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29 November 2022
Convicted Felon Sentenced for Illegal Firearms PossessionRead the Press Release
TUSCALOOSA, Ala. – A federal judge yesterday sentenced a Eutaw man for being a felon in possession of a firearm, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Marcus Watson.
Chief United States District Court Judge L. Scott Coogler sentenced Antawn Devonte Marshall, 25, of Eutaw, to 105 months in prison for illegally possessing a firearm and ammunition in February 2021. Marshall pleaded guilty to the charge in July. Marshall is prohibited from having a firearm because of prior felony convictions in Tuscaloosa County.
According to the plea agreement, on February 1, 2021, Tuscaloosa Police officers initiated a traffic stop and made contact with the driver, Antawn Devonte Marshall. As Marshall was gathering his driver’s license and proof of insurance, officers smelled marijuana coming from inside the vehicle. Officers found two boxes of Wolf brand 7.62x39mm ammunition in the center console of the vehicle. Underneath the driver’s seat, officers found a Sig Sauer 9mm pistol loaded with 15 rounds of 9mm ammunition.
According to the plea agreement, on June 5, 2021, Tuscaloosa Police officers attempted to pull over the driver of a silver 2004 Ford Mustang for having no functional tag light. Marshall was the driver. Marshall refused to stop when officers initiated a traffic stop, and a vehicle pursuit followed. As Marshall’s vehicle entered the 2600 block of 21st Street in Tuscaloosa, Marshall lost control and left the roadway, striking a tree. The vehicle bounced back onto the roadway and the officers were unable to avoid striking the vehicle with the front of their unmarked vehicle. As the vehicles were about to collide, the officer noticed a silver item fly from the driver’s window. Officers found a silver 9mm magazine that was loaded with ten rounds of 9mm ammunition outside the car next to the driver’s door. As the officers were ordering Marshall from the vehicle, they noticed a Diamondback 9mm pistol in the driver’s floorboard under Marshall’s feet. The Diamondback 9mm pistol was loaded with nine rounds of 9mm ammunition.
ATF investigated the case along with the Tuscaloosa Police Department. Assistant U.S. Attorney Kristy Peoples prosecuted the case.
Concord Nursing Home to Pay $2.3 Million to Settle Allegations of Grossly Substandard CareRead the Press Release
SAN FRANCISCO – Tranquility Incorporated, a corporation doing business as San Miguel Villa (San Miguel Villa) which is a 190-bed nursing home located in Concord, Calif., has agreed to pay $2.3 million to settle allegations that it submitted false claims by billing the Medicare and Medi-Cal programs for grossly substandard nursing home services it provided to its residents between 2012 and 2017, announced United States Attorney Stephanie M. Hinds and Department of Health and Human Services Office of Inspector General (HHS-OIG) Special Agent in Charge Steven J. Ryan.
The settlement resolves allegations that from 2012 to 2017 San Miguel Villa submitted, or caused to be submitted, claims to the Medicare and Medi-Cal programs for payment of its services that were grossly substandard and failed to meet minimum required standards of skilled nursing care in multiple ways. The United States alleges that nursing home residents at San Miguel Villa were overmedicated with psychotropic drugs, suffered excessive falls, were exposed to resident-on-resident altercations, and experienced other mental and physical harm.
“Residents of nursing homes are among the most vulnerable in our community, and they rely on Medicare and Medi-Cal programs to provide the care and services they must have,” said United States Attorney Stephanie M. Hinds. “Nursing homes are entrusted to impart competent and quality care to their residents. This case demonstrates that when federal funds are provided but substandard care is delivered, this office is committed to seeking accountability.”
“Nursing homes are intended to be places of comfort and healing, but the provision of substandard care jeopardizes the residents’ health and safety,” stated Steven J. Ryan, Special Agent in Charge with HHS-OIG. “HHS-OIG and our law enforcement partners are staunchly dedicated to investigating allegations of inadequate care at Medicare- and Medicaid-certified nursing homes.”
Assistant U.S. Attorney Gioconda Molinari investigated the matter with the assistance of Paralegal Lillian Do and Auditor Garland He. The United States Attorney’s Office initiated the investigation with assistance from HHS-OIG as part of its ongoing commitment to ensure that nursing home residents receive the necessary skilled nursing home services that they are entitled to and require. The United States Attorney’s Office acknowledges and thanks HHS-OIG as well as the California Department of Justice’s Division of Medi-Cal Fraud and Elder Abuse for their assistance in investigating this matter.
Working in conjunction with the United States Department of Justice Elder Justice Initiative, the United States Attorney’s Office runs an Elder Justice Task Force to identify and investigate nursing homes that provide grossly substandard care, and to support the efforts of state and local prosecutors, law enforcement, and other elder justice professionals who combat elder abuse, neglect and financial exploitation. If you or a loved one is experiencing abuse at a nursing home, please contact the California Long Term Care Ombudsman Crisis line at 1-800-231-4024, or the National Elder Fraud Hotline at 1-833–FRAUD–11 (or 833–372–8311).
Co-conspirator Sentenced to 33 Months for Hate Crime Against a Transgender WomanRead the Press Release
U.S. District Court Judge Aida Delgado Colón sentenced Anthony Steven Lobos-Ruiz to 33 months of imprisonment, followed by three years of supervised release, for a hate crime committed on Feb. 24, 2020, with a dangerous weapon against a transgender woman identified as A.N.L., because of her gender identity.
According to the court documents, Lobos-Ruiz acted in coordination with Jordany Rafael Laboy-García and Christian Yamaurie Rivera-Otero in perpetrating a hate crime. On Aug. 29, Lobos-Ruiz pleaded guilty to aiding and abetting others in the attempted assault of A.N.L. with a paintball gun because she was, and was perceived to be, transgender. Court records show that Lobos-Ruiz admitted to procuring a paintball gun with his co-defendants to cause bodily injury to A.N.L. after he and his friends spotted A.N.L. on the side of the road in Toa Baja and verbally harassed the victim. Lobos-Ruiz also admitted to video recording the assault with his iPhone and sharing the video with others.
The charges against Laboy-García and Rivera-Otero are still pending. If convicted, Laboy-García and Rivera-Otero face a maximum sentence of 10 years in prison for the hate crime charge, five years in prison for the conspiracy charge and a fine up to $250,000 with respect to each charge. If convicted with obstruction of justice, Rivera-Otero also faces a maximum sentence of 20 years in prison and a fine up to $250,000 for the obstruction of justice charge.
Assistant Attorney General Kristen Clarke of Justice Department’s Civil Rights Division, U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico and Special Agent in Charge Joseph Gonzalez of the FBI San Juan Field Office made the announcement.
The FBI San Juan Field Office is investigating the case.
Trial Attorneys Shan Patel and Laura Gilson of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney José A. Contreras for the District of Puerto Rico are prosecuting the case.
Chicago, Illinois Man Sentenced to 108 Months in PrisonRead the Press Release
HAMMOND- Andrew Buchanan, 35 years old, of Chicago, Illinois, was sentenced by United States District Court Judge Philip P. Simon, after pleading guilty to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Buchanan was sentenced to 108 months in prison followed by 2 years of supervised release.
According to documents in the case, in March 2022, Buchanan was driving a stolen SUV southbound on Interstate 65 when law enforcement stopped him for committing multiple traffic violations. As an officer approached the SUV, Buchanan pulled away at a high rate of speed and fled several miles before crashing the vehicle. He then exited the vehicle, ran up an exit ramp, and attempted to conceal himself, but was apprehended. After he was taken into custody, law enforcement searched the SUV and recovered a loaded AR-15 assault rifle and two loaded semi-automatic pistols with obliterated serial numbers. Both pistols also had “auto sear” devices attached to them which converted them into fully automatic weapons. Buchanan’s criminal history revealed that he has five prior felony convictions and is therefore prohibited from possessing these firearms.
This case is the result of the investigation of the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Lake County Drug Task Force. This case was prosecuted by Assistant United States Attorney Michael J. Toth.
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 Drug Trafficker Arrested in Southern Oregon Sentenced to Federal PrisonRead the Press Release
EUGENE, Ore.—A California man with multiple prior felony drug trafficking convictions over more than two decades was sentenced to federal prison today after he was arrested transporting nearly two kilograms of methamphetamine from California to Oregon.
Jose Baldemar Izar, 42, of Lancaster, California, was sentenced to 84 months in federal prison.
According to court documents, in October 2020, investigators from the Douglas Area Interagency Narcotics Team (DINT) received a tip that Izar was trafficking drugs from California to Oregon for distribution in the Roseburg, Oregon area. Further investigation revealed that Izar was in frequent contact with several suspected methamphetamine dealers in the Roseburg area and that he was known to drive vehicles rented under another name.
On March 17, 2021, DINT officers learned Izar would be traveling from California to Douglas County. The same day, they stopped a rented vehicle in which Izar was a passenger. Investigators searched the vehicle and located more than 1,700 grams of methamphetamine, a small quantity of heroin, and drug packaging materials.
On March 18, 2021, Izar and a co-conspirator were charged by criminal complaint with possessing with intent to distribute methamphetamine. Later, on August 19, 2021, Izar and his co-conspirator were charged by criminal information with conspiring with one another to possess with intent to distribute and distribute methamphetamine. On November 3, 2022, Izar waived indictment and pleaded guilty to the conspiracy charge.
This case was investigated by DINT and the U.S. Drug Enforcement Administration. It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon.
Formed in October 1989, the Douglas Interagency Narcotics Team is a special investigative unit formed to combat illegal narcotics activity in Douglas County. DINT member agencies include Douglas County, including the Douglas County Sheriff and District Attorney’s Offices, the Oregon National Guard, Oregon State Police, and Roseburg Police Department.
California Attorney and Filer of ADA Lawsuits Pleads Guilty to Filing False Tax ReturnRead the Press Release
A California attorney and filer of thousands of disability discrimination lawsuits pleaded guilty today to filing a false tax return on which he underreported the income he earned from many of those lawsuits.
According to court documents and statements made in court, Scott Norris Johnson, 60, of Carmichael, owned and operated Disabled Access Prevents Injury Inc (DAPI), a legal services corporation. First using DAPI, and later a law firm, Johnson filed more than 4,000 lawsuits in the Eastern District of California and elsewhere under the Americans with Disabilities Act of 1990 and related California statutes, naming himself as the plaintiff.
Under the Small Business Job Protection Act of 1996, payments related to lawsuit settlements or awards are taxable unless paid on account of personal physical injury or physical sickness. Johnson, who worked as an attorney at the IRS earlier in his career, was required to report the taxable portion of the lawsuit settlements and awards he received. He nonetheless intentionally underreported this income on his 2012, 2013, and 2014 tax returns. By understating the lawsuit settlements and awards, Johnson and DAPI paid little to no income tax for tax years 2012, 2013 and 2014. Johnson caused a loss to the IRS of more than $250,000.
Johnson is scheduled to be sentenced on March 7, 2023, and faces a maximum penalty of three years in prison for filing a false tax return. He also faces also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Phillip A. Talbert for the Eastern District of California made the announcement.
IRS-Criminal Investigation is investigating the case.
Assistant Chief Matthew J. Kluge of the Tax Division and Assistant U.S. Attorney Katherine T. Lydon of the Eastern District of California are prosecuting the case.
Burlington Man Sentenced for Failing to Register as a Sex OffenderRead the Press Release
Davenport, IA – Carlos Bhaiman Wesley, age 28, of Burlington, was sentenced to 21 months of imprisonment for failing to update his sex offender registration as required by the Sex Offender Registration and Notification Act (SORNA). After he is released from prison, Wesley will serve five years of supervised release.
According to court documents, Wesley was required to register as a sex offender and comply with SORNA because of his 2013 Wisconsin conviction for Third-Degree Sexual Assault. Wesley absconded from supervision and moved to Burlington. Wesley did not register as a sex offender in the State of Iowa and did not register his out-of-state move with the Wisconsin sex offender registry, in violation of SORNA.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The U.S. Marshals Service and the West Burlington Police Department investigated the case.
SORNA is part of the Adam Walsh Child Protection and Safety Act of 2006 and provides a comprehensive set of minimum standards for sex offender registration and notification in the United States. SORNA seeks to strengthen the nationwide network of sex offender registration and notification programs, in part by requiring registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
Armed New London Drug Dealer Sentenced to 5 Years in Federal PrisonRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that GIOVANNI SIERRA, 29, of New London, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 60 months of imprisonment, followed by three years of supervised release, for possessing a firearm in furtherance of a drug trafficking crime.
According to court documents and statements made in court, on April 15, 2021, New London Police observed Sierra conducting what appeared to be a narcotics transaction from his car. Investigators subsequently stopped Sierra’s car for a motor vehicle violation. A search of the car revealed a privately made handgun (“ghost gun”) loaded with an extended magazine, distribution quantities of crack cocaine and fentanyl, two digital scales, and other narcotics paraphernalia.
Sierra has been detained since his federal arrest on May 11, 2021. On February 16, 2022, he pleaded guilty to possession of a firearm in furtherance of a drug trafficking crime.
This investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the New London Police Department. The case was prosecuted by Assistant U.S. Attorneys Natasha M. Freismuth through the Justice’s Department’s Project Safe Neighborhoods (PSN) program
PSN is 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.
Alabama Man Indicted for Violating U.S. Sanctions Against IranRead the Press Release
An indictment was unsealed today charging Ray Hunt, 69, of Madison County, Alabama, with federal offenses related to an illegal scheme to export U.S.-origin goods to Iran.
The 15-count indictment charges the defendant with conspiracy to defraud the United States, sanctions violations, smuggling goods from the United States and submitting false or misleading export information.
According to the indictment, since at least November 2017, the defendant conspired to export U.S.-origin parts used in the oil and gas industry, including control valves and oil tubing, through his Alabama-based company, Vega Tools LLC, to customers in Iran. The defendant transshipped the goods to Iran through Turkey and the UAE to evade U.S. sanctions.
Hunt was arrested and made his initial court appearance earlier today. If convicted, Hunt faces a maximum penalty of up to 20 years in prison and up to a $1 million fine for violating U.S. trade sanctions against Iran. In addition, he faces up to five years for the conspiracy charge, 10 years for the smuggling offense and up to five years for the false information offense. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Prim F. Escalona for the Northern District of Alabama and Special Agent in Charge Jonathan Carson of the U.S. Department of Commerce’s Bureau of Industry and Security, Office of Export Enforcement (OEE) Miami Office made the announcement.
The U.S. Department of Commerce’s Bureau of Industry and Security investigated the case in coordination with the FBI.
Assistant U.S. Attorneys Henry Cornelius and Jonathan “Jack” Harrington for the Northern District of Alabama and Trial Attorneys Emma Dinan Ellenrieder and Adam P. Barry of the National Security Division’s Counterintelligence and Export Control Section 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.
Aguilar Pleads Guilty in Guillen CaseRead the Press Release
WACO, Texas – A Killeen woman pleaded guilty today to charges in connection with the disappearance of U.S. Army Specialist Vanessa Guillen.
Cecily Aguilar, 24, pleaded guilty to one count of accessory to murder after the fact and three counts of false statement or representation. A sentencing date has not yet been set. Aguilar faces a maximum possible penalty of 30 years in prison plus three years of supervised release and a $1 million fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
According to court documents, from April 22, 2020 through July 1, 2020, Aguilar assisted Army Specialist Aaron Robinson in corruptly altering, destroying, mutilating and concealing evidence—that is, the body of Vanessa Guillen—in order to prevent Robinson from being charged with and prosecuted for any crime. Aguilar also altered and destroyed information contained in a Google account of Robinson. During the investigation into the disappearance of Vanessa Guillen, Aguilar made four materially false statements to federal investigators.
U.S. Attorney Ashley C. Hoff of the Western District of Texas and FBI Special Agent in Charge Oliver E. Rich Jr. made the announcement.
The FBI; U.S. Marshals Service; Texas Rangers; Bell County Sheriff’s Office; Killeen Police Department; Texas Parks and Wildlife; and U.S. Army Criminal Investigation Division investigated the case.
Assistant U.S. Attorneys Mark Frazier and Greg Gloff are prosecuting the case.
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28 November 2022
Wasilla Man Indicted on Federal Kidnapping and Firearm ChargesRead the Press Release
ANCHORAGE – A federal grand jury in Alaska returned an indictment charging a Wasilla man with kidnapping and being a felon in possession of a firearm and ammunition.
Anderson was arrested on November 3 by Alaska State Troopers and remains in custody at Anchorage Correctional Complex. He is a registered sex offender based on a 2001 conviction for sexual assault in the first degree in Kenai.
Anderson also faces State of Alaska charges of attempted murder, kidnapping, sexual assault, sexual abuse of a minor, robbery, assault, misconduct involving a controlled substance and tampering with evidence.
If the public has any further information regarding Anderson’s activities, please contact the FBI Anchorage Field Office at 907-276-4441.
If convicted, he faces a maximum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney S. Lane Tucker of the District of Alaska made the announcement.
The Alaska State Troopers and FBI are investigating the case, with assistance from the FBI's Joint Child Abduction Rapid Deployment (J-CARD) Team. The FBI’s J-CARD Team consists of specially trained investigators and intel personnel from the FBI, Alaska State Troopers and Anchorage Police Department who are experienced in child abduction cases and can rapidly deploy anywhere in the state. The team is designed to provide investigative, technical, and resource assistance to state and local law enforcement during the most critical time period following a child abduction.
Assistant U.S. Attorneys Chris Schroeder and Adam Alexander are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices, Project Safe Childhood combines 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.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Violent Felon Sentenced to over 7 Years in Federal Prison for Illegal Possession of a FirearmRead the Press Release
EVANSVILLE –Roy L. Durham Jr., 37, of Evansville, Indiana, was sentenced to 92 months in federal prison after pleading guilty to illegal possession of a firearm by a previously convicted felon.
According to court documents, on June 6, 2020, an Indiana State Police Trooper initiated a traffic stop of Durham’s vehicle at an Evansville gas station and convenience store. As the trooper approached the vehicle, Durham reached for a handgun tucked inside the driver’s side door handle. The trooper drew his service weapon and commanded Durham to show his hands. Durham did not comply. Instead, he exited the vehicle and fled on foot, leaving the handgun behind.
The trooper inventoried Durham’s vehicle before having it towed and recovered five fully loaded firearms, three 9mm magazines, assorted ammunition, a gun holster, a laser sight for a firearm, 49 grams of synthetic marijuana, a digital scale, small plastic baggies, thirteen cellular telephones, three laptop computers, and $1,530 in U.S. currency from Durham’s vehicle.
Durham has prior felony convictions in state court for unlawful possession of a firearm by a serious violent felon in 2019 and for dealing methamphetamine in 2016. Durham is prohibited from possessing firearms by federal law due to these felony convictions.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Columbus Field Division, made the announcement.
ATF investigated the case in conjunction with the Indiana State Police. The sentence was imposed by U.S. District Judge Richard L. Young. As part of the sentence, Judge Young ordered that Durham be supervised by the U.S. Probation Office for three years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Matthew B. Miller 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.
Two-Time Sex Offender Against Children Sentenced to 10 Years in Federal Prison for Possession of Child Sexual Abuse MaterialRead the Press Release
INDIANAPOLIS– Christopher Gene Beke, 44, of Crawfordsville, Indiana, was sentenced to 10 years in federal prison after pleading guilty to possession of child sexual abuse material with a prior conviction.
According to court documents, in December 2021, law enforcement officers received a report that child sexual abuse material, consisting of hundreds of photos depicting children engaged in sexually explicit conduct, were being stored in a Google account. Through investigation, officers learned that Beke was the Google account holder and a registered sex offender.
On January 25, 2022, a search warrant was executed at Beke’s residence in Crawfordsville. Officers seized several electronic devices including two USB thumb drives and a cellular telephone. The devices were examined and found to contain numerous images of children, including at least one pre-pubescent child engaged in sexually explicit conduct. The images were representative of the child sexual abuse material found in Beke’s Google account.
In 2011, Beke was convicted of child molesting in Indiana after sexually abusing a 10‑year‑old girl on multiple occasions. Beke was sentenced to 10 years in prison with 4 years suspended. In 2017, Beke was convicted of possession of child sexual abuse material in Indiana and sentenced to 16 months in prison. At his federal sentencing today, the sentencing judge found that Beke had engaged in a pattern of activity involving the sexual abuse or exploitation of a minor.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office, made the announcement.
The FBI investigated the case with the Montgomery County Sheriff’s Office. The sentence was imposed by U.S. District Judge Jane Magnus-Stinson. As part of the sentence, Judge Magnus-Stinson ordered that Beke be supervised by the U.S. Probation Office for 12 years following his release from federal prison and ordered Beke to pay $13,000 in restitution to the child victims. Beke must also register as sex offender wherever he lives, works, or goes to school, as required by law.
U.S. Attorney Myers thanked Assistant U.S. Attorney Kristina M. Korobov and Trial Attorney Adam W. Braskich, of the Department of Justice’s Child Exploitation and Obscenity Section, who prosecuted this case.
This investigation was conducted by the Indiana Internet Crimes Against Children (ICAC) Task Force, a partnership of federal, state, and local law enforcement agencies led by the Indiana State Police. The Task Force is dedicated to investigating and prosecuting crimes involving the technology-facilitated sexual exploitation of children and the trafficking of child sexual abuse material. Each year, Indiana ICAC investigators evaluate thousands of tips, investigate hundreds of cases, and rescue dozens of children from ongoing sexual abuse. In fiscal year 2019, the most recent year for which data is available, the Southern District of Indiana was second out of the 94 federal districts in the country for the number of child sexual exploitation cases prosecuted.
Two Southern Indiana Child Sex Offenders Sentenced to Federal Prison for Conspiring to Distribute Child Sexual Abuse MaterialRead the Press Release
EVANSVILLE – Jason E. Jolley, 43, of Evansville, Indiana was sentenced to 70 months in federal prison after pleading guilty to conspiracy to distribute and receive sexually explicit materials involving children and distribution of sexually explicit materials involving children. Scott J. Spear, 50, of Newburgh, Indiana pled guilty to conspiring with Spear to distribute the child sexual abuse materials and was sentenced on October 18, 2022, to 5 years in federal prison.
According to court documents, between January 15, 2016, and February 1, 2016, Jolley and Spear communicated with each other using email. During their communications, both Jolley and Spear discussed their mutual interest in finding and viewing sexually explicit material involving children. Jolley and Spear also sent images to each other depicting the sexual abuse of children.
On November 15, 2016, Jolley used the Kik Messenger application to distribute an image depicting a child engaging in sexually explicit conduct to an undercover law enforcement officer in Washington D.C. The images distributed and received by Jolley and Spear included depictions of the sexual abuse of pre-pubescent children.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office, made the announcement.
The FBI investigated the case. The Warrick County Sheriff’s Office provided valuable assistance. The sentence was imposed by U.S. District Judge Richard L. Young. As part of the sentence, Judge Young ordered that Jolley be supervised by the U.S. Probation Office for 10 years following his release from federal prison. Spear was ordered to be supervised by the U.S. Probation Office for 7 years following his release from prison. Both Jolley and Spear must also register as a sex offender wherever they live, work, or go to school, as required by law.
U.S. Attorney Myers thanked Assistant U.S. Attorney Todd Shellenbarger who prosecuted this case.
In fiscal year 2019, the most recent year for which data is available, the Southern District of Indiana was second out of the 94 federal districts in the country for the number of child sexual exploitation cases prosecuted.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
Tioga County Man Sentenced to 10 Years for Possessing Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Timothy E. Deuel, age 64, of Tioga County, New York, was sentenced today to 10 years in prison for possessing child pornography. The announcement was made by United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his prior guilty plea, Deuel acknowledged that in March 2015, he was sentenced to 87 months in prison and 10 years of supervised release for distribution of child pornography. Deuel admitted that during the term of supervised release that followed his term of imprisonment, he possessed, at his residence, three digital storage devices that contained a total of approximately 1,000 images of child pornography and more than 200 video files of child pornography.
United States District Judge Glenn T. Suddaby also imposed a 15-year term of post-imprisonment supervised release, ordered forfeiture of the devices used as part of the offense, and ordered Deuel to pay a total of $45,000 restitution to victims of the offense.
This case was investigated by the FBI Syracuse Mid-State Child Exploitation Task Force, comprised of FBI Special Agents and Investigators of the New York State Police, Bureau of Criminal Investigation (BCI), and is being prosecuted by Assistant U.S. Attorney Matthew J. McCrobie as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Three Indicted for Involvement in Violent Crisis in CameroonRead the Press Release
Three defendants were arrested today and made their initial court appearances in connection with an indictment, unsealed today, charging them for their roles in a conspiracy to provide material support or resources to a conspiracy to kidnap persons and use weapons of mass destruction in a foreign country.
Claude N. Chi, 40, of Lee’s Summit, Missouri; Francis Chenyi, 49, of St. Paul, Minnesota; and Lah Nestor Langmi, 46, of Buffalo, New York, all of whom are U.S. citizens of Cameroonian origin, are charged in a four-count indictment returned under seal by a federal grand jury in Kansas City, Missouri, on Nov. 18, 2022. The indictment was unsealed and made public today following their arrests and initial court appearances.
The federal indictment alleges that Chi, Chenyi and Langmi have supported and raised funds for separatist fighters in Cameroon since Jan. 1, 2018. As alleged, they each held senior level positions within an organization that supported and directed the militant separatist group known as the Ambazonian Restoration Forces and other separatist fighters in Cameroon’s Northwest Region.
Chi, Chenyi and Langmi allegedly solicited and raised funds for equipment, supplies, weapons and explosive materials to be used in attacks against Cameroonian government personnel, security forces and property, along with other civilians believed to be enabling the government. These funds were raised through online chat applications and payment platforms from individuals located in the United States and abroad. The funds were then transferred from various financial and cryptocurrency accounts controlled by the defendants through intermediaries to the separatist fighters to support attacks in Cameroon.
In addition to more than $350,000 the defendants raised through voluntary donations, the indictment alleges Chi, Chenyi and Langmi conspired with others to kidnap civilians in Cameroon and hold them for ransom. In some instances, U.S. citizens were extorted for ransom payments to secure the release of their kidnapped relatives living in Cameroon. The ransom payments were subsequently transferred to the separatist fighters to fund their operations.
According to the indictment, the defendants authored a document that included a list of expenditures related to improvised explosive devices (IEDs), firearms and ammunition. Other expenditures included funds related to the kidnapping of Cardinal Christian Tumi and of a Cameroonian traditional leader named Sehm Mbinglo II on Nov. 5, 2020.
Chi, Chenyi and Langmi are charged with one count of conspiracy to provide material support or resources intended to be used to carry out a conspiracy to kill, kidnap and maim persons in a foreign country and one count of providing material support or resources intended to be used to carry out a conspiracy to use a weapon of mass destruction outside the United States. They are additionally charged with one count of receiving money from a ransom demand and one count of participating in a money laundering conspiracy. If convicted, the defendants face a maximum statutory penalty of up to 15 years in prison for the material support charges, up to three years in prison for the receiving money from a ransom demand charge and up to 20 years in prison for the money laundering conspiracy charge.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Teresa A. Moore for the Western District of Missouri, FBI Assistant Director Robert R. Wells and Special Agent in Charge Charles A. Dayoub of the FBI Kansas City Field Office made the announcement.
This is an ongoing investigation. Anyone with information related to this investigation is asked to contact the FBI at 1-800-CALL-FBI or report a tip online at tips.fbi.gov. You can remain anonymous in reporting a tip.
Assistant U.S. Attorney Matthew Blackwood for the Western District of Missouri and Trial Attorney Dmitriy Slavin of the Justice Department’s National Security Division are prosecuting the case.
Texas man admits to role in drug distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Kedrick Howard, of Dallas, Texas, has admitted to his role in methamphetamine, crack cocaine, fentanyl, and heroin drug distribution operation, United States Attorney William Ihlenfeld announced.
Howard, age 29, pleaded guilty today to one count of “Conspiracy to Distribute Controlled Substances.” Howard admitted to working with others to distribute methamphetamine, cocaine base, cocaine hydrochloride, and fentanyl from the Spring of 2018 until October 2020.
Howard faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Zelda E. Wesley and Sarah E. Wagner are prosecuting the case on behalf of the government. The FBI's Northern West Virginia Drug Task Force in partnership with the Mon Metro Drug Task Force, a HIDTA-funded initiative, investigated. The Task Forces have members from the Federal Bureau of Investigation; the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms and Explosives; West Virginia State Police; Monongalia County Sheriff's Office; and the Morgantown, WVU, Granville and Star City Police Departments. The investigation was also assisted by the following law enforcement partners: the Monongalia County Prosecutor’s Office; the FBI in Houston, Texas; the Houston Police Department's Multi Agency Gang Initiative; the United States Postal Inspection Service in Houston; and the FBI and DEA in Los Angeles, California.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
U.S. Magistrate Judge Michael John Aloi presided.
Related case here: https://www.justice.gov/usao-ndwv/pr/25-people-indicted-drug-trafficking-operation-spanned-several-states
Three Venezuelan Nationals Sentenced in Cocaine Conspiracy CaseRead the Press Release
St. Croix, VI – United States Attorney Delia L. Smith announced today that Algler Rodriguez-Boadas, 21, Johan J. Pacheco-Lezama, 34, and Henry Gonzalez-Noriega, 48, were sentenced by District Court Judge Wilma Lewis on one count of conspiracy to possess with intent to distribute cocaine while on board a vessel subject to the jurisdiction of the United States Pacheco-Lezama was sentenced to 46 months of imprisonment, followed by two years supervised release, and Rodriguez-Boadas and Gonzalez-Noriega were sentenced to 41 months of imprisonment, followed by 2 years supervised release. The defendants were also ordered to pay a $100 special assessment fee and are subject to deportation after serving their sentences.
According to court documents, on September 25, 2019, the United States Coast Guard (USCG) Cutter Donald Horsley intercepted a suspicious 55-foot vessel displaying the name “La Gran Tormenta” with Venezuelan nationality at approximately 38 nautical miles south of St. Croix. The occupants of “La Gran Tormenta” failed to respond to USCG’s efforts to stop the vessel and later changed course and began jettisoning packages overboard. USCG crew members subsequently retrieved two bales from the ocean that contained packages of brick-shaped objects which tested positive for cocaine and weighed approximately 49 kilograms. After requesting and receiving permission to stop the vessel from Venezuela, USCG unsuccessfully attempted a right-of-visit boarding of the vessel. After gaining control of the “La Gran Tormenta” by disabling the vessel’s engine, USCG crew members detained 11 individuals, including Rodriguez-Boadas, Pacheco-Lezama and Gonzalez-Noriega.
This case was investigated by the United States Coast Guard, Drug Enforcement Administration and Customs and Border Protection, and was prosecuted by Assistant United States Attorney Melissa P. Ortiz. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
St. Pete Armed Career Criminal Sentenced to More Than 22 Years in Prison for Possessing A FirearmRead the Press Release
Tampa, FL – U.S. District Judge Katherine Kimball Mizelle has sentenced Aunyis Cherry (27, Clearwater) to 22 years and 11 months in prison, followed by 5 years of supervised release, for being a felon in possession of a firearm. Cherry also has been ordered to forfeit the firearm. A jury found Cherry guilty on June 16, 2022.
According to testimony and evidence presented at trial, Cherry drove a car with a counterfeit license plate in the area of 14th Street South in St. Petersburg. A uniformed detective with the St. Petersburg Police Department arrived in the area to conduct a traffic stop and Cherry fled from the car but was apprehended. The vehicle’s owner couldn’t be determined, and an inventory search revealed a loaded FN Herstal pistol. The jury heard testimony that Cherry’s DNA was located in three places on the firearm, including the handle and trigger. As a previously convicted felon, Cherry is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the St. Petersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorneys Mike Gordon and Craig Gestring and was tried by Assistant United States Attorneys Samantha Beckman and James Preston.
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.
St. Louis Woman Accused of Conspiring in $291,000 Pandemic FraudRead the Press Release
ST. LOUIS – A woman from St. Louis has been indicted and accused of conspiring to fraudulently obtain $291,000 from a COVID-19 pandemic relief program.
Jeannine R. Buford, 44, pleaded not guilty Monday to three felonies: wire fraud conspiracy, wire fraud and money laundering.
Within days of the passage of the Coronavirus Aid, Relief, and Economic Security ("CARES") Act in March of 2020, Jeannine Buford sent a text to another woman saying, “I'm tired of struggling it's time to put the ski mask on,” her indictment says, adding, “Especially while nobody's paying attention lol [d]ue to corona[.]"
In April of 2020, Buford changed the name of an existing company to Couture Trading Inc. with the Montana Secretary of State’s Office, the indictment says. She listed herself as the company president and Porshia L. Thomas as the director, vice president, secretary and treasurer, the indictment says.
On July 15, 2020, Thomas, with the assistance of Buford, electronically submitted a fraudulent Paycheck Protection Program loan application for the company, falsely claiming that it was an operating business located in California, had 15 employees and an average monthly payroll of $120,000, the indictment says. The application said the money would be used to pay workers and business expenses, including lease and utility payments, the indictment says.
When the bank sought six months of company bank records, Buford told Thomas how to falsify the bank statements, the indictment says.
The bank issued a $291,000 PPP loan on Sept. 8, 2020. Thomas then wired $10,000 to Buford and wrote her a $65,000 check, the indictment says. In text messages, Buford celebrated, writing “PPP Party” adding that she was going to get a luxury apartment, the indictment says.
In the next five months, Buford spent the money on personal items including food, clothes, the $14,000 deposit on a BMW X6, a couch that cost nearly $5,000 and $1,855 to rent that luxury apartment, the indictment says.
Buford was indicted November 9. The wire fraud charges carry a maximum penalty of 20 years in prison, a $250,000 fine, or both and the money laundering charge is punishable by up to 10 years in prison or the same fine.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Thomas pleaded guilty to a bank fraud charge in June and is scheduled to be sentenced December 29.
The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorney Derek J. Wiseman is prosecuting the case.
St. Louis Man Sentenced to 14 Years for Selling Fatal Dose of FentanylRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Monday sentenced a St. Louis man to 14 years in prison for selling fentanyl, including the fentanyl that killed a man in 2018.
Antonio D. Hubbard, 44, pleaded guilty in July to four felony charges of distribution of fentanyl and one charge of possession with intent to distribute fentanyl. Hubbard admitted selling fentanyl to a man, identified in the plea agreement as “J.L.” J.L.’s mother found him dead on Nov. 9, 2018 with a needle in his arm after he’d fallen from his wheelchair. He died of acute fentanyl, hydrocodone and ethanol intoxication.
Police investigated and traced the fentanyl to Hubbard. Investigators then purchased fentanyl from Hubbard on four occasions in April and May of 2019.
Hubbard was arrested May 15, 2019 at a local mall where he was planning to sell fentanyl to an undercover investigator again, his plea agreement says. He had 609 capsules containing fentanyl and $3,707 in cash. At his apartment on Olive Street, they found $12,781 in cash, a pill press and methadone.
“Hubbard seized upon the vulnerabilities of a victim who had already suffered a terrible injury resulting in paralysis and developed an addiction to opiates. He did so for his own profit,” Assistant U.S. Attorney Tiffany Becker wrote in a sentencing memo. In court Monday, she pointed out that Hubbard continued to sell fentanyl after learning of J.L.’s death.
The case was investigated by the St. Louis County Police Department and the FBI. Assistant U.S. Attorney Tiffany Becker is prosecuting the case.
Sex Offender Who Possessed Millions of Child Sex Abuse Images and Videos Pleads GuiltyRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that RICHARD E. SMITH, 67, of Southington, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to possession of child pornography.
According to court documents and statements made in court, Smith’s criminal history includes convictions related to his sexual assault of boys in 1990 and 1998.
On October 1, 2020, Homeland Security Investigations (HSI) special agents conducted a court-authorized search of Smith’s Southington residence. At the time of the search, Smith’s computer was running and connected to a website dedicated to child pornography, and one of Smith’s four computer monitors displayed a Microsoft Excel spreadsheet containing numerous child pornography filenames and internet hyperlinks. Investigators seized Smith’s computer and electronic devices. Forensic analysis of the seized devices revealed millions of images and videos depicting the sexual abuse of children.
Smith has been detained since his arrest on October 1, 2020.
Judge Meyer scheduled sentencing for February 17, 2023, at which time Smith faces a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of 20 years. The penalties in this case are enhanced based on Smith’s criminal history.
This matter has been investigated by Homeland Security Investigations (HSI) with the assistance of the Southington Police Department. The case is being prosecuted by Assistant U.S. Attorneys Patrick J. Doherty and Nancy V. Gifford through the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation.
For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Repeat Offender Sentenced to More Than 10 Years in Federal Prison for Possessing Child Sex Abuse ImagesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that ROBERT J. MOSLEY, 55, formerly of Bridgeport, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 121 months of imprisonment for possessing and distributing numerous images depicting the sexual abuse of children.
According to court documents and statements made in court, in 2016, Mosley was convicted in Connecticut Superior Court of possession of child pornography in the second degree. He was sentenced for that offense to 10 years in jail, execution suspended after six years, and 20 years of probation. Mosley was released on parole in November 2018.
On January 28, 2020, Connecticut parole officers and Connecticut state troopers conducted a home visit at Mosley’s residence. During the visit, Mosley was found in possession of an unapproved smart phone, and an approved mobile phone that contained suspected child pornography. Investigators seized both phones and Mosley was remanded to custody. Subsequent analysis of the seized phones and a cloud storage account maintained by Mosley revealed thousands of images and hundreds of video depicting the sexual abuse of children, primarily boys between the ages of 2 and 14. In addition, analysis of Mosley’s e-mail account revealed that he sent numerous e-mails soliciting child pornography, sent images of child pornography to others, and sent links to his cloud storage account.
Mosley has been detained since January 28, 2020. On September 22, 2021, he pleaded guilty to possession of child pornography.
The penalties in this case were enhanced based on Mosley’s criminal history.
This matter was investigated by Homeland Security Investigations (HSI) and the Connecticut State Police, with the assistance of the Connecticut Department of Correction Division of Parole and Community Services. The case was prosecuted by Assistant U.S. Attorney Nathaniel J. Gentile.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Prince George’s County Man Pleads Guilty to a Federal Wire Fraud Conspiracy to Obtain over $750,000 in COVID-19 CARES Act Loans and Unemployment Insurance BenefitsRead the Press Release
Greenbelt, Maryland – Jaleel Phillips, age 25, of Capital Heights, Maryland, pleaded guilty today to a federal wire fraud conspiracy, in relation to a scheme to unlawfully obtain COVID-19 relief loans and unemployment benefits.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge Troy W. Springer, of the Washington Regional Office, U.S. Department of Labor - Office of Inspector General; Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Amaleka McCall-Brathwaite of the Small Business Administration - Office of Inspector General, Eastern Region, and Acting Special Agent in Charge Quenton Sallows, of the Mid-Atlantic Region, Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG).
According to his plea agreement, electronic records linked Jaleel Phillips and his co-conspirator to a number of fraudulent Paycheck Protection Program loan applications (PPP), Economic Injury Disaster loan applications (EIDL), and unemployment insurance claims. As detailed in the statement of facts, Phillips and his co-conspirator created fictitious aliases, used the personal identifying information of real people, and used defunct corporate entities or new business entities with no actual business operations to apply for EIDL and PPP loans, and unemployment benefits.
Phillips admitted that as part of the conspiracy, several financial accounts and email accounts were opened using aliases that had been used to apply for the fraudulent benefits, including “Kenneth Williams,” “Allen Gator,” “Lawrence Robinson,” and “Jordan Gilmore.” The fraudulently obtained PPP and EIDL loans and unemployment insurance claims were deposited into the bank accounts opened in the names of the aliases. The money was then withdrawn by Phillips and his co-conspirator through ATM withdrawals and purchases made on the associated debit and credit cards or transferred between the various financial accounts established in the aliases’ names. For example, Phillips engaged in multiple online and in-store transactions using debit cards embossed with the names of multiple fake identities and tied to bank accounts used in the fraud. Phillips admitted that he had access to accounts and debit cards receiving more than $750,000 in fraudulently obtained COVID-19 benefits.
“This was a brazen scheme of staggering proportions,” said Darrell J. Waldon, IRS Criminal Investigation Special Agent in Charge of the Washington D.C. Field Office. “The defendant and his co-conspirator prioritized their own greed, submitting a number of fraudulent Paycheck Protection Program loan applications, Economic Injury Disaster loan applications, and unemployment insurance claims. Today’s plea sends a clear message that the IRS Criminal Investigation Special Agents and our law enforcement partners, remain vigilant and will vigorously pursue those who attempt to enrich themselves through fraudulent means.”
Jaleel Phillips faces a maximum sentence of 30 years in federal prison for the wire fraud conspiracy. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. No sentencing date has been set by the Court.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the DOL-OIG, IRS-CI, SBA-OIG, FDIC-OIG, and the Mississippi Attorney General’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Harry M. Gruber, who is prosecuting the federal case. He also thanked the Office of Mississippi Attorney General Lynn Fitch-Public Integrity Division, for its assistance.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud.
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Pharr man heads to prison for trafficking over $600K of narcoticsRead the Press Release
McALLEN, Texas – A 31-year-old Texan has been sent to prison following his conviction of smuggling heroin and meth, announced U.S. Attorney Jennifer B. Lowery.
Gerardo Jimenez pleaded guilty May 12.
Today, U.S. District Judge Micaela Alvarez ordered Jimenez to serve 188 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence regarding Jimenez’s smuggling attempt and how the large amounts of heroin and meth Jimenez smuggled were a danger to the community. In handing down the sentence, the court noted that drug transportation is a serious offense and that Jimenez willingly participated as a transporter on behalf of the cartel.
At the time of his plea, Jimenez admitted that on Nov. 3, 2020, he knowingly entered the Hidalgo Border Patrol (BP) Port of Entry with drugs in his car.
Upon inspection, a K-9 alerted authorities to the hood of Jimenez’s vehicle. There, they discovered four kilograms of heroin and two kilograms of 100% pure meth concealed in the battery of his car.
The drugs had an estimated street value of $654,000.
Jimenez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Eliza Carmen Rodriguez prosecuted the case.
Nashua Woman Pleads Guilty to Fraudulently Obtaining Food Stamps and Medicaid BenefitsRead the Press Release
CONCORD – Kaylie Esquivel Arizmendi, 32, of Nashua, pleaded guilty in federal court to making false statements, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, Arizmendi was receiving Supplemental Nutritional Agricultural (SNAP) benefits, better known as food stamps, and Medicaid benefits. In New Hampshire, the state Department of Health and Human Services administers the food stamp and Medicaid programs. Because eligibility is tied to household resources, applicants are required to provide truthful information to the state and timely notify the state if their household’s composition or income changes.
Arizmendi married her spouse in February 2015. On March 3, 2015, she applied to the Department of Health and Human Services for food stamps and Medicaid benefits. She claimed under penalty of perjury that she was unmarried. Between March 2015 and November 2020, Arizmendi continued to falsely represent to the state that she was unmarried and claimed she and her spouse had no personal relationship to one another. For example, she provided a fraudulent “Rental Verification Request” identifying her spouse as a “Landlord, Manager or Housing Official.”
If Arizmendi truthfully disclosed her marital status, her spouse’s income would have reduced her eligibility for benefits. In total, Arizmendi obtained $64,401 in food stamps and Medicaid benefits she was not entitled to receive.
Arizmendi is scheduled to be sentenced on March 13, 2023.
This matter was investigated by the New Hampshire Department of Health and Human Services, with assistance from the U.S. Department of Labor’s Office of the Inspector General and U.S. Department of Agriculture’s Office of the Inspector General. The case is being prosecuted by Assistant U.S. Attorney Alexander S. Chen.
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Mogadore Man Sentenced to Prison for Threatening to Retaliate Against WitnessRead the Press Release
CLEVELAND – Andrew F. Dodson, 33, of Mogadore, Ohio, was sentenced today to more than four years – or 55 months – in prison by U.S. District Judge Donald C. Nugent. Judge Nugent pronounced the sentence after Dodson was convicted by a federal jury on July 27, 2022, of obstructing justice by retaliating against a witness.
“Threatening a witness is a serious offense and, as evident by this sentence, it is a crime that can lead to significant time in a federal prison,” said First Assistant U.S. Attorney Michell M. Baeppler. “Ensuring the safety of federal witnesses is a critical part of the mission of the Justice Department.”
“The FBI is committed to safeguarding witnesses upholding their civic responsibility. Today’s sentence serves as a message to others who believe they can skirt the law and subvert the judicial process without implication,” said FBI Cleveland Special Agent in Charge Gregory Nelsen.
According to court records and evidence presented at trial, in July 2021, federal authorities began an investigation into Dodson following his arrest for OVI and possession of chemicals that could be used to make explosive devices. During the arrest and the impounding of his vehicle, court documents state that authorities discovered a large cache of explosive precursors and a black tactical bag with the words “POLICE” on it containing ear protection and safety glasses.
Authorities later obtained records that showed Dodson had purchased approximately 50 pounds of explosive materials. Court documents state that Dodson claimed that these materials were used to make smoke bombs.
During the investigation, federal authorities obtained records that showed Dodson engaged in online conversations with others, including one conversation in which he stated that “people call me the Unabomber.” Dodson also sent a user a photograph of 157 improvised explosive devices, screenshots of a remote detonator and 12 radio antenna devices. Court documents state that Dodson told other users in online conversations that he had improvised explosive devices that contained approximately 1,000 BBs per device and later tried to sell users body armor and a flamethrower.
On August 4, 2021, FBI agents executed a search warrant at Dodson’s Mogadore area residence and seized various items, including a tactical vest, a firearm, ammunition and a black flame thrower. Authorities also searched a storage unit in Akron belonging to Dodson and seized several gas masks, a shirt with a swastika, a detonator with the remote, a box of pyrotechnic signal shells, fusing with safety igniters and a bag of pyrotechnic fuses. Dodson was later arrested.
During the investigation, court documents state that it was determined that Dodson had lied to federal authorities, and he subsequently pleaded guilty in October 2021 to making false statements to an agency of the United States.
Court records show that Dodson was allowed to remain on bond and in the community following his guilty plea. During this time, Dodson came into possession of a witness statement given to federal authorities during the prior investigation. Court records state that Dodson then contacted and threatened the witness with the intent to retaliate due to the witness’s cooperation.
Dodson’s sentence of 55 months will be served consecutive to his previous sentence of 8 months for making false statements.
This case was investigated by the Cleveland FBI and was prosecuted by Assistant U.S. Attorneys Brian S. Deckert and Jason W. White.
Mobile Drug Dealer Sentenced to Ten Years in PrisonRead the Press Release
MOBILE, AL – A Mobile man was sentenced to ten years in prison for conspiring to distribute methamphetamine.
According to court documents, Broderick J. Carson, 40, was arrested by narcotics detectives in January 2021, following the execution of search warrants at his home and a storefront that he maintained in Mobile. Detectives obtained the search warrants after conducting several controlled purchases of drugs from Carson using a confidential informant. At Carson’s home, detectives recovered a shoebox containing more than $15,000 in cash, some of which had serial numbers matching money that detectives had used during a previous controlled purchase of drugs. At Carson’s storefront, detectives recovered, among other things, more than a pound of 99% pure methamphetamine, 43 grams of crack cocaine, 81 grams of powder cocaine, digital scales, and other drug paraphernalia. Detectives interviewed Carson, who confessed to possessing the drugs with intent to distribute them. A later search of Carson’s cell phone revealed dozens of messages regarding drug trafficking dating to at least July 2020.
Chief United States District Judge Jeffrey U. Beaverstock ordered Carson to serve a five-year term of supervised release upon his release from prison, during which time he will undergo drug testing and treatment. The court did not impose a fine, but Chief Judge Beaverstock ordered Carson to pay $100 in special assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Mobile Police Department’s Narcotics and Vice Unit and the Drug Enforcement Administration investigated the case.
Assistant U.S. Attorney Justin Roller prosecuted the case on behalf of the United States.
Michigan Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – Dashea Lasal Thomas, also known as “Dye,” 27, of Inkster, Michigan, was sentenced today to three years and 10 months in prison, to be followed by three years of supervised release, for distribution of methamphetamine.
According to court documents and statements made in court, on November 6, 2019, Thomas sold approximately 24 grams of methamphetamine to a confidential informant in Huntington. Thomas admitted to the transaction and also admitted to selling approximately 23 grams of methamphetamine on October 28, 2019, and approximately 4 grams of fentanyl on December 4, 2019, each time to a confidential informant in Huntington.
On May 11, 2021, Thomas was a passenger in a vehicle stopped by law enforcement officers in Huntington. Thomas admitted to possessing approximately 4 grams of cocaine base, also known as “crack,” and $3,500 found in the vehicle. Thomas further admitted that he intended to sell the crack for money, and that the cash was drug proceeds.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Huntington Violent Crime and Drug Task Force and the Huntington Police Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Courtney L. Cremeans prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:22-cr-37.
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Miami Business Owner Pleads Guilty to Payroll Tax CrimeRead the Press Release
A Miami business owner pleaded guilty today to willfully failing to pay over employment taxes to the IRS. The proceeding was held before U.S. Magistrate Judge Lauren Louis. A sentencing date will be set by U.S. District Judge K. Michael Moore.
According to court documents and statements made in court, Ari Weingrad owned and operated two car rental companies, Rent Max Miami, Inc. and Rent Max North, Inc., both of which had locations throughout Florida. As the sole owner and CEO of Rent Max Miami, and as the co-owner and president of Rent Max North, Weingrad knew he was responsible for collecting, accounting for and paying over payroll taxes withheld from his employees’ wages to the IRS. Between 2011 and 2016, however, Weingrad withheld from his employees but did not pay over more than $850,000 in employment taxes owed to the IRS. Instead, he caused Rent Max Miami to spend corporate funds to pay discretionary expenses, including a $50,000 cashier’s check to himself, a $45,000 in cashier’s checks payable to his wife, and expenses related to a 55-foot yacht.
Weingrad faces a maximum penalty of five years in prison for willful failure to pay over employment taxes. He also faces, as well as a period of supervised release restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Tax Division, and U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida, and Special Agent in Charge Matthew D. Line of IRS-Criminal Investigation Miami Field Office made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorney Patrick Elwell of the Tax Division and Assistant U.S. Attorney Ana Maria Martinez of the Southern District of Florida are prosecuting the case.
Miami Business Owner Pleads Guilty to Payroll Tax CrimeRead the Press Release
MIAMI – Today Miami resident Ari P. Weingrad, 51, pled guilty to willfully failing to pay over employment taxes to the Internal Revenue Service (IRS). The proceeding was held before U.S. Magistrate Judge Lauren Louis.
According to court documents, Weingrad owned and operated two car rental companies, Rent Max Miami Inc. and Rent Max North Inc., both of which had locations throughout Florida. As the sole owner and chief executive officer of Rent Max Miami and as the co-owner and president of Rent Max North, Weingrad knew he was responsible for collecting, accounting for, and paying over payroll taxes withheld from his employees’ wages to the IRS. Between 2011 and 2016, however, he withheld from his employees but failed to pay approximately $850,000 in employment taxes owed to the IRS. Instead, he caused Rent Max Miami to spend corporate funds to pay discretionary expenses, including a $50,000 cashier’s check to himself, $45,000 in cashier’s checks payable to his wife, and expenses related to a 55-foot yacht.
Weingrad faces a maximum penalty of five years in prison as well as a period of supervised release and monetary penalties. A sentencing date will be set by U.S. District Judge K. Michael Moore.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; acting Deputy Assistant Attorney General Stuart M. Goldberg, Tax Division, U.S. Department of Justice; and Special Agent in Charge Matthew D. Line, IRS Criminal Investigation, Miami Field Office, made the announcement.
IRS Criminal Investigation, Miami Field Office, investigated the case. Assistant U.S. Attorney Ana Maria Martinez and Trial Attorney Patrick Elwell of the Tax Division are prosecuting it.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-CR-20342.
Member of Baltimore Gang Sentenced to 40 Years in Federal Prison for Racketeering Conspiracies, Including Murders, Attempted Murders, Carjackings, and Armed RobberiesRead the Press Release
Baltimore, Maryland – U.S. District Judge Stephanie A. Gallagher today sentenced Rashaud Nesmith, a/k/a Shaud, age 21, of Baltimore, Maryland, to 40 years in federal prison, followed by five years of supervised release, for a racketeering conspiracy charge in connection with Nesmith’s participation in a group that conspired to commit multiple armed carjackings and robberies throughout Baltimore City, as well as for a second racketeering charge in connection with his participation in the violent street gang known as Cruddy Conniving Crutballs or Triple C, a group that conspired to commit other violent acts, including attempted murder and murder, in Baltimore City.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); and Commissioner Michael Harrison of the Baltimore Police Department.
“Rashaud Nesmith’s mayhem is over and he’s now being held responsible for his actions,” said United States Attorney Erek L. Barron. “I want to express my appreciation to our law enforcement partners for the tremendous investigation that led to this prosecution. We will hold accountable those who commit violence in our communities, but we also offer a helping hand to assist at-risk individuals to avoid this result.”
“Rashaud Nesmith participated in murders, non-fatal shootings, carjackings, armed robberies, and more. The victims were innocent, simply going about their lives in the city and attacked without provocation. Now he will spend decades in prison what he’s done,” said ATF Baltimore Special Agent in Charge Toni M. Crosby. “By applying the crime gun intelligence model of investigating, ATF and our law enforcement partners will continue to do everything in our power to remove violent offenders from Baltimore's streets.”
“I want to extend my gratitude to the U.S. Attorney’s Office and all of our law enforcement partners for their tireless efforts. This case is another great example of the collaborative work in using all the tools in our toolbelt to continue to identify, arrest and convict violent offenders,” said Commissioner Michael Harrison. “I hope that this sentence will bring some closure to the families, friends and loved ones.”
Nesmith admitted that in connection with the carjacking and robbery conspiracy, he participated in a carjacking, two armed robberies and an attempted armed robbery. During the commission of the crimes, two victims were shot and killed, and one victim was shot and seriously injured. Specifically, Nesmith participated in a carjacking on April 19, 2019, where a firearm was brandished; the July 23, 2019 robbery of Devon Chavis during which at least one member of the conspiracy discharged a firearm, striking and killing Chavis; the August 1, 2019, attempted robbery of Kendrick Sharpe, during which at least one member of the conspiracy fired a gun, striking and killing Sharpe; and the August 8, 2019 robbery of a victim, during which at least one member of the conspiracy fired a gun, striking and severely injuring the victim. In addition, Nesmith knew that his co-conspirators would commit other acts that he did not participate in, including a carjacking on June 12, 2019, where an individual was shot and killed, and five additional carjackings committed from June 12, 2019, through July 29, 2019.
Nesmith also admitted to participating in the Triple C conspiracy. According to Nesmith’s plea agreement, as a member of Triple C, Nesmith and other gang members engaged in a pattern of criminal racketeering activity between 2015 and 2020, including more than a dozen murders and numerous non-fatal shootings, robberies, and carjackings, in order to promote the reputation of Triple C and to command respect from the neighborhood. Other spin-offs of the gang are “SCL” and recently, “TRD.”
As detailed in the plea agreement, the gang benefitted financially from, and affected interstate commerce by, selling narcotics, murdering drug dealers, taking contract killings, and engaging in street robberies. Nesmith acknowledged that as part of his activities with Triple C, he distributed controlled substances, including crack cocaine. Triple C members also robbed dice games for cash and occasionally carjacked vehicles. Members divided the proceeds of the robberies and murders among members who participated, and they often contacted each other to commit a robbery if that member needed money.
Also, according to the plea agreement, Triple C members routinely used social media to identify and locate victims and to communicate with each other and share information concerning possible retaliation for violent crimes committed by gang members. Triple C members and associates used at least 14 firearms to commit crimes, often trading firearms with each other or other groups to avoid detection through ballistic evidence. They limited conversations about criminal plans to members of Triple C and critiqued each other after committing crimes regarding ways to improve their actions. Nesmith admitted that it was reasonably foreseeable to him that members of the conspiracy would commit additional murders, attempted murders, carjackings, and robberies.
This case was made possible by investigative leads generated from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
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 make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is 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.
United States Attorney Erek L. Barron commended the ATF and the Baltimore Police Department for their work in these investigations and thanked the FBI and the Office of the Baltimore City State’s Attorney for their assistance in the investigations and prosecution. Mr. Barron thanked Assistant U.S. Attorneys Patricia C. McLane and Brandon K. Moore, who prosecuted the case.
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Medical Doctor to Pay $86,506.30 to Resolve Civil Liability for Alleged Violations of the False Claims ActRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Dr. Musaddiq Nazeeri, of Lebanon, Pennsylvania, has agreed to pay the United States $86,506.30 to resolve civil liability for alleged violations of the False Claims Act.
According to the United States Attorney Gerard M. Karam, between February 10, 2021 and January 21, 2022, Dr. Nazeeri billed Medicare for certain services that were not supported by the medical record. During the above timeframe, Dr. Nazeeri submitted Evaluation & Management (E&M) claims when the only service rendered was the administration of the COVID-19 vaccine. It is those type claims that were not supported by the medical record. Dr. Nazeeri cooperated with the investigation.
“The U.S. Attorney’s Office is dedicated to combatting fraud and abuse impacting taxpayer-funded programs,” said United States Attorney Karam. “We use every tool at our disposal to do so, and this resolution reflects that commitment.”
“Investigating violations of the False Claims Act is a top priority,” said Maureen R. Dixon, Special Agent in Charge for the Office of the Inspector General, U.S. Department of Health and Human Services. “We will continue to work with the U.S. Attorney’s Office to ensure the integrity of the Medicare program.”
This Settlement Agreement is neither an admission of liability by Dr. Nazeeri nor a concession by the United States that its claims are not well founded.
This matter was investigated by the U.S. Department of Health and Human Services Office of Inspector General. The investigation was handled by Assistant United States Attorney, Tamara Haken, and the Affirmative Civil Enforcement (ACE) Unit within the U.S. Attorney’s Office.
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Maryland Man Pleads Guilty to Defrauding Medicaid of More than $700,000 in Scheme Involving Personal Care ServicesRead the Press Release
WASHINGTON – Joseph Tamjong, 51, of Lanham, Maryland, pleaded guilty today to defrauding the D.C. Medicaid program out of $733,405.
The announcement was made by U.S. Attorney Matthew M. Graves, Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division, Maureen R. Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services’ Office of Inspector General for the region that includes Washington, D.C., and Daniel W. Lucas, Inspector General for the District of Columbia.
Tamjong pleaded guilty in the U.S. District Court for the District of Columbia to health care fraud, which carries a statutory maximum penalty of 10 years in prison. Under federal sentencing guidelines, Tamjong faces a likely recommended sentence of between 27 and 33 months in prison. He has agreed to pay $733,405 in restitution and $396,155 in a forfeiture money judgment. The Honorable Christopher R. Cooper, who accepted Tamjong’s guilty plea, scheduled sentencing for March 7, 2023.
In court documents, Tamjong admitted that between December 2014 and February 2022, he was employed as a Personal Care Aide and/or a Participant-Directed Worker to provide personal care aide services to residents of the District of Columbia who needed assistance performing activities of daily living, such as getting in and out of bed, bathing, dressing, and eating. Tamjong admitted that he submitted false timesheets that claimed he provided these personal care services when in fact he did not.
As part of his scheme, he even caused Medicaid to be billed for approximately 3,400 hours of services that he purportedly provided when he actually was traveling internationally. On 156 separate occasions, he also caused Medicaid to be billed for 24 hours of services that he allegedly provided in one day.
The FBI, the Department of Health and Human Services’ Office of Inspector General, the District of Columbia’s Office of the Inspector General’s Medicaid Fraud Control Unit, and the U.S. Attorney’s Office are committed to investigating and prosecuting individuals who defraud the D.C. Medicaid program.
Tamjong is the twelfth former personal care aide since August 2018 to plead guilty to defrauding Medicaid in the U.S. District Court for the District of Columbia. Six of those aides were sentenced to 13 months in prison; a seventh and eighth were sentenced respectively to 15 months and 10 months.
The government urges the public to provide tips and assistance to stop health care fraud. If you have information about individuals committing health care fraud, please call the Department of Health and Human Services’ Office of Inspector General hotline at (800) HHS‑TIPS [(800) 447-8477] or the D.C. Office of the Inspector General at (800) 724-TIPS [(800) 274-8477].
This case is being prosecuted by Assistant U.S. Attorney Kondi Kleinman with assistance from Paralegal Specialist Michon Tart.
Liberty County Man and Woman Behind My Buddy Loans Sentenced for Fraud Related to COVID ReliefRead the Press Release
TEXARKANA, Texas– A Cleveland, Texas man and woman have been sentenced to federal prison for wire fraud violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Clifton Pape, 47, and Sally Jung, 59, each pleaded guilty on May 6, 2022 to wire fraud violations and were sentenced to federal prison today by U.S. District Judge Robert W. Schroeder III. Pape was sentenced to 121 months in federal prison and Jung received a sentence of 66 months in federal prison. They were also ordered to forfeit $680,710.31 and pay more than $3.7 million in monetary penalties.
According to court documents, Pape and Jung operated a sophisticated telemarketing scheme under the name My Buddy Loans from a house in Cleveland, Texas. In exchange for a fee, My Buddy Loans took personal identifying information from victims and promised to file an application for an agricultural grant, which they said was available to those who owned as little as one acre of land. Instead, Pape and Jung actually filed fraudulent EIDL applications with the SBA that contained the victims’ personal identification information. Based on these fraudulent applications, the SBA issued more than $1.56 million in EIDL Advances to people who were not eligible. Pape and Jung also submitted applications for an additional $1.44 million in EIDL Advances that were not funded because--among other reasons--the congressionally appropriated funds for the EILD Advance program were exhausted.
Pape and Jung used Square’s credit and debit card processing service to charge third parties the fee. Pape and Jung completed at least 700 successful charges, obtaining at least $700,000 in fees. Pape and Jung then transferred the proceeds of the fraud scheme into a bank account they controlled. On one occasion, Pape used the fraud proceeds to pay a traffic ticket. On another occasion, Pape and Jung used more than $3600 from the fraud scheme to pay for a stay at La Cantera Resort in San Antonio. A picture from that stay shows Pape and Jung celebrating over sparkling wine and other beverages.
“This investigation closed down one of the largest COVID fraud schemes in the country in terms of the number of fraudulent EIDL applications,” said U.S. Attorney Brit Featherston. “Well intended and needed economic assistance (taxpayer dollars) was brazenly stolen from legitimate deserving applicants. We are asking those with information about the My Buddy Loan fraud scheme, including those who believe they may be victims, to call the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or file a complaint using the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.”
“The Small Business Administration’s Economic Injury Disaster Loan program (EIDL) was designed to help businesses adversely affected by the pandemic,” said Resident Special Agent in Charge William Mack of the U.S. Secret Service Tyler Resident Office. “Clifton Pape and Sally Jung, however, viewed the government’s direct response to the unprecedented size and scope of pandemic relief fraud as an opportunity to illicitly line their own pockets. As this sentencing illustrates, the Secret Service, along with its law enforcement partners, is committed to holding these criminals accountable for their fraudulent activities.”
“Conspiring to defraud SBA’s programs is a flagrant attempt to rob the nation’s small businesses of vital funds that are used to assist in building the economy,” said SBA OIG’s Central Region Special Agent in Charge Sharon Johnson. “OIG is focused on rooting out bad actors in these vital SBA programs. I want to thank the Department of Justice and our law enforcement partners for their dedication to justice.”
The CARES Act is a federal law enacted in March 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization or EIDL advances and low-interest loans to small businesses to meet financial obligations and operating expenses that could have been met had the disaster not occurred. Under the EIDL program applicants were eligible for a forgivable advance of up to $10,000 if the applicant had ten or more employees.
This case was investigated by the U.S. Secret Service and the Small Business Administration-Office of Inspector General and prosecuted by Assistant U.S. Attorney Jonathan R. Hornok.
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Las Vegas Man Sentenced to Prison for Fraud Scheme Targeting Church FundsRead the Press Release
LAS VEGAS — A Las Vegas man was sentenced today by U.S. District Judge Gloria M. Navarro to 45 months in prison followed by three years of supervised release for his role in a conspiracy to fraudulently obtain money from accounts held by members of the Pension Fund of the Christian Church and the Lutheran Church Extension Fund.
Oluremi Akinleye (42) pleaded guilty in June 2022 to conspiracy to commit wire fraud, possession of 15 or more counterfeit and unauthorized access devices, and aggravated identity theft.
According to court documents, from November 2017 to July 2018, Akinleye and his co-conspirators conspired to fraudulently obtain money from pension accounts held by members of the Pension Fund of the Christian Church and the Lutheran Church Extension Fund by impersonating those members. The funds provide pension and retirement systems for members of the religious community, including ministers. As part of the scheme, Akinleye and his co-conspirators obtained the names and personal identifying information of account holders, and then used that information to make withdrawals and transfers from the victim accounts to accounts the conspirators controlled. As a result of the scheme, Akinleye and his co-conspirators attempted to fraudulently obtain over $400,000 from the two funds.
U.S. Attorney Jason M. Frierson for the District of Nevada and Special Agent in Charge Spencer L. Evans for the FBI made the announcement.
The FBI investigated the case; and Assistant U.S. Attorney Jim Fang prosecuted the case.
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Kyle Man Indicted for Second Degree MurderRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced a federal grand jury has indicted a Kyle man for Second Degree Murder.
Scotty Old Horse, age 27, was indicted in November of 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on November 23, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on November 2, 2022, at Kyle, South Dakota, Old Horse killed a man by striking him with a vehicle.
The charge is merely an accusation and Old Horse is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Oglala Sioux Tribe Department of Public Safety and the Federal Bureau of Investigation. Assistant U.S. Attorney Kelsey Blair is prosecuting the case.
Old Horse was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Kentucky Oil Operator Pleads Guilty to Negligent Violation of Clean Water ActRead the Press Release
A Kentucky man pleaded guilty today to a negligent violation of the Clean Water Act. The charge stems from a 2018 discharge of oil and brine water into a small creek near an oil tank battery and eventually into other downstream creeks.
According to court documents, Joshua M. Franklin, 33, of Columbia, was an operator at an oil lease tank battery in Columbia. His duties included ensuring that brine water, a waste product from oil production, was separated from the oil before it was sold to customers. On Aug. 22, 2018, the oil/water separator at the tank battery used to remove brine water from a tank holding oil ready for sale was not functioning. To separate the brine water from the oil tank, Franklin instead attached a conduit to the oil tank’s discharge valve, opened the valve and left the site. As a result, approximately 100 barrels (4,000 gallons) of oil were discharged into a nearby tributary, which led to other creeks. The oil could be seen in a downstream creek, Brush Creek, over a mile away from the tank battery.
“This prosecution sends a clear and deterrent message to those who would cut corners and cause significant pollution of our nation’s waters,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division.
“The Clean Water Act was designed to protect our nation’s waters from pollution that can damage the environment and threaten human health,” said Acting Assistant Administrator Larry Starfield of the U.S. Environmental Protection Agency (EPA) Office of Enforcement and Compliance Assurance. “This case shows that those who violate the law can expect to be held accountable by EPA and our law enforcement partners.”
The Kentucky Department of Environmental Protection (KDEP) conducted the initial cleanup immediately after the oil spill. The EPA then assumed cleanup tasks for the spill, which took until April of 2019.
Franklin entered a plea agreement where he agrees to pay a restitution of $10,000 to the EPA and KDEP, based on a limited ability to pay. He is scheduled to be sentenced on March 1, 2023, and faces a maximum penalty of one year in prison and a fine of $100,000. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The EPA Criminal Investigation Division investigated the case.
Senior Trial Attorneys Ryan Connors and Daniel Dooher of the Environment and Natural Resources Division’s Environmental Crimes Section prosecuted the case.
Inmate admits to the stabbing of another inmateRead the Press Release
CLARKSBURG, WEST VIRGINIA – Ronnie Legette, an inmate at United States Penitentiary Hazleton, in Bruceton Mills, West Virginia, has admitted to stabbing another inmate, killing him, United States Attorney William Ihlenfeld announced.
Legette, 39, pleaded guilty today one count of “Voluntary Manslaughter.” Legette admitted to stabbing Demario Porter, another inmate, in a heat of passion on September 17, 2018, in Preston County.
Legette faces up to 15 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Jennifer M. Conklin is prosecuting the case on behalf of the government. The Bureau of Prisons investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Huntington Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
HUNTINGTON, W.Va. – Donnie Earl Jefferson Jr., 35, of Huntington, was sentenced today to one year and nine months in prison, to be followed by three years of supervised release, for being a felon in possession of a firearm.
According to court documents and statements made in court, Jefferson admitted to possessing a Remington, model RM380, .380-caliber pistol found by law enforcement officers in his pants pocket when they arrested him in Huntington on September 28, 2021.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Jefferson knew he was prohibited from possessing a firearm because of his felony conviction for first-degree robbery in Cabell County Circuit Court on December 17, 2012.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the United States Marshals Service.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie S. Taylor prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:22-cr-48.
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Home Health Aide Sentenced to 57 Months in Prison for Stealing U.S. Savings Bonds from Elderly WomanRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JHANANNIE SINGH, also known as “Jasmine” and “Sharmala Persaud,” 52, a citizen of Guyana last residing in Queens, New York, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 57 months of imprisonment for stealing hundreds of thousands of dollars in U.S. Savings Bonds from an elderly woman who had purchased the bonds for her grandchildren and other family members.
According to court documents and statements made in court, Singh stole hundreds of thousands of dollars in U.S. Savings Bonds from an elderly woman for whom she provided home health services. The victim had purchased the bonds for her grandchildren and other relatives. After the victim died, Singh contacted Glen Campbell, also known as “Nick,” who enlisted the help of another individual to redeem the stolen bonds at a financial institution and provide Singh and Campbell with a portion of the proceeds. Between October 2020 and January 2021, as part of an undercover investigation, law enforcement coordinated the purchase of more than 100 savings bonds, with face values ranging from $50 to $1,000, from Singh and Campbell. Campbell traveled to Connecticut to complete the transactions.
Singh and Campbell were arrested on January 29, 2021. At the time of Singh’s and Campbell’s arrests, the value of the bonds they had delivered during the undercover investigation was $287,312.39.
In June and July 2021, Singh attempted to obstruct the investigation and prosecution of this matter by offering to pay a witness if he agreed to lie and provide false testimony. Singh has been detained since August 4, 2021. On August 19, 2022, she pleaded guilty to one count of conspiracy.
Campbell pleaded guilty to the same charge on June 15, 2022, and awaits sentencing.
Singh faces immigration proceedings when she completes her prison term.
This matter has been investigated by the Federal Bureau of Investigation and the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorneys Tara E. Levens, Michael S. McGarry and Robert S. Ruff.
The Justice Department has established a National Elder Fraud Hotline to provide services to seniors who may be victims of financial fraud. The Hotline is staffed by experienced case managers who can provide personalized support to callers. Case managers assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll-free number is 833-FRAUD-11 (833-372-8311).
Fruitland man faces federal assault chargeRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced that Anderson Buck made an initial appearance in federal court on Nov. 25 where he was charged by criminal complaint with assault resulting in serious bodily injury in Indian Country. Buck, 39, of Fruitland, New Mexico, and an enrolled member of the Navajo Nation, will remain in custody pending a preliminary and detention hearing scheduled for Nov. 29.
According to a criminal complaint, on Nov. 17, Buck allegedly beat his girlfriend, identified in court records as Jane Doe, so badly she needed immediate medical care at San Juan Regional Medical Center. Jane Doe’s injuries included a blowout of fractured bones around her left eye, with the possibility of losing function in the eye. Jane Doe also suffered significant blunt force trauma to the face including a broken nose, brain bleeding, and blunt force trauma to the abdomen. Jane Doe was later transferred to the University of New Mexico Hospital in Albuquerque.
The assault allegedly occurred in Nenahnezad, New Mexico, on the Navajo Nation.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Buck faces up to 10 years in prison.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Department of Criminal Investigations. Assistant United States Attorney Alexander F. Flores is prosecuting the case.
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Fresno Man Charged in $4+ Million Ponzi and COVID-19 Benefits Fraud SchemesRead the Press Release
FRESNO, Calif. — Royce Newcomb, 60, of Fresno, charged in connection with schemes estimated to have defrauded investors and the government out of more than $4.2 million was arrested today in Fresno, U.S. Attorney Phillip A. Talbert announced.
The indictment, unsealed following Newcomb’s arrest, charges him with five counts of wire fraud and one count of money laundering for running Ponzi, COVID-19 benefits, and other fraud schemes through his company, Strategic Innovations LLC.
According to court records, beginning in 2017, Newcomb owned and operated Strategic Innovations that purported to make smart home and business products meant to stop package theft, prevent weather damage to packages, and make it easier for delivery services and emergency responders to find homes and businesses. He created prototypes for his products, applied for and was issued patents and trademarks, and received local and national media attention that he used to secure millions of dollars from investors.
Newcomb told his investors that he had been awarded a grant by the National Science Foundation and that he would use their money to further develop and bring his products to market. He also promised them significant returns in as little as three months. But none of these representations were true. Instead, Newcomb used the investors’ money to pay for his personal expenses such as gambling, luxury vehicles, and a mansion, to pay for refunds to other investors, and to pay for new, unrelated projects without the investors’ authorization.
In the midst of Newcomb’s Ponzi scheme, he also received a fraudulent COVID-19 loan for over $70,000 from the Small Business Administration and fraudulent loans for over $190,000 from private lenders. He lied about his company having hundreds of thousands and even millions in revenues to get these loans.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorneys Joseph Barton and Jeffrey Spivak are prosecuting the case.
If convicted, Newcomb faces maximum statutory penalties of 20 years in prison and a $250,000 fine for each of the wire fraud counts, and 10 years in prison and a $250,000 fine for the money laundering count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This effort is part of a California COVID-19 Fraud Enforcement Strike Force operation, one of three interagency COVID-19 fraud strike force teams established by the U.S. Department of Justice. The California Strike Force combines law enforcement and prosecutorial resources in the Eastern and Central Districts of California and focuses on large-scale, multistate pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces use prosecutor-led and data analyst-driven teams to identify and bring to justice those who stole pandemic relief funds.
Freeport Woman Guilty of “Straw Purchasing” Firearms on Behalf of Convicted FelonRead the Press Release
ROCKFORD — A Freeport, Ill., woman admitted in federal court today that she “straw purchased” multiple firearms for a convicted felon whom she knew could not legally purchase the guns.
FELICYA KNOX, 31, pleaded guilty to making false statements in connection with the acquisition of firearms. Knox faces a maximum sentence of ten years in federal prison. Sentencing is set for May 10, 2023, at 9:00 a.m., before U.S. District Judge Philip G. Reinhard in Rockford.
Knox admitted in a plea agreement that on multiple dates she knowingly made false and fictitious written statements to a firearms dealer in connection with the acquisition of the firearms. She then transferred those guns to a known felon whom Knox knew could not legally purchase or possess them.
The guilty plea was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey L. Matthews, Acting Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives. The Stephenson County Sheriff’s Office and the Freeport Police Department assisted in the investigation. The government is represented by Assistant U.S. Attorney Jessica S. Maveus.
Disrupting illegal firearms trafficking is the focus of the Department of Justice’s Chicago Firearms Trafficking Strike Force. As part of the strike force, the U.S. Attorney’s Office collaborates with ATF and other federal, state, and local law enforcement partners in the Northern District of Illinois and across the country to help stem the supply of illegally trafficked firearms and identify patterns, leads, and potential suspects in violent gun crimes.
Holding firearm offenders accountable through federal prosecution is also a centerpiece of Project Safe Neighborhoods. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Former Hillsborough County Elementary School Head Custodian Sentenced for Receiving and Possessing Child Sexual Abuse MaterialsRead the Press Release
Tampa, Florida– U.S. District Judge Charlene Honeywell has sentenced Charles Currie (66, Tampa) to eight years and one month in federal prison, followed by 15 years of supervised release, for receipt and possession of child sexual abuse material. Currie is required to register as a sex offender. The court also ordered Currie to forfeit multiple electronic devices, which were used to commit the offenses. Restitution will be ordered by the Court at a hearing scheduled for February 3, 2023. Currie had pleaded guilty on August 19, 2022.
According to court documents, in February 2016, Currie received a video approximately 6 minutes in length via a peer-to-peer networking application that depicted prepubescent minors being sexually abused. As of January 2021, Currie also possessed multiple electronic devices containing approximately 2,452 images and 1,595 videos of child sex abuse material, including images and videos depicting toddlers and bondage.
“Removing this predator from the streets, and out of the school where he was employed, is a win for the community,” said Homeland Security Investigations (HSI) Tampa Assistant Special Agent in Charge Kristopher Pagitt. “We appreciate our partners at the Tampa Police Department in the successful investigation and prosecution of this case.”
This case was investigated by Homeland Security Investigations (HSI), with assistance from the Tampa Police Department. It was prosecuted by Assistant United States Attorney Ilyssa M. Spergel.
This 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.
Former CEO of Iconix Brand Group Convicted at Trial of Accounting FraudRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced earlier today that a federal jury found NEIL COLE, the former Chief Executive Officer of Iconix Brand Group, Inc. (“Iconix”), guilty of participating in a scheme to fraudulently inflate Iconix’s revenue and earnings per share, making false filings with the U.S. Securities and Exchange Commission (“SEC”), and misleading the conduct of audits. The defendant was found guilty following a four-week retrial before U.S. District Judge Edgardo Ramos. Sentencing has not yet been scheduled.
U.S. Attorney Damian Williams said: “As a unanimous jury has now found, Neil Cole deceived his company’s investors and auditors in order to make his company appear to be performing better than it was. Cole tried to hide his conduct behind tricks and lies, but the truth is now clear: Cole cooked the books. This verdict sends a message that this Office is committed to holding corporate executives accountable when they resort to fraud, no matter how long it takes. Wall Street should know that we will not be deterred from seeking justice in tough cases.”
According to the allegations contained in the Indictment, the evidence offered at trial, and matters included in public filings:
Iconix, whose shares traded on the NASDAQ, was in the business of acquiring various brands, including clothing and fashion brands, and then licensing those brands to retailers, wholesalers, and suppliers who, in turn, produced and sold clothing and other products bearing the brand names.
Iconix utilized joint ventures (“JVs”) to profit from its brands in foreign markets. With respect to these JVs, Iconix transferred ownership of a trademark or brand to the JV while maintaining a 50 percent ownership interest in the JV itself. The other party involved in the JV purchased a 50 percent interest in the JV from Iconix. As part of the JV agreements, each JV partner was generally entitled to 50 percent of the JV’s licensing revenue. When it entered into a JV, Iconix recognized as revenue the buy-in purchase price paid by the JV partner, less Iconix’s cost basis in the trademarks.
Among the most critical financial metrics disclosed in Iconix’s public filings with the SEC were Iconix’s quarterly and annual revenue and non-GAAP diluted earnings per share (“EPS”). Iconix executives, including COLE, publicly identified revenue and EPS as the principal metrics demonstrating Iconix’s growth. They also touted Iconix’s consistent record of revenue and earnings growth and of meeting or exceeding Wall Street analyst consensus with respect to these metrics.
The Accounting Fraud Scheme
COLE engaged in a scheme to falsely inflate Iconix’s reported revenue and EPS by orchestrating a series of “round trip” transactions in which COLE and a senior Iconix executive induced a JV partner, a Hong Kong-based international apparel licensing company (“Company-1”), to pay artificially inflated buy-in purchase prices for JV interests, with the understanding that Iconix would then reimburse Company-1 for the overpayments. COLE executed the scheme for the purpose of enabling Iconix to report fraudulently inflated revenue and EPS figures based on the inflated buy-in purchase prices it obtained from Company-1.
COLE arranged for Iconix to enter into at least two JVs with Company-1 that included inflated buy-in purchase prices from Company-1: (1) an amendment to a preexisting Southeast Asia joint venture, which closed on or about June 30, 2014 (“SEA-2”), and (2) a second amendment to the Southeast Asia joint venture, which closed on or about September 17, 2014 (“SEA-3”) (collectively, the “SEA JVs”). SEA-2 and SEA-3 involved a fraudulent “round trip” transaction, lacking in economic substance, in which Company-1 paid an artificially inflated buy-in purchase price for its interest in the JV, in exchange for COLE’s agreement that Iconix would give back the inflated portion of the purchase price to Company-1. COLE and a senior Iconix executive hid from Iconix’s lawyers and outside auditors that COLE had reached an understanding with Company-1 to artificially increase the consideration Company-1 paid Iconix in exchange for COLE’s agreement to round-trip the overpayment back to Company-1.
Through the scheme, COLE caused Iconix to report fraudulently inflated revenue and EPS figures to the investing public. COLE did so, in part, to ensure that the reported figures met analyst consensus and to fraudulently convey the impression to the investing public that Iconix was growing quarter after quarter, as COLE had touted to the investing public.
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COLE, 65, of New York, New York, was convicted of one count of securities fraud, six counts of making false filings with the SEC, and one count of improperly influencing the conduct of audits. Each count carries a maximum prison term of 20 years.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentence will be determined by the judge.
Mr. Williams praised the outstanding work of the Federal Bureau of Investigation and the SEC Office of the Inspector General. Mr. Williams also thanked the SEC Division of Enforcement, which previously brought a separate civil action.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Jared Lenow, Justin V. Rodriguez, and Andrew Thomas are in charge of the prosecution.
Florida Man Pleads Guilty to Bank Fraud in Maine and Oregon and Illegal Gun Possession in FloridaRead the Press Release
PORTLAND, Maine: A Fort Lauderdale, Florida man pleaded guilty in federal court today to committing bank fraud, conspiracy to commit bank fraud, aggravated identity theft, and being a felon in possession of a firearm.
According to court records, in November 2020, Leonardo Cameron, 27, and coconspirators broke into unattended vehicles in southern Maine and New Hampshire and stole personal identifying information, such as driver’s licenses and checkbooks. They then used the identifications to cash stolen checks using multiple bank drive-through lanes in southern Maine. As part of the scheme, checks from one theft victim’s account were made payable to another identity theft victim, and a female coconspirator impersonated the identity theft victims to cash the stolen checks. In July 2020, Cameron engaged in similar conduct in Oregon with different coconspirators. When he was arrested in Florida months later on Oregon federal bank fraud and identity theft charges, he possessed a firearm and ammunition. He has a prior felony conviction that precludes him from possessing firearms or ammunition. Cameron agreed to transfer jurisdiction over the Florida and Oregon charges to the District of Maine for the purpose of entering guilty pleas to all pending federal charges.
Cameron faces up to 30 years in prison and a $1 million fine followed by up to five years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Eliot, Maine Police Department; the FBI in Portland, Maine; the U.S. Department of Homeland Security, Homeland Security Investigations (HSI) in Portland, Oregon; and Homeland Security Investigations (HSI) in Fort Lauderdale, Florida investigated these cases.
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Felony Lane Gang Participant Sentenced to Federal PrisonRead the Press Release
NASHVILLE – A Florida man was sentenced today in U.S. District Court in Nashville, Tennessee, to 57 months in federal prison for his role in a bank fraud conspiracy, while using methods associated with the tactics of what is commonly known as the Felony Lane Gang (FLG), announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
Melvin Brooks, 40, of Fort Lauderdale, was charged in November 2021 with conspiracy to commit bank fraud, bank fraud, and aggravated identity theft. He pleaded guilty to all charges in January.
The FLG typically is a group of thieves from Florida who travel the country and target unoccupied vehicles for “smash and grab” thefts, stealing purses and using stolen identification documents and credit cards to commit financial crimes. When cashing stolen checks, they typically use the drive-thru lane farthest from the bank in an attempt to avoid detection.
According to Court documents, Brooks conspired with Bobbie Lynn Riley, 39, of Dickson, Tenn., to obtain identification documents and checks stolen from others, to fraudulently obtain more than $30,000 in cash and gift cards from area banks and businesses. While travelling interstate, the pair used stolen license plates to mask the identity of rental cars used during the commission of these crimes, also a tactic of the FLG.
Riley was charged in 2019 and was sentenced to 22 months in prison in 2020 after pleading guilty to conspiracy and bank fraud.
This case was investigated by the FBI; the Franklin Police Department; The Brentwood Police Department; and the Williamson County Sheriff’s Department. The 21st Judicial District Attorney General’s Office was instrumental in obtaining the forfeiture of more than $29,000 which was seized from Brooks upon his arrest and will be used as restitution to the victims of his crimes. Assistant U.S. Attorney Taylor J. Phillips is prosecuting the case.
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Felon Previously Convicted and Incarcerated on Gun, ID Theft, and Domestic Assault Charges Sentenced for Bank RobberyRead the Press Release
PROVIDENCE – A Providence man with nine previous criminal convictions, including convictions on firearms, fraud, aggravated identity theft, and domestic assault charges, was sentenced today to nearly five years in federal prison for robbing a downtown Providence bank in April 2021 while on federal supervised release, announced United States Attorney Zachary A. Cunha.
Less than six months after his release from a twelve-year term of incarceration in federal prison, Roldy Francois, 38, brandished what appeared to be a firearm and threatened to “shoot this place up” as he robbed a downtown bank branch office. Providence Police located Francois using GPS trackers concealed in a stack of cash handed over to Francois, and he was arrested after a brief foot pursuit. Among the items dropped by Francois and recovered by police was a toy handgun.
Francois’ arrest followed a 144-month term of incarceration imposed for his 2011 conviction on four counts of being a felon in possession of a firearm; one count of possession of a firearm with an obliterated serial number; four counts of making false statements to a federally licensed firearms dealer in acquisition of firearms; four counts of possession of an identification document with intent to defraud the United States; and four counts of aggravated identity theft. Although prohibited from acquiring firearms by his 2007 conviction of felony domestic assault for stabbing his girlfriend in the leg, Francois illegally purchased five handguns using a stolen identity.
At the time of his arrest on these earlier charges, Francois pointed a handgun at U.S Marshals, causing a six-hour standoff with law enforcement prior to his being taken into custody.
At sentencing today on a charge of bank robbery and for violating the terms of federal supervised release, U.S. District Court Judge William E. Smith Sentenced Francois to fifty-seven months in federal prison to be followed by three years of federal supervised release – the first six months of supervised release to be served at a residential reentry center.
The case was prosecuted by Assistant United States Attorneys G. Michael Seaman, Sandra R. Hebert, and Paul F. Daly, Jr. The matter was investigated by the Providence Police Department, with the assistance of the FBI.
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Federal Jury Convicts Tampa Man of Double MurderRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that a federal jury has found Jy’Quale Samari Grable (20, Tampa) guilty of conspiracy, robbery, and first-degree premediated murder. Grable faces a mandatory minimum sentence of life in federal prison. His sentencing hearing is scheduled for February 16, 2023. Jy’Quale Grable was indicted on February 1, 2022.
According to testimony and evidence presented at trial, on December 22, 2020, Jy’Quale Grable, Elijah Bell and Aquavious Smith drove to the Valrico Station Apartments in Brandon, Florida to conduct a robbery. Grable and Smith went to the victim’s third floor apartment, while Bell stayed in the car. On the back patio of the apartment, Grable shot B.B. in the neck, severing his spinal cord, and killing him instantly. Grable then shot M.M. in the chest, perforating his heart and lung, which also lead to his death. At approximately 9:00 p.m., neighbors heard the gun shots, and observed blood dripping down from the third floor back balcony apartment. Hillsborough County Sheriff deputies immediately responded and secured the scene.
According to evidence presented at trial, Grable later deleted Snap Chat messages and phone calls from his phone, had family members dispose of the murder weapon, and burned his bloody clothing.
Elijah Bell pleaded guilty on April 13, 2022, and Aquavious Smith did so on June 7, 2022. Both are pending sentencing.
This case was investigated by the Drug Enforcement Administration and the Hillsborough County Sheriff’s Office, with assistance from the Hillsborough County Medical Examiner’s Office, Manatee County Sheriff’s Office, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Diego F. Novaes and David P. Sullivan.