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8 April 2022
Former Inmate in the Montgomery County Department of Correction and Rehabilitation Sentenced to over Five Years in Federal Prison for a Credit Card Fraud SchemeRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel today sentenced Abraham Oliver, age 26, a former inmate in the Montgomery County Department of Corrections, to 61 months in federal prison, followed by three years of supervised release, for conspiracy to commit mail and wire fraud and for aggravated identity theft while he was incarcerated. Further, Judge Hazel ordered the defendant to forfeit approximately $12,166.93 held in inmate accounts and pay restitution in the full amount of the victim’s losses, which is $31,252.35.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Postal Inspector in Charge Greg L. Torbenson of the U.S. Postal Inspection Service - Washington Division; and Chief Marcus Jones of the Montgomery County Police Department.
According to Oliver’s plea agreement, between January and April 2018, while Oliver was an inmate in the Montgomery County Department of Correction and Rehabilitation (DOCR), he conspired with co-defendant Octavia Ikea Terry to fraudulently obtain and use the credit and debit card numbers of others, without their knowledge or permission.
Specifically, Oliver admitted that he directed Terry to purchase bitcoin, then use the bitcoin to purchase credit and debit card numbers on the darkweb. Oliver further instructed Terry to identify available credit and debit counts available for sale that were from Maryland then use the debit and credit card numbers to make deposits into Oliver’s inmate escrow account and other inmates’ escrow accounts. Oliver provided Terry with the inmate numbers during telephone calls he made from DOCR to Terry. Oliver also told Terry that other inmates would send Terry checks from their resident inmate accounts and instructed Terry to set up a post office box in North Carolina to receive the checks.
Following Oliver’s instructions, Terry used the fraudulently obtained credit and debit card numbers to make unauthorized deposits totaling $31,252.35 into the accounts of at least 12 different inmates, including $5,579.10 into Oliver’s inmate account. The debit and credit accounts from which the money was drawn included the accounts of four identity theft victims. Inmates, including Oliver and two other inmates, authorized a total of $9,325 to be sent from their inmate escrow accounts to Terry at various addresses, including the post office box in North Carolina set up at Oliver’s direction.
The fraudulent transactions resulted in chargebacks to victim Company A of $31,252.35.
Octavia Ikea Terry, age 25, of Maxton, North Carolina, pleaded guilty to her role in the conspiracy and is awaiting sentencing.
United States Attorney Erek L. Barron praised the U.S. Postal Inspection Service and the Montgomery County Police Department for their work in the investigation and thanked the Montgomery County Department of Correction and Rehabilitation for its assistance. Mr. Barron thanked Assistant U.S. Attorney Joseph R. Baldwin, who prosecuted 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.
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Former Goldman Sachs Investment Banker Convicted in Massive Bribery and Money Laundering SchemeRead the Press Release
A former Managing Director of The Goldman Sachs Group Inc. (Goldman Sachs) was convicted today by a federal jury in the Eastern District of New York for conspiring to commit bribery, to circumvent internal accounting controls, and to commit money laundering in connection with a multibillion-dollar scheme involving Malaysia’s state-owned investment and development fund, 1Malaysia Development Berhad (1MDB).
“Roger Ng participated in a massive bribery and money laundering scheme involving the corruption of high-level foreign officials in Malaysia and the United Arab Emirates,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This trial demonstrates the commitment by the Department of Justice to prosecute and hold accountable individuals who engage in corruption and use our financial system to launder funds related to their illicit schemes. We will continue to pursue criminal wrongdoers and will seek to bring them to justice, wherever they are, deprive them of their ill-gotten gains, and, wherever possible, return corrupt proceeds to those harmed by corruption — as we have throughout our longstanding investigation into the 1MDB scheme.”
Following an eight-week trial, Ng Chong Hwa, aka Roger Ng, of Malaysia, was found guilty of conspiring to violate the Foreign Corrupt Practices Act (FCPA) by paying bribes to a dozen foreign officials in Malaysia and the United Arab Emirates, conspiring to violate the FCPA by circumventing the internal accounting controls of Goldman Sachs, and conspiring to launder billions of dollars related to the scheme.
“Today’s verdict is a resounding victory for justice and for the people of Malaysia who are the victims of this massive scheme carried out in a frenzy of greed by the defendant and his co-conspirators to get rich by stealing millions of dollars from the 1MDB fund intended to benefit that country’s economy,” said U.S. Attorney Breon Peace for the Eastern District of New York. “The Department of Justice and this office are committed to addressing corporate culture by vigorously combating white-collar crime and holding corrupt individuals accountable for violating U.S. laws here and abroad in order to enrich themselves.”
“The FBI and our domestic and international law enforcement partners maintain an unwavering commitment to combating international corruption,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “This conviction serves a reminder that the FBI will always hold accountable those who abuse the U.S. financial system to further their corrupt schemes, as well as the persons and companies that enable them.”
“Today’s conviction of Roger Ng demonstrates the cooperation of law enforcement and prosecutorial agencies around the world to combat foreign corruption,” said Special Agent in Charge Ryan L. Korner of IRS Criminal Investigation (IRS-CI), Los Angeles Field Office. “Roger Ng and his co-conspirators enriched themselves while depriving the citizens of Malaysia of billions of dollars that were supposed to be invested on their behalf. The Internal Revenue Service-Criminal Investigation is proud to stand with our law enforcement partners in the United States and around the world who participated in this most significant investigation.”
1MDB is a Malaysian state-owned and controlled fund created to pursue investment and development projects for the economic benefit of Malaysia and its people.
Ng was employed as a Managing Director by various subsidiaries of Goldman Sachs and acted as an agent and employee of Goldman Sachs from approximately 2005 to May 2014, and was also a stockholder of Goldman Sachs.
According to evidence presented at trial, between approximately 2009 and 2014, Ng and his co-conspirators laundered billions of dollars misappropriated and fraudulently diverted from 1MDB, including funds 1MDB raised in 2012 and 2013 through three bond transactions it executed with Goldman Sachs, known as “Project Magnolia,” “Project Maximus” and “Project Catalyze.” As part of the scheme, Ng and others, including Tim Leissner, the former Southeast Asia Chairman and participating managing director of Goldman Sachs, conspired to and did pay more than $1 billion in bribes to 12 government officials in Malaysia and the United Arab Emirates to obtain and retain lucrative business for Goldman Sachs, including the 2012 and 2013 bond deals. They also conspired to and did launder the proceeds of their criminal conduct through the U.S. financial system, including funding major Hollywood films such as “The Wolf of Wall Street” and purchasing, among other things, a $51 million Jean-Michael Basquiat painting from New York-based Christie’s auction house, a $23 million diamond necklace from a New York jeweler, millions of dollars in Hermès handbags from a dealer based on Long Island, and a luxury real estate property in Manhattan.
Ng and his co-conspirators, including co-defendant Low Taek Jho, aka Jho Low, a wealthy Malaysian socialite, used Low’s close relationships with high-ranking government officials in Malaysia and the United Arab Emirates to obtain and retain business for Goldman Sachs through the promise and payment of hundreds of millions of dollars in bribes. In the course of executing the scheme, Ng conspired with others at Goldman Sachs to and did circumvent the investment bank’s internal accounting controls. Through its work for 1MDB during that time, Goldman Sachs received approximately $600 million in fees and revenues, while Ng received $35 million for his role in the bribery and money laundering scheme. In total, Ng and the other co-conspirators misappropriated more than $2.7 billion from 1MDB.
Low remains a fugitive. In August 2018, Leissner pleaded guilty to conspiring to launder money and conspiring to violate the FCPA by both paying bribes to various Malaysian and United Arab Emirates officials and circumventing the internal accounting controls of Goldman Sachs. Leissner agreed to forfeit $43 million and shares of stock valued at more than $200 million, and is awaiting sentencing.
In October 2020, Goldman Sachs and Goldman Sachs (Malaysia) Sdn. Bhd. (GS Malaysia), its Malaysian subsidiary, admitted to conspiring to violate the anti-bribery provisions of the FCPA in connection with the scheme. Goldman Sachs entered into a deferred prosecution agreement with the Department of Justice’s Criminal Division’s Fraud Section and Money Laundering and Asset Recovery Section (MLARS), and the U.S. Attorney’s Office for the Eastern District of New York. GS Malaysia pleaded guilty in the U.S. District Court for the Eastern District of New York. Goldman Sachs paid more than $2.9 billion as part of a coordinated resolution with criminal and civil authorities in the United States, the United Kingdom, Singapore, and elsewhere.
The investigation was jointly conducted by the FBI’s International Corruption Unit and IRS-Criminal Investigation. The government’s criminal case is being handled by the Criminal Division’s Fraud Section, MLARS, and the U.S. Attorney’s Office for the Eastern District of New York. Co-Principal Deputy Chief Brent Wible of the Fraud Section, Bank Integrity Unit Chief Jennifer E. Ambuehl of MLARS, and Assistant U.S. Attorneys Alixandra E. Smith, Drew G. Rolle, and Dylan Stern of the Eastern District of New York are prosecuting the case. The Justice Department’s Office of International Affairs provided critical assistance.
The department appreciates the significant assistance provided by the U.S. Securities and Exchange Commission; the Board of Governors of the Federal Reserve System, including the Federal Reserve Bank of New York; the Government of Malaysia, including the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police and NCB Interpol Malaysia; the United Kingdom Financial Conduct Authority; the United Kingdom Prudential Regulation Authority; the United Kingdom National Crime Agency (NCA); the Attorney General's Chambers of the Territory of the British Virgin Islands; the Attorney General’s Office of the Bailiwick of Guernsey and the Guernsey Economic Crime Division; the International Anti-Corruption Coordinate Centre; the Attorney General’s Chambers of Singapore; the Singapore Police Force - Commercial Affairs Division; the Monetary Authority of Singapore; the Office of the Attorney General and the Federal Office of Justice of Switzerland; the judicial investigating authority of the Grand Duchy of Luxembourg and the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg; and the Ministry of Justice of France.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
The Bank Integrity Unit in MLARS investigates and prosecutes complex, multi-district, and international criminal cases involving financial institutions. The unit’s prosecutions focus on banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system.
Note: Click to view a video statement from AAG Polite.
Former Goldman Sachs Investment Banker Convicted in Massive Bribery and Money Laundering SchemeRead the Press Release
BROOKLYN, NY – Ng Chong Hwa, also known as “Roger Ng,” a citizen of Malaysia and a former Managing Director of The Goldman Sachs Group, Inc. (Goldman Sachs), was convicted today by a federal jury in Brooklyn on all counts of a superseding indictment charging him with conspiring to launder billions of dollars embezzled from 1Malaysia Development Berhad (1MDB), conspiring to violate the Foreign Corrupt Practices Act (FCPA) by paying bribes to a dozen government officials in Malaysia and Abu Dhabi, and conspiring to violate the FCPA by circumventing the internal accounting controls of Goldman Sachs. The verdict followed a seven-week trial before United States Chief District Judge Margo K. Brodie.
Breon Peace, United States Attorney for the Eastern District of New York; Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Ryan Korner, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, Los Angeles Field Office (IRS-CI), announced the verdict.
“Today’s verdict is a resounding victory for justice and for the people of Malaysia who were the victims of this massive scheme that the defendant and his partners in crime carried out in a frenzy of greed to get rich by stealing millions of dollars from the 1MDB fund intended to benefit that country’s economy,” stated United States Attorney Peace. “The Department of Justice and this Office are committed to addressing corporate culture by vigorously combating white-collar crime and holding corrupt individuals who seek to enrich themselves accountable for violating U.S. laws here and abroad.”
“Roger Ng participated in a massive bribery and money laundering scheme involving the corruption of high-level foreign officials in Malaysia and the United Arab Emirates,” stated Assistant Attorney General Polite. “This trial demonstrates the commitment by the Department of Justice to prosecute and hold accountable individuals who engage in corruption and use our financial system to launder funds related to their illicit schemes. We will continue to pursue criminal wrongdoers and will seek to bring them to justice, wherever they are, deprive them of their ill-gotten gains, and, wherever possible, return corrupt proceeds to those harmed by corruption — as we have throughout our longstanding investigation into the 1MDB scheme.”
“By virtue of today’s verdict, Roger Ng stands convicted of significant crimes for his role in a conspiracy to launder billions of dollars misappropriated from 1MDB, a Malaysian state-owned fund created to pursue economic growth opportunities for Malaysia and its people. While Ng and his associates greedily lined their pockets, the Malaysian people were left as victims who potentially suffered lost economic growth opportunity. The FBI and our partners remain committed to identifying those who choose to engage in foreign corrupt practices and bringing justice to them around the world,” stated FBI Assistant Director-in-Charge Driscoll.
“Today’s conviction of Roger Ng demonstrates the cooperation of law enforcement and prosecutorial agencies around the world to combat foreign corruption. Roger Ng and his co-conspirators enriched themselves while depriving the citizens of Malaysia of billions of dollars that was supposed to be invested on their behalf,” stated IRS-CI Special Agent-in-Charge Ryan L. Korner. “The Internal Revenue Service-Criminal Investigation is proud to stand with our law enforcement partners in the United States and around the world who participated in this most significant investigation.”
1MDB is a Malaysian state-owned and controlled fund created to pursue investment and development projects for the economic benefit of Malaysia and its people.
Ng was employed as a Managing Director by various subsidiaries of Goldman Sachs and acted as an agent and employee of Goldman Sachs from approximately 2005 to May 2014.
As proved at trial, between approximately 2009 and 2014, Ng conspired with others to launder billions of dollars misappropriated and fraudulently diverted from 1MDB, including funds 1MDB raised in 2012 and 2013 through three bond transactions it executed with Goldman Sachs, known as “Project Magnolia,” “Project Maximus” and “Project Catalyze.” As part of the scheme, Ng and others, including Tim Leissner, the former Southeast Asia Chairman and participating managing director of Goldman Sachs, conspired to pay more than a billion dollars in bribes to a dozen government officials in Malaysia and Abu Dhabi to obtain and retain lucrative business for Goldman Sachs, including the 2012 and 2013 bond deals. They also conspired to launder the proceeds of their criminal conduct through the U.S. financial system by funding major Hollywood films such as “The Wolf of Wall Street,” and purchasing, among other things, artwork from New York-based Christie’s auction house including a $51 million Jean-Michael Basquiat painting, a $23 million diamond necklace, millions of dollars in Hermes handbags from a business based on Long Island, and a luxury real estate in Manhattan.
Ng, co-defendant Low Taek Jho, a wealthy Malaysian socialite also known as “Jho Low,” and their co-conspirators used Low’s close relationships with high-ranking government officials in Malaysia and Abu Dhabi to obtain and retain business for Goldman Sachs through the promise and payment of hundreds of millions of dollars in bribes. In the course of executing the scheme, Ng conspired with others at Goldman Sachs to circumvent the investment bank’s internal accounting controls. Through its work for 1MDB during that time, Goldman Sachs received approximately $600 million in fees and revenues, while Ng received $35 million for his role in the bribery and money laundering scheme. In total, Ng and the other co-conspirators misappropriated more than $2.7 billion from 1MDB.
The evidence at trial included testimony from 26 witnesses called by the government; emails, phone records and bank records showing the defendant’s share of the scheme’s criminal proceeds was transferred to a bank account held by an offshore shell company in the name of the defendant’s mother-in-law; travel records; and receipts for luxury items purchased with the criminal proceeds.
Low remains a fugitive. In August 2018, Leissner pleaded guilty to a two-count criminal information charging him with conspiring to launder money and conspiring to violate the FCPA by both paying bribes to various Malaysian and Abu Dhabi officials and circumventing the internal accounting controls of Goldman Sachs. Leissner has been ordered to forfeit $43 million and shares of stock valued at more than $200 million. Leissner is awaiting sentencing.
In October 2020, Goldman Sachs and Goldman Sachs (Malaysia) Sdn. Bhd. (GS Malaysia), its Malaysian subsidiary, admitted to conspiring to violate the anti-bribery provisions of the FCPA in connection with the scheme. Goldman Sachs entered into a deferred prosecution agreement with the United States Attorney’s Office for the Eastern District of New York and the Department of Justice’s Criminal Division, Fraud Section and Money Laundering and Asset Forfeiture (MLARS), and GS Malaysia pleaded guilty in the U.S. District Court for the Eastern District of New York to a one-count criminal information. Goldman Sachs also paid more than $2.9 billion as part of a coordinated resolution with criminal and civil authorities in the United States, the United Kingdom, Singapore, and elsewhere.
The investigation was jointly conducted by the FBI’s International Corruption Unit and IRS-Criminal Investigation. The government’s criminal case is being handled by the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York and the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) and Fraud Section. Assistant United States Attorneys Alixandra E. Smith, Drew G. Rolle and Dylan Stern, and Bank Integrity Unit Chief Jennifer E. Ambuehl of MLARS and Co-Principal Deputy Chief of the Fraud Section Brent Wible are prosecuting the case. The Criminal Division’s Office of International Affairs provided critical assistance in this case.
The Department also appreciates the significant cooperation and assistance provided by the U.S. Securities and Exchange Commission, and the Board of Governors of the Federal Reserve System along with the Federal Reserve Bank of New York. The Department also appreciates the significant assistance provided by the government of Malaysia, including the Attorney General’s Chambers of Malaysia, the Royal Malaysia Police and NCB Interpol Malaysia. The Department also appreciates the significant assistance provided by the Attorney General’s Chambers of Singapore, the Singapore Police Force-Commercial Affairs Division, the Office of the Attorney General of Switzerland, the Judicial Investigating Authority of the Grand Duchy of Luxembourg and the Criminal Investigation Department of the Grand-Ducal Police of Luxembourg.
The Defendant:
NG CHONG HWA (also known as “Roger Ng”)
Age: 49
Kuala Lumpur, MalaysiaE.D.N.Y. Docket No. 18-CR-538 (MKB)
Former Florida Election Commission Attorney Sentenced to 72 Months in Federal Prison for Conspiracy and Distribution of Child PornographyRead the Press Release
TALLAHASSEE, FLORIDA – Eric Matthew Lipman, 60, of Tallahassee, Florida, was sentenced to 72 months in federal prison for conspiring to distribute, receive, and possess material constituting child pornography, and distributing material constituting child pornography after pleading guilty on December 13, 2021. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“Those who seek to view and share child pornography facilitate the abuse of children by those who produce and profit from this illegal content,” stated U.S. Attorney Coody. “With the assistance of our law enforcement partners, we will ensure that those who engage in such heinous conduct will be held accountable for their actions.”
Between February 8, 2021, and February 11, 2021, Lipman, along with others, was a participant in Mega.NZ chat groups that distributed, received, possessed, and discussed child pornography images and videos. Mega.NZ was an Internet cloud storage and file hosting service based in New Zealand. Lipman conspired with the members of the chat groups to distribute, receive, and possess material constituting child pornography, and posted child pornography material within Mega.NZ chat groups for the benefit of other like-minded participants. The pornographic material that Lipman distributed, and that was found on Lipman’s electronic devices, involved prepubescent minors as well as minors under the age of 12.
Lipman’s prison sentence will be followed by 9 years of supervised release. He will also be required to register as a sex offender and will be subject to sex offender conditions.
“This child predator was part of a conspiracy to sexually exploit young children,” said HSI Tampa Special Agent in Charge John Condon. “Because of the investigative work of HSI and our law enforcement partners at the Leon County Sheriff’s Office, he will no longer be able to harm our most vulnerable.”
“LCSO applauds the work of investigators and the collaborative efforts by all entities involved in seeing justice carried out in this case,” said Leon County Sheriff Walt McNeil. “We must continue to do our due diligence in protecting our most vulnerable and precious members of our community.”
This case was investigated by the Homeland Security Investigations and the Leon County Sheriff’s Office. Assistant United States Attorney Justin M. Keen prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office for the Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Dallas Police Officer Sentenced to 30 Months for Lying About Conversations with Ok Corral OwnerRead the Press Release
A former Dallas police officer was sentenced Thursday evening to 30 months in federal prison for lying to federal agents about his role in obstructing an FBI investigation into a nightclub magnate later convicted of a massive drug conspiracy, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Eddie Villarreal, 53, pleaded guilty in January 2018 to making a false statement to the FBI. He was sentenced Thursday by U.S. District Judge Sam A. Lindsay, who ordered him to pay a fine of $10,000.
“This is not what a police officer is supposed to do. It is the opposite,” Judge Lindsay remarked at sentencing. “When that trust is broken, a police officer must be held accountable, that’s the bottom line.”
According to his plea papers, during his tenure as a Dallas police officer, Mr. Villarreal also served as head of security for Alfredo Hinojosa, the owner of a string of nightclubs including Ok Corral and Far West, and routinely assisted Mr. Hinojosa and his employees with criminal matters.
On April 14, 2014, Mr. Villarreal admitted, he answered a call from club promoter Martin “Chava” Rodriguez, who informed Mr. Villarreal that he suspected he was being followed by law enforcement. (In fact, he was being tailed by FBI.) Mr. Villarreal instructed Mr. Rodriguez to pull over, then drove out to meet him.
Upon arriving, Mr. Villarreal pulled up behind the FBI vehicle and activated his red and blue emergency lights. After confirming the vehicle’s occupants were FBI agents, he introduced himself as a DPD officer and offered to help them with their investigation into Mr. Rodriguez. In reality, Mr. Villarreal later admitted, he never intended to assist the FBI, but rather wanted to learn more about the investigations in order to pass the information along to Mr. Hinojosa, Mr. Rodriguez, and others.
Shortly thereafter, Mr. Villarreal called one of the agents and provided information about a target who he said was dealing cocaine out of nightclub bathrooms. He later admitted that he did so in order to deflect attention from Mr. Hinojosa.
The following day, FBI agents called Mr. Villarreal to advise him of a grand jury investigation into Mr. Rodriguez and others.
Subsequent to that conversation, Mr. Villarreal admitted, he visited Mr. Hinojosa at his office and informed him of the investigation and its targets, telling Mr. Hinojosa, “you got detectives that don’t know anything about you… I can get in trouble if they think I’m warning you.” Upon learning that the FBI might be surveilling his nightclubs, Mr. Hinojosa said he wanted to “tighten down” on drug sales in club bathrooms.
On May 7, 2015, FBI agents reached out to Mr. Villarreal to ask if he had informed anyone of the Rodriguez stop or grand jury investigation. Mr. Villarreal denied any such disclosures.
He resigned from the police department five months later, in October 2015.
“By alerting his clients to an ongoing investigation, Mr. Villarreal undermined the hard work of his law enforcement colleagues and sullied his badge,” said U.S. Attorney Chad Meacham. “He took an oath to serve and protect – and promptly did the opposite. The Justice Department will not allow this kind of misconduct to go unpunished.”
“The public expects police officers to be honest, trustworthy, and to prioritize protecting their community from dangerous individuals. The defendant not only failed to protect his community, but also lied to a fellow law enforcement officer. He provided sensitive information that could have jeopardized the outcome of a criminal investigation. The FBI and our law enforcement partners will hold accountable any officer that breaks the law and endangers the lives of others,” said FBI Dallas Special Agent in Charge Matthew DeSarno.
Mr. Hinojosa and Mr. Rodriguez were later convicted at trial of managing drug premises, conspiracy to manage drug premises, and conspiracy to possess with intent to distribute cocaine. Multiple witnesses testified that the pair knew drug trafficking was occurring on their premises and openly ordered security personnel to allow it. Mr. Hinojosa and Mr. Rodriguez are now facing up to life in federal prison. Their sentencing has been set for June 3 and July 22, respectively.
More than 30 defendants – including Mr. Villarreal’s former DPD colleague, Craig Woods – have been convicted in connection with the case.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation, dubbed “Operation Closing Time,” with the assistance of the Dallas Police Department. The Texas Alcoholic Beverage Commission's Enforcement Division provided valuable assistance. Assistant U.S. Attorneys P.J. Meitl, Errin Martin, Nicole Dana, and Melanie Smith prosecuted the case.
Former Alabama Correctional Sergeant Sentenced for Assaulting InmatesRead the Press Release
The Justice Department announced that Ulysses Oliver Jr., 47, a former Alabama Department of Corrections (ADOC) Sergeant, was sentenced in federal court to this morning to 30 months of imprisonment, to be followed by three years of supervised release. Oliver previously pleaded guilty to assaulting two inmates at ADOC’s Elmore Correctional Facility.
According to court documents, on Feb. 16, 2019, Oliver went to an observation room holding the two inmate victims, who were handcuffed and sitting quietly. Oliver pulled the first victim from the observation room into an adjacent hallway, where he struck the victim multiple times with his fists and feet, and then used his collapsible baton to strike the victim approximately 19 times. After assaulting the first victim, Oliver returned to the observation room and pulled the second victim into the hallway. Oliver kicked the second victim and used his baton to strike the victim approximately 10 times. During the assaults, the victims were handcuffed behind their backs, did not resist and posed no threat. Afterward, Oliver returned to the observation room where the victims were being held and shoved the tip of his baton into the face of one of the victims, lacerating the victim’s face. Oliver assaulted the victims as punishment because he believed that the victims had brought contraband into the facility. Oliver assaulted the victims in the presence of, or within earshot of, other ADOC correctional officers, who did not intervene to prevent the assaults.
Two other former corrections officers have pleaded guilty in connection with this incident, and a third was convicted at trial. Former ADOC correctional officers Bryanna Mosley and Leon Williams pleaded guilty in May and July 2019, respectively, to failing to intervene to stop the assaults. Another officer, former ADOC correctional lieutenant Willie Burks, who was the shift commander during the Feb. 16, 2019 incident, was convicted by a federal jury on July 21, 2021, of failing to intervene to stop Oliver from assaulting the second inmate.
“The Constitution forbids cruel and unusual punishment, which includes malicious uses of force by correctional officers,” said Assistant Attorney General Kristen Clarke of the Civil Rights Division. “The Department of Justice will hold to account officers who brutalize incarcerated persons.”
“The actions of Mr. Oliver and his co-defendants run completely counter to the responsibilities and trust given to correctional officers,” said U.S. Attorney Sandra J. Stewart for the Middle District of Alabama. “Oliver knew that the use of force in this case was unnecessary and excessive, and so did the other officers involved. While I fully support the difficult and dangerous jobs that these officers undertake each day, my office remains committed to holding those that ignore their oaths accountable.”
"Corrections officers are expected to safeguard the civil rights of prisoners,” said Special Agent in Charge Paul Brown for the FBI’s Mobile Field Office. “These officers ignored their duties and must be held to account for their actions. The FBI will continue to work with our law enforcement partners to investigate violations of people’s civil rights."
“The ADOC has zero tolerance for violence within its facilities, including excessive use-of-force by staff,” said Chief Law Enforcement Officer Arnaldo Mercado of the Alabama Department of Corrections Law Enforcement Services Division. “Excessive use-of-force is not acceptable under any circumstances, and preventing these incidents is a high priority for the department. When an allegation of excessive force is made, or an incident of such nature is reported or discovered, the department conducts a thorough investigation. Employees who are found to have violated the highest standards of law enforcement, to which the ADOC is steadfastly committed, will be referred for prosecution and the LESD will support prosecution to the full extent of the law.”
This case was investigated by the FBI’s Mobile Division and ADOC’s Law Enforcement Services Division. Assistant U.S. Attorney Eric Counts for the Middle District of Alabama and Trial Attorney David Reese of the Civil Rights Division prosecuted the case.
Federal Jury Convicts Pittsburg County Residents of Narcotics and Money Laundering OffensesRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced today that Early Willard Woodmore, III, age 34, of Quinton, Oklahoma and Calvin James Woodmore, age 33, of McAlester, Oklahoma were found guilty by a federal jury of Drug Conspiracy, Drug Distribution, Conspiracy to Commit Money Laundering and Money Laundering. A copy of the original indictment can be found at https://go.usa.gov/xdYg4. All other indicted codefendants previously entered pleas of guilty.
The jury trial began with testimony on Monday, April 4, 2022, and concluded on Thursday, April 7, 2022, with the verdicts of guilty on all counts for both defendants. Based on the jury’s verdicts, both Early Willard Woodmore III and Calvin James Woodmore could receive up to life imprisonment.
During the trial, the United States presented evidence that beginning in 2017 and continuing until the end of 2019, Early Woodmore, III operated a methamphetamine distribution organization based in Haskell and Pittsburg counties. Early Woodmore, III, working with his source of supply in California, received numerous multi-pound shipments of methamphetamine sent through the United States Postal Service to various addresses in Haskell and Pittsburg counties. Early Woodmore, III, Calvin Woodmore, and other codefendants repackaged the methamphetamine into smaller quantities and distributed it in the Pittsburg and Haskell county area. After being arrested in April 2019 on state charges of assault and kidnapping, the Woodmores continued to operate the organization from within the Haskell County Jail, utilizing the inmate phone system. The Woodmore drug trafficking organization utilized money wire services and banks to send payments for the methamphetamine to the source of supply in California. The trial evidence further showed that the Woodmores engaged in acts of violence and retaliation against those they suspected of cooperating with law enforcement.
The guilty verdicts arose from a joint investigation led by the Drug Enforcement Administration (“DEA”), along with Haskell County Sheriff’s Office, the Oklahoma Bureau of Narcotics (“OBN”), the District 18 District Attorney’s Drug Task Force, the Internal Revenue Service (“IRS”), the United States Postal Inspection Service (“USPIS”), the National Guard Counterdrug Task Force, the Bureau of Indian Affairs (“BIA”), the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), the Pittsburg County Sheriff’s Office, the McAlester Police Department, and the Stigler Police Department. The investigation was part of and included members of the DEA High Intensity Drug Trafficking (“HIDTA”) Task Force.
This case is also part of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program. The OCDETF program is the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s illicit drug supply.
The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma in Muskogee, presided over the trial and ordered the completion of the presentence reports for both defendants. Sentencings will be scheduled following completion of the reports. Both defendants were remanded to the custody of the United States Marshal pending the imposition of the sentencings.
Assistant United States Attorney Ryan Conway and Assistant United States Attorney Kevin Cheung represented the United States.
Federal Jury Convicts Illinois Man in Connection with the Killing of Special Deputy U.S. Marshal Jacob KeltnerRead the Press Release
ROCKFORD — A federal jury in Rockford today convicted an Illinois man in connection with the killing of Special Deputy U.S. Marshal Jacob Keltner.
The jury found FLOYD E. BROWN, 42, of Springfield, Ill., guilty of second-degree murder of a federal officer, attempting to kill additional federal officers, assault of federal officers, and multiple firearm offenses. The convictions carry a maximum sentence of life in prison. U.S. District Judge Matthew F. Kennelly set sentencing for July 19, 2022, at 1:00 p.m.
The convictions were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois, and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago office of the FBI. Valuable assistance was provided by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, U.S. Marshals Service, McHenry County Sheriff’s Office, Rockford Police Department, Winnebago County Sheriff’s Office, Bloomington Police Department, Loves Park Police Department, Lincoln Police Department, Logan County Sheriff’s Office, and Illinois State Police. The government is represented by Assistant U.S. Attorneys Talia Bucci, Scott Paccagnini, and Ronald DeWald.
Evidence presented at the two-week trial revealed that Special Deputy Keltner was fatally wounded on March 7, 2019, when members of the U.S. Marshals Service Great Lakes Regional Fugitive Task Force and other law enforcement officers attempted to execute a warrant for Brown’s arrest at a Rockford hotel. Brown was wanted on a residential burglary charge. Special Deputy Keltner served as a McHenry County Sheriff’s deputy and was a sworn member of the task force.
When the officers attempted to gain access to Brown’s third-floor hotel room, he fired ten shots through the door and nearby walls, narrowly missing a Deputy U.S. Marshal and two Special Deputy U.S. Marshals. Brown then jumped out of a window and fired a shot that fatally struck Special Deputy Keltner, who was covering the exterior of the hotel. Brown was arrested several hours later near Lincoln, Ill., after a high-speed pursuit.
Federal Jury Convicts Clarksville Man of Kidnapping and Interstate StalkingRead the Press Release
Memphis, TN- After a six-day federal jury trial, Keaton L. Walls, 37, of Clarksville, Tennessee, was found guilty of kidnapping, interstate stalking, and using a firearm to commit interstate stalking. Joseph C. Murphy Jr., United States Attorney, announced the conviction today.
According to information presented in court, on November 23, 2016, Walls drove from Clarksville, Tennessee to a residence in DeSoto County, Mississippi, where his ex-girlfriend lived with several family members. Armed with a Norinco AK-47 style automatic rifle, Walls fired at least 10 shots from the front yard into the home’s living room window. Four of the seven people inside the house suffered gunshot wounds, and one of those victims lost his leg due to the shooting. The victims were not able to see the shooter, and Walls fled the scene before law enforcement arrived. DeSoto County Sheriff’s Department personnel recovered six spent shell casings as evidence.
Less than 18 months later, on April 20, 2018, Walls kidnapped his ex-girlfriend, her five-year-old daughter, and her boyfriend at gunpoint from their apartment in Memphis, Tennessee. He forced the victim to drive them in her car to a nearby location, where Walls’s vehicle was parked. He retrieved an AK-47 style rifle from his car and put it into the trunk of the victim’s car. After that, he ordered the victim to drive back to her apartment, where he forced her to lock her daughter inside the apartment by herself. He then ordered her to drive to a house in Marshall County, Mississippi where Walls’s relative lived. During the drive, Walls threatened to kill both victims and hit them with one of his two pistols. When they arrived at the house, Walls forced both victims out of the car, onto their knees, and fired three gunshots past their heads.
After arguing with several family members about whether he should release the victims, Walls directed both victims back into the car. He forced the female victim to drive the car into Shelby County, Tennessee, where officers were able to stop the car, arrest Walls, and
rescue both victims. Forensic ballistics testing showed that the AK-47 style rifle in the car’s trunk matched the spent shell casings recovered from the November 23, 2016, shooting in DeSoto County, Mississippi.
"The prosecution of individuals who commit violent crimes is a priority for the United States Department of Justice," said Joseph C. Murphy, Jr., United States Attorney for the Western District of Tennessee. "Public safety is a paramount concern for our office, and we will aggressively prosecute individuals who commit violent crimes that endanger the safety of the people living throughout West Tennessee."
"The cooperative efforts among Federal and State partners made it possible to bring a violent stalker and kidnapper to justice," said Douglas M. Korneski, Special Agent in Charge of the Federal Bureau of Investigation Memphis Field Office. "The FBI and fellow law enforcement will continue to combine our resources and share our expertise to target those who hope to commit similar heinous acts."
A sentencing hearing is scheduled for September 8, 2022, before United States District Judge John T. Fowlkes, Jr. Walls was convicted of four counts of kidnapping, one count of interstate stalking, and one count of using a firearm to commit interstate stalking. He faces up to life in prison. There is no parole in the federal system.
This case was investigated by the Federal Bureau of Investigation, the DeSoto County Sheriff’s Department, the Shelby County Sheriff’s Office, and the Memphis Police Department.
Assistant United States Attorneys Tony Arvin and Murre Foster are prosecuting this case on behalf of the government.
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Federal Grand Jury A Indictments Announced- April 2022Read the Press Release
United States Attorney Clint Johnson today announced the results of the April 2022 Federal Grand Jury A.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Keith Eugene Crenshaw II. Aggravated Sexual Abuse by Force and Threat in Indian Country; Sexual Abuse by Threat and Fear in Indian Country; Sexual Abuse of an Incapable Victim in Indian Country; and First Degree Burglary in Indian Country. Crenshaw, 33, is charged with breaking into a Glenpool home and sexually assaulting the woman inside on Feb. 20, 2022. The FBI and Glenpool Police Department are the investigative agencies. Assistant U.S. Attorney Stephanie Ihler is prosecuting the case. 22-CR-90
Carlos Rafael Jacome. Felon in Possession of a Firearm. Jacome, 31, of Tulsa, is charged with being a felon in possession of a Glock 9X19 caliber semi-automatic pistol. The Drug Enforcement Administration is the investigative agency. Assistant U.S. Attorney Joel-lyn McCormick is prosecuting the case. 22-CR-91
Timothy Revae McDonald. Felon in Possession of Firearms and Ammunition; Possession of Methamphetamine with Intent to Distribute; Possession of Cocaine with Intent to Distribute; Possession of a Firearm in Furtherance of a Drug Trafficking Crime; Maintaining a Drug-Involved Premises; Unlawful Possession of Body Armor. McDonald, 44, of Tulsa, was charged with being a felon in possession of a Sarsilmaz 9mm semi-auto pistol, a Sig Sauer 9x19 semi-auto pistol, and 33 rounds of ammunition. He is also charged with knowingly possessing with intent to distribute 50 grams or more of methamphetamine; knowingly possessing with intent to distribute cocaine; possessing firearms in furtherance of his drug trafficking crimes; and knowingly maintaining a place for the purpose of distributing methamphetamine. Finally, he charged with unlawfully possessing body armor. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Niko Boulieris is prosecuting the case. 21-CR-92
Sir Michael Morgan Jr. First Degree Murder in Indian Country; Assault with Intent to Commit Murder in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Assault Resulting in Serious Bodily Injury in Indian Country; Causing Death by Using and Discharging a Firearm During and in Relation to a Crime of Violence. According to the indictment, Morgan Jr., 18, of Tulsa, murdered Isaiah Jones on Jan. 29, 2022, during a shooting that occurred on N. Johnstown Avenue in Tulsa. He is further alleged to have shot a 17-year-old with intent to commit murder during the same incident. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Stacey P. Todd is prosecuting the case. 22-CR-96
Gary Dumont Riggs. Aggravated Sexual Abuse of a Minor by Force and Threat in Indian Country (Counts 1-4) (superseding). In counts 1-3, Dumont, 76, of Claremore, is alleged to have sexually abused a minor between the ages of 12 and 16 from May 1, 2014, to September 1, 2014. In count 4, he is charged with sexually abusing the same child between Dec. 1, 2014, and January 31, 2015. The FBI and Verdigris Police Department are the investigative agencies. Assistant U.S. Attorney Stacey P. Todd is prosecuting the case. 21-CR-176
Andrew Leon Roberts. Assault with Intent to Commit Murder in Indian Country (Count 1); Assault with a Dangerous Weapon with Intent to Do Bodily Harm in Indian Country (Count 2); Destruction of Property While Placing Life in Jeopardy in Indian Country (Count 3); Attempt to Commit Murder in Indian Country (Counts 4, 5). Roberts, 65, of Tulsa, is alleged to have assaulted three Tulsa police officers using his car as a weapon. According to a federal Criminal Complaint initially filed in the case, on March 5, 2022, two Tulsa police officers in separate marked patrol vehicles were transporting an arrestee when they saw Roberts driving erratically. One officer pulled his patrol vehicle to the side of the road because he believed Roberts was trying to flag him down or get his attention. Instead, Roberts accelerated, closely passed the officer’s vehicle, struck the side mirror, and continued at a high rate of speed toward the second patrol vehicle trying to strike it from behind. The second officer was able to take evasive action to avoid a collision. Roberts then turned around and drove toward the first officer’s parked vehicle and attempted to T-bone the patrol vehicle with the officer inside. The officer was also able to take evasive action and avoid a second collision. Roberts then fled in his car. The officers were unable to follow since they were transporting the arrestee.
In an incident later that day, a man called 911 when Roberts showed up at his residence, argued with him and threatened to ram his vehicle into the man’s residence. The man demanded he leave. A Tulsa Police Officer responded, and as she neared the residence, she saw Roberts approaching in his vehicle at a high rate of speed from behind her. The officer accelerated her patrol vehicle to lessen the impact of a collision. Roberts allegedly struct the officer’s vehicle from behind then drove his vehicle to the driver’s side of the patrol vehicle and continued to ram the vehicle as the officer attempted to drive away. The officer was able to maneuver her vehicle away, but Roberts again accelerated toward the officer and attempted to strike her head on. During the incident, another officer arrived and parked nearby. He observed Roberts’ continued attempts to strike the first officer’s vehicle. The officer exited his own patrol vehicle and walked to its rear, drawing his firearm. Roberts then allegedly turned his vehicle toward the second officer and accelerated in his direction in an attempt to run over him. The officer fired at Roberts and jumped out of the way to avoid being struck. Roberts drove in a circle around the officer and his vehicle. He finally struck a tree and came to a stop. Roberts was shot during the incident and taken by ambulance to a hospital. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Gina S. Gilmore is prosecuting the case. 22-CR-95
Alton Jarae Rose. First Degree Burglary in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence; Felon in Possession of a Firearm and Ammunition; Tampering with a Witness and Victim by Using the Threat of Physical Force. On March 4, 2022, Rose, 34, of Tulsa, allegedly broke into a residence while the occupant was sleeping and assaulted her. When she attempted to call for help, he brandished a firearm and threatened to kill her if she called police. Rose was also charged with being a felon in possession of the Taurus .38 Special caliber revolver, along with ammunition. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney George Jiang is prosecuting the case. 22-CR-94
Brittany Michelle Watts; Possession of Methamphetamine with Intent to Distribute. Watts, 29, of Tulsa, is charged with knowingly possessing with intent to distribute 500 grams of methamphetamine. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Tulsa County Sheriff’s Office, and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Joel-lyn McCormick is prosecuting the case. 22-CR-93
Eastern Shore Man Pleads Guilty to Possession of More Than 300 Grams of Crack Cocaine with Intent to DistributeRead the Press Release
Baltimore, Maryland – Marcus Pitts, age 49, of Berlin, Maryland, pleaded guilty today to possession with intent to distribute crack cocaine.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and the members of the Worcester County Criminal Enforcement Team: Chief Ross C. Buzzuro of the Ocean City Police Department; Worcester County Sheriff Matthew Crisafulli; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police; Chief Arthur R. Hancock of the Pocomoke City Police Department; and Chief Leo Ehrisman of the Ocean Pines Police Department.
According to Pitts’s guilty plea, in September 2018, members of the Worcester County Criminal Enforcement Team (WCCET) were investigating Pitts for suspected drug distribution. While conducting surveillance at Pitts’s residence investigators saw a suspected drug user go into the residence, come out a short time later, and then drive away. Investigators conducted a traffic stop of the individual and recovered a glass smoking pipe and a small amount of cocaine, which the person acknowledged he had just purchased from Pitts.
On September 14, 2018, members of the WCCET executed a search warrant at Pitts’s residence, where they recovered approximately 396 grams of crack cocaine, baking soda, a glass Pyrex dish, plastic baggies, an empty digital scale box, three cell phones, and $1,472 in U.S. currency. An additional cell phone was recovered from Pitts outside the residence. A subsequent search warrant of the cell phones revealed numerous text messages indicating that Pitts was involved in trafficking crack cocaine.
Pitts was released from state custody on bail on September 24, 2018. He was arrested on January 2, 2019 on a federal arrest warrant. At the time of his arrest, Pitts was in possession of a bag of crack cocaine, which he tried to throw away as police approached. Investigators also recovered a cell phone from Pitts’s vehicle. The cell phone was searched and was found to contain numerous text messages indicating that Pitts continued to distribute crack cocaine while he was released from state custody on bail.
Pitts and the government have agreed that, if the Court accepts the plea agreement, Pitts will be sentenced to seven years in federal prison. U.S. District Judge George L. Russell, III has scheduled sentencing for June 17, 2022 at 2:00 p.m.
United States Attorney Erek L. Barron commended HSI and the WCCET, comprised of the Ocean City Police Department, the Worcester County Sheriff’s Office, the Maryland State Police, the Pocomoke City Police Department and the Ocean Pines Police Department for their work in the investigation and thanked the Worcester County State’s Attorney’s Office for its assistance. Mr. Barron thanked Assistant U.S. Attorneys Christina A. Hoffman and Darryl L. Tarver, who are prosecuting the case
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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District of Columbia Man Sentenced to 56 Months in Prison for Fraud, Money Laundering, and Identity Theft SchemesRead the Press Release
WASHINGTON – Jamar Skeete, 38, of Washington, D.C., was sentenced today to 56 months in prison on federal charges stemming from his years-long role in at least four business e-mail compromise fraud and money laundering schemes that caused more than $1.5 million in intended losses.
The announcement was made by U.S. Attorney Matthew M. Graves and Greg L. Torbenson, U.S. Postal Inspector in Charge for the Washington Division, U.S. Postal Inspection Service.
Skeete pleaded guilty on Nov. 15, 2021, in the U.S. District Court for the District of Columbia, to one count of money laundering, one count of identity theft, and two counts of wire fraud. On the same date, he also pleaded guilty to one count of conspiracy to commit bank fraud and wire fraud in a case that was originally indicted in the Southern District of New York and transferred to the U.S. District Court for the District of Columbia for plea and sentencing. He was sentenced in both cases by the Honorable District Judge John D. Bates. Following his prison term, Skeete will be placed on three years of supervised release. He also must pay combined restitution judgments in the two cases totaling $697,836, and forfeiture money judgments totaling $381,387.
According to the statements of offense acknowledged by Skeete, between September 2017 and June 2019, Skeete received and laundered the proceeds of at least four separate business e-mail compromise schemes targeting the City of Flint, Michigan, an Illinois-based company operating senior care facilities, and other businesses. Skeete used two stolen identities and multiple fraudulent shell company accounts to receive and launder the proceeds of the business e-mail compromise schemes in the District of Columbia and elsewhere. He also assumed an address used in two of the schemes by submitting a fraudulent “hold mail” request to the U.S. Postal Service. In the schemes originally charged in the Southern District of New York, Skeete conspired with 14 other individuals to launder other fraud proceeds out of a fraudulent shell company account. All told, Skeete participating in diverting and laundering more than $1.5 million
In a business e-mail compromise (or BEC) scheme, conspirators infiltrate the computer systems of a victim company through phishing attacks or otherwise. Once there, they impersonate the victim’s business partners and, claiming a change in bank accounts, trick the victim into sending payments not to business partners, but to the conspirator’s bank accounts.
The case was investigated by the U.S. Postal Inspection Service Washington Division, with assistance provided FBI’s Washington Field Office and the Federal Deposit Insurance Corporation-Office of Inspector General. The case was prosecuted by Assistant U.S. Attorney Christopher B. Brown, with assistance from Paralegal Specialists Michon Tart and former Paralegal Specialist C. Rosalind Pressley. Significant assistance was also provided by Assistant U.S. Attorneys Alexander Li and Thomas Burnett of the U.S. Attorney’s Office for the Southern District of New York.
Denver Man Sentenced to 20 years in Prison in Armed Carjacking CaseRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Joseph Wesley Avila, age 30, of Denver, was sentenced to 20 years in federal prison for carjacking and possession of a firearm by a felon.
According to facts presented at trial, Avila and an unidentified man carjacked a woman. One week later, Avila was found to be in possession of a loaded firearm. Avila and the unidentified man beat the carjacking victim with their fists and a skateboard while Avila threatened to kill her. Avila then stole her purse and the car she was driving. When Avila was located a week later, he was driving the stolen vehicle and had armed himself with a pistol and several rounds of ammunition, both loaded into the firearm and in his backpack.
“I hope the idea of spending 20 years in prison makes violent criminals think twice before using a gun in Colorado,” said Cole Finegan, U.S. Attorney for the District of Colorado. “We are committed to working with our law enforcement partners to take violent criminals off the streets for a long time.”
“Avila’s violent criminal past has left a trail of victims for nearly two decades in Colorado,” said Special Agent in Charge David S. Booth. “Due to the strong investigative work and subsequent prosecution, his violence has come to an end.”
On December 6, 2021, the United States District Court for the District of Colorado started a jury trial. On December 8, 2021, the jury returned a guilty verdict.
United States District Court Judge Raymond P. Moore sentenced Joseph Wesley Avila on March 14, 2022.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the FAST Unit of the Denver Police Department, conducted the investigation. Assistant United States Attorneys Celeste Rangel and Conor Flanigan handled the prosecution of the case.
PSN programs are led by U.S. Attorneys’ Offices in collaboration with local public safety agencies, community stakeholders and other agencies and organizations that work to reduce violent crime.
Case number 20-cr-00229-RM
D.C. Man Pleads Guilty to Attempting to Steal More than $31 Million in COVID-19 FundsRead the Press Release
WASHINGTON – Elias Eldabbagh, 30, of Washington, D.C., pleaded guilty in federal court today to carrying out a scheme to steal more than $31 million under the CARES Act and laundering the proceeds of his scheme. Eldabbagh succeeded in stealing $2,385,000 under the Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL).
The announcement was made by U.S. Attorney Matthew M. Graves, Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service-Criminal Investigation, Washington, D.C. Field Office, and Special Agent in Charge Amaleka McCall-Brathwaite of the U.S. Small Business Administration, Office of the Inspector General.
“While many Americans were struggling with the economic impacts of the COVID-19 pandemic, this defendant brazenly attempted to steal more than $31 million in emergency funds intended to help small businesses and employees survive COVID-19,” said U.S. Attorney Graves. “The United States Department of Justice will prosecute, to the fullest extent of the law, those individuals who scheme to rob vital government programs.”
“Elias Eldabbagh stole funds that were meant to help businesses and their employees during a crisis to spend on a luxury car and enriching himself,” said IRS-CI Special Agent in Charge Waldon. “During the two years since the CARES Act was passed, IRS-CI special agents have rooted out and continue to pursue these selfish criminals who thought they could get away with stealing from those who truly needed help.”
“OIG will continue to safeguard SBA programs from fraudsters determined to steal funds meant to support the nation’s small businesses,” said SBA OIG’s Special Agent in Charge McCall-Brathwaite. “OIG remains committed to rooting out bad actors and protecting the integrity of SBA programs. I want to thank the Department of Justice and our law enforcement partners for their dedication and pursuit of justice.”
Eldabbagh pleaded guilty in the U.S. District Court for the District of Columbia to wire fraud and laundering the proceeds of the wire fraud scheme. Wire fraud carries a statutory penalty of 20 years and financial penalties. Engaging in monetary transactions in criminally derived funds carries a statutory penalty of 10 years and financial penalties. Eldabbagh faces a likely recommended sentence of between 11 and 14 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Honorable Trevor N. McFadden took the plea and scheduled sentencing for Aug. 25, 2022.
From July 2020 through May 2021, Eldabbagh used his company, Alias Systems, LLC, to fraudulently apply for at least 25 PPP loans totaling more than $30 million. He also submitted at least four false EIDL applications totaling $950,000. During the course of his scheme, Eldabbagh used a stolen identity to disguise the ownership of Alias Systems, LLC, and used the same stolen identity to submit the vast majority of the applications. In support of his fraudulent applications, Eldabbagh also used stolen identities, stolen tax returns and stolen financial records from a Washington, D.C. consulting company. Eldabbagh fraudulently doctored the stolen documents to be appear to be tax returns and payroll records of his company, Alias Systems, LLC. Eldabbagh successfully stole $2,385,000 from the PPP and EIDL programs.
Eldabbagh wired the proceeds of his scheme to at least 13 separate bank and brokerage accounts and to purchase a Tesla Model 3. Eldabbagh then converted at least $288,000 of proceeds from fiat currency into multiple cryptocurrencies. Using fraud proceeds, Eldabbagh conducted over 2,000 transactions involving at least 43 different cryptocurrencies.
Eldabbagh also used the money he stole to pay for rent, hotels, dog boarding, attorney fees, ride shares, electronics, and various personal expenses.
In May 2021, IRS-CI executed seizure warrants on Eldabbagh’s bank accounts and investment accounts. Eldabbagh proceeded to make multiple attempts to transfer seized funds prior to being thwarted by federal agents. As part of his plea agreement, Eldabbagh has agreed to forfeit the Tesla Model 3, the contents of 21 bank accounts, and he has agreed to liquidate his interest in the cryptocurrency obtained with proceeds and to remit the funds to the United States government.
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted in or around March 2020 and designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of billions in forgivable loans to small businesses for job retention and certain other expenses, through a program referred to as the Paycheck Protection Program (PPP).
An Economic Injury Disaster Loan (“EIDL”) is a Small Business Administration administered loan designed to provide assistance to small businesses that suffer substantial economic injury as a result of a declared disaster. An EIDL helps businesses meet necessary financial obligations that could have been met had the disaster not occurred. It provided relief from economic injury that the disaster caused and permitted businesses to maintain a reasonable working capital position during the period that the disaster affected.
In announcing the plea, U.S. Attorney Graves, Special Agent in Charge Waldon, and Special Agent in Charge McCall-Brathwaite commended the work of those who investigated the case from IRS-CI and the SBA Office of the Inspector General. This case is being prosecuted by Assistant U.S. Attorney Leslie A. Goemaat of the Fraud, Public Corruption, and Civil Rights Section, supported by Paralegal Specialist Mariela Andrade.
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On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of fraud related to COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Covington Woman Sentenced to 21 Months for Fake Investment SchemeRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that RITCHEL MOREHEAD, age 41, a resident of Covington, Louisiana, was sentenced on April 7, 2022 to 21 months in prison for committing wire fraud in connection with a fake investment scheme.
The government charged MOREHEAD in a superseding bill of information with committing wire fraud from December 2018 through February 2019. According to court documents, MOREHEAD used a corporation, Chel Corporation, to defraud six victims by embezzling a total of $460,000 that was supposed to cover fees, costs, and down payments for multi-million-dollar loans, when in fact MOREHEAD spent the funds on personal expenses, such as jewelry and a vehicle, and transferred cash to accounts overseas. After MOREHEAD was charged, two additional individuals came forward as victims of the same scheme. Under the terms of the plea agreement, MOREHEAD pled guilty as charged to the superseding bill of information and agreed to pay at $460,000 in restitution to the victims of her scheme, plus amounts owed to any additional victims. The government has already seized $190,784.90 in cash and assets from MOREHEAD, and MOREHEAD pre-paid over $310,000 in restitution in advance of sentencing, for a total of approximately $501,000.
The Honorable Eldon E. Fallon sentenced MOREHEAD to 21 months in prison, followed by three years of supervised release, and a $100 mandatory special assessment fee. Judge Fallon set a restitution hearing for June 16, 2022, to determine the final amount of restitution that MOREHEAD will owe and the schedule for those payments.
U.S. Attorney Evans praised the work of Homeland Security Investigations and the United States Secret Service. Assistant United States Attorney Nicholas D. Moses oversees the prosecution.
Connecticut man admits to role in firearms conspiracyRead the Press Release
CLARKSBURG, WEST VIRGINIA – William Joseph Milot, of Waterbury, Connecticut, has admitted to his role in a firearms trafficking conspiracy, United States Attorney William Ihlenfeld announced.
Milot, 32, pleaded guilty today to one count of “Aiding and Abetting the False Statement in Connection with the Acquisition of Firearms.” Milot admitted to working with another to illegally purchase two 9mm pistols from a firearms dealer in December 2020 in Marion County.
Milot faces up to 10 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. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Colorado Man Arrested for Vermont KidnappingRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on April 6, 2022, Jerry Banks, 34, of Fort Garland, Colorado was arrested following the filing of a criminal complaint that charges Banks with kidnapping Gregory Davis, a resident of Danville, Vermont, on January 6, 2018. Banks was taken into custody in Yellowstone National Park, where he was working. Banks appeared in United States District Court in Landers, Wyoming for a hearing yesterday. Banks will appear again in federal court in Wyoming next week before being ordered to appear in Vermont.
Following an exhaustive investigation by agents with the Federal Bureau of Investigation and detectives with the Vermont State Police, law enforcement obtained a criminal complaint that charges Banks with being the kidnapper. According to the complaint affidavit, Banks arrived at Davis’s Danville residence on the evening of January 6, 2018, posing as a United States Marshal claiming to arrest Davis. Davis was found dead the next day in a snowbank on a Barnet, Vermont road several miles from the Davis residence. Although Banks is not charged with Davis’s murder, the complaint affidavit contains allegations that Banks murdered Davis.
According to the allegations in the complaint, Banks used two cell phones around the time of the kidnapping. One phone, which was purchased days before the kidnapping at a Walmart in Pennsylvania, was used to call 911 minutes before the kidnapping (the 911 Phone). Banks used another phone, purchased in November 2017 at a Missouri Walmart, for data transmission as he travelled from Missouri on January 4, 2018 to Vermont on January 6, 2018 to kidnap Davis (the Data Phone). Law enforcement determined that this Data Phone was the only device that connected to cell towers both in Pennsylvania when the 911 Phone was purchased and near Danville when Davis was kidnapped. The FBI obtained surveillance images from the Pennsylvania Walmart showing the face of the 911 Phone purchaser and the white Ford Explorer he was driving.
According to the complaint, law enforcement connected these two phones to Banks in multiple ways. For example, Banks was in possession of a white Ford Explorer around the time of the kidnapping. Law enforcement obtained data associated with another phone in Banks’ name that showed that he purchased and used the Data Phone described above. Further, records obtained by law enforcement reflect that Banks purchased various items used in the kidnapping, including a Marshals badge and Marshals patches, only days before the trip to Vermont to kidnap Davis.
The complaint charges Banks with kidnapping, which carries a maximum penalty of life imprisonment. Any actual sentence will be determined with reference to the Federal Sentencing Guidelines. The criminal complaint lodged against Banks contains accusations only, and the defendant is presumed innocent until and unless proven guilty.
The prosecutors are Assistant United States Attorneys Paul Van de Graaf and Jonathan Ophardt. Counsel information for Banks is not yet available.
U.S. Attorney Nikolas P. Kerest commended the efforts of the Federal Bureau of Investigation and the Vermont State Police in their collaborative investigation of Banks. Mr. Kerest also thanked the United States Park Service Criminal Investigation Office for its assistance in Banks’ arrest.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. https://www.justice.gov/psn
Carjacker Who Shot Two People at South Florida Tow Yard Faces Life in Prison After Guilty VerdictRead the Press Release
Note: Still images of surveillance video showing defendant Thomas Daniels pointing firearm appear at end of this release.
Miami, Florida – A Homestead man who held two people at gun-point, shot them, and stole their car and jewelry has been found guilty by a South Florida federal jury of carjacking resulting in serious bodily injury, discharging a firearm in furtherance of a crime of violence, and possessing ammunition by a convicted felon. He faces life in prison.
Assistant United States Attorneys Elena Smukler and Dayron Silverio proved at trial that on February 14, 2020, Thomas Daniels showed up at a tow yard in Homestead, Florida, and attempted to break into a car parked just outside the yard. When he could not get in, Daniels approached the owners of the car who were inside the yard. Daniels pointed a gun at them, demanding that they hand over their jewelry and other items. One victim turned around and, with his back to Daniels, started to unclasp and remove his necklace. Daniels lost patience, shot the victim in the neck, and proceeded to yank the necklace from the victim’s collapsed body. As that was taking place, the second victim ran, trying get away. He was not successful. Daniels chased the second victim and shot him multiple times. Daniels robbed the second victim of his keys, which Daniels used to steal the car that he had earlier tried to enter. The two gunshot victims survived. A law enforcement investigation led to the arrest of Daniels.
Judge Robert N. Scola, Jr. will sentence Daniels at 8:30 a.m., on June 13, in federal district court in Miami.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and Christopher A. Robinson, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), Miami Field Office, announced the guilty verdict.
ATF Miami investigated the case, with assistance from the Homestead Police Department. Assistant U.S. Attorneys Elena Smukler and Dayron Silverio are prosecuting the case. Assistant U.S. Attorney Joshua Paster is handling asset forfeiture.
This case stems from Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. In 2017, PSN was reinvigorated 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.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 20-cr-20138.
Screenshots, Part of Government’s Trial Exhibit 2:
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California Man Pleads Guilty to Conspiracy to Commit Wire FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Shola Yusuf Adediji a/k/a Michael Kopeck, 38, of Los Angeles, CA, pleaded guilty to conspiracy to commit wire fraud before U.S. District Judge John L. Sinatra, Jr. The charge carries a maximum penalty of 20 years in prison, and a $250,000 fine.
Assistant U.S. Attorney Paul E. Bonanno, who is handling the case, stated that between May and August 2019, Adediji conspired with others to defraud two electronics businesses, one in Amherst, NY, and one in Fort Myers, Florida, to obtain high-end electronic merchandise. Adediji and others posed as customers and completed fraudulent purchase orders. Throughout the scheme, both businesses shipped merchandise to Adediji and others throughout the United States. Adediji used the fictitious name “Michael Kopeck” to rent a storage unit where the fraudulently obtained merchandise was stored.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia.Sentencing is scheduled for September 22, 2022, at 11:00 a.m. before Judge Sinatra.
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Butte man admits strangling woman on Northern Cheyenne Indian ReservationRead the Press Release
BILLINGS — A Butte man accused of strangling a woman on the Northern Cheyenne Indian Reservation admitted charges today, U.S. Attorney Leif M. Johnson said.
Isaiah Benjamin Antelope, 26, pleaded guilty to strangulation. Antelope faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release.
U.S. District Judge Susan P. Watters presided. Sentencing was set for Aug. 17. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other sentencing factors. Antelope was detained pending further proceedings.
In court documents, the government alleged that in July 2020 the victim went to Antelope’s house in the Lame Deer area, on the Northern Cheyenne Indian Reservation, for Antelope’s help in fixing a flat tire on a car. After trying to fix the tire, Antelope and the victim went inside the house. The victim was scared because the two had argued the day before. The two exchanged words and then Antelope strangled the victim with his hands. Antelope had strangled the victim on other occasions and made her pass out or feel like she was going to pass out.
The U.S. Attorney’s Office is prosecuting the case, which was investigated by the FBI.
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Business Owner Pleads Guilty to Failing to Pay $2 Million in Payroll, Employment TaxesRead the Press Release
KANSAS CITY, Mo. – A Lafayette County, Missouri, business owner has pleaded guilty in federal court to failing to pay over nearly $2 million in payroll and employment taxes over a four-year period.
Sandra Eller, 59, of Napoleon, Mo., waived her right to a grand jury and pleaded guilty before U.S. Chief District Judge Beth Phillips on Thursday, April 7, to a federal information that charges her with failure to truthfully account for and pay over to the Internal Revenue Service the federal income taxes and payroll taxes withheld and owing to the government.
Eller has owned and operated three different medical billing and claims processing companies that operated in Oak Grove, Mo., and Grain Valley, Mo. Medical Revenue Solutions, LLC, had about 20 employees and operated until 2017. Claims Professionally Reviewed, LLC, had about 50 employees and operated until 2016. These companies merged into Soerries Coding and Billing Institute, Inc., which operated from 2016 through 2019. Eller was the president and chief executive officer of Soerries Coding and Billing Institute.
By pleading guilty, Eller admitted that she willfully failed to deposit the Federal Insurance Contributions Act and Medicare (FICA) taxes and income taxes that were withheld from her employees’ wages. Eller also admitted that she did not pay the employer portion of FICA.
Eller withheld the FICA taxes and income taxes, totaling $939,294, on 18 occasions from the first quarter of 2016 through the fourth quarter of 2019. Eller withheld payroll taxes from her employees’ paychecks; however, instead of forwarding those taxes to the government, she kept them for her business.
In addition, Eller owed the employer’s portion of the FICA taxes, unpaid federal unemployment taxes, employment tax due for the third quarter of 2019, and state tax withholdings that were not paid over, all of which total $1,051,699.
In total, Eller’s criminal conduct resulted in a tax loss of $1,990,993.
Under federal statutes, Eller is subject to a sentence of up to five 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 Special Assistant U.S. Attorney Bradley Cooper. It was investigated by IRS-Criminal Investigation.
Bradley Lefebvre Sentenced on Federal Harassment ChargeRead the Press Release
The United States Attorney for the District of Vermont announced that Bradley Lefebvre, 39, a former resident of Springfield, Vermont who has since moved to New Hampshire, was sentenced today in United States District Court in Burlington to 14 months of imprisonment following his guilty plea to a federal harassment charge. U.S. District Judge Christina Reiss ordered that Lefebvre serve three years of supervised release after he completes his prison term. The court ordered that Lefebvre surrender to the Bureau of Prisons on April 27 to begin serving his sentence.
On December 2, 2020, a federal grand jury in Rutland returned a three-count indictment accusing Lefebvre of harassing three victims during the spring and summer of 2020. The indictment alleges that Lefebvre used facilities of interstate commerce to harass and intimidate the victims and their families via communications that would reasonably be expected to cause substantial emotional distress to those persons. Lefebvre pleaded guilty to one of the charges last summer.
This case was investigated by the Federal Bureau of Investigation.
Lefebvre is represented by Assistant Federal Defender Mary Nerino. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Boston Man Pleads Guilty to Trafficking CocaineRead the Press Release
BOSTON – A Boston man pleaded guilty yesterday in federal court in Boston to trafficking cocaine as part of a larger drug trafficking conspiracy.
Jean Aman, 36, pleaded guilty to conspiracy to distribute and to possess with intent to distribute 500 grams or more of cocaine. U.S. District Court Judge Denise J. Casper scheduled sentencing for Aug. 4, 2022.
Aman was charged along with 24 others as part of Operation Snowfall. According to the charging documents, beginning in November 2018, law enforcement investigated drug trafficking activities by Boston-based street gang members and associates in the Commonwealth Development in Brighton, formerly known as Fidelis Way, a multi-apartment public housing development. It is alleged that the defendants, through their drug trafficking activities, assumed control over multiple apartments, where they stored, cooked, packaged and sold drugs. As a result, their activities caused a blight of the development and reduced the quality of life of the other residents.
The investigation also targeted large-scale drug suppliers and their associates. It is alleged that the targets continued to distribute cocaine and cocaine base throughout the COVID-19 pandemic and shutdown.
Aman was identified as a drug runner and drug distributor for one of the main cocaine suppliers in the drug trafficking conspiracy. Intercepted communications and surveillance revealed Aman coordinated drug deals and participated in drug trafficking conduct, including meeting with a main cocaine supplier. A traffic stop following an observed cocaine deal recovered 62 grams of crack cocaine from Aman. During a subsequent search of Aman’s residence, magazine clips and ammunition, over 350 grams of cocaine, over 150 grams of cocaine base and over $195,000 in cash were recovered. In total, Aman was responsible for distributing approximately over one kilogram of cocaine base and nearly 400 grams of cocaine.
Aman is the first defendant to plead guilty in the case. The remaining defendants are pending trial.
The charge of conspiracy to distribute and possession with intent to distribute 500 grams or more of cocaine provides for a sentence of at least five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a fine of $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
First Assistant United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Douglas Bartlett, Acting U.S. Marshal for the District of Massachusetts; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistance with the investigation was provided by the Braintree, Cambridge, Canton, Randolph and Weymouth Police Departments; the Suffolk, Norfolk and Bristol County District Attorneys’ Offices; and the Suffolk, Plymouth and Norfolk County Sheriffs’ Office. Assistant U.S. Attorneys Kaitlin R. O’Donnell and Timothy E. Moran of the Organized Crime & Gang Unit are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Boston Man Indicted for Sex TraffickingRead the Press Release
BOSTON – A Boston man has been indicted on sex trafficking and cocaine charges stemming from his alleged maintenance of a drug and sex trafficking hub operating out of a tent at Massachusetts Avenue and Melnea Cass Boulevard (Mass and Cass).
Jonathan Vaughan, a/k/a “Ason,” 35, was indicted on three counts of sex trafficking by force, fraud and coercion, two counts of transportation of an individual for purposes of prostitution and one count of possession with intent to distribute cocaine. Vaughan will make an initial appearance in federal court in Boston on Monday, April 11, 2022.
According to the indictment unsealed today, from at least June 2019 through October 2021, Vaughan recruited and trafficked three female victims to engage in commercial sex acts by means of threats of force, fraud and coercion. It alleged that in or about October 2021, Vaughan transported two of the victims for purposes of prostitution to another state. At the time of his arrest on state charges, on Oct. 13, 2021, Vaughan allegedly possessed 15 bags of cocaine intended for distribution to drug users.
“Sex trafficking is a heinous crime that inflicts immeasurable pain and trauma on victims and communities,” said United States Attorney Rachael S. Rollins. “Vaughan allegedly preyed on and exploited multiple vulnerable victims, by coercion and by force, to engage in sex acts for his own financial benefit. He profited off of people’s pain. These alleged offenses are all too real – sex trafficking is happening all the time, even at this very moment, in our communities yet often goes unnoticed or ignored. No longer. My office will continue to work with community partners supporting victims and will use every means possible in our relentless pursuit to eradicate sex trafficking and the predators that perpetrate this violence and harm.”
“Vaughan is alleged to have used violence, threats, and drugs to coerce and control women, profiting financially by forcing them to perform sexual services for a fee and making it extremely difficult to escape,” said Matthew Millhollin, Special Agent in Charge for the Homeland Security Investigations’ Boston Field Office. “Homeland Security Investigations is grateful to our partners at Barnstable Police Department and Boston Police Department for their collaboration in this case. Partnerships like these are critical to our mission to both investigate alleged human traffickers and help victims feel stable, safe, and secure.”
“The Barnstable Police Department recognizes the enormous impact on the victims and the community in these types of cases. We also know that human trafficking affects all walks of life and has extended its toxic reach to the Cape Cod community. Knowing these cases are often difficult for a single agency to investigate alone, we have dedicated Detective Katie Parache as a full time task force officer with the Department of Homeland Security Human Trafficking Task Force. Detective Parache will continue to work with state and federal partners to identify, target, and eradicate individuals that pray upon the vulnerable members of Cape Cod. We are grateful for these strong partnerships that allowed us to fully investigate this case and bring justice and peace to the victims,” said Barnstable Police Department Chief Matthew Sonnabend.
“The Boston Police Department is committed to identifying and investigating sex trafficking in order to provide safety to victims and hold offenders accountable for horrific crimes such as these. This individual took advantage of, and terrorized the most vulnerable members of our community. I would like to thank the members of the Boston Police Department who worked on this investigation as well as our law enforcement partners for the tremendous collaboration and coordination that enabled this violent offender to be brought to justice. This indictment serves as a clear message that this egregious behavior will never be tolerated,” said Gregory Long, Superintendent-in-Chief of the Boston Police Department.
“Jonathan Vaughan is accused of sexually exploiting vulnerable women through force and coercion, and transporting them to other states,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Anyone who commits this heinous crime should know the FBI’s Child Exploitation – Human Trafficking Task Force will rigorously pursue them, while providing their victims with the resources they need to recover from the trauma they have suffered.”
“My office is working diligently to address the harm inflicted by violent human traffickers while ensuring that victims of sexual exploitation have the supports and services they need and deserve. These indictments represent what we can do on behalf of both survivors and our communities when we collaborate across agencies. I’m grateful to the members of my Human Trafficking and Exploitation Unit, the Boston Police Department, and our federal partners for their tireless work to hold a violent individual accountable and protect vulnerable members of our community from exploitation,” said Kevin R. Hayden, Suffolk County District Attorney.
According to court documents, dating back to at least 2019, Vaughan systematically preyed on women throughout Massachusetts, particularly in Boston and on Cape Cod. From at least late spring or early summer of 2021 until his arrest on state charges in mid-October 2021, Vaughan allegedly maintained a tent at Mass and Cass which he used as a hub for distributing drugs and recruiting and trafficking women.
Vaughan allegedly permitted his sex trafficking victims to stay in and bring “dates” back to his tent so long as he received the proceeds of the commercial sex acts that the women engaged in at his direction. It is alleged that he recruited victims in and around Mass and Cass and Downtown Crossing as well as on the internet, including over Facebook. According to court documents, Vaughan also brought his victims to hotels in locations such as Boston, Chelsea, Saugus, the Cape, as well as Queens and Manhattan, N.Y.
Vaughan is also alleged to have forced at least two of his victims to solicit themselves outdoors, by walking “the track” in areas such as Mass and Cass, Broadway in Chelsea and in and around Times Square in Manhattan, N.Y. Dating back to at least 2019, Vaughan allegedly engaged in both physical and sexual violence against his victims to manipulate them and to assert power and control over them. The investigation also revealed that Vaughan allegedly called himself “Ason the Pimp” and had a tattoo across his chest that states: “Pimp or Die.”
Members of the public who believe they may be a victim of this crime should contact [email protected].
If you or someone you know may be impacted or experiencing commercial sex trafficking, please visit https://polarisproject.org/ for information and resources.
The charges of sex trafficking by force, fraud and coercion provides for a mandatory minimum sentence of 15 years and up to life in prison, five years of supervised release and a fine of up to $250,000. The charges of transportation of an individual for purposes of prostitution provides for a sentence of up to 10 years in prison, up to three of supervised release and a fine of up to $250,000. The charge of possession with intent to distribute cocaine provides for a sentence of up to 20 years in prison, three years and up to a lifetime of supervised release and a fine of up to $1 million dollars. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
U.S. Attorney Rollins, HSI SAC Millhollin, FBI Boston SAC Bonavolonta, Barnstable Police Chief Sonnabend, Suffolk County DA Hayden and BPD Acting Commissioner Long made the announcement today. Assistant U.S. Attorney Lindsey E. Weinstein of Rollins’ Civil Rights Enforcement Team is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bentonville Man Sentenced to over 8 Years in Federal Prison for Firearms and Drug PossessionRead the Press Release
FAYETTEVILLE – A Bentonville man was sentenced on April 6, 2022, to 100 months in prison followed by five years of supervised release on 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, in March 2021, the Bentonville Narcotics Unit began investigating Rafael Melendrez, age 37, for drug trafficking. An anonymous tip indicated that Melendrez, was staying at a residence in Bentonville and selling drugs. The investigation revealed that Melendrez was a probation absconder with an active warrant out for his arrest.
On April 9th, 2021, while conducting surveillance, detectives observed Melendrez leave the residence in a vehicle. Melendrez was subsequently traffic stopped by a uniformed officer and arrested based on the outstanding warrant for absconding.
After the arrest, a search of Melendrez’ residence was conducted by detectives and Arkansas Community Corrections Officers. The search resulted in detectives locating multiple vacuum sealed packages, Ziplock baggies, and glass containers filled with marijuana (later totaling approximately 8.14 pounds), a money counting machine, two food processing machines used to vacuum seal the marijuana, two digital scales and 13 firearms. Detectives also located a safe that contained $48,150.00 in United States currency.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Bentonville Narcotics Unit and Homeland Security Investigations Fayetteville 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.
Beckley Man Sentenced for Fentanyl-Related Gun CrimeRead the Press Release
BECKLEY, W.Va. – A Beckley man was sentenced today to five years in prison, to be followed by five years of supervised release, for possession of a firearm in furtherance of a drug trafficking crime.
According to court documents and statements made in court, Curtis Douglas Harris, 35, sold a confidential informant approximately 2.5 grams of fentanyl and a Cobra .380-caliber pistol on March 4, 2021. Law enforcement officers utilized a confidential informant to conduct a second controlled purchase from Harris, during which Harris sold approximately 14 grams of fentanyl to the informant for $1,400. Both controlled buys occurred at Harris’ Beckley residence.
United States Attorney Will Thompson made the announcement and commended the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) for conducting the investigation.
United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Alex Hamner prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:21-cr-00148.
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Beaufort County Man Sentenced to 30 years for Production of Child PornographyRead the Press Release
CHARLESTON, SOUTH CAROLINA — David James Allison, 33, of Bluffton, was sentenced to 30 years in federal prison for production of child pornography.
Evidence presented to the Court showed that on January 4, 2020, the Beaufort County Sheriff’s Office responded to a call regarding the alleged sexual assault of a 22-month-old by David James Allison. Allison admitted to assaulting the victim approximately five times between September 2019 and December 2019, and live streaming these assaults over Skype.
Investigators determined that Skype communications were tied to an IP address in Littlehampton, West Sussex, United Kingdom. Subsequent investigation by the Sussex Police identified Andrew McPherson-Young, 52, of West Sussex, United Kingdom, as a subject in this matter. McPherson-Young admitted to Sussex Police that he directed Allison on how to sexually assault the victim while McPherson-Young watched the assaults over Skype. McPherson-Young is currently being prosecuted in the United Kingdom.
United States District Judge Bruce Howe Hendricks sentenced Allison to 360 months in federal prison, to be followed by a lifetime term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Federal Bureau of Investigation (FBI) and Beaufort County Sheriff’s Office. Assistant United States Attorney Dean H. Secor prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who sexually exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
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Barbour County man admits to firearms chargeRead the Press Release
ELKINS, WEST VIRGINIA – Noah Jacob Graham, of Philippi, West Virginia, has admitted to a firearms charge, United States Attorney William Ihlenfeld announced.
Graham, 20, pleaded guilty today to one count of “Unlawful Possession of a Firearm.” Graham, a person prohibited from having firearms, admitted to having a .44 magnum caliber revolver in June 2020 in Barbour County.
Graham faces up to 10 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. Attorney Brandon S. Flower is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Arkansas Man Sentenced for Being a Felon in Possession of AmmunitionRead the Press Release
Gulfport, Miss. – An Arkansas man was sentenced to 33 months in federal prison for being a convicted felon in possession of ammunition, announced U.S. Attorney Darren LaMarca, Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation in Mississippi, and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives in New Orleans.
According to court documents, on October 6, 2020, Victor Cody Rosillo, who had been traveling in Mississippi, committed a drive-by shooting from a nearby street onto Keesler Air Force Base near the Military Hospital Emergency Room. While no firearm was recovered, two shell casings and a fired bullet were recovered from the scene by Biloxi Police and Keesler Security Forces. The recovered projectile was analyzed by a forensic examiner and was determined to be a 9mm bullet consistent with the 9mm shell casings recovered. The forensic examiner also noted that the 9mm projectile would have been fired from a 9mm HiPoint firearm, which investigators learned was the same type of firearm possessed by Rosillo during the Keesler shooting incident.
Rosillo, who was serving a term of state felony probation in Arkansas at the time of the shooting in Mississippi, was indicted by a federal grand jury and pled guilty on December 28, 2021.
U.S. Attorney LaMarca praised the investigation and coordination of the FBI, the ATF, Keesler Security Forces and the Biloxi Police Department.
Assistant U.S. Attorney Stan Harris prosecuted the case as part of the federal, state, and local Project Safe Neighborhoods (PSN) Program. The centerpiece of the Department of Justice’s crime reduction efforts, PSN is an evidence-based program proven effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together and develop comprehensive solutions. As part of this strategy, PSN focuses enforcement efforts and partners with locally based prevention and reentry programs for lasting reductions in crime.
Alaska Man Sentenced to 32 Months in Prison for Threatening U.S. SenatorsRead the Press Release
FAIRBANKS – A Delta Junction, Alaska, man was sentenced today by U.S. District Judge Ralph R. Beistline to 32 months in prison and a $5,000 fine after pleading guilty to two counts of threatening to murder Alaska’s two U.S. Senators.
According to court documents, Jay Allen Johnson, 65, left 17 threatening voicemails for Alaska’s two U.S. Senators over a five-month period and said that the messages were intended to retaliate against them for performing their official duties. On September 2, 2021, Johnson left a voicemail at the Washington D.C. office of Senator Lisa Murkowski containing several threats, including a threat to “burn” the Senator’s properties. Johnson then asked if the Senator knew what a .50 caliber shell “does to a human head.” On September 29, Johnson left another voicemail threatening to hire an assassin to kill the U.S. Senator. Johnson also left threatening voicemail messages for Senator Dan Sullivan between April 2021 and September 2021, including one in which he threatened to get his “.50 caliber out,” hold a “GoFundMe page for the …shells,” and to come “with a vengeance mother*ucker.”
The investigation revealed that the calls originated in Delta Junction, Alaska from a cellular telephone number that the FBI and Capitol Police had traced back to Johnson. The FBI arrested Johnson on October 4, 2021, after observing him drive from Delta Junction to Fairbanks International Airport. During a subsequent search of Johnson’s residence, the FBI seized seven unsecured firearms, which were illegal for Johnson to possess due to his prior felony conviction.
Johnson pleaded guilty in January of this year to the charges. As part of the plea agreement, a three-year federal protective order will be in place prohibiting Johnson from contacting either U.S. Senator, their family or staff members following his release from prison. Johnson also agreed to forfeit the seven firearms seized from his residence.
“Nothing excuses this conduct, threatening our elected officials, an act that attacks our very system of governance,” said U.S. Attorney John E. Kuhn, Jr. of the District of Alaska. “The erosion of civility in our political discourse will never justify threats or acts of violence. Johnson’s actions must be punished, and the Department of Justice will always work to ensure our elected officials can serve without fear of harm.”
“Those performing their official duties should be able to do so without fear for their safety,” said Special Agent in Charge Antony Jung of the FBI Anchorage Field Office. “This case underscores the swift efforts by the FBI, the U.S. Attorney’s Office, and our law enforcement partners as we worked together to address these threats before any potential acts of violence occurred.”
The Federal Bureau of Investigation and the United States Capitol Police investigated the case.
Assistant U.S. Attorney Ryan Tansey prosecuted the case.
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3 area residents from Turkey charged with conspiring to illegally bring individuals into United StatesRead the Press Release
CINCINNATI – A federal grand jury has charged three individuals from Turkey who live in the Cincinnati region with conspiring to bring illegal Turkish immigrants into the United States via Mexico.
Comert Kurdistan (also known as Comert Ardic), 43, of Newtown, Ohio; Emma Brown (also known as Emma Nur), 35, of Cincinnati; and Ismail Altundag, 26, of Cincinnati have each been charged with federal immigration crimes.
According to the six-count indictment, the three defendants conspired in October and November 2021 to bring at least three undocumented immigrants into the United States.
Conspiring to bring in illegal immigrants is a federal crime punishable by up to 10 years in prison and aiding or abetting in such conduct carries a potential maximum punishment of five years in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; James C. Harris III, Acting Special Agent in Charge, U.S. Homeland Security Investigations (HSI); Newtown Police Chief Thomas Synan Jr. and Miami Township Police Chief Mike Mills announced the charges. Assistant United States Attorney Timothy S. Mangan is representing the United States in this case.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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3 Universal Aryan Brotherhood Gang Members Sentenced for their Roles in a Racketeering EnterpriseRead the Press Release
Three Universal Aryan Brotherhood gang members were sentenced this week in federal court for conspiring to participate in a racketeering enterprise that committed acts of murder, kidnapping, the trafficking of methamphetamine and firearms, money laundering, assault, and robbery throughout the State of Oklahoma, announced U.S. Attorney Clint Johnson.
Christopher K. Baldwin, 42, and Robert W. Zeidler, 48, were each sentenced to 264 months in prison followed by five years of supervised release. Charles M. McCully, 44, was sentenced to 151 months in prison followed by five years of supervised release.
In December 2021, Baldwin and Zeidler pleaded guilty to conspiracy to participate in a racketeering enterprise and to drug conspiracy. In November 2021, McCully pleaded guilty to conspiracy to participate in a racketeering enterprise and to kidnapping. The defendants refused to cooperate with the government.
“The Universal Aryan Brotherhood committed egregious acts of violence and distributed an estimated 2,500 kilograms of methamphetamine annually throughout Oklahoma,” said U.S. Attorney Clint Johnson. “Led by agents from IRS-Criminal Investigation and Homeland Security Investigations, nine law enforcement agencies joined together to bring these three defendants and 15 other UAB members and associates to justice. I commend our partners for their outstanding work.”
“The significant sentences of these criminals send a strong message that those involved in criminal enterprises committing heinous acts of violence and drug trafficking will face swift justice,” said Christopher Miller, acting Special Agent in Charge HSI Dallas. “Working in conjunction with our law enforcement partners, our agency is relentless in the pursuit of dismantling transnational criminal organizations wherever they operate.”
Baldwin and Zeidler were key players involved in UAB operations while imprisoned in the Oklahoma State Penitentiary at McAlester.
Baldwin admitted to being part of the gang from at least 1999 to 2017 and that during part of that time, he sat on the “Main Council,” the UAB’s highest governing body. Baldwin said he was involved directly or indirectly as a coconspirator in crimes of drug dealing, witness intimidation, money laundering and other crimes of violence.
Zeidler helped lead the gang’s methamphetamine operation. Zeidler admitted to joining the gang and to committing or causing to be committed crimes related to the racketeering enterprise and drug conspiracy.
Baldwin and Zeidler also admitted to knowingly and willfully agreeing with others to possess with intent to distribute in excess of 500 grams of methamphetamine. As part of the UAB’s operations, members and associates participated in a significant and widespread methamphetamine distribution scheme directed by incarcerated UAB leaders.
McCully stated in his plea agreement that he had been a member of the UAB since 2005 and admitted that members commit various crimes such as murder, kidnapping, witness intimidation, home invasions, and drug dealing for the gang. McCully stated that on Oct. 26, 2014, he and others kidnapped two individuals and held them against their will because they believed the individuals had provided law enforcement with information about a UAB stash house. While they held the victims, McCully and the others threatened them and used tarps, shovels, blow torches and other items in an attempt to scare and intimidate the victims.
The three men were charged in an indictment along with 15 others in December 2018.
Codefendant Eddie Funkhouser, 51, will be sentenced April 12. Funkhouser previously pleaded guilty to conspiracy to participate in a racketeering enterprise and to kidnapping but refused to cooperate with the United States. The plea agreement, if accepted by U.S. District Judge Claire V. Eagan, stipulates that Funkhouser will serve 15 years in prison.
The UAB is a white supremacist prison-based gang with members operating inside and outside of state prisons throughout Oklahoma.
The UAB was established in 1993 within the Oklahoma Department of Corrections and modeled itself after the principles and ideology of the Aryan Brotherhood, a California-based prison gang that formed in the 1960s.
U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, IRS-Criminal Investigation, Tulsa County Sheriff’s Office, Oklahoma Department of Corrections, Tulsa and Enid Police Departments, Oklahoma Bureau of Narcotics and Dangerous Drugs, U.S. Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation. Assistant U.S. Attorney Dennis A. Fries is prosecuting this case.
16 indicted on conspiracy charges for “boot” distribution operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Sixteen individuals from Maryland and West Virginia are facing charges involving a drug conspiracy, United States Attorney William Ihlenfeld announced.
The indictment alleges that large quantities of Eutylone, also known as “boot,” were trafficked from Maryland to Berkeley and Jefferson Counties, West Virginia from February 2019 to March 15, 2022.
“Eutylone is a dangerous drug that has a high potential for abuse and leads to adverse physical and psychological effects for its users,” said U.S. Attorney Ihlenfeld. “It poses a serious threat to public health in the Eastern Panhandle and this prosecution will make the community safer, both through enforcement and education.”
Those charged are:
- Charles Edward Scott, also known as “Whop Whop,” 28, of Damascus, Maryland
- Ryan Darnell Scott, 37, of Gaithersburg, Maryland
- Anthony Joseph Shants, Jr., also known as “Lul Draco,” 23, of Martinsburg, West Virginia
- Jose Michael Flores, also known as “Taz,” 26, of Montgomery Village, Maryland
- Andre Phillip Stevenson, 40, of Washington, D.C.
- Alim D. Farma, 23, of Gaithersburg, Maryland
- Robert Matthew Johnson, also known as “Flex,” 33, of Martinsburg, West Virginia
- Sophia Ellen Hizer, 20, of Harpers Ferry, West Virginia
- Bernard Anthony Brickhouse, also known as “Mitch Sosa,” 26, of Martinsburg, West Virginia
- Kofi Orleans-Lindsay, 22, of Gaithersburg, Maryland
- Shayla Louise Wetzel, 25, of Martinsburg, West Virginia
- Destiny Hope Turner, 25, of Martinsburg, West Virginia
- Kyle Thayer, 35, of Gaithersburg, Maryland
- Kyle Allen Finch, 23, of Hedgesville, West Virginia
- Corbin Charles Linthicum, 22, of Kearneysville, West Virginia
- Mikayla Doreen Thornton, 23, of Martinsburg, West Virginia
Further, the indictment alleges that a co-conspirator, Shants, possessed firearms in furtherance of drug trafficking activities.
All defendants have been arrested with the exception of Sophia Hizer and Shayla Wetzel, who are considered fugitives.
The defendants each face a maximum sentence of 20 years in prison for the drug conspiracy charge. Shants faces a minimum mandatory sentence of five years for possession of a firearm in furtherance of a drug trafficking crime. 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. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The FBI; ATF; the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the Martinsburg Police Department; the Montgomery County, Maryland Police Department; the Virginia State Police, Montgomery County; and Maryland State Attorney’s Office investigated.
Eutylone, a synthetic cathinone with a chemical structural similar to Schedule I and II amphetamines and cathinones, such as MDMA/ecstasy, is an illegal, Schedule I controlled substance. Eutylone became a scheduled drug in 2018, and the eastern panhandle of West Virginia has seen an increase in the drug’s popularity in the last several years. This indictment is the largest conspiracy charged thus far for eutylone distribution in the Northern District of West Virginia.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
7 April 2022
‘Modern-day Bonnie and Clyde’ face fraud charges related to mailbox theftsRead the Press Release
STATESBORO, GA: A man who referred to himself and his girlfriend as a “modern-day Bonnie and Clyde” has been indicted on multiple federal charges for the unlawful use of information gleaned in thefts from mailboxes, while his girlfriend awaits sentencing after admitting to a related charge.
Michael H. Boatright, 33, of Chesterfield, S.C., is charged with Conspiracy to Commit Mail, Wire, and Bank Fraud; three counts of Theft of Mail; and one count of Aggravated Identity Theft, said David H. Estes, U.S. Attorney for the Southern District of Georgia. Stephanie Michelle Lea Napier, 29, also of Chesterfield, awaits sentencing after pleading guilty in March to an Information charging her with Conspiracy to Commit Wire Fraud.
“These charges demonstrate the dedication of our law enforcement partners in identifying and tracking down activities that started with swiping mail from mailboxes and led all the way to identity theft and financial fraud,” said U.S. Attorney Estes. “Those determined to be responsible for such illegal activities will be held accountable.”
As described in the indictment returned during the April 2022 term of the U.S. District Court Grand Jury, Boatwright and Napier called themselves the “Modern Day Bonnie and Clyde” in a period from about November 2020 to June 2021, as they were alleged to have driven around Georgia, South Carolina, and Florida to steal mail from mailboxes, capturing personal identifying information from the stolen mail, and then using that information to take over victims’ bank accounts.
The indictment alleges the two stole, or attempted to steal, “hundreds of thousands of dollars from their many victims, and caused substantial non-monetary harm and headaches for countless victims.” At least four victims referenced in the indictment are residents of the Statesboro, Ga., area, and agents from the U.S. Postal Inspection Service and the U.S. Secret Service have identified more than 100 potential victims in the three-state area, with actual and attempted financial losses of more than $500,000.
U.S. Attorney Estes applauded the work of the Jacksonville Sheriff’s Office, the Bulloch County Sheriff’s Office, and the Statesboro Police Department, which contributed to the federal investigation.
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
The case is being investigated by the Jacksonville, Fla. and Savannah, Ga. offices of the U.S. Postal Inspection Service and the U.S. Secret Service, and prosecuted for the United States by Assistant U.S. Attorney Jonathan A. Porter.
York Man Sentenced to 25 Years’ Imprisonment for Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jesean DeShields, age 31, of York, Pennsylvania, was sentenced on April 6, 2022, to 25 years’ imprisonment by United States District Court Judge Christopher C. Conner for drug trafficking and firearms offenses.
According to United States Attorney John C. Gurganus, law enforcement first began investigating DeShields in September 2018. On September 27, 2018, they executed a search warrant at his East College Avenue apartment in York. They did not find him, but they found cocaine trafficking evidence and two firearms.
Less than six weeks later, police executed a second search warrant at a home on East Boundary Avenue in York. During the November 1, 2018 search, police recovered quantities of cocaine, crack cocaine, and oxycodone and another firearm. Deshields was arrested at the scene of this second search warrant. At the time of these events, Deshields had multiple prior convictions which prohibited him from possessing a firearm and qualified him as an Armed Career Criminal.
In October 2021, a jury convicted DeShields of possession with intent to distribute cocaine, cocaine base, and oxycodone, possession of firearms in furtherance of drug trafficking, and possession of a firearm as a felon. Judge Conner sentenced DeShields to the mandatory sentence of 25 years in prison.
The case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, the York City Police, and the York County Drug Task Force. Assistant U.S. Attorney Michael Consiglio prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Worcester Man Pleads Guilty to Opening Bank Accounts and Attempting to Purchase $83,000 Sports Car Using Stolen IdentitiesRead the Press Release
BOSTON – A Worcester man pleaded guilty today to using two victims’ identities to open bank accounts and attempting to purchase an $83,000 Chevrolet Camaro.
Brandon Brouillard, 28, pleaded guilty to two counts of bank fraud and one count of aggravated identity theft. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Sept. 13, 2022. Brouillard was indicted in June 2021.
In February 2021, Brouillard used the identity of a New Hampshire resident to open a bank account at Avidia Bank. Brouillard wired $108,000 to the Avidia Bank account from another individual’s Bank of America account. Brouillard also fraudulently obtained a New Hampshire driver’s license in the name of a New Hampshire resident, which he used to attempt to obtain a car loan from Capital One which was ultimately denied.
On April 17, 2021, Brouillard test drove a 2021 Chevrolet Camaro at a dealership in Norwood. After test-driving the Camaro, Brouillard agreed to purchase the sports car for $83,000 and paid for the vehicle with a cashier’s check made out to the dealership. Brouillard provided his Massachusetts driver’s license, proof of insurance, signed sales contract, Massachusetts application for registration and car title in connection with the purchase.
On April 19, 2021, Brouillard picked up the Camaro from the dealership. A few days later, the dealership learned that the account listed on the bank check provided by Brouillard was frozen. The dealership contacted Brouillard, who promised that he would wire $83,000 to pay for the car.
On April 26, 2021, an Arizona resident contacted local police and reported an attempted fraudulent wire transfer of $83,000 from the victim’s bank account. The victim reported that a fraudulent email purportedly from the victim was sent to the bank, requesting a wire transfer of $83,000 to pay for the victim’s “brother-in-law’s car.” The bank contacted the victim for verification, and the victim did not approve the transfer. Starting in or about September 2020, the victim’s accounts were compromised, and large fraudulent purchases were made and shipped to Brouillard’s address. It is estimated that approximately $500,000 of the victim’s funds were stolen.
The charge of bank fraud provides for a sentence of up to 30 years in prison, up to three years of supervised release and a fine of $1 million. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutively to any other sentence imposed, up to one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Valuable assistance was provided by the Boston, Braintree, Natick, Newton, Norwood, Worcester and Scottsdale (Ariz.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of Rollins’ Criminal Division is prosecuting the case.
Woonsocket Businessman Admits Defrauding the IRS of over Two Million DollarsRead the Press Release
PROVIDENCE, R.I. – A Woonsocket businessman today admitted in federal court that he participated in scheme to defraud the Internal Revenue Service of more than two million dollars in taxes, announced United States Attorney Zachary A. Cunha.
In pleading guilty to conspiracy to defraud the United States and wire fraud, Jesus Jose Mendez, 44, co-owner J&J Drywall, Inc., a subcontracting business incorporated in Massachusetts and operating in Rhode Island, admitted that he, and the co-owner of the business, paid most employees in cash, failing to properly account for, withhold, and pay federal and state employment taxes; the two similarly failed to make required unemployment insurance contributions.
According to charging documents, from 2013 to 2017, Mendez and his business partner, Jamie Zambrano, 36, of Woonsocket, allegedly used check-cashing businesses to cash more than 600 business receipt checks totaling more than $16 million dollars. While under law enforcement surveillance, Mendez and his business partner allegedly cashed checks at a Rhode Island check-casher, then travelled to construction sites carrying backpacks full of cash, which they left at the construction sites to be used to pay their employees.
During the same period, Mendez and Zambrano made just over $4 million in deposits in the business’s bank accounts, frequently structured in amounts of less than $10,000. Most of the remaining millions were allegedly used to fund a cash payroll for under-the-table laborers. With the exception of a small number of employees placed on an official payroll and paid by check, income and employment taxes were not withheld or paid to the IRS, and unemployment contributions were not made.
The IRS calculated the total federal tax loss at $2,821,463; the Massachusetts Department of Labor calculated a loss of unemployment contributions to the Commonwealth of Massachusetts at $62,730.
Mendez is scheduled to be sentenced by U.S. District Court Chief Judge John J. McConnell, Jr., on July 14, 2022. The defendant’s sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
Zambrano is currently a fugitive facing an indictment charging him with conspiracy to defraud the United States (IRS); 17 counts of failure to collect and pay over taxes; tax evasion; and eight counts of structuring financial transactions to evade reporting requirements. A federal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.
The matter was investigated by Internal Revenue Service Criminal Investigation and U.S. Department of Labor Office of Inspector General, with substantial assistance from the U.S. Department of Labor – Office of Labor-Management Standards in Boston and the Rhode Island State Police.
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Woman Sentenced to over Five Years for COVID-19 Relief Fraud SchemeRead the Press Release
A Texas woman was sentenced today to 70 months in prison for her scheme to defraud the Paycheck Protection Program (PPP) of over $1.9 million in loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents and evidence presented at trial, Lola Shalewa Barbara Kasali, 24, of Houston, submitted two fraudulent loan applications to two different lenders on behalf of her companies, Lola’s Level and Charm Hair Extensions. Through these loan applications, Kasali sought over $3.8 million in PPP loan funds. Kasali falsely represented the number of employees and payroll expenses in each of the PPP loan applications. To support these applications, Kasali also submitted fraudulent tax records. Kasali ultimately received over $1.9 million in PPP loan funds. The Justice Department, along with its law enforcement partners, seized the funds that Kasali fraudulently obtained.
A federal jury in Houston found Kasali guilty of two counts of bank fraud and two counts of making false statements to a financial institution on Dec. 8, 2021.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Jennifer Lowery for the Southern District of Texas; Special Agent in Charge Catherine Huber of the Federal Housing Finance Agency Office of Inspector General (FHFA-OIG) – Central Region; Special Agent in Charge Sharon Johnson of the SBA Office of Inspector General (SBA-OIG) – Central Region; and Acting Inspector in Charge Dana Carter of the U.S. Postal Inspection Service – Houston Division made the announcement.
FHFA-OIG, SBA-OIG, and the U.S. Postal Inspection Service investigated the case.
Assistant Chief Jonathan Robell of the Criminal Division’s Fraud Section and Trial Attorney Matthew Grisier of the Criminal Division’s Money Laundering and Asset Forfeiture Section are prosecuting the case, with assistance from Assistant U.S. Attorney Jim McAlister for the Southern District of Texas.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 150 defendants in more than 95 criminal cases and has seized over $75 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Wheeling man admits to child pornography chargeRead the Press Release
WHEELING, WEST VIRGINIA – Robert Eugene Wilson, of Wheeling, West Virginia, has admitted to a child pornography charge, United States Attorney William Ihlenfeld announced.
Wilson, 51, pleaded guilty today to one count of “Solicitation of Child Pornography.” Wilson admitted to asking a minor for sexually explicit material which contained a visual depiction of the minor engaging in sexually explicit conduct. The crime took place in Ohio County and elsewhere in October 2019.
Wilson faces at least five years and up to 20 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. Attorney David J. Perri is prosecuting the case on behalf of the government. The FBI and the West Virginia State Police investigated.
U.S. Magistrate Judge James P. Mazzone presided.
United States Files Complaint Against Lehighton Doctor for Violating the False Claims ActRead the Press Release
HARRISBURG, PA —The United States Attorney’s Office for the Middle District of Pennsylvania announced that the United States has filed a civil lawsuit against Dr. Peter J. Baddick, III, a family medicine practitioner, alleging that he issued medically unnecessary prescriptions for Subsys, a fentanyl-based spray manufactured by Insys Therapeutics, Inc., and used to treat breakthrough cancer pain. Dr. Baddick saw patients at his practice, Penn Medical Group, P.C., which operated in Lehighton, Pennsylvania. Penn Medical Group ceased operations in September of 2019.
According to U.S. Attorney John C. Gurganus, the Complaint alleges that Dr. Baddick violated the False Claims Act by prescribing Subsys to patients for whom the fentanyl-based drug was either not medically necessary or otherwise inappropriate. These prescriptions were submitted to and paid through the Medicare and TRICARE federal healthcare programs. The United States specifically alleges that from April of 2015 through December of 2015, Dr. Baddick prescribed Subsys to two patients, neither of whom had cancer and continued to write Subsys prescriptions for both patients after they raised concerns about the drug’s effects. The federal healthcare programs paid $308,701.94 for eighteen Subsys prescriptions to these two patients.
The United States previously prosecuted Insys under a criminal information filed in the District of Massachusetts, and Insys agreed to a global resolution of the government’s separate civil and criminal investigations. As part of the civil resolution, Insys agreed to pay $195 million to settle allegations it violated the False Claims Act, and as part of the criminal resolution, it entered into a deferred prosecution agreement with the government, its operating subsidiary pleaded guilty to five counts of mail fraud, and the company was subject to a $2 million fine and $28 million in forfeiture.
“The Department of Justice has a duty to protect the health and welfare of our citizens and to ensure that the taxpayer dollars that fund the federal healthcare programs are only expended for necessary medical services,” said U.S. Attorney John Gurganus. “Subsys is a potent and addictive opioid that was approved to treat cancer patients suffering from breakthrough pain. It is also a very expensive drug. Doctors who write medically unnecessary prescriptions for Subsys irresponsibly risk their patients’ wellbeing at taxpayer expense. It is imperative that we hold these healthcare providers accountable for their actions.”
“Protecting TRICARE, the health care program for active-duty military personnel, retirees, and dependents, is a top priority for the Department of Defense Office of Inspector General's Defense Criminal Investigative Service (DCIS),” stated Special Agent in Charge Patrick J. Hegarty, DCIS Northeast Field Office. “When providers write medically unnecessary prescriptions for controlled substances and cause the submission of fraudulent claims to TRICARE, they put TRICARE beneficiaries at risk and undermine the integrity of the program. The civil fraud action announced today demonstrates the DCIS' ongoing commitment to work with the U.S. Attorney's Office, Middle District of Pennsylvania, to investigate health care providers who cause false claims to be submitted to TRICARE.”
The claims asserted against Dr. Baddick are allegations only and there has been no determination of liability. The case is docketed as United States v. Dr. Peter J. Baddick, III, Civ. No. 3: 22-512 (M.D. Pa.)
This case was investigated by the Department of Defense Office of Inspector General—Defense Criminal Investigative Service and the U.S. Attorney’s ACE Unit. The U.S. Department of Health and Human Services Office of Counsel to the Inspector General assisted with the investigation. It is being handled by Assistant United States Attorney Brian Simpson.
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USP Lee Inmate Sentenced to 188 Months for Attempted Murder of Fellow InmateRead the Press Release
ABINGDON, Va. – Moris Alexis Flores, 33, an inmate at United States Penitentiary Lee County (USP Lee), was sentenced yesterday to over 15 years in prison for conspiring to murder a fellow inmate, attempting to commit murder, and being an inmate in possession of a prohibited object in relation to an assault that occurred at USP Lee in January 2020.
According to court documents, Flores, a member of the MS-13 gang, and four fellow inmates - Carlos Alfredo Almonte, Julio Angle Chavez, German Arquimides Hernandez, and Angel Moreno Guevara – were charged with conspiring to murder another inmate, “AZ”, a member of the Mexican Mafia gang. Armed with metal shanks, Flores and Guevara entered AZ’s cell and stabbed AZ multiple times. While Flores and Guevara were assaulting AZ, Almonte, Chavez, and Hernandez blocked the prison cell doorway in an effort to prevent other inmates and prison staff from interfering with the attack. As a consequence of the attack, AZ sustained multiple stab wounds but ultimately survived.
Almonte, Chavez, Hernandez, and Guevara have each pled guilty for their roles in the assault and will be sentenced in June 2022.
The Federal Bureau of Investigation and the Bureau of Prisons investigated the case.
Assistant U.S. Attorneys Lena L. Busscher, Daniel J. Murphy, Whit D. Pierce, and Anthony P. Giorno are prosecuting the case.
U.S. Attorney Announces Arrests of A Yakuza Leader and Affiliates for International Trafficking of Narcotics and Weapons, Including Surface-To-Air MissilesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Anne Milgram, the Administrator of the U.S. Drug Enforcement Administration (“DEA”), announced today the arrests of TAKESHI EBISAWA, SOMPHOP SINGHASIRI, SUKSAN JULLANAN, a/k/a “Bobby,” and SOMPAK RUKRASARANEE, for international narcotics and weapons trafficking offenses. EBISAWA, a Japanese national, JULLANAN, a United States and Thai national, and RUKRASARANEE, a Thai national, were arrested in Manhattan on April 4, 2022. SINGHASIRI, a Thai national, was arrested in Manhattan on April 5, 2022. EBISAWA, JULLANAN, and RUKRASARANEE were presented before Magistrate Judge Jennifer Willis on April 5, 2022, and were ordered detained, and SINGHASIRI was presented before Judge Willis on April 6, 2022, and was ordered detained.
U.S. Attorney Damian Williams said: “We allege Mr. Ebisawa and his co-conspirators brokered deals with an undercover DEA agent to buy heavy-duty weaponry and sell large quantities of illegal drugs. The drugs were destined for New York streets, and the weapons shipments were meant for factions in unstable nations. Members of this international crime syndicate can no longer put lives in danger and will face justice for their illicit actions.”
DEA Administrator Anne Milgram said: “The expansive reach of transnational criminal networks, like the Yakuza, presents a serious threat to the safety and health of all communities. Ebisawa and his associates intended to distribute hundreds of kilograms of methamphetamine and heroin to the United States, using deadly weapons to enable their criminal activities, at a time when nearly 300 Americans lose their lives to drug overdose every day. These arrests represent the unwavering determination of the DEA, together with our U.S. and international partners, to target and bring to justice violent criminals who lead transnational drug trafficking organizations that continue to flood our country with dangerous drugs.”
According to the allegations contained in the Complaint charging the defendants, which was unsealed today in Manhattan federal court:[1]
Since at least in or about 2019, the DEA has been investigating EBISAWA, a leader within the Japanese transnational organized crime syndicate also known as Yakuza, in connection with large-scale narcotics and weapons trafficking. The Yakuza is a network of highly organized, transnational crime families with affiliates in Asia, Europe, and the Americas, and is involved in various criminal activities, including weapons trafficking, drug trafficking, human trafficking, fraud, and money laundering. Over the course of the investigation, EBISAWA introduced an undercover DEA agent (“UC-1”), posing as a narcotics and weapons trafficker, to associates in EBISAWA’s international criminal network, which spans Japan, Thailand, Burma, Sri Lanka, and the United States, among other places, for the purpose of arranging large-scale narcotics and weapons transactions. EBISAWA and his associates—including SINGHASIRI, JULLANAN, and RUKRASARANEE—have negotiated multiple narcotics and weapons transactions with UC-1.
EBISAWA, JULLANAN, and RUKRASARANEE conspired to broker the purchase from UC-1 of United States-made surface-to-air missiles (“SAMs”), as well as other heavy-duty weaponry, for multiple ethnic armed groups in Burma, and to accept large quantities of heroin and methamphetamine for distribution as partial payment for the weapons. EBISAWA, JULLANAN, and RUKRASARANEE understood the weapons to have been manufactured in the United States and taken from United States military bases in Afghanistan and planned for the narcotics to be distributed in the New York market.
In addition, EBISAWA and SINGHASIRI conspired to sell 500 kilograms of methamphetamine and 500 kilograms of heroin to UC-1 for distribution in New York. In furtherance of that transaction, on or about June 16, 2021, and on or about September 27, 2021, SINGHASIRI provided samples of approximately one kilogram of methamphetamine and approximately 1.4 kilograms of heroin. SINGHASIRI conspired to possess and use firearms, including machine guns, to protect narcotics shipments. EBISAWA also worked to launder $100,000 in purported narcotics proceeds from the United States to Japan.
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A table containing the charges and maximum penalties for EBISAWA, 57, of Japan; SINGHASIRI, 58, of Thailand; JULLANAN, 53, of the United States and Thailand; and RUKRASARANEE, 55, of Thailand, is set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
COUNT
DEFENDANT(S)
MAX. TERM OF IMPRISONMENT
Count One: narcotics importation conspiracy (21 U.S.C. § 963)
EBISAWA and SINGHASIRI
Life imprisonment; Mandatory minimum sentence of ten years’ imprisonment
Count Two: conspiracy to possess firearms, including machine guns and destructive devices (18 U.S.C. § 924(o))
SINGHASIRI
Life imprisonment
Count Three: conspiracy to acquire, transfer, and possess SAMs (18 U.S.C. § 2332g)
EBISAWA, JULLANAN, and RUKRASARANEE
Life imprisonment; Mandatory minimum sentence of 25 years’ imprisonment
Count Four: narcotics importation conspiracy (21 U.S.C. § 963)
EBISAWA, JULLANAN, and RUKRASARANEE
Life imprisonment; Mandatory minimum sentence of ten years’ imprisonment
Count Five: conspiracy to possess firearms, including machine guns and destructive devices (18 U.S.C. § 924(o))
EBISAWA, JULLANAN, and RUKRASARANEE
Life imprisonment
Count Six: money laundering (18 U.S.C. § 1956)
EBISAWA
20 years’ imprisonment
Mr. Williams praised the outstanding efforts of the DEA’s Special Operations Division Bilateral Investigations Unit. Mr. Williams also thanked the DEA Tokyo Country Office, DEA Bangkok Country Office, DEA Chiang Mai Resident Office, DEA Jakarta Country Office, DEA Copenhagen Country Office, DEA New York Field Office, DEA New Delhi Country Office, the Counterterrorism Section of the Department of Justice’s National Security Division, the Office of International Affairs of the Department of Justice’s Criminal Division, the Japanese Narcotics Control Department, the Royal Thai Police Narcotics Suppression Bureau, Japan Police, and the Indonesian National Police Satuan Tugas Khusus Merah Putih/Merah Putih Special Task Force for their assistance.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case is being handled by the Office’s National Security and International Narcotics Unit. Assistant United States Attorneys Kaylan E. Lasky and Alexander Li are in charge of the prosecution, with assistance from Trial Attorney Lauren B. Goddard of the Counterterrorism Section.
The charges contained in the Complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations and every fact described should be treated as an allegation.
Two Men Sentenced Regarding Unlawful Transportation of Illegal AliensRead the Press Release
Gulfport, Miss. – Two Mexican nationals were sentenced for unlawful transportation of an alien within the United States (aiding and abetting), announced U.S. Attorney Darren J. LaMarca, Chief Patrol Agent Jason E. Schneider of the U.S. Border Patrol’s New Orleans Sector, and Special Agent in Charge David L. Denton of Homeland Security Investigations in New Orleans.
Ricardo Ortega-Garcia, 43, of Mexico, was sentenced to 17 months in federal prison followed by three years of supervised release. Rigoberto Montoya-Landaverde, 27, also of Mexico, was sentenced to “time served” (effectively 8 months and 23 days) followed by 3 years of supervised release. Both men pleaded guilty on December 17, 2021. Upon completion of their prison sentences, both men are subject to Homeland Security proceedings to remove them from the United States. If either man were to return unlawfully to the U.S., within his period of supervised release, he would be subject to additional prosecution and penalties both for violating supervised release as well as for unlawful return-after-removal.
According to court documents, the two men were arrested on July 15, 2021, on Interstate 10 (eastbound) in Harrison County. Following a U.S. Border Patrol investigation, a Border Patrol Agent conducted a vehicle stop and identified the driver as Rigoberto Montoya-Landaverd. He did not have a valid driver’s license, but was a Legal Permanent Resident of the U.S. who had been living in Texas. Ortega-Garcia, the registered owner of the vehicle, was the front-seat passenger and was determined to be illegally present in the U.S. In addition to Ortega-Garcia and Montoya-Landaverde, there were four other adult passengers in the vehicle, all of whom were illegally present in the U.S.
The case was investigated by the U.S. Border Patrol and Homeland Security Investigations.
Assistant U.S. Attorney Stan Harris was the prosecutor for the case.
Two Men Indicted in Rockford on Charges of Conspiracy to Possess Methamphetamine with Intent to DistributeRead the Press Release
ROCKFORD — A federal grand jury in Rockford has returned an indictment charging two defendants - TONY CLAPP, 58, and GREGORY BOLLMAN, 48 - with conspiracy to possess 50 grams or more of methamphetamine with the intent to distribute.
Clapp was also charged with attempted possession of 50 grams or more of methamphetamine with the intent to distribute. He is currently on supervised release stemming from federal distribution of cocaine charges.
The indictment was returned on Tuesday. Arraignments in U.S. District Court in Rockford have not yet been scheduled.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Robert J. Bell, Special Agent-in-Charge of the Chicago Field Division of the DEA. Substantial assistance was provided by the Illinois State Police, Illinois State Police Blackhawk Area Task Force, the Whiteside County Sheriff’s Office, and the Nebraska State Police. The government is represented by Assistant U.S. Attorney Robert Ladd.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Clapp faces a mandatory minimum sentence of 15 years in prison and a maximum of life, while Bollman faces a mandatory minimum sentence of 10 years and a maximum of life. If convicted, the Court must impose a reasonable sentence under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
Two Charleston Men Plead Guilty in Multi-State Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – Two Charleston men pleaded guilty today to drug offenses involving a multi-state methamphetamine distribution ring, with one of them also pleading guilty to a related gun crime arising from a foiled Fourth of July 2021 murder scheme.
According to court documents and statements made in court, Brian Dangelo Terry, 37, and Treydan Leon Burks, 31, admitted to obtaining large quantities of methamphetamine from out-of-state for distribution in and around Charleston. Terry admitted to distributing more than 16 pounds of methamphetamine between March 2019 and August 2021. Burks admitted to distributing between three and 11 pounds of methamphetamine between late 2020 and Sept. 28, 2021. Terry and Burks pooled their money in order to obtain the drugs, used couriers to transport drugs and drug proceeds, and distributed the drugs to lower-level dealers and users.
Terry pleaded guilty to one count of conspiracy to distribute 500 grams or more of methamphetamine, and to one count of being a felon in possession of a firearm. At a separate hearing, Burks pleaded guilty to conspiracy to distribute 500 grams or more of methamphetamine.
With regard to the firearm offense, Terry admitted that he, Burks, James Edward Bennett, III, and Douglas Johnathan Wesley armed themselves at Burks’ residence in Rand on July 4, 2021, and drove to Charleston’s West Side where they intended to shoot another man. Alerted to the plot, police in marked cruisers converged on the area. The four men abandoned their vehicle in a Washington Street parking lot due to the increased police presence. Federal agents executed a search warrant on the vehicle and recovered four loaded firearms, including an AR-style assault weapon with a drum magazine. Terry was aware that he was prohibited from possessing a firearm following felony convictions in 2005 and 2011, both in Kanawha County Circuit Court.
In his plea agreement, Burks also admitted his role in the July 4, 2021 incident. On March 2, 2022, Bennett pleaded guilty to being a felon in possession of a firearm based upon his involvement in the plot. Wesley is scheduled for trial on May 24, 2022.
“This case represents an outstanding example of inter-agency teamwork and diligence that has not only dismantled a significant drug operation, but also prevented a violent crime from occurring,” said United States Attorney Will Thompson. “A quick response and coordinated effort by law enforcement spared Charleston’s West Side from another tragic incident.”
This case is part of a long-term investigation of a methamphetamine distribution network that resulted in 17 individuals being charged with various drug and firearms offenses in three separate indictments returned in 2021.
In addition to Burks, Terry and Bennett, several other individuals have already pleaded guilty: Denise Marie Cottrill, Angie Lane Harbour, Michael Antonio Smith, Shane Kelly Fulkerson, and Jason Robert Oxley. Timothy Wayne Dodd was convicted at trial last month. The remaining defendants are scheduled for trial on May 24, 2022.
Terry and Burks are scheduled to be sentenced on June 30, 2022, and each faces at least 10 years and up to life in federal prison.
In announcing the guilty pleas, Thompson commended the collaborative work of the Federal Bureau of Investigation (FBI), the Charleston Police Department, the Kanawha and Putnam County Sheriff’s Departments, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Metropolitan Drug Enforcement Network Team (MDENT) in investigating this drug trafficking organization.
United States District Judge Joseph R. Goodwin presided over today’s hearings. Assistant United States Attorneys Josh Hanks and Alex Hamner are prosecuting the case.
This prosecution was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 2:21-cr-00172, 2:21-cr-00171, and 2:21-cr-00211.
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Three New York Men Charged with Conspiring to Kidnap New Jersey ManRead the Press Release
NEWARK, N.J. – Three New York men were charged today with conspiring to kidnap and hold for ransom a Fort Lee resident, U.S. Attorney Philip R. Sellinger announced.
Fa Deng, 42, of Staten Island, New York, and Albert Ferrelli, 50, and Chiahao Lee, 30, both of Queens, New York, are charged by complaint with conspiring to commit kidnapping. The three defendants appeared today before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court and were detained.
According to documents filed in this case and statements made in court:
On April 5, 2022, Deng, Ferrelli, Lee, and another conspirator drove to the victim’s home in Fort Lee. Ferrelli and the other conspirator entered the victim’s home wearing masks. They bound the victim’s hands, placed duct tape over his eyes and mouth, and forced him into a vehicle.
Law enforcement received information that kidnappers had sent the victim’s wife a photograph of the victim bound and duct-taped, demanding a ransom of approximately $680,000. When law enforcement responded to the victim’s home, they located what appeared to be duct tape with pieces of latex gloves stuck to it. After reviewing local surveillance footage, law enforcement identified a gray minivan used in the abduction. Other surveillance footage showed the minivan crossing the George Washington Bridge shortly after the kidnapping, and subsequently crossing into the Bronx and then into Queens.
The following day, New York Police Department personnel responded to Prince Street in Queens, where they encountered Ferrelli guarding the door to the building. When officers approached Ferrelli, they heard a man screaming for help inside the building. Officers entered the building and found the victim with his hands bound, and duct tape over his eyes and mouth. Surveillance footage obtained by law enforcement showed that during this captivity, the victim attempted to escape by running out of the building where he was eventually found. The video showed Ferrelli tackle the victim to prevent him from escaping, engage in a physical scuffle, and pull him back into the building.
Law enforcement located the gray minivan used in the kidnapping parked in the driveway of Lee’s home in Queens. Records showed that the minivan had been rented by Lee’s wife at LaGuardia Airport on April 4, 2022.
The maximum penalty for the offense is life imprisonment.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of George M. Crouch Jr.; the Bergen County Prosecutor’s Office under the direction of Prosecutor Mark Musella; officers of the Fort Lee Police Department, under the direction of Chief Matthew J. Hintze; and the New York Police Department under the direction of Commissioner Keechant L. Sewell with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Carolyn Silane of the Economic Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Syracuse Man Sentenced to 366 Days for Assaulting a U.S. Postal EmployeeRead the Press Release
SYRACUSE, NEW YORK – Javon Mayo, 30, of Syracuse, New York, was sentenced yesterday to a 366-day term of imprisonment for assaulting a United States Postal Service letter carrier, announced United States Attorney Carla B. Freedman and Ketty Larco-Ward, Postal Inspector in Charge of the Boston Division of the U.S. Postal Inspection Service.
As part of his previous plea, Mayo admitted that on December 24, 2020, he struck a letter carrier in the right eye while the carrier was delivering mail at an apartment complex in Syracuse, NY. Mayo broke part of the bone around the carrier’s eye.
United States District Judge David N. Hurd further imposed a 3-year term of supervised release, which will start after Mayo is released from prison.
This case was investigated by the U.S. Postal Inspection Service and the Syracuse Police Department, and was prosecuted by Assistant U.S. Attorney Thomas Sutcliffe.
Statement from U.S. Attorney Rachael S. Rollins on the Acquittal of Seth Bourget and Joseph LavoratoRead the Press Release
“While we respect the jury’s decision, today’s verdict will not deter us from bringing these difficult cases. We believe that the allegations warranted the government’s investigation and charges.
Carrying a badge comes with enormous responsibility and obligations to not only enforce and abide by the law, but to respect the civil rights of people in your custody and care. That includes people in carceral facilities, many of whom are plagued with significant mental health issues, like the victim in this case.
This U.S. Attorney’s Office will continue to vigorously investigate and when appropriate, prosecute allegations of civil rights violations. That also must be the case when the allegations are against Bureau of Prisons employees, who are themselves part of the Department of Justice system.
Our mission is not about winning or losing trials, but about pursuing justice. It is my hope that the light that was shed on these defendants’ conduct, and the undeniable physical harm caused to the victim, will result in positive improvements in our system.”
St. Albans Man Sentenced for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A St. Albans man was sentenced today to five years in prison, to be followed by four years of supervised release, for possession with intent to distribute five or more grams of methamphetamine.
According to court documents and statements made in court, A St. Albans police officer stopped Austin Nathaniel Miller, 24, for riding a dirt bike on a city street on Aug. 14, 2021. Miller admitted to possessing a gun, and the officer recovered a loaded Ruger 9mm handgun from Miller’s waistband. In searching Miller’s backpack, the officer found two packages of suspected methamphetamine with a combined approximate weight of 239.21 grams. Drug lab analysis determined that the methamphetamine was approximately 96.4% pure.
U.S. Attorney Will Thompson made the announcement and commended the investigative work of the St. Albans Police Department and the Drug Enforcement Administration (DEA).
United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorney Nick Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00204.
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Sixth and Final MS-13 Member Involved in Murder of Teenage Boy in Lynn Sentenced to 23 Years in PrisonRead the Press Release
BOSTON – The sixth and final MS-13 member who participated in the July 2018 murder of a teenage boy, who was stabbed at least 32 times in a park in Lynn, was sentenced today in federal court in Boston.
Marlos Reyes a/k/a “Silencio,” 26, a Salvadorian national, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 23 years in prison and three years of supervised release. In July 2020, Reyes pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, also known as RICO conspiracy, on behalf of the MS-13 gang. As part of his racketeering activity, Reyes participated in the 2018 murder of a teenager, who was murdered with extreme atrocity and cruelty, and with deliberate premeditation, in violation of Massachusetts law.
MS-13, or La Mara Salvatrucha, is a transnational street gang operating in Massachusetts and numerous other states, as well as countries such as El Salvador, Honduras and Guatemala. MS-13 gang members often commit acts of extreme violence against suspected rivals, those suspected of cooperating with law enforcement, and others who the gang views as a threat. In recent years, dozens of MS-13 members have been convicted of RICO conspiracy and other serious felonies in the District of Massachusetts. MS-13 is organized into “cliques” or branches operating in local territories. Reyes belonged to the “Sykos Locos Salvatrucha” clique of MS-13, which operated in the cities of Lynn, Chelsea and other parts of Massachusetts.
In November 2018, Reyes and five other MS-13 Sykos clique members were indicted following an investigation into the murder of a teenage boy, whose body found in a park in Lynn on Aug. 2, 2018. The six defendants in this case included five participants in the murder, as well as one longstanding member of the Sykos clique. In a related case, the government charged a juvenile co-conspirator who was the sixth person involved in the murder.
The evidence in this case, which included a recording of one of Reyes’s co-defendants describing the murder in graphic detail, revealed that the MS-13 gang members murdered the victim based on their mistaken belief that he may have been assisting law enforcement.
On July 30, 2018, the gang members lured the victim to a playground and at least four of them were armed with knives. The group pretended to be friendly with the unsuspecting victim and took him to a wooded area of the park where they surrounded the victim and repeatedly stabbed him to death. At least four of the six assailants stabbed the victim, while two others assisted at the scene. After killing the victim, the gang members left his body in the wooded area of the public park. An autopsy revealed that the victim suffered at least 32 sharp force trauma wounds consistent with being stabbed repeatedly, along with blunt force injuries to the head.
Reyes is the sixth and final defendant to be sentenced in the case. On Feb. 14, 2022, Erick Lopez Flores, a/k/a “Mayimbu,” was sentenced to 40 years in prison. On Feb. 15, 2022, Jonathan Tercero Yanes, a/k/a “Desalmado,” was sentenced to 33 years in prison. On Feb. 16, 2022, Henri Salvador Gutierrez, a/k/a “Perverso,” was sentenced to life in prison. On Feb. 18, 2022, Djavier Duggins, a/k/a “Haze,” was sentenced to 15 years in prison. On March 17, 2022, Eliseo Vaquerano Canas, a/k/a “Peligroso,” was sentenced to 43 years in prison.
First Assistant United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Essex County District Attorney Jonathan W. Blodgett; Suffolk County District Attorney Kevin Hayden; Acting Boston Police Commissioner Gregory Long; and Lynn Police Chief Christopher Reddy made the announcement. Assistant U.S. Attorneys Kunal Pasricha, Kaitlin O’Donnell, and Philip Mallard of the Criminal Division prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.