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Thursday 22 September 2022
Federal Indictment Charges Man with Illegally Possessing Loaded Gun on CTA Train in Downtown ChicagoRead the Press Release
CHICAGO — A federal grand jury has charged a man with illegally possessing a loaded handgun, cocaine, and fentanyl on a Chicago Transit Authority train.
The indictment in U.S. District Court in Chicago charges TERRELL WEATHERS, 29, of Chicago, with one count of illegal possession of a firearm, one count of possession of cocaine and fentanyl with the intent to distribute, and one count of possession of a firearm in furtherance of a drug trafficking crime. The indictment alleges that Weathers illegally possessed the handgun, cocaine, and fentanyl on July 13, 2021. Chicago Police officers boarded a CTA Green Line train at the Adams/Wabash stop in the city’s downtown Loop neighborhood and arrested Weathers.
Weathers was previously convicted of a criminal felony and was prohibited by federal law from possessing a firearm.
The charges in the federal indictment carry a mandatory minimum sentence of five years in federal prison and a maximum of life. Arraignment before U.S. Magistrate Judge Gabriel A. Fuentes has been set for Oct. 3, 2022, at 1:00 p.m.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Ashley T. Johnson, Acting Special Agent-in-Charge of the Chicago Field Office of the FBI; and David Brown, Superintendent of the Chicago Police Department. The government is represented by Assistant U.S. Attorney Ann Marie E. Ursini.
“Anyone thinking of illegally possessing a firearm on public transit in Chicago needs to know that a federal prosecution could await them,” said U.S. Attorney Lausch. “We will continue to use every available federal law enforcement tool to keep Chicago transit riders safe.”
Holding alleged drug and firearm offenders accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Federal Grand Jury Indicts Louisville Man for Possession of Machine GunRead the Press Release
Louisville, KY – A federal grand jury in Louisville, Kentucky, returned an indictment on September 21, 2022, charging a local man with illegally possessing a machine gun.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and ATF Special Agent in Charge Shawn Morrow of the Louisville Field Division made the announcement.
According to court documents, on September 6, 2022, Gregory Tolbert, 19, knowingly possessed a machine gun, a Glock switch bearing no serial number. Tolbert is currently in state custody at the Louisville Metro Department of Corrections and will be scheduled for his initial appearance before a U.S. Magistrate Judge of the U.S. District Court for the Western District of Kentucky once he is transferred to federal custody. If convicted, he faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. There is no parole in the federal system.
The ATF and the Louisville Metro Police Department are investigating the case.
Special Assistant U.S. Attorney (SAUSA) Emily Lantz is prosecuting the case. SAUSA Lantz is an Assistant Jefferson County Commonwealth’s Attorney sworn in as a SAUSA to prosecute firearms cases in federal court. She works closely with federal, state, and local law enforcement agencies to combat violent crime. Funding for SAUSA Lantz’s position comes from a grant from the Bureau of Justice Assistance, a component of the Justice Department’s Office of Justice Programs, to the office of Jefferson County Commonwealth’s Attorney Tom Wine.
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.
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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Fall River Woman Pleads Guilty to Sexually Exploiting ChildrenRead the Press Release
BOSTON – A Fall River woman pleaded guilty today in federal court in Boston to child sexual exploitation charges.
Nichole Cyr, 27, pleaded guilty to two counts of sexual exploitation of children. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Dec. 20, 2022. Cyr was indicted by a federal grand jury in November 2020.
“Today, Ms. Cyr admitted to some of the most egregious conduct that my office prosecutes. She sexually victimized two children in her life – one that was only a toddler – captured the abuse on camera, and then shared the horrific material. Ms. Cyr took advantage of these young, innocent children entrusted to her care. For that, this predator is now a convicted felon facing a mandatory minimum sentence of 15 years in federal prison,” said United States Attorney Rachael S. Rollins. “My office will continue to use every tool in our arsenal to investigate and prosecute those who prey on and sexualize our children.”
“The production of child sexual abuse material immortalizes the horrific act of sexually abusing a child through photos and video, making it even more difficult for survivors to heal from the trauma of abuse. Today’s plea ensures Cyr will face significant time behind bars for her actions,” said Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England. “The protection of children is one of our greatest and most solemn duties as a law enforcement agency. HSI will continue in our mission to investigate predators like Cyr and bring them to justice before they can do more harm.”
In July 2020, Cyr was arrested for child exploitation offenses after child sexual abuse material (CSAM), including images and videos, were located on her cell phones. Forensic analysis of Cyr’s phones revealed CSAM involving a two-year-old victim and a seven-year-old victim, including videos and photographs that showed Cyr sexually abusing the two-year-old victim on various dates. Forensic analysis also revealed that Cyr had shared the CSAM with another individual. Subsequent investigation determined that the Cyr produced the CSAM of the two minor victims, who she had babysat on multiple occasions.
The charging statute provides for a minimum mandatory sentence of 15 years and up to 30 years in prison, five years of supervised release and a fine of $250,000. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins, HSI SAC Millhollin, Bristol County District Attorney Thomas M. Quinn III, Fall River Police Chief Paul Gauvin and New Bedford Police Chief Paul Oliveira made the announcement today. Assistant U.S. Attorney Anne Paruti, Chief of Rollins’ Major Crimes Unit, is prosecuting 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 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.
Eight Charged with Trafficking Methamphetamine in Akron, Portage and Trumbull County AreasRead the Press Release
AKRON – First Assistant U.S. Attorney Michelle M. Baeppler announced that eight individuals were charged today in an 18-count superseding indictment with operating a drug trafficking conspiracy that distributed methamphetamine throughout the city of Akron, Portage County and Trumbull County areas.
Named in the superseding indictment are Dolan Mitchell Ady, 50, of Kinsman, Ohio; Christen Tate Oakman, 27, of Akron, Ohio; Shaquille Michael Haskell, 31, of Akron, Ohio; Markus Eugene Shaw, 37, of Warren, Ohio; Jennifer Derosa, 34, of Warren, Ohio; Robert Russell Boring, 32, of Akron, Ohio; Joshua M. White, 35, of Warren, Ohio and Travis Spithaler, 35, of Warren, Ohio.
Each defendant is charged with conspiracy to possess with intent to distribute methamphetamine. In addition, the indictment charges various members of the drug trafficking organization with distribution of methamphetamine, distribution of Lysergic Acid Diethylamide (LSD), possession with the intent to distribute methamphetamine, felon in possession of a firearm, felon in possession of ammunition and possession of a firearm by a person with a prior misdemeanor domestic violence conviction.
According to the indictment, it is alleged that from October 2021 to April 2022, the named members of the drug trafficking organization conspired together to purchase methamphetamine and redistribute it throughout the city of Akron, Portage County and Trumbull County areas. The indictment alleges that members of the organization maintained residences in the city of Akron to store and sell methamphetamine and conducted counter-surveillance while engaging in drug trafficking activity in order to identify the potential presence of law enforcement. Additionally, the indictment alleges members of the organization utilized motels and a residence within Trumbull County to store and sell methamphetamine.
An indictment is only a charge and is not evidence of guilt. The defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, each defendant’s sentence will be determined by the court after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offenses and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum; in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Portage County Sheriff’s Office Drug and Violent Crime Unit (PCSODVCU), Portage County Sheriff’s Office (PCSO), Akron Police Department Gun Violence Reduction Tactical Unit (APD GVRTU), Akron Police Department (APD), Ohio State Highway Patrol (OSP), Niles Police Department (NPD) and Warren Police Department (WPD).
This case is being prosecuted by Assistant United States Attorney Jason M. Katz.
East Hartford Resident Sentenced to More Than 11 Years in Federal Prison for Child Sex TraffickingRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that JOEL LINDSAY, also known as “Joey Guapo,” 24, a citizen of Jamaica last residing in East Hartford, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 135 months of imprisonment for child sex trafficking.
According to court documents and statements made in court, in October 2019, Lindsay conspired with his associate, Joseph Pina, to recruit, entice and transport a 16-year-old girl to engage in commercial sex acts. Specifically, on October 17, 2019, Lindsay, Pina and another individual picked up the minor victim and took her to a hotel in East Windsor. At the hotel, they took photographs of the minor victim and posted her photos on a website to advertise her sexual services. Lindsay and Pina then arranged prostitution appointments for the minor victim. On that night, the minor victim earned at least $100 from prostitution appointments, all of which she gave to Lindsay.
On October 18, 2019, Lindsay and Pina posted more advertisements on the same web site and arranged prostitution appointments for the minor victim at a hotel in Windsor Locks. The following two days, Lindsay and Pina posted advertisements on the website and the minor victim saw additional prostitution customers. The victim again gave all of the money earned through these appointments to Lindsay.
The investigation further revealed that Lindsay and Pina engaged in sexual activity with the minor victim, even though they knew that she was under the age of 18. The minor victim also reported to investigators that Lindsay physically assaulted her.
Lindsay, a citizen of Jamaica, has been detained since arrest on August 20, 2020. On October 15, 2021, he pleaded to sex trafficking of a minor.
Lindsay faces immigration proceedings when he completes his prison term.
Pina pleaded guilty to conspiracy to commit sex trafficking of a minor and, on March 2, 2022, was sentenced to 96 months of imprisonment.
This matter was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Angel M. Krull.
Detroit Man Pleads Guilty to Spree of Three Violent CarjackingsRead the Press Release
DETROIT – Rayquan Sturgis, 23, of Detroit, MI, pled guilty today to a spree of three violent carjackings he committed in June and July 2020. Sturgis also pled guilty to additional charges of using and discharging a firearm during crimes of violence. Sturgis faces a mandatory minimum sentence of 15 years in prison with a maximum possible sentence of life in prison.
United States Attorney Dawn N. Ison announced the plea today and was joined in the announcement by James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Division.
“My office is committed to using all of our resources to combat violent crime in our community, particularly targeting those who use firearms to commit that violence. Today’s guilty pleas reflect that commitment and serve as a warning to those who use a gun to terrorize and harm others,” stated US Attorney Ison.
According to court records, Sturgis committed the three carjackings between June 10, 2020 and July 7, 2020 on the west side of Detroit. All three of the victims were strangers to Sturgis who had offered him a ride in their car. In the first carjacking on June 10, 2020, Sturgis pulled out a gun, pointed it at the victim, and forced her out of her car before stealing it.
In the second, on June 18, 2020, Sturgis got out of the victim’s van when they stopped, walked around to the driver’s side, and immediately fired multiple shots at the victim, striking him in the leg, arm, and hand. The victim suffered permanent injuries as a result.
Finally, on July 7, 2020, Sturgis got a ride from the third victim, before pistol whipping him and stealing his car and driving away.
Sentencing is set for January 25, 2022.
The case was investigated by special agents of the FBI and was prosecuted by Assistant United States Attorney Andrew R. Picek.
Defendant Sentenced to Five Extra Years for Assaulting Marshal at Sentencing HearingRead the Press Release
A west Texas man who assaulted two Deputy U.S. Marshals immediately after being sentenced to 30 years in prison for another crime was sentenced today to an additional five years for the attack, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Damien Dre Gonzales, 28, was charged in July 2021 with assaulting a federal officer. He pleaded guilty in May 2022 and was sentenced Wednesday by U.S. District Judge James Wesley Hendrix to five years in federal prison, to be served consecutive to his sentence in the other case.
“This case reminds us of the challenges law enforcement agents and officers face on a daily basis. We are immensely grateful to these officers for acting swiftly to keep the courtroom safe,” said U.S. Attorney Chad Meacham.
According to court documents, on June 10, 2021 Mr. Gonzalez was sentenced to 365 months in federal prison for kidnapping a 9-year-old girl from a birthday part in Levelland, Texas.
Immediately after the sentencing hearing had concluded, Mr. Gonzales grabbed the microphone from the defendant’s podium and swung it violently at a Deputy U.S. Marshal, who grabbed him by the arm in an attempt to control his outburst.
Another Deputy Marshal rushed forward to help, but Mr. Gonzales changed toward him and rammed him into a wooden bench.
With the help of a courtroom security officer, an FBI task force officer, and three DEA agents who happened to be present, the Marshals were able to subdue the defendant. Throughout, Mr. Gonzales hurled insults, curses, and threats at the officers and agents.
In recorded jailhouse calls following the incident, Mr. Gonzales bragged about assaulting the Marshals, stating that he “threw” and “ran at” both of them.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorney Ryan Redd prosecuted the assault case; Assistant U.S. Attorney Callie Woolam prosecuted the kidnapping case.
Defendant Sentenced in Drug Conspiracy Directed from Two PrisonsRead the Press Release
ALBANY, Ga. – A defendant involved in a heroin and methamphetamine trafficking network directed by himself and another co-defendant from two Georgia prisons was sentenced to federal prison today for his crimes.
Co-defendant Eric Gilbert, 46, of Calhoun State Prison, was sentenced to 228 months in prison to be followed by five years of supervised release by U.S. District Judge Leslie Abrams Gardner after he previously pleaded guilty to conspiracy to possess with intent to distribute controlled substances. There is no parole in the federal system.
Two co-defendants previously pleaded guilty and were sentenced on Aug. 4:
Joseph Collins, 38, of Augusta State Prison, was sentenced to 240 months in prison to be followed by five years of supervised release after pleading guilty to conspiracy to possess with intent to distribute controlled substances. Co-defendant Christopher Ogle, 38, of Dalton, Georgia, was sentenced to 132 months in prison to be followed by five years of supervised release after pleading guilty to conspiracy to possess with intent to distribute controlled substances.
Co-defendant Natalie Espinoza, 27, of Sugar Hill, Georgia, is charged with one count of conspiracy to possess with intent to distribute controlled substances. If convicted, Espinoza faces a maximum sentence of life in prison and a $10,000,000 fine. Espinoza is a wanted person; those with knowledge of her whereabouts can contact the United States Marshals Service by calling 1-877-WANTED-2.
“The penalty is steep for incarcerated persons who continue to conduct their criminal activity behind prison walls,” said U.S. Attorney Peter D. Leary. “Working with our law enforcement partners, our office will hold incarcerated persons accountable if they break the law from behind bars.”
“These sentencings remove dangerous criminals from our streets and send a clear message to others who may be contemplating or who are polluting our communities with poison from behind prison walls,” said the Special Agent in Charge of the DEA Atlanta Field Division Robert J. Murphy. “The takeaway is that DEA and its law enforcement partners have a watchful eye on such criminals and will relentlessly pursue them.”According to court documents, an undercover source informed law enforcement in June 2020 about drug trafficking being coordinated by Gilbert from the Calhoun State Prison, including information about his affiliation with the Ghost Face Gangster criminal street gang and a Mexican drug trafficking cartel. The source said Gilbert had customers across the Southeast. On June 16, 2020, the source ordered heroin from Collins, who was an inmate at Augusta State Prison. Collins directed the source to Gilbert; Gilbert was recorded stating that he had been distributing heroin and methamphetamine for ten years. Gilbert arranged the deal later that day with the source. Espinoza, who is a wanted person, delivered approximately 80 grams of heroin. Espinoza allegedly worked with Gilbert to coordinate illegal drug transactions for him outside of prison. A series of controlled and recorded purchases of heroin and methamphetamine occurred. On Jan. 5, 2021, officers in Whitfield County, Georgia, received information that Gilbert was supplying methamphetamine to Ogle. Under surveillance, the informant agreed to purchase one kilogram of methamphetamine from Gilbert, supplied by Ogle. Ogle agreed to meet the informant on Jan. 6, 2021; as agents closed in on Ogle, he threw a Ziploc bag and his phone into a nearby pond. Agents retrieved the phone and the plastic bag, which contained 772 grams of methamphetamine.
The case was investigated by DEA.
The case was prosecuted by Assistant U.S. Attorney Leah McEwen.
Clarksville Man Convicted of Attempting to Persuade A Minor to Engage in Unlawful Sexual Activity & Other CrimesRead the Press Release
NASHVILLE – A Clarksville, Tennessee, man was convicted yesterday of attempting to persuade a minor to engage in unlawful sexual activity; attempting to transfer obscene material to an individual under the age of sixteen; and destruction of evidence to prevent search or seizure; announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
Kevin Figueroa, 33, was found guilty of all counts following a bench trial before Chief U.S. District Judge Waverly D. Crenshaw, Jr.
Figueroa was indicted in April, following an investigation that began in November 2019, after Figueroa initiated online contact with an undercover FBI agent who was posing as a 15-year-old female. Figueroa used the profile of “Spike tkro,” which identified him as a 25-year-old male living in Nashville, Tenn., and was communicating through the online dating application, Meet24. Figueroa continued to message the undercover agent, even after confirming the undercover persona used by the agent was a 15-year-old female, and sent a picture of a penis.
Figueroa continued to communicate with the undercover agent and proposed meeting for sexual activity on November 26, 2019. The meeting was arranged, however Figueroa failed to show. In December 2019, Figueroa again initiated contact with the undercover agent, this time using the mobile dating application MeetMe and the profile of “Kevin F,” a 32-year-old male living in Clarksville. Figueroa turned the conversation to a sexual nature and again suggested meeting for sexual activity, again after confirming the undercover persona was a 15- year-old female. A meeting was eventually arranged for March 17, 2020, at the purported residence of the minor female. When Figueroa arrived at the location, he was met by FBI agents and detained. When Figueroa learned that the agents intended to seize his cell phone, he quickly deleted the Kik messaging application and attempted to delete the Plenty of Fish dating application.
During the course of the investigation and after being charged with these crimes, agents learned that Figueroa had engaged in sexual activity with multiple minor victims before his initial contact with the undercover agent.
Figueroa faces a mandatory minimum of 10 years, and up to life in prison, when he is sentenced on December 2, 2022.
Assistant U.S. Attorneys Monica Morrison and Robert E. McGuire are prosecuting the case.
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Chappaqua Man Sentenced to 21 Years for Participating in A Gunpoint Robbery of 176 Kilograms of Cocaine and Smuggling A Firearm into A Federal PrisonRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that DEEJAY WHITE was sentenced today to 21 years in prison for his participation in a May 29, 2019, gunpoint robbery in the Bronx targeting more than 150 kilograms of cocaine; his participation in a conspiracy to smuggle contraband, including narcotics and a firearm, into a federal detention facility; and his possession of that firearm while incarcerated. On July 23, 2021, WHITE pled guilty before U.S. District Judge P. Kevin Castel, who imposed this sentence.
U.S. Attorney Damian Williams said: “Deejay White was responsible for a dangerous gunpoint robbery of more than 150 kilograms of cocaine that left several victims injured. Even more troubling, after he was arrested and in jail, White continued to commit crimes. White devised a perilous scheme to bring a gun and drugs into a federal prison. White placed inmates, prison staff, and court personnel in grave danger. Today’s lengthy sentence sends a clear message that those who endanger others will be brought to justice.”
According to the Information, court documents, and statements made in open court:
In or about late May 2019, DEEJAY WHITE learned that a Bronx-based member of a Puerto Rico-based drug trafficking organization (“DTO”) was expecting a delivery of furniture, which concealed approximately 176 kilograms of cocaine. WHITE and others planned a violent, gunpoint robbery of the DTO’s cocaine. On May 29, 2019, WHITE drove to the Bronx apartment where the DTO’s cocaine was stored and parked outside with his wife and young child in the car. Minutes later, four coconspirators forced entry into the apartment and held up the 10 victims, including four children, at gunpoint. Two victims were pistol-whipped during the robbery, and a third sustained serious injuries after jumping out of the apartment’s third-floor window in an attempt to flee to safety. One of the robbers threw a duffel bag containing dozens of kilograms of cocaine into WHITE’s car, which then drove off.
WHITE was arrested on November 25, 2019, on charges relating to the gunpoint robbery and conspiracy to distribute the stolen cocaine, ordered detained, and housed at the Metropolitan Correctional Center (“MCC”) in Manhattan. Days after entering the MCC, WHITE began using contraband cellphones to conspire with others, including his wife, to commit additional crimes. Among other things, WHITE directed his wife to smuggle drugs into in the MCC, including cocaine and oxycodone, which his wife did on multiple occasions.
In or about January 2020, WHITE conspired with his wife and others to have a loaded firearm smuggled inside the MCC, which they did successfully. When Bureau of Prisons (“BOP”) officials discovered a contraband cellphone in WHITE’s cell on or about February 26, 2020, WHITE reported to an MCC investigator that there was a gun inside the MCC. WHITE lied to the MCC investigator about his own role in smuggling the firearm into the MCC. Once alerted that there may be a firearm inside the MCC, the BOP imposed a lockdown, which lasted several days, while officials searched for the gun. Following a search of the MCC, on or about March 5, 2020, WHITE’s loaded firearm was located inside a wall of WHITE’s MCC jail cell.
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In addition to his prison term, WHITE, 45, of Chappaqua, New York, was sentenced to five years of supervised release.
Mr. Williams praised the outstanding investigative work of the New York City Police Department the Bureau of Alcohol, Tobacco, Firearms and Explosives , the New York Field Division of the Drug Enforcement Administration , the New York Office of the United States Postal Inspection Service, the New York State Police, the New York Office of the Federal Bureau of Investigation, Special Agents from the U.S. Attorney’s Office for the Southern District of New York, the U.S. Customs and Border Protection in New York, and the Department of Justice Office of the Inspector General New York Field Office.
This effort is part of an Organized Crime Drug Enforcement Task Force (“OCDETF”) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The prosecution of DEEJAY WHITE for conspiracy to commit Hobbs Act robbery and brandishing a firearm in furtherance of a drug trafficking crime is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Juliana N. Murray, Ryan B. Finkel, Peter J. Davis, and Kaylan E. Lasky are in charge of the prosecution.
The prosecution of DEEJAY WHITE for conspiring to receive contraband in prison and being a felon in possession of a firearm is being handled by the Office’s Narcotics and Public Corruption Units. Assistant United States Attorneys Juliana N. Murray, Ryan B. Finkel, Peter J. Davis, Kaylan E. Lasky, Aline R. Flodr, Daniel H. Wolf, and Jonathan E. Rebold are in charge of the prosecution.
Brooklyn Man Indicted on Federal Charges for Kidnapping a Child from Reading, PARead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Duane Taylor, 47, of Brooklyn, New York, was charged by Indictment with kidnapping after abducting a minor child from her home in Reading, Pennsylvania, and transporting the child to his residence last month. The defendant made his initial appearance in federal court in the Eastern District of Pennsylvania on these charges earlier today.
According to court documents, on the morning of August 31, 2022, City of Reading Police officers responded to the victim’s home when the child’s mother reported her missing from her bedroom, where she had last seen her around 10:30 p.m. the evening prior before going to bed. After searching for the child, her mother observed the back door of her residence was wide open, and law enforcement found the chain lock on that door was broken. Investigators reviewed video surveillance footage from the home’s security system, which showed a person entering the living room area at approximately 2:00 a.m., and proceeding to the stairs leading to the second floor. A short time later, the victim is seen walking down those stairs and through the living room, followed by the person who was later identified as the defendant, whom the victim’s mother also stated was her former boyfriend. Reading investigators contacted the New York City Police Department, who traced the defendant to his residence in Brooklyn, but did not locate the victim there. The victim was located later that day when a citizen called 911 to report a child alone and asking for help because she had been kidnapped from Pennsylvania.
“On August 31, 2022, millions of people received notification of an Amber Alert for a missing child from Reading, PA. Thanks to the hard work of investigators in Pennsylvania and New York City, the alleged kidnapper was swiftly tracked down and the child was found and reunited with her mother,” said U.S. Attorney Romero. “As any parent can understand, this was a terrifying situation for this family, and this defendant will now appear in federal court to answer to these charges.”
“Imagine one morning finding your home’s door broken open and your child’s bed empty,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “It’s a parent’s worst nightmare come true. We’re so thankful that this young victim was recovered safely, and for the great collaboration by law enforcement partners in locating and arresting her alleged abductor. Anyone who would harm a child like this is simply depraved and must be held accountable.”
If convicted, the defendant faces a maximum possible sentence of life in prison.
The case was investigated by the Federal Bureau of Investigation, the Reading Police Department, and the New York City Police Department, and is being prosecuted by Assistant United States Attorney Sherri A. Stephan.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Bridgeport Man Pleads Guilty to Child Exploitation OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that MICHAEL NASTU, 63, of Bridgeport, waived his right to be indicted and pleaded guilty today before U.S. District Judge Omar A. Williams in Hartford to a child exploitation offense.
According to court documents and statements made in court, in March 2021, Nastu, using the Kik social media application, initiated a chat with an FBI Online Covert Employee who was posing as a 14-year-old girl from Connecticut. Between March 31 and June 25, 2021, Nastu sent the OCE sexually explicit messages and several pictures and videos of male genitalia, and he attempted to entice the OCE to send him child pornography in return. Although they had multiple text exchanges about meeting in person, Nastu never travelled to meet the OCE.
Nastu pleaded guilty to one count of attempted transfer of obscene materials to a minor, an offense that carries a maximum term of imprisonment of 10 years.
Nastu was arrested on a criminal complaint on June 30, 2021. He is released on a $100,000 bond pending sentencing, which is not scheduled.
This investigation is being conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorneys Amanda S. Oakes and Nancy V. Gifford through the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Boyd County Man Pleads Guilty to Violent KidnappingRead the Press Release
ASHLAND, Ky. – A Catlettsburg, Ky., man, Jonathan Lee Smithers, 41, pleaded guilty on Wednesday, before U.S. District Judge David Bunning, to a federal kidnapping charge.
According to Smithers’ plea agreement, on May 1, 2022, Smithers physically assaulted a victim with whom he was in a romantic relationship. Then, under threat of force and using a firearm, Smithers made the victim accompany him to a store, where he brandished the weapon, assaulted her with the weapon, and confined her in the vehicle. Smithers then drove her to the Flatwoods area. After again confining her in the vehicle, Smithers stopped the vehicle and forced her to exit. Thereafter, still armed, he forced her to accompany him on foot, requiring her to climb fences, trespass on private property, and traverse random routes around the area for several hours. She was eventually able to escape and hide from Smithers and law enforcement found her collapsed at a gas station. Smithers remained in the area on foot, was spotted coming out of the woods, and law enforcement responded. Upon being approached by law enforcement, Smithers shot the responding officer in the throat. The officer survived life-threatening injuries.
Pursuant to the plea agreement, Smithers faces a sentence of life imprisonment.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office; Col. Phillip Burnett, Commissioner, Kentucky State Police; Chief Todd Kelley, Ashland Police Department; Chief David Smith, Flatwoods Police Department; and Sheriff Matt Smith, Greenup County Sheriff’s Office, jointly announced the guilty plea.
The investigation was conducted by the FBI, KSP, Ashland Police Department, Flatwoods Police Department, and the Greenup County Sherriff’s Office. The United States was represented by Assistant U.S. Attorney Erin Roth.
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Blue Ash gun dealer pleads guilty to manufacturing firearms without a license, making false entries on dealer recordsRead the Press Release
CINCINNATI – The owner of a Blue Ash gun shop pleaded guilty in U.S. District Court today to manufacturing firearms without a license, selling them, and knowingly reporting sales incorrectly on federal firearms forms.
Limin Ye, 53, of Blue Ash, Ohio, who owns and operates Opticzoom and Limin Sports Gun Shop, pleaded guilty to one count of engaging in the business of manufacturing firearms without a license and one count of aiding and abetting making false entry in records by a federal firearms dealer.
Terms of Ye’s plea agreement require her to forfeit more than 520 firearms and firearm receiver frames, surrender her federal firearms license, and not to apply or reapply for a federal firearms license. That prohibition applies to any business entity with which she is associated, either legally or in fact.
According to court documents, the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Industry Operations Investigators (IOI) conducted a compliance inspection at Opticzoom on Jan. 26 and found 71 lower receivers that Ye had manufactured into firearms, as well as a large stock of firearms parts and lower receivers that could be used to manufacture firearms. The inspectors told Ye that she was not allowed to sell the firearms she built because she did not have a federal firearms manufacturing license.
Yet three days later, an undercover agent went to the Dayton Gun Show and purchased two illegally manufactured firearms from Ye, who was a vendor at the show. Ye instructed one of her employees to list the purchase on the ATF 4473 transfer form as just “receivers” or the lower portion of a firearm instead of accurately listing the purchase as pistols.
Further investigation determined that Ye had been manufacturing firearms without a license since April 2021.
Manufacturing firearms without a license is punishable by up to five years in prison. False entry is punishable by up to one year in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; and Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), announced the plea entered today before U.S. District Judge Douglas R. Cole. Assistant United States Attorney Ashley N. Brucato is representing the United States in this case.
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Blair Man Sentenced for Plot to Kill Federal Fish and Wildlife OfficerRead the Press Release
Acting United States Attorney Steven Russell announced that Cody A. Cape, 24, of Blair, Nebraska, was sentenced today by United States District Judge Brian C. Buescher to a sentence of 117 months’ incarceration for Threatening to Murder a Federal Law Enforcement Officer and Carrying and Using a Firearm During a Crime of Violence. There is no parole in the federal system. Upon his release, Cape will serve a 3-year term of Supervised Release.
In October 2020, Cape was cited by a United States Fish and Wildlife Service (USFWS) Officer, for a fishing violation. Cape and his friend were subjects of an ongoing poaching investigation that was being investigated by the Officer. During the course of this investigation, Cape’s phone was seized pursuant to a search warrant.
On December 24, 2020, Cape was picked up by his friend and Cape directed his friend to drive to a specific location, which was the Officer’s personal residence in Blair. Cape then had his friend drive him to an apartment in Omaha where Cape retrieved a .45 caliber handgun and a rifle. Cape directed his friend to drive to the Desoto National Wildlife Refuge to look at the employee housing to see if the Officer was there. Cape’s friend refused. Cape placed his handgun on his lap and directed his friend to take him to Desoto National Wildlife Refuge. His friend was fearful and complied. The Desoto National Wildlife Refuge is located on the Nebraska – Iowa border. The main entrance to Desoto National Wildlife Refuge is in Iowa.
On their return from Desoto National Wildlife Refuge, Cape discussed ways he planned to kill the Officer to include using C4, TNT, or dynamite. Cape discussed wiring explosives to the Officer’s USFWS vehicle or throwing explosives through a window into the Officer’s residence to kill the Officer and his family. His friend later contacted police to report what had happened and Cape’s statements.
Cape was located by Blair Police Department officers on December 25, 2020, and had a .45 caliber handgun in his vehicle. Cape was interviewed by FBI and USFWS officers and admitted to making statements about killing the Officer, although Cape claimed he was not serious. Cape stated he was under a lot of stress due to the Officer’s poaching investigation. When asked if he had made statements to kill the Officer, Cape stated “probably” and then went on to state, “I don’t know where the f### I’d get that s###.” When asked for clarification, Cape stated “C4.”
This case was investigated by the Federal Bureau of Investigation, the United States Fish and Wildlife Service, and the Blair Police Department.
Beverly Hills Man Pleads Guilty to Charge for Using Fake Companies in Scheme to Steal Millions of Dollars in COVID Small Business LoansRead the Press Release
LOS ANGELES – A Beverly Hills man – whose sons pleaded guilty earlier this month to felonies for defrauding COVID-relief programs – pleaded guilty today to a federal criminal charge for fraudulently seeking more than $6.7 million in COVID-related small business loans for more than half a dozen fake companies.
Ramiro Da Rosa Mendes, 61, pleaded guilty to one count of wire fraud.
According to his plea agreement, from April 2020 to August 2020, Mendes schemed to fraudulently obtain federal disaster relief funds distributed through the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) programs that were intended to help small businesses through the economic shock of the COVID-19 pandemic.
Mendes claimed to own numerous fake businesses purportedly based in Beverly Hills, including One Wilshire Enterprises, Professional Music Services, and MB Property Management Group LLC. These companies were fake businesses that did not exist prior to the COVID-19 pandemic and did not have any operations or employees.
Mendes also claimed to be the owner of fake real estate services companies, including Ramiro Mendes Real Estate Services, Real Estate Services, and Real Estate Invesst-ments, also located in Beverly Hills and Massachusetts, as well as other businesses registered in Wyoming.
In his plea agreement, Mendes admitted to submitting 19 applications for PPP and EIDL loans that contained false and fraudulent information, including the purported existence of payroll expenses, phony tax forms, and the operational status of the businesses.
For example, on June 24, 2020, Mendes submitted a fraudulent PPP loan application to a Florida-based bank, seeking a loan of $975,100. The loan application falsely stated that One Wilshire Enterprises employed 18 people, had an average monthly payroll of $390,040, and, according to a false tax form, earned $4,810,149 in revenue in 2019. Based on this false information, the bank approved and funded a PPP loan in the amount of $793,300. The loan amount was wired into a bank account Mendes controlled.
Mendes admitted in his plea agreement to stealing the COVID-relief loans and misusing the proceeds for his own personal benefit, including the purchase of cryptocurrency. He further admitted that the intended loss in this case was approximately $6,708,963 and the actual loss was at least approximately $2,228,302.
United States District Judge Percy Anderson scheduled a December 12 sentencing hearing, at which time Mendes will face a statutory maximum sentence of 20 years in federal prison.
In separate cases, Mendes’ sons – Ammon Jose de Pina Mendes, 26, of Beverly Hills, and Mateus Pina Mendes, 33, of Los Angeles – each pleaded guilty on September 1 to one count of wire fraud. Using the names of fake businesses, Ammon and Mateus Mendes fraudulently obtained approximately $222,225 and $143,283, respectively, in PPP and EIDL loans. Their sentencing hearings are scheduled for November 29, at which time each defendant will face up to 20 years in federal prison.
This matter was investigated by the FBI; the Federal Housing Finance Agency – Office of the Inspector General; the United States Postal Inspection Service; the Federal Deposit Insurance Corporation – Office of the Inspector General; the Treasury Inspector General for Tax Administration – Office of the Inspector General; IRS Criminal Investigation; and the Small Business Administration – Office of the Inspector General.
Assistant United States Attorney Scott Paetty of the Major Frauds Section and Trial Attorney Jennifer Bilinkas of the Justice Department’s Fraud Section are prosecuting this case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at (866) 720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Berkeley County man sentenced for drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Dandre Trayham, of Martinsburg, West Virginia, was sentenced this week to 51 months of incarceration for distributing heroin, fentanyl, cocaine base, and cocaine hydrochloride, United States Attorney William Ihlenfeld announced.
Trayham, age 33, pleaded guilty in February 2022 to one count of “Conspiracy to Possess with Intent to Distribute Heroin, Fentanyl, Cocaine Base, and Cocaine Hydrochloride.” He admitted to working with others to sell the drugs from August 2020 o June 2021 in Berkeley County and elsewhere.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Beaumont Man Sentenced for Federal Drug Trafficking and Firearms ViolationsRead the Press Release
BEAUMONT, Texas – A Beaumont man has been sentenced to 10 years in federal prison for drug trafficking and firearms violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Tywayne Marquis Parker, 31, pleaded guilty on Feb. 8, 2022, to possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime and was sentenced to 120 months in federal prison today by U.S. District Judge Marcia Crone.
According to information presented in court, on June 21, 2021, Parker was stopped in Beaumont for a traffic violation. A search of the vehicle revealed two firearms, approximately 100 grams of pills containing methamphetamine, and a large amount of cash and other evidence of drug trafficking.
This case was 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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Beaumont Police Department and prosecuted by Assistant U.S. Attorney Russell James.
Bank Robber Pleads GuiltyRead the Press Release
December 2021 Robbery of Independent Bank in Grand Rapids
GRAND RAPIDS, MICHIGAN – Kristin Cole Greinke, 41, of Grand Rapids, pleaded guilty to robbing Independent Bank located at 3090 Plainfield Avenue, N.E. in Grand Rapids, Michigan, U.S. Attorney Mark Totten announced today.
“Bank robbery doesn’t pay,” said U.S. Attorney Mark Totten. He continued, “Greinke faces up to 20 years in prison for his offense. We will continue to hold accountable anyone who commits this or similar crimes.”
On December 16, 2021, Greinke took a taxicab to Independent Bank. He went into the bank and presented a demand note that stated, “This is a robbery money in the bag no bait bills or dye packs or I’ll come back and kill you all 100 on the side.” The teller gave Greinke $6,230 and Greinke left the bank and witnesses saw him get in the taxi. The police contacted the taxicab company and reached the driver through dispatch. The driver made an excuse to stop and Greinke got out but was quickly arrested by responding officers. All of the money was recovered.
Greinke pleaded guilty to the bank robbery charge. He is scheduled to be sentenced by the Honorable Hala Y. Jarbou, U.S. District Judge, on Tuesday, January 31, 2023 and faces a maximum penalty of 20 years in prison. The judge will determine his sentence after considering the U.S. Sentencing Guidelines and other statutory factors, including that Greinke was previously convicted of bank robbery in federal court in 2003.
The Grand Rapids Police Department, Kent County Sheriff’s Department, and FBI investigated the case. Assistant U.S. Attorney Daniel Mekaru is prosecuting the case.
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Ballwin Man Admits Supplying Fatal Fentanyl, Hiding Body in BackyardRead the Press Release
ST. LOUIS – A man from Ballwin, Missouri on Thursday admitted providing the fentanyl that killed an acquaintance in 2020, and then hiding the body in the backyard.
Quinton O’Bryan Adaway, 26, pleaded guilty in front of U.S. District Judge Henry E. Autrey to one count of distributing fentanyl.
Adaway admitted that late in the evening of July 11, 2020 or early the next morning, he provided several capsules containing fentanyl to a man he’d known for several years. The victim, identified in court documents as “M.C.,” had bought drugs from Adaway in the past or traded drugs with him, the plea says, and both struggled with drug abuse. Adaway warned M.C. that the capsules were more potent than capsules M.C. had previously used.
M.C. was parked at the rear of the home on Holly Terrace Court where Adaway was living. He took the fentanyl in his car before leaving, overdosed and died. Later that day or the next, Adaway discovered the body and tried to hide it in the backyard by partially covering it with cloth and placing items around it. Adaway also removed the SIM card from M.C.’s cellular phone and disposed of the phone.
M.C.’s family and girlfriend began looking for him on July 12. M.C.’s girlfriend contacted Adaway, who denied knowing where he was. The next day, they reported M.C. missing to police and tracked M.C.’s cell phone to Adaway’s house.
The family contacted the Ballwin Police Department, and officers found M.C.’s body. Police found the SIM card, two of the victim’s debit cards, drugs and drug paraphernalia in Adaway’s home.
Adaway is scheduled to be sentenced January 12. Both sides have agreed to recommend a 10-year prison sentence.
Adaway was sentenced to four years in state prison after pleading guilty in St. Louis County Circuit Court to a felony charge of abandoning a corpse.
The Ballwin Police Department investigated this case. Assistant U.S. Attorney Jennifer Szczucinski is prosecuting the case.
Arizona City Man Sentenced to 27 Months for Straw Purchasing 82 Firearms Bound for MexicoRead the Press Release
PHOENIX, Ariz. – On September 13, 2022, Jorge Zuniga-Aguilera, 23, of Arizona City, Arizona, was sentenced by United States District Judge Douglas L. Rayes to 27 months in prison, followed by 36 months of supervised release. Zuniga-Aguilera previously pleaded guilty to Making a False Statement During the Purchase of a Firearm.
Between September 2020 and June 2021, Zuniga-Aguilera straw purchased at least 82 firearms from Arizona gun stores and put them into illegal commerce. Two of these firearms were recovered by law enforcement in Mexico City, Mexico. One was used to murder a Mexican citizen.
Zuniga-Aguilera purchased the firearms for a person whom he knew did not have legal status in the United States—and who therefore could not legally purchase firearms—in exchange for money. To make the purchases, Zuniga-Aguilera lied about where he lived and lied about being the true purchaser of the firearms.
“Border security means protecting our neighbor’s sovereignty,” said United States Attorney Gary Restaino. “When American guns flow south into Mexico, we all lose. Straw purchase prosecutions are an important step in securing the border and protecting communities in both countries.”
“ATF is committed to stopping illegal firearms trafficking both within the United States and internationally,” said Brendan Iber, ATF Special Agent in Charge. “We will continue to work with our law enforcement partners to identify and stop straw purchasers and those persons or organizations enabling straw purchasers.”
This case was 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, many 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.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, assisted by the U.S. Customs and Border Protection, conducted the investigation in this case. Assistant U.S. Attorney Coleen Schoch, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00744-DLR-PHX
RELEASE NUMBER: 2022-160_Zuniga-Aguilera# # #
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.
10-Time Felon from Indianapolis Sentenced to 12 Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
TERRE HAUTE – Varonique Lowe, 44, of Indianapolis, was sentenced to twelve years in federal prison after pleading guilty to possession with the intent to distribute methamphetamine.
According to court documents, on September 29, 2021, Lowe was arrested in Terre Haute, Indiana, following a traffic stop. Lowe, who was driving the vehicle, stated she did not have a valid driver’s license. When the officer approached initially approached Lowe’s vehicle, he noticed the smell of burnt marijuana. A police K9 was called in to perform a narcotics search of Lowe’s vehicle, which resulted in a positive alert. A search of the vehicle revealed 768 grams of pure methamphetamine found inside of an Igloo cooler. Lowe admitted to possessing the methamphetamine with the intent to sell it to others. There were also two minor children in Lowe’s vehicle at the time of the traffic stop.
Lowe has 10 prior felony and 21 misdemeanor convictions in California, including six convictions relating to the sale of controlled substances and assault with a deadly weapon.
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.
The Drug Enforcement Administration and the Terre Haute Police Department investigated the case. The sentence was imposed by U.S. District Judge Jane Magnus-Stinson. As part of the sentence, Judge Stinson ordered that Lowe be supervised by the U.S. Probation Office for five years following her release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Pamela S. Domash who prosecuted this case.
Wednesday 21 September 2022
West Virginia Ambulance Services Business Owner Indicted for Tax CrimesRead the Press Release
A federal grand jury in Charleston, West Virginia returned an indictment today charging a Pineville man with willful failure to pay over employment taxes and obstructing the IRS’s collection efforts.
According to the indictment, Christopher J. Smyth operated Wyoming County’s Best Ambulance Service Inc., Stat Ambulance Service Inc., and Stat EMS LLC, all of which provided ambulance services in Wyoming County, West Virginia. Smyth allegedly was responsible for collecting and paying over to the IRS employment taxes withheld from the wages of the three companies’ employees. Even though he allegedly withheld these funds from the wages of Stat Ambulance Service’s employees, Smyth did not pay to the IRS the full employee withholdings or the full employer’s share. After the IRS imposed penalties against Smyth for not paying over these funds, he allegedly stopped operating Stat Ambulance Service and created Stat EMS in the name of a nominee owner. Smyth nonetheless allegedly continued operating the new ambulance business in the same manner as the previous company, and did not pay over to the IRS all of the employment taxes owed on behalf of the employees of Stat EMS.
After the IRS attempted to collect the unpaid employment taxes for Stat EMS, as well as the resulting penalties, Smyth allegedly attempted to obstruct the IRS’s efforts by making false and misleading statements. Specifically, the indictment charges that Smyth stated that he did not own Stat EMS and did not have a personal bank account. To further obstruct the IRS’s collection efforts, Smyth allegedly paid personal expenses from Stat EMS’s business bank accounts, transferred funds from Stat EMS to bank accounts he controlled, and diverted his own paychecks into a bank account titled in the name of another person.
Smyth will be scheduled to make his initial court appearance before the U.S. District Court for the Southern District of West Virginia at a future date. If convicted, Smyth faces a maximum sentence of five years in prison for each of four counts of willful failure to pay over employment taxes and three years in prison for obstructing the IRS. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney William S. Thompson for the Southern District of West Virginia made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Alexander Effendi and Andrew Ascencio of the Tax Division and Assistant U.S. Attorney Erik Goes for the Southern District of West Virginia 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.
Wausau Man Sentenced to 84 Months for Methamphetamine DistributionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Jacob Ring, 31, Wausau, Wisconsin was sentenced today by U.S. District Judge William M. Conley to 84 months in federal prison for distributing 50 grams or more of methamphetamine. This prison term will be followed by 5 years of supervised release. Ring pleaded guilty to this charge on May 27, 2022.
Law enforcement developed Ring as a suspected methamphetamine dealer in April 2021 after a number of witnesses described Ring as a well-known source of methamphetamine in the Wausau area. In June and July 2021, law enforcement used a confidential informant to purchase over 50 grams of methamphetamine from Ring on two occasions. When Ring was arrested in August 2021, Ring had with him a backpack containing over 300 grams of methamphetamine, a digital scale, and a smoking device.
In sentencing Ring, Judge Conley stated a significant sentence was warranted because of Ring’s lengthy criminal history and the amount of methamphetamine he distributed. Judge Conley also noted that Ring was under supervision for prior Wisconsin methamphetamine convictions at the time he committed the offenses in this case. Judge Conley ordered the sentence imposed in this case to run concurrently with any other sentence Ring is serving as a result of revocation of that supervision.
The charge against Ring was a result of an investigation conducted by the Wisconsin Department of Justice Division of Criminal Investigation; Central Wisconsin Drug Task Force; Wausau Police Department; and the Marathon County Sheriff’s Office. The prosecution of this case has been handled by Assistant United States Attorney Taylor L. Kraus.
Vice President of Raleigh Healthcare Company Pleads Guilty to Making and Using Fake Physician Orders in Medicare AuditRead the Press Release
RALEIGH, N.C. – Kala Sloan, 28, pleaded guilty today to falsifying physician orders on behalf of a company that billed Medicare for millions of dollars. According to the criminal information and evidence summarized in Court, between 2014 and 2021, Carolina Rehab Products, Inc. (CRP) and Blue File DMC, LLC (Blue File) billed Medicare $50 million for durable medical equipment, such as back, shoulder, knee and wrist braces. The evidence showed that, in many instances, CRP and Blue File billed Medicare without supporting physician orders and without shipping the products. Tanya Parrish Grant, 51, of Raleigh, Sloan’s co-conspirator, was the CEO and Controller of the companies. Grant pled guilty to Healthcare Fraud in July of 2022 for her role as the orchestrator of the scheme.
Sloan was the Vice President of Operations for the companies, and knowingly submitted forged documents to prevent Medicare auditors from discovering prior false billings and recouping money. In October 2020, Cigna, a Medicare Advantage insurer, conducted an audit of claims submitted by CRP for reimbursement. According to the evidence presented in court, CRP did not have doctor’s orders or medical records sufficient to justify the billing to Cigna. At the direction of Grant, Sloan prepared blank prescription templates to mimic the orders that should have been in the patient files. Grant used the templates to forge and backdate the prescriptions to deceive auditors. Sloan the provided these documents to Cigna as though they were genuine and in existence prior to the audits.
Sloan pleaded guilty to Making/Using False Healthcare Writings and Documents and Aiding and Abetting. She faces a maximum of up to five years in prison.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge Terrence W. Boyle accepted the plea. The United States Department of Health and Human Services Office of the Inspector General, and the Federal Bureau of Investigation, investigated the case. Assistant U.S. Attorneys William M. Gilmore and Karen Haughton are prosecuting the case.
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-00191-BO.
Vallejo Tax Preparer and Business Owner Pleads Guilty to Assisting in Filing False Tax ReturnsRead the Press Release
SACRAMENTO, Calif. — Emilio Lara, 55, of American Canyon, pleaded guilty Tuesday to willfully aiding and assisting in the preparation and presentation of false and fraudulent income tax returns, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Lara was the owner of Lara’s Income Tax Services, an income tax preparation business in Vallejo. From 2009 to 2012, Lara prepared individual income tax returns for clients on which he falsely inflated certain Schedule A deductions. Lara listed inflated amounts for medical and dental expenses, charitable contributions by cash or check, charitable contributions other than by cash or check, and unreimbursed employee expenses, resulting in a loss to the IRS.
According to the plea agreement, Lara agreed to pay back $7,868 in restitution for tax loss to the IRS. Lara further agreed to a tax preparation injunction, which means he will be permanently prohibited from preparing or filing federal tax returns for anyone other than himself.
This case is the product of an investigation by the Internal Revenue Service – Criminal Investigation. Assistant U.S. Attorneys Michael Anderson and Emily Sauvageau are prosecuting the case.
Lara is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Jan. 10, 2023. Lara faces a maximum statutory penalty of three years in prison and a $100,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
U.S. Attorney, FBI file domestic violence charges for Tohatchi assaultRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced that Anthony Joe was charged with assault of a spouse, intimate partner, or dating partner by strangling and assault resulting in serious bodily injury in Indian Country. Joe, 37, of Tohatchi, New Mexico, and an enrolled member of the Navajo Nation, appeared in federal court on Sept. 20 for a preliminary and detention hearing and will remain in custody pending trial, which has not been scheduled.
According to a criminal complaint, on Aug. 13, Joe allegedly assaulted his dating partner. Joe and the victim had been in a four-year relationship and shared a six-month-old child. The victim was attempting to leave Joe’s residence to stay with her mother when Joe allegedly violently assaulted her. Joe allegedly punched the victim with a closed fist in the back of her head and in her side while she was holding their child. Joe allegedly kicked the victim in the back and pulled her away from the door by her hair. During the assault, Joe allegedly used his arm to choke the victim from behind, then knocked her down and used his hands to choke her.
The victim eventually escaped from the residence without her child. She ran to a nearby gas station and called law enforcement.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Joe faces up to 10 years in prison for each charge.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department. Assistant United States Attorney Brittany DuChaussee is prosecuting the case.
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Twice Convicted Felon Going to Prison for Drug Trafficking and Firearms PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Rudolph Brumfield a/k/a Rudy, 36, of Geneva, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine, and possession of a firearm and ammunition by a convicted felon, was sentenced to serve 210 months in prison by Senior U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that Brumfield was the leader of a cocaine trafficking organization operating in Geneva and other areas of Ontario County. During the conspiracy, Brumfield obtained quantities of cocaine and marijuana from suppliers in California and elsewhere. In January 2020, investigators and officers from the Geneva Police Department and the Ontario County Sheriff’s Office executed search warrants at the Toledo Street residence of Brumfield’s girlfriend, which was used to store, manufacture, and sell the cocaine and marijuana, and at Brumfield’s North Genesee Street residence. During the searches, they recovered:
• 2.7 kilograms of cocaine and 69.7 grams of crack cocaine;
• 18 one-pound packages of marijuana;
• $161,581 in cash;
• two firearms, one which was reported stolen in 2013, and a box of ammunition;
• and materials commonly used to package drugs for street-level distribution.Brumfield was previously convicted in 2006 and 2012 of felony charges in Ontario County Court and is legally prohibited from possessing firearms and ammunition.
The sentencing is the result of an investigation by the Ontario County Sheriff’s Office, under the direction of Sheriff Philip Povero, the Geneva Police Department, under the direction of Chief Mike Passalacqua; and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent In Charge John B. DeVito.
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Three Family Members of the Former Director of the St. Clair Housing Commission Plead Guilty to Conspiracy and to Defrauding HUDRead the Press Release
DETROIT – Three family members of the former executive director of the St. Clair Housing Commission, Lorena Loren, pleaded guilty today to various federal offenses due to their involvement in Loren’s fraudulent scheme to steal money from the U.S. Department of Housing and Urban Development (HUD), United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Machelle L. Jindra, Special Agent in Charge of the U.S. Department of Housing and Urban Development and James Tarasca, Special Agent in Charge, Federal Bureau of Investigation.
Lorena Loren (now deceased) had previously pleaded guilty and been sentenced to prison for conspiring with several family members to steal federal funds provided to the St. Clair Housing Commission by HUD to administer low-income housing programs within St. Clair County. As part of her scheme, Loren stole approximately $336,000 in federal funds, including money earmarked for HUD’s Housing Choice Voucher program, commonly known as Section 8 housing, which allows low-income families to lease privately owned rental properties with the assistance of HUD rental subsidies.
Today, the three family members who pleaded guilty before the Honorable Mark A. Goldsmith are as follows:
Brian Loren (Lorena Loren’s husband), age 61, pleaded guilty to conspiring to commit federal program fraud. According to court records, Brian Loren conspired with his wife and others to embezzle money from the St. Clair Housing Commission. Brian Loren and another individual opened a joint bank account at a PNC Bank in Deland, Florida. Between August 2014 and August 2016, fraudulent Section 8 rental subsidy payments were issued to the PNC Joint Account Holder to benefit Lorena Loren, Brian Loren, and the PNC Joint Account Holder.
Ryan Loren (Lorena Loren’s son), age 35, pleaded guilty to receiving unlawful compensation from HUD with the intent to defraud. Ryan Loren admitted that, from August 2008 through August 2016, he made false statements to HUD and to a federal grand jury regarding where he lived in order to receive improper funds from HUD. Ryan Loren agreed that he illegally received between $40,000 and $95,000.
Kayla Loren (Ryan Loren’s wife and Lorena Loren’s daughter-in-law), age 31, also pleaded guilty to receiving unlawful compensation from HUD with the intent to defraud. Like her husband, Kayla Loren admitted that, from August 2010 through August 2016, she made false statements to HUD and to a federal grand jury regarding who lived with her in order to receive improper funds from HUD. Kayla Loren also agreed that she received between $40,000 and $95,000.
As part of her their guilty pleas, the defendants paid the remaining restitution owed to HUD. The total amount of restitution paid today was $99,835.29. In total, $336,340.22 in restitution has been repaid to HUD as a result of the prosecutions of the Loren family.
U.S. Attorney Dawn Ison commended the work of HUD and the FBI in conducting this criminal investigation and said, “The HUD Section 8 program serves some of the neediest in our community, very low-income families, the elderly, and the disabled. We are committed to prosecuting public officials who steal from any federal program and anyone who assists public officials in depriving lawfully-entitled citizens of the vital assistance they need.”
“HUD OIG is committed to bringing to justice those who fraudulently divert Federal housing program resources for their own personal gain,” said Special Agent in Charge, Machelle L. Jindra. “Together, with our law enforcement partners, we will pursue and hold accountable bad actors who prey on our most vulnerable communities and steal taxpayer funded resources that support these programs.”
“Having been trusted to serve the residents of St. Clair as a public official, Lorena Loren instead conspired with her family to steal federal funds for herself and her family, and today that family is admitting their collective role in that criminal scheme,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “This case is yet another example of the FBI’s commitment to rooting out public corruption in order to protect the integrity of the institutions that are supposed to serve the best interests of our citizens.
Brian Loren faces a maximum of five years in prison and a fine of up to $250,000. Ryan Loren and Kayla Loren each face a maximum of one year in prison and a fine of up to $100,000. A sentencing date will be set by the court.
The case was originally prosecuted by Dawn N. Ison and is now being prosecuted by Assistant United States Attorneys Sarah Resnick Cohen, Craig A. Weier, and Gjon Juncaj.
The case was investigated by agents of U.S. Department of Housing and Urban Development-Office of Inspector General and the Federal Bureau of Investigation.
Three Defendants Plead Guilty to Murder and Assault on the Red Lake Indian ReservationRead the Press Release
ST. PAUL, Minn. – Three individuals have pleaded guilty for their roles in a murder that took place in August 2019 on the Red Lake Indian Reservation, announced United States Attorney Andrew M. Luger.
According to court documents, on August 12, 2019, Alexia Gah Gi Gay Mary Cutbank, 21, of Bemidji, Mia Faye Sumner, 21, of Duluth, and Daniel Charles Barrett, 31, of Redby, armed with at least one handgun, entered the garage of a residence where Daniel Alan Johnson was known to reside. Once inside, Cutbank fired multiple gunshots, fatally wounding Johnson and seriously injuring a second victim, T.B.S. The three defendants returned to the waiting vehicle and left the scene. To assist the defendants in avoiding arrest, Rose Celeste Siewert, 50, of Cass Lake, drove Cutbank, Barrett, and Sumner off the Red Lake Indian Reservation.
Cutbank pleaded guilty yesterday before Senior U.S. District Judge Susan Richard Nelson to one count of aiding and abetting murder in the second degree and one count of aiding and abetting assault resulting in serious bodily injury. Barrett pleaded guilty on August 16, 2022, to one count of aiding and abetting murder in the second degree. Siewert pleaded guilty on September 14, 2022, to one count of accessory after the fact. Sentencing hearings for Cutbank, Barrett, and Siewert have not yet been scheduled. Sumner is currently scheduled to go to trial on October 31, 2022.
This case is the result of an investigation conducted by the Red Lake Tribal Police Department, the FBI, the FBI Headwaters Safe Trails Task Force, the Duluth Police Department, the Minnesota Bureau of Criminal Apprehension, and the Minnesota Department of Corrections, in collaboration with the United States Attorney’s Office Missing and Murdered Indigenous Persons Initiative.
Assistant U.S. Attorney Deidre Y. Aanstad is prosecuting the case.
Texas Man Sentenced for Fraud and Money Laundering Conspiracies Targeting Federally-Funded Meal Programs for Underprivileged YouthRead the Press Release
PITTSBURGH – A resident of Texas was sentenced in federal court for his role in defrauding federally-funded meal programs, United States Attorney Cindy K. Chung announced today.
Senior United States District Judge Arthur J. Schwab sentenced Charles Simpson, 44, of Dallas, Texas, to 30 months’ incarceration following his guilty plea to conspiracy to commit mail and wire fraud. Judge Schwab also ordered Simpson to pay restitution to the U.S. Department of Agriculture in the amount of $1,500,000, and to forfeit an additional approximately $427,000.
During Simpson’s plea hearing on May 19, 2022, he admitted, among other things, that he and his co-conspirators, Tanisha Jackson and Paige Jackson, operated HOIN, Inc. (HOIN), a Texas-based non-profit organization. The co-conspirators caused HOIN (a/k/a Helping Others In Need) to enroll as a “sponsor” in two programs funded by the United States Department of Agriculture (USDA) for the purpose of providing meals to underprivileged youth—the Child and Adult Care Feeding Program (CACFP) and the Summer Food Service Program (SFSP) (collectively, the feeding programs). CACFP funded after-school meal service during the school year, while SFSP operated in the summer months. In Pennsylvania, the Pennsylvania Department of Education (PADOE) administered the USDA-funded feeding programs. Simpson also acknowledged having previously been excluded from participating in the feeding programs in other states.
As part of the conspiracy, Simpson admitted that he and Tanisha Jackson caused the submission of false enrollment documentation to PADOE on behalf of HOIN in connection with its participation in CACFP and SFSP between 2015 and 2019. Among other misrepresentations, HOIN’s applications to PADOE used aliases for Simpson and Tanisha Jackson as a means to obscure their involvement and falsely certified that none of its principals had been excluded from the feeding programs. Simpson further admitted causing HOIN to submit reimbursement claims for hundreds of thousands of meals that were never served to eligible children by either inflating the number of meals that, in fact, were served, or by seeking reimbursements for meals purportedly served on days on which the identified feeding site was not operating at all. To conceal their fraudulent conduct and justify HOIN’s claimed meal service, Simpson and Tanisha Jackson submitted fabricated documents to PADOE in connection with periodic program reviews. On certain occasions, Tanisha Jackson would impersonate Paige Jackson, her daughter, in interactions with PADOE. Likewise, Paige Jackson used a fictitious name in dealings with PADOE. In total, PADOE issued reimbursement payments to HOIN in excess of approximately $4 million between 2015 and 2019.
In connection with the money laundering conspiracy, Simpson admitted that he and Tanisha Jackson engaged in numerous financial transactions involving the proceeds of the fraud. Specifically, Simpson and Tanisha Jackson spent hundreds of thousands of dollars in HOIN reimbursements on shopping sprees at high-end apparel stores, personal air travel and lodging, and the acquisition of at least nine luxury vehicles, including a Bentley, two Land Rovers, two Maseratis, two Mercedes, a Hummer, and a Porsche. Simpson and Tanisha Jackson also withdrew cash from HOIN bank accounts in excess of $10,000 on more than a dozen occasions.
Tanisha Jackson and Paige Jackson have separately entered guilty pleas and will be sentenced on Oct. 20, 2022, and Nov. 2, 2022, respectively.
Assistant United States Attorneys Eric G. Olshan and Nicole Vasquez Schmitt are prosecuting this case on behalf of the government.
The United States Department of Agriculture – Office of Inspector General, Internal Revenue Service – Criminal Investigation, and Federal Bureau of Investigation conducted the investigation of the defendants in this case.
Tennessee Man Sentenced to More than 27 Years in Prison for Child Pornography CrimesRead the Press Release
HUNTINGTON, W.Va. – Matthew Corban Hagy, 51, of Memphis, Tennessee, was sentenced today to 27 years and four months in prison, to be followed by 15 years of supervised release, for production and possession of child pornography. Hagy must also register as a sex offender.
A federal jury found Hagy guilty of one count each of production of child pornography and possession of child pornography on May 24, 2022. Evidence at trial established that Hagy traveled from Tennessee to Putnam County, West Virginia, as the caretaker for a man visiting family in Poca during the week of Christmas 2020. While there, Hagy took nude photographs of a 5-year-old boy and produced a graphic video of the boy. A search of Hagy’s phone revealed more than 700 additional images and videos of child pornography. In a statement given to police, Hagy admitted that he took a picture of the boy, but denied doing anything inappropriate.
“This individual did unspeakable harm to a child, and the sentence imposed today reflects that and makes sure that Hagy cannot prey on anyone else for a very long time,” said United States Attorney Will Thompson. “This is an important example of excellent casework and coordination by the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Putnam County Sheriff’s Department, the South Charleston Police Department, and the United States Secret Service. I also commend Assistant United States Attorneys Julie White and R. Gregory McVey for prosecuting the case.”
United States District Judge Robert C. Chambers imposed the sentence.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:21-cr-99.
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Tampa Man Sentenced for Role in Conspiracy to Defraud U.S. Department of AgricultureRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Ahmad Al Saleh (59, Tampa) to 12 months in federal prison for conspiracy to defraud and to make false statements to the United States Department of Agriculture (USDA). The court also ordered Al Saleh to make restitution to the USDA in the amount of $654,502.28.
According to court documents, Al Saleh joined in a conspiracy to defraud the USDA and to make false statements to the USDA in 2015 when he agreed to make false and fraudulent representations to the USDA that he was buying a St. Petersburg convenience store that was enrolled to accept USDA Supplemental Nutrition Assistance (SNAP) program benefits. SNAP is a program that supplements the food budget of needy families so they can purchase healthy food and move towards self-sufficiency. After the USDA prohibited the prior owner of the store from accepting any SNAP benefit purchases and prohibited him from even working at the store, he joined with Al Saleh and others to create false records and representations that Al Saleh had bought the store and that Al Saleh was operating it himself. In reality, the previous store owner continued to operate and manage the store and make profits from it, paying Al Saleh a small fee for the use of Al Saleh’s name as the store owner on USDA documents. During the time that the prior owner was still operating the store under the supposed ownership of Al Saleh, the prior owner committed numerous acts of SNAP benefits trafficking, during which he bought SNAP benefits from customers and paid for them in cash. The court determined that the losses which the prior owner caused to the SNAP program while engaging in this conduct during the time period of the supposed “ownership” of Al Saleh was at least $654,502.84.
This case was investigated by the United States Department of Agriculture -Office of Inspector General, the USDA Food and Nutrition Service, and Homeland Security Investigations, with the assistance from the St. Petersburg Police. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.
Supervisor of Colombian Maritime Cocaine Trafficking Conspiracy Sentenced to 15 Years in PrisonRead the Press Release
BOSTON – A Colombian man, who was extradited from Colombia after indictment, was sentenced today in federal court in Boston for his role in an international drug trafficking organization.
Henry Carrillo-Ramirez, 52, was sentenced by U.S. Senior District Court Judge William G. Young to 15 years in prison and five years of supervised release. In November 2019, Carrillo-Ramirez pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine on board a vessel subject to the jurisdiction of the United States, and four counts of possession with intent to distribute and distribution of five kilograms or more of cocaine on board a vessel subject to the jurisdiction of the United States. Carrillo-Ramirez was indicted in April 2017 and extradited from Colombia in April 2019.
Since 2013, Carrillo-Ramirez and at least four co-conspirators were involved in a conspiracy that trafficked thousands of kilograms of cocaine, sourced in Colombia, by boat via Venezuela to Spain, Puerto Rico, and other locations. The cocaine was sourced from the Catatumbo region of Colombia and transported to Isla Margarita, Venezuela. Thereafter – based on an agreed-upon date, time, sea coordinates, and code word – small motorboats carrying the cocaine would meet a fishing vessel located offshore onto which the cocaine was transferred and transported to points in Europe and the Caribbean. Carrillo-Ramirez played an indispensable part in the conspiracy – organizing the shipments and transportation of the cocaine from Colombia to Venezuela, managing logistics, providing at-sea coordinates, and serving as the communications hub of the conspiracy.
It is estimated that Carrillo-Ramirez and his co-conspirators successfully shipped approximately 1,200 kilograms of cocaine to Spain in June 2014. In all, law enforcement seized at least 2,235 kilograms of cocaine from Carrillo-Ramirez’s drug trafficking conspiracy.
In August 2014, an international law enforcement operation located and boarded a vessel travelling from South America to Spain and seized 960 kilograms of cocaine. In November 2014, an allied British vessel carrying U.S. Coast Guard officials interdicted a boat arranged by Carrillo-Ramirez and others destined for Puerto Rico that was approximately 30 nautical miles west of Montserrat. Once the vessel was stopped, the crew was observed jettisoning bales of cocaine, which were recovered and weighed 180 kilograms. The remaining bales were lost at sea. In December 2014, the Spanish Guardia Civil boarded another vessel in international waters arranged by Carrillo-Ramirez and others and seized an additional 728 kilos of cocaine. In August 2015, U.S. investigators disabled a Yamaha power boat in the Farjardo coast area of Puerto Rico that was arranged by Carrillo and others. A search of the proximate area recovered 13 bales containing nearly 400 kilograms of cocaine.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division, made the announcement. The Justice Department’s Office of International Affairs and the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) Judicial Attachés in Bogotá, Colombia, worked with law enforcement partners in Colombia to secure the arrest and extradition of Carrillo-Ramirez to the United States. Valuable assistance was provided by the Colombian National Police, the Spanish Guardia Civil and the Portuguese Air Force. Assistant U.S. Attorney Craig Estes of Rollins’ Narcotics & Money Laundering Unit prosecuted the case.
Spokane Woman Sentenced to 23 Years for Child Sex TraffickingRead the Press Release
Spokane – On September 21, 2022, U.S. District Judge Thomas O. Rice sentenced Kylie Ruby Flores, 31, of Spokane, to 23 years in prison for conspiracy to engage in the sex trafficking of a six-year-old girl, whom Flores made available to an adult man for sexual abuse in exchange for housing, cash, and sneakers. Flores will also be on federal supervision for the remainder of her life.
Flores conspired with codefendant Trever Harder to engage in the sex trafficking of a six-year-old girl. After meeting Harder online on the dating application Plenty of Fish, Flores knowingly agreed to trade sexual access to the girl for a place to stay, small amounts of cash, and the promise of new Nike running shoes. According to the Plea Agreements entered by Harder and Flores, the child was able to describe the specific ways that Harder sexually abused her, including acts of sodomy. Law enforcement officers recovered a video that Harder had recorded after he set up a camera on a cat tree in his apartment in Cheney, Washington. The video depicts Harder raping the little girl on the couch in his apartment. Harder has also pleaded guilty and is pending sentencing.
“The facts of this case present some of the most egregious sexual abuse of a child one can imagine. Today’s sentence is important, but it is equally important to remember that Flores’s sentence will likely be much shorter than the lifelong impact on the child,” said Vanessa R. Waldref, United States Attorney for the Eastern District. “No sentence can return the child’s innocence, but our community is now safer and stronger. Most important, the child is now in a safe place.” The U.S. Attorney emphasized the importance of protecting children. “The little girl in this case was only six years old when her abuse began. Thanks to an effective and cooperative investigation, she is neither missing nor murdered today—but she is not the only child in danger. Today’s sentence sends a clear message to those who seek to sexually abuse children: justice is coming.”
David M. Herzog, the Assistant United States Attorney who prosecuted the case, thanked the agencies responsible for the investigation and the protection of the young victim. “Incredibly dedicated FBI agents worked hand-in-hand with state, local, and tribal law enforcement to secure justice for the victim in this case. I am particularly grateful to Chelsea Sayles, the Quileute Tribal Attorney, and our partners with Quileute Indian Child Welfare, who worked hand-in-hand with the FBI and the US Attorney’s Office to protect this child from further sexual abuse.”
“It is inconceivable as a parent how someone could participate in the victimization of a child under their care.“ said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field Office. “While the sentence in this case is significant and truly justified, it only brings a small measure of justice to the victim. I hope the dedication of FBI agents and our partners to hold predators like Ms. Flores accountable serves as a message to those who would victimize our most vulnerable among us.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
This case was investigated by the FBI’s Spokane Resident Office and the Spokane Police Department, with significant assistance from the Quileute Nation. The case was prosecuted by David M. Herzog, Assistant United States Attorney for the Eastern District of Washington
Southwest Georgia Man Sentenced to 60 Years in Prison for Producing Child Sexual Assault MaterialRead the Press Release
ALBANY, Ga. – A Lee County, Georgia, resident who admitted to producing child sexual assault material involving minor victims was sentenced to the statutory maximum prison term for his crimes.
James Henry Norris, 38, of Leesburg, Georgia, was sentenced to serve a total of 720 months in prison (360 months for each count) to be followed by 25 years of supervised release by U.S. District Judge Louis Sands today after he pleaded guilty to two counts of production of child sexual assault material. In addition, Norris will have to register as a sex offender for life upon his release from federal prison. There is no parole.
The plea agreement in this case remains sealed for the protection of the minor victims at the request of the U.S. Attorney’s Office.
“Law enforcement is committed to doing everything in our power to combat the exploitation and sexual assault of children,” said U.S. Attorney Peter D. Leary. “To that end, our office will pursue the maximum punishment allowed under law for those caught producing child sexual assault material.”
"The families of the minor victims and the victims themselves in this case could never find justice in any sentence Norris could have received," said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI will work tirelessly with our partners to protect our children against those who seek to harm them.”
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 www.projectsafechildhood.gov.
The case was investigated by FBI. Assistant U.S. Attorney Leah McEwen is prosecuting this case.
South Florida Residents Indicted for Nationwide Interstate Moving Fraud SchemeRead the Press Release
MIAMI – Yesterday, Arvaham Zano, 36, of Hollywood, made his first appearance in federal court to face charges that he and a co-conspirator operated an interstate moving company scam that included inflating the costs of clients’ interstate moves, taking possession of client household belongings, failing to deliver the goods as promised, and abandoning them throughout the nation at undisclosed self-storage facilities, often resulting in the total loss of client property.
A South Florida federal grand jury indicted Zano and Sofein Mlayah, 28, of North Miami Beach on September 15, 2022, charging them with Conspiracy to Commit Interstate Transportation of Stolen Property, Wire Fraud, Interstate Transportation of Stolen Property, and Failure to Give Up Possession of Household Goods.
Law enforcement arrested Zano yesterday. Mlayah is scheduled to self-surrender to authorities in Denver, Colorado tomorrow, after which he will make his initial appearance in federal court there.
According to the allegations of the indictment, Zano owned Zano Moving and Storage, LLC, and acquired jobs through various moving brokers. The brokers would negotiate moving service fees with clients, then subcontract the moving jobs to Zano. With the subcontracts in hand, Zano and his drivers, including Mlayah, traveled to the job locations -- often on dates different from the ones originally scheduled and sometimes late at night -- and loaded the household items to be moved into rental trucks. Zano or Mlayah would tell clients that they had more household items than the moving broker originally estimated. Then, with the items already in the truck, they demanded more money to begin the move – sometimes two to three times more than the original estimate. If the clients refused, they risked losing their deposits and belongings. It is alleged that Zano and Mlayah argued with the victims and coerced them into paying more for their moves. On other occasions, Zano and Mlayah would not start loading the trucks until they received the higher fees or loaded the trucks but never delivered the items, according to the indictment. Most of the victims’ household items have never been recovered.
If convicted, Zano and Mlayah face up to 20 years in prison.
Juan Antonio Gonzalez, United States Attorney for the Southern District of Florida; Robert M. DeWitt, Acting Special Agent in Charge, FBI Miami; and Todd Damiani, Special Agent in Charge, Department of Transportation Office of Inspector General (DOT-OIG), Southern Region, made the announcement.
FBI Miami and DOT-OIG investigated this case with assistance from the Sunny Isles Beach Police Department. The case is being prosecuted by Assistant U.S. Attorney Marc Anton.
An indictment contains mere allegations and defendants are presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-60200.
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South Dakota Woman Sentenced for ManslaughterRead the Press Release
Acting United States Attorney Steven Russell announced that Jordon R. Whipple, 28, of Bonesteel, South Dakota, was sentenced today in federal court in Omaha, Nebraska, for involuntary manslaughter. United States District Court Judge Brian C. Buescher sentenced Whipple to 41 months’ imprisonment. There is no parole in the federal system. After her release from prison, Whipple will begin a three-year term of supervised release.
On August 16, 2020, Whipple, an enrolled member of the Santee Sioux Tribe, was driving in Santee while under the influence of alcohol when she lost control of the vehicle and crashed. The passenger, a young mother from Santee, was killed as a result of the injuries she sustained during the accident.
This case was investigated by the Federal Bureau of Investigation and the Santee Sioux Nation Police Department.
Silver Spring, Maryland Man Faces Federal Charges for Distribution of Fentanyl Resulting in the Death of a Minor VictimRead the Press Release
Greenbelt, Maryland – A criminal complaint has been filed charging Mikiyas Maryie Kefyalew, a/k/a “Mick”, age 24, of Silver Spring, Maryland, with distribution of fentanyl resulting in the death of a minor victim. The criminal complaint was unsealed upon his arrest on September 16, 2022. The defendant had his initial appearance in U.S. District Court in Greenbelt on September 16, 2022 before U.S. Magistrate Judge Ajmel A. Quereshi and was detained pending trial.
The criminal complaint was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration, Washington Division; Chief Marcus Jones of the Montgomery County Police Department; and Chief T. N. Treschuk of the Rockville City Police Department.
As a result of the death of a Bethesda, Maryland minor victim in January 2022, law enforcement discovered a counterfeit pill that appeared to be 30mg of oxycodone and alleged texts between the victim and Kefyalew. The pill was later tested by a forensic chemist and tested positive for fentanyl. Additionally, the Maryland Office of the Chief Medical Examiner the victim’s cause of death to be a fentanyl overdose. A forensic analysis of the victim’s cell phone revealed several alleged conversations between the victim and a contact saved as “Mick.” During the conversations, the victim and Kefyalew discussed meeting for a drug transaction.
As stated in court documents, a witness advised law enforcement the victim purchased “percs” from an individual known as “Mick”. The witness also described the “percs” to be small blue pills, which matched the pill found at the time of the victim’s death.
In August 2021, Kefyalew was issued a criminal citation for the possession of over 10 grams of marijuana. In that case, law enforcement found a small blue pill stamped with the writing “M 30” within the baggie of marijuana located in a vehicle where Kefyalew was seated at the time of his arrest. The pill was tested and was determined to be fentanyl, as well.
Further, as stated in the affidavit, in March 2022, law enforcement executed a search warrant on Kefyalew’s vehicle. As a result of the search warrant, officers found two cell phones, one of which contained multiple messages indicative of drug trafficking, including an October 2021 conversation in which an individual told Kefyalew that people using “percs” should get Narcan to prevent overdoses.
If convicted, Kefyalew faces a maximum sentence of life in federal prison for distribution of fentanyl resulting in death or serious bodily injury. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
A criminal complaint is not a finding of guilt. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Erek L. Barron commended the DEA, the Montgomery County Police Department, and the Rockville Police Department for their work in the investigation and thanked the Metropolitan Police Department, the Prince George’s County Police Department, and the Montgomery County State's Attorney's Office for their assistance. Mr. Barron thanked Assistant U.S. Attorney Elizabeth Wright who is prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Shiprock man sentenced to eight years in prison for assaultRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Quincee Zohnnie was sentenced on Sept. 20 to eight years in prison. Zohnnie, 26, of Shiprock, New Mexico, pleaded guilty on Oct. 26, 2021, to using a firearm during and in relation to a crime of violence and possessing a firearm in furtherance of such crime, assault with a dangerous weapon, and retaliating against a victim in Indian Country.
On June 14, 2020, Zohnnie was riding in the passenger seat of his girlfriend’s car when they spotted the victim, identified as John Doe, sitting outside his home on the Navajo Nation. Zohnnie argued with John Doe before going home and retrieving a firearm. Zohnnie returned to John Doe’s residence and fired multiple rounds at the house, which at the time of the incident was occupied by John Doe’s family, including a minor child.
Upon his release from prison, Zohnnie will be subject to three years of supervised release. Zohnnie must also surrender the firearms and ammunition associated with these crimes.
The Farmington Residency Agency of the FBI Albuquerque Field Office investigated this case with the assistance of the Navajo Nation Police Department. Assistant U.S. Attorneys Alexander F. Flores and Allison Jaros prosecuted the case.
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Seventh Defendant Sentenced in Murder of U.S. Border Patrol Agent Brian TerryRead the Press Release
TUCSON, Arizona – Jesus Rosario Favela-Astorga was sentenced in federal court today to 50 years in prison for the murder of United States Border Patrol Agent Brian Terry on December 14, 2010. Favela-Astorga pleaded guilty to Agent Terry’s murder in April 2022. He is the seventh and final defendant to be convicted and sentenced in this case.
“Today is for Brian Terry, and his loved ones and colleagues who waited eleven years to see justice come to all who were involved in his tragic murder,” said U.S. Attorney Randy S. Grossman of the Southern District of California. “We hope it fulfills the promise to everyone who protects us. We’ll relentlessly pursue justice against those who do them harm for as long as it takes.” Grossman thanked the prosecution team, the FBI and the U.S. Border Patrol for their relentless quest for justice in this matter.
Favela-Astorga admitted as part of his guilty plea, and evidence presented at two trials in this case in 2015 and 2019 established, that he was one of several armed bandits who had traveled from Mexico to the U.S. to hunt for marijuana smugglers to rob. At the time, Agent Terry and other members of the Border Patrol Tactical Unit (BORTAC) were on extended deployment in the desert to apprehend such robbery crews.
On December 14, near midnight, Agent Terry’s team attempted to arrest Favela-Astorga’s crew in a rural area north of Nogales, Arizona. A member of the robbery crew fired at the agents, hitting Agent Terry in the back and severing his spinal cord and aorta. According to evidence presented at the prior trials, Agent Terry called to a fellow agent, “Willie, I’m hit! I can’t feel my legs.” BORTAC agents, still under fire, tried to save Agent Terry but were unsuccessful.
Evidence from the trials established the five bandits at the scene were armed with four AK-47-style assault rifles and an AR-15 assault rifle and had food to last for days.
Favela-Astorga and others fled back to Mexico, leaving behind Manuel Osorio-Arellanes who had been shot in the stomach by agents. Manuel Osorio-Arellanes was convicted and sentenced in 2014 to 30 years in prison after cooperating in identifying other members of the robbery crew who were fugitives.
Mexican authorities arrested Favela-Astorga in October 2017 based on a provisional arrest warrant issued at the request of the United States. He was extradited to the United States in January 2020.
The other members of the robbery crew at the scene were Heraclio Osorio-Arellanes, Ivan Soto-Barraza, and Jesus Lionel Sanchez-Meza. All three were arrested in Mexico years after the shooting. Soto-Barraza and Sanchez-Meza were extradited to the United States in 2014, convicted at trial in December 2015, and sentenced to life in prison. Heraclio Osorio-Arellanes was extradited to the United States in 2018, convicted at trial in February 2019, and sentenced to life in prison.
In addition, Rosario Rafael Burboa-Alvarez pleaded guilty to murder and, while not at the firefight, admitted he recruited the crew members in Mexico. Burboa-Alvarez was sentenced to 324 months in prison. Border Patrol agents also had arrested Rito Osorio-Arellanes on immigration charges two days before the shootout, unaware he was part of the robbery crew. Osorio later pleaded guilty to conspiracy to interfere with commerce by robbery and was sentenced to 96 months in prison.
Agent Terry’s murder was principally investigated by the Federal Bureau of Investigation and the U.S. Border Patrol. The U.S. Marshals Service, the Mexican Navy (SEMAR), Mexico’s Office of the Attorney General (PGR), and the Department of Justice, Office of International Affairs, helped with Favela-Astorga’s apprehension and extradition.
“For over the last decade, the FBI and our partners have worked to bring justice to all involved in the killing of agent Brian Terry. We will not and did not waver in our commitment to ensure that those who commit acts of violence against law enforcement officials will be held accountable and punished to the fullest extent of the law,” said Chris Ormerod, Acting Special Agent in Charge of the FBI Phoenix Field Office. “We hope today’s final sentence will help bring a degree of comfort to Agent Terry’s family in knowing that all the individuals responsible for his murder have been brought to justice.”
“Today’s sentencing brings justice to the last of U.S. Border Patrol Agent Brian A. Terry’s murderers,” said Tucson Sector Chief Patrol Agent John Modlin.
“I thank the many law enforcement professionals who have worked on this case for over a decade and, in particular, acknowledge the dedication and efforts of FBI Special Agent Michelle Terwilliger who has led the investigation since the night of the shooting,” said Grossman.
The case was prosecuted by the U.S. Attorney’s Office for the Southern District of California after the U.S. Attorney’s Office for the District of Arizona was recused.
SUMMARY OF CHARGES Case No. 11-cr-0150-TUC-DCB-BGM
Jesus Rosario Favela-Astorga Age: 41 El Fuerte, Sinaloa, Mexico
Murder, Second Degree, in violation of 18 U.S.C. §§ 1111, 1114
Maximum Penalty: Life in prison
INVESTIGATING AGENCIES
Federal Bureau of Investigation
United States Border Patrol
Seminole County Man Extradited from Croatia Pleads Guilty to $7.2 Million COVID Relief FraudRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces that Don V. Cisternino (46, Chuluota) has pleaded guilty to wire fraud, aggravated identity theft, and illegal monetary transaction. Cisternino faces a maximum penalty of 20 years in federal prison for the wire fraud, up to 10 years’ imprisonment for the illegal monetary transaction, and a mandatory consecutive sentence of 2 years in federal prison for the aggravated identity theft. A sentencing date has not yet been set.
According to the plea agreement, in May 2020, Cisternino fraudulently secured more than $7.2 million in emergency funds through a Paycheck Protection Program (“PPP”) loan.
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted March 2020. It was designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in potentially forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding. The PPP allowed qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses were required to use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities.
Cisternino’s PPP loan application falsely claimed that Cisternino’s business, MagnifiCo, had 441 employees and monthly payroll expenses in 2019 of more than $2.8 million. In truth, MagnifiCo, had no employees other than Cisternino. In support of his PPP loan application, Cisternino submitted false W-2s for MagnifiCo’s purported employees, many of which listed the names and Social Security numbers of actual persons who were not MagnifiCo employees and who had not authorized Cisternino to use their identities.
Once he obtained the emergency loan of $7.2 million, Cisternino did not use these funds for qualifying expenses. Instead, he spent the funds for unauthorized purposes and for his own personal enrichment, including the purchase of a Lincoln Navigator, a Maserati, Mercedes-Benz vehicles, and a 12,579 sq. ft. residence in Seminole County, Florida (pictured below).
On January 22, 2021, after learning that he was under investigation for PPP loan fraud, Cisternino fled to Switzerland. He was arrested on April 11, 2021, pursuant to an Interpol Red Notice, as he attempted to enter Croatia from Slovenia by way of Italy.
As part of his plea agreement, Cisternino agreed to forfeit the $7.2 million in proceeds that he had obtained through the wire fraud, as well as assets traceable to the fraud, including the 12,579 sq. ft. residence and approximately $1.1 million in funds held in bank accounts controlled by him or his associates.
This case was investigated by the Internal Revenue Service – Criminal Investigation, Tampa Field Office. The Justice Department’s Office of International Affairs provided valuable assistance in securing Cisternino’s arrest and extradition. It is being prosecuted by Assistant United States Attorney Chauncey A. Bratt, with assistance from Assistant United States Attorneys Nicole Andrejko and Jeremy Bloor.
Santo Domingo man arraigned for assault on a federal officerRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced today that Travis Aguilar was arraigned on an indictment charging him with assault on a federal officer. Aguilar, 31, of Santo Domingo Pueblo, New Mexico, and an enrolled member of the Pueblo of Santo Domingo, will remain in custody pending trial, which has not been scheduled.
According to the indictment, on Nov. 10, 2021, Aguilar allegedly forcibly assaulted an officer of the Bureau of Indian Affairs (BIA) while the officer was engaged in official duties. Aguilar allegedly punched the officer in the face and threw the officer to the ground.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Aguilar faces up to 20 years in prison.
BIA investigated this case. Assistant United States Attorney Matthew McGinley is prosecuting the case.
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Prince William Man Convicted of Causing Multiple OverdosesRead the Press Release
ALEXANDRIA, Va. – A federal jury convicted a Dumfries man today on charges of distribution of fentanyl resulting in death and serious bodily injury, and possession with the intent to distribute fentanyl.
According to court records and evidence presented at trial, on September 21, 2021, Michael Vaughn, 28, distributed cocaine laced with fentanyl at a party at an apartment in the Skyline area of Fairfax County. Six individuals took the substance, believing it to be cocaine. All six suffered overdoses and were transported to area hospitals. Five of the overdose victims were able to be saved by the administration of Narcan. However, the sixth individual died as a result of a fentanyl overdose. At trial, the evidence showed that Vaughn had intentionally added fentanyl to the cocaine. Additionally, Vaughn possessed approximately 60 additional grams of fentanyl powder at his residence when he was arrested on October 20, 2021.
Vaughn faces a mandatory minimum of 20 years in prison when sentenced on December 21. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; and Kevin Davis, Fairfax County Chief of Police, made the announcement after U.S. District Judge Rossie D. Alston accepted the verdict.
Significant assistance was provided by the Prince William County Police Department.
Assistant U.S. Attorneys Rachael C. Tucker and Michael P. Ben’Ary are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:21-cr-261.
President of Queens-Based Construction Company Charged with Fraud in Connection with Homeless Shelter Contracts Worth $12 MillionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Jonathan Mellone, Special Agent-in-Charge of the New York Region of the United States Department of Labor Office of Inspector General (“DOL-OIG”), and Jocelyn Strauber, the Commissioner of the New York City Department of Investigation (“NYC-DOI”), announced today the arrest of LIAQUAT CHEEMA and ALI CHEEMA on charges of wire fraud conspiracy, aggravated identity theft, and money laundering conspiracy for their role in a scheme to defraud New York City (the “City”) in connection with public contracts to perform general contracting work at City homeless shelters. Three other participants in the money laundering scheme, IRFAN BAJWA, SHOUKET CHUDHARY, a/k/a “Muhammad Shakoor Chudary,” a/k/a “Mohammad Shakoor Chudary,” and KHIZAR HAYAT were also arrested for their role in using bank accounts to receive proceeds of the fraud scheme and conducting financial transactions to conceal, among other things, the illegal source of the funds. In addition, LIAQUAT CHEEMA, BAJWA, CHUDHARY, and HAYAT were each charged in a separate scheme to fraudulently obtain tens of thousands of dollars-worth of Medicaid benefits. The defendants were arrested this morning in East Elmhurst and New Hyde Park, New York, and will be presented today before a magistrate judge in the Southern District of New York.
U.S. Attorney Damian Williams said: “The defendants entered into public contracts so that they could provide vital maintenance to homeless shelters to aid New York City’s most vulnerable residents; however, instead of honoring these contracts, the defendants allegedly concocted multiple schemes to steal public funds. Today’s arrests signal this Office’s continued commitment to combat any and all fraud and money laundering schemes.”
Special Agent-in-Charge Jonathan Mellone said: “An important mission of the U.S. Department of Labor Office of Inspector General is to investigate allegations of certain illicit and fraudulent employment practices. We will continue to work with our law enforcement partners to investigate these types of allegations.”
NYC-DOI Commissioner Jocelyn Strauber said: “As alleged, these defendants, contractors who work on New York City homeless shelters, used their contractor status to fraudulently siphon funds from the City. The charged scheme was vast and involved overbilling for material, false claims to prompt the issuance of paychecks to purported workers and the diversion of those paychecks to defendants, and the submission of false certifications that enabled defendants to wrongfully obtain Medicaid benefits. DOI thanks the City Department of Social Services for initially referring allegations of fraud to DOI and the United States Attorney's Office for the Southern District of New York and the U.S. Department of Labor Office of the Inspector General for their partnership on this investigation.”
As alleged in the Complaint unsealed today in Manhattan federal court:[1]
LIAQUAT CHEEMA and ALI CHEEMA were the President and, at least as of in or about 2015, the Vice President, respectively, of AFL Construction Co. Inc. (“AFL”), located in Queens, New York. AFL entered into public contracts with the City worth approximately $12 million to perform general contracting work at homeless shelters located in the City, including in the Southern District of New York. Pursuant to the contracts, AFL would perform, among other things, general maintenance, landscaping, roofing, and snow removal at shelter sites.
From at least in or about 2014 through at least in or about 2018, LIAQUAT CHEEMA and ALI CHEEMA used the contracts to fraudulently enrich themselves and steal from the City. In furtherance of the scheme, LIAQUAT CHEEMA and ALI CHEEMA, among other things, submitted fraudulent invoices and other documentation in support of requests for payment on the contracts, which falsely claimed that certain workers had performed work on certain projects and falsely inflated amounts paid by the defendants for materials purportedly used on such projects. These fraudulent invoices and supporting documentation contained, without authorization, the identities of other persons, including the names, and in at least one case, the social security number, of purported workers who in fact had not worked on the projects specified in the requests for payment submitted by LIAQUAT CHEEMA and ALI CHEEMA. To date, AFL has been paid at least $8 million for work purportedly performed pursuant to these contracts.
In addition, during the same period, LIAQUAT CHEEMA and ALI CHEEMA, as well as IRFAN BAJWA, SHOUKET CHUDHARY, and KHIZAR HAYAT used several bank accounts to receive the proceeds of the fraudulent scheme and conducted financial transactions to conceal, among other things, the illegal source of the funds. Those transactions included transfers of illicit proceeds into the defendants’ personal and business bank accounts via fraudulent checks in order to conceal the scheme. For example, certain of the defendants caused AFL to issue hundreds of checks to purported workers fraudulently listed in documentation submitted to the City in support of payment on the contracts but never delivered those checks to the purported workers; instead, the defendants deposited the checks into their own personal and business bank accounts.
LIAQUAT CHEEMA, IRFAN BAJWA, SHOUKET CHUDHARY, and KHIZAR HAYAT also fraudulently obtained tens of thousands of dollars-worth of Medicaid benefits by repeatedly submitting fraudulent certifications, which underreported their actual incomes and accordingly enabled them to obtain Medicaid benefits for which they were not eligible. In support of requests for Medicaid benefits, LIAQUAT CHEEMA, BAJWA, CHUDHARY, and HAYAT repeatedly submitted nearly identical employment letters, which, among other misrepresentations, contained the name and purported signature of a purported “Project Manager” who, in fact, was deceased.
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LIAQUAT CHEEMA, 62, of East Elmhurst, New York, is charged with one count of wire fraud conspiracy, which carries a maximum potential sentence of 20 years in prison; one count of money laundering conspiracy, which carries a maximum potential sentence of 20 years in prison; one count of health care fraud conspiracy, which carries a maximum potential sentence of 10 years in prison; and two counts of aggravated identity theft, each of which carry a mandatory sentence of two years in prison.
ALI CHEEMA, 31, of East Elmhurst, New York, is charged with one count of wire fraud conspiracy, which carries a maximum potential sentence of 20 years in prison; one count of money laundering conspiracy, which carries a maximum potential sentence of 20 years in prison; and one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
IRFAN BAJWA, 42, of New Hyde Park, New York, SHOUKET CHUDHARY, 64, of East Elmhurst, New York, and KHIZAR HAYAT, 46, of East Elmhurst, New York, are each charged with one count of money laundering conspiracy, which carries a maximum potential sentence of 20 years in prison; one count of health care fraud conspiracy, which carries a maximum potential sentence of 10 years in prison; and one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
The maximum potential penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Williams praised the outstanding investigative work of DOL-OIG and NYC-DOI.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Timothy V. Capozzi is in charge of the prosecution.
The allegations 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 constitutes only allegations, and every fact described herein should be treated as an allegation.
Physician Pleads Guilty to Making False Statements for More Than 2,000 Medicare, Medicaid PatientsRead the Press Release
KANSAS CITY, Mo. – A former Joplin, Mo., physician pleaded guilty in federal court today to falsely certifying that products and tests were medically necessary for more than 2,000 Medicare and Medicaid patients in Missouri whom he never met or examined.
“This physician violated his oath and abused his trusted position to support a fraud scheme that cost taxpayers millions of dollars,” said U.S. Attorney Teresa Moore. “He will be held accountable for the specific and essential role he played in the deceit as the larger investigation into other aspects of this criminal scheme unfolds in other courtrooms across the nation.”
Oluwatobi Alabi Yerokun, 36, of Washington, D.C., pleaded guilty before U.S. District Judge Howard F. Sachs to one count of conspiracy to make false statements related to health care matters.
“Physicians who submit false claims to Medicare and Medicaid for their own financial gain undermine the economy and integrity of federal health care programs,” said Curt L. Muller, Special Agent in Charge with the Department of Health and Human Services, Office of the Inspector General (HHS-OIG). “HHS-OIG is committed to working with our law enforcement partners to ensure that bad actors are held accountable for their health care fraud schemes.”
From February 2019 to April 2021, certain individuals and entities – including marketing, physician recruiting, and telemedicine companies – developed a scheme that targeted the Medicare and Medicaid programs to obtain millions of dollars in reimbursements from those programs.
Yerokun, a physician who practiced medicine in the state of Missouri, among other places, contracted with a staffing company to work as a telemedicine provider. The firm, identified in court documents as Company A, gave Yerokun access to electronic portals so that he could receive information about the patients assigned to him. Yerokun reviewed the information and electronically signed the patient forms and orders he received from Company A.
By pleading guilty today, Yerokun admitted that he signed the patient forms and certified that durable medical equipment or genetic tests were medically necessary. For the genetic tests, he also signed a separate letter of medical necessity. Yerokun knew that his orders would be used to submit claims for payments to Medicare and Medicaid, which paid claims submitted by the durable medical equipment companies and testing laboratories.
Yerokun had no doctor-patient relationship with the Medicare or Medicaid beneficiaries for whom he signed orders and certified medical necessity. He did not see or communicate with any of them. Before Yerokun signed the orders, he made little effort to find out how or from whom the patient information was obtained, who collected the information, the qualifications of any person gathering or providing the information, or whether the information was accurate and complete. Yerokun provided no follow-up care for these patients after he signed the orders for them to receive durable medical equipment or genetic testing.
By knowingly and willfully electronically signing the orders, Yerokun made false and fraudulent statements and documents certifying medical necessity. The statements and documents were false because, among other things, Yerokun did not have adequate information to assess medical necessity for the beneficiaries.
Yerokun rarely, if ever, declined to sign any orders he received from Company A. For many or most of the patients, less than a minute elapsed between when Yerokun accessed the patient’s information through the electronic portal and when he signed the order for durable medical equipment or genetic testing. Accordingly, he knew his false and fraudulent statements and documents were untrue when he made them.
The orders that Yerokun signed were submitted to durable medical equipment companies and clinical testing laboratories, many of whom paid illegal kickbacks to individuals and entities unknown to Yerokun.
Yerokun ordered durable medical equipment and genetic tests for 2,184 Medicare beneficiaries between March 2019 and April 2021. Company A paid Yerokun approximately $20 for each order that he signed, for a total of $44,860.
The orders that Yerokun signed for durable medical equipment for Medicare beneficiaries caused Medicare to be billed more than $6.2 million, and Medicare actually paid those companies almost $3.1 million.
The orders that Yerokum signed for genetic testing for Medicaid beneficiaries caused Medicaid to be billed more than $2.5 million by the laboratories, and Medicaid actually paid those companies almost $525,000.
Under federal statutes, Yerokun is subject to a sentence of up to five years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Cindi Woolery. It was investigated by the Department of Health and Human Services, Office of Inspector General and the Missouri Attorney General Medicaid Fraud Control Unit.
Philadelphia Man Arrested for Gun-Point Robbery of an Armored Truck in WilmingtonRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that a federal grand jury returned an indictment last week charging a Philadelphia man with robbing an armored security truck at gunpoint.
According to the court documents, on June 10, 2022, Tayion Spencer, 31, robbed an armored truck used to collect and deliver U.S. currency in Wilmington, Delaware. Spencer previously worked for the armored truck company he robbed, and he wore his former employer’s uniform during the robbery. During the robbery, Spencer brandished and aimed a firearm at the armored truck driver. A scuffle then ensued where Spencer tasered the driver, stole the driver’s firearm, and drove away in the armored truck.
The Delaware State Police (“DSP”) and FBI located video surveillance showing Spencer fleeing the scene and abandoning the armored truck for a car registered to him. DSP and FBI agents located the armored truck nearby. Spencer stole over $100,000 in cash.
On June 21, 2022, Palm Beach Police arrested Spencer in Florida after he fled a traffic stop and crashed into a marked police vehicle, following a police pursuit. Palm Beach Police recovered a loaded Glock semi-automatic handgun, a taser matching the one used during the robbery, a ski mask, Spencer’s employment paperwork, and approximately $3,200.
If convicted of Hobbs Act Robbery, carjacking, and brandishing and use of a firearm in relation to a crime of violence, Spencer faces a mandatory minimum of 7 years and maximum penalty of life in prison. A federal district court judge will determine any sentence after consideration of the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Weiss stated, “Mr. Spencer is charged with Hobbs Act Robbery, carjacking, and using a firearm during that robbery. While fleeing law enforcement, he recklessly endangered others. My office and our federal, state, and local law enforcement partners are committed to holding individuals accountable who participate in violent criminal activity.”
This case is being investigated by the Delaware State Police and the FBI. Assistant U.S. Attorney Kevin P. Pierce is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
Pascagoula Man Sentenced for Possession of a Firearm by a Convicted FelonRead the Press Release
Gulfport, Miss. - A Pascagoula man was sentenced to 41 months in federal prison for being a convicted felon in possession of a firearm, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of The Bureau of Alcohol, Tobacco, Firearms and Explosives.
Johnny Elliott Washington a/k/a Johnnie Elliot Washington, 54, was sentenced in U.S. District Court in Gulfport.
According to court documents, on July 13, 2020, Washington sold two firearms to a confidential source at a residence in Moss Point, Mississippi. Washington was previously convicted of possession of a controlled substance in Harrison County, Mississippi. As a convicted felon, he is prohibited from possessing a firearm.
Washington was indicted by a federal grand jury on March 20, 2021, and pled guilty on May 26, 2022.
The case was investigated by The Bureau of Alcohol, Tobacco, Firearms and Explosives and the South Mississippi Metro Enforcement Team.
The case was prosecuted by Assistant U.S. Attorney Andrea Jones.
Ohio Man Arrested for Child Pornography OffenseRead the Press Release
BOSTON – An Ohio man has been arrested in connection with possessing child sexual abuse material (CSAM).
Thiago da Silva Pinheiro, 42, of Cincinnati, Ohio was charged with one count of possession of child pornography. Following an initial appearance in federal court in Boston today before U.S. District Court Magistrate Judge Paul G. Levenson, Pinheiro was detained pending a detention hearing scheduled for Sept. 22, 2022.
According to the charging documents, on Sept. 20, 2022, Pinheiro flew from Ontario, Canada to Boston with an ultimate destination of Brazil. During a screening by Customs and Border Protection at Logan Airport, customs officers observed apparent CSAM on Pinheiro’s tablet. It is alleged that a preliminary review of the tablet revealed approximately 2,800 videos and images depicting apparent CSAM, some of which depicted children as young as two to four years old.
The charge of possession of child pornography provides for a sentence of up to 20 years in prison, at least five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England made the announcement today. Valuable assistance was provided by Customs and Border Protection. Assistant U.S. Attorney Meghan C. Cleary of Rollins’ Major Crimes Unit is prosecuting 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 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 details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Norfolk Man Pleads Guilty to Possessing a Firearm Used in an Attempted Malicious WoundingRead the Press Release
NORFOLK, Va. – A Norfolk man pleaded guilty today to being a felon in possession of a firearm.
According to court documents, on May 7, 2021, Louis Bernard Lee, III, 26, was stopped by an Old Dominion University Police Department (ODUPD) officer for speeding. Lee had an outstanding warrant for an attempted malicious wounding that occurred on April 26, 2021. During the arrest, ODUPD discovered two firearms in Lee’s vehicle. Also recovered from the vehicle was a 30-round magazine and a 50-round drum magazine. Lee was previously convicted of a felony in the City of Norfolk and was prohibited from possessing firearms.
Lee admitted he used one of the firearms recovered from the vehicle in a shooting on April 26, 2021. For the April 2021 shooting he was convicted in Norfolk Circuit Court for attempted malicious wounding, use of a firearm in a felony, and possession of a firearm by a convicted felon. Lee was sentenced for those charges on December 22, 2021, and received a 4-year sentence.
Lee is scheduled to be sentenced for his federal conviction on February 10, 2023. He faces a maximum penalty of 10 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Ramin Fatehi, Norfolk Commonwealth’s Attorney; and Charlie J. Patterson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Washington Field Division, made the announcement after U.S. Magistrate Judge Robert Krask accepted the plea.
Special Assistant U.S. Attorney Graham M. Stolle and Assistant U.S. Attorney John F. Butler are prosecuting the case. Stolle also serves as an Assistant Norfolk Commonwealth Attorney.
This case is part of Project Safe Neighborhoods (PSN), which 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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:22-cr-85.