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9 November 2022
Wildwood Man Sentenced to 52 Months for Possession of Child PornographyRead the Press Release
ST. LOUIS – U.S. District Judge Sarah E. Pitlyk on Wednesday sentenced a former elementary school teaching assistant from Wildwood to 52 months in prison for possessing child pornography and a lifetime of supervised release.
Connor Brueggemann, 26, pleaded guilty Wednesday to one count of possession of child pornography. He admitted that a May 4, 2020 tip to the National Center for Missing and Exploited Children about the uploading of child pornography triggered an investigation that resulted in a July 14, 2020 search of his house. During the search, Brueggemann, who was then a teaching assistant in a music class at a local elementary school, said “he had done ‘terrible things’ and wanted to get help with his addiction to child pornography,” his plea agreement says.
Investigators found over 360 media items containing child sexual abuse material on Brueggemann’s electronic devices, the plea agreement says.
The case was investigated by the FBI and the St. Louis County Police Department. Assistant U.S. Attorney Dianna Collins 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 the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Violent Felon Sentenced to 10 Years in Federal Prison for Drug Trafficking and Firearm OffensesRead the Press Release
INDIANAPOLIS –Nathan Robinson, 31, of Indianapolis was sentenced to 10 years in federal prison after pleading guilty to distribution of methamphetamine, possession with intent to distribute cocaine and carrying a firearm during and in relation to a drug trafficking crime.
According to court documents, on January 12, 2022, Indianapolis Metropolitan Police Department (IMPD) officers were attempting to locate and arrest Robinson on an outstanding warrant. Law enforcement officers knew that Robinson was selling methamphetamine in Indianapolis.
Law enforcement officers located Robinson and stopped him as he was attempting to leave in his vehicle from an address on Redfern Drive in Indianapolis. Robinson consented to a search of his vehicle and officers found 71 grams of cocaine, marijuana, two digital scales, plastic baggies, a loaded 9mm Double Tap Defense pistol that had been reported stolen, and over $124,000 inside the vehicle. Robinson admitted the drugs, the firearm used during Robinson’s drug dealing activities, and the currency from the drug proceeds belonged to him.
Robinson is prohibited from possessing firearms by federal law due to his prior felony convictions, in Marion County, Indiana, including theft, unlaw possession of a syringe and resisting law enforcement.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office made the announcement.
DEA investigated the case. IMPD provided valuable assistance. The sentence was imposed by U.S. District Judge Tanya Walton Pratt. As part of the sentence, Judge Pratt ordered that Robinson be supervised by the U.S. Probation Office for four years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Abhishek S. Kambli who prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Valparaiso Man Sentenced to 151 Months in PrisonRead the Press Release
HAMMOND- Kyle D. Burgess, 28 years old, of Valparaiso, Indiana, was sentenced by United States District Court Senior Judge James T. Moody after pleading guilty to distributing methamphetamine and being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Burgess was sentenced to 151 months in prison followed by 3 years of supervised release.
According to documents in the case, during the course of the investigation, Burgess sold methamphetamine twice in August 2021 and in the next month, sold methamphetamine, ammunition and two firearms, one of which had an obliterated serial number. A search warrant executed on his residence resulted in the seizure of a shotgun. Burgess’ criminal history revealed he had prior felony Indiana convictions for possession of methamphetamine and maintaining a common nuisance. As such, Burgess is prohibited from possessing any firearm or ammunition.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was prosecuted by Assistant United States Attorney Kevin F. Wolff.
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.
U.S. Attorney, Vermont Attorney General, and Rutland Area NAACP to Co-Host Hate-Free Vermont Forum in St. AlbansRead the Press Release
The United States Attorney’s Office, the Vermont Attorney General’s Office, and the Rutland Area NAACP will be co-hosting a Hate-Free Vermont Forum in St. Albans on November 17, 2022, from 5:30pm to 7:30pm. This forum will be the third held in an ongoing series; previous 2022 Hate-Free Vermont Forums have taken place in Rutland and Bennington.
“The Forum aims to bring policymakers, stakeholders, and community members together for productive and difficult conversations that will work to reduce animus, discord, and misunderstandings,” said co-facilitator Etan Nasreddin-Longo. “When we began these conversations in 2019, our goal was to take the pulse of Vermonters’ experience of discrimination. Much has happened since that time, and our hope is to engage and to listen to our historically-disadvantaged communities about what they view as the continuing and new problems in 2022.”
Community members are encouraged to join us for a conversation on understanding and addressing bias, discrimination, and hate crimes in Vermont.
When: Thursday, November 17, 2022, 5:30pm-7:30pm
Where: The Forum will be hosted in person and remotely.- Physical location: Community College of Vermont - St. Albans, 97 North Main Street, Suite 200, St. Albans, VT 05478
- Remote registration link: bit.ly/HateFreeStAlbans
- In-person registration link (optional): https://forms.gle/ofP9yx5vpmN2dbqT7
Who: All are welcome.
For physical attendance, masks are requested. Registration is required for remote attendance.
U.S. Attorney's Office Reaches Settlement with Palisade Winery over Access for Service DogRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announced today that the United States has resolved a discrimination complaint under the Americans with Disabilities Act (ADA) with Hermosa Vineyards, a vineyard in Palisade, Colorado, to allow service dogs in its tasting room.
The U.S. Attorney’s Office received a complaint that Hermosa Vineyards refused to permit a complainant’s service dog into its tasting room. The complainant claimed that a Hermosa Vineyards representative confronted the complainant and her boyfriend in the winery’s parking lot and refused to let them into the tasting room, even after they explained that the complainant’s dog was a service animal.
Under Title III of the ADA, businesses are required to permit service animals onto their premises. Only dogs may be service animals under the ADA. If it is not obvious whether a dog is a service animal, the business is permitted to ask two questions of the dog’s handler:
- Is the dog a service animal required because of a disability?
- What work or task has the dog been trained to perform?
The business is not allowed, however, to request any documentation about the dog, require that the dog demonstrate its task, or inquire about the nature of the person’s disability. Service dogs are not required to wear vests or special clothing, and handlers are not required to have any particular documentation or certification for the dog. A service dog must be under the control of its handler while on the premises of a business.
To resolve the complaint, Hermosa Vineyards agreed to post notices that service dogs are permitted in its tasting rooms and onto areas of the winery’s grounds that are open to the general public. Hermosa Vineyards also paid the complainant $5,000.
“Businesses must permit individuals with disabilities to bring service dogs into any area where other members of the public are allowed,” said U.S. Attorney Cole Finegan. “The U.S. Attorney’s Office is committed to protecting equal access for people with disabilities who need the aid of service dogs.”
This case was handled by Assistant U.S. Attorney Zeyen Wu.
A photograph of the service dog, provided by the complainant, is shown below.
Picture provided by complainant Service dogTwo New Orleans Men Convicted by Federal Jury for Multiple Violent Carjacking OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that HAROLD FOSTER, age 31, and MARC DALTON, age 31, of New Orleans, Louisiana were found guilty as charged on November 8, 2022 after a two-day jury trial before United States District Judge Jay C. Zainey. The defendants were facing two counts of carjacking in violation of Title 18, United States Code, Section 2119(1) and two counts of brandishing a firearm during a crime of violence in violation of Title 18, United States Code Section 924(c)(1)(A)(ii).
Testimony at trial established that FOSTER and DALTON carjacked the driver of a white Chevrolet Equinox on April 10, 2020 at the Eastside Cash and Carry convenient store on Chef Menteur Highway in New Orleans. The defendants held the victim at gunpoint with a revolver in furtherance of the offense. They then forced him into his car, kidnapping him for a short time before leaving him on the side of the road.
The evidence at trial also showed that on April 12, 2020, FOSTER and DALTON were caught immediately after a second carjacking. The two victims were sitting in a Mercedes C300 on St. Peter Street in New Orleans when the defendants held them at gunpoint with a semi-automatic Taurus handgun. Like the previous offense, the defendants kidnapped the two victims and dropped them off on the side of the road after a period of time. The New Orleans Police Department located the defendants in the stolen Mercedes immediately after the carjacking and arrested them after a high-speed pursuit on Downman Road.
For each count of carjacking, FOSTER and DALTON face a maximum of 15 years imprisonment, up to a $250,000.00 fine, up to three years of supervised release, and a mandatory $100.00 special assessment fee. For brandishing a firearm during a crime of violence, the defendants face a mandatory minimum of seven years imprisonment for each count, which must run consecutive to all other counts; the maximum sentence for each of those counts is life imprisonment, up to a $250,000.00 fine, up to five years of supervised release, and a mandatory $100.00 special assessment fee.
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.
U.S. Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, New Orleans Police Department, and Jefferson Parish Sheriff’s Office in investigating this matter. Assistant United States Attorneys Charles D. Strauss, David E. Haller, and J. Benjamin Myers are in charge of the prosecution.
Two Men Arrested for Committing Armed Robbery of Bronx Jewelry Store Using Bear Spray, A Gun, and HammersRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director in Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Keechant L. Sewell, Police Commissioner for the City of New York (“NYPD”), announced the unsealing of a three-count Complaint today charging two members of an armed robbery crew operating in the Bronx, New York, with robbery, conspiracy to commit robbery, and brandishing a firearm during and in relation to a crime of violence. Specifically, PABLO ARMANDO VALENZUELA and AARON MILLER stole more than $800,000 worth of jewelry while armed with a firearm, bear spray, and hammers. MILLER was arrested yesterday, and VALENZUELA was arrested today and will be presented before Magistrate Judge Sarah L. Cave.
U.S. Attorney Damian Williams said: “As alleged, the defendants and their co-conspirators committed a violent robbery using any weapons they could get their hands on that left employees of a Bronx jewelry store injured and their store destroyed. This Office will continue to aggressively prosecute robberies, especially those that are accompanied with violence.”
FBI Assistant Director in Charge Michael J. Driscoll said: “We allege Valenzuela and Miller carried out a robbery at a jewelry store, stole more than $800,000 in merchandise, violently trashed the business, and injured employees by using bear spray. Smash and grab robberies have become more brazen, and the criminals responsible must be held responsible. This investigation should serve as a warning to anyone contemplating a similar crime - you will face justice in the federal system for breaking the law.”
NYPD Police Commissioner Keechant L. Sewell said: “This violence will never be tolerated in our city. And actions must have consequences. Today’s charges reflect our commitment to safeguarding the people and businesses of New York City, and our relentless pursuit of anyone who would seek to do them harm. I want to thank the U.S. Attorney’s Office for the Southern District of New York, the New York Office of the FBI, and every investigator who worked on this important case.”
According to the allegations contained in the Complaint:[1]
On August 10, 2022, VALENZUELA and MILLER, along with at least four other co-conspirators, committed an armed robbery of a jewelry store in the Bronx, New York, using a firearm, bear spray, and hammers. On the evening of August 10, VALENZUELA entered the jewelry store wearing a ski mask and sprayed a can of bear spray into the eyes of jewelry store employees, temporarily blinding them. Five other masked robbers entered the jewelry store, including MILLER, and used hammers to destroy glass display cases. At least one robber brandished a firearm. VALENZUELA, MILLER, and the other robbers then stole over $800,000 worth of jewelry before fleeing on mopeds, in cars, and by foot.
Photographs of VALENZUELA (Photographs 1 and 2) and MILLER (Photograph 3) are below:
* * *
VALENZUELA, 32, and MILLER, 23, both of the Bronx, New York, are charged with one count of Hobbs Act robbery and one count of conspiracy to commit Hobbs Act robbery, both of which carry a maximum sentence of 20 years in prison, and one count of brandishing a firearm during and in relation to a crime of violence, which carries a maximum sentence of life in prison and a mandatory minimum term of seven years in prison, which must be served consecutively to any other prison term imposed.
The minimum and maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation, particularly the Albany FBI – Binghamton Resident Agency, the U.S. Marshals Service New York/New Jersey Regional Task Force, and the New York City Police Department.
This case is being handled by the Office’s General Crimes Unit. Assistant U. S. Attorney Amanda C. Weingarten is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described herein should be treated as an allegation.
Three Federal Operations in Pine Bluff and Little Rock Lead to Dozens of Drug & Firearm ArrestsRead the Press Release
LITTLE ROCK—Three federal investigations culminated in 45 arrests this morning. An investigative focus on the pipeline of drugs and firearms between Pine Bluff and Little Rock resulted in the indictment of 80 individuals, all charged with various federal firearms and drug trafficking charges in multiple indictments that were unsealed today.
Two FBI operations, each focused on a rival gang, were created to address violence and drug trafficking in the corridor between Pine Bluff and Little Rock. The investigations focused on rival gangs responsible for violence throughout central Arkansas, with one operation focused on the EBK or Every Body Killas gang and resulting in the indictment of 35 defendants. The second investigation focused on the Loady Murder Mobb gang and resulted in the indictment of 26 defendants. Three more defendants, Quincy Martez Chambers, D’eandreian Devonte Meadows, and Joseph Riggins, Jr., are charged separately in stand-alone indictments. Three defendants are named in multiple indictments.
A third operation, this one led by the Drug Enforcement Administration (DEA), began in August 2021 when DEA and the North Little Rock Police Department identified street-level methamphetamine and fentanyl dealers in central Arkansas who were connected to the same source of supply. Investigation revealed the drugs were being mailed into Arkansas from California, and these shipments—which included kilogram-quantities of methamphetamine and thousands of pressed fentanyl pills—were then distributed to individuals in Little Rock and Pine Bluff as well as Houston, Texas. This investigation culminated in the indictment of 18 defendants. Manuel Taylor was charged in a separate indictment.
Pine Bluff Police Detective Kevin Collins was shot and killed in October 2020 while serving an arrest warrant on an EBK associate wanted for a homicide in Georgia. Prior to his death, Detective Collins was assisting FBI with intelligence related to criminal activity of these gangs, as well as surveillance, interviews, and arrests of individuals responsible for criminal activity in Pine Bluff. In March 2021, the FBI’s GETROCK Task Force obtained a wiretap and used a total of twelve wiretaps through June 2022 as a source of real-time information to intervene and prevent violence in Pine Bluff, Little Rock, and other communities throughout the state. Law enforcement discovered that the gangs were funding their violent activity primarily through the sale of large quantities of high-grade marijuana. The investigation revealed drug trafficking and travel between Arkansas and Texas, California, Arizona, Georgia, Mississippi, Tennessee, and Oklahoma.
Law enforcement began early this morning by searching for 72 suspects, all of whom were indicted for federal gun and drug trafficking crimes. Of the 80 defendants indicted in the three investigations, 8 of those were already in custody when this morning’s roundup began. In addition to the arrests, during the operation authorities seized 4 firearms, one of which was an AR-style pistol; 2 ounces of cocaine; 1 ounce of crack cocaine; and $30,000 cash.
Prior to today’s FBI arrests in their operations involving the EBK and Loady Murder Mobb gangs, investigators seized 42 firearms, including two machine guns; approximately $775,000 in cash and $428,000 in jewelry; approximately 278 pounds of marijuana, which has an approximate street value of $450,000; 7 ounces of cocaine; 3 ounces of crack cocaine; 1.5 pounds of methamphetamine; and 116 pills containing fentanyl.
Before today’s DEA arrests, investigators seized $146,000 in cash, 10 firearms, 12 pounds of methamphetamine, 1.2 kilograms of powder fentanyl, 600 pressed fentanyl pills, 10 pounds of marijuana, and nine ounces of cocaine.
Twenty-seven fugitives remain after this morning’s arrests. Most of the defendants who were arrested this morning will appear at a later date for arraignment before United States Magistrate Judge Joe J. Volpe.
The FBI conducted their operations with assistance from Arkansas State Police, Arkansas Department of Community Corrections, Little Rock Police Department, North Little Rock Police Department, Pine Bluff Police Department, and Jonesboro Police Department. FBI’s GETROCK Task Force was formed in 2017 in response to the escalation in gang and gun violence in Little Rock. The unit’s investigations and operations are coordinated out of FBI Little Rock’s field office, and GETROCK continues to serve as the clearinghouse for gang-related law enforcement activity in Central Arkansas. Additional support was provided by the Bureau of Alcohol, Tobacco, Firearms, and Explosives; Homeland Security Investigations; United States Postal Inspection Service (USPIS); Arkansas National Guard Counterdrug Joint Task Force; and the Arkansas State Crime Laboratory. These cases are being prosecuted by Assistant United States Attorneys Julie Peters and Amanda Fields with assistance from Cameron McCree.
The Drug Enforcement Administration (DEA) Little Rock District Office conducted their operation with assistance from DEA Riverside, California District Office; USPIS; North Little Rock Police Department; Sherwood Police Department; and Benton Police Department. This case is being prosecuted by Assistant United States Attorney Chris Givens.
These efforts are part of several Organized Crime Drug Enforcement Task Forces (OCDETF) operations. 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.
An indictment only contains allegations. A defendant is presumed innocent unless and until proven guilty.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter: @EDARNEWS
Three Arrested for Illegal Scheme to Export Controlled Data and Defraud the Department of DefenseRead the Press Release
WASHINGTON – A federal indictment was unsealed today following the arrest of three defendants and their initial appearances in the U.S. District Court in the Western District of Kentucky. Phil Pascoe, 60, of Floyds Knobs, Indiana, Monica Pascoe, 45, of Floyds Knobs, Indiana; Scott Tubbs, 59, of Georgetown, Kentucky; and Quadrant Magnetics LLC were charged with wire fraud, violations of the Arms Export Control Act, and smuggling of goods for their roles in an illegal scheme to send export-controlled defense-related technical data to China and to unlawfully supply U.S. Department of Defense (DOD) with Chinese-origin rare earth magnets for aviation systems and military items.
The indictment alleges that between January 2012 and December 2018, the defendants conspired to send approximately 70 drawings containing export-controlled technical data to a company located in China without a license from the U.S. government, in violation of the Arms Export Control Act and the International Traffic in Arms Regulations. The technical data drawings were the property of two U.S. companies and related to end-use items for aviation, submarine, radar, tank, mortars, missiles, infrared and thermal imaging targeting systems, and fire control systems for DOD.
The indictment further alleges that Quadrant Magnetics imported rare earth magnets that were smelted and magnetized by a company in China. Quadrant then sold these magnets to two U.S. companies which included them in components sold to DOD for use in the F-16, the F-18, and other defense assets in violation of the Defense Acquisition Regulations System (DFARS). Under the DFARS specialty metal clause, rare earth magnets sold to DOD must be produced and magnetized in the United States or an approved country. China is not an approved country.
Arraignments will be scheduled before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted, Phil Pascoe, Monica Pascoe and Scott Tubbs face statutory maximum penalties of up to 20 years in prison for each count of wire fraud; 20 years in prison for each count of exporting technical data without a license; and 10 years in prison for smuggling goods from the United States. Monica Pascoe and her co-defendants face a penalty of up to five years for conspiracy to defraud the United States. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Michael A. Bennett for the Western District of Kentucky, Assistant Director Alan E. Kohler Jr. of the FBI Counterintelligence Division and Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office made the announcement.
The Defense Criminal Investigative Service, FBI, the Department of Homeland Security, IRS - Criminal Investigation, the Naval Criminal Investigative Service, and the Department of Energy’s Office of Inspector General are investigating the case.
Assistant U.S. Attorneys Joshua Judd and Christopher Tieke for the Western District of Kentucky and Trial Attorneys David Recker and Liz Abraham with the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Three Arrested for Illegal Scheme to Export Controlled Data and Defraud the Department of DefenseRead the Press Release
A federal indictment was unsealed today following the arrest of three defendants and their initial appearances in the U.S. District Court in the Western District of Kentucky.
According to court documents, Phil Pascoe, 60, of Floyds Knobs, Indiana; Monica Pascoe, 45, of Floyds Knobs, Indiana; Scott Tubbs, 59, of Georgetown, Kentucky; and Quadrant Magnetics LLC are charged with wire fraud, violations of the Arms Export Control Act, and smuggling of goods for their roles in an illegal scheme to send export-controlled defense-related technical data to China and to unlawfully supply U.S. Department of Defense (DOD) with Chinese-origin rare earth magnets for aviation systems and military items.
The indictment alleges that between January 2012 and December 2018, the defendants conspired to send approximately 70 drawings containing export-controlled technical data to a company located in China without a license from the U.S. government, in violation of the Arms Export Control Act and the International Traffic in Arms Regulations. The technical data drawings were the property of two U.S. companies and related to end-use items for aviation, submarine, radar, tank, mortars, missiles, infrared and thermal imaging targeting systems, and fire control systems for DOD.
The indictment further alleges that Quadrant Magnetics imported rare earth magnets that were smelted and magnetized by a company in China. Quadrant then sold these magnets to two U.S. companies which included them in components sold to DOD for use in the F-16, the F-18, and other defense assets in violation of the Defense Acquisition Regulations System (DFARS). Under the DFARS specialty metal clause, rare earth magnets sold to DOD must be produced and magnetized in the United States or an approved country. China is not an approved country.
Arraignments will be scheduled before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted, Phil Pascoe, Monica Pascoe and Scott Tubbs face statutory maximum penalties of up to 20 years in prison for each count of wire fraud; 20 years in prison for each count of exporting technical data without a license; and 10 years in prison for smuggling goods from the United States. Monica Pascoe and her co-defendants face a penalty of up to five years for conspiracy to defraud the United States. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Michael A. Bennett for the Western District of Kentucky, Assistant Director Alan E. Kohler Jr. of the FBI Counterintelligence Division and Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office made the announcement.
The Defense Criminal Investigative Service, FBI, Homeland Security Investigations' Louisville, San Diego, and San Francisco Field Offices, the IRS - Criminal Investigation, the Naval Criminal Investigative Service, and the Department of Energy’s Office of Inspector General are investigating the case.
Assistant U.S. Attorneys Joshua Judd and Christopher Tieke for the Western District of Kentucky and Trial Attorneys David Recker and Liz Abraham with the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Thayer Man Sentenced to 15 Years for Meth Trafficking, Illegal FirearmsRead the Press Release
SPRINGFIELD, Mo. – A Thayer, Mo., man was sentenced in federal court today for possessing methamphetamine to distribute and illegally possessing firearms.
Jamie K. Hutcherson, 50, was sentenced by U.S. District Judge M. Douglas Harpool to 15 years and eight months in federal prison without parole. Hutcherson was sentenced as a career criminal due to his prior felony convictions.
On Feb. 28, 2022, Hutcherson pleaded guilty to one count of possessing methamphetamine with the intent to distribute and one count of being a felon in possession of firearms.
A Howell County, Mo., sheriff’s deputy stopped Hutcherson, who was driving a 1999 silver Dodge Ram pickup, at the intersection of U.S. Highway 63 and Missouri Highway 14 on Oct. 3, 2020. Hutcherson, who did not have a valid driver’s license, had failed to stop at a stop sign.
Hutcherson had a loaded Taurus .22-caliber pistol in his back pocket. The deputy also found a loaded Harrington & Richardson .22-caliber revolver between the driver’s seat and the center console. A clear bag that contained four hypodermic syringes, approximately 54 grams of methamphetamine, and a small bag of marijuana was also found in the pickup.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Hutcherson has three prior felony convictions for possessing a controlled substance, two prior felony convictions for possessing a controlled substance with the intent to distribute, and two prior felony convictions for theft, as well as prior felony convictions for breaking and entering, receiving stolen property, illegally possessing a firearm, distributing methamphetamine in a correctional facility, and distributing, manufacturing, or producing a controlled substance.
This case was prosecuted by Assistant U.S. Attorney Josephine L. Stockard. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, and the Howell County, Mo., Sheriff’s Department.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Tampa Felon Indicted for Possessing A FirearmRead the Press Release
Tampa, FL – United States Attorney Roger B. Handberg announces the return of an indictment charging Demetrius Sanchez Mitchell (38, Tampa) with illegally possessing a firearm. If convicted, Mitchell faces a mandatory minimum term of 15 years, and up to life, in federal prison. The indictment also notifies Mitchell that the United States intends to forfeit the firearm traceable to his offense.
According to the indictment, on July 2, 2022, Mitchell possessed a firearm. At the time of the incident, Mitchell had multiple prior felony convictions, including two convictions for aggravated assault with a deadly weapon and a conviction for being a felon in possession of a firearm. As a previously convicted felon, Mitchell is prohibited from possessing a firearm under federal law.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department. It will be prosecuted by Assistant United States Attorney David P. Sullivan. The forfeiture will be handled by Assistant United States Attorney Suzanne C. Nebesky.
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.
Southwest Baltimore “NFL” Gang Member Sentenced to 25 Years in Federal Prison for a Racketeering Conspiracy, Including Committing a MurderRead the Press Release
Greenbelt, Maryland – On November 8, 2022, U.S. District Judge Paul W. Grimm sentenced Darran Malik Butler, age 23, of Baltimore, to 25 years in federal prison, followed by four years of supervised release, for participating in a violent racketeering conspiracy, specifically, the NFL Criminal Enterprise, including committing a murder. The term NFL stands for Normandy, Franklin, and Loudon, which are three adjacent streets that run through the Edmondson Village. Members of NFL have social and family ties to the Edmondson Village neighborhood in southwest Baltimore.
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; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration, Washington Division; Chief Marcus Jones of the Montgomery County Police Department; and Commissioner Michael Harrison of the Baltimore Police Department.
According to his guilty plea, from at least 2018 through March 26, 2020, Darran Butler was a member of the NFL Criminal Enterprise, which engaged in a pattern of criminal racketeering activity including murder, narcotics trafficking and smuggling, illegal firearms possession, bribery, witness intimidation, and witness retaliation. Butler participated in illegal activities with other NFL Enterprise members, including committing a murder on the enterprise’s behalf. As detailed in Butler’s plea agreement, in October 2018, a co-conspirator solicited Butler to murder Leonard Shelley so that the co-conspirator and Butler could collect a bounty that had been placed on Shelley. On October 31, 2018, Butler and a co-conspirator followed Shelley into a convenience store and shot Shelley numerous times, killing him. Following the murder, Butler posted a picture on Instagram of himself holding the bounty proceeds for Shelley’s murder.
More than 30 defendants in this and related cases have pleaded guilty to their roles in the racketeering conspiracy.
This case was made possible by investigative leads generated from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI, the DEA, the Montgomery County Department of Police and the Baltimore Police Department for their work in the investigation. Mr. Barron commended the U.S. Postal Inspection Service; the City of Rockville Police Department; the Baltimore County and Howard County Police Departments; the Frederick County Sheriff’s Office; the Maryland State Police; the West Virginia State Police; the Virginia State Police; the Warren County (VA) Sheriff’s Department; the Winchester (VA) and Front Royal (VA) Police Departments; and the Frederick County and Howard County State’s Attorney’s Offices for their assistance in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorneys John W. Sippel, Jr., James T. Wallner, and Robert I. Goldaris, who are prosecuting 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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South Dakota Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that a South Dakota man convicted of Failure to Register as a Sex Offender was sentenced on November 1, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Jeremiah Jay Swalley, age 40, was sentenced to 18 months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Swalley was indicted for Failure to Register as a Sex Offender by a federal grand jury in November of 2021. He pleaded guilty on March 14, 2022.
Swalley was convicted of Sexual Abuse of a Minor in January 2017. As a result of this conviction, he is required to register as a sex offender and update his registration within three business days of relocation or changing employment. Swalley left his previously registered address on September 3, 2021, and failed to update his registration between September 9, 2021, and October 26, 2021.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by U.S. Marshals Service. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Swalley was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for AssaultRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that a Sioux Falls, South Dakota, man convicted of Assault by Striking, Beating, and Wounding, was sentenced on November 7, 2022, by U.S. Magistrate Judge Mark A. Moreno.
Wesley Hammond, age 29, was sentenced to time served since May 26, 2022, equal to approximately five and a half months in custody, followed by one year of supervised release, and ordered to pay a $25 special assessment to the Federal Crime Victims Fund.
Hammond was indicted by a federal grand jury in July of 2022. He pleaded guilty on September 22, 2022.
The conviction stemmed from an incident that occurred on May, 26, 2022, in Rosebud, South Dakota, wherein Hammond assaulted a woman by punching her in the face.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Sioux City Man Sentenced to Federal Prison for Illegally Possessing a GunRead the Press Release
On November 7, 2022, Antwoine Johnson, 29, from Sioux City, Iowa, was sentenced to 30 months in federal prison for possession of a firearm by a prohibited person. Johnson pled guilty June 14, 2022, in federal court in Sioux City.
Evidence at the sentencing hearing showed that on January 23, 2022, the Sioux City Police Department stopped Johnson for a traffic violation. Law enforcement detected the smell of marijuana emanating from the car. During a subsequent search of the car, officers found a loaded 9mm firearm in the void between the driver’s seat and console. Officers also found approximately 120 grams of marijuana in four separate baggies in the center console. Johnson was previously convicted of felony burglary, third degree in 2016, and was an unlawful user of marijuana, both of which prohibited him from possessing a gun.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Johnson was sentenced to 30 months’ imprisonment and must serve a 2 year term of supervised release following imprisonment. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Patrick T. Greenwood and was investigated by Sioux City Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-4019. Follow us on Twitter @USAO_NDIA.
Shelton Man Pleads Guilty to Defrauding AmazonRead 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, today announced that OSHANE STEWART, 30, of Shelton, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Alvin W. Thompson in Hartford to a charge stemming from his fraud against Amazon.com, Inc. (“Amazon”).
According to court documents and statements made in court, Stewart created multiple vendor accounts with Amazon allowing him to sell merchandise through the website on a third-party basis. He often opened the accounts using false names, email addresses and other identifying information. After setting up the accounts, Stewart represented to Amazon that he was shipping it valuable merchandise to be held for sale by the company. In reality, he would not ship the merchandise, and would later falsely claim that it had been lost, supporting his false claims with fabricated documents. Amazon sent Stewart a series of refunds for the purportedly lost merchandise.
Stewart admitted that his criminal conduct resulted in a loss to Amazon of approximately $742,231.16.
Stewart pleaded guilty to one count of wire fraud, an offense that carries a maximum term of imprisonment of 20 years. Judge Thompson scheduled sentencing for January 23, 2023. Stewart is released on bond pending sentencing.
Stewart is the third individual to plead guilty in connection with this scheme. On February 10, 2022, Stewart’s brother, Kenoy Stewart, pleaded guilty and admitted that his conduct resulted in a loss to Amazon exceeding $1 million. Rajhni Yankana pleaded guilty on August 26, 2022. Each awaits sentencing.
This matter is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorneys Conor M. Reardon and Christopher W. Schmeisser.
Rosebud Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that a Rosebud, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on November 7, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Floyd Black Spotted Horse, Jr., age 35, was sentenced to 14 months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Black Spotted Horse, Jr., was indicted for Failure to Register as a Sex Offender by a federal grand jury in June of 2022. He pleaded guilty on August 15, 2022.
Black Spotted Horse, Jr., was convicted of Aggravated Sexual Abuse by Force in June 2008. As a result of this conviction, he is required to register as a sex offender and update his registration within three business days of relocation or changing employment. Black Spotted Horse, Jr., was found to be living at a residence other than his registered address on February 10, 2022. He relocated to multiple locations without updating his registration until he was arrested on April 29, 2022.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by U.S. Marshals Service. Assistant U.S. Attorney Abby Roesler prosecuted the case.
Black Spotted Horse, Jr. was immediately remanded to the custody of the U.S. Marshals Service.
Richmond Man Indicted in Connection with Attempted Kidnapping and Assault at Pelosi ResidenceRead the Press Release
SAN FRANCISCO – A federal grand jury returned an indictment today charging a Richmond man with assault and attempted kidnapping in connection with the break in at the Pelosi residence on Oct. 28 in San Francisco.
The indictment supersedes the federal criminal complaint filed on Oct. 31.
According to the indictment, David DePape, 42, was arrested on Oct. 28 inside the Pelosi residence by San Francisco Police Department (SFPD) police officers responding to a 911 call from Paul Pelosi, husband of U.S. House of Representatives Speaker Nancy Pelosi. Paul Pelosi later described to police that he had been asleep when DePape, whom he had never seen before, entered his bedroom looking for Nancy Pelosi.
According to the indictment, minutes after the 911 call, two police officers responded to the Pelosi residence where they encountered Paul Pelosi and DePape struggling over a hammer. Officers told the men to drop the hammer, and DePape allegedly gained control of the hammer and swung it, striking Pelosi in the head. Officers immediately restrained DePape, while Pelosi was injured on the ground. As set forth in the indictment, once DePape was restrained, officers secured a roll of tape, white rope, a second hammer, a pair of rubber and cloth gloves, and zip ties from the crime scene, where officers also observed a broken glass door to the back porch.
DePape is charged with one count of assault upon an immediate family member of a United States official with the intent to retaliate against the official on account of the performance of official duties, which carries a maximum sentence of 30 years in prison. DePape is also charged with one count of attempted kidnapping of a United States official on account of the performance of official duties, which carries a maximum sentence of 20 years in prison.
U.S. Attorney Stephanie M. Hinds, Special Agent in Charge Robert K. Tripp of FBI San Francisco, and Chief J. Thomas Manger of the U.S. Capitol Police made the announcement.
The charges contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The Special Prosecutions Section of the U.S. Attorney’s Office for the Northern District of California is prosecuting the case. FBI San Francisco, the U.S. Capitol Police, and the San Francisco Police Department are investigating the case.
Rapid City Man Indicted on Firearm ChargesRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Possession of an Unregistered Firearm and Possession of a Firearm with an Obliterated Serial Number.
Christopher Fullen, age 29, was indicted in October of 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on November 8, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
In April of 2022, in Rapid City, Fullen was found in possession of a Sturm, Ruger, & Company Incorporated, model 10/22, .22 Long Rifle caliber, semi-automatic rifle with an obliterated serial number and a barrel length of less than 16 inches, which was found after Fullen came into contact with law enforcement.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The charges are merely an accusation and Fullen is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Pennington County Sheriff’s Office, and the South Dakota Highway Patrol. Assistant U.S. Attorney Benjamin Patterson is prosecuting the case.
Fullen was released pending trial. A trial date has not been set.
Providence Man Sentenced for Fraudulently Applying for COVID Unemployment BenefitsRead the Press Release
PROVIDENCE, R.I. – A Providence man who filed a fraudulent application for unemployment benefits under the Coronavirus Aid, Relief, and Economic Security (CARES) Act and the Pandemic Unemployment Assistance (PUA) program, and received more than $7,000 in ill-gotten payments, was sentenced on Tuesday to thirty days of incarceration to be followed by three months home confinement, announced United States Attorney Zachary A. Cunha and Rhode Island Attorney General Peter F. Neronha.
Deeshawn Gadson, 32, pled guilty in January to a charge of wire fraud.
In April 2020, Gadson, who lived and worked in Rhode Island, submitted online applications to the Rhode Island Department of Labor and Training (RIDLT) for benefits that had been made available by the CARES Act. In May 2020, Gadson began receiving benefits from RIDLT. He received approximately $20,302 in unemployment benefits.
Shortly after he began receiving these benefit payments from the RIDLT, Gadson submitted a fraudulent online application to the Arizona State Department of Economic Security, falsely stating that he lived and worked in Arizona. As a result, Gadson was paid $7,170 in PAU program benefits that he was not legally entitled to receive.
Gadson was sentenced today by U.S. District Court Judge William E. Smith to thirty days of incarceration to be followed by three years of federal supervised release, with the first three months to be served in home confinement with electronic monitoring. Gadson was also ordered to pay $7,170 in restitution to the Arizona State Department of Economic Safety.
This case, as well as other instances of criminal activity related to fraudulent applications for pandemic-related unemployment insurance benefits are being investigated jointly by the FBI, Rhode Island State Police, and the U.S. Department of Labor – Office of Inspector General. Cases are jointly reviewed, charged, and prosecuted by a team of prosecutors that include Assistant U.S. Attorneys Denise M. Barton, Stacey P. Veroni, and G. Michael Seaman, and Rhode Island Assistant Attorney General John M. Moreira, chief of the Rhode Island Attorney General’s Public Integrity Unit.
Rhode Islanders who believe their personal identification has been stolen and used to fraudulently obtain unemployment benefits are urged to contact the Rhode Island State Police at [email protected] or the FBI Providence office at (401) 272-8310.
On May 17, 2021, the United States Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID- 19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Previously convicted felon sentenced to 15 years in prison for federal drug trafficking, firearms offensesRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Gabriel “Karma” Blea was sentenced on Nov. 8 to a term of 15 years in prison. Blea, 25, of Albuquerque, pleaded guilty on July 13 to conspiracy to distribute methamphetamine, possession with intent to distribute 50 grams and more of methamphetamine, and possessing a firearm during and in furtherance of a drug trafficking crime.
In May of 2021, Blea set up a deal to trade approximately half a pound of methamphetamine for five firearms. Unbeknownst to Blea at the time, the other parties in the transaction were undercover agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). On May 5, 2021, in Albuquerque, Blea, driven by his co-defendant, Gabriel Villasenor, arrived at the arranged meeting location with the methamphetamine in a backpack and a loaded .45 caliber pistol in his waistband. Agents took Blea into custody, and apprehended Villasenor after a brief chase.
In his plea agreement, Blea admitted that on June 4, 2021, he fled from federal custody in an effort to avoid prosecution and sentencing in this case.
On Sept. 2, Villasenor pleaded guilty to conspiracy to distribute methamphetamine and being a felon in possession of a firearm and ammunition. As a previously convicted felon, Villasenor cannot legally possess a firearm or ammunition. By the terms of his plea agreement, Villasenor faces 92 to 115 months in prison. Sentencing is scheduled for Jan. 12, 2023.
Upon his release from prison, Blea will be subject to five years of supervised release.
ATF and the FBI Albuquerque Field Office investigated this case. Assistant United States Attorney Jaymie L. Roybal prosecuted the case.
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Phoenix Woman Sentenced to Prison for Paycheck Protection Loan FraudRead the Press Release
PHOENIX, Ariz. – Celestine Coletta Strong, 46, of Phoenix, Arizona, was sentenced October 31, 2022, by United States District Court Judge Susan M. Brnovich to five years in prison. The court also ordered Strong to pay $327,448 in restitution and surrender her 2016 Mercedes-Benz E400 and 2018 Dodge Challenger. Strong previously pleaded guilty to one count of Conspiracy to Commit Wire Fraud.
Strong fraudulently obtained loans from the CARES Act Paycheck Protection Program, a program designed to help small businesses meet their payroll obligations during the COVID-19 pandemic. Strong conspired to submit loan applications with falsified employee and wage information, fake bank statements, and other false information in an attempt to obtain 17 different loans totaling more than $3.5 million in loan proceeds. She fraudulently obtained approximately $400,000 and used the proceeds to purchase, among other items, luxury cars.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts.
Homeland Security Investigations conducted the investigation in this case, with assistance from the Treasury Inspector General for Tax Administration and the Small Business Administration Office of the Inspector General. Assistant U.S. Attorney Kevin M. Rapp, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00335-PHX-SMB
RELEASE NUMBER: 2022-203_Strong# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Owner of Cryptocurrency Company Charged with COVID-19 Paycheck Protection Program FraudRead the Press Release
A Dallas man who allegedly devised a scheme to defraud a pandemic-era financial program out of hundreds of thousands of dollars has been federally charged, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
John Corbin Corona, 35, was indicted on October 5, 2022, on one count of wire fraud and one count of money laundering. He was arrested on Monday and made his initial appearance before U.S. Magistrate Judge Toliver today.
“As millions of small business owners grappled with the fallout from the pandemic, this defendant raked in a couple hundred thousand bucks at his fellow citizens’ expense,” said U.S. Attorney Chad Meacham. “The Paycheck Protection Program, funded by taxpayers, was designed to help small businesses stay afloat during the pandemic. The Justice Department will relentlessly pursue those who defrauded the PPP.”
According to the indictment, Mr. Corona – the owner of HODL LLC, a cryptocurrency company operating a purported bitcoin pooled investment fund known as Bitcoin Bank America – fraudulently applied for two Paycheck Protection Program (PPP) loans totaling over $413,000 through BlueVine Inc. and FundBox, Inc., financial technology companies that partnered with third-party PPP lenders, including Celtic Bank.\
According to the indictment, Mr. Corona inflated HODL LLC’s payroll and misrepresented his business’s number of employees in the PPP loan applications that he submitted to BlueVine and Fundbox. In support of the PPP loan applications, he also submitted IRS Form 941s (Employer’s Quarterly Federal Tax Return) that allegedly contained false information about his business.
The indictment also alleges that after Celtic Bank deposited $206,902 in PPP loan proceeds into Mr. Corona’s bank account, Mr. Corona transferred over $155,000 in PPP loan funds to Coinbase Inc., a cryptocurrency exchange platform.
An indictment is merely an allegation of criminal conduct, not evidence. Like all defendants, Mr. Corona is presumed innocent until proven guilty in a court of law.
If convicted, he faces up to 20 years in federal prison on the count of wire fraud, and 10 years on the money laundering count. Upon conviction, he will be required to forfeit the financial proceeds of the scheme or property traceable to it.
The FBI’s Wichita Falls and Dallas field offices conducted the investigation. Assistant U.S. Attorney Fabio Leonardi is prosecuting the case.
The Paycheck Protection Program (PPP) was authorized under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a federal law enacted on March 29, 2020, to provide emergency financial assistance to Americans suffering economic hardship due to the COVID-19 pandemic. The PPP provided forgivable loans to small businesses to cover payroll, rent, and certain -other expenses.
Omega Healthcare Investors, Inc. Agrees to Pay $3 Million to Settle Civil False Claims Act AllegationsRead the Press Release
AUSTIN – Omega Healthcare Investors, Inc., as successor-in-interest to MedEquities Realty Trust, Inc. (MedEquities), has agreed to pay $3 million to resolve allegations that MedEquities violated the False Claims Act by submitting false claims to the Medicare and Medicaid programs. MRT of Lakeway TX – ACH, LLC (MRT-Lakeway) and Lakeway Realty, LLC (Lakeway Realty) are also parties to the settlement agreement.
The United States alleges that MedEquities paid kickbacks to physicians to induce them to refer patients to a hospital developed by Lakeway Regional Medical Center, LLC (LRMC). MedEquities offered the physicians a low-risk, high-reward investment in Lakeway Realty, a joint venture formed by MRT-Lakeway to purchase the hospital and lease it back to LRMC. The government contends that claims for reimbursement based on these referrals and submitted by LRMC to the Medicare and Medicaid programs between March 2, 2015 and August 31, 2016 were unlawful under the federal Anti-Kickback Statute.
The allegations in this case were initially brought by Robert Van Boven, M.D. and Sharon Van Boven in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the government for false claims and to receive a share of any recovery. The Van Boven’s qui tam suit remains under seal, subject to an order of the Court permitting the United States to disclose this settlement.
The United States previously announced a settlement with LRMC to resolve allegations regarding the hospital’s role in the alleged kickback scheme.
U.S. Attorney Ashley C. Hoff of the Western District of Texas made the announcement and thanked the Department of Health and Human Services Office of Inspector General and the Civil Medicaid Fraud Division of the Office of the Attorney General of Texas for their assistance.
Assistant U.S. Attorneys Thomas Parnham and Samuel Shapiro represented the United States in the settlement.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
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Old Saybrook Contractor Pleads Guilty to Tax EvasionRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Joleen D. Simpson, Special Agent in Charge of IRS Criminal Investigation in New England, announced that DIMITRIOS KASSIMIS, also known as Jimmy Kassimis, 58, of Old Saybrook, waived his right to be indicted and pleaded guilty today before U.S. District Judge Omar A. Williams in Hartford to one count of tax evasion.
According to court documents and statements made in court, Kassimis owns and operates various entities related to his construction business, including Allstate Contracting Group and JRC Renovations. Between 2018 and 2021, Kassimis received substantial income from his businesses but did not file any personal or business federal income tax returns, and also did not file any employment tax returns for his businesses. The investigation revealed that Kassimis did not have any personal bank accounts and paid all of his personal expenses through his business bank accounts, and also made cash withdrawals from the business accounts at casinos for personal expenses. He also cashed checks made payable to his businesses at a check cashing business in New York and failed to report that income. In addition, he did not issue IRS Forms 1099 or W-2 to his employees and paid at least some employees in cash.
The tax loss to the IRS for the 2018 through 2021 tax years was $233,086.87.
At sentencing, which is not scheduled, Kassimis faces a maximum term of imprisonment of five years.
This investigation has been conducted by the Internal Revenue Service, Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney David T. Huang.
Northern Michigan Man Sentenced for Leaving Pipe Bombs at Cell Phone Stores as Part of a $5 Million Extortion PlotRead the Press Release
BAY CITY – A Whittemore, Michigan, resident was sentenced today to 75 months on two separate criminal cases related to a $5 million extortion plot using shrapnel-filled pipe bombs the defendant placed outside cellphone stores in Cheboygan, and Sault Ste Marie, Michigan, announced Eastern District of Michigan United States Attorney Dawn N. Ison and Western District of Michigan United States Attorney Mark Totten. Whittemore and Cheboygan are in the Eastern District and Sault Ste. Marie is in the Western District.
Ison and Totten were joined in the announcement by Special Agent in Charge James A. Tarasca, Federal Bureau of Investigation, Detroit Division.
John Douglas Allen, 76, was sentenced before United States District Judge Thomas Ludington in Bay City, Michigan. Allen had pleaded guilty to extortion by wrongful use of force, violence, and fear, as well as two counts of attempted destruction of a building using an explosive device in July.
According to court records, Allen admitted that on September 15, 2021, at approximately 7:36 pm, he placed a United States Postal Service (USPS) box with black tape on it and a wire coming out of it outside an AT&T Store in Sault Ste. Marie, Michigan. Later that evening, Allen placed another USPS box with black tape on it and a wire coming out of it outside of a Verizon Store in Cheboygan, Michigan. The two devices were examined by the FBI laboratory Explosive Unit, which concluded that the two devices were improvised explosive devices (IEDs), also commonly referred to as pipe bombs. Both pipe bombs contained shrapnel. In addition, threat notes demanding $5 million were placed on cell phone towers in the area as well as mailed to the telecommunications companies. Based on video footage taken from the cell phone stores and other nearby businesses, as well as an exhaustive investigation by law enforcement, agents were able to determine that Allen was the person who left the packages outside of the stores. The defendant claimed that he was motivated by what he viewed as immoral content being spread on the internet and cellphones.
In addition, Allen pleaded guilty to placing letters containing threats aimed at telecommunications providers at cell towers located in the Upper Peninsula.
“This defendant sought to use terror, threats, and bombs to scare ordinary people going about their business,” stated U.S. Attorney Ison. “We will not tolerate individuals who use fear to try to line their own pockets.”
“A top priority for my office is ensuring the safety of our communities,” said U.S. Attorney Mark “Totten. “Allen’s actions in placing pipe bombs in front of commercial businesses endangered not only the lives of innocent individuals, but also our first responders and the bomb technicians who rendered those devices safe. My office will continue to aggressively pursue individuals for crimes like this that put our first responders and communities at risk.”
“Today’s sentence demonstrates the gravity of the defendant’s egregious behavior to place the lives of innocent citizens at risk in order to extort money from companies,” said James A. Tarasca, Special Agent in Charge of the FBI in Michigan. “This coordinated effort by local, state, tribal, and federal law enforcement agencies across Michigan helped protect communities from being further victimized and sends a clear message that crime does not pay.”
This case was investigated by special agents, intelligence analysts, troopers, deputies, and officers from the FBI, Michigan State Police, Cheboygan County Sheriff's Office, Cheboygan Police Department, Sault Ste. Marie Police Department, Sault Ste. Marie Tribal Police, the US Coast Guard Investigative Service, US Border Patrol and ATF.
Assistant U.S. Attorneys J. Michael Buckley, Jerome Gorgon, Christopher O’Connor and Theodore Greeley are prosecuting the case in their respective districts.
Northern Michigan Man Sentenced for Leaving Pipe Bombs at Cell Phone Stores as Part of A $5 Million Extortion PlotRead the Press Release
BAY CITY – A Whittemore, Michigan, resident was sentenced today to 75 months on two separate criminal cases related to a $5 million extortion plot using shrapnel-filled pipe bombs the defendant placed outside cellphone stores in Cheboygan, and Sault Ste Marie, Michigan, announced Eastern District of Michigan United States Attorney Dawn N. Ison and Western District of Michigan United States Attorney Mark Totten. Whittemore and Cheboygan are in the Eastern District and Sault Ste. Marie is in the Western District.
Ison and Totten were joined in the announcement by Special Agent in Charge James A. Tarasca, Federal Bureau of Investigation, Detroit Division.
John Douglas Allen, 76, was sentenced before United States District Judge Thomas Ludington in Bay City, Michigan. Allen had pleaded guilty to extortion by wrongful use of force, violence, and fear, as well as two counts of attempted destruction of a building using an explosive device in July.
According to court records, Allen admitted that on September 15, 2021, at approximately 7:36 pm, he placed a United States Postal Service (USPS) box with black tape on it and a wire coming out of it outside an AT&T Store in Sault Ste. Marie, Michigan. Later that evening, Allen placed another USPS box with black tape on it and a wire coming out of it outside of a Verizon Store in Cheboygan, Michigan. The two devices were examined by the FBI laboratory Explosive Unit, which concluded that the two devices were improvised explosive devices (IEDs), also commonly referred to as pipe bombs. Both pipe bombs contained shrapnel. In addition, threat notes demanding $5 million were placed on cell phone towers in the area as well as mailed to the telecommunications companies. Based on video footage taken from the cell phone stores and other nearby businesses, as well as an exhaustive investigation by law enforcement, agents were able to determine that Allen was the person who left the packages outside of the stores. The defendant claimed that he was motivated by what he viewed as immoral content being spread on the internet and cellphones.
In addition, Allen pleaded guilty to placing letters containing threats aimed at telecommunications providers at cell towers located in the Upper Peninsula.
“A top priority for my office is ensuring the safety of our communities,” said U.S. Attorney Mark “Totten. “Allen’s actions in placing pipe bombs in front of commercial businesses endangered not only the lives of innocent individuals, but also our first responders and the bomb technicians who rendered those devices safe. My office will continue to aggressively pursue individuals for crimes like this that put our first responders and communities at risk.”
“This defendant sought to use terror, threats, and bombs to scare ordinary people going about their business,” stated U.S. Attorney Ison. “We will not tolerate individuals who use fear to try to line their own pockets.”
“Today’s sentence demonstrates the gravity of the defendant’s egregious behavior to place the lives of innocent citizens at risk in order to extort money from companies,” said James A. Tarasca, Special Agent in Charge of the FBI in Michigan. “This coordinated effort by local, state, tribal, and federal law enforcement agencies across Michigan helped protect communities from being further victimized and sends a clear message that crime does not pay.”
This case was investigated by special agents, intelligence analysts, troopers, deputies, and officers from the FBI, Michigan State Police, Cheboygan County Sheriff's Office, Cheboygan Police Department, Sault Ste. Marie Police Department, Sault Ste. Marie Tribal Police, the US Coast Guard Investigative Service, US Border Patrol and ATF.
Assistant U.S. Attorneys J. Michael Buckley, Jerome Gorgon, Christopher O’Connor and Theodore Greeley are prosecuting the case in their respective districts.
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North Carolina Man Convicted in Scheme to Use Stolen Identities to Obtain COVID-19 Relief MoniesRead the Press Release
New Bern, N.C. – Dexter Duncan, 24, pleaded guilty yesterday to conspiracy to commit money laundering with respect to the fraudulent proceeds of Economic Injury Disaster Loan (“EIDL”) COVID-19 loans guaranteed by the Small Business Administration. Duncan faces up to 20 years in prison when sentenced next year in addition to restitution and a potential fine.
“This defendant used stolen identities to pilfer money our nation set aside to help small businesses crippled by the pandemic,” said U.S. Attorney Michael Easley. “He squirreled the funds into bank accounts under his control for his personal benefit and or under the control of his co-conspirators. My office will continue to partner with law enforcement at every level to hold COVID fraudsters accountable for their misuse and abuse of taxpayer dollars.”
As part of his scheme to defraud, Duncan used stolen personal identities to apply for EIDL benefits. Each loan application submitted by Duncan contained false statements, misrepresentations and omissions related to, among other things, income, employment, and claimed business entities. Duncan signed various financial documents, including loan and security agreements, using stolen identities that Duncan obtained from a co-conspirator. Duncan deposited the loan funds into his personal bank account and other bank accounts within his control. In total, Duncan received $180,900 in fraudulent loan proceeds.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after United States Magistrate Judge Robert B. Jones, Jr. accepted the plea. Internal Revenue Service (IRS) Criminal Investigation is leading the investigation. Special Assistant U.S. Attorney Lisa K. Labresh and Assistant U.S. Attorney Aakash Singh are prosecuting the case.
The Eastern District of North Carolina’s COVID Task Force is a part of an effort to coordinate COVID-related fraud investigations and prosecutions in Eastern North Carolina. On May 17, 2021, the United States Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
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. 5:22-cr-00196-FL.
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Niagara Falls Woman Pleads Guilty to Stealing Hundreds of Thousands of Dollars from Investment Firm ClientsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Jennifer Campbell, 47, of Niagara Falls, NY, pleaded guilty to wire fraud before U.S. District Judge Lawrence J. Vilardo. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Douglas A. C. Penrose, who is handling the case, stated that Campbell was employed as the Office Manager and Chief Compliance Officer at an investment advisory firm based in Buffalo, with access to client accounts. Between November 2018, and May 2021, Campbell used this access to steal over $500,000 from several clients and from the firm itself, primarily by writing checks from client accounts, forging the signatures of either the client or a principal at the firm, and then depositing the checks into her own personal account.
Campbell took various steps to conceal her theft. In one instance, she sent a victim a falsified account statement that purported to show an account balance of approximately $148,000, when in fact the account at the time had a balance of only $93. In another instance, Campbell took funds from a client and transferred them to the bank account of one of her earlier victims. Finally, Campbell gained access to the email accounts of the firm’s principals and diverted emails that they received from anti-money laundering and financial crimes personnel at the firm’s broker-dealer, who had begun to raise questions about some of the transactions that Campbell had engaged in. In an effort to put off these inquiries, Campbell sent several emails using the email account of a firm principal. In these emails, Campbell made various false statements and submitted fake documentation in an effort to make the transactions appear legitimate.
The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Thomas Fattorusso, and the Federal Bureau of Investigation, under the direction of Acting Special Agent-in-Charge Michael Stansbury.
Sentencing is scheduled for February 27, 2023, at 1:00 p.m. before Judge Vilardo
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New Orleans Man Sentenced for Theft of Mail and Unlawful Possession of a Postal KeyRead the Press Release
NEW ORLEANS, LA – United States District Judge Susie Morgan sentenced KYLE ARMSTRONG, 20, of New Orleans, Louisiana, on November 8, 2022 to three (3) years probation for theft or receipt of stolen mail matter in violation of Title 18, United States Code, Sections 1708 and 2 and with unlawful possession of a postal key in violation of Title 18, United States Code, Sections 1704 and 2, announced U.S. Attorney Duane A. Evans.
In July, 2022, ARMSTONG was indicted for theft or receipt of stolen mail matter and unlawful possession of a postal key
District Judge Morgan sentenced ARMSTRONG to three (3) years probation. She also ordered that ARMSTRONG pay a $200 mandatory special assessment fee.
U. S. Attorney Evans praised the work of the U.S. Postal Service Inspection Service and the Jefferson Parish Sheriff’s Office in investigating this matter. The case is being prosecuted by U. S. Attorneys Rachal Cassagne and Dall Kammer.
Navajo Nation Women Sentenced to Prison for Child AbuseRead the Press Release
SALT LAKE CITY – Teresa Red Bird, 52, and her daughter, Ocianna Red Bird, 23, both of Montezuma Creek, and enrolled members of the Navajo Nation living within the boundaries of the Navajo Nation, were sentenced to federal prison after pleading guilty to felony child abuse within Indian Country. Teresa Red Bird was sentenced to 10 months in federal prison followed by 36 months of supervised release. Ocianna Red Bird was sentenced to six months in federal prison followed by 24 months of supervised release.
According to the information contained in the plea agreements, Teresa Red Bird admitted that on numerous occasions, she knowingly and intentionally hit a 14-year-old victim who was living with her and who was under her care; that she failed to ensure that the victim ate properly; and that she caused serious physical injury to the victim. Ocianna Red Bird admitted to knowingly and intentionally hitting, confining, and withholding food, from the same 14-year-old victim who was living in her mother’s home. Ocianna Red Bird also admitted that she was aware that her conduct caused serious physical injury to the victim.
This case was prosecuted by Assistant United States Attorney Tad May from the District of Utah and was investigated by the Navajo Nation Police and the FBI.
Naschitti man charged with involuntary manslaughter in Indian CountryRead 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 today that Donavan Henry made an initial appearance in federal court on Nov. 8 facing a charge of involuntary manslaughter in Indian Country. Henry, 39, of Naschitti, New Mexico, and an enrolled member of the Navajo Nation, will remain on conditions of release pending a preliminary hearing scheduled for Nov. 14.
According to a criminal complaint, on Nov. 2, Henry allegedly was driving east on Route 134 in Sheep Springs, New Mexico, with two passengers when he lost control of his vehicle. The vehicle went off the road into shrubs, rocks and boulders. The vehicle flipped when it hit a boulder, and all three passengers were ejected from the vehicle. A Navajo Police officer arrived to find Henry underneath the vehicle and his passengers lying on the ground near the vehicle.
Henry was airlifted to San Juna Regional Medical Center. The passenger from the front seat, John Doe 1, who is also a member of the Navajo Nation, was placed in an ambulance bound for Northern Navajo Medical Center. The passenger from the back seat, John Doe 2, was placed in an ambulance going to Gallup Indian Medical Center. John Doe 1 died of his injuries while in the back of the ambulance before it left the scene.
Henry’s blood alcohol content allegedly was .16.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Henry faces up to eight years in prison.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and the New Mexico Office of the Medical Investigator. Assistant United States Attorney Zachary Jones is prosecuting the case.
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Missouri Man Charged in Bank RobberiesRead the Press Release
KANSAS CITY, KAN. – A Missouri man has been charged by criminal complaint with one count of bank robbery and one count of attempted bank robbery.According to the complaint, Lucas John Royce Spies, 27, of Harrisonville, Missouri, allegedly used an intimidating note in an attempt to rob Bank Midwest on West 119th Street in Olathe, Kansas, on November 7, 2022. Spies is also accused of robbing U.S. Bank on West 119th Street in Olathe, Kansas, a short time later the same day.
The Federal Bureau of Investigation (FBI) and the Olathe Police Department are investigating the case.
Assistant U.S. Attorney Kim Flannigan is prosecuting the case.
A complaint or indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Mission Man Charged with Failure to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Jeffery Leo Larvie, age 40, was indicted in November of 2022. He appeared before U.S. Magistrate Judge Veronica L. Duffy on November 9, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that Larvie, who had previously been convicted of a sex crime and required to register under the Sex Offender Registration and Notification Act, failed to do so between August 5, 2022, and October 20, 2022.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The charge is merely an accusation and Larvie is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Larvie was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Meridian Man Sentenced to 37 Months in Prison for Possession with Intent to Distribute CocaineRead the Press Release
Jackson, Miss. - A Meridian man was sentenced today to three years and one month in prison for possession with intent to distribute cocaine, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation.
According to court documents, James Arther Williams, 71, was found in possession of crack cocaine, which he intended to sell, in his residence by officers of the Meridian Police Department on August 28, 2019, during the execution of a search warrant.
The Meridian Police Department and the FBI 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.
Maryland Nuclear Engineer and his wife sentenced for Espionage-Related OffensesRead the Press Release
WASHINGTON – A Maryland man and his wife were sentenced today for conspiracy to communicate Restricted Data related to the design of nuclear-powered warships.
Jonathan Toebbe, 44, of Annapolis, was sentenced today to 19 years and 4 months of incarceration and fined $45,700. His wife, Diana Toebbe, 46, was sentenced to 21 years and 10 months of incarceration and fined $50,000. The Toebbes pleaded guilty to the conspiracy in August 2022.
“If not for the remarkable efforts of FBI agents, the sensitive data stolen by Mr. Toebbe could have ended up in the hands of an adversary of the United States and put the safety of our military and our nation at risk,” said U.S. Attorney Ihlenfeld. “The FBI keeps American citizens safe from enemies both foreign and domestic and this case is an excellent reminder of their important work.”
“The Toebbes were willing to compromise the security of the nation by selling information related to naval nuclear propulsion systems. They are now being held accountable for their actions,” said FBI Pittsburgh Special Agent in Charge Mike Nordwall. “The FBI and our federal partners have an unwavering commitment to protect U.S. secrets and will continue to aggressively investigate and expose espionage activities conducted on U.S. soil.”
According to court documents, at the time of his arrest, Jonathan Toebbe was an employee of the Department of the Navy who served as a nuclear engineer and was assigned to the Naval Nuclear Propulsion Program, also known as Naval Reactors. He held an active national security clearance through the Department of Defense, giving him access to “Restricted Data” within the meaning of the Atomic Energy Act. Restricted Data concerns design, manufacture or utilization of atomic weapons, or production of Special Nuclear Material (SNM), or use of SNM in the production of energy – such as naval reactors. Jonathan Toebbe worked with and had access to information concerning naval nuclear propulsion including information related to military sensitive design elements, operating parameters and performance characteristics of the reactors for nuclear powered warships.
According to court documents, Jonathan Toebbe sent a package to a foreign government, listing a return address in Pittsburgh, Pennsylvania, containing a sample of Restricted Data and instructions for establishing a covert relationship to purchase additional Restricted Data. Jonathan Toebbe began corresponding via encrypted email with an individual whom he believed to be a representative of the foreign government. The individual was really an undercover FBI agent. Jonathan Toebbe continued this correspondence for several months, which led to an agreement to sell Restricted Data in exchange for thousands of dollars in cryptocurrency.
On June 8, 2021, the undercover agent sent $10,000 in cryptocurrency to Jonathan Toebbe as “good faith” payment. Shortly afterwards, on June 26, Jonathan Toebbe serviced a dead drop by placing an SD card, which was concealed within half a peanut butter sandwich and contained military sensitive design elements relating to submarine nuclear reactors, at a pre-arranged location. After retrieving the SD card, the undercover agent sent Jonathan Toebbe a $20,000 cryptocurrency payment. In return, Jonathan Toebbe emailed the undercover agent a decryption key for the SD Card. A review of the SD card revealed that it contained Restricted Data related to submarine nuclear reactors. On Aug. 28, Jonathan Toebbe made another “dead drop” of an SD card in eastern Virginia, this time concealing the card in a chewing gum package. After making a payment to Jonathan Toebbe of $70,000 in cryptocurrency, the FBI received a decryption key for the card. It, too, contained Restricted Data related to submarine nuclear reactors. The FBI arrested Jonathan Toebbe and his wife on Oct. 9, after he placed yet another SD card at a pre-arranged “dead drop” at a second location in West Virginia.
The FBI and NCIS are investigating the case.
Trial Attorneys Matthew J. McKenzie and S. Derek Shugert of the National Security Division's Counterintelligence and Export Control Section, Assistant U.S. Attorneys Jarod J. Douglas and Lara Omps-Botteicher of the Northern District of West Virginia, and Special Assistant U.S. Attorney Jessica Lieber Smolar for the Western District of Pennsylvania prosecuted the case.
Maryland Nuclear Engineer and Wife Sentenced for Espionage-Related OffensesRead the Press Release
A Maryland man and his wife were sentenced today for conspiracy to communicate Restricted Data related to the design of nuclear-powered warships.
Jonathan Toebbe, 44, of Annapolis, was sentenced today to 232 months, over 19 years, of incarceration. His wife, Diana Toebbe, 46, was sentenced to 262 months, more than 21 years, of incarceration. The Toebbes pleaded guilty to the conspiracy in August 2022.
“The Toebbes conspired to sell restricted defense information that would place the lives of our men and women in uniform and the security of the United States at risk,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Department of Justice remains committed to protecting U.S. defense technology.”
“If not for the remarkable efforts of FBI agents, the sensitive data stolen by Mr. Toebbe could have ended up in the hands of an adversary of the United States and put the safety of our military and our nation at risk,” said U.S. Attorney William J. Ihlenfeld II for the Northern District of West Virginia. “The FBI keeps American citizens safe from enemies both foreign and domestic and this case is an excellent reminder of their important work.”
“These actions are a betrayal of trust, not only to the U.S. Government, but also to the American people,” said Assistant Director Alan E. Kohler Jr. of the FBI’s Counterintelligence Division. “All U.S. Government employees swear to support and defend the Constitution of the United States, and with that oath comes the obligation to protect sensitive information. Those entrusted with such grave responsibility must be held accountable if they violate their oath and betray their country. The investigation which led to today’s sentencing is a reminder that the FBI and our partners will continue to doggedly pursue those who betray their sworn oath and those who aid them.”
“The Toebbes were willing to compromise the security of the nation by selling information related to naval nuclear propulsion systems, they are now being held accountable for their actions,” said Special Agent in Charge Mike Nordwall of the FBI Pittsburgh Field Office. “The FBI and our federal partners have an unwavering commitment to protect U.S. secrets and will continue to aggressively investigate and expose espionage activities conducted on U.S. soil.”
“Naval nuclear engineer Jonathan Toebbe was entrusted with our nation’s critical secrets and, along with his wife Diana Toebbe, put the security of our country at risk for financial gain,” said U.S. Attorney Cindy Chung for the Western District of Pennsylvania. “Their serious criminal conduct betrayed and endangered the Department of the Navy’s loyal and selfless service members. The seriousness of the offense in this case cannot be overstated.”
“The Toebbes betrayed the American people and put our national security at significant risk when they selfishly attempted to sell highly sensitive information related to nuclear-powered warships for their own financial benefit,” said Special Agent in Charge Brice Miller of the Naval Criminal Investigative Service (NCIS) Office of Special Projects. “As the law enforcement arm of the Department of the Navy responsible for preventing terrorism, reducing crime, and protecting secrets, NCIS remains committed to protecting vital information and technology that ensures the superiority of the U.S. Navy and Marine Corps.”
According to court documents, at the time of his arrest, Jonathan Toebbe was an employee of the Department of the Navy who served as a nuclear engineer and was assigned to the Naval Nuclear Propulsion Program, also known as Naval Reactors. He held an active national security clearance through the Department of Defense, giving him access to “Restricted Data” within the meaning of the Atomic Energy Act. Restricted Data concerns design, manufacture or utilization of atomic weapons, or production of Special Nuclear Material (SNM), or use of SNM in the production of energy – such as naval reactors. Jonathan Toebbe worked with and had access to information concerning naval nuclear propulsion including information related to military sensitive design elements, operating parameters and performance characteristics of the reactors for nuclear powered warships.
According to court documents, Jonathan Toebbe sent a package to a foreign government, listing a return address in Pittsburgh, Pennsylvania, containing a sample of Restricted Data and instructions for establishing a covert relationship to purchase additional Restricted Data. Jonathan Toebbe began corresponding via encrypted email with an individual whom he believed to be a representative of the foreign government. The individual was really an undercover FBI agent. Jonathan Toebbe continued this correspondence for several months, which led to an agreement to sell Restricted Data in exchange for thousands of dollars in cryptocurrency.
On June 8, 2021, the undercover agent sent $10,000 in cryptocurrency to Jonathan Toebbe as “good faith” payment. Shortly afterwards, on June 26, Jonathan Toebbe serviced a dead drop by placing an SD card, which was concealed within half a peanut butter sandwich and contained military sensitive design elements relating to submarine nuclear reactors, at a pre-arranged location. After retrieving the SD card, the undercover agent sent Jonathan Toebbe a $20,000 cryptocurrency payment. In return, Jonathan Toebbe emailed the undercover agent a decryption key for the SD Card. A review of the SD card revealed that it contained Restricted Data related to submarine nuclear reactors. On Aug. 28, 2021, Jonathan Toebbe made another “dead drop” of an SD card in eastern Virginia, this time concealing the card in a chewing gum package. After making a payment to Jonathan Toebbe of $70,000 in cryptocurrency, the FBI received a decryption key for the card. It, too, contained Restricted Data related to submarine nuclear reactors. The FBI arrested Jonathan Toebbe and his wife on Oct. 9, 2021 after he placed yet another SD card at a pre-arranged “dead drop” at a second location in West Virginia.
The FBI and NCIS are investigating the case.
Trial Attorneys Matthew J. McKenzie and S. Derek Shugert of the National Security Division's Counterintelligence and Export Control Section, Assistant U.S. Attorneys Jarod J. Douglas and Lara Omps-Botteicher for the Northern District of West Virginia and Special Assistant U.S. Attorney Jessica Lieber Smolar for the Western District of Pennsylvania prosecuted the case.
Martin Man Charged with Failure to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a Martin, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Steven Flood, age 37, was indicted in November of 2022. He appeared before U.S. Magistrate Judge Veronica L. Duffy on November 8, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that Flood, who had previously been convicted of a sex crime and required to register under the Sex Offender Registration and Notification Act, failed to do so between June 15, 2022, and August 4, 2022.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The charge is merely an accusation and Flood is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Flood was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Maplewood Man Pleads Guilty to Illegal Possession of an Unregistered Pipe BombRead the Press Release
MINNEAPOLIS – A Maplewood man has pleaded guilty to illegal possession of a pipe bomb, announced U.S. Attorney Andrew M. Luger.
According to court documents, on April 28, 2022, law enforcement executed a search warrant at the Maplewood residence of Dylan Raymond Orr, 27, after discovering photos of two pipe bombs sent from Orr’s phone to a third-party. The images showed that there were small BBs affixed to the exterior casing of the pipe bombs. During the execution of the search warrant, law enforcement discovered two six-inch pipes – one with BBs affixed, 4 end caps, and explosive powder, components which could be readily converted to a destructive device. Orr did not have a registration to possess these devices from the National Firearms Registration and Transfer Record as required by law.
Orr pleaded guilty today before U.S. District Judge Nancy E. Brasel to one count of possession of an unregistered destructive device. A sentencing hearing will be scheduled at a later time.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Savage Police Department.
Assistant U.S. Attorney LeeAnn K. Bell is prosecuting the case.
Man Sentenced to More Than 17 Years in Prison for Attempting to Provide Material Support to ISISRead the Press Release
A Pennsylvania man was sentenced yesterday to 208 months, more than 17 years, in federal prison, followed by a lifetime of supervised release, for attempting to provide material support to the Islamic State of Iraq and al-Sham, aka ISIS, a designated foreign terrorist organization.
Mustafa Mousab Alowemer, 24, of Pittsburgh, pleaded guilty in the Western District of Pennsylvania on Sept. 16, 2021 to one count of attempting to provide material support to ISIS in connection with his plan to attack a church in Pittsburgh.
“Alowemer admitted to planning a deadly bombing of a Pittsburgh church in the name of ISIS,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The National Security Division was created to protect the nation from terrorist threats and we remain vigilant against those who would plot violent attacks on U.S. soil in furtherance of an extreme ideology.”
“The defendant’s plan to bomb a Pittsburgh church and risk death or injury to residents in the area in the name of ISIS was thwarted by the extraordinary work of the Pittsburgh Joint Terrorism Task Force,” said U.S. Attorney Cindy K. Chung for the Western District of Pennsylvania. “Our office will continue to hold accountable individuals who threaten the safety of our communities.”
“I want to commend the great work of our Joint Terrorism Task Force, and that of their partners and sources, in successfully thwarting a planned terrorist attack in the name of ISIS,” said Assistant Director Robert R. Wells of the FBI’s Counterterrorism Division. “Alowemer’s plan to conduct an attack at a church in Pittsburgh and inspire other ISIS supporters in the United States was unsuccessful thanks to the efforts of law enforcement officials at both the federal and state level. This sentencing demonstrates the commitment we share with our partners to pursuing justice against those who violate our laws and seek to harm innocents in our communities.”
According to court documents, Alowemer plotted to bomb a church located on the north side of Pittsburgh using an explosive device. His stated motivation to conduct such an attack was to support the cause of ISIS and to inspire other ISIS supporters in the United States to join together and commit similar acts in the name of ISIS. Alowemer also targeted the church, which he described as a “Nigerian Christian” church, to “take revenge for our [ISIS] brothers in Nigeria.” Alowemer was aware that numerous people in the proximity of the church could be killed by the explosion.
In furtherance of the plot to bomb the church, in May 2019, Alowemer distributed multiple instructional documents related to the construction and use of explosives and improvised explosive devices (IEDs) to an individual Alowemer believed to be a fellow ISIS supporter, but who was in fact an FBI employee. Alowemer distributed these documents with the intent that the information be used in the assembly of a destructive device and in furtherance of conducting an attack in support of ISIS. In or around June 2019, Alowemer purchased several items, including nails and acetone (nail polish remover), with the belief that they were necessary to assemble a destructive device and with the intention they be used to construct the explosives that would be detonated in the vicinity of the church.
Between April 16 and June 11, Alowemer met four times in person with an FBI Undercover Employee (UCE) and/or an FBI Confidential Human Source (CHS). At the June 11 meeting with the UCE and CHS, Alowemer provided additional details about the bomb plot and provided the materials, including boxes of nails, he had purchased for construction of the device. Alowemer provided printed copies of detailed Google satellite maps, which included hand-written markings identifying the church and routes of arrival and escape. Alowemer also wrote and provided a 10-point handwritten plan outlining details related to his plot to personally deliver explosives in a backpack. Alowemer expressed a desire to meet one more time to conduct planning and coordination prior to carrying out the attempted bombing in July 2019. That meeting was later scheduled for June 19 in the Pittsburgh area, at which time Alowemer was arrested.
Assistant U.S. Attorney Soo C. Song for the Western District of Pennsylvania and Trial Attorneys Brenda Sue Thornton and S. Elisa Poteat of the National Security Division’s Counterterrorism Section are prosecuting this case on behalf of the government.
The FBI’s Joint Terrorism Task Force members who were directly involved in this investigation include: FBI, U.S. Immigration and Customs Enforcement (ICE), U.S. Citizen and Immigration Services (USCIS), Homeland Security Investigations (HSI), IRS – Criminal Investigation, U.S. Secret Service, U.S. Postal Inspection Service, Pennsylvania State Police, Allegheny County Police Department, Pittsburgh Bureau of Police, Allegheny County Port Authority Police, Allegheny County Probation, University of Pittsburgh Police Department and UPMC Police Security.
Man Sentenced to 14 Years in Federal Prison for Possessing a Firearm in Furtherance of a Drug Trafficking OffenseRead the Press Release
CHICAGO — A man who possessed and brandished a loaded firearm to protect his heroin, fentanyl, and approximately $3,100 in cash has been sentenced to 14 years in federal prison.
On February 23, 2019, LONDON GROVER, 32, of Chicago pointed a firearm at someone attempting to steal the heroin and fentanyl that Grover held for sale. When Chicago Police Department officers responded to a call for shots fired, Grover drove away from the officers at a high rate of speed. After Grover crashed the vehicle, officers found him hiding underneath a nearby parked car. From the driver’s side floorboard of the crashed vehicle, officers recovered a loaded firearm and packages of mixed fentanyl and heroin. Grover pleaded guilty earlier this year to knowingly and intentionally possessing with the intent to distribute approximately 1.3 grams of packaged heroin and fentanyl and possession of a firearm in furtherance of a drug trafficking crime. At the time of the offense, GROVER had six prior felony convictions, and was on parole for an offense involving a firearm.
On November 7, 2022, U.S. District Judge Edmond E. Chang imposed a 14-year prison sentence.
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 & Explosives; and David Brown, Superintendent of the Chicago Police Department. The government was represented by Assistant U.S. Attorney William Dunne, Deputy Chief of the U.S. Attorney’s Office’s Gun Crimes Prosecution Team. The team works collaboratively with federal and local law enforcement to enhance the prosecution of illegal firearm possession in certain police districts in Chicago.
Man Pleads Guilty to Committing Second Degree Murder in Indian CountryRead the Press Release
A defendant who killed another man just outside a Walmart store in Tulsa pleaded guilty Wednesday in federal court, announced U.S. Attorney Clint Johnson.
Terry Danell Limose, 37, pleaded guilty to second degree murder in Indian Country.
Limose admitted in his plea agreement that he killed victim Jessie Childers by strangulation around 4 am on Nov. 13, 2021. He stated that he strangled the victim for several minutes before the victim died.
Tulsa Police officers were called to the scene after receiving reports that a deceased man was found just outside of the store. Several witnesses reported seeing a man, later identified as Limose, in the parking lot during the time of the crime. One witness even observed the two men fighting. Officers later located Limose hiding in a grassy creek area behind the store with apparent minor injuries.
During the investigation, officers located surveillance video from a nearby business that showed Limose following the victim prior to the murder and throwing rocks and chunks of pavement at him, hitting him multiple times. The victim attempted to scare Limose away with a metal rod and piece of wood he was carrying.
The defendant followed the victim, who had picked up one of the chunks of rock, to the Walmart parking lot. Walmart surveillance video showed the victim throw the rock toward the store’s door and attempt to get help by banging on the window, to no avail. Limose appeared to have trapped the victim by the front door. After approximately six minutes, Limose began fighting the victim and eventually threw the victim to the ground. Limose was on top of the victim for approximately seven minutes before he got off of him. During that time, he strangled the victim, killing him. He then started to walk away when he encountered two other men. They checked on the victim. The other two men left the scene, and Limose attempted to perform CPR on the victim.
The victim was a citizen of the Muscogee Nation, and the crime occurred within the Muscogee Nation reservation.
The FBI and Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Aaron M. Jolly prosecuted the case.
Man Indicted in Connection with Attempted Kidnapping and Assault at Pelosi ResidenceRead the Press Release
A federal grand jury returned an indictment today charging a California man with assault and attempted kidnapping in connection with the break in at the Pelosi residence on Oct. 28 in San Francisco.
The indictment supersedes the federal criminal complaint filed on Oct. 31.
According to the indictment, David DePape, 42, of Richmond, was arrested on Oct. 28 inside the Pelosi residence by San Francisco Police Department (SFPD) police officers responding to a 911 call from Paul Pelosi, husband of U.S. House of Representatives Speaker Nancy Pelosi. Paul Pelosi later described to police that he had been asleep when DePape, whom he had never seen before, entered his bedroom looking for Nancy Pelosi.
According to the indictment, minutes after the 911 call, two police officers responded to the Pelosi residence where they encountered Paul Pelosi and DePape struggling over a hammer. Officers told the men to drop the hammer, and DePape allegedly gained control of the hammer and swung it, striking Pelosi in the head. Officers immediately restrained DePape while Pelosi was injured on the ground. As set forth in the indictment, once DePape was restrained, officers secured a roll of tape, white rope, a second hammer, a pair of rubber and cloth gloves, and zip ties from the crime scene, where officers also observed a broken glass door to the back porch.
DePape is charged with one count of assault upon an immediate family member of a U.S. official with the intent to retaliate against the official on account of the performance of official duties. He is also charged with one count of attempted kidnapping of a U.S. official on account of the performance of official duties. If convicted, he faces a maximum sentence of 30 years in prison for the assault count and 20 years in prison for the attempted kidnapping count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Stephanie M. Hinds for the Northern District of California, Special Agent in Charge Robert K. Tripp of the FBI San Francisco Field Office, and Chief J. Thomas Manger of the U.S. Capitol Police made the announcement.
The FBI San Francisco Field Office, the U.S. Capitol Police, and the San Francisco Police Department are investigating the case.
The Special Prosecutions Section of the U.S. Attorney’s Office for the Northern District of California is prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Man Indicted for Smuggling 71 Pounds of Fentanyl Pills Across the US-Mexico BorderRead the Press Release
PHOENIX, Ariz. – On October 25, 2022, a federal grand jury returned a two-count indictment against Edwin Francisco Cubillas, 27, of Mexico, for Possession with Intent to Distribute Fentanyl and Importation of Fentanyl into the United States from Mexico.
The indictment alleges that, on September 26, 2022, Cubillas entered the United States through San Luis, Arizona. At the Port of Entry, Customs and Border Protection Officers discovered 16 packages, containing blue circular pills that tested positive for fentanyl, hidden in Cubillas’s car. The combined weight of the packages exceeded 32 kilograms (71 pounds).
A conviction for each of the charged offenses carries a maximum penalty of life in prison and a $10,000,000 fine.
An indictment is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
Homeland Security Investigations is conducting the investigation in this case. The United States Attorney’s Office, District of Arizona, Phoenix, is handling the prosecution.
CASE NUMBER: CR-22-01400-PHX-DWL
RELEASE NUMBER: 2022-204_Cubillas# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Man Found Guilty of 19 Counts of Child PornographyRead the Press Release
SAN JUAN, Puerto Rico – After a seven-day jury trial, Francisco Xavier Ortiz-Colón was found guilty of 19 counts, including nine counts of production of child pornography, eight counts of coercion and enticement of a minor to engage in sexual conduct, one count of receipt of child pornography, and one count of possession of child pornography. United States District Court Chief Judge Raúl Arias Marxuach presided over the trial.
According to the Superseding Indictment, from August 2019 through June 2020, Ortiz-Colón induced, enticed, and coerced nine female victims, ranging from nine (9) to fourteen (14) years of age, to engage in sexually explicit conduct for the purpose of producing child pornography. Ortiz‑Colón used multiple Instagram accounts to commit these crimes.
During trial, the government presented evidence to prove that Ortiz-Colón used three Instagram accounts, while impersonating a female user, to procure armpit photos of the minor victims. After obtaining photos of the minors’ armpits and breasts, he used those photos to extort further explicit pornographic photos of the minors. HSI law enforcement agents executed several search warrants of the address where Ortiz-Colón’s Instagram account IP Address was identified and found him in possession of the smartphone through which he exercised control of the Instagram accounts used to extort the minor victims.
“The materials this defendant produced through his Instagram accounts are evidence of the intentional sexual abuse of these minors. The U.S. Attorney’s Office and our law enforcement partners will relentlessly investigate and prosecute the misuse of social media platforms to perpetrate these heinous crimes,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “I commend the investigative and prosecution team that effectively secured this meaningful conviction.”
“The guilty verdict not only concludes a long emotional week of victim testimonies which impacted everybody present in the courthouse, but most importantly provides closure to all the minors who this predator attacked without mercy,” said HSI Acting Special Agent in Charge Rebecca González‑Ramos. “This man once told one of his victims that he would never get caught by law enforcement. He preyed on our children, believing he was above the law. HSI arrested him and a jury found him guilty. It’s now time for him to face the consequence of his transgressions.”
Assistant U.S. Attorney Jenifer Y. Hernández-Vega, Project Safe Childhood Coordinator in the Child Exploitation and Immigration Unit, prosecuted the case. The defendant faces a mandatory minimum sentence of fifteen (15) years’ imprisonment, and a statutory maximum sentence of 30 years’ incarceration for the production of child pornography counts; a mandatory minimum sentence of ten (10) years’ imprisonment and a maximum penalty of life for the coercion and enticement of a minor counts; and a statutory maximum of twenty (20) years’ imprisonment for the receipt and possession of child pornography counts. The sentencing hearing is scheduled for February 6, 2023, at 10:00 am. The defendant was ordered detained pending sentencing.
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Lynn Man Sentenced for Mail TheftRead the Press Release
BOSTON – A Lynn man was sentenced today in federal court in Boston for stealing money from the mail.
Juan Murillo, 32, was sentenced by U.S. District Court Judge Allison D. Burroughs to one year of probation and was ordered to pay restitution of $2,400. On Aug. 9, 2022, Murillo pleaded guilty to one count of theft of mail by an employee of the U.S. Postal Service.
On June 22 and 30, 2021, while serving as a City Carrier for the United States Postal Service, Murillo stole two iPads which had been previously delivered to a Harvard University dorm while on his route delivering other mail. Additionally, on or about Sept. 23, 2021, Murillo stole cash from mail that he was supposed to deliver to postal customers.
United States Attorney Rachael S. Rollins and Matthew Modafferi, Special Agent in Charge of the United States Postal Service Office of Inspector General, Northeast Area Office made the announcement today. Valuable assistance was provided by the Harvard University Police Department. Assistant U.S. Attorney Eugenia M. Carris, Deputy Chief of Rollins’ Public Corruption & Special Prosecutions Unit, prosecuted the case.
Lower Brule Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that a Lower Brule, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on November 7, 2022, by U.S. District Judge Karen E. Schreier.
Russell Dean Wright, age 54, was sentenced to two and a half years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Wright was indicted by a federal grand jury in May of 2022. He pled guilty on August 15, 2022.
The conviction stems from Wright failing to register as a sex offender as required by federal law between November 1, 2021, and April 4, 2022. Wright had previously been convicted of a sex offense in federal court which requires him to register for 25 years upon his release from federal prison.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Wright was immediately remanded to the custody of the U.S. Marshals Service.
Long Island Businesswoman Convicted of Obstructing the Internal Revenue Service, Filing False Tax Returns, and Structuring Cash DepositsRead the Press Release
Earlier today, a federal jury in Central Islip returned a guilty verdict on all five counts of superseding indictment charging Lorraine Pilitz, also known as “Lorraine Christie,” and “Lorraine Storms” with illegally structuring financial transactions, corruptly obstructing the Internal Revenue Service (IRS), and filing false tax returns. The verdict followed a two-week trial before United States District Judge Joanna Seybert.
Breon Peace, United States Attorney for the Eastern District of New York, and Thomas Fattorusso, Acting Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI), announced the verdict.
“For years the defendant thought she could get away with hiding substantial amounts of cash and income, impeding the Internal Revenue Service, and cheating her employees, but the jury saw through the lies and has held her responsible for her actions,” stated United States Attorney Peace. “Business owners who place greed above following the rule of law will face the consequences.”
Mr. Peace thanked the Suffolk County Police Department’s Treasury Enhanced Prosecution Program for their assistance with the case.
“Lorraine Pilitz set up a complicated scheme to hide hundreds of thousands of dollars from the IRS by grossly underreporting her income and having an ‘off-the-books’ payroll. As the investigative arm of the IRS, IRS Criminal Investigation is strategically positioned to track down all those who look to steal from the U.S. Treasury and the American public to line their own pockets,” said Thomas M. Fattorusso, Special Agent in Charge of IRS-CI New York.
As proven at trial, Pilitz owned and operated several automobile-related businesses on Long Island. Financial institutions are required to file a Currency Transaction Report (CTR) with the IRS for each transaction in excess of $10,000. Between 2011 and 2013, the defendant routinely structured cash deposits to avoid the required CTR filings – depositing cash amounts just under $10,000. As a result of Pilitz’s scheme, hundreds of thousands of dollars were concealed from the IRS. As part of the same scheme to conceal her income, Pilitz also diverted hundreds of thousands of dollars of business checks into her and her family’s personal bank accounts, maintained “off-the-books” payrolls, failed to file personal and corporate tax returns, and filed false tax returns that severely underreported her income.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Burton T. Ryan, Jr., Adam R. Toporovsky, Madeline O’Connor and Diane Leonardo are in charge of the prosecution with assistance from Paralegal Specialist Michael Compitello.
The Defendant:
LORRAINE PILITZ
Age: 64
Merrick, New YorkE.D.N.Y. Docket 17-CR-53 (S-2) (JS)
Licking County man sentenced to 15 years in prison for armed bank robberiesRead the Press Release
DAYTON, Ohio – A Heath, Ohio, man was sentenced in U.S. District Court to 180 months in prison for committing three armed bank robberies in Ohio in July and August 2021.
Stefan Chadwick Crawmer, 54, knowingly brandished a firearm during crimes of violence and stole nearly $8,000 total from three different banks.
According to court documents, on July 1, 2021, Crawmer stole $3,350 from People Savings Bank in Urbana, Ohio. On Aug. 7, 2021, he stole more than $3,000 from Richwood Bank in Springfield, Ohio. Finally, on Aug. 17, 2021, the defendant stole approximately $1,300 from Civista Bank in West Liberty, Ohio.
During these robberies, Crawmer entered the banks wearing a face mask. He approached a teller and demanded cash, removing a handgun from his pocket, and placing it in front of the teller.
On each occasion, Crawmer pointed the gun at the teller and during at least two of the robberies he racked the slide to indicate the firearm was real and loaded.
As part of his conviction, the defendant forfeited two pistols and a rifle.
Federal agents arrested Crawmer in October 2021 and he pleaded guilty to armed robbery in July 2022.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Urbana Police Chief Matthew D. Lingrell; Springfield Police Chief Lee Graf; Logan County Sheriff Randall J. Dodds; and West Liberty Police Chief Shane Oelker announced the sentence imposed on Nov. 8 by Senior U.S. District Court Judge Walter H. Rice. Assistant United States Attorneys Amy M. Smith and Nicholas A. Dingeldein are representing the United States in this case.
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