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26 May 2022
Former Mississippi Deputy Warden Pleads Guilty to Assaulting Inmate at Parchman PrisonRead the Press Release
Melvin Hilson, 49, a former deputy warden at the Mississippi State Penitentiary, which is also known as Parchman, pleaded guilty today to violating an inmate’s civil rights in 2016. In June 2021, Hilson was charged with violating the inmate’s civil rights by repeatedly striking him and knocking him to the ground, which resulted in the inmate suffering a ruptured eardrum, abrasions to his ear and neck and prolonged headaches. Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division and U.S. Attorney Clay Joyner of the Northern District of Mississippi made the announcement.
“This defendant is being held accountable for violating his duty as a corrections officer by unlawfully assaulting an inmate under his custody,” said Assistant Attorney General Clarke. “This former Parchman deputy warden caused severe injury to the victim, and his actions violated the trust that we place in corrections officials to lawfully carry out their duties. The Civil Rights Division will continue to hold law enforcement officials accountable when they use force without basis and violate people’s civil rights inside our jails and prisons.”
“When corrections officials use unlawful, unnecessary and unwarranted force against inmates, it casts a stain on the profession and all the upstanding officers who do their jobs each and every day within the confines of the law,” said U.S. Attorney Joyner. “Today’s guilty plea is an important step to ensuring that those who choose to violate the public’s trust are held accountable for their illegal actions.”
According to court documents and statements made during today’s hearing, Hilson was working as a member of Parchman’s K-9 Unit at the time of the assault. On or around Aug. 3, 2016, J.T. was in a caged area inside of the medical unit, where he waited to be seen by a medical provider. Hilson approached J.T. and struck him with a closed fist several times, knowing that there was no reason to use force and that J.T. did not pose any threat to himself or others. During the assault, Hilson knocked J.T. to the ground, picked him up, and then struck him and knocked him to the ground again. According to prosecutors, J.T. did not attempt to fight back or defend himself from Hilson’s assault.
A federal grand jury indicted Hilson in June 2021 on three separate counts, including writing a false report to conceal the assault and lying to Mississippi Department of Corrections investigators about the assault. The obstruction charges will be dismissed at the conclusion of sentencing. The civil rights violation carries a maximum sentence of 10 years’ imprisonment and a $250,000 fine. Hilson is scheduled to be sentenced on Sept. 1, 2022.
This case was investigated by the Jackson Division of the FBI. Special Litigation Counsel Samantha Trepel and Trial Attorney Cameron A. Bell of the Civil Rights Division, and Assistant U.S. Attorneys Kimberly Hampton and Robert Mims of the Northern District of Mississippi are prosecuting the case.
Former Kauai County Council Member Sentenced to 20 Years in Federal PrisonRead the Press Release
HONOLULU - United States District Judge Derrick K. Watson sentenced Arthur Brun, age 50, a former member of the Kauai County Council, yesterday to serve 20 years in federal prison for drug trafficking, assault of a federal law enforcement officer, witness tampering, evidence tampering, and firearm offenses. Brun, who was indicted with 11 other defendants on drug trafficking offenses, an assault on a federal law enforcement officer, witness tampering, evidence tampering, and firearm offenses, pled guilty to ten of those charges on November 10, 2021. All 11 other defendants have pled guilty to various charges and are awaiting sentencing.
According to information presented to the court, while serving as a member of the Kauai County Council, Brun worked with others to distribute substantial amounts of methamphetamine on Kauai. Among the individuals who supplied him the methamphetamine was co-defendant Maluelue Umu, a leader of the United Samoan Organization, which is a gang that operates both inside and outside of the prison system in the State of Hawaii.
As part of his guilty plea, Brun admitted that on October 29, 2019, after he had received a pound of methamphetamine from Umu, personnel with the Kauai Police Department (“KPD”) conducted a traffic stop of Brun’s vehicle. During the stop, a narcotic detection canine alerted to the odor of narcotics in the vehicle. A lieutenant with KPD, who was acting under the direction of federal investigators, asked Brun to get out of his vehicle. Brun refused. The KPD lieutenant then reached into the vehicle to remove the keys from the ignition. While his arm and shoulder were still partially inside of the vehicle, Brun placed the vehicle in drive and sped off, causing injury to the KPD lieutenant. Brun thereafter led investigators on a high-speed chase before he was finally apprehended. Although he threw the pound of methamphetamine out of his vehicle window during the chase, federal investigators were conducting Title III wiretap interceptions on Brun’s cellular telephones at the time and intercepted him instructing his accomplices to return to the scene of the chase to retrieve the drugs.
In sentencing Brun to 20 years in federal prison, Judge Watson emphasized that police officers put their lives on the line to protect the community and that when someone injures an officer while they are doing their job, the court’s obligation is to impose a sentence that adequately reflects the seriousness of that crime. Brun’s assault on a law enforcement officer, Judge Watson explained, elevates the seriousness of Brun’s drug trafficking conduct in this case.
“As methamphetamine trafficking continues to plague Hawaii as one of the worst crime problems in our state, the fact a publicly-elected official led a criminal organization engaged in such activity magnifies the seriousness of this matter,” said U.S. Attorney Clare E. Connors. “The additional fact that this public official personally assaulted a law enforcement officer in the course of his criminal conduct adds to the corrupt nature of his offense. We will continue to hold elected officials accountable for criminal misconduct.”
“It is deeply disturbing that an elected public official, particularly one who was the vice chair of the Kauai County Council’s Public Safety and Human Services Committee, would engage in such a pattern of lawlessness and disregard for the welfare of community,” said Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Seattle Special Agent in Charge Jonathan T. McPherson. “This significant sentence should send a clear message to anyone who engages in this type of criminal behavior that it will not be tolerated.”
“As an elected official, Mr. Brun violated the trust of the community by participating in an elaborate crime ring,” said Homeland Security Investigations (HSI) Special Agent in Charge John F. Tobon. “This sentence shows that no one is above the law. Investigating organized crime is a top priority for HSI and we will continue to work with our law enforcement partners to disrupt this type of criminal activity.”
"Illicit drugs, especially methamphetamine, are responsible for destroying too many lives,” said Kauai Police Department Chief Todd Raybuck. “This case is evidence of the dedication and collaboration between the Kauai Police
Department and our federal partners. I am proud of, and grateful for, the women and men that placed themselves in harm’s way, sacrificing much time away from their families, to bring this case to conclusion. The Kauai Police Department and our federal partners will continue to identify, investigate, and bring to justice those persons responsible for distributing the illicit drugs that are causing addiction and suffering in too many homes across our community."ATF, the Kauai Police Department, and HSI conducted the investigation that resulted in the indictment, with the assistance of the United States Marshals Service Fugitive Task Force, the Federal Bureau of Investigation, the United States Postal Inspection Service, and the Coast Guard Investigative Service. Assistant U.S. Attorneys Micah Smith, Chris Thomas, and Michael Nammar handled the prosecution.
Former Illinois State Representative Sentenced to Nearly Five Years in Federal Prison for Participating in Bribery SchemeRead the Press Release
CHICAGO — Former Illinois State Rep. LUIS ARROYO has been sentenced to nearly five years in federal prison for participating in a bribery scheme involving a fellow state lawmaker and Arroyo’s private lobbying client, a sweepstakes gaming company.
Arroyo, 67, of Chicago, pleaded guilty last year to a federal wire fraud charge. U.S. District Judge Steven C. Seeger imposed a 57-month prison sentence Wednesday after a hearing in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Justin Campbell, Special Agent-in-Charge of the Chicago office of the IRS Criminal Investigation Division. The government was represented by Assistant U.S. Attorney James P. Durkin.
Arroyo represented the 3rd District in the Illinois House of Representatives from 2006 to 2019. He has also managed Spartacus 3 LLC, a private lobbying firm in Chicago.
In 2018 and 2019, Arroyo accepted thousands of dollars in bribes from the gaming company, Collage LLC, in the form of checks made payable to Spartacus. In exchange for those bribes, Arroyo promoted legislation in the Illinois House of Representatives related to the sweepstakes industry and advised other state lawmakers to support the legislation.
In August 2019 Arroyo offered to have payments made to an Illinois state senator in return for the senator’s support of sweepstakes-related legislation. On Aug. 22, 2019, Arroyo met with the senator at a restaurant in Skokie, Ill., and provided him with a $2,500 check from Collage as an initial bribe payment, with the expectation that the senator would receive similar payments for 12 months. Arroyo told the senator, “This is the jackpot,” and then wrote the name of the senator’s nominee on the company’s check. The nominee’s name was used for the purpose of concealing the illicit payment.
Former Financial Advisor from Berks County Convicted of Fraud, Money Laundering for Scheme to Steal from ClientsRead the Press Release
PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Jason Weigand, 51, of Sinking Springs, PA, was convicted at trial on thirty counts involving multiple charges of fraud, money laundering and identity theft arising from his elaborate scheme to steal money from his own financial advisory clients.
In October 2017, the defendant was charged by Indictment, which was then superseded several times. Further, while the defendant was out on bail awaiting trial, he committed additional fraud crimes, which resulted in a second indictment. Weigand was ultimately charged with thirty counts involving multiple counts each of wire fraud, mail fraud, bank fraud, interstate transportation of stolen property, unauthorized access to a computer, aggravated identity theft, money laundering, and committing offenses while on bail.
During the nearly 15 years that he served as an investment advisor and proclaimed himself a knowledgeable and reputable source of investment advice, the defendant repeatedly stole money from his clients and went to great lengths to cover up his thefts. Weigand laundered the stolen funds by passing them through a variety of bank accounts, and he even hacked into one client’s email account and accessed emails between the client and another investment advisor.
“Weigand has proven himself to be serial fraudster with no respect for the law or the fiduciary obligations of a financial advisor, and today a jury agreed,” said U.S. Attorney Williams. “Rather than serving his clients, he served himself. Prosecuting financial fraud, and thereby safeguarding innocent investors who stand to lose everything, will always be a priority for this Office.”
“With today’s guilty verdict, Jason Weigand’s victims may finally find some closure on their abuse at the hands of this serial fraudster,” said Postal Inspector in Charge of the Philadelphia Division Damon Wood. “Mr. Wiegand was dishonest in his dealing with them, and not surprisingly, that dishonesty extended through trial. Fortunately, a jury saw through his dishonesty and found him guilty of fraud. Postal Inspectors, picking up the work of investigators from the Pennsylvania State Department of Banking and Securities, along with prosecutors from the United States Attorney’s Office, saw this investigation through seven years of delays, a pandemic, continued criminal conduct by the defendant, and a nearly three-week trial. I applaud the tireless efforts of the investigators and prosecutors on this case.”
The case was investigated by the United States Postal Inspection Service and the Pennsylvania State Department of Banking and Securities, and is being prosecuted by Assistant United States Attorneys Paul G. Shapiro and Christopher J. Mannion.
Former Employee of Veterans Affairs Medical Center Sentenced to 57 Months in Prison for Stealing HIV MedicationRead the Press Release
NEWARK, N.J. – A former pharmacy procurement technician was sentenced today to 57 months in prison for stealing prescription HIV medications from the pharmacy of the Veterans Affairs Medical Center (VAMC) in East Orange, New Jersey, U.S. Attorney Philip R. Sellinger announced.
Lisa M. Hoffman, 50, of Orange, New Jersey, previously pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to Count 2 of an indictment charging her with theft of government property. Judge Salas imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From October 2015 through November 2019, Hoffman was a procurement officer at the VAMC, who used her authority to order medication for the outpatient pharmacy, including ordering large quantities of HIV medication. Hoffman admitted that she stole HIV prescription medications from the VAMC pharmacy and sold it to her conspirator, Wagner Checonolasco, 35, of Lyndhurst, New Jersey, in exchange for cash. Checonolasco previously admitted to conspiring with Hoffman to steal HIV medication belonging to the U.S. Department of Veterans Affairs. The loss amount was more than $8.2 million.
In addition to the prison term, Judge Salas sentenced Hoffman to three years of supervised release, ordered restitution of $8.29 million and forfeiture of $450,000.
Checonolasco previously pleaded guilty to one count of conspiracy to steal government property and was sentenced in February 2022 to 42 months in prison.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Acting Special Agent in Charge Michael Messenger in Newark; the U.S. Department of Veterans Affairs Office of Inspector General, Northeast Field Office, under the direction of Special Agent in Charge Christopher F. Algieri; and the VA Police Service of New Jersey, under the direction of Chief Minelli Torres Sukola, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Nicole F. Mastropieri of the Health Care Fraud Unit in Newark.
Former Doctor Sentenced to 46 Months in Prison for Illegally Prescribing Controlled SubstancesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that DAVID CIANCIMINO, 63, of Trumbull, was sentenced today by U.S. District Judge Omar A. Williams in Hartford to 46 months of imprisonment, followed by three years of supervised release, for illegally distributing prescription medication. Judge Williams also ordered Ciancimino to pay a $25,000 fine.
According to court documents and statements made in court, Ciancimino was a sole practitioner practicing psychiatry and neurology/psychiatry from an office located at 4 Corporate Drive in Shelton. In October 2020, law enforcement began investigating Ciancimino’s prescribing practices of various benzodiazepines, such as Xanax, and stimulants, such as Adderall. During the investigation, federal task force officers acting in an undercover capacity paid Ciancimino $200 during visits to receive prescriptions for Xanax or Adderall, or their generic equivalents, with little to no medical examination.
Ciancimino was arrested on September 23, 2021. On January 24, 2022, he pleaded guilty to one count of distribution of a controlled substance without a legitimate medical purpose and outside the scope of professional practice.
In addition to his fine, Ciancimino has forfeited $175,773.45 seized at the time of his arrest.
Ciancimino, who is released on a $500,000 bond, is required to report to prison on July 25.
Ciancimino surrendered his medical license in January.
This investigation was conducted by the DEA New Haven Tactical Diversion Squad and HHS-OIG’s Office of Investigations, with the assistance of the Connecticut Department of Consumer Protection – Drug Control Division and the Middlebury Police Department. The DEA’s Tactical Diversion Squad includes personnel from the DEA and the Bristol, East Windsor, Glastonbury, Hamden, Manchester, New Britain, Newington, Watertown and West Haven Police Departments.
This case was prosecuted by Assistant U.S. Attorney Heather L. Cherry.
Former CPA Sentenced for Submitting False Documents to the IRSRead the Press Release
LONDON, Ky.- A former Certified Public Accountant (CPA), Charles Marshall Stivers, 59, of Manchester, Kentucky, was sentenced to 10 months in federal prison on Tuesday, by U.S. District Judge Claria Horn Boom, for submitting false documents to the IRS.
According to Strivers’ plea agreement, in 2015, he had previously been convicted in the Eastern District of Tennessee for participating in a cigarette tax stamp conspiracy; and as a result, he had his CPA license revoked by the Kentucky Board of Accountancy. Despite that, on multiple occasions from 2016 to 2019, Stivers held himself out as a CPA and falsely completed IRS Form 2848s (Power of Attorney and Declaration of Representative) indicating he was a licensed CPA.
Stivers pleaded guilty in December 2021.
Under federal law, Stivers must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for two years.
In addition to his prison sentence, he was also ordered to pay a $30,000 fine.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; and Kelly K. Moening, Special Agent in Charge, Treasury Inspector General for Tax Administration (TIGTA), Great Lakes Field Division, jointly announced the sentence.
The investigation was conducted by TIGTA. The United States was represented by Assistant U.S. Attorney Will Moynahan.
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Former Aequitas Senior Executive and Chief Financial Officer Pleads Guilty to Making False Statements to a CreditorRead the Press Release
PORTLAND, Ore.—A former senior executive and chief financial officer of Aequitas Management, LLC, and several other entities formerly owned by Aequitas, pleaded guilty today to submitting a false statement to an Aequitas creditor to obtain a $4.2 million loan for the now-defunct company.
Nelson Scott Gillis, 69, of Lake Oswego, Oregon, pleaded guilty to one count of making a false statement to a bank.
According to court documents, Aequitas created and operated investment funds that purchased trade receivables in education, health care, transportation, and other consumer credit areas. Aequitas borrowed funds from other financial institutions, including Wells Fargo Bank, N.A., to purchase these trade receivables. On or about January 12, 2015, Aequitas entered into a loan agreement with Wells Fargo to establish a $100 million line of credit. Six months later, on or about June 30, 2015, Gillis signed an amended loan agreement with Wells Fargo on Aequitas’s behalf
By early January 2016, Aequitas’s general counsel advised Gillis and other executives that the company would soon default on payments due to Private Note investors, causing an “event of default” on Aequitas’s loan agreement with Wells Fargo. Despite that advice, on or about January 15, 2016, Gillis signed and, with others, submitted to Wells Fargo an “advance notice,” requesting that Wells Fargo advance $4.2 million to Aequitas with a false certification that Aequitas was not confronting a potential event of default.
On August 11, 2020, the U.S. Attorney’s Office announced that Gillis had been charged in a 34-count indictment with conspiracy to commit mail and wire fraud, wire fraud, bank fraud, and money laundering. Gillis was charged alongside former Aequitas CEO Robert J. Jesenik, 62, of West Linn, Oregon, and former Aequitas executives Brian K. Rice, 55, of Portland, and Andrew N. MacRitchie, 56, formerly of Palm Harbor, Florida. Jesenik, Rice, and MacRitchie are all on pre-trial release pending a five-week jury trial scheduled to begin on April 3, 2023.
Gillis faces a maximum sentence of 30 years in prison, an $8.4 million fine, and five years’ supervised release. He will be sentenced on June 27, 2023 by U.S. District Court Judge Michael H. Simon.
As part of his plea agreement, Gillis has also agreed to pay restitution as determined by the government and ordered by the court.
This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. It is being prosecuted by Ryan W. Bounds, Christopher Cardani and Siddharth Dadhich, Assistant U.S. Attorneys for the District of Oregon.
Firearms Charge Brought Against Fresno Man Arrested in Operation No Fly ZoneRead the Press Release
FRESNO, Calif. — A federal grand jury returned a one-count indictment today against Andre Marcele Grigsby, 50, of Fresno, charging him with being a felon in possession of a firearm and ammunition, U.S. Attorney Phillip A. Talbert announced.
The case arose from Operation No Fly Zone, a multi-agency, months-long investigation that resulted in the arrests of over 40 individuals, including seven federal defendants. According to court documents, on April 14, 2022, Grigsby was found to be in possession of a firearm and ammunition. Grigsby has been convicted of felony child cruelty in 2015 in Fresno County.
This case is the product of an investigation by the Federal Bureau of Investigation; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Fresno Police Department; the Fresno-area Multi-Agency Gang Enforcement Consortium (MAGEC); the California Department of Justice Special Operations Unit, the California Department of Justice Human Trafficking / Sexual Predator Apprehension Team; the California Highway Patrol; the Fresno County Sheriff’s Office; the Kings County Sheriff’s Office; the California Department of Corrections and Rehabilitation; and the Fresno County District Attorney’s Office. Assistant U.S. Attorneys Justin J. Gilio and Antonio J. Pataca are prosecuting the case.
If convicted, Grigsby 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. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Felon Pleads Guilty to Drug and Gun ChargesRead the Press Release
PITTSBURGH - A resident of Munhall, Pa., pleaded guilty in federal court to charges of cocaine trafficking and illegal firearm possession, United States Attorney Cindy K. Chung announced today.
Shaun Seidling, age 40, pleaded guilty to both counts before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that Seidling arranged to have a kilogram of cocaine mailed to his residence, but postal inspectors seized the package and then executed a search of his residence. There, investigators located items which included the package, additional amounts of cocaine, a 9mm caliber handgun, ammunition for 9mm and .22 caliber firearms, scales and other drug packaging items. Court documents indicate that Seidling has previously been convicted of multiple felony offenses which preclude his lawful possession of a firearm or ammunition. One of those convictions was a prior federal conviction for illegally possessing a firearm.
Judge Schwab scheduled sentencing for October 12, 2022, at 9:30 am. The law provides for a total sentence of at least 5 years and up to 50 years in prison, a fine of up to $5,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Ross E. Lenhardt is prosecuting this case on behalf of the government.
United States Postal Inspection Service conducted the investigation that led to the successful prosecution of Seidling, with valuable assistance from the Drug Enforcement Administration (DEA) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Federal Officials Adhere to Prior Decision Related to Nassar InvestigationRead the Press Release
The Justice Department announced today that after careful re-review of evidence gathered in the investigation of two former FBI special agents in connection with their involvement in the FBI’s investigation of Lawrence G. Nassar, it is adhering to its prior decision not to bring federal criminal charges.
This decision comes after multiple reviews and analyses of evidence gathered in the investigation of the former agents, and reflects the recommendation of experienced prosecutors. This does not in any way reflect a view that the investigation of Nassar was handled as it should have been, nor in any way reflect approval or disregard of the conduct of the former agents.
While the Justice Department’s Office of Inspector General has outlined serious concerns about the former agents’ conduct during the Nassar investigation, and also described how evidence shows that during interviews in the years after the events in question both former agents appear to have provided inaccurate or incomplete information to investigators, the Principles of Federal Prosecution require more to bring a federal criminal case.
We will continue to learn from what occurred in this matter, and undertake efforts to keep victims at the center of our work and to ensure that they are heard, respected, and treated fairly throughout the process, as they deserve. To that end, the department has continued to assess gaps in the law to protect the most vulnerable among us from exploitation. Addressing those gaps could help prevent events like this from taking place in the future and hold perpetrators accountable. We stand ready to collaborate with Congress to do so.
Federal Jury Finds Two Men Guilty for Roles in Major Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – After two days of trial, a federal jury today convicted Leo Antoine Smith, 38, of Cross Lanes, of conspiracy to distribute a quantity of methamphetamine and Douglas Johnathan Wesley, 33, of Charleston, of being a felon in possession of a firearm.
With today’s verdicts, all 17 individuals charged with various drug and firearms offenses in three separate indictments have either pleaded guilty or been otherwise convicted. The cases resulted from a long-term investigation of a large-volume methamphetamine conspiracy operating in and around St. Albans and South Charleston.
“This case represents an outstanding example of inter-agency teamwork and diligence that not only dismantled a significant drug operation, but also prevented a violent crime from occurring on Charleston’s West Side,” said United States Attorney Will Thompson. “I commend the excellent investigative work of the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Charleston Police Department, the Kanawha County Sheriff’s Department, and the Metropolitan Drug Enforcement Network Team (MDENT). I also thank Assistant United States Attorneys Joshua Hanks and Alex Hamner and the trial team for their commitment to this case and I congratulate them on its successful prosecution.”
Evidence at trial revealed Smith distributed methamphetamine around Charleston between the fall of 2020 and September 21, 2021, and connected Wesley to a foiled Fourth of July 2021 murder scheme.
On at least one occasion in early 2021, Smith traveled with Brian Dangelo Terry to Atlanta to purchase methamphetamine from Ramon David Alston. Trial testimony, wiretap evidence, and text messages obtained from Smith’s cellphones revealed that he distributed more than 60 ounces of methamphetamine.
Wesley was one of four men who armed themselves at a Rand residence on July 4, 2021, and drove to Charleston’s West Side where they intended to shoot another man. Alerted to the plot, police in marked cruisers converged on the area. The four men abandoned their vehicle in a Lee Street parking lot due to the increased police presence. Law enforcement officers executed a search warrant on the vehicle and recovered four loaded firearms. The jury found Wesley possessed one of those firearms, a Sig Sauer, Model SP2022, .40-caliber pistol.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Wesley knew he was prohibited from possessing a firearm because of his prior felony convictions for first-degree robbery in Kanawha County Circuit Court on August 4, 2005, and for being a felon in possession of a firearm in United States District Court for the Southern District of West Virginia on June 10, 2013.
Ramon David Alston, James Edward Bennett III, Treydan Leon Burks, Jonathan Gregory Bush, Kaitlyn Brooke Combs, Kelly Cordle, Denise Marie Cottrill, Shane Kelly Fulkerson, Brittany Frances Gilbert, Angie Lane Harbour, Scott Edward Hudson, Jason Robert Oxley, Michael Antonio Smith and Brian Dangelo Terry all pleaded guilty. Timothy Wayne Dodd was convicted on March 24, 2022, following a two-day jury trial.
United States District Judge Joseph R. Goodwin presided over the jury trial. Smith is scheduled to be sentenced on August 15, 2022, and Wesley on August 17, 2022. Smith faces up to 20 years in prison. Wesley faces up to 10 years in prison.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
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 Nos. 2:21-cr-171, 2:21-cr-172, 2:21-cr-211, and 2:22-cr-90.
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Federal Grand Jury Indicts Fresno Felon on Federal Firearm ChargeRead the Press Release
FRESNO, Calif. — A federal grand jury returned a one-count indictment today against Salvador Tyrone Peraza, 22, of Fresno, charging him with being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on May 6, 2022, law enforcement officers conducted a traffic-enforcement stop on a car driven by Peraza. Inside the car, officers found a loaded, privately manufactured firearm, also referred to as a “ghost gun” because of its lack of a serial number. Peraza has previously been convicted of several felony convictions and is therefore prohibited from possessing firearms and ammunition.
This case is the product of an investigation by the Fresno Police Department and the Federal Bureau of Investigation. Assistant U.S. Attorney Justin J. Gilio is prosecuting the case.
If convicted, Peraza 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. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Federal Drug and Gun Charges Brought Against Fresno ManRead the Press Release
FRESNO, Calif. — A federal grand jury returned a four-count indictment today against Antonio Sorondo Jr., 49, of Fresno, charging him with conspiring to traffic fentanyl, methamphetamine, and cocaine, illegally possessing firearms, and possessing fentanyl with intent to distribute it, U.S. Attorney Phillip A. Talbert announced.
According to court documents, in January and February 2022, Sorondo conspired with others to possess and distribute fentanyl, methamphetamine, and cocaine. On Feb. 1, 2022, when law enforcement officers tried to contact Sorondo, he fled and tossed a firearm over a chain-link fence. The officers apprehended Sorondo and then recovered the abandoned, loaded firearm. Two weeks later, a police officer arrested Sorondo in possession of another two firearms and about 100 counterfeit oxycodone pills laced with fentanyl. Sorondo is prohibited from possessing firearms because of his prior felony convictions. Sorondo is currently in custody awaiting trial on these charges.
This case is the product of an investigation by FORT, a multi-agency team composed of Homeland Security Investigations, the Drug Enforcement Administration, and the Fresno Police Department. Assistant U.S. Attorneys Justin J. Gilio and Laurel J. Montoya are prosecuting the case.
If convicted of the drug offenses, Sorondo faces a maximum statutory penalty of 20 years in prison and a $1 million fine. If convicted of being a felon in possession of a firearm or ammunition, he faces up to 10 years in prison and a fine of up to $250,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Operation Synthetic Opioid Surge (S.O.S.) a program designed to reduce the supply of deadly synthetic opioids in high impact areas as well as identifying wholesale distribution networks and international and domestic suppliers. In July 2018, the Justice Department announced the creation of S.O.S., which is being implemented in the Eastern District of California and nine other federal districts.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
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.
Federal Charges Result from Weekend Undercover Operation in Downtown Entertainment DistrictRead the Press Release
NASHVILLE – A Nashville, Tennessee man is facing federal drug distribution and firearms charges, as a result of an undercover operation last weekend in the downtown entertainment district, announced U.S. Attorney Mark H. Wildasin.
Khalil D. Smith, 26, was charged today, in a criminal complaint, with possession with intent to distribute fentanyl; possession of a firearm in furtherance of a drug trafficking crime; and being a convicted felon in possession of a firearm.
According to the complaint, on Friday night, members of the Metropolitan Nashville Police Department (MNPD) Specialized Investigation Division were conducting an undercover operation in the downtown entertainment district with the aim of identifying persons buying and selling illegal narcotics in the Broadway area. This operation was conducted in response to an increase in the number of people overdosing in that area after ingesting fentanyl.
After seeing an individual snorting cocaine, detectives arranged to purchase a “ball” of cocaine from the individual’s source. A short time later, the individual returned with Smith and another person. Smith approached the detectives and directed them to a business on 4th Avenue South, where Smith exchanged a bag of white powder for $200. Officers then attempted to arrest Smith, at which point he fled on foot. After a foot pursuit, MNPD officers took Smith into custody. The powder tested positive for fentanyl.
At the time of Smith’s arrest, he was in possession of multiple plastic bags containing a total of approximately 11 grams of fentanyl; a bag containing approximately 6 grams of cocaine; a bag containing approximately 21 grams of marijuana; a bag containing 23 full Xanax bars and multiple partial pieces of Xanax bars; as well as a 9mm Beretta semiautomatic handgun, which was loaded with 17 rounds of ammunition.
Smith was found to have been previously convicted of multiple felonies in Davidson County and Rutherford County, Tennessee.
If convicted, Smith faces a mandatory minimum sentence of five years, and up to life in federal prison.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Metropolitan Nashville Police Department. Assistant U.S. Attorney Robert McGuire is prosecuting the case.
The charges are merely accusations. Smith is presumed innocent until proven guilty in a court of law.
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Father and Son Prosecuted for Bank Fraud SchemeRead the Press Release
BIRMINGHAM, Ala. – On Tuesday, a father and son appeared in court on charges stemming from a bank fraud scheme in which they provided fraudulent information to financial institutions for the purpose of obtaining loans, announced U.S. Attorney Prim F. Escalona and Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp, Jr.
U.S. District Judge Annemarie C. Axon sentenced Christopher A. Montalbano, 39, of Vestavia, to 180 months in prison and ordered him to pay restitution in the amount of $11,924,471.00. Montalbano pleaded guilty to conspiracy to commit bank fraud, bank fraud, and money laundering in November 2021.
“Today’s sentence demonstrates that schemes to defraud federally-insured financial institutions are serious crimes that carry significant penalties,” U.S. Attorney Escalona said. “This defendant caused a multi-million-dollar loss to the victims. We will continue to work tirelessly with our law enforcement partners to hold perpetrators of these fraud schemes accountable and use all tools at our disposal to recover their ill-gotten gains.”
“Montalbano deserves every day of this sentence, as he went to great lengths to cover up his massive fraud scheme,” SAC Sharp said. “Hopefully, Montalbano enjoyed the short time he had with the luxury items he purchased with money he swindled from federally insured banks, as he will now pay for his crimes with years behind bars. American citizens can be assured that the FBI will continue to pursue predators who drag down our economy by deception for their own personal gain.”
According to the sentencing memo, between 2016 and 2020, Montalbano engaged in a bank fraud scheme targeting financial institutions insured by the Federal Deposit Insurance Company (FDIC) and the National Credit Union Administration (NCUA) in multiple states including Alabama. Montalbano, through his shell companies, and/or known associates, fraudulently obtained millions of dollars in loans from at least twenty different financial institutions by submitting fraudulent information and supporting documentation on more than 140 loans. Montalbano obtained these loan proceeds in his personal name, through a shell company, or in the name of a co-conspirator. Montalbano specifically used the loan proceeds to pay for an extravagant lifestyle which included traveling on a private jet aircraft, employing private pilots, employing a personal assistant, purchasing multiple high-end vehicles including Lamborghinis and Ferraris, and purchasing multiple real properties, including a residential home in a gated community, a lake house, and farmland.
To further facilitate the bank fraud scheme, Montalbano created internet websites for some of his shell companies including Land Work Tractor & Equipment (LWT&E), previously located in Florida and then Vincent, Alabama. On the LWT&E website, Christopher Montalbano posted photographs of agricultural and construction equipment, UTVs and boats which were purportedly in LWT&E’s possession and for sale. However, the majority of these photographs were copied and taken from the internet websites of legitimate equipment dealers. As a further part of the scheme, Christopher Montalbano purchased adjoining properties totaling approximately 150 acres in Vincent, Alabama, where LWT&E was purportedly located. Christopher Montalbano then gated the private access road(s) which both prevented unscheduled access, and severely limited the lenders’ ability to verify LWT&E’s possession of the equipment being sold and/or the validity of the equipment pictures on LWT&E’s internet website.
Gus Montalbano, 77, of Vestavia, pleaded guilty before U.S. District Court Judge Annemarie C. Axon to conspiring with Christopher Montalbano to commit bank fraud.
The Federal Bureau of Investigation investigated the case. Assistant U.S. Attorneys Robin B. Mark and Kristen Osborne are prosecuting the cases.
Fairfield Man Indicted for Possession of Methamphetamine and Being a Felon in Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against William Josiah Scrivner, 36, of Fairfield, charging him with possession with intent to distribute methamphetamine and being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on March 23, 2022, law enforcement officers observed Scrivner as the driver and sole occupant of a vehicle in the parking lot of the NorthBay Medical Center in Fairfield. The officers arrested Scrivner on an outstanding Solano County arrest warrant. A post-arrest search of his person and vehicle resulted in approximately 40 grams of methamphetamine, $551 on his person, and a digital scale in his car. A probation search of Scrivner’s residence resulted in the discovery of two firearms, one of which was stolen, firearm parts and ammunition, additional methamphetamine, and two more scales. Scrivner is prohibited from possessing firearms or ammunition because he has been convicted of several felonies, including two prior convictions for possession of methamphetamine for sale and a prior conviction for being a felon in possession of ammunition.
This case is the product of an investigation by the Fairfield Police Department, the Solano County District Attorney’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the FBI’s Solano County Violent Crimes Task Force. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
If convicted of the narcotics offense, Scrivner faces a maximum statutory penalty of 40 years in prison and a $5 million fine. If convicted of the firearms offense, 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. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Duluth Felon Sentenced to Nearly Eight Years in Prison for Illegal Possession of a FirearmRead the Press Release
DULUTH, Minn. – A Duluth man was sentenced to 95 months in prison, followed by three years of supervised release for illegally possessing a firearm as a felon, announced U.S. Attorney Andrew M. Luger.
According to court documents, Jesse William Peterson, 40, possessed a .38-caliber Smith and Wesson revolver with an obliterated serial number. On October 25, 2020, officers with the Duluth Police Department attempted to arrest Peterson at a residence on an outstanding warrant. Peterson refused to exit the residence and comply with officers’ attempts to arrest him. Peterson shot the firearm at the direction of officers. After a two-hour stand-off, Peterson was taken into custody. Officers found the loaded .38-caliber Smith and Wesson revolver in the bathroom where Peterson was located during the stand-off. A subsequent analysis revealed Peterson’s DNA on the firearm. Directly adjacent to the firearm, officers found 13.76 grams of methamphetamine, 11.13 grams of cocaine, 38 doses of LSD, $5,826 in cash, and 11 live rounds of .38-caliber ammunition. Because Peterson has prior felony convictions in St. Louis County, he is prohibited under federal law from possessing firearms or ammunition at any time.
Peterson was sentenced yesterday by U.S. District Judge Nancy E. Brasel. Peterson pleaded guilty to one count of illegal possession of a firearm on August 24, 2021.
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.
This case is the result of an investigation conducted by the Drug Enforcement Administration (DEA), the Minnesota Bureau of Criminal Apprehension, and the Duluth Police Department.
Assistant U.S. Attorney Joseph S. Teirab prosecuted the case.
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District of Columbia Fire/EMS Employee Pleads Guilty to Bribery in Scheme Involving Undelivered GoodsRead the Press Release
WASHINGTON—Louis “Joey” Mitchell, a former employee of the District of Columbia Fire and Emergency Medical Services Department (FEMS), pleaded guilty today to a federal bribery charge for accepting more than $60,000 in payments from a District of Columbia contractor in exchange for directing purchase agreements and orders to the contractor and then falsely certifying that goods that FEMS had paid for had been delivered.
The announcement was made by U.S. Attorney Matthew M. Graves, Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division, and Daniel W. Lucas, Inspector General for the District of Columbia.
Mitchell, of Capitol Heights, Maryland, pleaded guilty in the U.S. District Court for the District of Columbia. He is to be sentenced on Sept. 16, 2022, by the Honorable Amit P. Mehta. As part of the plea agreement, Mitchell will be required to pay a $61,250 forfeiture money judgment.
Mitchell was a warehouse supply technician at FEMS. In that role, he was responsible for verifying deliveries of goods to the warehouse before the agency would issue payments to the relevant vendors. According to the plea documents, beginning in at least 2016 and continuing through in or about 2020, Mitchell and a FEMS contract administrator engaged in a bribery scheme with a contractor whose company was an approved vendor for supplies.
According to the documents, Mitchell and the contract administrator solicited and received bribes from the contractor on at least seven occasions. In exchange, they directed purchase agreements and purchase orders to the company and confirmed delivery of and payment for goods that the company did not deliver.
As a result of the bribery scheme, FEMS paid the company more than $150,000 for goods that never were delivered. Mitchell personally received at least $61,250 in bribes from the contractor.
Law enforcement opened an investigation into the conduct after FEMS officials discovered billing anomalies and referred the matter to the District of Columbia Office of the Inspector General and the FBI for investigation. Mitchell was arrested on Feb. 10, 2022.
This case is being investigated by FBI’s Washington Field Office and D.C. Office of Inspector General. The case is being prosecuted by the Assistant U.S. Attorneys Molly Gaston and Amanda Vaughn of the Fraud, Public Corruption, and Civil Rights Section of the U.S. Attorney’s Office for the District of Columbia.
District Man Pleads Guilty to Bias-Related Attack of Family in Northwest WashingtonRead the Press Release
WASHINGTON – A District of Columbia man pleaded guilty today to three counts of simple assault, including one with a hate-bias enhancement, for punching and pushing three adults of Chinese descent as they walked on a street in Northwest Washington, announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department (MPD).
Patrick Trebat, 39, of Washington, D.C., pleaded guilty in the Superior Court of the District of Columbia. He was sentenced by the Honorable Michael O’Keefe to a total of 630 days in jail, with all but 210 days suspended, on the condition that he successfully complete three years of supervised probation.
But for the victims appearing to be from another country, and speaking a language unknown to Trebat, this attack would not have occurred. According to the government’s evidence, the attack took place at about 9:30 p.m. on Aug. 7, 2021. The victims – a man, woman, and their adult son – were walking near the intersection of Wisconsin Avenue NW and Fulton Street NW, speaking in a Chinese dialect. Trebat began shouting profanities. As the victims arrived in the 3700 block of Fulton Street NW, they attempted to cross the street to get away from Trebat. He shouted at them, saying, among other things, “You are not American,” and “Go back to your country.”
Trebat then ran up and attacked the older man from behind, punching him in the back of the head and then pushing him with enough force to cause him to fall to the ground. Trebat then pushed the woman to the ground from behind. The couple’s son attempted to stop the attack, and Trebat punched him in the face.
Officers with the Metropolitan Police Department responded to the scene and all three victims identified Trebat as their attacker. He was arrested.
As a result of the attack, the older man experienced pain in the back of his head and suffered a broken wrist. The woman experienced pain in her arm and had to undergo medical evaluation. Their son suffered a fractured finger. All also sustained cuts and bruises.
In announcing the plea, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the case from the Metropolitan Police Department. They also expressed appreciation for the efforts of those who handled the case for the U.S. Attorney’s Office, including Victim /Witness Advocate Christina Bloodworth.
Finally, they commended the work of Assistant U.S. Attorneys Robert K. Platt and Caroline P. Coates, who investigated and prosecuted the case.
Prosecuting bias-related crimes is critical to keeping our community safe. When one member of a group in the community is the victim of a bias-related crime, all members carry with them a fear that they, too, may be targeted because of who they are. The U.S. Attorney’s Office for the District of Columbia (USAO-DC) is committed to enforcing both federal and local hate and bias-related crime laws.
For more information:https://www.justice.gov/usao-dc/hatebias-related-crimes
Detroit Man Pleads Guilty to Fentanyl CrimeRead the Press Release
BECKLEY, W.Va. – A Detroit man pleaded guilty today to distribution of fentanyl.
According to court documents and statements made in court, Eddie E. Kellom, also known as “Ace,” 23, admitted to selling a quantity of fentanyl to a confidential informant near Coal City, Raleigh County, on May 21, 2021. Kellom also admitted to selling fentanyl on three other occasions. Each of these transactions also occurred in Raleigh County.
Kellom further admitted to possessing approximately 250 grams of fentanyl recovered during a January 11, 2022, traffic stop by law enforcement officers near Putnam County. Kellom admitted that he intended to distribute the fentanyl in and around the Southern District of West Virginia.
Kellom is scheduled to be sentenced on September 9, 2022, and faces up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million.
United States Attorney Will Thompson made the announcement and commended the Federal Bureau of Investigation (FBI), the Beckley/Raleigh County Drug and Violent Crime Unit (BRCDVCU), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) for conducting the investigation.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Timothy D. Boggess is prosecuting the case.
The case is a result of a months-long investigation dubbed “Operation Wolverine Carousel,” an investigation into the wide-spread distribution of heroin and fentanyl in Raleigh and Fayette Counties.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
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. 5:22-cr-31.
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Detroit Man Pleads Guilty to Federal Methamphetamine CrimeRead the Press Release
HUNTINGTON, W.Va. – A Detroit man pleaded guilty today to possession with intent to distribute 50 grams or more of methamphetamine.
According to court documents and statements made in court, Devonte Jamer McItyer, 27, admitted to selling approximately 1 ounce of methamphetamine to a confidential informant in Huntington on October 2, 2019. Following the sale, a Cabell County sheriff’s deputy pulled over a vehicle in which McItyer was a passenger. The deputy found approximately 142 grams of methamphetamine under McItyer’s seat. McItyer admitted to placing the drugs there for later distribution. McItyer further admitted to possessing a loaded Smith & Wesson .40-caliber pistol that the deputy also found in the vehicle.
McItyer is scheduled to be sentenced on September 6, 2022, and faces a mandatory minimum of five years and up to 40 years in prison, as well as up to four years of supervised release and a $5 million fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Southern West Virginia TOC-West Task Force, and the Cabell County Sheriff’s Department.
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Joseph F. Adams is prosecuting the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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-243.
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DeMasi-Lemon named to national forfeiture committeesRead the Press Release
WHEELING, WEST VIRGINIA – United States Attorney William Ihlenfeld announced today that Danae DeMasi-Lemon has been selected to aid in the development of asset forfeiture policies for federal prosecutors from throughout the country.
DeMasi-Lemon, an Assistant United States Attorney since 2015, has been named to two national asset forfeiture working groups that will develop best practices, review legislative proposals, and mentor new prosecutors.
“Danae is an expert in the field of asset forfeiture, and she has been helping to recover property for crime victims in West Virginia for many years,” said U.S. Attorney Ihlenfeld. “Her expertise was recognized by Department of Justice officials in Washington D.C. and led to her being invited to be a part of these prestigious groups.”
As part of the Asset Forfeiture Working Group, DeMasi-Lemon joins a team that provides guidance to the Department of Justice’s Money Laundering and Asset Recovery Section and the Executive Office for United States Attorneys. Group members aid in the development of new policies and the review of legislative changes, as well as provide instruction for young prosecutors.
With the Firearms Working Group, DeMasi-Lemon will help federal, state, and local agencies develop policies to aid in the forfeiture of firearms involved in federal crimes.
DeMasi-Lemon will continue to work in her home district where she serves as the Asset Forfeiture Coordinator, the Financial Crimes Review Team Coordinator, and represents the United States Attorney’s Office in the district’s Drug Court Program.
Darknet Vendor of Fentanyl-Laced Pills Pleads GuiltyRead the Press Release
ALEXANDRIA, Va. – A Tampa, Florida, man pleaded guilty today to distributing fentanyl on the darknet.
According to court documents, from August 2021 to February 2022, Akshay Ram Kancharla, 26, ran the darknet moniker OnlyTheFinest on darknet marketsToRRez and Dark0de Reborn. He advertised and sold nationwide pressed Oxycodone containing fentanyl, pressed Xanax, pressed Adderall, and THC resin. On ToRRez market, Kancharla sold over $73,096 in controlled substances and completed over 264 transactions by December 21, 2021, which included sales of 7,375 pressed Oxycodone pills. On Dark0de Reborn, which Kancharla joined after ToRRez market went down, he sold over $39,793 in controlled substances, which included rated orders for 3,975 pressed Oxycodone pills sold.
The darknet, also called TOR network or darkweb, is a portion of the Internet that hosts darkmarkets, or hidden commercial websites. A darkmarket operates as a black market, selling or brokering transactions involving legal products as well as drugs, weapons, counterfeit currency, stolen credit card details, forged documents, unlicensed pharmaceuticals, steroids, and other illicit goods.
Between October 2021 and February 2022, law enforcement made controlled purchases from OnlyTheFinest, which included 710 pressed Oxycodone pills containing fentanyl shipped to the Eastern District of Virginia. On February 17, 2022, a search warrant was executed at the defendant’s residence. Therein, agents found marijuana as well as a large quantity of pressed Oxycodone pills weighing approximately 2.38 kilograms resembling those obtained through controlled purchases that tested positive for fentanyl and pressed Xanax bars weighing approximately 437.5 grams. Law enforcement also seized $30,140 in U.S. currency and agents observed the defendant’s cryptocurrency Ethereum wallet on his laptop that contain approximately 2.444 in Bitcoin.
Kancharla is scheduled to be sentenced on August 4. He faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office, made the announcement after U.S. District Judge Michael S. Nachmanoff accepted the plea.
Assistant U.S. Attorney Bibeane Metsch is prosecuting the case.
This investigation was conducted by the FBI Washington Field Office’s Hi-Tech Opioid Task Force, which is composed of FBI agents and task force partners, including special agents and officers of the Food and Drug Administration’s Office of Criminal Investigations, DEA, U.S. Postal Inspection Service, and detectives from local assisting police agencies. The task force is charged with identifying and investigating the most egregious Dark Web marketplaces, and the vendors operating on the marketplaces who are engaged in the illegal acquisition and distribution of controlled substances, to include fentanyl, methamphetamine, and other opioids.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-75.
Cruise Ship Employee from South Florida Charged with Sexually Exploiting Minor He Met on Alaskan VoyageRead the Press Release
Miami, Florida – Federal prosecutors in Fort Pierce, Florida have charged a 38-year-old cruise ship employee from Stuart, Florida with enticing an underage girl he met on the ship into having sex with him and with producing child pornography by recording their sexual interactions.
According to the allegations of the criminal complaint affidavit, Daniel Scott Crow met the victim while he was working aboard a cruise ship. The victim, a 16-year-old girl at the time, was a passenger on the ship, vacationing with her family. After the cruise, Crow remained in contact with the victim and used a messaging application to solicit lewd photographs from her, says the affidavit. It is also alleged that Crow arranged to and later met the victim (who was still under 18) at a hotel, where he engaged in sexual activity with her while recording it. Crow stored the conversations and videos involving the victim on his cellular telephone, according to the charging documents.
Yesterday, Crow made his initial appearance in federal court in Fort Pierce before U.S. Magistrate Judge Shaniek A. Maynard. A detention hearing is scheduled before Judge Maynard for 10:00 a.m. on May 27. If convicted, Crow faces up to life in prison.
Juan Antonio Gonzalez, United States Attorney for the Southern District of Florida, and Anthony Salisbury, Special Agent in Charge, Homeland Security Investigations (HSI), Miami Field Office, announced the charges.
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 the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
If you have information regarding this case, or you believe you or a family member may have been a victim, please contact the HSI tip line at 1-866-347-2423.
HSI Miami’s Fort Pierce office investigated the case. Assistant United States Attorney Christopher Hudock is prosecuting it.
A criminal complaint is merely an accusation, and a defendant is presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-mj-00048.
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Covington Woman Sentenced for Theft of Social Security FundsRead the Press Release
NEW ORLEANS – United States Attorney Duane A. Evans announced that HAYDEE ARMAS SANTANA (“SANTANA”), age 58, of Covington, Louisiana, was sentenced today for Theft of Government Funds, in violation of Title 18, United States Code, Section 641.
According to documents filed in federal court, beginning in 2015, SANTANA filed for, and became eligible for, Social Security Supplemental Security Income (“SSI”) disability payments. SANTANA’s SSI application concealed an Iberia Bank account and her ownership in at least two additional pieces of real property, including one located in Miramar Beach, FL. In total, SANTANA fraudulently obtained over $31,000.00 in Social Security Administration SSI disability benefits.
U.S. District Judge Barry W. Ashe sentenced SANTANA to 5 years probation, Home Detention for 6 months, $31,060.61 in Restitution, and a $100.00 mandatory special assessment fee.
U.S. Attorney Evans praised the work of the Social Security Administration, Office of Inspector General and the Louisiana State Police. The prosecution of this case is being handled by Assistant U. S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
Convicted Felon Who Brandished Glock Pistol on Instagram Video Pleads Guilty to Possessing FirearmRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces that Devontae D. Hunter (25, Tampa) has pleaded guilty to possessing a firearm as a convicted felon. Hunter faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to court documents, Hunter brandished a Glock pistol in a video he had uploaded to his Instagram account on September 11, 2021. Two days later, during a traffic stop, Hunter fled from law enforcement officers on foot and dropped the same Glock pistol he had displayed in the Instagram video, which was configured with an extended magazine and loaded with 20 rounds of ammunition. Hunter had previously been convicted of several felony offenses, including a conviction for possession of a firearm as a convicted felon, robbery, and aggravated battery on a law enforcement officer, and is therefore prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Tampa Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorneys David W.A. Chee and Callan Albritton.
This case was 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.
Church Finance Manager Sentenced to 4+ Years for Embezzling $261,000Read the Press Release
A Christ the King finance manager who embezzled more than a quarter of a million dollars from the church was sentenced today to more than four years in federal prison, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Former Christ the King Cathedral Church Lubbock employee Nathan Allen Webb, 43, pleaded guilty in February to wire fraud. He was sentenced Thursday to 51 months in federal prison by U.S. District Judge James Wesley Hendrix, who ordered him to pay $261,440.20 in restitution.
According to plea papers, Mr. Webb – the only church employee with access to the church’s PayPal and Venmo accounts – admitted he transferred $261,440.20 in parishioner donations from the church to himself using those platforms. Over the course of 18 months, he made more than 230 unauthorized transfers. He then altered church bank statements to make PayPal and Venmo debits appear as credits, thus concealing his criminal activity from the church finance committee and diocese.
On February 23, 2021, Mr. Webb traveled to Colombia, South America, taking a church laptop with him. While in Colombia, on March 2, he transferred $2,914.07 from the Church’s PayPal account to his personal PayPal account and then to his bank account. The church discovered his fraud and confronted him the following day.
At his sentencing hearing, prosecutors told the judge that following the confrontation, Mr. Webb remained in Colombia, eventually overstaying his visa. The Colombian government ordered him to leave the country, so he purchased a ticket from Cartagena to Fort Lauderdale, where he knew FBI agents would be waiting for him. Instead of boarding the flight, however, he traveled more than 500 miles inland to Pereira. Colombian officials there located and detained him; they continued to hold him based upon an Interpol Red Notice until the U.S. government negotiated his release and returned him to Texas.
Given Mr. Webb’s calculated plot to evade law enforcement, the judge agreed an obstruction of justice enhancement was appropriate.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation with substantial assistance from FBI agents stationed in Colombia. Assistant U.S. Attorney Ann Howey prosecuted the case.
Chesterfield Man Pleads Guilty to $1.3 Million Tax FraudRead the Press Release
RICHMOND, Va. – A Chesterfield man pleaded guilty today to failing to pay over to the Internal Revenue Service (IRS) payroll taxes that were deducted from his employees’ paychecks.
According to court documents, from at least 2014 to 2018, David Corey Warren, 47, failed to pay over to the IRS payroll taxes from three different companies owned by his family. Warren served as the Director of Operations for Transitional Adult Residential Center, Transitional Home Care, and Elkridge Gathering Center, companies providing group homes, home care nurses, and daycare center services for mentally disabled adults in Chesterfield and Richmond. As Director of Operations, Warren was responsible for withholding the required Medicare, Social Security, and federal income taxes from his employees’ wages, and paying that amount over to the IRS. Warren also had an obligation to file Form 941s, the Employer’s Quarterly Federal Tax Return, but failed to file accurate returns with respect to each of those businesses.
Warren used a third-party payroll company for various payroll services, including the preparation of Forms 941. Despite receiving accurate Forms 941 from the payroll company, Warren consistently evaded his responsibilities to the IRS by deliberately and significantly underreporting the true value of the employment taxes due by filing Forms 941s that were different than those prepared by the payroll company, not paying over any employment taxes in some quarters, paying over only some of the employment taxes due in some quarters, or failing to report the employment taxes via Form 941 altogether in other quarters.
Over the course of four years, Warren failed to pay over $1.3 million in taxes to the IRS.
Rather than paying the amounts his businesses owed to the IRS, Warren used those withheld monies to fund his and his family’s personal living expenses, which included travel to the Caribbean, golf club memberships, private basketball lessons, luxury clothing, and accessories.
Warren is scheduled to be sentenced on October 13. He faces a maximum penalty of 5 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Darrell J. Waldon, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after U.S. District Judge David J. Novak accepted the plea.
Assistant U.S. Attorneys Carla Jordan-Detamore and Thomas A. Garnett are prosecuting 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. 3:22-cr-059.
Charlottesville Methamphetamine Traffickers Plead GuiltyRead the Press Release
CHARLOTTESVILLE, Va. – Four drug traffickers pled guilty recently to conspiring to distribute more than 500 grams of methamphetamine throughout the Charlottesville area.
Santo Hidalgo Siguenza, a.k.a. “Chila,” 40, from El Salvador, Francisco Rocha Uribe, 31, from Mexico, Rafael Vasquez Navarette, 26, from El Salvador, and Luis Guillermo Melendez-Henrique, 31, from El Salvador, all pled guilty to their roles in a drug conspiracy to possess and distribute 500 grams or more of methamphetamine. In addition to the drug charge, Siguenza also pled guilty to possession of a firearm in furtherance of a drug trafficking crime.
On September 19, 2020, members of the Jefferson Area Drug Enforcement Task Force (JADE) executed a search warrant at a residence on Chapel Hill Road in Charlottesville and encountered Siguenza in the middle of a drug deal along with a .38 caliber revolver, over a kilogram of virtually pure methamphetamine, and $6,000 in cash. Lab analysis of the methamphetamine found it to be over 98% in purity. While law enforcement was searching the residence, Melendez-Henrique and Navarette arrived in a vehicle which was then searched and found to contain additional methamphetamine. Melendez-Henrique admitted to police that he had picked up a kilogram of methamphetamine from their source in Atlanta, Georgia and brought it back to the Chapel Hill Road residence for redistribution.
At sentencing, Siguenza, Uribe, and Melendez-Henrique face a mandatory minimum of 10 years and up to a maximum of life in prison for the drug charges, including a maximum fine of up to $10,000,000, while co-conspirator Navarette faces up to 20 years in prison and up to a $1,000,000 fine.
United States Attorney Christopher R. Kavanaugh made the announcement.
The Jefferson Area Drug Enforcement Task Force, the Albemarle County Police Department, the Drug Enforcement Administration, the Waynesboro Police Department, Homeland Security Investigations, the Virginia State Police, and the Skyline Drug Trask Force investigated the case.
Assistant U.S. Attorneys Ronald M. Huber and Heather L. Carlton are prosecuting the case.
Cedar Rapids Drug Dealer Sentenced to Federal PrisonRead the Press Release
A Cedar Rapids drug dealer with 59 prior adult convictions was sentenced May 24, 2022, to more than 13 years in federal prison.
Kyle Anthony Doolin, age 61, from Cedar Rapids, Iowa, received the prison term after a March 26, 2021 guilty plea to one count of possession with intent to distribute a controlled substance near a protected location after having previously been convicted of a felony drug offense.
Information disclosed at sentencing showed that, on July 24, 2020, officers with the Cedar Rapids Police Department attempted to conduct a traffic stop on Doolin’s vehicle. As an officer attempted to initiate the traffic stop, Doolin drove away and a car chase ensued. Doolin turned into a driveway of a house, struck a wooden fence, and then fled on foot. After a short foot pursuit, Doolin was taken into custody with the assistance of a trained law enforcement K9. In the immediate area around where Doolin was taken into custody, law enforcement recovered several baggies containing a total of over 26 grams of ice methamphetamine. Officers also recovered methamphetamine and heroin from Doolin’s person. Prior to July 24, 2020, Doolin had previously been convicted 59 times, including a prior federal conviction for a drug-related offense.
Doolin was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Doolin was sentenced to 157 months’ imprisonment. He must also serve an eight-year term of supervised release after the prison term. There is no parole in the federal system.
Doolin is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Dillan Edwards and investigated by the Cedar Rapids Department and the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-00088.
Follow us on Twitter @USAO_NDIA.
California resident charged in human smuggling schemeRead the Press Release
Seattle – A 48-year-old Elk Grove, California man was arrested May 24, 2022, in Lacey, Washington, and was charged by criminal complaint with running a human smuggling scheme over the northern border with Canada and into Washington State, announced U.S. Attorney Nick Brown. Rajinder Pal Singh, aka Jaspal Gill, has been detained since his arrest at the Federal Detention Center at SeaTac.
According to the criminal complaint in the case, Singh and his coconspirators used the ride share app Uber to transport people who had illegally crossed the border to the Seattle area. Those records detail how trips beginning near the border in the early hours of the morning, would be split between different rides. For example, one Uber trip would be from the border to Sea-Tac airport, and then minutes later the second Uber trip would be from a nearby airport hotel to an address in Lacey, Washington, owned by Singh’s spouse. The Lacey house served as a way station for those entering the U.S. illegally. In some instances, Singh arranged for rental cars to drive those who entered the U.S. illegally to destinations in the mid-west. More recently Singh purchased airline tickets so that his smuggling customers could be flown to other parts of the country.
The smuggling scheme has been underway since at least 2018. It slowed during the pandemic when Canada was not admitting non-citizens. However as pandemic restrictions were lifted, the smuggling scheme became active again. In all, the investigation estimates that between July 2018, and April 2022, the 17 Uber accounts tied to this smuggling ring ran up more than $75,000 in charges. The Uber accounts were loaded onto pre-paid telephones to further hide who was running the scheme.
According to the complaint, Singh charged as much as $11,500 per person for his part of the smuggling services. Surveillance video captured Singh purchasing large numbers of Uber gift cards in northern California. Some of the gift cards were later used in connection with Uber trips that originated near the Canadian border.
In addition to the arrest in Lacey, law enforcement searched Singh’s Elk Grove, California, home. They found about $30,000 in cash as well as counterfeit identity documents.
The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
Conspiracy to transport and harbor illegal aliens for profit is punishable by up to ten years in prison and a $250,000 fine.
The investigation is being led by Homeland Security Investigations.
The case is being prosecuted by Assistant United States Attorney Joe Silvio.
gill_complaint.pdfCalifornia Real Estate Developer Faces Federal Charges for Using Stolen Identities to Obtain COVID-Relief Program FundsRead the Press Release
PORTLAND, Ore.—A federal indictment was unsealed today charging a California real estate developer with using stolen identities to fraudulently obtain more than $1.5 million in loans intended to help small businesses during the COVID-19 pandemic.
Alfred E. Nevis, 52, of Arroyo Grande, California has been charged with wire fraud, aggravated identity theft, and money laundering.
According to court documents, from April 1, 2020, through at least August 6, 2020, Nevis is alleged to have used the identities of multiple individuals known to him—including current and former employees, business associates, and their spouses—to illegally obtain Economic Injury Disaster Loans (EIDLs) administered by the Small Business Administration (SBA). The EIDL program was one of several economic relief programs originally authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES). It enabled SBA to issue low-interest loans to small businesses adversely impacted by the pandemic and associated mitigation measures.
To facilitate his scheme, Nevis used the stolen identities to register straw corporations, obtain Employer Identification Numbers (EINs) from the IRS, and submit loan applications to SBA on behalf of the newly-registered corporations. In one instance, Nevis claimed a straw corporation called Isley Farms, registered in Oregon, had 12 employees and generated more than $725,000 in revenue in a 12-month period ending in January 2020.
Between April 1, 2020 and July 23, 2020, Nevis submitted at least 12 EIDL applications using the identities of at least eight individuals without their knowledge or permission. Together, these applications generated nearly $1.4 million in fraudulent loan disbursements. SBA approved one final EIDL for $150,000 in August 2020, bringing Nevis’ total fraud proceeds to more than $1.5 million. Nevis is further alleged to have laundered at least $160,000 of his ill-gotten gains.
Nevis made his initial appearance in federal court today before U.S. Magistrate Judge Jolie A. Russo. He was arraigned, pleaded not guilty, and released pending a 3-day jury trial scheduled to begin on August 2.
Nevis faces a maximum sentence of 32 years in prison, fines of up to $500,000, and 3 years’ supervised release.
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, the FDIC Office of Inspector General, and the FBI. Assistant U.S. Attorney Ryan W. Bounds is prosecuting the case.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law, enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic.
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.
California Man Sentenced After Pleading Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – STEPHEN LUONG, age 62, a resident of Oakland, California, was sentenced on May 25, 2022 by U.S. District Judge Jane Triche Milazzo to one-hundred twenty (120) months imprisonment, five (5) years of supervised release, and $200.00 in mandatory special assessment fees after pleading guilty to two (2) counts of a twenty-four count superseding indictment that charged him with Conspiracy to Distribute and Possess with Intent to Distribute One Thousand Kilograms or More of Marijuana, in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(A), and 846, and Possession with Intent to Distribute One Hundred Kilograms or More of Marijuana, in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(B), announced U.S. Attorney Duane A. Evans.
According to court documents, in July 2019, a Jefferson Parish Sheriff’s Office Narcotics Division Agent received information regarding a large-scale marijuana distribution ring in the metro area. Additional investigation by agents revealed that on July 26, 2019, LUONG rented a storage facility in Metairie, Louisiana which he used to store marijuana and proceeds from the sale of marijuana. In September of 2019, agents conducting surveillance at the facility observed LUONG deposit a bag in one of the storage units. A subsequent traffic stop of LUONG after he exited the facility resulted in the seizure of $395,101.00 in cash. In a post-arrest statement, LUONG admitted that he traveled by air to various states to transport money. As agents continued their investigation, they learned that between June 2019 and August 2019, LUONG routinely shipped hundreds of pounds of marijuana from Oakland, California to the Eastern District of Louisiana, then traveled to New Orleans to obtain the proceeds of the sold marijuana and return to Oakland.
This prosecution was part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
This case was investigated by the Office of Homeland Security Investigations and the Jefferson Parish Sheriff’s Office. The prosecution was handled by former Assistant United States Attorney Mobayonle Osundare and Assistant United States Attorney André Jones.
California Couple Charged with Defrauding Paycheck Protection ProgramRead the Press Release
HONOLULU – A federal grand jury returned a four-count indictment today against Christopher A. Mazzei, age 44, and Erin V. Mazzei, age 41, of Arroyo Grande, California. The indictment charges the defendants with wire fraud, money laundering, and conspiracy in connection with a scheme to defraud the government of forgivable Paycheck Protection Program (PPP) loan funds intended for COVID-19-related relief.
The indictment alleges that the Christopher and Erin Mazzei, husband and wife, submitted applications for PPP funds to a Hawaii financial institution and two other financial institutions on behalf of three purported businesses, each time utilizing interstate wires. For each application, the Mazzeis allegedly created false Internal Revenue Service (IRS) tax returns and payroll records, which they presented as authentic and submitted to the banks to support their claims for PPP loan funds. According to the indictment, as a result of the false and fraudulent applications, the Mazzeis received $1,365,000 in PPP loan funds, which they then used for personal purposes, such as to purchase multiple sport utility vehicles and a home in Kapolei, Hawaii, among other things.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses.
“Our entire community suffers when federal funds appropriated to provide critical pandemic relief are illegally diverted for personal gain,” said U.S. Attorney Clare E. Connors. “We will pursue and prosecute those who defraud programs that provide a financial lifeline to struggling small businesses in Hawaii and across the United States during the COVID-19 pandemic.”
“As the country continues to battle the effects of the COVID-19 pandemic, these indictments are an unfortunate reminder that there are always those who will stoop low to unjustly enrich themselves, even at the cost of those suffering around them,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Financial fraud against government assistance programs is not victimless, as it directly steals resources from those who truly need it. Today’s court actions serve notice that IRS:CI will continue to protect our communities by investigating those who choose to commit these crimes.”
“The allegations described in this indictment represent significant abuse of the Paycheck Protection Program that was created to assist small businesses that were suffering the economic hardships caused by the pandemic," said Special Agent in Charge Jeffrey D. Pittano, of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG). “The FDIC OIG will continue to work with our law enforcement partners in the District of Hawaii, and elsewhere throughout the country, to investigate those who seek to take advantage of Federal relief programs and threaten to undermine the integrity of our Nation's financial institutions.”
“Today’s indictment sends a clear message that those who exploit and defraud financial institutions and the government’s pandemic relief funds will be brought to justice,” said Cory Nootnagel, Acting Special Agent in Charge, Western Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and Bureau of Consumer Financial Protection.
A federal indictment is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The investigation was conducted jointly by IRS Criminal Investigation, the FDIC Office of Inspector General, and the Office of Inspector General for the Board of Governors of the Federal Reserve System, with assistance from the Small Business Administration Office of Inspector General and the U.S. Treasury Inspector General for Tax Administration. Assistant U.S. Attorney Gregg Paris Yates is handling the prosecution.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Concord Man Pleads Guilty to Sexual Exploitation of a MinorRead the Press Release
CONCORD - Jerry S. Roberts, Jr., 37, of Concord, pleaded guilty in federal court on Wednesday to sexual exploitation of a minor, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, on July 15, 2019, the Concord Police arrested Roberts, a convicted sex offender, following his assault of another individual. The victim of the assault, advised that Roberts and a minor (Child Victim A) had left their personal property in the victim’s apartment. Pursuant to a search warrant, detectives searched the bags and recovered assorted electronic media, including a digital camera. Detectives obtained additional search warrants for the electronic media. From the digital camera, detectives identified two videos that Roberts filmed depicting Child Victim A engaging in sexually explicit conduct.
Roberts is scheduled to be sentenced on August 30, 2022.
“It is a paramount obligation of law enforcement to protect children from sexual exploitation crimes,” said U.S. Attorney Young. “Thus, my office is committed to working closely with our law enforcement partners to identify and prosecute the criminals who prey on young children.”
This matter was investigated by the Concord Police Department, with assistance from Homeland Security Investigations. The case is being prosecuted by Assistant U.S. Attorney Cam T. Le.
In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Brooklyn Park Felon Indicted for Possessing a Firearm, Glock SwitchRead the Press Release
MINNEAPOLIS – A Brooklyn Park man has been indicted for possessing a firearm as a felon and possessing an auto sear, announced U.S. Attorney Andrew M. Luger.
According to court documents, on March 15, 2022, officers with the Robbinsdale Police Department initiated a traffic stop of a black Chevrolet Suburban. The driver, later identified as Markyse Maurice Wells, 24, ran from the officers after being asked to step out of the vehicle. After a foot chase and a search of the area, officers found Wells hiding in the bathroom of a nearby gas station and was taken into custody. Inside the center console of Wells’s vehicle, officers found a Glock model 27 pistol with an extended magazine and an auto sear, commonly referred to as a “switch.” An auto sear is a device used to convert a semi-automatic firearm into a fully automatic firearm and is considered a machinegun under federal law.
Wells is charged with illegal possession of a machinegun and possession of a firearm as a felon. Because he has prior felony convictions in Hennepin County, Wells is prohibited from possessing firearms or ammunition at any time.
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.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Robbinsdale Police Department.
Assistant U.S. Attorney Thomas Calhoun-Lopez is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Boston Man Sentenced to Eight Years in Prison for Heroin, Fentanyl and Gun OffensesRead the Press Release
BOSTON – A Boston man was sentenced yesterday in connection with heroin and fentanyl distribution and unlawful possession of firearms and ammunition.
Anthony Howard, 34, was sentenced by U.S. District Court Judge Denise J. Casper to eight years in prison and three years of supervised release. On Feb. 2, 2022, Howard pleaded guilty to one count of possession with intent to distribute and distribution of heroin, one count of possession with intent to distribute fentanyl and one count of being a felon in possession of a firearm and ammunition.
This case arose from a series of controlled purchases of heroin and fentanyl from Howard by a cooperating witness. On July 20, 2021, Howard sold a cooperating witness over 32 grams of heroin. A search of Howard’s apartment on Aug. 5, 2021, resulted in the seizure of approximately 24.52 grams of fentanyl, drug distribution paraphernalia and several firearms, including a Glock 9mm handgun loaded with a drum magazine capable of 50 round capacity and containing 15 rounds of 9mm ammunition.
Federal law prohibits Howard from possessing a firearm or ammunition due to prior felony convictions. Additionally, at the time of the offenses, Howard was on state pre-trial release for a 2014 indictment for murder, armed assault to murder and illegal firearm possession, amongst other charges, in connection with a shooting of multiple victims. On Nov. 15, 2021, Howard was convicted on several charges in this matter and sentenced to 18 to 20 years in state prison.
First United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Acting Commissioner Gregory Long made the announcement. Valuable assistance was provided by the Suffolk County District Attorney’s Office. Assistant U.S. Attorney John Dawley of the Organized Crime and Gang Unit prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Birmingham Man Indicted on Gun ChargesRead the Press Release
BIRMINGHAM, Ala. – A federal grand yesterday indicted a Birmingham man on gun charges, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge Mickey French.
A two-count indictment filed in U.S. District Court charges Fredrick Leonard Temple, Jr., 32, with possession of a machine gun and receipt of an unregistered firearm.
According to the indictment, in January 2022, Temple illegally possessed a Glock 9mm pistol equipped with a “Glock switch” – an after-market device which is designed to illegally convert a semiautomatic Glock pistol into a fully automatic machine gun.
The maximum penalty for possession of a machine gun is 10 years in prison.
The maximum penalty for receipt or possession of an unregistered firearm is 10 years in prison.
ATF investigated the case, along with the Shelby County Drug Enforcement Task Force. Assistant U.S. Attorney Kristy Peoples is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The Birmingham Police Department began seeing these small illegal devices about a year ago. ATF confirms the frequency has picked up in the Southeast over the last three months. The conversion of the semiautomatic Glock pistol to a fully automatic machine gun causes the firearm to become inaccurate, spraying bullets everywhere, and increasing danger to innocent bystanders. If you know someone who has a Glock switch, you are asked to call law enforcement. Information about Glock switches can be reported to ATF at 1-888-ATF-TIPS or 1-888-283-8477.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Bank Ceo Convicted for Taking Bribes in Connection with Loans Guaranteed by the Small Business AdministrationRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today the conviction of EDWARD SHIN, then-CEO of a Pennsylvania-based bank (the “Bank”), for taking bribes in connection with the Bank’s issuance of loans that were guaranteed by the United States Small Business Administration (“SBA”). SHIN was arrested in May of 2019 and charged with taking bribes by siphoning off a portion of commissions on SBA-guaranteed loans and causing the Bank to issue SBA-guaranteed and commercial loans to companies in which SHIN had a secret interest. The charges are the culmination of a joint investigation by the Federal Deposit Insurance Corporation – Office of Inspector General (“FDIC-OIG”), Homeland Security Investigations (“HSI”), the SBA Office of the Inspector General (“SBA-OIG”), and the Office of the Special Inspector General for the Troubled Asset Relief Program (“SIGTARP”). SHIN was convicted on all counts of the indictment in Manhattan federal court before U.S. District Judge John P. Cronan.
According to the allegations in the Criminal Complaint, Indictment, and statements made during trial in Manhattan federal:
The SBA helps Americans start, build, and grow businesses by guaranteeing certain loans made by banks to help those businesses succeed. Between 2009 and 2013, the Bank offered a range of financial products, including SBA-guaranteed loans to small businesses in the New York-New Jersey area, which the Bank could extend only on the condition that all aspects of those loans complied with SBA regulations and SBA’s standard operating procedures. In particular, SBA regulations and procedures prohibited bank officers, including SHIN, from receiving any payments in connection with SBA-backed loans and prohibited banks from extending such loans to any institution in which a bank officer held an interest.
Notwithstanding these regulations, SHIN, then the CEO of the Bank, secretly solicited and received bribe payments in connection with SBA-guaranteed loans issued by the Bank and caused the Bank to extend SBA-guaranteed and commercial loans to companies in which SHIN had secret ownership interests. Specifically, when the Bank issued business loans that did not involve the use of any actual broker, SHIN nonetheless arranged to have his longtime friend, a real estate and loan broker (the “Broker”), inserted unnecessarily into the transaction solely to generate a broker fee that could be shared with SHIN; in fact, the Broker did no actual work to earn a commission on those transactions, but split the “broker’s fee” with SHIN as an illegal kickback.
SHIN also arranged for the Bank to issue SBA-guaranteed loans to businesses in which he secretly retained an ownership interest, in violation of SBA regulations and procedures. For example, in or about June 2010, the Bank issued an SBA-guaranteed loan for approximately $950,000 to a business in New York, New York. Although documents submitted to the Bank for purposes of securing the loan did not mention SHIN’s financial interest, the business was secretly operated as a partnership between SHIN, the Broker, and another individual. The loan ultimately went into default status, ultimately resulting in a loss to the Bank of approximately $591,278.60.
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SHIN, 58, of Ambler, Pennsylvania, was convicted of one count of conspiracy to commit bank fraud and wire fraud affecting a financial institution, which carries a maximum potential sentence of 30 years in prison, one count of conspiracy to commit bank bribery, which carries a maximum potential sentence of five years in prison, one count of conspiracy to commit loan fraud, which carries a maximum potential sentence of five years in prison, another count of conspiracy to commit bank fraud, which carries a maximum potential sentence of 30 years in prison, and one count each of bank bribery, and theft of funds by a bank officer, each of which carries a maximum potential sentence of 30 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FDIC-OIG, HSI, SBA-OIG, and SIGTARP.
This case is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Tara La Morte, Anden Chow, Jessica Greenwood, and Daniel M. Tracer are in charge of the prosecution.
Atlantic County Man Sentenced to 30 Years in Prison for Heroin Trafficking, Unlawful Possession of Firearm and Witness TamperingRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man was sentenced today to 360 months in prison for heroin trafficking, firearms and witness tampering charges, U.S. Attorney Philip R. Sellinger announced.
Sean Figaro, aka “Carlito,” aka “Carlito the don,” 35, was convicted in July 2019 of distribution of heroin, possession of a firearm in furtherance of his heroin distribution, witness tampering, conspiracy to commit witness tampering, and unlawful possession of a firearm by a convicted felon. Figaro was convicted following a one-week trial before U.S. District Judge Renée Marie Bumb, who imposed the sentence today in Camden federal court.
According to documents filed in this case and the evidence at trial:
On Jan. 10, 2017, law enforcement officers from the Atlantic City Child Exploitation Task Force executed a state search warrant on Figaro’s hotel room at the Econo Lodge on Pacific Avenue in Atlantic City, where Figaro had been staying off and on for at least a year. Officers recovered Figaro’s cell phone and a safe, containing a Jennings .22 caliber pistol loaded with five rounds, including one in the chamber, 119 individually packaged bags of heroin and various items used for packaging drugs for distribution, including additional bags, a digital scale, razor blades and a straw.
Officers obtained a separate search warrant for Figaro’s phone, which contained additional evidence of Figaro’s drug trafficking and firearm possession, including text messages offering heroin for sale, and also describing how he earned his living: “my occupation is drug dealership;” and “I’m a dealer, not a pimp, not law, a street hustler.”
In order to dissuade a witness from testifying against him, Figaro sent and caused to be sent messages to a potential witness, including labeling the witness as a “rat” and a “snitch” on Facebook, and later attempting to persuade the witness not to testify against him by feigning affection and promising to love and care for the witness.
In addition to the prison term, Judge Bumb sentenced Figaro to five years of supervised release.
U.S. Attorney Sellinger credited special agents from the FBI, Atlantic City Resident Agency, under the direction of Acting Special Agent in Charge Michael Messenger in Newark; the Atlantic County Prosecutor’s Office, under the direction of Acting Prosecutor Cary Shill; the Atlantic County Sheriff’s Office, under the direction of Sheriff Eric Scheffler; and the New Jersey Human Services Police, under the direction of Commissioner Sarah Adelman, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Diana Vondra Carrig and Kristen M. Harberg.
Armed Felon Sentenced to 42 Months in Federal PrisonRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Anthony Brooks, 30, Middleton, Wisconsin pleaded guilty and was sentenced today by Chief U.S. District Judge James D. Peterson to 42 months in federal prison for possessing a firearm as a felon.
On July 19, 2021, in a hotel parking lot in Madison, Brooks grabbed a gun from his car, pointed it at two hotel security officers and threatened to shoot them. Brooks, who was intoxicated, then fled the scene and was arrested nearby in possession of a loaded firearm. Brooks was previously convicted of being a felon in possession of a firearm in Dane County in 2017.
In sentencing Brooks, Judge Peterson highlighted the serious nature of the offense and risk the defendant posed to the public. He further stressed the defendant’s significant criminal history and noncompliance with previous terms of supervision. Lastly, Judge Peterson noted that a significant prison term was warranted to protect the public from Brooks’ aggravated and violent behavior.
The charge against Brooks was the result of an investigation conducted by Madison Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney David J. Reinhard prosecuted this case.
14 Arrested after Federal, State and Local Investigation into Waterbury Drug TraffickingRead the Press Release
United States Attorney Vanessa Roberts Avery, Special Agent in Charge Brian D. Boyle of the Drug Enforcement Administration for New England and Waterbury Police Chief Fernando C. Spagnolo today announced that the following 14 individuals were arrested yesterday on federal narcotics trafficking charges related to the distribution of fentanyl, heroin, cocaine, crack cocaine and oxycodone in and around Waterbury:
JAVIER GONZALEZ, a.k.a. “Jay” and “The Crazy One,” 50, of Waterbury
FRANCISCO GONZALEZ, a.k.a. “Sisco,” 51, of Waterbury
CHRISTOPHER CAMMILLETTI, 30, of Southington
JOHN STEFERAK, a.k.a. “Jack,” 43, of Milford
JOSE DUPREY, a.k.a. “Red” and “Colorado,” 51, of Waterbury
WANDA LORA, a.k.a. “Wanda Lopez,” 47, of Waterbury
ROBERT AMATRUDA, a.k.a. “Bubba” and “Spanky,” 38, of Bristol
VICTOR DURAN-BARRERA, a.k.a. “Mexico,” 41, of Bridgeport
GARRY GEBEAU, 56, of Ansonia
THOMAS SANTOS, a.k.a. “White Boy,” 33, of Waterbury
JOSE RAMOS, 40, of Waterbury
ARMANDO VARELA-PLAZA, 40, of New York
BIANCA RODRIGUEZ-CANCEL, 36, of New York
MICHELE CRUZ, 36, of WaterburyAs alleged in court documents and statements made in court, the DEA New Haven Task Force, Waterbury Police Department and other law enforcement agencies have been conducting a long-term investigation into drug trafficking in and around the city of Waterbury by Javier Gonzalez and his associates, and by Jose Duprey and his associates. The investigation has included court-authorized wiretaps on multiple phones, physical surveillance, controlled purchases of narcotics, and motor vehicle stops that resulted in the seizure of drugs and cash proceeds.
In association with yesterday’s arrests, investigators executed 11 search warrants and seized more than 18 kilograms of narcotics, approximately $290,000 in cash, and approximately $400,000 in jewelry. Specifically, a search of a business location on Straits Turnpike in Middlebury, which, as alleged, Duprey used as a stash location for narcotics and other items, revealed approximately 12 kilograms of a mixture containing suspected fentanyl, one kilogram of suspected heroin, one kilogram of suspected black tar heroin, and $40,000 in cash. A search of Francisco Gonzalez’s residence on Geddes Terrace in Waterbury revealed approximately two kilograms of a mixture of suspected cocaine and fentanyl, two kilograms of suspected heroin, and $200,000 in cash. A search of Javier Gonzalez’s residence on Enoch Street in Waterbury revealed approximately one kilogram of marijuana, $30,000 in cash, and $400,000 in jewelry. Quantities of cocaine and heroin, and approximately $20,000 in cash, were seized from other locations.
Each defendant is charged by criminal complaint with conspiracy to distribute, and to possess with intent to distribute, narcotics, an offense that carries a maximum term of imprisonment of 20 years. Certain defendants face stronger penalties, including mandatory minimum terms of imprisonment, based on the type and quantity of drug attributable to them. Javier Gonzalez and his brother, Francisco Gonzalez, are also charged with bulk cash smuggling, an offense that carries a maximum term of imprisonment of five years.
“As too many Connecticut residents continue to lose their battle with drug addiction, and too many families and communities are impacted by the resulting trauma that addiction causes, we in the U.S. Attorney’s Office and our law enforcement partners are steadfast in our commitment to stop the flow of these deadly drugs into and around our state, and we will prosecute those involved to the full extent of federal law,” said U.S. Attorney Avery. “I thank the DEA and their task force members, notably the Waterbury Police, for their work in identifying and apprehending these individuals, and seizing such a significant quantity of narcotics and drug proceeds. Their efforts have unquestionably saved lives.”
“Fentanyl, heroin and cocaine are causing great damage to our communities and DEA’s top priority is to aggressively pursue anyone who distributes this poison in order to profit and destroy lives,” said DEA Special Agent in Charge Brian D. Boyle. “Let these arrests and seizures be a warning to those traffickers who are distributing drugs to the people of Connecticut. The DEA and its local, state and federal partners will do everything in our power to bring you to justice.”
“We are thankful that our ongoing work with the DEA and the U.S. Attorney’s Office continues to thwart drug trafficking in Waterbury and remove those involved from our community,” said Chief Spagnolo. “We look forward to continuing this important work with our federal partners.”
U.S. Attorney Avery stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Drug Enforcement Administration New Haven Task Force and the Waterbury Police Department, with the assistance of DEA offices in Connecticut, New York and New Jersey; the Federal Bureau of Investigation; Bureau of Alcohol Tobacco, Firearms and Explosives; U.S. Marshals Service; U.S. Postal Inspection Service; Connecticut State Police; Connecticut Department of Correction; Connecticut State Parole; and the Naugatuck, Ansonia, West Haven, Meriden and East Haven Police Departments.
U.S. Attorney Avery thanked the Waterbury State’s Attorney’s Office for its cooperation in the investigation and prosecution of this matter.
The case is being prosecuted by Assistant U.S. Attorneys Patrick F. Caruso and Brendan Keefe through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
"Long Time Coming" Update: Chicago Man Sentenced to Prison for Role in Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – A Chicago man was sentenced today to nine years in prison, to be followed by three years of supervised release, for his role in a multi-state conspiracy responsible for distributing methamphetamine, cocaine, marijuana, and other controlled substances in the Parkersburg area.
According to court documents and statements made in court, Carlo Lee Ramsey, 56, supplied co-defendants Era Dawn Corder and Ambera Roberts with methamphetamine that they re-distributed between June and September 2021. Ramsey was supplied with methamphetamine by Robert Sanders, Jr., and was supplied with cocaine, marijuana, and other controlled substances by Floyd Dermonta Ramsey. Carlo Ramsey supplied all these substances to several customers in the Parkersburg area for several months.
Carlo Ramsey previously pleaded guilty to conspiracy to distribute methamphetamine. Co-defendants Corder, Roberts, Sanders, Floyd Ramsey, and Matthew Edward Depew previously pleaded guilty to felony charges in United States District Court for the Southern District of West Virginia as a result of a nearly year-long investigation dubbed “Long Time Coming.” Depew was sentenced to five years in prison, Floyd Ramsey and Corder were each sentenced to three years in prison, and Roberts was sentenced to one year and six months in prison. Sanders is awaiting sentencing. The investigation also resulted in more than a dozen arrests on state criminal complaints in Wood County.
United States Attorney Will Thompson made the announcement and commended the excellent investigative work of the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Parkersburg Narcotics Task Force (PNTF), the Parkersburg Police Department, the West Virginia State Police, the United States Postal Inspection Service, the Vienna Police Department, the Williamstown Police Department, the Wood County Sheriff’s Office, the Cabell County Sheriff’s Department, the Boyd County, Kentucky, Sheriff’s Department, the Russell, Kentucky, Police Department and the Raceland, Kentucky, Police Department
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Jeremy B. Wolfe prosecuted the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-163.
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25 May 2022
Winter Park Man Sentenced to 25 Years in Federal Prison for Producing and Distributing Sexually Explicit Photos of Young ChildrenRead the Press Release
Orlando, FL – U.S. District Judge Wendy Berger today sentenced Kelly Brown (41, Winter Park) to 25 years in federal prison for producing sexually explicit images of children and distributing these images over the internet. The court also ordered Brown to serve a life term of supervised release, register as a sex offender, and forfeit electronic devices that were used to commit his criminal offenses. Brown had pleaded guilty on October 19, 2021.
According to court documents, between June and July 2021, Brown produced several sexually explicit images depicting two young children. On July 19, 2021, Brown distributed some of these images over the internet using a web-based chat application. The next day, FBI agents approached Brown near his residence. During an interview with agents, Brown admitted that he had taken the contraband images of the two children using his smart phone at his residence during June and July 2021, and further, that he distributed them over the internet. Subsequent forensic analysis of Brown’s smart phone and data card revealed that it contained 151 videos and 67 images depicting the sexual abuse of children, including infants.
This case was investigated by the FBI. It was prosecuted by Assistant United States Attorney Amanda Daniels.
This is another case 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.
Winner Man Indicted for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Winner, South Dakota, man has been indicted by a federal grand jury for three counts of Failure to Register as a Sex Offender.
Glenford Old Lodge, a/k/a Glenford Old Lodge, Jr., age 32, was indicted on March 8, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 19, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to ten years in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that Old Lodge, a person required to register as a sex offender by reason of conviction under federal law, knowingly failed to register and update his registration. The allegations include various dates beginning on or about April 22, 2021, and ending on or about September 5, 2021, while living in the District of South Dakota.
The charges are merely accusations and Old Lodge is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Abby Roesler is prosecuting the case.
Old Lodge was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Wilmington Man Sentenced to 15 Years for Distributing Methamphetamine, Fentanyl, and Heroin While Armed with Multiple FirearmsRead the Press Release
RALEIGH, N.C. – A Wilmington man was sentenced today to 180 months in prison for conspiracy to distribute over 500 grams of methamphetamine, over 40 grams of fentanyl, and over 100 grams of heroin, all while using firearms to protect his drug dealing. On November 16, 2021, Edward Neal Huffman plead guilty to the charges.
Edward Huffman, 39, sold methamphetamine and heroin to a confidential source on five separate occasions in 2020. For each buy, multiple firearms were present and visible while the drug deal occurred. Ultimately, law enforcement executed a search warrant for a Wilmington hotel room that Huffman was staying in and seized 146 grams of methamphetamine, 80 grams of fentanyl, materials for distributing drugs, and a loaded handgun that was stolen. A subsequent search of Huffman’s residence led to the seizure of additional drugs and 8 more firearms.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Drug Enforcement Administration and New Hanover County Sheriff’s Office investigated the case and Assistant U.S. Attorney Tyler Lemons prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:21-cr-00099-BO.
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West Warwick Man Sentenced for Trafficking Thousands of Fentanyl PillsRead the Press Release
PROVIDENCE, R.I. – A West Warwick man who arranged for the sale of substantial quantities of fentanyl-laced counterfeit OxyContin to an undercover member of the Rhode Island DEA Drug Task Force was sentenced today to four years in federal prison, announced United States Attorney Zachary A. Cunha.
Richard Delsanto, 29, pleaded guilty in February to distributing 40 grams or more of fentanyl and possession with intent to distribute 400 grams or more of fentanyl.
According to the court documents, in April and May 2021, a member of the Rhode Island DEA Drug Task Force engaged in a series of text messages with Richard Delsanto, 29, to arrange for the purchase of 1,000 counterfeit OxyContin pills known to contain fentanyl. Delsanto delivered the pills on May 4, in exchange for $5,000. Nine days later, the undercover DEA Task Force officer arranged for a second delivery. As Delsanto arrived at an agreed-upon meeting location, members of the DEA Drug Task Force stopped Delsanto’s vehicle and seized approximately 3,000 pills containing fentanyl. Additionally, 700 fentanyl additional pills were seized from Delsanto’s residence during a court-authorized search that followed his arrest.
Delsanto pleaded guilty on February 16, 2022, to distributing 40 grams or more of fentanyl and possession with intent to distribute 400 grams or more of fentanyl. He was sentenced today by U.S. District Court Judge Mary S. McElroy to 48 months in federal prison to be followed by 5 years of federal supervised release.
The case was prosecuted by Assistant U.S. Attorney G. Michael Seaman.
The Rhode Island DEA Drug Task Force is comprised of personnel from the DEA; United States Postal Service Office of Inspector General; Rhode Island Attorney General’s Office Bureau of Criminal Identification and Investigation; Rhode Island State Police; the East Providence, Cranston, Coventry, Newport, North Kingstown, Pawtucket, Providence, South Kingstown, Warwick, West Warwick, and Woonsocket Police Departments; and Amtrak Police Department.
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Vermont Man Sentenced to 46 Months for Traveling to New York to Engage in Sexual Activity with a MinorRead the Press Release
ALBANY, NEW YORK – Robert McAdam, age 49, of Rutland, Vermont, was sentenced today to 46 months in prison for traveling to engage in illicit sexual conduct with a minor, announced United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his previously entered guilty plea, McAdam admitted that, between February 7, 2019 and June 16, 2020, he exchanged text messages with someone he believed to be the adult father of a 15-year-old girl. In these exchanges, McAdam discussed his interest in having sex with the girl. Then, McAdam traveled to New York in early June 2020 to meet with the person he believed to be the father of the girl. After this in-person meeting, McAdam arranged to have sex with the minor in a hotel room in Queensbury, New York, to take place on June 16, 2020. On this date, McAdam traveled from Vermont to a hotel room in Queensbury, where he was encountered by law enforcement and arrested. McAdam brought alcohol that he intended to supply to the minor, as well as condoms.
United States District Judge Mae A. D’Agostino also imposed a 15-year term of supervised release, which will start after McAdam is released from prison. As a result of his conviction, McAdam will be required to register as a sex offender upon his release from incarceration.
This case was investigated by the FBI and its Child Exploitation Task Force, including investigators with the New York State Police, and was prosecuted by Assistant United States Attorney Rachel Williams.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc/.
Valley resident sentenced for smuggling cocaine worth $2MRead the Press Release
CORPUS CHRISTI, Texas – A 29-year-old man residing in Mission has been ordered to federal prison following his conviction of possession with the intent to distribute drugs, announced U.S. Attorney Jennifer B. Lowery.
Reynaldo Perez Jr. pleaded guilty Oct. 5, 2021.
Today, U.S. District Judge Drew B. Tipton ordered Perez Jr. to serve 120 months in federal prison to be immediately followed by 5 years of supervised release. At the hearing, the court heard additional evidence that detailed two prior successful narcotic smuggling attempts made by Perez.
On June 26, 2021, Perez was a passenger on a Tornado Bus that arrived at the Falfurrias Border Patrol (BP) checkpoint. There, a K-9 alerted authorities to Perez’s luggage located in the cargo area of the bus.
Authorities conducted a search and discovered 21 bundles of a white-powdery substance concealed inside the luggage. It was later determined to be 21 kilograms of cocaine with an estimated street value of $2 million.
Perez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney Roland Swanson prosecuted the case.