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15 November 2022
Correctional Officer Charged with Accepting Bribes and Smuggling Contraband into NEOCCRead the Press Release
CLEVELAND – A Northeast Ohio Correctional Center (NEOCC) correctional officer was charged on Nov. 14, 2022, in a four-count Information for his role in a scheme to smuggle contraband into the NEOCC in return for bribery payments.
Terry Terrigno, 30, of Canfield, Ohio, was charged with one count each of providing narcotics, marijuana and tobacco to inmates and one count of accepting bribes.
According to court documents, from February 2017 to July 2019, Terrigno allegedly smuggled suboxone, marijuana and tobacco to NEOCC prison inmates in return for electronic bribery payments made through a mobile phone application.
An Information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it is the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the court after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offenses and the characteristics of the violation.
In all cases, the sentence will not exceed the statutory maximum, and in most cases, it will be less than the maximum.
This case was investigated by the Cleveland FBI and the Department of Justice Office of the Inspector General (DOJ OIG). This case is being prosecuted by Assistant U.S. Attorney Justin Seabury Gould.
Convicted Felon Pleads Guilty to Possessing AmmunitionRead the Press Release
BOSTON – A Cambridge man has pleaded guilty in federal court in Boston to illegally possessing ammunition as a previously convicted felon.
Kyle Evans, 36, of Cambridge, pleaded guilty on Nov. 9, 2022 to one count of being a felon in possession of ammunition. U.S. District Court Judge Richard G. Stearns scheduled sentencing for Feb. 23, 2023. Evans was initially charged by criminal complaint in October 2020 and subsequently indicted by a federal grand jury in November 2020.
In August 2020 Evans was pulled over in Everett by local law enforcement after failing to stop his vehicle at a red light. When asked for his license and registration, Evans stated that he did not have a license. Law enforcement confirmed that Evans’ driver’s license was suspended and he was subsequently placed under arrest, at which time four rounds of .22LR caliber ammunition were found in his left pants pocket.
Due to a prior conviction punishable by at least one year in prison that he had received, Evans was prohibited from possessing firearms and ammunition.
The charge of being a felon in possession of ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Everett Police Chief Steven A. Mazzie made the announcement. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Rollins’ Major Crimes Unit is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
Chicago Man Sentenced to Nine and a Half Years in Federal Prison for Attempting to Fire Loaded Gun at Federal AgentRead the Press Release
CHICAGO — A Chicago man was sentenced today to nine and a half years in federal prison for attempting to fire a loaded gun at federal agents and task force officers while holding a toddler.
JOSEPH HAMMOND, 35, of Chicago, pleaded guilty earlier this year to assaulting a federal officer and using a firearm during a crime of violence. U.S. District Judge Manish S. Shah imposed the sentence after a hearing in federal court in Chicago.
On June 3, 2020, agents from the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives approached Hammond near the 6800 block of South Sangamon Street in Chicago’s Englewood neighborhood while investigating a report of a man holding a gun and a toddler. As the agents and officers approached in a vehicle, Hammond pointed the gun at an agent and said, “move along.” Hammond pulled the trigger, but it misfired.
Hammond then ran from the area while holding the toddler. The agents pursued Hammond and arrested him nearby. Neither the toddler nor the agents were injured.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Jeffrey L. Matthews, Acting Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; and David Brown, Superintendent of the Chicago Police Department.
“By running through Englewood at 1:00 a.m. and brandishing a loaded firearm at law enforcement, defendant threatened the lives of the law enforcement officers, the public, and his own family,” Assistant U.S. Attorney Misty N. Wright argued in the government’s sentencing memorandum. “It is this rush to threats and violence that is getting people killed in our communities.”
Chesterfield Psychiatrist Admits Conspiracy Linked to Health Care FraudRead the Press Release
ST. LOUIS – A psychiatrist from Chesterfield, Missouri on Tuesday pleaded guilty in front of U.S. District Judge Sarah E. Pitlyk to a felony conspiracy charge and admitted that Medicare, Medicaid and other insurers lost more than $3.8 million based on fraudulent reimbursement claims submitted by clinical laboratories that he owned.
Dr. Franco Sicuro, 67, has also agreed to forfeit $3.1 million from various sources.
Sicuro ran, owned, served as the medical director of or was associated with health care businesses including Millennium Psychiatric Associates LLC (MPA), Advanced Geriatric Management (AGM), Centrec Care, Sleep Consultants of St. Louis LLC, Midwest Toxicology Group, Genotec Dx and Benemed Diagnostics LLC.
In 2014, AGM was certified under the Clinical Laboratory Improvement Amendments (CLIA) and was then allowed to perform quantitative lab testing. That same year, Sicuro and Carlos Himpler opened another lab, Genotec, that was in the same building as AGM but would bill insurance companies as a separate, “out-of-network” lab. To obtain CLIA certification for Genotec, Himpler and AGM staff falsely stated that AGM and Genotec operated as separate labs, although AGM and Genotec shared one part-time employee, the same medical director and the same testing equipment, Sicuro’s plea agreement says. Without the CLIA certification, Genotec could not perform any clinical lab testing.
Sicuro also admitted in his plea that he chose to remain “deliberately ignorant” of the fact that his financial interest in Genotec was concealed from private health care insurers, Medicare, and Medicaid. As a result, the insurers did not know that Sicuro and employees of AGM were referring patients for urine tests to a lab in which Sicuro had a financial interest.
Sicuro also admitted that he and other health care providers at AGM, MPA, Sleep Consultants and Rest Easy of St. Louis LLC, a company run by Himpler, ordered clinical lab tests, including urine toxicology tests, that AGM and Genotec then sent to outside “reference” laboratories for more sophisticated testing that would show the quantities of drugs instead of simply detecting their presence, as AGM’s lab equipment did.
AGM or Genotec paid the reference labs about $125 for a test and then billed insurers significantly more but did not disclose to the insurers that neither AGM nor Genotec had actually performed the tests. Medicare, Medicaid and many private insurers would not have paid the “pass-through billing” claims had they known about it, Sicuro’s plea says.
In 2015, Sicuro and Himpler incorporated Midwest, which they held out as a clinical testing lab although it did not have equipment, staff or supplies necessary to perform tests. Further Midwest was not certified by CLIA or authorized to perform tests of human specimens. Sicuro admitted that he and Himpler knew Midwest was a lab in name only but caused Midwest to bill for clinical lab tests. Sicuro further admitted that he either knew or was willfully blind to the fact that Himpler used Genotec’s CLIA certification number on reimbursement claims submitted by Midwest, deceiving health insurers into believing that Midwest performed the tests. Genotec and Midwest also frequently “split-billed;” each submitted a claim for the testing of the same specimen obtained from the same person on the same day of service.
Sicuro is scheduled to be sentenced February 8. He faces a penalty of up to five years in prison and will be ordered to repay the money.
“Providers engaging in fraudulent schemes not only compromise the integrity of essential federal health care programs but also waste valuable taxpayer dollars,” said Special Agent in Charge Curt L. Muller with the Department of Health and Human Services, Office of Inspector General (HHS-OIG). "Alongside fellow law enforcement agencies, HHS-OIG holds accountable bad actors who exploit these programs for personal gain."
The case is pending against Himpler, 51, of the Baton Rouge, Louisiana area. He has pleaded not guilty to charges of conspiracy, health care fraud and money laundering.
The case was investigated by the FBI, the U.S. Department of Health and Human Services Office of Inspector General and the IRS. Assistant U.S. Attorneys Dorothy McMurtry, Amy Sestric and Kyle Bateman are prosecuting the case.
Cary Man Sentenced to More Than 12 Years for Role in Medicaid Fraud SchemeRead the Press Release
RALEIGH, N.C. –Antonio Deon Fozard, of Cary, was sentenced today to 151 months in prison and three years of supervised release for conspiracy and health care fraud. On February 25, 2021, Fozard pleaded guilty to the charges. As part of the judgment, Fozard was also ordered to pay $4,242,794 in criminal restitution to the North Carolina Fund for Medical Assistance.
“This defendant stole millions intended to provide healthcare to low-income families,” said U.S. Attorney Michael Easley. “We will continue to investigate and prosecute those that mastermind these unconscionable schemes to misuse taxpayer funds meant to help those in need.”
According to court documents and other information presented in court, between approximately 2012 and 2017, Fozard was a leader in a multi-district conspiracy to defraud the North Carolina Medicaid system through the submission of more than $7 million in false and fraudulent claims for the reimbursement of behavioral health services. Medicaid is a federally funded health care benefit program that helps pay for medical services for low-income individuals and their families. In North Carolina, Medicaid is administered by the North Carolina Department of Health and Human Services, Division of Health Benefits.
Fozard owned and operated a number of behavioral health companies that purported to provide services to Medicaid beneficiaries in the Middle and Eastern Districts of North Carolina, including Group Service, Group Service Solution, Zoofari Kids, and In Touch of Care. Each of these entities engaged in a systematic effort to steal from Medicaid by billing for services that were never rendered.
Group Service maintained offices at various times in Raleigh, Dunn, Durham, and Sanford. Among other things, Group Service employed co-conspirators Reginald Van Reese, Jr., and Ruben Samuel Matos to canvas low-income neighborhoods to identify eligible Medicaid recipients and collect their personal identifying information (PII), including their Medicaid identification numbers. The harvested PII was then incorporated into false and fraudulent claims that Group Service submitted to Medicaid for reimbursement. Various “note writers,” including co-conspirator Humberto “Ghost” Mercado, were enlisted to fabricate supporting documentation in the event of a Medicaid audit. At one point during the conspiracy, Group Service was audited by a Medicaid contractor. To obstruct the audit, Fozard directed note writers to fabricate medical records and then caused those records to be provided to investigators.
During much of the same time period, Fozard and another co-conspirator, Sharita Mathis Richardson, were operating Zoofari Kids, which was similarly defrauding North Carolina Medicaid. Zoofari operated in Durham and Garner. The Durham location shared the same address as Group Service and purported to provide mental health treatment to Medicaid recipients. The Garner location was strictly a drop-in daycare facility. The daycare, however, was effectively funded by Medicaid fraud proceeds paid out to Zoofari’s mental health business. Under Fozard’s leadership, Zoofari filed thousands of false claims in the name of a rendering provider whose information was used without his knowledge or consent, obtained lists of stolen Medicaid beneficiary information for incorporation into the fraudulent billings, and created fake medical records.
After Group Service was barred from billing Medicaid, Fozard engaged in another billing scheme through a different business, In Touch of Care. According to the investigation, In Touch of Care recycled Medicaid information from fraudulent billings submitted by prior Fozard-controlled entities. Additionally, Fozard caused In Touch of Care to bill for services using the clinician information for a nurse practitioner who never performed the listed services.
In addition to engaging in health care fraud through businesses under his direct control, Fozard collaborated with third party owners and operators of other purported behavioral health companies for the purpose of cheating the Medicaid system. For example, Fozard conspired with brothers Jerry and Tony Taylor, the owners of Taylor Behavioral Health and Options Driven in Monroe, North Carolina, by selling them lists of stolen Medicaid beneficiary information for use in their own fraudulent billings.
Reginald Van Reese, Jr., Ruben Samuel Matos, Humbert Mercado, and Sharita Mathis Richardson, each pleaded guilty to health care fraud charges and were sentenced to prison in related cases filed in the Eastern District of North Carolina. Co-conspirators Jerry and Tony Taylor pleaded guilty to heath care fraud charges and were sentenced to prison in related cases filed by the United States Attorney’s Office for the Western District of North Carolina.
Michael Easley, United States Attorney for the Eastern District of North Carolina, made the announcement after sentencing by United States District Judge Louise W. Flanagan. The Federal Bureau of Investigation and the North Carolina Medicaid Investigations Division investigated the case. Assistant United States Attorney Adam F. Hulbig prosecuted the case for the government.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-446-FL.
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Bristol Man Charged with Sex Trafficking, Related OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that a federal grand jury in New Haven returned an indictment today charging DAVID MARSHALL, also known as “Saint,” 37, of Bristol, with sex trafficking and related offenses.
As alleged in court documents, between January and April 2022, Marshall trafficked an adult female victim. He sold the victim for commercial sex and repeatedly raped and beat the victim if she did not follow his orders. Marshall also controlled the victim by plying her with fentanyl and threatening to harm her family. In March 2022, the victim attempted to escape from Marshall and obtained an order of protection against him after he was arrested by Cromwell Police for threatening to kill her. On April 27, 2022, Marshall was arrested by police in Freeport, Maine, after he severely beat the victim. While in jail, Marshall contacted the victim in violation of the protection order, and attempted to convince her not to cooperate with the police and to continue to prostitute herself to earn money to bail him out of jail. Marshall also contacted another person from jail in an attempt to remotely erase the evidence on his cell phone, but he was unable to do so because the FBI had already secured the phone.
The indictment charges Marshall with one count of sex trafficking by force, fraud, and coercion, which carries a mandatory minimum term of imprisonment of 15 years and a maximum term of imprisonment of life; one count of attempted obstruction of sex trafficking enforcement, which carries a maximum term of imprisonment of 25 years; and one count of interstate violation of a protection order, which carries a maximum term of imprisonment of five years, but the maximum penalty may be increased to 10 years if the conduct resulted in serious bodily injury to the victim, or to life imprisonment if the conduct constituted sexual abuse or aggravated sexual abuse.
Marshall has been detained since his arrest on a federal criminal complaint in Maine on October 31, 2022. He appeared today before U.S. Magistrate Judge Robert M. Spector in New Haven and entered a plea of not guilty to the charges.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation, with the assistance of the Newington Police Department, Cromwell Police Department, Freeport (Maine) Police Department, and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys Angel M. Krull and Amanda S. Oakes.
U.S. Attorney Avery thanked the U.S. Attorney’s Office for the District of Maine for its assistance in this case.
Bremerton, Washington man who distributed pound quantities of methamphetamine sentenced to 9 years in prisonRead the Press Release
Seattle – A 48-year-old Bremerton, Washington man was sentenced today in U.S. District Court in Seattle to 9 years in prison for conspiracy to distribute controlled substances, announced U.S. Attorney Nick Brown. At the sentencing hearing U.S. District Judge John C. Coughenour noted that it was Michael Wood’s third federal conviction, and that he did poorly while on supervised release. “He has the most revocations (of supervised release) that I have seen in 40 years on the bench,” Judge Coughenour said.
“Mr. Wood has racked up state and federal convictions for drug dealing, partnering with some of the most violent drug cartel members our district has seen,” said U.S. Attorney Brown. “He was distributing multiple pounds of methamphetamine. The damage his extensive drug dealing has done to the community cannot be overstated.”
In this most recent conviction, Wood was distributing methamphetamine for a leader of a drug operation tied to Mexico’s Jalisco New Generation Cartel (CJNG). An extensive wire-tape investigation resulted in the indictment of 19 defendants in July 2020. When authorities went to arrest Wood at the half-way house where he had been residing, he fled and avoided arrest for nearly a year. He was taken into custody on June 10, 2021, after once again attempting to run from police. Wood pleaded guilty on July 27, 2022.
In asking for a significant sentence, prosecutors described Wood’s lengthy criminal history. He was first convicted of possession of methamphetamine in 2001. He also possessed a firearm. In 2003 he was first convicted federally for distributing methamphetamine for a large drug trafficking organization. In 2011 he was convicted of drug trafficking in Kitsap County. While on supervision for the 2011 drug case, he was charged federally in 2015, again for distributing meth for a large drug organization. Wood was released in 2018, and while on supervision for both the 2011 state case and 2015 federal case, he committed the drug distribution crimes for which he was sentenced today.
“Wood’s history demonstrates that he has spent the vast majority of his life engaged in drug trafficking. On his third federal conviction, he has not been deterred from the criminal lifestyle and rather, has continued at each turn to associate himself with high-level drug trafficking organizations that supplied him with significant quantities of methamphetamine to redistribute. His complete noncompliance with terms of supervision further underscores the need for a significant sentence,” Assistant United States Attorney Amy Jaquette wrote in the government sentencing memo.
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.
The investigation was conducted by the U.S. Drug Enforcement Administration’s (DEA) Tacoma Resident Office in partnership with Tahoma Narcotics Enforcement Team (TNET), Kent Police Department, Homeland Security Investigations, SeaTac Police Department, Thurston County Narcotics Team (TNT), the Federal Bureau of Investigation, the Bureau of Alcohol Tobacco, Firearms and Explosives (ATF), and Internal Revenue Service Criminal Investigation (IRS-CI).
The case is being prosecuted by Assistant United States Attorneys Amy Jaquette and C. Andrew Colasurdo.
Branford Sex Offender Sentenced to 13 Years in Prison for Possessing & Distributing Child Sex Abuse ImagesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that MICHAEL HOLM, 43, of Branford, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 156 months of imprisonment, followed by 10 years of supervised release, for possessing child sex abuse images.
According to court documents and statements made in court, from approximately September 1, 2014 to March 8, 2021, Holm possessed images and videos of child pornography on his iPhone and in his online Dropbox account. He also used various other websites and mobile applications, such as ChatStep, Kik, Discord, Skype, and others, to distribute child pornography to others, sometimes in exchange for child pornography in return. A review of Holm’s iPhone and online accounts revealed that, during this time period, he possessed at least 142 unique image files and 118 unique video files of child pornography, including images and videos depicting the sexual abuse of infants and toddlers.
Holm engaged in some of this conduct while he was on federal supervised release for a prior child pornography offense. In August 2011, Holm was sentenced to three months of imprisonment followed by five years of supervised release for possession of child pornography.
The penalties in this matter were enhanced based on Holm’s prior conviction.
Holm has been detained since his arrest on May 24, 2021. On September 9, 2021, he pleaded guilty to possession of child pornography.
Judge Dooley ordered Holm to pay $29,000 in restitution to victims whose images he possessed and distributed.
This matter is being investigated by Homeland Security Investigations (HSI) and was prosecuted by Assistant U.S. Attorneys Neeraj N. Patel and Katherine E. Boyles.
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.
Boulder Man Pleads Guilty to Covid FraudRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Russell Bryant Lester, age 41, of Boulder, has pleaded guilty to one count of wire fraud for taking money from pandemic relief funds by filing false applications.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which provided emergency assistance, administered by the United States Small Business Administration (SBA), to small business owners affected by the Coronavirus (COVID-19) pandemic. The two primary sources of funding for small businesses were the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program.
According to the plea agreement, from March 2020, through August 2020, Lester made false statements to obtain EIDLs and PPP loans. During the same period, Lester also made false statements to the Colorado Department of Labor and Employment about not being employed in any capacity in order to collect pandemic unemployment benefits from the state.
The SBA funded four EIDLs for a total of $217,400, awarded three grants through the EIDL program totaling $16,000, and funded two PPP applications in an amount totaling $317,975. A third PPP loan application—requesting a loan of $297,200—was not funded.
In April 2020, Lester applied for pandemic unemployment benefits from the Colorado Department of Labor and Employment. In his application for unemployment benefits, he stated that he was not currently working or receiving pay as a result of the COVID-19 pandemic, and that he had not received pay since January 15, 2020. Subsequently, between April and October 2020, Lester completed weekly certifications wherein he falsely stated he did not work or receive any money or payments from an employer. As a result of these false certifications, he collected $17,578 in pandemic unemployment benefits from the state of Colorado. Lester knew these certifications to be false: in reality, he received $551,175 in COVID-relief funds in this period, some of which he used to pay himself. Lester spent portions of EIDL and PPP loan proceeds for non-eligible expenses, including paying old debts unrelated to the businesses receiving the loans and extending high-interest loans to other individuals.
Judge Daniel D. Domenico presided over the change of plea hearing on November 15, 2022. The defendant will be sentenced on February 7, 2023.
This case was investigated by the Federal Bureau of Investigations (FBI) Denver Division. The prosecution is being handled by Assistant United States Attorneys Craig Fansler, Sarah Weiss and Rebecca Weber.
CASE NUMBER: 21-cr-00230
Boston Man Sentenced to over Five Years in Prison for Drug and Gun OffensesRead the Press Release
BOSTON – A Boston man was sentenced yesterday in federal court for gun and drug offenses.
Omari Peterson, 39, was sentenced by U.S. Senior District Court Douglas P. Woodlock to 66 months in prison and three years of supervised release. On March 29, 2022, Peterson pleaded guilty to one count of distribution and possession with intent to distribute cocaine and cocaine base (crack cocaine) and two counts of being a felon in possession of firearms and ammunition.
In January 2021, an investigation began into drug trafficking activities by Peterson in the Boston area. On Feb. 18, 2021, Peterson sold crack cocaine and cocaine to a cooperating witness. A search of Peterson’s apartment on March 5, 2021 resulted in the seizure of two firearms, a Sig Sauer P220 pistol and a Ruger LCP .380 pistol, along with 136 rounds of various caliber ammunition. During a subsequent search of Peterson’s storage unit in Quincy on March 6, 2021, six additional firearms and 67 rounds of various caliber ammunition were also seized.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Boston Police Commissioner Michael Cox; Randolph Police Chief Anthony Marag; and Quincy Police Chief Paul Keenan made the announcement. Assistant U.S. Attorney John T. Dawley of Rollins’ Organized Crime & Gang Unit prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Bixby Man Sentenced to Serve Five Years in Federal Prison for Conspiracy to Steal Trade Secrets from Oklahoma City Oil and Gas CompanyRead the Press Release
OKLAHOMA CITY – Yesterday, JOSHUA DECKER, 37, of Bixby, Oklahoma, was sentenced to serve 60 months in federal prison for conspiracy to steal trade secrets, announced U.S. Attorney Robert J. Troester for the Western District of Oklahoma.
On May 26, 2021, the government filed a one-count Superseding Information charging Decker with conspiracy to steal, download, and possess trade secrets. According to the Superseding Information, Decker was a controller for the valve division of an oil and gas company that serves customers engaged in drilling and production. With its valve operations headquartered in Oklahoma City, the company manufactures compact manifold ball valves sold across the United States. In March 2017, while employed as the controller at the company, Decker registered with the Oklahoma Secretary of State a new company called Legacy Valve Systems ("Legacy"). He then recruited co-workers at the victim company to join him at Legacy.
The Superseding Information alleges that from March to September 2017, Decker conspired to steal numerous trade secrets from the victim company. Specifically, it alleges Decker and others acting at his direction downloaded the technical drawings, material specifications, and manufacturing instructions for the victim company’s valves, and Decker transmitted the victim company’s detailed financial information—including cost information and sales by product and customer—by email to himself. The Superseding Information further alleges that Decker provided the victim company’s drawings to an individual who copied them and replaced the victim company’s logo with a Legacy logo to begin manufacturing and selling valves to compete with the victim company. Decker then directed others to delete all their text messages and files, including messages on an encrypted application, to conceal their theft from the victim company.
On June 2, 2021, Decker pleaded guilty to conspiracy to steal trade secrets. Decker admitted that the victim company undertook several measures to protect their information as trade secrets. Decker admitted that he, along with others, planned to take and use the drawings of the victim company’s valves to create products for Legacy. He also admitted that he possessed many of the drawings on his own laptop. Decker also admitted that he instructed those working with him to delete their communications about the drawings they took.
At yesterday’s sentencing hearing, U.S. District Judge Scott L. Palk sentenced Decker to serve 60 months in federal prison for his conduct, followed by three years of supervised release. Decker was also ordered to pay a total of $1,116,885.49 in restitution to the victim oil company. In arriving at the sentence, Judge Palk noted Decker’s history and characteristics, the nature and circumstances and seriousness of the offense, and the need to deter others from undertaking similar conduct.
This case was the result of an investigation by the Federal Bureau of Investigation’s Oklahoma City Field Office. This case was prosecuted by Assistant U.S. Attorney Daniel Gridley.
Reference is made to public filings for additional information.
Baltimore Man Sentenced to Nine Years in Federal Prison for Illegal Possession of a Firearm in a School Zone and for Possession with Intent to Distribute Fentanyl and Other DrugsRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Vashawn Watkins, age 22, of Baltimore, Maryland, today to nine years in federal prison, followed by five years of supervised release, for federal charges of illegal possession of a firearm in a school zone and possession with intent to distribute controlled substances.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Division; Baltimore City Sheriff John W. Anderson; Commissioner Michael Harrison of the Baltimore Police Department; and Chief Melissa R. Hyatt of the Baltimore County Police Department.
According to his guilty plea, from October 2020 through March 1, 2021, Watkins was engaged in drug trafficking involving large amounts of fentanyl and other controlled substances. Watkins and his associates operated a stash house in the unit block of Clovelly Street in Pikesville, Maryland, where they processed fentanyl and other drugs, mixed the drugs with cutting agents, and packaged the drugs for re-sale. Watkins and his associates then drove the packaged drug products to drug shops operated by their drug trafficking organization, along Stricker Street, School Street, and Gilmor Street in Baltimore. Watkins sometimes oversaw the drug trafficking operations at the Stricker Street drug shop.
As detailed in his plea agreement, on February 11, 2021, while Watkins was overseeing operations at the Stricker Street drug shop, law enforcement officers saw Watkins place a firearm inside a vehicle parked in the 1500 block of North Stricker Street. Law enforcement obtained a search warrant for the vehicle and recovered a loaded .45-caliber firearm. Also found inside the vehicle was Watkins’ state-issued identification card. Watkins admitted that he knowingly possessed this.45-caliber loaded firearm within 1,000 feet of a public elementary school.
On March 1, 2021, Watkins was seen leaving a residence in the 1500 block of Stricker Street and taking possession of approximately one kilogram of fentanyl from an associate who had brought the drugs from the Pikesville stash house. Watkins took the fentanyl into the residence. Law enforcement obtained and executed a search warrant for the residence, recovering the drugs, which were in close proximity to Watkins. Law enforcement also recovered two loaded 9mm handguns from the residence. A search warrant was subsequently executed at the Pikesville stash house and law enforcement recovered 6.8 kilograms of fentanyl, along with cutting agents and other drug paraphernalia.
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. PSN, an evidence-based program proven to be effective at reducing violent crime, is the centerpiece of the Department of Justice’s violent crime reduction efforts. 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 DEA, the Baltimore City Sheriff’s Office, the Baltimore Police Department, and the Baltimore County Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Jason D. Medinger, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Baltimore Man Sentenced to 12 Years in Federal Prison for Coercion and Enticement of a Minor to Produce Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge Deborah L. Boardman sentenced Steven Martin Bickling, age 48, of Baltimore, Maryland to 12 years in federal prison, followed by 15 years of supervised release, for coercion and enticement of a minor to produce child pornography.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; and Commissioner Michael Harrison of the Baltimore Police Department.
According to his guilty plea, in 2018 Bickling visited a website that offered live chat rooms with foreign women. After hearing children in the background of chat rooms, Bickling asked a female performer to show her daughter nude for $50. After agreeing to Bickling’s request, the female performer posed her prepubescent daughter on video chat as Bickling masturbated. Bickling estimated that this conduct occurred 12 to 15 times within a two-year period.
As stated in his plea agreement, on August 19, 2020, Baltimore City detectives and members of the FBI Violent Crimes Against Children Task Force executed a search and seizure warrant at Bickling’s residence. Bickling was present at the time. During an interview with law enforcement, Bickling admitted that he possessed pornographic videos of children between five and twelve years of age saved on his laptop. Bickling also informed law enforcement that he paid for access to a restricted child pornography website.
A subsequent review of Bickling’s email account revealed numerous conversations in which Bickling solicited images or videos of female children engaging in sexually explicit conduct. For example, in an email communication on May 7, 2019, Bickling wrote “I watch a lot of child prn . . . I like when they cry.” In chats dating back to 2018, Bickling solicited live video sessions of adult men engaging in explicit sexual activity with their younger sisters or nieces.
As detailed in his plea agreement, a forensic analysis of the items seized from Bickling’s residence revealed a total of 21 images and 50 videos that depicted minors, including prepubescent minors, engaged in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s 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. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI and the Baltimore Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Colleen McGuinn, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Atlantic County Felon Admits Distributing Drugs and Possessing FirearmRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man today admitted his role in drug distribution and possession of a firearm as a felon, U.S. Attorney Philip R. Sellinger announced.
Clay Brown, 29, of Pleasantville, New Jersey, pleaded guilty before U.S. District Judge Joseph H. Rodriguez in Camden federal court to an information charging him with one count of distribution of methamphetamine and one count of possession of a firearm as a previously convicted felon.
According to documents filed in this case and statements made in court:
Brown distributed methamphetamine and fentanyl on multiple occasions to a confidential informant. The day that agents arrested Brown for drug distribution, Brown possessed a backpack containing a firearm and controlled substances that Brown intended to distribute to others. Brown has multiple prior felony convictions that make it unlawful for him to possess a firearm.
Brown faces a mandatory minimum of 10 years in prison and a maximum of life in prison and a $10 million fine on the drug distribution charge. He faces a maximum sentence of 15 years in prison and $250,000 fine on the firearms charge. Sentencing is scheduled for March 21, 2023.
U.S. Attorney Sellinger credited special agents with the Department of Homeland Security, Homeland Security Investigations, Atlantic City office, under the direction of Special Agent in Charge Ricky J. Patel in Newark, with the investigation leading to today’s guilty plea. He also thanked the Drug Enforcement Administration, Newark Division, and the New Jersey State Police, Crime Suppression South Unit, for their assistance.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
Armed Fort Pierce Drug Dealer Sentenced to PrisonRead the Press Release
MIAMI – Kwuan Montrell Baker, 32, of Fort Pierce, Fla., has been sentenced to 90 months in prison for armed drug trafficking by U.S. District Judge Aileen M. Cannon.
Baker previously pled guilty to possession with intent to distribute fentanyl and possession of a firearm in furtherance of a drug trafficking crime.
According to the court record, on April 6, 2021, deputies from the St. Lucie County Sheriff’s Office conducted a traffic stop of a Chevy Silverado in Fort Pierce, in which Baker was a passenger. Shortly after Baker was removed from the vehicle, law enforcement seized a loaded Smith & Wesson, Model 22A, .22 caliber semi-automatic pistol from his waistband. A search of Baker further revealed several plastic sandwich bags and multiple capsules that contained two grams of fentanyl and $1,314 in U.S. currency. Baker ultimately admitted he had intended to distribute the seized fentanyl and that he possessed the loaded firearm in furtherance of his drug trafficking.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, Christopher A. Robinson, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Division, and St. Lucie County Sheriff Ken J. Mascara made the announcement.
ATF, Miami Field Division, and the St. Lucie County Sheriff’s Office investigated the case. It was prosecuted by Assistant U.S. Attorneys Michael D. Porter and Luisa Berti.
Fentanyl is a synthetic opioid that is up to 50 times stronger than heroin and 100 times stronger than morphine. It can be deadly even in small doses. As little as two milligrams, about the size of 5 grains of salt, can be fatal. According to the Centers for Disease Control and Prevention, fentanyl and other synthetic opioids are the most common drugs involved in overdose deaths. More than 150 people die every day from overdoses related to synthetic opioids like fentanyl. The State of Florida also has seen an exponential increase in overdoses associated with fentanyl. In 2020, more than 6,150 people died in Florida from overdoses involving fentanyl and illicit alterations of fentanyl.
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.
Ahoskie Man Sentenced to Nearly 10 Years on Drug and Firearm Charges Stemming from Domestic Violence CallRead the Press Release
RALEIGH, N.C. – Capone Ridley of Ahoskie was sentenced today 117 months in prison and five years of supervised release for possession with intent to distribute powder and crack cocaine and possession of a firearm in furtherance of that drug crime. Ridley, 29, pled guilty to the charges on August 10, 2022.
According to court documents and other information presented in court, on May 21, 2020, the Ahoskie Police Department received a call to Hill Street in Ahoskie regarding a domestic assault by defendant Capone Ridley. When officers arrived, the victim-caller was on scene, but Ridley had left. The victim told officers that Ridley had assaulted her after a dispute over missing money and that she knew he carried a firearm. She provided consent for law enforcement to search the house. As she reviewed the consent form with law enforcement, Ridley called her. She then put the call on speakerphone so that the officers could hear the conversation. Ridley instructed the victim not to let officers search the house, but she told him it was too late.
During the search, officers found a bag containing 24 grams of a mixture of powder cocaine and cocaine base in the master bedroom. In a bathroom closet, in a black and yellow bookbag, officers found two bags containing over 100 grams of powder cocaine. Also in the closet, they located a Roman/Cugir Micro Draco 7.62mm pistol with a fully loaded barrel magazine. The victim told officers that the drugs and gun belonged to Ridley.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Ahoskie Police Department investigated the case, which Assistant U.S. Attorney Jake D. Pugh prosecuted.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:22-cr-0004-D.
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Accountant Charged with Misappropriating Funds from New Orleans BandRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced the filing, on November 10, 2022, of a one-count bill of information charging ALICE C. “SHANNON” CHABAUD, age 79, of New Orleans, with access device fraud in relation to her theft from her former accounting client, a New Orleans-based band named as “Band A” in the bill of information.
According to charging documents, CHABAUD is alleged to have illegally accessed Band A’s bank accounts after she was terminated as the band’s accountant in 2015. From the time of her firing in September 2015 until May 2020, she misappropriated $207,607.95 from Band A without band members’ knowledge or permission.
If convicted, CHABAUD could receive up to 10 years in prison, a $250,000.00 fine or the greater of twice the gross gain or twice the gross loss, and up to three years of supervised release after imprisonment. She would also pay a $100 mandatory special assessment fee.
U.S. Attorney Evans reiterated that a bill of information is merely an accusation and that the guilt of the defendants must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the FBI New Orleans Field Office in investigating this matter. Assistant U.S. Attorney Matthew R. Payne is in charge of the prosecution.
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14 November 2022
West Chester Drug Dealer Pleads Guilty to Purchasing Hundreds of Deadly Fentanyl Pills Disguised as OxycodoneRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Ryan Menkins, 37, of Malvern, PA, pleaded guilty before United States District Judge H. Slomsky, for his role in distributing more than 900 pills containing a dangerous fentanyl analogue, a Schedule I controlled substance.
In August 2019, Menkins and his co-defendant, Kevin Swing, were charged by Superseding Indictment with conspiracy to distribute and distributing a substance containing a fentanyl analogue for their scheme to sell fentanyl disguised as prescription oxycodone. In May 2018, Swing used an intermediary to sell more than 900 pills containing the narcotic cyclopropyl fentanyl, a fentanyl equivalent, to Menkins for $5,600. Each pill was imprinted with “ETH 446,” which is typically found on Oxycodone Hydrochloride 30 mg pills. In other words, the fentanyl pills were intentionally mislabeled as legitimate, prescription oxycodone pills. In January 2020, defendant Swing pleaded guilty to the charges and was sentenced to 6 ½ years in prison in September of that year.
“Prescription medication like oxycodone is already vulnerable to misuse and abuse, but when a substance as dangerous as fentanyl is made to appear to be prescription medication, it can have catastrophic consequences,” said U.S. Attorney Romero. “Fentanyl is killing Americans every day, and Menkins significantly contributed to this epidemic in the Eastern District of Pennsylvania.”
“Ryan Menkins pushed pills that looked like regular prescription oxycodone, which in reality contained a drug related to fentanyl,” said Jacqueline Maguire, Special Agent in Charge of the FBI's Philadelphia Division. “Each sale was a potentially deadly transaction for customers — or anyone else who stumbled upon these deceptive drugs. The FBI and our law enforcement partners will continue to battle the dealers and traffickers endangering our communities in the name of making money off of the opioid epidemic.”
The case was investigated by the Federal Bureau of Investigation, Newtown Square Resident Agency and the West Whiteland Township Police Department, and is being prosecuted by Assistant United States Attorney Matthew T. Newcomer.
Virginia Man Pleads Guilty to Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH - A former resident of Alexandria, Virginia, pleaded guilty in federal court to charges of Travel With Intent to Engage in Illicit Sexual Conduct, Transportation With Intent to Engage in Criminal Sexual Activity, and Obstruction of Justice – Hindering Communication Through Corrupt Persuasion, United States Attorney Cindy K. Chung announced today.
Apipat Vutipawat, also known as “Viktor Vutipawat,” “Viktor Koi,” “Arty Freedom,” and “Victor Kim,” age 29, of Alexandria Virginia, pleaded guilty on Thursday to three counts before Senior United States District Judge Joy Flowers Conti.
In connection with the guilty plea, the court was advised that from May 29, 2020 through June 2, 2020, Vutipawat traveled in interstate commerce with the purpose of engaging in any illicit sexual conduct with Minor A and transported Minor A, a person who had not yet attained the age of 18 years, from Pennsylvania to Virginia with the intent that Minor A engage in criminal sexual activity. Vutipawat also knowingly corrupted and persuaded Minor A with the intent to hinder, delay, or prevent the communication to a law enforcement officer of information relating to the commission or possible commission of a Federal offense.
Judge Conti scheduled sentencing for March 16, 2023, at 11:00 a.m. The law provides for a total sentence of not less than ten (10) years and not more than life in prison, a fine of up to $750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history of the defendant.
Pending sentencing, Vutipawat remains detained.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
Homeland Security Investigations-Pittsburgh, Homeland Security Investigations-York, Homeland Security Investigations-DC, Pennsylvania State Police, North Strabane Township Police Department, and the Fairfax County Police (Virginia) conducted the investigation that led to the prosecution of Vutipawat.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Vehicle Arson on Menominee Indian Reservation to Cover up Overdose Death Leads to Prison SentencesRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that the following three individuals received prison sentences related to an overdose death in Green Bay and a vehicle arson on the Menominee Indian Reservation:
- Timothy M. Snider, Jr. (Age: 29), of Green Bay, Wisconsin;
- Emerson K. Reed (Age: 36), formerly of Green Bay, Wisconsin; and
- Kayla M. Childs (Age: 34), formerly of Shawano, Wisconsin.
The sentences, imposed by Senior United States District Judge William C. Griesbach, were the result of guilty pleas entered by the defendants to charges in an indictment returned in June 2021 and can be summarized as follows:
Defendant
Charges of Conviction
Months of Confinement
Months of Supervised Release
Timothy M. Snider, Jr.
- Distribution of Heroin
- Use of a Communication Facility to Facilitate a Felony Drug Offense
- Conspiracy to Obstruct Justice
Total of 150 months
120 months
Emerson K. Reed
- Arson in Connection with a Federal Felony
120 months
60 months
Kayla M. Childs
- Conspiracy to Obstruct Justice
30 months
36 months
According to publicly filed court documents, the investigation began in August 2020 with the discovery of a burned-out vehicle in a remote area of the Menominee Indian Reservation. The vehicle contained the remains of a missing woman from Green Bay. Investigators were able to determine the vehicle and woman were in Green Bay on August 3, 2020. Dozens of interviews and corroborating information collected through court orders showed that the woman used social media to communicate with and subsequently purchase heroin from Snider at his home on the afternoon of August 3, 2020. The woman then overdosed, at which point Snider, Reed, and others conspired to conceal her death.
Reed contacted another man, and on August 4, 2020, Snider and Reed transported the woman’s remains and vehicle to the Menominee Indian Reservation. Reed later met with Childs and the other man, and the three moved the vehicle and remains to a remote area of the reservation off County Highway M near State Highway 55. Reed and the other man doused the vehicle interior and exterior with gasoline and other liquids and set it afire. The fire nearly destroyed the remains and vehicle.
The other man was indicted but committed suicide shortly after his first court appearance.
In sentencing the defendants, Senior Judge Griesbach noted the seriousness of the crimes, observing that the sentencing guidelines set for the offenses did not address situations and actions like those of the defendants. Judge Griesbach also remarked upon the pain and emotional damage done to the woman’s family and many others through the defendants’ egregious acts. Finally, Judge Griesbach observed the need to deter those who might consider similar actions.
The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case, with support from the Brown County Drug Task Force, Wisconsin State Fire Marshal, Wisconsin Department of Justice – Division of Criminal Investigation, Wisconsin Statewide Intelligence Center, and Wisconsin State Crime Laboratory. Assistant United States Attorney Andrew J. Maier prosecuted the case in United States District Court.
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Utica Man Sentenced to 33 Months for Fentanyl Conspiracy and DistributionRead the Press Release
SYRACUSE, NEW YORK – Daequon D. Perkins, age 26, of Utica, New York, was sentenced Thursday to 33 months’ imprisonment for conspiring to distribute and possess with intent to distribute 40 grams or more of a mixture and substance containing fentanyl, and distribution of a mixture and substance containing fentanyl.
The announcement was made by United States Attorney Carla B. Freedman; Oneida County District Attorney Scott McNamara, New York State Police Acting Superintendent Steven A. Nigrelli, Timothy Foley, Acting Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), New York Division; John B. Devito, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Chief Mark Williams, Utica Police Department.
As part of his prior guilty plea, Perkins admitted that beginning no later than May 2021, he agreed with others to distribute 40 grams or more of a mixture containing fentanyl to customers in the Utica, New York area. Perkins also admitted that on May 27, 2021, he distributed approximately 2 grams of a fentanyl mixture in Utica.
United States District Judge Hon. David N. Hurd also imposed a four-year term of supervised release, which will start after Perkins is released from federal prison, and ordered Perkins to pay a $200 special assessment.
This case was investigated by New York State Police-Special Investigations Unit (NYSP-SIU), investigators from the Oneida County District Attorney’s Office, members of the City of Utica Police Department, DEA, ATF, and prosecuted by Assistant U.S. Attorney Matthew J. McCrobie.
United States Attorney Kavanaugh and Commonwealth Attorneys for Charlottesville and Albemarle Issue Statement on Sunday Night Shooting on University of Virginia GroundsRead the Press Release
CHARLOTTESVILLE, Va.- United States Attorney Christopher R. Kavanaugh, Commonwealth Attorney for the City of Charlottesville Joseph D. Platania, and Commonwealth Attorney for Albemarle County James M. Hingeley released the following statement:
“Today, we join the University of Virginia, City of Charlottesville, and Albemarle County communities in mourning the lives of three innocent members of our community lost during a shooting Sunday night on the grounds of the University of Virginia in Albemarle County, and we also hope for a full recovery for the two victims who were wounded.
The United States Attorney’s Office for the Western District of Virginia and the Commonwealth Attorney’s Offices for the City of Charlottesville and County of Albemarle are actively working with local, state, and federal law enforcement in their efforts to thoroughly investigate this tragic incident and we will bring any potential charges in the appropriate jurisdiction.”
UPDATED//Lehigh Valley Psychiatrist Charged with Stealing from Medicare Through Improper Billing SchemeRead the Press Release
UPDATE
On May 9, 2024, a federal jury acquitted Dr. Muhamad Aly Rifai of the charges alleged in the indictment described in the press release below.
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Muhamad Aly Rifai, 49, of Easton, PA, was charged by Indictment with four counts of healthcare fraud stemming from his alleged scheme to improperly and fraudulently bill the federal Medicare program for services not provided, or not provided at the level which was claimed.
According to the Indictment, the defendant was a licensed psychiatrist who was the sole owner of Blue Mountain Psychiatry, a psychiatry practice with offices located in Easton, Palmerton, and Stroudsburg, Pennsylvania. The Indictment alleges that for several years, Rifai routinely and improperly billed Medicare for services which he did not provide to Medicare beneficiaries and nursing home patients, including billing for treating dead beneficiaries; billing for treating the same patient at the same time at different nursing homes; and billing for providing more than 24 hours’ worth of services to patients on a single day.
The Indictment further alleges that the defendant routinely billed for higher levels of care than he or his staff provided to nursing home patients. According to the Indictment, despite not having actually seen the patient, Rifai added a pre-printed stamp to medical progress notes to support billing for psychological and add-on services which were not provided by his staff. From about January 2015 until October 2022, Rifai, through Blue Mountain, obtained Medicare payments of at least approximately $1.36 million based on fraudulent claims.
The defendant made an initial appearance in federal court on these charges before U.S. Magistrate Judge Richard Lloret.
If the public has any information regarding Blue Mountain Psychiatry or any other health care fraud allegation, individuals should contact the HHS-OIG hotline at 800-HHS-TIPS.
If convicted, the defendant faces a maximum possible sentence of 40 years in prison, and a fine of up to $1 million.
The case was investigated by the Office of Inspector General, U.S. Department of Health and Human Services, and is being prosecuted by Assistant United States Attorney Joan E. Burnes.
U.S. Attorney’s Office Resolves ADA Accessibility Complaint with Burger King Restaurant in Indian River, MichiganRead the Press Release
DETROIT – The United States Attorney’s Office for the Eastern District of Michigan settled a complaint regarding the accessibility of a Burger King restaurant located in Indian River, Michigan. The settlement agreement resolves the Office’s investigation, prompted by the complaint of an individual who uses a wheelchair. The complainant alleged that he was forced to rely on the assistance of a stranger to use the bathroom, due to the restaurant’s inaccessibility. The settlement agreement requires the owners and operators of the restaurant to maintain a barrier-free facility, as required by the Americans with Disabilities Act (ADA).
The Burger King restaurant is located near I-75, the major throughfare used to travel north through the Eastern District to the upper peninsula. The ADA protects the rights of all individuals, regardless of disability, to fully enjoy the benefits and services offered by places of public accommodation, which include restaurants. The settlement agreement reinforces the restaurant’s commitment to ADA compliance going forward and acknowledges the remedial steps they have already taken to ensure that the facility is accessible, which includes a remodel of the restrooms to bring them up to ADA standards.
“All Michiganders should be able enjoy the full array of public accommodations our great state has to offer. Civil rights enforcement is a priority of my office, which includes ensuring that all public accommodations, whether they are in Metro Detroit or Cheboygan County, are accessible to individuals who have disabilities.” U.S. Attorney Dawn N. Ison said.
Under the terms of the settlement, the Burger King will report any future complaints from individuals who have disabilities to the U.S. Attorney’s Office and will ensure any renovations or additions comply with ADA design standards. The restaurant will also provide monetary compensation to the complainant’s spouse, who was traveling with him at the time of the incident.
The investigation was led by AUSA Michael El-Zein of the U.S. Attorney’s Office for the Eastern District of Michigan, a member of the Civil Rights Unit. The full and fair enforcement of the ADA is a priority of the U.S. Attorney’s Office for the Eastern District of Michigan. The Civil Rights Unit of the U.S. Attorney’s Office for the Eastern District of Michigan was established in 2010 with the mission of prioritizing federal civil rights enforcement. For more information on the Office’s civil rights efforts, including a copy of the agreement, please visit https://www.justice.gov/usao-edmi/programs/civil-rights.
Individuals who believe they have been subjected to discrimination or experienced a civil rights violation can submit a complaint with the U.S. Attorney’s Office by email at [email protected] or by phone at (313) 226-9151. Complaints can also be submitted to the Civil Rights Division through its complaint portal.
U.S. Attorney’s Office Joins Community and Law Enforcement Partners in Launching San Diego’s First United Against Hate WeekRead the Press Release
Assistant U. S. Attorneys Cindy Cipriani (619-546-9608) and Alicia Williams (619-546-8917) and Law Enforcement/Outreach Coordinator Shastity Urias (619-546-9399)
NEWS RELEASE SUMMARY – November 14, 2022
SAN DIEGO – Beginning today, U.S. Attorney Randy Grossman, along with community and law enforcement leaders, will participate in a statewide United Against Hate (UAH) Week campaign.
The week of Nov. 14-21 is a call for local civic action to stop the hate and biases that pose a dangerous threat to the safety and civility of our neighborhoods, towns and cities. The UAH campaign, which emerged from a poster campaign by Bay Area Cities, has spread to more than 200 communities. San Diego will participate for the first time this year.
Inspired by successful campaigns in prior years throughout California, the U.S. Attorney’s office, through its leadership role chairing the San Diego Regional Anti-Hate Crime Coalition, has collaborated with multiple partners to launch a week of positive messages and diverse events designed to empower local residents and communities to stand against racism and alter the course of growing intolerance.
“When law enforcement, community leaders and residents work together against hate, we can restore respect, embrace the strength of diversity and build inclusive and equitable communities for all,” Grossman said.
Dozens of organizations, civic/law enforcement leaders and agencies have signed on as supporters. Scheduled events include a social media/Twitter storm on November 15th; several free National Conflict Resolution Center webinars on “The Art of Inclusive Communication” and the “Bystander Challenge;” training by the District Attorney’s Office on hate crimes and victim resources for vulnerable communities; an Antisemitism and Bias Seminar offered by Anti-Defamation League; and a ceremony honoring the winners of a school-based essay/poster contest, sponsored by the U.S. Attorney’s office and the Earl B. Gilliam Bar Association Foundation. In addition, the County of San Diego and City of San Diego are expected to pass proclamations declaring this week “United Against Hate Week” in San Diego.
The full calendar of events can be accessed at: https://www.justice.gov/usao-sdca/united-against-hate.
“Hate Crimes are the highest priority of the FBI’s Civil Rights program due to the devastating impact they have on families and communities” said Stacey Moy, FBI Special Agent in Charge of the San Diego Field Office. “We will always work with our law enforcement and private sector partners to educate our communities about these violations while continuing to investigate and prevent violent incidents motivated by hate or bias. We also urge the public to report any suspected hate crimes to the FBI and local law enforcement.”
“I stand united against hate alongside the dedicated team at the DA’s office, our diverse communities and law enforcement,” said San Diego County District Attorney Summer Stephan. “Hate-fueled crimes that target people based on their race, ethnicity, nationality, religion, sexual orientation, gender or disability harms the victim and also spreads fear throughout the community. We will not tolerate this, which is why prosecuting hate crimes is a priority for the San Diego County District Attorney’s Office. In combatting hate crimes, we nearly tripled the number of hate crime cases we have prosecuted in recent years, we protected victims harmed by hate and we increased access to reporting hate incidents online.”
“The San Diego County Sheriff's Department does not tolerate any acts of hate in our communities,” said Sheriff Anthony Ray. “We are proud to join the U.S. Attorney's Office, as well as our law enforcement and community partners, in promoting a message of unity and inclusion.”
Members of the public are encouraged to report hate incidents and hate crimes to the Federal Bureau of Investigation at 1-800-CALL-FBI or online at https://tips.fbi.gov/. Please call 911 if you need emergency assistance.
U.S. Attorney Josh Hurwit to Co-Sponsor United Against Hate Event in North IdahoRead the Press Release
COEUR D’ALENE – U.S. Attorney Josh Hurwit along with the Coeur d’Alene Tribe, the Kootenai County Task Force on Human Relations, DOJ Community Relations Service, and the FBI are convening a United Against Hate meeting on November 17 at the Coeur d’Alene Casino in Worley, Idaho. The event is free and is open to the public. The registration link can be found here: eventbrite.com/e/united-against-hate-tickets-451742934277.
United Against Hate is an initiative launched by the Department of Justice focused on improving efforts to combat hate crimes and hate incidents through relationship building at the local level. Through this endeavor, the Office seeks to create and strengthen trust and partnerships among law enforcement, community leaders, and residents.
“In my view, this initiative is particularly timely for Idaho, as we have experienced a series of troubling hate incidents throughout the state in the past several years,” said U.S. Attorney Hurwit. “As Attorney General Garland has said, this is a moment for an all-hands-on-deck approach to combatting unlawful hate.”
The November 17 event will include presentations from prosecutors about hate crimes laws and reporting mechanisms and speakers who will share their courageous experiences responding to hate.
“I look forward to meeting community members and hearing different perspectives on how we can work together to unite our community in standing up to unlawful hate,” said U.S. Attorney Hurwit. “And I am deeply honored to partner with our co-sponsors to prioritize this critical mission.”
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Suspects in Randleman Road Robbery Plead GuiltyRead the Press Release
GREENSBORO, NC – Two Asheboro men, Deante Tre’Devaughn Cheek (“Cheek”) and Amir Joseph Marshall (“Marshall”), pleaded guilty to robbery and firearms charges, announced U.S. Attorney Sandra J. Hairston of the Middle District of North Carolina.
Cheek, age, 26, entered a guilty plea on November 8, 2022, and Marshall, age 21, pleaded guilty today. Both defendants pleaded guilty to one count of interference with commerce by robbery and one count of felon in possession of a firearm.
According to court documents, on December 28, 2020, Cheek and Marshall robbed the owner of a business located on Randleman Road in Greensboro at gunpoint. During the incident, the store owner and Marshall were shot. Cheek and Marshall left the scene and got into a blue Honda Accord. Approximately 25 minutes later, Marshall arrived at Randolph Hospital in a blue Honda Accord. Hospital surveillance video shows Marshall being helped into the hospital by an individual whose clothing matched that of one of the assailants at the Randleman Road robbery.
On the date of the robbery, Cheek was on supervised probation with the North Carolina Department of Public Safety and had been equipped with a GPS ankle monitor. A review of the GPS data showed that CHEEK’s ankle monitor was in the vicinity of the robbery location during the time of the robbery. CHEEK’s ankle monitor then traveled to Randolph Health hospital in Asheboro at a rate of around 120 miles per hour.
Cheeks’ sentencing is scheduled to take place on April 25, 2023, at 2:00 p.m. in Winston-Salem, North Carolina, before United States District Judge Loretta C. Biggs. Marshall’s sentencing is set for June 2, 2023 at 2:00 p.m. At sentencing, each defendant faces a maximum term of imprisonment of not more than twenty years for the robbery charge, and up to ten years imprisonment on the firearms charge, plus a period of supervised release and monetary penalties.
Agents with the Federal Bureau of Investigation and the Greensboro Police Department investigated the case. The case is being prosecuted by Special Assistant U.S. Attorney Mary Ann Courtney.
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Sixth defendant in scuba fraud investigation admits filing false claims with the Department of Veterans AffairsRead the Press Release
BRUNSWICK, GA: The training director of a Camden County dive shop has admitted participating in the submission of false claims to the Department of Veterans Affairs (VA) for scuba classes targeting military veterans’ education benefits.
John Spyker, 39, of Yulee, Fla., awaits sentencing after pleading guilty to an Information charging him with False, Fictitious, and Fraudulent Claims, said David H. Estes, U.S. Attorney for the Southern District of Georgia. The guilty plea subjects Spyker to a possible statutory penalty of up to five years in prison, along with substantial financial penalties and restitution, and up to three years of supervised release following any prison term. There is no parole in the federal system.
“As the sixth defendant admitting culpability in this investigation, John Spyker represents one more falling domino in the effort to unravel this substantial theft of veterans’ education benefits,” said U.S. Attorney Estes. “The VA Office of Inspector General continues to do outstanding work in identifying and ending this fraud.”
Spyker, a School Certifying Official and Director of Training at Diver’s Den in St. Marys, Ga., admitted that from about January 2021 through January 2022, he, and others, submitted false and fraudulent information to the Department of Veterans Affairs for tuition payments under the Post-9/11 GI Bill totaling $722,399.19.
Five other defendants who previously entered guilty pleas in U.S. District Court are owners, managers, and/or instructors at Diver’s Den and at Scooba Shack in Savannah and Richmond Hill, Ga. Collectively, the defendants are responsible for defrauding more than $6 million from VA education benefits.
As described in court documents, the defendants caused false submissions to be made to the VA. The false submissions misstated the businesses’ compliance with VA regulations, dates of students’ attendance, and hours of instructions, among other information. Some of the defendants also participated in creating fictitious scholarship programs to provide the appearance that a required percentage of non-VA students participated in those classes. The businesses billed the VA up to more than $20,000 per veteran student enrollee for the classes.
“Safeguarding Post-9/11 GI Bill education benefit funds reserved for deserving veterans remains a priority, and our investigators are working diligently in the field to ensure these programs are not exploited for financial gain and greed,” said Special Agent in Charge David Spilker with the Department of Veterans Affairs Office of Inspector General’s Southeast Field Office. “Six guilty pleas in this case is a testament of our commitment to working with our law enforcement partners to hold accountable those who would defraud VA’s benefits programs.”
The case is being investigated by the Department of Veterans Affairs Office of Inspector General, and prosecuted for the United States by the U.S. Attorney’s Office for the Southern District of Georgia.
Shiprock man charged with assault with a dangerous weaponRead 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 Deon Joe Bidtah was arraigned on Nov. 10 on a three-count indictment charging him with assault with a dangerous weapon, discharging a firearm during a crime of violence, and assault on a federal officer with a deadly and dangerous weapon. Bidtah, 23, of Shiprock, New Mexico, and an enrolled member of the Navajo Nation, will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Bidtah on Nov. 9. According to the indictment and other court records, on Oct. 11, Bidtah approached a vehicle near his residence and fired two rounds from a 12-gauge shotgun into the vehicle. A victim, identified as Jane Doe, was struck and injured by the gunfire. Three of Jane Doe’s family members were in the vehicle at the time. All four occupants of the vehicle are enrolled members of the Navajo Nation. Jane Doe was taken to San Juan Regional Medical Center for treatment.
Navajo Police responded to the incident location, including one officer who, by virtue of a special law enforcement commission, is considered a federal officer. Bidtah approached the officers carrying the 12-gauge shotgun and fired toward the officers. Officers took cover behind their patrol units and commanded Bidtah to stop and drop his weapon. Bidtah ignored the commands, and officers fired two rounds at Bidtah. Bidtah was struck, and was later transported to Northern Navajo Medical Center for treatment.
Both incidents occurred on the Navajo Nation.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Bidtah faces up to 10 years in prison for assault with a dangerous weapon, up to 20 years in prison for assault on a federal officer with a deadly and dangerous weapon, and a consecutive mandatory minimum of 10 years and up to life in prison for discharging a firearm during a crime of violence.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department. Assistant United States Attorney Novaline Wilson is prosecuting the case.
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Seward Woman Sentenced for Conspiracy to Sex Traffic MinorsRead the Press Release
Acting United States Attorney Steven Russell announced that Sidney Marker, 28, of Seward, Nebraska, was sentenced today in federal court in Omaha for a conspiracy to sex traffic minors. Chief Judge Robert F. Rossiter, Jr. sentenced Marker to 180 months’ imprisonment. There is no parole in the federal prison system. After her release from prison, Marker will serve 5 years of supervised release and will be required to register as a sex offender.
Last week, on November 8, 2022, Chief Judge Rossiter sentenced Co-Defendant Carney Turner, 42, of Omaha, Nebraska, to life imprisonment on one count of conspiracy to sex traffic minors, three counts of sex trafficking of a minor, and two counts of enticement of a minor. Chief Judge Rossiter also sentenced Co-Defendant Julisha Biggs, 20, of Omaha, to 87 months’ imprisonment for her role in the conspiracy.
Law enforcement began investigating in September 2020 after discovering electronic messages between a minor female and Turner during a separate sex trafficking investigation. The minor female was interviewed and reported that she had been sex trafficked by Turner for approximately three months and that Turner had kept money from the sex sales. In October 2020, a second minor female reported that she had been sexually assaulted by a man in a hotel room after Turner brought her to the hotel and paid her to meet with the man. In November 2020, a third minor female was reported missing from her foster home and law enforcement observed that she was being posted in online sex advertisements by a phone number associated with Turner.
Evidence uncovered by law enforcement showed that Marker met Turner while Turner was serving a state sentence and Marker was employed in the correctional facility as a caseworker. Marker then went on to work as a foster care specialist and a family support specialist. After Turner’s release from prison, Marker, Turner and Biggs resided together in an apartment in Ralston, Nebraska. Turner recruited, advertised, and arranged commercial sex sales for minors between approximately January 2020 and February 2021. The sex sales took place at hotels in and around Omaha, as well as at the apartment, which had been leased by Marker. At least one of the minors also stayed at the apartment for a period of time. Marker provided vehicles to transport the minors to hotels for commercial sex acts and assisted with renting hotel rooms. The minor who had been reported missing in November 2020 had been recruited by Biggs to come work for Turner.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by Homeland Security Investigations, the Omaha Police Department, and the Nebraska Attorney General’s Office.
Settlements Resolve Clean Water Act Violations at Four Solar Farm Construction Sites in Alabama, Idaho and IllinoisRead the Press Release
The Department of Justice and the Environmental Protection Agency (EPA) today announced settlements with four separate solar farm owners to resolve alleged violations of the Clean Water Act. The alleged violations were construction permit violations and stormwater mismanagement at large-scale solar generating facilities: a site near LaFayette, Alabama, owned by AL Solar A LLC (AL Solar); a site near American Falls, Idaho, owned by American Falls Solar LLC (American Falls); a site in Perry County, Illinois, owned by Prairie State Solar LLC (Prairie State); and a site in White County, Illinois, owned by Big River Solar LLC (Big River). The states of Alabama and Illinois joined in the Alabama and Illinois settlements.
These four solar farm owners are all subsidiaries of large international finance and investment companies, and all four used a common construction contractor for the development of their solar farms. Together, the four settlements with these defendants secure a total of $1.34 million in civil penalties and ensure that remaining construction will take place in compliance with Clean Water Act stormwater permits. The settlements resolved claims alleged in four separate complaints the government also filed today.
“While the development of renewable energy holds great promise for combatting climate change, the solar energy industry must comply with the Clean Water Act,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The proposed settlements demonstrate the Department of Justice’s commitment to require those developing these facilities, including the site owners, to comply with the law, or be held accountable for construction practices that put our waterways at risk.”
“The development of solar energy is a key component of this Administration’s efforts to combat climate change,” said Acting Assistant Administrator Larry Starfield of the EPA’s Office of Enforcement and Compliance Assurance. “These settlements send an important message to the site owners of solar farm projects that these facilities must be planned and built in compliance with all environmental laws, including those that prevent the discharge of sediment into local waters during construction.”
Solar farm construction involves clearing and grading large sections of land, which can lead to significant erosion and major runoff of sediment into waterways if stormwater controls at the site are inadequate. Increased sediment in waterways can injure, suffocate or kill aquatic life; damage aquatic ecosystems; and cause significant harm to drinking water treatment systems. To avoid these harms to the environment and public health, parties responsible for construction of solar farms are required to get construction stormwater permits under the Clean Water Act and comply with the terms of those permits. Each of the complaints filed today allege that the owners of these four sites violated their construction stormwater permits in similar ways: failing to design, install, and maintain proper stormwater controls; failing to conduct regular site inspections; failing to employ qualified personnel to conduct inspections; and failing to accurately report and address stormwater issues at the site. The complaints filed against AL Solar and American Falls Solar also allege unauthorized discharges of excess sediment from their construction sites to nearby waterways.
Construction at the Idaho and Alabama sites is now complete and permit coverage has been terminated. Therefore, these settlements only include civil penalties. The United States and the Alabama Department of Environmental Management (ADEM) filed a stipulation of settlement with AL Solar in the U.S. District Court for the Middle District of Alabama along with its complaint. Under that settlement, AL Solar will pay a $250,000 civil penalty to the United States and a $250,000 civil penalty to ADEM. A second stipulation of settlement involving American Falls was filed in the U.S. District Court for the District of Idaho. Under that settlement, American Falls will pay a civil penalty of $416,500 to the United States.
In addition, consent decrees with Prairie State and Big River were filed by the United States and the State of Illinois. Because both Illinois sites remain subject to Clean Water Act permits, these two settlements require the owners to ensure compliance with those permits until construction at the sites is complete and the United States and State agree that permit coverage can be terminated. In addition, Prairie State will pay a civil penalty of $157,500 to the United States and $67,500 to the state of Illinois, and Big River will pay a civil penalty of $122,500 to the United States and $52,500 to the state of Illinois. The consent decrees were lodged with the U.S. District Court for the Southern District of Illinois and are subject to a 30-day public comment period and final court approval.
The consent decrees can be viewed at the Department of Justice website here.
Riverside County Man Sentenced to 8½ Years in Prison for Stealing over $6.6 Million in COVID-19 Loans Intended for Small BusinessesRead the Press Release
LOS ANGELES – A Corona man was sentenced today to 102 months in federal prison for fraudulently obtaining more than $6.6 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds intended for business owners impacted by the economic shock of the COVID-19 pandemic and then laundering his illegal proceeds into financial instruments and real property in Pakistan.
Muhammad Noor Ul Ain Atta,39, was sentenced by United States District Judge Percy Anderson, who also ordered him to pay $6,643,540 in restitution.
“It’s important that the sentence imposed today sends the message that there are serious consequences for defrauding federal relief programs,” Judge Anderson said.
Atta pleaded guilty on August 2 to one count of wire fraud and one count of money laundering.
From March through July 2020, Atta submitted 11 fraudulent loan applications for seven of his shell companies. The fraudulent applications misrepresented the number of employees and the average monthly payroll expenses of Atta’s companies, and falsely certified he would use the loan proceeds for permissible business purposes. Atta also submitted false tax and payroll documentation in support of his loan applications.
For one PPP loan, Atta sought $1,267,714 for a company called Envisioning Future Inc. The loan application falsely represented that Envisioning Future had 73 employees and falsely certified Envisioning Future would use the loan proceeds for permissible business purposes, including the payment of payroll and other business-related expenses. The fraudulent application filed on April 10, 2020 was supported by falsified federal tax returns and false payroll data.
About one month later, Envisioning Future received $1,267,140 in loan proceeds, and the following day Atta wired most of the money to his mother’s bank account. Then in June 2020, Atta wired $1.3 million – the majority of which came from the Envisioning Future PPP loan – to a financial institution in Islamabad, Pakistan. The wire transfer details included a note that the wire was “family support.”
In total, Atta received $6,643,540 in loan proceeds even though none of his companies were legitimate recipients of relief funds at that time. Atta then laundered loan proceeds to bank accounts in the United States and Pakistan.
Atta fled the United States in May 2020 and invested some $2.1 million of his ill-gotten gains into Pakistani financial instruments and another $3.5 million into the purchase of land in Pakistan. Almost two years months later, he was apprehended as he traveled through Los Angeles International Airport.
“The PPP and EIDL programs did not create a limitless pot of money,” prosecutors argued in a sentencing memorandum. “By taking money that he was not entitled to, [Atta] reduced the funds available to other legitimate applicants and defrauded the taxpayers supporting the programs.”
The Office of the Inspector General for the Board of Governors of the Federal Reserve System and Bureau of Consumer Financial Protection, IRS Criminal Investigation, the Small Business Administration – Office of Inspector General, and the Treasury Inspector General for Tax Administration investigated this matter.
Assistant U.S. Attorney Adam P. Schleifer of the Major Frauds Section and Trial Attorneys Jennifer L. Bilinkas and Matthew F. Sullivan of the Justice Department’s Fraud Section prosecuted this case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Riverhead Man Sentenced to 27 Years' Imprisonment for Firearm Related MurderRead the Press Release
Earlier today, in federal court in Central Islip, Jason Langhorn, an associate of the “Red Stone Gorilla” subset of the Bloods, a violent criminal enterprise based in Riverhead, New York, was sentenced to 27 years’ imprisonment and three years of supervised release by United States District Judge Joanna Seybert for his participation in the murder of Thomas Lacolla on November 17, 2015, which occurred while Langhorn and others were attempting to kill a rival of the gang. Langhorn pleaded guilty to firearms-related murder in August 2021.
Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.
“Langhorn has been held accountable for his role in a heartless shooting that claimed the life of an unintended victim,” stated United States Attorney Peace. “We hope today’s sentence brings a measure of solace and closure to the victim’s family and sends a clear message that those who commit brutal acts of gang violence will be brought to justice and punished.”
Mr. Peace also extended his thanks to the Suffolk County District Attorney’s Office’s East End Drug Task Force, the Suffolk County Police Department and the Riverhead Police Department for their assistance in the investigation and prosecution.
As alleged in the indictment and court filings, the defendant assisted members of the Bloods as they tried to kill a rival gang member, which resulted in the shooting death of Mr. Lacolla. In an attempt to carry out a standing order by the leader of the gang to kill the rival, Langhorn accompanied several fellow Bloods members to a location in Riverside, New York, just outside of Riverhead. There, Langhorn and two others fired more than 39 shots, collectively, into a vehicle they believed was occupied by their intended target, but instead was occupied by Mr. Lacolla, who was shot and killed instantly.
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. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorneys’ Offices to work in partnership with federal, state, local and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Michael Maffei and Nicole Boeckmann are in charge of the prosecution.
Defendant:
JASON LANGHORN, also known as “Hov”
Age: 40
Riverhead, New YorkE.D.N.Y. Docket No. 18-CR-606 (S-2) (JS)
Rensselaer County Man Sentenced to 78 Months for Receiving and Possessing Child PornographyRead the Press Release
ALBANY, NEW YORK – Derek Luch, age 50, of Troy, New York, was sentenced today to 78 months in prison for receiving and possessing child pornography, announced 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).
Luch admitted that between May 2021 and October 2021, he used a file-sharing service to download and receive numerous images of minors engaged in sexually explicit conduct, including images of pre-pubescent children, onto his computer and external hard drives. He also admitted that he possessed child pornography when he was arrested on November 4, 2021.
United States District Judge Mae A. D’Agostino also imposed a 15-year term of post-imprisonment supervised release, and ordered forfeiture of the electronic devices used as part of the offense.
This case was investigated by the FBI and its Child Exploitation Task Force. The Child Exploitation Task Force is comprised of FBI Special Agents, and state and local police investigators. The case is being prosecuted by Assistant U.S. Attorney Alexander P. Wentworth-Ping 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). 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 https://www.justice.gov/psc
Placer County Man Sentenced for Tax EvasionRead the Press Release
SACRAMENTO, Calif. — Vladimir Alex Avdeyuk, 40, of Lincoln, was sentenced today to one year and a day in prison and ordered to pay $467,057 in restitution for tax evasion and corrupt endeavor to obstruct the administration of the Internal Revenue Laws, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Avdeyuk repeatedly and intentionally filed false tax returns and took numerous steps to obstruct an IRS audit of his returns. Avdeyuk filed Form 1040 individual income tax returns for himself and his spouse that substantially underreported his business income for tax years 2012, 2013, 2015, and 2016. Avdeyuk operated a sole proprietorship involved in construction work, particularly repairs and reconstruction after fires. If Avdeyuk had reported his business income correctly, he would have owed a total of at least $467,057 in additional tax for 2012, 2013, 2015, and 2016. Avdeyuk also obstructed the Internal Revenue Service’s audit of his tax returns for tax years 2012 and 2013 by submitting multiple false documents to the IRS and lying to IRS agents on multiple occasions.
On Dec. 7, 2017, in a recorded interview, Avdeyuk admitted that he had misidentified deposits submitted the false promissory note, created a false gift letter and was actually the donor, created a false loan application and knowingly omitted the business income.
Approximately three years after his confession, Avdeyuk intentionally filed another false tax return: a Form 1040 individual income tax return for the tax year 2016, which he had backdated to April 18, 2016 (forgetting that the deadline for a 2016 tax return would be in April 2017, not April 2016). On the Schedule C-EZ appended to that return, Avdeyuk reported that his business had gross receipts of $23,314, when he knew that was false because he had failed to report at least $554,577 in additional gross receipts. If he had reported his true gross receipts and expenses, his additional tax due would have been $84,231.
This case was the product of an investigation by the IRS Criminal Investigation. Assistant U.S. Attorney Heiko P. Coppola prosecuted the case.
Peoria Man Sentenced to Forty Months in Prison for Possession of Firearm Ammunition as a FelonRead the Press Release
PEORIA, Ill. – A Peoria, Illinois, man, Jacobi Turner-Claudin, 29, of the 500 block of West Columbia Terrace, was sentenced on November 10, 2022, to forty months in federal prison for possessing firearm ammunition as a felon. Upon release from imprisonment, Turner-Claudin will serve a three-year term of supervised release.
At the sentencing hearing in front of Senior U.S. District Judge Michael M. Mihm, the government presented evidence that Turner-Claudin was a passenger in a car that fled from Peoria Police on April 21, 2022. The pursuit began on Griswold Street and ended when the car drove into the backyard of a house on North Bourland Avenue. Turner-Claudin fled from the vehicle and was located a short distance away in a dry creek bed. He was in possession of three cell phones, cannabis baggies, and an extended magazine for a firearm. The magazine was loaded with 12 rounds of .45 caliber ammunition. Turner-Claudin told federal agents that he possessed the ammunition due to the possibility of a weapons purchase that day. At the time, Turner-Claudin was prohibited from possessing firearm ammunition due to his prior conviction for a felony offense.
Also during the incident, officers arrested two additional occupants of the car. Officers recovered two .45 caliber firearms during the investigation, each loaded with live ammunition and equipped with drum-style magazines capable of holding 50 rounds of ammunition. Additionally, one of the .45 caliber pistols recovered was equipped with an auto sear “switch” that converts a semi-automatic gun into a fully automatic machine gun.
Turner-Claudin was indicted in May 2022 and entered a plea of guilty in July 2022. He has been in the custody of the U.S. Marshals Service since his arrest.
The statutory penalties for possession of firearm ammunition by a felon are up to 15 years’ imprisonment and up to a $250,000 fine, followed by up to three years of supervised release.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Illinois State Police, with the assistance of the Peoria Police Department, investigated the case. Assistant U.S. Attorney Ronald L. Hanna represented the government in the prosecution.
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.
Payson Man Sentenced to 135 Months in Federal Prison for Attempted Enticement of a MinorRead the Press Release
PEORIA, Ill. – A Payson, Illinois, man, Michael Kamphaus, 34, of the 400 block of Willow Street, was sentenced on November 10, 2022, to 135 months’ imprisonment for attempted enticement of a minor. Upon release from imprisonment, Kamphaus will serve a 10-year term of supervised release.
At the sentencing hearing in front of U.S. District Judge James E. Shadid, the government presented evidence that in March 2022 Kamphaus spoke with an individual he believed to be a father offering sex with his 12-year-old daughter in exchange for money. Kamphaus discussed the specifics of a potential encounter between with the daughter, including where it would happen, what would happen, how long it would last, and the monetary exchange for the encounter. Kamphaus stated multiple times he was interested in engaging in sex acts with the 12-year-old girl. On March 11, 2022, Kamphaus traveled from Payson, Illinois, to Peoria, Illinois, to meet with the father and his daughter. Upon arrival in Peoria, he was arrested by federal law enforcement agents.
Kamphaus was indicted in March 2022 and entered a plea of guilty in July 2022. He has remained in the custody of the U.S. Marshals Service since his arrest.
The statutory penalties for attempted enticement of a minor are 10 years to life imprisonment, a possible fine of up to $250,000, and a five-year to life term of supervised release. The charge also carries a mandatory special assessment of $5,000 under the Justice for Victims of Trafficking Act of 2015, unless Kamphaus is ruled indigent.
The Federal Bureau of Investigation, Springfield Field Office, investigated the case. Assistant U.S. Attorney Ronald L. Hanna represented the government in the prosecution.
The case against Kamphaus was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Palestinian National Indicted for Attempted Coercion of a Minor for SexRead the Press Release
PITTSBURGH - A Palestinian national has been indicted by a federal grand jury in Pittsburgh on a charge of attempted coercion and enticement of a minor to engage in illegal sexual activity, United States Attorney Cindy K. Chung announced today.
The one-count Indictment, returned on Nov. 9, 2022, named Huthayfa Almassri, 31, as the sole defendant.
According to the indictment, from June 14, 2022, until Oct. 16, 2022, Almassri used the Internet and a cellular telephone to knowingly attempt to persuade, induce, entice, and coerce an individual who had not attained the age of 18 years to engage in sexual activity.
The law provides for a maximum total sentence of life in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the FBI Pittsburgh Child Exploitation and Human Trafficking Task Force conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Ohio Man Sentenced to Prison for Evading Financial Reporting RequirementsRead the Press Release
HUNTINGTON, W.Va. – Gary McComas, 27, of Chesapeake, Ohio, was sentenced today to five months in prison, to be followed by three years of supervised release, for structuring financial transactions to evade reporting requirements.
According to court documents and statements made in court, McComas admitted that he obtained multiple money orders in the Huntington area to help an individual in California evade financial reporting requirements. Federal law requires financial institutions to report certain information to the Department of the Treasury whenever a person exchanges cash for a money order in the amount of $3,000 in one transaction or a series of transactions. On June 28, 2018, McComas obtained six money orders, each for $500, from three different Huntington businesses for the purpose of evading financial reporting requirements. McComas further admitted to conducting approximately 200 money order transactions totaling $99,400 in and around Huntington for the same purpose between June 28, 2018, and January 13, 2019.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Secret Service and the assistance provided by the South Charleston Police Department.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Andrew J. Tessman 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-144.
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Ohio Man Pleads Guilty to Federal Gun, Drug CrimesRead the Press Release
HUNTINGTON, W.Va. – Austin Bruce Jeffreys, 28, of Chesapeake, Ohio, pleaded guilty today to crimes arising from a drug-related June 2021 shootout in Huntington.
According to court documents and statements made in court, on June 14, 2021, Jeffreys spoke by phone with an inmate at the Western Regional Jail. The calls were recorded. The inmate asked Jeffreys to go to a Huntington residence and retrieve a quantity of suboxone that belonged to the inmate, but was in the possession of another person. Jeffreys admitted that he told the inmate he would be carrying a loaded Bersa Thunder .380-caliber Combat pistol while retrieving the drugs.
When Jeffreys and another individual arrived at the Huntington residence, a shootout occurred before Jeffreys could recover the drugs. After the shooting, Jeffreys made another recorded phone call with the inmate and admitted to his role in the shooting. Several days later, Jeffreys was arrested and once again admitted to his role in the shooting and that he knew the drugs he tried to recover were intended for distribution.
Jeffreys pleaded guilty to using and carrying a firearm during and in relation to a drug trafficking crime and conspiracy to use and carry a firearm during and in relation to a drug trafficking crime. He is scheduled to be sentenced on February 13, 2023, and faces a mandatory minimum of five years and up to life in prison, five years of supervised release, and a $500,000 fine.
The inmate, Jacob Benjamin Loper, 21, pleaded guilty to attempted possession with intent to distribute suboxone and conspiracy to use a firearm in furtherance of a drug trafficking crime. Loper was sentenced to two years and six months in prison on May 9, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the West Virginia State Police, the Huntington Police Department, and the West Virginia Division of Corrections and Rehabilitation Investigations Unit.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Ryan A. Keefe is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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. 3:21-cr-216.
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North Carolina Man Sentenced to Prison for Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – Calvin Moore, 33, of Silver City, North Carolina, was sentenced to five years and three 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, on October 14, 2021, law enforcement officers visited a Sixth Street residence in Charleston looking for Moore, who attempted to flee the residence by jumping out of a window. After a brief struggle, officers detained Moore and found a loaded Bryco Arms Jennings .22LR firearm with a chambered round in Moore’s front pants pocket. The firearm was later determined to have been stolen.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Moore knew he was prohibited from possessing a firearm because of his prior felony conviction for robbery with a dangerous weapon in Chatham County, North Carolina, Superior Court on December 12, 2012.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Monica D. Coleman prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-217.
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Middlefield Man Sentenced to Prison for Defrauding State Jobs ProgramsRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that DAVID KANIA, 63, of Middlefield, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to two months of imprisonment, followed by three years of supervised release, for offenses stemming from his fraud against several state-run wage subsidy and job training programs.
According to court documents and statements made in court, Kania was the owner and operator of three small businesses, principally in the dietary supplement and beverage industry. Between 2013 and 2018, through his companies, Kania applied for and received state subsidies for employing unemployed jobseekers, including veterans, and for providing training to employees. In order to receive funds, Kania submitted false documents to the Connecticut Department of Labor and two Connecticut-based Workforce Investment Boards, which administered the wage subsidy programs, showing that he had hired certain workers and they worked for his businesses for a certain period of time, when he knew that to be false. Kania also submitted false invoices to the Manufacturing Innovation Fund (“MIF”) Program for training that was never done. Through this scheme, Kania caused $941,723.24 in loss to the wage subsidy programs and $115,000 in loss to the MIF Program.
Judge Bolden ordered Kania to make full restitution.
Kania also underreported his total income on his 2014 through 2018 federal tax returns by failing to account for $299,201.50 in business funds that he used for personal expenses.
On November 15, 2021, Kania pleaded guilty to one count of wire fraud and one count of filing a false tax return.
Kania, who is released on a $100,000 bond, is required to report to prison on December 1.
This matter was investigated by the U.S. Department of Labor – Office of the Inspector General, and the Internal Revenue Service – Criminal Investigation Division, with the assistance of the Connecticut Department of Labor. The case was prosecuted by Assistant U.S. Attorney David E. Novick.
Meridian Man Sentenced to Prison for Possession of an Unregistered Short-Barreled ShotgunRead the Press Release
Jackson, Miss. – A Meridian, Mississippi man was sentenced to one year and eight months in prison for possession of an unregistered short-barreled shotgun, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court documents, Edward Tyrone Walker, 43, possessed a shotgun which had a barrel of less than 18 inches in length that was not registered to him in the National Firearms Registration and Transfer Record. Officers of the Meridian Police Department were conducting an unrelated investigation at a convenience store and discovered evidence showing that Walker had possession of a short-barreled shotgun. Walker was interviewed and admitted to possessing the shotgun. Further investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) revealed evidence that the short-barreled shotgun was not registered to Walker. Federal law requires such weapons to be registered in the National Firearms Registration and Transfer Record.
The Meridian Police Department and the ATF investigated the case.
Assistant U.S. Attorney Charles W. Kirkham prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, 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.
Mason County Man Sentenced to 10 Years in Prison for Child Pornography CrimeRead the Press Release
HUNTINGTON, W.Va. – Joseph Curtis Hubman, 50, of Henderson, was sentenced today to 10 years in prison, to be followed by 15 years of supervised release, for possession of prepubescent child pornography. Hubman must also register as a sex offender.
According to court documents and statements made in court, on November 11, 2020, law enforcement officers executed a search warrant at Hubman’s Henderson residence. Officers recovered multiple external hard drives, mobile phones, two desktop computers and a micro SD memory card. A forensic analysis of the devices revealed more than 18,000 videos depicting child pornography. Hubman admitted that he possessed the child pornography, and that it included videos of prepubescent minors engaged in sexually explicit conduct.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Mason County Sheriff’s Department, and the West Virginia State Police.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Julie White prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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-24.
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Marrero Man Indicted for Receipt of Child Sexual Abuse MaterialRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced today that CHRIS BAO NGUYEN (“NGUYEN”), age 30, of Marrero, Louisiana, was indicted on November 10, 2022 for receipt of child pornography in violation of Title 18, United States Code, Sections 2252(a)(2) and (b)(1). If convicted, NGUYEN faces a mandatory minimum sentence of five (5) years and a maximum sentence of twenty (20) years imprisonment, and/or a fine of up to $250,000.00, or the greater of twice the gross gain to the defendant or twice the gross loss to any person of the offense under Title 18, United States Code, Section 3571. In addition, NGUYEN faces a term of supervised release of no less than five (5) years and up to life after his release from prison and payment of a $100 mandatory special assessment fee.
According to documents filed in federal court, the case against NGUYEN began as a result of a CyberTip report from the National Center for Missing and Exploited Children (“NEMEC”) to the Louisiana Bureau of Investigation (“LBI”). Homeland Security Investigations (“HSI”) special agents along with the Jefferson Parish Sheriff’s Office and LBI executed a federal search warrant at NGUYEN’s home in Marrero. HSI’s investigation determined NGUYEN received images and videos depicting the sexual exploitation of minors.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
U.S. Attorney Evans praised the work of the U.S. Department of Homeland Security, Homeland Security Investigations, the Louisiana Bureau of Investigation, and the Jefferson Parish Sheriff’s Office in investigating this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Project Safe Childhood Coordinator and Chief of the Financial Crimes Unit.
Los Angeles Man Pleads Guilty to Federal Charges for Stealing Nearly $5.5 Million in COVID Jobless Relief and for Drug TraffickingRead the Press Release
SANTA ANA, California – A downtown Los Angeles man pleaded guilty today to federal drug trafficking and fraud charges, admitting, among other things, that he fraudulently obtained nearly $5.5 million in COVID-related jobless benefits by using the identities of California state prison inmates and other third parties.
Edward Kim, 36, pleaded guilty to one count of conspiracy to distribute methamphetamine and fentanyl, one count of distribution of methamphetamine, one count of conspiracy to defraud the government with respect to claims, two counts of mail fraud, and two counts of possession of 15 or more unauthorized access devices.
Kim has been in federal custody since his arrest in this case in March 2021.
According to his plea agreement, from May 2020 to March 2021, Kim and his co-conspirators submitted approximately 459 fraudulent unemployment insurance claims to the California Employment Development Department (EDD), using the names, Social Security numbers, dates of birth and other personal identifiable information of California state prison inmates and other people. Kim received the inmates’ information from various sources, including by purchasing PII from the dark web.
Kim and his accomplices submitted to the EDD online applications for UI benefits that falsely represented the inmates and others were unemployed because of the economic crisis brought by the COVID-19 pandemic. Kim knowingly listed on the applications false mailing addresses, including his current and former apartments, to which the bank sent the EDD-approved debit cards containing UI funds. Kim then made cash withdrawals at bank branches.
In total, Kim and his co-conspirators received approximately $5,458,050 in fraudulently obtained UI funds.
Kim further admitted that in November 2019 he sent two packages – one containing nearly one pound (449.6 grams) of methamphetamine, the other containing over 300 fake oxycodone pills containing fentanyl – from a FedEx store in West Covina to the address of a UPS Store in Hawaii. Kim’s co-conspirator in Hawaii arrived at the UPS Store to pick up the packages, but law enforcement arrested him before he could do so.
In July 2020, Kim began renting a warehouse in La Habra where he stored equipment and materials for the manufacture and distribution of narcotics, including pill presses and dies, pill bottles, scales, and various binding agents. He also maintained a marijuana grow operation at the La Habra warehouse.
Kim also admitted that beginning in March 2020, he conspired with others to defraud the United States by using stolen identities to file false and fraudulent income tax returns to fraudulently claim tax refunds. The tax returns included false information designed to qualify for COVID pandemic-related Economic Impact Payments (EIP), which the federal government provided on three occasions in 2020 and 2021. Together with his co-conspirators, Kim caused at least 297 fraudulent tax returns to be filed with the IRS which sought more than $356,400 in fraudulent EIP from the United States.
During a traffic stop in La Habra in November 2020, law enforcement found approximately 22 grams of methamphetamine in Kim’s car, along with a digital scale, and 16 debit cards in the names of other people.
Another search in March 2021 at Kim’s luxury apartment near L.A. Live resulted in law enforcement finding nearly 35 grams of methamphetamine, dozens of EDD letters and mailings, and a notebook marked “stimulus scheme,” which contained approximately 405 different identities.
A search of the La Habra warehouse in April 2021 led to the discovery of more EDD paperwork, ATM withdrawal receipts, and nearly 296 grams of methamphetamine. A 9mm Polymer80 handgun with no serial number – commonly referred to as a “ghost gun” – also was found at the La Habra warehouse.
United States District Judge James V. Selna scheduled a March 6, 2023 sentencing hearing, at which time Kim will face a mandatory minimum sentence of 10 years in federal prison and a statutory maximum sentence of life imprisonment.
Homeland Security Investigations, IRS Criminal Investigation, the United States Department of Labor’s Office of Inspector General, the California Employment Development Department - Investigation Division, the California Department of Corrections and Rehabilitation - Special Service Unit, the La Habra Police Department, and the Hawaii Police Department are investigating this matter.
Assistant United States Attorney Andrew M. Roach of the Cyber and Intellectual Property Crime Section and Julia Hu of the Major Frauds section are prosecuting this case.
Anyone with general information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Logan County Felon Sentenced to 92 Months in Federal Prison for Illegally Possessing a FirearmRead the Press Release
Bowling Green, KY – A Logan County man was sentenced today to 92 months in prison for being a convicted felon in possession of a firearm.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division made the announcement.
According to court documents, on July 19, 2021, in Logan County, Kentucky, Albert Tyler, 61, possessed a Lorcin, model L380, .380 caliber semiautomatic pistol, and a Hi-Point, model JHP-45, .45 caliber semiautomatic pistol, and ammunition. Tyler had previously been convicted of multiple felony offenses, including felony convictions for third-degree burglary in Logan Circuit Court Case Number 17-CR-00089 and first-degree trafficking in a controlled substance (less than four grams of cocaine), in Logan Circuit Court Case Numbers 14-CR-00070 and 14-CR-00069.
As a result of being a convicted felon Tyler was prohibited from possessing any firearms.
Tyler was also sentenced to 3 years of supervised release upon completion of his term of imprisonment. There is no parole in the federal system.
Assistant U.S. Attorney Mark J. Yurchisin II, of the U.S. Attorney’s Bowling Green Branch Office, prosecuted the case.
The ATF Bowling Green Field Office, with the assistance of the South-Central Kentucky Drug Task Force, investigated the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Liverpool Man Sentenced to 84 Months for Receiving and Possessing Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Dominic Zampini, age 27, of Liverpool, New York, was sentenced on November 10, 2022, to 84 months in federal prison for receiving and possessing child pornography, announced United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo, New York Field Office, and New York State Police Acting Superintendent Steven A. Nigrelli.
As part of his guilty plea, Zampini admitted that between October 2020 and December 2020, he knowingly received child pornography images over the internet from another individual he met through a mobile application, and that in September, 2021 he possessed images depicting child pornography on two cell phones.
United States District Judge David N. Hurd also imposed a 10-year term of supervised release, which will begin after Zampini is released from prison, and ordered Zampini to pay $3,000 in restitution and a $300 special assessment. Zampini will also be required to register as a sex offender.
This case was investigated by the New York State Police and the Department of Homeland Security, Homeland Security Investigations, and prosecuted by Assistant U.S. Attorney Matthew J. McCrobie as a 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.
Lincoln County Man Sentenced to Prison for Fentanyl CrimeRead the Press Release
CHARLESTON, W.Va. – Randall Jim Hughes, 38, of Alkol, was sentenced today to four years and nine months in prison, to be followed by three years of supervised release, for possession with intent to distribute a quantity of a mixture or substance containing fentanyl.
According to court documents and statements made in court, on June 15, 2021, law enforcement officers arrested Hughes on an outstanding warrant. During the arrest, two baggies containing approximately 23 grams of fentanyl fell from Hughes’ person. Hughes admitted that he possessed the fentanyl and intended to distribute it. Hughes further admitted that officers seized two loaded firearms from him during the arrest.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Kanawha County Sheriff’s Office, the Metropolitan Drug Enforcement Network Team (MDENT) and the United States Marshals Service.
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Negar M. Kordestani and former United States Attorney Nick Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-205.
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Levittown Physician Agrees to Pay Nearly $490,000 to Resolve Controlled Substances Act ViolationsRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Kenneth Fox, D.O., has agreed to pay $489,025 to resolve allegations that he violated the Controlled Substances Act (CSA) by failing to maintain complete and accurate records of controlled substances, failing to keep required receipt and dispensing records, failing to perform biennial inventories, and writing prescriptions “for stock.”
The United States’ investigation involved Fox’s practice located at 1310 Frosty Hollow Road, Levittown, PA 19056.
As part of the settlement, Fox has entered into a three-year Memorandum of Agreement (MOA) with the Drug Enforcement Administration (DEA), which includes additional responsibilities regarding the handling of controlled substances. The MOA imposes compliance obligations significantly more stringent than those in the applicable laws and regulations.
Fox prescribes and administers phentermine, a Schedule IV controlled substance, and suboxone, a Schedule III controlled substance. In February 2013, DEA Investigators discovered that Fox allegedly failed to conduct a biennial inventory, failed to maintain records for receipt and dispensing of controlled substances, and failed to keep controlled substances secure – all in violation of applicable regulations and statutes. In April 2013, the DEA issued a Letter of Admonition to Fox, who agreed to correct his conduct thenceforth.
Nine years later, the DEA performed another scheduled on-site inspection of Fox’s facility. During this inspection, Investigators discovered that Fox continued the same violations as before, and in addition, was prescribing controlled substances “for stock” in violation of the applicable regulations. On the date of inspection, Fox allegedly produced non-compliant and incomplete dispensing records, and no records of biennial inventory, or invoices/receipts for controlled substances. The Investigators obtained records of Fox’s prescriptions “for stock” from a local retail pharmacy. Physicians are prohibited from obtaining controlled substances for the purpose of general dispensing to patients; they must comply with the requirements for a valid prescription, including the date, patient’s name and address, drug name and strength, dosage form, quantity prescribed, directions for use, and the physician/registrant’s name, address, and registration number. The prescription requirement is one of the ways in which controlled substances are tracked to prevent diversion and abuse.
“Physicians who fail to maintain proper records of controlled substances create conditions ripe for diversion, or, at worst, may be engaging in diversion itself,” said U.S. Attorney Romero. “Physicians and pharmacists have a responsibility to ensure that all controlled substances are tracked through the distribution chain. Our Office is committed to ensuring total compliance with the Controlled Substances Act and we will vigorously enforce violations wherever we find them.”
Congress enacted the CSA to deter the illegal importation, manufacture, distribution, possession, and improper use of controlled substances, including prescription medications, and requires individuals and entities registered with the DEA to maintain complete and accurate records of all controlled substances and security systems so that controlled substances are not lost, stolen, or inappropriately dispensed.
“The goal of DEA’s closed system of distribution is to insure accountability for controlled substances; it insures that end-users directly receive controlled substances from where they were dispensed,” said Thomas Hodnett, Special Agent in Charge of the DEA’s Philadelphia Field Division. “In ordering controlled substances “for stock” at his office, Dr. Fox made himself a middle-man in this same closed system and created an environment where controlled substances are not properly inventoried or secured.”
The government’s pursuit of this matter illustrates its emphasis on combating diversion of controlled substances. The record keeping and other regulations applicable to DEA registrants, including physicians, are the tools by which the DEA deters drug diversion.
The investigation was conducted by the DEA’s Philadelphia Field Division, Diversion Groups D71 and D72, and the investigation and settlement were handled by Assistant U.S. Attorney Viveca D. Parker, with assistance from Asset Investigator Shantelle Kitchen-Nelson.
The claims resolved by this settlement are allegations only and there has been no determination of liability.