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6 December 2022
Sex Offender Sentenced to Two Years in Prison for Failing to Register in IowaRead the Press Release
A convicted sex offender who lived and worked in Iowa without registering was sentenced today to more than a year in federal prison.
Vincent Mack, age 57, from Byron, Georgia, received the prison term after a May 25, 2022 guilty plea to failing to register as a sex offender.
Information from the sentencing hearing showed that Mack was required to register as a sex offender because he was previously convicted of child molestation in Georgia. While still under supervision for that conviction in December 2021, Mack cutoff his GPS ankle monitor and moved to Iowa with a friend. Approximately three weeks later, law enforcement officers became aware of Mack and determined that he was living and working in Iowa. During the time he was in Iowa, Mack did not register as a sex offender as he was required to do.
Mack was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Mack was sentenced to 24 months’ imprisonment. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system. Mack 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 Anthony Morfitt and investigated by the United States Marshal’s Service and the Cedar County Sheriff’s Office. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 22-CR-33.
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San Diego Tax Preparer Sentenced for Illegal Operation of a $5 Million Money Transmission BusinessRead the Press Release
Assistant U. S. Attorney Carl Brooker
NEWS RELEASE SUMMARY—December 5, 2022
SAN DIEGO - Jose Luis Gonzalez was sentenced in federal court today to 30 months in prison and ordered to forfeit $5,052,037 for transmitting more than $5 million dollars through an unregistered money transmission business and claiming more than $19 million dollars in fraudulent tax deductions in connection with the scheme.
According to court documents, Gonzalez, 50, conspired with others to operate an unregistered money transmission business in the Southern District of California. Gonzalez and his co-conspirators accepted and deposited cash throughout the United States, wire transferred the cash deposits throughout the United States, and ultimately transferred the funds to Mexico.
For example, Gonzalez and co-conspirators opened approximately 11 bank accounts for “shell” corporations in the Southern District of California. From just October 1, 2018 to May 2, 2019, no less than $5,052,037 in U.S. currency, checks, and money orders were deposited into the “shell” accounts at bank branches and ATMs throughout the United States.
About 95 percent of the funds were transferred to Mexico-based bank accounts. The co-conspirators charged a money transmission fee or commission. The purpose of this scheme was to evade domestic and foreign laws regarding money transfer and reporting.
According to his plea agreement, Gonzalez prepared 12 false corporation income tax returns for 10 of the “shell” corporations. In total, Gonzalez created $19,615,192 in bogus deductions that nearly ‘zeroed’ out the corporations’ gross receipts. One egregious example was a fraudulent 2017 corporate income tax return that Gonzalez prepared for Jeva International, Inc. Per the income tax return Gonzalez prepared and filed with the IRS, Jeva reported gross receipts of $3,092,253 and listed a false deduction of $3,053,359 for legal and professional outside services.
In addition, in the spring of 2019, an Internal Revenue Service Criminal Investigation undercover operation was conducted at Gonzalez’s office. Gonzalez was recorded explaining to the undercover officer how he was taking discrete steps to fraudulently reduce the undercover officer’s taxable income.
“No matter the sophisticated means a criminal organization uses to evade laws governing the international transfer of money, federal law enforcement will follow the money back to the criminal mastermind,” U.S. Attorney Randy Grossman said.
“We will not hesitate to prosecute that organization’s criminal enablers, including professional tax preparers who unlawfully assist these schemes.” Grossman thanked the prosecution team and agents from IRS Criminal Investigation, the Federal Deposit Insurance Corporation, Office of Inspector General (FDIC-OIG), and the San Diego Police Department for their excellent work on this case.
“Tax preparers like Gonzalez, who use their knowledge and profession to aid in the execution of money laundering schemes, will be held accountable,” stated Special Agent in Charge Tyler Hatcher of the IRS Criminal Investigation’s Los Angeles Field Office. “Today’s sentencing shows our commitment to unraveling complex financial transactions and holding professionals responsible for their role in these schemes.”
This case is the result of ongoing efforts by the Financial Investigations and Border Crimes Task Force, a partnership targeting unlawful transactions through the financial system. The task force brings together the combined expertise of federal, state, and local law enforcement.
DEFENDANTS Case Number 22-cr-01472-W
Jose Luis Gonzalez 50 Chula Vista, California
SUMMARY OF CHARGES
Operation of an Unlicensed Money Transmitting Business—Title 18, U.S.C., Section 1960
Aiding and Assisting in the Preparation of False Income Tax Returns – Title 16, U.S.C., Section 7206(2)
Criminal Forfeiture—Title 18, U.S.C., Section 982(a)
Maximum Penalty: Five years in prison, $250,000 fine
INVESTIGATING AGENCIES
Internal Revenue Service
Federal Deposit Insurance Corporation, Office of Inspector General
San Diego Police Department
Saint Paul Man Pleads Guilty to Illegal Possession of a FirearmRead the Press Release
ST PAUL, Minn. – A Saint Paul man has pleaded guilty to possessing a firearm as a felon, announced U.S. Attorney Andrew M. Luger.
According to the defendant’s guilty plea and court documents, on July 28, 2022, Marquese Lamont Redmon, 28, was in possession of a 9mm Smith & Wesson semi-automatic pistol with an extended drum magazine loaded with 43 bullets. Officers with the Minneapolis Police Department responded to a report of shots fired near the downtown Minneapolis intersection of 1st Avenue North and 4th Street North. Police reviewed surveillance footage before and after the reported gunfire and observed Redmon holding the firearm before and after the incident. The surveillance footage also showed Redmon exiting an SUV after the reported gunfire, being handed the gun from the driver of the SUV, after which Redmon ran a short distance away and discarded the gun. Because he has multiple prior felony convictions in Ramsey County, Redmon is prohibited under federal law from possessing firearms or ammunition at any time.
Redmon pleaded guilty yesterday in U.S. District Court before Judge Eric C. Tostrud to one count of felon in possession of a firearm. A sentencing hearing will be scheduled at a later time.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minneapolis Police Department.
Special Assistant U.S. Attorney Hillary A. Taylor is prosecuting the case.
Romanian Indicted on Immigration ViolationRead the Press Release
PITTSBURGH - A resident of Romania, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal immigration laws, United States Attorney Cindy K. Chung announced today.
The one-count Indictment named Huliu Rostas, 30, of Romania, as the sole defendant.
According to Indictment presented to the court, on or about Nov. 9, 2022, Rostas illegally reentered the United States of America as a previously removed Alien.
The law provides for a maximum total sentence of not more than two years in prison, a fine of not more than $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Katherine C. Jordan is prosecuting this case on behalf of the government.
The U.S. Immigration and Customs Enforcement and the Department of Homeland Security conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Recidivist Sex Offender Is Sentenced to 35 Years in Prison for Possession of Child PornographyRead the Press Release
CHARLOTTE, N.C. – Today, U.S. District Judge Frank D. Whitney sentenced Timothy Scott Pennington, 56, of Dallas, N.C., to 35 years in prison for possession of child pornography that involved a prepubescent minor, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Judge Whitney also ordered Pennington to serve a lifetime under court supervision upon completion of the prison term and to register as a sex offender.
Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Robert Schurmeier, Director of the North Carolina State Bureau of Investigation (SBI), join U.S. Attorney King in making today’s announcement.
“The sexual exploitation of children is a deplorable crime, and recidivist offenders who violate our nation’s child pornography laws will get the VIP treatment from federal prosecutors and our law enforcement partners. Pennington’s lengthy sentence is a testament to my office’s commitment to protect vulnerable children and bring to justice those who cause them harm,” said U.S. Attorney King.
“Protecting children from predators like Mr. Pennington it a top priority of HSI. As a repeat offender, this individual posed a serious threat to children in our community and, thanks to the teamwork of HSI, SBI and the U.S. Attorney’s Office, he is being held accountable for his criminal activity,” said HSI Special Agent in Charge Martinez.
“The work of the U.S. Attorney’s Office, HSI, and our agents on cases like this is why it is so important that we continue to work together to bring individuals who prey on the most vulnerable in our society, children, to justice,” said SBI Director Schurmeier.
According to filed court documents and today’s sentencing hearing, on June 1, 2021, acting on a cybertip submitted to the National Center for Missing and Exploited Children, law enforcement found several images of child pornography, including those involving a toddler, in Pennington’s Google account. Court documents show that Pennington is a recidivist sex offender with prior second degree sexual offense convictions in North Carolina. At the time of this offense, Pennington was serving a term of post-release supervision stemming from a North Carolina conviction for Felony Indecent Exposure. On June 2, 2021, federal, state and local law enforcement conducted a search at Pennington’s residence. According to court records, at that time, Pennington admitted to investigators to taking several of the child pornography images found by investigators, including images involving a toddler. In addition, over the course of the search, law enforcement seized two cell phones from Pennington. A forensic analysis of the devices revealed that Pennington possessed images and videos of child pornography, some of which depicted the sexual abuse of children. At today’s sentencing hearing, Judge Whitney applied a sentencing enhancement related to Pennington’s production of the child pornography.
In fashioning the sentence, Judge Whitney highlighted the defendant’s extensive criminal history of sexual offenses involving children and cited the need for specific deterrence, noting that the sentence would protect the public and send a message to the community that there are severe consequences for engaging in child exploitation.
On May 11, 2022, Pennington pleaded guilty to two counts of possession of child pornography that involved a prepubescent minor. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King commended the HSI and SBI for their investigation of the case and thanked the North Carolina Division of Adult Correction and Juvenile Justice and the Gaston County Sheriff’s Office for their invaluable assistance. U.S. Attorney King also thanked Gaston County District Attorney Travis Page for his office’s coordination and assistance in this case.
Assistant U.S. Attorney Mark T. Odulio of the U.S. Attorney’s Office in Charlotte prosecuted the case.
This case is part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Pottsville Man Sentenced to 60 Months’ Imprisonment for Drug Trafficking and Firearm OffensesRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on December 2, 2022, Casian Amir Jackson-Flowers, age 22, of Pottsville, Pennsylvania, was sentenced to 60 months’ imprisonment by United States District Court Judge Malachy E. Mannion for drug trafficking and firearm offenses.
According to United States Attorney Gerard M. Karam, Jackson-Flowers previously pleaded guilty to possessing with the intent to distribute over 50 grams and more of methamphetamine and 40 grams and more of fentanyl, as well as possessing a firearm with an obliterated serial number. On October 2, 2021, in Schuylkill County, Pennsylvania, Jackson-Flowers possessed approximately 158 grams of methamphetamine, 111 grams of fentanyl, and 53 grams of marijuana in a bookbag which he threw away while being chased by officers of the Pottsville Police Department. Jackson-Flowers also possessed a 9mm Ruger P89 pistol with an obliterated serial number which was recovered in a backyard near where he was observed fleeing from the police.
The matter was investigated by the Federal Bureau of Investigation (FBI), the Schuylkill County District Attorney’s Office, and the Pottsville Police Department. Assistant United States Attorney James Buchanan 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.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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Ponzi Scheme Operators Are Sentenced to Prison for $4 Million Investment FraudRead the Press Release
CHARLOTTE, N.C. – The operators of a $4 million Ponzi scheme were sentenced to prison today, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Frank D. Whitney ordered Austin Delano Page, 27, of Grover, N.C., to serve 97 months in prison, followed by two years of supervised release. Brandon Alexander Teague, 27, of Belmont, N.C., was sentenced to 48 months in prison and two years of supervised release. The defendants were also ordered to pay restitution in the amount of more than $4.1 million.
North Carolina Secretary of State Elaine F. Marshall, Michael C. Scherck, Acting Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS), which oversees Charlotte, join U.S. Attorney King in making today’s announcement.
“The defendants orchestrated an elaborate investment fraud scheme that caused extensive financial harm to their unsuspecting victims, some of whom were at or near retirement age,” said U.S. Attorney King. “Working with our law enforcement counterparts we will continue to investigate and prosecute scoundrels who cheat and lie their way into their investors’ pockets, only to squander away their victims’ money.”
“People placed their faith as well as their funds with Mr. Page and Mr. Teague. That trust was repeatedly broken over the course of this scam as Page and Teague spun false promises and falsified documents to create a fiction of highly lucrative trading, at one point indicating a $16 million balance for a brokerage account that was in fact broke, with a balance of under $7. Calling our Securities Division would have revealed that neither Page nor Teague were registered to sell securities in North Carolina, and that should always send up a major red flag for anyone considering an investment,” said Secretary Marshall.
“The U.S. Postal Inspection Service has been at the forefront of protecting consumers from fraud schemes for many years,” said Inspector in Charge Coke. “The U.S. Postal Inspection Service is proud to work along our fellow law enforcement partners and hold accountable anyone who engages in this type of financial fraud scheme.”
According to filed documents and court hearings, from October 2020 to December 2021, Page, assisted by Teague, engaged in an investment scheme that defrauded hundreds of investors of more than $4 million. Court documents show that the defendants falsely represented to victims that Page and Teague were operating D&T Investment Group (D&T), a hedge fund in Kings Mountain, N.C., that invested in various securities, including stock of well-known companies like Apple. Contrary to representations made to victim investors, D&T was not a hedge fund and it did not hold any securities licenses or registrations. Also, Page and Teague were not licensed to sell securities and did not have a background associated with the sale of securities.
According to court documents, Page was largely responsible for the “trading” side of the D&T business while Teague was largely responsible for the “back office” side of the D&T business. Both Page and Teague, as well as other D&T employees, were involved in the solicitation of investors. Page and Teague had investors sign, among other documents, an investment contract with D&T. These documents contained false information, including that D&T would guarantee 100% of the investors’ initial investment, and that investors would receive 70% of the trading profits. In reality, the investors’ money was not guaranteed, and the purported profits investors received were Ponzi-style payments, whereby the defendants used new investors’ money to make payments to existing investors. To cover up the fraud, Page caused Teague to send victim investors monthly statements that reflected fictitious trading gains, which Page had falsely reported to Teague. When certain investors and D&T employees, including Teague, began to question the legitimacy of D&T’s operations, Page created fictitious screenshots of various financial accounts that reflected inflated D&T account balances.
In addition to using a portion of the funds to make Ponzi payments, the defendants spent a significant portion of the investors’ money to pay excessive salaries and other compensation to D&T employees, including to members of Page’s family. Page also used victims’ money to pay for personal expenses such as clothing, jewelry, travel, luxury car rentals, and entertainment.
On December 2, 2021, as the fraudulent scheme was collapsing, the defendants traveled to Italy. On the same day, Page informed D&T employees, who did not know that D&T was a fraud, that they would be closing the company. The defendants were arrested on New Year’s Eve at JFK Airport in New York upon their voluntary return to the United States.
On April 20, 2022, Page pleaded guilty to wire fraud and Teague to securities fraud. They are currently released on bond and will be ordered to report to the federal Bureau of Prisons to begin serving their prison sentences upon designation of a federal facility.
In making today’s announcement U.S. Attorney King thanked the Securities Division of the North Carolina Secretary of State, the FBI and USPIS for their investigation of the case.
Assistant U.S. Attorney Daniel Ryan of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Phoenix Man Sentenced to 120 Months for Child Exploitation OffensesRead the Press Release
TUCSON, Ariz. – Henry Salome Ramos, 38, of Phoenix, Arizona, was sentenced last week, by United States District Judge Jennifer G. Zipps to 120 months in prison for child exploitation offenses. Ramos previously pleaded guilty to Distribution and Possession of Child Pornography. Upon release, Ramos will be placed on lifetime supervised release with sex offender conditions and will be required to register as a sex offender.
The case against Ramos developed in March 2020, after United States Border Patrol agents encountered Robert Allen Yost smuggling undocumented non-citizens. A search of Yost’s phone revealed child exploitation content exchanged with Ramos. The investigation also revealed that Yost offered Ramos methamphetamine in exchange for sexual access to a child. The intended sexual activity with the child did not take place due to intervening circumstances. Yost was previously sentenced to 188 months in prison for his offenses.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Customs and Border Protection’s U.S. Border Patrol and Homeland Security Investigations conducted the investigation in this case. Assistant U.S. Attorneys Jared Kreamer Hope and Carin Duryee, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-20-02523-JGZ-JR
RELEASE NUMBER: 2022-221_Ramos# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/q
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Ohio man sentenced to more than 12 years for drug chargeRead the Press Release
WHEELING, WEST VIRGINIA – Reuben Jahmell Dauntez Donald, of Akron, Ohio, was sentenced today to 151 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.
Donald, 36, pleaded guilty in March 2022 to one count of “Distribution of Methamphetamine Within 1,000 Feet of a Protected Location.” Donald admitted to selling methamphetamine in October 2021 near Jensen Playground on Wheeling Island.
Assistant U.S. Attorney Shawn M. Adkins prosecuted the case on behalf of the government. The Ohio Valley Drug Task Force, a HIDTA-funded initiative, investigated.
U.S. District Judge John Preston Bailey presided.
Nine Florida Residents Arrested for Orchestrating $37 Million Health Care Fraud SchemeRead the Press Release
MIAMI – Nine Florida residents were arrested this morning by the Federal Bureau of Investigation (FBI) after being charged by a federal grand jury in Miami with health care fraud and conspiracy to commit health care fraud. The fraud scheme allegedly involved tens of millions of dollars in fraudulent health care billing by 30 South Florida physical therapy clinics.
According to allegations in three related indictments and statements by the government in federal court this afternoon, the defendants—Arisleidys Fernandez Delmas, 32; her mother Leidys Delmas Garcia, 51; her husband Pedro Hugo Prieto Garcia, 32; Daimara Borroto Garcia, 32; Elias Caises Maurino, 52; Yohana Iriza (a/k/a Yohana Lozada), 51; her ex-husband Gabriel Lozada, 50; their son Anthony Lozada, 23; and Julio Acosta Perez, 40—conspired to submit approximately $37 million in fraudulent health care claims to Blue Cross Blue Shield.
From approximately 2018 to present, the defendants allegedly paid kickbacks to beneficiaries of health insurance plans managed by Blue Cross. They offered these kickbacks to employees of JetBlue Airways, AT&T Inc., and TJX Companies Inc. to induce the beneficiaries to serve as patients at various South Florida physical therapy clinics. The defendants who owned the clinics then submitted fraudulent health insurance claims to Blue Cross for health care benefits that were medically unnecessary and not even provided.
These defendants also allegedly paid kickbacks and bribes to their co-defendants in return for referring additional Blue Cross beneficiaries to the physical therapy clinics so more fraudulent health care claims could be submitted. These defendants also allegedly paid licensed massage therapists—who also were arrested this morning—to act as “nominee owners” and operators of the physical therapy clinics. This allowed the leaders of the scheme to avoid various medical clinic licensing requirements and attempt to evade criminal prosecution.
The indictments charge each defendant with multiple counts of conspiracy to commit health care fraud and health care fraud. If convicted, each defendant faces up to 10 years in prison per count. A federal district judge will determine any sentence after considering U.S. Sentencing Guidelines and other statutory factors.
An indictment is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and acting Special Agent in Charge Robert M. DeWitt, FBI, Miami Field Office, announced the charges.
FBI, Miami Field Office, investigated the case. Assistant U.S. Attorneys Michael B. Homer and Will Rosenzweig are prosecuting it.
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 at http://pacer.flsd.uscourts.gov, under case numbers 22-cr-20560, 22-cr-20561, and 22-cr-20562.
New Kensington Man Pleads Guilty to Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH - A resident of New Kensington, Pennsylvania, pleaded guilty in federal court to charges of conspiracy to receive and distribute material depicting the sexual exploitation of a minor, as well as distribution and possession of material depicting the sexual exploitation of a minor, United States Attorney Cindy K. Chung announced today.
Robert Pacek, age 51, pleaded guilty to seven counts before United States District Court Judge William S. Stickman.
In connection with the guilty plea, the court was advised that Pacek distributed images containing child sexual abuse material to a website on the Tor network. After investigators obtained a search warrant for Pacek’s residence, they recovered 3,297 images and 119 videos containing child sexual abuse material on his cell phone.
Judge Stickman scheduled sentencing for April 11, 2023. The law provides for a term of imprisonment of not less than 15 years and not more than 40 years, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court ordered the defendant remain detained.
Assistant United States Attorney Karen Gal-Or is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the Indictment in this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Muscatine Woman Sentenced to Federal Prison for Drug Trafficking CrimesRead the Press Release
Davenport, IA – Susan Jean Stroughmatt, age 33, of Muscatine, was sentenced on December 5, 2022, to 96 months in prison for conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine. Following her imprisonment, Stroughmatt was ordered to serve five years of supervised release.
Law enforcement investigated Stroughmatt in 2021 for methamphetamine trafficking. Between November 2020 and January 2021, Stroughmatt had received and trafficked at least six pounds of methamphetamine from co-defendant Thomas Iverson, age 52, of Minnesota. In April 2021, Stroughmatt trafficked nearly three pounds of methamphetamine from a source in Cedar Rapids. In September and December 2021, law enforcement conducted two controlled buys of methamphetamine from Stroughmatt at her residence in Muscatine. Following the second controlled buy, law enforcement executed a search warrant at Stroughmatt’s residence, locating evidence of drug trafficking.
Iverson is scheduled to be sentenced on January 4, 2023.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Muscatine County Drug Task Force investigated the case.
Moundsville woman sentenced for methamphetamine chargeRead the Press Release
WHEELING, WEST VIRGINIA – Loretta Jean Minor, of Moundsville, West Virginia, was sentenced today to 46 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.
Minor, 44, pleaded guilty in July 2022 to one count of “Possession with Intent to Distribute Methamphetamine.” Minor admitted to having methamphetamine in January 2022 in Marshall County.
Assistant U.S. Attorney Clayton J. Reid prosecuted the case on behalf of the government. The Marshall County Drug Task Force, a HIDTA-funded initiative, investigated.
U.S. District Judge John Preston Bailey presided.
Morgantown man charged with bank fraud, identity theftRead the Press Release
WHEELING, WEST VIRGINIA – A Morgantown man is accused of stealing nearly a half a million dollars in a scheme involving the forgery of checks that belonged to a relative.
United States Attorney William Ihlenfeld announced that Jaynesh Umesh Patel, 40, was indicted today on charges of bank fraud and aggravated identity theft. Patel is accused of using the identity of a relative to create fraudulent bank accounts and then forging checks to be deposited. The total amount of fraud alleged is more than $450,000.
The conduct occurred from June 2019 until October 2022 in Harrison, Marion, and Monongalia Counties.
“Sadly, those who engage in white-collar crime are often related to their victims, and that is the case here,” said United States Attorney Ihlenfeld. “We will continue to make sure offenders are held to account and do everything within our power to recover the amount lost.”
Patel faces up to 30 years of incarceration and a fine of up to $1 million for each of the three counts of bank fraud and faces up to two years of incarceration for each of the two counts of aggravated identity theft. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. The FBI investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Monmouth County Man Admits Producing Child PornographyRead the Press Release
TRENTON, N.J. – A Monmouth County, New Jersey, man today admitted producing multiple videos depicting him sexually assaulting a minor, U.S. Attorney Philip R. Sellinger announced.
Christian Importuna, 27, of Englishtown, New Jersey, pleaded guilty by videoconference before U.S. District Judge Peter G. Sheridan to one count of an indictment charging him with production of child pornography.
According to documents filed in this case and statements made in court:
In March 2020, Importuna produced at least two videos that showed him sexually assaulting a pre-pubescent female child. The videos came to the attention of law enforcement on March 24, 2020, when Importuna attempted to trade images of child pornography with an undercover law enforcement official on an internet-based application. Law enforcement officials initially linked the videos to Importuna through business records indicating that they were sent from his Englishtown residence. The investigation further linked Importuna to the production of the images through physical identifiers that were visible in the subject videos.
The charge of production of child pornography, carries a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. Sentencing is scheduled for April 17, 2023.
U.S. Attorney Sellinger credited special agents the FBI Newark Child Exploitation and Human Trafficking Task force, under the direction of Special Agent in Charge James E. Dennehy, with the investigation leading to today’s guilty plea.
The government is represented by Assistant United States Attorney Shawn Barnes of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Carol Dominguez Esq., Assistant Federal Public Defender, Newark
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being Twice DeportedRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to two months in federal prison.
Odon Mora-Maldonado, age 25,a citizen of Mexico illegally present in the United States and residing in Howard County, Iowa, received the prison term after an October 17, 2022 guilty plea to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Mora-Maldonado admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Mora-Maldonado was deported in December 2017 after being found in Atlanta, Georgia, by law enforcement officers. He was also deported in April 2019 following his convictions in Georgia for driving under the influence in November 2018 and for battery-family violence,obstructing/hindering an emergency telephone call, and cruelty to a child less than 18 years of age in February 2019. On September 29, 2022, immigration officials learned Mora-Maldonado had illegally returned to the United States and found Mora-Maldonado at the Howard County, Iowa, jail following his arrest on state charges.
Mora-Maldonado was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Mora-Maldonado was sentenced to 61 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Mora-Maldonado is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-2056.
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McCurtain County Resident Pleads Guilty to Child Abuse in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced today that on Monday, December 5, 2022, Jory L. Bullard, of McCurtain County, Oklahoma entered a guilty plea to a Superseding Indictment charging him with one count of Child Abuse in Indian Country.
The defendant pled guilty to willfully and maliciously injuring an eleven-month-old child on June 18, 2019.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted the case because the victim is eligible for membership in a federally recognized Indian tribe and the crimes occurred in McCurtain County, within the boundaries of the Choctaw Nation Reservation and the Eastern District of Oklahoma.
The guilty plea was the result of an investigation by the Broken Bow Police Department and the Federal Bureau of Investigation.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma in Muskogee, presided over the defendant’s plea and ordered the completion of a presentence report. Sentencing will be scheduled in front of the Honorable Ronald A. White, U.S. District Court Judge, following completion of the report. Bullard was remanded to the custody of the United States Marshal pending the imposition of sentencing.
Assistant United States Attorneys Morgan Muzljakovich and Sarah McAmis represented the United States.
Maryland man sentenced for cocaine chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Otis Tillman, of Hagerstown, Maryland, was sentenced today to 20 months of incarceration for a cocaine charge, United States Attorney William Ihlenfeld announced.
Tillman, 51, pleaded guilty in August 2022 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Cocaine Base and Cocaine Hydrochloride.” Tillman admitted to working with others to sell cocaine base, also known as “crack,” and cocaine hydrochloride, also known as “coke,” from November 2020 to March 2021 in Berkeley County.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Federal Bureau of Investigation; U.S. Marshals Service; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the West Virginia Air National Guard; the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Drug Enforcement Administration; and the Washington County Narcotics Task Force.
U.S. District Judge Gina M. Groh presided.
Man with Illegal Machine Gun, Apprehended After High-Speed Chase, Sentenced to 48 Months of ImprisonmentRead the Press Release
GREENSBORO – A Jacksonville, Florida man was sentenced today in federal court in Greensboro for possessing an illegal machine gun, announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina.
Caleb Kenyetta SHEFFIELD, age 20, was sentenced to a 48-month term of imprisonment by United States District Judge William L. Osteen, Jr. In addition to prison time, SHEFFIELD was ordered to serve three years of supervised release. On August 11, 2022, following a four-day trial, the jury found SHEFFIELD guilty of two counts relating to his possession of an unregistered machinegun, that is, a Glock Model 17 9mm caliber pistol, equipped with a switch that turns it into a fully automatic weapon, in violation of Title 26, United States Code, Section 5861(d), and Title 18, United States Code, Section 922(o).
According to court documents and evidence at trial and sentencing, the case began on July 3, 2021, when a North Carolina State Highway Patrol officer initiated a traffic stop on a Hyundai traveling 91-mph in a 65-mph zone on US Hwy 64 near Pittsboro. In response to the lights and sirens, the Hyundai stopped in the left lane of traffic and did not pull off the roadway. The Trooper got out of his marked car and started to walk to the driver’s side when the Hyundai suddenly pulled off. The Trooper got back into his car and pursued the Hyundai, which led police on a chase reaching speeds of over 130 mph. The chase ended when the Hyundai spun out and all four men in the vehicle jumped and ran. Multiple agencies were involved in the manhunt and SHEFFIELD was arrested the following day.
In the abandoned car, law enforcement found four firearms including one machine gun, over 120 rounds of ammunition, black ski masks, and a ballistic vest. SHEFFIELD posted a rap video to YouTube 13 days before the incident in which he rapped about putting a switch on a Glock. SHEFFIELD was associated with the Ace’s Top Killers (“ATK”) gang from Jacksonville, Florida. ATK is named after rapper Yungeen Ace. ATK. ATK was in a public feud with the Kill Them All (“KTA”) gang also from Jacksonville, Florida. Another rapper, Julio Foolio, was associated with the KTA gang. Both Julio Foolio and Yungeen Ace were set to perform in North Carolina over the Fourth of July weekend.
Another occupant of the car, Adrian Lowery, pled guilty to felon in possession of a firearm and was sentenced November 16, 2022, to a term of 71 months in prison.
Law enforcement agencies participating in the investigation included the Bureau of Alcohol, Tobacco, Firearms, and Explosives, North Carolina State Highway Patrol, Chatham County Sheriff's Office, North Carolina Department of Public Safety, Special Operations and Intelligence Unit, Fayetteville Police Department, and Cary Police Department. The criminal case was prosecuted by Assistant United States Attorneys Nicole DuPré and Ashley Waid.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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KC Felon Indicted for Shooting at Officer, Illegal Firearms, Meth TraffickingRead the Press Release
SPRINGFIELD, Mo. – A Kansas City, Mo., man who fired an assault rifle at law enforcement officers before leading officers on high-speed pursuits in three different vehicles was indicted by a federal grand jury today for illegally possessing firearms and methamphetamine.
Brenton Ross, 32, was charged in a three-count indictment returned by a federal grand jury in Springfield.
Today’s indictment charges Ross with one count of possessing methamphetamine to distribute, one count of discharging a firearm during a drug-trafficking offense, and one count of being a felon in possession of firearms.
Ross was arrested on Oct. 15, 2022, after being pursued in several different vehicles and shooting at law enforcement officers.
Ross allegedly was driving a white 2021 Dodge Challenger with California license plates when a Barton County, Mo., sheriff’s deputy attempted to stop him for leaving the scene of an accident that occurred in Vernon County, Mo. Ross fled at speeds exceeding 130 miles per hour before stopping his vehicle on Interstate 49 in Vernon County. Ross allegedly fired multiple shots at the sheriff’s deputy with a Great Lakes Firearm & Ammunition .223-caliber rifle, hitting the deputy’s vehicle several times. Ross then fled on foot.
Law enforcement officers in Vernon County later attempted again to stop Ross, who was driving a stolen Chevrolet Suburban. Officers pursued Ross at speeds exceeding 100 miles per hour in a construction zone until he drove off-road and evaded capture.
Ross led officers on another high-speed chase later the same day, while driving a stolen flatbed pickup truck. Ross allegedly drove the truck into law enforcement vehicles. The Missouri State Highway Patrol’s air unit followed Ross as he fled on foot until he was apprehended by law enforcement.
Officers searched the Challenger and found a stolen Smith & Wesson 9mm semi-automatic pistol, multiple spent .223-caliber rifle shells, and methamphetamine. Officers found the assault rifle near another vehicle used by Ross during the pursuit.
Under federal law, it is illegal for anyone who is convicted of a felony to be in possession of any firearm or ammunition. Ross has two prior felony convictions for stealing a motor vehicle and two prior felony convictions for tampering with a motor vehicle, as well as prior felony convictions for possessing an illegal weapon, possessing a controlled substance, property damage, statutory rape, assault on a law enforcement officer, resisting arrest, and being a felon in possession of a firearm. Ross was on supervision with the Missouri Board of Probation & Parole at the time of this incident.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Anthony M. Brown. It was investigated by the Missouri State Highway Patrol, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Barton County, Mo., Sheriff’s Department, the Vernon County, Mo., Sheriff’s Department, the Cedar County, Mo., Sheriff’s Department, and the Vernon County, Mo., Prosecuting Attorney.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Justice Department to Monitor Polls in Georgia for Compliance with Federal Voting Rights LawsRead the Press Release
The Justice Department announced today its plans to monitor compliance with federal voting rights laws in four counties in Georgia for the Dec. 6, 2022, federal general runoff election.
Since the passage of the Voting Rights Act in 1965, the Civil Rights Division has regularly monitored elections in the field in jurisdictions around the country to protect the rights of voters. The Civil Rights Division enforces the federal voting rights laws that protect the rights of all citizens to access the ballot.
For this election, the Civil Rights Division will monitor for compliance with the federal voting rights laws on Election Day in four jurisdictions: Cobb County, Fulton County, Gwinnett County and Macon-Bibb County. Monitors will include personnel from the Civil Rights Division and from the U.S. Attorneys’ Offices.
The Civil Rights Division’s Voting Section enforces the civil provisions of federal statutes that protect the right to vote, including the Voting Rights Act, the Uniformed and Overseas Citizens Absentee Voting Act, the National Voter Registration Act, the Help America Vote Act and the Civil Rights Acts.
Civil Rights Division personnel also will be available to receive complaints from the public related to possible violations of federal voting rights laws by a complaint form on the department’s website https://civilrights.justice.gov/ or by telephone toll-free at 800-253-3931.
Visit https://www.justice.gov/crt/voting-section for more information about the Voting Rights Act and other federal voting rights laws.
More information about the federal civil rights laws is available at the Civil Rights Division’s website at https://justice.gov/crt.
Jury Finds Washington, D.C. Man Guilty of Federal Firearms ChargeRead the Press Release
Defendant was Convicted of Illegal Possession of a Loaded Semi-Automatic Pistol By a Felon
WASHINGTON – Ronnard Williams, 30, of Washington, D.C., has been found guilty by a jury on a federal firearms charge, announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department (MPD).
Williams was found guilty by a jury yesterday of illegal possession of a weapon by a felon following a four-day trial in the U.S. District Court for the District of Columbia. The Honorable Jia M. Cobb scheduled sentencing for March 10, 2023.
On May 10, 2020, at approximately 11:05 p.m., officers of the Metropolitan Police Department patrolled the 2600 block of Birney Place in Southeast, Washington, D.C. Officers initiated a traffic stop of Williams’ vehicle. While conducting the stop, an officer observed a firearm in the rear passenger side of the vehicle, which was recovered and determined to be a Glock, Model 22, .40 caliber semi-automatic pistol, loaded with one round in the chamber and 12 rounds in the magazine. Williams had prior convictions, including for armed robbery.
Following his arrest in this case, Williams was placed on pre-trial release subject to various conditions. After a tamper alert on his monitoring device in November 2020, he did not return to Court until he was re-arrested in October 2021. He has been in custody ever since.
In announcing the verdict, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the case from the Metropolitan Police Department and the valuable assistance of the Federal Bureau of Investigation and United States Marshals Service in the course of the investigation. They also expressed appreciation for the work of those who prosecuted the case at the U.S. Attorney’s Office, including Assistant U.S. Attorneys Will Hart and Kimberly Paschall and Special Assistant U.S. Attorney Brian W. Lynch, as well as Paralegal Specialist Peter Gaboton.
Jupiter Shark Diving Crew Convicted for Stealing Fishing GearRead the Press Release
MIAMI – A boat crew offering tourists the opportunity to swim with sharks took a pause between dives to steal a commercial fishing gear set. Now the captain and mate each face up to five years in prison.
Convicted by a jury in West Palm Beach, Fla., for the theft of commercial fishing gear in federal waters, defendants John R. Moore Jr., 56, of West Palm Beach and Tanner J. Mansell, 29, of Jupiter, Fla., ran their business from Jupiter Inlet, Fla.
In August 2020 Moore and Mansell, both licensed by the U.S. Coast Guard to carry passengers for hire on uninspected vessels, operated a vessel with six tourists to swim with sharks in the federal waters off Jupiter Inlet. On this date they were carrying a police chief and his family, visiting tourists from the Midwest, and two other tourists. After their first dive of the day and enroute to a second dive spot, the crew saw a large orange buoy which was the marker for a commercial fishing gear set. That buoy was clearly marked with the vessel name as required by federal law. Video taken by the tourists clearly showed the markings.
Despite Moore’s history as a former commercial fisherman, he and Mansell told their passengers that this was an illegal, abandoned “ghost set” and duped the passengers into assisting in retrieving a lengthy section of the line. They released any catch on the hooks and stowed more than three miles of monofilament line, weights, gagnions, and the marker buoy on the deck of their boat. The passengers took videos and still photos which established that this activity extended for more than three hours and resulted in the loss of at least 19 sharks to the fishermen and vessel owner.
After engaging in the illegal conduct for approximately an hour and a half, Moore called state enforcement officers and gave an inaccurate statement of what was seen and found at the buoy site. He claimed he’d found an illegal shark fishing long-line and that he observed entangled lemon sharks, leading to his efforts to cut them free. He never mentioned that the line was attached to a properly marked buoy. The state officer advised Moore to cease his activities pending an investigation.
On the way to place the tourists ashore, Mansell hopped aboard a second outbound dive boat to act as a crewman. He took the fishing line with him and continued the illegal interference and theft of the commercial gear.
A Florida Fish & Wildlife Conservation Commission officer (FWC) observed Moore entering the Inlet and stopped the boat. On a video clip of that encounter, Moore explained that the line was a shark long-line set and asserted it was an illegal fishing operation. Photos and videos shot by the passengers over the lengthy period of criminal conduct showed the marked orange buoy repeatedly. However, when the FWC officer took his own photos of the line and gear on Moore’s vessel, the buoy which would have established the obvious legality of the shark fishing effort was gone. The officer also noted that all the gear retrieved by Moore and Mansell appeared brand new, with fresh bait on the hooks, and no rust as would be evident with abandoned fishing gear. Moore was advised to leave the gear on the dock as the officer would collect it later as evidence.
Despite directions from the FWC officer, Moore did not wait at the dock or secure the evidence. Instead, he scavenged the line for the hooks, attachments, and weights and allowed others on the dock to take the rest of the hardware connected to the main line. Moore and Mansell were present when the line was loaded into a cart and the cut-up line placed in a dumpster. The activity on the pier was captured by surveillance cameras.
Evidence at trial established that the gear alone cost the vessel owner approximately $1,300 and the value of the lost sharks amounted to several thousand dollars, which represented a significant portion of the income that would be paid to the fishermen.
In addition to potential prison time, Moore and Mansell may be fined up to $250,000. Additionally, they may be ordered to pay restitution to their victims.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and Manny Antonaras, Assistant Director of the National Oceanic & Atmospheric Administration’s (NOAA) Office of Law Enforcement (OLE), Southeast Division, made the announcement.
This case was investigated by NOAA-OLE, Southeast Division, with assistance from FWC. Assistant U.S. Attorney Thomas Watts-FitzGerald is prosecuting the case.
If you have any information regarding this investigation, or other wildlife crimes, you may contact the NOAA Office of Law Enforcement Hotline at (800) 853-1964 and the U.S. Fish & Wildlife Service at (800) 344-9453. Locally, environmental crimes, including wildlife violations and environmental justice matters may be reported to the U.S. Attorney’s Office at 305-961-9001 or [email protected].
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 at http://pacer.flsd.uscourts.gov,
Jackson Man Sentenced to Six Years in Federal Prison for Armed CarjackingRead the Press Release
Jackson, Miss. – A Jackson man was sentenced to 72 months in federal prison for armed carjacking, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
According to court documents, Anthony Lee Holder, 21, carjacked a victim at gunpoint on February 7, 2021 in Jackson. Holder pled guilty to the armed carjacking on August 29, 2022.
This case was investigated by the ATF and the Jackson Police Department.
Assistant United States Attorney Jessica S. Terrill 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.
Indictment Charges New Britain Man with Cocaine Trafficking and Gun Possession OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, today announced that a federal grand jury in Hartford has returned an indictment charging NERICK DIAZ-QUESADA, 24, of New Britain, with cocaine trafficking and firearm possession offenses.
The indictment was returned on November 21, 2022. Diaz-Quesada appeared today before U.S. Magistrate Judge Thomas O. Farrish in Hartford and pleaded not guilty to the charges. He has been detained since his arrest on November 10, 2022.
As alleged in court documents, on November 10, 2022, members of the DEA’s Hartford Task Force and New Britain Police Department executed a court-authorized search warrant at an apartment located on LaSalle Street in New Britain suspected of being used as a location to store, process and package narcotics for distribution. Diaz-Quesada was apprehended after he attempted to flee from investigators when they entered the apartment. A search of bedroom that Diaz-Quesada used revealed more than two kilograms of cocaine, a loaded Glock 9mm handgun, narcotics packaging materials, and a large amount of cash.
The indictment charges Diaz-Quesada with one count of possession with intent to distribute 500 grams or more of cocaine, an offense that carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40years, and one count of possession of a firearm in furtherance of drug trafficking activity, an offense that carries a mandatory consecutive term of imprisonment of at least five years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the DEA’s Hartford Task Force, which includes personnel from the DEA Hartford Resident Office, the Connecticut State Police, and the Bristol, Hartford, East Hartford, Enfield, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments.
This case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Indiana Man Sentenced to 211 Months in PrisonRead the Press Release
SOUTH BEND – Shane Smith, 35 years old, of Milford, Indiana was sentenced by United States District Court Judge Robert L Miller, Jr. on his plea of guilty to production of child pornography, announced United States Attorney Clifford D. Johnson.
Smith was sentenced to 211 months in prison followed by 5 years of supervised release.
According to documents in this case, Smith created fake social media accounts to befriend minors and persuade them to produce pornography to send him. The investigation revealed that Smith also possessed over 1,700 images and over 950 videos of child pornography on his electronic devices.
This case was investigated by the Federal Bureau of Investigation and the Indiana State Police Internet Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorney John M. Maciejczyk.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov .
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Guatemalan Man Sentenced to Prison for Illegally Reentering the United States After Being DeportedRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to over two months in federal prison.
Gaspar Cedillo-Cobo, age 23, a citizen of Guatemala illegally present in the United States and residing in Galena, Illinois, received the prison term after an October 11, 2022 guilty plea to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Cedillo-Cobo admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Cedillo-Cobo was deported in March 2018 following his conviction in the United States District Court for the Western District of Texas for illegal entry into the United States. On September 8, 2022, immigration officials learned Cedillo-Cobo had illegally returned to the United States and found Cedillo-Cobo at the Jones County, Iowa, jail following his arrest on state charges.
Cedillo-Cobo was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Cedillo-Cobo was sentenced to 75 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Cedillo-Cobo is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-79.
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Greenville Felon Convicted of Firearms and Drug Trafficking CrimesRead the Press Release
PITTSBURGH – Joshua Peters was convicted of firearm and drug trafficking crimes at the conclusion of a jury trial, United States Attorney Cindy K. Chung announced today.
Peters, age 37 of Greenville, Pennsylvania, was convicted of committing the following crimes on March 15, 2022: (1) possession of cocaine with intent to distribute, (2) possession of a firearm in furtherance of a drug trafficking crime, and (3) possession of a firearm and ammunition after a prior felony conviction.
The trial evidence demonstrated that Peters was distributing cocaine and fentanyl from a house in Greenville, Pennsylvania, earlier this year. The house was searched by the Mercer County Drug Task Force on March 15, 2022. Thirty-four grams of cocaine, six guns, and over $2,500 in cash were found inside the house.
Assistant United States Attorney Craig W. Haller and Special Assistant United States Attorney/Mercer County Assistant District Attorney Shane T. Crevar are prosecuting this case on behalf of the United States.
The Mercer County Drug Task Force, the Pennsylvania Office of Attorney General, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation leading to the convictions in this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Fourteen Gang Members and Associates from the Double Nine Grim Reapers Charged with Racketeering, Narcotics, and Firearms OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Michael J. Driscoll, the Assistant Director in Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing of a 15-Count Indictment charging 14 members of the Double Nine Grim Reapers Bloods Gang (the “Grimz”), including the gang’s top prison and street leaders, with committing various racketeering, narcotics, and firearms offenses. The case is assigned to U.S. District Judge Philip M. Halpern.
The Indictment charges several Grimz members and associates, including JEREMY WILLIAMS, a/k/a “Dubs,” and RANDY JONES, a/k/a “Nicklez,” two co-founders of the Grimz, with participating in a racketeering conspiracy. The Indictment also charges several Grimz members and associates with acts of violence. This includes JUSTICE JACKSON, a/k/a “Tweak,” TYRELL SIMON, a/k/a “Insane,” THOMAS RODRIGUEZ, a/k/a “Tom Tom,” and MARCUS CARDONA, a/k/a “D,” a/k/a “Honcho,” who are charged with the attempted murder and assault of a rival gang member in connection with a shooting that sent the rival gang member to the hospital with life-threatening injuries. JUSTICE JACKSON, a/k/a “Tweak,” and MARKELL WILLIAMS, a/k/a “15,” are also charged with an armed robbery of a drug dealer in which shots were fired and an individual was hit. In addition to serious acts of violence, the gang was also responsible for trafficking large amounts of narcotics across the City of Newburgh, New York, and New York State to enrich members of the gang.
U.S. Attorney Damian Williams said: “Today’s indictment against 14 members of the Grimz gang includes myriad charges of violence and drug trafficking that typically accompany gang activity and inflict harm in our communities. The charges brought today include two of the gang’s co-founders and are a significant step in the dismantling of this dangerous criminal organization.”
FBI Assistant Director in Charge Michael J. Driscoll said: “As alleged, the defendants conspired to use violence in order to further their narcotic-trafficking enterprise. Their cold-hearted actions and disregard for human life bring havoc and fear to the streets of our neighborhoods. The FBI’s Hudson Valley Safe Streets Task Force and our law enforcement partners work around the clock to keep our communities safe. Violent criminals who aim to bring mayhem to our communities will be made to face the consequences of their choices in the criminal justice system.”
As alleged in public court filings and the Indictment unsealed today in White Plains federal court:[1]
JEREMY WILLIAMS, a/k/a “Dubs,” RANDY JONES, a/k/a “Nickelz,” JAMES WHITE, a/k/a “Infared,” PAUL AYALA, a/k/a “Mikey,” MESSIAH JACKSON, a/k/a “Two,” JUSTICE JACKSON, a/k/a “Tweak,” OCTAVIOUS GRIFFIN, a/k/a “Tate,” MARKELL WILLIAMS, a/k/a “15,” TYRELL SIMON, a/k/a “Insane,” a/k/a “Rello,” JOSHUA HENDRICKS, a/k/a “Hendrix,” ELIJAH BRIGGS, a/k/a “Eli,” SHAMELL WILLIAMS, a/k/a “Mello Trend,” THOMAS RODRIGUEZ, a/k/a “Tom Tom,” a/k/a “Checks,” and MARCUS CARDONA, a/k/a “D,” a/k/a “Honcho,” are members and associates of a racketeering conspiracy known as the Grimz.
On November 3, 2020, JUSTICE JACKSON, a/k/a “Tweak,” TYRELL SIMON, a/k/a “Insane,” THOMAS RODRIGUEZ, a/k/a “Tom Tom,” and MARCUS CARDONA, a/k/a “D,” a/k/a “Honcho,” for the purpose of maintaining and increasing their positions in the Grimz, attempted to murder and assaulted with a dangerous weapon a rival gang member and discharged a firearm in connection with that offense in the City of Newburgh, New York.
On November 10, 2020, JUSTICE JACKSON, a/k/a “Tweak,” and MARKELL WILLIAMS, a/k/a “15,” committed a gunpoint robbery of a rival drug dealer and discharged a firearm in connection with that offense in the City of Newburgh, New York.
In 2019, OCTAVIOUS GRIFFIN, a/k/a “Tate,” committed a gunpoint robbery of a rival drug dealer and brandished a firearm in connection with that offense in the City of Newburgh, New York.
On January 18, 2020, MESSIAH JACKSON, a/k/a “Two,” committed a gunpoint robbery of a rival drug dealer and brandished a firearm in connection with that offense in the City of Newburgh, New York.
On September 15, 2021, MARKELL WILLIAMS, a/k/a “15,” committed a gunpoint robbery of a rival drug dealer and brandished a firearm in connection with that offense in the City of Newburgh, New York
On October 31, 2021, JUSTICE JACKSON, a/k/a “Tweak,” TYRELL SIMON, a/k/a “Insane,” a/k/a “Rello,” and SHAMELL WILLIAMS, a/k/a “Mello Trend,” committed a gunpoint robbery of a rival drug dealer and brandished a firearm in connection with that offense in the City of Newburgh, New York.
From at least 2018 to the present, JEREMY WILLIAMS, a/k/a “Dubs,” JAMES WHITE, a/k/a “Infared,” PAUL AYALA, a/k/a “Mikey,” MESSIAH JACKSON, a/k/a “Two,” JUSTICE JACKSON, a/k/a “Tweak,” OCTAVIOUS GRIFFIN, a/k/a “Tate,” MARKELL WILLIAMS, a/k/a “15,” TYRELL SIMON, a/k/a “Insane,” a/k/a “Rello,” JOSHUA HENDRICKS, a/k/a “Hendrix,” ELIJAH BRIGGS, a/k/a “Eli,” SHAMELL WILLIAMS, a/k/a “Mello Trend,” THOMAS RODRIGUEZ, a/k/a “Tom Tom,” a/k/a “Checks,” and MARCUS CARDONA, a/k/a “D,” a/k/a “Honcho,” participated in a conspiracy to distribute a substantial among of narcotics, including crack cocaine, heroin, Oxycodone, marijuana, and synthetic cannabinoids, commonly known as “K2.” These individuals also possessed numerous firearms in connection with this narcotics conspiracy.
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JEREMY WILLIAMS, 33, JONES, 34, AYALA, 30, SHAMELL WILLIAMS, 29, and RODRIGUEZ, 31, were all arrested yesterday and today and will be presented today before United States Magistrate Judge Paul E. Davison. WHITE, 43, MESSIAH JACKSON, 22, JUSTICE JACKSON, 20, GRIFFIN, 35, MARKELL WILLIAMS 21, SIMON, 21, and HENDRICKS, 22, are already in custody on other charges. BRIGGS, 25, and CARDONA, 24, have not been arrested at this time.
A chart containing the names, charges, and minimum and maximum penalties for the defendants is set forth below. The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FBI’s Hudson Valley Safe Streets Task Force, New York State Police, Town of New Windsor Police Department, Orange County Sheriff’s Office, City of Newburgh Police Department, Town of Newburgh Police Department, and Nassau County Sheriff’s Office. Mr. Williams also thanked the FBI’s Westchester County Safe Streets Task Force, the New York City Department of Correction, Correction Intelligence Bureau, Department of Labor – Office of Inspector General, the Poughkeepsie Police Department, and the New York City Police Department for their assistance in the investigation.
This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Jennifer N. Ong, Nicholas S. Bradley, and Ryan W. Allison are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
DEFENDANT(S)
MIN. AND MAX. TERM OF IMPRISONMENT
Count One: Conspiracy to Commit Racketeering
JEREMY WILLIAMS
RANDY JONES
JAMES WHITE
PAUL AYALA
MESSIAH JACKSON
JUSTICE JACKSON
OCTAVIOUS GRIFFIN
MARKELL WILLIAMS
TYRELL SIMON
JOSHUA HENDRICKS
ELIJAH BRIGGS
SHAMEL WILLIAMS
THOMAS RODRIGUEZ
MARCUS CARDONA
20 years in prison
Count Two: Attempted Murder and Assault with a Dangerous Weapon in Aid of Racketeering
JUSTICE JACKSON
TYRELL SIMON
THOMAS RODRIGUEZ
MARCUS CARDONA
20 years in prison
Count Three: Possession and Discharge of a Firearm in Furtherance of a Crime of Violence
JUSTICE JACKSON
TYRELL SIMON
THOMAS RODRIGUEZ
MARCUS CARDONA
Life in prison; Mandatory minimum of 10 years in prison to run consecutive to any other sentence imposed
Count Four: Hobbs Act Robbery
JUSTICE JACKSON MARKELL WILLIAMS
20 years in prison
Count Five: Possession and Brandish of a Firearm in Furtherance of a Crime of Violence
JUSTICE JACKSON MARKELL WILLIAMS
Life in prison; Mandatory minimum of seven years in prison to run consecutive to any other sentence imposed
Count Six: Hobbs Act Robbery
OCTAVIOUS GRIFFIN
20 years in prison
Count Seven: Possession and Brandish of a Firearm in Furtherance of a Crime of Violence
OCTAVIOUS GRIFFIN
Life in prison; Mandatory minimum of seven years in prison to run consecutive to any other sentence imposed
Count Eight: Hobbs Act Robbery
MESSIAH JACKSON
20 years in prison
Count Nine: Possession and Brandish of a Firearm in Furtherance of a Crime of Violence
MESSIAH JACKSON
Life in prison; Mandatory minimum of seven years in prison to run consecutive to any other sentence imposed
Count Ten: Hobbs Act Robbery
MARKELL WILLIAMS
20 years in prison
Count Eleven: Possession and Brandish of a Firearm in Furtherance of a Crime of Violence
MARKELL WILLIAMS
Life in prison; Mandatory minimum of seven years in prison to run consecutive to any other sentence imposed
Count Twelve: Hobbs Act Robbery
JUSTICE JACKSON TYRELL SIMON SHAMELL WILLIAMS
20 years in prison
Count Thirteen: Possession and Brandish of a Firearm in Furtherance of a Crime of Violence
JUSTICE JACKSON TYRELL SIMON SHAMELL WILLIAMS
Life in prison; Mandatory minimum of seven years in prison to run consecutive to any other sentence imposed
Count Fourteen: Conspiracy to Distribute Controlled Substances
JEREMY WILLIAMS
JAMES WHITE
PAUL AYALA
MESSIAH JACKSON
JUSTICE JACKSON
OCTAVIOUS GRIFFIN
MARKELL WILLIAMS
TYRELL SIMON
JOSHUA HENDRICKS
ELIJAH BRIGGS
SHAMEL WILLIAMS
THOMAS RODRIGUEZ
MARCUS CARDONA
Life in prison; Mandatory minimum of 10 years in prison
Count Fifteen: Possession of a Firearm in Furtherance of a Drug Trafficking Crime
JEREMY WILLIAMS
JAMES WHITE
PAUL AYALA
MESSIAH JACKSON
JUSTICE JACKSON
OCTAVIOUS GRIFFIN
MARKELL WILLIAMS
TYRELL SIMON
JOSHUA HENDRICKS
ELIJAH BRIGGS
SHAMEL WILLIAMS
THOMAS RODRIGUEZ
MARCUS CARDONA
Life in prison; Mandatory minimum of five years in prison to run consecutive to any other sentence imposed
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Former Muncie Police Officer Pleads Guilty to Eleven Civil Rights and Obstruction Offenses for Assaulting Arrestees and Writing False ReportsRead the Press Release
INDIANAPOLIS – Chase Winkle, 35, a former officer with the Muncie Police Department, in Muncie, Indiana, pleaded guilty today to eleven civil rights and obstruction charges. Specifically, Winkle pleaded guilty to five federal civil rights offenses for assaulting arrestees, and to six obstruction offenses for writing false reports to cover up the results.
According to court documents and statements made during the change of plea hearing, on or about August 9, 2018, Winkle and another officer arrested a civilian identified as L.G. As L.G. was lying on the ground, with the other officer holding both of L.G.’s hands behind his back, L.G. directed a verbal insult towards the officers. In response to the insult, Officer Winkle, using his knee, dropped his full bodyweight down onto L.G.’s neck and head area. L.G. screamed out in pain and yelled that Winkle had crushed his face. A few moments later, Winkle deployed taser prongs into L.G.’s back and activated the taser. Officer Winkle’s use of force caused severe bodily injury to L.G., multiple facial fractures that required surgery. Following the incident, Winkle wrote a false report about what happened.
“Today’s guilty pleas are an important step forward as we seek justice for the victims in this case,” said U.S. Attorney Zachary A. Myers for the Southern District of Indiana. “Our office, the Department of Justice and our federal partners are firmly committed to holding law enforcement officers accountable when they violate their oaths and the civil rights of the people they were sworn to protect.”
“Officer Winkle, the son of the former Chief of Police, confessed to repeated uses of excessive force and obstruction of justice,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant’s misconduct injured his victims and undermined the police department’s credibility with the community. We hope that this guilty plea sends a message that neither a badge nor familial connections will shield an officer from facing justice for his wrongdoing.”
On or about June 5, 2018, Winkle participated in the arrest of two then-juveniles, N.B. and R.F. The incident began when MPD officers attempted to initiate a traffic stop of a car, but the driver did not initially stop and instead drove away from the officers. The occupants – including N.B. and R.F. – eventually jumped out of the car and ran from officers on foot. Officer Winkle and another then-MPD officer, Dalton Kurtz, engaged in a short foot chase of N.B., who eventually lay down in a yard. Kurtz found N.B, alerted Officer Winkle, and aimed his firearm and a flashlight at N.B., who was lying on his stomach with his arms extended in front of him and his hands visible and open. As N.B. lay on the ground, with his hands extended in front of him, Officer Winkle ran towards N.B. and kicked him in the head. Winkle then positioned himself near N.B.’s shoulder and delivered approximately two closed fist strikes to the back or side of N.B.’s head, and two open hand strikes to N.B.’s face. Shortly after N.B.’s arrest, Officer Winkle found R.F. in a nearby garage. Winkle ordered R.F. to show his hands and R.F. complied, holding both hands above his head. As another officer began to handcuff R.F., Officer Winkle walked up and slapped R.F. in the face. Following the incident, Officer Winkle authored a false report regarding the arrests of both N.B. and R.F.
On or about March 27, 2018, Winkle and another MPD officer responded to a call involving a complaint against a civilian, I.P. When the officers found I.P. in an alleyway, I.P. stood up and immediately put his hands up in the air with his palms open, in a position indicating surrender. Winkle ordered I.P. to get down to the ground, and I.P., with his hands in the air, began to get down to the ground. As I.P. began to lower himself to the ground, Officer Winkle kicked him in the abdomen/hip area, causing him to fall backwards into a chain link fence behind him. As I.P. tried to steady himself against the fence, Winkle delivered a second kick directly to I.P.’s head, knocking I.P. unconscious. Shortly after the arrest, Winkle wrote a false report about the incident.
On or about May 22, 2018, Officer Winkle authored a false report about the arrest of an individual identified as D.E. During the arrest, Winkle placed D.E. in handcuffs, and then struck and used a pain compliance technique on him.
On or about February 17, 2019, Officer Winkle responded to the scene of a traffic stop, and he and another officer ordered the passenger, B.B. out of the car. B.B. complied and stepped out of the car but was caught in the seatbelt. As B.B. started to pull the seatbelt off of his body, Winkle punched B.B. in the face, and officers took B.B. to the ground. After a short scuffle, B.B. was handcuffed, after which Winkle used four knee strikes to B.B.’s torso area. Officer Winkle later wrote a false report regarding the arrest.
Finally, on or about May 13, 2019, another former MPD officer, Jeremy Gibson initiated a traffic stop of a car because one of the car’s headlights was out. When the driver stepped out of the car, Gibson attempted to physically take him to the ground, and punched him several times with a closed fist in the process. As other officers attempted to secure E.M., Officer Winkle used a knee strike to the left side of E.M.’s head or upper body. Gibson delivered a knee strike to the right of E.M.’s head, causing his head to swing to the left, back toward Winkle, and Winkle delivered another knee strike to the left side of E.M.’s head. Following the arrest, Officer Winkle wrote a false report about the incident.
Winkle admitted that he knew at the time of the incidents that his uses of force against the arrestees were unjustified and unreasonable under the circumstances. He further admitted that he wrote false reports about what happened, including making false statements and material omissions, in order to influence any potential investigations into the incidents.
Winkle is one of four Muncie Police Department officers who were indicted in April 2021 in a 17-count superseding indictment for their roles in using excessive force against arrestees and/or attempting to cover up the misconduct. A fifth Muncie police officer, Dalton Kurtz, previously entered a pre-indictment guilty plea on August 4, 2021, to one count of misprision of felony for concealing and failing to report inappropriate use of force by Officer Winkle during the arrest of N.B. On May 13, 2022, Officer Jeremy Gibson also pleaded guilty to civil rights and obstruction charges for assaulting E.M. and writing a false report about the incident. The remaining two officers are scheduled to stand trial in January 2023 and are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney Zachary A. Myers for the Southern District of Indiana, Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, and FBI Indianapolis Special Agent in Charge Herbert J. Stapleton made the announcement.
The FBI conducted the investigation.
U.S. Attorney Myers thanked Assistant U.S. Attorney Peter Blackett for the Southern District of Indiana and Trial Attorneys Katherine G. DeVar and Mary J. Hahn of the Civil Rights Division who are prosecuting the case.
Former Malden Firefighter Sentenced for Distributing Controlled SubstancesRead the Press Release
BOSTON – A former Malden firefighter was sentenced yesterday in federal court in Boston for conspiring to distribute controlled substances including oxycodone, suboxone, Klonopin and Adderall.
Joshua Eisnor, 43, of North Reading, was sentenced by U.S. District Court Judge Leo T. Sorokin to five years of probation. Eisnor was also ordered to pay a $2,000 fine and forfeiture of $900. On June 23, 2022, Eisnor pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute controlled substances.
While working as a firefighter at the Malden Fire Department, Eisnor distributed controlled substances to other members of the Malden Fire Department.
"Mr. Eisnor compromised the integrity, security and operations of the Malden Fire Department by distributing controlled substances. As a firefighter, Mr. Eisnor was responsible for protecting the Malden community. Instead, he dishonored his noble profession and sold drugs while on duty,” said United States Attorney Rachael S. Rollins. “His conduct also jeopardized the safety of his fellow firemen and women who – like the overwhelming majority of public servants – do their jobs with honor, dignity and controlled substance free.”
“It is dishonorable for a firefighter to break the law and breach the trust of his community that he took an oath to protect, but that is exactly what Joshua Eisnor did while dealing drugs on duty to his fellow firefighters, putting them, and the citizens of Malden, in potential danger,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “This case illustrates the FBI’s commitment to bringing to justice those who deliberately compromise the integrity of their position for their addictions.”
“Prescription drugs offered illegally have no guarantees of safety or efficacy and hold the potential to harm those who use them,” said Fernando McMillan, Special Agent in Charge of the Food and Drug Administration, Office of Criminal Investigations, New York Field Office. “We will continue to investigate and bring to justice those who put the health of the public at risk.”
U.S. Attorney Rollins, FBI SAC Bonavolonta, FSA-CI SAC McMillan and Christopher F. Algieri, Special Agent in Charge of the Department of Veterans Affairs Office of Inspector General’s Northeast Field Office made the announcement. Special assistance was provided by the Merrimack Valley Transnational Organized Crime Task Force. Assistant U.S. Attorneys Eugenia M. Carris, Deputy Chief of Rollins’ Public Corruption & Special Prosecutions Unit and Howard Locker of Rollins’ Health Care Fraud Unit prosecuted the case.
Former Gainesville Preschool Teacher Sentenced to 120 Years in Federal Prison for Production of Child PornographyRead the Press Release
GAINESVILLE, FLORIDA – Trevor Alec Hruby, 24, of Gainesville, Florida, was sentenced to 120 years in prison after pleading guilty to four counts of production of child pornography. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“There is no greater charge than the protection of our children,” said U.S. Attorney Coody. “This sentence is yet another example of the unwavering commitment to the protection of our most vulnerable and should serve as a significant deterrent to those who would attempt to harm them. We will continue to work tirelessly with our law enforcement partners to investigate and prosecute those who engage in such heinous conduct.”
Between December 2020 and September 2021, while employed at a local preschool and daycare center, Hruby sexually victimized and produced sexually explicit images of numerous children in his care. The images were found in Hruby’s possession and involved minors under the age of 6.
Chief Lonnie Scott of the Gainesville Police Department issued the following statement: “One of the primary responsibilities of law enforcement is to protect our most precious resources; our children. I offer my sincere gratitude and appreciation for the collaboration between the Gainesville Police Department, Federal Bureau of Investigation, and the United States Attorney’s Office in removing this threat from our community. Together, working with our community we will diligently pursue those that prey on our children and make sure they never have the opportunity to victimize another child.”
If released from imprisonment, Hruby will be supervised for the remainder of his life. He will be required to register as a sex offender and will be subject to all sex offender conditions. The Court also ordered $142,500 in restitution to provide for counseling to the victims in the case.
"Instead of protecting vulnerable children in our community, this defendant chose to abuse his position of authority and sexually exploit them," said Sherri E. Onks, Special Agent in Charge of the FBI Jacksonville Division. "Today's sentencing demonstrates the unwavering dedication of the FBI and our law enforcement partners to seek justice for our most innocent victims."
Hruby is also facing separate, related state charges which are being prosecuted by the State Attorney’s Office for 8th Judicial Circuit.
The case was investigated by the Gainesville Police Department and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney F.T. Williams.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Assistant Atlanta City Attorney and police officer charged in $7 million PPP fraud schemeRead the Press Release
ATLANTA - Shelitha Robertson, who formerly served as an Assistant City Attorney and a police officer for the City of Atlanta, has been indicted for an alleged scheme to defraud the Paycheck Protection Program (PPP), a federal stimulus program authorized as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
“Robertson allegedly stole millions of dollars in taxpayer money intended to help small businesses stay afloat during the pandemic,” said U.S. Attorney Ryan K. Buchanan. “CARES Act loans were designed to help sustain small businesses during the pandemic, not to serve as a source of personal enrichment. We will continue to vigorously investigate and prosecute anyone who fraudulently obtains these critical funds.”
“This indictment charges the defendant with defrauding a government stimulus program designed to help those most in need during the pandemic,” said Federal Deposit Insurance Corporation Inspector General Jay N. Lerner. “We will continue to work with U.S. Attorneys and our law enforcement partners to hold accountable individuals that aim to undermine the integrity of the banking sector. Trusted members of our communities, such as former law enforcement officers and public officials, should be held to the highest standards.”
“The Paycheck Protection Program was intended to help businesses keep their workforce employed during the COVID-19 crisis, not to fund a personal lifestyle,” said U.S. Small Business Administration Office of Inspector General Eastern Region Special Agent in Charge Amaleka McCall-Brathwaite. “OIG is committed to rooting out bad actors and protecting the integrity of SBA programs. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.”
“The Treasury Inspector General for Tax Administration aggressively pursues those who attempt to abuse the Coronavirus Aid, Relief, and Economic Security Act and its Paycheck Protection Program, which was created to assist legitimate business owners during the pandemic,” said J. Russell George, the Treasury Inspector General for Tax Administration. “We appreciate the efforts of our law enforcement partners and the U.S. Attorney’s Office to ensure individuals engaged in criminal activity are held to account.”
According to U.S. Attorney Buchanan, the charges, and other information presented in court: Shelitha Robertson and other co-conspirators allegedly submitted fraudulent PPP loan applications on behalf of various companies they owned and controlled. The indictment alleges that Robertson fraudulently obtained over $7 million in PPP loan funds, which was not used for payroll or other permitted business expenses. Robertson allegedly used loan proceeds to purchase luxury items, including a Rolls-Royce, a motorcycle, and jewelry, and to transfer funds to family members and co-conspirators.
Shelitha Robertson, 60, of Atlanta, is charged with conspiracy to commit wire fraud, wire fraud, and money laundering. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), the U.S. Small Business Administration Office of Inspector General (SBA-OIG), and Treasury Inspector General for Tax Administration (TIGTA).
Assistant U.S. Attorney Bernita Malloy, and Trial Attorney Ariel Glasner of the DOJ Criminal Division’s Fraud Section, are prosecuting the case.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 192 defendants in more than 121 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
In May 2021 the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Assistant Atlanta City Attorney and Police Officer Charged in $7 Million PPP Fraud SchemeRead the Press Release
A federal grand jury returned an indictment today charging a Georgia woman with a scheme to defraud the Paycheck Protection Program (PPP), a federal stimulus program authorized as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents, Shelitha Robertson, 60, of Atlanta, and other co-conspirators allegedly submitted fraudulent PPP loan applications on behalf of various companies they owned and controlled. The indictment alleges that Robertson fraudulently obtained over $7 million in PPP loan funds, which was not used for payroll or other permitted business expenses. Robertson allegedly used loan proceeds to purchase luxury items, including a Rolls-Royce, a motorcycle, and jewelry, and to transfer funds to family members and co-conspirators.
Robertson, who formerly served as an Assistant City Attorney and a police officer in Atlanta, is charged with conspiracy to commit wire fraud, wire fraud, and money laundering. If convicted, she faces a maximum penalty of 20 years in prison on each of the conspiracy and wire fraud charges, and a maximum penalty of 10 years in prison on the money laundering charge.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia, Inspector General Jay N. Lerner of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG), Inspector General Hannibal “Mike” Ware of the U.S. Small Business Administration Office of Inspector General (SBA-OIG), and Inspector General J. Russell George of the U.S. Treasury Inspector General for Tax Administration (TIGTA) made the announcement.
The FDIC-OIG, SBA-OIG, and TIGTA are investigating the case.
Trial Attorney Ariel Glasner of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Bernita Malloy for the Northern District of Georgia are prosecuting the case.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 192 defendants in more than 121 criminal cases and has seized over $78 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
In May 2021 the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ford County Man Sentenced to Twelve Years in Prison for Attempted KidnappingRead the Press Release
URBANA, Ill. – A Roberts, Illinois, man, Paul Theesfield, 38, of the 200 block of Maple Avenue, was sentenced on December 2, 2022, to twelve years of imprisonment for attempted kidnapping.
On July 6, 2022, Theesfield pleaded guilty before U.S. Magistrate Judge Eric I. Long to attempting to kidnap a woman in Gibson City, Illinois, on December 5, 2020. Around 2:30 p.m. that day, Theesfield drove his red SUV past the woman multiple times while she was walking near Wood Street and 12th Street. Theesfield then used the SUV to strike the woman from behind in an attempt to incapacitate her, put her in his SUV, and drive her out of town to sexually assault her. After striking her, Theesfield got out of the SUV and approached the woman, who recognized him and screamed. Theesfield then fled the scene and returned to his Roberts residence, where he and his red SUV were later found by a Ford County Deputy. After initially telling authorities he accidentally struck the woman, Theesfield admitted his kidnapping plan and was arrested. The Ford County Sheriff later seized handcuffs, wire rope chokers, zip ties, duct tape, an electric cattle prod, and other items from the Roberts Water House, where Theesfield was employed.
At the sentencing hearing, the government presented evidence that Theesfield committed a similar uncharged attempted kidnapping on September 25, 2009, in Champaign, Illinois. On that date, Theesfield struck a woman, who was walking in Champaign, with a vehicle and physically attacked her while trying to tie her up with a strap. The victim screamed and kicked him and eventually got free. Theesfield drove off and was not identified until the victim identified him after he was arrested for the 2020 incident. Each of Theesfield’s victims presented written statements during the sentencing hearing detailing the trauma caused by Theesfield’s conduct.
U.S. District Judge Colin S. Bruce rejected Theesfield’s request for a sentence of five years of imprisonment and imposed the government’s requested sentence of twelve years of imprisonment, to be followed by three years of supervised release. In doing so, Judge Bruce agreed with the government’s argument that a lengthy sentence was necessary to protect the public from further crimes by Theesfield. The statutory penalty for attempted kidnapping is up to twenty years of imprisonment and three years of supervised release.
The case investigation was conducted by the Federal Bureau of Investigation, Springfield Field Office; Ford County Sheriff’s Office; and Gibson City Police Department. Supervisory Assistant U.S. Attorney Eugene L. Miller represented the government in the prosecution.
Detroit Man Pleads Guilty in Multi-Drug Distribution ConspiracyRead the Press Release
PITTSBURGH - A resident of Detroit, Michigan pleaded guilty in federal court to charges of violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
Darryl Junior Ballard, age 27, pleaded guilty to two counts before United States District Judge David S. Cercone.
Ballard pleaded guilty to a lesser included offense at Count One of the Superseding Indictment, conspiracy to distribute and possess with intent to distribute 100 grams or more of a mixture and substance containing detectable amounts of heroin and fentanyl, and 28 grams or more of a mixture and substance containing cocaine base. Ballard also pleaded guilty to Count Two of the Superseding Indictment, charging him with distribution of a quantity of a mixture and substance containing a detectable amount of heroin.
In connection with the guilty plea, the Court was advised that in May of 2020, federal, state and local enforcement opened a joint investigation into a drug trafficking organization from Detroit, Michigan that was distributing controlled substances in and around Beaver County, Pennsylvania. Law enforcement identified the members of the conspiracy through the interception of members transporting controlled substances from Detroit into Beaver County, in addition to controlled purchase operations.
For example, on May 29, 2020, law enforcement utilized a confidential informant to purchase controlled substances from Ballard. The informant negotiated the purchase of heroin using a cellular phone and was directed to travel to an apartment in New Brighton to purchase the controlled substance. Upon entering the buy location, Ballard sold the informant heroin in exchange for pre-recorded funds. On June 5, 2020, law enforcement seized the same pre-recorded funds during the execution of a search warrant at an apartment used by members of the conspiracy.
In addition to this controlled purchase operation, law enforcement intercepted controlled substances transported by the conspirators on several occasions. For example, on Feb. 26, 2021, law enforcement conducted mobile physical surveillance on a vehicle entering Beaver County with co-defendant Devonte Amos and Ballard as passengers. When Amos and Ballard exited the vehicle in Beaver County, officers approached to question them. In response, Amos and Ballard both fled on foot. While fleeing, Amos threw a backpack containing approximately 170 net grams of a fentanyl/heroin mixture and 90 net grams of cocaine base.
Judge Cercone scheduled sentencing for April 4, 2023, at 1:00 p.m. The law provides for a total sentence of not less than five years and not more than 40 years in prison, a fine of $5,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued the defendant on bond.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
The Drug Enforcement Administration, Pennsylvania Office of the Attorney General, and Pennsylvania State Police conducted the investigation that led to the prosecution of Ballard.
Criminal charges unsealed against 12 individuals in wide-ranging scheme to monopolize transmigrante industry and extort competitors near U.S.-Mexico borderRead the Press Release
HOUSTON – The Department of Justice has announced the unsealing of an 11-count indictment charging 12 individuals in a long-running, multi-faceted conspiracy to monopolize the transmigrante forwarding industry in the Los Indios border region near Harlingen and Brownsville.
Transmigrantes are individuals who transport used vehicles and other goods from the United States through Mexico for resale in Central America. Transmigrante forwarding agencies are businesses that provide services to transmigrante clients, including helping those clients complete the customs paperwork required to export vehicles into Mexico.
According to the indictment, Carlos Favian Martinez, 36, Mission; Marco Antonio Medina, 32, Rigoberto Brown, 38, and Miguel Hipolito Caballero Aupart, 70, all of Brownsville; Pedro Antonio Calvillo Hernandez, 47, Tamaulipas, Mexico; Roberto Garcia Villareal, 56, San Benito; Sandra Guerra Medina, 68, Rancho Viejo; and Mireya Miranda, 56, La Feria, conspired to fix prices and allocate the market for transmigrante services in violation of Section 1 of the Sherman Act. They also allegedly conspired to monopolize the same market in violation of Section 2 of the Sherman Act. The indictment alleges they implemented price-fixing agreements and created a centralized entity known as “The Pool” to collect and divide revenues among the conspirators.
Transmigrante agency owners and industry participants who refused to charge the fixed prices, pay into the pool or pay an extortion tax were subjected to threats, intimidation and acts of violence against themselves and their families, employees, associates and businesses, according to the charges.
Martinez, Medina, Calvillo and Garcia, along with Diego Ceballos-Soto, 48, Matamoros, Mexico, and Carlos Yzaguirre, 63, Mission, were also charged with one count of conspiracy to interfere with commerce by extortion. The indictment alleges several violent acts perpetrated against transmigrante industry participants and individuals closely associated with them who disrupted the scheme or refused to pay the extortion fees. Martinez, Ceballos-Soto and Yzaguirre were also charged with one count of interference in commerce by extortion. They allegedly forced one transmigrante agency owner to pay more than $80,000 for operating outside of the Pool and failing to pay the extortion tax.
Finally, Martinez, Medina, Calvillo, Ceballos-Soto and Yzaguirre, along with Juan Hector Ramirez Avila, 32, and Jose de Jesus Tapia Fernandez, 44, both of Brownsville, were charged with money laundering conspiracy and substantive counts of money laundering related to the underlying scheme.
“The indictment charges that defendants monopolized an industry through horrific violence and threats of violence,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “The department will use all the tools at its disposal – including Section 2 of the Sherman Act – to target anticompetitive conduct that undermines our country’s economic vitality and freedom.”
“As alleged, this criminal organization committed heinous acts of violence against those who would not participate in its illegal activities,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Together with our partners, we are committed to dismantling violent enterprises that victimize individuals simply trying to earn an honest living.”
“The charges announced today demonstrate our office’s commitment to protecting Texans from violent crime and exploitive business practices,” said U.S. Attorney Jennifer Lowery. “Working with our partners across the government, we will continue to investigate and prosecute violent criminals who prey on our communities.”
“This case is further proof that organized crime is active and negatively impacting our communities,” said Acting Special Agent in Charge Craig Larrabee of Homeland Security Investigations (HSI) San Antonio. “These violent criminal organizations monopolized the transmigrante industry by using acts of violence, threats and even extortion. HSI employs a full range of law enforcement techniques and cross-border authorities to combat this egregious criminal activity. HSI and its law enforcement partners are committed to dismantling organized crime by eliminating their corrupt influence in our communities and protecting our nation’s borders.”
“Today’s actions are the result of the FBI’s continued collaborative efforts with our law enforcement partners in this important investigation,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “The FBI remains dedicated to protecting American communities from threats of violence and economic crime.”
HSI and the FBI are investigating the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Criminal Charges Unsealed Against 12 Individuals in Wide-Ranging Scheme to Monopolize Transmigrante Industry and Extort Competitors Near U.S.-Mexico BorderRead the Press Release
The U.S. Department of Justice today announced the unsealing of an 11-count indictment charging 12 individuals in a long-running, multi-faceted conspiracy to monopolize the transmigrante forwarding industry in the Los Indios, Texas, border region near Harlingen and Brownsville, Texas. Transmigrantes are individuals who transport used vehicles and other goods from the United States through Mexico for resale in Central America. Transmigrante forwarding agencies are businesses that provide services to transmigrante clients, including helping those clients complete the customs paperwork required to export vehicles into Mexico.
According to the indictment, filed in the U.S. District Court for the Southern District of Texas, Carlos Favian Martinez, 36, of Mission, Texas; Marco Antonio Medina, 32, of Brownsville, Texas; Rigoberto Brown, 38, of Brownsville, Texas; Pedro Antonio Calvillo Hernandez, 47, of Tamaulipas, Mexico; Roberto Garcia Villareal, 56, of San Benito, Texas; Miguel Hipolito Caballero Aupart, 70, of Brownsville, Texas; Sandra Guerra Medina, 68, of Rancho Viejo, Texas; and Mireya Miranda, 56, of La Feria, Texas, conspired to fix prices and allocate the market for transmigrante services in violation of Section 1 of the Sherman Act. They also allegedly conspired to monopolize the same market in violation of Section 2 of the Sherman Act. The indictment alleges they implemented price-fixing agreements and created a centralized entity known as “The Pool” to collect and divide revenues among the conspirators.
Transmigrante agency owners and industry participants who refused to charge the fixed prices, pay into the pool or pay an extortion tax were subjected to threats, intimidation and acts of violence against themselves and their families, employees, associates and businesses, according to the charges.
Martinez, Medina, Calvillo and Garcia, along with Diego Ceballos-Soto, 48, of Matamoros, Mexico, and Carlos Yzaguirre, 63, of Mission, Texas, were also charged with one count of conspiracy to interfere with commerce by extortion. The indictment alleges several violent acts perpetrated against transmigrante industry participants and individuals closely associated with them who disrupted the scheme or refused to pay the extortion fees. Martinez, Ceballos-Soto and Yzaguirre were also charged with one count of interference in commerce by extortion. They allegedly forced one transmigrante agency owner to pay more than $80,000 for operating outside of the Pool and failing to pay the extortion tax.
Finally, Martinez, Medina, Calvillo, Ceballos-Soto and Yzaguirre, along with Juan Hector Ramirez Avila, 32, of Brownsville, Texas; and Jose de Jesus Tapia Fernandez, 44, of Brownsville, Texas, were charged with money laundering conspiracy and substantive counts of money laundering related to the underlying scheme.
“The indictment charges that defendants monopolized an industry through horrific violence and threats of violence,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “The department will use all the tools at its disposal – including Section 2 of the Sherman Act – to target anticompetitive conduct that undermines our country’s economic vitality and freedom.”
“As alleged, this criminal organization committed heinous acts of violence against those who would not participate in its illegal activities,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Together with our partners, we are committed to dismantling violent enterprises that victimize individuals simply trying to earn an honest living.”
“The charges announced today demonstrate our office’s commitment to protecting Texans from violent crime and exploitive business practices,” said U.S. Attorney Jennifer Lowery for the Southern District of Texas. “Working with our partners across the government, we will continue to investigate and prosecute violent criminals who prey on our communities.”
“This case is further proof that organized crime is active and negatively impacting our communities,” said Acting Special Agent in Charge Craig Larrabee of Homeland Security Investigations (HSI) San Antonio. “These violent criminal organizations monopolized the transmigrante industry by using acts of violence, threats and even extortion. HSI employs a full range of law enforcement techniques and cross-border authorities to combat this egregious criminal activity. HSI and its law enforcement partners are committed to dismantling organized crime by eliminating their corrupt influence in our communities and protecting our nation’s borders.”
“Today’s actions are the result of the FBI’s continued collaborative efforts with our law enforcement partners in this important investigation,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “The FBI remains dedicated to protecting American communities from threats of violence and economic crime.”
HSI and the FBI are investigating the case.
The Justice Department's Antitrust Division and the Criminal Division’s Organized Crime and Gang Section, and the U.S. Attorney’s Office for the Southern District of Texas are prosecuting the case.
Anyone with information in connection with this investigation should contact the HSI Tip Line at 866-347-2423; the FBI Tipline at tips.fbi.gov, or by contacting the FBI San Antonio Field Office at 210-225-6741; or the Antitrust Division’s Complaint Center at 888-647-3258, or visit http://www.justice.gov/atr/report-violations.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Court Issues Order Requiring Cigarette Companies to Post Corrective Statements; Resolves Historic RICO Tobacco LitigationRead the Press Release
The Justice Department, together with the U.S. Department of Health and Human Services, announced today the entry of a court order that resolves the government’s long-running civil racketeering lawsuit against the largest United States’ cigarette companies. The lawsuit was filed in 1999 in the U.S. District Court for the District of Columbia. Following a 2004-2005 trial, the court found that the cigarette companies had defrauded consumers about the health dangers associated with cigarette smoking. Today’s order imposes the last of several corrective remedies ordered by the court.
Under the order, defendants are now required to display signs in retail stores featuring corrective statements about the health effects and addictiveness of smoking. The order applies to defendants Altria, Philip Morris USA Inc. (PM USA) and R.J. Reynolds Tobacco Company (RJRT) as well as to four cigarette brands owned by ITG Brands LLC (ITG).
“Justice Department attorneys have worked diligently for over 20 years to hold accountable the tobacco companies that defrauded consumers about the health risks of smoking,” said Associate Attorney General Vanita Gupta. “Today’s resolution implements the last remedy of this litigation to ensure that consumers know the true dangers of the smoking products they may consider purchasing.”
“Cigarette companies misled the public for decades about the health risks of smoking and were ordered by a federal court to implement a series of corrective measures,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “All of these measures have been implemented, except one—the display of corrective statements in retail stores that sell cigarettes. Today’s order requiring implementation of that remaining remedy is a major achievement that will educate American consumers and save lives.”
“This is an important moment in the history of cancer control in the United States,” said Associate Director William Klein of the National Cancer Institute’s Behavioral Research program. “Smoking causes about 30% of all cancer deaths in the United States, and therefore the court-ordered corrective statements appearing at the point of cigarette sale will help support our mission to reduce the burden of cancer. We are grateful to our colleagues at the Department of Justice for having completed this significant work.”
“We know that tobacco product marketing in retail stores influences young people to start using tobacco, increases tobacco product consumption, and makes it harder for people to quit,” said Director Deirdre Lawrence Kittner of the Centers for Disease Control and Prevention, Office on Smoking and Health. “These statements will be an important complement to evidence-based strategies that prevent and reduce commercial tobacco use—the leading preventable cause of disease and death in the United States.”
“It is critical that we use our expertise and the full power of the law to protect Americans from tobacco-related disease and death,” said Director Brian King of the FDA’s Center for Tobacco Products. “Today’s order further emphasizes the federal government’s commitment to take whatever steps that are necessary to protect public health, including preventing false and misleading labeling and advertising by manufacturers.”
There are approximately 300,000 retail locations in the United States sell cigarettes. About 200,000 of those retailers have retail merchandising agreements with PM USA, RJRT and ITG that allow the companies to control how their cigarettes are displayed at those retailers’ stores. The order entered by the court today requires these companies to amend their agreements with retailers to require the placement of corrective statements in retail stores. The issuance of the order followed an evidentiary hearing open to all retailers that wished to testify about the order’s effects on them.
The corrective statements, which are displayed on color signs designed to be eye-catching, provide truthful information to consumers relating to: the adverse health effects of smoking; the addictiveness of smoking and nicotine; the lack of health benefits from cigarettes advertised as light or low tar; cigarette companies’ manipulation of cigarette design and composition to ensure optimum nicotine delivery; and the adverse health effects of exposure to secondhand smoke. The statements include, among other things, that:
- Smoking cigarettes causes numerous diseases and on average 1,200 American deaths every day;
- The nicotine in cigarettes is highly addictive and that cigarettes have been designed to create and sustain addiction;
- So-called light, low-tar and natural cigarettes are just as harmful as regular cigarettes; and
- Secondhand smoke causes disease and death in people who do not smoke.
Below are examples of two of the signs to be displayed in retail stores adjacent to cigarette displays:
Examples of the remaining signs that will be displayed may be found at https://www.justice.gov/civil/consumer-protection-branch/case/philip-morris/settlement-images.
The order will go into effect on July 1, 2023 and gives defendants three months to post the required corrective statements. Retailers will display the signs for 21 months thereafter. The corrective statements will be in both English and Spanish, with the latter required in geographic areas with significant Spanish-speaking populations. Independent auditors will periodically evaluate compliance with the order, and a tip line will be established so that the public may report incidents where they believe the statements are not being displayed properly or at all. The order further implements certain measures designed to discourage noncompliance, including specific consequences for retailers who fail to properly display the corrective statements after warnings and opportunities to cure.
This point-of-sale corrective statements remedy is the only remedy issued by the trial court that has not yet been implemented. These corrective statements are part of a broader order aimed at preventing the cigarette companies from continuing to engage in fraud and deception. Starting in 2017, the corrective statements also appeared as newspaper advertisements, in television spots, on cigarette packages and on the companies’ websites and cigarette-brand social media pages. The point-of-sale statements were the subject of several appeals, however, and were to be the subject of a July 2022 hearing about their effects on retailers. In May 2022, the parties, along with representatives of several groups of retailers that sell cigarettes, negotiated an agreement that corrective statements would be displayed in retail stores for two years. The hard-fought negotiations were led by the U.S. Department of Justice and also involved various public health organizations who intervened as plaintiffs in the case.
Many Justice Department attorneys played significant and critical roles in this case over the past two decades, most notably Senior Trial Attorneys Daniel Crane-Hirsch and James T. Nelson, both of whom devoted thousands of hours to this case since joining the case team in the early 2000s. The most recent phase of the litigation is being handled by the Civil Division’s Consumer Protection Branch, specifically Assistant Director Adam E. Lyons, Senior Trial Attorneys Daniel Crane-Hirsch, James Nelson, Stephen Tosini, Trial Attorneys Meredith B. Healy and Zachary A. Dietert, Assistant Director Lisa K. Hsiao and Assistant U.S. Attorney Leo Wise.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch.
Council Bluffs Man Sentenced for Transporting Explosives with Intent to InjureRead the Press Release
Acting United States Attorney Steven Russell announced that Ricky Wynn, 61, of Council Bluffs, Iowa, was sentenced on Friday, December 2, 2022, in federal court in Omaha, Nebraska, for transporting explosive materials with intent to injure. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Wynn to imprisonment for a term of 24 months. There is no parole in the federal system. After his release from prison, Wynn will begin a 3-year term of supervised release.
On January 30, 2022, the Omaha Police and Fire Departments were dispatched to a residential address in Omaha responding to a report of multiple suspicious packages. The subsequent investigation determined approximately 13 devices of an incendiary and/or explosive nature were placed around a vehicle and detached garage. Twelve of the devices were “Molotov cocktail” type devices. The 13th device contained an energetic powder (consistent with smokeless powder) and nails and screws. It appeared that a wick to the device had been lit but failed to detonate.
The people residing at the address told investigators they had previously been granted a protection order against Wynn, with whom they had a prior dispute.
Investigators obtained a warrant and searched Wynn’s apartment, garage, and vehicle located in Council Bluffs on February 2, 2022. During this search, investigators located evidence that Wynn had assembled the devices there prior to placing them at the Omaha residence on January 30, 2022.
This case was 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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
This case was investigated by the Bureau of Alcohol, Tobacco, and Firearms, the Omaha Police Department, and the Omaha Fire Department.
Convicted Felon Sentenced to 5 Years in Prison on Drug and Gun ChargesRead the Press Release
BIRMINGHAM, Ala. – A federal judge recently sentenced a Center Point man on drug and gun convictions to which he previously pleaded guilty, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Mickey French.
On November 29, 2022, U.S. District Court Judge Anna M. Manasco sentenced Torace Laster, 25, of Center Point, Alabama, to 30 months in prison for possession with the intent to distribute oxycodone and cocaine, and a consecutive 30 months in prison for being a felon in possession of a firearm, with credit being given for time already served while the charges were pending.
According to the plea agreement, on the evening of April 1, 2021, Gardendale Police officers encountered an SUV that had been stolen two days earlier in Birmingham. When they attempted to stop the driver, later identified as Laster, he sped onto a nearby street and then onto I-65. From there, he led the Gardendale officers on a high-speed chase that ended in eastern Birmingham. There, he exited the interstate and drove into a Birmingham neighborhood. Officers caught Laster there after he bailed out of the stolen vehicle and attempted to run.
Officers searched the stolen vehicle and found two backpacks, which contained a wallet with Laster’s identification card, multiple court notices addressed to Laster, a 9-millimeter pistol, two magazines loaded with ammunition and various controlled substances, including the cocaine and oxycodone to which he pleaded guilty. A Gardendale detective subsequently located a social media video posted by Laster on the day of his arrest. That video showed him sitting in what appeared to be the stolen SUV, discussing various drugs while holding one of the backpacks found after his arrest. On the video, Laster also had a conversation with someone off camera about the drugs he possessed.
Laster was prohibited from possessing the pistol because he had prior convictions for assault, second degree, receiving stolen property, first degree, and theft of property, first degree.
"In fleeing from officers, this defendant needlessly risked the lives of law enforcement and citizens traveling on the roads that night," U.S. Attorney Escalona said. "I appreciate the hard work of our law enforcement partners and their effort to safely apprehend this defendant."
“The individuals who knowingly and unlawfully possess firearms, distribute narcotics, and use illegal substances while possessing firearms are a huge concern,” SAC Watson said. “The ATF works collaboratively with our law enforcement partners to swiftly remove violent criminals from the streets. The ATF’s primary mission is to combat violent crime in our communities, and we will work tirelessly to keep the communities that we serve safe.”
The ATF investigated this case along with the Gardendale Police Department. The Kimberly Police Department, Jefferson County Sheriff’s Office, Alabama State Troopers, and Birmingham Police Department provided support during the pursuit and at the arrest scene. Assistant U.S. Attorney Alan Baty prosecuted the case.
Comerica Vault Manager Pleads Guilty to Embezzling at Least $120,000Read the Press Release
A Comerica employee pleaded guilty Wednesday to embezzling more than $120,000 from the bank, U.S. Attorney for the Northern District of Texas Chad E. Meacham announced today.
Sallie Lazzaro, aka Sallie Marie Perry, 33, plead guilty to theft by a bank employee before U.S. Magistrate Judge Jeffrey L. Cureton.
According to plea papers, Ms. Lazzaro, who began as a teller and was later promoted to vault manager, admitted she repeatedly stole cash from the FDIC-insured bank.
She purloined cash from her teller drawer, hid it in her pocket or purse, and input false information into the bank’s computer system in order to manipulate teller and vault balances.
On May 20, 2021, when Ms. Lazzaro was on duty as vault manager, a cash count revealed that the bank was missing more than $100,000.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorney Nashonme Johnson prosecuted the case.
Columbus man admits to drug chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Tyree A. Allen, of Columbus, Ohio, has admitted to a drug charge, United States Attorney William Ihlenfeld announced.
Allen, 23, pleaded guilty today to one count of “Possession with Intent to Distribute Fifty Grams or More of Methamphetamine.” Allen admitted to having 50 grams or more of methamphetamine, also known as “crystal” and “ice,” in August 2021 in Monongalia County.
Allen faces at least 10 years and up to life in prison and a fine of up to $10 million. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Christopher L. Bauer is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives’ the U.S. Marshals Service; the Mon Metro Drug Task Force, a HIDTA-funded initiative; and the Morgantown Police Department investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Chile Resident Charged with Illegally Re-entering the U.S.Read the Press Release
Pittsburgh, PA - A resident of Chile, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal immigration laws, United States Attorney Cindy K. Chung announced today.
The one-count Indictment named Jose Zapata, 51, of Chile, as the sole defendant.
According to Indictment presented to the court, on or about Nov. 16, 2022, Zapata illegally reentered the United States of America as a previously removed alien.
The law provides for a maximum total sentence of not more than two years in prison, a fine of not more than $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Katherine C. Jordan is prosecuting this case on behalf of the government.
The U.S. Immigration and Customs Enforcement and the Department of Homeland Security conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Chief Financial Officer of Global Public Relations Firm Sentenced to 52 Months in Prison for Fraud and Falsification of Corporate RecordsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that FRANK OKUNAK, the former chief financial officer of one of the world’s leading global public relations firms, was sentenced today to 52 months in prison by U.S. District Judge P. Kevin Castel. OKUNAK pled guilty on July 27, 2022, to one count of wire fraud and one count of falsification of the books and records of a public corporation, in connection with a decade-long scheme to embezzle over $16 million from his employer.
U.S. Attorney Damian Williams stated: “Frank Okunak conducted a nearly decade-long conspiracy to embezzle millions of dollars from his employer and the public shareholders of his employer. Today’s sentence should serve as a warning to executives that if they use their company’s money as if it were their own, they will face lengthy prison time.”
According to the allegations in the Information, statements made in court, and court filings:
For nearly a decade, FRANK OKUNAK, who was the chief financial officer and later chief operating officer of a leading global public relations firm (the “PR Firm”), embezzled over $16 million from the PR Firm and, ultimately, the shareholders of the PR Firm’s publicly traded parent corporation. OKUNAK used the embezzled funds to finance his personal lifestyle and his own private business ventures. OKUNAK concealed and facilitated his theft by preparing and causing others to prepare materially false accounting books and records, including invoices and payment records that falsely described expenditures as having been undertaken for the benefit of the PR Firm, when funds were actually used for OKUNAK’s personal benefit or for the benefit of his personal business associates.
Specifically, from 2011 through 2020, OKUNAK used his authority as an officer of the PR Firm to cause the PR Firm to make unauthorized payments for OKUNAK’s personal and business ventures unrelated to the activities of the PR Firm or its corporate parents. OKUNAK used the PR Firm’s assets to provide the start-up capital for his personal, independent business ventures, to purchase tickets and luxury boxes at sporting events, and even to cover donations to his alma mater. To hide the illicit nature of these expenditures, OKUNAK frequently prepared or caused others to prepare false or misleading invoices and other documentation to suggest, falsely, that the funds were used for legitimate corporate purposes.
* * *
In addition to his prison sentence, OKUNAK, 56, of Lyndhurst, New Jersey, was sentenced to three years of supervised release. As part of his guilty plea, OKUNAK also agreed to forfeit $10,823,575.57 and to pay restitution of $16,043,603.71.
Mr. Williams praised the outstanding work of the FBI. Mr. Williams further thanked the U.S. Securities and Exchange Commission and the victim PR Firm and its corporate parent for their cooperation and assistance in this investigation.
The prosecution of this case is being overseen by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Scott Hartman and Matthew Podolsky are in charge of the case.
Charlotte Man Is Sentenced to Prison for Illegal Possession and Transfer of A Machinegun and A Machinegun Conversion DeviceRead the Press Release
CHARLOTTE, N.C. – Zahari Serdarevic, 22, of Charlotte, was sentenced to 18 months in prison today for the possession and transfer of a machinegun and a machinegun conversion device, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Serdarevic was also ordered to serve three years under court supervision after he is released from prison.
Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, joins U.S. Attorney King in making today’s announcement.
According to filed court documents and statements made in court, on October 5, 2021, Serdarevic illegally possessed and transferred a machinegun, which he sold to a confidential informant (CI) working with law enforcement. During the transfer, Serdarevic explained to the CI that the machinegun was fully automatic and cautioned the CI that the machinegun was illegal to possess. According to court documents, on November 4, 2021, Serdarevic sold the CI an illegal conversion device, commonly referred to as a “Glock switch,” which enables a semi-automatic handgun to function as an automatic. Federal law prohibits the possession of machineguns and defines “machinegun” to include parts designed or intended for use in converting a weapon into a machinegun.
On June 15, 2022, Serdarevic pleaded guilty to two counts of possession and transfer of a machinegun. He is in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the ATF for their investigation of the case.
Assistant U.S. Attorney David Kelly, of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Camden Registered Sex Offender Charged with Sex Trafficking MinorsRead the Press Release
CAMDEN, N.J. – A Camden man is scheduled to appear in court today on multiple charges of sex trafficking minors, U.S. Attorney Philip R. Sellinger announced.
Semaj A. Gilmore, 32, is charged by superseding indictment with three count of sex trafficking of a minor and three counts of committing a sex offense as a registered sex offender. He is scheduled to appear today in Camden federal court before U.S. Magistrate Judge Matthew J. Skahill. Gilmore has been detained since initially being charged by a criminal complaint in April 2021.
According to documents filed in this case and statements made in court:
In April 2021, investigators learned that a missing juvenile from Pennsylvania was being advertised for sexually illicit activities on a website that is often used to advertise acts of prostitution. On April 13, 2021, an undercover agent contacted a phone number associated with the advertisement. The undercover agent and the user of the phone number, later revealed to be Gilmore, exchanged a series of messages that ultimately led to the undercover agent meeting the victim in a motel room in or around Mount Laurel, New Jersey, purportedly to engage in sexual activities in exchange for cash. Gilmore instructed the undercover agent to “get condoms” and to confirm that he was not “a cop.” When uniformed officers entered the motel room, Gilmore, who had been waiting in a car in the adjacent parking lot, fled. Officers stopped Gilmore’s car and recovered the phone used to arrange the meeting between the victim and the undercover agent.
From September 2020 to April 2021, Gilmore trafficked two other victims to engage in commercial sex acts in addition to the victim he advertised on April 13, 2021. During that time period, Gilmore had been required to register as a sex offender as a result of a prior conviction.
Each count of sex trafficking of a minor is punishable by a mandatory minimum penalty of 10 years in prison, a maximum of life in prison and a fine of up to $250,000. Each count of committing a sex offense as a registered sex offender is punishable by a mandatory penalty of 10 years in prison, which must run consecutively to any other term of imprisonment, and a fine of up to $250,000.
U.S. Attorney Sellinger credited special agents of FBI’s South Jersey Resident Agency, under the direction of Special Agent in Charge Jacqueline Maguire in Philadelphia, with the investigation leading to the charges. He also thanked members of the Mount Laurel Police Department and the Burlington County Prosecutor’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
The charges and allegations contained in the superseding indictment are merely accusations, and Gilmore is presumed innocent unless and until proven guilty.
Defense counsel: Troy Archie Esq., Cinnaminson, New Jersey
Camden County Man Sentenced to 26 Months in Prison for Tax EvasionRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man was sentenced today to 26 months in prison for evading more than $1 million in federal taxes, U.S. Attorney Philip Sellinger announced.
John Ryan, 63, of Cherry Hill, New Jersey, previously pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of tax evasion.
Judge Rodriguez imposed the sentence today in Camden federal court.According to documents filed in this case and statements made in court:
Ryan was working as an independent financial planner, helping to broker sales between clients and various financial businesses. One of these businesses engaged Ryan as a financial contractor to receive client funds on behalf of the business, and to operate and control one of its financial accounts. Ryan attempted to evade payment of his federal income taxes by converting the business and client funds in that account to his own personal income. By using the business account funds to satisfy expenses without the involvement of his personal bank accounts, Ryan was able to conceal the fact that he was withdrawing client funds and drawing checks on the business account in order to convert those funds to personal income. Ryan then purposely failed to report as income the cash he skimmed from the account, on which he was required to pay federal income taxes.
In addition to the prison term, Judge Rodriguez sentenced Ryan to two years of supervised release and ordered him to pay $1,058,859 in restitution to the government.
U.S. Attorney Sellinger credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Tammy Tomlins, and special agents of the FBI with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Lindsey R. Harteis of the U.S. Attorney’s Office in Camden, New Jersey.
Defense counsel: Joseph Marrone Esq. Cherry Hill, New Jersey
California Man Indicted for Transporting 165 Pounds of MethRead the Press Release
SPRINGFIELD, Mo. – A Cucamonga, California, man was indicted by a federal grand jury today after a state trooper found 165 pounds of methamphetamine in his vehicle.
Rafael Solis, 30, was charged in an indictment returned by a federal grand jury in Springfield with one count of possessing methamphetamine with the intent to distribute. Today’s indictment replaces a federal criminal complaint that was filed against Solis on Nov. 30, 2022, which charged him with the same offense.
According to an affidavit filed in support of the original criminal complaint, a Missouri State Highway Patrol trooper stopped Solis, who was driving a Nissan Armanda rental vehicle on Interstate 44 in Greene County, Mo., on Nov. 29, 2022. The trooper found three large moving boxes in the rear passenger compartment of the vehicle that contained approximately 165 pounds of methamphetamine. A small amount of personal use cocaine and marijuana were also found in the vehicle.
Solis told investigators he had picked up the rental vehicle in California and was driving to Chicago, Illinois.
The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Randall D. Eggert. It was investigated by the Drug Enforcement Administration and the Missouri State Highway Patrol.
California Man Charged with Laundering Money Obtained from Internet-Related FraudRead the Press Release
NEWARK, N.J. – A California man has been indicted for laundering money obtained from business email compromises, U.S. Attorney Philip R. Sellinger announced today.
Charles Singleton, 63, of Los Angeles, California, is charged by indictment with one count of money laundering conspiracy and three substantive money laundering counts. Singleton was arrested yesterday and was scheduled to appear on Dec. 5, 2022, before U.S. Magistrate Judge Karen L. Stevenson in Los Angeles federal court.
According to documents filed in this case and statements made in court:
From September 2018 to August 2020, Singleton worked with conspirators to launder money obtained through business email compromises. A business email compromise is a method of wire fraud often targeting businesses or individuals working on business transactions involving high-dollar wire transactions. The fraud is carried out by compromising, hacking, or “spoofing” legitimate email accounts through social engineering or computer intrusion techniques to cause employees of a target company, or other individuals involved in legitimate business transactions, to conduct unauthorized transfers of funds, most often to accounts controlled by the fraud perpetrators.
Singleton opened several business bank accounts in the names of companies he controlled and received proceeds of wire fraud in those accounts. Singleton and his conspirators then withdrew and transferred money from various bank accounts and shared among themselves the account information of bank accounts. Singleton also executed at least one fraudulent contract with a conspirator for a wire of $70,000. Law enforcement officials estimate that Singleton received at least $1.1 million in fraudulent proceeds.
Each of the money laundering charges carries a maximum term of 20 years in prison and a fine of up to $500,000, or twice the value of the funds involved in the transfer, whichever is greater.
U.S. Attorney Sellinger credited special agents of the FBI, Woodland Park Office, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Farhana C. Melo of the General Crimes Unit in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.