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Friday 16 September 2022
Two men accused in an assault of Bureau of Indian Affairs officer on Crow Indian Reservation admit chargesRead the Press Release
BILLINGS — Two men admitted to charges this week for their roles in an assault on a Bureau of Indian Affairs officer, who was pursuing one of the men for operating a stolen vehicle in Lodge Grass, on the Crow Indian Reservation, U.S. Attorney Jesse Laslovich said today.
Earl Landon Old Chief, Jr., 36, pleaded guilty on Thursday, Sept. 15, to assault on a federal officer. Old Chief faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Susan P. Watters.
Co-defendant Darnell Lee Not Afraid, 38, of Pryor, pleaded guilty on Wednesday, Sept. 14, to possession of a firearm in furtherance of assault on a federal officer, a crime of violence. Not Afraid faces a mandatory minimum of five years to life in prison, a $250,000 fine and five years of supervised release. U.S. District Judge Susan P. Watters presided and set sentencing for Jan. 26, 2023.
The court will determine any sentence after considering the U.S. Sentencing Guidelines and other sentencing factors. Old Chief and Not Afraid were detained pending further proceedings.
The government alleged in court documents that on March 14, 2021, BIA officers, while in the course of their official duties, were pursuing Not Afraid, who was driving a stolen truck at high speeds through residential neighborhoods in Lodge Grass. Not Afraid eventually stopped, got out of the truck and ran away. The officer pursued on foot into a residential yard and drew his Taser. As the officer neared Not Afraid, Not Afraid turned toward the officer, pulled up his shirt and grabbed a silver revolver from his waistband. The officer dropped his Taser, drew his service pistol and fired multiple times at Not Afraid, striking him at least once in the arm. An angry crowd of people, who had been watching the chase, accosted the officer, yelling and cursing at him. The crowd was angry at the officer for shooting Not Afraid and prevented the officer from attending to him. Old Chief became agitated at the scene and threw a bottle at the officer, nearly striking him in the shoulder and head. Old Chief pointed the officer’s Taser at the officer’s face and then threw the Taser at him. Officers recovered the revolver and determined that it was loaded.
A third co-defendant, Darwyna Caylynn Catherine Bullshows, pleaded guilty to charges and is pending sentencing.
Assistant U.S. Attorney Lori Harper Suek is prosecuting the case, which was investigated by the FBI.
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Two Maple Heights Men Charged in Multiple Armed Carjacking IncidentsRead the Press Release
CLEVELAND - Today, a federal grand jury returned a 10-count indictment charging Donteze Congress, age 18, and Thomas J.D. Williams, age 18, both of Maple Heights, Ohio, with using a firearm to steal vehicles during separate incidents on August 9, 2022.
Congress and Williams are both charged with carjacking, possession of a firearm in furtherance of a crime of violence and aiding and abetting possession of a firearm in furtherance of a crime of violence. Williams is also charged with attempted carjacking and carrying a firearm during a crime of violence.
According to court documents, it is alleged that on three separate occasions on August 9, 2022, police officers in Cuyahoga Falls, Solon and Streetsboro were called to respond to an armed carjacking incident. In both Cuyahoga Falls and Streetsboro, the perpetrators were alleged to have struck the victim’s vehicle from the rear, brandished firearms and confronted the victims after the victims exited the vehicle to assess the damage.
In the Streetsboro incident, it is alleged that the perpetrators approached the victim as the victim exited their vehicle, brandished a firearm and demanded the vehicle keys. However, court documents state that the perpetrators were unable to get away with the vehicle.
Defendants Congress and Williams were later identified and arrested following an investigation into the carjacking incidents.
An indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the court after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offenses and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum; in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Cleveland FBI, Solon Police Department, Cuyahoga Falls Police Department, Streetsboro Police Department and Garfield Heights Police Department. This case is being prosecuted by Assistant United States Attorneys Peter E. Daly and Christopher J. Joyce.
Tabor Man Pleads Guilty in Federal Court to Wire FraudRead the Press Release
United States Attorney Alison J. Ramsdell announced that Steven Joseph Bares, age 53, of Tabor, South Dakota, appeared before U.S. District Judge Karen E. Schreier on September 13, 2022, and pleaded guilty to an Information that charged him with wire fraud.
The maximum penalty upon conviction is 20 years in custody and/or a $250,000 fine; three years of supervised release, a violation of any condition of release could result in two years of additional custody on any such revocation; $100 to the Federal Crime Victims Fund; and restitution.
Bares willfully and unlawfully devised and intended to devise a scheme and artifice to defraud and obtain money and property from two parishes by false and fraudulent pretenses, representations, and promises.
Saint Wenceslaus Parish in Tabor, South Dakota, and Saint John the Baptist Parish in Lesterville, South Dakota, are two small Catholic parishes located in rural South Dakota towns. The churches shared a single priest. The only administrative staff at the churches was Bares, who primarily worked as the bookkeeper. In that capacity, Bares wrote checks to pay bills and entered checks in the general ledges.
In May 2021, the Sioux Falls Catholic Diocese, on behalf of the above-named parishes, hired an accounting firm to conduct a forensic audit. The audit uncovered multiple checks made out to companies belonging to Bares that did not correspond to any service or equipment purchased from those companies. Furthermore, these checks were neither entered in the general ledger nor entered as a legitimate expense.
Between January 2013 and March 2020, Bares embezzled money from two Parishes, totaling $324,001.37. The investigation confirmed that the checks identified in the audit report were deposited into accounts held by Bares.
The investigation was conducted by the FBI. The case is being prosecuted by Assistant U.S. Attorney Jeremy R. Jehangiri.
A presentence investigation was ordered and a sentencing date was set for December 12, 2022. The defendant was released on bond pending sentencing.
Spokane Man Sentenced to 200 Months in Federal Prison for Drug Trafficking OffensesRead the Press Release
Spokane, Washington – United States District Judge Thomas O. Rice sentenced Bradley Dale Hull, age 55, of Spokane, Washington, to 200 months in federal prison after Hull was convicted by a jury on May 18, 2022 of Possession with Intent to Distribute 100 Grams or More of a Mixture or Substance Containing Heroin and Possession with Intent to Distribute 50 Grams or More of Actual (Pure) Methamphetamine.
According to court documents, on February 7, 2020, a detective with the Spokane County Sheriff’s Office was surveilling Hull’s residence in Spokane, Washington. After a separate search warrant was executed on Hull’s girlfriend’s residence, Hull was observed running through the snow barefoot towards a parked car. Hull was carrying a grocery bag which, after Hull was detained, was found to contain substantial quantities of methamphetamine and heroin. The grocery bag also contained more than $13,000 in U.S. Currency along with a number of collector coins. During the trial, Hull testified. Hull acknowledged that he collected coins, but denied the drugs were his, claiming the detective had seen someone else running with the bag. The jury, in returning a guilty verdict, rejected Hull’s claims. In announcing the sentence, Judge Rice observed that Hull had made false statements and perjured himself during his testimony.
United States Attorney Vanessa R. Waldref, the Chief Law Enforcement Officer in the Eastern District of Washington, stated, “Mr. Hull possessed large amounts of methamphetamine and heroin and was in such a hurry to evade law enforcement that he ran barefoot to his car on a February morning in Spokane. At trial, Mr. Hull sought to evade responsibility by making false statements to Judge Rice and the jury.” U.S. Attorney Waldref continued, “I’m grateful for the tireless efforts of our law enforcement team, who protect our community by removing dangerous drugs from our neighborhoods.”
Assistant United States Attorney Michael Ellis, who tried and prosecuted the case, thanked the agents and law enforcement officers who investigated the case. AUSA Ellis stated, “Whenever a case goes to trial, there is a tremendous amount of work that takes place behind the scenes. As an AUSA, I have the privilege of working closely with some the best law enforcement agents and officers in the United States. The verdict and sentence in this case are the direct result of the agents’ dedication and service within the Spokane community.”
The case was investigated by the Drug Enforcement Administration and the Spokane County Sheriff’s Office. This case was prosecuted by Michael J. Ellis, Assistant United States Attorney for the Eastern District of Washington.
Slidell Man Pleads Guilty to Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS – RAYMOND BAYONA, age 32, a resident of Slidell, Louisiana, pled guilty on September 15, 2022 before United States District Judge Barry W. Ashe to a one-count indictment charging him with being a convicted felon in possession of a firearm in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), announced U.S. Attorney Duane A. Evans.
According to court documents, on March 2, 2022, detectives with the Slidell Police Department observed BAYONA on foot carrying a small red backpack near a gas station located on Robert Boulevard in Slidell. BAYONA had an active felony warrant for theft of a motor vehicle issued by the Slidell Police Department. After BAYONA entered the gas station parking lot, detectives followed him into the parking lot and requested that BAYONA stop. BAYONA then ran inside the gas station, followed by the detectives. The detectives were directed to the back of the store and located BAYONA hiding in a closet. The detectives located BAYONA’s red backpack in a corner near where BAYONA was hiding. Inside the backpack, BAYONA had a loaded Taurus nine-millimeter handgun. Prior to this, BAYONA knew that he had been convicted of crimes punishable by imprisonment for a term exceeding one year.
BAYONA faces a maximum term of (10) years imprisonment, followed by up to three (3) years of supervised release, up to a $250,000.00 fine, and a mandatory special assessment fee of $100.00.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the New Orleans Police Department, the Orleans Parish District Attorney’s Office, and the United States Federal Bureau of Investigation. Assistant United States Attorneys Rachal Cassagne and Irene González are in charge of the prosecution.
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Sioux Falls Man Sentenced in Meth ConspiracyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on September 12, 2022, by U.S. District Judge Karen E. Schreier.
Oleg Vasiliyvich Manuylo, age 30, was sentenced to 10 years and one month in federal prison, followed by five years of supervised release. He was also ordered to pay $100 to the Federal Crime Victims Fund.
Manuylo was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in December of 2021. He pleaded guilty on June 27, 2022.
Manuylo knowingly and intentionally combined, conspired, confederated, and agreed together, with others known and unknown, to distribute 500 grams or more of a mixture or substance containing methamphetamine, a Schedule II controlled substance, in the state of South Dakota and elsewhere.
This case was investigated by the Sioux Falls Police Department, Drug Enforcement Administration, U.S. Postal Inspection Service, and the South Dakota Highway Patrol. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Manuylo was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Production of Child PornographyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sioux Falls, South Dakota, man convicted of Production of Child Pornography was sentenced on September 12, 2022, by U.S. District Judge Karen E. Schreier.
Jeremy James Konda, age 49, was sentenced to 15 years in federal prison, followed by five years of supervised release, and ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $100.
Konda was indicted by a federal grand jury in September of 2021. He pleaded guilty on July 5, 2022.
The conviction stemmed from incidents between May 27, 2020, and July 26, 2020, when Konda used a hidden camera placed in his bathroom to record videos of a minor female while she was using the toilet and the shower. The minor female was living there at the time.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by Homeland Security Investigation, the South Dakota Division of Criminal Investigation, and the Minnehaha County Sheriff’s Office. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Konda was immediately remanded to the custody of the U.S. Marshals Service.
Reality Show Star Convicted of Murder-For-Hire ChargesRead the Press Release
ST. LOUIS – A jury on Friday convicted a former reality show star from Jackson, Mississippi of murder-for-hire and insurance fraud charges connected his successful plot to have his nephew killed in 2016.
After seven days of evidence, jurors found James Timothy Norman, 43, guilty of conspiracy to commit murder-for-hire, murder-for-hire and conspiracy to commit mail and wire fraud in the fatal shooting of 21-year-old Andre Montgomery Jr. on March 14, 2016, at 3964 Natural Bridge Avenue in St. Louis.
Norman took out a life insurance policy worth $450,000 on Montgomery, then arranged through intermediaries for his nephew's murder so that he could profit from it. Norman and Montgomery appeared on the reality show Welcome to Sweetie Pie’s.
All three of Norman’s co-defendants pleaded guilty before trial. On June 3, 2022, Travell Anthony Hill, now 31, pleaded guilty to one count of conspiracy to commit murder-for-hire and one count of murder-for-hire. Hill admitted that prior to Montgomery’s death, he met with a mutual acquaintance of his and Norman’s, who told Hill that Norman wanted Montgomery killed. On the day of Montgomery’s death, Hill and Norman met in St. Louis and Norman told Hill that a woman would be calling with Montgomery’s location. After receiving a call from the woman, Terica Ellis, Hill fatally shot Montgomery with a .380-caliber handgun at 8:02 p.m. and then disposed of the gun and his phone. He was later paid $5,000.
On July 22, Ellis, 38, pleaded guilty to the murder-for-hire conspiracy charge and Waiel “Wally” Rebhi Yaghnam, 44, pleaded guilty to a charge of wire and mail fraud conspiracy.
Ellis, an exotic dancer from Memphis, Tennessee, admitted finding Montgomery twice for Norman before the murder and providing Montgomery’s whereabouts first to Norman, then to Hill, using prepaid “burner” phones Ellis and Norman purchased together. Ellis admitted knowing that Norman was upset and frustrated by his inability to locate Montgomery and knowing that Norman was going to take some form of action, but she did not know Montgomery would be shot. Norman paid her $10,000 for finding his nephew and told her to dispose of her burner phone after the murder.
Yaghnam, an insurance agent, admitted conspiring with Norman to fraudulently obtain a life insurance policy on Montgomery. Beginning in October of 2014, Norman and Yaghnam submitted five separate life insurance applications, all containing numerous false statements regarding Montgomery’s income, net worth, medical history, employment and family background. The $200,000 policy that was ultimately issued had a $200,000 accidental death rider that would pay out if Montgomery died of something other than natural causes and a $50,000 rider that would pay out if Montgomery died within 10 years of the policy’s issuance.
Following Montgomery’s murder, Yaghnam helped Norman file a claim on Montgomery’s life insurance policy.
Elis was charged by complaint on July 8, 2020. Norman was charged Aug. 11, 2020. Norman, Ellis and Yaghnam were indicted Aug. 20, 2020. Hill was charged Nov. 3, 2020.
Norman is scheduled to be sentenced December 15.
U.S. Attorney Sayler Fleming said, “I’d like to thank the prosecution team that worked with a tremendous amount of evidence to earn this guilty verdict, as well as the cooperation and diligence of the St. Louis Metropolitan Police Department and the FBI.”
The FBI and the St. Louis Metropolitan Police Department investigated this case. Assistant U.S. Attorneys Angie Danis and Gwendolyn Carroll are prosecuting the case.
Rapid City Man Sentenced to Three Years and One Month for Heroin TraffickingRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 24, 2022, by U.S. District Judge Karen E. Schreier.
Isiah Hunter, age 29, was sentenced to three years and one month in federal prison, followed by four years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Hunter was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in May of 2019. He pleaded guilty on March 16, 2022. Hunter was responsible for distributing between 100 grams and 400 grams of heroin during his involvement in the conspiracy. Hunter obtained distributable amounts of heroin and then distributed it to others primarily in the Rapid City area. Oftentimes he would set up deals between the source and other parties obtaining heroin. Four other co-defendants have already been sentenced.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorney Gina Nelson prosecuted the case.
Hunter was immediately remanded to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to Six Years for Drug Trafficking ConspiracyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 19, 2022, by U.S. District Judge Karen E. Schreier.
Mark Twogood, age 57, was sentenced to six years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Twogood was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in January of 2020. He pleaded guilty on May 18, 2022.
During his involvement in the conspiracy, Twogood and other co-conspirators obtained and transported methamphetamine between Colorado and South Dakota. The methamphetamine was then distributed in western South Dakota for use and distribution by others. Two co-defendants have previously been sentenced.
This case was investigated by the Unified Narcotics Enforcement Team (UNET). UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorney Gina S. Nelson prosecuted the case.
Twogood was immediately remanded to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to 16 Years and Eight Months in Federal Prison for Meth TraffickingRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on September 9, 2022, by U.S. District Judge Karen E. Schreier.
Jay Paul Gallego, age 37, was sentenced to 16 years and eight months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Gallego was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in June of 2021. He pleaded guilty on May 9, 2022.
Gallego, who resided in Rapid City, was a primary supplier of methamphetamine for multiple people in Rapid City and the Pine Ridge Reservation. He supplied methamphetamine to multiple individuals and coordinated and conspired with others as part of this drug trafficking conspiracy. At times, Gallego was also involved in possessing and selling firearms as part of this conspiracy.
This case was investigated by the Badlands Safe Trails Drug Enforcement Task Force, which is comprised of agents from the FBI, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs Division of Drug Enforcement, Martin Police Department, Oglala Sioux Tribe Department of Public Safety, and the South Dakota Highway Patrol. Assistant U.S. Attorney Gina Nelson prosecuted the case.
Gallego was immediately remanded to the custody of the U.S. Marshals Service.
Queens Man Pleads Guilty to Sexually Exploiting Three MinorsRead the Press Release
Earlier today, in federal court in Brooklyn, Rogelio Vega pleaded guilty to three counts of enticing a child to engage in sexual conduct. Today’s proceeding was held before United States Magistrate Judge Sanket J. Bulsara. When sentenced, Vega faces a statutory minimum sentence of 10 years’ imprisonment and a maximum of life imprisonment.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the guilty plea.
“The defendant’s use of the internet, including apps targeted to children, to sexually exploit minors is reprehensible,” stated United States Attorney Peace. “Protecting children from online predators will always be a priority of this office.”
“These were not just poor decisions on Mr. Vega’s part, they were calculated, despicable wrongs,” stated NYPD Commissioner Sewell. “Today’s guilty plea holds him responsible for his actions and prevents him from causing any additional harm. And he will forever be branded as a predator who used the internet to prey on underage victims for his own sexual gratification.”
As set forth in court filings, between approximately 2015 and January 2021, the defendant used the Kik Internet messaging application, which is marketed to teens, and the Grindr application, which is marketed to the LGBTQ population, to express his interest in “young guys” and coerce and entice three male victims between the ages of 14 and 16 to meet him for sexual acts. A review of messages found on the defendant’s cell phones revealed a series of messages in which the victims identified themselves as underage and the defendant arranged to meet them for sexual encounters in his car or at motels.
Department of Justice Trial Attorney Patrick J. Campbell is in charge of the prosecution.
The Defendant:
ROGELIO VEGA
Age: 52
Maspeth, New YorkE.D.N.Y. Docket No. 21-CR-563 (EK)
Postal Worker Indicted for Theft of MailRead the Press Release
NEW ORLEANS, LOUISIANA – LEON TINSON, age 48, of New Orleans, Louisiana, was indicted on September 15, 2022 for Theft of Mail by a Postal Service Employee in violation of Title 18, United States Code, Section 1709.
According to the indictment, on or about April 14, 2022, TINSON stole, abstracted, and removed the contents of a letter entrusted to him and which came into his possession intended to be conveyed by mail, while performing his assigned duties as an employee of the United States Postal Service.
If convicted, TINSON faces a maximum penalty of up to five (5) years imprisonment, followed by up to three (3) years of supervised release, up to a $250,000 fine, and a $100 mandatory special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by the United States Postal Inspection Service, Office of the Inspector General. Assistant U.S. Attorney David Berman is in charge of the prosecution.
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Podiatrist Convicted of $1.8 Million Healthcare Fraud SchemeRead the Press Release
A federal jury convicted a Michigan man today for his role in devising and executing a $1.8 million scheme to defraud Medicare by billing for services under another doctor’s name after Medicare revoked his privileges to participate in the program.
The defendant, Dr. Kenneth Mitchell, 60, of Oakland County, Michigan, was also convicted for falsification of records designed to prevent detection of this fraud and aggravated identity theft for falsely corresponding with Medicare under the name of another physician.
According to court documents and evidence presented at trial, Mitchell was revoked from participating in the Medicare program in January 2015. Shortly thereafter, he convinced his then-partner to enroll in Medicare and assist in opening a new clinic called Urban Health Care Group PLLC. Once the new business was set up, Mitchell continued to bill Medicare for services just as he had prior to his revocation, only now exclusively under the name of his partner. Upon law enforcement’s discovery of this scheme, Medicare suspended payments to Urban Health Care Group PLLC. Mitchell subsequently submitted false statements to Medicare regarding the fraud allegations (again, under his partner’s name) in an effort to undermine the government’s investigation and ensure the release of Medicare funds to the bank account he controlled.
Mitchell was convicted of one count of conspiracy to commit health care fraud and wire fraud; three counts of health care fraud; one count of falsification of records in a federal investigation; and one count of aggravated identity theft. He is scheduled to be sentenced on Jan. 26, 2023 and faces a maximum penalty of imprisonment of 20 years for conspiracy to commit wire fraud and wire fraud, 10 years for health care fraud, 20 years for falsification of records, and two years for aggravated identity theft (to be served consecutive to any other sentence). A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Special Agent in Charge Mario Pinto and Assistant Special Agent in Charge Darren Bartnik of the Department of Health and Human Services, Office of Inspector General (HHS-OIG); and Special Agent in Charge Angie Salazar of the Department of Homeland Security, Homeland Security Investigations (HSI) made the announcement.
The HHS-OIG and HSI investigated the case.
Trial Attorneys Kathleen Cooperstein and Shankar Ramamurthy of the Justice Department’s Fraud Section are prosecuting the case.
Any patients who believe they may have been treated by a doctor who billed improperly services should report this conduct to HHS-OIG at 1-800-HHS-TIPS.
Pittsburgh Man Indicted on Sex Trafficking and Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH- A former resident of Pittsburgh, Pennsylvania, initially charged in federal court by criminal complaint for possession of material depicting the sexual exploitation of a minor, has been indicted by a federal grand jury in Pittsburgh on charges of sex trafficking by force, threats of force, fraud and coercion, as well as production and possession of material depicting the sexual exploitation of a minor, United States Attorney Cindy K. Chung announced today.
The seven-count Indictment, returned yesterday, names Eric Jefferson, 39, formerly of the Polish Hill neighborhood of Pittsburgh and currently incarcerated at Allegheny County Jail, as the sole defendant.
According to the seven-count Indictment, from in and around June 2019 to in and around April 2022, Jefferson attempted to and did by force, threats of force, fraud or coercion, cause four different adult females, who are known to the grand jury, to engage in commercial sex acts. Additionally, the Indictment alleges that from in and around February 2021 to in and around May 2022, Jefferson used the internet and cell phone to promote, manage, establish, carry on, and facilitate the promotion, management, establishment, and carrying on of a business involving prostitution, in violation of state and federal law. The Indictment also alleges that on or about May 29, 2017, Jefferson produced a visual depiction of a minor engaging in sexually explicit conduct. Lastly, the Indictment alleges that, on or about May 18, 2022, Jefferson possessed material depicting the sexual exploitation of minors who were under the age of 12.
The law provides for a maximum total sentence of not less than 15 years to life in prison, a fine not to exceed $250,000.00 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case on behalf of the United States.
The Federal Bureau of Investigation, with the assistance of the Pittsburgh Bureau of Police Narcotics Division, conducted the investigation leading to the Indictment in this case.
The charges in the Indictment concern specific victims. Additional members of the public who may have information about Jefferson’s involvement in sex trafficking are encouraged to call the FBI’s Pittsburgh Field Office at (412) 432-4000.This prosecution is part of Operation T.E.N. (Trafficking Ends Now). Operation T.E.N. serves as an umbrella coalition for law enforcement, community, and non-profit partners in the 25
counties in the Western District of Pennsylvania. This coordinated effort aims to end human trafficking through education and improved cooperation across agencies and service providers, thereby enhancing the office’s ability to empower victims of human trafficking to become thriving survivors.An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pine Ridge Woman Sentenced to Three Years and 10 Months for Meth Trafficking ConspiracyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Pine Ridge, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on September 9, 2022, by U.S. District Judge Karen E. Schreier.
Shiotah Buckman, age 22, was sentenced to three years and 10 months in federal prison, followed by four years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Buckman was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in February of 2021. She pleaded guilty to the indictment on May 20, 2022. Buckman obtained methamphetamine brought to South Dakota by others and then distributed that methamphetamine to others for use and additional distribution. It was reasonably foreseeable that between 350-500 grams would be distributed during the course of the conspiracy, primarily in the Pine Ridge area.
This case was investigated by the Badlands Safe Trails Drug Enforcement Task Force, which is comprised of agents from the FBI, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs Division of Drug Enforcement, Martin Police Department, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Buckman was immediately remanded to the custody of the U.S. Marshals Service.
Pine Ridge Man Sentenced to over 36 Years in Federal PrisonRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Pine Ridge, South Dakota, man convicted of Discharge and Brandishing of a Firearm During a Crime of Violence, Assault with a Dangerous Weapon, Assault Resulting in Serious Bodily Injury, three counts of Failure to Register as a Sex Offender, and two counts of Possession of a Firearm by a Prohibited Person was sentenced on August 31, 2022, by U.S. District Judge Jeffrey L. Viken,
Isaac Roubideaux, age 30, was sentenced to a total of 442 months in federal prison on the eight charges of which he was convicted by a federal jury in May of 2022. This time is to be followed by five years of supervised release. Roubideaux was also ordered to pay $800 in special assessments to the Federal Crime Victims Fund and $900 in restitution.
Roubideaux was indicted by a federal grand jury in December of 2021. He was found guilty of the charges following a jury trial in Rapid City, South Dakota on May 20, 2022.
The conviction stems from Roubideaux using a Savage rifle to shoot a male individual in the back as he attempted to leave Roubideaux’s residence at Pine Ridge on November 18, 2021. The victim was paralyzed from the waist down as a result of the assault. Roubideaux was convicted of Sexual Abuse of a Minor in 2016 and was required to register as a sex offender. On three separate occasions between 2020 and 2021, Roubideaux failed to update and register his address consistent with the Sex Offender Registration and Notification Act. Roubideaux, a convicted felon, who is prohibited by law from possessing firearms, possessed a KEL-TEC, .22 caliber handgun on September 26, 2021, and the Savage rifle that was used in the November 18, 2021, shooting.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Oglala Sioux Tribe Department of Public Safety, Oglala Sioux Tribe Criminal Investigations Unit, Bureau of Alcohol, Tobacco, Firearms and Explosives, Rapid City Police Department, U.S. Marshals Service, and the FBI. Assistant U.S. Attorneys Megan Poppen and Heather Sazama prosecuted the case.
Roubideaux was immediately remanded to the custody of the U.S. Marshals Service.
Piedmont Woman Sentenced to 10 years in Federal Prison for Drug Trafficking ConspiracyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Piedmont, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 5, 2022, by U.S. District Judge Karen E. Schreier.
Billi American Horse, age 33, was sentenced to 10 years custody in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
American Horse was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in October of 2021. She pleaded guilty on May 13, 2022.
During her involvement in the conspiracy, American Horse obtained methamphetamine and distributed it primarily in western South Dakota. American Horse was involved in a pursuit with law enforcement in July 2021, in which she was transporting large amounts of methamphetamine and other illegal drugs. During the pursuit, she threw illegal substances out the window in an effort to discard the drugs. Once officers were able to stop her, they located methamphetamine and other drugs in American Horse’s vehicle, as well as locating a significant amount of methamphetamine that had been thrown from the vehicle.
This case was investigated by the Unified Narcotics Enforcement Team (UNET). UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorney Gina S. Nelson prosecuted the case.
American Horse was immediately remanded to the custody of the U.S. Marshals Service.
Pensacola Man Sentenced to over 17 Years in Federal Prison for Multiple Firearms OffensesRead the Press Release
PENSACOLA, FLORIDA – Mario Antwan Brewer, Jr., 29, of Pensacola, Florida, was sentenced to 17 ½ years in federal prison for firearms offenses, after pleading guilty on December 17, 2021. The sentence was based upon two federal indictments stemming from violations of federal firearms laws in 2020 and 2021. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“Our law enforcement partnerships play a vital role in fighting violent crime and protecting the public,” said U.S. Attorney Coody. “This sentencing is another example that working jointly with our partners is making our communities safer.”
Court documents reflect that on December 28, 2020, a shoot-out took place between two vehicles at a gas station on the corner of Fairfield and North Davis Highway in Pensacola. Multiple discharged shell casings of 9-millimeter ammunition were left behind at the crime scene which were collected as evidence by the Pensacola Police Department. Thereafter, one of the involved vehicles was located in Alabama and linked to Brewer. On January 28, 2021, Brewer was located at an apartment in Pensacola along with multiple firearms. One of those firearms, a Smith & Wesson 9-millimeter pistol, ballistically matched the firearm that left behind the spent shell casings during the December 2020 shooting. That same firearm had Brewer’s DNA on it when seized.
“Today’s sentencing reflects the collaboration and partnerships required to combat violent crimes in our communities today,” said ATF Tampa Division Special Agent in Charge Craig W. Saier. “This case also demonstrates how ATF’s National Integrated Ballistic Information Network — or NIBIN — can help investigators link shootings and take violent offenders off of our streets.”
Brewer was again caught with a loaded firearm on August 27, 2021. This time, he was apprehended by the United States Marshals Service along with the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Pensacola Police Department. Brewer was taken into federal custody at that time.
“Violent crime is impacting too many lives,” said Pensacola Police Chief Eric Randall. “Today’s announcement of this sentencing is another example of our commitment to hold accountable, those who commit violent acts in our community.”
The cases were investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, the United States Marshals Service, and the Pensacola Police Department. The case was prosecuted by Assistant United States Attorneys David L. Goldberg and Jennifer H. Callahan.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
As part of its PSN strategy, the United States Attorney’s Office is encouraging everyone to lock their car doors, particularly at night. Burglaries from unlocked automobiles are a significant source of guns for criminals in the Northern District of Florida. Please do your part and protect yourself by locking your car doors.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Ohio Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Toledo, Ohio, man convicted of Failure to Register as a Sex Offender was sentenced on September 12, 2022, by U.S. District Judge Karen E. Schreier.
Maurice Anthony Streater, age 32, was sentenced to 12 months and a day in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Streater was indicted by a federal grand jury in September of 2021. He pleaded guilty on June 15, 2022.
The conviction stems from Streater failing to register as a sex offender as required by state law between January 1, 2021, and September 9, 2021. Streater had previously been convicted of a sex offense in state court which requires him to register for the rest of his life.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Streater was immediately remanded to the custody of the U.S. Marshals Service.
North Andover Man Sentenced for Misusing a Social Security NumberRead the Press Release
BOSTON – A North Andover man has been sentenced in federal court in Boston for fraudulently using someone else’s Social Security number.
Angel Manuel German Familia, 38, was sentenced on Sept. 14, 2022 by U.S. District Court Judge Richard G. Stearns to 18 months in prison and three years of supervised release. German Familia is subject to deportation proceedings upon completion of his sentence. On May 31, 2022, German Familia pleaded guilty to two counts of false representation of Social Security number.
In 2016, German Familia fraudulently applied to renew a driver’s license at the Massachusetts Registry of Motor Vehicles using the name, date of birth and Social Security number of a United States citizen. German Familia also applied for MassHealth benefits and opened bank accounts in the victim’s name. German Familia was using the stolen identity since as early as 2009 and had submitted a Social Security card and birth certificate in the victim’s name in a previous RMV application.
United States Attorney Rachael S. Rollins; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division made the announcement. Valuable assistance was provided by the Massachusetts State Police; U.S. Department of State’s Diplomatic Security Service; U.S. Health and Human Services, Office of Inspector General; and the North Andover Police Department. Assistant U.S. Attorney Fred M. Wyshak III of Rollins’ Criminal Division prosecuted the case.
The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized investigative group comprising personnel from various state, local, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.
Newington Man Pleads Guilty to Federal Firearm ChargeRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Hartford Police Chief Jason Thody today announced that GLEN DAUPHIN, 50, of Newington, pleaded guilty yesterday before U.S. District Judge Kari A. Dooley in Bridgeport to a firearm offense stemming from his unlawful possession of numerous firearms, firearm components and ammunition.
According to court documents and statements made in court, in June 2021, the FBI’s Northern Connecticut Gang Task Force and Hartford Police Department learned that Dauphin was a user of crack cocaine who had amassed at his Tremont Street residence a large collection of firearms, some of which he knew were unlawful to possess, and numerous rounds of ammunition. Investigators also received information that Dauphin possessed firearm components, ammunition, “ghost guns” and parts used to manufacture ghost guns.
On June 24, 2021, investigators made a controlled purchase of more than 100 rounds of ammunition and a ghost gun “kit” from Dauphin. Dauphin was arrested later that day after investigators conducted a court authorized search of his residence and seized more than 40 firearms, including handguns, shotguns and assault-type rifles; firearm components, including two silencers; other weapons and devices, including a flamethrower; and more than 30,000 rounds of ammunition.
Dauphin pleaded guilty to one count of possession of an unregistered silencer, an offense that carries a maximum term of imprisonment of 10 years.
Dauphin is released on a $200,000 bond pending sentencing, which is scheduled for December 21.
This investigation is being conducted by the FBI’s Northern Connecticut Gang Task Force and the Hartford Police Department’s Vice Intelligence and Narcotics Division, with the assistance of the FBI’s Joint Terrorism Task Force and the Newington Police Department. The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case is being prosecuted by Assistant U.S. Attorneys Brian P. Leaming and Margaret M. Donovan.
New York Man Sentenced to 72 Months for Possession with Intent to Distribute FentanylRead the Press Release
CONCORD – Darvent Cummings, 31, of Brooklyn, New York was sentenced to 72 months in federal prison for possession with intent to distribute fentanyl, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, on September 30, 2020, a New Hampshire State Trooper stopped a vehicle in which Cummings was a passenger based on a traffic violation. The driver of the vehicle did not have a license and the driver and the defendant gave inconsistent stories about their travel itineraries. The driver was asked if there was anything illegal in the car and then started to cry. The driver eventually told the trooper that there were drugs in the car. A search of the car revealed two small bricks wrapped in duct tape, which later tested positive for more than 500 grams of fentanyl.
The case was investigated by the New Hampshire State Police with assistance from the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorneys Seth R. Aframe and John J. Kennedy.
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New York Man Pleads Guilty to Laundering Proceeds from Government Impostor Robocall ScamRead the Press Release
For Further Information, Contact:
Special Assistant U. S. Attorneys Jeffrey Hill and Lisa Sanniti (619) 546-7924/8811SAN DIEGO – Jon J. Kahen of Great Neck, New York, pleaded guilty in federal court yesterday to four counts of money laundering in his role as a telecommunications company owner who facilitated and profited from the introduction of fraudulent robocall traffic into the United States.
Until 2020, Kahen was the owner and chief executive officer of Global Voicecom, Inc. (“GVI”), a voice over internet protocol (VoIP) provider based in Great Neck, New York. GVI provided telecommunications services that introduced foreign phone traffic into the U.S. telephone system, making GVI a “gateway carrier.” From approximately 2016 until a search warrant was executed at his home in January 2020, GVI was a gateway carrier for an India-based VoIP company that used GVI to route millions of fraudulent robocalls to American consumers. Many of these robocalls involved individuals based in India fraudulently impersonating agents of the Social Security Administration (SSA), the Social Security Administration Office of Inspector General (SSA/OIG), and the Internal Revenue Service. In addition to connecting these foreign callers to American consumers, GVI resold and leased to the Indian VoIP company with Direct Inward Dial and toll-free telephone numbers that made them appear to be based in the United States. As a result of GVI’s actions, thousands of Americans were defrauded.
In his plea agreement, Kahen admitted that by 2018 he had become aware that his Indian client was using GVI’s services to commit fraud, and that by May 2019, Kahen was aware that the funds paid to GVI by this client for continued gateway carrier services were the proceeds of this fraud. Despite this knowledge, Kahen and GVI continued to provide telecommunications services to the Indian client and conducted monetary transactions on the client’s behalf. This criminal conduct ended only with the filing of a civil injunction in January 2020, when Kahen and GVI were enjoined from operating as intermediate VoIP carriers conveying any telephone calls into the U.S. telephone system.
Under the terms of his plea agreement, Kahen has agreed to pay almost $400,000 in criminal forfeiture and restitution to victims of fraudulent robocalls connected by GVI.
"This defendant opened the door to foreign fraudsters who exploited the good name of our government agencies to target Americans,” said U.S. Attorney Randy Grossman. “Let this case be a message to players in the United States who have been facilitating foreign actors and profiting from the fraud that they will be held accountable." Grossman thanked the prosecution team, the Department of Justice Consumer Protection Branch and investigating agencies for their excellent work on this case.
“U.S. consumers, many of whom are elderly or are otherwise vulnerable, are inundated with millions of illegal robocalls every day,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Justice Department’s Civil Division. “Anyone with a telephone is a potential target. The Department is committed to stopping fraudulent robocalls and pursuing those who knowingly facilitate robocall fraud schemes for financial gain.”
“Mr. Kahen knowingly facilitated the robocalls of government imposters that not only defrauded U.S. consumers, but preyed on their trust in the government,” said Gail S. Ennis, Inspector General for the Social Security Administration. “We will continue to pursue those who perpetuate these robocall fraud schemes, and I appreciate the trial attorneys, Yolanda McCray Jones and Wei Xiang, of the Justice Department’s Consumer Protection Branch and Special Assistant U.S. Attorneys, Jeffrey Hill and Lisa Sanniti, of the U.S. Attorney’s Office for the Southern District of California, for prosecuting this case. I also want to thank all our law enforcement partners for their contributions to the success of this investigation.”
“When consumers – especially our vulnerable older Americans – are exploited by fraudsters who are impersonating a government agency or official, the impact is detrimental and the repercussions are long-lasting,” said Inspector in Charge Eric Shen of the Postal Inspection Service’s Criminal Investigations Group. “Anyone who engages in or facilitates deceptive practices like this should know they will not go undetected. Postal Inspectors will continue to work tirelessly to hold those criminals accountable and bring justice to the American public.”
Criminal charges against Kahen were filed in the United States District Court for the Southern District of California on June 30, 2022, and transferred to the Eastern District of New York. Kahen is scheduled to be sentenced on January 20, 2023, at 3:00 p.m. before U.S. District Judge Joanna Seybert in the Islip, New York federal courthouse.
This case was prosecuted for the U.S. Attorney’s Office for the Southern District of California by Special Assistant U.S. Attorneys Jeffrey Hill and Lisa Sanniti, and for the United States Department of Justice Consumer Protection Branch by Trial Attorneys Yolanda McCray Jones and Wei Xiang.
The matter was investigated by agents from SSA-OIG, the U.S. Postal Investigation Service, the U.S. Secret Service, and by Homeland Security Investigations-New York. Resources from the Department’s Transnational Elder Fraud Strike Force aided in the matter’s investigation and prosecution.
DEFENDANT Case Number 22-CR-1474-LL (SDCA) / 22-CR-309 (EDNY)
Jon J. Kahen Age: 48 Great Neck, NY
SUMMARY OF CHARGES
Money Laundering – Title 18, U.S.C., Section 1957
Maximum penalty: Ten years in prison and $250,000 fine
AGENCIES
Social Security Administration – Office of the Inspector General
United States Postal Inspection Service
United States Secret Service
United States Department of Homeland Security Investigations – New York
New York Man Enters Guilty Plea to Laundering Monies Connected to Proceeds from Facilitating Fraudulent RobocallsRead the Press Release
A New York man pleaded guilty in the Eastern District of New York to money laundering for his role as the owner and operator of a voice over internet protocol (VoIP) company that facilitated and profited from the introduction of fraudulent robocall traffic into the United States.
Jon J. Kahen, 48, of Great Neck, New York, was the owner and chief executive officer of Global Voicecom Inc. (GVI), a U.S.-based VoIP provider, from 1999 to 2020. GVI provided telecommunications services, such as calling platforms and domestic direct inward dial (DID), toll-free, and call termination services, that introduced foreign phone traffic into the U.S. telephone system (thereby serving as a so-called “gateway carrier”).
Beginning at least as early as 2016, GVI began serving as a gateway carrier for an India-based VoIP provider that used GVI’s gateway carrier services to route fraudulent robocalls – including, but not limited to, U.S. government agency imposter calls placed by individuals located in India who were fraudulently impersonating agents of the IRS, Social Security Administration, and Social Security Administration Office of Inspector General (SSA-OIG) – into the U.S. telephone system. This provider also used the DID and toll-free numbers re-leased and/or re-sold to it by GVI to facilitate various fraudulent robocall scams. U.S. consumers, including the elderly, were defrauded as a result of these scams.
By 2018, Kahen became aware that this India-based VoIP provider was using GVI’s telecommunications services to engage in unlawful activities (e.g., wire fraud involving fraudulent robocalls), and by May 2019, Kahen was aware that the funds paid to GVI by this client for continued gateway carrier services constituted the proceeds of unlawful activities. Despite this knowledge, Kahen conducted unlawful monetary transactions involving these criminally derived funds.
“U.S. consumers, many of whom are elderly or are otherwise vulnerable, are inundated with millions of illegal robocalls every day,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Anyone with a telephone is a potential target. The Department is committed to stopping fraudulent robocalls and pursuing those who knowingly facilitate robocall fraud schemes for financial gain.”
“This defendant opened the door to foreign fraudsters who exploited the good name of our government agencies to target Americans,” said U.S. Attorney Randy Grossman for the Southern District of California. “Let this case be a message to players in the United States who have been facilitating foreign actors and profiting from the fraud that they will be held accountable.”
“Mr. Kahen knowingly facilitated the robocalls of government imposters who not only defrauded U.S. consumers, but preyed on their trust in the government,” said Inspector General Gail S. Ennis for the Social Security Administration. “We will continue to pursue those who perpetuate these robocall fraud schemes, and I am grateful to the trial attorneys, Yolanda McCray Jones and Wei Xiang, of the Justice Department’s Consumer Protection Branch, and Special Assistant U.S. Attorneys, Jeffrey Hill and Lisa Sanniti, of the U.S. Attorney’s Office for the Southern District of California, for prosecuting this case. I also want to thank all our law enforcement partners for their contributions to the success of this investigation.”
“When consumers – especially our vulnerable older Americans – are exploited by fraudsters who are impersonating a government agency or official, the impact is detrimental and the repercussions are long-lasting,” said Inspector in Charge Eric Shen of the Postal Inspection Service’s Criminal Investigations Group. “Anyone who engages in or facilitates deceptive practices like this should know they will not go undetected. Postal Inspectors will continue to work tirelessly to hold those criminals accountable and bring justice to the American public.”
Under the terms of his plea agreement, Kahen agreed to pay restitution in the amount of $216,700 to four robocall victims of the above-referenced wire fraud scheme and to additionally forfeit $176,000.
The United States previously filed a civil action in January 2020, alleging that Kahen and his corporations were responsible for carrying millions of fraudulent robocalls to American consumers. This action also alleged that Kahen and his corporations were warned numerous times that they were carrying fraudulent robocalls and yet continued to do so, thereby facilitating foreign-based fraud schemes targeting individuals in the United States. The civil action sought to enjoin Kahen and his corporations from engaging in the ongoing commission of criminal wire fraud and conspiracy to commit wire fraud. In March 2020, Kahen and his corporations were permanently enjoined from operating as intermediate VoIP carriers conveying any telephone calls into the U.S. telephone system.
Trial Attorneys Yolanda McCray Jones and Wei Xiang of the Justice Department’s Civil Division’s Consumer Protection Branch and Special Assistant U.S. Attorneys Jeffrey Hill and Lisa Sanniti of for the Southern District of California prosecuted the case.
The matter was investigated by agents from the SSA-OIG, U.S. Postal Investigation Service, U.S. Secret Service and U.S. Immigration and Customs Enforcement’s Homeland Security Investigation - El Dorado Task Force. Resources from the Department’s Transnational Elder Fraud Strike Force aided in the matter’s investigation and prosecution.
The department’s extensive and broad-based efforts to combat elder fraud seek to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. ET. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
New York Man Charged with Middlesex County CarjackingRead the Press Release
TRENTON, N.J. – A New York man was charged for an armed carjacking committed in South Brunswick, New Jersey, U.S. Attorney Philip R. Sellinger announced today.
Jashawn Robinson, 21, of Queens, New York, is charged by complaint with one count of carjacking and one count of discharging a firearm during a crime of violence. He will appear for his initial appearance at a later date.
According to the documents filed in this case:
On Aug. 29, 2021, at approximately 11:15 a.m., as two victims approached their vehicle parked in a motel parking lot to leave, Robinson ran up behind one of them, pointed a gun directly at her, and forcefully pulled her away from the vehicle. Robinson fired one round of ammunition from his gun into the air. Robinson then pointed his gun at the second victim, who had his hands in the air and was backing away from the vehicle. Robinson then entered the vehicle and drove away. The carjacking, including Robinson’s discharge of the firearm, was captured on video surveillance.
On Sept. 27, 2021, law enforcement officers located the carjacked vehicle parked on a residential street in Queens, New York, and established surveillance. The officers observed Robinson approach and enter that vehicle. As law enforcement officers converged and surrounded the vehicle, Robinson repeatedly tried to get away, including hitting parked cars and almost hitting law enforcement personnel. Robinson was removed from the vehicle and arrested.
The count of carjacking carries a maximum potential penalty of 15 years in prison. The count of discharging a firearm during a crime of violence is punishable by a mandatory minimum term of 10 years in prison and a maximum sentence of life in prison, which must run consecutively to any term of imprisonment imposed on any other charge. Both charges each carry a potential fine of up to $250,000.
U.S. Attorney Sellinger credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Field Division, Trenton Field Office, under the direction of Special Agent in Charge Jeffrey L. Matthews; and the South Brunswick Police Department, under the direction of Chief Raymond J. Hayducka, with the investigation leading to the charges. He also thanked the U.S. Marshals Service, the New York City Police Department, the Queens County District Attorney’s Office, and the Middlesex County Prosecutor’s Office for their assistance with this case.
The government is represented by Assistant U.S. Attorney Tracey Agnew of the U.S. Attorney’s Office’s Criminal Division in Trenton and Assistant U.S. Attorney Michelle S. Gasparian, Chief of the General Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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New Mexico Man Sentenced for Attempt to Transfer Obscene Matter to A MinorRead the Press Release
EL PASO – A New Mexico man was sentenced last week to 36 months in prison for attempting to distribute obscene matter to a minor in violation of Title 18, Section 1470 of the United States Code, which strictly prohibits such actions.
According to court documents, Alfredo Ramos, 24, engaged in sexually explicit and obscene text conversations with someone he thought to be 13 years old. In reality, Ramos was texting an undercover employee from the FBI’s Violent Crimes Against Children Squad.
“Our office treats the protection of children as an extraordinarily serious responsibility, and as this case demonstrates, we will persist in our efforts to ensure that those who prey on minors are found and held accountable,” said U.S. Attorney Ashley C. Hoff. “I am thankful for the work of our prosecutors and the efforts of our law enforcement partners.”
“We have zero tolerance for individuals who intend to take away the innocence of our children by making them victims of a sexual crime,” said Jeffrey R. Downey, Special Agent in Charge of the FBI El Paso Field Office. “I want to thank the members of the FBI El Paso’s Child Exploitation & Human Trafficking Task Force for preventing Ramos from meeting an undercover employee whom he believed was a thirteen-year-old, he met via social media, for sex. This case is another reminder for all of us to remain vigilant about our children’s online behavior and social media presence.”
On June 13, 2022, Ramos pleaded guilty to one count of attempted transfer of obscene materials to a minor.
The FBI, with assistance from the Texas Department of Public Safety Criminal Investigations Division and El Paso County Constable’s Offices Precinct One and Precinct Six, investigated the case.
Assistant U.S. Attorney Catherine Dos Santos prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Nebraska Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Newcastle, Nebraska, man convicted of Failure to Register as a Sex Offender was sentenced on September 9, 2022, by U.S. District Judge Karen E. Schreier.
Joseph Ross Burks, age 41, was sentenced to 18 months in federal prison, followed by five years of supervised release, and ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $100.
Burks was indicted by a federal grand jury in February of 2022. He pleaded guilty on June 23, 2022.
The conviction stems from Burks failing to register as a sex offender as required by state law between May 22, 2021, and July 27, 2021. Burks had previously been convicted of a sex offense in state court which requires him to register for the period of 25 years.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Burks was immediately remanded to the custody of the U.S. Marshals Service.
Maryland Man Extradited to District of Columbia to Face Charges in January 2022 Murder in GeorgetownRead the Press Release
WASHINGTON – A Maryland man has been extradited from Jamaica to the District of Columbia following his arrest for a murder that took place earlier this year in Georgetown, announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department (MPD).
Ranje Wade Chin Reynolds, 24, of Beltsville, Maryland, is charged with first-degree (premeditated) murder in the Jan. 31, 2022, slaying of Tarek Boothe, 27. Reynolds was arrested on Aug. 16, 2022, in Kingston Jamaica at the request of the United States on a warrant charging him with murder in the case. He made his initial appearance today in the Superior Court of the District of Columbia and was ordered held pending a preliminary hearing set for Oct. 3, 2022.
Mr. Boothe, of Alexandria, Virginia, was shot at approximately 6:13 p.m. on Jan. 31, 2022, in the 3200 block of M Street NW. Both Mr. Boothe and Reynolds were on the sidewalk at the time of the shooting. Mr. Boothe was taken to a hospital, where he died a short time later from a gunshot wound to the head.
Charges in a complaint are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the Metropolitan Police Department. Valuable assistance was provided by the U.S. Marshals Service and the Department of Justice Office of International Affairs to secure the arrest and extradition of Reynolds to the United States.
The case is being prosecuted by Assistant U.S. Attorney Natalie Hynum, with valuable assistance from Paralegal Specialist Grazy Rivera and Laura Bach, Deputy Chief of the Homicide Section of the U.S. Attorney’s Office for the District of Columbia.
Man Who Caused Fatal Alexandria Crash Sentenced to PrisonRead the Press Release
ALEXANDRIA, Va. – An Alexandria man who was intoxicated and had used drugs, and then drove his truck more than 50 miles per hour over the speed limit before crashing into a tree and killing his front seat passenger was sentenced today to 30 months in prison for manslaughter.
According to court documents, on May 31, 2020, at approximately 5:45 p.m., Samuel Meyer, 22, was driving his Toyota Tacoma truck southbound on the George Washington Memorial Parkway, which is a federal land. Near Mt. Vernon Circle, as the road curves, Meyer lost control of his truck, left the roadway, and crashed into the woods next to the travel lanes. The truck crashed with such force that the skin of the passenger side of the vehicle was peeled off entirely, and the front passenger door of the vehicle was embedded into a tree a short distance from where the truck came to a stop. Meyer’s front seat passenger, Michael Cunningham, 19, who was wearing his seatbelt, was transported by ambulance to the hospital. Hospital personnel could not resuscitate him, and he died from blunt trauma injuries to his head, neck, trunk, and extremities.
Meyer and a backseat passenger were also transported to the hospital with minor injuries. About three and a half hours after the crash, blood samples were taken from Meyer. An analysis showed that Meyer’s blood alcohol content was .09 g/100 mL, still above the legal limit hours after the crash. Also present in Meyer’s blood were benzoylecgonine, the main metabolite of cocaine; THC, the psychoactive compound in marijuana; and cocaethylene, which is formed by the liver when cocaine and alcohol coexist in the blood.
Meyer’s vehicle’s electronic data recorder revealed that he was driving 85.1 miles per hour at the time of impact. The speed limit at the location of the accident is 35 miles per hour. There was no sign that Meyer had applied his brakes and the accelerator was pressed for the last five seconds prior to impact. The roadway was clear and dry, and Meyer’s truck was working properly with no defects or malfunctions. Just before the accident, Cunningham and the other passenger had each implored Meyer to slow down.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Pamela A. Smith, Chief of U.S. Park Police, made the announcement after sentencing by Senior U.S. District Judge Liam O’Grady.
Assistant U.S. Attorneys Patricia Haynes and Marc J. Birnbaum prosecuted 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-281.
Man Sentenced to Federal Prison for Meth ConspiracyRead the Press Release
Daniel Trevino, 46, formerly from Primghar, Iowa, was sentenced on September 16, 2022, to 10 years’ in federal prison.
Trevino pled guilty on February 5, 2022, to conspiracy to distribute methamphetamine. Evidence at the plea and sentencing hearings showed that from December 2020 through April 2021, Trevino and others were involved in a conspiracy to distribute over 500 grams of methamphetamine. On April 24, 2021, Trevino was traffic stopped by law enforcement. After showing signs of impairment, law enforcement received permission to search a bag located next to Trevino. Inside the bag, law enforcement discovered a scale, cell phones, and other drug paraphernalia. When the vehicle was being secured to be towed, a black magnetic box fell from the steering column which later was found to contain approximately a quarter pound of methamphetamine. Trevino had just picked up the methamphetamine from his source in Colorado.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Trevino was sentenced to 10 years’ imprisonment and must serve a 5-yeear term of supervised release following imprisonment. There is no parole in the federal system. Trevino remains in custody of the United States Marshal until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Patrick T. Greenwood and was investigated by O’Brien County Sheriff’s Office and Iowa DCI Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4076.
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Man Found Guilty of Drug TraffickingRead the Press Release
SAN JUAN, Puerto Rico – On September 15, 2022, a federal jury convicted Carlos J. Reyes-Rosario, a.k.a. “Carlitos El Mea,” of five counts for drug trafficking in the municipalities of Caguas, Cidra, and Aguas Buenas, Puerto Rico. He faces a minimum sentence of 5 years in prison.
Convict Reyes-Rosario was charged on December 8, 2017, along with 43 other defendants with conspiracy to distribute heroin, crack, cocaine, marihuana, Percocet, and Xanax at the Turabo Heights, Brisas del Turabo, Juan Jiménez-García, Práxedes Santiago, Jardines de Cidra, and Vistas de Jagüeyes Public Housing Projects and other areas nearby the municipalities of Caguas, Cidra and Aguas Buenas, PR.
Evidence at trial proved that Reyes-Rosario was a gang leader at the Jardines de Cidra public housing project. The gang’s territory spanned the greater Caguas area and had as its main leader federal fugitive Nelson Torres-Delgado, a.k.a. “El Burro”. The jury heard evidence that upon the arrest and subsequent murder of a prior gang leader at Jardines de Cidra, Torres-Delgado appointed Reyes-Rosario to a leadership position. Reyes-Rosario served as the gang leader of Jardines de Cidra from late 2015 until the federal indictment came down.
Within Jardines de Cidra, armed drug dealers working under the leadership of Reyes-Rosario sold heroin, crack, cocaine, marijuana, and pills in broad daylight while residents, including families and children, went about their lives. The United States presented evidence that this gang routinely carried guns to include illegally modified automatic weapons. The gang engaged in violent territory wars to maintain control of drug sales in and around Caguas and their corresponding profits.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Puerto Rico Police Bureau (PRPB), specifically the Caguas Strike Force, were in charge of the investigation, with the collaboration of the DEA and the US Marshals.
The case was prosecuted by Assistant U.S. Attorneys from the Gang Section, Corinne Cordero and R. Vance Eaton.
The case was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF). This multi-agency task force investigates and dismantles major drug trafficking organizations responsible for the movement of multi kilogram quantities of narcotics as well as the gang violence that is generated by drug trafficking.
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Man Federally Indicted for Murder on ReservationRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka returned an indictment charging a man with one count of murder in the second degree.
According to court documents, Stryder Dane Keo, 34, is accused of shooting and killing a member of the Kickapoo tribe on the Kickapoo Reservation in July 2022. The federal government has jurisdiction over the offense because the offense occurred within Indian country.
The FBI is investigating the case.
Assistant U.S. Attorney Jared S. Maag is prosecuting the case.
OTHER INDICTMENTS
Briar Clayton Eugene Adams, 30, of Leavenworth Penitentiary was indicted on one count of possessing contraband in prison. The U.S. Marshal Service is investigating. Assistant U.S. Attorney Greg Hough is prosecuting.
Chance James John Hannon, 41, of Las Vegas, Nevada, was indicted on one count of possession with intent to distribute a controlled substance. Homeland Security Investigations is investigating the case. Special Assistant U.S. Attorney Lindsey Debenham is prosecuting the case.
Todd James Lewis, 54, of Carbondale was indicted on seven counts of wire fraud, one count of aggravated identity theft, and one count of theft of government funds. The FBI and the U.S. Department of Labor are investigating the case. Assistant U.S. Attorney Christine Kenney is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Leader of large drug distribution organization sentenced to ten years in prison for bringing fentanyl, heroin, meth, and cocaine to Western WashingtonRead the Press Release
Seattle – The drug supplier to multiple members of a drug trafficking group distributing fentanyl, heroin, methamphetamine, and cocaine throughout the Puget Sound region was sentenced today in U.S. District Court in Seattle to ten years in prison, announced U.S. Attorney Nick Brown. Rodrigo Alvarez-Quinonez, 31, of Selma, California, was convicted following a jury trial in June 2022. Alvarez-Quinonez, was one of twelve people arrested in August 2020 following a year-long wiretap investigation. At the sentencing hearing U.S. District Judge Ricardo S. Martinez said: “The defendant was at the top of a large-scale conspiracy to distribute illegal, dangerous, and deadly drugs in the Western District of Washington. One would have to be living under a rock to not know the impact that fentanyl is having on our society, given that deaths from fentanyl have skyrocketed.”
“Mr. Alvarez-Quinonez was ordering up large drug shipments for distribution in our community,” said U.S. Attorney Nick Brown. “His control of large amounts of fentanyl and methamphetamine make his activities dangerous for those sickened with addiction and for their loved ones. This case should serve as an example that under federal law, those working with drug cartels will face significant prison sentences.”
The members of the conspiracies engaged in trafficking activities from Mexico, through California, Arizona, Nevada, and Oregon, and into the North Puget Sound region. Alvarez-Quinonez was heard on wiretaps directing others to pick-up and deliver drugs. In January 2020 Alverez-Quinonez was arrested when he was stopped in Lewis County a car with nearly 2 kilos of fentanyl hidden in a secret compartment.
In recommending a lengthy prison sentence, prosecutors wrote to the court, “Alvarez-Quinonez was working as a narcotics source-of-supply, he directed others to pick up and deliver shipments of narcotics, he purchased narcotics in bulk and transported narcotics to this State. Alvarez-Quinonez then fulfilled orders for others who wanted narcotics and at times directed others to deliver narcotics on his behalf.”
In addition to the fentanyl pills, during the investigation law enforcement seized more than six pounds of heroin and nearly nine pounds of methamphetamine.
On the day of the takedown in August 2020, law enforcement seized: nearly 6 pounds of methamphetamine, 8 pounds of heroin, 7,500 pills likely tainted with fentanyl, over $100,000 in cash, 4 firearms, and vehicles outfitted with “traps”—hiding places for smuggling drugs and money.
“This investigation emphasizes the mission of the DEA: to ensure the safety and health of American communities by combatting criminal drug networks like the one Mr. Alvarez-Quinonez controlled,“ said Jacob D. Galvan, Acting Special Agent in Charge, DEA Seattle Field Division. “We will relentlessly pursue individuals and organizations like this with our local, state, and federal partners.”
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The investigation was conducted by the U.S. Drug Enforcement Administration in partnership with Homeland Security Investigations, Shoreline Police Department, King County Sheriff’s Office (KCSO), Seattle Police Department and the Snohomish Regional Drug Task Force (SRDTF). The investigation was supported by the Northwest High Intensity Drug Trafficking Area (HIDTA).
The case is being prosecuted by Assistant United States Attorney Stephen Hobbs.
Lawrence Man Sentenced in Fentanyl Trafficking ConspiracyRead the Press Release
BOSTON – A Lawrence man was sentenced on Sept. 9, 2022 in federal court in Boston to fentanyl trafficking.
Saury Rodriguez-Ruiz, 28, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to 57 months in prison and three years of supervised release. On May 26, 2022, Rodriguez-Ruiz pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl and one count of distribution and possession with intent to distribute 400 grams or more of fentanyl.
Rodriguez-Ruiz was indicted along with his co-conspirator, Danybelkis Vasquez-Rodrigue, in January 2021. On Aug. 30, 2022, Vasquez-Rodrigue was convicted by a federal jury of one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl. She is scheduled to be sentenced on Dec. 13, 2022.
In November 2020, law enforcement began an investigation into Rodriguez-Ruiz, who had been identified as a Lawrence-based drug supplier. On Nov. 24, 2020, Rodriguez-Ruiz distributed nearly one kilogram of fentanyl to a cooperating witness. In exchange for the fentanyl, the cooperating witness made two payments to Rodriguez-Ruiz’s associates in December 2020. The first payment of $10,000 was to an associate of Rodriguez-Ruiz and the second payment of $32,000 was to Rodriguez-Ruiz’s co-conspirator, Vasquez-Rodrigue.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division, made the announcement. The case was investigated by the FBI’s Strike Force including the Norfolk County Sherriff’s Office. Assistant U.S. Attorney Alathea Porter of Rollins’ Narcotics & Money Laundering Unit is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Lauderdale County Man Sentenced to 70 Years in Prison for Sexual Exploitation of ChildrenRead the Press Release
BIRMINGHAM, Ala. – A federal judge yesterday sentenced a Lauderdale County man for sexually exploiting a young child, announced U.S. Attorney Prim F. Escalona and FBI Special Agent in Charge Johnnie Sharp, Jr.
U.S. District Judge Madeline H. Haikala sentenced Michael Tays, 36, of Florence, to 840 months in prison followed by lifetime of supervised release for producing and possessing child pornography. On March 21, 2022, Tays pleaded guilty to 20 counts of production of child pornography and one count of possession of child pornography.
According to statements made in open court, Tays sexually abused an eight-year-old child repeatedly, and he recorded the brutality through photographs and videos. This conviction will require Tays to register as a sex offender in accordance with the Sex Offender Registration and Notification Act (SORNA).
“There is no place in our communities for those who prey on vulnerable children,” U.S. Attorney Escalona said. “This sentence effectively ensures that Tays will spend the rest of his life in prison. Through collaborative law enforcement efforts, we continue to investigate and prosecute those responsible for these horrific crimes.”
“Children are among the most vulnerable victims, and individuals, like Tays, who exploit them must be held accountable for their reprehensible actions,” SAC Sharp said. “Thanks to the efforts of the FBI’s Child Exploitation Human Trafficking Task Force and our partners, this predator will be held accountable for his actions and be identified as a sex offender.”
FBI Birmingham’s Child Exploitation Human Trafficking Task Force investigated the case, along with the St. Florian Police Department and Lauderdale County Sheriff’s office. Assistant U.S. Attorney R. Leann White prosecuted the case.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Lafourche Parish Man Indicted for Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – DILLON TOUPS, age 32, a resident of Larose, Louisiana, was charged on September 15, 2022 in a one-count indictment with possession with intent to distribute fifty (50) grams or more of methamphetamine and a quantity of fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 841(b)(1)(C), announced U.S. Attorney Duane A. Evans.
According to court documents, on or about December 18, 2021, in the Eastern District of Louisiana, the defendant, TOUPS, did knowingly and intentionally possess with intent to distribute fifty (50) grams or more of methamphetamine, its salts, isomers, and salts of its isomers, a Schedule II drug controlled substance, and a quantity of a mixture and substance containing a detectable amount of N-phenyl-N-[1-(2-phenylethyl)-4-piperidinyl] propanamide, that is, fentanyl, a Schedule II drug controlled substance; all in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 841(b)(1)(C).
TOUPS faces a mandatory minimum term of imprisonment of ten (10) years, a maximum term of imprisonment of life, a fine of up to $10,000,000.00, at least five (5) years of supervised release following any term of imprisonment, and a mandatory $100.00 special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by the Drug Enforcement Administration and the Lafourche Parish Sheriff’s Office. The prosecution is being handled by Assistant United States Attorney André Jones.
La Crosse Man Sentenced to 25 Years for Child Exploitation CrimesRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Harry L. Euler, 46, of La Crosse, Wisconsin was sentenced yesterday by U.S. District Judge William M. Conley to 25 years in federal prison, to be followed by 20 years of supervised release, for using minors to produce child pornography. Euler pleaded guilty to this charge on June 2, 2022.
Euler caused numerous minors in the Philippines to be sexually assaulted. An exact number cannot be determined because much of his conduct is unknown and victims are difficult to identify in the Philippines. He communicated directly with at least two minors and paid them to engage in sexually explicit conduct with other minors. He also paid adults to create sexually explicit images and videos of minors to send to him, including some of whom he paid for images of their own children. He also sent images of the minors to other people.
In finding a 25-year sentence warranted, Judge Conley noted the defendant engaged in egregious behavior that was destructive toward children.
The charge against Euler was the result of an investigation conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Wisconsin Department of Justice Division of Criminal Investigation, and the La Crosse Police Department. Assistant U.S. Attorney Elizabeth Altman prosecuted this case.
Kern County Man Sentenced to Prison for Unlawfully Possessing AmmunitionRead the Press Release
FRESNO, Calif. — Jessie Gonzalez, 26, of Wasco, was sentenced today to three years and 10 months in prison for being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Dec. 22, 2021, law enforcement officers arrested Gonzalez for an active parole violation warrant and found a Polymer 80 handgun in Gonzalez’s waistband, which was loaded with a high-capacity magazine and 16 rounds of 9 mm ammunition. At the time of the offense, Gonzalez, who uses the moniker “Creeper,” was a member of the Varrio Wasco Rifas, a southern criminal street gang in Wasco. Gonzalez may not lawfully possess firearms or ammunition because of criminal convictions he has sustained in Bakersfield, including assault with a firearm on a person and being a prisoner in possession of a weapon.
This case was the product of an investigation by the Federal Bureau of Investigation, the Kern County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Christopher D. Baker prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice 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.
Justice Department Announces Report on Digital Assets and Launches Nationwide NetworkRead the Press Release
The Department of Justice today announced significant actions regarding digital assets, including the public release of its report, pursuant to the President’s March 9 Executive Order on Ensuring Responsible Development of Digital Assets, on The Role of Law Enforcement in Detecting, Investigating, and Prosecuting Criminal Activity Related to Digital Assets;[1] and the establishment of the nationwide Digital Asset Coordinator (DAC) Network, in furtherance of the department’s efforts to combat the growing threat posed by the illicit use of digital assets to the American public.
“As digital assets play a growing role in our global financial system, we must work in tandem with departments and agencies across government to prevent and disrupt the exploitation of these technologies to facilitate crime and undermine our national security,” said Attorney General Merrick B. Garland. “The efforts announced today reflect the commitment of the Justice Department and our law enforcement and regulatory partners to advancing the responsible development of digital assets, protecting the public from criminal actors in this ecosystem, and meeting the unique challenges these technologies pose.”
As noted in the White House Fact Sheet, these efforts are part of a larger, collaborative effort across government agencies “to develop frameworks and policy recommendations that advance six key priorities identified in the EO: consumer and investor protection; financial stability; illicit finance; U.S. leadership in the global financial system and economic competitiveness; financial inclusion; and responsible innovation.”
“Developments in digital assets have created a new landscape for criminals to exploit innovation to further significant criminal and national security threats domestically and abroad,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Through the creation of the DAC Network, the Criminal Division and the National Cryptocurrency Enforcement Team will continue to ensure that the Department and its prosecutors are best positioned to combat the ever-evolving criminal uses of digital asset technology.”
First, in response to the March 9 Executive Order, the department’s report discusses the manner in which illicit actors are exploiting digital asset technologies; the challenges that digital assets pose to criminal investigations; initiatives that the department and law enforcement agencies have established as part of whole-of-government efforts to more effectively detect, investigate, prosecute, and otherwise disrupt these crimes; and recommended regulatory and legislative actions to further enhance law enforcement’s ability to address digital asset crimes.
Second, the department’s Criminal Division has launched the DAC. Led by the department’s National Cryptocurrency Enforcement Team (NCET), the DAC Network comprises over 150 designated federal prosecutors from U.S. Attorneys’ Offices and across the department’s litigating components, and will serve as the department’s primary forum for prosecutors to obtain and disseminate specialized training, technical expertise, and guidance about the investigation and prosecution of digital asset crimes. The Director of the NCET, Eun Young Choi, chaired the DAC Network’s first meeting on September 8.
Reports on Ensuring Responsible Development of Digital Assets
The department’s report on the Role of Law Enforcement in Detecting, Investigating, and Prosecuting Criminal Activity Related to Digital Assets begins by detailing the many ways in which illicit actors have exploited digital assets. It delineates three principal categories of illicit uses: 1) cryptocurrency as a means of payment for or manner of facilitating criminal activity; 2) the use of digital assets as a means of concealing illicit financial activity; and 3) crimes involving or undermining the digital asset ecosystem. The report also discusses how novel technology, particularly in the area of decentralized finance, or DeFi, has created new challenges for law enforcement; includes examples of successful law enforcement efforts to investigate, prosecute, and otherwise disrupt digital asset crimes in spite of the investigative challenges; and describes initiatives that the department and other law enforcement agencies have established—including the department’s launch of the DAC Network—to more effectively detect, investigate, prosecute, and otherwise disrupt crimes relating to digital assets, and to seize and forfeit those assets that constitute ill-gotten gains.
The report also addresses the Executive Order’s request for recommendations on appropriate regulatory and legislative actions. It proposes actions designed to enhance law enforcement’s ability to gather evidence and initiate prosecutions; strengthen certain laws and penalty provisions that play an important role in digital asset prosecutions; support regulations that would enhance customer-identification efforts and other anti-money-laundering requirements under the Bank Secrecy Act; and ensure that law enforcement and regulatory agencies have adequate resources to conduct the technologically sophisticated investigations inherent in the digital assets space. The report identifies three proposals as priorities: 1) expanding to virtual asset service providers the laws preventing employees of financial institutions from tipping off suspects to ongoing investigations; 2) strengthening the law criminalizing the operation of unlicensed money transmitting businesses; and 3) extending the statute of limitations of certain statutes to account for the complexities of digital assets investigations.
This report complements the June 2022 report issued by the department on How to Strengthen International Law Enforcement Cooperation for Detecting, Investigating, and Prosecuting Criminal Activity Related to Digital Assets, which details the unique challenges posed by cross-border digital asset investigations, and includes recommendations on how to bolster enforcement and improve international cooperation in the area. In line with the whole-of-government approach called for in the Executive Order, both reports are the culmination of collaborative efforts between the department, led by the NCET, and multiple federal agencies, including the Department of the Treasury, the Department of Homeland Security, and the Department of State.
The Digital Asset Coordinators Network
To ensure that the department continues to meet the challenge posed by the illicit use of digital assets, the department’s Criminal Division recently launched the nationwide DAC Network. Led by the NCET, in close coordination with the Criminal Division’s Computer Crime and Intellectual Property Section and the Money Laundering and Asset Recovery Section’s Digital Currency Initiative, the DAC Network is composed of designated federal prosecutors from U.S. Attorneys’ Offices nationwide and the department’s litigating components. Each DAC will act as their office’s subject-matter expert on digital assets, serving as a first-line source of information and guidance about legal and technical matters related to these technologies.
As members of the DAC Network, prosecutors will learn about the application of existing authorities and laws to digital assets and best practices for investigating digital assets-related crimes, including for drafting search and seizure warrants, restraining orders, criminal and civil forfeiture actions, indictments, and other pleadings. The DAC Network will also serve as a source of information and discussion addressing new digital asset issues, such as DeFi, smart contracts, and token-based platforms, and their use in criminal activity. The DAC Network will likewise raise awareness of the unique international considerations of the crypto ecosystem, including the benefits of leveraging foreign relationships and the challenges of cross-border digital asset investigations.
[1] In addition to the report, and in further response to the Executive Order, the Attorney General separately transmitted to the Assistant to the President for National Security Affairs and the Assistant to the President for Economic Policy, via the White House Counsel’s Office, an assessment from the Department of whether legislative changes would be necessary to issue a CBDC, should it be deemed appropriate and in the national interest.
Justice Department Announces Enforcement Action Involving over $100 Million in Losses to Department of Veterans AffairsRead the Press Release
The Department of Justice announced guilty pleas by seven defendants in three separate cases in schemes to defraud the Department of Veterans Affairs (VA) Post-9/11 GI Bill education benefits program, including the largest known Post-9/11 GI Bill fraud case ever brought by the department.
“The Post-9/11 GI Bill was enacted to aid our military veterans and their families on behalf of a nation grateful for their service,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Criminal Division. “These frauds drain funds from a vital veterans’ program and undermine public faith in the administration of government. These cases demonstrate the Criminal Division’s clear commitment to protecting the integrity of federal programs and to holding offenders who would abuse and exploit these programs accountable.”
The Post-9/11 GI Bill is a VA benefit program that pays tuition, housing, and other costs for eligible veterans seeking post-secondary education and training. Employees of VA-approved education institutions, known as School Certifying Officials (SCOs), are responsible for ensuring the participating educational institution maintains and supplies the VA with true and accurate enrollment, attendance, and course completion records for enrolled veterans; promptly notifies the VA of changes to veteran enrollment status; and maintains compliance with the “85-15 rule,” which stipulates educational institutions (1) charge the same tuition rate to veteran and non-veteran students, and (2) ensure that no more than 85% of the students enrolled in an approved course are funded by the VA. The VA relies on representations made by SCOs in authorizing tuition payments to VA-approved schools and housing and other payments to eligible veterans.
Today’s enforcement action involves SCOs for three VA-approved education institutions who submitted fraudulent claims to the VA in order to obtain millions of dollars in payments in Post-9/11 GI Bill benefits.
“The scope of the fraud uncovered in these investigations is stunning, particularly when you consider the schemes siphoned funds intended for providing legitimate education assistance to former service members,” said U.S. Attorney David H. Estes for the Southern District of Georgia. “We applaud the work of the VA Office of Inspector General in identifying and halting this fraud.”
“Safeguarding Post-9/11 GI Bill education benefit funds reserved for deserving veterans remains a priority,” said Inspector General Michael J. Missal of the Department of Veterans Affairs. “These guilty pleas are a testament of our commitment to working with our law enforcement partners to hold accountable those who would defraud VA’s benefits programs.”
The following charges were announced today as part of this national enforcement action:
United States v. Michael Bostock and Eric Bostock (District of Columbia)
Michael Bostock, 54, of Nampa, Idaho, and Eric Bostock, 47, of Riverside, California, each pleaded guilty to one count of conspiracy to commit wire fraud in the U.S. District Court for the District of Columbia. According to court documents, Michael Bostock was the founder and CEO of California Technical Academy (CTA), a VA-approved, for-profit school that offered technical training programs at three locations in Los Angeles and San Diego. Eric Bostock was CTA’s Director of Student Services. Both were SCOs.
According to court documents, from January 2012 to June 2022, the Bostocks and their co-conspirators made false representations to the VA regarding veterans’ enrollment in CTA’s approved courses of study, class attendance, and grades, and CTA’s compliance with the 85-15 rule. They also falsified course completion records to make it appear as if enrolled veterans completed their programs, when in fact they had not. In order to conceal their scheme, the Bostocks and their co-conspirators falsified veterans’ contact information to ensure that regulators could not contact the veterans by substituting phone numbers they and their co-conspirators controlled. When regulators called the falsified phone numbers to obtain information about CTA, the Bostocks and their co-conspirators would impersonate students.
Between January 2012 and June 2022, when CTA’s VA approval was withdrawn, CTA received more than $32 million in tuition payments for approximately 1,793 enrolled veterans. During the same period, veterans enrolled in CTA’s VA-approved courses received over $72 million in housing and other education-related benefits. In total, Michael and Eric Bostock’s scheme to defraud the VA resulted in a total loss of approximately $104,682,860. This is the largest known incident of Post-9/11 GI Bill benefits fraud prosecuted by the department to date.
Michael and Eric Bostock will be sentenced at a later date and each faces a maximum penalty of five years in prison.
Trial Attorneys Michael P. McCarthy and Lauren Archer of the Justice Department’s Fraud Section are prosecuting the case.
United States v. Robert Lanoue, Judith Lanoue, Kenneth Meers, and David Anderegg (Southern District of Georgia)
Robert Lanoue, 63, and Judith Lanoue, 59, both of Savannah, Georgia, each pleaded guilty to one count of submitting false claims to the VA. According to court documents, the Lanoues were the owners of Scooba Shack, a VA-approved scuba academy located in Bryan County, Georgia, that offered eight courses to eligible veterans. As SCOs, the Lanoues made false representations to the VA regarding Scooba Shack’s compliance with the 85-15 rule, the true hours of instruction for each VA-approved course, attendance and course completion dates, and payments received from non-VA students. To evade compliance with the 85-15 rule, the Lanoues took part in setting up a fake scholarship fund, ostensibly to pay for non-VA funded students who enrolled in Scooba Shack’s VA-approved courses. In fact, the scholarship did not pay out any funds, and instead non-VA funded students were allowed to attend classes for free or at discounted rates in violation of the 85-15 rule. Scooba Shack obtained over $3.2 million as a result of materially false claims submitted to the VA.
David Anderegg, 42, of Richmond Hill, Georgia, also pleaded guilty to submitting false claims to the VA for his role as a Scooba Shack SCO.
Kenneth Meers, 54, of Altamonte, Georgia, pleaded guilty to conspiracy to commit wire fraud for his role in orchestrating the scheme to defraud the VA at Scooba Shack and Diver’s Den, another VA-approved scuba school in Camden County, Georgia, which is described in further detail below.
United States v. Theresa Whitlock and Kenneth Meers (Southern District of Georgia)
Theresa Whitlock, 55, of St. Mary’s, Georgia, pleaded guilty to making false statements to the VA. According to court documents, Whitlock was an owner of Diver’s Den, a VA-approved scuba academy located in Camden County, Georgia. As an SCO, Whitlock made false statements to the VA regarding Diver’s Den’s compliance with the 85-15 rule, true hours of instruction, dates of attendance and completion for certain students, and payments received from non-VA students. Diver’s Den obtained more than $1.1 million as a result of materially false claims submitted by Whitlock and Meers.
Judith Lanoue was sentenced to six months in prison on Sept. 15.
Robert Lanoue is scheduled to be sentenced on Oct. 18 and faces a maximum of five years in prison.
The remaining defendants will be sentenced at a later date. David Anderegg, and Theresa Whitlock each faces a maximum penalty of five years in prison. Kenneth Meers faces a maximum penalty of 20 years in prison.
Trial Attorney Michael P. McCarthy of the Justice Department’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Georgia are prosecuting the Scooba Shack and Diver’s Den cases.
For those awaiting sentencing, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. All cases were investigated by the VA-OIG with assistance from the Veterans Benefits Administration-Education Service.
Jury Finds Trucking Company Defrauded U.S. Postal Service, Verdict Will Result in Judgment of over $5 Million for U.S.Read the Press Release
RALEIGH, N.C. – Yesterday, a jury in the Eastern District of North Carolina found defendants Chad Cline and BJ Trucking Company, Inc. liable for $1,679,086 worth of unauthorized fuel purchases under United States Postal Service contracts, in violation of the False Claims Act. The jury also found that while BJ Trucking was insolvent and owed a substantial debt to the United States, it transferred $439,015 to company insiders—including to Defendant Doug Cline—in violation of the Federal Debt Collection Procedures Act. This jury verdict will allow the recovery of more than $5 million to the government in addition to civil penalties to be determined by the judge.
“This civil fraud trial demonstrates our firm commitment to protect taxpayer money and to guard the integrity of federal programs,” said U.S. Attorney Michael Easley. “Our office will zealously pursue those who misuse or abuse government funds.”
“We are gratified to have contributed to this investigation and applaud the exceptional work by the United States Attorney’s Office for protecting both U.S. Postal Service funds and the integrity of our fuel card program,” said Executive Special Agent in Charge Kenneth Cleevely of the U.S. Postal Service, Office of Inspector General.
BJ Trucking was a Greensboro, N.C.-based trucking company that hauled mail for the Postal Service. Doug Cline owned the company, and his son, Chad Cline, managed its day-to-day operations. The Postal Service issued fuel cards that BJ Trucking was permitted to use to purchase fuel on authorized Postal Service routes, up to a designated amount. The Postal Service, in turn, would pay for the fuel purchased with the fuel cards. Although the company’s contracts with the Postal Service expressly prohibited excessive purchases on the fuel card, and expressly warned that unauthorized fuel card use could lead to False Claims Act liability, BJ Trucking routinely used its cards between 2014 and 2015 to purchase hundreds of thousands of gallons of fuel above the authorized limits, spending millions of Government dollars that the company was not entitled to. The Government recovered a large portion of that money by withholding payments to BJ Trucking, and pursued the remainder through this litigation.
In addition, while the company was insolvent, struggling to make its payroll and pay other bills, and indebted to the United States, it transferred hundreds of thousands of dollars to its corporate insiders, including Doug Cline, his sister, and another company that he ran. The United States pursued those fraudulent transfers in this litigation.
The jury found that BJ Trucking and Chad Cline submitted or caused the submission of 29 false claims, costing the United States $1,679,086 in damages. The jury also found that BJ Trucking unlawfully transferred $439,015 to company insiders. The False Claims Act allows the United States to recover triple the money falsely obtained, plus civil penalties for each false claim submitted. Among other things, the Federal Debt Collection Procedures Act allows the United States to void and recover preferential transfers to insiders.
The verdict obtained in this matter was the culmination of a coordinated effort between the United States Attorney’s Office and the United States Postal Service, Office of Inspector General. Assistant United States Attorneys Neal Fowler and Michael Anderson represented the United States in this case. This matter was investigated by the United States Postal Service, Office of Inspector General.
Related court documents and information from the civil lawsuit are on PACER by searching for Case No.5:19-CV-94-D.
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Johnston County Resident Pleads Guilty to Abusive Sexual Contact with A Minor in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Dustin Kane Adams, age 42, of Troy, Oklahoma entered a guilty plea to Abusive Sexual Contact in Indian Country, in violation of Title 18, United States Code, Sections 2244(a)(5), 2246(3), 1151 & 1152, punishable by up to twenty-two years of imprisonment.
The Indictment alleged that beginning in March of 2015 and continuing until January of 2018, Dustin Adams, did knowingly engage in and cause sexual contact with a child who had not obtained the age of 12 years.
The charges arose from an investigation by the Johnston County Sheriff’s Department and the Federal Bureau of Investigation.
The United States Attorney’s Office for the Eastern District of Oklahoma prosecuted the case because the victim is a member of a federally recognized Indian tribe and the crimes occurred in Johnston County, within the boundaries of the Chickasaw Nation Reservation, and within the Eastern District of Oklahoma.
The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Special Assistant United States Attorneys Alan Metzger and Debra Barnett represented the United States.
Jeannette Man Pleads Guilty in IRS Impersonation Fraud SchemeRead the Press Release
PITTSBURGH, PA – A resident of Westmoreland County, Pennsylvania, pleaded guilty to one count of conspiracy to commit wire fraud, U.S. Attorney Cindy K. Chung announced today.
Ronnell Taylor, Jr., 40, of Jeannette, Pennsylvania, pleaded guilty before United States District Judge Stephanie L. Haines.
In connection with the guilty plea, the court was advised that from in or around March 2016 to in or around August 2017, Ronnell Taylor, Jr. participated in an IRS impersonation fraud conspiracy. The IRS impersonation fraud scheme involved call centers located in India that would use phone numbers to make their calls appear to originate in the United States. The calls would provide recorded information to individuals in the United States and fraudulently claim that the call was from the IRS concerning the individual’s failure to pay taxes. The call would provide a U.S.-based telephone number for the individual to call in order to resolve the matter. Calls to these U.S.-based telephone numbers would be automatically forwarded to call centers in India, and those who answered would tell callers that they owed money to the IRS and demand immediate payment via gift card or other means.
The court was advised that, to assist in this fraud scheme, Taylor would activate cell phones in the United States. To do so, he would insert SIM cards into cell phones, activate the cell phone number with the SIM card, and program the cell phone to automatically forward calls to the call centers. Taylor hired associates to help him program hundreds of cell phones and cell phone numbers. At all times, Taylor and his co-conspirators activated these cell phones in the Western District of Pennsylvania.
The court was further advised that Taylor had a working relationship with those involved with the fraudulent call centers, including Sagar Thakar, also known as “Shaggy,” and that after Taylor learned that co-conspirators in India had been charged with conduct related to the IRS impersonation scheme, Taylor destroyed evidence related to the scheme, including prepaid credit cards, cell phones, and documents.
Judge Haines scheduled sentencing for Jan. 17, 2023, at 10:30 a.m. The law provides for a maximum total sentence of 20 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The matter was investigated by United States Treasury Inspector General for Tax Administration, Homeland Security Investigations, and the United States Postal Inspection Service.
Anyone with information about allegations of elder fraud can report it by calling the National Elder Fraud Hotline at 1-833-FRAUD-11 or 833–372–8311. More information about the Department’s efforts to help American seniors is available at its Elder Justice Initiative at https://www.justice.gov/elderjustice. For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. Elder fraud complaints may be filed with the FTC at reportfraud.ftc.gov/ or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, which can be reached at https://www.ovc.gov.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Sept. 13 was:
Robert John Terry, 37, of Great Falls, on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute meth and distribution of meth. If convicted of the most serious crime, Terry faces a mandatory minimum of 10 years to life in prison, a $10 million fine and at least five years of supervised release. Terry was detained pending further proceedings. The FBI, Drug Enforcement Administration, Great Falls Police Department and Cascade County Sheriff’s Office investigated the case. PACER case reference. 22-71.
Joseph Drayton Cook, 32, of Great Falls, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances, possession of firearm in furtherance of a drug trafficking offense and prohibited person in possession of a firearm. If convicted of the most serious crime, Cook faces a mandatory minimum of 10 years to life in prison, a $10 million fine and at least five years of supervised release on the conspiracy charge and a mandatory minimum of five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on possessing a firearm in furtherance of a drug trafficking crime. The FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, Drug Enforcement Administration and Great Falls Police Department investigated the case. PACER case reference. 22-66.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Sept. 15 was:
Jordan Cody Washee, 30, of Ashland, on charges of aggravated sexual abuse and abusive sexual contact. If convicted of the most serious crime, Washee faces a maximum of life in prison, a $250,000 fine and a mandatory minimum five years to life of supervised release. Washee was released pending further proceedings. The FBI investigated the case. PACER case reference. 22-94.
Jonathan Cleve Brien, 42, of Billings, on charges of conspiracy to commit wire fraud and wire fraud. If convicted of the most serious crime, Brien faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. Brien was released pending further proceedings. The Department of Interior Office of Inspector General investigated the case. PACER case reference. 22-85.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Indictment Charges Hamden Man with Drug and Gun OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that a federal grand jury in New Haven has returned a three-count indictment charging LATRELL ROUNTREE, 27, of Hamden, with drug and firearm offenses.
The indictment was returned on September 14, 2022, and Rountree was arrested yesterday. He appeared today before U.S. Magistrate Judge Robert M. Spector in New Haven, entered a plea of not guilty to the charges, and was ordered detained.
As alleged in the indictment and statements made in court, on May 24, 2022, law enforcement executed a search warrant at Rountree’s residence and seized quantities of crack cocaine and fentanyl, three semi-automatic pistols, and ammunition. As police arrived, Rountree attempted to flee by jumping over the railing of the apartment’s balcony. He was arrested and charged with related state offenses.
It is further alleged that Rountree’s criminal history includes felony convictions for firearm offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
The indictment charges Rountree with possession with intent to distribute fentanyl and cocaine base (“crack”), which carries a maximum term of imprisonment of 20 years; possession of firearms in furtherance of a drug trafficking crime, which carries a mandatory consecutive term of imprisonment of at least five years; and unlawful possession of firearms by a felon, which carries a maximum term of imprisonment of 10 years.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the New Haven and Hamden Police Departments.
This case is being prosecuted by Assistant U.S. Attorney Kenneth Gresham through 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. In May 2021, the Justice 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.
Indianapolis Man Sentenced to over 24 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
INDIANAPOLIS – LeMarkus Hamilton, 32, of Indianapolis, was sentenced to 292 months in federal prison after pleading guilty to possession with intent to distribute 500 grams or more of methamphetamine.
According to court documents, on August 25, 2021, law enforcement officers were conducting a narcotics investigation involving Hamilton, and were aware there were several active warrants for his arrest. Officers saw Hamilton leave his Indianapolis home and travel to a fast-food restaurant near east 21st Street in Indianapolis. Hamilton parked his vehicle and entered the restaurant. Uniformed police officers entered the restaurant and placed Hamilton under arrest for his active warrants and removed him to the parking lot near his vehicle. Following a court-authorized search of the vehicle, officers seized a loaded .40 caliber handgun along with a loaded fifty-round drum magazine.
Officers continued their investigation at Hamilton’s residence and interviewed Hamilton’s sister as she was leaving the residence in a vehicle. Hamilton’s sister admitted that she and the child’s mother removed drugs and guns from the residence, placed them in the vehicle and left. Hamilton’s child’s mother was also interviewed and admitted that Hamilton’s sister placed several guns wrapped in a blanket and a backpack in her vehicle, which she admitted belonged to Hamilton. Officers located four rifles and two handguns and backpack in the vehicle. The backpack contained 2.9 kilograms of methamphetamine, 767 grams of ecstasy pills, marijuana, scales, packaging, and a large sum of U.S. currency. Hamilton was interviewed by officers and admitted that he possessed the firearms and drugs seized from his vehicle and person and his child’s mother’s vehicle.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division, made the announcement.
ATF investigated the case in conjunction with the Indianapolis Metropolitan Police Department. Sentence was imposed by U.S. District Judge James R. Sweeney II. As part of the sentence, Judge Sweeney ordered that Hamilton be supervised by the U.S. Probation Office for five years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Lawrence D. Hilton who prosecuted this case.
Hialeah Armed Hostage-Taking Ring Busted for Ransoming Cuban Migrants and Human Smuggling OffensesRead the Press Release
MIAMI – On September 15, 2022, Didier Perez Perez, Lester Leyniel Soca Diaz, and Yoandy Alonso were indicted by a Miami Southern District of Florida Grand Jury for transporting Cuban nationals into the U.S. via Monroe County, Fla., to a migrant stash house in Hialeah, Fla., where they were held for a requested ransom of $15,000.
Migrants were threatened—to include being told they would be left in the middle of the ocean if their smuggling debts were not paid. Law enforcement rescued the captured migrants and busted the alien transport ring by accompanying a victim’s friend to the hostage exchange point.
The three men were charged with: Conspiracy to Transport and Harbor Aliens for Profit; Transporting Aliens for Profit; Conspiracy to Commit Hostage Taking; and Hostage Taking. All three defendants have been detained pending trial.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (“OCDETF”) investigation. The principal mission of the OCDETF is to identify and dismantle the highest-level drug traffickers, money launderers, and other priority transnational criminal organizations that threaten U.S. citizens. The task force uses a prosecutor-led, intelligence-driven, multiagency approach to combat transnational organized crime. The OCDETF handles complex operations by focusing its partner agencies on priority targets.
These arrests are the result of ongoing efforts of the Operation Sisyphus Task Force, a multiagency partnership established by the OCDEFT’s Priority Transnational Organized Crime Program. The Operation Sisyphus Task Force was formed to combat Caribbean-based organized crime and includes the U.S. Attorney’s Office for the Southern District of Florida, FBI Miami, and HSI Miami. In recent years, the Operation Sisyphus Task Force has targeted organizations utilizing coercion and extortion to compel migrants and their families to make payments for the release of loved ones.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, Robert M. DeWitt, Acting Special Agent in Charge of the FBI’s Miami Field Office, Anthony Salisbury, Special Agent in Charge of Homeland Security Investigations (HSI), Miami Field Office, and George Fuente, Chief of Police, Hialeah Police Department, made the announcement.
This case was investigated by FBI Miami, HSI Miami, and the Hialeah Police Department. This case is being prosecuted by Assistant United States Attorney Elena Smukler. Assistant United States Attorney Annika Miranda is handling the case’s asset forfeiture.
An indictment contains mere allegations and defendants are innocent unless and until found guilty in a court of law.
If you believe you are a victim of migrant coercion or extortion or know someone who is, you are encouraged to call 1-800-CALLFBI (225-5324). The toll-free phone number is available 24 hours a day all year. Help is available in English, Spanish, and other languages.
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-mj-03513.
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Hardin County Man Guilty of Bank RobberyRead the Press Release
BEAUMONT, Texas– A Kountze man has pleaded guilty to robbing a bank in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Timothy Shane Mitchell, 38, pleaded guilty to bank robbery before District Judge Marcia Crone on Sep. 16, 2022.
According to information presented in court, on June 6, 2022, Mitchell robbed the Lumberton branch of the Community Bank of Texas. Mitchell approached a teller’s station at the bank and gave the teller a note demanding money. Mitchell told the teller he had a gun, which he threatened to use if she alerted authorities. The teller gave Mitchell a stack of currency and he left the bank. The teller immediately activated the panic button alerting police to the robbery. Witnesses were able to describe Mitchell’s vehicle, which was apprehended shortly after the robbery. Mitchell was arrested and the $5,860 in currency was recovered at that time.
Mitchell was indicted by a federal grand jury on June 8, 2022. Mitchell faces up to 20 years in federal prison upon sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing 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 U.S. Probation Office.
This case is being investigated by the Lumberton Police Department and the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Joseph R. Batte.
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Georgia Man Convicted of Child Enticement Sentenced to Serve 120 Months in Prison Resulting from Op End Game InvestigationRead the Press Release
MACON, Ga. – A Winterville, Georgia, resident convicted by a federal jury earlier this year of attempted online child enticement was sentenced to serve ten years in prison for his crime.
Noe A. Villafuerte, 48, of Winterville, Georgia, was sentenced to serve 120 months in prison to be followed by ten years of supervised release by U.S. District Judge C. Ashley Royal on Sept. 15 after he was convicted by a federal jury on March 30 of attempted online enticement of a minor. In addition, Villafuerte will have to register as a sex offender for life upon release from prison. There is no parole in the federal system.
“Child predators will go to great lengths to victimize a child, as seen in this case and in nearly all of the online exploitation cases we encounter. I hope this case serves as a reminder to parents and responsible adults to be aware of your young person’s online activity and who they are communicating with,” said U.S. Attorney Peter D. Leary. “Law enforcement at every level is collaborating through Georgia’s Internet Crimes Against Children Task Force program to protect children from online exploitation.”
“The GBI will continue to work tirelessly to protect innocent victims of online exploitation. We are grateful for the partnerships we maintain with our local and federal agencies to bring these predators to justice,” said GBI Director Michael Register.
“Predators like Villafuerte are just another example of why parents need to be vigilant and aware of their children’s online activity,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Fortunately, he connected with an undercover detective and not a child. The FBI remains committed to protecting our young citizens and is thankful for the law enforcement partnerships that make it possible to bring child predators to justice.”
According to court documents and testimony presented at trial, Villafuerte was arrested as a result of “Operation End Game,” a three-day proactive effort from July 25-27, 2019, centered in Athens, Georgia, to arrest adults communicating with children on-line and traveling to meet them for the purpose of having sex. During the online operation, an undercover detective posing as a 14-year-old girl placed an ad on an “escort” website known to be used by human traffickers. Villafuerte responded to the ad and began communicating with the undercover agent on July 25. Villafuerte offered to pay the child $60 for sex in his vehicle and they agreed to meet at a Kroger in Athens on July 26. Villafuerte was arrested shortly before 5:00 p.m. in the parking lot after searching the store and lot for the child.
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 the Georgia Internet Crimes Against Children (ICAC) Task Force, the GBI’s Child Exploitation and Computer Crimes Unit (CEACC), the Athens-Clarke County Police Department (ACCPD), the FBI and the Athens-Clarke County District Attorney’s Office.
Assistant U.S. Attorney Robert McCullers prosecuted the case with Assistant U.S. Attorney Lyndie Freeman.