Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Monday 7 March 2022
Charlotte Man Is Sentenced to More Than 11 Years for Carjacking and Firearms OffensesRead the Press Release
CHARLOTTE, N.C. – U.S. District Judge Frank D. Whitney sentenced Jontez Xavier McLeod, 27, of Charlotte, to 141 months in prison today for carjacking and gun charges, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Judge Whitney also ordered McLeod to serve three years under court supervision after completing his prison term and to pay restitution to the victim of the carjacking.
Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney King in making today’s announcement.
According to filed court documents and the sentencing hearing, on the night of January 13, 2021, Jontez Xavier McLeod and his co-defendant, Ricky Lewis Bush, carjacked at gunpoint a female victim identified in court documents as C.K. Court records show that C.K. was exiting her vehicle which was parked at the parking lot of an apartment complex in Charlotte, when McLeod and Bush approached the victim. Bush pointed a firearm at the victim, and the two men grabbed the victim and pulled her from her vehicle. McLeod and Bush then got into the victim’s car and fled the scene, leaving the victim in the parking lot.
According to court documents, CMPD officers located the victim’s car. McLeod was driving the vehicle and Bush was in the front passenger seat. When officers attempted to stop the vehicle, the defendants sped off in an attempt to evade the police. CMPD officers eventually pulled over the vehicle and arrested the two men. Over the course of the investigation, law enforcement recovered several “selfie” videos from Bush’s cell phone, taken shortly before and after the carjacking. In one video the defendants are together prior to the carjacking and in a second video McLeod and Bush are together in the victim’s vehicle. In both videos, Bush is brandishing the same firearm used in the carjacking.
On April 16, 2021, McLeod pleaded guilty to carjacking and aiding and abetting, and brandishing a firearm during and in relation to, and in furtherance of, a crime of violence. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. Bush was previously sentenced to six and a half years in prison after pleading guilty to the same charges.
The ATF and CMPD investigated the case. Assistant U.S. Attorney Taylor G. Stout, of the U.S. Attorney’s Office in Charlotte, handled the prosecution.
Charleston Man Pleads Guilty to Federal Gun ChargeRead the Press Release
CHARLESTON, W.Va. – A Charleston man pleaded guilty today to a federal gun crime.
According to court documents and statements made in court, during the summer of 2021, Michael Antonio Smith, 49, kept firearms and drugs in his residence in Rand for a member of a multi-state methamphetamine distribution organization operating in and around Charleston. On September 29, 2021, police executed a federal search warrant at Smith’s residence on Elaine Drive where they recovered four firearms and approximately 34 grams of methamphetamine. Smith is prohibited from possessing a firearm because of his two prior felony convictions in Kanawha County Circuit Court for wanton endangerment with a firearm and possession with intent to deliver a controlled substance.
Smith is one of seventeen defendants charged as a result of this investigation. Angie Lane Harbour and Denise Marie Cottrill pleaded guilty to methamphetamine charges in February. James Edward Bennett pleaded guilty to being a felon in possession of a firearm on March 2, 2021. Brian Dangelo Terry and Jason Robert Oxley are scheduled to plead guilty on March 14, 2022.
Smith pleaded guilty to being a felon in possession of a firearm and faces up to 10 years in federal prison when he is sentenced on June 9, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Charleston Police Department, the Kanawha County Sheriff’s Department, and the Metropolitan Drug Enforcement Network Team (MDENT).
United States District Judge Joseph R. Goodwin presided over the plea hearing. Assistant United States Attorneys Joshua Hanks and Alex Hamner are handling the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 2:21-cr-211, 2:21-cr-172, and 2:21-cr-171.
###
Central Valley Man Sentenced to over 12 Years in Federal Prison for Transporting Teenager Across State Lines to Engage in ProstitutionRead the Press Release
SANTA ANA, California – A Stockton man was sentenced today to 151 months in federal prison for transporting a teenage girl from Southern California to Nevada and Arizona so she could work as a prostitute for his financial benefit.
Christian Alexander Augustus, 26, a.k.a. “Sir Ceeco” and “Ceeco,” was sentenced by United States District Judge James V. Selna.
Augustus pleaded guilty in July 2021 to one count of transportation of a minor in interstate commerce to engage in prostitution and criminal sexual activity.
From December 2018 to July 2019, Augustus directed the transportation of the victim from Los Angeles and Orange counties to locations – including Los Angeles, Las Vegas and Phoenix – in order for her to work as a prostitute to obtain money for him.
Augustus forced the victim to work on the streets and advertised her services on the internet. He also admitted that he collected the money the victim obtained by committing commercial sex acts.
“[Augustus’] egregious conduct victimized a minor by causing her to engage in sex with unknown customers purely for defendant’s financial benefit,” prosecutors wrote in a sentencing memorandum. “The seriousness of the offense is furthered by [Augustus’] used of violence in this case. [Augustus] was repeatedly violent with the minor victim in order to maintain the control needed to continue to have the minor victim work for his financial benefit.”
The Orange County Human Trafficking Task Force, which is comprised of local law enforcement agencies, including Homeland Security Investigations and the United States Attorney’s Office for the Central District of California, investigated this matter.
Assistant United States Attorney Jake D. Nare of the Santa Ana Branch Office prosecuted this case.
California Man Pleads Guilty to Smuggling Four Kilos of Meth Aboard BusRead the Press Release
KANSAS CITY, Mo. – A Desert Hot Springs, California, man pleaded guilty in federal court today to smuggling more than four kilograms of methamphetamine from Los Angeles, Calif., to Indianapolis, Indiana aboard a bus traveling through Kansas City, Missouri.
Gary A. Aquerrebere, 63, pleaded guilty before U.S. District Judge Greg Kays to one count of possessing methamphetamine with the intent to distribute.
According to today’s plea agreement, Aquerrebere was traveling through Kansas City on April 15, 2019. Members of the Missouri Western Interdiction and Narcotics Task Force (MoWIN) utilized a drug-sniffing dog, which alerted to a suitcase in the luggage compartment of the bus. Initially, none of the passengers on the bus claimed ownership of the luggage, which had a baggage claim ticket with Aquerrebere’s name, but eventually Aquerrebere admitted the suitcase was his.
When officers searched the suitcase, they found 10 bundles inside a cardboard box. The bundles, wrapped in clear cellophane and black electrical tape, contained a total of 4.356 kilograms of pure methamphetamine.
Under federal statutes, Aquerrebere is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney D. Michael Green. It was investigated by the Drug Enforcement Administration and the Kansas City, Mo., Police Department.
Centralia Man Sentenced to 14 Years in Federal Prison on Child Pornography and Sextortion ChargesRead the Press Release
BENTON, Ill. – Bryan Flanagan, 35, of Centralia, Illinois, was sentenced to 14 years in federal
prison on Thursday, March 3, 2022, on two counts of distribution of child pornography and five
counts of interstate communication with intent to extort. Flanagan pleaded guilty to charges in
federal court on September 16, 2021.
Flanagan extorted multiple minor girls online to send him sexual videos and images. Beginning in
February 2020, Flanagan used fake profiles pretending to be a teenage boy on Facebook to contact
multiple underage girls across the United States. Flanagan pressured and threatened his victims
into sending him sexually explicit videos and images. When some victims refused to do so, Flanagan
lied and told them that he was babysitting a young child and would rape or molest the child unless
his online victims sent him the requested images. Flanagan distributed images of child pornography
to at least two of his victims.This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May
2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and
abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child
Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and
local resources to locate, apprehend and prosecute individuals who sexually exploit children,
and to identify and rescue victims. For more information about Project Safe Childhood,
please visit www.usdoj.gov/psc. For more information about internet safety education,
please visit www.usdoj.gov/psc and click on the tab “resources.”The case was investigated by the Federal Bureau of Investigation, Springfield-Division.
The case was prosecuted by Assistant United States Attorneys Chris Hoell and George Norwood.Cahokia Woman Sentenced to 18 Months in Prison for Aggravated Identity TheftRead the Press Release
EAST ST. LOUIS, Ill. – Jasmine Davison, 29, of Cahokia, Illinois, was sentenced to
eighteen months in prison on Friday, March 4, 2022, for her involvement in an ID-theft scam from
2015 to 2018.
Davison and her fellow conspirators used the stolen names and social security numbers of real
people to set up new cellular service accounts at Sprint stores across southern Illinois. In
addition, they used the accounts to acquire cellular telephones without paying for them and resold
the phones to other cellular retail stores for cash.Davison is the third defendant to be sentenced in the case. On February 18, 2021,
Michael Henderson was sentenced to serve 24 months and 1 day in prison. Kyetia Hines was sentenced
on May 5, 2021, to serve 28 months, 4 of which ran concurrent with a prior sentence. Antoinette
Davis, the last defendant in the case, is scheduled to be sentenced later this month.The investigation was conducted by the United States Postal Inspection Service and the Cahokia
Police Department.Burbank, Illinois, Woman Sentenced to Prison for Mail Fraud, Wire Fraud, and Money LaunderingRead the Press Release
SPRINGFIELD, Ill. – A Burbank, Illinois, woman, Tarnavis Lee, 42, of the 6000 block of 80th Street, was sentenced on March 2, 2022, to 36 months’ imprisonment, to be followed by three years of supervised release, for mail fraud, wire fraud, and money laundering.
At the sentencing hearing, the government presented evidence that Lee engaged in schemes with co-defendants Demetra Jackson and Elizabeth McFarland to defraud the Illinois Department of Human Services (DHS) through its administration of the Child Care Assistance Program, which funded childcare services for low-income parents while they worked or participated in approved educational programs. Between approximately January 2009 and approximately April 2019, Lee, individually and together with Jackson and McFarland, submitted false and fraudulent claims to DHS for childcare services that were not provided or not provided to the extent claimed. In addition, Lee paid a total of approximately $158,000 in kickback payments to parents participating in the program in exchange for those parents allowing their personal information and that of their children to be used to submit false and fraudulent childcare claims to DHS. As a result of her schemes, Lee caused a loss to DHS of approximately $913,390.66. The government argued at sentencing that Lee’s greed, her conduct involving years-long and extensive schemes to defraud DHS and its childcare program, and the resulting substantial loss to DHS of more than $900,000 warranted a significant imprisonment sentence.
Also at the hearing, Senior U.S. District Judge Richard Mills ordered Lee to pay restitution in the amount of $913,390.66 to the Illinois Department of Human Services, jointly and severally in the amount of $125,000.00 with each co-defendant, Jackson and McFarland.
“The United States Attorney’s Office is committed to prosecuting individuals who defraud our public agencies, which were established to serve low-income individuals who need financial assistance, including with child care, a critical need,” said U.S. Attorney Gregory K. Harris.
“Ensuring that citizens’ tax dollars are protected from fraud and abuse is among our top priorities,” stated Special Agent in Charge Curt L. Muller of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “In collaboration with our law enforcement partners, HHS-OIG is committed to investigating illegal acts and holding bad actors accountable.”
“The Illinois State Police takes great pride in working with our federal partners,” stated Illinois State Police Director Brendan F. Kelly. “The ISP will never stop pursuing individuals who break the law and victimize the honest taxpayer.”
Lee was indicted on October 7, 2020, and pleaded guilty on September 7, 2021. Co-defendants Jackson and McFarland also each previously pleaded guilty to one count of wire fraud and are scheduled to be sentenced on April 7, 2022, and April 12, 2022, respectively. In a separate but related case, Lashonda Hudson pleaded guilty to wire fraud and money laundering in connection with a similar scheme to defraud DHS and is scheduled to be sentenced on April 22, 2022.
The statutory penalties for mail and wire fraud are up to 20 years imprisonment, up to three years of supervised release, and a $250,000 fine. The statutory penalties for money laundering are up to 20 years imprisonment; up to three years of supervised release; and up to a $500,000 fine or twice the value of the property involved in the transaction, whichever is greater.
The cases were the result of a joint investigation by the Department of Health and Human Services - Office of Inspector General, St. Louis Field Office, and the Illinois State Police Medicaid Fraud Control Bureau, Central Division. Assistant U.S. Attorney Timothy A. Bass represented the government in the prosecution.
Box Elder man admits trafficking methamphetamine, fentanyl on Rocky Boy’s Indian ReservationRead the Press Release
GREAT FALLS — A Box Elder man accused of trafficking both methamphetamine and fentanyl pills on and around the Rocky Boy’s Indian Reservation admitted to a drug crime today, U.S. Attorney Leif M. Johnson said.
Michael James Lamere, 39, pleaded guilty to possession with intent to distribute controlled substances. Lamere faces a mandatory minimum of 10 years in prison, a $10 million fine and at least five years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for June 8. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Lamere was detained pending further proceedings.
The government alleged in court documents that in late 2020 and early 2021, investigators received reports that Lamere was obtaining meth and other drugs in Washington and distributing them on and around the Rocky Boy’s Indian Reservation. In August 2021, law enforcement stopped in Hill County a vehicle in which Lamere was the only passenger and had an active arrest warrant. Based on the investigation and observations during the stop, officers suspected drugs were in the vehicle, had the vehicle towed and searched pursuant to a warrant. Law enforcement found meth, heroin and 369 pills that appeared to be fentanyl. One of the pills was tested and found to contain fentanyl. Lamere admitted in an interview to trafficking both meth and fentanyl and identified himself as one of the larger drug distributors in that area.
Assistant U.S. Attorney Ethan R. Plaut is prosecuting the case, which was investigated by the FBI, Tri-Agency Task Force and Hill County Sheriff’s Office.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
XXX
Berkeley County man admits to drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Edson Velasquez-Lopez, of Martinsburg, West Virginia, has admitted to a drug charge, United States Attorney William Ihlenfeld announced.
Velasquez-Lopez, 51, pleaded guilty today to one count of “Unlawful Use of a Communication Device.” Velasquez-Lopez admitted to using a phone to distribute cocaine hydrochloride in March 2021 in Berkeley County.
Velasquez-Lopez faces up to four years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Lara Omps-Botteicher and Timothy D. Helman are prosecuting the case on behalf of the government. The Eastern Panhandle Drug Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Baltimore Fentanyl Dealer Admits to Selling Narcotics to Customers Across Four StatesRead the Press Release
Baltimore, Maryland – Devin Cunningham, age 26, of Baltimore, Maryland, pleaded guilty today to conspiracy to distribute and possess with intent to distribute controlled substances and possession with intent to distribute controlled substances.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge L.C. Cheeks, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office; and Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office.
According to his guilty plea, Cunningham engaged in a years’ long conspiracy to sell and distribute narcotics including fentanyl, heroin, and other controlled substances in Baltimore, Maryland. During the existence of the conspiracy, which spanned from January 2017 to December 2020, scores of customers from Maryland, Pennsylvania, Virginia, and West Virginia traveled to the Forest Park area of Baltimore, where they would purchase between a half of a gram and several grams of fentanyl or heroin and other controlled substances from Cunningham and his associates.
From June 2018 to October 2018, law enforcement conducted numerous controlled narcotics purchases from Cunningham and his co-conspirators. In four of the controlled purchases, Cunningham either distributed or participated in the distribution of narcotics, including fentanyl, to a confidential informant. For example, on July 24, 2018, Cunningham and an accomplice sold less than two grams of a mixture containing fentanyl and heroin to a confidential informant for $200.
As stated in his plea agreement, Cunningham continued to sell heroin and fentanyl until his arrest on December 10, 2020. During his arrest, agents seized a 9mm semi-automatic pistol, four cell phones, and approximately several thousand dollars cash. Law enforcement also executed a search warrant on the vehicle that Cunningham operated. As a result of the executed search warrant, law enforcement recovered drug packaging and labeling materials, digital scales, approximately 68 grams of fentanyl, approximately 41 grams of a heroin/tramadol mixture, and approximately 383 grams of marijuana.
Cunningham and the government have agreed that, if the Court accepts the plea agreement, Cunningham will be sentenced to between six and ten years in federal prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for June 22, 2022, at 11 a.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN, an evidence-based program proven to be effective at reducing violent crime, is the centerpiece of the Department of Justice’s violent crime reduction efforts. 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.
United States Attorney Erek L. Barron commended the ATF, DEA, and FBI for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Christopher M. Rigali, who is 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.
# # #
Amtrak Employee Charged with Cares Act Fraud and Theft of Government FundsRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that STACEY V. SANTEMORE, SR., age 46, formerly of New Orleans but now a resident of Houston, Texas, was charged on March 3, 2022 in a two-count bill of information with making false statements and theft of government funds related to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
The CARES Act is a federal law enacted on March 29, 2020, to provide emergency financial assistance in connection with economic effects of the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1%. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses. In April 2020, Congress authorized over $300 billion in additional PPP funding.
In addition, the CARES Act created a temporary federal unemployment insurance program called Pandemic Unemployment Assistance (PUA) after a major disaster declaration for this funding. PUA, administered by the Louisiana Workforce Commission (LWC), provided unemployment insurance benefits for individuals who are not eligible for other types of unemployment benefits (e.g., the self-employed, independent contractors, or gig economy workers).
According to the charging documents, SANTEMORE, in July 2020, made false statements to the U.S. Small Business Administration (SBA) for the purpose of fraudulently obtaining pandemic-related relief loans funded by the federal government, including PPP funds, which he received in the amount of approximately $89,000.
SANTEMORE also applied for Louisiana unemployment benefits through the LWC with PUA funding despite at all times being fully employed by Amtrak, the national passenger railcar company. He obtained more than $1,000 from April 2020 through March 2021, and this amounts to a theft of government funds.
SANTEMORE faces a sentence of up to five years in prison, up to $250,000 in fines, and up to three years of supervised release for the false statements count. He faces up to ten years in prison, up to $250,000 in fines, and up to three years of supervised release for the theft count. There is also a $100 mandatory special assessment fee due after conviction. U.S. Attorney Evans reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
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.
For more information on the Department of Justice’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.
U.S. Attorney Evans praised the work of the Amtrak Office of Inspector General – Criminal Investigations and the Department of Labor – Office of the Inspector General, in investigating this matter. Assistant U.S. Attorney Edward J. Rivera is in charge of the prosecution.
* * *
Aliquippa Felon Sentenced to 5 Years for Drug and Gun Law ViolationsRead the Press Release
PITTSBURGH, PA -- A resident of Aliquippa, Pennsylvania, has been sentenced in federal court to 60 months in jail on his conviction of conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine and possession of a firearm and ammunition by a convicted felon, United States Attorney Cindy K. Chung announced today.
United States District Judge Cathy Bissoon imposed the sentence on Dejuan Hill, age 30.
According to information presented to the court, between 2018 and June of 2020, Hill regularly received cocaine from Cadee Akins Sr., which he distributed to users and other co-conspirators. During the investigation, law enforcement conducted three controlled purchases from Hill at his Aliquippa residence. A federal search warrant upon that same residence resulted in the seizure of a loaded handgun containing an extended magazine with 23 rounds of .45 caliber ammunition. Due to a prior felony drug trafficking conviction, the defendant is prohibited from the possession of firearms and ammunition.
Prior to imposing sentence, Judge Bissoon stated that the crimes which Hill committed are serious and are a blight upon the community.
Assistant United States Attorney Brendan J. McKenna prosecuted this case on behalf of the government.
United States Attorney Chung commended the Drug Enforcement Administration, Pennsylvania Office of Attorney General, and Beaver County Anti-Drug Task Force for the investigation leading to the successful prosecution of Hill.
Sunday 6 March 2022
Aurora Drug Dealer Sentenced to 23 Years in Federal PrisonRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Candelaria Vallejo-Gallo, age 43, of Aurora, Colorado, was sentenced to 23 years in federal prison for conspiracy to distribute and possess with intent to distribute methamphetamine, cocaine, fentanyl, and heroin. She was also sentenced to 20 years in prison for conspiracy to commit money laundering. Both sentences are to be served concurrently.
According to the plea agreement, the defendant led a conspiracy from March 2019 through February 2020 to transport and distribute large quantities of illegal drugs, working with Mexico-based sources of supply to pick up those drugs in California and employing a network of interstate load transporters, local runners, multi-pound drug customers, and lieutenants to carry out the conspiracy.
During this period, law enforcement seized over three hundred pounds of methamphetamine, over two kilograms of heroin, approximately two kilograms of cocaine, and approximately a kilogram and a half of fentanyl pills. These illicit drugs came from load runs or packages destined for the defendant and seized in Utah and Colorado. Intercepted calls from members of the defendant’s organization in 2019 also indicated the defendant’s receipt of multiple additional loads of more than fifty pounds of methamphetamine destined for redistribution. From March 2019 through January 2020, the FBI purchased over six kilograms of methamphetamine, as well as a quantity of heroin, in over a dozen controlled purchases of drugs from the defendant. The defendant was also observed actively distributing drugs, including a ten-pound methamphetamine distribution in July 2019.
To carry out this conspiracy, the defendant threatened violence to organization members perceived to be disloyal and expressed a desire to kill rivals, as reflected in calls intercepted pursuant to a court-authorized wiretap.
“Removing dangerous drug dealers from our streets is a core part of our strategy to make Colorado safer,” said United States Attorney Cole Finegan. “We thank our law enforcement partners for their effective collaboration in this effort.”
“Friday’s sentence is a direct result of the dedicated work of the FBI and our federal, state, and local partners to combat criminal organizations that distribute methamphetamine, fentanyl, heroin, and other dangerous substances in our communities,” said FBI Denver Special Agent in Charge Michael H. Schneider. “The FBI will continue to investigate individuals and groups who attempt to further the scourge of drugs and violence in the areas we serve. The FBI thanks our partners, including DEA, HSI, ICE-ERO, IRS-CI, USPIS, Douglas County Sheriff’s Office, and the U.S. Attorney's Office for their diligence and collaboration.”
“The laundering of illegal drug profits is as important and essential to drug traffickers as the distribution of their illegal drugs. Without access to these ill-gotten gains, the drug kingpins are not able to finance their operations,” said Andy Tsui, IRS Criminal Investigation Special Agent in Charge, Denver Field Office. “The role of IRS:CI in narcotics cases is to investigate and prosecute the financial violations that support the disruption and dismantling of major drug trafficking organizations. We are proud to provide this financial expertise as we worked alongside our law enforcement partners to bring the members of this organization to justice.”
“Drug trafficking organizations who bring methamphetamine and other illegal drugs also bring unprecedented violence to Colorado and our communities,” said John Fabbricatore, Field Officer Director, U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations, Denver. “ERO is dedicated to working with our law enforcement partners and the U.S. Attorney’s Office to keep our communities safe.”
“We continue to bring all our investigative capabilities to bear on Drug Trafficking Organizations who distribute dangerous poison like meth and fentanyl in Colorado,” said Ryan L. Spradlin, Special Agent in Charge, Homeland Security Investigations, Denver. “This sentence holds Candelaria accountable for her crimes and serves as a warning that HSI and its law enforcement partners will work diligently to keep highly addictive drugs out of Colorado.”
United States District Court Judge Raymond Moore sentenced Vallejo-Gallo on March 4, 2022.
Agents and deputies assigned to the Organized Crime Drug Enforcement Task Force (OCDETF) Strike Force from the FBI, ICE ERO, HSI, IRS, and the Douglas County Sheriff’s Office conducted the investigation and were assisted by officers and deputies from the Colorado State Patrol and the Arapahoe County Sheriff’s Office. Assistant United States Attorneys Cyrus Y. Chung, Zachary Phillips, and Peter McNeilly handled the prosecution of the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Force (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.
Case number: 20-cr-0028
Saturday 5 March 2022
Utica Man Sentenced to 97 Months for Drug ConspiracyRead the Press Release
SYRACUSE, NEW YORK – Vennie Coleman, age 38, of Utica, New York, was sentenced yesterday to serve 97-months in federal prison for his role in a drug conspiracy that trafficked fentanyl and acetyl fentanyl in Utica from July 2018 through July 2019, announced United States Attorney Carla B. Freedman, Oneida County District Attorney Scott McNamara, Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), New York State Police Superintendent Kevin P. Bruen, and Chief Mark Williams, Utica Police Department.
The multi-agency investigation began in March of 2017 and culminated in the federal arrest of Vennie Coleman on July 23, 2019, following the execution of several search warrants in Utica where drugs, cash, and other evidence was seized.
In addition to his prison sentence, Vennie Coleman was also sentenced to a post-incarceration term of supervised release of 4 years. The Court also directed the forfeiture of unrecovered assets Coleman acquired through the distribution of drugs consisting of a money judgment in the amount of $36,100.00.
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 was investigated by New York State Police-Special Investigations Unit (NYSP-SIU), Investigators from the Oneida County District Attorney’s Office, members of the City of Utica Police Department, and the Federal Bureau of Investigation (FBI), and was prosecuted by Assistant U.S. Attorney Andrew Beaty, Special Assistant United States Attorney Grant Garramone, and Assistant U.S. Attorney Richard Southwick.
Former Hialeah Police Sergeant Pleads Guilty to Three Civil Rights OffensesRead the Press Release
A former Hialeah Police Department Sergeant pleaded guilty today to three counts of depriving women of their civil rights under color of law by sexually abusing them.
Jesus Manuel Menocal Jr., 34, of Miami was previously charged with three counts of depriving women of their civil rights under color of law.
At the change of plea hearing held today before U.S. District Judge Kathleen M. Williams, Menocal admitted that he kissed a woman and caused her to touch his exposed penis; had a second woman, who was in psychiatric crisis, perform oral sex on him; and coerced a third woman, who was walking alone at night, into submitting to oral and vaginal sex. While not directly related to the offenses to which he pleaded guilty, Menocal also admitted to bringing a fourth female into a Hialeah Police Department building and ordering her to remove her shorts and underwear, causing her to expose her buttocks to him. Menocal admitted that he was on-duty and in uniform during all of these acts, abusing his official authority.
“We will not stand by idly when law enforcement officials abuse their power and position to sexually exploit and harm women,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division will continue to vigorously investigate and prosecute government officials who use the power of their office to sexually abuse and harm vulnerable people in their communities. We hope that this conviction sends a strong message to survivors of law enforcement sexual misconduct, that their allegations will be investigated and taken seriously.”
“Menocal sexually exploited the very people he swore to protect,” said U.S. Attorney Juan Antonio Gonzalez of the Southern District of Florida. “He betrayed his oath as a police officer and cast a dark shadow over the outstanding work done by the fine law enforcement professionals who serve our communities. Such egregious civil rights violations will not be tolerated.”
“Jesus Menocal is a predator who disgraced the badge he once wore by using his status as a police officer to sexually abuse women,” said Assistant Special Agent in Charge John J. Bernard of FBI Miami. “His actions are depraved and serve only to diminish the hard work and professionalism of the vast majority of South Florida law enforcement officers who follow their oath of office and whose conduct is above reproach.”
Menocal is scheduled for sentencing on May 12, 2022. He faces a statutory maximum sentence of three years in prison.
The case was investigated by the FBI with assistance from the Hialeah Police Department. The case is being prosecuted by Assistant U.S. Attorneys Edward N. Stamm and Monica K. Castro of the Southern District of Florida, and Trial Attorney Kyle Boynton and Special Litigation Counsel Samantha Trepel of the Civil Rights Division of the Department of Justice.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov/ or on http://pacer.flsd.uscourts.gov/.
Friday 4 March 2022
York, PA Man Pleads Guilty to Possessing a Kilo of Cocaine following a U.S. Postal Service InvestigationRead the Press Release
PITTSBURGH, PA -- A resident of York, Pennsylvania, pleaded guilty in federal court to a charge of violating federal narcotic laws, United States Attorney Cindy K. Chung announced today.
Shaiquane Harrison, age 26, pleaded guilty to one count before United States District Judge William S. Stickman.
In connection with the guilty plea, the court was advised that on February 26, 2021, the United States Postal Service identified a suspicious parcel that was addressed to a residence in Monessen, Pennsylvania. A drug canine alerted to the presence of a controlled substance, and law enforcement obtained a federal search warrant for the parcel. The resulting search revealed that the parcel contained approximately one kilogram of cocaine.
Subsequently, law enforcement conducted a controlled delivery operation of the parcel on March 1, 2021. Approximately 30 minutes after delivery, Harrison arrived in a rental vehicle. Surveillance observed Harrison interact with a cell phone in a blue and white case before retrieving the parcel and returning to the rental vehicle.
Law enforcement then followed Harrison to another residence in Monessen, Pennsylvania. The defendant entered the residence, and law enforcement observed that an electronic transmitting device within the parcel stopped transmitting. Suspecting that the contents of the parcel were being destroyed, law enforcement entered the residence.
Upon entry, law enforcement observed Harrison, who had pieces of the opened parcel in his hands, flee from the residence. Law enforcement observed Harrison briefly stop at a shed behind the residence prior to jumping a fence. During a protective sweep, officers found a cell phone with a blue and white case outside the shed. A tire inside the shed contained a loaded 9mm caliber handgun. A federal search warrant on the recovered cell phone revealed texts putting Harrison on notice that the parcel was sent. The cellular phone also reflected that Harrison searched the parcel tracking number, which provided him with the delivery date.
Judge Stickman scheduled sentencing for July 8, 2022, at 10:30 a.m. The law provides for a term of imprisonment of not less than five years to a maximum of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Harrison on bond.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
The United States Postal Service conducted the investigation that led to the prosecution of Harrison.
York County Man Sentenced to 121 Months’ Imprisonment for Drug TraffickingRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Luis D. Baez-Sierra, age 38, of York, Pennsylvania, was sentenced on March 2, 2022, to 121 months’ imprisonment to be followed by five years of supervised release by U.S. District Court Judge Sylvia H. Rambo for drug trafficking.
According to United States Attorney John C. Gurganus, Baez-Sierra previously pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine between May 2015 and May 2017. Baez-Sierra was the leader of a drug trafficking organization operating in York County, Pennsylvania. Baez-Sierra was receiving narcotics through the United States mail sent from Puerto Rico.
Baez-Sierra was originally charged in May 2017, with seven codefendants:
- Ramon Puig Rodriguez – pleaded guilty to conspiracy to distribute cocaine hydrochloride and is awaiting sentencing;
- Chayann Torres-Santiago – pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine hydrochloride and was sentenced to 30 months’ imprisonment;
- Juan Rivera Marrero – pleaded guilty to conspiracy to distribute 500 grams and more of cocaine hydrochloride, money laundering and was sentenced to 60 months’ imprisonment;
- Jean Carlos Torres-Santiago – pleaded guilty to conspiracy to distribute 500 grams and more of cocaine hydrochloride and 100 grams and more of heroin, and was sentenced to 60 months’ imprisonment;
- Charlie Abdiel Cruz Velez – pleaded guilty to conspiracy to distribute and possess with intent to distribute 5 kilograms and more of cocaine hydrochloride, and was sentenced to 57 months’ imprisonment;
- Henry Delgado – pleaded guilty to conspiracy to distribute and possess with intent to distribute 5 kilograms and more of cocaine hydrochloride, and was sentenced to 84 months’ imprisonment; and
- Angel Santiago-Torres – pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine hydrochloride and was sentenced to 12 months’ imprisonment.
This case was investigated by the Drug Enforcement Administration, United States Postal Inspection Service and the York City Police Department. Assistant U.S. Attorney Daryl F. Bloom 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.
# # #
Westview Man Admits Distributing Cocaine in Allegheny CountyRead the Press Release
PITTSBURGH, PA -- A resident of suburban Pittsburgh pleaded guilty in federal court to charges of violating federal narcotic laws, United States Attorney Cindy K. Chung announced today.
Curtis Foskey, age 52, of Westview, pleaded guilty to two counts before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that on or about November 21, 2017 and again on December 7, 2017, Curtis Foskey distributed cocaine in Allegheny County. The court was further advised that law enforcement conducted physical and electronic surveillance of Foskey both discussing and making distributions of approximately 480 grams of cocaine.
Judge Schwab scheduled sentencing for August 17, 2022, at 10:30 a.m. The law provides for a total sentence of not more than 30 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Foskey on bond.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
West Memphis Man Sentenced to 10 Years in Prison for Being a Felon in Possession of a FirearmRead the Press Release
LITTLE ROCK—A West Memphis man has been sentenced to 120 months in federal prison for being a felon in possession of a firearm. United States District Judge Lee P. Rudofsky sentenced Deterrius Wilson, 36, Thursday afternoon in Little Rock. In addition to the ten-year sentence of imprisonment, which is the maximum allowed by law for this crime, Judge Rudofsky sentenced Wilson to three years of supervised release.
In March of 2018, West Memphis police officers initiated a traffic stop of a blue Ford Escape SUV. The vehicle refused to stop and instead sped up, resulting in a vehicle pursuit. During the chase, officers observed Deterrius Wilson turn toward them and point a handgun directly at them. After several minutes, the vehicle lost control and ran off the road.
Wilson exited the vehicle and fled on foot through an alley, wearing camouflage body armor and carrying a handgun in his right hand. Officers told Wilson to drop the gun, and he did, but he continued to flee while removing his body armor. When officers caught up to Wilson, they found two magazines fully loaded with 9mm ammunition. Officers also recovered his body armor, which contained 14 more rounds of 9mm ammunition. Wilson admitted ownership of the vest.
In the vehicle, officers found a Taurus .45 caliber handgun, and they also recovered the Smith and Wesson 9mm handgun Wilson had dropped during the pursuit. Both firearms were loaded, and the investigation revealed the 9mm handgun had been reported stolen. Wilson’s sentence was based on the offense as well as his criminal history, which included prior convictions for fleeing as well as numerous convictions for possession of a controlled substance with intent to distribute and multiple firearms convictions.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the West Memphis Police Department. The case was prosecuted by Assistant United States Attorney Julie Peters.
# # #
This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Weight Management Companies Kurbo Inc. and WW International Inc. Agree to $1.5 Million Civil Penalty and Injunction for Alleged Violations of Children’s Privacy LawsRead the Press Release
The Department of Justice, together with the Federal Trade Commission (FTC), announced today that the government entered into an agreement with Kurbo Inc. and its parent company, WW International Inc. (formerly Weight Watchers International Inc.) (collectively, “Defendants”) and will collect $1.5 million in civil penalties from defendants as part of a settlement to resolve allegations that they violated the Children’s Online Privacy Protection Act (COPPA) and Children’s Online Privacy Protection Rule (COPPA Rule) in connection with their weight management service for children, Kurbo by WW.
In a complaint filed in the U.S. District Court for the Northern District of California, the government alleged that defendants designed and marketed the Kurbo by WW mobile application and website for use by children as young as eight years old. The defendants also possessed actual knowledge that the application and website collected personal information from children, including their names, telephone numbers, email addresses and identifiers used to track their devices, as well as other sensitive information like height, weight, food intake and physical activity. The defendants nonetheless failed to notify parents that they were collecting children’s personal information and to obtain verifiable parental consent for that collection, as required by the COPPA Rule.
“Parents have a right to know and consent before companies collect their children’s personal information,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to enforcing the protections against unauthorized collection of information from consumers, particularly children.”
“Weight Watchers and Kurbo marketed weight management services for use by children as young as eight and then illegally harvested their personal and sensitive health information,” said Chair Lina M. Khan of the FTC. “Our order against these companies requires them to delete their ill-gotten data, destroy any algorithms derived from it, and pay a penalty for their lawbreaking.”
The stipulated order entered requires the defendants to pay $1.5 million in civil penalties and bars them from collecting personal information from children in a manner that violates the COPPA Rule. It also prohibits them from using children’s personal information that was previously collected unless they obtain verifiable parental consent and subjects them to compliance reporting obligations.
This matter was handled by Trial Attorneys Rachael Doud and Zachary Cowan and Assistant Director Lisa Hsiao of the Civil Division’s Consumer Protection Branch. Danielle Estrada and David Walko represented the FTC.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit its website at https://www.FTC.gov.
Vista Man Pleads Guilty to Fraudulently Obtaining More than $300,000 in Unemployment BenefitsRead the Press Release
Assistant U. S. Attorneys Michael A. Deshong and Alicia Williams (619) 546-9290
NEWS RELEASE SUMMARY—March 4, 2022
SAN DIEGO - Darris Cotton of Vista pleaded guilty in federal court today to a fraud charge, admitting that he submitted false applications for unemployment benefits to California’s Employment Development Department.
As admitted in the plea agreement entered today before U.S. District Judge Todd W. Robinson, Cotton used third parties’ names, dates of birth, and social security numbers to submit false applications for benefits. Cotton listed an address in Vista, California on at least sixteen different applications. After California’s Employment Development Department (EDD) mailed debit cards containing the benefits to Cotton’s address, he took the cards to various locations to purchase money orders for the purpose of extracting the funds. Cotton admitted to fraudulently obtaining at least $312,000 in benefits. As part of his plea agreement, Cotton agreed to forfeit $97,400 in money orders and $15,139 in currency that was seized from him.
The United States Department of Labor funds unemployment benefits, but the administration of the benefits is overseen by EDD. To qualify for benefits, an individual must submit an application with their name, date of birth, social security number, and other personal information. If the information is approved, then EDD sends a debit card to the address provided in the application via U.S. Mail. In March 2020, the United States Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which included an economic relief package of more than $2 trillion designed to help the American people during the public health and economic crises that resulted from the COVID-19 pandemic. The CARES Act expanded the population of persons eligible for benefits, the time period during which persons are eligible for benefits, and/or the amount of benefits.
As set forth in his plea agreement, Cotton began submitting fraudulent applications for benefits just a few months after Congress passed the CARES Act and expanded these benefits. Cotton also admitted that he submitted fraudulent applications for benefits to EDD in addition to the sixteen specified in the plea agreement, and submitted fraudulent applications for benefits in other states such as Pennsylvania, Maryland, and Arizona. Cotton used the benefits he fraudulently obtained to purchase luxury items such as Gucci-brand backpacks.
Agents from United States Secret Service, Homeland Security Investigation, and Department of Labor Office of Inspector General and detectives from the San Diego Police Department conducted the investigation into dozens of fraudulent applications that were submitted in July and August of 2020. During the investigation, law enforcement seized approximately $97,000 in U.S. Postal and MoneyGram money orders and $15,000 in U.S. currency from Cotton.
“While so many deserving people were suffering from pandemic-related economic challenges, this defendant used a global pandemic to cash in,” said U.S. Attorney Randy Grossman. “These benefits are intended for those who truly need it, not for greedy people who exploit the system.” Grossman thanked the prosecution team and investigative agencies for their excellent work on this case.
“HSI special agents and our law enforcement partners have worked tirelessly to bring to justice criminal networks that are exploiting the global pandemic for personal financial gain,” said Special Agent in Charge Chad Plantz of HSI San Diego. “This guilty plea assures this individual can no longer illegally profit from resources dedicated toward those needing financial assistance due to the COVID-19 pandemic.”
“The Secret Service remains committed to pursuing those who seek to wrongfully benefit from CARES Act fraud,” said San Diego Acting Special Agent in Charge Timothy Scott. “The hard work from the skilled agents and investigators who worked this case, and many others like it, is making a difference not just here in San Diego, but around the country.”
Cotton is scheduled to be sentenced on May 27.
DEFENDANT Case Number 21cr1108-TWR
Darris Cotton Age: 30 Vista, CA
SUMMARY OF CHARGES
Conspiracy to Commit Mail Fraud—Title 18, U.S.C., Section 1349
Criminal Forfeiture—Title 18, U.S.C., Section 981
Maximum penalty: Twenty years in prison; $250,000 fine or twice the gross gain or loss from the offense, whichever is greater; criminal forfeiture of all proceeds derived from the offense.
AGENCY
United States Secret Service
Homeland Security Investigations
Department of Labor Office of Inspector General (OIG)
San Diego Police Department
Carlsbad Police Department
Violent Gang Members Receive 20 Years and 12 Years in Federal Prison for Their Role in Crime SpreeRead the Press Release
NEW BERN, N.C. – Greer Old also known as “Ghost”, 26, and Daniel Reaves also known as “Goon”, 22, both of New Hanover County, were sentenced to 240 months and 144 months in federal prison respectively. Old pled guilty to discharging a firearm in furtherance of a crime of violence (aiding and abetting) and discharging a firearm in furtherance of a drug trafficking crime. Reaves pled guilty to Conspiracy to Commit Hobbs Act Robbery, Hobbs Act Robbery (aiding and abetting) and discharging a firearm in furtherance of a crime of violence (aiding and abetting).
According to court documents, other evidence and information presented in court, on August 9, 2018, Old, Reaves and Brittany Moses planned to rob a former boyfriend of Moses of heroin in a parking lot in Wilmington. Moses lured him into her car. Old and Reaves then entered the car with firearms and demanded the heroin. He only had a small amount of heroin but Old, Moses and Reaves believed that he had more heroin and demanded that he give it to them. When he did not provide the heroin, he was pistol whipped several times. A struggle ensued in the car; Moses’ former boyfriend was shot in the arm. He was then pushed out of the car, bleeding from the gunshot wound, and abandoned on Klein Road in Wilmington. The assault in the car was so violent that another car followed them and provided aid to Moses’ former boyfriend until the police arrived. The pistol whipping was so severe that it left an imprint of the gun in the victim’s forehead.
On August 11, 2018, the Wilmington Police Department received a tip that Old and Reaves were driving the same car used in the robbery near the Travel Inn Motel in Wilmington. Officers observed the car and attempted to stop it. Old refused to stop for law enforcement, instead driving at a high rate of speed and running a stop light before losing control of his car. Both men fled on foot. During the foot chase of Old, he discharged a firearm at a Wilmington Police Officer who was attempting to arrest him. This forced the officer to return fire. Law enforcement then deployed a K-9 in an effort to apprehend Old. Old was found hiding in some bushes on the property of St. John’s Episcopal Church. Old refused to come out of the bushes and another Wilmington Police Officer dislocated his shoulder removing Old from the bushes. A gun that had been reported stolen earlier that day was found in close proximity to Old. During a search of their car by law enforcement the following items were found: a .25 caliber handgun, a .380 caliber handgun, 16 grams of methamphetamine and 438 doses of Xanax. Following his arrest, Old told the police the reason that he ran was because he believed that the mother of his child had taken a warrant out on him for shooting at her residence. Old denied having a gun but said that if he had one, he would have shot the K-9 and the officer. According to law enforcement, Old is a validated member of the Folk Nation gang. Old was on probation for Conspiracy to Commit Common Law Robbery at the time that he committed these offenses.
Reaves was not apprehended at the time; however, he was apprehended in Kentucky by the United States Marshal on August 29, 2018. According to law enforcement, Reaves is a validated member of the Folk Nation gang. Reaves was also on probation for a North Carolina State Felony.
Moses previously received a sentence of 105 months in federal court for Conspiracy to commit Hobbs Act Robbery, Hobbs Act Robbery (aiding and abetting) and Discharging a firearm in furtherance of a crime of violence (aiding and abetting).
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Wilmington Police Department investigated the case and Assistant U.S. Attorney Timothy Severo and Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:19-cr-00010-FL.
Two South Florida Tax Preparers Sentenced to PrisonRead the Press Release
Miami, Florida – Two South Florida tax preparers were sentenced to prison yesterday for conspiring to defraud the United States and preparing false tax returns.
Nikency Alexis, the owner and operator of Unity Tax & Financial Services (Unity Tax), a Broward County tax preparation business, was sentenced to 45 months in prison, and Thony Guillaume, who worked as a return preparer at Unity Tax, was sentenced to 40 months in prison. According to court documents, from 2011 through 2016 Alexis and Guillaume conspired to defraud the IRS by preparing returns for clients that claimed fictitious business and education expenses the clients never incurred. After learning about the criminal investigation, Alexis and Guillaume continued to file false returns and concealed their involvement in the filing of those returns by listing other individuals as the paid preparers. In total, Alexis and Guillaume sought more than $2.8 million in fraudulent refunds from the IRS.
In addition to the terms of imprisonment, U.S. District Judge Raag Singhal ordered Alexis to serve 3 years of supervised release and to pay approximately $464,006 in restitution to the IRS. The judge ordered Guillaume to serve 3 years of supervised release and to pay approximately $221,823 in restitution to the IRS.
U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and Matthew D. Line, Special Agent in Charge, IRS-Criminal Investigation (IRS-CI), Miami Field Office, made the announcement.
IRS-CI Miami investigated the case. Assistant U.S. Attorney Deric Zacca for the Southern District of Florida and Trial Attorney Matthew Hicks of the Justice Department’s Tax Division prosecuted the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
###
Two Men Sentenced for Paycheck Protection Program Loan FraudRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney Andrew Birge announced that David Kurbanov of Wyoming, Michigan, and James Williams of Dacula, Georgia, were sentenced to 36 months’ and 33 months’ imprisonment, respectively, followed by 3 years’ supervised release, by U.S. District Judge Jane Beckering. Kurbanov and Williams both previously pleaded guilty to conspiracy to commit wire fraud and conspiracy to commit concealment money laundering.
In 2020, law enforcement investigated Kurbanov, Williams, and others regarding certain CARES Act Paycheck Protection Program (PPP) loan applications and loans. The investigation revealed that between June 2020 and December 2020, Kurbanov and Williams conspired with each other and others to fraudulently obtain PPP loans from the Small Business Administration. Williams counseled Kurbanov on how to obtain a PPP loan for Kurbanov’s non-operational companies and assisted Kurbanov in preparing false tax documents submitted with PPP loan applications. Kurbanov and another individual ultimately obtained $1,495,067 in PPP loan funds. To date, law enforcement has seized and recovered over $1,123,567 traceable to the fraudulently obtained PPP funds through a parallel civil asset forfeiture action.
At sentencing Judge Beckering noted that Kurbanov did not just take out one loan, but two loans, which were funded for the purpose of assisting families and small businesses who were financially desperate during the pandemic. She also noted the importance of deterring others from participating in such schemes in the future. Kurbanov and Williams were both ordered to pay $1,495,067 in restitution.
U.S. Attorney Birge said, “These individuals sought to illegally profit from a program designed to assist small businesses detrimentally affected by the pandemic. Like most ‘get rich quick schemes,’ their greedy actions did not pay out in the end. Those who, like Mr. Kurbanov and Mr. Williams, attempt to acquire wealth through illegal means will get our attention and face imprisonment.”
“By illegally taking money from the Paycheck Protection Program, these defendants harmed the owners and employees of small businesses struggling through the COVID-19 pandemic,” said Josh Hauxhurst, Acting Special Agent in Charge of the FBI in Michigan. “The FBI is committed to working with our law enforcement partners to investigate and hold accountable anyone taking advantage of a global health crisis to line their own pockets.”
This case was prosecuted by Assistant U.S. Attorneys Jonathan C. Roth, and Kristin M. Pinkston and investigated by the Internal Revenue Service, the Federal Bureau of Investigations, and the Drug Enforcement Administration.
# # #
Two Florida Tax Preparers Sentenced to PrisonRead the Press Release
Two Florida tax preparers were sentenced to prison yesterday for conspiring to defraud the United States and preparing false tax returns.
Nikency Alexis, the owner and operator of Unity Tax & Financial Services (Unity Tax), a Broward County tax preparation business, was sentenced to 45 months in prison, and Thony Guillaume, who worked as a return preparer at Unity Tax, was sentenced to 40 months in prison. According to court documents, from 2011 through 2016, Alexis and Guillaume conspired to defraud the IRS by preparing returns for clients that claimed fictitious business and education expenses the clients never incurred. After learning about the criminal investigation, Alexis and Guillaume continued to file false returns and concealed their involvement in the filing of those returns by listing other individuals as the paid preparers. In total, Alexis and Guillaume sought more than $2.8 million in fraudulent refunds from the IRS.
In addition to the terms of imprisonment, U.S. District Judge Raag Singhal ordered Alexis to serve three years of supervised release and to pay approximately $464,006 in restitution to the IRS. The judge ordered Guillaume to serve three years of supervised release and to pay approximately $221,823 in restitution to the IRS.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida made the announcement.
IRS-Criminal Investigation investigated the case.
Trial Attorney Matthew Hicks of the Justice Department’s Tax Division and Assistant U.S. Attorney Deric Zacca for the Southern District of Florida prosecuted the case.
Two Cleveland Men Indicted for Using a Firearm in Connection with a Carjacking in ElyriaRead the Press Release
Acting U.S. Attorney Michelle M. Baeppler announced that a federal grand jury returned a two-count indictment on March 3, 2022, charging Clinton Lindsey, 24, and Trayqwan Dunlap, 19, both of Cleveland, Ohio, with carjacking and brandishing a firearm during a crime of violence.
“As the number of carjackings and other violent crimes persist, we will continue to marshal our federal resources and focus on apprehending and prosecuting those individuals that endanger our community,” said Acting U.S. Attorney Michelle M. Baeppler.
“Carjacking is a borderless, brazen crime that can affect anyone at any time, often without provocation, said FBI Special Agent in Charge Eric B. Smith. “This indictment underscores our longstanding partnership with the Elyria Police Department and the commitment of the Federal Bureau of Investigation to protect the American public.”
According to court documents, on January 27, 2022, the defendants approached a victim pumping gas at a gas station in Elyria, brandished a pistol and threatened the victim. Court documents state that the defendants then entered the stolen vehicle and fled.
Elyria Police Officers responded and located the vehicle traveling at a high rate of speed. Officers observed the vehicle enter the downtown Elyria area and crash into a pillar. Officers then witnessed the defendants exit the vehicle and flee from the scene on foot. Court documents state that police officers later apprehended the defendants and located a Glock .45 caliber semiautomatic pistol in the stolen vehicle.
An indictment is only an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum, and, in most cases, it will be less than the maximum.
This case was investigated by the FBI and the Elyria Police Department. This case is being prosecuted by Assistant U.S. Attorney Scott Zarzycki.
Trafficker of Cocaine, Methamphetamine, Fentanyl, and Marijuana Sentenced to Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Kathryn Kimball Mizelle has sentenced Raymond Malara (38, Tampa) to nine years in federal prison for trafficking cocaine, fentanyl, and marijuana. The Court also ordered Malara to forfeit $ 37,820, which is traceable to proceeds of the offense. Malara had pleaded guilty on August 3, 2021.
According to court documents, between October 2020 and February 2021, a law enforcement investigation revealed that Malara and others had been distributing cocaine, methamphetamine, fentanyl, and marijuana. As part of the investigation, law enforcement conducted surveillance on Malara and observed him obtaining and distributing narcotics throughout the Middle District of Florida, including his barbershop in Pinellas County, the Westshore Plaza shopping mall in Tampa, the Seminole Hard Rock Hotel and Casino, and various other locations.
On January 21, 2021, agents executed a federal search warrant at Malara’s apartment and located cardboard boxes containing vacuum-sealed bags of cocaine and marijuana, scales, and piles of cash stacked next to a money counter. Agents also located several firearms, including two fully loaded automatic rifles with high-capacity magazines and more than 1,000 rounds of ammunition. Malara had previously been convicted of second-degree murder. Therefore, he is prohibited from possessing a firearm or ammunition under federal law.
Agents also searched Malara’s vehicle and recovered fentanyl pills and approximately four kilograms of marijuana from the trunk of the car.
This operation is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the Drug Enforcement Administration, with assistance from the Pinellas County Sheriff’s Office, the Hillsborough County Sheriff’s Office, the St. Petersburg Police Department, and the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Diego Novaes and Suzanne Nebesky.
OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Thompson Man Who Downloaded Child Sex Abuse Images from the Internet is SentencedRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, today announced that SHAYNE SHAYER, 40, of Thompson, was sentenced yesterday by U.S. District Judge Robert N. Chatigny in Hartford to approximately one day of imprisonment, time already served, and 10 years of supervised release, for downloading child sex abuse videos from the dark web.
According to court documents and statements made in court, a Homeland Security Investigations (HSI) investigation, which was initiated by law enforcement in Europe, revealed that, in January 2018, Shayer used cryptocurrency to access a dark web server and download 43 videos depicting the sex abuse of children. The videos included depictions of incest and sodomy, and some involved children under the age of 12.
On February 22, 2021, Shayer pleaded guilty to one count of possession of child pornography.
Judge Chatigny ordered Shayer to perform 200 hours community service while on supervised release, and to pay a mandatory $5,000 special assessment, which will be deposited into a fund that supports victims of child pornography.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Stonington Man Charged with Child Exploitation OffensesRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that MATTHEW X. SMITH, 28, of Stonington, has been charged by federal criminal complaint with child exploitation offenses.
Smith surrendered to law enforcement today. He appeared before U.S. Magistrate Judge Robert M. Spector in New Haven and was released on a $100,000 bond.
As alleged in the complaint, on August 12, 2021, Smith, using the Kik social media application, initiated contact with an FBI Online Covert Employee (“OCE”) who was posing as a 14-year-old girl. Smith sent sexually explicit messages to the OCE, requested the OCE send him sexually explicit pictures, and discussed meeting the OCE to engage in sexual conduct. The Kik communication continued in the following days, and investigators also determined that Smith, using a different Kik user account, had engaged in sexually explicit exchanges with the OCE in 2020. Smith and the OCE agreed to meet on August 18, 2021.
On August 18, 2021, Smith was arrested by New London Police after he arrived at the agreed upon meeting location.
The complaint charges Smith with attempted transfer of obscene material to a minor, attempted receipt of child pornography, solicitation of child pornography and attempted enticement of a minor to engage in illegal sexual activity.
U.S. Attorney Boyle stressed that a criminal complaint is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation, with the assistance of the New London Police Department. The case is being prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Statement from U.S. Attorney Rachael S. Rollins on Supreme Court Decision in U.S. v. TsarnaevRead the Press Release
“On April 15, 2013, Boston changed forever. Krystle Campbell, Lingzi Lu, Martin Richard, and Officer Sean Collier were murdered, while hundreds of other innocent victims were maimed and wounded. Over the course of four days, Boston and our surrounding towns and cities sheltered in fear and disbelief. Although the scar remains some nine years later, the resiliency of our city, the families of the victims, and the hundreds of brave survivors knows no bounds.
Today’s opinion by the Supreme Court reverses the decision vacating the death sentence imposed on Dzhokhar Tsarnaev following the jury’s verdict. There remain, however, other legal issues that must be addressed by various courts. Legal rulings don’t erase trauma and pain. Our focus today, and always, is on the hundreds of families that were deeply impacted and traumatized by this horrific act of domestic terrorism.”
St. Louis man pleads guilty for three separate incidents involving drug and gun crimesRead the Press Release
ST. LOUIS – United States District Court Judge Henry E. Autrey accepted a plea of guilty from Carlos D. Bell, Jr. on March 3, 2022, for two counts of being a felon in possession of a firearm and two counts of possession with the intent to distribute fentanyl. A grand jury in the Eastern District of Missouri previously indicted Bell in November 2020. Judge Autrey set sentencing for June 8, 2022.
According to the plea agreement, Bell’s first encounter with law enforcement was on September 8, 2020, when Bell was arrested for outstanding warrants by members of the St. Louis Metropolitan Police Department (SLMPD). A subsequent search of Bell’s vehicle revealed a loaded .40 caliber pistol with a large capacity magazine. On October 3, 2020, Bell was stopped by the Jefferson County Sheriff’s Department after violating a stop sign. Deputies located a clear plastic baggy with 196 capsules filled with white powder during this encounter with Bell. The substance was later determined to be fentanyl.
After Bell was federally indicted in November 2020 for the conduct noted above, SLMPD detectives conducted surveillance to arrest Bell on the warrant. Detectives saw Bell conduct a hand-to-hand transaction in front of his residence. Bell was confronted and arrested without incident. A search of the home revealed a Glock pistol with a large-capacity magazine, a Davis Industries pistol, and 24 capsules containing fentanyl. Police also found plates and grinders with drug residue, empty capsules, and two loaded firearm magazines with ammunition in the kitchen.
The maximum possible penalties provided by law for the crimes to which Bell is pleading guilty are imprisonment of not more than imprisonment of not more than twenty years, a fine of not more than $1,000,000, or both such imprisonment and fine. The Court shall impose a period of supervised release of at least three years.
The case was investigated by the St. Louis Metropolitan Police Department and the Jefferson County Sheriff’s Department and is being prosecuted by Assistant United States Attorney Zachary Bluestone.
Springdale Man Sentenced to 12 Years in Federal Prison for Firearms Possession and Drug TraffickingRead the Press Release
FAYETTEVILLE – A Springdale man was sentenced on March 2, 2022, to 144 months in prison followed by three years of supervised release on one count of Being a Felon in Possession of a Firearm and one count of Possession of a Firearm in Furtherance of a Drug Trafficking Offense. The Honorable Judge Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court documents, on October 27, 2020, detectives with the 4th Judicial District Drug Task Force (DTF) received information that Dylan Leon Coats, age 32, was staying at a hotel in Fayetteville, Arkansas. The information received was that Coats was in possession of a large amount of methamphetamine and that he was armed with a firearm.
Detectives located Coats as he arrived and parked at the hotel. A search of the vehicle resulted in detectives locating and seizing 3 firearms, a distribution amount of methamphetamine packaged for sale, $10,646.00 in U.S. currency, drug ledgers, baggies, a digital scale and a box of ammunition. Coats is a convicted felon and is prohibited from possessing a firearm.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The 4th Judicial District Drug Task Force investigated the case.
Assistant U.S. Attorney David Harris prosecuted the case.
This case was prosecuted as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
South Carolina Man Charged with Interstate Travel for the Purpose of Engaging in Illicit Sexual Conduct with A Fifteen-Year-Old MinorRead the Press Release
NEW ORLEANS, LOUISIANA – GRAHAM LOVELACE, age 33, of Greenville, South Carolina, was charged on March 3, 2022 in a one-count bill of information with interstate travel with intent to engage in illicit sexual conduct, announced United States Attorney Duane A. Evans.
According to the bill of information, in October 2021, LOVELACE traveled from Greenville, South Carolina to the Greater New Orleans, Louisiana area by automobile for the purposes of engaging in sexual conduct with a fifteen-year-old minor.
If convicted, LOVELACE faces a maximum term of imprisonment of not more than thirty (30) years, followed by a minimum of five (5) years and up to a maximum lifetime term of supervised release, up to a $250,000 fine and a $100 mandatory special assessment fee. LOVELACE may also be required to register as a sex offender.
United States Attorney Evans reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case is being investigated by agents from the Federal Bureau of Investigation and the Plaquemines Parish Sheriff’s Office. The case is being prosecuted by Assistant United States Assistant United States Attorneys Jordan Ginsberg and Melissa Bücher.
Solon Man Sentenced to More Than 21 Years in Prison for Cocaine Trafficking and Possession of a Stolen FirearmRead the Press Release
Acting U.S. Attorney Michelle M. Baeppler announced that Harvey Dishon Jones, 39, of Solon, was sentenced on Thursday, March 3, 2022, by U.S. District Judge John Adams to 262 months – or more than 21 years – in federal prison. Jones pleaded guilty in November of 2021 to participating in a drug trafficking conspiracy, possession with intent to distribute cocaine and possession of a firearm by a convicted felon.
“By choosing to repeatedly break the law and threaten the safety of our community, Mr. Jones has earned himself a lengthy term of incarceration in federal prison,” said Acting U.S. Attorney Michelle M. Baeppler. “Despite numerous opportunities to steer away from criminal conduct, Mr. Jones chose otherwise and will now face the consequences of his actions.”
“Drug trafficking is a pervasive crime and often the basis for additional criminal violations,” said FBI Special Agent in Charge Eric B. Smith. “The Federal Bureau of Investigation has an unwavering commitment to ensure cases are meticulously investigated and brought to justice. The partnerships formed with our federal, state, and local agencies have allowed our strike forces to have continued success in combating drug offenses.”
According to court documents, on November 8, 2019, members of the FBI’s Cartel, Gang, Narcotics, and Laundering Task Force executed a search warrant at an address in Cleveland where investigators suspected Jones was storing drugs and seized approximately 3.17 kilograms of cocaine. On December 16, 2020, pursuant to a DEA investigation, Jones was stopped in his vehicle by police. Officers searched the vehicle and discovered approximately 128 grams of cocaine, $25,000 in U.S. currency and a stolen .45 caliber handgun. Investigators later determined that Jones had stolen the firearm from a vehicle in Cleveland.
At the time of his traffic stop, Jones was on parole for a drug trafficking conviction in the Cuyahoga County Court of Common Pleas. Jones was also previously convicted of cocaine trafficking in the U.S. District Court for the Northern District of Ohio, wherein U.S. District Judge Christopher Boyko sentenced Jones to 151 months in federal custody.
Investigators with the FBI and DEA consolidated their investigations into Jones while working together as part of a Cleveland-area strike force.
Jones was sentenced as a career offender as a result of his previous convictions and thus received an enhanced penalty.
This investigation was conducted by the FBI, DEA, Euclid Police Department and the Ohio Adult Parole Authority. This case was prosecuted by Assistant U.S. Attorney Patrick P. Burke.
Shaler Man Pleads Guilty to Dealing HeroinRead the Press Release
PITTSBURGH, PA - A resident of Shaler, Pennsylvania, pleaded guilty in federal court to a charge of violating federal narcotics trafficking laws, United States Attorney Cindy K. Chung announced today.
James Crivella, 29, pleaded guilty to one count before United States District Judge Robert J. Colville.
In connection with the guilty plea, the court was advised that the Greater Pittsburgh Safe Streets Task Force, led by the Federal Bureau of Investigation, conducted a long-term investigation into drug-trafficking activity occurring in the Western District of Pennsylvania, including heroin, cocaine and methamphetamine in Allegheny, Westmoreland, Erie, Fayette, and Washington Counties.
Beginning in August of 2020 and continuing through November 2020, the Court was further informed, that the FBI conducted a federal Title III investigation, which resulted in the interception of thousands of wire and electronic communications over a total of ten telephones. Crivella was intercepted over telephones operated by co-defendant Jeffrey Kushik.
During intercepted communications, investigators determined that “little Jimmy Crivella”, as he was called by Kushik, was a lower-level heroin dealer for Kushik in Shaler Township, meeting Kushik’s drug customers to conduct the hand-to-hand transaction.Crivella, at the hearing, accepted responsibility for the sale of and/or could otherwise foresee the possession/distribution of between 40-60 grams of heroin.
Judge Colville scheduled sentencing for July 14, 2022, at 1:00 p.m. The law provides for a total sentence of not more than 20 years in prison, a fine of not more than $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the United States Postal Inspection Service, Drug Enforcement Administration, United States Marshals Fugitive Task Force, Allegheny County Sheriff’s Office, Pennsylvania State Police, Pittsburgh Bureau of Police, and the Pennsylvania Office of Attorney General Bureau of Narcotics Investigations. Other assisting agencies include the Allegheny County Police Department Homicide, Baldwin Police Department, Brentwood Police Department, McKees Rocks Police Department, Stowe Township Police Department and West Deer Township Police Department.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Second National from the Dominican Republic Pleads Guilty to Firearm and Narcotics Charges Stemming from Haulover Bay, St. John ShootoutRead the Press Release
St. Thomas, USVI – United States Attorney Gretchen C.F. Shappert announced today that Joan Morales Nolasco, a citizen of the Dominican Republic, appeared before United States Magistrate Judge Ruth Miller in the District Court and entered a guilty plea to the charges of conspiracy to possess with intent to distribute more than five kilograms of cocaine (21 U.S.C. § 846 and 841) and possession of a firearm in furtherance of a drug trafficking crime (18 U.S.C. § 924(c)). He faces up to life in federal prison. The sentencing date will be set by the Court.
According to Court documents, on September 25, 2019, a co-defendant drove Morales Nolasco, another co-defendant and two other individuals to Haulover Bay in St. John to conduct an exchange of two duffel bags that contained a large amount of U.S. currency and rifle type firearm for 100 kilograms of cocaine. The driver parked near a trail that leads to Haulover Bay. Morales Nolasco and his co-defendant exited the Jeep. Each of them carried a firearm. They both walked to a trail that leads to Haulover Bay. While on the trail, Morales Nolasco heard someone yelling at them in the English language. His co-defendant turned towards the direction of the voice and discharged his firearm. Morales Nolasco dropped his weapon and ran away on foot. He fled to the Dominican Republic and was subsequently extradited by federal authorities in the U.S. Virgin Islands.
This case is being investigated by the Federal Bureau of Investigation, Department of Homeland Security Investigations and Customs and Border Protection. It is being prosecuted by Assistant United States Attorney Juan Albino and 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.
Romanian Extradited to the United States, Charged with Selling Stolen Credit Card Information Obtained via MalwareRead the Press Release
A Romanian hacker has been charged with selling millions of stolen credit card numbers obtained through the use of malware, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Sorin Becheru, a 34-year-old Romanian citizen living in Bucharest, was charged in March 2021 with conspiracy to commit fraud in connection with access devices. Mr. Becheru was arrested by Romanian authorities on Jan. 1, 2022 based on a request from the United States and in accordance with the bilateral extradition treaty between the United States and Romania. On March 3, 2022, FBI agents flew Mr. Becheru from Bucharest to Dallas. He made his initial appearance before U.S. Magistrate Judge Rebecca Rutherford on March 4.
“Malware is an increasingly insidious threat to U.S. companies and consumers. With just a few keystrokes, sophisticated hackers can compromise millions of accounts,” said U.S. Attorney Chad Meacham. “The Justice Department will not hesitate to pursue cyber criminals, including those who operate abroad. In the meantime, we encourage Americans to take steps to guard their personally identifiable information online.”
“Financially motivated cybercrime is attractive to a wide range of actors and its results can be devastating for affected consumers and businesses,” said Dallas FBI Special Agent in Charge Matthew DeSarno. “We will continue our proactive private sector engagement for incident response, mitigation, and prevention, and will seek justice for the millions affected by this type of fraudulent activity.”
According to the indictment, Mr. Becheru and his coconspirators allegedly used point-of-sale memory scraping malware to obtain consumers’ credit card information from victim servers located in the U.S. They then allegedly sold the numbers on darkweb carding forums, including “Vendetta” and “Tony Montana.” Buyers used the stolen credit card numbers to purchase goods and services.
Mr. Becheru – who used various online identities, including “t0r.creep.im,” [email protected], and [email protected] – allegedly possessed and sold credit card information for millions of cards. At one point, he was in possession of information for more than 240,000 credit cards belonging to victims located in the Northern District of Texas and elsewhere.
An indictment is merely an allegation of wrongdoing, not evidence. Mr. Becheru is presumed innocent unless and until proven guilty in a court of law.
If convicted, he faces up to five years in federal prison.
The Federal Bureau of Investigation and the United States Secret Service conducted the investigation in partnership with the Romanian National Police and the Romanian Ministry of Justice’s Directorate for Investigation of Infractions of Organized Crime and Terrorism (DIICOT). The Justice Department’s Office of International Affairs was instrumental in the extradition. Assistant U.S. Attorney Sid Mody is prosecuting the case.
Plainville Man Pleads Guilty to Transfer of Obscene Material to a Minor and Possession of Child PornographyRead the Press Release
BOSTON – A Plainville man pleaded guilty today to possession of child pornography and to charges arising from him sending obscene photos of himself to someone he believed to be a 13-year-old girl.
David Cerasuolo, 49, pleaded guilty to one count of attempted transfer of obscene material to a minor and one count of possession of child pornography. U.S. District Court Judge Patti B. Saris scheduled sentencing for June 2, 2022. Cerasuolo was indicted in October 2020 and has remained in custody since his arrest.
Starting in June 2020, Cerasuolo used chat applications to engage in conversations with an individual he believed to be a 13-year-old girl but who was actually an undercover federal agent. During these conversations, Cerasuolo attempted to entice the 13-year-old to engage in sexual activity and sent her several photographs of himself, including one displaying his genitalia. During their communications, Cerasuolo sent over 1,000 messages to the person he believed to be the 13-year-old girl. He was also found in possession of child pornography on his cell phone.
The charge of transfer of obscene material to a minor provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of possession of child pornography provides for a sentence of up to 20 years in prison, at least five years and up to a lifetime 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 other statutory factors.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. The Plainville, Arlington, Boston and Newton Police Departments and Massachusetts Department of Correction provided assistance with the investigation. Assistant U.S. Attorney Adam Deitch of Rollins’ Major Crimes Unit is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Peoria Man Pleads Guilty to 2021 Burglary of Pinnacle Gun and AmmoRead the Press Release
PEORIA, Ill. – A Peoria, Illinois, man, Corey A. Brooks, 29, of the 2500 block of West Starr Street, pleaded guilty on March 2, 2022, to burglary of a federal firearm licensee and possession of a firearm as a felon. Sentencing has been scheduled for June 29, 2022, at the federal courthouse in Peoria, Illinois.
In court today, before U.S. District Judge Joe Billy McDade, Brooks admitted that early in the morning of July 7, 2021, he shattered a window at a federal firearms licensee known as Pinnacle Gun and Ammo, located in the 700 block of Main Street in Peoria. Brooks then climbed into the business through the window and removed two shotguns and 20 handguns, which were loaded into a backpack. Surveillance footage and blood drops left behind by Brooks enabled the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Peoria Police to identify Brooks and locate the two shotguns. A photograph was released, and Brooks was identified and arrested the same day.
Brooks remains in the custody of the U.S. Marshals Service pending sentencing.
For the offenses of burglary of a federal firearm licensee and possession of a firearm as a felon, the statutory penalty is up to 10 years imprisonment for each count; a term of up to three years of supervised release for each count; and a fine of up to $250,000. If Brooks is determined to be a career offender, the terms of imprisonment could increase.
The charges were investigated by the Peoria Police Department and ATF. Assistant U.S. Attorney Ronald L. Hanna is representing the government in the prosecution.
The case was brought as part of The Department of Justice’s Project Safe Neighborhoods initiative. The Department’s renewed commitment to Project Safe Neighborhoods establishes four fundamental principles to guide efforts to reduce violent crime: 1) build trust and legitimacy within communities; 2) invest in community-based prevention and intervention programs; 3) target enforcement and priorities to focus resources on identifying, investigating, and prosecuting the most significant drivers of gun violence and other violent crime; and, 4) measure results with the goal to reduce the level of violence in our communities and not to increase the number of arrests and prosecutions as if they were ends in themselves.
Omaha Man Using a 3D Printer to Convert Glocks to Machine Guns Sentenced to 57 MonthsRead the Press Release
United States Attorney Jan Sharp announced that Riley Griffy, age 29, of Omaha, Nebraska, was sentenced today in federal court in Omaha for unlawfully possessing a machinegun. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Griffy to 57 months of imprisonment. There is no parole in the federal system. After completing his term of imprisonment, Griffy will begin a 3-year term of supervised release.
On April 15, 2021, Griffy sold a 3D printed conversion device which converted a semiautomatic Glock pistol into an automatic weapon. Griffy used a 3D printer to build the device, which is a machinegun as defined by federal law. Griffy continued illegally manufacturing machineguns which converted firearms into automatic weapons until he was arrested on June 2, 2021. In total, Griffy manufactured and sold nine machineguns and one silencer.
This case was investigated by the Omaha Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, and were part of Project Safe Neighborhood (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Northern Indiana Public Service Company to Clean up Remaining Surface Contamination at the Town of Pines Superfund Site Under Federal SettlementRead the Press Release
Northern Indiana Public Service Company (NIPSCO) will clean up soil contamination at individual residences within the Town of Pines Groundwater Plume Superfund site in Porter County, Indiana, at an estimated cost of $11.8 million to resolve federal and state Superfund liability. The complaint, filed simultaneously with the consent decree, alleges that the company is liable for the cleanup of coal ash from its power generation facility that it distributed as landscaping fill in the Town of Pines and its vicinity. The soils contaminated by coal ash contain hazardous substances including arsenic, thallium and lead.
“Today’s settlement requires NIPSCO to address the contamination it contributed to the Town of Pines Superfund site,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “This settlement is a critical step toward the remediation of the site and will minimize risks to owners of contaminated property and to the environment.”
“This settlement requires NIPSCO to remove soil contaminated with coal ash from the utility’s power generation facility, and to monitor groundwater in and around the Town of Pines, Indiana,” said Acting Assistant Administrator Larry Starfield of EPA’s Office of Enforcement and Compliance Assurance. “This cleanup work will help protect residents from exposure to arsenic and other hazardous substances.”
“This settlement will help protect the environment and the health of people in northwest Indiana by cleaning up coal ash from residential properties,” said Administrator Debra Shore of EPA Region 5. “Removing contaminated soil and monitoring groundwater at the Town of Pines site is a vital part of this settlement with NIPSCO.”
“Hoosiers stand to benefit from NIPSCO’s commitment to reimburse taxpayers for public money spent during this lengthy process,” said Indiana Attorney General Todd Rokita. “They stand to benefit, as well, from the company’s pledge to finish the cleanup in the Town of Pines made necessary by disposal of its coal ash in residential areas. We must always work to protect Hoosiers and uphold the rule of law.”
“By entering into this settlement with EPA and the state, NIPSCO will complete the process of cleaning up and restoring residential yards impacted by the disposal of coal ash in the Town of Pines, and ensure the safety of the drinking water supply by monitoring both drinking water and groundwater wells for potential contamination caused by the disposal,” said Commissioner Brian Rockensuess of the Indiana Department of Environmental Management.
The consent decree requires NIPSCO to identify residential soil contamination above clean up levels from its disposal of coal ash, excavate the contaminated soils, and transport excavated contaminated soil to a licensed waste disposal facility. NIPSCO is also required to restore excavated properties using clean backfill, implement restrictions at the excavated properties where necessary to prevent exposure to any remaining contamination that might be left at depth, and monitor residential drinking water wells, groundwater monitoring wells, surface water and sediments to ensure that the contamination has not migrated to those locations. The company will also reimburse EPA a large percentage of its past costs and pay all future costs incurred by EPA and the State of Indiana in overseeing the cleanup.
More information about this settlement can be found at https://cumulis.epa.gov/supercpad/cursites/csitinfo.cfm?id=0508071.
The consent decree, lodged in the U.S. District Court for the Northern District of Indiana, is subject to a 30-day public comment period and final court approval. The consent decree will be available for viewing at https://www.justice.gov/enrd/consent-decrees.
North Dakota Man Charged with Child Pornography CrimesRead the Press Release
URBANA, Ill. – A North Dakota man, Patrick C. Hyde, 40, of Minot, had an initial appearance in federal court today after a grand jury returned an indictment charging him with allegedly distributing child pornography earlier this week.
Hyde was previously arrested and charged by criminal complaint on February 8, 2022, near his home in Minot. Hyde has remained in the custody of the U.S. Marshals Service since his arrest.
The indictment charges Hyde with distributing visual depictions of minors engaged in sexually explicit conduct on three occasions in January 2022. Hyde appeared before U.S. Magistrate Judge Clare R. Hochhalter in U.S. District Court in North Dakota, Bismarck Division, on February 10, 2022, for a detention hearing and identity hearing. Hyde waived both hearings and was transferred to the Central District of Illinois.
At today’s hearing, U.S. Magistrate Judge Eric I. Long advised Hyde of the charges alleged in the indictment and set the matter for trial on May 9, 2022, in Peoria, before Senior U.S. District Judge Michael M. Mihm. Hyde waived a detention hearing and Judge Long ordered that he remain in the custody of the U.S. Marshal Service.
If convicted, each count of distribution of child pornography carries a statutory penalty of at least five years to 20 years in prison.
The Federal Bureau of Investigation, Springfield and Bismarck field offices, conducted the investigation. Assistant U.S. Attorney Elly M. Peirson is representing the government in the prosecution.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
The case was brought as part of Project Safe Childhood, a Department of Justice initiative led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), to marshal federal, state and local resources to locate, apprehend, and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Morris County Man Charged with Distribution of Child PornographyRead the Press Release
NEWARK, N.J. – A Morris County, New Jersey, man was charged today with distributing videos and images of child sexual abuse, U.S. Attorney Philip R. Sellinger announced.
Anselmo Girimonte, 51, of Wharton, New Jersey, is charged by complaint with one count of distribution of child pornography. He appeared by videoconference today before U.S. Magistrate Judge James B. Clark III and was detained.
According to documents filed in this case and statements made in court:
From Dec. 27, 2021, through Jan. 17, 2022, Girimonte distributed material containing images and video files of child sexual abuse, via a publicly available online peer-to-peer (P2P) file-sharing network of linked computers. Users must download the P2P program, which is widely available for free on the Internet. The program allows the user to place files into a designated “shared” folder on his or her hard drive, from which other P2P program users can then download those files directly to the “shared” folders of their own computers. Users can then browse, search, select, and directly download, those files. The program typically keeps a log of each downloaded event.
Law enforcement conducted an undercover online session to access the P2P program and to download nine video files containing child pornography from an IP address assigned to an internet service provider account associated with Girimonte’s residence. These files included multiple visual depictions of pre-pubescent children being sexually abused by adults.
The count of distribution of child pornography carries a mandatory minimum penalty of five years in prison, a maximum penalty of 20 years in prison, and a fine of $250,000.
U.S. Attorney Sellinger credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations, New Jersey Division, under the direction of Special Agent in Charge Jason J. Molina, with the investigation leading to today’s charges. He also thanked the Morris County Prosecutor’s Office, the Rockaway Township Police Department, and the United States Postal Inspection Service for their assistance with the investigation.
The government is represented by Assistant U.S. Attorney Camila A. Garces of the Violent Crimes Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Monmouth County Brother and Sister Arrested for Conspiring to Evade Payment of $1.5 Million in Payroll TaxesRead the Press Release
TRENTON, N.J. – A Monmouth County, New Jersey, brother and sister were arrested today on charges of tax evasion, U.S. Attorney Philip R. Sellinger announced.
Enrico Cifelli, 51, of Holmdel, New Jersey, and Michelle Bocchieri, 42, of Matawan, New Jersey, were each charged by indictment on March 3, 2022, with one count of conspiracy to defraud the United States. Cifelli is additionally charged with one count of evasion of payment of payroll taxes, four counts of failure to pay over payroll taxes, and one count of evasion of assessment of income tax. Cifelli and Bocchieri were arrested today and made their initial appearances before U.S. Magistrate Judge Lois H. Goodman via videoconference. Cifelli was released on a $500,000 unsecured appearance bond and Bocchieri on a $250,000 unsecured appearance bond. Arraignment is scheduled for April 4, 2022, by videoconference before U.S. District Judge Peter G. Sheridan.
According to documents filed in this case and statements made in court:
From 2013 through October 2020, Cifelli and Bocchieri, who are siblings, conspired to evade the payment of more than $1.5 million in payroll taxes, penalties, and interest that Cifelli owed the IRS. Cifelli’s tax liability stemmed from the unpaid payroll taxes of two companies that he controlled: Cifelli Disposal Inc., a waste disposal business, and LBAB LLC. Cifelli failed to pay the vast majority of payroll taxes for Cifelli Disposal for the years 2004 through 2008 and for LBAB for the years 2009 through 2015, resulting in more than $1.5 million in taxes, penalties, and interest.
To avoid paying the IRS and give the false impression that Cifelli lacked the ability to pay his back taxes, Cifelli and Bocchieri conspired to have Bocchieri fund Cifelli’s lifestyle through an entity she nominally owned, but Cifelli controlled. For instance, Bocchieri caused her company to pay the down payment, mortgage, and other expenses for Cifelli’s personal residence.
Cifelli submitted a false Offer in Compromise to the IRS in June 2016, making multiple misrepresentations and material omissions of his assets and household income, while offering to settle his tax debt for pennies on the dollar.
Each count carries a maximum penalty of five years in prison and a fine of up to $250,000, or twice the gross pecuniary gain or loss to any person, whichever is greatest.
U.S. Attorney Sellinger credited special agents of the IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Elisa T. Wiygul of the Criminal Division in Camden.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Modesto Woman Admits Submitting 121 Stimulus Check Claims Using PII Provided by Death Row SonRead the Press Release
SAN FRANCISCO – Sheila Denise Dunlap pleaded guilty in federal court today to engaging in a conspiracy to commit wire fraud and to aggravated identity theft, announced United States Attorney Stephanie M. Hinds, Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Mark H. Pearson, and U.S. Department of the Treasury, Treasury Inspector General for Tax Administration (TIGTA) Special Agent in Charge Rod Ammari.
Dunlap, 51, of Modesto, was charged by a federal indictment on May 13, 2021, with engaging in a wire fraud conspiracy to file scores of fraudulent applications for Economic Impact Payment (EIP) payments, commonly known as stimulus checks. The EIP program was part of the CARES Act, a federal relief bill signed into law on March 27, 2020, to address the economic fallout of the COVID-19 pandemic. Under the EIP provision of the CARES Act, individuals who made less than $99,000 on their 2019 tax returns and those whose income was sufficiently low that a tax return filing was not required (known as non-filers) were eligible to receive EIP funds. EIP payments amounted to as much as $1,200 per adult and $500 for a qualifying child.
In her plea agreement, Dunlap admitted that she conspired from March 2020 through July 2020 with her son to obtain the personal identifiable information (PII) of others and to use that PII to apply for EIP funds. Dunlap’s son was serving a capital sentence on Death Row in San Quentin State Prison.
Dunlap admitted in her plea agreement that her son, identified in the agreement only by the initials D.W., sent her the PII of his fellow prisoners along with the PII of other individuals whom they suspected might qualify as non-filers of 2018 or 2019 income tax returns, thus making them eligible for EIP funds. Dunlap admitted she used that PII to file multiple fraudulent claims for EIP funds through the Internal Revenue Service’s online EIP Portal. In each of the applications, Dunlap listed her own Bank of America account to receive the payments.
Dunlap detailed in her plea agreement that in or about April 2020, her son coordinated with another to email her a spreadsheet containing the PII of 9,043 individuals. Her son advised Dunlap to file the fraudulent EIP claims by first using the PII of the youngest adults listed. Both D.W. and Dunlap assessed that these younger, college-aged individuals probably lacked income sufficient to trigger the filing of a 2018 or 2019 tax return and were accordingly likely non-filers eligible for EIP payments.
Dunlap admitted that in May and June 2020 she used the PII of these real individuals – which included their names and social security numbers – to electronically filed 121 EIP claims. Dunlap admitted that each EIP claim contained false statements and directed payment to her bank account. In total, Dunlap filed claims for $145,200 in EIP payments.
Dunlap pleaded guilty to one count of wire fraud conspiracy in violation of 18 U.S.C. § 1349, which carries a maximum statutory penalty of 20 years in prison and a fine of $250,000 or not more than the greater of twice the gross gain or twice the gross loss. Dunlap also pleaded guilty to one count of aggravated identity theft in violation of 18 U.S.C. § 1028A, which carries a penalty of two years imprisonment consecutive to any other sentence imposed and a maximum fine of $250,000. A sentence, however, will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Dunlap is scheduled for her sentencing hearing before United States District Judge Susan Illston on June 24, 2022. She remains out of custody.
The case has been prosecuted by Assistant U.S. Attorneys Yoosun Koh and Annie Hsieh, with the assistance of Llessica Chan Fierro, Ralph Banchstubbs, and Maribel Gallegos. The prosecution is the result of an investigation by IRS-CI and TIGTA.
Menominee Indian Man Charged in Federal Court with Aggravated Sexual Abuse, Sexual Exploitation of a Child, and Possession of Child PornographyRead the Press Release
United States Attorney Richard G. Frohling of the Eastern District of Wisconsin announced that on March 1, 2022, a federal grand jury returned a five-count indictment against Darwin J. Pamanet (age: 46) of Keshena, which is located on the Menominee Indian Reservation in Northeastern Wisconsin. The indictment charges him with three counts of aggravated sexual abuse, in violation of Title 18, United States Code, Sections 2241(c) and 1153(a); one count of sexual exploitation of a child, in violation of Title 18, United States Code, Section 2251(a); and one count of possession of child pornography in violation of Title 18, United States Code, Section 2252A(a)(5)(B).
If convicted of the offenses, the defendant would face the following terms of imprisonment:
Charge
Maximum Penalty
Aggravated Sexual Abuse
Mandatory minimum of 30 years in prison, and up to life in prison
Sexual Exploitation of a Child
Mandatory minimum of 15 years in prison, and up to 30 years in prison
Possession of Child Pornography
Up to 20 years in prison
In addition to the prison sentences listed above, the defendant faces fines and periods of supervised release if convicted.
According to filed court documents, from July 2021 through December 2021, the defendant allegedly committed sexual acts with three children who were under the age of 12 years old and recorded himself performing the sex acts with at least one of the children. A search of an electronic device revealed images of child pornography believed to be the child victims.
The case was investigated by the Menominee Tribal Police Department and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Andrew J. Maier.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
For Additional Information Contact:
Public Information Officer Kenneth Gales 414-297-1700
Follow us on Twitter
Mason City Man to Federal Prison for Meth and Firearms ConvictionsRead the Press Release
A man who conspired to distribute methamphetamine while he illegally possessed firearms was sentenced March 3, 2022, to more than 11 years in federal prison.
Lucas Lowman, 39, from Mason City, Iowa, received the prison term after an October 7, 2021, guilty plea of conspiracy to distribute methamphetamine and prohibited person in possession of firearms. Lowman was previously convicted of Possession of a Controlled Substance-3rd or Subsequent Offense, in the Iowa District Court for Cerro Gordo County, in 2004. This conviction prohibits a person in Iowa from possessing firearms.
Evidence at the plea and sentencing hearings showed that between October 2019 and March 2021, Lowman possessed a number of guns, including a 12-gauge shotgun. Lowman utilized a gun to assault another, and between April 2019 and November 2019, Lowman and others conspired to distribute methamphetamine.
Lowman was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Lowman was sentenced to 135 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. Lowman is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Patrick T. Greenwood and investigated by the Iowa Division of Narcotics Enforcement, Mason City Police Department, Iowa State Patrol, Cerro Gordo County Sheriff’s Office, North Central Iowa Drug Task Force, and Iowa DCI Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-3020.
Follow us on Twitter @USAO_NDIA.
Maryland Woman Sentenced to 33 Months in Prison for Embezzling over $230,000 from EmployerRead the Press Release
WASHINGTON – Aurelia Stanton, 40, of Baltimore, Maryland, and formerly of Washington, D.C., was sentenced today to 33 months in prison for embezzling hundreds of thousands of dollars from her former employer.
The announcement was made by U.S. Attorney Matthew M. Graves and Special Agent in Charge of the FBI Washington Field Office Criminal Division Wayne A. Jacobs.
Stanton pleaded guilty in September 2021, in the U.S. District Court for the District of Columbia, to bank fraud. She was sentenced by the Honorable Trevor N. McFadden. Following her prison term, she will be placed on five years of supervised release. She also must pay about $233,000 in restitution and an identical amount in a forfeiture money judgment.
According to the government’s evidence, Stanton worked as an office manager from approximately June 2014 through May 2017 for a business, identified in court documents as “Company A.” She was responsible for ensuring timely payment of bills and invoices, accurate bookkeeping, and managing the office. From August 2015 through May 2017, according to court documents, she embezzled more than $233,000 writing checks to herself on the company’s check stock. She used a computer software program to conceal the fraudulent disbursements by editing the company’s bank statements to remove references to the fraudulently drafted, forged, and negotiated checks. In total, she deposited 187 checks with forged signatures.
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 former Paralegal Specialists Brittany Phillips and Jessica Mundi.
Finally, they commended the work of former Assistant U.S. Attorney Derrick Williams, who investigated and indicted the case, and Assistant U.S. Attorney Kondi Kleinman, who investigated and prosecuted the matter.
Maryland Woman Pleads Guilty to Fraud Schemes Resulting in Losses of More Than $1.1 MillionRead the Press Release
Baltimore, Maryland – Linda Pylant, age 58, of Grasonville, Maryland, pleaded guilty yesterday to wire fraud, social security fraud, tax evasion, and aggravated identity theft in connection with schemes to defraud her employer, fraudulently obtain disability insurance payments, and evade more than $225,000 in taxes, including by concealing income in connection with a bankruptcy petition. As a result of these crimes, Pylant admits that she illegally obtained more than $1.1 million.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division.
Wire Fraud Scheme
According to her guilty plea, from 2012 to about July 2020, Pylant worked for a Washington, D.C. trade association as an office administrator. Her responsibilities included bookkeeping and other accounting duties, making check deposits, handling accounts receivable, accounts payable, and other administrative duties.
As detailed in her plea agreement, in October 2017, Pylant opened a bank account, purportedly for the trade association, for which she was the sole signatory and caused the bank statements to be mailed to her home. From October 2017 until July 2020, Pylant deposited more than $700,000 in checks, primarily from the trade association’s members and from insurance companies, which were intended for the benefit of the trade association. Pylant also transferred more than $70,000 of the trade association’s funds from a PayPal account to the account she opened in the name of the trade association. In addition, Pylant admitted that she issued trade association checks made payable to herself and a contractor for the trade association, which she signed, forging the names of two trade association executives. Pylant then deposited the forged checks into other accounts she controlled.
Pylant spent more than $175,000 of the stolen funds at a local bingo hall, used more than $100,000 for retail, restaurant, and grocery expenditures and withdrew more than $200,000 in cash. As a result of the fraud scheme, Pylant obtained more than $900,000.
Social Security and Disability Fraud
On August 18, 2015, Pylant applied for Social Security Disability Insurance (SSDI) payments, failing to disclose that she was working and earning income from the trade association. SSDI payments are only made as long as the beneficiaries are unable to work and/or their income is under a certain amount. From 2018 to July 2020, Pylant illegally received and spent more than $75,000 in SSDI payments to which she was not entitled.
In addition, from 2014 to about 2017, Pylant provided false information to a private insurance company in order to fraudulently collect disability insurance payments. Pylant consistently failed to disclose her income from the trade association, as well as her SSDI payments. As a result, Pylant fraudulently received more than $140,000 in disability insurance payments from the private insurance company.
Tax Evasion and Bankruptcy Fraud
From 2014 until July 2020, Pylant caused her salary payments from the trade association to be paid through a non-existent entity, LPSR, Inc., which Pylant created but did not register with the State of Maryland nor the Internal Revenue Service (IRS). Pylant also established LPSR as a vendor in the trade association’s computer system, with no federal tax identification number and no 1099 reporting status. During the six years of the tax evasion scheme Pylant caused the trade association to pay LPSR more than $100,000. During that time, Pylant also caused the trade association to not issue a 1099 IRS reporting form for LPSR. Because Pylant also made false statements to the Social Security Administration, including failing to disclose that she was employed by the trade association, she avoided paying taxes that would have been due on her SSDI payments.
As detailed in her plea agreement, Pylant submitted false information in the course of three Maryland bankruptcy proceedings filed on February 3, 2016, in December 2020, and in January 2021. Specifically, Pylant’s petitions failed to list her taxable income from the trade association that was paid through LPSR, falsely claimed that she had zero earned income and was not required to file any tax returns, failed to list any business names that she had used, including LPSR, and falsely stated that her employment status had not changed since February 2016.
Pylant admitted that her tax evasion offenses caused a tax loss to the United States of at least $233,547 and she will be required to pay restitution to the government in that amount.
As detailed in her plea agreement, Pylant will also be required to pay restitution in the full amount of the actual losses caused by her fraud schemes, which is at least $1.1 million. Pylant will also forfeit assets directly traceable to the fraud offenses, substitute assets, and/or a money judgement equal to the value of the property derived from the offense, which is at least $950,000.
Pylant faces a maximum sentence of 20 years in prison for wire fraud; a maximum of five years in prison for social security fraud and for tax evasion; and a mandatory sentence of two years in federal prison, consecutive to any other sentence imposed, for aggravated identity theft. U.S. District Judge Richard D. Bennett has scheduled sentencing for September 8, 2022 at 11:00 a.m.
United States Attorney Erek L. Barron commended the FBI, IRS-CI and SSA OIG for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Harry M. Gruber and Special Assistant U.S. Attorney Michael F. Davio, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud.
# # #
Marlboro Woman Pleads Guilty to Welfare FraudRead the Press Release
BOSTON – A Marlboro woman pleaded guilty today to fraudulently receiving Social Security disability benefits, MassHealth, Supplemental Nutrition Assistance Program (SNAP) benefits and Section 8 housing assistance.
Maribel Rodriguez, 63, pleaded guilty to four counts of theft of public funds and two counts of making false statements. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for July 7, 2022. Rodriguez was charged in December 2020.
Over a period of approximately 12 years, Rodriguez stole $68,223 in Social Security benefits, $1,908 in MassHealth benefits, $21,790 in SNAP benefits (previously known as Food Stamps) and $161,277 in Section 8 housing assistance benefits. In June 2016, she falsely informed the Social Security Administration that she lived alone when, in fact, she was living with her husband. Similarly, Rodriguez falsely told the Marlborough Community Development Authority in May 2017 that she was the only member of her household.
The charges of theft of public funds provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charges of making false statements provide for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Rachael S. Rollins; Sharon MacDermott, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Phillip M. Coyne, Special Agent in Charge of the Department of Health and Human Service’s Office of Inspector General, Boston Regional Office; Suzanne M. Bump, State Auditor of the Commonwealth of Massachusetts; and Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Rollins’ Major Crimes Unit is prosecuting the case.