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1 December 2022
U.S. Attorney’s Strike Force Secures Three More Felony Convictions for COVID-19 Relief FraudRead the Press Release
Richland and Spokane, Washington – Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced today convictions for three more individuals that fraudulently obtained COVID relief funding intended for struggling businesses. These three convictions are the most recent obtained by the Eastern Washington COVID-19 Fraud Strike Force, which U.S. Attorney Waldref launched earlier this year.
On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act provided a number of programs through which eligible small businesses could request and obtain relief funding intended to mitigate the economic impacts of the pandemic for small and local businesses. One such program, the Paycheck Protection Program (PPP), provided forgivable loans to eligible small businesses to retain jobs and maintain payroll during the pandemic.
“COVID-19 relief programs quickly ran out of money due to the number of businesses that requested funding, meaning that struggling, deserving small businesses were not able to obtain critically needed funding to keep their businesses afloat during the shutdowns and disruptions caused by the COVID pandemic,” said U.S. Attorney Waldref. “We created the Eastern Washington COVID-19 Fraud Strike Force because it is critical to the strength and safety of our communities that we all work together to combat pandemic-related fraud and bring much-needed accountability to these programs. The Strike Force works to ensure that limited resources are used to protect our local small businesses and the critical jobs and services that they provide for the community.”
In February 2022, U.S. Attorney Waldref and the U.S. Attorney’s Office began working with federal law enforcement agencies to create and launch a COVID-19 Fraud Strike Force that would leverage partnerships between different agencies to aggressively investigate and prosecute fraud against COVID-19 relief programs in Eastern Washington. The Strike Force consists of agency representatives from the U.S. Attorney’s Office, Small Business Administration (SBA) Office of Inspector General (OIG), Federal Bureau of Investigation (FBI), U.S. Department of the Treasury Inspector General for Tax Administration (TIGTA), U.S. Secret Service, U.S.Homeland Security Investigations (HSI), U.S. Department of Veterans Affairs OIG, General Services Administration OIG, Internal Revenue Service, Department of Energy OIG, Department of Homeland Security (DHS) OIG, Department of Labor OIG, and others. Cases investigated and prosecuted by the Strike Force have resulted in numerous indictments and convictions, and have recovered millions of dollars in penalties and restitution for the public.
According to court documents and information disclosed during court proceedings, Jimia Rae Cain, age 52, of West Richland, Washington, obtained $337,267 in COVID relief funding in 2020 for her purported business, Americore Construction. In fact, as Cain admitted, Americore Construction did not have any legitimate business, employees, or payroll during the relevant time period, and Cain instead submitted false and fraudulent tax, payroll, and other documentation to obtain the funding. Cain also misrepresented her criminal history by certifying that she had no criminal convictions other than traffic citations, when in fact she had at least two prior fraud convictions. United States District Judge Mary K. Dimke accepted Cain’s guilty plea and set sentencing for June 1, 2023 at 1:30 p.m., in Richland, Washington.
According to court documents and information disclosed during court proceedings, Stephen Murphy, age 42, and Stephanie Murphy, age 37, both of Davenport, Washington, schemed together in 2021 to submit three fraudulent PPP applications for their purported businesses, obtaining more than $60,000 in COVID relief funding by submitting false information and false tax documentation on three separate occasions, including by falsely representing that their purported business had annual income of more than $100,000 prior to the pandemic. United States District Judge Thomas O. Rice accepted the Murphys’ guilty pleas, and set sentencing for February 22, 2023, at 9 a.m., in Spokane, Washington.
“I commend the stellar investigative work on these cases performed by the Strike Force and especially in this case by SBA OIG, TIGTA, and DHS OIG,” said U.S. Attorney Waldref. “We will continue to work with our law enforcement partners to strengthen our communities by protecting our small and local businesses.”
“Conspiring to defraud SBA robs the nation of vital resources intended to support the nation’s small businesses,” said SBA OIG’s Western Region Special Agent in Charge Wes King. “OIG remains committed to rooting out bad actors and protecting the integrity of SBA programs every day. I am continually grateful to the U.S. Attorney’s Office for its leadership and dedication to shining a light on darkness wherever it may be.”
“DHS OIG appreciates our partnership with the Eastern District of Washington’s COVID Fraud Strike Force. Today’s indictment sends a clear message that we will continue to investigate and help prosecute these kinds of fraud schemes,” stated Dr. Joseph V. Cuffari, DHS Inspector General.
“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 United States Attorney’s Office to ensure this criminal activity is held to account.”
The charges to which Cain and the Murphys pled carry a maximum sentence of up to 5 years in federal prison. The cases were investigated by the Eastern Washington COVID Fraud Strike Force, and in particular by the Small Business Administration OIG, the Treasury Inspector General for Tax Administration, and the Department of Homeland Security OIG. U.S. Attorney Waldref also praised and thanked the FBI’s Spokane Resident Agency for providing critical support. Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene are prosecuting these cases on behalf of the United States.
Case Nos. 4:22-CR-06042-MKD, United States v. Cain
2:22-CR-00084-TOR, United States v. MurphyU.S. Attorney’s Office Hosts Hate Crimes Prevention PresentationRead the Press Release
ALEXANDRIA, Va. – Today, Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia (EDVA), announced the completion of the first of a series of events designed to help community members and leaders have a better understanding of hate crimes and how to report them to law enforcement.
Yesterday evening, EDVA and the Jewish Community Relations Council of the United Jewish Federation of Tidewater co-hosted a presentation called “United Against Hate: Identifying, Reporting and Preventing Hate Crimes” at the Reba and Sam Sandler Family Campus of the Tidewater Jewish Community in Virginia Beach. Members of communities in Hampton Roads who are at risk of being targeted in hate crimes, as well as organizations representing these communities, were invited to the event, as well as law enforcement professionals who work on investigating hate crimes. The goal of this event series is to empower community members to prevent and respond to hate crimes and incidents by meeting and facilitating conversations with the law enforcement members to whom they can direct questions and reports about hate crimes and hate incidents.
“One of the greatest promises our country offers is the opportunity for life, liberty, and the pursuit of happiness, regardless of your background or identity,” said Aber. “Unfortunately, that promise can be compromised for some because of discriminatory acts against them, one of the most heinous of which is hate crimes. We at the U.S. Attorney’s Office for the Eastern District of Virginia, along with our federal and state law enforcement partners, want to encourage the community to report all incidents of hate to law enforcement. Although not every incident can be prosecuted as a crime, reporting allows us to prosecute those that can and enables us to connect incidents across the Commonwealth and the nation, to marshal resources to the most targeted communities, and to better monitor trends in order to prevent future incidents. We hope that UAH will be the beginning of increased public awareness about hate crimes.”
The speakers at the event included U.S. Attorney Aber and First Assistant U.S. Attorney Raj Parekh, as well as law enforcement professionals from the U.S. Attorney’s Office, FBI, and Norfolk Police Department. Over 40 people attended the event.
Through hypothetical scenarios and video clips depicting real-life hate crime cases and stories, United Against Hate promotes robust interaction between community members and law enforcement participants. Program topics include defining hate crimes versus hate incidents; the importance of reporting unlawful acts of hate; providing options for responding to hate incidents when situations do not constitute a federal or state crime; and distinguishing unlawful conduct from protected First Amendment activity, including identifying protected speech versus speech that advocates violence or encourages people to commit hate crimes.
On May 27, 2021, Attorney General Garland issued a memorandum on “Improving the Department’s Efforts to Combat Hate Crimes and Hate Incidents,” which emphasized the importance of prioritizing community outreach around hate crimes. The United Against Hate presentation, developed by the Department’s Hate Crimes Enforcement and Prevention Initiative, is designed to meet that objective. The U.S. Attorney’s Office for the Eastern District of Virginia applied for and was proud to be selected for the first national phase of this important program.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Two Individuals Indicted on Federal Crimes Committed in the Talladega National ForestRead the Press Release
BIRMINGHAM, Ala. – A federal grand jury this week indicted two women in separate but related indictments for murder, kidnapping, robbery, and unlawful use of a firearm, announced U.S. Attorney Prim F. Escalona and Federal Bureau of Investigation Acting Special Agent in Charge Felix A. Rivera-Esparra.
The four-count indictments filed in U.S. District Court charge Yasmine Marie Adel Hider, 20, of Edmond, Oklahoma, and Krystal Diane Pinkins, 36, of Memphis, Tennessee, with murder, kidnapping, robbery, and unlawful use of a firearm during a crime of violence arising out of events that occurred in the Talladega National Forest on August 14, 2022.
The maximum penalty for murder, kidnapping, and unlawful use of a firearm during a crime of violence is life in prison. The maximum penalty for robbery is 15 years in prison.
The FBI and the Forest Service Law Enforcement Investigations- U.S. Department of Agriculture investigated the cases, along with assistance from the Alabama Law Enforcement Agency, Alabama State Park Rangers, Alabama Department of Conservation and Natural Resources, St. Clair Correctional Facility K9 Tracking Team, District Attorney of the 40th Judicial Circuit of the State of Alabama- Joseph “Joe” D. Ficquette (which includes Clay County), Clay County Sheriff’s Office, Cleburne County Sheriff’s Office, Lineville Police Department, Ashland Police Department, Clay County Rescue Squad, Shinbone Valley Volunteer Fire Department, Tri-County Children’s Advocacy Center, and Jacksonville State University Center for Applied Forensics. Assistant U.S. Attorneys Jonathan Cross and John B. Felton are prosecuting the case.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Two Defendants Plead Guilty to Conspiring to Bribe High-Level Officials of the Republic of the Marshall IslandsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that CARY YAN, a/k/a “Hong Hui Yan,” a/k/a “Chen Hong,” and GINA ZHOU, a/k/a “Chaoting Zhou,” a/k/a “Angel Zhou,” pled guilty to conspiring to violate the Foreign Corrupt Practices Act (“FCPA”) in connection with a multi-year scheme to bribe government officials in the Republic of the Marshall Islands (the “RMI”) to pass legislation that would benefit the business interests of YAN, ZHOU, and their associates. In November 2020, Thai authorities arrested YAN and ZHOU in Thailand at the request of the United States pursuant to the U.S.-Thailand extradition treaty, and following court proceedings, the Thai government extradited YAN and ZHOU to the United States on September 2, 2022. Both defendants pled guilty today before District Judge Naomi Reice Buchwald.
U.S. Attorney Damian Williams said: “As they have now admitted, the defendants sought to undermine the democratic processes of the Republic of the Marshall Islands through bribery in order to advance their own financial interests. I commend the career prosecutors of this Office and our law enforcement partners for bringing this corruption to light and ensuring that justice is done.”
According to the Indictment filed in the case and publicly available information:
Beginning at least in 2016, YAN and ZHOU began communicating and meeting with RMI officials in both New York City and the RMI concerning the development of a semi-autonomous region within a part of the RMI known as the Rongelap Atoll. The creation of the proposed semi-autonomous region was intended by YAN, ZHOU, and those associated with them to obtain business by, among other things, allowing YAN and ZHOU to attract investors to participate in economic and social development projects that YAN, ZHOU, and others promised would occur in the semi-autonomous region.
As proposed by YAN and ZHOU, the so-called Rongelap Atoll Special Administrative Region (the “RASAR”) would be created by legislation (the “RASAR Bill”) that, if enacted by the RMI legislature, would significantly change the laws on the Rongelap Atoll to attract foreign businesses and investors, such as by lowering or eliminating taxation and relaxing immigration regulations. In or about mid-August 2018, certain RMI legislators officially introduced the RASAR Bill. Starting before that date, and continuing until at least on or about November 1, 2018, YAN and ZHOU offered and provided a series of cash bribes and other incentives to obtain the support of RMI legislators for the RASAR Bill.
On or about November 18, 2019, the RMI held elections for the legislature. As a result of these elections, on or about January 13, 2020, the then-President of the RMI left office. Shortly thereafter, YAN and ZHOU began emailing and meeting with certain RMI officials to continue their plan to create the RASAR. In or about late February 2020, the RMI legislature began considering a resolution that would endorse the concept of the RASAR (the “RASAR Resolution”), a preliminary step that would allow the RMI legislature to enact the more detailed RASAR Bill at a later date.
On or about March 7, 2020, YAN and ZHOU met with a close relative of a member of the RMI legislature in the RMI. During the meeting, YAN and ZHOU gave the relative $7,000 in cash to pass on to the official, specifying that this money would be used to induce and influence other RMI legislators to support the RASAR Resolution. YAN and ZHOU further stated, in sum, that they knew that the official needed more than $7,000 for this purpose and that YAN and ZHOU would soon obtain additional cash for the official. YAN and ZHOU also discussed having previously brought larger sums of cash into the RMI through the United States and that they planned to do so again in the future. On or about March 20, 2020, the RMI legislature passed the RASAR Resolution with the support of legislators to whom ZHOU and YAN had provided bribes and other incentives.
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YAN, 51, and ZHOU, 35, both of whom have traveled on passports issued by the RMI, pled guilty to one count of conspiring to violate the FCPA, which carries a maximum sentence of five years in prison.
The maximum potential sentence is prescribed by Congress and is 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 Federal Bureau of Investigation. Mr. Williams additionally thanked the Royal Thai Government, the U.S. Department of State's Diplomatic Security Service, the Embassy of the United States in Bangkok, and the Justice Department's Office of International Affairs for their assistance in securing the arrest and extradition of the defendants.
The case is being prosecuted by the Office’s Public Corruption Unit and the Criminal Division’s Fraud Section. Assistant U.S. Attorneys Hagan Scotten, Lara Pomerantz, and Derek Wikstrom are in charge of the prosecution. Trial Attorneys Gerald Moody and Anthony Scarpelli were also assigned to the prosecution.
Two British Citizens Arrested for Conspiracy to Defraud Investors in Fraudulent Co-Working Space BusinessRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced the unsealing of an Indictment charging JAMES ROBINSON and DAVID KENNEDY, both citizens of the United Kingdom, with wire fraud and conspiracy to commit wire fraud for engaging in a scheme to defraud victims by making material misrepresentations about the management and operations of a company called Bar Works Inc. and related entities (“Bar Works”). On November 30, 2022, ROBINSON and KENNEDY were arrested in Spain, and the United States Government will be seeking their extradition to the United States.
According to the Indictment unsealed today in Manhattan federal court and other court documents related to the prosecution of co-conspirators Renwick Haddow and James Moore:[1]
ROBINSON, KENNEDY, and co-conspirators Renwick Haddow and James Moore are citizens of the United Kingdom (the “UK”). At all times relevant to the Indictment, United Property Group and related entities (collectively, “UPG”) was a company based in Spain that was controlled in part by ROBINSON and KENNEDY. UPG sold real estate and other investing opportunities to potential investors. Bar Works was a private co-working space company controlled by Haddow, which operated locations in New York City and elsewhere between in or about 2015 through 2017 and accepted millions of dollars in investments from investors recruited through UPG, among others. Prior to launching Bar Works, Haddow had been disqualified as a director of any UK company for eight years and was later sued by the Financial Conduct Authority, a British regulator, for operating investment schemes through misrepresentations that lost investors substantially all of their money. These sanctions and the lawsuit were publicized online.
In exchange for millions of dollars in commissions, ROBINSON, KENNEDY, and Moore partnered with Haddow in soliciting investments into workspace leases in Bar Works through material misrepresentations concerning, among other things, the identity of Bar Works’ management and the operations of Bar Works. Specifically, as ROBINSON and KENNEDY knew, notwithstanding Haddow’s control over Bar Works, Haddow caused the Bar Works offering materials to omit his name entirely, list a fictitious individual named “Jonathan Black” as the Chief Executive Officer of Bar Works, and claim that “Black” had an extensive background in finance and past success with start-up companies.
Through UPG, ROBINSON and KENNEDY recruited agents to sell workspace leases in Bar Works and provided them with fraudulent offering documents and other information. An account controlled in whole or in part by JAMES ROBINSON and DAVID KENNEDY received over $2 million in commissions from Bar Works in exchange for soliciting victims to invest at least approximately $7.5 million in this scheme. Separately, Moore received another approximately $1.6 million from Bar Works. Overall, prior to its collapse in or about June 2017, Bar Works obtained over $57 million from over 800 investors worldwide.
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ROBINSON, 46, and KENNEDY, 47, both of the UK, are each charged with one count of wire fraud and one count of wire fraud conspiracy. Each charge carries a maximum sentence of 20 years in prison.
The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Renwick Haddow, 54, pled guilty pursuant to a cooperation agreement on May 23, 2019, to one count each of wire fraud and wire fraud conspiracy relating to the Bar Works scheme and one count each of wire fraud and wire fraud conspiracy relating to a separate Bitcoin-related investment scheme. Haddow’s sentencing is currently scheduled for April 28, 2023, before United States District Judge Laura Taylor Swain.
James Moore, 62, was found guilty on June 7, 2019, of wire fraud and conspiracy to commit wire fraud following a week-long jury trial before United States District Judge Richard M. Berman. On February 1, 2022, Moore was sentenced to 140 months in prison by Judge Berman.
Savraj Gata-Aura, 36, pled guilty on November 18, 2019, to one count of wire fraud conspiracy for his participation in the scheme and was sentenced to 48 months in prison on July 27, 2020, by United States District Judge Jed. S. Rakoff.
Mr. Williams praised the investigative work of the Federal Bureau of Investigation. He further thanked the Spanish National Police for their assistance. Finally, Mr. Williams thanked the Securities and Exchange Commission.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Vladislav Vainberg is in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment constitutes only allegations, and every fact described should be treated as an allegation.
Tickfaw Tax Preparer Sentenced to One Year and a Day in Prison for Filing False IRS ReturnsRead the Press Release
Note: Cheryl Kinchen was resentenced on December 20, 2022 to 5 years probations with 6 months of home confinement.
NEW ORLEANS – CHERYL L. KINCHEN, age 39, and a resident of Tickfaw, Louisiana, was sentenced on November 29, 2022 to one year and a day after she pleaded guilty to two counts of filing false tax returns in her personal capacity by U.S. District Court Judge Greg G. Guidry announced U.S. Attorney Duane A. Evans of the Eastern District of Louisiana.
According to court records, KINCHEN, who is the owner/operator of Beyond Blessed Tax Services, prepared false tax returns in 2015 and 2017 for her own personal taxes, wherein she significantly underreported the gross income that she earned as a tax preparer for the alleged time periods.
In addition to incarceration, KINCHEN was ordered to pay the IRS $167,496 in restitution, pay a mandatory $200 special assessment fee, and she was placed on one year of supervised release.
Attorney Evans commended the special agents of IRS-Criminal Investigation for their handling of the matter. The case is being prosecuted by Assistant United States Attorney Edward J. Rivera.
Three Individuals Charged with Conspiracy to Steal Government Property from Anniston Army DepotRead the Press Release
BIRMINGHAM, Ala. – Three additional individuals have been charged with conspiracy to steal United States property from Anniston Army Depot (ANAD) in an ongoing investigation, announced U.S. Attorney Prim F. Escalona, Department of Defense Criminal Investigative Service Special Agent in Charge Darrin Jones, Defense Logistics Agency Office of the Inspector General Assistant Deputy Inspector General Ronald Wesley, and United States Army Criminal Investigation Division Acting Special Agent in Charge D. Todd Outlaw.
In charging documents filed Thursday in United States District Court, Christopher Price, 54, of Childersburg, James Kenneth Scott, 71, of Sylacauga, and Eric Matraia, 43, of Munford are each charged with one count of conspiracy to steal United States property. Two civilian employees at ANAD, Stantillio Whitfield and Tevin Fletcher, were charged with conspiracy in October. Whitfield pleaded guilty before Judge Corey L. Maze on November 21, 2022, and Fletcher has agreed to plead guilty.
According to the charging documents, Matraia, who was a Security Guard at ANAD, and other civilian employees of the Department of Emergency Services stole military property from warehouses at ANAD. Scott acted as a middleman, delivering the stolen property to Price, who owned The Prepper Depot, a military surplus store in Sylacauga. Price sold the stolen property at deeply discounted prices at his store and gun shows. According to the documents, between 2015 and November 2021 Price received property stolen from ANAD valued at approximately $4 million. The stolen items included equipment that was designed to be attached to military weapon systems to provide operators with instant nighttime engagement capabilities and/or improved target acquisition.
"These cases demonstrate that insiders and their cohorts will be held accountable when they abuse their positions of trust and place personal gain above their duty and the safety of our military personnel, " United States Attorney Escalona said. "We continue to work with our law enforcement partners to prosecute those who steal government property."
“I’m proud of the great work done by the investigative team and the U.S. Attorney’s office to bring these government employees and their co-conspirators to justice,” said Special Agent in Charge Darrin Jones of the Defense Department’s Inspector General, Defense Criminal Investigative Service. “Our office will work tirelessly with our law enforcement partners, and the U.S. Attorney’s Office, to make sure those who steal from our military Depots are held accountable.”
“Today’s court filings highlight the Department of the Army Criminal Investigation Division’s and partner agencies hard work and resolve to aggressively seek out and hold those who conspire to deprive the U.S. Government of sensitive property accountable for their actions,” said D. Todd Outlaw, Acting Special Agent in Charge, Southern Field Office, DACID.
According to the plea agreements, also filed Thursday, Price, Scott, and Matraia have each agreed to plead guilty to a conspiracy charge. The plea agreements state that each defendant has agreed to pay restitution to the United States and forfeit the money they made from the conspiracy.
The maximum penalty for conspiracy is five years in prison and a $250,000 fine.
The Defense Criminal Investigative Service and Defense Logistics Agency Office of Inspector General are investigating the case. Assistant United States Attorney George Martin is prosecuting the case.
An information contains only charges. A defendant is presumed innocent unless and until proven guilty.
Ten-Time Convicted Felon Sentenced to Fifteen Years in Federal Prison for Possessing A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Virginia M. Covington Hernandez today sentenced Christopher Deon Townsel (47, Sarasota) to 15 years in federal prison for unlawful possession of a firearm by a convicted felon. The court also ordered Townsel to forfeit a Hi-Point C9, a 9mm pistol, and assorted ammunition, which were traceable to the offense. Townsel had pleaded guilty on May 24, 2022.
According to court documents, on December 1, 2018, deputies from the Manatee County Sheriff’s Office were conducting surveillance at a hotel in Manatee County, looking for a fugitive. The deputies observed a vehicle pull up to the hotel, and a woman leave the hotel and enter into the vehicle. The deputies smelled marijuana coming from the vehicle as the woman opened the passenger door. The deputies approached the vehicle and ordered the driver to stop as the driver began to drive away. The driver stopped the vehicle and deputies observed Townsel in the driver’s seat. One of the deputies observed a black firearm on the driver’s side floorboard of the car. The deputy also observed bags of marijuana in the car.
A crime scene technician swabbed the firearm for DNA and a DNA analyst compared Townsel’s DNA to the samples obtained from the grip of the firearm. Results of the test revealed that Townsel was a contributor from the DNA profile obtained from the grip of the firearm. The firearm had previously been reported stolen. Because Townsel had previously been convicted of several felonies, he is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives and Manatee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Charlie D. Connally.
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.
Temporary Resident in Yosemite National Park Facing Federal ChargesRead the Press Release
FRESNO, Calif. — A federal grand jury returned a six-count indictment today against Devin Michael Cuellar, 28, a transient, charging him with being a felon in possession of a firearm and ammunition, being a drug addict in possession of a sawed-off shotgun and ammunition, destruction of property, receipt of stolen property, theft, and making a false statement to Yosemite National Park rangers, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Cuellar, a convicted felon on parole, broke into a private residence at Koon Hollar Road in Wawona within Yosemite National Park and resided there without permission of the owner for several months during the summer of 2021. During that time, the residence was trashed, a toolbox, flat screen TV, wrought iron candle holders, tools, and other items were stolen from the residence, and items reported stolen from other victims in Wawona were found. A sawed-off shotgun with Cuellar’s DNA was found in the residence, along with ammunition. Cuellar is prohibited from possessing firearms and ammunition because he was previously convicted of carjacking and possessing controlled substances for sale and was an unlawful user of methamphetamine and heroin. In addition, Cuellar is alleged to have falsely stated to park rangers that he had not been at the residence.
This case is the product of an investigation by Yosemite National Park Service with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, the California Department of Corrections and Rehabilitation, the California Department of Justice’s Bureau of Forensic Services, and the Madera County Sheriff’s Office. Assistant U.S. Attorney Karen Escobar is prosecuting the case.
If convicted, Cuellar faces a maximum statutory penalty of 10 years in prison and a $250,000 fine for each of the two firearms offenses. He also faces five years in prison and a $250,000 fine if convicted of destruction of property and false statements; three years in prison for receipt of stolen property and one year in custody for theft. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case 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 U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Suburban Chicago Man Sentenced to 25 Years in Prison for Producing Child PornographyRead the Press Release
CHICAGO — A suburban Chicago man has been sentenced to 25 years in federal prison for taking dozens of sexually explicit photographs of a three-year-old child.
MARCOS GERMAN MENDEZ, 35, of Rosemont, Ill., pleaded guilty earlier this year to a federal child pornography charge. U.S. District Judge Mary M. Rowland imposed the sentence Wednesday after a hearing in federal court in Chicago.
Mendez admitted in a plea agreement that on two occasions in 2015 he took more than 60 sexually explicit photographs of the child and molested her while she appeared to be sleeping. Mendez saved the images on his iPhone, and in 2016 he fled to Mexico. He was later arrested and extradited to the United States.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and R. Sean Fitzgerald, Special Agent-in-Charge of the Chicago office of Homeland Security Investigations. Valuable assistance was provided by HSI’s Mexico City office; FBI Chicago Field Office; U.S. Customs and Border Protection; U.S. Postal Service; Cook County Sheriff’s Office; and U.S. Marshals Service. The government was represented by Assistant U.S. Attorney Misty N. Wright.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
St. Louis County Man Admits Cashing His Dead Mother’s Social Security Checks for 26 YearsRead the Press Release
ST. LOUIS – A man from St. Louis County, Missouri on Thursday admitted cashing his mother’s Social Security checks for 26 years after her death.
Reginald Bagley, 62, of Dellwood, pleaded guilty to a felony charge of stealing money belonging to the United States. Bagley admitted that his mother’s death on March 12, 1994 was not reported to the Social Security Administration. In 1998, a bank account was established to directly deposit her benefits. The bank statements went to Bagley’s address in the name of either Bagley or his mother since then. After the Social Security Administration learned that Bagley’s mother was not using her Medicare benefits, they sent a letter to her address in an attempt to contact her.
Bagley quickly closed the bank account that was receiving the benefits, receiving a cashier’s check for the remaining balance on July 24, 2020.
Bagley on Thursday admitted stealing a total of $197,329 in Social Security benefits to which he was not entitled.
At his sentencing, scheduled for March 29, Bagley will be ordered to repay the money. The charge carries a maximum penalty of up to 10 years in prison, a $250,000 fine or both.
The case was investigated by the Social Security Administration – Office of Inspector General. Assistant U.S. Attorney Diane Klocke is prosecuting the case.
Springfield, Vermont Individuals Facing Drug Distribution Conspiracy and Illegal Firearms Possession ChargesRead the Press Release
The Office of the United States Attorney for the District of Vermont announced today that Jonathan Castro, a.k.a. “Jose,” 33, of Springfield, Vermont and Springfield, Massachusetts; Anibal Castro, Sr., a.k.a. “Papi,” 54, of Springfield, Vermont; and Derek Arie, 34, of Springfield, Vermont were indicted yesterday by a federal grand jury sitting in Rutland, Vermont for conspiring to distribute cocaine base and fentanyl from March 2022 to November 30, 2022. The indictment also charges Arie with possessing cocaine base with intent to distribute on June 4, 2022. In addition, Martine Protas, 43, of Springfield, Vermont was charged by criminal complaint today with illegal possession of a firearm.
According to court documents, the drug conspiracy involved distribution of controlled substances on Valley Street in Springfield, Vermont and elsewhere. Anibal Castro, Sr. and Protas were arrested yesterday in Springfield, Vermont. When they were arrested, law enforcement discovered that Protas, who is an unlawful user of narcotics, had a firearm on her person. Jonathan Castro was arrested yesterday in Lebanon, New Hampshire. Arie, who was previously charged in September 2022, is currently on conditions of release.
Protas will have an initial appearance before U.S. Magistrate Judge Kevin J. Doyle on December 2 at 3:00 p.m. Anibal Castro, Sr. will be arraigned on December 2 at 4:00 p.m. Jonathan Castro will be arraigned on December 5 at 1:00 p.m. Arie’s arraignment has not yet been scheduled.
The United States Attorney emphasizes that the charges in the indictment are accusations only and that each defendant is presumed innocent unless and until proven guilty. Each drug charge carries a maximum sentence of 20 years’ imprisonment and up to a $1 million fine. The firearm charge carries a maximum sentence of 15 years’ imprisonment and up to a $250,000 fine. Any actual sentence, however, would be determined by the Court and advised by the Federal Sentencing Guidelines and the United States Code.
U.S. Attorney Nikolas P. Kerest commended the investigatory and collaborative efforts of the Federal Bureau of Investigation, the Vermont State Police, the Vermont Drug Task Force, the Drug Enforcement Administration, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Springfield Police Department, and the Windsor County State’s Attorney’s Office.
The United States is represented in this matter by Assistant U.S. Attorney Zachary Stendig. Jonathan Castro is represented by Robert Behrens, Esq. Anibal Castro, Sr. is represented by Natasha Sen, Esq. Derek Arie is represented by Kevin Henry, Esq. Martine Protas is represented by Michael Shklar, Esq.
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. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn
Southwest Pennsylvania Foster Parent Sentenced to 30 Years in Prison for Producing Sexually Explicit Videos of Minors in His CareRead the Press Release
PITTSBURGH - A former resident of Johnstown, Pennsylvania, has been sentenced in federal court in Johnstown to 360 months’ (30 years’) imprisonment and a lifetime term of supervised release upon his conviction for violating federal child sexual exploitation laws, United States Attorney Cindy K. Chung announced today.
U.S. District Judge Stephanie L. Haines imposed the sentence on Ronald Oshensky, Jr., age 43.
According to information presented to the court, Mr. Oshensky was a foster parent with Children and Youth Services (CYS) organizations from several southwestern Pennsylvania counties. Through his guilty plea and pursuant to his plea agreement Mr. Oshensky acknowledged that from July 14, 2011, to Oct. 23, 2011, the exact date being unknown, he produced two videotapes containing a total of 18 video clips which depicted seven different minors engaged in sexually explicit conduct all of which were produced using materials that were shipped or transported in interstate or foreign commerce.
Upon imposing the sentence, Judge Haines told Mr. Oshensky that his offense was among the most heinous she had encountered in her 20-year career in law enforcement and three years on the bench. She stated that her decision to impose the statutory maximum penalty of 30 years’ imprisonment was the easiest sentencing decision she has had to make.
“Ronald Oshensky, Jr. will spend the next 30 years in federal prison for the heinous crimes he committed against already disadvantaged children entrusted to his care,” said U.S. Attorney Chung. “It is our duty to prosecute child predators and secure appropriate sentences so that communities are safe and victims can become survivors.”
“Predators like Ronald Oshensky exploit the very systems put into place to prevent vulnerable children from being subjected to abusive living situations,” said William S. Walker, Special Agent in Charge of HSI’s Philadelphia office. “Through coordination and teamwork, HSI, FBI and the Johnstown Police Department worked hard to ensure our most vulnerable population – our children – are spared from sexual abuse. This underscores one of HSI’s most critical missions. Time is always of the essence when it comes to the exploitation of our children and our dedicated agents, analysts and task force officers work quickly and decisively to keep children safe from predators who seek to do them harm.”
Assistant United States Attorney Arnold P. Bernard Jr. prosecuted this case on behalf of the government.
Homeland Security Investigations, the Federal Bureau of Investigation, and the Johnstown Police Department conducted the investigation that led to the prosecution of Ronald Oshensky, Jr.
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.
South Texas meth trafficker heads to prisonRead the Press Release
McALLEN, Texas – A 26-year-old Corpus Christi man has been ordered to federal prison following his conviction of conspiracy to possess with intent to distribute meth, announced U.S. Attorney Jennifer B. Lowery.
Gabriel Anthony Pena pleaded guilty Dec. 1, 2021.
Today, U.S. District Judge Micaela Alvarez sentenced Pena to serve 260 months in federal prison followed by five years of supervised release. In determining the sentence, the court found that Pena’s role was that of an organizer or leader, as he had recruited another to transport narcotics from the Rio Grande Valley to Corpus Christi. The court noted the extent and lengthy duration of the scheme which involved at least 28 kilograms of meth seized over the course of multiple incidents, two of which involving the presence of a firearm. Judge Alvarez also emphasized the need to protect the community.
At the time of his plea, Pena admitted that between March and June 2021, he coordinated multiple smuggling attempts by recruiting co-conspirators to transport narcotics from the southern border to the Corpus Christi area.
In March 2021, a co-conspirator attempted to pass through the Falfurrias checkpoint with 24 kilograms of meth hidden between the frame and taillights of a Volkswagen Tiguan. At that time, authorities seized the narcotics and later determined that she had been recruited by Pena to transport through the checkpoint.
In April and June of 2021, Pena was stopped in Corpus Christi and found to be in possession of over 400 grams of the narcotic along with a firearm in his vehicle. Later, law enforcement executed a search warrant at his residence and discovered an additional 1.7 kilograms of meth.
Investigation revealed that the drugs being transported by the co-conspirator were intended to be distributed throughout the Corpus Christi area.
Pena has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorneys Lee Fry and Matthew Redavid prosecuted the case.
South Street Jeweler Convicted of Selling Counterfeit Rolexes and Financial Fraud CrimesRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Dimitre Hadjiev, 41, of Upper Darby, PA, was convicted at trial of charges including trafficking in counterfeit goods and financial fraud offenses related to his sale of counterfeit luxury wristwatches.
In September 2019, the defendant was charged by Indictment with a number of charges stemming from his scheme to sell counterfeit Rolex watches and watches with counterfeit Rolex parts. Evidence presented at trial showed that, since at least 2014, Hadjiev operated a jewelry store on the 300 block of South Street in Philadelphia, out of which he sold and customized watches and other jewelry. An investigation by the IRS and FBI revealed that Hadjiev was knowingly buying and selling counterfeit Rolex watches and customizing Rolex watches with counterfeit Rolex parts. Also, a review of the defendant’s bank records showed that he structured deposits from his store sales to avoid activating his banks’ reporting requirements and failed to make required reports for cash sales of more than $10,000. In total, amount of money involved in the defendant’s illegal scheme is more than $750,000.
“The defendant trafficked in counterfeit merchandise and structured his deposits to conceal the cash flowing into his jewelry business,” said U.S. Attorney Romero. “This Office and its law enforcement partners are committed to protecting consumers from unknowingly purchasing phony merchandise, and to holding defendants accountable for their greed.”
“Dimitre Hadjiev’s store wasn’t a legitimate business – it was a front for fraud,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “The FBI and our partners are working hard to crack down on crooked businesses of all stripes, whether they're cheating the public, the government, or, as in this case, both.”
“A jury of Mr. Hadjiev’s peers confirmed what the government first alleged during the indictment: that Mr. Hadjiev trafficked counterfeit goods, laundered the proceeds, and structured deposits in an effort to avoid currency reporting requirements,” said Yury Kruty, Special Agent in Charge of IRS-Criminal Investigation. “The Special Agents of IRS-CI and our law enforcement partners will continue to investigate and bring to justice criminals like Mr. Hadjiev who partake in schemes like this out of greed.”
The case was investigated by Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigations, and is being prosecuted by Assistant United States Attorney KT Newton.
Sixth Defendant Pleads Guilty in Large-Scale Sacramento Cocaine and Heroin Trafficking ConspiraciesRead the Press Release
SACRAMENTO, Calif. — Bobby Conner, 51, of Sacramento, pleaded guilty today to two counts of using a cellphone to facilitate a drug trafficking offense, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Conner is among the 15 federal defendants arrested in 2021 and charged in a 45-count indictment for trafficking narcotics as part of a DEA-led multi-agency operation targeting cocaine and heroin traffickers in North Sacramento. Conner was intercepted during a 30-day wiretap trafficking crack cocaine and powder cocaine.
This case is the product of an investigation by the Drug Enforcement Administration, the Federal Bureau of Investigation, Homeland Security Investigations, the U.S. Marshals Service, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the U.S. Forest Service, the U.S. Postal Inspection Service, the Bureau of Land Management, the California Department of Corrections and Rehabilitation, the California Department of Justice, the California Highway Patrol, the Sacramento County Sheriff’s Office, and the Sacramento Police Department. Assistant U.S. Attorneys Cameron L. Desmond and Aaron D. Pennekamp are prosecuting the case.
Conner is scheduled to be sentenced on March 2, 2023, by U.S. District Judge Troy L. Nunley. He faces a maximum statutory penalty of eight years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
On Sept. 29, 2022, Jason Tolbert, 45, of Sacramento, was sentenced to four years and nine months in prison for possession with intent to distribute cocaine.
On Nov. 17, 2022, Charles Carter, 36, of Sacramento, was sentenced to 70 months in prison for conspiracy to distribute and to possess with intent to distribute at least 500 grams of cocaine.
On Nov. 17, 2022, Arlington Caine, 48, of Rio Linda, and Andre Hellams, 40, of North Highlands, pleaded guilty to two counts of using a cellphone to facilitate a drug trafficking offense. Caine and Hellams are scheduled to be sentenced on Feb. 9, 2023.
On July 22, 2022, Michael Hampton, 57, of Vallejo, pleaded guilty to conspiracy to distribute and possess with intent to distribute at least 500 grams of cocaine. Michael Hampton is scheduled to be sentenced on Dec. 8, 2022.
Charges are pending against the following defendants: Tyrone Anderson, 40, of Sacramento; Maurice Bryant, 51, of Antelope; Yovanny Ontiveros, 41, of Sacramento; Alex White, 61, of North Highlands; Steven Hampton, 61, of Sacramento; Wilmer Harden, 52, of Elk Grove; Jerome Adams, 54, of North Highlands; Dwight Haney, 49, of Sacramento; and Mark Martin, 62, of Sacramento. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This prosecution is part of the Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. The Sacramento Strike Force is a co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The specific mission of the Sacramento Strike Force is to identify, investigate, disrupt, and dismantle the most significant drug trafficking organizations (DTOs) and transnational criminal organizations (TCOs) shipping narcotics, firearms, and money through the Eastern District of California, thereby reducing the flow of these criminal resources in California and the rest of the United States. The Sacramento Strike Force leads intelligence-driven investigations targeting the leadership and support elements of these DTOs and TCOs operating within the Eastern District of California, regardless of their geographic base of operations.
Shelbyville Repeat Sex Offender Sentenced to 40 Years in Federal Prison for Sexual Exploitation a 6-Year-Old ChildRead the Press Release
INDIANAPOLIS – Justin R. Potts, 38, of Shelbyville, Indiana, was sentenced to 40 years in federal prison after pleading guilty to four counts related to his sexual exploitation of a six-year-old child committed while he was required to register as a sex offender.
According to court documents, on or about March 20, 2014, Mr. Potts was convicted of sexual misconduct of a minor in Hancock County, Indiana, and sentenced to 7 years in prison. As a result of this conviction, Mr. Potts was required to register as a sex offender for 10 years or until January 21, 2026. He failed to register in 2019 and was released from probation in April 2021.
Between December 28, 2021, and January 22, 2022, Mr. Potts resided in Muncie, Indiana with Individual A and Minor Victim 1, who was six years’ old. While Mr. Potts resided with Individual A and Minor Victim 1, Minor Victim 1 was in Mr. Potts’ care, custody, and control. Mr. Potts sexually abused Minor Victim 1 and produced visual depictions of that abuse including videos showing Potts using his hands to force a penis-shaped device into the child’s anus, rubbing his penis against the child’s anus, and forcing his penis into the child’s mouth. The videos were uploaded to Mr. Potts’ Google account prompting immediate notification to the National Center for Missing and Exploited Children. The Indiana State Police and the United States Secret Service quickly investigated the account, traced it to Mr. Potts, contacted the Delaware County Prosecutor’s Office, and executed a search warrant leading to his arrest and detention. Mr. Potts pleaded guilty to three counts of sexually exploiting Minor Victim 1, and to one count of committing those offenses while required to register as a sex offender.
“This serial predator inflicted horrific abuse on an innocent child to satisfy his criminal sexual desires,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “I commend the outstanding and tireless efforts of the U.S. Secret Service, Indiana State Police, the Delaware County Prosecutor’s Office, and federal prosecutors to quickly identify this offender, remove him from the community, and rescue a child from ongoing abuse. Mr. Potts will now spend decades in federal prison, where he cannot sexually abuse another child. The serious sentence imposed today demonstrates our dedication to protecting the public from these dangerous offenders.”
“This investigation is a testament to the Secret Service’s commitment to pursue those who chose to victimize our most vulnerable citizens,” said Special Agent in Charge Jeffrey Adams, U. S. Secret Service – Indianapolis Field Office. “The Secret Service is a proud member of the Indiana Internet Crimes Against Children Task Force and would like to thank our partners at the National Center for Missing and Exploited Children and the Indiana State Police for their tireless work in this case.”
The U.S. Secret Service investigated the case and the Indiana State Police and Delaware County Prosecutor’s Office provided valuable assistance. The sentence was imposed by U.S. District Judge James R. Sweeney II. As part of the sentence, Judge Sweeney ordered that Potts be supervised by the U.S. Probation Office for the rest of his life following his release from federal prison and ordered him to pay $10,000 in restitution to the child victim. Potts must also register as sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant United States Attorney Tiffany J. Preston, who prosecuted this case.
In fiscal year 2019, the most recent year for which data is available, the Southern District of Indiana was second out of the 94 federal districts in the country for the number of child sexual exploitation cases prosecuted.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
Settlement with Republic Steel Requires Reduction of Lead Emissions at Canton, Ohio, FacilityRead the Press Release
The Department of Justice and the Environmental Protection Agency (EPA) announced a proposed Clean Air Act settlement with Republic Steel, a steel manufacturer in Canton, Ohio, which will require the company to reduce its facility’s lead emissions that have caused airborne lead levels in the surrounding area to exceed the National Ambient Air Quality Standards for Lead. The settlement terms are included in a proposed consent decree filed with the U.S. District Court for the Northern District of Ohio. In addition to securing air pollution reductions, the settlement requires Republic Steel to pay a $990,000 civil penalty.
The United States’ complaint, filed simultaneously with the consent decree, alleges that Republic Steel is operating in violation of its Clean Air Act permit for failing to conduct emissions tests and for exceeding lead emission limits. Under the consent decree, Republic Steel will install and operate new control technologies at its Flexcast Vacuum Tank Degasser and associated cooling tower to reduce lead emissions from the facility. EPA estimates that the new controls will result in the reduction of over 1,000 pounds of lead emissions per year.
“This important settlement reflects our continuing commitment to enforce the Clean Air Act vigorously to protect public health, the environment and vulnerable communities that are disproportionately impacted by air pollution,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division.
“Even relatively low levels of lead exposure can cause harm to a child’s cognitive development,” said Acting Assistant Administrator Larry Starfield of the EPA’s Office of Enforcement and Compliance Assurance. “This settlement will help protect local communities, and particularly children, by lowering airborne lead levels.”
Exposure to lead pollution can affect almost every organ and system in the human body. It is especially harmful to young children, as they are most susceptible to some adverse effects of lead. This is of significance here, as there is a residential community with three schools within a one-mile radius of the Republic Steel facility. Additionally, this is an area with environmental justice concerns.
The settlement is subject to a public comment period that will end on Jan. 13, 2023, and final court approval. The consent decree will be available for viewing at https://www.justice.gov/enrd/consent-decrees.
Second former U.S. soldier admits guilt in attack that killed Fort Stewart servicememberRead the Press Release
SAVANNAH, GA: A former U.S. Army service member has admitted his involvement in a plot that led to the stabbing death of a former fellow soldier whose body was found in his Fort Stewart barracks room in June 2020.
Jordan Brown, 21, of St. Marys, Ga., awaits sentencing after entering a plea of guilty to Assault Upon a U.S. Servicemember Involving Bodily Injury or a Deadly Weapon, and Retaliation Against a Witness Involving Bodily Injury, said David H. Estes, U.S. Attorney for the Southern District of Georgia. The terms of the plea agreement, which U.S. District Court Judge R. Stan Baker will consider at sentencing in deciding whether to accept the plea, subject Brown to a sentence of not less than 198 months in prison, nor more than 240 months, along with potential fines and restitution, followed by three years of supervised release upon completion of his prison term. There is no parole in the federal system.
Brown’s co-defendant, Byron Booker, 29, of Ludowici, Ga., awaits sentencing after previously pleading guilty to Premeditated Murder of a Member of the United States Uniformed Services. In accordance with his plea agreement, Booker faces a mandatory minimum sentence of life in prison.
“The guilty pleas of these two defendants firmly establish their culpability in the despicable murder of a former fellow soldier in retaliation for performing his duties as a service member,” said U.S. Attorney Estes, a retired U.S. Army Colonel. “They will now be held accountable for their bloody conspiracy.”
In his prior guilty plea, Booker, a former U.S. Army sergeant, admitted he and Brown, a former U.S. Army specialist, discussed “silencing” Specialist Austin J. Hawk, 21, at Fort Stewart Military Reservation. Hawk’s subsequent murder was in retaliation for Hawk reporting Brown to U.S. Army leadership for marijuana use that resulted in a preliminary inquiry for a court martial proceeding against Brown. After conspiring with Brown, Booker admitted that he gained entry to Hawk’s barracks room shortly after midnight on June 17, 2020, where he “slashed and stabbed Hawk repeatedly with a sharp-edged weapon.” A medical examiner later noted that Hawk received 40 separate stab or slash wounds.
Hawk’s body was found in his Fort Stewart barracks room the next day.
“The joint response by the Department of Defense and Department of Justice to this murder exemplifies the phenomenal teamwork between the Department of the Army Criminal Investigation Division, FBI, and the U.S. Attorney's Office for the Southern District of Georgia,” said Rusty Higgason, Assistant Special Agent-in-Charge of the CID Southeast Field Office. “The U.S. Army Criminal Investigation Laboratory and the FBI Crime Lab analyzed hundreds of pieces of evidence, and the CID forensic science professionals that responded from various locations to process the site did an amazing job. I would also like to highlight the relentless, behind-the-scenes work by investigative analysts who meticulously reviewed an extraordinary amount of documents, images, video recordings and digital data in this investigation.”
“Brown’s plea is a direct result of the hard work and persistence put in by the FBI Savannah Resident Agency and our partners at the U.S. Army and the U.S. Attorney’s Office for the Southern District of Georgia,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Hawk’s family and friends will never be rid of the pain this senseless murder has caused them, but hopefully it gives them some sense of resolve to know that justice will be served.”
The Department of the Army Criminal Investigation Division and the FBI are investigating the case, which is being prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorneys Jennifer G. Solari and Darron J. Hubbard.
U.S. Attorney Estes also commended the work of CID Forensic Science Technicians from Fort Stewart, Fort Bragg, Fort Gordon, and Fort Jackson; the analysts with the U.S. Army Criminal Investigation Laboratory and the FBI Crime Lab; the Office of the Armed Forces Medical Examiner; the DOJ Cybercrime Lab; Bevel, Gardner & Associates, Inc.; and Peace River K9 Search and Rescue.
Seattle woman who embezzled more than $2.1 million from health club chain sentenced to prisonRead the Press Release
Seattle – A 57-year-old Seattle woman who embezzled more than $2.1 million from her long-time employer was sentenced today in U.S. District Court in Seattle to a year and a day in prison, announced U.S. Attorney Nick Brown. Michele D. Sharar pleaded guilty on April 25, 2022, to wire fraud for the fraudulent fund transfers she made between 2014 and 2017, from the victim’s business bank accounts to her personal bank accounts. The victim in this case asked that Sharar serve no prison time. However, U.S. District Judge John C. Coughenour said a sentence of incarceration was important because of the problem of bookkeepers and accountants stealing from small businesses. “These crimes happen so many times and do so much damage,” Judge Coughenour said.
According to records filed in the case, Sharar worked for Emerald City Athletics and Emerald City Health Properties for more than 25 years, rising to the role of Chief Financial Officer (CFO). During a time period when the owner of the company had medical issues, Sharar began stealing money from the company to feed a shopping addiction. Over a period of three years, she stole $2,144,551 by depositing third party checks to her own account, transferring money from company accounts to her own accounts, and writing checks on company accounts and depositing them to her own accounts. Sharar then falsified the company financial reports to hide the fact that she had embezzled the money.
Sharar told her employer about the theft in 2018 and agreed to attempt to pay the money back. Today Judge Coughenour ordered $2,144,551 in restitution, and ordered three years of supervised release to follow prison.
The FBI investigated the case.
The case is being prosecuted by Assistant United States Attorney Michael Dion.
San Antonio Fraudster Sentenced to PrisonRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced Wednesday to 44 months in prison followed by three years of supervised release for wire fraud.
According to court documents, Sergio Soto Jr., 35, operated two businesses, iPhone Buyerz and Phone Dropz, through which he claimed to sell used cell phones in bulk. While heavily advertising on the internet, Soto did not, in fact, have access to the large amount of cell phones he offered for sale. Soto fraudulently sold phones that he had no ability to deliver to victims including businessmen in the U.S. and in Mexico. The amount of fraud totaled $990,696.00 and Soto agreed to make restitution in this amount as part of his plea. Additionally, Soto was sentenced to pay $400 in special assessments.
“The growing trend towards significant on-line purchases has greatly increased the problem of wire fraud, both in the United States and internationally,” said U.S. Attorney Ashley C. Hoff for the Western District of Texas. “Prosecutions like this are an important part of protecting consumers from deceitful predators.”
“This individual took advantage of unsuspecting victims and lined his pockets at their expense,” said Special Agent in Charge Oliver E. Rich Jr. of the FBI San Antonio Division. “Today’s sentencing sends a strong message that those who engage in these types of fraudulent schemes will be held accountable.”
The FBI, Texas Department of Public Safety and San Antonio Police Department investigated the case.
Assistant U.S. Attorneys Greg Surovic and Matthew Kinskey prosecuted the case.
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Sacramento Man Pleads Guilty to Methamphetamine DistributionRead the Press Release
SACRAMENTO, Calif. — Francelino Mario Alves, 51, of Sacramento, pleaded guilty on Tuesday to distribution of methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on June 13, 2017, Alves sold a pound of methamphetamine to an undercover officer. On July 12, 2017, Alves sold another pound of methamphetamine to the undercover officer.
This case is the product of an investigation by the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney David W. Spencer is prosecuting the case.
Alves is scheduled to be sentenced by U.S. District Judge John A. Mendez on March 7, 2023. Alves faces a maximum statutory penalty of life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
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 U.S. Department of Justice 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.
Russian Citizen Sentenced to 46 Months for Laundering Proceeds of Internet FraudsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that TARAS ILYICH BEVZ, a citizen of Russia, was sentenced to 46 months in prison for laundering over a million dollars of proceeds of various internet frauds targeting dozens of U.S. citizens and companies. BEVZ was sentenced today by U.S. District Judge Naomi Reice Buchwald.
U.S. Attorney Damian Williams said: “Bevz, a Russian citizen, traveled to the United States on a tourist visa to engage in a crime spree that left over 40 people and entities with over a million dollars in losses. From the day he set foot on American soil, he ran companies and bank accounts that laundered proceeds of various sophisticated internet fraud schemes. Bevz’s illegal journey to America to commit crimes comes to an end with a significant prison sentence.”
According to Count Two of the Indictment, to which BEVZ pled guilty, and other statements and submissions made in Court:
On or about November 12, 2019, BEVZ entered the United States from Russia on a B2 tourist visa, which prohibited him from working in the United States. He immediately set to work preparing for the corrupt scheme to launder proceeds of various internet frauds. On the day of his arrival, BEVZ registered a corporation in New York that would be used to launder proceeds and subsequently registered a second corporation. From December 2019 to March 2021, BEVZ opened bank accounts for one or both of these companies at nine different banks, including in Manhattan bank branches.
From November 2019 through at least April 2021, BEVZ laundered the proceeds of at least two internet fraud schemes operated by co-conspirators: a hacking scheme and a vehicle fraud scheme. The hacking scheme compromised multiple companies’ bank accounts and sent proceeds to BEVZ’s accounts, among others. The fraud scheme targeted victims through internet ads for the sale of cars, RVs, motorcycles, and boats. The victims were directed to send money to BEVZ’s accounts, among others; their money was then withdrawn by BEVZ as cash or transferred to Turkey, among other destinations. The purported cars, motorcycles, and boats were never delivered to the victims. BEVZ supervised at least one other individual who similarly opened bank accounts and transacted with proceeds from the vehicle fraud scheme. BEVZ persisted in this scheme even after at least one bank prevented him from transferring money and shut down his account.
At least 42 victims lost money as part of BEVZ and his co-conspirators’ schemes. They include vulnerable victims whose business and personal savings accounts were drained as a result of the fraud and couples who have had to delay retirement. The victims represent a cross-section of society, including first generation Americans, teachers, and small business owners. They include a family who spent $26,500 to purchase an RV to transport an ailing parent cross-country over the holidays that was never delivered.
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In addition to his prison term, BEVZ, 33, was ordered pay $1,044,924 in restitution and forfeit $1,044,924.
Mr. Williams praised the outstanding investigative work of the Department of Homeland Security, Homeland Security Investigations.
The criminal case is being prosecuted by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorney Vladislav Vainberg is in charge of the prosecution.
Providence Man Sentenced to Federal Prison for Trafficking CocaineRead the Press Release
PROVIDENCE – A Providence man who acted as a middleman as he bought and sold cocaine as a member of a drug trafficking conspiracy was sentenced today to nearly four years in federal prison, announced United States Attorney Zachary A. Cunha.
Miguel Colon, 36, pleaded guilty on August 24, 2022, to a single charge of conspiracy to distribute and possess cocaine with intent to distribute. An FBI Safe Streets Task Force investigation revealed that on multiple occasions Colon purchased various quantities of cocaine from a supplier, and that he was in the business of reselling the drugs to others. Colon also offered to help his supplier gain access to kilogram quantities of drugs.
On September 16, 2021, members of the FBI Task Force executed a court-authorized search of Colon’s apartment and seized over five grams of cocaine as well items used in the packaging and sale of drugs.
At sentencing today, U.S. District Court Judge Mary S. McElroy sentenced Colon to forty-six months of incarceration to be followed by three years of federal supervised release.
The person from whom Colon allegedly purchased cocaine: William Mendez, 47, is awaiting trial in federal court, charged by way of indictment with conspiracy to distribute and to possess cocaine with intent to distribute; and conspiracy to distribute and possess with intent to distribute forty grams or more of fentanyl. A federal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The cases are being prosecuted by Assistant United States Attorney Stacey Erickson.
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Prineville Man Sentenced to Federal Prison for Attempted Production of Child PornographyRead the Press Release
EUGENE, Ore.—A Prineville, Oregon man was sentenced to federal prison today after he requested sexually explicit photos from an undercover law enforcement officer posing as a child online and travelled from his home to Bend, Oregon in hopes of having sex with the child.
Patrick James Adams, 36, was sentenced to 210 months in federal prison and a life term of supervised release.
According to court documents, on April 25, 2021, Adams sent a Facebook friend request to a person he believed was a 14-year-old girl from Bend. A few days later, Adams initiated contact with the account via Facebook Messenger and began chatting with undercover law enforcement officers. At the outset of and at multiple times during these conversations, the law enforcement officers told Adams he was chatting with a 14-year-old child. Over the next week, Adams requested nude images and videos from the purported child more than a dozen times. Adams also sent several images and an explicit video, which were used to confirm his identity. Throughout the conversation, he repeatedly reminded the fictitious minor not to tell anyone about the exchange.
On May 7, 2021, Adams traveled from Prineville to Bend in hopes of having sex with the child. Upon his arrival, Adams notified the fictitious minor victim that he would wait at a designated meeting area, a local public library, until she finished school. Investigators arrested Adams while he was waiting for the child.
On May 20, 2021, a federal grand jury in Eugene returned a three-count indictment charging Adams with attempting to use a minor to produce a visual depiction of sexually explicit conduct, attempting to coerce and entice a minor, and committing a felony offense involving a minor as a registered sex offender.
On July 26, 2022, Adams pleaded guilty to attempting to use a minor to produce a visual depiction of sexually explicit conduct.
This case was investigated by the Bend Police Department, Central Oregon Drug Enforcement (CODE) Task Force, Homeland Security Investigations (HSI), and Crook County Parole and Probation. It was prosecuted by Assistant U.S. Attorney William M. McLaren.
Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org.
Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org.
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. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Placerville Man Indicted on Drug Trafficking ChargesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a three-count indictment today against Richard Turner, 60, of Placerville, charging him with conspiracy to distribute and possess with intent to distribute methamphetamine, possession with intent to distribute methamphetamine, and being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, agents executed a federal search warrant at Turner’s residence in Placerville. During the authorized search, agents located over 40 pounds of methamphetamine. Agents also located six firearms, including one previously reported as stolen. Turner is prohibited from possessing firearms because he has five prior felony convictions, including a conviction for vehicle theft and drug trafficking offenses.
This case is the product of an investigation by the Drug Enforcement Administration, the El Dorado County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Forest Service, and the Bureau of Land Management. Assistant U.S. Attorney Alstyn Bennett is prosecuting the case.
If convicted of the methamphetamine trafficking offenses, Turner faces a mandatory minimum sentence of 10 years in prison, up to a maximum statutory penalty of life in prison, and a $10 million fine. If convicted of being a felon in possession of a firearm, Turner faces a maximum sentence of 15 years in prison and a fine of up to $250,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case 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 U.S. Department of Justice 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.
Pennsylvania Man Charged with Sexual Exploitation of Child and Attempted Enticement of MinorRead the Press Release
NEWARK, N.J. – A Pennsylvania man was arrested for sexually exploiting and attempting to entice a minor victim, U.S. Attorney Philip R. Sellinger announced today.
Diego Ramos, 19, of Blakeslee, Pennsylvania, is charged by complaint with one count of sexual exploitation of a child and one count of attempted enticement of a minor. He appeared on Nov. 30, 2022, before U.S. Magistrate Judge André M. Espinosa in Newark federal court and was detained.
According to documents filed in this case:
From May 29, 2021 through Nov. 29, 2022, Ramos used multiple Instagram accounts and other social media and messaging platforms to successfully coerce a minor to send sexually explicit images and videos to Ramos. He threatened the victim with public exposure if the victim did not send additional sexually explicit images and videos requested by Ramos, and caused the victim to pay Ramos $12,982 to stop him from publicly releasing the images.
The count of sexual exploitation of a child carries a mandatory minimum penalty of 15 years in prison; the count of attempted enticement of a minor carries a mandatory minimum penalty of 10 years in prison. Both counts are punishable by a maximum of life in prison.
U.S. Attorney Sellinger credited special agents of the FBI the 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 charges. He also thanked the FBI-Philadelphia, the Regional Computer Forensics Laboratory, the Mount Pocono, Pennsylvania, Police Department, and the Perth Amboy, New Jersey, Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Jenny Chung of the OCDETF/Narcotics Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Owner of Johnson Sausage Shop Sentenced to 1 Year for Not Paying Tax Withholdings to IRSRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced today that Christa Johnson, 57, Cambria, Wisconsin, pleaded guilty and was sentenced in U.S. District Court in Madison, Wisconsin by U.S. District Judge James D. Peterson. Judge Peterson ordered Johnson to serve one year in prison and pay a $25,000 fine. She was also ordered to pay $326,905 in restitution to the IRS, which she paid immediately.
On June 16, 2022, a federal grand jury sitting in Madison, Wisconsin returned a 17-count indictment against Johnson, charging her with seven counts of withholding income taxes and payroll taxes from her employees and not paying the taxes over to the IRS, nine counts of not paying the employer's share of employment taxes, and one count of obstruction of IRS collection efforts.
Johnson owned Johnson Sausage Shoppe, Inc. (JSS) which operated as a meat processing plant, grocery store, and catering business in Rio, Wisconsin since 1996. As President of JSS, Johnson was responsible for all aspects of JSS's business operations, including accounting, finance, banking, payroll, hiring and firing of employees, paying bills, paying taxes, and filing Forms 1120-S, 941, and 940 with the IRS.
The indictment alleged that Johnson failed to timely file quarterly employment tax returns (Form 941) for JSS, and pay the employment taxes, starting with the first quarter of 2013 through the fourth quarter of 2016. During that time span, JSS paid $1,496,524.69 in wages and withheld from those wages FICA taxes and the employee's income taxes, which totaled $211,337.32, none of which was paid over to the IRS. Johnson also failed to pay to the IRS the employer's matching share of FICA taxes, which totaled $111,137.86, and federal unemployment taxes which totaled $4,430.54, for the same time period. In total, JSS owed $326,905 in unpaid taxes to the IRS.
At today's hearing, Johnson pleaded guilty to one count of not paying over the employee tax withholdings for the third quarter of 2016, but agreed the total tax loss of the scheme amounted to $326,905.
In imposing the one-year prison term, Judge Peterson told Johnson that her conduct was serious, not only in terms of a large tax amount due, but also because the crime took place over a long period of time and she engaged in a pattern of defiance with the IRS for a long time frame. Judge Peterson noted that numerous individuals gave Johnson repeated warnings that she was in violation of the law, but Johnson ignored these warnings, and chose to defy her tax obligations from 2013 through 2016. As a result, Judge Peterson stated that a prison term was necessary to punish her and provide specific deterrence so that she would not repeat this conduct. Judge Peterson also noted that a prison term was necessary to provide a general deterrence message to other employers so that they know if they withhold income taxes and employment taxes from their employee's wages and do not pay it over to the IRS, they will be held accountable, and will go to prison.
The charges against Johnson were the result of an investigation conducted by IRS Criminal Investigation. Assistant U.S. Attorney Daniel Graber prosecuted this case.
Oregon Woman Sentenced to Federal Probation After Stealing and Crashing Vehicle Belonging to TribeRead the Press Release
EUGENE, Ore.—A former employee of the Burns Paiute Tribe was sentenced to federal probation today after she stole and crashed a vehicle owned by the Tribe used to transport students to and from school events.
Sara Janeese Hawley, 37, a resident of Burns, Oregon, was sentenced to three years’ federal probation. Hawley was also ordered to pay restitution to the Burns Paiute Tribe.
According to court documents, Hawley used an employee access code to enter the Burns Paiute Tribe’s Tribal Housing Department building where she took the keys to and stole a Dodge Caravan minivan owned by the Tribe. Hawley, who had earlier used methamphetamine and inhalants, drove away in and later crashed and totaled the vehicle.
On April 21, 2022, a federal grand jury in Eugene returned an indictment charging Hawley with embezzlement and theft from an Indian Tribal Organization. On August 23, 2022, she pleaded guilty to the single charge.
This case was investigated by the Bureau of Indian Affairs and the FBI. It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon.
On World AIDS Day, Justice Department Highlights Efforts to Protect Civil Rights of People Living with HIV and AIDSRead the Press Release
On World AIDS Day 2022, the Justice Department reaffirms its commitment to protecting the rights of people living with Human Immunodeficiency Virus (HIV) and Acquired Immune Deficiency Syndrome (AIDS). Since passage of the Americans with Disabilities Act (ADA) more than 30 years ago, the department has worked vigorously to protect and advance the rights of the more than one million Americans living with HIV and AIDS.
“The Department of Justice vigorously safeguards the rights of all Americans, including people living with HIV and AIDS,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “On World AIDS Day, we reaffirm our commitment to using civil rights laws such as the Americans with Disabilities Act, to address the unlawful treatment of people living with HIV and AIDS and stem the spread of stereotypes and misinformation about the disease.”
Over the past year, the Justice Department’s Civil Rights Division has prioritized the enforcement of the ADA to seek equal opportunity for and combat discrimination against people living with HIV and AIDS.
- In October, the department issued a letter finding that a Pennsylvania county correctional facility violated the ADA by preventing an inmate from working in the facility’s kitchen because he has HIV. This exclusion deprived the inmate of benefits including monetary compensation, special housing, extra privileges and eligibility for sentence reduction.
- In September, the department entered a consent decree resolving a lawsuit against the Town of Clarksville, Indiana. The lawsuit alleged that the Town’s police department prevented a qualified applicant from becoming a police officer based on his HIV diagnosis. The agreement requires Clarksville to pay monetary damages to the complainant, revise its policies and train its personnel.
- In September, the department secured a settlement agreement with an in-home caregiving agency to resolve allegations that the company refused to provide in-home services to an individual with HIV. The agreement requires the agency to pay monetary damages to the individual, adopt a non-discrimination policy and train its staff.
- In June and July, the department secured settlement agreements with two tattoo studios to resolve complaints that clients were refused services after informing the studios of their HIV-positive status. The agreements require the tattoo studios to pay monetary damages to the complainants, develop a non-discrimination policy, and train their employees.
- In February, the department entered consent decrees resolving two cases alleging that doctors in California refused to provide routine medical care to a patient on the basis of her HIV status. One lawsuit alleged that when the patient tried to make an appointment, she was told that the doctor could not see her because she had HIV, and the second lawsuit alleged that another doctor denied the patient a Pap smear, a regular preventative procedure, because he deemed her a “high risk” patient. The consent decrees require each doctor to pay monetary damages to the complainant and a civil penalty to the United States, to receive training on the ADA and the care of patients with HIV, and to implement a non-discrimination policy.
In addition to its enforcement efforts, the department continues to engage in outreach to educate people living with HIV and AIDS, businesses, state and local governments, and other covered entities on their rights and responsibilities under the ADA. The department also provides technical assistance and responds to questions from individuals and covered entities through our ADA Information Line at 800-514-0301 (voice) or 833-610-1264 (TTY).
To learn more about the Civil Rights Division’s work, please visit Civil Rights Division | Department of Justice and archive.ADA.gov/HIV Home Page.
Omaha Man Sentenced to more than Seven Years’ Imprisonment for Drug ChargeRead the Press Release
Acting United States Attorney Steven Russell announced that Abraham Jose Alvarenga, 28, of Omaha, Nebraska, was sentenced today in federal court in Omaha for Conspiracy to Distribute Methamphetamine. United States District Court Judge Brian C. Buescher sentenced Alvarenga to 94 months’ imprisonment. After completing his term of imprisonment, Alvarenga will be required to serve a 5-year term of supervised release as there is no parole in the federal system.
On September 14, 2020, a DEA agent working in an undercover capacity coordinated a purchase of approximately 396 grams of methamphetamine at a South Omaha gas station. At the meet location, the undercover agent was approached by Alvarenga and a co-defendant, German Reyes Jr. Alvarenga got into the undercover agent’s car and sold the agent the methamphetamine while Reyes walked into the gas station.
On November 9, 2020, another co-defendant, Andres Cruz, sold the undercover agent an additional 295 grams of methamphetamine and was arrested on November 16, 2020, when he was found in possession of another 896 grams of methamphetamine. The investigation revealed that both Cruz and Alvarenga were distributing the methamphetamine on behalf of Reyes.
Cruz was sentenced to 51 months’ imprisonment on January 14, 2022. Reyes was sentenced to 188 months’ imprisonment on September 22, 2022.
This case was investigated by the United States Drug Enforcement Administration.
Ohio Man Sentenced to Prison in Connection with Destructive Devices Found on Tug BoatsRead the Press Release
CHARLESTON, W.Va. – Nathaniel Blayn Becker, 43, of Marietta, Ohio was sentenced today to eight years and one month in prison, to be followed by three years of supervised release, in connection with pipe bombs found on tugboats on the Ohio River.
On April 19, 2022, a federal jury found Becker guilty of two counts of possession of an unregistered destructive device and two counts of placement of a destructive device on a vessel. According to court records and evidence presented at trial, law enforcement officers recovered the destructive devices from two different tugboats moving barges on the Ohio River on October 21 and October 25, 2021. Becker appeared on security video purchasing pipes and other relevant components of the devices from a Lowe’s store in Marietta on four separate occasions and close in time to when the devices were found. Around the time of the first incident, exterior security video from Lowe’s and the Walmart in Marietta showed Becker carrying pipe bomb components toward an Ohio River bridge. Investigators believe the destructive devices were dropped from the bridge.
Similar devices were discovered on a third tugboat moving barges on the Ohio River on October 26, 2021. However, those devices were found to contain non-explosive septic tank cleaner and therefore Becker was not charged.
Becker was on probation at the time of the offenses, following his conviction for failure to comply with an order or signal of a police officer in the Washington County, Ohio, Court of Common Pleas on August 28, 2020. Becker had brandished a knife at an officer during a traffic stop on February 3, 2020, and then led police on a car chase before barricading himself in his residence. Becker was arrested after a standoff with law enforcement.
“This was a very concerning case to me because not only did it put the workers of the tugboats at risk, it also put the general public at risk because these pipe bombs were dropped from a major interstate bridge,” said United States Attorney Will Thompson. “This case was also very perplexing to me because even as of today, we have yet to find a motive of what made Mr. Becker want to do this. That’s concerning to me now and also concerning to me when Mr. Becker is eventually released.”
Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the assistance provided by the Federal Bureau of Investigation (FBI), the West Virginia State Police, the U.S. Coast Guard, the Parkersburg Police Department, the Wood County Sheriff’s Department and the Washington County, Ohio, Sheriff’s Office.
"Nathaniel Becker showed complete disregard for public safety. His actions could have resulted in death or serious injury to citizens, as well as first responders who rendered those devices safe," said ATF Special Agent in Charge Shawn Morrow. "This case demonstrates ATF's commitment to reducing violent crime involving the criminal misuse of explosives and it highlights strong interagency cooperation across multiple jurisdictions. I commend the ATF Charleston Office, the United States Attorney's Office, and our law enforcement partners for working together to hold Becker accountable."
Thompson also commended Assistant United States Attorney Joshua Hanks and former Assistant United States Attorney Nick Miller for prosecuting the case and securing guilty verdicts on all four counts against the defendant.
United States District Judge Irene C. Berger imposed the sentence.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-234.
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New York Man Sentenced to Three Years in Prison for Conspiring to Traffic in Stolen Goods Worth More Than $1 MillionRead the Press Release
NEWARK, N.J. – A Staten Island, New York, man who conspired with others to traffic in stolen goods and merchandise was sentenced today to 36 months in prison, U.S. Attorney Philip R. Sellinger announced.
Razel Romhein, 49, of Staten Island, New York, previously pleaded guilty before U.S. District Judge Kevin McNulty in Newark federal court to an information charging him with conspiracy to transport stolen goods. Judge McNulty imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From 2011 through May 2013, Romhein and others engaged in a conspiracy to traffic in stolen health and beauty aid products and over-the-counter pharmaceuticals. These products were stolen by “boosters” from various places, including retail stores located in New Jersey, and then sold through a series of distributors at a significantly discounted price.
Romhein operated a warehouse facility in Staten Island, New York that functioned as a “cleaning station” for the stolen products. He arranged for the delivery of stolen merchandise and he and others removed security packaging and other labels from the products that identified the retail stores from which the products were stolen. The products, with an aggregate value of at least approximately $1 million, were then sold for a profit.
In addition to the prison term, Judge McNulty sentenced Romhein to three years of supervised release.
U.S. Attorney Sellinger credited special agents of the Department of Homeland Security, Homeland Security Investigations, New York Field Office, under the direction of Special Agent in Charge Ivan J. Arvelo; inspectors of U.S. Postal Inspection Service in Newark, under the direction of Acting Inspector in Charge Raimundo Marrero, Philadelphia Division; special agents of the Department of Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Special Agent in Charge Patrick J. Hegarty; and special agents of the U.S. Department of Agriculture Office of the Inspector General under the direction of Special Agent in Charge Bethanne M. Dinkins, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Anthony P. Torntore, of the U.S. Attorney’s Office’s Cybercrime Unit.
New York Diagnostic Testing Facility Owners Sentenced for Health Care Fraud SchemeRead the Press Release
Two New York diagnostic testing facility owners were sentenced today to three years in prison for their roles in a more than $18 million health care fraud scheme.
According to court documents, Tea Kaganovich, 50, and Ramazi Mitaishvili, 62, both of Brooklyn, are a married couple that co-owned several diagnostic testing facilities in Brooklyn. The couple paid over $18 million in kickbacks for the referral of beneficiaries who submitted themselves to diagnostic testing and other purported medical services. Kaganovich and Mitaishvili also falsely reported to the IRS that the illegal kickback payments were legitimate business expenses and therefore submitted tax forms that under-reported business income and claimed deductions to which they were not entitled.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Breon Peace for the Eastern District of New York; Acting Special Agent in Charge Susan Frisco of the Department of Health and Human Services, Office of Inspector General’s (HHS-OIG) Office of Investigations; Assistant Director in Charge Michael J. Driscoll of the FBI New York Field Office; and Special Agent in Charge Thomas Fattorusso of the IRS Criminal Investigation (IRS-CI) New York Field Office made the announcement.
The HHS-OIG, FBI, and IRS-CI investigated the case.
Assistant Chief Debra Jaroslawicz and Trial Attorney Sarah Wilson Rocha of the Justice Department’s Fraud Section prosecuted the case. Assistant U.S. Attorney Tanisha Payne handled forfeiture matters.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 24 federal districts, has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
New Orleans Man Pleads Guilty to Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – JOHNNY WALSH, age 25, a resident of New Orleans, pleaded guilty yesterday to violating the Federal Gun Control Act before United States Senior District Judge Ivan L.R. Lemelle, announced U.S. Attorney Duane A. Evans.
WALSH pleaded guilty to two different counts of being a felon in possession of a firearm, one from March 2022 and the other from August 2022. On the March 2022 charge, WALSH faces up to 10 years imprisonment, a fine of up to $250,000 and up to three years of supervised release following any term of imprisonment, plus a mandatory special assessment fee of $100. On the August 2022 charge, WALSH faces up to 15 years imprisonment, a fine of up to $250,000 and up to three years of supervised release following any term of imprisonment, plus a mandatory special assessment fee of $100.
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 investigated by the New Orleans Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The prosecution is being handled by Assistant United States Attorney David Haller.
New Orleans Man Pleads Guilty to Drug Trafficking and Firearms OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that yesterday, SEAN ESPRIT, age 27, of New Orleans, pleaded guilty before United States Senior District Judge Ivan L.R. Lemelle to violations of the Controlled Substances Act and the Gun Control Act.
According to court records, ESPRIT admitted to jointly possessing with the intent to distribute over a kilogram of heroin, over 400 grams of fentanyl, and a quantity of cocaine hydrochloride, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(A), 841(b)(1)(C), 846. ESPRIT also admitted to jointly possessing a firearm during and in relation to a drug trafficking crime, in violation of 18 U.S.C. § 924(c)(1)(A)(ii).
Sentencing is set for March 8, 2023. On the drug offense, Esprit faces a mandatory minimum sentence of 10 years, up to life imprisonment, a fine of up to $10,000,000, and at least 5 years of supervised release. On the firearms charge, Esprit faces a mandatory minimum sentence of 5 years, up to life imprisonment, a fine of up to $250,000, and up to 5 years of supervised release. Each count also carries a mandatory special assessment fee of $100.
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 is being investigated by the Drug Enforcement Administration and the Federal Bureau of Investigation. Assistant United States Attorney David Haller is in charge of the prosecution.
New Castle County Man Sentenced to Almost 8 Years in Federal Prison for Selling FentanylRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced that Michael Younger, 45, a New Castle County man, was sentenced yesterday to 94 months in prison for distributing fentanyl. U.S. District Judge Richard G. Andrews pronounced sentence. The government argued at sentencing that Younger continued selling deadly fentanyl despite knowing that the drugs he sold were causing overdose deaths.
According to court documents and statements made in court, Younger is a career offender, with two prior convictions for serious drug offenses. The Drug Enforcement Administration (“DEA”) began investigating Younger in early January 2021, after receiving information suggesting that Younger supplied fentanyl that caused the overdose death of a person. While under investigation, Younger sold additional fentanyl to a government cooperator on February 4, 2021. During that transaction, Younger told the cooperator that a second customer had died of an overdose after ingesting Younger’s drugs. As a result, Younger changed the stamp he used to brand his fentanyl because Younger thought that law enforcement could trace that stamp to him. The government’s investigation revealed that Younger’s other customer had indeed died of drug overdose in late January 2021.
The drugs Younger sold contained not only fentanyl but also xylazine, a horse tranquilizer. Recently, xylazine has been commonly used as an additive included within fentanyl baggies.
U.S. Attorney Weiss commented on the sentencing, “Investigating and prosecuting those who knowingly sell drugs that kill continues to be a top priority for my office and our law enforcement partners. As overdoses continue to ravage our community, those who profit from illegal fentanyl sales can and will face justice. And if customers die from your drugs, you are facing the prospect of decades in prison.”
Assistant U.S. Attorney Jennifer K. Welsh prosecuted the case. The case was investigated by the DEA and the New Castle County Police Department.
The United States Attorney’s Office is committed to helping those who suffer from substance abuse. If you need help, drug treatment information is available any time through the federal Substance Abuse and Mental Health Services Administration’s Treatment Referral Routing Service, found online at dpt2.samhsa.gov/treatment/ or by dialing 1.888.545.2600.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:22-cr-00004.
Montour County Man Sentenced to 210 Months’ Imprisonment for Methamphetamine TraffickingRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on November 29, 2022, James Edward King, III, age 45, of Danville, Pennsylvania, was sentenced by United States District Court Chief Judge Matthew W. Brann, to 210 months’ imprisonment for methamphetamine trafficking.
According to United States Attorney Gerard M. Karam, King was convicted on July 21, 2022, of conspiracy to distribute 50 grams and more of a mixture and substance containing methamphetamine. The investigation began based on information that King and his codefendant, Christopher Lee Brown, age 42, of Mifflinburg, Pennsylvania, were having a large quantity of methamphetamine delivered through UPS to Union County, Pennsylvania, for distribution. The Pennsylvania State Police intercepted the shipment and arrested both King and Brown.
On June 16, 2022, Brown pleaded guilty, to conspiracy to distribute 50 grams and more of a mixture or substance containing methamphetamine. Brown is awaiting sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the U.S. Drug Enforcement Administration (DEA) and the Pennsylvania State Police. Assistant U.S. Attorneys Jaime Keating and Alisan Martin are prosecuting the case.
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Minneapolis Felon Charged with Illegal Possession of a FirearmRead the Press Release
MINNEAPOLIS – A Minneapolis man has been charged in a federal criminal complaint for illegal possession of a firearm, announced U.S. Attorney Andrew M. Luger.
According to court documents, on November 28, 2022, Minneapolis Police officers responded to a call that a person at 19 Bar, located near downtown Minneapolis, had pulled out a gun after being asked to leave. When officers arrived, several people pointed at a man, who was later identified as Conell Walter Harris, 29. Harris resisted arrest and tried to reach into the pocket of his hooded sweatshirt. Officers recovered a stolen .45 caliber Glock model 30 pistol from Harris’ pocket. Officers spoke to bar employees and customers and learned that Harris had become upset after an employee asked to see his identification, which Harris refused to show. The employee then asked Harris to leave the bar. Harris became combative and pulled out a pistol. An employee attempted to deescalate the situation but Harris became more aggressive and made multiple threatening statements. Harris then left for a short time but returned to the bar before law enforcement arrived.
Harris is charged in a criminal complaint with felon in possession of a firearm. He made his initial appearance today in U.S. District Court before Magistrate Judge Tony N. Leung. Harris was ordered to remain in custody pending a formal detention hearing scheduled for December 5, 2022.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Minneapolis Police Department.
Assistant U.S. Attorney Samantha H. Bates is prosecuting the case.
A complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Miami Man Sentenced to 27 Years in Prison for Home Invasion and ShootingRead the Press Release
MIAMI — Frankie David Vargas II of Miami has been sentenced to 27 years in prison and three years of supervised release by U.S. District Judge Darrin P. Gayles for a two-day crime spree that involved carjacking, robbery, and a firearm.
According to court records, on August 17, 2021, Vargas drove a stolen car to a gym parking lot where he broke into nine cars and stole money, jewelry, and a handgun. Around 3:30 a.m. the next day he robbed a gas station attendant at gunpoint and stole cash from the register and the attendant’s phone.
Vargas ditched the car on the street a few hours later and walked to an apartment complex where he broke into one of the apartments through the downstairs window. He robbed the woman who was living there at gunpoint and shot her teenage son when he tried to help his mother. The bullet penetrated the shoulder and hit his lungs. Vargas then stole the keys to the son’s car, crashed it into another car, and sped off. Law enforcement tracked Vargas through the phone he had stolen from the gas station attendant and found him at another residence where he was arrested.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and acting Special Agent in Charge Robert M. Dewitt, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
FBI, Miami Field Office, investigated the case with assistance from the City of Miami Police Department, the North Miami Police Department, and the Miami-Dade Police Department. Assistant U.S. Attorney Jonathan Bailyn prosecuted the case.
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.
Mexican Man Pleads Guilty to Federal Immigration CrimeRead the Press Release
CHARLESTON, W.Va. – Gerardo Tomas-Avila, 32, a Mexican national, pleaded guilty today to reentry of a removed alien and was remanded to the custody of Immigration and Customs Enforcement (ICE) for deportation proceedings.
According to court documents and statements made in court, on August 19, 2022, ICE agents arrested Tomas-Avila in Elkview, Kanawha County, after identifying him in the course of an investigation. Tomas-Avila admitted that he was a citizen of Mexico in the United States illegally and that he had previously been deported from the United States. Tomas-Avila had no identification documents permitting him legal status in the United States.
Fingerprints matched Tomas-Avila to a prior administrative removal from the United States, which followed his arrest in Taylor County, Kentucky, on April 7, 2012. Tomas-Avila was deported to Mexico on June 8, 2012, following his conviction for driving under the influence in Taylor County, Kentucky, on April 23, 2012. Tomas-Avila never obtained the express consent of the Secretary of U.S. Homeland Security to reapply for admission to the United States, nor did he seek to reenter through other legal means.
United States Attorney Will Thompson made the announcement and commended the investigative work of U.S. Immigration and Customs Enforcement.
United States District Judge Irene C. Berger presided over the hearing, sentencing Tomas-Avila to the time he has served in custody since his August 19, 2022 arrest before remanding Tomas-Avila to ICE custody. Assistant United States Attorney Erik S. Goes prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-171.
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Massachusetts Man Suspected in Multiple Bank Robberies in New England ArrestedRead the Press Release
TAYLOR DZICZEK, 40, of Chicopee, Massachusetts, was arrested today on federal criminal complaint charging him with robbing a Connecticut bank earlier this year. As alleged in the complaint, Dziczek is also a suspect is several additional bank robberies that have occurred in Connecticut, Massachusetts, Vermont and New Hampshire since September 2021.
Today’s announcement was made by U.S. Attorney Vanessa Roberts Avery, Special Agent in Charge David Sundberg of the FBI’s New Haven Division, Special Agent in Charge Joseph R. Bonavolonta of the FBI’s Boston Division, and Special Agent in Charge Janeen DiGuiseppi of the FBI’s Albany Division.
Dziczek appeared today before U.S. Magistrate Judge Robert A. Richardson in Hartford and was ordered detained.
As alleged in the complaint, the FBI and state and local law enforcement have been investigating 14 robberies and one attempted robbery of banks and credit unions in Massachusetts, Connecticut, Vermont and New Hampshire, which were committed by what appears to be the same individual, that occurred between September 2021 and August 2022. During the investigation, Dziczek was identified as a suspect who robbed the Peoples United Bank, located at 117 East Street in Plainville, Connecticut, on May 26, 2022. On that date, Dziczek entered the bank, approached the teller counter and gave the teller a note stating words to the effect of, “I have a gun. Don‘t call 911. Don‘t set off any alarms.“ When the teller stated she did not have any more money, Dziczek pulled what appeared to be a black firearm from the front pocket of his sweatshirt and made additional statements including “Give me all the money,” “I have a gun,” and “Don‘t be a hero.”
It is alleged that Dziczek removed some of the paper money wrappers from the money he received from the teller and discarded them at the bank before he fled the scene. Plainville Police detectives collected the discarded money wrappers as evidence.
It is further alleged that on October 21, 2022, FBI special agents surveilled Dziczek while he was in the MGM Casino in Springfield, Massachusetts, and retrieved a Red Bull energy drink can with a black straw from which Dziczek was observed drinking. Laboratory analysis connected DNA found on the black straw to DNA found on discarded money wrappers from the Plainville bank robbery.
The charge of bank robbery carries a maximum term of imprisonment of 20 years.
U.S. Attorney Avery stressed that a criminal complaint 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 ongoing investigation is being conducted by the FBI New Haven Division’s Violent Crimes Task Force, FBI Boston Division, FBI Albany Division, Connecticut State Police, Massachusetts State Police, Athol (Mass.) Police Department, Avon (Conn.) Police Department, Brattleboro (Vt.) Police Department, Chicopee (Mass.) Police Department, East Windsor (Conn.) Police Department, Enfield (Conn.) Police Department, Greenfield (Mass.) Police Department, Keene (N.H.) Police Department, Meriden (Conn.) Police Department, Montague (Mass.) Police Department, Nashua (N.H.) Police Department, Plainville (Conn.) Police Department, Somers (Conn.) Police Department, and Springfield (Mass.) Police Department. The Connecticut Department of Emergency Services and Public Protection, Division of Scientific Services has provided valuable assistance to the investigation.
This case is being prosecuted by Assistant U.S. Attorneys Daniel E. Cummings, Stephanie T. Levick and Nancy V. Gifford. U.S. Attorney Avery thanked the U.S. Attorney’s Offices for the Districts of Massachusetts, Vermont and New Hampshire for its close cooperation in investigating and prosecuting this matter.
Martinsburg woman sentenced for cocaine chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Jennifer Hardy, of Martinsburg, West Virginia, was sentenced today to 57 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.
Hardy, 32, pleaded guilty in August 2022 to one count of “Aiding and Abetting Distribution of Cocaine Base.” Hardy admitting to working with another to sell cocaine base, also known as “crack,” in February 2021 in Berkeley County.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Eastern Panhandle Drug Task Force, a HIDTA-funded initiative, investigated.
U.S. District Judge Gina M. Groh presided.
Marion County Convicted Felon Enters Plea for Illegally Possessing A Firearm and AmmunitionRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Justin Heath Griffin (35, Ocklawaha) has entered a guilty plea to an indictment charging him with one count of possessing a firearm and ammunition affecting interstate commerce by a convicted felon. This charge is punishable by up to 10 years in federal prison. Griffin was indicted on July 19, 2022. He will be sentenced on March 9, 2023, before Senior United States District Judge Gregory A. Presnell.
According to court records, on March 3, 2022, officers from the City of Ocala Police Department arrested Griffin for driving without a valid driver's license. Following the arrest, the officers discovered that Griffin possessed a loaded firearm, ammunition, drug paraphernalia, and methamphetamine. Griffin has eight prior state felony convictions, including possession of a firearm by a violent offender (2006) and armed robbery (2007). As a convicted felon, he is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Hannah Nowalk.
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.
Man charged in San Felipe shootingRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced that Jeremiah Tenorio has been charged in connection with a shooting on the San Felipe Pueblo. Tenorio, 26, and an enrolled member of the San Felipe Pueblo, appeared in federal court on Nov. 28 for a detention hearing, facing charges of assault with a dangerous weapon, assault resulting in serious bodily injury, and discharging a firearm in relation to a crime of violence. Tenorio will remain on conditions of release pending trial, which has not been scheduled.
According to a criminal complaint, on Nov. 2, Tenorio and others allegedly arrived at the residence of the victim, identified as John Doe, in response to an altercation earlier that day. The group allegedly mistook John Doe for one of the people involved in the altercation. Tenorio allegedly shot John Doe twice before the group fled.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Tenorio faces up to 10 years in prison for assault with a dangerous weapon and assault resulting in serious bodily injury, and a minimum of 10 years and up to life in prison for discharging a firearm in relation to a crime of violence.
The FBI investigated this case with assistance from the Bureau of Indian Affairs. Assistant United States Attorney Mark Pfizenmayer is prosecuting the case.
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Madison Felon Sentenced to 4 Years for Illegal Firearm PossessionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Kishaun Brooks, 21, Madison, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to four years in federal prison for possessing a handgun as a felon. This prison term will be followed by three years of supervised release.
Brooks possessed a Glock semiautomatic handgun between March 18, 2022 and April 1, 2022. During this period, Brooks was a felon on probation after having been convicted and sentenced in Dane County for three separate felony burglary convictions, three separate felony car theft convictions, and three separate felony convictions for vehicle flee/elude an officer.
In imposing the four-year sentence, Judge Peterson reflected on Brook’s criminal history and the threat he posed to public safety. In addressing Brooks, Judge Peterson indicated that he had been a “menace to the community” but that the four-year sentence would deter Brooks from endangering the public, and, with three years of federal supervision, gave Brooks an opportunity to turn his life around.
The charge against Brooks was the result of an investigation conducted by the Fitchburg Police Department, the Madison Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. U.S. Attorney Timothy M. O’Shea prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Los Angeles Man Found Guilty of Stealing More Than $150,000 and Attempting to Steal Nearly $1.9 Million More in COVID Business LoansRead the Press Release
LOS ANGELES – A downtown Los Angeles man was found guilty today by a jury of federal criminal charges for fraudulently obtaining more than $150,000 – and attempted to obtain an additional $1.85 million – in COVID-relief loans for several companies he claimed to own and operate.
Sean Schoepflin, 43, a.k.a. “Sean Fitzgerald,” was found guilty of two counts of wire fraud and two counts of money laundering.
According to evidence presented at his three-day trial, from April 2020 to October 2021, Schoepflin made numerous false statements to the United States Small Business Administration to secure more than $150,000 – and attempting to secure an additional $1.85 million – in Economic Injury Disaster Loans (EIDLs) for his business.
In applying for the EIDL loans, Schoepflin falsely stated that the business entity he created had several employees and more than half a million dollars in revenue, and that he would use the EIDLs for working capital for the business. Schoepflin also falsely stated on loan application that he had never been convicted of a felony.
In fact, his purported business, Capital Adventures Inc., had no employees and little to no revenue. Schoepflin used the EIDLs largely for personal expenses, and he had previously been convicted of multiple felonies.
For example, Schoepflin falsely stated in the loan application that Capital Adventures had revenues of $560,000 in a one-year period just before the pandemic. When an SBA employee sent an email to Schoepflin requesting Capital Adventures’ business tax return to show proof of the company’s existence as a business entity, Schoepflin sent an unsigned tax form that stated that Capital Adventures had gross sales or receipts of $625,112 in 2019.
In fact, Capital Adventures did not file the required IRS form for 2019 until July 2021, after it requested and was denied an increase for its EIDL. Furthermore, between February 2018 and April 2020, Capital Adventures’ bank accounts had total deposits of approximately $35,000.
United States District Judge Fernando M. Olguin scheduled a July 27 sentencing hearing, at which time Schoepflin will face a statutory maximum sentence of 20 years in federal prison for each wire fraud count and up to 10 years in federal prison for each money laundering count.
Schoepflin’s wife, Erika Leon, 45, a.k.a. “Erika Fitzgerald,” also of downtown Los Angeles, has pleaded not guilty to two counts of wire fraud in this case. Her trial is scheduled for February 21, 2023.
Schoepflin also is scheduled to go to trial on May 16, 2023 on an indictment charging him with one count of being a felon in possession of firearms and ammunition. Schoepflin allegedly possessed nine firearms and more than 2,000 rounds of ammunition despite felony convictions dating back to the late 1990s in Florida state court, including witness tampering, cocaine possession and burglary.
The FBI and the Treasury Inspector General for Tax Administration investigated this matter. The Small Business Administration’s Office of Inspector General provided substantial assistance with the investigation.
Assistant United States Attorneys Solomon Kim of the Terrorism and Export Crimes Section and Ali Moghaddas of the Major Frauds Section are prosecuting this case.
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 Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Local Firm and Owners Plead Guilty to Fraud and Illegal Sale of PesticidesRead the Press Release
For Further Information, Contact: Assistant U. S. Attorney Melanie K. Pierson (619) 546-7976
SAN DIEGO – Integral Hygienic Solutions, Inc, dba TruClean, a La Mesa-based sanitation company, pleaded guilty in federal court today to defrauding customers by falsely claiming that its antimicrobial cleaning product was tested and approved by the U.S. Environmental Protection Agency.
The company had claimed that its antimicrobial product, TruClean 365, eliminates bacteria and viruses, including Covid-19, on treated surfaces for one year with a single application. The company also claimed that its product had been submitted to the antimicrobials division at the EPA for testing and that the EPA had validated their claim of one year of effectiveness through “rigorous testing.”
At the beginning of the pandemic in early 2020, the defendants put TruClean’s own labels on bottles of chemical products purchased from a chemical company on the East Coast. Ray Louis Smith Jr., Ramont Joseph Smith, and TruClean then marketed, sold, and distributed the newly re-labeled products as providing year-long protection against infection from viruses, including the virus that causes Covid-19, on its social media pages and its website.
Products represented to kill viruses in the environment are regulated by the EPA as pesticides. None of the products sold under the TruClean name was registered as a pesticide by the EPA, as required by law. Pesticides that are unregistered may not be sold or distributed in the United States. In pleading guilty, the company admitted that it sold over $800,000 worth of the unregistered pesticides.
"The defendants tried to gain commercial advantage during the pandemic by falsely claiming that the federal government had tested and validated their product,” said U.S. Attorney Randy S. Grossman. “The U.S. Attorney’s Office is committed to investigating and prosecuting criminal cases to assist in protecting the public from frauds such as this.” Grossman thanked the prosecution team and investigating agencies for their excellent work on this case.
“The defendants in this case knowingly persisted in their false assertions that their pesticide application provided protection against COVID-19,” said Special Agent in Charge Scot Adair of EPA’s criminal program in California. “As this case demonstrates, EPA and its law enforcement partners are committed to holding responsible parties accountable for false claims that put entire communities at risk.”
“This case demonstrates the EPA Office of Inspector General’s commitment to investigate crimes that undermine the integrity of EPA programs and defraud consumers,” said Special Agent in Charge Garrett J. Westfall of the U.S. EPA OIG. “Our investigative team and law enforcement partners held the subjects accountable by quickly uncovering the potential harm to health and safety and by exposing the false claims promoted by TruClean 365.”
“Homeland Security Investigations (HSI) along with our government partners are committed to protecting the American public against criminal networks attempting to illegally sell products that could endanger lives of U.S. consumers for financial gain,” said HSI San Diego Special Agent in Charge Chad Plantz. “We remain vigilant and will use our broad legal authorities to disrupt and dismantle criminal networks seeking to exploit and benefit from the COVID-19 pandemic.”
This case was prosecuted jointly by the U.S. Attorney’s Office for the Southern District of California, and the U.S. Department of Justice, Environmental Crimes Section.
Sentencing is set for Feb 24, 2023, before U.S. District Judge Todd Robinson.
DEFENDANTS Case Number 22cr2607-TWR Integral Hygienic Solutions, Inc. Incorporated: 2020 Sheridan, WY Ray Louis Smith, Jr. San Diego, California Ramont Joseph Smith San Diego, CaliforniaSUMMARY OF CHARGES
Count 1 (Integral Hygienic Solutions, Inc. only)
Wire Fraud – Title 18, U.S.C., Section 1343
Maximum penalty: Five years of probation for a corporation and/or a fine of $500,000, or twice the unlawful gain or lossCount 2 (all defendants)
Unlawful Sale/Distribution of Pesticides – Title 7, U.S C., Sections 136j and 136l
Maximum penalty: One year in custody and/or a fine of $100,000AGENCIES
U.S. Environmental Protection Agency, Criminal Investigation Division and Office of Inspector General; Homeland Security Investigations; California Department of Toxic Substances Control
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Lenexa Man, Woman Indicted for $2.9 Million Medicare Fraud ConspiracyRead the Press Release
KANSAS CITY, Mo. – A Lenexa, Kansas, man and woman have been indicted by a federal grand jury for their roles in a $2.9 million conspiracy to defraud Medicare.
Timothy A. Chin, 64, and Lauren M. Sword, 36, were charged in a 23-count indictment returned by a federal grand jury on Tuesday, Nov. 29.
Chin and Sword jointly owned and operated Senior Community Care LLC a/k/a Momentum Med Services, LLC. Sword, a chiropractor and owner of Adjust to Health, was enrolled as a Medicare provider.
The federal indictment alleges that Chin and Sword participated in a conspiracy to pay bribes and receive kickbacks for the referral of Medicare beneficiary information that was used to submit $2,927,706 in claims to Medicare from February 2019 through September 2019. Medicare actually paid out approximately $861,399 to two laboratories that submitted those claims.
In addition to the conspiracy, Chin and Sword are charged with 22 counts of wire fraud.
Through Senior Community Care, the indictment says, Chin and Sword marketed genetic tests to Medicare beneficiaries. They also hired or contracted with marketers, sales representatives, and patient recruiters to target Medicare beneficiaries at senior residential communities and other locations, and to induce those Medicare beneficiaries to agree to genetic testing regardless of medical necessity.
Genetic testing is used to indicate whether there is a higher risk of developing certain types of cancer, or to assess how the body’s genetic makeup would affect its response to certain medications. To conduct genetic testing, a laboratory needed to obtain a DNA specimen from the patient. Specimens were typically obtained from the patient’s saliva by using a cheek swab to collect cells.
Marketers collected Medicare personal identifying information from Medicare beneficiaries, along with the swabs. Health care providers, such as doctors, then signed orders for genetic tests that were, in turn, used to bill Medicare for those tests.
Operating through Senior Community Care, the indictment says, Chin and Sword were marketers and patient recruiters for MBM Solutions, a Florida company involved in marketing genetic tests to Medicare beneficiaries. Chin and Sword allegedly received kickbacks and bribes from MBM in exchange for the referral of Medicare beneficiaries for genetic tests and doctors’ orders for those tests.
MBM Solutions purportedly received kickbacks and bribes from Momentum Sales & Marketing, a company operating out of New Jersey and Florida that marketed genetic tests to Medicare beneficiaries.
Senior Community Care was one of other marketing sub-groups that operated in a payment structure that included MBM and Momentum Sales & Marketing, whose owners are being prosecuted in other districts. Because Chin and Sword were involved in this multi-level scheme to defraud Medicare, the indictment says, they were paid kickbacks and bribes by MBM. Chin and Sword allegedly paid kickbacks and bribes to their Senior Community Care marketers in exchange for the referral of Medicare beneficiaries for genetic tests.
Chin and Sword caused two laboratories to bill and be paid by Medicare. Those laboratories billed Medicare approximately $2,927,706, and Medicare paid them approximately $861,399 for specimens from 163 Medicare beneficiaries.
Between April 15 and Aug. 30, 2019, MBM paid Chin and Sword approximately $95,348 by making 14 electronic deposits into their account. These payments allegedly were made in exchange for the referral of Medicare beneficiaries for genetic testing and, as such, were illegal kickbacks.
Between June 19 and Sept. 4, 2019, Chin and Sword allegedly withdrew a total of $34,458 from their bank account and used those funds to compensate Senior Community Care marketers for genetic testing referrals and, as such, those payments were illegal kickbacks.
The federal indictment also contains a forfeiture count, which would require Chin and Sword to forfeit to the government any property derived from the proceeds of the alleged wire fraud, including a money judgment in the amount of $95,348.
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 Cindi Woolery. It was investigated by the Department of Health and Human Services, Office of Inspector General.
Leader of International Drug Trafficking Organization Pleads Guilty to Cocaine Trafficking ConspiracyRead the Press Release
Jose Gonzalez-Valencia, aka Chepa, pleaded guilty in the U.S. District Court for the District of Columbia today to international cocaine trafficking.
In December 2017, Brazilian authorities arrested Gonzalez-Valencia, 47, at the request of the United States. He was extradited from Brazil to the United States in November 2021.
According to court documents, between 2006 and October 2016, Gonzalez-Valencia was a leader of the Los Cuinis, an international drug trafficking organization (DTO) responsible for importing large quantities of cocaine from Mexico, Colombia, Guatemala, and elsewhere into the United States.
As noted in court documents, Los Cuinis is closely aligned with the Cartel de Jalisco Nueva Generacion (CJNG), which is based in the State of Jalisco in Mexico. Together, Los Cuinis and CJNG form one of the largest, most dangerous, and prolific drug cartels in Mexico. They are responsible for trafficking significant quantities of illegal drugs into the United States and employing extreme violence to further that objective. Gonzalez-Valencia is the brother of Los Cuinis leaders Abigael Gonzalez-Valencia and Gerardo Gonzalez-Valencia, and the brother-in-law of Nemesio Oseguera Cervantes, aka Mencho, the leader of CJNG.
“Gonzalez Valencia worked with Los Cuinis and the CJNG to bring thousands of kilos of drugs into the United States,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This case sends a clear message that the Criminal Division is committed to protecting our communities, dismantling the drug trafficking organizations that prey on them for profit, and holding traffickers like Gonzalez Valencia accountable.”
“CJNG is responsible for vast quantities of deadly illegal drugs that are being distributed across the United States,” said Administrator Anne Milgram of the DEA. “Today’s guilty plea reflects the men and women of the DEA’s unwavering commitment to hold all drug traffickers accountable that seek to profit from CJNG’s violent and deadly drug trafficking network.”
Gonzalez-Valencia pleaded guilty to one count of conspiracy to distribute five kilograms or more of cocaine, knowing and intending that it would be imported into the United States. He is scheduled to be sentenced on April 7, 2023 and faces a mandatory minimum sentence of 10 years in prison and a statutory maximum sentence of life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case is supported by the Organized Crime and Drug Enforcement Task Force (OCDETF).
The DEA Los Angeles Field Division is investigating the case.
Acting Assistant Deputy Chief Kaitlin Sahni and Trial Attorneys Kate Naseef and Kirk Handrich of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case. The Justice Department’s Office of International Affairs provided significant assistance.
The Justice Department’s Office of International Affairs thanks Brazilian authorities for their assistance in securing the arrest and extradition of Gonzalez-Valencia.