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25 April 2022
Former Co-Owner of Vikings Pleads Guilty to Providing Shadow Banking Services to Cryptocurrency ExchangesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that earlier today, REGINALD FOWLER pled guilty to bank fraud, bank fraud conspiracy, operation of an unlicensed money transmitting business, conspiracy to operate an unlicensed money transmitting business, and wire fraud. FOWLER committed the bank fraud and unlicensed money transmitting business offenses in connection with his work for Crypto Capital, a payment processor that provided fiat-currency banking services to various cryptocurrency exchanges through a series of bank accounts opened under false pretenses. As part of the scheme, Crypto Capital and FOWLER fraudulently processed transactions equaling approximately $750 million in deposits and withdrawals from such exchanges. In addition, FOWLER defrauded the Alliance of American Football (“AAF”) by, among other things, claiming that millions of dollars belonging to Crypto Capital and/or Global Trading Solutions customers were instead his own assets, which he was free to use to secure his investments in the AAF. Based on those misrepresentations, FOWLER acquired a significant investment stake in the AAF yet was unable to fund that investment, which contributed to the AAF’s demise.
Two of FOWLER’s co-conspirators, OZ YOSEF and RAVID YOSEF, remain at large.
U.S. Attorney Damian Williams said: “Reginald Fowler helped process hundreds of millions of dollars of unregulated transactions on behalf of numerous cryptocurrency exchanges, skirting the anti-money laundering safeguards required of licensed institutions that ensure the U.S. financial system is not used for criminal purposes, and lying to U.S. banks whose own policies would otherwise have prevented it. As the trade in cryptocurrencies continues to grow, it is essential that it be conducted in a lawful and transparent manner that does not permit its use by criminal actors. Today’s guilty plea reflects this Office’s continued commitment to the investigation and prosecution of those in the cryptocurrency sector who seek to continue to operate in the shadows.”
According to the allegations in the Indictment, the Superseding Indictments, and statements made during the plea and other proceedings in the case[1]:
In or about February 2018, REGINALD FOWLER established Global Trading Solutions LLC (“GTS”) and began working with Crypto Capital and other related companies (the “Crypto Companies”) , which were operated by Israeli nationals OZ YOSEF and RAVID YOSEF, among others. The Crypto Companies marketed themselves as providing a seamless way for individuals to exchange government-backed, or “fiat,” currency for cryptocurrency. The Crypto Companies offered these services at a time when traditional banks were reluctant to handle cryptocurrency transactions. Because of the demand for the Crypto Companies’ services, a number of cryptocurrency exchanges began using the Crypto Companies to process their fiat-to-cryptocurrency transactions.
In reality, the Crypto Companies lied to banks in order to open accounts that were used to process cryptocurrency transactions without the banks’ knowledge. FOWLER opened dozens of such accounts in the United States and around the world. In general, he represented to banks that GTS and related companies were engaged in real estate and that funds coming into the GTS bank accounts represented real estate investments or rental payments from properties GTS developed. FOWLER did not disclose GTS’s involvement with the Crypto Companies and the fact that it was operating as a payment processor for hundreds of millions of dollars in cryptocurrency transactions.
Additionally, FOWLER directed other individuals to include false information on wire transfer instructions to further deceive banks about the nature of GTS’s business. These false statements would suggest that outgoing wires were related to real estate transactions. In email communications with RAVID YOSEF and others, the co-conspirators discussed the need to ensure that wire narratives were consistent with the false information FOWLER had provided banks at account opening. As banks became aware of FOWLER’s misrepresentations, they shut down GTS bank accounts and FOWLER would move the scheme to new banks. In less than ten months, FOWLER processed approximately $750 million in cryptocurrency transactions in various currencies, nearly $600 million in United States dollars.
Even though FOWLER was receiving and directing monetary transactions on behalf of third parties, neither he, GTS, nor any of the Crypto Companies were ever licensed as a money transmitting business in the United States, as required by federal law.
Additionally, in 2018, FOWLER defrauded the AAF, a short-lived professional football league, in connection with his acquisition of a significant ownership stake in the league. In the course of negotiating his investment in the AAF, FOWLER falsely claimed personal ownership of GTS funds that in fact belonged to clients of FOWLER’s illegal money transmission service established in support of the Crypto Companies. As he did when opening bank accounts, FOWLER told AAF executives that the funds in the GTS bank accounts derived from real estate investments as well as government contracts and that the tens of millions of dollars in the GTS accounts were liquid assets he could use to invest in the AAF. FOWLER did not disclose his involvement with the Crypto Companies. Moreover, although FOWLER experienced account closures and government seizure of GTS funds in the month leading up to his investment in the AAF, FOWLER did not disclose those facts to the AAF. FOWLER acquired a significant investment stake in the AAF in November 2018, yet was unable to fund that investment.
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FOWLER, 63, of Chandler, Arizona, pled guilty today to one count of bank fraud, one count of conspiracy to commit bank fraud, one count of operating an unlicensed money transmitting business, one count of conspiracy to operate an unlicensed money transmitting business, and one count of wire fraud. These offenses carry a total maximum sentence of 90 years in prison.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as FOWLER’s sentence will be determined by the judge.
FOWLER is scheduled to be sentenced by U.S. District Judge Andrew Carter at 2:00pm on August 30, 2022.
Mr. Williams praised the outstanding investigative work of Special Agents from Federal Bureau of Investigation’s New York Money Laundering Investigation Squad, and Special Agents from the Internal Revenue Service-Criminal Investigations.
The prosecution of this case is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant United States Attorneys Jessica Fender, Jessica Greenwood, Samuel Raymond, Samuel Rothschild, and Sheb Swett are in charge of the prosecution.
[1] As to FOWLER’s co-defendants, the entirety of the text of the Indictments and the descriptions in the Indictments set forth below constitute only allegations, and every fact described should be treated as an allegation.
Festus man pleads guilty to stealing mail and fraud chargesRead the Press Release
ST. LOUIS – United States District Court Judge Sarah E. Pitlyk accepted a plea of guilty from Ryan Kanzler on today’s date, for conspiracy to commit bank fraud, theft of U.S. mail and access device fraud. Judge Pitlyk set sentencing for August 10, 2022. At sentencing, Kanzler is subject to imprisonment of not more than 5 years, for his plea to conspiracy and theft of mail and a fine of not more than $250,000, or both such imprisonment and fine; and for access device fraud is imprisonment of not more than 15 years, a fine of not more than $250,000, or both such imprisonment and fine.
According to the plea agreement, beginning from at least October 14, 2020, Kanzler and a co-defendant were engaged in a scheme to defraud several financial institutions. Kanzler and his co-defendant stole mail from private residence and business mailboxes on a rather large scale.
They would then search the stolen mail for checks and personal identifying information. Stolen checks were often altered to make the payee one of the participants, as well as increasing the amount. Kanzler would then present the stolen and altered checks for payment at various banks in the St. Louis area.
Kanzler also used credit cards fraudulently obtained by utilizing personal identifying information obtained in the stolen mail. For example, in January 2020, a victim reported that his mail had been stolen. Kanzler obtained a Lowe’s credit card and used that card between January 21 and January 29, 2021, to purchase items exceeding $1,000 in that time period at various Lowe’s locations in the St. Louis area.
The case was investigated by the United States Postal Inspection Service with assistance from St. Louis County, Creve Coeur, Kirkwood, Arnold, Chesterfield and Sunset Hills Police Departments.
Felon That Attempted to Run from Law Enforcement and Then Found with Stolen Gun Sentenced to Federal PrisonRead the Press Release
A convicted felon who possessed a stolen gun was sentenced today to more than three years in federal prison.
Alex Richard VanErp, age 28, from Faribault, Minnesota, received the prison term after a September 16, 2021 guilty plea to possession of a firearm by a felon.
Facts presented in the case show that VanErp was identified as being involved in a number of thefts in Wisconsin. Law enforcement in Prairie du Chien, Wisconsin, posted video from one of the thefts on their Facebook page. VanErp was identified from the video by store employees at an implement store in Fayette County, Iowa, while Vanerp was making a purchase. When law enforcement arrived on scene, VanErp attempted to run out of the store and had to be tased to stop the attempted escape. VanErp possessed a stolen firearm taken in one of the thefts from Wisconsin and also possessed methamphetamine. VanErp had previously been convicted of a felony offense involving a financial transaction.
VanErp was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. VanErp was sentenced to 37 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
VanErp is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and investigated by the Fayette County Sheriff’s Office and the Prairie Du Chien Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 6:21-cr-2043.Follow us on Twitter @USAO_NDIA.
Federal Jury Convicts St. Paul Felon for Illegal Possession of a FirearmRead the Press Release
ST. PAUL, Minn. – A federal jury convicted a St. Paul man of illegal possession of a firearm as a felon, announced U.S. Attorney Andrew M. Luger.
Following a three-day trial before U.S. District Judge Nancy E. Brasel, Samson Diamonte Xavior-Smith, 27, was convicted on April 21, 2022, of one count of being a felon in possession of a firearm. A sentencing hearing will be scheduled at a later time.
According to the evidence presented at trial, on June 25, 2021, the St. Paul Police Department received a 911 call reporting a pedestrian, later identified as Xavior-Smith, had pointed a gun at the driver of a stopped vehicle on the Robert Street Bridge. St. Paul Police officers responded to the scene and, after a foot chase, apprehended Xavior-Smith at the intersection of 4th Street and Cedar Street. During the chase, officers observed, and city surveillance cameras recorded, Xavior-Smith place an object into a trash can. Immediately after his arrest, officers looked inside that trash can and recovered a Sig Sauer, Model P290RS, 9mm pistol from the trash can. Subsequent testing found Xavior-Smith’s DNA on the gun.
Because Xavior-Smith has multiple prior felony convictions in Ramsey and Washington Counties, he is prohibited under federal law from possessing firearms or ammunition at any time.
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.
This case was the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the St. Paul Police Department.
This case was tried by Assistant U.S. Attorney Benjamin Bejar.
Fayette County Man Pleads Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A Fayette County man pleaded guilty today to distribution of methamphetamine.
According to court documents and statements made in court, David Shannon Browning, 57, of Oak Hill, admitted to selling approximately 6.79 grams of methamphetamine to a confidential informant at his residence on January 4, 2022. Browning was on supervised release for a 2010 conviction for aiding and abetting the distribution of oxycodone when he committed this offense.
Browning is scheduled to be sentenced on July 28, 2022, and faces a maximum penalty of 22 years in prison, three years of supervised release and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the Drug Enforcement Administration (DEA), the Central West Virginia Drug Task Force and the Oak Hill Police Department for conducting the investigation.
Senior United States District Judge John T. Copenhaver, Jr. presided over the hearing. Assistant United States Attorney Nick Miller is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-35.
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Father, daughter tax preparers admit income tax filing fraudRead the Press Release
AUGUSTA, GA: An Augusta man and his daughter await sentencing after admitting they filed fraudulently inflated tax returns on behalf of clients.
Ezra Hatcher Sr., 68, and Sherry Hatcher, 42, both of Augusta, pled guilty in U.S. District Court in advance of a trial scheduled for U.S. District Court, said David H. Estes, U.S. Attorney for the Southern District of Georgia. Ezra Hatcher pled guilty to Conspiracy to Defraud the United States, while Sherry Hatcher pled guilty to Aiding and Assisting in the Filing of a False Tax Return.
“When citizens seek professional assistance in navigating our nation’s often-complex tax system, professional preparers provide substantial help in completing these necessary tasks,” said U.S. Attorney Estes. “We and our law enforcement partners will not tolerate the illegal acts of preparers who violate their fiduciary duty as a means to enrich themselves.”
As described in court documents and testimony, the IRS conducted an investigation of tax preparation services operated by Ezra Hatcher and Sherry Hatcher. The investigation determined that from 2014 to 2018, the two services filed 21 tax returns on behalf of seven individuals, knowing the returns contained false and fraudulent information relating to Schedule C expenses, income, and earned income credits. Altogether, the returns caused the IRS to issue excess refunds amounting to nearly $75,000.
The guilty plea subjects Ezra Hatcher to a possible statutory penalty of up to five years in prison, and he agrees to pay restitution of $69,682. Sherry Hatcher’s guilty plea subjects her to a possible statutory penalty of up to three years in prison, and she agrees to pay restitution of $4,141. In addition, each defendant is permanently prohibited from preparing or filing federal tax returns for anyone other than themselves.
The case was investigated by IRS-Criminal Investigations, and prosecuted for the United States by Assistant U.S. Attorneys Henry W. Syms Jr. and Jennifer A Stanley.
Eugene White Supremacist Sentenced to Federal Prison for Mailing Threatening CommunicationsRead the Press Release
EUGENE, Ore.—A Eugene area white supremacist was sentenced to federal prison today for mailing threatening communications to a former teacher whom he targeted in part because of her sexual orientation.
Gary Franklin, 58, was sentenced to 48 months in federal prison and three years’ supervised release.
“Mr. Franklin’s harassment of the victim in this case was hateful and downright disturbing. Further, the bigoted and racist ideology he espoused and lauded have no place in our community. Nobody should have to live in fear of depraved individuals like Mr. Franklin. Mailing threatening communications is a serious federal crime and will continue to be a top priority for our office,” said Scott Erik Asphaug, U.S. Attorney for the District of Oregon.
“There is no way to undo the damage Gary Franklin did to the victim and her family with his hateful, repulsive, and threatening behavior,” said Kieran L. Ramsey, Special Agent in Charge of the FBI in Oregon. “The FBI hopes today’s prison sentence can provide them some sense of comfort. No one should ever be targeted or threatened because of who they are. This kind of cruel and hate-filled terror has no place in our community and it won’t be tolerated.”
“Hateful and racist speech hold no place in our society,” said Anthony Galetti, Inspector in Charge of the U.S. Postal Inspection Service Seattle Division. “The U.S. Mail remains one of the primary means of communication and commerce in our country, and Mr. Franklin took advantage of that to spread hate and fear to his victim. We hope today’s sentencing sends a clear message that these kinds of mailings will not be tolerated and the U.S Postal Inspection Service will continue to work towards that mission.”
According to court documents, between December 2020 and May 2021, Franklin sent two threatening letters to a former community college professor of his whom he targeted in part because of her sexual orientation. The first letter contained a printout of what appeared to be a deceased, mutilated female. Handwritten wording above and below the image included racial and sexual orientation slurs and stated, “What I’d like to do to you.” The second letter contained another photograph of a deceased, decapitated female in a black trunk. The handwritten wording around the image stated that the photograph represented Franklin’s fantasy of what he wanted to do to the victim.
A forensic analysis conducted by the Oregon State Police Laboratory found Franklin’s fingerprints on the first letter. In May 2021, the FBI subsequently executed a search warrant on Franklin’s Eugene residence. Agents found and seized body armor, a boot spike, multiple knives, collapsible batons, a monkey’s fist flail, a set of brass knuckles, a 12-gauge shotgun shell, metal chain mail, and a black trunk like one depicted in his second letter. Agents also uncovered piles of literature and handbooks on death, dismemberment, murder, torture, and sexually-motivated killings.
As the investigation continued, authorities discovered evidence that Franklin was a white supremacist and may have been motivated by white supremacist and neo-Nazi ideologies. Open source and social media research revealed that Franklin was the administrator of a membership website called Aryan Folk. Investigators also discovered a Twitter account for Aryan Folk with a bio stating “I run a website for White Nationalist[s].” While searching Franklin’s residence, agents also discovered multiple photographs of Franklin with items and clothing bearing Nazi and white supremacist symbols.
On May 20, 2021, a federal grand jury in Eugene returned a three-count indictment charging Franklin with stalking and mailing threatening communications. On January 4, 2022, Franklin pleaded guilty to two counts of mailing threatening communications.
U.S. Attorney Asphaug, Special Agent in Charge Ramsey, and Inspector in Charge Galetti made the announcement.
This case was investigated by the FBI and U.S. Postal Inspection Service. It was prosecuted by Adam E. Delph, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about real or perceived threats of violence should call the FBI at (503) 224-4181 or submit a tip online at tips.fbi.gov. For immediate threats to life and safety, please call 9-1-1.
Eau Claire Man Sentenced to 34 Months for Illegal Gun PossessionRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that on April 22, Steven Sorensen, 43, Eau Claire, Wisconsin pleaded guilty and was sentenced by Chief U.S. District Judge James D. Peterson to 34 months in prison for being a felon in possession of a firearm.
On March 5, 2021, Sorensen stole a car and found a handgun in the driver’s door pocket. He took the gun from the car and, as police were investigating and arrested his girlfriend, he hid the gun on a shelf in Goodwill store in Eau Claire. Sorensen was arrested and the keys to the stolen car were in his pocket. He initially denied knowing anything about a gun, but later showed officers where he left it. Police found the gun laying on the bottom shelf behind an electronic item and noted that there were many people and children in the store. Sorensen had previously been convicted in 2015 of forgery and felony bail jumping. He was also on probation at the time of the federal offense.
At sentencing, Judge Peterson said that he had a hard time accepting Sorensen’s story that he was trying to turn the gun over to someone in the Goodwill for safekeeping. Judge Peterson called Sorensen an out-of-control methamphetamine addict and observed that the state system had exhausted its resources trying to get him to address his addiction. Judge Peterson also noted Sorensen’s lengthy criminal history and said that until he was able to deal with his drug addiction, he would be a menace to society. Sorensen was also ordered to serve three years of supervised release.
The charge against Sorensen was the result of an investigation conducted by Eau Claire Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution of the case has been handled by Assistant U.S. Attorney Corey Stephan.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
EDVA Commemorates National Crime Victims’ Rights WeekRead the Press Release
ALEXANDRIA, Va. – The U.S. Attorney’s Office for the Eastern District of Virginia joins communities nationwide in commemorating National Crime Victims’ Rights Week (NCVRW) from April 24–30, 2022. The Justice Department’s Office for Victims of Crime’s (OVC) theme this year, “Rights, access, equity, for all victims,” emphasizes the importance of helping crime survivors find their justice by enforcing victims’ rights, expanding access to services for victims and ensuring equity and inclusion for all.
“This week we reflect on our responsibilities to the victims of crime in our communities,” said Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia. “We express gratitude for the ones who come forward, often having to revisit traumatic events in order to report or testify. We are also conscious that many victims, out of fear, shame, or distrust in the legal system, do not report crimes to law enforcement. It is our responsibility to those victims to reach out, to listen, and to accommodate their needs so that we can accord their rights and hopefully prevent future crimes.”
According to OVC, NCVRW is a time to renew our commitment to serving victims of crime, acknowledge achievements made in the victim services field, and remember crime victims and survivors. Crime victims are our family, friends, neighbors, and community members. While we can never truly understand the depth of their trauma and the impact on their lives, we can ensure that equitable, inclusive, culturally appropriate, and gender responsive services are available to help them. By enforcing victims’ rights, expanding access to services, and upholding principles of equity and inclusivity for all, we can enable crime victims to find the justice they seek, in whatever form that might take.
OVC leads communities throughout the country in their annual observances of NCVRW, during which victim advocacy organizations, community groups, and state, local, and tribal agencies traditionally host rallies, candlelight vigils, and other events to raise awareness of victims’ rights and services. For more information about this year’s NCVRW and how to assist victims in your own community, please visit the National Crime Victims’ Rights Week website.
The following events will be held in the local area to commemorate NCVRW 2022:
- NCVRW Candlelight Vigil on Thursday April 28, 2022, from 6:30 p.m. – 7:30 p.m. on the National Mall, Washington D.C.
- NCRVW Service Awards Ceremony on Friday April 29, 2022, from 3 p.m. – 5 p.m. at the Constitution Gardens on the National Mall, Washington D.C.
- The 2022 “Unsung Heroes” awards ceremony, hosted by the Virginia Office of the Attorney General on Tuesday, April 26 in Richmond to recognize outstanding service and support to victims of crime in the Commonwealth. For more information about the event, please visit here.
To commemorate NCVRW this year, the U.S. Attorney’s Office for the Eastern District of Virginia is holding a clothing drive to donate garments and toiletries to a local non-profit organization that assists victims in crisis.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
District Man Sentenced to Prison for Killing Man Outside Apartment ComplexRead the Press Release
WASHINGTON - Kevin Goggins, 22, of Washington, D.C., was sentenced today to eight years in prison for fatally shooting a man outside an apartment complex in Southeast Washington, announced U.S. Attorney Matthew M. Graves and Robert J. Contee III, Chief of the Metropolitan Police Department (MPD).
Goggins pleaded guilty in February 2022, in the Superior Court of the District of Columbia, to voluntary manslaughter while armed. The plea, which was contingent upon the Court’s approval, called for an agreed-upon sentence of eight to nine years in prison, to be followed by five years of supervised release. The Honorable Rainey R. Brandt accepted the plea and sentenced the defendant accordingly.
According to plea documents, on Oct. 9, 2020, at approximately 10 p.m., Goggins exited a vehicle with two other armed individuals, in the 1600 block of W Street SE, a residential area that includes an apartment complex. He and the others fired into a group of individuals who were congregating outside of the apartment complex. Goggins then ran back into the waiting vehicle and fled the scene.
Yisa Jeffcoat, 28, was standing outside the apartment complex and was struck by one of the gunshots. Medical personnel were unable to revive Mr. Jeffcoat, who died from a gunshot wound to the chest.
Goggins was arrested on Dec. 14, 2020. He has been in custody ever since.
In announcing the sentence, U.S. Attorney Graves and Chief Contee commended the work of those who investigated the case from the Criminal Investigations Division Homicide Branch of the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Lashone Samuels, Victim/Witness Program Specialist Karina Hernandez, and Investigative Analyst Zachary McMenamin. Finally, they commended the work of Assistant U.S. Attorney Shehzad Akhtar, who investigated and prosecuted the case.
District Court Appoints Christopher J. Wilson as United States Attorney for the Eastern District of OklahomaRead the Press Release
MUSKOGEE, OKLAHOMA - Christopher J. Wilson has been appointed by the United States District Court as United States Attorney for the Eastern District of Oklahoma. Chief Judge Ronald A. White administered the oath to Wilson who will serve until a presidentially appointed Senate confirmed U.S Attorney is named.
“I am honored and grateful to the District Court judges for allowing me to continue serving as United States Attorney for the Eastern District of Oklahoma,” said Wilson. “I am blessed to lead a talented and dedicated team at the U.S. Attorney’s Office, and it remains our goal to work closely with our law enforcement partners to protect the people of the Eastern District and hold federal offenders accountable.”
Wilson became Acting United States Attorney for the Eastern District on March 1, 2021. Attorney General Merrick Garland then appointed Wilson on December 26, 2021, to be the Interim U.S. Attorney for a period of 120 days. Prior to his designation as Acting U.S. Attorney, Wilson was the First Assistant United States Attorney and previously served as Chief of the Criminal Division.
Wilson has been an Assistant United States Attorney for the Eastern District of Oklahoma since April 2006. As a federal prosecutor, he handled a wide variety of criminal matters including terrorism, violent crime, firearms, white collar, public corruption, narcotics, and child exploitation. Wilson served as the Eastern District’s Anti-Terrorism Advisory Council Coordinator (ATAC), National Security Cyber Specialist (NSCS), Computer Hacking and Intellectual Property Coordinator (CHIP), Project Safe Childhood Coordinator (PSC), Elder Justice Coordinator (EJC), District Security Manager (DOSM), and Crisis Management Coordinator (CMC). In 2018, Wilson received the Executive Office of United States Attorneys Director’s Award for Superior Performance in Indian Country.
Wilson, a life-long resident of Oklahoma, received his Bachelor of Science degree from Oklahoma Christian College in 1986, graduating summa cum laude, and his Juris Doctor with Distinction degree from the University of Oklahoma College of Law in 1989. Wilson’s career as a criminal prosecutor began in 1991 as an Assistant District Attorney in Pittsburg County, Oklahoma. He served as the First Assistant for Oklahoma’s 18th Prosecutorial District (Pittsburg and Haskell counties) for two District Attorneys and was the elected District Attorney for District 18 from January 2003 to April 2006.
Dexter Man Sentenced to Serve 15 Years in Federal Prison for Attempted Sexual Exploitation of a MinorRead the Press Release
CAPE GIRARDEAU - The United States Attorney's Office announced that Nathan P. Dillinger, age 41, of Dexter, Missouri, has been sentenced to serve 180 months (15 years) in federal prison for the offense of Attempted Sexual Exploitation of a Minor. Dillinger appeared for a remote sentencing hearing today before United States District Judge Audrey G. Fleissig.
At his guilty plea hearing last year, Dillinger admitted that he installed multiple hidden cameras throughout his residence for the purpose of capturing nude videos of his girlfriend’s 12-year-old daughter. In his written guilty plea agreement, Dillinger specifically admitted that he secretly placed one of the cameras in an air conditioning vent in the 12-year-old’s bedroom, and another camera was concealed in the bathroom ceiling tile. Footage from the recordings was later discovered on Dillinger’s mobile phone.
After serving his 15-year sentence, Dillinger was ordered to be placed on supervised release for the rest of his life. Dillinger will also be required to register as a sex offender.
This case was investigated by the Stoddard County Sheriff’s Office and the Federal Bureau of Investigation. Assistant United States Attorney Jack Koester handled the prosecution for the Government.
Davenport Man Sentenced to Federal Prison for Drug and Firearm ChargesRead the Press Release
DAVENPORT, Iowa – A Davenport man, Monterious Deshawn Bullock, age, 22, was sentenced on April 21, 2022, to 90 months in prison for Possession with Intent to Distribute Marijuana, Possession of a Firearm in Furtherance of a Drug Trafficking Crime and Prohibited Person in Possession of a Firearm and Ammunition. Bullock was ordered to serve three years of supervised release to follow his prison term and immediately pay a $300 Special Assessment to the Crime Victims’ Fund.
According to court documents, this investigation began when law enforcement executed two search warrants, which resulted in the seizure of two loaded handguns-one with an extended magazine-multiple rounds of ammunition, and bags of marijuana. In a post-Miranda interview, Bullock admitted ownership to the items located in the residence. On November 10, 2021, the defendant pleaded guilty to the charges.
U.S. Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This matter was investigated by the Davenport Police Department. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
DEA’s National Prescription Drug Take Back Day set for April 30, 2022Read the Press Release
BILLINGS – The U.S. Attorney’s Office for the District of Montana joins the Drug Enforcement Administration in support of the National Prescription Drug Take Back Day on Saturday, April 30. The biannual event will be from 10 a.m. to 2 p.m. at sites across Montana. The event is an effort to rid homes of potentially dangerous, expired, unused and unwanted prescription drugs.
This initiative addresses a vital public safety and public health issue. Medicines that languish in homes are highly susceptible to diversion, misuse and abuse. Rates of prescription drug abuse in the United States are alarmingly high, as are the number of accidental poisonings and overdoses from these drugs.
“A majority of people who abuse prescription medications get them from family, friends or the medicine cabinet. The DEA’s Take Back Day is an important step to help reduce the epidemic of opioid deaths, overdoses and addiction by getting rid of unneeded and expired prescriptions. I encourage Montanans to help protect their families, friends and community by dropping off unused prescription drugs at collection sites across the state,” U.S. Attorney Leif M. Johnson said.
“We are facing a drug overdose epidemic that reaches every corner of America. Prescription medications often end up in the wrong hands, fueling an epidemic that kills more Americans than car accidents,” said DEA Montana Resident Agent in Charge Stacy Zinn-Brittain. “The power to make a difference starts at home, beginning with disposing of the unused, unwanted or expired medications that people keep in their homes.”
More than 30 sheriff’s offices, police departments and federal agencies across Montana are participating in Take Back Day. Information about collection sites and more information about event is available here: https://takebackday.dea.gov/
During the last Take Back Day held on Oct. 23, 2021, 4,276 law enforcement participants at 4,982 collection sites brought in a total weight of 744,082 pounds, or 372 tons, of drugs. This brings the total weight collected to 15.2 million pounds, or more than 7,634 tons, of prescription drugs collected in the history of the program. Collection results may include materials other than prescription drugs.
During the Oct. 23, 2021 event, Montanans turned in 2,352 pounds of prescription drugs at 42 collection sites. Forty-one law enforcement agencies participated.
In addition to DEA’s National Drug Take Back Day on April 30, prescription drugs can be disposed of any day throughout the year at any of the 11,000 authorized collectors. For more information on collection sites, visit: https://apps2.deadiversion.usdoj.gov/pubdispsearch/spring/main?execution=e1s1
For more information about the disposal of prescription drugs or about the April 30 Take Back Day event, go to www.DEATakeBack.com.
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Court Appoints United States Attorney for the Eastern District of TennesseeRead the Press Release
KNOXVILLE, Tenn. – The United States District Court for the Eastern District of Tennessee has appointed Francis M. (Trey) Hamilton III as United States Attorney for the Eastern District of Tennessee pursuant to 28 U.S.C. § 546(d). The appointment took effect on April 25, 2022, and Chief Judge Travis R. McDonough administered the oath of office for Mr. Hamilton’s appointment prior to its effective date. Mr. Hamilton will serve in this capacity until the vacancy is filled by a Presidentially-appointed, Senate-confirmed nominee. Mr. Hamilton had been serving as Interim U.S. Attorney by appointment of Attorney General Merrick B. Garland following his service as the district’s Acting U.S. Attorney.
A native of Nashville, Tennessee, Mr. Hamilton joined the U.S. Attorney’s Office for the Eastern District of Tennessee as an Assistant U.S. Attorney in 2002. Since then, he has served in numerous leadership positions, including First Assistant U.S. Attorney, Deputy Criminal Division Chief, and Senior Litigation Counsel. Over his career, he has tried numerous complex prosecutions, including corporate fraud, health care fraud, mortgage fraud, government-contract fraud, drug-trafficking, and criminal civil rights violations. As a supervisor, he has also overseen matters involving the office’s national security, public corruption, child exploitation, and monetary recoveries criminal practice areas. In 2020, Mr. Hamilton was awarded the Attorney General’s Claudia J. Flynn Award for Professional Responsibility.
Mr. Hamilton earned his undergraduate degree from Rhodes College in Memphis, Tennessee, where he graduated magna cum laude and was inducted into Phi Beta Kappa. He received his law degree from Washington & Lee University School of Law in Lexington, Virginia, where he graduated summa cum laude, was inducted into the Order of the Coif, and served on the Washington & Lee Law Review. Following law school, he served as law clerk to the Honorable Jerome Turner, United States District Judge for the Western District of Tennessee.
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Columbia Falls man suspected in armed robbery of pharmacy appears in courtRead the Press Release
MISSOULA — A Columbia Falls man suspected of robbing a Columbia Falls pharmacy of drugs at gunpoint appeared in court today for an initial appearance on a criminal complaint, U.S. Attorney Leif M. Johnson said.
The criminal complaint accuses Grant Alan West, 37, with a Hobbs Act robbery. If convicted of the most serious crime, West faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
U.S. Magistrate Judge Kathleen L. DeSoto presided. West was detained pending further proceedings.
Court documents allege that on April 13, Columbia Falls Police Department officers responded to a report of an armed robbery at the Logan Health Pharmacy inside the Super 1 Grocery Store. Three victims reported that shortly before closing for the day, a man wearing a beanie, sunglasses and a mask entered the pharmacy, brandished a handgun and said, “Percocet 10.” One of the victims grabbed a bottle of Percocet and put it in a tote bag the man carried. The three victims went into a bathroom and the man directed them to wait several minutes before they came out. When they came out of the bathroom, the victims called police and reported the robbery. An investigation led to West as the suspect, and he was arrested later that night.
Assistant U.S. Attorney Tara J. Elliott is prosecuting the case, which was investigated by the FBI and Columbia Falls Police Department.
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.
PACER case reference. 22-34.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Cocaine Dealer Pleads Guilty to Drug ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Timothy Granison, 43, of Rochester, NY, pleaded guilty to conspiracy to distribute 500 grams or more of cocaine before U.S. District Court Judge Frank P. Geraci, Jr. The charge carries a minimum penalty of five years in prison, a maximum of 40 years and a $5,000,000 fine.
Assistant U.S. Attorney Matthew T. McGrath, who is handling the case, stated that Granison was a member of a drug trafficking organization led by Jason Siplin that distributed large quantities of cocaine and crack cocaine out of a Glenwood Avenue drug house. Over the course of the conspiracy, Granison regularly obtained bulk quantities of cocaine from Jason Siplin, which he then sold to his own customers. On May 19, 2021, investigators intercepted telephone calls between Granison and co-conspirator Dkeidron Dublin, during which the two discussed Granison resupplying Dublin with cocaine sometime that afternoon. At approximately 3:23 p.m., surveillance officers observed Granison pull up to Dublin’s Birch Crescent residence in Rochester. Dublin came out of the residence and got into Granison’s vehicle. Investigators then surrounded the vehicle and took Granison and Dublin into custody. During the execution of search warrants on the vehicle and Dublin’s residence, 31 grams of cocaine and $1,241.00 in cash was recovered.
The plea is the result of an investigation by the New York State Police, under the direction of Major Barry Chase, the Rochester Police Department, under the direction of Interim Chief David Smith, the Greater Rochester Area Narcotics Enforcement Team, and Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino.
Sentencing is scheduled for September 6, 2022, at 2:00 p.m. before Judge Geraci.# # # #
Citrus County Man Pleads Guilty to Possession of A “Ghost” MachinegunRead the Press Release
Ocala, Florida –United States Attorney Roger B. Handberg announces that Dean Dumont (23, Inverness) today pleaded guilty to possessing an unregistered National Firearms Act firearm (machinegun). Dumont faces a maximum penalty of 10 years in federal prison. A sentencing date had not been set. Dumont had been indicted on December 7, 2021.
According to the plea agreement, Dumont unwittingly reached out to a law enforcement confidential informant in November 2021. At that time, Dumont was on state felony supervision for an unrelated matter. Dumont offered to sell the informant a fully automatic, Glock-style handgun for $900 so that Dumont could pay his court costs. Dumont then sent the informant text messages and video files confirming that the firearm had been modified into a machinegun. The informant subsequently purchased the firearm from Dumont in a video-recorded transaction.
Law enforcement testing verified that the firearm discharged more than one round of ammunition from a single pull of the trigger. A record check confirmed that this machinegun was not registered to Dumont in the National Firearms Registration and Transfer Record, as required under federal law. Investigators also determined that it was a “ghost” gun because it had been assembled from a kit, without a manufacturer serial number.
This case was investigated by the Citrus County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Chenango County Man Pleads Guilty to Drug and Firearm OffensesRead the Press Release
SYRACUSE, NEW YORK – Jonas Whaley, 36, of Chenango County, New York, pleaded guilty today to possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug-trafficking crime.
The announcement was made by United States Attorney Carla B. Freedman; John B. Devito, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Chenango County Sheriff Ernest R. Cutting Jr., and Broome County Sheriff David E. Harder.
As part of his guilty plea, Whaley admitted that he possessed with intent to distribute 50 grams or more of a mixture and substance containing methamphetamine. Whaley further admitted that he possessed two pistols and a revolver, which he used in furtherance of his drug trafficking to protect himself, the drugs he planned to distribute, and drug proceeds. As part of his guilty plea, Whaley agreed to the forfeiture of 12 additional firearms, more than 3,000 rounds of ammunition of various calibers, and $3,600 in drug proceeds.
At sentencing on August 23, 2022, Whaley faces a minimum term of 10 years and up to life in prison, a post-incarceration term of at least 4 years and up to life of supervised release, and a maximum fine of $5,000,000. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by ATF, the Chenango County Sheriff’s Office, and the Broome County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Matthew J. McCrobie.
Central Falls Man Returned to Federal Prison for Violating the Terms of Supervised ReleaseRead the Press Release
PROVIDENCE – A Central Falls man sentenced in 2018 to four years in federal prison on aggravated identity theft and fraud charges, and subsequently arrested twice for violating the terms of his federal supervised release after completing his term of incarceration, was sentenced today to 24 months in prison, announced United States Attorney Zachary A. Cunha.
In November 2017, Reynaldo Martinez, 29, pleaded guilty to four counts of aggravated identity theft; two counts of access device fraud; and one count each of bank fraud, conspiracy to commit fraud, attempted access device fraud, and interstate transportation of stolen goods. Martinez admitted that he participated in a scheme to use the stolen identities of numerous individuals to open retail store credit cards and lines of credit that he then used to purchase tens of thousands of dollars worth of goods in Rhode Island and Massachusetts. He was sentenced in January 2018 to forty-eight months in prison to be followed by three years of federal supervised release.
According to court documents, Martinez was arrested in August 2021 and again in February 2022 by the United States Marshals Service for violating the terms of his supervised release. On February 22, 2022, Martinez appeared before U.S. District Court Magistrate Judge Lincoln D. Almond and admitted that he violated the terms of his probation. He was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr., to 24 months in prison to be followed by 4 years of supervised release.
The matter was prosecuted by Assistant U.S. Attorney William J. Ferland.
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Burnsville Man Sentenced to 20 Years in Prison for Selling Methamphetamine out of Hotel RoomsRead the Press Release
ST. PAUL, Minn. – A Burnsville man has been sentenced to 240 months in prison followed by five years of supervised release for dealing methamphetamine out of hotel rooms in the Twin Cities. U.S. Attorney Andrew M. Luger made the announcement after U.S. District Judge Wilhelmina M. Wright sentenced the defendant.
According to court documents, in the summer of 2020, law enforcement determined that Eric Michael Dungy, 50, was selling methamphetamine out of hotel rooms in the Twin Cities metro area. On September 30, 2020, law enforcement encountered Dungy in the Element Hotel parking lot in Bloomington. Agents arrested Dungy and found heroin and $16,621 in cash on his person. Agents conducted a search of Dungy’s vehicle and recovered 364 grams of methamphetamine, three methamphetamine pipes, needles, gallon Ziploc bags with methamphetamine residue on them, an electronic money counter, and a Kel-Tec 9mm handgun. On October 3, 2020, law enforcement searched Dungy’s unoccupied hotel room and found 5.5 pounds of methamphetamine and other personal effects belonging to Dungy.
According to court documents, after obtaining release on bail from the Hennepin County Jail in November 2020, Dungy was again investigated for methamphetamine distribution and by December 14, 2020, he agreed to sell three pounds of methamphetamine to an undercover officer for $15,000. On the same day, law enforcement searched two adjacent rooms he rented at the Country Inn & Suites in Bloomington, and recovered approximately 6.5 pounds of methamphetamine, 13.5 grams of heroin, three digital scales, multiple small Ziplock bags, eleven phones, and $12,286 in cash.
On October 18, 2021, Dungy pleaded guilty to two counts of possession with intent to distribute methamphetamine.
This case is the result of an investigation conducted by the Drug Enforcement Administration, the Cannon River Drug and Violent Offender Task Force, Homeland Security Investigations, the St. Paul Police Department, the Edina Police Department, with assistance from the Hennepin County Attorney’s Office and the Dakota County Attorney’s Office.
This case was prosecuted by Assistant U.S. Attorney Allen A. Slaughter, Jr.
Buffalo Man Going to Prison for His Role in Cocaine Conspiracy Stretching from El Paso, Texas to BuffaloRead 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 Lance Parker, 44, of Buffalo, NY, who was convicted of conspiring to possess with intent to distribute, and distributing, 500 grams or more of cocaine, was sentenced to serve 78 months in prison by U.S. District Judge John L. Sinatra, Jr.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that in July 2018, Parker conspired with co-defendants Edgar Pavia, Adrian Goudelock, Eric Young, and others, to sell cocaine. Pavia brokered bulk quantity cocaine from the Southwest border to multiple areas in the country including Buffalo, NY, Kentucky, and Georgia. On July 25, 2018, Parker met Eric Young in a parking lot in West Seneca and was observed by investigators removing a bag from his pick-up truck and putting it in the driver’s side of the tractor-trailer that Young was operating. Parker was further observed removing a different bag from the tractor-trailer. Investigators subsequently seized both bags, one contained 17 kilograms of cocaine, and the other contained 52 shrink-wrapped and taped bundles of currency, totaling $519,580. Law enforcement officers also found three plastic wrapped packages of bulk U.S. currency totaling $145,380 secreted in the tractor-trailer. A phone seized from Parker revealed text messages from co-defendant Goudelock with instructions where to go to find the tractor-trailer.
Defendants Pavia, Goudelock, and Young were previously convicted.
The sentencing is the result of an investigation by Homeland Security Investigations (HSI) - Buffalo, under the direction of Acting Special Agent-in-Charge Matthew Scarpino; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the New York State Police, under the direction of Major Eugene Staniszewski; the Erie County Sheriff’s Department, under the direction of Sheriff John Garcia; and Customs and Border Protection, Air and Marine Unit, under the direction of Brian Manaher, Director, Marine Operations. Additional assistance was provided by the New York National Guard; HSI-Louisville; the Kentucky State Police; the Louisville Metro Police; and the Greater Hardin County Drug Task Force.
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Bloomfield Man Pleads Guilty to Federal Drug and Gun ChargesRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, and James Ferguson, Special Agent in Charge, ATF Boston Field Division, announced that JAIME HOLT, 39, of Bloomfield, pleaded guilty today in Hartford federal court to drug distribution and firearm possession offenses.
According to court documents and statements made in court, on March 31, 2021, Bloomfield Police stopped a vehicle Holt was driving for a traffic violation. After a narcotics K9 alerted to the presence of narcotics, a search of the vehicle revealed a total of approximately 114 grams of crack cocaine, a quantity of marijuana, items used to package drugs for street sale, five cell phones, and a loaded 9mm pistol.
Holt’s criminal history includes state convictions for felony firearm, assault, drug and larceny offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Holt pleaded guilty to one count of possession with intent to distribute cocaine base (“crack”), which carries a maximum term of imprisonment of 20 years, and one count of unlawful possession of a firearm by a felon, which carries a maximum term of imprisonment of 10 years. He is scheduled to be sentenced by U.S. District Judge Michael P. Shea on July 18, 2022.
Holt has been detained since March 31, 2021.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Bloomfield Police Department. The case is being prosecuted by Assistant U.S. Attorney Robert S. Ruff.
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.
Bergen County Woman Sentenced to 27 Months in Prison for Embezzling Money from Guided Tour Company and Subscribing to False Tax ReturnsRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, woman was sentenced today to 27 months in prison for participating in a multi-year embezzlement scheme and subscribing to a false personal income tax return, U.S. Attorney Philip R. Sellinger announced.
Estela Laluf, 76, previously pleaded guilty by videoconference before U.S. District Judge Julien Xavier Neals to an information charging her with one count of wire fraud and one count of subscribing to a false tax return. Judge Neals imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Between October 2010 and August 2016, Laluf held a management position at a New Jersey guided-tour company. During that time, Laluf and another employee, who held an accounting position at the company and had authority to write checks against the company’s bank accounts, devised a scheme to embezzle funds from the company. Laluf would direct the employee to write company checks to actual company employees and contractors, which did not reflect any actual work or services done by those individuals. The employee would then cash these checks, and Laluf and the employee would convert the resulting funds to their personal use. Laluf and the employee embezzled hundreds of thousands of dollars from the company. Laluf then fraudulently omitted the proceeds of the embezzlement scheme from her tax year 2016 tax return.
In addition to the prison term, Judge Neals sentenced Laluf to two years of supervised release and ordered her to pay $295,297 in restitution.
U.S. Attorney Sellinger credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Damon Wood, Philadelphia Division, and special agents of IRS – Criminal Investigation, under the direction of Acting Special Agent in Charge Tammy Tomlins, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew M. Trombly of the Cybercrime Unit in Newark.
Belgrade meth trafficker sentenced to 54 months in prisonRead the Press Release
MISSOULA — A Belgrade man who admitted to trafficking methamphetamine with others in the community after investigators found nearly a half-pound of the drug during a vehicle stop was sentenced today to 54 months in prison, to be followed by five years of supervised release, U.S. Attorney Leif M. Johnson said.
Max Dudley Stilson, 57, pleaded guilty in September 2021 to possession with intent to distribute meth.
U.S. District Judge Dana L. Christensen presided.
In court documents, the government alleged that during an investigation of Stilson for distributing meth by the Missouri River Drug Task Force, an individual purchased a total of one and one-half ounces of meth from Stilson on two occasions. On the second buy, Stilson said he was going to meet another person to get more drugs. Investigators observed Stilson meet with co-defendant Arthur Kane. In addition, in November 2020, task force officers learned Stilson was traveling to Billings with a large amount of meth. A Montana Highway Patrol trooper stopped Stilson’s vehicle and investigators found almost a half- pound of meth. The vehicle was registered to another co-defendant Jared Williams. Another witness told investigators that he had purchased ounce quantities totaling one pound of meth over a four-month period from Stilson. Stilson admitted that he and Williams worked together to distribute drugs. Williams was sentenced to eight years in prison for conviction in the case, while Kane was sentenced to five years and a fourth co-defendant, Marty McDonald, was sentenced to four years in prison for conviction in the case.
Assistant U.S. Attorney Jennifer S. Clark prosecuted the case, which was investigated by the Missouri River Drug Task Force and the Montana Highway Patrol.
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.
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Beckley Man Pleads Guilty to Federal Drug CrimeRead the Press Release
BECKLEY, W.Va. – A Beckley man pleaded guilty to distribution of heroin.
According to court documents and statements made in court, Leon Eugene Smith, Jr., 41, admitted to selling approximately 0.5 grams of heroin to a confidential informant in Lanark, Raleigh County, for $80 on September 15, 2020. Smith further admitted to selling approximately 1.3 grams of heroin on September 17, 2020, and approximately 1 gram of heroin on September 23, 2020, each time to a confidential informant in Lenark for $160.
Smith is scheduled to be sentenced on August 5, 2022, and faces a maximum penalty of 20 years in prison, three years of supervised release and a $1 million fine.
United States Attorney Will Thompson made the announcement and commended the Raleigh County Sheriff’s Department and the West Virginia State Police for conducting the investigation.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Nick Miller is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:21-cr-184.
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Bakersfield Man Pleads Guilty to Possession of Methamphetamine with Intent to DistributeRead the Press Release
FRESNO, Calif. — Louis Torres, 37, of Bakersfield, pleaded guilty today to possession of methamphetamine with the intent to distribute, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on July 23, 2021, Torres was driving a vehicle in Bakersfield that was stopped by police officers for traffic violations. After exiting his vehicle, Torres fled on foot, but was pursued and apprehended by police. After Torres was arrested, police officers discovered that he possessed methamphetamine and heroin that he intended to distribute to others. At the time of his arrest, Torres was under active court supervision for a burglary conviction and had a suspended driver’s license.
This case is the product of an investigation by the Federal Bureau of Investigation and the Bakersfield Police Department. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
Torres is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Aug. 8, 2022. Torres faces a mandatory minimum statutory penalty of five years in prison and a maximum of up to 40 years in prison and a fine of up to $5 million. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Armored car robbers indictedRead the Press Release
HOUSTON – Three individuals are now in custody in relation to the recent Comerica Bank armored car robbery in Houston, announced U.S. Attorney Jennifer B. Lowery.
Malinda Cruz, 35, Houston, is expected to make her initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m. today. Law enforcement took her into custody April 22 following a federal indictment returned April 20.
Previously arrested via criminal complaint were Randy Long, 30, and Carl Johnson, 34, both also of Houston. They have been in custody and are expected to make an appearance on the new charges in the near future.
All are charged with aiding and abetting interference with commerce by robbery. Long and Johnson also face charges of aiding and abetting the discharge of firearm.
The charges stem from an armored car robbery that occurred in late March.
“After the armored car robbery and shoot-out occurred, the FBI Violent Crime Task Force and our law enforcement partners worked nonstop to arrest all three alleged suspects demonstrating the critical role that continuous law enforcement collaboration plays in restoring peace in our communities in a concise manner,” said FBI Special Agent in Charge James Smith. “The FBI appreciates our law enforcement partners, especially those at the Harris County Sheriff's Office (HCSO), Houston Police Department (HPD), Texas Department of Public Safety and Bureau of Alcohol, Tobacco, Firearms and Explosives, who are equally committed to combating violent crime.”
On March 23, a Brinks armored car courier was servicing the ATM of the Comerica Bank located at 855 FM 1960 in Houston, according to the charges. Long was allegedly carrying a firearm and approached the courier along with Johnson. The charges allege an exchange of gun fire occurred between the three men, during which time the courier shot Johnson in the thigh. Long and Johnson were able to get away, according to the allegations.
During the robbery, Cruz allegedly acted as a look-out and scout during the robbery and was the get-away driver.
The indictment further alleges Johnson aided and abetted interference with commerce by robbery and aided and abetted the brandishing of a firearm in relation to the robbery of an armored car Jan. 7. The courier had been servicing an ATM located at a Bank of America in Houston according to the charges. Johnson allegedly brandished a firearm and stole the cassettes and money bags from him as he was completing his job.
Aiding and abetting interference with commerce by robbery carries a penalty of up to 20 years in prison. Aiding and abetting the discharge of a firearm and aiding and abetting the brandishing of a firearm carry minimums of 10 and seven years, respectively, and up to life which must be served consecutively to any other prison term imposed.
FBI, HCSO and HPD conducted the investigation. Assistant U.S. Attorney Jill Stotts is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Aliquippa Man Pleads to Drug and Firearms ChargesRead the Press Release
PITTSBURGH - Dana Penney pled guilty to committing firearm and drug trafficking crimes in 2017 and 2018, United States Attorney Cindy K. Chung announced today.
Penney, age 41, of Aliquippa, Pennsylvania, pled guilty before United States District Judge J. Nicholas Ranjan. Sentencing will be scheduled to occur on a later date.
Penney pled guilty to three crimes: (1) conspiracy to distribute cocaine, heroin, fentanyl, and Schedule I synthetic cannabinoid controlled substances; (2) possession with intent to distribute fentanyl, heroin, and cocaine; and (3) brandishing a firearm during a drug trafficking crime.
The law provides for a sentence of at least seven years and up to life in prison and a fine of up to $4,250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed is to be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Craig W. Haller is prosecuting this case on behalf of the United States.
The Drug Enforcement Administration, the Internal Revenue Service – Criminal Investigation, the federal Bureau of Prisons, and the Pennsylvania Office of Attorney General led the multi-agency investigation that also included the United States Postal Inspection Service, the Beaver County District Attorney’s Office, the Department of Homeland Security/Homeland Security Investigations, the Pittsburgh Police Department, the United States Marshals Service, the Pennsylvania State Police, the Munhall Police Department, the Robinson Township Police Department, the McKees Rocks Police Department, the Stowe Township Police Department, the Etna Police Department, and the Erie County District Attorney’s Office.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
22-Year-Old Sentenced to Life in Federal Prison for Murder During a Business RobberyRead the Press Release
Memphis, TN- Decardo Moore, 22, has been sentenced to life imprisonment for murder during a business robbery. Joseph C. Murphy, Jr., United States Attorney announced the sentence today.
According to information presented in court, on March 28, 2019, Decardo Moore entered the Exxon on Stage Road in Memphis and demanded money from the store clerk and two patrons. After all three complied, Moore fired a single shot, which struck and killed the store clerk. Moore then fired shots to break the glass in the front door and fled.
Three months later, on June 28, 2019, Decardo Moore, Joshua Beason, and an additional co-defendant robbed three Memphis-area gas stations. At approximately 1:10 a.m., Moore and Beason approached a store clerk outside of the Mapco Express on Raleigh Millington Road armed with semi-automatic handguns with extended magazines. They threatened the clerk, forced her inside, and removed money from the register. Less than an hour later, the group proceeded to the Murphy Express on Summer Avenue. Moore's co-defendants put a handgun to the side of a store clerk, forced him inside the store, and threatened the lives of both store clerks. They took money from the register and fled. Moore served as the getaway driver.
Approximately thirty minutes later, the group robbed the Exxon on Summer Avenue. They brandished firearms, removed the cash drawer then fled the scene. Moore served as the getaway driver.
Minutes later, the group participated in a home invasion on West Barbara Circle. During this incident, a resident, Moore and one of his co-defendants were shot. All three survived. Moore and his co-defendants were apprehended at the emergency room. Charges for the home invasion are pending for all three defendants before the State of Tennessee.
On October 25, 2021, Moore pled guilty to four counts of robbery and four counts of brandishing a firearm.
On April 21, 2022, United States District Judge Mark S. Norris sentenced Moore to life in federal prison plus 21 years’ incarceration. Joshua Beason was sentenced to 293 months in federal prison on March 14, 2021. Moore's other co-defendant is scheduled for trial in May 2022. There is no parole in the federal system.
This case was investigated by the FBI’s Safe Streets Task Force.
Assistant United States Attorneys Kevin Whitmore and Greg Wagner prosecuted this case on behalf of the government.
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22 April 2022
White Supremacist Gang Member with Multiple Prior Convictions Pleads Guilty in Project Safe Neighborhoods CaseRead the Press Release
VALDOSTA, Ga. – A documented member of a white supremacist organization that is sometimes affiliated with the Ghost Face Gangsters pleaded guilty to illegally possessing a firearm in a Project Safe Neighborhoods case.
Joel Nelson Tucker, 32, of Moultrie, Georgia, pleaded guilty to possession of a firearm by a convicted felon before U.S. District Judge Louis Sands on Tuesday, April 19. Tucker faces a maximum ten years in prison to be followed by three years of supervised release and a maximum $250,000 fine. Sentencing is set for July 27, 2022, at 3:00 p.m. before Judge Sands. There is no parole in the federal system.
“Our region’s most violent and repeat offenders who continue to possess firearms illegally will be held accountable at the federal level,” said U.S. Attorney Peter D. Leary. “Through the Project Safe Neighborhoods program, federal prosecutors are working with law enforcement agencies to concentrate enforcement efforts on violent career offenders in an effort to reduce crime and ultimately make our communities safer.”
“Gang members like Tucker continuously plague our communities even after being charged and convicted of multiple crimes,” said Philip Wislar, Acting Special Agent in Charge of FBI Atlanta. “The FBI is proud to work with our law enforcement partners to enforce federal laws that can provide serious prison time for criminals who refuse to learn from their mistakes and continue to possess firearms and endanger others.”
According to court documents and other evidence, a Colquitt County Sheriff’s Office deputy responded to a citizen’s call about two individuals driving a truck on property behind his residence, which had been the target of several recent thefts. The deputy recognized the driver as Tucker, who had outstanding arrest warrants, was a known convicted felon and had led deputies on a high-speed pursuit in recent months. Tucker, who was wearing a shoulder holster while seated in the front seat, gave a false name to the deputy. The officer saw a gun resting inches away from Tucker’s right hand. When he asked the defendant to exit his vehicle, Tucker replied with an expletive and refused to get out of the truck. The deputy, who had called for law enforcement back-up, gave numerous commands for Tucker to exit the truck. Tucker failed to comply. Tucker moved his hand toward his holster and the deputy deployed his taser. Tucker was handcuffed by another responding deputy and was combative during the arrest.
Tucker, who is a convicted felon, was in illegal possession of a Charter Arms Bulldog .44 special revolver at the time of his arrest. Tucker was on probation at the time of the arrest and has multiple convictions in Colquitt County, Georgia, Superior Court, including for possession of a firearm by a convicted felon and burglary. Tucker is a known and validated member the KKP (Killer Kracker Pride), a hybrid gang that originated in the Colquitt County Jail. KKP is a white supremacy organization that is sometimes affiliated with the Ghost Face Gangster.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Colquitt County Sheriff’s Office and FBI.
Assistant U.S. Attorney Sonja Profit is prosecuting the case for the Government.
Warren County Man Charged with Violating Child Sexual Exploitation LawsRead the Press Release
ERIE, Pa. - A former resident of Sheffield, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Cindy K. Chung announced today.
The sixteen-count superseding indictment named Jeffrey Colin Rogers, 59, as the sole defendant.
According to the Superseding Indictment presented to the court, in November 2017, Rogers took sexually explicit photos of two victims who were under the age of eighteen. The Superseding Indictment further alleges that from November 2017 and February 2018, Rogers possessed material depicting the sexual exploitation of a minor.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The law provides for a maximum total sentence of 400 years in prison, a fine of $4,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Pennsylvania State Police conducted the investigation leading to the Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Union City Man Pleads Guilty to Series of Small Business RobberiesRead the Press Release
OAKLAND - Nelson Enrike Ramirez pleaded guilty today in federal court to two counts of robbery affecting interstate commerce, announced United States Attorney Stephanie M. Hinds and Federal Bureau of Investigation Acting Special Agent in Charge Sean Ragan.
A federal complaint filed on March 5, 2021, charged Ramirez, 41 years old and from Union City, with a November 6, 2020, robbery of a 7-Eleven convenience store on Washington Boulevard in Fremont and alleged his involvement in 22 other robberies. An information that followed on December 1, 2021, charged Ramirez with the same November 6, 2020, robbery as well as a November 3, 2020, robbery of a 7-Eleven in Campbell, California.
In a plea agreement he entered into today, Ramirez admitted that from May to November 2020, he committed or attempted 23 robberies of small businesses in the east and south bay areas, including in Fremont, Newark, Hayward, Union City, Campbell, Milpitas, Mountain View, Los Altos, and Sunnyvale. He admitted that during the robberies and attempted robberies, he carried a black rubber replica semiautomatic firearm, brandished the replica firearm, and demanded money from employees of the businesses. Ramirez often apologized to the employees, stating that he needed money because he had a sick child at home – but he admitted in his plea agreement that he did not have such a child.
Ramirez described in his plea agreement that on November 3, 2020, he entered a 7-Eleven convenience store on West Sunnyoaks Avenue in Campbell and asked the store clerk a question. When she approached him, Ramirez told the clerk that he needed money because his son was sick and insurance would not cover it. As he spoke to the clerk, he pulled the black rubber replica firearm out of his pocket and held it at his side. He told the clerk to open the register, then walked behind the store’s counter with the clerk. Ramirez took approximately $1,500 from the register and fled the scene.
Ramirez also described that on November 6, 2020, he walked into a 7-Eleven convenience store on Washington Boulevard in Fremont. He told the store clerk he needed a soda. When the clerk approached to help, Ramirez pulled the replica firearm out and told the clerk he needed money. He ordered the clerk over to the cash register. The clerk opened the register and handed Ramirez approximately $200. Ramirez ordered the clerk to open a second cash register, but it was empty. Ramirez left.
Ramirez is next scheduled for a sentencing hearing before United States District Judge Jon S. Tigar in Oakland federal court on August 19, 2022. He remains in custody pending sentencing.
Ramirez pled guilty to two counts of robbery affecting interstate commerce in violation of 18 U.S.C. § 1951(a). Each count carries a maximum sentence of 20 years in prison and a maximum fine of $250,000 or twice the gross pecuniary gain to the defendant or twice the gross pecuniary loss inflicted on victims, plus restitution. However, any sentence following a conviction is 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.
Noah Stern is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Karina Ruiz, Kay Konopaske, and Kathleen Turner. The prosecution is the result of an investigation by the FBI, the Fremont Police Department, the Union City Police Department, the Newark Police Department, the Hayward Police Department, the Campbell Police Department, the Milpitas Police Department, the Mountain View Police Department, the Los Altos Police Department, and the Sunnyvale Police Department.
Two Men Are Facing Federal Charges in Connection with Multi-Million Dollar Investment SchemeRead the Press Release
CHARLOTTE, N.C. – Two Cornelius, North Carolina residents are facing federal charges in connection with a multi-million dollar investment scheme, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. A federal grand jury returned a criminal indictment this week against Marlin Hershey and Dana Bradley, both 52, charging them with mail and wire fraud conspiracy, mail fraud, securities fraud, and money laundering conspiracy. The indictment was unsealed this morning following Hershey’s appearance in court.
North Carolina Secretary of State Elaine F. Marshall and Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, join U.S. Attorney King in making today’s announcement.
According to allegations contained in the indictment, from approximately 2009 to 2021, Hershey and Bradley induced dozens of victims to invest millions of dollars in unregistered securities offerings, promoted by the defendants through Performance Holdings and other entities controlled by the defendants and other individuals, including Performance Retire on Rentals, LLC, Distressed Lending Fund, LCC, Moteng Funding, LLC and Southeast Lot Acquisitions, LLC, among others.
The indictment alleges that the investment materials Hershey and Bradley provided to victim investors in connection with these securities offerings contained false and/or misleading statements and failed to disclose material information. For example, the indictment alleges that the offering materials failed to disclose that the defendants received commissions based on the amount of investments they sold, and often provided investors with offering materials that represented the opposite – that nobody would be paid a commission in connection with the investments. In fact, the indictment alleges, the defendants received commissions that were typically 10% of an investor’s initial investment and often received an additional commission when an investor extended an investment. In this manner, Hershey and Bradley were paid millions of dollars in undisclosed commissions from the sale of securities. In addition to the commissions, the indictment also alleges that the defendants received regular undisclosed “management” fees from the various entities.
According to allegations in the indictment, as part of the scheme, Hershey and Bradley also failed to disclose to investors other material information, including negative information about the defendants’ backgrounds and the financial woes faced by some of the entities for which they were soliciting investments. To the contrary, because the defendants often solicited the same group of investors to invest in the various projects, the defendants took steps to conceal such financial difficulties by making undisclosed loans to various entities so that the entities could, in turn, make their required interest payments to investors. The indictment also alleges that Hershey and Bradley solicited new investors and, contrary to representations they made to the investors, used the new investors’ money to repay the loans and previous investors. The defendants also allegedly sent to investors periodic reports about the status of the investments that failed to include material negative information.
According to the indictment, in 2019, investors learned that several of the projects in which they had invested were in financial distress and could no longer meet their obligations to investors, which totaled several million dollars.
Hershey was released on bond following his court hearing. Bradley will have his first court appearance on Monday, April 25, 2022. The mail and wire fraud conspiracy charge and the mail fraud charge each carry a maximum prison term of 20 years and a $250,000 fine. The securities fraud charge carries a maximum prison term of 20 years and a $5 million fine. And the maximum prison term for money laundering conspiracy charge is 10 years and a $500,000 fine.
The indictment also includes a notice of forfeiture, which gives notice that the defendants must forfeit to the United States all of the property involved in the offenses charged in the indictment. The government will pursue a forfeiture money judgment in the amount of at least $7.5 million which the government contends constitutes the proceeds of the violations alleged in the indictment.
All the charges contained in the indictment are allegations. The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.
In making today’s announcement U.S. Attorney King thanked the Securities Division of the North Carolina Secretary of State and the FBI for leading the joint investigation.
Assistant U.S. Attorneys Daniel Ryan and Graham Billings, of the U.S. Attorney’s Office in Charlotte, are in charge of the prosecution.
Tulare County Man Sentenced to over 12 Years in Prison for Methamphetamine Trafficking ConspiracyRead the Press Release
FRESNO, Calif. — Roberto Cavazos, 43, of Porterville, was sentenced today to 12 years and seven months in prison for conspiring to distribute methamphetamine, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Cavazos negotiated for the purchase of 1 pound of methamphetamine from Pedro Delgado-Montenegro, 42, a former Porterville resident and native and citizen of Mexico, who supplied the drug to Cavazos through a third party.
Cavazos is one of nine defendants, including Delgado-Montenegro, charged in the case. Delgado-Montenegro is a fugitive. Co-defendant Renato Aguilera is scheduled for sentencing in federal court on April 29, 2022. Aguilera faces a mandatory minimum statutory penalty of 10 years in prison, a maximum statutory penalty of life in prison, and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Charges are pending against the remaining defendants. The charges are only allegations; they are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is the product of an investigation by the Drug Enforcement Administration with assistance from Federal Bureau of Investigation, the Porterville Police Department, the Coalinga Police Department, and the Fresno Police Department. Assistant U.S. Attorney Karen Escobar is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Thibodaux Meth Dealer Sentenced to 120 Months in Federal PrisonRead the Press Release
NEW ORLEANS, LOUISIANA – DONTRELL MATHEWS, age 42, a resident of Thibodaux, Louisiana, was sentenced by U.S. District Judge Carl J. Barbier to 120 months’ imprisonment, three (3) of supervised release, and a $100 mandatory special assessment fee after pleading guilty to a one-count superseding bill of information charging him with distribution of a quantity of methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(C), announced U.S. Attorney Duane A. Evans.
According to court documents, on July 31, 2018, Special Agents with the Drug Enforcement Administration used a confidential source to make a controlled purchase of approximately 27 grams of methamphetamine from MATHEWS.
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 investigated by the Drug Enforcement Administration, Office of Homeland Security Investigations, Terrebonne Parish Sheriff’s Office, and the Lafourche Parish Sheriff’s Office. The prosecution was handled by Assistant United States Attorney André Jones.
Tampa Man Who Displayed Firearm on Social Media Pleads Guilty to Possessing A Firearm as A Convicted FelonRead the Press Release
Tampa, Florida –United States Attorney Roger B. Handberg announces that Devin Kelly (27, Tampa) has pleaded guilty to possessing a firearm as a convicted felon. Kelly faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to court documents, on July 2, 2021, Kelly and co-defendant Keyshawn Watts handled and displayed an AR-15 style rifle during an Instagram live video. One week later, investigators searched Kelly’s residence and seized a Ruger AR 556 rifle and an extended magazine loaded with 40 rounds of ammunition. Kelly admitted that the rifle seized from his residence was the rifle he had displayed in the Instagram video. Kelly, who had previously been convicted of several felony offenses, is prohibited from possessing a firearm or ammunition under federal law.
Keyshawn Watts (21, Tampa) has been charged with possessing a firearm as a convicted felon. His case is currently pending trial.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Tampa Police Department, the Hillsborough County Sheriff’s Office, and the Florida Department of Corrections. It is being prosecuted by Assistant United States Attorney Michael Sinacore.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
State College Man Sentenced to 15 Months’ Imprisonment for Failure to Pay over $1 Million in Employment TaxesRead the Press Release
WILLIAMSPORT- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Scott Lykens, age 44, of State College, Pennsylvania, was sentenced yesterday to 15 months’ imprisonment by Chief District Court Judge Matthew W. Brann for a criminal tax violation. Chief Judge Brann also ordered Lykens to pay restitution to the IRS in the amount of $1,044,796.
According to United States Attorney John C. Gurganus, Lykens previously entered a guilty plea in December 2021, to failure to pay over employment taxes. Lykens was the owner of a medical billing company, Keystone Medical Management Systems, doing business in Centre County, Pennsylvania. From 2010 through 2019, Lykens collected tax withholdings, including federal income taxes, Medicare, and Social Security taxes, from his employees but did not remit them to the Internal Revenue Service for a total tax loss of $1,044,796.
This case was investigated by the Internal Revenue Service, Criminal Investigation Division. Assistant U.S. Attorney Geoffrey W. MacArthur is prosecuting the case.
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Sioux Falls Man Charged with Production of Child PornographyRead the Press Release
United States Attorney Alison J. Ramsdell announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Production of Child Pornography.
Amir Kalomo Mulamba, age 26, was indicted on November 9, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on April 19, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 30 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between May 30, 2021, and June 25, 2021, Mulamba knowingly employed, used, persuaded, induced, enticed, and coerced a minor female to engage in sexually explicit conduct for the purpose of producing visual depictions of such conduct, knowing that visual depictions would be transported in interstate or foreign commerce or mailed, and such visual depictions would be produced using materials that had been mailed, shipped, and transported in interstate and foreign commerce, including by computer.
The charge is merely an accusation and Mulamba is presumed innocent until and unless proven guilty.
The investigation is being conducted by Homeland Security Investigations and the Salt Lake City, Utah, Police Department. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Mulamba was released on bond pending trial which has not been set.
Shreveport Man Sentenced for Trafficking NarcoticsRead the Press Release
SHREVEPORT, La. – A Shreveport man was sentenced today on drug trafficking charges, announced United States Attorney Brandon B. Brown. Timmie Ford, 60, of Shreveport, Louisiana, was sentenced by United States District Judge Donald E. Walter to 120 months in prison, followed by 5 years of supervised release. Ford pleaded guilty on December 21, 2021 to possession with intent to distribute methamphetamine and possession of firearms in furtherance of a drug trafficking crime.
Law enforcement officers with the Caddo Parish Sheriff’s Office and Shreveport Police Department executed a search warrant on Ford’s home on July 13, 2020. During the search, agents recovered three loaded firearms, along with various rounds of ammunition and high-capacity magazines. Also inside Ford’s home was a bag containing approximately 287 suspected narcotics pills, packaging materials for sale and distribution, and two digital scales. The pills were chemically analyzed and confirmed that they were comprised of a mixture or substance containing over 50 grams of methamphetamine.
The case was investigated by the FBI, Caddo Parish Sheriff’s Office and Shreveport Police Department and was prosecuted by Assistant U.S. Attorney Mike Shannon.
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Seven people charged in Augusta-area drug trafficking operationRead the Press Release
AUGUSTA, GA: Seven people have been indicted on charges related to a major methamphetamine-trafficking organization blamed for at least one overdose death.
As described in the newly unsealed indictment in USA v. Wheatley et. al, the investigation in Operation Wheat Fields dates back to early 2018 and includes allegations of trafficking in large amounts of methamphetamine, heroin, and marijuana, along with multiple firearms charges, said David H. Estes, U.S. Attorney for the Southern District of Georgia. The conspiracy charge levied against each of the defendants carries a maximum statutory penalty of up to life in prison, and there is no parole in the federal system.
“Our office continues the relentless pursuit of drug trafficking operations and eliminating the violent crime these enterprises generate,” said U.S. Attorney Estes. “In collaboration with our law enforcement partners, these investigations and prosecutions will make our communities safer.”
Operation Wheat Fields is an Organized Crime Drug Enforcement Task Forces investigation that identified a pipeline of illegal drugs from Mexico routed through Atlanta and into the Augusta area. The investigation led to multiple searches of residences and hotel rooms.
All of the defendants charged in the indictment have appeared before a magistrate in U.S. District Court. They include:
- Jayson Dwayne Wheatley, 41, of Augusta, charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Distribution of Heroin; Possession of 50 Grams or More of Methamphetamine with Intent to Distribute; six counts of Use of a Communications Facility, relating to the use of Facebook Messenger and a cellphone to facilitate the conspiracy; and Possession of Ammunition by a Convicted Felon;
- Jeffrey Mitchell Granade, 48, of Evans, Ga., charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Possession of 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine; Possession of Firearms in Furtherance of a Drug Trafficking Crime; and Possession of Firearms by a Convicted Felon;
- Steven Curtis Newman, 55, of Martinez, Ga., charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; and Possession of 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine;
- Richard Travis Bargeron, 41, of Augusta, currently an inmate at the Coffee County Correctional Facility, charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Possession of 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine; Possession of a Firearm in Furtherance of a Drug Trafficking Crime; and Possession of a Firearm by a Convicted Felon;
- Alvin Wayne Snellgrove, 63, of Evans, charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Possession of Methamphetamine with Intent to Distribute; and two counts of Use of a Communication Facility;
- Heather Nicole Disher, 42, of Grovetown, Ga., charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Possession of Methamphetamine; and three counts of Use of a Communications Facility; and,
- Dana Alexander Rau, 48, of Augusta, charged with Conspiracy to Possess with Intent to Distribute, and to Distribute, 500 Grams or More of a Mixture Containing a Detectable Amount of Methamphetamine, 50 Grams or More of Methamphetamine, and an Amount of Heroin and Marijuana; Possession of Methamphetamine; Use of a Communications Facility, relating to the use of a cell phone to facilitate the conspiracy; and Possession of a Firearm by a User of Illegal Drugs.
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
The case was investigated under the 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.
This investigation took place under the umbrella of the U.S. Department of Justice’s Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer.
Operation Wheat Fields is being investigated by the Richmond County Sheriff’s Office; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the U.S. Drug Enforcement Administration; the Columbia County Sheriff’s Office; and the Swainsboro Police Department, and is being prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorney and Criminal Division Chief Patricia G. Rhodes.
Richmond Man Pleads Guilty to Producing Child Pornography Under Threats and BlackmailRead the Press Release
RICHMOND, Va. – A Richmond man pleaded guilty today to production of child sexual abuse material.
According to court documents, in or around February of 2019, Joshua Hitchener, 34, began exchanging messages on the Kik Messenger application with a 15-year-old girl. Despite knowing that he was corresponding with a minor, Hitchener convinced the girl to send him nude photos of herself. Hitchener then used his possession of those pornographic images to threaten and blackmail his victim into creating and sending additional pornographic images and video to him. The defendant’s threats included his assurances to the girl that he would kidnap her, kill her family, and “rape and beat [the victim] several times a day.” Hitchener also instructed his victim to “brand” herself by drawing his screenname on various parts of her body, and to record herself performing sexual acts—and to send the images and videos of those actions to the defendant.
Hitchener is scheduled to be sentenced on July 21. He faces a mandatory minimum penalty of 15 years and a maximum penalty of 30 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after U.S. Magistrate Judge Mark R. Colombell accepted the plea.
Assistant U.S. Attorneys Heather H. Mansfield, Peter S. Duffey, and Thomas A. Garnett are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and 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 http://www.justice.gov/psc.
In 2021, EDVA launched “UnMasked,” a community-based educational outreach and prevention program in Virginia dedicated to raising awareness and educating the community about the prevalence of online sexual exploitation involving children and young adults. UnMasked is a multi-disciplinary partnership of local, state, federal, and non-profit stakeholders. The core curriculum is provided by the National Center for Missing and Exploited Children’s (NCMEC) NetSmartz program. To report an incident involving online sexual exploitation, call 1-800-843-5678 or submit a report at report.cybertip.org. To request an UnMasked event at your school or organization, please contact EDVA’s Community Outreach Coordinator at [email protected].
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:21-cr-122.
Putnam County Narcotics Dealer Arrested in Connection with the Murder of One of His CustomersRead the Press Release
Dwayne Pulliam Arrested for Participating in a Conspiracy to Distribute Crack Cocaine and for Traveling Interstate and Using Facilities of Interstate Commerce to Operate a Narcotics Business Enterprise, and Murdering a Customer He Believed Was Stealing from That Business
Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Kevin McConville, the Sheriff of the Putnam County Sheriff’s Office, announced today the filing of a criminal complaint in White Plains federal court charging DWAYNE PULLIAM, a/k/a “Doc,” with: (1) participating in a crack-cocaine-distribution conspiracy; and (2) traveling between New York and Connecticut, and using cellphones, to operate a narcotics business enterprise—his business selling crack cocaine—and murdering Lori Lee Campbell, a customer he believed was stealing from his business. PULLIAM was arrested yesterday afternoon in the area of New Milford, Connecticut, and was presented yesterday before United States Magistrate Judge Andrew E. Krause. PULLIAM was ordered held without bail.
As alleged in the Complaint[1]:
In or about December 2020, PULLIAM was released from approximately 24 years of prison for murder. Not long afterward, from at least in or about January 2022, PULLIAM engaged with others in the business of selling crack cocaine, traveling between New York and Connecticut to do so, and using phones to do so.
On March 29, 2022, PULLIAM contacted a co-conspirator of his in the drug trade and asked him to help move an Acura that belonged to Lori Lee Campbell. PULLIAM told his co-conspirator that he suspected that Campbell was stealing drugs from him, that PULLIAM confronted Campbell, that Campbell tried to leave but PULLIAM did not let her do so, and that Campbell started screaming. PULLIAM then told his co-conspirator that he “stopped her from screaming” and that this was not the first time he had “done this.”
When the co-conspirator went with PULLIAM back to PULLIAM’s apartment in Patterson, New York, the co-conspirator saw Campbell’s dead body in the apartment, wrapped in a sheet. PULLIAM said “there’s the culprit,” and then directed his co-conspirator to help him move the body, threatening to kill the co-conspirator’s family if the co-conspirator did not do so. The co-conspirator helped PULLIAM move the body to PULLIAM’s Honda Accord, and they then drove to PULLIAM’s mother’s house in North Carolina. PULLIAM and his co-conspirator got shovels, a bag of lime, and plastic wrap from a shed by PULLIAM’s mother’s house, and drove Campbell’s body to a cul-de-sac, where her body was ultimately covered in lime and buried in a shallow grave.
On April 19, 2021, law enforcement officers found and recovered Campbell’s body from the area in North Carolina where PULLIAM’s co-conspirator said it was buried.
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DWAYNE PULLIAM, a/k/a “Doc,” 59, of Patterson, New York is charged with one count of traveling in interstate commerce, and using a facility in interstate commerce, with intent to engage in a business enterprise involving narcotics, and thereafter committing murder to further that unlawful activity, and one count of participating in a conspiracy to distribute and possess with intent to distribute 28 grams and more of crack cocaine. The travel act count carries a maximum sentence of life in prison. The narcotics conspiracy count carries a mandatory minimum sentence of five years in prison and a maximum sentence of 40 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Williams praised the outstanding work of the FBI Safe Streets Task Force, the FBI Charlotte Division, the DEA New York Division, the Putnam County Sheriff’s Office, the Alamance County Sherriff’s Office, the Connecticut State Police, and the Putnam County District Attorney’s Office. Mr. Williams noted that the investigation is ongoing.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorneys Michael D. Maimin and T. Josiah Pertz are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitutes only allegations, and every fact described therein should be treated as an allegation.
Pacific Northwest Environmental Extremist and Arsonist Pleads GuiltyRead the Press Release
A Pacific Northwest environmental extremist, arsonist and former fugitive pleaded guilty yesterday in federal court for his role in two arson conspiracies targeting commercial and government-owned animal processing facilities in Oregon and California.
Joseph Mahmoud Dibee, 53, pleaded guilty to conspiracy to commit arson and arson in the District of Oregon and conspiracy to commit arson in the Eastern District of California.
Yesterday’s plea also resolves Dibee’s pending criminal case in the Western District of Washington.
According to court documents, beginning in October 1996 and continuing through December 2005, Dibee and at least 15 other individuals affiliated with the Earth Liberation Front and Animal Liberation Front, loosely affiliated environmental extremist groups, knowingly conspired with one another to damage or destroy various commercial and government-owned properties.
Dibee and his co-conspirators held meetings to plan arsons of targeted sites, conducted research and surveillance of the sites and discussed their planned actions using code words and code names. The conspirators designed and constructed destructive devices which functioned as incendiary bombs to ignite fires and destroy targeted sites. During their self-described “direct actions,” the conspirators dressed in dark clothing and wore masks and gloves to disguise their appearances. Some conspirators acted as lookouts while others were responsible for placing, igniting or attempting to ignite the improvised incendiary devices.
On or about July 21, 1997, Dibee and others used incendiary devices to destroy the Cavel West Meat Packing Plant, a commercial slaughterhouse and meatpacking facility in Redmond, Oregon. Several years later, in October 2001, Dibee and others attempted to destroy the Bureau of Land Management’s Wild Horse Corrals, a government-owned facility used to remove wild horses from public lands located near Litchfield, California. The group’s attack on the facility caused the destruction of a barn and its contents.
Prior to the second incident, Dibee and others recruited co-conspirators and gathered supplies and fuel to make incendiary devices. The group used Dibee’s residence in Seattle to construct the devices and traveled from Seattle to Northern California in Dibee’s truck.
In 2006, after a long-running domestic terrorism investigation led by the FBI, a federal grand jury in Oregon indicted Dibee and 11 co-conspirators. Dibee and others were later indicted in the Eastern District of California and Western District of Washington. The conspirators, together known as “the Family,” were ultimately linked to more than 40 criminal acts between 1995 and 2001 and caused more than $45 million in damages.
Dibee fled the United States in December 2005. In late summer 2018, Cuban authorities arrested Dibee on an Interpol Red Notice. The Department of State including the U.S. Embassy in Havana, as well as the Department of Homeland Security including the U.S. Coast Guard and Immigration and Customs Enforcement assisted in returning Dibee to the United States. The Justice Department’s Office of International Affairs provided valuable assistance.
With his continued acceptance of responsibility, the government will recommend Dibee receive a sentence of 87 months in federal prison. He will be sentenced on July 27 by U.S. District Court Judge Ann Aiken in the District of Oregon.
As part of his plea agreement, Dibee has agreed to pay restitution to his victims as determined by the government and ordered by the court.
One of Dibee’s co-conspirators remains at large. Josephine Sunshine Overaker, an American citizen who is either 47 or 50 years old, is believed to have fled to Europe in late 2001. Overaker faces 19 felony charges including conspiracy to commit arson and destruction of an energy facility, attempted arson, and arson in the District of Oregon, the Western District of Washington, and the District of Colorado. The FBI continues to offer a reward of up to $50,000 for information leading to Overaker’s arrest.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, and U.S. Attorneys Scott Erik Asphaug for the District of Oregon, Phillip A. Talbert for the Eastern District of California and Nicholas W. Brown for the Western District of Washington made the announcement.
This case was investigated by the FBI and Bureau of Alcohol, Tobacco, Firearms, and Explosives.
The U.S. Attorneys’ Offices for the District of Oregon, Northern District of California, and Western District of Washington, and the National Security Division’s Counterterrorism Section are prosecuting the case.
NorCal Man Indicted on Wire Fraud Charges Alleging He Bilked Digital Media Outfit He Ran with Fraudulent Bills from Other CompaniesRead the Press Release
UPDATE-
Pursuant to a motion by the government, the case against defendant Victor Belonogoff described in the news release below was dismissed by the court on January 31, 2023.
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Pursuant to a motion by the government, the case against defendant Aryeh Kluger described in the news release below was dismissed by the court on June 28, 2024.
LOS ANGELES – A federal grand jury today indicted the former CEO of a Los Angeles-based digital media company on charges that allege he created a series of companies that defrauded his employer out of at least $3 million by submitting bills for services never provided or at inflated prices.
Victor Belonogoff, 46, who is believed to reside in San Mateo, California, is charged in the indictment with bilking Render Media, Inc., a Beverly Grove-based company he co-founded and ran until late 2018. Belonogoff is charged in the indictment with conspiracy to commit wire fraud and nine substantive counts of wire fraud.
Belonogoff, through his attorney, has agreed to surrender to federal authorities on April 26.
Belonogoff, who held several positions at Render, including chief executive officer, secretly formed six digital media and advertising companies that he used to defraud Render, according to the indictment. Belonogoff allegedly caused Render to pay his fraudulent digital media companies for products and services that were never provided or were sold to Render at inflated prices. Belonogoff is accused of diverting Render’s incoming revenue to his fraudulent digital media companies, using Render’s lines of credit to support them, and using the sham companies to misappropriate Render’s brand and content.
The indictment specifically alleges that Belonogoff caused Render to pay one of his companies for video content that was never provided. Belonogoff also allegedly caused two of the fraudulent companies to sell Render internet traffic at inflated prices and to re-code internet traffic sold to Render to make it falsely appear as though his companies generated that traffic. Belonogoff also caused one of his companies to post Render’s content while keeping 90% of the revenue generated by that content, according to the indictment.
To conceal his fraud, Belonogoff allegedly deleted emails from his Render account and later provided false testimony at a deposition in a lawsuit brought against him by Render.
The indictment alleges that Belonogoff caused Render to pay his fraudulent digital media companies more than $3 million, much of which went to his personal accounts and was used for his personal benefit.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If he is convicted of the wire fraud charges in the indictment, Belonogoff would face a statutory maximum sentence of 20 years in federal prison for each of the 10 counts.
Federal prosecutors previously charged one of Belonogoff’s co-conspirators with conspiracy to commit wire fraud. Aryeh Kluger, 34, of San Antonio, who was a vice president at Render, pleaded guilty to the charge in October 2020, admitting that he and Belonogoff “exploit[ed] Render’s business model by employing a sophisticated embezzlement scheme involving third-party companies they controlled.” United States District Judge Stephen V. Wilson is scheduled to sentence Kluger on October 24.
The FBI and IRS Criminal Investigation are conducting the investigation in this matter.
Assistant United States Attorney Gregory Bernstein of the Major Frauds Section is prosecuting this case.
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New York Man Charged with Aggravated Sexual Abuse of Connecticut ChildRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in Hartford returned an indictment yesterday charging ZACHARY WILLIAMS, 35, of Brooklyn, New York, with offenses related to his alleged sexual exploitation of an 11-year-old girl who was living in Connecticut.
As alleged in the indictment, on two occasions in February 2021, Williams crossed state lines with intent to engage in a sexual act with an 11-year-old girl, and engaged in sexual acts with the girl. He also produced at least three videos of the girl engaged in sexually explicit conduct.
The indictment charges Williams with two counts of aggravated sexual abuse with children, which carries a mandatory term of imprisonment of 30 years and a maximum term of life imprisonment on each count; one count of production of child pornography, which carries a mandatory minimum term of imprisonment of 15 years and maximum term of imprisonment of 30 years; and one count of enticing a minor to engage in illegal sexual activity, which carries a mandatory minimum term of imprisonment of 10 years and maximum term of life imprisonment.
Williams has been detained since March 13, 2021, in New Jersey, where he has been charged with additional federal child exploitation offenses.
U.S. Attorney Boyle stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Galloway Township (N.J.) Police Department. The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
U.S. Attorney Boyle thanked the U.S. Attorney’s Office for the District of New Jersey for its cooperation in the investigation and prosecution of this case.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Nevada Man Indicted in Multi-Million Dollar Fraudulent Check SchemeRead the Press Release
A federal grand jury in Las Vegas returned an indictment Wednesday charging a Nevada man with using fraudulent checks to steal money from victims’ bank accounts. Michael Zeto, 76, of Las Vegas, is charged in a 20-count indictment with wire fraud, bank fraud and aggravated identity theft. He made his initial court appearance before U.S. Magistrate Judge Cam Ferenbach of the U.S. District Court for the District of Nevada.
According to court documents, Zeto partnered with foreign telemarketers who provided Zeto with the names, bank account numbers and other personal information for American consumers who supposedly had purchased products. These consumers often had not, in fact, agreed to purchase the products and had not authorized anyone to debit their bank accounts.
Zeto allegedly knew that at least one of his telemarketing partners was engaged in fraud, that many of the supposed sales sent by his telemarketing partners were not real sales and that consumers had not authorized debits from their bank accounts. Despite knowing that sales were fraudulent, the indictment alleges that Zeto (using the information provided by his telemarketing partners) created fraudulent checks payable to companies he controlled and arranged to open accounts with banks and payment processors in the United States to deposit the fraudulent checks — thereby taking and attempting to take millions of dollars from victims’ accounts. The indictment also alleges that Zeto knew that many of the victims were older Americans and that he took steps to reduce the likelihood that financial institutions would scrutinize, and possibly close, the bank accounts into which he was depositing the fraudulent checks.
“The defendant is charged with acting as a vital link in a scheme with foreign telemarketing partners to defraud American victims,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice is committed to protecting older Americans from fraud, including people who knowingly help fraudsters.”
“This indictment reflects our office’s commitment to bring to justice criminals who prey on the elderly,” said Acting U.S. Attorney Christopher Chiou for the District of Nevada. “Working closely with the Justice Department’s Consumer Protection Branch and our law enforcement partners, we will continue to prosecute fraudsters who target seniors and other vulnerable Nevada residents. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the Department of Justice’s National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311).”
“Crimes against the elderly target some of the most vulnerable people in society,” said Inspector in Charge Eric Shen of the of the U.S. Postal Inspection Service’s Criminal Investigations Group. "The Inspection Service has been at the forefront of protecting customers from fraud schemes for many years and we will continue to investigate and stop those who exploit older Americans for their own illegal gains.”
“This indictment charges the defendant for his alleged role in a fraudulent check scheme that took and attempted to take millions of dollars from the bank accounts of American consumers,” said Special Agent in Charge Kathy A. Enstrom of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG). “The FDIC OIG remains committed to working with our law enforcement partners to pursue those who seek to defraud banking customers and threaten the integrity of the banking system.”
If convicted, Zeto faces a maximum term of imprisonment of 20 years for wire fraud and 30 years for bank fraud and a mandatory two-year term of imprisonment for aggravated identity theft. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Postal Inspection Service and Federal Deposit Insurance Corporation-Office of Inspector General are investigating the case.
Trial Attorneys Daniel Zytnick and Timothy Finley of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorney Richard Anthony Lopez of the District of Nevada are prosecuting the case.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. Eastern time. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Nevada Man Indicted in Multi-Million Dollar Fraudulent Check SchemeRead the Press Release
LAS VEGAS – A federal grand jury in Las Vegas returned an indictment Wednesday charging a Nevada man with using fraudulent checks to steal money from victims’ bank accounts. Michael Zeto, 76, of Las Vegas, is charged in a 20-count indictment with wire fraud, bank fraud and aggravated identity theft. He made his initial court appearance yesterday before U.S. Magistrate Judge Cam Ferenbach of the U.S. District Court for the District of Nevada.
According to court documents, Zeto partnered with foreign telemarketers who provided Zeto with the names, bank account numbers and other personal information for American consumers who supposedly had purchased products. These consumers often had not, in fact, agreed to purchase the products and had not authorized anyone to debit their bank accounts.
Zeto allegedly knew that at least one of his telemarketing partners was engaged in fraud, that many of the supposed sales sent by his telemarketing partners were not real sales and that consumers had not authorized debits from their bank accounts. Despite knowing that sales were fraudulent, the indictment alleges that Zeto (using the information provided by his telemarketing partners) created fraudulent checks payable to companies he controlled and arranged to open accounts with banks and payment processors in the United States to deposit the fraudulent checks — thereby taking and attempting to take millions of dollars from victims’ accounts. The indictment also alleges that Zeto knew that many of the victims were older Americans and that he took steps to reduce the likelihood that financial institutions would scrutinize, and possibly close, the bank accounts into which he was depositing the fraudulent checks.
“The defendant is charged with acting as a vital link in a scheme with foreign telemarketing partners to defraud American victims,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice is committed to protecting older Americans from fraud, including people who knowingly help fraudsters.”
“This indictment reflects our office’s commitment to bring to justice criminals who prey on the elderly,” said Acting U.S. Attorney Christopher Chiou for the District of Nevada. “Working closely with the Justice Department’s Consumer Protection Branch and our law enforcement partners, we will continue to prosecute fraudsters who target seniors and other vulnerable Nevada residents. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the Department of Justice’s National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311).”
“Crimes against the elderly target some of the most vulnerable people in society,” said Inspector in Charge Eric Shen of the of the U.S. Postal Inspection Service’s Criminal Investigations Group. "The Inspection Service has been at the forefront of protecting customers from fraud schemes for many years and we will continue to investigate and stop those who exploit older Americans for their own illegal gains.”
“This indictment charges the defendant for his alleged role in a fraudulent check scheme that took and attempted to take millions of dollars from the bank accounts of American consumers,” said Special Agent in Charge Kathy A. Enstrom of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG). “The FDIC OIG remains committed to working with our law enforcement partners to pursue those who seek to defraud banking customers and threaten the integrity of the banking system.”
If convicted, Zeto faces a maximum term of imprisonment of 20 years for wire fraud and 30 years for bank fraud and a mandatory two-year term of imprisonment for aggravated identity theft. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Postal Inspection Service and the FDIC OIG are investigating the case.
Trial Attorneys Daniel Zytnick and Timothy Finley of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorney Tony Lopez of the District of Nevada are prosecuting the case.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. Eastern time. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Naples Felon Indicted for COVID Relief FraudRead the Press Release
Fort Myers, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Daniel Joseph Tisone (34, Naples) with wire fraud, bank fraud, aggravated identity theft, illegal monetary transactions, and possession of ammunition by a convicted felon. If convicted, Tisone faces a maximum penalty of 30 years in federal prison for each wire fraud count (4 counts) and bank fraud count (6 counts), a 2-year minimum mandatory term of imprisonment for the aggravated identity theft counts (2 counts), up to 10 years in federal prison for each illegal monetary transaction count (5 counts) and for the possession of ammunition count. The indictment also notifies Tisone that the United States intends to forfeit his interest in a 2019 Tiara 34LS boat, two real properties located in Naples, a 4.02 carat solitaire engagement ring, approximately $65,645.69 seized from two bank accounts, and approximately $2,617,447.17, which are alleged to be traceable to proceeds of the offense.
According to court documents, between March 2020 and April 2021, Tisone, a convicted felon, submitted false and fraudulent Economic Injury Disaster Loan (EIDL), Main Street Lending Program (MSLP), and Paycheck Protection Program (PPP) loan applications to the Small Business Administration, as well as PPP and MSLP approved lenders. The loan applications contained numerous false representations, including the criminal history, average monthly payroll, number of employees, and gross revenues of the applicant, Tisone.
In support of the fraudulent EIDL, PPP, and MSLP applications, Tisone submitted false and fictitious payroll and tax documents, as well as a fake commercial lease. Further, Tisone fraudulently used the means of identification of individuals who purported to work for Tisone’s companies, including their names, dates of birth, and Social Security numbers, to submit false and fraudulent payroll and payroll tax documents. Tisone also fraudulently used the means of identification of an individual, including the individual’s name, date of birth, driver license, and Social Security number, to submit a false and fraudulent EIDL application.
Tisone’s false and fraudulent representations caused the SBA, PPP, and MSLP lenders to approve and fund one MSLP, four EIDL, and five PPP loans, resulting in the deposit of more than $2.6 million into bank accounts Tisone controlled. Tisone then unlawfully used the funds for unauthorized purposes and for his own personal enrichment, including the purchase of residences in Naples, stocks and investment securities, and ammunition.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted March 2020. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allows the interest and principal to be forgiven if the business spends the proceeds on these expenses within a set time-period and uses at least a certain percentage of the loan toward payroll expenses.
The EIDL program is designed to provide economic relief to small businesses that are currently experiencing a temporary loss of revenue. EIDL proceeds can be used to cover a wide array of working capital and normal operating expenses, such as continuation of health care benefits, rent, utilities, and fixed debt payments. If an applicant also obtains a loan under the PPP, the EIDL funds cannot be used for the same purpose as the PPP funds.
The MSLP was designed to provide support to small and medium-sized businesses and their employees across the United States during the COVID-19 pandemic. The program was intended to help companies, that were in sound financial condition prior to the onset of the pandemic, maintain their operations and payroll until conditions normalized.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the FBI, the Special Inspector General for Pandemic Recovery (SIGPR), Internal Revenue Service – Criminal Investigation, and the Office of Inspector General for the Federal Reserve Board. It is being prosecuted by Assistant United States Attorneys Trent Reichling and Suzanne Nebesky.
Milton Man Pleads Guilty to Money LaunderingRead the Press Release
BOSTON – The owner of a used car dealership in Fall River pleaded guilty yesterday to money laundering.
Augustine Osemwegie, 54, of Milton, pleaded guilty to one count of money laundering. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Aug. 3, 2022.
Osemwegie used his car dealership, vehicle auctions and international car shipping to launder and transmit the proceeds of romance scams, pandemic unemployment fraud and other fraudulent schemes. Specifically, Osemwegie accepted fraud proceeds in cash from “customers,” took a percentage fee for laundering the funds and then used the remaining funds to purchase used vehicles at auto auctions, purportedly for the use of his customers. Osemwegie then shipped those vehicles abroad, principally to Nigeria, where they were sold for the benefit of Osemwegie’s customers.
In September 2020, during recorded calls and meetings with an undercover agent, Osemwegie agreed to accept fraud proceeds from the undercover agent and transfer them abroad, under the guise of purchasing a used luxury sedan.
The charge of money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
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 Ian Stearns of Rollins’ Securities, Financial & Cyber Fraud Unit is prosecuting the case.