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30 November 2022
Ponte Vedra Beach Contract Postal Carrier Indicted on Theft of Mail ChargeRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces the return of an
indictment charging Kori Ann Moreno (26, Ponte Vedra Beach) with theft of mail over an eight-month period. If convicted, Moreno faces up to five years in federal prison and payment of restitution to the victims in the case. She was arrested on November 29, 2022, by agents from the United States Postal Service – Office of Inspector General and subsequently released on a bond.An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by United States Postal Service – Office of Inspector General. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Philadelphia Attorney Pleads Guilty to Tax ChargesRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Conrad Benedetto, 66, of Philadelphia, PA, and who is an attorney licensed to practice in Pennsylvania and New Jersey, entered a plea of guilty before United States District Court Judge Wendy Beetlestone to multiple tax fraud charges in connection with his scheme to avoid paying the appropriate amount of personal and business taxes over to the IRS for several years in connection with his Philadelphia law practice.
The defendant pleaded guilty to the charges of failure to file a tax return and failure to collect or pay employment tax, both arising from an investigation that revealed that from tax years 2013 to 2015, Benedetto filed false personal tax returns understating his law practice’s gross receipts; for tax years 2016-2018, the defendant failed to file personal tax returns; and for 2017, failed to truthfully account for, or pay over to the IRS, federal income and FICA taxes withheld from the wages of his law firm’s employees.
“As the sole owner and operator of his law practice, the defendant had a fiduciary obligation to file taxes in a timely and accurate manner,” said U.S. Attorney Romero. “Further, as an attorney, he had a duty to conduct himself with professionalism and integrity; instead, he chose the greedy path. Together with our law enforcement partners, we will investigate and hold responsible those who would attempt to cheat the United States tax system.”
“Mr. Benedetto had a responsibility to do what honest taxpayers do every year: file accurate tax returns and pay over the taxes they owe. However, even being an attorney, he elected not to do so, which ultimately led to today’s guilty plea,” said Yury Kruty, Special Agent in Charge of IRS-Criminal Investigation. The Special Agents of my office, together with the Department of Justice, will continue to investigate and prosecute those who intentionally violate our tax laws.”
The case was investigated by the Internal Revenue Service – Criminal Investigations and is being prosecuted by Assistant United States Attorney Joan Burnes.
Pensacola Man Sentenced to Twenty-Six Years in Federal Prison for Federal Drug Trafficking and Firearms OffensesRead the Press Release
PENSACOLA, FLORIDA – Charles E. Posey, Jr., 33, of Pensacola, Florida, was sentenced to 26.5 years in federal prison after pleading guilty to federal drug trafficking and firearms offenses. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“Those who repeatedly commit serious crimes are deserving of significant prison sentences,” said U.S. Attorney Coody. “This career criminal has demonstrated his unwillingness to abide by the law, committing repeated drug crimes. Given the outstanding work of our state, local, and federal law enforcement partners, he will no longer be distributing drugs in our community.”
During his plea in federal court, Posey admitted being present at a residence in Pensacola on December 3, 2020, which contained over $20,000 in United States currency, ten firearms, and large amounts of cocaine, methamphetamine, and marijuana. Posey’s white Lexus was also present on scene, and the Escambia County Sheriff’s Office and Bureau of Alcohol, Tobacco, Firearms, and Explosives located large amounts of methamphetamine and marijuana within it along with a Glock .40 caliber pistol with an attached “drum” acting as an extended magazine with 27 live rounds inside.
“This sentencing is great news for the Florida Panhandle communities,” said ATF Tampa Field Division’s Assistant Special Agent in Charge Cheryl Harrell. “A dangerous felon – a repeat drugs and firearms offender -- will be locked up for a long time, thanks to our incredible partnership with Escambia County Sheriff’s Office and the United States Attorney’s Office-Northern District of Florida.”
Posey is a multi-convicted felon who has been to state prison previously. His prior state convictions also involve drug trafficking and firearms offenses.
Posey’s prison sentence will be followed by 5 years of supervised release.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Escambia County Sheriff’s Office. The case was prosecuted by Assistant United States Attorneys David L. Goldberg and Kaitlin Weiss.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
As part of its PSN strategy, the United States Attorney’s Office is encouraging everyone to lock their car doors, particularly at night. Burglaries from unlocked automobiles are a significant source of guns for criminals in the Northern District of Florida. Please do your part and protect yourself by locking your car doors.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Parkersburg Man Sentenced for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – Benjamin Michael Nash, 38, of Parkersburg, was sentenced today to five years of federal probation for attempting to possess with intent to distribute quantities of methamphetamine and psilocybin.
According to court documents and statements made in court, Nash admitted that he traveled from Parkersburg to California in July 2020 and obtained controlled substances to sell in the Parkersburg area. On July 28, 2020, Nash shipped a package containing the controlled substances from Santa Cruz, California, to a 19th Street address in Parkersburg.
On August 8, 2020, a United States Postal Service employee working in the Parkersburg Post Office stopped delivery of the package and forwarded it to law enforcement after smelling suspected marijuana. Officers obtained a search warrant to open the package and found it contained approximately 875.4 grams of a methamphetamine mixture, 50 boxes of candy bars made with the psychedelic drug psilocybin weighing approximately 1.9 kilograms, 19 pounds of marijuana, and smaller amounts of cannabis oil, flower, resin and seeds. Nash admitted that he intended to distribute the methamphetamine, marijuana and psilocybin candy bars.
Chief United States District Judge Thomas E. Johnston imposed the sentence. The Court had previously granted Nash pre-sentencing release to allow him to participate in a residential substance abuse program at Recovery Point. The Court later postponed sentencing so Nash could finish the program. The Court at sentencing cited Nash’s successful competition of that program and his subsequent promotion to his current position as a peer mentor supervisor at Recovery Point.
“Mr. Nash should be commended for his hard work in taking advantage of the opportunities that the Court afforded him to recover from his addiction,” United States Attorney Will Thompson said. “It is readily apparent that Mr. Nash has suffered from addiction most of his adult life. While his addiction certainly did not excuse his criminal conduct, I certainly hope he continues down his personal path to recovery.”
Thompson also commended the United States Postal Inspection Service and the Parkersburg Narcotics and Violent Crimes Task Force for their investigative work, and Assistant United States Attorney Joshua Hanks for the prosecution of 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. 2:21-cr-194.
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Out of state man ordered to prison for stalking local victimRead the Press Release
HOUSTON – A 47-year-old Colorado man has been sent to federal prison following his conviction of stalking and threatening a woman with releasing sexually-explicit images unless she moved with him across the country, announced U.S. Attorney Jennifer B. Lowery.
Moses Cano pleaded guilty Sept. 20.
Today, U.S. District Judge Jeffrey V. Brown ordered Cano to serve 46 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard how the victim was still emotionally distraught about Cano, has changed how she interacts with others and has moved. Judge Brown heard that the victim chose not to be present at the hearing so not to give Cano the satisfaction of seeing her again. In handing down the sentence, the court noted Cano, while on supervised release, would not be able to contact the victim directly or indirectly or contact any of her friends or family that he knows based on their relationship.
Cano and the victim dated for a brief amount of time. At the end of that relationship, Cano made threats to her if she did not agree to come to Colorado with him. The victim refused. In retaliation, he then sent sexually-explicit images of the victim to her place of employment and several of her friends.
At the time of his plea, he admitted he took over her Facebook account and used it to send the images and other messages to her contacts.
In distress, the victim contacted authorities.
Cano will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation with the assistance of Matagorda County Sheriff’s Office. Assistant U.S. Attorney Sherri L. Zack prosecuted the case.
Orange Park Man Sentenced to 6 Years in Federal Prison for Receiving Child Sexual Abuse Images and Videos over the InternetRead the Press Release
Jacksonville, Florida – United States District Judge Brian J. Davis has sentenced Charles LeLande Boston (32, Orange Park) to six years in federal prison for receiving child sex abuse images. Boston was also ordered to serve a five-year term of supervised release and register as a sex offender. In addition, Boston was ordered to pay $23,000 in restitution to the victims of his offense. He was arrested on August 12, 2021, and ordered detained pending the outcome of this case. He had pleaded guilty on July 28, 2022.
According to court documents, the Clay County Sheriff’s Office (CCSO) conducted an online investigation on a file-sharing network for files containing materials depicting the sexual abuse of children. In January, March, and April 2021, a CCSO detective connected with a computer that had files depicting the sexual abuse of children available for sharing over the internet. Homeland Security Investigations (HSI) and CCSO later executed a search warrant at the residence connected to that computer and Boston was determined to be the owner of the computer. An examination of Boston’s computer revealed a folder of downloaded files from the internet containing approximately 80 files depicting the sexual abuse of children.
“Sexual predators who victimize children have no place in our society or in our communities,” said Homeland Security Investigations (HSI) Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “Thanks to our outstanding partnership with the Clay County Sheriff’s Office, we were able to stop another pedophile from targeting our children.”
This case was investigated by the Clay County Sheriff’s Office and Homeland Security Investigations (HSI). It was prosecuted by Assistant United States Attorney Ashley Washington.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
North Dakota Felon Charged with Threatening to Murder a United States OfficialRead the Press Release
MINNEAPOLIS – A North Dakota man has been charged in a criminal complaint with threatening to murder a United States official, announced U.S. Attorney Andrew M. Luger.
According to court documents, on September 14, 2018, Robert Philip Ivers, 69, of West Fargo, North Dakota, was convicted by a federal jury of threatening to murder a federal judge and interstate transmissions of threats and was sentenced to a prison term of 18 months, followed by three years of supervised release. On August 1, 2019, Ivers was released from Bureau of Prisons custody and began his term of supervised release under the supervision of a Unites States Probation Officer.
According to court documents, on September 1, 2020, Ivers left a profanity-laced voicemail on his probation officer’s telephone, which constituted a violation of the terms of Ivers’ conditions of supervised release. On November 17, 2022, during a revocation hearing, Ivers was sentenced to additional prison time and additional supervised release time. The conditions of Ivers’ supervised release included the immediate surrender his Minnesota driver’s license, and that he maintain appropriate communication with probation officers. At the conclusion of the hearing, Ivers was escorted to an interview room where he quickly became agitated and pounded his fists on a table, broke a chair leg, and threw his paperwork while continuously screaming the word “hate.” When Ivers left the room, he extended his middle fingers at one of the probation officers and yelled “I’m going to get some [expletive] to [expletive] kill you!”
Ivers is charged with one count of threatening to murder a United States official. He is scheduled to make his initial appearance later today in U.S. District Court before Magistrate Judge Tony N. Leung.
This case is the result of an investigation conducted by the United States Marshals Service.
This case is being prosecuted by Assistant U.S. Attorneys Lisa M. Kirkpatrick and Allison K. Ethen.
A complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
New Britain Man Involved in Theft of 14 Guns from Portland Firearm Dealer Sentenced to 6 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that KENNEY COTTO, 25, of New Britain, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 72 months of imprisonment, followed by three years of supervised release, for firearm offenses stemming from his participation in the burglary of a Portland firearms dealer in December 2020.
According to court documents and statements made in court, in the early morning of December 31, 2020, Cotto and Christopher Matos burglarized Central Connecticut Arms, a federally-licensed firearms dealer in Portland, and stole 14 firearms. On January 5, 2021, investigators searched an SUV that Cotto and Matos used during the burglary and recovered clothing that Cotto wore during the burglary, a hammer and tire iron Cotto and Matos used to break into Central Connecticut Arms, and other evidence. Investigators also found Matos’s DNA at the crime scene, and a subsequent search of his residence revealed clothing he wore during the burglary.
On January 4, 2021, Hartford Police arrested Cotto on unrelated firearm and drug possession charges. He has been detained since his arrest.
To date, three of the firearms stolen from Central Connecticut Arms have been recovered by law enforcement. Two were recovered by the FBI in an unrelated narcotics investigation, and the third was seized by Waterbury Police after it was fired into the air during an altercation. The remaining 11 firearms are unaccounted for.
On April 21, 2022, Cotto pleaded guilty to theft of firearms from a licensee, and unlawful possession of firearms by a felon.
Matos, 34, of New Britain, pleaded guilty to the same charges and, on October 31, 2022, was sentenced to 100 months of imprisonment.
Judge Dooley ordered Cotto and Matos to pay $21,528.91 in restitution.
This investigation was conducted by ATF and the Portland, New Britain, Berlin and East Longmeadow (Mass.) Police Departments. The case was prosecuted by Assistant U.S. Attorney Robert S. Ruff.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Nashville Man Sentenced to 25 Years for Armed Methamphetamine Trafficking in KentuckyRead the Press Release
LONDON, Ky. – A Nashville, Tenn., man, Marlon Jermaine Johnson, 39, was sentenced Tuesday to 25 years in federal prison, by U.S. District Judge Claria Horn Boom, for possession with intent to distribute 500 grams or more of methamphetamine, possession of a firearm in furtherance of drug trafficking, and possession of a firearm as a convicted felon.
According to evidence at trial, on November 18, 2019, Johnson led law enforcement officers with the Knox County Sheriff’s Department on a high-speed chase, through residential streets in Corbin, before crashing into a gate and a parked car. Johnson then fled on foot, into a cemetery, where he was ultimately apprehended. During a search of his vehicle, law enforcement located more than a kilogram of methamphetamine and a loaded firearm.
Johnson was convicted in July 2022.
Under federal law, Johnson must serve 85 percent of his prison sentence. He will be under the supervision of the U.S. Probation Office for five years after his release from prison.
Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA Louisville Field Division; and Sheriff Mike Smith, Knox County Sherriff’s Office, jointly announced the sentence.
The investigation was conducted by the Drug Enforcement Administration, the Knox County Sheriff’s Office, and Operation UNITE. The United States was represented by Assistant U.S. Attorney Andrew Trimble.
This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
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Minneapolis Felon Sentenced to 10 Years in Prison for Making Threats Against Hennepin County Government Officials, Illegal Possession of FirearmsRead the Press Release
ST. PAUL, Minn. – A Minneapolis man has been sentenced to 120 months in prison followed by three years of supervised release for making threats against Hennepin County employees and illegally possessing a firearm as a felon, announced United States Attorney Andrew M. Luger.
According to court documents, on June 24, 2021, the Hennepin County District Court issued an arrest warrant for Peter Robert Berry, 60, after he failed to appear in court for a hearing. Berry called an employee of Hennepin County Community Corrections to ask questions about his court appearance. During the call Berry became angry and began yelling and threatened to “shoot up the place.” That same day, Berry left a voice message for a Hennepin County Probation Officer in which Berry demanded a call back before he starts “killing everybody.” On June 25, 2021, Berry called a Hennepin County Service Center employee who informed him of the active warrant for his arrest due to his failure to appear in court. Upon learning about the warrant, Berry stated that he was going to “come down and kill everybody, all the judges, clerks, and deputies.” On June 29, 2021, Berry left a voice message for a Hennepin County Public Defender in which Berry expressed his dissatisfaction with the representation he received in his criminal case and threatened that people were going to die and stated that he knew where the public defender lived.
According to court documents, on July 10, 2020, and on April 7, 2021, Berry unlawfully possessed three firearms, including a Beretta .25 caliber semi-automatic pistol, a Smith and Wesson 9 mm pistol, and a Diamondback DB15 rifle. Because Berry has prior felony convictions in Hennepin, Dakota, and Ramsey Counties, he is prohibited under federal law from possessing firearms or ammunition at any time.
Berry was sentenced today in U.S. District Court before Judge Eric C. Tostrud. On June 22, 2022, Berry pleaded guilty to one count of possessing a firearm as a felon and one count of interstate transmission of a threat.
This case is the result of an investigation conducted by the FBI, the Hennepin County Sheriff’s Office, and the Minneapolis Police Department.
Assistant U.S. Attorney Allison K. Ethen prosecuted the case.
Maryland man sentenced for role in drug trafficking conspiracyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Alan Clark Tolliver, of Hagerstown, Maryland, was sentenced today to 74 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.
Tolliver, 42, pleaded guilty in December 2021 to one count of “Possess with Intent to Distribute Cocaine Hydrochloride.” Tolliver admitted to having cocaine hydrochloride in March 2021 in Berkeley County.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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; the West Virginia State Police; Customs and Border Protection; FBI-New York Safe Streets Task Force; and the New Jersey State Police investigated. The U.S. Attorney’s Office for the District of Maryland and the U.S. Attorney’s Office for the Middle District of Pennsylvania assisted.
U.S. District Judge Gina M. Groh presided.
Maryland Man Sentenced to Prison Term for Stalking Former Co-WorkerRead the Press Release
WASHINGTON – Ranjith Keerikkattil, 34, of Catonsville, Maryland, who left the United States after he was found guilty of stalking a junior co-worker, and was finally re-arrested four years later, has been sentenced to an 11-month prison term.
The announcement was made by U.S. Attorney Matthew M. Graves and Robert J. Contee, Chief of the Metropolitan Police Department (MPD).
Keerikkattil was found guilty of the stalking charge on July 9, 2018, following a trial in the Superior Court of the District of Columbia. The Honorable Robert A. Salerno released Keerikkattil following the verdict, pending sentencing. The judge ordered him to appear the next morning to have a GPS monitoring device installed. However, he failed to appear, and left the United States, ending up in Australia, where he remained a fugitive for over four years. A grand jury subsequently indicted him on July 11, 2018, on a felony charge of violating the Bail Reform Act. He was finally arrested on Oct. 4, 2022, at Dulles International Airport in Virginia. He has pleaded not guilty to the felony Bail Reform Act charge and faces trial on Jan. 4, 2023.
The Honorable Judge James A. Crowell IV sentenced the defendant on Nov. 29, 2022, to the maximum of 12 months of incarceration; however, all but 11 months of the time was suspended on the condition that Keerikkattil successfully complete five years of supervised probation. Keerikkattil will also be required to stay away from the victim, her family, trial witnesses and the consulting firm, as well as be prohibited from possessing a firearm while serving the five years of supervised probation.
According to the government’s evidence at trial, the criminal conduct began in May 2015, while Keerikkattil was a senior consultant at a consulting firm in Rosslyn, Virginia. The victim, who resided at the time in the District of Columbia, had begun her first job out of college in 2015 as a business technology analyst for the firm. Keerikkattil was her first mentor on her first project. After the victim performed countless evening and weekend hours on the project, Keerikkattil, told her that he only brought her onto the project to get close to her and that he was merely giving her busy work. He ignored her wishes to keep their relationship strictly professional and continued to pursue her. After she repeatedly tried to resolve the matter herself, she reported Keerikkattil, on June 1, 2015, to her human resources counselor.
Keerikkattil was fired on June 19, 2015, for not being forthcoming about his conduct during the firm’s internal investigation of the matter. He blamed the victim for his termination and then began a stalking campaign in retaliation. His acts included publishing false allegations about the victim on the Internet and through mass e-mails to the victim and former company employees in order to seriously frighten and defame her. When ignored, he escalated his actions. Almost two months after being fired, he sat in a café that was frequented by company employees, including the victim. He was able to obtain eye contact with the victim on one occasion inside this café, frightening her even more. The victim’s attorney notified Keerikkattil, instructing him not to have any further contact with her, but he continued to text her.
With the victim continuing to ignore him, Keerikkattil decided to take a plane almost 3,000 miles to Seattle and then rent a car and travel an additional three hours to pay an unannounced visit to the victim’s parents in a remote suburb of Portland, Oregon. On Oct. 24, 2015, he knocked on the door to the victim’s childhood home, which was at the bottom of a long driveway, and asked her father for directions to the nearby parks. It took a moment for the father to piece things together. Once he was able to figure out whom the defendant was, he slammed and locked the door and called 911. Keerikkattil texted the victim shortly thereafter, “Was nice meeting your dad today.” An arrest warrant was obtained shortly thereafter, and Keerikkattil was arrested on Dec. 19, 2015, and charged with stalking.
At the sentencing hearing, the court also considered a statement from another female victim who had claimed that Keerikkattil had stalked her in 2012-2013, where he filed similar lawsuits against her and “doxed” her on the Internet. The Government referenced this prior alleged stalking behavior during its argument, drawing the court’s attention to the striking similarities between the two victims and how Keerikkattil chose to torment them.
In announcing the sentence, U.S. Attorney Matthew M. Graves and Chief Contee commended the work of those who investigated the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Lynda Randolph and Stephanie Siegerist, Victim/Witness Advocate Jennifer Allen, and Victim/Witness Services Coordinator La June Thames. Finally, they commended the work of Assistant U.S. Attorneys Ethan Carroll and Kristina Wolf, who assisted in investigating the case, and Assistant U.S. Attorney John Giovannelli, who prosecuted and tried the case to verdict and through sentencing.
Man from Las Cruces pleads guilty to carjacking resulting in serious bodily injuryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Jesus Manuel Castaneda-Villa pleaded guilty on Nov. 29 to carjacking resulting in serious bodily injury. Castaneda-Villa, 32, of Las Cruces, New Mexico, will remain in custody pending sentencing, which has not been scheduled.
According to the plea agreement and other court records, on Dec. 3, 2021, the victim allegedly met with Castaneda-Villa, her ex-boyfriend, in a La Quinta hotel in Las Cruces. After the two began to argue, Castaneda-Villa threw a toolbox at the victim. He demanded her car keys, threatened to put a “bullet through your head,” then pointed a firearm at her and took her purse and cell phone. As Castaneda-Villa was going through her purse, the victim jumped from an open window to escape. Castaneda-Villa then fled in the victim’s vehicle.
During her escape, the victim broke her right wrist, which caused her extreme physical pain and resulted in the protracted impairment of her ability to use her right hand.
By the terms of the plea agreement, Castaneda-Villa faces 11 years and eight months in prison.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the U.S. Marshals Service, Las Cruces Police Department, New Mexico State Police and District Attorney's Office for the 3rd Judicial District of New Mexico. Assistant United States Attorneys Marisa A. Ong and Matilda McCarthy Villalobos are prosecuting the case.
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Man Caught with Gun and Drugs in St. Louis Sentenced to 9+ Years in PrisonRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Wednesday sentenced a man who was caught with a gun and cocaine base after fleeing from St. Louis police to nine years and two months in prison.
Montez Jackson, 33, of Houston, Texas, pleaded guilty in July to two felonies, possession with intent to distribute cocaine base and being a felon in possession of a firearm, and admitted being caught with the gun and drugs.
On July 19, 2020, officers with the St. Louis Metropolitan Police Department saw an Audi sedan run a stop sign in the Wells-Goodfellow neighborhood. They began following the car, checked the license plate and learned it was unregistered. The Audi then sped away, running another stop sign before colliding with another vehicle.
Jackson left the driver’s seat and ran off. He was caught after a lengthy chase.
Police found a 9mm handgun with an extended magazine and 29 grams of cocaine base, packaged for sale, in the car that Jackson admitted possessing.
Jackson has six five drug convictions and two convictions for firearms offenses.
The case was investigated by the St. Louis Metropolitan Police Department. Assistant U.S. Attorney Kourtney M. Bell prosecuted the case.
Lawrence Man Pleads Guilty to Fentanyl DistributionRead the Press Release
BOSTON – A Lawrence man has pleaded guilty in federal court in Boston to fentanyl distribution charges.
Rafael Sierra-Baez, 42, pleaded guilty on Nov. 28, 2022 to distribution and possession with intent to distribute fentanyl. U.S. Senior District Court Judge Douglas P. Woodlock scheduled sentencing for March 28, 2023. Sierra-Baez was arrested and charged on May 19, 2022.
On five separate occasions between Feb. 22, 2022 and May 4, 2022, Sierra-Baez sold suspected fentanyl to a law enforcement cooperating witness in Methuen.
The charge of distribution and possession with intent to distribute fentanyl provides for a sentence of up to 20 years in prison, three years and up to a lifetime of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement. Assistant U.S. Attorney Charles Dell’Anno of Rollins’ Major Crimes Unit is prosecuting the case.
Jury Convicts Armed Fentanyl Trafficker of Causing Fatal OverdoseRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces that a federal jury has found Justin Kelly (35, New Port Richey) guilty of conspiracy to distribute 40 grams of fentanyl resulting in death, distribution of fentanyl resulting in death, three counts of possession/distribution of fentanyl, and possessing a firearm as a convicted felon. Due to his six prior felony convictions for cocaine distribution in two separate cases, Kelly faces a mandatory sentence of life in federal prison. His sentencing hearing is scheduled for February 17, 2023. Kelly had been indicted on June 24, 2021.
According to evidence presented at trial, Kelly was a supplier of fentanyl in Pasco County. He used addicts to sell the drug for him and yielded profits of thousands of dollars per day. In the early hours of November 18, 2020, “E.L.” was found face down in his kitchen in New Port Richey by his wife, while his stepchildren were asleep a few feet away. Detectives from the Pasco Sheriff’s Office learned that a dealer named Steven Kinney had supplied the fentanyl. Kinney identified Kelly as his supplier and made recorded purchases of fentanyl from him. Search warrants executed at Kelly’s motel room and a storage unit resulted in the seizures of additional fentanyl, cash, kilogram presses, digital scales, and an M&P 15 rifle. Cellphone records corroborated that Kelly was the supplier of the fentanyl that Kinney had distributed to “E.L.” before he died.
This operation is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the Drug Enforcement Administration and the Pasco Sheriff’s Office, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Tarpon Springs Police Department. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
The case is being prosecuted by Assistant United States Attorneys Lauren Stoia and Dan Baeza.
Huntington Man Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Van Lee Harrell, 35, of Huntington, pleaded guilty today to possession with intent to distribute cocaine base, also known as “crack.”
According to court documents and statements made in court, on December 12, 2018, law enforcement officers executed a search warrant at a Marshall Avenue residence in Huntington where Harrell was living. Officers found approximately 8.6 grams of crack, three firearms, ammunition and digital scales in Harrell’s bedroom. Harrell admitted to possessing the crack and further admitted that he had been distributing drugs.
Harrell is scheduled to be sentenced on March 6, 2023, and faces a maximum penalty of 20 years in prison, three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Huntington Violent Crime and Drug Task Force, and the Huntington Police Department.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Ryan A. Keefe is prosecuting 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. 3:22-cr-148.
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Houma Man Charged with Failure to Account for and Pay TaxesRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that RENE CLEMENT (“CLEMENT”), age 75, of Houma, Louisiana, was charged with failing to account for and pay federal income taxes and Federal Insurance Contributions Act (“FICA”) taxes, in violation of Title 26, United States Code, Section 7202.
According to court documents, CLEMENT conducted a business under the name Vinyl Products, LLC. During the fourth quarter of the year 2017, CLEMENT collected federal income taxes and FICA taxes in the approximate sum of $28,809.73 from his employees but did not account for or pay any of that money to the Internal Revenue Service.
If convicted, CLEMENT faces a maximum sentence of five (5) years. Upon release from prison, CLEMENT also faces a term of supervised release up to (3) three years, and/or a fine of $10,000 or the greater of twice the gross gain to the defendant or twice the gross loss to any person under Title 18, United States Code, Section 3571. A mandatory special assessment fee of $100 is also applicable.
U.S. Attorney Evans reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The U.S. Attorney’s Office would like to acknowledge the work of the Internal Revenue Service on this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Maria Carboni.
Group Home Owners Sentenced in $1 Million Medicare Fraud SchemeRead the Press Release
A Texas married couple was sentenced today for a $1 million Medicare fraud scheme, including violations of the federal Anti-Kickback Statute.
Lindell King, 53, of Missouri City, was sentenced to 60 months in prison. Ynedra Diggs, 45, also of Missouri City, was sentenced to 70 months in prison. King and Diggs were also ordered to pay $537,992.55 in restitution.
On April 4, King and Diggs were convicted after trial in the Southern District of Texas of conspiracy to defraud the United States and to pay and receive health care kickbacks, and multiple substantive violations of the Anti-Kickback Statute.
According to court documents and evidence presented at trial, both Diggs and King were patient recruiters who owned and operated group homes in which Medicare beneficiaries lived. In exchange for sending their group home residents to the Behavioral Medicine of Houston (BMH), a community mental health center that purported to provide partial hospitalization services, BMH paid Diggs, King, and other patient recruiters illegal kickbacks in cash and by check, often concealed as payment for “transportation” or other sham services. During the course of the conspiracy, BMH fraudulently billed approximately $1 million to Medicare in claims related to patients it received in exchange for the kickbacks paid to Diggs and King.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Jennifer B. Lowery for the Southern District of Texas; Acting Special Agent in Charge Jason Meadows of the Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Dallas Region; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; Special Agent in Charge James H. Smith III of the FBI Houston Field Office; and Chief William Marlowe of the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) made the announcement.
The HHS-OIG, FBI, and MFCU investigated the case.
Trial Attorney Monica Cooper and Acting Assistant Chief Brynn Schiess of the Criminal Division’s Fraud Section are prosecuting the case.
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.
Gibson Woman Pleads Guilty in Staged Automobile Collision SchemeRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced today that FLORENCE RANDLE (“F. RANDLE”), age 70, of Gibson, Louisiana, pled guilty on November 29, 2022 to Count One (1) of her indictment, charging her with Conspiracy to Commit Mail Fraud in violation of Title 18, United States Code, Section 371. In exchange, the government agreed to dismiss four counts of Mail Fraud, a violation of Title 18, United States Code, Sections 1341 and 2. In pleading guilty to Count 1, the defendant faces a maximum penalty of five (5) years’ imprisonment; a term of supervised release of up to three (3) years; a fine up to $250,000.00, as well as a mandatory special assessment fee of $100.00. Today’s guilty plea brings the total number of defendants convicted in Operation Sideswipe to 43.
According to court documents, F. RANDLE served as an intermediary who recruited and directed passengers to participate in staged automobile collisions with tractor-trailers on May 17, 2017 and June 6, 2017. The passengers in these collisions filed fraudulent lawsuits that falsely claimed that the tractor-trailers were at fault. F. RANDLE and her co-conspirators coordinated with others, including “slammer” Damian Labeaud and attorney Patrick Keating, to arrange the staged collisions. The Honorable Jane Triche Milazzo set sentencing in this matter for March 1, 2023.
The U.S. Attorney’s Office would like to acknowledge the assistance of the Federal Bureau of Investigation, the Louisiana State Police, and the Metropolitan Crime Commission with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Maria M. Carboni; Brian M. Klebba, Chief of the Financial Crimes Unit; Assistant U.S. Attorney Edward Rivera; and Assistant U.S. Attorney Brandon S. Long.
Fourth unlawful entry lands Mexican citizen in prisonRead the Press Release
BROWNSVILLE, Texas – A 36-year-old man has been ordered to federal prison following his conviction of illegal re-entry into the United States, announced U.S. Attorney Jennifer B. Lowery.
Raul Catalino Vasquez-Estrada, Ciudad Altamirano, Guerrero, Mexico, pleaded guilty May 4.
Today, U.S. District Judge Fernando Rodriguez Jr. ordered Vasquez-Estrada to serve 50 months in federal prison. The court also ordered him to serve an additional seven months for violating his conditions of supervised release. Not a U.S. citizen, Vasquez-Estrada is again expected to face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence of Vazquez-Estrada’s previous criminal history.
On March 1, authorities arrested Raul Catalino Estrada-Vasquez approximately 2.9 miles west of the Gateway Port of Entry in Brownsville. Estrada-Vasquez did not possess any documents that allowed him to be or remain in the United States legally.
Estrada-Vasquez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Border Patrol conducted the investigation. Assistant U.S. Attorney David Coronado prosecuted the case.
Former Sheriff’s Captain’s Accomplice Sentenced to Prison for Corruption OffensesRead the Press Release
For further information contact: Assistant U. S. Attorneys Nicholas Pilchak (619) 546-9709 or Andrew Haden (619) 546-6961
SAN DIEGO - Self-described “consultant” Waiel “Will” Anton was sentenced today to 12 months and a day in federal prison for years of corrupt conduct after pleading guilty in July to two counts of obstruction of justice.
Anton admitted collecting cash payments from the operator of several unlicensed marijuana dispensaries in exchange for law enforcement information about impending searches, and for continuing to obstruct justice with the same dispensary operator while Anton was on federal pretrial release in one of his criminal cases.
Although he was never a San Diego County Sheriff’s deputy, Anton was a close associate of former Sheriff’s Captain M. Marco Garmo, who pleaded guilty to unlicensed firearms trafficking and admitted an array of corrupt conduct in September 2020. Garmo is currently serving a two-year sentence in federal prison.
In describing the larger case against Garmo and all of his co-defendants, U.S. District Judge Gonzalo Curiel observed that, “had the [federal] government not conducted this investigation and prosecuted Captain Garmo, there was a possibility that we would have had one of the most corrupt government officers ever leading the San Diego Sheriff's Department. And one can only imagine what types of favors, what type of corrupt schemes would have been hatched, would have been employed, would have become the templates for how the sheriff's department operates. And it's horrifying to even think about that prospect.” In pronouncing sentence on Anton, Judge Curiel emphasized that “the public is entitled to honest services by government officials.”
In his plea agreement, Anton admitted providing supposed “consulting” services to multiple operators of unlicensed marijuana dispensaries between January 2017 and February 2019. In particular, Anton collected a fee from the operator of the lucrative “Empire” dispensary in Spring Valley—a region then included in Garmo’s jurisdiction. In return for regular cash payments, Anton provided the operator with advance warning of planned Sheriff’s Department searches of the operator’s business locations, information which Anton received from Garmo.
Anton’s text messages with Garmo reveal the pair discussing a Sheriff’s search of the Empire operator’s competition in May 2018. Garmo reported to Anton that he had instructed his lieutenant to search another illegal dispensary located close to the Empire operator, in order “to scare the fuk outta [him] lol.” Anton responded: “Fuck yeah gman” and “Close them all,” but Garmo wrote back “$$$,” apparently reminding Anton that their focus was Anton’s ongoing profit-making scheme rather than legitimate law enforcement. Anton replied: “I got you.”
In his own plea agreement, Garmo had admitted tipping off a different illegal marijuana dispensary part-owned by his cousin in July 2018, before a separate putative law enforcement search.
At about the same time, Anton ran a different “consulting” venture for applicants for County permits to carry a concealed weapon (CCW). Per court records, in exchange for substantial fees, Anton would help his applicants submit their CCW paperwork and secure early appointments with civilian County staff. In his guilty plea, Anton admitted making an illegal $100 cash payment to a county clerk who ensured favored treatment for his CCW clients. Garmo admitted in his own plea papers that his role in Anton’s scheme was to refer CCW “consulting” clients to Anton in exchange for kickbacks of $100 apiece.
In February 2019, Anton met with an undercover agent from the Bureau of Alcohol Tobacco Firearms and Explosives (ATF), whom Garmo had referred to Anton after selling the undercover agent a pair of off-roster handguns. In exchange for a $1,000 cash payment, Anton called the Licensing clerk whom he had paid off and secured a two-week CCW appointment for the agent instead of the eight-month wait available to the public. During their meeting, Anton bragged that he would become the head of Sheriff’s Licensing after Garmo was elected Sheriff.
After ATF and FBI agents searched Anton’s home on February 13, 2019, Anton placed an unsolicited call to the undercover agent. During the call, Anton admonished the agent nine times in six minutes not to tell federal agents, if questioned, that he had paid Anton any money as part of their deal. As admitted in his plea agreement, Anton added that the undercover agent should falsely claim that he and Anton were friends and business associates.
In March 2021, while on federal pretrial release for his criminal case with Garmo, Anton met with the owner of the unlicensed “Empire” dispensary to offer his services once again. As admitted in his plea agreement, Anton met the illegal dispensary operator in a parking lot and showed him a page of Anton’s criminal discovery in violation of a court order. In exchange for another $5,000 in cash, Anton told the operator who to stay away from because they might be cooperating with law enforcement.
Court documents show that Anton was able to commit these offenses because his associates perceived him as almost a police officer himself. For example, Anton promised to “send a unit”—i.e., a marked police car—to a local businessowner complaining about a homeless person frequenting his shop.
“Proximity to power is not a license to break the law,” said Attorney for the United States Rebecca Church. “Anton leveraged his image as an apparent law enforcement insider to obstruct and subvert justice and to line his own pockets with criminal proceeds. This office will not tolerate unlawful corruption in any form.”
Anton was ordered to forfeit five firearms that he admitted were involved in a violation of criminal law for purposes of forfeiture. In total, approximately 302 firearms and 131,458 rounds of ammunition have been forfeited as part of this investigation. Anton was also ordered to pay a fine of $56,215.
Church praised the talented and dedicated investigators from the ATF and FBI who have worked on this case. She added that the U.S. Attorney’s Office wishes to once again extend its sincerest gratitude to the San Diego County Sheriff’s Department, without whose referral this case would not have been possible. Church also thanked the Sheriff’s Department for their assistance and support throughout the course of the investigation.
“Individuals who knowingly participate in firearms trafficking schemes must take accountability for their role in aiding individuals who acquire firearms illegally,” said Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Monique Villegas. “This complex investigation involving multiple defendants was made possible by the cooperation and collaboration of our federal, state, and local law enforcement partners. We have effectively disrupted yet another firearms trafficking operation.”
“Mr. Anton often purported to be a law enforcement officer and exploited his access to law enforcement information and influence for his own personal gain,” said Stacey Moy, Special Agent in Charge of the FBI San Diego Division. “Today’s sentencing serves as a reminder that the FBI will continue to work with our law enforcement partners to investigate corruption and ensure those who violate the law will be held fully accountable.”
Defendants U.S. v. Garmo, et. al, 19-CR-4768-GPC Morad Marco Garmo, 55 years old sentenced to two years in custody, forfeiture of 58 firearms and 5,385 rounds of ammunition, and $8,350 fine, following felony guilty plea Leo Joseph Hamel 65 years old sentenced to one year of probation and 100 days of house arrest, forfeiture of 229 firearms and 126,073 rounds of ammunition, following felony guilty plea Giovanni Vincenzo Tilotta 41 years old sentencing pending, following conviction at trial Fred Magana 45 years old sentencing pending, following guilty plea Waiel Yousif Anton 38 years oldSummary of Charges
Title 18, U.S.C., Sec. 1512(b)(3) – Attempted Obstruction of Justice
Defendant U.S. v. Anton, 22-CR-1142-GPC Waiel Yousif Anton 38 years old
Maximum Penalty: Twenty years in prison
Summary of Charges
Title 18, U.S.C., Sec. 1512(c)(2) – Attempted Obstruction of Justice
Maximum Penalty: Twenty years in prisonInvestigating Agencies
Bureau of Alcohol Tobacco Firearms & Explosives (ATF)
Federal Bureau of Investigation (FBI)
Former Sheriff’s Captain’s Accomplice Sentenced to Prison for Corruption OffensesRead the Press Release
Assistant U. S. Attorneys Nicholas Pilchak (619) 546-9709 or Andrew Haden (619) 546-6961
NEWS RELEASE SUMMARY – November 28, 2022
SAN DIEGO – Self-described “consultant” Waiel “Will” Anton was sentenced today to 12 months and a day in federal prison for years of corrupt conduct after pleading guilty in July to two counts of obstruction of justice.
Anton admitted collecting cash payments from the operator of several unlicensed marijuana dispensaries in exchange for law enforcement information about impending searches, and for continuing to obstruct justice with the same dispensary operator while Anton was on federal pretrial release in one of his criminal cases.
Although he was never a San Diego County Sheriff’s deputy, Anton was a close associate of former Sheriff’s Captain M. Marco Garmo, who pleaded guilty to unlicensed firearms trafficking and admitted an array of corrupt conduct in September 2020. Garmo is currently serving a two-year sentence in federal prison.
In describing the larger case against Garmo and all of his co-defendants, U.S. District Judge Gonzalo Curiel observed that, “had the [federal] government not conducted this investigation and prosecuted Captain Garmo, there was a possibility that we would have had one of the most corrupt government officers ever leading the San Diego Sheriff's Department. And one can only imagine what types of favors, what type of corrupt schemes would have been hatched, would have been employed, would have become the templates for how the sheriff's department operates. And it's horrifying to even think about that prospect.” In pronouncing sentence on Anton, Judge Curiel emphasized that “the public is entitled to honest services by government officials.”
In his plea agreement, Anton admitted providing supposed “consulting” services to multiple operators of unlicensed marijuana dispensaries between January 2017 and February 2019. In particular, Anton collected a fee from the operator of the lucrative “Empire” dispensary in Spring Valley—a region then included in Garmo’s jurisdiction. In return for regular cash payments, Anton provided the operator with advance warning of planned Sheriff’s Department searches of the operator’s business locations, information which Anton received from Garmo.
Anton’s text messages with Garmo reveal the pair discussing a Sheriff’s search of the Empire operator’s competition in May 2018. Garmo reported to Anton that he had instructed his lieutenant to search another illegal dispensary located close to the Empire operator, in order “to scare the fuk outta [him] lol.” Anton responded: “Fuck yeah gman” and “Close them all,” but Garmo wrote back “$$$,” apparently reminding Anton that their focus was Anton’s ongoing profit-making scheme rather than legitimate law enforcement. Anton replied: “I got you.”
In his own plea agreement, Garmo had admitted tipping off a different illegal marijuana dispensary part-owned by his cousin in July 2018, before a separate putative law enforcement search.
At about the same time, Anton ran a different “consulting” venture for applicants for County permits to carry a concealed weapon (CCW). Per court records, in exchange for substantial fees, Anton would help his applicants submit their CCW paperwork and secure early appointments with civilian County staff. In his guilty plea, Anton admitted making an illegal $100 cash payment to a county clerk who ensured favored treatment for his CCW clients. Garmo admitted in his own plea papers that his role in Anton’s scheme was to refer CCW “consulting” clients to Anton in exchange for kickbacks of $100 apiece.
In February 2019, Anton met with an undercover agent from the Bureau of Alcohol Tobacco Firearms and Explosives (ATF), whom Garmo had referred to Anton after selling the undercover agent a pair of off-roster handguns. In exchange for a $1,000 cash payment, Anton called the Licensing clerk whom he had paid off and secured a two-week CCW appointment for the agent instead of the eight-month wait available to the public. During their meeting, Anton bragged that he would become the head of Sheriff’s Licensing after Garmo was elected Sheriff.
After ATF and FBI agents searched Anton’s home on February 13, 2019, Anton placed an unsolicited call to the undercover agent. During the call, Anton admonished the agent nine times in six minutes not to tell federal agents, if questioned, that he had paid Anton any money as part of their deal. As admitted in his plea agreement, Anton added that the undercover agent should falsely claim that he and Anton were friends and business associates.
In March 2021, while on federal pretrial release for his criminal case with Garmo, Anton met with the owner of the unlicensed “Empire” dispensary to offer his services once again. As admitted in his plea agreement, Anton met the illegal dispensary operator in a parking lot and showed him a page of Anton’s criminal discovery in violation of a court order. In exchange for another $5,000 in cash, Anton told the operator who to stay away from because they might be cooperating with law enforcement.
Court documents show that Anton was able to commit these offenses because his associates perceived him as almost a police officer himself. For example, Anton promised to “send a unit”—i.e., a marked police car—to a local businessowner complaining about a homeless person frequenting his shop.
“Proximity to power is not a license to break the law,” said Attorney for the United States Rebecca Church. “Anton leveraged his image as an apparent law enforcement insider to obstruct and subvert justice and to line his own pockets with criminal proceeds. This office will not tolerate unlawful corruption in any form.”
Anton was ordered to forfeit five firearms that he admitted were involved in a violation of criminal law for purposes of forfeiture. In total, approximately 302 firearms and 131,458 rounds of ammunition have been forfeited as part of this investigation. Anton was also ordered to pay a fine of $56,215.
Church praised the talented and dedicated investigators from the ATF and FBI who have worked on this case. She added that the U.S. Attorney’s Office wishes to once again extend its sincerest gratitude to the San Diego County Sheriff’s Department, without whose referral this case would not have been possible. Church also thanked the Sheriff’s Department for their assistance and support throughout the course of the investigation.
“Individuals who knowingly participate in firearms trafficking schemes must take accountability for their role in aiding individuals who acquire firearms illegally,” said Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Monique Villegas. “This complex investigation involving multiple defendants was made possible by the cooperation and collaboration of our federal, state, and local law enforcement partners. We have effectively disrupted yet another firearms trafficking operation.”
“Mr. Anton often purported to be a law enforcement officer and exploited his access to law enforcement information and influence for his own personal gain,” said Stacey Moy, Special Agent in Charge of the FBI San Diego Division. “Today’s sentencing serves as a reminder that the FBI will continue to work with our law enforcement partners to investigate corruption and ensure those who violate the law will be held fully accountable.”
U.S. v. Garmo, et. al, 19-CR-4768-GPC
Defendants
Morad Marco Garmo, 55 years old—sentenced to two years in custody, forfeiture of 58 firearms and 5,385 rounds of ammunition, and $8,350 fine, following felony guilty plea
Leo Joseph Hamel, 65 years old—sentenced to one year of probation and 100 days of house arrest, forfeiture of 229 firearms and 126,073 rounds of ammunition, following felony guilty plea
Giovanni Vincenzo Tilotta, 41 years old—sentencing pending, following conviction at trial
Fred Magana, 45 years old—sentencing pending, following guilty plea
Waiel Yousif Anton, 38 years old
Summary of Charges
Title 18, U.S.C., Sec. 1512(b)(3) – Attempted Obstruction of Justice
Maximum Penalty: Twenty years in prison
U.S. v. Anton, 22-CR-1142-GPC
Defendant
Waiel Yousif Anton, 38 years old
Summary of Charges
Title 18, U.S.C., Sec. 1512(c)(2) – Attempted Obstruction of Justice
Maximum Penalty: Twenty years in prison
Investigating Agencies
Bureau of Alcohol Tobacco Firearms & Explosives (ATF)
Federal Bureau of Investigation (FBI)
Former Portland Man Sentenced to 3+ Years for 2021 Armed Standoff at Brewer WalmartRead the Press Release
BANGOR, Maine: A former Portland man was sentenced today in U.S. District Court in Bangor for being a felon in possession of a firearm. The charges stemmed from an August 2021 standoff with the Brewer Police Department.
U.S. District Judge Lance E. Walker sentenced Patrick Mullen, 52, to 37 months in prison and three years of supervised release. Mullen pleaded guilty on February 10, 2022.
According to court records, on August 28, 2021, the Brewer Police Department was called to the Brewer Walmart parking lot due to a reported disturbance. Mullen was located in the lot in his truck, and a check of his information showed that he had three outstanding warrants. In addition, he was observed in his truck holding a firearm. After an hours-long standoff, he was arrested. He is prohibited from possessing firearms due to a 2017 conviction in the Washington County Unified Court for domestic violence criminal threatening with a dangerous weapon.
The Brewer, Holden and Bangor police departments; Penobscot County Sheriff’s Office; Maine State Police; and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case. The Penobscot County District Attorney’s Office also assisted with the case.
Project Safe Neighborhoods: This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. To learn more information about PSN, visit www.justice.gov/psn.
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Former Physician Sentenced for Second Health Care Fraud ConvictionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that SPYROS PANOS was sentenced to 111 months in prison for health care fraud, wire fraud, and aggravated identity theft. PANOS pled guilty to the charges on October 30, 2020. United States District Judge Kenneth M. Karas imposed the sentence today in White Plains federal court.
U.S. Attorney Damian Williams said: “Spyros Panos, a former surgeon who surrendered his license to practice medicine after a prior conviction for health care fraud in this District, abused our healthcare system for his own personal profit again, and he is now facing a return to prison. The sentence he received appropriately reflects the seriousness of his crime and of recidivism in the eyes of the law.”
According to the Indictment, to which PANOS pled guilty, and other statements and submissions made in Court:
PANOS surrendered his New York State license to practice medicine in 2013 in anticipation of pleading guilty to an indictment charging him with health care fraud. Thereafter, while out on release in that case, and after surrendering his license, he began perpetrating a scheme to defraud six medical peer review companies by impersonating a licensed orthopedic surgeon practicing in Westchester County (“Doctor-1”). Among other things, PANOS submitted Doctor-1’s credentials to peer review companies and conducted peer reviews using Doctor-1’s name and credentials. He stopped engaging in the scheme while he served his prison sentence. After he was released, he resumed perpetrating the scheme. During the course of the scheme, PANOS defrauded the peer review companies of $876,389.97.
According to court documents, in advance of his November 2, 2020, trial, PANOS submitted proposed defense exhibits that included fraudulent emails and records. While on release pending sentencing, PANOS submitted false and fraudulent documents in support of requests for adjournments of sentencing based on false claims that he tested positive for COVID-19 and then suffered from COVID related pneumonia. In July 2022, after the Court revoked his bail conditions and ordered him remanded, PANOS was arrested and placed in custody.
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In addition to the prison term, PANOS, 54, of Hopewell Junction, New York, was sentenced to three years of supervised release.
Mr. Williams praised the outstanding investigative work of the U.S. Postal Inspection Service, the Office of the Inspector General of the U.S. Department of Health and Human Services, and the New York Inspector General.
The prosecution of this case is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Margery Feinzig and Lindsey Keenan are charge of the prosecution.
Former Officers of Non-Profit Dedicated to Helping Children Plead Guilty to Using Organization’s Funds for Personal GainRead the Press Release
WASHINGTON – The former Executive Director and the former Director of Operations and Finance of the now-defunct non-profit organization DC Children and Youth Investment Trust Corporation (DC Trust) each pleaded guilty today to one felony charge relating to their personal use of the non-profit’s funds, which were intended for youth scholarship programs.
Edward Davies, 51, of Columbia, Maryland, and Earl Hamilton, 53, of Riviera Beach, Florida, pleaded guilty in the U.S. District Court for the District of Columbia to credit card fraud. They are to be sentenced on April 7, 2023, by the Honorable Reggie B. Walton. The plea agreements call for both defendants to make restitution for their criminal acts.
The plea was announced by U.S. Attorney Matthew M. Graves, Daniel W. Lucas, Inspector General for the District of Columbia, Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division, and Terry Harris, Special Agent in Charge of the Eastern Region, U.S. Department of Education’s Office of Inspector General.
According to the plea documents, from at least November 2015 to February 2016, Davies and Hamilton perpetrated a scheme in which they obtained and used for personal benefit, DC Trust credit cards and a check card – whose bills were paid for by DC Trust funds. The DC Trust was a non-profit organization, created in 1999, to serve as an intermediary to connect philanthropists, government leaders, youth advocates, and representatives from the business community in order to support programs to benefit the children of the District of Columbia. Davies was the Executive Director and Hamilton was the Director of Operations and Finance. The organization was dissolved in late 2016.
The diverted funds, provided to the non-profit by the government of the District of Columbia and the U.S. Department of Education, were intended to provide scholarship programs for D.C. youth. According to the plea documents, Davies and Hamilton used DC Trust credit cards and a check card to make hundreds of personal purchases, for expenses such as meals, automobile repairs, and personal travel for themselves, their family members, and their friends. In total, Davies admitted to stealing at least $111,000 and Hamilton admitted to stealing at least $44,000 by using DC Trust credit cards and a check card for personal expenses.
The D.C. Office of the Inspector General, the FBI’s Washington Field Office, and the U.S. Department of Education Office of the Inspector General have been investigating this case. The case is being prosecuted by Assistant U.S. Attorneys Kathryn Rakoczy and Diane Lucas, with assistance from Paralegal Specialists Amanda Rohde and Lisa Abbe.
Former Montgomery Physician at the Center of an Oxycodone Prescription Scheme Sentenced to over 11 Years in PrisonRead the Press Release
MONTGOMERY, ALABAMA – Yesterday, former physician D’livro Lemat Beauchamp, 56, of Montgomery, Alabama, was sentenced to 135 months in prison for his role in a scheme to illegally distribute oxycodone, announced United States Attorney Sandra J. Stewart.
According to the plea agreement and other court records, from 1996 to 2020, Beauchamp practiced medicine at a Montgomery medical practice named Obelisk Healthcare. Sometime around 2012, Beauchamp agreed to write illegitimate and unnecessary oxycodone prescriptions. For writing each prescription, Beauchamp received $350. From 2012 to 2020, various organizers of the scheme recruited individuals to fill these illegitimate prescriptions at assorted pharmacies. Beauchamp wrote prescriptions to these recruits that he knew served no legitimate medical purpose. Recruits were typically paid between $100 and $250 per prescription filled, and the organizers then collected the oxycodone pills to sell to other distributors. Beauchamp wrote nearly 1,600 illegal prescriptions as part of the scheme, causing the illegal distribution of approximately 4,000,000 milligrams of oxycodone. In total, 38 individuals were charged for their roles in this conspiracy.
Beauchamp pleaded guilty to conspiracy to distribute a controlled substance in October of 2020. Beauchamp’s prison sentence will be followed by three years of supervised release. There is no parole in the federal system.
“By allowing them to prescribe powerful medications, society places a great deal of trust in physicians,” stated United States Attorney Stewart. “Not only did the defendant’s unlawful actions violate his oath to provide care for his patients, but they also contributed to the vicious cycle of addiction that is destroying lives and families. The Drug Enforcement Administration’s Tactical Diversion Squad did an excellent job of identifying Beauchamp’s alarming prescribing pattern. The thorough investigation that followed resulted in the dismantling of a drug supply line that led straight to our communities.”
“The successful prosecution of D’livro Lemat Beauchamp should put on notice those who engage in this type of illegal activity,” said DEA Assistant Special Agent in Charge Towanda Thorne-James. “We will work together with state and local law enforcement to see that anyone involved in the diversion of pharmaceuticals will be brought to justice”
The Drug Enforcement Administration’s Tactical Diversion Squad investigated this case, with assistance from the United States Department of Health and Human Services – Office of Inspector General, the Shelby County Sheriff’s Office, the Montgomery Police Department, the Department of Defense – Office of Inspector General, and the Alabama Board of Medical Examiners. Assistant United States Attorneys Stephen K. Moulton, B. Chelsea Phillips, and Jonathan S. Ross prosecuted the case.
Former Louisiana Police Chief, City Councilmember, and Additional Co-Conspirator Sentenced in Vote Buying ConspiracyRead the Press Release
Washington - A former police chief in Amite City, Louisiana and a forme Amite City councilmemberwew each sentenced yesterday to one year in prison for violating federal elction laws as part of a conspiracy to pay, or offer to pay, voters for voting in a federal election.
In addition to the prison sentence, the former police chief was also ordered to pay a $10,000 fine. Today, an additional co-conspirator was sentenced to four months in prison for his role in the scheme.
According to court documents and evidence presented at trial, Jerry Trabona, 73, the former Chief of Police in Amite City, and Kristian “Kris” Hart, 50, a former Amite City councilmember, agreed with each other and others to pay or offer to pay voters residing in Tangipahoa Parish, Louisiana, for voting during the 2016 Open Primary Election and the 2016 Open General Election, contests in which Trabona and Hart were candidates. Trabona and Hart’s vote buying scheme included the solicitation and hiring of individuals responsible for identifying potential voters, the transportation of those voters to the polls, and payment and offer of payment to the voters for voting. In the 2016 election, co-conspirator Sidney Smith, 69, of Amite City, paid voters with money provided by Trabona and Hart.
Two other Louisiana men who previously pleaded guilty for their involvement in the vote buying scheme, Calvin Batiste and Louis Ruffino, will be sentenced at a later date.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Duane A. Evans for the Eastern District of Louisiana, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Douglas Williams of the FBI New Orleans Field Office made the announcement.
The FBI New Orleans Field Office investigated the case.
Trial Attorneys Rosaleen T. O’Gara and Michael N. Lang of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney M. Irene González for the Eastern District of Louisiana are prosecuting the case.
Former Louisiana Police Chief, City Councilmember, and Additional Co-Conspirator Sentenced in Vote Buying ConspiracyRead the Press Release
A former police chief in Amite City, Louisiana and a former Amite City councilmember were each sentenced yesterday to one year in prison for violating federal election laws as part of a conspiracy to pay, or offer to pay, voters for voting in a federal election.
In addition to the prison sentence, the former police chief was also ordered to pay a $10,000 fine. Today, an additional co-conspirator was sentenced to four months in prison for his role in the scheme.
According to court documents and evidence presented at trial, Jerry Trabona, 73, the former Chief of Police in Amite City, and Kristian “Kris” Hart, 50, a former Amite City councilmember, agreed with each other and others to pay or offer to pay voters residing in Tangipahoa Parish, Louisiana, for voting during the 2016 Open Primary Election and the 2016 Open General Election, contests in which Trabona and Hart were candidates. Trabona and Hart’s vote buying scheme included the solicitation and hiring of individuals responsible for identifying potential voters, the transportation of those voters to the polls, and payment and offer of payment to the voters for voting. In the 2016 election, co-conspirator Sidney Smith, 69, of Amite City, paid voters with money provided by Trabona and Hart.
Two other Louisiana men who previously pleaded guilty for their involvement in the vote buying scheme, Calvin Batiste and Louis Ruffino, will be sentenced at a later date.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Duane A. Evans for the Eastern District of Louisiana, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Douglas Williams of the FBI New Orleans Field Office made the announcement.
The FBI New Orleans Field Office investigated the case.
Trial Attorneys Rosaleen T. O’Gara and Michael N. Lang of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney M. Irene González for the Eastern District of Louisiana are prosecuting the case.
Former DC Corrections Officer Charged with a Federal Civil Rights Violation for Assaulting a Handcuffed InmateRead the Press Release
A federal grand jury in the District of Columbia returned an indictment that was unsealed today charging a former District of Columbia Department of Corrections officer with using unreasonable force.
According to court documents, former D.C. corrections officer Marcus Bias, 26, pushed a handcuffed pre-trial detainee’s head into a metal doorframe while escorting him within the Department of Corrections on June 12, 2019, causing injury to the detainee.
Bias faces a maximum statutory penalty of 10 years in prison for his use of unreasonable force, a term of supervised release, and fines.
Assistant Attorney General Kristen Clarke of the Department of Justice’s Civil Rights Division, U.S. Attorney Matthew M. Graves for the District of Columbia, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division and Assistant Director in Charge Steven M. D’Antuono of the FBI Washington Field Office made the announcement.
The FBI Washington Field Office investigated the case.
Trial Attorneys Anna Gotfryd and Rebekah Bailey of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Michael Truscott for the District of Columbia are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former D.C. Corrections Officer Charged with a Federal Civil Rights Violation for Assaulting a Handcuffed InmateRead the Press Release
WASHINGTON – A federal grand jury in the District of Columbia returned an indictment that was unsealed today charging a former District of Columbia Department of Corrections officer with using unreasonable force.
According to court documents, former D.C. corrections officer Marcus Bias, 26, pushed a handcuffed pre-trial detainee’s head into a metal doorframe while escorting him within the Department of Corrections on June 12, 2019, causing injury to the detainee.
Bias faces a maximum statutory penalty of 10 years in prison for his use of unreasonable force, a term of supervised release, and fines.
Assistant Attorney General Kristen Clarke of the Department of Justice’s Civil Rights Division, U.S. Attorney Matthew M. Graves for the District of Columbia, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division and Assistant Director in Charge Steven M. D’Antuono of the FBI’s Washington Field Office made the announcement.
The FBI’s Washington Field Office investigated the case.
Trial Attorneys Anna Gotfryd and Rebekah Bailey of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Michael Truscott are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Customs and Border Protection Agent Indicted for Federal Civil Rights Violation for Sexually Assaulting and Kidnapping a MinorRead the Press Release
A former agent with U.S. Customs and Border Protection (CBP) was charged in a superseding indictment, unsealed today, in the District of Arizona with three counts: a civil rights violation for sexually assaulting and kidnapping a minor victim, kidnapping a minor victim, and misleading state investigators.
According to the superseding indictment, on April 25, 2022, Aaron Mitchell, 27, was employed as a CBP agent. The alleged minor victim, referred to in the indictment as M.V., was 15-years-old when the defendant allegedly kidnapped and sexually assaulted them. Mitchell is also charged with making a misleading statement to investigators regarding his conduct related to the sexual assault and kidnapping.
If convicted, Mitchell faces a maximum sentence of life in prison, a minimum of 20 years imprisonment, a minimum of five years and up to a lifetime of supervised release and a $250,000 fine.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Gary M. Restaino for the District of Arizona, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division and Special Agent in Charge Akil Davis of the FBI Phoenix Field Office made the announcement.
The FBI’s Sierra Vista resident agency investigated the case.
Assistant U.S. Attorney Carin Duryee for the District of Arizona and Trial Attorney MarLa Duncan of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an accusation, and the defendant is presumed innocent unless proven guilty.
Federal Court Rejects Claims of Medical Malpractice and Medical Battery Against the United StatesRead the Press Release
For Further Information, Contact: Assistant U. S. Attorney Steven J. Poliakoff (619) 546-7058 and Janet A. Cabral (619) 546-8715
SAN DIEGO – A federal judge held, following a recent bench trial, that a San Diego woman failed to establish her claims of medical malpractice and medical battery against the United States.
Instead, the court found that the evidence at trial “overwhelmingly” supported the United States’ position that obstetrician Sandra Lopez, M.D., from the federally-funded Vista Community Clinic (“VCC”), met the standard of care in her treatment of the plaintiff and in performing an emergency Cesarean-section delivery with informed consent. VCC is one of many federally-funded health centers nationwide that receive federal funding to provide medical care in underserved communities.
The plaintiff, who was 41½ weeks pregnant, was admitted to Tri-City Medical Center for induction of labor on November 15, 2017. Her attending VCC obstetrician, Sandra Lopez, M.D., ordered Pitocin to induce labor. The plaintiff requested, and an anesthesiologist inserted, a continuous epidural anesthetic to relieve pain. Both the Pitocin and epidural anesthetic were administered pursuant to Tri-City Hospital Medical Center protocols, which the evidence demonstrated met the standard of care.
According to evidence presented at trial, at approximately 5:20 a.m, the following morning, nursing staff noted a markedly diminished fetal heartbeat, and called Dr. Lopez, who arrived at the plaintiff’s bedside by 5:21 a.m. Dr. Lopez confirmed that the baby’s heartbeat was dangerously slow and weak. Dr. Lopez consulted with the plaintiff, who agreed to undergo an emergency Cesarean-section delivery to prevent neurologic injury and possibly death to her baby. Dr. Lopez called for an emergency Cesarean-section delivery per Tri-City Hospital protocol, which should result in all members of the surgical team promptly appearing at the operating room. However, the hospital paging notification system (for which the United States was not responsible) was delayed, and the anesthesiologist did not receive timely notification.
The baby’s very slow and very weak heartbeat meant that its blood supply to critical organs, including the brain, was being severely compromised. If allowed to continue, the baby would suffer irreversible brain damage and possibly death. Not knowing when, or even if, the anesthesiologist would arrive, Dr. Lopez consulted with the plaintiff, who again consented to Cesarean-section delivery of her baby, but now with injection of a local anesthetic to augment the anesthesia that she already had in place with the epidural anesthetic. Dr. Lopez conducted a pinch test in the plaintiff’s lower abdomen, both before and after the injection of the local anesthetic, to confirm that the plaintiff did not have sensation in the area.
During the surgery, the anesthesiologist arrived and further anesthetized the plaintiff. Within one minute of beginning the surgery, Dr. Lopez delivered a normal and healthy baby.
In her complaint, which was reported by many local news outlets after its filing, the plaintiff alleged that the United States, through Dr. Lopez, breached the standard of care in the administration of Pitocin (thereby creating the baby’s distress) and committed medical battery by performing an emergency Cesarean-section delivery without anesthesia, and without the plaintiff’s consent. The Court disagreed and found that:
Plaintiff has failed to establish her claims of medical malpractice and medical battery in this case. The evidence overwhelmingly supports Defendant’s position that Dr. Lopez met the standard of care in her treatment of Plaintiff and proceeded to perform the emergency c-section with informed consent, and to perform it under local anesthesia with informed consent.
"Dr. Lopez’s quick thinking and her command of the operating room in this obstetrical emergency was of the highest order and resulted in the birth of a healthy baby,” said U.S. Attorney Randy Grossman. “The United States Attorney’s Office was honored to defend this case and is grateful that justice was found in the court’s ruling."
Case Number
Delfina Mota v. United States of America, 19-cv-1212-AJB-NLS
SUMMARY OF CLAIMS
- Medical negligence
- Medical Battery
AGENCY
Department of Health and Human Services
Fall River Police Officer Indicted for Civil Rights Violations and False ReportsRead the Press Release
BOSTON – A Fall River Police Officer was arrested today in connection with an alleged assault with a baton on a man in Fall River Police custody.
Nicholas M. Hoar, 35, was indicted on one count of deprivation of rights under color of law and two counts of false reports. Hoar was arrested this morning and will appear in federal court in Boston today at 1:45pm before U.S. District Court Magistrate Judge Donald L. Cabell.
According to the indictment, on Dec. 21, 2020, while on duty as an officer with the Fall River Police Department, Hoar struck an individual who had been arrested in the forehead with a baton, resulting in bodily injury to the arrestee. The indictment further alleges that, on Dec. 21 and Dec. 22, 2020, Hoar submitted two reports which omitted any mention of the fact that he had struck the arrestee in the forehead with a baton.
The charge of deprivation of rights under color of law resulting in bodily injury provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of false reports provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of Rollins’ Public Corruption & Special Prosecutions Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Eight gang members sentenced to federal prison for their roles in the execution of a teenage gang member for suspected "snitching"Read the Press Release
ATLANTA – Gary Terrell Davis, an associate of the 135 Piru gang responsible for a series of violent acts throughout the Northern District of Georgia, is the last defendant to be sentenced for his role in a federal RICO conspiracy. The main targets in the case, including lead defendant Maurice Antonio Kent, were previously convicted and sentenced for their roles in the execution-style murder of a 17-year-old boy and other offenses.
“The pain and fear these defendants caused through their senseless violence has forever altered the lives of the victims, the victims’ families, and the witnesses brave enough to assist investigators.” said U.S. Attorney Ryan K. Buchanan. “We are grateful to our law enforcement partners for their perseverance in investigating the various acts of violence and threats of violence committed by this gang over the years and for bringing a measure of closure to those who have been impacted. While the perpetrators of these crimes are now in prison, tragically the gang culture that promoted these violent acts remains a scourge in our community. At-risk teens remain vulnerable to the lure of gang culture and require our collective diligence to avoid this dangerous path.”
“The members of the 135th Street Pirus gang were willing to violently assault and kill people for the smallest perceived sign of disrespect,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI and the Safe Streets Gang Task Force are committed to working with our partners to ensure that individuals are held accountable for their crimes and to eliminate gang violence from our communities.”
“This case is a great example of how collaboration with our local and federal partners is necessary to fight organized crime,” stated Brookhaven Chief of Police Brandon Gurley. “We are grateful for the relentless work of the U.S. Attorney’s Office to hold this final defendant accountable for the violent crimes he committed in our city and throughout Georgia.”
“Again, I’d like to credit the Project Safe Neighborhoods (PSN), a program conducted by the U.S. Attorney’s Office for the Northern District of Georgia that has been in place for many years,” said Cartersville Police Chief Frank McCann. “The PSN program puts federal, state, and local law enforcement officers together regularly to remove violent repeat offenders from our streets.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: The 135 Pirus gang originated in Compton, California, and has a national presence, including in the Northern District of Georgia. Maurice Antonio Kent, a.k.a. “Savage Duze,” 32, the lead defendant charged in the RICO Conspiracy, was a gang leader in northwest Georgia with leadership authority over members in the vicinity of Cartersville and Rome, Georgia.
In the early morning hours of May 13, 2017, an argument occurred outside a Brookhaven, Georgia, nightclub between a California-based 135 Pirus gang member and a rival gang member. At that time, Kent fired multiple rounds into a crowd of people outside the club, critically wounding the other gang member as well as a club security guard. During his flight from the scene, Kent tossed the firearm from a vehicle just before he was apprehended by police. Soon after being arrested and while in custody, Kent learned that a 17-year-old fellow gang member, who may have witnessed the shooting, was interviewed by law enforcement. Kent suspected the teen of “snitching.” Two days later, 135 Pirus gang members devised a plan to lure the teenager to Bartow County, where they shot and killed him with Kent’s gun, leaving the boy’s body on a rural road.
At Kent’s federal trial earlier this year, a jury heard evidence that eight months prior to the nightclub shooting, Kent committed a drive-by shooting of a man standing in his front yard in Cartersville, Georgia. After that shooting, Kent threw the firearm into Lake Allatoona. The FBI later recovered the gun from the bottom of the lake and matched cartridge casings and a bullet from the drive-by shooting to Kent’s firearm.
On May 18, 2022, the jury found Maurice Antonio Kent a.k.a., “Savage Duze,” 32, of Cartersville, Georgia, guilty of RICO Conspiracy, violent crime in aid of racketeering, discharging a firearm during the commission of those violent crimes, and possession of a firearm as a convicted felon. On August 24, 2022, the Court sentenced Kent to 40 years in prison to be followed by three years of supervised release.
Gary Terrell Davis, a.k.a. “Bhody,” 36, of Cartersville, Georgia, was sentenced to seven years in prison to be followed by three years of supervised release.
In addition to Kent and Davis, the following 135 Pirus gang members and associates were previously convicted and sentenced in this case:
- Christopher Nwanjoku, a.k.a. “Problem,” 30, a 135 Pirus leader from Lawrenceville, Georgia, received a sentence of 25 years in prison, to be followed by three years of supervised release. Nwanjoku pled guilty to RICO Conspiracy.
- Jamel Dupree Hughes, a.k.a. “Savage,” 28, a 135 Pirus member from Atlanta, Georgia, received a sentence of 26 years and two months in prison, to be followed by three years of supervised release. Hughes pled guilty to murder in aid of racketeering, use of a firearm in furtherance of a crime of violence resulting in death, attempted murder in aid of racketeering, and discharge of a firearm in furtherance of a crime of violence.
- Cedric Sams, Jr., a.k.a. “Awall,” 30, a 135 Pirus member from Cartersville, Georgia, received a sentence of 20 years in prison to be followed by three years of supervised release. Sams pled guilty to murder in aid of racketeering and use of a firearm in furtherance of a crime of violence resulting in death.
- Michael Kent, a.k.a. “Wikked,” 32, a 135 Pirus associate from Atlanta, Georgia, who is Maurice Antonio Kent’s twin brother, was sentenced to 20 years in prison to be followed by three years of supervised release. Michael Kent pled guilty to RICO Conspiracy.
- Jennifer Foutz, a.k.a. “Rose,” 30, a 135 Pirus member from Acworth, Georgia, was sentenced to 12 years in prison, to be followed by three years of supervised release. Foutz pled guilty to aiding and abetting murder in aid of racketeering and aiding and abetting the use of a firearm in furtherance of a crime of violence resulting in death.
- DaSean Dorey, 29, a 135 Pirus member from Decatur, Georgia, was sentenced to ten years in prison, to be followed by three years of supervised release. Dorsey pled guilty to aiding and abetting murder in aid of racketeering and aiding and abetting the use of a firearm in furtherance of a crime of violence resulting in death.
This case was investigated by the FBI Safe Streets Gang Task Force, with valuable assistance provided by the Brookhaven Police Department, the Bartow County Sheriff’s Office, the Cartersville Police Department, and the Georgia Department of Community Supervision.
Assistant U.S. Attorneys Jessica Morris, who serves as a Project Safe Neighborhoods Coordinator, and Michael Herskowitz, prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Eight Individuals Charged in Alleged $30 Million Unemployment Benefits SchemeRead the Press Release
Charges were unsealed today against eight individuals for conspiring to defraud the Georgia Department of Labor of tens of millions of dollars in federal funds intended for unemployment benefits.
Seven defendants have been indicted and one defendant has already pleaded guilty for her role in the scheme.
According to court documents, Tyshion Nautese Hicks, 30, of Vienna, Georgia; Shatara Hubbard, 34, of Warner Robins, Georgia; Torella Wynn, 30, of Cordele, Georgia; Macovian Doston, 29, of Vienna; Kenya Whitehead, 35, of Cordele; A’Darrion Alexander, 27, of Warner Robins; Membrish Brown, 27, of Vienna; and Edith Nate Hicks, 45, of Atlanta, Georgia and others allegedly caused more than 5,000 fraudulent unemployment insurance (UI) claims to be filed with the Georgia Department of Labor (GaDOL), resulting in at least $30 million in stolen benefits meant to assist unemployed individuals during the COVID-19 pandemic.
To execute the scheme, the defendants and others allegedly created fictitious employers and fabricated lists of purported employees using stolen personally identifiable information (PII) from thousands of identity theft victims and filed fraudulent unemployment insurance claims on the GaDOL website. The defendants allegedly stole PII from a variety of sources, including by paying defendant Edith Nate Hicks, an employee of an Atlanta-area health care and hospital network, to unlawfully obtain patients’ PII from the hospital’s databases. The defendants also allegedly caused the stolen UI funds to be disbursed via prepaid debit cards mailed to addresses of their choice, many of which were in and around Cordele and Vienna.
Tyshion Nautese Hicks, Hubbard, Wynn, Doston, Whitehead, Alexander, and Brown are each charged by indictment with conspiracy to commit mail fraud, which carries a maximum penalty of 20 years in prison. Tyshion Nautese Hicks and Doston are also charged with aggravated identity theft, which carries a mandatory two-year prison sentence that must be imposed consecutively with any other sentence. Alexander is also charged with money laundering, which carries a maximum penalty of 20 years in prison.
Edith Nate Hicks was charged by criminal information with conspiracy to commit mail fraud and pleaded guilty to this offense on Nov. 15. According to her plea agreement, Hicks unlawfully used her employer’s patient databases to steal PII for the unemployment fraud scheme in exchange for payments via Chime, Venmo, and CashApp. She unlawfully accessed at least 1,600 Atlanta-area patients’ PII during the conspiracy. Hicks faces a maximum penalty of 20 years in prison. A sentencing date has not been scheduled.
As to all defendants, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Peter D. Leary for the Middle District of Georgia; Special Agent in Charge Mathew Broadhurst of the Department of Labor Office of Inspector General (DOL-OIG), Atlanta Region; Inspector General Joseph V. Cuffari of the Department of Homeland Security Office of Inspector General (DHS-OIG); Resident Agent in Charge Clint Bush of the U.S. Secret Service (USSS) Albany, Georgia Office; Inspector in Charge Eric Shen of the U.S. Postal Inspection Service (USPIS) Criminal Investigations Group; Special Agent in Charge Katrina Berger of Homeland Security Investigations (HSI) in Georgia; Special Agent in Charge Scott Pierce of the U.S. Postal Service Office of Inspector General (USPS-OIG) Southern Area Field Office; and Special Agent in Charge James E. Dorsey of the IRS Criminal Investigation (IRS-CI) made the announcement.
The DOL-OIG, DHS-OIG, USSS, USPIS, HSI, USPS-OIG, and IRS-CI are investigating the case.
Trial Attorneys Lyndie Freeman, Matt Kahn, and Siji Moore of the Criminal Division’s Fraud Section are prosecuting the case, with valuable assistance from the U.S. Attorney’s Office for the Middle District of Georgia.
If you believe you are a victim in this case, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at [email protected]. You are also encouraged to visit our webpage for this case at http://www.justice.gov/criminal-vns/case/united-states-v-tyshion-nautese-hicks-et-al.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Eastern District of Texas Announces Multi-Year Investigation into Transnational Cryptocurrency Money Laundering NetworksRead the Press Release
TYLER, Texas – According to court documents unsealed today, 21 individuals have been charged for their roles in transnational money laundering networks, including those that laundered millions of dollars stolen from United States fraud victims through romance scams, business email compromises, technical support schemes, and other fraud schemes.
U.S. Attorney Brit Featherston of the Eastern District of Texas, William Smarr, Special Agent in Charge of the U.S. Secret Service’s (USSS) Dallas Field Office, and Inspector in Charge Thomas Noyes of the U.S. Postal Inspection Service announced Operation Crypto Runner, an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation into transnational cryptocurrency money laundering networks that facilitate the movement of fraud proceeds from victims in the United States to foreign criminal organizations.
“These defendants orchestrated highly organized and sophisticated schemes to launder fraud proceeds through cryptocurrency,” said U.S. Attorney Brit Featherston. “Today’s announcement sends a clear message that money laundering networks that service fraud schemes targeting American victims, especially the elderly, will not be tolerated, and those operating such networks will be held accountable. By acting as domestic money launderers for foreign co-conspirators, these defendants played indispensable roles that allowed foreign actors to reach from overseas to target victims in communities across the United States.”
“Today’s announcement demonstrates the investigative capabilities of the Secret Service and highlights the success of our collaborative efforts through Operation Crypto Runner to dismantle and disrupt transnational money laundering networks,” said William Smarr, Special Agent in Charge of the U.S. Secret Service’s Dallas Field Office. “These arrests are just the beginning. We are committed to bringing each of the remaining perpetrators to justice.”
“These cases stem from a multi-year operation initiated in the Eastern District of Texas by Postal Inspectors and the Secret Service,” said Thomas Noyes, Inspector in Charge of the Postal Inspection Service’s Fort Worth Division. “Cybercrime has become an all-too-common way for foreign criminal actors to prey on Americans. Interagency cooperation is essential to be effective in disrupting organized crime. I commend the exceptional work of our law enforcement partners and emphasize our agency’s ongoing commitment to combatting fraud and money laundering schemes.”
To date, the Operation has disrupted more than $300 million in annual money laundering transactions, seized and forfeited millions in cash and cryptocurrency, and identified thousands of victims.
Some of the schemes alleged in the indictments include the following:
- U.S. v. Zenobia Walker, 6:20-CR-91-JCB/KNM (11/19/2020)
Zenobia Walker, 65, of Temple Hills, Maryland, pleaded guilty on January 6, 2022, to conspiracy to operate an unlicensed money transmitting business and was sentenced to 18 months in federal prison on November 2, 2022. Walker was involved in a scheme in which she received cash by mail, money orders, wire transfers, and cashier’s checks obtained from victims of romance scams and from victims of other fraud schemes. The funds were deposited into Walker’s personal bank accounts and withdrawn and deposited into other bank accounts in order to exchange the funds for cryptocurrency. Between December 2019 and September 2020, Walker exchanged $308,800.00 for cryptocurrency on behalf of her foreign co-conspirators.
- U.S. v. Tulasidas Konda, 6:20-CR-31-JDK/JDL (4/23/2021)
Tulasidas Konda, 57, of Amelia Court House, Virginia, pleaded guilty on May 5, 2021, to conspiracy to commit money laundering. Konda led and organized a multi-year money laundering conspiracy involving the laundering of criminal proceeds derived from various scams. Konda’s organization opened bank accounts and mailboxes that were used to receive and transact victim funds, received the victim funds, engaged in subsequent financial transactions, routinely structured in amounts under $10,000 in an effort to evade reporting requirements and to conceal the nature and source of the criminal proceeds, and moved the criminal proceeds to foreign co-conspirators. Konda’s organization routinely exchanged the criminal proceeds for cryptocurrency and directed the cryptocurrency to wallets under the control of their foreign co-conspirators. In the course of the operation, Konda was personally responsible for laundering $4,172,061.58 in criminal proceeds.
- U.S. v. Deependra Bhusal, 6:21-CR-32-JDK/JDL (4/23/2021)
Deependra Bhusal, 46, of Irving, Texas, pleaded guilty on April 30, 2021, to conspiracy to commit money laundering and was sentenced to 46 months in federal prison on April 6, 2022. Bhusal was a key member of the Konda Organization. In the course of the operation, Bhusal was personally responsible for laundering $1,437,358.99 in criminal proceeds.
- U.S. v. Lois Boyd, et al., 6:21-CR-43-JDK/KNM (6/16/2021)
Lois Boyd, 76, of Amelia Court House, Virginia, pleaded guilty on June 14, 2022, to a violation of the Travel Act. Boyd, also a member of the Konda Organization, is alleged to have conspired with others to receive victim money derived from a variety of fraud schemes and launder the proceeds through cryptocurrency. Boyd routinely structured deposits in order to avoid transaction reporting requirements and to conceal the nature and source of the criminal proceeds. Boyd and others in the Konda Organization exchanged the criminal proceeds for cryptocurrency and directed the cryptocurrency to wallets under the control of their foreign co-conspirators. In August 2020, Boyd and others traveled to Longview, Texas, where they attempted to exchange more than $450,000 for Bitcoin.
- U.S. v. John Khuu, 6:22-CR-62-JCB/JDL (5/18/2022)
John Khuu, 27, of San Francisco, California was named in an indictment returned by a federal grand jury charging him in a money laundering conspiracy. According to the indictment, Khuu is alleged to have conspired with others to launder the proceeds of his drug trafficking organization through cryptocurrency. The defendant allegedly distributed counterfeit pharmaceutical pills and other controlled substances on dark web markets to customers across the United States. Customers paid for their purchases by transferring cryptocurrency, usually Bitcoin, from their dark web market customer accounts to one of Khuu’s vendor accounts. Khuu and his co-conspirators traded the Bitcoin for U.S. currency and laundered the proceeds through hundreds of transactions and dozens of financial accounts. During the course of the conspiracy, Khuu and his co-conspirators allegedly laundered more than $5,350,000.00. On August 17, 2022, Khuu was also charged by a federal grand jury in the Northern District of California in a two-count indictment charging him with unlawful importation of a controlled substance.
- U.S. v. Randall V. Rule, et al., 6:22-CR-64-JDK/KNM (5/18/2022)
Randall V. Rule, 71, of Reno, Nevada, and Gregory C. Nysewander, 64, formerly of Irmo, South Carolina, were named in an indictment returned by a federal grand jury charging them with money laundering conspiracy, money laundering, and a conspiracy to violate the Bank Secrecy Act. According to the indictment, Rule and Nysewander are alleged to have conspired with others to launder the proceeds of wire fraud and mail fraud schemes through cryptocurrency. The defendants converted funds from romance scams, business email compromises, and real estate scams, and other fraudulent schemes into cryptocurrency and sent the cryptocurrency to accounts controlled by foreign and domestic co-conspirators. The defendants and their co-conspirators made false representations and concealed material facts, in order to avoid discovery of the fraudulent nature of deposits, wires, and transfers, such as providing instructions to co-conspirators and victims to label wire transfers as “loan repayments” and “advertising.” The defendants also made false representations and concealed material facts when completing account opening documents and when communicating with financial institutions and cryptocurrency exchanges. During the course of the conspiracy, Rule, Nysewander, and their co-conspirators allegedly laundered more than $2.4 million. Rule and Nysewander are also charged with willfully violating the money services business requirements of the Bank Secrecy Act.
- U.S. v. Sharena Seay, 6:22-CR-110-JDK/JDL (8/17/2022)
Sharena Seay, 37, of Jacksonville, Florida, was named in an indictment returned by a federal grand jury charging her with money laundering. According to the indictment, Seay is alleged to have laundered the proceeds of her drug trafficking operations through cryptocurrency. The defendant allegedly supplied alpha-Pyrrolidinopentiophenone (alpha-PVP), which is often called “flakka,” and similar synthetic cathinones, such as Eutylone or alpha-PiHP. Seay distributed alpha-PVP and other controlled substances to various customers across the United States. Customers who purchased controlled substances from Seay paid for their purchases with cash. Seay laundered the cash proceeds through cryptocurrency in order to purchase more controlled substances on the dark web and to conceal her criminal activity. During the course of the conspiracy, Seay allegedly laundered more than $1.2 million.
- U.S. v. Fnu Ankush, et al., 6:22-CR-111-JCB/KNM (8/17/2022)
Fnu Ankush, 35, of Fishers, Indiana, Jenisha Katuwal, 40, of Fishers, Indiana, Sukhwinder Sandhu, 44, of Philadelphia, Pennsylvania, Inder Singh, 37, of Philadelphia, Pennsylvania, Mukul Khanna, 37, of Philadelphia, Pennsylvania, Satinder Singh, 36, of Philadelphia, Pennsylvania, Ramneek Singh, 28, of Levittown, New York, Muninder Singh, 52, of Fairfax, Virginia, Sandeep Heir, 43, of Fresno, California, and Rachel Mullins, 36, of Jacksonville, Florida, were named in an indictment returned by a federal grand jury charging them in a wire and mail fraud conspiracy. According to the indictment, the defendants facilitated technical support schemes by creating a financial infrastructure in the United States that involved establishing shell companies with names intended to resemble names of legitimate companies. The defendants opened and controlled business bank accounts in the names of the shell companies in order to facilitate the computer tech scheme. The defendants also established websites for many of the shell companies in order to make the shell companies appear legitimate. Then, through false and fraudulent pretenses, representations, and promises, and concealment of material facts, the defendants and their co-conspirators persuaded victims to deposit, wire, or transfer funds into designated bank accounts or to mail funds to designated addresses.
These efforts are part of Operation Crypto Runner, an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
In October 2017, the Elder Abuse Prevention and Prosecution Act (EAPPA) was signed into law. The EAPPA’s purpose is to increase the federal government’s focus on preventing elder abuse and exploitation. Subsequently, the Department of Justice launched the Elder Justice Initiative (EJI). Through the EJI, the Department has participated in hundreds of criminal and civil enforcement actions involving misconduct that targeted vulnerable seniors. The Department has conducted hundreds of trainings and outreach sessions across the country. The EJI website contains useful information, including educational resources about prevalent financial scams so you can guard against them.
In August 2020, the Eastern District of Texas announced its own initiative, in partnership with law enforcement and private financial institutions, to identify and prosecute transnational elder fraud. This EDTX initiative is designed to combat these criminal organizations, both foreign and domestic, as well their networks of associates and money mules who launder the stolen funds.
The investigations arising from the operation are being conducted by the U.S. Secret Service and the U.S. Postal Inspection Service and are being led and prosecuted by Assistant U.S. Attorneys Nathaniel C. Kummerfeld and L. Frank Coan, Jr., with assistance from the Criminal Division’s Fraud Section and Computer Crime and Intellectual Property Section and the Department’s Office of International Affairs.
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District of Columbia Man Sentenced to Eight Years in Prison for Burglaries in Northwest WashingtonRead the Press Release
WASHINGTON – Rayshonne Marbley, 48, of Washington, D.C., was sentenced today to an eight-year prison term on charges stemming from a series of break-ins and thefts in Northwest Washington in June 2022.
The announcement was made by U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department (MPD).
Marbley pleaded guilty in October 2022, in the Superior Court of the District of Columbia, to two counts of second-degree burglary. The Honorable Michael O’Keefe sentenced Marbley today to an aggregate term of eight years’ imprisonment. Following his prison term, Marbley will be placed on three years of supervised release.
According to the government’s evidence, on June 6, 2022, shortly after 3:00 p.m., Marbley entered an occupied home in the 3000 block of 11th Street NW. The resident’s child was awoken to the sound of her bedroom doorknob being turned and observed Marbley looking at her from another bedroom door. Marbley took various electronics before leaving the house. Marbley then entered another occupied home in the area before being chased out by the resident. Marbley again took various electronics on his way out of the house. A short time later, police were able to locate and apprehend Marbley. In his possession were various electronics taken from the two residences.
In announcing the sentence, U.S. Attorney Graves and Chief Contee expressed appreciation for the work of those investigating the cases from MPD. They also acknowledged the efforts of those working on the case from the U.S. Attorney’s Office, including Paralegal Specialist Debra McPherson and Victim Advocate Latrice Washington-Williams.
Finally, they commended the work of Assistant U.S. Attorney Shalin Nohria, who investigated and prosecuted the cases.
Connecticut Man Admits to Attempting to Travel to the Middle East to Join and Fight for ISISRead the Press Release
Ahmad Khalil Elshazly, 25, of West Haven, Connecticut, pleaded guilty today in Bridgeport federal court to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
According to court documents and statements made in court, beginning in approximately September 2018, Elshazly, a U.S. citizen, expressed a desire to travel to Syria and the surrounding area to fight on behalf of ISIS. In numerous conversations online and in person, he pledged allegiance to ISIS and its leader, Abu Bakr Al-Baghdadi. For example, in October 2019, Elshazly sent a message pledging allegiance (bayat) to the new leader of ISIS, saying “I pledge my allegiance...to the Khilafah (the successor of the leadership) of the Muslims Abu Ibrahim Al Husseini Al Hashami Al Qurashi…” (after Abu Bakr Al-Baghdadi’s death).
On Dec.14, 2019, Elshazly paid $500 to a person he believed was an ISIS facilitator who would be able to smuggle him out of the U.S. to Turkey. He further believed that travelling to Turkey would enable him to connect with ISIS members overseas who, in turn, would assist him with traveling to ISIS within Syria. On Dec. 15, 2019, Elshazly was arrested after he arrived in Stonington, Connecticut, where he expected to board a boat to begin his trip.
Elshazly has been detained since his arrest. The charge of conspiring to provide material support to a designated foreign terrorist organization carries a maximum term of imprisonment of 20 years. A sentencing date is not scheduled.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Vanessa Roberts Avery for the District of Connecticut and Special Agent in Charge David Sundberg of the FBI New Haven Field Office made the announcement.
This matter has been investigated by the FBI’s Joint Terrorism Task Force (JTTF) with the assistance of the Stonington Police Department, New Haven Police Department and Connecticut State Police. The FBI’s JTTF includes participants from the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), IRS – Criminal Investigation, Naval Criminal Investigative Service, U.S. Marshals Service, U.S. Citizenship and Immigration Services, Connecticut State Police, Connecticut Department of Correction, Metropolitan Transportation Authority Police Department, Norwich Police Department, Hartford Police Department, Stamford Police Department, Norwalk Police Department, Town of Groton Police Department, UConn Police Department, Yale Police Department and New York Police Department.
Assistant U.S. Attorney Margaret M. Donovan for the District of Connecticut and Trial Attorneys Justin Sher and Daniel Gardner of the National Security Division’s Counterterrorism Section are prosecuting the case.
Colorado Springs Woman Pleads Guilty in Teenager’s Fentanyl DeathRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Alexis Nicole Wilkins, age 27, of Colorado Springs pleaded guilty today to distribution of fentanyl, resulting in death.
According to the plea agreement, on December 3, 2021, a juvenile overdosed during class at Mitchell High School in Colorado Springs. First responders attempted life-saving measures, and transported the juvenile to a local hospital, where she was pronounced dead. The El Paso County Coroner determined the cause of death was “fentanyl intoxication.” Investigators spoke with two juvenile witnesses who were with the victim in a school restroom that morning. One juvenile witness provided statements that she and the victim used ”Percocet” in the bathroom that morning. Investigators were able to track where the juveniles got the pill through Facebook messages with the defendant, including a conversation which appears to be the one arranging the sale of a pill at the Citadel Mall in Colorado Springs the night before the victim’s death. One of the juvenile witnesses said she was introduced to the defendant by a Denver gang member in February 2021, and had been purchasing “percs” from the defendant. One witness noted the pill they purchased on December 2, 2021, looked different and was a lighter blue color than what they had received previously. Other Facebook messages indicate the defendant knew the pills she was selling were not made by a pharmaceutical company. On March 15, 2022, the Federal Bureau of Investigation (FBI) and the Colorado Springs Police Department executed a federal search warrant on the defendant’s home on West Portal Drive in Colorado Springs. Officers located and seized over 100 blue pills marked with “M” and “30,” which contained fentanyl. Investigators believe some of the pills were packaged for distribution.
Judge Christine M. Arguello presided over the change of plea hearing on November 30, 2022. Wilkins will be sentenced on March 14, 2023. Distribution of fentanyl, a Schedule II controlled substance, resulting in death carries a potential penalty of no less than 20 years and up to life in prison, a fine of no more than $1,000,000, and no less than three years of supervised release.
The Federal Bureau of Investigation (FBI) Denver Division, the Colorado Springs Police Department Metro, Vice, Narcotics, and Intelligence (MVNI) Unit, the El Paso County Sheriff’s Office, and the 4th Judicial District Attorney’s Office participated in the investigation. The prosecution is being handled by Assistant United States Attorneys Peter McNeilly and Alyssa Mance.
CASE NUMBER: 22-cr-101-CMA.
Career Drug Dealer Sentenced to over 17 Years in Federal Prison for Armed Trafficking of Fentanyl While on Community CorrectionsRead the Press Release
INDIANAPOLIS – Kevin Noel, 40, of Indianapolis, was sentenced to 210 months in federal prison after pleading guilty to possession with intent to distribute fentanyl and possession of a firearm in furtherance of a drug trafficking crime.
According to court documents, on January 29, 2021, Indianapolis Metropolitan Police Department officers went to Noel’s residence on North King Avenue, in Indianapolis, to assist Marion County Community Corrections with a check to ensure Noel was complying with the conditions of his home detention. The officers encountered common tools used by drug traffickers and evidence of recent illegal drug use during the compliance check and obtained a warrant to search Noel’s residence and truck.
The officers executed the search warrant and seized evidence of drug trafficking and illegal guns including approximately 226 counterfeit pills containing Fentanyl (totaling 24 grams), approximately 460 grams of heroin or cocaine mixed with Fentanyl powder, approximately 75 grams of crack cocaine, approximately 27 grams of powder cocaine, approximately 24 grams of methamphetamine, three semi-automatic handguns, and over $24,000 in cash drug proceeds. Noel admitted that he possessed the illegal drugs with the intent to distribute them and illegally possessed the firearms in furtherance of his drug dealing.
Officers seized approximately 692 grams of Fentanyl or substances mixed with Fentanyl during the search. According to the Drug Enforcement Administration, as little as 2 milligrams of fentanyl can be fatal, depending on a person’s body size, tolerance, and past usage. One kilogram of fentanyl has the potential to kill 500,000 people.
Noel has four prior felony convictions in state court related to possession of and dealing drugs. Noel is prohibited from possessing firearms under federal law due to these felonies.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana; Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office; Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division; and Randal Taylor, Police Chief of the Indianapolis Metropolitan Police Department; made the announcement.
DEA investigated the case in conjunction with ATF and IMPD. The sentence was imposed by U.S. District Judge Jane Magnus-Stinson. As part of the sentence, Judge Stinson ordered that Noel be supervised by the U.S. Probation Office for four years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Jayson W. McGrath who 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.
California meth trafficker sentenced to six years in prisonRead the Press Release
BILLINGS — A California man who admitted to trafficking methamphetamine after law enforcement found about a pound of the drug in his vehicle in Livingston was sentenced today to six years in prison, to be followed by four years of supervised release, U.S. Attorney Jesse Laslovich said.
Michael Romie Cervantes, 48, of Fresno, California, pleaded guilty in July to possession with intent to distribute meth.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that on March 25, 2021 in Livingston, a Montana Highway Patrol trooper conducted a traffic stop of a vehicle Cervantes was driving. The trooper developed reasonable suspicion that Cervantes and his passenger were involved in criminal activity. Upon execution of a search warrant, the officer found about one pound of meth in a backpack in the vehicle. One pound of meth is the equivalent of 3,624 doses,
Assistant U.S. Attorney Julie R. Patten prosecuted the case, which was investigated by the Drug Enforcement Administration and Montana Highway Patrol.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Boston Man Pleads Guilty to Drug Trafficking ConspiracyRead the Press Release
BOSTON – A Boston man has pleaded guilty to conspiracy to distribute fentanyl, cocaine and cocaine base (crack cocaine).
Josiah Watkins, 26, pleaded guilty on Nov. 28, 2022 to one count of conspiracy to distribute, and possess with intent to distribute, 40 grams or more of fentanyl, 28 grams or more of cocaine base and cocaine. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for March 28, 2023. Watkins was arrested and charged in April 2021.
In February 2021, law enforcement opened an investigation into drug trafficking activities conducted by Watkins and, allegedly, his co-defendant London Lee. The investigation revealed that Watkins and his co-defendant were actively selling cocaine, crack cocaine and fentanyl in the Boston area. Between February and April 2021, Watkins sold or arranged the sale of crack cocaine and fentanyl in at least 10 separate controlled purchases. His co-defendant has pleaded not guilty and is pending trial.
The charge of conspiracy to distribution of 40 grams or more of fentanyl, and conspiracy to distribute 28 grams or more of cocaine base provide for a sentence of at least five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Commissioner Michael Cox made the announcement. Assistant U.S. Attorney John T. Dawley, Jr. of the Organized Crime & Gang Unit is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bluffton Man Sentenced to 104 Months in PrisonRead the Press Release
FORT WAYNE – Yancie Hunter, 34 years old, of Bluffton, Indiana, was sentenced by United States District Court Judge Holly A. Brady after his guilty plea to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Hunter was sentenced to 104 months in prison followed by 2 years of supervised release.
According to documents in the case, in May 2020, Hunter possessed a .380 caliber firearm after being convicted of three separate felony offenses for robbery in both Indiana and Kentucky. Hunter’s prior felony convictions prohibit him from possessing the firearm.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the Fort Wayne Police Department. The case was prosecuted by Assistant United States Attorney Stacey Speith.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Berryville Man Sentenced to over 6 Years in Federal Prison for Receipt of Child PornRead the Press Release
FORT SMITH – A Berryville man was sentenced yesterday to 75 months in prison followed by five years of supervised release on one count of Receipt of Child Pornography. The Honorable Judge P.K. Holmes, III presided over the sentencing hearing in the U.S. District Court in Fort Smith.
According to court documents, in January of 2022, Homeland Security Investigations (HSI) Fayetteville, received a Cyber Tip from the National Center for Missing and Exploited Children which reported that an unknown person was utilizing an account on the Kik Messenger application to upload media files including child pornography. An investigation into the IP addresses and the Kik account information revealed the account owner to be Andrew Cruz Tovar-Reyes, age 20, of Berryville, Arkansas. Tovar-Reyes admitted to receiving child pornography using his Kik account through his cellphone. Berryville Police Department arrested Tovar-Reyes on February 15, 2022.
Tovar-Reyes was indicted by a Grand Jury in April 2022 and pled guilty in June 2022.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
Homeland Security Investigations Fayetteville, the Northwest Arkansas Internet Crimes Against Children (ICAC) Task Force and the Berryville Police Department investigated the case.
Assistant U.S. Attorneys Carly Marshall and Kyra Jenner prosecuted the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Atlanta Sex Trafficker Sentenced to 25 Years in Prison for Offenses During Super Bowl LIV in MiamiRead the Press Release
MIAMI – An Atlanta sex trafficker has been sentenced to 25 years in prison for forcing a young woman and a girl into selling themselves for sex.
Anthony Bernard Carter was convicted in July by a federal jury in Miami of sex trafficking by force, fraud, and coercion; transporting a person to engage in sexual activity; sex trafficking of a minor; and transporting a minor to engage in sexual activity.
Evidence showed during trial that Carter trafficked the Adult Victim and Minor Victim for commercial sex in Atlanta before driving them in January 2020 to Miami, which was hosting Super Bowl LIV, to continue engaging in commercial sex. While in Miami, Carter advertised the victims for commercial sex in online advertisements and both engaged in commercial sex at his direction.
Carter came to the attention of law enforcement after taking the Minor Victim to a hotel to meet with a client who was actually an undercover officer from the Miami Beach Police Department. When law enforcement attempted to apprehend Carter upon his return to the hotel, he fled from law enforcement, nearly striking multiple pedestrians with the vehicle he was driving before abandoning it. Law enforcement subsequently arrested Carter in Atlanta.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; acting Special Agent in Charge Robert M. DeWitt, Federal Bureau of Investigation (FBI), Miami Field Office; and Miami Beach Police Department Chief Richard Clements announced the sentence.
FBI, Miami Field Office, and Miami Beach Police Department investigated the case. Assistant U.S. Attorneys Lacee Elizabeth Monk and Jessica Kahn Obenauf prosecuted it.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Launched in May 2006 by the Department of Justice and led by the U.S. Attorney’s Offices and the Criminal Divisions Child Exploitation and Obscenity Section (CEOS), it marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
To report suspected human trafficking or to obtain resources for victims, please call 1-888-373-7888; text “BeFree” (233733), or live chat at HumanTraffickingHotline.org. The toll-free phone, SMS text lines, and online chat function are available 24 hours a day, 7 days a week, 365 days a year. Help is available in English, Spanish, Creole, or in more than 200 additional languages. The National Hotline is not managed by law enforcement, immigration or an investigative agency. Correspondence with the National Hotline is confidential and you may request assistance or report a tip anonymously.
Visit www.humantraffickinghotline.org to learn more about the National Resource Hotline. Visit www.justice.gov/humantrafficking to learn more about the U.S. Department of Justice’s efforts to combat human trafficking.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case no. 21-cr-20052.
29 November 2022
Woodstock Man Pleads Guilty to Tax FraudRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Joleen D. Simpson, Special Agent in Charge of IRS Criminal Investigation in New England, announced that MARIUSZ KALINOWSKI, 47, of Woodstock, waived his right to be indicted and pleaded guilty today in New Haven federal court to a tax fraud offense
According to court documents and statements made in court, Kalinowski owns and operates Kalinowski General Construction, Inc., based in Webster, Massachusetts, which provides residential and commercial construction services in Connecticut and Massachusetts. For the 2010 through 2013 tax years, Kalinowski failed to report on his personal federal tax returns $927,828 in income from his business and, as a result, failed to pay approximately $174,746 in taxes on that income.
Kalinowski pleaded guilty to one count of filing a false tax return, an offense that carries a maximum term of imprisonment of three years. He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on February 22, 2023, in Hartford.
Kalinowski has agreed to pay the IRS $174,746, plus penalties and interest that have accrued on his unpaid taxes.
This investigation has been conducted by the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.
Wisconsin Man Indicted for $35 Million Bank Fraud SchemeRead the Press Release
MINNEAPOLIS – A Wisconsin man has been indicted for orchestrating a $35 million bank fraud scheme, announced U.S. Attorney Andrew M. Luger.
According to court documents, between 2020 and August 2022, Matthew Thomas Onofrio, 31, of Eau Claire, devised and executed a scheme to defraud multiple federally-insured banks including MidCountry Bank headquartered in Bloomington. As part of his scheme, Onofrio operated a business entity called Northwoods Management LLC which he used to market a real estate investing program for investors to acquire commercial properties. Onofrio allegedly engaged in several fraudulent acts as part of the scheme, including causing false information to be submitted to lenders financing investors’ real estate purchases and altering purchase agreements to support higher appraisals of the properties. According to the indictment, Onofrio withheld information from the lenders, including the fact that he was lending money to the investors to help them purchase the properties and would temporarily wire funds to investors’ accounts to create the appearance that they had more available assets than they in fact had. The charges seek forfeiture of more than $35 million seized in the investigation.
Onofrio is charged with three counts of bank fraud. On November 23, 2022, Onofrio made his initial appearance in U.S. District Court before Magistrate Judge Tony N. Leung.
This case is the result of an investigation conducted by the FBI, the IRS, and the Federal Deposit Insurance Corporation – Office of Inspector General.
This case is being prosecuted by Assistant U.S. Attorney Robert M. Lewis.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
West Georgia Resident Guilty of Distributing 380,000 Fentanyl Doses Sentenced to PrisonRead the Press Release
COLUMBUS, Ga. – A Columbus resident with a lengthy criminal history who admitted to distributing nearly 500 grams of fentanyl and 265 grams of a fentanyl analogue—which amounts to approximately 380,000 doses—was sentenced to federal prison today.
Michael Schlarman, aka White Mike, 32, was sentenced to serve 156 months in prison to be followed by five years of supervised release by U.S. District Judge Clay Land today after he previously pleaded guilty to possession of fentanyl with intent to distribute. There is no parole in the federal system.
“Individuals caught distributing fentanyl into our communities will be held accountable for a crime which is profiting from the death of people, including many first-time users,” said U.S. Attorney Peter D. Leary. “In 2021, overdose deaths from fentanyl hit an all-time high: A single dose can kill. Our office and our law enforcement partners are working to combat the spread of fentanyl – and save lives – in every community across the Middle District of Georgia.”
“While in the midst of this country’s opioid epidemic, deadly drugs like fentanyl continue to ravage many communities,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Consequently, DEA and its law enforcement partners will relentlessly pursue drug dealers like Michael Schlarman who choose to ‘push’ poison in the community for consumption. This defendant will now spend time in federal prison.”
According to court documents and other evidence, members of the Muscogee County Sheriff’s Office (MCSO), Drug Enforcement Administration (DEA), Bureau of Alcohol Tobacco, Firearms, and Explosives (ATF) and FBI executed a search warrant at Schlarman’s residence on Wagner Drive in Columbus on Jan. 26. Schlarman fled from the rear of the house but was later arrested with the help of DEA Air Support and escorted back to the house without incident. Inside the defendant’s residence, law enforcement found 496.4 grams of fentanyl and 265.5 grams of p-Fluorofentanyl (a fentanyl analogue), plus a Glock 9mm with an extended magazine and a Taurus 9mm with magazine and ammunition. In addition, agents found multiple jars of a cutting agent for drugs, digital scales, a 20-ton hydraulic press, a variety of drug paraphernalia and cash. Schlarman has a lengthy criminal history, including three prior burglary convictions in Muscogee County, Georgia, Superior Court.
The case was investigated by the Muscogee County Sheriff’s Office, DEA, ATF, and FBI.
Assistant U.S. Attorney Christopher Williams prosecuted the case for the Government.
Virginia man pleads guilty to defrauding the United StatesRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Jerry Shrock, 47, of Meadowview, Virginia, pleaded guilty on Nov. 28 to conspiracy to defraud the United States. Shrock will remain on conditions of release pending sentencing, which has not been scheduled.
According to court records, beginning in January 2005, David Wellington, 62, of Albuquerque, and his business partner Stacy Underwood, 51, of Albuquerque, operated National Business Services, which promoted, sold and created Limited Liability Companies (LLCs) under New Mexico State Law. For many clients, National Business Services would open bank accounts under the names and IRS employer identification numbers (EINs) of the LLCs, and the clients – whose names were not associated with the bank accounts - would have access to the funds in those accounts. Clients received debit cards, online bank access information and pre-signed checks with Underwood’s signature, which clients could use to access the money despite the bank never associating the client with the account.
In his plea agreement, Shrock admitted that he contacted National Business Services in 2006 for help avoiding federal taxes by incorporating a business in New Mexico. Shrock spoke with Underwood and Wellington, and became a client of National Business Services.
Wellington and Underwood created three LLCs in New Mexico for Shrock: White Top Enterprise LLC; Poultry Enterprises LLC; and TALC Properties LLC. Shrock was not listed on the Articles of Organization. Instead, Underwood was listed as the “Organizer,” and National Business Services was the initial registered agent for each of the three LLCs.
On May 9, 2011, Underwood opened a bank account in the business name of White Top Enterprise, LLC, utilizing the company EIN. Shrock’s name was not on the signature card for the account. Underwood provided Shrock with online access to the bank account and a book of pre-signed checks with her signature. Between May 9, 2011, and June 30, 2015, Shrock caused approximately $4,875,940 to be deposited into the White Top Enterprise LLC bank account, and over the same time period, Shrock and his wife withdrew or caused the withdrawal of approximately $4,875,940. Among the withdrawals was a wire transfer of approximately $352,216 for the purchase of a home.
Prior to his indictment in this case on June 23, 2021, Shrock did not file a personal or business tax return with the IRS reporting the White Top Enterprises LLC income. At the time of the deposits and withdrawals, Shrock had a large outstanding IRS assessment for unpaid taxes, penalties and interest. Because it was not opened in his personal name, the White Top Enterprises LLC bank account enabled Shrock to generate and deposit income while evading the outstanding assessment and avoiding personal and business taxes on the income.
Wellington was arraigned on July 9, 2021, charged with conspiracy to defraud the United States and operation of an unlicensed money transmitting business. Wellington remains on conditions of release pending trial, which is scheduled for June 12, 2023. If convicted, Wellington faces up to 10 years in prison.
On Oct. 23, Underwood pleaded guilty to conspiracy to defraud the United States. Underwood is scheduled for sentencing on Jan. 30, 2023.
Underwood and Shrock face up to five years in prison.
IRS Criminal Investigation investigated this case. Assistant United States Attorney Jeremy Peña is prosecuting the case.
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