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Tuesday 19 April 2022
Union County Man Admits Committing Wire Fraud and Making False Reports and Statements to and for HUDRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man today admitted committing wire fraud and making false reports and statements to and for the U.S. Department of Housing and Urban Development (HUD), U.S. Attorney Philip R. Sellinger announced.
Shenandoah Adams Sr., aka “Shane Adams Sr.,” 56, of New Providence, New Jersey, pleaded guilty before U.S. District Judge Esther Salas to one count of an indictment charging him with wire fraud and an information charging him with one count of making false reports and statements to and for HUD.
According to documents filed in this case and statements made in court:
Adams was a principal of Adams Property Management and Investment Group LLC (Adams Property Management), which purchased property on Hilton Street in East Orange, New Jersey in 2014. The following year, Adams arranged for a close associate to obtain a $153,562 loan from a mortgage lender to purchase the Hilton Street property from Adams Property Management. After the associate’s mortgage payments on the Hilton Street property became substantially in arrears, Adams arranged for the associate to sell the property to another associate for $255,000. The closing on that sale commenced on May 31, 2016; as of that date, the total amount to pay off the first associate’s mortgage was $210,565, including interest and fees. On June 1, 2016, Adams and the first associate had a telephone conversation with the mortgage servicer for the associate’s lender, during which Adams made false and fraudulent statements to induce the lender to reduce the payoff amount. The lender agreed to reduce the associate’s payoff amount to $190,000. At Adams’s direction, the associate cashed the check for the amount of the reduction – $20,665 – and delivered the cash proceeds to Adams.
Adams also was a principal of VH Electrical and Plumbing LLC. On March 11, 2015, Adams, on behalf of VH, entered into a contract with the Orange Public Library to replace the Library’s HVAC/chiller unit for $49,000. The project was funded by a HUD Community Development Block Grant to the library and Orange. Adams sent a library representative documentation to give the false impression that Adams was taking steps to order a replacement chiller. Adams received $40,000 from the library, but did not replace the library’s chiller.
The charge of wire fraud carries a maximum potential penalty of 20 years in prison and a maximum $250,000 fine. The charge of making false reports and statements to HUD carries a maximum potential penalty of one year in prison and a maximum potential fine of $100,000. Sentencing is scheduled for Sept. 29, 2022.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Cari Fais, Chief of the Opioid Abuse Prevention and Enforcement Unit, and Assistant U.S. Attorneys J Fortier Imbert and Sara F. Merin of the U.S. Attorney’s Office’s Special Prosecutions Division.
Two Charged with Possession with Intent to Distribute a Controlled SubstanceRead the Press Release
United States Attorney Dennis R. Holmes announced that a Fort Pierre, South Dakota, woman and an Eagle Butte, South Dakota, man have been indicted by a federal grand jury for Possession with Intent to Distribute a Controlled Substance.
Regina Maynard, age 30, and Larry Chavez, age 25, were indicted on April 12, 2022. Maynard appeared before U.S. Magistrate Judge Mark A. Moreno on April 14, 2022, and Chavez appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2022. Both pled not guilty to the Indictment.
The maximum penalty upon conviction is a minimum of 10 years and up to life in custody and/or a $10,000,000 fine, a minimum of five years and up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The indictment alleges that on February 7, 2022, in Stanley County, South Dakota, Maynard and Chavez knowingly and intentionally possessed with the intent to distribute 50 grams or more of methamphetamine.
The charge is merely an accusation and Maynard and Chavez are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force, the South Dakota Division of Criminal Investigation, and the Stanley County Sheriff’s Office. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Chavez was released on conditions and Maynard was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Twice-Convicted Felon Sentenced for Possession of Firearms and NarcoticsRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to 5 years in prison for illegally possessing a firearm after being convicted of a felony.
According to court documents, on October 4, 2019, an officer with the Henrico Police department conducted a traffic stop of a vehicle driven by Quan Nguyen, 29, at a motel known as a hotspot for narcotics trafficking. After a trained narcotics K-9 alerted to the odor of narcotics on Nguyen’s vehicle, officers searched the car and found a loaded semi-automatic pistol and cocaine. Officers also obtained a search warrant for Nguyen’s room at the motel. A search of Nguyen’s hotel room turned up cocaine, a digital scale, packaging materials, marijuana, and another loaded semi-automatic pistol. Nguyen’s fingerprint matched a fingerprint recovered from the loaded pistol in the hotel room.
Nguyen was previously sentenced in 2016 to 28 months’ imprisonment by the same Court following his conviction for possession of a firearm by a convicted felon.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Charlie J. Patterson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge John A. Gibney, Jr.
Assistant U.S. Attorneys Kenneth R. Simon, Jr. and Stephen W. Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:20-cr-124.
Toledo Man Sentenced to Nine Years in Prison After Pleading Guilty to Distributing Fentanyl SubstanceRead the Press Release
Acting U.S. Attorney Michelle M. Baeppler announced that Bryan Mays, 33, of Toledo, was sentenced on Thursday, April 14, 2022, by U.S. Judge Jeffrey J. Helmick to nine years in prison and three years of supervised release after Mays pleaded guilty to distributing fentanyl.
“Fentanyl continues to plague our communities and steal our beloved ones at an alarming rate,” said Acting U.S. Attorney Michelle M. Baeppler. “Anyone who chooses to contribute to this epidemic by dealing deadly narcotics can expect to find themselves in prison.”
“Drug trafficking cases remain one of the highest priorities of the FBI,” said Cleveland FBI Special Agent in Charge Eric B. Smith. “Whether one individual or a network of criminals, this case reflects the common goal and valuable partnership the FBI holds with law enforcement agencies to mitigate the distribution of illegal drugs and make our communities safer.”
“This conviction and sentencing should serve notice to individuals who choose to sell this poison on Toledo’s streets that we will use every available resource and partnership to bring these folks to justice,” said Toledo Police Chief George Kral. “I value our local, county, and federal partners and look forward to continuing our mission to keep this city safe.”
According to court documents, Toledo Police Officers began an investigation into the death of an individual from a drug overdose on December 30, 2018. As a result of the investigation, police determined that Defendant Bryan Mays distributed a substance containing fentanyl to the individual.
This case was investigated by the Toledo Police Department and the FBI. This case was prosecuted by Assistant U.S. Attorney Michael J. Freeman and Robert N. Melching.
Three Sioux Falls Men Charged for Roles in Bank Fraud & Money Laundering ConspiraciesRead the Press Release
United States Attorney Dennis R. Holmes announced today that three men from Sioux Falls, South Dakota, have been indicted by a federal grand jury for their roles in bank fraud and money laundering conspiracies.
Antyon Hamilton Hogan Jr., age 24, Marvin Antuon Williams, age 31, and Giovanni Hamilton, age 23, were indicted on April 5, 2022. Each initially appeared before U.S. Magistrate Judge Veronica L. Duffy on April 7, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 30 years in custody for Bank Fraud Conspiracy, 20 years in custody for Money Laundering Conspiracy, and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution and forfeiture may also be ordered.
According to the Indictment, in 2020 and continuing until April 2022, Hogan, Williams, and Hamilton conspired and agreed with others to knowingly conduct and attempt to conduct bank fraud and financial transactions affecting interstate and foreign commerce. Specifically, the three co-conspirators knowingly conspired to execute and attempt to execute a scheme and artifice to defraud financial institutions throughout the Sioux Falls area and elsewhere, including, but not limited to, First Premier Bank, Wells Fargo Bank, Levo Credit Union, First National Bank, First Bank and Trust, U.S. Bank, American Bank and Trust, American State Bank, Navy Federal Credit Union, Pima Federal Credit Union, JP Morgan Chase, and Security National Bank of South Dakota. These defendants, as alleged, schemed to obtain money, funds, and other property owned by, and under the custody and control of, the aforementioned financial institutions, by means of false or fraudulent pretenses, representations, and promises.
After obtaining funds through fraud, the three co-conspirators and others engaged in depositing, transferring, wiring, and withdrawing currency and funds at financial institutions, which involved the proceeds of specified unlawful activity – that is, the bank fraud identified above. These defendants knew that the transactions were designed in whole or in part to conceal and disguise the nature, location, source, ownership, or control of the proceeds of the fraud scheme. While conducting and attempting to conduct such financial transactions, it is alleged that Hogan, Williams, and Hamilton knew that the property involved in the financial transactions represented the proceeds of some form of unlawful activity.
The charges are merely accusations, and Hogan, Williams, and Hamilton are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Internal Revenue Service Criminal Investigation, Homeland Security Investigations, Sioux Falls Police Department, U.S. Postal Service, and the South Dakota Highway Patrol. Assistant U.S. Attorney Jeremy R. Jehangiri is prosecuting the case.
Hogan and Williams were remanded to the custody of the U.S. Marshals Service pending further proceedings and trial. Hamilton was released on bond. A trial date of June 14, 2022, has been set.
Texas man charged for smuggling 107 aliens in trailerRead the Press Release
LAREDO, Texas – A 29-year-old resident of Elkhart has been indicted for conspiring to transport over 100 non-U.S. citizens, announced U.S. Attorney Jennifer B. Lowery.
A federal grand jury returned the two-count indictment against Daniel Chavez. He was originally charged by criminal complaint. He is expected to appear before U.S. Magistrate Judge Diana Song Quiroga on the indictment in the near future.
According to the complaint, on March 30, Chavez arrived at the Border Patrol (BP) checkpoint on I-35 while driving a tractor trailer. At inspection, a K-9 allegedly alerted authorities to the trailer. Law enforcement opened it found 107 individuals later determined to be undocumented aliens, according to the charges.
If convicted, Chavez faces up to 10 years in federal prison and a $250,000 maximum possible fine.
Homeland Security Investigations conducted the investigation with the assistance of BP. Assistant U.S. Attorney David Fawcett is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Texas couple who stole over $4 million from Georgia company sentenced to more than six years in prisonRead the Press Release
ATLANTA – April and James Thompson have each been sentenced for mail fraud after stealing over $4 million from Forest Investment Associates (“FIA”), an Atlanta-based company that provides timberland investment advisory and management services for institutional timberland investors.
“The defendants were able to engage in this fraud for so long only because the victim trusted them,” said U.S. Attorney Kurt R. Erskine. “We will aggressively prosecute those who exploit their insider knowledge and the trust of others to steal.”
“The negative impact of white-collar fraud is far-reaching, and the FBI constantly works to hold fraudsters accountable and protect businesses from further damages,” said Philip Wislar, Acting Special Agent in Charge of FBI Atlanta. “The Thompsons chose self-interest and greed rather than to make an honest living, and for that they will spend significant time in prison.”
According to U.S. Attorney Erskine, the charges, and other information presented in court: April Thompson worked in Texas for Kingwood Forestry Services (“Kingwood”), which is a natural resource consulting firm that provides a variety of forestry services to landowners. FIA contracted with Kingwood to retain contractors to provide field services on behalf of FIA’s clients, such as clearing land, road grading, or other services, subject to an agreed upon annual budget. After the work was completed, Kingwood would send invoices to FIA for the work performed by the contractors. FIA, in turn, paid the invoices directly to the contractors. At Kingwood, April Thompson was responsible for managing the submission of invoices to and requesting payment from FIA.
Between approximately May 2011 and April 2019, April Thompson submitted over 400 fraudulent invoices totaling more than $4 million to FIA for work that her husband, James Thompson, had allegedly performed at FIA timber properties. Not one of these invoices was true. James Thompson never worked as contractor for FIA or Kingwood and had never performed work on any FIA timber property. After April Thompson submitted the invoices, FIA mailed checks to the Thompsons in Texas, which they deposited into bank accounts they jointly controlled. The Thompsons used the stolen money for their own personal benefit, including to operate James Thompson’s trucking businesses, support his race car hobby, purchase silver and gold coins, install a pool at their home, and even treat themselves and friends to a Hawaiian vacation.
In addition to the criminal charges against the Thompsons, FIA had separately filed a civil suit against them in the U.S. District Court for the Eastern District of Texas (“Texas court”). As part of the civil litigation, the Texas court appointed a Receiver to manage and control the Thompsons’ finances, which included granting him full access and control over their bank accounts, as well as the authority to take custody, control, and possession of their property, and authority to determine their reasonable and necessary living expenses. The Texas court also required that the Thompsons respond promptly and truthfully to all requests for information and documents from the Receiver.
The Texas court twice found the Thompsons in contempt for violating its orders, including after they had both pleaded guilty in Georgia. The Texas court found that that they had willfully disregarded its orders related to the preservation of assets by withholding, concealing, or otherwise failing to provide truthful information to the Receiver. The Thompsons likewise failed to make complete financial disclosures to the U.S. Probation Office in advance of their sentencings, including hiding the existence of a bank account in which they were receiving their salaries and failing to account for how thousands of dollars of cash had been spent in the months leading up to their sentencings.
April Thompson, 44, and James Thompson, 49, both of Maud, Texas, were each sentenced by U.S. District Judge Eleanor L. Ross to six years and eight months in prison, to be followed by three years of supervised release, and ordered to pay restitution in the amount of $5,143,209. They were originally charged by a federal grand jury in September 2019 with conspiracy to commit mail fraud and multiple counts of mail fraud. On December 1, 2021, April Thompson pleaded guilty to eleven counts of mail fraud. James Thompson pleaded guilty to one count of mail fraud on January 13, 2022.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorneys Tal C. Chaiken, Alex R. Sistla, and Thomas J. Krepp prosecuted the case.
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.
Supervisor of Drug Trafficking Organization Pleads GuiltyRead the Press Release
BOSTON – A supervisor of a Boston-area drug trafficking organization (DTO) pleaded guilty today to his role in a cocaine and cocaine base (crack cocaine) trafficking conspiracy.
Arthur Hodges, 36, formerly of Brighton, pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine and cocaine base. U.S. District Court Judge Denise J. Casper scheduled sentencing for Aug. 10, 2022.
Hodges was charged with 23 others in June 2020 as part of Operation Snowfall, which ultimately resulted in charges against two different drug trafficking conspiracies from November 2018 and June 2020.
According to the charging documents, beginning in November 2018, law enforcement investigated a DTO for which Hodges was both a supervisor and a drug distributor. The DTO was comprised of Boston-based street gang members and associates in the Commonwealth Development in Brighton, formerly known as Fidelis Way, a multi-apartment public housing development. It is alleged that the DTO assumed control over multiple apartments, where they stored, cooked, packaged and sold drugs – most of which was cocaine or crack cocaine – which the DTO supplied to customers, wholesalers and distributors. As a result, the DTO caused a blight on the development and reduced the quality of life for other residents. As the investigation continued, law enforcement ultimately identified another DTO operating within the Boston area and targeted its large-scale drug suppliers and their associates.
Hodges oversaw a number of the Fidelis Way-related DTO members who were responsible for the packaging, selling, storing and distribution of drugs to, or collection of proceeds from, drug customers, drug runners, or other drug distributors and suppliers. Hodges distributed between approximately 280 and 840 grams of crack cocaine during the course of his participation in the Fidelis Way DTO.
Hodges is the third defendant to plead guilty in the Fidelis Way-related drug conspiracy. The remaining defendants have pleaded not guilty and are awaiting trial.
The charge of conspiracy to distribute and to possess with intent to distribute cocaine provides for a sentence of up to 20 years in prison, at least three years and up to a lifetime of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
First Assistant United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Douglas Bartlett, Acting U.S. Marshal for the District of Massachusetts; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistance with the investigation was provided by the Braintree, Cambridge, Canton, Randolph and Weymouth Police Departments; the Suffolk, Norfolk and Bristol County District Attorneys’ Offices; and the Suffolk, Plymouth and Norfolk County Sheriffs’ Office. Assistant U.S. Attorneys Kaitlin R. O’Donnell and Timothy E. Moran of the Organized Crime & Gang Unit are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Summerset Man Indicted on Child Pornography ChargesRead the Press Release
United States Attorney Dennis R. Holmes announced that a Summerset, South Dakota, man has been indicted by a federal grand jury for Receipt of Child Pornography and Possession of Child Pornography.
Caleb Cook, age 23, was indicted on March 17, 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on April 13, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is a mandatory minimum of five up to 20 years in federal prison and/or a $250,000 fine, mandatory minimum of five years up to lifetime supervised release, and a $100 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
Cook was federally indicted following a Cybertip from the National Center of Missing and Exploited Children. The charges relate to Cook receiving and possessing child pornography between September 2016 and December 2021, at Summerset. The charges are merely an accusation and Cook is presumed innocent until and unless proven guilty.
The investigation is a joint effort between the Internet Crimes Against Children taskforce, Homeland Security Investigations, South Dakota Division of Criminal Investigation, Rapid City Police Department, and the Pennington County Sheriff’s Office. Assistant U.S. Attorney Sarah B. Collins is prosecuting the case.
Cook was detained pending trial. A trial date has been set for June 21, 2022.
Statement from Attorney General Merrick B. Garland on the 27th Anniversary of the Oklahoma City BombingRead the Press Release
Attorney General Merrick B. Garland issued the following statement today, commemorating the 27th anniversary of the Oklahoma City Bombing, which took place April 19, 1995, in Oklahoma City, Oklahoma:
“Every year on this day, we remember those who were killed when a domestic terrorist bombed the Alfred P. Murrah Federal Building in Oklahoma City, taking the lives of 168 people, including 19 children, and seriously injuring hundreds of others.
“And every year on this day, we commemorate the strength of the Oklahoma City community that came together in the face of that loss.
“The Justice Department apprehended, prosecuted, and convicted the men responsible for the bombing of the Murrah Federal Building. As we did, we never forgot the victims, in whose memories we worked.
“Twenty-seven years later, the Justice Department remains vigilant in the face of the threat of domestic terrorism. We believe that the time to address threats of violence is before the violence occurs, so we are putting our resources into disrupting terrorist plots. We also remain committed to holding accountable those who perpetrate such attacks, which are aimed at rending the fabric of our democratic society and driving us apart.
“Today, as we remember Oklahoma City, we must stand together against the kind of hatred that leads to tragedies like that one. Today, we are also reminded of the grace and resilience demonstrated by the Oklahoma City community, which refused to allow hate and division to win.”
Springfield Man Sentenced for Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man who confessed to trading 150 firearms for illegal drugs was sentenced in federal court today for illegally possessing a firearm.
Kyle M. Vaughn, 26, was sentenced by U.S. District Judge M. Douglas Harpool to seven years in federal prison without parole.
On Oct. 5, 2021, Vaughn pleaded guilty to one count of being a felon in possession of a firearm.
A Greene County, Mo., sheriff’s deputy was conducting surveillance at a residence on Sept. 26, 2019. The deputy saw Vaughn, whom he knew was a convicted felon, arrive at the apartment with his girlfriend. Vaughn had two backpacks, camouflage body armor, and a Diamondback Firearms AR-15-type rifle.
When deputies searched the apartment, they found a loaded Walther semi-automatic firearm in a holster on the kitchen table. In the two backpacks that Vaughn was carrying, deputies found a disassembled American Arms .22-caliber handgun, a rifle scope, a full box of .223-caliber ammunition, and drug paraphernalia.
According to court documents, Vaughn admitted that he used methamphetamine earlier that day and recently sold six to nine ounces of methamphetamine. Vaughn also admitted that he frequently traded guns with other felons in exchange for drugs. Vaughn admitted that he had been in possession of approximately 150 firearms during his drug dealings.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Vaughn has an extensive criminal history for possessing illegal drugs and drug paraphernalia, several instances of driving while intoxicated, assault and leaving the scene of an accident that arose from a DWI, tampering with a victim, felony domestic violence, unlawful use of a firearm, and traffic violations. At the time of this offense, Vaughn was under a criminal sentence and under court supervision for three different criminal cases in Greene County, Mo.
This case was prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the Springfield, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Six indicted for cocaine trafficking following searchRead the Press Release
McALLEN, Texas – Several men are facing up to life in prison for their alleged roles on a cocaine trafficking conspiracy, announced U.S. Attorney Jennifer B. Lowery.
Today, a federal grand jury returned a multi-count indictment against Mexican citizens Oscar Obed Manzanares, 22, Jose Bernardo Gonzalez-Gomez, 55, and Jose Santiago Luna-Duran, 45; Arlando Garcia-Garcia, 40, and Martin Vela-Alanis, 58, both legal permanent residents of Edinburg; and Martin Adrusbel Vela, 35, Edinburg. Vela-Alanis was additionally indicted for allegedly being a felon in possession of a firearm.
Originally charged by criminal complaint, they are expected to appear for their arraignments before a U.S. magistrate judge in the near future.
The charges allege that on March 22, Manzanares traveled into the United States from Mexico in a GMC and park at a local business in McAllen. Luna-Duran then took the vehicle to a property in Edinburg, according to the charges.
There, authorities allegedly observed individuals exchange items between the GMC and a Ford pickup truck. The charges allege Luna-Duran then brought the GMC back to Manzanares at the nearby business, while Garcia-Garcia took the Ford and continued on to a separate residence where he removed a large duffel bag from the truck.
Vela and Vela-Alanis allegedly resided on the property. Garcia-Garcia and Gonzalez-Gomez were also present, according to the charges.
Law enforcement executed a search warrant at the residence where they recovered a duffel bag containing 15 bundles of a white powdery substance, according to the charges. The bundles allegedly field tested positive for cocaine and had a weight of approximately 15 kilograms. The charges also allege they found over $90,000 and a black and gold Colt Model 1911 pistol.
At the same time, Luna-Duran allegedly returned to the business where authorities ultimately detained him as well as Manzanares. A K-9 search of the vehicle resulted in the discovery of bulk cash amounting to over $238,000, according to the charges.
If convicted, each man faces up to life in prison as well as a possible $10 million.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection Air and Marine Operations and the Hidalgo County Sheriff’s Office, and police departments in Hidalgo, Mission, McAllen, Alton, Palmview and Pharr. Assistant U.S. Attorney Peter Brostowin is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Sex Offender Sentenced to 188 Months’ Imprisonment for Receipt of Child Sexual Abuse MaterialRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Sean Guillette, 57, of Burlington, Vermont was sentenced today to 188 months’ imprisonment by Judge Christina Reiss in United States District Court. Today’s sentencing proceeding followed Guillette’s guilty plea in October 2021 to receiving child pornography, also referred to as child sexual abuse material. Judge Reiss also imposed a 16-year term of supervised release to begin after Guillette’s release from prison and ordered Guillette to pay a total of $12,000 in restitution to four victims who were depicted in the images that Guillette received.
According to court records, Guillette sought and downloaded dozens of images and a video of child sexual abuse material on various occasions between November 2018 and April 2019. After Guillette had an encounter with officers from the Burlington Police Department in April 2019, Guillette attempted to remotely delete these materials. Analysis of a cell phone and online account belonging to Guillette revealed images of sexual abuse of children ranging in ages from infant to teenager.
Guillette has multiple prior State of Vermont convictions for lewd and lascivious conduct with a child and has previously served 17 years in jail. These prior offenses included two convictions for groping young girls in public places. Despite having access to treatment for sex offenders while in custody, Guillette failed to complete the treatment and was terminated from the program. Then, in June 2019, after getting out of jail after serving the 17-year sentence, Guillette approached a young girl in a store and groped her.
Nikolas P. Kerest, United States Attorney, commended the investigatory efforts of Homeland Security Investigations, the Vermont Internet Crimes Against Children Task Force, and the Burlington Police Department. The prosecutors are Assistant U.S. Attorneys Nicole Cate and Nate Burris. Guillette is represented by Devin McLaughlin, Esq.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and Child Exploitation Obscenity Section, Criminal Division (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Scituate Resident Sentenced to Federal Prison for Possessing, Distributing Child PornographyRead the Press Release
PROVIDENCE, R.I. – A Scituate man who shared sexually explicit images of prepubescent girls online with an undercover federal law agent he thought to be the parents of a 13-year-old girl has been sentenced to five years in federal prison, announced United States Attorney Zachary A. Cunha.
David C. Duquette, 54, pleaded guilty on November 29, 2021, to possession of child pornography and distribution of child pornography. He was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr., to 60 months of incarceration to be followed by eight years of federal supervised release.
According to charging document, in February 2019, a Homeland Security Investigations agent engaged in a series of online exchanges with Duquette, posing as both the mother and father of a 13-year-old girl. In those exchanges, Duquette admitted that, in the past, he communicated online with young teenage girls, and that some of them shared sexually explicit images. The agent suggested he too shared an interest in viewing child pornography. Duquette sent him two sexually explicit images depicting prepubescent girls.
Duquette was arrested on April 17, 2019. His cellphone was found to contain approximately 1,400 images of child pornography.
The case was prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
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Sacramento Felon Pleads Guilty to Illegal Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — Marcus Lawrence Weber, 26, of Sacramento, pleaded guilty today to being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on March 16, 2022, Weber had four pending felony arrest warrants when officers located him driving in Roseville. When they tried to pull him over to arrest him, Weber led them on a car chase. Eventually, Weber stopped his car and fled on foot, wearing a black ski mask. He ran into a creek bed, where he dropped a Ruger 5.7 firearm and was eventually arrested. The firearm was loaded with an extended magazine and had a round in the chamber. Weber is prohibited from possessing firearms or ammunition because he has previously been convicted of felony offenses.
This case is the product of an investigation by the Sacramento Police Department, the Sacramento County District Attorney’s Office, the Placer County Sheriff’s Office, and the Placer County District Attorney’s Office, with the assistance of the Federal Bureau of Investigation’s Safe Streets Task Force and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
Weber is scheduled to be sentenced on Aug. 2, 2022. He faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
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.
Rochester School Bus Driver Arrested, Charged with Sexually Abusing A 13 Year Old on A Bus and Witness TamperingRead 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 Tomas Rosario, 74, of Rochester, NY, was arrested and charged by criminal complaint with attempted receipt of child pornography, possession of child pornography, and attempted tampering with a witness. The charges carry a mandatory minimum penalty of five years in prison and a maximum of 20 years.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that according to the complaint, on March 11, 2022, the Rochester Police Department received a report of a sexual assault of a 13-year-old female (Minor Victim). Subsequent investigation determined that the Minor Victim was allegedly touched inappropriately by her school bus driver, later identified as Rosario. A review of surveillance video captured on cameras installed on the school van shows Rosario having inappropriate sexual discussions with the Minor Victim on the way to and from school. The Minor Victim and Rosario are the only occupants in the van. Rosario also the drove the Minor Victim past his residence and told her that if there comes a day when she does not want to go to school, he could provide her with his phone number so that Minor Victim could call him. Rosario then gave the Minor Victim a piece of paper with his phone number written on it. Rosario also told the Minor Victim not to tell anyone about their conversation. During the ride home from school, Rosario directed the Minor Victim to do something sexually inappropriate. The Minor Victim reminds Rosario about the camera inside the vehicle. Rosario then inappropriately touches the Minor Victim multiple times. Rosario tells the Minor Victim again not to tell anyone because he could have a big problem. A few days after this sexual assault occurred, Rosario encountered the Minor Victim in a convenience store and again warned her not to tell anyone. This encounter was captured by the store’s security cameras.
On April 13, 2022, the Rochester Police Department obtained a warrant to search Rosario’s cell phone, during which investigators recovered images of child pornography.
Members of the public who have information regarding this case are asked to call the FBI at 1-585-546-2220.
The complaint is the result of an investigation by the Rochester Police Department, under the direction of Interim Police Chief David Smith, the Federal Bureau of Investigation, Child Exploitation Task Force, under the direction of Agent-in-Charge Stephen Belongia, and the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Rochester Man Wanted on an Outstanding Warrant in Texas Arrested on Charges of Distribution and Possession of Child PornographyRead 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 Joseph Perez, of Rochester, NY, was arrested and charged by criminal complaint with distribution of child pornography and possession of child pornography involving a prepubescent minor. The charges carry a maximum penalty of 20 years in prison.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that in December 2020, the National Center for Missing and Exploited Children (NCMEC) received a cybertip from Twitter, Inc. that an individual, later identified as Perez, uploaded four images of suspected child pornography to Twitter. Subsequently, in March 2021, NCMEC received a cybertip from Instagram indicating that Perez uploaded one file of suspected child pornography. On November 5, 2021, the New York State Police executed a search warrant at Perez’s Avenue D residence and recovered several electronic devices were seized. A forensic analysis found approximately 125 videos of child pornography on a cellular telephone. At the time of his arrest, investigators discovered that there is an active warrant for Perez’s arrest out of Potter County, Texas, where he was charged with Indecency with a Child/Sexual Contact.
The complaint is the result of an investigation by Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino, the New York State Police, under the direction of Major Eugene Staniszewski, and the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Registered Sex Offender Faces Mandatory Minimum 10 Years in Prison After Pleading Guilty to Possession of Child PornographyRead 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 Matthew Bald, 40, of Lockport, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to possession of child pornography involving a prepubescent minor by a person having a prior conviction for sexual abuse, aggravated sexual abuse, or abusive sexual contact involving a minor or ward. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney David J. Rudroff, who is handling the case, stated that in November 2011, Bald was convicted in Niagara County Court of Sexual Abuse in the First Degree and sentenced to serve six months in prison and 10 years’ probation. On December 15, 2020, while still on probation, Bald possessed more than 600 images of child pornography on a laptop computer. Some of the images of child pornography depicted prepubescent minors.
The plea is the result of an investigation by Homeland Security investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino, the New York State Police, under the direction of Major Eugene Staniszewski, the Niagara County Probation Department, under the direction of Director John Cicchetti, and the National Center for Missing and Exploited Children.
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Recidivist Fraudster Indicted in Connection with at Least $40 Million Ponzi Scheme, SBA Loan Fraud, and Another Fraud SchemeRead the Press Release
Damian Williams, United States Attorney for the Southern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (FBI), announced the indictment of FRANKLIN RAY for conspiracy to commit wire fraud, wire fraud, and aggravated identity theft, in connection with various fraud schemes relating to his operation of a trucking business known as CSA Business Solutions LLC. RAY, who was previously convicted of wire fraud and bank fraud in the Eastern District of Michigan and was released from prison in 2010, and a co-defendant, JOSEPH WINGET, were arrested in connection with certain of these schemes pursuant to a criminal complaint in early March.
U.S. Attorney Damian Williams said: “We allege Ray used his purported trucking companies as vehicles for fraud, including by submitting fraudulent applications for small business loans during the Covid-19 pandemic, and by fleecing investors into giving him tens of millions of dollars to participate in a business that was a scam. Ray knew that his actions were illegal, having been convicted of similar crimes more than a decade ago. Ray may not learn a lesson from his latest actions, but he will face justice for them.”
FBI Assistant Director-in-Charge Michael J. Driscoll said: “As we allege today, Mr. Ray, who was previously convicted of federal wire and bank fraud charges, operated a Ponzi scheme that defrauded hundreds of investors of more than $40 million. Mr. Ray was even bold enough to continue his alleged activity subsequent to his most recent arrest. Today's charges will force him - yet again - to face the consequences of his illegal activity in the federal criminal justice system.”
As alleged in the Indictment and previously filed Complaint:[1]:
Beginning in at least June 2021, FRANKLIN RAY began to offer investors an opportunity to invest in his trucking and logistics company, CSA Business Solutions LLC (the “Truck Investment Scheme”). Specifically, RAY and the investors entered into contracts pursuant to which, for each $20,000 contributed by the investor, CSA Business Solutions LLC would procure and operate a truck in its trucking business. RAY told investors that the trucks would perform delivery services for a multinational e-commerce company and/or a multinational shipping company, and that the investors would be entitled to 77% of the net income of the trucks. After the investors purchased the rights to trucks from CSA Business Solutions LLC, RAY sent them falsified spreadsheets at regular intervals, purporting to show the performance of their trucks during the relevant period. In truth and fact, CSA Business Solutions LLC operated few trucks and had minimal revenues from trucking activities. Instead, investors in the Truck Investment Scheme received payments from new investments into the scheme or from other sources. RAY ultimately induced approximately 275 investors to purchase over 2,000 trucks, totaling at least $40 million in fraudulent investments.
RAY is also charged with carrying out fraudulent schemes to obtain over $1.9 million in government-guaranteed loans designed to provide relief to small businesses during the COVID-19 pandemic on behalf of CSA Business LLC and another Michigan-based trucking company (the “SBA Loan Fraud Schemes”). In connection with the SBA Loan Fraud Schemes, RAY submitted false information and forged documents to the SBA and commercial lenders. RAY claimed that these businesses engaged in significant trucking business, but they had minimal revenues and trucking activity. A co-defendant, JOSEPH WINGET, is charged with participating in one of the SBA Loan Fraud Schemes, on behalf of CSA Business Solutions LLC, resulting in $1.1 million in fraudulently obtained loans.
Finally, RAY is charged with fraudulently inducing a New York City based real estate company to pay a $175,000 deposit in order to pay for startup costs associated with setting up a joint venture between the company and CSA Business Solutions LLC (the “Joint Venture Fraud”). RAY induced the company to enter into the Joint Venture by misrepresenting CSA Business Solutions LLC and his own personal business experience. RAY spent the funds on personal expenses, including private airplane trips. The Joint Venture was never formed.
RAY and WINGET were arrested in early March 2022, and a CSA Business Solutions LLC bank account was seized at that time. After his arrest, RAY continued to operate the Truck Investment Scheme. RAY misled investors about why he did not make expected payments after his arrest and hid the fact of his arrest and the seizure of the bank account. During this period, RAY caused the opening of new bank accounts on behalf of CSA Business Solutions LLC and continued to solicit and accept investor funds for trucks that did not exist.
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RAY, 50, of Canton, Michigan, is charged with conspiracy to commit wire fraud, four counts of wire fraud, and two counts of aggravated identity theft. The conspiracy to commit wire fraud and three counts of wire fraud each carry a maximum sentence of 20 years in prison. One of the wire fraud counts relates to a fraud affecting a financial institution, and therefore carries a maximum sentence of 30 years in prison. The charges for aggravated identity theft each carry an additional mandatory consecutive two-year sentence.
WINGET, 70, of Imlay City, Michigan, is charged with conspiracy to commit wire fraud and one count of wire fraud, each of which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries an additional mandatory consecutive two-year sentence.
Mr. Williams praised the outstanding investigative work of the FBI.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Matthew Weinberg is in charge of the prosecution.
If you believe you have been a victim of the schemes described above, including a victim entitled to restitution, and you wish to provide information to law enforcement and/or receive notice of future developments in the case or additional information, please contact Wendy Olsen-Clancy, the Victim Witness Coordinator at the United States Attorney’s Office for the Southern District of New York, at 866-874-8900 or [email protected].
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and Complaint and the description of the Indictment and Complaint set forth in this release constitute only allegations, and every fact described should be treated as an allegation.
Raytown Man Sentenced for Enticing a Minor for SexRead the Press Release
KANSAS CITY, Mo. – A Raytown, Mo., man was sentenced in federal court today for enticing a 15-year-old victim to engage in illegal sexual activity.
Nathaniel Hibdon, 31, was sentenced by U.S. District Judge Gary A. Fenner to 10 years in federal prison without parole. The court also ordered Hibdon to pay a $5,000 special assessment under the Justice for Victims of Trafficking Act. Hibdon will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life.
On Sept. 2, 2021, Hibdon pleaded guilty to one count of enticing a minor to engage in illegal sexual activity.
Hibdon admitted that he met the 15-year-old victim on the Grindr application and communicated with him via Facebook Messenger. On at least two occasions in September 2018, Hibdon traveled to Kansas City, Kansas, to pick up the minor victim and bring him to Missouri to engage in illegal sexual activity. Law enforcement was alerted by a series of CyberTips made by Facebook to the Western Missouri Cyber Crimes Task Force.
This case was prosecuted by Assistant U.S. Attorney David A. Barnes. It was investigated by the Western Missouri Cyber Crimes Task Force and Homeland Security Investigations.
Project Safe Childhood
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.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Rapid City Man Sentenced for Prohibited Person in Possession of a FirearmRead the Press Release
United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of Prohibited Person in Possession of a Firearm was sentenced on April 18, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Benny Bacon, age 56, was sentenced to 26 months in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Bacon was indicted by a federal grand jury on February 8, 2021. He pled guilty on January 27, 2022.
The conviction stems from an incident on November 19, 2020, in Todd County, South Dakota, during a traffic stop when law enforcement located a pistol, ammunition, and drug paraphernalia in Bacon’s vehicle. Bacon is a felon and an unlawful user of a controlled substance making him a prohibited person.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services, Northern Plains Safe Trails Drug Enforcement Task Force, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Meghan Dilges prosecuted the case.
Bacon was immediately turned over to the custody of the U.S. Marshals Service.
Portland Housekeeper Pleads Guilty to Wire Fraud after Stealing Covid-Relief FundsRead the Press Release
PORTLAND, Ore.—A Portland area housekeeper pleaded guilty today for perpetrating a scheme to steal funds intended to help small businesses during the COVID-19 pandemic.
Kimberly Aralene Wells, 40, a resident of Portland, pleaded guilty to one count of wire fraud.
According to court documents, by the summer of 2020, after Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act to provide emergency financial assistance to millions of Americans suffering the economic effects of the COVID-19 pandemic, Wells devised a scheme to defraud the Small Business Administration (SBA) by fraudulently applying for CARES Act-authorized Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL) using a fictitious shell company.
To perpetrate her scheme, Wells used her fictitious company, Kim’s Cleaning Inc., to apply for PPP loans from Itria Ventures LLC, an online commercial lending platform based in New Jersey. In her loan applications, Wells falsely claimed her business posted gross annual receipts of more than $600,000 and maintained an average monthly payroll of more than $19,000. In reality, Wells’ company existed in name only and had no employees.
As a result of her misrepresentations, in February 2021, Itria disbursed nearly $49,000 in PPP funds to Wells. Wells in turn used the funds to pay for various personal expenses, including travel and gambling. Between July 2020 and May 2021, Wells also submitted three fraudulent EIDL applications that were denied by SBA.
On November 11, 2021, a federal grand jury in Portland returned a three-count indictment charging Wells with wire fraud.
Wells faces a maximum sentence of 20 years in prison, a $250,000 fine and three years of supervised release. She will be sentenced on August 8, 2022 before U.S. District Court Judge Michael H. Simon.
As part of her plea agreement, Wells has agreed to pay $51,457 in restitution to Itria and SBA.
U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by the U.S. Treasury Inspector General for Tax Administration (TIGTA), the SBA Office of Inspector General, and the FBI. Assistant U.S. Attorney Ryan W. Bounds is prosecuting the case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Pittsburgh Man Pleads to Producing and Attempting to Produce Child Sexual Exploitation MaterialsRead the Press Release
PITTSBURGH - A former resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of production and attempted production of material depicting the sexual exploitation of a minor, United States Attorney Cindy K. Chung announced today.
Anthony Cerasi, age 47, pleaded guilty to one count before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that on April 13, 2021, Cerasi employed and used a minor to engage in sexually explicit conduct for the purpose of producing a video recording of such conduct.
Judge Schwab scheduled sentencing for Aug. 30, 2022, at 9:30 AM. The law provides for a total sentence of not less than 15 years but not more than 30 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the Court ordered that Cerasi remain detained.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The FBI Pittsburgh Child Exploitation and Human Trafficking Task Force, including the Federal Bureau of Investigation and the Pittsburgh Bureau of Police, conducted the investigation that led to the prosecution of Cerasi.
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.
Pine Ridge Man Charged with Three MurdersRead the Press Release
United States Attorney Dennis R. Holmes announced that a Pine Ridge, South Dakota, man has been indicted by a federal grand jury for three counts of First Degree Murder, three counts of Discharge of a Firearm During a Crime of Violence, and one count of Possession of Ammunition by a Prohibited Person.
Elijah West, age 24, was indicted on January 20, 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on April 15, 2022, and pleaded not guilty to the Indictment.
The penalty upon conviction is mandatory life in federal prison and/or a $250,000 fine, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges stem from West killing three people by shooting them near Wounded Knee, South Dakota, in January 2022. The charges are merely an accusation and West is presumed innocent until and unless proven guilty.
The investigation is being conducted by Federal Bureau of Investigation and the Oglala Sioux Tribe Department of Public Safety Criminal Investigation Division. Assistant U.S. Attorney Benjamin Patterson is prosecuting the case.
West was detained pending trial. A trial date has been set for June 21, 2022.
Pine Ridge Brothers Found Not Guilty in Federal CourtRead the Press Release
United States Attorney Dennis R. Holmes announced that two Pine Ridge, South Dakota, men were acquitted of Second Degree Murder following a federal jury trial in Rapid City, South Dakota. The verdict was returned on April 15, 2022.
Antoine Joey Makes Good, a/k/a Joey Makes Good, age 35, and Vinnie Makes Good, age 33, were indicted by a federal grand jury on December 8, 2020.
The charge related to the murder of a male individual at Kyle, South Dakota, on November 1, 2020. The investigation was conducted by the Oglala Sioux Tribe Department of Public Safety and the Federal Bureau of Investigation. The U.S. Attorney's Office prosecuted the case.
Pierre Woman Indicted for Assaulting Federal OfficersRead the Press Release
United States Attorney Dennis Holmes announced that a Pierre, South Dakota, woman has been indicted by a federal grand jury for Assaulting, Resisting, and Impeding a Federal Officer.
Barbara McGhee, age 24, was indicted on April 13, 2021. She appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to eight years in federal prison and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on March 29, 2021, in Lower Brule, South Dakota, McGhee physically assaulted correctional officers as they were attempting to relocate her to another area of the jail.
The charge is merely an accusation and McGhee is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, Lower Brule Agency. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
McGhee was released on bond pending trial. A trial date has not been set.
Owner of Counseling Agency and Supervising Manager Sentenced on Healthcare and Wire Fraud ChargesRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that Marty T. Johnson and Keesha Dinkins were both sentenced today by United States District Judge Donald E. Walter in connection with a healthcare fraud and wire fraud scheme they were involved in.
Johnson, 59, of Shreveport, was sentenced to 60 months in prison, followed by 1 year of supervised release. Dinkins, 45, of Bossier City, was sentenced to 24 months in prison, followed by 1 year of supervised release. In addition, Johnson and Dinkins were ordered to jointly pay restitution in the amount of $3,500,000.
On October 26, 2021, Johnson and Dinkins each entered guilty pleas in connection with the case. Johnson pleaded guilty to a Bill of Information charging him with conspiracy to commit healthcare fraud and wire fraud. Dinkins pleaded guilty to a Bill of Information charging her with misprision of a felony charge of healthcare fraud. Johnson and Dinkins each admitted to defrauding the Medicaid Program out of $3.5 million.
According to information presented to the court, Johnson owned and operated Positive Change Counseling Agency (Positive Change) located in Shreveport, Louisiana, from January 2013 to January 2018. Keesha Dinkins was a manager and supervisor at Positive Change. Positive Change provided mental health rehabilitation and related services to Medicaid beneficiaries in the Caddo and Bossier Parish areas. From 2014 to January 2018, Johnson submitted and caused to be submitted fraudulent claims for mental health rehabilitation and non-emergency transportation services on behalf of Positive Change. Dinkins knew that Johnson submitted these fraudulent claims which she and Johnson both knew were not performed or rendered. These fraudulent claims resulted in Positive Change receiving payments from Medicaid to which it was not entitled.
Johnson admitted to paying individuals money to enroll with Positive Change, increasing the capacity for Positive Change to bill Medicaid for services that were not rendered. Johnson instructed employees, and Dinkins supervised those employees, at Positive Change to create false client files to conceal from Medicaid and insurance company auditors and inspectors that it had not performed the services related to its previously submitted claims which had already been reimbursed by Medicaid. In order to create these false client files, sections from different client documents were physically cut to create inserts which were glued into blank client log templates. These templates with the glued inserts were then photocopied to create the appearance of legitimate documents. Johnson and Dinkins supervised and knowingly and willfully instructed the employees that were creating these false client files to place the false and fictitious photocopied, cut and pasted, documents into the client files. Johnson and Dinkins knew that these false client files were used to conceal from Medicaid officials that Positive Change did not render the services in the claims submitted by it and paid by Medicaid.
In addition, Johnson knowingly caused Positive Change to use Medicaid recipients’ names and identification information without their knowledge or consent to submit fraudulent claims for mental health rehabilitation and non-emergency transportation.
The case was investigated by the U.S. Department of Health and Human Services–Office of Inspector General, Louisiana State Attorney General’s Office-Medicaid Fraud Control Unit, and Federal Bureau of Investigation. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
If you have any information pertaining to this or any other type of Medicaid fraud, please contact the U.S. Department of Health and Human Services–Office of Inspector General at 1-800-HHS-TIPS (1-800-447-8477) or the Louisiana Medicaid Fraud Hotline at 1-800-488-2917.
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Orange County Woman Found Guilty of Federal Charges in Murder of Man Shot on Boat and Whose Body Was Recovered in OceanRead the Press Release
SANTA ANA, California – A San Juan Capistrano woman was found guilty by a federal jury today of criminal charges in connection with the October 2019 murder of a man whose body was found floating in the Pacific Ocean with bullet and blunt force trauma wounds.
Sheila Marie Ritze, 42, was found guilty of two felonies: one count of second-degree murder within in the special maritime and territorial jurisdiction of the United States, and one count of making false statements to federal investigators.
At her sentencing hearing, which is expected in the coming months, Ritze will face a statutory maximum sentence of life in federal prison.
According to evidence presented at her 12-day trial, Ritze went out on her boat with Hoang Xuan Le, 40, a.k.a. “Wayne,” and “Wangsta,” of Fountain Valley, where they murdered the victim, who owed Le a debt. On October 15, 2019, in connection with a late-night lobster-fishing trip, Ritze and Le took the victim to Ritze’s boat, which was docked at Dana Point Harbor.
Around midnight, Ritze drove her boat out into the Pacific Ocean with Le and the victim on board. Le shot the victim on the boat, the victim went overboard, and Ritze and Le left the victim to die in the ocean, where he drowned. Le and Ritze then returned to Dana Point Harbor.
The victim’s body was recovered from the Pacific Ocean several miles northwest of Oceanside on October 16, 2019. The San Diego County Medical Examiner’s Office determined that he was a homicide victim who drowned after being shot and who had suffered blunt force trauma.
During a December 2019 interview with federal investigators, Ritze told a series of lies, including when she falsely said she had never met the victim prior to the fatal October 15, 2019, boat trip. Ritze and the victim had been in Las Vegas together 11 days prior to the murder.
At the conclusion of a 17-day trial in December 2021, a federal jury found Le guilty of first-degree murder within the special maritime and territorial jurisdiction of the United States, conspiracy to commit murder, and using a firearm in furtherance of a crime of violence. In February 2022, Le pleaded guilty to eight narcotics-related felonies, including distribution of cocaine and methamphetamine.
Le faces a mandatory sentence of life in federal prison at his June 27 sentencing hearing.
The Coast Guard Investigative Service and the FBI investigated this matter.
Assistant United States Attorneys Gregory S. Scally and Gregory W. Staples of the Santa Ana Branch Office are prosecuting this case.
Olean Man Pleads Guilty to CyberstalkingRead 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 Luke Marshall Wenke, 29, of Olean, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to cyberstalking. The charges carry a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorneys Charles M. Kruly and David J. Rudroff, who are handling the case, stated that between January 23 and January 24, 2022, Wenke threatened to injure an individual identified as R.G. in Minnesota. R.G. is a criminal defense attorney who represents an acquaintance of Wenke’s in a criminal matter in the District of Minnesota. Beginning in September 2020, Wenke grew dissatisfied with the representation that R.G. provided to the acquaintance, and began to harass and threaten R.G. Between September 22, 2020, and January 24, 2022, Wenke sent R.G. more than 76 emails, a voicemail, made two phone calls to R.G.’s law firm, and attempted to visit R.G.’s law firm in-person on one occasion, in addition to numerous fake internet reviews of R.G.’s law firm. Several of the communications referenced Wenke’s possession of firearms, and/or his familiarity with explosives.
On January 23, 2022, Wenke sent R.G. an email in which he stated, among other things, “They say men respect each other after a fight. I will gladly take a steel chair to your face until I get what I want here. You don’t respect me. . . but you will.” On January 24, 2022, Wenke sent another email to R.G. in which he stated, among other things, “This fight will happen, do not fear and do not worry. Do not cross certain lines. Oh boy do I have work to do tomorrow.” That same day, Wenke sent another email and attached a photo depicting an aerial view of R.G.’s residence.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia and the Olean Police Department, under the direction of Chief Ron Richardson.
Sentencing is scheduled for August 18, 2022, at 10:00 a.m. before Judge Sinatra.
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Ogle County Man Sentenced to Nearly Four Years in Federal Prison for Bank RobberyRead the Press Release
ROCKFORD — An Ogle County man was sentenced today to nearly four years in federal prison for robbing a bank in Rochelle, Ill.
RODNEY BEESE, 64, of Rochelle, Ill., admitted in a plea agreement that on July 6, 2021, he entered Central Bank Illinois, 340 May Mart Dr., approached the teller counter, and presented a note demanding $20’s, $50’s, and $100’s from the drawer. Beese received $100 in cash from the teller and then left the bank.
U.S. District Judge Iain D. Johnston imposed a 46-month prison sentence after a hearing in federal court in Rockford.
The sentencing was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government was represented by Assistant U.S. Attorney Robert S. Ladd.
Odessa Man Charged for Suspicious Device HoaxRead the Press Release
MIDLAND – An Odessa man was charged last week on a federal criminal complaint for his alleged involvement in a hoax concerning the Ector County Courthouse.
According to court documents, on April 7, 2022, David Paul Finnegan, 37, left a suspicious device at the front steps of the Ector County Courthouse. The device consisted of a large PVC pipe containing miscellaneous objects. It was held together with black tape and had a wristwatch taped to it. The Odessa Police Department Explosives Ordinance Disposal (EOD) team was called out to examine the device. After the EOD technicians rendered it safe, they determined the device did not contain explosives.
Further investigation revealed Finnegan was scheduled to be sentenced at the courthouse the day he planted the device. As a result of its discovery, the Ector County Courthouse had to be evacuated and shut down to the public for much of the day, causing various court proceedings to be postponed, including Finnegan’s sentencing.
Finnegan is charged with one count of perpetrating a hoax. If convicted, he faces up to five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Finnegan had his initial appearance today before United States Magistrate Judge Ronald Griffin.
U.S. Attorney Ashley C. Hoff of the Western District of Texas and FBI Special Agent in Charge Jeffrey R. Downey, El Paso Office, made the announcement.
The FBI, with valuable assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); the Ector County Sheriff’s Office; Odessa Police Department; and the Texas Department of Public Safety, is investigating the case.
Assistant U.S. Attorney John Fedock is prosecuting the case.
A criminal complaint is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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North Dakota Man Indicted on Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH, PA. A resident of Williston, North Dakota, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal child exploitation laws, United States Attorney Cindy K. Chung announced today.
The six-count Indictment named Nicholas Nesdahl, age 27, as the sole defendant.
According to the Indictment, in October 2021, Nesdahl is alleged to have produced and attempted to produce material depicting the sexual exploitation of a minor and received and attempted to receive material depicting the sexual exploitation of a minor.
The law provides for a maximum total sentence of 30 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert C. Schupansky is prosecuting this case on behalf of the government.
The Department of Homeland Security/Homeland Security Investigations conducted the investigation leading to the Indictment in this case.
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.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
North Belle Vernon Felon Charged with Illegal Possession of a Gun and AmmunitionRead the Press Release
PITTSBURGH, PA - A resident of North Belle Vernon, PA, has been indicted by a federal grand jury in Pittsburgh, Pennsylvania on a charge of violating federal firearms law, United States Attorney Cindy K. Chung announced today.
The one-count Indictment named Jashawn Anthony Mackall, 28, as the sole defendant.
According to the Indictment, on Aug. 8, 2021, Mackall is alleged to have possessed a firearm and ammunition as a convicted felon. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm or ammunition.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert C. Schupansky is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Pennsylvania State Police conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
New York Couple Sentenced to Prison for Roles in $4 Million Extortion SchemeRead the Press Release
WASHINGTON – Archie Kaslov, 55, and Candy Evans, 52, of New York, N.Y., were sentenced to prison terms today for their roles in a wide-ranging fraud, extortion, and money laundering scheme, which involved one of their sons pretending to be a New York mobster to get a Maryland man to embezzle more than $4 million from his Washington, D.C., employer.
The sentencings took place in the U.S. District Court for the District of Columbia. The announcement was made by U.S. Attorney Matthew M. Graves and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division.
Kaslov was sentenced by the Honorable Emmet G. Sullivan to 30 months in prison, to be followed by three years of supervised release. The first six months of his time on supervised release must be spent in home detention. Evans was sentenced to 12 months and a day in prison, to be followed by three years of supervised release. Evans, too, must spend the first six months of her supervised release in home detention.
Consistent with their plea agreements, each defendant was ordered to pay $4,217,542 in restitution. Kaslov also was ordered to pay $1,057,682 in a forfeiture money judgment.
In April 2018, a federal grand jury indicted Kaslov and Evans, as well as their sons, Tony John Evans, Corry Blue Evans, and Robert Evans, and Robert Evans’ common-law ex-wife Gina Russell, on various charges related to the extortion scheme.
As part of the scheme, a New York woman conspired with Kaslov, Candy Evans, Tony John Evans, Corry Blue Evans, Robert Evans, and Russell to extort money and gold bars from the Maryland man, which caused him to embezzle funds from his employer between January 2017 and March 2017. He converted the funds to cash and gold bars and delivered the money and gold bars to New York drop-off locations, including a hotel room, believing the funds were going to mobsters to whom the New York woman owed money. In reality, all of the funds he embezzled and delivered to New York went to members of the Evans-Kaslov family.
Kaslov pleaded guilty in September 2020 to conspiracy to commit wire fraud. As part of his guilty plea, he admitted that he drove members of his family around New York with cash obtained from the scheme. On one such occasion, he drove to the New York diamond district on 47th Street, where he and family members spent tens of thousands of dollars in criminal proceeds from the scheme on watches, including Rolexes.
Kaslov also admitted that, after the Maryland man delivered approximately $2 million in gold bars to Tony John Evans and other individuals, Kaslov and others turned around and sold the gold bars for cash. Kaslov also traveled to Texas in May 2017 with a family member, where the two paid more than $300,000 in cash, the majority of which was proceeds from the scheme, to purchase a Rolls Royce Phantom Drophead from a car dealer. In January 2020, Kaslov and Candy Evans sold that Rolls Royce in New Jersey for $120,000.
Candy Evans pleaded guilty in September 2020 to tampering with a witness by corrupt persuasion or misleading conduct. As part of her guilty plea, she admitted that once the FBI launched its investigation, she counseled the New York woman whom the Maryland man met on Backpage to lie to people, including the FBI. In April 2017, Candy Evans, believing that married individuals could not be compelled to testify against each other, advised the New York woman and Russell to get married to prevent such testimony about the scheme in Court. The New York woman and Russell married at City Hall in New York.
Candy Evans further panicked and wanted a letter that would exonerate her, Kaslov, and their three sons from any involvement in the scheme to get money from the Maryland man. Thus, she directed Russell and the New York woman to sign a handwritten, notarized confession attempting to fully implicate themselves and to exonerate Candy Evans, Kaslov, and their sons. Later that month, when the New York woman was scheduled to meet with the FBI, Candy Evans counseled the woman to lie by telling the FBI that there actually never had been an extortion scheme and that the Maryland man had invented the entire story about mobsters to justify why he embezzled money from his employer. In October 2017, two days after the FBI executed search warrants at various Evans-Kaslov family members’ residences, Candy Evans called an FBI special agent who was investigating the case and told him that Kaslov and two of her other sons had not done anything illegal, which she acknowledged was false, and that it was just Tony John Evans, Russell, and the New York woman who had committed the crimes. In November 2017, prior to Russell’s interview with the FBI, Candy Evans also instructed Russell to lie to the FBI.
On May 6, 2021, the Vice President of Investigation and Fraud for a New York bank informed the government that Candy Evans had attempted to withdraw $50,000 in cash from an account that she recently opened. The bank contacted the government after it conducted due diligence regarding the attempted withdrawal and learned, from a prior Department of Justice press release, that Evans had been involved in the above-described criminal scheme. The government successfully moved the Court to restrain Evans from dissipating the $50,000 in funds. Today, Judge Sullivan said he will grant the government’s motion requiring that the bank pay the $50,000 in restrained funds towards Evans’ restitution obligation, which will be distributed to the victim from whom the Maryland man embezzled the funds.
Kaslov and Candy Evans are the second and third defendants to be sentenced in connection with this case. In September 2018, their son, Tony John Evans, now 33, pleaded guilty to interference with interstate commerce by extortion. Judge Sullivan sentenced him to five years in prison.
Their son, Robert Evans, now 34, pleaded guilty in April 2021 to interference with interstate commerce by extortion. He is awaiting sentencing. Russell, now 33, also pleaded guilty in July 2019 to interference with interstate commerce by extortion and is awaiting sentencing. Charges remain outstanding against Corry Blue Evans, 29, who has pleaded not guilty.
In announcing the sentences, U.S. Attorney Graves and Special Agent in Charge Jacobs commended the work of those who investigated the case from the FBI’s Washington Field Office Criminal Division. They expressed appreciation for assistance provided by the U.S. Department of Justice Office of the Inspector General. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Diane Lucas and Arvind Lal, who assisted with forfeiture issues, Assistant U.S. Attorneys Oliver McDaniel and Melissa Goforth Koenig, who assisted with restraining funds that Evans attempted to dissipate, Forensic Accountant Bryan Snitselaar, and former Paralegal Specialists Jessica Mundi, Brittany Phillips, Stephanie Frijas, Kristy Penny, and Joshua Fein.
Finally, they commended the work of Assistant U.S. Attorneys David Kent and Kondi Kleinman, who investigated and are prosecuting the case.
New Mexico Man Sentenced to Nearly 22 Years in Federal Prison for Fraud, Money Laundering, and Obstruction ConspiraciesRead the Press Release
United States Attorney Dennis R. Holmes announced that John Rick Winer, age 68, of New Mexico, convicted for his role in fraud, money laundering, and obstruction of justice conspiracies, was sentenced on Monday April 18, 2022, by U.S. District Judge Karen E. Schreier.
Winer was sentenced to 262 months in federal prison, followed by three years of supervised release, nearly $11 million in restitution, and forfeiture of a residence in Norway, a luxury vehicle, approximately $4 million in silver coins, and a laptop. He was also ordered to pay $1,200 to the Federal Crime Victims Fund.
Defendants John Rick Winer, Nathan Peachey, and others were originally indicted by a federal grand jury on November 5, 2019. A Second Superseding Indictment was filed on October 6, 2020. Peachey and Winer proceeded to trial in November 2021, and the jury returned guilty verdicts on all counts against both defendants. Peachey was sentenced on February 14, 2022, to 300 months in federal prison and ordered to pay approximately $11 million in restitution. Winer was originally scheduled for sentencing that same day but failed to appear.
According to evidence presented at trial and court documents, Peachey resided in and operated from the State of Pennsylvania and from a suburb of Oslo, Norway. Peachey aided in soliciting millions of dollars from investors in the United States, and he received funds from others who were involved in the fraud scheme. Funds obtained by and through Peachey were, in part, laundered through and into domestic and international bank accounts. After his receipt of funds, Peachey would transfer or wire funds to his co-conspirators, and he also would use funds on personal expenditures.
Winer resided and operated from the State of New Mexico, among other places. Winer recruited individuals from South Dakota and elsewhere to invest in various projects, and he solicited funds that were obtained through the fraud scheme. After his receipt of funds, Winer would transfer or wire funds to his co-conspirators and others known and unknown to the Grand Jury, and he also would use funds on personal expenditures.
As to the scheme to defraud the victims across the country, Peachey and Winer, along with their co-conspirators, informed investors that the monies provided to one or more of the co-conspirators would be used for charitable or humanitarian projects, oftentimes using religion to entice and induce victims into investing money in the scheme. They also made promises that there would be a return on investments. Peachey and Winer informed investors that the monies provided to one or more of the co-conspirators would not be expended on personal expenses. Investor money was not used for charitable or for humanitarian projects, and investors never received a return on investments relating to the monies provided to Peachey, Winer, or their co-conspirators. The purpose of the conspiracy was to enrich the co-conspirators, all of whom amassed nearly $13 million, and then spent the fraud proceeds on a luxury residence located in a suburb of Oslo, Norway, renovation costs on the house, a Mercedes Benz, nearly $4 million in silver, travel, and personal expenses. This fraud scheme impacted victims from around the United States, including South Dakota, Minnesota, Arizona, New Mexico, Florida, Colorado, Pennsylvania, and North Carolina.
While espousing sovereign-citizen and religiously-based ideologies and employing such tactics, Peachey, Winer, and their co-conspirators utilized, independently or jointly, entities to perpetrate the fraud scheme, including, but not limited to: AG Enterprises, L.L.C.; House of Winer; Jacobs Provision Trust; The Joseph Project; Jericho Outreach; Jericho Outreach – Norway; Christian Charity Foundation; and G47 Initiative. These entities were fake and used to receive fraud proceeds and launder money.
Once Peachey and Winer learned about the investigation in South Dakota and elsewhere, they also conspired to obstruct justice. Peachey and Winer conspired to corruptly obstruct, influence, and impede the investigation of the below-listed agencies and various court proceedings.
This case was investigated by the following entities: Internal Revenue Service Criminal Investigation; Federal Bureau of Investigation; ØKOKRIM, the Norwegian National Authority for Prosecution and Investigation of Economic and Environmental Crime, Oslo, Norway; Oslo, Norway Police Department; Department of Justice’s Office of International Affairs; and the South Dakota Division of Criminal Investigation.
Assistant U.S. Attorneys Jeremy R. Jehangiri and Ann M. Hoffman prosecuted the case.
Winer was immediately returned to the custody of the U.S. Marshals Service to begin serving his sentence of imprisonment.
New London Man Sentenced to 4 Years in Federal Prison for Firearm OffenseRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, today announced that on April 15, 2022, TERRENCE BEDDOE, 42, of New London, was sentenced by U.S. District Judge Janet C. Hall in New Haven to 48 months of imprisonment, followed by three years of supervised release, for a firearm offense.
According to court documents and statements made in court, in the early morning of October 11, 2019, Beddoe had an argument with an individual at a bar on Bank Street in New London. As Beddoe was driving away from the bar, shots were fired in the direction of the other individual, who was standing outside of the bar with two other men. A passerby saw the shots being fired from the car Beddoe was driving, and the victim identified the shooter as Beddoe. A court-authorized search of Beddoe’s car revealed a spent shell casing similar to shell casings recovered from the scene of the shooting.
Beddoe’s criminal history includes nine felony convictions, including convictions for assault in the second degree and criminal possession of a weapon, related to his stabbing an individual 12 times, and a conviction for accessory to assault in the second degree, stemming from an incident in 2003 when two men were shot and injured at a bar in New London.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Beddoe was arrested on December 16, 2019. On December 16, 2021, he pleaded guilty to unlawful possession of ammunition by a felon.
Beddoe, who is released on a $50,000 bond, is required to report to prison on May 13.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the New London and Waterford Police Departments. The case was prosecuted by Assistant U.S. Attorney Patrick J. Doherty.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Mississippi Man Sentenced to Probation and Home Confinement for Aiming Laser Pointer at AircraftRead the Press Release
Memphis, TN- Convicted felon Eugene Conrad, 52, of Michigan City, Mississippi has been sentenced to three years of probation along with nine months of home confinement for aiming a laser pointer at an aircraft. Joseph C. Murphy, Jr., United States Attorney announced the sentence today.
According to information presented in court, on July 15, 2021, agents with the Federal Aviation Administration (FAA) notified the FBI Memphis Field Office of reports indicating that planes flying into the Memphis Airport from the east were consistently being struck in the cockpit and cabin by a green laser coming from the Hardeman County, Tennessee and Benton County, Mississippi area. From January 1, 2021, to July 15, 2021, there were 49 strikes by a green laser on aircraft.
On July 16, 2021, agents conducted surveillance in Saulsbury, Tennessee, during which time agents received reports from Memphis International Airport’s Air Traffic Control relaying that aircraft in the vicinity were being struck by a laser. Agents could see a general originating location but the lasering ceased before a specific origin could be determined.
On August 11, 2021, surveillance was again established near Saulsbury, Tennessee using an aircraft from the Tennessee Bureau of Investigation (TBI), with a camera affixed for surveillance. At approximately 9:30 pm, the TBI aircraft entered the area over Hardeman County, TN and almost immediately began reporting laser strikes originating from the south and southwest of their position.
The TBI plane circled the area several times. Surveillance equipment pinpointed an individual standing in front of a residence located at the intersection of Whippoorwill Road and Hamer Road in Benton County, Mississippi near the TN/MS border.
When agents arrived on the scene, they observed a male, later identified as Eugene Conrad, walking around a house while lasering the plane. A green laser pointer was found in an outdoor trashcan. Conrad admitted to law enforcement to intentionally striking planes flying near his residence with the green laser for several months.
"The FBI and our partners at the Federal Aviation Administration and the TBI Air Unit worked diligently to mitigate this threat to aviation and bring this criminal to justice. We will continue to investigate anyone who interferes with the safe operation of aircraft," said Douglas M. Korneski, Special Agent in Charge of the Federal Bureau of Investigation Memphis Field Office. "It is important that people understand this is not a game -- it is a criminal act with potential deadly consequences for pilots, crew, and passengers. When the powerful beam of light from a handheld laser is aimed at an aircraft, the light can illuminate a cockpit and blind pilots. Aiming a laser pointer at an aircraft is a serious matter and a violation of federal law."
Conrad pled guilty on December 14, 2021.
On April 7, 2022, United States District Judge Thomas L. Parker sentenced Conrad to three years’ probation and nine months of home confinement. Other mandatory requirements stipulate that the defendant cannot commit another federal, state, or local crime and he must not own, possess, or have access to firearm, ammunition, destructive devices, or dangerous weapons.
This case was investigated by the FBI – Joint Terrorism Task Force, the Tennessee Bureau of Investigation, the Federal Aviation Administration, and the Hardeman County Sheriff’s Office.
Assistant United States Attorney Stephen L. Hall prosecuted this case on behalf of the government.
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Minneapolis Man Sentenced to More Than 15 Years in Prison for Violent Twin Cities Carjacking SpreeRead the Press Release
MINNEAPOLIS – A Minneapolis man has been sentenced to 184 months in prison followed by three years of supervised release and ordered to pay $49,213.85 in restitution for his role in a string of violent carjackings throughout the Twin Cities. U.S. Attorney Andrew M. Luger made the announcement after U.S. District Judge Patrick J. Schiltz sentenced the defendant.
“This disturbing wave of carjackings throughout the Twin Cities is eroding our overall sense of safety and security,” said U.S. Attorney Luger. “The U.S. Attorney’s Office is working in close coordination with all levels of law enforcement to bring this trend to an end.”
“Carjacking is a borderless, flagrant crime that can affect anyone at any time. These violent carjackings terrorized the Twin Cities and instilled fear in our communities,” said FBI Special Agent in Charge Michael Paul. “Today’s sentencing underscores that those who commit these senseless acts of violence will face significant penalties for their actions. The FBI is committed to our ongoing work with our law enforcement partners to take these criminals off the streets.”
According to court documents, on August 28, 2020, Jeremiah Lee Ironrope, 25, and his co-defendant Krisanne Marie Benjamin, 26, drove a maroon SUV to a parking lot in Richfield, where they parked near a 2017 Audi. Ironrope approached the driver of the Audi and pointed a Remington 870 l2-gauge shotgun, with a sawed-off barrel, at the driver and demanded the car keys. Benjamin kept watch from the maroon SUV as Ironrope started the Audi and drove away. Benjamin followed in the maroon SUV.
According to court documents, in the early morning hours of August 29, 2020, the Minnesota State Patrol used GPS data to track and locate the stolen Audi, which was driven by Ironrope and occupied by Benjamin. Officers attempted to stop the vehicle, but Ironrope drove away at a high rate of speed, while cutting across multiple lanes of traffic, swerving between cars, and driving through red lights. During the flight from law enforcement, Benjamin got out of the vehicle and fled on foot while Ironrope continued fleeing in the Audi. Law enforcement found the vehicle running and unoccupied in Minneapolis. The vehicle had been partially spray-painted black. Inside officers found a stolen wallet, bottles of spray paint, a hat, gloves, and receipts. Law enforcement also found a used l2-gauge shotgun shell under the driver's seat.
On September 9, 2021, Ironrope pleaded guilty to one count of carjacking and one count of using, carrying, and brandishing a firearm during and in relation to a crime of violence. On September 7, 2021, co-defendant Benjamin pleaded guilty to one count of aiding and abetting carjacking.
As part of their guilty pleas, Ironrope and Benjamin admitted to two additional carjackings that occurred on July 26, 2020, in Maple Grove and August 7, 2020, in St. Paul. In both instances, the defendants physically assaulted the victims before stealing their vehicles. Ironrope also admitted to two December 2020 carjackings occurring in St. Louis Park and St. Paul. In both instances, Ironrope pointed a handgun at the victims before stealing their vehicles.
This case is the result of an investigation conducted by the FBI, the Minneapolis Police Department, the St. Paul Police Department, the Maple Grove Police Department, the Richfield Police Department, the Edina Police Department, the Roseville Police Department, and the Minnesota State Patrol.
This case was prosecuted by Assistant U.S. Attorney Nathan H. Nelson.
Medical Sales Representative Found Guilty of Role in Multimillion-Dollar Health Care Fraud, Wire Fraud, Anti-Kickback Statute and Travel Act ConspiraciesRead the Press Release
CAMDEN, N.J. – A medical sales representative from Gloucester County, New Jersey, was convicted today on 18 counts related to defrauding public health insurance plans out of more than $4.6 million, Attorney for the United States Vikas Khanna announced.
Steven Monaco, 40, of Sewell, New Jersey, was convicted on April 19, 2022, of one count of conspiracy to commit health care fraud and wire fraud, eight counts of health care fraud, eight counts of wire fraud, and one count of conspiracy to violate the Anti-Kickback Statute and the Travel Act, following a nine-day trial before U.S. District Judge Robert B. Kugler.
According to documents filed in this case and the evidence at trial:
Monaco was a leader of two related fraud schemes that resulted in millions of dollars of loss to public health insurance plans. In the first scheme, Monaco, as a sales representative for a medical diagnostic laboratory, orchestrated a kickback scheme with a doctor, Daniel Oswari. Monaco arranged for Oswari’s medical assistant to be placed on the payroll of the laboratory while continuing to work as a medical assistant for Oswari’s practice. In exchange, Oswari referred all his lab work to the laboratory for testing between late 2013 and 2016, and Monaco received $36,000 in commissions from the laboratory.
In the second fraud scheme, Monaco and his conspirator, pharmaceutical sales representative Richard Zappala, discovered that certain insurance plans – including New Jersey state and local government plans – paid for very expensive compounded prescription medications between 2014 and 2016. Monaco and Zappala organized a scheme in which they received a percentage of the insurance reimbursement for compounded medication prescriptions that they arranged. Monaco and Zappala approached medical professionals and paid them to sign medically unnecessary prescriptions for the compounded medications. Monaco paid Oswari and his staff to identify and prescribe the compound medications to patients of Oswari’s practice with the requisite insurance plans, as well as other people that Oswari did not medically evaluate. Monaco also arranged for other medical professionals – including Dr. Michael Goldis and his cousin, physician’s assistant Jason Chacker – to sign medically unnecessary prescriptions for members of Monaco’s family and others whom these medical professionals did not examine. Monaco directly compensated Chacker with money and tickets to sporting events, and Zappala paid Goldis cash to sign the medically unnecessary prescriptions for members of Monaco’s family and others. Monaco also directly paid individuals who had coverage under the public insurance plans and agreed to receive prescriptions for the compounded medications. As a result of this scheme, Monaco received approximately $350,000 and caused a loss of over $4.6 million to the insurance plans.
Monaco was initially charged in an indictment in 2019 with Oswari, Goldis, and medical assistant Aaron Jones. Oswari pleaded guilty in December 2019 to fraud and kickback charges. Goldis pleaded guilty in June 2020 to four counts of making false statements relating to health care matters. Jones pleaded guilty in March 2022 to health care fraud conspiracy. Zappala also pleaded guilty in September 2017 to conspiracy to commit health care fraud. Chacker pleaded guilty in October 2019 to conspiracy to commit health care fraud. Oswari, Goldis, Chacker, and Zappala all await sentencing.
The health care fraud and wire fraud conspiracy count on which Monaco was convicted carries a maximum potential penalty of 20 years in prison. The Anti-Kickback Statute and Travel Act conspiracy carries a maximum penalty of five years in prison. The health care fraud counts each carry a maximum of 10 years in prison, and the wire fraud counts each carry a maximum of 20 years in prison. All the counts also carry a $250,000 fine, or twice the gain or loss from the offense. Sentencing for Monaco is scheduled for Aug. 24, 2022.
Attorney for the United States Khanna credited agents of the FBI’s Atlantic City Resident Agency, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; IRS Office of Criminal Investigation, under the direction of Acting Special Agent in Charge Tammy Tomlins in Newark; and the U.S. Department of Labor Office of Inspector General, New York Region, under the direction of Special Agent in Charge Jonathan Mellone, with the investigation leading to today’s conviction.
The government is represented by R. David Walk Jr., Chief of the Government Fraud Unit, and Assistant U.S. Attorney Christina O. Hud of the Criminal Division.
Madison Man Sentenced to 4 Years for Illegal Gun PossessionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Tyrone L. Jackson, 55, Madison, Wisconsin was sentenced today by Chief U.S. District Judge James D. Peterson to 4 years in federal prison for possessing a firearm in a school zone. This prison term will be followed by 1 year of supervised release. Jackson pleaded guilty to this charge on January 24, 2022.
On July 6, 2020, Madison Police Department officers were dispatched to investigate an incident involving a firearm at Brittingham Park in Madison. A parking enforcement officer reported hearing a gun shot and observing six to eight people scatter to different vehicles. A passerby told the officer that someone had fired a gun. Multiple witnesses reported observing a physical altercation between individuals.
Officers spoke with the reporting party who said he was at the park with his nephew when Jackson arrived. He said Jackson leaned over the top of his vehicle’s hood and pointed a black handgun at him.
A loaded Sig-Sauer .45 caliber handgun was found on the ground under bushes in the area. Analysis by the Wisconsin State Crime Laboratory identified Jackson’s DNA on the Sig-Sauer. Jackson was determined to have been within 1,000 feet of One City Schools’ campus when he possessed the firearm and was also prohibited from possessing a firearm based on prior felony convictions. At the time of the incident, Jackson was on state probation for a prior conviction for being a felon in possession of a firearm.
In imposing sentence, Judge Peterson noted Jackson’s lengthy criminal history, including a prior history with firearms. Judge Peterson said that Jackson’s behavior, including possessing the gun to intimidate someone, was risky and dangerous.
The charge against Jackson was the result of an investigation conducted by the Madison Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Julie Pfluger and Steven Anderson prosecuted this case.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach involves collaboration by federal, state and local law enforcement agencies, prosecutors and communities to prevent and deter gun violence.
Loves Park Woman Sentenced to 3 Years in Federal Prison for Fraudulently Obtaining More Than $1 Million from EmployerRead the Press Release
ROCKFORD — A Loves Park woman was sentenced today to three years in federal prison for fraudulently obtaining more than $1 million from her employer.
In addition to the prison term, U.S. District Judge Iain D. Johnston also ordered TAMMY E. MOORE, 55, to pay more than $1 million in restitution.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The Loves Park Police Department assisted in the investigation. The government was represented by Assistant U.S. Attorney Scott R. Paccagnini.
Moore was an office manager for a company in Loves Park that made custom components for a variety of industries. Moore admitted in a plea agreement that from 2012 to 2020, she fraudulently obtained more than $1 million from the company. Moore issued company checks to herself and her husband’s business from the company’s account, forged the signature of the company’s owner on checks, deposited the checks into her personal bank account and her husband’s business account for her personal benefit, and then initiated online transfers to move the money. Moore concealed these transactions by making it appear as though the checks were for legitimate business purposes and by deleting the company’s records of the forged checks.
Local Man Sentenced to 20 Years for Conspiracy to Distribute MethamphetamineRead the Press Release
Memphis, TN- Freddy Colmenares, 30, has been sentenced to 240 months in federal prison for conspiracy to distribute methamphetamine. Joseph C. Murphy Jr., United States Attorney, announced the sentence today.
According to information presented in court, on March 3, 2020, United States Postal Inspectors intercepted a package from San Diego, California to a Memphis address containing 936 grams of methamphetamine. Colmenares was later identified as the sender of this package. Through surveillance and investigation, Drug Enforcement Administration (DEA) agents confirmed multiple packages of similar weights and sizes were being sent to various addresses in Memphis.
On July 2, 2020, Memphis postal inspectors intercepted a second package containing 940 grams of methamphetamine. DEA agents conducted an undercover operation at the listed recipient residence and executed four residential search warrants on July 6, 2020. Law enforcement officers recovered $74,970, four firearms, and smaller quantities of various controlled substances.
Colmenares admitted to shipping over 35 kilograms of actual methamphetamine through the United States Postal Service from San Diego, California to Memphis.
On April 15, 2022, United States District Judge Jon P. McCalla sentenced Colmenares to 240 months in federal prison to be followed by five years’ supervised release. There is no parole in the federal system.
The Drug Enforcement Administration (DEA) and the United States Postal Inspection Service (USPIS) investigated this case.
Assistant United States Attorney Jennifer Musselwhite prosecuted this case on behalf of the government.
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Justice Department Issues Statement on Ruling in Health Freedom Defense Fund Inc, et. al. v. Biden, et. al.Read the Press Release
The U.S. Department of Justice today released the following statement on Health Freedom Defense Fund Inc., et. al. v. Biden, et. al. from spokesman Anthony Coley:
“The Department of Justice and the Centers for Disease Control and Prevention (CDC) disagree with the district court’s decision and will appeal, subject to CDC’s conclusion that the order remains necessary for public health. The Department continues to believe that the order requiring masking in the transportation corridor is a valid exercise of the authority Congress has given CDC to protect the public health. That is an important authority the Department will continue to work to preserve.
“On April 13, 2022, before the district court’s decision, CDC explained that the order would remain in effect while it assessed current public health conditions, and that the Transportation Security Administration would extend its directive implementing the order until May 3 to facilitate CDC’s assessment.
“If CDC concludes that a mandatory order remains necessary for the public’s health after that assessment, the Department of Justice will appeal the district court’s decision.”
Judge sentences St. Louis man for being felon in possession of a firearmRead the Press Release
ST. LOUIS – Arlando Hill of St. Louis, Missouri, appeared before United States District Court Judge John A. Ross on yesterday’s date. Based on a previous plea of guilty, Hill was sentenced to 84 months in federal prison for being a felon in possession of a firearm.
According to the plea agreement, on February 23, 2020, St. Louis Metropolitan Police Department officers were called to a location in the 5900 block of Ridge Ave., within the Eastern District of Missouri for a shooting. Officers conducting the investigation learned that Hill pointed a rifle at a woman and her children after a dispute over Hill smoking marijuana near the children. Fortunately, the victim and her children escaped the encounter without injury. Hill was subsequently entered as wanted for assault by police.
On May 14, 2020, a security guard at a hotel located in the 5700 block of Natural Bridge called 911 after Hill refused to leave the property. The security guard observed what appeared to be a sawed-off shotgun on the front seat of Hill’s vehicle. The guard told Hill to stop and wait as the police were enroute.
While interacting with Hill, the officers learned that Hill was "wanted" for the incident occurring on February 23, 2020. The officers also observed a Kimber .270 Winchester caliber rifle on the driver's seat of Hill's vehicle. The rifle appeared to have had the stock and barrel sawed off. The officers placed him under arrest and seized the rifle. Hill is prohibited from possession of any firearm due to previously being convicted of a felony.
This case was investigated by the St. Louis Metropolitan Police Department.
Huron Man Sentenced for Possession of a Firearm by a Prohibited PersonRead the Press Release
United States Attorney Dennis R. Holmes announced that a Huron, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on April 11, 2022, by U.S. District Judge Karen E. Schreier.
Yeh Thwin, age 23, was sentenced to 60 months in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Thwin was indicted by a federal grand jury on April 6, 2021. He pled guilty on January 19, 2022.
The conviction stemmed from an incident on November 12, 2020, when the Huron Police Department came to Thwin’s residence to conduct a follow-up on a stolen firearm. They found the stolen firearm, a Glock GmbH, model 22C Gen 3, .40 Smith and Wesson caliber, semi-automatic pistol in Thwin’s bedroom. Thwin had previously been convicted of a crime punishable by imprisonment for a term exceeding one year. On that same date, Thwin knew that he had previously been convicted of a felony and also knew that he was prohibited from possessing any firearms.
The firearm had been shipped and transported in interstate commerce before he possessed it.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Huron Police Department. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Thwin was immediately turned over to the custody of the U.S. Marshals Service.
Huntington Man Pleads Guilty to Fentanyl Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man pleaded guilty today to possession with intent to distribute methamphetamine, cocaine and a fentanyl analogue.
According to court documents, Joseph Ira Patterson III, 38, admitted that he sold approximately 8 ounces of methamphetamine to a confidential informant in Huntington on March 29, 2021, and again on April 21, 2021. Patterson agreed to deliver more methamphetamine to the confidential informant in Charleston. Patterson was driving in Charleston for that meeting on April 22, 2021, when law enforcement officers stopped Patterson’s vehicle. A search of the vehicle yielded 907.2 grams of suspected methamphetamine.
Patterson admitted he had obtained methamphetamine from a Huntington storage unit prior to traveling to Charleston. Law enforcement officers carried out a search warrant for the unit and seized 282.97 grams of methamphetamine, 231.7 grams of a fentanyl analogue, and 15.70 grams of cocaine as well as nine firearms and drug paraphernalia. Officers also searched Patterson’s Jackson Avenue residence in Huntington and seized 58.345 grams of methamphetamine, 7.50 grams of fentanyl, 42.53 grams of marijuana and 18.51 grams of cocaine base, also known as “crack.”
Patterson is scheduled to be sentenced on August 15, 2022, and faces at least 10 years and up to life in prison.
United States Attorney Will Thompson made the announcement and commended the Metropolitan Drug Enforcement Network Team (MDENT) and the Drug Enforcement Administration (DEA) for conducting the investigation.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Monica D. Coleman is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:21-cr-218.
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Haynesville Man Indicted for Making Explosive ThreatsRead the Press Release
SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that Cortez L. Brown, 33, of Haynesville, Louisiana, has been indicted by a federal grand jury on numerous charges, including threatening to unlawfully damage and destroy buildings in Sarepta and Springhill, Louisiana. Brown is charged in the indictment with four counts of wire fraud, two counts of theft of government money, and five counts of making explosive threats.
On March 27, 2020 the President signed into law the Coronavirus Aid, Relief and Economic Security (CARES) Act which was meant to mitigate the economic effect of the COVID-19 pandemic and created the Federal Pandemic Unemployment Compensation (FPUC) program. The FPUC program was intended to increase benefits for individuals who were unemployed and gave them an extra $600 each week in addition to their regular unemployment benefits. The FPUC program was administered by the Louisiana Workforce Commission (LWC).
The indictment alleges that on or about May 10, 2020 Brown applied for unemployment benefits to the LWC through its online portal and in his application falsely stated that he was “not working” when in truth and in fact, he was employed and receiving wages from two jobs. The LWC approved Brown’s application and issued a debit card for the unemployment benefits to him.
The indictment further alleges that Brown used the debit card, which was funded with unemployment benefits, to purchase, among other things, a cellular telephone which he used to send bomb threats to his employers, a factory in Sarepta, and a restaurant in Springhill.
An indictment is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
If convicted, Brown faces a maximum sentence of 20 years in prison on the wire fraud counts, not more than 10 years in prison on the theft of government money and explosive threat counts, three years of supervised release, and a fine of up to $250,000 on each count.
The case is being investigated by the Federal Bureau of Investigation, U.S. Department of Labor-Office of Inspector General, Louisiana Workforce Commission, Webster Parish Sheriff’s Office and Springhill Police Department. The case is being prosecuted by Assistant U.S. Attorney Leon H. Whitten.
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Hartford Man Charged with Drug and Gun OffensesRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, announced that a federal grand jury in New Haven has returned an indictment charging TRAEVAUGHNN MORRISON, 26, of Hartford, with narcotics distribution and firearm possession offenses.
As alleged in court documents and statements made in court, on April 5, 2022, members of the DEA’s Hartford Task Force made a controlled purchase of fentanyl and crack cocaine from Morrison in Bristol. After the drug sale, investigators followed Morrison as he drove his car and then parked in a condominium parking lot, where Morrison was taken into custody. At the time of Morrison’s arrest, investigators found in his car additional quantities of fentanyl and crack cocaine, and a Polymer80 handgun (“ghost gun”) with an extended magazine loaded with ammunition.
It is alleged that Morrison’s criminal history includes convictions for felony drug offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
The indictment charges Morrison with one count of possession with intent to distribute, and distribution of, cocaine base (“crack”) and fentanyl, which carries a maximum term of imprisonment of 20 years; one count of possession of a firearm in furtherance of a drug trafficking crime, which carries a mandatory prison term of at least five years; and one count of unlawful possession of ammunition by a felon, which carries a maximum term of imprisonment of 10 years.
Morrison has been detained since his arrest.
U.S. Attorney Boyle stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
The DEA’s Hartford Task Force includes personnel from the DEA Hartford Resident Office, the Connecticut State Police, and the Bristol, Hartford, East Hartford, Enfield, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments. This case is being prosecuted by Assistant U.S. Attorney John T. Pierpont, Jr.
Harrison County man sentenced for firearms chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Mark Allen Craig, II, of Lumberport, West Virginia, was sentenced today to 120 months of incarceration for a firearms charge, United States Attorney William Ihlenfeld announced.
Craig, 32, pleaded guilty in November 2021 to one count of “Unlawful Possession of Firearm.” Craig, a person prohibited from having a firearm because of prior convictions, admitted to having a .38 S&W Special caliber revolver in December 2020 in Harrison County.
Assistant U.S. Attorney Sarah E. Wagner prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Harrison County Sheriff’s Office investigated.
Chief U.S. District Judge Thomas S. Kleeh presided.
Grand Island Man Pleads Guilty to Drug ChargeRead 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 Frank Vacanti, 41, of Grand Island, NY, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to maintaining a drug involved premises. The charge carries a maximum penalty of 20 years in prison and a fine of $500,000.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that between 2016 and June 29, 2020, Vacanti worked with others, including co-defendant Robert Fiels, to sell marijuana. On June 29, 2020, investigators executed a search warrant at Vacanti’s East River Road residence seizing marijuana; THC and cannabis oil; THC edibles, gummies and cartridges; packaging material; ketamine; vape cartridges; approximately $2,000.00 in cash; five shotguns; and hundreds of shotgun shells.
Robert Fiels was previously convicted and is awaiting sentencing.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The plea is the result of an investigation by Homeland Security Investigations Buffalo, under the direction of Acting Special Agent-in-Charge Matthew Scarpino, and the Niagara County Sheriff’s Office, under the direction of Sheriff Michael Filicetti.
Sentencing is scheduled for August 22, 2022, before Judge Vilardo.