Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Wednesday 10 August 2022
Birmingham Man Sentenced on Firearm ChargeRead the Press Release
BIRMINGHAM, Ala. – A Birmingham man was sentenced yesterday on the charge of Felon in Possession of a Firearm announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Explosives, and Firearms Special Agent in Charge Mickey French.
Deontra Lamar Austin, 21, was sentenced on the charge of Felon in Possession of a Firearm. Austin was sentenced by U.S. District Judge Annemarie Carney Axon to 42 months of imprisonment followed by 36 months of supervised release.
On February 11, 2022, detectives of the Birmingham Crime Reduction Team (CRT) conducted surveillance on Austin due to his being wanted for Burglary First Degree and a parole violation. Detectives observed Austin entering the passenger side of a vehicle, and they followed the vehicle until it stopped at the Chevron Gas Station located at the intersection of Sunhill Road and Carson Road. As Austin exited the gas station, officers arrested him and retrieved a 9mm Smith and Wesson handgun from Austin’s waistband. Austin was prohibited from possessing a firearm because he was a convicted felon.
Austin is linked to the Hard 2 Kill gang. Agents of the Bureau of Alcohol, Tobacco, Explosives, and Firearms (ATF) investigated the Hard 2 Kill gang, better known as H2K. This gang operates in the Birmingham, Alabama area and is known to be involved in acts of violence, illegal drug distribution, and illegal firearm possession.
The case is a part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
“Street gangs are responsible for much of the violent crime in Birmingham,” said U.S. Attorney Escalona. “To reduce the senseless deaths and injuries from gun violence, our law enforcement partners seek to identify the most violent offenders and use every available means to take them off the street. Prosecution of felons with guns is a very effective way to reduce the violence that plagues our communities.”
“The ATF prides itself in working with our state, local, and federal partners to take firearms out of the hands of individuals who knowingly and illegally possess them. In most cases, firearms are obtained illegally by gang members and passed around until they are recovered in some type of unfortunate criminal incident. The hard work and collaborative efforts that the ATF and our law enforcement partners demonstrate on a daily basis allows us to successfully combat crime in and around the Birmingham area,” said ATF SAC Mickey French.
ATF investigated the case along with the Birmingham Police Department and the Alabama Bureau of Pardons and Parole. Assistant United States Attorneys Darius Greene and Kristy Peoples prosecuted the case.
Belgrade construction company co-owner sentenced to prison for failing to pay $2.8 million in payroll taxesRead the Press Release
MISSOULA — The co-owner of H & H Earthworks, Inc., was sentenced today to 30 months in prison after she admitted to failing to pay the IRS more than $2.8 million in employee and employer taxes, and instead, spent some of the money on personal expenses, including home renovations and recreational vehicles, U.S. Attorney Jesse Laslovich said.
Melissa Lynne Horner, 43, of Bozeman, pleaded guilty in April to failure to truthfully account for and pay over withholding and F.I.C.A. taxes, a felony, and to failure to file employer’s quarterly return and pay tax, a misdemeanor.
U.S. District Judge Dana L. Christensen presided. Judge Christensen also ordered Horner to serve three years of supervised release following incarceration and to pay $2,878,522 restitution. Horner was allowed to self-report to the Bureau of Prisons.
“Those who evade our federal and state tax laws by cheating taxpaying Americans out of their hard-earned dollars, especially those who are entitled to their Medicare and Social Security payments, will be held accountable for their criminal conduct. Horner’s sentence shows that those who fraudulently refuse to pay taxes that every employer is required to pay will face criminal prosecution by our office. The people of our state and nation deserve nothing less,” U.S. Attorney Laslovich said.
“Business owners have an obligation to their employees and the IRS to pay over payroll and employment taxes,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “By withholding these taxes for her personal gain Ms. Horner not only defrauded the federal government, but also all honest taxpayers, and today’s sentencing is a direct reflection of the seriousness of her crime.”
In court documents filed in the case, the government alleged that H & H Earthworks, Inc., is a Belgrade-based, family owned, commercial site-development business, and that Horner managed the company’s finances. The company employed between 20 and 60 persons from 2014 through 2019.
For approximately five years, beginning in March 2014 through 2019, Horner had Earthworks pay hundreds of thousands of dollars of expenditures for her personal benefit instead of paying over to the IRS payroll tax required to be withheld from Earthworks’ employees’ paychecks. Horner used the money for personal expenses, including, more than $100,000 on motorsport vehicles, $90,000 to a real estate title company in Bozeman, at least $50,000 on home renovations and $20,000 for a motorhome.
The government further alleged that Horner withdrew Federal Insurance Contribution Act (FICA) taxes from the wages paid to Earthworks employees and failed to pay over the trust fund taxes to the IRS. Horner also failed to pay over Earthworks’ portion of the FICA taxes (Federal Income, Social Security and Medicare taxes). In addition, Horner failed to file quarterly Forms 941, Employer’s Quarterly Federal Tax Returns, prior to being notified of the criminal investigation. Horner knew she was required to pay over the employment taxes and file the quarterly Forms 941 and willfully chose to violate this obligation.
Assistant U.S. Attorney Karla E. Painter prosecuted the case, which was investigated by the IRS Criminal Investigation.
XXX
Aryan Circle Member Convicted of Racketeering Attempted MurderRead the Press Release
A federal jury in the Eastern District of Kentucky convicted a Louisiana man today for his attempted murder of a man at the direction of the violent prison gang, Aryan Circle.
Evidence presented at trial showed that Mitchell Farkas, aka Lifter, 52, of Baton Rouge, along with Johnathan Gober, stabbed another inmate, who the Aryan Circle believed had violated gang rules, while all were housed at federal prison U.S. Penitentiary (USP) Big Sandy in Martin County, Kentucky.
According to court documents and evidence presented at trial, the Aryan Circle is a violent, white-supremacist, prison gang with hundreds of members operating throughout the country, both inside and outside of prisons. The Aryan Circle enforces its rules and promotes discipline among its members, prospects, and associates through threats, intimidation, assaults, and murder.
The jury convicted Farkas of Violent Crimes in Aid of Racketeering (VICAR) attempted murder, VICAR assault with intent to do serious bodily harm, and attempted murder and assault with intent to do serious bodily harm. He is scheduled to be sentenced on Dec. 5 and faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Gober was sentenced on Dec. 21, 2021, to 10 years in prison.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case, with the assistance of the Federal Bureau of Prisons, the Texas Department of Public Safety, the Houston Police Department – Gang Division, and the Montgomery County (TX) Precinct One Constable’s Office.
Trial Attorney Rebecca Dunnan of the Justice Department’s Organized Crime and Gang Section and Assistant U.S. Attorney Gregory Rosenberg of the Eastern District of Kentucky are prosecuting the case.
Albany Man Arraigned on Pandemic-Related Fraud ChargesRead the Press Release
ALBANY, NEW YORK – Ibrahim K. Boyd, age 32, of Albany, appeared today on an indictment alleging he engaged in fraudulent schemes to obtain government benefits and other funds intended to help out-of-work New Yorkers and struggling small businesses during the COVID-19 pandemic.
The announcement was made by United States Attorney Carla B. Freedman; New York State Inspector General Lucy Lang; Matthew Scarpino, Acting Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS); and Jonathan Mellone, Special Agent in Charge, New York Region, United States Department of Labor, Office of Inspector General (USDOL-OIG).
The indictment alleges that Boyd submitted a false unemployment insurance application using the personal information of another person to the New York State Department of Labor (NYSDOL) and obtained more than $16,000 in benefits for his personal gain. Additionally, Boyd allegedly made up two fake businesses to obtain a Paycheck Protection Program loan and U.S. Small Business Administration disaster-related funding, totaling in excess of $28,000. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
Boyd was arraigned today before United States Magistrate Judge Daniel J. Stewart and ordered released pending trial.
The indictment, returned by a grand jury on July 28, 2022, alleges mail fraud, wire fraud, and aggravated identity theft offenses. The mail fraud and wire fraud charges each carry maximum terms of 20 years in prison, fines of up to $250,000, and a term of supervised release of up to 3 years. The aggravated identity theft charge carries a mandatory term of 2 years in prison, to be imposed consecutive to any other term of imprisonment. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The case is being investigated by the New York State Inspector General’s Office, HSI, USPIS, and USDOL-OIG, with assistance from the NYSDOL Office of Special Investigations. The case is being prosecuted by Assistant U.S. Attorney John T. Chisholm
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.
Tuesday 9 August 2022
William Roger Woodie Sentenced to 25 Years for Conspiracy to Distribute MethamphetamineRead the Press Release
GREENEVILLE, Tenn. – On August 8, 2022, William Roger Woodie, 33, of Calhoun, Georgia, was sentenced to 300 months in prison by the Honorable J. Ronnie Greer, in the United States District Court for the Eastern District of Tennessee at Greeneville.
As part of the plea agreement filed with the court, Woodie agreed to plead guilty to conspiracy to distribute 4.5 kilograms or more of methamphetamine in violation of 21 U.S.C. §§ 846, 841(a)(1), and 841(b)(1)(A). After his term of incarceration, Woodie will be on supervised release for five years.
According to the plea agreement and other documents filed with the court, agents with the Drug Enforcement Administration (“DEA”) and the Johnson City Police Department (“JCPD”) began an investigation into the trafficking of methamphetamine into the Eastern District of Tennessee in 2018. The investigation revealed that Woodie, who was incarcerated within the Georgia Department of Corrections, was responsible for arranging the trafficking of hundreds of pounds of methamphetamine into the region. In text messages recovered during the investigation, Woodie described himself as a “full time drug dealer.” During the investigation, 52 kilograms of methamphetamine and over 20 firearms were seized by law enforcement. Additionally, over 30 individuals from Woodie’s network have been convicted as a result of the investigation. This organization obtained methamphetamine primarily from the Atlanta, Georgia area and distributed it within eastern Tennessee and southwest Virginia.
This case was the result of an investigation by DEA, JCPD, the Tennessee Highway Patrol, the Sullivan County Sheriff’s Department, the Bristol, Tennessee Police Department, the Department of Homeland Security, and the Bureau of Alcohol, Tobacco, and Firearms.
Assistant U.S. Attorneys Thomas McCauley and Emily Swecker represented the United States.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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.
###
Wausau Woman Charged with False Statement During Purchase of FirearmsRead the Press Release
MADISON, WIS. – A Wausau, Wisconsin woman is charged with making a false statement during the purchase of firearms in an indictment returned on May 11, 2022, by a federal grand jury sitting in Madison. The charges are announced by Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin.
The indictment charges Ashley Zastrow, 31, with making a false statement on a Firearms Transaction Record form required by federal law during the purchase of two firearms from a federally licensed firearms dealer on January 13, 2022. The indictment alleges that she indicated on the form she was the actual buyer of the firearms, but in fact she was not the actual buyer. Making such a false statement during the purchase of a firearm is commonly known as a “straw purchase.”
The indictment was unsealed following Zastrow’s arrest on Friday, August 5, in Marshfield, Wisconsin, by the Marshfield Police Department. She was arraigned in U.S. District Court in Madison yesterday and remains in federal custody. The trial in this matter has been set for December 5, 2022, before U.S. District Judge William M. Conley.
If convicted, Zastrow faces a maximum penalty of 5 years in federal prison. The charge against her is the result of an investigation by the Lincoln County Sheriff’s Office, Merrill Police Department, and Federal Bureau of Investigation, with the assistance the Marshfield Police Department. Assistant U.S. Attorney Taylor Kraus is handling the prosecution.
You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Virginia Man Sentenced to Prison for Sex Offense Against A MinorRead the Press Release
CHARLESTON, W.Va. – A Virginia man was sentenced today to three years and 10 months in prison, to be followed by 10 years of supervised release, for traveling in interstate commerce to engage in illicit sexual activity with a minor. Austin James Quesenberry, 28, of Dublin, Virginia, must also register as a sex offender.
According to court documents and statements made in court, on December 21, 2021, Quesenberry traveled from Virginia to St. Albans, West Virginia, in order to meet a minor he believed to be a 14-year-old girl to engage in sexual activity, including sexual intercourse. He also sent the purported minor videos of himself masturbating.
United States Attorney Will Thompson made the announcement and commended the investigative work of the FBI Violent Crimes Against Children Task Force.
Chief United States District Judge Thomas E. Johnston imposed the sentence. Assistant United States Attorney Jennifer Rada Herrald prosecuted the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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-11.
###
Vessel Operator and Chief Engineer Convicted for Oily Bilge Water Discharge OffenseRead the Press Release
New Trade Ship Management S.A. (New Trade), a vessel operating company, and vessel Chief Engineer Dennis Plasabas pleaded guilty today in San Diego, California, for maintaining false and incomplete records relating to the discharge of oily bilge water from the bulk carrier vessel Longshore.
New Trade and Plasabas admitted that oily bilge water was illegally dumped from the Longshore directly into the ocean without being properly processed through required pollution prevention equipment. Oily bilge water typically contains oil contamination from the operation and cleaning of machinery on the vessel. The defendants also admitted that these illegal discharges were not recorded in the vessel’s oil record book as required by law. Specifically, on two separate occasions between October and December 2021, Chief Engineer Plasabas, who was employed by New Trade, ordered lower-ranking crew members to use a portable pneumatic pump and hose to bypass pollution prevention equipment by transferring oily bilge water from the vessel’s bilge holding tank to the vessel’s sewage tank, from where it was discharged directly into the ocean. Plasabas then failed to record these improper transfers and overboard discharges in the vessel’s oil record book. Additionally, in order to create a false and misleading electronic record as if the pollution prevention equipment had been properly used, Plasabas directed lower-ranking crew members to pump clean sea water into the vessel’s bilge holding tank in the same quantity as the amount of oily bilge water that he had ordered transferred to the sewage tank. Plasabas then processed the clean sea water through the vessel’s pollution prevention equipment as if it was oily bilge water in order to make it appear that the pollution prevention equipment was being properly used when in fact it was not. The electronic records indicate that approximately 9,600 gallons of clean sea water were run through the pollution prevention equipment.
“This case demonstrates our commitment to investigating and prosecuting environmental crimes occurring at sea, no matter how wrongdoers may try to cover them up,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The Department of Justice will continue to work with our partner agencies to ensure polluters are held fully accountable.”
“We are committed to protecting our environment from people who cause immeasurable harm with short cuts,” said U.S. Attorney Randy Grossman for the Southern District of California. “This was a very calculated plan to violate the rules, and today the offenders are being held to account.” Grossman thanked the prosecution team and the U.S. Coast Guard for their excellent work on this case.
“This prosecution highlights the U.S Attorney’s Office and the U.S. Coast Guard’s dedication in safeguarding our oceans against those that seek to deliberately harm our natural resources,” said Captain James W. Spitler, Sector Commander of the Coast Guard Sector San Diego. “Illegal dumping of oil and falsification of oil record books are egregious violations. Today’s guilty plea should serve as a reminder that the Coast Guard and our partners at the Department of Justice will work tirelessly to hold accountable those that seek to deliberately discharge oil and falsify ship records.”
New Trade and Plasabas each pleaded guilty to a felony violation of the Act to Prevent Pollution from Ships for failing to accurately maintain the Longshore’s oil record book. Under the terms of the plea agreement and subject to court approval, New Trade will pay a total fine of $1,100,000 and serve a four-year term of probation, during which any vessels operated by the company and calling on U.S. ports will be required to implement a robust Environmental Compliance Plan. Sentencing for the defendants is currently set for Nov. 18.
This case was investigated by the U.S. Coast Guard Sector San Diego and the U.S. Coast Guard Investigative Service. The case is being prosecuted by Assistant U.S. Attorney Melanie K. Pierson for the Southern District of California and Senior Trial Attorney Stephen Da Ponte of the Justice Department’s Environment and Natural Resources Division, Environmental Crimes Section.
Vessel Operator and Chief Engineer Convicted for Oily Bilge Water Discharge OffenseRead the Press Release
Assistant U. S. Attorney Melanie Pierson (619) 546-7976
NEWS RELEASE SUMMARY – August 9, 2022
SAN DIEGO – New Trade Ship Management S.A. (New Trade), a vessel operating company, and vessel Chief Engineer Dennis Plasabas, pleaded guilty in federal court today to maintaining false and incomplete records relating to the discharge of oily bilge water from the bulk carrier vessel Longshore.
New Trade and Plasabas admitted that oily bilge water was illegally dumped from the Longshore directly into the ocean without being properly processed through required pollution prevention equipment. Oily bilge water typically contains oil contamination from the operation and cleaning of machinery on the vessel. The defendants also admitted that these illegal discharges were not recorded in the vessel’s Oil Record Book as required by law.
Specifically, on two separate occasions between October and December 2021, Chief Engineer Plasabas, who was employed by New Trade, ordered lower-ranking crew members to use a portable pneumatic pump and hose to bypass pollution prevention equipment by transferring oily bilge water from the vessel’s Bilge Holding Tank to the vessel’s Sewage Tank, from where it was discharged directly into the ocean.
Plasabas then caused the ship’s Master to fail to record these improper transfers and overboard discharges in the vessel’s Oil Record Book. Additionally, to create a false and misleading electronic record as if the pollution prevention equipment had been properly used, Plasabas directed lower-ranking crew members to pump clean sea water into the vessel’s Bilge Holding Tank in the same quantity as the amount of oily bilge water that he had ordered transferred to the Sewage Tank. Plasabas then processed the clean sea water through the vessel’s pollution prevention equipment as if it was oily bilge water to make it appear that the pollution prevention equipment was being properly used when in fact it was not. The electronic records indicate that approximately 9,600 gallons of clean sea water were run through the pollution prevention equipment.
“We are committed to protecting our environment from people who cause immeasurable harm with short cuts,” said U.S. Attorney Randy Grossman. “This was a very calculated plan to violate the rules, and today the offenders are being held to account.” Grossman thanked the prosecution team and the U.S. Coast Guard for their excellent work on this case.
“This case demonstrates our commitment to investigating and prosecuting environmental crimes occurring at sea, no matter how wrongdoers may try to cover them up,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “The Department of Justice will continue to work with our partner agencies to ensure polluters are held fully accountable.”
“This prosecution highlights the U.S Attorney’s Office and the U.S. Coast Guard’s dedication in safeguarding our oceans against those that seek to deliberately harm our natural resources. Illegal dumping of oil and falsification of oil record books are egregious violations,” said Captain James W. Spitler, Sector Commander, Coast Guard Sector San Diego. “Today’s guilty plea should serve as a reminder that the Coast Guard and our partners at the Department of Justice will work tirelessly to hold accountable those that seek to deliberately discharge oil and falsify ship records.”
New Trade and Plasabas each pleaded guilty to a felony violation of the Act to Prevent Pollution from Ships, for failing to accurately maintain the Longshore’s Oil Record Book. Under the terms of the plea agreement and subject to court approval, New Trade will pay a total fine of $1,100,000 and serve a four-year term of probation, during which any vessels operated by the company and calling on United States’ ports will be required to implement a robust Environmental Compliance Plan. Sentencing for the defendants is currently set for November 18, 2022, at 9:00 am.
This case was investigated by the U.S. Coast Guard Sector San Diego and the U.S. Coast Guard Investigative Service. The case is being prosecuted by Assistant U.S. Attorney Melanie K. Pierson for the Southern District of California and Senior Trial Attorney Stephen Da Ponte of ENRD’s Environmental Crimes Section.
DEFENDANTS Case Number 22cr1802-JO
New Trade Ship Management S.A.
Chief Engineer Dennis Plasabas Age: 48 Philippines
SUMMARY OF CHARGES
Act to Prevent Pollution from Ships – Title 33, U.S.C., Section 1908(a)
Maximum penalty: not more than Six years in prison and $250,000 fine (individual); not more than Five years of probation and a fine which is the greater of $500,000 or twice the amount of gross gain or loss (organization).
AGENCY
U.S. Coast Guard
Two Defendants Convicted in Federal Investigation That Dismantled Mexico-to-Chicago Drug PipelineRead the Press Release
CHICAGO — A jury has convicted two suburban Chicago men on drug conspiracy charges as part of a federal investigation that disrupted a Mexico-to-Chicago drug pipeline.
SHELDON MORALES and EDUARDO SANTANA conspired with a supplier in Mexico and two inmates in a prison in Texas to traffic methamphetamine, fentanyl, and cocaine from Mexico to Evanston, Ill., and Morton Grove, Ill., in 2019. The drugs were sent in packages from California and Arizona and later sold on the streets in the Chicago area.
Law enforcement uncovered the drug trafficking activities through the use of wiretapped cellular phones and extensive surveillance. The case was part of an Organized Crime Drug Enforcement Task Forces investigation. OCDETF identifies, disrupts, and dismantles drug traffickers and other criminal offenders that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
After a week-long trial in U.S. District Court in Chicago, the jury on Aug. 5, 2022, convicted Morales, 40, of Morton Grove, Ill., and Santana, 45, of Skokie, Ill., on a drug conspiracy charge. Morales was also convicted of an individual drug charge related to his possession of methamphetamine and fentanyl. Morales faces a mandatory minimum sentence of 15 years in federal prison and a maximum of life, while Santana faces a mandatory minimum of ten years and a maximum of life.
U.S. District Judge Mary M. Rowland has not yet scheduled sentencings.
The convictions were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Robert J. Bell, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration; and Justin Campbell, Special Agent-in-Charge of IRS Criminal Investigation in Chicago. Substantial assistance was provided by the Evanston Police Department. Assistant U.S. Attorneys Charles W. Mulaney, Kirsten Moran, and Jeannice Appenteng represent the government.
Three Charged with COVID-19 Relief Fraud SchemeRead the Press Release
Three people were arrested today on criminal charges in three separate indictments filed in the District of Idaho. These charges relate to the defendants’ alleged roles in fraudulently obtaining and misusing Paycheck Protection Program (PPP) loans.
According to court documents, Khadijah Chapman, 58, of Atlanta; Daniel Labrum, 41, of South Jordan, Utah; and Eric O’Neil, 57, of Bethel, Connecticut, are charged with fraudulently obtaining PPP loans for fictitious businesses in 2021. The defendants, along with others, allegedly falsified information and submitted fraudulent documents to collectively obtain over $2.4 million in relief funding guaranteed by the Small Business Administration (SBA) under the Coronavirus Relief, Aid, and Economic Security (CARES) Act for small businesses struggling with the economic impact of COVID-19.
Chapman and O’Neil are each charged with one count of bank fraud, and Labrum is charged with five counts of bank fraud and one count of engaging in monetary transactions with criminally derived proceeds for their roles in the scheme. If convicted, Chapman, Labrum, and O’Neil each face a maximum penalty of 30 years in prison for each count of bank fraud. Labrum additionally faces a maximum of 10 years in prison for engaging in monetary transactions with criminally derived proceeds. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Joshua D. Hurwit for the District of Idaho; Assistant Director Luis Quesada of the FBI’s Criminal Investigation Division; Special Agent in Charge Stephen Belongia of the FBI’s Buffalo Field Office; Special Agent in Charge Thomas Fattorusso of the IRS Criminal Investigation (IRS-CI); and Inspector in Charge Ketty Larco-Ward of the United States Postal Inspection Service (USPIS) made the announcement.
The FBI, IRS-CI, and USPIS are investigating the case.
Trial Attorneys Jennifer Bilinkas and Tamara Livshiz of the Justice Department’s Fraud Section and Assistant U.S. Attorney Sean Mazorol for the District of Idaho are prosecuting the case.
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.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Stamford Men Sentenced for Trafficking Counterfeit Oxycodone Pills Containing FentanylRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that two Stamford residents who manufactured and distributed counterfeit oxycodone pills containing fentanyl analogues were sentenced yesterday by U.S. District Judge Stefan R. Underhill in Bridgeport. ARBER ISAKU, 32, was sentenced to 51 months of imprisonment and three years of supervised release, and VINCENT DECARO, 32, was sentenced to 48 months of imprisonment and three years of supervised release.
According to court documents and statements made in court, Isaku and Decaro purchased fentanyl analogues from suppliers in China and, working out of Decaro’s residence at 77 West Hill Circle in Stamford, pressed the drug into counterfeit oxycodone pills, which they sold to customers on dark web markets. David Reichard, who lived for a short time at Decaro’s residence, helped Isaku and Decaro press pills and mail the pills to customers.
On April 3, 2018, a court-authorized search of Decaro’s residence revealed numerous pills containing approximately 330 grams of fentanyl and acetyl fentanyl, approximately 40 grams of fentanyl analogues in powder form, three pill presses, instructions on how to prepare the fentanyl analogue Carfentanil, a hazardous material suit, a gas/respirator-type mask, and numerous U.S. Postal mail envelopes.
At the time of the search of Decaro’s home in April 2018, Isaku and Decaro were in Europe. On September 21, 2018, Isaku and Decaro were arrested by Albanian State Police as they were attempting to cross the border from Albania into Kosovo. A search of an apartment in Tirana where they had been staying revealed alprazolam, fentanyl and other controlled substances; tools and dies for pressing pills, and instructions for synthesizing fentanyl.
On June 15, 2021, Decaro pleaded guilty to one count of possession with intent to distribute fentanyl analogues and, on August 6, 2021, Isaku pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, fentanyl analogues. Isaku and Decaro, who are both released on bonds, are required to report to prison on September 21 and November 2, respectively.
Reichard has pleaded guilty and awaits sentencing.
This matter has been investigated by the U.S. Postal Inspection Service, Drug Enforcement Administration, Connecticut State Police and Stamford Police Department, with the assistance of the Albanian State Police. The case is being prosecuted by Assistant U.S. Attorneys Patrick J. Doherty and Margaret M. Donovan, with the assistance of Law Student Intern Mikayla Pieksza.
U.S. Attorney Avery thanked the U.S. Department of Justice's Office of International Affairs for coordinating the extradition proceedings in this matter.
St. Louis woman sentenced to 27 months in prison for arson attempts during protestsRead the Press Release
ST. LOUIS – U.S. District Judge Stephen R. Clark on Tuesday sentenced a woman who tried to set fires at a St. Louis 7-Eleven during a 2020 protest to 27 months in prison.
On June 1, 2020, Nautica Turner took lighter fluid and began to pour it on the 7-Eleven located at 201 N. 17th Street in St. Louis as the store was being looted by numerous individuals, Turner admitted in a plea agreement in February.
After a man showed Turner a better technique for pouring the lighter fluid, she took the container back and continued trying to set the building on fire.
The man, Justin Cannamore, later set a fire in an aisle of the store, which was soon extinguished when a firework exploded in the same location. Turner took a thin cardboard box and unsuccessfully tried to restart the fire, before trying and failing to light a fire in a concrete trashcan outside the store, her plea agreement says.
A fire started by someone else later burned the store to the ground.
The looting came amid protests over the May 25, 2020 killing of George Floyd in Minneapolis, Minnesota.
Turner, now 27, pleaded guilty to a felony charge of conspiracy to commit arson.
Cannamore, of St. Louis County, was sentenced to three years in prison in September.
The Federal Bureau of Investigation with assistance from the St. Louis Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearm and Explosives investigated the case. Assistant U.S. Attorney John Ware prosecuted the case.
Serious Violent Felon on GPS Monitoring Sentenced to 51 Months in Federal Prison for Illegally Possessing a FirearmRead the Press Release
INDIANAPOLIS – Davion Andrews, 28, of Indianapolis, was sentenced to 51 months in federal prison after pleading guilty to possession of a firearm by a convicted felon.
According to court documents, on January 22, 2021, Andrews crashed a borrowed car into a guardrail on I-70. An Indiana State Trooper arrived at the scene and began investigating the crash. During the investigation, the trooper saw a firearm magazine in Andrews’ jacket pocket and later discovered a firearm in the car. Further investigation revealed that, in 2020, Andrews was convicted of unlawful possession of a firearm by a serious violent felon in Marion County. Andrews was ordered to serve his sentence through Marion County Community Corrections. At the time of the crash, Andrews had covered his GPS monitoring band with foil, which is often done by individuals trying to hide their location from Community Corrections personnel.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Daryl S. McCormick, Special Agent in Charge of ATF’s Columbus Field Division made the announcement.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case. The Indiana State Police provided valuable assistance. The sentence was imposed by U.S. District Chief Judge Tanya Walton Pratt. As part of the sentence, Judge Pratt ordered that Andrews be supervised by the U.S. Probation Office for three years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Michelle P. Brady who 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 make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
South Carolina Man Arraigned on Firearm OffensesRead the Press Release
Acting United States Attorney Nicholas Vassallo announced today that CHRISTOPHER RAY EDWARDS, age 37, of Rock Hill, South Carolina, was charged with being a felon in possession of ammunition and possessing a firearm not registered in the National Firearms Registration and Transfer Record. Edwards appeared for an arraignment hearing on August 3, 2022, before Federal District Court Magistrate Judge Kelly H. Rankin and pleaded not guilty to the charges. A trial has been set for October 3, 2022.
Edwards faces up to 20 years’ imprisonment, three years of supervised release, up to a $500,000 fine, and a $200 special assessment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This crime is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Wyoming Highway Patrol. Assistant United States Attorney Timothy J. Forwood is prosecuting the case.
An indictment merely contains allegations, and every defendant is presumed innocent unless and until proven guilty.
Case No. 22-CR-00054-ABJRhode Island Woman Admits to Falsifying Military Service; False Use of Military Medals; Identity Theft; and Fraudulently Collecting More Than $250,000 in Veteran Benefits and Charitable ContributionsRead the Press Release
PROVIDENCE – A Rhode Island woman today admitted to a federal judge that she falsely claimed to be a cancer-stricken U.S. Marine decorated with the Purple Heart and Bronze Star, and that she used those claims, the stolen identities of actual veterans, and fraudulent documents that she created to obtain hundreds of thousands of dollars in charitable benefits and services intended for injured veterans, announced United States Attorney Zachary A. Cunha.
Sarah Jane Cavanaugh, 31, admitted that she falsely portrayed herself as a wounded veteran who had served overseas and been awarded both the Purple Heart and the Bronze Star, replicas of which she purchased and publicly displayed on a U.S. Marine uniform she wore at public events.
A search of Defense Department records indicates Cavanaugh never served in any branch of the U.S. military.
Additionally, Cavanaugh admitted that, while employed by the Department of Veteran Affairs at the Rhode Island Veterans Affairs Medical Center, she used her position as a licensed social worker, to gain access to documents, personal information, and medical records belonging to a Marine and a Navy veteran who was battling cancer. Cavanaugh admitted that she used this information to create fraudulent documents and medical records in her own name, indicating that she was an honorably discharged Marine stricken with cancer. In addition, Cavanaugh admitted that she created and used fraudulent documents in various schemes to obtain more than $250,000 in cash, charitable donations, and services reserved for injured veterans.
“Every day, thousands of American men and women honorably serve this country in uniform,” said U.S. Attorney Cunha. “They sacrifice for our safety, putting themselves in harm’s way, often without praise or public recognition, and they deserve our thanks and our respect. This Defendant sought to trade on that respect -- respect she did not earn, evoked by a uniform to which she had no claim -- by pretending that she was a United States Marine battling stage IV cancer, in order to trick generous members of the public into lining her pockets. Her conduct is disgraceful, and it richly warrants her conviction today as a federal felon.”
“What Sarah Cavanaugh did is despicable and an insult to the brave men and women who have selflessly risked their lives, and made real sacrifices in service to this country,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Now this fraudster is a convicted felon for claiming valor where there is none, and for swindling more than a quarter of a million dollars in benefits and charitable donations from unsuspecting citizens who wanted nothing more than to help deserving veterans.”
Under the terms of a plea agreement reached on July 1, 2022, Cavanaugh has agreed that the final amount of restitution owed to her victims will be determined by the Court at the time of sentencing; she has also agreed, however, that $82,489.73, which represents her proceeds from her recent sale of real estate, will be applied towards her restitution obligations. At the time of sentencing, Cavanaugh faces a mandatory minimum sentence of two years imprisonment, which will be served consecutively to any other sentence of imprisonment that the Court may impose. Cavanaugh’s final sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors. Cavanaugh is scheduled to be sentenced on November10, 2022.
The case is being prosecuted by Assistant U.S. Attorney Ronald R. Gendron. The matter was investigated by the U.S. Department of Veterans Affairs Office of Inspector General; U.S. Department of Veterans Affairs Police Service; and the FBI, with the assistance of the U.S. Defense Criminal Investigative Service; U.S. Naval Criminal Investigative Service; U.S. Postal Inspection Service; and Internal Revenue Service Criminal Investigations.
###
Rhode Island Man Pleads Guilty to Sex TraffickingRead the Press Release
BOSTON – A Woonsocket, R.I. man pleaded guilty today to trafficking multiple victims to engage in prostitution across seven states.
Ronald Hall, 48, pleaded guilty to four counts of sex trafficking by force, fraud or coercion and one count of transportation of an individual with intent to engage in prostitution. U.S. District Court Judge Indira Talwani scheduled sentencing for Nov. 3, 2022. Hall was indicted by a federal grand jury in October 2020.
“The trauma inflicted upon victims of sex trafficking is beyond measure. For nearly a decade, Mr. Hall used violence and threats to target and exploit five separate victims across seven different states. This man targeted vulnerable women with substance use disorders and essentially enslaved them. The behavior he engaged in was unconscionable. Although nothing will ever erase the profound, long-lasting hurt and pain these women have suffered at the hands of Mr. Hall, today’s conviction hopefully brings some long-awaited justice and accountability,” said United States Attorney Rachael S. Rollins. “Identifying and prosecuting sex traffickers is one of my administration’s highest priorities. Last week, I formally announced the creation of the Civil Rights and Human Trafficking Unit in my office, which is dedicated to fighting civil rights violations including human trafficking, hate crimes, and the excessive use of force by law enforcement. Now fully staffed and operational, this Unit will focus on bringing an end to civil rights violations, including human trafficking activity, in Massachusetts and bringing justice and accountability to victims, their families and impacted communities.”
“Hall used fear and intimidation to control the women he trafficked, using drugs to coerce them and make it difficult to leave. HSI is not only committed to bringing human traffickers like Hall to justice, but also to ensuring the safety and stability of the survivors of such appalling crimes. With this plea HSI New England hopes the survivors of his abuse feel a measure of security knowing that he is no longer at large and is facing considerable time in prison as they begin their journey to heal and recover,” said Matthew Millhollin, Special Agent in Charge for the Homeland Security Investigations in New England.
“This investigation and prosecution serve as an example of the Massachusetts State Police commitment to fight human trafficking and hold accountable those that prey on the vulnerable. The MSP is proud to continue to partner with our local, state and federal partners in this effort,” said Colonel Christopher Mason, Superintendent of the Massachusetts State Police.
From at least late 2010 through late 2019, Hall used force, threats and coercion to traffic five victims between Massachusetts, Rhode Island, Connecticut, New Jersey, New York, Florida, and Nevada, to engage in prostitution. Hall targeted and recruited several of the victims, who suffered from substance use disorder, and used their drug addictions to coerce them into engaging in commercial sex in exchange for drugs. Hall regularly scheduled the victims to engage in prostitution – sometimes as frequent as multiple times per day, every day of the week – and took almost all of the proceeds for himself. Hall punished victims who did not meet the quotas he set for them by withholding drugs or through violence. To maintain control, Hall subjected his victims to starvation, regular threats of injury, physical abuse, forced intercourse, violent assaults with weapons including knives, belts and bats and made some of the victims brand themselves with a tattoo of his nickname.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274.
The charge of sex trafficking provides for a mandatory minimum sentence of 15 years and up to a lifetime in prison, five years of supervised release and a fine of $250,000. The charge of transportation for purposes of prostitution provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins, HSI SAC Millhollin and Colonel Mason made the announcement. Assistant U.S. Evan Gotlob of Rollins’ Criminal Division is prosecuting the case.
Prolific Drug Dealer Sentenced to 10 years for Distributing Fentanyl and MethRead the Press Release
Assistant U. S. Attorney Lyndzie M. Carter (619) 546-8780
NEWS RELEASE SUMMARY – August 9, 2022
SAN DIEGO – Christopher Craig Jones, a prolific drug dealer in San Diego County, was sentenced in federal court to 120 months in prison.
“This is a just sentence for the defendant and reflects the need to protect our community from fentanyl and methamphetamine dealers,” said U.S. Attorney Randy Grossman. “We will continue to work closely with our federal and local law enforcement partners to ensure that prosecutions involving these deadly drugs remains a top enforcement priority.” Grossman thanked the prosecution team and law enforcement agencies for their hard work on this case.
On December 16, 2020, San Diego County Sheriff’s deputies conducted a traffic stop and arrested Jones for possession of methamphetamine and fentanyl with intent to distribute. Then again, on September 8, 2021, Carlsbad Police Department (CAPD) arrested Jones during a traffic stop with possession of fentanyl and heroin with intent to distribute.
Subsequently, Jones was booked into county jail and immediately posted bail. However, less than 24 hours later and wasting no time in returning to criminal drug activity, on September 9, 2021, CAPD conducted a third traffic enforcement stop on Jones, which resulted in the seizure of additional methamphetamine. The follow up investigation, pursuant to a search warrant at the Best Western Hotel in Carlsbad, where Jones had been staying, resulted in the seizure of additional quantities of heroin, methamphetamine and drug paraphernalia.
Jones, a career offender, with arrests and multiple convictions for drug dealing, entered a guilty plea on May 16, 2022.
“Because of the great police work of our local counterparts, the immeasurable harms that would have been caused by the distribution of drugs in our community were prevented by the arrest and prosecution of Christopher Jones,” said DEA Special Agent in Charge Shelly S. Howe. “The DEA ensures our local counterparts receive support on investigations that merit federal prosecution. This case is a prime example of the great working relationship between local and federal agencies in San Diego.”
“At the Carlsbad Police Department, we methodically investigate illegal narcotic possession and illegal narcotic sales with the mission of protecting the community we serve. We take pride in collaborating with our local partners at the DEA, the San Diego Sheriff's Dept and the U.S Attorney’s Office with the common goal of reducing the negative impact brought on by these offenders,” said Assistant Chief Christie Calderwood. “This case is a great success for the agencies involved and the community," she concluded.
“Keeping our communities safe from illegal narcotics and their associated crimes is a continuous mission for the San Diego County Sheriff's Department,” said Anthony C. Ray, Sheriff. “I am grateful to our deputies and detectives who assisted on this case, as well as our robust collaboration with our local, state, and federal partners. This allows us to share critical information that is necessary to hold drug traffickers accountable, as was exemplified in this case.”
DEFENDANT Case Number 22cr00682-BAS
Christopher Craig Jones Age: 48 Oceanside, CA
SUMMARY OF CHARGES
Possession of Methamphetamine with Intent to Distribute – 21 U.S.C. §§ 841(a)(1), (b)(1)(C)
Possession of Fentanyl with Intent to Distribute – 21 U.S.C. §§ 841(a)(1), (b)(1)(C)
Maximum penalty: Twenty years in prison and $1 million fine
AGENCY
San Diego County District Attorney’s Office, Major Narcotics, North County
Drug Enforcement Administration, San Diego Field Division
Carlsbad Police Department, Special Investigations Division
San Diego Sheriff’s Department
Pottawattamie County Man Sentenced for a Drug OffenseRead the Press Release
COUNCIL BLUFFS, IA – Geno Lee Campos, age 50, was sentenced on Friday, August 5, 2022, to 84 months in prison for Possession with Intent to Distribute Methamphetamine. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
On July 4, 2021, Campos was the front seat passenger of a car stopped by the Iowa State Patrol for speeding on Interstate 80 in Council Bluffs. In Campos’ backpack, law enforcement found approximately 17 grams of methamphetamine and drug paraphernalia. Campos was also in possession of a loaded revolver that he placed underneath the passenger’s seat. Campos was prohibited from possessing firearms.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa State Patrol, Council Bluffs Police Department, Pottawattamie County Sheriff Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Iowa Division of Narcotics Enforcement investigated the case. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Postal Employee Pleads Guilty to Theft of MailRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and Matthew Modafferi, Special Agent in Charge of the U.S. Postal Service, Office of Inspector General, announced that UMBERTO PIGNATARO, 46, of Bridgeport, waived his right to be indicted and pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to theft of mail by a postal employee.
According to court documents and statements made in court, between December 2020 and May 2021, Pignataro, while employed as a mail carrier for the U.S. Postal Service in Norwalk, stole hundreds of pieces of mail, including packages and greeting cards that contained cash, gift cards and other items of value. During the investigation, video surveillance captured Pignataro rifling through, destroying and pocketing pieces of mail while servicing his mail route. When confronted by investigators in May 2021, Pignataro admitted stealing mail, and also admitted that he possessed a firearm and used cocaine at work. He was then placed on unpaid leave.
At sentencing, which is scheduled for November 17, Pignataro faces a maximum term of imprisonment of five years.
Pignataro is released pending sentencing.
This matter is being investigated by the U.S. Postal Service Office of Inspector General and is being prosecuted by Assistant U.S. Attorneys Katherine E. Boyles and Michael S. McGarry.
U.S. Attorney Avery encouraged individuals who believe they are a victim of theft related to this case to file a complaint by calling 888-USPS-OIG, or by visiting www.uspsoig.gov/form/file-online-complaint.
Philadelphia Felon Sentenced to over 4 ½ Years in Prison for Illegally Possessing a Firearm During June 2020 Civil UnrestRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Steven Pennycooke, 36, of Philadelphia, PA, was sentenced to four years and nine months in prison, three years of supervised release, and ordered to pay a $1,000 fine by United States District Court Judge John M. Gallagher for being a previously convicted felon illegally in possession of a firearm in connection with looting during a period of civil unrest and mandatory curfew in the City of Philadelphia in Spring 2020.
In April 2022, the defendant was convicted after trial of a single count of possession of a firearm by a felon. In June 2020, Philadelphia Police officers responded to a 911 call reporting that two men were seen pushing a looted ATM down a street in West Philadelphia. When the officers approached the block indicated in the call, they observed two men standing in the street less than a half a block away from a looted ATM loaded onto a cart. When the officers got closer to the suspects, they observed the defendant throw something into a vehicle; and one of the officers looked through the vehicle’s window and observed a firearm in the backseat. According to court documents, after both suspects were taken into custody, the defendant’s companion told police that they were both carrying firearms because, “they purging out here,” and because the defendant had recently been shot while at a gas station. As a previously convicted felon in the Commonwealth of Pennsylvania in 2011, Pennycooke was prohibited from owning or possessing a firearm.
“The crime of being a felon in possession of a firearm is a serious offense, particularly in Philadelphia where gun violence has been and continues to be our city’s most pressing threat to public safety,” said U.S. Attorney Romero. “Repeat offenders like this defendant, who knowingly illegally carry handguns, are actively contributing to the dangerous circumstances on our streets, and our Office is doing all we can to combat and deter that criminal activity.”
“Gun violence has claimed and affected far too many lives in this city, so every illegal weapon taken off the street is a step in the right direction,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “Philadelphia police discovered an armed Steven Pennycooke out and about amidst looting and unrest. This was someone who’d done time for a violent assault with a firearm. He wasn’t permitted to have a gun, he knew it, and he tried to hide it, so back behind bars he goes — in federal prison. The FBI and PPD will continue to work together to lock up criminals who refuse to respect the law. We’ve got to make Philadelphia safer all around.”
The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorneys Alexandra Lastowski and Derek Hines.
Operation “Titan Fall” Charges Thirteen in Central Florida Large-Scale Drug Trafficking ConspiracyRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announces the unsealing of two indictments charging 13 individuals in 2 drug conspiracies in the Orlando area. According to the redacted indictments, the below individuals are in custody and charged with conspiring with each other, and others, to distribute and possess with the intent to distribute the following amounts, or more, of fentanyl and cocaine. Several of these individuals face enhanced penalties due to their previous criminal convictions.
Defendant
Drug Quantity Alleged
Potential Penalties
Alexander Acosta-Zapata
5 kilograms of cocaine
400 grams of fentanyl
15 years to life incarceration,
up to $20 million fine, and
10 years to life supervised release
Frank Cadiz
5 kilograms of cocaine
15 years to life incarceration,
up to $20 million fine, and
10 years to life supervised release
Jonathan Andres Marte-Rodriguez
5 kilograms of cocaine
10 years to life incarceration,
up to $10 million fine, and
5 years to life supervised release
Juan Felipe Sanchez
40 grams of fentanyl
10 years to life incarceration,
up to $8 million fine, and
8 years to life supervised release
Nimesh Rashmikant Patel
500 grams of cocaine
10 years to life incarceration,
up to $8 million fine, and
8 years to life supervised release
Joseph Juan Torres-Torres
500 grams of cocaine
5 to 40 years’ incarceration,
up to $5 million fine, and
4 years to life supervised release
Carlos Alberto Roman
40 grams of fentanyl and cocaine
5 to 40 years’ incarceration,
up to $5 million fine, and
4 years to life supervised release
Kenneth Angel Vera
cocaine
up to 20 years’ incarceration,
up to $1 million fine, and
3 years to life supervised release
According to court documents, the conspirators were involved in multiple drug trafficking operations to distribute kilogram-quantities of cocaine and fentanyl. During course of this investigation, the Drug Enforcement Administration (DEA) estimates that 91 kilograms of cocaine has been seized through the mail and traffic stops initiated during this investigation. Many of the intercepted communications specifically related to the “brand” or “logo” of the cocaine – anchor or Ferrari – that was visible on the exterior of the packaging of the cocaine that was seized.
In the course of executing arrest warrants and search warrants at numerous locations in the Orlando area today, DEA seized an additional two and half kilograms of suspected cocaine, an unquantified amount of suspected fentanyl, more than twenty firearms, six suppressors, two flash grenades, and nine vehicles that were used in the commission of these offenses or were proceeds of the offenses.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Drug Enforcement Administration, with assistance from Homeland Security Investigations, the U.S. Postal Inspection Service, the U.S. Secret Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Florida Highway Patrol, the Winter Garden Police Department, the Orange County Sheriff’s Office, the Kissimmee Police Department, the Winter Park Police Department, the Clermont Police Department, the Orlando Police Department, the Apopka Police Department, the Ocoee Police Department, the Osceola County Sheriff’s Office, and the Seminole County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Dana E. Hill.
Operation Titan Fall is a multi-agency Organize Crime Drug Enforcement Task Force (OCEDTF) 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. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Oglala Man Sentenced to 18 Years in Federal Prison for Manslaughter and Firearm ChargeRead the Press Release
United States Attorney Alison J. Ramsdell announced that an Oglala, South Dakota, man convicted of Voluntary Manslaughter and Discharge of a Firearm During the Commission of a Crime of Violence was sentenced on July 27, 2022, by Judge Jeffrey L. Viken, U.S. District Court.
On the charge of Voluntary Manslaughter, Dirk Garnier, age 37, was sentenced to eight years in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. As to the charge of Discharge of a Firearm During the Commission of a Crime of Violence, Garnier was sentenced to 10 years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. The prison sentences are to be served consecutively and the time of supervised release is to be served concurrently.
Garnier was indicted by a federal grand jury in August 2021. He pleaded guilty on February 18, 2022. The conviction stems from Garnier killing another male with a 20-guage Mossberg shotgun on July 16, 2021, at Oglala.
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 and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Megan Poppen prosecuted the case.
Garnier was immediately remanded to the custody of the U.S. Marshals Service.
Nespelem Man Sentenced to Twenty-Two Years in Federal Prison for Assault with a Dangerous Weapon, Arson, Felon in Possession of a Firearm, Discharging a Firearm During a Crime of Violence, and for Violating His Federal Supervised Release.Read the Press Release
Spokane – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that John Edward McGinnis, age 35, of Nespelem, Washington, was sentenced in federal court in Spokane for Assault with Dangerous Weapon in Indian Country, Arson in Indian Country, Felon in Possession of a Firearm and Ammunition, and Discharging and Using a Firearm During and in Relation to a Crime of Violence. McGinnis had entered a guilty plea on May 21, 2021.
At today’s sentencing, United States Senior District Judge Rosanna Malouf Peterson ordered McGinnis to serve a total of 264 months in federal prison to be followed by a five-year term of supervised release. In this regard, McGinnis was sentenced to 240 months on the charges set forth above and to an additional 24 months for violating his federal supervised release. These sentences were ordered to run consecutively for a total of 264 months. McGinnis also was ordered to pay $9,919.03 in restitution. In announcing the sentence, Judge Peterson stated, “My heart goes out to the victims” in this case. She also emphasized that “the offense was really terrible” for everyone involved.
According to court documents, McGinnis kidnapped four people at gunpoint in early June 2020. During the ordeal, which lasted several hours beginning on the evening of June 1 and continuing into the morning hours of June 2, 2020, McGinnis held his victims at gunpoint and even fired several gunshots in the immediate area of these victims. At the time of these offenses, three of the victims were minor children – ages 9, 13, and 17. After holding three of his victims at gunpoint inside their home on the Colville Indian Reservation, Defendant forced these victims into a truck, which McGinnis later stole. McGinnis then forced the victims to drive to McGinnis’s trailer, which McGinnis lit on fire, causing the trailer to burn to the ground.
At one point during the ordeal, three of the victims were able escape. McGinnis, however, was not finished. He found another victim in the Grand Coulee area – robbing her at gunpoint and forcing her into the stolen truck. After he kidnapped this victim, McGinnis sexually assaulted her and threatened to kill her if she tried to escape. Ultimately, this fourth victim did manage to escape at a gas station in Spokane, Washington by causing McGinnis to believe she was going inside to pay for gas. Instead, the victim told the gas station attendant to call 911 and then locked herself inside the bathroom in fear McGinnis would come after her.
Shortly after this fourth victim escaped, Spokane Police saw the stolen truck near Second Avenue in Spokane, Washington. When officers tried to stop the truck, McGinnis led police on a high-speed chase that ended near Liberty Park, where McGinnis attempted to drive the truck off-road, and the truck became high centered. McGinnis was then taken into custody. Inside the stolen truck, police recovered a .22 caliber revolver, which McGinnis was not able to lawfully possess because of his prior convictions for second-degree burglary and assault with a dangerous weapon. Notably, McGinnis was on federal supervised release at the time of these offenses.
The case involved multiple federal, state, and local agencies, each of whom played significant roles in prosecuting the case, which began on the Colville Indian Reservation, continued into Grand Coulee Washington, and ended on the South Hill in Spokane.
“The facts of this case are shocking: Mr. McGinnis assaulted several minor victims, kidnapped them at gunpoint, sexually assaulted one of the minor victims, set fire to a trailer, and led police on a car chase that endangered even more lives,” U.S. Attorney Waldref stated. “The emotional trauma to each of these victims is real and will continue far longer than the twenty-two year sentence imposed today.” U.S. Attorney Waldref continued, “Today’s significant sentence is necessary to prevent Mr. McGinnis from harming others, including young children, but that is not all. By prosecuting cases such as this one, our office reaffirms its commitment to prioritizing and vigorously pursuing those who commit violent crimes on the Colville Indian Reservation, especially when the victims include some of the most vulnerable and innocent members of our community.”
“We feel for the victims,” said Michael Heiler, Acting Special Agent in Charge of the FBI’s Seattle field office, “and are thankful the subject was apprehended before he was able to do more harm. I would like to thank all of our law enforcement partners for working together to bring this horrible situation to some level of closure.”
Spokane County Prosecuting Attorney Larry Haskell added, “The convictions in this case showcase the success of multiple agencies collaborating and communicating with one another to make our communities safe. But more importantly, this sentence directly addresses the egregious conduct carried out by this individual and is a testament to the courage of the brave crime victims who survived their encounter with McGinnis.”
“The Spokane Police Department appreciates our partnerships with area law enforcement agencies, especially given that criminals frequently commit crimes that cross jurisdictional lines,” Spokane Police Chief Craig Meidl stated. “In this incident, the suspect had already victimized multiple people in two other jurisdictions and traveled to Spokane, where he put the public and our officers in danger with a high-speed chase through the city. We commend our criminal justice partners at the federal, state, and local levels for their strong work in developing this case and providing some measure of justice for the victims.”
“It takes a great deal of courage for victims to come forward and confront the person who hurt them,” stated Assistant United States Attorney Richard R. Barker, who led the federal prosecution of McGinnis. “I’m grateful for the victims’ courage in this case, and I commend the individual agents and officers, who put their lives on the line to keep our communities safe.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation, the Tribal Law Enforcement Department of the Confederated Tribes of the Colville Reservation Police, the Grand Coulee Police Department, and the Spokane Police Department. Richard R. Barker, Assistant United States Attorney for the Eastern District of Washington, prosecuted this case. Spokane County Deputy Prosecuting Attorney Preston McCollam led a parallel prosecution of Mr. McGinnis, which is being resolved as part of the federal prosecution.
Minneapolis Man Sentenced to 84 Months in Prison for Possession of a Stolen FirearmRead the Press Release
ST. PAUL, Minn. – A Minneapolis man was sentenced to 84 months in prison followed by two years of supervised release for possessing a stolen firearm, announced United States Attorney Andrew M. Luger.
According to court documents, on June 23, 2021, Minneapolis Police officers responded to a shots fired call. Upon arrival, officers witnessed a man, Brandon Xavier Coyour, 31, fleeing the scene. As he fled, Coyour pulled a gun from his waistband and hid it in the wheel well of a parked car. Officers saw Coyour stash the gun and recovered it from the wheel well. Officers apprehended Coyour a couple blocks away from the scene. The gun, a Springfield XD-9 9mm semiautomatic handgun, had been reported stolen one month prior by its owner in Menominee, Wisconsin. Coyour is also a convicted felon and is prohibited under federal law from possessing firearms or ammunition at any time.
On April 12, 2022, Coyour pleaded guilty to one count of possession of a stolen firearm. Coyour was sentenced today in U.S. District Court before Senior Judge Paul A. Magnuson. In handing down the sentence, Judge Magnuson emphasized that convicted felons “will pay a very steep penalty” for possessing firearms.
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 the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minneapolis Police Department.
Assistant U.S. Attorney Joseph H. Thompson prosecuted the case.
Mexican resident indicted for trafficking firearms under new lawRead the Press Release
LAREDO, Texas – A federal grand jury sitting in Laredo has charged a U.S. citizen who resides in Mexico under the Stop Illegal Trafficking in Firearms Act for trafficking handguns into Mexico, announced U.S. Attorney Jennifer B. Lowery.
The Stop Illegal Trafficking in Firearms Act is part of the broader Safer Communities Act, passed June 25. Said Isaac Hernandez, age 25, is the first person believed to be indicted under the new law.
The charges allege that on July 11, authorities apprehended Hernandez as he was traveling south on U.S. Interstate 35 towards the port of entry in Laredo. At the time of his arrest, they allegedly discovered 17 firearms hidden in his car.
Hernandez had been the subject of an investigation related to the purchasing of a large number of firearms then transporting them to Mexico, according to the charges. Between Jan. 21, 2020, and July 11, 2022, Hernandez allegedly purchased a total of 231 handguns in calibers of 9mm, .380 and .22.
If convicted, he faces up to 15 years in prison.
The Bureau of Alcohol Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Michael Makens is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Mexican National Arrested in West Haven Admits Illegally Reentering the U.S.Read the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that GERMAN EDUARDO MARTINEZ FRANCO, 41, a citizen of Mexico last residing in West Haven, pleaded guilty yesterday in Hartford federal court to one count of illegally reentering the U.S. after being deported.
According to court documents and statements made in court, on seven occasions between 1998 and 2015, Martinez was encountered in Arizona was subsequently removed to Mexico. In the District of Arizona, in 2010, Martinez was convicted of illegal entry and sentenced to 90 days of imprisonment. In 2011, he was convicted of illegal reentry and sentenced to 18 months of imprisonment; In 2014, he was convicted of possession with intent to distribute marijuana and was sentenced to 33 months of imprisonment. Martinez was last removed to Mexico in December 2015.
On July 1, 2021, Martinez, who was using another identity, was arrested in West Haven and charged with possession with intent to sell greater than one ounce of heroin or methamphetamine, possession with intent to sell a narcotic substance, two counts of possession of a controlled substance, criminal impersonation, and forgery in the first degree. He has been detained since his state arrest.
Martinez is scheduled to be sentenced by U.S. District Judge Janet C. Hall on October 31, 2022, at which time his faces a maximum term of imprisonment of 10 years.
Martinez has pleaded guilty in state court to a narcotics possession offense and awaits sentencing for that offense.
The investigation was conducted by the U.S. Department of Homeland Security, Immigration and Customs Enforcement, with the assistance of the West Haven Police Department and Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
Maryland man admits to cocaine chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Shadeed Redd, of Hagerstown, Maryland, has admitted to a cocaine charge, United States Attorney William Ihlenfeld announced.
Redd, 42, pleaded guilty today to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Cocaine Base and Cocaine Hydrochloride.” Redd admitted to working with others to sell cocaine base, also known as “crack,” and cocaine hydrochloride, also known as “coke,” from November 2020 to March 2021 in Berkeley County.
Redd faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The FBI; U.S. Marshals Service; Homeland Security Investigations; The Bureau of Alcohol, Tobacco, Firearms and Explosives; the West Virginia Air National Guard; the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Drug Enforcement Administration; and the Washington County Narcotics Task Force.
U.S. Magistrate Judge Robert W. Trumble presided.
Maryland man admits to cocaine chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Otis Tillman, of Hagerstown, Maryland, has admitted to a cocaine charge, United States Attorney William Ihlenfeld announced.
Tillman, 50, pleaded guilty today to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Cocaine Base and Cocaine Hydrochloride.” Tillman admitted to working with others to sell cocaine base, also known as “crack,” and cocaine hydrochloride, also known as “coke,” from November 2020 to March 2021 in Berkeley County.
Tillman faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The FBI; U.S. Marshals Service; Homeland Security Investigations; The Bureau of Alcohol, Tobacco, Firearms and Explosives; the West Virginia Air National Guard; the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Drug Enforcement Administration; and the Washington County Narcotics Task Force.
U.S. Magistrate Judge Robert W. Trumble presided.
Man Sentenced in International Drug ConspiracyRead the Press Release
KANSAS CITY, KAN. – A Mexican national was sentenced to 100 months in prison in connection to an international drug ring that distributed large quantities of methamphetamine, heroin, cocaine, and marijuana from Mexico in the Kansas City area.
According to court documents, in January 2021, Aron Rodriguez- Posada, 48, pleaded guilty to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine.
In October 2019, the Kansas Highway Patrol stopped a car hauler in Meade, Kansas, to conduct a vehicle inspection. With consent to search, a trooper located approximately 35 pounds of methamphetamine in the gas tank of one of the vehicles utilizing a scope. The Drug Enforcement Administration (DEA) then conducted a controlled delivery of the methamphetamine. Federal agents arrested Rodriguez-Posada as well as Jovany Medina, 24, of Kansas City after the men took possession of the vehicle.In July 2022, Medina was sentenced to 144 months in prison after pleading guilty to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine.
Rodriquez-Posada also pled guilty to one count of unlawful reentry subsequent to removal after admitting to returning to United States after being removed for illegal entry in 2014.
U.S. Attorney Duston Slinkard commends the Federal Bureau of Investigation (FBI) and the DEA for their collaborative investigation and Assistant U.S. Attorney Sheri Catania who prosecuted the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The Kansas City Metro Strike Force’s mission also includes targeting violent street gangs and cartel members operating in and around the metropolitan area that are engaged in violent offenses and firearms offenses.
###
Magnolia Man Sentenced to 10 Years in Federal Prison for Drug TraffickingRead the Press Release
EL DORADO – A Magnolia man was sentenced today to 120 months in prison, followed by three years of supervised release, for distributing methamphetamine in Columbia County. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing in the United States District Court in El Dorado.
According to court documents, in June 2019, agents and investigators with the Federal Bureau of Investigation (FBI), Columbia County Sheriff’s Office, and 13th Judicial Drug Task Force (DTF) initiated an investigation into the distribution of methamphetamine in Colombia County by Eddie Dean McBride Jr., age 50.
On June 20, 2019, investigators conducted a controlled purchase of methamphetamine form McBride in Columbia County.
The suspected methamphetamine was sent to the Drug Enforcement Administration’s Crime Lab, were it tested positive for methamphetamine.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Federal Bureau of Investigation (FBI), Columbia County Sheriff’s Office, and 13th Judicial Drug Task Force (DTF) investigated the case.
Assistant U.S. Attorney Graham Jones prosecuted the case.
Little Eagle Man Sentenced for Meth TraffickingRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Little Eagle, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on August 8, 2022, by U.S. District Judge Charles B. Kornmann.
Corey Lynn Flying Bye, Jr., age 33, was indicted on February 8, 2022. He pled guilty May 17, 2022.
Flying Bye was sentenced to 125 months in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Between 2020 and 2021, Flying Bye knowingly and intentionally conspired with others to distribute between 50 and 200 grams of methamphetamine on the Standing Rock Sioux Indian Reservation in South Dakota.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, the Mobridge Police Department, the Corson County Sheriff’s Office, and the Bureau of Indian Affairs, Office of Justice Services. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Flying Bye was immediately remanded to the custody of the U.S. Marshals Service.
Leader of a Local Heroin Trafficking Organization Pleads GuiltyRead the Press Release
PITTSBURGH - A Pittsburgh resident pleaded guilty in federal court to violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
Sean McHenry, 29, of pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute more than 100 grams of heroin from September of 2018 through October of 2019, before United States District Judge William S. Stickman, IV. In addition, McHenry accepted responsibility for possessing a firearm in conjunction with his heroin trafficking. McHenry is one of 19 defendants charged in the Indictment returned in this case.
In connection with the guilty plea, the court was advised that in 2018, the Federal Bureau of Investigation began investigating a heroin trafficking organization lead by McHenry that operated throughout the greater Pittsburgh area. Beginning in February of 2019 and continuing through September of 2019, the FBI received authorization to conduct a Title III wiretap investigation into the organization. McHenry, as one of the leaders of this multi-member drug trafficking organization, was intercepted orchestrating and directing the distribution of heroin throughout Pittsburgh by various members of the organization. In addition to the intercepted communications, agents seized heroin, firearms, and bulk United States Currency from members of the organization, including McHenry.
Judge Stickman scheduled sentencing for Dec. 16, 2022. The law provides for a total sentence of not less than five years to a maximum of 40 years of imprisonment, a fine not to exceed $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. McHenry remains in custody pending sentencing.
Assistant United States Attorney Mark V. Gurzo is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Homeland Security Investigations, the Allegheny County Police Department, the Stowe Township Police Department, the Pittsburgh Bureau of Police, the Office of the Attorney General, the Allegheny County Sheriff's Office, the North Versailles Police Department, the Allegheny County Port Authority Police Department, the Munhall Police Department, and the Pennsylvania State Police conducted the investigation leading to the prosecution of McHenry.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Las Vegas Mail Carrier Pleads Guilty to Mail Fraud ConspiracyRead the Press Release
LAS VEGAS – A Las Vegas woman pleaded guilty today to her role in a conspiracy to commit mail fraud in connection to the illegal possession of unemployment benefit debit cards issued by the Nevada Department of Employment, Training and Rehabilitation (DETR) and Arizona’s Department of Economic Security (DES) — the agencies administer Nevada’s and Arizona’s unemployment insurance program, respectively.
Jasmine-Royshell Kanisha Black (34) pleaded guilty to one count of conspiracy to commit mail fraud. U.S. District Judge Gloria M. Navarro scheduled sentencing for November 2, 2022. At sentencing, Black faces a statutory maximum penalty of 20 years in prison, a term of supervised release, and a fine.
According to court documents and admissions made in court, Black — who was employed as a U.S. Postal Service mail carrier — assisted co-conspirator Vincent Okoye to fraudulently obtain unemployment insurance benefits from DETR and DES using other people’s personal identifying information — such as their names, dates of birth, and social security numbers — without their consent. Black used her position to help Okoye find either vacant residences or rarely-checked mailboxes to which fraudulently obtained debit cards could be sent. She then intercepted and delivered those cards to Okoye in person. In total, DETR and DES approved of at least $462,000 in benefits for these fraudulent claims submitted by Black and Okoye.
U.S. Attorney Jason M. Frierson for the District of Nevada, Special Agent in Charge Karon Ransom for the U.S. Secret Service, and Special Agent in Charge Glenn SanJose for the U.S. Postal Service-Office of Inspector General made the announcement.
The case was investigated by the U.S. Secret Service, U.S. Postal Service-Office of Inspector General, and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Jim Fang is prosecuting the case.
In May 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 Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
###
Kent Man Sentenced for Piloting Aircraft Without Valid CertificateRead the Press Release
A Kent man was sentenced to two years of probation and one weekend of intermittent confinement after he previously pleaded guilty to flying an airplane without a valid airman’s certificate in June 2019. Delbert Garfield Stewart, 71, was sentenced by U.S. District Judge Solomon Oliver, Jr., on Monday, August 8, 2022, and was also ordered to pay a fine of $5,000.
According to court documents, on three separate occasions, between June 2019 and March 2021, Stewart piloted a Bellanca Model 17-30A single-engine aircraft without a valid certificate. Court records show that Stewart obtained a private pilot certificate through the Federal Aviation Administration (FAA) in 1978. Additionally, court documents state that Stewart purchased the Bellance aircraft in October 2010, registered to his address in Kent, Ohio.
On November 14, 2013, the FAA notified Stewart of a 180-day suspension of his pilot certificate due to numerous FAA violations, specifically those that occurred during a September 2, 2013, flight from Paulding Northwest Atlanta Airport in Atlanta, Georgia, to Portage County Airport in Ravenna, Ohio.
During this incident, the FAA stated that Stewart piloted his aircraft under conditions in which he was not authorized to fly and climbed to an elevation without notifying air traffic control. Stewart responded to the FAA notice claiming that the FAA did not have jurisdiction over him as a private individual not engaged in commerce. The FAA suspended Stewart’s certificate on February 6, 2014. Stewart’s certificate remained suspended until the FAA revoked the certificate in October 2019, after Stewart had piloted the plane and landed without the landing gear fully extended.
Court records state that on separate occasions between June 2019 and March 2021, Stewart piloted his aircraft despite the February 2014 suspension and October 2019 revocation. Court documents describe these incidents as such:
- On June 20, 2019, Stewart piloted the aircraft from Portage County Regional Airport (KPOV) in Ravenna, Ohio, and landed at the Warsaw Indiana Airport (KASW) in Warsaw, Indiana. While in Indiana, Stewart flew the aircraft on multiple flights with passengers on board.
- On July 5, 2020, Stewart piloted and landed the aircraft at KPOV with a passenger on board. An FAA official advised Stewart that his airmen certificate was revoked and that the airworthiness certificate for the aircraft was also suspended.
- On March 8, 2021, Stewart flew from Paulding Northwest Atlanta Airport (KPUJ) in Georgia to KPOV Airport. Prior to the flight, law enforcement advised Stewart that his airman certificate was revoked.
Prior to trial, Stewart filed motions to dismiss the charges against him, arguing, amongst other things, that neither Congress nor the FAA has the authority to regulate his conduct and their attempt to do so violated the Commerce Clause, as well as other Constitutional provisions. The Court denied the motions, finding that the Commerce Clause allowed Congress to pass laws regulating instruments of commerce, such as airplanes, even if the pilot was not flying for payment.
On April 18, 2022, Stewart was set to go to trial on the matter before Judge Solomon Oliver, Jr., in Cleveland. However, during jury selection, Stewart pleaded guilty to one count of flying an airplane without a valid airman's certificate on June 20, 2019.
This investigation was conducted by the U.S. Department of Transportation Office of Inspector General, Federal Aviation Administration, Department of Homeland Security, and Ohio State Highway Patrol. This case was prosecuted by Assistant United States Attorneys Damoun Delaviz and Brad Beeson.
Kansas Attorney Sentenced for Smuggling Heroin into Correctional CenterRead the Press Release
KANSAS CITY, Mo. – A Shawnee, Kansas, attorney was sentenced in federal court today for smuggling heroin to an inmate at the Western Missouri Correctional Center in Cameron, Mo., with whom she had a romantic relationship.
Juliane L. Colby, 44, was sentenced by U.S. District Judge Greg Kays to one year and one month in federal prison without parole.
On Feb. 8, 2022, Colby pleaded guilty to one count of conspiracy to distribute heroin. Colby admitted that she conspired with others to smuggle heroin to an inmate at the Western Missouri Correctional Center, identified in court documents as Conspirator 1, from Aug. 1 to Aug. 10, 2019.
Colby hid the heroin in an envelope marked as “Legal Mail” that also contained numerous pleadings and documents from an inactive criminal court case along with photos of herself. Eight small baggies that contained a total of 3.25 grams of black tar heroin were taped behind the flap of the envelope. The envelope was labeled with a fictitious return address for a law firm and addressed to another inmate, identified in court documents as Conspirator 2, who was housed in the same unit as Conspirator 1.
According to court documents, Colby began a romantic relationship with Conspirator 1 while she was working as an attorney on his defense team with the state public defender’s office in 2017. Conspirator 1 was represented by a public defender at that time and was an inmate at the Jackson County Detention Center facing a charge of first-degree murder. While the murder case was pending, Conspirator 1 was found to have illegally possessed a cell phone that had been smuggled into the jail. Colby and Conspirator 1 communicated with each other using the contraband cell phone. As a result, Colby faced criminal charges for acting in concert in possession of a cell phone in a correctional facility. She entered a diversion agreement, which she successfully completed on May 14, 2019, and the charges were dismissed.
In August 2019, Colby regularly visited Conspirator 1 at the Cameron correctional center, where he was serving a sentence for his murder conviction. Colby and Conspirator 1 had a series of phone conversations during which they used a variety of code words to discuss the plan to mail heroin and contraband into the center. During these calls, Colby and Conspirator 1 also discussed a previous successful delivery of heroin. These calls were monitored and recorded by the correctional center.
This case was prosecuted by Assistant U.S. Attorney Brent Venneman. It was investigated by the FBI, the U.S. Postal Inspection Service, the Cameron, Mo., Police Department, and the Missouri Department of Corrections.
KC Man Shot Himself Before Being Arrested, Sentenced to 15 Years for Illegal FirearmRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man who shot himself in the buttocks before being arrested was sentenced in federal court today for illegally possessing a firearm.
Herbert Lee Jones, 55, was sentenced by U.S. District Judge Roseann Ketchmark to 15 years in federal prison without parole.
On Jan. 4, 2022, Jones pleaded guilty to one count of possessing a controlled substance and one count of possessing a firearm in furtherance of a drug-trafficking crime.
Jones admitted that he was in possession of a loaded Beretta 9mm semi-automatic pistol with a magazine with 15 rounds on Feb. 14, 2020, when he was stopped by a Kansas City police detective. The detective saw Jones, who had an outstanding arrest warrant, walking on Quincy Avenue south of 23rd Street. The detective attempted to stop him, but Jones started running away. When the detective caught up with him, he took Jones to the ground; during the struggle, the detective pulled a backpack off Jones. Jones broke free and began to run again, but the detective caught him and took him into custody. Police officers recovered the backpack, which contained the pistol, loose .40-caliber rounds, a plastic baggie that contained 4.3 grams of cocaine, a plastic baggie that contained 1.44 grams of methamphetamine, and two pill bottles that were not labeled and contained random pills that included opioids.
On Nov. 2, 2020, Kansas City police officers attempted to arrest Jones on another outstanding warrant, but he ran into his apartment. As officers watched the apartment building, they heard three gunshots from inside the apartment, approximately 10 seconds apart. After the second gunshot, Jones’s girlfriend left the apartment. After the third gunshot, Jones left the apartment and was arrested. Jones, who had shot himself in the right buttocks, was transported to St. Luke’s Hospital. Officers searched the apartment and found an SCCY 9mm semi-automatic pistol laying on the bed.
Jones later told investigators that he had attempted to shoot himself in the head, but his girlfriend hit his arm away and the gun went off. The second shot occurred when he was laying down with the gun pointed towards his buttocks.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Jones has two prior felony convictions for robbery, two prior convictions for possession of a controlled substance, two prior felony convictions for attempted distribution of an imitation controlled substance, and prior felony convictions for larceny and possession of a controlled substance with intent to sell.
This case was prosecuted by Assistant U.S. Attorney Trey Alford. It was investigated by the Kansas City, Mo., Police Department.
Project Safe Neighborhoods
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.
KC Man Fired into Home Occupied by Mother, InfantRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man was sentenced in federal court today for illegally possessing the firearm he used to shoot into a home occupied by a woman and her infant child.
Bernard Manuel, 34, was sentenced by U.S. District Judge Greg Kays to 10 years in federal prison without parole. Today’s sentence reflects an eight-year term of imprisonment for Manuel’s conviction in this case plus a two-year term of imprisonment for violating the terms of his supervised release, which the court ordered to be served consecutively for a total of 10 years.
On Dec. 1, 2021, Manuel pleaded guilty to being a felon in possession of a firearm. Manuel admitted that he was in possession of a loaded Taurus 9mm semi-automatic handgun that had been stolen.
According to court documents, Kansas City police officers responded to a report of gunshots fired on the morning of April 1, 2021. A bullet had entered a residence on the 90th block of Kentucky Avenue, which at the time was occupied by a woman and her infant son. Thirteen 9mm shell casings were found in the street.
That evening, a 911 call alerted police that Manuel, whom the caller believed to be the shooter, was in a Chevrolet Impala with a gun on his lap at 43rd Street and Indiana Avenue. When police officers approached Manuel’s vehicle they saw bullet holes on both the driver’s side and passenger’s side of the vehicle. When Manuel got out of the vehicle, the handgun fell from his lap. Officers also found two rounds of 9mm ammunition in an ammunition box in the Impala’s driver-side door. A lab analysis confirmed that one of the 9mm shell casings found in the street after the shooting earlier in the day was fired from Manuel’s handgun.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. At the time of this offense, Manuel was still serving a term of supervised release for a 2012 conviction for being a felon in possession of a firearm. Manuel was convicted of robbery in 2006; while on probation for that felony, he was convicted of burglary. While on probation for robbery and burglary, he was convicted in federal court of being a felon in possession of a firearm. Following federal incarceration, Manuel violated the terms of his supervised release and was sentenced to an additional year in prison, followed by a year of supervised release. His second term of supervised release began on Jan. 22, 2021 – less than three months before this offense.
This case was prosecuted by Assistant U.S. Attorney Nicholas P. Heberle. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
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.
Justice Department Awards Nearly $3 Million in Grants to the State of LouisianaRead the Press Release
U.S. Attorney Ronald C. Gathe, Jr. announced that the Department of Justice’s Bureau of Justice Assistance has awarded $2,986,000 collectively to Louisiana State Police and East Baton Rouge Sheriff’s Office.
Louisiana State Police was awarded $2,300,000 to be used to initiate and host the first Law Enforcement Symposium, focusing on De-Escalation, Use of Force Tactics, Less Lethal Weapons Uses, and Advanced Scenario Training. These symposiums will be in conjunction with the purchase and deployment of Virtual Reality Scenario-Based training platforms.
East Baton Rouge Parish Sheriff’s Office was awarded $686,000 to be used for a pilot Rapid DNA program for processing reference samples and single-source crime scene evidence. Rapid DNA provides an opportunity to impact investigations by providing investigative leads in real-time.
Inland Empire Man Sentenced to 25 Years in Federal Prison for Coercing 9-Year-Old Girl to Produce Child PornographyRead the Press Release
RIVERSIDE, California – A federal judge has ordered a Fontana man to serve a quarter-century in a federal prison for enticing girls as young as 9 years old to film themselves in sexually explicit ways, sometimes in exchange for online gaming currency, the Justice Department announced today.
Jonathan Garcia, 28, was sentenced late Monday afternoon to 300 months in prison. In addition to the 25-year sentence, United States District Judge Jesus G. Bernal ordered that Garcia be on supervised release for 20 years after he is released from custody.
Garcia pleaded guilty on May 2 to one count of production of child pornography. In his plea agreement, Garcia admitted he posed as a 15-year-old boy and had online conversations with a 9-year-old girl. In his plea agreement, Garcia admitted he was enticed the victim to send him “naughty” pictures in exchange for Robux, a currency that can be used on the Roblox online gaming platform.
In November 2019, the victim made three sexually explicit videos that she sent to
Garcia through online messaging services. The victim’s mother discovered the online communications with Garcia and alerted the Ontario Police Department, which opened an investigation.When police executed a search warrant at Garcia’s residence, officers recovered several phones containing child pornography. Furthermore, during an interview with police, Garcia “admitted to contacting other minor girls online for photos and videos since 2015 and estimated that he probably contacted between 50-100 girls,” according to the plea agreement. Law enforcement discovered meticulously maintained digital folders containing numerous photos and videos of girls who were approximately 11 to 14 years old, and who had been enticed and solicited by Garcia to send the images.
Garcia’s “actions involved harm to real, multiple, children,” prosecutors said in a sentencing memorandum filed with the court. “This was not a one-time error in judgement or slip in impulse control but a years-long, premediated, campaign to satisfy his sexual interest.”
Garcia has been in federal custody since his arrest pursuant to a grand jury indictment in March 2020.
The FBI and the Ontario Police Department conducted the investigation in this matter.
Assistant United States Attorney Sonah Lee of the Riverside Branch Office prosecuted this case.
Husband & wife sentenced to 60 years & 20 years in prison for sexual exploitation, child pornography crimesRead the Press Release
COLUMBUS, Ohio – A Bexley, Ohio, couple were sentenced in federal court last evening for their crimes related to the sexual abuse of minor children.
Stephen Wilson, 39, was sentenced to 720 months in prison for the sexual exploitation of minors, and Jessica Wilson, 38, was sentenced to 240 months in prison for distributing and receiving child pornography.
Their crimes included creating child pornography videos and pictures of sexual abuse while exchanging text messages discussing the abuse.
According to court documents, from 2016 until 2021, Stephen Wilson sexually abused at least three minors between the ages of 7 and 16. Stephen had video cameras inside his home, including his bedroom, and used those cameras to document and create videos and still images of the abuse. He also filmed and photographed the sexual assault of the minor children with his cell phone.
In one incident, Stephen drugged a minor victim with alcohol and ecstasy and raped the victim while she was semi-conscious-to-unconscious. He created a 22-minute video depicting that sexual assault. In another incident, Stephen used a handheld camera to film his penis near the face of a seven-year-old child while he showed the minor adult pornography of himself and Jessica Wilson.
Stephen created hundreds of still images from the videos of him sexually assaulting minors. He also possessed hundreds of child pornography images depicting the abuse of children as young as toddler age. Additionally, Stephen possessed at least 25 images in which he had photoshopped his genitalia onto images of minor children, including prepubescent and toddler aged females, to give the effect of those children engaging in sexual activity with him.
Jessica was present for or aware of the sexual assaults that were perpetrated by Stephen. She and Stephen continued to engage in conversations about the sexual assaults of the minor children, exchanging still images of the videos that Stephen had created and fantasizing about them together.
On several occasions, Jessica exchanged numerous files of child pornography with Stephen, discussing those files at length in text conversations and even seeking advice from Stephen on where she could access child pornography online. Thousands of text messages were recovered between the two of them, during which, the Wilsons exchanged pornographic images of victims as young as one to eight months old.
Stephen and Jessica Wilson were both arrested locally in January 2021. A federal grand jury indicted the defendants in April 2021.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Bexley Police Chief Gary D. Lewis, Jr. announced the sentences imposed by Chief U.S. District Court Judge Algenon L. Marbley. Assistant United States Attorney Emily Czerniejewski and Senior Litigation Counsel Heather A. Hill are representing the United States in this case.
# # #
Hopkinsville Man Charged with Federal Drug Trafficking and Firearm OffensesRead the Press Release
Paducah, KY – A federal grand jury returned an indictment today charging Buddy Chambless with drug trafficking and firearms offenses.
According to court records, Buddy Chambless, 38, of Hopkinsville, Kentucky, is charged with possession with the intent to distribute methamphetamine and being a prohibited person in possession of a firearm. Chambless has a prior felony conviction for trafficking methamphetamine while armed. The indictment seeks forfeiture of over a dozen firearms that were seized during the course of the investigation.
Chambless will be scheduled to make an initial court appearance before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted, Chambless faces up to 40 years in prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge R. Shawn Morrow of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Louisville Field Division made the announcement.
The ATF and the Christian County Sheriff’s Office are investigating the case.
Special Assistant United States Attorney Aimee Clymer-Hancock and Assistant United States Attorney Leigh Ann Dycus are prosecuting 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.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
Grant County man admits to methamphetamine chargeRead the Press Release
ELKINS, WEST VIRGINIA – Jeffrey McKinley Rodgers, of Petersburg, West Virginia, has admitted to a drug charge, United States Attorney William Ihlenfeld announced.
Rodgers, 31, pleaded guilty today to one count of “Possession with Intent to Distribute Methamphetamine.” Rodgers admitted to having more than five grams of methamphetamine in July 2021 in Grant County.
Rodgers faces at least five and up to 40 years of incarceration and a fine of up to $5,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, and the West Virginia State Police investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Georgia nurse practitioner sentenced to prison, ordered to pay more than $1.6 million in restitution in complex telemedicine fraud schemeRead the Press Release
AUGUSTA, GA: A Rockdale County, Ga., nurse practitioner has been sentenced to federal prison and ordered to pay more than $1.6 million in restitution for her role in a massive telemedicine fraud scheme.
Sherley L. Beaufils, 44, of Conyers, Ga., was sentenced to 87 months in prison after a U.S. District Court jury convicted her of participating in an illegal kickback conspiracy, and five counts each of Health Care Fraud, False Statements Related to Health Care, and Aggravated Identity Theft, said David H. Estes, U.S. Attorney for the Southern District of Georgia. Judge Dudley H. Bowen also ordered Beaufils to pay $1,635,161.61 restitution and to serve three years of supervised release after completion of her prison term. There is no parole in the federal system.
“Sherley Beaufils let greed take the wheel when she raked in massive profits by ordering unnecessary medical devices for patients she never examined or spoke to,” said U.S. Attorney Estes. “She targeted the elderly and medically vulnerable with her schemes, and is now being held accountable.”
As described in court documents and testimony, Beaufils, as a nurse practitioner, facilitated orders for more than 3,000 orthotic braces that generated more than $3 million in fraudulent or excessive charges to Medicare. Co-conspirators captured the identities of senior citizens, identified through a telemarketing scheme, and bundled that information as “leads.”
Beaufils then signed her name to fake medical records in which she falsely claimed she provided examinations of those patients, and then in exchange for money she created orders for orthotic braces for patients she never met or spoke with – including a knee brace for an amputee, and a back brace for a recently deceased patient – and for other durable medical equipment. Beaufils’ fraudulent orders were then sold to companies to generate reimbursement from Medicare.
“Beaufils exploited vulnerable populations, undermined patient trust, and wasted valuable taxpayer dollars in order to maximize her own profits,” said Special Agent in Charge Tamala E. Miles, with the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “HHS-OIG, alongside our law enforcement partners, is committed to investigating and holding accountable those who engage in health care fraud.”
“Beaufils falsified medical records and examinations for her own personal greed,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “We are proud of the work our agents and law enforcement partners are doing to end this abuse of taxpayers and the Medicare system.”
The case was investigated by the FBI and the U.S. Department of Health and Human Services Office of Inspector General, and prosecuted for the United States by Assistant U.S. Attorneys Jonathan A. Porter and Patricia G. Rhodes.
Gastonia Man Is Sentenced to Prison for Robbing A Convenience Store at GunpointRead the Press Release
CHARLOTTE, N.C. – Davonte Everett, 24, of Gastonia, N.C. was sentenced today to 121 months in prison and five years of supervised release for the armed robbery of a convenience store in Charlotte, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department join U.S. Attorney King in making today’s announcement.
According to filed documents and court proceedings, on July 3, 2020, Everett entered a 7-Eleven convenience store located at 2901 Yorkmont Road in Charlotte. Upon entering the 7-Eleven, Everett, who was wearing a hat and had his face covered, walked to the back of the store, picked up an item, and approached the cash register. When the store clerk opened the register to complete the sale, Everett pulled a black semiautomatic firearm from his pocket and pointed it at the clerk. Everett then reached over the counter and took cash from the register. As he did so, Everett’s head hit the plastic barrier over the counter knocking his hat off, and revealing his hair, eyes, and top of his face. Everett fled the scene with the store’s cash.
According to court records, a CMPD officer investigating the robbery recognized Everett and identified him as the robber. Everett was subsequently arrested on state charges. On March 31, 2022, Everett pleaded guilty to a federal Hobbs Act robbery offense and to brandishing a firearm during and in relation to, and in furtherance of, a crime of violence.
Everett is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the FBI and CMPD for their investigation of the case.
Assistant United States Attorney Taylor G. Stout, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Fresno Man Sentenced to 12 Years in Prison for Possession of Methamphetamine with Intent to DistributeRead the Press Release
FRESNO, Calif. — Leslie Hood, 59, of Fresno, was sentenced Monday by U.S. District Judge Dale A. Drozd to 12 years in prison for possession of methamphetamine with intent to distribute, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in June 2016, Hood brought several packages to a FedEx location in Fresno for shipment to North Carolina. Inside of each package was a children’s toy that had a bag of methamphetamine concealed inside it. The total weight of actual methamphetamine seized from all packages was in excess of 200 grams.
This case was the product of an investigation by the Drug Enforcement Administration, the Fresno County Sheriff’s Office, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Michael Tierney and Jessica Massey prosecuted the case.
Hood has been in custody since his arrest in 2017. Co-defendant Richard Ormond was sentenced in April 2018 to 10 years in prison. Co-defendant Sharron Aycock was sentenced in March 2018 to three years in prison.
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 www.justice.gov/OCDETF.
Four Texas Men Are Sentenced for Drug TraffickingRead the Press Release
CHARLOTTE, N.C. – U.S. District Judge Kenneth D. Bell sentenced to prison today four Texas men for trafficking more than 14 kilograms of cocaine, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, joins U.S. Attorney King in making today’s announcement.
Miguel Angel Mares, 35, of Dallas, Texas, David Mondragon, 38, of Houston, Texas, and Juan Carlos Mendoza, 40, of Laredo, Texas, were each sentenced to 10 years in prison followed by five years of supervised release. Milton Rivera-Cubas, 31, a Honduran national residing in Garland, Texas, was sentenced to 57 months in prison and five years of supervised release.
According to filed documents and court proceedings, from April 2021 to May 2021, the defendants conspired with each other to traffic more than 14 kilograms of cocaine. Over the course of the investigation, an undercover HSI agent made arrangements with the co-conspirators for the delivery of the cocaine from Texas to Charlotte. In May 2021, all four defendants traveled into Charlotte to facilitate the delivery.
Each defendant pleaded guilty to conspiracy to distribute and to possess with intent to distribute cocaine and possession with intent to distribute cocaine and aid and abet the same. They are currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King commended HSI for their investigation and thanked the North Carolina State Highway Patrol and the Gaston County Police Department for their assistance.
Assistant United States Attorneys Regina Pack and Christopher Hess, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Four Charged with $150 Million Fraud on San Diego Technology CompanyRead the Press Release
Assistant U. S. Attorneys Meghan E. Heesch, Nicholas W. Pilchak, and Eric R. Olah
NEWS RELEASE SUMMARY – August 9, 2022
SAN DIEGO – Charges unsealed today against four individuals, including two San Diego residents, allege that they defrauded a multinational San Diego technology company in its $150 million purchase of a tech start-up controlled by the defendants.
Karim Arabi (“Karim”) and Ali Akbar Shokouhi were arrested today in San Diego, while Sanjiv Taneja was arrested in the Northern District of California. A fourth defendant was arrested in Canada, where she faces proceedings to extradite her to the United States.
All four defendants are named in a superseding indictment, which charges them with fraud and money laundering offenses based on the quartet’s alleged scheme to dupe a San Diego technology company (the “victim company”) into paying $150 million for technology that Karim secretly created and provisionally patented while serving as a vice president of research and development at the victim company. The charges subject the defendants to possible maximum statutory penalties of 20 years in prison; fines of $250,000 or twice the pecuniary gain/loss for the fraud charges or $500,000 for the money laundering charges; and the forfeiture of property which constitutes or is derived from proceeds of the fraud offenses and all property traceable to such property, as well as forfeiture of all property involved in the money laundering offenses.
Per the superseding indictment, as Abreezio LLC’s CEO, Taneja marketed Abreezio LLC’s valuable new microchip technology to the victim company in 2015. Taneja and his associates claimed throughout the marketing process that Abreezio’s valuable new technology was invented by a Canadian graduate student working in an unrelated field. But no one disclosed that Karim—the graduate student’s family member, and a specialist in the same field as Abreezio’s technology, then working at the victim company—was intimately involved in Abreezio’s formation, development and marketing. In truth, per court documents, Karim filed the provisional patents upon which Abreezio’s core technology was based; called and attended key operations meetings among the defendants and other Abreezio principals (but not the purported inventor); and choreographed key steps in the new company’s development—including the selection of Taneja as CEO and picking the name “Abreezio.”
The defendants concealed Karim’s key role in Abreezio from the victim company because, as detailed in the superseding indictment, Karim’s employment agreements provided that his inventions during his employment would belong to his employer, the victim company. By hiding Karim’s participation in Abreezio, the defendants were able to pitch the new company as “an angel-funded Silicon Valley based design IP start-up” entitled to a hefty fee for its valuable technology, while disguising the victim company’s own legal rights to the very same technology.
The indictment alleges that Karim hid his hand in Abreezio, in part, by creating sham email accounts to impersonate the purported inventor. Karim, Taneja and Shokouhi even called Karim by the purported inventor’s name in some of their communications to mask Karim’s role.
Abreezio also relied on Karim to provide important inside information about the victim company’s existing technology, to be used in honing Abreezio’s marketing pitch. In February 2015, per court documents, Taneja emailed Karim asking for insight on the victim company’s “numbers” for comparable technology then in place to identify “the ‘threshold’ we need to cross at [the victim company]” and “help us calibrate our positioning going in[.]”
The defendants also worked to hide Shokouhi’s involvement in Abreezio, per charging documents. Shokouhi had been a vice president at the victim company as recently as 2014, and funded and supported Abreezio’s development via three different entities that he controlled. One of Shokouhi’s companies was never disclosed to the victim company during due diligence, however—an attempt to avoid scrutiny, in part because the victim company had flagged conflict of interest issues with Shokouhi and the undisclosed company the year before the Abreezio sale.
In October 2015, the victim company purchased Abreezio for $150 million. As part of the transaction, the victim company was told that Abreezio was the sole and exclusive owner of its technology, and that everyone involved in the conception and development of Abreezio’s intellectual property had been disclosed. In reality, the defendants had carefully concealed Karim’s role from the victim company. As a result, the victim company paid nearly $92 million to Karim’s family member (the purported inventor), over $10 million to Taneja, and more than $24 million to two entities controlled by Shokouhi.
The indictment also alleges how the defendants laundered the funds they received from the Abreezio purchase, including via foreign real estate purchases and interest-free loans.
“Fraudsters cannot hide behind sophisticated technology or complex schemes,” said U.S. Attorney Randy S. Grossman. “This office will pursue criminals and their laundered, ill-gotten gains whether they are hidden in a mattress or scattered throughout the international financial system. Those who steal from our community will face justice.”
“Corporate fraud is a serious crime with serious consequences, not only hurting the individual organization, but also impacting shareholders, as well as entire communities,” said Acting Special Agent in Charge Thomas Ryan of the FBI’s San Diego Field Office. “Today's arrests confirm that no matter how criminals try to hide, the FBI will work with our law enforcement partners to fully investigate these crimes – we will uncover the truth; we will find the perpetrators; we will pursue justice for the victims.”
“Intellectual property crime threatens our economic wellbeing, and this indictment demonstrates that we will pursue those who attempt to steal and profit from our nation’s innovations,” said Acting Special Agent in Charge Darren Lian of IRS Criminal Investigation’s Los Angeles Field Office. “Schemes like this not only victimize companies, but also impact our U.S. Patent and Trademark Office and our Civil Courts. IRS Criminal Investigation is proud to work with our law enforcement partners to bring these defendants to justice.”
DEFENDANTS Case Number 22-CR-1152-BAS
Karim Arabi Age: 56 San Diego, CA
Sanjiv Taneja Age: 59 Cupertino, CA
Ali Akbar Shokouhi Age: 63 San Diego, CA
AGENCIES
Federal Bureau of Investigation
Internal Revenue Services, Criminal Investigation
United States Marshals Service
*The charges and allegations contained in an indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Former Investment Adviser Sentenced to Five Years for Defrauding his Clients of More than $7 MillionRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Lee D. Weiss, 51, of Roslyn, NY, and Newton, MA, was sentenced today to five years in prison, three years of supervised release, and was ordered to pay $7.5 million in restitution and a $250,000 fine for his conviction of investment adviser fraud. The charges arose from Weiss’ multi-year investment scam that targeted his own clients and caused investor losses of more than $7 million.
In March 2022, the defendant pleaded guilty to investment adviser fraud in connection with this scheme to defraud his clients. Weiss was the principal of Family Endowment Partners, LP, an investment adviser registered with the U.S. Securities and Exchange Commission, which had an office in West Chester, PA, before it was closed by order of the SEC. The defendant used his position to fleece his own clients of millions of dollars through purported investments in a now-defunct Florida tobacco company and a series of private securities offerings. Weiss told his clients that their money would be used for investment purposes when, in fact, he diverted it to make Ponzi payments and to fund his lifestyle, and further told his clients that they were making money when their funds had already been misappropriated. Weiss continued to lie to them about the value of their investments to prevent them from learning of his thefts and to convince them to continue paying him fees for “managing” their money.
“Honesty, integrity, and trust all play a critical role in the relationship between a financial advisor and a client; when the advisor corrupts that relationship, the damage done to the financial security of the client can be catastrophic,” said U.S. Attorney Romero. “The end result is as devastating and traumatic as if the victim had been robbed at gunpoint, and therefore we take it just as seriously. We will continue to hold accountable those who, like Mr. Weiss, commit life-shattering financial crimes.”
“Lee Weiss’s clients expected him to invest their money responsibly and he had a fiduciary duty to do so. Instead, he misappropriated millions for his and his company’s purposes,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “He used their funds for everything from car payments, to country club fees, to payouts to previous investors. Justice demands that financial fraudsters like Weiss be held accountable for their crimes and today’s sentencing ensures that.”
“The Postal Inspection Service has a long history of investigating investment frauds,” said Damon Wood, Inspector in Charge of the Philadelphia Division of the Postal Inspection Service. “Today, Lee Weiss was sentenced for stealing millions of dollars from his clients, clients who had trusted him to invest their money in safe, blue-chip investments. Through a web of corporate entities, Mr. Weiss hid the reality of his investment strategy and his failing business and stole his clients’ money to cover his own losses and continue living well. Thanks to the hard work of the Postal Inspectors, special agents from the FBI and the Assistant United States Attorneys, Mr. Weiss has been held accountable for his deceitful practices.”
The case was investigated by the Federal Bureau of Investigation and the U.S. Postal Inspection Service, and is being prosecuted by Assistant United States Attorneys Paul Shapiro and Nancy E. Potts. The U.S. Attorney’s Office appreciates the substantial assistance of the U.S. Securities and Exchange Commission in this matter.
Former Boston Public School Dean who Recruited Students into Latin Kings Gang Pleads GuiltyRead the Press Release
BOSTON – A former member of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) who was at the time an academic dean in the Boston Public Schools pleaded guilty today in federal court in Boston to racketeering charges. The defendant attempted to murder a student that he had recruited into the gang and who was selling marijuana in the high school at the defendant’s direction.
Shaun Harrison, a/k/a “Rev,” 63, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. Under the terms of the plea agreement, Harrison faces a sentence of 218 months, or approximately 18 years, in prison. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Nov. 15, 2022. Harrison is the 60th and final defendant in the case to plead guilty in the case. Two defendants remain wanted on federal arrest warrants.
“Mr. Harrison stole the youth and innocence from impressionable minors, exploiting his position of trust to corrupt and coerce vulnerable and at-risk children into a world of criminal activity. And, but for a miracle, he nearly took a juvenile victim’s life, shooting him at point blank range in the back of the head. Much of this crime and violence was perpetrated while Mr. Harrison was an Academic Dean at a Boston Public School and on the City’s payroll. He used his position of trust to find his victims and groom them. It is truly disgusting,” said United States Attorney Rachael S. Rollins. “For years, the Latin Kings terrorized our communities and targeted youth to join their violent criminal enterprise. No more. Thanks to the exceptional collaboration between our federal, state and local law enforcement partners, this dangerous organization has been dismantled. Today’s conviction of Mr. Harrison brings an end to the Latin Kings’ reign and offers accountability to the many victims and various communities harmed by each of the 60 total defendants the U.S. Attorney’s Office has prosecuted and convicted. And we remain diligent in our quest to find the two remaining defendants that fled and have active warrants. They can run, but they can’t hide. We will not stop until we find them.”
“This former high school dean and self-professed anti-violence advocate was supposed to be looking out for the best interests of his students, when in reality he was living a double life as a Latin King, engaging in violence while recruiting at-risk students to traffic drugs and further the insidious needs of the gang,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Shaun Harrison continued to associate with the Latin Kings while serving time on state charges behind bars and his conduct warrants his conviction today as a federal felon.”
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against dozens of leaders, members and associates of the Latin Kings.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In 2015, Harrison was hired by the Boston Public Schools to serve as an academic dean at English High School. In that role, Harrison was to act as a mediator between teachers and students, contact families when students struggled, work with at-risk students and run an anger management program for 10 boys after school. While working at the Boston Public Schools, Harrison was a member of the Latin Kings, known as “Rev” or “King Rev,” and used his position as academic dean to recruit a number of the at-risk students into the Latin Kings gang. Harrison directed the recruited students to distribute marijuana and other drugs, which he provided, in the high school and collected the drug proceeds. A number of the students that Harrison recruited included Wilson Peguero, a/k/a “King Dubb,” who later became the “Inca” or the leader of the D5K Chapter of the Latin Kings; Alexis Peguero, a/k/a “King Lexi,” who became the “Cacique” or the second-in-command of the D5K Chapter of the Latin Kings; Dante Lara, a/k/a “King Nasty;” Oscar Pena, a/k/a “King O-Block;” and others. Wilson Peguero, Alexis Peguero, Lara and Pena were each charged in this case and sentenced to serve 30 months, 21 months, two years and 32 months in prison, respectively.
In March 2015, Harrison came to believe that one of the students distributing drugs for him had stolen money from him, no longer wished to sell drugs and may tell the police about Harrison’s crimes. On March 3, 2015, Harrison met up with this student at McDonalds. While walking behind the student, Harrison pulled out a handgun and shot the student in the back of the head at point blank range. This shooting was captured on video by a surveillance camera in the area. The student survived.
The student provided information to police concerning Harrison, his recruitment of students into the Latin Kings and the sale of drugs in the Boston Public Schools. Harrison was arrested soon thereafter and charged in Suffolk Superior Court with crimes related to the attempted murder. In 2018, Harrison was convicted by a jury and sentenced to approximately 25 years in state prison.
While in state prison following his conviction, Harrison continued to associate with Latin Kings members, including through jail calls to other co-defendants. Conversations between Harrison and other Latin Kings members included discussions about the identities of confidential informants in Harrison’s case and other efforts to identify those who contributed to his conviction. The Latin Kings supported Harrison during his state incarceration, discussed Harrison’s loyalty to the Latin Kings and refusal to implicate others and put money into his jail accounts.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins; FBI SAC Bonavolonta; Commissioner Carol Mici of the Massachusetts Department of Correction; Suffolk County District Attorney Kevin Hayden; Boston Police Acting Commissioner Gregory Long; and New Bedford Police Chief Paul Oliveira made the announcement. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard of Rollins’ 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.