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Friday 16 September 2022
Four Men Sentenced for Gang-Related Murder and Multistate Drug Trafficking RingRead the Press Release
ALEXANDRIA, Va. – Four individuals were sentenced Monday and yesterday to multiple life terms and 26 years in prison for numerous charges relating to a murder, a violent gang enterprise, and a drug trafficking conspiracy operating in Virginia, California, and several other states.
According to court documents, Peter Le, 25, of Dunn Loring, Young Yoo, 26, of Centreville, Joseph Lamborn, 28, of California, and Tony Le, 28, also of California, were members of a violent Northern Virginia Street gang called the Reccless Tigers, which was affiliated with a California gang called the West Side Asian Boyz. The gang, which originated in Centreville in 2011, distributed thousands of pounds of marijuana as well as other THC products, cocaine, ecstasy, and prescription drugs. Many of the gang’s customers were middle and high school students in Northern Virginia and college students at a number of Virginia universities.
According to court records, gang members over a number of years engaged in a persistent pattern of intimidation and retaliation against individuals who did not pay their drug debts and anyone who were believed to have cooperated with law enforcement. Gang members attacked homes – with Molotov cocktails and even engaged in a drive-by shooting – in early morning hours when adults and children were sleeping in their homes in Fairfax, Stafford, and Prince William counties. Further, Peter Le and other gang members vandalized numerous homes and engaged in physical assaults against those who owed drug debts or were suspected of cooperating with law enforcement.
Reccless Tigers members are also responsible for two homicides. The first homicide occurred at one of the gang’s house parties in April 2016. During the party, one of the guests (the “victim”) began arguing with a gang member. The argument turned into a brawl, during which numerous gang members attacked the victim. The victim was stabbed in the chest during the fight, and he then left the party with friends unaware that he had life-threatening injuries. He died later that night at his home.
The second homicide occurred on Feb. 1, 2019. The victim, Brandon White, owed Yoo several thousand dollars for marijuana he had obtained when he was a juvenile in and around 2013-14. David Nguyen, a Reccless Tigers gang member, assaulted White over this drug debt on Aug. 8, 2018, which resulted in White sustaining serious injuries that required hospitalization. The Fairfax County Police Department subsequently arrested Nguyen and charged him with robbery and malicious wounding. As Nguyen’s criminal case progressed, gang members became aware that White had been subpoenaed to testify against Nguyen at a preliminary hearing. In response, gang members attempted to pay White in return for him refusing to cooperate in Nguyen’s prosecution. Gang members also threatened to kill White if he testified. White refused the gang’s offer, and he testified against Nguyen on Nov. 19, 2018. Less than two and a half months later, Peter Le, Yoo, and Lamborn carried out gang members’ threats by murdering White.
On Jan. 31, 2019, and continuing into the early morning hours of Feb. 1, 2019, Peter Le, Yoo, Lamborn, and others kidnapped White at a shopping mall in Fairfax County. The conspirators then held White against his will in a vehicle and drove him to a wooded area of Richmond, where Peter Le, Yoo, and Lamborn then repeatedly stabbed White in his face and other areas, and ultimately shot White three times in the back. White was left in the woods and died from his injuries.
Twenty-one defendants have pleaded guilty to federal charges and have been sentenced. Three defendants are fugitives. The table below shows the key sentences.
Name
Conviction(s)
Result
Peter Le*
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Violent crimes in aid of racketeering murder; Conspiracy to engage in kidnapping; Kidnapping resulting in death; Conspiracy to distribute controlled substances; Killing while engaged in drug trafficking; Maintaining a drug-involved premises; Distribution of marijuana and cocaine; Use, carry, and possession of a firearm during a drug trafficking crime; and Money laundering.
Sentenced to five terms of life imprisonment; 30 years for conspiring to distribute controlled substances, six terms of 240 months; and 60 months to be served consecutive for using, carrying, and possessing a firearm during a drug trafficking crime
Young Yoo*
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Violent crimes in aid of racketeering murder; Conspiracy to engage in kidnapping; Kidnapping resulting in death; Conspiracy to distribute controlled substances, Killing while engaged in drug trafficking.
Sentenced to five terms of life imprisonment and 20 years for conspiring to distribute controlled substances.
Joseph Duk-Hyun Lamborn*
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Violent crimes in aid of racketeering murder; Conspiracy to engage in kidnapping; Kidnapping resulting in death; Conspiracy to distribute controlled substances; Killing while engaged in drug trafficking; Firearms murder.
Sentenced to six terms of life imprisonment, with one term to be served consecutive, and 15 years for conspiring to distribute controlled substances.
Tony Minh Le*
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Conspiracy to distribute controlled substances.
Sentenced to 312 months
Kevin Aagesen
Conspiracy to distribute controlled substances; Conspiracy to commit kidnapping in aid of racketeering activity.
Sentenced to 188 months
Sascha Amadeus Carlisle
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Conspiracy to engage in kidnapping; Conspiracy to distribute controlled substances.
Sentenced to 196 months
Abdullah Abdow Sayf
Conspiracy to commit kidnapping in aid of racketeering activity; Use and carry of a firearm during and in relation to a drug trafficking crime.
Sentenced to 180 months
Fahad Abdulkadir
Conspiracy to commit kidnapping in aid of racketeering activity; Possession with the intent to distribute 50 kilograms or less of marijuana; Use and carry of a firearm during and in relation to a drug trafficking crime.
Sentenced to 192 months
David Thai Hoang Nguyen
Conspiracy to distribute controlled substances
Sentenced to 171 months
Kyu Wa Hong
Conspiracy to distribute controlled substances
Sentenced to 216 months
Sang Thanh Huynh
Conspiracy to participate in the affairs of an enterprise engaged in a pattern of racketeering activity; Conspiracy to distribute controlled substances; Money laundering; Felon in possession of a firearm.
Scheduled to 192 months
Soung Park
Conspiracy to distribute controlled substances
Sentenced to 132 months
Tasneef Amhed Chowdhury
Conspiracy to distribute controlled substances
Sentenced to 121 months
Joshua Andrew Miliaresis
Conspiracy to distribute controlled substances
Sentenced to 18 months
Tyler Thang Le
Conspiracy to distribute controlled substances
Sentenced to 135 months
Dane Nicholas Hughes
Conspiracy to distribute controlled substances
Sentenced to 12 months and one day
Richard Pak
Conspiracy to distribute controlled substances; Distribution of cocaine; Use and carry of a firearm during and in relation to a drug trafficking crime.
Sentenced to 178 months
Spencer Pak
Conspiracy to distribute controlled substances; Distribution of cocaine; Use and carry of a firearm during and in relation to a drug trafficking crime.
Sentenced to 120 months
Tyler Pranompi Sonesamay
Conspiracy to distribute controlled substances
Sentenced to 120 months
Khalil Yasin
Conspiracy to distribute controlled substances
Sentenced to 97 months
Anthony Nguyen Thanh Le
Conspiracy to distribute controlled substances and distribution of cocaine
Sentenced to 92 months
Angel Hoang Le
Maintaining a drug-involved premises
Sentenced to 42 months
Zu Hun Chang
Possession with the intent to distribute cocaine
Sentenced to 42 months
Brandon Sobotta
Distribution of cocaine
Sentenced to time served (about 7 months)
This was a multi-jurisdictional OCDETF case involving the FBI Washington Field Office, ATF, HSI, IRS, U.S. Postal Service, U.S. Marshals Service, Fairfax County Police Department, Prince William County Police Department, City of Richmond Police, Montgomery County (MD) Police, Loudoun County Sheriff’s Office, Falls Church Police, City of Alexandria Sheriff’s Office, Richmond County Sheriff’s Office, Fairfax County Sheriff’s Office, Fairfax County Fire Marshal, Prince William County Fire Marshal, Stafford County Fire Marshal, City of Monterey Park (CA) Police, Garden Grove (CA) Police, Anaheim (CA) Police; Trinity County (CA) Sheriff’s Office, California Highway Patrol, DEA San Francisco Division – Reading Office, California Department of Forestry and Fire Protection, California Department of Food & Agriculture, California Department of Consumer Affairs Bureau of Cannabis Control, U.S. Attorney’s Office Eastern District of California – Sacramento Office, U.S. Attorney’s Office Central District of California – Santa Ana and Riverside Offices, and the FBI’s Field Offices in Richmond, Los Angeles, and Sacramento.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Charlie J. Patterson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Washington Field Office; and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division, made the announcement after sentencing by Senior U.S. District Judge Liam O’Grady.
Assistant U.S. Attorneys Jim Trump, Carina A. Cuellar, and Ryan Bredemeier 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. 1:19-cr-57.
Former Washington State Employment Security Department worker sentenced to five years in prison for wire fraud, bribery, and aggravated identity theftRead the Press Release
Tacoma – A former employee of Washington State’s Employment Security Department (ESD) was sentenced today in U.S. District Court in Tacoma to five years in prison for three federal felonies for his scheme to exploit his employment for personal enrichment and to fraudulently distribute at least $360,000 in pandemic-related unemployment benefits, announced U.S. Attorney Nick Brown. Reyes De La Cruz, III, 48, of Moses Lake, Washington, personally enriched himself by at least $130,000 with his scheme. At the sentencing hearing U.S. District Judge Robert J. Bryan said, “This was a serious offense…damaging to our system of government and to individuals.”
“Mr. De La Cruz’s betrayal of public trust is particularly egregious, since he was hired to help people survive during a time of national crisis,” said U.S. Attorney Nick Brown. “Instead, through multiple acts of demanding bribes, falsifying records, stealing identities – he stole from the public to line his own pockets. The Department of Justice is working relentlessly to combat pandemic fraud, and to hold people who defrauded the government accountable.”
"Public servants must be held to higher standard.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “Mr. De La Cruz took advantage of a program meant to assist struggling families during the pandemic. He exploited his position to benefit himself, which makes his actions that much more appalling. This case demonstrates the commitment by the FBI and U.S. Attorney’s Office to reinforce trust and hold accountable those who manipulate for personal gain.”
According to records filed in the case, De La Cruz was hired as an intake agent in April 2020 to help the Employment Security Department (ESD) deal with the crush of filings for pandemic unemployment benefits. De La Cruz had previously worked for ESD, from 1996 to 2003.
Between July 3, 2020, and March 15, 2021, De La Cruz used his access to the ESD claims database to defraud the benefits system in multiple ways. In at least ten instances, De La Cruz accepted bribes in exchange for engineering benefit payments for his friends, family, or acquaintances by making false entries in the claims database. In many cases, the person did not qualify for benefits, but De La Cruz manipulated the claims database so that the claimants received lumpsum retroactive payments that sometimes amounted to tens of thousands of dollars. The claimants would then pay De La Cruz a portion of the lumpsum. The bribes ranged from $500-$6,500. In total, De La Cruz enriched himself nearly $21,000 through kickback payments.
In some instances, when claimants refused or resisted paying De La Cruz, he threatened to terminate the claim if they did not pay him.
De La Cruz filed at least four claims using other people’s personal information without authorization and then had the benefits paid to debit cards that were mailed to Moses Lake, Washington, addresses where De La Cruz could retrieve them. Even after his employment with ESD terminated on October 1, 2020, De La Cruz attempted to restart claims payments to these debit cards to take advantage of additional federal pandemic benefits. De La Cruz went so far as to impersonate a claimant in recorded phone calls with ESD and a bank. He impersonated another claimant in handwritten correspondence that he then faxed to ESD. In this way he defrauded ESD of more than $113,000.
The Employment Security Department uncovered evidence of fraud, terminated De La Cruz, and referred the case to the Department of Labor Office of Inspector General. The FBI joined the investigation.
“Reyes De La Cruz was a state employee who was trusted to handle sensitive employment information. He abused that trust for personal gain. This sentencing sends a strong message to those who defrauded our nation’s unemployment system during a time when unemployment benefits were needed most. Protecting the integrity of the unemployment insurance program remains one of our highest priorities. We will continue to work with our law enforcement partners to safeguard unemployment benefits for those who need them and to bring to justice those who commit unemployment insurance fraud”, said Quentin Heiden, Special Agent-in-Charge of the U.S. Department of Labor, Office of Inspector General, Los Angeles Region.
This case is being prosecuted by Assistant United States Attorneys Cindy Chang and Seth Wilkinson.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Former Marine Sentenced to 5 Years in Prison for Cyberstalking Young Women in ‘Sextortion’ Campaign While on Active DutyRead the Press Release
LOS ANGELES – A South Bay man has been sentenced to 60 months in prison for cyberstalking multiple young women in a “sextortion” campaign he waged while he was an active-duty member of the United States Marine Corps, the Justice Department announced today.
Johao Miguel Chavarri, 26, a.k.a. “Michael Frito,” of Torrance, was sentenced late Thursday afternoon by United States District Judge Maame Ewusi-Mensah Frimpong, who also ordered him to pay a $15,000 fine.
Chavarri pleaded guilty on May 27 to three counts of cyberstalking.
From May 2019 to February 2021, Chavarri stalked and sent anonymous threatening communications to numerous victims, including the three victims discussed in court documents.
Chavarri, often using the name “Frito,” contacted victims on social media platforms, including Instagram, Snapchat, and Twitter, complimented their appearance and/or their publicly posted photos, and suggested a relationship in which he would pay the victim to send him photos or videos. Some of the victims initially agreed to Chavarri’s requests and sent him nude, sexually explicit, or compromising photos. When victims either refused Chavarri’s initial request for photos, refused to send him additional photos or videos, or otherwise refused to continue to communicate with him online, Chavarri began to harass, threaten, and extort the victims using numerous online accounts.
In most cases, he threatened to publish sexual photos and videos of the victims online or on well-known pornography websites and to distribute the sexual photos or videos to the victims’ boyfriends, friends, families, or employers — people he often specifically identified by name. Chavarri threatened his victims and their friends and family that he would ruin their lives. He knew many of his victims personally.
“Perhaps most troubling is the emotional distress that [Chavarri] intentionally inflicted on his victims,” prosecutors argued in a sentencing memorandum. “He terrified and terrorized them. The young women feared not only for their privacy and their relationships with their friends, family, employers, and community, but also for their physical safety. They suffered, and continue to suffer, significant emotional harm.”
The FBI investigated with this case with assistance from the Naval Criminal Investigative Service.
Assistant United States Attorney Lauren Restrepo of the Cyber and Intellectual Property Crimes Section and Senior Trial Attorney Mona Sedky of the Justice Department’s Computer Crime and Intellectual Property Section prosecuted the case.
Former Marine Sentenced for Cyberstalking Young Women in Sextortion CampaignRead the Press Release
A California man was sentenced yesterday to five years in prison for cyberstalking multiple young women in California in a “sextortion” campaign he waged while he was an active-duty member of the U.S. Marine Corps.
According to court documents, from May 2019 to February 2021, Johao Miguel Chavarri, aka Michael Frito, 26, of Torrance, stalked and sent anonymous threatening communications to numerous victims.
Chavarri, often using the name “Frito,” contacted victims on social media platforms, including Instagram, Snapchat, and Twitter, complimented their appearance and/or their publicly posted photos, and suggested a relationship in which he would pay the victim to send him photos or videos. Some of the victims initially agreed to Chavarri’s requests and sent him nude, sexually explicit, or compromising photos. When victims refused Chavarri’s initial request for photos, refused to send him additional photos or videos, or otherwise refused to continue to communicate with him online, Chavarri began to harass, threaten, and extort the victims using numerous online accounts. In most cases, he threatened to publish sexual photos and videos of the victims online or on well-known pornography websites and/or to distribute the sexual photos or videos to the victims’ boyfriends, friends, families, or employers, who he would often specifically identify by name.
Chavarri was ordered to pay a $15,000 fine and serve three years of supervised release.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Acting U.S. Attorney Stephanie S. Christensen for the Central District of California; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; and Supervisory Special Agent Adam Smith of the FBI Los Angeles Field Office made the announcement.
The FBI Los Angeles Field Office, Long Beach Resident Agency, investigated the case, with assistance from the Naval Criminal Investigative Service.
Assistant U.S. Attorney Lauren Restrepo for the Central District of California and Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section prosecuted the case.
Former District of Columbia Fire/EMS Employee Sentenced to Prison for Bribery in Scheme Involving Undelivered GoodsRead the Press Release
WASHINGTON—Louis “Joey” Mitchell III, a former employee of the District of Columbia Fire and Emergency Medical Services Department (FEMS), was sentenced today to 34 months in prison for accepting more than $60,000 in payments from a District of Columbia contractor in exchange for directing purchase agreements and orders to the contractor and then falsely certifying that goods that FEMS had paid for had been delivered.
The announcement was made by U.S. Attorney Matthew M. Graves, Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division, and Daniel W. Lucas, Inspector General for the District of Columbia.
Mitchell, 50, of Capitol Heights, Maryland, pleaded guilty to bribery in May 2022, in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable Amit P. Mehta. Following his prison term, Mitchell will be placed on three years of supervised release. He also must pay a $61,250 forfeiture money judgment and $257,680 in restitution.
Mitchell was a warehouse supply technician at FEMS. In that role, he was responsible for verifying deliveries of goods to the warehouse before the agency would issue payments to the relevant vendors. According to the plea documents, beginning in at least 2016 and continuing through in or about 2020, Mitchell and a FEMS contract administrator engaged in a bribery scheme with a contractor whose company was an approved vendor for supplies.
According to the documents, Mitchell and the contract administrator solicited and received bribes from the contractor on at least seven occasions in exchange for directing purchase orders to the contractor’s company and confirming delivery of and payment for goods that the company did not deliver. In addition, Mitchell, the contractor, and the contract administrator made fraudulent charges on FEMS credit cards, payable to the contractor’s company, and then split the proceeds.
As a result of the bribery scheme, FEMS paid the company approximately $250,000 for goods that never were delivered. Mitchell personally received at least $61,250 in bribes from the contractor.
The FEMS contract administrator, Charity Keys, pleaded guilty in July 2022 to bribery and is to be sentenced on Dec. 2, 2022. In her guilty plea, Keys, 44, of Bowie, Maryland, admitted to a federal bribery charge receiving at least $42,500 in bribes.
Law enforcement opened an investigation into the conduct after FEMS officials discovered procurement anomalies and referred the matter to the District of Columbia Office of the Inspector General and the FBI for investigation. Mitchell and Keys were arrested on Feb. 10, 2022.
This case is being investigated by FBI’s Washington Field Office and D.C. Office of Inspector General. The case is being prosecuted by the Fraud, Public Corruption, and Civil Rights Section of the U.S. Attorney’s Office for the District of Columbia.
Former Director of Finance Sentenced to 44 Months in Prison for Defrauding Credit Union of More Than $600,000Read the Press Release
WASHINGTON – Salusthian Lutamila, the former Director of Finance of the Inter-American Development Bank – IIC Federal Credit Union, was sentenced today to 44 months in prison for an embezzlement scheme in which he stole $610,000 from the credit union.
The announcement was made by U.S. Attorney Matthew M. Graves and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division.
Lutamila, 53, of Hyattsville, Maryland, was found guilty by a jury in May 2022, in the U.S. District Court for the District of Columbia, of 21 counts of bank fraud, theft by a credit union employee, wire fraud, and money laundering. He was sentenced by the Honorable James E. Boasberg. Following his prison term, Lutamila will be placed on three years of supervised release. During that time, he is barred from working in finance or accounting. He also must pay $76,069 in restitution and an equal amount in a forfeiture money judgment.
According to the government’s evidence at trial, from November 2016 through April 2019, Lutamila worked at the credit union, first as the Controller and then as the Acting Chief Financial Officer. Shortly after finding out that he was not being promoted to the role of Chief Financial Officer, Lutamila began embezzling money from the credit union. Specifically, beginning in November 2018 through January 2019, Lutamila stole $610,000.
Throughout the scheme, Lutamila abused and misused his position and employment at the credit union in order to illegally transfer money from internal operating accounts to a previously dormant checking account. Lutamila then abused the authority granted to him as Acting CFO to secretly move that money to an E-Trade account he had opened at the beginning of the scheme.
Lutamila then used the stolen money to pay off his car, increase the balance on his retirement account, and buy stocks. Lutamila’s scheme was discovered only a few weeks before he was set to resign from the credit union when the newly hired CFO identified the fraudulent transfers. Due to the quick actions by the newly hired CFO, the credit union was able to flag the fraud and get back most of the embezzled money.
In announcing the sentence, U.S. Attorney Graves and Special Agent in Charge Jacobs commended the work of those who investigated the case from the FBI’s Washington Field Office. They also expressed appreciation for the assistance provided by the Metropolitan Police Department (MPD). They commended the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Mariela Andrade and Michon Tart, and Supervisory Litigation Technology Specialist Leif Hickling.
Finally, they commended the work of Assistant U.S. Attorney Janani Iyengar, who investigated the case, and Assistant U.S. Attorney Melissa Jackson and former U.S. Attorney Peter Lallas, who prosecuted the case.
Former Customs and Border Protection officer sentenced for role in sham marriage immigration schemeRead the Press Release
Seattle – A former U.S. Customs and Border Protection (CBP) Officer was sentenced today in U.S. District Court in Seattle for immigration fraud, announced U.S. attorney Nick Brown. Burien resident Katherine De Leon Evaristo, 39, agreed to a sham marriage with a childhood acquaintance from the Philippines. She was to be paid $20,000 for the sham marriage so that the acquaintance could immigrate to the United States and obtain U.S. Citizenship. Evaristo later obtained a job at the Office of Field Operations for CBP and used her position there to make an inquiry into her husband’s immigration status. At the sentencing hearing U.S. District Judge Richard A. Jones imposed a sentence of two years of probation saying Evaristo abused her position of trust to obtain benefits for her sham spouse and herself. Judge Jones noted that she had lost her career in public service and was unlikely to reoffend.”
According to records filed in the case, in late 2012, Evaristo was approached by a cousin about a sham marriage after she attended her brother’s funeral in the Philippines. She agreed to the sham marriage in exchange for $20,000 with half paid at the start of the scheme and the other half when the fake spouse obtained citizenship. Evaristo applied for a fiancé visa for the fake spouse, he traveled to the U.S. in 2015, and the couple was “married” in San Diego. In 2017, the couple applied for citizenship for the “spouse,” and in 2019, again lied in their interview about the sham marriage to try to obtain citizenship.
The investigation began when Evaristo improperly used her access to a federal law enforcement database to check on the immigration status of her sham husband. CBP officers looking into the improper access knew Evaristo was dating another person and so began to unravel the sham marriage scheme. When Evaristo was interviewed in 2021, she admitted the scheme.
Evaristo was indicted in September 2021. She pleaded guilty in May 2022.
In recommending a probationary sentence, prosecutors noted that Evaristo is the single parent of infant twins. “Evaristo has experienced significant consequences of her crime that go beyond a custodial sentence: She lost her job at CBP—a job she spent years securing and that afforded her a comfortable income—and now works a lower-wage warehouse job. These consequences along with the restricted liberty of probation reflect the seriousness of the crime and are likely to deter any future criminal conduct,” prosecutors wrote in their sentencing memo.
“As evidenced by the outcome of this investigation, CBP OPR and our partners are committed to identifying and mitigating threats,” said Office of Professional Responsibility Special Agent in Charge (SAC) Paul Crawford, Seattle, Washington.
The case was investigated by U.S. Customs and Border Protection Office of Professional Responsibility (CBP-OPR), U.S. Citizenship and Immigration Services Fraud Detection National Security Unit, and Homeland Security Investigations (HSI).
The case was prosecuted by Assistant United States Attorneys Sok Jiang and Lauren Watts Staniar.
Florida Man Pleads Guilty to Money LaunderingRead the Press Release
BOSTON – A Florida man pleaded guilty yesterday in federal court in Boston in connection with operating an unlicensed money transmitting business to launder the proceeds of online investment fraud schemes.
Tochukwu Abel Edeh, 32, a Nigerian national previously residing in Jacksonville, Fla., pleaded guilty before U.S. District Court Judge Richard G. Stearns to one count of money laundering conspiracy and one count of conspiracy to conduct an unlicensed money transmitting business. A sentencing hearing has not yet been scheduled by the Court. Edeh was charged by criminal complaint and subsequently indicted by a federal grand jury in September 2021.
Edeh managed used car dealerships and currency transfer services in Texas, Florida and Nigeria. This included a trading company as well as a cryptocurrency firm, both of which were based in Nigeria, through which Edeh exchanged Bitcoin and other cryptocurrencies for profit.
In or around 2015, Edeh conspired with others to launder and transmit proceeds of Ponzi-style investment fraud schemes based in Nigeria. Specifically, the schemes purported to offer trading and Bitcoin investing services when, in fact, investor funds were stolen and later victims’ investments were used to pay purported returns to earlier investors. Edeh laundered the fraud proceeds using a network of co-conspirators in the United States and using his personal and business accounts in the United States and Nigeria. Edeh, along with his co-conspirators, did not hold money transmitting licenses in their respective states of residence, nor were they registered as money transmitters as required by federal law.
The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $500,000 or twice the value of the laundered funds, whichever is greater. The charge of conspiracy to conduct an unlicensed money transmitting business provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Jennifer De La O, Director of Field Operations of U.S. Customs and Border Protection, Boston Field Office made the announcement today. Valuable assistance was provided by the Division of Enforcement at the Commodity Futures Trading Commission. Assistant U.S. Attorney Kriss Basil of Rollins’ Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Fentanyl Trafficker Sentenced for Distribution of 30,000 ‘Pressed’ PillsRead the Press Release
ABINGDON, Va. – A Smyth County, Virginia man, who ordered approximately 30,000 fentanyl pills from California and sold them in Southwest Virginia, was sentenced today to 42 months in federal prison. He will also pay the United States a $50,000 monetary judgement.
Zachary Ryan Hutton, 21, of Marion, Virginia, pleaded guilty in March 2022 to knowingly possessing with the intent to distribute, as well as distributing, 400 grams or more of a mixture or substance containing fentanyl.
According to court documents, law enforcement began investigating a flood of illegal pills in Smyth County, Virginia that resembled pharmaceutical-grade oxycodone pills that were inconsistent in size, shape, and color, indicating they were counterfeit pills. The investigation revealed that the active ingredient in these “pressed” pills was fentanyl. Pills of this type are sometimes referred to as “Roxicodone,” “pressed,” or “M30” pills and often have an imprint of an “M” on one side and a “30” on the other side.
In June 2021, the U.S. Postal Service–Office of Inspector General intercepted a package addressed to “Ryan Hutton” at the residence of Hutton’s grandmother in Marion. The package contained approximately 561 grams of pressed fentanyl pills.
Law enforcement conducted a controlled delivery of the package, at which time Hutton was arrested and found to be in possession of an additional 798 pressed pills. During the subsequent investigation, law enforcement learned that Hutton had ordered fentanyl pills by mail for at least four months, received approximately 30,000 pills during that time frame, and paid a source in California $20,000 for the most recent package.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia, Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, Damon E. Wood, Inspector in Charge of the U.S. Postal Inspection Service’s Washington Division, and Jarod Forget, Special Agent in Charge of the DEA’s Washington Division made the announcement.
The Smyth County Sheriff’s Office, the U.S. Postal Inspection Service, the U.S. Postal Service–Office of the Inspector General, the Drug Enforcement Administration, and the Federal Bureau of Investigation investigated the case.
Assistant U.S. Attorney Whit D. Pierce prosecuted the case.
Everett, Washington, man pleads guilty to possession of stolen firearmRead the Press Release
Seattle – A 26-year-old Everett resident pleaded guilty today in U.S. District Court in Seattle to possession of a stolen firearm in connection with the theft of a high-powered rifle taken during a downtown Seattle altercation on May 30, 2020, announced U.S. Attorney Nick Brown. Jacob D. Little was captured by both Seattle Police surveillance photos and images posted online with the large bag used to store the Colt M4 rifle with a suppressor. U.S. District Judge Richard A. Jones will sentence Little on January 6, 2023.
Using not only the images captured of the scene of the civil unrest, but tips from the public, Seattle Police investigators linked Little to the stolen firearm. Images showed Little removing a heavy bag – subsequently identified as a bag containing a department-issued rifle – from a Seattle Police vehicle parked outside the downtown Nordstrom store. The vehicles were heavily damaged and ultimately burned. In the course of the investigation, law enforcement obtained electronic messages sent by Little after the theft in which he appeared to be negotiating the sale of the firearm. Little stated in the messages that he had removed the sling and suppressor and the “red dot” (a type of optical sight) from the rifle. All those accessories were present on the rifle when stolen from the Seattle Police vehicle.
Under the terms of the plea agreement, both prosecutors and defense will recommend a sentence of 16 months in prison.
Little is facing charges in King County Superior Court connected to an unrelated shooting incident on August 30, 2020. In that case, it is alleged that Little fired multiple shots when fights broke out at a gathering of over 200 car enthusiasts in the parking lot of the Uwajimaya grocery store in Renton. Little was observed firing a gun into the air and into a crowd of people. In January 2021, Little was charged with second degree murder and assault.
The stolen firearm in this case was not the gun used in the Renton shooting. The stolen firearm in this case was ultimately recovered after a third party surrendered it to law enforcement.
The case was investigated by the Seattle Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), with assistance from the Snohomish County Violent Offender Task Force, ,the United States Marshals Service, and the Marysville Police Department. The case is being prosecuted by Assistant United States Attorney Kate Crisham.
Dr. Charles J. Southall, III Charged with Money LaunderingRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that on September 15, 2022 , DR. CHARLES J. SOUTHALL, III, age 64, was charged in a one-count bill of information with money laundering, in violation of Title 18, United States Code, Sections 1957 and 2.
According to court documents, the charge relates to the electronic transfer of approximately $100,000 from a bank account to an individual investment account in SOUTHALL’S name. The funds were the derived from the specified unlawful activity of wire fraud.
SOUTHALL faces a maximum term of imprisonment of ten (10) years in prison, up to three years of supervised release, up to a $250,000 fine, and a $100 mandatory special assessment fee.
U. S. Attorney Evans reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorneys Jordan Ginsberg, Chief of the Public Corruption Unit, Myles Ranier, and Asset Forfeiture Coordinator Alexandra Giavotella are in charge of the prosecution.
District Man Pleads Guilty to Fentanyl Distribution, Which Resulted in Death of Consumer from VirginiaRead the Press Release
WASHINGTON – Andrew Cooper, 47, of Washington, D.C., pleaded guilty today to a federal charge of distribution of Fentanyl, admitting that he distributed the drug to customers from his residence in Northeast Washington. In the statement of facts in support of the plea agreement, Cooper admitted that he distributed Fentanyl to a female and her male friend, and that the male friend subsequently died from consuming the Fentanyl that Cooper provided.
Cooper also admitted that he distributed approximately 30 grams of a mixture or substance containing a detectable amount of Fentanyl to an undercover law enforcement officer over five separate transactions.
The guilty plea was announced by U.S. Attorney Matthew M. Graves, Wayne A. Jacobs, Special Agent in Charge of the FBI’s Washington Field Office Criminal Division, Jarod Forget, Special Agent in Charge of the Washington Division Office of the U.S. Drug Enforcement Administration (DEA), Robert J. Contee III, Chief of the Metropolitan Police Department (MPD), and Kevin Davis, Chief of the Fairfax County, Va. Police Department.
Cooper pleaded guilty in the U.S. District Court for the District of Columbia. He is to be sentenced on Jan. 27, 2023, by the Honorable Amit P. Mehta. Under federal sentencing guidelines, he faces a likely range of 235-240 months in prison.
As part of his plea agreement, Cooper acknowledged distributing Fentanyl from his residence in the 1900 block of Capitol Avenue NE, in the Ivy City neighborhood, from February to November of 2021. On multiple occasions, from Feb. 11 to Feb. 16, 2021, he distributed Fentanyl to the female and her male friend, who then traveled to Virginia to consume the drug. On Feb. 16, 2021, the woman came to Cooper’s residence alone. Upon her return to Virginia, she discovered her male friend dead from an apparent overdose. He was in a bathroom, with a syringe containing Fentanyl nearby.
Cooper was initially indicted in November 2021, after law enforcement completed five separate undercover purchases from August to October 2021. When Cooper was arrested on Nov. 10, 2021, law enforcement also executed a search warrant on his residence and recovered $74,430, which were proceeds from Cooper’s narcotics sales, a firearm, and additional narcotics, including Fentanyl. After gathering additional evidence, law enforcement was able to determine that Cooper’s Fentanyl distribution dated back until at least February 2021 and that his distribution resulted in the death of a male victim on Feb. 16, 2021.
As part of its investigation, law enforcement also determined that Cooper maintained a bank account where he kept additional proceeds from his drug trafficking activities and obtained a seizure warrant, resulting in the seizure of an additional $32,650. As part of his plea agreement, Cooper acknowledged that the $74,430 seized from his home and the $32,650 seized from his bank account were drug proceeds and agreed to forfeit the money to the government.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
The case was investigated by the FBI’s Washington Field Office, the DEA Washington Division, the Metropolitan Police Department, and the Fairfax County, Va. Police Department. It is being prosecuted by Assistant U.S. Attorneys David T. Henek and Solomon Eppel, of the Violence Reduction and Trafficking Offenses Section of the U.S. Attorney’s Office for the District of Columbia.
Defendant Who Assaulted and Robbed a Man Sentenced to 90 Months in PrisonRead the Press Release
A 43-year-old Tulsa man was sentenced Friday in federal court for assaulting and threatening to kill a victim, robbing him of hundreds of dollars, and stealing his vehicle.
“Merle Lancaster Sr. violently assaulted the victim with a baseball bat during a robbery and has been sentenced to more than seven years in prison,” said U.S. Attorney Clint Johnson. “The U.S. Attorney’s Office will continue to work closely with our law enforcement partners to fight violent crime across the Northern District of Oklahoma and deliver justice on behalf of victims.”
U.S. District Judge Gregory K. Frizzell sentenced Merle Jason Lancaster Sr., to 90 months in federal prison followed by three years of supervised release.
Lancaster pleaded guilty in November 2021 to robbery in Indian Country. He admitted that on Feb. 3, 2021, he threatened to kill the victim and his family if he did not hand over money or drugs. Lancaster further assaulted the victim with a baseball bat to force the victim to comply with his demands. The man was then forced into his own vehicle, and Lancaster and an accomplice drove the man to a convenience store so he could withdraw several hundred dollars from an ATM. Video surveillance showed the victim and Lancaster entering the convenience store, and the victim withdrawing cash and handing it over to Lancaster as Lancaster stood over him.
The three then left the convenience store, and Lancaster and his accomplice eventually forced the man out of the car and drove away.
The Tulsa Police Department and FBI conducted the investigation. Assistant U.S. Attorney Justin G. Bish prosecuted the case.
Coon Rapids Man Indicted for Threatening a U.S. SenatorRead the Press Release
MINNEAPOLIS – A federal grand jury returned an indictment against a Coon Rapids man for making interstate threats against a U.S. Senator, announced U.S. Attorney Andrew M. Luger.
According to court documents on June 11, 2022, Brendon Michael Daugherty, 35, left two voicemail messages on the field office telephone of a U.S. Senator located outside the state of Minnesota. Both messages contained threats of violence directed at the U.S. Senator. In his first message, Daugherty stated, “You and the Republican Party should be proud that you’re pushing me to become a domestic terrorist. Have a nice [expletive] day; can’t wait to kill ya.” In his second message, Daugherty stated, “I also just wanted to note, thank god the Republican Party is against gun control laws because it would keep guns out of the hands of a person that was disabled and volatile like I am, but you guys are totally against that. So I may actually get to carry out my nefarious goals.”
Field office staff retrieved and recorded the messages and reported them to U.S. Capitol Police. On September 2, 2022, special agents with the FBI spoke to Daugherty at his Coon Rapids residence. Daugherty told the agents he made the calls to the U.S. Senator because the U.S. Senator was “doing a bunch of stupid [expletive] with gun control,” and that he wants politicians to “feel a little bit pressured.”
Daugherty is charged with one count of threatening to murder a United States official and one count of interstate transmission of a threat. He made his initial appearance today in U.S. District Court before Magistrate Judge Tony N. Leung.
This case is the result of an investigation conducted by the FBI and the U.S. Capitol Police.
Assistant U.S. Attorney Kimberly A. Svendsen is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Convicted Felon Pleads Guilty to Illegal Firearm PossessionRead the Press Release
BIRMINGHAM, Ala. – A convicted felon pleaded guilty yesterday to illegally possessing firearms, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Mickey French.
Audrey Jerome Pruitt, 39, of Birmingham, pleaded guilty before U.S. District Court Judge Madeline H. Haikala to two counts of being a felon in possession of a firearm.
According to court documents, in October and November 2020, Pruitt illegally possessed an American Tactical, Omni Hybrid, .223/.556 caliber pistol, and a Springfield .40 caliber pistol. Pruitt is prohibited from possessing a firearm because of prior felony convictions. In April 2008, Pruitt was convicted in the Circuit Court of Jefferson County for Robbery, First Degree and Receiving Stolen Property, and in March 2019, he was convicted of Domestic Violence, Second Degree.
The maximum penalty for being a felon in possession of a firearm is 10 years in prison.
ATF investigated the case, along with the Birmingham Police Department. Assistant U.S. Attorney Darius C. Greene is prosecuting the case.
Connecticut Man Sentenced to 11+ Years for Traveling to Maine to Engage in Illicit Sexual Conduct with 13-Year-OldRead the Press Release
PORTLAND, Maine: A Connecticut man was sentenced in U.S. District Court in Portland for traveling to Maine to have sex with a minor, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge John A. Woodcock, Jr. sentenced Devin Melycher, 30, to 135 months in prison and 10 years of supervised release. Melycher pleaded guilty on June 1, 2022.
According to court records, in August 2020, Melycher drove from his residence in Connecticut to Gorham, Maine to engage in sexual conduct with the minor victim. The trip followed weeks of contact between Melycher and the victim over Snapchat and other chat platforms during which time Melycher, who initially told the victim he was 19, pressured the victim to send sexually explicit images despite knowing the victim was only 13.
Homeland Security Investigations and the Gorham Police Department investigated the case.
“The evidence in this case showed that Devin Melycher is a sexual predator who indiscriminately distributed pornographic images of his body across chat platforms without regard to who received them or whether or not they were of legal age in an attempt to interact with them,” McElwee said. “He preyed upon minors, groomed them, and in the case of this victim, traveled to engage in illegal sexual acts despite knowing the victim was only 13.”
McElwee furthered warned parents of the growing role the internet and chat platforms play in exposing children to predators like Melycher.
“The internet opens up the world to our children, but it also exposes them to the world at a time when they may not be mature enough to understand or handle to consequences,” McElwee said. “Predators are increasingly using social media, apps and gaming platforms to find and access victims, and the consequences can be life-changing and tragic. Parents should remain vigilant and talk to their kids – often and repeatedly – about online safety, including why they should never engage online in any way with someone that they haven’t met in real life. It is so important that they know that images they share never really go away online and that they can and should confide in an adult they trust if anyone online ever says or does anything that makes them uncomfortable.”
If you suspect that a child is being sexually exploited online: The National Center for Missing & Exploited Children’s CyberTipline is the nation’s centralized reporting system for the online exploitation of children. The public and electronic service providers can make reports of suspected online enticement of children for sexual acts, child sexual molestation, child sexual abuse material, child sex tourism, child sex trafficking, unsolicited obscene materials sent to a child, misleading domain names, and misleading words or digital images on the internet. If you suspect that a child is being sexually exploited online, visit report.cybertip.org. or call 1-800-843-5678. To learn more about how to talk to your kids about online safety, visit missingkids.org/netsmartz.
Project Safe Childhood: This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Columbus Resident Indicted for Allegedly Helping FBI Shooting Suspect Evade PoliceRead the Press Release
MACON, Ga. – A federal grand jury in Macon returned a four-count indictment charging a Columbus woman with helping a wanted person evade law enforcement and making false statements to authorities following the shooting at an FBI agent last month.
A federal indictment was returned on Sept. 14 charging Derijuana Porter, 20, of Columbus, with one count of possession of a stolen firearm for which she faces a maximum sentence of ten years in prison and a $250,000 fine; one count of misprision of a felony for which she faces a maximum sentence of three years in prison and a $250,000 fine; and, two counts of false statement to a federal agency for which she faces a maximum sentence of five years in prison and a $250,000 fine on each count.
This case is being investigated by FBI and Muscogee County Sheriff’s Office.
Assistant U.S. Attorney Chris Williams is prosecuting the case.
Colorado Springs Man Sentenced to Federal Prison for Drug Trafficking and Weapons ChargeRead the Press Release
DENVER- The United States Attorney’s Office for the District of Colorado announces Zachary Lawhead, age 35, of Colorado Springs, was sentenced to 92 months in federal prison for possession of a firearm and ammunition by a felon and possession with intent to distribute more than five grams of methamphetamine.
According to the plea agreement, prior to November 1, 2021, the defendant was a fugitive who was the subject of three outstanding Colorado state arrest warrants. On November 2, 2021, officers with the Colorado Springs Police Department were able to locate him at an apartment complex. Detectives approached the defendant and took him into custody on the outstanding warrants. When they searched him, detectives found several baggies containing methamphetamine and heroin which he intended to distribute. Officers also recovered a loaded semi-automatic pistol in his back pocket, which he was prohibited from possessing as a convicted felon.
Chief Judge Philip A. Brimmer sentenced the defendant on September 16, 2022. He also sentenced him to 4 years of supervised release.
“Reducing gun violence and drug trafficking are our top priorities at the U.S. Attorney’s Office,” said U.S. Attorney Cole Finegan. “Felons should take note: with the help of our partners at the ATF, we will enforce the federal law that prohibits them from possessing a firearm or ammunition.”
“Guns and drugs in the hands of prolific offenders greatly contribute to violent crime,” said Special Agent in Charge David S. Booth. “Together, through strong partnerships with the U.S. Attorney’s Office and our local law enforcement partners, we not only combat violent crime, but stop violent offenders.”
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Prosecution was handled by the Violent Crime and Immigration Section of the U.S. Attorney’s Office for the District of Colorado.
Case Number: 21-cr-00404
Cleveland Heights Man Sentenced to Prison and Ordered to Pay $177k in Restitution for Credit Card Fraud SchemeRead the Press Release
CLEVELAND - Carlos Dashawn Brown, 28, of Bowling Green and Cleveland Heights, Ohio, was sentenced on Wednesday, September 14, 2022, to 38 months in prison and ordered to pay $177,716.07 in restitution by U.S. District Judge Solomon Oliver Jr. after Brown pleaded guilty to the unauthorized use of an access device, bank fraud and aggravated identity theft.
“This defendant preyed upon disadvantaged individuals and depleted the savings of an elderly victim, all in an effort to make a quick buck for himself,” said First Assistant U.S. Attorney Michelle M. Baeppler. “Law enforcement in this region will not stand for the targeting of vulnerable populations in our community.”
“Committing credit card fraud, bank fraud and identity theft against vulnerable populations is nothing short of a heartless crime,” said FBI Cleveland Special Agent in Charge Gregory Nelsen. “Mr. Brown’s actions are appalling. This sentence underscores the commitment of the FBI to find and investigate predatory behavior by nefarious individuals. The FBI is committed to protecting every American from fraudsters, whether one person or a network of criminals, through our work with federal, state and local partners.“
“This case is an example of the well-coordinated efforts of law enforcement and the U.S. Attorney’s Office to protect vulnerable and older Americans from financial exploitation,” said Inspector In Charge Lesley Allison for the U.S. Postal Inspection Service. “The Inspection Service appreciates the steadfast dedication from our law enforcement partners and the U.S. Attorney’s Office in bringing those who perpetrate these scams to justice.”
“This sentence demonstrates our commitment to hold accountable those who intentionally misuse the Social Security numbers of others for their own personal gain,” said Gail S. Ennis, Inspector General for the Social Security Administration. “Mr. Brown’s criminal actions brought financial harm upon vulnerable individuals. I want to thank our law enforcement partners for their investigative efforts and the U.S. Attorney’s Office for prosecuting this case.”
According to court documents, from April 2014 to January 2019, Brown perpetrated a credit card fraud scheme using the personal identifying information of multiple victims. These victims were vulnerable due to their age and/or mental condition.
As part of his scheme, Brown, without authorization, used the personal identifying information of these victims to open credit card accounts and make purchases, including travel, expensive goods and a vehicle. Brown also stole more than $60,000 from one elder victim’s pension account and fraudulently caused multiple banks and creditors to issue Brown over $117,000 in refund checks to which he was not entitled.
In total, Brown caused an approximate loss of $177,716.07 to all victims in the scheme.
This case was investigated by the Cleveland FBI, United States Postal Service Inspection Service (USPIS), Social Security Administration Office of the Inspector General (SSA OIG) and the Cleveland Heights Police Department. This case was prosecuted by Assistant U.S. Attorney Justin Seabury Gould.
California Man Sentenced to 135 Months’ Imprisonment for His Supervisory Role in A Nationwide Drug Trafficking OrganizationRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that United States District Judge Malachy E. Mannion sentenced Miguel Renteria-Gomez, age 38, of Perris, California, to 135 months’ imprisonment and a 5-year term of supervised release for his supervisory role in a drug trafficking organization that moved large quantities of Heroin, Fentanyl, Cocaine and Methamphetamine from California to various major Midwest and East Coast cities, including through locations in Northeastern Pennsylvania.
According to United States Attorney Gerard M. Karam, Renteria-Gomez owned a ranch in Perris that was a primary distribution hub for this nationwide drug trafficking organization. Renteria-Gomez managed a group of couriers and other co-conspirators who packaged the drugs in suitcases and then transported the drugs via commercial flights to cities like New York and Boston, where the drugs were then distributed locally. On July 16, 2019, after a lengthy investigation, Renteria-Gomez was arrested in California. Six kilograms of Fentanyl were seized from his vehicle. Another six kilograms were seized from his ranch and other locations in the area.
The case was investigated by the Drug Enforcement Administration (DEA) and was prosecuted by Assistant U.S. Attorney Jeffery St John.
The case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Broward County Felon Sentenced to 10 Years for Federal Gun and Identity Theft CrimesRead the Press Release
MIAMI – Deshawn Lemonte Wheeler, a 38-year-old felon from Lauderhill, Florida, was sentenced to 120 months in prison for possessing a cache of firearms and ammunition, as well as sensitive identity and financial information belonging to others.
According to court documents, a narcotics investigation led law enforcement officers to Wheeler. On March 3, officers executed a search warrant at Wheeler’s home, where they recovered 10 firearms (including pistols, revolvers, and a rifle), multiple high-capacity-drums and other magazines, and a vast amount of multiple caliber ammunition. They also recovered numerous credit and debit card account numbers, bank account numbers, driver’s license identification numbers, and a Department of Defense identification number, all belonging to other people, say the court filings.
On March 3, Wheeler was a felon, having been previously convicted in federal court of conspiring to commit a Hobbs Act robbery.
(Court docket entry #8, exhibit #1)
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and Robert M. DeWitt, Acting Special Agent in Charge, FBI Miami, made the announcement.
FBI Miami investigated the case, with assistance from Broward County Sheriff’s Office, Lauderhill Police Department, and Fort Lauderdale Police Department. Assistant U.S. Attorney Joseph A. Cooley prosecuted the case.
This case stems from Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. In 2017, PSN was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally-based strategies to reduce violent crime.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-60063.
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Bradenton Felon Sentenced to Federal Prison for Unlawfully Possessing A Firearm and AmmunitionRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas Barber today sentenced Robert Reese Lyons (24, Bradenton) to 3 years and 10 months in federal prison for possessing a firearm and ammunition as a convicted felon. The court also ordered Lyons to forfeit the firearm and ammunition used in the offense. Lyons had pleaded guilty on June 8, 2022.
According to court documents, at approximately 2:15 a.m. on January 16, 2021, near the Miromar Outlets in Estero, deputies from the Lee County Sheriff’s Office stopped a vehicle in which Lyons was the front-seat passenger. During a search of the vehicle, the deputies recovered a loaded Smith and Wesson handgun, with an obliterated serial number, directly underneath Lyons’s seat. At the time, Lyons was a convicted felon and a state probationer who had an active warrant for his arrest. As a convicted felon, Lyons is prohibited from possessing a firearm or ammunition under federal law.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Lee County Sheriff’s Office, the Manatee County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Simon R. Eth.
Box Elder woman admits shooting woman in the face over drug dealRead the Press Release
GREAT FALLS — A Box Elder woman suspected of shooting a woman in the face over a drug deal on the Rocky Boy’s Indian Reservation admitted to an assault charge on Sept. 15, U.S. Attorney Jesse Laslovich said today.
Tricia Friede Gardipee, 50, pleaded guilty to assault resulting in serious bodily injury. Gardipee faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other sentencing factors. Sentencing was set for Feb. 2, 2023. Gardipee was released pending further proceedings.
The government alleged in court document that on Aug. 13, 2021, Gardipee shot the victim, identified as Jane Doe, in the face with a .22-caliber firearm over a drug deal on the Rocky Boy’s Indian Reservation. Gardipee confronted Doe and some of her friends earlier that day in Havre. Doe picked up a brick and said she didn’t want any problems. The confrontation was because another woman ripped off Gardipee by selling her anxiety medication instead of fentanyl and Gardipee was trying to get her money back. The government further alleged that Doe later drove with friends to a Box Elder residence. As Doe pulled into the driveway, Gardipee, along with others, pulled in behind them, blocking the car. Gardipee and her son, both armed, walked up to Doe’s car. Gardipee then shot Doe in the face. Doe was treated for injuries.
The U.S. Attorney’s Office is prosecuting the case, which was investigated by the FBI and Rocky Boy’s Police Department.
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Bolton Man Sentenced to 45 Months in Federal Prison for Fraud and Tax OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that MARK PAGANI, 61, of Bolton, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to 45 months of imprisonment, followed by three years of supervised release, for fraud and tax evasion offenses.
According to court documents and statements made in court, from 2013 to at least August 2015, Pagani conspired with another person (“K.S.”), who is now deceased, to defraud a victim investor of more than $1 million. K.S. arranged investment deals with the victim, including the purported acquisition of mortgages on properties. Pagani drafted documents to memorialize certain investment deals, accepted funds from the victim and held the funds in accounts he controlled, and he transferred funds to entities controlled by K.S. and others. By the time the victim investor made a third investment, which was to acquire mortgages on properties in Springfield, Massachusetts, and Middletown, Connecticut, Pagani knew that the first two investments had not occurred, and that the third investment was not legitimate. In association with the third investment, the victim wired more than $1.3 million to an account Pagani controlled. These funds were comingled with other funds, which Pagani sent a portion of to an entity for the benefit of K.S. In order to conceal the fraud and to create the appearance that it was a legitimate investment, Pagani wired false interest payments to the victim.
In addition, for the 2014 through 2017 tax years, Pagani paid for personal and other expenses using his law firm account and underreported his income on his federal tax returns, resulting in a tax loss of $181,702. Pagani was previously a practicing attorney with a law office in Wethersfield.
Judge Bryant will issue a restitution order at a later date.
On August 20, 2021, Pagani pleaded guilty to one count of conspiracy to commit wire fraud, and one count of tax evasion.
This is Pagani’s third federal conviction.
Pagani, who is released on bond, was ordered to report to prison on January 13, 2023.
This matter was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. This case was prosecuted by Assistant U.S. Attorneys Jennifer R. Laraia and Michael S. McGarry.
Baltimore Man Sentenced to over Four Years in Federal Prison for Submitting over $660,000 in Fraudulent Cares Act Loan Applications, a Wire Fraud Conspiracy and Aggravated Identity TheftRead the Press Release
Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Robert Hopkins IV, age 37, of Baltimore, Maryland to 51 months in federal prison, followed by 3 years of supervised release, for wire fraud conspiracy and aggravated identity theft charges relating to multiple identity theft and fraud schemes, including the submission of fraudulent CARES Act loan applications. Judge Chasanow also ordered Hopkins to pay $456,784.54 in restitution.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron Special Agent in Charge Bo Keane of the United States Secret Service - Baltimore Field Office and Chief Melissa R. Hyatt of the Baltimore County Police Department.
According to his guilty plea, from May 2018 to June 2020, Hopkins and co-conspirator Keon Ball, age 46, of Baltimore, Maryland incurred charges of over $1,000,000 on fraudulently established credit lines, using the identities of multiple victims in connection with the schemes. For example, on August 25, 2018, Ball submitted a false and fraudulent application for a credit line account from a financial institution using the name, birth date, and social security number of Victim 1. After the credit application was approved, Hopkins and Ball incurred $105,442.59 in purchases from Company 1 (a home improvement store) under the identity of Victim 1. The defendants then repeated the scheme multiple times, incurring charges of over $150,000 in connection with lines of credit opened using various other victims’ names. The charges were never repaid. The defendants also repeatedly passed fraudulent checks to Company 1 purporting to pay the balances they incurred. Further, as part of their scheme to defraud, the defendants obtained two vehicles valued at over $60,000 and multiple pieces of heavy construction equipment valued at over $300,000 using the identity information of Victim 2.
Additionally, from June 2020 to August 2020, Hopkins applied for $664,450 in fraudulent CARES Act Paycheck Protection Program loan applications for four shell companies he created that did not exist in any legitimate capacity. In connection to these applications, Hopkins submitted fraudulent tax documents which falsely indicated that the shell companies had paid wages to numerous W-2 employees and withheld hundreds of thousands of dollars in federal income tax. In fact, the purported businesses had no employees. The loans were never distributed to Hopkins.
In total, Hopkins and Ball caused more than $449,000 in actual losses and used the personal identity information of at least six victims in connection with their scheme. Hopkins intended to cause a loss of more than $1,100,000 to victims.
Co-defendant Keon Ball was sentenced to 66 months in federal prison followed by 3 years of supervised release for wire fraud conspiracy and aggravated identity theft in relation to the multiple schemes in July 2022. The Court also ordered Ball to pay $715,504 in restitution.
The District of Maryland Strike Force is one of three strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the USSS and the BCPD for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Paul A. Riley, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/community-outreach.
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Armed Robber Indicted for Three Robberies in the Same Night Along Route 1 Corridor in PhiladelphiaRead the Press Release
PHILADELPHIA –United States Attorney Jacqueline C. Romero announced that Saifuddin Hasan, 21, of Philadelphia, PA, was charged by Indictment with three counts of Hobbs Act Robbery in connection with three armed robberies which all occurred on the same night in December 2021, in Montgomery County and Philadelphia.
The Indictment alleges that on the night of December 5, 2021, the defendant entered a 7-Eleven convenience store on City Avenue in Wynnewood, Pennsylvania, and brandished a firearm as he committed his first robbery. Then, according to the Indictment, Hasan drove east bound to a Lukoil gas station on City Avenue and committed his second armed robbery. The defendant capped off his night of violence by continuing in his vehicle eastbound on Route 1 into the Hunting Park section of North Philadelphia and allegedly committed an armed robbery of a 7-Eleven convenience store at Wyoming and Rising Sun Avenues. Philadelphia police officers pursued and arrested Hasan after this third armed robbery.
“As alleged, this defendant brandished a firearm in the faces of convenience store and gas station employees simply doing their jobs,” said U.S. Attorney Romero. “The charges in this Indictment demonstrate that our Office is committed to investigating and prosecuting violent crime.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated and charged by the Federal Bureau of Investigation and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Michael R. Miller and Special Assistant United States Attorney Shannon Zabel.
Altoona Felon Sentenced to 6 Years in Prison for Illegally Possessing Drugs and GunsRead the Press Release
PITTSBURGH - A resident of Altoona, Pennsylvania, has been sentenced in federal court to six years of imprisonment on his convictions for federal narcotics and firearms offenses, United States Attorney Cindy K. Chung announced today.
United States District Judge William S. Stickman imposed the sentence on Royal Lee Griffin, age 33.
According to information presented to the court, Griffin was sentencing in connection with criminal offenses that occurred on two occasions.
In the first matter, the court was advised that on Aug. 24, 2018, Griffin possessed two firearms and ammunition as a convicted felon. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm or ammunition, and Griffin has multiple felony convictions, including Aggravated Assault, Robbery, Carrying a Firearms Without a License, and Escape. Also on Aug. 24, 2018, Griffin possessed with intent to distribute fentanyl and heroin. Those offenses were uncovered after a search of his person and the vehicle he occupied by the White Oak Police Department.
In the second matter, the Court was advised that Allegheny County Police detectives working on a violence suppression detail observed Griffin in the Mon View Heights housing complex concealing a firearm. When the detectives approached Griffin, they found the firearm on Griffin’s person.
Assistant United States Attorney Brendan T. Conway prosecuted this case on behalf of the government.
United States Attorney Chung commended the Allegheny County Police Department, the White Oak Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives for the investigation leading to the successful prosecution of Griffin.
20-Year-Old Man Charged with Assaulting a Border Patrol AgentRead the Press Release
TUCSON, Ariz. – Eliazar Vazquez-Alvaro, 20, of Mexico, was arrested Sunday on one count of Assault on a Federal Officer with the Use of a Deadly or Dangerous Weapon. Vazquez-Alvaro was charged by criminal complaint and had his initial appearance Tuesday before United States Magistrate Judge Jacqueline M. Rateau.
On September 11, 2022, near Naco, Arizona, a U.S. Border Patrol agent attempted to conduct an immigration inspection of an individual later identified as Eliazar Vazquez-Alvaro. The agent instructed Vazquez-Alvaro to kneel and place his backpack on the front of his torso. When the agent reached for his handcuffs, Vazquez-Alvaro stood up and swung the approximately 10-pound backpack at the agent’s head. The backpack struck the agent in the face, causing bodily injury to the agent. Vazquez-Alvaro attempted to run but was later apprehended.
A conviction for assault on a federal officer with the use of a deadly or dangerous weapon carries a maximum penalty of 20 years in prison, a fine up to $250,000, or both.
A criminal complaint is simply the method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until competent evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
Customs and Border Protection’s U.S. Border Patrol conducted the investigation in this case. Assistant U.S. Attorney Raquel Arellano, District of Arizona, Tucson, is handling the prosecution.
CASE NUMBER: 22-08812MJ
RELEASE NUMBER: 2022-155_Vazquez-Alvaro# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Thursday 15 September 2022
퀸스 남성, 외화 사기 및 자금 세탁 혐의로 의 징역형 및 $842,000 반환, 명령받다Read the Press Release
오늘 아침 브루클린 연방 법원 판결에서 존 원(John Won)은 2021년 11월의 증권 사기, 텔레뱅킹 사기 및 자금 세탁 등의 공모뿐만 아니라 실질적인 증권 사기를 포함한 모든 범죄 행위에 대한 유죄 선고 판정을 받은 후, 지역 담당 판사인 레이먼드 J. 디어리에 의해 1년 1일 징역형을 받았다. 피고 원씨는 자기 범죄의 희생자에 대해서 $842,000 이상의 금액을 반환하라는 판결도 받았다. 피고 원씨의 공동 피고인인 태형(Tae Hung, 케빈) 강씨는 증권 사기에 공모한 죄를 인정하여, 2021년 12월에 2년의 징역형을 받았다.
뉴욕 동부 지역 담당 연방 변호사인 브리언 피스와 미국 연방 수사국(FBI) 뉴욕 지사 부국장인 마이클 J. 드리스콜이 판결문을 발표했다.
“존 원과 케빈 강은 파렴치하게도 우리 한인 사회 일원을 상대로 사기 행각을 해서 그들이 저축한 돈과 노후 자금을 갈취하였습니다.”라고 변호사 피어스는 말했다. “이 형벌은 사기꾼과 협잡꾼이 자기의 무고한 희생자들에게 사기를 치면 받게 될 대가를 보여주고 있습니다. 그들은 반드시 체포되어, 형을 받고, 자신이 획득한 부당한 이익을 반환하도록 명령받을 것입니다.”라고 언급했다.
Mr. 피스는 이 사건 해결을 위해 적극적으로 협조한 미국 상품 및 선물 거래 위원회(CFTC)와 미국 선물 협회(NFA)에 대해 감사의 표시를 하였다.
2010년 10월과 2013년 12월 사이에 피고 원씨는 자기의 공동 피고인 태형 강씨 등과 공모하여 희생자의 대부분인 뉴욕 한인사회 일원을 상대로 외환 거래 계정 및 자기들이 차린 회사인 ForexNPower에 투자하도록 사기 행각을 벌였다. 사기 활동이 진행되면서 이들 공모자는 한국어 신문과 라디오 방송에 ForexNPower에서 손실 위험이 전혀 없이 월 10%의 수익을 보장하는 외환 거래에 사용되는 비법 알고리즘을 개발하였다고 선전하였다. 하지만, 실제로는 ForexNPower는 성공적인 거래 방법이 있지 않았기 때문에 그들의 고객은 막대한 금전적 손실을 보게 되었다.
공모자들은 또한 투자금이 자신들의 회사가 뉴저지의 새로운 장소로 확장하거나 외환 거래에 투자 및 사용될 예정이라고 거짓으로 주장하면서 ForexNPower 주식을 구매하도록 유인하기도 하였다. 하지만, 실제는 피고와 그 공모자들이 자금 대부분을 전용하였으며, 일부 나머지 금액은 위에 언급된 한국어 사기 광고에 사용하였다.
2022년 7월, Mr. 피스는 법무부 장관 자문위원회(AGAC)의 화이트칼라 사기 범죄 담당 분과 위원회 의장으로 선출되었다. 분과 위원회 의장으로서 Mr. 피스는 우편 사기 및 금융 사기, 은행 사기, 의료보험 사기, 세금 사기, 증권 및 물품 사기, 그리고 신원 정보 도용, 등을 포함한 다양한 금전 갈취 목적의 비폭력적 범죄의 예방, 조사 및 기소 활동을 AGAC에 추천하는 데 있어 중추적인 역할을 할 것이다.
정부의 케이스는 비즈니스 및 증권 사기 부서에서 담당하고 있다. 법무부 사기 전담 부서의 연방 부 변호사인 사라 M. 에번스, 니콜라스 J. 모스코 및 부국장인 제럴드 M. 무디 Jr.가 기소 담당자들이다.
피고 명단:
존 원(JOHN WON)
나이: 53세
뉴욕 화이트스톤 거주태형 강(TAE HUNG KANG) (일명, 케빈 강)
나이: 57
뉴욕 베이사이드 거주E.D.N.Y. 적요서 번호 18-CR-184 (RJD)
York County Man Charged with Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Calvin Foust, age 40, of Dover Township, Pennsylvania, was charged yesterday with drug trafficking and firearms offenses.
According to U.S. Attorney Gerard M. Karam, the indictment alleges that Foust distributed methamphetamine and engaged in the business of manufacturing and dealing firearms without a license in Cumberland and Dauphin Counties between March 1, 2021 and April 26, 2022.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Christian T. Haugsby is prosecuting the case.
The maximum penalty under federal law for the offenses charged in the indictment is up to 105 years’ imprisonment, a $11,250,000 fine, and up to lifetime supervised release. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
This case is also 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.
Indictments are only allegations. All persons charged by indictment are presumed to be innocent unless and until found guilty in court.
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Yakima Area Business Owner Indicted by Federal Grand Jury for Selling Rotten and Adulterated Fruit JuiceRead the Press Release
Indictment Alleges that Company Violated Food Safety Laws, Lied to Regulators, and Sold Rotten and and Dangerous Juice Products to Customers, Including for Use in School Lunches
Yakima, Washington – Today, Vanessa R. Waldref, the United States Attorney for the Eastern District of Washington, announced that a federal grand jury returned an Indictment charging Mary Ann Bliesner, age 80, of Sunnyside, Washington, with twelve felony counts of fraud, conspiracy, false statements, and violating food safety laws in connection with her company, Valley Processing Inc. (VPI), which was also charged in the Indictment.
The Indictment alleges that between October 2012 and June 2019, Bliesner and VPI conspired with others to introduce unsafe, adulterated, and misbranded fruit juice products, including apple juice and grape juice concentrate, into interstate commerce by selling them to customers worldwide. The Indictment alleges that these adulterated juice products contained harmful substances, that they were produced under unsanitary and filthy conditions, and that they were unsafe and unfit for human consumption. The Indictment further alleges that Bliesner and VPI lied to customers about the age and quality of their products, which, in some cases, included grape juice concentrate that had been stored in unsafe conditions outside the VPI facility for years and exposed to the elements before being sold and shipped to customers, including customers producing grape juice for the National School Lunch Program, which provides free or reduced-cost lunches to more than 20 million children each school day.
Additionally, the Indictment alleges that Bliesner and VPI failed to register two facilities that they used to store fruit juice products, and lied to inspectors with the U.S. Food and Drug Administration (FDA) about their existence and use. According to the Indictment, one of these facilities, located in Sunnyside, Washington, and known as the “Grape Road Facility” was used to store tens of thousands of gallons of grape juice concentrate for years in concrete vats that were not properly covered or cooled. According to the Indictment, when FDA investigators finally learned about the facility during a May 2018 inspection, the juice concentrate had a layer of mold and crust so thick and firm that a live rat was observed and photographed walking on top of it. The Indictment also alleges that testing of samples taken at the Grape Road Facility indicated that the product there was contaminated with bird and rodent feces, fur, insects, decaying remains of animals, mold, yeast, and other contaminants.
In November 2020, the United States filed a complaint in federal court seeking to enjoin Bliesner and VPI from producing, storing, or selling juice or juice products. In January 2021, Bliesner and VPI agreed to a consent injunction in which Bliesner and VPI promised that they were not processing, manufacturing, preparing, packing, holding, or distributing any type of food, and would not do so in the future without first notifying and receiving approval from the FDA.
The charges against Bliesner carry a maximum sentence of up to 20 years in federal prison, while the potential charges against VPI carry fines of $500,000 or more for each of the twelve counts charged.
Reporting public health and safety concerns supports a safe community for all. EPA’s online reporting form directs concerns to the appropriate regulatory authority: https://echo.epa.gov/report-environmental-violations. Concerns regarding the safety of FDA-regulated products such as food, beverages and medicines, can be reported at 1-888-463-6332. When reporting environmental, health and safety concerns, U.S. Attorney Waldref encourages Eastern Washington residents to also contact the U.S. Attorney’s Office dedicated Civil Rights and Environmental Protection phone line at (509) 835-6306 or email at [email protected]. Notifying the U.S. Attorney’s Office helps us protect the community from harmful violations of federal environmental, health & safety laws.
This case was investigated by the FDA’s Office of Criminal Investigations, and is being prosecuted by Assistant United States Attorneys Dan Fruchter and Tyler H.L. Tornabene and Trial Attorney James J. Hennelly of DOJ’s Consumer Protection Branch.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Woman Sentenced in Methamphetamine and Fentanyl Drug ConspiracyRead the Press Release
Acting United States Attorney Steven Russell announced that Mayra Rendon, 36, was sentenced today in federal court in Omaha, Nebraska, following her conviction for conspiracy to distribute and possession with intent to distribute methamphetamine and fentanyl. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Rendon to imprisonment for 210 months. There is no parole in the federal system. After her release from prison, she will begin a five-year term of supervised release.
From August 2021 to November 2021, Mayra Rendon, assisted by co-conspirators, was responsible for the distribution of methamphetamine and fentanyl in the Omaha and Council Bluffs, Iowa areas. In one instance, Rendon and co-conspirators sold an undercover agent posing as a drug buyer 3,000 fentanyl pills, weighing a total of 339.6 grams. Rendon also arranged packages containing methamphetamine and fentanyl to be shipped to the Omaha area. Agents confiscated packages containing 3,065 fentanyl pills and over 4.5 kg of methamphetamine. The overall investigation saw the recovery and confiscation of over 20 pounds of fentanyl and 25 pounds of methamphetamine.
Co-defendant Colleen Wiand will be sentenced on October 28, 2022.
Co-defendants Samantha Cawyer, Emidio Becerra, Oscar Quiroz Ayon, Darbelio Lorenzo-Genchi, Iris Gallardo-Salado, Giovana Cisneros, and Lorenzo Gonzalez-Perez are pending trial.
This case was investigated by the Drug Enforcement Administration, United States Postal Inspection Service with assistance provided from Omaha Police Department and Utah State Patrol.
Wilmington Investment Advisor Pleads Guilty to Charges Related to $7 Million Scheme to Defraud ClientsRead the Press Release
RALEIGH, N.C. – Shawn Edward Good of Wilmington, pleaded guilty today for his role in a $7 million dollar investment fraud scheme. Good pleaded guilty to wire fraud and money laundering and faces up to 360 months in prison.
“We are cracking down on fraudsters who scam unwitting investors,” said U.S. Attorney Michael Easley. “This investment advisor breached the trust of at least a dozen clients, taking over $7 million – money he promised would go to low-risk investments – and used it to line his pockets, buying real estate, luxury cars, and vacations. This decade-long scam has finally come to an end.”
"High yield investment fraud schemes are designed to appeal to people's hope that 'you can get something for nothing,' often resulting in the total loss of the investment," said Donald “Trey” Eakins, IRS Criminal Investigation Special Agent in Charge of the Charlotte field office. “Be assured that IRS Criminal Investigation, together with our partners at North Carolina State Bureau of Investigation (SBI) and the U.S. Attorney's Office, will hold those who engage in similar behavior fully accountable."
According to court documents and information presented in court, Good was employed as a registered representative and investment advisor for Morgan Stanley Smith Barney, LLC in Wilmington. From 2012 to February 2022, Good executed a scheme to obtain money through investment fraud, commonly known as a Ponzi scheme. Specifically, Good solicited investments from business clients and others for purported real estate projects and tax-free municipal bonds, touting these opportunities as low-risk investments that would pay returns of between 6% and 10% over three- or six-month terms.
To effectuate these investments, Good caused some clients to obtain a liquid asset line of credit (LAL) secured by their Morgan Stanley investment or retirement accounts. Good directed clients to transfer the LAL funds to their personal bank accounts and then wire the funds directly to Good’s personal bank account. Other victims paid Good by paper check and wire transfers using funds derived from sources other than Morgan Stanley accounts.
At least 12 victims invested approximately $7,246,300 based on false statements and misrepresentations made by Good. Instead of investing in land development or bonds, Good used the money for personal expenditures including his Wilmington residence; a condominium in Florida; luxury vehicles including a Mercedes Benz, a Porsche Boxster, a Tesla Model 3, an Alpha Romeo Stelvio, and a Lexus RX350; fine dining; and vacations to Paris, France; Cinca Terra, Italy; Jackson, Wyoming; Las Vegas, Nevada; and other destinations. To lend credibility to the Ponzi scheme and to elude detection, Good also used a portion of investor funds to make payments to earlier investors.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after United States Magistrate Judge Robert T. Numbers, Jr. accepted the plea. The Internal Revenue Service Criminal Investigations Unit and the N.C. State Bureau of Investigation Financial Crimes Unit are investigating the case and Assistant U.S. Attorney Toby Lathan is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-CR-00096-D.
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Westfield Woman Charged with Hoax Bomb Threat Against Boston Children's HospitalRead the Press Release
BOSTON – A Westfield woman was arrested and charged today in connection with a hoax bomb threat made against Boston Children’s Hospital.
Catherine Leavy, 37, was charged with one count of explosive materials - willfully making a false bomb threat. She was arrested this morning at her home in Westfield and, following an initial appearance this afternoon before U.S. District Court Magistrate Judge Judith G. Dein, was detained pending a detention hearing scheduled for Sept. 16, 2022 at 12:00 p.m.
According to the charging documents, in August 2022, federal agents began monitoring threats made against Boston Children’s Hospital and its employees. Among the wide range of healthcare services it provides, Boston Children’s Hospital is home to the Gender Multispecialty Service (GeMS) program – the first major healthcare program in the United States to focus on gender-diverse and transgender adolescents.
On Aug. 30, 2022, Boston Children’s Hospital received a telephonic bomb threat, in which the caller allegedly said, “There is a bomb on the way to the hospital, you better evacuate everybody you sickos.” As a result of the call, the hospital and surrounding area was placed on lockdown status and a bomb squad was dispatched. An investigation determined no explosive devices were located at Boston Children’s Hospital. Law enforcement obtained subscriber and call detail records and location information for the phone number that called-in the bomb threat. Records obtained allegedly indicated the phone number was subscribed in Leavy’s name and that it pinged off a cell tower nearby Leavy’s residence at the time the bomb threat was made.
During a search of Leavy’s residence this morning pursuant to a federal search warrant, the phone used to make the threat from Leavy’s residence was recovered.
The charge of making threatening communications in interstate commerce provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Westfield Police Department. Assistant U.S. Attorneys Nadine Pellegrini and Jared C. Dolan, Chief and Deputy Chief of Rollins’ National Security Unit, respectively, are prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Washington Men Indicted for Possession of Firearms and Ammunition in Fresno CountyRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment today against residents of Everett, Washington, Brian Ulises Rangel, 21, and Martin Velazquez, 29, charging Rangel with being a felon in possession of a firearm and Velazquez with being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Aug. 15. 2022, law enforcement officers in Fresno County conducted a traffic stop on a car occupied by Rangel and Velazquez. Because neither individual had a valid driver’s license, the car was towed. During a search of the car, two firearms (one stolen and the other with an obliterated serial number) and ammunition were found.
Both defendants are prohibited from possessing firearms or ammunition because of previous convictions in the state of Washington. Rangel was convicted for possession with intent to manufacture or deliver methamphetamine and Velazquez was convicted for unlawful firearm possession.
This case is the product of an investigation by the Fresno County Sheriff’s Office, the Drug Enforcement Administration, the Fresno Police Department, and Homeland Security Investigations. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
If convicted, the defendants face a minimum of 15 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
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.
Victoria resident that fled police with handgun and kilo of meth sent to prisonRead the Press Release
VICTORIA, Texas – A 32-year-old Victoria man has been ordered to federal prison following his conviction of possession with intent to distribute approximately one kilogram of meth, announced U.S. Attorney Jennifer B. Lowery.
Daniel Berry pleaded guilty April 7.
Today, U.S. District Judge Drew B. Tipton ordered Berry to serve 144 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard additional evidence of Berry’s extended criminal history and prior use of a firearm during the commission of crimes. Additionally, Berry has a history of discarding evidence during the commission of crimes. Berry also has multiple probation revocations and other pending state drug and firearm offenses.
On Jan. 30, law enforcement observed Berry commit traffic violations while driving on Highway 59. They soon learned his vehicle was registered to a subject with an outstanding federal warrant and attempted to conduct a traffic stop. However, Berry failed to yield.
The vehicle eventually came to a stop, at which time Berry attempted to flee on foot while attempting to discard a backpack. Authorities were able to apprehend him, took him into custody and secured the bag. They noticed it had an odor of marijuana and ultimately found approximately 1001.8 grams of suspected meth, nearly one ounce of marijuana, 17.4 grams of suspected meth pills, a small amount of cocaine and a Ruger handgun with 25 rounds of ammunition.
Laboratory analysis later confirmed the substances were in fact 983 grams of 97% pure meth. Berry admitted to having knowledge of the drugs and gun and took ownership of the backpack.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation with the assistance of the Victoria County Sheriff’s Office Special Operations Division and the U.S. Marshals Service. Assistant U.S. Attorney J. Parker Gochenour prosecuted the case.
Venezuelan National Charged with the July 2022 Hostage Taking of a U.S. National in the Dominican RepublicRead the Press Release
WASHINGTON – An indictment returned in the District of Columbia was unsealed today, charging Deivy Jose Rodriguez Delgado, a Venezuelan national, also known as “Sebastian,” for his role in the armed hostage taking of a U.S. citizen in the Dominican Republic in July 2022.
Rodriguez Delgado, 28, was arrested on Sept. 10, 2022, in the Dominican Republic by local authorities, and subsequently transferred into U.S. custody, pursuant to an arrest warrant issued in this matter, and he has since been detained. He made his initial appearance this afternoon in the U.S. District Court for the Southern District of Florida and was ordered removed to the District of Columbia, where he will face prosecution on the filed indictment.
Matthew M. Graves, U.S. Attorney for the District of Columbia, and Robert M. DeWitt, Acting Special Agent in Charge of the FBI Miami Field Office, made the announcement today.
The indictment is related to the July 30, 2022, hostage taking and robbery of a U.S. citizen, who was on a temporary work assignment in the Dominican Republic. In mid-July 2022, Rodriguez Delgado made contact with the victim using a dating App and later scheduled a dinner meeting on the pretense of a date. On July 30, 2022, Rodriguez Delgado met the victim outside his hotel and picked him up in a vehicle. While on the roadway, Rodriguez Delgado made an abrupt turn to a secluded area, where a second suspect quickly entered the rear of the vehicle and placed the victim in a head lock. Rodriguez Delgado and the second suspect, both armed with knives, threatened the victim and demanded that he request a payment from friends and family to secure his safe release. The victim, in fear for his life, complied with the demand, and ultimately obtained a payment from a family member. Rodriguez Delgado and the suspect also stole personal items from victim, including his cell phone and ATM card. The victim was released approximately two and half hours after being detained and after a ransom payment was made.
Charges in a complaint or indictment are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. If convicted of any offense, a defendant’s sentence will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
The case is being investigated by the FBI’s Miami Field Office with the assistance of the FBI Legal Attaché Office in the Dominican Republic, and with special thanks to the authorities in the Dominican Republic, including the Procuraduría General de la República Dominicana and the Special Division for the Investigation of International Organized Crime (DEICROI) of the National Police.
The case is being prosecuted by Assistant U.S. Attorney Jack F. Korba of the U.S. Attorney’s Office for the District of Columbia. Valuable assistance was provided by the U.S. Attorney’s Office for the Southern District of Florida.
United States Attorney’s Office Issues Statement on the Passing of Former United States Attorney William D. HyslopRead the Press Release
Spokane, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, joined the Spokane legal community, area law enforcement, and the Hyslop family in mourning the death of former U.S. Attorney William D. Hyslop, who passed away on September 11, 2022. Mr. Hyslop is the only person to serve two separate terms as the United States Attorney for the Eastern District of Washington. In 1991, he was appointed by President George H.W. Bush. Twenty-eight years later, Mr. Hyslop again was appointed to lead the United States Attorney’s Office, serving in that position until early 2021.
Mr. Hyslop grew up in Spokane and devoted significant time to the Spokane community. He attended Shadle Park High School, graduated from Washington State University, and attended the Gonzaga School of Law. His voluntary activities included, among other things, serving as the co-chair of the effort to remodel Lewis and Clark High School and as the vice chair of the Use of Force Commission, which was formed to implement changes to police training and procedure.
For more than 40 years, Mr. Hyslop practiced law in Washington State, serving as the President of the Washington State Bar Association and working as a principle at the Spokane law firm of Lukins & Annis. While Mr. Hyslop greatly enjoyed his career in private practice, he remarked that “serving our great Country as the United Sates Attorney has been the highest honor and most fulfilling duty of my professional career.”
U.S. Attorney Waldref, who succeeded Mr. Hyslop as the Chief Federal Law Enforcement Officer in Eastern Washington, stated, “We were saddened to learn of Bill’s passing, and our hearts go out to his wife, two children, and grandchildren. Bill was a lifelong friend to the U.S. Attorney’s Office and a dedicated public servant. I was honored to serve with Bill, and I was impressed with his passion for serving the Spokane community. We will miss him greatly.”
Timothy J. Ohms, an Assistant United States Attorney who served under Mr. Hyslop, expressed his gratitude for Mr. Hyslop’s leadership: “Bill absolutely loved being a lawyer. He was passionate about the law and government service. I had the privilege of serving with Bill when he was a new U.S. Attorney in the early 1990s and again when Bill was reappointed in 2019. Bill was a thoughtful leader, who sought to achieve a just result in each and every case.”
Earl A. Hicks, who has served as an Assistant United States Attorney in Spokane for more than forty years, stated, “It was an honor to work with Bill during both of his appointments as the Chief Law Enforcement Officer in the Eastern District. He was a strong leader, who devoted his career to serving others. Bill was particularly good at working with law enforcement – bringing together federal, state, tribal, and local leaders to address difficult issues and serving side by side with law enforcement to keep Eastern Washington safe. Our community will surely mourn his loss.”
At the time of Mr. Hyslop’s resignation as the United State Attorney in 2021, Spokane Police Chief Craig Meidl stated, “U.S. Attorney Hyslop has been a constant partner with SPD in our efforts to keep Spokane the safe community that we all long to live in and raise our families. His engagement with local law enforcement, and commitment to safety first through prevention, education and enforcement, is second to none. We honor his commitment to justice through compassion and accountability, with the needs of the community being his priority.” Upon learning of Mr. Hyslop’s passing, Chief Meidl added, “Bill was thoughtful and reflective in how he approached community safety, an issue that was close to his heart. He closely partnered with the Spokane Police Department on many different programs, including fentanyl awareness and community engagement. He was a mentor and friend, and his passing will leave a gap that cannot be filled. I will miss him greatly.”
In February 2021, as he completed his service as the United States Attorney, Mr. Hyslop stated, “I intend to work to the last day on behalf of the people of Eastern Washington.” He then added, “I want to continue to do all I can to advocate for law enforcement and the hard work they do for us every day to keep us safe.” Mr. Hyslop was true to his word. Following his service as the United State Attorney, Mr. Hyslop became a founding board member of the Spokane Alliance for Fentanyl Education (“SAFE”). In his role at SAFE, Mr. Hyslop continued to work closely with state and federal law enforcement to help the community to better understand the significance and danger of fentanyl in Eastern Washington.
Mr. Hyslop will be sorely missed by the law enforcement community, especially those in the U.S. Attorney’s Office, who served alongside Mr. Hyslop at various points over the past three decades.
Umatilla County Man Charged with Attempted Murder After Armed Robbery at Wildhorse Resort and CasinoRead the Press Release
PORTLAND, Ore.—A federal grand jury in Portland has returned an indictment charging a Umatilla County, Oregon, man with attempted murder, assault with a deadly weapon and several other charges after he robbed the Wildhorse Resort and Casino on the Umatilla Indian Reservation at gunpoint and fired at least one round at a tribal police officer.
Javier Francisco Vigil, 51, has been charged with attempted murder, assault with intent to commit murder, assault with a deadly weapon, interfering with commerce by robbery, using and carrying a firearm during and in relation to a crime of violence, and illegally possessing a firearm as a convicted felon.
According to court documents, in the early afternoon on August 17, 2022, Vigil is alleged to have entered the Wildhorse Casino, walked straight to the cashier cage in the gaming area, and handed the cashier a note demanding $1 million. Vigil then drew a holstered pistol, pointed it at the cashier, and threatened to “bathe everyone in blood.” After being given nearly $70,000 in cash, Vigil exited the casino, pointed his firearm at a responding tribal police officer, and discharged at least one round. Vigil sustained injuries in an ensuing exchange of gunfire and was transported by officers to a local hospital.
Vigil appeared in federal court today before U.S. Magistrate Judge Jolie A. Russo. He was arraigned, pleaded not guilty, and detained pending a 4-day jury trial scheduled to begin on November 1, 2022.
If convicted, Vigil faces a maximum sentence of 30 years in federal prison, 3 years’ supervised release, and a fine of $250,000.
This case is being investigated by the FBI with assistance from the Umatilla Tribal Police Department and the Hermiston Police Department. It is being prosecuted by Ashley R. Cadotte and Cassady Adams, Assistant U.S. Attorneys for the U.S Attorney’s Office in the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
USP Canaan Inmates Charged with Assault with A Dangerous WeaponRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Victor Blanco, age 39, and Isaac Carreno, age 25, inmates at United States Penitentiary Canaan (USP Canaan), Waymart, Pennsylvania, were indicted on September 13, 2022, by a federal grand jury for assault and unlawfully possessing a prohibited object.
According to United States Attorney Gerard M. Karam, the indictment alleges that on August 24, 2022, Blanco and Carreno assaulted another inmate using a sharpened piece of metal with a bed sheet handle. The indictment further alleges that Carreno was in possession of the weapon.
The matter is being investigated by the Federal Bureau of Prisons and the Federal Bureau of Investigation (FBI). Assistant United States Attorney James Buchanan is prosecuting the case.
The maximum penalty under federal law for these offenses is ten years’ imprisonment. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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U.S. Attorney Vanessa Waldref to lead Attorney General’s Advisory Subcommittee on Environmental JusticeRead the Press Release
Spokane – U.S. Attorney Vanessa Waldref for the Eastern District of Washington has been selected to lead the Environmental Justice & Environmental Issues Subcommittee for the Attorney General’s Advisory Committee (AGAC). As the leader of the Environmental Justice Subcommittee, U.S. Attorney Waldref will play a key role in advising the AGAC on environmental matters of importance to the Department of Justice and U.S. Attorney’s Offices across the country.
“I am gratified that my colleagues and Attorney General Garland selected me for this important role,” said U.S. Attorney Waldref. “The Department of Justice makes critical contributions to protecting the environment and public health. We all benefit from robust enforcement of laws that ensure a healthy environment for all families to live, learn, play, and work.”
As Subcommittee Chair, U.S. Attorney Waldref also serves as a leader to implement the Department of Justice’s Comprehensive Environmental Justice Strategy. U.S. Attorney Waldref is training Assistant United States Attorneys throughout all of the 94 U.S. Attorney’s Offices to develop an environmental justice practice and engage in community outreach on the critical environmental issues impacting each District. U.S. Attorney Waldref stated, “I am thrilled to build an infrastructure within the United States Attorney’s Offices around the country to tackle environmental protection cases that defend critical resources and ensure safe living and working conditions for all the residents of our communities. No group of people should bear a disproportionate share of the negative environmental consequences resulting from industrial, governmental, and commercial operations or policies.”
Prior to her appointment, U.S. Attorney Waldref worked in the Department of Justice’s Environment and National Resources Division advocating for the enforcement of pollution control statutes. While she was an Assistant United States Attorney, she also taught several courses at Gonzaga Law School, including Environmental Law, where her teaching focused on the concrete ways that environmental and workplace safety regulations protect our homes, neighborhoods, and workplaces.
U.S. Attorney Waldref is committed to enhancing the environmental protection practice in her home district: “In Eastern Washington, we have great pride in the beauty of our mountains, trees, lakes, and rivers and the sustenance that our natural resources provide. Indigenous people first lived on these lands, cultivating these resources for future generations. Protecting our resources for fishing, hunting, agriculture and a healthy, high quality of life makes our region safer and stronger.”
The Attorney General’s Advisory Committee was established nearly 50 years ago by Attorney General Elliott Richardson. The Committee's purpose is to give United States Attorneys a voice in Department policies and to advise the Attorney General of the United States.
Reporting public health and safety concerns supports a safe community for all. EPA’s online reporting form directs concerns to the appropriate regulatory authority: https://echo.epa.gov/report-environmental-violations. When reporting environmental, health and safety concerns, U.S. Attorney Waldref encourages Eastern Washington residents to also contact the U.S. Attorney’s Office dedicated Civil Rights and Environmental Protection phone line at (509) 835-6306 or email at [email protected]. Notifying the U.S. Attorney’s Office helps us protect the community from harmful violations of federal environmental, health & safety laws.
U.S. Attorney Announces New Public Reporting Procedure for Environmental Justice and Environmental CrimesRead the Press Release
INDIANAPOLIS – Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, announces that the U.S. Attorney’s Office is implementing new public reporting procedures for environmental crimes and issues relating to environmental justice.
Members of the public who have concerns about environmental matters in the Southern District of Indiana can now report them to the Department of Justice via email to
[email protected].The Office is implementing this public reporting procedure under the Department of Justice’s Comprehensive Environmental Justice Enforcement Strategy. This Strategy seeks to provide “timely and effective remedies for systemic environmental violations and contaminations and for injury to natural resources in underserved communities that have been historically marginalized and overburdened, including low-income communities, communities of color, and Tribal and Indigenous communities.”
“Advancing environmental justice and public health through civil and criminal environmental enforcement are priorities of the Department of Justice,” said U.S. Attorney Myers. “We hope that concerned individuals and organizations in our community will partner with us and bring more of these matters to our attention. Together, we will work to reduce public health and environmental harms caused by violations of our laws and regulations—especially in underserved communities.”
The Office’s public reporting procedures complement the other avenues for reporting environmental concerns to the federal government, such as the online portal maintained by the Environmental Protection Agency (EPA), https://echo.epa.gov/report-environmental-violations.
U.S. Attorney Myers thanks Assistant U.S. Attorneys Taylor Kirklin, the Office’s Environmental Justice Coordinator, and Adam Eakman, the Environmental Crimes Coordinator, for their efforts in protecting the environment throughout the Southern District of Indiana and furthering the Department of Justice’s environmental enforcement goals.
Two Men Found Guilty by a Jury of Six Carjackings, Two Kidnappings, and MurderRead the Press Release
SAN JUAN, Puerto Rico – After a seven-day jury trial, yesterday, a federal jury convicted Jairo Huertas-Mercado and Erik Pizarro-Mercado for six carjackings, one kidnapping, one kidnapping murder, and related firearms offenses.
According to court documents and the evidence presented at trial, the defendants committed the following offenses:
- May 20, 2018-the armed carjacking of a 2016 Toyota Tacoma
The victim was driving his Tacoma toward Naguabo, PR, in the Rio Blanco sector, when the defendants and two others used another vehicle to block the driver of the Tacoma. The defendants and another participant showed their firearms at the victim and forced him out of the Tacoma. The participants then took the victim’s Tacoma and other-personal property. The Tacoma was subsequently used in furtherance of another carjacking.
- May 27, 2018-the armed carjacking of a 2004 Infiniti
The defendants used the Tacoma that they carjacked on May 20, 2018 to carjack an Infiniti. Specifically, the defendants and two-other participants drove the Tacoma up to a family who were enjoying their day in the area of El Yunque. There, they showed firearms at the members of the family and took the Infiniti and the family’s personal property, including cameras which the participants used in another carjacking. Eventually, the participants burned the Infiniti in an area where they killed Luis Saenz-Matias.
- May 31, 2018-the kidnapping murder of Luis Saenz-Matías
The defendants and another kidnapped Luis Saenz-Matias because they believed him to be a member of a rival group. The defendants were members of a drug trafficking group that was at odds with a group which the defendants believed Sanz-Matias was a member. The defendants and the other participant took Luis Saenz-Matias to the area where they had burned the Infiniti in La Central, Canovanas, PR and shot and killed him.
- June 3, 2018-the armed carjacking of a 2009 Nissan Altima on June 3, 2018
Jairo Huertas-Mercado and another participated in this carjacking which occurred at the beach in Piñones, PR. At first, Jairo Huertas-Mercado and the other participant used cameras taken from the victims of the Inifiniti carjacking to pretend to be doing a photo shoot so as to not raise the victim’s suspicions. They then pointed firearms at the victims—a male and his two female friends. The other participant in the offense hit one of the females. Then, Jairo Huertas-Mercado and the other participant took the Altima.
- June 4, 2018- the armed carjacking of a red-burgundy Toyota Camry
The defendants and another carjacked the Camry from an elderly couple who were fishing for crabs near Tropical beach in Naguabo. The participants first blocked the Camry and then pointed firearms at the couple. They then took the Camry from the couple. The Camry was immediately used in furtherance of another carjacking that day.
- June 4, 2018- the armed carjacking of a 2016 Kia Sportage
Soon after the carjacking of the Camry, the defendants took a Sportage from a female victim that had just come from her church in Canovanas, PR. The defendants used the Camry to block the front of the victim’s vehicle. The other participant of the carjacking of the Camry was behind the Sportage. A firearm was displayed at the victim, and the defendants took the Sportage from the female victim. Then, the female victim asked for help from the driver of the vehicle behind her who unbeknownst to her was the other participant of the carjacking of the Camry and was with the ones who had just carjacked her. The other participant did not help the female victim and drove after the defendants, who had just taken the Sportage. The Sportage was used by the defendants and two others to carjack and kidnap Bryan Rohena-Perez, who is better known by his stage name Bryant Myers. After the kidnapping and carjacking of Bryant Myers, the Sportage was burned.
- June 5, 2018- carjacking and kidnapping of Bryan Rohena-Pérez, also known as Bryant Myers and his mother
Jairo Huertas-Mercado had a grudge with Bryant Myers because of the death of Jairo Huertas-Mercado’s cousin—Corroro, who Bryant Myers mentioned in a song. In retaliation, defendants and two others set out in the Sportage to kidnap Bryant Myers who they knew was in the basketball court in Loma Alta, Carolina, PR. Once the participants arrived at Loma Alta, they went towards Bryant Myers and pointed firearms at him. They then forced Bryant Myers into the Sportage. Bryant Myers struggled and one of the participants used a gun to hit Bryant Myers in the head. While this is happening, Bryant Myers’ mom went to the scene and pled with the armed participants, asking them not to harm her son. Meanwhile, other persons approached the participants, and one of the participants shot in the air to disperse the crowd. Jairo Huertas-Mercado then took Bryant Myers’ mom in Bryant Myers’ BMW X6 SUV and Erick Pizarro-Mercado and the other two participants took Bryant Myers in the Sportage. They drove to a land fill in Carolina. There, police arrived at the scene, and Bryant Myers was able to jump out of the Sportage. Bryant Myers’ mom also got out of the BMW. She was unharmed. On that date, the defendants and the other-two participants escaped from the police.
Because of their conviction for the kidnapping murder, both defendants face mandatory-life sentences, in addition to any sentence imposed for the remaining convictions.
U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico; and Special Agent in Charge of the FBI Joseph González made the announcement.
The FBI and the Puerto Rico Police Bureau were in charge of investigating these cases.
Assistant U.S. Attorney Victor O. Acevedo-Hernández prosecuted the case.
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Two Charged in Human Smuggling Event that Ended with High-Speed ChaseRead the Press Release
Assistant U. S. Attorneys Daniel D. Shin (619) 546-7609
NEWS RELEASE SUMMARY—September 15, 2022
SAN DIEGO—Sergio Cervantes-Lopez of San Diego and Remigio Sosa-Laez, a Mexican national, were charged yesterday in connection with a human smuggling event that ended with a high-speed chase.
According to documents filed in U.S. District Court, U.S. Border Patrol Agents observed Cervantes-Lopez as he drove a large sport utility vehicle to an area near Donovan State Prison and the George Bailey Detention Center shortly after 4:00 p.m. on September 13, 2022. The agents conducting surveillance on Cerventes-Lopez’s vehicle reported that a large group of eight to ten individuals entered his car before he drove away. When other agents responded to the area and attempted to conduct a traffic stop, Cervantes-Lopez fled at speeds as high as ninety miles per hour.
According to the complaint, during the ensuing chase, Cervantes-Lopez rammed a U.S. Border Patrol vehicle and backed into a civilian’s pick-up truck before running through a red light and colliding with another civilian’s sport utility vehicle. Cervantes-Lopez’s vehicle tipped over in the collision. After the collision, Cervantes-Lopez attempted to flee the area on foot but was quickly apprehended.
Cervantes-Lopez had eight other people in his sport utility vehicle at the time of the crash. A follow up investigation revealed that one of the individuals in the vehicle, Remigio Sosa-Laez, had allegedly guided the group across the border on foot. Two of the passengers stated that they feared for their lives during the chase.
Cervantes-Lopez and Sosa-Laez were both arrested shortly after the collision and are awaiting their initial appearance before a United States Magistrate Judge.
“You gamble with your life when you trust a smuggler,” said U.S. Attorney Randy Grossman. “Smugglers don’t care about the health and safety of their cargo.” Grossman thanked the prosecution team and the U.S. Border Patrol for their excellent work on this case.
“Smugglers threaten the health and safety of our citizens and those migrants in their care, when they engage in these dangerous-senseless tactics,” said U.S. Border Patrol San Diego Sector Chief Patrol Agent Aaron M. Heitke.
DEFENDANT Case Number 22mj3368-AHG
Sergio Cervantes-Lopez, 30 years old
Remigio Sosa-Laez, 19 years old
SUMMARY OF CHARGES
Transportation of Illegal Aliens—Title 8, U.S.C., Section 1324
Maximum penalty: Five years in prison
Bringing in Aliens Without Presentation— Title 8, U.S.C., Section 1324
Maximum penalty: Ten years in prison
AGENCY
United States Border Patrol
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Three-Time Convicted Sex Offender and Roommates Charged with Child Exploitation OffensesRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Joshua Tripp (42, Clearwater) with three counts of distributing and one count of possessing child sex abuse material. If convicted, Tripp faces a minimum mandatory penalty of 15 years, up to 40 years, in federal prison for each distribution count and a maximum penalty of 10 years’ imprisonment for the possession count. Tripp is a registered sex offender and has prior felony convictions for aggravated sexual exploitation of a minor, aggravated statutory rape, and lewd and lascivious molestation. The grand jury also returned indictments charging Tripp’s roommates, Craigan Joyner (20, Clearwater) and Donald Shadowens (30, Clearwater), with one count of receiving and one count of possessing child sexual abuse materials. If convicted, each faces a minimum mandatory penalty of 5 years, up to 20 years, for the receipt count and up to 10 years’ imprisonment for the possession count.
On August 19, 2022, Tripp, Joyner, and Shadowens made their initial appearances before the Honorable Christopher P. Tuite. Tripp and Joyner were detained pending trial. Shadowens was released on a bond with conditions.
According to the court documents, Tripp, Joyner, and Shadowens all lived together at the same residence in Clearwater. On August 18, 2022, investigators executed a search warrant at the home and discovered more than 1,000 images and videos of child sexual abuse material on the defendants’ devices. This material included the sexual abuse of children under the age of 12 and sado-masochistic images of children.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations, with substantial assistance from the Dickson County (Tennessee) Sheriff’s Office, the Clearwater Police Department, and the Pinellas County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Erin Claire Favorit.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Three Charged in Alleged Conspiracies to Defraud Land Rover DealershipsRead the Press Release
PROVIDENCE – Three Rhode Island men are charged in federal court in Providence with conspiracy to commit wire fraud and aggravated identity theft for their alleged participation in schemes to defraud Land Rover dealerships in Rhode Island and New Hampshire, announced United States Attorney Zachary A. Cunha.
According to the charging documents, dealerships in Warwick, RI, and Bedford, NH, each delivered a vehicle to a buyer who claimed to have secured more than $100,000 in online dealer financing. In each instance, an investigation determined that online credit applications were submitted using a stolen identity. The “buyer” of each vehicle took delivery after presenting a driver’s license that depicted their own photograph and the stolen identity used to secure financing.
It is alleged that on April 25, 2022, Dennis Odoom, 24, of Pawtucket, took custody of a Land Rover from a Rhode Island dealer, financed for more than $120,559 with the use of a stolen identity; and on May 10, 2022, Roy Sweets, 25, of Providence, took custody of a Land Rover from a New Hampshire dealership, financed for $111,183 with the use of a stolen identity. It is further alleged that two days after the delivery in New Hampshire, a person, posing as the “brother” of the New Hampshire buyer, attempted to take possession of a vehicle after a dealer financing application had been submitted online and approved. The delivery was halted when a dealership employee determined that the driver’s license presented by the buyer may have been altered. Adalberto Mauricio Romero, 25, of Providence, was arrested by Bedford, NH, Police when he appeared at the dealership to take possession of the vehicle.
Federal arrest warrants were later issued for the three men. Roy Sweets and Dennis Odoom were arrested on Monday by agents from Homeland Security Investigations and the Department of Labor, Office of Inspector General; Adalberto Mauricio Romero turned himself in on Tuesday to the United States Marshals Service. The three men were released on unsecured bond after appearing in U.S. District Court in Rhode Island.
A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The cases are being prosecuted by Assistant United States Attorney Paul F. Daly, Jr., and William J. Ferland.
The matter was investigated by Warwick, RI, and Bedford, NH, Police Departments, Homeland Security Investigations, and Department of Labor, Office of Inspector General.
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Texas Anesthesiologist Arrested on Criminal Charges Related to Alleged Tampering with IV Bags Implicated in Death, Surgical EmergenciesRead the Press Release
Raynaldo Rivera Ortiz Jr., a Texas anesthesiologist, was arrested in Plano, Texas, on criminal charges related to allegedly injecting nerve blocking and bronchodilation drugs into patient IV bags at a local surgical center, resulting in at least one death and multiple cardiac emergencies.
According to court documents, on or around June 21, a 55-year-old female coworker of Ortiz, identified in court documents as M.K., experienced a medical emergency and died immediately after treating herself for dehydration using an IV bag of saline taken from the surgical center. An autopsy report revealed that she died from a lethal dose of bupivacaine, a nerve blocking agent that is rarely abused but is often used during the administration of anesthesia.
Two months later, on or around Aug. 24, an 18-year-old male patient, identified in court documents as J.A., experienced a cardiac emergency during a scheduled surgery. The teen was intubated and transferred to a local ICU. Chemical analysis of the fluid from a saline bag used during his surgery revealed the presence of epinephrine (a stimulant that could have caused the patient’s symptoms), bupicavaine, and lidocaine.
According to the complaint, surgical center personnel concluded that the incidents involving M.K. and J.A. suggested a pattern of intentional adulteration of IV bags used at the surgical center. They identified about 10 additional unexpected cardiac emergencies that occurred during otherwise unremarkable surgeries between May and August 2022 – which the complaint alleges to be an exceptionally high rate of complications over such a short period of time. In each of those cases – which investigators believe occurred on or around May 26 and 27; June 27; July 7, 15 and 18; and Aug. 1, 4, 9 and 19 – medical personnel were able to stabilize the patient only through use of emergency measures. Most of the incidents occurred during longer surgeries that used more than one IV bag, including one or more bags retrieved mid-surgery from a stainless steel bag warmer.
The complaint alleges that none of the cardiac incidents occurred during Dr. Ortiz’s surgeries, and that they began just two days after Dr. Oritz was notified of a disciplinary inquiry stemming from an incident during which he allegedly “deviated from the standard of care” during an anesthesia procedure when a patient experienced a medical emergency. The complaint alleges that all of the incidents occurred around the time Dr. Ortiz performed services at the facility, and no incidents occurred while Dr. Ortiz was on vacation.
The complaint further alleges that Dr. Ortiz had a history of disciplinary actions against him, expressed concern to other physicians over disciplinary action at the facility, and complained the center was trying to “crucify” him.
According to court documents, a nurse who worked on one of Dr. Ortiz’s surgeries told law enforcement that Dr. Ortiz refused to use an IV bag she retrieved from the warmer, physically waving the bag off. The complaint alleges that surveillance video from the center’s operating room hallway showed Dr. Ortiz placing IV bags into the stainless-steel bag warmer shortly before other doctors’ patients experienced cardiac emergencies.
The complaint alleges that in one instance captured in the surveillance video, Dr. Ortiz was observed walking quickly from an operating room to the bag warmer, placing a single IV bag inside, visually scanning the empty hallway, and quickly walking away. Just over an hour later, according to the complaint, a 56-year-old woman suffered a cardiac emergency during a scheduled cosmetic surgery after a bag from the warmer was used during her procedure. The complaint alleges that in another instance, agents observed Dr. Ortiz exit his operating room carrying an IV bag concealed in what appeared to be a paper folder, swap the bag with another bag from the warmer, and walk away. Roughly half an hour later, a 54-year-old woman suffered a cardiac emergency during a scheduled cosmetic surgery after a bag from the warmer was used during her procedure.
A criminal complaint is merely an allegation of criminal conduct, not evidence. Dr. Ortiz is presumed innocent unless and until proven guilty in a court of law.
“The safety of the nation’s pharmaceutical supply is critically important,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department will vigorously prosecute this case consistent with the evidence gathered by our law enforcement partners.”
“Our complaint alleges this defendant surreptitiously injected heart-stopping drugs into patient IV bags, decimating the Hippocratic oath,” said U.S. Attorney Chad E. Meacham for the Northern District of Texas. “A single incident of seemingly intentional patient harm would be disconcerting; multiple incidents are truly disturbing. At this point, however, we believe that the problem is limited to one individual, who is currently behind bars. We will work tirelessly to hold him accountable. In the meantime, it is safe to undergo anesthesia in Dallas.”
Ortiz is charged with tampering with a consumer product and with intentionally adulterating drugs. If convicted, he faces a maximum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Ortiz will make his initial appearance before U.S. Magistrate Judge Renee Toliver in Dallas on Sept. 16.
The U.S. Food & Drug Administration’s Office of Criminal Investigations and the Dallas Police Department conducted the investigation with the assistance of scientists from the University of North Texas. Senior Litigation Counsel Patrick Runkle and Senior Trial Counsel Yolanda McCray Jones of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorneys John de la Garza and Errin Martin for the Northern District of Texas are prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Texas Anesthesiologist Arrested on Criminal Charges Related to Alleged Tampering with IV Bags Implicated in Death, Surgical EmergenciesRead the Press Release
A Dallas anesthesiologist who allegedly injected nerve blocking agents and other drugs into patient IV bags at a local surgery center – resulting in at least one death and multiple cardiac emergencies – was arrested Wednesday on federal criminal charges, Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division, and U.S. Attorney for the Northern District of Texas Chad E. Meacham announced today.
Raynaldo Rivera Ortiz Jr., 59, was charged via criminal complaint with tampering with a consumer product causing death and intentional drug adulteration. He was arrested in Plano on Wednesday and will make his initial appearance before U.S. Magistrate Judge Renee Toliver in Dallas on Friday at 10 a.m.
According the criminal complaint, on June 21, a 55-year-old female coworker of Dr. Ortiz, identified in court documents as M.K., experienced a medical emergency and died immediately after treating herself for dehydration using an IV bag of saline taken from the surgical center. An autopsy report revealed that she died from a lethal dose of bupivacaine, a nerve blocking agent that is rarely abused but is often used during the administration of anesthesia.
Two months later, on Aug. 24, an 18-year-old male patient, identified in court documents as J.A., experienced a cardiac emergency during a routine sinus surgery. The teen was intubated and transferred to a local ICU. Chemical analysis of the fluid from a saline bag used during his surgery revealed the presence of bupivacaine, epinephrine (a stimulant), and lidocaine, drugs that could have caused the patient’s sudden symptoms.
According to the complaint, surgical center personnel concluded that the incidents involving M.K. and J.A. suggested a pattern of intentional adulteration of IV bags used at the surgical center. They identified 10 additional unexpected cardiac emergencies that occurred during otherwise unremarkable surgeries between May and August 2022, which the complaint alleges is an exceptionally high rate of complications over such a short period of time.
In each of those cases – which investigators believe occurred on or around May 26 and 27; June 27; July 7, 15 and 18; and Aug. 1, 4, 9 and 19 – medical personnel were able to stabilize the patient only through use of emergency measures. Most of the incidents occurred during longer surgeries that used more than one IV bag, including one or more bags retrieved mid-surgery from a stainless steel bag warmer.
The complaint alleges that none of the cardiac incidents occurred during Dr. Ortiz’s surgeries, and that they began just two days after Dr. Oritz was notified of a disciplinary inquiry stemming from an incident during which he allegedly “deviated from the standard of care” during an anesthesia procedure when a patient experienced a medical emergency. The complaint alleges that all of the incidents occurred around the time Dr. Ortiz performed services at the facility, and no incidents occurred while Dr. Ortiz was on vacation.
The complaint further alleges that Dr. Ortiz, who had a history of disciplinary actions against him, expressed concern to other physicians over the disciplinary action at the facility and complained the center was trying to “crucify” him. A nurse who worked on one of Dr. Ortiz’s surgeries allegedly told law enforcement that Dr. Ortiz refused to use an IV bag she retrieved from the warmer, physically waving the bag off.
Surveillance video from the center’s operating room hallway allegedly showed Dr. Ortiz placing IV bags into the stainless-steel bag warmer shortly before other doctors’ patients experienced cardiac emergencies.
The complaint alleges that in one instance captured in the surveillance video, agents observed Dr. Ortiz walk quickly from an operating room to the bag warmer, place a single IV bag inside, visually scan the empty hallway, and quickly walk away. Just over an hour later, according to the complaint, a 56-year-old woman suffered a cardiac emergency during a scheduled cosmetic surgery after a bag from the warmer was used during her procedure.
The complaint alleges that in another instance, agents observed Dr. Ortiz exit his operating room carrying an IV bag concealed in what appeared to be a paper folder, swap the bag with another bag from the warmer, and walk away. Roughly half an hour later, a 54-year-old woman suffered a cardiac emergency during a scheduled cosmetic surgery after a bag from the warmer was used during her procedure.
“The safety of the nation’s pharmaceutical supply is critically important,” said Principal Deputy Assistant Attorney General Brian M. Boynton. “The Department will vigorously prosecute this case consistent with the evidence gathered by our law enforcement partners.”
“Our complaint alleges this defendant surreptitiously injected heart-stopping drugs into patient IV bags, decimating the Hippocratic oath,” said U.S. Attorney Chad E. Meacham. “A single incident of seemingly intentional patient harm would be disconcerting; multiple incidents are truly disturbing. At this point, however, we believe that the problem is limited to one individual, who is currently behind bars. The Department of Justice and our indefatigable partners at the FDA’s Office of Criminal Investigations and the Dallas Police Department will work tirelessly to hold him accountable. In the meantime, it is safe to undergo anesthesia in Dallas.”
“Patients expect that their doctors will use only safe and effective medical products during their surgeries. When illicit tampering occurs, serious harm and even death can result,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations. “Working with our law enforcement partners, we will continue to monitor, investigate and bring to justice those who would risk patients’ health and safety.”
A criminal complaint is merely an allegation of criminal conduct, not evidence. Dr. Ortiz is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
If convicted, he faces a maximum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Food & Drug Administration’s Office of Criminal Investigations and the Dallas Police Department conducted the investigation with the assistance of scientists from the University of North Texas. Senior Litigation Counsel Patrick Runkle and Senior Trial Counsel Yolanda McCray Jones of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorneys John de la Garza and Errin Martin of the Northern District of Texas are prosecuting the case.
South Florida U.S. Attorney’s Office to Lead COVID-19 Fraud Strike Force Team Against Pandemic Relief FraudRead the Press Release
MIAMI – Recognized as a leader in pandemic relief fraud prosecutions, the Southern District of Florida’s U.S. Attorney’s Office has been selected to head one of three COVID-19 Fraud Strike Force Teams nationally. In recent weeks alone, the district has charged 23 COVID-19 relief fraud cases, with scheme amounts totaling over $150 million.
The Department of Justice established the Strike Force to enhance the department’s existing efforts to combat and prevent COVID-19 related fraud.
“Over the years, the South Florida U.S. Attorney’s Office and its law enforcement partners have developed robust domestic and international anti-fraud and money laundering practices,” said Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida. “Our experience with these data-driven financial prosecutions allowed us to launch an early and aggressive attack on COVID-19 relief fraud by holding accountable those who tried to capitalize on an unprecedented crisis. We are proud to have been selected to lead one of three COVID-19 Fraud Strike Force Teams and look forward to continuing to advance this important Department of Justice effort.”
In total, the South Florida U.S. Attorney’s Office has charged over 80 cases since the CARES Act was passed. It has seized over $23.5 million in stolen relief funds. The Strike Force Team will build on this momentum.
“These Strike Force Teams will build on the Department’s historic enforcement efforts to deter, detect, and disrupt pandemic fraud wherever it occurs,” said Attorney General Merrick B. Garland. “Since the start of this pandemic, the Justice Department has seized over $1.2 billion in relief funds that criminals were attempting to steal and charged over 1,500 defendants with crimes in federal districts across the country, but our work is far from over. The Department will continue to work relentlessly to combat pandemic fraud and hold accountable those who perpetrate it.”
Anticipating the need to protect the integrity of these taxpayer funds and to otherwise protect South Floridians from financial fraud related to the COVID-19 pandemic, the Southern District of Florida established multiple efforts to identify, investigate, and prosecute such fraud. This multifaceted approach has proven invaluable in going after those who have cheated the system.
“The Strike Force Teams are the latest example of the Justice Department’s commitment to fight pandemic fraud,” said Associate Deputy Attorney General Kevin Chambers, who serves as the department’s director for COVID-19 Fraud Enforcement. “The work being done by our prosecutors, trial attorneys, agents and partners on our COVID-19 Fraud Enforcement Task Force has been extraordinary. We’re going a step further with the announcement of strike force teams to support, enhance, and continue the great work being done across the department.”
“Our investigations of schemes to defraud federal pandemic relief programs have continued and will continue even as the pandemic itself evolves,” said Federal Deposit Insurance Corporation Office of Inspector General Special Agent in Charge Kyle A. Myles. “The cases described in this announcement reflect collaboration with our law enforcement partners and specific progress made in the fight to identify, investigate, and prosecute financial crime affecting FDIC-insured institutions.”
The Southern District of Florida’s Strike Force Team will be comprised of dedicated prosecutors, working together with agents from Department of Labor Office of Inspector General, Small Business Administration Office of Inspector General, Federal Deposit Insurance Corporation Office of Inspector General, Department of Homeland Security Office of Inspector General, FBI, U.S. Secret Service, Homeland Security Investigations, Internal Revenue Service Criminal Investigations, U.S. Postal Inspection Service, Federal Reserve System Office of Inspector General, Treasury Inspector General for Tax Administration, and U.S. Coast Guard Investigative Service. The Pandemic Response Accountability Committee and Special Inspector General for Pandemic Recovery will assist the Strike Force.
“OIG stands firm in the fight to hold persons that commit fraud responsible in collaboration with our law enforcement partners,” said SBA OIG’s Inspector General Hannibal M. Ware. “OIG remains committed to rooting out bad actors and protecting the integrity of SBA programs every day. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.”
A group effort is needed to address this problem and that is exactly what these agencies and departments have committed to doing.
“This announcement is the culmination of hard work by numerous agencies,” said Wayne Rosen, Assistant Special Agent in Charge, Miami Regional Office, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection. “It sends a clear message that federal law enforcement is watching and will relentlessly pursue fraudsters and bring them to justice. We are proud to work with our law enforcement partners in this endeavor.”
Although these COVID-19 loan programs have ended, guilty parties should not get a false sense of security. Their capture certainly remains a priority.
“The CARES Act provided vital funds to thousands of small businesses impacted by the COVID-19 pandemic economic downturn,” said Jason J. Carley, Assistant Special Agent in Charge, FBI Miami. “While those loan programs have ended, the FBI’s commitment to seeking out those who defrauded the government continues. Millions of taxpayer dollars earmarked for CARES Act programs were diverted away from the intended recipients by illegal activity. If you defrauded these programs, know that our investigators will continue to follow the money right to your doorstep.”
The actions of fraudsters have basically taken money from struggling people doing their best to endure the pandemic.
“These defendants are alleged to have defrauded a program intended to assist hardworking Americans who have been unfairly impacted as a result of this unprecedented and challenging health crisis,” said Special Agent in Charge (SAC) Anthony Salisbury, HSI Miami. “HSI remains committed to working with our law enforcement partners to bring every asset to bear against anyone who seeks to take advantage of the pandemic to deliberately harm and deceive others for their own profit.”
That fraudsters have taken advantage of a critical health situation only seems to bolster the efforts to take them down.
“It is very unfortunate that criminals have seized on the COVID-19 pandemic as a money-making opportunity and created fraudulent schemes to steal from federal programs designed to assist law-abiding Americans,” said Matthew D. Line, Special Agent in Charge, IRS-Criminal Investigation (IRS-CI), Miami Field Office. “We continue relentlessly committed to working with our law enforcement partners to aggressively pursue criminal investigations and hold crooks accountable for fraudulently profiting from CARES Act programs.”
“The allegations in these matters are very disturbing,” said J. Russell George, Treasury Inspector General for Tax Administration. “Exploiting some of the most vulnerable people in our society will not be tolerated. The Treasury Inspector General for Tax Administration aggressively investigates abuse of the Federal tax system. We are committed to working with our law enforcement partners to ensure that those who endeavor to corrupt federal tax administration are prosecuted to the fullest extent of the law.”
As much success as the agencies pursuing this type of criminal activity have had, there still remains work to be done.
“An important mission of the U.S. Department of Labor, Office of Inspector General is to investigate allegations of fraud related to the unemployment insurance program,” said Mathew Broadhurst, Special Agent-in-Charge, Atlanta Region, U.S. Department of Labor, Office of Inspector General. “The DOL-OIG fully supports the Department of Justice’s COVID-19 Strike Force Team program. Through collaboration and leveraging of resources, the federal law enforcement community has made great strides in holding COVID-19 fraudsters accountable but there is more work to be done. We will continue to work closely with the U.S. Attorney’s Office and our strike team partners to safeguard unemployment compensation benefit programs for those who most need them.”
It is a team effort that everyone should take pride in.
“The DHS Office of Inspector General thanks the U.S. Department of Justice and our law enforcement partners for significant collaboration within the COVID-19 Fraud Strike Force,” said Dr. Joseph V. Cuffari, Inspector General of the Department of Homeland Security. DHS OIG will continue to investigate these crimes and to help ensure the integrity of DHS programs.”
Criminal enforcement in the Southern District of Florida to combat COVID-19/CARES Act-related financial fraud schemes have proceeded on numerous fronts, including:
- Paycheck Protection Program (PPP) fraud: Prominent among the District’s efforts have been cases involving attempts to obtain PPP loans through fraud. These loans were intended to help small businesses financially survive the COVID-19 pandemic. The cases charged in the district involve a range of conduct, from individual business owners who have inflated their payroll expenses to obtain larger loans than they otherwise would have qualified for to serial fraudsters who revived dormant corporations and purchased shell companies with no actual operations to apply for multiple loans. They then falsely stated they had significant payroll to organized criminal networks submitting identical loan applications and supporting documents under the names of different companies.
- Economic Injury Disaster Loans (EIDL) fraud: Another type of fraud charged in the district has been fraud against the EIDL program, which was designed to provide loans to small businesses, agricultural, and non-profit entities. Fraudsters have targeted the program by applying for EIDL advances and loans on behalf of ineligible, newly-created shell or non-existent businesses and diverting the funds for illegal purposes.
- Unemployment Insurance (UI) fraud: Due to the COVID-19 pandemic, more than $860 billion in federal funds has been appropriated for UI benefits through September 2021. People looking to exploit UI benefits during the pandemic use stolen identities to fraudulently file for UI benefits.
RECENT PROSECUTIONS
In recent weeks, the district has charged 23 COVID-19 relief fraud cases, with scheme amounts totaling over $150 million. It is alleged that the defendants in these cases received over $35 million.
United States v. Hernandez, Case No. 22-mj-03333
The Southern District of Florida recently charged Daniel Hernandez, 50, a Market Manager for a top national bank, with orchestrating a $30 million COVID-19 relief fraud scheme. According to the criminal complaint affidavit, Hernandez – who oversaw 80 bank employees and more than 20 branches throughout South Florida – recruited bank customers and at least one former bank employee to submit over 90 fraudulent PPP loan applications. It is alleged that Hernandez advised the recruits on how to file the applications and what to include in them, then used his position at the bank to ensure the fraudulent loans were reviewed and, when possible, approved. The applications sought over $30 million in fraud proceeds. The investigation to date has identified over $15 million in fraudulent loans issued.
In addition to Hernandez, the Southern District has charged others with participating in the fraud. Willian Alexander Posada Sandrea pled guilty and is scheduled to be sentenced on October 24, 2022 (22-cr-20194).
Armando De Leon, who worked at the bank with Hernandez, was charged with conspiracy to commit wire fraud (22-20420-CR-KMM). Javier Alfonso Barata (22-mj-3095), and Alvaro Enrique Castillo along with Douglas David Melean Socorro (22-mj-2928) have also been charged.
FDIC-OIG, FBI Miami, SBA-OIG, and the Florida Department of Revenue investigated this matter.
Assistant U.S. Attorney Eli S. Rubin of the Southern District of Florida is prosecuting the case, which charges Hernandez with conspiracy to commit bank fraud.
Assistant U.S. Attorney Joshua Paster is handling forfeiture.
United States v. Emile, Case No. 22-cr-60176
The Southern District recently charged Herbert Emile, 41, with participating in a $100 million COVID-19 relief fraud scheme. In 2019, the FDIC-OIG began investigating a group of individuals who were using shell companies, stolen personal identification information – including stolen social security numbers-- and synthetic identities to commit fraud against several federally-insured banks in the United States.
When the CARES Act was enacted in 2020, members of the conspiracy used their pre-established shell companies to steal millions of dollars from the Act’s programs. In total, members of this conspiracy and their associates are responsible for stealing over $100 million from U.S. banks and PPP/CARES Act programs.
In addition to Emile, others were also charged in this district with participating in the fraud scheme. These defendants have pled guilty: Hasan Hakim Brown, 46; Jean Renald Fleuridor, 42; Raul Mauricio Gonzalez, 48; and Lorin George Saunders, 40.
FDIC-OIG and the United States Secret Service investigated the case. SBA-OIG and FBI Miami assisted.
Assistant U.S. Attorney Brooke Watson is prosecuting the case.
United States v. Philossaint Case No. 22-cr-08336
United States v. Tollinchi, 22-cr-08337
United States v. Shazier, et al., 22-cr-08357
In cases alleging PPP fraud, EIDL fraud, and loan forgiveness application fraud, a South Florida federal grand jury recently charged Joff Stenn Wroy Philossaint, 32, of Miramar, Florida; Mariel Tollinchi, 35, of Miramar, Florida; Maurice Shazier, 50, of Fort Pierce, Florida; David Andre Johnson, 52, of Lauderhill, Florida; Regine Marie Rene, 32, of Boynton Beach, Florida; and Brianna Monique Gayle, 23, of Riviera Beach, Florida, with conspiring to commit wire fraud and money laundering, as well as with aggravated identity theft. Philossaint also was charged with obtaining U.S. citizenship through fraud.
It is alleged that Philossaint and Gayle, working through one of Philossaint’s businesses, worked with others to prepare PPP and EIDL loan applications, as well as loan forgiveness applications, on behalf of dozens of companies that falsely certified their number of employees, their revenue, and their business expenses. As alleged, to support the EIDL and PPP loan applications, and the PPP loan forgiveness applications, the defendants prepared and submitted fake IRS documents and created payroll accounts with a national payroll processing company using stolen identities to make it appear that the companies had paid wages, which they never did.
According to the allegations, Philossaint charged a kickback of 10 percent of the funded loans and required others to disguise the kickback payments by splitting them into smaller amounts and writing “advertising” on the memo lines of the checks.
It is alleged that Philossaint and his fiancée, Tollinchi, directly received PPP and EIDL loans of nearly $500,000, in addition to kickback payments; Shazier received PPP and EIDL loans totaling $873,328; Johnson received PPP and EIDL loans totaling $443,792; and Rene received PPP and EIDL loans totaling $183,906. It is also alleged that the 26 companies for which Philossaint and Gayle set up payroll processing received at least 33 PPP and EIDL loans totaling more than $4.8 million.
SBA-OIG, U.S. Secret Service, FBI Miami, IRS-CI Miami (West Palm Beach), and HSI Miami are investigating the case. The West Palm Beach U.S. Attorney’s Office is prosecuting it.
United States v. Almaguer, et al., Case No. 22-cr-80118
According to the indictment, Defendants Leiner Pena Infante, Yandre Garcia Hernandez, Eduardo Ramos Leyva and others gave Yunior Barrera Almaguer information about companies they controlled so that Barrera could use the information to fraudulently apply for PPP loans. The conspirators received approximately $8 million in PPP funds and spent much of the loan proceeds for their personal use and benefit. After receiving the loans, the defendants named above laundered the funds along with co-defendants Jorge S. Alvarez, Dariel Garcia Carmona, and Jose Raul Amaro – who had separately obtained their own fraudulent PPP loans, according to the charges. FBI Miami investigated the case. Assistant U.S. Attorney Susan Osborne is prosecuting the case.
United States v. Diaz, et al., Case No. 22-cr-20354
Aisladys Diaz, 45, of Miami, Florida, her daughter Ailensy Buron Diaz, 29, of Miami, Florida, Berto Omar Rodriguez Fonseca, 33, of Cutler Bay, Florida, and husband and wife Yandys Diaz, 29, and Yainelis Perez Diaz, 33, of Hialeah, Florida, were charged in an indictment with conspiracy to commit access device fraud, use of an unauthorized access device, aggravated identity theft, conspiracy to commit wire fraud and wire fraud. According to allegations in the indictment, in May 2020, Aisladys Diaz, a former aide employed at a nursing home in Homestead, Florida, stole the personal identifying information (“PII”) of two elderly residents in her care. The conspirators used the PII of these elderly victims in several schemes including one where a fraudulent Economic Disaster Injury Disaster Loan, an SBA loan under the CARES Act was applied for. FBI Miami and TIGTA investigated the case. Assistant United States Attorney Lois Foster-Steers is prosecuting it.
United States v. Ferguson, Case No. 22-cr-60164
Ego Ferguson, 53, of Pompano Beach, Florida, was charged by indictment with wire fraud and engaging in financial transactions in criminally derived property. The indictment alleges that Ferguson caused the preparation of false/fraudulent PPP loan applications on behalf of various companies that falsely certified number of employees and employee payroll. As alleged, Ferguson caused the submission of these fraudulent PPP loan applications to a loan processor and Ferguson also provided fraudulent IRS forms that falsely indicated that these companies had paid employee wages and taxes that the companies had not actually paid. The indictment alleges that that Ego Ferguson charged a fee of twenty percent for these loans and that Ferguson maintained a spreadsheet showing the submission of apparent PPP loans totaling over $6 million. IRS-CI Miami, FDIC-OIG, FRB and the U.S. Postal Inspection Service investigated the case. Assistant U.S. Attorney Michael Berger is prosecuting the case.
United States v. Carrillo et al., Case No. 22-cr-20368
Kenia Carrillo, 45, Roberto Lopez, 50, Lester Hedman Safont, 51, Oreste Ruiz Linares, 51, Honolio Navarro Caballero, 39, Barbara Alvarez, 44, Javier Pico, 56, Alfredo Contrera, 50, and Erisbel Gonzalez Gomez, 43, have been charged by indictment with conspiracy to commit wire fraud, wire fraud, conspiracy to commit money laundering, and money laundering. The indictment charges that the group, and others, participated in a conspiracy to submit fraudulent PPP applications and obtained over $2.6 million in fraudulent loan proceeds. Once they obtained the money, instead of spending it on payroll and other permissible business expenses, the group laundered the funds by issuing checks to each other to conceal the fraud. The U.S. Secret Service and SBA-OIG, with the assistance of the Miami-Dade Police Department, investigated the case. Assistant U.S. Attorney Thomas Haggerty is prosecuting it. Assistant U.S. Attorney Peter Laserna is handling asset forfeiture.
United States v. Hermoso, Case No. 22-cr-20360
Maritza Morales Hermoso, 57, Miami, Florida, was charged by Indictment with conspiracy to commit wire fraud, wire fraud, and money laundering. The Indictment charges that Hermoso and others participated in a conspiracy to submit fraudulent PPP and EIDL applications and obtained approximately $1.5 million in fraudulent loan proceeds. Specifically, the Indictment charges that Hermoso submitted six PPP loan applications and two EIDL applications for eight different businesses. The Indictment also alleges that once Hermoso obtained the loan proceeds, instead of spending it on payroll and other permissible business expenses, she used it for cosmetic surgery, gambling, and to buy a Cadillac. She often disguised her misuse of funds by laundering the proceeds through multiple unrelated business accounts or withdrawing the money in cash, it is alleged. U.S. Secret Service and the SBA-OIG investigated the case. Assistant U.S. Attorney Joseph Egozi is prosecuting it.
United States v. Joseph, Case No. 22-cr-60162
Sherry Joseph, 33, of New York, was charged by indictment with wire fraud conspiracy and wire fraud. The indictment alleges that Joseph, while on federal pretrial release in a separate case in the District of New Jersey, participated in a conspiracy to submit millions of dollars of fraudulent PPP loan applications. Specifically, the indictment alleges that Joseph used aliases to hide her identity while coordinating between the scheme ringleader and several individuals she recruited to seek fraudulent PPP loans through the scheme. Joseph also demanded and received kickbacks from recruits who received fraudulent PPP loans through the scheme, it is alleged. IRS-CI Miami investigated the case. Assistant U.S. Attorney Kiran N. Bhat and Department of Justice (DOJ) Trial Attorney Philip B. Trout are prosecuting it.
United States v. Sheppard, Case No. 22-cr-20290
Eric Dean Sheppard, 53, of Bal Harbour, Florida, was charged by indictment with six counts of wire fraud. The indictment alleges that Sheppard, through three different entities that he controlled, applied for and obtained EIDL and PPP loan proceeds in excess of $900,000. He falsified tax forms and misrepresented the borrowing entities’ revenues, monthly payroll, and numbers of employees. FBI Miami investigated the case. Assistant U.S. Attorney Marty Fulgueira Elfenbein is prosecuting it.
United States v. Jacquez, Case No. 22-cr-60171
Florencio Jacquez, 41, of Cape Coral, Florida, was charged by information with conspiracy to commit wire fraud. The information against Jacquez alleges that Jacquez participated in a conspiracy to submit millions of dollars in fraudulent PPP loan applications. Specifically, the information alleges that Jacquez received a fraudulent PPP loan of $801,250 for his own company, Next Auto Body, LLC. The U.S. Secret Service, IRS-CI Miami, and SBA-OIG investigated the case. Assistant U.S. Attorney Amanda Perwin is prosecuting it.
United States v. Harricharan, Case No. 22-cr-60173
Keegan Harricharan, 39, of Coral Springs, Florida, was charged by information with conspiracy to commit wire fraud. The information against Harricharan alleges that Harricharan participated in a conspiracy to submit millions of dollars in fraudulent PPP loan applications. Specifically, the information alleges that Harricharan received a fraudulent PPP loan of $840,827 for his own company, World Scientific Industrial and Medical, Inc. The U.S. Secret Service, IRS-CI Miami, FBI Miami, and SBA-OIG investigated the case. Assistant U.S. Attorney Amanda Perwin is prosecuting it.
United States v. Sales, Case No. 22-cr-60172
Abdolrahman Sales, 26, of Lake Elsinore, California, was charged by information and pled guilty to conspiracy to commit an offense against the United States. He is scheduled to be sentenced on November 7, 2022, before Judge William P. Dimitrouleas of the United States District Court for the Southern District of Florida. In pleading guilty, Sales admitted that he participated in a conspiracy to obtain a fraudulent PPP loan. Specifically, Sales admitted that he received a fraudulent PPP loan of $407,727 for his company, Kyng Simba, Inc. His loan application included falsified bank statements and payroll tax forms that overrepresented the company’s number of employees and monthly payroll. Sales also admitted that he paid kickbacks to co-conspirators for their roles in helping him obtain this fraudulent PPP loan. IRS-CI Miami investigated the case. Assistant U.S. Attorney Kiran N. Bhat and DOJ Trial Attorney Philip B. Trout are prosecuting it.
United States v. Kelly, Case No. 22-cr-20168
Randy Kelly, 35, of Miami, was charged by information and pled guilty to conspiracy to commit an offense against the United States. He was sentenced August 19, 2022, before Judge Robert N. Scola of the United States District Court for the Southern District of Florida. In pleading guilty, Kelly admitted that he participated in a conspiracy to obtain a fraudulent PPP loan. Specifically, Kelly admitted that he received a fraudulent PPP loan of $495,822 for his company, Connected Forever LLC, after submitting a loan application that included falsified bank statements and payroll tax forms that overrepresented the company’s number of employees and monthly payroll. Kelly also admitted that he paid kickbacks to a co-conspirator who helped obtain this fraudulent PPP loan. IRS-CI Miami and FBI Miami investigated the case. Assistant U.S. Attorney Kiran N. Bhat and DOJ Trial Attorney Philip B. Trout prosecuted it.
United States v. Rojas, Case No. 22-cr-20364
Yadira Escobar Rojas, 34, of Homestead, Florida, was charged by information with wire fraud. The information alleges that Escobar Rojas submitted two false and fraudulent EIDL applications and one false and fraudulent PPP loan application on behalf of two different entities she controlled, Los Molinos Trucking, Inc. and Molino Fish Inc. She received over $495,000 in fraud proceeds. FBI Miami investigated the case. Assistant U.S. Attorney Eli S. Rubin is prosecuting it.
United States v. Floradin, Case No. 22-cr-20361
Elie Floradin, 59, of Miami, Florida, was charged by indictment with wire fraud and money laundering in connection with the alleged repeated submission of fraudulent Paycheck Protection Program (“PPP”) applications on behalf of his purported hiring agency business, You’re Hired Employment Agency, LLC (“You’re Hired”). The indictment alleges that, in July 2020, Floradin caused the submission of a false and fraudulent PPP application on behalf of You’re Hired, which resulted in the disbursement of approximately $199,999 in federal COVID-19 assistance funds directly into Floradin’s personal bank account. Shortly thereafter, the government alleges that Floradin transferred approximately $177,000 of those funds into a different account that he controlled, knowing that the PPP funds were derived from unlawful activity. The indictment further alleges that Floradin then filed multiple (unsuccessful) “second draw” applications, attempting to once again fraudulently obtain COVID-19 assistance funds in the year 2021, including through the use of falsified federal tax forms, all in an effort to continue to enrich himself and others. TIGTA and the Florida Office of Financial Regulations investigated the case. Assistant United States Attorney Eduardo Gardea, Jr., is prosecuting it.
United States v. Izzo, Case No. 22-cr-60155
Jennifer Pamela Izzo, 34, of Coral Springs, Florida, was charged by indictment with wire fraud and aggravated identity theft for her alleged months-long embezzlement scheme against her former employer’s company, through which she misappropriated company funds and attempted to personally enrich herself from a COVID-relief loan submitted on behalf of the Broward-based company. The indictment charges that from October 2019 to April 2020, Izzo abused her position as the company’s bookkeeper and accounts payable clerk by creating fictitious accounts in the names of the company’s real vendors, to carry out fraudulent charges using the company’s credit cards, ultimately funneling the funds into her own personal bank account. The indictment further charges that Izzo abused her position by filing an Economic Injury Disaster Loan, which she had been asked to file on behalf of the company to apply for federal COVID-assistance funds, but which she submitted with her own personal bank account information to personally enrich herself. The U.S. Secret Service and the Fort Lauderdale Police Department investigated the case. Assistant United States Attorney Eduardo Gardea, Jr. is prosecuting it.
United States v. Hyppolite, Case No. 22-cr-20394
Mackinson Hyppolite, 33, of Miami, was charged by indictment with using someone else’s identity to fraudulently apply to the U.S. Small Business Administration (“SBA”) for a COVID-19 relief advance grant and low-interest Economic Injury Disaster Loan (“EIDL”) loan for a company to which Hyppolite had no connection. According to the indictment, the loan application falsely certified, among other things, that an individual named “D.A.” owned the company and had suffered economic injury due to the COVID-19 pandemic. In reality, Hyppolite, not D.A., filed the application and neither Hyppolite nor D.A. had any relationship to the company. The indictment alleges that Hyppolite possessed and used D.A.’s personal identifying information without her knowledge or authorization, including her social security number. As a result of the fraudulent application, the SBA preapproved Hyppolite for a $26,600 federal loan.
The Indictment charges Hyppolite with one count of wire fraud, one count of access device fraud, and three counts of aggravated identity theft. The Office of Treasury Inspector General for Tax Administration (TIGTA) and FBI Miami investigated the case. Assistant U.S. Attorney Will J. Rosenzweig is prosecuting the case. Assistant U.S. Attorney Peter Laserna is handling asset forfeiture.
United States v. Potokri, Case No. 22-cr-60147
Obukowho Potokri, 36, of Fort Lauderdale, Florida, was charged by indictment with theft of government funds. Potokri is alleged to have fraudulently received unemployment insurance benefits that were issued to an individual named “D.M.” The Department of Labor Office of Inspector General investigated the case. Assistant U.S. Attorney Karla Albite of the Southern District of Florida is prosecuting the case. Assistant U.S. Attorney Joshua Paster is handling forfeiture.
United States v. Hilaire, Case No. 22-cr-60175
Chirac Hilaire, 41, of Broward County, Florida, was charged by indictment with wire fraud and money laundering. The indictment against Hilaire alleges that Hilaire participated in the submission of several fraudulent EIDL and PPP loan applications. Specifically, the indictment alleges that Hilaire received fraudulent PPP loan proceeds amounting to approximately $150,000 for his own company, Hilaire LLC. FBI Miami investigated the case. Assistant U.S. Attorney Lauren A. Astigarraga is prosecuting it.
United States v. Sarmiento Carrion, Case No. 22-mj-03412
Yoliesse Sarmiento, 39, of Miami, Florida, has been charged by criminal complaint with bank fraud. Sarmiento conspired with others to file a fraudulent PPP loan application. In May of 2020, he re-instated a company that had been dissolved in 2019 and listed himself as the sole officer of the company. Two weeks later, a co-conspirator submitted a fraudulent PPP loan application for the company and included a forged bank statement with the application. Sarmiento received $255,000 in PPP funds and, over two weeks, depleted the entirety of the funds. The U.S. Secret Service and SBA-OIG, with the assistance of the Miami-Dade Police Department, investigated the case. Assistant U.S. Attorney Thomas Haggerty is prosecuting it. Assistant U.S. Attorney Peter Laserna is handling asset forfeiture.
PLEASE NOTE: Criminal complaints, informations, and indictments contain mere allegations and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Six Mexican Nationals Sentenced for International Sex Trafficking OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that EFRAIN GRANADOS-CORONA, a/k/a “Chavito,” a/k/a “Cepillo,” was sentenced today to 212 months in prison in connection with trafficking three victims. Five additional defendants in this case were previously sentenced to terms of imprisonment. JULIO SAINZ-FLORES, a/k/a “Rogelio,” was sentenced on January 10, 2020, to 135 months in prison; PEDRO ROJAS-ROMERO was sentenced on December 2, 2021, to 137 months in prison; ALAN ROMERO-GRANADOS, a/k/a “El Flaco,” was sentenced on February 24, 2022, to 84 months in prison; JUAN ROMERO-GRANADOS, a/k/a “Chegoya,” a/k/a “El Guero,” was sentenced on May 3, 2022, to 108 months in prison; and EMILIO ROJAS-ROMERO was sentenced on June 9, 2022, to 136 months in prison.
U.S. Attorney Damian Williams said: “These defendants used brute force, threats of violence, and false promises to lure dozens of minors and adult victims in Mexico and the United States, traffic them into commercial sex, and collect millions of dollars in illegal proceeds. The devastation inflicted on the defendants’ victims is beyond measure. These sentencings send a clear message: those who prey on women and children to sell them into sexual slavery will be prosecuted and punished to the full extent of the law.”
According to the allegations in the Indictment to which each defendant pleaded guilty, public court filings, and statements made in court:
EFRAIN GRANADOS-CORONA, JULIO SAINZ-FLORES, JUAN ROMERO-GRANADOS, ALAN ROMERO-GRANADOS, PEDRO ROJAS-ROMERO, and EMILIO ROJAS-ROMERO, the defendants, were members of an international sex trafficking organization (the “STO”). Many of the members of the STO are related by blood, marriage, and community.
Between at least in or about 2000 and 2016, members of the STO (the “Traffickers”) used false promises, physical and sexual violence, threats, lies, and coercion to force and coerce adult and minor women (the “Victims”) to work in prostitution in both Mexico and the United States.
In most cases, a Trafficker enticed a Victim – frequently a minor – in Mexico. The Trafficker then used multiple means to isolate the Victim from her family. In some cases, the Trafficker used romantic promises to induce the Victim to leave her family and live with the Trafficker. In other cases, the Trafficker raped the Victim, making it difficult for her to return to her family due to the associated stigma of the rape. Once a Victim was separated from her family, the Trafficker frequently monitored her communications, kept her locked in an apartment, left her without food, and engaged in physical or sexual violence against the Victim.
Traffickers often told Victims that the Traffickers owed a significant debt and that the Victim needed to work in commercial sex to assist in repaying the debt. Traffickers typically began forcing the Victims to work in commercial sex in Mexico. Victims were often required to see at least 20 to 40 customers per day. Traffickers monitored the number of clients each Victim saw by surveilling the Victims, communicating with brothel workers, and by counting the number of condoms provided to each Victim. Traffickers typically required the Victims to turn over all of the commercial sex proceeds to the Traffickers.
After a Victim worked in commercial sex in Mexico for some time, Traffickers typically arranged for the Victim to be smuggled into the United States. Members of the STO assisted one another in making smuggling arrangements. In many cases, multiple Traffickers and multiple Victims were smuggled into the United States together. In other cases, one Trafficker remained in Mexico while arranging for a Victim to be smuggled together with another Trafficker and other Victims.
Once in the United States, the members of the STO generally maintained their Victims at one of several shared apartments in New York City. Victims living in the same apartment were frequently forbidden from communicating with one another. Once in the United States, Traffickers continued to use physical and sexual violence, threats, lies, and coercion to force the Victims to work in commercial sex.
In most cases, the Trafficker or another member of the STO provided Victims with contact information with which to find work engaging in commercial sex acts. The Victims typically worked weeklong shifts either in a brothel or in a “delivery service.” In a delivery service, the Victims were delivered to customers’ homes by “drivers.” These brothels and delivery services were located both within New York and in surrounding states, including, but not limited to, Connecticut, Maryland, Virginia, New Jersey, and Delaware.
Generally, each customer paid $30 to $35 for 15 minutes of sex with a Victim. Of that, half of the money typically went to the driver (in the case of a delivery service) or to the brothel. The other half went to the Victim, who was then typically forced to give all of those proceeds to the Trafficker. When a Trafficker was unavailable, a Victim would be forced to give the proceeds to another member of the STO.
The Traffickers then frequently sent, or had their Victims send, some of the commercial proceeds to Traffickers’ family members and associates in Mexico by wire transfer. Such transfers provided financial assistance to the Traffickers’ families and provided financial support to the Traffickers themselves if they returned to Mexico.
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EFRAIN GRANADOS-CORONA, 45, of Mexico, pled guilty to sex trafficking by force, fraud, and coercion, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of life in prison. In addition to the prison terms, EFRAIN GRANADOS-CORONA was ordered to pay $2,004,450 in restitution.
JULIO SAINZ-FLORES, 37, of Mexico, pled guilty to sex trafficking of a minor, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison.
JUAN ROMERO-GRANADOS, 33, ALAN ROMERO-GRANADOS, 28, PEDRO ROJAS-ROMERO, 40, and EMILIO ROJAS-ROMERO, 37, all of Mexico, pled guilty to conspiracy to commit sex trafficking by force, fraud, and coercion, which carries a maximum sentence of life in prison. In addition to the prison terms, JUAN ROMERO-GRANADOS was ordered to pay $147,600 in restitution.
The maximum and minimum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
The prosecution is being handled by the Violent and Organized Crime Unit of the U.S. Attorney’s Office for the Southern District of New York. Assistant U.S. Attorneys Jacqueline C. Kelly and Elinor L. Tarlow are in charge of the prosecution.