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5 August 2022
Judge Sentences Southwest PA Man to 20 Years in Prison for Production and Attempted Production of Child Sexual Abuse MaterialsRead the Press Release
PITTSBURGH - A resident of Washington and Duncansville, Pennsylvania, was sentenced in federal court for three counts of production and attempted production of material depicting the sexual exploitation of a minor, United States Attorney Cindy K. Chung announced today.
United States District Judge Robert J. Colville sentenced Jacob Kolonis, age 29, to 240 months’ imprisonment (20 years) followed by 10 years of supervised release and ordered that he pay restitution totaling $9,000 to his minor victims.
During Kolonis’ plea hearing on February 9, 2022, Kolonis admitted to threatening seven minor females with the intent to extort them for nude and sexually explicit images. On three of these occasions, Kolonis threatened the minors to create and send videos of themselves engaged in sexually explicit conduct over Snapchat, as directed by Kolonis. Kolonis admitted to extorting the minors for his own sexual gratification.
Prior to imposing sentence, Judge Coleville acknowledged that Kolonis had engaged in exceptionally serious conduct and recognized the immense impact of Kolonis’ crime on his victims.
Assistant United States Attorney Heidi M. Grogan prosecuted this case on behalf of the government.
United States Attorney Chung commended Homeland Security Investigations (HSI), the Pennsylvania Office of the Attorney General–Child Predator Unit, the Bethel Park Police Department, the South Fayette Township Police Department, and the Stark County Sheriff’s Office (Ohio) for the investigation leading to the successful prosecution of Kolonis.
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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Inmate Sentenced for Suboxone Trafficking and Assaulting Corrections OfficerRead the Press Release
ABINGDON, Va. – An inmate being housed at Western Virginia Regional Jail, who physically assaulted and pepper-sprayed a corrections officer while awaiting sentencing on federal drug charges, was sentenced this week in federal court for both offenses.
Michael Selvidge, 38, was sentenced this week to 110 months for possession with the intent to distribute controlled substances and 41 months for assaulting a federal employee.
According to court documents, in the visitation room at U.S. Penitentiary Lee in 2019, Selvidge received contraband from a visitor. Specifically, he received 48 Suboxone strips that he intended to distribute within the prison. Selvidge ultimately pled guilty to three counts of possession and distribution of controlled substances in relation to that conduct.
While that case was pending, Selvidge was held at the Western Virginia Regional Jail. On January 16, 2022, a corrections officer at Western Virginia Regional Jail was conducting security rounds at the jail when he encountered Selvidge and directed him to return to his cell. Selvidge became upset, threatened the officer, and ultimately attacked the officer by striking him numerous times with his fists. During the attack, the officer attempted to repel Selvidge with his pepper spray but dropped the canister on the floor. Selvidge picked up the pepper spray, emptied it onto the officer’s face and body, and then threw the empty canister at the officer.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia made the announcement.
The Bureau of Prisons Special Investigative Services, the Western Virginia Regional Jail, and the United States Marshals Service investigated the case.
Special Assistant United States Attorney Christine Hummert and Assistant U.S. Attorney Whit D. Pierce prosecuted the case.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Aug. 4 was:
James Kelly Chavez, 40, of Billings, on charges of conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute meth. If convicted of the most serious crime, Chavez faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Chavez was detained pending further proceedings. The Eastern Montana High Intensity Drug Trafficking Area Task Force, Drug Enforcement Administration and Montana Division of Criminal Investigation investigated the case. PACER case reference. 22-75.
Appearing on Aug. 2 was:
Oscar Albert Nevarez, 38, of Idaho Falls, Idaho, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Nevarez faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug crimes and a mandatory minimum five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearms crime. Nevarez was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Park County Sheriff’s Office investigated the case. PACER case reference. 22-43.
James D. Murrieta, 36, of Utica, New York, on charges of conspiracy to possess with intent to distribute meth, possession with intent to distribute meth, distribution of meth and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Murrieta faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release on the drug crimes and a mandatory minimum five years to life in prison, consecutive to any other sentence, a $250,000 fine and five years of supervised release on the firearms crime. Murrieta was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Park County Sheriff’s Office investigated the case. PACER case reference. 22-43.
Appearing on Aug. 4 in Great Falls before U.S. Magistrate Judge John T. Johnston for an initial appearance on a criminal complaint was:
Jorge Perez, 40, of Spokane, Washington, on charges of possession with intent to distribute controlled substances. If convicted of the most serious crime, Perez faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Perez was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-59.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Indictment Charges New Haven Man with Firearm and Narcotics OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, and James M. Ferguson, Special Agent in Charge, ATF Boston Field Division, today announced that a federal grand jury in Hartford has returned an indictment charging NIQUELLE LANDELIUS, 26, of New Haven, with firearm and narcotics offenses.
The indictment, which was returned yesterday, alleges that on February 22, 2022, Landelius possessed a 9mm semi-automatic pistol, which had no serial number or manufacturer information, loaded with nine rounds of ammunition. On that date, Landelius also possessed quantities of crack cocaine and heroin that he intended to distribute.
The indictment further alleges that Landelius’ criminal history includes state convictions for felony narcotics offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
The indictment charges Landelius with one count of unlawful possession of ammunition by a felon, which carries a maximum term of imprisonment of 10 years, and one count of possession with intent to distribute cocaine base (“crack”) and heroin, which carries a maximum term of imprisonment of 20 years.
Landelius was arrested on state charges on February 22, 2022, and is currently in state custody. His federal arraignment is not scheduled.
U.S. Attorney Avery stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the New Haven Police Department. This case is being prosecuted by Assistant U.S. Attorney Stephanie T. Levick.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Indianapolis Man Sentenced to 57 Months in Federal Prison for Trafficking Heroin while on ParoleRead the Press Release
INDIANAPOLIS – Darrion Elliott, 28, of Indianapolis, was sentenced to fifty-seven months in federal prison after pleading guilty to possession with intent to distribute heroin.
According to court documents, Elliott was on parole in Marion County, Indiana, after he was convicted of being a serious violent felon in possession of a firearm. On January 9, 2020, parole officers arrived for a scheduled home visit at the address Elliott falsely claimed was his residence. Officers found Elliott standing outside on the front porch with no key to access the residence. Officers searched Elliott’s phone and determined his actual address.
Officers searched Elliott’s actual residence and found 47 grams of heroin, a cutting agent for processing heroin, a digital scale, and plastic baggies. Officers also found three firearms: a loaded 9mm handgun, another 9mm handgun, a .25 caliber handgun, a .45 caliber rifle. As part of his guilty plea, Elliott admitted that he possessed the heroin with the intent to distribute it. Elliott has a serious criminal history spanning over a decade, which includes three prior felony convictions, all involving drugs and guns.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Indianapolis Metropolitan Police Department Chief Randal Taylor made the announcement.
The Indianapolis Metropolitan Police Department investigated the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives provided valuable assistance. The sentence was imposed by U.S. District Judge Sarah Evans Barker. As part of the sentence, Judge Barker ordered that Elliott be supervised by the U.S. Probation Office for three years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Abhishek S. Kambli who prosecuted this case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
Honduran National Indicted for Illegal Re-EntryRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced today that SANTOS RAMOS-CASTILLO, a/k/a “Santos Ramos-Espinoza”, age 36, was charged on August 4, 2022 in a one-count indictment for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a).
According to the indictment, SANTOS RAMOS-CASTILLO (“RAMOS-CASTILLO”) reentered the United States after he was previously deported on November 16, 2015. If convicted, RAMOS-CASTILLO faces a maximum term of imprisonment of two years, a maximum fine of up to $250,000, a maximum term of supervised release of up to one year, and a mandatory $100 special assessment fee.
U. S. Duane Evans reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the United States Immigration and Customs Enforcement in investigating this matter. Assistant U. S. Attorney Carter K. D. Guice, Jr. is in charge of the prosecution.
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Holyoke Man Indicted for Being a Felon in Possession of a FirearmRead the Press Release
BOSTON – A Holyoke man has been indicted by a federal grand jury in Springfield for illegal firearm possession.
Joseph Anthony Montaner-Vasquez, 25, was indicted on one count of being a felon in possession of a firearm. Montaner-Vasquez is currently in state custody and will appear in federal court in Boston at a later date.
According to the indictment, on May 25, 2022, Montaner-Vasquez was found in possession of a Glock 9-millimeter caliber pistol and 20 rounds of ammunition. Montaner-Vasquez was previously convicted of a felony and is prohibited from possessing firearms and ammunition.
The charge of being a felon in possession of a firearm provides a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Holyoke Police Chief David Pratt made the announcement today. Assistant U.S. Attorney Neil L. Desroches of Rollins’ Springfield Branch Office is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Holyoke Man Arrested for Unlawful Possession of Machine Guns, Possessing Unregistered Firearms and Making False StatementsRead the Press Release
BOSTON – A Holyoke man was arrested today after being indicted by a federal grand jury in Springfield in connection with illegally possessing numerous firearms including unregistered machine guns, short-barreled rifles and other weapons as well as firearm silencers.
Daniel A. Augusto, 56, was indicted on one count of unlawful possession of machine guns, six counts of unlawful possession of unregistered firearms and one count of making false statements to federal agents. He will appear in federal court in Springfield this afternoon.
“Guns are deadly weapons. There are strict requirements regarding licensing for and registering of firearms. We believe Mr. Augusto not only unlawfully possessed numerous unregistered firearms, but also possessed a stockpile of machineguns and conversion devices that have the capability to rapidly cause death and destruction,” said United States Attorney Rachael S. Rollins. “The illegal possession of firearms and, moreover, machineguns, greatly threaten the safety of our communities. Gun laws are in place for a reason. The conduct alleged here is very serious. My office will continue to work with our law enforcement partners to identify and prosecute individuals who try to bring deadly weapons into our communities.”
“The unlawful possession of unregistered machineguns is a federal crime that ATF takes very seriously as it threatens the safety of our communities,” said James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division. “ATF has had a long and productive relationship with our local, state, and federal law enforcement partners in combating violent crime and stopping the unlawful possession of firearms that are not legally registered.”
According to the indictment, on Feb. 23, 2022, Augusto unlawfully possessed multiple unregistered firearms, magazines and silencers, including more than 40 conversion devices and forced reset triggers that are classified as machineguns under federal law. Specifically, Augusto allegedly possessed:
- One PTR Industries, Inc., model PTR 9, 9x19mm caliber firearm bearing serial number 9MC010480 with one magazine and an altered HK MP5-type machinegun trigger housing installed;
- 38 “switch-type” Glock machinegun conversion devices bearing a counterfeit Glock logo;
- Three Rare Breed FRT-15 forced reset triggers designed to allow drop-in installation into AR-15 type firearms, with no serial number;
- One Tommy Triggers FRT-15-3MD forced reset trigger designed to allow drop-in installation into AR-15-type firearms, with no serial number;
- One Imperial Arms Co., model EFFEN 90, 5.7x28mm caliber firearm bearing serial number HXX37 with one magazine;
- One PTR Industries, Inc., model PTR 9, 9x19mm caliber firearm bearing serial number 9MK001951 with a collapsible shoulder stock, thread protector, electronic sight, and forward grip, and with one magazine;
- One Sig Sauer, model MPX, 9x19mm caliber firearm bearing serial number 62B058947 with an electronic sight, a forward grip, and a Maxim Defense collapsible shoulder stock, and with one magazine;
- One Intratec, model Tec-9, 9x19mm caliber firearm bearing serial number 54601, with a secondary forward grip and a synthetic sling; and
- Two black firearms silencers with no markings.
It is further alleged that on Feb. 23, 2022, Augusto falsely stated to federal agents that all of the firearms in his residence belonged to his son and his girlfriend and that he never asked his son or his girlfriend to purchase firearms.
The charge of unlawful possession of machineguns provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charges of unlawful possession of unregistered firearms each provide for a sentence of up to 10 years in prison, three years of supervised release, a fine of $250,000 and forfeiture of the illegally possessed firearms. The charge of making false statements to federal agents provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins and ATF SAC Ferguson made the announcement today. Valuable assistance was provided by the Federal Bureau of Investigation and the Holyoke Police Department. Assistant U.S. Attorney Steven H. Breslow of Rollins’ Springfield Branch Office is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Grand Jury Charges Eight People in Spring Hill-Based Crestar Labs, LLC Medicare & Medicaid Fraud ConspiracyRead the Press Release
NASHVILLE – A federal grand jury in Nashville on Monday returned a 40-count second superseding indictment, charging eight people in a Medicare and Medicaid fraud conspiracy, announced U.S. Attorney Mark H. Wildasin for the Middle District of Tennessee.
The indictment was unsealed earlier today, following the arrests of five of those charged. Three others were arrested previously following earlier indictments.
Fadel Alshalabi, 54, of Waxhaw, North Carolina, was originally charged in July 2021, with conspiracy and violation of the Anti-Kickback Statute for his role in orchestrating a fraudulent Medicare and Medicaid billing scheme related to genetic testing. Alshalabi is the owner and Chief Executive Officer of a series of laboratories based in Spring Hill, Tennessee, called Crestar Labs, LLC (Crestar). Monday’s second superseding indictment charges Alshalabi and seven others with health care fraud, conspiracy to commit health care fraud, and conspiracy to violate and violations of the Anti-Kickback Statute. Alshalabi is also charged with money laundering.
Others charged in the second superseding indictment are Edward D. Klapp, 63, of Jupiter, Florida, the former Vice President of Sales for Crestar; Melissa L. Chastain, 57, of Belton, South Carolina, the owner and Chief Executive Officer of Genetix LLC, a marketing company that contracted with Crestar; Roger Allison, 64, of Greenville, South Carolina, the President of Genetix; Dakota White, 28, of Easley, South Carolina, the former Director of Client Services and Vice President of Operations for Crestar; Robert Alan Richardson, 53, of Silver Spring, Maryland, a principal of Freedom Medical Labs, LLC, a marketing company that contracted with Crestar; Edward Burch, 53 of Rockville, Maryland, also a principal of Freedom Medical Labs, LLC; and Samuel Harris, 27, of Salt Lake City, Utah, the owner of Secure Health, also a marketing company that contracted with Crestar. Edward Klapp and Lisa Chastain were originally charged in a first superseding indictment in October 2021.
The second superseding indictment alleges that the co-conspirators entered into sham contracts and paid kickbacks in exchange for genetic testing and urine analysis samples. This included targeting and recruiting elderly patients who were federal health care program beneficiaries in order to obtain their genetic material for conducting genetic tests. Marketers, who were not health care professionals, obtained swabs from the mouths of the patients at nursing homes, senior health fairs, and elsewhere. The tests were then purportedly approved by telemedicine doctors who did not engage in the treatment of the patients, and often did not even speak with the patients for whom they ordered tests. Frequently, the patients or their treating physicians never received the results of the tests. Alshalabi and the co-conspirators paid illegal kickbacks and bribes in exchange for the doctor’s orders and tests, without regard to medical necessity. During the period of 2016 to July 2021, Alshalabi and his co-conspirators billed Medicare and Medicaid over $150 million.
If convicted, Alshalabi faces up to 10 years on the money laundering charges, and all defendants face up to 10 years in prison on the health care fraud and Anti-Kickback Statute charges, and up to 5 years on the charge of conspiracy to violate the Anti-Kickback Statute.
This case is being investigated by the U.S. Department of Health and Human Services, Office of Inspector General, and the FBI, with the assistance of state partners including the Georgia Attorney General’s Office, Georgia Medicaid Fraud Control Unit, and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit, as well as federal law enforcement partners and U.S. Attorney’s Offices in multiple districts, including in the Western District of North Carolina, Northern District of Georgia, District of South Carolina, and the Western District of Kentucky. Assistant U.S. Attorneys Sarah K. Bogni and Robert S. Levine are prosecuting the case.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty in a court of law.
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Georgia Man Sentenced to 20 Years for Trafficking Methamphetamine into Smyth CountyRead the Press Release
ABINGDON, Va.– A Georgia man, who was convicted in February 2022 for conspiring to traffic methamphetamine from Georgia into Southwest Virginia, was sentenced to 20 years in federal prison.
Jerada “Rod” Henderson, 40, of Locust Grove, Georgia, was convicted by a jury in February 2022 on one count of conspiracy to distribute methamphetamine and one count of possession with intent to distribute 50 grams or more of methamphetamine, a Schedule II controlled substance.
Henderson was arrested by the Smyth County Sheriff’s Office in October 2018 after law enforcement executed a search warrant on a home in Saltville, Virginia. Law enforcement found Henderson in the home, owned by Henderson’s co-conspirators, along with over 450 grams of crystal methamphetamine, a firearm, and ammunition.
United States Attorney Christopher R. Kavanaugh of the Western District of Virginia and Charlie J. Patterson, Special Agent in Charge of ATF’s Washington Field Division announced the conviction today.
The investigation was conducted by the Smyth County Sheriff’s Office, the Virginia State Police, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Assistant U.S. Attorney Daniel J. Murphy prosecuted the case.
Four Individuals Charged in Conspiracy to Traffic Cocaine and FentanylRead the Press Release
Tampa, Florida –United States Attorney Roger B. Handberg announces the unsealing of an indictment charging Arnulfo Rodriguez-Munoz, (41, Fort Worth, TX), Enrique Velasquez (43, Dallas, TX), Heriberto Castillo, (44, Denton, TX), and David Ceballos (27, Alvarado, TX) with conspiracy to distribute and possess with the intent to distribute cocaine and fentanyl. If convicted on all counts, each faces a mandatory minimum sentence of 10 years, and up to, life in federal prison. The indictment also notifies that the United States intends to any assets which are alleged to be traceable to proceeds of the offense.
According to the indictment, from at least April 2021 through October 2021, the individuals conspired to distribute cocaine and fentanyl throughout the Middle District of Florida.
This case is being investigated by the Drug Enforcement Administration as part of the Organized Crime Drug Enforcement Task Force (OCDETF), which identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. It is being prosecuted by Assistant United States Attorneys Michael R. Kenneth and Diego F. Novaes.
Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
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.
Four Defendants Indicted in Little Rock Mail TheftRead the Press Release
LITTLE ROCK—Four defendants have been indicted for their alleged involvement in stealing mail from mail receptacles. Byrannia Burks, 20, James Miller, 26, Kobe Powell, 24, and Eshawn Tucker, 21, all of Little Rock, have been charged by a grand jury with possession of stolen mail. Tucker and Burks were also charged with unlawful possession of a mail receptacle key.
Miller, Powell, and Tucker were all previously charged in criminal complaints filed July 18. All three, along with Burks, were subsequently indicted. Powell appeared in court today, and Miller, Tucker, and Burks will be arraigned by United States Magistrate Judge J. Thomas Ray later this month.
“The U.S. Postal Inspection Service will spare no effort to solve crimes affecting the U.S. Mail, the Post Office and its customers,” said Thomas Noyes, Inspector in Charge of the Fort Worth Division. “It’s unfortunate when mail thefts occur, but these arrests reflect the ongoing efforts and resolve Postal Inspectors maintain to arrest those responsible. We thank our federal, state and local law enforcement partners for their assistance, in addition to the U.S. Attorney’s Office for their commitment to prosecuting cases of this nature.”
“The Secret Service along with our partners in federal and local law enforcement remain committed to aggressively defending and protecting individuals, companies and other entities from criminal actors that steal, defraud and wreak havoc on so many across the country,” said Special Agent in Charge Allen Bryant of the U.S. Secret Service Little Rock Field Office. “The Secret Service believes that building trusted partnerships between all levels of law enforcement is a proven model for success in prosecuting these types of cases, and we thank the United States Postal Inspection Service, the Little Rock Police Department, the Arkansas State Police, and the U.S. Attorney’s Office for their dedication to this important mission.”
“Collectively, members of our Financial Crimes Unit, U.S. Postal Inspection Service, and Secret Service have been able to identify, disrupt and now federally indict those taking the opportunity to steal from locations deemed impenetrable by society,” stated Little Rock Police Department Assistant Chief Wayne Bewley. “The Little Rock Police Department values the working relationship with our federal partners, and these indictments display the work of many collaborative efforts.”
If convicted, each defendant faces potential penalties for possession of stolen mail of not more than five years imprisonment and for unauthorized possession of a mail receptacle key of not more than 10 years imprisonment. All charges carry a fine of not more than $250,000 and not more than three years of supervised release.
The case is being investigated by the United States Secret Service, the United States Postal Inspection Service, Arkansas State Police, and the Little Rock Police Department. An indictment only contains allegations. A defendant is presumed innocent unless and until proven guilty.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Former teacher admits possessing child pornographyRead the Press Release
BILLINGS — A former Judith Gap School teacher today admitted to possessing child pornography after Facebook submitted tips about the possible transmission of the material on its system to authorities, U.S. Attorney Jesse Laslovich said.
Jayson Gayo, 27, of Harlowton, pleaded guilty to possession of child pornography as charged in an indictment. Gayo faces a maximum of 20 years in prison, a $250,000 fine and five years of supervised release.
U.S. District Judge Susan P. Watters presided. Judge Watters set sentencing for Dec. 15 and ordered Gayo remanded into custody pending further proceedings. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The government alleged in court documents and in court that in August 2020, Facebook submitted a series of Cybertips after flagging the possible transmission of child pornography on its system. The information indicated that the transmission of child pornography was from an account that was connected to the Judith Gap School and to Gayo’s residence in Judith Gap. Gayo was a teacher at Judith Gap School. There was no indication that the images or Gayo’s conduct involved students at the school. Investigators executed a search warrant of Gayo’s residence, collected multiple electronic media items and determined that the items contained more than 400 images and videos of child pornography. A search warrant issued to Facebook for Gayo’s account found additional evidence of uploads of child pornography from that account.
Assistant U.S. Attorney Zeno B. Baucus is prosecuting the case, which was investigated by Homeland Security Investigations and the Montana Division of Criminal Investigation.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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Former U.S. Postal Service worker pleads guilty to scheme to deliver drugs through the mailRead the Press Release
ATLANTA – Former mail carrier Robert Elliott Sheppard has pleaded guilty to drug trafficking charges for recruiting fellow mail carriers to deliver packages of controlled substances while he was on disability leave.
“Postal carriers occupy a position of trust in our communities and Sheppard violated that trust by exploiting his role as a mail carrier to traffic kilogram amounts of cocaine as well as marijuana,” said U.S. Attorney Ryan K. Buchanan. “Sheppard’s conduct is especially egregious because he recruited other postal carriers to participate in his criminal scheme once he was on disability leave. His conduct and greed potentially exposed countless innocent postal workers and the public to dangerous drugs and to the violence that these crimes frequently cause.”
“Sheppard’s greed taints the public’s trust in U.S. Postal Service employees, the majority of whom are hard-working and trustworthy individuals dedicated to delivering mail safely throughout our communities,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “The FBI wants it to be clear that public corruption remains our number one criminal program priority and, as such, we have dedicated significant resources toward the identification, investigation, and prosecution of any individuals involved in similar such conduct.”
“We appreciate the outstanding effort by both the investigative and legal teams,” said Special Agent in Charge Scott Pierce, USPS Office of Inspector General, Southern Area Field Office. “The vast majority of Postal Service employees are honest, hardworking individuals who would never dream of violating the public trust in this manner. An employee who decides otherwise, however, will be aggressively investigated by OIG special agents. This case serves as an excellent example of the successful collaboration between the USPS OIG, our federal and state law enforcement partners, and the U.S. Attorney’s Office to pursue and prosecute Postal Service employees involved in criminal activity.”
“Sheppard enlisted the help of two co-workers to smuggle drugs through the United States Postal system, entangling them in a drug conspiracy and furthering dangerous criminal activity. They have been brought to justice. It is now Sheppard’s time to be held accountable for his selfish actions. The DeKalb County District Attorney’s Office will continue to work with its law enforcement partners to ensure public officials like Sheppard will be brought to justice,” said DeKalb County District Attorney Sherry Boston.
According to U.S. Attorney Buchanan, the charges and other information presented in court: In 2014, Sheppard worked as a U.S Postal Service (USPS) mail carrier. In exchange for bribes, he used his position to deliver five-pound packages of drugs through the U.S. mails to Dexter Frazier, a local drug trafficker who sold cocaine and marijuana.
In 2016, Frazier approached Sheppard about delivering additional drug packages. Sheppard was on disability leave from the USPS at that time and unable to intercept and deliver packages. So Sheppard offered to recruit other mail carriers to deliver drugs for Frazier if Frazier paid Sheppard referral fees consisting of a mix of cash and marijuana. Frazier agreed.
Sheppard then contacted two coworkers, Tonie Harris and Clifton Lee. Sheppard explained to Harris and Lee that in exchange for payment, Frazier needed them to deliver packages of drugs. Sheppard instructed Harris and Lee how to arrange the deliveries to avoid detection. Harris and Lee agreed to participate in the scheme after which Sheppard gave their phone numbers to Frazier. Frazier then coordinated the illegal deliveries with Harris and Lee. Harris and Lee each delivered three packages for Frazier believing they contained two kilograms of cocaine or 10 pounds of marijuana.
Robert Elliott Sheppard, 60, of East Point, Ga., has pleaded guilty to charges of conspiracy to possess with intent to distribute cocaine and marijuana and unlawfully using the mail to commit that crime. Sentencing for Sheppard is scheduled for November 3, 2022.
Other participants in the scheme previously pleaded guilty and received the following sentences imposed by U.S. District Judge Steve C. Jones:
- Dexter Bernard Frazier, a/k/a “Dec,” 60, of Fairburn, Georgia, was sentenced on June 13, 2018, to nine years in prison to be followed by 10 years of supervised release. He was also ordered to pay restitution in the amount of $10,700. Frazier pleaded guilty to the offense of attempt to distribute cocaine and marijuana on March 6, 2018.
- Clifton Curtis Lee, a/k/a “Cliff,” 46, of Lithonia, Georgia, a letter carrier assigned to the Sandy Springs Post Office, was sentenced on June 18, 2018, to three years, 10 months in prison to be followed by three years of supervised release. He was also ordered to pay restitution in the amount of $1,800. Lee pleaded guilty to the offenses of attempt to distribute cocaine and bribery of public officials on February 28, 2018.
- Tonie Harris, 59, of Decatur, Georgia, a letter carrier assigned to the Sandy Springs Post Office, was sentenced on August 14, 2018, to three years, one month in prison to be followed by four years of supervised release. He was also ordered to pay restitution in the amount of $1,450. Harris pleaded guilty to the offenses of attempt to distribute cocaine and marijuana and bribery of public officials on March 20, 2018.
This case is being investigated by the Federal Bureau of Investigation, the U.S. Postal Service Office of Inspector General, and the DeKalb County District Attorney’s Office.
Assistant U.S. Attorney Garrett L. Bradford, Deputy Chief of the Public Integrity and Special Matters Section, is prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
or further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Sanger Police Officer Charged with Sexually Assaulting Multiple Victims While on DutyRead the Press Release
A federal grand jury returned a 10-count indictment that was unsealed today charging a former Sanger Police Department officer with deprivation of constitutional rights under color of law for sexually assaulting four women with whom he interacted during the course of his duties.
According to the indictment, on multiple occasions from August 2017 to June 2021, J. DeShawn Torrence, 38, of Corcoran, California, engaged in various forms of nonconsensual sexual conduct, ranging from directing a victim to remove her clothing without a legitimate law enforcement purpose to forcing his victims to engage in sex acts, all while serving as a police officer. Torrence is no longer employed by the Sanger Police Department.
Four of the charged counts alleged each carries a maximum statutory penalty of life in prison and a $250,000 fine. One count carries a maximum statutory penalty of 10 years. The remaining five counts each carry a maximum statutory penalty of one year in prison and a fine of up to $100,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Anyone with information is encouraged to contact the FBI at 916-746-7000.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Phillip A. Talbert for the Eastern District of California and Acting Special Agent in Charge Dennis Guertin of the FBI Sacramento Field Office made the announcement.
This case is being investigated by the FBI Sacramento Field Office with assistance from the Fresno County Sheriff’s Office.
Special Litigation Counsel Fara Gold of the Criminal Section of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Karen Escobar are prosecuting the case.
Former Sanger Police Officer Charged with Multiple Civil Rights Violations Involving Sexual AssaultRead the Press Release
FRESNO, Calif. — A federal grand jury returned a 10-count indictment that was unsealed today charging a former Sanger Police Department officer with deprivation of constitutional rights under color of law for sexually assaulting four women with whom he interacted during the course of his duties.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney Phillip A. Talbert, and Acting Special Agent in Charge Dennis Guertin of the FBI Sacramento Field Office made the announcement.
According to the indictment, on multiple occasions from August 2017 to June 2021, J. Deshawn Torrence, 38, of Corcoran, California, engaged in various forms of nonconsensual sexual conduct, ranging from directing a victim to remove her clothing without a legitimate law enforcement purpose to committing aggravated sexual abuse, all while serving as a police officer. Torrence is no longer employed by the Sanger Police Department.
This case is being investigated by the FBI Sacramento Field Office with assistance from the Fresno County Sheriff’s Office. Special Litigation Counsel Fara Gold of the Criminal Section of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Karen Escobar are prosecuting the case.
Four of the charged counts alleged each carries a maximum statutory penalty of life in prison and a $250,000 fine. One count carries a maximum statutory penalty of 10 years in prison. The remaining five counts each carry a maximum statutory penalty of one year in prison and a fine of up to $100,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former San Angelo Police Chief Sentenced to 15 ½ Years in Corruption CaseRead the Press Release
Former San Angelo Chief of Police Tim Vasquez was sentenced today to 15 ½ years in federal prison for accepting bribes, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
A federal jury found Timothy Ray Vasquez, 52, guilty of one count of receipt of a bribe by an agent of an organization receiving federal funds and three counts of honest services mail fraud in March after three days of trial. Mr. Vasquez – who was elected Chief of Police in 2004, then reelected in 2008 and 2012 – was first indicted in January 2020. He was sentenced today by U.S. District Judge James Wesley Hendrix, who also ordered him to pay a $35,000 fine.
“Law enforcement officers, particularly those in leadership positions, should be bastions of integrity. By accepting bribes, Mr. Vasquez defiled his badge,” said U.S. Attorney Chad Meacham following the verdict. “The Justice Department is determined to root out public corruption wherever we find it. Our citizens deserve honest public servants.”
“Mr. Vasquez will now be held accountable for using his official position for financial gain at the expense of the residents of San Angelo. Each act of greed and dishonor affected fundamental aspects of the government processes and procedures that were designed to benefit the people they serve,” said Dallas FBI Special Agent in Charge Matthew J. DeSarno. “Our communities should not have to question the integrity and trust of public officials, and today’s verdict is a step in restoring that confidence.”
According to evidence presented at trial, Mr. Vasquez used his official position to help Dailey & Wells Communications, Inc., a radio system vendor, land a $5.7-million-dollar contract with the City of San Angelo, Texas. In return, Dailey & Wells and its affiliates funneled Mr. Vasquez and his band, “Funky Munky,” more than $175,000. Dailey & Wells and its affiliates also provided him tickets for luxury suites at Dallas Cowboys and San Antonio Spurs games, tickets for a luxury suite at Journey concert, and free use of a luxury condominium at Alteza Condos in San Antonio.
Mr. Vasquez never disclosed to the City of San Angelo or the City Council that he had a business relationship with Dailey & Wells. The Texas Local Government Code, the City of San Angelo Employee Manual, and the San Angelo Purchasing Policy Manual all required Mr. Vasquez to disclose this relationship.
In February 2007, the City of San Angelo solicited bids for a new radio system for first responders, including the police department. In April, a committee recommended the city award the $5.6 million contract to Dailey & Wells, which was eventually selected for the contract.
Three months later, in July, Juniper Valley, L.P., an affiliate of Dailey & Wells, cut a $10,000 check to “Funky Munky Band.” Mr. Vasquez deposited the funds into his personal checking account. For the next eight years, Mr. Vasquez received yearly payments of approximately $8,000 from Dailey & Wells or its affiliates, Buster & Buddy and Trixie & Fini, either made out to Mr. Vasquez or his band. Testimony at trial revealed that Funky Munky’s average fee to play at an event was about $2,000. By June 2, 2015, Mr. Vasquez and Funky Munky had collected more than $84,000.
In 2014 and 2015, Dailey & Wells contacted the City of San Angelo about updating its radio system from a proprietary EDACS system, which was in the process of being phased out, to a P25 Phase II system. When the City’s IT Manager told Mr. Vasquez of the estimated cost of $6 million dollars and that it would have to go through the bidding process, Mr. Vasquez told the IT Manager they were not going through the bidding process and were going to continue to use Dailey & Wells. Mr. Vasquez suggested that the IT Manager use a public safety exception to avoid the bidding process and the IT Manager agreed. Ultimately, a purchasing cooperative was used to purchase the Dailey & Wells system.
Mr. Vasquez contacted a San Angelo City Councilmember and lobbied her to place the Dailey & Wells contract on the City Council’s agenda. Mr. Vasquez advocated for the Dailey & Wells contract before the City Council on December 16, 2014, and June 2, 2015.
Six people who were city council members at the time testified that Mr. Vasquez had significant influence with the City Council and it relied upon his advice in public safety matters. All six stated that they did not know Mr. Vasquez had a business relationship with Dailey & Wells before the vote on June 2, 2015. Five of those former city council members testified that if they had known that fact they would have voted against awarding the contract to Dailey & Wells. Two of the former city council members stated that if they had known of the payments then they would have disqualified Dailey & Wells from being a radio vendor to the city.
Following a presentation made by then-Chief Vasquez and another employee, San Angelo awarded a new $5.7 million contract to Dailey & Wells in late 2015.
In November 2016, Mr. Vasquez became aware that he was under investigation for the radio contract with Dailey & Wells. About one month later, Dailey & Wells wrote a $50,000 retainer check to “Funky Munky,” noting “Timothy R. Vasquez” in the check’s memo section. A few days later, Mr. Vasquez endorsed the $50,000 check and deposited the entire amount into his personal bank account.
In total, Mr. Vasquez, through Funky Munky, received at least $175,000 from Dailey & Wells and its affiliates.
The Federal Bureau of Investigation, the Tom Green County Sheriff’s Office, and the Texas Rangers conducted the investigation with the full cooperation of the San Angelo Police Department and the City of San Angelo. Assistant U.S. Attorneys Jeff Haag, Sean Long, and Juanita Fielden are prosecuting the case.
Former Real Estate Developer Sentenced to More Than 5 Years in Fraud Scheme Involving Daufuskie Island ResortRead the Press Release
CHARLESTON, SOUTH CAROLINA James Thomas Bramlette, 42, of Salt Lake City, Utah, was sentenced to more than five years in federal prisons after pleading guilty to wire and tax fraud.
Evidence presented to the Court showed that Bramlette and his co-conspirators raised over $10 million from investors to develop Melrose Resort on Daufuskie Island, knowing the resort was in dire financial condition and subject to foreclosure by the original lender. Bramlette and his co-conspirators repeatedly told investors their funds were being used to develop the resort when, in reality, the funds were used to pay the original lender not to foreclose, pay previous investors, and to pay employees, utilities, and taxes at the resort. Bramlette also used at least $1.8 million from investors for personal use and to live a lavish lifestyle.
“Mr. Bramlette’s prison sentence reflects the seriousness of his offense and the United States Attorney’s Office’s dedication to deterring fraud,” said U.S. Attorney Adair F. Boroughs. “This office will continue to prosecute those who cheat their fellow citizens and steal federal tax dollars.”
Concerning the wire fraud charge, in September 2016 Melrose Resort owed more than $500,000 in past due property taxes. The Beaufort County Treasurer’s Office notified Bramlette that the resort would be auctioned at a tax sale if the property taxes were not paid. In order to prevent the resort from being sold at the tax sale, Bramlette created a fake wire receipt that falsely represented that Melrose Resort had wired money to the Beaufort County Treasurer’s Office to pay the property taxes.
“Instead of being truthful about the continued financial problems at Melrose Resort, Bramlette defrauded investors and misled others who had interests in the property,” said Susan Ferensic, Special Agent in Charge of the FBI Columbia Field Office. “With this sentence, he will pay the consequences in prison and will no longer be able to continue his lavish lifestyle at the expense of those who put their trust in him.”
As to tax fraud charge, Bramlette was required to collect and pay federal payroll taxes from the wages of all employees at Melrose Resort. Bramlette collected payroll taxes from the employees, but he failed to turn over these taxes to the IRS. In total, Bramlette failed to turn over to the IRS approximately $1 million in payroll taxes.
"Employment tax evasion results in the loss of tax revenue to the United States Government.” stated Donald “Trey” Eakins, Internal Revenue Service (IRS) Special Agent in Charge, Charlotte Field Office. "Failure to pay over withheld taxes is a serious offense. Corporate executives have a responsibility to withhold income taxes for their employees and then remit those taxes to the IRS. IRS Criminal Investigation will vigorously pursue anyone who collects these taxes and uses the funds for their own personal gain."
United States District Judge Richard M. Gergel sentenced Bramlette to 63 months in federal prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the FBI and the IRS. Assistant U.S. Attorney Amy Bower prosecuted the case.
Former Postal Employee Charged with Embezzling the MailRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that KEISHAN WILSON, age 38, of New Orleans, Louisiana, was indicted on August 4, 2022 for embezzling the mail.
According to documents filed in federal court, WILSON was employed by the United States Postal Service as a mail handler at the processing center in New Orleans when she was apprehended stealing the content of mail items she was entrusted to handle for the Postal Service.
The maximum penalty for the offense is five years imprisonment and/or a fine of $250,000 or the greater of twice the gross gain to the defendant or twice the gross loss to the victim followed by up to three years of supervised release, and a mandatory special assessment fee of one hundred dollars.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the United States Postal Service, Office of the Inspector General in investigating this matter. Assistant United States Attorney Richard R. Pickens, II is in charge of the prosecution.
Former Massachusetts Assistant Chief Probation Officer Sentenced to 17 Years in Prison for Sexually Exploiting a ChildRead the Press Release
BOSTON – A former Assistant Chief Probation Officer for Lynn District Court was sentenced in federal court today in connection with child exploitation offenses.
Brian Orlandella, 49, of Beverly, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 17 years in prison and five years of supervised release. Orlandella was also ordered to pay a $5,000 special assessment to the Justice for Victims of Trafficking Act. On April 20, 2022, Orlandella was convicted following a six-day jury trial of one count of sexual exploitation of a child and one count of transfer of obscene material to a minor.
“Mr. Orlandella took advantage of a vulnerable, 13-year-old girl – he sent sexually explicit material to her and coerced her into producing obscene content through an anonymous social media profile. In his day-to-day life, Mr. Orlandella held himself out to be a trusted member of the law enforcement community, but that couldn’t be farther from the truth,” said United States Attorney Rachael S. Rollins. “The sexual exploitation of children is an offense that will never be tolerated in my office. We are committed to working with our law enforcement partners to prosecute predators and bring treatment, services and justice to our victims.”
“Orlandella knowingly preyed upon a child, sending her explicit videos and directing her to reciprocate. The internet and social media are an integral part of everyday life for our children, and knowing that predators like Orlandella are lurking online is every parent’s worst nightmare. Today’s sentence underlines that the exploitation of children will not be tolerated and that the consequences are serious,” said Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England. “HSI is committed to using our unique investigative abilities to search the darkest parts of the internet to find predators like Orlandella and bring them to justice.”
In May 2018, a mother in Texas contacted local police about messages she found on her 13-year-old daughter’s cell phone between her daughter and an adult man, later identified as Orlandella. In the messages, sent via the Kik mobile application, Orlandella sent the victim images of himself masturbating and directed her to send him sexually explicit pictures and videos of herself. The 13-year-old victim told him she was 14 years old, and he acknowledged that he was much older than she was.
The Kik account’s IP address was traced to Orlandella’s residence in Massachusetts. During a search of his residence, two of Orlandella’s phones were seized, one of which contained evidence tying Orlandella to the Kik account that was used to procure sexually explicit imagery from the underage victim. During an on-site interview at his home, Orlandella admitted that he had used Kik and was the person depicted in the obscene videos recovered from the child’s phone.
U.S. Attorney Rollins and HSI SAC Millhollin made the announcement today. Valuable assistance was provided by the Port Neches (Texas) Police Department. Assistant U.S. Attorneys Anne Paruti, Chief of Rollins’ Major Crimes Unit, and Adam W. Deitch, of Rollins’ Public Corruption & Special Prosecutions Unit, prosecuted 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 U.S. Attorneys’ offices and 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 via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.projectsafechildhood.gov.
Former Denver County Deputy Sheriff Sentenced to 51 Months in Prison for Aiding Drug TraffickingRead the Press Release
Denver – The United States Attorney’s Office for the District of Colorado announces Sylvia Montoya, aka Sylvia Dominguez, age 49, of Lakewood, Colorado, was sentenced to 51 months in prison after earlier pleading guilty to maintaining a residence for the purpose of distributing illegal narcotics.
According to the plea agreement, on March 6, 2019, the defendant’s vehicle was being driven by her associate and co-defendant, when it was stopped by an Aurora Police Officer for a window tint violation. After a K-9 positively alerted to the odor of narcotics, the defendant’s vehicle was seized pending the issuance of a search warrant. Inside the glovebox of the vehicle, officers found a stolen, loaded handgun, a digital scale with residual cocaine powder, 8 grams of methamphetamine, and 1.64 grams of cocaine.
Denver Police detectives had been separately investigating the defendant due to her employment as a Denver Sheriff’s deputy and had observed the defendant and her co-defendant together on several occasions.
On March 28, 2019, Denver police officers saw the defendant drive away from a Lakewood apartment with her co-defendant in the passenger seat. Officers stopped the vehicle and arrested the passenger on an outstanding warrant for firearm and drug possession. A search located three cell phones, $3,150 cash, and a key to the apartment. A K-9 alerted to the presence of narcotics within the vehicle and officers searched the passenger compartment. Inside the center console of the vehicle, they found a clear plastic baggie containing a white powdery residue and $3,000 cash. The defendant stipulates the $3,000 cash seized was proceeds from the sale of drugs.
Denver Police detectives then obtained a search warrant for the defendant’s apartment. They discovered 102 grams of cocaine, 8 grams of heroin, 27 grams of methamphetamine, four digital scales, $1,342 cash, a dinner plate with suspected cocaine residue, and drug paraphernalia.
U.S. District Court Judge William J. Martinez sentenced Montoya on August 5, 2022.
“It is the actions of people like the defendant that make it harder for those in law enforcement for the right reasons to do their jobs and gain the public’s trust,” said U.S. Attorney Cole Finegan. “This sentence should make clear to the community that no one is above the law.”
This case was investigated by the Denver Police Department. Assistant U.S. Attorney Celeste Rangel prosecuted the case.
Case number: 19-cr-00264
Federal Grand Jury A Indictments Announced- August 2022Read the Press Release
United States Attorney Clint Johnson today announced the results of the August 2022 Federal Grand Jury A.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Riley Joseph Blackwell; Kimberly Dawn Smith. Assault of an Intimate/Dating Partner by Strangling, Suffocating, and Attempting to Strangle and Suffocate in Indian Country; Tampering with a Witness, Victim, and Informant by Intimidation, Threats, and Corrupt Persuasion; Conspiracy to Tamper with a Witness, Victim, and Informant; Tampering with a Witness, Victim, and Informant by Corrupt Persuasion; Tampering with a Witness, Victim, and Informant by Engaging in Misleading Conduct. Blackwell, 20, of Tulsa, allegedly strangled and suffocated an intimate partner on July 10, 2022. Blackwell is also charged with using intimidation and threats to prevent the victim from communicating with law enforcement about the abuse. From July 11, 2022, through the date of the indictment, Blackwell and Smith, 41, of Broken Arrow, conspired together to mislead, influence, and prevent the victim from participating in an official proceeding and to have the victim withhold information to be used in the proceeding. They also attempted to mislead an FBI agent during the investigation. Smith is Blackwell’s mother. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney George Jiang is prosecuting the case. 22-CR-231
Daniel Donalson. Felon in Possession of a Firearm and Ammunition. Donalson, 35, is charged with being a felon in possession of a Romanian WASR-10 7.62x39 caliber semi-automatic rifle and 44 rounds of ammunition. U.S Immigration and Customs Enforcement’s Homeland Security Investigations and Muscogee Nation Lighthorse Tribal Police Department are the investigative agencies. Assistant U.S. Attorney Shakema M. Onias is prosecuting the case. 22-CR-245
Dewayne Dudley. Deprivation of rights Under Color of Law; Obstruction. Former private prisoner officer Dewayne Dudley, 55, of Claremore, is charged with sexually assaulting a male pretrial detainee during a prisoner transport and later lying to the FBI. According to the indictment, at the time of the alleged crime, Dudley worked as a private prisoner transport officer for Blue Raven Services, a company that was hired by local jails and prisons throughout the country to transport people who had been arrested pursuant to out-of-state warrants and needed to be transported back to the states that had issued the warrants. Dudley is alleged to have sexually assaulted the victim, violating the victim’s civil rights. Dudley is further charged with obstruction for lying to an FBI special agent about making two unofficial stops while transporting the victim. In a detention hearing, the FBI agent described two sexual assaults that allegedly occurred using violence and intimidation. On Thursday, a U.S. Magistrate Judge ordered that Dudley be detained as his case moves through the federal court system. The case is being investigated by the FBI Oklahoma City Field Office. Special Assistant U.S. Attorney Clay Compton for the Northern District of Oklahoma and Trial Attorney Laura Gilson of the Justice Department’s Civil Rights Division are prosecuting the case. SAUSA Compton is the Civil Rights Coordinator for the Eastern and Northern Districts of Oklahoma. 22-CR-227
Alexis Danielle Flanner. First Degree Murder in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence. Flanner, 23, of Tulsa, is charged with the first degree murder of her sister-in-law Estrella Mendoza. Flanner shot and killed Mendoza at a QuickTrip just after 10:30 pm on July 7, 2022. She is also alleged to have pointed the firearm at a minor sometimes after the shooting. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Aaron M. Jolly is prosecuting the case. 22-CR-238
Matthew Adam Gentry. Robbery in Indian Country. Gentry, 30, of Tulsa, is charged with stealing a bicycle from the victim by using violence and intimidation on July 13, 2022. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 22-CR-237
Shawn Christopher Harper. Child Abuse in Indian Country (Counts 1,2). Harper, 30, of Chelsea, is charged with abusing a young child on Sept. 20, 2020. Harper is further charged with abusing a second child on March 7, 2021. The FBI is the investigative agency. Assistant U.S. Attorney Stephanie Ihler is prosecuting the case. 22-CR-246
Kelsie Marie Higgins. Robbery in Indian Country. On June 30, 2022, Higgins, 27, of Skiatook, aided and abetted another individual in a robbery where the victim’s cash was stolen. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Thomas E. Buscemi is prosecuting the case. 22-CR-247
Gerardo Simon-Hipolito. Unlawful Reentry of a Removed Alien. Simon-Hipolito, 32, a Mexican national, is charged with reentering the United States after having been removed on Feb. 11, 2015, at or near Del Rio, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 22-CR-254
Gaven Dean Jones. Assault Resulting in Serious Bodily Injury in Indian Country (Count 1); Witness Tampering by Misleading Conduct (Count 2); Contempt of Court(Counts 3-13) (superseding). On April 23, 2022, Jones allegedly assaulted a victim resulting in serious bodily injury. He further engaged in misleading conduct toward the victim from April 23, 2022, to May 13, 2022, in an effort to influence, delay and prevent her testimony in an official proceeding. Finally, he is charged with 11 counts of contempt of court. From May 25, 2022, through July 19, 2022, Jones allegedly messaged the victim once, telling her he wanted to be a couple again, then contacted her in person on 10 other occasions. These acts violated the pre-trial conditions of release that were ordered by a federal judge regarding the abuse alleged in the indictment. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Stacey P. Todd is prosecuting the case. 22-CR-152
Justin Wade Malone; Devon Marie Lorocca. Second Degree Murder in Indian Country; Causing Death by Using and Discharging a Firearm During and in Relation to a Crime of Violence. Malone, 38, and Larocca, 36, both of Tulsa, are charged with aiding and abetting one another in the second degree murder of Cristian Amaya Valesquez. The two defendants are responsible for shooting the victim, causing his death. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorneys Nathan E. Michel and Ryan H. Heatherman are prosecuting the case. 22-CR-235
Carlos Mendez-Velazquez. Possession of an Unregistered Rifle Having a Barrel of Less Than 16 Inches in Length. Mendez-Velazquez, 38, of Paris, California, is charged with knowingly possessing an Anderson Manufacturing AM-15 multi-caliber semi automatic rifle that had a barrel of less than 16 inches in length and was not registered to him in the National Firearms Registration and Transfer record. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Oklahoma Highway Patrol are the investigative agencies. Assistant U.S. Attorneys Robert T. Raley and Leah D. Paisner are prosecuting the case. 22-CR-234
Isaiah Blaine Ousely. Carjacking; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence. On July 13, 2022, Ousley, 18, of Tulsa, allegedly pointed a firearm at a woman and demanded her keys when he stole her 2018 Ford Focus. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Nathan E. Michel is prosecuting the case. 22-CR-233
Lauryn Donye Robbins. Felon in Possession of a Firearm. Robbins, 25, of Tulsa, is charged with being a felon in possession of a Glock 9 mm caliber semi-automatic pistol. Robbins was previously convicted in Tulsa County District Court of drug, gang, and firearms related offenses. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney John E. Brasher is prosecuting the case. 22-CR-249
Jose Pedro Rodriguez-Ontiveros. Unlawful Reentry of a Removed Alien. Rodrigues-Ontiveros, 37, a Mexican national, is charged with being in the United States unlawfully after having been removed on March 10, 2020, at or near Del Rio, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Thomas E. Buscemi is prosecuting the case. 22-CR-256
Christopher Scott Royce. Felon in Possession of Firearms and Ammunition; Drug Conspiracy; Maintaining a Drug-Involved Premises (superseding). Royce, 42, of Broken Arrow, is charged with being a felon in possession of a Marlin, 30/30 caliber lever-action rifle; a Mauser bolt-action rifle; an Iver Johnson .22 caliber bolt-action rifle; a Ruger .22 caliber revolver; a Ruger .380 caliber semi-automatic pistol; a Taurus .22 caliber pistol and 22 rounds of ammunition. Royce was previously convicted of six felonies, including three crimes of violence. He is further charged with conspiring to possess with intent to distribute fentanyl. Lastly, he is charged with maintaining a place in Broken Arrow for the purpose of distributing the drug. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Broken Arrow Police Department are the investigative agencies. Assistant U.S. Attorney David A. Nasar is prosecuting the case. 22-cr-163
Jeffrey David Sutton. Assault with Intent to Commit Murder in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country (superseding). Sutton, 54, of Mounds, is alleged to have intentionally shot the victim with a firearm on Dec. 2, 2021, with the intent to commit murder and/or to cause bodily harm. The FBI and Tulsa County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorneys Steven J. Briden and Kristin F. Harrington are prosecuting the case. 22-CR-7
Jack Charles Welty. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Assault with Intent to Commit a Felony in Indian Country; Robbery in Indian Country. Welty, 49, of Tulsa, allegedly assaulted a Tulsa store clerk by swinging a knife at the clerk, threatening to gut him, chasing him, and robbing him. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney William Rubens is prosecuting the case. 22-CR-232
Alec Lloyd Wickliffe. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. Wickliffe, 31, of Tulsa, is charged with assaulting the victim multiple times with various items, including a knife, with the intent to do bodily harm from July 15, 2022, to July 24, 2022. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorneys Valeria G. Luster and Gina S. Gilmore are prosecuting the case. 22-CR-257
Chrystian Edward Williams. Receipt and Distribution of Child Pornography; Possession of Child Pornography. Williams, 22, of Miami, is charged with receiving, distributing, and possessing child sexual abuse material. The depictions involved at least one prepubescent minor younger than 12 years of age. The FBI is the investigative agency. Assistant U.S. Attorneys Valeria G. Luster and Edward Snow are prosecuting the case. 22-Cr-250
Chang Xiong Zou. Drug Conspiracy; Smuggling Goods into the United States; Importation of Ketamine. Zou, of Elmhurst, New York, is charged with conspiring with others to smuggle Ketamine into the United States from May 2, 2022, to July 9, 2022. Zou was living in Claremore when he allegedly committed the crimes. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Rogers County Sheriff’s Office, and U.S. Customs and Border Protection are the investigative agencies. Assistant U.S. Attorney Thomas E. Buscemi is prosecuting the case. 22-CR-251
Father and Son Owners of Jacksonville Construction Firms Plead Guilty to Conspiring to Defraud the IRSRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces that Raul Solis has pleaded guilty to conspiring defraud the Internal Revenue Service (IRS) and to unlawfully employ workers who were neither lawfully admitted to, nor authorized to be employed in, the United States. His son, Raul Solis-Martinez pleaded guilty to the same charge on July 27, 2022. Both face a maximum penalty of five years in federal prison. A sentencing date has not yet been scheduled.
According to their plea agreements, Solis and Solis-Martinez owned and operated Solis Brothers Company, LLC and Duval Framing, LLC, which are construction subcontracting companies in Jacksonville, Florida. To illicitly lower labor costs, they conspired with each other (and the owner of another contractor, H&S Framing, LLC) to pay their employees partially “off the books.” By paying employees with a mix of checks and cash, the conspirators avoided withholding the full amount of payroll taxes owed to the IRS. Between 2014 and 2019, Solis and Solis-Martinez’s workers received approximately $22,186,096.35 in wages that were never reported to the IRS and from which no taxes were withheld. This practice led to a loss to the U.S. Treasury of approximately $5,613,082.38.
Further, by misrepresenting how much their employees were working, Solis and Solis-Martinez also defrauded the company that managed their payroll functions, as well as their workers compensation insurer, both of which relied on the conspirators’ false payroll reporting to calculate the cost of their services. In addition, Solis and Solis-Martinez knew that many of their employees had emigrated to the United States illegally or were otherwise not authorized to work here. Some workers had been previously deported from the United States, only to return and work for Solis and Solis-Martinez.
Both have agreed pay restitution to the IRS in the amount of $5,613,082.38.
This case was investigated by the Internal Revenue Service – Criminal Investigation, Homeland Security Investigations, the U.S. Department of Labor – Office of Inspector General, and the Florida Department of Financial Services. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
Eleven indicted for crimes including illegal firearms possessionRead the Press Release
SAVANNAH, GA: Eleven defendants are among those facing federal charges including illegal possession of firearms after separate indictments by a grand jury in the Southern District of Georgia, while recent actions in U.S. District Court include guilty pleas and criminal sentences related to illegal gun possession.
The indicted cases are being investigated as part of Project Safe Neighborhoods in collaboration with federal, state and local law enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the FBI, to reduce violent crime with measures that include targeting convicted felons who illegally carry guns.
“Convicted felons are prohibited from possessing guns, and with our law enforcement partners we are committed to keeping our communities safe from violent crime by holding accountable those who would violate the law,” said David H. Estes, U.S. Attorney for the Southern District of Georgia.
In the past four years, more than 760 defendants have been federally charged in the Southern District of Georgia for illegal firearms offenses – most often for possessing a firearm after conviction for a previous felony.
Defendants named in federal indictments from the August 2022 term of the U.S. District Court grand jury include:
- Omar Lockhart, 34, of Savannah, charged with Bank Robbery for the March 7 robbery of the Synovus Bank on Paulsen Street in Savannah. Lockhart also is charged with Using, Carrying, or Possessing a Firearm During and in Relation to a Crime of Violence; Possession of a Firearm by a Convicted Felon; and Possession of a Stolen Firearm.
- Darnell Dwight Brown, 30, and Corii Arkheem Bussey, 31, both of Augusta, charged with Assaulting, Resisting or Impeding Certain Officers or Employees, and Using, Carrying or Possessing a Firearm During and In Relation to a Crime of Violence. The case involves a Dec. 9, 2021, shootout in which a U.S. Postal Service vehicle was struck by multiple bullets. The mail carrier who was inside the vehicle was not injured.
- Kerry Akeem Milledge, 37, of Savannah, and Antron Ozier Charles, 19, of Pooler, Ga., charged with Possession of Marijuana with Intent to Distribute, and Possession of Firearms in Furtherance of a Drug Trafficking Crime. Milledge also is charged with Possession of a Firearm by a Convicted Felon.
- Zachary Smith, 25, of Savannah, charged with Possession of a Firearm by a Convicted Felon;
- Marshall Lee Cushman, 39, of Augusta, charged with Possession of a Firearm by a Convicted Felon;
- Christopher Fitzgerald Jones, 35, of Augusta, charged with Possession of a Firearm by a Convicted Felon;
- Christopher David Baskett, 46, if Augusta, charged with Possession of a Firearm by a Convicted Felon; and,
- Rondell Smith, a/k/a “Rondal Smith,” 27, of Hephzibah, charged with Possession of a Firearm by a Convicted Felon.
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
Additional defendants recently have been adjudicated on federal charges that include illegal firearms possession:
- Phillip Allen Loughry, 41, of Baxley, Ga., was sentenced to 120 months in prison followed by three years of supervised release after pleading guilty to Possession of a Stolen Firearm. Appling County Sheriff’s deputies charged Loughry after he ran from a December 2020 traffic stop and dropped a pistol as deputies pursued and captured him. Loughry still faces prosecution for related state charges and revocation of prior probationary status in state court.
- Lamar Harris, a/k/a “Foolie,” 21, of Savannah, was sentenced to 62 months in prison followed by three years of supervised release after pleading guilty to Conspiracy to Possess with Intent to Distribute 50 Kilos or More of Marijuana, and Conspiracy to Use, Possess, or Carry Firearms. Harris was one of 29 defendants indicted in December 2020 as part of Operation Deadlier Catch, an investigation into a gang-related drug trafficking network in the greater Savannah area.
- Vesenta Cornelius Watson, 46, of Augusta, was sentenced to 60 months in prison followed by three years of supervised release after pleading guilty to Possession of a Firearm with an Obliterated Serial Number. Watson sped away from an attempted Richmond County Sheriff’s Office traffic stop in November 2021 and threw a duffel bag from the window of his vehicle. After taking Watson into custody, deputies retrieved the bag and found a pistol and illegal drugs inside.
- De’Montre Murray, 22, of Columbia, S.C., was sentenced to 46 months in prison followed by three years of supervised release after pleading guilty to Possession of a Firearm by a Convicted Felon. A four-time convicted felon, Murray was charged after a June 21 chase by Glynn County Sheriff’s deputies and the Georgia State Patrol on Interstate 95 for 57 miles at speeds up to 100 mph. A pistol was discovered in the stolen vehicle Murray was driving.
- Antoine Ladson, 33, of Brunswick, was sentenced to 36 months in prison followed by three years of supervised release after pleading guilty to Possession with Intent to Distribute Fentanyl and Possession of a Firearm by a Convicted Felon. Brunswick Police officers arrested Ladson in January 2021 after finding him in possession of large amounts of drugs, cash and a pistol while loitering near a liquor store.
- Akil Shawron Brown, 21, of Savannah, was sentenced to 16 months in prison followed by three years of supervised release and fined $1,000 after pleading guilty to Receipt of a Firearm by a Person Under Indictment. Savannah Police officers charged Brown, who was out on bond pending adjudication of felony charges on the state level, after learning he was in possession of a pistol while being treated at a Savannah hospital. Brown is a reputed member of Savannah’s 1100 criminal street gang.
- Davonta Johnson, 31, of Hinesville, Ga., awaits sentencing after pleading guilty to False Statement During Purchase of a Firearm, and Possession of Firearms by a Prohibited Person, relating to a prior conviction for domestic violence. Johnson admitted that he lied in May 2020 about his prior conviction while purchasing a pistol at a Bullock County pawn shop. Hinesville Police arrested Johnson two months later during a traffic stop and found two pistols in his vehicle.
- Rashejon B. Curry, 28, of Pooler, Ga., awaits sentencing after pleading guilty to Possession of a Firearm by a Convicted Felon. Chatham County Police officers arrested Curry following a report of an assault at a motel room, later finding him carrying a loaded pistol. Curry has a violent criminal history including convictions for robbery and gun possession.
- Michael Brandon Sharpe, 44, of Pembroke, Ga., awaits sentencing after pleading guilty to Possession with Intent to Distribute Methamphetamine, and Possession of a Firearm by a Convicted Felon. Sharpe is one of 35 defendants indicted as part of Operation Stranded Bandit, which targeted gang-affiliated drug traffickers in the Southern District. Of those defendants, 27 have been sentenced to prison terms of up to 292 months after pleading guilty; three await sentencing after entering guilty pleas; two defendants await trial; and the case against one defendant was referred to state court.
- Terry Kennard Isaacs, 37, of Beaufort, S.C., awaits sentencing after pleading guilty to Possession of a Stolen Firearm. Shortly after midnight on June 17, 2021, Pooler Police officers found Isaacs asleep inside a customer’s vehicle parked at a repair business, and arrested him after finding a pistol and drugs in a small bag in his possession. Isaacs has multiple prior felony convictions involving firearms and violence.
Agencies investigating these cases include the ATF, the FBI, the Georgia Bureau of Investigation, the Savannah Police Department, and the Richmond County Sheriff’s Office.
The cases are being prosecuted for the United States by Southern District U.S. Attorney’s Office Assistant U.S. Attorneys, including E. Gregory Gilluly Jr., Jeremiah L. Johnson, Henry W. Syms Jr., Jennifer A. Stanley, Tara M. Lyons, Marcela C. Mateo, and John P. Harper III, with firearms forfeitures coordinated through the Southern District of Georgia U.S. Attorney’s Office Asset Recovery Unit.
Under federal law, it is illegal for an individual to possess a firearm if he or she falls into one of nine prohibited categories including being a felon; illegal alien; or unlawful user of a controlled substance. Further, it is unlawful to possess a firearm in furtherance of a drug trafficking offense or violent crime. It is also illegal to purchase – or even to attempt to purchase – firearms if the buyer is a prohibited person or illegally purchasing a firearm on behalf of others. Lying on ATF Form 4473, which is used to lawfully purchase a firearm, also is a federal offense.
For more information from the ATF on the lawful purchasing of firearms, please see: https://www.atf.gov/qa-category/atf-form-4473.
93-22
Defendant Sentenced to More Than 18 Years in Multi-State Mother-Son Fraud Scheme Involving Identity Theft, Stolen Vehicles, and a FirearmRead the Press Release
FLORENCE, SOUTH CAROLINA — Quinae Shamyra Stephens, 41, of Douglasville, Georgia, was sentenced to more than 18 years in federal prison after she was convicted by a jury for multiple charges relating to a multi-state identity theft and fraud ring she was running with her son. Specifically, Stephens was sentenced after being convicted for conspiracy to commit wire fraud and bank fraud; identity theft; aggravated identity theft; access device fraud; interstate transportation of a stolen vehicle; and felon in possession of a firearm or ammunition.
Evidence presented to the Court showed that sometime before late August 2021, after abandoning a stolen U-Haul van nearly half a dozen states away from where it was due to be returned, Stephens decided to enlist her son, Deandre Copes, 23, also of Douglasville, on a multi-state criminal journey to Florida. With a loaded semi-automatic handgun in her waistband, Stephens travelled down the East Coast in a second stolen U-Haul van stocked with dozens of fraudulently obtained identities and the equipment necessary to steal more identities, make fake credit cards, and print bogus checks. Stephens was prohibited from possessing the firearm and ammunition due to four state felony convictions for fraud-related crimes, and she was on probation for two of these offenses when she committed the crimes in this case.
She was ultimately stopped by members of the Latta Police Department due to Stephens’s suspicious behavior when she stopped near a bank in Latta. A search of the van revealed more than a dozen identification documents – including several with Stephens’s picture in various names; a device for re-encoding credit cards with different account information; and more than 25 debit and credit cards, most in the name of individuals other than Stephens or her son.
Further forensics investigation by the Secret Service revealed that Stephens would download instructional material from the dark web related to credit card fraud and identity theft, and used software form the dark web to procure personally identifiable information. The laptop also contained instructional material and files that could be used to create fake banking websites to steal account information.
“Identity theft is a threat to every citizen, and the personal information of its victims can live on the dark web forever. The nearly two-decade federal prison sentence this Office sought and received showcases just how seriously we take these crimes,” said U.S. Attorney Adair F. Boroughs. “Stephens’s conduct here was especially heinous. She was a four-time felon who enlisted her son in a multi-state fraud scheme involving stolen vehicles, false identities, the dark web, obstruction of justice, and a loaded weapon. I want to especially thank our local and federal partners who worked tirelessly to ensure the jury conviction and sentence in this case.”
“This case originated due to great police work by the Latta Police Department in identifying suspicious activity being conducted by the defendants in this case,” said John Hirt, Special Agent in Charge of the Columbia Field Office for the U.S. Secret Service. “We appreciate that the Latta Police Department then included the U.S. Secret Service in their investigation. I commend the diligence and hard work of the Secret Service personnel involved in this investigation. I also commend the great work of the U.S. Attorney’s Office from the District of South Carolina in prosecuting this case. The sentence given in this case exemplifies that the U.S. Government takes the crime of identity theft seriously, and we will not tolerate people that lie, cheat, and steal.”
“The Defendant in the case receiving this sentence is a testament to what partnerships can accomplish: local and federal agencies working together for a common goal to protect innocent victims and bring wrongdoers to justice,” said C. Zane Bryant, Interim Cheif of Police for the Latta Police Department.
At her sentencing, Stephens received sentencing enhancements for being a leader in the criminal enterprise and for obstruction of justice. The Court also heard evidence that Stephens fraudulently obtained several Paycheck Protection Program (PPP) loans in her name, and in the names of others. PPP loans consists of more than $640 billion in forgivable Government-backed loans to small businesses for payroll, mortgage interest, rent, and utilities as a result of COVID-19.
The Court rejected Stephens’s attempts to assert a sovereign citizen defense, which asserts that federal courts lack jurisdiction over individuals. The Court acknowledged this was a frivolous defense that has been rejected throughout the country.
United States District Judge Sherri A. Lydon sentenced Stephens to 224 months in federal prison, to be followed by a five-year term of court-ordered supervision. There is no parole in the federal system. Stephens was also ordered to pay restitution to her victims. Stephens’s son, who testified at Stephens’s trial, was previously sentenced to time served after pleading guilty to conspiracy to commit wire fraud and bank fraud.
The case was investigated by the U.S. Secret Service, Latta Police Department, and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Assistant U.S. Attorneys Derek A. Shoemake and Everett McMillian prosecuted the case.
Defendant Sentenced to 48 Months in Prison for Defrauding American Express of More Than $4.7 MillionRead the Press Release
Earlier today, in federal court in Brooklyn, Jasminder Singh was sentenced by United States District Judge Carol Bagley Amon to 48 months’ imprisonment for bank fraud and money laundering related to Singh’s scheme to defraud American Express of more than $4.7 million. Singh was also ordered to pay restitution to American Express in the amount of $4,651,845.08 and to forfeit $3,018,602.22. Singh was convicted of the charges on April 27, 2022 by a federal jury following a one-week trial.
Breon Peace, United States Attorney for the Eastern District of New York, Kenneth A. Polite Jr. of the Justice Department’s Criminal Division, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“Jasminder Singh fraudulently used American Express credit cards to purchase millions of dollars’ worth of Apple products, which he sold to enrich himself, and then tried to leave American Express holding the bag,” stated United States Attorney Breon Peace. “Today’s sentence sends a message to those, like the defendant, who defraud financial institutions, that there are serious consequences when their lies and deceit catch up to them and the bill comes due.”
According to court filings and the evidence presented at trial, Singh used four business entities that he created and controlled, and 10 American Express credit cards in those entities’ names, to purchase thousands of Apple iPhones and other Apple products that he then sold overseas for millions of dollars. Between November 2017 and December 2019, Singh misrepresented to American Express his inability to repay more than $4.7 million in charges incurred from his purchase of Apple products in order to secure additional credit, and used a series of financial transactions to conceal the money he obtained from selling the purchased iPhones. Singh used the proceeds from his fraudulent scheme to pay for personal expenses and purchase luxury items, including a $1.3 million home in Fremont, California paid for in cash.
Assistant United States Attorney Michael W. Gibaldi and Trial Attorney Patrick J. Campbell of the Criminal Division’s Fraud Section are in charge of the prosecution. Assistant United States Attorney Tanisha R. Payne of the Office’s Asset Recovery Section is handling forfeiture matters.
The Defendant:
JASMINDER SINGH
Age: 45
Fremont, CaliforniaE.D.N.Y. Docket No. 21-CR-397 (CBA)
Dakota City Woman Sentenced to Federal Prison for Meth ConspiracyRead the Press Release
A Dakota City, Nebraska woman who conspired to distribute methamphetamine was sentenced August 3, 2022, to more than 8 years in federal prison.
Erika Rojas, age 38, from Dakota City, Nebraska, received the prison term after a March 16, 2022, guilty plea to conspiracy to distribute methamphetamine.
Rojas admitted to being part of a drug ring selling large quantities of methamphetamine in the tri-state area. Rojas and her co-defendants, Anthony Crist, Dennys Rodriguez, and Randall Nichols received methamphetamine from Mexico through the mail in the form of decorative masks that covered the wax methamphetamine mixture. Rojas’ co-defendants would then extract the meth from the masks and redistribute the methamphetamine around Sioux City. A search of Rojas’s storage locker resulted in the decorative masks being found and multiple pounds of methamphetamine recovered. Rojas was the last of her co-conspirators to be sentenced.
Rojas was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Rojas was sentenced to 102 months’ imprisonment. She must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Rojas is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4046.
Follow us on Twitter @USAO_NDIA.
Convicted Felon Sentenced for Illegal Possession of Firearm and MethamphetamineRead the Press Release
LAFAYETTE, La. - United States Attorney Brandon B. Brown announced that Tyrus Brooks, 34, of Scott, Louisiana, was sentenced today by United States District Judge David C. Joseph to 115 months (9 years, 7 months) in prison, followed by 5 years of supervised release.
Brooks was charged in an indictment on November 18, 2021 and pleaded guilty on April 29, 2022 to possession with intent to distribute controlled substances and possession of a firearm by a prohibited person.
On March 9, 2021, law enforcement officers executed a search warrant at Brooks’ residence. During their search, officers recovered multiple controlled substances and a Glock .380 caliber firearm and ammunition belonging to Brooks. An analysis was conducted of the seized substances, and they were found to contain methamphetamine with a gross weight of 117 grams.
Brooks has prior felony convictions for attempted possession with intent to distribute cocaine (2011), possession of methamphetamine (2017) and possession of a firearm by a convicted felon (2018).
The case was investigated by the U.S. Department of Homeland Security - Homeland Security Investigations, ATF, and Lafayette Police Department and prosecuted by Assistant U.S. Attorney Daniel J. McCoy.
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Co-owner of Puyallup steel fabrication business pleads guilty to tax fraudRead the Press Release
Tacoma - The co-owner and financial manager of a Puyallup, Washington steel fabrication business pleaded guilty today in U.S. District Court in Tacoma to nine counts of failing to pay over employment taxes, announced U.S. Attorney Nick Brown. Donna Powell, 56, co-owns and operates Pinnacle Steel Fabricators, a company that makes steel parts. Donna Powell serves as the Secretary/Treasurer and Accounting Manager for the business. The Indictment alleges that, between 2010 and 2018, the company withheld approximately $1,167,891 in payroll taxes from employees’ paychecks and failed to pay any of those funds over to the Internal Revenue System (IRS). Powell is scheduled for sentencing November 7, 2022.
According to records filed in the case, the company has 15-20 employees. Between 2010 and 2018, Powell withheld the employees’ share of employment taxes from their paychecks but failed to pay the withheld funds over to the government as required by law. Each quarter, Powell was required by law to file Forms 941 with the IRS disclosing the amount of payroll taxes withheld. Powell failed to file any Forms 941 for the period between 2010 and the first quarter of 2018. Instead of paying the taxes, Powell and her husband spent on personal interests such as travel ($32,000+), gambling at casinos ($41,000+), online gaming ($33,000+) and approximately $7,400 on spa and pool-related purchases.
“Like in the movies, illegal pool parties are all fun and games until they are not,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Ms. Powell had ill-intentions for her employees’ payroll withholdings and stole these amounts to pay for her own globe-trotting vacations, to fund her gambling, and to help pay for a pool. While paying federal income taxes along with paying into Medicare and Social Security is not as fun as going on vacation or putting in a pool, honest people understand the need for these payroll withholdings and pay their fair share. Today’s guilty plea marks Ms. Powell’s recognition of this critical life lesson.”
Failure to pay over the taxes ultimately hurts the employees whose earning records are incomplete for Social Security, Medicare, and unemployment benefits. Employees can report concerns about federal withholding to the IRS and records can be corrected with documentation.
Willful failure to pay over employment taxes is punishable by up to five years in prison.
The case is being investigated by Internal Revenue Service Criminal Investigation (IRS:CI).
The case is being prosecuted by Assistant United States Attorney Seth Wilkinson.
Co-Defendants Plead Guilty to Conspiracy Charges Related to 10-Kilo Meth Bust in Lee County, GeorgiaRead the Press Release
ALBANY, Ga. – Three individuals involved in an illegal drug ring responsible for distributing approximately ten kilograms of methamphetamine in Southwest Georgia entered guilty pleas in federal court today.
Matthew Bridges, 29, of Albany, pleaded guilty to conspiracy to possess with intent to distribute controlled substances; Terrance Battle, 41, of Albany, pleaded guilty to conspiracy to possess with intent to distribute controlled substances; and Quannesha Gatling, of Albany, pleaded guilty to conspiracy to possess with intent to distribute controlled substances, possession of methamphetamine with intent to distribute and possession of marijuana with intent to distribute. If convicted, each faces a maximum of life imprisonment and a $10,000,000 fine. The pleas were entered today before U.S. District Judge Leslie Gardner. Sentencings have not yet been scheduled.
“Strong work by GBI and Lee County Sheriff’s Office investigators prevented a significant amount of methamphetamine from entering the Southwest Georgia community,” said U.S. Attorney Peter D. Leary. “The U.S. Attorney’s Office is using every prosecutorial tool at our disposal to reduce criminal activity across the District and make our neighborhoods safer.”
“Drug trafficking at any level will not be tolerated in the state of Georgia. It is paramount that violators of drug laws be held accountable. The Georgia Bureau of Investigation is fully committed to working with our local and federal partners in drug enforcement to address these types of crimes,” said GBI Director Vic Reynolds.
“This case demonstrates for the citizens of Lee County and Southwest Georgia that law enforcement is working together to fight drug networks that are pushing the most addictive illegal substances into our communities. We will not tolerate this activity and we will hold them accountable for their crimes,” said Lee County Sheriff Reggie Rachals.
According to court documents, GBI agents debriefed a confidential informant (CI) in Aug. 2021 who advised that Bridges was selling illegal drugs in the Albany area. Between Aug. and Oct. 2021, investigators conducted several controlled buys of methamphetamine and heroin from Bridges and co-defendant Battle. On Oct. 30, Lee County Sheriff’s Office deputies, working with GBI agents, initiated a traffic stop of three vehicles, driven by the co-defendants, who were returning from the Atlanta area. Law enforcement located approximately ten kilograms of methamphetamine and approximately three pounds of marijuana in the vehicle operated by Gatling.
The case was investigated by GBI with assistance from the Lee County Sheriff’s Office and DEA.
The case was prosecuted by Assistant U.S. Attorney Leah McEwen.
Carmichaels Man Sentenced to 3 Years for CyberstalkingRead the Press Release
PITTSBURGH - A resident of Greene County, Pennsylvania, has been sentenced in federal court to 37 months’ imprisonment followed by three years of supervised release on his convictions for cyberstalking and communication of threats to injure, United States Attorney Cindy K. Chung announced today.
United States District Judge J. Nicholas Ranjan imposed the sentence yesterday on Kaleb Levicky, 23, formerly of Carmichaels, Pennsylvania.
According to information presented to the court, from Nov. 3, 2020 and continuing through Nov. 30, 2020, Levicky sent numerous messages via an Instagram account and multiple telephone numbers to Person 1, Person 1’s Friend, and Person 1’s Boyfriend. In these messages, Levicky threatened to cause serious bodily injury and death to Person 1. Subsequently, on Dec. 14, 2020, Levicky sent a text message to Person 2, threatening to “kill hundreds of innocent people” with firearms. Investigators with the Federal Bureau of investigation confirmed that Levicky previously purchased these firearms, and investigators ultimately seized these firearms from Levicky. Judge Ranjan referenced the seriousness of the offense.
Assistant United States Attorney Mark V. Gurzo prosecuted this case on behalf of the government.
United States Attorney Chung commended the Federal Bureau of Investigation, the Freeland Police Department, Pennsylvania State Police, Indiana University of Pennsylvania Police, Cumberland Township Police Department, and Arizona State University Police for the investigation leading to the successful prosecution of Levicky.
Captain of Methamphetamine-Filled Boat that Rammed Coast Guard Vessel, Injuring Officers, Sentenced to 16 YearsRead the Press Release
Special Assistant U.S. Attorney Nicole Bredariol (619) 546-8419 and Assistant U.S. Attorney Kevin Mokhtari (619) 546-8402
NEWS RELEASE SUMMARY – August 5, 2022
SAN DIEGO – Miguel Ojeda Agundez, captain of a drug-smuggling boat that rammed a Coast Guard vessel during a dangerous high-speed chase off the shores of San Diego, was sentenced in federal court today to 194 months in prison.
Ojeda Agundez is the last of four defendants to be sentenced in connection with the event, which occurred in August 2020 off the shores of San Diego. All four defendants were charged in a 15-count federal indictment with trafficking close to 500 pounds of methamphetamine; failure to stop for the Coast Guard; and assault on five Coast Guard officers who were injured as a result of the ramming. Ojeda Agundez ultimately pleaded guilty to all 15 counts.
At today’s sentencing hearing, U.S. District Judge Janis L. Sammartino described the defendant’s conduct as “egregious” and causing “immeasurable harm to the community.” She noted that members of the Coast Guard are working hard every day “to protect the community that they are sworn to serve…we have tremendous respect and admiration and gratitude to those who serve this country.”
The other defendants - Arturo Velasquez Soto, Luis Parada Reyes, and Juan Diaz Hernandez - were previously sentenced by Judge Sammartino to 14 years, 10 years, and just under nine years in prison, respectively.
On August 8, 2020, the defendants were detected by the United States Coast Guard Cutter FORREST REDNOUR traveling northbound off the shores of San Diego in the middle of the night. When five Coast Guard officers went to intercept the vessel, Ojeda Agundez, who was at the helm, aggressively turned the go-fast vessel towards the Coast Guard and rammed a Coast Guard smallboat, causing damage and injury to Coast Guard officers. The defendants then led the Coast Guard on a high-speed chase on the open water.
As the vessel continued closer to shore, U.S. Customs and Border Protection (CBP) Air & Marine Operations took over the pursuit. The defendants’ vessel attempted to ram the CBP vessel as well, but officers were able to bring the defendants’ vessel to a stop. When law enforcement boarded the vessel, they discovered ice chests filled with close to 500 pounds of methamphetamine. The defendants were brought to shore and arrested, where the investigation was continued by special agents with Homeland Security Investigations’ Marine Task Force.
In 2012, a similar sequence of events resulted in the death of Coast Guard Chief Petty Officer Terrell Horne III. In that case, a drug-laden panga intentionally rammed a Coast Guard smallboat off the coast of Santa Barbara, ejecting Chief Petty Officer Horne and another officer into the water. Chief Petty Officer Horne was struck by a propeller in the head and fatally injured.
“This case is a reminder of the heroism, bravery, and professionalism that Coast Guard officials employ on every mission to safeguard the United States from drug smugglers,” said U.S. Attorney Randy Grossman. “Violence against the Coast Guard will not be tolerated and will be aggressively prosecuted by this office.” Grossman thanked the prosecution team and investigating agencies for their excellent work on this case.
“Unfortunately, this is not the first time the lives of our Coast Guard members have been threatened by drug smugglers,” said Rear Admiral Andrew Sugimoto, commander, Coast Guard District 11. “Senior Chief Petty Officer Terrell Horne III was killed during a counter-smuggling operation. Those individuals responsible for taking his life and threatening the lives of other Coast Guard members were held accountable. As a service, we do not take these actions lightly and I trust the decision of the courts to continue to hold these criminals responsible for their continued disregard for life.”
“This case highlights the dangers of maritime drug smuggling,” said HSI San Diego Special Agent in Charge Chad Plantz. “HSI is grateful for its federal, state and local law enforcement partners and servicemembers who despite the dangers, continue to deny transnational criminal organizations the opportunity to carry out their illegal drug smuggling activities. HSI will continue to aggressively investigate criminal organizations who smuggle by sea, air or land.”
DEFENDANTS Case Number 20cr2509-JLS
Miguel Ojeda Agundez Age: 26 Mexico
Arturo Velasquez Soto Age: 44 Mexico
Jose Luis Parada Reyes Age: 53 Mexico
Juan Diaz Hernandez Age: 55 Mexico
SUMMARY OF CHARGES
Counts 1-3 (All Defendants)
Conspiracy to Distribute Methamphetamine on Board a Vessel –
Title 46, U.S.C., Section 70503, 70506(b)
Maximum Penalty: Life in prison and $10 million fine
Possession with Intent to Distribute Methamphetamine Onboard a Vessel; Aiding and Abetting –
Title 46, U.S.C., Section 70503, Title 18, U.S.C., Section 2Maximum Penalty: Life in prison and $10 million fine
Conspiracy to Distribute Methamphetamine Intended for Unlawful Importation –
Title 21, U.S.C., Sections 959, 960, 963Maximum Penalty: Life in prison and $10 million fine
Counts 4, 6-15 (Defendant Ojeda Agundez only)
Failure To Heave To
Title 18, U.S.C., Section 2237
Maximum Penalty: Five years in prison and $250,000 fine
Assault on a Federal Officer with a Dangerous Weapon
Title 18, U.S.C., Section 111(a)(1)
Maximum Penalty: Twenty years in prison and $250,000 fine
Assault with Intent to Commit Any Felony
Title 18, U.S.C., Section 113(a)(2)
Maximum Penalty: Ten years in prison and $250,000 fine
Count 5 (Defendants Ojeda Agundez and Velasquez Soto only)
Failure To Heave To
Title 18, U.S.C., Section 2237, Title 18, U.S.C., Section 2
Maximum Penalty: Five years in prison and $250,000 fine
AGENCIES
United States Coast Guard
Customs and Border Protection
Homeland Security Investigations
Crawford County Pair Plead Guilty to Vehicle Break in and Identity Theft SchemeRead the Press Release
BENTON, Ill. –– An Oblong man and Robinson woman pleaded guilty on Thursday, August 4, 2022, to breaking into cars, stealing checks and IDs from vehicles, and committing identity theft in order to obtain thousands of dollars from local banks by fraud.
According to court documents, Zachary Patrick, 30, of Oblong, Illinois, and Briana Blair, 31, of
Robinson, Illinois, stole checks and personal identifying information from a series of victims, often by breaking into the victims’ vehicles. Patrick and Blair then used the victims’ information however they could, writing and depositing fraudulent checks, forging victims’ signatures, and withdrawing and spending thousands of dollars as they traveled around eastern Illinois and western
Indiana. The pair even opened a bank account using one victim’s stolen information.The pair was eventually caught in a hotel parking lot in Brazil, Indiana, breaking into yet another vehicle. Patrick and Blair initially identified themselves to law enforcement using two of the identities they had stolen, but eventually admitted to their true identities. Law enforcement recovered a pile of stolen IDs, credit cards, and financial information after their arrest.
Both Patrick and Blair pleaded guilty to one count of conspiracy to commit financial institution fraud and one count of aggravated identity theft. They are scheduled to be sentenced on November
17, 2022, and face a mandatory minimum of two years in prison and a statutory maximum of as many as
32 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.“All who have been victimized by identity theft and its related crimes understand just how serious and far-reaching its consequences can be,” said United States Attorney Rachelle Aud Crowe. “Along with our federal, state, and local law enforcement partners, this office will continue to make investigating and prosecuting these offenses a top priority. I thank the Federal Bureau of
Investigation-Springfield Field Office, the Oblong Police Department, the Clay County Sheriff’s
Office, and the other local law enforcement agencies involved for their work in investigating this case.”
Assistant U.S. Attorney Peter T. Reed is prosecuting the case.Bullhead Man Indicted for ArsonRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Bullhead, South Dakota, man has been indicted by a federal grand jury for Arson.
James Edward Little Eagle, age 58, was indicted on July 11, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on August 5, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on June 14, 2022, in Bullhead, Little Eagle willfully and maliciously set fire to and burned a dwelling.
The charge is merely an accusation and Little Eagle is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs – Office of Justice Services, Standing Rock Agency and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Little Eagle was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Bloods Gang Member Sentenced to 30 Years in Prison for His Role in a 2012 Murder in Baldwin Harbor and Multiple Violent CrimesRead the Press Release
Earlier today, in federal court in Central Islip, Richard Michel, also known as “G-Light” and “Gangsta Light,” the leader of the Red Lane Gorillas “set” of the Bloods street gang, was sentenced by United States District Judge Joanna Seybert to 30 years’ imprisonment for racketeering and predicate acts including the October 2011 kidnapping and assault of a rival gang member and another man in Hempstead, the July 15, 2012 murder of Anthony Richard in Baldwin Harbor, and the September 2016 attempted murder of a disloyal Bloods gang member in Uniondale. Michel pleaded guilty to the charges in December 2021 along with co-defendant Dylan Cruz.
Breon Peace, United States Attorney for the Eastern District of New York, announced the sentence.
“For the murder, kidnapping, and assaults of Michel’s victims, the pain to their loved ones, and the violence Michel brought to our communities, today’s sentence is justice served,” stated United States Attorney Peace. “As a result of the hard work of our prosecutors and law enforcement partners, Michel’s gang has been dismantled. And, we will not rest until all violent criminal enterprises on Long Island are eliminated.”
Mr. Peace thanked the Federal Bureau of Investigation, New York Field Office, the Nassau County Police Department, and the New York City Police Department for their outstanding investigative work on the case.
Michel, along with other members of the Red Lane Gorillas, engaged in a violent gang war against rival gangs, including the Crips and the 5-9 Brims set of the Bloods, in Nassau County and Brooklyn. To maintain his leadership position in the gang and to keep rival gangs in fear, Michel engaged in extreme violence against anyone suspected of disloyalty or being disrespectful of his gang.
According to court filings and statements made by the defendant at his guilty plea, Michel, among other crimes, admitted his role in the murder of Richard, an individual that he wrongly suspected of assisting the Crips in the 2010 murder of a member of their gang. Cruz and Michel, together with fellow gang members and associates located the victim, obtained a firearm, and followed the victim’s vehicle to Baldwin Harbor. Cruz, who was Michel’s top lieutenant, exited the vehicle he was travelling in, walked up to the victim’s car and fired approximately 15 shots into the vehicle at close range, killing Richard and wounding his passenger. Michel also admitted to the October 13, 2011 gunpoint kidnapping and assault of someone he perceived as a disloyal gang member and another man in Hempstead, New York. Further, Michel admitted pulling the trigger in the September 9, 2016 attempted murder of a fellow Bloods gang member whom he suspected of disloyalty, in which the victim was lured from Brooklyn to Uniondale under the guise of a marijuana deal. Once at an isolated location in Uniondale, Michel shot the man in the back of the neck and left him in the street to die. The man survived his wounds. In June 2022, Cruz was sentenced to 25 years in prison.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Nicole Boeckmann, Michael Maffei and Oren Gleich are in charge of the prosecution.
The Defendant:
RiCHARD MICHEL (also known as “G-Light” and “Gangsta Light”)
Age: 41
Brooklyn, New YorkE.D.N.Y. Docket Nos. 18-CR-664 (S-1) (JS)
Alleged Russian Cryptocurrency Money Launderer Extradited to United StatesRead the Press Release
The alleged operator of the illicit cryptocurrency exchange BTC-e was extradited yesterday from Greece to the United States to face charges in the Northern District of California.
“After more than five years of litigation, Russian national Alexander Vinnik was extradited to the United States yesterday to be held accountable for operating BTC-e, a criminal cryptocurrency exchange, which laundered more than $4 billion of criminal proceeds,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This extradition demonstrates the Department’s commitment to investigating and dismantling illicit cyber activity and would not have been possible without the relentless work of the Justice Department’s Office of International Affairs. The Justice Department thanks the Government of Greece, particularly the Ministry of Justice, for all their efforts in securing the defendant’s transfer to the United States.”
Alexander Vinnik, 42, a Russian citizen, was charged in a 21-count superseding indictment in January 2017. Vinnik was taken into custody in Greece in July 2017 at the request of the United States. He made his initial appearance earlier today in federal court in San Francisco before U.S. Magistrate Judge Sallie Kim.
According to the indictment, Vinnik and his co-conspirators allegedly owned, operated, and administrated BTC-e, a significant cybercrime and online money laundering entity that allowed its users to trade in bitcoin with high levels of anonymity and developed a customer base heavily reliant on criminal activity.
The indictment alleges BTC-e facilitated transactions for cybercriminals worldwide and received criminal proceeds from numerous computer intrusions and hacking incidents, ransomware scams, identity theft schemes, corrupt public officials, and narcotics distribution rings, and was used to facilitate crimes ranging from computer hacking, to fraud, identity theft, tax refund fraud schemes, public corruption, and drug trafficking. The investigation has revealed that BTC-e received more than $4 billion worth of bitcoin over the course of its operation.
Despite doing substantial business in the United States, the indictment alleges that BTC-e was not registered as a money services business with the U.S. Department of Treasury, had no anti-money laundering process, no system for appropriate “know your customer” or “KYC” verification, and no anti-money laundering program as required by federal law.
In 2017, FinCEN assessed a civil money penalty against BTC-e for willfully violating U.S. anti-money laundering (AML) laws and against Vinnik for his role in the violations. A civil matter to enforce civil monetary penalties, in the amount of $88,596,314 as to BTC-e and $12 million as to Vinnik, is pending in the Northern District of California.
The indictment charges BTC-e and Vinnik with one count of operation of an unlicensed money service business, and one count of conspiracy to commit money laundering. In addition, the indictment charges Vinnik with 17 counts of money laundering and two counts of engaging in unlawful monetary transactions.
The FBI, IRS Criminal Investigation (Oakland Field Office and Cyber Crime Unit, Washington, D.C.), Homeland Security Investigations, and U.S. Secret Service Criminal Investigative Division are investigating the case.
Trial Attorney C. Alden Pelker of the Justice Department’s Computer Crime and Intellectual Property Section, and Assistant U.S. Attorney Claudia Quiroz of the U.S. Attorney’s Office for the Northern District of California are prosecuting the case.
The Justice Department’s National Cryptocurrency Enforcement Team provided substantial assistance. The extradition request was handled by the Justice Department’s Office of International Affairs.
The Justice Department thanks the Greek Ministry of Justice for its cooperation in securing the defendant’s transfer to the United States.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Alleged Russian Cryptocurrency Money Launderer Extradited to United StatesRead the Press Release
SAN FRANCISCO – The alleged operator of the illicit cryptocurrency exchange BTC-e was extradited yesterday from Greece to the United States to face charges in the Northern District of California.
“After more than five years of litigation, Russian national Alexander Vinnik was extradited to the United States yesterday to be held accountable for operating BTC-e, a criminal cryptocurrency exchange, which laundered more than $4 billion of criminal proceeds,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This extradition demonstrates the Department’s commitment to investigating and dismantling illicit cyber activity and would not have been possible without the relentless work of the Justice Department’s Office of International Affairs. The Justice Department thanks the Government of Greece, particularly the Ministry of Justice, for all their efforts in securing the defendant’s transfer to the United States.”
Alexander Vinnik, 42, a Russian citizen, was charged in a 21-count superseding indictment in January 2017. Vinnik was taken into custody in Greece in July 2017 at the request of the United States. He made his initial appearance earlier today in federal court in San Francisco before U.S. Magistrate Judge Sallie Kim.
According to the indictment, Vinnik and his co-conspirators allegedly owned, operated, and administrated BTC-e, a significant cybercrime and online money laundering entity that allowed its users to trade in bitcoin with high levels of anonymity and developed a customer base heavily reliant on criminal activity.
The indictment alleges BTC-e facilitated transactions for cybercriminals worldwide and received criminal proceeds from numerous computer intrusions and hacking incidents, ransomware scams, identity theft schemes, corrupt public officials, and narcotics distribution rings, and was used to facilitate crimes ranging from computer hacking, to fraud, identity theft, tax refund fraud schemes, public corruption, and drug trafficking. The investigation has revealed that BTC-e received more than $4 billion worth of bitcoin over the course of its operation.
Despite doing substantial business in the United States, the indictment alleges that BTC-e was not registered as a money services business with the U.S. Department of Treasury, had no anti-money laundering process, no system for appropriate “know your customer” or “KYC” verification, and no anti-money laundering program as required by federal law.
In 2017, FinCEN assessed a civil money penalty against BTC-e for willfully violating U.S. anti-money laundering (AML) laws and against Vinnik for his role in the violations. A civil matter to enforce civil monetary penalties, in the amount of $88,596,314 as to BTC-e and $12 million as to Vinnik, is pending in the Northern District of California.
The indictment charges BTC-e and Vinnik with one count of operation of an unlicensed money service business, and one count of conspiracy to commit money laundering. In addition, the indictment charges Vinnik with 17 counts of money laundering and two counts of engaging in unlawful monetary transactions.
The FBI, IRS Criminal Investigation (Oakland Field Office and Cyber Crime Unit, Washington, D.C.), Homeland Security Investigations, and U.S. Secret Service Criminal Investigative Division are investigating the case.
Assistant U.S. Attorney Claudia Quiroz of the U.S. Attorney’s Office for the Northern District of California and Trial Attorney C. Alden Pelker of the Justice Department’s Computer Crime and Intellectual Property Section are prosecuting the criminal case. The forefeiture action is being handled by David Countryman and related civil matters are being handled by Savith Iyengar.
The Justice Department’s National Cryptocurrency Enforcement Team provided substantial assistance. The extradition request was handled by the Justice Department’s Office of International Affairs.
The Justice Department thanks the Greek Ministry of Justice for its cooperation in securing the defendant’s transfer to the United States.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Albuquerque drug trafficker sentenced to 17 years in prisonRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that John Seibel was sentenced on Aug. 2 to 17 years and six months in prison. Seibel, 26, of Albuquerque, pleaded guilty on March 15 to two counts of distribution of 50 grams and more of a substance and mixture containing methamphetamine, four counts of distribution of 40 grams and more of fentanyl, two counts of distribution of 500 grams and more of a mixture and substance containing methamphetamine, and one count of conspiracy to distribute controlled substances.
In his plea, Seibel admitted to leading a drug trafficking organization that distributed methamphetamine and fentanyl. According to his plea agreement and other court records, on several occasions between April 1, 2021, and June 15, 2021, Seibel sold drugs to an undercover agent from the Drug Enforcement Administration (DEA). Seibel sold fentanyl pills manufactured by others, but also acquired a pill press and other components to fabricate his own fentanyl pills for distribution. On May 12, 2021, Seibel sold the undercover agent drugs, including fentanyl pills that Seibel and others manufactured with the pill press. In total, between April 1, 2021, and May 27, 2021, Seibel sold to the undercover agent 2,437.8 grams of methamphetamine and 546.4 grams of fentanyl.
Seibel was arrested following a sale of 1,368.6 grams of fentanyl and 1,333 grams of methamphetamine on June 15, 2021. That same day, law enforcement executed search warrants on Seibel’s residence and other locations associated with his drug trafficking activity. In Seibel’s home and vehicle, agents recovered a total of $84,139.19, which Seibel admitted were proceeds of his unlawful drug trafficking. At a residence in Tijeras, New Mexico, agents recovered the pill press, a powder granulator and other materials Seibel used to manufacture fentanyl pills. Agents also recovered 833.7 grams of powdered fentanyl, 400 grams of blue fentanyl pills, 48.3 grams of yellow fentanyl pills and 7,762 grams of methamphetamine. At a stash house in Albuquerque, agents located 634 grams of methamphetamine and 3,869.4 grams of fentanyl pills.
“John Seibel endangered the lives of countless people in the callous pursuit of his own enrichment,” said U.S. Attorney Uballez. “The illegal and unregulated manufacture and trafficking of counterfeit pills has contributed to the toll of fentanyl overdoses that have ravaged the District of New Mexico and communities across the nation. We will work diligently to halt these manufacturing operations and prosecute those who would profit from their flagrant disregard for the lives of our people.”
“While drug overdose/poisoning deaths continue to rise in our nation, Mr. Seibel made these dangerous illegal drugs readily available to New Mexicans for his profit,” said Greg Millard, Special Agent in Charge of the DEA El Paso Division. “DEA and its partners will continue to hold accountable those responsible for poisoning our communities, as we step up our campaigns to educate the public about the dangers of illicit drug use and medication misuse.”
Upon his release from prison, Seibel will be subject to five years of supervised release.
Among the agencies that participated in the investigation were the DEA Albuquerque District Office, DEA El Paso Division, DEA El Paso Division SRT, DEA Las Cruces District Office, DEA St. Louis Division, DEA South Central Laboratory, DEA Aviation, FBI Albuquerque Field Office, United States Postal Inspection Service, Homeland Security Investigations, Bernalillo County Sheriff’s Office, Albuquerque Police Department, Pueblo of Laguna Police Department, Pueblo of Pojoaque Police Department, Valencia County Sheriff’s Office, Rio Rancho Police Department, Torrance County Sheriff’s Office, Belen Police Department and Albuquerque Fire & Rescue.
The U.S. Attorney’s Office for the District of New Mexico prosecuted this case.
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Aircraft Parts Foundry Agrees to Settle False Claims Act Allegations of Failure to Conduct Testing and Falsified Test ResultsRead the Press Release
WDC Acquisitions LLC d/b/a Wellman Dynamics located in Creston, Iowa, will pay $500,000 to resolve alleged violations of the False Claims Act for failing to conduct contractually required testing and falsifying test results for parts used in military aircraft, the Justice Department announced today.
Wellman manufactures large metal castings that it supplies to prime defense contractors, including Bell Helicopter, Textron, Sikorsky Aircraft and the Boeing Company, for use in the UH-1Y, AH-1Z, AH-64 Apache, V22 Osprey and UH-60 Black Hawk programs.
The United States alleged that, between 2014 and 2021, Wellman failed to conduct required metallurgic and other tests on the castings, including tensile strength testing, destructive testing, microstructure analysis, hot isostatic testing and salt fog testing, and falsely certified results of tests that had not been performed. The settlement was based on an analysis of the company’s ability to pay.
“Proper testing is critical for ensuring the proper performance of the equipment that is provided to our men and women in uniform” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will hold accountable those who knowingly falsify or fail to conduct required tests and put our military at risk.”
“It is imperative that our defense contractors and subcontractors provide the high-quality and properly tested products the military needs,” said Acting U.S. Attorney Timothy Duax for the Northern District of Iowa. “We are proud to work tirelessly with our partners to ensure that this is the case.”
The settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Wellman employee Bradley Keller. Under those provisions, a private party can file a lawsuit on behalf of the United States and receive a portion of any recovery. Keller will receive $90,000. The qui tam case is captioned United States ex rel. Bradley Keller v. WDC Acquisitions, LLC d/b/a Wellman Dynamics and Trive Capital Management LLC (S.D. Iowa No. 20-CV-100-LTS-MAR).
This matter was investigated by the Civil Division’s Commercial Litigation Branch (Fraud Section), the U.S. Attorney’s Office for the Northern District of Iowa and the Defense Criminal Investigative Service. The investigation was handled by Senior Trial Counsel Alicia J. Bentley of the Civil Division and Assistant U.S. Attorney Matthew Gillespie.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
18th Street Gang Member Pleads Guilty to Kidnapping Conspiracy Leading to the Death of a 19-Year-Old WomanRead the Press Release
Greenbelt, Maryland – Jordan Moreno, a/k/a “Joker”, age 23, a Honduran national recently of Washington, DC, pleaded guilty yesterday to federal kidnapping charges related to the death of Victim 1, a 19-year old woman. Moreno had previously pleaded guilty in the Circuit Court for Montgomery County to First Degree Murder in Victim 1’s death.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge Ryeshia Holley of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge James C. Harris of the Homeland Security Investigations (HSI) Baltimore Field Office; and Chief Marcus Jones of the Montgomery County Police Department (MCPD).
According to his guilty plea, beginning in October 2019, Moreno and other associates of the Tiny Locos Surenos (“TLS”) clique of the 18th Street gang conspired to kidnap and murder Victim 1 because Moreno and other co-conspirators believed she was associating with members of MS-13. MS-13 is a transnational gang composed primarily of immigrants or descendants from El Salvador.
In preparation for the murder, Moreno devised a plan to murder Victim 1, recruited other 18th Street gang members to assist, and selected a wooded area near Hyattstown in Montgomery County, Maryland in which to kill Victim 1. Additionally, Moreno contacted a TLS leader for authorization to kill Victim 1. Moreno and his co-conspirators planned and executed Victim 1’s murder to increase their status within the 18th Street gang.
To lure Victim 1 to her death, one of Moreno’s co-conspirators communicated with the woman on a social media platform in October and November 2019 under the pretext that he wanted to socialize with her. Eventually, Victim 1 and the co-conspirator arranged to meet on the evening of November 21, 2019. Moreno and three co-conspirators then traveled together to pick up Victim 1 in Washington, D.C before traveling to Maryland. Once they arrived at the wooded area near Hyattstown, a juvenile co-conspirator and Moreno, in turn, used a single pistol to shoot Victim 1 in the face and head, killing her. Following the murder, Moreno directed another co-conspirator to hide the firearm.
Moreno faces a maximum sentence of life in federal prison for conspiracy to kidnap. U.S. District Judge Paul W. Grimm has scheduled sentencing for October 28, 2022 at 11:00 a.m.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI, HSI, and MCPD for their work in the investigation. Mr. Barron also thanked the Maryland State Police Department for their assistance in the investigation. Mr. Barron thanked Assistant U.S. Attorney Adam K. Ake and Trial Attorney Danbee C. Kim of the Criminal Division’s Organized Crime and Gang Section who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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4 August 2022
Young Driver and Teenage Guide Plead Guilty After Rollover Accident Resulted in the Death of a PassengerRead the Press Release
TUCSON, Ariz. – Last week, Matthew Dylan Ramirez, 20, of Tempe, Arizona, and Jesus Madrid-Varela, 19, of Mexico, both pleaded guilty to Conspiracy and Transportation of Illegal Aliens for Profit Resulting in Death. Sentencing for both defendants is scheduled for November 1, 2022, before United States District Judge Jennifer G. Zipps.
In May 2021, Madrid-Varela smuggled three undocumented noncitizens into the United States by guiding them through the southern Arizona desert on foot, to a location near Quijotoa, Arizona.
On May 22, 2021, Ramirez picked up and transported Madrid-Varela and the three undocumented noncitizens in his vehicle with the intent to smuggle them further into the United States. While driving, Ramirez passed a Tohono O’odham Police officer who believed Ramirez was speeding. The officer attempted to stop Ramirez’s vehicle but was unsuccessful because Ramirez was driving over 100 miles per hour. Ramirez lost control of the vehicle and it rolled several times, ejecting all four passengers. One of the passengers, a 36-year-old woman from Mexico, was pronounced dead at the scene. The other passengers, including the decedent’s husband, sustained non-fatal injuries. After his arrest, Ramirez admitted that he was recruited through Snapchat by a smuggling organization that was going to pay him $1,000 for driving the undocumented noncitizens to Phoenix.
Ramirez pleaded guilty to the Indictment without a plea agreement. He faces up to life in prison and a fine of up to $250,000. Madrid-Varela pleaded guilty with a plea agreement and faces 36 to 57 months in prison.
Homeland Security Investigations and the Tohono O’odham Police Department conducted the investigation in this case. Assistant U.S. Attorney Anna Wright, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-21-01394-TUC-JGZ (EJM)
RELEASE NUMBER: 2022- 128_Ramirez_Madrid-Varela# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Vivian Man Sentenced for Assaulting Postal CarrierRead the Press Release
SHREVEPORT, La. – A Vivian man has been sentenced for assaulting a postal carrier, announced United States Attorney Brandon B. Brown. Derrick J. Thomas, 28, of Vivian, Louisiana, was sentenced by Chief United States District Judge S. Maurice Hicks, Jr. to 137 months (11 years, 5 months) in prison, followed by 3 years of supervised release.
A federal grand jury returned an indictment in September 2021 charging Thomas with assault with a deadly weapon and he pleaded guilty to the charge on March 22, 2022. According to information presented to the court, on August 12, 2021, a rural carrier associate working at the Vivian Post Office began servicing her mail route in Vivian which she had been doing for two years. Shortly after starting the route that morning, the rural postal carrier passed Thomas sitting outside his residence (which was an abandoned residence) and parked nearby to begin to deliver mail to the street.
Soon after, the postal carrier got back into her vehicle and began driving but stopped after being flagged down by Thomas. Thomas had a 10” butcher knife hidden on his person and stabbed the postal carrier, who was 5 months pregnant at the time, in the right front shoulder. The carrier hit the accelerator and fled the scene before Thomas could stab a second time. The incident was reported to the U.S. Postal Inspection Service and after an investigation, Thomas was charged with assault with a deadly weapon.
“Our federal employees and contractors must feel safe while in the course and scope of their employment,” stated U.S. Attorney Brandon B. Brown. “This is especially true when our employees are working in rural areas where law enforcement resources are limited. This defendant, without provocation, committed a violent, inexcusable crime and deserves every day in the jail that the court gave him. We will continue to prosecute those who commit such heinous acts against federal workers.”
The case was investigated by the U.S. Postal Inspection Service, Louisiana State Police, and the Vivian Police Department, and prosecuted by Assistant U.S. Attorney Cytheria D. Jernigan.
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Vicksburg Man Sentenced to 8 Months in Prison for Possession with Intent to Distribute MarijuanaRead the Press Release
Jackson, Miss. – A Vicksburg man was sentenced to 8 months in prison for possession with intent to distribute marijuana, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Todd Damiani of the Office of the Inspector General for the United States Department of Transportation.
According to court documents, John Travis Ross, 34, flew a drone carrying approximately 60 grams of marijuana, lighters, a cell phone, and various cell phone cables over a fence onto the grounds of the Central Mississippi Correctional Facility in Pearl, Mississippi, during the early morning hours of August 6, 2020. Ross’s actions were captured on surveillance video. Ross has felony convictions for burglary of a building and sale of methamphetamine. On April 28, 2022, Ross pled guilty to possession with intent to distribute marijuana.
“Today’s sentencing demonstrates that using drone technology for illicit distribution of contraband will not be tolerated,” said Todd Damiani, Special Agent-In-Charge, U.S. Department of Transportation Office of Inspector General, Southern Region. “We will pursue and hold accountable those who choose to engage in such unscrupulous and unsafe criminal activity.”
The Mississippi Department of Corrections and the DOT OIG investigated the case.
Assistant U.S. Attorney Charles W. Kirkham prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, 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.
United States Settles $1.66 Million Healthcare Fraud Claim Against Iowa DermatologistRead the Press Release
DES MOINES, IA – Eastern Iowa Dermatology, PLC, located in Bettendorf, and Dr. Manish Kumar have agreed to pay $1.66 million to resolve allegations for violations of the False Claims Act by submitting false claims to Medicare for dermatology office visits and the destruction or removal of skin tags and lesions. The False Claims Act considers “up-coding”—the practice of exaggerating the amount or complexity of medical services rendered in order to achieve a higher level of reimbursement—a form a fraud.
Dr. Kumar and Eastern Iowa Dermatology, PLC also agreed to an Integrity Agreement and will submit to ongoing monitoring by the U.S. Department of Health and Human Services.
“Health care providers that try to boost their profits by submitting fraudulent claims to Federal health care programs threaten the integrity of those programs and drive up prices for everyone,” said Tamala E. Miles, Special Agent in Charge with the U.S. Department of Health and Human Services Office of Inspector General. “We work tirelessly alongside our law enforcement partners to protect the integrity of Federal health care programs and to ensure the appropriate use of taxpayer dollars.”
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Southern District of Iowa and the U.S. Department of Health and Human Services Office of Inspector General.
Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477). False Claims Act cases can also be brought under the qui tam provisions of the Act, which encourage whistleblowers to bring suit on behalf of the United States and share in any financial recovery.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was handled by Assistant U.S. Attorney David Faith and Investigative Analyst Connie Benton.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
U.S. Attorney’s Office Resolves Complaint about Wheelchair-Accessibility of Concentra Urgent Care Facility in Downtown DenverRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announced today that it has reached a resolution of a complaint it received under the Americans with Disabilities Act about the accessibility of a Concentra Urgent Care facility in downtown Denver.
The Department of Justice received a complaint that the Concentra Urgent Care location at 1730 Blake Street in downtown Denver was no longer accessible to individuals in wheelchairs. Through an investigation, the U.S. Attorney’s Office found that 1730 Blake LLC, the owner of the building in which the facility is located, had remodeled the building’s lobby space in a manner that removed the sole wheelchair-accessible entrance to the facility.
To resolve the complaint, 1730 Blake LLC has agreed to construct a ramp at the exterior entrance of the Concentra Urgent Care facility.
“Access to health care, particularly urgent care, should never be denied to individuals in wheelchairs,” said U.S. Attorney Cole Finegan. “I appreciate that Concentra Urgent Care and 1730 Blake LLC are willingly taking steps to remedy this issue. This resolution reflects our commitment to enforcing the Americans with Disabilities Act, which requires providing equal access for people with disabilities.”
This case was handled by Assistant U.S. Attorney Jennifer Lake.
Outside picture of Concentra Urgent Care Downtown DenverTwo Monroe County Residents Convicted of Distributing Controlled Substances Resulting in DeathRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jeremy Edward Johnson, age 31, and Susan Melissa Nickas, age 47, both of Stroudsburg, Pennsylvania, were found guilty of conspiring to distribute and possess with intent to distribute heroin and fentanyl within the Middle District of Pennsylvania, resulting in the death of a person, after an eight-day trial before U.S. District Court Judge Malachy E. Mannion.
According to United States Attorney Gerard M. Karam, jurors deliberated for approximately two hours before rendering guilty verdicts against Johnson and Nickas for the December 11, 2020, death of a 32-year-old Monroe County man. Both Johnson and Nickas were also found guilty of aiding and abetting each other in a December 10, 2020, distribution of heroin and fentanyl, resulting in that death.
Prosecutors from the U.S. Attorney’s Office presented the testimony of multiple witnesses, including Dr. Michael Coyer, a Forensic Toxicologist, who opined that death resulted from the use of heroin and fentanyl; and a PSP Forensic Chemist, who analyzed drugs found at the scene of the death. Additional testimony was provided by officers and detectives from the Monroe County District Attorney’s Office; the Pennsylvania State Police; the Pocono Township Police Department, the FBI – Scranton Office; and a FBI special agent from the Pittsburgh Office.
The charges stem from a joint investigation involving the FBI in Scranton, the Pennsylvania State Police, and the Monroe County District Attorney’s Office. Assistant United States Attorneys Michelle Olshefski and Sean Camoni prosecuted the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin and fentanyl. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This case was also part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The maximum penalty under federal law is life in prison, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Two Men from Ohio and Massachusetts Arrested Following Traffic Stop with Cash and Cocaine in CarRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Michael Almonte Diaz, 28, of Cleveland, Ohio, and Lowinsky Cuevas Acosta, 26, of Lynn, Massachusetts, were arrested and charged by criminal complaint with possession with intent to distribute 500 grams or more of cocaine. The charge carries a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Cassie Kocher, who is handling the case, stated that on August 2, 2022, the New York State Police conducted a traffic stop of a white Toyota Camry, bearing Massachusetts plates, traveling eastbound on Interstate 90 in the area of Exit 41 in Seneca County. Diaz was identified as the driver and Acosta was identified as the front seat passenger. As the trooper approached the vehicle, a strong odor of marijuana was emanating from the vehicle. During a search of the vehicle, troopers recovered approximately $18,000 in cash and a gift-wrapped package that contained approximately 645 grams of cocaine.
Diaz and Acosta made an initial appearance today before U.S. Magistrate Judge Mark W. Pedersen and were detained.
The criminal complaint is the result of an investigation by the New York State Police, under the direction of Major Brian J. Ratajczak, U.S. Customs and Border Protection, Air and Marine Operations, under the direction of Brian Manaher, and Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Two Georgia Men Plead Guilty to Firearms Trafficking in Delaware Federal CourtRead the Press Release
WILMINGTON, Del. –David C. Weiss, U.S. Attorney for the District of Delaware, announced today that Ryan Freeman and Shaquayvis Asberry, both from the Atlanta, Georgia area, pled guilty to conspiring to deal firearms without a license and related gun charges in federal court. Freeman pled guilty on July 12, 2022. Asberry pled guilty yesterday, August 3, 2022. The Honorable Colm F. Connolly, Chief Judge, U.S. District Court for the District of Delaware, accepted both pleas.
According to court filings and statements made in open court, on January 16, 2021, while patrolling Interstate 495, Delaware State Police officers stopped the defendants for a routine traffic violation. Officers found 10 guns during a search of defendants’ car. Further investigation by the ATF revealed various text messages, photographs, and financial records, all of which demonstrated the Defendants’ intent to illegally sell these firearms. The Indictment also alleges that, with Asberry’s help, Freeman had been selling firearms without a license in Philadelphia since the summer of 2020.
U.S. Attorney Weiss stated, “Illegally trafficking firearms threatens our communities by providing individuals prohibited from possessing guns with ready access to these weapons. Disrupting the unlawful interstate transfer of firearms requires cooperation among federal, state, and local law enforcement. I want to thank the Delaware State Police and ATF for their thorough investigation.”
“These defendants illegally transported guns through numerous states, numerous communities, all with the intention of selling them illegally,” said ATF Baltimore Special Agent in Charge Toni M. Crosby. “Every step of the way, this threatens the safety of the public. ATF and our law enforcement partners will continue to identify and investigate anyone trafficking firearms and placing more guns into the hands of criminals.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Delaware State Police. Assistant U.S. Attorneys Christopher L. de Barrena-Sarobe is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 21-CR-00055 (CFC).
Two Companies Plead Guilty in Bid Rigging Scheme for Insulation ContractsRead the Press Release
BC Flynn Contracting Corp. (BC Flynn) and Axion Specialty Contracting LLC (Axion) pleaded guilty yesterday in federal court in Connecticut for their roles in a conspiracy to rig bids on insulation contracts in Connecticut in violation of the antitrust laws and, as to BC Flynn, to engage in criminal fraud related to those insulation contracts.
According to plea agreements filed yesterday in the U.S. District Court in Bridgeport, BC Flynn and Axion conspired among themselves and other companies and individuals to rig bids on contracts for installing insulation around pipes and ducts on construction projects at universities, hospitals, and other public and private entities in Connecticut. The conspiracy ran for nearly seven years, beginning as early as June 2011 and continuing until as late as March 2018. Four individuals and one company previously pleaded guilty to charges related to their role in this scheme and await sentencing.
“Construction and infrastructure projects — many of them funded in whole or part by taxpayers — deserve to have contracting processes that are fair and competitive,” said Assistant Attorney General Jonathan Kanter of the Department of Justice’s Antitrust Division. “The division will work with our law enforcement partners to ensure that the individuals and corporations that defraud these projects are held fully responsible for their actions.”
“The plea agreements detail how the perpetrators submitted collusive bids and shared bid numbers with their competitors in an illegal effort to improve their companies’ bottom lines,” said U.S. Attorney Vanessa Roberts Avery for the District of Connecticut. “I commend the FBI and DCIS for investigating this scheme that victimized hospitals, universities and businesses throughout Connecticut.”
“Free and open markets are the foundation of a vibrant economy,” said Special Agent in Charge David Sundberg of the FBI New Haven Field Office. “The FBI is committed to investigating perpetrators of antitrust and fraud crimes that corruptly limit competition in the construction sector.”
“The Defense Criminal Investigative Service (DCIS), the law enforcement arm of the Department of Defense (DoD) Office of Inspector General, is fully committed to protecting the integrity of the DoD procurement system,” said Special Agent in Charge Patrick J. Hegarty of the DCIS Northeast Field Office. “Anticompetitive and fraudulent practices undermine the legitimate procurement processes designed to ensure equity among parties that do business with the DoD. We will continue to partner with the Department of Justice and the FBI to ensure that the market for construction services provided to the U.S. military remains competitive.”
The antitrust charges announced today carry a maximum penalty of a $100 million fine for each defendant corporation. The fraud conspiracy charge against BC Flynn carries a maximum penalty of a $500,000 fine. The fines for the antitrust and fraud conspiracy charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine. In addition, pursuant to the plea agreements, which are subject to the court’s final approval, BC Flynn and Axion have agreed to pay restitution to the victims.
This investigation is being conducted by the Antitrust Division’s New York Office, the U.S. Attorney’s Office for the District of Connecticut, the FBI’s New Haven Division, and the DCIS’s New Haven Resident Agency.
In November 2019, the Department of Justice created the Procurement Collusion Strike Force, a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant, and program funding at all levels of government — federal, state and local. To contact the Procurement Collusion Strike Force, or to report information on market allocation, price fixing, bid rigging and other anticompetitive conduct related to construction or infrastructure, go to https://www.justice.gov/procurement-collusion-strike-force.
Two Companies Plead Guilty in Bid Rigging Scheme for Insulation ContractsRead the Press Release
WASHINGTON – BC Flynn Contracting Corp. (BC Flynn) and Axion Specialty Contracting LLC (Axion) pleaded guilty yesterday in federal court in Connecticut for their roles in a conspiracy to rig bids on insulation contracts in Connecticut in violation of the antitrust laws and, as to BC Flynn, to engage in criminal fraud related to those insulation contracts.
According to plea agreements filed yesterday in the U.S. District Court in Bridgeport, BC Flynn and Axion conspired among themselves and other companies and individuals to rig bids on contracts for installing insulation around pipes and ducts on construction projects at universities, hospitals, and other public and private entities in Connecticut. The conspiracy ran for nearly seven years, beginning as early as June 2011 and continuing until as late as March 2018. Four individuals and one company previously pleaded guilty to charges related to their role in this scheme and await sentencing.
“Construction and infrastructure projects — many of them funded in whole or part by taxpayers — deserve to have contracting processes that are fair and competitive,” said Assistant Attorney General Jonathan Kanter of the Department of Justice’s Antitrust Division. “The division will work with our law enforcement partners to ensure that the individuals and corporations that defraud these projects are held fully responsible for their actions.”
“The plea agreements detail how the perpetrators submitted collusive bids and shared bid numbers with their competitors in an illegal effort to improve their companies’ bottom lines,” said U.S. Attorney Vanessa Roberts Avery for the District of Connecticut. “I commend the FBI and DCIS for investigating this scheme that victimized hospitals, universities and businesses throughout Connecticut.”
“Free and open markets are the foundation of a vibrant economy,” said Special Agent in Charge David Sundberg of the FBI New Haven Field Office. “The FBI is committed to investigating perpetrators of antitrust and fraud crimes that corruptly limit competition in the construction sector.”
“The Defense Criminal Investigative Service (DCIS), the law enforcement arm of the Department of Defense (DoD) Office of Inspector General, is fully committed to protecting the integrity of the DoD procurement system,” said Special Agent in Charge Patrick J. Hegarty of the DCIS Northeast Field Office. “Anticompetitive and fraudulent practices undermine the legitimate procurement processes designed to ensure equity among parties that do business with the DoD. We will continue to partner with the Department of Justice and the FBI to ensure that the market for construction services provided to the U.S. military remains competitive.”
The antitrust charges announced today carry a maximum penalty of a $100 million fine for each defendant corporation. The fraud conspiracy charge against BC Flynn carries a maximum penalty of a $500,000 fine. The fines for the antitrust and fraud conspiracy charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine. In addition, pursuant to the plea agreements, which are subject to the court’s final approval, BC Flynn and Axion have agreed to pay restitution to the victims.
This investigation is being conducted by the Antitrust Division’s New York Office, the U.S. Attorney’s Office for the District of Connecticut, the FBI’s New Haven Division, and the DCIS’s New Haven Resident Agency.
In November 2019, the Department of Justice created the Procurement Collusion Strike Force, a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant, and program funding at all levels of government — federal, state and local. To contact the Procurement Collusion Strike Force, or to report information on market allocation, price fixing, bid rigging and other anticompetitive conduct related to construction or infrastructure, go to https://www.justice.gov/procurement-collusion-strike-force.