Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
22 April 2022
Mexican Posse Gang Members Sentenced to Federal Prison for Narcotics TraffickingRead the Press Release
United States Attorney Richard G. Frohling of the Eastern District of Wisconsin announced that on April 21, 2022, U.S. District Judge J.P. Stadtmueller sentenced two Milwaukee men, both of whom identified as Mexican Posse gang members, to federal prison for drug and firearm offenses.
The court sentenced Louis R. Perez III (age: 25) to twenty-one (21) years’ imprisonment and five years’ supervised release after Perez III pled guilty to conspiracy to distribute and the possession with intent to distribute controlled substances, in violation of Title 21, United States Code, Sections 846, 841(a)(1) and (b)(1)(A); and possession of firearms in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A)(i).
Perez III’s conviction and sentence stem from his leadership of a violent, nationwide drug trafficking organization that obtained multi-kilogram quantities of cocaine, heroin, and marijuana for distribution in the Milwaukee area. According to court records, Perez III, also known as “Eight Ball,” often obtained controlled substances from California and shipped drug proceeds through the U.S. Postal Service to co-conspirators in California. This drug trafficking organization was comprised of some individuals identifying as Mexican Posse gang members, including Perez III.
The court also sentenced Antonio Rodriguez (age: 23), a codefendant of Perez III, to fifteen (15) years of imprisonment. Rodriguez, also a known Mexican Posse gang member, was sentenced after pleading guilty to drug and firearm charges in relation to this trafficking organization.
As a result of this investigation, law enforcement officers seized approximately 45 firearms, 8.6 kilograms of cocaine, 700 grams of heroin, 4.4 kilograms of marijuana, 4,500 kilograms of marijuana oils, and 21.9 kilograms of filled marijuana vape cartridges.
The defendants were charged based on a long-term investigation led by law enforcement agents and officers from the North Central High Intensity Drug Trafficking Area (HIDTA), the Wisconsin Department of Justice, Division of Criminal Investigations, the Drug Enforcement Administration (DEA), the Internal Revenue Service-Criminal Investigation, the U.S. Postal Inspection Service, the Waukesha County Sheriff’s Office, the Milwaukee Police Department, and the Greenfield Police Department.
# # #
For further information contact: Public Information Officer:
(414) 297-1700
Follow us on Twitter
Mexican National Pleads Guilty to Unlawful Reentry by an Alien Removed After Conviction of a FelonyRead the Press Release
Gulfport, Miss. - A Mexican national pleaded guilty to the federal felony offense of unlawful reentry by an alien deported or removed after conviction of a felony.
U.S. Attorney Darren J. LaMarca, Chief Patrol Agent Jason E. Schneider of the U.S. Border Patrol’s New Orleans Sector, and Special Agent in Charge Jermicha L. Fomby of the Federal Bureau of Investigation made the announcement.
According to court documents, Guillermo Ivan Ramirez-Saucedo, 41, of Mexico, was arrested on November 22, 2021, on Interstate 10 in Hancock County. Following a “Be On the Lookout” Alert, a U.S. Border Patrol Agent conducted a vehicle stop and identified the driver as Guillermo Ivan Ramirez-Saucedo, who was illegally present in the United States. Officials learned that he had a significant criminal history, and the Federal Bureau of Investigation assisted in the investigation.
In addition to other criminal history, official records revealed that in 2008, Ramirez-Saucedo was lawfully removed from the U.S. to his home nation of Mexico. He was arrested again and removed in 2010 and 2017. In 2018, he was convicted in the Southern District of Texas of unlawful reentry by a deported or removed alien and sentenced to 24 months in federal prison followed by another removal in 2020.
Ramirez-Saucedo is scheduled to be sentenced on July 27, 2022, at 11:00 am, and faces a maximum penalty of 10 years in prison. After completing any sentence of incarceration, Ramirez-Saucedo also is subject to Homeland Security proceedings to remove him from the United States. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by the U.S. Border Patrol, the Federal Bureau of Investigation and the Hancock County Sheriff’s Department.
Assistant U.S. Attorney Stan Harris is the prosecutor for the case.
Mexican National Indicted on Fentanyl ChargesRead the Press Release
BOSTON – A Mexican national living in Lawrence was indicted yesterday on charges of trafficking fentanyl.
Jesus Gracielo Garcia-Vega, a/k/a Jonathan Ivan Badillo-Hernandez, 34, was indicted on one count of possession with intent to distribute 400 grams or more of fentanyl. Garcia-Vega was arrested and charged by criminal complaint on March 24, 2022, and has remained in custody since then.
According to charging documents, it is alleged that on March 23, 2022, Garcia-Vega gave a sample of fentanyl to a confidential source working with law enforcement. During that transaction, Garcia-Vega agreed to sell a kilogram of fentanyl the next day to the confidential source. On March 24, 2022, Garcia-Vega drove to the Premium Outlets in Wrentham with a kilogram of fentanyl inside a laundry bag, intending to sell it to the confidential source, but was stopped by police on I-495 in Westford and arrested.
The charge of possession with intent to distribute 400 grams or more of fentanyl provides for a mandatory minimum sentence of 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. If convicted, Garcia-Vega is subject to deportation upon completion of any sentence imposed. 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 Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement. Valuable assistance was provided by the Massachusetts State Police. Assistant U.S. Attorney Samuel R. Feldman of Rollins’ Narcotics & Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
McLaughlin Man Sentenced for BurglaryRead the Press Release
United States Attorney Alison J. Ramsdell announced that a McLaughlin, South Dakota, man convicted of Third Degree Burglary was sentenced on April 21, 2022, by U.S. District Court Judge Charles B. Kornmann.
Christopher Aaron Miller, age 42, was sentenced to three years of probation, a special assessment to the Federal Crime Victims Fund in the amount of $100, and restitution in the amount of $3,000.
Miller was indicted by a federal grand jury on September 14, 2021. He pled guilty on December 6, 2021.
The conviction stemmed from an incident on September 30, 2019, in McLaughlin, wherein Miller entered a garage at night and broke several windows on a vehicle.
This case was investigated by the Federal Bureau of Investigation, the Corson County Sheriff’s Office, and the Bureau of Indian Affairs, Office of Justice Services. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Miller released from the custody of the U.S. Marshals Service following the sentencing.
Man Sentenced for Methamphetamine Distribution in Magic ValleyRead the Press Release
BOISE – A Jerome man was sentenced to federal prison this week for distribution and possession with intent to distribute methamphetamine.
According to court records, Jose Luis Rodriguez-Landeros, 40, a Mexican national living in Jerome, was involved in the distribution of methamphetamine in the Magic Valley. Using a confidential informant, officers purchased methamphetamine from Rodriguez-Landeros on three occasions. Some of the transactions occurred at a tire shop Rodriguez-Landeros operated in Jerome, Idaho. In December 2020, Rodriguez-Landeros was stopped by police for not having a properly affixed license plate. A subsequent search of his vehicle revealed over one pound of methamphetamine, a firearm, and other items of drug paraphernalia.
U.S. District Judge Scott W. Skavdahl, from the District of Wyoming, sitting by designation, sentenced Rodriguez-Landeros to 10 years in federal prison followed by five years of supervised release. Rodriguez Landeros plead guilty to the crime on March 7, 2022.
U.S. Attorney Rafael M. Gonzalez, Jr., of the District of Idaho made the announcement and commended the cooperative efforts of the Idaho State Police, Drug Enforcement Administration, Jerome County Sheriff’s Office, Twin Falls Police Department, Twin Falls County Sheriff’s Office, Minidoka County Sheriff’s Office, Cassia County Sheriff’s Office, and Bureau of Alcohol, Tobacco, Firearms, and Explosives, which led to charges.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
###
Lorain Man Sentenced to Eleven and a Half Years in Prison for Drug Trafficking and Firearms OffensesRead the Press Release
Acting U.S. Attorney Michelle M. Baeppler announced that Demarea L. Stafford, 40, of Lorain, Ohio, was sentenced on Thursday, April 21, 2022, by Judge John R. Adams to 138 months, or eleven and a half years, in prison. Stafford previously pleaded guilty to possession of a firearm in furtherance of a drug trafficking crime, felon in possession of a firearm, distribution of crack cocaine and possession with intent to distribute fentanyl, phenyl fentanyl, alprazolam, methamphetamine, oxymorphone, cocaine and heroin.
“This sentence should send a message to felons in Lorain County and everywhere in the Northern District of Ohio,” said Acting U.S. Attorney Michelle M. Baeppler. “If you possess a firearm or engage in drug trafficking or similar criminal activity, you will soon find yourself facing significant time in federal prison.”
“Criminal acts such as these endanger countless people with potential deadly consequences,” said Cleveland FBI Special Agent in Charge Eric B. Smith. “The FBI is firmly committed to working with our police partners to disrupt drug trafficking networks and individual offenders that plague our communities.
According to court documents, on October 15, 2020, Narcotics Detectives with the Lorain Police Department conducted a controlled purchase of crack cocaine from Stafford after receiving information concerning his involvement in suspected drug trafficking activity. Later, on December 12, 2020, while the investigation was ongoing, Lorain Police officers responded to an apartment building for reports of a domestic argument with multiple shots fired.
When police arrived, they encountered the suspected gunman, later identified as Stafford, who immediately fled from officers on foot. During the pursuit, police heard a single gunshot and subsequently located and arrested Stafford. After the arrest, police searched the area and located a firearm, a black bag and a digital scale. Inside the bag, officers found considerable quantities of drugs.
Officers further investigated the incident and, through witness accounts and dashcam footage, were able to determine that Stafford had been in possession of the firearm and the black bag containing the narcotics. Stafford is prohibited from possessing a firearm due to previous convictions of drug trafficking, improper discharge of a firearm, and felonious assault in the Lorain and Cuyahoga County Courts of Common Pleas.
This case was investigated by the Lorain Police Department and the FBI. This case is part of Operation Synthetic Opioid Surge (S.O.S.)., which seeks to reduce the supply of deadly synthetic opioids and to identify wholesale distribution networks and international and domestic suppliers in Lorain County.
This case was prosecuted by Assistant U.S. Attorney Robert J. Kolansky.
Justice Department's Environment and Natural Resources Division Releases Accomplishments Report for Fiscal Year 2021Read the Press Release
The Department of Justice’s Environment and Natural Resources Division (ENRD) today released its Accomplishments Report for Fiscal Year (FY) 2021. The report highlights ENRD’s strong enforcement of our nation’s environmental and natural resources laws, efforts to advance environmental justice and role in our nation’s response to the climate crisis.
“I am proud to serve alongside the remarkable attorneys and staff who dedicate their professional lives to advancing the interests of the American people in environmental and natural resource matters,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division (ENRD). “ENRD has an incredibly important mission to protect public health and welfare by enforcing the nation’s environmental laws, safeguarding our breathtaking landscapes and precious natural resources, preserving the rights and resources of American Indian and Alaska Native nations, defending federal agency actions and enabling critical infrastructure projects, among other things.”
In 2021, ENRD litigated and won meaningful remedies from polluters who imperiled overburdened communities across the nation, including in America’s heartland, the Southeast, downtown New York City and the U.S. Virgin Islands. Going forward, Assistant Attorney General Kim pledged that ENRD will work “to ensure that all Americans — regardless of race, color, national origin or income — are treated fairly and can engage in the decisions that affect them.”
ENRD also prioritized efforts to combat climate change, as part of the President’s whole-of-government response to the climate crisis. Last year, ENRD brought civil and criminal cases to limit damaging pollution from sources like petroleum facilities and oceangoing vessels. The division also worked to protect natural resources by defending floodplain control projects and cracking down on those who unlawfully fill wetlands, illegally harvest timber and more. The division defended the authority of other federal agencies to take critical steps needed to alleviate the effects of climate change, such as the Environmental Protection Agency’s efforts to limit greenhouse gas emissions from power plants.
In FY21, ENRD worked on more than 4,000 matters. It obtained over $1.5 billion in civil and criminal fines, penalties and costs recovered. It secured federal injunctive relief valued at over $5.1 billion. And through its defensive and condemnation litigation, it saved the United States more than $443 million. ENRD achieved a favorable outcome in 99.4% of its civil enforcement cases, 90.2 percent in its civil defensive cases, 98.9% of its criminal cases and 100% of its condemnation cases.
The achievements described in the report add to ENRD’s storied legacy, which dates back 113 years. Its work is all the more important now, at what Assistant Attorney General Kim called a “pivotal moment in our nation’s history,” for environmental and natural resources issues.
Justice Department and FTC File Complaint to Stop Deceptive Marketing Practices Involving the Sale of Funeral Goods and ServicesRead the Press Release
Miami, Florida - The Department of Justice, together with the Federal Trade Commission (FTC), today announced a civil enforcement action against defendants Legacy Cremation Services LLC, Funeral & Cremation Group of North America LLC and Anthony Joseph Damiano for alleged violations of the Federal Trade Commission Act (FTC Act) and the FTC’s Trade Regulation Rule Concerning Funeral Industry Practices (Funeral Rule).
According to a complaint filed in the U.S. District Court for the Southern District of Florida, the defendants, who arrange third-party cremation services, made deceptive statements to consumers about pricing for funeral and cremation services, misrepresented the location where services were to be provided and wrongfully withheld loved one’s remains. The FTC Act prohibits unfair and deceptive conduct and false advertising. The Funeral Rule prohibits providing consumers with inaccurate price information and requires certain disclosures to consumers regarding pricing for funeral-related goods.
The complaint seeks monetary relief, civil penalties, and injunctive relief to stop defendants from continuing to violate the FTC Act and the Funeral Rule.
“The financial and emotional exploitation of people when they are at their most vulnerable will not be tolerated in this district,” said Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida. “Together with our federal partners, we will continue to protect South Florida residents through vigorous enforcement of consumer protection laws.”
“Consumers are particularly vulnerable when a loved one passes,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice is committed to stopping companies and individuals from profiting off of consumers’ grief by engaging in unlawful and deceptive marketing practices when offering funeral arrangements. The department will continue to partner with the FTC to prevent unlawful and deceptive practices that take advantage of vulnerable consumers.”
“Preying on consumers when they are dealing with the loss of a loved one is outrageous, and it’s illegal,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “The FTC is committed to enforcing the Funeral Rule to protect both grieving consumers and honest funeral homes.”
This matter is being handled by Assistant U.S. Attorney James A. Weinkle from the U.S. Attorney’s Office for the Southern District of Florida and Trial Attorneys Cody Matthew Herche and Wandaly Fernández García and Assistant Director Lisa K. Hsiao of the Civil Division’s Consumer Protection Branch. Rebecca Plett and Thomas Harris represent the FTC.
###
Justice Department and FTC File Complaint to Stop Deceptive Marketing Practices Involving the Sale of Funeral Goods and ServicesRead the Press Release
The Department of Justice, together with the Federal Trade Commission (FTC), today announced a civil enforcement action against defendants Legacy Cremation Services LLC, Funeral & Cremation Group of North America LLC and Anthony Joseph Damiano for alleged violations of the Federal Trade Commission Act (FTC Act) and the FTC’s Trade Regulation Rule Concerning Funeral Industry Practices (Funeral Rule).
According to a complaint filed in the U.S. District Court for the Southern District of Florida, the defendants, who arrange third-party cremation services, made deceptive statements to consumers about pricing for funeral and cremation services, misrepresented the location where services were to be provided and wrongfully withheld loved one’s remains. The FTC Act prohibits unfair and deceptive conduct and false advertising. The Funeral Rule prohibits providing consumers with inaccurate price information and requires certain disclosures to consumers regarding pricing for funeral-related goods.
The complaint seeks monetary relief, civil penalties and injunctive relief to stop defendants from continuing to violate the FTC Act and the Funeral Rule.
“Consumers are particularly vulnerable when a loved one passes,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice is committed to stopping companies and individuals from profiting off of consumers’ grief by engaging in unlawful and deceptive marketing practices when offering funeral arrangements. The department will continue to partner with the FTC to prevent unlawful and deceptive practices that take advantage of vulnerable consumers.”
“The financial and emotional exploitation of people when they are at their most vulnerable will not be tolerated in this district,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “Together with our federal partners, we will continue to protect South Florida residents through vigorous enforcement of consumer protection laws.”
“Preying on consumers when they are dealing with the loss of a loved one is outrageous, and it’s illegal,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “The FTC is committed to enforcing the Funeral Rule to protect both grieving consumers and honest funeral homes.”
This matter is being handled by Trial Attorneys Cody Matthew Herche and Wandaly Fernández García and Assistant Director Lisa K. Hsiao of the Civil Division’s Consumer Protection Branch, and Assistant U.S. Attorney James A. Weinkle for the Southern District of Florida. Rebecca Plett and Thomas Harris represent the FTC.
Justice Department Releases over $320 Million in Solicitations for Hiring Law Enforcement Officers, Improving School Safety, and Combating Distribution of Illicit DrugsRead the Press Release
The Justice Department announced today that the Office of Community Oriented Policing Services (COPS Office) and the Office of Justice Programs (OJP) have released over $320 million in grant solicitations for programs that advance community policing, keep school students safe, and combat the production and distribution of illegal drugs.
“The Justice Department is committed to providing our state, local, Tribal, and territorial law enforcement partners with the resources they need to keep our communities safe,” said Attorney General Merrick B. Garland. “With these funds, the Department is supporting law enforcement agencies, as well as the residents they serve, by increasing their capacity to disrupt illegal drug trafficking, hire officers committed to using best practices to serve their communities, and keep children safe in school.”
“These grants represent our commitment to provide law enforcement agencies and the communities they serve with critical resources to make our communities safer for everyone that lives, works, and plays in them,” said Associate Attorney General Vanita Gupta.
The announced solicitations include $156.5 million available for the COPS Hiring Program (CHP), a competitive award program intended to reduce crime and advance public safety through community policing by providing direct funding for the hiring of career law enforcement officers. Anticipated outcomes of the CHP program awards include increased engagement in community partnerships, implementation of projects that focus on prioritized crime issues impacting communities, implementation of changes to personnel and agency management in support of community policing, and increased capacity of agencies to implement comprehensive community policing plans that build trust and reduce crime. All local, state, Tribal, and territorial law enforcement agencies that have primary law enforcement authority are eligible to apply.
Funding also includes $53 million for the School Violence Prevention Program (SVPP). This program provides funding to improve security at schools and on school grounds in the grantees’ jurisdictions through evidence-based school safety programs. Awards will be provided directly to eligible state, local, Tribal, and territorial partners. Recipients of SVPP funding must use funding for the benefit of K-12, primary, and secondary schools and students.
The Department’s Office of Justice Programs — through its Bureau of Justice Assistance and Office of Juvenile Justice and Delinquency Prevention — also released almost $64.7 million in solicitations to support violence prevention and response efforts in schools through the STOP School Violence Act. More information about OJP’s grants can be found at https://www.ojp.gov/funding.
There is also $15 million available for the COPS Anti-Methamphetamine Program (CAMP) and $35 million for the COPS Anti-Heroin Task Force (AHTF) Program. The 2022 COPS Anti-Methamphetamine Program is a competitive grant program that advances public safety by providing funds directly to state law enforcement agencies to investigate illicit activities related to the manufacture and distribution of methamphetamine. AHTF is a competitive grant program that provides funding to state law enforcement agencies in states with high per capita levels of primary treatment admissions for heroin, fentanyl, carfentanil, and other opioids. These funds will be used for drug enforcement including investigations and activities related to the distribution of heroin and other opioids or the unlawful diversion and distribution of prescription opioids.
Additional information on these programs, as well as information on how to apply, can be found at https://cops.usdoj.gov/grants.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to organization for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served. The COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and Tribal law enforcement agencies to fund the hiring and redeployment of more than 135,000 officers.
Jury Convicts in Check Kiting TrialRead the Press Release
TOPEKA, KAN. – A federal jury convicted a Kansas man of 31 counts of bank fraud, one count of making a false statement in connection with a Small Business Administration guaranteed loan, and one count of making a false statement in a loan or credit card application.
According to court documents and evidence presented at trial, Tyler Gillum, 51, of Plainville owned and operated Plainville Livestock Commission Inc. from 2006 until 2019. Between January 2015 and August 2017, Gillum wrote checks and made wire transfers between various accounts under his control at various banks in a scheme commonly known as check kiting. This is when checks are continually written back and forth to fraudulently inflate account balances tricking banks into honoring checks written with insufficient funds. Gillum’s scheme resulted in losses of more than $10 million to the banking system.
Gillum also applied for and obtained a $1,500,000 loan, secured by the U.S. Small Business Administration, and a $500,000 line of credit from Almena State Bank, while concealing he’d previously signed an approximately $6.1 million promissory note to TBK Bank of Dallas, Texas.
“Because of the defendant’s crimes, banks suffered millions of dollars in losses. These fraudulent acts should be of concern to everyone, because the stability our nation’s banking system is vital to the financial health of this country,” said U.S. Attorney Duston Slinkard, District of Kansas.
The FBI, U.S.D.A. Office of Inspector-General, S.B.A. Office of Inspector-General, and F.D.I.C. Office of Inspector-General investigated the case.
U.S. Attorney Duston Slinkard commends the work of Assistant U.S. Attorneys Sara Walton and the late Richard Hathaway in preparing and prosecuting the case.
###
Jacksonville Man Sentenced to 12 Years for Distributing Child Sexual Abuse Videos over the InternetRead the Press Release
Jacksonville, Florida – Chief United States District Judge Timothy J. Corrigan has sentenced Michael Lee Aurandt (51, Jacksonville) to 12 years in federal prison for distributing child sexual abuse images and videos over the internet. Aurandt was also ordered to serve a 10-year term of supervised release, register as a sex offender, and pay $3,000 in restitution to a victim of his offense. Aurandt had pleaded guilty on December 21, 2021.
According to court documents, several FBI field offices began investigating Aurandt for uploading child sexual abuse materials to chat applications over the internet. In October 2020, Aurandt was observed posting videos and images depicting children being sexually abused in a chat app. The following month, Aurandt uploaded five videos containing child sex abuse materials in a chat app, which was reported to the FBI through a CyberTip submitted to the National Center for Missing and Exploited Children. The FBI investigation identified Aurandt as the source of the distributions through linked internet protocol (IP) addresses.
On August 27, 2021, FBI agents executed a search warrant at Aurandt’s residence, and he was arrested later that day. Aurandt admitted to viewing and distributing child sex abuse materials using the chat app accounts previously identified by FBI. He stated he would create new accounts whenever his accounts were shut down for violating the terms of service of the chat app.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Ashley Washington. The forfeiture of assets was handled by Assistant United States Attorney Mai Tran.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jacksonville Man Pleaded Guilty to Student Aid Fraud and Possessing Firearm in Furtherance of Drug Trafficking OffenseRead the Press Release
WILMINGTON, N.C. – A Jacksonville man pleaded guilty yesterday to using identities of family members, drug addicts and homeless people to steal over a quarter of a million dollars in federal student aid funds, as well as possessing a firearm in furtherance of drug trafficking.
“The defendant exploited homeless people, trafficked drugs and took over a quarter of a million dollars intended to support education,” said Michael Easley, United States Attorney for the Eastern District of North Carolina. “My office is working with law enforcement to uncover and stop those who traffic drugs, steal from taxpayers, and prey on the most vulnerable in our communities.”
According to court documents, Duane Montrik Burton, age 47 of Jacksonville pleaded guilty to Conspiracy to Commit Student Aid Fraud, Aggravated Identity Theft and Possession of a Firearm in Furtherance of a Drug Trafficking Offense. Burton conspired with others to defraud the United States Department of Education by fraudulently obtaining federal student aid funds. Between 2014 and 2020, Burton sought nearly $300,000 in federal student aid funds in the names of 28 individuals. According to the Government’s statement during the plea hearing, Burton tricked homeless people at a shelter into giving him their personal information by falsely claiming he was collecting information for the census. Burton also got names and personal information in exchange for illegal narcotics, which he used to fraudulently obtain student aid funds.
“Federal student aid exists so that individuals can make their dream of a higher education a reality. Ensuring those who steal student aid – through identity theft or any other means – are stopped and held accountable for their criminal actions is a big part of our mission,” said Terry Harris, Special Agent in Charge of the U.S. Department of Education Office of Inspector General Eastern Regional Office.
Additional Case Information
Burton submitted false information on the Free Application for Student Aid, commonly referred to as a FAFSA, provided fabricated documents and recruited others to take General Equivalency Exams and Placement tests for the named students. Burton profited by obtaining the refunds issued by Cape Fear Community College to these straw students, which represented the difference between the costs of tuition and the student aid funds disbursed.
The conspiracy charge carries a maximum sentence of five years imprisonment and a $250,000 fine. The aggravated identity theft charge requires the Court to impose a mandatory sentence of two-years imprisonment consecutive to any other sentence relating to the student aid conspiracy.
Based upon items seized in July 2020 from his residence, Burton pleaded guilty to Possession of a Firearm in Furtherance of a Drug Trafficking Offense. Law enforcement found various amounts of cocaine, marijuana and opiates as wells as items indicative of drug trafficking, including a scale, cutting agent, packaging material, $9,000 cash, and a loaded firearm. For this charge, Burton faces a mandatory sentence of five years’ imprisonment.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the plea. The United States Department of Education Office of the Inspector General is investigating the case and Assistant U.S. Attorney Susan B. Menzer is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:22-cr-00013-M.
###
Iowa City Woman Sentenced to Prison for Possession of AmmunitionRead the Press Release
DAVENPORT, Iowa – An Iowa City woman, Whitney Terrion Claybon, age 32, was sentenced yesterday in federal court to 27 months in prison for Felon in Possession of Ammunition. Claybon was ordered to serve three years of supervised release to follow her prison term, as well as immediately pay $100 to the Crime Victims’ Fund.
Law enforcement identified Claybon during a large-scale straw purchasing investigation. On January 4, 2021, Claybon and John Vest-Walker—who is also charged in this district with various firearm offenses—went into a local sporting goods store and looked at firearms. Claybon then surreptitiously provided money to Vest-Walker and he completed the firearm purchase. Law enforcement executed a search warrant on Claybon’s residence in Coralville, locating five rounds of ammunition in her purse. Claybon admitted knowing Vest-Walker was “flipping” firearms. Law enforcement recovered the firearm in the possession of one of Claybon’s relatives on January 21, 2021. Claybon pleaded guilty to this offense on November 5, 2021.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa City Police Department investigated the case.
Iowa City Man Sentenced to Prison for Firearm ChargesRead the Press Release
DAVENPORT, Iowa – An Iowa City man, John Curtis Vest-Walker, age 35, was sentenced yesterday in federal court to 37 months in prison for Drug User in Possession of a Firearm, False Statement During a Purchase of a Firearm, and Conspiracy. Vest-Walker was ordered to serve three years of supervised release to follow his prison term and immediately pay $300 to the Crime Victims’ Fund.
Law enforcement identified Vest-Walker as a subject in a large-scale straw purchasing investigation in December 2020, when he appeared at multiple search warrant locations seeking return of his firearms. On December 10, 2020, law enforcement executed a search warrant at Vest-Walker’s residence and seized one firearm. Vest-Walker admitted to law enforcement he was a marijuana user. Investigation revealed between May 2020 and January 2021, Vest-Walker purchased 13 firearms, but was only in possession of one firearm. Law enforcement recovered seven firearms purchased by Vest-Walker in the possession of felons, drug users, and others who were prohibited from possessing them. One firearm was recovered following a shots-fired incident. Law enforcement determined that Vest-Walker conspired with others to violate federal firearms laws by purchasing firearms for others and falsifying ATF Form 4473, indicating that he was the actual purchaser. Vest-Walker knew he was purchasing the firearms for others and immediately following the purchases he transferred the firearms to others. Vest-Walker pleaded guilty to the charges on December 6, 2021.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa City Police Department investigated the case.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on April 20 was:
Adam Alexander Williams, 33, of Auburn, Washington, on charges of interference with flight crew members and attendants. If convicted of the most serious crime, Williams faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release. Williams was released pending further proceedings. The FBI investigated the case. PACER case reference. 22-33.
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.
XXX
Holyoke Man Sentenced for Distributing Heroin and Crack CocaineRead the Press Release
BOSTON – A Holyoke man was sentenced yesterday in federal court in Springfield for distributing heroin and cocaine base (crack cocaine).
Ronny Authier, 23, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 30 months in prison and three years of supervised release. In January 2022, Authier pleaded guilty to two counts of distribution and possession with intent to distribute heroin and one count of distribution and possession with intent to distribute cocaine base.
On two occasions in September 2019, Authier distributed a total of approximately 12 grams of heroin to an undercover agent. On a third occasion in September 2019, Authier sold the agent approximately 24 grams of crack cocaine.
United States Attorney Rachael S. Rollins; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Springfield Police Commissioner Cheryl Clapprood; and Holyoke Police Chief David Pratt made the announcement today. Assistant U.S. Attorney Neil L. Desroches of Rollins’ Springfield Branch Office is prosecuted the case.
Henrico Man Charged in $1.1 Million COVID-19 Fraud SchemeRead the Press Release
RICHMOND, Va. – A Henrico man was arrested yesterday after a federal grand jury returned an indictment charging him with fraudulently obtaining over $1.1 Million in Paycheck Protection Program (PPP) loans on behalf of two defunct companies he owned, and improperly using those fraudulently-obtained PPP loan proceeds for his own personal benefit.
According to the indictment, from on or about at least April 8, 2020, to at least on or about August 31, 2021, Kortney T. Kelley, 44, submitted at least four fraudulent applications for loans under the PPP, a Small Business Administration (SBA) program designed to help businesses affected by the COVID-19 pandemic continue to pay wages to their employees. As part of these applications, Kelley made numerous false statements. For instance, Kelley represented that his defunct companies (which in fact generated no revenue and had no employees) together employed more than 140 workers and paid-out over $220,000 in monthly payroll expenses. Furthermore, as part of his applications, Kelley submitted forged tax returns and other documentation purporting to substantiate Kelley’s false claims that his companies paid substantial payroll expenses.
According to the indictment, Kelley’s fraudulent loan applications caused the SBA to disburse over $1.1 million in loans to Kelley’s business accounts. Kelley spent the loan proceeds on purposes unrelated to those authorized by the SBA, including spending at least $142,711 in loan proceeds at various casinos and on gaming, and transferring at least $834,077 in loan proceeds to Kelley’s personal brokerage accounts. Kelley made further false statements to the SBA in a loan forgiveness application, which resulted in the complete discharge of the loans.
Kelley is charged with wire fraud and engaging in monetary transactions in criminally derived property. If convicted, he faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement.
Assistant U.S. Attorney Avi Panth is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across the government to enhance efforts to combat and prevent pandemic-related fraud. The Virginia Coronavirus Fraud Task Force is a federal and state partnership led by the Eastern and Western Districts of Virginia along with fraud investigators from the FBI and Virginia State Police. The task force’s mission is to identify, investigate, and prosecute fraud related to the ongoing pandemic. The task force reviews and investigates all credible leads of fraud associated with COVID-19, focusing on schemes to exploit vulnerable populations, including the elderly and concerned citizens.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:22-cr-35.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Grand Jury - April 2022Read the Press Release
United States Attorney Jan W. Sharp announced the federal Grand Jury for the District of Nebraska has returned 14 unsealed Indictments charging 17 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Michael Bender, age 50, of Omaha, is charged with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about February 15, 2022. The penalty if convicted is not less than 10 years’ and up to life imprisonment, a $10,000,000 fine, a five-year term of supervised release, and a $100 special assessment.
* Judith Ann Deandrade, age 37, of Amesbury, Massachusetts, and Arica Marie Downs, age 35, of Rumford, Maine, are charged with possession with intent to distribute 500 grams or more of methamphetamine (mixture) on or about March 9, 2022. The penalty if convicted is not less than 10 years’ and up to life imprisonment, a $10,000,000 fine, a five-year term of supervised release, and a $100 special assessment.
* Matthew J. Doherty, II, age 35, of Valley, Nebraska, is charged with delay or destruction of mail on or about March 12, 2022. The penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Johnny A. Dolph, age 49, of Omaha, and Jennifer Norwood, a/k/a Jennifer Dolph, age 42, of Omaha, are charged in a two-count Indictment. Count I charges each with conspiracy to tamper with documents or proceedings on or about March 30, 2022. The penalty if convicted 20 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment. Count II charges both with tampering with documents or proceedings on or about March 30, 2022. The penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment.
* Sheraz J. Gill, age 27, of Upper Darby, Pennsylvania, is charged in a two-count Indictment. Count I charges Gill with transmitting threatening communications on or about August 2, 2020. The penalty if convicted 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment. Count II charges Gill with cyberstalking beginning on or about July 26, 2020 and continuing to on or about August 3, 2020. The penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment.
* Juwan Grant, age 23, of Decatur, Nebraska, is charged with sexual abuse of a minor in Indian Country beginning on or about February, 2021 and continuing through May, 2021. The penalty if convicted is 15 years’ imprisonment, a $250,000 fine, a not less than five-year term of supervised release up to life, and a $100 special assessment.
* Joey D. Huston, age 53, of Bellevue, Nebraska, is charged with destruction of government property on or about March 15, 2022. The penalty if convicted is 15 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Loretta L. Janssen, age 57, of Council Bluffs, Iowa, is charged in a five-count Indictment alleging wire fraud between July 20, 2017 and continuing to on or about July 7, 2021. The penalty on each count if convicted is 20 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment.
There is also an allegation to forfeit United States currency seized on or about July 7, 2021.
* Lidia Irena Kula, age 33, is charged in a four-count Indictment. Count I charges Kula with distribution of heroin resulting in serious bodily injury on or about December 27, 2021. The penalty if convicted is not less than 20 years and up to life imprisonment, a $1,000,000 fine, a three-year term of supervised release, and a $100 special assessment. Counts II through IV charge Kula with distribution of heroin on or about January 14, 2022 and continuing to on or about January 24, 2022. The penalty on each count if convicted 20 years’ imprisonment, a $1,000,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Elias Ramirez, Jr., age 33, of Provo, Utah, and Chaminque Porter, age 35, are charged with conspiracy to distribute and possession with intent to distribute 500 grams or more of cocaine (mixture) on or about December 20, 2021 and continuing to on or about December 21, 2021. The penalty if convicted is not less than 5 years’ and up to 40 years’ imprisonment, a $5,000,000 fine, a four-year term of supervised release, and a $100 special assessment.
* Eric K. Rose, age 35, is charged in a three-count Indictment. Count I charges Rose with possession with intent to distribute of 5 grams or more of methamphetamine (actual) on or about January 26, 2022. The maximum possible penalty if convicted is not less than 5 years’ and up to 40 years’ imprisonment, a $5,000,000 fine, a four-year term of supervised release, and a $100 special assessment. Count II charges Rose with possession of a firearm in furtherance of a drug trafficking crime on or about January 26, 2022. The maximum possible penalty if convicted is 5 years’ imprisonment consecutive to Count I, a $250,000 fine, a five-year term of supervised release, and a $100 special assessment. Count III charges Rose with felon in possession of a firearm on or about January 26, 2022. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
There is also an allegation to forfeit United States currency seized on or about January 26, 2022.
* Austin T. Tenbrink, age 22, of Grandville, Michigan, is charged with a two count Indictment. Count I charges Tenbrink with possession with intent to distribute 500 grams or more of methamphetamine (mixture) and 50 grams or more of methamphetamine (actual) on or about October 26, 2021. The penalty if convicted is not less than 10 years’ and up to life imprisonment, a $10,000,000 fine, a five-year term of supervised release, and a $100 special assessment. Count II charges Tenbrink with felon in possession of a firearm on or about October 26, 2021. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Esteban Vasquez Gomez, age 40, is charged with illegal reentry after deportation on or about March 29, 2022. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Jordan Wolfe, age 23, of Macy, Nebraska, is charged with assault on an officer with physical and bodily injury on or about March 28, 2022. The penalty if convicted is up to 8 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
Galva Man Sentenced to 15 years in Prison for Possession of Ice Methamphetamine with Intent to DistributeRead the Press Release
PEORIA, Ill. – A Galva, Illinois, man, Justin W. Collins, 42, of the 100 block of SE Eighth Street, was sentenced on April 18, 2022, to 180 months’ imprisonment for possession of ice methamphetamine with intent to distribute, to be followed by 10 years of supervised release. In addition, Collins was sentenced to 30 months prison for violating the terms of his supervised release at the time of this offense, to be served concurrently in case number 10-CR-40053.
The government presented evidence that on June 29, 2020, Collins purchased methamphetamine in the Peoria, Illinois, area and then drove directly to the Wal-Mart in Kewanee, Illinois, and entered the store. Kewanee Police requested their K-9 unit respond to the Wal-Mart, and upon arrival, the dog alerted to the presence of narcotics during a free air sniff of Collins’ truck. During a subsequent search, officers discovered a black glove containing ice methamphetamine hidden in the engine compartment of the truck. The methamphetamine was analyzed by the Drug Enforcement Administration’s North Central Laboratory and determined to be 83.3 grams of 98% pure methamphetamine. Evidence also revealed Collins was planning to distribute the methamphetamine to others after he purchased it.
Also at the hearing, U.S. District Judge Joe B. McDade noted that at the time of this offense in June 2020, Collins was already serving a term of supervised release for a prior federal methamphetamine trafficking offense from 2010. The government presented evidence that after Collins’ arrest on this case, law enforcement discovered that Collins and another federal supervised release offender were attempting to evade drug testing even though they had continued to use narcotics while on supervision. Judge McDade recommended Collins receive drug treatment while in the Bureau of Prisons noting that his prior treatment efforts were not effective.
Collins was indicted in October 2021 and pleaded guilty in December 2021. He has been in the custody of the U.S. Marshals since his indictment.
The statutory penalties for possession of methamphetamine with intent to distribute are a minimum of 10 years to life imprisonment and not less than five years of supervised release. Since Collins had a prior qualifying conviction, he faced not less than 15 years to life imprisonment, and not less than 10 years of supervised release upon completion of his imprisonment.
“Thanks to the collaborative efforts of all law enforcement involved, we were able to stop yet another drug dealer from distributing this poison into our rural communities,” said Assistant U.S. Attorney Katherine G. Legge. “Methamphetamine is highly addictive and destructive to families in our communities, both to the dealer, like Collins, and every user he sold to and their families, employers, and towns alike. This sentence should serve as a message that if you get into the large-scale business of trafficking drugs, you will be held accountable.”
The investigation was a joint effort between the Blackhawk Area Task Force, the Drug Enforcement Administration, and the Peoria, Pekin, and Kewanee Police Departments. Assistant U.S. Attorney Legge represented the government in the prosecution, with assistance of the Henry County State’s Attorney’s Office.
The case against Collins is part of an Organized Crime Drug Enforcement Task Forces (OCDETF)’s National Methamphetamine Strategic Initiative, spearheaded locally out of the Pekin Police Department. The primary goal of this initiative is to address methamphetamine trafficking and its attendant consequences by using a coordinated, multi-agency approach targeting the highest levels of drug trafficking leadership. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Fresno Man Sentenced to Life in Prison for Engaging in a Child Exploitation Enterprise and Creating Child Sexual Abuse MaterialRead the Press Release
LOS ANGELES – A Fresno man was sentenced today to life in federal prison for engaging in a child exploitation enterprise and creating child sexual abuse material (CSAM) of four young children, including children he abused with his co-defendants who were previously sentenced to lengthy prison terms.
John Richard Brinson Jr., 28, was sentenced this afternoon by United States District Judge André Birotte Jr. In imposing the life sentence, Judge Birotte said Brinson’s conduct was “evil – I don’t know how else to say it.”
Brinson pleaded guilty in July 2021 to one count of engaging in a child exploitation enterprise and four counts of production of child pornography, each representing a different victim.
According to court documents, in 2016 and 2017, Brinson distributed and advertised CSAM on a website dedicated to the sexual abuse of children ages from birth to 5 years old. Brinson – along with co-defendants Arlan Harrell, of Hawthorne, and Moises Martinez, of San Jose – was an active member of this website, which was hosted on Tor, a computer network on the dark web that is specifically designed to facilitate anonymous communication over the internet. Brinson used the website to view CSAM, to advertise and distribute CSAM – including CSAM he produced – and to encourage other members to post more CSAM. Additionally, Brinson used this website to meet like-minded offenders, including Harrell and Martinez, and commit additional offenses against children with them in-person.
“The life sentence imposed in this case is warranted by the defendant’s callous and violent abuse of children, some of whom were filmed while screaming in pain,” said United States Attorney Tracy L. Wilkison. “The child exploitation enterprise impacted more than 20 victims – children who were sexually assaulted, sometimes repeatedly, solely for the pleasure of this defendant and his cohorts. The Justice Department will continue its effort to protect the most vulnerable among us by aggressively prosecuting the most dangerous predators.”
“Those who engage in child exploitation enterprises and create child sexual abuse material will be tracked down and held accountable for their heinous conduct,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Preying on children with no regard to the grievous harm abusers cause to their victims and their families will not be tolerated. I commend the prosecution team and our law enforcement partners who worked tirelessly to ensure that these defendants would be held accountable for their crimes and justice sought for the victims.”
“The depravity of this enterprise was reflected in today’s sentencing,” said acting Special Agent in Charge Eddy Wang of Homeland Security Investigations Los Angeles. “Homeland Security Investigations prioritizes crimes of victimization and will leave no stone unturned to rescue every victim possible and bring every perpetrator to justice. I am very proud of the Homeland Security Investigations special agents from Boston, Fresno, and right here in Los Angeles that worked tirelessly with our partners at the Department of Justice, the U.S. Attorney’s Office, and the Los Angeles Internet Crimes Against Children Task Force to protect our most innocent and remove these predators from our communities.”
According to court documents, Brinson created child sexual abuse material of children between approximately three to nine years of age. On at least two occasions, Brinson and Harrell met at Brinson’s home to create CSAM depicting their sexual abuse of two of the minors together. On one of those occasions, Harrell secured the custody of another minor and traveled with the minor to Brinson’s house to create CSAM depicting both Harrell and Brinson engaging in the sexual abuse of that minor. On another occasion, Brinson and Martinez arranged to meet at Brinson’s house to create CSAM depicting their sexual abuse of two minors together, one brought by Brinson and one by Martinez.
In total, Brinson, Martinez and Harrell pleaded guilty to creating CSAM depicting themselves engaging in sexual acts with or otherwise sexually exploiting more than 20 children under the age of nine, including 10 children four years of age or younger.
The CSAM that Brinson created by himself and with his co-defendants took place in the house he shared with co-defendant Keith Lawniczak. According to court documents, Lawniczak admitted that he offered Brinson a room in his house to live in free of charge and benefitted from Brinson’s abuse of one of the minors because he had an opportunity to view the sexual acts between Brinson and the minor.
Co-defendant Martinez pleaded guilty to engaging in a child exploitation enterprise and production of child pornography and was sentenced to 55 years in prison, followed by lifetime supervised release. Lawniczak pleaded guilty to conspiracy to commit sex trafficking of a child and was sentenced to 12 years in prison and lifetime supervised release. Harrell pleaded guilty to engaging in a child exploitation enterprise, obtaining custody of a minor for purposes of producing child pornography, production of child pornography and possession of child pornography, and he was sentenced to life in prison in February.
Homeland Security Investigations’ Los Angeles office, along with HSI’s Fresno and Boston offices, investigated the case. The High Technology Investigative Unit of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) provided significant assistance.
Assistant United States Attorneys Devon Myers of the Cyber and Intellectual Property Crimes Section and Kim Meyer of the Violent and Organized Crime Section prosecuted this case in conjunction with Justice Department Trial Attorneys Lauren S. Kupersmith and Kyle P. Reynolds of CEOS
Fresno Man Sentenced to 15 Years in Prison for Receipt of Child PornographyRead the Press Release
FRESNO, Calif. — Adam Lee Campbell, 43, of Fresno, was sentenced Thursday by U.S. District Judge Jennifer L. Thurston to 15 years in prison for receipt of material involving the sexual exploitation of minors, U.S. Attorney Phillip A. Talbert announced.
According to court documents, between Jan. 17, 2019, and Feb. 23, 2021, Campbell received images of minors engaging in sexually explicit conduct onto a cellphone while on parole. Campbell has a prior conviction for hands-on contact with minors, along with prior state convictions for possession of child pornography and for failing to register as a sex offender.
This case was the product of an investigation by Homeland Security Investigations (HSI). Assistant United States Attorney Laura D. Withers prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.
Fourth New York Man Charged with Conspiring to Kidnap New Jersey ManRead the Press Release
NEWARK, N.J. – A New York man was charged today with conspiring to kidnap and hold for ransom a Fort Lee, New Jersey, resident, U.S. Attorney Philip R. Sellinger announced.
Gabriel Anthony, 34, of Queens, New York, is charged by complaint with conspiring to commit kidnapping. He appeared today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court and was detained.
Three conspirators – Fa Deng, 42, of Staten Island, New York, and Albert Ferrelli, 50, and Chiahao Lee, 30, both of Queens, New York – were charged by complaint on April 7, 2022 with conspiring to commit kidnapping.
According to documents filed in the cases, and statements made in court:
On April 5, 2022, the four conspirators drove to the victim’s home in Fort Lee. Ferrelli and Anthony entered the victim’s home wearing masks. They bound the victim’s hands, placed duct tape over his eyes and mouth, and forced him into a vehicle.
Law enforcement received information that kidnappers had sent the victim’s wife a photograph of the victim bound and duct-taped, demanding a ransom of approximately $680,000. When law enforcement responded to the victim’s home, they located what appeared to be duct tape with pieces of latex gloves stuck to it. After reviewing local surveillance footage, law enforcement identified a gray minivan used in the abduction. Other surveillance footage showed the minivan crossing the George Washington Bridge shortly after the kidnapping, and subsequently crossing into the Bronx and then into Queens.
The following day, New York Police Department personnel responded to Prince Street in Queens, where they encountered Ferrelli guarding the door to a building. When officers approached Ferrelli, they heard a man screaming for help inside the building. Officers entered the building and found the victim with his hands bound, and duct tape over his eyes and mouth.
Law enforcement located the gray minivan used in the kidnapping parked in the driveway of Lee’s home in Queens. Records showed that the minivan had been rented by Lee’s wife at LaGuardia Airport on April 4, 2022.
The maximum penalty for the offense is life imprisonment.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of George M. Crouch Jr.; the Bergen County Prosecutor’s Office under the direction of Prosecutor Mark Musella; officers of the Fort Lee Police Department, under the direction of Chief Matthew J. Hintze; and the New York Police Department under the direction of Commissioner Keechant L. Sewell with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Carolyn Silane of the Economic Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Former Teacher Pleads Guilty to Receipt of Child PornographyRead the Press Release
TALLAHASSEE, FLORIDA – Mark Robert Clow, 54, of Tallahassee, Florida, pled guilty to receiving material constituting child pornography. The plea was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
Between June 2017, and September 2021, Clow distributed, received, and possessed material containing child pornography. The pornographic material found in Clow’s possession involved a minor under the age of 12.
Sentencing in this case is set for July 8, 2022, at 1:30 p.m., at the United States Courthouse in Tallahassee before the Honorable United States Chief District Judge Mark E. Walker. Clow faces 20 years in prison, with a minimum mandatory sentence of 5 years in prison, followed by a term of 5 years to life of supervised release following his prison sentence.
The case resulted from an investigation by the Homeland Security Investigations and the Leon County Sheriff’s Office. The case is being prosecuted by Assistant United States Attorney Meredith L. Steer.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former State Employee Indicted for Unemployment Insurance FraudRead the Press Release
ALBANY, NEW YORK – A grand jury indictment unsealed today alleges that former New York State Department of Labor (NYSDOL) employee Wendell Giles, age 51, of Albany, conspired with another former NYSDOL employee to fraudulently obtain unemployment insurance (UI) benefits, including federally funded pandemic-relief benefits. A co-conspirator, Carl J. DiVeglia III, age 33, of Albany, waived indictment and pled guilty on April 13 to mail fraud and aggravated identity theft charges before Chief United States District Judge Glenn T. Suddaby.
The announcement was made by United States Attorney Carla B. Freedman; Associate Deputy Attorney General and Director of COVID Fraud Enforcement Kevin A. Chambers; Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Jonathan Mellone, Special Agent in Charge, New York Region, U.S. Department of Labor, Office of Inspector General (USDOL-OIG).
The indictment alleges that from about July 2020 through August 2021, Giles and DiVeglia initiated fraudulent unemployment insurance applications in the names of other people and then abused their NYSDOL computer systems access to release benefits payments on the false claims. Giles and DiVeglia each received a share of the fraudulently obtained UI benefits. The charges in the indictment against Giles are merely accusations. He is presumed innocent unless and until proven guilty.
United States Attorney Carla B. Freedman stated: “As alleged, Wendell Giles breached the public’s trust by taking money from government programs designed to help out-of-work New Yorkers during a global pandemic. The integrity of government benefits programs depends on the honesty of the people who help to administer them. We continue to prioritize COVID fraud prosecutions to maintain public confidence in these programs and to hold accountable those who have abused the system.”
Director Kevin A. Chambers stated: “Those who took advantage of the government’s pandemic relief packages decided that their personal gain was more important than the health and economic security of their fellow citizens. This behavior is even more egregious when committed by government employees who abused their positions of trust. I applaud the hard work of those who are investigating and prosecuting this matter.”
FBI Special Agent in Charge Janeen DiGuiseppi stated: “As alleged in the indictment, Wendell Giles and his co-conspirator used their (former) positions at the NYS Department of Labor to cheat a system designed to help unemployed New Yorkers. Their scheme lined their own pockets during a global pandemic when millions lost their jobs and needed help more than ever. The FBI, along with our partners, will continue to aggressively investigate and hold accountable those who defraud programs designed to assist Americans in need.”
USDOL-OIG Special Agent in Charge Jonathan Mellone stated: “An important part of the mission of the Office of Inspector General is to investigate fraud involving unemployment insurance programs. This is particularly true when an allegation involves misconduct by the very government employees charged with overseeing those programs. We will continue to work with our law enforcement partners and state workforce agencies to aggressively investigate unemployment insurance fraud.”
Giles appeared today and pled not guilty to mail fraud and aggravated identity theft charges before United States Magistrate Judge Daniel J. Stewart. Giles was released with conditions.
As part of DiVeglia’s guilty plea on April 13, he admitted responsibility for over $1.6 million in losses to NYSDOL and to personally receiving approximately $225,000 in fraud proceeds.
A mail fraud charge carries a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. The aggravated identity theft charge carries a mandatory term of 2 years in prison, to be imposed consecutive to any other terms of imprisonment. 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 the FBI and USDOL-OIG, with assistance from the NYSDOL Office of Special Investigations, and is being prosecuted by Assistant U.S. Attorneys John T. Chisholm and Joshua R. Rosenthal.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Former Owner of Shreveport Tax Preparation Businesses Sentenced on Tax Fraud ChargeRead the Press Release
SHREVEPORT, La. – Latasha Thomas, 44, of Crowley, Texas, was sentenced today in U.S. District Court, announced United States Attorney Brandon B. Brown. Thomas was sentenced by United States District Judge Donald E. Walter to 18 months in prison, followed by 1 year of supervised release, for making and subscribing a false tax return. Thomas was also ordered to pay restitution in the amount of $143,611.
Thomas was the owner and operator of Tax Related, LLC and ASAP Tax Service, LLE, both tax preparation businesses located in Shreveport. She was employed as a Revenue Officer with the Internal Revenue Service (IRS) for two years prior to opening her own tax preparation businesses. She was also the owner of Kidz World Learning Center and Best & Brightest Preschool Center in Shreveport.
Thomas’ primary business was the preparation and electronic filing of individual income tax returns. An investigation by the IRS revealed that Thomas aided and assisted in the preparation of false Forms 1040 for her clients by intentionally creating false Form W-2s to increase the reported income of her clients and she also falsified her personal tax returns. Thomas received the fees for the filing of client’s individual tax returns into business accounts in the name of Tax Related, ASAP Tax and another company owned by Thomas, Diamond Elite Corporation. These accounts were opened and primarily maintained by Thomas. She received but did not report $168,297 in fees in 2016 and $139,736 in fees in 2017. Thomas did not file a business return, nor did she include her business income on her personal tax returns for either tax year. Thomas personally prepared her 2016 and 2017 U.S. Individual Income Tax Returns, Forms 1040, which were verified by a written declaration that they were made under penalty of perjury and were purported to be truthful. When in truth and in fact, Thomas made false statements in both returns and the total income was false. In 2016, Thomas only reported total income of $28,202 and failed to report income totaling $168,297 which she received as tax preparation fees, thus making her 2016 taxes due and owing. In 2017, Thomas only reported total income of $17,475 and failed to report income totaling $139,736 which she received as tax preparation fees, thus making her 2017 taxes due and owing.
As part of her plea agreement, Thomas agreed to be permanently enjoined from preparing, assisting, advising, or counseling in the preparation of, or filing federal tax returns for anyone other than herself. She is also prohibited from maintaining any association with a tax preparation business, instructing, teaching or otherwise training any person in the preparation of federal tax returns.
The case was investigated by the Internal Revenue Service – Criminal Investigation and was prosecuted by Assistant U.S. Attorney Mary J. Mudrick.
# # #
Former Employee of the Maryland Motor Vehicle Administration Pleads Guilty to Federal Charge Relating to a Scheme to Provide Fraudulent Maryland Driver’s Licenses to Applicants Who Paid a FeeRead the Press Release
Greenbelt, Maryland – Marion Rose Payne, age 55, of Harwood, Maryland, pleaded guilty today to conspiracy to produce and transfer identification documents without lawful authority, specifically, Maryland driver’s licenses.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore.
According to her plea agreement, from at least July 2015 through March 2016, Payne and Co-Conspirator 2 were both employees of the Maryland Motor Vehicle Administration (MVA) and worked in the Largo, Maryland branch office. Payne’s duties at the MVA included the issuance of Maryland driver’s licenses.
As detailed in her plea agreement, Payne and Co-conspirator 2 conspired with Warner Antonio Portillo to produce and transfer Maryland driver’s licenses without lawful authority. Specifically, Portillo and others met with prospective Maryland driver’s license applicants who were willing to pay money to obtain a driver’s license illegally, typically because the applicants were aliens without legal status in the United States or were otherwise unable to obtain a lawfully issued driver’s license. The applicants paid Portillo and others between $800 and $5,000 in cash for each fraudulently issued Maryland driver’s license.
Portillo or the applicants gave Payne and/or Co-Conspirator 2 the names, addresses, and other information that applicants wished to appear on their Maryland driver’s licenses. Portillo provided the applicants and Payne and/or Co-Conspirator 2 with fraudulent documents necessary to obtain a Maryland driver’s license, including proof of payment of taxes, proof of Maryland residence, a valid license number from Motor Vehicle Departments in other states, and an identification document. Portillo and others assisted the applicants to travel to the Largo branch of the MVA, and directed the applicants to Payne’s or Co-Conspirator 2’s workstation, where applicants obtained Maryland driver’s licenses produced by Payne or Co-Conspirator 2 without lawful authority. Payne knew that the documents used in support of the driver’s licenses were fraudulent.
For example, on January 6, 2016, January 12, 2016, and February 11, 2016, Payne and Portillo met in the parking lot of the MVA Largo Branch. After each meeting Payne produced six, eight, and seven fraudulent driver’s licenses, respectively. During the conspiracy, the documents provided to obtain the fraudulent Maryland driver’s licenses included at least four Virginia DMV licenses and a bank statement belonging to real people that were used multiple times during the conspiracy. The conspiracy resulted in the unlawful production and transfer of at least 276 Maryland driver’s licenses. In exchange for the improperly issued driver’s licenses, Portillo paid Payne at least $25,000 in cash and gifts.
Payne faces a maximum sentence of 15 years in prison for the conspiracy. As part of her plea agreement, Payne will also be required to pay a money judgment of at least $25,000, which constitutes assets derived from or obtained by Payne as a result of the conspiracy. U.S. District Judge Theodore D. Chuang has scheduled sentencing for August 3, 2022, at 2:00 p.m.
Warner Antonio Portillo, age 36, of Manassas, Virginia, previously pleaded guilty to his role in the conspiracy and is awaiting sentencing.
United States Attorney Erek L. Barron commended HSI for its work in the investigation and thanked the Maryland Motor Vehicle Administration Investigation and Security Services for its assistance. Mr. Barron thanked Assistant U.S. Attorney Kelly O. Hayes and Special Assistant U.S. Attorney Brian Mund, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
# # #
Former Claims Manager for Michigan Unemployment Insurance Agency Pleads Guilty in COVID-19 Fraud SchemeRead the Press Release
DETROIT - Jermaine Rose, a former lead claims examiner for the Michigan Unemployment Insurance Agency (MUIA), pleaded guilty yesterday to conspiracy to commit wire fraud arising out of his participation in a pandemic-related unemployment insurance fraud scheme, announced United States Attorney Dawn N. Ison.
Joining in the announcement were Irene Lindow, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor Office of Inspector General and Special Agent in Charge John Marengo of the United States Secret Service’s Detroit Field Office.
Jermaine Rose, 43, pleaded guilty to one count of conspiracy to commit wire fraud arising out of his participation in a wide-ranging fraud scheme designed to provide Rose’s co-conspirators with pandemic unemployment insurance benefits to which they were not entitled.
United States Attorney Ison stated “The theft of pandemic unemployment insurance benefits is always a serious crime. The fact that an employee of the Michigan Unemployment Insurance Agency facilitated this theft makes it all the more outlandish. The conduct here was a major breach of the public trust, and my office is committed to bringing all those who abuse the public trust by participating in Covid-19 fraud schemes to justice.”
“Jermaine Rose, while serving as a State of Michigan Unemployment Insurance Agency employee, violated his duty as an employee to allow the unauthorized payment of Pandemic Unemployment Assistance claims. During a time when so many deserving people suffered from pandemic-related economic challenges, Rose exploited his position to release payment on fraudulent unemployment insurance claims in exchange for illicit payments from his co-conspirators. We will continue to work with our law enforcement and state partners to investigate those who exploit the UI system, “ stated Special Agent-in-Charge Irene Lindow, Chicago Region, U.S. Department of Labor Office of Inspector General.
Special Agent in Charge Marengo stated, “We are thankful to the Department of Labor, Michigan Unemployment Insurance Agency and the US Attorney’s Office for partnering with us in the investigation and prosecution of this case. We will continue to work with our partners to protect our nation’s financial infrastructure against individuals who take advantage of their position.”
According to the plea agreement, Rose was working as a lead claims examiner for the MUIA in April 2020, and as such, had electronic access to the MUIA claims database. Rose could use his credentials to access and approve specific UI claims submitted to the agency.
The plea documents indicate that beginning in approximately April 2020, Rose entered into an agreement with various individuals to defraud the MUIA by obtaining UI benefits through the submission of false UI claims. Rose’s co-conspirators would electronically submit fraudulent claims to MUIA in the names of various individuals, some of whom would be victims of identity theft and some of whom were entirely fictitious people. These co-conspirators would make various false statements in the applications attesting to the eligibility of these purported claimants and would often upload fictitious documentation to support those fraudulent claims. The co-conspirators would then communicate with Rose, either directly or through intermediaries, and identify the claims that they had submitted. Rose would then use his insider access to the MUIA system to approve the claims and release benefits. Most of the time, benefits would be electronically loaded onto Bank of America debit cards and mailed to addresses controlled by Rose’s co-conspirators. Rose was often paid for his services, typically in amounts between $50 and $150 per claim he touched.
While some of the individuals who approached Rose had legitimate UI claims and worked with him solely to receive benefits on an accelerated schedule, many of the individuals with whom Rose conspired submitted fraudulent UI claims in bulk. In his plea agreement, Rose acknowledged that he was well aware that many of the claims that he authorized were fraudulent.
Sentencing is set for July 21, 2022, before United States District Judge Linda V. Parker.
The case is being prosecuted by Assistant United States Attorneys John K. Neal and Alyse Wu. The investigation is being conducted jointly by the Department of Labor-Office of Inspector General and the Secret Service, with assistance from the Michigan Unemployment Insurance Agency.
Former Alabama Correctional Sergeant Indicted for Assaulting Inmates and Falsifying a ReportRead the Press Release
Montgomery, Alabama – The Justice Department today announced that a federal grand jury sitting in Montgomery, Alabama, returned a four-count indictment charging former Alabama Department of Corrections (ADOC) Sergeant Lorenzo Mills, 55, with assaulting three compliant inmates with a wooden baton at ADOC’s Draper Correctional Facility. Mills is also charged with falsification of records for submitting a false written statement in connection with the incident.
The indictment alleges that, on Oct. 25, 2020, Mills, while acting in his official capacity as a Correctional Sergeant with ADOC, subjected three inmates to cruel and unusual punishment by striking them with a wooden baton and that assault caused bodily injury and involved the use of a dangerous weapon. The indictment further alleges that Mills submitted a false written statement in connection with the incident. Specifically, the indictment alleges that Mills falsely wrote in his statement that he had not used any force against the three inmate victims.
Mills faces a statutory maximum sentence of 10 years in prison for each of the civil rights charges and 20 years in prison for the obstruction of justice offense. Mills is scheduled to make his initial appearance in federal court this afternoon.
The charges contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty in court.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Sandra J. Stewart for the Middle District of Alabama made the announcement. This case is being investigated by the FBI’s Mobile Division and ADOC’s Law Enforcement Services Division. It is being prosecuted by Assistant U.S. Attorney Eric Counts of the Middle District of Alabama, and Trial Attorneys David Reese and Nikhil Ramnaney of the Civil Rights Division.
Former Alabama Correctional Sergeant Indicted for Assaulting Inmates and Falsifying ReportRead the Press Release
The Justice Department today announced that a federal grand jury sitting in Montgomery, Alabama, returned a four-count indictment charging former Alabama Department of Corrections (ADOC) Sergeant Lorenzo Mills, 55, with assaulting three compliant inmates with a wooden baton at ADOC’s Draper Correctional Facility. Mills is also charged with falsification of records for submitting a false written statement in connection with the incident.
The indictment alleges that on Oct. 25, 2020, Mills, while acting in his official capacity as a Correctional Sergeant with ADOC, subjected three inmates to cruel and unusual punishment by striking them with a wooden baton, and that the assault caused bodily injury and involved the use of a dangerous weapon. The indictment further alleges that Mills submitted a false written statement in connection with the incident. Specifically, the indictment alleges that Mills falsely wrote in his statement that he had not used any force against the three inmate victims.
Mills faces a statutory maximum sentence of 10 years in prison for each of the civil rights charges and 20 years in prison for the obstruction of justice offense.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Sandra J. Stewart for the Middle District of Alabama made the announcement. This case is being investigated by the FBI’s Mobile Field Division and ADOC’s Law Enforcement Services Division. It is being prosecuted by Assistant U.S. Attorney Eric Counts of the Middle District of Alabama, and Trial Attorneys David Reese and Nikhil Ramnaney of the Civil Rights Division.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Florida man who defrauded elderly investors with fake commodities investment scheme sentenced to prisonRead the Press Release
Seattle –A Cocoa Beach, Florida, man was sentenced today in U.S. District Court to 30 months in prison for wire fraud in connection with his million-dollar scheme to pose as a successful commodities trader, announced U.S. Attorney Nick Brown. Matthew White, 29, accepted $1.29 million in investments from family, friends, and others, promising big gains. In truth, little was invested, and the profits were non-existent. At the sentencing hearing, U.S. District Judge Robert S. Lasnik acknowledged that White was working to pay back the money he stole. However, the judge said a prison sentence is important to show there is a price to pay for “targeting vulnerable people and stealing their money.”
According to records filed in the case, between 2011 and 2018, White solicited funds from investors in Florida and Washington State. White represented that he would use the money to successfully trade in futures contracts first under his own name, and later under the name of his company, M.W. Global Futures LLC, of which he was the sole member. White claimed to have expertise as a commodities trader, with special training. He also claimed to be a member of the Chicago Board of Trade. All of these claims were false.
White provided promotional materials that claimed his trading would provide a high return on investment. In October 2017, he sent one elderly investor a brochure claiming a return on investment in excess of 16% annually. Once he got their funds, White sent investors statements purporting to show substantial trading activity and profits. The statements also showed White’s commissions, which were allegedly tied to the level of profits. White sent some of these fictitious statements via email, constituting wire fraud. Very little of the money was actually traded in investment accounts, and the investments that were traded resulted in losses.
Of the $1.29 million, White repaid approximately $425,000 as redemptions and purported profits during the scheme. In November 2018, White was contacted by investigators from the Commodity Futures Trading Commission. He then repaid an additional $602,000 to two victims. White owes the remaining $281,970 in restitution to his victims. According to White’s defense counsel, he is paying $80,000 towards that restitution amount today, before his prison term.
Speaking in court today, Assistant United States Attorney Benjamin Diggs said White ran his fraud with repetition and persistence. “It was not a one-time lapse in judgment, for years he sent fake account statements and got new infusions of cash…. He knew the victims were elderly and vulnerable. They had their own hopes and plans for this money.”
The case was investigated by the FBI and the Division of Enforcement of the Commodity Futures Trading Commission.
The case was prosecuted by Assistant United States Attorney Benjamin Diggs.
Federal Settlement with Recycling Company Will Reduce Release of Ozone Depleting Refrigerants That Contribute to Climate ChangeRead the Press Release
The United States, on behalf of the Environmental Protection Agency (EPA), has reached a proposed settlement with Schnitzer Steel Industries Inc. of Portland, Oregon, to resolve alleged violations of the Clean Air Act and regulations designed to protect stratospheric ozone at 40 scrap metal recycling facilities throughout the United States.
If approved by the court, the settlement will require the company to pay a civil penalty of $1,550,000, implement compliance measures worth over $1,700,000 to prevent the release of ozone-depleting refrigerants and non-exempt substitutes from refrigerant-containing items during their processing and disposal and complete an environmental mitigation project. The complaint filed together with the consent decree alleges that Schnitzer failed to recover refrigerant from small appliances and motor vehicle air conditioners before disposal or to verify from the supplier that the refrigerant had been properly recovered prior to delivery to Schnitzer’s facilities.
“To help protect stratospheric ozone and reduce the risks of climate change, the Department of Justice will seek to ensure companies like Schnitzer comply with the Clean Air Act when recycling appliances and motor vehicles containing harmful refrigerants,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division.
“Many refrigerants are potent greenhouse gases that contribute to global warming if released into the atmosphere,” said Acting Assistant Administrator Larry Starfield for EPA’s Office of Enforcement and Compliance Assurance. “This settlement will help protect our climate by ensuring that these chemicals are managed properly at 40 recycling facilities across the country.”
Under the settlement, Schnitzer must implement an EPA-approved Refrigerant Recovery Management Program (RRMP) at its 40 U.S. facilities. The RRMP includes, among other things: installation of refrigerant recovery systems at Schnitzer’s facilities; screening procedures for scrap appliances and vehicles; new forms for statements and contracts to verify any refrigerant recovery from appliances and motor vehicles prior to receipt by Schnitzer; notices to customers regarding proper procedures for delivering items currently or previously containing refrigerants; employee training on procedures for ensuring compliance with regulations designed to prevent the release of refrigerants; and recordkeeping and reporting obligations.
The settlement also requires Schnitzer to perform an environmental mitigation project involving the destruction of all R-12 refrigerant in scrapped appliances and automobiles received at its facilities. R-12 contains chlorofluorocarbons and has over 10,000 times the global warming potential of carbon dioxide.
Today’s action was filed by the United States, on behalf of the EPA.
More information:
The proposed consent decree, lodged in the U.S. District Court for the District of Massachusetts, is subject to a 30-day public comment period and approval by the federal court. To view the proposed consent decree or to submit a comment during the public comment period, visit: justice.gov/enrd/consent-decrees
Clean Air Act enforcement: epa.gov/enforcement/air-enforcement
Ozone Protection Under Title VI of the Clean Air Act: epa.gov/ozone-layer-protection/ozone-protection-under-title-vi-clean-air-act
Climate Change: epa.gov/climate-change
Federal Jury Convicts Anchorage Man on Drug Related ChargesRead the Press Release
ANCHORAGE – A federal jury convicted an Anchorage man today for possession with intent to distribute a controlled substance, distribution of a controlled substance and carrying a firearm during a drug trafficking crime.
According to court documents and evidence presented at trial, Michael Griffin, 33, was stopped by Alaska State Troopers on March 29, 2017, for speeding near Healy, Alaska. During the routine stop the Trooper noticed a large amount of cash in the vehicle. When asked about the cash Griffin explained that people donated money to him and in return those donors received a gift of marijuana. The officer also inquired about any firearms in the vehicle. After initially denying having any firearms, Griffin conceded there were some in the vehicle. After obtaining a search warrant, law enforcement found five pounds of methamphetamine, a quantity of heroin and marijuana, over $40,000 in cash and 17 firearms in Griffin’s vehicle. Subsequently, in the spring of 2019, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) learned that Griffin was selling methamphetamine in Anchorage. On April 30 law enforcement conducted a control buy of 50 grams of actual methamphetamine from the defendant.
After the close of the government’s case and prior to the verdict, Griffin cut off his ankle monitor and his whereabouts are currently unknown.
If the public has any information about Griffin’s current location, please contact the U.S. Marshals Service at 907-271-5154.
The Alaska State Troopers, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Drug Enforcement Administration investigated the case.
Assistant U.S. Attorney Stephan A. Collins prosecuted the case.
###
Federal Grand Jury Indicts Man for Drug and Gun OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – A federal grand jury in New Orleans, Louisiana returned a three-count indictment charging a New Orleans man for violations of the Federal Controlled Substances Act and the Federal Gun Control Act.
According to court documents, NICHOLAS WEBER, age 29, is charged in Count 1 with possession with intent to distribute fentanyl, in violation of Title 21, United States Code, Sections 841(a)(1) and (b)(1)(B). In Count 2, WEBER is charged with possessing firearms in the furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A). In Count 3, WEBER is charged with possession of a firearms by a convicted felon, in violation of Title 18, United States Code, Section 922(g)(1).
If convicted of Count 1, WEBER faces a minimum sentence of 5 years and up to a maximum of 40 years imprisonment, up to a $5,000,000 fine, and at least 4 years of supervised release. If convicted of Count 2, WEBER faces a mandatory consecutive 5 years imprisonment, up to life imprisonment, up to a $250,000 fine, and up to 5 years of supervised release. If convicted of Count 3, WEBER faces a maximum sentence of 10 years imprisonment, up to a $250,000 fine, up to 3 years of supervised release. WEBER faces payment of a mandatory special assessment fee for each count.
U.S. Attorney Evans reiterated that the indictment is merely a charging document and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by the New Orleans Police Department, the Federal Bureau of Investigation, and Louisiana State Police as part of NOPD’s Violent Crime Abatement Investigation Team (“VCAIT”). The prosecution of this case is being handled by Assistant United States Attorney Christopher Usher.
Essex County Man Convicted of Using Credit Cards Stolen from U.S. Mail to Defraud Banks and Commit Identity TheftRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was convicted today for his role in scheming with at least one U.S. Postal Service (USPS) employee and others to steal credit cards from the mail and then steal victims’ identities in order to use the stolen cards to make hundreds of thousands of dollars of retail and online purchases, Attorney for the United States Vikas Khanna announced.
Dashaun Brown, 28, of Newark, was convicted on four counts of the superseding indictment against him: conspiracy to commit bank fraud, bank fraud, receipt and possession of stolen mail, and aggravated identity theft in connection with bank fraud, following a week-long trial before U.S. District Judge Kevin McNulty in Newark federal court. Brown was acquitted on one count of bank fraud and one count of aggravated identity theft.
According to documents filed in this case and statements made in court:
Dashaun Brown, Jahad Salter, 29, and Hakir Brown, 28, engaged USPS employees, including Khadijah Banks-Oneal, 31, to steal credit cards from the mail in exchange for compensation. Once they obtained the stolen cards, Dashaun Brown and his conspirators posed as the accountholders of the stolen credit cards when calling the banks that issued the cards and used personal identifying information belonging to the accountholders to activate the cards and to obtain or change information about the stolen credit cards. They then used the stolen credit cards to make purchases at retail stores in New Jersey and elsewhere, resulting in attempted losses of over $1 million.
Salter, Hakir Brown, and Banks-Oneal previously pleaded guilty for their respective roles in this scheme and are awaiting sentencing. Salter pleaded guilty on April 12, 2022, to conspiracy to commit bank fraud and being a felon in possession of a firearm, and his sentencing is scheduled for Aug. 30, 2022. Hakir Brown pleaded guilty on Feb. 25, 2022, to conspiracy to commit bank fraud, and his sentencing is scheduled for July 7, 2022. Banks-Oneal pleaded guilty on March 30, 2022, to receiving bribes as a federal employee, and he is scheduled to be sentenced on Aug. 10, 2022.
The charges of conspiracy to commit bank fraud and bank fraud are each punishable by a statutory maximum sentence of 30 years in prison and a maximum fine of $1 million. The charge of receipt and possession of stolen mail is punishable by a statutory maximum sentence of five years in prison and a maximum fine of $250,000. The aggravated identity theft charge carries a mandatory penalty of two years in prison, which must run consecutively to any other prison sentence imposed. Sentencing is scheduled for Sept. 6, 2022.
Attorney for the United States Khanna credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector of Charge Damon Wood, Philadelphia Division; and special agents of the U.S. Postal Service, Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, with the investigation leading to today’s guilty verdict. He also thanked the U.S. Marshals Service, District of New Jersey, under the direction of Marshal Juan Mattos Jr.; the U.S. Secret Service, New York Field Office, under the direction of Special Agent in Charge Patrick J. Freaney; the Treasury Inspector General for Tax Administration, Mid-Atlantic Field Division, under the direction of Special Agent in Charge Andrew S. McKay; the Department of Homeland Security, Homeland Security Investigations, Newark Field Office, under the direction of Special Agent in Charge Jason J. Molina; the Livingston, New Jersey Police Department, under the direction of Chief Gary Marshuetz; the Newark Police Department, under the direction of Department of Public Safety Director Brian O’Hara; the Essex County, New Jersey Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura; the New Providence, New Jersey, Police Department, under the direction of Chief of Police Theresa A. Gazaway; and the Berkeley Heights, New Jersey, Police Department, under the direction of Chief of Police Jason Massimino, for their assistance.
The government is represented by Assistant U.S. Attorneys Sara F. Merin and Elaine K. Lou of the Special Prosecutions Division in Newark.
Edinburg woman sentenced for importing nearly 25 kilos of heroinRead the Press Release
McALLEN, Texas – A 29-year-old Edinburg resident citizen has been ordered to prison for importing more than $827,000 in heroin, announced U.S. Attorney Jennifer B. Lowery.
Amanda Zaragoza pleaded guilty July 29, 2021.
Today, Judge Micaela Alvarez ordered Zaragoza to serve 65 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence that Zaragoza had been previously involved in successful drug trafficking incidents, had extensive contacts within the drug trafficking organization and significant mental health and substance abuse issues. In handing down the sentence, the court noted that she played a significant part in the movement of controlled substances into the United States from Mexico.
On May 17, 2021, Zaragoza attempted to pass through the port of entry located in Pharr while driving a grey Volkswagen sedan. After she made a negative declaration, a K-9 alerted authorities to narcotics in the tires of the vehicle. Inside, an X-ray inspection revealed a total of 24.49 kilograms of heroin.
The drugs have an estimated street value of $827,259.
Zaragoza will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Eliza Carmen Rodriguez prosecuted the case.
District Man Sentenced to Four Years in Prison for Stalking and Assaulting Ex-GirlfriendRead the Press Release
WASHINGTON – Kevin Cooke, 22, of Washington, D.C., was sentenced today to four years in prison for a series of incidents in which he stalked and assaulted his ex-girlfriend and set fire to her family’s residence in Southeast Washington, announced U.S. Attorney Matthew M. Graves.
Cooke pleaded guilty in February 2022, in the Superior Court of the District of Columbia, to charges of arson, attempted assault with a dangerous weapon, stalking, and simple assault. He was sentenced by the Honorable Lynn Leibovitz. Following completion of his prison term, Cooke is to be placed on three years of supervised release.
According to the government’s evidence, Cooke stalked and harassed his ex-girlfriend and her family between March 2021, when the relationship ended, and October 2021, when he was arrested. He set fire to the exterior of the victims’ apartment building in the 300 block of Anacostia Road SE on multiple dates, terrorizing those in the building. Cooke was under a stay-away and no-contact order issued by the Court barring him from the victim and her family’s apartment building. Nonetheless, on Aug. 30, 2021, at approximately 2 a.m., he lit items on fire and threw them into the victims’ window. Nearly 2 ½ hours later, he also fired approximately 16 rounds at the victims’ building. No one was hurt.
Cooke also arranged a meeting with his ex-girlfriend by hacking an Instagram account of one of her friends. He surprised his ex-girlfriend on Sept. 12, 2021, at her college residence hall, grabbed her, dragged her into a laundry room, and hit her in the face multiple times. He fled before police arrived. Finally, on Oct. 2, 2021, he was caught on surveillance video using a gas can and accelerant to once again set fire to the exterior of the family’s apartment building. He was arrested on Oct. 4, 2021.
In announcing the sentence, U.S. Attorney Graves commended the work of those who investigated the case from the D.C. Fire and Emergency Medical Services Department’s Fire Investigation Unit and the Metropolitan Police Department. He also expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Victim/Witness Advocate Lu Lan, Paralegal Specialist Brenda Williams, and Special Agents Neil D’Cunha and Nelson Rhone of the Criminal Investigation and Intelligence Unit.
Finally, he commended the efforts of Assistant U.S. Attorney Zach Horton, who investigated and prosecuted the case.
District Man Sentenced to 15 Years in Prison on Federal Narcotics ChargeRead the Press Release
WASHINGTON – Edward Magruder, 51, of Washington, D.C., was sentenced today to 15 years in prison on a federal drug charge stemming from his travels to New York to obtain large amounts of heroin that he would later redistribute in the Washington, D.C. area.
The announcement was made by U.S. Attorney Matthew M. Graves and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division.
Magruder pleaded guilty in October 2019, in the U.S. District Court for the District of Columbia, to a charge of unlawful possession with intent to distribute one kilogram or more of heroin. The plea, which was contingent upon the Court’s approval, called for an agreed-upon prison sentence of 12 to 15 years, followed by five years of supervised release. The Honorable Colleen Kollar-Kotelly accepted the plea and sentenced Magruder accordingly.
The investigation began in the summer of 2018. FBI agents received information that Magruder would travel to New York to acquire narcotics and then return to Washington, D.C. In particular, FBI agents learned through their investigation that, between December 2018 and May 31, 2019, Margruder traveled to New York from Washington, D.C. on at least seven separate occasions. On each trip, he stayed in New York for only a short period of time – generally, a few hours -- and then returned to Washington, D.C.
On June 7, 2019, FBI agents learned that Magruder had traveled from Washington, D.C. to New York via Greyhound bus. Agents traveled to New York to conduct surveillance. They observed him at the Port Authority Bus Terminal in Midtown Manhattan at approximately 2:30 p.m. Agents observed him as he stood outside of the bus terminal for approximately an hour and made several calls using a flip phone. Magruder was carrying a bright blue backpack.
The following day on June 8, 2019, Magruder departed the Port Authority Bus Terminal and began traveling towards Washington, D.C. He arrived at Union Station in Washington, D.C. at approximately 4:30 p.m. He walked off the bus carrying the same bright blue backpack. Agents approached Magruder, stopped him, and searched his backpack. At the bottom of the backpack, underneath several items of clothing, were two blocks of compressed tan powder, wrapped in duct tape and several plastic bags. Each block weighed approximately 600 grams. A chemist with the U.S. Drug Enforcement Administration’s (DEA) Mid-Atlantic Laboratory examined the blocks. She concluded that together they weighed approximately 1,200 grams (1.2 kilograms), and that they consisted of a mixture and substance containing heroin. The estimated street value of the heroin is approximately $100,000.
In announcing the sentence, U.S. Attorney Graves and Special Agent in Charge Jacobs commended the work of those who investigated the case from the FBI’s Washington Field Office. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Nihar Mohanty, of the Violence Reduction and Trafficking Offenses Section, and Paralegal Specialist Candace Battle.
DEA Columbia Holds 22nd National Prescription Drug Take Back Day to Prevent Addiction and Reduce Overdose DeathsRead the Press Release
COLUMBIA, SC– The Drug Enforcement Administration (DEA) Atlanta Division, which includes the state of South Carolina, will host its 22nd National Prescription Drug Take Back Day on NEXT Saturday, April 30 from 10 a.m. to 2 p.m. This bi-annual event offers free, anonymous disposal of unneeded medications at more than 4,000 local drop-off locations nationwide.
During DEA’s last Rx Drug Take Back Day, which was held on Saturday, October 23, 2021, South Carolinians turned in 9,663 pounds of unneeded, unwanted or expired prescription medications.
The event will accept tablets, capsules, patches, and other solid forms of prescription drugs. Liquids (including intravenous solutions), syringes and other sharps, and illicit drugs will not be accepted. DEA will accept vaping devices and cartridges provided lithium batteries are removed.
A location finder and partner toolbox are available at www.DEATakeBack.com for easy reference to April 30 collection sites.
Year-round receptacles are available at more than 13,000 pharmacies, hospitals, police departments, and business. Additionally, with the passage of the DUMP Opioids Act in 2021, the public may now use drop boxes at Veterans Administration medical centers to dispose of controlled substance prescription medications. Check with your local VA health facility for more information. With more than 13,000 year-round drop-off locations in the United States, every day can be Take Back day.
“Prescription drug abuse driven by the use of synthetic opioids, continues to be a major threat to our public safety,” said Robert J. Murphy, the Special Agent in Charge of the U.S. Drug Enforcement Administration’s Atlanta Field Division. “Removing one pill out of circulation could potentially save a life. Join us on Saturday, April 30, 2022 from 10 am to 2 pm at DEA’s 22nd national prescription drug Take Back event. It’s free and anonymous, no questions asked.”
Drug overdose deaths are up 16 percent in the last year, claiming more than 290 lives every day. According to a report published by the Substance Abuse and Mental Health Services Administration, a majority of people who misused a prescription medication obtained the medicine from a family member or friend.
The Centers for Disease Control and Prevention estimates that in the United States, more than 106,000 people died as the result of a drug overdose in the 12-month period ending November 2021, marking the most drug-related deaths ever recorded, with opioid-related deaths accounting for 75 percent of all overdose deaths.
For more than a decade, DEA’s National Prescription Drug Take Back Day has helped Americans easily rid their homes of unneeded medications—those that are old, unwanted, or no longer needed—that too often become a gateway to addiction. Working in close partnership with local law enforcement, Take Back Day has removed more than 15 million pounds of medication from circulation since its inception. These efforts are directly in line with DEA’s priority to combat the overdose epidemic in the United States.
The DEA encourages parents, along with their children, to educate themselves about the dangers of legal and illegal drugs by visiting DEA’s interactive websites at www.JustThinkTwice.com, www.GetSmartAboutDrugs.com, www.CampusDrugPrevention.gov, and www.dea.gov . Also follow DEA Atlanta via Twitter at @DEAATLANTADiv.
###
Cumberland County Man Sentenced to 161 Months’ Imprisonment for Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Sheldon Tee Brooks, age 58, of Carlisle, Pennsylvania, was sentenced on April 19, 2022, to 161 months’ imprisonment to be followed by 5 years of supervised release by U.S. District Court Judge Jennifer P. Wilson, for distribution of crack cocaine and possession of a firearm in furtherance of drug trafficking.
According to United States Attorney John C. Gurganus, Brooks previously pleaded guilty to possessing with intent to distribute more than 12 grams of crack cocaine, and to possessing a short-barreled shotgun with an obliterated serial number in furtherance of drug trafficking between October and November 2019, in Cumberland County.
This case was the result of an investigation conducted by the Federal Bureau of Investigation and the Pennsylvania State Police. Assistant U.S. Attorney Christian T. Haugsby prosecuted the case.
This case was 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.”
# # #
Charlotte County Correctional Officer Pleads Guilty to Attempting to Smuggle Drugs into PrisonRead the Press Release
Fort Myers, Florida – United States Attorney Roger B. Handberg announces that Troy Alexander Cole (28, Fort Myers) has pleaded guilty to attempted distribution of methamphetamine and MDMA (commonly referred to as “Molly”). Cole faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to court documents, Cole worked as a correctional officer at the Charlotte Correctional Institution (CCI) in Punta Gorda. In June 2021, on three separate occasions, Cole agreed to smuggle methamphetamine or MDMA into the prison where he worked and provide the contraband to an inmate. He agreed to do so in exchange for payments of $400, $1,000, and $4,000, respectively.
On each occasion, Cole picked up a package containing what he believed were the controlled substances and then entered CCI. Cole would then conceal the packages containing the purported controlled substances and notify the inmate that they were available for retrieval.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Michael V. Leeman.
California Man Sentenced to Life in Prison for Engaging in a Child Exploitation Enterprise and Creating Child Sexual Abuse Material of Four Young ChildrenRead the Press Release
A California man was sentenced today to life in prison for engaging in a child exploitation enterprise and creating child sexual abuse material (CSAM) of four young children, including children he abused with his co-defendants who were previously sentenced.
John Richard Brinson Jr., 28, of Fresno, pleaded guilty on July 23, 2021, to engaging in a child exploitation enterprise and four counts of production of child pornography, each representing a different victim. According to court documents and information stated during court proceedings, in 2016 and 2017, Brinson distributed and advertised CSAM on a website dedicated to the sexual abuse of children ages zero to five years old. Brinson, along with co-defendants Arlan Harrell and Moises Martinez, was an active member of this website, which was hosted on Tor, a computer network on the dark web that is specifically designed to facilitate anonymous communication over the internet. Brinson used the website to view CSAM, to advertise and distribute CSAM, including CSAM he produced, and to encourage other members to post more CSAM. Additionally, Brinson used this website to meet like-minded offenders, including Harrell and Martinez, and commit additional offenses against children with them in-person.
“Those who engage in child exploitation enterprises and create child sexual abuse material will be tracked down and held accountable for their heinous conduct,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Preying on children with no regard to the grievous harm abusers cause to their victims and their families will not be tolerated. I commend the prosecution team and our law enforcement partners who worked tirelessly to ensure that these defendants would be held accountable for their crimes and justice sought for the victims.”
“The sentence imposed in this case is warranted by the defendant’s callous and violent abuse of children, some of whom were filmed while screaming in pain,” said U.S. Attorney Tracy L. Wilkison for the Central District of California. “The child exploitation enterprise impacted more than 20 victims – children who were sexually assaulted, sometimes repeatedly, solely for the pleasure of this defendant and his cohorts. The Justice Department will continue its effort to protect the most vulnerable among us by aggressively prosecuting the most dangerous predators.”
“The depravity of this enterprise was reflected in today’s sentencing,” said acting Special Agent in Charge Eddy Wang of Homeland Security Investigations (HSI) Los Angeles. “Homeland Security Investigations prioritizes crimes of victimization and will leave no stone unturned to rescue every victim possible and bring every perpetrator to justice. I am very proud of the Homeland Security Investigations special agents from Boston, Fresno and right here in Los Angeles that worked tirelessly with our partners at the Department of Justice, the U.S. Attorney’s Office and the Los Angeles Internet Crimes Against Children Task Force to protect our most innocent and remove these predators from our communities.”
According to court documents and information stated during court proceedings, Brinson created child sexual abuse material of children with ages ranging from approximately three to nine years old. On at least two separate occasions, Brinson and Harrell met at Brinson’s home to create CSAM depicting their sexual abuse of two of the minors together. On one of those occasions, Harrell secured the custody of another minor and traveled with the minor to Brinson’s house to create CSAM depicting both Harrell and Brinson engaging in the sexual abuse of that minor. On another occasion, Brinson and Martinez arranged to meet at Brinson’s house to create CSAM depicting their sexual abuse of two minors together, one brought by Brinson and one by Martinez. In total, Brinson, Martinez and Harrell pleaded guilty to creating CSAM depicting themselves engaging in sexual acts with or otherwise sexually exploiting more than 20 children under the age of nine, including 10 children four years of age or younger. The CSAM that Brinson created by himself and with his co-defendants took place in the house he shared with co-defendant Keith Lawniczak. According to court documents and information stated during court proceedings, Lawniczak admitted that he offered Brinson a room in his house to live in free of charge and benefitted from Brinson’s abuse of one of the minors because he had an opportunity to view the sexual acts between Brinson and the minor.
Co-defendant Martinez pleaded guilty to engaging in a child exploitation enterprise and production of child pornography and was sentenced to 55 years in prison, followed by lifetime supervised release. Lawniczak pleaded guilty to conspiracy to commit sex trafficking of a child and was sentenced to 12 years in prison and lifetime supervised release. Harrell pleaded guilty to engaging in a child exploitation enterprise, obtaining custody of a minor for purposes of producing child pornography, production of child pornography, and possession of child pornography and was sentenced to life in prison.
Homeland Security Investigations’ (HSI) Los Angeles office, along with HSI’s Fresno and Boston offices, investigated the case. The High Technology Investigative Unit of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) provided significant assistance.
Trial Attorneys Lauren S. Kupersmith and Kyle P. Reynolds of the Criminal Division’s CEOS and Assistant U.S. Attorneys Devon Myers and Kim Meyer for the Central District of California prosecuted 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 www.justice.gov/psc.
California Man Sentenced to Federal Prison for a $1.5 Million Money Laundering ConspiracyRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Brandon Ross, a/k/a “Shaba X”, age 33, of Los Angeles, California to 18 months in federal prison, followed by three years of supervised release, for a large-scale money laundering conspiracy. As part of his guilty plea, Ross will be required to pay at least $1,500,000 in restitution.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Christopher Dillard of the Department of Defense, Office of Inspector General, Defense Criminal Investigative Service - Mid-Atlantic Field Office; and Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore.
According to his plea agreement, from October 2015 to January 2017, Ross, Peter Unakalu, Khalid Razaq, Saul Eady, Troy Barbour, and others participated in a scheme to launder proceeds of criminal activity by fraudulently obtaining technology-related merchandise without payment and selling the merchandise in furtherance of the money laundering scheme.
As part of the scheme to defraud, Ross convinced three technology-related companies (victim companies) that his co-conspirators were authorized to make purchase agreements and then caused the victim companies to ship specialized communications equipment, cell phones, computers, and large screen televisions to co-conspirators without payment. Ross and his co-conspirators subsequently sold or disposed of the fraudulently obtained property after receiving them. These transactions were designed to conceal the true nature, location, source, and ownership of the unlawful proceeds.
It was further part of the conspiracy that Ross received the fraudulently obtained proceeds and engaged in a series of bank and wire transfers to his co-conspirators in the effort to conceal the criminal nature of the scheme. For example, on November 28, 2016, Ross deposited $7,500 in cash into Razaq’s bank account. Then on December 2, 2016, Ross wired $2,955 to Unakalu, who was located in Nigeria, and falsely reported that it was for family support. Additionally, in January and February 2017, Barbour paid a Maryland-based moving company to transport flat-screen televisions from Virginia to California. On March 1, 2017, Ross provided Razaq $108,570 in cash as Razaq’s share of the proceeds from the scheme.
Based on bank records, the value of the goods, surveillance footage, and financial and business records from the victim companies, the loss to the three victim companies was more than $1,500,000.
United States Attorney Erek L. Barron praised the DOD-OIG and HSI for their work on the investigation. Mr. Barron thanked the FBI, the U.S. Department of Commerce, Bureau of Industry and Security, Office of Export Enforcement, the Naval Criminal Investigative Service, and Customs and Border Protection for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Joseph R. Baldwin and Adam K. Ake, who prosecuted the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
# # #
California Man Arrested and Charged with Making Threats Against LGBTQ CommunityRead the Press Release
BOSTON – A California man was arrested on Tuesday, April 20, 2022 and charged in federal court in Springfield, Mass. in connection with making threats against Merriam-Webster, Inc.
Jeremy David Hanson, 34, of Rossmoor, Calif., was charged by criminal complaint with one count of interstate communication of threats to commit violence. Hanson was released on conditions following an initial appearance in federal court in the Central District of California. Hanson will appear before U.S. District Court Magistrate Judge Katherine A. Robertson in federal court in Springfield on April 29, 2022.
“Hate-filled threats and intimidations have no place in our society,” said United States Attorney Rachael S. Rollins. “We believe Hanson sent a multitude of anonymous threatening and despicable messages related to the LGBTQ community that were intended to evoke fear and division. My office and our law enforcement partners will not tolerate threats against members of our communities, no matter what corner of the internet they’re sent from. Perpetrators will be identified, arrested, and held accountable in federal court.”
“Jeremy Hanson is accused of making hate-fueled threats of violence that crossed a line,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Everyone has a right to express their opinion, but repeatedly threatening to kill people, as has been alleged, takes it to a new level. We are always going to pursue individuals who try to intimidate and isolate members of our community by inciting violent, hateful acts. Threats to life are most certainly not protected speech and they cause real fear in victims. Rest assured, the FBI will do everything we can to bring to justice anyone who commits these criminal acts.”
According to the criminal complaint, between Oct. 2 and Oct. 8, 2021, Springfield-based Merriam-Webster, Inc. received various threatening messages and comments demonstrating bias against specific gender identities submitted through its website’s “Contact Us” page and in the comments section on its webpages that corresponded to the word entries for “Girl” and “Woman.” Authorities later identified the user as Hanson. As a result of the threats, Merriam-Webster closed its offices in Springfield and New York City for approximately five business days.
Specifically, it is alleged that on Oct. 2, 2021, Hanson used the handle “@anonYmous” to post the following comment on the dictionary’s website definition of “female”: “It is absolutely sickening that Merriam-Webster now tells blatant lies and promotes anti-science propaganda. There is no such thing as ‘gender identity.’ The imbecile who wrote this entry should be hunted down and shot.”
Hanson also allegedly sent the following threatening message via the website’s “Contact Us” page: “You [sic] headquarters should be shot up and bombed. It is sickening that you have caved to the cultural Marxist, anti-science tranny [sic] agenda and altered the definition of ‘female’ as part of the Left’s efforts to corrupt and degrade the English language and deny reality. You evil Marxists should all be killed. It would be poetic justice to have someone storm your offices and shoot up the place, leaving none of you commies alive.”
It is further alleged that on Oct. 8, 2021, Hanson posted another threatening comment on the dictionary’s website and a threatening message via the “Contact Us” page that threatened to “bomb your offices for lying and creating fake…”.
The investigation identified numerous related threats, including to the American Civil Liberties Union, Amnesty International, Land O’ Lakes, Hasbro, Inc., IGN Entertainment, the President of the University of North Texas, two professors at Loyola Marymount University and a New York City rabbi.
Individuals or entities who believe they may be victims of this crime should contact the U.S. Attorney’s Office at 888-221-6023.
The charge of interstate transmission of communications to injure the person of another provides for a sentence of up to five 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.
U.S. Attorney Rollins and FBI SAC Bonavolonta made the announcement. Assistant U.S. Attorney Steven H. Breslow of Rollins’ Springfield Branch Office is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Brownsville woman handed significant sentence for importing $1.4M in methRead the Press Release
McALLEN, Texas – A 54-year-old woman has been sent to federal prison for illegally importing approximately 76 kilograms of meth, announced U.S. Attorney Jennifer B. Lowery.
Ana Luisa Ponce pleaded guilty Nov. 1, 2021.
Today, U.S. District Judge Micaela Alvarez ordered Ponce to serve 262 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard Ponce had admitted to previously transporting narcotics for the same drug trafficking organization. In handing down the sentence, the court noted that Ponce, who has a significant prior criminal record, was arrested with a very large amount of a very dangerous drug.
On Aug. 25, 2021, Ponce attempted to cross into the United States through the Hidalgo Port of Entry. She claimed she was planning to visit a friend in Houston, but a K-9 alerted authorities to the presence of narcotics.
At secondary inspection, an X-ray scan revealed anomalies in the gas tank of Ponce’s vehicle. Law enforcement discovered a plastic pouch containing liquid meth weighing approximately 76 kilograms. She ultimately admitted that she knew she was transporting narcotics.
The drugs had an estimated street value of $1.4 million.
Ponce has been and will remain in custody pending transfer to a U.S. Bureau of Prisons Facility to be determined in the near future.
Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Sarina S. DiPiazza prosecuted the case.
Bridgeport Gang Member Involved in Multiple Shootings Sentenced to More Than 17 Years in PrisonRead the Press Release
UNDREA KIRKLAND, also known as “Spooda,” 25, of Bridgeport, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 210 months of imprisonment, followed by three years of supervised release, for his involvement in multiple shootings and related gang activity.
Today’s announcement was made by Leonard C Boyle, United States Attorney for the District of Connecticut; Joseph T. Corradino, State’s Attorney for the Fairfield Judicial District; Bridgeport Acting Police Chief Rebeca Garcia; James Ferguson, Special Agent in Charge, ATF Boston Field Division; David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Acting U.S. Marshal Lawrence Bobnick.
According to court documents and statements made in court, the FBI, ATF, DEA, U.S. Marshals Service and Bridgeport Police have been investigating multiple Bridgeport-based gangs whose members are involved in narcotics trafficking, murder and other acts of violence. Kirkand has been a member of the “Greene Homes Boyz” (“GHB/Hotz”), a gang based in the Charles F. Greene Homes Housing Complex in Bridgeport’s North End, whose members and associates distributed heroin, crack cocaine, marijuana and Percocet pills; committed numerous acts of violence against rival gang members and other individuals; and celebrated their criminal conduct on social media websites such as Facebook and YouTube. GHB/Hotz members and associates also committed acts of intimidation and made threats to deter potential witnesses to their crimes and to protect gang members and associates from detection and prosecution by law enforcement authorities. From approximately 2017 until August 2020, GHB/Hotz members were aligned with members of the “Original North End” (“O.N.E.”), a gang based in the Trumbull Gardens area of Bridgeport, against rival groups in Bridgeport, including the East End, East Side and PT Barnum gangs, as well as 150, which is a geographic gang based on the West Side of Bridgeport.
On September 16, 2021, Kirkland pleaded guilty to one count of conspiracy to engage in a pattern of racketeering activity, admitting that on May 22, 2015, he shot and attempted to kill “KJ,” a member or associate of the 150 gang, at the intersection of Park Street and Shelton Street on Bridgeport’s East Side; on February 27, 2018, he and others shot and attempted to kill “TH,” “RF” and “GS,” members or associates of the East End gang, at 1306 Stratford Avenue in Bridgeport; and on October 4, 2018, he and others shot and attempted to kill “MS,” a member or associate of the East End gang, inside the Greene Homes housing complex.
Kirkland also appears in a YouTube video, surrounded by other GHB/Hotz and O.N.E. members, possessing a firearm with a 50-round drum, discussing acts of violence, and celebrating a jury acquittal in his state trial for attempted murder. Kirkland also asserted in the YouTube video that the acquittal was a result of jury intimidation.
Kirkland has been detained since April 11, 2019.
This investigation is being conducted by ATF, the FBI’s Safe Streets and Violent Crimes Task Forces, DEA, U.S. Marshals Service, Bridgeport Police Department, Connecticut State Police and the Bridgeport State’s Attorney’s Office, with the assistance of the U.S. Postal Inspection Service, Connecticut Forensic Science Laboratory and the Stratford and Naugatuck Police Departments. The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale, Jocelyn C. Kaoutzanis, Stephanie T. Levick and Karen L. Peck.
This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN), Project Longevity and Organized Crime Drug Enforcement Task Forces (OCDETF) programs.
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.
Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it. If a group member elects to engage in gun violence, the focused attention of federal, state and local law enforcement will be directed at that entire group.
OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Boise Man Sentenced for Selling Methamphetamine, Heroin, and a Stolen FirearmRead the Press Release
BOISE – A Boise man was sentenced to 66 months in federal prison for selling controlled substances and a stolen firearm.
According to court records, in May 2021, Jason William Czech, 42, arranged to meet with an individual at a store parking lot in Boise to sell controlled substances and a firearm. Unknown to Czech at the time, the buyer was a confidential informant who was working at the direction of the Boise Police Department. Czech met with the confidential informant and exchanged methamphetamine and heroin for cash, then later sold a firearm that had recently been reported stolen.
U.S. District Judge Scott W. Skavdahl, from the District of Wyoming, sitting by designation, sentenced Czech to 66 months in federal prison followed by three years of supervised release. Czech pleaded guilty to the crime on December 13, 2021. Czech has four prior felony convictions and was on parole at the time he committed the offenses.
U.S. Attorney Rafael M. Gonzalez, Jr., of the District of Idaho made the announcement and commended the cooperative efforts of the Boise Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives, which led to charges.
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.
###
Benton Harbor FBI Safe Streets Task Force Leads to Conviction of Felon Possessing FirearmRead the Press Release
GRAND RAPIDS, MICHIGAN —U.S. Attorney Andrew Birge announced today that Joseph Favorite, 24, of Benton Harbor, was sentenced to serve 120 months in the Federal Bureau of Prisons for being a felon in possession of a firearm. U.S. District Judge Jane M. Beckering also imposed a period of supervised release of 3 years to follow. Both the 120 months’ incarceration and 3 years’ supervised release are the statutory maximum terms a judge can impose for a felon possessing a firearm.
Members of the FBI Safe Streets Task Force arrested Favorite on July 1, 2021, following an investigation into his illegal firearm possession and a search of his residence. At the time, Favorite was a parole absconder and had an active warrant for assault with a deadly weapon stemming from a June 27, 2021, incident involving a firearm. During the search of Favorite’s bedroom, investigators found a loaded 9mm pistol with 50-round drum magazine attached. Favorite was prohibited from possessing the firearm because he was previously convicted in 2016 of assault to do great bodily harm and assault with a dangerous weapon. Favorite pleaded guilty to being a felon in possession of a firearm on January 13, 2022. In sentencing Favorite to 120 months’ custody, Judge Beckering expressed concern for Favorite’s “violent history” and “disturbing” conduct, and noted he contributed “to the escalating violence in Benton Harbor.”
U.S. Attorney Birge said, “My office remains committed to supporting law enforcement task forces that collaborate to address the violent crime plaguing our communities—particularly gun violence. We will continue to work together to identify and prosecute individuals responsible for driving violent crime in our communities to make neighborhoods safer for everyone.”
“For years, this defendant committed violence against the citizens of Benton Harbor and its surrounding communities with impunity,” said James A. Tarasca, Special Agent in Charge of the FBI in Michigan. “I want to thank our partners in the Benton Harbor FBI Safe Streets Task Force for all of their hard work on this investigation and for their efforts to keep our communities safe.”
This case was prosecuted by Assistant U.S. Attorney Lauren F. Biksacky and investigated by the Benton Harbor FBI Safe Streets Task Force. The Safe Streets Task Force includes law enforcement officers from the FBI, Michigan State Police, Berrien County Sheriff’s Department, Benton Harbor Department of Public Safety, Benton Township Police Department, Pokagon Band Tribal Police Department, and the Michigan Department of Corrections.
###
Beckley Woman Pleads Guilty to Role in Facilitating Drug DistributionRead the Press Release
CHARLESTON, W.Va. – A Beckley woman pleaded guilty to interstate travel in aid of the distribution of methamphetamine.
According to court documents and statements made in court, Ciara Harvey, 26, admitted that she traveled between Winston-Salem, North Carolina, and Beckley on December 15, 2017, to deliver a package containing methamphetamine.
Harvey further admitted that she made these roundtrips to transport drug packages about once every two weeks from October 2017 until mid-2019, and that she was paid $16,000 to $20,000 annually for doing so.
Harvey is scheduled to be sentenced on July 7, 2022, and faces a maximum penalty of five years in prison, three years of supervised release and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the Drug Enforcement Administration (DEA) for conducting the investigation.
United States Magistrate Judge Omar J. Aboulhosn presided over the hearing. Assistant United States Attorney Negar M. Kordestani is prosecuting the case.
This prosecution was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-52.
###
Beckley Woman Pleads Guilty to Being a Straw PurchaserRead the Press Release
BECKLEY, W.Va. – A Beckley woman pleaded guilty today to providing false information on an ATF form in order to acquire a firearm.
According to court documents and statements made in court, on April 14, 2021, Arileah Lacy, also known as Leah, 24, bought a Ruger, Model Ruger-57, 5.7x28 caliber pistol, for an individual who is separately charged in a pending gun trafficking conspiracy, Bisheem Jones, also known as “Bosh.” Jones had given Lacy money to buy the firearm and told her which one to buy from a gun dealer in Beckley, West Virginia.
Lacy purchased at least six firearms as part of the overall scheme. Each time Lacy bought firearms for Jones, she lied on ATF Form 4473, Federal Firearms Transaction Records certifying that she was buying the guns for herself when she knew they were for Jones.
Lacy is scheduled to be sentenced on August 25, 2022, and faces a maximum penalty of five years in prison, three years of supervised release and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), which conducted the investigation.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Negar M. Kordestani is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:22-cr-46.
###