crime-victims-fund.
Syracuse Man Pleads Guilty to Federal Firearm ChargeRead the Press Release
SYRACUSE, NEW YORK – Cedric L. Hudson, Jr., age 36, of Syracuse, pled guilty today to possessing a firearm and ammunition as a convicted felon, announced United States Attorney Carla B. Freedman, Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), and Acting New York State Police Superintendent Steven A. Nigrelli.
Cedric Hudson was arrested in the Town of Dewitt, New York near Carrier Circle on October 17, 2022, when New York State Troopers observed him driving erratically. He was stopped near a local gas station when it was learned his driver’s license was suspended and a tow truck was called to remove his car. A search of the vehicle prior to it being towed located a .45 caliber semiautomatic handgun and seven rounds of .45 caliber ammunition in a magazine clip. Hudson was prohibited from possessing a firearm or ammunition having been previously convicted in Onondaga County Court of a felony drug offense in 2014. When arrested on October 17, 2022, Cedric Hudson was also the subject of a parole violation warrant from the state of North Carolina.
Sentencing is scheduled for April 20, 2022, in Syracuse, New York, at which the defendant faces a maximum sentence of 15 years in prison, a fine of up to $250,000,00, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The case against Cedric L. Hudson, Jr. was adopted for federal prosecution after a joint review by the Onondaga County District Attorney’s Office, the United States Attorney’s Office, the FBI, and the New York State Police as part of gun violence reduction efforts in Onondaga County.
This case is being investigated by Federal Bureau of Investigation (FBI), and the New York State Police-Community Stabilization Unit (NYSP-CSU), with assistance from the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). It is being prosecuted by Assistant U.S. Attorney Richard Southwick as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Suburban Houston man sentenced for sex trafficking minorsRead the Press Release
HOUSTON – A 26-year-old Richwood resident has been ordered to federal prison for forcing teenagers to engage in commercial sex, announced U.S. Attorney Alamdar S. Hamdani.
Charlie James Jones pleaded guilty Nov. 26.
Today, U.S. District Judge George C. Hanks sentenced him to a total 190-month-term of imprisonment. At the hearing, the court heard that in addition to the girl he pleaded guilty to trafficking, he also caused several other minors to engage in commercial sex. In handing down the prison term, the court noted that Jones had a manipulative personality both emotionally and physically and that what he did was horrific. Jones was further ordered to pay $7,200 in restitution to the victim and will serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Jones will also be ordered to register as a sex offender.
Jones pleaded guilty to trafficking one girl in and around Angleton in July 2015, but also admitted to doing the same to another minor.
On one occasion, he had taken the girls, then ages 16 and 17, to a local motel. He photographed the minors in thong underwear and posted the images online in ads promoting them for commercial sex.
Over the course of several subsequent weekends, Jones forced the younger victim to engage in commercial sex and took all the proceeds. If she resisted, Jones became violent with her by grabbing her throat and pulling her hair. He also forced himself on her sexually.
The other female was allegedly Jones’ girlfriend. However, he also made her engage in commercial sex and was seen committing acts of violence against her.
Jones has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI and Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Sherri L. Zack prosecuted the case.
St. Louis Man Accused of Manufacturing Fake Vehicle Temporary TagsRead the Press Release
ST. LOUIS – A man from St. Louis was arrested Thursday on an indictment that accuses him of manufacturing and selling fake temporary vehicle license tags.
Mario C. Cooks, 34, was indicted in U.S. District Court in St. Louis Wednesday on six felony counts of fraudulent transfer of an authentication feature. The indictment says Cooks used a fake watermark and seal of the Missouri Department of Revenue on temporary motor vehicle license tags produced between June 28 and December 6.
In a court-approved search Thursday morning of Cooks’ home in the 5300 block of Claxton Avenue, the United States Secret Service, St. Louis Metropolitan Police Department, St. Charles Police Department and the Missouri Department of Revenue seized computer equipment, counterfeit temporary motor vehicle documents and counterfeit motor vehicle titles.
In an affidavit filed to obtain the search warrant, an agent of the U.S. Secret Service said the investigation began when police in St. Charles learned that Cooks was offering fraudulent temporary motor vehicle tags as well as a fraudulent license plate that appeared to have been issued by the State of Missouri to a licensed car dealership. An undercover police officer then purchased a series of fraudulent temporary motor vehicle tags and automobile insurance cards from Cooks, the affidavit says.
“The people using these temporary tags are not just those trying to avoid paying their taxes. Some are using them to conceal their possession of stolen vehicles or to thwart their identification while committing crimes,” said St. Charles Police Chief Ray Juengst. “This is a great example of collaboration between agencies that will have a positive impact throughout the metro area.”
“This arrest disrupted a sophisticated criminal enterprise designed to defraud the State of Missouri,” said Thomas Landry, Special Agent in Charge of the U.S. Secret Service’s St. Louis Field Office. “I commend the exceptional work of our partners and emphasize our agency’s ongoing commitment to combatting fraud at every level.”
Cook’s federal charge carries a penalty of up to five years in prison, a $250,000 fine, or both.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the St. Charles Police Department, the St. Louis Metropolitan Police Department, the U.S. Secret Service and the Missouri Department of Revenue. Assistant U.S. Attorney Tracy Berry is prosecuting the case.