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Friday 12 August 2022
Owner of Medford Construction Company Indicted for $11 Million Tax Offenses and Making False StatementRead the Press Release
BOSTON – A former Quincy man has been indicted by a federal grand jury in connection with a tax fraud scheme that resulted in a tax loss of approximately $4.4 million and allegedly making false statements about a fatal workplace accident.
Mauricio Baiense, 55, was indicted on one count of conspiracy to defraud the United States, seven counts of failure to collect and pay over taxes, one count of aiding and assisting in the preparation of a false tax return, and one count of making false statements. Baiense was released on conditions following an initial appearance before U.S. District Court Magistrate Judge Jennifer C. Boal on Aug. 8, 2022
According to the indictment, Baiense owned and operated Contract Framing Builders, Inc. (CFB), a Medford-based construction business. Baiense was responsible for filing CFB’s quarterly employment tax returns and collecting and paying over to the IRS payroll taxes withheld from the wages of the company’s employees. It is alleged that, from approximately 2013 through 2017, Baiense facilitated having approximately $11 million worth of checks drawn on CFB’s corporate bank account to purported subcontractors, which were in fact nominee entities allegedly controlled by him. Baiense allegedly then cashed or directed others to cash the checks at a check cashing business and used the money to operate an “off-the-books” cash payroll for CFB’s employees. It is alleged that Baiense did not report the cash wages to the IRS and did not pay employment taxes on wages paid to employees in cash. Baiense also allegedly assisted in the preparation of at least one fraudulent employment tax return that understated the actual wages paid to CFB’s employees.
It is further alleged that Baiense made a false statement to federal investigators when questioned under oath at a U.S. Department of Labor Occupational Safety and Health Administration (OSHA) hearing regarding a fatal workplace accident.
The charge of conspiracy to defraud the United States provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charges of failure to collect and pay over taxes each provide for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of aiding and assisting in the preparation of a false tax return provides for a sentence of up to three years in prison, up to one year of supervised release and a fine of up to $250,000. The charge of making a false statement provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; Stuart M. Goldberg, Acting Deputy Assistant Attorney General of the Justice Department’s Tax Division; Galen Blanton, Regional Administrator of the Department of Labor OSHA Region 1; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, and Jonathan Mellone, Special Agent in Charge of the Department of Labor, Office of Inspector General in Boston made the announcement. Assistance in the investigation was also provided by the Department of Homeland Security, OSHA Criminal Investigations Team, Region 1, and the Department of Labor, Office of Inspector General. Assistant U.S. Attorney David Tobin of Rollins’ Major Crimes Unit and Trial Attorney Thomas F. Koelbl of the Justice Department’s Tax Division are prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Oklahoma Man Charged with Possession of Contraband by InmateRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sapulpa, Oklahoma, man has been indicted by a federal grand jury for Possession of Contraband by Inmate.
Charles Nathaniel Graves, age 36, was indicted in August of 2022. He appeared before U.S. Magistrate Judge Veronica L. Duffy on August 5, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about March 25, 2022, Graves, who had been given a furlough to attend a funeral, came back to the Yankton County Jail with contraband; a substance which tested positive for methamphetamine.
The charge is merely an accusation and Graves is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Graves was remanded to the custody of the U.S. Marshals Service pending trial, which has been set for October 11, 2022.
New York City Man Sentenced for Possessing Ammunition as a FelonRead the Press Release
SYRACUSE, NEW YORK - Stephon Williams, age 38, of Brooklyn, New York, was sentenced yesterday to serve 41 months in federal prison for possessing ammunition as a previously convicted felon. The announcement was made by United States Attorney Carla B. Freedman, Matthew Scarpino, Acting Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo Field Office, and Timothy Walker, Port Director-Alexandria Bay Port of Entry, U.S. Customs and Border Protection (CBP).
As part of his previous guilty plea in this case, Williams admitted that on September 24, 2021, a vehicle he was driving was stopped and searched by agents of United States Customs and Border Protection (CBP) near Alexandria Bay, New York. During the search, Williams was found in possession of a Glock-style, 9mm semi-automatic pistol, with no serial number, also known as a “ghost gun.” At the time the pistol was located by CBP agents, the pistol contained a 30-round high-capacity magazine with 25 rounds of ammunition. Williams was prohibited from possessing firearms and ammunition due to a previous conviction for Criminal Sale of a Controlled Substance in the Fourth Degree, a Class C felony in the State of New York.
United States District Judge David N. Hurd also imposed a 3-year term of supervised release, which will start after Williams is released from prison.
The case was investigated by the Buffalo Field Office of Homeland Security Investigations (HSI) and U.S. Customs and Border Protection (CBP) and was prosecuted by Assistant U.S. Attorney Adrian LaRochelle.
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.
Media Advisory – Press Conference AnnouncementRead the Press Release
CLINTON, N.C. – United States Attorney Michael Easley, along with representatives from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Sampson County Sheriff’s Office will hold a press conference on Monday, Aug. 15 to announce the sentencing of Jimmy McKoy Rouse, a convicted Bloods gang member and large-scale drug trafficker.
WHERE: Sampson County Sheriff’s Office – 112 Fontana Street, Clinton
WHEN: Monday, August15 at 11:00 a.m.
Media, please arrive at by 10:30 a.m. for set up.
Credentialed members of the media are invited to attend. For additional information, please e-mail Don Connelly at [email protected]. Please RSVP your intentions to attend the event.
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McLaughlin Man Convicted of First Degree Murder and Firearm ChargeRead the Press Release
United States Attorney Alison J. Ramsdell announced that Casey Lynn Crow Ghost, age 44, of McLaughlin, South Dakota, was found guilty of First Degree Murder and Use of a Firearm During a Crime of Violence that Causes Death as a result of a three-day federal jury trial in Aberdeen, South Dakota. The verdict was returned on August 11, 2022.
The convicted charges carry penalties of mandatory life in prison and a $250,000 maximum fine, as well as a $200 special assessment to the Federal Crime Victims Fund, and restitution.
Crow Ghost was indicted by a federal grand jury in January of 2021.
The conviction stems from the December 12, 2020, shooting death of Crow Ghost's romantic partner in McLaughlin. The victim's body was discovered on December 15, 2020, and an autopsy determined she died from a gunshot wound to the back of the head. Crow Ghost was interviewed by law enforcement and claimed that the shooting was both an accident and a result of self-defense. Evidence gathered by law enforcement showed Crow Ghost murdered the victim with a handgun and did so with premeditation.
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 FBI, the Bureau of Indian Affairs, Office of Justice Services, Standing Rock Agency, and the Corson County Sheriff’s Office. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
A presentence investigation was ordered, and a sentencing date was set for October 31, 2022. The defendant was remanded to the custody of the U.S. Marshals Service.
Man Sentenced to Five Years in Prison for Burglaries in Northwest WashingtonRead the Press Release
WASHINGTON – Tyrone Edmondson, 49, who had no fixed address, was sentenced today to a five-year prison term on charges stemming from a series of break-ins in Northwest Washington last fall, announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department.
Edmondson pleaded guilty in May 2022, in the Superior Court of the District of Columbia, to charges of second-degree burglary and attempted second-degree burglary. The plea, which was contingent upon the Court’s approval, called for a five-year prison term. The Honorable William W. Nooter accepted the plea today and sentenced Edmondson accordingly. Following his prison term, Edmondson will be placed on three years of supervised release.
According to the government’s evidence, on August 11, 2021, shortly after 6:00 a.m., Edmondson entered an occupied home in the 1500 block of Park Road NW through its kitchen window. The resident was awoken by the noise of Edmondson inside his home and called the Metropolitan Police Department. Edmondson sought to take memorabilia and household items, but was apprehended by the Metropolitan Police Department in the home’s entryway. Edmondson was arrested and charged for this offense but was released on his personal recognizance over the government’s objection. On October 21, 2021, between approximately 4:30 and 5:30 a.m., Edmondson entered a garage appurtenant to a home in the 3600 block of New Hampshire Avenue NW. Edmondson took a large number of household goods, which surveillance footage shows he pushed away in a shopping cart.
Edmonson returned to the home in the 3600 block of New Hampshire Avenue NW shortly after 2:00 a.m. on November 3, 2021. The residents were alerted to Edmondson’s presence in their backyard by a surveillance camera and called the Metropolitan Police Department. Edmondson was arrested by responding officers and has remained in custody ever since.
In announcing the sentence, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the cases from the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Crystal Waddy. Finally, they expressed appreciation for the work of Assistant U.S. Attorney Paul V. Courtney, who investigated and prosecuted the cases.
Man Sentenced for Armed Robbery of Credit UnionRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced Wednesday to almost 12 years in prison for the armed robbery of Call Federal Credit Union in Midlothian.
According to court documents, Okello Chatrie, 27, entered the Call Federal Credit Union in Midlothian on May 20, 2019, demanding money at gunpoint. Chatrie robbed the Credit Union of nearly $200,000. Chatrie pleaded guilty to the robbery of a credit union and brandishing a firearm during that robbery.
When Chatrie entered the Call Federal Credit Union, he presented a bank teller with a note that read, in part, “I got your family as hostage and I know where you live, If you or your coworker alert the cops or anyone your family and you are going to be hurt ... I need at least 100k.” Before the teller could hand over the money, Chatrie brandished a pistol and directed all employees and customers of the bank to kneel down before directing them to an area where a safe was located.
The ensuing investigation ultimately led to the execution of a search warrant at two residences tied to Chatrie. At one residence, law enforcement recovered nearly $100,000 of the stolen money, a money counter, as well as the silver and black 9mm G2C Taurus semiautomatic pistol used during the robbery. At the other residence, law enforcement recovered practice robbery demand notes.
At sentencing, the Court heard testimony from the teller who received Chatrie’s note as well as the bank manager who was ordered at gunpoint to turn over the money. The bank manager called it one of the worst days in his life.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck.
This case was investigated by FBI Richmond's Central Virginia Violent Crimes Task Force.
Assistant U.S. Attorney s Kenneth R. Simon, Jr. and Peter S. Duffey prosecuted the case. Senior Counsel Nathan Judish of the Computer Crime and Intellectual Property Section of the Department of Justice also served on the prosecution team.
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.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-130.
Local Firm and Owner Sentenced in COVID-19 Fraud SchemeRead the Press Release
Assistant U. S. Attorney Melanie K. Pierson (619) 546-7976
NEWS RELEASE SUMMARY – August 12, 2022
SAN DIEGO – Eco Shield, LLC and its owner, Samir Haj, were sentenced in federal court today in connection with the importation, shipping and sale of “EcoAirDoctor” during the pandemic.
Haj was sentenced to eight months in custody, and both defendants (Eco Shield and Haj) were ordered to forfeit $427,689 in proceeds and pay restitution of $86,754, while the company was ordered to pay a fine of $42,000. EcoAirDoctor consisted of a small badge clipped to clothing that released chlorine dioxide into the air and was represented by the defendants to protect the user “from airborne infectious diseases” including COVID-19.
Products making these types of public health claims are regulated by the U.S. Environmental Protection Agency (EPA), which requires extensive testing to substantiate the claims of efficacy and safety prior to approving them for registration and sale in the United States. EcoAirDoctor was not registered with the EPA, and testing performed on behalf of the defendants revealed that the badge was not measurably effective “at killing off a useful number of microbes within the air.”
The EcoAirDoctor badge consisted of sodium chlorite and natural zeolite. When the product was opened, the zeolite contacted the sodium chlorite, releasing chlorine dioxide gas. The EPA has established a reference concentration for long-term continuous exposure to chlorine dioxide of 0.00007 parts per million (ppm). Risks from the inhalation of chlorine dioxide are a concern if the air concentrations people are exposed to exceed the reference concentration. The documentation provided by Eco Shield, LLC states that levels below 0.0001 do not kill viruses and claims that the concentration for viral inactivation should be between 0.0001 and 0.1 ppm. Based on these figures, if the defendants’ product emitted chlorine dioxide gas at levels deemed safe by the EPA, it would not be at levels sufficient to kill viruses.
Both sodium chlorite and chlorine dioxide (nonhydrate) fall into Hazard Class 5.1 under the U.S. Postal Service ("USPS") rules and regulations, for which mailing is prohibited. Transportation of these materials via USPS is strictly prohibited, due to the danger of fire and explosion. Chlorine dioxide does not require air for it to burn and can cause coughing, wheezing, and respiratory distress. At very high exposure levels, it can be fatal. Records from Eco Shield, LLC indicated that 1,744 Air Doctor Portables were shipped via the USPS to purchasers across the United States between March 1, 2020, and April 18, 2020. At least 300 of those shipments occurred after the defendants received notice that shipping by mail was unlawful.
The defendants imported the EcoAirDoctor badge from Japan, falsely describing it as air purifiers rather than pesticides, which would have subjected the entry to inspection by the EPA. In addition to falsely describing the nature of the goods, the entry documents undervalued the shipment by over $500,000, allowing the defendants to evade $33,919 in Customs duties. The sentence imposed required the defendants to pay restitution of $86,754 to U.S. Customs to cover the loss of duty and the cost of disposing of seized EcoAirDoctor badges.
The defendants profited handsomely from the sale of the illegally-imported pesticides. At the outset of the pandemic, the badges, purchased for $6.25 each, were then sold to the public in the United States for $20.95 each, plus shipping. During the first six months of 2020, the defendants pocketed $1,132,950 from the sale of the badges, including sales occurring outside the United States. The Federal Trade Commission issued a warning letter, on April 27, 2020, advising the company not to make unsubstantiated claims for Coronavirus protection, and on July 24, 2020, the EPA issued a Stop, Sale, Use or Removal Order. The sentence requires the defendants to forfeit $427,689 in proceeds from the sale of the badges within the United States.
“This product not only didn’t work, but it was even potentially harmful,” said U.S. Attorney Randy Grossman. “The defendant and his company will be held to account for cashing in on Covid fears during a global pandemic.” Grossman thanked the prosecution team and investigating agencies for their excellent work on this case.
“The defendants knowingly persisted in their false assertions that their product provided protection against COVID-19,” said Special Agent in Charge Scot Adair of EPA’s Criminal Investigation program in California. “EPA and its law enforcement partners are committed to holding responsible parties accountable for putting people’s health at risk.”
“Homeland Security Investigations (HSI) along with our government partners are committed to protecting the American public against criminal networks attempting to illegally import and sell products that could endanger lives of U.S. consumers for financial gain,” said HSI San Diego Special Agent in Charge Chad Plantz. “We remain vigilant and will use our broad legal authorities to disrupt and dismantle criminal networks seeking to exploit and benefit from the COVID-19 pandemic.”
“Postal Inspectors remain vigilant in protecting the US Postal Service and the communities we serve. Preventing the dangerous misuse of the nation’s mail system remains one of our top priorities,” stated Inspector in Charge Carroll N Harris.
This case was investigated by the Environmental Protection Agency’s Criminal Investigation Division, Homeland Security Investigations, and the Postal Service. The case is being prosecuted by Assistant U.S. Attorney Melanie K. Pierson of the U.S. Attorney's Office for the Southern District of California and Senior Trial Attorney Stephen Da Ponte of the Environmental Crimes Section of the Department of Justice.
DEFENDANTS Case Number 21cr1463-JLS
EcoShield, LLC
Samir Haj Age: 47 San Diego, CA
SUMMARY OF CHARGES
Entry of Goods Falsely Classified – Title 18, U.S.C., Section 541
Maximum penalty: Two years in custody, $250,000 fine, restitution and forfeiture
Mailing of Injurious Substances – Title 18, U.S.C., Section 1716(j)(1)
Maximum penalty: One year in custody, $100,000 fine
Sale/Distribution of Unregistered Pesticide – Title 7, U.S.C., Section 136j(a)(1)(A) and 136l(b)(1)(B)
Maximum penalty: One year in custody, $100,000 fine
AGENCIES
Homeland Security Investigations; U.S. Environmental Protection Agency, Criminal Investigation Division; U.S. Postal Inspection Service
California Department of Toxic Substances Control, Office of Criminal Investigations
*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.
Leader of “Mike’s Candyshop” Drug Delivery Service Sentenced to 22 Years in Prison in Connection with the Overdose Death of Colin KrollRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ARIEL TAVAREZ, a/k/a “A,” a/k/a “Mike,” was sentenced to 264 months in prison in connection with his conspiring to distribute heroin, cocaine, fentanyl, and a fentanyl analogue, and to distributing narcotics that caused the 2018 death of Colin Kroll, the co-founder of the video hosting service Vine and the trivia game application HQ Trivia. United States District Judge Katherine Polk Failla imposed yesterday’s sentence.
U.S. Attorney Damian Williams said: “Ariel Tavarez was the leader of Mike’s Candyshop, an illegal on-demand drug delivery service that served deadly narcotics directly to customers in New York City. At Tavarez’s direction, a Mike’s Candyshop courier delivered a fatal dose of heroin laced with a fentanyl analogue to Colin Kroll, co-founder of Vine and HQ Trivia. Along with our law enforcement partners, we will continue to treat overdose deaths as crime scenes, and bring those responsible to justice, as in this case. Tavarez’s lengthy sentence of 22 years in federal prison underscores the grave nature of his conduct, and the devastating harm that dealing deadly, unregulated fentanyl can inflict.”
According to the allegations in the Indictment, and statements made in Court:
TAVAREZ was the leader of a drug trafficking organization (the “DTO”) that engaged in a drug delivery service, which identified itself as “Mike’s Candyshop.” The DTO delivered heroin and cocaine (sometimes laced with fentanyl and a fentanyl analogue) on demand to customers in New York City, and distributed numerous kilograms of heroin and cocaine throughout the course of the conspiracy. Mike’s Candyshop generally operated seven days per week, from approximately 6:00 p.m. to 12:00 a.m., with the exception of major holidays such as Thanksgiving, New Year’s Eve, and Labor Day.
Customers of the DTO placed delivery orders via text message to a centralized phone number (the “Candyshop Number”). The operator of the Candyshop Number was usually TAVAREZ. Using the Candyshop Number, TAVAREZ accepted customer orders and subsequently arranged for a courier working for the DTO to deliver the narcotics to the customer, usually within hours of the customer texting his or her order to the Candyshop Number. Certain of the DTO members, including Christian Baez, Luis Meson, a/k/a “Sito,” Gregoris Martinez, a/k/a “Greg,” Kevin Grullon, a/k/a “Kev,” a/k/a “JB,” and Jeffrey Urena, a/k/a “Jeff,” a/k/a “Jay,” served as couriers for the DTO, and regularly delivered and sold narcotics to the DTO’s customers in hand-to-hand drug transactions coordinated through the Candyshop Number.
The DTO stored heroin, cocaine, a fentanyl analogue, and cash from drug sales in various stash locations maintained by the DTO, including in Brooklyn, New York. In an effort to avoid law enforcement detection, the DTO sold only to customers who had been referred by existing customers, periodically changed the Candyshop Number, used coded language to discuss narcotics, and delivered narcotics directly to customers at locations specified by the customer. As a means of marketing its cocaine, and to ensure that the DTO’s customers knew the cocaine provided by the couriers belonged to the DTO, the DTO sold its cocaine in vials sealed with different colored tops.
TAVAREZ, the leader of the DTO, used threats of violence, including with firearms, against other members of the DTO to maintain order and eliminate competition from within the organization.
On or about December 16, 2018, Colin Kroll, a customer of the DTO, died of a drug overdose in New York, New York. The narcotics that caused Kroll’s death – cocaine, heroin, fentanyl, and a fentanyl analogue – were purchased from Mike’s Candyshop on the evening of December 14, 2018.
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TAVAREZ, 41, previously pled guilty to one count of conspiring to distribute heroin, cocaine, fentanyl, and a fentanyl analogue, the use of which resulted in the death of Colin Kroll on or about December 16, 2018.
Baez, Meson, Martinez, Grullon, and Urena each previously entered a plea of guilty to participating in the Mike’s Candyshop narcotics trafficking conspiracy. Martinez was sentenced on June 29, 2021, to 72 months in prison; Meson was sentenced on September 7, 2021, to 108 months in prison; Urena was sentenced on October 6, 2021, to 40 months in prison; and Grullon was sentenced on October 13, 2021, to 60 months in prison. Baez has not yet been sentenced.
Mr. Williams praised the outstanding investigative work of Homeland Security Investigations, the Drug Enforcement Administration, the New York City Police Department, and the Organized Crime Drug Enforcement Task Force. This prosecution 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 prosecution is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Mollie Bracewell, Nicholas W. Chiuchiolo, and Aline R. Flodr are in charge of the prosecution.
Kern County Man Sentenced to 12 Years in Prison for Illegally Cultivating Marijuana in the Sequoia National ForestRead the Press Release
FRESNO, Calif. — David Moreno Florez, 28, of Taft, was sentenced today by U.S. District Judge Jennifer L. Thurston to 12 years in prison for illegally cultivating marijuana in a national forest and possessing a firearm in furtherance of that offense, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in July 2019, law enforcement officers located a clandestine marijuana grow site in Sequoia National Forest in Fresno County. On Aug. 2, 2019, officers hiked into the grow site, where they found and arrested Marino Cruz Diaz and Moreno Florez who was carrying a loaded, AR-15 style rifle. The grow contained over 2,400 marijuana plants, chemicals, fertilizers, chicken wire, irrigation lines, and man-made dams and water reservoirs that diverted water from nearby creeks. Moreno Florez pleaded guilty to the charges on April 22, 2022.
On May 27, 2022, Cruz Diaz pleaded guilty and is scheduled to be sentenced on Aug. 19, 2022.
The case is the result of an investigation by the U.S. Forest Service. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
Jamestown Man Arrested, Charged with Multiple Child Pornography Charges Including ProductionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Roberto Millan, 34, of Jamestown, NY, was arrested and charged by criminal complaint with production and attempted production of child pornography, and possession of child pornography. The charges carry a minimum penalty of five years in prison, a maximum of 30 years, and a $250,000 fine.
Assistant U.S. Attorney Maeve E. Huggins, who is handling the case, stated that according to the complaint, in early February 2022, the Jamestown Police Department received information that Millan had sexually abused a 15-year-old female victim. The victim told investigators that Millan communicated with her via text message and Facebook messenger, requesting her to produce sexually explicit images of herself and send the images to him. Initially, the victim refused but she eventually produced the requested images after Millan threatened to harm her family. The victim also stated that during the first time Millan sexually abuse her, he warned that if she “made too much noise,” he would physically harm her family.
During the investigation, law enforcement recovered a series of sexually explicit text messages between Millan and the victim, as well as images of child pornography. On February 9, 2022, following the execution of a search warrant at Millan’s residence in Jamestown, he was taken to the Jamestown Police Department and his cell phone was seized. The cell phone contained additional images of child pornography.
Millan appeared before U.S. Magistrate Judge Michael J. Roemer and is being detained.
The complaint is the culmination of an investigation by the Jamestown Police Department, under the direction of Chief Timothy Jackson and Federal Bureau of Investigation, under the direction of Special Agent in Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Irving Woman Sentenced to 12+ Years for Selling Date-Rape DrugRead the Press Release
An Irving woman who sold date-rape drugs over the internet was sentenced Thursday to more than 12 years in federal prison, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Hyun Ji Martin, 40, was first charged in June 2021. She pleaded guilty in August 2021 to conspiracy to possess with intent to distribute a controlled substance and was sentenced Thursday by Senior U.S. District Judge Terry R. Means to 151 months in federal prison.
“The U.S. Postal Inspection Service will not stop in pursuing those who wish to flood our streets with dangerous drugs,” said Thomas Noyes, Inspector in Charge of the Postal Inspection Service’s Fort Worth Division. “This sentencing represents our commitment to safeguarding the mail from illicit drug trafficking and bringing those responsible to justice. We thank all those who helped in achieving this outcome, including North Texas Parcel Task Force members, the USPS-OIG, DEA, HSI, CBP and the U.S. Attorney’s Office in the Northern District of Texas.“
According to court documents, Ms. Martin sold gamma-hydroxybutyric acid (GHB), commonly known as “the date rape drug,” over the dark web.
On Nov. 6, 2020, U.S. Postal Inspection Service Parcel Task Force officers observed Ms. Martin deliver 15 parcels to a post office in Irving, Texas. They retained two parcels for investigation. Inside, they found approximately 208 ml of a clear liquid, which they suspected was GHB or an analogue known as gamma-butyrolactone (GBL), concealed in contact lens solution bottles.
On June 3, 2021, officers executed a search warrant at Ms. Martin’s apartment, where they discovered large quantities of GHB, GBL, methamphetamine, USPS shipping supplies, contact lens solution bottles, and a lab used to convert GBL to GHB. In a subsequent interview with law enforcement, Ms. Martin said she routinely ordered GBL from China, converted some of it to GHB, and sold both GHB and GBL on the dark web.
Agents eventually identified more than 1,600 outgoing parcels associated with Ms. Martin, mostly mailed using fictitious shipper names and addresses.
Shortly after her guilty plea, Ms. Martin absconded. She was re-arrested in June 2022 and transported back to North Texas for sentencing.
The U.S. Postal Inspection Service’s North Texas Parcel Task Force and Office of Inspector General conducted the investigation with the assistance of the Drug Enforcement Administration’s South Central Lab and U.S. Customs & Border Patrol. Assistant U.S. Attorney Rob Boudreau prosecuted the case with the help of Assistant U.S. Attorney Joe Lo Galbo.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Aug. 8 was:
Reginald Steven Williams, 31, of Billings, on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute meth, possession of a firearm in furtherance drug trafficking and prohibited person in possession of a firearm. If convicted of the most serious crime, Williams faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release on the drug crimes and a mandatory minimum five years to life, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the crime of possession a firearm in furtherance of drug trafficking. Williams was detained pending further proceedings. The Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. PACER case reference. 22-84.
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Aug. 8 was:
Benjamin Richard Skinner, 32, of Great Falls, and Keith Alan Laverdure, 35, of Great Falls, on charges of possession with intent to distribute cocaine and possession of a firearm in furtherance of drug trafficking crime. If convicted of the most serious crime, Skinner and Laverdure face a maximum of 20 years in prison, a $1 million fine and three years of supervised release on the drug crime and a mandatory minimum five years to life in prison, consecutive to any other sentence, on the crime of possession of firearm in furtherance of drug trafficking. Both defendants were released pending further proceedings. The Great Falls Police Department, FBI and Montana Highway Patrol investigated the case. PACER case reference. 22-58.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Houston County Man Guilty in Solicitation of Murder PlotRead the Press Release
TYLER, Texas – A Grapeland, Texas man has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Reynaldo Campos, Jr., 44, pleaded guilty to murder for hire today before U.S. Magistrate Judge K. Nicole Mitchell.
According to the indictment, on Feb. 9, 2022, Campos contacted an individual who he believed was a hitman, but who was in fact an undercover federal agent, and solicited the “hitman” to murder a former associate of Campos, claiming the intended victim had either stolen drugs from him or owed him money. Campos discussed the intended murder with the agent on multiple occasions over the next several weeks. On April 8, 2022, Campos and his girlfriend, Robin Pittman, traveled together from Houston County to Tyler to discuss the murder, to provide the “hit man” with a handgun to be used for the murder, and to provide the “hit man” with information about the intended victim. On April 13, 2022, Campos and Pittman again traveled together from Houston County to Tyler to discuss the murder and to provide the “hit man” with approximately one gallon of Phenylacetone/P2P, which is a chemical used in the manufacture of methamphetamine, and a shotgun as partial payment for the murder of the intended victim.
Campos and Pittman were indicted by a federal grand jury on April 21, 2022. Pittman pleaded guilty on August 9, 2022, to possession of a firearm in furtherance of a drug trafficking crime and is awaiting sentencing.
Campos faces up to 10 years in federal prison. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case is being investigated by the U.S. Drug Enforcement Administration and is being prosecuted by Assistant U.S. Attorney Jim Noble.
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Homestead Felon Charged with Illegally Possessing a FirearmRead the Press Release
PITTSBURGH - A resident of Homestead, PA, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal firearms laws, United States Attorney Cindy K. Chung announced today.
The one-count Indictment, returned on August 9, named Darius Latrell Harris, 21, as the sole defendant.
According to the Indictment, Harris is alleged to have possessed a firearm as a convicted felon on or about Nov. 21, 2021. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm or ammunition.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Douglas C. Maloney is prosecuting this case on behalf of the government.
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.
The Federal Bureau of Investigation and the Pittsburgh Bureau of Police conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Hampden Man Pleads Guilty to Possessing Child Sexual Abuse MaterialsRead the Press Release
PORTLAND, Maine: A Hampden man pleaded guilty in U.S. District Court in Bangor today to possessing child sexual abuse materials, U.S. Attorney Darcie N. McElwee announced.
According to court records, between about February 2015 and February 2021, Kevin MacVicar, 31, possessed child pornography on his cell phone and electronic storage devices. MacVicar had obtained the images and videos from the internet, including by participating in online forums dedicated to child sexual abuse material. Some of the images depicted children under 12.
MacVicar faces up to 20 years in prison, a $250,000 fine and up to a lifetime of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Homeland Security Investigations (HSI) investigated the case.
To report an incident involving the possession, distribution, receipt or production of child pornography: "Child pornography" captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer re-victimization each time the images are viewed. File a report with the National Center for Missing & Exploited Children at www.cybertipline.com or 1-800-843-5678. Your report will be forwarded to a law enforcement agency for investigation and action. If you have an emergency that requires an immediate law enforcement response, call 911 or contact your local police or sheriff’s department.
Project Safe Childhood: This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Grimes Man Sentenced to 27 years in Federal Prison for Child Pornography OffensesRead the Press Release
DES MOINES, IA – Chase Anthony Duncan, age 38, formerly of Grimes, was sentenced on August 11, 2022, to a total of 324 months in prison for Receiving and Possessing Child Pornography. Following completion of his prison term, Duncan will be on supervised release for ten years. There is no parole in the federal system. Duncan pleaded guilty in March 2022 to these offenses.
In July 2021, law enforcement received multiple cybertips alerting them that a Google account associated with Duncan contained suspected child pornography. Des Moines Police detectives obtained a search warrant for the Google account and discovered videos and images of child pornography in Duncan’s Google Photos account. In September 2021, Detectives obtained and executed a search warrant at Duncan’s Grimes residence. From Duncan’s bedroom police seized dozens of printed 8-by-10-inch images of child pornography and several electronic devices. A forensic examination of the devices revealed hundreds of images and videos depicting child pornography that Duncan had downloaded from the internet. In addition, police discovered several videos of Duncan sitting in his car in Des Moines area parking lots while Duncan recorded minor girls walking nearby who were unaware of his presence. Duncan was masturbating and narrating his sexual attraction to the girls. Police also located several videos from a “spy camera” that Duncan placed in the bathroom of a Des Moines area hotel guestroom while Duncan and two middle-school aged girls stayed at the hotel in March 2021. Duncan’s spy camera captured these two minors in various states of undress.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The case was investigated by the Des Moines Police Department, Iowa Division of Criminal Investigation (DCI)’s Internet Crimes Against Children Task Force, and the FBI Child Exploitation Task Force. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Goose Creek Man Indicted for Firearm and Law Enforcement Impersonation ChargesRead the Press Release
CHARLESTON, SOUTH CAROLINA — A federal grand jury in Charleston returned a two-count indictment against Jeremy Allen Hughes, 39, of Goose Creek, for possessing a weapon after a misdemeanor domestic violence conviction and impersonating a federal law enforcement officer.
The indictment alleges that on November 22, 2021, Jeremy Hughes falsely claimed he was with the U.S. Marshals searching for a fugitive. Hughes carried a pistol and shotgun and wore tactical clothing with a “Police US Marshals” shirt. Investigators ultimately arrested Hughes on December 1, 2021. During the arrest, Hughes had multiple firearms and ammunition on his person. During a search of his residence, investigators located several additional firearms and ammunition. According to information presented to the Court, Hughes is federally prohibited from possessing a firearm and ammunition due to a previous domestic violence conviction.
Hughes faces a maximum penalty of thirteen years in prison if convicted, and he is currently detained.
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.
The case was investigated by the Berkeley County Sheriff’s Office, the United States Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Assistant United States Attorney Chris Lietzow is prosecuting the case.
United States Attorney Adair F. Boroughs stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
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French Executive Admits Making False Statements to FDA to Fraudulently Obtain Control of Pharmaceutical ProductRead the Press Release
NEWARK, N.J. – A French national and executive of a pharmaceutical company admitted making false statements to gain control of the rights to sell a weight-loss drug in the United States, U.S. Attorney Philip R. Sellinger announced today.
Alain Bouaziz, 69, a French citizen and resident of the United Arab Emirates, pleaded guilty before U.S. District Judge Evelyn Padin in Newark federal court to an information charging him with one count of making false statements to the U.S. Food and Drug Administration.
According to documents filed in this case and statements made in court:
Bouaziz represented himself to be the chief operating officer of Hexim Pharmaceuticals (Hexim), a company headquartered in Secaucus, New Jersey. Hexim was previously known as Alkopharma USA Inc.
Beginning in February 2018, Bouaziz submitted forged documents and made false statements to the FDA to try to fraudulently gain control of Sanorex, a weight-loss pharmaceutical owned by a major international pharmaceutical company. Bouaziz sent letters and documents by email and in hard copy to the FDA falsely stating that Hexim had purchased the New Drug Application for Sanorex and requesting a meeting about marketing Sanorex in the United States. These representations were false because neither Hexim nor Alkopharma owned the rights to distribute Sanorex.
The count of making false statements is punishable by a maximum term of five years in prison and a maximum fine of up to $250,000, or twice the gross gain or loss caused by the offense, whichever is greatest. Sentencing is scheduled for Dec. 14, 2022.
U.S. Attorney Sellinger credited special agents of the Food and Drug Administration, Office of Criminal Investigation, under the direction of Special Agent in Charge Fernando P. McMillan, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Hayden M. Brockett of the Health Care Fraud Unit in Newark.
Former San Diego Vice Detective, Three Others Indicted for Owning and Operating Illicit Massage BusinessesRead the Press Release
Assistant U. S. Attorney Jill Streja (619) 546-8401
NEWS RELEASE SUMMARY – August 12, 2022
SAN DIEGO – Former San Diego Police Officer Peter Griffin and three others are charged in an indictment partially unsealed today with crimes related to owning and operating five illicit massage businesses in California and Arizona that sold commercial sex under the guise of offering therapeutic massage services.
Griffin was arrested as he left his San Diego home early yesterday morning and made his first appearance in federal court today. Likewise, defendants Kyung Sook Hernandez and Yu Hong Tan were also taken into custody Thursday and appeared in federal court today. A fourth defendant remains at large.
According to the indictment, Griffin owned and operated the businesses with Kyung Sook Hernandez, Yu Hong Tan, and the fourth defendant at various times between 2013 and August 2022. Their alleged criminal scheme included using cell phones, the internet, and banking channels to register their businesses; advertise commercial sexual services online; employ multiple women to perform commercial sexual services in the businesses; manage the illicit businesses’ finances; and benefit financially from their illegal enterprise.
Griffin, who is also a former attorney, previously worked as a detective with the Vice Operations Unit of the San Diego Police Department, a unit tasked with dismantling the businesses he now stands charged with operating and promoting.
Assistant U.S. Attorney Jill Streja of the Southern District of California, Trial Attorney Caylee Campbell of the Money Laundering and Asset Recovery Section of the Criminal Division of the Department of Justice, and Trial Attorney Leah Branch of the Civil Rights Division’s Human Trafficking Prosecution Unit are prosecuting the case.
The investigation was led by Homeland Security Investigations, Internal Revenue Service Criminal Investigation, and the San Diego Human Trafficking Task Force, a regional, multi-agency effort led by the California Department of Justice dedicated to supporting survivors and holding traffickers accountable. The task force is comprised of numerous federal, state, and local agencies as well as the Southwest Border High Intensity Drug Trafficking Area program.
DEFENDANTS Case Number 22-CR-1824-JO
Peter Griffin 78
Kyung Sook Hernandez 58
Yu Hong Tan 56
SUMMARY OF CHARGES
Conspiracy, Interstate and Foreign Travel or Transportation in Aid of Racketeering (ITAR)
18 U.S.C. §§ 371, 1952
Maximum Penalty: Five years in prison, $250,000 fine
Money Laundering
Maximum Penalty: Ten years in prison, $250,000 fine or twice amount of criminally derived property
18 U.S.C. § 1957
Conspiracy to Commit Wire Fraud and Wire Fraud
Maximum Penalty: Thirty years in prison, $1 million fine
18 U.S.C. §§ 1349, 1343
False Statement to a Mortgage Lender
Maximum Penalty: Thirty years in prison, $1 million fine
18 U.S.C. § 1014
AGENCIES
Homeland Security Investigations
Internal Revenue Service Criminal Investigation
San Diego Human Trafficking Task Force
Escondido Police Department
Tempe, Arizona Police Department
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Former San Diego Police Officer and Three Co-Defendants Indicted for Owning and Operating Illicit Massage Businesses in California and ArizonaRead the Press Release
A federal judge in the Southern District of California partially unsealed an indictment today in which four individuals are charged with conspiracy, interstate and foreign travel or transportation in aid of racketeering (ITAR), money laundering, making a false statement to a mortgage lender, and wire fraud for conduct associated with owning and operating five illicit massage businesses that sell commercial sex under the guise of offering therapeutic massage services in California and Arizona.
According to the indictment, Peter Griffin, 78, Kyung Sook Hernandez, 58, Yu Hong Tan, 56, and a fourth defendant indicted under seal, owned and operated the illicit massage businesses at various times between 2013 and August 2022. Their criminal scheme allegedly included using cell phones, the internet, and banking channels to register their businesses, advertise commercial sexual services online, employ multiple women to perform commercial sexual services in the businesses, manage the illicit businesses’ finances, and profit from the illegal enterprises.
Griffin, who is a retired police officer and former attorney, previously worked as a detective with the Vice Operations Unit of the San Diego Police Department, a unit tasked with dismantling the very businesses he now stands charged with operating and promoting.
Griffin was arrested near his San Diego residence early yesterday morning and made his initial appearance in federal court today. Hernandez and Tan were also taken into custody Thursday and appeared in federal court today. A fourth defendant remains at large.
If convicted, the defendants face up to five years in prison for conspiracy to commit ITAR and committing ITAR; up to 30 years in prison for wire fraud, conspiracy to commit wire fraud, and for making a false statement to a mortgage lender; and up to 10 years in prison for money laundering, as well as monetary penalties, and a period of supervised release and restitution.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, Assistant Attorney General Kenneth Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Randy S. Grossman for the Southern District of California, and Special Agent in Charge Chad A. Plantz of Homeland Security Investigations (HSI) San Diego Field Office made the announcement.
HSI conducted the investigation with the assistance of IRS – Criminal Investigation, the San Diego Human Trafficking Task Force, the Escondido Police Department, the San Diego Police Department, the San Diego District Attorney’s Office, the San Diego County Sheriff’s Department, and the Tempe (Ariz.) Police Department.
Assistant U.S. Attorney Jill Streja of the Southern District of California, Trial Attorney Caylee Campbell of the Criminal Division’s Money Laundering and Asset Recovery Section, and Trial Attorney Leah Branch of the Civil Rights Division’s Human Trafficking Prosecution Unit are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org.
An indictment is merely an allegation, and the defendants are presumed innocent until proven guilty.
Former Canadian Moneygram and Western Union Agent Pleads Guilty to Fraud and Money Laundering Conspiracy ChargeRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that William Nneji, age 55, of Canada and Nigeria, pleaded guilty yesterday to conspiracy to commit mail fraud, wire fraud, and money laundering.
According to United States Attorney Gerard M. Karam, Nneji conspired with his codefendant brother, Chima Nneji, codefendant Alex Mgbolu, and other unnamed individuals between July 2002 and May 2010, to commit mail fraud, wire fraud, and money laundering by receiving money transfers from victims of international mass marketing fraud, processing those transfers using fictitious names, pooling the proceeds of those fraud induced money transfers, and then laundering those proceeds to coconspirators in the United States and Nigeria.
William Nneji agreed, as part of his plea agreement, that he was responsible for approximately $606,967 in losses to victims processed through two companies, including one owned by his brother, codefendant Chima Nneji, and one owned by his wife.
Codefendants Chima Nneji and Alex Mgbolu both previously pleaded guilty to the same charge. Chima Nneji and Alex Mgbolu were sentenced to terms of imprisonment in 2016 and 2017, respectively. Both codefendants were extradited to the United States from Canada, whereas William Nneji, from the time of his indictment until November 2021, had been a fugitive.
The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorney Ravi Romel Sharma is prosecuting the case.
The maximum penalty under federal law for this offense is five years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
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Former Accountant for Chicago Construction Company Charged with Embezzling Millions in Company FundsRead the Press Release
CHICAGO — A former senior accountant for a Chicago construction company has been indicted on federal fraud charges for allegedly embezzling millions in company funds.
RICHARD A. MANDARINO entered false payment requests in the construction company’s accounting system, causing checks to be issued to vendor companies for goods and services that Mandarino knew were never provided, according to an indictment returned Thursday in U.S. District Court in Chicago. Mandarino then converted those payments to his and others’ personal use, the indictment states. Mandarino allegedly concealed the thefts by creating fictitious credits and offsets in the construction company’s accounting system.
Mandarino committed the alleged fraud from 2015 to 2017 while he resided in Canada and worked on the construction company’s Canadian business projects, the indictment states. The charges allege that Mandarino fraudulently embezzled and obtained more than two million Canadian dollars.
The indictment charges Mandarino, 43, of Scarborough, Ontario, Canada, with three counts of wire fraud. Arraignment in U.S. District Court in Chicago has not yet been scheduled.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government is represented by Assistant U.S. Attorney Patrick J. King, Jr.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each count of wire fraud is punishable by up to 20 years in federal prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Final Defendants, Including Former Correctional Officer, Sentenced for Prison Corruption Scheme at Jessup Correctional InstitutionRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced a former Correctional Officer, an inmate, and an outside “facilitator” this week in connection with a federal racketeering conspiracy at the Jessup Correctional Institution (JCI), involving inmates and outside facilitators paying bribes to correctional officers to smuggle contraband, including narcotics, alcohol, tobacco, and cell phones into the prison. With this week’s sentencings, all 15 defendants charged in this case have now been convicted and sentenced to up to more than five years in federal prison.
On August 10, 2022, Judge Chuang sentenced former Correctional Officer Dominique Booker, a/k/a “Star,” age 45, of Baltimore, to 27 months in federal prison, followed by three years of supervised release. On August 11, 2022, Judge Chuang sentenced inmate William Cox, a/k/a Dollar, age 45, to 33 months in prison, consecutive to his state term of imprisonment, followed by three years of supervised release; and today Judge Chuang sentenced facilitator Laurice Norfleet, age 44, of Taneytown, Maryland, to time served, and six months of home detention as part of three years of supervised release.
The sentences were 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; and Secretary Robert Green, of the Maryland Department of Public Safety and Correctional Services.
JCI is a maximum-security prison located in Jessup, Maryland.
According to the defendants’ plea agreements, Booker, Cox, and Norfleet conspired with other COs, including CO Chanel Pierce, inmates, and outside facilitators to smuggle contraband into JCI, including narcotics, alcohol, tobacco, and cell phones. According to their plea agreements and other court documents, COs accepted or agreed to accept payments from facilitators and/or inmates as consideration for smuggling contraband into JCI. Inmates acted as both wholesalers and retailers of contraband, often obtaining profits that far exceeded the profits that could be made by selling similar drugs on the street.
During the investigation, law enforcement intercepted phone calls and text messages in which the defendants discussed contraband to be smuggled into JCI, as well as the payment of bribes. Several of the inmate defendants, including Cox, had contraband cell phones, which they used to facilitate their smuggling activities. As detailed in her plea agreement, CO Booker conspired with inmate Cox, with whom she had a romantic relationship, and others, to smuggle contraband, including controlled dangerous substances, such as Suboxone, into JCI and then distribute the contraband to inmates. In January 2019, a search of Booker and her vehicle as she entered JCI revealed contraband, including plastic baggies containing the synthetic cannabinoid K-2, which she intended to smuggle into the prison.
As detailed in Norfleet’s plea agreement, she was the facilitator for her boyfriend and co-defendant, inmate Page Boyd. Norfleet admitted that on several occasions she obtained contraband, including controlled substances such as Suboxone which she provided to a co-conspirator in Baltimore. The co-conspirator then delivered the contraband to COs to smuggle into JCI for Boyd, on Norfleet’s behalf. Boyd then redistributed most of that Suboxone to other inmates at a significant profit. For example, during one jail call Boyd informed Norfleet that he was selling the Suboxone strips for $50 per strip inside JCI, far more than they sell for outside of prison.
Chanel Pierce, age 29, of Pikesville, Maryland, was previously sentenced to 21 months in federal prison for her role in the conspiracy and inmate Page Boyd, age 38, was sentenced to four years in federal prison, consecutive to his state term of imprisonment.
The U.S. Attorney expressed appreciation to the Department of Public Safety and Correctional Services, whose staff initiated the JCI investigation and have been full partners in this investigation.
This case is also part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI and the Department of Public Safety and Correctional Services for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Christopher M. Rigali, who is prosecuting this 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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Federal Indictment Returned for Theft of Guns from WalmartRead the Press Release
Columbia, SOUTH CAROLINA — A federal grand jury returned a four-count indictment against Christopher Cunningham, 33, of Columbia, for conspiracy to steal guns from Walmart, theft of guns from Walmart, possession of stolen guns, and possession of a firearm by a convicted felon
The indictment alleges that on March 6, 2022, Cunningham and an unknown co-conspirator entered Walmart after the close of business and stole four firearms from the store’s inventory. The indictment further alleges that this incident happened after Cunningham was convicted of a crime punishable by more than one year.
Cunningham faces a maximum penalty of five years on the conspiracy charge and 10 years on each of the remaining charges. He is currently detained pending trial.
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.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the City of Columbia Police Department. Special Assistant U.S. Attorney Lamar J. Fyall is prosecuting the case.
U.S. Attorney Adair F. Boroughs stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
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Federal Assault Charge Follows Early Morning Shootout with Federal AgentsRead the Press Release
NASHVILLE – Michael Clay, 30, of Nashville, was charged today with assaulting a federal officer, following an early morning shootout that occurred during the execution of an arrest warrant, announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
According to the criminal complaint, Deputy U.S. Marshals and officers with the U.S. Marshals Fugitive Task Force went to a residence on University Court, in Nashville, to execute a criminal homicide arrest warrant for Clay. Officers entered the residence and learned that Clay was upstairs and armed with an AR-style rifle. Attempts were made to have Clay come downstairs. Instead of coming downstairs, however, Clay pointed the rifle down the stairs in the direction of officers. Officers then heard a “click” followed by the sound of racking ammunition into the rifle’s chamber. Clay then fired several times at the officers and the officer’s exchanged gunfire, wounding Clay.
The charge carries a penalty of up to 20 years in prison upon conviction.
This case is being investigated by the FBI, and Assistant U.S. Attorney Ahmed Safeeullah is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Colorado Springs Man Sentenced to more than 21 Years for Bank RobberiesRead the Press Release
Denver- The United States Attorney’s Office for the District of Colorado announces Jared Lincoln Fitzgerald, age 46, of Colorado Springs, was sentenced to 262 months in federal prison for four counts of bank robbery, including one with force.
“Bank robberies are crimes of violence that traumatize the victims, and we are dedicated to seeking justice for those victims,” said U.S. Attorney Cole Finegan. “We are grateful for our partners at the FBI Rocky Mountain Safe Streets Task force for their work and commitment to hold bank robbers accountable.“
According to the plea agreement, on July 24, 2020, the defendant, wearing a face covering and a yellow hard hat, entered the MidFirst Bank on North Cook Street in Denver. He approached the desk of a bank employee and showed the employee a note that said, “This is a robbery.” The defendant then told three bank employees, “There is a problem. The problem is you’re being robbed.” The defendant lifted the front of his shirt to reveal what appeared to be a black handgun in his waistband. He ordered the employees to the vault and began yelling at them. At one point, the defendant began counting down and the employees feared they would be shot. Once the vault was opened, he took money, ordered the employees to stay inside the vault, and exited the bank.
On October 9, 2020, the defendant entered the same MidFirst Bank on North Cook Street in Denver. He approached the gate to the teller line with what appeared to be a gun in his hand. He ordered bank employees, both present during the previous MidFirst robbery, to access the vault room. The defendant forced all the bank employees into the vault room. He said, “If the cops come, there will be a shootout” and ordered the employees to open the safe. The defendant removed cash and left the bank.
On April 13, 2021, the defendant entered the Power Credit Union on East Evans Avenue in Pueblo. He asked to speak to the manager. He displayed a robbery note threatening the employees. He directed employees into the vault and ordered them to open it. At one point, the defendant told a credit union employee he would take them hostage if the police showed up. He removed cash and left the credit union.
On July 20, 2021, the defendant entered the Wells Fargo Bank on West 44th Avenue in Wheat Ridge. He was armed with a semi-automatic handgun that he kept in a holster on his hip and was clearly visible to the employees. He stated in a loud voice he needed to speak with a manager about fraudulent checks. He identified himself as a law enforcement official. When the manager spoke with him, the defendant displayed a note that said “This is a robbery. I am armed with a gun.” He ordered the employees to the vault and ordered the manager to put money into a bag he provided. He then left the bank.
Agents and task force officers from the FBI Rocky Mountain Safe Streets Task Force executed warrants on the defendant’s house, storage locker and vehicles, locating items matching the clothing worn and weapons used in the robberies.
Senior Judge Christine M. Arguello sentenced the defendant on August 10, 2022. She also sentenced him to five years supervised release.
“Jared Lincoln Fitzgerald committed four takeover-style robberies, all while he was under supervision for previous bank robberies,” said FBI Denver Special Agent in Charge Michael Schneider. “Fitzgerald clearly knew the consequences of his actions and still chose to break the law and terrorize his victims. This lengthy sentence is appropriate for this defendant; keeping him behind bars helps keep our communities safe.”
This case was investigated by the FBI Rocky Mountain Safe Streets Task Force. Assistant U.S. Attorney Brian Dunn prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the 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.
Case number: 21-cr-00274-CMA
Charleston Man Sentenced to 25 years for Production of Child PornographyRead the Press Release
CHARLESTON, SOUTH CAROLINA —Scott Ashley Cascone, 48, of Charleston, was sentenced to 25 years in federal prison for production of child pornography.
Evidence presented to the Court showed that on November 18, 2015, a Homeland Security Investigations (HSI) agent working undercover in a chat room observed an individual with the user name “unclebaddy” post a web link that contained a child pornography video. The IP address matched the residence of Cascone. During the investigation, HSI agents also learned that Cascone was being investigated by the West Virginia State Police for having online sexual communications with a 14-year-old West Virginia girl. Follow up investigation by HSI determined that on three occasions Cascone enticed the minor to produce sexually explicit images of herself, and to text the images to Cascone. HSI agents ultimately executed search warrants on Cascone’s residence and Dropbox account and found numerous images and videos of child pornography. Cascone was interviewed and admitted to electronically sending sexually explicit images of himself to the minor and receiving sexually explicit images of the minor.
Senior U.S. District Judge Margaret B. Seymour sentenced Cascone to 300 months in federal prison, to be followed by a lifetime term of court-ordered supervision. Judge Seymour also ordered Cascone to pay $27,500 in restitution. There is no parole in the federal system.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
The case was investigated by HSI and the West Virginia State Police. Assistant U.S. Attorney Dean H. Secor prosecuted the case.
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Canadian Man Admits Distribution and Possession of Child PornographyRead the Press Release
NEWARK, N.J. – A Bronx, New York, man admitted possessing and distributing images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced today.
Perth De, aka “Parthasarthie Kapoor,” 48, pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to an information charging him with one count of distribution of child pornography and one count of possession of child pornography.
According to documents filed in this case and statements made in court:
On Jan. 21, 2020, De was arrested at Newark Liberty International Airport pursuant to a fugitive warrant issued by on behalf of the government of Canada, which previously charged De with sexually assaulting minors. During a search incident to De’s arrest, law enforcement found several cellular phones in De’s luggage. A subsequent forensic examination of one of the cellular phones revealed numerous videos of children being sexually abused. The forensic examination further revealed that some of the videos had been distributed from the cellular phone.
The charge of distribution of child pornography carries a mandatory minimum penalty of five years in prison, a maximum penalty of 20 years in prison and a fine of $250,000. The charge of possession of child pornography carries a maximum penalty of 10 years in prison and a fine of $250,000. Sentencing is scheduled for Dec. 19, 2022.U.S. Attorney Sellinger credited special agents with the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina, and with the U.S. Department of State, Diplomatic Security Service, with the investigation leading to these charges.
The government is represented by Assistant U.S. Attorney Kendall Randolph of the U.S. Attorney’s Office’s Organized Crime and Gangs Unit in Newark.
Camden Man Sentenced to 10 Years in Prison for Illegally Possessing a WeaponRead the Press Release
CAMDEN, N.J. – A Camden man was sentenced today to 120 months in prison for illegally possessing a weapon, U.S. Attorney Philip R. Sellinger announced.
Anthony D. Parker, aka “Papa Smurf,” 38, of Camden, was convicted at trial in March 2022 before U.S. District Judge Noel L. Hillman of one count of being a felon in possession of a weapon. Parker has three previous convictions for illegally possessing a weapon, as well as prior drug convictions.
In addition to the prison term, Judge Hillman sentenced Parker to three years of supervised release and fined him $5,000.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge Jacqueline Maguire in Philadelphia; the Camden County Prosecutor’s Office, under the direction of Acting Camden County Prosecutor Grace C. MacAulay; and officers of the Camden County Police Department, under the direction of Chief Gabriel Rodriguez; with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Kristen M. Harberg of the Criminal Division in Camden.
Brookings Man Charged with Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Brookings, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Seth Livingston, age 24, was indicted in August of 2022. He appeared before U.S. Magistrate Judge Veronica L. Duffy on August 11, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between June 1, 2022, and June 11, 2022, Livingston, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of conviction under State Law, knowingly failed to register and update his registration.
The charge is merely an accusation and Livingston is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Livingston was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Brighton Man Sentenced to More Than Five Years in Prison for Role in Cocaine Trafficking OrganizationRead the Press Release
BOSTON – A supervisor within a Boston-area drug trafficking organization (DTO) has been sentenced in federal court in Boston.
Arthur Hodges, 36, was sentenced on Aug. 10, 2022 by U.S. District Court Judge Denise J. Casper to 65 months in prison and three years of supervised release. On April 19, 2022, Hodges pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute cocaine.
Hodges was charged with 23 others in June 2020 as part of Operation Snowfall, which ultimately resulted in the charging of two different drug trafficking conspiracies during the overall period of November 2018 through June 2020.
According to the charging documents, beginning in November 2018, law enforcement investigated a DTO for which Hodges was both a supervisor and a drug distributor. The DTO was comprised of Boston-based street gang members and associates in the Commonwealth Development in Brighton, formerly known as Fidelis Way, a multi-apartment public housing development. It is alleged that the DTO assumed control over multiple apartments, where they stored, cooked, packaged and sold drugs – most of which was cocaine or cocaine base, which the DTO supplied to customers, wholesalers and distributors. As a result, the DTO caused a blight of the development and reduced the quality of life of the other residents. As the investigation continued, law enforcement ultimately identified another DTO operating within the Boston area and targeted its large-scale drug suppliers and their associates.
Hodges oversaw a number of the Fidelis Way-related DTO members who were responsible for the packaging, selling, storing and distribution of drugs to, or collection of proceeds from, drug customers, drug runners or other drug distributors and suppliers. Hodges is estimated to have distributed between 280 and 840 grams of cocaine base during the course of his participation in the Fidelis Way DTO.
Hodges is the first defendant to be sentenced in the Fidelis-Way related drug conspiracy. Six defendants previously pleaded guilty. Two defendants pleaded not guilty and are pending trial.
First Assistant United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Douglas Bartlett, Acting U.S. Marshal for the District of Massachusetts; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistance with the investigation was provided by the Braintree, Cambridge, Canton, Randolph and Weymouth Police Departments; the Suffolk, Norfolk and Bristol County District Attorneys’ Offices; and the Suffolk, Plymouth and Norfolk County Sheriffs’ Office. Assistant U.S. Attorneys Kaitlin R. O’Donnell and Timothy E. Moran of the Organized Crime & Gang Unit prosecuted 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 remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Brevard County Man Sentenced to 30 Years in Prison for Production and Distribution of Child Sexual Abuse MaterialRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Christian H. Rice (31, Brevard County) to 30 years in federal prison, followed by 20 years of supervised release, for production and distribution of images and videos depicting the sexual abuse of a child. The court also ordered Rice to pay $18,143 in restitution and to forfeit a cellphone used to facilitate the commission of the offense. Rice had pleaded guilty on December 28, 2021.
According to court records, in June 2021, Rice sexually exploited Victim-1, a prepubescent child and produced two videos and several images depicting the sexual abuse of Victim-1. Rice then turned to the internet and distributed the images depicting the sexual abuse of Victim-1 to several users of a mobile messaging application. Rice asked the users to share the images with others. At least one other user, Robert Lee Ripley, shared two images depicting the sexual exploitation of Victim-1. The images and videos were found in Rice’s cellphone after two Task Force Officers responded to his residence with a search warrant that they had obtained as a result of cyber-tip issued by the National Center for Missing and Exploited Children (NCMEC). NCMEC’s cyber-tip revealed that Rice had uploaded 23 images and 4 videos to his email depicting the sexual abuse of children. The cyber-tip included the 2 videos and 1 image depicting the sexual abuse of Victim‑1, and other child sexual abuse images of victims that had previously been identified by NCMEC.
The forensic analyses of Rice’s cellphone showed that, in addition to the images and videos of Victim-1, he possessed 18 images and 11 videos of widely circulated child sex abuse materials.
On July 26, 2022, Robert L. Ripley was sentenced to 14 years in prison for distributing 2 images depicting the sexual exploitation of Victim-1 through a mobile messaging application.
“There is not a prison sentence long enough for the heinous sexual exploitation of children” said HSI Orlando Assistant Special Agent in Charge David Pezzutti. “Thanks to the law enforcement partnership between HSI and the Brevard County Sheriff's Office for detecting and stopping this individual from continuing to violate the innocence of a child.”
This case was investigated by Homeland Security Investigations and the Brevard County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.
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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to 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.
Boat Captain in Fatal Maritime Alien Smuggling Incident Near Point Loma Sentenced to 18 YearsRead the Press Release
Assistant U. S. Attorneys C. Seth Askins (619) 546-6692 and Lyndzie M. Carter (619) 546-8780
NEWS RELEASE SUMMARY – August 12, 2022
SAN DIEGO – Antonio Hurtado, the boat captain of the doomed vessel smuggling 32 migrants in May 2021 wherein three people died, was sentenced today in federal court to 18 years in prison. At the sentencing hearing, U.S. District Judge Janis L. Sammartino stated this “is the most egregious case I’ve ever had in my courtroom in over 15 years in the Southern District of California.”
As detailed in pleadings filed prior to the hearing, during the afternoon and evening of May 1, 2021, smugglers in Puerto Neuvo, Baja California, Mexico, shuttled undocumented migrants from the beach to a location approximately two hours offshore near the Coronado Islands where Hurtado and his 40-foot boat – named the “Salty Lady” – were waiting. Those individuals – including three unaccompanied minors – had agreed to pay between $15,000 and $18,000 to be smuggled into the United States illegally.
Throughout that night and into the early morning hours, Hurtado piloted his boat and its occupants through rainy conditions and rough seas from Mexico into United States territorial waters. Along the way, according to many of the smuggled migrants, Hurtado repeatedly used controlled substances and even lost consciousness for over an hour before passengers were finally able to wake him. Shortly thereafter, the vessel suffered engine failure. Hurtado ignored his passengers’ pleas to call the U.S. Coast Guard for help, and the vessel drifted closer and closer to land, inevitably running aground approximately 50 yards from shore near Point Loma. Knowing his boat was doomed as waves battered it and it began to list on its side, Hurtado jumped into the water and made his way to shore, abandoning his passengers – who had concealed themselves in the cabin and below deck at his direction – and leaving them to fend for themselves. When the vessel broke apart from the pounding of the surf, they were thrown into the water.
Park Rangers stationed at nearby Cabrillo National Park saw this event unfolding and immediately called the Coast Guard. Multiple agencies – including but not limited to the Coast Guard, the Harbor Police Department, the National Park Service, San Diego Lifeguard Services, San Diego Air and Marine Branch, Homeland Security Investigations, and United States Border Patrol – responded to the scene and began a massive rescue and recovery effort. Thanks to their swift response, they were able to rescue 29 undocumented migrants from the water. Tragically, they recovered three individuals who had been aboard the boat and did not survive – Maricela Hernandez-Sanchez, Victor Perez-Degollado, and Maria Eugenia Chavez-Segovia. Subsequently, the Medical Examiner determined that these three individuals had sustained blunt force trauma and drowned.
Based on statements from the surviving undocumented migrants, Hurtado was identified as the pilot of the boat, taken into custody, and transported to a Border Patrol station for processing. However, while there, he advised that he was “coming down” from his prior use of a controlled substance, so agents brought him to a hospital to detox. In the Border Patrol station, Border Patrol Agent Xalick Castorena knelt beside Defendant and attempted to apply an ankle restraint for security during transportation. When he did so, Hurtado looked around the room as if to assess the situation, turned to the left, and slammed his right knee into the side of Agent Castorena’s face, committing an assault on a federal officer that Judge Sammartino referred to as “violent” and “awful.”
“Thirty-two passengers put their savings and their lives in this defendant’s hands. His reckless behavior and egregious failure to seek assistance put every one of them at serious risk and caused the tragic loss of three lives,” said U.S. Attorney Randy Grossman. “This sentence recognizes the serious nature of these crimes and stands as a stern warning to smugglers: your profit-driven schemes will fail; we will prosecute you for your crimes; and we will obtain justice for your victims.” Grossman thanked the prosecution team and numerous federal agents and officers who pursued this case.
“Human smugglers have no respect for human life, as is demonstrated by this defendant,” said Chad Plantz, Special Agent in Charge for Homeland Security Investigations San Diego. “The deaths in this investigation could have been prevented had the defendant not treated these victims like dispensable cargo; HSI will not tolerate transnational criminal organizations attempting to further their multi-billion dollar enterprise in San Diego. HSI is committed to investigating smugglers and holding them accountable for their actions.”
“This prosecution highlights the U.S. Attorney’s Office and U.S. Coast Guard’s commitment to safeguarding our nation against illicit smuggling and protecting all individuals operating on our waters,” said Commander Ray A. Slapkunas, Deputy Sector Commander, Coast Guard Sector San Diego. “This extremely unfortunate case highlights that smuggling operations are inherently dangerous and sometimes deadly when people put their safety in the hands of those that do not have their best interest in mind. While nothing can bring back those individuals lost, today’s sentence serves as a reminder that the Coast Guard and our partners at the Department of Justice will work tirelessly to hold accountable those who seek to deliberately engage in the illegal and dangerous practice of human smuggling.”
“Collaboratively, the efforts of many law enforcement agencies, including that of the United States Attorney’s office resulted in Antonio Hurtado’s arrest, conviction, and just sentencing,” said Chief Patrol Agent Aaron M. Heitke. “This incredibly dangerous and unpredictable tactic has already claimed lives, yet smuggling organizations continue to enrich themselves by using it.”
“This event is a clear indication of the lack of concern smugglers have for vulnerable populations,” said San Diego Air and Marine Director Brandon Tucker. “Individuals put their lives in the hands of criminal organizations to enter the United States illegally through the unforgiving Pacific Ocean. Unfortunately, three lives were lost that day, but I am thankful for the efforts by Air and Marine Operations agents and our partner agencies to rescue and ensure the safety of the 29 individuals that were stranded at sea.”
After serving his custodial sentence, Hurtado will be on supervised release for a period of 3 years.
DEFENDANT Case Number 21-cr-1615-JLS
Antonio Hurtado Age: 40 San Diego, CA
SUMMARY OF CHARGES
Attempted Bringing In Illegal Aliens Resulting in Death and Aiding and Abetting
Title 8, U.S.C., Section 1324(a)(1)(A)(i), (v)(II), and (a)(1)(B)(iv)
Maximum penalty: Life in prison and $250,000 fine
Attempted Bringing In Illegal Aliens for Financial Gain and Aiding and Abetting
Title 8, U.S.C., Section 1324(a)(2)(B)(ii) and Title 18, U.S.C., Section 2
Maximum penalty: 15 years in prison and $250,000 fine
Assault on a Federal Officer
Title 8, U.S.C., Section 111(a)(1) and (b)
Maximum penalty: 20 years in prison and $250,000 fine
AGENCY
Homeland Security Investigations
United States Border Patrol
Air and Marine Operations (CBP)
National Park Service
United States Coast Guard
San Diego Harbor Police Department
San Diego Fire-Rescue Department
San Diego Lifeguard Services
Aurora Man Sentenced to 66 Months for COVID FraudRead the Press Release
Denver - The United States Attorney’s Office for the District of Colorado announces Russell Ray Foreman, age 39, of Aurora, Colorado, has been sentenced to 66 months for money laundering and wire fraud.
According to the plea agreement, between March 29, 2020 and October 6, 2020, the defendant submitted seven several fraudulent Economic Injury Disaster Loan (EIDL) applications to the Small Business Administration (SBA). Two of the EIDL applications were approved and funded by the SBA. As a result of those fraudulent EIDL applications, LLCs created by the defendant received $196,500.00 in EIDL proceeds. He knowingly made false statements about the number of employees for each business, the gross revenues, the cost of goods sold, and the date each business was formed. On May 14, 2020, Foreman filed a false and misleading Paycheck Protection Program (PPP) loan application. As a result of the application, on May 26, 2020, an FDIC insured bank funded Foreman with a $20,052.00 PPP loan. He also aided and abetted a codefendant who made a false EIDL application and received $150,000.00.
Also, according to the plea agreement, the defendant laundered proceeds by causing the transfer of funds to his sister which was later returned to him.
At the sentencing hearing, the court considered that the defendant had been associated with unsuccessful applications under the CARES Act totaling over 2 million dollars.
Judge Raymond P. Moore sentenced Foreman on August 12, 2022. He also ordered restitution in the amount of $367,000.00.
“We are proud of the work being done by our partners at IRS-CI to investigate and bring to justice people who took advantage of these programs that were designed to help people in need during the COVID-19 pandemic,” said U.S. Attorney Cole Finegan. “We will continue to prosecute anyone who tries to defraud the United States Government out of money that was made supposed to be used to keep small businesses afloat during this national emergency.”
“Today’s sentencing is a direct reflection of IRS Criminal Investigation’s commitment to investigating individuals who lined their pockets with Covid relief funds,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “IRS Criminal Investigation has a 100% conviction rate for Covid relief fraud investigations prosecuted in federal court, and we will continue to hold criminals accountable that divert money intended for legitimate businesses.”
This case was investigated by the Internal Revenue Service - Criminal Investigations Denver Field Office (IRS-CI). Prosecution was handled by Assistant U.S. Attorney Robert M. Brown.
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 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.
Case number: 21-cr-00165
Atlantic City Woman Sentenced to 18 Years in Prison for Drug Distribution OffensesRead the Press Release
CAMDEN, N.J. – An Atlantic City, New Jersey, woman was sentenced to 216 months in prison after being convicted at trial of two drug distribution offenses, U.S. Attorney Philip R. Sellinger announced today.
Rajeri Curry, 33, was previously convicted of one count of conspiracy to distribute and possess with intent to distribute heroin and fentanyl and one count of possession with intent to distribute heroin, following a nine-day trial before U.S. District Judge Noel L. Hillman in Camden federal court. Judge Hillman imposed the sentence on Aug. 11, 2022, in Camden federal court.
According to documents filed in this case and the evidence at trial:
On Jan. 17, 2018, law enforcement executed a search at Curry’s residence. Inside Curry’s home, law enforcement recovered heroin, stamped with the words “DOA” and “BODY COUNT,” which Curry intended to distribute to her customers in Atlantic City. Also, between March and June of 2018, Curry conspired with drug suppliers in Newark to distribute and possess with intent to distribute heroin and fentanyl.
In addition to the prison term, Judge Hillman sentenced Curry to three years of supervised release.
U.S. Attorney Sellinger credited special agents of the DEA’s Newark Office, under the direction of Special Agent in Charge Susan A. Gibson, officers from the Atlantic City Police Department, under the direction of Acting Chief James A. Sarkos, and the Atlantic County Prosecutor’s Office, under the direction of Prosecutor William E. Reynolds, with the investigation leading to the sentencing.
The government is represented by Assistant U.S. Attorney Lauren E. Repole, Chief of the General Crimes Unit in Newark, and Assistant U.S. Attorney Tracey Agnew of the U.S. Attorney’s Office in Trenton.
Thursday 11 August 2022
တၢတ် တီ ၢ�်တၢအ် ၀ဲၤကျိၤကျၢၢတ် ၢံ အ် တၢသ် မံသမိးကၢွ ကဒါ ် ကလၤံ ထးံ ဒခိထၣ် စံၣ်ညီပီတအ့ သ�စူ ၢဖှိၣ်အမၤဂ့ ၤထၣ်ီ ခွဲးယာ်လၢပှၤလၢအအၣ်ိ ဒးီ အးဲ ကလးံ ကျာိ အတ် ၢသ် တ့ ၢဘ် ၣ်လၢအစှၤ တဖၣ်အဂီၢ ်Read the Press Release
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दक्षिण डाकोटा एकीकत न्याययक प्रणालील सीमित अङ्ग्रेजी प्रवीणता भएका िायिसहरूका लागि पहचिा सधार िरकाल न्याय ववभािल पिरावलोकि बन्द िरको छ।Read the Press Release
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Департамент юстиции закрывает проверку после облегчения Объединенной системой правосудия Южной Дакоты доступа для лиц с ограниченным знанием английского языкаRead the Press Release
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York Man Indicted for Assaulting Fellow Postal EmployeesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Christopher Moody, age 34, of York, Pennsylvania, was indicted yesterday by a federal grand jury of assault on federal employees.
According to U.S. Attorney Gerard Karam, the indictment alleges that on December 10, 2020, Moody assaulted two of his fellow postal employees causing bodily injury.
The matter was investigated by the U.S. Postal Inspection Service and the Springettsbury Township Police Department. Assistant U.S. Attorney Scott R. Ford is prosecuting the case.
The maximum penalty for this offense is up to 20 years in prison, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Woman Sentenced to Prison for Interstate Stolen Property CrimeRead the Press Release
CHARLESTON, W.Va. – Mindy Turner, 51, was sentenced today to one year in prison, to be followed by three years of supervised release, for aiding and abetting the interstate transportation of stolen property.
According to court documents and statements made in court, Turner admitted to participating in a scheme with Millard Patrick, 53, to obtain vehicles totaling approximately $172,950 in value from car dealerships in Kentucky and West Virginia.
On June 28, 2021, Turner passed a bad check at a Louisville, Kentucky, dealership so she and Patrick could obtain a 2020 Ford Explorer with an approximate value of $53,500. The following day, the two transported that vehicle to West Virginia and were arrested after unsuccessfully attempting to trade that vehicle at a Charleston dealership for a more expensive Ford F-250. On July 14, 2021, while out on bond, Turner and Patrick passed a bad check at a Hurricane dealership to obtain a Jeep Cherokee with an approximate value of $60,056.22. The following day, the pair passed a bad check at a Ripley dealership to obtain a new Ford Explorer with an approximate value of $59,393.48. That same day, Patrick and Turner attempted to obtain a Ford F-150 with an approximate value of $64,108.24 from a Hurricane dealership. They were turned away when the check did not clear.
Patrick also pleaded guilty to aiding and abetting the interstate transportation of stolen property, and is scheduled to be sentenced on September 1, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the assistance provided by the Charleston Police Department, the Hurricane Police Department, the Jackson County Sheriff’s Office, and the Louisville, Kentucky, Police Department.
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney Negar M. Kordestani 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. 2:22-cr-18.
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Woman Pleads Guilty to Accessory After the Fact to MurderRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that on Wednesday, August 10, 2022, BRIYAN LOVE, an Orleans Parish resident, pled guilty as charged to a violation of Accessory After the Fact to Murder.
LOVE pled guilty to Count One of the indictment, charging her with Accessory After the Fact to Murder, a violation of Title 18, United States Code, § 3. At sentencing, LOVE faces a maximum sentence of 15 years imprisonment, up to a $125,000 fine, up to 3 years of supervised release, and a mandatory special assessment fee of $100.
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.
The case was investigated by the New Orleans Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Elizabeth Privitera, Inga Petrovich, and David Haller of the Violent Crime Unit of the U.S. Attorney’s Office.
Webster Woman Sentenced for Theft, Embezzlement,and Misapplication by Bank EmployeeRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Webster, South Dakota, woman convicted of Theft, Embezzlement, and Misapplication by Bank Employee was sentenced on August 8, 2022, by U.S. District Judge Charles B. Kornmann.
Angelica Jean Gebur, age 43, was sentenced to 60 days in federal prison, followed by two years of supervised release, restitution to Needs Anonymous Thrift Store in the amount of $38,986, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Gebur was indicted by a federal grand jury in February of 2022. She pled guilty on May 17, 2022.
The conviction stemmed from incidents beginning on or about March 22, 2018, and continuing through June 18, 2021, when Gebur, an employee of CorTrust Bank, a financial institution whose deposits were insured by the Federal Deposit Insurance Corporation (FDIC), defrauded CorTrust Bank of more than $1,000 of moneys, funds, assets, and securities entrusted to the custody and care of CorTrust Bank.
Gebur was employed as the lead customer service representative for the CorTrust Bank branch located in Webster. Needs Anonymous Thrift Store is a volunteer-run thrift store ministry located in Webster, and they banked with CorTrust Bank. The thrift store usually dropped off its weekly deposit bag at the bank’s drive-up window. The bag typically contained mostly cash. The bag did not include a completed deposit form, but rather a handwritten note of the total deposit amount.
In her capacity as a CorTrust Bank employee, Gebur often received the deposits from the thrift store that were meant to be deposited into the thrift store’s accounts at the bank. On multiple occasions, Gebur stole some of the cash from the thrift store’s intended deposits, kept it for herself, and used it for her own purposes.
This case was investigated by the FBI and the South Dakota Division of Criminal Investigation. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Gebur was allowed to self-report to the custody of the U.S. Marshals Service by September 13, 2022.
Waterbury Man Sentenced to More Than 6 Years in Federal Prison for Firearm and Drug OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that KEVEN SANTOS, 24, of Waterbury, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 76 months of imprisonment, followed by four years of supervised release, for firearm possession and heroin distribution offenses.
According to court documents and statements made in court, in April 2021, Santos was on state parole. As a result of an investigation into activities, including multiple shootings, by members of the Paybacc Crypt street gang in Waterbury, Santos’ parole officer made the decision to conduct a compliance check. On April 16, 2021, state parole officers, Waterbury Police and Connecticut State Police located Santos and conducted the compliance check after they observed Santos carrying a bag and enter his car, which was parked near a residence on Easton Avenue in Waterbury. Inside the bag, investigators found and seized approximately 137 gross grams of cocaine, approximately 4.8 gross grams of crack, 29 Xanax pills, and a digital scale. A subsequent search of Santos’ residence revealed two loaded firearms, and a search of a garage that Santos had access to revealed approximately one kilogram of cocaine.
Santos has been detained in state custody since April 16, 2021. On May 2, 2022, he pleaded guilty in federal court to one count of possession with the intent to distribute 500 grams or more of cocaine, and one count of possession of a firearm by a felon. Santos will begin serving his 76-month federal sentence today.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Waterbury Police Department and Connecticut State Police, with the assistance of Connecticut State Parole. The case was prosecuted by Assistant U.S. Attorney Natasha M. Freismuth.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. In May 2021, the Justice Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Virginia Man Sentenced to Nearly 20 Years in Prison for Murder Aboard Commercial Scalloping BoatRead the Press Release
BOSTON – A Virginia man was sentenced today in federal court in Boston after admitting to a 2018 murder aboard a scalloping vessel off the coast of Massachusetts.
Franklin Freddy Meave Vazquez, 31, was sentenced by U.S. District Court Judge Allison D. Burroughs to 235 months in prison followed by three years of supervised release. On March 9, 2022, Meave Vazquez pleaded guilty to one count of murder in the second degree, one count of attempted murder and one count of assault with a dangerous weapon. Meave Vazquez, a Mexican national, is in the United States illegally and will be subject to deportation proceedings upon completion of his sentence.
“This was a horrific act of workplace violence. Today’s sentence, although it cannot erase the traumatic and pain caused to the families of the murder victim and the survivors of the brutal attack, I hope it brings some accountability. Mr. Meave Vazquez violently attacked three of his crewmates aboard a scalloping boat, killing one and seriously injuring the others,” said United States Attorney Rachael S. Rollins. “Meave Vazquez will now serve nearly 20 years behind bars, unable to endanger or harm any other people. I offer my condolences to the family of the murder victim and to the survivors and their loved ones.”
“Our thoughts are with each of the families, nothing can replace their loved ones”, said Coast Guard Rear Admiral John Mauger, Commander, First Coast Guard District. “Commercial fishing is a foundation of maritime commerce, and we are focused on ensuring the safety of the industry. We sincerely appreciate the teamwork with our federal partners in bringing justice to this case.”
“This murder was senseless and horrific, and so were the other unprovoked, violent assaults Mr. Vazquez committed, turning what should have been a regular day at work into a dreadful nightmare for his victims and their families,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation Boston Division. “There is no question today’s sentence is just, given the brutality and indifference to human life this man has demonstrated. Removing dangerous criminals from our streets, and our seas, is a top priority of FBI Boston’s Violent Crimes Task Force.”
On Sept. 23, 2018, the scalloping vessel, The Captain Billy Haver, was sailing approximately 50 miles off the coast of Nantucket with seven crew members aboard, including Meave Vazquez and the three victims. While working inside the shucking house Meave Vazquez used a hammer to strike Victim A in the head and into unconsciousness. He then walked out onto the deck and stabbed Victim B multiple times with a long fishing knife. In response to the commotion, Victim C climbed up from the ice hold, was struck in the head by Meave Vazquez with the hammer and fell back down the ladder, bleeding from his head. Meave Vazquez then closed the cover to the ice hold and covered it with heavy baskets of scallops, preventing Victim C and another crew member from being able to exit the hold. Meave Vazquez then struggled with the vessel captain, whom he attempted to stab, before climbing to the top of the rigging with the hammer.
Victim A and Victim B were taken by a rescue boat to a nearby ship for medical attention where Victim B was pronounced dead.
Meave Vazquez remained at the top of the rigging until the Coast Guard arrived and was immediately taken into custody. He was transferred into federal custody upon arrival at the Boston port the following day.
U.S. Attorney Rollins, Admiral Mauger, FBI SAC Bonavolonta and Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. The investigation was led by the FBI’s Violent Crimes Task Force. Assistant U.S. Attorneys Christine Wichers and Laura J. Kaplan of Rollins’ Criminal Division prosecuted the case.
Virginia Man Charged with Conspiring to Launder Money Obtained from Internet-Enabled Romance ScamsRead the Press Release
NEWARK, N.J. – A Virginia man was charged with conspiring to launder money taken from victims across the United States, many of whom were elderly, as a part of a series of romance scams, U.S. Attorney Philip R. Sellinger announced today.
Richard Agyeman Dua, 44, of Fredericksburg, Virginia, is charged by complaint with one count of money laundering conspiracy.
According to documents filed in this case and statements made in court:
Agyeman laundered money obtained through romance scams through business accounts he opened in the name of Mineral Logistics. After receiving the romance scam victims’ money, Agyeman wired thousands of dollars to overseas bank accounts, including accounts in Canada, Hong Kong, and China. Many of the victims were told of a scheme involving gold or an inheritance held up overseas; at least one victim lost her house as a result of the fraud. Law enforcement estimates that Agyeman received at least $734,000 in fraudulent proceeds.
The money laundering conspiracy charge has a maximum term of 20 years, and a maximum fine of $500,000 or twice the value of the funds involved in the transfer, whichever is greater.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark and Special Agent in Charge Gregory D. Nelsen in Cleveland, with the investigation leading to the charges. He also thanked the FBI in Richmond, Virginia, for its assistance.
The government is represented by Assistant U.S. Attorney Jamie L. Hoxie of the Cybercrime Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Vancouver, Washington ‘Investment Advisor’ pleads guilty to defrauding friends and family of more than $4 million in investment ‘Ponzi scheme’Read the Press Release
Tacoma – An unlicensed “investment advisor” from Vancouver, Washington, pleaded guilty today in U.S. District Court in Tacoma to mail fraud in connection with his scheme to defraud investors, including friends and family members, out of more than $4 million, announced U.S. Attorney Nick Brown. Charles Richard Burgess, 66, faces up to 20 years in prison when sentenced by U.S. District Judge David Estudillo on November 4, 2022.
“For more than two decades Mr. Burgess led his victims to believe that he was successfully investing their funds for retirement. But in fact, since at least 2013, the investment fund was insolvent and losing value, and Burgess was stealing investor funds to line his own pockets,” said U.S. Attorney Brown. “More than two dozen people have lost retirement savings because of Mr. Burgess’s fraud.”
According to records filed in the case, in the mid-1990s Burgess began selling investments in an unregistered investment vehicle that Burgess called “the pool.” Burgess never became a registered or licensed investment advisor. But between January 1995 and April 2021, he convinced 64 people to invest $13.4 million in “the pool.” He sought investments from friends and family members with whom he had a trusting relationship. Burgess did nothing to screen the investors to see what type of risk they could tolerate, and he did not provide them with written materials about the nature of the investments.
Burgess told investors that he only took a share of the profit made by the investments and he claimed to some that he would personally absorb any losses. Burgess provided the investors with statements indicating their account balances had grown substantially over time. However, those statements were false. For example, in 2016 Burgess sent investors statements indicating their investments had grown about 10 percent that year. In fact, the investments lost money.
As early as 2013, Burgess was not able to repay all the investors’ principal, let alone the profits he was falsely telling them they had earned. In December 2013, Burgess owed investors $2.3 million in principal and represented that the value of investor accounts exceeded $4.2 million. In fact, at that time the pool’s assets were only about $711,000. By then end of December 2015, it was even worse, with investors being told their accounts totaled over $5.2 million, when the assets totaled only about $365,000. By the end of 2020, Burgess owed investors $4.5 million in principal and represented in year-end statements that the collective value of their accounts exceeded $10.3 million. In fact, the Pool’s assets totaled only $113,000.
As the financial picture worsened, Burgess paid off earlier investors with money from new investors –a classic Ponzi scheme.
Despite his assurances that he only took a share of the profit from the fund, Burgess actually used investor money for his own expenses. From 2014-2021 Burgess transferred $1.4 million to his personal account.
In all, 32 investors lost $4.3 million in principal payments that they had made to Burgess. Under the plea agreement, Burgess will be ordered to pay $4,359,113 to the victim investors. Prosecutors have agreed to recommend the low end of the sentencing guidelines range when Burgess is sentenced. Judge Estudillo is not bound by prosecutors’ recommendation and can impose any sentence up to the 20-year statutory maximum after considering the sentencing guidelines and other statutory factors.
The case was investigated by the FBI with assistance from the Washington Department of Financial Institutions.
The case is being prosecuted by Assistant United States Attorney Seth Wilkinson.
Vallejo Man Indicted for Possession of Ammunition as a Felon and as the Subject of a Domestic Violence Protective OrderRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against Raykheem Andrew Guthery, 30, of Vallejo, charging him with possession of ammunition as a felon and as the subject of a domestic violence protective order, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on June 9, 2022, law enforcement officers conducted a vehicle stop on Guthery for driving a car without license plates. Guthery pretended to be someone else, claimed he was not on parole or probation, and denied being armed. In fact, Guthery was on probation for felony assault and had a firearm loaded with an extended magazine concealed on his person. Officers discovered the firearm during Guthery’s arrest. The firearm was a non-serialized, privately manufactured firearm, known as a “ghost gun.” It was loaded with one round of .40-caliber ammunition in the chamber and another 17 rounds in an extended magazine.
Guthery is prohibited from possessing firearms or ammunition because he has been convicted of at least three felonies, including a 2016 felony conviction for forcible assault likely to cause grave bodily injury. He is also prohibited from possessing firearms or ammunition because he is the subject of a domestic violence protective order issued on April 15, 2021, by the Superior Court of California, Solano County.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Solano County District Attorney’s Office, the Solano County Sheriff’s Office, and the FBI’s Solano County Violent Crimes Task Force. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
If convicted, Guthery faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
U.S. Attorney’s Office Announces Recent ADA Enforcement EffortsRead the Press Release
LEXINGTON, Ky. –The U.S. Attorney’s Office for the Eastern District of Kentucky is announcing some recent enforcement efforts under the Americans with Disabilities Act (the “ADA”). The ADA, which was signed into law on July 26, 1990 and recently passed its 32nd anniversary, is the nation’s foremost civil rights law for providing equal access and opportunity for people with disabilities. U.S. Attorneys’ Offices, who are tasked with enforcing the ADA in their jurisdictions, play a critical role in ensuring the goals of the ADA.
The ADA requires “places of public accommodation,” like restaurants and retail establishments, to provide individuals with disabilities equal access to facilities, both by removing physical barriers and by modifying policies or practices to permit appropriate access to people with disabilities.
The U.S. Attorney’s Office has recently resolved several matters involving businesses that are “places of public accommodation” under the ADA, including the following:
- Issuing a letter of resolution to Camporosso Wood Fired Pizzeria, in Fort Mitchell, Ky., where Camporosso agreed to remove obstructions to the restaurant’s accessible parking spaces caused by an expanded outdoor dining area installed in response to the COVID-19 pandemic. Camporosso also agreed to install signage at the designated accessible spaces, as required by the ADA.
- Entering into a settlement agreement with Burt 145, LLC, the owner of a building on 145 Burt Road in Lexington, Ky. that houses more than a dozen places of public accommodation, in which the company agreed to remove physical barriers at all the unit entrances and properly mark accessible parking spaces in its parking lot. The U.S. Attorney’s Office opened this matter after receiving a complaint from an individual who uses a wheelchair, who could not enter a business in the building without assistance because of a step at the store entrance.
- Entering into a settlement agreement with DZ Properties, LLC, the owner of a building that houses Jim’s Fine Wine & Spirits and a dentistry practice in Fort Mitchell, Ky., resolving a complaint regarding a lack of accessible parking.
- Issuing a letter of resolution to Lexington-based Magee’s Baking Company, resolving a complaint by an individual with disabilities who alleged that bakery staff attempted to exclude her from the restaurant after she could not provide documentation for her service animal, which is not required under the ADA. As part of the resolution, Magee’s agreed to adopt and maintain a Service Animal Policy, train its staff members on the ADA’s service animal requirements, and post signage permitting service animals.
Each of these referenced matters were handled by Assistant U.S. Attorney Carrie Pond. The U.S. Attorney’s Office will continue to work with businesses and the community in its efforts to ensure that individuals with disabilities have equal access to places of public accommodation under the ADA. Additional information about the ADA is available at www.ada.gov. To report potential civil rights violations, including potential violations of the ADA, contact the Department’s Civil Rights Division at civilrights.justice.gov, or contact the U.S. Attorney’s Office directly, at [email protected].
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U.S. Attorney's Office Recognizes Employees for Outstanding Work in 2021Read the Press Release
The United States Attorney's Office for the Northern District of Ohio presented awards to honor exceptional advocacy, support and legal work on behalf of the district's six million residents in the year 2021.
"Each year, our office recognizes exceptional performance, leadership and effort put forth by employees of the United States Attorney’s Office in the Northern District on behalf of the residents and communities that we serve,” said First Assistant United States Attorney Michelle M. Baeppler,” "Whether it's combating violent crime, protecting taxpayers, assisting with case management or managing the needs of an office of over 200 employees, these award recipients embody the best of public service."
Details of the award winners are below:
National Association of Former United States Attorneys’ Exceptional Service Award
The National Association of Former United States Attorneys’ award recognizes exceptional service to the United States Attorneys’ Office, the Department of Justice and the United States in its award for Exceptional Service.
Awardee: Carol Skutnik
Excellence in Civil, Criminal, Paralegal and Administrative Support
Awarded for outstanding overall performance for a particular project/case/duty or series of projects/cases/duties in a respective office division.
Excellence in Civil Support
Kendall Miller
Excellence in Paralegal Support
Jennifer Miller
Excellence in Criminal Support
Judith Toth
Excellence in Administrative Support
Kerri Hesketh
New Legal Support Award
Awarded to a civil, criminal, or administrative support employee with less than five years of experience who demonstrates outstanding overall performance, a superior commitment to the mission of the Office and displays significant growth in the execution of their duties.
Awardee: Kelsey Sprenger
New AUSA Excellence Award
Awarded to an Assistant U.S. Attorney with less than five years of experience who demonstrates outstanding overall performance, a superior commitment to the mission of the Office and displays significant growth in the execution of their duties.
Awardee: Matthew Simko
The Jane Corrigan Award
Awarded to a supportive staff member who is always professional, ready to help others in the performance of their duties, who expresses a “can-do” attitude, and whose demeanor is always engaging.
Awardee: Antoinette Burrell
Bernard A. Smith Award for Excellence in Appellate Advocacy
Awarded for exceptional advocacy in an appellate matter. Nominees are considered for their professionalism, the difficulty of the legal arguments briefed or argued, and any other challenging case-related circumstances, regardless of verdict or court opinion.
Awardee: Daniel Ranke
Excellence in Criminal Advocacy
Awarded for exceptional advocacy in a criminal matter. Nominees are considered for their professionalism, the difficulty of the legal arguments briefed or argued, and any other challenging case-related circumstances, regardless of verdict or court opinion.
Awardees: Michael Collyer, Megan Miller, Bryan Bricker, Allison Kretz
Excellence in Civil Advocacy
Awarded for exceptional advocacy in a civil matter. Nominees are considered for their professionalism, the difficulty of the legal arguments briefed or argued, and any other challenging case-related circumstances, regardless of verdict or court opinion.
Awardee: Suzana Koch
AUSA Supervisor of the Year
Awarded to a supervisor who has demonstrated superior professionalism, leadership, and management in the performance of their duties.
Awardee: Steven Paffilas
The Bill Edwards Career Award
Awarded to an Assistant U.S. Attorney with more than 15 years of experience who has demonstrated superior professionalism in the execution of their duties and excellence in leadership and mentorship throughout their career.
Awardee: Guillermo “Bill” Rojas
The Roberta Sladick Career Award
Named after former Northern District of Ohio employee Roberta Sladick and awarded to a support staff employee with more than 15 years of experience who has demonstrated superior professionalism in the execution of the support staff’s duties, and excellence in leadership and mentorship throughout the person’s career.
Awardee: Sarah Perkins
The Craig Tame Award for Excellence in Community Outreach Award
Named in honor of former Northern District of Ohio Law Enforcement Coordinator Craig Tame and awarded to an employee who demonstrates a commitment to community service and making the Northern District of Ohio a better place to live.
Awardee: Michelle Heyer
Employee of the Year – Administrative Support
Awarded for exceptional overall performance, which demonstrates a superior commitment in the execution of the person’s duties in the Administrative Division.
Awardee: SharNette McCully
Employee of the Year – Legal Support:
Awarded to a Legal Support employee for exceptional overall performance, taking into account all the required responsibilities in the performance of the person’s duties, which demonstrates a superior commitment to the interests of justice, and the mission of the United States Attorney’s Office.
Awardee: Jesse Sherman
AUSA of the Year
Awarded to an Assistant United States Attorney for exceptional overall performance, taking into account all the required responsibilities in the performance of the person’s duties, which demonstrates a superior commitment to the interests of justice and the mission of the United States Attorney’s Office.
Awardees: Assistant U.S. Attorneys Robert J. Kolansky and Peter Daly
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