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Friday 19 August 2022
Former Senior U.S. Navy Employee Convicted for Bribery Conspiracy and Lying to InvestigatorsRead the Press Release
A federal jury in the District of Columbia convicted the former Director of Operations of the U.S. Navy’s Military Sealift Command Office in Busan, South Korea, today for his role in a bribery conspiracy and for lying to federal investigators.
According to court documents and evidence presented at trial, Fernando Xavier Monroy, 64, of Brentwood, New York, engaged in a conspiracy to commit bribery with the owner of DK Marine, a South Korea-based company that provided services to the U.S. Navy, and a former civilian U.S. Navy cargo ship captain. Evidence at trial proved that Monroy conspired to unlawfully provide services for the Navy ship, captained by one of Monroy’s co-conspirators, during a December 2013 port visit in Chinhae, South Korea.
Evidence at trial also proved that Monroy provided a co-conspirator with confidential and other proprietary, internal U.S. Navy information. In exchange for the steering of business and the provision of such information, the co-conspirator paid bribes to Monroy, including cash, personal travel expenses, meals and alcoholic beverages, and the services of prostitutes. Monroy also repeatedly lied to special agents of the Defense Criminal Investigative Service (DCIS) and Naval Criminal Investigative Service (NCIS) during a voluntary interview in July 2019.
Monroy was convicted of conspiracy to commit bribery, bribery, and making false statements. He is scheduled to be sentenced on Nov. 18 and faces a maximum penalty of 25 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division made the announcement.
The DCIS and NCIS investigated the case.
Trial Attorneys Sara Hallmark and Amanda Lingwood of the Justice Department’s Fraud Section are prosecuting the case.
Former Postal Service Mail Carrier Charged with Bank Fraud, ID Theft for Allegedly Stealing Jobless Benefit Debit Cards from Her Mail RouteRead the Press Release
LOS ANGELES – A former United States Postal Service mail carrier was indicted today by a federal grand jury for her role in a scheme that allegedly defrauded banks out of more than $200,000 via the theft of debit cards containing unemployment insurance benefits from her mail route and giving them to a co-schemer in exchange for cash payments and gifts.
Toya Toshell Hunter, 44, of South Los Angeles, was charged in a 20-count superseding indictment returned today along with lead defendant Michalea Latise Barksdale, a.k.a. “Miichii Bee,” 33, of Corona, whom a federal grand jury previously indicted in December 2021.
Hunter and Barksdale are charged with 12 counts of bank fraud, two counts of aggravated identity theft, and one count of debit card fraud exceeding $1,000. Hunter also is charged with three counts of embezzlement of mail by a postal employee. Barksdale faces one count of unlawful possession of 15 or more access devices (including debit cards and Social Security numbers) and one count of possession of stolen mail.
The defendants are expected to appear in United States District Court for their arraignments in the coming weeks.
According to the indictment, as part of scheme lasting from December 2014 to May 2020, Hunter used her position as a mail carrier with the United States Postal Service to steal Bank of America debit cards mailed by the California Employment Development Department (EDD) to jobless individuals. She then allegedly provided Barksdale the stolen debit cards in exchange for future payments and gifts.
Using the stolen EDD debit cards and the last four digits of the EDD cardholders’ Social Security numbers, Barksdale allegedly called the Visa vocal response unit to activate the EDD debit cards and create personal identification numbers (PINs). Once the cards had been activated, Barksdale used the stolen debit cards and fraudulently obtained PINs to make unauthorized cash withdrawals from ATMs in Corona, Compton and Fullerton, and purchases at stores throughout Southern California.
Aiding and abetting each other, Hunter and Barksdale made fraudulent and unauthorized cash withdrawals and purchases from at least 193 separate EDD cards and thereby stole from Bank of America at least $215,641 to which they were not entitled, according to the indictment.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted, Hunter and Barksdale would face statutory maximum sentences of 30 years in federal prison for each bank fraud count and 15 years in federal prison for the count of debit card fraud exceeding $1,000 in losses, plus a mandatory two-year prison sentence for aggravated identity theft. Hunter would face up to five years in federal prison for each count of embezzling mail by a postal employee. Barksdale would face up to five years in federal prison for possession of stolen mail.
The United States Postal Inspection Service, United States Postal Service – Office of Inspector General, and the United States Treasury Inspector General for Tax Administration are investigating this matter.
Special Assistant United States Attorney Kyle W. Kahan of the General Crimes Section is prosecuting this case.
Former Maui Jim Employee Charged with Mail Fraud and Wire FraudRead the Press Release
PEORIA, Ill. – A federal grand jury returned an indictment on August 16, 2022, charging a former Maui Jim employee, Erica Hornof, 35, of Bradford, Illinois, with three counts of mail fraud and three counts of wire fraud stemming from the alleged theft of sunglass parts from Maui Jim from 2021 until summer 2022.
The indictment alleges that Maui Jim, a sunglass manufacturer, maintains its world headquarters in Peoria. As a Lead Repair Technician at the facility, Hornof had access to Maui Jim’s computer systems, inventory parts, and mailroom. The indictment further alleges that Hornof stole sunglass parts and used the parts to assemble sunglasses. After assembling the sunglasses, Hornof shipped the sunglasses to two individuals who sold them on the internet. The individuals then paid Hornof through a PayPal account. The indictment also alleges that Hornof defrauded Maui Jim of over $100,000.
A summons was issued for Hornof to appear in U.S. District Court in Peoria on September 19, 2022.
If convicted, the maximum statutory penalties for each of the counts is up to 20 years’ imprisonment, up to three years of supervised release, and up to a $250,000 fine.
The Federal Bureau of Investigation is conducting the investigation. Criminal Chief Darilynn J. Knauss is representing the government in the prosecution.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Former Bookkeeper Sentenced to Prison for Stealing $600k+ from EmployersRead the Press Release
ATHENS, Ga. – The former bookkeeper for several Georgia real estate businesses who admitted to stealing more than $600,000 from her employers was sentenced to prison this week for her crimes.
Suzanne Brooks, 41, of Bogart, Georgia, was sentenced to serve 46 months in prison to be followed by three years of supervised release and was ordered to pay $610,857.99 in restitution by U.S. District Judge C. Ashley Royal on Aug. 18 after she previously pleaded guilty to wire fraud. There is no parole in the federal system.
“The U.S. Attorney’s Office will pursue cases against all those who use fraud and deception for their own profit, costing small businesses and citizens dearly,” said U.S. Attorney Peter D. Leary. “Fraud creates a chain reaction of negative consequences for both its victims and the larger community. Our office and law enforcement is committed to holding fraudsters accountable for their crimes.”
“Brooks violated the trust placed in her by her clients and will now spend time in prison paying for her crimes,” said Keri Farley Special Agent in Charge of FBI Atlanta. “Hopefully, this sentence sends a message that the FBI is dedicated to working with our partners to protect our citizens from anyone seeking to defraud innocent victims for their own personal greed.”
According to court documents, Brooks was a bookkeeper from 2013 to 2018 for two individuals who owned real estate companies in Georgia. Brooks was entrusted with access to paper checks and online banking logon credentials for their businesses at multiple FDIC-insured institutions. Brooks ultimately used business bank accounts to make multiple payments towards personal credit card balances for her and her husband with various credit card companies, without authorization from the victims. Brooks used the money to pay for her living expenses, including utilities for her home, insurance payments, restaurants, first-class travel, online shopping, retail purchases, fine jewelry and to purchase inventory for her side business selling clothing with a multi-level marketing company. When her personal credit cards developed balances, Brooks repeatedly used the victims’ funds to pay off those balances at her discretion and without their authorization. Brooks concealed her theft by falsifying Profit & Loss statements and other files in the accounting software used by the businesses, resulting in both victims believing their businesses to be less profitable than they actually were. Brooks also altered bank statement records and wrote dozens of unauthorized checks to herself. In total, Brooks caused at least $659,106.38 of intended losses to the victims.
The case was investigated by FBI. Assistant U.S. Attorney Lyndie Freeman prosecuted the case.
Former Army Officer and Attorney Arrested on Cyberstalking ChargeRead the Press Release
CHARLOTTESVILLE, Virginia – An attorney and former Army Officer assigned to the United States Army Judge Advocate General’s Legal Center and School (JAG School) in Charlottesville, was arrested over the weekend in Arkansas and charged with cyberstalking.
Manfredo Madrigal, III, 36, a former resident of Charlottesville, Virginia, is charged with cyberstalking following a series of incidents related to threats made to at least two female victims, the attempted deletion of Army materials, lying to the FBI, and coaching a witness to provide false information to the FBI.
According to court documents, Madrigal was an active duty Army Officer and attorney when he was assigned to the JAG School in Charlottesville, Virginia in early 2022. Madrigal previously served multiple overseas tours of duty as an enlisted soldier with various units, including the 75th Ranger Regiment and 82nd Airborne Division. In late February 2022, Madrigal was discharged from the Army and JAG School for failing to report a previous conviction for driving under the influence (DUI).
In the overnight hours between February 6 and 7, 2022, and while his Army discharge was pending, Madrigal attempted to delete, without authorization, online JAG training materials. Madrigal filmed himself doing so and narrated his motivations. In the video, Madrigal stated, “I’m gonna fu** you,” and “I’m going to bring their house down on them.” The same evening, Madrigal contacted Victim 1 and informed her that Russia reached out to him, wanted to know what he knew, and that he intended to travel to Russia. Madrigal’s cellphone records indicate he contacted the Russian embassy.
On February 22, 2022, Madrigal was discharged from the JAG School and claimed in out-processing paperwork that he had no unreported contact with a foreign national, which was contrary to Madrigal’s phone records and statements to Victim 1.
In April and May 2022, Madrigal was interviewed by the FBI about his actions. In these interviews, Madrigal made multiple false statements regarding his foreign contact and the deletion of the training materials. For example, Madrigal claimed he learned of the deletion from a coworker, but denied any involvement. Per text messages, however, Madrigal filmed his efforts to delete the module and claimed credit.
During the FBI’s investigation, agents discovered that Madrigal had been threatening Victim 1, a former romantic partner, both in-person and via electronic means. Between late 2021 and mid-2022, Madrigal sent Victim 1 messages threatening her career, family, and pets. At least three of these messages contained compromising and sexually explicit photos of Victim 1 that were taken without her consent or knowledge. Victim 1 also expressed being “terrified” of Madrigal and stated he threatened her, in-person, using a firearm at her residence and damaged her belongings.
As the FBI’s investigation progressed, agents also uncovered evidence Madrigal pressured another former romantic partner, Victim 2, to provide false information to the FBI about Madrigal. Victim 2 admitted to agents that Madrigal coached her prior to her FBI interview, and they discussed deleting incriminating text messages from his cellphone.
On August 9, 2022, Madrigal and Victim 2 were involved in a dispute in Harrison, Arkansas and Madrigal pointed a pistol at Victim 2’s head. Madrigal was arrested by local authorities in Arkansas and later transferred to federal custody to face cyberstalking charges for his conduct involving Victim 1.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division, made the announcement.
The Federal Bureau of Investigation is investigating the case.
Assistant U.S. Attorney Katie Burroughs Medearis is 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.
Former Air Force Staff Sergeant Sentenced to Serve Four Years in Federal Prison for Possessing Child PornographyRead the Press Release
OKLAHOMA CITY – KEONTE NAVON MARTIN, 28, of Virginia Beach, Virginia, was sentenced this morning to serve 48 months in federal prison for possessing child pornography, announced U.S. Attorney Robert J. Troester.
On April 8, 2021, a federal grand jury returned an Indictment against Martin, charging him with four counts of possession of child pornography. According to the United States Air Force Office of Special Investigations, Martin was an Airman employed at Tinker Air Force Base and held the rank of Staff Sergeant at the time of the incident. Martin has since been released from active duty.
On July 1, 2021, Martin pleaded guilty to Count 1 of the Indictment. As part of his plea, Martin admitted that he knowingly possessed a visual depiction that had traveled across state lines to get to Oklahoma, and that the visual depiction involved the use of minors engaging in sexually explicit conduct.
At the sentencing hearing, U.S. District Judge David L. Russell sentenced Martin to serve 48 months in federal prison for his conduct, followed by five years of supervised release. Martin was also ordered to pay a total of $10,100.00 in assessments, and forfeit the electronic devices that contained the exploitative visual depictions. In arriving at the sentence, Judge Russell noted the nature and circumstances and seriousness of the offense, as well as the need to deter others from undertaking similar conduct. Restitution owed to the identified victims in the images that Martin possessed will be determined at a later date.
Upon his release from prison, Martin will be required to register as a sex offender.
This case is the result of an investigation by the United States Air Force Office of Special Investigations. Assistant U.S. Attorney Julia E. Barry prosecuted the case.
This case is part of Project Safe Childhood, a nationwide initiative by the Department of Justice (DOJ) to combat child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the DOJ 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.
Reference is made to court filings for further information.
Florida Power Company Sentenced in Worker Death CaseRead the Press Release
Tampa, FL – A Florida corporation was sentenced in federal court in the Middle District of Florida after pleading guilty to a charge of willfully violating an Occupational Safety and Health Administration (OSHA) rule. The criminal charge related to an explosion at a coal-fired power plant in 2017 that caused the death of five workers.
Tampa Electric Company (TECO) operates several facilities in Florida, including Big Bend, a coal-fired power plant outside Tampa. At the time of the offense, the facility consisted of four large coal-fired furnaces. Underneath the furnaces were water-filled “slag tanks” designed to catch and cool a molten “slag” by-product that drips down from the furnace. On June 29, 2017, hardened slag had accumulated at the top and the bottom of one of the slag tanks and could not be removed. Rather than shutting down the furnace, TECO called in a contractor to perform high-pressure water blasting to try and clear the slag with the unit on-line. The work proceeded even though the procedure for this work could not be located. Five people were killed when one of the slag accumulations came loose, spraying the area with molten slag.
Judge Charlene Honeywell sentenced TECO to a $500,000 fine and three years of probation, along with the requirement that TECO comply with a safety compliance plan. Federal law makes it a class B misdemeanor to willfully fail to follow an OSHA safety standard, where the failure causes the death of at least one employee. The class B misdemeanor is the only federal criminal charge covering such workplace safety violations. The maximum punishment for a corporation such as TECO that violates this provision is a $500,000 fine.
“TECO’s willful violation had catastrophic consequences, including five workers dead and several more injured, underlining the importance of workplace safety standards,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The department takes this conduct very seriously, and accordingly pursued the maximum remedy available under the law.”
“Tragically, five individuals lost their lives on June 29, 2017, following the explosion at the TECO facility. Our hearts go out to the victims’ families as well as other TECO employees and contractors impacted by this catastrophic event,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “Our office is proud to have partnered with DOJ’s Environmental Crimes Section, the FBI, and the Department of Labor, Office of Inspector General to shine a light on this willful violation of OSHA safety standards in order to deter such conduct and ensure that workers are protected in the future.”
In a plea agreement with the government, TECO admitted to willfully failing to hold a pre-job briefing with the workers performing the work. Such briefing should have included information about the hazards associated with the job, the work procedures involved, any special precautions, energy source controls, and personal protective equipment requirements. Instead, the work proceeded without such a briefing and in contravention of the procedures governing the work to be performed, which could not be located. As a result, certain critical safety-related steps were not taken, and five individuals lost their lives when an explosion caused a violent release of molten slag throughout the work area.
The Federal Bureau of Investigation and the Department of Labor, Office of Inspector General investigated the case.
Trial Attorney Adam Cullman of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Rachelle DesVaux Bedke for the Middle District of Florida prosecuted the case.
Florida Power Company Sentenced in Worker Death CaseRead the Press Release
A Florida corporation was sentenced in federal court in the Middle District of Florida after pleading guilty to a charge of willfully violating an Occupational Safety and Health Administration (OSHA) rule. The criminal charge related to an explosion at a coal-fired power plant in 2017 that caused the death of five workers.
Tampa Electric Company (TECO) operates several facilities in Florida, including Big Bend, a coal-fired power plant outside Tampa. At the time of the offense, the facility consisted of four large coal-fired furnaces. Underneath the furnaces were water-filled “slag tanks” designed to catch and cool a molten “slag” by-product that drips down from the furnace. On June 29, 2017, hardened slag had accumulated at the top and the bottom of one of the slag tanks and could not be removed. Rather than shutting down the furnace, TECO called in a contractor to perform high-pressure water blasting to try and clear the slag with the unit on-line. The work proceeded even though the procedure for this work could not be located. Five people were killed when one of the slag accumulations came loose, spraying the area with molten slag.
Judge Charlene Honeywell sentenced TECO to a $500,000 fine and three years of probation, along with the requirement that TECO comply with a safety compliance plan. Federal law makes it a class B misdemeanor to willfully fail to follow an OSHA safety standard, where the failure causes the death of at least one employee. The class B misdemeanor is the only federal criminal charge covering such workplace safety violations. The maximum punishment for a corporation such as TECO that violates this provision is a $500,000 fine.
“TECO’s willful violation had catastrophic consequences, including five workers dead and several more injured, underlining the importance of workplace safety standards,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The department takes this conduct very seriously, and accordingly pursued the maximum remedy available under the law.”
“Tragically, five individuals lost their lives on June 29, 2017, following the explosion at the TECO facility. Our hearts go out to the victims’ families as well as other TECO employees and contractors impacted by this catastrophic event,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “Our office is proud to have partnered with DOJ’s Environmental Crimes Section, the FBI, and the Department of Labor, Office of Inspector General to shine a light on this willful violation of OSHA safety standards in order to deter such conduct and ensure that workers are protected in the future.”
In a plea agreement with the government, TECO admitted to willfully failing to hold a pre-job briefing with the workers performing the work. Such briefing should have included information about the hazards associated with the job, the work procedures involved, any special precautions, energy source controls, and personal protective equipment requirements. Instead, the work proceeded without such a briefing and in contravention of the procedures governing the work to be performed, which could not be located. As a result, certain critical safety-related steps were not taken, and five individuals lost their lives when an explosion caused a violent release of molten slag throughout the work area.
The Federal Bureau of Investigation and the Department of Labor, Office of Inspector General investigated the case.
Trial Attorney Adam Cullman of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Rachelle DesVaux Bedke for the Middle District of Florida prosecuted the case.
Fentanyl Dealer Responsible for Dozens of Drug Overdoses Sentenced to 15 Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Thomas Barber has sentenced Marvin “MJ” Mitchell (36, St. Petersburg) to 15 years in federal prison for conspiracy and possession with the intent to distribute fentanyl, heroin, and crack cocaine. Mitchell had pleaded guilty on April 14, 2022.
According to court documents and evidence presented at his sentencing hearing, between April and June 2019, Mitchell operated several rooms at the Express Inn motel in Clearwater. Mitchell then directed his conspirators to sell fentanyl, heroin, and crack cocaine out of those motel rooms. The sale of these dangerous narcotics led to dozens of drug overdoses in the Express Inn motel, and the surrounding area. On June 17, 2019, law enforcement executed search warrants at the Express Inn and seized fentanyl, heroin, crack cocaine, used syringes, cash, and a drug ledger.
This case was investigated by the Drug Enforcement Administration, and the Pinellas Park Police Department, with assistance from the Pinellas County Sheriff’s Office, and the Pasco and Pinellas County Medical Examiner’s Office. It was prosecuted by Assistant United States Attorney Diego F. Novaes.
Federal Inmate Charged with Possessing A Homemade KnifeRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Marshall Martinez, age 37, a federal inmate, was indicted on August 16, 2022, by a federal grand jury for possessing contraband in prison.
According to United States Attorney Gerard M. Karam, the indictment alleges that on or about June 3, 2022, while an inmate at the Federal Correctional Institution, Allenwood, in White Deer, Pennsylvania, Martinez possessed a 5-inch blade of sharpened plastic, commonly referred to as a “shank.”
The case was investigated by the Federal Bureau of Prisons and the Federal Bureau of Investigation. Special Assistant U.S. Attorney Drew O. Inman and Assistant U.S. Attorney George J. Rocktashel are prosecuting the case.
The maximum penalty under federal law for this offense is 5 years of imprisonment, a 3-year term of supervised release following imprisonment, and a $250,000 fine. 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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El Paso Property Management Company to Pay $107,000 to Resolve Alleged Violations of the Servicemembers Civil Relief ActRead the Press Release
The Justice Department today announced that Integrity Asset Management LLC, a company that manages approximately 55 multi-family apartment properties in and around El Paso, Texas, has agreed to pay $107,000 to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by charging unlawful fees to servicemembers who terminated their residential leases early and by denying other servicemembers’ requests to terminate their leases.
“The SCRA requires that landlords allow servicemembers to terminate their leases without penalty if they receive qualifying military orders,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Early lease termination rights are critically important for members of our armed forces as they limit the costs and expenses associated with military moves and deployments. This consent order reaffirms the Justice Department’s firm commitment to protecting the rights of servicemembers, veterans, and their families.”
“Our office is committed to ensuring that landlords and property managers honor the rights of servicemembers and their families who willingly sacrifice for us all,” said the United States Attorney for the Western District of Texas Ashley Hoff. “Today’s settlement will provide relief to servicemembers who were impacted by Integrity’s actions.”
The SCRA allows servicemembers to terminate a lease early after entering military service or receiving qualifying military orders, such as permanent change of station orders, orders for a deployment of at least 90 days, stop movement orders, and separation or retirement orders. If a servicemember terminates a lease due to a deployment or other qualifying military orders, the SCRA prohibits the landlord from imposing any early termination charges.
Today, the department filed a complaint in federal court alleging that Integrity charged unlawful early termination fees to at least 17 servicemembers. Some of these early termination fees took the form of “concession chargebacks,” which required the servicemembers to pay back rent concessions or discounts that they had received during their tenancies. These charges ranged from $132 to $2,032 per servicemember. The suit also alleges that Integrity wrongfully denied two other servicemembers’ lease termination requests.
Under the proposed consent order that was filed concurrent with the complaint, and which still must be approved by the court, Integrity has agreed to pay $45,325 to the affected servicemembers and a $62,029 civil penalty to the United States. The order also requires Integrity to repair the servicemembers’ credit, provide SCRA training to its employees, and develop new policies and procedures that comply with the SCRA.
The Civil Rights Division’s Housing and Civil Enforcement Section and the U.S. Attorney’s Office for the Western District of Texas jointly handled this case.
Since 2011, the department has obtained over $476 million in monetary relief for over 121,000 servicemembers through its enforcement of the SCRA. For more information about the department’s SCRA enforcement efforts, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under the SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at http://legalassistance.law.af.mil.
Dulce man indicted for kidnapping, domestic assault in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico announced today that Matthew Vicenti was arraigned on a three-count indictment charging him with assault by a habitual offender, kidnapping, and assault of an intimate partner by strangling. Vicenti, 32, of Dulce, New Mexico, and an enrolled member of the Jicarilla Apache Tribe, will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Vicenti on June 15. According to the indictment, from Dec. 26, 2021, to Dec. 28, 2021, Vicenti allegedly confined and assaulted his intimate partner, identified as Jane Doe. At the time, Vicenti had been convicted previously on at least two occasions in Tribal court of offenses against a spouse and intimate partner. On Dec. 28, 2021, Vicenti allegedly assaulted Jane Doe by strangling and suffocation.
An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Vicenti faces up to 10 years in prison for assault by a habitual offender and assault of an intimate partner by strangling. Vicenti faces up to life in prison for kidnapping.
The Jicarilla Apache Police Department investigated this case. Special Assistant United States Attorney Chelsea Van Deventer is prosecuting the case.
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Donaldsonville Man Sentenced to 140 Months in Federal Prison for Possession with the Intent to Distribute Methamphetamine and FentanylRead the Press Release
United States Attorney Ronald C. Gathe, Jr. announced that U.S. Chief Judge Shelly D. Dick sentenced Christopher John Scieneaux, age 39, of Donaldsonville, Louisiana, to 140 months in federal prison following his conviction of possession with the intent to distribute methamphetamine and fentanyl. The Court further sentenced Scieneaux to 5 years of supervised release following his term of imprisonment.
According to admissions made as a part of his guilty plea, between November 22, 2019 and January 23, 2020, the Ascension Parish Sheriff’s Office, Gonzales Police Department, and DEA used a confidential informant to conduct three controlled buys of heroin and fentanyl from Scieneaux. During the buys, law enforcement observed Scieneaux driving one of two vehicles, both of which had been registered to his girlfriend. Officers conducted surveillance at the girlfriend’s residence and confirmed Scieneaux came and went from the home at all times of the day in both vehicles.
On March 13, 2020, a traffic stop was conducted after Scieneaux left said residence, at which time a small amount of narcotics was found in the vehicle, and officers obtained and executed a search warrant at the residence. Officers were able to unlock the residence with a key found in the vehicle driven by Scieneaux.
During the search of the residence, officers located approximately 1300 grams of pure methamphetamine, 903 grams of fentanyl, and two scales (one with white residue) inside the master bedroom closet. Scieneaux’s Louisiana ID was found on top of the dresser in the master bedroom. Inside the dresser, officers found rolling papers, a marijuana grinder with residue, and four more picture identifications belonging to Scieneaux. Under the mattress in the master bedroom, $3,340 in denominations consistent with the sale of narcotics was also located.
The investigation is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program that was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
This matter was investigated by the Drug Enforcement Administration with critical assistance from the Internal Revenue Service, Ascension Parish Sheriff’s Office and Gonzales Police Department, was prosecuted by Assistant United States Attorney Jessica Jarreau, who also serves as Deputy Criminal Chief of the Organized and Violent Crime Unit of the United States Attorney’s Office.
District Court Enjoins Illinois Pharmaceutical Manufacturer from Making and Selling Adulterated DrugsRead the Press Release
A federal court today ordered an Illinois company to stop manufacturing and distributing drugs alleged to be adulterated in violation of the Federal Food, Drug, and Cosmetic Act (FDCA).
In a civil complaint filed on Aug. 17, the United States alleged that Morton Grove Pharmaceuticals Inc., violated the FDCA at the company’s facility in Morton Grove, Illinois, by manufacturing and distributing adulterated drugs. Morton Grove Pharmaceuticals makes and distributes prescription and over-the-counter drugs, such as cough syrups and nasal sprays. The Department of Justice alleged that the company violated the FDCA by failing to have adequate procedures to prevent cross-contamination of equipment, failing to reject drug lots using a contaminated ingredient, and failing to fully investigate the root cause of such contamination. The department also alleged the Food and Drug Administration (FDA) inspected the company’s facility five times, in 2011, 2014, 2016, 2019, and 2021, and that many of the violations were repeat violations the FDA had identified in earlier inspections.
The current good manufacturing practice regulations mandate that manufacturers control the processes and procedures by which drugs are manufactured, processed, packed, and held, to ensure that drugs have the identity, strength, quality, purity, and other attributes necessary for their safe and effective use. Drugs not made in conformance with current good manufacturing practice regulations are adulterated and in violation of the law. According to the Justice Department’s complaint, the FDA issued Morton Grove Pharmaceuticals several warnings, including a warning letter to the company in 2017, regarding alleged deficiencies at its facility.
“Drug manufacturers have an important responsibility to ensure drug quality and safety,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice will continue to work closely with the FDA and take action against manufacturers who fail to abide by laws designed to protect public health.”
“Pharmaceutical companies must manufacture and distribute prescription and over-the-counter drugs in compliance with federal law,” said U.S. Attorney John R. Lausch, Jr., for the Northern District of Illinois. “The U.S. Attorney’s Office is committed to working with our colleagues at the Department of Justice’s Consumer Protection Branch to ensure public health is not jeopardized.”
“Current good manufacturing practice requirements are the foundation of a safe and effective national drug supply,” said Director Donald Ashley of the FDA’s Center for Drug Evaluation and Research, Office of Compliance. “These manufacturing fundamentals are necessary to ensure the public is not put at risk from adulterated drug products. Today is a culmination of the dogged oversight needed to hold drug manufacturers accountable for the safety, efficacy, and quality of the drug products they produce as we work to best protect public health.”
The defendants agreed to settle the suit and be bound by a consent decree of permanent injunction. The negotiated consent decree entered by the court permanently enjoins the defendants from violating the FDCA, and requires, among other things, that the defendants stop manufacturing, processing, labeling, holding, or distributing adulterated drugs. Further, the defendants must destroy all drugs in the facility, except for those that are medically necessary.
Senior Litigation Counsels Donald Lorenzen and Christina Parascandola of the Civil Division’s Consumer Protection Branch prosecuted the case.
The U.S. Attorney’s Office for the Northern District of Illinois, along with Senior Counsel Michele Svonkin and Joshua A. Davenport of the FDA’s Office of Chief Counsel, provided valuable assistance.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch.
The claims resolved by the resolution announced today are allegations only and there has been no determination of liability.
Deshler Man Sentenced to 210 Months for Possession of DrugsRead the Press Release
Acting United States Attorney Steven Russell announced that Robert D. Dankemeyer, 61, of Deshler, Nebraska, was sentenced today by United States District Court Judge John M. Gerrard to a total of 210 months’ (17 ½ years) imprisonment following his conviction for possession of 50 grams or more of actual methamphetamine with the intent to distribute. Dankemeyer pleaded guilty to the offense on May 24, 2022. After he completes his prison sentence, Dankemeyer will also serve five years on supervised release. There is no parole in the federal system.
On the evening of June 22, 2020, deputies with the Thayer County Sheriff’s Department responded to reports of an armed person threatening patrons at the Fourth Street Tavern in Deshler. After interviewing witnesses, they learned that Dankemeyer had gotten into an argument with some customers in the bar. He left the bar and then returned a short time later carrying firearms, including a revolver with a scope attached. He pointed a gun at a couple of people outside the bar, and then left as the sound of sirens could be heard approaching. Later that evening, Dankemeyer was located at a gas station in Hebron, Nebraska, and arrested.
Deputies with the Thayer County Sheriff’s Department obtained a search warrant for Dankemeyer’s residence in Deshler. Inside the home they located a small amount of methamphetamine, marijuana, drug paraphernalia, several pellet and BB guns, a few large Bowie knives, and body armor. A Ford Taurus was parked at the house. Inside the trunk of the Taurus, the deputies located several firearms, about a pound of methamphetamine, about 9 sticks of dynamite, blasting caps, fuse igniters, and body armor. Once the deputies encountered the dynamite, they had to pause the search and they obtained assistance from the Nebraska State Patrol’s Hazardous Devices team.
This case was investigated by the Thayer County Sheriff’s Department, the Nebraska State Patrol, and the Lincoln/Lancaster County Drug Task Force.
Department of Justice Announces $35.7 Million in Grants for States to Support Victims of Sexual AssaultRead the Press Release
The Department of Justice today announced 56 awards totaling $35.7 million in funding from the Office on Violence Against Women (OVW) as part of the Department’s ongoing efforts to provide direct support and related assistance to victims of sexual assault. Announced in conjunction with the National Sexual Assault Conference, the Sexual Assault Services Formula Grant Program (SASP) awards include funding for each U.S. state, five U.S. territories, and the District of Columbia.
“For nearly two decades, the Justice Department’s Sexual Assault Services Program has demonstrated our commitment to providing comprehensive support to survivors of sexual assault,” said Attorney General Merrick B. Garland. “This grant funding will go directly toward strengthening the efforts of agencies and organizations across the country to provide critical services and care that survivors need and deserve.”
“Over the next year, this SASP grant funding will help tens of thousands of survivors of sexual violence access essential services,” said OVW Acting Director Allison Randall. “It is fitting to announce these awards today: SASP funding helps sexual assault survivors from every walk of life access medical care, crisis intervention, advocacy and counseling, among other services. I am so grateful to the direct service providers who ensure these services are available to survivors and provide trauma-informed care on a daily basis.”
SASP was first authorized by Congress in 2005 and is the nation’s first federal funding stream solely dedicated to providing direct intervention and related assistance to victims of sexual assault. OVW administers SASP funding according to a statutorily determined, population-based formula. States and territories, in turn, subaward the funds to rape crisis centers and other nonprofit, nongovernmental or Tribal agencies that provide direct intervention and related services to adult, youth and child victims of sexual assault.
OVW provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities across the country that are developing programs, policies and practices aimed at ending domestic violence, dating violence, sexual assault and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.
Davenport Man Sentenced to Federal Prison for False Statements During a Firearms PurchaseRead the Press Release
DAVENPORT, IA – Brent Stephen Gladwin, age 24 of Davenport, was sentenced on August 17, 2022, to 36 months in prison for three counts of False Statement During Purchase of a Firearm. Following his term of imprisonment, Gladwin was ordered to serve three years of supervised release.
The Scott County Sheriff’s office learned through an interview that Gladwin was a well-known straw purchaser in the Quad Cities who would obtain a firearm for anyone in exchange for payment of $100. During an unrelated investigation, the Bettendorf Police Department located a firearm that Gladwin had purchased in possession of another person. That individual reported having acquired several firearms through Gladwin, three of which had been recovered by law enforcement.
Gladwin purchased at least 10 firearms between January 2020 and October 2021. For each firearm purchase, Gladwin filled out a firearm purchase form and claimed to be the actual buyer of the firearm and denied being an unlawful user of controlled substances, both statements Gladwin knew to be false. Gladwin pleaded guilty on February 28, 2022.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Scott County Sheriff’s Office investigated the case.
Davenport Man Sentenced to 8 years in Federal Prison for a Firearm ChargeRead the Press Release
DAVENPORT, IA – Davantres Deshaun Moore, age 35 of Davenport, was sentenced today to 96 months in prison for being a Felon in Possession of a Firearm. Following his prison term, Moore was ordered to serve three years of supervised release.
According to court documents, Moore was arrested in possession of a loaded firearm, while in violation of a no contact order. Moore has a history of violence including multiple convictions for assault and domestic abuse assault, as well as numerous no contact order violations. He was most recently convicted for stalking in violation of a protective order and attempted burglary second degree.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This matter was investigated by the Davenport Police Department.
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. In May 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.
Covenant Health Settles Americans with Disability Act Claim with United StatesRead the Press Release
KNOXVILLE, Tenn. - The United States reached a settlement on August 19, 2022, with Covenant Health (Covenant). Covenant is a not-for-profit health care organization headquartered in Knoxville, Tennessee. Covenant operates nine hospitals in East Tennessee, including Parkwest Medical Center (PWMC). In a complaint filed in the U.S. District Court for the Eastern District of Tennessee, a complainant, who is deaf, alleged that he was denied effective communication under the Americans with Disabilities Act (ADA) during emergency department visits and an in-patient hospital admission at PWMC.
The complainant alleged he went to Covenant facilities, including PWMC, after experiencing numbness and pain in his leg. The complainant alleged that the virtual interpreter services offered were ineffective and that no live interpreter services were provided to him despite repeated requests. The complainant alleged that he did not understand the reasons for his admissions, the treatment plan, or his discharge instructions. The U.S. Attorney’s Office for the Eastern District of Tennessee opened a civil investigation into these allegations under the ADA. Covenant and the United States have reached a settlement to resolve this investigation.
In resolving the investigation, Covenant agrees to implement measures and/or ensure compliance with existing measures aimed at protecting the rights of patients and companions who are deaf or hard of hearing at its hospitals. Those measures include: (1) designating an ADA administrator at each facility to provide oversight and guidance; (2) identifying services that can provide interpreters to each facility in a timely manner; (3) providing notice to patients and their companions of their rights under the ADA; (4) developing an assessment plan to effectively determine the appropriate auxiliary aid for each situation; (5) providing ADA training; and (6) submitting compliance reports to the U.S. Attorney’s Office. The settlement agreement is effective for three years. In addition, Covenant will pay a statutory penalty to the United States in the amount of $50,000.
“The U.S. Attorney’s Office commends the complainant for sharing his experience to improve healthcare communication for other persons in the deaf community. Further, we commend Covenant Health and Parkwest Medical Center for cooperating in our investigation and working to promote effective communication with deaf individuals,” said U.S. Attorney Francis M. Hamilton III. “This agreement is a roadmap for success for public accommodations within East Tennessee that aim to improve the participation of deaf persons and other persons with hearing impairments in healthcare decisions.”
Assistant U.S. Attorney Leah W. McClanahan represented the United States in the investigation.
Members of the public should be reminded that the claims settled by this agreement are allegations only and that there has been no determination of liability.
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Chicago Man Sentenced to Additional One-Year Prison Sentence for Failing to Report to PrisonRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Bernard Thomas, 31, Chicago, Illinois, was sentenced yesterday by U.S. District Judge William M. Conley to a year in prison for failure to surrender to serve his 18-month federal robbery conviction. This sentence was ordered to run consecutive to that robbery conviction. Thomas pleaded guilty to this charge on June 2, 2022.
On January 28, 2021, Thomas was sentenced in federal court in Madison by Judge Conley to 18 months’ imprisonment for robbing Rocky’s Liquor, a business located in Madison, on December 28, 2019. During sentencing, Judge Conley ordered Thomas—who was on pretrial release—to surrender to the Bureau of Prisons on March 12, 2021 to serve his sentence. On that date, Thomas failed to surrender for service of his sentence. Almost a year later, on February 15, 2022, Thomas was arrested in Chicago by the U.S. Marshals Service.
During sentencing, Judge Conley stated that Thomas ignored the Court’s order and had to be held accountable for his actions especially in light of the serious nature surrounding his robbery conviction. Further, Thomas’ decision to abscond ultimately increased his time away from his family and will likely negatively impact his designation and security level in federal prison.
The failure to report charge against Thomas was the result of an investigation conducted by the U.S. Marshals Service. The robbery was investigated by the Madison Police Department. Assistant U.S. Attorney David J. Reinhard prosecuted this case.
Cheektowaga Man Arrested, Charged with Production and Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Dustin Coffelt, 33, of Cheektowaga, NY, was arrested and charged by criminal complaint with production and possession of child pornography. The charges carry a mandatory minimum penalty of 15 years in prison, a maximum of 30 years, and a $250,000 fine.
Assistant U.S. Attorney Maeve E. Huggins, who is handling the case, stated that according to the complaint, in July 2022, the Depew Police Department received a report that Coffelt sexually abused a 13-year-old girl (minor victim). Subsequent investigation determined that the alleged abuse may have been ongoing for several years and included communication over various social media applications and text messaging. On July 29, 2022, investigators seized Coffelt’s cell phone. Numerous sexually explicit images of the minor victim, which constitute child pornography, were recovered from the phone.
Coffelt made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and is being detained.
The complaint is the result of an investigation by the Depew Police Department, under the direction of Chief Jerome Miller, the Cheektowaga Police Department, under the direction of Chief Brian Gould, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Cheektowaga Man Arrested, Accused of Attempting to Have Sex with A 13 y/o GirlRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Mohammed Uddin, 35, of Cheektowaga, NY, was arrested and charged by criminal complaint with attempted production of child pornography and the attempted online enticement of a minor. The charges carry a minimum penalty of 15 years in prison, a maximum penalty of life, a lifetime period of supervised release, and a $250,000 fine.
Assistant U.S. Attorney, Kyle P. Rossi, who is handling the case, stated that according to the complaint, Uddin engaged sexually explicit online and text communications with who he believed was a 13 y/o female. The individual was actually an undercover FBI Child Exploitation Task Force Officer. Over a period of approximately three weeks, Uddin discussed engaging in sexual activity with the child, sent pornography to the child, talked about taking the child’s virginity, attempted to induce the child to produce and send him sexually explicit photos and videos, and formed a plan to meet the child at her Rochester home for sex.
On August 18, 2022, Uddin traveled from Cheektowaga to an address in Rochester, NY, which Uddin believed was the child’s residence, to engage in sex with the child. Uddin was immediately taken into custody, at which time investigators located a cell phone used in the crime.
Uddin made an initial appearance before U.S. Magistrate Judge Mark W. Pedersen and is being held pending a detention hearing.
The criminal complaint is the result of an investigation by the FBI’s Child Exploitation Task Force, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Cedar Rapids Man Sentenced to Federal Prison for Firearm ChargeRead the Press Release
DAVENPORT, IA – Ka’leck Travonnious Danero Daquan Bolden, age 24 of Cedar Rapids, was sentenced today to 100 months in prison for Felon in Possession of a Firearm. Following his imprisonment, Bolden was ordered to serve three years of supervised release.
On July 24, 2021, Iowa City police officers were dispatched to an apartment complex in response to a report of shots fired. Officers identified Bolden as the shooter. Bolden admitted to possessing the firearm, committing the shooting, and being a felon. In Bolden’s car, law enforcement located the firearm, which had an obliterated serial number. Bolden pleaded guilty on April 4, 2022.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa City Police Department investigated the case.
Cedar Rapids Man Sentenced to 10 Years in Federal Prison for a Firearm ChargeRead the Press Release
DAVENPORT, Iowa –Jeremiah Duwon Snead, age 32 of Cedar Rapids, was sentenced on August 17, 2022, to 120 months in prison for Felon in Possession of a Firearm. Following his imprisonment, Snead was ordered to serve three years of supervised release.
In the early morning hours of November 21, 2020, Iowa City police officers responded to a 911 call about a firearm at a residence. They located a stolen firearm on the driver’s side floorboard of a rental vehicle, later determined to be rented by Snead’s girlfriend. No one at the residence claimed association with the vehicle or the firearm, so law enforcement towed the vehicle to a secure storage bay.
When detectives arrived with a search warrant to seize the firearm two days later, it was missing. Detectives reviewed surveillance video from the tow company and surrounding businesses and saw a vehicle arrive in the area shortly after the tow truck. A male exited the vehicle, broke the window to the storage bay where the vehicle was parked, and sprinted from the building. He appeared to be carrying something in his waistband. Law enforcement located blood underneath the storage bay’s broken window, which was matched to Snead. Additional surveillance video, cell phone records, and location data corroborated the DNA results. A jury found Snead guilty on March 2, 2022.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa City Police Department investigated the case.
California Man Sentenced to 10 Years in Prison for Conspiracy to Receive and Distribute Child PornographyRead the Press Release
OAKLAND - Abel Garcia-DeLeon was sentenced to 10 years in prison for facilitating the distribution of child sex abuse materials in connection with serving as the administrator for several chatrooms designated for sharing illegal child exploitation materials, announced United States Attorney Stephanie M. Hinds and U.S. Homeland Security Investigations (HSI) San Francisco Special Agent in Charge Tatum King. The sentence was handed down by the Hon. Yvonne Gonzalez Rogers, U.S. District Court Judge.
Garcia-DeLeon pleaded guilty to the charge on June 9, 2022. According to the plea agreement, Garcia-DeLeon admitted that he agreed with another person to use the Kik social media application to receive and distribute images depicting minors engaged in sexually explicit conduct. Specifically, the plea agreement states that Garcia DeLeon, along with his co-defendant, administered a private chat group on Kik. The co-defendants organized a “Rage Bot” that instructed anyone intending to join the chat group to first send three videos depicting child pornography. Intended users were instructed to send the videos via private messenger to “verify” themselves. After the intended user delivered to the defendants the three videos, the person would be invited to enter a second private chat group. While in the second chat group, intended users would encounter another “Rage Bot” that instructed members to post videos depicting children aged ten or younger who were engaged in sexually explicit conduct. Intended users who did not post three videos within six minutes of being admitted to the group were removed from the group. Between May 8, 2020, and May 20, 2020, Garcia-DeLeon and his co-defendant were joined by at least ten other members of the chat group.
In his plea agreement, Garcia-DeLeon also admitted that he distributed to the chat group images of minors engaged in sexually explicit conduct. Further, Garcia-DeLeon acknowledged he administered several other chat groups dedicated to the exchange of child pornography. Garcia-DeLeon acknowledged that law enforcement officers searched his home on August 19, 2020, and that at that time, Garcia-DeLeon possessed on his phone at least 684 images and one video depicting minors engaged in sexually explicit conduct.
On February 9, 2021, a federal grand jury indicted Garcia-DeLeon charging him with conspiracy to receive and distribute child pornography, in violation of 18 U.S.C. §§ 2252(a)(2) and (b), and one count of distribution of child pornography, in violation of 18 U.S.C. § 2252(a)(2) and (b). Pursuant to his plea agreement, Garcia-DeLeon pleaded guilty to the conspiracy count and the substantive distribution count was dismissed at sentencing.
In addition to the prison term, Judge Gonzalez Rogers also sentenced Garcia-DeLeon to a 10-year period of supervised release that will commence after the prison term is concluded. The defendant was immediately remanded into custody.
Assistant U.S. Attorney Alexis James prosecuted the case with the assistance of Katie Turner and Kay Konopaske. The prosecution is the result of an investigation by Homeland Security Investigations and the Contra Costa District Attorney’s Office.
Burlington Resident Sentenced for Straw Purchasing FirearmRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Marissa Byrd, 30, of Burlington, Vermont, was sentenced yesterday to a two-year period of probation after her conviction for providing false or fictitious statements to a federally licensed dealer of firearms in connection with her acquisition of a firearm. United States District Judge Christina Reiss announced the sentence following a hearing in the federal courthouse in Burlington.
According to court records, Byrd pleaded guilty to the offense on April 29, 2022. The defendant acknowledged having purchased a firearm from Parro’s Gun Shop in Waterbury, Vermont in March 2021 at the request of another individual, who provided her money to complete the purchase. After acquiring the handgun, Byrd transferred it to the other individual, whom Byrd knew was prohibited from possessing firearms under federal law. As part of the purchase of the firearm, Byrd completed an ATF form falsely indicating that she was the actual purchaser of the firearm. This type of offense is commonly known as “straw purchasing,” and it is punishable by up to ten years of imprisonment.
At the sentencing hearing, both the government and defense counsel recommended a probationary sentence in light of, among other things, Byrd’s prompt acceptance of responsibility for her offense and her performance on pretrial release during the pendency of this case.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of Homeland Security Investigations. Assistant United States Attorney Matthew Lasher handled the prosecution. Byrd was represented by David Kirby, Esq.
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. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn
Buffalo Man Pleads Guilty for His Role in String of Credit Union RobberiesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.- U.S. Attorney Trini E. Ross announced today that Ronald Morris, 47, of Buffalo, NY, pleaded guilty to aggravated bank robbery, attempted bank robbery, and using, possessing, and brandishing a firearm in furtherance of a crime of violence before U.S. District Judge Richard J. Arcara. The charges carry a mandatory minimum penalty of seven years in prison, a maximum of life, and a $250,000 fine.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that Morris was involved in robbing three credit unions:
• On February 27, 2019, Morris a/k/a Cracks and Adrian D. Applewhite entered the Tonawanda Community Federal Credit Union on Delaware Street in Tonawanda, armed with a firearm. The two men forcibly took approximately $111,992.18 in United States currency before fleeing in a vehicle.
• On July 25, 2019, the defendant and Myron McCollum entered the South Towns Community Federal Credit Union on South Park Avenue in Lackawanna wearing dark colored clothing and face masks and conducted a bank robbery with pepper spray and a pistol. Morris and McCollum traversed the teller’s counter, sprayed the tellers with pepper spray, and went to the unlocked safe, forcibly taking $290,500 in United States currency.
• On November 7, 2019, Morris and Carl Wilson and Myron McCollum, armed with a pistol and donning masks and gloves, entered the Clarence Community and School Federal Credit Union on Sheridan Drive in Clarence, and conducted a bank robbery while Applewhite, the getaway driver, sat in a car nearby. Morris and his accomplices ordered all the employees to the ground and demanded money. Wilson and McCollum went behind the teller line and went through teller’s drawers, while Morris went to the vault. They forcibly took $148,793.90 in United States currency.Carl Wilson and Applewhite were previously convicted, charges remain pending against Myron McCollum.
The plea is the result of an investigation by the New York State Police, under the direction of Major Eugene Staniszewski; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the Lackawanna Police Department, under the direction of Chief Mark Packard; the Evans Police Department, under the direction of Chief Douglas J. Czora; and the Tonawanda Police Department, under the direction of Chief James P. Stauffiger.
Sentencing is scheduled for December 1, 2022, before Judge Arcara.
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Buffalo Man Arrested, Charged with Fraudulently Receiving Millions of Dollars in COVID 19 FundsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Brian A. Smith, 49, of Buffalo, NY, was arrested and charged by criminal complaint with wire fraud. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney David J. Rudroff, who is handling the case, stated that Smith, owner of B Smith and Companies, LLC, received two Paycheck Protection Program (PPP) loans and one Economic Injury Disaster Loan (EIDL), which were administered by the Small Business Administration to assist small businesses during the COVID-19 epidemic. According to the complaint, Smith submitted false documentation to the SBA and/or the financial institutions administering the PPP program, completing loan applications with fictious gross receipts, cost of goods sold, and payroll for businesses under his control. Smith is also accused of filing false tax returns misrepresenting his income to receive COVID relief loans for which he would not otherwise qualify. Smith personally received approximately $119,633.00 in EIDL and PPP loans, which he deposited into bank accounts that he controlled. The funds were ultimately used for personal expenditures at adult entertainment clubs, hotels, restaurants, cash withdrawals, and on retail goods.
In October of 2010, Smith was convicted of wire fraud in the Eastern District of Missouri and served 10 months in prison. In September 2012, Smith was convicted of wire and bank fraud in the Western District of New York and was sentenced to 63 months in prison. In September 2019, Smith was sentenced to serve an additional nine months in prison after violating the terms of his supervised release.
Smith made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and was released on conditions.The complaint is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-In-Charge Thomas Fattorusso and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Brooklyn Hospital Dietician Indicted for Fraudulent Refund ScamRead the Press Release
A New York woman was arrested today, following an indictment returned by the grand jury earlier this week charging her with filing false tax returns, obstructing the IRS, and willful failure to file tax returns.
According to the indictment, Ehrenfriede Kauapirura, of Brooklyn, filed a false 2015 amended tax return and a false 2016 tax return. On both returns, Kauapirura allegedly reported hundreds of thousands of dollars in fictitious tax withholdings, which purportedly entitled her to refunds of approximately $250,000 for each year. After allegedly determining that Kauapirura’s claims were fraudulent, the IRS began a collections proceeding to recoup the refunds paid out to Kauapirura. To thwart the IRS’s collection efforts, Kauapirura allegedly transferred money from her personal bank account to a bank account owned by a trust that she controlled. Kauapirura also allegedly submitted a bogus $1 million check drawn on a non-existent bank as payment of her tax obligations. In addition, Kauapirura allegedly did not timely file individual tax returns with the IRS for the years 2017 through 2020.
If convicted, Kauapirura faces up to three years in prison for each count of filing false tax returns, three years in prison for obstructing the IRS, and one year in prison for each of four counts of willful failure to file a tax return. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Breon Peace for the Eastern District of New York and Special Agent in Charge Tammy Tomlins Sarah of IRS-Criminal Investigation made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Michael C. Vasiliadis and Kenneth C. Vert of the Tax Division are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Baltimore Man Sentenced for Attempt to Introduce Contraband into Allenwood Federal PrisonRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Michael Dwight Smith, age 48, of Baltimore, Maryland was sentenced to 18 months of imprisonment by United States District Court Chief Judge Matthew W. Brann for attempting to provide contraband to inmates at the Federal Correctional Center, Allenwood.
According to United States Attorney Gerard M. Karam, in 2016 Smith entered a wooded area on grounds of the Allenwood prison complex dressed in camouflage. Smith possessed a backpack containing various items of contraband including synthetic marijuana, tobacco and cell-phones which were to be thrown over the fence of the Low Security institution where they would later be recovered by inmates. Smith entered a guilty plea to attempting to provide contraband in February 2022.
This case was investigated by the Federal Bureau of Investigation and the Bureau of Prisons. Assistant U.S. Attorney Geoffrey W. MacArthur is prosecuting this case.
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Baltimore Man Admits to Sex Trafficking at Least Three WomenRead the Press Release
Greenbelt, Maryland – Ryan Odell Oliver, “Dre,” “Fame,” and “Foreign”, age 40, of Baltimore, Maryland pleaded guilty on August 16, 2022, to sex trafficking at least three victims.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore; Commissioner Michael Harrison of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.
“Oliver’s sex trafficking crimes were discovered because one of his victims reached out for help,” said Erek L. Barron, U.S. Attorney for the District of Maryland. “As a result of this victim’s bravery, Oliver will now be brought to justice. If you are a survivor of human trafficking, please reach out for help and report sex traffickers at 866-DHS-2ICE.”
According to Oliver’s guilty plea, in December 2018 a female victim (Victim 1) texted a non-profit sex trafficking prevention agency that she was forced into prostitution and was being held against her will by Oliver. An Alexandria Police Department undercover detective followed up on the report and made a commercial sex date with Victim 1 in order to find her. Officers located Victim 1 at the location given for the sex date. Oliver was also at the location, but fled before he could be arrested. A second female (Victim 2) was also found at that location.
During the investigation, law enforcement spoke with three women whom Oliver was trafficking or attempting to traffic. Victim 1 and Victim 2 told law enforcement that they were trying to leave but Oliver refused to let them go. Oliver admitted that trafficked Victims 1 and 3 for his prostitution business and was attempting to sex traffic Victim 2. Oliver physically and sexually assaulted Victim 1 and Victim 2. Victim 1 and Victim 3 worked for Oliver in the Washington D.C. and Maryland area, including surrounding states. Oliver advertised all three victims online for commercial sex dates and kept all of the money made by his victims on commercial sex dates. Oliver also arranged for a tattoo artist to tattoo his nicknames “Fame” and “Foreign” on one of his victims.
As detailed in his guilty plea, Oliver gave Victim 1 daily quotas for commercial sex dates and refused to provide for Victim 1 if she did not meet the quotas. Oliver also made Victim 1 take pictures of other sex trafficking victims to advertise them for commercial sex dates. Oliver used violence against Victim 1 when she did something he thought was wrong and Oliver told Victim 1 that she was his property. Victim 3 advised that Oliver provided her with drugs, including heroin.
According to Oliver’s plea agreement, after meeting Victim 2 on a social media platform in December 2018, Oliver paid for a car to drive Victim 2 from Pennsylvania to his Baltimore residence. There, Oliver forced Victim 2 to have sex with him and choked Victim 2 because she would not comply with his sexual demands. After the assault, Victim 2 met one of Oliver’s co-conspirators, now deceased, who took her to a hotel, forced her to watch another sex trafficking victim conduct a sex date, and warned Victim 2 not to try to escape because Oliver would find her and that Oliver had a gun.
Oliver was arrested on January 11, 2019, in Baltimore. A search warrant executed at his residence recovered three cell phones, a hand-held recorder, a laptop, a ledger, a plastic bag of a white powdery substance, a 9mm firearm, and ammunition. Additionally, law enforcement discovered images of Victim 1 and Victim 3 on Oliver’s phone.
Oliver and the government have agreed that, if the Court accepts the plea agreement, Oliver will be sentenced to 15 years in federal prison. U.S. District Judge George L. Russell III has scheduled sentencing for November 28, 2022 at 9:30 a.m.
This case was investigated by law enforcement agencies that are members of the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state, and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Erek L. Barron commended HSI, the Baltimore Police Department, and the Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Colleen E. McGuinn, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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73-year-old Sioux Falls Man Sentenced for Travelling to Have Sex with a MinorRead the Press Release
Acting United States Attorney Steven Russell announced that John J. Stratman, 73, of Sioux Falls, South Dakota, was sentenced on August 18, 2022, in federal court in Omaha, Nebraska, for travelling with intent to engage in illicit sexual conduct with a minor. United States District Judge Brian C. Buescher sentenced Stratman to 135 months’ imprisonment. There is no parole in the federal system. After his release from prison, Stratman will begin a 7-year term of supervised release and will be required to register as a sex offender. Judge Buescher ordered Stratman to pay a $20,000 fine and a $5,000 special assessment. Stratman forfeited a 2019 Buick Enclave.
On October 1, 2021, Stratman contacted an individual he believed had access to 15-year-old female that Stratman could meet for sex. The individual Stratman contacted was working as an undercover law enforcement officer. From October 1, 2021, through January 4, 2022, Stratman and the undercover law enforcement officer communicated through the use of cell phones regarding the arrangement of sexual activity with the 15-year-old. During the cell phone communications, Stratman was primarily located in South Dakota and the undercover law enforcement officer was located in Omaha, Nebraska.
On January 2, 2022, Stratman booked a hotel room in Omaha which he intended to be used to meet with the 15-year-old. On January 4, 2022, Stratman traveled from South Dakota to Omaha, Nebraska, for purposes of engaging in sexual activity with the 15-year-old. After arriving in Omaha, Stratman communicated with the undercover law enforcement officer informing him he was ready to meet. When the undercover law enforcement officer arrived at the hotel, Stratman had gifts including candy and flowers he purchased for the 15-year-old. Stratman also paid the law enforcement officer $200 in cash for sexual activity he intended to have with the 15-year-old.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Omaha FBI's Child Exploitation and Human Trafficking Task Force
Thursday 18 August 2022
Wildlife Trafficker from Uganda Sentenced to 63 Months for Large-Scale Trafficking of Rhinoceros Horns and Elephant IvoryRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MOAZU KROMAH, a/k/a “Ayoub,” a/k/a “Ayuba,” a/k/a “Kampala Man,” a citizen of Liberia and resident of Uganda, was sentenced today to 63 months in prison for conspiring to traffic in millions of dollars in rhinoceros horns and elephant ivory, both endangered wildlife species, which involved the illegal poaching of more than approximately 35 rhinoceros and more than 100 elephants. The sentence was imposed by U.S. District Judge Gregory H. Woods. KROMAH was previously extradited to the United States from Uganda on June 13, 2019, to face charges in this case, and he has been detained since his arrival in the United States.
U.S. Attorney Damian Williams said: “The protection of endangered wildlife and natural resources remains a crucial and important priority for my Office. Today’s sentence demonstrates that those who are responsible for the decimation of global populations of endangered and threatened animals protected by international agreements will face serious consequences. This case also exemplifies our commitment, together with the U.S. Fish and Wildlife Service and the Drug Enforcement Administration, to work with our international partners to arrest and bring to justice in a U.S. courtroom those who commit these serious crimes abroad.”
In imposing today’s sentence, Judge Woods remarked that he agreed with the Government that a significant sentence was necessary to send a “loud and clear message” that such large-scale wildlife trafficking warrants serious consequences.
According to the charging and other documents filed in the case, as well as statements made in court proceedings:
KROMAH and two of his co-conspirators, AMARA CHERIF, a/k/a “Bamba Issiaka,” a citizen of Guinea, and MANSUR MOHAMED SURUR, a/k/a “Mansour,” a Kenyan citizen, were members of a transnational criminal enterprise (the “Enterprise”) based in Uganda and surrounding countries that was engaged in the large-scale trafficking and smuggling of rhinoceros horns and elephant ivory, both protected wildlife species. Trade involving endangered or threatened species violates several U.S. laws, as well as international treaties implemented by certain U.S. laws.
From at least in or about December 2012 through at least in or about May 2019, KROMAH, CHERIF, and SURUR conspired to transport, distribute, sell, and smuggle at least approximately 190 kilograms of rhinoceros horns and at least approximately 10 tons of elephant ivory from or involving various countries in East Africa, including Uganda, the Democratic Republic of the Congo, Guinea, Kenya, Mozambique, Senegal, and Tanzania, to buyers located in the United States and countries in Southeast Asia. Such weights of rhinoceros horn and elephant ivory are estimated to have involved the illegal poaching of more than approximately 35 rhinoceros and more than approximately 100 elephants. In total, the estimated average retail value of the rhinoceros horn involved in the conspiracy was at least approximately $3.4 million, and the estimated average retail value of the elephant ivory involved in the conspiracy was at least approximately $4 million.
Typically, the defendants exported and agreed to export the rhinoceros horns and elephant ivory for delivery to foreign buyers, including a buyer represented to be in Manhattan, in packaging that concealed the rhinoceros horns and elephant ivory in, among other things, pieces of art such as African masks and statues. The defendants received and deposited payments from foreign customers that were sent in the form of international wire transfers, some of which were sent through U.S. financial institutions, and paid in cash.
On or about March 16, 2018, law enforcement agents intercepted a package containing a black rhinoceros horn sold by the defendants that was intended for a buyer represented to be in Manhattan. From in or about March 2018 through in or about May 2018, the defendants offered to sell additional rhinoceros horns of varying weights, including horns weighing up to approximately seven kilograms. On or about July 17, 2018, law enforcement agents intercepted a package containing two rhinoceros horns weighing over five kilograms sold by the defendants that were intended for a buyer represented to be in Manhattan.
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KROMAH, 49, of Kampala, Uganda, previously pled guilty on March 30, 2022, to one count of conspiracy to commit wildlife trafficking and two counts of wildlife trafficking.
Mr. Williams praised the outstanding investigative work of the U.S. Fish and Wildlife Service and the U.S. Drug Enforcement Administration, and he thanked law enforcement authorities and conservation partners in Uganda and Kenya, including the Uganda Wildlife Authority, the Uganda Office of the Director of Public Prosecution, the Uganda Police Force, the Kenya Directorate of Criminal Investigations, and the Kenyan Office of the Director of Public Prosecutions, for their assistance in this investigation. Mr. Williams also thanked the U.S. Department of State and the U.S. Department of Justice’s Office of International Affairs for their assistance.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Sagar K. Ravi and Jarrod L. Schaeffer are in charge of the prosecution.
West Virginia County Deputy Sheriff Charged with Using Excessive Force and Engaging in Cover-UpRead the Press Release
CLARKSBURG, WEST VIRGINIA — A federal court unsealed a two-count indictment today against Monongalia County, West Virginia, Deputy Sheriff Lance Kuretza, 38, for depriving an individual of his civil rights by using excessive force and for writing a false report to cover it up.
According to the indictment, on Jan. 20, 2018, while on duty, Deputy Kuretza subjected the victim to excessive force by punching and elbowing him in the face and, after the victim was handcuffed, spraying him with pepper spray and striking him. The offense resulted in bodily injury and included the use of a dangerous weapon. The indictment further alleges that Deputy Kuretza falsified his use of force report by claiming he used pepper spray before the victim was handcuffed, and by omitting any documentation of post-handcuffing force.
Kuretza was arrested earlier this morning and is scheduled to make his initial court appearance later this morning. If convicted, Kuretza faces up to 10 years in prison for the civil rights violation and up to 20 years in prison for falsifying the report.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney William Ihlenfeld for the Northern District of West Virginia and Special Agent in Charge Michael D. Nordwall of the FBI Pittsburgh Field Office announced the indictment.
The FBI is investigating the case, with the support of the Monongalia County Sheriff's Office.
Assistant U.S. Attorney Sarah E. Wagner for the Northern District of West Virginia and Trial Attorney Kyle Boynton of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an allegation of criminal conduct, and the defendant is presumed innocent until proven guilty.
West Virginia County Deputy Sheriff Charged with Using Excessive Force and Engaging in Cover-UpRead the Press Release
A federal court unsealed a two-count indictment today against Monongalia County, West Virginia, Deputy Sheriff Lance Kuretza, 38, for depriving an individual of his civil rights by using excessive force and for writing a false report to cover it up.
According to the indictment, on Jan. 20, 2018, while on duty, Kuretza subjected the victim to excessive force by punching and elbowing him in the face and, after the victim was handcuffed, spraying him with pepper spray and striking him. The offense resulted in bodily injury and included the use of a dangerous weapon. The indictment further alleges that Kuretza falsified his use of force report by claiming he used pepper spray before the victim was handcuffed, and by omitting any documentation of post-handcuffing force.
Kuretza was arrested earlier this morning and is scheduled to make his initial court appearance later this morning. If convicted, Kuretza faces up to 10 years in prison for the civil rights violation and up to 20 years in prison for falsifying the report.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney William Ihlenfeld for the Northern District of West Virginia and Special Agent in Charge Michael D. Nordwall of the FBI Pittsburgh Field Office announced the indictment.
The FBI is investigating the case, with the support of the Monongalia County Sheriff's Office.
Assistant U.S. Attorney Sarah E. Wagner for the Northern District of West Virginia and Trial Attorney Kyle Boynton of the Civil Rights Division’s Criminal Section are prosecuting the case.
An indictment is merely an allegation of criminal conduct, and the defendant is presumed innocent until proven guilty.
Washington Woman Sentenced to Five Years for Trafficking over 100 Kilos of Marijuana Through South DakotaRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Tacoma, Washington, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 15, 2022, by U.S. District Judge Karen E. Schreier.
Mei Ying Li, age 42, was sentenced to five years in federal prison, followed by four years of supervised release. She was also ordered to pay $100 to the Federal Crime Victims Fund.
Li was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in March of 2021. She pled guilty on May 23, 2022.
In June of 2020, Li reached an agreement to distribute 100 kilograms or more of a mixture and substance containing marijuana, a schedule I controlled substance, in the District of South Dakota.
While she was actively involved in the conspiracy, she accompanied a co-conspirator on multiple trips to deliver marijuana. Li would obtain marijuana from one co-conspirator and then deliver it to another co-conspirator for him to drive and deliver it to additional co-conspirators in other states. Li’s co-conspirator drove the marijuana in his vehicle, while she accompanied him in a different vehicle to serve as protection from law enforcement. During one such trip on December 12, 2020, her co-conspirator drove a vehicle that contained approximately 151.95 kilograms of marijuana through the state of South Dakota, when he was pulled over and the vehicle was searched. Her involvement in the conspiracy ended on December 12, 2020, when she was arrested following this incident.
This case was investigated by the South Dakota Highway Patrol and the Drug Enforcement Administration. Assistant U.S. Attorney Mark Hodges prosecuted the case.
Li was immediately turned over to the custody of the U.S. Marshals Service.
Ventura County’s Organized Health System and 3 Medical Providers Agree to Pay $70.7 Million to Settle False Claims Act AllegationsRead the Press Release
LOS ANGELES – Ventura County’s organized health system and three medical care providers have agreed to pay a total of $70.7 million to settle allegations that they broke federal and state laws by submitting or causing the submission of false claims to Medi-Cal related to Medicaid Adult Expansion under the Patient Protection and Affordable Care Act (ACA), the Justice Department announced today.
The parties that entered into the three separate settlement agreements are:
- Ventura County Medi-Cal Managed Care Commission which does business as Gold Coast Health Plan, a county-organized health system (COHS) that contracts to arrange for the provision of health care services under California’s Medicaid program (Medi-Cal) in Ventura County;
- Ventura County, which owns and operates Ventura County Medical Center, an integrated health care system that provides hospital, clinic, and specialty services;
- Dignity Health, a San Francisco-based not-for-profit hospital system that operates two acute care hospitals in Ventura County; and
- Clinicas del Camino Real, Inc. (Clinicas), a non-profit healthcare organization headquartered in Camarillo.
Pursuant to the ACA, beginning in January 2014, Medi-Cal was expanded to cover the previously uninsured “Adult Expansion” population—adults between the ages of 19 and 64 without dependent children with annual incomes up to 133 percent of the federal poverty level. The federal government fully funded the expansion coverage for the first three years of the program.
Pursuant to contracts with California’s Department of Health Care Services (DHCS), if a California COHS did not spend at least 85 percent of the funds it received for the Adult Expansion population on “allowed medical expenses,” the COHS was required to pay back to the state the difference between 85 percent and what it actually spent. California, in turn, was required to return that amount to the federal government.
The three settlements resolve allegations that Gold Coast, Ventura County, Dignity, and Clinicas knowingly submitted or caused the submission of false claims to Medi-Cal for “Additional Services” provided to Adult Expansion Medi-Cal members between January 1, 2014, and May 31, 2015. The United States and California alleged that the payments were not “allowed medical expenses” under Gold Coast’s contract with DHCS, were pre-determined amounts that did not reflect the fair market value of any Additional Services provided, and/or the Additional Services were duplicative of services already required to be rendered. The United States and California further alleged that the payments were unlawful gifts of public funds in violation of Article IV, Section 17 of the Constitution of California.
As a result of the settlements, Gold Coast will pay $17.2 million to the United States; Ventura County will pay $29 million to the United States; Dignity will pay $10.8 million to the United States and $1.2 million to the State of California; and Clinicas will pay $11.25 million to the United States and $1.25 million to the State of California.
“We will pursue every health plan and provider that prioritizes profits over patients,” said Acting United States Attorney Stephanie S. Christensen. “The money at issue in this case was designated by the federal government to pay for services to treat Medicaid expansion patients, and it never should have been used to pay for services that were already – or, simply never – provided. Medicaid is a taxpayer-funded program that exists to help patients afford health care, and it never should be used to line the pockets of health care providers through fraudulent schemes.”
“Federal health care funds are not intended to serve as a blank check,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Health systems and health care providers will be held accountable when they misuse such funds, including funds intended to support Medicaid expansion programs.”
“Medicaid expansion programs were created to ensure access to coverage for those in need of health care services. Anyone who illegitimately diverts Medicaid funding for their own financial gain prevents valuable taxpayer dollars from being used for their intended purpose,” said Special Agent in Charge Timothy DeFrancesca of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG). “HHS-OIG will not hesitate to investigate and pursue all forms of health care fraud.”
“Medi-Cal props up our communities by providing access to free or affordable healthcare services for millions of Californians and their families. Those who attempt to cheat the system are cheating our communities of essential care,” said California Attorney General Rob Bonta. “I want to express my gratitude to the United States Department of Justice and the United States Attorney’s Office in Los Angeles for their extensive efforts throughout the course of this investigation. The California Department of Justice and our law enforcement partners will continue to hold accountable those who defraud the Medi-Cal program, and protect those it serves.”
Contemporaneous with the False Claims Act settlement, the U.S. Department of Health and Human Services agreed to release its right to exclude Gold Coast and Ventura County in exchange for their agreements to enter into 5-year Corporate Integrity Agreements (CIAs). The CIAs require, among other things, that Gold Coast and Ventura County each implement centralized risk assessment programs as part of their compliance programs and each hire an Independent Review Organization to complete annual reviews. Gold Coast’s annual reviews will focus on its calculation and reporting of Medical Loss Ratio (MLR) data under Medi-Cal, while Ventura County’s annual reviews will target hospital claims submitted to Medicare and Medicaid, including claims submitted to Medicaid managed care organizations.
The civil settlements include the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Atul Maithel, Gold Coast’s former controller, and Andre Galvan, Gold Coast’s former director of member services. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The whistleblowers also alleged claims under the California False Claims Act. The qui tam case is captioned United States of America, et al. ex rel. Maithel, et al. v. Ventura Co. Medi-Cal Managed Care Commission d/b/a Gold Coast Health Plan, et al., No. 15-7760AB TJH (JEMx) (C.D. Cal.).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the U.S. Attorney’s Office for the Central District of California, and the California Department of Justice, with assistance from HHS-OIG and DHCS.
The investigation and resolution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
Assistant United States Attorney Jack D. Ross of the Civil Division’s Civil Fraud Section and Trial Attorneys Alison Rousseau and Mary Beth Hickcox-Howard of the Justice Department’s Fraud Section handled this case.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
U.S. Government Seeks Information from Victims of Theranos FraudsRead the Press Release
SAN JOSE, CALIF. – The United States Attorney’s Office for the Northern District of California and law enforcement agencies have issued a call for information from victims of frauds perpetrated by Elizabeth Holmes and Ramesh Balwani in connection with their company, Theranos, Inc. The information is being sought in connection with the upcoming sentencings of Holmes and Balwani. Information obtained from victims may be presented to the Court for consideration in connection with the upcoming sentencing hearings of the two Theranos, Inc. officers.
On January 3, 2022, a jury in the Northern District of California returned a verdict finding Defendant Holmes guilty of conspiracy to commit wire fraud against Theranos investors, in violation of 18 U.S.C. § 1349, and three counts of wire fraud against Theranos investors, in violation of 18 U.S.C. § 1343.
On July 7, 2022, a separate jury in the Northern District of California returned a verdict finding Defendant Balwani guilty of conspiracy to commit wire fraud against Theranos investors, in violation of 18 U.S.C. § 1349, conspiracy to commit wire fraud against Theranos paying patients, in violation of 18 U.S.C. § 1349, six counts of wire fraud against Theranos investors, in violation of 18 U.S.C. § 1343, and four counts of wire fraud against Theranos paying patients, in violation of 18 U.S.C. § 1343.
Defendant Holmes is scheduled to be sentenced October 17, 2022. Defendant Balwani is scheduled to be sentenced November 15, 2022.
The United States Attorney’s Office for the Northern District of California and investigating agencies are seeking information from those who may be victims of the Defendants’ crimes.
Simultaneous with this release, the United States Attorney’s Office for the Northern District of California is distributing questionnaires, requesting information and statements about the impact of the frauds committed by the Defendants. The questionnaires are available online at the following website: https://www.justice.gov/usao-ndca/us-v-elizabeth-holmes-et-al. All responses are voluntary, but complete submissions will be useful in identifying respondents as potential victims and supplying the Court with the information necessary for sentencing. It is requested that respondents submit their statements via email as indicated on those questionnaires. Based on the information submitted, respondents may be contacted by law enforcement agencies and asked to provide additional information.
Both Defendants are currently free on bond pending sentencing. Defendants face a maximum sentence of twenty (20) years in prison, and a fine of $250,000, plus restitution, for each count of conviction. However, any sentence would be imposed by the Court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The announcement was made by United States Attorney Stephanie M. Hinds; Federal Bureau of Investigation (FBI) Special Agent in Charge Sean Ragan; Food and Drug Administration (FDA) Assistant Commissioner for Criminal Investigations Catherine A Hermsen; and U.S. Postal Inspection Service (USPIS) San Francisco Division Acting Inspector-In-Charge Kevin Rho.
Assistant U.S. Attorneys Robert S. Leach, Jeff Schenk, John C. Bostic, and Kelly Volkar are prosecuting the case with the assistance of Lakisha Holliman, Madeline Wachs, Sarah Slattery, Elise Etter, Susan Kreider, and Leeya Kekona. The prosecution is the result of an investigation by the FBI, USPIS, and FDA Office of Criminal Investigations.
Two charged in $6M pediatric dental Medicaid fraud/kickback schemeRead the Press Release
HOUSTON – An operator and manager at a dental clinic have been charged for their roles in a health care fraud scheme involving $6 million in claims to Medicaid, announced U.S. Attorney Jennifer B. Lowery.
Authorities took Ifeanyi Ndubisi Ozoh, 51, Houston, into custody today. He is expected to make his initial appearance tomorrow before U.S. Magistrate Judge Sam Sheldon at 2 p.m. Also charged is Rene Fernandez Gaviola, 65, also of Houston. He had been previously arrested on similar charges Aug. 1. He is expected to appear on the new charges in the indictment in the near future.
On Aug. 16, a federal grand jury returned the 13-count indictment which was unsealed upon Ozoh’s arrest today.
According to the charges, Gaviola was the operator, while Ozoh was the manager of Floss Family Dental Care clinic located in Houston.
The indictment alleges Gaviola and other employees submitted false and fraudulent claims to Medicaid for dental services such as cavity fillings that were never provided as billed. Gaviola and Ozoh also allegedly paid kickbacks to marketers and caregivers of children Medicare insures to bring them to Floss for dental services.
Gaviola also employed at least one individual to practice pediatric dentistry without a license and billed Medicaid for their services, according to the charges.
The indictment further alleges Gaviola laundered Medicaid monies from the Floss business bank account to his personal bank account in several transactions exceeding $100,000.
From 2019 to 2021, the dental company allegedly billed Medicaid for nearly $6.9 million for which Medicaid paid approximately $4.9 million. Many of the dental services were not provided or that unlicensed and non-enrolled individuals had administered.
If convicted, Ozoh and Gaviola face up to five years in federal for conspiracy to pay and receive kickbacks. Gaviola also faces up to 10 years for conspiracy to commit health care fraud and each count of health care fraud and money laundering. All charges also carry a possible $250,000 maximum fine.
The FBI, Texas Attorney General’s Medicaid Fraud Control Unit and the Department of Health and Human Services - Office of Inspector General conducted the investigation with assistance of Customs and Border Protection. Special Assistant U.S. Attorney Kathryn Olson is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Two Nashville Pharmacies Agree to Pay $250,000 in Civil Penalties to Settle Allegations of Controlled Substance Act ViolationsRead the Press Release
NASHVILLE – Bradley Home Health Care Center, Inc. and Bradley Extended Care, Inc. have agreed to pay $250,000 in civil monetary penalties to resolve allegations that they violated the recordkeeping requirements of the Controlled Substances Act (CSA), announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee. Bradley Home Health Care Center does business as Bradley Drug Company, and both companies operate pharmacies in Nashville
The United States alleged that Bradley Drug and Bradley Extended Care failed to maintain complete and accurate records of the movement of controlled substances, and omitted material information on multiple forms required by the Drug Enforcement Administration (DEA) that are used to order and track controlled substances. The United States also alleged that Bradley Extended Care transferred more than 5% of its controlled substance stock to Bradley Drug without registering as a distributor.
“Complete and accurate records are vital to ensure the safe distribution of controlled substances and to protect against improper diversion,” said U.S. Attorney Wildasin. “Our Office is committed to and expects total compliance with the closed system of drugs created by the Controlled Substances Act.”
“Proper recordkeeping is an essential step in preventing the diversion of controlled substances,” said Special Agent in Charge Todd Scott, head of the DEA’s Louisville Division. “All DEA registrants are expected to fully comply with the Controlled Substances Act; those who don’t can expect to be penalized accordingly.”
Congress passed the CSA to combat the illegal distribution and abuse of controlled substances, including prescription medications. Under the CSA, entities registered with the DEA who purchase, distribute, dispense, transfer, or sell controlled substances must comply with strict inventory and documentation requirements. Regulations promulgated under the CSA require that each DEA registrant, including narcotic treatment programs, maintain complete and accurate inventories and records of each substance manufactured, received, sold, delivered, dispensed, or otherwise disposed of by the registrant for two years. These requirements play a vital role in ensuring the appropriate handling, accounting, and distribution of controlled substances.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
This case was investigated by the DEA’s Louisville Division - Nashville District Office, Diversion Group. The United States was represented by Assistant U.S. Attorney Ellen Bowden McIntyre.
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Todd County Man Sentenced for Abusive Sexual Contact with a ChildRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Todd County, South Dakota, man convicted of Abusive Sexual Contact With a Child was sentenced on August 15, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Conrad Good Voice, Jr., age 27, was sentenced to 20 years in federal prison, followed by seven years of supervised release, and ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $100.
Good Voice was indicted by a federal grand jury in June of 2021. He pleaded guilty on May 20, 2022.
The conviction stemmed from conduct that occurred between March 1, 2019, and March 1, 2021, in Todd County. On more than one occasion during that period, Good Voice engaged in sexual contact with the child victim, who was then between the ages of seven and nine years old.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Good Voice was immediately turned over to the custody of the U.S. Marshals Service.
Three indicted in prison homicideRead the Press Release
CLARKSBURG, WEST VIRGINIA – Three men have been indicted in connection with the beating death of James “Whitey” Bulger.
Fotios Geas, also known as “Freddy,” age 55, Paul J. DeCologero, also known as “Pauly,” 48, and Sean McKinnon, 36, were charged on Wednesday with conspiracy to commit first degree murder.
Geas and DeCologero are accused of striking Bulger in the head multiple times and causing his death in October of 2018 while all were incarcerated at United States Penitentiary Hazleton in Bruceton Mills, West Virginia. In addition to the conspiracy charge, Geas and DeCologero have been charged with aiding and abetting first degree murder, along with assault resulting in serious bodily injury.
Geas faces a separate charge for murder by a federal inmate serving a life sentence.
McKinnon faces a separate charge of making false statements to a federal agent.
Geas is still incarcerated at USP Hazelton. DeCologero is no longer being held at USP Hazelton but remains housed in the federal prison system. McKinnon was on federal supervised release at the time of the indictment and was arrested today in Florida.
Bulger was 89 years old when he died.
Assistant U.S. Attorneys Brandon S. Flower and Randolph J. Bernard are prosecuting the case on behalf of the government. The FBI and the Bureau of Prisons Special Investigative Services investigated.
An indictment is merely an accusation. The defendants are presumed innocent unless and until proven guilty.
View the indictment here.
Taunton Woman Pleads Guilty to Possessing Cocaine with Intent to DistributeRead the Press Release
BOSTON – A Taunton woman pleaded guilty today in federal court in Boston to cocaine possession charges.
Kiyanna Ambers, 42, pleaded guilty to one count of possessing with intent to distribute cocaine base and cocaine. U.S. District Court Judge Richard G. Stearns scheduled sentencing for Aug. 22, 2023, when Ambers is set to complete the Court-run RISE (Repair, Invest, Succeed, Emerge) Program. Ambers was indicted by a federal grand jury in August 2020.
On June 29, 2020, following a multi-week investigation into Ambers and her associates, investigators executed a search warrant at Ambers’ residence. During the search warrant, investigators located multiple baggies of white powder containing a total of over 340 grams of cocaine and cocaine base, as well as approximately $11,462 in Ambers’ home.
The charge of possession with intent to distribute cocaine base and cocaine provides for up to 20 years in prison, at least three years and up to a lifetime of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Assistant U.S. Attorney Lauren A. Graber of Rollins’ Criminal Division is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Taunton Man Arrested for Illegal Firearms DealingRead the Press Release
BOSTON – A Taunton man was arrested today for allegedly manufacturing and dealing firearms without license, including ghost guns.
William Viera, 33, was charged with one count of dealing in firearms without a license. Following an initial appearance today in federal court in Boston before U.S. District Court Magistrate Judge M. Page Kelley, Viera was detained pending a detention hearing scheduled for Aug. 22, 2022.
According to the charging documents, beginning in or around April 2022, federal agents identified Viera as an illegal firearms dealer and ghost gun manufacturer. Ghost guns, or privately made firearms (PMFs), are firearms assembled or otherwise produced by a person other than a licensed manufacturer, often without a serial number. In April 2022, through the use of a cooperating witness, agents contacted Viera about available firearms. It is alleged that in the communications, Viera stated he owned a 3D printer which he used to manufacture PMFs, including a Glock-style PMF. Viera also allegedly made completed firearms from unfinished firearms kits, and sold the completed firearms to other individuals. The cooperating witness subsequently met with Viera at his residence on multiple occasions, where Viera was allegedly observed in possession of a Glock-style PMF. Between July 15, 2022, and Aug. 8, 2022, Viera sold three Glock style PMFs and ammunition to the cooperating witness during three separate controlled purchases.
Viera does not possess a federal firearms license and is prohibited from possessing any firearms or ammunition due to prior felony convictions, including a 2012 conviction in Bristol County for armed robbery for which he was sentenced to two to five years in prison.
The charge of dealing in firearms without a license provides for a sentence of up to 5 years in prison, up to three years of supervised release and a fine of $ 250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement. Valuable assistance was provided by the Taunton Police Department. Assistant U.S. Attorney Charles Dell’Anno of Rollins’ Major Crimes Unit is 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.
Statement from U.S. Attorney Rachael S. Rollins Regarding United States V. Geas, DeCologero and McKinnonRead the Press Release
“Today our hearts are with the 19 known murder victims and their loved ones, as well as anyone ever harmed by this man. He was a serial murderer, and each mention of his name is a trigger to the families he devastated, reopening wounds that we can only hope had finally started to heal.
With the indictment announced today, the U.S. Attorney for the Northern District of West Virginia has started the process of holding the men alleged to have violently ended a life accountable. In the truest of ironies, Bulger’s family has experienced the excruciating pain and trauma their relative inflicted on far too many, and the justice system is now coming to their aid.
In honor of the memory and lives of the 19 known murder victims we fought tirelessly for here in the District of Massachusetts, we list each of their names below.
Arthur Barrett
John Callahan
Richard Castucci
Edward Connors
Debra Davis
Michael Donahue
Edward Halloran
Deborah Hussey
Thomas King
Francis Leonard
Paul McGonagle
John McIntyre
Michael Milano
Alfred Notorangeli
William O’Brien
James O’Toole
Albert Plummer
James Sousa
Roger Wheeler”
South Los Angeles Street Gang Targeted in Federal Racketeering Indictment that Alleges Narcotics, Firearms and Extortion OffensesRead the Press Release
LOS ANGELES – Authorities this morning arrested 28 members and associates of the South Los Angeles-based Eastside Playboys street gang on federal racketeering, narcotics and firearms charges. Today’s arrests stem from six grand jury indictments, one of which alleges a racketeering scheme and includes allegations of narcotics and weapons trafficking, as well as the extortion of local businesses.
One of the indictments alleges that the gang is a criminal enterprise under the Racketeer Influenced and Corrupt Organizations (RICO) Act. This indictment outlines the structure of the gang, its allegiance to the Mexican Mafia prison gang, and how it generates revenue through, among other things, the sale of narcotics and firearms.
Those arrested today are among 41 members and associates of the gang named across the six indictments. Three of the defendants were already in custody, and law enforcement continues to search for 10 defendants.
During this investigation, the Los Angeles Metropolitan Task Force on Violent Gangs seized from the Playboys and their associates approximately 47 firearms, 199 kilograms of methamphetamine, 13.6 kilograms of fentanyl, 27 kilograms of cocaine, 7.6 kilograms of heroin, 283 kilograms of marijuana, and $140,000 in cash. The RICO indictment further alleges that members of the racketeering enterprise operated two unlicensed marijuana dispensaries.
“This case is the culmination of years of work by our agents and prosecutors, alongside our local law enforcement partners, to remove violent gang members from our streets and dismantle the criminal organizations that fuel violent crime,” said Attorney General Merrick B. Garland. “The Justice Department has no tolerance for violent gangs that sow fear and terror in our communities, and we will continue to use every tool we have to stop them and bring them to justice.”
“The indictments unsealed today charge a gang that stands accused of plaguing South Los Angeles for 50 years through repeated acts of violence, drug trafficking, extortion of local businesses, and weapons violations,” said Acting United States Attorney Stephanie S. Christensen. “Today’s coordinated law enforcement action targeted the Playboys street gang because of its alleged widespread criminal conduct, as well as the fear and intimidation its members imposed on our community.”
“Members and associates of this gang have built a criminal enterprise by trafficking in guns and deadly drugs, by extorting business owners, and by terrorizing victims with violent assaults and robberies,” said Amir Ehsaei, the Acting Assistant Director in Charge of the FBI’s Los Angeles Field Office. “The FBI will continue to work with our local partners to identify the gangs wreaking havoc on our communities and to use federal tools to hold major offenders accountable for their crimes.”
“I am proud of the hard work and dedication of our LAPD officers, the FBI and the Los Angeles Metropolitan Task Force on Violent Gangs on such a demanding investigation,” said Los Angeles Police Department Chief Michel Moore. “Organized street gangs prey upon our communities with violence, intimidation and fear. Their tradecraft is furthered by the trafficking of dangerous firearms and narcotics. As in this case, and others, with strong federal partners and the support of our communities we are able to remove the distributors and root cause of such violence from of our neighborhoods.”
Today’s arrests are the result of an investigation that was opened about four years ago by the FBI and the multi-agency Los Angeles Metropolitan Task Force on Violent Gangs. The investigation, dubbed Operation Down the Rabbit Hole, utilized an array of tactics, including wiretaps and surveillance, to uncover evidence of extortion of businesses, violent robberies, burglaries, narcotics and firearms trafficking, and violence against their own members as “discipline” for violating gang rules and norms.
As part of the overall racketeering enterprise, some defendants engaged in large-scale drug trafficking, including sending kilogram quantities of cocaine, methamphetamine and fentanyl through the United States Postal Service, FedEx and United Parcel Service. Some defendants also allegedly distributed cocaine, methamphetamine, fentanyl powder and counterfeit fentanyl-laced pills in Los Angeles and Orange counties.
The 44-count RICO indictment charges 18 defendants, nine of whom are named in the racketeering conspiracy count. Various defendants are also charges with Hobbs Act conspiracy and robbery; a drug trafficking conspiracy; distribution and possession with intent to distribute controlled substances; using and possessing a firearm in furtherance of a crime of violence and a drug trafficking crime; being a felon in possession of firearms and ammunition; and engaging in the business of dealing in firearms without a license.
The lead defendant in the RICO indictment is Eliseo Luna, 47, of South Los Angeles, who acted as overall “shot caller” for the gang, according to the indictment. Luna – who used a number of monikers, including “Chilo,” “Crazy,” “Toca” and “El Abogado” – allegedly oversaw the Playboys’ drug trafficking activities, gave orders to Playboys’ general leadership and membership, and authorized the assault and murder of members in bad standing with Playboys.
The 110-page RICO indictment alleges that four of the defendants participated in a March 2020 home invasion robbery of a marijuana dealer at a residence in Woodland Hills. In a subsequent conversation with Luna outlined in the indictment, one of the alleged robbers described the home invasion robbery, including the restraint of the victim, the theft of up to $50,000 in cash and approximately 10 pounds of marijuana, and a gun fight between the robbers and the victim, which resulted in one of the robbers being shot in the stomach by the robbery victim.
The RICO indictment outlines numerous conversations about criminal acts and specifically alleges that several gang members possessed approximately 3.3 kilograms of heroin at one point. One defendant also allegedly participated in the attempted murder of a Playboys member who was stabbed in the head and torso multiple times for betraying the gang.
A second indictment unsealed today names 17 defendants, all of whom are charged with participating in a narcotics-trafficking conspiracy. One of the defendants – Elvis Arreguin, 31, of San Pedro – allegedly maintained a laboratory in Long Beach where fentanyl and methamphetamine were processed.
“On July 7, 2021, defendant Arreguin and a co-conspirator drove together to a UPS store in Long Beach, California, where the co-conspirator dropped off a package containing approximately 10.007 kilograms of fentanyl that were packaged in one-kilogram bundles and covered in mustard,” the indictment alleges.
Another indictment charges four defendants with participating in a scheme to distribute methamphetamine, heroin, cocaine and fentanyl. The lead defendant in this case, Francisco Soria, 29, of South Los Angeles, an alleged member of a Latino street gang in Watts with close ties to the Playboys, is charged with possessing with the intent to distribute approximately 12 ounces of fentanyl, 20 ounces of heroin, and more than an ounce of methamphetamine. Soria also allegedly possessed two firearms – one of which was a 9mm “ghost gun” – in furtherance of drug trafficking.
The other three indictments unsealed today charge individual defendants with drug trafficking offenses, including Rene Paul Romero, a.k.a. “Capone,” 45, of Whittier, who allegedly knowingly distributed approximately 436 grams (nearly one pound) of methamphetamine.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The defendants arrested today are expected to be arraigned this afternoon in United States District Court in downtown Los Angeles.
The RICO conspiracy and Hobbs Act robbery charges each carry a statutory maximum sentence of 20 years in federal prison. The narcotics and firearms offenses carry a range of potential sentences, many of which include a mandatory minimum sentence of at least five years in prison.
Operation Down the Rabbit Hole was led by the Los Angeles Metropolitan Task Force on Violent Gangs which is comprised of the FBI and the Los Angeles Police Department. Considerable assistance was provided by the Bureau of Alcohol Tobacco Firearms and Explosives; the Drug Enforcement Administration; the United States Marshals Service; the Joint Regional Intelligence Center; the Los Angeles County Sheriff’s Department; the United States Bureau of Prisons; the California Department of Corrections and Rehabilitation; and the Los Angeles County Probation Department.
Assistant United States Attorneys Damaris Diaz and Claire E. Kelly of the Violent and Organized Crime Section, and Christopher C. Kendall and Maria Elena Stiteler of the International Narcotics, Money Laundering, and Racketeering Section are prosecuting these cases.
South Charleston Man Sentenced to More than 20 Years in Prison for Major Role in Multi-State Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – Timothy Wayne Dodd, 46, of South Charleston, was sentenced today to 21 years and seven months in prison, to be followed by five years of supervised release, for helping to operate a large-volume methamphetamine conspiracy in and around St. Albans and South Charleston during the summer of 2021.
A federal jury found Dodd guilty of conspiracy to distribute 500 grams or more of methamphetamine on March 24, 2022. Evidence at trial revealed that Dodd and co-defendant Shane Kelly Fulkerson divided large shipments of methamphetamine into pound and half-pound quantities for local dealers to distribute. Fulkerson would travel to Kentucky approximately once per week to obtain 20 or more pounds of methamphetamine at a time. Dodd collected and paid Fulkerson $137,740 in drug proceeds between July 10, 2021, and August 11, 2021.
Trial evidence further showed that Dodd continued to collect drug proceeds for Fulkerson following Fulkerson’s arrest and detention on August 12, 2021. Dodd also removed evidence from Fulkerson’s residence following Fulkerson’s arrest but prior to law enforcement officers arriving with a search warrant.
Fulkerson was sentenced to 19 years and seven months in prison on June 16, 2022. Dodd and Fulkerson are among 17 individuals charged with various drug and firearms offenses in three separate indictments resulting from a long-term investigation the methamphetamine conspiracy. All 17 defendants have been convicted.
Dodd was on parole at the time he committed this offense, and has prior felony convictions for drug crimes:
- For attempting to manufacture methamphetamine in United States District Court for the Southern District of West Virginia on October 31, 2002.
- For attempted possession with intent to deliver methamphetamine in Roane County Circuit Court on October 27, 2014.
- For possession with intent to deliver methamphetamine and conspiracy to deliver methamphetamine in Kanawha Circuit Court on November 26, 2019.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Charleston Police Department, the Kanawha and Putnam County Sheriff’s Departments, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the Metropolitan Drug Enforcement Network Team (MDENT).
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorneys Joshua Hanks and Alex Hamner prosecuted the case.
This prosecution was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00172, 2:21-cr-00171, and 2:21-cr-00211.
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Slidell Woman Pleads Guilty to FEMA FraudRead the Press Release
NEW ORLEANS, LOUISIANA – SCHSHINETIA ANDERSON, age 44, a resident of Slidell, Louisiana, pled guilty on August 11, 2022 to FEMA fraud announced U.S. Attorney Duane A. Evans. The defendant is scheduled to be sentenced before the Honorable Mary Ann Vial Lemmon on November 10, 2022. The defendant faces a maximum sentence of 5 years imprisonment, up to a $250,000 fine, up to 3 years of supervised release, and a $100 mandatory special assessment fee.
According to court documents, on or about August 18, 2016, ANDERSON filed a fraudulent request for financial assistance due to a natural disaster related to the alleged loss of her primary residence. In truth and in fact, as she well knew, the house she had been renting did not sustain any damage and she prepared false records claiming that it had. She also prepared false and inflated rent lease agreements to increase the funds she received from FEMA. ANDERSON received approximately $22,104 as a result of her fraud.
U.S. Attorney Evans praised the work of the Office of Inspector General for the Department of Homeland Security in investigating this matter. The prosecution of this case is being handled by Assistant U. S. Attorney G. Dall Kammer, Chief of the General Crimes Unit.
Sioux Falls Man Sentenced for Assaulting a Federal Officer and Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sioux Falls, South Dakota, man convicted of Assaulting, Resisting, and Impeding a Federal Officer and Failure to Register as a Sex Offender was sentenced on August 15, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Cletus Gerald Williams, III, a/k/a C.J. Williams, age 25, was sentenced to 26 months in federal prison, followed by three years of supervised release, for Assaulting, Resisting, and Impeding a Federal Officer. He was sentenced to 26 months in federal prison, followed by five years of supervised release, for Failure to Register as a Sex Offender. The sentences will be served concurrently. Williams was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $200.
Williams was indicted by a federal grand jury in January of 2022. He pleaded guilty on May 12, 2022.
The conviction for Assaulting, Resisting and Impeding a Federal Officer stemmed from an incident that occurred in Todd County, South Dakota, on January 4, 2022. On that date, Rosebud Sioux Tribe Law Enforcement Services officers responded to a report that Williams was causing a disturbance at a residence near Rosebud, South Dakota. Upon arrival, the officers made contact with Williams, who refused commands to comply. Williams took a fighting stance and then picked up pieces of firewood, which he used to keep the officers away. Williams then attempted to flee, but subsequently complied with commands and was arrested.
Williams was convicted of Sexual Abuse of a Minor in April 2017. As a result of this conviction, he is required to update his registration within three business days of relocation or changing employment. In October 2021, Williams was released from custody and began a period of supervised release. Williams initially registered and resided at an address in Sioux Falls, but he subsequently moved from his registered address and did not update his registration. His whereabouts were unknown until his arrest on January 4, 2022.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the U.S. Marshals Service. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Williams was immediately remanded to the custody of the U.S. Marshals Service.
Sioux Falls Man Indicted for AssaultRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Assault by Striking, Beating, and Wounding.
Wesley Hammond, age 29, was indicted in July of 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on August 17, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to one year in federal prison and/or a $110,000 fine, one year of supervised release, and $25 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on May 26, 2022, in Todd County, South Dakota, Hammond assaulted the victim by striking, beating, and wounding.
The charge is merely an accusation and Hammond is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Hammond was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.