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30 August 2022
Former Owner and Executive at Long Island Mortgage Lender Sentenced to 24 Months' Imprisonment for $8.9 Million FraudRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Edward E. Bohm, formerly the President of Sales and part-owner of mortgage lender Vanguard Funding, LLC (Vanguard), based in Garden City, New York was sentenced by United States District Judge Joanna Seybert to 24 months’ imprisonment in connection with the diversion of more than $8.9 million of warehouse loans that Vanguard had fraudulently obtained purportedly to fund home mortgages and mortgage refinancing. Bohm was also ordered to pay $3,488,615.42 in restitution and $1,500,000 in criminal forfeiture. In February 2019, Bohm pleaded guilty to conspiring to commit wire and bank fraud.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Adrienne A. Harris, Superintendent, New York State Department of Financial Services (DFS), announced the sentence.
“With today’s sentence, Edward Bohm has been deservedly punished for his role in a fraudulent scheme that deceived banks that trusted and relied upon him as a business partner. Bohm diverted the loan proceeds to, among other things, pay tens of thousands of dollars in monthly personal credit card expenses and finance the luxury house in which he lived,” stated United States Attorney Peace. “This Office, together with our law enforcement partners, will vigorously investigate and prosecute those who commit fraud to advance their own financial interests at the expense of businesses and residents of our district.”
“Edward Bohm and his associates at Vanguard Funding defrauded the financial institutions that provide critical residential mortgage funding, helping themselves to the short-term loans they falsely claimed were on behalf of consumers,” stated DFS Superintendent Harris. “As New York's financial services regulator, I am proud of DFS’s mortgage banking examiners and criminal investigators who assisted in the investigation that brought Bohm to justice, and who will continue to root out fraud on behalf of all New Yorkers."
Between August 2015 and March 2017, Bohm and his co-conspirators at Vanguard engaged in a scheme in which they obtained more than $8.9 million in short-term loans, referred to as warehouse loans, by falsely representing that the loan proceeds would fund specific mortgages, or refinance specific mortgages, for Vanguard clients. Instead, Bohm and his co-conspirators diverted the funds to pay personal expenses and compensation, and to pay off loans they had previously obtained through false loan applications. Bohm is the third defendant to be sentenced in connection with this scheme. On February 6, 2019, Vanguard Senior Vice President and Chief Financial Officer Edward J. Sypher, Jr., was sentenced to 18 months’ imprisonment and restitution in the amount of $3,488,615.42 following his conviction on conspiracy to commit wire and bank fraud charges. On February 26, 2019, Vanguard Chief Operating Officer Matthew T. Voss was sentenced to 24 months’ imprisonment and $3,488,615.42 restitution following his conviction on conspiracy to commit wire and bank fraud charges.
The government’s case is being prosecuted by Assistant United States Attorney Whitman G.S. Knapp, with assistance from Special Agent Martin Sullivan of the Office’s Business and Securities Fraud Section. Assistant United States Attorney Madeline O’Connor of the Office’s Asset Recovery Section is handling forfeiture matters.
The Defendant:
EDWARD E. BOHM
Age: 44
Smithtown, New YorkE.D.N.Y. Docket No. 18-CR-36 (JS)
Florida Man Indicted on Charges Relating to the Sexual Exploitation of a MinorRead the Press Release
PITTSBURGH, Pa. - A former resident of Tampa, Florida, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Cindy K. Chung announced today.
The two-count Indictment named Thomas Edward Grossman, 47, as the sole defendant.
According to the Indictment presented to the court, in and around August 2022, Grossman traveled from Florida to the Western District of Pennsylvania for the purpose of engaging in criminal sexual activity with a minor. The indictment also alleges that Grossman transported a minor female from Pennsylvania to West Virginia with the intent to engage in criminal sexual activity.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.
The law provides for a maximum total sentence of life in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Pennsylvania State Police, the West Virginia State Police and the Summersville, West Virginia Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Florida Lab Owner Charged in $53 Million Health Care Fraud and Kickback Scheme Related to Genetic Cancer Screening TestsRead the Press Release
NEWARK, N.J. – A Florida lab owner has been charged with over $50 million in health care fraud related to fraudulent genetic cancer screening tests, Attorney for the United States Lee M. Cortes Jr. announced today.
Daniel Hurt, 48, Fort Lauderdale, Florida, is charged by information with one count of conspiracy to commit health care fraud. He had his initial appearance and arraignment by videoconference today before U.S. District Judge Kevin McNulty in Newark federal court.
According to documents filed in this case and statements made in court:
Hurt owned several clinical laboratories that conducted or arranged for a variety of medical tests. Hurt paid kickbacks and bribes to various entities who supplied referrals and orders for genetic cancer screening tests (CGX) for Medicare and other health care benefit program beneficiaries, without regard to medical necessity. The laboratories submitted claims for payment to Medicare for these CGX tests. Medicare reimbursed the laboratories without knowing that the services were not medically necessary or were procured through the payment of kickbacks. From January 2019 to October 2021, Hurt, through the laboratories, submitted or caused to be submitted claims to Medicare, including claims for beneficiaries residing in New Jersey.
Hurt paid kickbacks to entities who supplied referrals for each CGX test that was billed to Medicare and other health care benefit programs. To conceal the payments of bribes, Hurt and the suppliers entered into sham contracts to make it appear that the suppliers were engaged in, and being paid for, legitimate marketing and referral services. The scheme resulted in Medicare paying the laboratories at least $53.3 million for CGX test claims. Hurt received at least $26.9 million from the Medicare reimbursements.
The count of conspiracy to commit health care fraud carries a maximum potential punishment of 10 years in prison, and a maximum fine of $250,000.
Hurt has also been charged in the Western District of Pennsylvania and the Southern District of Florida in relation to other health care offenses. Those charges are also pending.
Attorney for the United States Cortes credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark; the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; the U.S. Department of Defense, Office of the Inspector General, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Special Agent in Charge Patrick Hegarty; and the U.S. Department of Veterans Affairs Office of Inspector General, Northeast Field Office under the direction of Special Agent in Charge Christopher Algieri with the investigation leading to today’s charge.
The government is represented by Assistant U.S. Attorney Sean M. Sherman of the Opioid Abuse Prevention & Enforcement Unit in Newark.
The charge and allegations contained in the information are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Five additional defendants charged with fraudulently obtaining COVID-19 relief fundingRead the Press Release
SAVANNAH, GA: The number of defendants charged with illegally obtaining pandemic relief funds continues to rise in the Southern District of Georgia as investigators identify those who used fraud to receive government payments.
Since passage of the Coronavirus Aid, Relief and Economic Security (CARES) Act, in March 2020, and its subsequent funding of more than $6.5 billion, the Southern District of Georgia U.S. Attorney’s Office has federally charged nearly 40 defendants for fraudulently obtaining Paycheck Protection Plan (PPP) funding or Economic Injury Disaster Loans through Small Business Administration.
“The CARES Act provided a vital safety net for small businesses during months of pandemic-related disruptions,” said David H. Estes, U.S. Attorney for the Southern District of Georgia. “In coordination with our law enforcement partners, we continue to identify and hold accountable those who obtained funding to which they weren’t entitled and in violation of the law.”
Defendants recently charged in the Southern District include:
- Roshawnda Richardson, 29, of Waverly, Ga., pled guilty to an Information charging her with Wire Fraud. Richardson admitted participating in a scheme to fraudulently obtain PPP funding for two businesses.
- Jerrod Bellamy, 25, of Savannah, pled guilty to an Information charging him with Conspiracy and Filing a False Tax Return. Bellamy admitted he provided false information in his personal tax return, fraudulently obtained a PPP loan, and conspired with others to fraudulently obtain PPP loans for them. He also received more than $50,000 in kickbacks for helping co-conspirators fraudulently obtain COVID-19 relief funding.
- Lesley Anne McCray, 31, of Fort Stewart, is charged via Information alleging she committed Wire Fraud. The Information alleges she provided false information to obtain PPP funding.
- Christopher Sylvester, 29, of Columbia, S.C., is charged via Information with Wire Fraud. Sylvester is alleged to have provided false information in a PPP application to receive relief funding.
- Monique Stoddart, 30, of Hinesville, Ga., is charged via Information with Wire Fraud. Stoddart is alleged to have provided fraudulent information and false tax forms in an application to receive PPP funding.
The defendants face possible penalty ranges of up to 20 years in prison. As alleged in the charges and reflected in testimony and court documents, the fraudulent loan applications in these cases combined to cause lenders to pay nearly $400,000 to defendants and co-conspirators.
Criminal indictments and informations contain only charges; defendants are presumed innocent unless and until proven guilty.
“Army CID takes all attempts at committing fraud against the federal government by active duty or Department of the Army civilians seriously. This case is an example of the lengths our investigators and law enforcement partners will go to bring perpetrators to justice,” said Acting Resident Agent in Charge Jennifer Coleman of the Southeast Fraud Resident Agency, U.S. Army Criminal Investigation Division.
“Providing false information to gain access to SBA programs intended for victims of disasters is unacceptable,” said SBA OIG’s Eastern Region Special Agent in Charge Amaleka McCall-Brathwaite. “OIG is focused on rooting out bad actors in these vital SBA programs. I want to thank the Department of Justice and our law enforcement partners for their dedication and commitment to seeing justice served.”
“IRS-Criminal Investigation is dedicated to ensuring COVID-19 relief funds are going to those who really need it,” said IRS-Criminal Investigation Special Agent in Charge James E. Dorsey. “We have a financial expertise that assists our law enforcement partners in these types of cases. Together we will continue to show the public the value we bring to our community ensuring these federal relief funds are going to the real small business owners in need, not to greedy criminals.”
“The U.S. Secret Service along with our law enforcement partners remain committed in the fight to defend the nation’s financial security, and we stand ready to protect our economic infrastructure from those that choose to feloniously exploit it,” said Craig Reno, Resident Agent in Charge of the Savannah Resident Office.” The Secret Service and our law enforcement partners will investigate and criminally prosecute such fraud to the fullest extent of the law.”
The cases are being investigated by the U.S. Army Criminal Investigation Division, the Small Business Administration Office of Inspector General, IRS Criminal Investigations, and the U.S. Secret Service, and prosecuted for the United States by the U.S. Attorney’s Office for the Southern District of Georgia.
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.
Firearms Trafficker Sentenced to Ten Years in Federal Prison for Unlawfully Dealing Handguns and “Switch” Devices in Chicago AreaRead the Press Release
CHICAGO — A federal judge has sentenced a Chicago-area firearms trafficker to ten years in prison for unlawfully dealing handguns and “switch” devices capable of converting semi-automatic firearms into machine guns.
In September 2020, LEONARD D. JOHNSON supplied at least four “switch” devices, also known as “Glock switches,” to an individual who later sold them to a confidential informant and an undercover law enforcement officer. The individual and Johnson then split the proceeds. In December 2020, law enforcement executed a court-authorized search of Johnson’s residence in Robbins, Ill., and discovered 117 “switch” devices and three handguns that had been converted into machine guns, as well as another handgun, a silencer, three extended magazines, and ammunition.
Johnson was arrested in December 2020 on a federal firearm charge. He violated his conditions of pre-trial release while continuing to traffic firearms in 2021. He later fled to Georgia, where he was arrested in March 2022.
Johnson, also known as “Scrap,” 34, pleaded guilty in June 2022 to one count of unlawfully dealing firearms and one count of illegal possession of a machine gun. U.S. District Judge Virginia M. Kendall imposed the ten-year prison sentence on Aug. 25, 2022.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Kristen de Tineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives. Valuable assistance was provided by the Lansing, Ill., Police Department and the Midlothian, Ill., Police Department.
“Defendant was a prolific machine gun dealer in the Chicago area,” Assistant U.S. Attorney Charles W. Mulaney argued in the government’s sentencing memorandum. “Glock switches are a prevalent danger in this community that have no purpose other than to inflict maximum damage on enemies and any innocent bystanders who get caught in the spray of bullets.”
Disrupting illegal firearms trafficking is the focus of the Department of Justice’s Chicago Firearms Trafficking Strike Force. As part of the strike force, the U.S. Attorney’s Office collaborates with ATF and other federal, state, and local law enforcement partners in the Northern District of Illinois and across the country to help stem the supply of illegally trafficked firearms and identify patterns, leads, and potential suspects in violent gun crimes.
Holding firearm offenders accountable through federal prosecution is also a centerpiece of Project Safe Neighborhoods. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Felon on Federal Supervision Sentenced for Gun PossessionRead the Press Release
Miami, Florida – Antonio Ferguson, 41, of Port St. Lucie, Florida, has been sentenced to 46 months in prison after being convicted of possessing a firearm while being a convicted felon.
According to court documents, on September 29, 2021, multiple Federal and State law enforcement agencies executed a search warrant on a residence in Port St. Lucie, Florida, after a drug investigation. Antonio Ferguson was found in the residence and in possession of a firearm. Ferguson was on federal supervision after serving a prison sentence for selling narcotics. As a convicted felon, Ferguson was prohibited from possessing firearms.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and Special Agent in Charge Christopher A. Robinson of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Miami Field Division, made the announcement. ATF Miami investigated this case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-14010-CR-AMC.
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Federal Jury Convicts Man of Committing Murder to Maintain and Increase Position in Chicago Street GangRead the Press Release
CHICAGO — A federal jury has convicted a man of committing murder to maintain and increase his position in a violent Chicago street gang.
PIERRE ROBINSON, 29, of Chicago, was found guilty of committing murder in aid of racketeering. The jury returned its verdict on Aug. 25, 2022, after a four-day trial in U.S. District in Chicago. The conviction is punishable by a mandatory sentence of life in federal prison. U.S. District Judge John J. Tharp, Jr., set sentencing for Feb. 8, 2023.
The conviction was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen de Tineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives; and David Brown, Superintendent of the Chicago Police Department. The government is represented by Assistant U.S. Attorneys Albert Berry III and Margaret Steindorf.
Evidence at trial revealed that Robinson murdered Glenn Houston, Jr., on Dec. 23, 2014, for the purpose of maintaining and increasing Robinson’s position in the Evans Mob street gang. Robinson shot Houston, 23, multiple times inside a store in the 400 block of East 79th Street in the Chatham neighborhood on Chicago’s South Side. The Evans Mob, also known as “GuttaGang,” is a criminal organization whose members and associates engaged in narcotics trafficking and committed acts of violence, including murder, attempted murder, and assault, to acquire and preserve the gang’s territory on the South Side of Chicago. Members of the Evans Mob used social media to publicly claim responsibility for their acts of violence, taunt rival gang members, and took steps to prevent law enforcement’s detection of its criminal activities.
Fayetteville Man Sentenced to over 10 Years in Federal Prison for Drug Trafficking and Firearms PossessionRead the Press Release
FAYETTEVILLE – A Fayetteville man was sentenced yesterday to 126 months in prison followed by three years of supervised release on one count of Possession with Intent to Distribute a Controlled Substance Methamphetamine and Possession of a Firearm in Furtherance of a Drug Trafficking Offense. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court documents, during the months of June and July 2021, detectives with the Fourth Judicial District Drug Task Force (DTF) conducted multiple controlled purchases of methamphetamine from David Damarion Sims, age 25, in Washington County.
On July 9, 2021, detectives with the DTF were conducting surveillance at one of Sims' residences. Detectives observed Sims and an unknown female exit the residence and Sims was carrying a backpack. He got into the passenger seat of the vehicle and left the area.
Officers with the Fayetteville Police Department were in the area and were requested to initiate a traffic stop on Sims and arrest him on the felony distribution charges. When Officers attempted to stop the vehicle, Sims exited the vehicle and fled the area on foot.
Officers pursued Sims on foot and observed him discard the backpack he was carrying. Officers caught Sims and arrested him. Sims was in possession of approximately 58.7 grams of methamphetamine separated into three individual baggies, approximately 19.4 grams of marijuana, and two stolen firearms.
Detectives with the DTF conducted a search warrant at one of Sims' residences. During a search of the residence, detectives located an additional 29 grams of methamphetamine, a digital scale, $10,410.00 US Currency, DTF buy funds, approximately 2 strips of LSD ,5 unknown pills, and 2 spent shell casings located in the residence.
A search was also conducted at a second residence of Sims. That search yielded a baggie containing multiple rounds of ammunition, and a digital scale with methamphetamine residue.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Fourth Judicial District Drug Task Force and the Fayetteville Police Department investigated the case.
Assistant U.S. Attorney David Harris prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Farrell, PA Felon Charges with Federal Drug and Gun CrimesRead the Press Release
PITTSBURGH – Maurice Brooks was indicted by a federal grand jury in Pittsburgh for firearm and drug trafficking crimes, United States Attorney Cindy K. Chung announced today.
The Indictment charges Brooks, age 35 of Farrell, Pennsylvania, with distributing and/or possessing with intent to distribute fentanyl and cocaine on eight occasions in May and June 2022, and with possessing a firearm and ammunition on June 2, 2022, after a prior felony conviction.
The law provides for a maximum total sentence of up to 250 years in prison and a fine of up to $16,250,000. Under the Under States Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Craig W. Haller and Special Assistant United States Attorney/Mercer County Assistant District Attorney Shane T. Crevar are prosecuting this case on behalf of the United States.
The Mercer County Drug Task Force, the Pennsylvania Office of Attorney General, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation leading to the return of the Indictment in this case. This case is being prosecuted as part of Project Safe Neighborhoods (PSN) which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Fannin County Man Guilty of Multiple East Texas Bank RobberiesRead the Press Release
SHERMAN, Texas – A Leonard, Texas man has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Kevin Long, 30, pleaded guilty to bank robbery before U.S. Magistrate Judge Christine A. Nowak on August 29, 2022.
According to information presented in court, Long robbed multiple banks in East Texas between 2020 and 2021. During the robberies he passed threatening notes to bank employees, he physically restrained bank employees, and he stole over $550,000. Those robberies include: CapTex Bank in Bonham on Jan. 31, 2020; Financial Bank in Farmersville on August 11, 2020; Bancorp South Bank in Tom Bean on Oct. 16, 2020; Commercial Bank in Farmerville on August 13, 2021; and First United Bank in Leonard on August 20, 2021.
Long was indicted by a federal grand jury on Nov. 10, 2021. He faces up to 20 years in federal prison. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case is being investigated by the Federal Bureau of Investigation, Bonham Police Department, Farmersville Police Department, Grayson County Sheriff’s Office, Sherman Police Department, Allen Police Department, Leonard Police Department, Bells Police Department, Tom Bean Police Department, and Texas Department of Public Safety.
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Fairhope Man Pleads Guilty to over $1.2 Million in PPP FraudRead the Press Release
MOBILE, AL – Jason Carl Pears of Fairhope, Alabama, pleaded guilty to two counts of wire fraud and one count of money laundering before United States District Judge Terry F. Moorer on August 26, 2022. The guilty plea arises from Pears’ abuse of assistance programs provided under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents filed in connection with his guilty plea, Pears obtained two Paycheck Protection Program (PPP) loans on behalf of two companies: The Jason Made It Company and Nanny For A Week. Pears utilized false tax forms, altered checks, and falsified loan documents to obtain the loans. After successfully securing over $1.2 million in PPP loan funds, Pears spent the money on luxury goods and real estate, among other things. Pears is due to be sentenced before Judge Moorer on November 18, 2022.
U. S. Attorney Sean P. Costello said, “Criminals who refuse to play by the rules and lie, cheat, and steal money will be tracked down. We continue to work with our partners in law enforcement to identify and prosecute anyone who abuses the system for their own selfish gain.”
“The Payroll Protection Program was designed to alleviate some of the financial hardship caused by the pandemic. By falsely claiming benefits from this program, Mr. Pears victimized the American taxpayer and took money away from deserving people in need. The FBI remains committed to investigating fraud against the government and protecting the American people” said FBI Special Agent in Charge Paul Brown.
The case was investigated by a joint task force of Special Agents from the Federal Bureau of Investigations, the Internal Revenue Service, the Social Security Administration Office of Inspector General, the Department of Labor Office of Inspector General, and the Small Business Administration Office of Inspector General.
Assistant U.S. Attorney Kasee Heisterhagen prosecuted the case on behalf of the United States.
Fairfield Woman Admits Embezzling $1.5 MillionRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that CAROLINA GUERRENO, 49, of Fairfield, waived her right to be indicted and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to a fraud charge related to her embezzlement of approximately $1.5 million from her employer.
According to court documents and statements made in court, Guerreno served as the Chief Financial Officer of a financial services company located in Shelton. As part of her job responsibilities, she had access to her employer’s bank accounts and was allowed to initiate financial transactions, including wiring company funds to other bank accounts. From January 2019 and continuing until her fraud was detected by the company in February 2021, Guerreno stole $1,532,207.24 by altering company financial transactions and directing electronic payments from her employer’s bank account to her credit card accounts, her personal bank accounts, and to pay her home equity line of credit.
Guerreno pleaded guilty to one count of wire fraud, an offense that carries a maximum term of imprisonment of 20 years. Judge Shea scheduled sentencing for November 28.
Guerreno is released on a $50,000 bond pending sentencing.
This matter is being investigated by the U.S. Secret Service, the Wallingford Police Department and the Connecticut Financial Crimes Task Force. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.
Dubois, PA Man Sentenced for Money LaunderingRead the Press Release
PITTSBURGH, PA – A resident of Dubois, Pennsylvania, has been sentenced in federal court to three years of probation on a conviction of a federal money laundering law related to a nine-month Title III wiretap investigation into drug trafficking in and around the counties of Jefferson, Clearfield, and Allegheny, United States Attorney Cindy Chung announced today.
United States District Judge Christy Criswell Wiegand imposed the sentence on Taylor Thomas, age 28. Thomas was one of 47 defendants charged in six related indictments as part of the Return to Sender investigation.
According to information presented to the court, Thomas was intercepted communicating with other members of the conspiracy, including Derek Hillebrand and Yusuf Adekunle. Those communications revealed that Thomas sent multiple parcels containing United States currency to individuals in California on behalf of Hillebrand, Adekunle, and other members of the drug trafficking organization. That money represented drug proceeds that were used to purchase additional methamphetamine and marijuana for the members of the organization, who would then receive shipments of methamphetamine and marijuana in mail parcels sent from suppliers in California, Nevada, and Oregon.
Assistant United States Attorneys Jonathan D. Lusty and Michael R. Ball are prosecuting this case on behalf of the government.
The Drug Enforcement Administration led the multi-agency investigation of this case, which also included the Homeland Security Investigations, United States Postal Service – Office of Inspector General, United States Postal Inspection Service, Internal Revenue Services, Pittsburgh Bureau of Police, Allegheny County Police, and Pennsylvania State Police. Also assisting were the Jefferson County District Attorney’s Office, Clearfield County District Attorney’s Office, and the Clarion Borough Police Department.
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.
Clearfield, PA Felon Charged with Drug and Gun OffensesRead the Press Release
PITTSBURGH, PA - A resident of Clearfield, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal firearms and narcotics laws, United States Attorney Cindy K. Chung announced today.
The three-count Indictment named Christian Graham age 23, as the sole defendant.
According to the Indictment, on or about January 26, 2022, Graham possessed with intent to distribute 50 grams or more of a mixture and substance containing a delectable amount of methamphetamine and quantities of cocaine and fentanyl. Also on January 26, 2022, Graham possessed a firearm in furtherance of a drug trafficking crime and possessed a firearm and ammunition as a convicted felon. Possession of a firearm and ammunition by a convicted felon is prohibited under federal law.
The law provides for a sentence of not more than 30 years in prison, a fine of $8,000,000 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.
Assistant United States Attorney Jonathan D. Lusty is prosecuting this case on behalf of the government.
The Drug Enforcement Administration conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Chicago, Illinois Man Sentenced to 46 Months in PrisonRead the Press Release
HAMMOND- Markeese Deshon Thomas, 29 years old, of Chicago, Illinois, was sentenced by United States District Court Chief Judge Jon E. DeGuilio on his plea of guilty to being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Thomas was sentenced to 46 months in prison followed by 2 years of supervised release.
According to documents in the case, on October 31, 2021, law enforcement conducted a traffic stop on a vehicle on I-90 in Hammond, Indiana for speeding. During the stop officers smelled marijuana, noted the occupants acted nervous and did not have identification. Thomas, provided a fake name and date of birth while also making sudden movements. After the occupants were removed from the vehicle, a search resulted in the recovery of two loaded semi-automatic pistols and marijuana. Thomas admitted to possessing the firearms. His criminal history revealed that he has three prior felony convictions for illegally possessing firearms, and as such, is prohibited from possessing a firearm or ammunition.
This case was investigated by the Federal Bureau of Investigation’s Gang Response Investigative Team and the Indiana State Police. This case was prosecuted by Assistant United States Attorney Michael J. Toth.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
California Man Convicted of Conspiracy to Traffic Methamphetamine and to Launder Drug ProceedsRead the Press Release
Jackson, Miss. – A California man was convicted Friday, August 26, 2022, by a federal jury for his involvement in a conspiracy to traffic over a quarter of a million dollars’ worth of methamphetamine and marijuana into the Natchez, Mississippi area, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Brad Byerley of the Drug Enforcement Administration.
According to court documents, from 2016 through 2018, Arthur Wilson, 57, from Moreno Valley, California, conspired with Wesley Bell of Natchez, MS, Jimmie Lee Swearengen, Jr., of Mesquite, TX, Thomas Jerome Mitchell and Justine Chambers of Victorville, CA, and Kevin Singleton, formerly of Natchez, MS, to traffic kilograms of methamphetamine and marijuana into the Natchez area for distribution and sale. Wilson was also convicted of conspiracy to commit money laundering for his role in moving more than $345,000 in drug proceeds from Natchez to his drug suppliers in California.
Wilson will be sentenced on November 9, 2022. He faces a maximum sentence of life in prison and a $10 million fine. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. 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 OCDETF case is the result of an extensive investigation by the Drug Enforcement Administration, the Organized Crime and Drug Enforcement Task Force in Atlanta, GA, the Mississippi Bureau of Narcotics, Adams County Sheriff’s Office, the U.S. Postal Inspection Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Mississippi Highway Patrol, and Pearl Police Department. The case was prosecuted by Assistant United States Attorneys Carla J. Clark and Clay B. Baldwin.
Broward County Resident Charged in Alleged MJ Capital Financing Ponzi SchemeRead the Press Release
Miami, Florida – Twenty-nine-year-old Pavel Ramon Ruiz Hernandez has been charged in South Florida federal court with conspiring to commit wire fraud through an investment Ponzi fraud scheme linked to MJ Capital Funding, LLC (“MJ Capital Funding”).
According to the allegations in the information, MJ Capital Funding was a Pompano Beach company that offered merchant cash advances, or MCAs, a type of short-term financing typically used by small and medium-sized businesses. The information alleges that from about March to August 12, 2021, Ruiz Hernandez and his co-conspirators fraudulently solicited money from investors to fund MJ Capital Funding’s MCAs. It also alleges that Ruiz Hernandez and his co-conspirators recruited others to solicit additional investors, typically paying the recruits about 10% of the money they raised each month.
According to the information, Ruiz Hernandez and his co-conspirators lied to investors about MJ Capital Funding’s use of investor funds. For example, Ruiz Hernandez told investors that they would use the money to fund MCAs and that the profits of MJ Capital Funding’s MCA business would fund investor returns, which was not true. In fact, MJ Capital Funding made few MCAs and failed to earn anywhere near the profits it needed to pay the investor returns or principal amounts, it is alleged. As a result, the information charges that Ruiz Hernandez and his co-conspirators paid investor returns by running a large Ponzi fraud scheme, paying existing investors using new investor funds, while misappropriating millions of dollars for themselves. The information alleges Ruiz Hernandez and his co-conspirators defrauded investors of over $42 million.
Ruiz Hernandez made his initial federal court appearance today in federal magistrate court in Miami. If convicted, Ruiz Hernandez 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.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and Robert M. DeWitt, Acting Special Agent in Charge, FBI, Miami Field Office, made the announcement.
FBI Miami investigated this case. Florida’s Office of Financial Regulation and SEC Miami assisted. Assistant U.S. Attorney Eric E. Morales of the Southern District of Florida is prosecuting the case.
An information is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 21-cr-20185.
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Bronx Gang Member Admits to 2017 MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that NYSHIEM SPENCER, a/k/a “Willy,” pled guilty today in Manhattan federal court before U.S. Magistrate Judge Jennifer Willis to charges relating to his involvement in a shooting on October 31, 2017, in the vicinity of the Soundview Houses in the Bronx, New York, which resulted in the murder of Luis Vargas, 16 years old, and injuries to two other individuals, including a 15-year old child.
U.S. Attorney Damian Williams said: “On October 31, 2017, Nyshiem Spencer opened fire in the courtyard of the Soundview Houses and killed Luis Vargas, who was 16 years old. Spencer also shot and injured two other people in the courtyard, including a 15-year old child. Today’s guilty plea shows that we will vigorously investigate and hold accountable those who are responsible for shootings and acts of gang violence in our community. I commend the extraordinary efforts of our law enforcement partners, who worked tirelessly to investigate Luis Vargas’s murder.”
According to the allegations in the Superseding Information and other filings and statements made in court:
NYSHIEM SPENCER was a member and associate of the Monroe Houses Crew, a racketeering enterprise which operates principally in the James Monroe Houses in the Soundview neighborhood of the Bronx. In order to enrich the enterprise, preserve and protect the power of the enterprise, and enhance its criminal operations, Monroe Houses Crew members and associates committed, conspired, attempted, and threatened to commit acts of violence, including murder; distributed and possessed with intent to distribute narcotics; committed robberies; engaged in fraud; and obtained, possessed, and used firearms.
On October 31, 2017, SPENCER carried out a shooting targeting rival gang members in the courtyard of the Soundview Houses, which resulted in the murder of Luis Vargas, age 16. Two other individuals, including a 15-year old child, were injured during the shooting.
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SPENCER, 21, of the Bronx, New York, pled guilty to one count of using and carrying a firearm during and in furtherance of a murder and assault with a dangerous weapon in aid of racketeering, which was brandished and discharged, which carries a maximum prison term of life and a mandatory minimum prison term of 10 years.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
SPENCER is scheduled to be sentenced by Judge Analisa Torres on March 7, 2023.
Mr. Williams praised the outstanding investigative work of the New York City Police Department, Homeland Security Investigations, and New York City’s Department of Investigation.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Andrew K. Chan, Justin V. Rodriguez, and Emily A. Johnson are in charge of the prosecution.
Bridgeport Gang Member Sentenced to 18 Years in Federal Prison for Role in 2018 MurderRead the Press Release
TA’RON PHARR, also known as “250,” 22, of Bridgeport, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 216 months of imprisonment, followed by three years of supervised release, for gang-related activity, including his role in a murder in Bridgeport’s East End in August 2018.
Today’s announcement was made by Vanessa Roberts Avery, United States Attorney for the District of Connecticut; Joseph T. Corradino, State’s Attorney for the Fairfield Judicial District; Bridgeport Acting Police Chief Rebeca Garcia; David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation; James Ferguson, Special Agent in Charge, ATF Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Acting U.S. Marshal Lawrence Bobnick.
According to court documents and statements made in court, the FBI, ATF, DEA, U.S. Marshals Service and Bridgeport Police have been investigating multiple Bridgeport-based gangs whose members are involved in narcotics trafficking, murder and other acts of violence. Pharr was a member of the Original North End (“O.N.E.”), a gang based in the Trumbull Gardens area of Bridgeport that committed acts of violence against rival gang, including the East End gang, the East Side gang, and the PT Barnum gang. O.N.E. members also robbed drug dealers, sold narcotics, laundered narcotics proceeds, and stole cars from inside and outside Connecticut and used the cars to commit crimes.
On August 8, 2018, Pharr and other O.N.E. members, including Shakale Brantley, Jaylen Wilson and Jamar Traylor, stole a white Jeep Grand Cherokee in Newburgh, New York, and drove it back to Bridgeport. In the following days, O.N.E. members conspired to use the car to kill East End gang members and their allies who O.N.E. members had learned through social media were at a deli on Stratford Avenue in Bridgeport. Although that plan fell through, in the early morning hours of August 13, 2018, O.N.E. members drove the stolen Jeep to Union Avenue in Bridgeport where they shot and killed Len Smith, 25, who they mistook for a rival East End group member, and shot and seriously wounded Smith’s female companion, both of whom were seated in a parked car. After the shooting, Pharr, Brantley and other O.N.E. members transported the Jeep to Indian Wells State Park in Shelton where they burned the vehicle in an effort to destroy evidence of the murder.
During the investigation, three individuals told law enforcement that Pharr admitted to them that he participated in the shooting.
Pharr and Wilson were arrested on July 7, 2020. A search of a car they both occupied just prior to their arrests revealed three loaded handguns, one of which had an extended magazine, as well as quantities of crack, heroin and marijuana.
Pharr has been detained since his arrest. On July 6, 2021, he pleaded guilty to one count of engaging in a pattern of racketeering activity.
Brantley pleaded guilty to one count of engaging in a pattern of racketeering activity and one count of solicitation of witness tampering and, on January 26, 2022, was sentenced to 24 years of imprisonment.
Wilson and Traylor have pleaded guilty to related charges and await sentencing.
This investigation is being conducted by the FBI’s Safe Streets and Violent Crimes Task Forces, ATF, DEA, U.S. Marshals Service, Bridgeport Police Department, Connecticut State Police and the Bridgeport State’s Attorney’s Office, with the assistance of the U.S. Postal Inspection Service, Connecticut Forensic Science Laboratory and the Waterbury Police Department. The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale, Jocelyn C. Kaoutzanis, Karen L. Peck and Tara E. Levens.
This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN), Project Longevity and Organized Crime Drug Enforcement Task Forces (OCDETF) programs.
PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it. If a group member elects to engage in gun violence, the focused attention of federal, state and local law enforcement will be directed at that entire group.
OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Arizona woman sentenced to five years in prison for manslaughter in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Kayla Baker was sentenced on Aug. 29 in federal court to five years in prison. Baker, 26, of Ganado, Arizona, pleaded guilty on May 19 to involuntary manslaughter in Indian Country.
According to the plea agreement and other court records, on June 16, 2018, Baker was driving while intoxicated when she attempted to pass another vehicle. She steered into the path of on an oncoming vehicle, resulting in a crash that killed the other driver and severely injured the leg of a passenger. Tests following the crash showed Baker’s blood alcohol content was .12 and THC was present in her system. Law enforcement also found alcohol in Baker’s vehicle. The crash occurred in New Mexico on the Navajo Nation.
Upon her release from prison, Baker will be subject to three years of supervised release.
The Bureau of Indian Affairs investigated this case with assistance from the Navajo Nation Police Department and New Mexico State Police. Assistant United States Attorney Nicholas J. Marshall is prosecuting the case.
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Arizona and California Men Sentenced for $20 Million Investment FraudRead the Press Release
NORFOLK, Va. – An Arizona man and a California man were sentenced to 15 years and 5 months and 13 years in prison, respectively, for conspiracy to commit mail and wire fraud, wire fraud, and money laundering, in connection with a nationwide investment scheme involving fraudulent wireless spectrum and dental franchise investments.
According to court documents, from approximately 2011 through 2017, David Alcorn, 78, of Scottsdale, Arizona, and Aghee William Smith II, 70, of Roseville, California, were part of an investment fraud conspiracy that operated out of California, Arizona, Florida, Idaho, and Hampton Roads, among other locations across the country. Alcorn, Smith, and their co-conspirators—including Kent Maerki, 78, and his wife Norma Jean Coffin, 60, of Arizona; Daryl Bank, 51, of Florida; insurance salesman Tony Sellers, 62, of Idaho; insurance salesman Tom Barnett, 69, of California; attorney Billy Seabolt, 56, of Williamsburg; Raeann Gibson, 49, of Florida; and Roger Hudspeth, 51, of Suffolk – deceived hundreds of unsuspecting investors, most of whom were at or near retirement age, by convincing them to invest in or send money to companies owned and controlled by Alcorn, Bank, and Maerki. Alcorn and others then misappropriated significant portions of the investment funds to pay for their criminal enterprise and lavish lifestyles, as well as to pay exorbitant commissions to Smith and other salesmen.
Smith began selling these fraudulent investments in 2011 for Alcorn, Maerki, and Bank. The conspirators used material misrepresentations to sell illiquid, highly speculative investments that were then used as vehicles for fraud. Trusting the conspirators’ fraudulent misrepresentations, unsuspecting investors cashed out of 401(k) and other retirement accounts to invest without knowing that Alcorn, Bank, and Maerki were immediately transferring 20%–70% of the funds to other companies they controlled in the form of purported “fees.” As a result of this investment fraud scheme, the victims suffered losses in excess of $20 million.
Bank was convicted after trial of conspiracy, mail and wire fraud, selling unregistered securities, securities fraud, and money laundering, and was sentenced in September 2021 to 35 years in prison. Maerki pleaded guilty to conspiracy and was sentenced in March 2021 to 16 years in prison. Seabolt was convicted after trial of conspiracy and mail fraud and sentenced in September 2021 to 10 years in prison. Gibson pleaded guilty to conspiracy and was sentenced in February 2020 to 10 years in prison. Hudspeth pleaded guilty to investment advisor fraud and money laundering and was sentenced in May 2018 to over 12 years in prison. Sellers pleaded guilty to conspiracy and was sentenced in January to 5 years in prison. Coffin pleaded guilty to conspiracy and was sentenced in April to 5 years in prison. Barnett will be sentenced in September.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office; Darrell J. Waldon, Special Agent in Charge of the Criminal Investigations Unit of the Internal Revenue Service; and Tira A. Hayward, Acting Inspector in Charge of the U.S. Postal Inspection Service’s Washington Division, made the announcement after sentencing by Senior U.S. District Judge Raymond A. Jackson.
The Virginia State Corporation Commission provided significant assistance with this investigation.
Assistant U.S. Attorneys Melissa O’Boyle, Elizabeth Yusi, and Andrew Bosse are prosecuting the case.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. Elder abuse is an intentional or negligent act by any person that causes harm or a serious risk of harm to an older adult. It is a term used to describe five subtypes of elder abuse: physical abuse, financial fraud, scams and exploitation, caregiver neglect and abandonment, psychological abuse, and sexual abuse. Elder abuse is a serious crime against some of our nation’s most vulnerable citizens, affecting at least 10 percent of older Americans every year. Together with our federal, state, local, and tribal partners, the Department of Justice is steadfastly committed to combatting all forms of elder abuse and financial exploitation through enforcement actions, training and resources, research, victim services, and public awareness. This holistic and robust response demonstrates the Department’s unwavering dedication to fighting for justice for older Americans.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-47.
Active Duty Soldier at JBLM Pleads Guilty on Charges He Traveled to Foreign Country for Sex with ChildrenRead the Press Release
Tacoma – A former Staff Sergeant stationed at Joint Base Lewis-McChord (JBLM) pleaded guilty today in U.S. District Court in Tacoma to charges related to traveling to a foreign country with the intent to engage in illicit sexual activity with a child, sex trafficking of children, as well as production of child pornography. Moeun Yoeun, 37, of Steilacoom, Washington, faces a maximum penalty of up to life in prison when he is sentenced by U.S. District Judge Benjamin Settle on December 5, 2022.
In his plea agreement, Yoeun admitted to, over the course of several years, using adult and child residents of the Philippines to recruit more than a dozen other children to produce pornography. Yoeun further admitted to travelling to the Philippines and engaging in sexual acts with at least 6 children in exchange for nominal amounts of money.
Yoeun pleaded guilty to one count of Sex Trafficking of Children, one count of Production of Child Pornography, and one count of Engaging in Illicit Sexual Activity in a Foreign Place. As part of the plea agreement, prosecutors agreed not to charge additional offenses available based on the evidence and moved to dismiss the remaining counts in the indictment.
Other than the 15-year mandatory minimum prison sentence required by law, Judge Settle can impose any sentence op to the maximum penalty of life in prison. Yoeun will be required to register as a sex offender after he is released from prison and could face federal supervision for the rest of his life.
The FBI and U.S. Army CID, with the assistance of the Philippine National Police, investigated this case as part of the South Sound Child Exploitation Task Force. The case was prosecuted by Assistant United States Attorneys Grady J. Leupold and Matthew P. Hampton.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
33 Month Sentence Imposed on San Francisco Design Company Controller Who Embezzled $1.9 MillionRead the Press Release
SAN FRANCISCO – Kerry Kit Yee Tang was sentenced today to 33 months in federal prison for bank fraud stemming from her embezzlement from a San Francisco-based design company, announced United States Attorney Stephanie M. Hinds and Homeland Security Investigations Special Agent in Charge Tatum King. The sentence was handed down by United States District Chief Judge Richard Seeborg.
Tang, 45, of San Francisco, was employed as the Controller of a San Francisco interior design company from December 2018 to January 2021. On December 16, 2021, a federal grand jury indicted Tang on five counts of bank fraud involving embezzlement from her employer. Tang entered a plea agreement on May 24, 2022, and pleaded guilty to all five counts of bank fraud.
According to the plea agreement, Tang was, as Controller, the only employee in an accounting role at the design company. She was responsible for tasks including monthly reconciliation of cash and credit card accounts, processing payroll, and processing payments to vendors via check, wire transfer, and credit card. Tang was not, however, an authorized signer for the company’s checks. That authority was vested only in the company’s principals.
In the plea agreement, Tang admitted that she commenced her scheme to defraud the company in March 2019 – a few months after becoming its Controller. Tang’s scheme involved drawing checks on the company’s bank accounts and forging the signatures of one or both of the company’s principals on the checks without their authorization. Over the next two years, Tang embezzled more than $1.9 million from the company by issuing unauthorized checks.
In total, Tang admits she wrote 69 unauthorized checks. As described in the plea agreement, the checks ranged from $30,000 to $100,000. Tang made 66 of the checks payable to herself and deposited them into her personal bank accounts. In addition, in November and December 2020, Tang wrote three unauthorized checks from a company bank account that were payable to third party companies and totaled $267,200. Tang admitted in her plea agreement that she was not authorized to issue or sign the checks and that the third party companies did not perform any services for her company.
The government asserted in its sentencing memo that Tang not only violated the trust placed in her by her colleagues but also jeopardized the livelihood of the design company and its employees. The majority of Tang’s embezzlement occurred in 2020, in the midst of the COVID-19 pandemic when the country’s populace struggled with financial difficulties and emotional stress. Tang’s crimes, according to the government’s sentencing memo, compounded the financial uncertainty of the company and its employees during an already precarious time.
In addition to the 33-month prison term, United States District Chief Judge Seeborg ordered Tang to serve three years of supervision following her release from federal prison and to pay restitution. Tang will surrender to begin her sentence on October 31, 2022.
The case was prosecuted by Assistant United States Attorneys Katherine Lloyd-Lovett and Kristina Green, with the assistance of Beth Kim. The prosecution is the result of an investigation by Homeland Security Investigations and the San Francisco Police Department.
29 August 2022
‘Drug Runner’ Sentenced to Five Years in PrisonRead the Press Release
PROVIDENCE – A Woonsocket man who admitted to being a “drug runner,” delivering crack cocaine at the direction of a person who took steps to disguise his own involvement in the trafficking conspiracy by having others deliver his drug orders, has been sentenced to five years in federal prison, announced United States Attorney Zachary A. Cunha.
Michael Fernandes, 36 pleaded guilty on April 7, 2022, to conspiracy to distribute cocaine base and three counts of distribution of 28 grams or more of cocaine base, admitting that he delivered a total of 104.72 grams of crack cocaine at the direction of, Anthony Medeiros, 31, of Woonsocket.
According to charging documents, during an FBI Safe Streets Task Force Project Safe Neighborhoods investigation into the sale of crack cocaine in and around Woonsocket in early 2020, agents developed information that Medeiros arranged at least four sales of crack cocaine, utilizing text messaging, phone calls, and Snapchat. On each occasion, in an effort to insulate himself from responsibility for his role in trafficking crack cocaine, Medeiros utilized a “runners” to deliver the drugs that he sold. In at least three instances he used Fernandes to make deliveries; in another instance he allegedly had his girlfriend make a delivery.
Anthony Medeiros pleaded guilty on May 6, 2021, to conspiracy to distribute cocaine base; distribution of cocaine base; and two counts of distribution of 28 grams or more of cocaine base. He was sentenced on August 1, 2022, by U.S. District Court Judge Mary S. McElroy to 60 months of incarceration to be followed by four years of federal supervised release.
Fernandes was sentenced today by District Court Judge McElroy to 60 months of incarceration to be followed by four years of federal supervised release - the first six months of supervised release to be served at the Neil J. Houston House, a residential reentry center located in Pawtucket.
Medeiros’s girlfriend, Mariah Raymond, 28, of Woonsocket, is awaiting trial on charges of conspiracy to distribute cocaine base and distribution of cocaine base. A federal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The cases are being prosecuted by Assistant U.S. Attorney Stacey P. Veroni.
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Winooski Man Sentenced for Firearm OffenseRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on August 29, 2022, Tyler Branon, 33, of Winooski, Vermont, was sentenced in United States District Court in Burlington, Vermont to serve 45 months in prison after his guilty plea to one count of conspiracy to possess a firearm in furtherance of a drug trafficking offense. U.S. District Court Judge Christina Reiss also ordered Branon to serve a three year term of supervised release and to pay a $100 special assessment.
According to court records and proceedings, in January 2021, Branon was asked to drive a man from Colchester, Vermont, to St. Albans, Vermont, so the man could consummate a drug deal. Specifically, the man was to buy approximately one-quarter ounce of cocaine base (crack cocaine) and was to sell Percocet pills in exchange for a firearm. Branon agreed and drove the man to St. Albans, where the drug transaction took place. Upon their return to Colchester, the man gave Branon crack cocaine as compensation and gave the firearm to Branon to hold.
U.S. Attorney Nikolas P. Kerest commended the efforts of the Winooski, Vermont Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives in the investigation and prosecution of Branon.
Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Branon. Michael Shklar, Esq., represented Branon.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn
Wethersfield Man Sentenced to 4 Years in Federal Prison for Fentanyl Trafficking OffenseRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that FABIO VARGAS-GONZALEZ, 47, of Wethersfield, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 48 months of imprisonment, followed by three years of supervised release, for a fentanyl trafficking offense.
According to court documents and statements made in court, the DEA’s Hartford Task Force developed information that Vargas-Gonzalez was involved in narcotics trafficking activities in the Hartford area. On March 11, 2020, investigators conducted surveillance of Vargas-Gonzalez as he drove a minivan from Connecticut to New Jersey and then back to Connecticut. In Danbury, investigators stopped Vargas-Gonzalez’s minivan for a motor vehicle violation and, after Vargas-Gonzalez consented to a search, found approximately two kilograms of fentanyl hidden in the minivan’s spare tire compartment.
On April, 29, 2022, Vargas-Gonzalez pleaded guilty to possession with intent to distribute fentanyl.
Vargas-Gonzalez, a citizen of the Dominican Republic and a lawful permanent resident of the U.S., faces immigration proceedings when he is released from prison.
The DEA’s Hartford Task Force includes personnel from the DEA Hartford Resident Office, the Connecticut State Police, and the Bristol, Hartford, East Hartford, Enfield, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments.
This case was prosecuted by Assistant U.S. Attorney Geoffrey M. Stone.
West Virginia Sex Offender Sentenced to Prison for Violating Federal Sex Offender Registration and Notification ActRead the Press Release
CHARLESTON, W.Va. – James Robert McKinney, 37, of Logan, West Virginia, was sentenced today to one year and nine months in prison, to be followed by five years of supervised release, for failing to update his sex offender registration as required by the Sex Offender Registration and Notification Act (SORNA).
According to statements made in court, McKinney knew he was required to comply with the provisions of SORNA because of his conviction on three counts of third-degree sexual assault in Doddridge County Circuit Court on September 4, 2012. McKinney admitted that he moved from Logan to Belpre, Ohio, in August 2020, without registering his out-of-state move with the West Virginia sex offender registry or registering with Ohio, in violation of the requirements of SORNA. McKinney was discovered living in Ohio on April 7, 2021, and arrested.
McKinney was on parole for his Doddridge County convictions when he moved to Ohio. He will serve the sentence consecutively with a prison sentence imposed following the revocation of that parole. McKinley also has two prior convictions in West Virginia for failing to comply with West Virginia sex offender registration requirements.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Marshals Service, West Virginia Parole Services, and the West Virginia State Police.
Senior United States District Judge John T. Copenhaver Jr. imposed the sentence. Assistant United States Attorney Jennifer Rada Herrald prosecuted the case.
SORNA is part of the Adam Walsh Child Protection and Safety Act of 2006 and provides a comprehensive set of minimum standards for sex offender registration and notification in the United States. SORNA seeks to strengthen the nationwide network of sex offender registration and notification programs, in part by requiring registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-253.
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Veterans Affairs Medical Center Employee Indicted on Child Pornography OffensesRead the Press Release
BOSTON – A Royalston man has been indicted by a federal grand jury in Springfield on child pornography charges.
Kevin A. Divoll, 51, was indicted on one count of distribution of child pornography and one count of possession of child pornography. Divoll was previously arrested and charged on Aug. 4, 2022.
According to the charging documents, investigators identified Divoll, an employee at the Veterans Affairs (VA) Medical Center in Leeds, as the owner and user of a device allegedly distributing or attempting to distribute child pornography over the Medical Center’s public Wi-Fi from May 2022 through July 2022. The indictment further alleges that, following a search of his residence on Aug. 4, 2022, Divoll possessed child pornography that involved a prepubescent minor and a minor who had not attained 12 years of age.
The charge of distribution of child pornography provides for a mandatory minimum sentence of five years and up to 20 years in prison, at least five years of supervised release and a fine of up to $250,000. The charge of possession of child pornography involving an image of child pornography involving a prepubescent minor or a minor who had not attained 12 years of age provides for a sentence of up to 20 years in prison, at least five years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael Rollins and Christopher Algieri, Special Agent in Charge of the U.S. Department of Veterans Affairs Office of Inspector General, Northeast Field Office, made the announcement. Significant assistance was provided by the Leeds VA Medical Center Police. Assistant U.S. Attorney Catherine G. Curley of Rollins’ Springfield Branch Office is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Upshur County woman sentenced for drug and counterfeit chargesRead the Press Release
ELKINS, WEST VIRGINIA – Johnna Dee Courtney, of Buckhannon, West Virginia, was sentenced today to 120 months of incarceration for methamphetamine and counterfeit charges, U.S. Attorney William Ihlenfeld announced.
Courtney, age 41, pleaded guilty in January 2020 to one count of “Possession with Intent to Distribute 50 grams or more of Methamphetamine” and one count of “Possession of Counterfeit Obligations.” Courtney admitted to distributing more than fifty grams of “crystal” methamphetamine, also known as “ice,” in May 2019 in Upshur County. She also admitted to having 95 counterfeit $100 bills in her possession.
Assistant U.S. Attorney Brandon S. Flower prosecuted the case on behalf of the government. The Mountain Lakes Drug & Violent Crimes Task Force and the United States Secret Service investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
United States Attorney Jacqueline C. Romero Names Ebony Wortham, Esq. to New Community Engagement Leadership PositionRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced today that Ebony Wortham, Esq., has been named Executive United States Attorney for Community Engagement for the U.S. Attorney’s Office for the Eastern District of Pennsylvania. The EUSA is a newly created role which will focus on creating partnerships in communities across the Eastern District of Pennsylvania with an emphasis on education and crime prevention, particularly in those communities struggling with high rates of violent crime, opioid abuse, and the legacy of generations of systemic exclusion from education, healthcare, housing and employment.
“Ebony’s experience and acumen as a former prosecutor, law enforcement partner and community advocate exceeds the demanding vision I had in mind when creating this new position in our Office,” said U.S. Attorney Romero. “My goal for the community outreach efforts of the U.S. Attorney’s Office, under Ebony’s leadership, is that we become a consistent, trusted presence in the communities we serve – which will ultimately lead to lasting, meaningful impact on our District and its people.”
“I am honored and humbled to have been selected to serve as Executive U.S. Attorney for Community Engagement,” said Ms. Wortham. “Throughout my life and career, I have sought opportunities to work collaboratively with community stakeholders and system partners to promote public safety and to improve the life chances of individuals, youth and families. In this new role, I look forward to continuing to learn from – and partner with – organizations, leaders, and citizens across our region, as we work collectively on solutions to strengthen and transform our neighborhoods.
“Historically, the U.S. Attorney’s Office for the Eastern District of Pennsylvania has been a critical partner in helping to galvanize the broader community around a larger strategic vision for public safety and well-being,” continued Ms. Wortham. “This position will provide me with the opportunity to work with my incredible colleagues within the U.S. Attorney’s Office to build on that extraordinary legacy as we implement U.S. Attorney Romero’s bold and dynamic strategic vision for community engagement.”
Ms. Wortham most recently served as a Senior Managing Consultant with the Center for Justice and Safety Finance within PFM’s Management and Budget Consulting Practice, where she worked with state and local government clients around the country to create operational and procedural efficiencies in their work. Prior to joining PFM, she was a 15-year veteran of the Philadelphia District Attorney’s Office, where she served as its Director of Juvenile Justice Policy and Prevention in addition to her work prosecuting cases. Ms. Wortham has deep roots in the community as a lifelong Philadelphian and remains engaged in numerous organizations and across a variety of programs and fields, focused on improving relationships between youth and law enforcement; reducing and preventing gun violence; providing social services, mentoring, job training, college preparatory and life skills; and advocating for trauma-informed practices.
Ms. Wortham is a graduate of Central High School of Philadelphia (256). She received a bachelor’s degree in Criminal Justice from Temple University; a law degree from Widener University School of Law; a master’s degree in Organizational Development and Leadership from the Philadelphia College of Osteopathic Medicine; and a master’s degree in Public Administration from the Fels Institute of Government of the University of Pennsylvania.
Titusville Man on Federal Supervision Indicted on Aggravated Identity Theft and Fraud ChargesRead the Press Release
Jacksonville, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Carmel Linot (32, Titusville) with bank fraud, mail fraud, two counts of aggravated identity theft, and two counts of false representation of a Social Security number (SSN). If convicted, Linot faces a minimum mandatory penalty of 4 years in federal prison on the two aggravated identity theft counts, up to 30 years’ imprisonment for the bank fraud, up to 20 years for the mail fraud, and up to 10 years in federal prison on the two counts of false representation of a SSN.
According to the indictment and public records, Linot fraudulently obtained the SSN of another individual. Using this SSN, a counterfeit State of Georgia driver license, and false employment documents, Linot opened a bank account under a false identity and obtained a credit card from Community First Credit Union. Linot is currently on federal supervised release in the Middle District of Florida for aggravated identity theft. He had previously been prosecuted by the U.S. Attorney’s Office, Jacksonville Division.
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 Brevard County Sheriff’s Office, the Jacksonville Sheriff’s Office, and the U.S. Secret Service – Jacksonville Field Office. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Stockton Woman Sentenced to More Than 17 Years in Prison for Sex Trafficking ChildrenRead the Press Release
SACRAMENTO, Calif. — Dawniel Santangelo, 44, of Stockton, was sentenced today by U.S. District Judge Kimberly J. Mueller to 17 years and seven months in prison for conspiracy to engage in sex trafficking of a child, three counts of sex trafficking a child, and transporting a minor with intent to engage in criminal sexual activity, U.S. Attorney Phillip A. Talbert announced.
According to evidence presented at trial, between September 2018 and May 2019, Santangelo recruited 15-, 16-, and 17-year-old girls to engage in prostitution throughout Northern California and Southern Oregon. Santangelo enticed the girls to perform sex acts for strangers by providing alcohol, drugs, and creating a party atmosphere in motels in Stockton and Salinas. She then posted online prostitution ads depicting the victims and brought the victims to truck stops and motels to have sex with men for money, which she and co-defendant Lucious James Roy, 34, of Stockton, took from the victims. After the victims began engaging in commercial sex acts, Santangelo urged them to continue, reassuring them when they felt insecure.
In early May 2019, Santangelo and Roy recruited a 15-year-old runaway from the Modesto area to engage in prostitution. They drove the victim from Merced to Medford, Oregon, Santangelo’s former hometown, where Santangelo advertised on the internet and harbored the victim in a motel room that she rented. After a few days in Oregon, the victim called her family for help, and police officers subsequently found the victim in Santangelo’s motel room along with Santangelo and Roy.
“Santangelo’s conduct in this case was egregious. She played an essential part in the conspiracy recruiting the girls with false promises of freedom and fun. Once she reeled them in, she quickly put them to work, exploiting three children over hundreds of miles for over nine months,” said U.S. Attorney Talbert. “Today’s sentence reflects the seriousness of the crime and should deter others from engaging in such conduct. The U.S. Attorney’s Office will relentlessly target and prosecute sexual predators who victimize vulnerable children.”
This case was the product of an investigation by the Federal Bureau of Investigation, the Stockton Police Department, the San Joaquin District Attorney’s Office, the Medford (Oregon) Police Department, and the Jackson County (Oregon) District Attorney’s Office. Assistant U.S. Attorney Cameron L. Desmond prosecuted the case.
On April 12, 2021, Roy was sentenced by Judge Mueller to 17 years and seven months in prison after pleading guilty to conspiracy to engage in sex trafficking of a child.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Springfield, Illinois, Man Sentenced to 24 Months in Prison for Six Counts Related to Possession and Use of Counterfeit Credit Cards and Counterfeit Device Making EquipmentRead the Press Release
SPRINGFIELD, Ill. –A Springfield, Illinois, man, Calvin Christian, III, 31, of the 1700 block of South College Street was sentenced on August 25, 2022, to 24 months in prison, to be followed by three years of supervised release, for six counts of either possessing or using counterfeit access devices or related offenses.
At the sentencing hearing, the government presented evidence that beginning in late 2014 Christian obtained card-encoding hardware that connected to his computer allowing him to re-code information from credit cards, gift cards, or other cards with magnetic stripes. He then used cryptocurrency to purchase stolen credit card information on the internet and used the information with the encoding hardware to make “new” credit cards that were linked credit card or bank accounts of other individuals. He and others then used the fraudulent cards to purchase goods or gift cards. Christian was held accountable for $44,634.34 in total loss, stemming from conduct which lasted from 2015 to 2017.
Also at the hearing, United States District Judge Sue E. Myerscough found Christian was an organizer or leader and that the offense involved at least six financial institutions and 14 individual victims. She also noted the length of his criminal actions and his persistence in continuing his enterprise, even after he had been caught multiple times.
“Sophisticated fraud accomplished using stolen identifying information, cryptocurrency, and the dark-web is an unfortunate new reality in our society, but this case shows that the United States Secret Service and other law enforcement working with federal prosecutors will work tirelessly to bring technologically savvy criminals to justice,” said Assistant United States Attorney Tanner Jacobs.
“This type of fraudulent activity can be devastating to everyday citizens and their families, and we appreciate our partnership with the U.S. Attorney’s Office to hold criminals accountable for their actions,” said USSS Resident Agent in Charge Stephen Webster. “The U.S. Secret Service remains committed to investigating and arresting those that engage in crimes that undermine the integrity of the U.S. financial and payment systems.”
Christian was indicted in June of 2017 and pleaded guilty in May of 2019. His sentencing hearing was continued numerous times because of COVID-19.
The maximum statutory penalties for the access device fraud related offenses ranged from ten to fifteen years in prison, not more than three years of supervised release, and up to a $250,000 fine.
The United States Secret Service, Springfield Resident Office, investigated the case. Assistant United States Attorney Tanner Jacobs represented the government in the prosecution.
South Carolina Man Sentenced for Unlawful Distribution of Anabolic Steroids and Unapproved Steroid-like DrugsRead the Press Release
The owner of a South Carolina supplement company was sentenced to one day and one year of imprisonment for manufacturing and shipping unapproved drugs and anabolic steroids, the Department of Justice announced.
John F. Cochcroft, 37, of Lexington, South Carolina, pleaded guilty on May 25, to one count of introduction of a new drug into interstate commerce with the intent to defraud and mislead and one count of manufacturing and possessing with the intent to distribute and distributing anabolic steroids. As part of the plea agreement, Cochcroft agreed to pay a forfeiture money judgment of $200,000 related to proceeds from his sales of illicit products. U.S. District Judge James P. Jones of the Western District of Virginia imposed the sentence.
In pleading guilty, Cochcroft admitted that he operated businesses that marketed products as “dietary supplements” to the body-building and fitness communities to increase muscle mass. He admitted that some of these products contained osterine, a type of synthetic steroid known as a Selective Androgen Receptor Modulator (SARM). The FDA has warned against the use of SARMs, including stating in a 2017 warning letter to another firm that SARMs have been linked to life-threatening reactions like liver toxicity, and that they have the potential to increase the risk of heart attack and stroke.
“Workout supplements containing anabolic steroids and unapproved steroid-like drugs can be dangerous,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department will continue to work closely with the FDA to prosecute those who seek profit at the expense of public safety.”
“Cochcroft and his company placed public health at risk by unlawfully distributing unapproved drugs that have been linked to life-threatening conditions,” U.S. Attorney Christopher R. Kavanaugh said today. “Marketing and distributing unapproved drugs is not only dangerous, but a federal crime.”
According to court filings, Cochcroft took steps to mislead and defraud the government and consumers in the sale of these products, including using multiple addresses with fictitious business names, working with Chinese suppliers to mislabel drug products as foodstuff items, and knowingly failing to seek approval for the products. During its investigation, the government seized various products containing anabolic steroids from Cochcroft’s business. Anabolic steroids are Schedule III controlled substances under the Controlled Substances Act , Schedule III(e) and have been linked to life-threatening reactions and side effects.
The FDA’s Office of Criminal Investigations investigated the case.
Assistant U.S. Attorney Randy Ramseyer o for the Western District of Virginia and Trial Attorney Speare Hodges of the Department of Justice Civil Division’s Consumer Protection Branch prosecuted the case.
Sherman Oaks Man Sentenced to 20 Years in Federal Prison for Distributing Fentanyl that Resulted in the Deaths of Two PeopleRead the Press Release
LOS ANGELES – A San Fernando Valley man was sentenced today to 240 months in federal prison for distributing the powerful synthetic opioid fentanyl that resulted in the overdose deaths of two people in July 2018.
Trent Michael Tomasovich, 31, of Sherman Oaks, was sentenced by United States District Judge John F. Walter.
Tomasovich pleaded guilty in September 2019 to one count of distribution of fentanyl resulting in death.
According to court documents, on July 13, 2018, Tomasovich sold fentanyl to a 24-year-old woman who took the drug at a Woodland Hills apartment and died during the early morning hours the following day. The victim was visiting a friend, who found the woman unresponsive and then summoned paramedics.
Several hours later, the boyfriend of the woman who lived in the Woodland Hills apartment found the narcotics that the deceased woman had purchased. Ignoring his girlfriend’s request to dispose of the drugs, the 38-year-old man consumed the fentanyl and suffered a fatal overdose.
In his plea agreement, Tomasovich admitted that but for the use of the fentanyl that he distributed, the two victims would have lived.
“In this case, [Tomasovich’s] conduct led to two peoples’ deaths and caused permanent, irreparable damage to the loved ones they left behind,” prosecutors argued in a sentencing memorandum.
The investigation into Tomasovich was conducted by the HIDTA Fusion Task Force, which is part of the High Intensity Drug Trafficking Area (HIDTA) task force and operates under the direction of the Drug Enforcement Administration. The Los Angeles Police Department (Van Nuys Homicide), the Glendale Police Department and the Ventura County Sheriff’s Office provided substantial assistance in this matter.
Assistant United States Attorneys A. Carley Palmer of the General Crimes Section and Elia Herrera of the International Narcotics, Money Laundering, and Racketeering Section prosecuted this case.
San Antonio Man Sentenced to More than Three Years in Federal Prison for Embezzling $1.175M from Johnson CityRead the Press Release
AUSTIN – A San Antonio man was sentenced last Friday to 37 months in prison and ordered to pay $1,175,866.91 in restitution for embezzling that amount from the City of Johnson City, Texas.
According to court documents, while employed by the city, Anthony Michael Holland, 37, embezzled at least $1,175,866.91 from city accounts starting in 2015 and continuing until around September 2020. He concealed the embezzlement by falsifying city financial records and other documents. Holland used the money for his personal benefit, including purchasing a residence in San Antonio.
On December 15, 2021, Holland pleaded guilty to one count of theft from a state or local government that receives federal program funds.
“Anthony Holland repeatedly betrayed the trust of the people of Johnson City by stealing from them over the course of six years while holding the positions of City Secretary and Chief Administrative Officer,” said U.S. Attorney Ashley C. Hoff. “We are proud to have prosecuted this case in federal court and our office will continue to hold those that corrupt our local governments and harm our communities accountable for their actions.”
“The FBI is committed to ensuring those who choose to abuse their positions of trust will be held accountable,” said FBI San Antonio Division Special Agent in Charge Oliver E. Rich Jr. “In this effort, one of our most important partners is the public, and we encourage honest citizens to continue to report corrupt activity to the FBI.”
The FBI, with invaluable assistance from the Johnson City Police Department, investigated the case. The United States Attorney’s Office also appreciates the cooperation of the Atlanta Regional Office of the U.S. Securities and Exchange Commission.
Assistant U.S. Attorneys Alan M. Buie, Robert Almonte and Mark Tindall prosecuted the case.
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Roane County Man Sentenced to Life Plus 120 Months for Child Exploitation CrimesRead the Press Release
KNOXVILLE, Tenn. – On August 24, 2022, the Honorable Thomas A. Varlan, United States District Judge for the Eastern District of Tennessee, sentenced Kent Lowery Booher, 67, of Harriman, Tennessee, to serve life plus 120 months in federal prison on child exploitation charges.
Booher, a disbarred criminal defense attorney and prior sex offender, was found guilty of child exploitation crimes by a federal jury in April 2021 in violation of 18 U.S.C. §§ 2422(b), 2260A, 1591(a)(1), (b)(2), and 2251. Booher will also be ordered to pay restitution in an amount to be determined by the court at a later date.
According to the evidence presented at trial, Booher used a telephone, as well as Facebook and other electronic messaging platforms to communicate with an undercover officer that he thought was a 14-year-old girl. Over a five-day period, Booher engaged in sexually explicit communications with an officer that he believed to be minor. Booher arranged to meet the minor in person, at which time Booher was arrested by agents of the 9th Judicial District Attorney’s Office and the Harriman Police Department. Additionally, at trial the jury convicted Booher of charges pertaining to the sexual exploitation of a 15-year-old girl from 2012 to 2013.
“The lengthy sentence given by the Judge displays the gravity of crimes committed against children and the punishments those who commit them will face,” said United States Attorney Francis M. Hamilton III. “It is our duty to protect the most vulnerable in our society.”
The lead agency in this investigation was the 9th Judicial District Attorney’s Office. The Knoxville Police Department, Internet Crimes Against Children Task Force, Homeland Security Investigations, Lenoir City Police Department, Loudon County Sheriff’s Office, Harriman Police Department, Blount County Sheriff’s Department, Tennessee Department of Corrections, and U.S. Secret Service, assisted with the investigation.
Assistant U.S. Attorneys Jennifer Kolman and Frank M. Dale, Jr. represented the United States at trial.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, PSC marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about PSC, please visit www.projectsafechildhood.gov.
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Registered Sex Offender Pleads Guilty to the Sexual Exploitation of Two Minor Girls to Produce Child PornographyRead the Press Release
Baltimore, Maryland - Dennis James Harrison, age 40, of Rocky Ridge, Maryland, pleaded guilty to sexual exploitation of a child to produce child pornography, related to the sexual exploitation of two minors who were between the ages of 10 and 12 at the time of the abuse. The guilty plea was entered on Friday, August 26, 2022.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore; Frederick County Sheriff Charles A. “Chuck” Jenkins; and Frederick County State’s Attorney J. Charles Smith III.
According to his guilty plea, between 2018 and 2021, Harrison sexually exploited two minor girls beginning when the one victim was twelve years old and when another victim was 10 to 11 years old, to produce child pornography. Specifically, from at least September 2020 through August 2021, Harrison engaged in sexual activity with Jane Doe 1, a 12-year-old girl who resided in Pennsylvania. Harrison picked-up Jane Doe 1 from her residence and drove her to various location in Maryland, including Harrison’s residence, where he engaged in illegal sexual activity with Jane Doe 1. Harrison produced images and videos of his sexual abuse of Jane Doe 1 and enticed Jane Doe 1 to send him sexually explicit photographs of herself.
As detailed in his plea agreement, Harrison also used a hidden camera and a mobile phone in 2018 to produce a series of images depicting Jane Doe 2, a 10-to-11-year-old girl, nude and partially nude in a bedroom and bathroom in Pennsylvania and in a bathroom in Maryland. The images were taken without the knowledge of Jane Doe 2.
On August 12, 2021, investigators executed a search warrant at Harrison’s residence and recovered a cellphone used by Harrison to film his sexual abuse of Jane Doe 1, as well as several digital devices. A forensic examination of all the devices located files depicting the sexual abuse of children on each one, including depictions of infants and toddlers. In total, over 14,000 files of child pornography were found on Harrison’s devices. On August 12, 2009, Harrison was convicted of possession of child pornography related to the sexual abuse of a minor and was a registered sex offender at the time of his arrest in the federal case.
As stated in his plea agreement, upon his release from prison, Harrison must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (“SORNA”).
Harrison faces a mandatory minimum sentence of 25 years in prison and a maximum of 50 years in prison. Chief U.S. District Judge James K. Bredar has scheduled sentencing for January 23, 2023 at 10:00 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.
United States Attorney Erek L. Barron commended HSI, the Frederick County Sheriff’s Office, and the Frederick County State’s Attorney’s Office their work in the investigation and prosecution. Mr. Barron thanked Assistant U.S. Attorney Paul E. Budlow and Special Assistant U.S. Attorney Joyce King, who are prosecuting the federal case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Ponca Man Sentenced to 7 Years in Prison for Interstate Travel with Intent to Engage in Illicit Sexual Conduct with a MinorRead the Press Release
Acting United States Attorney Steve Russell announced that Timothy S. Daly, 49, of Ponca, Nebraska, was sentenced today in Lincoln, Nebraska, by Judge John M. Gerrard for interstate travel with intent to engage in illicit sexual conduct with a minor. Daly was sentenced to 7 years in prison, 5 years of supervised release, and a $100 special assessment. There is no parole in the federal system.
On August 23, 2021, Daly contacted a phone number appearing on an online advertisement which offered sexual services. An undercover law enforcement officer responded posing as a 15-year-old female. Through text conversation Daly planned a meeting with the 15-year-old-girl to engage in sexual activities not knowing the girl was an undercover officer. On August 26, 2021, Daly traveled to the arranged meeting place. Shortly thereafter, he was arrested by law enforcement. His vehicle was searched and the cash, fast food which had been negotiated as payment for the proposed sex acts were located in his vehicle as well as condoms.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Federal Bureau of Investigation.
Pittsburgh Man Pleads Guilty to Participating in Heroin Trafficking OrganizationRead 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.
Martise Smith, 30, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute more than 100 grams of heroin from June of 2019 through December of 2019, before United States District Judge William S. Stickman, IV. Smith is one of seven defendants charged in the Indictment returned in this case.
In connection with the guilty plea, the court was advised that in 2019 the Federal Bureau of Investigation began investigating a heroin trafficking organization operating throughout the greater Pittsburgh area of which Smith was a member. Beginning in July of 2019 and continuing through August of 2019, the FBI initiated a Title III wiretap investigation into the organization. Smith was intercepted communicating with his codefendants and agreeing to supply them with distribution quantities of heroin. Through extensive physical and electronic surveillance, Smith was observed meeting with his codefendants to sell them the heroin.
Judge Stickman scheduled sentencing for Jan. 31, 2023. 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. Smith remains in custody pending sentencing.
Assistant United States Attorney Mark V. Gurzo prosecuted this case on behalf of the government.
The FBI, 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 Smith.
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.
Philadelphia Man Guilty of Violating Federal Drug and Gun LawsRead the Press Release
JOHNSTOWN, Pa. – A resident of Philadelphia, PA, was found guilty after a four-day jury trial of conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, U.S. Attorney Cindy K. Chung announced today.
John T. Terry, 47, was convicted by a jury of conspiracy to distribute and possess with intent to distribute more than 500 grams of a mixture and substance containing a detectable amount of methamphetamine and cocaine, between March 30, 2018, and April 4, 2018.
Further, Senior District Judge Kim R. Gibson found Terry guilty of possessing a loaded Smith & Wesson M&P Shield .40 caliber semi-automatic pistol at the time of his arrest. On June 2, 1998, Terry was convicted in United States District Court for the Eastern District of PA, of interference with interstate commerce by robbery, which is a crime punishable by imprisonment for a term exceeding one year. Federal law prohibits persons who have been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing firearms.
Terry is scheduled to be sentenced on Jan. 31, 2023.
The law provides for a maximum sentence of life in prison and a fine of up to $31,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed on each of the defendants would be based upon the seriousness of the offenses and the prior criminal history of the defendants.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation, the Pennsylvania State Police SHIELD Unit, and the Somerset Turnpike Barracks, conducted the investigation that led to the prosecution of Terry.
Pharmacy & Bank Robberies Net Nashville Man Lengthy Federal Prison SentenceRead the Press Release
NASHVILLE – A Nashville man convicted of robbing a pharmacy and a bank in 2020, will spend 13 years in federal prison, announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
David Powell, aka Dawud Powell, 31, was sentenced Friday by U.S. District Judge William L. Campbell, Jr.
Powell was initially arrested on a criminal complaint on August 25, 2020, and charged with the August 19th robbery of the Walgreens Pharmacy on Nolensville Pike, in which he brandished a handgun and demanded that the pharmacist give him all of the Hydrocodone, Oxycodone, and Lortab. The pharmacist complied and the robber placed the bottles of drugs in a white bag and fled the store.
The investigation by responding officers and detectives from the Metropolitan Nashville Police Department led them to the area of West Valley Drive where they observed an individual exiting a vehicle and carrying a white bag. The individual ignored the officers’ commands to stop, and he fled, jumping a nearby fence. Subsequent investigation by FBI agents identified Powell as the suspect.
At the time of Powell’s arrest, he was in possession of four handguns, additional magazines and marijuana. Two additional firearms were found in the vehicle he was occupying. At the time of his arrest, Powell was on federal supervised release out of the Northern District of Illinois, where he was previously convicted for being a felon in possession of a firearm.
Powell was also found to be responsible for the January 3, 2020, robbery of the Fifth-Third Bank on Old Hickory Boulevard, based on a DNA analysis of a pair of discarded pants that were found in the woods while searching for the suspect immediately following the robbery.
In May, Powell pleaded guilty to armed pharmacy robbery; brandishing a firearm during and in relation to a crime of violence; being a convicted felon in possession of a firearm; and bank robbery.
U.S. Attorney Wildasin commended the FBI and the Metropolitan Nashville Police Department, and Assistant U.S. Attorney Joseph P. Montminy, for their work in the investigation and prosecution of this case which removes another dangerous offender from the community for an extended period of time.
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Pennsylvania man admits to bank robberyRead the Press Release
MARTINSBURG, WEST VIRGINIA – William J. Birdsall, of Beaver Falls, Pennsylvania, and Elizabeth Jacqueline Havens, of Boones Mill, Virginia, have admitted to their involvement in a bank robbery, United States Attorney William Ihlenfeld announced.
Birdsall, 50, pleading guilty today to one count of “Bank Robbery.” Birdsall admitted to robbing the Bank of Romney in Hampshire County on September 22, 2021, taking $13,420 in cash.
Havens, 55, pleaded guilty today to one count of “Disposal of Proceeds Stolen from Bank.” Havens admitted to receiving the proceeds from Birdsall’s bank robbery with the intent of hiding it.
Birdsall is facing up to 20 years of incarceration and a fine of up to $250,000. Havens is facing up to 10 years of incarceration and a fine of up to $250,000. 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 Kimberley D. Crockett is prosecuting the case on behalf of the government. The FBI investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Pennsylvania Man Pleads Guilty to Receiving Meth from California to DistributeRead the Press Release
PITTSBURGH – A former resident of Rockton, Pennsylvania, pleaded guilty in federal court to violation of federal narcotics laws related to a nine-month Title III wiretap investigation into drug trafficking in and around the counties of Jefferson, Clearfield, and Allegheny, United States Attorney Cindy Chung announced today.
Ryan Schoening, age 32, pleaded guilty to one count of conspiracy to distribute and possesses with intent to distribute 50 grams or more of methamphetamine and one count of conspiracy to distribute and possesses with intent to distribute 500 grams or more of methamphetamine before United States District Judge Christy Criswell Wiegand. Schoening was one of 47 defendants charged in six related indictments as part of the Return to Sender investigation.
In connection with the guilty plea, the court was advised that Schoening received over ten pounds of methamphetamine from suppliers located in California between July of 2020 and August of 2021, which he distributed to local customers. Schoening also received over ten pounds of methamphetamine that was transported by vehicle from Houston, Texas by an alternate supplier between November of 2020 and April of 2021, which he also distributed to local customers.
Judge Wiegand scheduled sentencing for Schoening on January 10, 2023, at 1:00 p.m. The law provides for a sentence of not less than ten years to a maximum of life in prison, a fine not to exceed $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The court ordered that the defendant remain detained pending sentencing.
Assistant United States Attorneys Jonathan D. Lusty and Michael R. Ball are prosecuting this case on behalf of the government.
The Drug Enforcement Administration led the multi-agency investigation of this case, which also included the Homeland Security Investigations, United States Postal Service – Office of Inspector General, United States Postal Inspection Service, Internal Revenue Services, Pittsburgh Bureau of Police, Allegheny County Police, and Pennsylvania State Police. Also assisting were the Jefferson County District Attorney’s Office, Clearfield County District Attorney’s Office, and the Clarion Borough Police Department.
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.
Office on Violence Against Women Awards $30.59 Million to Improve Services for Underserved Populations and Provide Culturally Specific ServicesRead the Press Release
The Department of Justice’s Office on Violence Against Women (OVW) announced today nearly $31 million in upcoming grant awards to improve outreach, services and support for survivors of sexual assault, domestic violence, dating violence, and stalking from underserved communities and culturally specific populations. Specifically, OVW’s Grants to Enhance Culturally Specific Services and Sexual Assault Services - Culturally Specific Programs will award a combined total of $18,315,762 through 59 grants to promote community-based programs that offer culturally and linguistically specific services. Under the Grants for Outreach and Services to Underserved Populations Program, OVW will award $4,499,858 to 10 grantees to provide victim services and deploy outreach strategies tailored to the needs of survivors from underserved populations. OVW’s Disabilities Grant Program will award $4,119,788 for 10 projects to build community-wide capacity to provide accessible, safe, and effective services for survivors with disabilities and Deaf individuals. In addition, under the Abuse in Later Life Program, OVW will award $3,650,833 to six grantees to create multidisciplinary partnerships for a comprehensive approach to address elder abuse. OVW Acting Director Allison Randall announced the funding at the 2022 National Conference on Domestic Violence.
“By advancing equity for all, we can promote public safety and increase public trust,” said Associate Attorney General Vanita Gupta. “Today’s announcement furthers OVW’s work to implement the Department of Justice’s Equity Action Plan. By increasing grant awards to culturally specific, community-based organizations OVW is helping to reduce violence and advance civil rights.”
“It is imperative that we think about barriers that stand between survivors and their access to justice, safety, and healing – including barriers in our own services and systems – and commit ourselves to breaking down those barriers,” said Acting Director Randall. “At OVW, we are making that commitment by enhancing funding for organizations that are operated by and for communities of color and historically marginalized and underserved populations. In this year’s grant solicitations, we prioritized funding for culturally specific, community-based organizations, Tribal organizations, and population-specific organizations. This is critical, because advocates report that survivors are more likely to seek services from organizations they can trust are familiar with their culture, their language and their background.”
OVW’s Culturally Specific Services Program funds the development of innovative culturally and linguistically specific approaches that offer survivors services they might not be able to find at mainstream organizations. The Disabilities Program funds education, training, services, and capacity building to ensure people with disabilities can safely and fully access resources in their communities for survivors of sexual and domestic violence. Through training and services, the Abuse in Later Life Program addresses elder abuse, neglect and exploitation, including domestic violence, dating violence, sexual assault or stalking, against victims who are 50 years of age or older.
OVW provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities across the country that are developing programs, policies, and practices aimed at ending domestic violence, dating violence, sexual assault, and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.
Ocala Convicted Felon Sentenced to 32 Months in Federal Prison for Possessing A FirearmRead the Press Release
Ocala, FL – Senior United States District Judge John Antoon II has sentenced D’Andra Miller (22, Ocala) to 32 months in federal prison for possessing a firearm as a convicted felon. Miller had pleaded guilty on May 24, 2022.
According to court records, Miller was found with a firearm on two different occasions. DNA comparison analysis confirmed the presence of Miller’s DNA on both of the firearms.
Miller has one prior felony conviction for burglary of a conveyance. Therefore, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Tyrie K. Boyer.
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.
Ocala Convicted Felon Sentenced to 12 Years in Prison for Possessing FirearmsRead the Press Release
Ocala, FL – Senior United States District Judge John Antoon II has sentenced Benjamin Townsel (23, Ocala) to 12 years in federal prison for possessing a firearm as a convicted felon. Townsel had pleaded guilty on February 17, 2022.
According to court documents, on three different occasions, Townsel was found with a firearm after officers from the Ocala Police Department conducted traffic stops on vehicles in which Townsel was a passenger. DNA comparison analysis confirmed the presence of Townsel’s DNA on each of the firearms. The traffic stops occurred on August 7, 2020, December 3, 2020, and February 15, 2021, the latter two occurring after Townsel had been released on bond from jail on state charges. The firearm found during the first incident also had an obliterated serial number, in violation of federal law.
Townsel has four prior state felony convictions, including aggravated assault with a deadly weapon and possession of a firearm by a convicted felon. Therefore, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department, the Marion County Sheriff’s Office, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Tyrie K. Boyer.
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.
New York State Parole Absconder Sentenced to More Than 8 Years in Prison for Possessing A FirearmRead the Press Release
Ocala, FL – Senior United States District Judge John Antoon II has sentenced Tevaughn Johnson (29, Jacksonville) to eight years and four months in federal prison for possessing a firearm as a convicted felon. Johnson had pleaded guilty on May 16, 2022.
According to court records, in January 2019, Johnson was convicted of attempted robbery in New York. He was released from prison and placed on parole in February 2021. In approximately September 2021 Johnson left New York without the permission of his parole office. A warrant was subsequently issued for Johnson’s arrest for violating the terms of his supervision. Deputy United States Marshals located Johnson in Florida. When they attempted to arrest Johnson, he fled on foot and one of the deputy marshals suffered a significant hand injury during a struggle with Johnson. A firearm was located in the vehicle Johnson had been driving, and DNA comparison analysis confirmed the presence of Johnson’s DNA on the firearm.
Johnson has two prior state felony convictions for robbery and attempted robbery. Therefore, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Lake County Sheriff’s Office, the Orlando Police Department, the United States Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorneys Tyrie K. Boyer and Michael P. Felicetta.
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.
New Jersey Man Sentenced to 3 Years in Prison for Fraudulently Obtaining and Selling Three Tom Brady Super Bowl RingsRead the Press Release
SANTA ANA, California – A New Jersey man was sentenced today to 36 months in federal prison for posing as a former player for the New England Patriots, which allowed him to purchase family versions of the team’s 2016 Super Bowl championship ring – supposedly as gifts to relatives of quarterback Tom Brady – one of which was sold at auction for more than $337,000.
Scott V. Spina Jr., 25, of Roseland, New Jersey, was sentenced by United States District Judge David O. Carter, who also ordered Spina to pay $63,000 in restitution to the former Patriots player who sold him his Super Bowl ring and other memorabilia.
On February 1, Spina pleaded guilty to one count of mail fraud, three counts of wire fraud and one count of aggravated identity theft.
The scheme began in 2017, when Spina purchased a Super Bowl LI ring awarded to a Patriots player who subsequently left the team. Spina, who bilked the former player by paying for the ring with at least one bad check, sold the ring soon after for $63,000 to a well-known broker of championship rings.
When Spina obtained the player ring, he also received the information that allowed the former player to purchase Super Bowl rings for family and friends that are slightly smaller than the player rings.
“Spina then called the Ring Company, fraudulently identified himself as [the former player], and started ordering three family and friend Super Bowl LI rings with the name ‘Brady’ engraved on each one, which he falsely represented were gifts for the baby of quarterback Tom Brady,” according to court documents. “The rings were at no time authorized by Tom Brady. Defendant Spina intended to obtain the three rings by fraud and to sell them at a substantial profit.”
Spina entered into an agreement with the Orange County man who purchased the player’s Super Bowl ring to sell him the three family rings that Spina now claimed Brady had given to his nephews. After agreeing to buy the three rings for $81,500 – nearly three times what Spina paid for the rings – the buyer started to believe that Brady did not have nephews, and he tried to withdraw from the deal.
The same day that the buyer tried to back out, and the same day that Spina received the rings in November 2017, Spina immediately sold them to an auction house for $100,000. During an auction in February 2018, one of the family rings was sold for $337,219.
Spina admitted in his plea agreement that he defrauded the Orange County ring broker when he falsely claimed that the rings “were ordered for Tom Brady directly from [the Ring Company] for select family members.” Spina also admitted that he defrauded this victim in relation to three wire transfers for the deposit on the family rings. Spina further admitted he committed identity theft when he posed as the former Patriot to purchase the rings.
The FBI’s Art Crime Team investigated this matter.
Assistant United States Attorney Erik M. Silber of the Environmental and Community Safety Crimes Section prosecuted this case.
Naples Felon Pleads Guilty to $2.6 Million COVID Relief Fraud SchemeRead the Press Release
Fort Myers, Florida – United States Attorney Roger B. Handberg announces that Daniel Joseph Tisone (35, Naples) has pleaded guilty to wire fraud, bank fraud, illegal monetary transaction, and possession of ammunition by a convicted felon. Tisone faces a maximum penalty of 30 years in federal prison for each wire fraud and bank fraud count, up to 10 years’ imprisonment on the illegal monetary transaction count, and up to 10 years in federal prison on the possession of ammunition charge.
According to the plea agreement, between March 2020 and April 2021, Tisone, a convicted felon, submitted false and fraudulent Economic Injury Disaster Loan (EIDL), Main Street Lending Program (MSLP), and Paycheck Protection Program (PPP) loan applications to the Small Business Administration, as well as PPP and MSLP approved lenders. The loan applications contained numerous false representations, including the criminal history, average monthly payroll, number of employees, and gross revenues of the applicant, Tisone.
In support of the fraudulent EIDL, PPP, and MSLP applications, Tisone submitted false and fictitious payroll and tax documents, as well as a fake commercial lease. Further, Tisone fraudulently used the means of identification of individuals who purported to work for Tisone’s companies, including their names, dates of birth, and Social Security numbers (SSN) to submit false and fraudulent payroll and payroll tax documents. Tisone also fraudulently used the means of identification of an individual, including the individual’s name, date of birth, driver license information, and SSN to submit a false and fraudulent EIDL application.
Tisone’s false and fraudulent representations caused the SBA, PPP, and MSLP lenders to approve and fund one MSLP, four EIDL, and five PPP loans, resulting in the deposit of approximately $2,617,447.17 into bank accounts controlled by Tisone. Tisone then unlawfully used the funds for unauthorized purposes and for his own personal enrichment, including the purchase of residences in Naples, Florida, stocks and investment securities, a 2019 Tiara 34LS boat, a 4.02 carat engagement ring, and ammunition.
Additionally, on March 20, 2022, while executing a search warrant at Tisone’s residence, FBI and SIGPR agents discovered rounds of assorted ammunition in Tisone’s master bedroom and garage. Specifically, more than 800 rounds of assorted .223/5.56 caliber ammunition and 9mm ammunition was found in his home. Tisone, a convicted felon, was prohibited from possessing ammunition.
As part of his guilty plea, Tisone agrees to forfeit his interest in a 2019 Tiara 34LS boat, two real properties located in Naples, a 4.02 carat solitaire engagement ring, approximately $65,645.69 seized from two bank accounts, and approximately $2,617,447.17, which are traceable to proceeds of the offense.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted March 2020. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allows the interest and principal to be forgiven if the business spends the proceeds on these expenses within a set time period and uses at least a certain percentage of the loan toward payroll expenses.
The EIDL program is designed to provide economic relief to small businesses that are currently experiencing a temporary loss of revenue. EIDL proceeds can be used to cover a wide array of working capital and normal operating expenses, such as continuation of health care benefits, rent, utilities, and fixed debt payments. If an applicant also obtains a loan under the PPP, the EIDL funds cannot be used for the same purpose as the PPP funds.
The MSLP was designed to provide support to small and medium-sized businesses and their employees across the United States during the COVID-19 pandemic. The program was intended to help companies, that were in sound financial condition prior to the onset of the pandemic, maintain their operations and payroll until conditions normalized.
This case was investigated by the FBI, Special Inspector General for Pandemic Recovery (SIGPR), the IRS – Criminal Investigation, with the assistance from the Federal Reserve Board – Office of Inspector General. It is being prosecuted by Assistant United States Attorneys Trent Reichling and Suzanne Nebesky.