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Tuesday 7 June 2022
Davenport Man Sentenced to Federal Prison for Firearm ChargeRead the Press Release
DAVENPORT, Iowa –Justin Marion Woods, age 48, of Davenport, was sentenced on June 2, 2022, to 77 months in prison after pleading guilty to being a Felon in Possession of a Firearm. Woods was ordered to serve three years of supervised release to follow his prison term and immediately pay a $100 Special Assessment to the Crime Victims’ Fund.
According to court documents, on July 4, 2020, Davenport police were dispatched to a disturbance involving weapons. After further investigation, a loaded Hi-Point .45 caliber pistol was found in Woods’ possession. On February 4, 2022, he pleaded guilty to the charge. Woods admitted he had been convicted of multiple felonies and he knew he was prohibited from possessing a firearm.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This matter was investigated by the Davenport Police Department and prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
This case was a 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.
Dansville Physician Agrees to Pay More Than $600,000 to Resolve Allegations That He Fraudulently Billed Medicare and MedicaidRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney Trini E. Ross announced today that James A. Sakr, M.D., has agreed to pay $602,661.61 to resolve allegations, arising under the False Claims Act, that he fraudulently billed Medicare and Medicaid for procedures that were not medically necessary or that he did not perform.
Assistant U.S. Attorney David M. Coriell, who handled the case, stated that from at least January 1, 2014, to December 31, 2019, Dr. Sakr, an ear, nose, and throat (ENT) doctor based in Dansville, NY, billed Medicare and Medicaid for procedures not performed at all or were not documented in patient medical records.
“This health care provider billed for services and procedures that he did not perform and for which he was paid with the public’s money,” stated U.S. Attorney Ross. “The resolution of this case holds Dr. Sakr accountable for his actions and requires him to return the money he should not have received from Medicare and Medicaid. Our office will continue to root out fraud in federal healthcare programs and hold those who defraud the public accountable.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Lee M. Mandel, M.D., FACS. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Mandel v. Sakr, 17-cv-907 (W.D.N.Y.). Dr. Mandel will receive a share of the settlement.
The resolution of this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the Western District of New York, the U.S. Department of Health and Human Services Office of Inspector General, and the New York State Attorney General’s Office Medicaid Fraud Control Unit.
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Collinsville osteopathic physician admits illegally prescribing drugRead the Press Release
ST. LOUIS – An osteopathic physician from Collinsville, Illinois pleaded guilty in U.S. District Court Tuesday and admitted illegally prescribing an anti-anxiety drug.
Matthew Steven Miller, 43, pleaded guilty in front of U.S. District Judge Ronnie L. White to one count of obtaining a controlled substance by fraud and one count of making a false statement concerning a health care matter.
Miller admitted illegally writing prescriptions for the anti-anxiety drug Xanax for six people between 2016 and 2018. He did not have a doctor-patient relationship with them, had not examined them, had not determined that they needed the drug and did not document the prescriptions, his plea agreement says. On some occasions, they sold the drugs and split the money with Miller, his plea says.
Miller wrote the prescriptions despite not being licensed by Missouri’s Bureau of Narcotics and Dangerous Drugs and lacking a Drug Enforcement Administration registration number necessary to do so.
Miller was licensed to practice medicine in Missouri, Michigan and New Jersey.
The case was investigated by the Drug Enforcement Administration, the U.S. Department of Health and Human Services, Office of the Inspector General and the South Central Drug Task Force. Assistant U.S. Attorney Dorothy McMurtry is prosecuting the case.
Canadian Man Going to Prison for His Role in Scheme That Defrauded Elderly Victims Out of $2,600,000Read 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 Martin Hogan, 53, of Montreal Canada, who was convicted of conspiracy to commit wire and mail fraud, was sentenced to serve 111 months in prison by U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Melissa Marangola, who handled the case, stated that between September 2015 and March 2020, Hogan conspired with multiple co-defendants to defraud elderly victims using a fraudulent telemarketing scheme. Hogan placed telephone calls from Canada to victims in the United States, telling them that they had won the Canadian lottery. However, victims were told that they had to first pay the taxes, brokerage fee, and/or custom fees due in connection with the winnings. Some victims were instructed to mail cash to addresses in New York owned by co-conspirators. The cash was then smuggled over the border into Canada and given to Hogan. In total, elderly victims were defrauded out of more than $2,600,000.
Martin Hogan was on vacation in Jamaica where he was apprehended at the request of the United States and later extradited in January 2021. The money he used to pay for his vacation was money obtained from the scheme.
The sentencing is the result of an investigation by Homeland Security Investigations, Border Enforcement Security Task Force, under the direction of Acting Special Agent-in-Charge Matthew Scarpino, the Internal Revenue Service, Criminal Investigations Division, under the direction of Thomas Fattorusso, Special Agent-in-Charge, New York Field Office, and the U.S. Customs and Border Protection, Air and Marine Operations, under the direction of Brian Manaher, Director, Marine Operations. The Justice Department’s Office of International Affairs provided substantial assistance in securing the extradition of defendant Martin Hogan from Jamaica.
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Camden County Man Sentenced to 120 Months in Prison for Possessing Child PornographyRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man with a prior child exploitation conviction was sentenced today to 120 months in prison for possessing child pornography, U.S. Attorney Philip R. Sellinger announced.
James Tierney, 57, of Cherry Hill, New Jersey, previously pleaded guilty before U.S. Senior District Judge Robert B. Kugler to one count of possession of child pornography. Judge Kugler imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
In August 2020, law enforcement agents executed a search warrant at Tierney’s residence after receiving information from the National Center for Missing and Exploited Children that an online cloud account accessed from Tierney’s residence had uploaded images of child sexual abuse. While executing the search warrant, agents recovered Tierney’s cell phone, which contained multiple videos and images of child sexual abuse. Tierney admitted to agents that he used the cell phone and cloud account for possessing images of child sexual abuse.
In addition to the prison term, Judge Kugler sentenced Tierney to five years of supervised release.
U.S. Attorney Sellinger credited special agents of the Department of Homeland Security, Homeland Security Investigations, Cherry Hill Office, under the direction of Special Agent in Charge Jason J. Molina in Newark; the Camden County Prosecutor’s Office High Tech Crimes Unit, under the direction of Acting Prosecutor Grace C. MacAulay; and the New Jersey State Police, under the direction of Superintendent Patrick J. Callahan, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Jeffrey B. Bender of the U.S. Attorney's Office Criminal Division in Camden.
Defense counsel: Maggie Moy Esq., Assistant Federal Public Defender, Camden
Burlington Man Sentenced to Federal Prison for Ammunition ChargeRead the Press Release
DAVENPORT, Iowa – Kaleb Alan Shannan, age 22, of Burlington, was sentenced on June 1, 2022, to 108 months in prison for being a Felon in Possession of Ammunition. Shannan was ordered to serve three years of supervised release to follow his prison term and was assessed a $100 Special Assessment immediately payable to the Crime Victims’ Fund.
According to court documents, Shannan was identified as an individual who had communicated numerous threats towards law enforcement and their families both in electronic communication and personal contact. During a traffic stop search, law enforcement seized nine-millimeter rounds of ammunition from Shannan’s backpack. On January 18, 2022, Shannan pleaded guilty to the charge.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This matter was investigated by the Des Moines County Sheriff and prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Buffalo Man Convicted by Federal Jury Going to Prison for 30 Years for Selling Dangerous Fentanyl Analogue Which Resulted in the Death of an IndividualRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Jawayne Watkins, 33, aka Weezy, of Buffalo, NY, who was convicted by a federal jury of distributing heroin and 4-fluoroisobutyryl fentanyl resulting in the death an individual, as well as conspiracy and other distribution charges, was sentenced to serve 360 months by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorneys Michael J. Adler and Meghan E. Leydecker, who handled the prosecution of the case, stated that Watkins sold heroin and 4-fluoroisobutyryl fentanyl, a rare and extremely dangerous fentanyl analogue. On at least two occasions, in July 2017, and on November 9, 2017, Homeland Security Investigations made controlled purchases from Watkins. The substances purchased from Watkins later tested positive for heroin and 4-fluoroisobutyryl fentanyl. On November 10, 2017, an individual identified as A.C. died after taking a substance received from Watkins. Toxicology reports following the victim’s death indicated she had heroin and 4-fluoroisobutyryl fentanyl in her system. During the investigation, law enforcement officers also made other seizures of the deadly substance from Watkins.
Watkins was on New York State parole and living in a halfway house at the time of his arrest in November 2017.The sentencing is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia and Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino.
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Barbour County man admits to meth chargeRead the Press Release
ELKINS, WEST VIRGINIA – Austin Jay Robinson, of Belington, West Virginia, has admitted to a methamphetamine charge, United States Attorney William Ihlenfeld announced.
Robinson, 23, pleaded guilty today to one count of “Distribution of Methamphetamine.” Robinson admitted to selling methamphetamine in April 2021 in Barbour County.
Robinson faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Mountain Region Drug Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Armed Drug Dealer Sentenced to 12 Years in Federal Prison for Firearm and Drug Trafficking OffensesRead the Press Release
INDIANAPOLIS – Troy Fulmer, 32, of Indianapolis, was sentenced to 144 months in federal prison after pleading guilty to charges of possession with intent to distribute methamphetamine and carrying a firearm during and in relation to his drug trafficking of methamphetamine.
According to court documents, on June 18, 2021, Fulmer was stopped on his motorcycle by officers from the Speedway Police Department. Fulmer fled the traffic stop and crashed his motorcycle. After a short foot pursuit, officers took Fulmer into custody and located two handguns and approximately 110 grams of methamphetamine on Fulmer.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Speedway Police Chief Charles Upchurch made the announcement.
The Speedway Police Department investigated the case. The Bureau of Alcohol, Tobacco, Firearms, and Explosives provided valuable assistance. The sentence was imposed by U.S. District Chief Judge Tanya Walton Pratt. As part of the sentence, Judge Pratt ordered that Fulmer be supervised by the U.S. Probation Office for 5 years following his release from federal prison.
U.S. Attorney Myers thanked Assistant U.S. Attorney Patrick G. Gibson who prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime.
Another Texas drug dealer sent to prisonRead the Press Release
CORPUS CHRISTI, Texas – A 29-year-old Corpus Christi resident has been ordered to federal prison for possession with intent to distribute meth, announced U.S. Attorney Jennifer B. Lowery.
Robert James Blanco pleaded guilty Sept. 7, 2021.
Today, U.S. District Judge David S. Morales sentenced Blanco to 130 months in prison to be followed by four years of supervised release. At the hearing, the court heard additional evidence that detailed Blanco’s responsibility for 5,486 kilograms of narcotics and multiple arrests with narcotics and firearms. In handing down the sentence, the court noted Blanco’s multiple arrests for narcotics, weapons possession and violent crimes.
The investigation started in December 2020 when law enforcement discovered Blanco was posting in a social media chat room that he was selling meth, heroin, ecstasy and more in Corpus Christi. Undercover officers then purchased meth from Blanco on several occasions. On March 1, 2021, authorities attempted to stop a vehicle Blanco was driving when he crashed into other vehicles while trying to flee.
On Feb. 16, 2021, authorities arrested Blanco with a loaded firearm, $1,330 and various narcotics including 30.65 grams of meth.
He will remain in federal prison pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney Christopher Marin prosecuted the case.
An Oahu Man and Two Maui Men Arrested in Connection with Drug Trafficking, Firearm, Illegal Gambling Business, and Money Laundering ChargesRead the Press Release
HONOLULU – Maliu Tauheluhelu, 37, Maafu Pani, 37, and Touanga Niu, 21, were arrested Friday, June 3, in connection with an indictment charging drug trafficking, firearm, illegal gambling business, and money laundering offenses. Desmond Morris, 38, is also charged in the indictment and has not yet been apprehended. The indictment was unsealed earlier this morning.
Tauheluhelu, Pani, and Niu are expected to be presented in Hawaii federal court as early as Monday, June 6, 2022, before United States Chief Magistrate Judge Kenneth J. Mansfield.
A press conference was held at 10:30 a.m. on Monday, June 6, 2022, at the Maui Police Department.
According to court documents, by the summer of 2020 and continuing until the date of the indictment, Tauheluhelu led a criminal organization that distributed methamphetamine and cocaine and operated illegal gambling businesses within the District of Hawaii. Pani oversaw the criminal organization’s drug trafficking and illegal gambling activities on Maui. Niu assisted the criminal organization with the transportation of controlled substances from Oahu to Maui and the transportation of unlawful proceeds from Maui back to Oahu, including through flights on an airline for which there was no Transportation Security Administration screening. At certain times, Morris participated in the criminal organization’s illegal activities by distributing and possessing with intent to distribute controlled substances on Maui.
This case was investigated by the Federal Bureau of Investigation and Task Force Officers from the Maui Police Department, with assistance from the Maui Police Department, the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Drug Enforcement Administration.
The prosecution is handled by Assistant U.S. Attorney Micah Smith.
American Woman Who Led ISIS Battalion Pleads GuiltyRead the Press Release
ALEXANDRIA, Va. – A United States citizen pleaded guilty today in the Eastern District of Virginia to organizing and leading an all-female military battalion in Syria on behalf of the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
According to court documents, Allison Fluke-Ekren, aka “Allison Ekren,” aka “Umm Mohammed al-Amriki,” and aka “Umm Mohammed,” 42, a former resident of Kansas, traveled overseas and, from in or about September 2011 through in or about May 2019, engaged in terrorism-related activities in multiple countries, including Syria, Libya, and Iraq. Fluke-Ekren ultimately served as the leader and organizer of an ISIS military battalion, known as the Khatiba Nusaybah, where she trained women on the use of automatic firing AK-47 assault rifles, grenades, and suicide belts. Over 100 women and young girls, including as young as 10 or 11-years-old, received military training from Fluke-Ekren in Syria on behalf of ISIS.
In or around 2008, Fluke-Ekren departed the United States and moved to Egypt with her second husband, a now-deceased former member of the terrorist organization Ansar al-Sharia. Fluke-Ekren resided in Egypt until in or around 2011, at which point she moved to Libya. Near the end of 2011, Fluke-Ekren resided with her second husband, among others, in Benghazi, Libya. In the aftermath of the September 11, 2012 terrorist attack on the U.S. Special Mission and CIA Annex in Benghazi, Fluke-Ekren’s second husband claimed that he removed at least one box of documents and at least one electronic device from the U.S. compound in Benghazi. He brought the items to the residence where he resided with Fluke-Ekren and others at that time. Fluke-Ekren assisted her second husband with reviewing and summarizing the contents of the stolen U.S. government documents. The stolen documents and electronic device, along with the summaries that Fluke-Ekren helped prepare, were provided to the leadership of Ansar al-Sharia in Benghazi.
In or around late 2012, Fluke-Ekren, her second husband, and others traveled from Libya to Turkey. Shortly thereafter, they traveled from Turkey to Syria. After approximately six weeks, Fluke-Ekren returned to Turkey while her second husband remained in Syria. Fluke-Ekren’s second husband ascended through the ranks of ISIS and ultimately became the “emir” (leader) of ISIS snipers in Syria. In or around mid-2014, Fluke-Ekren and others were smuggled back into Syria. While residing in Syria, Fluke-Ekren told a witness about her desire to conduct an attack in the United States. To conduct the attack, Fluke-Ekren explained that she could go to a shopping mall in the United States, park a vehicle full of explosives in the basement or parking garage level of the structure, and detonate the explosives in the vehicle with a cell phone triggering device. Fluke-Ekren also spoke about learning how to make bombs and explosives. Fluke-Ekren further said that she considered any attack that did not kill a large number of individuals to be a waste of resources. Fluke-Ekren would hear about external attacks taking place in countries outside the United States and would comment that she wished the attack had occurred on United States soil instead.
In 2014, ISIS officials sent a female member of ISIS, who traveled from Central America, to Ablah, Syria, where she resided in an adjoining residence to Fluke-Ekren for approximately 18 days. This witness visited Fluke-Ekren at her residence in Syria on multiple occasions. During those visits, Fluke-Ekren discussed ideas for an attack involving the use of explosives on the campus of a U.S.-based college in the Midwest.
In or around 2015, Fluke-Ekren, her second husband, and others moved from Syria to Mosul, Iraq, where they temporarily resided inside an ISIS-controlled compound within the University of Mosul. When Fluke-Ekren arrived in Mosul, she met with ISIS personnel who were in charge of homes for widowed women whose husbands died while fighting for ISIS. Fluke-Ekren assisted the ISIS personnel by providing ideas for how the homes should function and operate.
In or around mid-2016, Fluke-Ekren led and organized an effort to establish a Women’s Center in Raqqa, Syria. Fluke-Ekren obtained authorization from the “Wali,” the ISIS-appointed mayor of Raqqa, in order to establish the Center. There, Fluke-Ekren and others provided medical services, educational services about the Islamic State, child care, and various training to women and young girls. As the Center’s leader, Fluke-Ekren also provided and assisted other female ISIS members in providing training to numerous women and young girls on the use of automatic firing AK-47 assault rifles, grenades, and explosive suicide belts.
In or around late 2016, the ISIS “Wali” of Raqqa approved the creation of the “Khatiba Nusaybah” – a military battalion to be comprised solely of female ISIS members. The Khatiba Nusaybah began operations on behalf of the terrorist organization in or around February 2017. Fluke-Ekren’s main objective as the leader and organizer of the Khatiba Nusaybah battalion was to teach female ISIS members how to defend themselves against ISIS’s enemies, including helping male fighters defend ISIS-controlled Raqqa. Fluke-Ekren sought to motivate her trainees by explaining how female fighters can ensure the Islamic State is kept alive by “helping ISIS expand and to remain” through the use of weapons, including automatic firing AK-47 assault rifles, grenades, and suicide belts packed with explosives. In addition, witnesses with first-hand knowledge stated that the Khatiba Nusaybah also provided certain members with instruction on physical training including martial arts, medical training, VBIED driving courses, ISIS religious classes, and how to pack and prep a “go bag” with rifles and other military supplies.
In 2018, Fluke-Ekren informed another witness that she had instructed an individual in Syria to send a message to one of her family members stating that Fluke-Ekren was dead so that the U.S. government would not attempt to locate her. Fluke-Ekren informed this same witness that it was important to kill the “kuffar” (disbelievers) and die as martyrs on behalf of ISIS in Syria. Fluke-Ekren was located outside the United States since on or about January 8, 2011, until she was transferred in custody to the Eastern District of Virginia on January 28.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; and Steven M. D’Antuono, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
Fluke-Ekren pleaded guilty to conspiring to provide material support or resources to a foreign terrorist organization, and is scheduled to be sentenced on October 25. She faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
First Assistant United States Attorney Raj Parekh and Assistant United States Attorney John Gibbs from the U.S. Attorney’s Office for the Eastern District of Virginia are prosecuting the case, with assistance from the National Security Division.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-92.
American Woman Who Led ISIS Battalion Pleads GuiltyRead the Press Release
A U.S. citizen pleaded guilty today in the Eastern District of Virginia to organizing and leading an all-female military battalion in Syria on behalf of the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
According to court documents, Allison Fluke-Ekren, aka Allison Ekren, aka Umm Mohammed al-Amriki and aka Umm Mohammed, 42, a former resident of Kansas, traveled overseas and from in or about September 2011 through in or about May 2019, engaged in terrorism-related activities in multiple countries, including Syria, Libya and Iraq. Fluke-Ekren ultimately served as the leader and organizer of an ISIS military battalion, known as the Khatiba Nusaybah, where she trained women on the use of automatic firing AK-47 assault rifles, grenades and suicide belts. Over 100 women and young girls, including as young as 10 or 11-years-old, received military training from Fluke-Ekren in Syria on behalf of ISIS.
In or around 2008, Fluke-Ekren departed the United States and moved to Egypt with her second husband, a now-deceased former member of the terrorist organization Ansar al-Sharia. Fluke-Ekren resided in Egypt until in or around 2011, at which point she moved to Libya. Near the end of 2011, Fluke-Ekren resided with her second husband, among others, in Benghazi, Libya. In the aftermath of the Sept. 11, 2012, terrorist attack on the U.S. Special Mission and CIA Annex in Benghazi, Fluke-Ekren’s second husband claimed that he removed at least one box of documents and at least one electronic device from the U.S. compound in Benghazi. He brought the items to the residence where he resided with Fluke-Ekren and others at that time. Fluke-Ekren assisted her second husband with reviewing and summarizing the contents of the stolen U.S. government documents. The stolen documents and electronic device, along with the summaries that Fluke-Ekren helped prepare, were provided to the leadership of Ansar al-Sharia in Benghazi.
In or around late 2012, Fluke-Ekren, her second husband and others traveled from Libya to Turkey. Shortly thereafter, they traveled from Turkey to Syria. After approximately six weeks, Fluke-Ekren returned to Turkey while her second husband remained in Syria. Fluke-Ekren’s second husband ascended through the ranks of ISIS and ultimately became the “emir” (leader) of ISIS snipers in Syria. In or around mid-2014, Fluke-Ekren and others were smuggled back into Syria. While residing in Syria, Fluke-Ekren told a witness about her desire to conduct an attack in the United States. To conduct the attack, Fluke-Ekren explained that she could go to a shopping mall in the United States, park a vehicle full of explosives in the basement or parking garage level of the structure, and detonate the explosives in the vehicle with a cell phone triggering device. Fluke-Ekren also spoke about learning how to make bombs and explosives. Fluke-Ekren further said that she considered any attack that did not kill a large number of individuals to be a waste of resources. Fluke-Ekren would hear about external attacks taking place in countries outside the United States and would comment that she wished the attack had occurred on U.S. soil instead.
In 2014, ISIS officials sent a female member of ISIS, who traveled from Central America, to Ablah, Syria, where she resided in an adjoining residence to Fluke-Ekren for approximately 18 days. This witness visited Fluke-Ekren at her residence in Syria on multiple occasions. During those visits, Fluke-Ekren discussed ideas for an attack involving the use of explosives on the campus of a U.S.-based college in the Midwest.
In or around 2015, Fluke-Ekren, her second husband, and others moved from Syria to Mosul, Iraq, where they temporarily resided inside an ISIS-controlled compound within the University of Mosul. When Fluke-Ekren arrived in Mosul, she met with ISIS personnel who were in charge of homes for widowed women whose husbands died while fighting for ISIS. Fluke-Ekren assisted the ISIS personnel by providing ideas for how the homes should function and operate.
In or around mid-2016, Fluke-Ekren led and organized an effort to establish a Women’s Center in Raqqa, Syria. Fluke-Ekren obtained authorization from the “Wali”, the ISIS-appointed mayor of Raqqa, in order to establish the center. There, Fluke-Ekren and others provided medical services, educational services about the Islamic State, childcare, and various training to women and young girls. As the center’s leader, Fluke-Ekren also provided and assisted other female ISIS members in providing training to numerous women and young girls on the use of automatic firing AK-47 assault rifles, grenades and explosive suicide belts.
In or around late 2016, the ISIS “Wali” of Raqqa approved the creation of the “Khatiba Nusaybah” – a military battalion to be comprised solely of female ISIS members. The Khatiba Nusaybah began operations on behalf of the terrorist organization in or around February 2017. Fluke-Ekren’s main objective as the leader and organizer of the Khatiba Nusaybah battalion was to teach female ISIS members how to defend themselves against ISIS’s enemies, including helping male fighters defend ISIS-controlled Raqqa. Fluke-Ekren sought to motivate her trainees by explaining how female fighters can ensure the Islamic State is kept alive by “helping ISIS expand and to remain” through the use of weapons, including automatic firing AK-47 assault rifles, grenades, and suicide belts packed with explosives. In addition, witnesses with first-hand knowledge stated that the Khatiba Nusaybah also provided certain members with instruction on physical training including martial arts, medical training, VBIED driving courses, ISIS religious classes, and how to pack and prep a “go bag” with rifles and other military supplies.
In 2018, Fluke-Ekren informed another witness that she had instructed an individual in Syria to send a message to one of her family members stating that Fluke-Ekren was dead so that the U.S. government would not attempt to locate her. Fluke-Ekren informed this same witness that it was important to kill the “kuffar” (disbelievers) and die as martyrs on behalf of ISIS in Syria. Fluke-Ekren was located outside the United States since on or about Jan. 8, 2011, until she was transferred in custody to the Eastern District of Virginia on Jan. 28.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Jessica D. Aber for the Eastern District of Virginia and Assistant Director in Charge Steven M. D’Antuono of the FBI’s Washington Field Office made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
Fluke-Ekren pleaded guilty to conspiring to provide material support or resources to a foreign terrorist organization and is scheduled to be sentenced on Oct. 25. She faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
First Assistant U.S. Attorney Raj Parekh and Assistant U.S. Attorney John Gibbs for the Eastern District of Virginia are prosecuting the case, with assistance from the National Security Division’s Counterterrorism Section.
12th Defendant Sentenced in Dog-Fighting, Drug Distribution RingRead the Press Release
MACON, Ga. – The 12th defendant prosecuted as part of an extensive investigation into a dog-fighting and cocaine distribution network spanning three states was sentenced for his crimes in federal court today.
Shelley Johnson aka Gold Mouth, 40, of Macon, Georgia, was sentenced to serve the maximum guideline sentence of 37 months in prison to be followed by three years of supervised release and a $25,000 fine by U.S. District Judge Tilman E. “Tripp” Self, III after he previously pleaded guilty to conspiracy to participate in an animal fighting venture. As a condition of his supervised release, Johnson is prohibited from owning or possessing dogs. There is no parole in the federal system.
According to court documents, law enforcement investigated a criminal organization involved in both cocaine distribution and organized dog fighting based out of Roberta, Georgia, which extended into North Georgia, Florida and Alabama from May 2019 until Feb. 2020. In Feb. 2020, law enforcement executed 15 residential search warrants and seized more than 150 dogs that were being used for organized dog-fighting. A 136-count indictment was unsealed on Jan. 29, 2021, charging 11 individuals with various criminal activities. Three other individuals, including Johnson, were charged by criminal information.
During this time period, Johnson communicated with co-conspirator Jarvis Lockett about fighting and breeding dogs, dogs mauled and killed as a result of fighting, sharpening a dog’s teeth for fighting purposes, cash prizes for fights, and various topics detailing the business and the brutality of dog-fighting. Johnson attended a dog fight and participated as a handler inside the ring during the dog fight. Law enforcement executed a search warrant at Johnson’s Macon residence on Feb. 26, 2020, recovering 13 pit bull terrier type dogs with scarring consistent with dog-fighting. In addition, agents found evidence of dog fighting activities including a digital scale, weighted collars, heavy chains, ground stakes and a variety of medical supplies to treat animals for injuries sustained from dog fighting activities.
“Johnson participated in a brutal criminal enterprise that profited from the suffering of animals,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division (ENRD).“Dog-fighting is a crime, and also closely associated with other serious crimes. The sentences in this prosecution show those who engage in this cruel and inhumane practice face significant prison time.”
“The brutality of dog-fighting alone is sickening; but this case demonstrates the strong union that exists between this bloody and inhumane business and the world of illegal gun and drug trafficking,” said U.S. Attorney Peter D. Leary. “Our office is committed to not only prosecuting dog-fighting participants, but working alongside our federal, state and local law enforcement partners, we will root out the entire criminal network and hold them responsible for their crimes.”
“This investigation and prosecution should send a strong zero-tolerance message to those individuals involved in the inhumane torture of animals for entertainment,” said Jason Williams, Special Agent in Charge, U.S. Department of Agriculture-Office of Inspector General. “We appreciate the collaboration with our law enforcement partners in pursing these purveyors of death and senseless suffering.”
The following co-conspirators have been convicted and sentenced in this case:
Lekey Davis aka Kee Boo, 46, of Talbotton, Georgia, was sentenced to serve 210 months of imprisonment after pleading guilty to conspiracy to possess with intent to distribute cocaine and cocaine base;
Christopher Raines aka Binky, 51, of Talbotton, was sentenced to serve 135 months of imprisonment to be followed by five years of supervised release and pay a $10,000 fine after pleading guilty to conspiracy to participate in an animal fighting venture and conspiracy to possess with intent to distribute cocaine and cocaine base;
Jarvis Lockett aka J-Rock, 41, of Warner Robins, Georgia, was sentenced to serve 120 months of imprisonment to be followed by three years of supervised release after pleading guilty to conspiracy to participate in an animal fighting venture and cocaine distribution;
Derrick Owens aka Doomie, 38, of Woodland, Georgia, was sentenced to serve 120 months of imprisonment after pleading guilty to conspiracy to participate in an animal fighting venture and conspiracy to possess with intent to distribute cocaine;
Jason Carter, 39, of Phoenix City, Alabama, was sentenced to serve 97 months of imprisonment after pleading guilty to conspiracy to possess with intent to distribute cocaine;
Vernon Vegas, 50, of Suwanee, Georgia, was sentenced to serve the maximum 60 months in prison to be followed by three years of supervised release and pay a $10,000 fine after pleading guilty to conspiracy to participate in an animal fighting venture;
Shaquille Bentley, 27, of Roberta, Georgia, was sentenced to serve 48 months of imprisonment after pleading guilty to use of a communication facility;
Rodrick Walton aka Rodrie Walton, 42, of Shiloh, Georgia, was sentenced to serve 24 months of imprisonment after pleading guilty to conspiracy to participate in an animal fighting venture;
Reginald Crimes, 39, of Preston, Georgia, was sentenced to serve 24 months of imprisonment to be followed by three years of supervised release after pleading guilty to conspiracy to participate in an animal fighting venture;
Lee Benney, 55, of Reynolds, Georgia, was sentenced to serve 21 months of imprisonment to be followed by three years of supervised release after pleading guilty to conspiracy to participate in an animal fighting venture; and,
Bryanna Holmes, 25, of Fort Valley, Georgia, was sentenced to serve 36 months of probation after pleading guilty to use of a communication facility.
The case was investigated by the Drug Enforcement Administration (DEA), the U.S. Department of Agriculture, Office of the Inspector General (USDA-OIG), the U.S. Marshals Service, the Department of Justice, Environment and Natural Resources Division (DOJ-ENRD), the Georgia Bureau of Investigation (GBI), the Bibb County Sheriff’s Office, the Crawford County Sheriff’s Office, the Houston County Sheriff’s Office, the Merriweather County Sheriff’s Office, the Peach County Sheriff’s Office, the Taylor County Sheriff’s Office, the Webster County Sheriff’s Office, the Byron Police Department and the Fort Valley Police Department.
Assistant U.S. Attorney Will Keyes and Trial Attorney Banu Rangarajan with the Department of Justice, Environmental Crimes Section prosecuted the case.
Monday 6 June 2022
Yuba County Man Indicted on Fentanyl and Firearms ChargesRead the Press Release
SACRAMENTO, Calif. — On June 2, 2022, a federal grand jury returned a four-count indictment against Victor Angeles Serrano Nash, 27, of Olivehurst, charging him with possession with intent to distribute fentanyl, dealing in firearms without a license, and two counts of possession of a machine gun, U.S. Attorney Phillip A. Talbert announced.
Nash is scheduled to make an initial appearance before U.S. Magistrate Judge Kendall J. Newman on June 6, 2022.
According to court documents, between Aug. 18, 2021, and Nov. 23, 2021, Nash sold counterfeit M-30 pills containing fentanyl and at least eight firearms to an undercover agent and criminal informant. Several of the firearms were reported stolen, and two were AR-15 style pistols with switches that converted them to machine guns.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Yolo County District Attorney’s Office, the Sacramento Police Department, the Sacramento Sheriff’s Office, the California Department of Corrections and Rehabilitation Special Services Unit, and the Sutter County Sheriff’s Office. Assistant U.S. Attorney Alstyn Bennett is prosecuting the case.
If convicted, Nash faces a minimum statutory penalty of five years and maximum of 40 years in prison and a $5 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is 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.
Yuba County Man Indicted on Fentanyl and Firearms ChargesRead the Press Release
SACRAMENTO, Calif. — On June 2, 2022, a federal grand jury returned a four-count indictment against Victor Angeles Serrano Nash, 27, of Olivehurst, charging him with possession with intent to distribute fentanyl, dealing in firearms without a license, and two counts of possession of a machine gun, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between Aug. 18, 2021, and Nov. 23, 2021, Nash sold counterfeit M-30 pills containing fentanyl and at least eight firearms to an undercover agent and criminal informant. Several of the firearms were reported stolen, and two were AR-15 style pistols with switches that converted them to machine guns.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Yolo County District Attorney’s Office, the Sacramento Police Department, the Sacramento Sheriff’s Office, the California Department of Corrections and Rehabilitation Special Services Unit, and the Sutter County Sheriff’s Office. Assistant U.S. Attorney Alstyn Bennett is prosecuting the case.
If convicted, Nash faces a minimum statutory penalty of five years and maximum of 40 years in prison and a $5 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is 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.
Woodland Woman Sentenced to 5 Years in Prison for Conspiring to Distribute MethamphetamineRead the Press Release
JOHNSTOWN, Pa. – A former resident of Woodland, PA, has been sentenced in federal court to a total of 5 years in prison followed by 4 years of supervised release on her conviction of conspiracy to distribute methamphetamine, United States Attorney Cindy K. Chung announced today.
Senior United States District Judge Kim R. Gibson imposed the sentence on Amber Gallaher, 30, of Woodland, Pennsylvania.
According to information presented to the court, from July 2019 to June 2020, Gallaher did conspire to distribute 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Ms. Chung commended the Drug Enforcement Administration and the Pennsylvania State Police for the investigation that led to the successful prosecution of Gallaher. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Homeland Security Investigations, Pennsylvania Office of the Attorney General, Clearfield County District Attorney’s Office, Erie County District Attorney’s Office, Millcreek Police Department, Erie Bureau of Police, and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Woodland Man Pleads Guilty for Role in Methamphetamine ConspiracyRead the Press Release
JOHNSTOWN, Pa. – A former resident of Woodland, PA pleaded guilty in federal court to charges of violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
Mark Hackett, 34, of Woodland, PA, pleaded guilty to Counts Two and Nine of the Superseding Indictment before Senior United States District Judge Kim R. Gibson.
In connection with the guilty plea, from July 2019 to June 2020, Hackett did conspire to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine. Further, on December 18, 2019, Hackett did distribute and possess with the intent to distribute 50 grams or more of methamphetamine.
Judge Gibson scheduled sentencing for October 12, 2022. The law provides for a minimum sentence of 10 years in prison and maximum sentence of life in prison, a fine of $10,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
The Drug Enforcement Administration and the Pennsylvania State Police conducted the investigation that led to the prosecution of Hackett. Additional agencies participating in this investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, Homeland Security Investigations, Pennsylvania Office of the Attorney General, Clearfield County District Attorney’s Office, Erie County District Attorney’s Office, Millcreek Police Department, Erie Bureau of Police, and other local law enforcement agencies.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Wetzel County man admits to firearms chargeRead the Press Release
WHEELING, WEST VIRGINIA – Joseph Allen Sams, of Jacksonsburg, West Virginia, has admitted to a firearms charge, United States Attorney William Ihlenfeld announced.
Sams, 36, pleaded guilty today to one count of “Unlawful Possession of a Firearm.” Sams, a person prohibited from having a firearm because of a prior felony conviction, admitted to having a 20-gauge shotgun and nine rounds of 20-gause ammunition in August 2021 in Tyler County.
Sams faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney David J. Perri is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tyler County Sheriff’s Office investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Waterloo Man Sentenced to over Nine Years in Federal Prison for Being a Felon in Possession of a FirearmRead the Press Release
A felon who possessed a firearm was sentenced today to 114 months in federal prison.
Lloyd James Allen III, age 29, of Waterloo received the sentence after a January 6, 2022 guilty plea to one count of being a felon in possession of a firearm. At the plea hearing, Allen admitted that, on February 7, 2021, he knowingly possessed a pistol after having been convicted of three crimes punishable by more than one year of imprisonment. At the sentencing hearing, evidence was introduced that defendant possessed firearms on two other occasions in 2020 and 2021.
Allen was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Allen was sentenced to 114 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was prosecuted by Assistant United States Attorney Ashley Corkery and was investigated by the Waterloo Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is CR 21-2067.
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Wapato Man Sentenced to 57 Months in Federal Prison After Killing Four People While Drunk DrivingRead the Press Release
Yakima, Washington – On May 31, 2022, U.S. District Judge Salvador Mendoza, Jr. sentenced Leland James Finley, 28, of Wapato, Washington, to 57 months in federal prison for Involuntary Manslaughter and Assault Resulting in Serious Bodily Injury. Judge Mendoza also ordered Finley to serve three years on federal supervision after he is released from prison. Finley pleaded guilty to four counts of Involuntary Manslaughter and one count of Assault Resulting in Serious Bodily Injury on November 23, 2021.
According to court documents, on May 7, 2019, at a little after 4:00 a.m., law enforcement officers responded to a crash scene at the intersection of U.S. Highway 97 and Larue Road, on the Yakama Nation Reservation. The investigation revealed that Finley failed to stop at as stop sign on Larue Road and drove in front of a semi-tractor-trailer that had been travelling on the highway, causing the collision. Four passengers in the Finley’s SUV were killed and a fifth was badly injured; multiple alcohol containers were recovered from inside the SUV and scattered around the scene. A Yakama Nation Police Department Officer interviewed Finley after advising him of his rights, and Finley acknowledged that he and his passengers had been drinking beer and driving around. Finley also admitted that he was the driver at the time of the crash. Remarkably, Finley admitted that he saw the stop sign and the semi-tractor-trailer, but said that he just wanted to beat the truck through the intersection. Lab results of Finley’s blood, which was drawn at a local hospital about five hours after the crash, showed the presence of alcohol, THC, metabolites of THC, cocaine, and metabolites of cocaine.
“Four people are dead. No legal proceeding, no admission of guilt, no sentence can bring them back or truly heal the wounds Mr. Finley has caused their loved ones. My office mourns with the victims’ families while we seek justice with our law enforcement partners. We will continue to hold accountable those who engage in criminally reckless violence in our community,” said Vanessa R. Waldref, U.S. Attorney for the Eastern District of Washington. “While it is a miracle that anyone survived that crash, this tragedy was as senseless as it was avoidable. I call on every driver in Eastern Washington to learn the devastatingly obvious lesson from this case: do not drive while high or drunk.”
“This did not need to happen,” said Donald M. Voiret, Special Agent in Charge of the FBI Seattle office. “It is 2022. It is not a new concept that driving while impaired leads to devastating consequences, including in this case the deaths of four innocent people. The only thing we can hope today is that others learn from Mr. Finley’s tragic decisions.”
This case was investigated by the Federal Bureau of Investigation, the Yakama Nation Police Department, and the Washington State Patrol. The case was prosecuted by Michael Murphy, Assistant U.S. Attorney for the Eastern District of Washington.
United States Obtains Warrant for Seizure of Two Airplanes of Russian Oligarch Roman Abramovich Worth over $400 MillionRead the Press Release
The United States of America has been authorized to seize a Boeing 787-8 aircraft and a Gulfstream G650ER aircraft owned and controlled by Russian oligarch Roman Abramovich, pursuant to a seizure warrant from the U.S. District Court for the Southern District of New York, which found that the airplanes are subject to seizure and forfeiture based on probable cause of violations of the Export Control Reform Act (ECRA) and the recent sanctions issued against Russia.
According to the seizure warrant and affidavit unsealed today:
In response to Russia’s invasion of Ukraine, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) issued various sanctions against Russia that impose export controls and license requirements to protect U.S. national security and foreign policy interests. These Russia sanctions include expanded prohibitions on the export, reexport, or in-country transfer of U.S.-manufactured aircraft and aircraft parts and components to or within Russia without a BIS license, and eliminate the availability of any license exception for aircraft owned or controlled, or under charter or lease, by Russia or a Russian national.
The Boeing and the Gulfstream each were reexported to Russia (i.e., flown from a foreign country to Russia) in violation of the ECRA and regulations issued thereunder, including the recent Russia sanctions. The Boeing was flown to Russia on March 4, 2022 without a BIS license, and is now in the United Arab Emirates. The Gulfstream was flown to Russia on March 12 and 15, 2022 without a BIS license, and remains in Russia. The Boeing and Gulfstream are owned and controlled by Roman Abramovich, a Russia national, through a series of shell companies in Cyprus, Jersey, and the British Virgin Islands.
The Boeing (pictured below), bearing tail number P4-BDL and serial number 37306, is believed to be worth approximately $350 million.
The Gulfstream (pictured below), bearing tail number LX-RAY and serial number 6417, is believed to be worth approximately $60 million.
Task Force KleptoCapture Director Andrew C. Adams, U.S. Attorney Damian Williams for the Southern District of New York, Special Agent in Charge Michael J. Driscoll of the FBI’s New York Field Office, and Assistant Secretary for Export Enforcement Matthew S. Axelrod of the Department of Commerce made the announcement.
U.S. Attorney Williams praised the outstanding work of the FBI and BIS. In a charging letter that separately issued today, BIS initiated administrative proceedings against Roman Abramovich, seeking penalties of up to twice the value of the Boeing and the Gulfstream. U.S. Attorney. Williams further thanked the Justice Department’s National Security Division and Office of International Affairs, the U.S. Treasury Department’s Office of Foreign Assets Control, and Her Majesty’s Attorney General for the Bailiwick of Jersey for their assistance in this investigation.
Assistant U.S. Attorneys Joshua A. Naftalis, Anden Chow, Michael D. Lockard, and Kaylan E. Lasky for the Southern District of New York are investigating the case.
The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls, and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2 and run out of the Office of the Deputy Attorney General, the task force will continue to leverage all of the Department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
United States Obtains Warrant for Seizure of Two Airplanes of Russian Oligarch Roman Abramovich Worth over $400 MillionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Andrew C. Adams, Task Force KleptoCapture Director, Michael J. Driscoll, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Matthew S. Axelrod, Assistant Secretary of Commerce for Export Enforcement, announced today that the United States of America has been authorized to seize a Boeing 787-8 aircraft and a Gulfstream G650ER aircraft owned and/or controlled by Russian oligarch Roman Abramovich, pursuant to a seizure warrant from the U.S. District Court for the Southern District of New York, which found that the airplanes are subject to seizure and forfeiture based on probable cause of violations of the Export Control Reform Act (“ECRA”) and the recent sanctions issued against Russia.
U.S. Attorney Damian Williams said: “Today’s affidavit and warrant demonstrate the Southern District’s commitment to bring to bear every legal tool available for enforcement of sanctions and export controls imposed in response to Russia’s illegal war in Ukraine. Our international partners — nations devoted to the rule of law — far outnumber those jurisdictions where these aircraft can safely hide, and our investigation of illegal exports in violation of U.S. law will continue unabated.”
Task Force KleptoCapture Director Andrew C. Adams said: “Today’s action reflects the global scope of the United States’ response to illegal Russian aggression in Ukraine. While we seek to execute on these warrants, the Task Force eagerly anticipates working with international partners to uphold the rule of law and reminds members of the aviation, insurance, and financial industries that these aircraft constitute tainted property under active investigation by the United States.”
FBI Assistant Director Michael J. Driscoll said: “These wealthy Russian oligarchs have helped foster an environment that enabled Russia to pursue its deadly war in Ukraine. The seizure of their valuable possessions, including these two aircraft, is just one way the U.S government holds accountable those who break U.S. laws and support Russia in its attempt to conquer a sovereign nation. Our work has only just begun and we won't back away.”
Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod: “The Commerce Department has put in place unprecedented export controls in response to Russia’s illegal war against Ukraine. Today’s action, and our recent changes to make such actions public when brought, provides notice to the world of our commitment to enforce those controls aggressively in a transparent way, consistent with our commitment to the rule of law.”
According to the seizure warrant and affidavit sworn out today:[1]
In response to Russia’s invasion of Ukraine, the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) issued various sanctions against Russia that impose export controls and license requirements to protect U.S. national security and foreign policy interests. These Russia sanctions include expanded prohibitions on the export, reexport, or in-country transfer of U.S.-manufactured aircraft and aircraft parts and components to or within Russia without a BIS license, and eliminate the availability of any license exception for aircraft owned or controlled, or under charter or lease, by Russia or a Russian national.
The Boeing and the Gulfstream each were reexported to Russia (i.e., flown from a foreign country to Russia) in violation of the ECRA and regulations issued thereunder, including the recent Russia sanctions. The Boeing was flown to Russia on March 4, 2022 without a BIS license and without a license exception, and is now in the United Arab Emirates. The Gulfstream was flown to Russia on March 12 and 15, 2022 without a BIS license and without a license exception, and remains in Russia. The Boeing and Gulfstream are owned and/or controlled by Roman Abramovich, a Russia national, through a series of shell companies in Cyprus, Jersey, and the British Virgin Islands.
The Boeing (pictured below), bearing tail number P4-BDL and manufacturer serial number 37306, is believed to be worth approximately $350 million.
The Gulfstream (pictured below), bearing tail number LX-RAY and manufacturer serial number 6417, is believed to be worth approximately $60 million.
* * *
Mr. Williams praised the outstanding work of the FBI and BIS. In a charging letter that separately issued today, BIS initiated administrative proceedings against Roman Abramovich, seeking penalties of up to twice the value of the Boeing and the Gulfstream. Mr. Williams further thanked the Justice Department’s National Security Division and Office of International Affairs, the U.S. Treasury Department’s Office of Foreign Assets Control, and Her Majesty’s Attorney General for the Bailiwick of Jersey for their assistance in this investigation.
This case is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit and National Security and International Narcotics Unit. Assistant United States Attorneys Joshua A. Naftalis, Anden Chow, Michael D. Lockard, and Kaylan E. Lasky are in charge of the investigation.
The investigation was coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export controls, and economic countermeasures that the United States, along with its foreign allies and partners, has imposed in response to Russia’s unprovoked military invasion of Ukraine. Announced by the Attorney General on March 2 and run out of the Office of the Deputy Attorney General, the task force will continue to leverage all of the Department’s tools and authorities to combat efforts to evade or undermine the collective actions taken by the U.S. government in response to Russian military aggression.
[1] The burden to prove forfeitability in a forfeiture proceeding is upon the government.
United States Attorney Announces Enhanced Enforcement Strategy Targeting Designated High Crime Areas in DetroitRead the Press Release
DETROIT – Today, United States Attorney Dawn N. Ison, along with Detroit Mayor Mike Duggan, Wayne County Prosecuting Attorney Kym Worthy and Detroit Police Chief James E. White announced a targeted law enforcement initiative that is designed to reduce gun violence in Detroit’s neighborhoods with the highest incidence of violent crime.
Joining in the announcement were Special Agent in Charge James A. Tarasca, Federal Bureau of Investigation, Detroit Division, Special Agent in Charge Paul Vanderplow, Bureau of Alcohol, Tobacco, Firearms and Explosives.
Studies have shown that violent crime is commonly driven by a small number of actors and is highly concentrated within communities. And we know that as temperatures rise, so too does violent crime in these neighborhoods. With the summer now upon us, the United States Attorney’s Office, along with the Wayne County Prosecutor’s Office, the Detroit Police Department, the ATF, and the FBI, has launched an effort to strategically focus resources on the most dangerous neighborhoods of the city. These neighborhoods in the 8th and 9th Precincts lead the city in fatal and non-fatal shootings, robberies, and aggravated assaults with a gun in 2022.
The strategy is a part of the United States Attorney’s Office’s Project Safe Neighborhoods (PSN) initiative. PSN continues to be the centerpiece of the Department of Justice’s violent crime reduction efforts. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems and develop comprehensive solutions to address them. PSN is an evidence-based program that focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs to pursue lasting reductions in crime.
The unified approach to reducing gun violence announced today includes enhanced federal, state, and local law enforcement collaboration and coordinated prosecution efforts to boost existing and ongoing partnerships to address violent crime across the city. Under the strategy,
felons arrested in one of the designated areas in possession of a firearm will be immediately prosecuted federally. In addition, any individual who uses a firearm to commit a crime of violence or drug trafficking crime will also be considered for federal prosecution. The “hot spot” strategy for federal enforcement began on Memorial Day and will last until Labor Day in September.
Importantly, this enforcement strategy will be paired with enhanced efforts from the City of Detroit to address blight and other quality of life issues for residents living in the designated enforcement areas.
“Through this partnership, we will focus strategically on the drivers of violence in our most dangerous communities. This strategy is designed to significantly reduce violence by narrowly focusing on those who are committing it and to give these neighborhoods back to the majority of the residents who want to live in peace,” stated U.S. Attorney Dawn N. Ison. “Along with our enforcement strategy, my office is committed to working with community leaders in these neighborhoods and the City of Detroit to improve the quality of life in the areas that we have targeted for enhanced enforcement,” continued Ison.
Mayor Duggan stated, “The two areas Detroit Police have been intensely focused on are the 8th and 9th Precincts, where we typically see the highest rate of gun-related crimes, especially during the summer months. I'm deeply appreciative to the US Attorney's Office for implementing the new policy of having cases of felons found in possession of a gun in these precincts go immediately to federal prosecution. Federal law enforcement agencies in Detroit have worked very closely with DPD and the community. This new initiative makes it clear they will remain strong community partners in making neighborhoods safer for Detroit residents.”
Prosecutor Worthy stated, “The proliferation of gun violence in Detroit is staggering. We must not be deterred from attacking this problem. People with previous records in the 8th and 9th Precinct will be prosecuted federally if they are in possession of weapons. We are hopeful that our collaboration with the U.S. Attorney’s Office will have an impact on this important issue. “
Chief White stated, “Detroiters deserve policing excellence. The continued collaboration provides another layer of protection for our community. The relationship between DPD and the US Attorney’s Office plays an instrumental role in keeping Detroiters safe. I would like to thank US Attorney Dawn Ison for her commitment and leadership to our community.”
“Through information sharing, strategic enforcement efforts, and federal prosecutions, law enforcement agencies across Detroit continue to work together to combat crime in the most violent areas of our city,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “The FBI will contribute to this initiative by targeting those who commit armed robberies of businesses, along with the leadership of gangs and criminal enterprises that drive the violence in our communities. By doing so, we will ensure our neighborhoods and communities are safer places to live and work.”
“Regardless of the time of year, ATF has no tolerance for criminals who continue to terrorize our communities’ by utilizing firearms as a tool of violence,” said, ATF Special Agent in Charge Paul Vanderplow. “The men and women of ATF are dedicated to identifying and apprehending those who choose violence. ATF stands proudly with our Federal, State, and Local law enforcement partners within the State of Michigan to prosecute these individuals.”
U.S. Attorney Dena J. King Participates in End-Of-Schoolyear Celebration at Charlotte's Turning Point AcademyRead the Press Release
CHARLOTTE, N.C. – Today, U.S. Attorney Dena J. King participated in an end-of-schoolyear celebration during a mentoring session at Charlotte’s Turning Point Academy. Turning Point Academy is an alternative option designed to meet the educational needs of historically underserved middle school and high school students. In addition to providing an educational curriculum, the program offers therapeutic intervention services and behavior and academic prevention and intervention programs, to assist students with developing and implementing a personal plan while attending the program.
In April, U.S. Attorney King was invited to speak to a group of students at Turning Point Academy about her background and experiences as a student and share her challenges and successes as a lawyer throughout her legal career. During her initial visit, U.S. Attorney King was invited to join the Sister Circle, a group made up of high school students at the Academy. Since then, U.S. Attorney King has regularly led mentoring sessions with the Sister Circle students, during which they discuss a number of topics including educational goals, the importance of civic duty, respecting oneself and others, and other areas of interest to the students.
“Being part of the Sister Circle has been a great privilege,” said U.S. Attorney King. “I’m honored to be a member of this close-knit group and I thank the students for placing their trust in me and letting me into their world. My participation has also given me the opportunity to get to know the students better, understand their life experiences, find ways to help them set high expectations for themselves, and encourage their passion for lifelong success. I plan to continue to be in touch with the students and do my part in helping them stay on a positive path.”
Since taking office, U.S. Attorney King has made youth engagement a priority of her community outreach efforts. To date, U.S. Attorney King has collaborated with school districts throughout Western North Carolina to promote youth engagement, support young people in developing the skills they need for future success, and empower students to reach their full potential. Ms. King has spoken with students with Charlotte Mecklenburg Schools, Iredell County Schools, Buncombe County Schools, Asheville City Schools, McDowell County Schools and Cherokee Schools on the Qualla Boundary. During her interactions with the students, U.S. Attorney King has encouraged students to discuss the challenges they face and has urged young people to voice their ideas on how to address these issues.
“As grown-ups we get used to communicating with young people by telling them what they ought to do. However, communication should flow both ways and nobody knows better the challenges young people face than young people,” said U.S. Attorney King. “The purpose of my meetings with students is to hear their stories, learn the impact of trauma and violence in their lives, listen to their thoughts on disparities and inequities throughout society, and understand the obstacles they need to overcome to realize their full potential. These interactions can help guide our violence prevention strategy at a federal level and determine what federal funding and resources are available to address our students’ needs,” King added.
Throughout her school engagements, U.S. Attorney King has also recognized all the adults who work hard to ensure students have the tools and skills they need to succeed. “Students do not succeed on their own,” U.S. Attorney King stated. “There is an extensive and dedicated support network of teachers, administrators, parents, guardians, trusted adults and community members working hard to ensure young people learn how to successfully navigate life’s twists and turns, understand how to become valued members of our communities, and more importantly how they can grow up to develop into positive agents of change. I thank all these individuals for their hard work and their ongoing commitment to our children.”
Trio from South Dakota and Colorado Federally Indicted for Kidnapping, Carjacking, and Firearm Offense Against FBI EmployeeRead the Press Release
United States Attorney Alison J. Ramsdell announced that three individuals, one who resides in South Dakota and two who reside in Colorado, have been indicted by a federal grand jury for Kidnapping, Carjacking, and Using, Carrying, and Brandishing a Firearm During and in Relation to a Crime of Violence.
Juan Francisco Alvarez-Soto, age 23 and originally from El Salvador; Deyvin Morales, age 27 and originally from Guatemala; and Lourdes Alondra Bonilla, age 23 and originally from Colorado, were indicted on May 19, 2022. The defendants appeared before a magistrate judge in the District of Colorado, and each defendant pleaded not guilty to the Indictment. The three defendants will be transported to the District of South Dakota for further court proceedings.
The maximum term of imprisonment upon conviction for each count is as follows: up to life for Kidnapping; up to fifteen (15) years for Carjacking; and a mandatory minimum of seven (7) years up to life for Using, Carrying, and Brandishing a Firearm During and in Relation to a Crime of Violence. Each count also has a maximum fine of $250,000.
According to the indictment, on or about May 6, 2022, near Red Shirt, in the District of South Dakota, the defendants, Juan Francisco Alvarez-Sorto, a/k/a Juan Francisco Alvarez, a/k/a “Juanito R.,” a/k/a “Juan Jr.,” Deyvin Morales, a/k/a Deyvin Eliabid Escriba Morales, a/k/a Deybi Eleabit Escriba Morales, a/k/a “Guate,” a/k/a “Watay,” a/k/a “Chapine,” and Lourdes Alondra Bonilla, a/k/a “Bhabie Doze,” a/k/a “Princess_Doze,” did willfully and knowingly kidnap and abduct a victim. At the time, the victim was engaged in the performance of their official duties as a professional support employee with the Federal Bureau of Investigation. The defendants also took the victim’s vehicle, with force, violence, and intimidation, and brandished a rifle during the commission of the charged criminal conduct. It is alleged that the defendants aided and abetted each other in committing the charges set forth in the indictment.
The charges are merely accusations, and each defendant is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Jeremy R. Jehangiri is prosecuting the case.
The defendants were all detained pending further court proceedings in South Dakota. A trial date has not been set.
Third defendant sentenced for trafficking guns to BarbadosRead the Press Release
ATLANTA - Rashad Sargeant has been sentenced for his role in trafficking firearms to Barbados. Together with his co-defendant, David Johnson, Sargeant shipped at least 30 firearms to Barbados after obliterating the serial numbers from the firearms and packing them inside false compartments in boxes.
“Firearms trafficking fuels violence in communities within the United States and abroad,” said U.S. Attorney Ryan K. Buchanan. “We will continue to actively leverage partnerships with federal, state, local, and international law enforcement partners to stem the illegal flow of firearms.”
“This case and ultimate conviction highlights the fact that illegal gun trafficking not only affects our local communities but has implications far beyond our borders” said ATF Assistant Special Agent in Charge Alicia Jones. “At a time when gun crime is on the rise, this case reinforces the need for ATF and our partners to be vigilant in investigating and prosecuting individuals who supply both the domestic and international illegal arms trade.”
“Disrupting the flow of illegal guns inevitably saves lives and reduces overall crime, so I’m glad we were able to stop this scheme to illegally export guns to Barbados,” said Special Agent in Charge Katrina W. Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “Cases like this highlight the great results that can be achieved when agencies work together to protect our communities.”
“The Office of Export Enforcement is committed to disrupting the illegal export of firearms from the United States,” said Nasir Khan, Acting Special Agent in Charge of the U.S. Department of Commerce’s Office of Export Enforcement, Miami Field Office. “We will continue to work with U.S. and international law enforcement partners to penalize violators of our export laws.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: David Johnson recruited Shunquez Stephens, and others to unlawfully purchase guns from federally licenses firearms dealers. Stephens, and the other “straw purchasers”, made false statements to the licensed dealers by swearing that that they were purchasing the guns for themselves.
Sargeant and Johnson would then take possession of the guns and use false identifications to mail the guns to Barbados through common carriers like UPS, FedEx, and DHL.
Rashad Sargeant, 27, of College Park, Georgia, has been sentenced to three years, ten months in prison to be followed by three years of supervised release after pleading guilty on September 2, 2021.
David Johnson, 31, of Belleville, Illinois, was previously sentenced on March 17, 2022, and sentenced to three years, ten months in prison to be followed by three years of supervised release after pleading guilty on July 22, 2021.
Shunquez Stephens, 28, of Flowery Branch, Georgia, was previously sentenced on September 30, 2021, and sentenced to three years of probation after pleading guilty on June 21, 2021.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Bureau of Industry and Security, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Assistant U.S. Attorney Jennifer Keen prosecuted the case.
This case was brought as part of Project Safe Neighborhoods (PSN). In keeping with the Attorney General’s mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
For 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.
Suburban Chicago Home Sleep Testing Company to Pay $3.5 Million to Settle Federal Health Care Fraud SuitRead the Press Release
CHICAGO — A suburban Chicago diagnostics company that provides home sleep testing will pay $3.5 million to the United States to settle a civil lawsuit accusing the company of defrauding Medicare and four other federal health care programs through kickbacks and unnecessary home sleep testing.
The suit in U.S. District Court in Chicago alleged that SNAP DIAGNOSTICS LLC, a nationwide provider of home sleep testing diagnostic services based in Wheeling, Ill.; its founder, GIL RAVIV; and its vice president, STEPHEN BURTON, violated the False Claims Act and the Anti-Kickback Statute by fraudulently billing Medicare and four other federal health care programs for medically unnecessary services and for services that were occasioned by kickbacks. The suit alleged that Raviv directed SNAP to submit claims for patients’ second and third nights of home sleep testing when, in fact, the company knew that only a single night of testing was needed to effectively diagnose obstructive sleep apnea and that it routinely tested and claimed only one night for patients with private health insurance. As a result, the suit alleged that, in addition to defrauding five federal agencies, SNAP unlawfully multiplied the copays it received from senior citizens who were Medicare beneficiaries. The suit also alleged that SNAP’s business model relied on several unlawful kickback schemes, which incentivized physicians and their staffs to refer all of their home sleep testing services to SNAP.
As part of a settlement agreement approved Friday by U.S. District Judge Mary M. Rowland, SNAP agreed to pay the United States $3.5 million, while Raviv will pay $300,000, and Burton $125,000, for a total settlement amount of $3.925 million. These payments represent amounts the United States is willing to accept due solely to SNAP’s, Raviv’s, and Burton’s respective financial conditions, as shown by sworn financial disclosures. SNAP and Raviv also entered into a corporate integrity agreement with the Office of Inspector General of the U.S. Department of Health and Human Services, requiring SNAP to, among other things, retain an independent review organization to perform annual reviews of claims and submit reports to the OIG-HHS.
The settlement was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; Cynthia A. Bruce, Special Agent-in-Charge of the U.S. Department of Defense Office of Inspector General, Defense Criminal Investigative Service, Southeast Field Office; Gregory Billingsley, Special Agent-in-Charge of the U.S. Department of Veterans Affairs Office of Inspector General’s Central Field Office; Mario Pinto, Special Agent-in-Charge of the U.S. Department of Health and Human Services, Office of the Inspector General; Martin J. Dickman, Inspector General of the U.S. Railroad Retirement Board Office of the Inspector General in Chicago; and Amy K. Parker, Special Agent-in-Charge of the U.S. Office of Personnel Management Office of the Inspector General. The government was represented by Senior Litigation Counsel Sarah J. North and Assistant U.S. Attorney Kate Flannery.
“When health care providers violate their obligation to properly bill for federally funded treatment, government programs and American taxpayers pay the price,” said U.S. Attorney Lausch. “Our office remains committed to protecting taxpayers and preserving the integrity of our federal health care system.”
“American taxpayers should never foot the bill for private companies seeking to profit by defrauding government programs,” said FBI Special Agent-in-Charge Buie. “The FBI will continue working with law enforcement and prosecutorial partners to fight illegal kickback schemes and ensure that justice is done within the federal medical system.”
“We aggressively investigate cases of fraud, which take money from VA programs meant to benefit our nation’s veterans and their families,” said VA OIG Special Agent-in-Charge Billingsley. “The VA OIG thanks the U.S. Attorney’s Office and our law enforcement partners for their efforts in this joint investigation. We encourage anyone who becomes aware of fraud against the VA to contact the VA OIG Hotline.”
“We are proud to be part of this collaborative effort and would like to thank our law enforcement partners and the U.S. Attorney’s Office for their dedication and excellent work in this case,” said RRB-OIG Inspector General Dickman. “Medicare fraud remains a top federal law enforcement priority and providers who exploit our healthcare system will not be tolerated.”
“The OPM OIG is committed to holding accountable those who seek to enrich themselves by inflating costs and overbilling the Federal Employees Health Benefits Program for medically unnecessary tests,” said OPM OIG Special Agent-in-Charge Parker. “We applaud our investigative staff and law enforcement partners on today’s settlement, which is a direct result of their hard work investigating these types of health care fraud schemes.”
“Individuals involved in this scheme defrauded TRICARE and I am pleased that the U.S. Attorney’s Office is requiring justice,” said DCIS Special Agent-in-Charge Bruce. “DCIS agents will continue to pursue individuals who improperly profit from our military health care system and all taxpayers.”
The settlement resolves two civil lawsuits filed under the qui tam, or whistleblower, provisions of the False Claims Act. The Act permits private citizens to bring lawsuits on behalf of the United States for false claims, and to share in any recovery. The United States intervened in the two lawsuits and filed a complaint in intervention prior to the settlement. The settlement agreement is neither an admission of liability by SNAP, Raviv, or Burton, nor a concession by the United States that its claims are not well founded.
St. Augustine Man Pleads Guilty to Illegally Purchasing FirearmsRead the Press Release
Jacksonville, FL –United States Attorney Roger B. Handberg announces that Adam Taylor (32, St. Augustine) has pleaded guilty to illegally purchasing firearms. Taylor faces a maximum penalty of 10 years in federal prison. In addition, Taylor has agreed to forfeit the firearms traceable to the offense. A sentencing date has not yet been set.
According to the plea agreement, Taylor was intercepted on a state wiretap discussing the purchase of firearms with a member of a suspected drug trafficking organization (DTO). On August 18, 2021, Taylor purchased two Century Arms Draco 7.62 x 39mm pistols from a gun dealer in St. Augustine. Taylor lied to the gun dealer when he completed paperwork claiming that he was buying the firearms for himself. Shortly after purchasing the firearms, Taylor delivered the pistols to the DTO member.
On September 9, 2021, law enforcement agents executed a search warrant at the DTO member’s residence in St. Augustine. As a result of the search, the located and seized the two Century Arms, Draco, 7.62 x 39mm pistols that Taylor had purchased.
This case was investigated by the Florida Department of Law Enforcement, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the St. Johns County Sheriff’s Office, and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Frank Talbot. The forfeiture of assets is being handled by Assistant United States Attorney Mai Tran.
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.
Southampton Woman Pleads Guilty to Elder Fraud SchemeRead the Press Release
Earlier today, in federal court in Central Islip, Mara Ficarra pleaded guilty to conspiracy to commit mail, wire and bank fraud. The proceeding was held before United States District Judge Joanna Seybert. When sentenced, Ficarra faces up to five years in prison, as well as forfeiture and restitution of more than $1.5 million.
Breon Peace, United States Attorney for the Eastern District of New York, and Daniel B. Brubaker, Inspector-in-Charge, United States Postal Inspection Service, New York Division (USPIS). announced the guilty plea.
“Ficarra enriched herself by preying upon vulnerable elderly members of our community in an elaborate solicitation to immortalize the victims’ through inclusion of their biographies in reference publications she controlled, when in fact it was a scheme designed to steal their hard-earned savings. With today’s guilty plea, Ficarra has ensured that her own legacy is that of a convicted fraudster,” stated United States Attorney Peace. “This Office is committed to protecting the elderly from financial fraud and ending elder abuse in all its pernicious forms.” Mr. Peace thanked the Southampton Town Police Department for its assistance with the investigation.
“Mara Ficarra took advantage of the elderly, leading them to believe their legacies would be preserved in The Remington Registry of Outstanding Professionals. What she did instead was prey on innocent victims and continue to drain their bank accounts of over $1.5 million. Postal Inspectors will tirelessly pursue anyone who targets the elderly for fraud. Today’s guilty plea is proof of the commitment of Postal Inspectors and our partners in the U.S. Attorney’s Office to bring these scammers to justice,” stated USPIS Inspector-in-Charge Brubaker.
As set forth in court filings, Ficarra and a co-conspirator owned, operated and held senior management positions in various companies, including Remington Biographies, Inc., Remington Bookkeepers, Inc., and Mentorship America1, Inc. (collectively, the “Remington Entities”). The Remington Entities purported to publish reference publications containing biographical information of individuals across the country. Those publications included “Inspiring the Youth of America” and “The Remington Registry of Outstanding Professionals.”
From 2013 to December 2018, Ficarra caused letters and pamphlets to be mailed to victims, primarily the elderly, indicating that the victim’s biography would be published in one of the reference publications. The letters, addressed “Dear Nominee,” indicated, “Your 2 books and your plaque are paid for in full and ready for delivery. Please send a check for $14.00 dollars for shipping and handling.” The pamphlet described the publication and stated in part, “The Remington Registry of Outstanding Professionals is more than a who’s who. It is the ultimate expression of achievements, hardships, and dedication that professionals have made in their lives and careers…. Sit back and be read for a wonderful experience.” The mailings induced hundreds of victims to send checks as payment for inclusion in the reference publications. Ficarra then used the routing and bank account information on those checks to produce fraudulent checks for larger dollar amounts, which she then deposited into bank accounts she and a co-conspirator controlled at Citibank, Everbank, HSBC, JP Morgan Chase and Wells Fargo, among other financial institutions. Ficarra then promptly withdrew cash from the accounts, stealing more than $1.5 million dollars from the victim subscribers and financial institutions.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Catherine M. Mirabile is in charge of the prosecution, with the assistance of Assistant United States Attorney Madeline O’Connor who is handling forfeiture matters.
The Defendant:
MARA FICARRA
Age: 57
Southampton, New YorkE.D.N.Y. Docket No. 18-CR-679 (S-1) (JS)
SnapChat Sale of Fentanyl-Laced Pills Leads to Teenage Overdose Death and Guilty PleaRead the Press Release
HARRISONBURG, Va. – Abdallah Amer Ali, 21, of Harrisonburg, sold a fatal dose of fentanyl to a 16-year-old in Harrisonburg and pled guilty to one count of distributing a measurable quantity of fentanyl which resulted in death.
“We have seen a record number of overdose deaths in the last year both here in Virginia and across the country,” United States Attorney Christopher R. Kavanaugh said today. “My Office will continue to approach this epidemic with strength and compassion by holding accountable those who cause overdose deaths, raising awareness about the dangers of these lethal substances, and providing support to individuals in recovery. A comprehensive solution is the only way forward.”
“With overdose deaths on a rampant rise across the country, we often focus on numbers, but today’s announcement is an important reminder that these numbers are much more than that – these are our children, loved ones, and our friends. Counterfeit pills containing fentanyl are a huge problem, affecting every culture, race, and age in our local communities. It only takes one pill to kill. And we’re working hard, along with our partners, on cases like this to help stop this fentanyl crisis and keep our families safer from such tragic outcomes,” Special Agent in Charge Jarod Forget of the Drug Enforcement Administration’s Washington Division said.
In October 2019, using the messaging app SnapChat, Ali arranged to sell what the teenage victim believed were Percocet pills, also known as “percs.” Although he advised the teenager to not ingest all of them at once, Ali stopped short of letting him know that the pills also contained the lethal opioid, fentanyl. Unaware that his pills were fentanyl-laced, the teenager ingested the pills, overdosed, and died early the next morning.
Ali is scheduled to be sentenced on September 13, 2022 and faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Drug Enforcement Administration’s Washington Division, the Harrisonburg Police Department, and the Rockingham County Sheriff’s Office investigated the case.
Assistant U.S. Attorneys Andrew Bassford and Jonathan Jones are prosecuting the case.
Sex Offender Sentenced to Prison for Failing to RegisterRead the Press Release
PITTSBURGH, PA. A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 10 months’ imprisonment followed by 5 years of supervised release on his conviction for failure to register as a sex offender, United States Attorney Cindy K. Chung announced today.
United States District Judge Cathy Bissoon imposed the sentence on Leon McGirt, also known as “Leon McGirk”, “Leon McGrit”, and “Leon McGirle”, age 45.
According to information presented to the court, McGirt was sentenced in 2012 in Essex County, New Jersey on a conviction for Criminal Attempt and Aggravated Sexual Assault (involving a minor victim). This conviction subjected McGirt to lifetime supervision in the State of New Jersey and required McGirt to register under SORNA. On December 18, 2018, McGirt traveled in interstate commerce, from the State of New Jersey to the Commonwealth of Pennsylvania, and knowingly failed to register as required by the Sex Offender Registration and Notification Act (“SORNA”) until his arrest on October 29, 2019 for absconding from supervision in New Jersey.
Assistant United States Attorney Heidi M. Grogan prosecuted this case on behalf of the government.
United States Attorney Chung commended the United States Marshal Service for the investigation leading to the successful prosecution of McGirt.
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.
Ramah Navajo man charged with abusive sexual contactRead the Press Release
ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced today that Tony Jake, Jr., was charged in a criminal complaint with abusive sexual contact with a minor. Jake, 74, of Ramah, New Mexico, and an enrolled member of the Ramah Navajo Nation, made an initial appearance in federal court on June 3 and will remain in custody pending a preliminary and detention hearing scheduled for June 7.
According to the complaint, on May 28, Jake allegedly engaged in sexual contact with a seven-year-old victim during a service at the Yahweh Church in Ramah. The alleged offense took place on the Ramah Navajo Reservation, and the victim is an enrolled member of the Ramah Navajo Nation.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Jake faces up to life in prison.
The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Ramah Navajo Police Department. Special Assistant United States Attorney Chelsea N. Van Deventer is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
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Previously Convicted Felon Sentenced to 5 Years in Federal Prison for Shooting a Gun on Federal Property During the May 2020 ProtestsRead the Press Release
INDIANAPOLIS – Tyrone Ross, 30, Indianapolis, was sentenced to five years in federal prison for being a felon in possession of a firearm. Ross is prohibited from possessing firearms due to multiple prior felony convictions. The possession of the firearm took place on May 30, 2020, during the protests in response to the murder of George Floyd.
According to court documents and statements made during the change of plea hearing, on May 30, 2020, Ross was on federal property in front of the Birch Bayh Federal Courthouse, in downtown Indianapolis, when he pulled out a pistol from under his clothing. Ross then fired multiple shots across Ohio Street, which at the time was filled with numerous pedestrians and vehicles. Ross then ran west on Ohio Street and fired one additional shot in the air in front of the Federal Courthouse.
“Following the murder of George Floyd by police, many peaceful and law-abiding protesters took to the streets in downtown Indianapolis and all over the country to express their outrage and heartbreak. With utter disregard for the lives of everyone present, an illegally armed felon fired multiple shots in this crowded area,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “Today’s prison sentence demonstrates that armed criminals who risk the lives of the public will face serious consequences.”
“This sentence should serve as a warning to others who illegally possess a firearm and choose to violate federal law and endanger others in the process,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “The FBI will continue our efforts, along with our law enforcement partners, to remove violent criminals from the streets of our community and ensure the safety of our residents.”
The Federal Bureau of Investigation conducted the investigation. The sentence was imposed by U.S. District Judge Jane Magnus-Stinson. As part of the sentence, Judge Magnus-Stinson ordered that Ross be supervised by the U.S. Probation Office for 3 years following his release from federal prison
U.S. Attorney Myers thanked Assistant U.S. Attorney Peter Blackett who prosecuted the case.
Philadelphia Man Sentenced to over Ten Years for Armed Bank Robbery and Firing Gun While Trying to EscapeRead the Press Release
PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Eugene Johnson, 54, of Philadelphia, PA, was sentenced to 10 years and six months in prison, and five years of supervised release by United States District Court Judge Gerald A. McHugh for committing an armed bank robbery in North Philadelphia.
In January 2022, the defendant pleaded guilty to charges including armed bank robbery and using, carrying and discharging a firearm during a crime of violence. The charges arose from an incident in February 2021, when Johnson entered the Citizens Bank branch at Germantown Avenue and Broad Street in the Nicetown section of the city armed with a loaded Glock semi-automatic handgun and stood in line to wait for a teller. When the defendant approached the victim teller, he placed two $20 bills in the teller window tray and stated, “I need change, I need ones,” and the teller handed Johnson forty $1.00 dollar bills. Johnson then shoved a plastic bag through the teller window slot and stated, “Give me everything, give me everything, give me everything!,” and “I got a gun,” while putting his right hand down by his right hip. The teller, fearing for her life, filled the bag with money and gave it to the defendant. Johnson then walked away from the teller counter and entered the vestibule at the front entrance of the bank, while the teller activated the bank’s alarm system. Upon activation, Johnson became trapped in the man-trap security system doors and was locked inside. The defendant then fired several rounds from his semi-automatic handgun into the glass door of the front entrance in an effort to escape before he was arrested by a responding officer.
“This defendant terrified and threatened the lives of bank employees who were just attempting to do their jobs,” said U.S. Attorney Williams. “And when he became detained in the bank’s security system, he lashed out and recklessly fired his weapon – an action which could have resulted in injuries or death. This case demonstrates why our All Hands On Deck initiative is so important: we are investigating and prosecuting the most dangerous criminals to get them off the streets and behind bars.”
The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney José R. Arteaga.
Pair who went on the run after being found guilty of fraud at a now defunct precious metals firm, sentenced to prisonRead the Press Release
Seattle –The former President & CEO of Northwest Territorial Mint, a now-bankrupt company dealing in precious metals, was sentenced today in U.S. District Court in Seattle to 11 years in prison for 14 federal felonies resulting from a Ponzi-like scheme that defrauded customers of millions of dollars, announced U.S. Attorney Nick Brown. Bernard Ross Hansen, 61, aka Ross B. Hansen was convicted of multiple counts of wire and mail fraud after a four-week jury trial in July 2021. Hansen’s co-defendant and partner, Vault Manager Diane Renee Erdmann, 49, was convicted of 13 counts of wire fraud and mail fraud. She was sentenced to five years in prison. This was the second scheduled sentencing hearing for the two after they failed to show up for their late April court date and attempted to flee.
At the sentencing hearing U.S. District Judge Richard A. Jones said, “The entire means of operation was nothing more than a fiction…. You were a wrecking ball building your empire. (The victims) trusted you and had faith in the snake oil you were selling; that faith was met with manipulation and deceit.”
“Mr. Hansen and Ms. Erdman defrauded more than 3,000 people of some $30 million – money that represents the victims’ plans and dreams: retirement, college funds, and inheritances,” said U.S. Attorney Nick Brown. “It is heartbreaking to hear how the fraud upended their lives and left them working longer, harder, and in deep stress to try to recover. The impact of this fraud goes beyond the significant dollar figure.”
Northwest Territorial Mint (NWTM) operated both a custom business that involved the manufacturing of medallions and other awards, and a bullion business that involved the selling, buying, exchanging, storing, and leasing of gold, silver, and other precious metals. The company had offices in Federal Way and Auburn, Washington, but declared bankruptcy on April 1, 2016.
According to records in the case and testimony at trial, Hansen and Erdmann defrauded NWTM customers in a variety of ways. The evidence at trial showed that Hansen and Erdmann lied about shipping times for bullion, used customer money to expand the business to other states, and to pay their own personal expenses. As a result, the company lacked enough assets to fulfill customer orders and used new customer money to pay off older customers in a Ponzi-like scheme. In total, over 2500 customers paid for orders, or made bullion sales or exchanges, that were either never fulfilled or never refunded. The total loss to these customers was more than $25,000,000.
In addition to the bullion customer fraud, the evidence at trial demonstrated that Hansen and Erdmann defrauded customers who paid NWTM to safely and securely store bullion in the NWTM vaults. Evidence and testimony at trial showed that Hansen and Erdmann used this bullion that was supposed to be in secure storage to fulfill other orders. In April 2016, the NWTM vaults were inventoried and all or part of the stored bullion for more than 50 customers was missing. The missing bullion was worth more than $4.9 million.
Writing to the court, prosecutors pointed out the deception against the storage customers: “Mr. Hansen talked (the storage customers) into paying NWTM to steal from them—forking over fees, sometimes thousands of dollars’ worth, to “securely” store their bullion at NWTM, only to have the defendants use the vault as a company piggy bank. Mr. Hansen collected those fees and delivered phony storage account statements in return. But unbeknownst to the storage customers, Mr. Hansen used the storage customers’ bullion as his own – pulling it off the shelf to fulfill other orders, at times even melting down customers’ property to makes something else to ship somewhere else.”
“Company president Hansen apparently did not learn his lesson from his last trip to prison,” said Donald M. Voiret, Special Agent in Charge of the FBI Seattle Field Office. “Together, Hansen and his co-conspirator Ms. Erdmann stole decades of savings and financial security from thousands of victims who thought they were making safe investments for themselves and their loved ones.”
Prosecutors increased their sentencing recommendations for both Hansen and Erdmann to reflect the 11-day manhunt that followed their failure to appear. When arrested in the small town of Port Hadlock on the Olympic Peninsula, they had three loaded firearms in a box behind the drivers’ seat of their car. In supplemental sentencing memos, prosecutors urged the court to increase both defendants’ prison time due to their flight to avoid prison. “Ms. Erdmann and Mr. Hansen acquired a new vehicle, armed themselves with three loaded guns, and evaded supervision. Ms. Erdmann’s conduct shows a lack of respect for the Court and the law enforcement authorities that she knew would attempt to find her.” And of Hansen they wrote, “Recent events have shown that Mr. Hansen also presents a danger of violence. When he was apprehended by law enforcement in Port Hadlock, he was traveling with three loaded firearms in reaching distance of the front seat of his vehicle.”
Judge Jones ordered Hansen to pay $33.7 million in restitution. Erdmann is to pay $32.1 million in restitution.
The case was investigated by the FBI. The case was prosecuted by Assistant United States Attorneys Brian Werner and Benjamin Diggs.
Possession of Child Pornography Leads to 6 Year Prison Sentence for Fairview Heights ManRead the Press Release
BENTON, Ill. - A Fairview Heights man is heading to federal prison for possession of
child pornography. Michael M. Rapa, 68, of Fairview Heights, Illinois, was sentenced on Thursday,
June 2, 2022, to 6 years in prison for two counts of possession of prepubescent child pornography
and one count of possession of child pornography. Rapa pleaded guilty to the charges in February.
Following his prison sentence, Rapa will be on federal supervised release for 5 years and will be
required to register as a sex offender for the remainder of his life.According to court documents, Rapa first came to the attention of law enforcement in Vancouver,
Canada, in 2015. As the result of a subsequent investigation conducted by the U.S. Department of
Homeland Security and the Fairview Heights Police Department, in 2017 Rapa was determined to be in
possession of hundreds of image and video files containing prepubescent child pornography on
various items of electronic media which lead to charges in the Southern District of Illinois.“There is something profoundly wrong with an individual who derives sexual gratification
from seeing children being raped,” said U.S. Attorney Steven D. Weinhoeft. “Law
enforcement must confront this evil because, to paraphrase Mahatma Gandhi, a true measure of
society can be found in how it protects its most vulnerable members.”“One of the most horrific things an individual can do is seek to harm a child,” said acting Special
Agent in Charge of the Kansas City area of operations R. Sean Fitzgerald. “I couldn’t be prouder of
the HSI special agents and analysts, in coordination with our law enforcement partners, who have
dedicated their lives to removing these predators from our community.”This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 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.usdoj.gov/psc. For more information about internet safety education,
please visit www.usdoj.gov/psc and click on the tab “resources.”
The case was prosecuted by Assistant United States Attorneys Karelia Rajagopal and Ali Summers.Omak Man with Prior Felony Conviction Sentenced to 46 Months in Federal Prison for Violent Shooting on the Colville Indian ReservationRead the Press Release
Spokane, Washington – U.S. District Judge Salvador Mendoza, Jr., sentenced Justin Dean Friedlander, 34, of Omak, Washington, to 46 months in federal prison for a shooting on July 4, 2021. Judge Mendoza also imposed three years of federal supervised release and more than $20,000 in restitution.
Although the sentence he imposed was lower than the United States’ recommendation, Judge Mendoza emphasized that the shooting was “incredibly dangerous.” Addressing Friedlander directly, Judge Mendoza stated, “You shot a person, leaving a scar” that the victim “will carry around for the rest of his life.”
According to court documents, on the evening of July 4, 2021, Friedlander’s victim was spending time with his brother and a friend in Omak, Washington. Friedlander, an enrolled member of the Confederated Tribes of the Colville Reservation, pulled up in a Dodge Durango, brandishing a .22 caliber long rifle. After a short disagreement, Friedlander got upset and drove off. Moments later, Friedlander reemerged at a nearby apartment complex. Friedlander opened fire, sending a single gunshot toward the victim and his companions. The bullet struck the victim in the back of his left leg and lodged in his knee. Medical personnel determined that they could not remove the bullet without risking further injury to the victim.
After the shooting, Friedlander drove to the 12 Tribes Casino in Omak, where the Colville Tribal Police Department and the Federal Bureau of Investigation later located his Durango. After obtaining a search warrant, Tribal Police and the FBI recovered several rounds of .22 caliber ammunition inside the Durango. The firearm, which Friedlander apparently hid, was never recovered. Surveillance video, from both shortly after the shooting and prior to Friedlander’s arrest, showed Friedlander removing items – including a long item consistent with a firearm – from the Durango and moving it into a different car.
“The United States Attorney’s Office is committed to prosecuting violent offenders who threaten public safety anywhere in Eastern Washington,” said Vanessa R. Waldref, United States Attorney for the Eastern District of Washington. “Native Americans experience some of the highest rates of violence in the country, which often compound other traumas that Indigenous people frequently suffer. We will continue to address violent crime by ensuring that offenders are prosecuted to the fullest extent – both on Tribal land and elsewhere.”
U.S. Attorney Waldref continued, “I am grateful for the Colville Department of Public Safety, the FBI, and all of our federal partners, who work together to investigate violent crime on the Colville Reservation. Many violent crime cases, including this one, present unique challenges, including victims and witnesses who are sometimes hesitant to work with law enforcement. While we continue to work every day to increase trust in law enforcement throughout Eastern Washington, I commend the dedicated agents, officers, prosecutors, and victim advocates, who devote their time and resources to seeking justice on behalf of victims and working together to keep our communities safe and strong.”
“Sadly, this case is another example of the increasing trend of violent incidents on the reservations in the Eastern District,” said Donald M. Voiret, Special Agent in Charge of the FBI Seattle Field Office. “We are committed to investigating these cases and strengthening our partnerships with the U.S. Attorney’s Office and Tribal and local agencies to bring accountability to offenders and deter future criminal conduct.”
The case was investigated by the Federal Bureau of Investigation and the Colville Tribal Police Department. This case was prosecuted by Richard R. Barker, Assistant United States Attorney for the Eastern District of Washington.
Okaloosa County Man Sentenced to 17.5 Years in Federal Prison for Drug Trafficking and Firearm OffensesRead the Press Release
PENSACOLA, FLORIDA – Thomas Joe Obregon, a/k/a Tommy Gun, 47, of Okaloosa County, Florida, was sentenced to seventeen and half years in federal prison after pleading guilty to two counts of possession with intent to distribute a controlled substance, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon. The sentence was announced by Jason R. Coody, U.S. Attorney for the Northern District of Florida.
“Those who repeatedly commit serious crimes are deserving of significant prison sentences,” said U.S. Attorney Coody. “Our law enforcement partners work tirelessly to keep us safe and are to be commended for apprehending this armed fugitive and bringing his trafficking of addictive and deadly controlled substances to an end. Our community is safer due to their valiant efforts.”
In November 2020 and October 2021, Obregon, a convicted felon at-large on state arrest warrants and a bond violation, was arrested by Okaloosa County Sheriff’s Office deputies in conjunction with the United States Marshal’s Fugitive Task Force and found in possession of distribution amounts of heroin and a loaded Glock 9mm pistol. As part of the investigation into Obregon’s drug trafficking activities, the Government was able to link Obregon to over 100 grams of “super blues” (pressed pills containing fentanyl), 400 grams of methamphetamine, and 100 grams of heroin.
“It’s extremely rewarding to see this sentence and these concrete results arising from local, state, and federal partnerships focused on keeping dangerous felons and deadly drugs off our streets. Thomas Obregon is a habitual violent drug trafficker who is now going to be exactly where he needs to be, behind bars,” said Okaloosa County Sheriff Eric Aden.
“DEA will not waiver in our pursuit of holding individuals like Mr. Obregon accountable for their crimes,” said DEA Miami Field Division Special Agent in Charge Deanne L. Reuter. “This case is a testament to what we can accomplish with strong collaborative partnerships with our local, state, and federal law enforcement partners.”
This case resulted from a joint investigation by the Okaloosa County Sheriff’s Office, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Amanda Gordon prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Nightclub Magnate Sentenced to 16 Years for Drug CrimesRead the Press Release
A DFW nightclub magnate was sentenced to 16 years in federal prison for operating an empire of clubs in which drugs were sold openly, announced Acting U.S. Attorney for the Northern District of Texas Chad E. Meacham.
In November 2021, a federal jury found OK Corral/ Far West owner Alfredo Hinojosa, general manager Miguel Casas, and noted promoter Martin Salvador Rodriguez guilty of managing drug premises, conspiracy to manage drug premises, and conspiracy to possess with intent to distribute cocaine. Mr. Hinojosa was sentenced on Friday by U.S. District Judge Sam A. Lindsay, who imposed a $120,000 fine in addition to the prison time.
The overall case included more than 30 defendants, all of whom have been convicted, including former Dallas Police Officers Eddie Villarreal and Craig Woods. At sentencing, Judge Lindsay called Mr. Hinojosa the “top dog” in the scheme, and noted that the “buck stopped” with him.
According to evidence presented at trial, Mr. Hinojosa, Mr. Casas, and Mr. Rodriguez ran a conglomeration of businesses that brought in revenue of more than $107 million over a four-year period.
The defendants allowed cocaine to be sold in the bathrooms of their nightclubs on a daily basis, because such drug sales attracted customers and provided them with a competitive edge over rival clubs. These drugs sales increased revenue at the clubs between $9 million and $12 million.
“These defendants made millions by explicitly allowing cocaine trafficking in nightclubs across DFW. They assumed that permitting bathroom drug deals would be their ‘competitive edge.’ Instead, it was their downfall,” Acting U.S. Attorney Chad Meacham said following the conviction. “The United States Attorney’s Office and the FBI will not permit nightclub owners – or anyone else – to willfully turn a blind eye to drug trafficking happening on their premises.”
“This conspiracy was designed to elevate the status of the defendants at a very high cost to our society,” said FBI Dallas Special Agent in Charge Matthew J. DeSarno. “Their extensive plans to conceal nightly high-volume drug sales included the recruitment of law enforcement officers as employees. We will continue to work with our local, state, and federal partners to protect the integrity of the profession, uphold the public’s trust, and prevent access to illicit drugs in our greater Dallas-Fort Worth communities.”
At trial, prosecutors presented evidence of 17 controlled drug buys that occurred at the OK Corral Dallas, OK Corral Fort Worth, and Far West nightclubs between 2013 and 2016. Half a dozen informants, all under the supervision of FBI agents, bought bag after bag of cocaine from traffickers operating out of club bathrooms.
Multiple security guards who worked inside the clubs testified at trial that Mr. Hinojosa, Mr. Casas, and Mr. Rodriguez knew the drug trafficking was occurring and openly ordered security personnel to allow it. Drug traffickers, previously charged and convicted in the case, also testified that they were allowed to operate freely.
At trial, FBI agents explained that in 2015, they installed court-ordered microphones and a camera in Mr. Hinojosa’s office, unbeknownst to the defendants. Agent also sought and obtained more a dozen wiretaps in the case. During these recorded calls and intercepted communications, Mr. Hinojosa could be heard saying, “we can’t really clean it because then we lose business,” and “we need cocaine, man.”
Mr. Hinojosa, Mr. Casas, and Mr. Rodriguez eventually confessed to knowing that the drug sales were ongoing and allowed. Prosecutors played Mr. Hinojosa’s 45-minute recorded interview for the jury. Other agents recounted statements made by Mr. Casas and Mr. Rodriguez.
According to one agent’s notes, Mr. Casas told a task force officer that when club management realized the business was “tanking,” they told bouncers to allow the drug sales to resume and leave drug dealers alone as long as they were “discreet.”
The Federal Bureau of Investigation’s Dallas Field Office and the Dallas Police Department conducted the investigation, which was dubbed “Operation Closing Time.” The Texas Alcoholic Beverage Commission's Enforcement Division, IRS – Criminal Investigations, and the Texas Attorney General’s Office provided valuable assistance. Assistant U.S. Attorneys P.J. Meitl, Nicole Dana, and Melanie Smith prosecuted the case.
Mexican National Charged with Assaulting Border Patrol AgentsRead the Press Release
TUCSON, Ariz. – Last week, Miguel Angel Acatzihua-Temoxtle, 25, a citizen and national of Mexico, was arrested on two counts of Assault on a Federal Officer and Assault on a Federal Officer with the Use of a Deadly or Dangerous Weapon. Acatzihua-Temoxtle was charged by criminal complaint and had his initial appearance before United States Magistrate Judge Leslie A. Bowman on Thursday.
On May 31, 2022, Border Patrol Agents working near Newfield, Arizona received information that several groups of undocumented non-citizens were passing through the Baboquivari Mountain range. Agents inspected the area and found several individuals, including Acatzihua-Temoxtle.
Acatzihua-Temoxtle fled from the agents by running up the side of a wash. In his effort to flee, Acatzihua-Temoxtle kicked several large boulders to slow the pursuit of one of the agents. While Border Patrol was trying to detain him, Acatzihua-Temoxtle physically assaulted two of the agents, including by attempting to strangle one agent with his own lanyard.
Convictions for assault on a federal officer carry a maximum penalty of 8 years in prison, and up to a $250,000 fine. Assault on a federal officer with the use of a deadly or dangerous weapon carry a maximum penalty of 20 years in prison, and up to a $250,000 fine.
A criminal complaint is simply the method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until competent evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
Customs and Border Protection’s U.S. Border Patrol conducted the investigation in this case. Assistant U.S. Attorney Raquel Arellano, District of Arizona, Tucson, is handling the prosecution.
CASE NUMBER: 22-03230MJ-1
RELEASE NUMBER: 2022-086_Acatzihua-Temoxtle# # #
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.Maryland man admits to drug conspiracyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Juan Manuel De La Rosa-Tejeda, of Hagerstown, Maryland, has admitted to a drug conspiracy, United States Attorney William Ihlenfeld announced.
De La Rosa-Tejeda, 36, pleaded guilty today to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Five Kilograms or More of a Mixture or Substance Containing Cocaine.” De La Rosa-Tejeda admitted to working with others to distribute cocaine from August 2020 to June 2021 in Berkeley County and elsewhere.
De La Rosa-Tejeda faces at least 10 years and up to life incarceration and a fine of up to $10,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Lara Omps-Botteicher and Timothy D. Helman are prosecuting the case on behalf of the government. The Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the FBI; United States Marshals Service; Homeland Security Investigations; ATF; the West Virginia Air National Guard; West Virginia State Police; U.S. Customs and Border Protection; the FBI-New York Safe Streets Task Force; New Jersey State Police investigated. The U.S. Attorney’s Office for the District of Maryland and the U.S. Attorney’s Office for the Middle District of Pennsylvania assisted.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
U.S. Magistrate Judge Robert W. Trumble presided.
Maryland U.S. Attorney’s Office Joins with State and Non-Profits to Combat Elder Financial AbuseRead the Press Release
Baltimore, Maryland - The U.S. Attorney’s Office is partnering with Project SAFE and the PROTECT Week Coalition to help seniors in Maryland avoid falling victim to financial exploitation. PROTECT Week, held June 13-17, 2021, offers opportunities to learn about the many forms of abuse, neglect, and financial exploitation of older Marylanders. The U.S. Attorney’s Office is participating in events all month, including public outreach events such as a tele-town hall, educational programming and presentations to the Maryland State Bar Association and the Banker’s Association.
Interview with Shawn Perry of the Senior Zone – airing the week of June 6
Interview with Assistant U.S. Attorney and Elder Fraud Coordinator, Evelyn Cusson, scheduled to be aired the week of June 6 with Shawn Perry of the Senior Zone AM radio program to promote PROTECT Week. The interview reviewed imposter scams, the importance of reporting fraud, the Department of Justice’s Elder Fraud Hotline, and tips for recognizing and avoiding scams.
Tele-town Hall – June 15, 2022 at 1:30 p.m.
AARP will host the tele-town hall event featuring U.S. Attorney Erek Barron, Maryland Attorney General Brian Frosh, and Sue Rogan with CASH Campaign. The tele-town hall will discuss prevalent fraud schemes targeting seniors and how to avoid them, including resources for reporting. The calls reach thousands of Marylanders in every county throughout the state.
Banker’s Association – June 16, 2022 at 11:00 a.m.
Assistant U.S. Attorneys Darryl Tarver and Evelyn Cusson will speak at a virtual event with the Maryland Banker’s Association. The presentation will discuss the Elder Justice Task Force in Maryland and how banks can become involved, and Maryland’s SARS task force which all work to prevent elder fraud and prosecute fraudsters who target seniors.
Now in its fifth year, PROTECT Week 2022 coincides with World Elder Abuse Awareness Day, observed on June 15. For more information on World Elder Abuse Awareness Day, please visit https://ncea.acl.gov/WEAAD.aspx. PROTECT Week resources, available on www.protectweek.org, will help Marylanders identify financial exploitation so that they may protect themselves and their loved ones from abuse and provide event details and registration information.
About the Partners
The PROTECT Week Coalition includes the following partners:
• Maryland Department of Aging
• Maryland Office of the Attorney General
• The United States Attorney’s Office for the District of Maryland
• Maryland Office of the Commissioner of Financial Regulation
• Maryland Office of the Comptroller
• Maryland Department of Human Services
• Maryland Volunteer Lawyers Service
• Maryland Consumer Rights Coalition
• EverSafe
• ElderSAFE
• SAFE: Stop Abuse of Elders
• Baltimore County Restoring Elder Safety Today – BC REST Coalition
• AARP Maryland
• CCCSMD – Consumer Credit Counseling Service of Maryland
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Martinsburg woman sentenced for drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA –Tinesha Joann Burrows, of Martinsburg, West Virginia, was sentenced today to five years probation for a drug charge, United States Attorney William Ihlenfeld announced.
Burrows, 39, pleaded guilty in September 2021 to one count of “Aiding and Abetting the Possession with Intent to Distribute Fentanyl and Heroin.” Burrows admitted to working with another to distribute fentanyl and heroin in February 2019 in Berkeley County.
Assistant U.S. Attorney Timothy D. Helman prosecuted the case on behalf of the government. The Washington County, Maryland Task Force investigated.
U.S. District Judge Gina M. Groh presided.
Man Sentenced to Seven and a Half Years in Federal Prison for Illegally Possessing Loaded Gun on Chicago SidewalkRead the Press Release
CHICAGO — A man has been sentenced to seven and a half years in federal prison for illegally possessing a loaded semiautomatic handgun and crack cocaine on a Chicago sidewalk.
ANDRE WILLIAMS illegally possessed the gun and drugs on the afternoon of May 6, 2020, on a sidewalk in the West Englewood neighborhood on Chicago’s South Side. Chicago Police officers responding to a call of suspected criminal activity in the area approached Williams and asked to speak to him. Williams ran off and led the officers on a two-block foot chase before they apprehended him. The officers seized the gun, which was loaded with nine rounds of ammunition, and multiple bags of crack cocaine from a pocket of Williams’s sweatshirt.
Williams, 43, of Chicago, pleaded guilty last year to a federal charge of illegal possession of a firearm. Williams had previously been convicted of multiple state felonies, including a firearm offense, and was prohibited by federal law from possessing the gun.
U.S. District Judge Jorge L. Alonso imposed the 90-month sentence Friday after a hearing in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen de Tineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; and David Brown, Superintendent of the Chicago Police Department.
“Defendant and other felons who carry guns must understand that illegally possessing weapons on the streets of Chicago translates to real consequences and real punishment, including meaningful time in prison,” Assistant U.S. Attorney Misty N. Wright argued in the government’s sentencing memorandum.
Holding illegal firearm possessors accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, U.S. Attorney Lausch and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Man Previously Convicted of Second-Degree Murder Pleads Guilty in Federal Court to Unlawful Gun PossessionRead the Press Release
A man who was previously convicted of second-degree murder in state court pled guilty today in federal court in Cedar Rapids to unlawfully possessing a gun and ammunition.
Johnny Blahnik Church, f/k/a Drew Alan Blahnik, age 35, from Cedar Rapids, Iowa, was convicted of one count of possessing a firearm while being an unlawful user of methamphetamine and cocaine.
At the plea hearing, Blahnik admitted that, in February 2019, he possessed a Glock .40 caliber handgun and multiple rounds of .40 caliber ammunition. Blahnik also admitted that at the time he possessed this gun and ammunition, he was prohibited from doing so because he was a knowing user of both cocaine and methamphetamine.
In July 2021, Blahnik was convicted after a trial in the Iowa District Court for Linn County of second-degree murder, obstruction of justice, and abuse of a corpse related to the December 2018 death of Chris Bagley. In December 2021, Blahnik was sentenced to 57 years in Iowa state prison as a result of these convictions.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Blahnik remains in custody of the United States Marshal pending sentencing. Blahnik faces a possible maximum sentence of ten years’ imprisonment, a $250,000 fine, and three years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Anthony Morfitt and was investigated by the Linn County Sheriff’s Office, the Federal Bureau of Investigation, the Iowa Division of Criminal Investigation, and the Drug Enforcement Agency.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 19-CR-30.
Follow us on Twitter @USAO_NDIA.
Madera Women Sentenced to Prison for Bank Fraud and Aggravated Identity TheftRead the Press Release
FRESNO, Calif. — Leah Guillen, 39, of Madera, was sentenced today by U.S. District Judge Dale A. Drozd to three years and three months in prison for bank fraud and aggravated identity theft, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in early 2018, Guillen obtained the name, Social Security account number, and date of birth of an individual. Guillen then used this information to impersonate the victim and fraudulently gain access to the victim’s bank accounts at Golden1 Credit Union. Using an unauthorized debit card, Guillen drained the victim’s bank accounts over a three-month period between April 18, 2018, and June 30, 2018, causing a loss in excess of $210,449.
This case was the product of an investigation by the Federal Bureau of Investigation, the U.S. Postal Inspection Service, and the Madera Police Department. Assistant U.S. Attorney Henry Z. Carbajal III prosecuted the case.
Kalamazoo Man Sentenced to More Than 15 Years in Prison for Methamphetamine Trafficking ConspiracyRead the Press Release
GRAND RAPIDS, MICHIGAN – U.S. Attorney Mark Totten announced today that U.S. District Judge Paul L. Maloney sentenced Semaj Williams of Kalamazoo, Michigan to 188 months in prison for running a methamphetamine distribution operation. Judge Maloney also sentenced Williams to a five-year term of supervised release following his release from prison.
Williams spent years conspiring with others to sell methamphetamine in Kalamazoo and other locations throughout West Michigan. Over a period of four months in 2020, Williams supplied two dealers with ounces of methamphetamine on a daily basis and also supplied others. In March 2021, Kalamazoo Department of Public Safety officers stopped Williams with methamphetamine hidden at his feet in the backseat of a car. Overall, Judge Maloney found Williams responsible for distributing no less than five kilograms of methamphetamine. Judge Maloney also concluded that Williams had the highest-level criminal history category possible under the United States Sentencing Guidelines based on his previous convictions for assault with a dangerous weapon, home invasion, resisting police, and possession of controlled substances, among others.
While sentencing Williams, Judge Maloney emphasized the extremely serious nature of methamphetamine, noting methamphetamine is a “scourge in the Western District of Michigan.” Judge Maloney also found Williams to be a threat to the public, imposing a 188-month sentence in order to deter Williams from committing future drug-trafficking crimes while simultaneously deterring other would-be drug traffickers from dealing a deadly drug.
“Methamphetamine is a highly addictive and dangerous drug that is plaguing our communities,” commented U.S. Attorney Mark Totten. “Those, like Williams, who work with others to peddle this poison must be stopped.”
“Drug dealers are inherently dangerous and threaten the safety of our community. Williams’s sentencing and guilty plea send the message that violators will be held responsible for their actions,” stated Assistant Special Agent in Charge Craig Kailimai of the Bureau of Alcohol, Tobacco, Firearms, and Explosives. “This case is an outstanding example of how working with our Federal, State, tribal, and local partners protects our communities.”
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with important additional assistance provided by the Drug Enforcement Administration, the Kalamazoo Valley Enforcement Team (a unit of the Kalamazoo Department of Public Safety), Homeland Security Investigations, the Michigan State Police, the Calhoun County Sheriff’s Office, and the Nottawaseppi Huron Band of the Potawatomi Tribal Police. This case was prosecuted by Assistant U.S. Attorney Stephanie M. Carowan.
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Justice Department Secures Settlement with Florida Employer to Resolve Immigration-Related Discrimination ClaimsRead the Press Release
The Department of Justice today announced that it has reached a settlement agreement with Temple Beth El, a synagogue in Boca Raton, Florida, that employs teachers and other staff. The settlement resolves the department’s claim that the synagogue, in staffing its pre-school, discriminated against a non-U.S. citizen based on citizenship status when checking the individual’s permission to work in the United States.
“Employers cannot discriminate against workers by asking them for specific documents to prove their permission to work based on their citizenship, immigration status or national origin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Employers must allow all employees, regardless of their citizenship status, to provide any valid, acceptable document of their choice to prove their permission to work. We look forward to working with Temple Beth El to implement this settlement and ensure its staff understand the correct process to use to avoid potential discrimination.”
The department initiated the investigation to determine whether the company was violating the Immigration and Nationality Act’s (INA) anti-discrimination provision after receiving information from a member of the public. The department’s investigation revealed that the company discriminated on two separate occasions by asking a lawful permanent resident to present specific documents to prove their permission to work in the United States, while making no such request of U.S. citizens. All employees have the right to choose the valid documentation they wish to present when demonstrating that they have permission to work in the United States.
The INA’s anti-discrimination provision prohibits employers from asking for unnecessary documents — or specifying the type of documentation a worker should present — to prove their permission to work, because of a worker’s citizenship, immigration status or national origin.
Under the settlement, Temple Beth El will pay $4,144 in civil penalties, change their employment policies to comply with the anti-discrimination provision of the INA, and train its employees who are responsible for verifying workers’ permission to work in the United States.
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits discrimination based on citizenship status and national origin in hiring, firing or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
Learn more about IER’s work and how to get assistance through this brief video. IER’s website has more information on how employers can avoid discriminating when verifying a worker’s permission to work through the Form I-9 or E-Verify. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status or national origin in hiring, firing, recruitment or during the employment eligibility verification process (Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public can also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER. View the Spanish translation of this press release here.
Justice Department Recovers Fraudulent Transfer of Proceeds Arising from Medical Kickback SchemeRead the Press Release
Alex Hart Raley Jr., who received millions from an individual subsequently found liable for violating the False Claims Act by paying kickbacks, has agreed to pay $2.3 million to resolve a civil lawsuit alleging that the transfer violated the Federal Debt Collection Procedures Act. Raley was not involved in the kickback violations.
Floyd Calhoun Dent III, along with two other individuals, was found liable by a South Carolina jury in 2018 for submitting false claims to Medicare and TRICARE, in violation of the Anti-Kickback Statute and the False Claims Act. A judgment was subsequently entered against these defendants jointly for $114 million. Prior to the judgment, but after Dent had been served with a Department of Health and Human Services Inspector General subpoena, Dent transferred several million dollars to Raley. Dent acknowledged that he received nothing in return for this payment, but contended that it was intended to fulfill a childhood promise.
“Individuals who receive the proceeds of fraudulent activity must return them,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Recovering ill-gotten gains that have been transferred to third parties is an important component of the department’s commitment to combat fraudulent schemes involving taxpayer funds.”
“Justice requires that ill-gotten gains – regardless of whose hands ultimately hold them – are restored to their rightful owner, which in this case is the United States of America,” said U.S. Attorney Corey Ellis for the District of South Carolina.
The settlement announced today resolves the United States’ allegations that Dent’s transfer to Raley was a fraudulent transfer. The settlement requires him to surrender any retained funds, as well as gold and silver coins that Raley purchased with a portion of the transferred funds, to the Department of Justice and the Liquidating Trustee for now bankrupt Health Diagnostic Laboratories Inc., which will split these assets pursuant to a bankruptcy court agreement.
The settlement was the result of a coordinated effort between the Civil Division’s Fraud and Corporate/Financial Litigation Sections, and the U.S. Attorney’s Office for the District of South Carolina. The matter was handled by Senior Trial Counsel Alicia J. Bentley and Trial Attorney Andrew Warner of the Civil Division and Assistant U.S. Attorneys James Leventis, Johanna Valenzuela, and Joanna Stroud.
The case is United States v. AROC Enterprises, LLC, et al. (D.S.C. Case No. 9:19-cv-234 RMG).
The claims resolved by the settlement are allegations only and there has been no determination of liability.