Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
11 May 2022
Cryptocurrency Trader Sentenced to 42 MonthsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that defendant JEREMY SPENCE, a/k/a “Coin Signals,” was sentenced to 42 months in prison for defrauding more than 170 victims in connection with various cryptocurrency funds that he operated. SPENCE previously pled guilty before U.S. District Judge Lewis A. Kaplan, who imposed today’s sentence.
According to the allegations contained in the Indictment and the Complaint, court filings, and statements made in court:
From November 2017 through April 2019, SPENCE solicited investors in various cryptocurrency investment pools that SPENCE had created and managed (the “Funds”). SPENCE solicited investments for several Funds, the largest and most active of which were the Coin Signals Bitmex Fund, a/k/a the “CS Mex Fund,” the Coin Signals Alternative Fund, a/k/a the “CS Alt Fund,” and the Coin Signals Long Term Fund. Investors who wanted to participate in a Fund would transfer cryptocurrency, such as Bitcoin and Ethereum, to SPENCE in order for SPENCE to invest it.
SPENCE solicited more than $5 million through false representations, including that SPENCE’s crypto trading had been extremely profitable when, in fact, SPENCE’s trading had been consistently unprofitable. For example, on January 28, 2018, SPENCE posted a message in an online chat group falsely claiming that his trading of investor funds over the past month had generated a return of more than 148%. As a result of this misrepresentation, investors transferred additional funds to SPENCE. In fact, over that same period of approximately one month, SPENCE’s trading resulted in net losses in the accounts in which he traded investor funds.
To forestall redemptions by investors, and to continue to raise money from investors to fund his scheme, SPENCE generated fictitious account balances, which he made available to investors online. Instead of accurately reporting the trading losses SPENCE was incurring, the account balances falsely indicated to investors that they were making money by investing with SPENCE. To hide his trading losses, SPENCE used new investor funds to pay back other investors in a Ponzi-like fashion. In total, SPENCE distributed cryptocurrency worth approximately $2 million to investors substantially from funds previously deposited by other investors.
* * *
In addition to his prison term, SPENCE, 25, of Bristol, Rhode Island, was sentenced to three years of supervised released and restitution in the amount of $2,847,743.00.
Mr. Williams praised the investigative work of the Federal Bureau of Investigation and thanked the Commodity Futures Trading Commission, which brought a separate civil action.
The case is being handled by the Office’s Securities and Commodities Fraud Unit. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecution.
Chicago Insurance Executive Sentenced to Four Years in Federal Prison for Embezzling Nearly $6 Million from His EmployerRead the Press Release
CHICAGO — The former controller of a Chicago-based insurance company has been sentenced to four years in federal prison for embezzling nearly $6 million in company funds.
From October 2018 to June 2020, KEVIN J. MIX authorized approximately 42 wire transfers totaling more than $5.8 million from Insureon to his personal bank accounts and the accounts of shell companies that he created. At the time, Mix was Insureon’s controller and responsible for managing the company’s accounting operations. Mix attempted to conceal the fraudulent transfers by making false entries in the company’s records, creating fake emails, and making false statements to company representatives and the company’s bank.
Mix used the stolen money to purchase, among other things, several real estate parcels in the Chicago area and Ohio, Mercedes-Benz and Audi automobiles, multiple diamonds and gold bars, and membership for a private charter jet service.
Mix, 43, of Chicago, pleaded guilty last year to a federal wire fraud charge. In addition to the prison term, U.S. District Judge Joan Humphrey Lefkow on Tuesday ordered Mix to pay $5,845,427 in restitution.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government was represented by Assistant U.S. Attorney Matthew Schneider.
Charleston Man Sentenced to Prison for Fentanyl and Gun CrimesRead the Press Release
CHARLESTON, W.Va. – A Charleston man was sentenced today to six years and nine months in prison, to be followed by three years of supervised release, for distribution of fentanyl and possession of a firearm in furtherance of a drug trafficking crime.
According to court documents and statements made in court, Curtis Givens, 52, admitted to selling several grams of fentanyl as well as two firearms, including a .32-caliber handgun, to a confidential informant on November 10, 2020. Givens admitted that he sold the confidential informant an additional 14 grams of fentanyl on November 18, 2020. Both transactions occurred at Givens’ residence on Charleston’s West Side.
Givens also brandished a firearm on July 7, 2021, while arguing with another person in view of a Charleston police officer who then immediately arrested Givens.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney L. Alexander Hamner 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.
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-166.
###
California Man Sentenced to over 17 Years for Drug TraffickingRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that ALLEN EDGERSON, age 44, of Moreno Valley, California, was sentenced to over 17 years today for methamphetamine trafficking.
EDGERSON pled guilty on July 7, 2021, to conspiring to distribute and to possess with the intent to distribute 50 grams or more of methamphetamine and 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(A), and 846. According to court documents, EDGERSON sold methamphetamine in large quantities, quoting customers prices for up to 20 pounds of methamphetamine at a time. Law enforcement agents caught EDGERSON and his codefendant, Rachel Cesario, sending packages with multiple pounds of methamphetamine at a time to codefendant Sheon Copprue in New Orleans.
The Honorable Sarah S. Vance sentenced EDGERSON to a term of imprisonment of 210 months, followed by five years of supervised release, and a special assessment of $100. EDGERSON’s codefendants, Sheon Copprue, Rachel Cesario, and Tonya Calvin, have already pled guilty in this case and are awaiting sentencing.
U.S. Attorney Evans praised the work of the United States Postal Inspection Service, the Drug Enforcement Administration, and the Louisiana State Police. Assistant U.S. Attorney Nicholas D. Moses is in charge of the prosecution.
Buffalo Man Going to Prison for Selling Heroin and FentanylRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Moralles Mendez, 44, of Buffalo, NY, who was convicted of possession with intent to distribute 100 grams or more of heroin, was sentenced to serve 90 months in prison by Chief U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorneys Meghan E. Leydecker and Charles E. Watkins, Jr., who are handling the case, stated that in August and September 2019, investigators conducted two controlled purchases of heroin and fentanyl from Mendez. On September 25, 2019, another controlled purchase was arranged and when Mendez arrived at the pre-determined location, he was arrested with a quantity of heroin and fentanyl on the front passenger seat of his vehicle. Law enforcement also executed a search warrant at Mendez’s residence and recovered five cellphones and two digital scales.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Frank A. Tarentino III, New York Field Division.
# # # #
Brooklyn High School Paraprofessional Charged with Production of Child Pornography and Sextortion SchemeRead the Press Release
An 11-count indictment was unsealed today in federal court in Brooklyn charging Brian Quinones, a paraprofessional at Midwood High School, with sexual exploitation of a child, distribution of child of pornography, cyberstalking, and related offenses. The charges relate to sexually explicit videos of a child that the defendant allegedly requested and received from a boy he met over the Internet, as well as other sexually explicit images and videos that the defendant possessed and distributed. Quinones was arrested today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo.
Breon Peace, United States Attorney for the Eastern District of New York, Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the arrest and charges.
“As alleged, Quinones was a prolific trader of child pornography who posed as a woman in order to solicit sexually explicit videos from a minor boy, then blackmailed the victim with cruel threats to post the material on the Internet,” stated United States Attorney Peace. “This Office is working diligently with our law enforcement partners to address the online exploitation of minors and protect our children from predators like Quinones. Today’s prosecution should also serve as a reminder to parents and caregivers to remain vigilant about your children’s communications over the Internet and the importance of educating our children about the dangers of communicating online with strangers.”
Mr. Peace thanked the FBI/NYPD Child Exploitation and Human Trafficking Task Force for its investigative work on the case.
“Sexual predators often prey on the terror children experience when they are coerced and manipulated into creating explicit photos and videos,” stated FBI Assistant Director-in-Charge Driscoll. “We allege Quinones threatened to expose the images his victim created if the child didn't continue to send him more. Children often fear going to an adult to report what's happened because they're humiliated, and they believe the threats. The FBI Child Exploitation and Human Trafficking Task Force believes Quinones may have more victims, and we ask anyone with information to contact us at 1-800-CALL-FBI or tips.fbi.gov so we can hold him fully accountable for his actions.”
“Any kind of sexual exploitation of a minor is absolutely detestable behavior,” stated NYPD Commissioner Sewell. “But when the suspect has also been entrusted with our communities’ children, it is especially disturbing. Decades ago, predators would go to a playground or a park to find young victims. Now, there’s an entire virtual world full of potential targets. These types of crimes have devastating effects on children and their families, and I commend and thank all of the investigators at the NYPD, FBI, and the U.S. Attorney’s Office for the Eastern District who are dedicated to identifying and bringing to justice those who commit such offenses.”
As set forth in court filings, between September 2019 and January 2020, Quinones used an instant messaging mobile application to trade dozens of videos and images depicting child pornography with another individual who has since been charged with child pornography-related offenses. Following a court-authorized search of Quinones’s residence and the seizure of his electronic devices, FBI Special Agents discovered a series of sexually explicit messages between Quinones, who was impersonating a woman, and a minor male victim (John Doe), who Quinones lured into creating and sending sexually explicit videos. Quinones then threatened to post the victim’s material on the Internet unless the victim agreed to make additional sexually explicit content. The defendant stated in a WhatsApp message: “I got everything you sent,” adding that he would “ruin” John Doe. The defendant directed John Doe to do “[e]verything I tell u to do” and to “behave.” He then wrote, “Get on your hands and knees.” When John Doe declined to do so, the defendant threatened, “I’m ready to make u famous[.] Any last words?’
If convicted of sexual exploitation of a child, Quinones faces a mandatory minimum of 15 years’ imprisonment.
The charges in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
This prosecution is 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 United States Attorneys’ Offices and the Department of Justice Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The government’s case is being prosecuted by Assistant United States Attorney Eric Silverberg.
The Defendant: BRIAN QUINONES
Age: 30
Sheepshead Bay, BrooklynE.D.N.Y. Docket No. 22-CR-218 (HG)
Bronx Man Sentenced to over Four Years in Prison for Fentanyl TraffickingRead the Press Release
BOSTON – A Bronx, N.Y., man was sentenced today in federal court in Boston for his role in a fentanyl trafficking conspiracy.
Eric Encarnacion Medina, 34, was sentenced by U.S. District Court Judge Allison D. Burroughs to 51 months in prison and two years of supervised release. In November 2021, Encarnacion Medina pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl and one count of distribution of and possession with intent to distribute 400 grams or more of fentanyl.
In January 2021, Encarnacion Medina was identified as working with a drug trafficker based in the Dominican Republic who shipped multiple kilograms of fentanyl to a location in Pennsylvania. Encarnacion Medina would then transport the fentanyl from Pennsylvania to Massachusetts. On Jan. 28, 2021, Encarnacion Medina sold one kilogram of fentanyl to a cooperating witness in Boston and discussed future drug sales before going back to New York. On Feb. 11, 2021, Encarnacion agreed to sell the cooperating witness 400 fentanyl pills and drive to Boston again from New York for the transaction. Encarnacion Medina also discussed future deals and the potential for transactions involving high quantities of fentanyl pills and methamphetamine. Encarnacion Medina was arrested upon his arrival in Boston on Feb. 12, 2021.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Stephen W. Hassink of Rollins’ Narcotics & Money Laundering Unit prosecuted the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state, and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
Avilla Man Sentenced to 30 Months in Prison and Ordered to Pay $251,948.59 in RestitutionRead the Press Release
FORT WAYNE- Adam N. Bock, age 43 of Avilla, Indiana, was sentenced by United States District Court Judge Holly A. Brady, on his plea of guilty to removing, obliterating, tampering or altering a vehicle identification number of a motor vehicle, announced United States Attorney Clifford D. Johnson.
Bock was sentenced to 30 months in prison, 2 years of supervised release and ordered to pay $251,948.59 in restitution to victims of the offense.
According to documents in this case, in 2017 and 2018, Bock and an accomplice stole 25 travel trailers from businesses in Indiana and Michigan. They then replaced the VIN numbers and rebranded the trailers in Bock’s company name. Thereafter, Bock and his accomplice sold many of the rebranded trailers to innocent third-party purchasers.
The case was investigated by the Federal Bureau of Investigation and the Indiana State Police with the assistance of the Michigan State Police, the LaGrange County Sheriff’s Office and the Steuben County Sheriff’s Office. This case was prosecuted by Assistant United States Attorney Stacey R. Speith.
Australian Citizen Sentenced for Visa FraudRead the Press Release
ALBANY, NEW YORK – Paul J. Carter, also known as Paul Hamilton, and formerly known as Paul Cristallo, was sentenced today to time served (6 days in jail), and to pay a $5,000 fine, for making false statements in a 2018 U.S. visa application.
The announcement was made by United States Attorney Carla B. Freedman and Matthew Scarpino, Acting Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
Carter, age 55, an Australian citizen residing in Watervliet, New York, admitted to lying about his criminal history when he sought to renew his E-2 visa in 2018. E-2 visas admit certain foreign nationals who have invested a substantial amount of money in a U.S. business. Carter obtained an E-2 visa, and began residing in the United States, in 2014. The U.S. government denied Carter’s visa renewal application in 2018, and Carter has been residing in the United States without status since May 2020.
This case was investigated by HSI, with assistance from the U.S. Department of State Diplomatic Security Service, and was prosecuted by Assistant U.S. Attorney Michael Barnett.
Attorney General Merrick B. Garland Honors Nation’s Law Enforcement During National Police WeekRead the Press Release
In honor of National Police Week, Attorney General Merrick B. Garland recognizes the service and sacrifice of federal, state, local, territorial, and Tribal law enforcement. This year, the week is observed Wednesday, May 11 through Tuesday, May 17, 2022.
“This week, we gather to pay tribute to the law enforcement officers who sacrificed their lives in service to our country,” said Attorney General Garland. “We remember the courage with which they worked and lived. And we recommit ourselves to the mission to which they dedicated their lives. On behalf of a grateful Justice Department and a grateful nation, I extend my sincerest thanks and gratitude to the entire law enforcement community.”
In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. Based on data submitted to and analyzed by the National Law Enforcement Officer Memorial Fund (NLEOMF), over 67% of the law enforcement officers who died in the line of duty in 2021 succumbed to COVID-19.
Additionally, according to 2021 statistics reported by the FBI through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program, 73 law enforcement officers who died in the line of duty in 2021 were killed as a result of felonious acts, whereas 56 died in accidents. Deaths resulting from felonious acts increased in 2021, rising more than 58% from the previous year. In 2021, unprovoked attacks[1] were the cause of 24 deaths, significantly outpacing all other line of duty deaths resulting from felony acts and reaching the highest annual total in over 30 years of reporting. Additional LEOKA statistics can be found on FBI’s Crime Data Explorer website for the LEOKA program.
The names of the 619 fallen officers added this year to the wall at the National Law Enforcement Officer Memorial will be read on Friday, May 13, 2022, during a Candlelight Vigil in Washington, D.C., starting at 8:00 p.m. ET. Those who wish to view the vigil live online can watch on the NLEOMF YouTube channel found at https://www.youtube.com/TheNLEOMF. The schedule of National Police Week events is available on NLEOMF’s website.
[1] An unprovoked attack is defined as an attack on an officer not prompted by official contact at the time of the incident between the officer and the offender. Source: Federal Bureau of Investigation (FBI) through the Law Enforcement Officer Killed and Assaulted (LEOKA) Program.
Arizona man faces charge for attempting to entice a minorRead the Press Release
ALBUQUERQUE, N.M. – Jonathan John James, 58, of Tsaile, Arizona, appeared in federal court today for a preliminary and detention hearing where he was charged with attempted coercion and enticement of a minor. James will remain on conditions of release pending trial, which has not been scheduled.
According to a criminal complaint, on April 20 James allegedly followed a child as she shopped with a grandparent at a Home Depot in Gallup, New Mexico. James allegedly approached the victim, told her she was attractive and gave her his telephone number, written on a wet wipe package, in hopes they would communicate. On April 20, James allegedly began exchanging sexually explicit messages with someone he thought was the victim.
The messages were reported to the FBI on April 27. James continued exchanging messages with a person he thought was the victim. On April 28, James allegedly sent 24 images of obscene material depicting adults engaged in sexual activities, all of which showed nudity, and arranged to meet the victim. On May 5, James traveled from Arizona to a park in Gallup to meet the victim. He was detained by the FBI upon arrival.
A complaint is only an allegation. A defendant is considered innocent unless and until proven guilty. If convicted, James faces a mandatory minimum of 10 years and up to life in prison.
The FBI Child Exploitation Human Trafficking Task Force investigated this case with assistance from the Gallup Police Department. Assistant United States Attorney Nicholas J. Marshall is prosecuting the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
# # #
Allen County Man Indicted by Federal Grand Jury for Methamphetamine Trafficking and Gun ChargesRead the Press Release
Bowling Green, KY – A federal grand jury in Bowling Green returned an indictment today charging an Allen County, KY man with possessing with the intent to distribute more than 5 grams of methamphetamine on three separate occasions and possessing a firearm on two of those occasions as a convicted felon and in furtherance of his drug trafficking.
According to court documents, Timothy Harrison, 40, of Scottsville, KY, possessed with the intent to distribute, 5 grams or more of methamphetamine on March 25, 2021, in Allen County, on May 12, 2021, in Warren County, and on November 17, 2021, in Allen County. On March 25, 2021, Harrison, a convicted felon for possession of a controlled substance, also possessed a Ruger, model Wrangler, .22 caliber revolver, and ammunition, in furtherance of his drug trafficking. On May 12, 2021, Harrison possessed a Taurus, model PT 24/7 G2, .40 caliber semiautomatic pistol, and ammunition, in furtherance of his drug trafficking.
Harrison is charged with three counts of possession with the intent to distribute methamphetamine, two counts of possession of a firearm by a prohibited person, and two counts of possession of a firearm in furtherance of drug trafficking. The defendant is scheduled for his initial court appearance on May 25, 2022, before U.S. Magistrate Judge H. Brent Brennenstuhl of the U.S. District Court for the Western District of Kentucky. If convicted, Harrison faces a mandatory minimum of 15 years in prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and J. Todd Scott, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Louisville Division, made the announcement.
The DEA, the Allen County Sheriff’s Office, and the Kentucky State Police are investigating the case.
Assistant U.S. Attorney Mark J. Yurchisin II is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
Albuquerque man pleads guilty to assaulting a federal officerRead the Press Release
ALBUQUERQUE, N.M. – Derick Martin Garcia Pacheco, 33, of Albuquerque, pleaded guilty on May 10 in federal court to one count of assault on a federal officer using a deadly or dangerous weapon and inflicting bodily injury and one count of being a felon in possession of firearms and ammunition. Garcia will remain in custody pending sentencing, which has not been scheduled.
According to the plea agreement and other court records, on Dec. 11, 2020, FBI agents executing a search warrant knocked at the door of Garcia’s residence and announced themselves as federal officers. Garcia armed himself with a .357 revolver and fired through the door, striking one of the agents. The agent was seriously injured, requiring surgery and hospitalization.
After Garcia shot the agent, other officers secured the scene and the FBI Special Weapons and Tactics (SWAT) unit responded to assist in executing the warrant, and Garcia was detained.
In his plea, Garcia acknowledge that he knew at the time of the incident that as a previously convicted felon he cannot legally possess firearms or ammunition.
Garcia faces up to 20 years in prison for the assault charge and up to 10 years in prison for possessing firearms and ammunition.
The FBI investigated this case. Assistant U.S. Attorneys Holland S. Kastrin and Sarah J. Mease are prosecuting the case.
# # #
Albuquerque man charged with bank robberyRead the Press Release
ALBUQUERQUE, N.M. – Uriah Davis, 40, of Albuquerque, appeared in federal court today for a preliminary and detention hearing where he was charged with bank robbery. Davis will remain in custody pending trial, which has not been scheduled.
According to a criminal complaint, on May 2, Davis allegedly robbed the Wells Fargo bank on Central Avenue SE in Albuquerque. Davis allegedly entered the bank, approached a teller and made a verbal demand for money, repeatedly urging the teller to hurray. The teller complied and Davis allegedly fled the bank on foot.
On May 2, the FBI received a tip through the National Threat Operation Center that led agents to Davis’ location. On May 4, the FBI executed a federal search warrant on a room at the Tewa Lodge motel in Albuquerque, where Davis was found and taken into custody.
A complaint is only an allegation. A defendant is considered innocent unless and until proven guilty. If convicted, Davis faces up to 20 years in prison.
The FBI’s Albuquerque Violent Crimes Task Force investigated this case. Assistant United States Attorney Letitia Carroll Simms is prosecuting the case.
# # #
"Long Time Coming" Update: Parkersburg Man Sentenced to Prison for Role in Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – A Parkersburg man was sentenced today to five years in prison, to be followed by five years of supervised release, for his role in a multi-state drug trafficking organization (DTO) responsible for distributing methamphetamine, fentanyl, cocaine and marijuana in Parkersburg and elsewhere.
According to court documents and statements made in court, Matthew Edward Depew, 31, admitted to obtaining methamphetamine from Robert Sanders, Jr., between April and July 2021, which he then re-distributed to customers in and around Parkersburg. Depew would often obtain large quantities of methamphetamine on consignment from Sanders, and Sanders would sometimes direct Depew to specific customers. Sanders and Depew would regularly coordinate over the phone regarding when Depew needed more methamphetamine to distribute.
Over the course of the conspiracy, Depew was responsible for several pounds of methamphetamine worth tens of thousands of dollars that he obtained from Sanders and re-distributed within the Parkersburg area. Depew’s involvement in the conspiracy ended when he was arrested following a traffic stop by officers with the Parkersburg Police Department on July 31, 2021. During the traffic stop, officers found approximately 100 grams of methamphetamine in Depew’s possession that he had obtained from Sanders.
Sanders and co-defendants Carlo Ramsey, Floyd Dermonta Ramsey, Era Dawn Corder, and Ambera Roberts all previously pleaded guilty to felony charges in United States District Court for the Southern District of West Virginia. This case results from a nearly year-long investigation dubbed “Long Time Coming.” Roberts was sentenced to one and one-half years in prison, to be followed by three years of supervised release, on May 9, 2022. All other defendants are 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 Department, 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 is handling the prosecution.
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.
###
10 May 2022
四名男子被指控谋杀 31 岁的皇后区男子Read the Press Release
美国纽约东区地方法院今天公布了一项两项罪名起诉书，指控Qing Ming Yu （又名“Allen Yu”）、Antony Abreu，又名“Antony”，You You，又名 “Eddie”，和 Zhe Zhang，又名“Zack” 2019 年 2 月 12 日谋杀31 岁的皇后区居民Xin Gu。
Qing Ming Yu和You You今天在纽约被捕，Zhe Zhang在加州被捕。 Antony Abreu 已被联邦拘留，因一件不相关的事情正在服刑，稍后将被转移到纽约东区。 Qing Ming Yu和You You定于今天下午在美国地方法官 Kuo面前被提审。 Zhe Zhang的首次出庭将在美国加州中区地方法院举行。 美国纽约东区检察官 Breon Peace、纽约外地办事处 (FBI) 联邦调查局助理主管 Michael J. Driscoll 和纽约市专员 Keechant L. Sewell 警察局 (NYPD) 宣布了逮捕和指控。
正如指控的那样，被告无情地使用枪支暴力来解决商业纠纷，将一个人的生命价值降低到美元数字，给社区带来创伤和哀悼，”美国检察官Peace说。 “起诉凶手永远是这个办公室的首要任务——无论是被告扣动扳机，还是付钱给别人为他做肮脏的工作。”
Peace先生对皇后区地方检察官办公室在调查中的协助表示感谢。 据称，Qing Ming Yu聘请他的侄子谋杀他认为的商业对手。 他的行为远远超出了糟糕的商业实践，表现出对人类生命的冷酷无情。 由于我们今天与合作伙伴采取的行动，Qing Ming Yu和参与剧情的每个人都不必再为生意操心了——因为他们被指控的罪行将面临正义和终身监禁的可能性， ”助理主管 Driscoll 说。
“我们之前已经说过：如果有人参与了纽约市的谋杀案，我们会找到他们并确保伸张正义，”纽约警察局局长 Sewell 说。“不知疲倦的工作 在本案中，侦探、特工和检察官帮助追究涉嫌对这起谋杀案负责的人对他们的行为负责。这是我们机构合作致力于公共安全的另一个例子，进一步证明没有人是无法控制的。
法庭文件详述，2015 年至 2018 年间，Xin Gu在Qing Ming Yu的房地产开发公司曼哈顿办公室工作。 几年来，Xin Gu开始担心公司的财务状况。 此后，Xin Gu辞职，成立了自己的房地产开发公司。
Xin Gu离职后，数名客户和员工也与Qing Ming Yu的公司断绝关系，该公司于 2018 年底关闭。Qing Ming Yu对Xin Gu不忠的行为感到愤怒，聘请侄子You You杀了Xin Gu以换取报酬。 You You 又聘请了 Zhang 和 Antony Abreu 协助执行谋杀。
2019 年 2 月 11 日晚，一直到第二天早上，Xin Gu的新公司在纽约皇后区的一家卡拉 OK 酒吧举办了一场农历新年庆祝活动。 被告人得知Xin Gu一行人的消息，决定当晚将其杀死，由You You看守，Zhe Zhang为逃跑司机，Abreu多次向新谷开枪，将其杀死。
如果罪名成立，每位被告都将面临终身监禁或死刑的强制性判决。
起诉书中的指控仅仅是指控，除非被证明有罪，否则假定无罪。
政府的案件由办公室的有组织犯罪和帮派科处理。 美国助理检察官 Devon Lash、Nadia E. Moore 和 Gabriel Park 负责起诉。
被告人：
QING MING YU，又名“Allen”
年龄：54
纽约州牡蛎湾Antony ABREU，又名“Anthony”
年龄：34
纽约皇后区YOU YOU，又名“Eddie”
年龄：34
Plainview, New YorkZHE ZHANG，又名“Zack”
年龄：34
Arcadia, CaliforniaE.D.N.Y.Docket No。 22-CR-208
Yale Man Sentenced for False StatementsRead the Press Release
COUNCIL BLUFFS, IA – Kendall Dean Kipp, age 53, of Yale, was sentenced today in federal court to three years of probation for making a False Statement. He was also ordered to pay a $9,500 fine and perform 180 hours of community service over a three-year period. According to court documents, Kendall pleaded guilty to the charge on December 16, 2021.
Kipp submitted falsified documents to the State of Iowa concerning the quality of water produced for the residents of the City of Yale. This violated the provisions of the Safe Drinking Water Act and, in turn, the False Statement statute. “As a certified drinking water operator, the defendant was entrusted not only with ensuring compliance with our environmental laws, but with the health and safety of the community,” said Acting Special Agent in Charge Cate Holston of EPA’s Criminal Investigation Division in Lenexa, KS. “His actions betrayed that trust, and today’s sentencing demonstrates that EPA will pursue and hold accountable those who intentionally violate the law.”
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Criminal Division of the Environmental Protection Agency and The Iowa Department of Natural Resources investigated the case. This case was prosecuted by the United States Attorney’s Offices for the Southern District of Iowa.
Wright County Man Sentenced to 125 Months in Prison for Child PornographyRead the Press Release
MINNEAPOLIS – A Wright County man was sentenced to 125 months in prison, followed by 15 years of supervised release, ordered to pay $65,000 in restitution, $17,000 to the Amy, Vicky, and Andy Child Pornography fund, and $5,000 to the Domestic Trafficking Victims’ fund, for possession of images and videos depicting child sexual abuse, announced United States Attorney Andrew M. Luger.
According to court documents, Alexander John Odegaard, 34, was found in possession of at least 34,723 images and 555 videos depicting child pornography during the execution of an FBI search warrant at his house in September 2021. Among these were depictions of the sexual abuse of prepubescent minors, including depictions of children being physically restrained, whipped, and threatened with fire. Odegaard was on supervision for child pornography possession in Wright County at the time of the offense.
On January 19, 2022, Odegaard plead guilty to one count of possession of child pornography. He was sentenced today by U.S. District Court Judge Patrick J. Schiltz.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case is the result of an investigation by the FBI.
This case was prosecuted by Assistant U.S. Attorney Miranda E. Dugi
Wright County Man Sentenced to 125 Months in Prison for Child PornographyRead the Press Release
MINNEAPOLIS – A Wright County man was sentenced to 125 months in prison, followed by 15 years of supervised release, ordered to pay $65,000 in restitution, $17,000 to the Amy, Vicky, and Andy Child Pornography fund, and $5,000 to the Domestic Trafficking Victims’ fund, for possession of images and videos depicting child sexual abuse, announced United States Attorney Andrew M. Luger.
According to court documents, Alexander John Odegaard, 34, was found in possession of at least 34,723 images and 555 videos depicting child pornography during the execution of an FBI search warrant at his house in September 2021. Among these were depictions of the sexual abuse of prepubescent minors, including depictions of children being physically restrained, whipped, and threatened with fire. Odegaard was on supervision for child pornography possession in Wright County at the time of the offense.
On January 19, 2022, Odegaard plead guilty to one count of possession of child pornography. He was sentenced today by U.S. District Court Judge Patrick J. Schiltz.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case is the result of an investigation by the FBI.
This case was prosecuted by Assistant U.S. Attorney Miranda E. Dugi.
###
Wisconsin Woman Indicted for Sex Trafficking OffensesRead the Press Release
Richard G. Frohling, United States Attorney for the Eastern District of Wisconsin, announced that a federal grand jury has indicted Colette Amanda Mahan, also known as “Pimpin’ Amanda” and “Amanda Chase” (age 39), of Waukesha, Wisconsin, for multiple offenses related to sex trafficking.
The indictment returned by the grand jury contains ten counts. Count One alleges that beginning in at least 2004 and continuing through approximately June 2018, Mahan traveled and used facilities in interstate commerce to carry on an unlawful activity, specifically a business involving prostitution, in violation of Title 18, United States Code, Section 1952(a)(3). Count Two charges Mahan with sex trafficking of a child, in violation of Title 18, United States Code, Sections 1591(a)(1) and (b)(2). Counts Three, Five, Seven, and Nine each charge Mahan with using force, fraud, and coercion to traffic a different adult victim for commercial sex acts, while Counts Four, Six, Eight, and Ten charge her with transporting those victims to various other states with the intent that they engage in prostitution there, including Illinois, Iowa, Minnesota, North Dakota, South Dakota, Nebraska, Nevada, Missouri, Kentucky, Indiana, Georgia, and Florida.
Mahan was arraigned on the charges on May 5, 2022. On May 9, 2022, a federal magistrate judge ordered that Mahan be detained pending trial, citing the danger she would present to the community if released based on the sustained, severe pattern of physical violence, intimidation, and exploitation described by victims and witnesses, and supported by corroborating evidence.
If convicted of any of the counts of sex trafficking by force, fraud, and coercion, Mahan would face a mandatory minimum sentence of 15 years in federal prison, and a maximum sentence of up to life in prison. Mahan faces penalties of up to 40 years in prison for sex trafficking of a child, up to ten years in prison for the interstate transportation charges, and up to five years in prison for the racketeering charge. Additionally, the court can impose a fine of up to $250,000 per count as well as a term of supervised release following any term of imprisonment.
The sex trafficking charges in the indictment concern five specific victims. Additional members of the public who may have information about Mahan’s involvement in sex trafficking are encouraged to call the Federal Bureau of Investigation Milwaukee Field Office at 414-276-4684.
This case was investigated by the Federal Bureau of Investigation, the Milwaukee Police Department, and the Racine County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Erica J. Lounsberry and Laura S. Kwaterski.
The public is cautioned that an indictment is merely a formal charge that a defendant has committed one or more violations of federal law, and every defendant is presumed innocent unless, and until, proven guilty.
# # #
For further information contact:
Public Information Officer Kenneth Gales
(414) 297-1700
Follow us on Twitter
Williamsport Man Sentenced to 144 Months’ Imprisonment for Drug TraffickingRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Quran Geddy, age 26, of Williamsport, Pennsylvania, was sentenced to 144 months’ imprisonment to be followed by four years of supervised release by Chief U.S. District Court Judge Matthew W. Brann, for his role in distributing fentanyl in Lycoming County.
According to U.S. Attorney John C. Gurganus, Geddy was a founder and leader of the Williamsport “400 Gang” a/k/a “WAM Gang,” that distributed fentanyl in Lycoming County. At the hearing, Chief Judge Brann highlighted Geddy’s multiple prior drug-related convictions and continual criminal conduct despite periods of incarceration and court supervision.
Co-defendant, Darnell Cotton, 26, of Williamsport previously pleaded guilty and was sentenced to 46 months’ imprisonment for his role in distributing fentanyl in Lycoming County.
The charges stem from an investigation by the Pennsylvania State Police, the Williamsport Bureau of Police, the Lycoming County Narcotics Enforcement Unit, the Federal Bureau of Investigation, and the Drug Enforcement Administration. Assistant United States Attorney Alisan V. Martin is prosecuting the case.
This prosecution is 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 brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
# # #
Virginia man sentenced for drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Shawn Kendall Murray, of Gainesville, Virginia, was sentenced today to 33 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.
Murray, age 39, pleaded guilty in March 2020 to one count of “Possession with Intent to Distribute Cocaine Hydrochloride.” Murray admitted to having cocaine hydrochloride in November 2018 in Jefferson County.
Assistant U.S. Attorney Lara Omps-Botteicher and Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, prosecuted the case on behalf of the government. The Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
U.S. District Judge Gina M. Groh presided.
Vermont Man Arrested for Murder on the High Seas and Related Inheritance Fraud SchemeRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Nathan Carman, 28, of Vernon, Vermont, was arrested on May 10, 2022, pursuant to an eight-count indictment charging him with the 2016 murder of his mother, Linda Carman, on the high seas, and related frauds to obtain family and insurance funds. Carman will be arraigned tomorrow, May 11, 2022, before Chief United States District Judge Geoffrey W. Crawford.
According to the unsealed indictment, in 2013, Nathan Carman shot and killed his grandfather John Chakalos at Chakalos’s home in Windsor, Connecticut, and, in 2016, killed his mother Linda Carman and sunk his boat during a supposed fishing trip off the coast of Rhode Island. The indictment alleges that both killings were part of a scheme to obtain money and property from the estate of John Chakalos and related family trusts. The indictment further alleges Carman attempted to defraud the company that insured his fishing boat.
If convicted of murder on the high seas, Carman faces mandatory life imprisonment. The fraud charges each carry a potential penalty of up to 30 years of imprisonment. The indictment is an accusation only and Carman is presumed innocent until and unless proven guilty. If Carman is convicted, the Court will impose sentence based on the advisory Federal Sentencing Guidelines and the factors under 18 U.S.C. § 3553(a).
Participants in the multi-year investigation of Carman included the Federal Bureau of Investigation, the United States Coast Guard, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Connecticut State Police, the Windsor (Connecticut) Police Department, and the South Kingstown (Rhode Island) Police Department.
Assistant United States Attorneys Paul J. Van de Graaf and Nate Burris represent the United States. The Office of the Federal Public Defender represents Carman.
Vallejo Felon Sentenced to over 6 Years in Prison for Possession of a Firearm while on Federal Supervised ReleaseRead the Press Release
SACRAMENTO, Calif. — Johnathan Shane Blakeley, 28, of Vallejo, was sentenced today by U.S. District Judge John A. Mendez to a total of six years and eight months in prison for being a felon in possession of a firearm and for committing this offense while on federal supervised release, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Sept. 20, 2019, law enforcement officers attempted to stop Blakeley for a traffic violation, but Blakeley refused to yield and led police on a high-speed chase through Vallejo. After Blakeley crashed his car on Interstate 80, he got out of his car and ran through several lanes of traffic. He tried to get into the passenger seat of a car that stopped. After police apprehended Blakeley, they found a Glock 9 mm pistol with a high-capacity magazine in his car. Blakeley cannot lawfully possess firearms or ammunition because he has previously been convicted of three felony offenses. Blakeley was on federal supervised release when he committed this offense. He had just been released from federal prison less than 30 days prior, after having served a 30-month sentence for possessing a firearm as a felon.
This case was the product of an investigation by the Vallejo Police Department with assistance from the FBI’s Solano County Violent Crimes Task Force and the Solano County District Attorney’s Office. Assistant U.S. Attorney Adrian T. Kinsella prosecuted the case.
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.
U.S. Marshals, FBI Urge Public to Report Phone ScamsRead the Press Release
TYLER – The U.S. Marshals and the FBI are alerting the public of several nationwide imposter scams involving individuals claiming to be U.S. marshals, court officers, or other law enforcement officials. They are urging people to report the calls their Local FBI office and file a consumer complaint with the Federal Trade Commission, which has the ability to detect patterns of fraud from the information collected and share that data with law enforcement. During the latest series of calls, scammers identifying themselves as “Deputy John Garrison” (the name of the actual U.S. Marshal in the Eastern District of Texas) attempt to collect a fine in lieu of arrest due to a claim of identity theft, failing to report for jury duty, or other offenses. They then tell victims they can avoid arrest by withdrawing cash and transferring it to the government, purchasing a prepaid debit card such as a Green Dot card or gift card and read the card number over the phone to satisfy the fine, or by depositing cash into bitcoin ATMs. Scammers use many tactics to sound and appear credible. In many instances, scammers provide information like badge numbers, names of actual law enforcement officials and federal judges, along with courthouse addresses. They may also spoof their phone numbers to appear on caller IDs as if they are calling from a government agency or the court when they actually are not. If you believe you were a victim of such a scam, you are encouraged to report the incident to your local FBI office and to the FTC. Additionally, The Department of Justice launched the National Elder Fraud Hotline, which provides services to seniors who may be victims of financial fraud. Case managers assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. The hotline’s toll-free number is 833-FRAUD-11 (833-372-8311). Things to remember:
• U.S. MARSHALS WILL NEVER ask for credit/debit card/gift card numbers, wire transfers, or bank routing numbers, or to make bitcoin deposits for any purpose.
• NEVER divulge personal or financial information to unknown callers.
• Report scam phone calls to your local FBI office and to the FTC.
• You can remain anonymous when you report.
• Authenticate the call by calling the clerk of the court’s office of the U.S. District Court in your area and verify the court order given by the caller.
Additional information about the U.S. Marshals Service can be found at http://www.usmarshals.gov
####
America’s First Federal Law Enforcement Agency
Two Women Admit Roles in Multi-State Recovery Home Patient Brokering SchemeRead the Press Release
NEWARK, N.J. – A woman from California and a woman from Arkansas today admitted their roles in a multi-state patient brokering scheme in which they paid referral fees from their rehabilitation centers in exchange for patient referrals, Attorney for the United States Vikas Khanna announced.
Lauren B. Philhower, 33, of Los Angeles, California, and Anastasia A. Passas, 33, of Bentonville, Arkansas, each pleaded guilty by videoconference before U.S. District Judge Peter G. Sheridan to an information charging them each with one count of conspiracy to violate the Travel Act.
Five other individuals have previously pleaded guilty for their roles in the scheme. Peter Costas, of Red Bank, New Jersey, pleaded guilty in May 2020 to conspiracy to commit health care fraud; Seth Logan Welsh, of Forest Hill, Maryland, and John C. Devlin, of Baltimore, Maryland, pleaded guilty in September 2020 to the same charge; Kevin M. Dickau, of Georgtown, Texas, pleaded guilty in September 2020 to the same charge; and Dr. Akikur Mohammad, of West Hills, California, pleaded guilty in September 2020 to conspiracy to violate the Eliminating Kickbacks in Recovery Act (EKRA).
According to documents filed in the case and statements made in court:
Dickau, Welsh, Devlin, and their conspirators owned and operated a marketing company in California. They used the marketing company to help orchestrate a scheme in New Jersey, Maryland, California, and other states that involved bribing individuals addicted to heroin and other drugs to enter into drug rehabilitation centers so Welsh, Devlin, and their conspirators could generate referral fees from those facilities. Two such facilities in California that paid such referral fees were operated by Philhower and Passas.
The marketing company run by Dickau, Welsh, and Devlin maintained contractual relationships with drug treatment facilities around the country, including the ones run by Philhower and Passas. The marketing company also engaged a nationwide network of recruiters – including Costas in New Jersey – to identify and recruit potential patients, from New Jersey and other states, who were addicted to heroin or other drugs and who had robust private health insurance.
To convince drug-addicted individuals to travel to and enroll in rehabilitation when they otherwise would not have, Costas and other recruiters offered to bribe them—often as much as several thousand dollars—with the approval of Dickau, Welsh, and Devlin. Once the patients agreed to enroll in drug rehabilitation in exchange for the offered bribe, Dickau, Welsh, Devlin, and Costas would arrange and pay for cross-country travel to the drug treatment centers in California and other states, in concert with the owners of the facilities themselves, including Philhower and Passas. Costas would stay in touch with the New Jersey patients at the facilities and specifically instruct them to stay at the facilities long enough to generate referral payments, and he would pass along information to Dickau, Welsh, and Devlin about the patients’ status at the facilities. Dickau, Welsh, and Devlin would monitor the other patients they brokered by speaking to other recruiters or to the owners and employees of the drug treatment facilities themselves.
Philhower and Passas’s drug treatment facilities had a contract with the marketing company run by Dickau, Welsh, and Devlin. Their facilities and other facilities typically paid the marketing company run by Dickau, Welsh, and Devlin a fee of $5,000 to $10,000 per patient referral. Dickau, Welsh, Devlin, and their conspirators shared that money among themselves. Costas and other recruiters received approximately half that amount for each patient they brokered. Dickau, Welsh, Devlin, and their conspirators brokered scores of patients to drug treatment facilities around the country, including the ones run by Philhower and Passas, and the conspiracy caused millions of dollars of losses for health insurers.
Philhower and Passas each face a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing for Philhower is scheduled for Sept. 13, 2022, and for Passas, Sept. 14, 2022.
Attorney for the United States Khanna credited special agents of the FBI, under the direction of Acting Special Agent in Charge Michael Messenger in Newark, with the investigation leading to today’s guilty pleas. He also thanked the FBI, under the direction of Assistant Director in Charge Kristi Koons Johnson in Los Angeles, and the District Attorney’s Office in Orange County, California, for their assistance.
The government is represented by Jason S. Gould, Chief of the Health Care Fraud Unit in Newark.
Two Men Sentenced to 380 Months and 320 Months for Drug Trafficking ChargesRead the Press Release
LEXINGTON, Ky.— Two men, James Garfield Charles, 52, of Lexington, and Vincent Adams Vassor, 55, of Los Angeles, were sentenced to 380 months and 320 months in federal prison, respectively, by Chief U.S. District Judge Danny C. Reeves, after being convicted of various drug trafficking charges.
Charles and Vassor were both convicted in January 2022. Charles was convicted of Conspiracy to distribute 500 grams or more of methamphetamine, possession with intent to distribute 500 grams or more of methamphetamine, possession with intent to distribute 100 grams or more of heroin, and possession of a firearm in furtherance if his drug trafficking. Vassor was convicted of conspiracy to distribute 500 grams or more of methamphetamine and possession with intent to distribute 50 grams or more of methamphetamine. A third defendant, Antonio Cloyd, 59, also of Lexington, pled guilty to conspiracy to distribute 500 grams or more of meth and distribution of 50 grams or more of methamphetamine.
According to evidence presented at trial, from January 2021 to June 2021, Charles distributed methamphetamine and provided others with methamphetamine for their distribution. On February 8, 2021, law enforcement made a controlled purchase of methamphetamine from Vassor, which led law enforcement to Charles, who supplied the drugs. On June 8, 2021, law enforcement arranged a controlled purchase of three pounds of methamphetamine; and then, after obtaining a search warrant, law enforcement found an additional five pounds of methamphetamine and distribution quantities of multiple controlled substances, including fentanyl, heroin, cocaine, and marijuana.
Under federal law, both must serve 85 percent of their prison sentences. Upon their release from prison, they will be under the supervision of the U.S. Probation Office for five years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Filed Division; and Colonel Phillip Burnett, Commissioner, Kentucky State Police; jointly announced the sentences.
The investigation was conducted by the DEA and KSP. The United States was represented by Assistant U.S. Attorney Gary Todd Bradbury.
– END –
Two Charged with Drug Trafficking and Firearms OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that GREGORY JOHNSON, JR., age 43, of Baton Rouge, and KEITH BOURGEOIS, age 51, of New Orleans, were indicted on May 5, 2022 by a federal grand jury for violations of the Controlled Substances Act and the Gun Control Act. JOHNSON and BOURGEOIS were charged with one count of conspiracy to distribute and possess with the intent to distribute 500 grams or more of cocaine hydrochloride, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(A), 841(b)(1)(C), 846. JOHNSON and BOURGEOIS were also charged with possession of a firearm during and in relation to a drug trafficking crime, in violation of 18 U.S.C. § 924(c)(1)(A)(ii), and being a felon in possession of a firearm, in violation of 18 U.S.C. §§ 922(g)(1) and 924(a)(2).
According to the indictment, JOHNSON and BOURGEOIS conspired with each other and others to distribute cocaine hydrochloride in the Eastern District of Louisiana and elsewhere. On or about April 19, 2022, JOHNSON and BOURGEOIS possessed a Smith and Wesson Model SD .40 caliber pistol, a Taurus PT 24/7 .40 caliber pistol, a Heritage Rough Rider .45 LC caliber revolver, and a Thompson Center Arms Super 14 .35 Rem caliber pistol. JOHNSON also possessed a Springfield XD-S Mod.2 .45 caliber pistol.
If convicted of the drug offense, JOHNSON faces a mandatory minimum sentence of 10 years, up to life imprisonment, a fine of up to $8,000,000, and at least 8 years of supervised release; BOURGEOIS faces a mandatory minimum sentence of 5 years, up to 40 years of imprisonment, a fine of up to $5,000,000, and at least 4 years of supervised release. For possessing a firearm in furtherance of a drug trafficking crime, JOHNSON and BOURGEOIS face a mandatory minimum sentence of 5 years, up to life imprisonment, a fine of up to $250,000, and up to 5 years of supervised release. For being felons in possession of a firearm, JOHNSON and BOURGEOIS face a maximum sentence of 10 years of imprisonment, up to a $250,000 fine, and up to 3 years of supervised release. For each charge that JOHNSON and BOURGEOIS face, they must also pay a mandatory $100 special assessment fee.
U.S. Attorney Evans reiterated that the indictment is merely an allegation and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is being investigated by the Drug Enforcement Administration and the Louisiana State Police. Assistant United States Attorney Jonathan L. Shih is in charge of the prosecution.
Tucson Man Pleads Guilty to Distributing Fentanyl that Caused DeathRead the Press Release
TUCSON, Ariz. – Last week, Oscar S. Acuna, Jr., 35, of Tucson, Arizona, pleaded guilty to one count of distribution of fentanyl. Sentencing is scheduled for July 12, 2022, before United States District Judge Jennifer G. Zipps.
Acuna admitted that he sold fentanyl pills and black tar heroin to a young woman and her boyfriend in May 2020 at a hotel in Tucson. Shortly after ingesting part of one of the pills, the young woman began experiencing respiratory distress. Medical personnel were unable to save her. An autopsy confirmed that the cause of her death was fentanyl and heroin toxicity.
A conviction for distribution of fentanyl carries a maximum penalty of 20 years imprisonment, a fine of $1,000,000.00, or both.
Tucson Police Department and Homeland Security Investigations conducted the investigation in this case. Assistant U.S. Attorney Stefani Hepford, District of Arizona, Tucson, is handling the prosecution.
CASE NUMBER: CR-20-01564-TUC-JGZ
RELEASE NUMBER: 2022-064_Acuna# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Syracuse Man Pleads Guilty to Distribution, Receipt and Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Ted Serr, age 38, of Syracuse, pled guilty today to one count of distribution of child pornography, one count of receipt of child pornography and one count of possession of child pornography, announced United States Attorney Carla B. Freedman, Matthew Scarpino, Acting Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo, New York Field Office, and New York State Police Superintendent Kevin P. Bruen.
Serr, who remains detained pending his sentencing scheduled for September 7, 2022, before Senior United States District Judge Norman A. Mordue, faces at least 5 years and up to 60 years in prison. The Court will also impose a term of supervised release of between 5 years and life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Serr will also be required to register as a sex offender.
As part of his guilty plea, Serr admitted that he actively traded child pornography images and videos using a social media messaging application on his cellular telephone, and that on June 2, 2021, he distributed a video file depicting sexual conduct with a child who was between 8 and 11 years old. Serr further admitted that on June 8, 2021, he received a video file depicting sexual conduct with a child who was between 3 and 5 years old. Finally, Serr admitted that on June 10, 2021, he knowingly possessed 52 image files and 452 video files depicting child pornography on his cellular telephone.
Serr’s case was investigated by U.S. Homeland Security Investigations (HSI), and Investigators of the New York State Police, Computer Crimes Unit (CCU). The case is being prosecuted by Assistant U.S. Attorney Geoffrey J.L. Brown as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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 https://www.justice.gov/psc.
Spartanburg County Man Sentenced to Prison for Gun ChargeRead the Press Release
Greenville, South Carolina ---Rashad Jamal Mack, 27, of Spartanburg, was sentenced to 57 months in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition.
Evidence presented to the court showed officers responded to Oliver Street in Spartanburg in reference to a man with a gun. Officers observed a man, later identified as Mack, who met the description provided to officers. When officers approached Mack, he fled on foot and officers observed him toss a firearm as he fled which officers recovered shortly thereafter. Officers detained Mack and located a .40 caliber magazine and .40 caliber ammunition on his person. The firearm which officers recovered was loaded with .40 caliber ammunition. The firearm had previously been reported as stolen.
United States District Judge Joseph Dawson, III, sentenced Rashad Jamal Mack to 57 months in federal prison, to be followed by a 3-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Spartanburg Police Department 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.
Assistant United States Attorney Winston Marosek prosecuted the case.
###
South Bend Man Sentenced to 144 Months in PrisonRead the Press Release
SOUTH BEND – Javier Gil, 37 years old, of South Bend, Indiana, was sentenced by United States District Court Judge Damon R. Leichty on his plea of guilty to conspiracy to distribute methamphetamine and cocaine, announced United States Attorney Clifford D. Johnson.
Gil was sentenced to 144 months in prison followed by 5 years of supervised release.
According to documents in the case, Gil conspired to distribute methamphetamine and cocaine. Gil and his co-defendants took several trips to California to obtain drugs for distribution. During the final trip in December 2017, Gil and two other individuals flew to California, where they obtained 11 kilograms of methamphetamine and cocaine that were loaded into a vehicle headed for the Midwest. The drugs were discovered when the vehicle was stopped by police.
Saul Leal, Gil’s co-defendant, was sentenced to 108 months in prison earlier in April.
This case was investigated by the Drug Enforcement Administration with the assistance of the Oklahoma State Police. This case was prosecuted by Assistant United States Attorneys Joel Gabrielse and Kimberly L. Schultz.
###
Slidell Woman Charged with Theft of Government FundsRead the Press Release
NEW ORLEANS – United States Attorney Duane A. Evans announced that LINDA REED HILL (“HILL”), age 75, of Slidell, Louisiana, was charged on May 6, 2022 by a bill of information today with Theft of Government Funds in violation of Title 18, United States Code, Section 641.
According to the bill of information, beginning in or about May 1, 2004, and continuing until in or about February 28, 2021, the HILL did knowingly embezzle, steal, purloin, and convert to her use, money belonging to the United States and a department and agency thereof, namely the Social Security Administration, to which she knew she was not entitled, when she withdrew funds from a joint JP Morgan Chase account under her own name and Individual “A’s” name.
Prior to April 28, 2004, Individual “A” received SSA Retirement Survivor Insurance (“RSI”). After Individual “A’s” death, from approximately May 2004 to February 2021, Individual “A” continued to receive monthly SSA disability benefits in an amount ranging from $1,310.00 - $1,518.00 per month, totaling $319,696.00, which was deposited by SSA into a joint JP Morgan Chase Savings account, shared by HILL and Individual “A.” The monthly SSA funds were then taken from the joint account, transferred to two different accounts listed under HILL’s name, and withdrawn by HILL.
U.S. Attorney Evans reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted, HILL faces a possible maximum sentence of ten years’ imprisonment, up to three years of supervised release, up to a $250,000 fine, and a mandatory $100 special assessment fee.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Social Security Administration, Office of Inspector General with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit and Assistant U.S. Attorney Kathryn McHugh.
Sioux City Man Pleads Guilty in Federal Court to Conspiracy to Distribute MethamphetamineRead the Press Release
A Sioux City man who conspired to distribute methamphetamine pled guilty May 9, 2022, in federal court in Sioux City. Jose Luis Estrada, age 37, from Sioux City, was convicted of conspiracy to distribute methamphetamine.
In a plea agreement, Estrada admitted to conspiring to distribute large quantities of methamphetamine around the tri-state area.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Estrada remains in custody of the United States Marshal pending sentencing. Estrada faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of up to life imprisonment, a $10,000,000 fine, and 5 years up to life of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Ron Timmons and was investigated by Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4075.
Follow us on Twitter @USAO_NDIA.
Sacramento, California, Man Sentenced to 180 Months in Prison for Conspiracy to Distribute Methamphetamine and for Using a Communication Facility to Commit a Drug FelonyRead the Press Release
SPRINGFIELD, Ill. – A Sacramento, California, man, Tommy V. Tran, 28, of the 8000 block of Danbury Park Court, was sentenced on May 4, 2022, by United States District Judge Sue Myerscough to 180 months in prison for conspiracy to possess with intent to distribute over 500 grams of methamphetamine and for using a communication facility to commit a drug felony.
Judge Myerscough determined Tran, along with five co-defendants, between August 1, 2018 and February 11, 2019, knowingly conspired to possess with the intent to distribute over 500 grams of methamphetamine, a Schedule II controlled substance. Judge Myerscough specifically found Tran was responsible for over 1,400 grams of methamphetamine and over 2,500 grams of marijuana. The drugs were shipped from California to Missouri and eventually to Adams and Pike Counties in Illinois. Tran was also convicted of using a communication facility, namely a telephone, to facilitate the conspiracy to knowingly and intentionally possess with intent to distribute and the distribution of methamphetamine.
Judge Myerscough further found that Tran had acted as a supervisor, organizer, or leader in the criminal activity as he had recruited individuals to send the drugs via the United States Postal Service and commercial carriers and to pay for the drugs via electronic banking transactions. The Court also concluded Tran possessed numerous dangerous weapons.
Previously, co-defendant Shawn Davis was sentenced by Judge Myerscough to 144 months’ imprisonment. Cases against other co-defendants remain pending. Members of the public are reminded that an indictment is merely an accusation, and all defendants are presumed innocent unless proven guilty.
Tran was indicted in March 2019 and pleaded guilty in November 2021. He has remained in the custody of the United States Marshals since being arrested in California in February 2019.
The statutory penalties for conspiracy to possess with intent to distribute over 500 grams of methamphetamine are not more than life in prison, not more than a $10 million fine, and not less than five years of supervised release. The statutory penalties for use of communication facility to commit a drug felony are not more than four years in prison, not more than a $30,000 fine, and not more than three years of supervised release.
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.
Assistant United States Attorney Tanner Jacobs stated that “the successful prosecution of Tran shows how OCDETF can be used to bring together local, state, and federal resources to target and imprison high-level drug dealers.”
“Disrupting drug traffickers like Tran is a critical part of our mission and an example of the effectiveness of our task force partnerships,” said FBI Springfield Field Office Special Agent in Charge David Nanz. “The sentence handed down today reflects the tireless effort of the FBI and our law enforcement partners to investigate criminal enterprises operating within our communities and bring to justice those who endanger public health and safety.”
The West Central Illinois Task Force; Quincy Police Department; Federal Bureau of Investigation, Springfield Field Office; and Drug Enforcement Agency, St. Louis Division, investigated the case. Assistant U.S. Attorney Jacobs represented the government in the prosecution.
Rock Hill Man Pleads Guilty in Large Drug Trafficking CaseRead the Press Release
Columbia, South Carolina --- Darryl Hemphill, 34, of Rock Hill, pled guilty in federal court to conspiracy to distribute controlled substances.
Evidence presented at the change of plea hearing established that the Federal Bureau of Investigation (FBI) and Rock Hill Police Department began to investigate a group of defendants who were obtaining large amounts of cocaine, methamphetamine, heroin, and marijuana from a distributor in Southern California. Based upon their investigation, the police were able to determine that members of the group were flying to California and having the drugs shipped back to the Rock Hill and Charlotte, N.C. area. Based upon surveillance and other law enforcement techniques, the police learned that Hemphill was the leader of the group and helped introduce other members of the group to the California distributor. After the drugs were shipped back to South Carolina, Hemphill and others distributed the drugs to local dealers. Later, the group began ordering fentanyl from California which they used to make fentanyl-laced pills which were sold to users in Rock Hill, Greenville, Myrtle Beach, Charlotte, N.C., and Atlanta, Ga. Based upon their investigation, this group shipped more than 255 packages from California and distributed more than 5 kilograms of cocaine, 280 grams or more of crack cocaine, 500 grams or more of methamphetamine, 400 grams or more of fentanyl, one kilogram or more of heroin, and more than a 1000 grams of marijuana. Eighteen defendants were charged in this case. Twelve defendants have pled guilty to their involvement with five defendants awaiting trial.
Hemphill faces a maximum penalty of life in federal prison. United States District Judge Mary Geiger Lewis accepted the guilty plea and will sentence him after receiving and reviewing a sentencing report prepared by the United States Probation Office.
The case was investigated by agents of the FBI, Drug Enforcement Administration (DEA), Internal Revenue Service (IRS), Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), City of Rock Hill Police Department, York County Sheriff’s Department, and Richland County Sheriff’s Department.
Assistant U.S. Attorneys William K. Witherspoon, T. DeWayne Pearson, and Elliott Daniels are prosecuting the case.
###
Rochester Man Sentenced to 72 Months for Drug Trafficking and Firearm ChargesRead the Press Release
CONCORD - Zachary Poisson, 27, of Rochester, was sentenced on Friday to 72 months in federal prison for drug and firearm charges, United States Attorney Jane E. Young announced today.
According to court documents and statements made in court, on September 27, 2020, Somersworth police officers were dispatched to a local store for a report of an attempted theft. One of the suspects, Poisson, who was on probation at the time, was placed under arrest. A satchel strapped across his body was searched incident to arrest and revealed $4,304 and a bag containing over 67 grams of fentanyl.
Officers later searched Poisson’s vehicle, where they found a 9mm handgun and a quantity of crack cocaine. As a convicted felon, Poisson was prohibited from possessing a firearm.
“Armed drug traffickers present a significant threat to public safety in New Hampshire,” said U.S. Attorney Young. “By dealing fentanyl, this defendant was profiting from the sale of a deadly substance. This danger was further enhanced by his unlawful possession of a firearm. As this case demonstrates, we are working closely with our law enforcement partners to hold armed drug dealers accountable for their unlawful conduct.”
“Removing armed drug dealers from our streets has an immediate impact on the safety of our communities,” said Special Agent in Charge James M. Ferguson of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “ATF is absolutely committed to working with our law enforcement partners to ensure that those who bring dangerous drugs and firearms into our neighborhoods are held accountable for their actions.”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Somersworth Police Department. The case was prosecuted by Assistant U.S. Attorney Aaron Gingrande.
###
Repeat offender sentenced to six years in prison for dealing drugs, while armed with a pistol, in Seattle’s International DistrictRead the Press Release
Seattle – A 53-year-old Seattle man who has a history of drug dealing in Seattle’s Pioneer Square neighborhood, was sentenced today in U.S. District Court in Seattle to six years in prison, announced U.S. Attorney Nick Brown. Marvin Traylor was arrested in February 2021, for dealing drugs while armed with a gun. Traylor was on supervised release at the time for prior drug dealing convictions.
U.S. District Judge John C. Coughenour imposed a 5-year sentence for use of a firearm in connection with a drug trafficking crime, and an additional year in prison for violating the conditions of his supervised release.
According to records filed in the case, Traylor was released from prison and began his term of supervised release in February 2019. The U.S. Probation Office worked diligently to assist Traylor with reentry to the community. Despite that hard work, Traylor committed new offenses: domestic violence assault, and later was arrested for dealing drugs again in Pioneer Square. During the new term of supervised release, Traylor was assisted by the Veteran’s Administration and King County’s Law Enforcement Assisted Diversion (LEAD) program. However, his drug dealing continued.
In February 2021, undercover Seattle Police Officers observed Traylor making drug sales in the 12th and Jackson area of the International District. When an elderly Asian man came to the street corner to panhandle, Traylor punched the elderly man and held something in his pocket to the man’s head. He struck the man again with what was in his pocket and kicked the man. Bystanders separated the two. A short time later officers arrested Traylor and found a loaded handgun in the same pocket that Traylor had used to threaten and then strike the man. The gun had been reported stolen. Traylor had small bags of crack cocaine, heroin and methamphetamine on him at the time of the arrest.
In asking for the significant sentence, Assistant United States Attorney Vince Lombardi noted that Traylor’s lawbreaking had been “escalating” – not diminishing as it should with the involvement of Federal Probation.
The case was investigated by the Seattle Police Department, the Drug Enforcement Administration(DEA), and U.S. Probation.
The case was prosecuted by Assistant United States Attorney Vince Lombardi.
Registered Sex Offender Pleads Guilty to Possession of Child Sexual Abuse MaterialRead the Press Release
NEW ORLEANS, LA – U.S. Attorney Duane A. Evans announced today that JACOB WIEBELT (“WIEBELT”), age 39, of Ponchatoula, Louisiana, pled guilty today to a one-count bill of information for Possession of Materials Involving the Sexual Exploitation of Children, in violation of Title 18, United States Code, Sections 2252(a)(4)(B) and (B)(2).
According to documents filed in federal court, the case against WIEBELT developed as a result of a lead to the Louisiana Bureau of Investigation (“LBI”) that a user uploaded child sexual abuse material (“CSAM”) to the “Discord” messenger service. Specifically, the lead reflected that the user uploaded sexually explicit videos of prepubescent children . On November 1, 2021, Homeland Security Investigations (“HSI”) special agents along with the LBI executed a federal search warrant at WIEBELT’s home in Ponchatoula during which time WIEBELT confessed to possessing, sharing, and uploading CSAM. WIEBELT further admitted he created a Discord account and stated that other Discord users would share CSAM on the website and that he would save the CSAM to his cellular telephone. WIEBELT would then upload the saved CSAM from his phone to other Discord users.
WIEBELT faces a mandatory minimum sentence of ten (10) years and a maximum sentence of twenty (20) years imprisonment, and/or a fine of up to $250,000.00, or the greater of twice the gross gain to the defendant or twice the gross loss to any person of the offense under Title 18, United States Code, Section 3571. In addition, WIEBELT faces a term of supervised release of no less than five (5) years and up to life after his release from prison and a $100 mandatory special assessment fee. WIEBELT was previously convicted in 2011 for Receipt of Child Pornography and sentenced to five (5) years in federal prison. WIEBELT was on supervised release when he committed this new offense.
Sentencing in this matter is scheduled for August 9, 2022 before United States District Judge Jay C. Zainey.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s 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.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Louisiana Bureau of Investigation and the U.S. Department of Homeland Security, Homeland Security Investigations with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
Rapid City Man Charged with Illegal Possession of FirearmRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Possession of a Firearm by a Prohibited Person.
Chad Whitney, age 37, was indicted on April 21, 2022. He appeared before U.S. Magistrate Judge Daneta Wollmann on May 9, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge stems from Whitney, a previously convicted felon who is prohibited from possessing firearms, knowingly possessing a 30-30 Winchester single-shot break action rifle, a Smith & Wesson .22 long rifle caliber semi-automatic pistol, and a Sturm, Ruger & Company .22 long rifle caliber semi-automatic pistol in Rapid City in February 2022, which were found after Whitney came into contact with law enforcement.
The charge is merely an accusation and Whitney is presumed innocent until and unless proven guilty.
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 investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson is prosecuting the case.
Whitney was detained pending trial. A trial date has not been set.
RV Salesman Sentenced to Prison for Tax EvasionRead the Press Release
A former Arkansas resident was sentenced today to 14 months in prison for evading his federal income taxes.
According to court documents and statements made in court, Joshua Wood, formerly of Alma, instructed his employer not to withhold income taxes from his paycheck and then did not file tax returns with the IRS from 2014 through 2016. During those years, Wood earned more than $378,000 selling recreational vehicles and automobiles. When questioned by IRS investigators, Wood falsely claimed to have been shot down and wounded on a Navy mission, causing him to suffer from post-traumatic stress disorder. He also falsely stated that a CPA had prepared tax returns on his behalf.
In addition to the term of imprisonment, U.S. District Judge P.K. Holmes III ordered Wood to serve three years of supervised release and to pay approximately $99,000 in restitution.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney David Clay Fowlkes for the Western District of Arkansas made the announcement.
IRS-Criminal Investigation investigated the case.
Trial Attorneys Robert Kemins and Nicholas Schilling of the Justice Department’s Tax Division prosecuted the case.
Prolific turtle trapper sentenced to prisonRead the Press Release
ATLANTA - Nathan Horton has been sentenced for illegally trapping and exporting thousands of freshwater turtles in Georgia in violation of the Lacey Act.
“Horton robbed public lands by using illegal traps that can cause significant harm to aquatic animals and birds,” said U.S. Attorney Ryan K. Buchanan. “This tough but fair sentence should be a warning to anyone who would consider violating our nation’s wildlife protection statutes.”
“Wildlife trafficking negatively impacts our native natural resources and could possibly lead to a species’ extinction,” said the U.S. Fish and Wildlife’s Office of Law Enforcement Assistant Director Edward Grace. “Our agents worked closely with Georgia’s Department of Natural Resources and the U.S. Attorney’s Office to ensure this trafficker faced prosecution for his serious crime. This work is important so future generations of Americans may enjoy our nation’s wildlife treasures.”
“Our Law Enforcement Division is tasked with protecting Georgia’s wildlife population, and they certainly did that in this case. I am proud of the hard work and long hours our investigators, working alongside our partners at U.S. Fish and Wildlife Service, invested in bringing this criminal to justice.” Commissioner Mark Williams. Georgia Department of Natural Resources.
According to U.S. Attorney Buchanan, the charges and other information presented in court: The Lacey Act regulates the trafficking and labeling of wildlife, fish, and plants and makes it unlawful for individuals to, among other things, knowingly export and sell wildlife that has been illegally taken in violation of state law. In Georgia, the Department of Natural Resources (“GA-DNR”) regulates the collecting, trapping, exporting, trading, and selling of freshwater turtles from land belonging to the State of Georgia. Like it does with other wildlife, GA-DNR regulates both the number of freshwater turtles that may be collected and the manner in which they may be trapped.
From at least July 2015 and continuing until at least October 2017, Horton shipped thousands of freshwater turtles from Georgia to California that had been trapped using turtle nets that were illegal under Georgia law. The turtles trapped by Horton were ultimately destined for Asia, where they could be sold for substantial profits. Through his illegal trapping activities, Horton earned more than $150,000. Unlike other animals that are hunted or trapped, such as deer, rabbits, and squirrels, freshwater turtles tend to have longer life spans and produce few offspring that survive to adulthood. Due to these biological characteristics, overharvesting of turtles can cause substantial, lasting damage to overall turtle populations.
Nathan Horton, 37, of Orangeburg, S.C., has been sentenced to one year and a day in prison to be followed by three years of supervised release, and ordered to pay a fine in the amount of $10,000. Horton was also ordered to complete 200 hours of community service and he was banned from trapping turtles and other wildlife for the entirety of his term of supervised release. Horton was convicted on these charges on December 8, 2021, after he pleaded guilty.
This case was investigated by the U.S. Fish and Wildlife Service Office of Law Enforcement, Georgia Department of Natural Resources, South Carolina Department of Natural Resources, and California Department of Fish and Wildlife.
Assistant U.S. Attorneys Alex Sistla and Samir Kaushal prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Portland Man Sentenced to Federal Prison for Bank Fraud SchemeRead the Press Release
PORTLAND, Ore.—A Portland man was sentenced to federal prison today for using a residential property he did not own as collateral for obtaining a bank loan worth more than $316,000.
Alireza Zamanizadeh, aka Ali Zamani, 63, was sentenced to 18 months in federal prison and five years’ supervised release. The court also ordered Zamanizadeh to pay $400,000 in restitution to the owner of the property.
According to court documents, on or about February 17, 2017, Zamanizadeh filed a quitclaim deed in Deschutes County, transferring a residential property in Bend, Oregon to his business for one dollar without the property owner’s consent. A quitclaim deed is a document used to quickly transfer the ownership of real property from one party to another.
Zamanizadeh then used the property as collateral for obtaining a loan worth $316,092 from a mortgage lender and forged the property owner’s signature on a statement verifying the property transfer. Based on his false representations, the mortgage company approved the loan and transferred the funds to Zamanizadeh’s bank account. After Zamanizadeh defaulted on the loan, the true owner of the property purchased the property out of foreclosure for $400,000.
On June 14, 2021, Zamanizadeh was charged by criminal information with bank fraud and aggravated identity theft. On September 14, 2021, he pleaded guilty to bank fraud.
U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by IRS-Criminal Investigation with assistance from the FBI. It was prosecuted by Katherine A. Rykken, Assistant U.S. Attorney for the District of Oregon.
Phoenix Man Charged After Seizure of 178,000 Suspected Fentanyl Pills, Guns, and Other DrugsRead the Press Release
PHOENIX, Ariz. – Marco Antonio Medina, 29, of Phoenix, Arizona, was charged last week via criminal complaint with three counts of possession of controlled substances for distribution and one count of possession of a firearm by a felon. Medina was arrested on May 2, 2022 and had his initial appearance in federal court last Wednesday.
The complaint alleges three violations of United States law related to Medina’s intended distribution of fentanyl, methamphetamine, and heroin, and one violation of United States law related to Medina’s possession of a handgun. It further alleges that, on May 2, 2022, Medina was observed participating in a suspected drug transaction in Phoenix, Arizona. United States Drug Enforcement Administration (DEA) agents and Task Force Officers later determined that a car Medina had been driving contained 1.4 kilograms of methamphetamine and approximately 16,000 pills that are suspected to contain fentanyl. Medina was also in possession of a handgun on his person, and three other firearms were found in the vehicle. A subsequent search of Medina’s apartment led to the seizure of approximately 16.2 kilograms of pills suspected to contain fentanyl (approximately 162,000 pills), over 3.4 kilograms of methamphetamine, over one kilogram of powdered fentanyl, and nearly half a kilogram of heroin. Medina is a convicted felon and, at the time of his arrest, had three outstanding felony warrants for his arrest.
A criminal complaint is merely an allegation of criminal conduct, not evidence. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
The DEA is conducting the investigation in this case, with assistance from the Goodyear Police Department. The Bureau of Alcohol, Tobacco, Firearms and Explosives also assisted by investigating the seized firearms. The United States Attorney’s Office, District of Arizona, Phoenix, is handling the prosecution.
CASE NUMBER: 22-8138MJ
RELEASE NUMBER: 2022-065_Medina# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Omaha Man Sentenced to Federal Prison for Methamphetamine OffenseRead the Press Release
COUNCIL BLUFFS, IA – Jeremy Joel Binns, age 44, of Omaha, was sentenced yesterday in federal court to 144 months in prison for Conspiracy to Distribute a Controlled Substance. His prison term will be followed by five years of supervised release. According to court documents, Binns pleaded guilty to the charge on November 18, 2021.
In March of 2021, Binns was arrested for selling methamphetamine at a gas station in Council Bluffs. The following month, Binns was again arrested with methamphetamine in Omaha following a high-speed chase. He was indicted by a federal grand jury in May 2021.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Council Bluffs Police Department, Southwest Iowa Narcotics Enforcement Task Force, Iowa Division of Narcotics Enforcement, Nebraska State Patrol, and the Drug Enforcement Administration investigated the case. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Oakland Resident Faces Fentanyl Distribution Charge Following Tenderloin ArrestRead the Press Release
SAN FRANCISCO – Mainor Escoto Escoto appeared in United States District Court today and was ordered detained in custody on a charge of possession with the intent to distribute fentanyl, announced United States Attorney Stephanie M. Hinds and Drug Enforcement Administration (DEA) Special Agent in Charge Wade R. Shannon.
The indictment against Escoto, 20, who is last known to reside in Oakland, arose following his arrest in San Francisco’s Tenderloin District on February 16, 2022. In a memo seeking his detention, the government described that Escoto was arrested based on a warrant when he was located on February 16 on the corner of Eddy and Larkin Streets. Police searched Escoto following his arrest and found numerous sandwich baggies of fentanyl in the pouch pocket of the sweatshirt he wore and in a backpack he had on. The fentanyl in both the sweatshirt’s pouch pocket and the backpack varied in color – including white, green, purple, and pink – and weighed 345 grams in total. According to the government’s memo, fentanyl sells on the street for approximately $30 per gram.
The indictment charges Escoto with one count of possession with the intent to distribute fentanyl in violation of 21 U.S.C. §§ 841(a)(1), (b)(1)(C). The maximum statutory penalty for the charge is 20 years of imprisonment, with a minimum of three years of supervision following release from prison. However, any sentence following a conviction would be imposed by a court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The charges contained in the indictment are only allegations. As in any criminal case, the defendant is presumed innocent unless and until proven guilty in a court of law.
Escoto made his federal court appearance today in United States District Court in San Francisco before United States Magistrate Judge Joseph C. Spero. His next court appearance is a status hearing scheduled for May 23, 2022, at 2 p.m. before United States District Judge Vince Chhabria.
Assistant U.S. Attorney Christa Hall is prosecuting the case, with the assistance of Veronica Hernandez. The prosecution is the result of an investigation by DEA and the San Francisco Police Department.
Norris Man Sentenced for Abusive Sexual ContactRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Norris, South Dakota, man convicted of Abusive Sexual Contact was sentenced on May 9, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Harold White Hat, age 38, was sentenced to 30 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
White Hat was indicted by a federal grand jury on August 10, 2021. He pled guilty on January 31, 2022.
The conviction stemmed from an incident that occurred in the early morning hours of November 3, 2020, at a residence in Norris. The minor victim had gone to sleep in her bed the previous evening and subsequently awoke to find White Hat was groping her.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
White Hat was immediately turned over to the custody of the U.S. Marshals Service.
Native of Dominican Republic Convicted for Making Materially False Statements to Government Agents at the Cyril E. King AirportRead the Press Release
St. Thomas, USVI – United States Attorney Delia L. Smith announced today that after a two-day jury trial, Luis Miguel Lopez, a 28-year-old citizen of the Dominican Republic, was convicted of making a materially false, fictitious, or fraudulent statement in a matter within the jurisdiction of the executive branch of the Government of the United States. Following Lopez’s conviction, District Court Chief Judge Robert A. Molloy ordered that Lopez be taken into the custody of the U.S. Marshals Service.
According to the evidence presented at trial, on February 11, 2022, Lopez presented himself to Customs and Border Protection ("CBP") officers at the Cyril E. King Airport on St. Thomas. There, he handed the CBP officers what purported to be a Puerto Rico driver’s license bearing the name of another individual. Lopez told officers he was a United States citizen born in Puerto Rico. Lopez filled out a Customs form using the same false name seen on the Puerto Rico driver’s license. An inspection of Lopez’s baggage revealed that he also possessed a Social Security card and birth certificate bearing the false name. Record checks conducted by CBP Officers revealed that the driver’s license and Social Security numbers Lopez was using were issued to other individuals. Further, expert testimony presented at trial confirmed that all the documents Lopez used and possessed were counterfeit.
Making a materially false, fictitious, or fraudulent statement carries a maximum sentence of 5 years in prison. Chief Judge Molloy set Lopez’s sentencing hearing for September 2, 2022.
This case was investigated by Homeland Security Investigations and CBP. It is being prosecuted by Criminal Chief Jill Koster.
Montgomery County “Goody Bag” Pill Mill Doctor Sentenced to 20 Years in PrisonRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Andrew Berkowitz, 62, of Huntington Valley, PA was sentenced to 20 years in prison, five years supervised release, and was ordered to pay a $40,000 fine and almost $4 million in restitution by United States District Judge Paul Diamond for running a prescription “pill mill” from his medical practice which he operated in Philadelphia under the name ‘A+ Pain Management.’ Judge Diamond also ordered that the defendant shall forfeit fraud proceeds of approximately $3.4 million and four real properties.
In January 2020, Berkowitz pleaded guilty to 19 counts of health care fraud, and 23 counts of distributing oxycodone outside the course of professional practice and without a legitimate medical purpose, charges for which he was indicted in June 2019. The defendant fraudulently billed insurers for medically unnecessary physical therapy, acupuncture, chiropractic adjustments, and prescription drugs, and for treatments not provided at all. Regardless of their complaint, at every visit patients received a “goodie bag” which was a tote bag filled with prescription drugs for which Berkowitz submitted pharmacy claims through his company, Bucks Philadelphia Medical Care Group. The “goodie bags” typically included a combination of drugs including topical analgesics such as Relyyt and/or Lidocaine; muscle relaxers such as Chloroxazon and/or Cyclobenzaprine; anti-inflammatories such as Celecoxib and/or Nalfon; and Schedule IV controlled substances such as Tramadol for pain; and/or Eszopiclone and Quazepam for insomnia and anxiety. The defendant obtained payments from insurers of more than $4,000 for each bag by falsely asserting that the drugs were for the benefit of the patient when, in reality, Berkowitz was the real beneficiary.
As part of the fraud scheme, Berkowitz also prescribed oxycodone to “pill-seeking” patients in exchange for their tacit approval that he would submit excessive claims to the patient’s insurer for the “goodie bag” and other medically unnecessary services. From 2015 through 2018, Berkowitz obtained more than an estimated $4 million in fraudulent proceeds from his scheme.
The defendant is also subject to a civil judgement in which he is obligated to pay approximately $1.8 million as a result of civil False Claims Act liability for false claims submitted to Medicare, and subject to a permanent prohibition on Berkowitz ever prescribing, distributing or dispensing controlled substances ever again.
“Doctors who dare engage in healthcare fraud and drug diversion, two drivers of the opioid epidemic ravaging our communities, should heed this sentence as a warning that they will be held responsible, criminally and financially,” said U.S. Attorney Williams. “Our office will continue to root out healthcare fraud and drug diversion in the Eastern District of Pennsylvania in all its forms.”
“Doctors are supposed to treat illness, not feed it,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “Andrew Berkowitz prescribed patients unnecessary pills and handed out opioids to addicts. He then made millions by billing Medicare and other insurance programs for these drugs and for treatments that never happened. Health care fraud is costly on many levels, whether it’s the unlawful diversion of Medicare funds, medication, or both. That’s why these cases are a priority for the FBI and our partners on the Health Care Fraud Task Force.”
The case was investigated by the Federal Bureau of Investigation; the Philadelphia Police Department; the U.S. Department of Health and Human Services – Office of Inspector General; the U.S. Office of Personnel Management – Office of Inspector General; and the U.S. Department of Labor – Office of Inspector General. The criminal charges are being prosecuted by Assistant United States Attorney M. Beth Leahy. The related civil investigation, litigation, and resolution are being handled by Assistant United States Attorneys Anthony D. Scicchitano and Sarah Grieb.
Missoula woman admits drug trafficking, firearms crimes after officers seize more than seven pounds of meth, fentanyl and gunsRead the Press Release
MISSOULA — A Missoula woman today admitted to trafficking methamphetamine and fentanyl after law enforcement seized more than seven pounds of meth, fentanyl and firearms during the investigation, U.S. Attorney Leif M. Johnson said.
Savannah Shoshana Smith, 37, pleaded guilty to possession with intent to distribute meth and fentanyl and to drug user and addict in possession of firearms and ammunition. Smith faces a mandatory minimum of five years to life in prison, a $5 million fine and at least four years of supervised release on the drug charge and a maximum of 10 years in prison, a $250,000 fine and three years of supervised release on the firearms charge.
U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for Aug. 24 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Smith was released pending further proceedings.
In court documents, the government alleged that law enforcement served a search warrant on the residence of Smith and co-defendant Carlos Aguirre on Oct. 6, 2021. Officers also conducted a traffic stop of Aguirre to execute a search warrant on the car and found a quarter pound of meth packaged for sale and a 9mm handgun that Aguirre had removed from his body when he was stopped. Inside the residence, officers found approximately 6.9 pounds of meth and fentanyl pills. Seven pounds of meth is the equivalent of about 25,368 doses. Law enforcement also found 20 firearms throughout the residence. Records showed that Smith purchased 22 firearms between February 2020 and August 2021. Smith told officers that Aguirre would give her meth and she would trade the meth for opiate pills. Smith admitted she was addicted to opioids. Aguirre previously pleaded guilty to possession with intent to distribute meth and fentanyl and to possession of a firearm in furtherance of a drug trafficking crime and is pending sentencing.
Assistant U.S. Attorney Jennifer S. Clark is prosecuting the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
XXX