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Thursday 18 August 2022
Former Mental Health and Community Residence Facility Director Accused of Financial Exploitation of a Vulnerable Adult and Elderly PersonRead the Press Release
WASHINGTON – Latonja Dashawn Carrera, also known as Latonja Dashawn Martin, 46, of Camp Springs, Maryland, has been indicted on two felony counts and three misdemeanor counts of financial exploitation of a vulnerable adult or elderly person.
The announcement was made today by U.S. Attorney Matthew M. Graves and Daniel W. Lucas, Inspector General for the District of Columbia.
The indictment was returned on Aug. 17, 2022, by a grand jury in the Superior Court of the District of Columbia. According to court documents, Carrera was the Administrator for a Mental Health Community Residential Facility (MH-CRF) in Southeast Washington, licensed by the District of Columbia Department of Behavioral Health. As alleged in court documents, beginning in January 2019, Carrera used the bank account of a MH-CRF resident – a veteran who at the time was 73 years old – to pay for her own personal utility and credit card bills.
In total, Carrera is accused of completing five fraudulent transactions in January and February of 2019 in the amount of $3,090.14 using the veteran’s account, whose sole sources of income were benefits from the Social Security Administration and Veterans Affairs.
Carrera was arrested in December 2020.
Carrera is scheduled to be arraigned before the Honorable Judge Michael K. O’Keefe on Aug. 24, 2022. An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
In announcing the indictment, U.S. Attorney Graves and Inspector General Lucas commended the work of those who are investigating and prosecuting the case from the Office of the Inspector General’s Medicaid Fraud Control Unit (MFCU), and the Major Crimes Section of the U.S. Attorney’s Office for the District of Columbia. They also acknowledged the efforts of Special Assistant United States Attorney Jason Facci, on detail from the Office of the Inspector General, who is prosecuting the case, and MFCU Special Agent Jonathan Rich, who is investigating the matter. They also recognized the work of the Office of the Attorney General for the District of Columbia, which initiated this case, and the D.C. Adult Protective Services, which referred this matter for investigation.
Former Maryland Motor Vehicle Administration Employee Sentenced to Federal Prison for Providing Fraudulent Driver’s Licenses to Applicants Who Paid a FeeRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Marion Rose Payne, age 55, of Harwood, Maryland, on August 15, 2022, to 15 months in federal prison, followed by three years of supervised release, for conspiracy to produce and transfer identification documents without lawful authority, specifically, Maryland driver’s licenses. Judge Chuang also ordered Payne to forfeit $25,000, which constitutes the proceeds of Payne’s participation in the criminal conspiracy.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore.
According to her plea agreement, from at least July 2015 through March 2016, Payne and Co-Conspirator 2 were both employees of the Maryland Motor Vehicle Administration (MVA) and worked in the Largo, Maryland MVA branch office. Payne’s duties at the MVA included the issuance of Maryland driver’s licenses.
As detailed in her plea agreement, Payne, co-Conspirator 2 and Warner Antonio Portillo conspired to produce and transfer Maryland driver’s licenses without lawful authority. Specifically, Portillo and others met with prospective Maryland driver’s license applicants who were willing to pay money to obtain a driver’s license illegally, typically because the applicants were illegal aliens without lawful legal status in the United States or were otherwise unable to obtain a lawfully issued driver’s license. The applicants paid Portillo and others between $800 and $5,000 in cash for each fraudulently issued Maryland driver’s license.
Portillo and others assisted the applicants to travel to the Largo branch of the MVA and directed the applicants to Payne’s or Co-Conspirator 2’s workstation, where applicants obtained Maryland driver’s licenses produced by Payne or Co-Conspirator 2 without lawful authority. Payne knew that the documents used in support of the driver’s licenses were fraudulent. In exchange for the improperly issued driver’s licenses, Portillo paid Payne at least $25,000 in cash and gifts. The conspiracy resulted in the unlawful production and transfer of at least 276 Maryland driver’s licenses.
Warner Antonio Portillo, age 37, of Manassas, Virginia, previously pleaded guilty to his role in the conspiracy and is awaiting sentencing.
United States Attorney Erek L. Barron commended HSI for its work in the investigation and thanked the Maryland Motor Vehicle Administration Investigation and Security Services for its assistance. Mr. Barron thanked Assistant U.S. Attorney Kelly O. Hayes and Special Assistant U.S. Attorney Brian Mund, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Former HP Planning Manager Sentenced to Three Years in Prison in $5+ Million Wire Fraud SchemeRead the Press Release
OAKLAND – Shelbee Szeto was sentenced to 36 months in prison in connection with her scheme to defraud her former employer out of more than five million dollars, announced United States Attorney Stephanie M. Hinds and Internal Revenue Service Criminal Investigation Special Agent in Charge Mark H. Pearson. The sentence was handed down by Honorable Haywood S. Gilliam Jr., United States District Judge.
Szeto, 30, of Fremont, pleaded guilty on March 23, 2022, to wire fraud, money laundering, and related tax charges. According to the plea agreement, Szeto was employed by HP, Inc. (HP) as an executive assistant and finance planning manager from approximately August 2017 until June of 2021. In these roles, Szeto was responsible for making payments to HP vendors and was issued multiple HP commercial credits cards to make the payments on HP’s behalf. Rather than make payments in accordance with the company’s policies, Szeto devised a fraudulent scheme whereby she sent approximately $4.8 million in unauthorized payments from her HP commercial credit cards to several Square, PayPal, and Stripe merchant accounts under her control.
Court documents provide several details of the scheme. For example, court documents describe how, as part of her employment with HP, Szeto was issued multiple American Express commercial credit cards that were intended only for business expenses. Szeto then set up bogus merchant accounts with PayPal, Stripe, and Square that she maintained under her control, but represented were for legitimate vendors. Szeto then unlawfully sent payments from the credit cards to the bogus accounts. To further her plan, Szeto uploaded falsified invoices to HP’s internal system and falsely represented to HP that the payments were made to legitimate vendors. She also made false representations to Square that the payments sent from the credit cards were sent to HP’s approved vendors for legitimate business transactions and falsely represented to her bank that the money from HP was for legitimate business transactions. In total, Szeto caused at least $4.8 million to be fraudulently from HP accounts to accounts she controlled and attempted to steal an additional approximately $330,000 from HP.
On February 11, 2022, Szeto was charged by information with two counts of wire fraud, in violation of 18 U.S.C. § 1343; two counts of money laundering, in violation of 18 U.S.C. § 1957; and one count of filing a false tax return, in violation of 26 U.S.C. § 7206(1). Pursuant to her guilty plea, Szeto pleaded guilty to all five counts.
In addition to the prison term, Judge Gilliam ordered Szeto to serve 3 years of supervised release that will begin after the prison term is concluded. As a special condition of her supervised release, Szeto may not maintain a position of fiduciary capacity or manage a third party’s finances without the prior permission of her probation officer. Szeto was also ordered to forfeit certain luxury items purchased with the proceeds of her fraud. The items for forfeiture were derived from a list that includes the proceeds of a First Republic Bank account; a 2020 Tesla sedan; a 2021 Porsche sport utility vehicle; several bags and purses from Dior, Gucci, Hermes, and Chanel; and a collection of jewelry and timepieces including necklaces, rings, pendants, and watches from Rolex, Bulgari, Audemars Pignet, and Cartier. The list contains 161 line items—some lines of which include multiple items such as “7 necklaces with clover-shaped design,” “6 gold necklaces with pendants,” and “26 pairs of earrings.”
Assistant U.S. Attorney Molly Priedeman is prosecuting the case with the assistance of Leeya Kekona. The prosecution is the result of an investigation by the IRS-CI.
Five Remaining Defendants in OCDETF Operation Sentenced in Federal CourtRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that five defendants who were indicted as a result of the Organized Crime Drug Enforcement Task Force (OCDETF) “Operation Lost and Found” have been sentenced by United States District Judge Elizabeth E. Foote for their involvement in a drug trafficking conspiracy.
Timothy Ryan Melton, 31, of Shreveport, Louisiana, was sentenced to 151 months (12 years, 7 months) in prison, followed by 5 years of supervised release for conspiracy to distribute and possess with intent to distribute methamphetamine.
Billy Bryan Feroben, 33, of Cabot, Arkansas, was sentenced to 120 months (10 years) in prison, followed by 5 years of supervised release for conspiracy to distribute and possess with intent to distribute methamphetamine.
Brent Demonde Smith, Jr., 36, of Shreveport, Louisiana, was sentenced to 120 months (10 years) in prison, followed by 5 years of supervised release for conspiracy to distribute and possess with intent to distribute methamphetamine.
Serina Khan, 24, of Shreveport, was sentenced to 120 months (10 years) in prison, followed by 5 years of supervised release. Khan pleaded guilty March 4, 2022 to conspiracy to distribute and possess with intent to distribute methamphetamine.
Robert J. Merritt, 39, of Dallas, Texas, was sentenced to 151 months (12 years, 7 months) in prison, followed by 5 years of supervised release, for conspiracy to distribute and possess with intent to distribute methamphetamine.
In July 2020, agents with the U.S. Drug Enforcement Administration (DEA) began an investigation into drug trafficking activities in the Cedar Grove area after receiving information that their co-defendant, Demetrius Loston, was distributing large amounts of methamphetamine in the Shreveport area. This OCDETF investigation resulted in federal indictments against nine defendants for conspiring together to distribute and possess with intent to distribute methamphetamine.
During their investigation, agents were able to intercept multiple phone calls between Loston, Merritt, Smith and Khan, wherein they communicated at different times about buying and selling methamphetamine. Law enforcement agents conducted surveillance and observed both Smith and Khan meet Loston on more than one occasion at a pre-determined location and either pick up, drop off, or exchange methamphetamine for money.
Law enforcement agents were able to establish that Merritt was a source of supply of methamphetamine through the interception of phone calls. Agents monitored a meeting between Merritt and Loston and obtained video surveillance from Loston’s residence showing Merritt walking a shoe box from his vehicle into the carport of the residence. This evidence was consistent with the intercepted phone calls between the two defendants. Merritt was arrested shortly after that meeting.
Billy Bryan Feroben was also involved in the purchase of methamphetamine from Loston and would then sell and distribute to others for profit. A search warrant was executed at a residence in Shreveport in August 2020 and agents made contact with Feroben at that time. In the trunk of his car, agents found over 200 gross grams of methamphetamine and firearms. Feroben admitted to agents that he would meet Loston at a gas station to purchase the methamphetamine for distribution.
On August 24, 2020, Bossier Parish Sheriff’s Office deputies stopped a vehicle for a traffic violation. The deputy approached the vehicle and the driver, Timothy Ryan Melton, could only provide an identification card. Deputies asked Melton to exit the vehicle and conducted a pat down search and were given permission to search the vehicle. Deputies seized a large amount of cash and methamphetamine from the center console. The methamphetamine was packaged for street level distribution. Melton admitted that the drugs were his and that he had been working with Loston to purchase the methamphetamine for distribution to others for profit.
The investigation was conducted by the DEA, ATF, Bossier Parish Sheriff’s Office and Caddo Parish Sheriff’s Office, and was prosecuted by Assistant U.S. Attorney J. Aaron Crawford.
This effort is part of an ongoing Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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Federal Jury Finds Mexican National Guilty of Firearms ViolationsRead the Press Release
ST. PAUL, Minn. – A federal jury convicted a Mexican national for illegal possession of 11 firearms, announced U.S. Attorney Andrew M. Luger.
Following a two-day trial before U.S. District Court Judge Eric C. Tostrud, Santos Gomez Perez, 65, was convicted of possession of firearms by an illegal alien.
As proven at trial, on March 14, 2019, during a search of an auto body shop, officers with the Minneapolis Police Department discovered a supply of firearms, ammunition, and firearm accessories inside a large metal cabinet. Law enforcement seized a total of 11 firearms. Perez, an employee at the shop, was identified as a suspect in a drug investigation and taken into custody. Perez admitted that he had been “taking care of the guns.” Because Perez is in the United States illegally, he is prohibited from possessing a firearm at any time.
This case was the result of an investigation conducted by Homeland Security Investigations, the Drug Enforcement Administration, the Minneapolis Police Department, and the St. Paul Police Department.
This case was tried by Assistant U.S. Attorney Thomas M. Hollenhorst.
Federal Inmate Sentenced for Possessing Contraband at USP LewisburgRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on August 17, 2022, Christopher Edwards, age 51, was sentenced to two months’ imprisonment and a $25 special assessment by Magistrate Judge William I. Arbuckle for possessing an iPhone in prison. The sentence will run consecutively to Edwards’ current federal sentence for trafficking cocaine and cocaine base in Easton, Pennsylvania. Additionally, the Federal Bureau of Prisons sanctioned Edwards by disallowing 41 days of good time, placing Edwards in disciplinary segregation for 45 days, and suspending Edwards’ phone privileges for 14 months.
According to United States Attorney Gerard M. Karam, Edwards was an inmate housed at the prison camp of the United States Penitentiary in Lewisburg, Pennsylvania. On October 22, 2021, a correctional officer spotted Edwards throw a sock down a housing range. The officer retrieved the sock, which held an iPhone, charging cord, and tool for removing SIM cards. Edwards admitted that he purchased the phone from another inmate. Federal law prohibits inmates from possessing cellphones to ensure institutional security.
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 prosecuted the case.
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Federal Grand Jury Indicts Three Men in Two Separate Louisville CarjackingsRead the Press Release
Louisville, KY – A federal grand jury in Louisville, Kentucky, returned two indictments yesterday, charging a local man with carjacking and a business robbery and two other local men with carjacking.
According to an indictment, on April 14, 2022, Corey Buford, 21, of Louisville, carjacked a vehicle from Kearney Motorsports in Louisville, Kentucky, while brandishing a firearm.
A separate indictment charges Shon Antonio Blythe Stuckey, 41, and Miguel D. Battle, 40, both of Louisville, with a January 21, 2022, carjacking in Louisville.
The charges were announced by Michael A. Bennett, United States Attorney for the Western District of Kentucky, Federal Bureau of Investigation Special Agent in Charge Jodi Cohen, Homeland Security Investigations Special Agent in Charge Jerry C. Templet, Jr., and Louisville Metro Police Department Chief Erika Shields.
Buford was indicted on one count of carjacking, one count of interference with commerce by robbery, one count of brandishing a firearm during and in relation to a crime of violence, and one count of possession of a firearm by a previously convicted felon. If convicted of carjacking, he faces a maximum penalty of 15 years in prison. If convicted of interference with commerce by robbery, he faces a maximum penalty of 20 years in prison. If convicted of possession of a firearm by a previously convicted felon, he faces a maximum penalty of 10 years in prison. If convicted of brandishing a firearm during and in relation to a crime of violence, he faces a mandatory minimum penalty of 7 years and a maximum penalty of life in prison to run consecutive to all other penalties.
Stuckey and Battle were both indicted on one count of carjacking, one count of brandishing a firearm during and in relation to a crime of violence, and one count of possession of a firearm by a previously convicted felon. If convicted of carjacking, they face a maximum penalty of 15 years in prison. If convicted of possession of a firearm by a previously convicted felon, they face a maximum penalty of 10 years in prison, unless they have three prior qualifying convictions, in which case they face a minimum penalty of 15 years and a maximum penalty of life. If convicted of brandishing a firearm during and in relation to a crime of violence, they face a mandatory minimum penalty of 7 years and a maximum penalty of life in prison to run consecutive to all other penalties.
All three defendants are currently detained on state charges and will be arraigned in the United States District Court for the Western District of Kentucky once they are transferred to federal custody.
A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. There is no parole in the federal system.
The Louisville Metro Police Department is investigating both cases. Homeland Security Investigations is investigating the Buford case. The Federal Bureau of Investigation is investigating the Stuckey and Battle case.
The charges were the result of an ongoing joint federal and local law enforcement initiative targeting carjackings which includes the United States Attorney’s Office, the Office of the Jefferson County Commonwealth’s Attorney, the Louisville Metropolitan Police Department, the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Homeland Security Investigations.
Special Assistant U.S. Attorney (SAUSA) Emily Lantz is prosecuting the Buford case and Assistant U.S. Attorney Ann Marie Blaylock is prosecuting the Stuckey and Battle case. SAUSA Lantz is an Assistant Jefferson County Commonwealth’s Attorney sworn in as a SAUSA to prosecute firearms cases in federal court. She works closely with federal, state, and local law enforcement agencies to combat violent crime. Funding for SAUSA Lantz’s position comes from a grant from the Bureau of Justice Assistance, a component of the Justice Department’s Office of Justice Programs, to the office of Jefferson County Commonwealth’s Attorney Tom Wine.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Federal Grand Jury Indicts Four for Drug Trafficking Conspiracy, Drug Trafficking, and Firearms OffensesRead the Press Release
Louisville, Kentucky – A federal grand jury in Louisville returned a 22-count superseding indictment yesterday charging three local men and one local woman with engaging in a drug trafficking conspiracy involving multiple drugs and with other drug trafficking and firearms offenses.
According to court documents, Sansareya Reyes, 28, Ishia Reyes, 26, Dominique Pruitt, 24, and Romell Taylor, 24, all of Louisville, conspired to possess with the intent to distribute more than a half kilogram of methamphetamine as well as unspecified amounts of heroin, cocaine, and fentanyl between May 11, 2022, and August 4, 2022.
Sansareya Reyes is also charged with distributing methamphetamine on ten occasions, possessing with the intent to distribute methamphetamine, heroin and fentanyl on one occasion, and possessing a firearm in furtherance of drug trafficking on one occasion.
Ishia Reyes is also charged with distributing methamphetamine on three occasions, possessing with the intent to distribute methamphetamine on one occasion, possessing with the intent to distribute cocaine and heroin on one occasion, possessing a firearm in furtherance of drug trafficking on one occasion, and possessing a firearm as a previously convicted felon.
Dominique Pruitt is also charged with distributing methamphetamine on three occasions, possessing with the intent to distribute methamphetamine, heroin, and fentanyl on one occasion, and possessing a firearm in furtherance of drug trafficking on one occasion.
Romell Taylor is also charged with distributing methamphetamine on five occasions, possessing with the intent to distribute methamphetamine on one occasion, possessing with the intent to distribute fentanyl on one occasion, and possessing a firearm in furtherance of drug trafficking on one occasion.
The defendants previously made their initial court appearances on August 4th and 5th, 2022, before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. Taylor is scheduled for arraignment on August 19, 2022. This case is scheduled for trial on October 13, 2022. If convicted, each defendant faces a mandatory minimum sentence of 15 years and a maximum sentence of life in prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division made the announcement.
The ATF and the Louisville Metro Police Department are investigating the case.
Assistant U.S. Attorneys Frank Dahl and Alicia Gomez are prosecuting the case, in conjunction with trial attorneys Matthew Hoff and Lakeita Rox-Love from the Organized Crime and Gang Section of the U.S. Department of Justice.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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East St. Louis Man Sentenced to 156 Months Imprisonment for Possessing with Intent to Distribute Fentanyl and CocaineRead the Press Release
EAST ST. LOUIS, Ill. – Mario A. Foster, of East St. Louis, Illinois, was sentenced on Tuesday,
August 16, 2022, in federal court to 13 years in prison for Possessing with Intent to Distribute
Fentanyl and Cocaine. Following Foster’s release, he will spend three years on supervised release.
Foster was also ordered to pay $200 in special assessments along with a $500 fine.
According to court documents, Foster was stopped and arrested following a call to law enforcement
regarding a parental abduction. Law enforcement observed a three-month old infant sitting in a
removable child safety seat. When the infant was removed from the seat, officers discovered the
baby had been sitting on a baggy containing fentanyl and a baggie containing cocaine base.“Fentanyl’s deadliness is no secret,” said United States Attorney Rachelle Aud Crowe. “It is
unfathomable that this defendant selfishly chose to place an infant in jeopardy in an apparent
effort to conceal his crimes. His 13-year prison sentence is well-deserved.”This case was investigated by the United States Marshal Service and the Belleville Police
Department.
The case was prosecuted by Assistant U.S. Attorney Jennifer Hudson.East Chicago Man Sentenced to 41 Months in PrisonRead the Press Release
HAMMOND- Dante Jones, 26 years old, of East Chicago, Indiana, was sentenced by United States District Court Senior Judge James T. Moody on his plea of guilty to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Jones was sentenced to 41 months in prison followed by 2 years of supervised release.
According to documents in the case, on June 20, 2021, law enforcement responded to a 911 call at a residence in East Chicago. When law enforcement arrived and knocked on the door, Jones answered the door with a loaded firearm in his hands. Jones’ criminal history revealed he has a prior 2016 felony conviction for aggravated vehicular hijacking from Illinois which prohibits him from possessing any firearm or ammunition.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives with the assistance of the East Chicago Police Department. This case was prosecuted by Assistant United States Attorney Michael J. Toth.
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.
Eagle Butte Man Sentenced for Meth TraffickingRead the Press Release
United States Attorney Alison J. Ramsdell announced that an Eagle Butte, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 16, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Michael Dean Condon, age 36, was indicted in June of 2021. He pleaded guilty on May 26, 2022.
Condon was sentenced to 62 months in federal prison, followed by three years of supervised release, and ordered to pay a $1,000 fine, a $100 special assessment to the Federal Crime Victims Fund, and forfeiture of a firearm and ammunition.
Between 2018 and 2021, Condon knowingly and intentionally conspired with others to distribute between 500 and 1,500 grams of methamphetamine on the Cheyenne River Sioux Indian Reservation in South Dakota.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, Cheyenne River Sioux Tribe Law Enforcement Services, South Dakota Highway Patrol, South Dakota Division of Criminal Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Condon was immediately remanded to the custody of the U.S. Marshals Service.
Eagle Butte Man Indicted for Meth ChargesRead the Press Release
United States Attorney Alison J. Ramsdell announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Conspiracy to Distribute a Controlled Substance.
Sydney Garreau, age 43, was indicted on August 9, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on August 15, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 40 years in prison and/or a $5,000,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between approximately February 1, 2021, and August 9, 2022, on the Cheyenne River Sioux Indian Reservation, Garreau conspired with others to knowingly and intentionally distribute and possess with intent to distribute 50 grams or more of methamphetamine.
The charge is merely an accusation and Garreau is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force and the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Garreau was detained pending trial. A trial date has not been set.
Dunn County Man Sentenced to More Than 12 Years for Methamphetamine TraffickingRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Adam Beliveau, 42, Downing, Wisconsin, was sentenced yesterday by U.S. District Judge William M. Conley to 12 ½ years in prison for attempt to possess with intent to distribute 500 grams or more of methamphetamine. Beliveau pleaded guilty to this charge on April 19, 2022.
The government’s investigation revealed that Beliveau traveled to California on a regular basis in 2020 and mailed large amounts of illegal drugs, primarily methamphetamine, to himself in Wisconsin. Once the packages arrived in Wisconsin, Beliveau sold the drugs to other local distributors.
On September 14, 2020, officers learned that a mail package was scheduled for delivery from California to a residence that Beliveau shared with his girlfriend and her parents in Downing. After his girlfriend’s parents called law enforcement about the package, officers searched it and found four pounds of methamphetamine.
On November 3, 2020, officers arrested Beliveau in a convenience store parking lot in Woodville, Wisconsin. Following his arrest, officers searched Beliveau’s vehicle and found approximately 1,163 grams of methamphetamine. Officers also found approximately $30,000 in Beliveau’s pants pockets.
Later that same day, agents executed search warrants at Beliveau’s residence in Downing and his storage unit in Baldwin, Wisconsin. As a result of the searches, officers recovered large amounts of heroin, fentanyl, THC, multiple firearms, and hundreds of rounds of ammunition.
At the sentencing hearing, Judge Conley noted Beliveau’s long criminal history, which includes multiple felony convictions for drug offenses. Judge Conley also noted it was an aggravating factor that Beliveau was on state supervision in Minnesota for a drug trafficking offense at the time of his offenses in this case.
The charge against Beliveau is the result of a joint investigation by the Drug Enforcement Administration, West Central Drug Task Force, Eau Claire District Attorney’s Office, St. Croix County Sheriff’s Office, and Baldwin Police Department. The prosecution of the case is being handled by Assistant U.S. Attorney Aaron Wegner.
Delaware Man Pleads Guilty to Unlawfully Distributing Hydroxychloroquine and Other Prescription DrugsRead the Press Release
KNOXVILLE, Tenn. – On August 17, 2022, Jose Torres, 58, currently of Shelbyville, Delaware, appeared before the United States District Court for the Eastern District of Tennessee and entered a guilty plea to one count of conspiracy to engage in the unlicensed wholesale distribution of prescription drugs. Sentencing is set for March 29, 2023, at 3:00 pm, before the Honorable Thomas A. Varlan, United States District Judge.
Torres faces a term of up to five years in Federal prison, $250,000 in fines, and three years of supervised release.
As part of the written plea agreement, Torres waived indictment by a Federal Grand Jury and agreed to plead guilty to the aforementioned charge. Torres conspired and agreed with others to unlawfully purchase short-supply drugs and resell those drugs to wholesale distributors. Torres and another company entered business arrangements with retail pharmacies that were not licensed to engage in the wholesale distribution of prescription drugs. Torres used the business arrangements with retail pharmacies to purchase prescription drugs from authorized distributors. Torres then resold those drugs to wholesale distributors at a significant markup. Torres knowingly misled the authorized distributors by using the pharmacies’ accounts and credentials to purchase drugs from authorized distributors.
For example, on or about March 23, 2020, Torres purchased hydroxychloroquine sulfate tablets from a pharmacy located in the Eastern District of Tennessee, an unlicensed wholesale distributor, for $178 per unit, which was subsequently resold to a Veterans Affairs Medical Center in New York for $442 per unit by one of Torres’s wholesale distribution customers.
As part of the written plea agreement, Torres agreed to a personal money judgment in favor of the United States in the amount of $119,350, which represents the amount of proceeds Torres personally obtained from the offense described in the plea agreement.
“This plea agreement represents the commitment of the U.S. Attorney’s Office to prosecuting those who exploited the fears of others to unlawfully profit during the COVID-19 pandemic,” said U.S. Attorney Francis M. Hamilton III for the Eastern District of Tennessee.
“We continue to actively monitor the marketplace for criminal activity involving products related to COVID-19 and take action against those who put profits above public health,” said Special Agent in Charge Justin C. Fielder, FDA Office of Criminal Investigations Miami Field Office.
“Today’s guilty plea sends a clear message that criminal conspiracies aimed at enriching individuals at the expense of VA programs and services will not be tolerated,” said Special Agent in Charge Kim R. Lampkins with the Department of Veterans Affairs Office of Inspector General’s Mid-Atlantic Field Office. “The VA OIG thanks its law enforcement partners for their commitment in helping hold this defendant accountable.”
Assistant United States Attorney William A. Roach, Jr., who serves as the Office’s Coronavirus Fraud Coordinator, prosecuted the case.
This prosecution is the result of an investigation by the United States Food and Drug Administration, Office of Criminal Investigations, and the United States Department of Veterans Affairs, Office of Inspector General.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Defendants Sentenced for Crimes in 100+ Kilo Meth Distribution NetworkRead the Press Release
ALBANY, Ga. – A federal judge handed down prison sentences for four defendants involved in an extensive drug trafficking organization centered in Southwest Georgia that was responsible for distributing more than 100 kilograms of methamphetamine in the region.
“These individuals are being held accountable for their part in a significant methamphetamine trafficking network responsible for funneling more than 100 kilograms of a highly addictive and deadly drug in Southwest Georgia,” said U.S. Attorney Peter D. Leary. “The U.S. Attorney’s Office will do our part to support law enforcement at every level to identify and bring to justice all those pushing large amounts of the most dangerous illegal substances into our communities.”
“This case is an example of DEA’s effort to confront, engage and eliminate drug distribution networks,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Because of the collaborative effort between DEA and its law enforcement partners, these defendants will spend well-deserved time in federal prison.”
“As the sentencings continue for members of this drug trafficking network, we can assure citizens of Southwest Georgia that they are much safer with these individuals off the streets,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI would like to thank our federal, state and local law enforcement partners for all of their hard work and commitment to ending the opioid epidemic here in Georgia.”
“This case demonstrates the great work of law enforcement at all levels to investigate and prosecute the illegal distribution of methamphetamine, a dangerous drug that continues to wreak havoc on Georgia communities. The GBI remains committed to working with our local and federal partners in drug enforcement to address these types of crimes,” said GBI Interim Director John Melvin.
The following co-defendants were sentenced today:
Kentrail Brown, 31, of Cairo, Georgia, was convicted by a federal jury of conspiracy to possess with intent to distribute methamphetamine, distribution of methamphetamine, possession with intent to distribute methamphetamine and possession of a firearm in furtherance of drug trafficking on March 17 and was sentenced to serve 264 months in prison to be followed by five years of supervised release;
Tobias Sanders, 32, Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 192 months in prison to be followed by five years of supervised release;
Orrie Bell, 36, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 180 months in prison to be followed by five years of supervised release; and,
Shandrekia Mango, 34, of Cairo, pleaded guilty to misprision of a felony and was sentenced to serve three years of probation.
The following co-defendants were sentenced on Aug. 11:
Xavier Jordan, 33, of Cairo, pleaded guilty to possession with intent to distribute methamphetamine and was sentenced to serve 120 months in prison to be followed by five years of supervised release;
R. Kevin Barrineau, 49, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 57 months imprisonment to be followed by three years of supervised release; and,
Nicholas Harden, 29, of Cairo, pleaded guilty to use of a communication facility in furtherance of a drug trafficking crime and was sentenced to 24 months in prison to be followed by one year of supervised release.
The following co-defendants were sentenced on June 16:
Richard Bond, 47, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 220 months in prison to be followed by five years of supervised release;
Mike Thomas, 48, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 132 months in prison to be followed by five years of supervised release; and,
Dewayne Isom, 31, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine was sentenced to 120 months in prison to be followed by five years of supervised release.
The following co-defendant was sentenced on April 14:
Demorris Adams, 32, of Whigham, Georgia, pleaded guilty to distribution of methamphetamine and was sentenced to serve 160 months in prison to be followed by five years of supervised release.
The following co-defendant was sentenced on April 4:
David Donald, 38, of Cairo, pleaded guilty to possession with intent to distribute methamphetamine and was sentenced to serve 180 months in prison to be followed by five years of supervised release.
The following co-defendants were sentenced on March 9:
Phil Grim, 45, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 120 months imprisonment to be followed by five years of supervised release;
James Levy Sapp, 41, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 87 months imprisonment to be followed by five years of supervised release; and,
Mitchell Tomberlin, 50, of Whigham, Georgia, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and was sentenced to serve 60 months imprisonment to be followed by three years of supervised release.
The following co-defendant has entered a guilty plea and will be sentenced on Sept. 23:
Joseph Jones aka Bae, 32, of Cairo, pleaded guilty to conspiracy to possess with intent to distribute methamphetamine and faces a maximum sentence of life in prison and a $10,000,000 fine.
U.S. District Judge Leslie Abrams Gardner is presiding over the case.
According to court documents and evidence presented at trial, agents conducted a wiretap investigation into the drug distribution activities of the co-defendants beginning in March 2019. The investigation revealed that the co-defendants were engaged in the distribution of methamphetamine in Southwest Georgia. In all, more than 100 kilograms of methamphetamine are attributable to this organization.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case was investigated by DEA, FBI, GBI, Grady County Sheriff’s Office and Thomas County Sheriff’s Office.
Assistant U.S. Attorney Leah McEwen is prosecuting the case.
Defendant Sentenced for Transportation of Destructive DevicesRead the Press Release
LAFAYETTE, La. - United States Attorney Brandon B. Brown announced that Furmon Earl Bozeman, 61, has been sentenced by United States District Judge Robert R. Summerhays to 19 months in prison, followed by 3 years of supervised release, for transportation of destructive devices in violation of the National Firearms Act.
According to evidence presented to the court, during the night of January 10, 2022, Bozeman drove from his residence in Gulf Shores, Alabama to Nabors Offshore Corporation (Nabors) in New Iberia, Louisiana. Upon arrival at Nabors, Bozeman placed and detonated at least three pipe bombs at various sites on the Nabors’ property. The bombs were placed at the Nabors signage located near Admiral Doyle Drive, at the main entrance to Nabors’ human resource offices, and at the Nabors signage located directly outside of the front door of the Nabors’ main building. The pipe bombs that he used contained double based smokeless powder inside of galvanized steel pipes and endcaps. These three devices met the definition of destructive devices, commonly referred to as pipe bombs.
Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) executed a search warrant at Bozeman’s residence on January 12, 2022 and found in his home additional bomb making materials, a book titled, Flash Powder Cookbook, as well as several rounds of ammunition, firearms and Hogdon smokeless powder. Bozeman admitted to transportation of the bombs from his home in Alabama to Louisiana.
The case was investigated by the ATF, FBI, Department of Homeland Security, Iberia Parish Sheriff's Office, Louisiana State Police, and Chitimacha Police K9 Unit, and was prosecuted by Assistant U.S. Attorney John W. Nickel.
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Connecticut Man Indicted in Human Smuggling ConspiracyRead the Press Release
BOSTON – A Connecticut man was indicted today by a federal grand jury in Worcester for conspiracy to commit human smuggling offenses.
Fagner Chaves De Lima, 41, of East Hartford, Conn., was indicted on one count of attempted human smuggling. De Lima was previously arrested and charged by criminal complaint with one count of attempted human smuggling in June 2022.
According to the charging documents, De Lima conspired with others to illegally smuggle individuals from Brazil into the United States for money and profit. It is alleged that, in exchange for payments of thousands of dollars, De Lima and conspirators made travel arrangements for clients to illegally enter the United States from Brazil by plane or bus, and arranged lodging accommodations for clients during their travel. In addition, De Lima allegedly extorted clients while their journey to the United States was underway by threatening to harm them and/or their family if they did not pay additional money. De Lima and his conspirators also allegedly created and transmitted false documents that were used as part of the illegal smuggling operation.
In May and June 2022, an undercover agent initiated communications with De Lima over WhatsApp under the guise that the agent sought to have his sister and niece smuggled into the United States. The undercover agent offered to pay $15,000 for De Lima’s services, and De Lima allegedly agreed to the arrangement. According to the charging documents, De Lima stated during these communications (translated from Portuguese) that he had been engaged in human smuggling “for 20 years,” and that he will smuggle individuals “whether you have a visa, no visa, or if . . .[they] are wanted by the police.” De Lima also allegedly acknowledged in later messages that human smuggling is “dangerous.” On June 16, 2022, De Lima traveled to Worcester to meet with the undercover agent, during which De Lima allegedly accepted two checks for the agreed upon total of $15,000 in exchange for his smuggling services and requested the sister’s passport and Social Security number.
“We allege that Mr. De Lima led a substantial human smuggling operation that violated federal law and threatened the safety of individuals who sought his services to come to the United States for a better life. We further allege that he reaped tens of thousands of dollars in profit in exchange for exploiting people seeking the American dream,” said United States Attorney Rachael S. Rollins. “This indictment is a reminder that our office will identify and prosecute those whose actions cause danger to human life and threaten our nation’s security.”
“Fagner Chaves De Lima is accused of exploiting, endangering, and extorting vulnerable victims, even threatening harm, in an elaborate human smuggling scheme to line his own pockets with hundreds of thousands of dollars,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “This man took advantage of those seeking a new life in America while circumventing our country’s laws that are in place to ensure public safety. As this case demonstrates, FBI will not hesitate to bring human smugglers who have no regard for human life to justice.”
The charge of conspiracy to commit human smuggling provides for a sentence of up to 10 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.
U.S. Attorney Rollins and FBI Boston SAC Bonavolonta made the announcement. Valuable assistance was provided by U.S. Customs and Border Protection, Yuma Field Office; Homeland Security Investigations in Yuma; U.S. Postal Inspection Service, Boston Division; and the Marlborough, Worcester, Hartford (Conn.) and East Hartford (Conn.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of Rollins’ Criminal Division is prosecuting the case.
If you believe that you or someone you know may be a victim of human smuggling/trafficking, please contact the National Human Trafficking Resource Center Hotline at 1-888-373-7888, or Text 233733.
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.
Clarksdale Woman admits to scheme involving RAMP Emergency Rental Assistance FraudRead the Press Release
CLARKSDALE, Miss. – A judgment was entered against a Clarksdale resident in connection with a scheme to defraud the United States of more than $81,505 in Rental Assistance for Mississippians Program (RAMP) funds distributed by the Mississippi Home Corporation (MHC) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents, Sylnanceia Saffold, 30, of Clarksdale devised a scheme to defraud and to obtain RAMP funds by filing false and fraudulent rental assistance applications with MHC as part of the CARES Act. Saffold admitted to falsely claiming to be the landlord of 12 individuals to obtain backrent and future rental assistance for individuals affected by the Covid pandemic. Saffold also attempted to obtain funds on behalf of 9 others but the fraud was detected by MHC fraud control personnel before the funds were distributed.
“The CARES Act programs, particularly the RAMP program, were intended to help families struggling to maintain their housing because of the pandemic. Unfortunately, far too many individuals like the defendant abused these programs for their own personal benefit,” stated United States Attorney Clay Joyner. “Our office continues to prosecute violations of any CARES Act program —PPP, EIDL, RAMP, Employee Retention Credits, and others—in an effort to recover as many stolen taxpayer dollars as possible.”
Saffold entered a civil consent judgment for actual damages plus penalties in the total amount of $101,311.50 before U.S. District Judge Sharion Aycock last week.
“We will continue to work with our State and Federal partners to make sure emergency assistance gets into the hands of the people that need it for safe, decent, affordable housing. I’m proud of our agency’s efforts to stamp out fraud and protect the integrity of our programs.” said MHC Executive Director Scott Spivey.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Chicago, Illinois Man Sentenced to 37 Months in PrisonRead the Press Release
HAMMOND- Eric Isom, 24 years old, of Chicago, Illinois, was sentenced by United States District Court Senior Judge James T. Moody on his plea of guilty to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Isom was sentenced to 37 months in prison followed by 2 years of supervised release.
According to documents in the case, on January 10, 2021, Isom, was a passenger in vehicle law enforcement attempted to stop in Dyer, Indiana. The vehicle fled, leading officers on a pursuit that crossed into Munster before the vehicle crashed. After the crash, law enforcement recovered a firearm from the vehicle which had Isom’s DNA on it, along with drugs and extended magazines. Isom’s previous criminal history revealed he has prior Illinois felony convictions for Armed Robbery and Aggravated Use of a Weapon, which prohibit him from possessing a firearm or ammunition.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Indiana High Intensity Drug Trafficking Area Task Force, the Dyer Police Department, the Munster Police Department, and the Indiana State Police. This case was prosecuted by Assistant United States Attorney Caitlin M. Padula.
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.
Cecil County Drug Dealer Sentenced to 20 Years in Federal Prison for Production of Child PornographyRead the Press Release
Baltimore. Maryland - U.S. District Judge George L. Russell, III today sentenced Luis Rivera, age 34, formerly of Elkton, Maryland, to 20 years in federal prison, followed by 20 years of supervised release, for production of child pornography. Judge Russell ordered that the federal sentence be served consecutive to the 12-year state sentence Rivera is currently serving for a state drug conviction. Judge Russell also ordered that, upon his release from prison, Rivera must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (“SORNA”).
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police; and Cecil County State’s Attorney James Dellmyer.
According to his guilty plea, Rivera was arrested on drug charges in Cecil County, Maryland on January 30, 2018. At the time of his arrest, Rivera was found in bed with Jane Doe, who was 15 years old. Rivera denied having a sexual relationship with Jane Doe and further stated that all of the illegal narcotics, later confirmed to be crack cocaine, powder cocaine, and heroin, located in his bedroom belonged to Jane Doe.
While at the hospital for a Sexual Assault Forensic Examination, Jane Doe told a social worker that she and Rivera were in a sexual relationship and evidence proving that would be present on their cell phones which were seized during the search warrant at Rivera’s house. A search warrant was subsequently executed on the digital items seized, including the two cell phones. The SD cards of the phones were forensically examined and found to contain 18 videos of Rivera and Jane Doe engaged in sexually explicit conduct, which were all taken by Rivera or by Jane Doe at Rivera’s direction.
After his arrest and detention, Rivera admitted that he made over 700 calls to Jane Doe saying things like: She was the reason he was locked up; everyone knew that Rivera was arrested because Jane Doe lied and that everything was her fault. Rivera also instructed Jane Doe to: recant her statement to the social worker; deny that it was her in the videos; and to lie at his trial on drug charges in Cecil County. On January 22, 2019, several letters Rivera had written to Jane Doe from the detention center were recovered and reviewed by law enforcement. One letter told Jane Doe to get her family to say that it was not Jane Doe in the videos. Rivera stated, “You have to beg them to understand that it’s not fair that an innocent man is in jail because of your lies…”
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Erek L. Barron commended the FBI, Maryland State Police, and the Cecil County State’s Attorney’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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California Man Receives 10 Year Sentence Following Guilty Plea in South Carolina to Fraud ConspiracyRead the Press Release
Columbia, South Carolina----Judge Bruce Hendricks of the U.S. District Court for the District of South Carolina sentenced a California man today to 10 years in prison for his role as the ringleader of a nationwide Ponzi scheme that exploited military veterans in desperate financial straits and targeted elderly investors seeking a safe retirement investment.
Scott Kohn, 68, of Newport, California, ran a corporation called Future Income Payments LLC (FIP), formerly known as Pensions, Annuities, and Settlements LLC. From April 2011 until April 2018, Kohn and his co-conspirators used FIP as a vehicle for a nationwide Ponzi scheme.
Kohn and his co-conspirators solicited pensioners experiencing financial distress, most of whom were military veterans, by offering an upfront lump-sum payment in exchange for an assignment of the rights to their monthly pensions and disability payments. Even though the assignment transactions were characterized as “sales,” they were, in fact, usurious loans with annual interest rates of as much as 240%.
Kohn and his co-conspirators – working through a network of hundreds of financial advisors and insurance agents nationwide – then solicited thousands of seniors to purchase FIP’s “structured cash flows,” which were the pensioners’ monthly pension payments. Kohn and his co-conspirators induced these seniors to invest their retirement savings with FIP by making false assurances of a significant rate of return on their investment, concealing the usurious nature of FIP’s transactions with the pensioners and lying about the financial health of the corporation.
During the seven years the scheme operated, Kohn drew upon FIP funds to live a lavish lifestyle. When the Ponzi scheme ultimately collapsed, Kohn and his co-conspirators had caused more than $310 million in losses to more than 2,500 retirees and had placed more than 13,000 veterans into exploitative loans.
“The elaborate Ponzi scheme orchestrated by Kohn and his co-conspirators preyed upon both military veterans experiencing financial hardship and retirees hoping to protect their life savings,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Justice Department’s Civil Division. “The department is committed to protecting our military community and America’s seniors from fraud and abuse.”
“Kohn and his co-conspirators reached across the country to steal from veterans and seniors who desperately needed their money,” said U.S. Attorney Adair F. Boroughs for the District of South Carolina. “These hundreds of millions in losses will reverberate through the victims’ lives long after the defendants serve well-deserved federal prison sentences. This office works tirelessly to protect the people of South Carolina, especially our most loyal and most vulnerable citizens. I appreciate the work of our federal partners and our partners at DOJ for making this prosecution a success.”
“Kohn’s actions resulted in devastating consequences for the thousands of seniors and veterans who entrusted him with their money,” said Special Agent in Charge Susan Ferensic of the FBI Columbia Field Office. “We are pleased that he acknowledged his crimes, and that justice will be served.”
In addition to a prison term, Judge Hendricks ordered Kohn to forfeit $297 million and be placed on supervised release for a period of three years after completing his prison term.
Four other defendants previously pleaded guilty to conspiracy for their roles in this scheme. Kraig S. Aiken, 53, of Rancho Santa Margarita, California, pleaded guilty on Nov. 20, 2019. David N. Kenneally, 59, of Greenville, South Carolina, pleaded guilty on July 22, 2020. Melanie Jo Schulze-Miller, 40, of Peoria, Arizona, pleaded guilty on Dec.11, 2020. Joseph P. Hipp, 52, of St. Louis, Missouri, pleaded guilty on Dec.21, 2021. Sentencing hearings have not yet been set for these co-conspirators.
Assistant U.S. Attorney William Watkins for the District of South Carolina and Trial Attorneys Ehren Reynolds and Yolanda McCray Jones of the Civil Division’s Consumer Protection Branch prosecuted the case.
The FBI investigated the case with assistance from the Veterans Benefits Administration’s Benefits Protection and Remediation Division and the Defense Finance Accounting Service. Resources from the Justice Department’s Servicemembers and Veterans Initiative and the Transnational Elder Fraud Strike Force aided in the investigation and prosecution.
The department’s extensive and broad-based efforts to combat elder fraud seeks to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice. For more information on the Servicemembers and Veterans Initiative, or to file a complaint, visit https://www.justice.gov/servicemembers. For more information about the U.S. Attorney’s Office for the South Carolina, visit its website at https://www.justice.gov/usao-sc.
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California Man Receives 10 Year Sentence Following Guilty Plea in South Carolina to Fraud ConspiracyRead the Press Release
Judge Bruce Hendricks of the U.S. District Court for the District of South Carolina sentenced a California man today to 10 years in prison for his role as the ringleader of a nationwide Ponzi scheme that exploited military veterans in desperate financial straits and targeted elderly investors seeking a safe retirement investment.
Scott Kohn, 68, of Newport, California, ran a corporation called Future Income Payments LLC (FIP), formerly known as Pensions, Annuities, and Settlements LLC. From April 2011 until April 2018, Kohn and his co-conspirators used FIP as a vehicle for a nationwide Ponzi scheme.
Kohn and his co-conspirators solicited pensioners experiencing financial distress, most of whom were military veterans, by offering an upfront lump-sum payment in exchange for an assignment of the rights to their monthly pensions and disability payments. Even though the assignment transactions were characterized as “sales,” they were, in fact, usurious loans with annual interest rates of as much as 240%.
Kohn and his co-conspirators – working through a network of hundreds of financial advisors and insurance agents nationwide – then solicited thousands of seniors to purchase FIP’s “structured cash flows,” which were the pensioners’ monthly pension payments. Kohn and his co-conspirators induced these seniors to invest their retirement savings with FIP by making false assurances of a significant rate of return on their investment, concealing the usurious nature of FIP’s transactions with the pensioners and lying about the financial health of the corporation.
During the seven years the scheme operated, Kohn drew upon FIP funds to live a lavish lifestyle. When the Ponzi scheme ultimately collapsed, Kohn and his co-conspirators had caused more than $310 million in losses to more than 2,500 retirees and had placed more than 13,000 veterans into exploitative loans.
“The elaborate Ponzi scheme orchestrated by Kohn and his co-conspirators preyed upon both military veterans experiencing financial hardship and retirees hoping to protect their life savings,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Justice Department’s Civil Division. “The department is committed to protecting our military community and America’s seniors from fraud and abuse.”
“Kohn and his co-conspirators reached across the country to steal from veterans and seniors who desperately needed their money,” said U.S. Attorney Adair F. Boroughs for the District of South Carolina. “These hundreds of millions in losses will reverberate through the victims’ lives long after the defendants serve well-deserved federal prison sentences. This office works tirelessly to protect the people of South Carolina, especially our most loyal and most vulnerable citizens. I appreciate the work of our federal partners and our partners at DOJ for making this prosecution a success.”
“Kohn’s actions resulted in devastating consequences for the thousands of seniors and veterans who entrusted him with their money,” said Special Agent in Charge Susan Ferensic of the FBI Columbia Field Office. “We are pleased that he acknowledged his crimes, and that justice will be served.”
In addition to a prison term, Judge Hendricks ordered Kohn to forfeit $297 million and be placed on supervised release for a period of three years after completing his prison term.
Four other defendants previously pleaded guilty to conspiracy for their roles in this scheme. Kraig S. Aiken, 53, of Rancho Santa Margarita, California, pleaded guilty on Nov. 20, 2019. David N. Kenneally, 59, of Greenville, South Carolina, pleaded guilty on July 22, 2020. Melanie Jo Schulze-Miller, 40, of Peoria, Arizona, pleaded guilty on Dec.11, 2020. Joseph P. Hipp, 52, of St. Louis, Missouri, pleaded guilty on Dec.21, 2021. Sentencing hearings have not yet been set for these co-conspirators.
Assistant U.S. Attorney William Watkins for the District of South Carolina and Trial Attorneys Ehren Reynolds and Yolanda McCray Jones of the Civil Division’s Consumer Protection Branch prosecuted the case.
The FBI investigated the case with assistance from the Veterans Benefits Administration’s Benefits Protection and Remediation Division and the Defense Finance Accounting Service. Resources from the Justice Department’s Servicemembers and Veterans Initiative and the Transnational Elder Fraud Strike Force aided in the investigation and prosecution.
The department’s extensive and broad-based efforts to combat elder fraud seeks to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice. For more information on the Servicemembers and Veterans Initiative, or to file a complaint, visit https://www.justice.gov/servicemembers. For more information about the U.S. Attorney’s Office for the South Carolina, visit its website at https://www.justice.gov/usao-sc.
California County Organized Health System and Three Health Care Providers Agree to Pay $70.7 Million for Alleged False Claims to California’s Medicaid ProgramRead the Press Release
Ventura County Medi-Cal Managed Care Commission doing business as Gold Coast Health Plan (Gold Coast), 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, California; Ventura County, which owns and operates Ventura County Medical Center, an integrated health care system that provides hospital, clinic, and specialty services; Dignity Health (Dignity), a not-for-profit hospital system that operates two acute care hospitals in Ventura County; and Clinicas del Camino Real Inc. (Clinicas), a non-profit health care organization located in Ventura County, have agreed to pay a total of $70.7 million pursuant to three separate settlements to resolve allegations that they violated the federal False Claims Act and the California False Claims Act 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).
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% 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% 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% 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 Jan. 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 California Constitution.
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.
“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.”
“We will pursue every health plan and provider that prioritizes profits over patients,” said Acting U.S. Attorney Stephanie S. Christensen for the Central District of California. “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 double-pay for services that already had been reimbursed or to pay for services that simply were 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.”
“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 health care 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 U.S. Department of Justice and the U.S. 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 in exchange for their agreements to enter into five-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 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, 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 health care 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).
Trial Attorneys Alison Rousseau and Mary Beth Hickcox-Howard of the Civil Division’s Commercial Litigation Branch, Fraud Section and Assistant U.S. Attorney Jack D. Ross for the Central District of California handled this case.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Billings felon sentenced to prison for illegal possession of firearmRead the Press Release
GREAT FALLS — A Billings felon who admitted to illegal possession of a firearm after his arrest in Poplar while absconding from Billings, was sentenced today to 38 months in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
Curtis Jeffrey Montclair, 38, of Poplar and Billings, pleaded guilty in May to prohibited person in possession of a firearm.
Chief U.S. District Judge Brian M. Morris presided.
In court documents, the government alleged that in June 2020, Montclair, a convicted felon on state absconder status from Billings, possessed a 9mm pistol in Poplar. On June 29, 2020, Fort Peck tribal police responded to a report of a man who had discharged a firearm. Officers located Montclair, who was walking with three females. Officers asked to talk to Montclair, who then fled on foot. During the foot chase, Montclair took out a firearm and a bag and dropped them. The officer caught up to Montclair and used his taser to stop him. The officer recovered the handgun. Montclair admitted he knew he was prohibited from possessing firearms and that he had absconded from state supervision. In 2018, Montclair was convicted and sentenced on three separate felony drug possession cases in Yellowstone County.
The U.S. Attorney’s Office prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Fort Peck Police Department and Montana Probation and Parole.
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.
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Beckley Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
BECKLEY, W.Va. – Leon Eugene Smith, Jr., 41, of Beckley, was sentenced today to one year and one day in prison, to be followed by three years of supervised release, for distribution of heroin.
According to court documents and statements made in court, Smith admitted to selling approximately 0.5 grams of suspected heroin to a confidential informant in Lanark, Raleigh County, for $80 on September 15, 2020. The West Virginia State Police Forensic Laboratory confirmed the controlled substance was a mixture of heroin and fentanyl.
Smith further admitted to selling approximately 1.3 grams of heroin on September 17, 2020, and approximately 1 gram of heroin on September 23, 2020, each time to a confidential informant in Lenark for $160.
Smith will serve the sentence consecutively with a prison sentence of one year and eight months imposed for a supervised release revocation on April 15, 2021. Smith had been on supervised release for his conviction of being a felon in possession of a firearm in United States District Court for the Southern District of West Virginia on October 8, 2015.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Raleigh County Sheriff’s Department and the West Virginia State Police.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Timothy D. Boggess and former Assistant United States Attorney Nick Miller prosecuted the case.
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. 5:21-cr-184.
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Batavia Woman and Buffalo Woman Both Going to Prison in Separate COVID Fraud CasesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER/BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Danielle Tooley, 37, of Batavia, NY, who was convicted of wire fraud, was sentenced to serve six months in prison and pay approximately $18,000 in restitution by Chief U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Kyle P. Rossi, who handled the case, stated that between July 9 and December 4, 2020, Tooley applied for and collected unemployment benefits to which she was not entitled, benefits that were connected to federal COVID-19 relief programs. The scheme came to the attention of law enforcement on November 24, 2020, when Tooley was arrested for criminal possession of a controlled substance during a vehicle traffic stop on Clinton Street in Bergen, NY. A New York State Police trooper observed a crack pipe with white residue inside Tooley’s vehicle. As they prepared for Tooley’s vehicle to be towed, troopers recovered six New York State unemployment benefit cards issued to individuals other than Tooley, which they turned over to the U.S. Department of Labor, Office of Inspector General. Subsequent investigation determined that Tooley consistently withdrew money from bank accounts associated with the benefit cards.
In a separate case, Shaneesha White, 32, of Buffalo, NY, who was convicted of wire fraud involving benefits connected to a presidentially declared national emergency, was sentenced to serve 41 months in prison and ordered to pay $48,833.15 in restitution to the NYS Department of Labor by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Rossi, who also handled the case of defendant White, stated that between June 2020 and February 2021, White applied for and received unemployment insurance benefits in her own name, under false and fraudulent pretenses. White and others also used the personal identifying information of two individuals fraudulently to create benefit accounts and collect benefits in the names of these individuals. The benefit money was deposited into bank accounts held and controlled by White at Key Bank. Key Bank also issued ATM cards in both the White’s name and in the names of the two individuals, which White used to make cash withdrawals of the benefits. As a result of the fraud, White unlawfully collected $48,833.15 in benefits.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. It expands states’ ability to provide unemployment insurance for many workers impacted by COVID-19, including for workers who are not ordinarily eligible for benefits. The CARES Act provided for three new UI programs: Pandemic Unemployment Assistance (PUA); Federal Pandemic Unemployment Compensation (FPUC); and Pandemic Emergency Unemployment Compensation (PEUC).
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The sentencings are the result of an investigation by the U.S. Department of Labor, Office of Inspector General, Office of Investigations – Labor Racketeering and Fraud, New York Region, under the direction of Special Agent-in-Charge Jonathan Mellone; the Department of Homeland Security, Office of Inspector General, under the direction of Special Agent-in-Charge John Pias; the U.S. Secret Service, under the direction of Special Agent-in-Charge Jeffrey Burr; the Social Security Administration, Office of Inspector General, under the direction of Special Agent-in-Charge Sharon B. MacDermott; and the New York State Police, under the direction of Major Brian Ratajczak.# # # #
Armed Carjacker Is Sentenced to Seven Years in PrisonRead the Press Release
CHARLOTTE, N.C. – Jermaine Lee Moss, 21, of Charlotte, was sentenced today to seven years in prison to be followed by five years of supervised release for possession and brandishing of a firearm during a carjacking, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
U.S. Attorney King is joined in making today’s announcement by Bennie Mims, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD).
According to filed documents and information presented in court, on September 18, 2020, at approximately 8:00 a.m., Moss carjacked a victim at gunpoint. The victim initially contacted CMPD to report that two males were stealing packages from his neighbor’s porch. While CMPD officers were enroute to investigate the incident, they were advised by dispatchers that the service call had been changed to an armed robbery. According to court documents and the victim’s statement, Moss saw the victim and walked up to his vehicle. Moss then pointed a gun at the victim and told him to get out the car. Moss also ordered the victim to reset his phone. When the victim told Moss he did not know how to do that, Moss threatened to kill him if he did not comply. Moss then drove off in the victim’s vehicle with the victim’s phone.
Court documents show that law enforcement located the stolen vehicle parked at a convenience store while Moss was standing nearby. A CMPD officer approached Moss who did not comply with the officer’s commands. During the arrest, law enforcement recovered a .40 caliber semi-automatic pistol from Moss’s pants pocket. At the time of the carjacking, Moss was on probation with the state of North Carolina for a Common Law Robbery conviction.
Moss is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
The ATF and CMPD handled the investigation. Assistant U.S. Attorney David Kelly of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Allen Man Sentenced to Five Years and 10 Months in Federal Prison for Meth TraffickingRead the Press Release
United States Attorney Alison J. Ramsdell announced that an Allen, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 15, 2022, by U.S. District Judge Jeffrey L. Viken.
Orin Three Stars, age 31, was sentenced to five years and 10 months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Three Stars was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury. He pleaded guilty on April 29, 2022. During the conspiracy, Three Stars obtained methamphetamine brought to South Dakota by others and then distributed that methamphetamine for use and distribution. It was reasonably foreseeable that at least 500 grams, but less than 1.5 kilograms of methamphetamine, would be distributed during the course of the conspiracy.
This case was investigated by the Badlands Safe Trails Drug Enforcement Task Force, which is comprised of agents from the FBI, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs Division of Drug Enforcement, Martin Police Department, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Three Stars was immediately remanded to the custody of the U.S. Marshals Service.
Wednesday 17 August 2022
Wynne Arkansas Man Sentenced to 15 Years in Federal Prison for Possession of Child PornRead the Press Release
FAYETTEVILLE – A Wynne, Arkansas man was sentenced yesterday to 180 months in prison without the possibility of parole on one count of Receipt of Child Pornography. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the U.S. District Court in Fayetteville.
According to court documents, in January 2020 Special Agents identified suspected child pornography that was being made available through a peer-to-peer program from an IP address in Fayetteville, Arkansas. Law enforcement executed a search warrant on the residence associated with the IP address in February 2020. Michael Billy Whitehead, age 35, was present at the residence on the day of the search warrant. Forensic examination of the devices seized from Whitehead’s residence yielded images and videos of child sexual abuse material. Whitehead was previously convicted of Receipt of Child Pornography in 2013 out of the Western District of Arkansas.
A Grand Jury indicted Whitehead in November 2021. Whitehead entered a plea of guilty in March 2022.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
Homeland Security Investigations Fayetteville, and the Northwest Arkansas Internet Crimes Against Children (ICAC) Task Force investigated the case.
Assistant U.S. Attorney Carly Marshall prosecuted the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Winthrop Man Sentenced to Nine Years in Prison for Cocaine Distribution and Money Laundering ChargesRead the Press Release
BOSTON – A Winthrop man was sentenced in federal court in Boston on Aug. 15, 2022 for distributing over 15 kilograms of cocaine and for laundering or attempting to launder approximately $645,000 in cocaine proceeds.
Fabio Quijano, 57, of Winthrop was sentenced by U.S. District Court Judge Leo T. Sorokin to nine years in prison and five years of supervised release. On April 8, 2022, Quijano pleaded guilty to money laundering conspiracy, money laundering, conspiracy to distribute and to possess with intent to distribute five kilograms or more of cocaine and possession with intent to distribute 500 grams or more of cocaine.
Quijano worked with at least two other men—including co-defendant Jairo Agudelo, who previously pleaded guilty and was sentenced to 57 months in prison—to launder hundreds of thousands of dollars in drug proceeds derived from Quijano’s large-scale cocaine trafficking business.
On June 26, 2018, Quijano delivered $135,180 of cocaine proceeds to an undercover officer posing as a money laundering intermediary acting on behalf of a Colombian money broker. On Feb. 4, 2019, Quijano’s business partner delivered another $310,000 in drug proceeds to the undercover. In addition, Agudelo attempted to deliver $200,000 on Feb. 18, 2019, to the undercover officer, on behalf of Quijano and his business partner, when he was stopped by police. Agudelo later admitted that Quijano had given him the $200,000 to launder.
A search of the stash house operated by Quijano and his business partner resulted in the seizure of nearly four kilograms of cocaine, over $310,000 in cash from prior drug sales, a hydraulic kilogram press, drug packaging materials and numerous drug ledgers.
United States Attorney Rachael S. Rollins; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation Division made the announcement. Critical assistance was provided by the Boston Police Department; Massachusetts State Police; Revere Police Department; U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations; and the United States Marshals Service. Assistant U.S. Attorneys Lauren A. Graber and Jared C. Dolan of Rollins’ Criminal Division prosecuted the case.
This investigation was 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.
Waxhaw Man Sentenced to 27 Years for Production of Child PornographyRead the Press Release
CHARLOTTE, N.C. – A Waxhaw, North Carolina, man was sentenced today for producing child pornography, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. U.S. District Judge Frank D. Whitney ordered Jason Lance Thrower, 43, to serve 27 years in prison, a lifetime of supervised release, and to register as a sex offender after he completes his prison term. Thrower was also ordered to pay $55,100 in special assessments.
Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Sheriff Eddie Cathey of the Union County Sheriff’s Office join U.S. Attorney King in making this announcement.
According to filed court documents, court proceedings, and Thrower’s admissions in court, on October 29, 2020, a concerned individual contacted the Union County Sheriff’s Office to report that Thrower possessed sexually explicit images of minors. Law enforcement initiated an investigation into Thrower and determined that the defendant had used a hidden camera to secretly record two minor females while they were undressing and showering. Over the course of the investigation, Thrower’s cell phone and other electronic devices were seized. HSI conducted a forensic analysis of the seized items which revealed multiple images and videos of the minor victims in the bathroom while nude and at various stages of undress, images of the children posing in their underwear, and other sexually suggestive images of the minors.
According to information filed in court documents and statements in court, Thrower also sexually molested a minor victim on multiple occasions. At the sentencing hearing today, the government argued that Thrower’s sexual abuse of the minor was an aggravating factor the Court should consider in determining its punishment. In handing down the sentence of 27 years imprisonment, Judge Whitney noted that the victims in this case would carry their pain for life.
Thrower has been in federal custody since February 2021. He will remain in federal custody until he is transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement U.S. Attorney King commended HSI and the Union County Sheriff’s Office for their investigation of the case.
Assistant U.S. Attorney Mark T. Odulio of the U.S. Attorney’s Office in Charlotte handled the sentencing hearing. Former Assistant U.S. Attorney Cortney S. Randall handled the investigation and prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice, aimed at combating the growing online sexual exploitation of children. By combining resources, federal, state and local agencies are better able to locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue those victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 1-800-THE-LOST (1- 800-843-5678), or https://report.cybertip.org
Wawaka Man Sentenced to 168 Months in PrisonRead the Press Release
FORT WAYNE – Sterling Bastin, 56 years old, of Wawaka, Indiana, was sentenced by United States District Court Judge Holly A. Brady on his plea of guilty to distribution of methamphetamine, announced United States Attorney Clifford D. Johnson.
Bastin was sentenced to a total of 168 months in prison followed by 5 years of supervised release.
According to documents in the case, in December 2020, and February 2021, Bastin sold over 140 grams of methamphetamine to another individual. In May 2021, law enforcement initiated a traffic stop of the vehicle Bastin was driving. However, he disregarded emergency lights and sirens, fled from law enforcement at speeds of 100 mph, lost control of his vehicle and spun out into a ditch, striking a stop sign. Officers seized an additional 3.5 grams of methamphetamine as well as a digital scale from his vehicle.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration with the assistance of the Auburn Police Department, the Dekalb County Sheriff’s Department and the Butler Police Department. The case was prosecuted by Assistant United States Attorney Brent A. Ecenbarger.
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
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Washington County Woman Pleads Guilty to Bank Fraud and Aggravated Identity TheftRead the Press Release
ALBANY, NEW YORK – Renee Burnell, age 49, of Hudson Falls, New York, pled guilty today in connection with a scheme to defraud two banks using the personal information of the customers of her plumbing and heating business.
The announcement was made by United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Burnell pled guilty to bank fraud and aggravated identity theft. She admitted that between August 2019 and January 2020, she defrauded Synchrony Bank and The Bank of Missouri by applying for lines of credit with each bank using her customers’ personally identifiable information and then using the lines of credit to falsify purchases that benefitted her plumbing and heating business. Burnell admitted that her scheme resulted in a loss of $119,264.43 to The Bank of Missouri and a loss of $13,912.00 to Synchrony Bank.
The bank fraud conviction carries a maximum sentence of 30 years in prison and a maximum fine of up to $1 million. The aggravated identity theft conviction carries a mandatory term of 2 years in prison, to be imposed consecutively to any other term of imprisonment. The court may also require Burnell to serve a term of supervised release of up to 5 years to begin after imprisonment. Burnell is scheduled to be sentenced in January 2022, by Senior United States District Judge Lawrence E. Kahn. A defendant’s sentence is imposed by a judge based on the particular statutes the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorney Alexander P. Wentworth-Ping.
U.S. Attorney Announces Sentences in Two Firearms CasesRead the Press Release
BOISE – Two men from southern Idaho were sentenced to federal prison in separate firearms cases this week, announced Josh Hurwit, the United States Attorney for the District of Idaho.
Scott Arlis Thomas, 48, of Caldwell, Idaho, was sentenced in U.S. District Court to 120 months in federal prison for the unlawful possession of firearms, ammunition, and silencers. Senior U.S. District Judge B. Lynn Winmill also ordered Thomas to serve three years of supervised release following his prison sentence.
Thomas has a lengthy criminal history that includes three drug trafficking convictions and a prior conviction for unlawfully possessing a firearm. Due to his criminal history, Thomas is not able to lawfully possess firearms. According to court records, on July 24, 2020, law enforcement conducted a search of Thomas’s shop in Caldwell, Idaho. Inside, officers located four firearms and four silencers. Officers also located marijuana, psilocybin mushrooms, and methamphetamine. The silencers were not registered to Thomas, as required by the National Firearms Act.
In a separate case, Juan Jose Sanchez, 31, of Nampa, Idaho, was sentenced in U.S. District Court to 96 months in federal prison for the unlawful possession of a firearm. Senior U.S. District Judge B. Lynn Winmill also ordered Sanchez to serve three years of supervised release following his prison sentence.
Sanchez also has a lengthy criminal history that includes convictions for aggravated battery, possession of heroin, burglary, and the unlawful possession of a firearm. Due to his criminal history, Sanchez is not able to lawfully possess firearms. According to court records, on February 19, 2021, Sanchez possessed a firearm while at another individual’s residence in Nampa, Idaho. Sanchez shot that individual in the leg during an altercation, fled the residence, and discarded the firearm. Law enforcement responded, investigated, and eventually located and arrested Sanchez.
“I am pleased with the successful prosecution of these repeat offenders who posed a risk to public safety,” said U.S. Attorney Josh Hurwit. “It is imperative that we work to reduce violent crime by aggressively pursuing those who unlawfully possess firearms. The cooperative efforts of the federal, state, and local agencies that work together to combat these crimes make a real difference.”
The Thomas case was investigated by the FBI Metro Violent Crimes Task Force, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Canyon County Sheriff’s Office, the Payette County Sheriff’s Office, the Caldwell Police Department, the Idaho State Police, and the Idaho Department of Correction.
The Sanchez case was investigated by the Canyon County Sheriff’s Office, FBI’s Metro Violent Crimes Task Force, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
These cases were prosecuted as part of the Department of Justice’s Project Safe Neighborhoods (PSN) program. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The Treasure Valley Metro Violent Crime Task Force is comprised of federal, state, and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Ada County Sheriff’s Office; Boise Police Department; Caldwell Police Department; Canyon County Sheriff’s Office; Meridian Police Department; Nampa Police Department; and Idaho Department of Correction.
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Tyler Gang Member Sentenced for Federal Firearms ViolationRead the Press Release
TYLER, Texas – A Tyler man has been sentenced to federal prison for a firearms violation in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Brandon Deshun Hawkins, 36, pleaded guilty on Sep. 29, 2021, to being a felon in possession of a firearm and was sentenced to 37 months in federal prison by U.S. District Judge Jeremy D. Kernodle on August 16, 2022.
According to court documents, on Oct. 13, 2020, Hawkins was stopped while driving on S. Vine Street in Tyler and arrested on outstanding warrants. During the traffic stop, Hawkins threw a plastic bag containing marijuana from the vehicle, resulting in a probable cause search of the vehicle. During the search, officers discovered a pistol between the driver’s seat and center console. Further investigation revealed Hawkins is a member of the Eight Trey Gangster Crips, a criminal street gang, and a convicted felon with five prior convictions for aggravated assault with a deadly weapon from a 2008 Tyler shooting. As a convicted felon, Hawkins is prohibited from owning or possessing firearms or ammunition. Hawkins was indicted by a federal grand jury on March 17, 2021.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Tyler Police Department, the Smith County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Lucas Machicek.
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Two former officials of tiny St. Louis County municipality accused of stealing $660,000Read the Press Release
ST. LOUIS – Two former employees of the small St. Louis County city of Flordell Hills were accused in a grand jury indictment Wednesday of stealing a total of $663,000 over six years, well over the city’s typical annual budget.
Maureen Woodson, the former city clerk, and Donna Thompson, the former assistant city clerk, were each indicted on two counts of wire fraud and two counts of mail fraud.
The indictment says from roughly February 2016 to April 2022, Woodson, 68, and Thompson, 75, used two schemes to enrich themselves at the expense of the struggling city.
The pair wrote about 614 city checks to themselves totaling more than $531,000 without the authority or knowledge of Flordell Hills and its mayor, treasurer or board of aldermen, the indictment says. About 368 checks worth $376,026 were written to Woodson and 246 checks worth $155,329 were written to Thompson. The signature of the mayor and/or the treasurer, which were needed to authorize payment, were forged by the women, the indictment says.
The pair used the money to pay personal expenses and for gambling both online and at area casinos, the indictment says.
In the second scheme alleged in the indictment, Woodson and Thompson used $132,249 in city funds to directly pay personal expenses including retail vendor charges, entertainment, restaurant bills, rent for their home and taxes they owed to the Internal Revenue Service. The women either used Flordell Hills bank checks to pay the bills or used wire transfers of city money.
“The amount of money at issue in this case is stunning, particularly from a small city with so many residents below the poverty line,” said U.S. Attorney Sayler Fleming. “The loss of this money meant the city could sometimes not pay their bills,” she added.
Special Agent in Charge Jay Greenberg of the FBI St. Louis Division said, “It would be devastating for any city to have its money stolen year over year. It’s exponentially worse when an impoverished community gets fleeced by those sworn to serve it. Fighting public corruption is the FBI’s top criminal priority because such crimes undermine the community’s faith in our government.”
Each charge carries a penalty of up to 20 years in prison, a $250,000 fine, or both.
The indictment also contains a forfeiture provision seeking to recover the money.
Woodson was hired in 2010 and Thompson in 2012. Both women were terminated in May.
Flordell Hills is roughly six blocks square and has a population of about 800. Approximately 53.9% of those residents live below the poverty line, according to the U.S. Census Bureau.
Charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The case was investigated by the FBI. Assistant U.S. Attorney Hal Goldsmith is prosecuting the case.
Two Current Kentucky State Police Troopers and One Former Trooper Indicted for Civil Rights Violations and ConspiracyRead the Press Release
LONDON, Ky. - Two current Kentucky State Police Troopers and a former Trooper have been indicted for using excessive force on an arrestee, conspiring to cover up that excessive force, and illegally entering a home.
A federal grand jury sitting in London returned a superseding indictment charging Kentucky State Trooper Jeremy Elliotte, 28, and former Trooper Derrek Lovett, 30, with willfully depriving an arrestee of the right to be free from unreasonable force. Elliotte was also charged with willfully depriving three others of their right to be free from unreasonable searches. Michael L. Howell, 32, also a Kentucky State Trooper, was the third defendant named in the superseding indictment. He had previously been indicted in June 2022, for conspiracy and obstruction charges. The superseding indictment now charges all three with a conspiracy and with engaging in obstructive conduct with the intent to prevent communication of information to federal law enforcement relating to the possible commission of a federal offense.
The indictment alleges that Elliotte and Lovett, aiding and abetting one another and acting under color of law, assaulted a victim without legitimate law enforcement justification and that this assault resulted in bodily injury. The indictment further alleges that Howell, along with Elliotte and Lovett, conspired to conceal the true nature of the force Elliotte and Lovett used against the arrestee and the circumstances under which they used it. According to the indictment, the three defendants developed a cover story about what happened. While hoping the assault had not been recorded, the conspirators agreed upon a version that was as close as possible to what a recording would show, in case the assault had been recorded. The indictment also alleges that, on the night of the assault, Elliotte unlawfully entered a home without a warrant or other legal justification, depriving three victims living there of their right to be free from unreasonable searches.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky, and Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office, announced the indictments.
The investigation preceding the indictments was conducted by the FBI. The indictment was presented to the grand jury by Assistant U.S. Attorneys Zachary Dembo and Emily Greenfield.
A date for Elliotte, Howell and Lovett to appear in court has not yet been set. Each faces up to 20 years in prison for the conspiracy and obstruction charges; Elliotte and Lovett face up to 10 years for the deprivation of rights charge related to the assault; and Elliotte faces up one year for the deprivation of rights charge related to the unlawful entry. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which government must prove guilt beyond a reasonable doubt.
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Tukwila, WA, man who torched a car to retaliate against an informant sentenced to 7 years in prisonRead the Press Release
Seattle – A 23-year-old Tukwila, Washington, man was sentenced today in U.S. District Court in Seattle to 7 years in prison for retaliating against an informant and conspiracy to use fire to obstruct justice, announced U.S. Attorney Nick Brown. Jordan Sanchez was arrested January 20, 2021, for the November 20, 2020, fire at a Burien apartment complex. At the sentencing hearing Chief U.S. District Judge Ricardo S. Martinez noted that Sanchez… “threw a lit firebomb into a vehicle under an apartment building where many innocent people were living…. An extremely serious offense.”
“Respect for each other, and the laws and norms of our democracy, is vital to maintaining safe and healthy communities,” said U.S. Attorney Nick Brown. “Seeing the pictures of the burned-out car and the damage to the apartment building shows that Mr. Sanchez lacked both. Both the person who ordered the fire and Mr. Sanchez are being held accountable for their dangerous conduct and their efforts to subvert the rule of law and obstruct justice.”
According to records filed in the case, Sanchez was a drug customer of 30-year-old David Rosario. Rosario was arrested after selling guns and drugs to an undercover federal agent. Rosario blamed the person who introduced him to the agent and wanted to retaliate against them. Rosario offered to pay Sanchez with fentanyl pills for burning the informant’s car. In the early morning hours of November 20, 2020, Sanchez filled a beer bottle with gasoline, stuffed a t-shirt in the bottle and took it to the apartment complex in search of the informant’s convertible. Sanchez cut a hole in the roof of the car, lit the t-shirt on fire and dropped the gasoline loaded beer bottle in the car.
Burned carFortunately, one of the apartment residents smelled burning rubber and called 9-1-1. Another caller reported being trapped in the apartment complex by thick black smoke. But for King County Fire’s quick response, lives could have been lost.
As prosecutors wrote in their sentencing memo, “A King County Sheriff’s Office arson investigator believed that the fire would have spread to the complex and killed apartment residents if it had not been discovered so quickly… Sanchez risked the lives of apartment residents who were awakened by smoke and sirens and ran from their beds in the middle of the night, or, worse, were trapped in their apartment surrounded by black smoke.”
Burned car and damaged ceilingSanchez was ordered to pay $77,495 in restitution to the victims of the fire. That amount could increase if there are additional claims.
In March 2022, Sanchez pleaded guilty to obstructing justice by retaliating against an informant and conspiracy to use fire to obstruct justice.
Rosario was sentenced earlier this month to 11 years in prison for his role in the fire, and for drug and gun crimes.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the King County Sheriff’s Office, with help from the Drug Enforcement Agency (DEA).
This case was prosecuted by Assistant United States Attorney Jessica M. Manca.
Third Defendant Pleads Guilty to Involvement in Nigerian Fraud SchemeRead the Press Release
Jackson, Miss. – A third defendant in a Nigerian fraud scheme pled guilty today to conspiracy, announced U.S. Attorney Darren LaMarca and Special Agent in Charge David Denton of Homeland Security Investigations in New Orleans.
Ruth Ann Charlton, 62, of Franklinton, Louisiana, pled guilty to the conspiracy, joining two other defendants who previously pled guilty to the same conspiracy: Edafe Onoetiyi, 34, of Nigeria but living in Dallas, Texas, and Susan Johns, 54, of Bothwell, Washington.
According to court documents, the defendants conspired with each other and other individuals to defraud American citizens by transferring bank account information, personally identifiable information, and other access devices to create and transfer fraudulent loans and perpetrate other forms of theft, resulting in the fraudulent transfer of hundreds of thousands of dollars both internally within the United States as well as to locations abroad, including Canada and Nigeria. Many of the victims of the fraud were romance scheme victims, wherein fraudsters concealing their true identities duped innocent victims into either sending money or allowing the fraudsters to use their bank account to move fraudulently obtained money.
The defendants will be sentenced by U.S. District Judge David Bramlette III on November 15, 2022, at 11:00 a.m. at the federal district courthouse in Natchez, Mississippi.
These convictions are the result of a multi-year investigation conducted by Homeland Security Investigations. The U.S. Department of Justice’s Computer Crime and Intellectual Property Section assisted with preparation of the case.
Assistant United States Attorneys Erin Chalk and Andrew W. Eichner are prosecuting the case.
Texan gets max for smuggling people behind produceRead the Press Release
CORPUS CHRISTI, Texas – A 37-year-old San Benito man has been ordered to federal prison following his conviction of illegally transporting undocumented aliens within the United States, announced U.S. Attorney Jennifer B. Lowery.
Eric Mendiola pleaded guilty May 23 to smuggling 31 individuals while driving an 18-wheeler.
Today, U.S. District Judge Drew B. Tipton ordered Mendiola to serve the statutory maximum of 60 months in federal prison to be immediately followed by two years of supervised release. At the hearing, the court heard additional evidence that this is Mendiola’s third conviction for smuggling humans. In handing down the sentence, the court noted the manner in which Mendiola transported individuals.
At the time of his plea, Mendiola admitted that on March 20, Mendiola drove a tractor trailer into the Border Patrol (BP) checkpoint near Sarita. At inspection, A K-9 soon alerted authorities to the presence of concealed humans. Law enforcement opened the doors of the trailer and discovered individuals hiding behind a load of produce.
In the trailer were 31 undocumented aliens - 19 from Mexico; five, four and two from Columbia, Guatemala and El Salvador, respectively; as well as one Honduran national. All were determined to be in the United States illegally. In addition, the temperature inside the refrigerated trailer was 41 degrees Fahrenheit.
Mendiola will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of BP. Assistant U.S. Attorney John Marck prosecuted the case.
Ten Indicted in Southeastern Massachusetts Fentanyl Trafficking ConspiracyRead the Press Release
BOSTON – Ten individuals were indicted today by a federal grand jury in Boston for their alleged involvement in a drug trafficking organization (DTO) that distributed fentanyl throughout Southeastern Massachusetts and Rhode Island. The defendants were initially arrested and charged on July 19, 2022. Approximately 14.9 kilograms of suspected fentanyl and substantial amounts of cash were seized at the time of the arrests.
According to the charging documents, in March 2021, law enforcement began investigating a DTO led by Estarlin Ortiz-Alcantara operating in Southeastern Massachusetts and Rhode Island. Intercepted communications on numerous cellphones allegedly identified Mario Rafael Dominguez-Ortiz, Yeury Francisco Garcia-Rodriguez, Rafael Cesar Cabreja Jimenez and Alfredo Valdez as members of the DTO who conspired with Ortiz-Alcantara to regularly distribute multi-kilograms of fentanyl from a base of operations at a stash house in Fall River.
The investigation also identified Rebecca Bartholomew, Edwin Collazo, Jason Cruz, Michael Pacheco and Jose Santiago as alleged regular DTO customers who re-distributed fentanyl to their own local customer bases in areas including Cape Cod, Taunton and New Bedford. As part of the conspiracy, it is alleged that members of the DTO, under Ortiz-Alcantara’s management and control, conducted drug transactions with these regular customers in public areas – including in the diaper aisle of a store and in supermarket parking lots. It is also alleged that on at least one occasion, members of the DTO transported drugs concealed in cereal boxes while accompanied by a child. Over 500 grams of suspected fentanyl was seized during the investigation through controlled purchases and drug seizures.
The following defendants were charged with conspiracy to distribute 400 grams or more of fentanyl:
- Estarlin Ortiz-Alcantara, 36, of Providence, R.I.;
- Mario Rafael Dominguez-Ortiz, 24, of Cranston, R.I.;
- Yeury Francisco Garcia-Rodriguez, a/k/a “Benjamin Osorio Pizarro,” 32, of Providence, R.I.;
- Rebecca Bartholomew, 36, of Yarmouth;
- Jose Santiago, 45, of New Bedford;
- Edwin Collazo, 26, of New Bedford;
- Jason Cruz, 41, of New Bedford;
- Michael Pacheco, 43, of Taunton;
- Rafael Cesar Cabreja Jimenez, 27, of Providence; and
- Alfredo Valdez, 44, of Providence.
The following defendants were charged with possession with intent to distribute 400 grams or more of fentanyl:
- Estarlin Ortiz-Alcantara,
- Rafael Cesar Cabreja Jimenez, and
- Alfredo Valdez, 44, of Providence.
The following defendants were charged with possession with intent to distribute fentanyl:
- Edwin Collazo, and
- Michael Pacheco.
“Today’s indictment is another step towards dismantling what we believe to be a substantial drug trafficking organization that pumped deadly fentanyl into neighborhoods throughout Southeastern Massachusetts and Rhode Island – including the Providence, New Bedford, Taunton and Cape Cod areas,” said United States Attorney Rachael S. Rollins. “My office is committed to prosecuting fentanyl traffickers to the fullest extent of the law for their deadly business. I commend our federal, state and local law enforcement partners for their outstanding investigation resulting in today’s indictment.”
“DEA is committed to investigating and dismantling Drug Trafficking Organizations and the individuals who are responsible for distributing lethal drugs like fentanyl to the citizens of Massachusetts,” said Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division. “Let these sentences be a warning to those traffickers who are distributing this poison in order to profit and destroy people’s lives. DEA’s top priority is combating the opioid epidemic by working with our local, county, state and federal partners. We won’t stop until individuals who distribute deadly drugs are brought to justice.”
The charges of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl, and possession with intent to distribute 400 grams or more of fentanyl, provide for a sentence of between 10 years and life in prison, at least five years and up to a lifetime of supervised release, and a fine of up to $10 million. The charge of possession with intent to distribute fentanyl provides for a sentence of 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.
U.S. Attorney Rollins, DEA SAC Boyle, New Bedford Police Chief Paul Oliveira and Fairhaven Police Chief Michael J. Myers made the announcement today. Special assistance was provided by the Massachusetts State Police; Homeland Security Investigations; Bristol County Sherriff’s Office; and Fall River, Taunton, Attleboro, Scituate, Yarmouth, Providence (R.I.) and West Warwick (R.I.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of Rollins’ Narcotics & Money Laundering Unit is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The defendants are 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 Alleged Threats Made to Boston Children's HospitalRead the Press Release
“Today’s news about the alleged threats directed at Boston Children’s Hospital transgender health program is disturbing to say the least. Children deserve an opportunity to thrive and grow as their own authentic selves. Parents/guardians and health care providers who support them in that journey should be allowed to do so free of threats and harassment. I want to make it clear that the Department of Justice will ensure equal protection of transgender people under the law. As Attorney General Merrick Garland recently said, “At the Justice Department, we view confronting hate crimes as both our legal and our moral obligation.” I have made confronting hate crimes a priority of my administration, establishing a unit dedicated to the investigation and prosecution of civil rights violations. We also have worked tirelessly to send a message to hate groups that the U.S. Attorney’s Office is open for business. Our newly established hotline, 1-83-END-H8-NOW has resulted in dozens of calls and we will continue to pursue all leads. While free speech is indeed the cornerstone of our great nation, fear, intimidation and threats are not. I will not sit idly by and allow hate-based criminal activity to continue in our District.”
Statement by U.S. Attorney Breon Peace on the Passing of Former U.S. Attorney Andrew J. MaloneyRead the Press Release
“Our Office mourns the passing of Andrew J. Maloney, who nobly served as the 33rd United States Attorney for the Eastern District of New York with a passion for doing justice, a toughness honed as a boxer at West Point and Army Ranger, and supreme confidence in his prosecutors that resulted in amazing work during his tenure. Andy was an extraordinary trial lawyer, mentor, role model, and leader by example. The Office excelled under Andy’s leadership, with landmark organized crime cases that rocked the underpinnings of New York’s Mafia families, corruption prosecutions of a Brooklyn political boss and a state Assembly leader, the indictment of Colombian drug kingpin Pablo Escobar and his top hitman for conspiring to bomb an Avianca jetliner that exploded over Colombia killing 110 people, and the conviction of a prominent corporate lawyer who swindled clients out of millions of dollars. Those are just a few of the monumental cases that are Andy’s legacy. The generation of attorneys who became great prosecutors under Andy’s influence and leaders in the legal community are too numerous to name, but they, too are his legacy. We thank him for his service and immense contribution to making the Eastern District of New York the gold standard for prosecution offices in the United States.”
St. Louis man admits armed robbery of Jennings auto parts storeRead the Press Release
ST. LOUIS – A man from St. Louis on Wednesday admitted robbing an auto parts store in Jennings and crashing into a funeral procession while trying to escape police.
Diven Steed, 27, admitted robbing the O’Reilly Auto Parts store in Jennings on Dec. 5, 2020. Steed was carrying a Pioneer Arms “Hellpup” AK-47-style pistol and his co-defendant, Collis Lee, also had a pistol.
Steed and Lee took cash from store registers. Lee pistol-whipped one clerk, and the other then offered the robbers his own money to distract them. When the clerks told the robbers that they could not open the time-locked safe, Lee pistol-whipped the injured clerk a second time, Steed’s plea agreement says.
While the robbers’ attention was focused on the two clerks, a customer slipped out of the store and asked employees of another store to call 911.
When Steed and Lee left the auto parts store, witnesses pointed them out to police, who had already begun to arrive in response to the 911 call. Lee and Steed drove off, but a short time later crashed into a limousine in a three-car funeral procession transporting grieving family members to a funeral home. Five people in the limousine were injured.
Steed got out of his vehicle and ran toward some homes, refusing officers’ orders to drop his gun and presenting a danger to officers and area residents, his plea says. An officer fired twice at Steed, hitting him in the buttocks.
Lee also ran, but tripped. Police found two guns, cash and coins between the two pairs of sweatpants he was wearing.
Steed pleaded guilty in front of U.S. District Henry E. Autrey to a robbery charge and a charge of brandishing a firearm in furtherance of a violent crime. He is scheduled to be sentenced Nov. 16. The robbery charge carries a potential penalty of up to 20 years in prison and the gun charge carries a mandatory seven-year term consecutive to any other charge.
Lee, 25, of Moline Acres, pleaded guilty to the same charges in December and was sentenced in March to 11 years and three months in prison.
The St. Louis County Police Department investigated the case. Assistant U.S. Attorney Jason Dunkel is prosecuting the case.
St. Charles County man admits pandemic loan fraudRead the Press Release
ST. LOUIS – A man from O’Fallon, Missouri on Wednesday admitted fraudulently obtaining a $54,900 loan meant to aid businesses affected by the coronavirus pandemic.
David Smiley, 39, pleaded guilty in front of U.S. District Judge Ronnie L. White to a wire fraud charge. Smiley admitted that on July 8, 2020, he fraudulently sought and later obtained a $54,900 Economic Injury Disaster Loan through the federal Small Business Administration.
Smiley lied about the existence of a company, falsified that company’s gross revenue and falsely claimed that 13 employees worked there, his plea agreement says. He also listed his personal checking account as the business bank account.
Smiley admitted using the money for car payments, private school payments, to repair a Cadillac Escalade SUV and for cryptocurrency.
FBI investigators obtained and executed a seizure warrant on July 6, 2021, recovering $25,000 from Smiley’s checking account. He was indicted a month later.
The wire fraud charge carries a penalty of up to 20 years in prison, a $250,000 fine, or both. Smiley is scheduled to be sentenced Nov. 16.
The FBI investigated the case. Assistant U.S. Attorney Derek Wiseman is prosecuting the case.
South Carolina Fentanyl Trafficker Is Sentenced to 13 YearsRead the Press Release
CHARLOTTE, N.C. – A South Carolina man was sentenced to 13 years in prison today for trafficking nearly a kilogram of fentanyl, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Lawrence Robinson, 32, of Wellford, South Carolina, was also ordered to serve five years of supervised release.
According to filed documents and court proceedings, on August 3, 2020, the Charlotte Mecklenburg Police Department (CMPD) received a report that a backpack possibly containing narcotics was found at a short-term rental property in Charlotte. CMPD officers responding to the service call located the backpack which contained a substance later identified as 774.74 grams of fentanyl. The backpack also contained marijuana, ammunition, a digital scale, and other drug paraphernalia commonly used to package narcotics for distribution. Court records show that CMPD officers obtained video footage from the rental property which showed Robinson carrying various bags from his parked vehicle to the rental property, including the recovered backpack. While officers were conducting their investigation at the rental property, they observed Robinson driving by in his vehicle. The officers proceeded to conduct a traffic stop of the vehicle and Robinson was arrested at the scene. Officers executed a search warrant for Robinson’s vehicle and the rental unit, from which they recovered a loaded firearm with a round of ammunition in the chamber, $10,000 in cash, and a money counter. When investigators arrested Robinson at an apartment in Asheville on the federal arrest warrant stemming from this case, they also recovered an assault rifle and ammunition, narcotics, and more than $10,000 in cash.
On March 25, 2022, Robinson pleaded guilty to possession with intent to distribute fentanyl and marijuana.
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In a separate case, U.S. District Judge Robert J. Conrad Jr. sentenced Lynnard Fleming, 30, of Charlotte, to eight years in prison and three years of supervised release for drug and firearms offenses. Court records in this case show that on April 11, 2020, CMPD officers located a stolen vehicle parked at a residence in Charlotte and observed Fleming walking away from the car’s driver’s side. Court records show that, when Fleming saw the officers, he attempted to flee the scene. When officers caught Fleming shortly thereafter, they found a mixture containing fentanyl and heroin in his pocket. Inside the stolen vehicle from which Fleming had run, the officers seized additional mixture containing fentanyl and heroin, digital scales, an assault rifle loaded with 21 rounds of ammunition, 20 additional rounds of ammunition, a stolen loaded semiautomatic pistol, and a suppressor/barrel extender.
On March 29, 2022, Fleming pleaded guilty to possession with intent to distribute fentanyl and heroin and carrying a firearm during and in relation to, and possessing a firearm in furtherance of, a drug trafficking crime.
“Fentanyl is a killer drug. A small dose can lead to an overdose death,” said U.S. Attorney King. “From street dealers, to crooked doctors, to bulk traffickers, anyone who distributes this potentially lethal substance is a threat to public health safety and can be subject to a federal investigation and prosecution. We must and will do all we can to save lives and protect our communities from this dangerous drug,” said U.S. Attorney King.
Both Robinson and Fleming are currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons.
In making today’s announcement U.S. Attorney King commended the Bureau of Alcohol, Tobacco, Firearms and Explosives and CMPD for their investigations into both cases and thanked the Asheville Police Department for their assistance with the investigation of Robinson.
Assistant U.S. Attorney Taylor G. Stout of the U.S. Attorney’s Office in Charlotte prosecuted both cases.
San Carlos Man Sentenced to 29 Months for AssaultRead the Press Release
PHOENIX, Ariz. – Last week, Josiah Kindelay, 26, of San Carlos, Arizona, was sentenced by United States District Judge John J. Tuchi to 29 months in prison. Kindelay previously pleaded guilty to Assault Resulting in Serious Bodily Injury.
On January 12, 2019, Kindelay, a San Carlos Apache Tribal member, was driving his car across the San Carlos Apache Indian Reservation while under the influence of alcohol. Kindelay struck the 68-year-old Native American victim as he was preparing to change his van’s flat tire on the side of the road. The victim suffered serious bodily injury including bone fractures to both legs. As a result, one of the victim’s legs had to be amputated.
The Bureau of Indian Affairs, San Carlos Investigation Unit, conducted the investigation in this case. The United States Attorney’s Office, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00396-PHX-JJT
RELEASE NUMBER: 2022- 139_KINDELAY# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Sacaton Man Sentenced to over 15 Years for Shooting DeathRead the Press Release
PHOENIX, Ariz. –Sage Jones, 30, of Sacaton, Arizona, was sentenced August 15, 2022, by United States District Judge Dominic W. Lanza to 188 months in prison, followed by five years of supervised release. Mr. Jones is a recognized member of the Gila River Indian Community. On March 24, 2021, Jones shot the victim multiple times, resulting in the victim’s death. Jones previously pleaded guilty on May 13, 2022, to Second Degree Murder.
The Federal Bureau of Investigation and the Gila River Police Department conducted the investigation in this case. Assistant U.S. Attorney Raynette Logan, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-21-00963-PHX-DWL
RELEASE NUMBER: 2022-138_Jones# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Rochester Man Going to Prison for Rioting During Rochester Civil Unrest in May 2020Read 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 Dyshika McFadden, 28, of Rochester, NY, who was convicted of civil disorder, was sentenced to serve 30 months in prison by U.S. District Judge Charles J. Siragusa. McFadden was also ordered to pay $4,287 in restitution.
Assistant U.S. Attorney Cassie M. Kocher, who is handling the case, stated that on May 30, 2020, McFadden participated with others in a public protest near the Public Safety Building on Exchange Street in Rochester, which turned violent and resulted in vandalism, damaged property, looting, and fires. At approximately 5:05 p.m., McFadden and others used an aerosol can and an open flame to set fire to a marked Rochester Police Department car, while it was parked in front of the Public Safety Building. The car was completely destroyed by fire. McFadden admits that he set the fire with assistance of others
The sentencing is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Rochester Police Department, under the direction of Chief David Smith; the Gates Police Department, under the direction of Chief James VanBrederode; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter; the New York State Police, under the direction of Major Brian Ratajczak; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley; the Greater Rochester Area Narcotics Enforcement Team; the Rochester Fire Department, under the direction of Fire Chief Willie Jackson; and the United States Marshal’s Service, under the direction of United States Marshal Charles Salina.
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Providence Man Sentenced, Faces Deportation for Possessing Nearly 2 Kilos of CocaineRead the Press Release
PROVIDENCE – A Dominican national, who was detained moments after he claimed a package containing nearly two kilograms of cocaine shipped through the U.S. Postal Service, was sentenced on Tuesday to sixteen months in federal custody and faces deportation, announced United States Attorney Zachary A. Cunha.
Robinson Padilla-Rosario, 38, was arrested in April 2021, moments after he claimed a package at a Providence post office that U.S. Postal Inspectors and Rhode Island State Police determined contained two “bricks” of cocaine powder. The “bricks” were concealed inside a heavily wrapped package whose contents had been wrapped in duct tape, spray foamed, and wrapped again with birthday gift wrap.
According to charging documents, on April 17, 2021, two days after a Postal Service employee was unable to make a controlled delivery of the package to a Providence residence addressed to a “Jose Azcona,” Padilla-Rosario, claiming to be Azcona, retrieved the package from the post office. He was detained as he left the post office and was found to be in possession of a fake Rhode Island driver’s license bearing his photograph, the name Jose A. Azcona, and the address to which the package had been mailed.
Investigators discovered evidence on a cellphone in Padilla-Rosario’s possession that he had been using an app to communicate with a person in Puerto Rico; those communications included an image of the Postal Service redelivery slip for the package containing the cocaine.
Padilla-Rosario pleaded guilty on May 11, 2022, to possession with intent to distribute 500 grams or more of cocaine and using a communication device to facilitate the commission of a drug felony. In federal custody for approximately sixteen months since the time at which he was initially charged, Padilla Rosario was sentenced today by U.S. District Court Judge William E. Smith to time served followed by two years of federal supervised release. As Padilla Rosario was illegally present in the United States following a prior unlawful entry and voluntary departure in 2004, he has separately been taken into the custody of immigration authorities for the purpose of effecting his removal from the United States.
The case was prosecuted by Assistant U.S. Attorney Ly T. Chin.
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